Exhibit 10.02

 

CITIGROUP FUNDING INC.

 

Medium-Term Notes, Series D and Series E

 

AMENDED AND RESTATED GLOBAL SELLING AGENCY AGREEMENT

 

August 26, 2011
 New York, New York

 

To the Agents listed on Schedule I hereto

 

Ladies and Gentlemen:

 

This Amended and Restated Global Selling Agency Agreement (the “Agreement”) amends and restates in its entirety the Global Selling Agency Agreement, dated as of April 20, 2006, among Citigroup Funding Inc., a Delaware corporation (the “Company”), Citigroup Inc., a Delaware corporation (the “Guarantor”), Citigroup Global Markets Inc. (the “Lead Agent”) and Citigroup Global Markets Limited, as amended by Amendment No. 1 thereto dated as of March 10, 2009, and Amendment No. 2 thereto, dated as of May 16, 2011.

 

The Company and the Guarantor confirm their agreement with each of you (each, an “Agent”) with respect to the issue and sale by the Company of its Medium-Term Notes, Series D and Series E, in registered form (the “Notes”), which Notes are fully and unconditionally guaranteed (the “Guarantee”) by the Guarantor.  The Notes may be denominated in U.S. dollars, foreign currencies or composite currencies (the “Specified Currency”) as may be specified in the applicable Pricing Supplement (as defined herein) relating to any particular issue of Notes.

 

The Notes, Series D, will be issued under an indenture (the “Senior Debt Indenture”), dated as of June 1, 2005, among the Company, the Guarantor, and The Bank of New York Mellon as successor trustee to JPMorgan Chase Bank, N.A.  The Notes, Series E, will be issued under an indenture (the “Subordinated Debt Indenture,” and, together with the Senior Debt Indenture, the “Indentures”), dated as of June 1, 2005, among the Company, the Guarantor, and Deutsche Bank Trust Company Americas, as trustee (together with The Bank of New York Mellon, the “Trustees”).  Unless otherwise specifically provided for and set forth in a supplement to the Prospectus referred to below, the Notes will be issued in minimum denominations of U.S.$1,000 (or the approximate equivalent thereof in the Specified Currency) and in denominations exceeding such amount by integral multiples of U.S.$1,000 (or the approximate equivalent thereof in the Specified Currency) and will be issued only in fully registered form, the Notes will have the interest rates, maturities, redemption provisions and other terms set forth in the applicable Pricing Supplement (as defined herein).

 

The Notes will be issued, and the terms thereof established, in accordance with the Indentures and the Notes Administrative Procedures attached hereto as Exhibit A (the “Procedures”) (unless a Terms Agreement (as defined in Section 2(b)) modifies or otherwise supersedes such Procedures with respect to the Notes issued pursuant to such Terms Agreement).

 











 

The Procedures may only be amended by written agreement of the Company, the Guarantor and the Lead Agent after notice to, and with the approval of, the Trustees.

 

Any reference herein to the Registration Statement, the Base Prospectus, any Prospectus Supplement or any Pricing Supplement (each, as defined below) shall be deemed to refer to and include the documents incorporated by reference therein pursuant to Item 12 of Form S-3 which were filed under the Exchange Act of 1934 (the “Exchange Act”) on or before the most recent date and time that the Registration Statement, any post-effective amendment or amendments thereto became or become effective (the “Effective Date”) or the issue date of the Base Prospectus, any Prospectus Supplement or any Pricing Supplement, as the case may be; and any reference herein to the terms “amend,” “amendment” or “supplement” with respect to the Registration Statement, the Base Prospectus, any Prospectus Supplement or any Pricing Supplement shall be deemed to refer to and include the filing of any document under the Exchange Act after the Effective Date of the Registration Statement or the issue date of the Base Prospectus, any Prospectus Supplement or any Pricing Supplement, as the case may be, deemed to be incorporated therein by reference. For purposes of this Agreement, the term “you” shall refer to you and any other Agent collectively and, in acting under this Agreement, each of you is acting individually and not jointly.

 

1.                                       Representations and Warranties.  The Company and the Guarantor jointly and severally represent and warrant to, and agree with, each of you as set forth below:

 

(a)                                  The Company and the Guarantor meet the requirements for use of Form S-3 under the Securities Act of 1933 (the “Securities Act”) and have prepared and filed with the Securities and Exchange Commission (the “Commission”) a shelf registration statement (File No. 333-172554), including a form of base prospectus and form of prospectus supplement relating to the Notes, for registration under the Securities Act of the offering and sale of the Notes. Such shelf registration statement, including exhibits and financial statements but excluding all Forms T-1, the base prospectus and any prospectus supplement or pricing supplement relating to the Notes that is filed with the Commission pursuant to Rule 424(b) and deemed part of such shelf registration statement pursuant to Rule 430B, as amended on each Effective Date is referred to herein as the “Registration Statement”. Such Registration Statement, including any amendments thereto filed prior to the date of this Agreement, have been declared effective by the Commission. The Company and the Guarantor have filed with the Commission a final base prospectus (the “Base Prospectus”) and prospectus supplement relating to the Medium-Term Notes and the plan of distribution thereof (the “Prospectus Supplement,” together with the Base Prospectus, the “Prospectus”). As filed, such Prospectus Supplement contained all information required by the Securities Act and the rules thereunder, and, was in all substantive respects in the form furnished to you prior to the date of filing; provided that the terms of a particular offering of the Notes will be set forth in a supplement to the relevant Prospectus Supplement (a “Pricing Supplement”) which the Company and the Guarantor will file with the Commission in accordance with Rule 424(b). The Registration Statement, as of the date of this Agreement, meets the requirements set forth in Rule 415(a)(1)(x). The initial Effective Date of the Registration Statement was not earlier than the date three years before the date of this Agreement;

 

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(b)                                 The documents incorporated by reference in the Prospectus, when they became effective or were filed with the Commission, as the case may be, conformed in all material respects to the requirements of the Securities Act or the Exchange Act, as applicable, and the rules and regulations of the Commission promulgated thereunder, and any further documents so filed and incorporated by reference in the Prospectus, or any further amendment or supplement thereto, when such documents become effective or are filed with the Commission, as the case may be, will conform in all material respects to the requirements of the Securities Act or the Exchange Act, as applicable, and the rules and regulations of the Commission thereunder;

 

(c)                                  On each Effective Date, the Registration Statement did, and when the Prospectus Supplement was first filed in accordance with Rule 424(b) and on the Commencement Date (as defined in Section 2(a) below) and on the date of delivery of and payment for a particular issue of Notes (the “Settlement Date”), the Prospectus Supplement did and any supplements thereto will comply in all material respects with the applicable requirements of the Securities Act, the Exchange Act and the Trust Indenture Act of 1939 (the “Trust Indenture Act”) and the respective rules thereunder; on each Effective Date and at the time sales of a particular offering of the Notes are confirmed (the “Time of Sale”), the Registration Statement did not and will not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein not misleading; and on the Effective Date, on the Commencement Date and on the Settlement Date, the Indenture did or will comply in all material respects with the applicable requirements of the Trust Indenture Act and the rules thereunder; on the date of any filing pursuant to Rule 424(b), on the Commencement Date and on the Settlement Date, the Prospectus did not and any supplement thereto will not include any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; provided, however, that the Company and the Guarantor make no representations or warranties as to (i) that part of the Registration Statement which shall constitute the Statement of Eligibility and Qualification (Form T-1) under the Trust Indenture Act of the Trustee or (ii) the information contained in or omitted from the Registration Statement or the Prospectus Supplement or applicable Pricing Supplement in reliance upon and in conformity with information furnished in writing to the Company by or on behalf of the Agents specifically for inclusion in the Registration Statement or Prospectus (and any supplement thereto);

 

(d)                                 As of the Time of Sale, the Disclosure Package (as defined below), when taken together with the final terms of the Notes set forth in the applicable Pricing Supplement, does not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading.  The preceding sentence does not apply to statements in or omissions from the Disclosure Package based upon and in conformity with written information furnished to the Company by the Agents specifically for use therein.  The “Disclosure Package” means (i) the Prospectus, as amended and supplemented most recently prior to the Time of Sale, (ii) any relevant prospectus supplement, (iii) the related preliminary Pricing Supplement, if any, used most recently prior to the Time of Sale and (iv) any applicable issuer free writing prospectus, as defined in Rule

 

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433 under the Securities Act (each an “Issuer Free Writing Prospectus”), filed with the Commission under Rule 433 prior to the Time of Sale;

 

(e)                                  (i) At the earliest time after the filing of the Registration Statement that the Company or another offering participant made a bona fide offer (within the meaning of Rule 164(h)(2)) of the Notes and (ii) as of the Time of Sale (with such time being used as the determination date for purposes of this clause (ii)), each of the Company and the Guarantor met the requirements set forth in Rule 164(e)(2) with respect to ineligible issuer use of free writing prospectuses that contain only descriptions of the terms of the securities in the offering or the offering.

 

(f)                                    Each Issuer Free Writing Prospectus and Final Term Sheet (as defined in Section 4(g) below) does not include any information that conflicts with the information contained in the Registration Statement, including any document incorporated therein and any prospectus supplement or pricing supplement deemed to be a part thereof that has not been superseded or modified.  The foregoing sentence does not apply to statements in or omissions from the Issuer Free Writing Prospectus or Final Term Sheet based upon and in conformity with written information furnished to the Company by any Agent specifically for use therein;

 

(g)                                 The Notes have been duly authorized and, when executed and authenticated in accordance with the applicable Indenture and delivered to and duly paid for by the purchasers thereof, will constitute valid and binding obligations of the Company, enforceable in accordance with their respective terms and entitled to the benefits of the applicable Indenture (subject, as to enforcement, to applicable bankruptcy, reorganization, insolvency, moratorium or other similar laws affecting creditors’ rights generally and to general principles of equity regardless of whether such enforceability is considered in a proceeding in equity or at law); the Indentures have been duly authorized by the Company and qualified under the Trust Indenture Act; the Indentures conform to the descriptions thereof in the Prospectus as amended or supplemented to relate to such issuance of Notes; and this Agreement has been duly authorized, executed and delivered by the Company and the Guarantor;

 

(h)                                 The Guarantees have been duly authorized and, when the Notes have been executed, authenticated and delivered by the Company in accordance with the applicable Indenture, will constitute valid and binding obligations of the Guarantor, enforceable in accordance with their terms and entitled to the benefits of the applicable Indenture;

 

(i)                                     Since the date of the most recent financial statements included in the Prospectus or the Disclosure Package, each as amended or supplemented, there has not been any material adverse change in the consolidated financial condition or results of operations of the Guarantor and its subsidiaries, taken as a whole, which is not disclosed in the Prospectus or the Disclosure Package, each as amended or supplemented;

 

(j)                                     (A) The Company has been duly incorporated and is validly existing and in good standing under the laws of the State of Delaware with the necessary power and authority to own its properties and conduct its business in all material respects as currently conducted;

 

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(B) The Guarantor has been duly incorporated and is validly existing and in good standing under the laws of the State of Delaware, with the necessary power and authority to own its properties and conduct its business in all material respects as currently conducted, and except as has not, individually or in the aggregate, had and would not reasonably be likely to have a Material Adverse Effect (as defined in this Section), has been duly qualified as a foreign corporation for the transaction of business and is in good standing under the laws of each other jurisdiction in which it owns or leases properties or conducts any business so as to require such qualification;

 

(C) Except as has not had and would not reasonably be likely to have, individually or in the aggregate, a Material Adverse Effect, each subsidiary of the Guarantor that is a “significant subsidiary” within the meaning of Rule 1-02(w) of Regulation S-X under the Securities Act (each, a “Significant Subsidiary”) has been duly organized and is validly existing in good standing under the laws of its jurisdiction of organization;

 

“Material Adverse Effect” means a material adverse effect on the condition (financial or otherwise), earnings, business or properties of the Company, the Guarantor and its subsidiaries, taken as a whole, whether or not arising from transactions in the ordinary course of business, except as set forth in or contemplated in the Disclosure Package and the Final Prospectus (exclusive of any supplement thereto).

 

(k)                                  The issue and sale of the Notes, the compliance by each of the Company and the Guarantor with all of the provisions of the Notes, the Indentures, the Guarantees and this Agreement and the consummation of the transactions contemplated herein and therein will not (A) violate, conflict with, or result in a breach of any provision of, or constitute a default (or an event which, with notice or lapse of time or both, would constitute a default) under, or result in the termination of, or accelerate the performance required by, or result in a right of termination, cancellation or acceleration of, or result in the loss of a benefit under, or result in the creation of, any lien, security interest, charge or encumbrance upon any of the properties or assets of the Company or the Guarantor under any of the terms, conditions or provisions of (1) its organizational documents or (2) any note, bond, mortgage, indenture, deed of trust, license, lease, permit, agreement or other instrument or obligation to which the Company or the Guarantor or any subsidiary of the Guarantor is a party or by which the Company or the Guarantor may be bound, or to which any of the property or assets of either the Company or the Guarantor, as applicable, is subject, or (B) violate any statute, rule or regulation or any judgment, ruling, order, writ, injunction or decree applicable to the Company or the Guarantor or any of their respective properties or assets except, in the case of clauses (A)(2) and (B) as applied to the Guarantor, for those occurrences that, individually or in the aggregate, have not had and would not reasonably be likely to have a Material Adverse Effect;

 

(l)                                     Neither the Company nor the Guarantor is in violation of its organizational documents or in default in the performance or observance of any material obligation, agreement, covenant or condition contained in any indenture, mortgage, deed of trust, loan agreement, lease or other agreement or instrument to which it is a party or by which it or any of its properties may be bound, except with respect to the Guarantor with respect to the Guarantor, as would not have and would not reasonably be likely, individually or in the aggregate, to have a Material Adverse Effect;

 

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(m)                               Other than as set forth in the Prospectus, as amended or supplemented, and the documents incorporated by reference therein, there is no litigation or similar proceeding pending or, to the Company or the Guarantor’s knowledge, threatened to which the Company or the Guarantor is a party or of which any property of the Company, the Guarantor is the subject which the Company or the Guarantor’s management believes, individually or in the aggregate, has had or would be reasonably likely to have a Material Adverse Effect; and

 

(n)                                 Each of the Company and the Guarantor is not and, after giving effect to each offering and sale of the Notes and the application of the proceeds thereof, will not be an “investment company”, as such term is defined in the Investment Company Act of 1940, as amended (the “Investment Company Act”).

 

The Guarantor represents and warrants to, and agrees with, each of you as set forth below:

 

(o)                                 Neither the Guarantor nor any of its subsidiaries nor, to the Guarantor’s knowledge, any affiliate, director, officer, employee, agent or representative of the Guarantor or of any of its subsidiaries or affiliates, including the Company, has taken or will take any action in furtherance of an offer, payment, promise to pay, or authorization or approval of the payment or giving of money, property, gifts or anything else of value, directly or indirectly, to any “government official” (including any officer or employee of a government or government-owned or controlled entity or of a public international organization, or any person acting in an official capacity for or on behalf of any of the foregoing, or any political party or party official or candidate for political office) to influence official action or secure an improper advantage; and the Guarantor and its subsidiaries and affiliates have conducted their businesses in compliance with applicable anti-corruption laws and have instituted and maintain and will continue to maintain policies and procedures designed to promote and achieve compliance with such law;

 

(p)                                 The operations of the Guarantor and its subsidiaries are and have been conducted at all times in material compliance with all applicable financial recordkeeping and reporting requirements, including those of the Bank Secrecy Act, as amended by Title III of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT Act), and the applicable anti-money laundering statutes of jurisdictions where the Guarantor and its subsidiaries conduct business, the rules and regulations thereunder and any related or similar rules, regulations or guidelines issued, administered or enforced by any governmental agency (collectively, the “Anti-Money Laundering Laws”), and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Guarantor or any of its subsidiaries with respect to the Anti-Money Laundering Laws is pending or, to the best knowledge of the Guarantor, threatened;

 

(q)                                 (A) The Guarantor represents that neither the Guarantor nor any of its subsidiaries (collectively, the “Entity”) or, to the knowledge of the Entity, any director, officer, employee, agent, affiliate or representative of the Entity, is an individual or entity (“Person”) that is, or is owned or controlled by a Person that is:

 

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(i)                                     the subject of any sanctions administered or enforced by the U.S. Department of Treasury’s Office of Foreign Assets Control (“OFAC”) or other relevant sanctions authority (collectively, “Sanctions”), nor

 

(ii)                                  located, organized or resident in a country or territory that is the subject of Sanctions (including, without limitation, Burma/Myanmar, Cuba, Iran, Libya, North Korea, Sudan and Syria).

 

(B) The Guarantor represents and covenants that, except as detailed in Schedule II, for the past 5 years, it has not knowingly engaged in, is not now knowingly engaged in, and will not engage in, any dealings or transactions with any Person, or in any country or territory, that at the time of the dealing or transaction is or was the subject of Sanctions.

 

2.                                       Appointment of Agents.  Subject to the terms and conditions stated herein and subject to the reservation by the Company of the right to sell Notes to any of you acting as principal at a discount for its own account or for resale to one or more investors or other dealers and the Company’s right to sell Notes directly to investors on its own behalf or through other agents, the Company hereby appoints and authorizes Citigroup Global Markets Inc. and the other Agents listed in Schedule I hereto to act as its agents to solicit offers for the purchase of all or part of the Notes from the Company.

 

(a)                                  Solicitations of Offers to Purchase Notes.  At any time following the Commencement Date (defined below), the Company shall notify each Agent from time to time as to the commencement of a period during which the Notes may be offered and sold by the Agents (each period, commencing with such a notification and ending at such time as the authorization for offers and sales through the Agents shall have been suspended by the Company or the Agents as provided hereunder, being herein referred to as an “Offering Period”).  The initial Offering Period began on April 20, 2006 (the “Commencement Date”).  On the basis of the representations and warranties, and subject to the terms and conditions set forth herein, each of the Agents agrees, as agent of the Company, to use its reasonable efforts to solicit offers to purchase Notes from the Company upon the terms and conditions set forth in the Prospectus (and any supplement thereto) and in the Procedures.  Each Agent shall communicate to the Company, orally or in writing, each reasonable offer or indication of interest to purchase Notes received by such Agent as agent The Company shall have the sole right to accept offers to purchase the Notes and may reject any such offer in whole or in part.  Each Agent shall have the right to reject, in its discretion reasonably exercised, any offer received by it to purchase the Notes, in whole or in part, and any such rejection shall not be deemed a breach of its agreements contained herein.  In soliciting offers to purchase the Notes in its capacity as agent of the Company, each Agent is acting solely as agent for the Company, and not as principal, and does not assume any obligation toward or relationship of agency or trust with any purchaser of the Notes (other than any such obligation or relationship which the Agent assumes independently of this Agreement).  Each Agent shall make reasonable efforts to assist the Company in obtaining performance by each purchaser whose offer to purchase Notes has been solicited by such Agent and accepted by the Company, but such Agent shall not, except as otherwise provided in this Agreement, be obligated to disclose the identity of any purchaser or have any liability to the Company in the event any such purchase is not consummated for any reason.  Except as provided in Section 2(b), under no circumstances will any Agent be obligated to purchase any Notes for its own account.

 

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It is understood and agreed, however, that any of you may purchase Notes as principal or agent pursuant to Section 2(b).

 

The Company reserves the right, in its sole discretion, to instruct the Agents to suspend at any time, for any period of time or permanently, the solicitation of offers to purchase Notes.  Upon receipt of instructions from the Company, such Agent will forthwith suspend solicitation of offers to purchase Notes from the Company until such time as the Company has advised them that such solicitation may be resumed.

 

The Company agrees to pay each Agent a commission, on the Settlement Date with respect to each sale of Notes by the Company as a result of a solicitation made by such Agent, in an amount agreed upon by the Agent and the Company.  Such commission shall be payable as specified in the Procedures.  Without the prior approval of the Company, no Agent (acting on an agency basis) may reallow any portion of the commission payable pursuant hereto to dealers or purchasers in connection with the offer and sale of any Notes.

 

Subject to the provisions of this Section 2 and to the Procedures, offers for the purchase of Notes may be solicited by an Agent as agent for the Company at such time and in such amounts as such Agent shall deem advisable.  The Company may from time to time offer Notes for sale otherwise than through an Agent; provided, however, that so long as this Agreement is in effect the Company shall not solicit or accept offers to purchase Notes through any agent other than an Agent.

 

If the Company defaults in its obligations to deliver Notes to a purchaser whose offer it has accepted, the Company and the Guarantor shall indemnify and hold each of the Agents harmless against any loss, claim or damage arising from or as a result of such default by the Company.

 

(b)                                 Purchases of Notes. Subject to the terms and conditions stated herein, whenever the Company and any of you determine that the Company shall sell Notes directly to any of you as principal or agent (in such capacity, the “Purchaser”), each such sale of Notes shall be made in accordance with the terms of this Agreement and a supplemental agreement relating to such sale.  Each such supplemental agreement (which may be either an oral or written agreement) is herein referred to as a “Terms Agreement”.  Each Terms Agreement shall describe the Notes to be purchased by the Purchaser pursuant thereto and shall specify the terms of the offered Notes.  A Terms Agreement may also specify certain provisions relating to the reoffering of such Notes by the Purchaser.  Any written Terms Agreement may be in the form attached hereto as Exhibit B.  The Purchaser’s commitment to purchase Notes shall be deemed to have been made on the basis of the representations and warranties of the Company and the Guarantor herein contained and shall be subject to the terms and conditions herein set forth.

 

Delivery of the Notes sold to the Purchaser pursuant to a Terms Agreement shall be made not later than the Settlement Date specified in the Terms Agreement against payment of funds to the Company in the net amount due to the Company for such Notes by the method and in the form set forth in the Procedures unless otherwise agreed to between the Company and the Purchaser.

 

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Unless otherwise agreed to between the Company and the Purchaser in a Terms Agreement, any Note sold to a Purchaser (i) shall be purchased by such Purchaser at a price equal to 100% of the principal amount thereof less a percentage equal to the applicable commission and (ii) may be resold by such Purchaser at varying prices from time to time or, if set forth in the applicable Terms Agreement and Pricing Supplement, at a fixed public offering price.  In connection with any resale of Notes purchased, a Purchaser may use a selling or dealer group and may reallow to any broker or dealer any portion of the discount or commission payable pursuant hereto.

 

(c)                                  Additional Agents.  Notwithstanding paragraph 2(a) or 2(b) above, the Company may from time to time appoint one or more additional financial institutions experienced in the distribution of securities as an Agent under this Agreement, for the duration of this Agreement (subject to Section 7 hereof) or on an issue by issue basis, pursuant to a letter (an “Agent Accession Confirmation”) substantially in the form of Exhibit C or Exhibit E to this Agreement, as appropriate, provided that any such additional party shall have first requested appointment as such upon the terms and conditions of this Agreement in writing to the Company pursuant to a letter (an “Agent Accession Letter”) substantially in the form of Exhibit D or Exhibit F to this Agreement, as appropriate, whereupon it shall, subject to the terms and conditions of this Agreement, the relevant Agent Accession Letter and the relevant Agent Accession Confirmation, become a party to this Agreement as an Agent, vested with all the authority, rights and powers and subject to all the duties and obligations of an Agent as if originally named as an Agent hereunder.  The Company shall promptly notify the Guarantor, the Trustees and the other Agents of any such appointment, but only in the event that any such additional Agent is appointed for the duration of this Agreement.

 

3.                                       Offering and Sale of Notes.  Each Agent and the Company agree to perform the respective duties and obligations specifically provided to be performed by them in the Procedures.

 

4.                                       Agreements.  (A)  The Company and the Guarantor agree with each of you that:

 

(a)                                  At any time during an Offering Period or during the time a prospectus relating to the Notes is required to be delivered under the Securities Act (including in circumstances where such requirement may be satisfied pursuant to Rule 172), prior to amending or supplementing either Registration Statement or the Prospectus, the Company and the Guarantor will furnish the Agents and Cleary Gottlieb Steen & Hamilton LLP, counsel to the Agents, with a copy of each proposed amendment or supplement (other than an amendment or supplement to be made pursuant to incorporation by reference of a document filed under the Exchange Act, or a Pricing Supplement or an amendment or supplement relating solely to an offering of securities other than the Notes) and will not file any such proposed amendment or supplement to which they reasonably object.  The Company and the Guarantor will promptly cause each amendment of or supplement to the Prospectus to be filed with the Commission pursuant to Rule 424(b).  If the Prospectus is amended or supplemented (other than by a Pricing Supplement or an amendment or supplement relating solely to an offering of securities other than the Notes), each Agent shall be furnished with such information relating to such filing as it may reasonably request, and no Agent shall be obligated to solicit offers to purchase Notes so long as

 

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it is not reasonably satisfied that such amendment or supplement complies in all material respects with the provisions of the Securities Act and the Exchange Act.  At any time during an Offering Period or during the time a prospectus relating to the Notes is required to be delivered under the Securities Act, the Company and the Guarantor will promptly advise each Agent of (i) the filing of any amendment or supplement to either Prospectus (other than a Pricing Supplement or an amendment or supplement to be made pursuant to incorporation by reference of a document filed under the Exchange Act or relating solely to an offering of securities other than the Notes), (ii) the filing of any amendment to the Registration Statement, (iii) the receipt by the Company or the Guarantor of comments from the Commission relating to or requests by the Commission for any amendment of the Registration Statement or any amendment of or supplement to either Prospectus or for any additional information, (iv) the issuance by the Commission of any stop order suspending the effectiveness of the Registration Statement or of any notice objecting to its use or the institution or threatening of any proceeding for that purpose and (v) the receipt by the Company or the Guarantor of any notification with respect to the suspension of the qualification of the Notes for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose.  The Company and the Guarantor will use their reasonable best efforts to prevent the issuance of any such stop order or the occurrence of any such suspension or objection to the use of the Registration Statement and, upon such issuance, occurrence or notice of objection, to obtain as soon as possible the withdrawal of such stop order or relief from such occurrence or objection, including, if necessary, by filing an amendment to the Registration Statement or a new registration statement and using their best efforts to have such amendment or new registration statement declared effective as soon as practicable.

 

(b)                                 If, at any time prior to the filing of the related Pricing Supplement pursuant to Rule 424(b), any event occurs as a result of which the Disclosure Package would include any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein in the light of the circumstances under which they were made at such time not misleading, the Company will (1) notify promptly each Agent so that any use of the Disclosure Package may cease until it is amended or supplemented; (2) amend or supplement the Disclosure Package to correct such statement or omission; and (3) supply any amendment or supplement to each Agent in such quantities as such Agent may reasonably request.

 

(c)                                  At any time during an Offering Period, the Company and the Guarantor will comply with all requirements imposed upon them by the Securities Act, as now and hereafter amended, and by the rules and regulations of the Commission thereunder, as from time to time in force, so far as necessary to permit the continuance of sales of or dealings in the Notes as contemplated by the provisions hereof and the Prospectus.  If during such period any event occurs as a result of which the Prospectus as then amended or supplemented would include an untrue statement of a material fact or omit to state a material fact necessary to make the statements therein, in the light of the circumstances then existing, not misleading, or if, in the opinion of the Company or the Guarantor, during such period it is necessary to amend or supplement the Registration Statement or the Prospectus or file a new registration statement to comply with the Securities Act or the Exchange Act or the respective rules thereunder, the Company promptly will notify each Agent to suspend the solicitation of offers to purchase the Notes and to cease sales of any Notes.  To the extent required under the provision in the last

 

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sentence of this subsection (c), the Company and the Guarantor promptly will amend or supplement the Registration Statement or the relevant Prospectus or file a new registration statement (at the expense of the Company and the Guarantor ) so as to correct such statement or omission or effect such compliance and will use their best efforts to have any amendment to the Registration Statement or new registration statement declared effective as soon as practicable in order to avoid any disruption in use of the Prospectus (and any supplements thereto).  If such amendment or supplement, and any documents, certificates, opinions and letters furnished to the Agents pursuant to subsections (m), (n) and (o) of this Section 4(A) in connection with the preparation and filing of such amendment or supplement, are reasonably satisfactory in all respects to the Lead Agent, in its sole discretion, upon the filing of such amendment or supplement with the Commission or effectiveness of an amendment to the Registration Statement, the Agents will resume solicitation of offers to purchase Notes hereunder.  Notwithstanding the foregoing, neither the Company nor the Guarantor shall be required to comply with the provisions of subsection (c) of this Section 4(A) during any period from the time any Agent shall have been notified to suspend the solicitation of offers to purchase the Notes in its capacity as Agent (whether under this subparagraph (c) or otherwise under this Agreement) to the time the Company shall determine that solicitation of offers to purchase the Notes should be resumed; provided that if any Agent holds any Notes purchased as principal or agent pursuant to a Terms Agreement, the Company and the Guarantor shall comply with the provisions of subsection (c) of this Section 4(A) during the period when a prospectus relating to the Notes is required to be delivered pursuant to the Securities Act (including in circumstances where such requirement may be satisfied pursuant to Rule 172).

 

(d)                                 The Guarantor will comply, in a timely manner, with all applicable requirements under the Exchange Act relating to the filing with the Commission of the Guarantor’s reports pursuant to Section 13(a), 13(c) or 15(d) of the Exchange Act and, if then applicable, of the Guarantor’s proxy statements pursuant to Section 14 of the Exchange Act.

 

(e)                                  The Company and the Guarantor will use their best efforts to qualify the Notes for sale under the securities laws of such jurisdictions as the Lead Agent or other Agent participating in the offer and sale of a series of Notes may reasonably designates in connection with the offer and sale of such series of Notes, to maintain such qualifications in effect so long as required for the distribution of the Notes and, if requested by the Lead Agent or other Agent participating in the offer and sale of such series of Notes, to arrange for the determination of the legality of the Notes for purchase by institutional investors, except that neither the Company nor the Guarantor shall be required in connection therewith to qualify to do business in any jurisdiction where it is not now so qualified or to take any action which would subject it to general or unlimited service of process in any jurisdiction where it is not now so subject.

 

(f)                                    Upon request, the Company and the Guarantor will furnish to the Agents and counsel for the Agents, without charge, signed copies of the Registration Statement (including exhibits thereto) and the Prospectus and, so long as delivery of a prospectus relating to the Notes by an Agent may be required by the Securities Act (including in circumstances where such requirement may be satisfied pursuant to Rule 172), as many copies of each additional prospectus supplement, Pricing Supplement and Issuer Free Writing Prospectus and any supplements thereto as each Agent may reasonably request. The Company will

 

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pay the expenses of printing or other production of all documents relating to each offering that are required to be prepared, furnished or delivered by it.

 

(g)                                 Upon request, the Company will prepare a final term sheet, containing solely a description of final terms of the Securities and the offering thereof (a “Final Term Sheet”), in a form approved by the relevant Agent and will file such term sheet pursuant to Rule 433(d) within the time required by such Rule.

 

(h)                                 (i) Each of the Company and the Guarantor agrees that, unless it has obtained or will obtain, as the case may be, the prior written consent of the Lead Agent, and (ii) each Agent, severally and not jointly, agrees with the Company and the Guarantor that, unless it has obtained or will obtain, as the case may be, the prior written consent of the Company and the Guarantor, it has not made and will not make any offer relating to the Notes that would constitute an Issuer Free Writing Prospectus or that would otherwise constitute a “free writing prospectus” (as defined in Rule 405) required to be filed by the Company or the Guarantor with the Commission or retained by the Company or the Guarantor under Rule 433; provided that the prior written consent of the parties hereto shall be deemed to have been given in respect of any Final Term Sheet and any free writing prospectus prepared by an Agent in connection with a specific offering of the Notes and approved for use by the Company and the Guarantor. Any such free writing prospectus consented to by the relevant Agent or the Company and the Guarantor is hereinafter referred to as a “Permitted Free Writing Prospectus.” Each of the Company and the Guarantor agrees that (x) it has treated and will treat, as the case may be, each Permitted Free Writing Prospectus as an Issuer Free Writing Prospectus and (y) it has complied and will comply, as the case may be, with the requirements of Rules 164 and 433 applicable to any Permitted Free Writing Prospectus, including in respect of timely filing with the Commission, legending and record keeping.

 

(i)                                     So long as any of the Notes are outstanding, the Guarantor agrees to furnish to each Agent, upon its reasonable request, as soon as available, all reports and financial statements filed by or on behalf of the Guarantor with the Commission or any national securities exchange.  The Guarantor shall be deemed to have furnished such information to such Agent if (i) such reports and financial statements are generally available on, and can be printed and/or downloaded from, the Securities and Exchange Commission’s internet website, www.sec.gov (or any other website of which the Guarantor notifies such Agent), and (ii) such Agent has been notified by the Guarantor that such reports and financial statements have been filed with the Securities and Exchange Commission.

 

(j)                                     The Company and the Guarantor shall, whether or not any sale of Notes is consummated or this Agreement is terminated, pay all expenses incident to the performance of their obligations under this Agreement and under any Terms Agreement, including, without limitation, the fees and disbursements of its accountants and counsel; the cost of printing (or other production) and delivery of the Registration Statement, the Prospectus, any Pricing Supplements, Final Term Sheets or Issuer Free Writing Prospectuses, all amendments thereof and supplements thereto, the Indentures, and all other documents relating to the offering, the cost of preparing, printing, packaging and delivering the Notes; the fees and disbursements (including reasonable fees of counsel) incurred in connection with the qualification of the Notes for sale and determination of eligibility for investment of the Notes under the securities or blue sky laws of

 

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such jurisdictions as the relevant Agent may reasonably designate; the fees and disbursements of the Trustees; the fees of any agency that rates the Notes; the fees and expenses in connection with any listing of the Notes on The NASDAQ Stock Market, NYSE Arca, Luxembourg Stock Exchange or such other securities exchange agreed to by the Company; the fees and expenses incurred with respect to any filing with the Financial Regulatory Authority, Inc.; the reasonable fees and disbursements of Cleary Gottlieb Steen & Hamilton LLP, as counsel for the Agents, or other counsel reasonably satisfactory to the Lead Agent, the Company and the Guarantor; and such other expenses, including, without limitation, advertising expenses as may be agreed upon by the Agents, the Company and the Guarantor; provided, however, that with respect to any purchase of Notes by one of you as principal or agent pursuant to a Terms Agreement, the fees and disbursements of Cleary Gottlieb Steen & Hamilton LLP or other counsel to you shall not be paid by either the Company or the Guarantor.

 

(k)                                  During the term of this Agreement, the Company and the Guarantor shall furnish to each Agent such relevant documents and certificates of officers of the Company and the Guarantor relating to the business, operations and affairs of the Company and the Guarantor, the Registration Statement, the Prospectus, any Pricing Supplement, Final Term Sheet and Issuer Free Writing Prospectus, any amendments thereof or supplements thereto, the Indentures, the Notes, this Agreement, the Procedures, any Terms Agreement and the performance by the Company and the Guarantor of their obligations hereunder or thereunder as the Agents may from time to time reasonably request.  The Company and the Guarantor shall promptly notify the Agents orally, followed by written notice, of any downgrading or of the receipt by either of them of any notice of any intended downgrading in the rating accorded any securities of either the Company or the Guarantor by Moody’s Investors Service, Inc. or Standard & Poor’s Ratings Services or, if one of them no longer rates the securities of either the Company or the Guarantor, another “nationally recognized statistical rating organization”, as such term is defined for purposes of Rule 436(g)(2).

 

(l)                                     If any issue of Notes is to be listed on The NASDAQ Stock Market, NYSE Arca or such other securities exchange agreed to by the Company, as specified in the applicable Pricing Supplement, the Company and the Guarantor will use their best efforts to obtain the listing of such issue of Notes on such securities exchange, to furnish to such securities exchange all documents, information and undertakings that may be reasonably necessary in order to effect such listing, and to cause such listing to be continued so long as any of the Notes of such issue remain outstanding.

 

(m)                               Each time the Registration Statement or the Prospectus are amended or supplemented (other than by filing with the Commission: (i) a Pricing Supplement, (ii) an amendment or supplement relating solely to an offering of securities other than the Notes, (iii) a Current Report on Form 8-K (or any successor item thereto), or (iv) any other amendment or supplement that the Lead Agent reasonably deems immaterial), the Company and the Guarantor will deliver or cause to be delivered forthwith to the Agents a certificate of the Company and the Guarantor, signed by (A) on behalf of the Company, the Chairman, the President or any Vice President and by the Treasurer, any Assistant Treasurer, the Controller, the Secretary or any Assistant Secretary and, (B) on behalf of the Guarantor, the Chairman, any Vice Chairman, any Vice President, the principal financial officer, the General Counsel, the Controller, any Deputy

 

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Controller or the principal accounting officer and by the Treasurer, any Assistant Treasurer, the Secretary or any Assistant Secretary (or another officer or officers acceptable to the Lead Agent), dated as of the date of the effectiveness of such amendment or the date of filing with the Commission of such supplement or document, as the case may be, in form reasonably satisfactory to the Lead Agent, to the effect that the statements contained in the certificate referred to in Section 5(b) (iii) that was last furnished to the Agents (either pursuant to Section 5(b) (iii) or pursuant to this Section 4(A)(m)) are true and correct at the time of the effectiveness of such amendment or the time of filing of such supplement or document, as the case may be, as though made at and as of such time (except that such statements shall be deemed to relate to the Registration Statement, as amended as of the time of effectiveness of such amendment, and to the relevant Prospectus, as amended and supplemented as of the date of such certificate) or, in lieu of such certificate, a certificate of the same tenor as the certificate referred to in Section 5(b) (iii) but modified, if necessary, to relate to the Registration Statement, as amended as of the time of the effectiveness of such amendment, and to the relevant Prospectus, as amended and supplemented as of the date of such certificate.

 

(n)                                 Each time the Registration Statement or the Prospectus are amended or supplemented (other than by filing with the Commission: (i) a Pricing Supplement, (ii) an amendment or supplement relating solely to an offering of securities other than the Notes, (iii) a Current Report on Form 8-K (or any successor item thereto), or (iv) any other amendment or supplement that the Lead Agent reasonably deems immaterial), the Company and the Guarantor shall furnish to or cause to be furnished forthwith to the Agents the written opinion of the Associate General Counsel-Capital Markets & Corporate Reporting of the Guarantor, or, in connection with the filing of the Guarantor’s Annual Report on Form 10-K, Cleary Gottlieb Steen & Hamilton LLP, or in either case, other counsel for the Company and/or the Guarantor or other external counsel reasonably satisfactory to the Lead Agent, dated as of the date of the effectiveness of such amendment or the date of filing with the Commission of such supplement or document, as the case may be, in form reasonably satisfactory to the Lead Agent.  In lieu of such opinion, counsel last furnishing such an opinion to the Agents may furnish to the Agents a letter to the effect that the Agents may rely on such last opinion to the same extent as though it were dated as of the date of such letter and authorizing reliance on such last opinion (except that statements in such last opinion will be deemed to relate to the Registration Statement, as amended at the time of the effectiveness of such amendment, and to the Prospectus, as amended and supplemented as of the date of such letter).

 

(o)                                 Each time that the Registration Statement or the Prospectus are amended or supplemented to set forth amended or supplemental financial information supplemented (other than by filing with the Commission: (i) a Pricing Supplement, (ii) an amendment or supplement relating solely to an offering of securities other than the Notes, (iii) a Current Report on Form 8-K (or any successor item thereto), or (iv) any other amendment or supplement that the Agents reasonably deems immaterial), the Guarantor shall cause KPMG LLP, Independent Registered Public Accounting Firm, forthwith to furnish the Agents a letter, dated as of the date of the effectiveness of such amendment or the date of filing of such supplement or document, as the case may be, in form satisfactory to the Lead Agent, of the same tenor as the letter of such independent public accountants referred to in Section 5(b)(iv) hereof but modified to relate to the Registration Statement and Prospectus, as amended and supplemented to the date of such letter,

 

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with such changes as may be necessary to reflect changes in the financial statements and other information derived from the accounting records of the Guarantor; provided, however, that if the Registration Statement or the Prospectus are amended or supplemented solely to include or incorporate by reference financial information with respect to a fiscal quarter, KPMG LLP may limit the scope of such letter to the unaudited financial statements included in such amendment or supplement.

 

(p)         Each solicitation of an offer to purchase Notes by you, each acceptance by the Company of an offer for the purchase of Notes, each sale of Notes to any Purchaser and each Settlement Date shall be deemed to be an affirmation that the representations and warranties of the Company and the Guarantor contained in or made pursuant to this Agreement are true and correct in all material respects at the time of such solicitation, acceptance, sale or issuance and delivery, as the case may be, as though made at and as of such time (and it is understood that such representations and warranties shall relate to the Registration Statement and the Prospectuses as amended and supplemented to each such time).

 

(q)         Anything to the contrary in this Section 4 notwithstanding, if, at the time of any required notice, amendment or supplement to the Registration Statement or the Prospectuses, the Company shall have instructed the Agents to suspend solicitation of offers to purchase the Notes in each Agent’s capacity as agent of the Company and either Agent does not then hold any Notes acquired by it as principal pursuant to a Terms Agreement, neither the Company nor the Guarantor shall be obligated to furnish or cause to be furnished any notice, certificate, opinion or letter otherwise required until such time as it shall determine that solicitation of offers to purchase the Notes should be resumed; and provided, further, that, prior to resuming such solicitation the Agents shall be entitled to receive any such notices, certificates, opinions or letters not previously furnished, accurate as of the date of such notice, certificate, opinion or letter.

 

(B)        Each Agent represents to and agrees with the Company and the Guarantor that it will comply with all relevant selling restrictions included in the Prospectus or Pricing Supplement for each series of Notes such Agent offers or sells.

 

(C)        Each Agent acknowledges and agrees with the Company and the Guarantor that it has the sole responsibility to ensure, to the extent that such Agent makes offers or sales of the Notes directly to investors, prior to any offer or sale of the Notes, that it has a reasonable basis to believe that the Notes are suitable for the investors to whom the Notes are being sold, that it is lawful for such investors to purchase the Notes and that the investors are capable of evaluating the risks and merits of any investment in the Notes. Further, each Agent undertakes that it will only make offers and sales of the Notes through broker-dealers that acknowledge to and agree with such Agent to comply with all applicable United States federal and state securities laws, the applicable rules and regulations of any regulatory body promulgated thereunder and the applicable rules and regulations of FINRA.

 

5.                                       Conditions to the Obligations of the Agents.  Each Agent’s obligations to solicit offers to purchase Notes as agent of the Company, any Agent’s obligation to purchase Notes as principal pursuant to any Terms Agreement or otherwise, and the obligation of any other Agent to purchase Notes from the Company will be subject to the accuracy in all material

 

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respects of the representations and warranties on the part of the Company and the Guarantor herein contained, to the accuracy of the statements of the officers of the Company and the Guarantor made in each certificate furnished pursuant to the provisions hereof and to the performance and observance by the Company and the Guarantor of all covenants and agreements herein contained on their part to be performed and observed (in the case of the Agents’ obligations to solicit offers to purchase Notes, at the time of such solicitation, and, in the case of any Purchaser’s obligation to purchase Notes, at the time the Company accepts the offer to purchase such Notes and at the time of purchase) and (in each case) to the following additional conditions precedent when and as specified:

 

(a)                                  On the corresponding Settlement Date:

 

(i)                                     The Prospectus, and any supplements thereto, have been filed in the manner and within the time period required by Rule 424(b) and any other material required to be filed by the Company pursuant to Rule 433(d), shall have been filed with the Commission within the applicable time periods prescribed for such filings by Rule 433; and no stop order suspending the effectiveness of the Registration Statement or any notice objecting to its use shall have been issued and no proceedings for that purpose shall have been instituted or threatened.

 

(ii)                                  There shall not have occurred any change, or any development involving a prospective change, in or affecting the condition (financial or otherwise), earnings, business or properties of the Company, the Guarantor and their respective subsidiaries, taken as a whole, whether or not arising from transactions in the ordinary course of business, except as set forth in or contemplated in the Disclosure Package and the Prospectus and any Pricing Supplements (exclusive of any supplement thereto) the effect of which, in any case referred to above, is, in the sole judgment of the Lead Agent after consultation with the Company, so material and adverse as to make it impractical or inadvisable to proceed with the offering or delivery of the Notes as contemplated by the Prospectus, as amended or supplemented, except, in the case of any purchase of Notes by any Agent as principal, as disclosed to such Agent in writing by the Company and the Guarantor before the Company accepted the offer to purchase such Notes.

 

(iii)                               There shall not have occurred any (x) suspension or material limitation of trading in securities generally on the New York Stock Exchange, or any setting of minimum prices for trading on such exchange, or any suspension of trading of the Guarantor’s common stock by the Commission or the New York Stock Exchange, (y) declaration of a general moratorium on commercial banking activities by either federal or New York state authorities or exchange controls shall have been imposed by the United States or (z) any outbreak or escalation of hostilities, any declaration by the United States of war or national emergency or other calamity or crisis the effect of which on financial markets is such to as to make it, in the Lead Agent’s sole judgment, after consultation with the Company, impracticable or inadvisable to proceed with the offering of the Notes as contemplated by the relevant Prospectus, as amended or supplemented, except, in the case of any purchase of Notes by any Agent as principal, for any such event occurring before the Company accepted the offer to purchase such Notes.

 

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(iv)                              There shall not have been any decrease in the rating of any of the Company’s or the Guarantor’s senior or subordinated debt securities by any “nationally recognized statistical rating organization” (as defined for purposes of Rule 436(g)) or any notice given of any intended or potential decrease in any such rating or of a possible change in any such rating that does not indicate the direction of the possible change, except as disclosed to the Agents in writing by the Company and the Guarantor before the Company accepted the offer to purchase such Notes.

 

(b)                                 On the Commencement Date and, if called for by any Terms Agreement on the corresponding Settlement Date:

 

(i) The Company and the Guarantor shall have furnished to the Agents such customary opinion or opinions of the Associate General Counsel — Capital Markets & Corporate Reporting of the Guarantor (or other counsel for the Company and/or the Guarantor reasonably acceptable to the Lead Agent) on the Commencement Date as the Agents may reasonably require, and, on the Settlement Date will furnish such customary opinion or opinions of the Associate General Counsel — Capital Markets & Corporate Reporting of the Guarantor (or other counsel for the Company and/or the Guarantor reasonably acceptable to the Agents) as the Agents may reasonably require and, if called for by a Terms Agreement, such customary opinion or opinions of other counsel, dated the Commencement Date or the Settlement Date, as the case may be, as the Agents may reasonably require.

 

(ii) Each Agent shall have received from Cleary Gottlieb Steen & Hamilton LLP, counsel for the Agents (or other counsel reasonably acceptable to such Agent, the Company and the Guarantor), such customary opinion or opinions dated the Commencement Date or the Settlement Date, as the case may be, as the Agents may reasonably require.

 

(iii) The Company and the Guarantor shall have furnished to the Agents a certificate of the Company and the Guarantor, signed by (A) on behalf of the Company—the Chairman, the President or any Vice President and by the Treasurer, any Assistant Treasurer, the Controller, the Secretary or any Assistant Secretary and (B) on behalf of the Guarantor—the Chairman, any Vice Chairman, the President, any Vice President, Chief Financial Officer, the Chief Accounting Officer, the General Counsel, the Controller or any Deputy Controller and by the Treasurer, any Assistant Treasurer, the Secretary or any Assistant Secretary (or another officer or officers acceptable to the Lead Agent), dated the Commencement Date or the Settlement Date, as the case may be, to the effect that each signatory of such certificate has carefully examined the Registration Statement, as amended as of the date of such certificate, the Prospectuses, as amended and supplemented as of the date of such certificate, the Disclosure Package and this Agreement and that: the respective representations and warranties of the Company and the Guarantor in this Agreement are true and correct on and as of the date of such certificate with the same effect as if made on the date of such certificate and the Company and the Guarantor have complied in all material respects with all the respective agreements and satisfied all the conditions on their part to be performed or satisfied as a condition to the obligations of the Agents under this Agreement; no stop order

 

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suspending the effectiveness of the Registration Statement or any notice objecting to its use has been issued and no proceedings for that purpose have been instituted or, to their knowledge, have been threatened or communicated by the Commission to the Company or the Guarantor as being contemplated by it under the Securities Act; and since the date of the most recent financial statements included in the relevant Prospectus or the Disclosure Package, each as amended and supplemented, there has been no material adverse change in the consolidated financial condition or results of operations of the Guarantor and its subsidiaries, taken as a whole, which is not disclosed in the relevant Prospectus or the Disclosure Package, as amended or supplemented.

 

(iv) KPMG LLP or another nationally recognized independent registered public accounting firm shall have furnished to the Agents a letter or letters, dated the Commencement Date or the Settlement Date, as the case may be, in form and substance reasonably satisfactory to the Agents.

 

(v) The Company and the Guarantor shall have furnished to each Agent such appropriate further information, certificates and documents as such Agent may reasonably request.

 

The documents required to be delivered by this Section 5 shall be delivered at the office of Cleary Gottlieb Steen & Hamilton LLP, counsel for the Agents, at One Liberty Plaza, New York, New York 10006, on the Commencement Date or the Settlement Date, as the case may be.

 

6.                                       Indemnification and Contribution.  (a)  The Company and the Guarantor agree to indemnify and hold harmless each Agent, the directors, officers, employees and agents of each Agent and each person who controls any Agent within the meaning of either the Securities Act or the Exchange Act and each of your affiliates within the meaning of Rule 405 under the Securities Act against any and all losses, claims, damages or liabilities, joint or several, to which they or any of them may become subject under the Securities Act, the Exchange Act or other Federal or state statutory law or regulation, at common law or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of a material fact contained in the registration statement for the registration of the Notes as originally filed or in any amendment thereof, or in the Base Prospectus, any prospectus supplement, any preliminary or final Pricing Supplement or any Issuer Free Writing Prospectus, or in any amendment thereof or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and agrees to reimburse each such indemnified party, as incurred, for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company and the Guarantor will not be liable in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon any such untrue statement or alleged untrue statement or omission or alleged omission made therein in reliance upon and in conformity with written information furnished to the Company or the Guarantor by any Agent specifically for inclusion therein. This indemnity agreement will be in addition to any liability which the Company and the Guarantor may otherwise have.

 

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(b) Each Agent severally and not jointly agrees to indemnify and hold harmless the Company and the Guarantor, each of their respective directors, each of their respective officers who signs the Registration Statement, and each person who controls the Company or the Guarantor within the meaning of either the Securities Act or the Exchange Act, to the same extent as the foregoing indemnity from the Company and the Guarantor to each Agent, but only with reference to written information relating to such Agent furnished to the Company or the Guarantor by such Agent specifically for inclusion in the documents referred to in the foregoing indemnity. This indemnity agreement will be in addition to any liability that any Agent may otherwise have.

 

(c) Promptly after receipt by an indemnified party under this Section 6 of notice of the commencement of any action, such indemnified party will, if a claim in respect thereof is to be made against the indemnifying party under this Section 6, notify the indemnifying party in writing of the commencement thereof; but the failure so to notify the indemnifying party (i) will not relieve it from liability under paragraph (a) or (b) above unless and to the extent it did not otherwise learn of such action and such failure results in the forfeiture by the indemnifying party of substantial rights and defenses and (ii) will not, in any event, relieve the indemnifying party from any obligations to any indemnified party other than the indemnification obligation provided in paragraph (a) or (b) above. The indemnifying party shall be entitled to appoint counsel of the indemnifying party’s choice at the indemnifying party’s expense to represent the indemnified party in any action for which indemnification is sought (in which case the indemnifying party shall not thereafter be responsible for the fees and expenses of any separate counsel retained by the indemnified party or parties except as set forth below); provided, however, that such counsel shall be satisfactory to the indemnified party. Notwithstanding the indemnifying party’s election to appoint counsel to represent the indemnified party in an action, the indemnified party shall have the right to employ separate counsel (including local counsel), and the indemnifying party shall bear the reasonable fees, costs and expenses of such separate counsel if (i) the use of counsel chosen by the indemnifying party to represent the indemnified party would present such counsel with a conflict of interest, (ii) the actual or potential defendants in, or targets of, any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded that there may be legal defenses available to it and/or other indemnified parties which are different from or additional to those available to the indemnifying party, (iii) the indemnifying party shall not have employed counsel satisfactory to the indemnified party to represent the indemnified party within a reasonable time after notice of the institution of such action or (iv) the indemnifying party shall authorize the indemnified party to employ separate counsel at the expense of the indemnifying party. An indemnifying party will not, without the prior written consent of the indemnified parties, settle or compromise or consent to the entry of any judgment with respect to any pending or threatened claim, action, suit or proceeding in respect of which indemnification or contribution may be sought hereunder (whether or not the indemnified parties are actual or potential parties to such claim or action) unless such settlement, compromise or consent includes an unconditional release of each indemnified party from all liability arising out of such claim, action, suit or proceeding.

 

(d) In the event that the indemnity provided in paragraph (a), (b) or (c) of this Section 6 is unavailable to or insufficient to hold harmless an indemnified party for any reason, the Company, the Guarantor and the Agents severally agree to contribute to the aggregate losses,

 

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claims, damages and liabilities (including legal or other expenses reasonably incurred in connection with investigating or defending same) (collectively “Losses”) to which the Company, the Guarantor and one or more of the Agents may be subject in such proportion as is appropriate to reflect the relative benefits received by the Company and the Guarantor on the one hand and by the Agents on the other from the offering of the Notes; provided, however, that in no case shall (i) any Agent (except as may be provided in any agreement among Agents relating to the offering of the Notes) be responsible for any amount in excess of the discount or commission applicable to the Notes purchased by such Agent hereunder. If the allocation provided by the immediately preceding sentence is unavailable for any reason, the Company, the Guarantor and the Agents severally shall contribute in such proportion as is appropriate to reflect not only such relative benefits but also the relative fault of the Company and the Guarantor on the one hand and of the Agents on the other in connection with the statements or omissions which resulted in such Losses as well as any other relevant equitable considerations. Benefits received by the Company and the Guarantor shall be deemed to be equal to the total net proceeds from the offering (before deducting expenses) received by the Company, and benefits received by the Agents shall be deemed to be equal to the total discounts and commissions, in each case as set forth in the Pricing Supplement. Relative fault shall be determined by reference to, among other things, whether any untrue or any alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information provided by the Company and the Guarantor on the one hand or the Agents on the other, the intent of the parties and their relative knowledge, access to information and opportunity to correct or prevent such untrue statement or omission. The Company, the Guarantor and the Agents agree that it would not be just and equitable if contribution were determined by pro rata allocation or any other method of allocation which does not take account of the equitable considerations referred to above. Notwithstanding the provisions of this paragraph (d), no person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. For purposes of this Section 6, each person who controls an Agent within the meaning of either the Securities Act or the Exchange Act and each director, officer, employee and agent of an Agent shall have the same rights to contribution as such Agent, and each person who controls the Company or the Guarantor, as applicable, within the meaning of either the Securities Act or the Exchange Act, each officer of the Company or the Guarantor, as applicable, who shall have signed the Registration Statement and each director of the Company or the Guarantor, as applicable, shall have the same rights to contribution as the Company or the Guarantor, as applicable, subject in each case to the applicable terms and conditions of this paragraph (d).

 

7.             Termination.  (a)  This Agreement will continue in effect until terminated as provided in this Section 7.  This Agreement may be terminated by either the Company or the Guarantor as to any Agent, or by any Agent, insofar as this Agreement relates to such Agent, by giving written notice of such termination to such Agent or the Company and the Guarantor, as the case may be.  The termination of this Agreement shall not require termination of any agreement by any of you to purchase Notes as principal, and the termination of any such Agreement shall not require termination of this Agreement.  If this Agreement is terminated, neither the Company and the Guarantor, on the one hand, nor any Agent, on the other hand, shall have any liability to each other, except as provided in the first sentence of the third paragraph of Section 2(a) and Sections 4(A)(b), 4(A)(g), 4(A)(h), 6, 8 and 11, and except that, if at the time of

 

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termination an offer to purchase any of the Notes has been accepted by the Company but the time of delivery to the purchaser or its agent of the Note or Notes relating thereto has not occurred, the representations and warranties of the Company and the Guarantor stated in Section 2 and the Company’s obligations under the Procedures, and in Sections 2(c), 4(A)(a), 4(A)(b), 4(A)(c), 4(A)(d), 4(A)(e), 4(A)(f), 4(A)(g), 4(A)(i), 4(A)(j), 4(A)(k), 4(A)(1), 4(A)(m), 4(A)(o), 4(A)(q) and 5 shall also remain in full force and effect and not be terminated until the delivery of such Notes.

 

8.             Representations and Indemnities to Survive.  The respective agreements, representations, warranties, indemnities and other statements of the Company and the Guarantor or their officers and of any of you set forth in or made pursuant to this Agreement will remain in full force and effect, regardless of any investigation made by or on behalf of you, the Company, the Guarantor or any of the officers, directors or controlling persons referred to in Section 6 hereof, and will survive delivery of and payment for the Notes.  The provisions of Section 4(j) and Section 6 hereof shall survive the termination or cancellation of this Agreement.

 

9.             Notices.  All communications hereunder will be in writing and effective only on receipt, and, if sent to an Agent, will be delivered or sent by mail or transmitted by any standard form of telecommunication and confirmed to such Agent, at the address specified on Schedule I hereto; or, if sent to the Company or the Guarantor, will be delivered or sent by mail or transmitted by any standard form of telecommunication and confirmed to it at 153 E. 53rd Street, 6th Floor, New York, New York 10043, Attention: Assistant Treasurer (fax no.:  (212) 793-5629), with a copy to Citigroup Inc., One Court Square, 45th Floor, Long Island City, New York 11120, Attn:  Associate General Counsel — Capital Markets and Corporate Reporting (fax no.:  (718) 248-2705.

 

10.           Successors.  This Agreement will inure to the benefit of and be binding upon the parties hereto and their respective successors and the officers and directors and controlling persons referred to in Section 6 hereof.  Nothing expressed or implied in this Agreement or any Terms Agreement is intended or shall be construed to give any person, firm or corporation, other than the parties hereto and their respective successors and the controlling persons and officers and directors referred to in Section 6 and their heirs and legal representatives, any legal or equitable right, remedy or claim under or in respect of this Agreement or any Terms Agreement or any provision herein or therein contained.  This Agreement and any Terms Agreement and all conditions and provisions hereof and thereof except to the extent provided for in Section 5 hereof are intended to be for the sole and exclusive benefit of the parties hereto and their respective successors and said controlling persons and officers and directors and their heirs and legal representatives, and for the benefit of no other person, firm or corporation.  No Purchaser of Notes shall be deemed to be a successor by reason merely of such purchase.  This Agreement and the rights and obligations of any of you hereunder may not be assigned without the prior written consent of the Company and the Guarantor.

 

11.           Waivers.  Neither any failure nor delay on the part of any party to exercise any right, remedy, power or privilege under this Agreement (singly and collectively referred to as a “Right”) shall operate as a waiver of such Right, nor shall any single or partial exercise of any Right preclude any other or further exercise of any Right, nor shall any waiver of any Right

 

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with respect to any occurrence be construed as a waiver of any Right with respect to any other occurrence.

 

12.           No Fiduciary Duty.  The Company and the Guarantor hereby acknowledge that (i) the purchase and sale of the Notes pursuant to this Agreement is an arm’s-length commercial transaction between the Company and the Guarantor, on the one hand, and the Agents and any affiliate through which it may be acting, on the other, (ii) the Agents are acting as principal and not as an agent or fiduciary of the Company or the Guarantor and (iii) the Company’s engagement of the Agents in connection with the offering and the process leading up to the offering is as independent contractors and not in any other capacity.  Furthermore, each of the Company and the Guarantor agrees that it is solely responsible for making its own judgments in connection with the offering (irrespective of whether any of the Agents has advised or is currently advising the Company or the Guarantor on related or other matters).  The Company and the Guarantor agree that they will not claim that the Agents have rendered advisory services of any nature or respect, or owe an agency, fiduciary or similar duty to the Company or the Guarantor, in connection with such transaction or the process leading thereto.

 

13.           Integration.  This Agreement supersedes all prior agreements and understandings (whether written or oral) between the Company, the Guarantor and the Agents, or any of them, with respect to the subject matter hereof.

 

14.           Applicable Law.  This Agreement will be governed by and construed in accordance with the laws of the State of New York applicable to contracts made and to be performed within the State of New York.

 

15.           Counterparts.  This Agreement may be signed in one or more counterparts, each of which shall constitute an original and all of which together shall constitute one and the same agreement.

 

16.           Headings.  The section headings used herein are for convenience only and shall not affect the construction hereof.

 

17.           Notice of New Registration Statement. (a) Upon delivery by the Company and the Guarantor to the Agents of a properly executed notice in the form attached as Exhibit G hereto (a “Notice of New Registration Statement”), (i) the file number contained in the first sentence of Section 1(a) of this Agreement shall thereafter be deemed to refer to the file number of the registration statement specified in such Notice of New Registration Statement (the “New Registration Statement”), (ii) all references in this Agreement to the “Registration Statement” shall thereafter be deemed to refer to the New Registration Statement.

 

(b) Together with the notice required by Section 17(a), the Company and the Guarantor shall deliver or cause to be delivered to the Agents the documents required under Section 4(A)(m), 4(A)(n) and 4(A)(o) of the Agreement, provided that such Section 4(A)(m), 4(A)(n) and 4(A)(o) shall remain unchanged and shall apply to the New Registration Statement.

 

22











 

If the foregoing is in accordance with your understanding of our agreement, please sign and return to us the enclosed duplicate hereof, whereupon this letter and your acceptance shall represent a binding agreement among the Company, the Guarantor and you.

 

	
 
    	
Very   truly yours,
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
CITIGROUP   FUNDING INC.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/Charles   E. Wainhouse
    
	
 
    	
 
    	
Name:
    	
Charles   E. Wainhouse
    
	
 
    	
 
    	
Title:   
    	
Executive   Vice President & Treasurer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
CITIGROUP   INC.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   John C. Gerspach
    
	
 
    	
 
    	
Name:   
    	
John   C. Gerspach
    
	
 
    	
 
    	
Title:   
    	
Chief   Financial Officer
    


 

23











 

The foregoing Amended and Restated 
 Global Selling Agency Agreement is
 hereby confirmed and accepted
 as of the date hereof:

 

 

	
CITIGROUP GLOBAL MARKETS INC., as Lead Agent
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   Jack D. McSpadden, Jr.
    	
 
    
	
 
    	
Name:   
    	
Jack   D. McSpadden, Jr.
    	
 
    
	
 
    	
Title:
    	
Managing   Director
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
UBS FINANCIAL SERVICES INC.
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Eric Glicksman
    	
 
    
	
 
    	
Name:
    	
Eric Glicksman
    	
 
    
	
 
    	
Title:
    	
Managing Director
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Jorge A. Ramirez
    	
 
    
	
 
    	
Name:
    	
Jorge A. Ramirez
    	
 
    
	
 
    	
Title:
    	
Managing Director
    	
 
    


 

24











 

	
WELLS FARGO SECURITIES, LLC
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Donald T. Brudie, Jr.
    	
 
    
	
 
    	
Name:
    	
Donald T. Brudie, Jr.
    	
 
    
	
 
    	
Title:
    	
Managing Director
    	
 
    


 

CFI Amended and Restated GSAA

August 26, 2011

 

25











 

SCHEDULE I

 

Citigroup Global Markets Inc.
 388 Greenwich Street
 New York, New York 10013

 

UBS Financial Services Inc. 
 800 Harbor Boulevard, Third Floor

Weehawken, NJ 07086

Attention:  Structured Products Group

 

Wells Fargo Securities, LLC 
 Attention: Don Brudie

375 Park Avenue

New York, New York 10152

 

26











 

SCHEDULE II

 

Transactions Subject to Sanctions

 

None.

 

27




 






 

EXHIBIT A

 

CITIGROUP FUNDING INC.

 

Medium-Term Notes, Series D and Series E, Administrative Procedures

 

August 26, 2011

 

The Medium-Term Notes, Series D (the “Series D Notes”) and Medium-Term Notes, Series E (the “Series E Notes,” and, together with the Series D Notes, the “Notes”) of Citigroup Funding Inc. (the “Company”), any payments due on which are fully and unconditionally guaranteed by (the “Guarantee”) Citigroup Inc. (the “Guarantor”), are to be offered on a continuing basis.  Citigroup Global Markets Inc. has agreed, as agent, to solicit purchases of Notes issued in fully registered form.  (The term “Agent” when used in these Administrative Procedures, means Citigroup Global Markets Inc.)  The Agent will not be obligated to purchase Notes for its own account.  The Notes are being sold pursuant to a Global Selling Agency Agreement among the Company, the Guarantor, and the agents named therein (including the Agent) dated the date hereof (the “Agency Agreement”).  The Notes have been registered with the Securities and Exchange Commission (the “Commission”).  The Bank of New York Mellon is the successor trustee under the Indenture, dated as of June 1, 2005, under which the Series D Notes will be issued (the “Senior Debt Indenture”).  Deutsche Bank Trust Company Americas is the trustee (together with The Bank of New York Mellon, the “Trustees”) under the Indenture, dated as of June 1, 2005, under which the Series E Notes will be issued (the “Subordinated Debt Indenture,” and, together with the Senior Debt Indenture, the “Indentures”).  The Series D Notes will constitute part of the senior debt of the Company and will rank equally with all other unsecured and unsubordinated debt of the Company.  The Guarantee of the Series D Notes will constitute part of the senior debt of the Guarantor and will rank equally with all other unsecured and unsubordinated debt of the Guarantor.  The Series E Notes will be subordinate and junior in the right of payment to all Citigroup Funding Senior Indebtedness, to the extent and in the manner set forth in the Subordinated Debt Indenture.  The Guarantee of the Series E Notes will be subordinate and junior in the right of payment to all Citigroup Senior Indebtedness, to the extent and in the manner set forth in the Subordinated Debt Indenture.

 

The Agency Agreement provides that Notes may also be purchased by the Agent acting solely as principal and not as agent.  In the event of any such purchase, the functions of both the Agent and the beneficial owner under the administrative procedures set forth below shall be performed by the Agent acting solely as principal, unless otherwise agreed to between the Company, the Guarantor and the Agent acting as principal.

 

Each Note will be represented by either a Global Security (as defined hereinafter) or a certificate delivered to the Holder thereof or a Person designated by such Holder (a “Certificated Note”).  Each Global Security representing Series D Notes will be delivered to Citibank, N.A., and each Global Security representing Series E Notes will be delivered to Deutsche Bank Trust Company Americas, each acting as agent for The Depository Trust Company or any successor depositary selected by the Company (“DTC”, which term, as used herein, includes any successor depositary selected by the Company), and will be recorded in the

 

A-1











 

book-entry system maintained by DTC (a “Book-Entry Note”).  An owner of a Book-Entry Note will not be entitled to receive a certificate representing such Note.

 

The procedures to be followed during, and the specific terms of, the solicitation of orders by the Agent and the sale as a result thereof by the Company are explained below.  Administrative and record-keeping responsibilities will be handled for the Company by its Treasury Department.  The Company will advise the Agent and the Trustees in writing of those persons handling administrative responsibilities with whom the Agent and the Trustees are to communicate regarding orders to purchase Notes and the details of their delivery.  The term “Trustees” as used in these procedures means the Trustees and any other agents appointed by the Trustees or the Company.

 

Administrative procedures and specific terms of the offering are explained below.  Book-Entry Notes will be issued in accordance with the administrative procedures set forth in Part I hereof, as adjusted in accordance with changes in DTC’s operating requirements, and Certificated Notes will be issued in accordance with the administrative procedures set forth in Part II hereof.  Unless otherwise defined herein, terms defined in the Indentures, the Agency Agreement, the Notes or the Prospectus Supplement relating to the Notes shall be used herein as therein defined.  Notes for which interest is calculated on the basis of a fixed interest rate, which may be zero, are referred to herein as “Fixed Rate Notes”.  Notes for which interest is calculated on the basis of a floating interest rate are referred to herein as “Floating Rate Notes”.  To the extent the procedures set forth below conflict with the provisions of the Notes, the Indentures, DTC’s operating requirements or the Agency Agreement, the relevant provisions of the Notes, the Indentures, DTC’s operating requirements and the Agency Agreement shall control.

 

PART I

 

Administrative Procedures for
 Book-Entry Notes

 

In connection with the qualification of the Book-Entry Notes for eligibility in the book-entry system maintained by DTC, Citibank, N.A. and Deutsche Bank Trust Company Americas (together, the “DTC Agents”) will perform the custodial, document control and administrative functions described below for the Series D Notes and the Series E Notes, respectively.  Citibank, N.A. will perform such functions in accordance with its respective obligations under a Letter of Representations from the Company and Citibank, N.A. to DTC dated as of the date hereof and a Medium-Term Note Certificate Agreement between Citibank, N.A. and DTC, dated as of October 31, 1988 and as amended to date, and its obligations as a participant in DTC, including DTC’s Same-Day Funds Settlement system (“SDFS”).  Deutsche Bank Trust Company Americas will perform such functions in accordance with its respective obligations under a Letter of Representations from the Company and Deutsche Bank Trust Company Americas to DTC to be executed on a future date and a Certificate Agreement between DTC and Deutsche Bank Trust Company Americas, dated as of December 5, 1997 and as amended to date, and its obligations as a participant in DTC, including DTC’s SDFS.

 

A-2











 

	
Issuance:
    	
 
    	
On   any date of settlement (as defined under “Settlement” below) for one   or more Book-Entry Notes, the Company will issue a single global security in   fully registered form without coupons (a “Global Security”)   representing up to U.S $500,000,000 principal amount of all such Book-Entry   Notes of the same Series that have the same Original Issue Date,   Original Issue Discount provisions, if any, Interest Payment Dates,   Regular Record Dates, Interest Payment Period, redemption repayment and   extension provisions, if any, Stated Maturity, and, in the case of Fixed Rate   Notes, interest rate, and amortization schedule, if any, or, in the case of   Floating Rate Notes, Initial Interest Rate, Base Rate, Index   Maturity, Interest Reset Period, Interest Reset Dates, Spread   and/or Spread Multiplier, if any, Minimum Interest Rate, if any, and Maximum   Interest Rate, if any and, in each case, any other relevant terms   (collectively, the “Terms”).    Each Global Security will be dated and issued as of the date of its   settlement.  Each Global Security will   bear an Original Issue Date, which will be (i) with respect to an   original Global Security (or any portion thereof), the Original Issue Date   specified in such Global Security and (ii) following a consolidation of   Global Securities, with respect to the Global Security resulting from such   consolidation, the most recent Interest Payment Date to which interest has   been paid or duly provided for on the predecessor Global Securities,   regardless of the date of authentication of such resulting Global   Security.  No Global Security will   represent (i) both Fixed Rate and Floating Rate Book-Entry Notes,   (ii) any Certificated Note, or (iii) both Series D Notes and   Series E Notes.
    
	
 
    	
 
    	
 
    
	
Identification   Numbers:
    	
 
    	
The   Company has arranged with the CUSIP Service Bureau of Standard &   Poor’s Ratings Services (the “CUSIP Service Bureau”) for the   reservation of two Series of CUSIP numbers, one for Series D Notes   and one for Series E Notes, each of which series consists of   approximately 900 CUSIP numbers and relates to Global Securities representing   Book-Entry Notes and book-entry medium-term notes issued by the Company with   other Series designations.  The DTC   Agents, the Company and DTC have obtained from the CUSIP Service Bureau a   written list of such reserved CUSIP numbers.    The DTC Agents will assign CUSIP numbers to Global Securities as   described below under Settlement Procedure “B”.  DTC will notify the CUSIP Service Bureau   periodically of the CUSIP numbers that the DTC Agents have assigned to Global   Securities.  Each DTC Agent will notify   the Company at any time when fewer than 100 of the reserved CUSIP numbers   remain unassigned to Global Securities, and, if it deems necessary, the Company   will reserve additional CUSIP numbers for assignment to Global   Securities.  Upon obtaining such   additional CUSIP numbers, the Company shall deliver a list of such additional   CUSIP numbers to either or both DTC Agents, as 
    


 

A-3











 

	
 
    	
 
    	
needed,   and to DTC.
    
	
 
    	
 
    	
 
    
	
Registration:
    	
 
    	
Global   Securities will be issued only in fully registered form without coupons.  Each Global Security will be registered in   the name of CEDE & CO., as nominee for DTC, on the securities register   for the Notes (the “Securities Register”) maintained under the   Indentures.  The beneficial owner of a   Book-Entry Note (or one or more indirect participants in DTC designated by   such owner) will designate one or more participants in DTC (with respect to   such Book-Entry Note, the “Participants”) to act as agent or agents   for such owner in connection with the book-entry system maintained by DTC,   and DTC will record in book-entry form, in accordance with instructions   provided by such Participants, a credit balance with respect to such   beneficial owner in such Book-Entry Note in the account of such   Participants.  The ownership interest   of such beneficial owner (or such participant) in such Book-Entry Note will   be recorded through the records of such Participants or through the separate   records of such Participants and one or more indirect participants in DTC.
    
	
 
    	
 
    	
 
    
	
Transfers:
    	
 
    	
Transfers   of a Book-Entry Note will be accomplished by book entries made by DTC and, in   turn, by Participants (and in certain cases, one or more indirect   participants in DTC) acting on behalf of beneficial transferors and   transferees of such Note.
    
	
 
    	
 
    	
 
    
	
Exchanges:
    	
 
    	
Each   DTC Agent may deliver to DTC and the CUSIP Service Bureau at any time a   written notice of consolidation (a copy of which shall be attached to the   resulting Global Security described below) specifying (i) the CUSIP   numbers of two or more outstanding Global Securities that represent   (A) Fixed Rate Book-Entry Notes of the same Series Dnd having the   same Terms and for which interest has been paid to the same date or   (B) Floating Rate Book-Entry Notes of the same Series Dnd having   the same Terms and for which interest has been paid to the same date,   (ii) a date, occurring at least thirty days after such written notice is   delivered and at least thirty days before the next Interest Payment Date for   such Book-Entry Notes, on which such Global Securities shall be exchanged for   a single replacement Global Security and (iii) a new CUSIP number to be   assigned to such replacement Global Security.    Upon receipt of such a notice, DTC will send to its participants   (including the DTC Agent for such replacement Global Security) a written   reorganization notice to the effect that such exchange will occur on such   date.  Prior to the specified exchange   date, such DTC Agent will deliver to the CUSIP Service Bureau a written   notice setting forth such exchange date and such new CUSIP number and stating   that, as of such exchange date, the CUSIP numbers of the Global Securities to   be exchanged will no longer be valid.    On the specified exchange date, such DTC Agent will exchange such   Global Securities for a single Global Security bearing the new CUSIP number   and a new Original Issue Date, which 
    


 

A-4











 

	
 
    	
 
    	
shall   be the last date to which interest has been paid on the underlying Book-Entry   Notes, and the CUSIP numbers of the exchanged Global Securities will, in   accordance with CUSIP Service Bureau procedures, be canceled and not   immediately reassigned.  Upon such   exchange, the DTC Agent will mark the predecessor Global Security “canceled”,   make appropriate entries in the DTC Agent’s records and destroy such canceled   Global Security in accordance with the terms of the Indenture and deliver a   certificate of destruction to the Company.    Notwithstanding the foregoing, if the Global Securities to be   exchanged exceed U.S $500,000,000 in aggregate principal amount, one Global   Security will be authenticated and issued to represent each U.S. $500,000,000   of principal amount of the exchanged Global Securities and an additional   Global Security will be authenticated and issued to represent any remaining   principal amount of such Global Securities (see “Denominations”   below).
    
	
 
    	
 
    	
 
    
	
Maturities:
    	
 
    	
Each   Book-Entry Note will mature on a date nine months or more after the issue   date for such Note, except in the case of indexed Notes, for which the   maturity may be shorter.  A Floating   Rate Book-Entry Note will mature only on an Interest Payment Date for such   Note.  Any Note denominated in Japanese   yen will mature on a date not less than one year from the Original Issue Date   (as defined below) for such Note.  Any   Note denominated in Pounds Sterling will mature on a date not less than one   year, nor more than five years, after its Original Issue Date.
    
	
 
    	
 
    	
 
    
	
Denominations:
    	
 
    	
Unless   otherwise agreed to by the Company, Book-Entry Notes will be issued in   principal amounts of U.S.$1,000 or any amount in excess thereof that is an   integral multiple of U.S.$1,000.  If   Book-Entry Notes are denominated in a Specified Currency other than U.S.   dollars, the denominations of such Notes will be determined pursuant to the   provisions of the applicable Pricing Supplement.  Global Securities will be denominated in   principal amounts not in excess of U.S.$500,000,000 (or the equivalent   thereof).  If one or more Book-Entry   Notes having an aggregate principal amount in excess of U.S.$500,000,000 (or   the equivalent thereof) would, but for the preceding sentence, be represented   by a single Global Security, then one Global Security will be authenticated   and issued to represent each U.S.$500,000,000 principal amount (or the   equivalent thereof) of such Book-Entry Note or Notes and an additional Global   Security will be authenticated and issued to represent any remaining principal   amount of such Book-Entry Note or Notes.    In such a case, each of the Global Securities representing such   Book-Entry Note or Notes shall be assigned the same CUSIP number.
    


 

A-5




 






 

	
Notice   of Redemption Dates:
    	
 
    	
Each   DTC Agent will, with respect to the Notes for which it is Trustee, give   notice to DTC prior to each Redemption Date (as specified in the Note) if any   at the time and in the manner set forth in the Letter.
    
	
 
    	
 
    	
 
    
	
Interest:
    	
 
    	
General.  Unless otherwise indicated in the   applicable Pricing Supplement, interest, if any, on each Book-Entry Note will   accrue from the Original Issue Date (or such other date on which interest   otherwise begins to accrue, if different than the Original Issue Date) of the   Global Security representing such Book-Entry Note for the first interest   period or the last date to which interest has been paid, if any, for each   subsequent interest period, on the Global Security representing such   Book-Entry Note, and will be calculated and paid in the manner and on the   Interest Payment Dates described in such Book-Entry Note and in the   Prospectus (as defined in the Agency Agreement), as supplemented by the   applicable Pricing Supplement.  Each   payment of interest on a Book-Entry Note will include interest accrued to but   excluding the Interest Payment Date; provided that in the case of Floating   Rate Notes that reset daily or weekly, interest payments will include   interest accrued to but excluding the next preceding Regular Record Date,   except that at stated Maturity, the interest payable will include interest   accrued to, but excluding, the Maturity.    Interest payable at the Maturity of a Book-Entry Note will be payable   to the Person to whom the principal of such Note is payable. 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Standard &   Poor’s Ratings Services will use the information received in the pending   deposit message described under Settlement Procedure “C” below in order to   include the amount of any interest payable and certain other information   regarding the related Global Security in the appropriate (daily or weekly)   bond report published by Standard & Poor’s Ratings Services.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Regular Record Dates.  Unless otherwise specified in the   applicable Pricing Supplement, the Regular Record Date with respect to any   Interest Payment Date for a Floating-Rate Note, Fixed Rate Note or Indexed   Rate Note shall be the date (whether or not a Business Day) fifteen calendar   days immediately preceding such Interest Payment Date.
    
	
 
    	
 
    	
 
    
	
Payments   of Principal and Interest:
    	
 
    	
Payment   of Interest Only.  Promptly   after each Regular Record Date, the DTC Agent for each Global Security will   deliver to the Company and DTC a written notice setting forth, by CUSIP   number, the amount of interest to be paid on each Global Security on the   following Interest Payment Date (other than an Interest Payment Date   coinciding with Maturity) and the total of such amounts.  DTC will confirm the amount payable on each   Global Security on such Interest 
    


 

A-6











 

	
 
    	
 
    	
Payment   Date by reference to the appropriate (daily or weekly) bond reports published   by Standard & Poor’s Ratings Services.  The Company will pay to the Trustee for the   Notes represented by such Global Security the total amount of interest due on   such Interest Payment Date (other than at Maturity), and such Trustee will   pay such amount to DTC at the times and in the manner set forth below under   “Manner of Payment”.  If any Interest   Payment Date for a Book-Entry Note is not a Business Day, the payment due on   such day shall be made on the next succeeding Business Day and no interest   shall accrue as a result of such delayed payment.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Payments at Maturity or Upon Redemption.  On or about the first Business Day of each   month, each DTC Agent will, with respect to the Global Securities for which   it acts as DTC Agent, deliver to the Company, DTC and the applicable Trustee   a written list of principal and interest to be paid on each Global Security   maturing either at Maturity or on a Redemption Date in the following   month.  The DTC Agent for each Global   Security, the Company and DTC will confirm the amounts of such principal and   interest payments with respect to each such Global Security on or about the   fifth Business Day preceding the Maturity Date or Redemption Date of such   Global Security.  On or before such   Maturity or Redemption, the Company will pay to the Trustee for the Notes   represented by such Global Security the principal amount of such Global   Security, together with interest due at such Maturity.  Such Trustee will pay such amount to DTC at   the times and in the manner set forth below under “Manner of Payment”.  If any Maturity of a Global Security   representing Book-Entry Notes is not a Business Day, the payment due on such   day shall be made on the next succeeding Business Day and no interest shall   accrue on such payment for the period from and after such Maturity Date or   Redemption Date.  Promptly after   payment to DTC of the principal and interest due on the Maturity Date or on   the Redemption Date of such Global Security, the Trustee for such Global   Security will cancel and destroy such Global Security in accordance with the   applicable Indenture and deliver a certificate of destruction to the Company.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Manner   of Payment.  The total   amount of any principal and interest due on Global Securities on any Interest   Payment Date or at Maturity or upon redemption shall be paid by the Company   to the Trustee for the Notes represented by such Global Security in   immediately available funds no later than 9:30 A.M. (New York City time)   on such date.  The Company will make   such payment on such Global Securities by instructing such Trustee to   withdraw funds from an account maintained by the Company with the DTC Agent   for the Notes represented by such Global Securities.  The Company will confirm any such   instructions in writing to such Trustee.    Prior to 
    


 

A-7











 

	
 
    	
 
    	
10:00 A.M.   (New York City time) on the Maturity Date or as soon as possible thereafter,   such Trustee will pay by separate wire transfer (using Fedwire message entry   instructions in a form previously specified by DTC) to an account at the   Federal Reserve Bank of New York previously specified by DTC, in funds   available for immediate use by DTC, each payment of principal (together with   interest thereon) due on a Global Security on such Maturity Date or   Redemption Date.  On each Interest   Payment Date (other than at Maturity), interest payments shall be made to   DTC, in same day funds, in accordance with existing arrangements between the   relevant DTC Agent and DTC.  On each   such date, DTC will pay, in accordance with its SDFS operating procedures   then in effect, such amounts in funds available for immediate use to the respective   Participants in whose names the Book-Entry Notes represented by such Global   Securities are recorded in the book-entry system maintained by DTC.  None of the Company (as issuer or as paying   agent), the Guarantor, the Trustee or such DTC Agent shall have any direct   responsibility or liability for the payment by DTC to such Participants of   the principal of and interest on the Book-Entry Notes.  If an issue of Notes is denominated in a   currency other than the U.S. dollar, the Company will make payments of   principal and any interest in the currency in which the Notes are denominated   (the “foreign currency”) or in U.S. dollars.  DTC has elected to have all such payments   of principal and interest in U.S. dollars unless notified by any of its   Participants through which an interest in the Notes is held that it elects,   in accordance with and to the extent permitted by the applicable Pricing   Supplement and the Note, to receive such payment of principal or interest in   the foreign currency.  On or prior to   the third Business Day after the record date for payment of interest and   twelve days prior to the date for payment of principal, such Participant   shall notify DTC of (i) its election to receive all, or the specified   portion, of such payment in the foreign currency and (ii) its   instructions for wire transfer of such payment to a foreign currency account.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
DTC   will notify the applicable Trustee on or prior to the fifth 
    


 

A-8











 

	
 
    	
 
    	
business   day after the record date for payment of interest and ten days prior to the   date for payment of principal of the portion of such payment to be received   in the foreign currency and the applicable wire transfer instructions, and   the applicable Trustee shall use such instructions to pay the Participants   directly.  If DTC does not so notify   the applicable Trustee, it is understood that only U.S. dollar payments are   to be made.  The applicable Trustee   shall notify DTC on or prior to the second Business Day prior to payment date   of the conversion rate to be used and the resulting U.S. dollar amount to be   paid per U.S.$1,000 face amount.  In   the event that the applicable Trustee’s quotation to convert the foreign   currency into U.S. dollars is not available, the applicable Trustee shall notify   DTC’s Dividend Department that the entire payment is to be made in the   foreign currency.  In such event, DTC   will ask its Participants for payment instructions and forward such   instructions to the applicable Trustee and the applicable Trustee shall use   such instructions to pay the Participants directly.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Withholding   Taxes.  The amount of any taxes   required under applicable law to be withheld from any interest payment on a   Book-Entry Note will be determined and withheld by the Participant, indirect   participant in DTC or other Person responsible for forwarding payments and   materials directly to the beneficial owner of such Note.
    
	
 
    	
 
    	
 
    
	
Procedures   upon Company’s Exercise of Optional Reset or Optional Extension of Maturity:
    	
 
    	
Company   Notice to Trustee regarding Exercise of Optional Reset.  Not less than 45 or more than 60 days   before an Optional Reset Date as set forth in a Book-Entry Note, the Company   will notify the Trustee for such Book-Entry Note whether it is exercising its   option to reset the interest rate or Spread or Spread Multiplier, as the case   may be, for such Book-Entry Note, and if so, (i) the new interest rate   or Spread or Spread Multiplier, as the case may be, for such Book-Entry Note   during the period from such Optional Reset Date to the next Optional Reset   Date as set forth in such Book-Entry Note or, if there is no such next   Optional Reset Date, to the Stated Maturity of such Book-Entry Note (the “Subsequent   Interest Period”); and (ii) the provisions, if any, for redemption   of such Book-Entry Note during such Subsequent Interest Period, including the   date or dates on which or the period or periods during which such redemption   may occur during such Subsequent Interest Period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Company   Notice to Trustee regarding Exercise of Optional Extension of Maturity.  If the Company elects to exercise an   option, as set forth in a Book-Entry Note, to extend the Stated Maturity of   such Note, it will so notify the Trustee for such Book-Entry Note no less   than 45 or more than 60 days before the Stated Maturity of such Book-Entry 
    


 

A-9











 

	
 
    	
 
    	
Note,   and will further indicate (i) the new Stated Maturity; (ii) the   interest rate or Spread or Spread Multiplier, as the case may be, applicable   to the extension period; and (iii) the provisions, if any, for   redemption of such Book-Entry Note during such extension period, including   the date or dates on which or the period or periods during which such   redemption may occur during such extension period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to DTC regarding Company’s Exercise of Optional Extension or Reset.  Upon receipt of notice from the Company   regarding the Company’s exercise of either an optional extension of maturity   or an optional reset, the Trustee for the Book-Entry Note will hand-deliver a   notice to DTC not less than 40 days before the Optional Reset Date (in which   case a “Reset Notice”) or the Stated Maturity (in which case an “Extension   Notice”), as the case may be, which Reset Notice or Extension Notice   shall identify such Book-Entry Note by CUSIP number and shall contain the   information required by the terms of the Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Company regarding Option to be Repaid.  If, after receipt of either a Reset Notice   or an Extension Notice, DTC exercises the option for repayment by tendering   the Global Security representing the Book-Entry Note to be repaid as set   forth in such Note, the Trustee for such Book-Entry Note shall give notice to   the Company not less than 22 days before the Optional Reset Date or the old   Stated Maturity, as the case may be, of the principal amount of Book-Entry   Notes to be repaid on such Optional Reset Date or old Stated Maturity, as the   case may be.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Company   Notice regarding New Interest Rate or New Spread or Spread Multiplier.  If the Company elects to revoke the interest   rate or Spread or Spread Multiplier provided for in the Reset Notice and   establish a higher interest rate or Spread or Spread Multiplier for an   Optional Reset Period or extension period, as the case may be, it shall, not   less than 20 days before such Optional Reset Date or old Stated Maturity, so   notify the Trustee for the affected Book-Entry Note.  Such Trustee will immediately thereafter   notify DTC of the new interest rate or Spread or Spread Multiplier applicable   to such Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Company regarding DTC Revocation of Option to be Repaid.  If, after DTC has tendered any Book-Entry   Notes for repayment pursuant to an Extension Notice or an Optional Reset   Notice, DTC then revokes such tender for repayment, the Trustee for such   Book-Entry Notes shall give notice to the Company not less than five days   prior to the Stated Maturity or Optional Reset Date, as the case may be, of   such revocation and of the principal amount of 
    


 

A-10











 

	
 
    	
 
    	
Book-Entry   Notes for which tender for repayment has been revoked. 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Deposit   of Repayment Price.  On or   before any old Stated Maturity where the Maturity has been extended, and on   or before any Optional Reset Date, the Company shall deposit with the   applicable Trustee an amount of money sufficient to pay the principal amount,   plus interest accrued to such old Stated Maturity or Optional Reset Date, as   the case may be, for all the Book-Entry Notes or portions thereof for which   such Trustee serves as Trustee and which are to be repaid on such old Stated   Maturity or Optional Reset Date, as the case may be.  Such Trustee will use such money to repay   such Book-Entry Notes pursuant to the terms set forth in such Notes.
    
	
 
    	
 
    	
 
    
	
Procedures   upon Company Notice to Trustee regarding Company’s Exercise of Optional   Redemption:
    	
 
    	
Company   Notice to Trustee regarding Company’s Exercise of Optional Redemption.  At least 45 days prior to the date on which   it intends to redeem a Book-Entry Note, the Company will notify the Trustee   for such Book-Entry Note that it is exercising such option with respect to   such Book-Entry Note on such date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to DTC regarding Company’s Exercise of Optional Redemption.  After receipt of notice that the Company is   exercising its option to redeem a Book-Entry Note, the Trustee for such   Book-Entry Note will, at least 30 days before the redemption date for such   Book-Entry Note, hand deliver to DTC a notice identifying such Book-Entry   Note by CUSIP number and informing DTC of the Company’s exercise of such   option with respect to such Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Deposit   of Redemption Price.  On   or before any redemption date, the Company shall deposit with the applicable   Trustee an amount of money sufficient to pay the redemption price, plus   interest accrued to such redemption date, for all the Book-Entry Notes or   portions thereof for which such Trustee serves as Trustee and which are to be   repaid on such redemption date.  Such   Trustee will use such money to repay such Book-Entry Notes pursuant to the   terms set forth in such Notes.
    
	
 
    	
 
    	
 
    
	
Payments   of Principal and Interest Upon Exercise of Optional Repayment (Except   Pursuant to Company’s Exercise of Optional Reset or Optional Extension):
    	
 
    	
Trustee   Notice to Company of Option to be Repaid.  Upon receipt of notice of exercise of the   option for repayment and the Global Securities representing the Book-Entry   Notes so to be repaid as set forth in such Notes, the Trustee for such   Book-Entry Notes shall (unless such notice was received pursuant to the   Company’s exercise of an optional reset or an optional extension of maturity,   in each of which cases the relevant procedures set forth above are to be   followed) give notice to the Company not less than 20 days prior to each   Optional Repayment Date of such Optional Repayment Date and of the principal   amount of Book-Entry Notes to be repaid on such 
    


 

A-11











 

	
 
    	
 
    	
Optional   Repayment Date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Deposit   of Repayment Price.  On or   prior to any Optional Repayment Date, the Company shall deposit with the   applicable Trustee an amount of money sufficient to pay the optional   repayment price, and accrued interest thereon to such date, of all the   Book-Entry Notes or portions thereof which are to be repaid on such date.  Such Trustee will use such money to repay   such Book-Entry Notes pursuant to the terms set forth in such Notes.
    
	
 
    	
 
    	
 
    
	
Procedure   for Rate Setting and Posting:
    	
 
    	
The   Company and the Agent will discuss from time to time the aggregate principal   amount of, the issuance price of, and the interest rates to be borne by,   Book-Entry Notes that may be sold as a result of the solicitation of orders   by the Agent.  If the Company decides   to set prices of, and rates borne by, any Book-Entry Notes in respect of   which the Agent is to solicit orders (the setting of such prices and rates to   be referred to herein as “posting”) or if the Company decides to   change prices or rates previously posted by it, it will promptly advise the   Agent of the prices and rates to be posted.
    
	
 
    	
 
    	
 
    
	
Acceptance   and Rejection of Orders:
    	
 
    	
Unless   otherwise instructed by the Company, the Agent will advise the Company   promptly by telephone or other means of electronic communication of all   orders to purchase Book-Entry Notes received by the Agent, other than those   rejected by it in whole or in part in the reasonable exercise of its   discretion.  Unless otherwise agreed by   the Company and the Agent, the Company has the right to accept orders to   purchase Book-Entry Notes and may reject any such orders in whole or in part.
    
	
 
    	
 
    	
 
    
	
Preparation   of Pricing Supplement:
    	
 
    	
If   any order to purchase a Book-Entry Note is accepted by or on behalf of the   Company, the Company will prepare a pricing supplement (a “Pricing   Supplement”) reflecting the terms of such Book-Entry Note, will file such   Pricing Supplement with the Commission in accordance with the applicable   paragraph of Rule 424(b) under the Securities Act, will deliver   such number of copies thereof to the Agent as the Agent shall request.   If required, the Agent will file such   Pricing Supplement with the Financial Industry Regulatory Authority, Inc.   (“FINRA”) and cause a Prospectus and such Pricing Supplement to be delivered   to the purchaser of such Book-Entry Note or otherwise will comply with the   requirements of Rule 173(a) under the Securities Act.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Outdated   Pricing Supplements and the Prospectuses to which they are attached (other   than those retained for files) will be destroyed.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Copies   of the appropriate number of Pricing Supplements shall be delivered to the   Agent at the following address by 11:00 A.M. (New 
    


 

A-12











 

	
 
    	
 
    	
York   City time) on the Business Day following the acceptance of an offer by or on   behalf of the Company: to Citigroup Global Markets Inc., Prospectus   Department, Brooklyn Army Terminal, 140 58th Street, 8th Floor, Brooklyn, N.Y. 11220, with a copy to   Citigroup Global Markets Inc., 388 Greenwich Street, New York, New York   10013, Attention: MTN Program Manager.
    
	
 
    	
 
    	
 
    
	
Suspension   of Solicitation; Amendment or Supplement:
    	
 
    	
Subject   to the representations, warranties and covenants of the Company and the   Guarantor contained in the Agency Agreement, the Company may instruct the   Agent to suspend at any time, for any period of time or permanently, the   solicitation of orders to purchase Book-Entry Notes.  Upon receipt of such instructions, the   Agent will forthwith suspend solicitation until such time as the Company has   advised it that such solicitation may be resumed.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
In   the event that at the time the Company suspends solicitation of purchases   there shall be any orders outstanding for settlement, the Company will   promptly advise the Agent, the Trustees and the DTC Agents whether such   orders may be settled and whether copies of the Prospectus as in effect at   the time of the suspension, together with the appropriate Pricing Supplement   (or the notice provided for in Rule 173(a) under the Securities   Act, if applicable), may be delivered in connection with the settlement of   such orders.  The Company will have the   sole responsibility for such decision and for any arrangements that may be   made in the event that the Company determines that such orders may not be   settled or that copies of such Prospectus (or the notice provided for in Rule 173(a) under   the Securities Act, if applicable) may not be so delivered.
    
	
 
    	
 
    	
 
    
	
Delivery   of Prospectus:
    	
 
    	
A   copy of the Prospectus and a Pricing Supplement relating to a Book-Entry Note   must accompany or precede the earliest of any written offer of such   Book-Entry Note, confirmation of the purchase of such Book-Entry Note and   payment for such Book-Entry Note by its purchaser.  If notice of a change in the terms of the   Book-Entry Notes is received by the Agent between the time an order for a   Book-Entry Note is placed and the time written confirmation thereof is sent   by the Agent to a customer or his agent, such confirmation shall be   accompanied by a Prospectus and Pricing Supplement setting forth the terms in   effect when the order was placed.  Unless   the Agents comply with the requirements of Rule 173(a) under the   Securities Act, the Agent will deliver a Prospectus and Pricing Supplement as   herein described with respect to each Book-Entry Note sold by it.  Unless the Agents comply with the   requirements of Rule 173(a) under the Securities Act, the Company   will make such delivery if such Book-Entry Note is sold directly by the   Company to a purchaser (other than the Agent).
    


 

A-13




 






 

	
Confirmation:
    	
 
    	
For   each order to purchase a Book-Entry Note solicited by the Agent and accepted   by or on behalf of the Company, the Agent will issue a confirmation, which   confirmation may be delivered by facsimile or other electronic transmission,   to the purchaser, with a copy to the Company, setting forth the details set   forth above and delivery and payment instructions.
    
	
 
    	
 
    	
 
    
	
Settlement:
    	
 
    	
The   receipt by the Company of immediately available funds in payment for a   Book-Entry Note and the authentication and issuance of the Global Security   representing such Book-Entry Note shall constitute “settlement” with   respect to such Book-Entry Note, and the date of such settlement, the “Settlement   Date”.  All orders accepted by the   Company will be settled on the third Business Day next succeeding the date of   acceptance pursuant to the timetable for settlement set forth below unless   the Company and the purchaser agree to settlement on another day which shall   be no earlier than the Business Day succeeding the date of sale.  In all cases, the Company will notify the   Trustee and the DTC Agent on the date issuance instructions are given.
    
	
 
    	
 
    	
 
    
	
Settlement   Procedures:
    	
 
    	
Settlement   Procedures with regard to each Book-Entry Note sold by the Company to or   through the Agent, except pursuant to a Terms Agreement, shall be as follows:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
A.                                   The Agent   will advise the Company by telephone (or by facsimile or other acceptable   written means) that such Note is a Book-Entry Note and of the following   settlement information:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Principal or face amount.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Series.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Stated Maturity.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
In the case of a Fixed Rate Book-Entry Note, the interest rate and   reset, redemption, repayment and extension provisions (if any) or, in the   case of a Floating Rate Book-Entry Note, the Base Rate, Initial Interest   Rate (if known at such time) Interest Reset Period, Interest Reset   Dates, Index Maturity, Spread and/or Spread Multiplier (if any), Minimum   Interest Rate (if any), Maximum Interest Rate (if any) and reset, redemption,   repayment and extension provisions (if any).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Interest Payment Dates and   the Interest Payment Period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Amortization provisions,   if any.
    


 

A-14











 

	
 
    	
 
    	
Settlement date and Issue   Date, if different.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Specified currency.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Denominated currency, Indexed Currency, Base Exchange Rate, and   the Determination Date, if applicable.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Price.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Agent’s commission,   determined as provided in the Agency Agreement.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Whether, in the case of   Series D Notes, the Notes will have a Survivor’s Option.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Whether such Book-Entry Note is an OID Note and, if so, the total   amount of OID, the yield to maturity and the initial accrual period OID.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Any other terms necessary   to describe the Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
B.                                     The Company   will advise the relevant DTC Agent by telephone (confirmed in writing at any   time on the same date), written telecommunication or electronic transmission   of the information set forth in Settlement Procedure “A” above.  Each such communication by the Company   shall constitute a representation and warranty by the Company to the DTC   Agent for such Note, the Trustee for such Note and the Agent that   (i) such Note is then, and at the time of issuance and sale thereof will   be, duly authorized for issuance and sale by the Company and (ii) such   Note, and the Global Security representing such Note, will conform with the   terms of the Indenture for such Note.    The DTC Agent will then assign a CUSIP number to the Global Security   representing such Book-Entry Note and notify the Agent and the Company by   telephone (confirmed in writing at any time on the same date), written   telecommunication or electronic transmission of such CUSIP number as soon as   practicable.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
C.                                     Such DTC   Agent will enter a pending deposit message through DTC’s Participant Terminal   System providing the following settlement information to DTC, Standard &   Poor’s Ratings Services, Interactive Data Corporation, the Agent and,   upon request, the Trustee for such Notes:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The information set forth   in Settlement Procedure “A”.
    


 

A-15











 

	
 
    	
 
    	
Identification as a Fixed   Rate Book-Entry Note or a Floating Rate Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The Initial Interest Payment Date for such Book-Entry Note, number of   days by which such date succeeds the related Regular Record Date and amount   of interest payable on such Interest Payment Date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The Interest Payment   Period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The CUSIP number of the   Global Security representing such Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The participant account numbers maintained by DTC on behalf of such   Trustee and such Agent.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Whether such Global Security will represent any other Book-Entry Note   (to the extent known at such time).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
D.                                    To the extent   the Company has not already done so, the Company will deliver to the Trustee   for such Notes a Global Security in a form that has been approved by the   Company, the Agent and such Trustee.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
E.                                      Such Trustee   will complete such Book-Entry Note, stamp the appropriate legend, as instructed   by DTC, if not already set forth thereon, and authenticate the Global   Security representing such Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
F.                                      DTC will   credit such Book-Entry Note to such DTC Agent’s participant account at DTC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
G.                                     Such DTC   Agent will enter an SDFS deliver order through DTC’s Participant Terminal   System instructing DTC to (i) debit such Book-Entry Note to such DTC   Agent’s participant account and credit such Book-Entry Note to the Agent’s   participant account and (ii) debit the Agent’s settlement account and   credit such DTC Agent’s settlement account for an amount equal to the price   of such Book-Entry Note less the Agent’s commission.  The entry of such a deliver order shall   constitute a representation and warranty by such DTC Agent to DTC that (i) the   Global Security representing such Book-Entry Note has been issued and   authenticated and (ii) such DTC Agent is holding such Global Security   pursuant to the Medium Term Note Certificate Agreement between such DTC Agent   and DTC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
H.                                    Unless the   Agent is purchasing such Note as principal, the Agent will enter an SDFS   deliver order through DTC’s
    


 

A-16











 

	
 
    	
 
    	
Participant Terminal   System instructing DTC (i) to debit such Book-Entry Note to the Agent’s   participant account and credit such Book-Entry Note to the participant   accounts of the Participants with respect to such Book-Entry Note and   (ii) to debit the settlement accounts of such Participants and credit   the settlement account of the Agent for an amount equal to the price of such   Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
I.                                         Transfers of   funds in accordance with SDFS deliver orders described in Settlement   Procedures “G” and “H” will be settled in accordance with SDFS operating   procedures in effect on the settlement date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
J.                                        Such DTC   Agent will, upon receipt of funds from the Agent in accordance with   Settlement Procedure “G”, credit to an account of the Company maintained at   such DTC Agent funds available for immediate use in the amount transferred to   such DTC Agent in accordance with Settlement Procedure “G”.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
K.                                    Unless the   Agent is purchasing such Book-Entry Note as principal, the Agent will confirm   the purchase of such Book-Entry Note to the purchaser either by transmitting   to the Participants with respect to such Book-Entry Note a confirmation order   or orders through DTC’s institutional delivery system or by mailing a written   confirmation to such purchaser.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
L.                                      Monthly, each   DTC Agent will send to the Company a statement setting forth the principal   amount of Registered Notes Outstanding as of the date of such statement and   setting forth a brief description of any sales of which the Company has   advised such DTC Agent but which have not yet been settled.
    
	
 
    	
 
    	
 
    
	
Settlement   Procedures Timetable:
    	
 
    	
For   sales by the Company of Book-Entry Notes solicited by the Agent and accepted   by the Company (except pursuant to a Terms Agreement) for settlement on the   first Business Day after the sale date, Settlement Procedures “A” through “K”   set forth above shall be completed as soon as possible but not later than the   respective times (New York City time) set forth below:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Settlement
   Procedure
    	
 
    	
Time
    	
 
    
	
 
    	
 
    	
 
    	
A
    	
 
    	
11:00 A.M.   on the sale date
    	
 
    
	
 
    	
 
    	
 
    	
B
    	
 
    	
12:00   Noon on the sale date
    	
 
    
	
 
    	
 
    	
 
    	
C
    	
 
    	
2:00 P.M.   on the sale date
    	
 
    


 

A-17











 

	
 
    	
 
    	
 
    	
D
    	
 
    	
3:00 P.M.   on the day before settlement
    	
 
    
	
 
    	
 
    	
 
    	
E
    	
 
    	
9:00 A.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
F
    	
 
    	
10:00 A.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
G-H
    	
 
    	
2:00 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
I
    	
 
    	
4:45 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
J-K
    	
 
    	
5:00 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
If   a sale is to be settled more than one Business Day after the sale date,   Settlement Procedures “A”, “B” and “C” shall be completed as soon as   practicable but no later than 11:00 A.M., 12:00 Noon and 2:00 P.M.,   respectively, on the first Business Day after the sale date.  If the Initial Interest Rate for a Floating   Rate Book-Entry Note has not been determined at the time that Settlement   Procedure “A” is completed, Settlement Procedures “B” and “C” shall be   completed as soon as such rate has been determined but no later than 12:00   Noon and 2:00 P.M., respectively, on the Business Day before the   settlement date.  Settlement Procedure   “I” is subject to extension in accordance with any extension of Fedwire   closing deadlines and in the other events specified in SDFS operating   procedures in effect on the settlement date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
If   settlement of a Book-Entry Note is rescheduled or canceled, the DTC Agent for   such Book-Entry Note, after receiving notice from the Company or the Agent,   will deliver to DTC, through DTC’s Participant Terminal System, a   cancellation message to such effect by no later than 2:00 P.M. on the   Business Day immediately preceding the scheduled settlement date.
    
	
 
    	
 
    	
 
    
	
Failure   to Settle:
    	
 
    	
If   settlement of a Book-Entry Note is rescheduled and the DTC Agent for such   Book-Entry Note has not entered an SDFS deliver order with respect to a   Book-Entry Note pursuant to Settlement Procedure “G”, after receiving notice   from the Company or the Agent, such DTC Agent shall deliver to DTC, through   DTC’s Participant Terminal System, as soon as practicable, a withdrawal   message instructing DTC to debit such Book-Entry Note to such DTC Agent’s   participant account.  DTC will process   the withdrawal message, provided that such DTC Agent’s participant account   contains a principal amount of the Global Security representing such   Book-Entry Note that is at least equal to the principal amount to be   debited.  If a withdrawal message is   processed with respect to all the Book-Entry Notes represented by a Global   Security, the Trustee for the Notes represented by such Global Security will   mark such Global Security “canceled”, make appropriate entries in its records   and destroy such canceled Global Security in accordance with the applicable   Indenture and deliver a certificate of destruction to the Company.  The CUSIP number assigned to such Global   Security shall, in accordance with CUSIP Service Bureau procedures, be 
    


 

A-18











 

	
 
    	
 
    	
canceled   and not immediately reassigned.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
If   a withdrawal message is processed with respect to one or more, but not all,   of the Book-Entry Notes represented by a Global Security, the DTC Agent for   such Book-Entry Notes will exchange such Global Security for two Global   Securities, one of which shall represent such Book-Entry Notes and shall be   canceled immediately after issuance and the other of which shall represent   the other Book-Entry Notes previously represented by the surrendered Global   Security and shall bear the CUSIP number of the surrendered Global Security.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
If   the purchase price for any Book-Entry Note is not timely paid to the   Participants with respect to such Book-Entry Note by the beneficial purchaser   thereof (or a Person, including an indirect participant in DTC, acting on   behalf of such purchaser), such Participants and, in turn, the Presenting   Agent may enter SDFS deliver orders through DTC’s Participant Terminal System   reversing the orders entered pursuant to Settlement Procedures “H” and “G”,   respectively.  Thereafter, the DTC   Agent for such Book-Entry Note will deliver the withdrawal message and take   the related actions described in the preceding paragraph.  If such failure shall have occurred for any   reason other than a default by the Agent in the performance of its   obligations hereunder and under the Agency Agreement, then the Company will   reimburse the Agent for the loss of the use of the funds during the period   when they were credited to the account of the Company.  Notwithstanding the foregoing, upon any failure   to settle with respect to a Book-Entry Note, DTC may take any actions in   accordance with its SDFS operating procedures then in effect.  In the event of a failure to settle with   respect to one or more, but not all, of the Book-Entry Notes to have been   represented by a Global Security, the DTC Agent for such Book-Entry Note or   Notes will provide, in accordance with Settlement Procedures “E” and “G”, for   the authentication and issuance of a Global Security representing the other   Book-Entry Notes to have been represented by such Global Security and will   make appropriate entries in its records.
    
	
 
    	
 
    	
 
    
	
Trustees   Not to Risk Funds:
    	
 
    	
Nothing   herein shall be deemed to require either Trustee to risk or expend its own   funds in connection with any payment to the Company, DTC, the Agent or the   purchaser, it being understood by all parties that payments made by either   Trustee to the Company, DTC, the Agent or the purchaser shall be made only to   the extent that funds are provided to such Trustee for such purpose.
    
	
 
    	
 
    	
 
    
	
Authenticity   of Signatures:
    	
 
    	
The   Company will cause each of the Trustees to furnish the Agent from time to   time with the specimen signatures of each of such Trustee’s officers,   employees or agents who has been authorized by 
    


 

A-19











 

	
 
    	
 
    	
such   Trustee to authenticate Book-Entry Notes, but the Agent will not have any   obligation or liability to the Company or the Trustee in respect of the   authenticity of the signature of any officer, employee or agent of the   Company or such Trustee on any Book-Entry Note.
    
	
 
    	
 
    	
 
    
	
Payment   of Expenses:
    	
 
    	
The   Agent shall forward to the Company, on a monthly basis, a statement of the   out-of-pocket expenses incurred by such Agent during that month that are   reimbursable to it pursuant to the terms of the Agency Agreement.  The Company will remit payment to the Agent   currently on a monthly basis.
    
	
 
    	
 
    	
 
    
	
Advertising   Costs:
    	
 
    	
The   Company will determine with the Agents the amount of advertising that may be   appropriate in soliciting offers to purchase the Book-Entry Notes.  Advertising expenses will be paid by the   Company.
    


 

PART II

 

Administrative Procedures for Certificated Notes

 

Each Trustee will serve as registrar and transfer agent in connection with the Certificated Notes for which it serves as Trustee.

 

	
Issuance:
    	
 
    	
Each   Certificated Note will be dated and issued as of the date of its   authentication by the applicable Trustee.    Each Certificated Note will bear an Original Issue Date, which will be   (i) with respect to an original Certificated Note (or any portion   thereof), its original issuance date (which will be the settlement date) and   (ii) with respect to any Certificated Note (or portion thereof) issued   subsequently upon transfer or exchange of a Certificated Note or in lieu of a   destroyed, lost or stolen Certificated Note, the Original Issue Date of the   predecessor Certificated Note, regardless of the date of authentication of   such subsequently issued Certificated Note.
    
	
 
    	
 
    	
 
    
	
Registration:
    	
 
    	
Certificated   Notes will be issued only in fully registered form without coupons.
    
	
 
    	
 
    	
 
    
	
Maturities:
    	
 
    	
Each   Certificated Note will mature on a date nine months or more after the issue   date for such Note, except in the case of indexed Notes, for which the   maturity may be shorter.  A Floating   Rate Certificated Note will mature only on an Interest Payment Date for such   Note.  Any Note denominated in Japanese   yen will mature on a date not less than one year from the Original Issue Date   (as defined below) for such Note.  Any   Note denominated in Pounds Sterling will mature on a date not less than one   year, nor more than five years, after its Original Date.
    


 

A-20









 

	
Currency:
    	
 
    	
The   Specified Currency for a Certificated Note shall be as set forth therein and   in the applicable Pricing Supplement.
    
	
 
    	
 
    	
 
    
	
Denominations:
    	
 
    	
Unless   otherwise agreed to by the Company, the denomination of any Certificated Note   denominated in U.S. dollars will be a minimum of $1,000 or any amount in   excess thereof that is an integral multiple of $1,000.  The authorized denominations of   Certificated Notes denominated in a Specified Currency other than U.S. dollars   shall be determined as set forth in the applicable Pricing Supplement.
    
	
 
    	
 
    	
 
    
	
Interest:
    	
 
    	
General.  Unless otherwise indicated in the   applicable Pricing Supplement, interest, if any, on each Certificated Note   will accrue from the Original Issue Date (or such other date on which   interest otherwise begins to accrue (if different from the Original Issue   Date)) of such Note for the first interest period or the last date to which   interest has been paid, if any, for each subsequent interest period, on such   Note, and will be calculated and paid in the manner and on the dates   described in such Note and in the Prospectus, as supplemented by the   applicable Pricing Supplement.  Unless   otherwise specified therein, each payment of interest on a Certificated Note   will include interest accrued to but excluding the Interest Payment Date   (provided that, in the case of Certificated Notes which reset daily or   weekly, interest payments will include accrued interest to and including the   next preceding Regular Record Date), except that at stated Maturity, the   interest payable will include interest accrued to, but excluding, the stated   Maturity (other than a Maturity of a Fixed Rate Certificated Note occurring   on the 31st day of a month, in which case such payment of interest will   include interest accrued to but excluding the 30th day of such month or the   last day of the month in the case of February).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Regular   Record Dates.  Unless   otherwise specified in the applicable Pricing Supplement, the Regular Record   Dates with respect to any Interest Payment Date for a Fixed Rate Note,   Floating Rate Note or Indexed Rate Note shall be the date (whether or not a   Business Day) fifteen calendar days immediately preceding such Interest   Payment Date.
    
	
 
    	
 
    	
 
    
	
Payments   of Interest:
    	
 
    	
The   applicable Trustee will pay the principal amount of each Certificated Note at   Maturity or upon redemption upon presentation and surrender of such   Note.  Such payment, together with   payment of interest due at Maturity or upon redemption of such Note, will be   made in funds available for immediate use by such Trustee or paying agent and   in turn by the holder of such Note.    Certificated Notes presented to such Trustee or paying agent at   Maturity or upon redemption for payment will be canceled and destroyed by   such Trustee or paying agent, and a certificate of destruction will be 
    


 

A-21











 

	
 
    	
 
    	
delivered   to the Company.  All interest payments   on a Certificated Note (other than interest due at Maturity or upon   redemption) will be made by check drawn on such Trustee and mailed by such   Trustee to the person entitled thereto as provided in such Note and the   Indenture; provided, however, that the holder of   U.S.$10,000,000 or more of Notes having the same Interest Payment Dates will,   upon written request prior to the Regular Record Date in respect of an   Interest Payment Date, be entitled to receive payment by wire transfer of   immediately available funds.  Following   each Regular Record Date, such Trustee or paying agent will furnish the   Company with a list of interest payments to be made on the following Interest   Payment Date for each Certificated Note and in total for all Certificated   Notes.  Interest at Maturity or upon   redemption will be payable to the person to whom the payment of principal is   payable.  Such Trustee or paying agent   will provide monthly to the Company lists of principal and interest, to the   extent ascertainable, to be paid on Certificated Notes maturing or to be   redeemed in the next month.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Withholding   Taxes.  The amount of any taxes   required under applicable law to be withheld from any interest payment on a   Certificated Note will be determined and withheld by the applicable Trustee.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The   Company will be responsible for withholding taxes on interest paid on   Certificated Notes as required by applicable law.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
If   any interest Payment Date for or the Maturity of a Certificated Note is not a   Business Day, the payment due on such day shall be made on the next   succeeding Business Day and no interest shall accrue on account of such   delayed payment.
    
	
 
    	
 
    	
 
    
	
Procedure   for Rate Setting and Posting:
    	
 
    	
The   Company and the Agent will discuss from time to time the aggregate principal   amount of, the issuance price of, and the interest rates to be borne by,   Notes that may be sold as a result of the solicitation of orders by the   Agent.  If the Company decides to set   prices of, and rates borne by, any Notes in respect of which the Agent is to   solicit orders (the setting of such prices and rates to be referred to herein   as “posting”) or if the Company decides to change prices or rates   previously posted by it, it will promptly advise the Agent of the prices and   rates to be posted.
    
	
 
    	
 
    	
 
    
	
Acceptance   and Rejection of Orders:
    	
 
    	
Unless   otherwise instructed by the Company, the Agent will advise the Company   promptly by telephone or other means of electronic communication of all   orders to purchase Certificated Notes received by the Agent, other than those   rejected by it in whole or in part in the reasonable exercise of its   discretion.  Unless otherwise agreed by   the Company and the Agent, the Company has the sole right to accept orders to   purchase Certificated Notes and may reject any such orders in whole or in   part.  Before accepting any order to   purchase a 
    


 

A-22











 

	
 
    	
 
    	
Certificated   Note to be settled in less than three Business Days, the Company shall verify   that the Trustee for such Certificated Note will have adequate time to   prepare and authenticate such Note.
    
	
 
    	
 
    	
 
    
	
Preparation   of Pricing Supplement:
    	
 
    	
If   any order to purchase a Certificated Note is accepted by or on behalf of the   Company, the Company will prepare a Pricing Supplement reflecting the terms   of such Certificated Note, will file such Pricing Supplement with the   Commission in accordance with the applicable paragraph of Rule 424(b) under   the Securities Act, will deliver such number of copies thereof to the Agent   as the Agent shall request.  If   required, the Agent will file the Pricing Supplement with the FINRA and will   cause a Prospectus and Pricing Supplement to be delivered to the purchaser of   such Certificated Note or otherwise will comply with the requirements of   Rule 173(a) under the Securities Act.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Copies   of the appropriate number of Pricing Supplements shall be delivered to the   Agent at the following addresses by 11:00 A.M. (New York City time) on   the Business Day following the acceptance of an offer by or on behalf of the   Company: to Citigroup Global Markets Inc., Prospectus Department, Brooklyn   Army Terminal, 140 58th Street, 8th Floor, Brooklyn, N.Y. 11220, with a copy to   Citigroup Global Markets Inc., 388 Greenwich Street, New York, New York   10013, attention: MTN Program Manager.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Outdated   Pricing Supplements and the Prospectuses to which they are attached (other   than those retained for files) will be destroyed.
    
	
 
    	
 
    	
 
    
	
Suspension   of Solicitation; Amendment or Supplement:
    	
 
    	
Subject   to the representations, warranties and covenants of the Company and the   Guarantor contained in the Agency Agreement, the Company may instruct the   Agent to suspend at any time for any period of time or permanently, the   solicitation of orders to purchase Certificated Notes.  Upon receipt of such instructions, the   Agent will forthwith suspend solicitation until such time as the Company has   advised them that such solicitation may be resumed.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
In   the event that at the time the Company suspends solicitation of purchases   there shall be any orders outstanding for settlement, the Company will   promptly advise the Agent and the Trustee for such Certificated Notes whether   such orders may be settled and whether copies of the Prospectus as in effect   at the time of the suspension, together with the appropriate Pricing   Supplement (or the notice provided for in Rule 173(a) under the   Securities Act, if applicable), may be delivered in connection with the   settlement of such orders.  The Company   will have the sole responsibility for such decision and for any arrangements   that may be made in the event that the Company determines that such orders   may not be settled or that 
    


 

A-23











 

	
 
    	
 
    	
copies   of such Prospectus (or the notice provided for in Rule 173(a) under   the Securities Act, if applicable) may not be so delivered.
    
	
 
    	
 
    	
 
    
	
Delivery   of Prospectus:
    	
 
    	
A   copy of the Prospectus and a Pricing Supplement relating to a Certificated   Note must accompany or precede the earliest of any written offer of such   Certificated Note, confirmation of the purchase of such Certificated Note and   payment for such Certificated Note by its purchaser.  If notice of a change in the terms of the   Certificated Notes is received by the Agent between the time an order for a   Certificated Note is placed and the time written confirmation thereof is sent   by the Agent to a customer or his agent, such confirmation shall be   accompanied by a Prospectus and Pricing Supplement setting forth the terms in   effect when the order was placed.    Unless the Agents comply with the requirements of   Rule 173(a) under the Securities Act, the Agent will deliver a Prospectus   and Pricing Supplement as herein described with respect to each Certificated   Note sold by it.  Unless the Agents   comply with the requirements of Rule 173(a) under the Securities   Act, the Company will make such delivery if such Certificated Note is sold   directly by the Company to a purchaser (other than the Agent).
    
	
 
    	
 
    	
 
    
	
Confirmation:
    	
 
    	
For   each order to purchase a Certificated Note solicited by the Agent and   accepted by or on behalf of the Company, the Agent will issue a confirmation,   which confirmation may be delivered by facsimile or other electronic   transmission, to the purchaser, with a copy to the Company, setting forth the   details set forth above and delivery and payment instructions.
    
	
 
    	
 
    	
 
    
	
Settlement:
    	
 
    	
The   receipt by the Company of immediately available funds in exchange for an   authenticated Certificated Note delivered to the Agent and the Agent’s   delivery of such Certificated Note against receipt of immediately available   funds shall, with respect to such Certificated Note, constitute “settlement”.  All orders accepted by the Company will be   settled on the fifth Business Day next succeeding the date of acceptance   pursuant to the timetable for settlement set forth below, unless the Company   and the purchaser agree to settlement on another day which shall be no   earlier than the next Business Day following the date of sale.  In all cases, the Company will notify the   Trustee and the DTC Agent on the date issuance instructions are given.
    
	
 
    	
 
    	
 
    
	
Settlement   Procedures:
    	
 
    	
Settlement   Procedures with regard to each Certificated Note sold by the Company to or   through the Agent, as agent (except pursuant to a Terms Agreement), shall be   as follows:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
A.                                   The Agent   will advise the Company by telephone or by facsimile transmission or other   acceptable written means) that 
    


 

A-24











 

	
 
    	
 
    	
such Note is a   Certificated Note and of the following settlement information, in time for   the Trustee for such Certificated Note to prepare and authenticate the   required Note:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name in which such   Certificated Note is to be registered (“Registered Owner”).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address of the Registered   Owner and address for payment of principal and interest.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Taxpayer identification   number of the Registered Owner (if available).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Principal or face amount.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Series.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Stated Maturity.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
In the case of a Fixed Rate Certificated Note, the Interest Rate and   reset provisions (if any) or, in the case of a Floating Rate Certificated   Note, the Base Rate, Initial Interest Rate (if known at such   time), Interest Reset Period, Interest Reset Dates, Index   Maturity, Spread and/or Spread Multiplier (if any), Minimum Interest Rate (if   any), Maximum Interest Rate (if any) and reset provisions (if any).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Interest Payment Dates and   the Interest Payment Period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Specified Currency.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Denominated Currency, Indexed Currency, Base Exchange Rate and   the Determination Date, if applicable.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Redemption, repayment,   amortization or extension provisions, if any.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Settlement date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Price (including   currency).
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Agent’s commission, if   any, determined as provided in the Agency Agreement.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Whether such Certificated Note an OID Note, and, if so, the total   amount of OID and the yield to maturity.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Any other terms necessary   to describe the Certificated Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
B.                                     The Company   will advise the relevant Trustee by telephone, (confirmed in writing at any   time on the sale date) written 
    


 

A-25











 

	
 
    	
 
    	
telecommunication or   electronic transmission of the information set forth in Settlement Procedure   “A” above and the name of the Presenting Agent.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
C.                                     The Company   will deliver to the relevant Trustee a pre-printed four-ply packet for such   Certificated Note, which packet will contain the following documents in forms   that have been approved by Company, the Agents and the Trustee:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Certificated Note with   customer confirmation.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Stub One 3⁄4 For Trustee.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Stub Two 3⁄4 For Agent.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Stub Three 3⁄4 For the   Company.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
D.                                    The relevant   Trustee will complete such Certificated Note and will authenticate such   Certificated Note and deliver it (with the confirmation) and Stubs One and   Two to the Agent, and the Agent will acknowledge receipt of the Note by   stamping or otherwise marking Stub One and returning it to such Trustee.  Such delivery will be made only against   such acknowledgment of receipt and evidence that instructions have been given   by the Agent for payment to such account as the Company shall have specified   in funds available for immediate use, of an amount equal to the price of such   Certificated Note less the Agent’s commission.  In the event that the instructions given by   the Agent for payment to the account of the Company are revoked, the Company   will as promptly as possible wire transfer to the account of the Agent an   amount of immediately available funds equal to the amount of such payment   made.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
E.                                      Unless the   Agent purchased the Note as Principal, the Agent will deliver such   Certificated Note (with the confirmation) to the customer against payment in   immediately payable funds.  The Agent   will obtain the acknowledgment of receipt of such Certificated Note by   retaining Stub Two.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
F.                                      The relevant   Trustee will send Stub Three to the Company by first-class mail.
    
	
 
    	
 
    	
 
    
	
Settlement   Procedures Timetable:
    	
 
    	
For   orders of Certificated Notes solicited by the Agent, as agent, and accepted   by the Company, Settlement Procedures “A” through “F” set forth above shall   be completed on or before the respective times 
    


 

A-26











 

	
 
    	
 
    	
 
    
	
 
    	
 
    	
(New   York City time) set forth below:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Settlement
   Procedure
    	
 
    	
Time
    	
 
    
	
 
    	
 
    	
 
    	
A
    	
 
    	
2:00 P.M.   on the day before settlement
    	
 
    
	
 
    	
 
    	
 
    	
B
    	
 
    	
On   the day two Business Days before settlement date.
    	
 
    
	
 
    	
 
    	
 
    	
C
    	
 
    	
2:15 P.M.   two Business Days before settlement
    	
 
    
	
 
    	
 
    	
 
    	
D
    	
 
    	
2:15 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
E
    	
 
    	
3:00 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
F
    	
 
    	
5:00 P.M.   on settlement date
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Procedures   upon Company’s Exercise of Optional Reset or Optional Extension of Maturity:
    	
 
    	
Company   Notice to Trustee regarding Exercise of Optional Reset.  Not less than 45 or more than 60 days   before an Optional Reset Date as set forth in a Certificated Note, the   Company will notify the Trustee for such Certificated Note whether it is   exercising its option to reset the interest rate or Spread or Spread   Multiplier, as the case may be, for such Certificated Note, and if so,   (i) the new interest rate or Spread or Spread Multiplier, as the case   may be, for such Certificated Note during the period from such Optional Reset   Date to the next Optional Reset Date as set forth in such Certificated Note   or, if there is no such next Optional Reset Date, to the Stated Maturity of   such Certificated Note (the “Subsequent Interest Period”); and   (ii) the provisions, if any, for redemption of such Certificated Note during   such Subsequent Interest Period, including the date or dates on which or the   period or periods during which such redemption may occur during such   Subsequent Interest Period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Company   Notice to Trustee regarding Exercise of Optional Extension of Maturity.  If the Company elects to exercise an   option, as set forth in a Certificated Note, to extend the Stated Maturity of   such Note, it will so notify the Trustee for such Certificated Note not less   than 45 or more than 60 days before the Stated Maturity of such Certificated   Note, and will further indicate (i) the new Stated Maturity;   (ii) the interest rate or Spread or Spread Multiplier, as the case may   be, applicable to the extension period; and (iii) the provisions, if   any, for redemption of such Certificated Note during such extension period,   including the date or dates on which or the period or periods during which   such redemption may occur during such extension period.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Holders regarding Company’s Exercise of Optional Extension or Reset.  Upon receipt of notice from the Company   regarding the Company’s exercise of either an optional extension of maturity   or an optional reset, the Trustee for the Certificated Note 
    


 

A-27











 

	
 
    	
 
    	
will   mail a notice, first class, postage prepaid, to the Holder of such   Certificated Note not less than 40 days before the Optional Reset Date (in   which case a “Reset Notice”) or the Stated Maturity (in which case an   “Extension Notice”), as the case may be, which Reset Notice or   Extension Notice shall contain the information required by the terms of the   Certificated Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Company regarding Option to be Repaid.  If, after receipt of either a Reset Notice   or an Extension Notice, any Holder of a Certificated Note exercises the   option for repayment by tendering the Certificated Note to be repaid as set   forth in such Note, the Trustee for such Certificated Note shall give notice   to the Company not less than 22 days before the Optional Reset Date or the   old Stated Maturity, as the case may be, of the principal amount of   Certificated Notes to be repaid on such Optional Reset Date or old Stated   Maturity, as the case may be.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Company   Notice regarding New Interest Rate or New Spread or Spread Multiplier.  If the Company elects to revoke the   interest rate or Spread or Spread Multiplier provided for in the Reset Notice   and establish a higher interest rate or Spread or Spread Multiplier for an   Optional Reset Period or extension period, as the case may be, it shall, not   less than 20 days before such Optional Reset Date or old Stated Maturity, so   notify the Trustee for the affected Certificated Note.  The Trustee will immediately thereafter   notify the Holder of such Certificated Note, by first class mail, postage   prepaid, of the new interest rate or Spread or Spread Multiplier applicable   to such Certificated Note.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Company regarding Holder Revocation of Option to be Repaid.  If, after the Holder of a Certificated Note   has tendered such Note for repayment pursuant to an Extension Notice or an   Optional Reset Notice, such Holder then revokes such tender for repayment,   the Trustee for such Certificated Note shall give notice to the Company not   less than five days prior to the Stated Maturity or Optional Reset Date, as   the case may be, of such revocation and of the principal amount of   Certificated Notes for which tender for repayment has been revoked. 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Deposit   of Repayment Price.  On or   before any old Stated Maturity where the Maturity has been extended, and on   or before any Optional Reset Date, the Company shall deposit with such   Trustee an amount of money sufficient to pay the principal amount, plus   interest accrued to such old Stated Maturity or Optional Reset Date, as the case   may be, for all the Certificated Notes or portions thereof for which such   Trustee serves as Trustee and which are to be repaid on such old Stated   Maturity or Optional Reset Date, as the case may be.  Such 
    


 

A-28











 

	
 
    	
 
    	
Trustee   will use such money to repay such Certificated Notes pursuant to the terms   set forth in such Notes.
    
	
 
    	
 
    	
 
    
	
Procedures   upon Company’s Exercise of Optional Redemption:
    	
 
    	
Company   Notice to Trustee regarding Exercise of Optional Redemption.  At least 45 days prior to the date on which   it intends to redeem a Certificated Note, the Company will notify the Trustee   for such Certificated Note that it is exercising such option with respect to   such Note on such date.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Trustee   Notice to Holders regarding Company’s Exercise of Optional Redemption.  After receipt of notice that the Company is   exercising its option to redeem a Certificated Note, the Trustee for such   Certificated Note will, at least 30 days before the redemption date for such   Certificated Note, mail a notice, first class, postage prepaid, to the Holder   of such Certificated Note, informing such Holder of the Company’s exercise of   such option with respect to such Certificated Note.
    
	
 
    	
 
    	
 
    
	
Payments   of Principal and Interest Upon Exercise of Optional Repayment (Except   Pursuant to Company’s Exercise of Optional Reset or Optional Extension):
    	
 
    	
Trustee   Notice to Company of Option to be Repaid.  Upon receipt of notice of exercise of the   option for repayment and the Certificated Notes to be repaid as set forth in   such Notes, the Trustee for such Certificated Notes shall (unless such notice   was received pursuant to the Company’s exercise of an optional reset or an   optional extension of maturity, in each of which cases the relevant   procedures set forth above shall be followed) give notice to the Company not   less than 20 days prior to each Optional Repayment Date of such Optional   Repayment Date and of the principal amount of Certificated Notes to be repaid   on such Optional Repayment Date.
    
	
 
    	
 
    	
 
    
	
Failure   to Settle:
    	
 
    	
If   a purchaser fails to accept delivery of and make payment for any Certificated   Note, the Agent will notify the Company and the applicable Trustee by   telephone and return such Note to the applicable Trustee.  Upon receipt of such notice, the Company   will immediately wire transfer to the account of the Agent an amount equal to   the amount previously credited thereto in respect of such Note.  Such wire transfer will be made on the   settlement date, if possible, and in any event not later than the Business   Day following the settlement date.  If   the failure shall have occurred for any reason other than a default by the   Agent in the performance of its obligations hereunder and under the Agency   Agreement with the Company, then the Company will reimburse the Agent or the   applicable Trustee, as appropriate, on an equitable basis for its loss of the   use of the funds during the period when they were credited to the account of   the Company.  Immediately upon receipt   of the Certificated Note in respect of which such failure occurred, the   applicable Trustee will mark such Note “canceled”, make appropriate entries   in the 
    


 

A-29











 

	
 
    	
 
    	
applicable   Trustee’s records and send such Note to the Company.
    
	
 
    	
 
    	
 
    
	
Trustees   Not to Risk Funds:
    	
 
    	
Nothing   herein shall be deemed to require either Trustee to risk or expend its own   funds in connection with any payment to the Company, the Agent or the   purchaser, it being understood by all parties that payments made by either   Trustee to the Company, the Agent or the purchaser shall be made only to the   extent that funds are provided to such Trustee for such purpose.
    
	
 
    	
 
    	
 
    
	
Authenticity   of Signatures:
    	
 
    	
The   Company will cause each Trustee to furnish the Agent from time to time with   the specimen signatures of each of such Trustee’s officers, employees or   agents who has been authorized by such Trustee to authenticate Certificated   Notes, but the Agent will not have any obligation or liability to the Company   or a Trustee in respect of the authenticity of the signature of any officer,   employee or agent of the Company or a Trustee on any Certificated Note.
    
	
 
    	
 
    	
 
    
	
Payment   of Expenses:
    	
 
    	
The   Agent shall forward to the Company, on a monthly basis, a statement of the   out-of-pocket expenses incurred by the Agent during that month that are   reimbursable to it pursuant to the terms of the Agency Agreement.  The Company will remit payment to the Agent   currently on a monthly basis.
    
	
 
    	
 
    	
 
    
	
Advertising   Costs:
    	
 
    	
The   Company will determine with the Agent the amount of advertising that may be   appropriate in soliciting orders to purchase the Certificated Notes.  Advertising expenses will be paid by the   Company.
    


 

A-30









 

EXHIBIT B

 

FORM OF TERMS AGREEMENT

 

Citigroup Funding Inc.
 153 E. 53rd Street, 6th Floor
 New York, NY  10043
 Attention:  Assistant Treasurer

 

Subject in all respects to the terms and conditions contained in the Amended & Restated Global Selling Agency Agreement dated August 26, 2011 (the “Global Selling Agency Agreement”), among  Citigroup Funding Inc., Citigroup Inc. and the Agents named therein, the undersigned agrees to purchase the following Notes of Citigroup Funding Inc.:

 

	
Principal   Amount:
    	
 
    
	
Purchaser:
    	
 
    
	
Issue   Price:
    	
 
    
	
Original   Issue Date:
    	
 
    
	
Stated   Maturity:
    	
 
    
	
CUSIP:
    	
 
    


 

Terms of the Notes:  As described in the [Preliminary Pricing Supplement/Offering Summary] dated [          ], 20[    ] attached hereto, as supplemented by and the Final Term Sheet dated the date hereof and attached hereto.

 

[Requirements for delivery, if any, of opinions of counsel, certificates from the Company and the Guarantor or their respective officers or a letter from the Guarantor’s independent registered public accountants:]

 

Other terms:

 

The provisions of the Global Selling Agency Agreement and the related definitions are incorporated by reference herein and shall be deemed to have the same force and effect as if set forth in full herein.  By accepting this Terms Agreement by signing below, the Company additionally represents and warrants that this Terms Agreement has been duly authorized, executed and delivered by it.

 

	
Date:
    	
 
    
	
[Purchaser]
    	
 
    
	
 
    	
 
    
	
By:
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
Accepted:   CITIGROUP FUNDING INC.
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
By:
    	
 
    	
 
    


 

B-1











 

EXHIBIT C

 

FORM OF AGENT ACCESSION CONFIRMATION — PROGRAM

 

To: [Name and address of new Agent]

 

[date]

 

Citigroup Funding Inc.
 Series D and Series E Medium-Term Note Program

 

Ladies and Gentlemen:

 

We refer to the Amended & Restated Global Selling Agency Agreement dated as of August 26, 2011 (which agreement, as amended from time to time, is herein referred to as the “Agency Agreement”) entered into in respect of the above Medium-Term Note Program and hereby acknowledge receipt of your Agent Accession Letter to us dated [ ].

 

In accordance with Section 2(c) of the Agency Agreement we hereby confirm that, with effect from the date hereof, you shall become a party to, and an Agent under, the Agency Agreement, vested with all the authority, rights and powers, and subject to all the duties and obligations of an Agent as if originally named as such under the Agency Agreement.

 

Yours faithfully,

 

CITIGROUP FUNDING INC.

 

 

	
By:
    	
 
    	
 
    
	
Name:
    	
 
    
	
Title:
    	
 
    


 

	
cc:
    	
Paying   Agents
    
	
 
    	
Trustees
    
	
 
    	
Existing   Agents
    
	
 
    	
Guarantor
    


 

C-1











 

EXHIBIT D

 

FORM OF AGENT ACCESSION LETTER — PROGRAM

 

To:  Citigroup Funding Inc.
 153 E. 53rd Street, 6th Floor
 New York, NY 10043

 

[date]

 

Citigroup Funding Inc.
 Series D and Series E Medium-Term Note Program

 

Ladies and Gentlemen:

 

We refer to the Amended & Restated Global Selling Agency Agreement dated as of August 26, 2011, entered into in respect of the above Medium-Term Note Program and made among Citigroup Funding Inc. (the “Company”), Citigroup Inc. and the Agents party thereto (which agreement, as amended from time to time, is herein referred to as the “Agency Agreement”).

 

We confirm that we are in receipt of the documents referenced below (except to the extent we have waived delivery of such documents):

 

·              a copy of the Agency Agreement;

 

·              a copy of all documents referred to in Section 5 of the Agency Agreement; and — a letter in a form approved by ourselves from each of the legal advisers referred to in Section 5 of the Agency Agreement addressed to ourselves and giving us the full benefit of the existing legal opinions as of the date of such existing legal opinions, and have found them to our satisfaction.

 

For the purposes of Section 9 of the Agency Agreement our notice details are as follows: (insert name, address, telephone, fax, email address and attention).

 

In consideration of the Company appointing us as an Agent under the Agency Agreement, we hereby undertake, for the benefit of the Company, the Guarantor and each of the other Agents, that we will perform and comply with all the duties and obligations expressed to be assumed by an Agent under or pursuant to the Agency Agreement.  We also undertake to deliver to The Depository Trust Company of New York such pricing letters as it may reasonably require from us in connection with the offer and sale of the Notes.

 

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This letter is governed by, and shall be construed in accordance with, the laws of the State of New York.

 

Yours faithfully,

 

 

[Name of new Agent]

 

 

	
By:
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    


 

	
cc:
    	
Paying   Agents
    
	
 
    	
Trustees
    
	
 
    	
Existing   Agents
    
	
 
    	
Guarantor
    


 

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EXHIBIT E

 

FORM OF AGENT ACCESSION CONFIRMATION — NOTE ISSUE

 

To:  [Name and address of new Agent]

[date]

 

Citigroup Funding Inc.
 Series D and Series E Medium-Term Note Program

 

Ladies and Gentlemen:

 

We refer to the Amended & Restated Global Selling Agency Agreement dated as of August 26, 2011 (which agreement, as amended from time to time, is herein referred to as the “Agency Agreement”) entered into in respect of the above Medium-Term Note Program and hereby acknowledge receipt of your Agent Accession Letter to us dated [ ].

 

In accordance with Section 2(c) of the Agency Agreement we hereby confirm that, with effect from the date hereof solely in respect of the issue of [ ] Notes due [ ] (the “Issue”), you shall become a party to, and an Agent under, the Agency Agreement, vested with all the authority, rights and powers, and subject to all duties and obligations of an Agent in relation to the Issue as if originally named as such under the Agency Agreement.

 

Such appointment is limited to the Issue and is not for any other issue of Notes of the Company pursuant to the Agency Agreement and such appointment will terminate upon issue of the Notes comprising the Issue but without prejudice to any rights, duties or obligations which have arisen prior to such termination.

 

Yours faithfully,

 

 

CITIGROUP FUNDING INC.

 

 

	
By:
    	
 
    	
 
    
	
Name:
    	
 
    
	
Title:
    	
 
    


 

	
cc:
    	
Paying   Agents
    
	
 
    	
Trustees
    
	
 
    	
Guarantor
    


 

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EXHIBIT F

 

FORM OF AGENT ACCESSION LETTER — NOTE ISSUE

 

Citigroup Funding Inc.
 153 E. 53rd Street, 6th Floor
 New York, NY  10043
 Attention: Assistant Treasurer

 

Series D and Series E Medium-Term Note Program

 

Ladies and Gentlemen:

 

We refer to the Amended & Restated Global Selling Agency Agreement dated as of August 26, 2011, entered into in respect of the above Medium-Term Note Program and made among the Company, Citigroup Inc. and the Agents party thereto (which agreement, as amended from time to time, is herein referred to as the “Global Selling Agency Agreement”).

 

We confirm that we are in receipt of the documents referenced below (except to the extent that we have waived delivery of such documents): a copy of the Agency Agreement; and a copy of all documents referred to in Section 5 of the Agency Agreement and have found them to our satisfaction.

 

For the purposes of Section 9 of the Agency Agreement our notice details are as follows: (insert name, address, telephone, fax, email address and attention).

 

In consideration of the Company appointing us as an Agent solely in respect of the issue of [ ] Notes due [ ] (the “Issue”) under the Agency Agreement, we hereby undertake, for the benefit of the Company, the Guarantor and each of the other Agents, that in relation to the Issue we will perform and comply with all the duties and obligations expressed to be assumed by an Agent under or pursuant to the Agency Agreement.

 

We acknowledge that such appointment is limited to the Issue and is not for any other issue of Notes of the Company pursuant to the Agency Agreement and that such appointment will terminate upon issue of the Notes comprising the Issue but without prejudice to any rights, duties or obligations which have arisen prior to such termination.

 

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This letter is governed by, and shall be construed in accordance with, the laws of the State of New York.

 

Yours faithfully,

 

 

[Name of new Agent]

 

 

	
By:
    	
 
    	
 
    
	
Title:
    	
 
    


 

	
cc:
    	
Paying   Agents
    
	
 
    	
Trustees
    
	
 
    	
Guarantor
    


 

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EXHIBIT G

 

[date]

 

To the Agents listed on Schedule I of the Agency Agreement

 

Ladies and Gentlemen:

 

Re: Notice of New Registration Statement on Form S-3 (No. [      ])

 

In accordance with the provisions of the Amended and Restated Global Selling Agency Agreement (the “Agency Agreement”) dated as of August 26, 2011, as supplemented and amended from time to time, among Citigroup Funding Inc. (the “Company”), Citigroup Inc. (the “Guarantor”) and the Agents listed in Schedule I thereto, we hereby notify you that a Registration Statement on Form S-3 (No. [      ]) relating to the Notes was filed by the Company and the Guarantor with the U.S. Securities and Exchange Commission (the “Commission”) on [date], [also identify any amendments filed] (the “New Registration Statement”) and was declared effective by the Commission as of [time] on [date].

 

Accordingly, the file number contained in the first sentence of Section 1(a) of the Agency Agreement shall be hereafter deemed to refer to the file number of the New Registration Statement, and all references in the Agency Agreement to the “Registration Statement” shall be hereafter deemed to refer to the New Registration Statement.

 

 

Very truly yours,

 

	
 
    	
CITIGROUP FUNDING INC.
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    
	
 
    	
Title:
    
				


 

 

	
 
    	
CITIGROUP INC.
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    
	
 
    	
Title:
    
				


 

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