SEC VaR ,
 Gary and Georgeanne let me know that all but 487 shares of EOG are hedged 
(without the EOG leg, the Cerberus total return swap is really only a loan, 
and its VaR is about $500 thousand).  I have recalculated, and the total 
return swaps VaR fell to $34 million in December and $18 million in 
November.  December VaR is still up substantially from November, and the 
primary reason now is that since natural gas prices are up so much, the value 
of the Bammel Looper and Mid Texas total return swaps has increased.  The 
more money we make, the more we can potentially lose.

Regards,


Eugenio
georgeanne.hodges@enron.com, jan.johnson@enron.com, sally.beck@enron.com, 