TXU Energy Rewards+^® Terms and Conditions

PROGRAM DESCRIPTION

The TXU Energy Rewards+® program (the "Program") is managed by Destination Rewards, Inc., an independent third party, and is provided to you as a non-electric service by TXU Energy Retail Company LP and TXU SESCO Energy Services Company (collectively referred to in these Terms and Conditions as "TXU Energy"). Any reference to "you" or "Purchaser" or "Account Holder" in these Terms and Conditions means the person or entity identified as the primary account holder of a Program account.

Joining the Program is voluntary and will not affect your electric service or the terms and conditions of your Terms of Service Agreement with TXU Energy. By submitting a completed customer profile when you activate your Program account, however, you agree to be bound by all the terms and conditions of the Program. In addition, by purchasing a product or service with Rewards+ Dollars (as defined below), including but not limited to travel awards, you agree to be bound by any additional terms and conditions that may attach to the purchased product or service.

Participation in the Program is limited to TXU Energy customers in good standing (as defined below). Upon your enrollment in the Program, and during every month thereafter during which you remain a TXU Energy customer in good standing, TXU Energy will credit your Program account with Rewards+ Dollars. TXU Energy may close your Program account and vacate your account balance if you fail to make a purchase using your Rewards+ Dollars during any consecutive 12 month period. TXU Energy may, but is under no obligation to, notify you that your Program account is subject to closure based on non-use. If TXU Energy does send you such a notice (which may be transmitted by any written means such as regular mail, electronic mail or facsimile) and you do not confirm your desire to continue participation in the Program within the time period specified in such notice, your account will be closed.

Rewards+ Dollars are awarded as TXU Energy's thank you gift to customers in good standing and are not tied to the amount of your energy bill. Rewards+ Dollars may also be awarded by TXU Energy in connection with special promotions.

Rewards+ Dollars have no cash value and cannot be redeemed or exchanged for cash. Rewards+ Dollars cannot be transferred. Unused account balances will be forfeited if an account is closed for any reason. Please note that TXU Energy may amend, modify or terminate the Program at any time.

You are a customer in good standing if (as determined by TXU Energy in its sole discretion): (1) you have an active account with TXU Energy, (2) payment on your account is not more than 60 days overdue, (3) you are not otherwise in default under your TXU Energy Terms of Service Agreement and (4) if you entered the Program after 9/1/06, you continue to maintain a valid email address as part of your Program profile. New Rewards+ Dollars cannot be earned if your account is not in good standing. In addition, if you discontinue using TXU Energy as your electric service provider, or if your TXU Energy account is closed for any reason, your Program account will also be closed. In addition to the above, TXU Energy further reserves the right to reject participation by any applicant and/or to terminate an Account Holder’s continued participation in the program in its sole and absolute discretion for any reason or no reason. If your Program account is closed, you will not earn any new Rewards+ Dollars and you will forfeit any Rewards+ Dollars that are in your account at the time your Program account is closed.

Subject to the limitations set forth herein, Rewards+ Dollars may be used by you toward the purchase of select consumer products and services from independent merchants participating in the Program. You may also use your Rewards+ Dollars for discounts at independent participating hotels/condos and resorts. Program offerings can be accessed at txu.com/Rewards+.

WAIVER OF CLAIMS AGAINST TXU ENERGY

The Program is managed by Destination Rewards, Inc., an independent third party, which is solely responsible for the administration and operation of the Program. Products and services that you may obtain through the Program, including travel and hotel/condo accommodations, are offered by other independent third party providers, each of which is solely responsible for any and all claims concerning its products or services, whether in contract, warranty, or tort. In addition, and without limiting any of the foregoing, in consideration for your participation in the Program, you agree (on your own behalf, and on behalf of your affiliates, heirs and assigns) to indemnify and hold harmless TXU Energy and its parent companies, subsidiaries, and affiliates, and each of their respective agents, representatives, directors, officers, managers, partners and employees, from and against any and all claims, damages, liabilities, causes of action, costs and expenses arising from or in connection with your participation in the Program or your acceptance, possession, use, or inability to use any product or service offered or purchased through the Program including, without limitation, personal injuries, death, economic injury, and property damage, and including (but not limited to) claims based on publicity rights, invasion of privacy, defamation, and direct, indirect, special, incidental, or consequential damages, whether in contract, warranty, or tort.

EXCEPT AND ONLY TO THE EXTENT PROVIDED IN THESE TERMS AND CONDITIONS, AND EXCEPT FOR ANY WARRANTIES THAT MAY BE PROVIDED BY THE MANUFACTURER OR SERVICE PROVIDER, THE SERVICES AND PRODUCTS PROVIDED THROUGH THE PROGRAM ARE PROVIDED "AS IS" AND WITHOUT WARRANTY OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. TXU ENERGY DISCLAIMS ANY AND ALL RESPONSIBILITY FOR DIRECT, INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL OR OTHER DAMAGES ARISING FROM OR IN CONNECTION WITH YOUR PARTICIPATION IN THE PROGRAM OR ARISING FROM OR IN CONNECTION WITH ANY BREACH OF THESE TERMS AND CONDITIONS.

DESTINATION REWARDS, INC.

The Program is managed and maintained by Destination Rewards, Inc., an independent third party. Destination Rewards, Inc., its agents, assignees and designees, act only as agents for participating hotels/condos, resorts and suppliers, and do not assume any liability or responsibility whatsoever for any damage, expense, inconvenience, lost opportunity, lost profits, injury, accident, death, or damage to any persons or property, related to any supplier or relating to or occurring at any hotel/condo or resort or in any aircraft or in transit to and from said venues. Nor shall Destination Rewards, Inc., its agents, assignees and designees, assume any liability or responsibility whatsoever for any damage, expense, inconvenience, lost opportunity, lost profits, injury, accident, death, or damage to any persons or property. related to any other cause whatsoever due to delays, cancellations due to weather or mechanical breakdowns, war, acts of God or acts of terrorism, arising from or in conjunction with the services or products provided.

Rewards+ Dollars may be used in conjunction with offers by participating merchants listed at txu.com/rewards+ to reduce the total cost of a product or service. The balance of charges must be billed to a major credit card at the time of purchase. (A detailed list of accepted credit cards is available at Checkout.) All purchases using Rewards+ Dollars must be made through the Program website, reservation call center, or a designated affiliate. Please refer to txu.com/rewards+ for current award levels for each participating merchant. At the time of purchase, the Rewards+ Dollars you redeem will be subtracted from the current balance of your Program Account.

All transactions entered on behalf of an Account Holder will be deemed to be authorized transactions. It is the privilege and responsibility of account holders to designate employees and family members who are authorized to access their Program account. TXU Energy and Destination Rewards Inc. are not responsible for unauthorized use of Program accounts. Credit card authorizations are governed by your credit card agreements.

Payment in full is due when a transaction is confirmed.

GENERAL

Program awards may not be combined with or applied to third party discounts, promotions, special offers, or special rate programs, including, but not limited to: upgrades, tour/travel packages, group, internet, convention/company meeting, senior rates, companion rates, 3rd or 4th person rates, student or child rates, early bookings, value added price programs, repeat passenger or repeat guest programs, or industry or association discounts.

If you want to change or cancel a purchase (if allowed) made through the Program, you must do so through the Program website, reservation call center, or designated affiliate. Cancellation may carry cancellation fees. Check product or service listing for details of fees and cancellation policies.

Terms, cancellation policies, and hotel/condo, resort, or other supplier participation are subject to change without notice. Terms and conditions respecting any award may not be waived unless authorized in writing by a corporate officer of Destination Rewards, Inc.Some purchases may carry service fees for costs and fees incurred by Destination Rewards, Inc. These service fees will be disclosed at the time of purchase.

Destination Rewards, Inc. reserves the right to substitute a product or service (e.g., hotel/condo accommodations) with a product or service of equal or better value, with your consent, or to cancel a transaction and refund the purchase price (including the Rewards+ Dollars applied towards your purchase), in its sole discretion, with or without your consent, in the event that an award is unavailable as originally offered. All awards are subject to cancellation or change without notice

Unless specified otherwise, prices are quoted in US Dollars.

It is your responsibility to review and verify the accuracy of your order immediately on receipt -- including all travel documents (for example: names, dates, and room and/or cabin category.) TXU Energy will not be responsible for any such errors or omissions. Destination Rewards Inc. will not be responsible for errors or omissions that are not brought to its attention within 24 hours after the transaction is executed.

PROGRAM AWARDS ARE VOID WHERE PROHIBITED BY LAW. All federal, state and local laws apply.

It is the responsibility of the Account Holder to provide and maintain an accurate profile detailing current contact and shipping information, as well as a current email address (for Program accounts activated on or after 9/1/06). Failure to do so may result in the suspension or cancellation of the Program account.

GIFT CARDS & CERTIFICATES

Gift cards and certificates are subject to terms and conditions set by the merchant who issues the gift card/certificate, and neither TXU Energy nor Destination Rewards Inc. will be responsible for those terms and conditions. Destination Rewards will list terms and conditions for particular merchants as and when provided by such merchants. Expiration policies and non-usage fees may apply; however, expiration will occur no earlier than 12 months from the date of purchase.

Gift cards and certificates may not be cancelled or returned. Gift cards/certificates should be treated like cash; no refunds or replacements will be provided for lost or stolen gift cards/certificates.

HOTELS/CONDOS & TRAVEL -- SPECIAL CONDITIONS

When an award includes travel, one of the travelers must be at least 18 years of age and must have a major credit card in his/her name at the time of check-in or boarding to cover any incidental charges incurred during the stay. Hotel/Condo and travel providers may have additional minimum age requirements that extend to all travelers or hotel/condo guests. Check award descriptions to determine additional age requirements, if any.

Travel awards (including but not limited to hotel/condo accommodations) are subject to the suppliers’ cancellation and refund policies, in addition to restrictions imposed by TXU Energy and Destination Rewards, Inc. Check applicable cancellation and refund policies at the time of booking.

All airlines tickets are totally non-refundable. There is a per ticket administrative charge assessed at the time of your reservation and ticket purchase. Should you purchase more than two tickets at the same time for the identical itinerary and on the same reservation, your Rewards+ Dollars may be used to pay administrative ticket charges for any additional tickets exceeding the initial two. Substitutions of travelers are not permitted. Any changes to an existing airline reservation will result in a per ticket administrative fee, in addition to any penalties assessed by the airline.

Cruise cancellation and refund policies and cancellation fees, if applicable, vary by travel supplier. Purchasers should take care to note applicable cancellation and refund policies at the time of booking. Any revision or cancellation of a cruise reservation will result in a per cabin administrative fee, in addition to any charges imposed by the cruise line.

Tax Recovery Charge: Rewards+ Dollars may not be used to pay any applicable taxes. Taxes must be paid by credit card.

Blackout Dates: Seasonal/Holiday blackouts may apply. When requesting travel during peak times, please allow as much advance notice as possible.

Transportation to/from a hotel/condo, cruise or resort, if required, is not included.

Hotel/Condo prices DO NOT include any applicable hotel/condo service fees, charges for optional incidentals (such as minibar snacks or telephone calls), or regulatory surcharges. The supplier will assess these fees, charges and surcharges, which must be separately paid at the time of checkout.

For hotel/condo and resort reservations a copy of the confirmation letter must be presented to the hotel/condo at check-in. You may be denied check-in without this document. If you need additional copies of your confirmation before you travel, please visit the MY REWARDS ACCOUNT section on the Program website. Any pending awards may be viewed and printed from the website.

DOUBLE THE REWARDS+ DOLLARS LOW PRICE GUARANTEE

If you should find the identical hotel/condo accommodation you purchased through the Program website at a lower publicly-available price than the Program price after Rewards+ Dollars are applied, Destination Rewards, Inc. will refund the difference in price and credit your Program account with double the Rewards+ Dollars that you used for the transaction, in accordance with the terms and conditions of this offer, as set forth below.

Terms and Conditions

To be eligible for a refund under the "Double the Rewards+ Dollars Low Price Guarantee", your electricity account must be active with TXU Energy at the time of accommodation purchase, and proof of the lower price must be submitted to Program Administrator (Destination Rewards, Inc.) in accordance with these terms and conditions.

The Low Price Guarantee offer is limited to hotel/condo accommodations only and must be purchased and fully paid for through the Program website.

This benefit is NOT insurance: The Low Price Guarantee benefit is not insurance, and these terms and conditions are not a policy or contract of insurance.

1. Hotel/Condo accommodations must be purchased and fully paid for through the Program website.
   
   
2. The Low Price Guarantee does not apply to the following hotel/condo rate types:
   
   
   • Rates that are not publicly available, such as negotiated rates, corporate or group rates, charters, tour packages, consolidator rates and rates that involve membership fees or volume requirements.
   • Discount rates offered only to members of groups or individuals who meet previously-specified criteria, including AAA members, seniors, government employees, repeat guests, or hotel/condo rewards program members.
   • Package rates that include the room and other components such as air, car rental, entertainment, and/or meals other than breakfast.
   • Package or group add-on rates that extend the length of a stay.
   • Rates for stays extending beyond 30 nights.
   • Rates that are available on opaque or auction Web sites that do not disclose the hotel/condo identity or brand until the reservation is completed.
   • Pre-paid rates that involve a voucher or other form of pre-paid certificate (including electronic vouchers and certificates) for a hotel/condo stay outside the United States and Canada.
   • Hotel/Condo rates that have a 100% cancellation penalty once purchased.
   
   
3. Claims should be submitted to the Program Administrator (Destination Rewards, Inc.) at contactus@destinationrewards.com or via fax to 561-994-3996. The hotel/condo accommodation price ("Comparison Price") must be found within 24 hours after you purchase your hotel/condo room through the Program website. The Comparison Price must be for the identical travel itinerary for hotel/condo stay, room type, number of guests and reservation dates. In addition, the Comparison Price must include the same cancellation and advance purchase policies, and other terms and conditions governing the rates must be the same. To allow for proper processing, claims must be submitted within 24 hours after purchasing your hotel/condo room through the Program website and at least 72 hours before the start of your hotel/condo stay. The Program Administrator will not be responsible for any incorrect or inaccurate information, human errors, technical malfunctions, failures, interruptions, omissions, or deletions, or for information that is processed late or incorrectly or that is incomplete. The Program Administrator will not be responsible for lost, late, misdirected, incomplete, or illegible claims. Proof of submittal of a claim does not constitute proof of delivery. All decisions of the Program Administrator are final.
   
   
4. The Program Administrator will verify the Comparison Price within 72 hours of receiving your claim and notify you of the results. Each claim form requires proof of the lower rate (e.g., a copy of the advertisement or offer showing the lower rate and all applicable terms and conditions relating to such rate).
   
   
5. In all cases, including when multiple rates are available through the Program website for the same hotel/condo, reservation dates, and room type (for example, "king bed"), the Comparison Price must be for an identical room, including other features that affect pricing (for example views, location, smoking/non-smoking, kitchen or other features). A claim may be denied if the lower priced room is not identical in all respects to the booked room.
   
   
6. The Comparison Price must be for an available room-only rate offered to the general public for immediate purchase and must be verifiable by the Program Administrator. Neither TXU Energy nor the Program Administrator will be responsible for any fees or other costs incurred due to cancellation of a Comparison Price purchase.
   
   
7. Price comparison will be made on rate plus any taxes, mandatory gratuities, and any other mandatory fees associated with the hotel/condo rate. Price disparities that are solely attributable to fluctuations and/or differences in currency exchange rates are excluded from the Low Price Guarantee.
   
   
8. When a claim form covers multiple hotel/condo nights, the rates will be compared for each night separately.
   
   
9. The refund is limited to the difference between the Program price for the room only and the Comparison Price for the room only and does not include taxes, gratuities, guest incidental charges, food and beverage charges, resort fees, hotel/condo reward points or any other fees or miscellaneous charges.
   
   
10. The Program Administrator reserves the right to modify or cancel the Low Price Guarantee program at any time without prior notice. The Program Administrator is the final authority on the interpretation of these rules.
    
11. Void where prohibited by law.

CANCELLATION POLICY & SPECIAL INSTRUCTIONS
(Non-travel Related Products Only)

1. If you need to cancel an order, you must do so within 48 hours of purchase by calling Program Customer Service at 1-800-217-1015. After that time, your order cannot be cancelled or changed, and is completely non-refundable., except for items that arrive damaged or mistakes in orders that are the fault of TXU Energy or Destination Rewards, Inc. (see paragraph 4 below).
   
   
2. Within the time frame above, orders may only be cancelled in total, not by individual items.
   
   
3. # Shipping times may vary based on actual product and orders may arrive in more than one package and at different times. Please allow up to twelve (12) weeks for magazine subscriptions to begin. Magazine subscriptions are only available in the 48 contiguous United States
   
   
4. For the return of damaged or incorrect items, call Program Customer Service at 1-800-217-1015.
   
   
5. Merchandise may only be shipped within the United States. Shipping to Canada and Puerto Rico may be available and is subject to an additional shipping fee.
   
   
6. Applicable sales tax will apply.

SELLER OF TRAVEL REGISTRATION

Destination Rewards, Inc. is a registered seller of travel in California, Florida, Hawaii, Iowa, Nevada and Washington under each state's seller of travel regulations.

State Seller of Travel Registration Numbers for Destination Rewards, Inc.:

California registration number: 2067889-50 (Registration as a seller of travel does not constitute approval by California. Destination Rewards, Inc. is not a participant in the Travel Consumer restitution Fund. California law requires that certain sellers of travel have a trust account or bond. Destination Rewards, Inc. has a bond issued by Beach City Bonds in the amount of $5000);

Florida registration number: ST-35620

Hawaii registration number: TAR-6545

Iowa registration number: 762

Nevada registration number: 2003-0378

NEVADA RECOVERY FUND FOR CONSUMERS DAMAGED BY SELLERS OF TRAVEL

You may be eligible for payment from the Recovery Fund if you have paid money to a seller of travel registered in this state for the purchase of travel services or a vacation certificate and you have suffered certain financial damages as a result of the transaction. To obtain information relating to your rights under the Recovery Fund and filing a claim for recovery from the Recovery Fund, you may contact the Consumer Affairs Division of the Department of Business and Industry at the following locations:

SOUTHERN NEVADA:
1850 East Sahara Avenue
Suite 101
Las Vegas, Nevada 89104
Phone: 702.486.7355
Fax: 702.486.7371
ncad@fyiconsumer.org

NORTHERN NEVADA:
4600 Keitzke Lane
Building B, Suite 113
Reno, Nevada 89502
Phone: 775.688.1800
Fax: 775.688.1803
renocad@fyiconsumer.org

Washington registration number: 602-338-670

MISCELLANEOUS

Amendments
These Terms and Conditions may be altered, changed, modified or assigned by TXU Energy at any time by providing notice to you. Your participation in the Program at any time after TXU Energy provides you such notice of changes will constitute your agreement to such changes.

Other Terms and Conditions
These Terms and Conditions are in addition to and do not in any way limit or alter the Site Terms and Conditions, the Privacy Policy or other terms and conditions or agreements pursuant to which TXU Energy allows you to participate in the Program and/or use the TXU Energy or Program website.

Acceptance and Jurisdiction
By participating in the Program, you agree that you have read, understand and will abide, and be bound, by these Terms and Conditions. These Terms and Conditions shall be governed in all respects in accordance with the laws of the State of Texas without regard to the conflict or choice of law rules thereof. The federal and state courts located in Dallas County, Dallas, Texas shall have exclusive jurisdiction over any dispute arising hereunder and by participating in the Program you consent to same.

General
TXU Energy may assign these Terms and Conditions or assign or delegate any of its rights or responsibilities hereunder to independent contractors or other third parties. TXU Energy shall not be deemed to have waived any of its rights or remedies hereunder unless such waiver is in writing and executed by an authorized representative of TXU Energy. No delay or omission by TXU Energy in exercising any rights or remedies shall operate as a waiver of such rights or remedies or any other rights or remedies. A waiver on one occasion shall not be construed as a bar or waiver of any rights or remedies on future occasions.

Certificates:
TXU Energy REP Certificate No. 10004
TXU SESCO Energy REP Certificate No. 10041