<SUBMISSION>
<ACCESSION-NUMBER>0000950137-08-006808
<TYPE>8-K
<PUBLIC-DOCUMENT-COUNT>1
<PERIOD>20080502
<ITEMS>5.02
<FILING-DATE>20080506
<DATE-OF-FILING-DATE-CHANGE>20080506
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>NISOURCE INC/DE
<CIK>0001111711
<ASSIGNED-SIC>4931
<IRS-NUMBER>352108964
<STATE-OF-INCORPORATION>DE
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>8-K
<ACT>34
<FILE-NUMBER>001-16189
<FILM-NUMBER>08805887
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>801 EAST 86TH AVE
<CITY>MERRILLVILLE
<STATE>IN
<ZIP>46410-6272
<PHONE>2196475200
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>801 EAST 86TH AVE
<CITY>MERRILLVILLE
<STATE>IN
<ZIP>46410-6272
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>NEW NISOURCE INC
<DATE-CHANGED>20000412
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>c26465e8vk.htm
<DESCRIPTION>CURRENT REPORT
<TEXT>
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<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>
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<DIV align="center" style="font-size: 12pt"><B>Washington, D.C. 20549</B>
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<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>FORM 8-K</B>
</DIV>

<DIV align="center" style="font-size: 12pt; margin-top: 12pt"><B>CURRENT REPORT<BR>
Pursuant To Section&nbsp;13 OR 15(d) of The Securities Exchange Act of 1934</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Date of Report (Date of earliest event reported): May&nbsp;2, 2008
</DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B><U>NiSource Inc.</U></B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 0pt">(Exact name of registrant as specified in its charter)
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Commission file number <U>001-16189</U>
</DIV>

<DIV align="center">
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    <TD width="48%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="48%">&nbsp;</TD>
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<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Delaware</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">35-2108964</TD>
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    <TD align="center" valign="top">(State or other jurisdiction of incorporation or organization)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(I.R.S. Employer Identification No.)</TD>
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    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
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<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center">801 East 86th Avenue</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
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<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Merrillville, Indiana</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">46410</TD>
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    <TD align="center" valign="top">(Address of principal executive offices)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(Zip Code)</TD>
</TR>
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</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Registrant&#146;s telephone number, including area code <U>(877)&nbsp;647-5990</U>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy
the filing obligation of the registrant under any of the following provisions.
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    <TD>Written communications pursuant to Rule&nbsp;425 under the Securities Act (17 CFR 230.425)</TD>
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    <TD>Soliciting material pursuant to Rule&nbsp;14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD>
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    <TD>Pre-commencement communications pursuant to Rule&nbsp;14d-2(b) under the Exchange Act (17 CFR 240.14d-2 (b))</TD>
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    <TD>Pre-commencement communications pursuant to Rule&nbsp;13e-4(c) under the Exchange Act (17 CFR 240.13e-4 (c))</TD>
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<TR valign="top">
    <TD nowrap align="left"><u>ITEM 5.02</u></TD>
    <TD>&nbsp;</TD>
    <TD><u>Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.</u></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On May&nbsp;2, 2008, NiSource Inc. (the &#147;Company&#148;) adopted a new corporate incentive plan for its
executive and non-executive officers as well as other eligible employees. The new corporate
incentive plan is designed to better align the Company&#146;s corporate incentive plan with the
Company&#146;s overall performance and business unit structure. As in past years, every eligible
employee has an incentive level that identifies his or her incentive opportunity from a minimum
&#147;Trigger&#148; percentage to a maximum &#147;Stretch&#148; percentage, if certain performance criteria are met.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A bonus payment will be made under the incentive plan to the Company&#146;s executive officers if the
Company achieves a &#147;trigger&#148; operating earnings per share, after accounting for the cost of
payments under the Plan (&#147;Company OEPS&#148;), of $1.25 for the applicable performance year. The Company
has full discretion and authority to determine whether this trigger has been achieved and whether
any adjustments need to be made in the calculation of Company OEPS to reflect unusual or
non-recurring events. If the Company&#146;s OEPS for the year is less than $1.25, no amount is payable
under the Plan. The $1.25 Company OEPS trigger is consistent with the trigger previously disclosed
by the Company in its Proxy Statement filed on April&nbsp;3, 2008 with respect to the Company&#146;s annual
meeting to be held on May&nbsp;13, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In general, for those executive officers who are members of a business unit, fifty percent of the
executive officer&#146;s incentive opportunity will be based on Company OEPS and fifty percent will be
based on the executive officer&#146;s business unit&#146;s operating earnings. For those executive officers
who are not members of a business unit but who provide service to the Company as a whole, the
executive officer&#146;s incentive opportunity will be based entirely on Company OEPS. If the Company
OEPS trigger is met, the Company will create an incentive pool from which bonuses under this plan
will be paid (the &#147;Incentive Pool&#148;). The amount of the Incentive Pool will be calculated using a
percentage of each participant&#146;s eligible earnings, which include a participant&#146;s base earnings for
the calendar year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With respect to executive officers who are members of a business unit, upon the Company OEPS
trigger being met or exceeded, half of an executive officer&#146;s incentive bonus opportunity will be
equal to the executive officer&#146;s eligible earnings, multiplied by the executive officer&#146;s Company
OEPS payout percentage. The other half of the executive officer&#146;s incentive bonus opportunity will
be equal to the executive officer&#146;s eligible earnings, multiplied by the executive officer&#146;s
business unit payout percentage. The business unit payout percentage is based upon the officer&#146;s
business unit&#146;s achievement of requisite operating earnings triggers. Each of the Company&#146;s
business units have different operating earnings targets ranging from a minimum &#147;Trigger&#148; amount to
a maximum &#147;Stretch&#148; amount. With respect to executive officers who are not members of a specific
business unit, upon the Company OEPS trigger being met or exceeded, the executive officer&#146;s
incentive bonus opportunity will be equal to the executive officer&#146;s eligible earnings, multiplied
by the executive officer&#146;s Company OEPS payout percentage.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>SIGNATURES</U>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused
this report to be signed on its behalf by the undersigned hereunto duly authorized.
</DIV>

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    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
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    <TD align="left">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="center">NiSource Inc.&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD colspan="2" align="center">(Registrant)&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
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    <TD align="left">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
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    <TD colspan="5">&nbsp;</TD>
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    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">Date: May 6, 2008&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="center">/s/ Carrie J. Hightman&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center">Carrie J. Hightman&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center" nowrap>Executive Vice President and Chief Legal Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
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