North Baja Pipeline, LLC

Original Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 02/28/2003, Docket: RP02-363-008, Status: Effective

Second Revised Sheet No. 133 Second Revised Sheet No. 133 : Effective

Superseding: First Revised Sheet No. 133

GENERAL TERMS AND CONDITIONS OF SERVICE

(Continued)

 

12. CREDITWORTHINESS (Continued)

 

12.4 Creditworthiness for Interruptible Transportation Service

(Continued)

 

(a) (Continued)

 

An equivalent rating may be obtained in one of two ways:

 

(i) If Shipper's debt is not rated by a recognized debt

rating service, Shipper may request an equivalent rating

as determined by NBP, based on the financial rating

methodology, criteria, and ratios for the industry of

the Shipper as published by the above rating agencies

from time to time. In general, such equivalent rating

will be based on the audited financial statements for

the Shipper's two (2) most recent fiscal years, all

interim reports, and any other relevant information.

 

(ii) If a Shipper's debt is not rated by a recognized debt

rating service, Shipper may, at its own expense, obtain

a private rating from a debt rating service acceptable

to NBP, or request that an independent accountant or

financial advisor, mutually acceptable to NBP and the

Shipper, prepare an equivalent evaluation based on the

financial rating methodology, criteria, and ratios for

the industry of the Shipper as published by the above

rating agencies.

 

(b) Shipper will be deemed to be non-creditworthy if it is rated

below a BB+/Ba1 equivalent standard by any rating agency or

if its credit limit is insufficient to cover Shipper's total

collateral requirement, as described in Paragraph 12.6 of

these General Terms and Conditions of Service. If Shipper

does not establish or maintain creditworthiness as described

above, or if Shipper's credit limit as determined by NBP is

insufficient to cover Shipper's contractual obligations,

Shipper has the option of receiving interruptible

transportation service under this FERC Gas Tariff by

providing to NBP one of the following alternatives:

 

 

(Continued)