1. 1999 Mastio Natural Gas Pipeline Survey
Results for
Transwestern Pipeline Company
March 30, 2000

2. Mastio Index Rankings for Interstate Pipelines*
High Score
100
The industry mean increased 2.2% from
1998 to 1999
Transwestern’s average score decreased .2% 90 80 70
NBPL TW
NNG
FGT
All others 60
Transwestern’s overall ranking fell slightly, from 9th out of 46 to 11th out of 50. 50 40 30 20 10
Low Score
*Includes all 50 interstate pipelines surveyed

3. Mastio Index
The Mastio Index is a composite of the overall service, overall performance,
overall preference and the 40 customer service attributes measured,
weighted by the customer needs as defined by all 1,257 customers
surveyed. The overall scores are converted to a 100 point scale with a
higher score being preferable.
“Overall service” %
“Overall pipeline company performance” 25%
“Rank in order of preference” 25%
Need weighted composite of the 40 attributes 25%
100%

4. Glossary of Terms
Mean - The average score of the information extracted from the number of respondents - thus, the mean can vary depending upon the data extracted
Industry group - Industry respondents
Focus Group - Customer list TW provided Mastio
Industry mean - The average score from all 1,257 industry respondents
Focus Group mean - The average score from all 23 focus group respondents
Commercial - Marketing
Commercial support - Market services
Attributes - Mastio provided statements ranked by respondents on a scale of 1 to 5
Score/Rating - The respondents used a scoring system of 1 to 5
Rating Scale
1=Excellent =Below Average
2=Good =Poor
3=Average

5. Attributes
Top 15 Attributes ranked in order of importance by all industry respondents in 1998
1. Transportation pricing is competitive
2. Dependability in agreements and commitments
3. Timely notifications before initiating restrictions
4. Accuracy in scheduled gas volumes
5. Accurate measurement of volumes
6. Reliability of primary firm gas transportation
7. Gas metering systems are accurate
8. Ability to negotiate discounts
9. Attitude of continuous improvement
10. Reps who listen well
11. Availability of capacity
12. Simple and straightforward scheduling
13. Responsive sales and service personnel
14. Pipeline understands your needs
15. Real-time pipeline operations information
New Attributes added in 1999 and not yet ranked by industry
1. Trustworthiness of pipelines
2. Internet/EBB access to pipeline information

6. TW FOCUS GROUP

7. Customers in TW Focus Group*
* PG&E (LDC) was a part of the TW Focus Group, but they did not respond to the survey. PG&E makes up 13.14% of TW’s revenue.

8. Customer Focus Group (cont’d)
The following focus group customers were identified based on available data
SoCal
USGT
Duke Energy
Agave
PNM
Williams Energy
None of TW’s Focus Group customers planning to switch pipelines within the next two years.

9. Transwestern Areas of Strength & Areas Needing Improvement*
Areas of Strengths
Areas Needing Improvement**
Ability to negotiate discounts
Storage service
Reliability of primary firm gas transportation
Competitive transport pricing
Availability of capacity
Timely notifications before initiating restrictions TW
Mean
Reps communicate clear tariff information TW
Mean
Responsiveness of voic systems TW
Mean
Gas pooling and aggregation service TW
Mean
Accurate, concise, & understandable contracts
Mean
* This is a list of TW’s top 5 strengths and the 5 areas that need to see the most improvement. It is based on an average of all 40 attributes rated by TW’s Focus Group.
** Even though these are below the mean, TW received a good to excellent rating.

10. COMPETITION

11. Overall Performance Scores By Industry
Pipeline TW
El Paso
PGT
Kern River NW
Overall
Performance
Preference
Service
Needs Weighted
Composite of 40
Attributes
2.17
2.49
2.16
2.47
3.09
2.44
2.38
2.19
2.80
2.13
2.23
25%
2.00
2.52
2.03
2.21
2.15
2.96
2.28
2.27
Average
2.25
2.60
2.34
2.42
Mean
2.95
2.24
Ranking 1 2 3 4 5

12. ACTION PLAN

13. Transwestern Action Plan
Item
Action
1. Timely notifications before initiating restrictions.
1. Evaluate sending notices on outages.
Re-evaluate simplification of current outage posting format.
Currently, gas control coordinators call customers and post notices on EBB.
Proposed elimination of the SoCal Window through the SoCal Gas Industry Restructuring proceeding (summer of 2000).
Validate EPSQ up front in the nomination process (11/99).
scheduled cut notices to customers (10/99).

14. Transwestern Action Plan (cont’d)
Item
Action
2. Pooling and balancing services
3. Reps communicate clear tariff info
2. Implementation of the PG&E Market Center.
Evaluate the implementation of similar market center services with other parties e.g. SoCal.
Investigate the potential offering of SBS on TW.
Evaluate delivery into a pool from IT and FT services.
3. Marketing will utilize face to face customer meetings to communicate tariff changes and new services.
Increase the regulatory review of tariff changes with Market Services and Marketing from once per year to twice per year.
Continue recently implemented Marketing and Market Services monthly meetings to facilitate consistent communications.

15. Transwestern Action Plan (cont’d)
Item
Action
4. Responsive voic systems
5. Accurate, concise, & understandable contracts
6. General
4. Implementation of telephone pick groups and backups in Marketing Group.
Market Services monitor voic responsiveness through weekly random checking.
5. Initiate Document Control Project for 2000 implementation.
Review of contract terms with new hire representatives on an on-going basis.
6. Marketing to implement scorecard with top revenue customers e.g. defining what is customer service.
Follow-up on Mercer?

16. Transwestern Action Plan (cont’d)
Item
Action
7. Mastio Study
7. Follow up with Mastio on our feedback for enhancements for 2000 survey:
Weight of the 40 attributes and overall questions.
Further clarifications of attribute questions e.g. “Trustworthiness of pipeline”.
Industry respondents re-rank attribute questions in order of importance for 2000.