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

... Future retail contracts are growing; future undiscounted revenues should
exceed $3 billion by year-end.... The division is expected to turn profitable during
the second half of 1999. During the fourth quarter, the company signed contracts
representing $1.8 billion of total future energy expenditures, taking the total under
contract to $3.8 billion....
133. On 1/27/99, CitiGroup issued a report on Enron, stating:
EES .... Outsourcing is experiencing a strong market reception, much stronger than
ENE had anticipated. Contracting results were strong. During 1998, ENE entered
into $3.8 billion of new contracts. Now, ENE is convinced that EES will be
profitable by the fourth quarter of 1999. EES has a product to sell and is selling
extremely well.
134. On 2/3/99, Enron filed a Registration Statement, signed by Lay, Causey, Fastow,
Belfer, Blake, Chan, John Duncan, Foy, Gramm, Harrison, Jaedicke, LeMaistre, Meyer, Skilling,
Urquhart, Wakeham, Walker and Winokur, which included a "Recent Developments" section which
reported Enron's financial results for 98. These results were false and misleading.
135. On 2/11/99, Enron sold 27.6 million shares of common stock in a public offering by
CS First Boston, Lehman Brothers, Merrill Lynch, CitiGroup, Deutsche Bank and JP Morgan at
$31.34 per share raising $861 million. The proceeds were used to repay Enron's short-term
commercial paper and/or bank debt to JP Morgan and CitiGroup.
136. In 3/99, Enron issued its 98 Annual Report, reviewed and approved by Vinson &
Elkins, Andersen and all the Enron Defendants who were then with Enron, stating:
We believe our unparalleled ability to deliver on these three words will propel
Enron to become THE "blue-chip" electricity and natural gas company of the 21st
century.
In 1998, the business platform we have built to achieve that status delivered
record earnings ....
We are very pleased with these results. But it is the future that excites us
the most.
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