Southern Star Central Gas Pipeline, Inc.

Original Volume No. 1

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Effective Date: 05/01/2003, Docket: RP03-352-000, Status: Effective

Original Sheet No. 271 Original Sheet No. 271 : Superseded





14.3 Stranded Investment


Southern Star may file under Section 4 of the Natural Gas Act for

approval to recover any stranded investment costs. Such filings

shall include a proposed method of allocation and recovery for

recovery of such costs. Southern Star shall file to abandon

facilities, as necessary.


14.4 Exit Fees After Restructuring Becomes Effective


In the event firm service agreements which become effective on or

after the effective date of this Article 14 are terminated prior

to the expiration of the primary term, an exit fee, to be

negotiated by Southern Star and the Shipper exiting the system,

shall be due upon termination. If such capacity, or any portion

thereof, is resold prior to the end of the original term,

Southern Star will credit the Shipper who has exited its system,

on a monthly basis, with an amount equal to each month's

reservation charge received for such capacity, provided that a

Replacement Shipper subscribes for the same primary receipt and

delivery points as the exiting Shipper. If Southern Star and the

exiting Shipper agree that Southern Star will actively market its

capacity, and Southern Star arranges for the Replacement Shipper,

a marketing fee of 10% of each month's reservation charge will be

deducted from each month's reservation charge credit. Such

monthly credit will be given to the Shipper who has exited the

system for the remaining term of the terminated contract during

which the capacity is used.