East Tennessee Natural Gas, LLC

Third Revised Volume No. 1

Effective Date: 09/01/2007, Docket: RP07-555-000, Status: Effective

Second Revised Sheet No. 389 Second Revised Sheet No. 389 : Effective

Superseding: First Revised Sheet No. 389

GENERAL TERMS AND CONDITIONS (Continued)

38. INCORPORATION IN RATE SCHEDULES AND SERVICE AGREEMENTS

These General Terms and Conditions are incorporated in and are a part

of Transporter's Rate Schedules and Service Agreements. To the extent

that any provision of a service agreement conflicts with any provision

of the corresponding rate schedule, the provisions in the Rate

Schedule shall govern. To the extent that any provision in either a

service agreement or a Rate Schedule conflicts with any of

Transporter's General Terms and Conditions, Transporter's General

Terms and Conditions shall govern.

39. OPERATIONAL PURCHASES AND SALES

Transporter may make interruptible sales of gas from time to time

pursuant to the cash-out procedures of Rate Schedules LMS-MA and LMS-

PA and to provide fuel and use quantities to Shippers. Further, under

the cash-out procedures of Rate Schedules LMS-MA and LMS-PA,

Transporter may periodically acquire quantities of gas. Transporter

shall have the right to make interruptible sales or purchases of gas

under its cash-out program from time to time at system receipt points

pursuant to the terms of the blanket certificate of public convenience

and necessity granted to Transporter.