Former

In an unprecedented move Thursday, the Federal Energy Regulatory Commission said it will reassert jurisdiction over the portion of the North Padre Island (NPI) unregulated gathering facilities that Transcontinental Gas Pipe Line spun down to its gathering affiliate, Williams Field Services Co. (WFS). The Commission took this action after finding Transco and WFS “acted in concert” to push gathering rates to monopolistic levels on the NPI offshore Texas facilities and to frustrate effective FERC regulation of Transco’s interstate transportation system.

In an unprecedented move Thursday, the Federal Energy Regulatory Commission said it will reassert jurisdiction over the portion of the North Padre Island (NPI) unregulated gathering facilities that Transcontinental Gas Pipe Line spun down to its gathering affiliate, Williams Field Services Co. (WFS). The Commission took this action after finding Transco and WFS “acted in concert” to push gathering rates to monopolistic levels on the NPI offshore Texas facilities and to frustrate effective FERC regulation of Transco’s interstate transportation system.

CMS Energy Corp. said Monday that Thomas J. Webb, former CFO for Kellogg Co., will replace CFO Alan M Wright, who has been with the company since 1991. At the same time CMS announced a definitive agreement to sell almost all of its remaining oil and gas reserves in the Permian Basin of West Texas, as well as assets in Africa and South America, to privately held Perenco SA and its affiliated companies, which are based in France.

A federal grand jury in Houston last Thursday indicted Enron Corp.’s former auditor, Arthur Andersen LLP, for its role in the scandal that has engulfed the Houston energy trader. It was the first criminal charge to be handed down against a player in the unfolding drama.

A federal grand jury in Houston Thursday indicted Enron Corp.’s former auditor, Arthur Andersen LLP, for its role in the scandal that has engulfed the Houston energy trader. It was the first criminal charge to be handed down against a player in the unfolding drama.

Williams disclosed that its former telecommunications business, Williams Communications Group, intends to exercise a purchase right for certain assets for which Williams is guarantor. WCG expects Williams to pay for the fiber-optic network and associated facilities, pursuant to the guarantee, which was negotiated in September 1999, in return for unsecured debt or equity. Williams CEO Steve Malcolm said the action already was factored into earnings, balance sheet and liquidity numbers reported in filings and presented to investors during the past week. “In the event we need to perform on this obligation, we have developed more than sufficient financial capacity to do so,” he said. The issue involves credit support of $750 million for a lease agreement related to the communications assets. The expected closing date for the transaction is April 1. Williams Communications said the move will help preserve its flexibility to achieve a previously-announced comprehensive balance sheet restructuring. The proposed restructuring is intended to support uninterrupted business service and, at the same time, minimize any impact to customer and vendor relationships. Discussions with the company’s banks and others have been expanded to include multiple restructuring options, including the use of a negotiated Chapter 11 reorganization as a restructuring mechanism. The company may decide to pursue that alternative to allow for a more orderly process that maximizes enterprise value.

Rep. Henry Waxman (D-CA) has obtained videotapes that he said show former CEO Jeffrey K. Skilling was aware of accounting problems at Enron Corp. at least ten months before he resigned from the company in August 2001 — a claim he denied when he testified before a House subcommittee earlier this month.

Barring an appeal, a federal judge on Wednesday granted Dynegy Inc.’s request to move its lawsuit against former merger partner Enron Corp. moved from New York City to a Texas court. U.S. District Judge Melinda Harmon of the Southern District of Texas ruled for Dynegy in its countersuit against Enron, which filed a $10.5 billion breach-of-contract lawsuit against its downtown Houston rival after Dynegy backed out of a merger plan at the end of November. Days later, Enron declared bankruptcy.

Dynegy Inc., cast by Enron Corp. as the villain in its bankruptcy filing, has aggressively countered every move by its former rival, and late last week filed a motion requesting the bankruptcy case be moved to Houston, where both of the companies are headquartered. Dynegy, facing a $10 billion breach of contract lawsuit that Enron incorporated into its bankruptcy proceedings on Dec. 2, filed papers with New York Judge Arthur Gonzalez, noting that Enron’s decision to file in the Southern District of New York was “a classic example of the type of forum shopping that should not be condoned.”