Central Kentucky Transmission Company

Original Volume No. 1

Effective Date: 02/26/2009, Docket: RP09-285-000, Status: Effective

First Revised Sheet No. 138 First Revised Sheet No. 138

Superseding: Original Sheet No. 138

GENERAL TERMS AND CONDITIONS

(Continued)

(b) A potential Replacement Shipper responding to the posting of a

Release Notice shall be permitted to bid a quantity and a term of service

different from those specified in the posted Release Notice; provided,

however, that a Bidder shall not be permitted to bid a quantity or a term of

service lower than any minimum quantity or term disclosed and posted by

Releasor in the Release Notice. Bidders must accept all other conditions set

forth in the Release Notice.

without bidders knowing the identities of other bidders. Bidders may submit

multiple bids, each higher than the previous bid, during the posting period

established pursuant to Section 14.2(e) above.

(d) All bidders must (i) have pre-qualified under Transporter's

creditworthiness standards, (ii) appear on Transporter's Approved Bidders

List, and (iii) where execution of an Assignment Agreement will be required

within five days of its transmission by Transporter, have executed an

Electronic Contracting Agreement with Transporter, as required by Section 3

(Requests for Service) and Section 5 (Service Agreement and Electronic

Contracting) of the General Terms and Conditions.

(e) Releasors that have (i) Service Agreements with Transporter and

with Columbia, or (ii) multiple Service Agreements with Transporter may post

Release Notices for capacity under such Service Agreements with a "Stand-

Alone" or "Not Stand Alone" indicator. Potential Replacement Shippers must

submit bids on all parcels that "Stand Together".

(f) All bids for capacity release transactions of more than one (1)

year in length shall neither exceed the maximum rates nor be less than the

minimum rates permitted by the Commission for the released services. Bids for

capacity release transactions of one (1) year or less shall not be less than

the minimum rates permitted by the Commission for the released services. Bids

for capacity for a term of more than one (1) year that are offered at a one-

part volumetric rate (which shall apply only to the reservation portion of

the rate) shall not exceed a maximum rate calculated by converting the

applicable maximum reservation charge into a volumetric charge at a 100

percent load factor plus the applicable commodity charges. Bids may not be

adjusted to reflect a daily, monthly, or seasonal rate.