FYI--Didn't see you names on the distribution below.  These are Lynn's notes from the conference call we had with SoCalGas yesterday.  Overall it appears to have a positive impact on TW.  The meeting scheduled for next week is with their customers.  They are having conf. calls such as the one we had yesterday with each of the interstate pipelines.  As additional information becomes available I'll pass it on.  gh

 -----Original Message-----
From: 	Schoolcraft, Darrell  
Sent:	Wednesday, October 10, 2001 11:17 AM
To:	Hass, Glen
Subject:	FW: SoCal - November 1 Changes



 -----Original Message-----
From: 	Blair, Lynn  
Sent:	Wednesday, October 10, 2001 8:28 AM
To:	Corman, Shelley; January, Steven; Watson, Kimberly; Lohman, TK; Giambrone, Laura; Hernandez, Bert; McEvoy, Christine; Miller, Beverly; Miller, Chris L; Minter, Tracy; Mulligan, Amy; Ward, Linda
Cc:	Schoolcraft, Darrell; Blair, Lynn; Kowalke, Terry; Bodnar, Michael; Buchanan, John
Subject:	FW: SoCal - November 1 Changes

            We met with SoCal today to discuss the changes SoCal is making for
	November 1.  Here is a high level recap in relation to impacts on TW:

	1.  SoCal will NOT set the capacity at needles lower than 750 unless
	     they have operational problems. And they will maintain 750 for a gas 
	     day (during all cycles).  (Good news for TW)

	2.  SoCal may set a capacity higher than 750.  If they do, they will
	     maintain that capacity for a gas day (during all cycles), unless there
	     are specific operational problems. (Good news for TW)
	   
	4.  SoCal will have the option to call OFO's at the beginning of each cycle
	     for the gas day, which could cause a confirmation reduction.  Today they
	     only call an OFO before the gas day begins.   Starting Nov. 1, they can 
	     call an OFO anytime before a GISB cycle, including Intraday 1 and 
	     Intraday 2 which are cycles in the gas day. (This will be a major impact
	     to SoCal's customers)

	5.  SoCal says the "windowing" is gone.  But, they are still giving us a
	     capacity and TW will continue to do the allocation if nominations
	     exceed their capacity.

	6.  SoCal can still reduce the scheduled volumes after an allocation.  This
	     would be due to SoCal's market not burning their schedule.  At that
	     time SoCal will confirm down to the market burn.

	Overall, our process does not change. If you have any questions, please
	let me know.  Thanks. Lynn