Texas Gas Transmission Corporation

First Revised Volume No. 2-A

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Effective Date: 11/01/1990, Docket: RP90-192-000, Status: Effective

Original Sheet No. 95 Original Sheet No. 95 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

commencing with the third day after Customer's

receipt or notification as provided in para-

graph (b) above from Transporter, Transporter

shall also retain any remaining net balance of

overdeliveries which exists at the conclusion

of such 45-day period.

As to paragraph (b)(iii) above, the penalty

shall be the dollar equivalent of two (2)

times the Rate Schedule G Commodity Charge in

the applicable zone of delivery to Customer

set forth on currently effective Sheet No. 10

of Transporter's FERC Gas Tariff, Original

Volume No. 1, or superseding tariff, multi-

plied by the quantities exceeding the 10% or

50 MMBtu limits specified in paragraph

(b)(iii) above. In the event Customer does

not balance within 45 days, commencing with

the third day after Customer's receipt of

notification as provided in paragraph (b)

above from Transporter, the penalty charge set

forth in this paragraph shall apply to the

total remaining net balance at the end of the

45-day period (inclusive of takes in excess of

the limits occurring prior to commencement of

the 45-day period), less any previously asses-

sed penalty amounts; provided, however, such

penalty charge shall not be less than zero.

Transporter will not assess a penalty under

these paragraphs (b) or (c) if such imbalances

occur at the request of Transporter or are the

result of a force majeure situation as defined

in Section 10.1 of the General Terms and

Conditions of Transporter's FERC Gas Tariff,

Original Volume 2-A.

(d) All penalties assessed hereunder shall be paid

in addition to the reservation charge, com-

modity rate, or overrun rate, as applicable.