Enron Gas Pipeline Group 1999 Goals 1999 Enron

Enron Gas Pipeline Group 1999 Goals

1999 Enron Strategic Goals Gas Pipeline Group Goal: Complete the certification process for Northern Border Pipeline Company’s Project 2000 and Florida Gas Transmission Phase IV that results in the projects being placed into service in December 2000 and May 2001, respectively. Status: FGT’s Phase IV Certificate should be issued in February, 2000 which is on schedule. NBPL’s Project 2000 is being held in abeyance pending NBPL’s review of the FERC’s new order requiring incremental pricing for new projects. Goal: Complete the acquisition(s) of energy transportation assets that are accretive to earnings, have positive cash flow, and have a positive net present value. Status: Complete EOTT completed the acquisition of Koch’s crude oil gathering assets ($245 Million) and the Texas New Mexico crude oil pipeline ($35 Million).

1999 Enron Strategic Goals Gas Pipeline Group Goal: Successfully complete a secondary offering of EOTT units in the third quarter of 1999. Extinguish EOTT’s term loan with Enron Corp by the end of the third quarter 1999. Status: Complete $235 Million of 10 -year notes and 3. 5 Million of Common Units were issued in September. The proceeds were used to extinguish all of EOTT’s debt with Enron Corp. Goal: Develop an exit strategy for Clean Fuels. Status: Several potential deals are being analyzed. The write-down of the MTBE plant has resulted in at least three parties coming forward with varying interest in buying the plants.

1999 Enron Strategic Goals Gas Pipeline Group Goal: Resolve the Northern Natural Gas rate case under terms and conditions that meet or exceed the results included in the 1999 Plan. Status: Complete Settlement agreement was approved by the FERC in 1999. Settlement met all planned goals. Goal: Gain the consent of EOTT’s unit holders to: • • • Authorize the issuance of an additional 10 Million common units Convert special units to common and list on the NYSE Approve the listing of units that were issued to Koch on the NYSE Status: Complete Unit holder approval received in February, 1999.