Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
(b), (c), (d) Effective October 1, 2009, the Board of Directors of our general
partner, Western Gas Holdings, LLC (the "General Partner"), appointed Donald R.
Sinclair to serve as President and as a director of the General Partner.
Mr. Sinclair, age 51, most recently was a founding partner and served as
President of Ceritas Energy, LLC, a midstream energy company headquartered in
Houston, from February 2003 to September 2009. From April 1997 to September 1998
Mr. Sinclair was President of Duke Energy Trading and Marketing LLC, and served
as Chairman of the Energy Risk Committee for Duke Energy Corporation. Prior to
joining Duke, Mr. Sinclair served as Senior Vice President of Tenneco Energy and
as President of Tenneco Energy Resources. Previously, as one of the original
principals and officers at Dynegy Inc. (formerly NGC Corporation), he served for
eight years in various officer positions, including Senior Vice President and
Chief Risk Officer, where he was in charge of all risk management activities and
commercial operations.
In addition, also effective October 1, 2009, Robert G. Gwin has been appointed
as Chairman of the Board and Chief Executive Officer of the General Partner.
Danny J. Rea will continue in his role as Senior Vice President and Chief
Operating Officer of the General Partner but has ceased service as a director,
and R.A. Walker will continue as a director of the General Partner.
(e) In connection with Mr. Sinclair's appointment, the expected portion of
Mr. Sinclair's compensation that will be allocable to the Partnership by
Anadarko includes: (i) an annual base salary of approximately $225,000; (ii) a
bonus opportunity under Anadarko's annual incentive program with a target amount
equal to 60% of the above base salary; and (iii) an initial equity award under
the Western Gas Holdings, LLC Amended and Restated Equity Incentive Plan (the
"Plan") of 20,000 Unit Appreciation Rights, 20,000 Unit Value Rights and 20,000
Distribution Equivalent Rights, each of which generally vests in two equal
installments, on the second and fourth anniversaries of the date of the grant.
Mr. Sinclair will also be eligible to receive future equity awards in such
amounts under our equity-based compensation programs, to be determined by the
General Partner's Board of Directors, as described under the heading "Executive
Compensation - Compensation Discussion and Analysis - Elements of compensation"
in our Form 10-K for the year ended December 31, 2008, as filed with the
Securities and Exchange Commission on March 13, 2009. Mr. Sinclair is also
eligible to participate in Anadarko's other benefits, including welfare and
retirement benefits, severance benefits and change of control benefits,
compensation programs, and other benefits on the same basis as other eligible
Anadarko employees, and the Partnership will bear the expenses related to the
portion of such benefits allocable to the Partnership.
A copy of the news release relating to this disclosure is furnished herewith as
Exhibit 99.1.
Item 9.01 Financial Statements and Exhibits
Exhibit
Number Exhibit Title
99.1 Western Gas Partners, LP Press Release, dated October 1, 2009.
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