Midwestern Gas Transmission Company

Third Revised Volume No. 1

Effective Date: 10/01/2003, Docket: RP00-467-002, Status: Effective

First Revised Sheet No. 94 First Revised Sheet No. 94 : Effective

Superseding: Original Sheet No. 94

RATE SCHEDULE LMS-MA

LOAD MANAGEMENT SERVICE - DELIVERY POINTS

6. MONTHLY IMBALANCES (Continued)

For the purpose of determining the level at which a Balancing Party's imbalance

shall be cashed out, if a Balancing Party has an imbalance outside a given

tolerance level, the escalating or declining percentage of the Index Price will

apply only to the portion of the imbalance outside of the tolerance level.

The amounts due hereunder shall be paid in accordance with Sections 5 and 6 of

the General Terms and Conditions of Company's FERC Gas Tariff.

Company will make available by electronic means the best information it has

concerning the scheduled deliveries at all Delivery Points. This information

regarding the scheduled deliveries shall become "Operational Data" and Balancing

Parties will be able to utilize the Operational Data for purposes of correcting

imbalances during the month. Monthly imbalances will be cashed out on the basis of

actual deliveries and Scheduled Quantities; provided that the penalty level and

pricing associated with imbalances will be based upon the lesser of (1) the monthly

operational imbalance reported by Company based upon the Operational Data or

(2) the monthly imbalance based upon actual receipts and deliveries at such

locations.

(d) Limitation on Charges

Any imbalances caused by an event as set forth in Section 10 of the General Terms

and Conditions, or by Company's actions (including providing the Balancing Party

inaccurate balancing information) or by Balancing Party's compliance with an OFO

issued pursuant to Section 8 of the General Terms and Conditions, will not be

included in the calculation of the total monthly imbalance for purposes of

determining the appropriate cash-out level and will be cashed out at the

0-5 percent tolerance level, as set forth in Subsection 6(b) above.