Panhandle Eastern Pipe Line Company

First Revised Volume No. 1

Effective Date: 10/18/1999, Docket: RP99-482-000, Status: Effective

Second Revised Sheet No. 35 Second Revised Sheet No. 35 : Superseded

Superseding: First Revised Sheet No. 35

RATE SCHEDULE FT (Continued)

FIRM TRANSPORTATION SERVICE

3.7 Range of Rates

Unless otherwise agreed to in writing by Shipper and

Panhandle, any rate applicable to a Shipper for service

hereunder, by reference to the effective Tariff Sheet No.

4 shall be the applicable Maximum Rate(s) set forth

thereon. If an amount less than the applicable Maximum

Rate(s) and not less than the applicable Minimum Rate(s)

is agreed upon, such amount shall be applicable

prospectively.

3.8 Fuel Reimbursement

Shipper shall reimburse Panhandle in kind for fuel usage

and lost or unaccounted for Gas pursuant to the terms and

conditions of the Service Agreement and as stated on the

effective Tariff Sheet No. 4 for service hereunder.

3.9 Balancing Charges

If balancing charges are incurred in accordance with

Section 12 of the General Terms and Conditions, then such

balancing charges shall also be applicable.

3.10 Customized Reservation Patternþ (CRPþ)

(a) The CRPþ election provides an alternative method of

paying the uniform monthly billing of the Reservation

Charge set forth on the effective Tariff Sheet No. 4.

Billing and payment of CRPþ Reservation Charges shall

be in accordance with the reservation pattern elected

by Shipper. Rates reflecting such Shipper CRPþ

election shall be posted on the Messengerþ system and

will be filed with the Commission on or before the first

day of the Month of effectiveness of such election.

The total annual Reservation Charges resulting from

CRPþ will equal the total Reservation Charges Shipper

would pay without the CRPþ election for the same

annual period. An adjustment, if necessary, will be

included on the invoice for the last month of the

CRPþ period to ensure that the total Reservation

Charges due Panhandle under Panhandle's uniform

currently effective rates equals the Reservation

Charges received by Panhandle under the CRPþ rates.