TF03     25B0020004P126Third Revised Sheet No. 25B
TF04                Second Revised Sheet No. 25B
TF05Edward C. McMurtrie, Vice President/General Manager
TF06112904110304RP04-51-000     061904
TF0710961139                                
                            RATE SCHEDULE FT-1
                        FIRM TRANSPORTATION SERVICE
                                (Continued)


12.  RESERVATION CHARGE ADJUSTMENTS (Continued)

     12.3  The Reservation Charge adjustment provided in Section 12.1 hereof 
	   shall not apply:

	   (a)  to a firm Shipper that receives 98 percent of its applicable 
		Reserved Capacity (i.e., Daily Reserved Capacity or Summer 
		Daily Reserved Capacity); 

	   (b)  to a firm Shipper that is unable to schedule out-of-path 
	        transportation, or transportation at a secondary receipt or 
	        delivery point;

	   (c)  to a firm Shipper that is unable to schedule at a receipt or 
	        delivery point due to that point being scheduled properly by 
	        an alternate firm or interruptible shipper in an earlier 
	        nomination cycle, which is not eligible to be reduced (bumped) 
	        in the current cycle;

	   (d)  when Shipper:

               (1)  fails to properly nominate or confirm pursuant to the 
               	    scheduling timeline and requirements of Sections 4.2 
               	    and/or 4.6 of the General Terms and Conditions and/or the 
               	    other scheduling provisions of this tariff; or

	       (2)  fails to deliver gas that conforms to the quality or 
		    pressure specifications detailed in Sections 3 and 4 of 
		    the General Terms and Conditions; or

	       (3)  does not comply with a restricted delivery entitlement 
		    notification pursuant to Section 5.2 of the General Terms 
    		    and Conditions;