Panhandle Eastern Pipe Line Company

First Revised Volume No. 1

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Effective Date: 06/15/2003, Docket: RP03-479-000, Status: Effective

Fourth Revised Sheet No. 315 Fourth Revised Sheet No. 315 : Superseded

Superseding: Third Revised Sheet No. 315

GENERAL TERMS AND CONDITIONS

(Continued)

Transportation rates. The GSR Reservation Charge

will be determined by dividing the remaining GSR

Costs attributable to firm services to be

recovered through the GSR Reservation Surcharge

by the design billing determinants underlying

Panhandle's then-effective rates applicable to

Rate Schedules FT, EFT, SCT, LFT and HFT. The

remaining GSR Costs to be recovered in the

interruptible transportation rates under Rate

Schedules IT and EIT shall be determined by

dividing the remaining GSR Costs attributable to

interruptible services by the applicable

interruptible service design determinants

underlying Panhandle's then-effective rates. The

Carryover GSR Cost Collection Period shall

commence on the first day of the month following

Commission approval of such filing.

Notice of Cancellation

Section 18.8

Notice is hereby given that effective June 15, 2003,

Section 18.8 constituting Original Sheet No. 317; First Revised

Sheet Nos. 316 and 320; Second Revised Sheet Nos. 318 and 319;

and Sections 18.8(a) and (b) on Third Revised Sheet No. 315 of

the FERC Gas Tariff, First Revised Volume No. 1 of Panhandle

Eastern Pipe Line Company is cancelled.