Midcoast Interstate Transmission, Inc.

Second Revised Volume No. 1

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Effective Date: 10/01/1997, Docket: GT97- 71-000, Status: Effective

First Revised Sheet No. 140A First Revised Sheet No. 140A : Effective

Superseding: ORIGINAL SHEET NO. 140A

GENERAL TERMS AND CONDITIONS (Continued)

(b) Each Affected Shipper will have allocated to it an

amount of the total Unrecovered Purchased Gas Cost

Account demand balance, including any amounts

subsequently billed or refunded during the period

the PGA was in effect, according to the following

formula:

( X / Y )times( Z ) =

Affected Shipper's allocated share of Unrecovered

Purchased Gas Costs Account demand balance;

where

X= the Affected Shipper's effective sales