For 2011 the NEO’s personal objectives under the STI accounted for 25% of the total STI. The personal
objectives were approved by the compensation committee and the board of directors of the General Partner for
the CEO, and by the CEO for the other NEOs. There was overlap of the personal objectives between the NEOs.
Each of the personal objectives for the NEOs and the weighting of each personal objective are described below:
2011 Target STI Payment Opportunity for Personal Objectives
STI Personal Objectives
Mr. Borer Ms. Minas Mr. Richards
1) Financial Positioning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.25% 6.25%
6.25%
2) Enterprise Growth . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.25% 6.25%
6.25%
3) Organization Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.25% 6.25%
6.25%
4) Safety & Environmental Leadership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.25% — —
5) Sarbanes-Oxley/Internal Controls . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —
6.25% —
6) Regulatory Compliance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — —
6.25%
Percentage of Total ST . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
25%
25%
25%
1)
Financial Positioning.
Effectively manage and adjust financial strategies and tactics to balance growth and
continued near-term challenges in the fundamentals / economic environment. Focus on cash generation,
capital formation to support growth and working capital needs, maintaining S&P and Fitch investment
grade ratings, financing cost optimization, working capital and risk management.
2)
Enterprise Growth.
Continue to execute on the 5 year enterprise growth plan.
3)
Organization Development.
Continue to evolve the DCP enterprise culture with a focus on leadership,
initiative, accountability, commitment to excellence, collaboration, transparency and teamwork.
4)
Safety & Environmental Leadership.
Continue to drive the safety and environmental performance culture
at the DCP enterprise to an industry leading position.
5)
Sarbanes-Oxley/Internal Controls.
Maintain strong internal controls and accounting accuracy.
6)
Regulatory Compliance.
Maintain compliance with SEC disclosure rules and maintain all corporate
governances to meet regulatory disclosure and filing requirements and continue implementation of XBRL
compliance with detail tagging.
The payout on the individual personal objectives ranged from 0% if the minimum level of performance is
not achieved, 50% if the minimum level of performance is achieved, 100% if the target level of performance is
achieved and 200% if the maximum level of performance is achieved. When the performance level falls
between these percentages, payout will be determined by straight-line interpolation.
Early in 2012, management prepared a report on the achievement of the Partnership objectives and the
personal objectives. These results were reviewed and approved by the Compensation Committee in February
2012, including a calculation of the percentage achievement of each objective for purposes of the STI program.
The total payout for the executive officers under the STI for fiscal year 2011 including both Partnership
objectives and personal objectives ranged from 127.3% to 128.2% of target, with the CEO at 127.9% of target.
Long-Term Incentive Plan, or LTIP
— The long-term incentive compensation program has the objective of
providing a focus on long-term value creation and enhancing executive retention. Under our LTIP program, we
issued phantom limited partner units to each NEO. Half of such phantom units are performance phantom units,
or PPUs, and half are restricted phantom units, or RPUs. The PPUs will vest based upon the level of
achievement of certain performance objectives over a three year performance period, or the Performance
Period. The RPUs will automatically vest if the executive officer remains employed with us at the end of a three
year vesting period, or the Vesting Period. We believe this program promotes retention of our executive
officers, and focuses our executive officers on the goal of long-term value creation.
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