Subject: re : vitro
louise ,
the following are the differences in npv at 13 % for the vitro project under the three different scenarios you laid out .
1 . if we keep the plant ,
project npv @ 13 % : us $ 24 . 0 mm
equity investments to project : us $ 52 . 8 mm
2 . if we sell to enel ' s based on their offer as it was delivered to us on march 2 of this year
project npv @ 13 % : us $ 16 . 2 mm
equity investments to project : us $ 10 . 5 mm ( under this scenario we would fund 100 % of the equity required for the project through cod but after giving effect to the cash received up front by enel , we would only be funding 20 % of the equity required from enron which is equal to the us $ 10 . 5 mm )
3 . if sell to enel under the restructured proposal to achieve our deconsolidation and earnings objectives ,
project npv @ 13 % : us $ 16 . 8 mm
equity investments to project : us $ 10 . 5 mm ( under this scenario we would fund 50 % of the equity required for the project through cod but after giving effect to the cash received up front by enel , we would only be funding 20 % of the equity required from enron which is equal to the us $ 10 . 5 mm )
let me know if you have any questions or if you would like to see more details on the three different scenarios .
thanks ,
steve