DISTRIBUTIONS FROM NUSTAR ENERGY

NuStar Energy’s partnership agreement, as amended, determines the amount and priority of cash distributions that NuStar Energy’s common unitholders and general partner may receive. We, as NuStar Energy’s general partner, are entitled to incentive distributions if the amount NuStar Energy distributes with respect to any quarter exceeds $0.60 per unit, with the maximum percentage of 23% of the amount of any quarterly distribution in excess of $0.66 per unit. We also receive a 2% distribution with respect to our general partner interest.

The following table reflects the allocation of NuStar Energy’s cash distributions earned for the period indicated among its general and limited partners:



	Year Ended December 31,
	2012		2011		2010
	(Thousands of Dollars, Except Per Unit Data)
General partner interest	$	7,486	$	6,630	$	6,227
General partner incentive distribution	41,242		36,326		33,304
Total general partner distribution	48,728		42,956		39,531
Limited partner distribution	45,152		44,812		43,924
Total distributions to NuStar GP Holdings	93,880		87,768		83,455
Public unitholders’ distributions	280,374		243,738		227,923
Total cash distributions	$	374,254	$	331,506	$	311,378
Cash distributions per unit applicable to limited partners	$	4.380	$	4.360	$	4.280

On February 14, 2013, NuStar Energy paid a quarterly cash distribution totaling $98.1 million, or $1.095 per unit, related to the fourth quarter of 2012.