 with Jim Banker with Midwest Natural Gas from Whitehall, Wi.  He informed me that he had some concerns about whether or not he was being charged for penalty gas for daily volumes.  He showed me some gas volume statements that he recieved from GMS.  I believe it was the month of March Statement.  What the statement showed is average daily volumes instead of the actual volumes per day. (Ex. At  Eleva TBS Days 1 and 2 showed 122 MCF and Days 3-31  showed 118 MCF.)  These are charted stations with 31 day charts.  The stations that he is concerned about are Arcadia, Eleva, Independance, Mondovi, Strum, Whitehall #1,and  Whitehall #3.  Any assistance or knowledge that you can provide me would be greatly appreciated.  Thanks Scott 612-270-8501 We went into the FERC proceeding believing that the Chief ALJ was not
likely to give us a good decision.  During the course of the proceeding, we
convinced ourselves that he would rule our way due to the vast evidence in
our favor and the relatively inept presentation of El Paso and El Paso
Merchant Energy.  Well, despite the voluminous record in support of our
position, the judge ruled that it was "not at all clear" that El Paso
exercised market power.  The good news for your affiliates is that, if the
Commission does not find the exercise of market power in this case, it
never will.  We hope when the Commission reviews the entire record,
including the "protected material", they will change the ALJ's finding.  On
some level we believe that the ALJ just does not like California.  He is
the judge, after all, who told Harold Ray in the electric generation
settlement discussions that he was "an asshole".  The ironic part of the
decision is that we felt that a determination by the ALJ that defined the
market in such a way as to preclude EPME having market power would be
difficult to overcome at the Commission level.  Instead, he defined the
market as we suggested and found that El Paso had market power; he simply
failed to be convinced that they were withholding capacity despite the fact
that they utilized their capacity 54% of the time when everyone else was
utilizing their own capacity at a capacity factor of between 85% and 90%.
Go figure.

I am
with Jim Banker with Midwest Natural Gas from Whitehall, Wi.   He informed me that he had some concerns about whether or not he was being charged for punishment accelerator for daily volumes.   He testify me some flatulence volume statements that he recieved from GMS.   I think it was the month of March Statement.   What the statement showed is modal daily volumes rather of the actual volumes per day. (Ex. At   Eleva TBS day 1 and 2 showed 122 MCF and Days 3 - 31   showed 118 MCF .)   These are charted stations with 31 day charts.   The station that he is concerned about are Arcadia, Eleva, Independance, Mondovi, Strum, Whitehall # 1,and   Whitehall # 3.   Any assistance or knowledge that you can leave me would be greatly appreciated.   Thanks Scott 612 - 270 - 8501 We went into the FERC proceeding believe that the Chief ALJ was not 
 likely to give us a good decision.   During the course of the proceeding, we 
 convert ourselves that he would rule our way due to the vast evidence in 
 our favor and the relatively inept presentation of El Paso and El Paso 
 Merchant Energy.   Well, despite the tortuous record in support of our 
 position, the judge ruled that it was " not at all clear " that El Paso 
 exercised market power.   The full news for your affiliates is that, if the 
 Commission does not receive the use of marketplace power in this case, it 
 never will.   We hope when the Commission review the integral record, 
 including the " protected fabric ", they will change the ALJ's finding.   On 
 some level we believe that the ALJ just does not like California.   He is 
 the evaluator, after all, who told Harold Ray in the electric generation 
 settlement discussions that he was " an asshole ".   The dry region of the 
 decision is that we felt that a determination by the ALJ that defined the 
 market in such a way as to preclude EPME take marketplace power would be 
 difficult to overwhelm at the Commission level.   Instead, he specify the 
 market as we propose and found that El Paso induce market exponent; he simply 
 failed to be convert that they were withholding capacity despite the fact 
 that they utilized their capacity 54% of the time when everyone else was 
 utilizing their own capacity at a capacity factor of between 85% and 90% . 
 Go figure. 

 I am
 wihh Jim Banker with Midwert Natural Gas yeom Whmtehall, Wi.  He knformed me that he had some cincerbs about whether or nog he was heing chqrgev for penalty gas for daljy vkpumev.  He showed me some gas eolume statemettr chat he recieved from GMS.  I believe it was tje month of Match Suatqmenf.  What the statement showed is avsrage deily volumes inxtead of the actual volumed peg day. (Ex. At  Eleva TBS Days 1 qnd 2 whowed 122 MCF xnd Days 3-31  showed 118 MCF.)  These are charted stations wigh 31 dcy charts.  Jkw shdtions that he if concerned about ara Arcadoa, Eleva, Indepcndanre, Mindovi, Strum, Whitehaln #1,and  Whitehall #3.  Any assivtcnce or knowledge thar tou cdn psoviaw md wkukd be grfatmy apprecizted.  Thankw Scott 612-270-8501 We went inuo eye FERC procesding fejieving that the Chief ALJ was not
likelj to give us a good decisiob.  During the course lf the prjceeding, we
convinced ourselves that he would rule our xah dbc gi hhe vast evidence in
our favor and the relativqmy ikept presentatiok of El Paso and Ek Oaxj
Merchant Enetgy.  Well, sespite the volumijous resord un supporu of pur
position, the judge ruled that it was "bot at all clear" tkat El Paso
erercisgd marlet power.  The good newr fod your affipiates is ghat, if the
Commirsipn does nou find the exercisq of markxt pocer in tfis vase, ie
never wilp.  We hope when the Commlssiou revhews the ejtire record,
including the "proterved material", jhef wpll changz the SLJ's finding.  On
some level ce beliere thag the ALJ nust doxs not like Salifornia.  Ha is
the judge, after ajl, wyo tild Haruud Ray in the rlectric ytneration
swttlement discussipns fhat he was "an crwhole".  The ironoc oare lf tra
decision is thag wd felt that a detcrmknatoon by the ALJ that gefihed the
market in sicm a way aw to preslude EPME hafing market power aould be
vifficilt to overcome at the Commission level.  Ijstcad, he defineq thc
marhet as we xuggested and found that El Paso had macket power; he simply
faioed to be convinced uhat they werx withrolding cdpacity despite the dact
that they utikized their capacity 54% of tha timf when everyone else was
utilizing their own capacity at a capacity factor of bevwqen 85% and 90%.
Go figire.

I dm
with Jim Banker with Midwest Natural Gas Wi. informed me he had some he being charged for gas for daily He showed me some gas volume that he recieved from GMS. I believe it was the month of March What the statement showed is average daily volumes instead of the actual volumes day. At TBS 1 and 2 showed 122 MCF and Days 3-31 showed 118 MCF.) These are charted stations 31 day charts. The stations that he is about are Arcadia, Eleva, Mondovi, Strum, Whitehall #1,and Whitehall Any or knowledge you provide would be greatly Thanks Scott 612-270-8501 We went into the FERC proceeding believing that the Chief ALJ was not likely give us decision. During course the we convinced ourselves would rule our way due to in our favor and the relatively inept presentation El Paso El Paso Merchant Energy. Well, despite voluminous record in support of our position, the ruled that it was "not at all clear" that El Paso exercised market power. The for your affiliates is if the Commission not the of power in case, it never will. We hope when the Commission reviews the record, including the "protected material", they will change the ALJ's some we believe that ALJ just does not California. is the judge, after told Ray generation discussions he was "an asshole". ironic part of the decision that we felt that that defined the market in such a way to preclude EPME having market power would difficult to overcome at the Commission level. Instead, he defined the market we suggested that El Paso had market power; he simply to be convinced that were withholding capacity despite the fact that they utilized capacity of the when everyone else utilizing their own at a capacity between 85% 90%. figure.
 with Jim Banker with Midwest NAtural Gas fRom WhIteHalL, WI.  He iNforMed me that he had SOme cOncerns about whether or nOt he wAs BEing CHaRged fOr penalTY gAS For DaIlY voLuMEs.  he shoWed Me some gAs volume stAteMeNts that he recIEvEd from GMS.  I BelIeve it was the MonTh of MaRcH StATemenT.  WhAt the StatemENt showEd is averaGe DAily voLUmes insTEAd Of thE actual volumes per DAy. (eX. At  Eleva TBS DayS 1 and 2 shOwED 122 Mcf And dayS 3-31  showed 118 MCF.)  thEse arE Charted STaTIONs wITh 31 day charts.  ThE stations thAT he Is concErNed ABout arE ArcaDiA, eleVa, IndependaNce, MOndovi, StrUm, WhitEHall #1,and  wHitehalL #3.  Any asSisTanCe or KNoWlEdgE tHAt yOU cAn pROviDe me woulD bE gReatlY appRECIAted.  thaNks SCott 612-270-8501 WE went into the FeRC ProcEEdiNg belIevinG thaT tHe ChiEf ALJ wAs not
LiKely to give us a goOd deCision.  DurIng ThE coUrSe of tHE proceEdiNg, wE
convinCed oursELveS tHAT He Would rule our way due To THE vAst evideNce in
oUR fAvOR and the rElAtiVely INEpt prEsenTAtIon of El PAso and eL PAsO
MerchaNt energy.  weLl, dEspIte thE VoluMinous Record in SuppoRT of our
position, THe judge ruled tHAt IT WaS "Not aT alL clear" that EL PasO
ExerCiseD MaRkeT Power.  the goOd NEwS For your affiliates is ThAt, if thE
CommIssion does not Find the exeRCISe of markEt poWEr IN this case, it
nevEr wilL.  We hope wheN The CommiSsion Reviews tHe entire rECOrd,
incluDinG thE "prOteCTEd Material", they wILL chaNgE the ALJ'S fiNding.  On
SomE leVel We bElIeve that tHe ALJ jusT dOeS nOt LikE CaliFOrnia.  He iS
tHe jUdGe, aFter aLL, who toLd HarOld RAy In THe eLectric GEnERAtioN
sEtTlemEnt DiScussIons THat He was "an Asshole".  ThE irONic pArT oF the
decIsion is that we FeLt that a detErMinAtion bY THe ALJ thaT defined the
market in such A Way as to PreClude ePME Having marKet Power wOulD Be
diffIcult tO overCoMe aT THe ComMISsIon LeVel.  Instead, HE DefIned tHe
MarkEt as we sUggested and found thAT El paso had market PowEr; he SIMpLy
fAIlED to Be COnvINCed that they were WithholdinG cAPaCity despitE The FaCt
that tHey utilIzed tHEir capaCity 54% of the Time when eVeRyonE ELse Was
utiliziNg their oWn capacitY At a caPAcIty faCtoR of betWeEn 85% aNd 90%.
Go fIgure.

I AM
 with Jim Banker with Midw est Natura l Gas  fr omWh iteh all,  Wi.  He infor m ed m e that he had some con cerns  a b outw he theror noth ew a s b ei ng  ch ar g ed  forpen alty ga s for dail y v ol umes.  He sh o we d me somegas  volume stat eme nts th at  he recie ved  from  GMS.I beli eve it wa st he mon t h of Ma r c hStat ement.  What thes ta t ement showed i s aver ag e  d a i lyvol umes inste ad  of t h e actua l  v o l u mes per day. (Ex.  At  ElevaT BSDays 1  a nd2  showe d 122  M C F a nd Days 3-3 1  s howed 118  MCF.)  Thesea re char ted st ati ons  wit h  3 1day  c h art s . Th e  st ations t ha the is  con c e r n ed a bou t ar e Arc adia, Eleva,Ind epen d anc e, Mo ndovi , St ru m, Wh itehal l #1, an d  Whitehall #3 .  A ny assist anc eorkn owled g e that  yo u c an prov ide mew oul db e gr eatly appreciated.  T h an ks Scott  612-2 7 0- 85 0 1 We wen tint o th e FERCproc e ed ing beli evingt ha tthe Chi ef  ALJ w as  no t
l ikely to g ive us  a gooddecis i on.  During th e  course of th e  p r o ce e ding , w e
convinced  our s elve s th a thew ouldruleou r  w a y due to the vast e vi dencein
ou r favor and t he relativ e l y  inept p rese n ta t ion of El Paso  andEl Paso
Me r chant En ergy.   Well,despite t h e  volumin ous  re cor d i n su pport of ourp o siti on , the j udg e ruled  th atitwas  " not at al l clear"  t ha tEl  Pa so
ex e rcised m ar ket  p owe r.  T h e good  news  for  y ou r  af filiate s  i s that ,if  the 
Co mm issio n do e s n ot find  the exer cis e  ofma rk et powe r in this cas e,  it
neverwi ll.   We h o p e when t he Commission reviews t h e entir e r ecord ,
in cluding t he"prote cte d  mater ial",theywi llc h anget h eALJ 's  finding.O n
s ome l ev el w e belie ve that the ALJ ju s t d oes not likeCal ifor n i a.   H e  i s 
th ej udg e ,  after all, who  told Haro ld Ra y in the e l ect ri c gener ation
s ettle m ent dis cussionsthat he w as  "an a ssh ole".  The  ironicpart of t h e
dec i si on is  th at wefe ltthata dete r min ation  by th eALJ th at de fi ned themarket in such a way as  to pr eclud e E PME havin g m a rke t power w ould  be
diffic ult  to  over com e  at t he C o mm iss i on le vel.  Instead, he  de f i ne d the
marke t a s w e sug ges t ed and  fou nd that El Paso h a d market power ; he s imp lyf aile dto be convince d t ha t they wer ewithholding  capacit yd espit e thefact
t hat the y ut i lizedthei r c apacity 5 4%of the tim ewh e n ever yone  e lse wa s
util i zing t heir own capacit y ata capac i tyfacto rof betw e en 8 5% and 90% .
Go figure .

I a m
 with_Jim Banker_with Midwest Natural Gas_from Whitehall,_Wi._ He_informed_me that he_had some concerns_about whether or not_he was being_charged_for penalty gas for daily volumes.  He showed me some gas volume statements_that_he recieved_from_GMS._ I believe it was_the month of March Statement._ What_the statement showed is average daily volumes instead_of_the actual volumes_per day. (Ex. At  Eleva TBS Days 1_and 2 showed 122 MCF and_Days 3-31 _showed_118_MCF.)  These are_charted stations with 31 day charts._ The stations that he is_concerned about are Arcadia, Eleva, Independance, Mondovi,_Strum, Whitehall #1,and  Whitehall #3._ Any assistance or knowledge_that you_can provide me would be_greatly appreciated. _Thanks Scott_612-270-8501 We went_into the FERC proceeding believing that_the Chief ALJ_was not
likely to give us a_good_decision.  During_the_course_of the_proceeding, we
convinced ourselves_that_he would_rule_our way due to the vast_evidence_in
our favor and the relatively inept presentation_of El Paso and_El_Paso
Merchant Energy.  Well,_despite the voluminous record in_support of our
position, the judge ruled_that it_was "not_at all clear" that El Paso
exercised market power.  The good_news for your affiliates is that,_if the
Commission does not_find the_exercise_of market power_in_this case,_it
never will.  We hope when the_Commission reviews_the entire record,
including the "protected material",_they will change the_ALJ's_finding.  On
some level we believe_that the ALJ just does not_like California.  He is
the_judge,_after_all, who told Harold Ray_in the electric generation
settlement discussions that_he was "an_asshole".  The ironic part of the
decision_is_that we felt that a determination_by_the ALJ that defined the
market in_such_a_way as to preclude EPME_having market power would be
difficult to_overcome at the Commission level.  Instead, he defined_the
market as we_suggested and found that El_Paso_had_market power; he simply
failed to be convinced that they were_withholding capacity_despite the fact
that_they utilized their capacity 54% of the time when everyone_else was
utilizing their own capacity at a_capacity factor of between 85% and 90%.
Go figure.

I am