Texas Gas Transmission Corporation

First Revised Volume No. 2-A

Effective Date: 11/01/1990, Docket: RP90-192-002, Status: Effective

Substitute Original Sheet No. 91 Substitute Original Sheet No. 91 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

10.3 Priorities Applicable for Scheduling Quantities to

be Delivered at Point(s) of Delivery. Transporter

shall schedule all quantities to be delivered in

sequence as follows:

(a) Pro rata based on Transporter's maximum firm

contractual obligation among (i), (ii), and

(iii) with each category receiving equal

priority whether such service is certificated

under Section 7 of the Natural Gas Act or

authorized under Section 311 of the Natural

Gas Policy Act of 1978:

(i) Firm sales under Transporter's Rate

Schedules SG, G, CD, CDL, SGN, GN, CDN,

or any other applicable firm sales rate

schedule. See Section 10.2 of Transpor-

ter's FERC Gas Tariff, Original Volume

No. 1 for priorities of service within

the firm sales category.

(ii) Firm certificated transportation

arrangements existing as of the date

Transporter accepts the certificate

issued pursuant to its application under

Part 284 of the Commission's Regula-

tions.

(iii) Firm transportation pursuant to Rate

Schedule FT, Including Standby Transpor-

tation Service under that Rate Schedule,

Receipt Point Reduction Option FT ser-

vice, and FT service utilizing alternate

receipt point(s), provided from capacity

determined by Transporter in its reason-

able discretion to exist on its system.

(b) Among Customers receiving service under Inter-

ruptible Agreements on a first-come, first-

served basis according to the date of initial

delivery for that service if such service

commenced before November 1, 1988. Beginning