Exhibit 4.2






                         ANTHRACITE CAPITAL, INC.,
                                   Issuer




                                    AND


                                    [ ],
                                  Trustee


                    -----------------------------------



                                 INDENTURE

                           Dated as of [ ], 2001


                    -----------------------------------



                        Subordinated Debt Securities








                           CROSS-REFERENCE TABLE*


    Section of
Trust Indenture Act                                        Section of
of 1939, as amended                                        Indenture
-------------------                                       -----------


310(a)...................................................... 7.09
310(b)...................................................... 7.08
                                                             7.10
310(c)...................................................... Inapplicable
311(a)...................................................... 7.13(a)
311(b)...................................................... 7.13(b)
311(c)...................................................... Inapplicable
312(a).....................................................  5.01
                                                             5.02(a)
312(b)...................................................... 5.02(b)
312(c)...................................................... 5.02(c)
313(a)...................................................... 5.04(a)
313(b)...................................................... 5.04(b)
313(c)...................................................... 5.04(a)
                                                             5.04(b)
313(d)...................................................... 5.04(c)
314(a)...................................................... 5.03
314(b)...................................................... Inapplicable
314(c)...................................................... 13.06
314(d)...................................................... Inapplicable
314(e)...................................................... 13.06
314(f)...................................................... Inapplicable
315(a)...................................................... 7.01(a)
                                                             7.02
315(b)...................................................... 6.07
315(c)...................................................... 7.01
315(d)...................................................... 7.01(b)
                                                             7.01(c)
315(e)...................................................... 6.07
316(a)...................................................... 6.06
                                                             8.04
316(b)                                                       6.04
316(c)                                                       8.01
317(a)                                                       6.02
317(b)                                                       4.03
318(a)                                                      13.08

--------------------
*     This Cross-Reference Table does not constitute part of the
      Indenture and shall not have any bearing on the interpretation of
      any of its terms or provisions.




                             TABLE OF CONTENTS*


                                                                        Page


PARTIES.................................................................. 1

RECITALS................................................................. 1


                                 ARTICLE I.

                                DEFINITIONS

SECTION 1.01   Definitions of Terms...................................... 1
               Affiliate................................................. 1
               Authenticating Agent...................................... 2
               Bankruptcy Law............................................ 2
               Board of Directors........................................ 2
               Board Resolution.......................................... 2
               Business Day.............................................. 2
               Certificate............................................... 2
               Company................................................... 2
               Corporate Trust Office.................................... 2
               Custodian................................................. 2
               Default................................................... 3
               Depositary................................................ 3
               Event of Default.......................................... 3
               Global Security........................................... 3
               Governmental Obligations.................................. 3
               "herein", "hereof" and "hereunder"........................ 3
               Indenture................................................. 3
               Interest Payment Date..................................... 3
               Officers' Certificate..................................... 4
               Opinion of Counsel........................................ 4
               Outstanding............................................... 4
               Person.................................................... 4
               Predecessor Security...................................... 4
               Responsible Officer....................................... 4
               Securityholder............................................ 5
--------
*        This Table of Contents does not constitute part of the Indenture
         and shall not have any bearing upon the interpretation of any of
         its terms or provisions.


               Subsidiary................................................ 5
               Trustee................................................... 5
               Trust Indenture Act....................................... 5
               Voting Stock.............................................. 5

                                ARTICLE II.

                   ISSUE, DESCRIPTION, TERMS, EXECUTION,
                  REGISTRATION AND EXCHANGE OF SECURITIES

SECTION 2.01   Designation and Terms of Securities.......................  5
SECTION 2.02   Form of Securities and Trustee's Certificate..............  8
SECTION 2.03   Denominations:  Provisions for Payment....................  8
SECTION 2.04   Execution and Authentications............................. 10
SECTION 2.05   Registration of Transfer and Exchange..................... 11
SECTION 2.06   Temporary Securities...................................... 12
SECTION 2.07   Mutilated, Destroyed, Lost or Stolen Securities........... 12
SECTION 2.08   Cancellation.............................................. 13
SECTION 2.09   Benefits of Indenture..................................... 13
SECTION 2.10   Authenticating Agent...................................... 14
SECTION 2.11   Global Securities......................................... 14

                                ARTICLE III

            REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS

SECTION 3.01   Redemption................................................ 15
SECTION 3.02   Notice of Redemption...................................... 16
SECTION 3.03   Payment Upon Redemption................................... 17
SECTION 3.04   Sinking Fund.............................................. 17
SECTION 3.05   Satisfaction of Sinking Fund Payments with Securities..... 18
SECTION 3.06   Redemption of Securities for Sinking Fund................. 18

                                ARTICLE IV.

                             CERTAIN COVENANTS

SECTION 4.01   Payment of Principal, Premium and Interest................ 18
SECTION 4.02   Maintenance of Office or Agency........................... 19
SECTION 4.03   Paying Agents............................................. 19
SECTION 4.04   Appointment to Fill Vacancy in Office of Trustee.......... 21
SECTION 4.05   Compliance with Consolidation Provisions.................. 21

                                 ARTICLE V.

                     SECURITYHOLDERS' LISTS AND REPORTS
                       BY THE COMPANY AND THE TRUSTEE

SECTION 5.01   Company to Furnish Trustee Names and Addresses of
                          Securityholders................................ 21
SECTION 5.02   Preservation Of Information; Communications With
                          Securityholders................................ 21
SECTION 5.03   Reports by the Company.................................... 22
SECTION 5.04   Reports by the Trustee.................................... 22

                                ARTICLE VI.

                REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS
                            ON EVENT OF DEFAULT

SECTION 6.01   Events of Default......................................... 23
SECTION 6.02   Collection of Indebtedness and Suits for Enforcement
                         by Trustee...................................... 25
SECTION 6.03   Application of Moneys Collected........................... 26
SECTION 6.04   Limitation on Suits....................................... 27
SECTION 6.05   Rights and Remedies Cumulative; Delay or Omission
                        Not Waiver....................................... 28
SECTION 6.06   Control by Securityholders................................ 28
SECTION 6.07   Undertaking to Pay Costs.................................. 29

                                ARTICLE VII.

                           CONCERNING THE TRUSTEE

SECTION 7.01   Certain Duties and Responsibilities of Trustee............ 29
SECTION 7.02   Certain Rights of Trustee................................. 30
SECTION 7.03   Trustee Not Responsible for Recitals or Issuance or
                        Securities....................................... 32
SECTION 7.04   May Hold Securities....................................... 32
SECTION 7.05   Moneys Held in Trust...................................... 32
SECTION 7.06   Compensation and Reimbursement............................ 32
SECTION 7.07   Reliance on Officers' Certificate......................... 33
SECTION 7.08   Disqualification; Conflicting Interests................... 33
SECTION 7.09   Corporate Trustee Required; Eligibility................... 33
SECTION 7.10   Resignation and Removal; Appointment of Successor......... 34
SECTION 7.11   Acceptance of Appointment By Successor.................... 35
SECTION 7.12   Merger, Conversion, Consolidation or Succession to
                        Business ........................................ 36
SECTION 7.13   Preferential Collection of Claims Against the Company..... 37

                               ARTICLE VIII.

                       CONCERNING THE SECURITYHOLDERS

SECTION 8.01   Evidence of Action by Securityholders..................... 37
SECTION 8.02   Proof of Execution by Securityholders..................... 38
SECTION 8.03   Who May be Deemed Owners.................................. 38
SECTION 8.04   Certain Securities Owned by Company Disregarded........... 38
SECTION 8.05   Actions Binding on Future Securityholders................. 39

                                ARTICLE IX.

                          SUPPLEMENTAL INDENTURES

SECTION 9.01   Supplemental Indentures Without the Consent of
                        Securityholders.................................. 39
SECTION 9.02   Supplemental Indentures With Consent of Securityholders... 40
SECTION 9.03   Effect of Supplemental Indentures......................... 41
SECTION 9.04   Securities Affected by Supplemental Indentures............ 41

                                 ARTICLE X.

                           SUCCESSOR CORPORATION

SECTION 10.01  Company May Consolidate, Etc.............................. 42
SECTION 10.02  Successor Corporation Substituted......................... 42
SECTION 10.03  Evidence of Consolidation, Etc. to Trustee................ 43

                                ARTICLE XI.

                         SATISFACTION AND DISCHARGE

SECTION 11.01  Satisfaction and Discharge of Indenture................... 43
SECTION 11.02  Discharge of Obligations.................................. 44
SECTION 11.03  Deposited Moneys to be Held in Trust...................... 44
SECTION 11.04  Payment of Moneys Held by Paying Agents................... 44
SECTION 11.05  Repayment to Company...................................... 44

                                  ARTICLE XII.

                    IMMUNITY OF INCORPORATORS, STOCKHOLDERS,
                             OFFICERS AND DIRECTORS

SECTION 12.01  No Recourse............................................... 45

                                  ARTICLE XIII.

                            MISCELLANEOUS PROVISIONS

SECTION 13.01  Effect on Successors and Assigns.......................... 46
SECTION 13.02  Actions by Successor...................................... 46
SECTION 13.03  Surrender of Company Powers............................... 46
SECTION 13.04  Notices................................................... 46
SECTION 13.05  Governing Law............................................. 46
SECTION 13.06  Treatment of Securities as Debt........................... 47
SECTION 13.07  Compliance Certificates and Opinions...................... 47
SECTION 13.08  Payments on Business Days................................. 47
SECTION 13.09  Conflict with Trust Indenture Act......................... 47
SECTION 13.10  Counterparts.............................................. 48
SECTION 13.11  Separability.............................................. 48
SECTION 13.12  Assignment................................................ 48

                                  ARTICLE XIV.

                           SUBORDINATION OF SECURITIES

SECTION 14.01  Subordination Terms....................................... 48



                  INDENTURE, dated as of [                    ], 2001, among
Anthracite Capital, Inc., a Maryland corporation (the "Company"), and
[          ], as trustee (the "Trustee"):

                  WHEREAS, for its lawful corporate purposes, the Company
has duly authorized the execution and delivery of this Indenture to provide
for the issuance of unsecured subordinated debt securities (hereinafter
referred to as the "Securities"), in an unlimited aggregate principal
amount to be issued from time to time in one or more series as in this
Indenture provided, as registered Securities without coupons, to be
authenticated by the certificate of the Trustee;

                  WHEREAS, to provide the terms and conditions upon which
the Securities are to be authenticated, issued and delivered, the Company
has duly authorized the execution of this Indenture; and

                  WHEREAS, all things necessary to make this Indenture a
valid agreement of the Company, in accordance with its terms, have been
done.

                  NOW, THEREFORE, in consideration of the premises and the
purchase of the Securities by the holders thereof, it is mutually
covenanted and agreed as follows for the equal and ratable benefit of the
holders of Securities:


                                   ARTICLE I.

                                   DEFINITIONS

                  SECTION 1.01      Definitions of Terms.
                                    --------------------

                  The terms defined in this Section (except as in this
Indenture otherwise expressly provided or unless the context otherwise
requires) for all purposes of this Indenture and of any indenture
supplemental hereto shall have the respective meanings specified in this
Section and shall include the plural as well as the singular. All other
terms used in this Indenture that are defined in the Trust Indenture Act of
1939, as amended, or that are by reference in such Act defined in the
Securities Act of 1933, as amended (except as herein otherwise expressly
provided or unless the context otherwise requires), shall have the meanings
assigned to such terms in said Trust Indenture Act and in said Securities
Act as in force at the date of the execution of this instrument.

                  "Affiliate" means, with respect to a specified Person,
(a) any Person directly or indirectly owning, controlling or holding with
power to vote 10% or more of the outstanding voting securities or other
ownership interests of the specified Person, (b) any Person 10% or more of
whose outstanding voting securities or other ownership interests are
directly or indirectly owned, controlled or held with power to vote by the
specified Person, (c) any Person directly or indirectly controlling,
controlled by, or under common control with the specified Person, (d) a
partnership in which the specified Person is a general partner, (e) any
officer or director of the specified Person, and (f) if the specified
Person is an individual, any entity of which the specified Person is an
officer, director or general partner.

                  "Authenticating Agent" means an authenticating agent with
respect to all or any of the series of Securities appointed with respect to
all or any series of the Securities by the Trustee pursuant to Section
2.10.

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

                  "Board of Directors" means the Board of Directors of the
Company or any duly authorized committee of such Board.

                  "Board Resolution" means 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.

                  "Business Day" means, with respect to any series of
Securities, any day other than a day on which Federal or State banking
institutions in the Borough of Manhattan, The City of New York, are
authorized or obligated by law, executive order or regulation to close.

                  "Certificate" means a certificate signed by the principal
executive officer, the principal financial officer, the Treasurer or the
principal accounting officer of the Company. The Certificate need not
comply with the provisions of Section 13.07.

                  "Company" means Anthracite Capital, Inc., a corporation
duly organized and existing under the laws of the State of Maryland, and,
subject to the provisions of Article Ten, shall also include its successors
and assigns.

                  "Corporate Trust Office" means the office of the Trustee
at which, at any particular time, its corporate trust business shall be
principally administered, which office at the date hereof is located at [
], except that whenever a provision herein refers to an office or agency of
the Trustee in the Borough of Manhattan, The City of New York, such office
is located, at the date hereof, at
 [                                                                     ].

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

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

                  "Depositary" means, with respect to Securities of any
series, 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 Securities and Exchange Act of 1934, as amended (the
"Exchange Act"), or other applicable statute or regulation, which, in each
case, shall be designated by the Company pursuant to either Section 2.01 or
2.11.

                  "Event of Default" means, with respect to Securities of a
particular series any event specified in Section 6.01, continued for the
period of time, if any, therein designated.

                  "Global Security" means, with respect to any series of
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.

                  "Governmental Obligations" means 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 that, in either case, are not callable or redeemable at the option
of the issuer thereof, and shall also include a depositary receipt issued
by a bank (as defined in Section 3(a)(2) of the Securities Act of 1933, as
amended) as custodian with respect to any such Governmental Obligation or a
specific payment of principal of or interest on any such Governmental
Obligation held by such custodian for the account of the holder of such
depositary receipt; provided, however, that (except as required by law)
such custodian is not authorized to make any deduction from the amount
payable to the holder of such depositary receipt from any amount received
by the custodian in respect of the Governmental Obligation or the specific
payment of principal of or interest on the Governmental Obligation
evidenced by such depositary receipt.

                  "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.

                  "Indenture" means this instrument as originally executed
or as it may from time to time be supplemented or amended by one or more
indentures supplemental hereto entered into in accordance with the terms
hereof.

                  "Interest Payment Date", when used with respect to any
installment of interest on a Security of a particular series, means the date
specified in such Security or in a Board Resolution or in an indenture
supplemental hereto with respect to such series as the fixed date on which an
installment of interest with respect to Securities of that series is due and
payable.

                  "Officers' Certificate" means a certificate signed by the
Chairman or a Vice President and by the Treasurer or an Assistant Treasurer
or the Controller or an Assistant Controller or the Secretary or an
Assistant Secretary of the Company that is delivered to the Trustee in
accordance with the terms hereof. Each such certificate shall include the
statements provided for in Section 13.07, if and to the extent required by
the provisions thereof.

                  "Opinion of Counsel" means an opinion in writing of legal
counsel, who may be an employee of or counsel for the Company that is
delivered to the Trustee in accordance with the terms hereof. Each such
opinion shall include the statements provided for in Section 13.07, if and
to the extent required by the provisions thereof.

                  "Outstanding", when used with reference to Securities of
any series, means, subject to the provisions of Section 8.04, as of any
particular time, all Securities of that series theretofore authenticated
and delivered by the Trustee under this Indenture, except (a) Securities
theretofore canceled by the Trustee or any paying agent, or delivered to
the Trustee or any paying agent for cancellation or that have previously
been canceled; (b) Securities or portions thereof for the payment or
redemption of which moneys or Governmental Obligations 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, however, that if such Securities or portions of
such Securities are to be redeemed prior to the maturity thereof, notice of
such redemption shall have been given as in Article Three 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 2.07.

                  "Person" means any individual, corporation, partnership,
joint-venture, joint-stock company, 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.

                  "Responsible Officer" when used with respect to the Trustee
means the Chairman of the Board of Directors, the Chairman, any Vice
President, the Secretary, the Treasurer, any trust officer, any corporate
trust officer or any other officer or assistant officer of the Trustee
customarily performing functions similar to those performed by the Persons who
at the time shall be such officers, respectively, or to whom any corporate
trust matter is referred because of his or her knowledge of and familiarity
with the particular subject.

                  "Securities" means the debt Securities authenticated and
delivered under this Indenture.

                  "Securityholder", "holder of Securities", "registered
holder", or other similar term, means the Person or Persons in whose name
or names a particular Security shall be registered on the books of the
Company kept for that purpose in accordance with the terms of this
Indenture.

                  "Subsidiary" means, with respect to any Person, (i) any
corporation at least a majority of whose outstanding Voting Stock shall at
the time be 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.

                  "Trustee" means [ ], and, subject to the provisions of
Article Seven, shall also include its successors and assigns, and, if at
any time there is more than one Person acting in such capacity hereunder,
"Trustee" shall mean each such Person. The term "Trustee" as used with
respect to a particular series of the Securities shall mean the trustee
with respect to that series.

                  "Trust Indenture Act" means the Trust Indenture Act of
1939, as amended, subject to the provisions of Sections 9.01, 9.02, and
10.01, as in effect at the date of execution of this instrument.

                  "Voting Stock", as applied to stock of any Person, means
shares, interests, participations 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, participations or other equivalents
having such power only by reason of the occurrence of a contingency.

                                  ARTICLE II.

                     ISSUE, DESCRIPTION, TERMS, EXECUTION,
                    REGISTRATION AND EXCHANGE OF SECURITIES

                  SECTION 2.01      Designation and Terms of Securities.
                                    -----------------------------------

                  (a) The aggregate principal amount of Securities that may be
authenticated and delivered under this Indenture is unlimited. The Securities
may be issued in one or more series up to the aggregate principal amount of
Securities of that series from time to time authorized by or pursuant to a
Board Resolution of the Company or pursuant to one or more indentures
supplemental hereto. Prior to the initial issuance of Securities of any
series, there shall be established in or pursuant to a Board Resolution of the
Company, and set forth in an Officers' Certificate of the Company, or
established in one or more indentures supplemental hereto:

                  (1) the title of the Security of the series (which shall
         distinguish the Securities of the series from all other Securities);

                  (2) any limit upon the aggregate principal amount of the
         Securities of that series that may be authenticated and delivered
         under this Indenture (except for Securities authenticated and
         delivered upon registration of transfer of, or in exchange for, or
         in lieu of, other Securities of that series);

                  (3) the date or dates on which the principal of the
         Securities of the series is payable;

                  (4) the rate or rates at which the Securities of the series
         shall bear interest or the manner of calculation of such rate or
         rates, if any;

                  (5) the date or dates from which such interest shall
         accrue, the Interest Payment Dates on which such interest will be
         payable or the manner of determination of such Interest Payment
         Dates and the record date for the determination of holders to whom
         interest is payable on any such Interest Payment Dates;

                  (6) the right, if any, to extend the interest payment
         periods and the duration of such extension;

                  (7) the period or periods within which, the price or
         prices at which and the terms and conditions upon which,
         Securities of the series may be redeemed, in whole or in part, at
         the option of the Company;

                  (8) the obligation, if any, of the Company to redeem or
         purchase Securities of the series pursuant to any sinking fund or
         analogous provisions (including payments made in cash in
         participation of future sinking fund obligations) or at the option
         of a holder thereof and the period or periods within which, the
         price or prices at which, and the terms and conditions upon which,
         Securities of the series shall be redeemed or purchased, in whole
         or in part, pursuant to such obligation;

                  (9) the subordination terms of the Securities of the series;

                  (10) the form of the Securities of the series including the
         form of the Certificate of Authentication for such series;

                  (11) if other than denominations of one thousand U.S.
         dollars ($1,000) or any integral multiple thereof, the denominations
         in which the Securities of the series shall be issuable;

                  (12) any and all other terms with respect to such series
         (which terms shall not be inconsistent with the terms of this
         Indenture) including any terms which may be required by or
         advisable under United States laws or regulations or advisable in
         connection with the marketing of Securities of that series;

                  (13) whether the Securities are issuable as a Global
         Security and, in such case, the identity for the Depositary for such
         series;

                  (14) if the amount of payments of principal of and any
         premium or interest on the Securities of the series may be determined
         with reference to an index, the manner in which such amounts shall be
         determined;

                  (15) whether the Securities will be convertible into
         shares of common stock or other securities of the Company and, if
         so, the terms and conditions upon which such Securities will be so
         convertible, including the conversion price and the conversion
         period;

                  (16) if other than the principal amount thereof, the
         portion of the principal amount of Securities of the series which
         shall be payable upon declaration of acceleration of the maturity
         thereof pursuant to Section 6.01;

                  (17) any additional or different Events of Default or
         restrictive covenants provided for with respect to the Securities of
         the series; and

                  (18) any provisions granting special rights to holders when
         a specified event occurs; and

                  (19) any special tax implications of the notes, including
         provisions for original issue discount securities, if offered.

                  All Securities of any one series shall be substantially
identical except as to denomination and except as may otherwise be provided
in or pursuant to any such Board Resolution or in any indentures
supplemental hereto.

                  If any of the terms of the series are established by action
taken pursuant to a Board Resolution of the Company, a copy of an appropriate
record of such action shall be certified by the Secretary or an Assistant
Secretary of the Company and delivered to the Trustee at or prior to the
delivery of the Officers' Certificate of the Company setting forth the terms
of the series.

                  Securities of any particular series may be issued at
various times, with different dates on which the principal or any
installment of principal is payable, with different rates of interest, if
any, or different methods by which rates of interest may be determined,
with different dates on which such interest may be payable and with
different redemption dates.

                  SECTION 2.02    Form of Securities and Trustee's Certificate.
                                  --------------------------------------------

                  The Securities of any series and the Trustee's
certificate of authentication to be borne by such Securities shall be
substantially of the tenor and purport as set forth in one or more
indentures supplemental hereto or as provided in a Board Resolution of the
Company and as set forth in an Officers' Certificate of the Company and may
have such letters, numbers or other marks of identification or designation
and such legends or endorsements printed, lithographed or engraved thereon
as the Company may deem appropriate and as are not inconsistent with the
provisions of this Indenture, or as may be required to comply with any law
or with any rule or regulation made pursuant thereto or with any rule or
regulation of any stock exchange on which Securities of that series may be
listed, or to conform to usage.

                  SECTION 2.03      Denominations:  Provisions for Payment.
                                    --------------------------------------

                  The Securities shall be issuable as registered Securities
and in the denominations of one thousand U.S. dollars ($1,000) or any
integral multiple thereof, subject to Section 2.01(11). The Securities of a
particular series shall bear interest payable on the dates and at the rate
specified with respect to that series. The principal of and the interest on
the Securities of any series, as well as any premium thereon in case of
redemption thereof prior to maturity, shall be payable in the coin or
currency of the United States of America that at the time is legal tender
for public and private debt, at the office or agency of the Company
maintained for that purpose in the Borough of Manhattan, the City and State
of New York. Each Security shall be dated the date of its authentication.
Interest on the Securities shall be computed on the basis of a 360-day year
composed of twelve 30-day months.

                  The interest installment on any Security that is payable,
and is punctually paid or duly provided for, on any Interest Payment Date
for Securities of that series shall be paid to the Person in whose name
said Security (or one or more Predecessor Securities) is registered at the
close of business on the regular record date for such interest installment.
In the event that any Security of a particular series or portion thereof is
called for redemption and the redemption date is subsequent to a regular
record date with respect to any Interest Payment Date and prior to such
Interest Payment Date, interest on such Security will be paid upon
presentation and surrender of such Security as provided in Section 3.03.

                  Any interest on any Security that is payable, but is not
punctually paid or duly provided for, on any Interest Payment Date for
Securities of the same series (herein called "Defaulted Interest") shall
forthwith cease to be payable to the registered 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 (1) or clause (2) below:

                  (1) 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 (as
         hereinafter defined), 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 (2).

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

                  Unless otherwise set forth in a Board Resolution of the
Company or one or more indentures supplemental hereto establishing the terms
of any series of Securities pursuant to Section 2.01 hereof, the term "regular
record date" as used in this Section with respect to a series of Securities
with respect to any Interest Payment Date for such series shall mean either
the fifteenth day of the month immediately preceding the month in which an
Interest Payment Date established for such series pursuant to Section 2.01
hereof shall occur, if such Interest Payment Date is the first day of a month,
or the last day of the month immediately preceding the month in which an
Interest Payment Date established for such series pursuant to Section 2.01
hereof shall occur, if such Interest Payment Date is the fifteenth day of a
month, whether or not such date is a Business Day.

                  Subject to the foregoing provisions of this Section, each
Security of a series delivered under this Indenture upon transfer of or in
exchange for or in lieu of any other Security of such series shall carry
the rights to interest accrued and unpaid, and to accrue, that were carried
by such other Security.

                  SECTION 2.04      Execution and Authentications.
                                    -----------------------------

                  The Securities shall be signed on behalf of the Company
by its Chairman, or one of its Vice Presidents, together with its
Treasurer, or one of its Assistant Treasurers, or its Secretary, or one of
its Assistant Secretaries, under its corporate seal attested by its
Secretary or one of its Assistant Secretaries. Signatures may be in the
form of a manual or facsimile signature. The Company may use the facsimile
signature of any Person who shall have been a Chairman or Vice President
thereof, or of any Person who shall have been a Secretary or Assistant
Secretary thereof, notwithstanding the fact that at the time the Securities
shall be authenticated and delivered or disposed of such Person shall have
ceased to be the Chairman or a Vice President, or the Secretary or an
Assistant Secretary, of the Company. The seal of the Company may be in the
form of a facsimile of such seal and may be impressed, affixed, imprinted
or otherwise reproduced on the Securities. The Securities may contain such
notations, legends or endorsements required by law, stock exchange rule or
usage. Each Security shall be dated the date of its authentication by the
Trustee.

                  A Security shall not be valid until authenticated
manually by an authorized signatory of the Trustee, or by an Authenticating
Agent. Such signature shall be conclusive evidence that the Security so
authenticated has been duly authenticated and delivered hereunder and that
the holder is entitled to the benefits of this Indenture.

                  At any time and from time to time after the execution and
delivery of this Indenture, the Company may deliver Securities of any
series executed by the Company to the Trustee for authentication, together
with a written order of the Company for the authentication and delivery of
such Securities, signed by its Chairman or any Vice President and its
Secretary or any Assistant Secretary, and the Trustee in accordance with
such written order shall authenticate and deliver such Securities.

                  In authenticating such Securities and accepting the
additional responsibilities under this Indenture in relation to such
Securities, the Trustee shall be entitled to receive, and (subject to Section
7.01) shall be fully protected in relying upon, an Opinion of Counsel stating
that the form and terms thereof have been established in conformity with the
provisions of this Indenture.

                  The Trustee shall not be required to authenticate such
Securities if the issue of such Securities pursuant to this Indenture will
affect the Trustee's own rights, duties or immunities under the Securities
and this Indenture or otherwise in a manner that is not reasonably
acceptable to the Trustee.

                  SECTION 2.05      Registration of Transfer and Exchange.
                                    -------------------------------------

                  (a) Securities of any series may be exchanged upon
presentation thereof at the office or agency of the Company designated for
such purpose in the Borough of Manhattan, the City and State of New York,
for other Securities of such series of authorized denominations, and for a
like aggregate principal amount, upon payment of a sum sufficient to cover
any tax or other governmental charge in relation thereto, all as provided
in this Section. In respect of any Securities so surrendered for exchange,
the Company shall execute, the Trustee shall authenticate and such office
or agency shall deliver in exchange therefor the Security or Securities of
the same series that the Securityholder making the exchange shall be
entitled to receive, bearing numbers not contemporaneously outstanding.

                  (b) The Company shall keep, or cause to be kept, at its
office or agency designated for such purpose in the Borough of Manhattan,
the City and State of New York, or such other location designated by the
Company a register or registers (herein referred to as the "Security
Register") in which, subject to such reasonable regulations as it may
prescribe, the Company shall register the Securities and the transfers of
Securities as in this Article provided and which at all reasonable times
shall be open for inspection by the Trustee. The registrar for the purpose
of registering Securities and transfer of Securities as herein provided
shall be appointed as authorized by Board Resolution (the "Security
Registrar").

                  Upon surrender for transfer of any Security at the office
or agency of the Company designated for such purpose, the Company shall
execute, the Trustee shall authenticate and such office or agency shall
deliver in the name of the transferee or transferees a new Security or
Securities of the same series as the Security presented for a like
aggregate principal amount.

                  All Securities presented or surrendered for exchange or
registration of transfer, as provided in this Section, shall be accompanied
(if so required by the Company or the Security Registrar) by a written
instrument or instruments of transfer, in form satisfactory to the Company
or the Security Registrar, duly executed by the registered holder or by
such holder's duly authorized attorney in writing.

                  (c) No service charge shall be made for any exchange or
registration of transfer of Securities, or issue of new Securities in case of
partial redemption of any series, but the Company may require payment of a sum
sufficient to cover any tax or other governmental charge in relation thereto,
other than exchanges pursuant to Section 2.06, the second paragraph of Section
3.03 and Section 9.04 not involving any transfer.

                  (d) The Company shall not be required (i) to issue,
exchange or register the transfer of any Securities during a period
beginning at the opening of business 15 days before the day of the mailing
of a notice of redemption of less than all the Outstanding Securities of
the same series and ending at the close of business on the day of such
mailing, nor (ii) to register the transfer of or exchange any Securities of
any series or portions thereof called for redemption. The provisions of
this Section 2.05 are, with respect to any Global Security, subject to
Section 2.11 hereof.

                  SECTION 2.06      Temporary Securities.
                                    --------------------

                  Pending the preparation of definitive Securities of any
series, the Company may execute, and the Trustee shall authenticate and
deliver, temporary Securities (printed, lithographed or typewritten) of any
authorized denomination. Such temporary Securities shall be substantially
in the form of the definitive Securities in lieu of which they are issued,
but with such omissions, insertions and variations as may be appropriate
for temporary Securities, all as may be determined by the Company. Every
temporary Security of any series shall be executed by the Company and be
authenticated by the Trustee upon the same conditions and in substantially
the same manner, and with like effect, as the definitive Securities of such
series. Without unnecessary delay the Company will execute and will furnish
definitive Securities of such series and thereupon any or all temporary
Securities of such series may be surrendered in exchange therefor (without
charge to the holders), at the office or agency of the Company designated
for the purpose in the Borough of Manhattan, the City and State of New
York, and the Trustee shall authenticate and such office or agency shall
deliver in exchange for such temporary Securities an equal aggregate
principal amount of definitive Securities of such series, unless the
Company advises the Trustee to the effect that definitive Securities need
not be executed and furnished until further notice from the Company. Until
so exchanged, the temporary Securities of such series shall be entitled to
the same benefits under this Indenture as definitive Securities of such
series authenticated and delivered hereunder.

                  SECTION 2.07 Mutilated, Destroyed, Lost or Stolen Securities.
                               -----------------------------------------------

                  In case any temporary or definitive Security shall become
mutilated or be destroyed, lost or stolen, the Company (subject to the next
succeeding sentence) shall execute, and upon the Company's request the Trustee
(subject as aforesaid) shall authenticate and deliver, a new Security of the
same series, bearing a number not contemporaneously outstanding, in exchange
and substitution for the mutilated Security, or in lieu of and in substitution
for the Security so destroyed, lost or stolen. In every case the applicant for
a substituted Security shall furnish to the Company and the Trustee such
security or indemnity as may be required by them to save each of them
harmless, and, in every case of destruction, loss or theft, the applicant
shall also furnish to the Company and the Trustee evidence to their
satisfaction of the destruction, loss or theft of the applicant's Security and
of the ownership thereof. The Trustee may authenticate any such substituted
Security and deliver the same upon the written request or authorization of any
officer of the Company. Upon the issuance of any substituted Security, the
Company may require the payment of a sum sufficient to cover any tax or other
governmental charge that may be imposed in relation thereto and any other
expenses (including the fees and expenses of the Trustee) connected therewith.
In case any Security that has matured or is about to mature shall become
mutilated or be destroyed, lost or stolen, the Company may, instead of issuing
a substitute Security, pay or authorize the payment of the same (without
surrender thereof except in the case of a mutilated Security) if the applicant
for such payment shall furnish to the Company and the Trustee such security or
indemnity as they may require to save them harmless, and, in case of
destruction, loss or theft, evidence to the satisfaction of the Company and
the Trustee of the destruction, loss or theft of such Security and of the
ownership thereof.

                  Every replacement Security issued pursuant to the
provisions of this Section shall constitute an additional contractual
obligation of the Company whether or not the mutilated, destroyed, lost or
stolen Security shall be found at any time, or be enforceable by anyone,
and shall be entitled to all the benefits of this Indenture equally and
proportionately with any and all other Securities of the same series duly
issued hereunder. All Securities shall be held and owned upon the express
condition that the foregoing provisions are exclusive with respect to the
replacement or payment of mutilated, destroyed, lost or stolen Securities,
and shall preclude (to the extent lawful) any and all other rights or
remedies, notwithstanding any law or statute existing or hereafter enacted
to the contrary with respect to the replacement or payment of negotiable
instruments or other securities without their surrender.

                  SECTION 2.08      Cancellation.
                                    ------------

                  All Securities surrendered for the purpose of payment,
redemption, exchange or registration of transfer shall, if surrendered to
the Company or any paying agent, be delivered to the Trustee for
cancellation, or, if surrendered to the Trustee, shall be cancelled by it,
and no Securities shall be issued in lieu thereof except as expressly
required or permitted by any of the provisions of this Indenture. On
request of the Company at the time of such surrender, the Trustee shall
deliver to the Company canceled Securities held by the Trustee. In the
absence of such request the Trustee may dispose of canceled Securities in
accordance with its standard procedures and deliver a certificate of
disposition to the Company. If the Company shall otherwise acquire any of
the Securities, however, such acquisition shall not operate as a redemption
or satisfaction of the indebtedness represented by such Securities unless
and until the same are delivered to the Trustee for cancellation.

                  SECTION 2.09      Benefits of Indenture.
                                    ---------------------

                  Nothing in this Indenture or in the Securities, express
or implied, shall give or be construed to give to any Person, other than
the parties hereto and the holders of the Securities (and, with respect to
the provisions of Article Fourteen, the holders of Senior Indebtedness) any
legal or equitable right, remedy or claim under or in respect of this
Indenture, or under any covenant, condition or provision herein contained;
all such covenants, conditions and provisions being for the sole benefit of
the parties hereto and of the holders of the Securities (and, with respect
to the provisions of Article Fourteen, the holders of Senior Indebtedness).

                  SECTION 2.10      Authenticating Agent.
                                    --------------------

                  So long as any of the Securities of any series remain
Outstanding there may be an Authenticating Agent for any or all such series
of Securities which the Trustee shall have the right to appoint. Said
Authenticating Agent shall be authorized to act on behalf of the Trustee to
authenticate Securities of such series issued upon exchange, transfer or
partial redemption thereof, and Securities so authenticated shall be
entitled to the benefits of this Indenture and shall be valid and
obligatory for all purposes as if authenticated by the Trustee hereunder.
All references in this Indenture to the authentication of Securities by the
Trustee shall be deemed to include authentication by an Authenticating
Agent for such series. Each Authenticating Agent shall be acceptable to the
Company and shall be a corporation that has a combined capital and surplus,
as most recently reported or determined by it, sufficient under the laws of
any jurisdiction under which it is organized or in which it is doing
business to conduct a trust business, and that is otherwise authorized
under such laws to conduct such business and is subject to supervision or
examination by Federal or State authorities. If at any time any
Authenticating Agent shall cease to be eligible in accordance with these
provisions, it shall resign immediately.

                  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 (and upon request by the Company shall) terminate
the agency of any Authenticating Agent by giving written notice of
termination to such Authenticating Agent and to the Company. Upon
resignation, termination or cessation of eligibility of any Authenticating
Agent, the Trustee may appoint an eligible successor Authenticating Agent
acceptable to the Company. Any successor Authenticating Agent, upon
acceptance of its appointment hereunder, shall become vested with all the
rights, powers and duties of its predecessor hereunder as if originally
named as an Authenticating Agent pursuant hereto.

                  SECTION 2.11      Global Securities.
                                    -----------------

                  (a) If the Company shall establish pursuant to Section
2.01 that the Securities of a particular series are to be issued as a
Global Security, then the Company shall execute and the Trustee shall, in
accordance with Section 2.04, authenticate and deliver, a Global Security
that (i) shall represent, and shall be denominated in an amount equal to
the aggregate principal amount of, all of the Outstanding Securities of
such series, (ii) shall be registered in the name of the Depositary or its
nominee, (iii) shall be delivered by the Trustee to the Depositary or
pursuant to the Depositary's instruction and (iv) shall bear a legend
substantially to the following effect: "Except as otherwise provided in
Section 2.11 of the Indenture, this Security may be transferred,
in whole but not in part, only to another nominee of the Depositary or to a
successor Depositary or to a nominee of such successor Depositary."

                  (b) Notwithstanding the provisions of Section 2.05, the
Global Security of a series may be transferred, in whole but not in part
and in the manner provided in Section 2.05, only to another nominee of the
Depositary for such series, or to a successor Depositary for such series
selected or approved by the Company or to a nominee of such successor
Depositary.

                  (c) If at any time the Depositary for a series of the
Securities notifies the Company that it is unwilling or unable to continue
as Depositary for such series or if at any time the Depositary for such
series shall no longer be registered or in good standing under the Exchange
Act, or other applicable statute or regulation, and a successor Depositary
for such series 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, this Section 2.11 shall no longer be applicable to the
Securities of such series and the Company will execute, and subject to
Section 2.05, the Trustee will authenticate and deliver the Securities of
such series in definitive registered form without coupons, in authorized
denominations, and in an aggregate principal amount equal to the principal
amount of the Global Security of such series in exchange for such Global
Security. In addition, the Company may at any time determine that the
Securities of any series shall no longer be represented by a Global
Security and that the provisions of this Section 2.11 shall no longer apply
to the Securities of such series. In such event the Company will execute
and subject to Section 2.05, the Trustee, upon receipt of an Officers'
Certificate evidencing such determination by the Company, will authenticate
and deliver the Securities of such series in definitive registered form
without coupons, in authorized denominations, and in an aggregate principal
amount equal to the principal amount of the Global Security of such series
in exchange for such Global Security. Upon the exchange of the Global
Security for such Securities in definitive registered form without coupons,
in authorized denominations, the Global Security shall be canceled by the
Trustee. Such Securities in definitive registered form issued in exchange
for the Global Security pursuant to this Section 2.11(c) 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 Securities to the Depositary for delivery to the Persons in
whose names such Securities are so registered.


                                 ARTICLE III.

             REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS

                  SECTION 3.01      Redemption.
                                    ----------

                  The Company may redeem the Securities of any series
issued hereunder on and after the dates and in accordance with the terms
established for such series pursuant to Section 2.01 hereof.

                  SECTION 3.02      Notice of Redemption.
                                    --------------------

                  (a) In case the Company shall desire to exercise such
right to redeem all or, as the case may be, a portion of the Securities of
any series in accordance with the right reserved so to do, the Company
shall, or shall cause the Trustee to, give notice of such redemption to
holders of the Securities of such series to be redeemed by mailing, first
class postage prepaid, a notice of such redemption not less than 30 days
and not more than 90 days before the date fixed for redemption of that
series to such holders at their last addresses as they shall appear upon
the Security Register unless a shorter period is specified in the
Securities to be redeemed. Any notice that is mailed in the manner herein
provided shall be conclusively presumed to have been duly given, whether or
not the registered holder receives the notice. In any case, failure duly to
give such notice to the holder of any Security of any series designated for
redemption in whole or in part, or any defect in the notice, shall not
affect the validity of the proceedings for the redemption of any other
Securities of such series or any other series. In the case of any
redemption of Securities prior to the expiration of any restriction on such
redemption provided in the terms of such Securities or elsewhere in this
Indenture, the Company shall furnish the Trustee with an Officers'
Certificate evidencing compliance with any such restriction.

                  Each such notice of redemption shall specify the date
fixed for redemption and the redemption price at which Securities of that
series are to be redeemed, and shall state that payment of the redemption
price of such Securities to be redeemed will be made at the office or
agency of the Company in the Borough of Manhattan, the City and State of
New York, upon presentation and surrender of such Securities, that interest
accrued to the date fixed for redemption will be paid as specified in said
notice, that from and after said date interest will cease to accrue and
that the redemption is for a sinking fund, if such is the case. If less
than all the Securities of a series are to be redeemed, the notice to the
holders of Securities of that series to be redeemed in whole or in part
shall specify the particular Securities to be so redeemed. In case any
Security is to be redeemed in part only, the notice that relates to such
Security shall state the portion of the principal amount thereof to be
redeemed, and shall state that on and after the redemption date, upon
surrender of such Security, a new Security or Securities of such series in
principal amount equal to the unredeemed portion thereof will be issued.

                  (b) If less than all the Securities of a series are to be
redeemed, the Company shall give the Trustee at least 45 days' notice in
advance of the date fixed for redemption as to the aggregate principal amount
of Securities of the series to be redeemed, and thereupon the Trustee shall
select, by lot or in such other manner as it shall deem appropriate and fair
in its discretion and that may provide for the selection of a portion or
portions (equal to one thousand U.S. dollars ($1,000) or any integral multiple
thereof) of the principal amount of such Securities of a denomination larger
than $1,000, the Securities to be redeemed and shall thereafter promptly
notify the Company in writing of the numbers of the Securities to be redeemed,
in whole or in part.

                  The Company may, if and whenever it shall so elect, by
delivery of instructions signed on its behalf by its Chairman or any Vice
President, instruct the Trustee or any paying agent to call all or any part
of the Securities of a particular series for redemption and to give notice
of redemption in the manner set forth in this Section, such notice to be in
the name of the Company or its own name as the Trustee or such paying agent
may deem advisable. In any case in which notice of redemption is to be
given by the Trustee or any such paying agent, the Company shall deliver or
cause to be delivered to, or permit to remain with, the Trustee or such
paying agent, as the case may be, such Security Register, transfer books or
other records, or suitable copies or extracts therefrom, sufficient to
enable the Trustee or such paying agent to give any notice by mail that may
be required under the provisions of this Section.

                  SECTION 3.03      Payment Upon Redemption.
                                    -----------------------

                  (a) If the giving of notice of redemption shall have been
completed as above provided, the Securities or portions of Securities of
the series to be redeemed specified in such notice shall become due and
payable on the date and at the place stated in such notice at the
applicable redemption price, together with interest accrued to the date
fixed for redemption and interest on such Securities or portions of
Securities shall cease to accrue on and after the date fixed for
redemption, unless the Company shall default in the payment of such
redemption price and accrued interest with respect to any such Security or
portion thereof. On presentation and surrender of such Securities on or
after the date fixed for redemption at the place of payment specified in
the notice, said Securities shall be paid and redeemed at the applicable
redemption price for such series, together with interest accrued thereon to
the date fixed for redemption (but if the date fixed for redemption is an
interest payment date, the interest installment payable on such date shall
be payable to the registered holder at the close of business on the
applicable record date pursuant to Section 2.03).

                  (b) Upon presentation of any Security of such series that
is to be redeemed in part only, the Company shall execute and the Trustee
shall authenticate and the office or agency where the Security is presented
shall deliver to the holder thereof, at the expense of the Company, a new
Security of the same series of authorized denominations in principal amount
equal to the unredeemed portion of the Security so presented.

                  SECTION 3.04      Sinking Fund.
                                    ------------

                  The provisions of Sections 3.04, 3.05 and 3.06 shall be
applicable to any sinking fund for the retirement of Securities of a
series, except as otherwise specified as contemplated by Section 2.01 for
Securities of such series.

                  The minimum amount of any sinking fund payment provided
for by the terms of Securities of any series is herein referred to as a
"mandatory sinking fund payment," and any payment in excess of such minimum
amount provided for by the terms of Securities of any series is herein
referred to as an "optional sinking fund payment". If provided for by the
terms of Securities of any series, the cash amount of any sinking fund
payment may be subject to reduction as provided in Section 3.05. Each
sinking fund payment shall be applied to the redemption of Securities of
any series as provided for by the terms of Securities of such series.

           SECTION 3.05 Satisfaction of Sinking Fund Payments with Securities.
                        -----------------------------------------------------

                  The Company (i) may deliver Outstanding Securities of a
series (other than any Securities previously called for redemption) and
(ii) may apply as a credit Securities of a series that have been redeemed
either at the election of the Company pursuant to the terms of such
Securities or through the application of permitted optional sinking fund
payments pursuant to the terms of such Securities, in each case in
satisfaction of all or any part of any sinking fund payment with respect to
the Securities of such series required to be made pursuant to the terms of
such Securities as provided for by the terms of such series, provided that
such Securities have not been previously so credited. Such Securities shall
be received and credited for such purpose by the Trustee at the redemption
price specified in such Securities for redemption through operation of the
sinking fund and the amount of such sinking fund payment shall be reduced
accordingly.

                  SECTION 3.06      Redemption of Securities for Sinking Fund.
                                    -----------------------------------------

                  Not less than 45 days prior to each sinking fund payment
date for any series of Securities, the Company will deliver to the Trustee
an Officers' Certificate specifying the amount of the next ensuing sinking
fund payment for that series pursuant to the terms of the series, the
portion thereof, if any, that is to be satisfied by delivering and
crediting Securities of that series pursuant to Section 3.05 and the basis
for such credit and will, together with such Officers' Certificate, deliver
to the Trustee any Securities to be so delivered. Not less than 30 days
before each such sinking fund payment date the Trustee shall select the
Securities to be redeemed upon such sinking fund payment date in the manner
specified in Section 3.02 and cause notice of the redemption thereof to be
given in the name of and at the expense of the Company in the manner
provided in Section 3.02. Such notice having been duly given, the
redemption of such Securities shall be made upon the terms and in the
manner stated in Section 3.03.


                                  ARTICLE IV.

                               CERTAIN COVENANTS

                  SECTION 4.01      Payment of Principal, Premium and Interest.
                                    ------------------------------------------

                  The Company will duly and punctually pay or cause to be
paid the principal of (and premium, if any) and interest on the Securities
of that series at the time and place and in the manner provided herein and
established with respect to such Securities.

                  SECTION 4.02      Maintenance of Office or Agency.
                                    -------------------------------

                  So long as any series of the Securities remain
Outstanding, the Company agrees to maintain an office or agency in the
Borough of Manhattan, the City and State of New York, with respect to each
such series and at such other location or locations as may be designated as
provided in this Section 4.02, where (i) Securities of that series may be
presented for payment, (ii) Securities of that series may be presented as
hereinabove authorized for registration of transfer and exchange, and (iii)
notices and demands to or upon the Company in respect of the Securities of
that series and this Indenture may be given or served, such designation to
continue with respect to such office or agency until the Company shall, by
written notice signed by its Chairman or a Vice President and delivered to
the trustee, designate some other office or agency for such purposes or any
of them. If at any time the Company shall fail to maintain any such
required office or agency or shall fail to furnish the Trustee with the
address thereof, such presentations, notices and demands may be made or
served at the Corporate Trust Office of the Trustee, and the Company hereby
appoints the Trustee as its agent to receive all such presentations,
notices and demands.

                  SECTION 4.03      Paying Agents.
                                    -------------

                  (a) If the Company shall appoint one or more paying
agents for all or any series of the Securities, other than the Trustee, the
Company will cause each such paying agent to execute and deliver to the
Trustee an instrument in which such agent shall agree with the Trustee,
subject to the provisions of this Section:

                  (1) that it will hold all sums held by it as such agent
         for the payment of the principal of (and premium, if any) or
         interest on the Securities of that series (whether such sums have
         been paid to it by the Company or by any other obligor of such
         Securities) in trust for the benefit of the Persons entitled
         thereto;

                  (2) that it will give the Trustee notice of any failure
         by the Company (or by any other obligor of such Securities) to
         make any payment of the principal of (and premium, if any) or
         interest on the Securities of that series when the same shall be
         due and payable;

                  (3) that it will, at any time during the continuance of
         any failure referred to in the preceding paragraph (a)(2) above,
         upon the written request of the Trustee, forthwith pay to the
         Trustee all sums so held in trust by such paying agent; and

                  (4) that it will perform all other duties of paying agent as
         set forth in this Indenture.

                  (b) If the Company shall act as its own paying agent with
respect to any series of the Securities, it will on or before each due date
of the principal of (and premium, if any) or interest on Securities of that
series, set aside, segregate and hold in trust for the benefit of the
Persons entitled thereto a sum sufficient to pay such principal (and
premium, if any) or interest so becoming due on Securities of that series
until such sums shall be paid to such Persons or otherwise disposed of as
herein provided and will promptly notify the Trustee of such action, or any
failure (by it or any other obligor on such Securities) to take such
action. Whenever the Company shall have one or more paying agents for any
series of Securities, it will, prior to each due date of the principal of
(and premium, if any) or interest on any Securities of that series, deposit
with the paying agent a sum sufficient to pay the principal (an premium, if
any) or interest so becoming due, such sum to be held in trust for the
benefit of the Persons entitled to such principal, premium or interest, and
(unless such paying agent is the Trustee) the Company will promptly notify
the Trustee of this action or failure so to act.

                  (c) Notwithstanding anything in this Section to the
contrary, (i) the agreement to hold sums in trust as provided in this
Section is subject to the provisions of Section 11.05, and (ii) the Company
may at any time, for the purpose of obtaining the satisfaction and
discharge of this Indenture or for any other purpose, pay, or direct any
paying agent to pay, to the Trustee all sums held in trust by the Company
or such paying agent, such sums to be held by the Trustee upon the same
terms and conditions as those upon which such sums were held by the Company
or such paying agent; and, upon such payment by any paying agent to the
Trustee, such paying agent shall be released from all further liability
with respect to such money.

                  SECTION 4.04 Appointment to Fill Vacancy in Office of
Trustee.

                  The Company, whenever necessary to avoid or fill a
vacancy in the office of Trustee, will appoint, in the manner provided in
Section 7.10, a Trustee, so that there shall at all times be a Trustee
hereunder.

                  SECTION 4.05      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 company
unless the provisions of Article Ten hereof are complied with.

                                  ARTICLE V.

                      SECURITYHOLDERS' LISTS AND REPORTS
                        BY THE COMPANY AND THE TRUSTEE

                  SECTION 5.01      Company to Furnish Trustee Names and
                                    Addresses of Securityholders.
                                    ------------------------------------

                  The Company will furnish or cause to be furnished to the
Trustee (a) on a monthly basis on each regular record date (as defined in
Section 2.03) a list, in such form as the Trustee may reasonably require,
of the names and addresses of the holders of each series of Securities as
of such regular record date, provided that the Company shall not be
obligated to furnish or cause to furnish such list at any time that the
list shall not differ in any respect from the most recent list furnished to
the Trustee by the Company 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; provided, however, that,
in either case, no such list need be furnished for any series for which the
Trustee shall be the Security Registrar.

                  SECTION 5.02      Preservation Of Information;
                                    Communications With Securityholders.
                                    ------------------------------------

                  (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 Securities contained in the most recent list furnished to it
as provided in Section 5.01 and as to the names and addresses of holders of
Securities received by the Trustee in its capacity as Security Registrar
(if acting in such capacity).

                  (b) The Trustee may destroy any list furnished to it as
provided in Section 5.01 upon receipt of a new list so furnished.

                  (c) Securityholders may communicate as provided in
Section 312(b) of the Trust Indenture Act with other Securityholders with
respect to their rights under this Indenture or under the Securities.

                  SECTION 5.03      Reports by the Company.
                                    ----------------------

                  (a) The Company covenants and agrees to file with the
Trustee, within 30 days after 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 the Commission may from time to time by rules and regulations
prescribe) that 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 the rules and regulations prescribed from
time to time by the Commission, such of the supplementary and periodic
information, documents and reports that 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.

                  (b) The Company covenants and agrees to file with the
Trustee and the Commission, in accordance with the rules and regulations
prescribed from to time by the 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,
first class postage prepaid, or reputable over-night delivery service that
provides for evidence of receipt, to the Securityholders, as their names
and addresses 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 as may be required by rules and
regulations prescribed from time to time by the Commission.

                  SECTION 5.04      Reports by the Trustee.
                                    ----------------------

                  (a) On or before July 15 in each year in which any of the
Securities are Outstanding, the Trustee shall transmit by mail, first class
postage prepaid, to the Securityholders, as their names and addresses
appear upon the Security Register, a brief report dated as of the preceding
May 15, if and to the extent required under Section 313(a) of the Trust
Indenture Act.

                  (b) The Trustee shall comply with Section 313(b) and 313(c)
of the Trust Indenture Act.

                  (c) A copy of each such report shall, at the time of such
transmission to Securityholders, be filed by the Trustee with the Company,
with each stock exchange upon which any Securities are listed (if so
listed) and also with the Commission. The Company agrees to notify the
Trustee when any Securities become listed on any stock exchange.

                                  ARTICLE VI.

                  REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS
                              ON EVENT OF DEFAULT

                  SECTION 6.01      Events of Default.
                                    -----------------

                  (a) Whenever used herein with respect to Securities of a
particular series, "Event of Default" means any one or more of the
following events that has occurred and is continuing:

                  (1) the Company defaults in the payment of any
         installment of interest upon any of the Securities of that series,
         as and when the same shall become due and payable, and continuance
         of such default for a period of 90 days; provided, however, that a
         valid extension of an interest payment period by the Company in
         accordance with the terms of any indenture supplemental hereto,
         shall not constitute a default in the payment of interest for this
         purpose;

                  (2) the Company defaults in the payment of the principal
         of (or premium, if any, on) any of the Securities of that series
         as and when the same shall become due and payable whether at
         maturity, upon redemption, by declaration or otherwise, or in any
         payment required by any sinking or analogous fund established with
         respect to that series; provided, however, that a valid extension
         of the maturity of such Securities in accordance with the terms of
         any indenture supplemental hereto shall not constitute a default
         in the payment of principal or premium, if any;

                  (3) the Company fails to observe or perform any other of
         its covenants or agreements with respect to that series contained
         in this Indenture or otherwise established with respect to that
         series of Securities pursuant to Section 2.01 hereof (other than a
         covenant or agreement that has been expressly included in this
         Indenture solely for the benefit of one or more series of
         Securities other than such series) for a period of 90 days after
         the date on which written notice of such failure, requiring the
         same to be remedied and stating that such notice is a "Notice of
         Default" hereunder, shall have been given to the Company by the
         Trustee, by registered or certified mail, or to the Company and
         the Trustee by the holders of at least 25% in principal amount of
         the Securities of that series at the time Outstanding;

                  (4) the Company pursuant to or within the meaning of any
         Bankruptcy Law (i) commences a voluntary case, (ii) consents to
         the entry of an order for relief against it in an involuntary
         case, (iii) consents to the appointment of a Custodian of it or
         for all or substantially all of its property or (iv) makes a
         general assignment for the benefit of its creditors; or

                  (5) a court of competent jurisdiction enters an order
         under any Bankruptcy Law that (i) is for relief against the
         Company in an involuntary case, (ii) appoints a Custodian of the
         Company for all or substantially all of their respective property,
         or (iii) orders the liquidation of the Company, and the order or
         decree remains unstayed and in effect for 90 days.

                  (b) In each and every such case, unless the principal of
all the Securities of that series shall have already become due and
payable, either the Trustee or the holders of not less than 25% in
aggregate principal amount of the Securities of that series then
Outstanding hereunder, by notice in writing to the Company (and to the
Trustee if given by such Securityholders), may declare the principal of all
the Securities of that series to be due and payable immediately, and upon
any such declaration the same shall become and shall be immediately due and
payable, notwithstanding anything contained in this Indenture or in the
Securities of that series or established with respect to that series
pursuant to Section 2.01 to the contrary.

                  (c) At any time after the principal of the Securities of
that series 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, the holders of a majority in
aggregate principal amount of the Securities of that series then
Outstanding hereunder, by written notice to the Company and the Trustee,
may rescind and annul such declaration and its consequences if: (i) the
Company has paid or deposited with the Trustee a sum sufficient to pay all
matured installments of interest upon all the Securities of that series and
the principal of (and premium, if any, on) any and all Securities of that
series that shall have become due otherwise than by acceleration (with
interest upon such principal and premium, if any, and, to the extent that
such payment is enforceable under applicable law, upon overdue installments
of interest, at the rate per annum expressed in the Securities of that
series to the date of such payment or deposit) and the amount payable to
the Trustee under Section 7.06, and (ii) any and all Events of Default
under the Indenture with respect to such series, other than the nonpayment
of principal on Securities of that series that shall not have become due by
their terms, shall have been remedied or waived as provided in Section
6.06.

                  No such rescission and annulment shall extend to or shall
affect any subsequent default or impair any right consequent thereon.

                  (d) In case the Trustee shall have proceeded to enforce
any right with respect to Securities of that series 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, and the Trustee shall be restored
respectively to their former positions and rights hereunder, and all
rights, remedies and powers of the Company and the Trustee shall continue
as though no such proceedings had been taken.

                  SECTION 6.02      Collection of Indebtedness and
                                    Suits for Enforcement by Trustee.
                                    ---------------------------------

                  (a) The Company covenants that (1) in case it shall
default in the payment of any installment of interest on any of the
Securities of a series, or any payment required by any sinking or analogous
fund established with respect to that series as and when the same shall
have become due and payable, and such default shall have continued for a
period of 90 Business Days, or (2) in case it shall default in the payment
of the principal of (or premium, if any, on) any of the Securities of a
series when the same shall have become due and payable, whether upon
maturity of the Securities of a series or upon redemption or upon
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
of that series, the whole amount that then shall have been become due and
payable on all such Securities for principal (and premium, if any) or
interest, or both, as the case may be, with interest upon the overdue
principal (and premium, if any) and (to the extent that payment of such
interest is enforceable under applicable law) upon overdue installments of
interest at the rate per annum expressed in the Securities of that series;
and, in addition thereto, such further amount as shall be sufficient to
cover the costs and expenses of collection, and the amount payable to the
Trustee under Section 7.06.

                  (b) If the Company shall fail to pay such amounts
forthwith upon such demand, the Trustee, in its own name and as trustee of
an express trust, shall be entitled and empowered to institute any action
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 other obligor upon the Securities of that series and collect the
moneys adjudged or decreed to be payable in the manner provided by law out
of the property of the Company or other obligor upon the Securities of that
series, wherever situated.

                  (c) In case of any receivership, insolvency, liquidation,
bankruptcy, reorganization, readjustment, arrangement, composition or judicial
proceedings affected the Company, or its creditors or property, the Trustee
shall have power to intervene in such proceedings and take any action therein
that may be permitted by the court and shall (except as may be otherwise
provided by law) be entitled to file such proofs of claim and other papers and
documents as may be necessary or advisable in order to have the claims of the
Trustee and of the holders of Securities of such series allowed for the entire
amount due and payable by the Company under the Indenture at the date of
institution of such proceedings and for any additional amount that may become
due and payable by the Company after such date, and to collect and receive any
moneys or other property payable or deliverable on any such claim, and to
distribute the same after the deduction of the amount payable to the Trustee
under Section 7.06; and any receiver, assignee or trustee in bankruptcy or
reorganization is hereby authorized by each of the holders of Securities of
such series to make such payments to the Trustee, and, in the event that the
Trustee shall consent to the making of such payments directly to such
Securityholders, to pay to the Trustee any amount due it under Section 7.06.

                  (d) All rights of action and of asserting claims under
this Indenture, or under any of the terms established with respect to
Securities of that series, may be enforced by the Trustee without the
possession of any of such Securities, or the production thereof at 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, after provision for
payment to the Trustee of any amounts due under Section 7.06, be for the
ratable benefit of the holders of the Securities of such series.

                  In case of an Event of Default hereunder, 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
at law or in equity or in bankruptcy or otherwise, whether for the specific
enforcement of any covenant or agreement contained in the 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.

                  Nothing contained herein shall be deemed 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 of that series 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.

                  SECTION 6.03      Application of Moneys Collected.
                                    -------------------------------

                  Any moneys collected by the Trustee pursuant to this
Article with respect to a particular series of Securities shall be applied
in the following order, at the date or dates fixed by the Trustee and, in
case of the distribution of such moneys on account of principal (or
premium, if any) or interest, upon presentation of the Securities of that
series, and notation thereon the payment, if only partially paid, and upon
surrender thereof if fully paid:

                  FIRST: To the payment of costs and expenses of collection
         and of all amounts payable to the Trustee under Section 7.06;

                  SECOND: To the payment of all Senior Indebtedness of the
         Company if and to the extent required by Article Fourteen; and

                  THIRD: To the payment of the amounts then due and unpaid
         upon Securities of such series for principal (and premium, if any)
         and interest, in respect of which or for the benefit of which such
         money has been collected, ratably, without preference or priority
         of any kind, according to the amounts due and payable on such
         Securities for principal (and premium, if any) and interest,
         respectively.

                  SECTION 6.04      Limitation on Suits.
                                    -------------------

                  No holder of any Security of any series shall have any
right by virtue 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 (i) 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 of
such series specifying such Event of Default, as hereinbefore provided;
(ii) the holders of not less than 25% in aggregate principal amount of the
Securities of such series then Outstanding shall have made written request
upon the Trustee to institute such action, suit or proceeding in its own
name as trustee hereunder; (iii) such holder or holders 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 (iv)
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 and (v) during such 60 day period, the holders of a majority in
principal amount of the Securities of that series do not give the Trustee a
direction inconsistent with the request.

                  Notwithstanding anything contained herein to the
contrary, any other provisions of this Indenture, the right of any holder
of any Security to receive payment of the principal of (and premium, if
any) and interest on such Security, as therein provided, on or after the
respective due dates expressed in such Security (or in the case of
redemption, on the redemption date), or to institute suit for the
enforcement of any such payment on or after such respective dates or
redemption date, shall not be impaired or affected without the consent of
such holder and by accepting a Security hereunder it is expressly
understood, intended and covenanted by the taker and holder of every
Security of such series with every other such taker and holder and the
Trustee, that no one or more holders of Securities of such series shall
have any right in any manner whatsoever by virtue or by availing of any
provision of this Indenture to affect, disturb or prejudice the rights of
the holders of any other of such 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 of such
series. 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.

                  SECTION 6.05      Rights and Remedies Cumulative;
                                    Delay or Omission Not Waiver.
                                    -------------------------------

                  (a) Except as otherwise provided in Section 2.07, all
powers and remedies given by this Article 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 such
Securities.

                  (b) 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 on acquiescence therein; and, subject to the provisions of
Section 6.04, every power and remedy given by this Article or by law to the
Trustee or the Securityholders may be exercised from time to time, and as
often as shall be deemed expedient, by the Trustee or by the
Securityholders.

                  SECTION 6.06      Control by Securityholders.
                                    --------------------------

                  The holders of a majority in aggregate principal amount
of the Securities of any series at the time Outstanding, determined in
accordance with Section 8.04, 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 with
respect to such series; provided, however, that such direction shall not be
in conflict with any rule of law or with this Indenture or be unduly
prejudicial to the rights of holders of Securities of any other series at
the time Outstanding determined in accordance with Section 8.04. Subject to
the provisions of Section 7.01, the Trustee shall have the right to decline
to follow any such direction if the Trustee in good faith shall, by a
Responsible Officer or Officers of the Trustee, determine that the
proceeding so directed would involve the Trustee in personal liability. The
holders of a majority in aggregate principal amount of the Securities of
any series at the time Outstanding affected thereby, determined in
accordance with Section 8.04, may on behalf of the holders of all of the
Securities of such series waive any past default in the performance of any
of the covenants contained herein or established pursuant to Section 2.01
with respect to such series and its consequences, except a default in the
payment of the principal of, or premium, if any, or interest on, any of the
Securities of that series as and when the same shall become due by the
terms of such Securities otherwise than by acceleration (unless such
default has been cured and a sum sufficient to pay all matured installments
of interest and principal and any premium has been deposited with the
Trustee (in accordance with Section 6.01(c)). 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 of such series 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.

                  SECTION 6.07      Undertaking to Pay Costs.
                                    ------------------------

                  All parties to this Indenture agree, and each holder of
any Securities by such holder's 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, 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 shall not apply to any suit instituted by the Trustee, to any
suit instituted by any Securityholder, or group of Securityholders, holding
more than 10% in aggregate principal amount of the Outstanding Securities
of any series, or to any suit instituted by any Securityholder for the
enforcement of the payment of the principal of (or premium, if any) or
interest on any Security of such series, on or after the respective due
dates expressed in such Security or established pursuant to this Indenture.


                                 ARTICLE VII.

                            CONCERNING THE TRUSTEE

                  SECTION 7.01  Certain Duties and Responsibilities of Trustee.
                                ----------------------------------------------

                  (a) The Trustee, prior to the occurrence of an Event of
Default with respect to the Securities of a series and after the curing of
all Events of Default with respect to the Securities of that series that
may have occurred, shall undertake to perform with respect to the
Securities of such series such duties and only such duties as are
specifically set forth in this Indenture, and no implied covenants shall be
read into this Indenture against the Trustee. In case an Event of Default
with respect to the Securities of a series has occurred (that has not been
cured or waived), the Trustee shall exercise with respect to Securities of
that series 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.

                  (b) 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:

                  (1) prior to the occurrence of an Event of Default with
         respect to the Securities of a series and after the curing or
         waiving of all such Events of Default with respect to that series
         that may have occurred:

                           (i) the duties and obligations of the Trustee
                  shall with respect to the Securities of such series be
                  determined solely by the express provisions of this
                  Indenture, and the Trustee shall not be liable with
                  respect to the Securities of such series 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

                           (ii) in the absence of bad faith on the part of
                  the Trustee, the Trustee may with respect to the
                  Securities of such series 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 that 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
                  requirement of this Indenture;

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

                  (3) 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 holders of not less than a
         majority in principal amount of the Securities of any series at
         the time Outstanding 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 with respect to the Securities of that series; and

                  (4) 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 7.02      Certain Rights of Trustee.
                                    -------------------------

                  Except as otherwise provided in Section 7.01:

                  (a) The Trustee may rely and shall be protected in acting or
refraining from acting upon any resolution, certificate, statement,
instrument, opinion, report, notice, request, consent, order, approval, bond,
security 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 shall be sufficiently evidenced by a Board
Resolution or an instrument signed in the name of the Company, by the
Chairman or any Vice President and by the Secretary or an Assistant
Secretary or the Treasurer or an Assistant Treasurer thereof (unless other
evidence in respect thereof is specifically prescribed herein);

                  (c) The Trustee may consult with counsel and the written
advice of such counsel or any Opinion of Counsel shall be full and complete
authorization and protection in respect of any action taken or suffered or
omitted hereunder in good faith and in reliance thereon;

                  (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 security or indemnity against the costs,
expenses and liabilities that 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 a series of the
Securities (that has not been cured or waived) to exercise with respect to
Securities of that series 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;

                  (e) The Trustee shall not be liable for any action taken
or omitted to be taken 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;

                  (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, security, or other papers or documents,
unless requested in writing so to do by the holders of not less than a
majority in principal amount of the Outstanding Securities of the
particular series affected thereby (determined as provided in Section
8.04); 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 costs, expenses or liabilities as a condition to so
proceeding. The reasonable expense of every such examination shall be paid
by the Company or, if paid by the Trustee, shall be repaid by the Company
upon demand; and

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

                  SECTION 7.03      Trustee Not Responsible for Recitals
                                    or Issuance or Securities.
                                    ------------------------------------

                  (a) The recitals contained herein and in the Securities
shall be taken as the statements of the Company, and the Trustee assumes no
responsibility for the correctness of the same.

                  (b) The Trustee makes no representations as to the validity
or sufficiency of this Indenture or of the Securities.

                  (c) The Trustee shall not be accountable for the use or
application by the Company of any of the Securities or of the proceeds of
such Securities, or for the use or application of any moneys paid over by
the Trustee in accordance with any provision of this Indenture or
established pursuant to Section 2.01, or for the use or application of any
moneys received by any paying agent other than the Trustee.

                  SECTION 7.04      May Hold Securities.
                                    -------------------

                  The Trustee or any paying agent or 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,
paying agent or Security Registrar.

                  SECTION 7.05      Moneys Held in Trust.
                                    --------------------

                  Subject to the provisions of Section 11.05, all moneys
received by the Trustee shall, until used or applied as herein provided, be
held in trust for the purposes for which they were received, but need not
be segregated from other funds except to the extent required by law. The
Trustee shall be under no liability for interest on any moneys received by
it hereunder except such as it may agree with the Company to pay thereon.

                  SECTION 7.06      Compensation and Reimbursement.
                                    ------------------------------

                  (a) The Company covenants and agrees to pay to the Trustee,
and the Trustee shall be entitled to, such reasonable compensation (which
shall not be limited by any provision of law in regard to the compensation of
a trustee of an express trust), as the Company, and the Trustee may from time
to time agree in writing, for all services rendered by it in the execution of
the trusts hereby created and in the exercise and performance of any of the
powers and duties hereunder of the Trustee, and, except as otherwise expressly
provided herein, 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 the Trustee (and its officers,
agents, directors and employees) for, and to hold it harmless against, any
loss, liability or expense 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 this trust, including the costs and expenses of defending
itself against any claim of liability in the premises.

                  (b) The obligations of the Company under this Section 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.

                  SECTION 7.07      Reliance on Officers' Certificate.
                                    ---------------------------------

                  Except as otherwise provided in Section 7.01, 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 suffering or omitting to take any action hereunder, such
matter (unless other evidence in respect thereof be 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, suffered or omitted to be
taken by it under the provisions of this Indenture upon the faith thereof.

                  SECTION 7.08      Disqualification; Conflicting Interests.
                                    ---------------------------------------

                  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 7.09      Corporate Trustee Required; Eligibility.
                                    ---------------------------------------

                  There shall at all times be a Trustee with respect to the
Securities issued hereunder which 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, 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, the
Trustee shall resign immediately in the manner and with the effect specified
in Section 7.10.

                  SECTION 7.10      Resignation and Removal;
                                    Appointment of Successor.
                                    -------------------------

                  (a) The Trustee or any successor hereafter appointed, may
at any time resign with respect to the Securities of one or more series by
giving written notice thereof to the Company and by transmitting notice of
resignation by mail, first class postage prepaid, to the Securityholders of
such series, as their names and addresses appear upon the Security
Register. Upon receiving such notice of resignation, the Company shall
promptly appoint a successor trustee with respect to Securities of such
series by written instrument, in duplicate, executed by order of the Board
of Directors, 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
30 days after the mailing of such notice of resignation, the resigning
Trustee may petition any court of competent jurisdiction for the
appointment of a successor trustee with respect to Securities of such
series, or any Securityholder of that series who has been a bona fide
holder of a Security or Securities for at least six months may 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.

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

                  (1) the Trustee shall fail to comply with the provisions
         of Section 7.08 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 7.09 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 commence a voluntary
         bankruptcy proceeding, or a receiver of the Trustee or of its
         property shall be appointed or consented to, 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, then, in any such case, the Company may remove the
         Trustee with respect to all Securities and appoint a successor
         trustee by written instrument, in duplicate, executed by order of the
         Board of Directors, one copy of which instrument shall be delivered
         to the Trustee so removed and one copy to the successor trustee, or,
         unless the Trustee's duty to resign is stayed as provided herein, any
         Securityholder who has been a bona fide holder of a Security or
         Securities for at least six months may, on behalf of that holder 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 of any series at the time Outstanding may at any
time remove the Trustee with respect to such series by so notifying the
Trustee and the Company and may appoint a successor Trustee for such series
with the consent of the Company.

                  (d) Any resignation or removal of the Trustee and
appointment of a successor trustee with respect to the Securities of a
series pursuant to any of the provisions of this Section shall become
effective upon acceptance of appointment by the successor trustee as
provided in Section 7.11.

                  (e) Any successor trustee appointed pursuant to this
Section may be appointed with respect to the Securities of one or more
series or all of such series, and at any time there shall be only one
Trustee with respect to the Securities of any particular series.

                  SECTION 7.11      Acceptance of Appointment By Successor.
                                    --------------------------------------

                  (a) In case of the appointment hereunder of a successor
trustee with respect to all Securities, every such successor trustee so
appointed shall execute, acknowledge and deliver to the Company and to the
retiring Trustee an instrument accepting such appointment, 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, trusts and duties of the
retiring Trustee; but, on the request of the Company or the successor
trustee, such retiring Trustee shall, upon payment of its charges, execute
and deliver an instrument transferring to such successor trustee all the
rights, powers, and trusts of the retiring Trustee and shall duly assign,
transfer and deliver to such successor trustee all property and money held
by such retiring Trustee hereunder.

                  (b) In case of the appointment hereunder of a successor
trustee with respect to the Securities of one or more (but not all) series,
the Company, the retiring Trustee and each successor trustee with respect to
the Securities of one or more series shall execute and deliver an indenture
supplemental hereto wherein each successor trustee shall accept such
appointment and which (1) shall contain such provisions as shall be necessary
or desirable to transfer and confirm to, and to vest in, each successor
trustee all the rights, powers, trusts and duties of the retiring Trustee with
respect to the Securities of that or those series to which the appointment of
such successor trustee relates, (2) shall contain such provisions as shall be
deemed necessary or desirable to confirm that all the rights, powers, trusts
and duties of the retiring Trustee with respect to the Securities of that or
those series as to which the retiring Trustee is not retiring shall continue
to be vested in the retiring Trustee, and (3) shall add to or change any of
the provisions of this Indenture as shall be necessary to provide for or
facilitate the administration of the trusts hereunder by more than one
Trustee, it being understood that nothing herein or in such supplemental
indenture shall constitute such Trustees co-trustees of the same trust, that
each such Trustee shall be trustee of a trust or trusts hereunder separate and
apart from any trust or trusts hereunder administered by any other such
Trustee and that no Trustee shall be responsible for any act or failure to act
on the part of any other Trustee hereunder; and upon the execution and
delivery of such supplemental indenture the resignation or removal of the
retiring Trustee shall become effective to the extent provided therein, such
retiring Trustee shall with respect to the Securities of that or those series
to which the appointment of such successor trustee relates have no further
responsibility for the exercise of rights and powers or for the performance of
the duties and obligations vested in the Trustee under this Indenture, and
each such successor trustee, without any further act, deed or conveyance,
shall become vested with all the rights, powers, trusts and duties of the
retiring Trustee with respect to the Securities of that or those series to
which the appointment of such successor trustee relates; but, on request of
the Company or any successor trustee, such retiring Trustee shall duly assign,
transfer and deliver to such successor trustee, to the extent contemplated by
such supplemental indenture, the property and money held by such retiring
Trustee hereunder with respect to the Securities of that or those series to
which the appointment of such successor trustee relates.

                  (c) Upon request of any such successor trustee, the
Company shall execute any and all instruments for more fully and certainly
vesting in and confirming to such successor trustee all such rights, powers
and trusts referred to in paragraph (a) or (b) of this Section, as the case
may be.

                  (d) No successor trustee shall accept its appointment
unless at the time of such acceptance such successor trustee shall be
qualified and eligible under this Article.

                  (e) Upon acceptance of appointment by a successor trustee
as provided in this Section, the Company shall transmit notice of the
succession of such trustee hereunder by mail, first class postage prepaid,
to the Securityholders, as their names and addresses appear upon the
Security Register. If the Company fails to transmit such notice within ten
days after acceptance of appointment by the successor trustee, the
successor trustee shall cause such notice to be transmitted at the expense
of the Company.

                  SECTION 7.12      Merger, Conversion, Consolidation
                                    or Succession to Business.
                                    ---------------------------------

                  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 the corporate trust business of the
Trustee, shall be the successor of the Trustee hereunder, provided that such
corporation shall be qualified under the provisions of Section 7.08 and
eligible under the provisions of Section 7.09, without the execution or filing
of any paper or any further act on the part of any of the parties hereto,
anything herein to the contrary notwithstanding. In case any Securities shall
have been authenticated, but not delivered, by the Trustee then in office, any
successor by merger, conversion or consolidation to such authenticating
Trustee may adopt such authentication and deliver the Securities so
authenticated with the same effect as if such successor Trustee had itself
authenticated such Securities.

                  SECTION 7.13      Preferential Collection of Claims
                                    Against the Company.
                                    ---------------------------------

                  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.

                                 ARTICLE VIII.

                        CONCERNING THE SECURITYHOLDERS

                  SECTION 8.01      Evidence of Action by Securityholders.
                                    -------------------------------------

                  Whenever in this Indenture it is provided that the
holders of a majority or specified percentage in aggregate principal amount
of the Securities of a particular series 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 majority or specified percentage
of that series have joined therein may be evidenced by any instrument or
any number of instruments of similar tenor executed by such holders of
Securities of that series in Person or by agent or proxy appointed in
writing.

                  If the Company shall solicit from the Securityholders of
any series 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 such series 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 of
that series 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 of that series 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 8.02      Proof of Execution by Securityholders.
                                    -------------------------------------

                  Subject to the provisions of Section 7.01, proof of the
execution of any instrument by a Securityholder (such proof will not
require notarization) or his agent or proxy and proof of the holding by any
Person of any of the Securities shall be sufficient if made in the
following manner:

                  (a) The fact and date of the execution by any such Person of
any instrument may be proved in any reasonable manner acceptable to the
Trustee.

                  (b) The ownership of Securities shall be proved by the
Security Register of such Securities or by a certificate of the Security
Registrar thereof.

                  (c) The Trustee may require such additional proof of any
matter referred to in this Section as it shall deem necessary.

                  SECTION 8.03      Who May be Deemed Owners.
                                    ------------------------

                  Prior to the due presentment for registration of transfer
of any Security, the Company, the Trustee, any paying agent and any
Security Registrar may deem and treat the Person in whose name such
Security shall be registered upon the books of the Company as the absolute
owner of such Security (whether or not such Security shall be overdue and
notwithstanding any notice of ownership or writing thereon made by anyone
other than the Security Registrar) for the purpose of receiving payment of
or on account of the principal of, premium, if any, and (subject to Section
2.03) interest on such Security and for all other purposes; and neither the
Company nor the Trustee nor any paying agent nor any Security Registrar
shall be affected by any notice to the contrary.

                  SECTION 8.04      Certain Securities Owned by Company
                                    Disregarded.
                                    -----------------------------------

                  In determining whether the holders of the requisite
aggregate principal amount of Securities of a particular series have concurred
in any direction, consent of waiver under this Indenture, the Securities of
that series that are owned by the Company or any other obligor on the
Securities of that series or by any Person directly or indirectly controlling
or controlled by or under common control with the Company or any other obligor
on the Securities of that series shall be disregarded and deemed not to be
Outstanding for the purpose of any such determination, except that for the
purpose of determining whether the Trustee shall be protected in relying on
any such direction, consent or waiver, only Securities of such series that the
Trustee actually knows are so owned shall be so disregarded. The Securities so
owned that have been pledged in good faith may be regarded as Outstanding for
the purposes of this Section, if the pledgee shall establish to the
satisfaction of the Trustee the pledgee's right so to act with respect to such
Securities and that the pledgee is not a Person directly or indirectly
controlling or controlled by or under direct or indirect common control with
the Company or any such other obligor. In 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.

                  SECTION 8.05      Actions Binding on Future Securityholders.
                                    -----------------------------------------

                  At any time prior to (but not after) the evidencing to
the Trustee, as provided in Section 8.01, of the taking of any action by
the holders of the majority or percentage in aggregate principal amount of
the Securities of a particular series specified in this Indenture in
connection with such action, any holder of a Security of that series that
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, and upon proof of holding as provided in Section 8.02, revoke such
action so far as concerns such 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 therefor, on registration of
transfer thereof or in place thereof, irrespective of whether or not any
notation in regard thereto is made upon such Security. Any action taken by
the holders of the majority or percentage in aggregate principal amount of
the Securities of a particular series specified in this Indenture in
connection with such action shall be conclusively binding upon the Company,
the Trustee and the holders of all the Securities of that series.


                                  ARTICLE IX.

                            SUPPLEMENTAL INDENTURES

                  SECTION 9.01 Supplemental Indentures Without the Consent of
Securityholders.

                  In addition to any supplemental indenture otherwise
authorized by this Indenture, the Company and the Trustee may from time to
time and at any time enter into an indenture or indentures supplemental
hereto (which shall conform to the provisions of the Trust Indenture Act as
then in effect), without the consent of the Securityholders, for one or
more of the following purposes:

                  (a) to cure any ambiguity, defect, or inconsistency herein,
in the Securities of any series;

                  (b) to comply with Article Ten;

                  (c) to provide for uncertificated Securities in addition to
or in place of certificated Securities;

                  (d) to add to the covenants of the Company for the
benefit of the holders of all or any Series of Securities (and if such
covenants are to be for the benefit of less than all series of Securities,
stating that such covenants are expressly being included solely for the
benefit of such series) or to surrender any right or power herein conferred
upon the Company;

                  (e) to add to, delete from, or revise the conditions,
limitations, and restrictions on the authorized amount, terms, or purposes of
issue, authentication, and delivery of Securities, as herein set forth;

                  (f) to make any change that does not adversely affect the
rights of any Securityholder in any material respect; or

                  (g) to provide for the issuance of and establish the form
and terms and conditions of the Securities of any series as provided in
Section 2.01, to establish the form of any certifications required to be
furnished pursuant to the terms of this Indenture or any series of
Securities, or to add to the rights of the holders of any series of
Securities.

                  The Trustee is hereby authorized to join with the Company
in the execution of any such supplemental indenture, and to make any
further appropriate agreements and stipulations that may be therein
contained, but the Trustee shall not be obligated to enter into any such
supplemental indenture that affects the Trustee's own rights, duties or
immunities under this Indenture or otherwise.

                  Any supplemental indenture authorized by the provisions
of this Section 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      Supplemental Indentures With Consent
                                    of Securityholders.
                                    -----------------------------------

                  With the consent (evidenced as provided in Section 8.01) of
the holders of not less than a majority in aggregate principal amount of the
Securities of each series affected by such supplemental indenture or
indentures at the time Outstanding, the Company, when authorized by Board
Resolutions, and the Trustee may from time to time and at any time enter into
an indenture or indentures supplemental hereto (which shall conform to the
provisions of the Trust Indenture Act as then in effect) for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Indenture or of any supplemental indenture or of modifying
in any manner not covered by Section 9.01 the rights of the holders of the
Securities of such series under this Indenture; provided, however, that no
such supplemental indenture shall, without the consent of the holders of each
Security then Outstanding and affected thereby, (i) extend the fixed maturity
of any Securities of any series, or reduce the principal amount thereof, or
reduce the rate or extend the time of payment of interest thereon, or reduce
any premium payable upon the redemption thereof; (ii) change any obligation to
pay additional amounts; (iii) reduce the amount of principal of an original
issue discount security or any other Security payable upon acceleration of the
maturity thereof; (iv) change currency in which any Security or any premium or
interest is payable; (v) impair the right to enforce any payment on or with
respect to any Security; (vi) adversely change the right to convert or
exchange, including decreasing the conversion rate or increasing the
conversion price of, such Security (if applicable); (vii) modify the
subordination provisions in a manner adverse to the holders of such
Securities; (viii) if the Securities are secured, change the terms and
conditions pursuant to which the Securities are secured in a manner adverse to
the holders of the Securities; (ix) reduce the percentage in principal amount
of outstanding Securities of any series, the consent of whose holders is
required for modification or amendment of the indenture or for waiver of
compliance with certain provisions of the indenture or for waiver of certain
defaults; (x) reduce the requirements contained in the indenture for quorum or
voting; (xi) change any obligations of the Company to maintain an office or
agency in the places and for the purposes required by the indentures; or (xii)
modify any of the above provisions.

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

                  SECTION 9.03      Effect of Supplemental Indentures.
                                    ---------------------------------

                  Upon the execution of any supplemental indenture pursuant
to the provisions of this Article or of Section 10.01, this Indenture
shall, with respect to such series, 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 of the series affected
thereby 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  Securities Affected by Supplemental Indentures.
                                ----------------------------------------------

                  Securities of any series, affected by a supplemental
indenture, authenticated and delivered after the execution of such
supplemental indenture pursuant to the provisions of this Article or of
Section 10.01, may bear a notation in form approved by the Company,
provided such form meets the requirements of any exchange upon which such
series may be listed, as to any matter provided for in such supplemental
indenture. If the Company shall so determine, new Securities of that series
so modified as to conform, in the opinion of the Board of Directors of the
Company, to any modification of this Indenture contained in any such
supplemental indenture may be prepared by the Company, authenticated by the
Trustee and delivered in exchange for the Securities of that series then
Outstanding.

                  SECTION 9.05      Execution of Supplemental Indentures.
                                    ------------------------------------

                  Upon the request of the Company, accompanied by its Board
Resolutions authorizing the execution of any such supplemental indenture,
and upon the filing with the Trustee of evidence of the consent of
Securityholders required to consent thereto 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. The Trustee, subject to the provisions of Section
7.01, may receive an Opinion of Counsel as conclusive evidence that any
supplemental indenture executed pursuant to this Article is authorized or
permitted by, and conforms to, the terms of this Article and that it is
proper for the Trustee under the provisions of this Article to join in the
execution thereof; provided, however, that such Opinion of Counsel need not
be provided in connection with the execution of a supplemental indenture
that establishes the terms of a series of Securities pursuant to Section
2.01 hereof.

                  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, setting forth in general terms the substance of such supplemental
indenture, to the Securityholders of all series affected thereby 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.


                                  ARTICLE X.

                             SUCCESSOR CORPORATION

                  SECTION 10.01     Company May Consolidate, Etc.

                  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 corporation or corporations (whether or not affiliated with the
Company) or successive consolidations or mergers in which the Company or its
successor or successors shall be a party or parties, or shall prevent any
sale, conveyance, transfer or other disposition of the property of the Company
or its successor or successors as an entirety, or substantially as an
entirety, to any other corporation (whether or not affiliated with the Company
or its successor or successors) authorized to acquire and operate the same;
provided, however, the Company hereby covenants and agrees that, upon any such
consolidation, merger, sale, conveyance, transfer or other disposition, the
due and punctual payment of the principal of (premium, if any) and interest on
all of the Securities of all series in accordance with the terms of each
series, according to their tenor and the due and punctual performance and
observance of all the covenants and conditions of this Indenture with respect
to each series or established with respect to such series pursuant to Section
2.01 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 entity formed by such consolidation, or
into which the Company shall have been merged, or by the entity which shall
have acquired such property.

                  SECTION 10.02     Successor Corporation Substituted.
                                    ---------------------------------

                  (a) In case of any such consolidation, merger, sale,
conveyance, transfer or other disposition 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, premium, if any, and interest on all
of the Securities of all series Outstanding and the due and punctual
performance of all of the covenants and conditions of this Indenture or
established with respect to each series of the Securities pursuant to
Section 2.01 to be performed by the Company with respect to each series,
such successor corporation shall succeed to and be substituted for the
Company with the same effect as if it had been named as the Company herein,
and thereupon the predecessor corporation shall be relieved of all
obligations and covenants under this Indenture and the Securities.

                  (b) In case of any such consolidation, merger, sale,
conveyance, transfer or other disposition such changes in phraseology and
form (but not in substance) may be made in the Securities thereafter to be
issued as may be appropriate.

                  (c) Nothing contained in this Indenture or in any of the
Securities shall prevent the Company from merging into itself or acquiring
by purchase or otherwise all or any part of the property of any other
Person (whether or not affiliated with the Company).

                  SECTION 10.03     Evidence of Consolidation, Etc. to Trustee.
                                    ------------------------------------------

                  The Trustee, subject to the provisions of Section 7.01,
may receive an Opinion of Counsel as conclusive evidence that any such
consolidation, merger, sale, conveyance, transfer or other disposition, and
any such assumption, comply with the provisions of this Article.


                                  ARTICLE XI.

                          SATISFACTION AND DISCHARGE

                  SECTION 11.01     Satisfaction and Discharge of Indenture.
                                    ---------------------------------------

                  If at any time: (a) the Company shall have delivered to the
Trustee for cancellation all Securities of a series theretofore authenticated
(other than any Securities that shall have ben destroyed, lost or stolen and
that shall have been replaced or paid as provided in Section 2.07) and
Securities for whose payment money or Governmental Obligations have
theretofore been deposited in trust or segregated and held in trust by the
Company (and thereupon repaid to the Company or discharged from such trust, as
provided in Section 11.05); or (b) all such Securities of a particular series
not theretofore 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 or cause to be deposited with the Trustee as trust funds
the entire amount in moneys or Governmental Obligations sufficient or a
combination thereof, sufficient in the opinion of a nationally recognized firm
of independent public accountants expressed in a written certification thereof
delivered to the Trustee, to pay at maturity or upon redemption all Securities
of that series not theretofore delivered to the Trustee for cancellation,
including principal (and premium, if any) and interest due or to become due to
such date of maturity or date fixed for redemption, as the case may be, and if
the Company shall also pay or cause to be paid all other sums payable
hereunder with respect to such series by the Company then this Indenture shall
thereupon cease to be of further effect with respect to such series except for
the provisions of Sections 2.03, 2.05, 2.07, 4.01, 4.02, 4.03 and 7.10, that
shall survive until the date of maturity or redemption date, as the case may
be, and Sections 7.06 and 11.05, that shall survive to such date and
thereafter, and the Trustee, on demand of the Company and at the cost and
expense of the Company shall execute proper instruments acknowledging
satisfaction of and discharging this Indenture with respect to such series.

                  SECTION 11.02     Discharge of Obligations.
                                    ------------------------

                  If at any time all such Securities of a particular series
not heretofore delivered to the Trustee for cancellation or that have not
become due and payable as described in Section 11.01 shall have been paid
by the Company by depositing irrevocably with the Trustee as trust funds
moneys or an amount of Governmental Obligations sufficient to pay at
maturity or upon redemption all such Securities of that series not
theretofore delivered to the Trustee for cancellation, including principal
(and premium, if any) and interest due or to become due to such date of
maturity or date fixed for redemption, as the case may be, and if the
Company shall also pay or cause to be paid all other sums payable hereunder
by the Company with respect to such series, then after the date such moneys
or Governmental Obligations, as the case may be, are deposited with the
Trustee the obligations of the Company under this Indenture with respect to
such series shall cease to be of further effect except for the provisions
of Sections 2.03, 2.05, 2.07, 4,01, 4.02, 4,03, 7.06, 7.10 and 11.05 hereof
that shall survive until such Securities shall mature and be paid.
Thereafter, Sections 7.06 and 11.05 shall survive.

                  SECTION 11.03     Deposited Moneys to be Held in Trust.
                                    ------------------------------------

                  All moneys or Governmental Obligations deposited with the
Trustee pursuant to Sections 11.01 or 11.02 shall be held in trust and shall
be available for payment as due, either directly or through any paying agent
(including the Company acting as its own paying agent), to the holders of the
particular series of Securities for the payment or redemption of which such
moneys or Governmental Obligations have been deposited with the Trustee.

                  SECTION 11.04     Payment of Moneys Held by Paying Agents.
                                    ---------------------------------------

                  In connection with the satisfaction and discharge of this
Indenture all moneys or Governmental Obligations then held by any paying
agent under the provisions of this Indenture shall, upon demand of the
Company, be paid to the Trustee and thereupon such paying agent shall be
released from all further liability with respect to such moneys or
Governmental Obligations.

                  SECTION 11.05     Repayment to Company.
                                    --------------------

                  Any moneys or Governmental Obligations deposited with any
paying agent or the Trustee, or then held by the Company, in trust for
payment of principal of or premium or interest on the Securities of a
particular series that are not applied but remain unclaimed by the holders
of such Securities for at least two years after the date upon which the
principal of (and premium, if any) or interest on such Securities shall
have respectively become due and payable, shall be repaid to the Company on
May 31 of each year or (if then held by the Company) shall be discharged
from such trust; and thereupon the paying agent and the Trustee shall be
released from all further liability with respect to such moneys or
Governmental Obligations, and the holder of any of the Securities entitled
to receive such payment shall thereafter, as an unsecured general creditor,
look only to the Company for the payment thereof.


                                 ARTICLE XII.

               IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS
                                 AND DIRECTORS

                  SECTION 12.01     No Recourse.
                                    -----------

                  No recourse under or upon any obligation, covenant or
agreement of this Indenture, or of any Security, or for any claim based
thereon or otherwise in respect thereof, shall be had against any
incorporator, stockholder, officer or director, past, present or future as
such, of the Company or of any predecessor or successor corporation, either
directly or through the Company or any such predecessor or successor
corporation, 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 this Indenture and the obligations issued hereunder
are solely corporate obligations, and that no such personal liability whatever
shall attach to, or is or shall be incurred by, the incorporators,
stockholders, officers or directors as such, of the Company or of any
predecessor or successor corporation, or any of them, because of the creation
of the indebtedness hereby authorized, or under or by reason of the
obligations, covenants or agreements contained in this Indenture or in any of
the Securities or implied therefrom; and that any and all such personal
liability of every name and nature, either at common law or in equity or by
constitution or statute, of, and any and all such rights and claims against,
every such incorporator, stockholder, officer or director as such, because of
the creation of the indebtedness hereby authorized, or under or by reason of
the obligations, covenants or agreements contained in this Indenture or in any
of the Securities or implied therefrom, are hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this
Indenture and the issuance of such Securities.


                                 ARTICLE XIII.

                           MISCELLANEOUS PROVISIONS

                  SECTION 13.01     Effect on Successors and Assigns.
                                    --------------------------------

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

                  SECTION 13.02     Actions by Successor.
                                    --------------------

                  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 corresponding 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
and as to any successor corporation.

                  SECTION 13.04     Notices.
                                    -------

                  Except as otherwise expressly provided herein any notice or
demand that by any provision of this Indenture is required or permitted to be
given or served by the Trustee or by the holders of Securities to or on the
Company may be given or served by being deposited first class postage prepaid
in a post-office letterbox addressed (until another address is filed in
writing by the Company with the Trustee), as follows: Anthracite Capital,
Inc., 345 ParkAvenue, 29th Floor, New York, NY 10154. Any notice, election,
request or demand by the Company or 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 at the Corporate Trust Office of the Trustee.

                  SECTION 13.05     Governing Law.
                                    -------------

                  This Indenture and each Security shall be deemed to be a
contract made under the internal laws of the State of New York, and for all
purposes shall be construed in accordance with the laws of said State.

                  SECTION 13.06     Treatment of Securities as Debt.
                                    -------------------------------

                  It is intended that the Securities will be treated as
indebtedness and not as equity for federal income tax purposes. The
provisions of this Indenture shall be interpreted to further this
intention.

                  SECTION 13.07     Compliance Certificates and Opinions.
                                    ------------------------------------

                  (a) 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 all conditions precedent 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, except that in the case of any such application or
demand as to which the furnishing of such documents is specifically
required by any provision of this Indenture relating to such particular
application or demand, no additional certificate or opinion need be
furnished.

                  (b) Each certificate or opinion provided for in this
Indenture and delivered to the Trustee with respect to compliance with a
condition or covenant in this Indenture 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 13.08     Payments on Business Days.
                                    -------------------------

                  Except as provided pursuant to Section 2.01 pursuant to a
Board Resolution, and as set forth in an Officers' Certificate, or
established in one or more indentures supplemental to this Indenture, in
any case where the date of maturity of interest or principal of any
Security or the date of redemption of any Security shall not be a Business
Day, then payment of interest or principal (and premium, if any) may be
made on the next succeeding Business Day with the same force and effect as
if made on the nominal date of maturity or redemption, and no interest
shall accrue for the period after such nominal date.

                  SECTION 13.09     Conflict with Trust Indenture Act.
                                    ---------------------------------

                  If and to the extent that any provision of this Indenture
limits, qualifies or conflicts with the duties imposed by Sections 310 to
317, inclusive, of the Trust Indenture Act, such imposed duties shall
control.

                  SECTION 13.10     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 of any series 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 such Securities, but this Indenture and
such 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 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 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.

                                 ARTICLE XIV.

                          SUBORDINATION OF SECURITIES

                  SECTION 14.01     Subordination Terms.
                                    -------------------

                  The payment by the Company of the principal of, premium,
if any, and interest on any series of Securities issued hereunder shall be
subordinated to the extent set forth in an indenture supplemental hereto
relating to such Securities.

                  IN WITNESS WHEREOF, the parties hereto have caused this
Indenture to be duly executed all as of the day and year first above
written.

                                           ANTHRACITE CAPITAL, INC.



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



                                           [                          ],
                                            as Trustee


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