After our meeting yesterday, I asked Mark Taylor whether under the revised 
version of the CEA there was any restriction on one's ability to cash settle 
physical transactions.  He confirmed that so long as the parties to the 
transaction are "Eligible Contract Participants", then there is no 
restriction and our physical contracts can expressly permit cash settlement.  
Enclosed is a summary of the ECP definition.

Carol St. Clair
EB 3889
713-853-3989 (Phone)
713-646-3393 (Fax)
carol.st.clair@enron.com
----- Forwarded by Carol St Clair/HOU/ECT on 06/01/2001 08:43 AM -----

	Sara Shackleton
	05/31/2001 05:50 PM
		 
		 To: Carol St Clair/HOU/ECT@ECT
		 cc: 
		 Subject: ECP language



Sara Shackleton
Enron North America Corp.
1400 Smith Street, EB 3801a
Houston, Texas  77002
713-853-5620 (phone)
713-646-3490 (fax)
sara.shackleton@enron.com