East Tennessee Natural Gas, LLC

Third Revised Volume No. 1

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Effective Date: 07/05/2008, Docket: RP08-398-001, Status: Effective

Substitute Second Revised Sheet No. 174A Substitute Second Revised Sheet No. 174A

Superseding: Second Revised Sheet No. 174A

Rate Schedule LMS-MA

Load Management (Market Area) Service (Continued)

7.4 In addition to Balancing Party's rights set forth in Section 7.2 above, Balancing

Party may elect the Storage Delivery Option ("SDO"). SDO enables Balancing Party

to resolve quantities taken in excess of Balancing Party's MAD MDTQ by allocating

those excess quantities to Balancing Party's storage account up to the lesser of

Balancing Party's MDTQ on a designated FT-A transportation agreement(s) or

Balancing Party's storage maximum daily withdrawal quantity on a designated storage

agreement(s). If Balancing Party nominates and Transporter schedules any volumes

on the designated FT-A Agreement(s) and/or designated storage agreement(s),

Balancing Party's MDTQ and/or storage maximum daily withdrawal quantity available

for SDO shall be reduced accordingly to reflect those scheduled volumes. Under

SDO, once Transporter has allocated quantities to Balancing Party's storage account

up to the lesser of Balancing Party's MDTQ, storage maximum daily withdrawal

quantity or storage balance, any excess quantities will be subject to MAD Service

Charges. SDO will be available at all delivery points covered by an OBA, and for

receipts from Transporter's LNG facilities and/or Third Party Provider ("TPP")

storage points which are attached to Transporter's system and are covered by a

Balancing Agreement under Rate Schedule LMS-PA and a TPP amendment.

(a) Requirements: Balancing Party must provide at least eight (8) hours prior

notice to Transporter of its election of SDO, to be effective the next Gas

Day or concurrent with Transporter's notification of its intent, pursuant

to Section 7.1 above, to invoke its right to assess MAD Service Charges.

Balancing Party must hold contracts for transportation under Transporter's

Rate Schedule FT-A and contracts for storage attached to Transporter's

system. At the time of its notice of its election, Balancing Party must

rank consecutively the storage contracts designated for SDO if more than

one contract is to be used. Balancing Party's election of SDO shall remain

in effect until termination of SDO pursuant to Section 7.4(c) of this Rate

Schedule, or Balancing Party has exceeded its storage balance available for

SDO whichever is earlier.