Kentucky West Virginia Gas Company

Third Revised Volume No. 1

Effective Date: 11/01/1997, Docket: RP97-104-005, Status: Effective

Second Revised Sheet No. 137 Second Revised Sheet No. 137 : Superseded

Superseding: First Revised Sheet No. 137

GENERAL TERMS AND CONDITIONS (Continued)

In addition, no imbalance, scheduling, or other penalty will be

assessed against a Customer whose imbalance is attributable to

its own actions or the actions of Pipeline taken in compliance

with an OFO pursuant to this section. Pipeline shall not

otherwise be liable for any charge, loss or damage to the

Customer as the result of the imposition of an OFO.

16.8 Cost Recovery for Operational Flow Orders

Pipeline shall file for Commission approval to recover all costs

it incurs in connection with the issuance, operation and

termination of any OFO, including such reimbursement costs

specified in Section 16.7, and for approval of an allocation

and billing methodology for recovery of such costs from Customers.

17. NON-WAIVER OF FUTURE DEFAULTS

No waiver by Pipeline of any one or more defaults by a Customer

in the performance of any provision of these General Terms and

Conditions or any provisions of the Service Agreement between Customer

and Pipeline shall operate or be construed as a waiver of any future

default or defaults, whether of a like or of a different character, for

the same or any other Customer.

18. MODIFICATION

No modification of the terms and provisions of any Service Agreement

shall be or become effective except by the execution of a written

contract.

19. NOTICES

Any notice, request, demand, statement or invoice provided for in

these General Terms and Conditions, and the rate schedule to which they

applyor any notice which either Pipeline or Customer may desire to give

to the other, shall be in writing and shall be considered as duly

delivered when mailed by registered mail to the post office address of

Pipeline or Customer or at such other address as either shall designate

by formal written notice. Routine communications, including monthly

statements and payments, shall be considered as duly delivered when

mailed by either registered or ordinary mail. Notices that are

submitted or received via the electronic communciations system or via

EDI must be confirmed in writing or by facsimile as soon thereafter

as possible.