nytimes com article trying restore confidence enron salvage merger article nytimes com sent jimboman ix netcom com thought might want read jim jimboman ix netcom com trying restore confidence enron salvage merger november 28 2001 richard oppel jr andrew ross sorkin enron corporation news quote dynegy inc news quote worked yesterday find ways bolster confidence enron weakened energy trading business companies negotiators continued talks revising terms merger executives close talks said renegotiated deal would cut value acquisition half said roughly 4 billion dynegy said also prepared invest least additional 250 million enron top 1 5 billion cash infusion dynegy biggest investor chevrontexaco included initial deal announced nov 9 dynegy wants new cash backed hard assets companies trying identify value enough enron holdings already mortgaged creditors executives said series financial disclosures sent enron stock collapse company arms dynegy houston rival enron natural gas electricity trading floors business two largest competitors combined also accounted majority enron profits far traders wall street analysts said business steadily deteriorated amid questions depths enron financial straits many traders curtailed dealings enron executives close talks said dynegy officials scouring enron books difficulty week figuring much cash trading operation generating executives close talks said renegotiated terms dynegy acquisition enron would lower price 0 13 dynegy share share enron cutting half value deal announced nov 9 dynegy offered 0 2685 share deal struck 0 13 dynegy share yesterday closing prices dynegy would paying 5 32 enron share 29 4 percent premium enron diminished stock price premium 20 6 percent enron closing price day deal announced companies seeking promises enron bank lenders extend debt repayment dates merger closes also discussing adding provisions could limit dynegy ability back combination two companies also working arrange cash infusion 500 million j p morgan chase news quote citigroup news quote would provide enron desperately needed new cash growing concern cash infusion banks calm investors fears reassure energy traders leading dynegy seek additional 500 million cash enron late yesterday two companies hung whether enron already used many prized assets collateral loans enough assets left serve collateral additional money according executives close talks number enron assets examined including already used obtain loans executives said assets include transwestern pipeline major natural gas pipeline links gas producing basins texas southwest california enron stake gas pipeline assets 9 8 percent stake worth 400 million eog resources news quote former subsidiary independent publicly traded oil gas company indirect stake hanover compressor manufactures equipment used increase pressure natural gas facilitate flow interstate pipelines yesterday investors anxiously awaited report moody investors service like major credit rating firms currently ranks enron debt lowest investment grade level enron lose investment grade status could forced repay refinance 3 9 billion debt traders would probably curtail business late yesterday moody news quote decided issue statement receiving assurances enron dynegy officials renegotiated deal would announced soon executives said moody spokesman declined comment executives close talks said hoped new cash dynegy would reassure wall street energy trading markets enron trading floor would survive remain valuable asset analysts investors difficulty figuring much value trading operation already lost much business reduced credit concerns believe dynegy probably seeing deterioration core business wants renegotiate purchase price result said andre meade head united states utilities research commerzbank securities new york think anyone estimate earning power enron next three four quarters sure enron good estimate mr meade said believe dynegy earlier estimate acquisition would add 90 cents share earnings reliable today given sharply business seems deteriorated mr meade calculations enron trading volumes fall 50 percent next year even normal volume growth levels returned 2003 would wipe nearly value stock karen denne enron spokeswoman said company experienced decline energy trading volume number traders business stabilized yesterday declined elaborate quantify decline also said enron trading operation remained profitable though could quantify also said know whether company working possible bankruptcy filing contingency plans business liquidity worsen moving forward merger said dynegy officials return telephone calls yesterday shares enron rose yesterday news possible revised acquisition agreement closed 4 11 2 5 percent 10 cents shares dynegy closed 40 89 4 2 percent 1 64 though yesterday gains halted four day slide enron shares stock 95 percent year disclosures major losses well significant accounting errors led enron admit overstated profits last five years nearly 600 million difficulties within enron trading operation exacerbating company overall liquidity problems three ways according analysts rival energy trading executives first traders requiring enron put greater margin trades top cases enron traders forced pay buy natural gas traders companies credit premium transactions ranged 3 cents 6 cents every million british thermal units gas enron buys people say additionally many traders like mirant corporation news quote either scaled back stopped business enron hurting trading revenue mr meade commerzbank said end use customers trading counterparties appear shifting business competitors result enron credit concerns reluctant increase exposures enron advertise information advertising e mail newsletters creative advertising opportunities new york times web please contact alyson racer alyson nytimes com visit online media kit http www nytimes com adinfo general information nytimes com write help nytimes com copyright 2001 new york times company