Panhandle Eastern Pipe Line Company, LP

THIRD REVISED VOLUME NO. 1

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

Original Sheet No. 318 Original Sheet No. 318 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

(e) Trunkline/TLC Settlement Volumetric Surcharge Credit

Twenty percent (20%) of the total Trunkline/TLC Settlement

Amount including Levelized Interest, shall be returned by

means of a Trunkline/TLC Settlement Volumetric Surcharge

Credit. The Trunkline/TLC Settlement Volumetric Surcharge

Credit shall be stated on Tariff Sheet No. 19 of

Panhandle's FERC Gas Tariff, Third Revised Volume No. 1

and shall become a part of the stated maximum rates for

service provided under Rate Schedules FT, EFT, SCT, IT,

EIT, LFT and HFT.