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EXH067-00348

  Enron Energy Services

  ( From: Heidi Moryl 02/16/2001 07:27 PM

To: Dana Lee/HOU/EES@EES, Wade Stubblefield/HOU/EES@EES
cc: Rachel Massey/HOU/EES@EES
Subject: Forecast 02.16.01

Attached is a copy of the forecast for Tuesday's meeting:
02_16_01 Forecast New Format2.>
Thanks,
Heidi

GOVERNMENT
EXHIBIT
  4321
  Crim. No. H-04-25 (S-2)


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Enron Energy Services
(Actuals for Accrual Businesses = Forecast)

1st QTR 2001 EARNINGS ESTIMATE

Results based on activity through February 15, 2001


Business Tearn	
Margin	Direct &
Operating Expenses	
EBIT
	Actual	Plan	vananne	Faiecaat	Plan	Varian a	Forecast	'. Plan	Variance
Industrial (Mann)
Commercial (Schwarz)
Bundled Overhead
T	$ 28,282
-
-	$ 39,000
16,000
-	$ (10,718)
(16,000)	
-
4,800	-

4,800		$ 28,282
-
(4,800)	$ 39,000
16,000
(4,800)	$ (10,718)
(16,000)
Total Bundled Business	28,282	55,000	(26,718	4,800	4,800		23,482	50,200	(26,718
									
Fast Track Business (Sutterlldun(,°:ic!)	-	5,000	(5,000)	2,195	2,200	(5)	(2,195)	`> 2,800	(4,995)
California Region
Midwest Region
Mid-AtIantic Region
Northeast Region
Texas Region
Commodity Overhead	20,764
-
-
-
-
-	3,574
3,813
7,149
9,174
4.290
-	17,190
(3,813)
(7,149)
(9,174)
(4,290)	
-

-
-
5,481	
-
-


5,500	

-
-
-
(19)	20,764
-
-
-
-
(5,481)	3,574
3,813
7,149
9,174
4,290
(5,500)	17,190
(3,813)
(7,149)
(9,174)
(4,290)
19
Total Commodity Business	20,764	28,000	(7,236)	5,481	5,500	(19)	15,283	22,500	(7,217)
									
Mass Market		5,000	(5,000	1,200	1,200	0	(12001	3,800	5,000'
									
Value Enttanccmcu Group (Melyin)	2,506	23,000	(20,494'	1,100	1,100	0'	1,406	21,900	(20 494)
Gas (expenses include Tarnff and new pr.,,ucts)
Power
Tariff
Interest Rate
Prudency/Credit Reserve
Management
Underwriting
Breakthrough
Knowledge Management
Integrated Asset Manageme:it
National Facilities Managernant
HSB Marketing	(6,172)
(116,338)
(212)
3,914
3,080
-
-
-
-
-
-
-	-
-
-
-
-
-
-
-
-

-
-	(6,172)
(116,338)
(212)
3,914
3,980

-

-

-	3,155
1,340

-

349
920
283
1,100
9,789
373
1,300	- 3,800
1,000
-
-
-
300
1,000
100
1,100
7,800
300
1,300	(645)
340
-
-

49
(80)
183
0
1,989
73
0	(9,327)
(117,678)
(212)
3,914
3,080
(349)
(920)
(283)
(1,100)
(9,789)
(373)
(1.300)	(3,800)
(1,000)
-
-
-
(300)
(1,000)
(100)
(1,100)
(7,800)
(300)
(1,300)	(5,527)
(116,678)
(212)
3,914
3,080
(49)
80
(183)
(0)
(1,989)
(73)
(0)
Total Risk' Management	(115,728)		115,728	18,610	16,700	1,910	134,338	16,700	(117,638)
									
Enron Facility Services (Fade)	27,000	27,000	-	23,800	23,800	0	" 3,200	3,200	0
									
EE&CC _	-3,700	3,700		4,866	1,300	3,566	1,166	2,400	(3,566)
									
NEPCO	14,200	14,200	-	7,700	7,700		-_6,500	6,500	
									
IPT	500	500	-	1,700	1,700	0	1,200)	(1,200)	0
									
EEIS (Kettle)	100	100	-	1,500	1,500	0	_ 1j1,400l	(1,400	0
Middle Market
Outsourcing	17,800
982	10,800
1,600	7,000
(618)	6,100
-	6,400	(300)
-	11,700
982	4,400
1,600	7,300
(618)
Total Europe EESShare -Scrimshaw)	18,782	12,400	6,382	6,100	6,400	(3001	12,682	6,000	6,682
									
Accrual Earnings	1,000	1,000					_ ',00o	1,000	
									
N.A. Acct. Exec. & Management (N?essina)				7,700	7,700	" 0	,700)	7,700	0
Account Implementation and Planainy (Hurt)				1,200	1,200	0	1200)	1,200	(0
									
Bundled(Deal Process Support	-	-		1,532	3,000	(1,4601	1,532)	3,000	- 1,468
									
Commissions			-	5,000	5,000		5,000)	(5,000	
									
Conferences & Training				600	600		600	(600	
									
OvervIew	-	8,800	6,800)					8.800	8,800)
									
Total EES Commercial	1,106	183,700	(182,594)	95,084	91,400	3,684	(93,978)	92,300	(186,278)
									
Total Support Services	-	-	-	44,796	43,900	896	(44,796)	(43,900)	. (896)
									
Total Group costs	-		-	17,358	27,000	358	(27	21,000)	`: (358)
iNPCWarrantSecurr_i;rs
Equity in (Losses) Earnings of TNPC
Other Income and Ex, ,r._a s	ai,uu0
-
-	31,000
-
-	-
-
-	-
15,000	
15,000
-		31,000
(15,000)
-	31,000
(15,000)
-	
EES "Internal" EBIT	32,106	214,700	.. (182,594	182,239	177,300	4,939	150,133	37,400	187;533`)
Balance of Europe
Transfer EE&CCtoWholesa'e	18,782
(3,700)	12,400
(3,700)	6,382	612(. 64J0
4	(300)
3.566)	12,682 6,000
6	6,682
3,566
EES "External" EBIT `'	47,188	223,400	. _ 176,212	183,473 • 182,400	1,073	136285 41,0"	- 1177,285)
Interest Expense/(Income)	-	-	-	- -		- -	-
EES Pre-tax' Income ''	$ 47;188	$ -223;400	$ 176212	$ 183473 $ 182,400	$ 1.073	$ 136 85 $ 41,000	$ 177,285

FXHOF7-00349


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	Actual Deals Forecast Total	Margin
Business Team	DPR Accruals Other Margin Identified Margin Margin	Plan Variance
Industrial (Mann)	$ 28,282 $ - $ -	$ 28,282	$ - $ - $ 28,282	39,000 (10,718)
Commercial (Schwarz)	- - -	-	- - -	16,000 (16,000)
Total Bundled Business	28,282 -	" 28.282	- - 28,282	55,000. = (26,718)
Fast Track Business (Sutter/Zdunkewicz)				5,000 (5,000)
California Region	20,764 - -	20,764	- - 20,764	3,574 17,190
Midwest Region	- - -	-	- - -	3,813 (3,813)
Mid-Atlantic Region	- - -		- - -	7,149 (7,149)
Northeast Region	-	-	- -	9,174 (9,174)
Texas Region	- - -	-	- - -	4,290 (4,290)
Total Commodity Business	20,764	20,764	20,764'	' 28,000 (7,236)
Leasing (Derrett)	- - -	-	- - -	500 (500)
Quick Serve	- - -	-	- - -	- -
Enron Direct - Canada	- -	-	- - -	2,600 (2,600)
Enron Direct - USA	- - -	-	- - -	- -
Commercial Account Development	- - -	-	- - -	1,900 (1,900)
Total Mass Market				5.000 ;5;000)
Value Enhancement Group (Melvin)	2,506	2,506	2,506	23,000 (20,494)
Gas (expenses include Tarriff and new product:.,	(6,172) - -	(6,172)	- - (6,172)	- (6,172)
Power	(116,338) - -	(116,338)	- - (116,338)	- (116,338)
Tariff	(212) - -	(212)	- - (212)	- (212)
Interest Rate	3,914 - -	3,914	- - 3,914	3,914
Prudency/Credit Reserve	3,080 - -	3,080	- - 3,080	- 3,080
Total Risk Management	(115,728)	> (115,728)	(115,728)	"(115,728)
EnronFacility Services (Earle)	- -		27,000'. 27,000	27,000 .
EE&CC			3,700 3,700	3700
NEPCO			14,200 14,200	14,200 -
(PT			500 500	500
EEIS (Kettyle)'	- -		- 100 100	100
Middle Market	- - -	-	- 17,800 17,800	10,800 7,000
Outsourcing	- - -	-	- 982 982	1,600 (618)
Total Europe (EES Share - Scrimshaw)			18,782< 18,782	12,400 6,382
Accrual Earnings			1,000 1,000	1,000
Overview				8,800 (8,800)
Total EES Commercial	(64,176)	(64,176)	- 65.282 1,106	183,700 (182,594)

GrossMargin
1/9/2006 2:24 PM

021601 Forecast New Format2.xls

EXH067-00350


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Business Team
Industrial (Mann)
Commercial (Schwarz)
Bundled Overhead
  Total FSUrld7ed Business
  FantT(1t0k Bt~irtass (SultartZdur A.wi z)
California Region
  Midwest Region
Mid-Atlantic Region
Northeast Region
Texas Region
Commodity Overhead
  Total Commodity Dusiness _
Leasing (Denett)
  Quick Serve
  Enron Direct - Canada
Enron Direct - USA
  Commercial Account Development
Management
  Total Mass Market
  Value Enhancement Group (M6ly )
Gas (expenses include Tarnff and new products)
Power
  Tariff
Interest Rate
PrudencylCredit Reserve
Management
Underwriting
  Breakthrough
Knowledge Management
Integrated Asset Management
National Facilities Management
HSB Marketing
  Total Risk Management
'i EnrorFEacilit $erv c 5 (Faric)
-~'EE&CC
  NEPCO -
LEEIS (Kettyle)
  M rkot

  Total Europe (EES Share Sc 1 ;ha, )
cruel EarnincJs
  N.A. Acct. Exec, 8M -1er re t(f _i~ )
Account Implementatl , and Plan, 1p~(I-art
BomdledlDeal Process Support
  Commissfoin
Conferences & Tralniny. _ -_ -..
Overview
  C Rat EES Commercial _
Financial Operations (Stubblefield)
  Enron Assurance Services (Stubblefield/gonad)
Tax(Apke)
  IT (Harris)
IBM (Hams)
  Information Asset Protection (VanDeGohrr
Strategy Management Process (Katheria)
Legal (Sharp)
  HRJMar/ComlCust Sat. (Tileey)
MBCR Outsource Mgmt (Posey)
Executive (Delaney, Suede, Leff, Dietrich)
Corporate Development (Mul',
  Risk Control and Operations (Curry)
CSC
  Total Support Services __
Regulatory
  Corporate Charges
Banns
  Phantom
Depreciation & Amortization --~
Bad Debt
  Total Group Costs
TNPC Ns ant S CCU' iL_.,',_ r..
Equity in ILcss es) Ea: ru,;i:. -I,
Off- Income and EK.-n.._;
  OES intornaf Expenses
I,.. lE,r.pe
  1.:, 1. EESCC IO Vrx I-..,I
  EES "External" Ex en5-^,5 _
lInterest Expensel(Income)
  EES Pre-tax Itleome

Expenses
119/20062.24 PH

		Operating Expenses		
Jan-01	Feb-01	Mar 01	Forecast	Plan	Variance (Fav /Untav
Actual	Forecast	Forecast			
1,652	1,574	1,574	4,800	4,800	-
1 s	1 t	1,574	4,800	4,800	-
6'		837	2,196 _	2.200	)5)
					
1,827	1,827	1.827	5,481	5,500	(19)
1,127	-1,827	- 1,827.	5,481	'- 6,563	'(19)..
15	143	143	300	300	0
31	135	135	300	300	0
25	38	36	100	10	(0)
10	95	95	200	20	0
34	133	133	300	30	0
1 15
-	543	543	1,200	1.200	g
427
`	?37	337	1,100		
1,052	1,052	1052	3,155	3,800	(645)
468	436	436	1,340	1,000	340
116	116	116	349	300	49
307	303	307	920	1,000	(50)
94	94	94	283	100	183
(714)	937	937	1,100	1,100	0
3,619	3,085	3,085	9.789	7,800	1,989
124	124	124	373	300	73
833
--	-
---	467
--	1,300	1,300
-	0
-
8040	6.152	6,619	18,610	16,7C0	--1,910
5 1	u	9,027	_- 23,600	23,800....._	0
..		1 522	4,866 :	1,300	1,536
( ._. 1	_	.._ -		.
:
7	
.,	2 vd8	J68	7.700	...
00
7.	
1	1150	567	1,700	100	~(0)
C[	44,,	j
450	1,50G .	1,65_	(0)
4				6	
					
4
'-	1,71;	1,763	
100	
1,4 00	
)'J01

--	1	2.939 l	7,700	7.700 .	. _ __ 0.
,	
T	447 f	1,200		0
4,5	522	522	,532	"3000	(1
468)
					,
2,741	r,JC	1.659	5,000	5,000	
		279	600 >	"DO	.
					
					
29,43.1	'11.87	?3948,	95,084	91,400	- -- 3,684
1,212	(252)	500	1,460	1,500	(40)
15	297	188	500	500	(0)
173	364	364	900	900	0
571	500	500	1,571	2,100	(529)
2,523	789	2.689	6,000	6,000	(0)
74	113	113	300	300	(0)
40	70	70	180	200	(20)
(114)	2604	2,610	5,100	5,100	(0)
792	1,706	1,708	4,208	4,200	8
61	70	70	200	200	0
1.226	1,226	1,226	3,678	2,200	1,478
290	305	305	900	900	(0)
2,154	2,373	2,373	6,900	6,900	0
- 4,192	4.354	4,354	12900	12900	0
13.208	14,519	17,070	44 796	43,900	896
652	654	654	2,000	2,000	-
3,297	3,297	3,297	9,892	9,900	(8)
	1,500	1.500	3,000	3,000	-
-	-	2,800	2,800	2,800	-
2,050	3,125	3,125	8,300	8,300	0
566	400	400	1,366	1 000	366
6,605	5,976	11,776	27,356	27,0x-2	- 057
	-
--	15,000	15,000	15,000	-
49.2511	-
S.192	77,794	172,239	:177,300	4,yJ9
		1,763	6,100	6,400	(300)
			4 a6,	(1 3,	
50,_' 5	3-3	77,35	183 473	162,4610	
	T-				
50,20.,	5 3.'_	, 435	1,53,473	162.4V0	
1 n'1

Variance Explanation

High Jan Opex; will make up difference to hit Q1 Plan
Or 441 () .f v, ,mane r (jihr/l( rx ci l _ v/ (11 F- 1
Low Jail Opex; 6430 makeup difference to tut Q 1 P0001
Researchi Jan-:: Should hit Q1.

AOPS- high consulting exp, unexpected PMC equip exp,
-Researching PMC equip to see if it can be capitalized.
Double billed HSB fees in Jan.

  orrhng i rd 51er1 ,. tyn.c , to d 1
Researching
Resaaibhe -.....
Tn;e Jan -Opex $500. COS Redase needed. Stdd tut Q1
Op .+ " .:for Jan. Forecasted to make up vanr7,Q1-

Fav Vartancm Lasad on new estirn4)65 from Europe/Graharn.
ReseerciY . uar S uIdlu1 01.
i7asearc " low Jan,, Should hit Q1, _
Fav 01 hf due to ptapttedexpiiriseS!o aduatl rut in later O's.
H n Doc'Closed Owls, Cc's' Jan:, pn ed to hit Q 1,

Jan includes phantom pmts of $800 to be reclassed
Arthur Anderson rec/ass needed; $108.
Favorable Jan, however will hit QI plan.
Researching,.,
True Jan: $1,400. Capex re/cass hit in Feb & accr reversal.
Favorable Jan, however will hit QI plan.
Favorable Jan (open pos); come in slighlty under plan,
Over accrual in Jan, researching... Should hit Q1 plan.
Favorable Jan; should still hit Q1 plan,

Researching...
Favorable Jan, however will hit Q1 plan.
Researching...

02_16_01 Forecast New Format2.xls

EXHO67-00351


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  E~,dtess po

EES - Risk Analysis

  1Q/2000 MTM Origination Summary
  As of 02115101
  NINE

Commodity
VEG
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Commodity
Bundled - Ind.
Bundled - Ind.
Commodity
VEG
VEG
VEG
VEG

				Origination P&L (Mid to Contract)			
Deals	Total (000's)	Hedge Mgmt.	Sales Origination	EAM	Consumption	Credit
		Power	Gas	Power		Gas	Power Gas		Premium	Reserve
Verizon	$ 7,515	$ 3,726		$ 5.229			$	(1,034)	$ (405)
Darden	$ 158	$ 135		S 85			$	(18)	$ (44)
Tawa Supermarket	$ 62	$ 61		$ 2					S (1)
Aerospace Ketema	$ 711	$ 243		S 505			$	(24)	$ (14)
Edgewater	$ 52	$ 45		$ 17			$	(3)	S (7)
Pinecrest Retirement Community	$ 35	$ 25		$ 16			$	(1)	$ (4)
Haym Soloman	$ 35	S 28		S 20			$	(9)	$ (5)
Triple Tree Resorts (San Diego)	$ 67	$ 64		$ 9			S	(3)	$ (3)
Deone Pet Care	$ 58	S 48		$ 27			$	(4)	$ (13)
Ohio MSG	$ 5,164	$ 5,833					$	(183)	$ (486)
Sky Chef	$ 78	S 48		$ 34			$	(1)	$ (3)
Poway Chevrolet	$ 37	$ 30		$ 8			$	(1)	$ (1)
Poway Honda	$ 55	$ 45		S 12			$	(1)	$ (2)
Old Bridge Chemical	$ 177	$ 161		$ 93			$	(17)	$ (60)
Empire Hard Chrome	$ 477	$ 141		$ 382			$	(10)	$ (36)
Boston Globe	$ 345	$ 132		$ 243			$	(15)	$ (15)
Owens Illinois	$ 7,423	$ 12,972	$ 5,304	$ 2,683	$	1,001	$	(936)	$ (13,600)
Quaker	S 20,859	$ 5,635	$ 1,421	$ 4,595	$	1,163 $ 3,423 $ 7,311	$	-	$ (2,690)
Mid Market Gas Deals	$ 5,408		$ 2,687		$	2,721			
VEG - Arch Diocese of Chicago	$ 250		$ 196		$	54			
VEG - DESC - Los Alamos	$ 108		$ 34		$	74			
VEG - IBM Corporation	$ 68		$ 68						
VEG - Quebecor	$ 1,922		$ 570		$	1,352			
Reclass	$ -		$ 1,890		$	(1,890)			
Unidentified`	$ 489	$ 101	$ 212	$ 194			$	14	$ 4
Total 1Q 2001	$ 51,552	$ 29,474	$ 12,382	$ 14,153	$	4,476 $ 3,423 $ 7,311	$	(2,275) $	(17,392)

Comments
Please note that the Credit Reserve number reflects only Origination Power

'Did not have detail for this balance at report cutoff time.

wunts7_nn'F)