Carolina Gas Transmission Corporation

Original Volume No. 1

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Effective Date: 11/01/2006, Docket: CP06- 71-001, Status: Effective

Original Sheet No. 120 Original Sheet No. 120 : Effective

 

3. CREDITWORTHINESS

 

3.1 Pipeline shall apply, on a non-discriminatory basis, consistent

creditworthiness standards to determine the acceptability of

Shipper’s overall financial condition. Those standards shall

guide Pipeline’s credit qualification process for all Shippers

that apply for services from Pipeline, with such standards

comprising: (i) criteria applied in determining creditworthiness,

(ii) collateral requirements, and (iii) suspension and

termination of service standards. For credit qualification

purposes, prior to a Shipper receiving service, there must be a

completed Service Request and an established credit limit with

Pipeline.

 

3.2 Determination.

 

(a) Provision of Information. Each Shipper must submit with

its Service Request the following information, where such

information is applicable to Shipper:

 

(1) Audited Financial Statements. Each Shipper shall

submit audited or otherwise acceptable financial

statements for at least the immediately preceding two

(2) fiscal years, or the period of Shipper’s

existence, if shorter. Additionally, each Shipper

shall submit current fiscal year interim-unaudited

financial statements, if available.

 

(2) Annual report.

 

(3) List of affiliates, parent companies, and

subsidiaries.

 

(4) Publicly available information from credit reports by

credit and bond rating agencies.

 

(5) Private credit ratings, if obtained by Shipper.

 

(6) Credit References. Each Shipper shall submit bank

and utility credit references. In the case where a

Shipper does not have the required utility

references, trade payable vendor references may be

substituted.

 

(7) Statement of Shipper’s legal composition.