East Tennessee Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 05/01/2000, Docket: RP00-245-000, Status: Effective

Second Revised Sheet No. 142 Second Revised Sheet No. 142 : Superseded

Superseding: First Revised Sheet No. 142

GENERAL TERMS AND CONDITIONS (Continued)

successfully bidding on a subsequent Release Request is not

required to execute an additional Released Transportation

Service Agreement; rather, each such additional successful

bid shall be the subject of an additional exhibit

(designated sequentially "Exhibit R-2", "Exhibit R-3", etc.)

to be added to such Replacement Shipper's Released

Transportation Service Agreement. Transporter shall prepare

all exhibits for Releasing Shippers and Replacement Shippers

based on the information in the applicable Release Request

and the successful bid, and each such exhibit shall be

deemed incorporated in the transportation agreement to which

it relates and shall thereby amend such agreement effective

upon commencement of service to the Replacement Shipper.

Such exhibits shall not require execution by the Releasing

Shipper or Replacement Shipper to become effective.

(i) Prior to the commencement of service pursuant to any Release

Request, the Replacement Shipper shall submit to

Transporter, in accordance with Section 5 of Transporter's

General Terms and Conditions, a check equal to the lesser of

$10,000 or the total reservation charges under its Released

Transportation Service Agreement (or corresponding exhibit)

applicable to the released service for a three month period.

(j) Prior to the commencement of service pursuant to a permanent

assignment, Transporter shall prepare and transmit to the

successful Bidder a Firm Transportation Service Agreement

stating the Transportation Quantity, rates, term, Maximum

Receipt Quantities at all Primary Receipt Points and Maximum

Delivery Quantities at all Primary Delivery Points, and

governing rate schedule. Transporter shall send to the

Releasing Shipper a revised Exhibit A to Releasing Shipper's

FT-A Agreement in the event of a partial assignment.

Releasing Shipper shall sign and return to Transporter

within three days of the date of its transmittal a new

Exhibit A for a partial release or a request for termination

for a full assignment of the entire Transportation Quantity.

No permanent assignment shall become effective until the

Releasing Shipper has signed and returned a new Exhibit A or

a written request for termination.

17.8 Failure of Bidder to Honor Winning Bid - In the event a Bidder is

successful but does not accept the capacity attained by such

successful bid, (provided that such non-acceptance is not excused by

a pre-stated contingency), then such Bidder shall forfeit the pre-

payment required under Section 5 and shall be barred from bidding for

released capacity for a one-year period.

17.9 Reassignment of Released Capacity - A Replacement Shipper shall be

allowed to release the capacity under its Transportation Service

Agreement, provided that the original release was not volumetrically

based.

17.10 Submission of Release Documents - Parties shall submit all necessary

information, Release Requests and bids via PASSKEY.