American Midstream (AlaTenn), LLC

Fifth Revised Volume No. 1

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Effective Date: 05/01/2010, Docket: RP10-493-000, Status: Effective

Original Sheet No. 140 Original Sheet No. 140

GENERAL TERMS AND CONDITIONS (continued)

(c) Present Value Method: If the Present Value ("PV") Method is specified in the

Release

Request or

in the event of a firm contract nearing expiration, Transporter shall determine the

bid or bids

having the

highest PV based on the following formula:

N

PV = (Bid Rate) x (Bid MDQ) x 1-(1/((1+i) ))

--------------

i

where

Bid Rate = the reservation charge which the Bidder has agreed to pay; for

volumetric bids the

rate is

calculated by multiplying the bid rate by 30.4167.

Bid MDQ = the MDQ stated in the Bid.

i = Interest rate per Month, which shall be the interest rate as calculated

under 18 C.F. R. ?

154..501(d); and

N = the lesser of (i) the term proposed by the Bidder or (ii) 120 Months.

(d) If a Release Request includes a Prearranged Replacement Shipper, then the

released

transportation rights shall be awarded to the Prearranged Replacement Shipper

(a) if its bid

either is

equal to or is higher than the bid with the highest value under the bid evaluation

methodology

specified

by the Releasing Shipper as provided herein or, if no such standard is specified, is

equal to or is

higher

than the bid with the highest NR of the bids submitted by all other Bidders in

accordance with the

NR

method herein, or (b) if the Prearranged Replacement Shipper exercises its Right

of First

Refusal and

agrees to match any bid having a higher value, as applicable, within the time

period provided

under

Section 3.14.