Conversational transactions stay active during the interchanges between the transaction and the user, in other words, the will write to the terminal, then wait for the user to hit enter and read back the response.
Psuedo- conversational transactions do not stay active, the send a screen and return to cics after insuring that upon enter that they will be restarted again.
An exception condition occurs when the called subprogram cannot be made available.
An exception condition occurs when the identified object or class does not support a method with a signature that matches the signature of the method specified in the INVOKE statement.
XML GENERATE statement:
An exception condition exists when an error occurs during generation of the XML document, for example if identifier-1 is not large enough to contain the generated XML document.
XML PARSE statement:
The ON EXCEPTION phrase specifies imperative statements that are executed when the XML PARSE statement raises an exception condition.