ENE: Adjust Historical EPS As Per Restatements; Lower 4Q & 2002 Ests.
*	We adjust Enron's historical EPS for the restatements filed in their 8K published on November 8th.
*	We revise our stand-alone 2002 EPS estimates to $1.50 from $2.15.
We think this could prove conservative, but await further data on Enron's ongoing performance in their energy trading & marketing business.
*	Enron is currently trading at a relatively large 20% discount to their implied merger value of $12.40.
We think this spread could contract as certainty improves over accounting issues, stand-alone earnings power, and the scope of hurdles to merger completion.
<<ENE EPS adjustments 11-14-01.pdf>>  <<ENE EPS adjustments 11-14-01.doc>>

ENE: Adjust Historical EPS As Per Restatements; Lower 4Q & 2002  Ests.