Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

Effective Date: 12/01/2000, Docket: RP01- 69-000, Status: Effective

Fourth Revised Sheet No. 628A Fourth Revised Sheet No. 628A : Effective

Superseding: Third Revised Sheet No. 628A

GENERAL TERMS AND CONDITIONS

(Continued)

(E) Pipeline shall be entitled to file under Section 4 of the Natural Gas Act to

recover capital costs and other costs incurred for and in connection with

facilities utilized to implement Order No. 636 services.

(F) Pipeline has restructured its services as required by Order No. 636, including

unbundling services and making available for assignment upstream firm

transportation and storage capacity on other pipelines. Other pipelines may not

have restructured by the time this FERC Gas Tariff is implemented or may not

have signed all contractual agreements necessary to such implementation. By way

of example, but not by way of limitation, Pipeline has unbundled its Rate

Schedules SS-2 and SS-3 services into firm transportation under Rate Schedules

FTS-7 and FTS-8, with Customers to contract directly with CNG Transmission

Corporation, the third party pipeline, for storage service. If Pipeline is

billed for services no longer made available directly to Customers by Pipeline,

but by a third party pipeline, as a result of restructuring under Order No. 636,

the cost of which is not refunded in Pipeline's rates, Pipeline will flow

through such charges to the applicable Customers on an as-billed basis.

(G) Transition Cost Tracker:

Should Pipeline be charged transition costs, other than Account No. 191

transition costs, by an upstream pipeline(s), Pipeline shall allocate such

transition costs among its Rate Schedule CDS and FT-1 shippers on the same basis

as it allocated its own Gas Supply Realignment Costs and surcharge such

transition costs on a