Footnote 8

1999 Electricity Trades1484. The Insiders did not disclose to Enron that the accounting for the 1999 ElectricityTrades transaction, which closed approximately December 31, 1999, was inconsistent with GAAPor otherwise misleading.1485. The Insiders did not disclose to Enron that the accounting for the 1999 ElectricityTrades transaction was inconsistent with GAAP or otherwise misleading at Board meetings in andaround the time of the transaction (including meetings on October 11-12, November 5, andNovember 18 and December 14, 1999), at Finance Committee meetings in and around the time ofthe transaction (including meetings on August 9 and October 11 and December 13, 1999), and atExecutive Committee meetings in and around the time of the transaction (including meetings onSeptember 3, September 14, September 24, and October 20, 1999).1486. Insiders Causey, Fastow and McMahon did not disclose to Enron that the accountingfor the 1999 Electricity Trades transaction was inconsistent with GAAP or otherwise misleading atthe Finance Committee meetings on October 11 and December 13, 1999 or at the Board meetingson October 11-12 and December 14, 1999.1487. Insiders Causey and Fastow did not disclose to Enron that the accounting for the 1999Electricity Trades transaction was inconsistent with GAAP or otherwise misleading at the FinanceCommittee meetings on August 9 and December 13, 1999.December 1998 Prepay1488. The Insiders did not disclose to Enron that the accounting for the December 1998Prepay, which closed approximately December 30-31, 1998, was inconsistent with GAAP orotherwise misleading.1489. The Insiders did not disclose to Enron that the accounting for the December 1998Prepay was inconsistent with GAAP or otherwise misleading at Board meetings in and around the604041v1/007457-460-