EX-10.1 5 dex101.htm COMMON UNIT PURCHASE AGREEMENT Common Unit Purchase Agreement

EXHIBIT 10.1

Execution Version

COMMON UNIT PURCHASE AGREEMENT

This COMMON UNIT PURCHASE AGREEMENT, dated as of May 21, 2007 (this “Agreement”), is by and between INERGY HOLDINGS, L.P., a Delaware limited partnership (the “Partnership”) and each of the holders listed on Exhibit A hereto (each a “Holder” and collectively the “Holders”).

WHEREAS, the Partnership desires to increase the public float of its common units representing limited partner interests in the Partnership (the “Common Units”);

WHEREAS, the Holders now own 13,007,741 Common Units;

WHEREAS, the Partnership has entered into an underwriting agreement of even date herewith (the “Underwriting Agreement”) with Citigroup Global Markets, Inc. (the “Underwriter”) pursuant to which the Partnership is publicly offering (the “Public Offering”) for cash 1,500,000 Common Units (the “Primary Units”) and an additional 225,000 Common Units (the “Option Units”), in each case pursuant to the Partnership’s registration statement Form S-3 (File No. 333-136200) (as amended to the date hereof, the “Registration Statement”) and a prospectus supplement (together with the prospectus included in the Registration Statement, the “Prospectus”) filed under Rule 424 under the Securities Act (as defined herein); and

WHEREAS, the Holders and the Option Holder (as defined below) desire to sell to the Partnership, and the Partnership desires to purchase from the Holders and the Option Holder (as defined below), up to an aggregate of 1,680,827 Common Units upon the terms and conditions hereinafter set forth.

NOW THEREFORE, in consideration of the mutual covenants, conditions and agreements set forth herein, and for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

1. Purchase of Units. On the Offering Closing Date (as defined below), and subject to the terms and conditions and in reliance on the representations and warranties herein set forth, the Holders agree to sell to the Partnership, and the Partnership agrees to purchase from the Holders, at price of $50.54 per Common Unit (the “Purchase Price”), the number of Common Units listed on Exhibit A (the “Purchased Units”).

1.1 The closing of the purchase and sale of the Purchased Units shall take place at such place and such time so as to coincide with the Underwriter’s purchase of the Primary Units pursuant to the Underwriting Agreement (the “Offering Closing Date”) from the Partnership in the Public Offering.

1.2 On the Offering Closing Date, each Holder shall sell to the Partnership all its right, title and interest in and to the Purchased Units, free and clear of all liens or other limitations or restrictions and deliver to the Partnership the certificate or certificates representing the Purchased Units, duly endorsed in blank or accompanied by separate stock powers so endorsed. Each Holder shall execute the certificate of transfer on the back of the certificate or certificates representing the Purchased Units.

 

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1.3 The Partnership shall pay the aggregate Purchase Price on the Offering Closing Date by wire transfer of immediately available funds to an account of the Holders (the number for which account shall have been furnished to the Partnership at least one business day prior to the Offering Closing Date).

2. Purchase of Additional Units. On the Option Closing Date, the Holder listed on Exhibit B (the “Option Holder”) agrees to sell to the Partnership, and the Partnership agrees to purchase from the Option Holder at the Purchase Price, a number of Common Units equal to the number of Option Units purchased by the Underwriter but which may not exceed the aggregate number of Common Units listed on Exhibit B (the “Additional Units” and together with the Purchased Units, the “Units”).

2.1 The closing of the purchase and sale of the Additional Units shall take place at such place and such time so as to coincide with the Underwriter’s purchase of the Option Units pursuant to the Underwriting Agreement (the “Option Closing Date”) from the Partnership in the Public Offering. The Option Closing Date and the Offering Closing Date are collectively referred to herein as the “Closing Date.”

2.2 On the Option Closing Date, the Option Holder shall sell to the Partnership all its right, title and interest in and to the Additional Units, free and clear of all liens or other limitations or restrictions and deliver to the Partnership the certificate or certificates representing the Additional Units, duly endorsed in blank or accompanied by separate stock powers so endorsed. The Option Holder shall execute the certificate of transfer on the back of the certificate or certificates representing the Additional Units.

2.3 The Partnership shall pay the aggregate Purchase Price on the Option Closing Date by wire transfer of immediately available funds to an account of the Option Holder (the number for which account shall have been furnished to the Partnership at least one business day prior to the Option Closing Date).

3. Representations and Warranties of Holders. Each Holder hereby severally represents and warrants to, and agrees with the Partnership, as applicable, that:

3.1 Existence and Power. Such Holder has the power, authority and legal capacity to execute and deliver this Agreement, consummate the transactions and perform each of its obligations contemplated hereby.

3.2 Authority; Approvals. (a) The execution and delivery of this Agreement by such Holder, the consummation by such Holder of each of the transactions and the performance by such Holder of its obligations contemplated hereby have been duly and properly authorized on the part of such Holder. This Agreement has been duly executed and delivered by such Holder, and, assuming the accuracy of the representations and warranties of the Partnership in Section 4 hereof, constitutes the valid and legally binding obligation of such Holder, enforceable against such Holder in accordance with its terms.

 

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(b) The execution and delivery of this Agreement by such Holder and the consummation of each of the transactions and the performance of each of the obligations contemplated hereby do not:

(i) conflict with, violate or breach (whether with or without notice or a lapse of time or both), require the consent of any Person to or otherwise result in a material detriment to such Holder (if such Holder is an entity) under, (A) its organizational documents, or (B) any agreement to which it is a party or by which its assets or property is bound or any law or order applicable to it (other than the Unitholder Agreement, dated April 14, 2005 (the “Unitholder Agreement”), by and among the Partnership and the other parties thereto), which conflicts, violations, breaches or material detriments, in the case of clause (B), could reasonably be expected to prevent the consummation of any of the transactions contemplated hereby or have a material adverse effect on the business, properties or condition (financial or otherwise) of such Holder; and

(ii) impose any penalty or other onerous condition on such Holder that could reasonably be expected to prevent the consummation of any of the transactions contemplated hereby. As used in this Agreement, the term “Person” means a natural person, corporation, limited liability company, venture, partnership, trust, unincorporated organization, association or other entity.

(c) No approval from any Governmental Entity is required with respect to such Holder in connection with the execution and delivery by such Holder of this Agreement, the performance by such Holder of its obligations hereunder or the consummation by such Holder of the transactions contemplated hereby, except for any such approval the failure of which to be made or obtained (i) has not impaired and could not reasonably be expected to impair the ability of such Holder to perform its obligations under this Agreement in any material respect, and (ii) could not reasonably be expected to delay, in any material respect, or prevent the consummation of any of the transactions contemplated by this Agreement. As used in this Agreement, the term “Governmental Entity” means any agency, bureau, commission, authority, department, official, political subdivision, tribunal or other instrumentality of any government, whether (i) regulatory, administrative or otherwise; (ii) federal, state or local; or (iii) domestic or foreign.

3.3 Ownership of Units. Except as provided in the Unitholder Agreement, such Holder is the record and beneficial owner (or, if such Holder is a trust, the legal owner) of the number of Purchased Units set forth opposite such Holder’s name on Exhibit A, or, with respect to the Option Holder, is the record and beneficial owner (or, if such Option Holder is a trust, the legal owner) of the number of Additional Units set forth opposite the Option Holder’s name on Exhibit B, in each case, free and clear of any lien and any other limitation or restriction with full right and authority to deliver the same hereunder, and will transfer and deliver to the Partnership on the Offering Closing Date or the Option Closing Date, as the case may be, valid title to the Purchased Units or the Additional Units, as the case may be, in each case free and clear of any lien and any such other limitation or restriction.

 

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3.4 Independent Investigation. Such Holder or Option Holder (a) has the requisite knowledge, sophistication and experience in order to fairly evaluate a disposition of the Purchased Units or the Additional Units, as the case may be, including the risks associated therewith, and (b) has adequate information and has made its own independent investigation and evaluation to the extent it deems necessary or appropriate concerning the properties, business and financial condition of the Partnership to make an informed decision regarding the transfer of the Purchased Units or the Additional Units, as the case may be, pursuant to this Agreement.

3.5 No Investment Advice. Such Holder acknowledges that the Partnership has not rendered and will not render any investment advice or securities valuation advice to the Holder, and the Holder further represents that it is relying solely on its own conclusions or the advice of its own counsel or investment representative with respect to the transactions contemplated by this Agreement.

4. Representations and Warranties of the Partnership. The Partnership hereby represents and warrants to, and agrees with the Holders, that:

4.1 Existence and Power. The Partnership is a limited partnership duly organized, validly existing and in good standing under the laws of the State of Delaware and has all requisite limited partnership power and authority to execute and deliver this Agreement, consummate the transactions and perform each of its obligations contemplated hereby.

4.2 Authority; Approvals. (a) The execution and delivery of this Agreement by the Partnership, the consummation by the Partnership of each of the transactions and the performance by the Partnership of each of its obligations contemplated hereby have been duly and properly authorized by all necessary partnership action on the part of the Partnership. This Agreement has been duly executed and delivered by the Partnership and, assuming the accuracy of the representations and warranties of the Holders in Section 3 hereof, constitutes the valid and legally binding obligation of the Partnership, enforceable against it in accordance with its terms, subject, (i) as to enforceability, to bankruptcy, insolvency, reorganization, moratorium and other similar laws of general applicability relating to or affecting creditors’ rights and to general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law) and (ii) to equitable principles of general applicability relating to the availability of specific performance, injunctive relief, or other equitable remedies.

(b) The execution and delivery of this Agreement by the Partnership and the consummation of each of the transactions and the performance of each of the obligations contemplated hereby (i) do not conflict with, violate or breach (whether with or without notice or a lapse of time or both), require the consent of any Person to or otherwise result in a material detriment to the Partnership under, (A) its organizational documents or (B) any agreement to which it is a party or by which its assets or property is bound or any law or order applicable to it, in the case of clause (B), which conflicts, violations, breaches or material detriments could reasonably be expected to prevent the consummation of any of the transactions contemplated hereby or have a material adverse effect on the business, properties or condition (financial or otherwise) of the Partnership; and (ii) do not impose any penalty or other onerous condition on the Partnership that could reasonably be expected to prevent the consummation of any of the transactions contemplated hereby.

 

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(c) No approval from any Governmental Entity is required with respect to the Partnership in connection with the execution and delivery by the Partnership of this Agreement, the performance by the Partnership of its obligations hereunder or the consummation by the Partnership of the transactions contemplated hereby, except (i) as have been obtained under the Securities Act of 1933, as amended, and the rules and regulations of the Securities and Exchange Commission (the “Commission”) thereunder (collectively, the “Securities Act”), and as may be required under state securities or blue sky laws in connection with the Public Offering and (ii) for any such approval the failure of which to be made or obtained (A) has not impaired and could not reasonably be expected to impair the ability of the Partnership to perform its obligations under this Agreement in any material respect and (B) could not reasonably be expected to delay, in any material respect, or prevent the consummation of any of the transactions contemplated by this Agreement.

5. Conditions to Closing.

5.1 Conditions to Obligations of the Partnership. The obligation of the Partnership to purchase the Units on the applicable Closing Date is subject to the satisfaction of the following conditions:

(a) With respect to the Primary Units, the closing contemplated in Section 2 of the Underwriting Agreement shall have occurred and, with respect to the Additional Units, the closing contemplated in Section 3 of the Underwriting Agreement shall have occurred;

(b) The Holders shall have performed in all material respects all of their obligations hereunder required to be performed by it on or prior to the Offering Closing Date and the Option Holder shall have performed in all material respects all of their obligations hereunder required to be performed by it on or prior to the Option Closing Date;

(c) No action, claim, suit, hearing, complaint, demand, injunction, litigation, judgment, arbitration, order, decree, ruling or governmental investigation or proceeding is then pending or threatened by any court or Governmental Entity, and no such court or Governmental Entity shall have issued any injunction, judgment or order, which shall remain in effect, that would prevent consummation of the transactions contemplated hereby; provided, however, that the parties hereto shall use their reasonable best efforts to have any such injunction, judgment or order vacated or reversed;

(d) The representations and warranties of the Holders contained in this Agreement and in any certificate or other writing delivered by the Holders pursuant hereto shall be true in all material respects (except for such representations and warranties as shall be qualified by a materiality standard, which shall be true and correct in all respects) at and as of the Offering Closing Date, as if made at and as of such date; and

(e) With respect to the Additional Units, the representations and warranties of the Option Holder contained in this Agreement and in any certificate or other writing delivered by the Option Holder pursuant hereto shall be true in all material respects (except for such representations and warranties as shall be qualified by a materiality standard, which shall be true and correct in all respects) at and as of the Option Closing Date, as if made at and as of such date.

 

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5.2 Conditions of Obligations of the Holders. The obligation of the Holders to consummate the transactions contemplated on the applicable Closing Date is subject to the satisfaction of the following conditions:

(a) With respect to the Primary Units, the closing contemplated in Section 2 of the Underwriting Agreement shall have occurred and, with respect to the Additional Units, the closing contemplated in Section 3 of the Underwriting Agreement shall have occurred;

(b) The Partnership shall have performed in all material respects all of its obligations under this Agreement required to be performed by it on or prior to the applicable Closing Date;

(c) No action, claim, suit, hearing, complaint, demand, injunction, litigation, judgment, arbitration, order, decree, ruling or governmental investigation or proceeding is then pending or threatened by any court or Governmental Entity, and no such court or Governmental Entity shall have issued any injunction, judgment or order, which shall remain in effect, that would prevent consummation of the transactions contemplated hereby; provided, however, that the parties hereto shall use their reasonable best efforts to have any such injunction, judgment or order vacated or reversed;

(d) The representations and warranties of the Partnership contained in this Agreement and in any certificate or other writing delivered by the Partnership pursuant hereto shall be true in all material respects (except for such representations and warranties as shall be qualified by a materiality standard, which shall be true and correct in all respects) at and as of the Offering Closing Date and as of the Option Closing Date, in each case, as if made at and as of such date; and

6. Indemnification.

6.1 Indemnification by the Partnership. The Partnership will indemnify and hold harmless each Holder, and, if applicable, such Holder’s officers, directors and any person who controls such Holder within the meaning of Section 15 of the Securities Act and Section 20 of the Securities Exchange Act of 1934, as amended, and the rules and regulations of the Commission thereunder (collectively, the “Exchange Act”) against all losses, claims, damages and liabilities (including, without limitation, the legal fees and other expenses incurred in connection with any suit, action, proceeding or any claim asserted) arising out or based on:

(a) any inaccuracy or breach as of the date of this Agreement or as of the Offering Closing Date of any representation or warranty made by the Partnership in Section 4 of this Agreement or in any certificate delivered by the Partnership pursuant to this Agreement; and

(b) the breach or default in the performance by the Partnership of any covenant, agreement or obligation to be performed by the Partnership pursuant to this Agreement.

 

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6.2 Indemnification by the Holders. Each Holder will severally indemnify the Partnership, its officers, directors and each person who controls the Partnership within, the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act, against all losses, claims, damages and liabilities (including, without limitation, the legal fees and expenses incurred in connection with any suit, action, proceeding or any claim asserted) arising out of or based on:

(a) any inaccuracy or breach as of the date of this Agreement or as of the Offering Closing Date, or with respect to the Option Holder, as of the Option Closing Date, of any representation or warranty made by such Holder in Section 3 of this Agreement or in any certificate delivered by such Holder pursuant to this Agreement; and

(b) the breach or default in the performance by such Holder of any covenant, agreement or obligation to be performed by such Holder pursuant to this Agreement.

The liability of a Holder pursuant to this Section 6.2 shall be limited to such Holder’s pro rata portion of the aggregate Purchase Price.

6.3 Indemnification Procedures. If any suit, action, proceeding (including any governmental or regulatory investigation), claim or demand shall be brought or asserted against any person in respect of which indemnity may be sought pursuant to the preceding paragraphs of this Section 6, such person (the “Indemnified Person”) shall promptly notify the person or persons against whom such indemnity may be sought (each an “Indemnifying Person”) in writing, and such Indemnifying Persons, upon request of the Indemnified Person, shall retain counsel reasonably satisfactory to the Indemnified Person to represent the Indemnified Person and any others the Indemnifying Persons may designate in such proceeding and shall pay the reasonable fees and expenses of such counsel related to such proceeding. In any such proceeding, any Indemnified Person shall have the right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such Indemnified Person and not the Indemnifying Persons unless (i) the Indemnifying Persons and the Indemnified Person shall have mutually agreed to the contrary, (ii) the Indemnifying Person has failed within a reasonable time to retain counsel reasonably satisfactory to the Indemnified Person or (iii) the named parties in any such proceeding (including any impleaded parties) include both an Indemnifying Person and the Indemnified Person and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interests between them. It is understood that no Indemnifying Person shall, in connection with any proceeding or related proceeding in the same jurisdiction, be liable for the reasonable fees and expenses of more than one separate firm (in addition to any local counsel) for all Indemnified Persons, and that all such fees and expenses shall be reimbursed as they are incurred. No Indemnifying Person shall be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent or if there be a final judgment for the plaintiff, each Indemnifying Person agrees to indemnify any Indemnified Person from and against any loss or liability by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an Indemnified Person shall have requested an Indemnifying Person to reimburse the Indemnified Person for fees and expenses of counsel as contemplated by the second and third sentences of this paragraph, such Indemnifying Person agrees that it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement is entered into more than 90 days after receipt by

 

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such Indemnifying Person of the aforesaid request and (ii) such Indemnifying Person shall not have reimbursed the Indemnified Person in accordance with such request prior to the date of such settlement. No Indemnifying Person shall, without the prior written consent of the Indemnified Person, effect any settlement of any pending or threatened proceeding in respect of which any Indemnified Person is or could have been a party and indemnity could have been sought hereunder by such Indemnified Person, unless such settlement includes an unconditional release of such Indemnified Person from all liability on claims that are the subject matter of such proceeding.

6.4 Contribution. The Partnership and the Holders agree that it would not be just and equitable if contribution pursuant to this Section 6 were determined by pro rata allocation. The amount paid or payable by an Indemnified Person as a result of the losses, claims, damages and liabilities referred to in this Section 6 shall be deemed to include any legal or other expenses incurred by such Indemnified Person in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section 6, in no event shall a Holder be required to contribute any amount in excess of the amount of the aggregate Purchase Price received by it. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.

6.5 Full Force and Effect. The remedies provided for in this Section 6 are not exclusive and shall not limit any rights or remedies which may otherwise be available to any indemnified party at law or in equity. The indemnity and contribution agreements contained in this Section 6 and the representations and warranties of the Partnership and the Holders set forth in this Agreement shall remain operative and in full force and effect regardless of (i) any termination of this Agreement, (ii) any investigation made by or on behalf of any party hereto, its respective officers or directors or any person controlling such party and (iii) consummation of the transactions contemplated hereby, as applicable.

7. Expense. Whether or not the transactions contemplated by this Agreement are consummated, the Partnership will pay for all expenses (including fees and disbursements of counsel and independent accountants) incurred by it in connection with this Agreement and the Public Offering (including, but not limited to, the expenses the Partnership agreed to pay pursuant to the Underwriting Agreement).

8. Miscellaneous.

8.1 Notices. All notices, requests, demands, claims, and other communications hereunder shall be in writing. Any notice, request, demand, claim, or other communication hereunder shall be deemed duly given two business days after it is sent by registered or certified mail, return receipt requested, postage prepaid, and addressed to the intended recipient as set forth below:

If to the Holders to the addresses set forth on Exhibit A hereto.

If to the Partnership:

Inergy Holdings, L.P.

Two Brush Creek Boulevard, Suite 200

Kansas City, Missouri 64112

Attention: Laura L. Ozenberger

Facsimile: (816) 531-4680

 

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Any party may send any notice, request, demand, claim, or other communication hereunder to the intended recipient at the addresses set forth above using any other means (including personal delivery, expedited courier, messenger service, telecopy, ordinary mail, or electronic mail). Delivery of written notices shall be effective (i) upon delivery, if sent by hand delivery, expedited courier or messenger service (in any such case, with a record of receipt) or by ordinary mail or (ii) on the next day after the date of dispatch, if sent by telecopy, cable, facsimile, telegram, or electronic mail. Any party may change the address to which notices, requests, demands, claims, and other communications hereunder are to be delivered by giving the other party notice in the manner herein set forth.

8.2 Amendments and Waivers. Any provision of this Agreement may be amended or waived if, but only if, such amendment or waiver is in writing and is signed, in the case of an amendment, by each party to this Agreement, or in the case of a waiver, by the party against whom the waiver is to be effective. No failure or delay by any party in exercising any right, power or privilege hereunder shall operate as a waiver thereof nor shall any single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any other right, power or privilege.

8.3 Successors and Assigns. The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

8.4 Assignment. Neither this Agreement nor any of the rights, interests or obligations under this Agreement shall be assigned or delegated, in whole or in part, by operation of law or otherwise by any party without the prior written consent of the other party.

8.5 Governing Law. This Agreement shall be governed by and construed in accordance with the law of the State of Delaware, without reference to its conflict of laws principles.

8.6 Public Announcements. Each Holder agrees that, except as may be required by applicable law, such Holder will not issue any press release or make any public statement with respect to this Agreement or the transactions contemplated hereby without obtaining the prior written consent of the Partnership. The Holders acknowledge that the Partnership may, in its sole discretion, issue a press release or make a public statement with respect to this Agreement or the transactions contemplated hereby without obtaining the prior written consent of the Holders.

 

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8.7 Entire Agreement; No Third-Party Beneficiaries. This Agreement constitutes the entire agreement and supersedes all prior agreements and understandings, both written and oral, between the parties with respect to the subject matter of this Agreement. Except as specifically set forth or referred to herein, nothing herein expressed or implied is intended or shall be construed to confer upon or give to any Person, other than the parties hereto, and their permitted successors or assigns, any rights or remedies under or by reason of this Agreement. No third party is entitled to rely on any of the representations, warranties and agreements contained in this Agreement, and the Partnership and the Holders assume no liability to any third party because of any reliance on the representations, warranties and agreements of the Partnership and the Holders contained in this Agreement.

8.8 Severability. Any term or provision of this Agreement which is invalid or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without rendering invalid or unenforceable the remaining terms and provisions of this Agreement or affecting the validity or enforceability of any of the terms or provisions of this Agreement in any other jurisdiction. If any provision of this Agreement is so broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable.

8.9 Termination. Notwithstanding any provision in this Agreement to the contrary, this Agreement shall terminate in the event the Underwriting Agreement is terminated in accordance with the terms contained therein.

8.10 Interpretation. When a reference is made in this Agreement to a Section, such reference shall be to a Section of this Agreement unless otherwise indicated. The captions and headings appearing at the beginning of the various sections of this Agreement are for convenience of reference only and shall not be given any effect whatsoever in the construction or interpretation of this Agreement. Whenever the words “include,” “includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation.”

8.11 Section Headings. The captions and headings appearing at the beginning of the various sections of this Agreement are for convenience of reference only and shall not be given any effect whatsoever in the construction or interpretation of this Agreement.

8.12 Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Any party may execute this Agreement by the delivery of a facsimile signature, which signature shall have the same force and effect as an original signature. Any party that delivers a facsimile signature shall promptly thereafter deliver an originally executed signature to the other party; provided, however, that the failure to deliver an original signature page shall not affect the validity of any signature delivered by facsimile.

8.12 Waiver of Registration Rights. Each Holder hereby waives any rights it may hold relating to the inclusion of Common Units in a registration statement of the Partnership, and any notice of or request for such inclusion, pursuant to Section 6.2 of the Unitholder Agreement. Such waiver is granted with respect to the Partnership’s Public Offering as described herein.

[signature page follows]

 

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IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be executed by its duly authorized officer as of the date first written above.

 

INERGY HOLDINGS, L.P.

By:

  Inergy Holdings GP, LLC, its General Partner
By:   /s/ Laura L. Ozenberger
  Laura L. Ozenberger
  Vice President, General Counsel and Secretary
HOLDERS:

 

  /s/ JOHN J. SHERMAN
    JOHN J. SHERMAN, Trustee of the John J. Sherman 2005 Grantor Retained Annuity Trust II under Trust Indenture dated March 31, 2005

 

  /s/ JOHN J. SHERMAN
    JOHN J. SHERMAN, Trustee of the John Joseph Sherman Revocable Trust under Trust Indenture dated May 4, 1994

 

  /s/ DAVID G. DEHAEMERS
    DAVID G. DEHAEMERS, JR.

 

  /s/ DAVID G. DEHAEMERS
    DAVID G. DEHAEMERS, JR., Trustee of the David G. Dehaemers, Jr. 2005 Grantor Retained Annuity Trust under Trust Indenture dated March 31, 2005

 

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  /s/ PAUL E. McLAUGHLIN
    PAUL E. McLAUGHLIN, Trustee of the Paul E. McLaughlin Revocable Trust under Trust Indenture dated April 24, 2003

 

  /s/ PAUL E. McLAUGHLIN
    PAUL E. McLAUGHLIN, Trustee of the Paul E. McLaughlin 2005 Grantor Retained Annuity Trust under Trust Indenture dated March 31, 2005

 

  /s/ PHILLIP L. ELBERT
    PHILLIP L. ELBERT

 

  /s/ PHILLIP L. ELBERT
    PHILLIP L. ELBERT, Trustee of the Charles W. Elbert Trust under Trust Indenture dated March 31, 2005

 

  /s/ PHILLIP L. ELBERT
    PHILLIP L. ELBERT, Trustee of the Lauren E. Elbert Trust under Trust Indenture dated March 31, 2005

 

  /s/ R. BROOKS SHERMAN
    R. BROOKS SHERMAN, JR.

 

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Exhibit A

 

Holder of Record

  

Common Units

to be Sold

   Total Common
Unit Ownership

John J. Sherman, Trustee of the John J. Sherman Revocable Trust dated May 4, 1994*

   340,173    8,021,604
John J. Sherman and Mary N. Sherman, Trustees of the John J. Sherman 2005 Grantor Retained Annuity Trust II Under Trust Indenture Dated March 31, 2005*    275,896    275,896
Paul E. McLaughlin and Jonalee Y. McLaughlin, Trustees of the Paul E. McLaughlin 2005 Grantor Retained Annuity Trust Under Trust Indenture Dated March 31, 2005**    16,000    241,350
Paul E. McLaughlin and Jonalee McLaughlin, Trustees of the Paul E. McLaughlin Revocable Trust UTI dated April 24, 2003**    54,000    826,205
David G. Dehaemers, Jr.*    425,000    1,413,426
David G. Dehaemers, Jr. and Barbara C. Dehaemers, Trustees of the David G. Dehaemers, Jr. 2005 Grantor Retained Annuity Trust Under Trust Indenture Dated March 31, 2005*    75,000    107,272

Phillip L. Elbert*

   173,707    868,538
Phillip L. Elbert and Kristin O. Elbert, Trustees of the Charles W. Elbert Trust Under Trust Indenture Dated March 31, 2005*    20,112    40,225
Phillip L. Elbert and Kristin O. Elbert, Trustees of the Lauren E. Elbert Trust Under Trust Indenture Dated March 31, 2005*    20,112    40,225
R. Brooks Sherman, Jr.*    100,000    462,558
         
   1,500,000    13,007,741
         

* The notice address is Two Brush Creek Boulevard, Suite 200, Kansas City, MO 64112

 

** The notice address is 4608 NW 82nd Terrace, Kansas City, MO 64151

 

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Exhibit B

 

Option Holder

  

Common Units

to be Sold

John J. Sherman, Trustee of the John J. Sherman Revocable Trust dated May 4, 1994*

   180,827

 

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