Subject: upcoming discretionary var limit changes
per discussion with ted murphy and rick buy , the following policy limit
changes are anticipated . note : these are subject to change given market
volatility .
ees - $ 2 mm discretionary var expiring on 12 / 22 / 00 - - - - - - - - - - - - - - - - - - - - - - - - >
extended through 1 / 5 / 01
aggregate var limit of $ 140 mm - $ 40 mm expiring on 12 / 22 / 00 - - - - - - - - - - >
expires after 12 / 22 / 00 - reduced to permanent aggregate var limit of $ 100 mm
na gas - $ 35 mm discretionary var expiring on 12 / 22 / 00 - - - - - - - - - - - - - - - - - - >
expires after 12 / 22 / 00 ( with reduction in aggregate var limit to $ 100 mm )
uk power - $ 5 mm discretionary var expiring on 12 / 22 / 00 - - - - - - - - - - - - - - - - >
expires after 12 / 22 / 00 ( with reduction in aggregate var limit to $ 100 mm )
na gas - $ 15 mm discretionary var expiring on 12 / 22 / 00 - - - - - - - - - - - - - - - - - >
extend $ 10 mm through 1 / 5 / 01
- - - - - - - - - - - - - - - - - > reallocate $ 5 mm to uk power through 1 / 5 / 01 .
therefore , the following var limits are / will be in place :
now - 12 / 22 / 00 12 / 23 / 00 - 1 / 5 / 01 1 / 6 / 01
ees $ 7 mm $ 7 mm $ 5 mm
na gas $ 110 mm $ 70 mm $ 60 mm
uk power $ 20 . 3 mm $ 20 . 3 mm $ 15 . 3 mm
aggregate var limit $ 140 mm $ 100 mm $ 83 mm
vlady / frank - ted told lavorato the na gas information on friday .
vlady / minal - nothing to my knowledge has been communicated to ees yet . you
can check with ted to see if he did already .
oliver , please communicate the anticipated limit changes for uk power to the
commercial and risk management / energy ops people who need to know . if an
extension is needed in the discretionary var , at this point an analysis and
presentation will be required to justify the extension to get rick buy and
ted murphy to approve .
feel free to call me with any questions . i ' m out on vacation this week , but
can be reached at home or on my cell phone .
happy holidays ,
cassandra .
home 936 321 2185
cell 713 858 2618