FERC question 1 re: Enron OnLine ,
 fyi
---------------------- Forwarded by Christi L Nicolay/HOU/ECT on 06/18/2001 
08:43 PM ---------------------------
   
	
	
	From:  Christi L Nicolay                           06/18/2001 07:17 PM
	

To: Elizabeth Sager/Enron@EnronXGate, Jeffrey T Hodge/Enron@EnronXGate, Mark 
Taylor/Enron@EnronXGate
cc: Lisa Yoho/NA/Enron@Enron, Sarah Novosel/Corp/Enron@ENRON, James D 
Steffes/NA/Enron@Enron, Mark E Haedicke/Enron@EnronXGate, Richard 
Shapiro/NA/Enron@Enron, Linda Robertson/NA/Enron@ENRON, John J 
Lavorato/Enron@EnronXGate, Louise Kitchen/HOU/ECT@ECT, Richard B 
Sanders/Enron@EnronXGate 

Subject: FERC question 1 re: Enron OnLine

ENA legal -- Kim Bruno is one of the FERC staff that visited the Enron gas 
and power trading floors last week.  Can you provide us with a response to 
his questions?  I'll set up a conference call if necessary to discuss before 
we respond.  I talked with Kim today and told him that we would be responding 
within several days and he is fine with that.  Thanks.
---------------------- Forwarded by Christi L Nicolay/HOU/ECT on 06/18/2001 
07:11 PM ---------------------------


"Kim Bruno" <kim.bruno@ferc.fed.us> on 06/14/2001 05:19:01 PM
To: <Christi.L.Nicolay@enron.com>
cc:  

Subject: Enron OnLine


In providing an answer to our questions regarding risk assessment or 
management, would you please provide an explanation to the following?  We 
understand that EOL requires that a counter party, before accessing EOL to do 
business with Enron North America, must undergo a credit worthiness 
evaluation.   When a counter party executes or clicks on a price, EOL does an 
instant credit check before confirming the transaction.

However, Enron may not only buy from a counter party, it may sell.  What sort 
of creditworthiness standards must Enron provide to a counter party utilizing 
EOL to purchase from Enron?

Are there industry standard creditworthiness agreements regarding counter 
party credit risk that Enron uses?  If yes, may we have copies?  If Enron 
utilizes its own agreements, please provide us with a copy.

Thank you.






Kim Bruno
Market Oversight and Enforcement
Office of the General Counsel
888 1st Street, NE, Room 92-19
Washington, DC  20426
(202) 208-0770 (office)
(202) 208-0057 (fax)
greg.whalley@enron.com