Document:

exv10w1

Exhibit 10.1

BUCKEYE PARTNERS, L.P.

2009 LONG-TERM INCENTIVE PLAN

(As Amended and Restated, effective as of August 3, 2011)

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	 	 	 
	 	 	 	 
	1.	 	Purpose and Design
	 	 	1	 
	2.	 	Definitions
	 	 	1	 
	3.	 	Grants and Maximum Number of Units Available for Grants
	 	 	5	 
	4.	 	Duration of the Plan
	 	 	5	 
	5.	 	Administration
	 	 	5	 
	6.	 	Eligibility
	 	 	6	 
	7.	 	Phantom Units and Performance Units
	 	 	6	 
	8.	 	Distribution Equivalent Rights
	 	 	8	 
	9.	 	Requirements for Performance Goals and Performance Periods
	 	 	9	 
	10.	 	Non-transferability and Compliance with Rule 16b-3
	 	 	9	 
	11.	 	Consequences of a Change of Control
	 	 	9	 
	12.	 	Adjustment
of Number and Price of Units, Etc.
	 	 	10	 
	13.	 	Limitation of Rights
	 	 	10	 
	14.	 	Amendment or Termination of Plan
	 	 	10	 
	15.	 	Tax Withholding and Code Section 409A
	 	 	10	 
	16.	 	Governmental Approval
	 	 	11	 
	17.	 	Effective Date of Plan
	 	 	11	 
	18.	 	Successors
	 	 	11	 
	19.	 	Headings and Captions
	 	 	11	 
	20.	 	Governing Law
	 	 	11	 

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BUCKEYE PARTNERS, L.P.

2009 LONG-TERM INCENTIVE PLAN

(As Amended and Restated, effective as of August 3, 2011)

1. Purpose and Design

     The purpose of this Plan is to assist Buckeye Partners, L.P., Buckeye GP LLC, the
Partnership’s general partner, and Affiliates in attracting and retaining employees of outstanding
competence and to enable selected officers and key employees of the Partnership, the Company and
Affiliates to acquire or increase ownership interests in the Partnership on a basis that will
encourage them to perform at increasing levels of effectiveness and to use their best efforts to
promote the growth and profitability of the Partnership. The Plan is designed to align directly
long-term executive compensation with tangible, direct and identifiable benefits realized by
Buckeye Partners, L.P. Unit holders.

2. Definitions

     Whenever used in this Plan, the following terms will have the respective meanings set forth
below:

     2.1 “Account” means a bookkeeping account established on the records of the Company to record
a Participant’s interests under the Plan.

     2.2 “Affiliate” will have the meaning ascribed to such term in Rule 12b-2 of the General Rules
under the Exchange Act. Notwithstanding the foregoing, Buckeye Pipe Line Services Company shall be
considered an Affiliate of the Company and any reference to an Affiliate in this Plan shall include
an Affiliate of the Company or the Partnership, as applicable.

     2.3 “Board” means the Company’s Board of Directors as constituted from time to time.

     2.4 “Cause” shall mean, except to the extent specified otherwise by the Committee, a finding
by the Committee that the Participant (i) has materially breached his or her employment, severance
or service contract with the Company, Partnership or Affiliate, (ii) has engaged in disloyalty to
the Company, Partnership or Affiliate, including, without limitation, fraud, embezzlement, theft,
commission of a felony or proven dishonesty, (iii) has disclosed trade secrets or confidential
information of the Company, Partnership or Affiliate to persons not entitled to receive such
information, or (iv) has breached any written non-competition, non-solicitation, invention
assignment or confidentiality agreement between the Participant and the Company, Partnership or
Affiliate.

     2.5 “Change of Control” shall mean the occurrence of one or more of the following
transactions:

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          (a) the sale or disposal by the Partnership of all or substantially all of its assets; or

          (b) the merger or consolidation of the Partnership with or into another partnership,
corporation, or other entity, other than a merger or consolidation in which the Unit holders
immediately prior to such transaction retain at least a fifty percent (50%) equity interest in the
surviving entity; or

          (c) the Company ceases to be the sole general partner of the Partnership; or

          (d) the Partnership ceases to own, directly or indirectly, 100% of the outstanding equity
interests of the Company; or

          (e) any person or “group” (within the meaning of the Exchange Act) collectively shall
beneficially own and control, directly or indirectly, a number of Units that would entitle such
person or group to vote Units representing, in the aggregate, more than fifty percent (50%) of the
total number of outstanding Units that are entitled to vote and be counted for purposes of
calculating the required votes and that are deemed to be outstanding for purposes of determining a
quorum at any annual meeting of the limited partners of the Partnership or otherwise in the
election of the Company’s Board.

     2.6 “Change of Control Period” shall mean the period commencing on the date of a Change of
Control and ending eighteen (18) calendar months following a Change of Control.

     2.7 “Code” means the Internal Revenue Code of 1986, as amended and the regulations promulgated
thereunder.

     2.8 “Committee” means the Compensation Committee of the Board or its successor.

     2.9 “Company” means Buckeye GP LLC, a Delaware limited liability company, and any successor
thereto.

     2.10 “Comparison Group” means the group selected by the Committee and consisting of the
Partnership and such other entities deemed by the Committee (in its sole discretion) to be
reasonably comparable to the Partnership.

     2.11 “Date of Grant” means the effective date on which a Grant is made to a Participant as set
forth in the applicable Grant Letter.

     2.12 “Disability” or “Disabled” means a Participant becoming disabled within the meaning of
section 22(e)(3) of the Code, a long-term disability as determined under the long-term disability
plan of the Company, the Partnership or an Affiliate, which is applicable to the Participant, or as
otherwise determined by the Committee. Notwithstanding the foregoing, no payment shall be made to
a Participant on account of Disability unless a Participant becomes disabled within the meaning of
such term under section 409A(a)(2)(C) of the Code.

     2.13 “Distribution Equivalent Rights” means an amount determined by multiplying the number of
Units granted to a Participant, subject to any adjustment under Section 12, by the

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per-Unit cash distribution, or the per-Unit fair market value (as determined by the Committee)
of any distribution in consideration other than cash, paid by the Partnership on its Units.

     2.14 “Employee” means a regular full-time salaried employee of the Company or an Affiliate who
performs services directly or indirectly for the benefit of the Partnership.

     2.15 “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     2.16 “Fair Market Value” of a Unit means the average, rounded to one cent ($0.01), of the
highest and lowest sales prices thereof on the New York Stock Exchange on the day on which Fair
Market Value is being determined, as reported on the Composite Tape for transactions on the New
York Stock Exchange. In the event that there are no Unit transactions on the New York Stock
Exchange on such day, the Fair Market Value will be determined as of the immediately preceding day
on which there were Unit transactions on that exchange. If a Unit is not publicly traded or, if
publicly traded, is not subject to reported transactions as set forth above, the Fair Market Value
per share shall be as determined by the Committee through any reasonable valuation method.

     2.17 “Good Reason” shall mean the occurrence, without the Participant’s express written
consent, of any of the following events during the Change in Control Period:

          (a) a substantial adverse change in the Participant’s duties or responsibilities from those in
effect on the date immediately preceding the first day of the Change of Control Period;

          (b) a material reduction in Participant’s annual rate of base salary or annual bonus
opportunity as in effect immediately prior to commencement of a Change of Control Period; or

          (c) requiring Participant to be based at a location more than 100 miles from the Participant’s
primary work location as it existed on the date immediately preceding the first day of the Change
of Control Period, except for required travel substantially consistent with the Participant’s
present business obligations.

     Notwithstanding the foregoing, Participant shall not have Good Reason for termination unless
(A) Participant gives written notice of termination for Good Reason within 30 days after the event
giving rise to Good Reason occurs, (B) the Company does not cure the action or failure to act that
constitutes the grounds for Good Reason, as set forth in Participant’s notice of termination,
within 30 days after the date on which Participant gives written notice of termination and (C)
Participant actually resigns within 60 days following the expiration of the Company’s 30-day cure
period.

     2.18 “Grant” means a grant of one or more Performance Units or Phantom Units pursuant to the
Plan and any tandem Distribution Equivalent Rights awarded with respect to such Grant.

     2.19 “Grant Letter” means the written instrument that sets forth the terms and conditions of a
Grant, including all amendments thereto.

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     2.20 “Participant” means an Employee or an independent director (as set forth in Section 6
below) designated by the Committee to participate in the Plan.

     2.21 “Partnership” means Buckeye Partners, L.P., a Delaware limited partnership or any
successor thereto.

     2.22 “Performance Goal” means the goal or goals and other objectives established by the
Committee for a Performance Period, for the purpose of determining when a Grant subject to such
objectives is earned. All Performance Goals must meet the requirements of Section 9.

     2.23 “Performance Period” means the period of one or more calendar years during which
performance will be measured for Performance Units or tandem Distribution Equivalent Rights, as
specified by the Committee. Performance Periods must meet the requirements of Section 9.

     2.24 “Performance Unit” means a notional Unit that is subject to the attainment of one or more
Performance Goals established by the Committee and described in Section 9 and which upon vesting
entitles a Participant to receive a Unit (or a fraction or a multiple thereof as determined based
on the Performance Goal) or, if provided by the Committee in the Grant Letter, an amount in cash
equal to the Fair Market Value of a Unit (or a fraction or a multiple thereof as determined based
on the Performance Goal).

     2.25 “Phantom Unit” means a notional Unit granted under the Plan that is subject to
service-based restrictions or other conditions established by the Committee in its discretion and
which upon vesting entitles a Participant to receive a Unit or, if provided by the Committee in the
Grant Letter, an amount in cash equal to the Fair Market Value of a Unit.

     2.26 “Plan” means the Buckeye Partners, L.P. 2009 Long-Term Incentive Plan as stated herein,
including any amendments or modifications thereto.

     2.27 “Restriction Period” means the period of one or more calendar years during which Phantom
Units or tandem Distribution Equivalent Rights, if applicable, shall be subject to restrictions or
conditions, including any other period specified in the Grant Letter.

     2.28 “Retirement” means separation from employment other than for Cause (i) at or after age
65, or (ii) before age 65 provided the Participant has at the time of such termination satisfied
the age and vesting requirements for normal or early retirement pursuant to the terms of any
“defined benefit plan” (as such term is defined in Section 3(35) of the Employee Retirement Income
Security Act of 1974, as amended, or any successor provision) maintained by the Partnership, the
Company or any Affiliate in which the Participant participates, or (iii) if the Participant does
not participate at the time of such termination in such a “defined benefit plan,” at or after age
55 and before age 65 provided the Participant has been employed by the Partnership, the Company or
any Affiliate for at least five full years.

     2.29 “Unit” means a unit representing a limited partnership interest in the Partnership.

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3. Grants and Maximum Number of Units Available for Grants

          (a) Grants under the Plan may consist of Phantom Units, Performance Units and/or tandem
Distribution Equivalent Rights. All Grants shall be subject to the terms and conditions set forth
herein and to such other terms and conditions consistent with this Plan as the Committee deems
appropriate and as are specified in writing by the Committee to the individual in the Grant Letter.
All Grants shall be made conditional upon the Participant’s acknowledgement, in writing or by
acceptance of the Grant, that all decisions and determinations of the Committee shall be final and
binding on the Participant, his or her beneficiaries and any other person having or claiming an
interest under such Grant. Grants under a particular Section of the Plan need not be uniform as
among the Participants.

          (b) The number of Units that may be granted under this Plan may not exceed 1,500,000 in the
aggregate, subject, however, to the adjustment provisions of Section 12 below. With regard to
grants to any one individual in a calendar year, the number of Units that may be issued will not
exceed 100,000. If Units are forfeited, terminated or otherwise not paid in full, the Units
subject to such Grant shall again be available for purposes of the Plan. Units may be (i)
previously issued and outstanding Units, (ii) newly issued Units, or (iii) a combination of each.

4. Duration of the Plan

     The Plan will remain in effect until all Units subject to the Plan have been issued and
transferred to Participants.

5. Administration

          (a) The Plan will be administered by the Committee. The Committee may delegate authority to
one or more subcommittees, as it deems appropriate. Subject to the express provisions of the Plan,
the Committee will have authority, in its complete discretion, to determine the Employees to whom,
and the time or times at which grants will be made. In making such determinations, the Committee
may take into account the nature of the services rendered by an Employee, the present and potential
contributions of the Employee to the Partnership’s success and such other factors as the Committee
in its discretion deems relevant. All powers of the Committee shall be executed in its sole
discretion, in the best interest of the Partnership, not as a fiduciary, and in keeping with the
objectives of the Plan and need not be uniform as to similarly situated individuals. No member of
the Committee shall be liable for any action, determination or omission taken or made in good faith
with respect to the Plan or any grant hereunder.

          (b) Subject to the express provisions of the Plan, the Committee will also have authority, in
its complete discretion, to (i) construe and interpret the Plan, (ii) to prescribe, amend and
rescind rules and regulations relating to the Plan, (iii) to determine the terms and provisions of
the restrictions relating to Grants (none of which need be identical), and (iv) to make all other
determinations (including factual determinations) necessary or advisable for the orderly
administration of the Plan. The Grant Letter shall set forth the terms of each Grant. Each
Participant’s receipt of a Grant Letter shall constitute that Participant’s acknowledgement and
acceptance of the terms of the Plan and the Grant and the Committee’s authority and discretion.

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6. Eligibility

     Grants hereunder may be made to Employees who, in the sole judgment of the Committee, are
individuals who are in a position to significantly participate in the development and
implementation of the Company’s strategic plans for the Partnership and thereby contribute
materially to the continued growth and development of the Partnership and to its future financial
success. Grants hereunder may also be made to independent members of the board of directors of the
Company or Mainline Management LLC as determined by the Committee in its sole discretion. For
purposes of this section independent directors shall be those members of the applicable board of
directors who are “independent,” as defined in the Corporate Governance Guidelines of the
Partnership or of Buckeye GP Holdings, L.P., the Company’s parent company, as applicable..

7. Phantom Units and Performance Units

     7.1 Grant of Units. Subject to the provisions of Section 3, Phantom Units or Performance Units
may be granted to Participants at any time and from time to time as may be determined by the
Committee. The Committee may, in its sole and absolute discretion, establish a program pursuant to
which Phantom Units or Performance Units may be awarded, subject to terms and conditions
established by the Committee, at the election of a Participant in lieu of cash compensation.
Phantom Units or Performance Units may be granted with or without Distribution Equivalent Rights as
determined by the Committee. Units issued or transferred pursuant to awards of Phantom Units or
Performance Units may be issued or transferred for consideration or for no consideration, and will
be subject to all requirements set forth in the Grant Letter.

     7.2 Restrictions on Phantom Units. Unless a different vesting schedule is established by the
Committee in the Grant Letter, Phantom Units shall vest according to the following schedule based
on the years of service of a Participant after the Date of Grant.

	 	 	 	 	 
	Restriction Period	 	Percentage of Phantom Units That Vest
	Less than Three Years from Date of Grant
	 	 	0	%
	Three Years or More from Date of Grant
	 	 	100	%

     The Committee may also provide for vesting of Phantom Units based on the acceptance of
employment or commencement of employment with the Partnership, the Company or Affiliates, as
determined by the Committee in its sole discretion.

     7.3 Restrictions on Performance Units. Unless a different vesting schedule is set forth in
the Grant Letter, Performance Units shall vest based on the achievement of Performance Goals over a
three-year Performance Period. At the end of a Performance Period, each Performance Unit shall be
settled based upon the attainment of the pre-established Performance Goals as certified by the
Committee in writing in accordance with Section 9 and the Units or amount payable in respect of
each Performance Unit shall be determined by multiplying each Performance Unit granted by a payout
performance multiplier of between 0%-200%, which shall

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be determined based upon actual performance compared to the pre-established Performance Goal.

     7.4 Requirement of Employment. After the restrictions on a Participant’s Phantom Units or
Performance Units vest according to the schedule in Section 7.2 and 7.3, the Phantom Units or
Performance Units shall be payable after the end of the Restriction Period or Performance Period,
according to the terms set forth in the Grant Letter, but no later than the later of the end of the
calendar year or the 15th day of the third month following the end of the Restriction Period or
Performance Period, as applicable. If the Participant ceases to be an Employee before the end of
the Restriction Period or Performance Period, the Participant’s Phantom Units or Performance Units
will terminate as to all Units covered by the Grant as to which the restrictions have not vested,
except as provided below.

     7.5 Termination for Cause; Voluntary Termination. In the event a Participant’s ceases to be
employed by, or provide service to the Company, Partnership or Affiliate either (i) for termination
for Cause or (ii) voluntarily on the part of the Participant, any and all Phantom Units or
Performance Units not then vested shall be forfeited as of the date the Participant ceases to be
employed by, or provide service to the Company, Partnership or Affiliate.

     7.6 Retirement or Termination without Cause, Death or Disability. Unless otherwise provided
by the Committee in the Grant Letter, if a Participant holding Phantom Units or Performance Units
ceases to be an Employee by reason of (i) Retirement or termination without Cause, (ii) Disability,
or (iii) death, the Phantom Units or Performance Units held by such Participant will vest pursuant
to the following:

               (i) Retirement or Termination without Cause. If a Participant terminates employment on
account of Retirement, or the Participant’s employment is terminated by the Company, Partnership or
Affiliate without Cause, such Participant’s Phantom Units will vest on a prorated basis, based on
the portion of the Restriction Period during which the Participant was employed by the Company,
Partnership or Affiliate and be paid as soon as practicable thereafter. In addition, upon a
Participant’s Retirement at least six months prior to the end of a Performance Period or
termination of employment by the Company, Partnership or Affiliate without Cause during a
Performance Period, the Participant shall be vested in a prorated portion of the applicable
Performance Units based on the portion of the Performance Period during which the Participant was
employed by the Company, Partnership or Affiliate, and be paid as soon as practicable following
such Retirement or termination without Cause based on a payout performance multiplier of 100%. If
a Participate terminates employment on account of Retirement within the six-month period
immediately prior to the end of the Performance Period, the Participant will vest in the applicable
Performance Units based on the actual performance results for the Performance Period, prorated for
the portion of the Performance Period during which the Participant was employed by the Company,
Partnership or Affiliate, and be paid as soon as practicable after the end of the Performance
Period. The Committee may, however, provide for complete or partial exceptions to these
requirements as it deems appropriate in the case of a Participant who terminates employment on
account of Retirement.

               (ii) Disability. If a Participant is determined to be Disabled, such Participant’s Phantom
Units will immediately vest and be paid as soon as practicable thereafter

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and Performance Units will vest and be paid immediately based on a payout performance
multiplier of 100%.

               (iii) Death. In the event of the death of a Participant while employed by the Company,
Partnership or Affiliate, such Participant’s Phantom Units will immediately vest and be paid as
soon as practicable thereafter and Performance Units will vest and be paid immediately based on a
payout performance multiplier of 100%.

     7.7 Form of Payment for Units. Phantom Units and Performance Units will be settled by the
delivery of Units, provided that, the Committee will have the discretion to provide in a Grant
Letter that payment in settlement of Phantom Units or Performance Units for a Participant will be
paid in cash based on the Fair Market Value of the Units otherwise deliverable, or partly in Units
and partly in cash.

8. Distribution Equivalent Rights

     8.1 Amount of Distribution Equivalents Credited. If the Committee so specifies when granting
Phantom Units or Performance Units, from the Date of Grant of Phantom Units or Performance Units to
a Participant until the date on which the Phantom Units or Performance Units are paid, the Company
will maintain an Account for such Participant and will credit on each payment date for the payment
of a distribution made by the Partnership on its Units an amount equal to the Distribution
Equivalent Rights associated with such Phantom Units or Performance Units.

     8.2 Payment of Credited Distribution Equivalent Rights. Distribution Equivalent Rights will
be paid upon such terms as the Committee determines, including, without limitation the Performance
Goals prescribed in accordance with Section 9.

     8.3 Timing of Payment of Distribution Equivalent Rights. Except as otherwise determined by
the Committee or set forth in the Grant Letter, Distribution Equivalent Rights shall be paid on
Phantom Units or Performance Units as follows:

          (a) Phantom Units. Distribution Equivalent Rights shall be paid on Phantom Units, whether
vested or not vested, as soon as practicable following the payment of a distribution made by the
Partnership on its Units in accordance with this Section. A Participant will receive the aggregate
amount of the Participant’s Distribution Equivalent Rights in cash, or in Units as determined by
the Committee in its discretion.

          (b) Performance Units. Distribution Equivalent Rights shall be paid at the same time and under
the same conditions as the underlying Performance Units are paid. No payments of Distribution
Equivalent Rights will be made (A) prior to the end of the Performance Period set forth in the
Grant Letter or (B) to any Participant whose employment by the Company terminates prior to the end
of the Performance Period for any reason other than Retirement, death, Disability or involuntary
termination without Cause. Except to the extent Performance Units are subject to accelerated
payment in accordance with Section 7.6, a Participant will receive the aggregate amount of the
Participant’s Distribution Equivalent Rights in cash, or in Units as determined by the Committee in
its discretion, as soon as practicable after the end of the applicable Performance Period.

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9. Requirements for Performance Goals and Performance Periods

     9.1 Requirements for Performance Goals. When Performance Units or tandem Distributions
Equivalent Rights are granted, the Committee will establish in writing Performance Goals either
before the beginning of the Performance Period or during a period ending no later than the earlier
of (i) 90 days after the beginning of the Performance Period or (ii) the date on which 25% of the
Performance Period has elapsed. The Performance Goals must specify (A) the Performance Goal(s)
that must be met in order for restrictions on the Performance Units to vest or the Distribution
Equivalent Rights to be paid, (B) the Performance Period during which performance will be measured,
(C) the maximum amounts that may be paid if the Performance Goals are met, and (D) any other
conditions that the Committee deems appropriate and consistent with the Plan, including the time of
payment and other requirements.

     9.2 Criteria Used for Performance Goals. The Committee will use objectively determinable
business criteria for the Performance Goals including, but not limited to, one or more of the
following financial or operational criteria: EBITDA, Unit price, earnings per Unit, net earnings,
operating earnings, total capital spending, maintenance capital spending, return on assets, total
Unit holder return, return on equity, growth in assets, cash flow, market share, distribution
growth, distributable cash flow, relative performance to a Comparison Group, or strategic business
criteria, including, but not limited to, meeting specified revenue goals, business expansion goals,
cost targets or goals relating to acquisitions or divestitures. The Performance Goals may relate
to the Participant’s business unit or the performance of the Partnership as a whole, or any
combination of the foregoing. Performance Goals need not be uniform as among Participants.

     9.3 Forfeitures. If and to the extent that all requirements of the Performance Goals and
Grant Letter are not met, grants of Performance Units and Distribution Equivalent Rights will be
forfeited, except as otherwise provided by the Committee with respect to a Participant who is not a
covered employee as defined and set forth under Code section 162(m).

10. Non-transferability and Compliance with Rule 16b-3

     Only the Participant may exercise rights under a Grant during the Participant’s lifetime. A
Participant may not transfer those rights except (i) by will or by the laws of descent and
distribution or (ii) pursuant to a domestic relations order. The Committee may impose such
conditions on Grants as may be necessary to satisfy the requirements of Rule 16b-3 under the
Exchange Act.

11. Consequences of a Change of Control

     In the event a Change of Control occurs while the Participant is employed by, or providing
services to the Company, Partnership or Affiliate, and (i) the Participant is terminated without
Cause during the Change of Control Period or (ii) the Participant resigns for Good Reason, such
Participant’s Phantom Units (and any unpaid Distribution Equivalent Rights) will immediately vest
and be paid within the 30-day period following such termination of employment and Performance Units
(and any associated Distribution Equivalent Rights) will

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vest and be paid based on a payout performance multiplier of 100% within the 30-day period
following such termination of employment.

12. Adjustment of Number and Price of Units, Etc.

     If there is any change in the number or kind of Units outstanding (i) by reason of a Unit
distribution, spinoff, recapitalization, Unit split, or combination or exchange of Units, (ii) by
reason of a merger, reorganization, consolidation or reclassification, or (iii) by reason of any
other extraordinary or unusual event affecting the outstanding Units as a class without the
Company’s receipt of consideration, or if the value of outstanding Units is substantially reduced
as result of a spinoff or the Company’s payment of any extraordinary distribution, the maximum
number of Units available for issuance under the Plan, the maximum number of Units for which any
individual may receive Grants in any year, the kind and number of Units covered by outstanding
Grants, the kind and number of Units to be issued or issuable under the Plan, and the applicable
market value of outstanding Grants shall be required to be equitably adjusted by the Committee to
reflect any increase or decrease in the number of, or change in the kind or value of, issued Units
to preclude, to the extent practicable, the enlargement or dilution of rights and benefits under
the Plan and such outstanding Grants; provided, however, than any fractional Units resulting from
such adjustment shall be eliminated. Any adjustments determined by the Committee shall be final,
binding and conclusive.

13. Limitation of Rights

     Nothing contained in this Plan will be construed to give an Employee or independent director
any right to a Grant hereunder except as may be authorized in the discretion of the Committee. A
Grant under this Plan will not constitute or be evidence of any agreement or understanding,
expressed or implied, that the Company, Partnership or any Affiliate will employ a Participant for
any specified period of time, in any specific position or at any particular rate of remuneration.

14. Amendment or Termination of Plan

     The Committee shall have complete and exclusive power and authority to terminate or amend the
Plan and the Committee may amend outstanding awards issued under the Plan in any or all aspects
whatsoever not inconsistent with the terms of the Plan; provided, however, that no such termination
or amendment shall adversely affect the rights of a Participant with respect to awards at the time
outstanding under the Plan unless the Participant consents to such amendment; and provided,
further, that the Committee shall not, without the approval of the Unit holders, amend the Plan to
(i) materially increase the maximum number of Units which may be issued under the Plan, except for
permissible adjustments under Section 12, (ii) materially increase the benefits accruing to
individuals who participate in the Plan, or (iii) materially modify the eligibility requirements
for the grant of Units under the Plan.

15. Tax Withholding and Code Section 409A

     Upon the vesting of restrictions on Phantom Units or Performance Units, the Company will
require the recipient to remit to the Company an amount sufficient to satisfy federal, state and
local withholding tax requirements. However, to the extent authorized by rules and

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regulations of the Committee, the Company may withhold Units and make cash payments in respect
thereof in satisfaction of a recipient’s tax obligations in an amount that does not exceed the
recipient’s minimum applicable withholding tax obligations. Notwithstanding any provision to the
contrary, all provisions of this Plan shall be construed and interpreted to comply with Code
section 409A and applicable regulations thereunder and if necessary, any provision shall be held
null and void to the extent such provision (or part thereof) fails to comply with Code section 409A
or regulations thereunder. For purposes of the limitations on nonqualified deferred compensation
under Code section 409A, each payment of compensation under this Plan shall be treated as a
separate payment of compensation for purposes of applying the deferral election rules and the
exclusion for certain short-term deferral amounts under Code section 409A. To the extent that
deferred compensation subject to the requirements of Code section 409A becomes payable under this
Plan to a “specified employee” (within the meaning of Code section 409A) on account of separation
from service, any such payments shall be delayed by six months to the extent necessary to comply
with the requirements of Code section 409A, but not beyond the death of the Participant.

16. Governmental Approval

     Each grant of Units will be subject to the requirement that if at any time the listing,
registration or qualification of the Units covered thereby upon any securities exchange, or under
any state or federal law, or the consent or approval of any governmental regulatory body, is
necessary or desirable as a condition of or in connection with the awarding of such grant of Units,
then no such grant may be paid in whole or in part unless and until such listing, registration,
qualification, consent or approval has been effected or obtained free of any conditions not
acceptable to the Board.

17. Effective Date of Plan

     This Plan was originally effective as of January 1, 2009, amended on April 30, 2009 and is
hereby amended and restated, effective as of August 3, 2011. The Plan shall remain in effect until
the earlier of (a) the termination of the Plan by action of the Board or the Committee, or (b) the
10th anniversary of the effective date.

18. Successors

     This Plan will be binding upon and inure to the benefit of the Partnership, the Company, and
their successors and assigns and the Participant and his heirs, executors, administrators and legal
representatives.

19. Headings and Captions

     The headings and captions herein are provided for reference and convenience only, shall not be
considered part of the Plan, and shall not be employed in the construction of the Plan.

20. Governing Law

     The validity, construction, interpretation and effect of the Plan will be governed exclusively by
and determined in accordance with the law of the State of Delaware.

11exv10w2

Exhibit 10.2

BUCKEYE PARTNERS, L.P.

UNIT DEFERRAL AND INCENTIVE PLAN

(As Amended and Restated, effective as of August 4, 2011)

 

 

BUCKEYE PARTNERS, L.P.

UNIT DEFERRAL AND INCENTIVE PLAN

(As Amended and Restated, effective as of August 4, 2011)

ARTICLE I

ESTABLISHMENT AND PURPOSE

     The Buckeye Partners, L.P. Unit Deferral and Incentive Plan is intended to provide a select
group of management and highly compensated employees of the Company and its Affiliates with the
opportunity to exchange annual bonus compensation for Deferral and Matching Units that are all
subject to a substantial, additional vesting requirement. The purposes of the Plan are to attract
and retain selected officers and key employees of the Company and its Affiliates and to enable such
individuals to acquire or increase ownership interests in the Partnership. The Plan is intended to
provide benefits that are excluded from the definition of “deferred compensation” under Code
section 409A pursuant to the exclusion for certain short-term deferral amounts applicable
thereunder. Capitalized terms, unless otherwise defined herein, shall have the meanings provided
in Article II.

ARTICLE II

DEFINITIONS

     Whenever used in this Plan, the following terms will have the respective meanings set forth
below, unless the context clearly indicates otherwise:

     “Administrator” shall mean the Committee.

     “Affiliate” will have the meaning ascribed to such term in Rule 12b-2 of the General Rules
under the Exchange Act. Notwithstanding the foregoing, Buckeye Pipe Line Services Company shall be
considered an Affiliate of the Company and any reference to an Affiliate in this Plan shall include
an Affiliate of the Company or the Partnership, as applicable.

     “Annual Bonus” shall mean any amounts payable to the Participant under the Buckeye Partners,
L.P. Annual Incentive Compensation Plan or any similar incentive plan.

     “Beneficiary” or “Beneficiaries” means the beneficiary or beneficiaries last designated in
writing by a Participant in accordance with procedures established by the Administrator to receive
distributions under the Plan following the Participant’s death.

     “Board” means the Company’s Board of Directors as constituted from time to time.

     “Cause” shall mean, except to the extent specified otherwise by the Administrator, a finding
by the Administrator that the Participant (i) has materially breached his or her employment,
severance or service contract with the Company, Partnership or Affiliate, (ii) has engaged in
disloyalty to the Company, Partnership or Affiliate, including, without limitation, fraud,
embezzlement, theft, commission of a felony or proven dishonesty, (iii) has disclosed trade secrets
or confidential information of the Company, Partnership or Affiliate to persons not

1

 

entitled to receive such information, or (iv) has breached any written non-competition,
non-solicitation, invention assignment or confidentiality agreement between the Participant and the
Company, Partnership or Affiliate.

     “Change of Control” shall mean the occurrence of one or more of the following transactions:

          (a) the sale or disposal by the Partnership of all or substantially all of its assets; or

          (b) the merger or consolidation of the Partnership with or into another partnership,
corporation, or other entity, other than a merger or consolidation in which the Unit holders
immediately prior to such transaction retain at least a fifty percent (50%) equity interest in the
surviving entity; or

          (c) the Company ceases to be the sole general partner of the Partnership;

          (d) the Partnership ceases to own, directly or indirectly, 100% of the outstanding equity
interests of the Company; or

          (e) any person or “group” (within the meaning of the Exchange Act) collectively shall
beneficially own and control, directly or indirectly, a number of Units that would entitle such
person or group to vote Units representing, in the aggregate, more than fifty percent (50%) of the
total number of outstanding Units that are entitled to vote and be counted for purposes of
calculating the required votes and that are deemed to be outstanding for purposes of determining a
quorum at any annual meeting of the limited partners of the Partnership or otherwise in the
election of the Company’s Board.

     “Change of Control Period” shall mean the period commencing on the date of a Change of Control
and ending eighteen (18) calendar months following a Change of Control.

     “Code” means the Internal Revenue Code of 1986, as it may be amended from time to time.

     “Committee” means the Compensation Committee of the Board, or such other committee as
determined by the Board.

     “Company” means Buckeye GP LLC, a Delaware limited liability company, and any successor
thereto.

     “Deferral Amount” or “Deferral” shall mean that portion of a Participant’s Annual Bonus that
is deferred in the form of Deferral Units that a Participant irrevocably elects to have, and is
deferred, for any one Plan Year.

     “Deferral Election” shall mean an Eligible Employee’s election to defer a portion of his or
her Annual Bonus in the form of Deferral Units under the Plan on the form and in the manner
prescribed by the Administrator and required by the terms of the Plan.

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     “Deferral Unit” means a unit of measurement, which is deemed solely for bookkeeping purposes
under this Plan to be equivalent to one Unit.

     “Disability” or “Disabled” means a Participant becoming disabled within the meaning of section
22(e)(3) of the Code, a long-term disability as determined under the long-term disability plan of
the Company, the Partnership or an Affiliate, which is applicable to the Participant, or as
otherwise determined by the Administrator.

     “Distribution Equivalent Rights” means an amount determined by multiplying the number of
Deferral Units and Matching Units credited to a Participant’s Unit Account, subject to adjustment
under Section 8.2, by the per-Unit cash distribution, or the per-Unit fair market value (as
determined by the Administrator) of any distribution in consideration other than cash, paid by the
Partnership on its Units.

     “Eligible Employee” shall mean any Employee who, for a relevant Plan Year, has a base salary
equal to or in excess of $150,000 (or such other amount set from time to time by the Administrator)
and who is selected by the Administrator to participate in the Plan in the Administrator’s sole and
absolute discretion.

     “Employee” means a regular full-time salaried employee of the Company or an Affiliate who
performs services directly or indirectly for the benefit of the Partnership.

     “Employer(s)” shall mean the Company and any Affiliate (now in existence or hereafter formed
or acquired) that have been selected by the Administrator to participate in the Plan.

     “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     “Fair Market Value” of a Unit means the average, rounded to one cent ($0.01), of the highest
and lowest sales prices thereof on the New York Stock Exchange on the day on which Fair Market
Value is being determined, as reported on the Composite Tape for transactions on the New York Stock
Exchange. In the event that there are no Unit transactions on the New York Stock Exchange on such
day, the Fair Market Value will be determined as of the immediately preceding day on which there
were Unit transactions on that exchange. If a Unit is not publicly traded or, if publicly traded,
is not subject to reported transactions as set forth above, the Fair Market Value per share shall
be as determined by the Administrator through any reasonable valuation method.

     “Good Reason” shall mean the occurrence, without the Participant’s express written consent, of
any of the following events during the Change of Control Period:

          (a) a substantial adverse change in the Participant’s duties or responsibilities from those in
effect on the date immediately preceding the first day of the Change of Control Period;

          (b) a material reduction in Participant’s annual rate of Base Salary or annual bonus
opportunity as in effect immediately prior to commencement of a Change of Control Period; or

3

 

          (c) requiring Participant to be based at a location more than 100 miles from the Participant’s
primary work location as it existed on the date immediately preceding the first day of the Change
of Control Period, except for required travel substantially consistent with the Participant’s
present business obligations.

Notwithstanding the foregoing, Participant shall not have Good Reason for termination unless (i)
Participant gives written notice of termination for Good Reason within 30 days after the event
giving rise to Good Reason occurs, (ii) the Company does not cure the action or failure to act that
constitutes the grounds for Good Reason, as set forth in Participant’s notice of termination,
within 30 days after the date on which Participant gives written notice of termination and (iii)
Participant actually resigns within 60 days following the expiration of the Company’s 30-day cure
period.

     “LTIP” shall mean the Buckeye Partners, L.P. 2009 Long-Term Incentive Plan, including any
amendments or modifications thereto.

     “Matching Unit” means a notional Unit credited to a Participant’s Unit Account that is subject
to service-based vesting restrictions.

     “Participant” shall mean an Eligible Employee who has commenced participation in the Plan and
whose Unit Account has not been fully distributed.

     “Partnership” means Buckeye Partners, L.P., a Delaware limited partnership or any successor
thereto.

     “Plan” shall mean the Buckeye Partners, L.P. Unit Deferral and Incentive Plan set forth
herein, as amended from time to time.

     “Plan Year” shall mean a calendar year.

     “Unit” means a unit representing a limited partnership interest in the Partnership.

     “Unit Account” shall mean the unfunded bookkeeping account established and maintained by the
Administrator for each Participant that is credited with Deferral Units and Matching Units.

     “Vesting Date” shall mean the date a Participant’s Deferral Units and Vesting Units become
vested in accordance with Section 5.7 of the Plan.

ARTICLE III

ADMINISTRATION

     The Administrator shall have sole discretionary responsibility for the operation,
interpretation, and administration of the Plan. Any action taken on any matter within the
discretion of the Administrator shall be final, conclusive, and binding on all parties. In order
to discharge its duties hereunder, the Administrator shall have the power and authority to remedy
any errors, inconsistencies or omissions, to resolve any ambiguities, to adopt, interpret, alter,
amend or revoke rules necessary to administer the Plan, to delegate its duties and to employ such

4

 

outside professionals as may be required for prudent administration of the Plan. The records
of the Administrator with respect to the Plan shall be conclusive on all Participants, all
Beneficiaries, and all other persons whomsoever. The Administrator shall also have the right
within the scope of his authority (if a designee of the Company) to enter into agreements on behalf
of the Company necessary to administer the Plan. Any Participant who is acting as Administrator
shall not be entitled to vote or act on any matter relating solely to himself or herself.

ARTICLE IV

ELIGIBILITY AND PARTICIPATION

     4.1. Eligibility. Only Eligible Employees may become Participants. Prior to each
Plan Year, each Eligible Employee shall be notified as to eligibility to defer a portion of his or
her Annual Bonus for that Plan Year in the form of Deferral Units. For the avoidance of doubt,
eligibility to defer Annual Bonus for one Plan Year shall not imply eligibility to defer Annual
Bonus for a subsequent Plan Year.

     4.2. Participation. An Eligible Employee shall become a Participant by completing an
election form and delivering it to the Company as specified in the Plan. If the Administrator
determines in good faith that a Participant is no longer an Eligible Employee, the Participant
shall cease active participation in the Plan immediately and the terms of the Plan shall continue
to govern the Participant’s Unit Account until his or her Unit Account has been paid in full.

ARTICLE V

DEFERRAL UNITS AND MATCHING UNITS

     5.1. Deferral Elections. Each Plan Year an Eligible Employee may, in accordance with
procedures established by the Administrator in its sole discretion, elect to defer up to 50% of his
or her Annual Bonus for that Plan Year to the Participant’s Unit Account in the form of Deferral
Units. Deferral Elections are effective on a Plan Year basis, and become irrevocable no later than
the date specified by the Administrator but in any event before the beginning of the Plan Year that
the Employer would otherwise have paid the Annual Bonus to the Participant but for the
Participant’s Deferral Election. For the avoidance of doubt, Deferral Elections generally must be
completed on or before December 31 of the Plan Year prior to the scheduled payment date for the
Annual Bonus. For example, a Deferral Election with respect to an Annual Bonus amount payable for
the 2010 Plan Year (otherwise payable in 2011) generally would need to be completed no later than
December 31, 2010. A Participant’s Deferral Election will become effective only if the forms
required by the Administrator have been properly completed and signed by the Participant, timely
delivered to the Administrator, and accepted by the Administrator. A Participant who fails to file
a Deferral Election before the required date will be treated as having elected not to defer any
amounts for the Plan Year. Deferrals are subject to the vesting and forfeiture conditions of
Sections 5.7 and 5.8.

     5.2. Deferral Limits. The Administrator may change the maximum deferral percentage
and establish minimum deferral percentages from time to time in its sole discretion. Any such
limits shall be communicated by the Administrator prior to the commencement of any election period.

5

 

     5.3. Deferral Units. The Administrator shall credit a Participant’s Unit Account with
Deferral Units equal to the portion of his or her Annual Bonus that the Participant elected to
defer. The number of Deferral Units shall be determined by dividing the amount of Annual Bonus
deferred by the Participant to his Unit Account by the Fair Market Value of a Unit on the date that
the Employer would otherwise have paid the Annual Bonus to the Participant but for the
Participant’s Deferral Election or such other date as determined by the Administrator in accordance
with procedures governing grants under the LTIP.

     5.4. Matching Units. An Eligible Employee who elects to defer a portion of his or her
Annual Bonus under the Plan shall be entitled to receive a Matching Unit for each Deferral Unit
that is credited to a Participant’s Unit Account during a Plan Year.

     5.5. Distribution Equivalent Rights. Participants shall be entitled to Distribution
Equivalent Rights with respect to the Deferral Units and Matching Units allocated to a
Participant’s Unit Account as if each such Deferral Unit and Matching Unit had been a Unit. Except
as otherwise determined by the Administrator, Distribution Equivalent Rights shall be paid as soon
as practicable following the payment of a distribution by the Partnership on its Units. A
Participant will receive the aggregate amount of the Participant’s Distribution Equivalent Rights
in cash or Units as determined by the Administrator in its discretion.

     5.6. Unit Accounts.

          (a) Establishment of Unit Account. The Administrator will establish a Unit Account
for each Participant who has elected to defer a portion of his or her Annual Bonus in Deferral
Units. Unit Accounts shall be credited as appropriate for Deferral Units and Matching Units, and
debited for distributions from the Unit Account.

          (b) Timing of Credits. The Administrator shall credit Deferrals to the Participant’s
Unit Account not later than the end of the calendar year that the Employer would otherwise have
paid the Annual Bonus to the Participant but for the Participant’s Deferral Election. The
Administrator shall credit Matching Units to a Participant’s Unit Account at such times and in such
amounts as the Administrator determines.

     5.7. Vesting. Except as otherwise specified by the Administrator in its discretion, a
Participant shall become vested as follows:

          (a) General. A Participant shall become 100% vested in Deferral Units and Matching
Units credited to his or her Unit Account during a Plan Year on the first day of the Plan Year that
is three years after the Plan Year that the Deferral Units and Matching Units are credited to his
or her Unit Account provided that the Participant is continuously employed by, or continuously
provides services to, the Company, Partnership or Affiliate through that date. For example,
Deferral Units and Matching Units that are credited to a Participant’s Unit Account in 2010 will
vest on January 1, 2013 provided that the Participant is continuously employed by, or continuously
provides services to, the Company, Partnership or Affiliate from the date that such Deferral Units
and Matching Units are credited to his or her Unit Account until January 1, 2013.

          (b) Termination without Cause. If a Participant’s employment is terminated by the
Company, Partnership or Affiliate without Cause, such Participant’s unvested Deferral

6

 

Units will immediately vest in full and unvested Matching Units will vest on a prorated basis,
based on the portion of the vesting period during which the Participant was employed by the
Company, Partnership or Affiliate. For purposes of determining the number of Matching Units that
become vested pursuant to this section, the vesting period commences on the January 1 of the Plan
Year that the Company would otherwise have paid the Annual Bonus to the Participant but for the
Participant’s Deferral Election and ends three years later.

          (c) Disability. If a Participant is determined to be Disabled, such Participant’s
unvested Deferral Units and Matching Units will immediately vest in full.

          (d) Death. In the event of the death of a Participant while employed by the Company,
Partnership or Affiliate, such Participant’s unvested Deferral units and Matching Units will
immediately vest in full.

          (e) Change of Control. In the event a Change of Control occurs while the Participant
is employed by, or providing services to the Company, Partnership or Affiliate, and (i) the
Participant is terminated without Cause during the Change of Control Period or (ii) the Participant
resigns for Good Reason during the Change of Control Period, such Participant’s unvested Deferral
Units and Matching Units will immediately vest in full.

     5.8. Forfeiture.

          (a) If a Participant’s employment is terminated for Cause or voluntarily on the part of the
Participant, any and all unvested Deferral Units and Matching Units shall be forfeited as of the
date the Participant ceases to be employed by, or provide service to the Company, Partnership or
Affiliate.

          (b) If a Participant’s employment is terminated without Cause, all unvested Matching Units
that do not vest in accordance with Section 5.7(b) shall be forfeited as of the date the
Participant ceases to be employed by, or provide service to the Company, Partnership or Affiliate.

     5.9. Distribution. Vested Deferral Units and Matching Units shall be distributed to
the Participant (or in the case of a deceased Participant, the Participant’s Beneficiary) in a
single lump sum payment as soon as reasonably practicable following the Vesting Date and in no
event later than the later of the last day of the calendar year in which the Vesting Date occurs or
two and one-half months following the Vesting Date. Vested Deferral Units and Matching Units will
be settled in Units reserved under the LTIP; provided, however, that the Administrator may in its
sole discretion specify prior to an affected Deferral Election that with respect to particular
Participants or Deferral Units settlement will or may be made by a cash payment in lieu of Units.
The amount of such cash payment shall equal the most recent Fair Market Value of a Unit as of the
Vesting Date, multiplied by the number of Deferral Units and Matching Units to be paid in such
manner. Any distribution that complies with this section shall be deemed for all purposes to
comply with the Plan requirements regarding the time and form of distributions.

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ARTICLE VI

CLAIMS PROCEDURES

     6.1. Exclusive Procedures. This article sets forth the exclusive procedures by which
claims under the Plan are to be made. No legal action may be brought by any person claiming
entitlement to payment under the Plan until after the claims procedures set forth herein have been
exhausted.

     6.2. Claim. Any person who believes that he or she is being denied a benefit to which
he or she is entitled under the Plan (hereafter referred to as a “Claimant”) may file a written
request for such benefit with the Administrator setting forth the basis for the claim.

     6.3. Determination; Notification. Except as provided herein, within sixty (60) days
of receiving the claim, the Administrator shall determine whether to grant or deny the claim and
notify the Claimant in writing of the decision. If the claim is granted, the Administrator shall
commence payment in accordance with the provisions of Section 5.9. If the claim is denied, in
whole or in part, the Administrator’s notice to the Claimant shall:

          (a) explain the specific reasons for the denial;

          (b) refer to the specific Plan provisions on which the denial is based;

          (c) describe any additional material or information necessary for the Claimant to perfect the
claim (if perfection of the claim is possible) and an explanation of why such material or
information is necessary; and

          (d) explain the steps and time limit for requesting review of the claim.

     If the Administrator determines that an extension of time for processing is required, written
notice of the extension shall be furnished to the Claimant prior to termination of the original
60-day period. In no event shall such extension exceed sixty (60) days from the end of such
initial period.

     6.4. Claim Review. A Claimant (or his authorized representative) shall have sixty
(60) days from the date the Administrator’s notice is mailed in which to file an appeal of the
denial of his claim. Any such appeal must: (a) be in writing; (b) request review of the Claimant’s
claim; (c) set forth each ground on which the request for review is based and the facts in support
thereof; and (d) provide any other comments the Claimant believes pertinent and helpful to his
application. The Claimant (or the Claimant’s duly authorized representative) may (i) request
access to, and copies of, all documents, records, and other information relevant to the claim,
which shall be provided to Claimant free of charge and (ii) submit written comments or other
documents. Any Claimant who fails to timely file such a written appeal shall be estopped and
barred from any further challenge to the Administrator’s determination to deny his claim.

     6.5. Review of Determination. The Administrator shall complete its review and decide
the appeal within sixty (60) days after the written request for review was received by the
Administrator (or within one-hundred twenty (120) days if special circumstances require additional
time, and if written notice of such extension and circumstances is given to the

8

 

Claimant within the initial 60-day period). In conducting its review, the Administrator may,
in its sole discretion, require the Claimant to submit such additional documents or other evidence
as the Administrator deems necessary or appropriate. The Administrator’s decision shall be final
and binding on all persons with respect to the Claimant’s appeal. The Administrator shall notify
the Claimant in writing that the claim has been allowed in full or that the claim has been denied,
in whole or in part, and any denial notice must set forth:

          (a) Specific reasons for the decision;

          (b) Specific reference(s) to the pertinent Plan provisions upon which the decision was based;

          (c) A statement that Claimant is entitled to reasonable access to, and copies of, all
documents, records or other information relevant to the claim upon request and free of charge; and

          (d) Such other matters as the Administrator deems relevant.

     6.6. Reimbursement of Costs. If the Company, an Affiliate, the Plan, a Claimant, or a
successor in interest to any of the foregoing brings legal action to enforce any of the provisions
of this Plan, the prevailing party in such legal action shall be reimbursed by the other party for
the prevailing party’s costs, including, without limitation, reasonable fees of attorneys,
accountants and similar advisors and expert witnesses.

ARTICLE VII

AMENDMENT AND TERMINATION

     The Plan may be amended, suspended, or terminated at any time (in whole or in part) by action
of the Board or the Committee, with or without prior notice; provided, however, that no such
amendment, suspension or termination shall reduce any Participant’s Unit Account balances without
the written consent of the affected Participant. In the event of any suspension or termination of
the Plan (or any portion thereof), Participants’ Unit Accounts shall continue to vest and be
distributed in accordance with the Plan.

ARTICLE VIII

MISCELLANEOUS

     8.1. FICA and Other Taxes. To the extent required by the law in effect at the time
benefits are distributed, the Participant’s Employer shall withhold from any benefits to a
Participant any employment or other taxes required to be withheld by the federal government or any
state or local government in amounts and in a manner to be determined in the sole discretion of the
Employer.

     8.2. Adjustment of Number and Price of Units, Etc. If there is any change in the
number or kind of Units outstanding (i) by reason of a Unit distribution, spinoff,
recapitalization, Unit split, or combination or exchange of Units, (ii) by reason of a merger,
reorganization, consolidation or reclassification, or (iii) by reason of any other extraordinary or
unusual event affecting the outstanding Units as a class without the Company’s receipt of
consideration, or if

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the value of outstanding Units is substantially reduced as result of a spinoff or the
Company’s payment of any extraordinary distribution, the kind and number of Units covered by
Deferral Units and Matching Units to be issued or issuable under the LTIP, and the applicable
market value of outstanding Deferral Units and Matching Units shall be required to be equitably
adjusted by the Administrator to reflect any increase or decrease in the number of, or change in
the kind or value of, issued Units to preclude, to the extent practicable, the enlargement or
dilution of rights and benefits under the LTIP and such outstanding Deferral Units and Matching
Units; provided, however, than any fractional Units resulting from such adjustment shall be
eliminated. Any adjustments determined by the Administrator shall be final, binding and
conclusive.

     8.3. Unsecured General Creditor. Participants and their Beneficiaries, heirs,
successors and assigns shall have no legal or equitable rights, interests or claims in any property
or assets of an Employer. An Employer’s obligation under the Plan shall be merely that of an
unfunded and unsecured promise to pay money in the future.

     8.4. Unfunded Status of Plan. The Plan is intended to constitute an “unfunded” plan.
Benefits payable hereunder shall be payable out of the general assets of the Company, and no
segregation of any assets whatsoever for such benefits shall be made. With respect to any payments
not yet made to a Participant, nothing contained herein shall give any such Participant any rights
to assets that are greater than those of a general creditor of the Company.

     8.5. Designation of Beneficiary. Each Participant may designate a Beneficiary or
Beneficiaries (which Beneficiary may be an entity other than a natural person) to receive any
payments which may be made following the Participant’s death. Such designation may be changed or
canceled at any time without the consent of any such Beneficiary. Any such designation, change or
cancellation must be made in a form approved by the Administrator and shall not be effective unless
and until it is filed with the Administrator during the Participant’s lifetime. If no Beneficiary
has been named, or the designated Beneficiary or Beneficiaries shall have predeceased the
Participant, the Beneficiary shall be the Participant’s estate. If a Participant designates more
than one Beneficiary, the interests of such Beneficiaries shall be paid in equal percentages,
unless the Participant has specifically designated otherwise.

     8.6. Nontransferability. The right of a Participant, Beneficiary, or other person to
any payment under this Plan shall not be assigned, alienated, transferred, pledged or encumbered.

     8.7. No Rights to Employment. This Plan does not confer nor shall it be construed as
creating an express or implied contract of employment between any Participant and the Company,
Partnership, or Affiliate or other party. Nothing in the Plan shall interfere with or limit in any
way the right of the Company, Partnership, or Affiliate to terminate any Participant’s employment
at any time, nor confer upon any Employee any right to continue in the employment of the Company,
Partnership, or Affiliate.

     8.8. Employer’s Liability. An Employer’s liability for the distribution of a
Participant’s Unit Account shall be defined only by the Plan. An Employer shall have no obligation
to a Participant except as expressly provided in the Plan.

10

 

     8.9. Payments to Minors and Incompetents. If any person entitled to any payment under
this Plan is, in the judgment of the Administrator, incapable of receiving such payment because of
minority, illness, infirmity or other incapacity, the Administrator may pay the amount due such
person to a duly appointed legal representative, if there is one, or, if none, to the spouse,
children, dependents, or such other persons with whom the person entitled to payment resides. Any
such payment shall be a complete discharge of the liability of the Company, Partnership, Affiliate
and the Plan with respect to such payment.

     8.10. Furnishing Information. A Participant or his Beneficiary will cooperate with
the Administrator by furnishing any and all information requested by the Administrator and take
such other actions as may be requested in order to facilitate the administration of the Plan and
the distributions hereunder, including but not limited to taking such physical examinations as the
Administrator may deem necessary.

     8.11. Notice. Any notice or filing required or permitted under the Plan shall be
sufficient if in writing and if (a) hand-delivered or sent by telecopy; (b) sent by registered or
certified mail; or (c) sent by nationally-recognized overnight courier. Such notice shall be
deemed given as of (i) the date of delivery if hand-delivered or sent by telecopy; (ii) as of the
date shown on the postmark on the receipt for registration or certification, if delivery is by
mail; or (iii) on the first business day after dispatch, if sent by nationally-recognized overnight
courier. In the case of the Company, mailed or couriered notices will be addressed to its
corporate headquarters, and all notices will be directed to the attention of its General Counsel.
In the case of a Participant, mailed or couriered notice to a Participant or Beneficiary shall be
directed to the individual’s last known address in the Employer’s records.

     8.12. Code Section 409A. All Plan benefits are intended to constitute short-term
deferrals within the meaning of Code section 409A and shall be excepted from the applicable
requirements of Code section 409A in accordance with the regulations issued thereunder, and the
Plan shall be maintained, interpreted and administered accordingly. Notwithstanding the foregoing,
to the extent that deferred compensation subject to the requirements of Code section 409A becomes
payable under this Plan, all provisions of this Plan shall be construed and interpreted to comply
with Code section 409A and applicable regulations thereunder and if necessary, any provision shall
be held null and void to the extent such provision (or part thereof) fails to comply with Code
section 409A or regulations thereunder. In addition, to the extent that deferred compensation
subject to the requirements of Code section 409A becomes payable under this Plan to a “specified
employee” (within the meaning of Code section 409A) on account of “separation from service” (within
the meaning of Code section 409A), any such payments shall be delayed by six months to the extent
necessary to comply with the requirements of Code section 409A, but not beyond the death of the
Participant. Nothing herein shall be construed as a guarantee of any particular tax treatment to a
Participant.

     8.13. Successors. This Plan shall be binding upon and inure to the benefit of the
Partnership, the Company, and their successors and assigns and the Participant and his or her
heirs, executors, administrators and legal representatives.

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     8.14. Gender and Number. Except when otherwise indicated by context, words in the
masculine gender shall include the feminine and neuter genders, the singular shall include the
plural, and the plural shall include the singular.

     8.15. Headings. The headings contained in this Plan are for convenience only and will
not control or affect the meaning or construction of any of the terms or provisions of this Plan.

     8.16. Invalid or Unenforceable Provisions. If any provision of this Plan shall be
held invalid or unenforceable, such invalidity or unenforceability shall not affect any other
provisions hereof and the Administrator may elect in its sole discretion to construe such invalid
or unenforceable provisions in a manner that conforms to applicable law or as if such provisions,
to the extent invalid or unenforceable, had not been included.

     8.17. Effective Date of Plan. This Plan was originally effective as of December 16,
2009 and is hereby amended and restated, effective as of August 4, 2011. The Plan shall remain in
effect the termination of the Plan by action of the Board or the Committee pursuant to Article VII.

     8.18. Applicable Law. The Plan shall be construed and administered in accordance with
and governed by the laws of the State of Delaware, other than its laws respecting choice of law.

     8.19. Entire Agreement. This Plan constitutes the entire understanding and agreement with
respect to the subject matter contained herein, and there are no agreements, understandings,
restrictions, representations or warranties among any Participant and the Partnership, Company or
Affiliates other than those set forth or provided for herein.

12

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