-----Original Message-----
From: 	Cantrell, Rebecca W.  
Sent:	Wednesday, October 24, 2001 5:53 PM
To:	Calcagno, Suzanne; Grigsby, Mike; Kuykendall, Tori; McMichael Jr., Ed; Miller, Stephanie; Olinger, Kimberly S.; Shireman, Kristann; Smith, George F.; Sullivan, Patti; Superty, Robert; Tholt, Jane M.; Tycholiz, Barry; Alvarez, Ray; Comnes, Alan; Frank, Robert; Gahn, Scott; Kingerski, Harry; Lawner, Leslie; Perrino, Dave; Sharp, Greg; Smith, Matt; Steffes, James D.; Stoness, Scott; Thome, Jennifer; Walton, Steve
Cc:	Steffes, James D.
Subject:	FERC Initial Decision in Hearing on TW Negotiated Rate Deals

FERC today issued an Initial Decision in the hearing in the Transwestern case concerning several negotiated rate agreements to which Indicated Shippers and the CPUC had raised objections.  Briefly, the Judge ruled that Transwestern had not exercised market power and that the capacity was advertised and awarded in accordance with Transwestern's tariff.  However, Transwestern must modify its tariff to add a separate provision where all the posting, bidding and award procedures for purposes of awarding capacity are clearly stated.  A highlighted copy of the ruling is attached for your information.