NOTICE DATE: January 28, 2011 NOTICE TYPE: W-A012511-02 Financial/Credit SHORT DESCRIPTION: CORRECTION - Required change in parameters established by Day Ahead Market (DAM) Collateral Parameters Process INTENDED AUDIENCE: Market Participants who participate in ERCOT DAM DAY AFFECTED: DAM run on January 28, 2011, for Operating Day January 29, 2011 LONG DESCRIPTION: Notice W-A012511-01, indicated that for entities receiving favorable treatment, the "e1" factor would be calculated using the 75th percentile of Ratio 2 over the last 30 days. It should have read "75th percentile of Ratio 1 over the last 30 days". The correction has been made in the table below. In accordance with the DAM Collateral Parameters Process, the default parameters for all DAM activity will change after the DAM has executed for 60 days. The values, which are listed below, will change effective with the DAM run on January 28, 2011, for Operating Day January 29, 2011. Parameter From (general) To (general) To (favorable) e1 95th percentile of Ratio 0 over the last 30 days 95th percentile of Ratio 1 over the last 30 days 75th percentile of Ratio 1 over the last 30 days e2 0 0 25th percentile of Ratio 2 over the last 30 days e3 1 1 1 d 95 85 85 a 50 50 50 b 20 45 45 y 25 45 45 z 25 50 50 u 90 90 90 t 95 50 50 ACTION REQUIRED: Counter-Parties may request the form for more favorable parameters by sending a request to [log in to unmask]<mailto:[log in to unmask]>. ADDITIONAL INFORMATION: Please review the Day-Ahead Market Credit Requirements Procedure for eFactors at https://mis.ercot.com/pps/tibco/mis/Pages/Services/Home. CONTACT: For questions regarding the DAM Collateral Parameters Process, please contact Kyle Prall at (512) 275-7412, [log in to unmask]<mailto:[log in to unmask]> or Vanessa Spells at (512) 225-7014, [log in to unmask]<mailto:[log in to unmask]>. If you are receiving email from an ERCOT distribution list that you no longer wish to receive, please follow this link in order to unsubscribe from this list: http://lists.ercot.com. dh