<SEC-DOCUMENT>0000950123-11-097475.txt : 20111110
<SEC-HEADER>0000950123-11-097475.hdr.sgml : 20111110
<ACCEPTANCE-DATETIME>20111110144103
ACCESSION NUMBER:		0000950123-11-097475
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20111109
ITEM INFORMATION:		Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20111110
DATE AS OF CHANGE:		20111110

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			SUBURBAN PROPANE PARTNERS LP
		CENTRAL INDEX KEY:			0001005210
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-MISCELLANEOUS RETAIL [5900]
		IRS NUMBER:				223410353
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0930

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-14222
		FILM NUMBER:		111194805

	BUSINESS ADDRESS:	
		STREET 1:		P O BOX 206
		STREET 2:		240 ROUTE 10 WEST
		CITY:			WIPPANY
		STATE:			NJ
		ZIP:			07981
		BUSINESS PHONE:		9738875300

	MAIL ADDRESS:	
		STREET 1:		ONE SUBURBAN PLZ
		STREET 2:		240 RTE 10 WEST
		CITY:			WHIPPANY
		STATE:			NJ
		ZIP:			07981
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>c24591e8vk.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<HTML>
<HEAD>
<TITLE>e8vk</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
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<DIV style="margin-left: 0.25in; width: 7.5in;font-family: 'Times New Roman',Times,serif">
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Washington, D.C. 20549</B>
</DIV>

<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: 12pt"><B>Date of Report (Date of earliest event reported): November 9, 2011</B></DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B>SUBURBAN PROPANE PARTNERS, L.P.</B>
</DIV>

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

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
<TD width="32%">&nbsp;</TD>
<TD width="2%">&nbsp;</TD>
<TD width="32%">&nbsp;</TD>
<TD width="2%">&nbsp;</TD>
<TD width="32%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
<TD nowrap align="center" valign="top"><B>Delaware
</B></TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top"><B>1-14222
</B></TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top"><B>22-3410353</B></TD>
</TR>
<TR style="font-size: 1px">
<TD valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
<TD valign="top" align="left">&nbsp;</TD>
<TD valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
<TD valign="top" align="left">&nbsp;</TD>
<TD valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
<TD align="center" valign="top">(State or other jurisdiction<BR>
of incorporation)
</TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top">(Commission File Number)
</TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top">(IRS Employer Identification No.)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
<TD width="48%">&nbsp;</TD>
<TD width="2%">&nbsp;</TD>
<TD width="48%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
<TD align="center" valign="top"><B>240 Route 10 West, Whippany,<BR>
New Jersey
</B></TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top"><B>&nbsp;<BR>07981</B></TD>
</TR>
<TR style="font-size: 1px">
<TD valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
<TD valign="top" align="left">&nbsp;</TD>
<TD valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
<TD align="center" valign="top">(Address of principal executive offices)
</TD>
<TD>&nbsp;</TD>
<TD align="center" valign="top">(Zip Code)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Registrant&#146;s telephone number, including area code: <B>(973) 887-5300</B></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>N/A</B></DIV>

<DIV align="center" style="font-size: 10pt"><FONT style="border-top: 1px solid #000000">(Former name or former address, if changed since last report.)</FONT></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: </DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="3%" nowrap align="left"><FONT face="wingdings" size="2">&#111;</FONT></TD>
<TD width="1%">&nbsp;</TD>
<TD>Written communications pursuant to Rule&nbsp;425 under the Securities Act (17 CFR 230.425)</TD>
</TR>

<TR>
<TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="3%" nowrap align="left"><FONT face="wingdings" size="2">&#111;</FONT></TD>
<TD width="1%">&nbsp;</TD>
<TD>Soliciting material pursuant to Rule&nbsp;14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD>
</TR>

<TR>
<TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="3%" nowrap align="left"><FONT face="wingdings" size="2">&#111;</FONT></TD>
<TD width="1%">&nbsp;</TD>
<TD>Pre-commencement communications pursuant to Rule&nbsp;14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</TD>
</TR>

<TR>
<TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="3%" nowrap align="left"><FONT face="wingdings" size="2">&#111;</FONT></TD>
<TD width="1%">&nbsp;</TD>
<TD>Pre-commencement communications pursuant to Rule&nbsp;13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</TD>
</TR>

</TABLE>
</DIV>

<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio --> </DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">


<DIV align="left" style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="7%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>
<TR valign="top">
    <TD nowrap align="left"><B>Item&nbsp;5.02</B></TD>
    <TD>&nbsp;</TD>
    <TD><B>Departure of Directors or Certain Officers; Election of Directors; Appointment of
Certain Officers; Compensatory Arrangements of Certain Officers.</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">(e)&nbsp;At its meeting on November&nbsp;9, 2011, the Compensation Committee (&#147;Committee&#148;) of the Board of
Supervisors of Suburban Propane Partners, L.P. (the &#147;Partnership&#148;) adopted the 2013 Long-Term
Incentive Plan of the Partnership (&#147;2013 LTIP&#148;) as a replacement for the Partnership&#146;s existing
2003 Long-Term Incentive Plan (&#147;Existing LTIP&#148;), which will expire on September&nbsp;30, 2012. The 2013
LTIP will become effective on October&nbsp;1, 2012.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">The 2013 LTIP, the provisions of which are essentially identical to the Existing LTIP, is designed
to motivate the Partnership&#146;s executive officers to focus on long-term financial goals for the
Partnership. The 2013 LTIP will measure the market performance of the Partnership&#146;s Common Units
on the basis of total return to the Partnership&#146;s common unitholders (&#147;TRU&#148;) during a three-year
measurement period commencing on the first day of the fiscal year in which an unvested award is
granted under the plan, and will compare the Partnership&#146;s TRU to the TRU of each of the other
members of a predetermined peer group, consisting solely of other master limited partnerships,
approved by the Committee. Unvested awards are granted at the beginning of each fiscal year as a
Committee-approved percentage of each executive officer&#146;s salary. Cash payouts, if any, are earned
and paid at the end of the three-year measurement period.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">The foregoing summary description of the 2013 LTIP is qualified in its entirety by the full text of
the plan, which is filed as Exhibit&nbsp;99.1 to this Current Report and incorporated herein by
reference.
</DIV>


<DIV align="left" style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="7%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>
<TR valign="top">
    <TD nowrap align="left"><B>ITEM 9.01</B></TD>
    <TD>&nbsp;</TD>
    <TD><B>FINANCIAL STATEMENTS AND EXHIBITS</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">(d)&nbsp;Exhibits.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="86%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD nowrap align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">99.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2013 Long-Term Incentive Plan of Suburban Propane, L.P.</DIV></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SIGNATURES</B>
</DIV>


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


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">SUBURBAN PROPANE PARTNERS, L.P.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/  PAUL ABEL
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Paul Abel&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President, General Counsel &#038; Secretary&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Date: November&nbsp;10, 2011
</DIV>
<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>EXHIBITS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="86%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD nowrap align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">99.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2013 Long-Term Incentive Plan of Suburban Propane, L.P.</DIV></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>c24591exv99w1.htm
<DESCRIPTION>EX-99.1
<TEXT>
<HTML>
<HEAD>
<TITLE>exv99w1</TITLE>
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<BODY bgcolor="#FFFFFF">
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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">

<DIV align="right" style="font-size: 10pt; margin-top: 10pt"><B>Exhibit&nbsp;99.1</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SUBURBAN PROPANE, L.P.<BR>
2013 LONG TERM INCENTIVE PLAN<BR>
(EFFECTIVE OCTOBER 1, 2012)</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE I<BR>
PURPOSE AND APPROVAL</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The purpose of this Plan is to strengthen Suburban Propane Partners, L.P., Suburban Propane,
L.P., and their affiliates (collectively, the &#147;Partnership&#148;), by providing an incentive to certain
Participants (as hereinafter defined), and thereby encouraging them to devote their abilities and
experience to the success of the Partnership&#146;s business enterprise in such a manner as to maximize
the total return to the Partnership&#146;s Unitholders. It is intended that this purpose be achieved by
extending to certain Participants added long-term incentive compensation for continued service to
the Partnership and achieving certain Performance Measures (as hereinafter defined) which enhance
the total return to the Partnership&#146;s Unitholders. This Plan was adopted effective October&nbsp;1, 2012.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE II<BR>
DEFINITIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">For purposes of this Plan, capitalized terms shall have the following meanings:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.1 &#147;Beneficial Ownership&#148; shall have the same meaning as that term is used within the meaning
of Rule&nbsp;13d-3 promulgated under the Securities Exchange Act of 1934, as amended.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.2 &#147;Beneficiary&#148; means a Participant&#146;s Beneficiary pursuant to Article&nbsp;VIII.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.3 &#147;Board&#148; means the Board of Supervisors of Suburban Propane Partners, L.P.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.4 &#147;Cause&#148; means (a)&nbsp;a Participant&#146;s gross negligence or willful misconduct in the
performance of his duties, (b)&nbsp;a Participant&#146;s willful or grossly negligent failure to perform his
duties, (c)&nbsp;the breach by a Participant of any written covenants to the Partnership, (d)&nbsp;dishonest,
fraudulent or unlawful behavior by a Participant (whether or not in conjunction with employment) or
a Participant being subject to a judgment, order or decree (by consent or otherwise) by any
governmental or regulatory authority which restricts his ability to engage in the business
conducted by the Partnership, or any of their affiliates, or (e)&nbsp;willful or reckless breach by a
Participant of any policy adopted by the Partnership concerning conflicts of interest, standards of
business conduct or fair employment practices or procedures with respect to compliance with
applicable laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.5 &#147;Change in Capitalization&#148; means any increase or reduction in the number of Common Units,
or any change in the Common Units, change in the percentage ownership interest of the Partnership
attributable to the Common Units or exchange of Common Units for a different number or kind of
units or other securities of the Partnership by reason of a reclassification, recapitalization,
merger, consolidation, reorganization, spin-off, split-up, issuance of warrants or rights or other
convertible securities, unit distribution, unit split or reverse unit split, cash dividends,
property dividend, combination or exchange of units, repurchase of units, change in corporate
structure or otherwise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.6 &#147;Change of Control&#148; shall mean:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(a)&nbsp;the date (which must be a date subsequent to the Effective Date) on which any Person
(including the Partnership&#146;s general partner) or More than One Person Acting as a Group (other than
the Partnership and/or its Subsidiaries) acquires, during the 12&nbsp;month period ending on the date of
the most recent acquisition, Common Units or other voting equity interests eligible to vote for the
election of Supervisors (or of any entity, including the Partnership&#146;s general partner, that has
the same authority as the Board to manage the affairs of the Partnership) (&#147;Voting Securities&#148;)
representing thirty percent 30% or more of the combined voting power of the Partnership&#146;s then
outstanding Voting Securities; <I>provided, however, </I>that in determining whether a Change of Control
has occurred, Voting Securities which have been acquired in a &#147;Non-Control Acquisition&#148; shall be
excluded from the numerator. A &#147;Non-Control Acquisition&#148; shall mean an acquisition of Voting
Securities (x)&nbsp;by the Partnership, any of its Subsidiaries and/or an employee benefit plan (or a
trust forming a part thereof) maintained by any one or more of them, or (y)&nbsp;in connection with a
&#147;Non-Control Transaction&#148;; or
</DIV>
<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(b)&nbsp;the date of approval by the limited partners of the Partnership, of (w)&nbsp;a merger,
consolidation or reorganization involving the Partnership, unless (A)&nbsp;the holders of the Voting
Securities of the Partnership immediately before such merger, consolidation or reorganization own,
directly or indirectly, immediately following such merger, consolidation or reorganization, at
least fifty percent (50%) of the combined voting power of the outstanding Voting Securities of the
entity resulting from such merger, consolidation or reorganization (the &#147;Surviving Entity&#148;) in
substantially the same proportion as their ownership of the Voting Securities of the Partnership
immediately before such merger, consolidation or reorganization, and (B)&nbsp;no person or entity (other
than the Partnership, any Subsidiary, any employee benefit plan (or any trust forming a part
thereof) maintained by the Partnership, any Subsidiary, the Surviving Entity, or any Person who,
immediately prior to such merger, consolidation or reorganization, had Beneficial Ownership of more
than twenty five percent (25%) of then outstanding Voting Securities of the Partnership), has
Beneficial Ownership of more than twenty five percent (25%) of the combined voting power of the
Surviving Entity&#146;s then outstanding Voting Securities; (x)&nbsp;a complete liquidation or dissolution of
the Partnership; or (y)&nbsp;the sale or other disposition of forty percent (40%) of the total gross
fair market value of all the assets of the Partnership to any Person or More than One Person Acting
as a Group (other than a transfer to a Subsidiary). For this purpose, gross fair market value means
the value of the assets of the Partnership, or the value of the assets being disposed of,
determined without regard to any liability associated with such assets. A transaction described in
clause (A)&nbsp;or (B)&nbsp;of subsection (w)&nbsp;hereof shall be referred to as a &#147;Non-Control Transaction;&#148; or
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(c)&nbsp;the date a majority of the members of the Board is replaced during any twelve-month period
by the action of the Board taken when a majority of the Supervisors who are then members of the
Board are not Continuing Supervisors (for purposes of this section, the term &#147;Continuing
Supervisor&#148; means a Supervisor who was either (A)&nbsp;first elected or appointed as a Supervisor prior
to the Effective Date; or (B)&nbsp;subsequently elected or appointed as a Supervisor if such Supervisor
was nominated or appointed by at least a majority of the then Continuing Supervisors);
Notwithstanding the foregoing, a Change of Control shall not be deemed to occur solely because any
Person (the &#147;Subject Person&#148;) acquired Beneficial Ownership of more than the permitted amount of
the outstanding Voting Securities as a result of the acquisition of Voting Securities by the
Partnership which, by reducing the number of Voting Securities outstanding, increases the
proportional number of Voting Securities Beneficially Owned by the Subject Person, provided that if
a Change of Control would occur (but for the operation of this sentence) as a result of the
acquisition of Voting Securities by the Partnership, and after such acquisition of Voting
Securities by the Partnership, the Subject Person becomes the Beneficial Owner of any additional
Voting Securities which increases the percentage of the then outstanding Voting Securities
Beneficially Owned by the Subject Person, then a Change of Control shall occur.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.7 &#147;Committee&#148; means the Compensation Committee of the Board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.8 &#147;Common Unit&#148; means the Common Units representing publicly traded limited partnership
interests of the Partnership.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.9 &#147;Disability&#148; shall have the same meaning that such term (or similar term) has under the
long-term disability plan in which the Participant is eligible to be covered.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.10 &#147;Effective Date&#148; shall mean October&nbsp;1, 2012.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.11 &#147;Fair Market Value of Partnership&#146;s Common Units&#148; The twenty-day average of the closing
prices preceding a specific date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.12 &#147;Fiscal Year&#148; means the fiscal year adopted by the Partnership.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.13 &#147;General Partner&#148; has the meaning set forth in the Partnership Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.14 &#147;Good Reason&#148; means (a)&nbsp;any failure by the Partnership to comply in any material respect
with the compensation provisions of a written employment agreement between a Participant and the
Partnership, (b)&nbsp;a material adverse change in a Participant&#146;s title without his or her consent, or
(c)&nbsp;the assignment to a Participant, without his or her consent, of duties and responsibilities
materially inconsistent with his or her level of responsibility as an executive officer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.15 &#147;Measurement Period&#148; has the same meaning as set forth in Article&nbsp;5.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.16 &#147;More than one Person Acting as a Group&#148; has the same meaning as set forth in Treasury
Regulation&nbsp;1.409A-3(i)(5)(v)(B).
</DIV>
<P align="center" style="font-size: 10pt">&nbsp;

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.17 &#147;Participant&#148; means an employee of Suburban Propane, L.P. or of a Subsidiary designated
by the Committee to participate in the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.18 &#147;Partnership&#148; means Suburban Propane, L.P. and Suburban Propane Partners, L.P., Delaware
limited partnerships, and their successors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.19 &#147;Partnership Agreement&#148; means the Second Amended and Restated Agreement of Limited
Partnership of Suburban Propane Partners, L.P.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.20 &#147;Percentage of Three-Year Annualized Total Return to Unitholders&#148; means a percentage
representing the three-year annualized total return to Unitholders from the commencement of the
Measurement Period to the culmination of the Measurement Period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.21 &#147;Performance Measures&#148; has the same meaning as set forth in Article&nbsp;5.3.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.22 &#147;Person&#148; shall have the same meaning as that term is used for purposes of Section 13(d)
or 14(d) of the Securities Exchange Act of 1934, as amended.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.23 &#147;Phantom Unit Distributions&#148; shall have the same meaning as set forth in Article&nbsp;5.4.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.24 &#147;Plan&#148; means this Suburban Propane, L.P. 2013 Long Term Incentive Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.25 &#147;Retirement&#148; shall mean voluntary termination of employment by a Participant who has
attained age 55 and who has completed 10&nbsp;years of &#147;eligible service&#148; to the Partnership or its
predecessors, in connection with a bona fide intent by the Participant to no longer seek full time
employment in the industries in which the Partnership then participates. Retirement shall not
include voluntary termination of employment by a Participant in response to, or anticipation of, a
termination of employment for Cause by the Partnership or one of its affiliates. The term &#147;eligible
service&#148; shall have the same meaning as the term is used in the Pension Plan for eligible Employees
of Suburban Propane L.P. and Subsidiaries.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.26 &#147;Subsidiary&#148; shall mean any corporation, partnership, or other Person of which a
majority of its voting power or its voting equity securities or equity interest is owned,
directly or indirectly, by the Partnership.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.27 &#147;Target Grant&#148; shall have the same meaning as set forth in Article&nbsp;5.1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.28 &#147;Unitholders&#148; means the persons holding Common Units.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.29 &#147;Unvested Phantom Units&#148; means a hypothetical number of units arrived at by dividing the
Target Grant established upon commencement of the Measurement Period by the Fair Market Value of
Partnership Common Units on the first day of the Measurement Period. If the market is closed on the
first day of the Measurement Period then the Fair Market Value on the next business day shall be
used.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">2.30 &#147;Vested Phantom Units&#148; means the quantity of a Participant&#146;s Unvested Phantom Units which
are earned upon culmination of the Measurement Period.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE III<BR>
PARTICIPATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">Only those Participants designated from time to time by the Committee shall participate in the
Plan and receive Target Grants hereunder.
</DIV>
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</DIV>

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<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE IV<BR>
ADMINISTRATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">4.1 Administration by the Committee. The Plan shall be administered by the Committee, which
shall hold meetings at such times as may be necessary for the proper administration of the Plan.
The Committee shall keep minutes of its meetings. A quorum shall consist of not less than two
members of the Committee and a majority of a quorum may authorize any action. Any decision or
determination reduced to writing and signed by a majority of all of the members of the Committee
shall be as fully effective as if made by a majority vote at a meeting duly called and held. No
member of the Committee shall be liable for any action, failure to act, determination or
interpretation made in good faith with respect to this Plan or any transaction hereunder, except
for liability arising from his or her
own willful misfeasance, gross negligence or reckless disregard of his or her duties. The
Partnership hereby agrees to indemnify each member of the Committee for all costs and expenses and,
to the extent permitted by applicable law, any liability incurred in connection with defending
against, responding to, negotiating for the settlement of or otherwise dealing with any claim,
cause of action or dispute of any kind arising in connection with any actions in administering this
Plan or in authorizing or denying authorization for any transaction hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">4.2 Powers of the Committee. Subject to the express terms and conditions set forth herein, the
Committee shall have the power, from time to time to:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(a)&nbsp;select those Participants for whom Target Grants shall be established;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(b)&nbsp;construe and interpret the Plan, the Target Grants, the Unvested and Vested Phantom Units
and corresponding Phantom Unit Distributions, and establish, amend and revoke rules and regulations
for the administration of the Plan, including, but not limited to, correcting any defect or
supplying any omission, or reconciling any inconsistency in the Plan, in the manner and to the
extent it shall deem necessary or advisable so that the Plan complies with applicable law and
otherwise to make the Plan fully effective.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(c)&nbsp;exercise its discretion with respect to the powers and rights granted to it as set forth
in the Plan; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(d)&nbsp;generally, exercise such powers and perform such acts as it deems necessary or advisable
to promote the best interests of the Partnership with respect to the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">4.3 Decisions of the Committee are Final and Binding. The Committee&#146;s decisions, actions,
determinations and interpretations shall be final and binding upon the Partnership, all
Participants, Beneficiaries, equity holders of the Partnership and any other person.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">4.4 Change in Capitalization. In the event of any Change in Capitalization or in the event of
any special distribution to the Common Unitholders, the Committee may, but shall not be obligated
to, make such equitable adjustments in the Performance Measures, the Phantom Unit Distributions or
other aspects of the Plan, as the Committee determines are necessary and appropriate.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE V<BR>
GRANTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">5.1 Target Grant. The Committee shall establish a Target Grant for each Participant at the
beginning of each Fiscal Year equal to a designated percentage of such Participant&#146;s base salary at
the start of the Fiscal Year. Each participant&#146;s designated percentage shall be recorded in the
minutes of the Committee. In the event a Participant&#146;s base salary for the respective Fiscal Year
was adjusted within 120&nbsp;days after the start of the Fiscal Year, the Target Grant will be computed
using such adjusted base salary.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">5.2 Measurement Period. This is a three-year period commencing on the first day of the fiscal
year during which the Target Grant was established and ending on the last day of the second fiscal
year following the fiscal year during which the Target Grant was established.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">5.3 Performance Measures. The percentage of the Unvested Phantom Units that shall be earned
and immediately converted to Vested Phantom Units at the end of the Measurement Period shall be
determined based upon the ranking of the Partnership&#146;s Percentage of Three-Year Annualized Total
Return to Unitholders in a peer group of eleven other publicly traded partnerships selected by the
Committee. If, at the end of the Measurement Period, it is determined that less than 100% of the
Unvested Phantom Units have been earned, the unearned portion of said Unvested Phantom Units shall
be forfeited.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The following chart illustrates the percentage of the Unvested Phantom Units that shall be
converted to Vested Phantom Units based upon the Partnership&#146;s ranking, at the end of the
Measurement Period, of Percentage of Three-Year Annualized Total Return to Unitholders among the
peer group established pursuant to Article&nbsp;5.3.
</DIV>
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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="86%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="9%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left"><B>THREE-YEAR ANNUALIZED TOTAL</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left"><B>RETURN TO UNITHOLDERS PERCENTAGE</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>PERCENT OF TARGET</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>PERFORMANCE</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>GRANT EARNED</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ranked in top 3 (top quartile)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">125</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ranked from 4-6 (50<SUP style="FONT-size: 85%; vertical-align: text-top">th</SUP>/75h quartile)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ranked from 7-9 (25<SUP style="FONT-size: 85%; vertical-align: text-top">th</SUP> quartile)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">50</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ranked from 10-12 (bottom quartile)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">5.4 Phantom Unit Distributions. These are cumulative phantom partnership cash distributions
equal to each Participant&#146;s Vested Phantom Units multiplied by the per-Common Unit distribution
declared and paid by the Partnership for each quarter over the course of the Measurement Period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">5.5 Plan Distributions. Upon vesting, each Participant will receive a cash payment equal to
the quantity of his Vested Phantom Units multiplied by the Fair Market Value of the Partnership&#146;s
Common Units on the last date of the Measurement Period plus the Participant&#146;s Phantom Unit
Distributions.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE VI<BR>
VESTING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.1 Vesting Schedule. Subject to Articles 6.2 and 6.3, vesting is in accordance with Article
5.3. Notwithstanding anything in this Article&nbsp;VI to the contrary, the Committee may accelerate the
vesting of Unvested Phantom Units and all accrued Phantom Unit Distributions at any time for any
reason with the consent of the General Partner.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.2 Change of Control. Notwithstanding anything in this Plan to the contrary, upon a Change of
Control, the cash value of 125% of all Unvested Phantom Units and a sum equal to 125% of the
Unvested Phantom Units multiplied by an amount equal to the cumulative, per-Common Unit
distribution from the beginning of the Measurement Period through the date on which the Change of
Control occurred shall be fully vested and nonforfeitable and shall be paid to a Participant within
thirty (30)&nbsp;days after the Change in Control.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.3 Forfeiture. Subject to Articles 6.2, 6.4 and 6.5, Unvested Phantom Units shall lapse and
be forfeited upon the occurrence of either of the following events: (a)&nbsp;termination of the
Participant&#146;s employment or participation in the Plan for any reason, except under the
circumstances provided in Articles 6.4 and 6.5; (b)&nbsp;any attempted or completed transfer, sale,
pledge, hypothecation, or assignment by the Participant of the Unvested Phantom Units.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.4 Disability or Death. Notwithstanding the provisions of Article&nbsp;6.3, if a Participant&#146;s
employment terminates as a result of Disability or death, all Unvested Phantom Units and the
Phantom Unit Distributions associated with said Unvested Phantom Units for such Participant shall
vest in accordance with Articles 6.1 and 6.2, as applicable, and shall be paid in accordance with
Article&nbsp;VII and VIII.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.5 Termination without Cause or for Good Reason. In the event a Participant&#146;s employment by
the Partnership is terminated by the Partnership without Cause or by the Participant for Good
Reason, all Unvested Phantom Units and all Phantom Unit Distributions associated with said Unvested
Phantom Units shall vest upon the next succeeding scheduled vesting date pursuant to Articles 6.1
or 6.2, as applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">6.6 Notwithstanding anything in this Plan to the contrary, said Target Grants shall be deemed
&#147;Incentive Compensation&#148; covered by the terms of the Partnership&#146;s Incentive Compensation
Recoupment Policy (the &#147;Policy&#148;) adopted by the Board on April&nbsp;25, 2007, which is incorporated
herein by reference. In accordance with the Policy, in the event of a significant restatement of
the Partnership&#146;s published financial results, where the percentage of the Unvested Phantom Units
derived from Target Grants subject to this Section&nbsp;6.6 that are converted to Vested Phantom Units
pursuant to Section&nbsp;5.3 herein would have been lower had the vesting percentage been calculated
based on the restated financial results, the Committee may review the circumstances surrounding the
restatement and shall have the sole and absolute discretion and authority to determine whether to
seek reimbursement of the amount, or some lesser portion thereof (without interest), by which
certain Participants&#146; distributions under Section&nbsp;5.5 of the Plan exceeded the lower payment that
would have been made based on the restated financial results, regardless of the fault, misconduct
or responsibility of any such Participants in the restatement. If the Committee determines that any
fraud or intentional misconduct by a Participant was a contributing factor to the Partnership
having to make a significant restatement, then, in addition to other disciplinary action, the
Committee may require reimbursement of all, or any part, of the compensation paid to that executive
in excess of that executive&#146;s base salary, plus interest, including distributions made under the
Plan, for the period of such restatement. This Section&nbsp;6.6 shall be interpreted and administered in
accordance with the Policy as in effect from time to time. In the case of any inconsistency between
the Policy and this Section&nbsp;6.6, the Policy shall control.
</DIV>
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</DIV>

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<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE VII<BR>
PAYMENTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The Plan Distributions associated with Vested Phantom Units earned by a Participant under the
Plan shall be paid to the Participant within forty-five days following the culmination of the
Measurement Period.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE VIII<BR>
BENEFICIARIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">A Participant may at any time and from time to time prior to death designate one or more
Beneficiaries to receive any payments to be made following the Participant&#146;s death. If no such
designation is on file with the Partnership at the time of a Participant&#146;s death, the Participant&#146;s
Beneficiary shall be the beneficiary or beneficiaries named in the Beneficiary designation most
recently filed by the Participant with the Partnership. If the Participant has not effectively
designated a Beneficiary, or if no Beneficiary so designated has survived the Participant, the
Participant&#146;s Beneficiary shall be the Participant&#146;s surviving spouse, or, if no spouse has
survived the Participant, the estate of the deceased Participant. If an individual Beneficiary
cannot be located for a period of one year following the Participant&#146;s death, despite mail
notification to the Beneficiary&#146;s last known address, and if the Beneficiary has not made a written
claim for benefits within such period to the Committee, the Beneficiary shall be deemed to have
predeceased the Participant. The Committee may require such proof of death and such evidence of the
right of any person to receive all or part of the benefit of a deceased Participant as the
Committee may consider to be appropriate. The Committee may rely upon any direction by the legal
representatives of the estate of a deceased Participant, without liability to any other person. If
a Participant has designated his or her spouse as Beneficiary, upon entry of a judgment of divorce
(or other evidence of formal dissolution of the marriage), the designation of the spouse as
Beneficiary will be deemed to have been revoked unless the Participant reaffirms such designation
thereafter.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE IX<BR>
TERMINATION AND AMENDMENT OF THE PLAN</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The Plan shall terminate by its terms on the day preceding the tenth anniversary of the
Effective Date of this Plan as originally adopted and no Target Grant may be established
thereafter. The previous sentence notwithstanding, the Board may, at any time and from time to
time, amend, terminate, modify or suspend the Plan; provided, however, that no such amendment,
modification, suspension or termination shall impair or adversely affect any Target Grants
established for a Participant under the Plan, except with the consent of the Participant.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE X<BR>
NON-EXCLUSIVITY OF THE PLAN</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The adoption of the Plan by the Board shall not be construed as amending, modifying or
rescinding any previously approved incentive arrangement or as creating any limitations on the
power of the Board to adopt such other incentive arrangements as it may deem desirable, including,
without limitation, the granting of options to acquire Common Units, and such arrangements may be
either applicable generally or only in specific cases.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XI<BR>
LIMITATION OF LIABILITY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">As illustrative of the limitation of liability of the Partnership, but not intended to be
exhaustive thereof, nothing in the Plan shall be construed to:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(a)&nbsp;give any person any right to the establishment of a Target Grant other than at the sole
discretion of the Committee;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(b)&nbsp;give any person any rights whatsoever with respect to a Target Grant or Unvested Phantom
Units except as specifically provided in the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(c)&nbsp;limit in any way the right of the Partnership to terminate the employment of any person at
any time; or
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">(d)&nbsp;be evidence of any agreement or understanding, express or implied, that the Partnership
will employ any person at any particular rate of compensation or for any particular period of time.
</DIV>
<P align="center" style="font-size: 10pt">&nbsp;

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.50in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XII<BR>
REGULATIONS AND OTHER APPROVALS; GOVERNING LAW</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">12.1 Except as to matters of federal law, this Plan and the rights of all persons claiming
hereunder shall be construed and determined in accordance with laws of the State of New Jersey
without giving effect to conflicts of law principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">12.2 Except as provided in Article&nbsp;IX hereof the Board may make such changes to the Plan or an
Agreement as may be necessary or appropriate to comply with the rules and regulations of any
government authority.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XIII<BR>
WITHHOLDING OF TAXES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">At such time(s) as a Participant recognizes income for purposes of income, employment, or
other tax liability, the Partnership shall withhold an amount equal to the federal, state and local
taxes and other amounts as may be required by law to be withheld by the Partnership.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XIV<BR>
NO REQUIRED SEGREGATION OF ASSETS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">Neither the Partnership nor any subsidiary shall be required to segregate any assets that may
at any time be represented by Phantom Units or Phantom Unit Distributions made pursuant to the
Plan.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XV<BR>
RIGHT OF DISCHARGE RESERVE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">Neither the Plan nor the establishment of any Target Grant shall guarantee any Participant
continued employment with the Partnership, or a subsidiary, or guarantee the establishment of
future Target Grants.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XVI<BR>
NATURE OF PAYMENTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">All Phantom Units awarded and Phantom Unit Distributions made pursuant to the Plan are in
consideration of services for the Partnership or its subsidiaries. The Phantom Units and Phantom
Unit Distributions constitute a special incentive payment to the Participant and shall not be taken
into account as compensation for purposes of any of the employee benefit plans of the Partnership
or any subsidiary except as may be determined by the Committee.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XVII<BR>
CONSTRUCTION OF PLAN</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">The captions used in this Plan are for convenience only and shall not be construed in
interpreting the Plan. Whenever the context so requires, the masculine shall include the feminine
and neuter, and the singular shall also include the plural, and vice versa.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XVIII<BR>
SEVERABILITY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">If any provision of the Plan shall be held unlawful or otherwise invalid or unenforceable in
whole or in part, the unlawfulness, invalidity or unenforceability of said provision shall not
affect any other provision of the Plan or part thereof, each of which shall remain in full force
and effect.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XIX<BR>
DEFERRAL</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">Payments under the Plan may not be deferred by the Participants.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ARTICLE XX<BR>
RETIREMENT OF PARTICIPANT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 4%">Upon Retirement, a Participant shall not be eligible for any additional grants under the Plan;
however, all Unvested Phantom Units and all Phantom Unit Distributions associated with said
Unvested Phantom Units shall vest upon their normal scheduled vesting dates pursuant to Articles
6.1 or 6.2, as applicable.
</DIV>

<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>



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