FW: Cleburne issues ,
 Jeff, 

The message below is in reference to the voice message and e-mail I sent you a couple of weeks ago.  We are serving as agent for Tenaska IV, with the duties of scheduling and settling for the fuel needs of the Cleburne plant.  In November, the plant was not running at full capacity, so we sold the excess fuel gas to TXU Fuel and TXU Gas Distribution.  In doing this, we ended up with a net payment owed to Tenaska IV (in normal months, Tenaska pays us and then we pay the suppliers and pipelines.  All profits/losses are passed through to Tenaska.  ENA receives a management fee).  Can we pay intercompany bills?  How should we go forward with this agency responsibility?  

Daren

 -----Original Message-----
From: 	Armstrong, James  
Sent:	Friday, January 04, 2002 3:05 PM
To:	Farmer, Daren J.
Cc:	Olsen, Michael
Subject:	Cleburne issues

Daren, with Megan gone I just wanted to touch base with you on the status of the Enron payments owed to the Cleburne plant.  The current issues are as follows:

November Gas Sales					$600,377.50
October payment to ENA for TXU pipeline charges	$108,405.00
Cleburne receivable from Enron				$708,782.50

Less: November Gas Agency Fees			($54,000.00)

Net Cleburne Receivable from Enron			$654,782.50

Per my discussions with Megan, she stated that about $500K of the $600K Nov gas sales was intercompany (desk to desk) sales, with the remainder from TXU.  Are we able to settle any intercompany deals now? Are we able to settle with TXU?

Additionally, you'll see that I included the Oct TXU payment in the receivable owed to Cleburne also.  This is because I always pay Megan based upon the pipeline estimates in Michael's file, even though they are not finalized until the next month.  Therefore in my November payment to Enron, I paid ENA for October's estimate, of which Megan would have paid the final bill on 12/26/01 when it was finalized.  However, I had to pay the October bill directly last month, even though I had already sent the funds to ENA in November.  Therefore, I essentially paid this bill twice (once to ENA in Nov & once to TXU in Dec).  I deducted the November Agency Fees from these receivable totals to show the net amount owed to Cleburne.

Please advise as to the status of these bills.  You can reach me at 713-853-7280.  Thanks.

James
t..hodge@enron.com