**SEPARATION        AGREEMENT AND GENERAL RELEASE**

**RECITALS**

| 1.   | Payments                  and Benefits.  Laclede will make the payments and provide                  the benefits described below in consideration and in exchange for                  Cooper’s                  promises, agreements, releases, and obligations set out below,                  so long as                  Cooper submits this Agreement properly executed to Laclede on or                  before                  September 25, 2007, and adheres to the promises and agreements                  set out in the balance of this Agreement.  Cooper, however, will                  not be eligible for participation in any bonus or equity programs                  or any                  other benefits except as outlined in this Agreement, following                  the                  Separation Date. |
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| (A)   | Payments.  Laclede                  will pay Cooper twelve (12) monthly installments, each in an amount                  equal                  to Cooper’s regular salary of Twenty Thousand, Three Hundred Seventy-Five                  Dollars and No Cents ($20,375.00) per month, less withholdings,                  with the                  first installment to be paid on November 1, 2007, and the last                  installment to be paid on October 1, 2008, resulting in total                  payments, before withholdings, of Two Hundred Forty-Four Thousand,                  Five                  Hundred Dollars and No Cents                  ($244,500.00). |
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| (B)   | Annual                  Incentive Plan.  Pursuant to Laclede’s Annual Incentive                  Plan, Cooper will receive a bonus for the fiscal year 2007 if the                  Compensation Committee of The Laclede Group, Inc. (the “Committee”), in                  its sole discretion, determines that the Annual Incentive Plan                  is funded                  and that Cooper has sufficiently attained his objectives for the                  fiscal                  year 2007 under the Annual Incentive Plan.  Should the Committee                  determine that Cooper is entitled to a bonus for the fiscal year                  2007, the                  Committee will act with its sole discretion to determine the amount                  of                  Cooper’s bonus.  Notwithstanding the terms of this Agreement,                  Cooper acknowledges and agrees that, at all times, the Committee                  has had                  and continues to retain the sole discretion to determine whether                  Cooper is                  entitled to a bonus for the fiscal year 2007 and the amount of                  any such                  bonus to be paid to Cooper. |
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| (C)   | Unused                  Vacation Time.  Laclede will pay Cooper the cash value, less                  appropriate withholdings, of any unused 2007 vacation time preceding                  the                  Separation Date.  Payment under this Subparagraph will be made                  in a lump sum amount with Cooper’s initial installment described in                  Subparagraph 1(A), above. |
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| (D)   | Outplacement                  Benefits.  Laclede will pay and arrange for the services of                  an outplacement firm, which Laclede will choose based on Laclede’s sole                  discretion, to be provided for Cooper for no more than one (1)                  year                  following the Separation Date.  Should Cooper accept a position                  of employment prior to the end of one (1) year following his Separation                  Date, Laclede will discontinue paying for the outplacement benefits                  described herein.  Accordingly, Cooper agrees to notify Laclede                  in writing if and when he accepts a position of employment within                  one (1)                  year of his Separation Date. |
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| (E)   | Acknowledgment                  of Consideration.  Cooper acknowledges and agrees the                  payments referenced in Paragraph 1 and Subparagraphs 1(A), 1(B),                  1(C), and                  1(D) of this Agreement are valuable consideration to him and that                  he would                  not otherwise be entitled to such consideration absent his execution                  of                  this Agreement and the promises set forth                  herein. |
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| 2.   | Resignation.  By                  executing this Agreement, the parties acknowledge that Cooper has                  submitted his resignation, effective at the end of the day on the                  Separation Date, for all his positions with Laclede, as listed                  in Appendix                  A, and that Laclede has accepted Cooper’s resignation of those positions,                  effective at the end of the day on the Separation                  Date. |
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| 3.   | Health                  Insurance Continuation.  Pursuant to the provisions of the                  Internal Revenue Code of 1986, as amended, and the Employee Retirement                  Income Security Act of 1974, as amended, commonly referred to as“COBRA,”                  Laclede will provide the required COBRA notification within fourteen                  (14)                  days of the Separation Date and the COBRA benefit entitlement period                  of                  eighteen (18) months shall commence to run effective on                  October 1, 2007.  Cooper’s existing insurance coverage                  will expire at the end of the day on                  September 30, 2007.  Cooper and any of his eligible                  dependents, as applicable, may elect COBRA coverage under the provisions                  of COBRA on October 1, 2007.  Should Cooper or any of                  his eligible dependents elect COBRA coverage, Cooper will be solely                  responsible for the full cost of premiums associated with any such                  election. |
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| 4.   | Equity                  Incentive Plan.  By executing this Agreement, Cooper                  acknowledges that all non-qualified stock options granted to him                  by                  Laclede will be forfeited if not exercised as of the end of the                  day on the                  Separation Date.  Furthermore, Cooper acknowledges that he shall                  forfeit any and all right to the ownership of performance-contingent                  restricted stock (“PCRS”) previously granted to him by Laclede, effective                  at the end of the day on the Separation Date. Following the dividend                  payment date of October 1, 2007, Cooper will neither accrue nor                  receive any further dividend payments of any kind in connection                  with the                  PCRS previously granted to him by                  Laclede. |
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| 5.   | Vesting                  in Retirement Plans.  As of the Separation Date, Cooper will                  be vested pursuant to the Employees’ Retirement Plan and the Supplemental                  Retirement Benefit Plan of Laclede Gas Company, provided however,                  that                  Cooper’s employment with Laclede continues through                  September 30, 2007. |
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| 6.   | Deferred                  Income Plan II.  In accordance with the terms of Laclede’s                  Deferred Income Plan II (the “DIP”), Cooper will no longer be eligible to                  participate in the DIP following the Separation Date.  Pursuant                  to the terms and conditions of the DIP, Cooper will receive a single                  payment equal to the amount of his existing deferrals, plus interest,                  at                  the Moody’s rate applicable to each plan year, minus applicable taxes,                  within thirty-one (31) days of the Separation                  Date. |
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| **7.  ** | Release                  of Claims.  In exchange for the receipt of the payments set                  out in the foregoing paragraphs of this Agreement, and for his                  promises                  set out herein, Cooper, for and on behalf of Cooper and Cooper’s heirs,                  beneficiaries, executors, administrators, successors, assigns,                  and anyone                  claiming through or under any of the foregoing, hereby agrees to,                  and                  does, remise, release and forever discharge Laclede from any and                  all                  matters, claims, demands, damages, causes of action, debts, liabilities,                  controversies, judgments and suits of every kind and nature whatsoever,                  foreseen or unforeseen, known or unknown, which have arisen or                  could arise                  between Cooper and Laclede from matters, actions, or inactions                  which                  occurred prior to or on the Separation Date, which matters include                  but are                  not limited to Cooper’s separation from employment with Laclede, and                  matters arising from the offer and acceptance of this                  Agreement.  **Cooper understands that the provisions of                  this Paragraph mean that he cannot bring a lawsuit against Laclede                  for any                  reason.** |
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| 8.   | Agreement                  Not to File Suit or Other Claims.  In exchange for the                  receipt of the consideration, payments, and promises set out in                  this                  Agreement above, Cooper, for and on behalf of Cooper and Cooper’s                  beneficiaries, executors, administrators, successors, assigns,                  and anyone                  claiming through or under any of the foregoing, agree that they                  will not                  file or otherwise submit any charge, claim, complaint, or action                  to any                  agency, court, organization, or judicial forum (nor will Cooper                  permit any                  person, group of persons, or organization to take such action on                  Cooper’s                  behalf) against Laclede arising out of any actions or non-actions                  on the                  part of Laclede arising before or on the Separation Date.Cooper                  further                  agrees that in the event that any person or entity should bring                  such a                  charge, claim, complaint, or action on his behalf, he hereby waives                  and                  forfeits any right to recovery under said claim and will exercise                  every                  good faith effort (but will not be obliged to incur any expense)                  to have                  such claim dismissed.  The provisions of this Paragraph and                  Paragraph 9, below, shall not be construed to prevent Cooper from                  filing a                  charge with the Equal Employment Opportunity Commission (“EEOC”), only to                  the extent he is permitted to do so by law, notwithstanding the                  provisions                  of this Agreement to the contrary.  However, Cooper expressly                  waives and disclaims any right to compensation or other benefit                  which may                  inure to him as a result of any such charge and hereby expressly                  agrees to                  provide any such benefit or pay any such compensation directly                  to                  Laclede.  **Cooper understands that the provisions of this                  Paragraph mean that he cannot bring a lawsuit against Laclede for                  any                  reason.** |
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| 9.   | Claims                  Covered by Agreement.  The charges, claims, complaints,                  matters, demands, damages, and causes of action referenced in Paragraphs                  7                  and 8 above include, but are not limited to, (i) any breach of                  an actual                  or implied contract of employment between Cooper and Laclede, (ii)                  any                  claim of unjust, wrongful, or tortious discharge (including any                  claim of                  fraud, negligence, retaliation for whistleblowing, or intentional                  infliction of emotional distress), (iii) any claim of defamation                  or other                  common-law action, (iv) any claim related to the issuance or non-issuance                  of stock, or (v) any claims of violations arising under whistleblower                  employee protection provisions of the Sarbanes-Oxley Act of 2002,                  18                  U.S.C. § 1514A, the Civil Rights Act of 1964, as amended, 42 U.S.C.                  § 2000e etseq., the Civil Rights Act of 1866, 42 U.S.C.                  § 1981, the Age Discrimination in Employment Act, 29 U.S.C.                  § 621 etseq., (including but not limited to the Older                  Worker’s Benefit Protection Act), the Americans with Disabilities Act                  of                  1990, 42 U.S.C. § 12101 etseq., the Fair Labor                  Standards Act of 1938, as amended, 29 U.S.C. § 201                  etseq., the Rehabilitation Act of 1973, as amended,                  29                  U.S.C. § 701 etseq., the Family and Medical Leave Act,                  29 U.S.C. § 2601, the Employee Retirement Income Security Act, 29                  U.S.C. § 1001, etseq. or the Missouri Human Rights Act,                  R.S. Mo. § 213.010, et.seq., the Missouri Service Letter                  Statute, R.S. Mo. § 290.140, the Missouri Employment Security Act, R.S.                  Mo. § 288.010, et* *seq., retaliation for                  exercise of rights Under the Missouri Worker’s Compensation Act, R.S. Mo.§                  287.010 et* *seq.; the Missouri Aids Act,                  R.S.Mo. § 191.6665, etseq., as amended; the Missouri Equal                  Pay Law, R.S.Mo. § 290.400-290.460 etseq., as amended; the                  Missouri Handicap Discrimination Statute, R.S.Mo. § 209.150, 290.160,                  290.162, and 209.180 etseq., as amended; the Missouri                  Genetic Testing Information Bias Law, R.S.Mo. § 375.1300, 375.1303,                  375.1306 and 375.1309 etseq., as amended; the Missouri                  Smokers Rights Law, R.S.Mo. § 290.145                  et |
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| 10.   | Release                  of Benefit Claims.  In exchange for the monetary payments                  and benefits described in Paragraph 1 and Subparagraphs 1(A), 1(B),                  1(C),                  and 1(D) Cooper further releases and waives any claim for any type                  of                  compensation or employee benefits with                  Laclede. |
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| 11.   | Representations                  and Warranties Regarding the FMLA, FLSA, and Sarbanes-Oxley                  Act.  Cooper represents and warrants that he is not aware of                  any circumstances that might entitle Cooper to a leave of absence                  under                  the Family and Medical Leave Act (“FMLA”) or any fact which might justify                  a claim against Laclede for violation of the FMLA.  Cooper                  represents and warrants further that Cooper has received any and                  all wages                  and commissions for work performed and all overtime compensation                  and FMLA                  leave to which Cooper may have been entitled, and that Cooper is                  not                  currently aware of any facts or circumstances constituting a violation                  by                  Laclede of the FMLA, FLSA, or the Sarbanes-Oxley Act.  Cooper                  specifically warrants that he has discussed this issue and all                  underlying                  facts with his attorney and in consultation with Cooper’s attorney, makes                  these representations. |
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| 12.   | Confidentiality                  of Agreement.  Notwithstanding Laclede’s duty to comply with                  Securities Exchange Commission (“SEC”) public disclosure requirements, in                  exchange for the receipt of the payments set out above, Cooper                  agrees that                  he will not publicize this Agreement directly, either in specific                  or as to                  general content, to either the public generally, to any employee                  or agent                  of Laclede, or to any other person or entity, except as Cooper                  might be                  lawfully compelled to give testimony by court or federal agency                  process,                  lawful deposition, interrogatory, or arbitrator of competent jurisdiction,                  or to participate in an EEOC, SEC, or other federal agency                  investigation.  Furthermore, the parties do not intend for this                  Agreement to restrict Cooper from engaging in any whistleblower                  activity                  protected by federal law; thus, Cooper’s publicity of and discussions                  about the terms of this Agreement, if made in connection with                  whistleblower activity protected by federal law, will not constitute                  a                  breach of this Agreement.  Cooper’s agreement to keep                  confidential the terms of this Agreement requires Cooper to refrain                  from                  communicating regarding the terms of this Agreement with anyone                  except                  Cooper’s immediate family and Cooper’s attorney, accountant, or financial                  advisor who has a legitimate need to know the terms of this Agreement                  in                  order to render professional advice or services to Cooper; otherwise,                  Cooper agrees not to identify or reveal any other terms of the                  Agreement.  Cooper recognizes that despite the fact that Laclede                  will comply with all applicable SEC public disclosure requirements                  in                  connection with the execution of this Agreement, Cooper’s own discussions                  with other persons and/or entities regarding the terms of this                  Agreement                  could negatively impact Laclede.  Particularly because Cooper                  has held positions of influence with Laclede, Cooper recognizes                  that his                  publicity of and discussions about the terms of the Agreement would                  cause                  a greater disruption in Laclede’s business than would exist                  otherwise.  In light of this recognition, and because Cooper                  agrees that Laclede has a material interest in limiting any disruption                  to                  Laclede’s |
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| 13.   | Non-Solicitation.  During                  Cooper’s employment with Laclede, Cooper had access to confidential                  information and developed certain relationships such that if Cooper                  were                  allowed to pursue employment relationships with Laclede’s employees,                  Cooper would have an unfair advantage based upon confidential information                  and/or relationships developed.  Furthermore, Cooper                  acknowledges that Laclede expends significant resources, on an                  ongoing                  basis, to recruit, hire, train, and retain its                  personnel.  Cooper agrees to adhere to the commitments contained                  in this Paragraph now and in the future and acknowledges that any                  breach                  of this promise will be material to Laclede.  Therefore, Cooper                  agrees that from the date of execution of this Agreement until                  the                  expiration of a period of one (1) year from the date of execution                  of this                  Agreement (the “Covered Period”), Cooper will not, directly or                  indirectly: |
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|   | (A) | solicit                  or recruit for employment, offer employment to, hire, solicit,                  or recruit                  for placement, place and/or offer to place with another company                  or entity                  -- on a temporary, permanent or contract basis, or otherwise --                  anyone who                  at any time during the Covered Period is or was employed by Laclede                  (a                  “Covered Employee”); provided that, at the time of such solicitation,                  recruitment, offer of employment, hiring, offer to place or placement,                  or                  any time during the ninety (90) day period immediately preceding                  same, the                  Covered Employee is or was an employee of Laclede;                  or |
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|   | (B) | encourage,                  entice or persuade, or attempt to encourage, entice or persuade                  any                  Covered Employee to leave his or her employment with                  Laclede. |
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| 14.   | Nondisparagement.  Cooper                  agrees that he will not, in any way, criticize, denigrate or otherwise                  disparage Laclede, including but not limited to Laclede’s current or                  former officers, directors and employees, and Cooper agrees he                  will not,                  at any time, make or solicit any comments, statements or the like                  to the                  media or to others, including their agents or representatives,                  that may be                  considered to be derogatory or detrimental to the good name or                  business                  reputation of Laclede.  Cooper further represents and agrees                  that he has not and will not engage in any conduct or take any                  action                  whatsoever to cause or influence or which reasonably could be anticipated                  to cause or influence any person or entity, including but not limited                  to,                  any past, present or prospective employee of, or applicant for                  employment                  with Laclede, to initiate litigation, assert any other kind of                  claim or                  take any other kind of adverse action against                  Laclede.  Notwithstanding the requirements of this Paragraph,                  nothing herein shall prohibit Cooper from engaging in whistleblower                  activity protected by federal law.  Cooper acknowledges that                  this provision |
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| 15.   | Non-Disclosure                  of Confidential Information.  Cooper acknowledges that                  Laclede continually develops Confidential Information, that Cooper                  has                  developed Confidential Information for Laclede and that Cooper                  had                  possession of and access to Confidential Information during the                  course of                  his employment with Laclede.  Cooper will continue to protect                  Laclede’s Confidential Information by refraining from disclosing to any                  person or entity, and from using, other than as required by applicable                  law, any Confidential Information obtained by Cooper incident to                  Cooper’s                  employment or other association with Laclede.  The                  confidentiality obligation under this Paragraph shall not apply                  to                  information that is generally known or readily available to the                  public at                  the time of disclosure or becomes generally known through no wrongful                  act                  on the part of Cooper or any other person or entity having an obligation                  of confidentiality to Laclede.  As a further acknowledgement of                  his responsibilities under this Paragraph, Cooper acknowledges                  and agrees                  that: |
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|   | (A) | all                  memoranda, notes, records, reports, papers, drawings, designs,                  computer                  files in any media, documents, records, tapes and other media of                  every                  kind and description relating to the business, present or otherwise,                  of                  Laclede and any copies, in whole or in part, thereof (the “Documents”),                  whether or not prepared by Cooper, shall be the sole and exclusive                  property of Laclede.  Cooper represents that during Cooper’s                  employment with Laclede, Cooper took all action necessary to safeguard                  all                  Confidential Information and has surrendered to Laclede all of                  Laclede’s                  property in Cooper’s possession or                  control. |
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|   | (B) | in                  the event Cooper is requested or becomes legally compelled (by                  oral                  questions, interrogatories, requests for information or documents,                  deposition, subpoena, civil or federal agency investigative demand                  or                  similar process) to disclose any of the Confidential Information,                  Cooper                  shall, where permitted under applicable law, rule or regulation,                  provide                  written notice to Laclede promptly after such request so Laclede                  may, at                  its expense, seek a protective order or other appropriate remedy,                  and                  Cooper agrees to reasonably cooperate with Laclede in connection                  with                  seeking such order or other remedy.  In the event that such                  protective order or other remedy is not obtained, Cooper shall                  furnish                  only that portion of the Confidential Information that Cooper is                  advised                  by counsel is required, and shall exercise reasonable efforts to                  obtain                  assurance that confidential treatment will be accorded such Confidential                  Information.  In addition, Cooper may disclose Confidential                  Information in the course of inspections, examinations or inquiries                  by                  federal or state regulatory agencies and self regulatory organizations                  that have requested or required the inspection of records that                  contain the                  Confidential |
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|   | (C) | “Confidential                  Information” shall mean any and all information of Laclede that is not                  generally known by others with whom Laclede competes or does business,                  or                  with whom Laclede plans to compete or do business and any and all                  information, publicly known in part or not, which, if disclosed                  by Cooper                  would assist in competition against Laclede.  Confidential                  Information includes without limitation such information relating                  to (i)                  trade secrets, the development, research, testing, manufacturing,                  marketing and financial activities of Laclede, (ii) the products                  and                  services, (iii) the costs, sources of supply, financial performance                  and                  strategic plans of Laclede, (iv) the identity and special needs                  of the                  customers of Laclede, and (v) client lists and the people and                  organizations with whom Laclede has business relationships and                  the                  substance of those relationships.  Confidential Information also                  includes any information that Laclede has received, or may receive                  hereafter, belonging to customers or others with any understanding,                  express or implied, that the information would not be                  disclosed. |
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| 16.   | Reasonable                  Scope of Agreement.  Cooper acknowledges that the scope of                  this Agreement, including without limitation, Paragraphs 12, 13,                  14, and                  15 of the Agreement, including their respective Subparagraphs,                  is                  reasonable in light of its narrow focus and the legitimate interests                  of                  Laclede to be protected. |
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| 17.   | Liquidated                  Damages.  Cooper understands and agrees that the damage to                  Laclede due to any breach of Paragraphs 12, 13, 14, and 15 of this                  Agreement, including their respective Subparagraphs, will be extremely                  difficult to determine.  Therefore, Cooper agrees that if he                  violates any of those Paragraphs of this Agreement, he will pay                  $10,000 to                  Laclede, without prejudice to any additional relief that may be                  available                  to Laclede, specifically including but not limited to Laclede’s right to                  cease paying any remaining payments otherwise due to Cooper under                  Paragraph 1 and Subparagraphs 1(A), 1(B), 1(C), or                  1(D).  Cooper’s obligation, pursuant to this Paragraph, to pay                  liquidated damages for multiple violations of Paragraphs 12, 13,                  14, and                  15 of this Agreement, including their respective Subparagraphs,                  shall not                  exceed $50,000.  In addition, if Cooper breaks his promises in                  Paragraphs 7, 8, 9, or 10 of this Agreement and files a lawsuit                  regarding                  claims he has released, Cooper agrees to pay for all costs incurred                  by                  Laclede, including reasonable attorneys’ fees, in defending against his                  claims.  Cooper acknowledges and agrees further that the                  liquidated damages described herein represent a conservative estimate                  of                  the damages Laclede is likely to suffer should Cooper breach Paragraphs                  12, 13, 14, or 15 of this Agreement, including their respective                  Subparagraphs. |
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| 18.   | No                  Admission of Wrongdoing.  The parties to this Agreement                  agree that nothing in this Agreement is an admission by any party                  hereto                  of any wrongdoing, either in violation of an applicable law or                  otherwise,                  and that nothing in this Agreement is to be construed as such by                  any                  person. |
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| 19.   | Knowing                  and Voluntary Agreement.  Cooper acknowledges further that                  he understands this Agreement, the claims he is releasing herein,                  the                  promises and agreements he is making herein, and the effect of                  his signing                  this Agreement.  Cooper represents, declares, and agrees further                  that he voluntarily accepts the consideration described above in                  Paragraph                  1 and Subparagraphs 1(A), 1(B), 1(C), and 1(D) for the purpose                  of making a                  full and final compromise, adjustment, and settlement of all claims                  or                  potential claims against Laclede from any action or inaction taking                  place                  prior to or on the Separation Date. |
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| 20.   | Choice                  of Law.  Because of Laclede’s and Cooper’s substantial                  contacts with Missouri, the fact that Laclede hired Cooper in Missouri,                  Cooper’s primary place of work for Laclede has been located in Missouri,                  and the parties’ interests in ensuring that disputes regarding the                  interpretation, validity, and enforceability of this Agreement                  are                  resolved on a uniform basis, the parties agree that the Agreement                  shall be                  interpreted, construed, applied, and governed by and according                  to the laws                  of the State of Missouri, without regard for any conflict of law                  principles. |
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| 21.   | Modification.  The                  parties hereto agree that this Agreement may not be modified, altered,                  or                  changed except by a written agreement signed by the parties                  hereto. |
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| 22.   | Entire                  Agreement.  The parties acknowledge that this constitutes                  the entire agreement between them superseding all prior written                  and oral                  agreements, regarding Cooper’s separation, and there are no other                  understandings or agreements, written or oral, among them on the                  subject                  of Cooper’s separation. |
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| 23.   | Severability.  If                  any Paragraph, Subparagraph, clause or provision of this Agreement                  is held                  to be invalid, the remaining provisions shall remain in full force                  and                  effect. |
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| 24.   | Rule                  of Construction.  The rule of construction to the effect                  that ambiguities are to be resolved against the drafting party                  shall not                  be employed in interpreting this Agreement.  The parties intend                  for this Agreement to satisfy the provisions of the Age Discrimination                  in                  Employment Act of 1967, as amended, and the Sarbanes-Oxley Act                  of 2002,                  and this Agreement shall always be construed or limited in conformity                  with                  such provisions. |
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| 25.   | Execution                  and Effective Date.  Separate copies of this document shall                  constitute original documents which may be signed separately but                  which                  together will constitute one single agreement.  This Agreement                  will not be binding on any party, however, until, at a minimum,                  it is                  signed by all parties or their representatives.  In addition,                  this Agreement shall become effective and binding on the eighth                  day                  following Cooper’s execution of this                  Agreement. |
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| **26.  ** | **Time                  for Consideration.  Cooper acknowledges that Laclede first                  gave him a copy of this Agreement by or before the close of the                  business                  day on September 4, 2007 (the “Offer Date”), and that, at that                  time, Laclede advised Cooper that Cooper could consider the offer                  for up                  to twenty-one (21) days from the Offer Date.  This Agreement                  shall not become final and binding upon Cooper until the                  eighth** |
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**calendar        day following Cooper’s execution of this Agreement.  During said        seven-day period, Cooper may revoke this Agreement by giving written notice        to        Richard A. Skau, Vice President of Human Resources, Laclede Gas Company,        720        Olive Street, Rm. 812, St. Louis, MO  63101.  By executing        this Agreement, Cooper acknowledges that Laclede has advised him that he        has up        to twenty-one (21) days until the close of the business day on        September 25, 2007, within which to consider this Agreement before        signing the same, and that Cooper has, in fact, been given at least twenty-one        (21) days within which to consider this Agreement prior to signing the        Agreement.  Notwithstanding the opportunity to consider this Agreement        for twenty-one (21) days, Cooper acknowledges that should he sign this Agreement        anytime prior to the expiration of twenty-one (21) days, that he has nonetheless        given full consideration to those terms and signs of his free        volition.  Laclede shall be deemed to have revoked its offer to enter        into this Agreement if Cooper shall not have executed this Agreement within        twenty-one (21) days of the Offer Date.**

| 27.   | Consultation                  with an Attorney.  By executing this Agreement, Cooper                  acknowledges that, at the time Laclede presented this Agreement                  to him for                  his consideration, Laclede advised Cooper to consult with an attorney                  about this Agreement, its meaning and effect, prior to executing                  this                  Agreement. |
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| 28.   | No                  Reliance.  The parties have not relied on any                  representations, promises, or agreements of any kind made to them                  in                  connection with this Agreement, except for those set forth in this                  Agreement. |
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| 29.   | Capacity                  to Settle.  Each party herein represents and warrants to the                  other that each has no legal impediments (including bankruptcies)                  to fully                  and completely settle all claims and to sign this                  Agreement.  Both parties further warrant that each is the sole                  owner of all the claims released in this Agreement, and that each                  has not                  assigned or transferred any such claim (or any interest in any                  such claim)                  to any other person, and that each will indemnify, defend and hold                  each                  other harmless for any damages costs, fees or expenses which they                  may                  incur if these representations and warranties are incorrect in                  any                  respect. |
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| 30.   | Cooperation                  by Cooper.  In exchange for the receipt of the payments set                  out above, Cooper agrees to cooperate fully in any manner requested                  by                  Laclede regarding any and all pending cases, including timely and                  accurately providing his testimony in cases in which he was involved                  in                  any manner during his tenure of employment with Laclede.  Cooper                  will not receive any additional pay for any such                  testimony.  Cooper also agrees that in exchange for the payments                  set out above, he will remain on-call with Laclede and cooperate                  fully in                  any manner requested by Laclede during the period prior to and                  including                  his Separation Date and during the twelve-month period ending on                  September 30, 2008, with respect to reasonable requests for                  information by Laclede in order to access Laclede’s information, explain                  information known by Cooper by virtue of his employment with Laclede,                  or                  otherwise assist in transitioning Cooper’s job responsibilities with                  Laclede and transitioning Laclede’s systems and                  procedures. |
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| 31.   | Return                  of Property.  Cooper agrees to return all property belonging                  to Laclede, including, but not limited to the car provided to him                  by                  Laclede, his laptop computer,                  cellular |
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| 32.   | Re-Employment                  and Re-Instatement.  Cooper agrees that he will neither                  apply for nor accept employment or re-employment with Laclede,                  in any                  capacity whatsoever, including but not limited to placement as                  a                  contingent worker (such as a contract hire, consultant, industry                  or                  technical assistant, or independent contractor) and that Laclede                  has no                  obligation whatsoever, contractual or otherwise, to re-hire, re-employ,                  re-call or contract with Cooper in any capacity in the                  future. |
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| 33.   | Arbitration.  The                  parties agree that in the event of any breach or alleged breach                  of this                  Agreement, such breach or dispute shall be submitted to arbitration                  under                  the rules of the American Arbitration Association (“AAA”) for selection of                  a neutral arbitrator.  Arbitration shall be the sole and                  exclusive remedy with respect to any alleged breach or dispute,                  and shall                  be handled pursuant to the procedures and provisions of the AAA                  and the                  proceedings shall be private and                  confidential. |
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*e.g.*

**I        HAVE READ THIS SEPARATION AGREEMENT AND GENERAL RELEASE AND, UNDERSTANDING        ALL        OF ITS TERMS, SIGN IT OF MY FREE WILL.  I UNDERSTAND THAT THIS        AGREEMENT HAS A BINDING ARBITRATION PROVISION WHICH CAN BE ENFORCED BY THE        PARTIES.**

| September                  12, 2007 | /s/Barry                  C. Cooper |
|-------------------------------------|-------------------------------------|
|                                | Barry                  C. Cooper    |

**LACLEDE:**

| September                  4, 2007 | By:                  /s/Richard A. Skau                 |
|------------------------------------|---------------------------------------------------------|
|                               | Richard                  A. Skau                        |
|                               |                                                    |
|                               | Title:                  Vice President, Human Resources |
|                               | Laclede                  Gas Company                    |

**APPENDIX        A**

| **Entity**                                         | **Cooper’s                  Positions**         |
|----------------------------------------------------|-------------------------------------------------------|
|                                               |                                                  |
| The                  Laclede Group, Inc.           | Chief                  Financial Officer              |
|                                               |                                                  |
| Laclede                  Gas Company               | Chief                  Financial Officer and Director |
|                                               |                                                  |
| Laclede                  Development Company       | Vice                  President and Director          |
|                                               |                                                  |
| Laclede                  Energy Resources, Inc.    | Vice                  President and Director          |
|                                               |                                                  |
| Laclede                  Gas Family Services, Inc. | Vice                  President and Director          |
|                                               |                                                  |
| Laclede                  Pipeline Company          | Vice                  President and Director          |
|                                               |                                                  |
| Laclede                  Venture Corp.             | Vice                  President and Director          |
|                                               |                                                  |
| Laclede                  Investment LLC            | Vice                  President and Manager           |
|                                               |                                                  |
| SM&P                  Utility Resources, Inc.  | Director                                              |