Bear Island Opportunity ,
 As mentioned earlier, we have the opportunity to sell a 76MW, 7x24, fixed for floating financial swap to these guys for 5 years beginning 1/1/02.  They want offers from both the PJM-East and PJM-West Hubs.  In an effort to lower the fixed price, they are willing to sell let us curtail during Monday-Friday for the term of the deal on an hour-ahead basis.  There can be a variety of call option structures, depending upon which gives them the largest premium (options being number of hours which we can curtail each day).  Nick has begun working on valuing an at the money, 5x8 call (effectively an 8-hour curtailment), with hour-ahead notice.  Rob Benson is pricing the swap.  As soon as we get the swap price (and the resulting strike price for the call), Nick can firm up his initial valuation and we can discuss with you.   

Billy Braddock
Manager - Enron Power Marketing Inc.
713-345-7877 (work)
713-646-4940 (fax)
713-503-2166 (cell)
iris.mack@enron.com, harry.arora@enron.com