TF03      51  2  05P126Second Revised Sheet No. 51
TF04                First Revised Sheet No. 51
TF05Edward C. McMurtrie, Vice President/General Manager
TF06040197021897RP97-136-000        060197
                       GENERAL TERMS AND CONDITIONS
                                (Continued)

1.   DEFINITIONS (Continued)

     1.6   "Catastrophic Capacity Failure" means an event that prevents
           Paiute from delivering previously scheduled volumes to its firm
           shippers, or prevents Paiute from scheduling sufficient volumes
           so that Paiute's firm shippers can meet their High Priority load
           requirement.

     1.7   "Catastrophic Supply Failure" means an event that prevents a firm
           shipper from scheduling firm supplies on Paiute and upstream
           pipelines in sufficient quantities to meet the firm shipper's
           High Priority load requirements, even though sufficient firm
           capacity is available to meet such load requirements. An officer
           of the firm shipper must attest to Paiute that a Catastrophic
           Supply Failure exists and that all alternate methods of
           satisfying High Priority requirements have been exhausted.
           Failure of interruptible supplies or interruption of service
           provided under interruptible transportation agreements does not
           constitute Catastrophic Supply Failure.

     1.8   "Cogeneration Facility" is defined as a facility utilizing natural
           gas to sequentially produce two or more forms of usable energy as
           outlined in Title 18, Code of Federal Regulations, Part 292,
           Subparts A and B, where the customer's generators and load are
           located on the same premise. The installation of a cogeneration
           facility shall not affect the underlying end-use of the
           establishment.

     1.9   "Commercial" means service to customers engaged primarily in the
           sale of goods or services, including institutions and local,
           state and federal government agencies, for uses other than those
           involving manufacturing or electric generation.

     1.10  "Correctional Facility" means a facility whose primary function
           is to house, confine or otherwise limit the activities of persons
           that have been assigned to such facility as punishment by a court
           of law.