QUESTION: Sharon:  With respect to the ENE form of guaranty, we will agree to delete Paragraph 4  (setoff and counterclaims) in its entirety. This is a major concession by  ENE. Can you now agree to the remainder of the ENE guaranty format? Please  let me know. Thanks. 
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ANS: Enron Corp ("ENE") guaranty of Enron North America Corp.

QUESTION: Daren,  Per your requests attached is a 1 year proposal for Firm Transportation on Oasis to deliver gas to Lone Star Kerrville. If you have any questions, please feel free to give me a call. John Lopez      - enakerville.doc 
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ANS: Firm Transportation Proposal - Lone Star Kerrville

QUESTION: Jim, I can assure you that neither John or myself are trying to attract blame  or "cover our backsides";  however, I do believe that there is/was a genuine  breakdown in communication somewhere in the deal team, accounting and the  desk. As well, it appears that this is not completely a black and white  issue and can legitimately attract a number of points of view. As executives  of this company, you, Brian, Tim and Tom absolutely were responsible to  ensure that all aspects of this transaction are managed correctly. Nevertheless, I think it is amazing we have not had more problems with this  divestment given the size, complexity, time and how intertwined it is into  the overall framework of ENA. I appreciate your candor and the unselfish maturity to bring to the trading  floor. I look forward to working with you as we continue to build our Texas and gas  business. Regards 
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ANS:
Bammel Storage Cushion Gas Issue.