NET INCOME PER COMMON UNIT

3 Months Ended

Mar. 31, 2012

NET INCOME PER COMMON UNIT

NET INCOME PER COMMON UNIT

NOTE 6                 NET INCOME PER COMMON UNIT

Net income per common unit is computed by dividing net income, 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:

(unaudited)	Three months ended March 31,
(millions of dollars, except per unit)	2012			2011
Net income(a)		39			42
Net income allocated to General Partner		(1	)		(1	)
Net income allocable to common units		38			41
Weighted average common units outstanding (millions)		53.5			46.2
Net income per common unit		$0.71			$0.90

(a) There were no equity earnings from GTN and Bison in the 2011 period as the 25 percent interests in each were acquired in May 2011.