Enron Corp. - University of California | Office of The President

Registration Statement was signed by Lay, Causey, Fastow, Belfer, Blake, Chan, John Duncan, Foy,
Gramm, Harrison, Jaedicke, LeMaistre, Meyer, Skilling, Urquhart, Wakeham, Walker and Winokur.
127. On 1/13/99, Deutsche Bank issued a report on Enron, which rated Enron a "Buy,"
forecast 99 EPS of $1.10 and a 17% three-year EPS growth rate for Enron and stated:
Initiating Research Coverage With A "Buy" Investment Rating
* * *
Enron has a leading position in each of its core businesses.
* * *
Company has a good balance of operating income by business segment.
Strong balance sheet ....
Enron is a well-managed ... company ....
Enron Energy Services
... Enron Energy Services continued to significantly expand its contracting activities
.... The company expects this business to break-even in the 4Q99 and projects
positive earnings for the full year 2000.
* * *
... Enron announced the formation of a new company to pursue opportunities in the
global water business.... The new company is expected to be accretive to Enron's
financial results in the first full year of operations.
128. On 1/19/99, Enron reported better-than-expected 4thQ 98 and 98 results:
Enron Corp. announced today a 16 percent increase in 1998 earnings per ...
share to $[1.005] from $[.87] in 1997.... [N]et income increased 36 percent to $698
million from $515 million during the year.... [F]ourth quarter 1998 earnings of
$[0.24] per ... share, which compares to $[0.17] in the 1997 period ....
"Across Enron, 1998 was an excellent year," said Kenneth L. Lay, Enron
Corp. chairman and chief executive officer. "Our Wholesale Energy Operations
and Services business led the company's growth during the year, achieving record
levels ... in earnings."
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