X0201 4 2004-01-26 0 0000054502 KINDER MORGAN INC KMI 0001231210 WATSON DANIEL E KINDER & MORGAN 370 VAN GORDON STREET LAKEWOOD CO 80228 0 1 0 0 Vice President Common Stock 2004-01-26 4 M 0 10500 23.8125 A 44326 D Common Stock 2004-01-26 4 S 0 10500 61.67 D 33826 D Stock Option (Right to Buy) 23.8125 2004-01-26 4 M 0 10500 23.8125 D 2003-10-08 2009-10-08 Common Stock 10500 21000 D Includes: (i) 1,000 shares subject to forfeiture restrictions that lapse in 500 share increments on 1/17/04 and 1/17/05; (ii) 1,500 shares subject to forfeiture that lapse in 500 share increments on 1/16/04, 1/16/05 and 1/16/06; and (iii) 20,000 shares subject to (a) forfeiture restrictions that lapse on 25% of such shares on 7/16/06 and on 75% of such shares on 7/16/08 and (b) performance targets for issuer or its affiliates. Also includes 239 shares received under a tax conditioned employee stock purchase plan. /s/ Daniel E. Watson 2004-01-27