Panhandle Eastern Pipe Line Company, LP

THIRD REVISED VOLUME NO. 1

Effective Date: 06/30/2004, Docket: RP04-321-000, Status: Effective

Original Sheet No. 85 Original Sheet No. 85 : Effective

RATE SCHEDULE IWS (Continued)

INTERRUPTIBLE WINTER STORAGE SERVICE

3.2 Injection Charge

Shipper shall pay an Injection Charge which shall be the

product of the Quantity of Gas actually received from

Shipper at the WS Point injected into Storage during the

Month times the applicable injection charge per Dt. as set

forth on the effective Tariff Sheet No. 13.

3.3 Withdrawal Charge

Shipper shall pay a Withdrawal Charge which shall be the

product of the Quantity of Gas actually withdrawn from

Storage and delivered to Shipper at the WS Point during

the Month times the applicable withdrawal charge per Dt.

as set forth on the effective Tariff Sheet No. 13.

3.4 Surcharges

Shipper shall pay all surcharges specified in the General

Terms and Conditions or which otherwise may be applicable

to service under this Rate Schedule from time to time.

3.5 Range of Rates

Unless otherwise agreed to in writing by Shipper and

Panhandle, any rate applicable to a Shipper for service

hereunder, by reference to the effective Tariff Sheet No.

13 shall be the applicable Maximum Rate(s) set forth

thereon. If an amount less than the applicable Maximum

Rate(s) and not less than the applicable Minimum Rate(s)

is agreed upon, such amount shall be applicable

prospectively.

3.6 Fuel Reimbursement

Shipper shall reimburse Panhandle in kind for fuel usage

and lost or unaccounted for Gas pursuant to the terms and

conditions of the Service Agreement and as stated on the

effective Tariff Sheet No. 13 for service hereunder.