Later renamed Dynegy, the firm was a highly diverse energy trading company that was similar to rival Enron in many respects.
Watson was inducted into the Texas Business Hall of Fame and was named "Master Entrepreneur" by Ernst & Young.
Watson has served on the Boards of the Independent Petroleum Association of America (IPAA), Natural Gas Supply Association (NGSA), Interstate Natural Gas Association of America (INGAA), Edison Electric Institute (EEI), Natural Gas Council (NGC) and is currently on the boards of Baker Hughes, Baylor College of Medicine, Mainstream Renewable Power, Shona Energy Company, Patman Drilling Inc., Central Houston Inc., and Angeleno Group.
He is now chairman of the board and co-founder of Twin Eagle Resource Management (founded in September 2010), a Houston-based company that provides wholesale energy and midstream services throughout North America.
Watson is also the former owner of the Houston Aeros minor league hockey team (now the Iowa Wild).