Enterprise Products Partners L.P.

SEC Filings

ENTERPRISE PRODUCTS PARTNERS L P filed this Form 10-K on 02/28/2018
Entire Document

Pay Ratio Disclosure

In August 2015 pursuant to a mandate of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the SEC adopted a rule requiring annual disclosure of the ratio of (i) the median of the total annual compensation of all employees of a registrant to (ii) the total annual compensation of the registrant’s principal executive officer.   Our principal executive officer is Mr. Teague (who serves as CEO of our general partner).  The following table summarizes the information used to derive the required pay ratio for the year ended December 31, 2017:

Median total annual compensation
Total annual compensation of Mr. Teague (CEO)
Ratio of CEO compensation to median compensation
72 : 1

The median total annual compensation was determined as follows:

First, a list was prepared of all active EPCO employees, excluding Mr. Teague and those on long-term disability, that devote all or a substantial portion of their time to our consolidated businesses and affairs.   This list was based on employee information as of December 31, 2017. There are approximately 7,000 EPCO personnel who spend all or a substantial portion of their time engaged in our business.

Second, basic wage data for each employee was extracted from Form W-2 information provided to the Internal Revenue Service for calendar year 2017. This information was then sorted and the employee who earned the median compensation (the “median employee”) was selected from the list.

Third, once the median employee was selected, his or her total annual compensation for 2017 was determined using the same method used to determine Mr. Teague’s total annual compensation for 2017 as presented in the Summary Compensation Table within this Item 11.

Director Compensation

Neither we nor our general partner provide additional compensation to employees of EPCO for their services as directors of our general partner.  For calendar year 2017, the independent voting directors of our general partner were compensated as follows:

each received an $85,000 annual cash retainer and an annual grant of our common units having a fair market value, based on the closing price of such security on the trading day immediately preceding the date of grant, of approximately $85,000;

if the individual served as a chairman of the Audit and Conflicts Committee, then he received an additional $20,000 annual cash retainer;

if the individual served as a chairman of the Governance Committee, then he received an additional $15,000 annual cash retainer; and,

for those independent voting directors that serve on the Capital Projects Committee, a $2,500 per meeting cash fee for attendance at meetings of this committee.
Our advisory directors, Messrs. Casey and Smith, each received a $150,000 annual cash retainer in 2017. As an honorary director, O.S. Andras received a $20,000 annual cash retainer.

The director compensation program for calendar year 2018 is expected to be the same as 2017.