Panhandle Eastern Pipe Line Company

First Revised Volume No. 1

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Effective Date: 02/01/2002, Docket: RP00-395-003, Status: Effective

Fourth Revised Sheet No. 42 Fourth Revised Sheet No. 42 : Superseded

Superseding: Third Revised Sheet No. 42

RATE SCHEDULE EFT (Continued)

ENHANCED FIRM TRANSPORTATION SERVICE

(c) Unauthorized Overrun Penalty for Takes During an OFO

Panhandle may issue an OFO and, if it does so,

Panhandle shall notify Shippers through the

Messenger system, the Web Site and by telephone, and

facsimile or via e-mail communication. Once issued

the OFO shall continue until Panhandle notifies

Shippers to the contrary using the above methods. If

the OFO requires the elimination of unauthorized

overruns, the applicable Unauthorized Overrun Penalty

shall be as set forth in Section 12.17(f)(ii) of the

General Terms and Conditions.

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.

5 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. 5 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.