NET INCOME PER COMMON UNIT

9 Months Ended

Sep. 30, 2013

NET INCOME PER COMMON UNIT

NET INCOME PER COMMON UNIT

NOTE 8        NET INCOME PER COMMON UNIT

Net income per common unit is computed by dividing net income attributable to controlling interests, after deduction of the General Partner’s allocation, by the weighted average number of common units outstanding. The General Partner’s allocation is equal to an amount based upon the General Partner’s effective two percent general partner interest, plus an amount equal to incentive distributions. Incentive distributions are paid to the General Partner if quarterly cash distributions on the common units exceed levels specified in the Partnership Agreement.

Net income per common unit was determined as follows:

	Three months ended		Nine months ended
(unaudited)	September 30,		September 30,
(millions of dollars)	2013	2012(a)	2013(a)	2012(a)
Net income attributable to controlling interests	37	48	114	148
Net income allocated to General Partner	(1)	(1)	(2)	(3)
Net income allocated to common units	36	47	112	145
Weighted average common units outstanding (millions) – basic and diluted	62.3	53.5	57.8	53.5
Net income per common unit – basic and diluted	$0.58	$0.88	$1.94	$2.71

(a)       Recast as discussed in Note 2 and 4.