K O Transmission Company

Original Volume No. 1

Effective Date: 04/01/2009, Docket: RP09-394-000, Status: Effective

Fourth Revised Sheet No. 51 Fourth Revised Sheet No. 51

Superseding: Third Revised Sheet No. 51

GENERAL TERMS AND CONDITIONS (continued)

4. Release and Assignment of Service Rights (continued)

Releasing Shipper shall submit the information as detailed on the Form of

Release Notice within the Tariff to Transporter by facsimile, e-mail, internet

form or other delivering methods as mutually agreed, and Transporter will then

post the Release Notice on its website.

(c)

Evaluation Criteria. Transporter shall evaluate bids submitted for capacity

offered for release based on the best bid first utilizing the methodology chosen

by Releasing Shipper, including (1) highest rate, (2) net revenue, (3) present

value or (4) Other. Releasing Shipper, upon choosing "Other", must establish

alternative, nondiscriminatory criteria for evaluating bids. Should Releasing

Shipper choose "Other" as the method of evaluation, Transporter shall not be

required to meet the timelines outlined in Section 4.5. Releasing Shipper shall

include any all such alternative evaluation criteria in the Release Notice.

When multiple bids meeting minimum conditions are received, Transporter shall

award capacity, best bid first, until all offered capacity is awarded.

Evaluations shall end at 3:00 p.m. central clock time. The standard timeline

shall apply for releases with nonstandard evaluation methods.

(d)

At any time up to the close of the bidding period for the posted capacity,

Releasing Shipper may withdraw its posting for release of capacity if Releasing

Shipper itself has an unanticipated use of the capacity or if the bids do not

meet the minimum conditions. Such a withdrawal shall be effected by Releasing

Shipper sending a withdrawal notice via fax or e-mail to Transporter. Offers

will be binding until a notice of withdrawal is received.

4.2 Posting

Posting of Release Notices on Transporter's website shall be complete and

subject to the conditions and exceptions set forth below:

(a)

Exempt Transactions. Posting for purposes of inviting bids shall not be

required for (i) prepackaged arrangements Releasing Shipper has arranged with a

designated Replacement Shipper for a period of 31 days or less; (ii) prepackaged

arrangements where the Replacement Shipper is providing asset management service

to the Releasing Shipper utilizing the released capacity; (iii) prepackaged

arrangements in relation to an approved retail open access program; or (iv)

prepackaged arrangements for longer than one (1) year that Releasing Shipper has

arranged with a designated Replacement Shipper under which the designated

Replacement Shipper agrees to pay the maximum reservation charge