Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 09/01/2009, Docket: RP09-427-000, Status: Suspended

First Revised Sheet No. 95F.01 First Revised Sheet No. 95F.01

Superseding: Original Sheet No. 95F.01

RATE SCHEDULE PAL

PARK AND LOAN SERVICES (continued)

6.3 (continued)

During such period, the Negotiated Rate(s) shall govern and

apply to the SHIPPER's service and the otherwise applicable

rate, rate component, charge or credit which the parties

have agreed to replace with the Negotiated Rate(s), shall

not apply to, or be available to, the SHIPPER. At the end

of such period, the otherwise applicable maximum rates or

charges shall govern the service provided to SHIPPER. Only

those rates, rate components, charges, or credits

identified by COMPANY and SHIPPER in writing as being

superseded by a Negotiated Rate(s) shall be ineffective

during the period that the Negotiated Rate(s) is in effect;

all other rates, rate components, charges or credits

prescribed, required, established or imposed by this Rate

Schedule or COMPANY's tariff shall remain in effect.

COMPANY shall make any filings at the FERC necessary to

effectuate a Negotiated Rate(s).

6.4 Notwithstanding the fact that the charge to be paid by

SHIPPER hereunder is a daily charge, COMPANY shall bill

Shipper for the charges incurred hereunder on a monthly

basis unless COMPANY has agreed to bill SHIPPER according

to an alternate payment schedule such as at the end or

beginning of the PAL transaction. If applicable, COMPANY

may also agree to bill SHIPPER a fixed monthly charge or an

agreed upon total charge for the PAL transaction utilizing

a variable daily rate provided that such variable daily

rate does not exceed COMPANY's applicable maximum rate.