Item 1. BUSINESS
SUMMARY CORPORATE STRUCTURE
TXU Corp.
TXU Europe Limited
TXU Europe CP, Inc.
TXU Europe Capital I
TXU Europe Funding I, L.P.	
TXU Europe Capital I
TXU Europe Capital I (TXU Europe Capital or the Trust) is a statutory business trust created under the Delaware Business Trust Act pursuant to a trust agreement (Trust Agreement) and the filing of a certificate of trust with the Secretary of State of the State of Delaware on November 22, 1999. The Trust Agreement was subsequently amended by an Amended and Restated Trust Agreement dated as of March 2, 2000. TXU Europe CP, Inc. (the Control Party), a Delaware corporation, retains administrative and appointment powers with respect to the trust by virtue of its ownership of the trust's control certificate. The control certificate does not provide any economic interest in the trust to the Control Party. The trust exists for the exclusive purpose of (i) issuing the control certificate and 9
3/4% Trust Originated Preferred Securities (Preferred Trust Securities) representing undivided beneficial ownership interests in the assets of the Trust, (ii) investing the gross proceeds from the issuance of the Preferred Trust Securities in 9.75% Preferred Partnership Securities of TXU Europe Funding I, L.P., representing the limited partnership interests of the Partnership and (iii) engaging in only those other activities necessary or incidental thereto. The Trust has a perpetual existence, subject to certain termination events as provided in its Amended and Restated Trust Agreement. The Trust has no employees. TXU Europe Funding I, L.P.
TXU Europe Funding I, L.P. (TXU Europe Funding or the Partnership) is a limited partnership that was formed under the Delaware Revised Uniform Limited Partnership Act, as amended, pursuant to an agreement of limited partnership and the filing of a certificate of limited partnership with the Secretary of State of Delaware on November 22, 1999, which was subsequently amended by an Amended and Restated Agreement of Limited Partnership dated as of March 2, 2000. TXU Europe Limited is the sole general partner of the Partnership. The Partnership is managed by the general partner and exists for the exclusive purpose of (i) issuing its Partnership interests, (ii) purchasing certain eligible debt instruments of TXU Eastern Funding Company (TXU Eastern Funding) and TXU Europe Group plc with the proceeds from (a) the sale of
its 9.75% Preferred Partnership Securities (Preferred Partnership Securities), representing limited partnership interests in the Partnership, to the Trust and (b) a capital contribution from TXU Europe Limited in exchange for the general partnership interest in the Partnership (collectively, the Partnership Proceeds) and (iii) engaging in only those other activities necessary or incidental thereto. The Partnership has no employees. The information set forth under the headings "TXU Europe Capital I", "TXU Europe Funding I, L.P." "Description of the TOPrS", "Description of the Trust Guarantee", "Description of the Preferred Partnership Securities", "Description of the Partnership Guarantee" and "Description of the Funding Debentures" in the Prospectus dated February 24, 2000 of the Trust and the Partnership are incorporated by reference herein.
TXU EUROPE LIMITED
TXU Europe Limited is the sole general partner of the Partnership. In addition, the Control Party is a wholly-owned subsidiary of TXU Europe Limited. TXU Europe Limited is a private limited company incorporated under the laws of England and Wales on February 5, 1998 and is an indirect wholly-owned subsidiary of TXU Corp. TXU Corp. is a holding company that, through its subsidiaries, is engaged in the generation, purchase, transmission, distribution and sale of electricity; the purchase, transmission and distribution of natural gas; energy services; and telecommunications and other businesses, primarily in the United States (US), Europe and Australia. TXU Europe Limited is a holding company for TXU Corp.'s United Kingdom (UK) and other European operations.
Almost all of TXU Europe Limited's operating income is derived from TXU Europe Group plc (TXU Europe Group) and TXU Europe Group's subsidiaries, and almost all of TXU Europe Limited's consolidated assets are held by TXU Europe Group and TXU Europe Group's subsidiaries. TXU Europe Limited owns 90% of the outstanding ordinary shares of TXU Finance (No. 2) Limited, (TXU Finance). The remaining 10% of TXU Finance's outstanding ordinary shares are owned by a wholly-owned US subsidiary of TXU Corp.
TXU Eastern Funding is a private unlimited company incorporated under the laws of England and Wales and is a wholly-owned indirect subsidiary of TXU Europe Limited. TXU Eastern Funding was organized solely to provide funding for the operations of TXU Europe Limited and its subsidiaries by issuing debt securities and lending the proceeds to TXU Europe Limited.
Item 2.
Item 2. PROPERTIES
None
Item 3.
Item 3. LEGAL PROCEEDINGS
TXU Europe Capital and TXU Europe Funding know of no material legal or arbitration proceedings which could have a material adverse effect upon TXU Europe Capital's or TXU Europe Funding's businesses or financial positions.
Item 4.
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None
PART II
Item 5.
Item 5. MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER MATTERS
The control certificate of the Trust and the general partnership interest in the Partnership are owned directly or indirectly by TXU Europe Limited and ultimately held indirectly by TXU Corp.
Item 6.
Item 6. SELECTED FINANCIAL DATA
The Trust and the Partnership have been in existence from formation (November 22, 1999). The financial condition and results of operations as of and for the year ended December 31, 2000 for the Trust and the Partnership are presented elsewhere herein. As there were no changes in the financial condition or results of operations for the period from formation through December 31, 1999, a table of selected financial data was not considered necessary and has not been provided herein.
Item 7.
Item 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The Registrants' activities are limited to issuing securities and investing the proceeds as follows:
	The Trust exists for the exclusive purpose of (i) issuing a control certificate, which entitles the holder to administrative and appointment powers with respect to the Trust, and Preferred Trust Securities representing undivided beneficial ownership interest in the assets of the Trust, (ii) investing the gross proceeds from the issuance of the Preferred Trust Securities in Preferred Partnership Securities representing the limited partnership interests of the Partnership and (iii) engaging in only those other activities necessary or incidental thereto. The Trust has a perpetual existence, subject to certain termination events as provided in its Amended and Restated Trust Agreement. The Partnership is managed by the general partner and exists for the exclusive purpose of (i) issuing its Partnership interests, (ii) purchasing certain eligible debt instruments of TXU Eastern Funding Company and TXU Europe Group plc with the proceeds from (a) the sale of its Preferred Partnership Securities, representing limited partnership interests in the Partnership, to the Trust and (b) a capital contribution from TXU Europe Limited in exchange for the general partnership interest in the Partnership (collectively, the Partnership Proceeds).
	Since the Trust was organized on November 22, 1999, its activities, as specified in its Amended and Restated Trust Agreement, have been limited to the issuance of $150 million of Preferred Trust Securities and the investing of the proceeds in the Preferred Partnership Securities, and the accrual and payment of distributions on the Preferred Trust Securities in accordance with their terms.
	Since the Partnership was organized on November 22, 1999, its activities, as specified in its Agreement of Limited Partnership, have been limited to the issuance of the Preferred Partnership Securities, the receipt of a $26 million capital contribution from TXU Europe Limited, as general partner, the investment of the Partnership Proceeds in junior subordinated debentures and short-term eligible securities (primarily US Treasury bills and commercial paper), and the accrual and payment of distributions on the Preferred Partnership Securities. Through the year ended December 31, 2000, interest earned on short-term eligible securities that have matured has not been paid to the Partnership but has been rolled over into the purchase of other eligible securities, since the general partner has not yet declared a distribution of those earnings.
	Distributions on the Preferred Trust Securities and the Preferred Partnership Securities, cumulative from the March 2, 2000 issuance date, were declared and paid to the respective holders of those securities on June 30, 2000. Additional quarterly distributions were made on October 2, 2000 and December 29, 2000.
Item 7A.
Item 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
On March 2, 2000, the Trust invested the gross proceeds from the sale of the Preferred Trust Securities in the Preferred Partnership Securities (the Trust Assets). The Partnership, in turn, invested the proceeds from the sale of the Preferred Partnership Securities and a $26 million capital contribution from TXU Europe Limited in junior subordinated debentures of TXU Eastern Funding Company and TXU Europe Group plc and eligible debt securities (the Partnership Assets). To the extent the Partnership has funds available from the Partnership Assets, the general partner of the Partnership (TXU Europe Limited) may declare distributions to the Trust, as holder of the Preferred Partnership Securities. The Trust's ability to pay distributions to the holders of the Preferred Trust Securities is dependent upon its receipt of distributions on the Trust Assets from the Partnership. Therefore, upon the receipt by the Partnership of payments from the Partnership Assets and the distribution thereof to the Trust, the Trust will pass through such payments to the holders of the Preferred Trust Securities.
Interest rate market risk is not significant to the Trust and the Partnership as all of the securities and investments involved, except for the eligible debt securities, are at fixed rates. A change in market interest rate has no effect on interest accrued or on cash flows. Investments in eligible debt securities during the year ended December 31, 2000 were in the form of US Treasury bills or commercial paper, which are of short-term duration and earn interest at current market rates. The carrying value of these securities approximates their fair value. Earnings on these securities previously invested in through December 31, 2000 are being accumulated and rolled over into principal as the securities mature as the general partner has not yet declared a distribution of those earnings.
There is a currency risk associated with the payment of funds as the earnings of TXU Europe Limited and TXU Europe Group plc are in UK pounds sterling but the payments on the Preferred Partnership Securities and the Preferred Trust Securities are in US dollars.
	On June 30, 2000, the first distributions on the Preferred Trust Securities and the Preferred Partnership Securities, cumulative from the March 2, 2000 issuance date, were declared and paid to the respective holders of those securities. Additional distributions were made on October 2, 2000, and December 29, 2000.
Item 8.
Item 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Independent Auditors' Report
To the Trustees of TXU Europe Capital I
We have audited the accompanying balance sheets of TXU Europe Capital I (the "Trust") as of December 31, 2000 and 1999, and the related statements of income and cash flows for the year ended December 31, 2000. These financial statements are the responsibility of the Trust's management. Our responsibility is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material respects, the financial position of the Trust as of December 31, 2000 and 1999, and the results of its operations and its cash flows for the year ended December 31, 2000 in conformity with accounting principles generally accepted in the United States of America.
DELOITTE & TOUCHE
February 1, 2001
London, England
TXU EUROPE CAPITAL I
STATEMENTS OF INCOME
See Notes to Financial Statements.
TXU EUROPE CAPITAL I
STATEMENT OF CASH FLOWS
See Notes to Financial Statements.
TXU EUROPE CAPITAL I
BALANCE SHEETS
See Notes to Financial Statements.
NOTES TO FINANCIAL STATEMENTS OF TXU EUROPE CAPITAL I
1. 	Description of Business
TXU Europe Capital I (the Trust) is a statutory business trust formed on November 22, 1999 under the laws of the State of Delaware for the exclusive purpose of (i) issuing 9 3/4% Trust Originated Preferred Securities (Preferred Trust Securities) representing undivided beneficial ownership interest in the assets of the Trust, (ii) purchasing 9.75% Preferred Partnership Securities (Preferred Partnership Securities) representing the limited partnership interests of TXU Europe Funding I, L.P. (the Partnership) with the proceeds from the sale of the Preferred Trust Securities, and (iii) engaging in only those other activities necessary or incidental thereto. The Trust has a perpetual existence, subject to certain termination events as provided in its Amended and Restated Trust Agreement.
The proceeds from the Trust's sale of the Preferred Trust Securities were used to purchase the Preferred Partnership Securities from the Partnership. Holders of the Preferred Trust Securities have limited voting rights and are not entitled to vote to appoint, remove or replace, or to increase or decrease the number of, Trustees, which voting rights are vested exclusively in the holder of a control certificate.
TXU Europe Limited, the ultimate parent of the Trust and the general partner of the Partnership, has paid compensation to the underwriters of the offering of the Preferred Trust Securities. TXU Europe Limited will pay all fees and expenses related to the organization and operations of the Trust (including any taxes, duties, assessments or governmental charges of whatever nature (other than withholding taxes) imposed by the United States or any other domestic taxing authority upon the Trust) and the offering of the Preferred Trust Securities and is responsible for all debts and other obligations of the Trust (other than the Preferred Trust Securities). TXU Europe Limited has also agreed to indemnify the trustees and certain other persons. During the year ended December 31, 2000, TXU Europe Limited paid approximately $6.3 million for costs associated with the formation of the Trust, for the issuance of the Preferred Trust Securities and for other expenses on behalf of the Trust.
2.	Basis of Presentation and Significant Accounting Policies
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (US GAAP).
Use of Estimates - The preparation of the Trust's financial statements requires management to make estimates and assumptions about future events that affect the reporting and disclosure of assets and liabilities at the balance sheet dates and the reported amounts of revenue and expense during the periods covered by the financial statements. In the event estimates and/or assumptions prove to be different from actual amounts, adjustments are made in subsequent periods to reflect more current information.
Investments - The investment in Preferred Partnership Securities represents a limited partnership interest in the Partnership and is recorded at cost. As of December 31, 2000, the fair value of the investment approximates its carrying value. Income on the Preferred Partnership Securities is accrued when earned.
Comprehensive Income - Comprehensive income consists only of net income.
Income Taxes - The Trust does not incur any income tax liabilities. Such liabilities are incurred directly by the security holders. Therefore no provision for income taxes has been provided.
Investment in Preferred Partnership Securities
The Trust holds $150 million of Preferred Partnership Securities, $25 liquidation preference per security. The distribution payment dates and redemption provisions of the Preferred Partnership Securities, which are redeemable after March 2, 2005 at the option of TXU Europe Limited, the general partner of the Partnership, correspond to the distribution payment dates and redemption provisions of the Preferred Trust Securities. Upon any redemption of the Preferred Partnership Securities, the Preferred Trust Securities will be redeemed. TXU Europe Limited has guaranteed, on a subordinated basis, the payment of distributions by the Partnership on the Preferred Partnership Securities if, as, and when declared out of funds legally available and payments upon liquidation of the Partnership or the redemption of the Preferred Partnership Securities to the extent of funds legally available.
Stockholders' Equity
On March 2, 2000, the Trust issued to investors 6,000,000 units of Preferred Trust Securities for an aggregate of $150 million. The Preferred Trust Securities have a liquidation preference of $25 per unit. The Preferred Trust Securities are subject to mandatory redemption upon payment of the Preferred Partnership Securities. Distributions on the Preferred Trust Securities are cumulative from the date of original issue (March 2, 2000) and are payable quarterly in arrears on each March 31, June 30, September 30 and December 31, commencing June 30, 2000, at an annual rate of 9.75% of the stated liquidation amount per annum. Distributions not paid on the scheduled payment date will accumulate and compound quarterly at a rate per annum equal to 9.75%. Holders of the Preferred Trust Securities have no voting rights.
The Trust will use distributions it receives on the Preferred Partnership Securities to make cash distributions on the Preferred Trust Securities. Distributions on the Preferred Trust Securities were made on June 30, October 2, and December 29, 2000.
TXU Europe Limited has guaranteed, on a limited basis, the payment in full of all distributions and other payments on the Preferred Trust Securities to the extent that the Trust has funds legally available. TXU Europe Limited has also issued guarantees of the Preferred Partnership Securities and the junior subordinated debentures held by the Partnership. These guarantees are subordinated to all other unsubordinated liabilities of TXU Europe Limited.
Independent Auditors' Report
To the General Partner and Initial Limited Partner of TXU Europe Funding I, L.P.
We have audited the accompanying balance sheets of TXU Europe Funding I, L.P. (the "Partnership") as of December 31, 2000 and 1999, and the related statements of income and cash flows for the year ended December 31, 2000. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on the financial statements based on our audits.
We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements presents fairly, in all material respects, the financial position of the Partnership as of December 31, 2000 and 1999, and the results of its operations and its cash flows for the year ended December 31, 2000 in conformity with accounting principles generally accepted in the United States of America.
DELOITTE & TOUCHE
February 1, 2001
London, England
TXU EUROPE FUNDING I, L.P.
STATEMENTS OF INCOME
See Notes to Financial Statements.
TXU EUROPE FUNDING I, L.P.
STATEMENT OF CASH FLOWS
See Notes to Financial Statements.
TXU EUROPE FUNDING I, L.P.
BALANCE SHEETS
See Notes to Financial Statements.
NOTES TO FINANCIAL STATEMENTS OF TXU EUROPE FUNDING I, L.P.
1. 	Description of Business
TXU Europe Funding I, L.P. (the Partnership) is a limited partnership that was formed under the Delaware Revised Uniform Limited Partnership Act on November 22, 1999, for the exclusive purpose of (i) issuing the Partnership interests, (ii) purchasing certain eligible debt instruments, including debentures of TXU Eastern Funding Company and one or more subsidiaries of TXU Europe Limited and short-term eligible securities with the proceeds from (a) the sale of Preferred Partnership Securities to TXU Europe Capital I (the Trust) and (b) a capital contribution from TXU Europe Limited in exchange for the general partnership interest in the Partnership (collectively, the Partnership Proceeds) and (iii) engaging in only those other activities necessary and incidental thereto.
Except as provided in the Amended and Restated Agreement of Limited Partnership and Preferred Partnership Securities Guarantee Agreement, and as otherwise provided by law, the holders of the Preferred Partnership Securities will have no voting rights.
The Partnership Proceeds were used initially to purchase debt instruments from TXU Eastern Funding Company and TXU Europe Group plc and other eligible debt securities. (See Note 3.) The Partnership has a perpetual existence subject to certain termination events. TXU Europe Limited is the sole general partner of the Partnership and, in that capacity, has agreed to pay all fees and expenses related to the organization and operations of the Partnership (including any taxes, duties, assessments or government charges of whatever nature (other than withholding taxes) imposed by the United States or any other domestic taxing authority upon the Partnership) and the offering of the Preferred Partnership Securities and be responsible for all debts and other obligations of the Partnership (other than with respect to the Preferred Partnership Securities). TXU Europe Limited, as sole general partner, has agreed to indemnify certain officers and agents of the Partnership. During the year ended December 31, 2000, TXU Europe Limited paid approximately $574 thousand for costs associated with the formation of the Partnership, for the issuance of the Preferred Partnership Securities and for other expenses on behalf of the Partnership.
2.	Basis of Presentation and Significant Accounting Policies
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (US GAAP).
Use of Estimates - The preparation of the Partnership's financial statements requires management to make estimates and assumptions about future events that affect the reporting and disclosure of assets and liabilities at the balance sheet dates and the reported amounts of revenue and expense during the period covered by the financial statements. In the event estimates and/or assumptions prove to be different from actual amounts, adjustments are made in subsequent periods to reflect more current information.
Investments - The Partnership's investment in junior subordinated debentures of certain affiliates is recorded at cost. As of December 31, 2000, the fair value of the investment approximates its carrying value. Income on the junior subordinated debentures is accrued when earned. The investment in other eligible securities is limited by the terms of the partnership including investments in certain US government obligations.
Comprehensive Income - Comprehensive income consists only of net income.
Income Taxes - The Partnership does not incur any income tax liabilities. Such liabilities are incurred directly by the partners. Therefore no provision for income taxes has been provided.
Investments
The Partnership holds junior subordinated debentures of TXU Eastern Funding Company and TXU Europe Group plc, both subsidiaries of TXU Europe Limited. The junior subordinated debentures have a term of approximately 20 years and bear interest at 9.75% per annum. The interest payment dates and redemption provisions of the debentures, which are redeemable at the option of TXU Europe Limited on or after March 2, 2005, correspond to the distribution payment dates and redemption provisions of the Preferred Partnership Securities. Interest and redemption payments on the subsidiary debentures are guaranteed by TXU Europe Limited on a subordinated basis.
In addition, as of December 31, 2000, the Partnership had invested in short-term commercial paper securities. The commercial paper purchased was issued at a discount and interest will be accrued as the commercial paper approaches maturity. Earnings on these and other eligible securities previously invested in through December 31, 2000 are being accumulated and rolled over into principal as the securities mature, since the general partner has not yet declared a distribution of those earnings.
Partners Capital
On March 2, 2000, the Partnership issued 6,000,000 units of 9.75% Preferred Partnership Securities to the Trust representing the limited partnership interests of the Partnership in exchange for $150 million. The Preferred Partnership Securities have a liquidation preference of $25 per security and may be redeemed at the option of TXU Europe Limited, the general partner, in whole, or in part, at any time on or after March 2, 2005. Distributions on the Preferred Partnership Securities are cumulative from the date of original issue (March 2, 2000) and are payable quarterly if, as, and when declared by the general partner, at an annual rate of 9.75% of the stated liquidation amount per annum. Holders of Preferred Partnership Securities have no voting rights.
Also on March 2, 2000, the Partnership received a capital contribution of approximately $26 million from TXU Europe Limited representing the sole general partner interest in the Partnership. The proceeds from the issuance of the Preferred Partnership Securities and the general partners' capital contribution were used to purchase the junior subordinated debentures issued by TXU Eastern Funding Company and TXU Europe Group plc and other eligible securities.
TXU Europe Limited has guaranteed, on a limited basis, the payment of distributions by the Partnership on the Preferred Partnership Securities if, as, and when declared out of funds legally available and payments upon liquidation to the Partnership or the redemption of the Preferred Partnership Securities to the extent of funds legally available. TXU Europe Limited has also issued guarantees of the junior subordinated debentures held by the Partnership. These guarantees are subordinated to all other unsubordinated liabilities of TXU Europe Limited.
Distributions on the Preferred Partnership Securities and the general partnership interest were paid on June 30, October 2, and December 29, 2000.
Item 9.
Item 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURES
None
PART III
Item 10.
Item 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT
The Trust has no directors or officers. The Trustees of the Trust are as follows:
Administrative Trustees:		Kirk R. Oliver
				Laura Conn
				Philip S. Toler
				Jacqueline Harrison
Property Trustee:			The Bank of New York	
Delaware Trustee:		The Bank of New York (Delaware)
Mr. Oliver is the Vice President and Treasurer of TXU Corp. and certain of its subsidiaries. Ms. Conn is the Manager of Corporate Finance and Compliance of TXU Corp. and Treasurer of TXU Business Services Company and TXU Electric Company, subsidiaries of TXU Corp. Mr. Toler is the Finance and Compliance Manager for TXU Business Services. Ms. Harrison is the Manager of TXU Shareholder Services of TXU Business Services Company.
The Partnership has no directors or executive officers. However, the Amended and Restated Agreement of Limited Partnership provides that TXU Europe Limited, as general partner of the Partnership, is solely responsible for the management and direction of the Partnership. The Limited partner does not take part in the management of the Partnership's business.
The following table lists information with respect to the management of TXU Europe Limited:
Name
Age
Position
Erle Nye
Director
Philip G. Turberville
Director
Paul C. Marsh
Director
Derek C. Bonham
Director
H. Jarrell Gibbs
Director
Michael J. McNally
Director
Robert A. Wooldridge
Director
Erle Nye
has been a director of TXU Europe Limited since February 1998. He has served as a director and Chairman of the Board and Chief Executive of TXU Corp. since May 1997 and of TXU Gas Company since August 1997. He has also been a director and Chairman of the Board and Chief Executive of TXU Electric Company for more than the last five years. Mr. Nye is also a director of TXU Eastern Funding. In addition, Mr. Nye was President of TXU Corp. from February 1987 through May 1995 and President and Chief Executive of TXU Corp. from May 1995 through May 1997. Philip G. Turberville has served as a director of TXU Europe Limited since May 1999. Mr. Turberville has served as a director and the Chairman of the Board and Chief Executive Officer of TXU Europe Group since January 4, 1999. Before that, Mr. Turberville was President of the Europe Oil Products division of The Royal Dutch Shell Group, where he had worked in a variety of roles providing him with extensive international experience since 1976. Mr. Turberville is also a director of TXU Eastern Funding.
Paul C. Marsh has served as a director of TXU Europe Limited since May 1999. He has been with TXU Europe Group since October 1992 and has served as Finance Director of TXU Europe Group since February 24, 1997. Before that, Mr. Marsh worked in Ernst & Young's Corporate Advisory Services Division. Before that, Mr. Marsh served as Finance Director in two medium sized private sales and trading groups. Mr. Marsh is also a director of TXU Europe Group and TXU Eastern Funding.
Derek C. Bonham has served as a director of TXU Europe Limited since May 1999. He has served as Chairman of Imperial Tobacco Group PLC since October 1996. Before that, Mr. Bonham was Chairman of The Energy Group PLC from February 1997 through July 1998. Before that, Mr. Bonham served as Deputy Chairman and Chief Executive of Hanson PLC from November 1993 through February 1997 and as Chief Executive of Hanson PLC from April 1992 through November 1993. Mr. Bonham is also a director of Glaxo Wellcome PLC, Glaxo SmithKline PLC, Imperial Tobacco Group PLC, Newsquest PLC, Fieldens PLC and TXU Corp.
H. Jarrell Gibbs has served as a director of TXU Europe Limited since February 1998. He is Vice Chairman of TXU Corp. and a director and Vice Chairman of the Board of TXU Gas Company. Before that, Mr. Gibbs was the President of TXU Electric Company and Vice President and Principal Financial Officer of TXU Corp.. Mr. Gibbs is also a director of TXU Europe Group and of TXU Eastern Funding.
Michael J. McNally has served as a director of TXU Europe Limited since February 1998. He is the Executive Vice President and Chief Financial Officer of TXU Corp. Before that, Mr. McNally was President of the Transmission Division of TXU Electric Company; Executive Vice President of TXU Electric Company; Principal of Enron Development Corporation; Managing Director of Industrial Services of Enron Capital and Trade Resources; and President of Houston Pipe Line Company and Enron Gas Liquids, Inc. Mr. McNally is also a director of TXU Electric Company, TXU Gas Company and TXU Eastern Funding.
Robert A. Wooldridge has been a director of TXU Europe Limited since February 1998. Mr. Wooldridge is a partner in the law firm Worsham Forsythe Wooldridge LLP in Dallas, Texas, which provides legal services to TXU Europe Limited and TXU Eastern Funding, as well as TXU Corp. and other subsidiaries of TXU Corp. Mr. Wooldridge is also a director of TXU Gas Company and TXU Eastern Funding.
Item 11.
Item 11. EXECUTIVE COMPENSATION
None of the Administrative Trustees of the Trust receives any compensation for serving as an Administrative Trustee or acting in any capacity for the Trust separate from his or her compensation as an employee of TXU Corp. None of the Directors of TXU Europe Limited receives any compensation for acting in any capacity for the Partnership separate from their compensation as a Director or employee of TXU Europe Limited or TXU Corp.
Item 12.
Item 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
The control certificate of the Trust and the general partnership interest in the Partnership are owned directly or indirectly by TXU Europe Limited and ultimately held indirectly by TXU Corp.
Item 13.
Item 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS
TXU Europe Limited has agreed to pay all fees and expenses related to the organization and operations of the Trust and the Partnership.
PART IV
Item 14.
Item 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K
(a)	The financial statement schedules are omitted because of the absence of the conditions under which they are required or because the required information is included in the consolidated financial statements or notes thereto.
Reports on Form 8-K:
None
Exhibits:
	a) Exhibits filed as a part of Part II are:
3(a)
333-93509; 333-93509-01; 333-93509-02 and; 333-93509-03
3(e)
-	
Trust Agreement of TXU Europe Capital I, dated as of November 22, 1999.
3(b)
333-93509; 333-93509-01; 333-93509-02 and; 333-93509-03
3(f)
-	
Certificate of Trust of TXU Europe Capital I, dated November 22, 1999.
3(c)
333-93509; 333-93509-01; 333-93509-02 and; 333-93509-03
3(g)
-	
Agreement of Limited Partnership of TXU Europe Funding I, L.P., dated as of November 22, 1999.
3(d)
333-93509; 333-93509-01; 333-93509-02 and; 333-93509-03
3(h)
Certificate of Limited Partnership of TXU Europe Funding I, L.P., dated November 22, 1999.
3(e)
1-12833 Form 10-K (1999)
4(rrr)
Amended and Restated Trust Agreement, dated as of March 2, 2000, among TXU Business Services Company, TXU Europe Limited, TXU Europe CP, Inc., and The Bank of New York, The Bank of New York (Delaware), and the Administrative Trustees of TXU Europe Capital I.
3(f)
1-12833 Form 10-K (1999)
4(sss)
Amended and Restated Agreement of Limited Partnership, dated as of March 2, 2000, of TXU Europe Funding I, L.P.
4(a)
1-12833 Form 10-K (1999)
4(ttt)
Preferred Trust Securities Guarantee, dated as of March 2, 2000, between TXU Europe Limited and The Bank of New York.
4(b)
1-12833 Form 10-K (1999)
4(uuu)
Preferred Partnership Securities Guarantee, dated as of March 2, 2000, between TXU Europe Limited and The Bank of New York.
4(c)
1-12833 Form 10-K (1999)
4(vvv)
Indenture (for Unsecured Subordinated Debt Securities), dated as of March 2, 2000, among Funding, TXU Europe Limited and The Bank of New York.
4(d)
1-12833 Form 10-K (1999)
4(www)
Officer's certificate, dated as of March 2, 2000, establishing the terms of the 9.75% Junior Subordinated Deferrable Interest Debentures, Series A, due March 2, 2020, of TXU Eastern Funding Company.
4(e)
1-12833 Form 10-K (1999)
4(xxx)
Deposit Agreement, dated as of March 2, 2000, between The Bank of New York and TXU Eastern Funding Company.
4(f)
1-12833 Form 10-K (1999)
4(yyy)
Indenture (for Unsecured Subordinated Debt Securities) dated as of March 2, 2000, among TXU Europe Group, TXU Europe Limited and The Bank of New York.
4(g)
1-12833 Form 10-K (1999)
4(zzz)
Officer's Certificate, dated as of March 2, 2000, establishing the terms of the 9.75% Junior Subordinated Deferrable Interest Debentures, Series A, due March 2, 2020 of TXU Europe Group.
4(h)
1-12833 Form 10-K (1999)
4(A)
Deposit Agreement, dated as of March 2, 2000, between The Bank of New York TXU Europe Group plc.
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, TXU Europe Capital I has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Signatures
Title
Date
/s/ Kirk Oliver
(Kirk Oliver)
Administrative Trustee
/s/ Laura Conn
(Laura Conn)
Administrative Trustee
/s/ Phillip Toler
(Phillip Toler)
Administrative Trustee
March 29, 2001
/s/ Jackie Harrison
(Jackie Harrison)
Administrative Trustee
TXU Europe Capital I has no principal executive officer, principal financial officer, principal accounting officer or board of directors. The Trustees of the Trust (which include the Administrative Trustees, the Property Trustee and the Delaware Trustee) together exercise all powers and perform all functions with respect to the Trust.
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, TXU Europe Funding I, L.P. has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: March 29, 2001
TXU Europe Funding I, L.P.
By		/s/ Paul C. Marsh
Name:	Paul C. Marsh
For and on behalf of TXU Europe Limited, General Partner
	Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of TXU Europe Limited, General Partner to the Partnership, and in the capacities and on the date indicated.
Signatures
Title
Date
/s/ Erle Nye
(Erle Nye)
Director
/s/ Philip G. Turberville
(Philip G. Turberville)
Director
/s/ Paul C. Marsh
(Paul C. Marsh)
Director
/s/ Derek C. Bonham
(Derek C. Bonham)
Director
March 29, 2001
/s/ H. Jarrell Gibbs
(H. Jarrell Gibbs)
Director
/s/ Michael J. McNally
(Michael J. McNally)
Director
/s/ Robert A. Wooldridge
(Robert A. Wooldridge)
Director
TXU Europe Funding I, L.P. has no principal executive officer, principal financial officer, principal accounting officer or board of directors. The Partners of the Partnership, (which include the General Partner and the Limited Partner) together exercise all powers and perform all functions with respect to the Partnership.