“ It will give Westcoast what they have been fighting for-a pipeline. It will mean that Pacific will expand its facilities, be a larger company, will protect its market from future competition by a Canadian pipeline and it caused the dismissal of the law suit of Westcoast against Pacific's present certificate. It means that El Paso's California market will be protected against future competition, and further it results in all parties now working together for a common end rather than fighting each other.' (Italics added.) ”

“ We do know, however, that two interstate pipelines in addition to El Paso now serve California-one of the newcomers being Pacific Gas Transmission Co., bringing down Canadian gas. So we know that opportunities would have existed for Pacific Northwest had it remained independent.
Unsuccessful bidders are no less competitors than the successful one. The presence of two or more suppliers gives buyers a choice. Pacific Northwest was no feeble, failing company ”

“ This is not a field where merchants are in a continuous daily struggle to hold old customers and to win new ones over from their rivals. In this regulated industry a natural gas company (unless it has excess capacity) must compete for, enter into, and then obtain Commission approval of sale contracts in advance of constructing the pipeline facilities. ”

“ Edison wanted a firm contract and, upon being advised that if was El Paso's policy to sell only to distributors, started negotiations with Pacific Northwest in May 1956. The idea was for Pacific Northwest to deliver to Edison at a point on the California-Oregon border 300 million cubic feet of Canadian gas a day. In July 1956 they reached a tentative agreement. Edison thereupon tried to develop within California an integrated system for distributing Canadian gas supplied by Pacific Northwest to itself and others. ”

“ In the natural gas industry pipelines are very expensive; and to be justified they need long-term contracts for sale of the gas that will travel them. Those transactions with distributors are few in number. For example, in California there are only two significant wholesale purchasers-Pacific Gas & Electric in the north and the Southern Companies in the south. Once the Commission grants authorization to construct f cilities or to transport gas in interstate commerce, once the distributing contracts are made, a particular market is withdrawn from competition. ”

“ Pacific Northwest, though it had no pipeline into California, is shown by this record to hav been a substantial factor in the California market at the time it was acquired by El Paso. At that time El Paso was the only actual supplier of out-of-state gas to the vast California market, a market that expands at an estimated annual rate of 200 million cubic feet per day. ”

“ Crescent Amusement Co., 323 U.S. 173, 184-185, 65 S.Ct. 254, 89 L.Ed. 160. Those drawn with the insight of a disinterested mind are, however, more helpful to the appellate court. [4] See 2B Barron and Holtzoff, Federal ractice and Procedure (Wright ed. 1961) , § 1124. ”

“ In August 1957 El Paso applied to the Federal Power Commission for permission to acquire the assets of Pacific Northwest. On December 23, 1959, the Commission approved and the merger was effected on December 31, 1959. In 1962 we set aside the Commission's order, holding that it should not have acted until the District Court had passed on the Clayton Act issues. People of State of California v. ”