Sunoco 2012 Annual Report Download - page 150

•SERP: Under the SERP, a married NEO’s spouse would receive 50 percent of any benefit payable
under the plan.
•Sunoco Partners LLC Annual Incentive Plan: A prorated annual incentive based on date of death would
be payable to the NEO’s beneficiary(ies) or estate.
•LTIP: Under the LTIP all unvested restricted units would continue to vest, and, along with the
accompanying distribution equivalent rights, would pay out at the end of the respective performance
periods to the NEO’s beneficiary(ies) or estate if the applicable performance measures are met.
•Disability: In the case of a termination of employment due to disability, an NEO would be eligible for the
following benefits:
•SCIRP/SERP: An NEO would continue to accrue benefits under SCIRP and SERP until normal
retirement date or later, according to the terms of those plans.
•Medical and Life Insurance: Medical and life insurance coverage would be available to the NEO on the
same basis as to other disabled employees.
•Long Term Disability: An NEO would receive benefits, including Social Security, up to 60 percent of
total annual compensation or $25,000 per month, whichever is less, under Sunoco Inc.’s long-term
disability plan.
•Sunoco Partners LLC Annual Incentive Plan: An NEO would receive a pro rata portion of the annual
incentive for the period from the start of the plan year to the date of permanent disability.
•LTIP: Under the LTIP all unvested restricted units would continue to vest, and along with the
accompanying distribution equivalent rights, will pay out at the end of the respective performance
periods if the applicable performance measures are met.
Except for Ms. Elsenhans and Messrs. Colavita, MacDonald and Salinas (as explained above), the tables on
the following pages reflect the estimated potential compensation and benefits for the NEOs under various
scenarios involving a termination of employment. These amounts are estimates of the amounts that would be
paid to the NEOs and the actual amounts paid can only be determined at the time of a named executive officer’s
termination of employment. These estimates are based on the following assumptions:
• the applicable provisions in the agreements and arrangements governing the NEOs’ benefits and
payment which are summarized in the “Other Potential Post-Employment Payments” section on
pages 144 to 155;
• the triggering event occurred on December 31, 2012 (except for NEOs such as Ms. Elsenhans,
who exited during 2012);
• the transaction price per Partnership unit is $49.73, which was the price at the close on
December 30, 2012;
• pension lump-sum values are based on applicable segment interest rates under the Pension
Protection Act of 2006;
• health and welfare benefits are included, where applicable, at the estimated value of the
continuation of these benefits; and
• Executives become 100 percent vested in his or her SERP benefit and additional service is
credited through the applicable Benefit Extension period.
• each NEO has exhausted all available vacation benefits as of December 31, 2012.
148