Extremely High System Inventory

Wednesday, October 16, 2002

Due to extremely high inventory on Pacific Gas and Electric Company's California Gas Transmission system, some nominations for gas day May 17, 2001 will be cut.

CGT issued a Customer-Specific OFO for May 17, 2001 and a System-Wide OFO for May 18, 2001. These OFOs remain in effect. Despite these measures, system inventory is forecast to exceed the maximum inventory level on May 17, 2001. Therefore, CGT will implement receipt point capacity allocations at all interconnects to manage inventory levels on its system.

Receipt point capacity allocations will be made in accordance with Rule 14.

Allocations will take place when Intraday 2 nominations are processed. All customers should review their Confirmed Nominations and Scheduled Volumes (100) Reports.

Please contact your CGT Account Services Representative if you have further questions.

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