Message-ID: <12372321.1075840850546.JavaMail.evans@thyme>
Date: Tue, 12 Jun 2001 18:48:00 -0700 (PDT)
From: brian.redmond@enron.com
To: larry.abbott@enron.com, don.adam@enron.com, stephen.allen@enron.com, 
	gary.anderson@enron.com, leola.barnett@enron.com, 
	david.baumbach@enron.com, michael.baust@enron.com, 
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	frank.osburn@enron.com, mary.perkins@enron.com, jim.pond@enron.com, 
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	david.stadnick@enron.com, danielle.stephens@enron.com, 
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	elaine.tombaugh@enron.com, rajkishore.una@enron.com, 
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	tommy.yanowski@enron.com, christina.yepez@enron.com, 
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Subject: HPL Close
Cc: louise.kitchen@enron.com, john.lavorato@enron.com, mark.haedicke@enron.com, 
	richard.shapiro@enron.com, philippe.bibi@enron.com, 
	sally.beck@enron.com, wes.colwell@enron.com, david.oxley@enron.com, 
	joseph.deffner@enron.com, david.delainey@enron.com, 
	timothy.detmering@enron.com, brian.redmond@enron.com, 
	lillian.carroll@enron.com
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	joseph.deffner@enron.com, david.delainey@enron.com, 
	timothy.detmering@enron.com, brian.redmond@enron.com, 
	lillian.carroll@enron.com
X-From: Brian Redmond <Brian Redmond/ENRON@enronXgate>
X-To: Larry Abbott <Larry Abbott/ENRON@enronXgate>, Don Adam <Don Adam/ENRON@enronXgate>, Stephen Allen <Stephen Allen/ENRON@enronXgate>, Gary E. Anderson <Gary E. Anderson/ENRON@enronXgate>, Leola Barnett <Leola Barnett/ENRON@enronXgate>, David Baumbach <David Baumbach/ENRON@enronXgate>, Michael Baust <Michael Baust/ENRON@enronXgate>, John Blaylock <John Blaylock/ENRON@enronXgate>, Richard L Boehm <Richard L Boehm/NA/Enron@Enron>, Barney Brasher <Barney Brasher/ENRON@enronXgate>, Max Brown <Max Brown/ENRON@enronXgate>, Marian Bryant <Marian Bryant/ENRON@enronXgate>, Deborah Bubenko <Deborah Bubenko/ENRON@enronXgate>, Lillian Carroll <Lillian Carroll/ENRON@enronXgate>, Carol Carter <Carol Carter/ENRON@enronXgate>, Kenneth Cessac <Kenneth Cessac/ENRON@enronXgate>, Barbara Chapa <Barbara Chapa/ENRON@enronXgate>, Jana Charnquist <Jana Charnquist/ENRON@enronXgate>, Steve Cherry <Steve Cherry/GCO/Enron@ENRON>, Jim Coffey <Jim Coffey/ENRON@enronXgate>, Frank Coles <Frank Coles/ENRON@enronXgate>, Rick Craig <Rick Craig/ENRON@enronXgate>, Michael Crump <Michael Crump/ENRON@enronXgate>, Larry Dallman <Larry Dallman/ENRON@enronXgate>, Troy Denetsosie <Troy Denetsosie/ENRON@enronXgate>, Kevin Dumas <Kevin Dumas/ENRON@enronXgate>, Janelle Duree <Janelle Duree/ENRON@enronXgate>, Ranabir Dutt <Ranabir Dutt/ENRON@enronXgate>, Marcus Edmonds <Marcus Edmonds/ENRON@enronXgate>, Kenneth W Ellerman <Kenneth W Ellerman/ENRON@enronXgate>, Ahmad Farooqi <Ahmad Farooqi/ENRON@enronXgate>, Edward Fundora <Edward Fundora/ENRON@enronXgate>, Roy Gibson <Roy Gibson/ENRON@enronXgate>, Carolyn Gilley <Carolyn Gilley/ENRON@enronXgate>, Matthew F Gockerman <Matthew F Gockerman/ENRON@enronXgate>, Barbara N Gray <Barbara N Gray/HOU/ECT@ECT>, Bob M Hall <Bob M Hall/ENRON@enronXgate>, Ivan Hamilton <Ivan Hamilton/ENRON@enronXgate>, Regina Hawley <Regina Hawley/ENRON@enronXgate>, Tori Hayden <Tori Hayden/ENRON@EnronXGate>, Dahlia Hernandez <Dahlia Hernandez/ENRON@enronXgate>, Georgeanne Hodges <Georgeanne Hodges/ENRON@enronXgate>, Rhett Jackson <Rhett Jackson/ENRON@enronXgate>, Meena Jayant <Meena Jayant/ENRON@enronXgate>, David M Johnson <David M Johnson/ECF/Enron@Enron>, Earl Johnson <Earl Johnson/ENRON@enronXgate>, Heather A Johnson <Heather A Johnson/ENRON@enronXgate>, William Kendrick <William Kendrick/ENRON@enronXgate>, Anne C Koehler <Anne C Koehler/HOU/ECT@ECT>, Deb Korkmas <Deb Korkmas/HOU/ECT@ECT>, Kedar Kulkarni <Kedar Kulkarni/ENRON@enronXgate>, Kathy Link <Kathy Link/ENRON@enronXgate>, Russell Long <Russell Long/ENRON@enronXgate>, Lisa Lunz <Lisa Lunz/ENRON@enronXgate>, Vince Mack <Vince Mack/ENRON@enronXgate>, David Marshall <David Marshall/ENRON@enronXgate>, Thomas A Martin <Thomas A Martin/ENRON@enronXgate>, Fran L Mayes <Fran L Mayes/ENRON@enronXgate>, Gregory Metoyer <Gregory Metoyer/ENRON@enronXgate>, Jerry Thomas Moore <Jerry Thomas Moore/ENRON@enronXgate>, Merlin Moseman <Merlin Moseman/ENRON@enronXgate>, Robert Newman <Robert Newman/HPL/Enron@ENRON>, Mark Ng <Mark Ng/ENRON@enronXgate>, Frank Osburn <Frank Osburn/ENRON@enronXgate>, Mary Perkins <Mary Perkins/ENRON@enronXgate>, Jim Pond <Jim Pond/ENRON@enronXgate>, Dan Pribble <Dan Pribble/ENRON@enronXgate>, Kyle Purvis <Kyle Purvis/GCO/Enron@ENRON>, Alan Quaintance Jr <Alan Quaintance Jr/ENRON@enronXgate>, Nick Rahn <Nick Rahn/ENRON@enronXgate>, Colleen Raker <Colleen Raker/ENRON@enronXgate>, Tanya Rohauer <Tanya Rohauer/ENRON@enronXgate>, Ted Ryan <Ted Ryan/ENRON@enronXgate>, Gurdip Saluja <Gurdip Saluja/ENRON@enronXgate>, Brandee Sanborn <Brandee Sanborn/ENRON@enronXgate>, Warren Schick <Warren Schick/ENRON@enronXgate>, Chris Schomer <Chris Schomer/ENRON@enronXgate>, Cynthia Siniard <Cynthia Siniard/ENRON@enronXgate>, David Stadnick <David Stadnick/ENRON@enronXgate>, Danielle Stephens <Danielle Stephens/ENRON@enronXgate>, John Swafford <John Swafford/ENRON@enronXgate>, Tomas Szamosvolgyi <Tomas Szamosvolgyi/ENRON@enronXgate>, Elaine Tombaugh <Elaine Tombaugh/ENRON@enronXgate>, Rajkishore Una <Rajkishore Una/ENRON@enronXgate>, Janet H Wallis <Janet H Wallis/ENRON@enronXgate>, Deanna Washington <Deanna Washington/ENRON@enronXgate>, Dave Wei <Dave Wei/ENRON@enronXgate>, Terry West <Terry West/ENRON@enronXgate>, Greg Whiting <Greg Whiting/ENRON@enronXgate>, Tommy Yanowski <Tommy Yanowski/ENRON@enronXgate>, Christina Yepez <Christina Yepez/ENRON@enronXgate>, Andrew Zabriskie <Andrew Zabriskie/ENRON@enronXgate>, Jill T Zivley <Jill T Zivley/ENRON@enronXgate>
X-cc: Louise Kitchen <Louise Kitchen/HOU/ECT@ECT>, John J Lavorato <John J Lavorato/ENRON@enronXgate>, Mark E Haedicke <Mark E Haedicke/Enron@EnronXGate>, Richard Shapiro <Richard Shapiro/NA/Enron@Enron>, Philippe A Bibi <Philippe A Bibi/ENRON@enronXgate>, Sally Beck <Sally Beck/ENRON@enronXgate>, Wes Colwell <Wes Colwell/ENRON@enronXgate>, David Oxley <David Oxley/ENRON@enronXgate>, Joseph Deffner <Joseph Deffner/ENRON@enronXgate>, David W Delainey <David W Delainey/HOU/EES@EES>, Timothy J Detmering <Timothy J Detmering/ENRON@enronXgate>, Brian Redmond <Brian Redmond/ENRON@enronXgate>, Lillian Carroll <Lillian Carroll/ENRON@enronXgate>
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GREAT JOB TO ALL!!   We made it from contract execution to financial close in 5 months.  This success is a testament to the effort put forth by all of you and your colleagues in finalizing the transaction, including:

1.	Setting an industry record for responding to a 2nd request from the Dept. of Justice and securing their approval.
2.	Expediting the analysis and repair of a 60 mile segment of the A/S pipeline. 
3.	Transitioning HPL's hardware and software infrastructure from Enron to AEP
4.	Unwinding four complex monetizations related to the assets with a value of over $150MM
5.	Separating HPL's business process, work flow, from Enron (after 75 years of integrated operation)
6.	Segregating property between leased and purchased facilities
7.	Collecting and sorting over 14,000 boxes of books and records
8.	Moving over 250 people from 4 different Enron entities into a new location while keeping the pipeline operating.
7.	Accounting for the transfer of PRM assets, CWIP, leased assets, purchased assets, imbalances, payables and receivables.	

The transaction freed up approximately $725MM of capital that Enron can put to work earning higher rates of return in its newer businesses, but the work on HPL is not over yet.  There are a number of follow up activities that we need to complete in order to maximize the value of the HPL transaction.  Jim Coffey will be managing these activities on an ongoing basis, including:

1.	Collecting outstanding accounts receivable and working with AEP to resolve imbalances.
2.	Closing out accounting entries for property, work orders, external accounts payable, and internal charges.
3.	Eliminating and mitigating any impact from retained assets and liabilities.
4.	Fully transitioning HPL systems, facilities, and books/records to AEP.

Again, thank you for your effort - and if I have inadvertently missed anyone please pass along my appreciation to them as well.  We will be hosting a lunch for the Enron/HPL employees who worked on the transaction on the 15th of June at 12:00 in the Imperial Ballroom at the Hyatt Regency Hotel.  Please attend if your schedule permits.

Regards,
Brian
