26.13Withdrawing Customer’s Collateral

Upon a Customer’s withdrawal from the LBMP Market(s) and/or all of the ISO-Administered Markets to secure the Customer’s estimated remaining financial obligations, including, but not limited to, true-up payments or other invoice adjustments, the Customer shall be required to provide secured credit according to the following formula:

RCC = [∑N4 (Avg 4TrueUp *Initial 4 Month)] + [∑NF (AvgFinalTrueUp * Initial Final)]

Where:  

RCC =  The amount of secured credit to be required following a Customer’s withdrawal

N4=              Each month with an initial settlement without an associated 4 month settlement

NF=              Each month with an initial settlement without an associated final bill close-out

Avg4TrueUp =              Most recent six month rolling average percentage credit exposure of 4 month settlements to associated initial settlements, not to exceed a market-wide maximum percentage reasonably determined by the ISO

AvgFinalTrueUp=              Most recent six month rolling average percentage credit exposure of final bill close-outs to associated 4 month settlements, not to exceed a market-wide maximum percentage reasonably determined by the ISO

Initial 4 Month=              Initial settlement for the month N4

Initial Final=              Initial settlement for the month NF