U S G Pipeline Company

ORIGINAL VOLUME NO. 1

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Effective Date: 07/01/2003, Docket: RP03-369-002, Status: Effective

Second Sub Second Revised Sheet No. 59 Second Sub Second Revised Sheet No. 59 : Effective

Superseding: First Revised Sheet No. 59

GENERAL TERMS AND CONDITIONS

(v) Releasing shipper may specify dollars and cents or percents

of maximum tariff rate in the denomination of bids. Once the

choice is made by the releasing shipper, the bids should comport

with the choice.

(vi) For the capacity release business process timing model set

forth in Section 11.2(d) of these General Terms and Conditions,

only the following methodologies are supported by Transporter and

provided to releasing shippers as choices from which they may

select and, once chosen, should be used in determining the awards

from the bid(s) submitted. They are: 1) highest rate, 2) net

revenue and 3) present value. Other choices of bid evaluation

methodology (including other releasing shipper defined evaluation

methodologies) can be accorded similar timeline evaluation

treatment at the discretion of Transporter. However, Transporter

is not required to offer other choices or similar timeline

treatment for other choices, nor, is Transporter held to the

timeline should the releasing shipper elect another method of

evaluation.

(f)(i) Releasing shippers may, to the extent permitted as a condition

of the capacity release, recall released capacity at the Timely, Early

Evening, Evening, Intra-Day 1 and Intra-Day 2 Nomination cycles by

providing notice to the Transporter and the affected Replacement

Shipper(s), via a mutually agreed-upon method, by the following times

for each cycle on the day such Nominations are due: 8 a.m. CCT for the

Timely Nomination cycle; 3:00 p.m. CCT for the Early Evening Nomination

Cycle; 5:00 p.m. CCT for the Evening Nomination Cycle; 7 a.m. CCT for

the Intra-Day 1 Nomination cycle; and 2:30 p.m. CCT for the Intra-Day 2

Nomination cycle. Notification to all affected replacement shippers

provided by Transporter within one hour of receipt of recall

notification. Such notification will confirm that the conditions of

recall have been met and will be accompanied by the scheduling

information required by Section 15.

(ii) When Transporter sends Internet E-mail notification for recalling

of capacity to each affected Replacement Shipper, the subject line of

the E-mail will include the following information separated by commas

in the following order: (1) "Recall", (2) the recall notification

period, (3) the Effective Date in YYYYMMDD format, (4) the name or

abbreviation of Transporter (excluding commas), and (5) Transporter's D-

U-N-S number. The body of such E-mail notification will contain at

least the affected Replacement Shipper's Contract Number, the quantity

of capacity being recalled, and the Offer Number or Award Number, if

necessary to uniquely identify the capacity being recalled. Where

supported by Transporter, for recalls that are effective at non-

standard times, the appropriate recall notification period will be

included in the subject line and the effective time of the recall will

be in the body of the E-mail. Recall notifications by Transporter by

other mechanisms in addition to Internet E-mail will include at least

the same level of information.