Exhibit 10.1C
 
WAIVER AND AMENDMENT NO. 3
 
WAIVER AND AMENDMENT NO. 3, dated as of October 1, 2002 (this “Amendment”), to
the Fourth Amended and Restated Credit Agreement dated as of December 20, 2001
(as amended prior to the date hereof, the “Credit Agreement”), among INERGY
PROPANE, LLC, a Delaware limited liability company (the “Borrower”), each of the
lenders party to the Credit Agreement (the “Lenders”), and WACHOVIA BANK,
NATIONAL ASSOCIATION (f/k/a First Union National Bank), as administrative agent
(in such capacity, the “Administrative Agent”). Terms defined in the Credit
Agreement are used in this Agreement with their defined meanings unless
otherwise defined herein.
 
BACKGROUND
 
WHEREAS, as of October 1, 2002, the Borrower did not renew its property and
casualty insurance policy (the “Non-renewal”) and established in place of such
policy a program of self-insurance;
 
WHEREAS, the Borrower has requested that the Administrative Agent and the
Required Lenders enter into this Amendment in order (i) to amend Section 8.02 of
the Credit Agreement to permit and to clarify the terms and conditions under
which Borrower may self-insure against casualty all property of an insurable
nature, and (ii) to waive any existing or potential defaults or Events of
Default under the Credit Agreement resulting from the Non-Renewal;
 
WHEREAS, subject to the terms and conditions set forth below, the Administrative
Agent and the Required Lenders have agreed to enter into this Amendment (i) to
permit and to clarify that the Borrower may self – insure against casualties all
property of an insurable nature, and (ii) to waive any existing or potential
defaults or Events of Defaults under the Credit Agreement resulting from the
Non-Renewal;
 
NOW THEREFORE, in consideration of the foregoing, the parties hereto agree as
follows:
 
1. Amendment. Section 8.02 of the Credit Agreement is hereby amended by adding
the following language to the end of the first sentence of such Section:
 
“; provided, however, that the Borrower may self-insure against casualty all
property of an insurable nature so long as (y) no Event of Default has occurred
and is continuing under the Credit Agreement, and (z) adequate reserves (as are
customary in the case of self-insured entities of similarly situated companies
engaged in the same or a similar line of business in accordance with GAAP) are
maintained for such purpose.”
 
2. Waiver. Any potential or existing Event of Default under Section 11.01(d) of
the Credit Agreement caused by the Non-Renewal is hereby waived, provided, the
Borrower shall be in compliance with Section 8.02 of the Credit Agreement, as
amended hereby.
 
3. No Change. Except as expressly provided herein, no other term or provision of
the Credit Agreement is waived, amended, modified or supplemented, and each
other term and provision of the Credit Agreement shall remain in full force and
effect.
 
4. Effectiveness. This Amendment shall become effective as of the date hereof
upon receipt by the Administrative Agent of counterparts hereof duly executed by
(a) the Borrower and (b) the Required Lenders (as defined in the Credit
Agreement).

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5. Counterparts. This Amendment may be executed by the parties hereto in any
number of separate counterparts (which may include counterparts delivered by
facsimile transmission), and all of said counterparts taken together shall be
deemed to constitute one and the same instrument.
 
6. Governing Law. THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED AND
INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF MISSOURI.
 
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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly
executed by their duly authorized officers, all as of the day and year first
above written.
 
INERGY PROPANE, LLC
a Delaware limited liability company
By:
  
/s/    John J. Sherman

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Name: John J. Sherman
    
Title: President

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WACHOVIA BANK, NATIONAL ASSOCIATION,
as Administrative Agent and Lender
By:
  
/s/    Mitch Wilson
    

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Name: Mitch Wilson
    
Title: Vice President

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FLEET NATIONAL BANK,
as Lender
By:
  
/s/    Stephen J. Hoffman
    

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Name: Stephen J. Hoffman
    
Title: Director

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BANK OF OKLAHOMA, N.A.,
as Lender
By:
  
/s/    Chris Amburgy
    

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Name: Chris Amburgy
    
Title: Vice President

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FIRSTAR BANK, N.A. OVERLAND PARK,
as Lender
By:
  
/s/    Paul A. Tymosko            
    

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Name: Paul A. Tymosko
    
Title: Vice President

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WELLS FARGO BANK TEXAS, N.A.
as Lender
By:
 
/s/    J. ALAN ALEXANDER        

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Name: J. Alan Alexander
Title: President

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TEAMBANK, N.A.,
as Lender
By:
 
/s/    RICK P. BARTLEY        

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Name: Rick P. Bartley
Title: President/ CEO

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AGREED AND CONSENTED TO:
 
INERGY, L.P.,
a Delaware limited partnership
 
By:
 
/s/    John J. Sherman
   

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Name: John J. Sherman
   
Title: President

 
 
IPCH ACQUISITION CORP.,
a Delaware corporation
 
By:
 
/s/    John J. Sherman
   

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Name: John J. Sherman
   
Title: President

 
 
L & L TRANSPORTATION, LLC,
a Delaware limited liability company
 
By:
 
/s/    John J. Sherman
   

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Name: John J. Sherman
   
Title: President

 
 
INERGY SALES & SERVICE, INC.,
a Delaware corporation
 
By:
 
/s/    John J. Sherman
   

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Name: John J. Sherman
   
Title: President

 
 
INERGY TRANSPORTATION, LLC,
a Delaware limited liability company
 
By:
 
/s/    John J. Sherman
   

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Name: John J. Sherman
   
Title: President

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