Exhibit 10.16

 

Sunoco Partners LLC

Independent Director Compensation Summary Sheet

for 2006

 

Directors who are employees of Sunoco Partners LLC or its affiliates receive no
additional compensation for service on the general partner’s board of directors
or any committees of the board. The table below summarizes the 2006 compensation
program for independent directors of Sunoco Partners LLC

 

2006 INDEPENDENT DIRECTOR COMPENSATION SUMMARY

 

Component

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Amount

($)

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   Medium of Payment

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   Timing of Payment

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Annual Retainer

   17,500 per year    Restricted Units    $4,375 credited quarterly1      17,500
per year    Cash    $4,375 paid quarterly

Board Meeting Fee

     1,500 per meeting    Cash                Paid quarterly

Committee Meeting Fee

     1,000 per meeting    Cash                Paid quarterly

Compensation Committee Chair Retainer

     2,500 per year    Cash    $   625 paid quarterly

Audit/Conflicts Committee Chair Retainer

     6,500 per year    Cash    $1,625 paid quarterly

 

NOTE TO TABLE:

 

  1. The fair market value of each quarterly payment of Restricted Units is
calculated as of the payment date. The portion of the annual retainer paid in
the form of Restricted Units is required to be deferred, and is credited to each
independent director’s account in the Sunoco Partners LLC Directors’ Deferred
Compensation Plan.

 

In addition to the foregoing, each independent director is reimbursed for
out-of-pocket expenses in connection with attending meetings of the board of
directors or committees.

 

DIRECTORS’ DEFERRED COMPENSATION PLAN:

 

In addition to the mandatory deferral of the Restricted Unit portion of the
annual retainer, the Sunoco Partners LLC Directors’ Deferred Compensation Plan
also permits directors to voluntarily defer all or a portion of their cash
compensation. Voluntarily deferred amounts are credited in the form of
Restricted Units, the value of which varies as though invested in Common Units
of Sunoco Logistics Partners L.P. (the “Partnership”). All amounts deferred in
the form of Restricted Units are credited with Distribution Equivalent Rights
(in the form of additional Restricted Units), credited on the applicable date
for the quarterly payment of Partnership cash distributions. Payments of
compensation deferred under the Directors’ Deferred Compensation Plan are
restricted in terms of the earliest and latest dates that payments may begin.
All deferrals, whether mandatory or voluntary, will be paid out in cash.