Trans-Union Interstate Pipeline, L.P.

Original Volume No. 1

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Effective Date: 02/07/2006, Docket: RP06-217-000, Status: Effective

Original Sheet No. 137 Original Sheet No. 137 : Effective

 

 

FERC Gas Tariff, Transporter shall not suspend service to any

Shipper, who is

or has become insolvent, in a manner that is inconsistent with

the Federal

Bankruptcy Code.

 

28.2 Financial Information

 

At its reasonable discretion, Transporter may require Shipper to

provide

financial statements (to include a balance sheet, income

statement and

statement of cash flow). The statements should be the most

current available

as of the date they are submitted. If audited financial

statements are not

available, then Shipper also should provide an attestation by its

chief

financial officer that the information shown in the unaudited

statements

submitted is true, correct, and a fair representation of

Shipper's financial

condition.

 

Based on its review of Shipper's financial statements,

Transporter may, at its

reasonable discretion, agree to waive any further credit

requirements as a

condition of service. Alternatively, Transporter may, at its

reasonable

discretion, require Shipper to provide additional evidence of its

creditworthiness, in which event Shipper may elect to provide one

of the

following:

 

(a) an irrevocable letter of credit in form and substance

satisfactory to

Transporter in a face amount equal to (i) the applicable

transportation rate

specified in Transporter's Tariff for the service(s) which

Transporter

provides Shipper, (ii) multiplied by the maximum daily quantity

specified in

Transporter's Transportation Service Agreement with Shipper,

(iii) multiplied

by 90; or

 

(b) a guarantee, in form and substance satisfactory to

Transporter, executed

by a person whom Transporter deems creditworthy, of Shipper's

performance of

its obligations to Transporter under the Transportation Service

Agreement; or

 

(c) such other form of security as Shipper may agree to provide

and as may

be acceptable to Transporter.

 

This FERC Gas Tariff does not require Transporter to provide

transportation

service on behalf of any Shipper who fails to demonstrate

creditworthiness.

Transporter will treat the financial statements provided by

Shipper as

confidential.

 

29. TRANSPORTATION SERVICE AGREEMENT EXTENSION AND RIGHT OF

FIRST REFUSAL

 

29.1 If a Shipper, prior to the expiration of a Firm

Transportation Agreement

which is at the maximum recourse rate for a term of twelve (12)

or more

consecutive months of service, or for a negotiated rate contract

elects to

extend the Firm Transportation Agreement for less than the

automatic extension

period provided therein, or if the Firm