Tom Sinclair 03/09/2001 05:43 PM.. To: David CoxlEnron Communications@Enron Communications, Everett Plante/Enron Communications@Enron Communications, Jim Crowder/Enron Communications@Enron Communications, Jim Fallon/Enron Communications@Enron Communications, John Echols/Enron Communications@Enron Communications, Ken Rice/Enron Communications@Enron Communications, Kevin Garland/Enron Communications@Enron Communications, Kevin Hannon/Enron Communications@Enron Communications, Kristina Mordaunt/Enmn Communications@Enron Commuijications, Phillip Lord/Enron Communications@Enron Communications, Richard DiMichele/Enron Communications@Enmn Communications, Scott Yeager/Enron Communications@Enron Communicatibns, Ted Seitz/Enron Communications@Enron Communications, Dale Surbey/Enron Communications@Enron Communications, Anthony Duenner/Enron Communications@Enron Communications * cc: Kevin May/Enron Communications@Enron Communications, Leo -. , Paige/Enron Communications@Enron Communications, Carolyn BarrettlEnron Communications@Enron Communications Subject: Executive Management Summary Attached is Monday's Summary. I~J Executive Management Summary 03-12-C Feel free to contact me should you have any comments or concerns. Tom Sinclair Enron Broadband Services Senior Specialist Office: 713.345.5683 Email: torn_sinclair@enron.net p 7 I GOVERNMENT EXHIBIT 4511 CnniNo 1104-0025 Union Network Enron Broadband Services Executive Management Summary March 12, 2001 Stricfly Confidential Qo Not Copy or Distdbute * Operational POP 4 OperatIonal Pooling cJV lnstalIe4 Net tempt ste Pl~nm,d *Y'' Proposed Map Last Updated 02/05/01 - Lit Fiber - Iftlifleady (Dm4 Planned 11W Ready 0 San hani ~olesaIe Market Origination Content Origination Broadband Investments Semiconductor Services Media Services Enterprise Services Europe Asia Origination Global Trading & Risk Management Latin America Office of the Chairman Other - total Commercial * Group Capital Charge Offset Overview ~'EBS-E6lT -A.. Estimate Plan Variance $ (9.5) $ 10.1 $ (196) (7.1) 1.9 (1.7) 6.6 (2,0) (1.5) (2.2) 2.4 (6.8) 2,3 (7.3) (1.4) (52) (5.2) (65.6) (55.9) (1.5) 0.5 (2.4) (2.4) (1.0) (0.1) 9.5 $ ~j102.8) 'S (90) (8.3) (0.5) (4.6) (9.1) (5.9) (9.7) (20) (09) (69.8) 75 20 (35.0) $ ~. (eta) $ 03 $ 2.5 $ 0.1 (1 4) (03) 05 1.7 $ 1.6 0.4 1.7 2.5 (7.3) (0.7) - (0.3) 3.0 95 Margin 4.5 0.1 0.2 (0.3) 0,9 1.7 2.5 (7.3) (1.0) Charge $ 3.2 $ 10.8 $ 3.1 4.1 0.8 1.1 1.1 0.6 1.0 2.1 3.2 5.3 9.1 0.7 4.2 10 67 516 0.7 08 1.3 1.1 'j~ 34:4 ~fl.7~2>K 79 2 (79.2) $ ~113.6" $ 5,,; - $ (9.5) (7.1) (1.7) (2.0) (2.2) (6.8) (7.3) (5.2) (65.6) (1.5) (2.4) (1.0) (112.3) 9.5 ~: (102.8) $ (165) (10.8) (98) (06) (41) (84) (5.9) S (3.1) 1.8 - 1.5 - 0.1 - (0.5) - (0.7) (10.3) (2.5) 0.6 0.5 (0.9) (69.8) (0.0)>. 2.0 - - j1 (678) $7: $.U00)$:~ includes Depreciation & Ad Valorem Taxes DPFO Charges Vvhoiesaie Mad~et Origination Broadband invesiments Semiconductor Sereces Media Ser'lces Giobsi Trading & Risk Management Other (miliions of dollars) Actual Deals Other Total Direct Allocated Capital Gross Direct Allocated J Capital Business Team Margin Identified Margin Expenses Expenses *1 Total Margin Expenses Expenses') Charge Total S (19.6) (9.0) (8.3) (0.5) (4.6) (9.1) (5.9) (9.7) (2.0) (0.9) 'j, (69.8) 2.0 S (67.8) 01 (07) (0.2) 01 (05) 1011 Deal Name Team Leader Sec ~ MTM j TCV NPV Cash Probability MktSegrnent 8W mt Layer #2, Global Crossing - OCI2JDW 48 Deal Brian Spector Wholesale 2.5 (17.9) Circuits, TDM Compaq Computer Corporation Kim Godfrey Enterprise 1.7 1.7 90% Other BMC Software, Inc. Brad Nebergall Enterprise 6.1 1.3 75% IPN NETS Group Brett Vorley European 2.5 50% Circuits, Option Various Counterparties Edward Ondarza Media Services 0.4 80% Media Services 2549% Deals tTeamLeaderl Sector NPV Deal Na~ie >~ ~MTM / TCV >c<. Cash Probability MktSegment Into Networks/Electronics Boutique (ELBO) Swaps Michael Harris Content 9.6 Approx $4IJMM (1.0) 49% Other Cambrian Communications, LLC -Swap Brian Spector Wholesale 49% Oar'k Fiber AT&T Edward Ondarza Media Services 0.2 30% Media Services Stephen Dowdf 25% Media Transport CNN Stewart seeligson Content n/a n/a MFN -Chicago-Totonto-New York Mitch Olson Wholesale 1.3 8.1 25% Lambda Telstra Corporation Ltd. - Deal #2 Brett Vorley European 0.2 1.8 25% Circuits 'I Over I (Under) Total Plan Allocation Whsl Cant EMS Asia Trad. Other Switching Services * Software Engineering Global Network Services Mid-Office Operations Product Engineering Structuring Strategic Development $ 2.3 $0.4 7:5 0.8 7.1 1.0 1.3 0.2 $ 0.5 $ (1.6) 3.2 (5.7) 1.7 (2.1) 0.3 (0.3) 2.6 0.4 0.1 0.5 0.1 0.5 $ 1.2 $ 2.8 0.6 6.4 5.3 0.2 $ $ 13.0 1.5 $ -. $ - 0.2 3.3 1.1 1.0 - $ 2.8 - 6.4 - - - 13.0 - 1.3 0.4 0.8 0.2 0.6 4§4~g Fi1ii~tionsr Legal Accounting & Transaction Support Purchasing Facilities Finance Human Resources Marketing, Communications, PR Business Contmls & Security Corporate Development Corporate Charges and Other 1 .0 1.9 0.4 0.1 0.8 0.9 1.1 0.4 0.4 0.1 0.2 0.1 0.8 0.5 0.1~ 0.1 0.1 0.2 0.2 0.7 0.1 (1.3) 0.1 2.0 1.2 3.8 0.2 0.7 0.2 0.4 - 0.9 0.1 1.3 0.7 2.7 - 0.4 - 0.5 12.5 11.2 1.2 0.0 0.5~ 2.3 0.1 0.8 0.4 0.0 0.2 0.2 0.0 -0.1 0.6 0.0 0.2 0.2 0.3 0.1 1.7 0.0 0.6 0.3 0.0 0.1 0.3 0.0 Q.1 2.1 2.2 1.3 - - 0.3 - - 0.6 - - 0.1 - - 0.1 - - 0.1 0.1 0.4 0.2 - - 0.4 - - 0.1 - - 0.1 0.5 3.1 1.9 Ad Vilorern T~ 2.5 2.5 0.0 0.1 0.0 - - - - 24.7 $ 28.3 $3.8 $ 8.6 - $ (11.0) $ 49.5 24.7 - $79.2 $~ - 0.5 $ 10.8 0.7 - 0.4 $ 4.1 $ 5.3 Salary Related Emp Exp Outside Svces Amt Captlzd Corporate Charges & Other 0.3 1.1 pepreci~ti&IA7fiSrtiziti6W Total Allocated Expenses 2.3 0.0 0.3 $ 1.0 21.7 $ 51.6 1.2 $ 6.4 Income Adjustment Items ($ MM) Original Investment $3.0 $5.0 $4.0 $5.0 $5.0 $4.1 $2.0 $5.0 $5.9 Amber Networks $6.2 $2.8 $1.0 $5.0 $5.9 $1.5 Vivace Networks $0.0 ($1.3) ($1.0) $0.0 $0.0 $1.5 $1.0 Acquired Sy Inktomi Exposure to current public market price Shutting down operations. Selling assets and distributing cash. Just closed a round composed of $100 MM equity and $75 MM vendor financing. MSHOW was acquired by Owest Digital Media for $50 MM. The value of the combined entity is $500 MM. Additional shares: 125,000 for services to date and test outilne. 62,600 for test commencement and completion. 100,000 shares acquired for signing Collaboration Agreement. $22.0 $23.2 $23.4 $0.0 $0.2 1st Quarter Investments ($ MM) Company Lynx Photonics Investment Amoui Description $3.0 LYNX is an Intelligent Optical Network (ION) Subsystems Company with its own patented optical planar waveguide switching technology. Lynx plans to provide communication system vendors with photonic switching solutions. Company Fast Forward Equinix IAM.com Telseon Carrying Value Current Value Exit Value Income Adjustment Description $6.2 MSHOW.com Total O2izu - U3/U4. o 0 0 6 6 6 0 0 0 42 42 36 o 0 0 17 14 11 o 0 0 24 24 24 o 0 0 39 39 39 o 0 0 128 125 116 u U u o 0 0 o o 0 o 0 0 0 0 0 2 2 6 5 8 7 21 21 3 3 2 4 7 21 3 0 0 0 40 38 37 o (14) 482 482 0 (2) 110 110 0 (1) 33 33 o (1) 30 30 o (18) 655 655 BDP SwitchPoint - Salt Lake Reflex - Portland - Reflex - Seattle Verizon - New York Movie Latency (sec~ Peak Up-Time Stream Utilization 4.0 99 86% 4.0 99 86% 4.0 99 86% 40 09.86% 1.0% 04% 02% 03% CustomerService ____ _ 0 Average Wait Time 0 seconds Abandonment Rate 0% Total Calls: * 38 Non-cust' 17 Resolved: Escalated: 12 .9 Artisan Blockbuster(DEJ) Cinema Now (Tnmark) MOM Enron Movie Content Sub Total Movies Baby Einst~in EBS Special Interest Vast Video National Geographic Sub Total Special Interest Grand Total Weekly Avg. Pur per Sub Year-to-Date Weekly Avg Pur per Sub Top 5 Titles 14' 10 12 04 '55 15% 11% 13% 59% 2% 93 66% Ao~2~ 2680 '.13 .- 28%, 47 140 0.21 0.42 34% l44~ 3261 3,005 I s 3,606.00 I EBS paid per movie streamed Autumn in~ New YOrK(MGM) ~ ' 4....................>,a~w-m>'~a mi~i~ 9% ~c*r Return, to MeqMGM) ~ ~ 1s14*# ~ 04415% Care 5ee~s MoVie (MOM): 2000 Amazing Monieiits tNDOeo) 1* "o .ieor 4% 04404 P1 (A~tisatfl: Po~eye 0~'rtbons 1940's (1) (EOS):,The'Man duoe red, , 4 4< MasI4'{M~M): Cooking: i~Love Sushi(ast~ddo)Tht~14~ 4~tt,'li , 04, UteeNinja, (cinemaNow), ~or~ (CinaeaNow).4 Point Doom (084):'' ~nmsrySuspoct (D8'J), Popeye Cartoons .1940's (2) tE8S)~ AFamity 04 T$lng (MGM): Ootpi*~,Tho Wild Side.(NUGeo) ~j4444'~' 44 2% 04 Week lv Weekly Cumulative Other (Charade etc.) SwitchPoint - Salt Lake Artisan Reflex - Portland Blockbuster Reflex - Seattle Cinema Now (Trimark) Verizon - New York MOM Total Totai rupeyt uBriouns Baby Einstein First Works Series Vast Video National Geographic Total 444 <"A' Vld~OperatIng Center 14 Pooling Point Network I North America - Running/Operating EBS EBS EM EBS EBS EBS EBS EBS EBS EBS EBS EBS MFN Exchange Layercne AT&T MFN EBS Las Vegas Los Angeles New York Atlanta Chicago Dallas Denver New Orleans Portland Salt Lake City Seattle Houston (0/point) New York San Francisco MIami Houston(1301F) Washington DC San Jose 2.50 4608 4608 2.50 4608 4608 250 2.5G 2,50 2,50 4608 2.50 2,50 2.50 2.50 2.50 2,50 4608 Equipment Installed (subject to NOC connectivity) MFN Philadelphia MFN Washington DC EBS Boston Cities/POPS 250 2.50 2,50 18 21 Europe & Asia - Running/Operallng Telecity Telecity lnterxion Intenuon lnterxion LD Corn CornSpace London Amsterdam Frankfurt Dusseldorf Brussels Paris Tokyo 4608 100 100 100 loG 100 100 CHin/POPS Total 25 28 Western Build Wasatch Build Texas Extension Gulf Route OST Swap MEN Swan Seattle-Portland-Sait Lake City-Las Vegas-Los Angeles Salt Lake City-Denver Denver-Amarillo-Dallas-Austin-San Antonio-Houston Houston-New Orleans Los Angeles-Sacramento-San Jose New York-Washinoton DC TOTAL 5,460 flnrk FII-nar Fnntnrint irlIrrently in post~ttinn) Western Build Wasatch Build Texas Extension Gulf Route MFN Swap OST Swap 360 Swap FECT Swap DTI Swap AT&T Swap Owest Swap Seattle-Portland-Salt Lake City-Las Vegas-Los Angeles Salt Lake City-Denver Denver-Amarillo-Dallas-Austin-San Antonio-Houston Houston-New Orleans New York-Washington DC LA-Sacramento-OAK-al spur (Portland-Sac 01 2001) NO-Chicago-Denver (Chicago-Boston 01 2001) Atlanta-Jacksonville-Florida Ring Denver-Kansas City-Omaha-Des Moines-Chicago Boston-New York various routes I 1562 388 249 786 2,097 780 882 288 1 253 TOTAL 7,557 10,580 flark Fiber Miles (in total) Complete Enroii rsuild 3.000 '04,0 Complete Swap Received 3,891 48.316 In Progress Swap Received 13,793 154,908 TOTAL 21350 357735 Metro Dark Fiber Miles (it, total) r ~~s~,Nbiijjj~Fiber ~Type 'Cities Spurs to PoPs Newark. Philadelphia, Wilmington (DE), Baltimore 36 691 Metro Fiber Rings Chicago, New York, San Francisco, Portland, LA. DC venous 4.503 New York Other New York 6 133 TOTAL 5,328 Conduit Miles Mites Miti 1 Salt Lake City-Denver-Amarillo logi logi 2 Amarillo-Dallas-Austin-San Antonio-Houston 1,083 2.166 2 Houston-New Orleans ass 772 TOTAL 2,560 4,029 Equipment Cost Number $000 -c , '~"'~' In Field Servers ...v Streaming Servers Installed ~t Site 02 Servers WMP Servers Total Billable Streaming Servers in UCLIULP 02 Servers WMP Servers Total Inirastn.cture Servers Installed at Site Sun Netra T1400 (Europe) NOC MediaCast Monitoring Total Ut Fiber Footpulnt Miles Daric Fiber Miles 05-3 (monthsl TOy (millions) Servers (instelled per Network Ope) P Transit (05-3 Months) Pooling Point Operating Cakes Simultaneous Streams (@300 kbps) Simultaneous Streams (@20 kbps) Utilization @20 kbps& 10% Simultaneous Viewing 314 - 20,500 28 25 G2 150 WMP 300 G2 1,000 WMF 2.000 02 256% WMP 024% I Lit Foatnrint tcurrentlv Lit) Cfty 1,885 612 1,502 386 786 249 270 $4,266 44 304 314 $4,570 229 41 270 $3,616 283 $3,901 1,865 612 1,562 386 249 786 2,097 0 0 0 0 5 23 28 Carl, Fiber Miles Received 7557 Contracted 21,350 - 5,480 357,730 5,209 $1,155 MediaCast lPNet Connect MC 2j1-Extranet MC 2.2 MC &0 MC 3.0-Extranet CA TBD 3/30/200 1 - 2/15/2001 TBD TBD 0.1 SOS--------- - ~Cantrol Systems - ----------- Project - Delivery Status Actual $ Frcst $ 0.05 0.25 TBD Project Delivery Status Actual $ Frcst $ IPN 1.2 TBD 0.2 IPN 1.2- SWE 3/31/2001 IPN 1.3 4/1/2001 n- TBD 0.4 Project Delivery St~t'. Actual $ Frcst $ Reservations and Scheduling QOD 1/24/2001 2.8 4.00 Project Delivery Status Actual $ Frcst $ PPCS 1.1 3/31/2001 n a TBO TBD ~rsr~r~ ~ SJOWO$Sfl3 I 0) C uJ C U.) U, 0) C) C-, L. C) 0 U C E C-) 0 L 8I U Ii- 0 C) (U in z SJOWO1SflD 4 C C, 0 S I r a) C, E 0 'is C a I- IL Enron Broadband Services March 12, 2001 [Forecast I, Plan $ (30.6) $ (30.6) Funds Flow V :Annijal Forecast Plan $ (100.0) $ (100.0) Capital Expenditures: $ 58.1 $ 58.1 $ 230.0 $ 230.0 Fiber Lighting 29.3 Real Estate & Construction 20.9 5.3 210 _ _ 210 __ 84.0 4.8 9.2 19.2 Non-Network Equipment & Other 8.5 $ 176.3 $ 176.3 $ 700.0 $ 700.0 Fiber Routers Switches Servers 29.3 20.9 115.0 Europe India 5.3 83.0 21.0 4.8 Total 9.2 19.0 115.0 83.0 21.0 84.0 19.0 41.8 74.7 31.5 19.2 41.8 8.5 74.7 31.5 Department March 08 March BI(W) Head Actual Budget Variance Office of the Chairman Rice/Hannon North America Business Units Wholesale Market Origination Content Origination Enterprise Marketplace Services Semiconductor Services Media Services StreamCo Broadband Investments Total North America Business Units Global Business Units Europe Asia Origination Latin America Global Trading & Risk Management Chief Commercial Officer Total Global Business Units GIbbarFUritti6iir~~ Network Engineering Structuring Broadband Switching Risk Mgmt Ops & Reporting Product & Information Engineering Total Global Functions Global Staff Functions Strategic Development Legal Corporate Development Human Resources - Marketing/Public Relations Business Controls & Security Finance Total Global Staff Functions Seitz Cox Crowder Doshier Ondarza DiMichele Garland Elliott Duenner Waddell Fallon Golden Richter Stavropoulos Echols Plante Yeager Mo rda unt Donahue Barnard Kimberly Brindle Howard TOTAL AnalystslAssociates TOTAL EBS Europe Actuals as of 02/28/01. 7 7 41 43 28 8 7 44 37 3 (6) 30 14 10 2 9 144 3 (2) 6 110 34 (2) 18 10 100 254 1 (28) (12) 2 9 138 112 * 16 9 128 1 266 228 43 47 102 231 651 2 16 4 31 40 10 18 121 1,183 76 1,259 241 44 47 100 201 633 13 1 (2) (30) (18) 21 5 31 30 11 18 116 1,154 83 1,237 (2) 5 1 (10) 1 (5) (29) 7