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

performance and all of the indications are that that sort of performance will
continue.
• Enron was on track in its pipeline of new projects. They were coming along
exactly as expected, Enron was going great on that side of the business.
• A good quarter for EES. EES added $1.7 billion of retail contracts to its growing
contract portfolio, including several large multi-location energy outsourcing
agreements, compared to $800 million in the 1stQ of last year reflecting the very
significant growth being realized in this business. EES was on track for at least
$8 billion of new contracts during 99.
• Enron was very confident that with contracts at late stages of negotiation it was in
good shape for announcing a number of very large national contracts in 99. EES
was on track to be earnings positive in the 4thQ 99.
• Enron was very pleased with the results for the 1stQ. Enron had established a
continuing strong track record of growth. Enron expected to see its growth and
strong results to continue.
146. On 4/13/99, Deutsche Bank issued a report on Enron, rating Enron a "Buy,"
forecasting 99 and 00 EPS of $1.17 and $1.375 and a 17% EPS growth rate for Enron and stating:
ENRON CORPORATION "BUY"
Reports Strong 1Q Earnings – Predicts Strong 1999 Results
* * *
• ENE reported strong 1Q earnings ....
• EPS of $[0.34] vs. $[0.325] in 1Q98 ....
• Enron had an excellent quarter.
• Management was optimistic about earnings performance ....
* * *
Enron is expected to have another excellent year in 1999 ... ENE should produce
above average earnings growth that could exceed our 3-year estimated growth rate
of 17% annually.... [W]e reiterate our "buy" recommendation on the stock.
Enron is a well-managed ... company .... An aggressive and innovative
management team has grown an interstate pipeline company into a diversified,
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