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