<Page>

                                                                     Exhibit 4.1
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                              COASTAL BANCORP, INC.

                                    INDENTURE

                        DATED AS OF ___________ ___, 2002

                              THE BANK OF NEW YORK

                                   AS TRUSTEE

                               JUNIOR SUBORDINATED
                         DEFERRABLE INTEREST DEBENTURES

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<Page>

TIE-SHEET

     of provisions of Trust Indenture Act of 1939 with the Indenture dated as of
________ __, 2002 between Coastal Bancorp, Inc. and The Bank of New York,
Trustee:

<Table>
<Caption>
ACT SECTION                                                  INDENTURE SECTION

<S>                                                              <C>
310(a)(1).................................................................6.09
310(a)(2) ................................................................6.09
310(a)(3)..................................................................N/A
310(a)(4)..................................................................N/A
310(a)(5)...........................................................6.10, 6.11
310(b).....................................................................N/A
310(c)....................................................................6.13
311(a) and (b).............................................................N/A
311(c)...........................................................4.01, 4.02(a)
312(a)....................................................................4.02
312(b) and (c)............................................................4.04
313(a)....................................................................4.04
313(b)(1).................................................................4.04
313(b)(2).................................................................4.04
313(c)....................................................................4.04
313(d)....................................................................4.04
314(a)....................................................................4.03
314(b).....................................................................N/A
314(c)(1) and (2).........................................................6.07
314(c)(3)..................................................................N/A
314(d) ....................................................................N/A
314(e)....................................................................6.07
314(f) ....................................................................N/A
315(a)(c) and (d).........................................................6.01
315(b) ...................................................................5.08
315(e) ...................................................................5.09
316(a)(1) ................................................................5.07
316(a)(2) .................................................................N/A
316(a) last sentence .....................................................2.09
316(b) ...................................................................9.02
317(a) ...................................................................5.05
317(b) ...................................................................6.05
318(a) ..................................................................13.08
</Table>

----------------
     THIS TIE-SHEET IS NOT PART OF THE INDENTURE AS EXECUTED.

<Page>

                                TABLE OF CONTENTS

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
                              ARTICLE I DEFINITIONS

     SECTION 1.01. Definitions............................................    1
     Additional Sums......................................................    1
     Affiliate............................................................    1
     Allocable Amounts....................................................    1
     Authenticating Agent.................................................    2
     Bankruptcy Law.......................................................    2
     Board of Directors...................................................    2
     Board Resolution.....................................................    2
     Business Day.........................................................    2
     Coastal Capital Trust I or the Trust.................................    2
     Commission...........................................................    2
     Common Securities....................................................    2
     Common Securities Guarantee..........................................    2
     Common Stock.........................................................    3
     Company..............................................................    3
     Company Request......................................................    3
     Compounded Interest..................................................    3
     Custodian............................................................    3
     Declaration..........................................................    3
     Default..............................................................    3
     Defaulted Interest...................................................    3
     Deferred Interest....................................................    3
     Definitive Securities................................................    3
     Depositary...........................................................    3
     Dissolution Event....................................................    3
     Event of Default.....................................................    3
     Exchange Act.........................................................    3
     Extended Interest Payment Period.....................................    4
     Global Security......................................................    4
     Indebtedness.........................................................    4
     Indenture............................................................    4
     Interest Payment Date................................................    4
     Investment Company Event.............................................    4
</Table>

--------------
     * THIS TABLE OF CONTENTS SHALL NOT, FOR ANY PURPOSE, BE DEEMED TO BE A PART
       OF THE INDENTURE.

                                        i
<Page>

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
     Maturity Date........................................................     4
     Mortgage.............................................................     4
     Non Book-Entry Preferred Securities..................................     5
     Officers.............................................................     5
     Officers' Certificate................................................     5
     Opinion of Counsel...................................................     5
     Other Debentures.....................................................     5
     Other Guarantees.....................................................     5
     Outstanding..........................................................     5
     Person...............................................................     6
     Predecessor Security.................................................     6
     Preferred Securities.................................................     6
     Preferred Securities Guarantee.......................................     6
     Principal Office of the Trustee......................................     6
     Property Trustee.....................................................     6
     Redemption Date......................................................     6
     Redemption Price.....................................................     7
     Regulatory Capital Event.............................................     7
     Responsible Officer..................................................     7
     Securities or Security...............................................     7
     Securities Act.......................................................     7
     Securityholder or holder of Securities...............................     7
     Security Register....................................................     7
     Senior and Subordinated Indebtedness.................................     7
     Special Event........................................................     8
     Subsidiary...........................................................     8
     Tax Event............................................................     8
     Trust Indenture Act of 1939..........................................     8
     Trustee..............................................................     8
     Trust Securities.....................................................     8
     Underwriting Agreement...............................................     9
     U.S. Government Obligations..........................................     9

                          ARTICLE II SECURITIES

     SECTION 2.01.   Forms Generally......................................     9
     SECTION 2.02.   Execution and Authentication.........................     9
     SECTION 2.03.   Form and Payment.....................................    10
     SECTION 2.04.   Global Security......................................    10
     SECTION 2.05.   Interest.............................................    12
     SECTION 2.06.   Transfer and Exchange................................    13
</Table>

                                       ii
<Page>

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
     SECTION 2.07.   Replacement Securities...............................    14
     SECTION 2.08.   Temporary Securities.................................    14
     SECTION 2.09.   Cancellation.........................................    15
     SECTION 2.10.   Defaulted Interest...................................    15
     SECTION 2.11.   CUSIP Numbers........................................    16

                 ARTICLE III PARTICULAR COVENANTS OF THE COMPANY

     SECTION 3.01.   Payment of Principal and Interest....................    16
     SECTION 3.02.   Offices for Notices and Payments, etc................    17
     SECTION 3.03.   Appointments to Fill Vacancies in Trustee's Office...    17
     SECTION 3.04.   Provision as to Paying Agent.........................    17
     SECTION 3.05.   Certificate to Trustee...............................    19
     SECTION 3.06.   Compliance with Consolidation Provisions.............    19
     SECTION 3.07.   Limitation on Dividends..............................    19
     SECTION 3.08.   Covenants as to Coastal Capital Trust I..............    20
     SECTION 3.09.   Payment of Expenses..................................    20
     SECTION 3.10.   Payment Upon Resignation or Removal..................    21
     SECTION 3.11.   Corporate Existence..................................    21
     SECTION 3.12.   Notice of Default....................................    21
     SECTION 3.13.   Listing on an Exchange...............................    21

              ARTICLE IV SECURITYHOLDERS' LISTS AND REPORTS BY THE
                             COMPANY AND THE TRUSTEE

     SECTION 4.01.   Securityholders' Lists...............................    22
     SECTION 4.02.   Preservation and Disclosure of Lists.................    22
     SECTION 4.03.   Reports by Company...................................    24
     SECTION 4.04.   Reports by the Trustee...............................    24

              ARTICLE V REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS
                               ON EVENT OF DEFAULT

     SECTION 5.01.   Events of Default....................................    25
     SECTION 5.02.   Payment of Securities on Default; Suit Therefor......    27
     SECTION 5.03.   Application of Moneys Collected by Trustee...........    29
     SECTION 5.04.   Proceedings by Securityholders.......................    29
     SECTION 5.05.   Proceedings by Trustee...............................    30
     SECTION 5.06.   Remedies Cumulative and Continuing...................    30
     SECTION 5.07.   Direction of Proceedings and Waiver of Defaults by
                     Majority of Securityholders..........................    31
     SECTION 5.08.   Notice of Defaults...................................    32
</Table>

                                       iii
<Page>

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
     SECTION 5.09.   Undertaking to Pay Costs.............................    32
     SECTION 5.10.   Waiver of Stay, Extension or Usury Laws..............    32

                        ARTICLE VI CONCERNING THE TRUSTEE

     SECTION 6.01.   Duties and Responsibilities of Trustee...............    33
     SECTION 6.02.   Reliance on Documents, Opinions, etc.................    34
     SECTION 6.03.   No Responsibility for Recitals, etc..................    36
     SECTION 6.04.   Trustee, Authenticating Agent, Paying Agents, Transfer
                     Agents or Registrar May Own Securities...............    36
     SECTION 6.05.   Moneys to be Held in Trust...........................    36
     SECTION 6.06.   Compensation and Expenses of Trustee.................    37
     SECTION 6.07.   Officers' Certificate as Evidence....................    37
     SECTION 6.08.   Conflicting Interest of Trustee......................    38
     SECTION 6.09.   Eligibility of Trustee...............................    38
     SECTION 6.10.   Resignation or Removal of Trustee....................    38
     SECTION 6.11.   Acceptance by Successor Trustee......................    40
     SECTION 6.12.   Succession by Merger, etc............................    41
     SECTION 6.13.   Limitation on Rights of Trustee as a Creditor........    41
     SECTION 6.14.   Authenticating Agents................................    42

                   ARTICLE VII CONCERNING THE SECURITYHOLDERS

     SECTION 7.01.   Action by Securityholders............................    43
     SECTION 7.02.   Proof of Execution by Securityholders................    43
     SECTION 7.03.   Who Are Deemed Absolute Owners.......................    44
     SECTION 7.04.   Securities Owned by Company Deemed Not Outstanding...    44
     SECTION 7.05.   Revocation of Consents; Future Holders Bound.........    45

                     ARTICLE VIII SECURITYHOLDERS' MEETINGS

     SECTION 8.01.   Purposes of Meetings.................................    45
     SECTION 8.02.   Call of Meetings by Trustee..........................    46
     SECTION 8.03.   Call of Meetings by Company or Securityholders.......    46
     SECTION 8.04.   Qualifications for Voting............................    46
     SECTION 8.05.   Regulations..........................................    46
     SECTION 8.06.   Voting...............................................    47

                              ARTICLE IX AMENDMENTS

     SECTION 9.01.   Without Consent of Securityholders...................    47
     SECTION 9.02.   With Consent of Securityholders......................    49
     SECTION 9.03.   Compliance with Trust Indenture Act; Effect of
                     Supplemental Indentures..............................    50
</Table>

                                       iv
<Page>

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
     SECTION 9.04.   Notation on Securities...............................    50
     SECTION 9.05.   Evidence of Compliance of Supplemental Indenture to
                     be Furnished Trustee.................................    50

           ARTICLE X CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE

     SECTION 10.01.  Company May Consolidate, etc., on Certain Terms......    50
     SECTION 10.02.  Successor Corporation to be Substituted for Company..    51
     SECTION 10.03.  Opinion of Counsel to be Given Trustee...............    52

           ARTICLE XI SATISFACTION AND DISCHARGE OF INDENTURE

     SECTION 11.01.  Discharge of Indenture...............................    52
     SECTION 11.02.  Deposited Moneys and U.S. Government Obligations to
                     be Held in Trust by Trustee..........................    53
     SECTION 11.03.  Paying Agent to Repay Moneys Held....................    53
     SECTION 11.04.  Return of Unclaimed Moneys...........................    53
     SECTION 11.05.  Defeasance Upon Deposit of Moneys or U.S. Government
                     Obligations..........................................    53

              ARTICLE XII IMMUNITY OF INCORPORATORS, STOCKHOLDERS,
                             OFFICERS AND DIRECTORS

     SECTION 12.01.  Indenture and Securities Solely Corporate Obligation.    55

                  ARTICLE XIII MISCELLANEOUS PROVISIONS

     SECTION 13.01.  Successors...........................................    56
     SECTION 13.02.  Official Acts by Successor Corporation...............    56
     SECTION 13.03.  Surrender of Company Powers..........................    56
     SECTION 13.04.  Addresses for Notices, etc...........................    56
     SECTION 13.05.  Governing Law........................................    57
     SECTION 13.06.  Evidence of Compliance with Conditions Precedent.....    57
     SECTION 13.07.  Business Days .......................................    57
     SECTION 13.08.  Trust Indenture Act to Control.......................    57
     SECTION 13.09.  Table of Contents, Headings, etc.....................    58
     SECTION 13.10.  Execution in Counterparts............................    58
     SECTION 13.11.  Separability.........................................    58
     SECTION 13.12.  Assignment...........................................    58
     SECTION 13.13.  Acknowledgment of Rights.............................    58
</Table>

                                        v
<Page>

<Table>
<Caption>
                                                                            PAGE
     <S>                                                                      <C>
                      ARTICLE XIV REDEMPTION OF SECURITIES

     SECTION 14.01.  Special Event Redemption.............................    59
     SECTION 14.02.  Optional Redemption by Company.......................    59
     SECTION 14.03.  No Sinking Fund......................................    60
     SECTION 14.04.  Notice of Redemption; Selection of Securities........    60
     SECTION 14.05.  Payment of Securities Called for Redemption..........    61

                 ARTICLE XV SUBORDINATION OF SECURITIES

     SECTION 15.01.  Agreement to Subordinate.............................    61
     SECTION 15.02.  Default on Senior and Subordinated Indebtedness......    62
     SECTION 15.03.  Liquidation; Dissolution; Bankruptcy.................    63
     SECTION 15.04.  Subrogation..........................................    64
     SECTION 15.05.  Trustee to Effectuate Subordination..................    65
     SECTION 15.06.  Notice by the Company................................    65
     SECTION 15.07.  Rights of the Trustee; Holders of Senior
                     and Subordinated Indebtedness........................    66
     SECTION 15.08.  Subordination May Not Be Impaired....................    67

            ARTICLE XVI EXTENSION OF INTEREST PAYMENT PERIOD

     SECTION 16.01.  Extension of Interest Payment Period.................    68
     SECTION 16.02.  Notice of Extension..................................    68

EXHIBIT A....................................................................A-1
</Table>

Testimonium
Signatures
Acknowledgments

                                       vi
<Page>

          THIS INDENTURE, dated as of __________, 2002, between Coastal Bancorp,
Inc., a Texas corporation (hereinafter sometimes called the "Company"), and The
Bank of New York, a New York banking corporation, as trustee (hereinafter
sometimes called the "Trustee"),

                              W I T N E S S E T H :

          In consideration of the premises, and the purchase of the Securities
by the holders thereof, the Company covenants and agrees with the Trustee for
the equal and proportionate benefit of the respective holders from time to time
of the Securities, as follows:

                                    ARTICLE I

                                   DEFINITIONS

          SECTION 1.01.  Definitions.

          The terms defined in this Section 1.01 (except as herein otherwise
expressly provided or unless the context otherwise requires) for all purposes of
this Indenture shall have the respective meanings specified in this Section
1.01. All other terms used in this Indenture which are defined in the Trust
Indenture Act of 1939, as amended (the "Trust Indenture Act"), or which are by
reference therein defined in the Securities Act, shall (except as herein
otherwise expressly provided or unless the context otherwise requires) have the
meanings assigned to such terms in said Trust Indenture Act and in said
Securities Act as in force at the date of this Indenture as originally executed.
The following terms have the meanings given to them in the Declaration: (i)
Clearing Agency; (ii) Delaware Trustee; (iii) Property Trustee; (iv)
Administrative Trustees; (v) Direct Action; and (vi) Distributions. All
accounting terms used herein and not expressly defined shall have the meanings
assigned to such terms in accordance with generally accepted accounting
principles and the term "generally accepted accounting principles" means such
accounting principles as are generally accepted at the time of any computation.
The words "herein", "hereof" and "hereunder" and other words of similar import
refer to this Indenture as a whole and not to any particular Article, Section or
other subdivision. Headings are used for convenience of reference only and do
not affect interpretation. The singular includes the plural and vice versa.

          "Additional Sums" shall have the meaning set forth in Section 2.05(c).

          "Affiliate" shall have the meaning given to that term in Rule 405
under the Securities Act or any successor rule thereunder.

          "Allocable Amounts" when used with respect to any Senior and
Subordinated Indebtedness, means all amounts due or to become due on such Senior
and Subordinated Indebtedness less, if applicable, any amount which would have
been paid to, and retained by, the holders of such Senior and Subordinated
Indebtedness (whether as a result of the receipt of payments by the holders of
such Senior and Subordinated Indebtedness from the Company or any other obligor
thereon or from any holders of, or trustee in respect of, other indebtedness
that

                                        1
<Page>

is subordinate and junior in right of payment to such Senior and Subordinated
Indebtedness pursuant to any provision of such indebtedness for the payment over
of amounts received on account of such indebtedness to the holders of such
Senior and Subordinated Indebtedness or otherwise) but for the fact that such
Senior and Subordinated Indebtedness is subordinated or junior in right of
payment to (or subject to a requirement that amounts received on such Senior and
Subordinated Indebtedness be paid over to obligees on) trade accounts payable or
accrued liabilities arising in the ordinary course of business.

          "Authenticating Agent" shall mean any agent or agents of the Trustee
which at the time shall be appointed and acting pursuant to Section 6.14.

          "Bankruptcy Law" shall mean Title 11, U.S. Code, or any similar
federal or state law for the relief of debtors.

          "Board of Directors" shall mean either the Board of Directors of the
Company or any duly authorized committee of that board.

          "Board Resolution" shall mean a copy of a resolution certified by the
Secretary or an Assistant Secretary of the Company to have been duly adopted by
the Board of Directors and to be in full force and effect on the date of such
certification, and delivered to the Trustee.

          "Business Day" shall mean, with respect to any series of Securities,
any day other than a Saturday or a Sunday or a day on which banking institutions
in the cities of New York, New York or Houston, Texas are authorized or required
by law or executive order to close.

          "Coastal Capital Trust I" or the "Trust" shall mean Coastal Capital
Trust I, a Delaware business trust created for the purpose of issuing its
undivided beneficial interests in connection with the issuance of Securities
under this Indenture.

          "Commission" shall mean the Securities and Exchange Commission, as
from time to time constituted or created under the Exchange Act, or if at any
time after the execution of this Indenture such Commission is not existing and
performing the duties now assigned to it under the Trust Indenture Act, then the
body performing such duties at such time.

          "Common Securities" shall mean undivided beneficial interests in the
assets of Coastal Capital Trust I which rank PARI PASSU with Preferred
Securities issued by Coastal Capital Trust I; PROVIDED, HOWEVER, that if an
Event of Default has occurred and is continuing, no payments in respect of
Distributions on, or payments upon liquidation, redemption or otherwise with
respect to, the Common Securities shall be made until the holders of the
Preferred Securities shall be paid in full the Distributions and the
liquidation, redemption and other payments to which they are entitled.

          "Common Securities Guarantee" shall mean any guarantee that the
Company may enter into with any Person or Persons that operates directly or
indirectly for the benefit of holders of Common Securities of Coastal Capital
Trust I.

                                        2
<Page>

          "Common Stock" shall mean the Common Stock, par value $.01 per share,
of the Company or any other class of stock resulting from changes or
reclassifications of such Common Stock consisting solely of changes in par
value, or from par value to no par value, or from no par value to par value.

          "Company" shall mean Coastal Bancorp, Inc., a Texas corporation, and,
subject to the provisions of Article X, shall include its successors and
assigns.

          "Company Request" or "Company Order" shall mean a written request or
order signed in the name of the Company by an Officer of the Company, and
delivered to the Trustee.

          "Compounded Interest" shall have the meaning set forth in Section
16.01.

          "Custodian" shall mean any receiver, trustee, assignee, liquidator, or
similar official under any Bankruptcy Law.

          "Declaration" means the Amended and Restated Declaration of Trust of
Coastal Capital Trust I, dated as of ___________ ___, 2002, as amended from time
to time.

          "Default" means any event, act or condition that with notice or lapse
of time, or both, would constitute an Event of Default.

          "Defaulted Interest" shall have the same meaning set forth in Section
2.10.

          "Deferred Interest" shall have the meaning set forth in Section 16.01.

          "Definitive Securities" shall mean those securities issued in fully
registered certificated form not otherwise in global form.

          "Depositary" shall mean, with respect to Securities, for which the
Company shall determine that such Securities will be issued as a Global
Security, The Depository Trust Company, New York, New York, another clearing
agency, or any successor registered as a clearing agency under the Exchange Act
or other applicable statute or regulation, which, in each case, shall be
designated by the Company pursuant to Section 2.04(d).

          "Dissolution Event" means the liquidation of Coastal Capital Trust I
pursuant to the Declaration, and the distribution of the Securities held by the
Property Trustee to the holders of the Trust Securities issued by Coastal
Capital Trust I PRO RATA in accordance with the Declaration.

          "Event of Default" shall mean any event specified in Section 5.01,
continued for the period of time, if any, and after the giving of the notice, if
any, therein designated.

          "Exchange Act" shall mean the Securities Exchange Act of 1934, as
amended.

                                        3
<Page>

          "Extended Interest Payment Period" shall have the meaning set forth in
Section 16.01.

          "Global Security" means, with respect to the Securities, a Security
executed by the Company and delivered by the Trustee to the Depositary or
pursuant to the Depositary's instruction, all in accordance with the Indenture,
which shall be registered in the name of the Depositary or its nominee.

          "Indebtedness" shall mean with respect to any Person, whether recourse
is to all or a portion of the assets of such Person and whether or not
contingent, (i) every obligation of such Person for money borrowed; (ii) every
obligation of such Person evidenced by bonds, debentures, notes or other similar
instruments, including obligations incurred in connection with the acquisition
of property, assets or businesses; (iii) every reimbursement obligation of such
Person with respect to letters of credit, bankers' acceptances or similar
facilities issued for the account of such Person; (iv) every obligation of such
Person issued or assumed as the deferred purchase price of property or services
(but excluding trade accounts payable or accrued liabilities arising in the
ordinary course of business); (v) every capital lease obligation of such Person;
(vi) all indebtedness of such Person whether incurred on or prior to the date of
the Indenture or thereafter incurred, for claims in respect of derivative
products, including interest rate, foreign exchange rate and commodity forward
contracts, options and swaps and similar arrangements; and (vii) every
obligation of the type referred to in clauses (i) through (vi) of another Person
and all dividends of another Person the payment of which, in either case, such
Person has guaranteed or is responsible or liable, directly or indirectly, as
obligor or otherwise.

          "Indenture" shall mean this instrument as originally executed or, if
amended as herein provided, as so amended.

          "Interest Payment Date" shall have the meaning set forth in Section
2.05(a).

          "Investment Company Event" means the receipt by Coastal Capital Trust
I and the Company of an Opinion of Counsel, rendered by a law firm experienced
in such matters, to the effect that, as a result of change in law or regulation
or a change in interpretation or application of law or regulation by any
legislative body, court, governmental agency or regulatory authority, Coastal
Capital Trust I is or will be considered an "investment company" that is
required to be registered under the Investment Company Act of 1940, as amended,
which change becomes effective on or after the date of original issuance of the
Preferred Securities of Coastal Capital Trust I.

          "Maturity Date" shall mean _____________ ___, 2032, or such shorter
period if the Company receives prior regulatory approval if then required under
applicable capital guidelines or regulatory policies.

          "Mortgage" shall mean and include any mortgage, pledge, lien, security
interest, conditional sale or other title retention agreement or other similar
encumbrance.

                                        4
<Page>

          "Non Book-Entry Preferred Securities" shall have the meaning set forth
in Section 2.04(a)(ii).

          "Officer" shall mean any of the Chairman, a Vice Chairman, the Chief
Executive Officer, the President, the Chief Financial Officer, a Vice President,
the Comptroller, the Secretary or an Assistant Secretary of the Company.

          "Officers' Certificate" shall mean a certificate signed by two
Officers and delivered to the Trustee.

          "Opinion of Counsel" shall mean a written opinion of counsel, who may
be an employee of the Company unless otherwise provided herein, and who shall be
acceptable to the Trustee.

          "Other Debentures" means all junior subordinated debentures issued by
the Company from time to time and sold to trusts established or to be
established by the Company, in each case similar to the Trust.

          "Other Guarantees" means all guarantees issued or to be issued by the
Company with respect to preferred securities and issued to other trusts to be
established by the Company, in each case similar to the Trust.

          "Outstanding", when used with reference to Securities, shall, subject
to the provisions of Section 7.04, mean, as of any particular time, all
Securities authenticated and delivered by the Trustee or the Authenticating
Agent under this Indenture, except

          (a)  Securities theretofore canceled by the Trustee or the
               Authenticating Agent or delivered to the Trustee for
               cancellation;

          (b)  Securities, or portions thereof, for the payment or redemption of
               which moneys in the necessary amount shall have been deposited in
               trust with the Trustee or with any paying agent (other than the
               Company) or shall have been set aside and segregated in trust by
               the Company (if the Company shall act as its own paying agent);
               provided that, if such Securities, or portions thereof, are to be
               redeemed prior to maturity thereof, notice of such redemption
               shall have been given as in Article XIV provided or provision
               satisfactory to the Trustee shall have been made for giving such
               notice; and

          (c)  Securities in lieu of or in substitution for which other
               Securities shall have been authenticated and delivered pursuant
               to the terms of Section 2.08 unless proof satisfactory to the
               Company and the Trustee is presented that any such Securities are
               held by bona fide holders in due course;

PROVIDED, HOWEVER, that in determining whether the Holders of the requisite
principal amount of Outstanding Securities have given any request, demand,
authorization, direction, notice, consent

                                        5
<Page>

or waiver hereunder, Securities owned by the Company or any other obligor upon
the Securities or any Affiliate of the Company or such other obligor shall be
disregarded and deemed not to be Outstanding, except that, in determining
whether the Trustee shall be protected in relying upon any such request, demand,
authorization, direction, notice, consent or waiver, only Securities which the
Trustee actually knows to be so owned shall be so disregarded. Securities so
owned which have been pledged in good faith may be regarded as Outstanding if
the pledgee establishes to the satisfaction of the Trustee the pledgee's right
so to act with respect to such Securities and that the pledgee is not the
Company or any other obligor upon the Securities or any Affiliate of the Company
or such other obligor. Upon the written request of the Trustee, the Company
shall furnish to the Trustee promptly an Officers' Certificate listing and
identifying all Securities, if any, known by the Company to be owned or held by
or for the account of the Company, or any other obligor on the Securities or any
Affiliate of the Company or such obligor, and, subject to the provisions of
Section 6.01, the Trustee shall be entitled to accept such Officers' Certificate
as conclusive evidence of the facts therein set forth and of the fact that all
Securities not listed therein are Outstanding for the purpose of any such
determination.

          "Person" shall mean any individual, corporation, estate, partnership,
joint venture, association, joint-stock company, limited liability company,
trust, unincorporated organization or government or any agency or political
subdivision thereof.

          "Predecessor Security" of any particular Security means every previous
Security evidencing all or a portion of the same debt as that evidenced by such
particular Security; and, for the purposes of this definition, any Security
authenticated and delivered under Section 2.07 in lieu of a lost, destroyed or
stolen Security shall be deemed to evidence the same debt as the lost, destroyed
or stolen Security.

          "Preferred Securities" shall mean undivided beneficial interests in
the assets of Coastal Capital Trust I which rank PARI PASSU with the Common
Securities issued by Coastal Capital Trust I; PROVIDED, HOWEVER, that if an
Event of Default has occurred and is continuing, no payments in respect of
Distributions on, or payments upon liquidation, redemption or otherwise with
respect to, the Common Securities shall be made until the holders of the
Preferred Securities shall be paid in full the Distributions and the
liquidation, redemption and other payments to which they are entitled.

          "Preferred Securities Guarantee" shall mean any guarantee that the
Company may enter into with The Bank of New York as trustee or other Persons
that operates directly or indirectly for the benefit of holders of Preferred
Securities.

          "Principal Office of the Trustee", or other similar term, shall mean
the office of the Trustee, at which at any particular time its corporate trust
business shall be principally administered.

          "Property Trustee" shall have the same meaning as set forth in the
Declaration.

          "Redemption Date" when used with respect to any Security to be
redeemed, means the date fixed for such redemption by or pursuant to this
Indenture.

                                        6
<Page>

          "Redemption Price" when used with respect to any Security to be
redeemed, means the price at which it is to be redeemed pursuant to this
Indenture.

          "Regulatory Capital Event" means that the Company shall have received
an opinion of independent bank regulatory counsel experienced in such matters to
the effect that, as a result of (a) any amendment to, or change (including any
announced prospective change) in, the laws (or any regulations thereunder) of
the United States or any rules, guidelines or policies of applicable regulatory
agencies or (b) any official administrative pronouncement or judicial decision
interpreting or applying such laws or regulations, which amendment or change is
effective or such pronouncement or decision is announced on or after the date of
this Indenture, there is more than an insubstantial risk that the Company will
not, within 90 days of the date of such opinion, be entitled to treat an amount
equal to the aggregate liquidation amount of the Preferred Securities as Tier I
Capital (or its then equivalent if the Company were subject to such capital
requirement) applied as if the Company (or its successor) were a bank holding
company for purposes of the capital adequacy guidelines of the Board of
Governors of the Federal Reserve (or any successor regulatory authority with
jurisdiction over bank holding companies), or any capital adequacy guidelines as
then in effect and applicable to the Company.

          "Responsible Officer" shall mean any officer in the corporate trust
department of the Trustee with direct responsibility for the administration of
the Indenture and also means, with respect to a particular corporate trust
matter, any other officer to whom such matter is referred because of his
knowledge of and familiarity with the particular subject.

          "Securities" or "Security" mean, any debt securities or debt security,
as the case may be, authenticated and delivered under this Indenture.

          "Securities Act" shall mean the Securities Act of 1933, as amended.

          "Securityholder" or "holder of Securities", or other similar terms,
shall mean any Person in whose name at the time a particular Security is
registered on the register kept by the Company or the Trustee for that purpose
in accordance with the terms hereof.

          "Security Register" shall have the meaning specified in Section 2.06.

          "Senior and Subordinated Indebtedness" means the principal of (and
premium, if any) and interest, if any (including interest accruing on or after
the filing of any petition in bankruptcy or for reorganization relating to the
Company whether or not such claim for post-petition interest is allowed in such
proceeding), on Indebtedness of the Company, whether incurred on or prior to the
date of this Indenture or thereafter incurred, unless, in the instrument
creating or evidencing the same or pursuant to which the same is outstanding it
is provided that such obligations are not superior in right of payment to the
Securities or other Indebtedness which is PARI PASSU with, or subordinated to,
the Securities, PROVIDED, HOWEVER, that Senior and Subordinated Indebtedness
shall not be deemed to include (a) any Indebtedness of the Company which, when
incurred and without respect to any election under Section 1111(b) of the
Bankruptcy Reform Act of 1978, as amended, was without recourse to the Company,
(b) any

                                        7
<Page>

Indebtedness of the Company to any of its Subsidiaries, (c) Indebtedness to any
employee of the Company, and (d) any Securities.

          "Special Event" means either an Investment Company Event, a Regulatory
Capital Event or a Tax Event.

          "Subsidiary" shall mean with respect to any Person, (i) any
corporation at least a majority of the outstanding voting stock of which is
owned, directly or indirectly, by such Person or by one or more of its
Subsidiaries, or by such Person and one or more of its Subsidiaries, (ii) any
general partnership, joint venture or similar entity, at least a majority of
whose outstanding partnership or similar interests shall at the time be owned by
such Person, or by one or more of its Subsidiaries, or by such Person and one or
more of its Subsidiaries and (iii) any limited partnership of which such Person
or any of its Subsidiaries is a general partner. For the purposes of this
definition, "voting stock" means shares, interests, participation or other
equivalents in the equity interest (however designated) in such Person having
ordinary voting power for the election of a majority of the directors (or the
equivalent) of such Person, other than shares, interests, participation or other
equivalents having such power only by reason of the occurrence of a contingency.

          "Tax Event" shall mean the receipt by Coastal Capital Trust I and the
Company of an opinion of counsel experienced in such matters to the effect that,
as a result of any amendment to, or change (including any announced prospective
change) in, the laws or any regulations thereunder of the United States or any
political subdivision or taxing authority thereof or therein or as a result of
any official administrative pronouncement or judicial decision interpreting or
applying such laws or regulations, which amendment or change is effective or
which pronouncement or decision is announced on or after the date of this
Indenture, there is more than an insubstantial risk that (i) Coastal Capital
Trust I is, or will be within 90 days of the date of such opinion, subject to
United States Federal income tax with respect to income received or accrued on
the Securities, (ii) interest payable by the Company on the Securities is not,
or within 90 days of the date of such opinion, will not be, deductible by the
Company, in whole or in part, for United States Federal income tax purposes or
(iii) Coastal Capital Trust I is, or will be within 90 days of the date of such
opinion, subject to more than a DE MINIMIS amount of other taxes, duties or
other governmental charges.

          "Trust Indenture Act of 1939 " shall mean the Trust Indenture Act of
1939 as in force at the date of execution of this Indenture; PROVIDED, HOWEVER,
that, in the event the Trust Indenture Act of 1939 is amended after such date,
"Trust Indenture Act of 1939" shall mean, to the extent required by any such
amendment, the Trust Indenture Act of 1939 as so amended.

          "Trustee" shall mean the Person identified as "Trustee" in the first
paragraph hereof, and, subject to the provisions of Article VI hereof, shall
also include its successors and assigns as Trustee hereunder. The term "Trustee"
as used with respect to a particular series of the Securities shall mean the
trustee with respect to that series.

          "Trust Securities" shall mean the Preferred Securities and the Common
Securities, collectively.

                                        8
<Page>

          "Underwriting Agreement" shall mean the Underwriting Agreement dated
___________ __, 2002 among the Company, Coastal Capital Trust I and the
underwriters named therein.

          "U.S. Government Obligations" shall mean securities that are (i)
direct obligations of the United States of America for the payment of which its
full faith and credit is pledged or (ii) obligations of a Person controlled or
supervised by and acting as an agency or instrumentality of the United States of
America the payment of which is unconditionally guaranteed as a full faith and
credit obligation by the United States of America, which, in either case under
clauses (i) or (ii) are not callable or redeemable at the option of the issuer
thereof, and shall also include a depository receipt issued by a bank or trust
company as custodian with respect to any such U.S. Government Obligation or a
specific payment of interest on or principal of any such U.S. Government
Obligation held by such custodian for the account of the holder of a depository
receipt, provided that (except as required by law) such custodian is not
authorized to make any deduction from the amount payable to the holder of such
depository receipt from any amount received by the custodian in respect of the
U.S. Government Obligation or the specific payment of interest on or principal
of the U.S. Government Obligation evidenced by such depository receipt.

                                   ARTICLE II

                                   SECURITIES

          SECTION 2.01.  Forms Generally.

          The Securities and the Trustee's certificate of authentication shall
be substantially in the form of EXHIBIT A, the terms of which are incorporated
in and made a part of this Indenture. The Securities may have notations, legends
or endorsements required by law, stock exchange rule, agreements to which the
Company is subject or usage. Each Security shall be dated the date of its
authentication. The Securities shall be issued in denominations of $25 and
integral multiples thereof.

          SECTION 2.02.  Execution and Authentication

          The Securities shall be executed on behalf of the Company by a duly
authorized Officer and attested by a Secretary or an Assistant Secretary. The
signature of any such person on the Securities may be manual or facsimile. If an
Officer whose signature is on a Security no longer holds that office at the time
the Security is authenticated, the Security shall nevertheless be valid.

          A Security shall not be valid until authenticated by the manual
signature of the Trustee. The signature of the Trustee shall be conclusive
evidence that the Security has been authenticated under this Indenture. The form
of Trustee's certificate of authentication to be borne by the Securities shall
be substantially as set forth in EXHIBIT A hereto.

                                        9
<Page>

          The Trustee shall, upon a Company Order, authenticate for original
issue up to, and the aggregate principal amount of Securities outstanding at any
time may not exceed $__________ aggregate principal amount of the Securities
except as provided in Sections 2.06, 2.07, 2.08 and 14.05.

          SECTION 2.03.  Form and Payment.

          Except as provided in Section 2.04, the Securities shall be issued in
fully registered certificated form without interest coupons. Principal of and
interest on the Securities issued in certificated form will be payable, the
transfer of such Securities will be registrable and such Securities will be
exchangeable for Securities bearing identical terms and provisions at the office
or agency of the Company maintained for such purpose under Section 3.02;
PROVIDED, HOWEVER, that payment of interest with respect to Securities (other
than a Global Security) may be made at the option of the Company (i) by check
mailed to the holder at such address as shall appear in the Security Register or
(ii) by transfer to an account maintained by the Person entitled thereto,
provided that proper transfer instructions have been received in writing by the
relevant record date.

          SECTION 2.04.  Global Security.

          (a) In connection with a Dissolution Event.

               (i)  if any Preferred Securities are held in book-entry form, the
     related Definitive Securities shall be presented to the Trustee (if an
     arrangement with the Depositary has been maintained) by the Property
     Trustee in exchange for one or more Global Securities (as may be required
     pursuant to Section 2.06) in an aggregate principal amount equal to the
     aggregate principal amount of all outstanding Securities, to be registered
     in the name of the Depositary, or its nominee, and delivered by the Trustee
     to the Depositary for crediting to the accounts of its participants
     pursuant to the instructions of the Administrative Trustees; the Company
     upon any such presentation shall execute one or more Global Securities in
     such aggregate principal amount and deliver the same to the Trustee for
     authentication and delivery in accordance with this Indenture; and payments
     on the Securities issued as a Global Security will be made to the
     Depositary; and

               (ii) if any Preferred Securities are held in certificated form,
     the related Definitive Securities may be presented to the Trustee by the
     Property Trustee and any Preferred Security certificate which represents
     Preferred Securities other than Preferred Securities in book-entry form
     ("Non Book-Entry Preferred Securities") will be deemed to represent
     beneficial interests in Securities presented to the Trustee by the Property
     Trustee having an aggregate principal amount equal to the aggregate
     liquidation amount of the Non Book-Entry Preferred Securities until such
     Preferred Security certificates are presented to the Security Registrar for
     transfer or reissuance, at which time such Preferred Security certificates
     will be canceled and a Security, registered in the name of the holder of
     the Preferred Security certificate or the transferee of the holder of such
     Preferred Security certificate, as the case may be, with an aggregate
     principal amount

                                       10
<Page>

     equal to the aggregate liquidation amount of the Preferred Security
     certificate canceled, will be executed by the Company and delivered to the
     Trustee for authentication and delivery in accordance with this Indenture.
     Upon the issuance of such Securities, Securities with an equivalent
     aggregate principal amount that were presented by the Property Trustee to
     the Trustee will be canceled.

          (b) The Global Securities shall represent the aggregate amount of
outstanding Securities from time to time endorsed thereon; PROVIDED, that the
aggregate amount of outstanding Securities represented thereby may from time to
time be reduced or increased, as appropriate, to reflect exchanges and
redemptions. Any endorsement of a Global Security to reflect the amount of any
increase or decrease in the amount of outstanding Securities represented thereby
shall be made by the Trustee, in accordance with instructions given by the
Company as required by this Section 2.04.

          (c) The Global Securities may be transferred, in whole but not in
part, only to the Depositary, another nominee of the Depositary, or to a
successor Depositary selected or approved by the Company or to a nominee of such
successor Depositary.

          (d) If at any time the Depositary notifies the Company that it is
unwilling or unable to continue as Depositary or the Depositary has ceased to be
a clearing agency registered under the Exchange Act, and a successor Depositary
is not appointed by the Company within 90 days after the Company receives such
notice or becomes aware of such condition, as the case may be, the Company will
execute, and the Trustee, upon receipt of a Company Order, will authenticate and
make available for delivery the Definitive Securities, in authorized
denominations, and in an aggregate principal amount equal to the principal
amount of the Global Security in exchange for such Global Security. If there is
an Event of Default, the Depositary shall have the right to exchange the Global
Securities for Definitive Securities. In addition, the Company may at any time
determine that the Securities shall no longer be represented by a Global
Security. In the event of such an Event of Default or such a determination, the
Company shall execute, and subject to Section 2.06, the Trustee, upon receipt of
an Officers' Certificate evidencing such determination by the Company and a
Company Order, will authenticate and make available for delivery the Definitive
Securities, in authorized denominations, and in an aggregate principal amount
equal to the principal amount of the Global Security in exchange for such Global
Security. Upon the exchange of the Global Security for such Definitive
Securities, in authorized denominations, the Global Security shall be canceled
by the Trustee. Such Definitive Securities issued in exchange for the Global
Security shall be registered in such names and in such authorized denominations
as the Depositary, pursuant to instructions from its direct or indirect
participants or otherwise, shall instruct the Trustee. The Trustee shall deliver
such Definitive Securities to the Depositary for delivery to the Persons in
whose names such Definitive Securities are so registered.

                                       11
<Page>

          SECTION 2.05   Interest.

          (a) Each Security will bear interest at the rate of ____% per annum
(the "Coupon Rate") from the most recent date to which interest has been paid or
duly provided for or, if no interest has been paid or duly provided for, from
________ __, 2002, until the principal thereof becomes due and payable on the
next succeeding Interest Payment Date (as defined below), and at the Coupon Rate
on any overdue principal and (to the extent that payment of such interest is
enforceable under applicable law) on any overdue installment of interest,
compounded quarterly payable (subject to the provisions of Article XVI)
quarterly in arrears on the last day of March, June, September and December of
each year (each, an "Interest Payment Date") commencing on September 30, 2002,
to the Person in whose name such Security or any predecessor Security is
registered, at the close of business on the regular record date for such
interest installment, which shall be the Business Day next preceding such
Interest Payment Date; provided, however, that in the event that the Preferred
Securities are no longer in book-entry only form or this Security (or one or
more predecessor Securities) are not represented by a Global Security, the
record date for such payment shall be the fifteenth day of the month in which
such payment is due.

          (b) Interest will be computed on the basis of a 360-day year
consisting of twelve 30-day months and, for any period of less than a full
calendar quarter, the number of days lapsed in such quarter based upon 30-day
months. In the event that any Interest Payment Date falls on a day that is not a
Business Day, then payment of interest payable on such date will be made on the
next succeeding day which is a Business Day (and without any interest or other
payment in respect of any such delay), except that if such next succeeding
Business Day falls in the next succeeding calendar year, then such payment shall
be made on the immediately preceding Business Day, in each case with the same
force and effect as if made on such date.

          (c) During such time as the Property Trustee is the holder of any
Securities, the Company shall pay any additional amounts on the Securities as
may be necessary in order that the amount of Distributions then due and payable
by Coastal Capital Trust I on the outstanding Trust Securities shall not be
reduced as a result of any additional taxes, duties, assessments and other
governmental charges to which Coastal Capital Trust I or the Property Trustee
has become subject as a result of a Tax Event ("Additional Sums"). Whenever in
this Indenture or the Securities there is a reference in any context to the
payment of principal of or interest on the Securities, such mention shall be
deemed to include mention of the payments of the Additional Sums provided for in
this paragraph to the extent that, in such context, Additional Sums are, were or
would be payable in respect thereof pursuant to the provisions of this paragraph
and express mention of the payment of Additional Sums (if applicable) in any
provisions hereof shall not be construed as excluding Additional Sums in those
provisions hereof where such express mention is not made; PROVIDED, HOWEVER,
that the deferral of the payment of interest pursuant to Section 16.01 or the
Securities shall not defer the payment of any Additional Sums that may be due
and payable.

                                       12
<Page>

          SECTION 2.06.  Transfer and Exchange.

          The Company shall cause to be kept at the Principal Office of the
Trustee a register in which, subject to such reasonable regulations as it may
prescribe, the Company shall provide for the registration of Securities and of
transfers of Securities. Such register is herein sometimes referred to as the
"Securities Register."

          To permit registrations of transfers, the Company shall execute and
the Trustee shall authenticate Definitive Securities and Global Securities at
the Security Registrar's request. All Definitive Securities and Global
Securities issued upon any registration of transfer or exchange of Definitive
Securities or Global Securities shall be the valid obligations of the Company,
evidencing the same debt, and entitled to the same benefits under this
Indenture, as the Definitive Securities or Global Securities surrendered upon
such registration of transfer or exchange.

          Upon surrender for registration of transfer of any Security at the
office or agency of the Company designated for that purpose the Company shall
execute, and the Trustee shall authenticate and deliver, in the name of the
designated transferee or transferees, one or more new Securities of the same
series of any authorized denominations, of a like aggregate principal amount, of
the same original issue date and Stated Maturity Date and having the same terms.

          At the option of the holder, Securities may be exchanged for other
Securities of the same series of any authorized denominations, of a like
aggregate principal amount, of the same original issue date and Stated Maturity
Date and having the same terms, upon surrender of the Securities to be exchanged
at such office or agency. Whenever any securities are so surrendered for
exchange, the Company shall execute, and the Trustee shall authenticate and
deliver, the Securities which the holder making the exchange is entitled to
receive.

          No service charge shall be made to a holder for any registration of
transfer or exchange, but the Company may require payment of a sum sufficient to
cover any transfer tax or similar governmental charge payable in connection
therewith.

          The Company shall not be required to (i) issue, register the transfer
of or exchange Securities during a period beginning at the opening of business
15 days before the day of mailing of a notice of redemption or any notice of
selection of Securities for redemption under Article XIV hereof and ending at
the close of business on the day of such mailing; or (ii) register the transfer
of or exchange any Security so selected for redemption in whole or in part,
except the unredeemed portion of any Security being redeemed in part.

          Prior to due presentment for the registration of a transfer of any
Security, the Trustee, the Company and any agent of the Trustee or the Company
may deem and treat the Person in whose name any Security is registered as the
absolute owner of such Security for the purpose of receiving payment of
principal of and interest on such Securities, neither the Trustee, nor the
Company nor any agent of the Trustee or the Company shall be affected by notice
to the contrary.

                                       13
<Page>

          SECTION 2.07.  Replacement Securities.

          If any mutilated Security is surrendered to the Trustee, or the
Company and the Trustee receive evidence to their satisfaction of the
destruction, loss or theft of any Security, the Company shall issue and the
Trustee shall authenticate a replacement Security if the Trustee's requirements
for replacements of Securities are met. An indemnity bond must be supplied by
the holder that is sufficient in the judgment of the Trustee and the Company to
protect the Company, the Trustee, any agent thereof or any authenticating agent
from any loss that any of them may suffer if a Security is replaced. The Company
or the Trustee may charge for its expenses in replacing a Security.

          Every replacement Security is an obligation of the Company and shall
be entitled to all of the benefits of this Indenture equally and proportionately
with all other Securities duly issued hereunder.

          SECTION 2.08.  Temporary Securities.

          Pending the preparation of Definitive Securities, the Company may
execute, and upon Company Order the Trustee shall authenticate and make
available for delivery, temporary Securities that are printed, lithographed,
typewritten, mimeographed or otherwise reproduced, in any authorized
denomination, substantially of the tenor of the Definitive Securities in lieu of
which they are issued and with such appropriate insertions, omissions,
substitutions and other variations as the officers executing such Securities may
determine, as conclusively evidenced by their execution of such Securities.

          If temporary Securities are issued, the Company shall cause Definitive
Securities to be prepared without unreasonable delay. The Definitive Securities
shall be printed, lithographed or engraved, or provided by any combination
thereof, or in any other manner permitted by the rules and regulations of any
applicable securities exchange, all as determined by the officers executing such
Definitive Securities. After the preparation of Definitive Securities, the
temporary Securities shall be exchangeable for Definitive Securities upon
surrender of the temporary Securities at the office or agency maintained by the
Company for such purpose pursuant to Section 3.02 hereof, without charge to the
Holder. Upon surrender for cancellation of any one or more temporary Securities,
the Company shall execute, and the Trustee shall authenticate and make available
for delivery, in exchange therefor the same aggregate principal amount of
Definitive Securities of authorized denominations. Until so exchanged, the
temporary Securities shall in all respects be entitled to the same benefits
under this Indenture as Definitive Securities.

                                       14
<Page>

          SECTION 2.09.  Cancellation.

          The Company at any time may deliver Securities to the Trustee for
cancellation. The Trustee and no one else shall cancel all Securities
surrendered for registration of transfer, exchange, payment, replacement or
cancellation and shall retain or dispose of canceled Securities in accordance
with its normal practices (subject to the record retention requirement of the
Exchange Act) unless the Company directs them to be returned to it. The Company
may not issue new Securities to replace Securities that have been redeemed or
paid or that have been delivered to the Trustee for cancellation.

          SECTION 2.10.  Defaulted Interest.

          Any interest on any Security that is payable, but is not punctually
paid or duly provided for, on any Interest Payment Date (herein called
"Defaulted Interest") shall forthwith cease to be payable to the holder on the
relevant regular record date by virtue of having been such holder; and such
Defaulted Interest shall be paid by the Company, at its election, as provided in
clause (a) or clause (b) below:

          (a) The Company may make payment of any Defaulted Interest on
     Securities to the Persons in whose names such Securities (or their
     respective Predecessor Securities) are registered at the close of business
     on a special record date for the payment of such Defaulted Interest, which
     shall be fixed in the following manner: the Company shall notify the
     Trustee in writing of the amount of Defaulted Interest proposed to be paid
     on each such Security and the date of the proposed payment, and at the same
     time the Company shall deposit with the Trustee an amount of money equal to
     the aggregate amount proposed to be paid in respect of such Defaulted
     Interest or shall make arrangements satisfactory to the Trustee for such
     deposit prior to the date of the proposed payment, such money when
     deposited to be held in trust for the benefit of the Persons entitled to
     such Defaulted Interest as in this clause provided. Thereupon the Trustee
     shall fix a special record date for the payment of such Defaulted Interest
     which shall not be more than 15 nor less than 10 days prior to the date of
     the proposed payment and not less than 10 days after the receipt by the
     Trustee of the notice of the proposed payment. The Trustee shall promptly
     notify the Company of such special record date and, in the name and at the
     expense of the Company, shall cause notice of the proposed payment of such
     Defaulted Interest and the special record date therefor to be mailed, first
     class postage prepaid, to each Securityholder at his or her address as it
     appears in the Security Register, not less than 10 days prior to such
     special record date. Notice of the proposed payment of such Defaulted
     Interest and the special record date therefor having been mailed as
     aforesaid, such Defaulted Interest shall be paid to the Persons in whose
     names such Securities (or their respective Predecessor Securities) are
     registered on such special record date and shall be no longer payable
     pursuant to the following clause (b).

          (b) The Company may make payment of any Defaulted Interest on any
     Securities in any other lawful manner not inconsistent with the
     requirements of any securities exchange on which such Securities may be
     listed, and upon such notice as may be required by such exchange, if, after
     notice given by the Company to the Trustee of the

                                       15
<Page>

     proposed payment pursuant to this clause, such manner of payment shall be
     deemed practicable by the Trustee.

          SECTION 2.11.  CUSIP Numbers.

          The Company in issuing the Securities may use "CUSIP" numbers (if then
generally in use), and, if so, the Trustee shall use "CUSIP" numbers in notices
of redemption as a convenience to Securityholders; PROVIDED that any such notice
may state that no representation is made as to the correctness of such numbers
either as printed on the Securities or as contained in any notice of a
redemption and that reliance may be placed only on the other identification
numbers printed on the Securities, and any such redemption shall not be affected
by any defect in or omission of such numbers. The Company will promptly notify
the Trustee of any change in the CUSIP numbers.

                                   ARTICLE III

                       PARTICULAR COVENANTS OF THE COMPANY

          SECTION 3.01.  Payment of Principal and Interest.

          The Company covenants and agrees for the benefit of the holders of the
Securities that it will duly and punctually pay or cause to be paid the
principal of and interest on the Securities at the place, at the respective
times and in the manner provided herein. Except as provided in Section 2.03,
each installment of interest on the Securities may be paid by mailing checks for
such interest payable to the order of the holder of Security entitled thereto as
they appear in the Security Register. The Company further covenants to pay any
and all amounts, including, without limitation, Additional Sums, as may be
required pursuant to Section 2.05(c), and Compounded Interest, as may be
required pursuant to Section 16.01.

          By 10:00 a.m. New York time on the date specified herein for the
payment of principal and interest, the Company will deposit with the Trustee or
with one or more paying agents an amount of money sufficient to cover the
required payment with respect to the Securities.

                                       16
<Page>

          SECTION 3.02.  Offices for Notices and Payments, etc.

          So long as any of the Securities remain outstanding, the Company will
maintain in the Borough of Manhattan, The City of New York, an office or agency
where the Securities may be presented for payment, an office or agency where the
Securities may be presented for registration of transfer and for exchange as in
this Indenture provided and an office or agency where notices and demands to or
upon the Company in respect of the Securities or of this Indenture may be
served. The Company will give to the Trustee written notice of the location of
any such office or agency and of any change of location thereof. Until otherwise
designated from time to time by the Company in a notice to the Trustee, any such
office or agency for all of the above purposes shall be the Principal Office of
the Trustee. In case the Company shall fail to maintain any such office or
agency in the Borough of Manhattan, The City of New York, or shall fail to give
such notice of the location or of any change in the location thereof,
presentations and demands may be made and notices may be served at the Principal
Office of the Trustee.

          In addition to any such office or agency, the Company may from time to
time designate one or more offices or agencies outside the Borough of Manhattan,
The City of New York, where the Securities may be presented for payment,
registration of transfer and for exchange in the manner provided in this
Indenture, and the Company may from time to time rescind such designation, as
the Company may deem desirable or expedient; provided, however, that no such
designation or rescission shall in any manner relieve the Company of its
obligation to maintain any such office or agency in the Borough of Manhattan,
The City of New York, for the purposes above mentioned. The Company will give to
the Trustee prompt written notice of any such designation or rescission thereof.

          SECTION 3.03.  Appointments to Fill Vacancies in Trustee's Office.

          The Company, whenever necessary to avoid or fill a vacancy in the
office of Trustee, will appoint, in the manner provided in Section 6.10, a
Trustee, so that there shall at all times be a Trustee hereunder.

          SECTION 3.04.  Provision as to Paying Agent.

          (a)  If the Company shall appoint a paying agent other than the
               Trustee with respect to the Securities, it will cause such paying
               agent to execute and deliver to the Trustee an instrument in
               which such agent shall agree with the Trustee, subject to the
               provision of this Section 3.04,

               (1)  that it will hold all sums held by it as such agent for the
                    payment of the principal of or interest (including
                    Additional Sums and Compounded Interest, if any) on the
                    Securities (whether such sums have been paid to it by the
                    Company or by any other obligor on the Securities) in trust
                    for the benefit of the holders of the Securities; and

                                       17
<Page>

               (2)  that it will give the Trustee notice of any failure by the
                    Company (or by any other obligor on the Securities) to make
                    any payment of the principal of or interest (including
                    Additional Sums and Compounded Interest, if any) on the
                    Securities when the same shall be due and payable.

          (b)  If the Company shall act as its own paying agent, it will, on or
               before each due date of the principal of or interest (including
               Additional Sums and Compounded Interest, if any) on the
               Securities, set aside, segregate and hold in trust for the
               benefit of the holders of the Securities a sum sufficient to pay
               such principal or interest (including Additional Sums and
               Compounded Interest, if any) so becoming due and will notify the
               Trustee of any failure to take such action and of any failure by
               the Company (or by any other obligor under the Securities) to
               make any payment of the principal of or interest (including
               Additional Sums and Compounded Interest, if any) on the
               Securities when the same shall become due and payable. Whenever
               the Company shall have one or more paying agents for the
               Securities, it will, on or prior to each due date of the
               principal of or interest (including Additional Sums and
               Compounded Interest, if any) on the Securities, deposit with the
               paying agent a sum sufficient to pay the principal or interest
               (including Additional Sums and Compounded Interest, if any) so
               becoming due, such sum to be held in trust for the benefit of the
               Persons entitled to such principal or interest (including
               Additional Sums and Compounded Interest, if any) and (unless such
               paying agent is the Trustee) the Company will promptly notify the
               Trustee of this action or failure so to act.

          (c)  Anything in this Section 3.04 to the contrary notwithstanding,
               the Company may, at any time, for the purpose of obtaining a
               satisfaction and discharge with respect to the Securities
               hereunder, or for any other reason, pay or cause to be paid to
               the Trustee all sums held in trust for such Securities by the
               Trustee or any paying agent hereunder, as required by this
               Section 3.04, such sums to be held by the Trustee upon the trusts
               herein contained.

          (d)  Anything in this Section 3.04 to the contrary notwithstanding,
               the agreement to hold sums in trust as provided in this Section
               3.04 is subject to Sections 11.03 and 11.04.

                                       18
<Page>

          SECTION 3.05.  Certificate to Trustee.

          The Company will deliver to the Trustee on or before 120 days after
the end of each fiscal year in each year, commencing with the first fiscal year
ending after the date hereof, so long as Securities are outstanding hereunder,
an Officers' Certificate, one of the signers of which shall be the principal
executive, principal financial or principal accounting officer of the Company,
stating that in the course of the performance by the signers of their duties as
officers of the Company they would normally have knowledge of any default by the
Company in the performance of any covenants and conditions contained herein,
stating whether or not they have knowledge of any such default and, if so,
specifying each such default of which the signers have knowledge and the nature
thereof. For purposes of this section such default shall be determined without
regard to any period of grace or requirement of notice.

          SECTION 3.06.  Compliance with Consolidation Provisions.

          The Company will not, while any of the Securities remain outstanding,
consolidate with, or merge into, or merge into itself, or sell or convey all or
substantially all of its property to any other Person unless the provisions of
Article X hereof are complied with.

          SECTION 3.07.  Limitation on Dividends.

          The Company will not (i) declare or pay any dividends or distributions
on, or redeem, purchase, acquire, or make a liquidation payment with respect to,
any of the Company's capital stock (which includes common and preferred stock),
(ii) make any payment of principal, premium, if any, or interest on or repay or
repurchase or redeem any debt securities of the Company (including Other
Debentures) that rank PARI PASSU with or junior in right of payment to the
Securities or (iii) make any guarantee payments with respect to any guarantee by
the Company of the debt securities of any Subsidiary of the Company (including
Other Guarantees) if such guarantee ranks PARI PASSU or junior in right of
payment to the Securities (other than (a) dividends or distributions in shares
of, or options, warrants or rights to subscribe for or purchase shares of,
Common Stock of the Company, (b) any declaration of a dividend in connection
with the implementation of a stockholder's rights plan, or the issuance of stock
under any such plan in the future, or the redemption or repurchase of any such
rights pursuant thereto, (c) payments under the Preferred Securities Guarantee,
(d) the purchase of fractional shares resulting from a reclassification of the
Company's capital stock, (e) the purchase of fractional interests in shares of
the Company's capital stock pursuant to the conversion or exchange provisions of
such capital stock or the security being converted or exchanged and (f)
purchases of Common Stock related to the issuance of Common Stock or rights
under any of the Company's benefit plans for its directors, officers or
employees or any of the Company's dividend reinvestment plans), if at such
time(1) there shall have occurred any event that would constitute an Event of
Default, (2) if such Securities are held by the Property Trustee and the Company
shall be in default with respect to its payment obligations under the Preferred
Securities Guarantee or (3) the Company shall have given notice of its election
of the exercise of its right to extend the interest payment period pursuant to
Section 16.01 and any such extension shall be continuing.

                                       19
<Page>

          SECTION 3.08.  Covenants as to Coastal Capital Trust I.

          In the event Securities are issued to Coastal Capital Trust I or a
trustee of such Trust in connection with the issuance of Trust Securities by
Coastal Capital Trust I, for so long as such Trust Securities remain
outstanding, the Company (i) will maintain 100% direct or indirect ownership of
the Common Securities of Coastal Capital Trust I; PROVIDED, HOWEVER, that any
successor of the Company, permitted pursuant to Article X, may succeed to the
Company's ownership of such Common Securities, (ii) will not cause, as Sponsor
of the Trust, or permit, as holder of the Common Securities, the dissolution or
winding-up of the Trust, except in connection with the distribution of the
Junior Subordinated Debentures or certain mergers, consolidations or
amalgamation, each as permitted by the Declaration, (iii) will timely perform
its duties as sponsor of the Trust, (iv) will use its reasonable best efforts to
cause Coastal Capital Trust I (a) to remain a business trust, except in
connection with a distribution of Securities to the holders of Trust Securities
in liquidation of the Trust, the redemption of all of the Trust Securities of
Coastal Capital Trust I or certain mergers, consolidations or amalgamations,
each as permitted by the Declaration, and (b) to otherwise continue to be
treated as a grantor trust and not an association taxable as a corporation for
United States federal income tax purposes and (v) will use its reasonable best
efforts to cause each holder of Trust Securities to be treated as owning an
undivided beneficial interest in the Securities.

          SECTION 3.09.  Payment of Expenses.

          In connection with the offering, sale and issuance of the Securities
to Coastal Capital Trust I and in connection with the sale of the Trust
Securities by Coastal Capital Trust I, the Company, in its capacity as borrower
with respect to the Securities, shall:

          (a) pay all costs and expenses relating to the offering, sale and
issuance of the Securities, including commissions to the underwriters payable
pursuant to the Underwriting Agreement and compensation of the Trustee in
accordance with the provisions of Section 6.06;

          (b) pay all costs and expenses of the Trust (including, but not
limited to, costs and expenses relating to the organization of Coastal Capital
Trust I, the offering, sale and issuance of the Trust Securities (including
commissions to the underwriters in connection therewith), the fees and expenses
of the Property Trustee and the Delaware Trustee, the costs and expenses
relating to the operation of Coastal Capital Trust I, including without
limitation, costs and expenses of accountants, attorneys, statistical or
bookkeeping services, expenses for printing and engraving and computing or
accounting equipment, paying agent(s), registrar(s), transfer agent(s),
duplicating, travel and telephone and other telecommunications expenses and
costs and expenses incurred in connection with the acquisition, financing, and
disposition of assets of Coastal Capital Trust I;

          (c) be primarily and fully liable for any indemnification obligations
arising with respect to the Declaration;

                                       20
<Page>

          (d) pay any and all taxes (other than United States withholding taxes
attributable to Coastal Capital Trust I or its assets) and all liabilities,
costs and expenses with respect to such taxes of the Trust; and

          (e) pay all other fees, expenses, debts and obligations (other than in
respect of principal and interest on the Trust Securities) related to Coastal
Capital Trust I.

          SECTION 3.10.  Payment Upon Resignation or Removal.

          Upon termination of this Indenture or the removal or resignation of
the Trustee, unless otherwise stated, the Company shall pay to the Trustee all
amounts accrued and owing to the date of such termination, removal or
resignation. Upon termination of the Declaration or the removal or resignation
of the Delaware Trustee or the Property Trustee, as the case may be, pursuant to
Section 5.7 of the Declaration, the Company shall pay to the Delaware Trustee or
the Property Trustee, as the case may be, all amounts accrued and owing to the
date of such termination, removal or resignation.

          SECTION 3.11.  Corporate Existence.

          The Company will, subject to the provisions of Article X, at all times
maintain its corporate existence and right to carry on business and will duly
procure all renewals and extensions thereof, and, to the extent necessary or
desirable in the operation of its business, will use its best efforts to
maintain, preserve and renew all of its rights, powers, privileges and
franchises.

          SECTION 3.12.  Notice of Default.

          The Company shall file with the Trustee written notice of any Event of
Default within 30 days of its becoming aware of such Event of Default or an
event which, with notice or the lapse of time or both, would constitute an Event
of Default.

          SECTION 3.13.  Listing on an Exchange.

          If the Securities are to be distributed to the holders of the
Preferred Securities in connection with a Dissolution Event, the Company will,
if the Securities are not already so listed, use its best efforts to list such
Securities on the NASDAQ National Market or on such other exchange or other
organizations as the Preferred Securities are then listed.

                                       21
<Page>

                                   ARTICLE IV

                    SECURITYHOLDERS' LISTS AND REPORTS BY THE
                             COMPANY AND THE TRUSTEE

          SECTION 4.01.  Securityholders' Lists.

          The Company covenants and agrees that it will furnish or cause to be
furnished to the Trustee:

          (a)  on a quarterly basis on each regular record date for the
               Securities, a list, in such form as the Trustee may reasonably
               require, of the names and addresses of the Securityholders as of
               such record date; and

          (b)  at such other times as the Trustee may request in writing, within
               30 days after the receipt by the Company, of any such request, a
               list of similar form and content as of a date not more than 15
               days prior to the time such list is furnished,

          except that, no such lists need be furnished so long as the Trustee is
          in possession thereof by reason of its acting as Security registrar.

          SECTION 4.02.  Preservation and Disclosure of Lists.

          (a)  The Trustee shall preserve, in as current a form as is reasonably
               practicable, all information as to the names and addresses of the
               holders of the Securities (1) contained in the most recent list
               furnished to it as provided in Section 4.01 or (2) received by it
               in the capacity of Securities registrar (if so acting) hereunder.
               The Trustee may destroy any list furnished to it as provided in
               Section 4.01 upon receipt of a new list so furnished.

          (b)  In case three or more holders of Securities (hereinafter referred
               to as "applicants") apply in writing to the Trustee and furnish
               to the Trustee reasonable proof that each such applicant has
               owned a Security for a period of at least six months preceding
               the date of such application, and such application states that
               the applicants desire to communicate with other holders of
               Securities or with holders of all Securities with respect to
               their rights under this Indenture and is accompanied by a copy of
               the form of proxy or other communication which such applicants
               propose to transmit, then the Trustee shall within five Business
               Days after the receipt of such application, at its election,
               either:

          (1)  afford such applicants access to the information preserved at the
               time by the Trustee in accordance with the provisions of
               subsection (a) of this Section 4.02, or

                                       22
<Page>

          (2)  inform such applicants as to the approximate number of holders of
               all Securities, whose names and addresses appear in the
               information preserved at the time by the Trustee in accordance
               with the provisions of subsection (a) of this Section 4.02, and
               as to the approximate cost of mailing to such Securityholders the
               form of proxy or other communication, if any, specified in such
               application.

                    If the Trustee shall elect not to afford such applicants
               access to such information, the Trustee shall, upon the written
               request of such applicants, mail to each Securityholder whose
               name and address appear in the information preserved at the time
               by the Trustee in accordance with the provisions of subsection
               (a) of this Section 4.02 a copy of the form of proxy or other
               communication which is specified in such request with reasonable
               promptness after a tender to the Trustee of the material to be
               mailed and of payment, or provision for the payment, of the
               reasonable expenses of mailing, unless within five days after
               such tender, the Trustee shall mail to such applicants and file
               with the Commission, together with a copy of the material to be
               mailed, a written statement to the effect that, in the opinion of
               the Trustee, such mailing would be contrary to the best interests
               of the holders of Securities of such series or all Securities, as
               the case may be, or would be in violation of applicable law. Such
               written statement shall specify the basis of such opinion. If the
               Commission, after opportunity for a hearing upon the objections
               specified in the written statement so filed, shall enter an order
               refusing to sustain any of such objections or if, after the entry
               of an order sustaining one or more of such objections, the
               Commission shall find, after notice and opportunity for hearing,
               that all the objections so sustained have been met and shall
               enter an order so declaring, the Trustee shall mail copies of
               such material to all such Securityholders with reasonable
               promptness after the entry of such order and the renewal of such
               tender; otherwise the Trustee shall be relieved of any obligation
               or duty to such applicants respecting their application.

          (c)  Each and every holder of Securities, by receiving and holding the
               same, agrees with the Company and the Trustee that neither the
               Company nor the Trustee nor any paying agent shall be held
               accountable by reason of the disclosure of any such information
               as to the names and addresses of the holders of Securities in
               accordance with the provisions of subsection (b) of this Section
               4.02, regardless of the source from which such information was
               derived, and that the Trustee shall not be held accountable by
               reason of mailing any material pursuant to a request made under
               said subsection (b).

                                       23
<Page>

          SECTION 4.03.  Reports by Company.

          (a)  The Company covenants and agrees to file with the Trustee, within
               15 days after the date on which the Company is required to file
               the same with the Commission, copies of the annual reports and of
               the information, documents and other reports (or copies of such
               portions of any of the foregoing as said Commission may from time
               to time by rules and regulations prescribe) which the Company may
               be required to file with the Commission pursuant to Section 13 or
               Section 15(d) of the Exchange Act; or, if the Company is not
               required to file information, documents or reports pursuant to
               either of such sections, then to file with the Trustee and the
               Commission, in accordance with rules and regulations prescribed
               from time to time by the Commission, such of the supplementary
               and periodic information, documents and reports which may be
               required pursuant to Section 13 of the Exchange Act in respect of
               a security listed and registered on a national securities
               exchange as may be prescribed from time to time in such rules and
               regulations. The Company also covenants and agrees to comply with
               the provisions of Section 3.14(a) of the Trust Indenture Act.

          (b)  The Company covenants and agrees to file with the Trustee and the
               Commission, in accordance with the rules and regulations
               prescribed from time to time by said Commission, such additional
               information, documents and reports with respect to compliance by
               the Company with the conditions and covenants provided for in
               this Indenture as may be required from time to time by such rules
               and regulations.

          (c)  The Company covenants and agrees to transmit by mail to all
               holders of Securities, as the names and addresses of such holders
               appear upon the Security Register, within 30 days after the
               filing thereof with the Trustee, such summaries of any
               information, documents and reports required to be filed by the
               Company pursuant to subsections (a) and (b) of this Section 4.03
               as may be required by rules and regulations prescribed from time
               to time by the Commission.

          (d)  Delivery of such reports, information and documents to the
               Trustee is for informational purposes only and the Trustee's
               receipt of such shall not constitute constructive notice of any
               information contained therein or determinable from information
               contained therein, including the Company's compliance with any of
               its covenants hereunder (as to which the Trustee is entitled to
               rely exclusively on Officers' Certificates).

          SECTION 4.04.  Reports by the Trustee.

          (a)  The Trustee shall transmit to Securityholders such reports
               concerning the Trustee and its actions under this Indenture as
               may be required pursuant to

                                       24
<Page>

               the Trust Indenture Act at the times and in the manner provided
               pursuant thereto. If required by Section 313(a) of the Trust
               Indenture Act, the Trustee shall, within sixty days after each
               May 15 following the date of this Indenture, commencing May 15,
               2002, deliver to Securityholders a brief report, dated as of such
               May 15, which complies with the provisions of such Section
               313(a).

          (b)  A copy of each such report shall, at the time of such
               transmission to Securityholders, be filed by the Trustee with
               each stock exchange, if any, upon which the Securities are
               listed, with the Commission and with the Company. The Company
               will promptly notify the Trustee when the Securities are listed
               on any stock exchange or any delisting thereof.

                                    ARTICLE V

                   REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS
                               ON EVENT OF DEFAULT

          SECTION 5.01.  Events of Default.

          One or more of the following events of default shall constitute an
Event of Default hereunder:

          (a)  default in the payment of any interest (including Compounded
               Interest or Additional Sums, if any) upon any Security or any
               Other Debentures when it becomes due and payable, and continuance
               of such default for a period of 30 days; PROVIDED, however, that
               a valid extension of an interest payment period by the Company in
               accordance with the terms hereof shall not constitute a default
               in the payment of interest for this purpose; or

          (b)  default in the payment of all or any part of the principal of any
               Security or any Other Debentures as and when the same shall
               become due and payable either at maturity, upon redemption, by
               declaration of acceleration of maturity or otherwise; or

          (c)  default in the performance, or breach, of any covenant or
               warranty of the Company in this Indenture (other than a covenant
               or warranty a default in whose performance or whose breach is
               elsewhere in this Section specifically dealt with), and
               continuance of such default or breach for a period of 60 days
               after there has been given, by registered or certified mail, to
               the Company by the Trustee or to the Company and the Trustee by
               the holders of at least 25% in aggregate principal amount of the
               outstanding Securities a written notice specifying such default
               or breach and requiring it to be remedied and stating that such
               notice is a "Notice of Default" hereunder; or

                                       25
<Page>

          (d)  a court having jurisdiction in the premises shall enter a decree
               or order for relief in respect of the Company in an involuntary
               case under any applicable bankruptcy, insolvency or other similar
               law now or hereafter in effect, or appointing a receiver,
               liquidator, assignee, custodian, trustee, sequestrator (or
               similar official) of the Company or for any substantial part of
               its property, or ordering the winding-up or liquidation of its
               affairs and such decree or order shall remain unstayed and in
               effect for a period of 60 consecutive days; or

          (e)  the Company shall commence a voluntary case under any applicable
               bankruptcy, insolvency or other similar law now or hereafter in
               effect, shall consent to the entry of an order for relief in an
               involuntary case under any such law, or shall consent to the
               appointment of or taking possession by a receiver, liquidator,
               assignee, trustee, custodian, sequestrator (or other similar
               official) of the Company or of any substantial part of its
               property, or shall make any general assignment for the benefit of
               creditors, or shall fail generally to pay its debts as they
               become due.

          If an Event of Default with respect to Securities at the time
outstanding occurs and is continuing (other than an Event of Default specified
in Section 5.01(d) or 5.01(e)), then in every such case the Trustee or the
holders of not less than 25% in aggregate principal amount of the Securities
then outstanding may declare the principal amount of all Securities to be due
and payable immediately, by a notice in writing to the Company (and to the
Trustee if given by the holders of the outstanding Securities), and upon any
such declaration the same shall become immediately due and payable. If the
Trustee or Securityholders fail to declare the principal of all of the
Securities due and payable upon such an Event of Default, so long as the
Property Trustee is holding the Debentures on behalf of Coastal Capital Trust I,
the holders of at least 25% in liquidation amount of the Preferred Securities
then outstanding will have the right to declare the Securities immediately due
and payable. If an Event of Default specified in Section 5.01(d) or 5.01(e)
occurs and is continuing, the principal amount of all Securities shall become
immediately due and payable without any declaration or other act on the part of
the Trustee or the holders of Securities.

          The foregoing provisions, however, are subject to the condition that
if, at any time after the principal of the Securities shall have been so
declared due and payable, and before any judgment or decree for the payment of
the moneys due shall have been obtained or entered as hereinafter provided, (i)
the Company shall pay or shall deposit with the Trustee a sum sufficient to pay
(A) all matured installments of interest (including Compounded Interest and
Additional Sums, if any) upon all the Securities and the principal of any and
all Securities which shall have become due otherwise than by acceleration (with
interest upon such principal and, to the extent that payment of such interest is
enforceable under applicable law, on overdue installments of interest, at the
same rate as the rate of interest specified in the Securities to the date of
such payment or deposit) and (B) such amount as shall be sufficient to cover
compensation due to the Trustee and each predecessor Trustee, their respective
agents, attorneys and counsel, pursuant to Section 6.06, and (ii) any and all
Events of Default under the Indenture, other than the non-payment of the
principal of the Securities which shall have become due solely by such

                                       26
<Page>

declaration of acceleration, shall have been cured, waived or otherwise remedied
as provided herein, then, in every such case, the holders of a majority in
aggregate principal amount of the Securities then outstanding, by written notice
to the Company and to the Trustee, may rescind and annul such declaration and
its consequences, but no such waiver or rescission and annulment shall extend to
or shall affect any subsequent default or shall impair any right consequent
thereon.

          In case the Trustee shall have proceeded to enforce any right under
this Indenture and such proceedings shall have been discontinued or abandoned
because of such rescission or annulment or for any other reason or shall have
been determined adversely to the Trustee, then and in every such case the
Company, the Trustee and the holders of the Securities shall be restored
respectively to their several positions and rights hereunder, and all rights,
remedies and powers of the Company, the Trustee and the holders of the
Securities shall continue as though no such proceeding had been taken.

          SECTION 5.02.  Payment of Securities on Default; Suit Therefor.

          The Company covenants that (a) in case default shall be made in the
payment of any installment of interest (including Compounded Interest and
Additional Sums, if any) upon any of the Securities as and when the same shall
become due and payable, and such default shall have continued for a period of 30
days, or (b) in case default shall be made in the payment of the principal on
any of the Securities as and when the same shall have become due and payable,
whether at maturity of the Securities or upon redemption or by declaration or
otherwise, then, upon demand of the Trustee, the Company will pay to the
Trustee, for the benefit of the holders of the Securities, the whole amount that
then shall have become due and payable on all such Securities for principal or
interest (including Compounded Interest and Additional Sums, if any) or both, as
the case may be, with interest upon the overdue principal and (to the extent
that payment of such interest is enforceable under applicable law and, if the
Securities are held by Coastal Capital Trust I or a trustee of such trust,
without duplication of any other amounts paid by Coastal Capital Trust I or a
trustee in respect thereof) upon the overdue installments of interest (including
Compounded Interest and Additional Sums, if any) at the rate borne by the
Securities; and, in addition thereto, such further amount as shall be sufficient
to cover the costs and expenses of collection, including a reasonable
compensation to the Trustee, its agents, attorneys and counsel, and any other
amount due to the Trustee pursuant to Section 6.06.

          In case the Company shall fail forthwith to pay such amounts upon such
demand, the Trustee, in its own name and as trustee of an express trust, shall
be entitled and empowered to institute any actions or proceedings at law or in
equity for the collection of the sums so due and unpaid, and may prosecute any
such action or proceeding to judgment or final decree, and may enforce any such
judgment or final decree against the Company or any other obligor on the
Securities and collect in the manner provided by law out of the property of the
Company or any other obligor on the Securities wherever situated the moneys
adjudged or decreed to be payable.

          In case there shall be pending proceedings for the bankruptcy or for
the reorganization of the Company or any other obligor on the Securities under
Title 11, United States Code, or any other applicable law, or in case a receiver
or trustee shall have been

                                       27
<Page>

appointed for the property of the Company or such other obligor, or in the case
of any other similar judicial proceedings relative to the Company or other
obligor upon the Securities, or to the creditors or property of the Company or
such other obligor, the Trustee, irrespective of whether the principal of the
Securities shall then be due and payable as therein expressed or by declaration
or otherwise and irrespective of whether the Trustee shall have made any demand
pursuant to the provisions of this Section 5.02, shall be entitled and
empowered, by intervention in such proceedings or otherwise, to file and prove a
claim or claims for the whole amount of principal and interest owing and unpaid
in respect of the Securities and, in case of any judicial proceedings, to file
such proofs of claim and other papers or documents as may be necessary or
advisable in order to have the claims of the Trustee (including any claim for
amounts due to the Trustee pursuant to 6.06) and of the Securityholders allowed
in such judicial proceedings relative to the Company or any other obligor on the
Securities, or to the creditors or property of the Company or such other
obligor, unless prohibited by applicable law and regulations, to vote on behalf
of the holders of the Securities in any election of a trustee or a standby
trustee in arrangement, reorganization, liquidation or other bankruptcy or
insolvency proceedings or person performing similar functions in comparable
proceedings, and to collect and receive any moneys or other property payable or
deliverable on any such claims, and to distribute the same after the deduction
of its charges and expenses; and any receiver, assignee or trustee in bankruptcy
or reorganization is hereby authorized by each of the Securityholders to make
such payments to the Trustee, and, in the event that the Trustee shall consent
to the making of such payments directly to the Securityholders, to pay to the
Trustee such amounts as shall be sufficient to cover reasonable compensation to
the Trustee, each predecessor Trustee and their respective agents, attorneys and
counsel, and all other amounts due to the Trustee pursuant to Section 6.06.

          Nothing herein contained shall be construed to authorize the Trustee
to authorize or consent to or accept or adopt on behalf of any Securityholder
any plan of reorganization, arrangement, adjustment or composition affecting the
Securities or the rights of any holder thereof or to authorize the Trustee to
vote in respect of the claim of any Securityholder in any such proceeding.

          All rights of action and of asserting claims under this Indenture, or
under any of the Securities, may be enforced by the Trustee without the
possession of any of the Securities, or the production thereof on any trial or
other proceeding relative thereto, and any such suit or proceeding instituted by
the Trustee shall be brought in its own name as trustee of an express trust, and
any recovery of judgment shall be for the ratable benefit of the holders of the
Securities.

          In any proceedings brought by the Trustee (and also any proceedings
involving the interpretation of any provision of this Indenture to which the
Trustee shall be a party) the Trustee shall be held to represent all the holders
of the Securities, and it shall not be necessary to make any holders of the
Securities parties to any such proceedings.

                                       28
<Page>

          SECTION 5.03.  Application of Moneys Collected by Trustee.

          Any moneys collected by the Trustee shall be applied in the order
following, at the date or dates fixed by the Trustee for the distribution of
such moneys, upon presentation of the Securities in respect of which moneys have
been collected, and stamping thereon the payment, if only partially paid, and
upon surrender thereof if fully paid:

          First: To the payment of costs and expenses of collection applicable
to the Securities and all other amounts due to the Trustee under Section 6.06;

          Second: To the payment of all Senior and Subordinate Indebtedness of
the Company if and to the extent required by Article XV;

          Third: To the payment of the amounts then due and unpaid upon
Securities for principal of and interest (including Compounded Interest and
Additional Sums, if any) on the Securities, in respect of which or for the
benefit of which money has been collected, ratably, without preference of
priority of any kind, according to the amounts due on such Securities for
principal and interest, respectively; and

          Fourth: To the Company.

          SECTION 5.04.  Proceedings by Securityholders.

          No holder of any Security shall have any right by virtue of or by
availing of any provision of this Indenture to institute any suit, action or
proceeding in equity or at law upon or under or with respect to this Indenture
or for the appointment of a receiver or trustee, or for any other remedy
hereunder, unless such holder previously shall have given to the Trustee written
notice of an Event of Default and of the continuance thereof with respect to the
Securities specifying such Event of Default, as hereinbefore provided, and
unless also the holders of not less than 25% in aggregate principal amount of
the Securities then outstanding shall have made written request upon the Trustee
to institute such action, suit or proceeding in its own name as Trustee
hereunder and shall have offered to the Trustee such reasonable indemnity as it
may require against the costs, expenses and liabilities to be incurred therein
or thereby, and the Trustee for 60 days after its receipt of such notice,
request and offer of indemnity shall have failed to institute any such action,
suit or proceeding, it being understood and intended, and being expressly
covenanted by the taker and holder of every Security with every other taker and
holder and the Trustee, that no one or more holders of Securities shall have any
right in any manner whatever by virtue of or by availing of any provision of
this Indenture to affect, disturb or prejudice the rights of any other holder of
Securities, or to obtain or seek to obtain priority over or preference to any
other such holder, or to enforce any right under this Indenture, except in the
manner herein provided and for the equal, ratable and common benefit of all
holders of Securities.

          Notwithstanding any other provisions in this Indenture, however, the
right of any holder of any Security to receive payment of the principal of and
interest (including Compounded Interest and Additional Sums, if any) on such
Security, on or after the same shall

                                       29
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have become due and payable, or to institute suit for the enforcement of any
such payment, shall not be impaired or affected without the consent of such
holder. For the protection and enforcement of the provisions of this Section,
each and every Securityholder and the Trustee shall be entitled to such relief
as can be given either at law or in equity.

          The Company and the Trustee acknowledge that pursuant to the
Declaration, the holders of Preferred Securities are entitled, in the
circumstances and subject to the limitations set forth therein, to commence a
Direct Action with respect to any Event of Default under this Indenture and the
Securities.

          SECTION 5.05.  Proceedings by Trustee.

          In case an Event of Default occurs with respect to Securities and is
continuing, the Trustee may in its discretion proceed to protect and enforce the
rights vested in it by this Indenture by such appropriate judicial proceedings
as the Trustee shall deem most effectual to protect and enforce any of such
rights, either by suit in equity or by action at law or by proceeding in
bankruptcy or otherwise, whether for the specific enforcement of any covenant or
agreement contained in this Indenture or in aid of the exercise of any power
granted in this Indenture, or to enforce any other legal or equitable right
vested in the Trustee by this Indenture or by law.

          SECTION 5.06.  Remedies Cumulative and Continuing.

          All powers and remedies given by this Article V to the Trustee or to
the Securityholders shall, to the extent permitted by law, be deemed cumulative
and not exclusive of any other powers and remedies available to the Trustee or
the holders of the Securities, by judicial proceedings or otherwise, to enforce
the performance or observance of the covenants and agreements contained in this
Indenture or otherwise established with respect to the Securities, and no delay
or omission of the Trustee or of any holder of any of the Securities to exercise
any right or power accruing upon any Event of Default occurring and continuing
as aforesaid shall impair any such right or power, or shall be construed to be a
waiver of any such default or an acquiescence therein; and, subject to the
provisions of Section 5.04, every power and remedy given by this Article V or by
law to the Trustee or to the Securityholders may be exercised from time to time,
and as often as shall be deemed expedient, by the Trustee or by the
Securityholders.

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          SECTION 5.07.  Direction of Proceedings and Waiver of Defaults by
                         Majority of Securityholders.

          The holders of a majority in aggregate principal amount of the
Securities at the time outstanding shall have the right to direct the time,
method, and place of conducting any proceeding for any remedy available to the
Trustee, or exercising any trust or power conferred on the Trustee; PROVIDED,
HOWEVER, that (subject to the provisions of Section 6.01) the Trustee shall have
the right to decline to follow any such direction if the Trustee shall determine
that the action so directed would be unjustly prejudicial to the holders not
taking part in such direction or if the Trustee being advised by counsel
determines that the action or proceeding so directed may not lawfully be taken
or if the Trustee in good faith by its board of directors or trustees, executive
committee, or a trust committee of directors or trustees and/or Responsible
Officers shall determine that the action or proceedings so directed would
involve the Trustee in personal liability. Prior to any declaration accelerating
the maturity of the Securities, the holders of a majority in aggregate principal
amount of the Securities at the time outstanding may on behalf of the holders of
all of the Securities waive any past default or Event of Default and its
consequences except a default (a) in the payment of principal of or interest
(including Compounded Interest and Additional Sums, if any) on any of the
Securities or (b) in respect of covenants or provisions hereof which cannot be
modified or amended without the consent of the holder of each Security affected;
PROVIDED, HOWEVER, that if the Securities are held by the Property Trustee, such
waiver or modification to such waiver shall not be effective until the holders
of a majority in aggregate liquidation amount of Trust Securities shall have
consented to such waiver or modification to such waiver; PROVIDED FURTHER, that
if the consent of the holder of each outstanding Security is required, such
waiver shall not be effective until each holder of the Trust Securities shall
have consented to such waiver. Upon any such waiver, the default covered thereby
shall be deemed to be cured for all purposes of this Indenture and the Company,
the Trustee and the holders of the Securities shall be restored to their former
positions and rights hereunder, respectively; but no such waiver shall extend to
any subsequent or other default or impair any right consequent thereon. Whenever
any default or Event of Default hereunder shall have been waived as permitted by
this Section 5.07, said default or Event of Default shall for all purposes of
the Securities and this Indenture be deemed to have been cured and to be not
continuing.

                                       31
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          SECTION 5.08.  Notice of Defaults.

          The Trustee shall, within 90 days after the occurrence of a default
with respect to the Securities known to a Responsible Officer of the Trustee,
mail to all Securityholders, as the names and addresses of such holders appear
upon the Security Register, notice of all defaults known to the Trustee, unless
such defaults shall have been cured before the giving of such notice; and
provided that, except in the case of default in the payment of the principal of
or interest (including Compounded Interest or Additional Sums, if any) on any of
the Securities, the Trustee shall be protected in withholding such notice if and
so long as the board of directors, the executive committee, or a trust committee
of directors and/or Responsible Officers of the Trustee in good faith determines
that the withholding of such notice is in the interests of the Securityholders;
and provided further, that in the case of any default of the character specified
in Section 5.01(c) no such notice to Securityholders shall be given until at
least 60 days after the occurrence thereof but shall be given within 90 days
after such occurrence.

          SECTION 5.09.  Undertaking to Pay Costs.

          All parties to this Indenture agree, and each holder of any Security
by his acceptance thereof shall be deemed to have agreed, that any court may in
its discretion require, in any suit for the enforcement of any right or remedy
under this Indenture, or in any suit against the Trustee for any action taken or
omitted by it as Trustee, the filing by any party litigant in such suit of an
undertaking to pay the costs of such suit, and that such court may in its
discretion assess reasonable costs, including reasonable attorneys' fees and
expenses, against any party litigant in such suit, having due regard to the
merits and good faith of the claims or defenses made by such party litigant; but
the provisions of this Section 5.09 shall not apply to any suit instituted by
the Trustee, to any suit instituted by any Securityholder, or group of
Securityholders, holding in the aggregate more than 10% in aggregate principal
amount of the Securities outstanding, or to any suit instituted by any
Securityholder for the enforcement of the payment of the principal of or
interest (including Compounded Interest and Additional Sums, if any) on any
Security against the Company on or after the same shall have become due and
payable.

          SECTION 5.10.  Waiver of Stay, Extension or Usury Laws.

The Company covenants (to the extent that it may lawfully do so) that it will
not at any time insist upon, or plead, or in any manner whatsoever claim or take
the benefit or advantage of, any stay or extension law or any usury or other law
wherever enacted, now or at any time hereafter in force, which would prohibit or
forgive the Company from paying all or any portion of the principal or any
interest on (including Additional Sums and Compounded Interest, if any) any such
amounts, as contemplated herein, or which may affect the covenants or the
performance of this Indenture; and the Company (to the extent that it may
lawfully do so) hereby expressly waives all benefit or advantage of any such
laws and covenants that will not hinder, delay or impede the execution of any
power herein granted to the Trustee, but will suffer and permit the execution of
every such power as though no such law had been enacted.

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                                   ARTICLE VI

                             CONCERNING THE TRUSTEE

          SECTION 6.01.  Duties and Responsibilities of Trustee.

          With respect to the holders of the Securities issued hereunder, the
Trustee, prior to the occurrence of an Event of Default and after the curing or
waiving of all Events of Default which may have occurred, undertakes to perform
such duties and only such duties as are specifically set forth in this
Indenture. In case an Event of Default has occurred (which has not been cured or
waived) the Trustee shall exercise such of the rights and powers vested in it by
this Indenture, and use the same degree of care and skill in their exercise, as
a prudent man would exercise or use under the circumstances in the conduct of
his own affairs.

          No provision of this Indenture shall be construed to relieve the
Trustee from liability for its own negligent action, its own negligent failure
to act or its own willful misconduct, except that

          (a)  prior to the occurrence of an Event of Default and after the
               curing or waiving of all Events of Default which may have
               occurred,

               (1)  the duties and obligations of the Trustee shall be
                    determined solely by the express provisions of this
                    Indenture, and the Trustee shall not be liable except for
                    the performance of such duties and obligations as are
                    specifically set forth in this Indenture, and no implied
                    covenants or obligations shall be read into this Indenture
                    against the Trustee; and

               (2)  in the absence of bad faith on the part of the Trustee, the
                    Trustee may conclusively rely, as to the truth of the
                    statements and the correctness of the opinions expressed
                    therein, upon any certificates or opinions furnished to the
                    Trustee and conforming to the requirements of this
                    Indenture; but, in the case of any such certificates or
                    opinions which by any provision hereof are specifically
                    required to be furnished to the Trustee, the Trustee shall
                    be under a duty to examine the same to determine whether or
                    not they conform to the requirements of this Indenture (but
                    need not confirm or investigate the accuracy of mathematical
                    calculations or other facts stated therein);

          (b)  the Trustee shall not be liable for any error of judgment made in
               good faith by a Responsible Officer or Officers, unless it shall
               be proved that the Trustee was negligent in ascertaining the
               pertinent facts; and

          (c)  the Trustee shall not be liable with respect to any action taken
               or omitted to be taken by it in good faith, in accordance with
               the direction of the

                                       33
<Page>

               Securityholders pursuant to Section 5.07, relating to the time,
               method and place of conducting any proceeding for any remedy
               available to the Trustee, or exercising any trust or power
               conferred upon the Trustee, under this Indenture.

          None of the provisions contained in this Indenture shall require the
Trustee to expend or risk its own funds or otherwise incur personal financial
liability in the performance of any of its duties or in the exercise of any of
its rights or powers, if there is reasonable ground for believing that the
repayment of such funds or liability is not reasonably assured to it under the
terms of this Indenture or adequate indemnity against such risk is not
reasonably assured to it.

          SECTION 6.02.  Reliance on Documents, Opinions, etc.

          Except as otherwise provided in Section 6.01:

          (a)  the Trustee may conclusively rely and shall be protected in
               acting or refraining from acting upon any resolution,
               certificate, statement, instrument, opinion, report, notice,
               request, consent, order, bond, note, debenture or other paper or
               document believed by it to be genuine and to have been signed or
               presented by the proper party or parties;

          (b)  any request, direction, order or demand of the Company mentioned
               herein may be sufficiently evidenced by an Officers' Certificate
               (unless other evidence in respect thereof be herein specifically
               prescribed); and any Board Resolution may be evidenced to the
               Trustee by a copy thereof certified by the Secretary or an
               Assistant Secretary of the Company;

          (c)  the Trustee may consult with counsel of its selection and any
               advice or Opinion of Counsel shall be full and complete
               authorization and protection in respect of any action taken,
               suffered or omitted by it hereunder in good faith and in
               accordance with such advice or Opinion of Counsel;

          (d)  the Trustee shall be under no obligation to exercise any of the
               rights or powers vested in it by this Indenture at the request,
               order or direction of any of the Securityholders, pursuant to the
               provisions of this Indenture, unless such Securityholders shall
               have offered to the Trustee reasonable and sufficient security or
               indemnity against the costs, expenses and liabilities which may
               be incurred therein or thereby; nothing contained herein shall,
               however, relieve the Trustee of the obligation, upon the
               occurrence of an Event of Default with respect to the Securities
               (that has not been cured or waived) to exercise with respect to
               the Securities such of the rights and powers vested in it by this
               Indenture, and use the same degree of care and skill in their
               exercise, as a prudent man would exercise or use under the
               circumstances in the conduct of his own affairs.

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<Page>

          (e)  the Trustee shall not be liable for any action taken or omitted
               by it in good faith and believed by it to be authorized or within
               the discretion or rights or powers conferred upon it by this
               Indenture; nothing contained herein shall, however, relieve the
               Trustee of the obligation, upon the occurrence of an Event of
               Default (that has not been cured or waived), to exercise such of
               the rights and powers vested in it by this Indenture, and to use
               the same degree of care and skill in their exercise, as a prudent
               man would exercise or use under the circumstances in the conduct
               of his own affairs;

          (f)  the Trustee shall not be bound to make any investigation into the
               facts or matters stated in any resolution, certificate,
               statement, instrument, opinion, report, notice, request, consent,
               order, approval, bond, debenture, coupon or other paper or
               document, unless requested in writing to do so by the holders of
               a majority in aggregate principal amount of the outstanding
               Securities; provided, however, that if the payment within a
               reasonable time to the Trustee of the costs, expenses or
               liabilities likely to be incurred by it in the making of such
               investigation is, in the opinion of the Trustee, not reasonably
               assured to the Trustee by the security afforded to it by the
               terms of this Indenture, the Trustee may require reasonable
               indemnity against such expense or liability as a condition to so
               proceeding;

          (g)  the Trustee may execute any of the trusts or powers hereunder or
               perform any duties hereunder either directly or by or through
               agents (including any Authenticating Agent) or attorneys, and the
               Trustee shall not be responsible for any misconduct or negligence
               on the part of any such agent or attorney appointed by it with
               due care;

          (h)  the Trustee shall not be charged with knowledge of any Default or
               Event of Default with respect to the Securities unless (1) such
               default is a default under Sections 5.01(a) (other than a default
               with respect to the payment of Compounded Interest or Additional
               Sums) and 5.01(b) of the Indenture and the Trustee is the paying
               agent hereunder, (2) a Responsible Officer shall have actual
               knowledge of such Default or Event of Default or (3) written
               notice of such Default or Event of Default shall have been given
               to the Trustee at the Principal Office of the Trustee by the
               Company or any other obligor on the Securities or by any holder
               of the Securities and such notice references the Securities and
               this Indenture;

          (i)  the Trustee shall not be liable for any action taken, suffered or
               omitted by it in good faith, without negligence or willful
               misconduct and believed by it to be authorized or within the
               discretion or rights or powers conferred upon it by this
               Indenture; and

          (j)  the rights, privileges, protections, immunities and benefits
               given to the Trustee, including, without limitation, its right to
               be indemnified, are extended to, and shall be enforceable by, the
               Trustee in each of its

                                       35
<Page>

               capacities hereunder, and to each agent, custodian and other
               Person employed to act hereunder.

          SECTION 6.03.  No Responsibility for Recitals, etc.

          The recitals contained herein and in the Securities (except in the
certificate of authentication of the Trustee or the Authenticating Agent) shall
be taken as the statements of the Company and the Trustee and the Authenticating
Agent assume no responsibility for the correctness of the same. The Trustee and
the Authenticating Agent make no representations as to the validity or
sufficiency of this Indenture or of the Securities. The Trustee and the
Authenticating Agent shall not be accountable for the use or application by the
Company of any Securities or the proceeds of any Securities authenticated and
delivered by the Trustee or the Authenticating Agent in conformity with the
provisions of this Indenture.

          SECTION 6.04.  Trustee, Authenticating Agent, Paying Agents, Transfer
                         Agents or Registrar May Own Securities.

          The Trustee or any Authenticating Agent or any paying agent or any
transfer agent or any Security registrar, in its individual or any other
capacity, may become the owner or pledgee of Securities with the same rights it
would have if it were not Trustee, Authenticating Agent, paying agent, transfer
agent or Security registrar.

          SECTION 6.05.  Moneys to be Held in Trust.

          Subject to the provisions of Section 11.04, all moneys received by the
Trustee or any paying agent shall, until used or applied as herein provided, be
held in trust for the purpose for which they were received, but need not be
segregated from other funds except to the extent required by law. The Trustee
and any paying agent shall be under no liability for interest on any money
received by it hereunder except as otherwise agreed in writing with the Company.
So long as no Event of Default shall have occurred and be continuing, all
interest allowed on any such moneys shall be paid from time to time upon the
written order of the Company, signed by the Chairman of the Board of Directors,
the President, a Vice President, the Treasurer or an Assistant Treasurer of the
Company.

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<Page>

          SECTION 6.06.  Compensation and Expenses of Trustee.

          The Company, as issuer of Securities under this Indenture, covenants
and agrees to pay to the Trustee from time to time, and the Trustee shall be
entitled to, such compensation as shall be agreed to in writing between the
Company and the Trustee (which shall not be limited by any provision of law in
regard to the compensation of a trustee of an express trust), and the Company
will pay or reimburse the Trustee upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Trustee in accordance with
any of the provisions of this Indenture (including the reasonable compensation
and the expenses and disbursements of its counsel and of all persons not
regularly in its employ) except any such expense, disbursement or advance as may
arise from its negligence or bad faith. The Company also covenants to indemnify
each of the Trustee or any predecessor Trustee (and its officers, agents,
directors and employees) for, and to hold it harmless against, any and all loss,
damage, claim, liability or expense including taxes (other than taxes based on
the income of the Trustee) incurred without negligence or bad faith on the part
of the Trustee and arising out of or in connection with the acceptance or
administration of the trust or trusts hereunder, including the costs and
expenses of defending itself against any claim of liability in the premises. The
obligations of the Company under this Section 6.06 to compensate and indemnify
the Trustee and to pay or reimburse the Trustee for expenses, disbursements and
advances shall constitute additional indebtedness hereunder. Such additional
indebtedness shall be secured by a lien prior to that of the Securities upon all
property and funds held or collected by the Trustee as such, except funds held
in trust for the benefit of the holders of particular Securities.

          When the Trustee incurs expenses or renders services in connection
with an Event of Default specified in Section 5.01(d) or Section 5.01(e), the
expenses (including the reasonable charges and expenses of its counsel) and the
compensation for the services are intended to constitute expenses of
administration under any applicable federal or state bankruptcy, insolvency or
other similar law.

          The provisions of this Section shall survive the resignation or
removal of the Trustee and the defeasance or other termination of this
Indenture.

          SECTION 6.07.  Officers' Certificate as Evidence.

          Except as otherwise provided in Sections 6.01 and 6.02, whenever in
the administration of the provisions of this Indenture the Trustee shall deem it
necessary or desirable that a matter be proved or established prior to taking or
omitting any action hereunder, such matter (unless other evidence in respect
thereof is herein specifically prescribed) may, in the absence of negligence or
bad faith on the part of the Trustee, be deemed to be conclusively proved and
established by an Officers' Certificate delivered to the Trustee, and such
certificate, in the absence of negligence or bad faith on the part of the
Trustee, shall be full warrant to the Trustee for any action taken or omitted by
it under the provisions of this Indenture upon the faith thereof.

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<Page>

          SECTION 6.08.  Conflicting Interest of Trustee.

          If the Trustee has or shall acquire any "conflicting interest" within
the meaning of Section 310(b) of the Trust Indenture Act, the Trustee and the
Company shall in all respects comply with the provisions of Section 310(b) of
the Trust Indenture Act.

          SECTION 6.09.  Eligibility of Trustee.

          The Trustee hereunder shall at all times be a corporation organized
and doing business under the laws of the United States of America or any state
or territory thereof or of the District of Columbia or a corporation or other
Person permitted to act as trustee by the Commission authorized under such laws
to exercise corporate trust powers, having a combined capital and surplus of at
least 50 million U.S. dollars ($50,000,000) and subject to supervision or
examination by federal, state, territorial, or District of Columbia authority.
If such corporation publishes reports of condition at least annually, pursuant
to law or to the requirements of the aforesaid supervising or examining
authority, then for the purposes of this Section 6.09 the combined capital and
surplus of such corporation shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published.

          The Company may not, nor may any Person directly or indirectly
controlling, controlled by, or under common control with the Company, serve as
Trustee.

          In case at any time the Trustee shall cease to be eligible in
accordance with the provisions of this Section 6.09, the Trustee shall resign
immediately in the manner and with the effect specified in Section 6.10.

          SECTION 6.10. Resignation or Removal of Trustee.

          (a)  The Trustee, or any trustee or trustees hereafter appointed, may
               at any time resign by giving written notice of such resignation
               to the Company and by mailing notice thereof to the holders of
               the Securities at their addresses as they shall appear on the
               Security register. Upon receiving such notice of resignation, the
               Company shall promptly appoint a successor trustee or trustees by
               written instrument, in duplicate, one copy of which instrument
               shall be delivered to the resigning Trustee and one copy to the
               successor trustee. If no successor trustee shall have been so
               appointed and have accepted appointment within 60 days after the
               mailing of such notice of resignation to the affected
               Securityholders, the resigning Trustee, at the expense of the
               Company, may petition any court of competent jurisdiction for the
               appointment of a successor trustee, or any Securityholder who has
               been a bona fide holder of a Security for at least six months
               may, subject to the provisions of Section 5.09, on behalf of
               himself and all others similarly situated, petition any such
               court for the appointment of a successor trustee. Such court may
               thereupon, after such notice, if any, as it may deem proper and
               prescribe, appoint a successor trustee.

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<Page>

          (b)  In case at any time any of the following shall occur:

               (1)  the Trustee shall fail to comply with the provisions of
                    Section 6.08 after written request therefor by the Company
                    or by any Securityholder who has been a bona fide holder of
                    a Security or Securities for at least six months, or

               (2)  the Trustee shall cease to be eligible in accordance with
                    the provisions of Section 6.09 and shall fail to resign
                    after written request therefor by the Company or by any such
                    Securityholder, or

               (3)  the Trustee shall become incapable of acting, or shall be
                    adjudged a bankrupt or insolvent, or a receiver of the
                    Trustee or of its property shall be appointed, or any public
                    officer shall take charge or control of the Trustee or of
                    its property or affairs for the purpose of rehabilitation,
                    conservation or liquidation, or

               (4)  the Trustee shall commence a voluntary case under the
                    Federal bankruptcy laws, as now or hereafter constituted, or
                    any other applicable Federal or state bankruptcy, insolvency
                    or similar law or shall consent to the appointment of or
                    taking possession by a receiver, custodian, liquidator,
                    assignee, trustee, sequestrator (or similar official) of the
                    Trustee or its property or affairs, or shall make an
                    assignment for the benefit of creditors, or shall admit in
                    writing its inability to pay its debts generally as they
                    become due, or shall take corporate action in furtherance of
                    any such action.

               then, in any such case, the Company may remove the Trustee and
               appoint a successor trustee by written instrument, in duplicate,
               one copy of which instrument shall be delivered to the Trustee so
               removed and one copy to the successor trustee, or, subject to the
               provisions of Section 5.09, any Securityholder who has been a
               bona fide holder of a Security for at least six months may, on
               behalf of himself and all others similarly situated, petition any
               court of competent jurisdiction for the removal of the Trustee
               and the appointment of a successor trustee. Such court may
               thereupon, after such notice, if any, as it may deem proper and
               prescribe, remove the Trustee and appoint a successor trustee.

          (c)  The holders of a majority in aggregate principal amount of the
               Securities at the time outstanding may at any time remove the
               Trustee and nominate a successor trustee, which shall be deemed
               appointed as successor trustee unless within 10 days after such
               nomination the Company objects thereto or if no successor trustee
               shall have been so appointed and shall have accepted appointment
               within 30 days after such removal, in which case the Trustee so
               removed or any Securityholder, upon the terms and conditions

                                       39
<Page>

               and otherwise as in subsection (a) of this Section 6.10 provided,
               may petition any court of competent jurisdiction for an
               appointment of a successor trustee. If a successor trustee shall
               not have accepted appointment within 30 days after the removal of
               the Trustee, the Trustee, at the expense of the Company, may
               petition any court of competent jurisdiction for the appointment
               of a successor trustee.

          (d)  Any resignation or removal of the Trustee and appointment of a
               successor trustee pursuant to any of the provisions of this
               Section 6.10 shall become effective upon acceptance of
               appointment by the successor trustee as provided in Section 6.11.

          (e)  The Company shall give notice of each resignation and each
               removal of the Trustee with respect to the Securities and each
               appointment of a successor Trustee with respect to the Securities
               to all holders of Securities. Each notice shall include the name
               of the successor Trustee and the address of its Corporate Trust
               Office.

          SECTION 6.11.  Acceptance by Successor Trustee.

          Any successor trustee appointed as provided in Section 6.10 shall
execute, acknowledge and deliver to the Company and to its predecessor trustee
an instrument accepting such appointment hereunder, and thereupon the
resignation or removal of the retiring trustee shall become effective and such
successor trustee, without any further act, deed or conveyance, shall become
vested with all the rights, powers, duties and obligations of its predecessor
hereunder, with like effect as if originally named as trustee herein; but,
nevertheless, on the written request of the Company or of the successor trustee,
the trustee ceasing to act shall, upon payment of any amounts then due it
pursuant to the provisions of Section 6.06, execute and deliver an instrument
transferring to such successor trustee all the rights and powers of the trustee
so ceasing to act and shall duly assign, transfer and deliver to such successor
trustee all property and money held by such retiring trustee thereunder. Upon
request of any such successor trustee, the Company shall execute any and all
instruments in writing for more fully and certainly vesting in and confirming to
such successor trustee all such rights and powers. Any trustee ceasing to act
shall, nevertheless, retain a lien upon all property or funds held or collected
by such trustee to secure any amounts then due it pursuant to the provisions of
Section 6.06.

          No successor trustee shall accept appointment as provided in this
Section 6.11 unless at the time of such acceptance such successor trustee shall
be qualified under the provisions of Section 6.08 and eligible under the
provisions of Section 6.09.

          Upon acceptance of appointment by a successor trustee as provided in
this Section 6.11, the Company shall mail notice of the succession of such
trustee hereunder to the holders of Securities at their addresses as they shall
appear on the Security register. If the Company fails to mail such notice within
10 days after the acceptance of appointment by the successor trustee, the
successor trustee shall cause such notice to be mailed at the expense of the
Company.

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          SECTION 6.12.  Succession by Merger, etc.

          Any corporation into which the Trustee may be merged or converted or
with which it may be consolidated, or any corporation resulting from any merger,
conversion or consolidation to which the Trustee shall be a party, or any
corporation succeeding to all or substantially all of the corporate trust
business of the Trustee, shall be the successor of the Trustee hereunder without
the execution or filing of any paper or any further act on the part of any of
the parties hereto.

          In case at the time such successor to the Trustee shall succeed to the
trusts created by this Indenture any Securities shall have been authenticated
but not delivered, any such successor to the Trustee may adopt the certificate
of authentication of any predecessor trustee, and deliver such Securities so
authenticated; and in case at that time any of the Securities shall not have
been authenticated, any successor to the Trustee may authenticate such
Securities either in the name of any predecessor hereunder or in the name of the
successor trustee; and in all such cases such certificates shall have the full
force which the Securities or this Indenture elsewhere provides that the
certificate of the Trustee shall have; provided, however, that the right to
adopt the certificate of authentication of any predecessor Trustee or
authenticate Securities in the name of any predecessor Trustee shall apply only
to its successor or successors by merger, conversion or consolidation.

          SECTION 6.13.  Limitation on Rights of Trustee as a Creditor.

          The Trustee shall comply with Section 311(a) of the Trust Indenture
Act, excluding any creditor relationship described in Section 311(b) of the
Trust Indenture Act. A Trustee who has resigned or been removed shall be subject
to Section 311(a) of the Trust Indenture Act to the extent included therein.

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          SECTION 6.14.  Authenticating Agents.

          There may be one or more Authenticating Agents appointed by the
Trustee upon the request of the Company with power to act on its behalf and
subject to its direction in the authentication and delivery of Securities issued
upon exchange or transfer thereof as fully to all intents and purposes as though
any such Authenticating Agent had been expressly authorized to authenticate and
deliver Securities; PROVIDED, that the Trustee shall have no liability to the
Company for any acts or omissions of the Authenticating Agent with respect to
the authentication and delivery of Securities. Any such Authenticating Agent
shall at all times be a corporation organized and doing business under the laws
of the United States or of any state or territory thereof or of the District of
Columbia authorized under such laws to act as Authenticating Agent, having a
combined capital and surplus of at least $50,000,000 and being subject to
supervision or examination by federal, state, territorial or District of
Columbia authority. If such corporation publishes reports of condition at least
annually pursuant to law or the requirements of such authority, then for the
purposes of this Section 6.14 the combined capital and surplus of such
corporation shall be deemed to be its combined capital and surplus as set forth
in its most recent report of condition so published. If at any time an
Authenticating Agent shall cease to be eligible in accordance with the
provisions of this Section, it shall resign immediately in the manner and with
the effect herein specified in this Section.

          Any corporation into which any Authenticating Agent may be merged or
converted or with which it may be consolidated, or any corporation resulting
from any merger, consolidation or conversion to which any Authenticating Agent
shall be a party, or any corporation succeeding to the corporate trust business
of any Authenticating Agent, shall be the successor of such Authenticating Agent
hereunder, if such successor corporation is otherwise eligible under this
Section 6.14 without the execution or filing of any paper or any further act on
the part of the parties hereto or such Authenticating Agent.

          Any Authenticating Agent may at any time resign by giving written
notice of resignation to the Trustee and to the Company. The Trustee may at any
time terminate the agency of any Authenticating Agent by giving written notice
of termination to such Authenticating Agent and to the Company. Upon receiving
such a notice of resignation or upon such a termination, or in case at any time
any Authenticating Agent shall cease to be eligible under this Section 6.14, the
Trustee may, and upon the request of the Company shall, promptly appoint a
successor Authenticating Agent eligible under this Section 6.14, shall give
written notice of such appointment to the Company and shall mail notice of such
appointment to all Securityholders as the names and addresses of such holders
appear on the Security Register. Any successor Authenticating Agent upon
acceptance of its appointment hereunder shall become vested with all rights,
powers, duties and responsibilities of its predecessor hereunder, with like
effect as if originally named as Authenticating Agent herein.

          The Company, as borrower, agrees to pay to any Authenticating Agent
from time to time reasonable compensation for its services. Any Authenticating
Agent shall have no responsibility or liability for any action taken by it as
such in accordance with the directions of the Trustee.

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                                   ARTICLE VII

                         CONCERNING THE SECURITYHOLDERS

          SECTION 7.01.  Action by Securityholders.

          Whenever in this Indenture it is provided that the holders of a
specified percentage in aggregate principal amount of the Securities may take
any action (including the making of any demand or request, the giving of any
notice, consent or waiver or the taking of any other action) the fact that at
the time of taking any such action the holders of such specified percentage have
joined therein may be evidenced (a) by any instrument or any number of
instruments of similar tenor executed by such Securityholders in person or by
agent or proxy appointed in writing, or (b) by the record of such holders of
Securities voting in favor thereof at any meeting of such Securityholders duly
called and held in accordance with the provisions of Article VIII, or (c) by a
combination of such instrument or instruments and any such record of such a
meeting of such Securityholders.

          If the Company shall solicit from the Securityholders any request,
demand, authorization, direction, notice, consent, waiver or other action, the
Company may, at its option, as evidenced by an Officers' Certificate, fix in
advance a record date for the determination of Securityholders entitled to give
such request, demand, authorization, direction, notice, consent, waiver or other
action, but the Company shall have no obligation to do so. If such a record date
is fixed, such request, demand, authorization, direction, notice, consent,
waiver or other action may be given before or after the record date, but only
the Securityholders of record at the close of business on the record date shall
be deemed to be Securityholders for the purposes of determining whether
Securityholders of the requisite proportion of outstanding Securities have
authorized or agreed or consented to such request, demand, authorization,
direction, notice, consent, waiver or other action, and for that purpose the
outstanding Securities shall be computed as of the record date; PROVIDED,
HOWEVER, that no such authorization, agreement or consent by such
Securityholders on the record date shall be deemed effective unless it shall
become effective pursuant to the provisions of this Indenture not later than six
months after the record date.

          SECTION 7.02.  Proof of Execution by Securityholders.

          Subject to the provisions of Section 6.01, 6.02 and 8.05, proof of the
execution of any instrument by a Securityholder or his agent or proxy shall be
sufficient if made in accordance with such reasonable rules and regulations as
may be prescribed by the Trustee or in such manner as shall be satisfactory to
the Trustee. The ownership of Securities shall be proved by the Security
Register or by a certificate of the Security registrar. The Trustee may require
such additional proof of any matter referred to in this Section as it shall deem
necessary.

          The record of any Securityholders' meeting shall be proved in the
manner provided in Section 8.06.

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          SECTION 7.03.  Who Are Deemed Absolute Owners.

          Prior to due presentment for registration of transfer of any Security,
the Company, the Trustee, any Authenticating Agent, any paying agent, any
transfer agent and any Security registrar may deem the person in whose name such
Security shall be registered upon the Security Register to be, and may treat him
as, the absolute owner of such Security (whether or not such Security shall be
overdue) for the purpose of receiving payment of or on account of the principal
of and (subject to Section 2.05) interest on such Security and for all other
purposes; and neither the Company nor the Trustee nor any Authenticating Agent
nor any paying agent nor any transfer agent nor any Security registrar shall be
affected by any notice to the contrary. All such payments so made to any holder
for the time being or upon his order shall be valid, and, to the extent of the
sum or sums so paid, effectual to satisfy and discharge the liability for moneys
payable upon any such Security.

          SECTION 7.04.  Securities Owned by Company Deemed Not Outstanding.

          In determining whether the holders of the requisite aggregate
principal amount of Securities have concurred in any direction, consent or
waiver under this Indenture, Securities which are owned by the Company or any
other obligor on the Securities or by any Person directly or indirectly
controlling or controlled by or under direct or indirect common control with the
Company or any other obligor on the Securities shall be disregarded and deemed
not to be outstanding for the purpose of any such determination; provided that
for the purposes of determining whether the Trustee shall be protected in
relying on any such direction, consent or waiver, only Securities which a
Responsible Officer of the Trustee actually knows are so owned shall be so
disregarded. Securities so owned which have been pledged in good faith may be
regarded as outstanding for the purposes of this Section 7.04 if the pledgee
shall establish to the satisfaction of the Trustee the pledgee's right to vote
such Securities and that the pledgee is not the Company or any such other
obligor or Person directly or indirectly controlling or controlled by or under
direct or indirect common control with the Company or any such other obligor. In
the case of a dispute as to such right, any decision by the Trustee taken upon
the advice of counsel shall be full protection to the Trustee.

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          SECTION 7.05.  Revocation of Consents; Future Holders Bound.

          At any time prior to (but not after) the evidencing to the Trustee, as
provided in Section 7.01, of the taking of any action by the holders of the
percentage in aggregate principal amount of the Securities specified in this
Indenture in connection with such action, any holder of a Security (or any
Security issued in whole or in part in exchange or substitution therefor),
subject to Section 7.01, the serial number of which is shown by the evidence to
be included in the Securities the holders of which have consented to such action
may, by filing written notice with the Trustee at its principal corporate trust
office and upon proof of holding as provided in Section 7.02, revoke such action
so far as concerns such Security (or so far as concerns the principal amount
represented by any exchanged or substituted Security). Except as aforesaid any
such action taken by the holder of any Security shall be conclusive and binding
upon such holder and upon all future holders and owners of such Security, and of
any Security issued in exchange or substitution therefor, irrespective of
whether or not any notation in regard thereto is made upon such Security or any
Security issued in exchange or substitution therefor.

                                  ARTICLE VIII

                            SECURITYHOLDERS' MEETINGS

          SECTION 8.01.  Purposes of Meetings.

          A meeting of Securityholders may be called at any time and from time
to time pursuant to the provisions of this Article VIII for any of the following
purposes:

          (a)  to give any notice to the Company or to the Trustee, or to give
               any directions to the Trustee, or to consent to the waiving of
               any default hereunder and its consequences, or to take any other
               action authorized to be taken by Securityholders pursuant to any
               of the provisions of Article V;

          (b)  to remove the Trustee and nominate a successor trustee pursuant
               to the provisions of Article VI;

          (c)  to consent to the execution of an indenture or indentures
               supplemental hereto pursuant to the provisions of Section 9.02;
               or

          (d)  to take any other action authorized to be taken by or on behalf
               of the holders of any specified aggregate principal amount of
               such Securities under any other provision of this Indenture or
               under applicable law.

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          SECTION 8.02.  Call of Meetings by Trustee.

          The Trustee may at any time call a meeting of Securityholders to take
any action specified in Section 8.01, to be held at such time and at such place
in the Borough of Manhattan, The City of New York, as the Trustee shall
determine. Notice of every meeting of the Securityholders, setting forth the
time and the place of such meeting and in general terms the action proposed to
be taken at such meeting, shall be mailed to holders of Securities at their
addresses as they shall appear on the Securities Register. Such notice shall be
mailed not less than 20 nor more than 180 days prior to the date fixed for the
meeting.

          SECTION 8.03.  Call of Meetings by Company or Securityholders.

          In case at any time the Company pursuant to a resolution of the Board
of Directors, or the holders of at least 10% in aggregate principal amount of
the Securities then outstanding, shall have requested the Trustee to call a
meeting of Securityholders, by written request setting forth in reasonable
detail the action proposed to be taken at the meeting, and the Trustee shall not
have mailed the notice of such meeting within 20 days after receipt of such
request, then the Company or such Securityholders may determine the time and the
place in said Borough of Manhattan for such meeting and may call such meeting to
take any action authorized in Section 8.01, by mailing notice thereof as
provided in Section 8.02.

          SECTION 8.04.  Qualifications for Voting.

          To be entitled to vote at any meeting of Securityholders a Person
shall (a) be a holder of one or more Securities or (b) a Person appointed by an
instrument in writing as proxy by a holder of one or more Securities. The only
Persons who shall be entitled to be present or to speak at any meeting of
Securityholders shall be the Persons entitled to vote at such meeting and their
counsel and any representatives of the Trustee and its counsel and any
representatives of the Company and its counsel.

          SECTION 8.05.  Regulations.

          Notwithstanding any other provisions of this Indenture, the Trustee
may make such reasonable regulations as it may deem advisable for any meeting of
Securityholders, in regard to proof of the holding of Securities and of the
appointment of proxies, and in regard to the appointment and duties of
inspectors of votes, the submission and examination of proxies, certificates and
other evidence of the right to vote, and such other matters concerning the
conduct of the meeting as it shall think fit.

          The Trustee shall, by an instrument in writing, appoint a temporary
chairman of the meeting, unless the meeting shall have been called by the
Company or by Securityholders as provided in Section 8.03, in which case the
Company or the Securityholders calling the meeting, as the case may be, shall in
like manner appoint a temporary chairman. A permanent chairman and a permanent
secretary of the meeting shall be elected by majority vote of the meeting.

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<Page>

          Subject to the provisions of Section 8.04, at any meeting each holder
of Securities or proxy therefor shall be entitled to one vote for each $25
principal amount of Securities held or represented by him; PROVIDED, HOWEVER,
that no vote shall be cast or counted at any meeting in respect of any Security
challenged as not outstanding and ruled by the chairman of the meeting to be not
outstanding. The chairman of the meeting shall have no right to vote other than
by virtue of Securities held by him or instruments in writing as aforesaid duly
designating him as the person to vote on behalf of other Securityholders. Any
meeting of Securityholders duly called pursuant to the provisions of Section
8.02 or 8.03 may be adjourned from time to time by a majority of those present,
and the meeting may be held as so adjourned without further notice.

          SECTION 8.06.  Voting.

          The vote upon any resolution submitted to any meeting of holders of
Securities shall be by written ballots on which shall be subscribed the
signatures of such holders or of their representatives by proxy and the serial
number or numbers of the Securities held or represented by them. The permanent
chairman of the meeting shall appoint two inspectors of votes who shall count
all votes cast at the meeting for or against any resolution and who shall make
and file with the secretary of the meeting their verified written reports in
triplicate of all votes cast at the meeting. A record in duplicate of the
proceedings of each meeting of Securityholders shall be prepared by the
secretary of the meeting and there shall be attached to said record the original
reports of the inspectors of votes on any vote by ballot taken thereat and
affidavits by one or more persons having knowledge of the facts setting forth a
copy of the notice of the meeting and showing that said notice was mailed as
provided in Section 8.02. The record shall show the serial numbers of the
Securities voting in favor of or against any resolution. The record shall be
signed and verified by the affidavits of the permanent chairman and secretary of
the meeting and one of the duplicates shall be delivered to the Company and the
other to the Trustee to be preserved by the Trustee, the latter to have attached
thereto the ballots voted at the meeting.

          Any record so signed and verified shall be conclusive evidence of the
matters therein stated.

                                   ARTICLE IX

                                   AMENDMENTS

          SECTION 9.01.  Without Consent of Securityholders.

          The Company, when authorized by a Board Resolution, and the Trustee
may from time to time and at any time amend the Indenture, without the consent
of the Securityholders, for one or more of the following purposes:

          (a)  to evidence the succession of another Person to the Company, or
               successive successions, and the assumption by the successor
               Person of the covenants, agreements and obligations of the
               Company pursuant to Article X hereof;

                                       47
<Page>

          (b)  to add to the covenants of the Company such further covenants,
               restrictions or conditions for the protection of the
               Securityholders as the Board of Directors shall consider to be
               for the protection of the Securityholders, and to make the
               occurrence, or the occurrence and continuance, of a default in
               any of such additional covenants, restrictions or conditions a
               default or an Event of Default permitting the enforcement of all
               or any of the remedies provided in this Indenture as herein set
               forth; provided, however, that in respect of any such additional
               covenant, restriction or condition such amendment may provide for
               a particular period of grace after default (which period may be
               shorter or longer than that allowed in the case of other
               defaults) or may provide for an immediate enforcement upon such
               default or may limit the remedies available to the Trustee upon
               such default;

          (c)  to cure any ambiguity or to correct or supplement any provision
               contained herein or in any supplemental indenture which may be
               defective or inconsistent with any other provision contained
               herein or in any supplemental indenture, or to make such other
               provisions in regard to matters or questions arising under this
               Indenture; PROVIDED THAT any such action shall not adversely
               affect the interests of the holders of the Securities;

          (d)  to evidence and provide for the acceptance of appointment
               hereunder by a successor trustee with respect to the Securities;

          (e)  to make provision for transfer procedures, certification,
               book-entry provisions and all other matters required pursuant to
               Section 2.06 or otherwise necessary, desirable or appropriate in
               connection with the issuance of Securities to holders of
               Preferred Securities in the event of a distribution of Securities
               by Coastal Capital Trust I following a Dissolution Event;

          (f)  to qualify or maintain qualification of this Indenture under the
               Trust Indenture Act; and

          (g)  to make any change that does not adversely affect the rights of
               any Securityholder.

          The Trustee is hereby authorized to join with the Company in the
execution of any supplemental indenture to effect such amendment, to make any
further appropriate agreements and stipulations which may be therein contained
and to accept the conveyance, transfer and assignment of any property
thereunder, but the Trustee shall not be obligated to, but may in its
discretion, enter into any such supplemental indenture which affects the
Trustee's own rights, duties or immunities under this Indenture or otherwise.

                                       48
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          Any amendment to the Indenture authorized by the provisions of this
Section 9.01 may be executed by the Company and the Trustee without the consent
of the holders of any of the Securities at the time outstanding, notwithstanding
any of the provisions of Section 9.02.

          SECTION 9.02.  With Consent of Securityholders.

          With the consent (evidenced as provided in Section 7.01) of the
holders of a majority in aggregate principal amount of the Securities at the
time outstanding, the Company, when authorized by a Board Resolution, and the
Trustee may from time to time and at any time amend the Indenture for the
purpose of adding any provisions to or changing in any manner or eliminating any
of the provisions of this Indenture or of modifying in any manner the rights of
the holders of the Securities; provided, however, that no such amendment shall
without the consent of the holders of each Security then outstanding and
affected thereby (i) change the Maturity Date of any Security, or reduce the
rate or extend the time of payment of interest thereon (except as contemplated
by Article XVI), or reduce the principal amount thereof, or reduce any amount
payable on redemption thereof, or make the principal thereof or any interest
thereon payable in any coin or currency other than that provided in the
Securities, or impair or affect the right of any Securityholder to institute
suit for payment thereof, or (ii) reduce the aforesaid percentage of Securities
the holders of which are required to consent to any such amendment to the
Indenture, PROVIDED, HOWEVER, that if the Securities are held by Coastal Capital
Trust I, such amendment shall not be effective until the holders of a majority
in liquidation amount of Trust Securities shall have consented to such
amendment; PROVIDED, FURTHER, that if the consent of the holder of each
outstanding Security is required, such amendment shall not be effective until
each holder of the Trust Securities shall have consented to such amendment.

          Upon the request of the Company accompanied by a copy of a resolution
of the Board of Directors certified by its Secretary or Assistant Secretary
authorizing the execution of any supplemental indenture affecting such
amendment, and upon the filing with the Trustee of evidence of the consent of
Securityholders as aforesaid, the Trustee shall join with the Company in the
execution of such supplemental indenture unless such supplemental indenture
affects the Trustee's own rights, duties or immunities under this Indenture or
otherwise, in which case the Trustee may in its discretion, but shall not be
obligated to, enter into such supplemental indenture.

          Promptly after the execution by the Company and the Trustee of any
supplemental indenture pursuant to the provisions of this Section, the Trustee
shall transmit by mail, first class postage prepaid, a notice, prepared by the
Company, setting forth in general terms the substance of such supplemental
indenture, to the Securityholders as their names and addresses appear upon the
Security Register. Any failure of the Trustee to mail such notice, or any defect
therein, shall not, however, in any way impair or affect the validity of any
such supplemental indenture.

          It shall not be necessary for the consent of the Securityholders under
this Section 9.02 to approve the particular form of any proposed supplemental
indenture, but it shall be sufficient if such consent shall approve the
substance thereof.

                                       49
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          SECTION 9.03.  Compliance with Trust Indenture Act; Effect of
                         Supplemental Indentures.

          Any supplemental indenture executed pursuant to the provisions of this
Article IX shall comply with the Trust Indenture Act. Upon the execution of any
supplemental indenture pursuant to the provisions of this Article IX, this
Indenture shall be and be deemed to be modified and amended in accordance
therewith and the respective rights, limitations of rights, obligations, duties
and immunities under this Indenture of the Trustee, the Company and the holders
of Securities shall thereafter be determined, exercised and enforced hereunder
subject in all respects to such modifications and amendments and all the terms
and conditions of any such supplemental indenture shall be and be deemed to be
part of the terms and conditions of this Indenture for any and all purposes.

          SECTION 9.04.  Notation on Securities.

          Securities authenticated and delivered after the execution of any
supplemental indenture affecting such series pursuant to the provisions of this
Article IX may bear a notation in form approved by the Trustee as to any matter
provided for in such supplemental indenture. If the Company or the Trustee shall
so determine, new Securities so modified as to conform, in the opinion of the
Trustee and the Board of Directors, to any modification of this Indenture
contained in any such supplemental indenture may be prepared and executed by the
Company, authenticated by the Trustee or the Authenticating Agent and delivered
in exchange for the Securities then outstanding.

          SECTION 9.05.  Evidence of Compliance of Supplemental Indenture to be
                         Furnished Trustee.

          The Trustee, subject to the provisions of Sections 6.01 and 6.02, may
receive and rely upon, in addition to the document required by Section 13.06, an
Officers' Certificate and an Opinion of Counsel as conclusive evidence that any
supplemental indenture executed pursuant hereto complies with the requirements
of this Article IX.

                                    ARTICLE X

                CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE

          SECTION 10.01. Company May Consolidate, etc., on Certain Terms.

          Nothing contained in this Indenture or in any of the Securities shall
prevent any consolidation or merger of the Company with or into any other Person
(whether or not affiliated with the Company, as the case may be), or successive
consolidations or mergers in which the Company or its successor or successors,
as the case may be, shall be a party or parties, or shall prevent any sale,
conveyance, transfer or lease of the property of the Company, or its successor
or successors as the case may be, as an entirety, or substantially as an
entirety, to any other Person (whether or not affiliated with the Company, or
its successor or successors, as the case

                                       50
<Page>

may be) authorized to acquire and operate the same; PROVIDED, that (a) the
Company is the surviving Person, or the Person formed by or surviving any such
consolidation or merger (if other than the Company) or to which such sale,
conveyance, transfer or lease of property is made is a Person organized and
existing under the laws of the United States or any State thereof or the
District of Columbia, and (b) upon any such consolidation, merger, sale,
conveyance, transfer or lease, the due and punctual payment of the principal of
and interest on the Securities according to their tenor and the due and punctual
performance and observance of all the covenants and conditions of this Indenture
to be kept or performed by the Company shall be expressly assumed, by
supplemental indenture (which shall conform to the provisions of the Trust
Indenture Act, as then in effect) satisfactory in form to the Trustee executed
and delivered to the Trustee by the Person formed by such consolidation, or into
which the Company shall have been merged, or by the Person which shall have
acquired such property, as the case may be, (c) after giving effect to such
consolidation, merger, sale, conveyance, transfer or lease, no Default or Event
of Default, or any event which, after notice or lapse of time or both, would
become a Default or an Event of Default, shall have occurred and be continuing
and (d) such consolidation, merger, sale, conveyance, transfer or lease does not
cause the Securities to be downgraded by a nationally recognized statistical
rating organization.

          SECTION 10.02. Successor Corporation to be Substituted for Company.

          In case of any such consolidation, merger, conveyance or transfer and
upon the assumption by the successor corporation, by supplemental indenture,
executed and delivered to the Trustee and satisfactory in form to the Trustee,
of the due and punctual payment of the principal of and interest on all of the
Securities and the due and punctual performance and observance of all of the
covenants and conditions of this Indenture to be performed or observed by the
Company, such successor Person shall succeed to and be substituted for the
Company, with the same effect as if it had been named herein as the party of the
first part, and the Company thereupon shall be relieved of any further liability
or obligation hereunder or upon the Securities. Such successor Person thereupon
may cause to be signed, and may issue either in its own name or in the name of
Coastal Capital Trust I, any or all of the Securities issuable hereunder which
theretofore shall not have been signed by the Company and delivered to the
Trustee or the Authenticating Agent; and, upon the order of such successor
Person instead of the Company and subject to all the terms, conditions and
limitations in this Indenture prescribed, the Trustee or the Authenticating
Agent shall authenticate and deliver any Securities which previously shall have
been signed and delivered by the officers of the Company to the Trustee or the
Authenticating Agent for authentication, and any Securities which such successor
Person thereafter shall cause to be signed and delivered to the Trustee or the
Authenticating Agent for that purpose. All the Securities so issued shall in all
respects have the same legal rank and benefit under this Indenture as the
Securities theretofore or thereafter issued in accordance with the terms of this
Indenture as though all of such Indentures had been issued at the date of the
execution hereof.

                                       51
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          SECTION 10.03. Opinion of Counsel to be Given Trustee.

          The Trustee, subject to the provisions of Sections 6.01 and 6.02, may
receive an Opinion of Counsel as conclusive evidence that any consolidation,
merger, sale, conveyance, transfer or lease, and any assumption, permitted or
required by the terms of this Article X complies with the provisions of this
Article X.

                                   ARTICLE XI

                     SATISFACTION AND DISCHARGE OF INDENTURE

          SECTION 11.01. Discharge of Indenture.

          When (a) the Company shall deliver to the Trustee for cancellation all
Securities theretofore authenticated (other than any Securities which shall have
been destroyed, lost or stolen and which shall have been replaced as provided in
Section 2.07) and not theretofore canceled, or (b) all the Securities not
theretofore canceled or delivered to the Trustee for cancellation shall have
become due and payable, or are by their terms to become due and payable within
one year or are to be called for redemption within one year under arrangements
satisfactory to the Trustee for the giving of notice of redemption, and the
Company shall deposit with the Trustee, in trust, funds sufficient to pay on the
Maturity Date or upon redemption all of the Securities (other than any
Securities which shall have been destroyed, lost or stolen and which shall have
been replaced as provided in Section 2.07) not theretofore canceled or delivered
to the Trustee for cancellation, including principal and interest (including
Compounded Interest and Additional Sums, if any) due or to become due to the
Maturity Date or redemption date, as the case may be, but excluding, however,
the amount of any moneys for the payment of principal of or interest (including
Compounded Interest and Additional Sums, if any) on the Securities (1)
theretofore repaid to the Company in accordance with the provisions of Section
11.04, or (2) paid to any State or to the District of Columbia pursuant to its
unclaimed property or similar laws, and if in either case the Company shall also
pay or cause to be paid all other sums payable hereunder by the Company, then
this Indenture shall cease to be of further effect except for the provisions of
Sections 2.02, 2.06, 2.07, 3.01, 3.02, 3.04, 6.06, 6.10 and 11.04 hereof, which
shall survive until such Securities shall mature and be paid. Thereafter,
Sections 6.06, 6.10 and 11.04 shall survive, and the Trustee, on demand of the
Company accompanied by any Officers' Certificate and an Opinion of Counsel and
at the cost and expense of the Company, shall execute proper instruments
acknowledging satisfaction of and discharging this Indenture, the Company,
however, hereby agreeing to reimburse the Trustee for any costs or expenses
thereafter reasonably and properly incurred by the Trustee in connection with
this Indenture or the Securities.

                                       52
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          SECTION 11.02. Deposited Moneys and U.S. Government Obligations to be
                         Held in Trust by Trustee.

          Subject to the provisions of Section 11.04, all moneys and U.S.
Government Obligations deposited with the Trustee pursuant to Sections 11.01 or
11.05 shall be held in trust and applied by it to the payment, either directly
or through any paying agent (including the Company if acting as its own paying
agent), to the holders of the particular Securities for the payment of which
such moneys or U.S. Government Obligations have been deposited with the Trustee,
of all sums due and to become due thereon for principal and interest (including
Additional Sums and Compounded Interest, if any).

          The Company shall pay and indemnify the Trustee against any tax, fee
or other charge imposed on or assessed against the U.S. Government Obligations
deposited pursuant to Section 11.05 or the principal and interest received in
respect thereof other than any such tax, fee or other charge which by law is for
the account of the holders of outstanding Securities.

          SECTION 11.03. Paying Agent to Repay Moneys Held.

          Upon the satisfaction and discharge of this Indenture all moneys then
held by any paying agent of the Securities (other than the Trustee) shall, upon
written demand of the Company, be repaid to it or paid to the Trustee, and
thereupon such paying agent shall be released from all further liability with
respect to such moneys.

          SECTION 11.04. Return of Unclaimed Moneys.

          Any moneys deposited with or paid to the Trustee or any paying agent
for payment of the principal of or interest on Securities and not applied but
remaining unclaimed by the holders of Securities for two years after the date
upon which the principal of or interest (including Compounded Interest and
Additional Sums, if any) on such Securities, as the case may be, shall have
become due and payable, shall be repaid to the Company by the Trustee or such
paying agent on written demand; and the holder of any of the Securities shall
thereafter look only to the Company for any payment which such holder may be
entitled to collect and all liability of the Trustee or such paying agent with
respect to such moneys shall thereupon cease.

          SECTION 11.05. Defeasance Upon Deposit of Moneys or U.S. Government
                         Obligations.

          The Company shall be deemed to have been Discharged (as defined below)
from its obligations with respect to the Securities on the 91st day after the
applicable conditions set forth below have been satisfied:

          (1)  the Company shall have deposited or caused to be deposited
               irrevocably with the Trustee or the Defeasance Agent (as defined
               below) as trust funds in trust, specifically pledged as security
               for, and dedicated solely to, the benefit of the holders of the
               Securities (i) money in an amount, or (ii) U.S. Government
               Obligations which through the payment of interest and

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               principal in respect thereof in accordance with their terms will
               provide, not later than one day before the due date of any
               payment, money in an amount, or (iii) a combination of (i) and
               (ii), sufficient, in the opinion (with respect to (ii) and (iii))
               of a nationally recognized firm of independent public accountants
               expressed in a written certification thereof delivered to the
               Trustee and the Defeasance Agent, if any, to pay and discharge
               each installment of principal of and interest on the outstanding
               Securities on the dates such installments of principal and
               interest are due;

          (2)  if the Securities are then listed on any national securities
               exchange, the Company shall have delivered to the Trustee and the
               Defeasance Agent, if any, an Opinion of Counsel to the effect
               that the exercise of the option under this Section 11.05 would
               not cause such Securities to be delisted from such exchange;

          (3)  no Default or Event of Default with respect to the Securities
               shall have occurred and be continuing on the date of such
               deposit;

          (4)  the Company shall have delivered to the Trustee and the
               Defeasance Agent, if any, an Opinion of Counsel to the effect
               that holders of the Securities will not recognize income, gain or
               loss for United States federal income tax purposes as a result of
               the exercise of the option under this Section 11.05 and will be
               subject to United States federal income tax on the same amount
               and in the same manner and at the same times as would have been
               the case if such option had not been exercised, and such opinion
               shall be based on a statute so providing or be accompanied by a
               private letter ruling to that effect received from the United
               States Internal Revenue Service or a revenue ruling pertaining to
               a comparable form of transaction to that effect published by the
               United States Internal Revenue Service;

          (5)  the Trustee will not have a conflicting interest within the
               meaning of the Trust Indenture Act;

          (6)  a breach or violation of, or default under, any other agreement
               or instrument to which the Company is a party or by which it is
               bound will not result;

          (7)  a trust arising from such deposit will not result which
               constitutes an investment company within the meaning of the
               Investment Company Act of 1940, as amended, unless such trust
               shall be qualified or exempt from regulation thereunder; and

          (8)  the Company shall have delivered to the Trustee an Officers'
               Certificate and an Opinion of Counsel, each stating that all
               conditions precedent with respect to such Discharge have been
               complied with.

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          "Discharged" means that the Company shall be deemed to have paid and
discharged the entire indebtedness represented by, and obligations under, the
Securities and to have satisfied all the obligations under this Indenture
relating to the Securities (and the Trustee, at the expense of the Company,
shall execute proper instruments acknowledging the same), except (A) the rights
of holders of Securities to receive, from the trust fund described in clause (1)
above, payment of the principal of and the interest on the Securities when such
payments are due; (B) the Company's obligations with respect to the Securities
under Sections 2.06, 2.07, 5.02 and 11.04; and (C) the rights, powers, trusts,
duties and immunities of the Trustee hereunder.

          "Defeasance Agent" means another financial institution which is
eligible to act as Trustee hereunder and which assumes all of the obligations of
the Trustee necessary to enable the Trustee to act hereunder. In the event such
a Defeasance Agent is appointed pursuant to this Section, the following
conditions shall apply:

          (1)  The Trustee shall have approval rights over the document
               appointing such Defeasance Agent and the document setting forth
               such Defeasance Agent's rights and responsibilities;

          (2)  The Defeasance Agent shall provide verification to the Trustee
               acknowledging receipt of sufficient money and/or U. S. Government
               Obligations to meet the applicable conditions set forth in this
               Section 11.05.

                                   ARTICLE XII

         IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS

          SECTION 12.01. Indenture and Securities Solely Corporate Obligations.

          No recourse for the payment of the principal of or interest on any
Security, or for any claim based thereon or otherwise in respect thereof, and no
recourse under or upon any obligation, covenant or agreement of the Company in
this Indenture, or in any Security, or because of the creation of any
indebtedness represented thereby, shall be had against any incorporator,
stockholder, officer or director, as such, past, present or future, of the
Company or of any successor Person to the Company, either directly or through
the Company or any successor Person to the Company, whether by virtue of any
constitution, statute or rule of law, or by the enforcement of any assessment or
penalty or otherwise; it being expressly understood that all such liability is
hereby expressly waived and released as a condition of, and as a consideration
for, the execution of this Indenture and the issue of the Securities.

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                                  ARTICLE XIII

                            MISCELLANEOUS PROVISIONS

          SECTION 13.01. Successors.

          All the covenants, stipulations, promises and agreements in this
Indenture contained by the Company shall bind its successors and assigns whether
so expressed or not.

          SECTION 13.02. Official Acts by Successor Corporation.

          Any act or proceeding by any provision of this Indenture authorized or
required to be done or performed by any board, committee or officer of the
Company shall and may be done and performed with like force and effect by the
like board, committee or officer of any corporation that shall at the time be
the lawful sole successor of the Company.

          SECTION 13.03. Surrender of Company Powers.

          The Company by instrument in writing executed by authority of 2/3
(two-thirds) of its Board of Directors and delivered to the Trustee may
surrender any of the powers reserved to the Company, and thereupon such power so
surrendered shall terminate both as to the Company, as the case may be, and as
to any successor Person.

          SECTION 13.04. Addresses for Notices, etc.

          Any notice or demand which by any provision of this Indenture is
required or permitted to be given or served by the Trustee or by the holders of
Securities on the Company may be given or served by being deposited postage
prepaid by first class mail, registered or certified mail, overnight courier
service or conformed telecopy addressed (until another address is filed by the
Company with the Trustee for the purpose) to the Company at 5718 Westheimer,
Suite 600, Houston, Texas 77057, Attention: Catherine N. Wylie. Any notice,
direction, request or demand by any Securityholder to or upon the Trustee shall
be deemed to have been sufficiently given or made, for all purposes, if given or
made in writing (which may be by facsimile) at the office of the Trustee, 5 Penn
Plaza, 13th Floor York, New York 10001, Attention: Corporate Trust Trustee
Administration, facsimile: (212) ___-_____ (unless another address is provided
by the Trustee to the Company for such purpose). Any notice or communication to
a Securityholder shall be mailed by first class mail to his or her address shown
on the register kept by the Security Registrar. Failure to mail a notice or
communication to a Securityholder or any defect in it shall not affect its
sufficiency with respect to other Securityholders.

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          SECTION 13.05. Governing Law.

          THIS INDENTURE AND EACH SECURITY SHALL BE DEEMED TO BE A CONTRACT MADE
UNDER THE LAWS OF THE STATE OF NEW YORK, AND FOR ALL PURPOSES SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF SAID STATE, WITHOUT REGARD TO
CONFLICTS OF LAWS PRINCIPLES THEREOF.

          SECTION 13.06. Evidence of Compliance with Conditions Precedent.

          Upon any application or demand by the Company to the Trustee to take
any action under any of the provisions of this Indenture, the Company shall
furnish to the Trustee an Officers' Certificate stating that in the opinion of
the signers all conditions precedent, if any, provided for in this Indenture
relating to the proposed action have been complied with and an Opinion of
Counsel stating that, in the opinion of such counsel, all such conditions
precedent have been complied with.

          Each certificate or opinion provided for in this Indenture and
delivered to the Trustee with respect to compliance with a condition or covenant
provided for in this Indenture (except certificates delivered pursuant to
Section 3.05) shall include (1) a statement that the Person making such
certificate or opinion has read such covenant or condition; (2) a brief
statement as to the nature and scope of the examination or investigation upon
which the statements or opinions contained in such certificate or opinion are
based; (3) a statement that, in the opinion of such Person, he has made such
examination or investigation as is necessary to enable him to express an
informed opinion as to whether or not such covenant or condition has been
complied with; and (4) a statement as to whether or not, in the opinion of such
person, such condition or covenant has been complied with.

          SECTION 13.07. Business Days.

          In any case where the date of payment of principal of or interest on
the Securities will not be a Business Day, the payment of such principal of or
interest on the Securities need not be made on such date but may be made on the
next succeeding Business Day, with the same force and effect as if made on the
date of payment and no interest shall accrue for the period from and after such
date, except that if such next succeeding Business Day falls in the next
succeeding calendar year, then such payment shall be made on the immediately
preceding Business Day, in each case with the same force and effect as if made
on such date.

          SECTION 13.08. Trust Indenture Act to Control.

          This Indenture is subject to and shall be governed by the provisions
of the Trust Indenture Act that are required to be a part of this Indenture. If
any provision hereof limits, qualifies or conflicts with a provision of the
Trust Indenture Act that is required under such act to be a part of and govern
this Indenture, the Trust Indenture Act provision shall control. If any
provision of this Indenture modifies or excludes any provision of the Trust
Indenture Act that

                                       57
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may be so modified or excluded, the latter provision shall be deemed to apply to
this Indenture as so modified or to be excluded, as the case may be.

          SECTION 13.09. Table of Contents, Headings, etc.

          The table of contents and the titles and headings of the articles and
sections of this Indenture have been inserted for convenience of reference only,
are not to be considered a part hereof, and shall in no way modify or restrict
any of the terms or provisions hereof.

          SECTION 13.10. Execution in Counterparts.

          This Indenture may be executed in any number of counterparts, each of
which shall be an original, but such counterparts shall together constitute but
one and the same instrument.

          SECTION 13.11. Separability.

          In case any one or more of the provisions contained in this Indenture
or in the Securities shall for any reason be held to be invalid, illegal or
unenforceable in any respect, such invalidity, illegality or unenforceability
shall not affect any other provisions of this Indenture or of the Securities,
but this Indenture and the Securities shall be construed as if such invalid or
illegal or unenforceable provision had never been contained herein or therein.

          SECTION 13.12. Assignment.

          The Company will have the right at all times to assign any of its
respective rights or obligations under this Indenture to a direct or indirect
wholly owned Subsidiary of the Company, PROVIDED that, in the event of any such
assignment, the Company will remain primarily liable for all such obligations.
Subject to the foregoing, the Indenture is binding upon and inures to the
benefit of the parties thereto and their respective successors and assigns. This
Indenture may not otherwise be assigned by the parties thereto.

          SECTION 13.13. Acknowledgment of Rights.

          The Company acknowledges that, with respect to any Securities held by
Coastal Capital Trust I or a trustee of such trust, if the Property Trustee of
such Trust fails to enforce its rights under this Indenture as the holder of the
Securities held as the assets of Coastal Capital Trust I, any holder of
Preferred Securities may institute legal proceedings directly against the
Company to enforce such Property Trustee's rights under this Indenture without
first instituting any legal proceedings against such Property Trustee or any
other person or entity. Notwithstanding the foregoing, if an Event of Default
has occurred and is continuing and such event is attributable to the failure of
the Company to pay principal of or interest on the Securities when due, the
Company acknowledges that a holder of Preferred Securities may directly
institute a proceeding for enforcement of payment to such holder of the
principal of or interest on the Securities having a principal amount equal to
the aggregate liquidation amount of the Preferred Securities of such holder on
or after the respective due date specified in the Securities.

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                                   ARTICLE XIV

                            REDEMPTION OF SECURITIES

          SECTION 14.01. Special Event Redemption.

          If a Special Event has occurred and is continuing then,
notwithstanding Section 14.02(a) but subject to Section 14.02(c), the Company
shall have the right, at any time within 90 days following the occurrence of
such Special Event, upon (i) not less than 45 days written notice to the Trustee
and (ii) not less than 30 days nor more than 60 days written notice to the
Securityholders, to redeem the Securities, in whole (but not in part), at the
Redemption Price. The Redemption Price shall be paid prior to 12:00 noon, New
York time, on the date of such redemption or such earlier time as the Company
determines, PROVIDED that the Company shall deposit with the Trustee an amount
sufficient to pay the Redemption Price by 10:00 a.m., New York time, on the date
such Redemption Price is to be paid.

          SECTION 14.02. Optional Redemption by Company.

          (a) Subject to the provisions of this Article XIV, the Company shall
have the right to redeem the Securities, in whole or in part, from time to time,
on or after ________ __, 2007, at the Redemption Price.

          If the Securities are only partially redeemed pursuant to this Section
14.02, the Securities to be redeemed shall be selected on a pro rata basis, by
lot or by such other method that the Trustee shall deem appropriate not more
than 60 days prior to the date fixed for redemption from the outstanding
Securities not previously called for redemption, PROVIDED, HOWEVER, that any
such method of selection may be made on the basis of the aggregate principal
amount of Securities held by each Securityholder and may be made by making such
adjustments as the Company deems fair and appropriate in order that only
Securities in denominations of $25 or integral multiples thereof shall be
redeemed. The Redemption Price shall be paid prior to 12:00 noon, New York time,
on the date of such redemption or at such earlier time as the Company
determines, PROVIDED that the Company shall deposit with the Trustee an amount
sufficient to pay the Redemption Price by 10:00 a.m., New York time, on the date
such Redemption Price is to be paid.

          (b) Notwithstanding the first sentence of Section 14.02, upon the
entry of an order for dissolution of the Coastal Capital Trust I by a court of
competent jurisdiction, the Securities thereafter will be subject to optional
redemption, in whole only, but not in part, on or after __________ __, 2007, at
the Redemption Price, and otherwise in accordance with this Article XIV.

          (c) Any redemption of Securities pursuant to Section 14.01 or Section
14.02 shall be subject to the receipt by the Company of any required regulatory
approval.

          (d) The Company shall not effect a partial redemption of the
Securities if such partial redemption would result in a delisting of the
Preferred Securities from the NASDAQ

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National Market or such other exchange or organization as the Preferred
Securities are then listed.

          SECTION 14.03. No Sinking Fund.

          The Securities are not entitled to the benefit of any sinking fund.

          SECTION 14.04. Notice of Redemption; Selection of Securities.

          In case the Company shall desire to exercise the right to redeem all,
or, as the case may be, any part of the Securities in accordance with their
terms, it shall fix a date for redemption and shall mail a notice of such
redemption at least 30 and not more than 60 days prior to the date fixed for
redemption to the holders of Securities so to be redeemed as a whole or in part
at their last addresses as the same appear on the Security Register. Such
mailing shall be by first class mail. The notice if mailed in the manner herein
provided shall be conclusively presumed to have been duly given, whether or not
the holder receives such notice. In any case, failure to give such notice by
mail or any defect in the notice to the holder of any Security designated for
redemption as a whole or in part shall not affect the validity of the
proceedings for the redemption of any other Security.

          Each such notice of redemption shall specify the CUSIP number of the
Securities to be redeemed, the date fixed for redemption, the redemption price
at which the Securities are to be redeemed (or the method by which such
redemption price is to be calculated), the place or places of payment that
payment will be made upon presentation and surrender of the Securities, that
interest accrued to the date fixed for redemption will be paid as specified in
said notice, and that on and after said date interest thereon or on the portions
thereof to be redeemed will cease to accrue. If less than all the Securities are
to be redeemed the notice of redemption shall specify the numbers of the
Securities to be redeemed. In case any Security is to be redeemed in part only,
the notice of redemption shall state the portion of the principal amount thereof
to be redeemed and shall state that on and after the date fixed for redemption,
upon surrender of such Security, a new Security or Securities in principal
amount equal to the unredeemed portion thereof will be issued.

          By 10:00 a.m. New York time on the redemption date specified in the
notice of redemption given as provided in this Section, the Company will deposit
with the Trustee or with one or more paying agents an amount of money sufficient
to redeem on the redemption date all the Securities so called for redemption at
the appropriate Redemption Price, together with accrued interest to the date
fixed for redemption.

          The Company will give the Trustee notice not less than 45 days prior
to the redemption date as to the aggregate principal amount of Securities to be
redeemed and the Trustee shall select, in such manner as in its sole discretion
it shall deem appropriate and fair, the Securities or portions thereof (in
integral multiples of $25, except as otherwise set forth in the applicable form
of Security) to be redeemed.

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          SECTION 14.05. Payment of Securities Called for Redemption.

          If notice of redemption has been given as provided in Section 14.04,
the Securities or portions of Securities with respect to which such notice has
been given shall become due and payable on the date and at the place or places
stated in such notice at the Redemption Price, together with interest accrued to
the date fixed for redemption (subject to the rights of holders of Securities on
the close of business on a regular record date in respect of an Interest Payment
Date occurring on or prior to the redemption date), and on and after said date
(unless the Company shall default in the payment of such Securities at the
Redemption Price, together with interest accrued to said date) interest
(including Compounded Interest and Additional Sums, if any) on the Securities or
portions of Securities so called for redemption shall cease to accrue. On
presentation and surrender of such Securities at a place of payment specified in
said notice, the said Securities or the specified portions thereof shall be paid
and redeemed by the Company at the Redemption Price, together with interest
(including Compounded Interest and Additional Sums, if any) accrued thereon to
the date fixed for redemption (subject to the rights of holders of Securities on
the close of business on a regular record date in respect of an Interest Payment
Date occurring on or prior to the redemption date).

          Upon presentation of any Security redeemed in part only, the Company
shall execute and the Trustee shall authenticate and make available for delivery
to the holder thereof, at the expense of the Company, a new Security or
Securities of authorized denominations, in principal amount equal to the
unredeemed portion of the Security so presented.

                                   ARTICLE XV

                           SUBORDINATION OF SECURITIES

          SECTION 15.01. Agreement to Subordinate.

          The Company covenants and agrees, and each holder of Securities issued
hereunder likewise covenants and agrees, that the Securities shall be issued
subject to the provisions of this Article XV; and each holder of a Security,
whether upon original issue or upon transfer or assignment thereof, accepts and
agrees to be bound by such provisions.

          The payment by the Company of the principal of and interest (including
Compounded Interest and Additional Sums, if any) on all Securities issued
hereunder shall, to the extent and in the manner hereinafter set forth, be
subordinated and junior in right of payment in full of principal of all
Allocable Amounts on such Senior and Subordinated Indebtedness, whether
outstanding at the date of this Indenture or thereafter incurred.

          No provision of this Article XV shall prevent the occurrence of any
Default or Event of Default hereunder.

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          SECTION 15.02. Default on Senior and Subordinated Indebtedness.

          In the event and during the continuation of any default by the Company
in the payment of principal, interest or any other payment due on any Senior and
Subordinated Indebtedness (after any grace period with respect to such default
has expired and such default has not been cured or waived or ceased to exist),
or in the event that the maturity of any Senior and Subordinated Indebtedness
has been accelerated because of a default, then, in either case, no payment
shall be made by the Company with respect to the principal (including redemption
payments) of or interest on the Securities.

          In the event of the acceleration of the maturity of the Securities,
then no payment shall be made by the Company with respect to the principal
(including redemption payments) of or interest on the Securities until the
holders of all Senior and Subordinated Indebtedness outstanding at the time of
such acceleration shall receive payment in full of such Senior and Subordinated
Indebtedness (including any amounts due upon acceleration).

          In the event that, notwithstanding the foregoing, any payment shall be
received by the Trustee when such payment is prohibited by the preceding
paragraphs of this Section 15.02, such payment shall be held in trust for the
benefit of, and shall be paid over or delivered to, the holders of Senior and
Subordinated Indebtedness or their respective representatives, or to the trustee
or trustees under any indenture pursuant to which any of such Senior and
Subordinated Indebtedness may have been issued, as their respective interests
may appear, but only to the extent that the holders of the Senior and
Subordinated Indebtedness (or their representative or representatives or a
trustee) notify the Trustee in writing, within 90 days of such payment of the
amounts then due and owing on such Senior and Subordinated Indebtedness and only
the amounts specified in such notice to the Trustee shall be paid to the holders
of such Senior and Subordinated Indebtedness.

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          SECTION 15.03. Liquidation; Dissolution; Bankruptcy.

          Upon any payment by the Company or distribution of assets of the
Company of any kind or character, whether in cash, property or securities, to
creditors upon any dissolution or winding-up or liquidation or reorganization of
the Company, whether voluntary or involuntary or in bankruptcy, insolvency,
receivership or other proceedings, all Senior and Subordinated Indebtedness of
the Company shall first be paid in full, or payment thereof provided for in
money in accordance with its terms, before any payment is made by the Company on
account of the principal or interest (including Compounded Interest and
Additional Sums, if any) on the Securities; and upon any such dissolution or
winding-up or liquidation or reorganization, any payment by the Company, or
distribution of assets of the Company of any kind or character, whether in cash,
property or securities, to which the Securityholders or the Trustee would be
entitled to receive from the Company, except for the provisions of this Article
XV, shall be paid by the Company or by any receiver, trustee in bankruptcy,
liquidating trustee, agent or other Person making such payment or distribution,
or by the Securityholders or by the Trustee under the Indenture if received by
them or it, directly to the holders of Senior and Subordinated Indebtedness of
the Company (PRO RATA to such holders on the basis of the respective amounts of
Senior and Subordinated Indebtedness held by such holders, as calculated by the
Company) or their representative or representatives, or to the trustee or
trustees under any indenture pursuant to which any instruments evidencing such
Senior and Subordinated Indebtedness may have been issued, as their respective
interests may appear, to the extent necessary to pay all such Senior and
Subordinated Indebtedness in full, in money or money's worth, after giving
effect to any concurrent payment or distribution to or for the holders of such
Senior and Subordinated Indebtedness, before any payment or distribution is made
to the Securityholders or to the Trustee.

          In the event that, notwithstanding the foregoing, any payment or
distribution of assets of the Company of any kind or character, whether in cash,
property or securities, prohibited by the foregoing, shall be received by the
Trustee before all Senior and Subordinated Indebtedness is paid in full, or
provision is made for such payment in money in accordance with its terms, such
payment or distribution shall be held in trust for the benefit of and shall be
paid over or delivered to the holders of such Senior and Subordinated
Indebtedness or their representative or representatives, or to the trustee or
trustees under any indenture pursuant to which any instruments evidencing such
Senior and Subordinated Indebtedness may have been issued, as their respective
interests may appear, as calculated by the Company, for application to the
payment of all Senior and Subordinated Indebtedness remaining unpaid to the
extent necessary to pay all such Senior and Subordinated Indebtedness in full in
money in accordance with its terms, after giving effect to any concurrent
payment or distribution to or for the benefit of the holders of such Senior and
Subordinated Indebtedness.

          For purposes of this Article XV, the words "cash, property or
securities" shall not be deemed to include shares of stock of the Company as
reorganized or readjusted, or securities of the Company or any other corporation
provided for by a plan of reorganization or readjustment, the payment of which
is subordinated at least to the extent provided in this Article XV with respect
to the Securities to the payment of Senior and Subordinated Indebtedness that
may at the time be outstanding, provided that (i) such Senior and Subordinated
Indebtedness is

                                       63
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assumed by the new corporation, if any, resulting from any such reorganization
or readjustment, and (ii) the rights of the holders of such Senior and
Subordinated Indebtedness are not, without the consent of such holders, altered
by such reorganization or readjustment. The consolidation of the Company with,
or the merger of the Company into, another Person or the liquidation or
dissolution of the Company following the sale, conveyance, transfer or lease of
its property as an entirety, or substantially as an entirety, to another Person
upon the terms and conditions provided for in Article X of this Indenture shall
not be deemed a dissolution, winding-up, liquidation or reorganization for the
purposes of this Section 15.03 if such other Person shall, as a part of such
consolidation, merger, sale, conveyance, transfer or lease, comply with the
conditions stated in Article X of this Indenture. Nothing in Section 15.02 or in
this Section 15.03 shall apply to claims of, or payments to, the Trustee under
or pursuant to Section 6.06 of this Indenture.

          SECTION 15.04. Subrogation.

          Subject to the payment in full of all Senior and Subordinated
Indebtedness, the rights of the Securityholders shall be subrogated to the
rights of the holders of such Senior and Subordinated Indebtedness to receive
payments or distributions of cash, property or securities of the Company, as the
case may be, applicable to such Senior and Subordinated Indebtedness until the
principal of and interest on the Securities shall be paid in full; and, for the
purposes of such subrogation, no payments or distributions to the holders of
such Senior and Subordinated Indebtedness of any cash, property or securities to
which the Securityholders or the Trustee would be entitled except for the
provisions of this Article XV, and no payment pursuant to the provisions of this
Article XV to or for the benefit of the holders of such Senior and Subordinated
Indebtedness by Securityholders or the Trustee, shall, as between the Company,
its creditors other than holders of Senior and Subordinated Indebtedness of the
Company, and the holders of the Securities, be deemed to be a payment by the
Company to or on account of such Senior and Subordinated Indebtedness. It is
understood that the provisions of this Article XV are and are intended solely
for the purposes of defining the relative rights of the holders of the
Securities, on the one hand, and the holders of such Senior and Subordinated
Indebtedness on the other hand.

          Nothing contained in this Article XV or elsewhere in this Indenture or
in the Securities is intended to or shall impair, as between the Company, its
creditors other than the holders of Senior and Subordinated Indebtedness of the
Company, and the holders of the Securities, the obligation of the Company, which
is absolute and unconditional, to pay to the holders of the Securities the
principal of and interest (including Compounded Interest and Additional Sums, if
any) on the Securities as and when the same shall become due and payable in
accordance with their terms, or is intended to or shall affect the relative
rights of the holders of the Securities and creditors of the Company, as the
case may be, other than the holders of Senior and Subordinated Indebtedness of
the Company, as the case may be, nor shall anything herein or therein prevent
the Trustee or the holder of any Security from exercising all remedies otherwise
permitted by applicable law upon default under the Indenture, subject to the
rights, if any, under this Article XV of the holders of such Senior and
Subordinated Indebtedness in respect of cash, property or securities of the
Company, as the case may be, received upon the exercise of any such remedy.

                                       64
<Page>

          Upon any payment or distribution of assets of the Company referred to
in this Article XV, the Trustee, subject to the provisions of Article VI of this
Indenture, and the Securityholders shall be entitled to conclusively rely upon
any order or decree made by any court of competent jurisdiction in which such
dissolution, winding-up, liquidation or reorganization proceedings are pending,
or a certificate of the receiver, trustee in bankruptcy, liquidation trustee,
agent or other Person making such payment or distribution, delivered to the
Trustee or to the Securityholders, for the purposes of ascertaining the Persons
entitled to participate in such distribution, the holders of Senior and
Subordinated Indebtedness and other indebtedness of the Company, as the case may
be, the amount thereof or payable thereon, the amount or amounts paid or
distributed thereon and all other facts pertinent thereto or to this Article XV.

          SECTION 15.05. Trustee to Effectuate Subordination.

          Each Securityholder by such Securityholder's acceptance thereof
authorizes and directs the Trustee on such Securityholder's behalf to take such
action as may be necessary or appropriate to effectuate the subordination
provided in this Article XV and appoints the Trustee such Securityholder's
attorney-in-fact for any and all such purposes.

          SECTION 15.06. Notice by the Company.

          The Company shall give prompt written notice to a Responsible Officer
of the Trustee of any fact known to the Company that would prohibit the making
of any payment of monies to or by the Trustee in respect of the Securities
pursuant to the provisions of this Article XV. Notwithstanding the provisions of
this Article XV or any other provision of this Indenture, the Trustee shall not
be charged with knowledge of the existence of any facts that would prohibit the
making of any payment of monies to or by the Trustee in respect of the
Securities pursuant to the provisions of this Article XV, unless and until a
Responsible Officer of the Trustee shall have received written notice thereof
from the Company or a holder or holders of Senior and Subordinated Indebtedness
or from any trustee therefor; and before the receipt of any such written notice,
the Trustee, subject to the provisions of Article VI of this Indenture, shall be
entitled in all respects to assume that no such facts exist; PROVIDED, HOWEVER,
that if the Trustee shall not have received the notice provided for in this
Section 15.06 at least two Business Days prior to the date upon which by the
terms hereof any money may become payable for any purpose (including, without
limitation, the payment of the principal of or interest (including Compounded
Interest and Additional Sums, if any) on any Security), then, anything herein
contained to the contrary notwithstanding, the Trustee shall have full power and
authority to receive such money and to apply the same to the purposes for which
they were received, and shall not be affected by any notice to the contrary that
may be received by it within two Business Days prior to such date.

          The Trustee, subject to the provisions of Article VI of this
Indenture, shall be entitled to conclusively rely on the delivery to it of a
written notice by a Person representing himself to be a holder of Senior and
Subordinated Indebtedness of the Company (or a trustee on behalf of such
holder), as the case may be, to establish that such notice has been given by a
holder of such Senior and Subordinated Indebtedness or a trustee on behalf of
any such holder or holders. In the event that the Trustee determines in good
faith that further evidence is required

                                       65
<Page>

with respect to the right of any Person as a holder of such Senior and
Subordinated Indebtedness to participate in any payment or distribution pursuant
to this Article XV, the Trustee may request such Person to furnish evidence to
the reasonable satisfaction of the Trustee as to the amount of such Senior and
Subordinated Indebtedness held by such Person, the extent to which such Person
is entitled to participate in such payment or distribution and any other facts
pertinent to the rights of such Person under this Article XV, and, if such
evidence is not furnished, the Trustee may defer any payment to such Person
pending judicial determination as to the right of such Person to receive such
payment.

          Upon any payment or distribution of assets of the Company referred to
in this Article XV, the Trustee and the Securityholders shall be entitled to
rely upon any order or decree entered by any court of competent jurisdiction in
which such insolvency, bankruptcy, receivership, liquidation, reorganization,
dissolution, winding up or similar case or proceeding is pending, or a
certificate of the trustee in bankruptcy, liquidating trustee, custodian,
receiver, assignee for the benefit of creditors, agent or other person making
such payment or distribution, delivered to the Trustee or to the
Securityholders, for the purpose of ascertaining the persons entitled to
participate in such payment or distribution, the holders of Senior and
Subordinated Indebtedness and other indebtedness of the Company, the amount
thereof or payable thereon, the amount or amounts paid or distributed thereon
and all other facts pertinent thereto or to this Article XV.

          SECTION 15.07. Rights of the Trustee; Holders of Senior and
                         Subordinated Indebtedness.

          The Trustee in its individual capacity shall be entitled to all the
rights set forth in this Article XV in respect of any Senior and Subordinated
Indebtedness at any time held by it, to the same extent as any other holder of
Senior and Subordinated Indebtedness, and nothing in this Indenture shall
deprive the Trustee of any of its rights as such holder.

          With respect to the holders of Senior and Subordinated Indebtedness of
the Company, the Trustee undertakes to perform or to observe only such of its
covenants and obligations as are specifically set forth in this Article XV, and
no implied covenants or obligations with respect to the holders of such Senior
and Subordinated Indebtedness shall be read into this Indenture against the
Trustee. The Trustee shall not be deemed to owe any fiduciary duty to the
holders of such Senior and Subordinated Indebtedness and, subject to the
provisions of Article VI of this Indenture, the Trustee shall not be liable to
any holder of such Senior and Subordinated Indebtedness if it shall pay over or
deliver to Securityholders, the Company or any other Person money or assets to
which any holder of such Senior and Subordinated Indebtedness shall be entitled
by virtue of this Article XV or otherwise.

          Nothing in this Article XV shall apply to claims of, or payments to,
the Trustee under or pursuant to Section 6.06.

                                       66
<Page>

          SECTION 15.08. Subordination May Not Be Impaired.

          No right of any present or future holder of any Senior and
Subordinated Indebtedness of the Company to enforce subordination as herein
provided shall at any time in any way be prejudiced or impaired by any act or
failure to act on the part of the Company, as the case may be, or by any act or
failure to act, in good faith, by any such holder, or by any noncompliance by
the Company, as the case may be, with the terms, provisions and covenants of
this Indenture, regardless of any knowledge thereof that any such holder may
have or otherwise be charged with.

          Without in any way limiting the generality of the foregoing paragraph,
the holders of Senior and Subordinated Indebtedness of the Company may, at any
time and from time to time, without the consent of or notice to the Trustee or
the Securityholders, without incurring responsibility to the Securityholders and
without impairing or releasing the subordination provided in this Article XV or
the obligations hereunder of the holders of the Securities to the holders of
such Senior and Subordinated Indebtedness, do any one or more of the following:
(i) change the manner, place or terms of payment or extend the time of payment
of, or renew or alter, such Senior and Subordinated Indebtedness, or otherwise
amend or supplement in any manner such Senior and Subordinated Indebtedness or
any instrument evidencing the same or any agreement under which such Senior and
Subordinated Indebtedness is outstanding; (ii) sell, exchange, release or
otherwise deal with any property pledged, mortgaged or otherwise securing such
Senior and Subordinated Indebtedness; (iii) release any Person liable in any
manner for the collection of such Senior and Subordinated Indebtedness; and (iv)
exercise or refrain from exercising any rights against the Company, as the case
may be, and any other Person.

                                   ARTICLE XVI

                      EXTENSION OF INTEREST PAYMENT PERIOD

          SECTION 16.01. Extension of Interest Payment Period.

          So long as no Event of Default has occurred and is continuing, the
Company shall have the right, at any time and from time to time during the term
of the Securities, to defer payments of interest by extending the interest
payment period of such Securities for a period not exceeding 20 consecutive
quarterly periods, including the first such quarterly period during such
extension period (the "Extended Interest Payment Period"), during which Extended
Interest Payment Period no interest shall be due and payable; PROVIDED THAT no
Extended Interest Payment Period shall end on a date other than an Interest
Payment Date or extend beyond the Maturity Date. To the extent permitted by
applicable law, interest, the payment of which has been deferred because of the
extension of the interest payment period pursuant to this Section 16.01, will
bear interest thereon at the Coupon Rate compounded quarterly for each quarterly
period of the Extended Interest Payment Period ("Compounded Interest"). At the
end of the Extended Interest Payment Period, the Company shall pay all interest
accrued and

                                       67
<Page>

unpaid on the Securities, including any Additional Sums and Compounded Interest
(together, "Deferred Interest") that shall be payable to the holders of the
Securities in whose names the Securities are registered in the Security Register
on the first record date preceding the end of the Extended Interest Payment
Period. Before the termination of any Extended Interest Payment Period, the
Company may further defer payments of interest by further extending such period,
PROVIDED that such period, together with all such previous and further
extensions within such Extended Interest Payment Period, shall not exceed 20
consecutive quarterly periods, including the first such quarterly period during
such Extended Interest Payment Period, end on a date other than an Interest
Payment Date or extend beyond the Maturity Date of the Securities. Upon the
termination of any Extended Interest Payment Period and the payment of all
Deferred Interest then due, the Company may commence a new Extended Interest
Payment Period, subject to the foregoing requirements. No interest shall be due
and payable during an Extended Interest Payment Period, except at the end
thereof, but the Company may prepay at any time all or any portion of the
interest accrued during an Extended Interest Payment Period.

          SECTION 16.02. Notice of Extension.

          (a) If the Property Trustee is the only registered holder of the
Securities at the time the Company selects an Extended Interest Payment Period,
the Company shall give written notice to the Administrative Trustees, the
Property Trustee and the Trustee of its selection of such Extended Interest
Payment Period five Business Days before the earlier of (i) the next succeeding
date on which Distributions on the Trust Securities issued by the Trust are
payable, or (ii) the date the Trust is required to give notice of the record
date, or the date such Distributions are payable, to any national securities
exchange or to holders of the Preferred Securities issued by the Trust, but in
any event at least five Business Days before such record date.

          (b) If the Property Trustee is not the only holder of the Securities
at the time the Company selects an Extended Interest Payment Period, the Company
shall give the holders of the Securities and the Trustee written notice of its
selection of such Extended Interest Payment Period at least five Business Days
before the earlier of (i) the next succeeding Interest Payment Date, or (ii) the
date the Company is required to give notice of the record or payment date of
such interest payment to any national securities exchange.

          (c) The quarterly period in which any notice is given pursuant to
paragraphs (a) or (b) of this Section 16.02 shall be counted as one of the 20
quarterly periods permitted in the maximum Extended Interest Payment Period
permitted under Section 16.01.

          The Bank of New York hereby accepts the trusts in this Indenture
declared and provided, upon the terms and conditions hereinabove set forth.

                                       68
<Page>

          IN WITNESS WHEREOF, the parties hereto have caused this Indenture to
be duly executed by their respective officers thereunto duly authorized, as of
the day and year first above written.

                                        COASTAL BANCORP, INC.

                                        By
                                          --------------------------------------
                                           Name:   Catherine N. Wylie
                                           Title:  Senior Executive Vice
                                                   President and Chief Financial
                                                   Officer

                                        THE BANK OF NEW YORK,
                                        as Trustee

                                        By
                                          --------------------------------------
                                           Name:
                                           Title:

                                       69
<Page>

                                    EXHIBIT A

                           (FORM OF FACE OF SECURITY)

     [THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE
HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A
NOMINEE OF A DEPOSITARY. THIS SECURITY IS EXCHANGEABLE FOR SECURITIES REGISTERED
IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE ONLY IN THE
LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND MAY NOT BE TRANSFERRED
EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE
DEPOSITARY.

     UNLESS THIS DEBENTURE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TO THE TRUST OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY PREFERRED SECURITY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF THE CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY (AND ANY PAYMENT HEREON IS MADE TO CEDE & CO.
OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY
OR TO ANY PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS
AN INTEREST HEREIN.]

                                                   Principal Amount: $__________
No. 1                                              CUSIP No. ___________

                             Coastal Capital Trust I

                  ____% JUNIOR SUBORDINATED DEFERRABLE INTEREST
                         DEBENTURE DUE __________, 2032

          Coastal Bancorp, Inc., a Texas corporation (the "Company", which term
includes any successor Person under the Indenture hereinafter referred to), for
value received, hereby promises to pay to The Bank of New York, as Property
Trustee for Coastal Capital Trust I or registered assigns, the principal sum of
$__________, on ________ __, 2032 (the "Maturity Date"); provided that the
Company may redeem this Security on a date not earlier than ________ __, 2007,
and to pay interest on the outstanding principal amount hereof from ________ __,
2002, or from the most recent interest payment date (each such date, an
"Interest Payment Date") to which interest has been paid or duly provided for,
quarterly (subject to deferral as set forth herein) in arrears on the last day
of March, June, September and December of each year, commencing September 30,
2002, at the rate of ____% per annum until the principal hereof shall have
become due and payable, and on any overdue principal and (without duplication
and to the extent that payment of such interest is enforceable under applicable
law) on any overdue installment of interest at the same rate per annum
compounded quarterly. The amount of interest payable on any Interest Payment
Date shall be computed on the basis of a 360-day year of twelve

                                       A-1
<Page>

30-day months and, for any period less than a full calendar quarter, the number
of days elapsed in such quarter based upon 30-day months. In the event that any
date on which the principal of or interest on this Security is payable is not a
Business Day, then the payment payable on such date will be made on the next
succeeding Business Day (and without any interest or other payment in respect of
any such delay), except that if such next succeeding Business Day falls in the
next calendar year, then such payment shall be made on the immediately preceding
Business Day, in each case with the same force and effect as if made on such
date. Pursuant to the Indenture, in certain circumstances the Company will be
required to pay Additional Sums and Compounded Interest (each as defined in the
Indenture) with respect to this Security.

          The interest installment so payable, and punctually paid or duly
provided for, on any Interest Payment Date will, as provided in the Indenture,
be paid to the Person in whose name this Security (or one or more Predecessor
Securities, as defined in said Indenture) is registered at the close of business
on the regular record date for such interest installment, which shall be at the
close of business on the Business Day next preceding such Interest Payment Date;
PROVIDED, HOWEVER, that in the event that the Preferred Securities are no longer
in book-entry only form or this Security (or one or more predecessor Securities)
are not represented by a Global Security, the record date for such payment shall
be the fifteenth day of the month in which such payment is due. Any such
interest installment not punctually paid or duly provided for shall forthwith
cease to be payable to the holders on such regular record date and may be paid
to the Person in whose name this Security (or one or more Predecessor
Securities) is registered at the close of business on a special record date to
be fixed by the Trustee for the payment of such defaulted interest, notice
whereof shall be given to the holders of Securities not less than 10 days prior
to such special record date, or may be paid at any time in any other lawful
manner not inconsistent with the requirements of any securities exchange on
which the Securities may be listed, and upon such notice as may be required by
such exchange, all as more fully provided in the Indenture.

          The principal of and interest (including Compounded Interest and
Additional Sums, if any) on this Security shall be payable at the office or
agency of the Trustee maintained for that purpose in any coin or currency of the
United States of America that at the time of payment is legal tender for payment
of public and private debts; PROVIDED, HOWEVER, that, payment of interest may be
made at the option of the Company by (i) check mailed to the holder at such
address as shall appear in the Security Register or (ii) by transfer to an
account maintained by the Person entitled thereto, provided that proper written
transfer instructions have been received by the relevant record date.

          The indebtedness evidenced by this Security is, to the extent provided
in the Indenture, subordinate and junior in right of payment to the prior
payment in full of all Senior and Subordinated Indebtedness, and this Security
is issued subject to the provisions of the Indenture with respect thereto. Each
holder of this Security, by accepting the same, (a) agrees to and shall be bound
by such provisions, (b) authorizes and directs the Trustee on his or her behalf
to take such action as may be necessary or appropriate to acknowledge or
effectuate the subordination so provided and (c) appoints the Trustee his or her
attorney-in-fact for any and all such purposes. Each holder hereof, by his or
her acceptance hereof, hereby waives all notice of the acceptance of the
subordination provisions contained herein and in the Indenture by each holder of
Senior and Subordinated Indebtedness, whether now outstanding or hereafter
incurred, and waives reliance by each such holder upon said provisions.

                                       A-2
<Page>

          This Security shall not be entitled to any benefit under the Indenture
hereinafter referred to, be valid or become obligatory for any purpose until the
Certificate of Authentication hereon shall have been signed by or on behalf of
the Trustee.

          The provisions of this Security are continued on the reverse side
hereof and such provisions shall for all purposes have the same effect as though
fully set forth at this place.

          IN WITNESS WHEREOF, the Company has caused this instrument to be duly
executed and sealed.

Dated: __________, 2002

                                          COASTAL BANCORP, INC.

                                          By:
                                             -----------------------------------
                                          Name:  Catherine N. Wylie
                                          Title: Senior Executive Vice President
                                                 and Chief Financial Officer

Attest:

By:
   ------------------------------
Name: Linda B. Frazier
Title: Senior Vice President and
         General Counsel

                     (FORM OF CERTIFICATE OF AUTHENTICATION)
                          CERTIFICATE OF AUTHENTICATION

          This is one of the Securities referred to in the within-mentioned
Indenture.

THE BANK OF NEW YORK,
as Trustee

By                                                  Dated:   __________ __, 2002
  -------------------------
 Authorized Signatory

                                       A-3
<Page>

                          (FORM OF REVERSE OF SECURITY)

          This Security is one of the Securities of the Company (herein
sometimes referred to as the "Securities"), specified in the Indenture, all
issued or to be issued under and pursuant to an Indenture, dated as of ________
__, 2002 (the "Indenture"), duly executed and delivered between the Company and
The Bank of New York, as Trustee (the "Trustee"), to which Indenture reference
is hereby made for a description of the rights, limitations of rights,
obligations, duties and immunities thereunder of the Trustee, the Company and
the holders of the Securities.

          Upon the occurrence and continuation of a Special Event, as defined in
the Indenture, the Company shall have the right, at any time within 90 days
following the occurrence of such Special Event, to redeem this Security in whole
(but not in part), a redemption price equal to the accrued and unpaid interest
on the Security (including Compounded Interest and Additional Sums, if any) to
be so redeemed to the date fixed for redemption, plus 100% of the principal
amount thereof (the "Redemption Price").

          In addition, subject to the Company having received the prior approval
of the applicable regulatory agencies, if it is then required under applicable
regulatory requirements, the Company shall have the right to redeem this
Security, in whole or in part, at any time on or after _________ _, 2007 at the
Redemption Price; PROVIDED, HOWEVER, that the Company shall not effect a partial
redemption of this Security if such partial redemption would result in a
delisting of the Preferred Securities from the Nasdaq National Market or such
other exchange or organization as the Preferred Securities are then listed.

          The Redemption Price shall be paid prior to 12:00 noon, New York City
time on the date of such redemption or at such earlier time as the Company
determines, provided, that the Company shall deposit with the Trustee an amount
sufficient to pay the applicable Redemption Price by 10:00 a.m., New York City
time, on the date such Redemption Price is to be paid. Any redemption pursuant
to this paragraph will be made upon not less than 30 days or more than 60 days
notice. If the Securities are only partially redeemed by the Company, the
particular Securities to be redeemed shall be selected on a pro rata basis, by
lot or such other method that the Trustee shall deem appropriate not more than
60 days prior to the date fixed for redemption from the outstanding Securities
not previously called for redemption, PROVIDED, HOWEVER, that any such selection
may be made on the basis of the aggregate principal amount of Securities held by
each Securityholder thereof and may be made by making such adjustments as the
Company deems fair and appropriate in order that only Securities in
denominations of $25 or integral multiples thereof shall be redeemed.

          In the event of redemption of this Security in part only, a new
Security or Securities for the unredeemed portion hereof will be issued in the
name of the holder hereof upon the cancellation hereof. Notwithstanding the
foregoing, any redemption of this Security by the Company shall be subject to
the receipt of any and all required regulatory approvals.

          In case an Event of Default, as defined in the Indenture, shall have
occurred and be continuing, the principal of all of the Securities may be
declared, and upon such declaration shall become, due and payable, in the
manner, with the effect and subject to the conditions provided in the Indenture.

                                       A-4
<Page>

          The Indenture contains provisions permitting the Company and the
Trustee, with the consent of the holders of a majority in aggregate principal
amount of the Securities at the time outstanding, as defined in the Indenture,
to execute supplemental indentures for the purpose of adding any provisions to
or changing in any manner or eliminating any of the provisions of the Indenture
or of modifying in any manner the rights of the holders of the Securities;
provided, however, that no such supplemental indenture shall, without the
consent of each holder of Securities then outstanding and affected thereby, (i)
change the Maturity Date of any Securities, or reduce the principal amount
thereof, or reduce any amount payable on redemption thereof, or reduce the rate
or extend the time of payment of interest thereon (subject to Article XVI of the
Indenture), or make the principal of, or interest on, the Securities payable in
any coin or currency other than U.S. dollars, or impair or affect the right of
any holder of Securities to institute suit for the payment thereof, or (ii)
reduce the aforesaid percentage of Securities, the holders of which are required
to consent to any such supplemental indenture. The Indenture also contains
provisions permitting the holders of a majority in aggregate principal amount of
the Securities at the time outstanding affected thereby, on behalf of all of the
holders of the Securities, to waive any past default in the performance of any
of the covenants contained in the Indenture, or established pursuant to the
Indenture, and its consequences, except a default in the payment of the
principal of or interest on any of the Securities or a default in respect of any
covenant or provision under which the Indenture cannot be modified or amended
without the consent of each holder of Securities then outstanding. Any such
consent or waiver by the holder of this Security (unless revoked as provided in
the Indenture) shall be conclusive and binding upon such Holder and upon all
future holders and owners of this Security and of any Security issued in
exchange herefor or in place hereof, irrespective of whether or not any notation
of such consent or waiver is made upon this Security.

          No reference herein to the Indenture and no provision of this Security
or of the Indenture shall alter or impair the obligation of the Company, which
is absolute and unconditional, to pay the principal of and interest (including
Compounded Interest and Additional Sums, if any) on this Security at the time
and place and at the rate and in the money herein prescribed.

          So long as no Event of Default shall have occurred and be continuing,
the Company shall have the right, at any time and from time to time during the
term of the Securities, to defer payments of interest by extending the interest
payment period of such Securities for a period not exceeding 20 consecutive
quarterly periods, including the first such quarterly period during such
extension period, and not extending beyond the Maturity Date of the Securities
(an "Extended Interest Payment Period") or ending on a date other than an
Interest Payment Date, at the end of which period the Company shall pay all
interest then accrued and unpaid (together with interest thereon at the rate
specified for the Securities to the extent that payment of such interest is
enforceable under applicable law). Before the termination of any such Extended
Interest Payment Period, the Company may further defer payments of interest by
further extending such Extended Interest Payment Period, PROVIDED that such
Extended Interest Payment Period, together with all such previous and further
extensions within such Extended Interest Payment Period, (i) shall not exceed 20
consecutive quarterly periods, including the first quarterly period during such
Extended Interest Payment Period, (ii) shall not end on any date other than an
Interest Payment Date, and (iii) shall not extend beyond the Maturity Date of
the Securities. Upon the termination of any such Extended Interest Payment
Period and the payment

                                       A-5
<Page>

of all accrued and unpaid interest and any additional amounts then due, the
Company may commence a new Extended Interest Payment Period, subject to the
foregoing requirements.

          The Company has agreed that it will not (i) declare or pay any
dividends or distributions on, or redeem, purchase, acquire, or make a
liquidation payment with respect to, any of the Company's capital stock (which
includes common and preferred stock), (ii) make any payment of principal,
interest or premium, if any, on or repay or repurchase or redeem any debt
securities of the Company that rank PARI PASSU with or junior in right of
payment to the Securities or (iii) make any guarantee payments with respect to
any guarantee by the Company of the debt securities of any Subsidiary of the
Company if such guarantee ranks PARI PASSU or junior in right of payment to the
Securities (other than (a) dividends or distributions in shares of, or options,
warrants or rights to subscribe for or purchase shares of, Common Stock of the
Company, (b) any declaration of a dividend in connection with the implementation
of a stockholder's rights plan, or the issuance of stock under any such plan in
the future, or the redemption or repurchase of any such rights pursuant thereto,
(c) payments under the Preferred Securities Guarantee, (d) the purchase of
fractional shares resulting from a reclassification of the Company's capital
stock, (e) the purchase of fractional interests in shares of the Company's
capital stock pursuant to the exchange or conversion of such capital stock or
the security being exchanged or converted and (f) purchases of Common Stock
related to the issuance of Common Stock or rights under any of the Company's
benefit plans for its directors, officers or employees or any of the Company's
dividend reinvestment plans) if at such time (1) there shall have occurred any
event would constitute an Event of Default, (2) if the Securities are held by
the Property Trustee, the Company shall be in default with respect to its
payment obligations under the Preferred Securities Guarantee or (3) the Company
shall have given notice of its election of the exercise of its right to extend
the interest payment period and any such extension shall be continuing.

          Subject to (i) the receipt of any required regulatory approval and
(ii) the receipt by the Company of an opinion of counsel to the effect that such
distribution will not cause the holders of the Preferred Securities to recognize
gain or loss for Federal income tax purposes, the Company will have the right at
any time to liquidate the Coastal Capital Trust I and cause the Securities to be
distributed to the holders of the Trust Securities in liquidation of the Trust.

          The Indenture contains provisions for satisfaction and discharge of
the entire indebtedness of this Security upon compliance by the Company with
certain conditions set forth in the Indenture.

          The Securities are issuable only in registered form without coupons in
denominations of $25.00 and any integral multiple thereof. As provided in the
Indenture and subject to the transfer restrictions limitations as may be
contained herein and therein from time to time, this Security is transferable by
the holder hereof on the Security Register of the Company, upon surrender of
this Security for registration of transfer at the office or agency of the
Company in the City and State of New York accompanied by a written instrument or
instruments of transfer in form satisfactory to the Company or the Trustee duly
executed by the holder hereof or his attorney duly authorized in writing, and
thereupon one or more new Securities of authorized denominations and for the
same aggregate principal amount and series will be issued to the designated
transferee or transferees. No service charge will be made for any such
registration of

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<Page>

transfer, but the Company may require payment of a sum sufficient to cover any
tax or other governmental charge payable in relation thereto.

          Prior to due presentment for registration of transfer of this
Security, the Company, the Trustee, any authenticating agent, any paying agent,
any transfer agent and the registrar may deem and treat the holder hereof as the
absolute owner hereof (whether or not this Security shall be overdue and
notwithstanding any notice of ownership or writing hereon made by anyone other
than the Security Registrar) for the purpose of receiving payment of or on
account of the principal hereof and (subject to the Indenture) interest due
hereon and for all other purposes, and neither the Company nor the Trustee nor
any authenticating agent nor any paying agent nor any transfer agent nor any
registrar shall be affected by any notice to the contrary.

          No recourse shall be had for the payment of the principal of or
interest on this Security, or for any claim based hereon, or otherwise in
respect hereof, or based on or in respect of the Indenture, against any
incorporator, stockholder, officer or director, past, present or future, as
such, of the Company or of any predecessor or successor Person, whether by
virtue of any constitution, statute or rule of law, or by the enforcement of any
assessment or penalty or otherwise, all such liability being, by the acceptance
hereof and as part of the consideration for the issuance hereof, expressly
waived and released.

          All terms used in this Security that are defined in the Indenture
shall have the meanings assigned to them in the Indenture.

          THE INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO CONFLICT OF
LAW PROVISIONS THEREOF.

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