Purchase Agreement dated May 8, 2003



 EXHIBIT 10.4 
  
 EXECUTION COPY 
  
 Speedway Motorsports, Inc. 
  
 and 
  
 The Guarantors named herein 
  
  
 $230,000,000 
  
 6.75% Senior Subordinated Notes due 2013 
  
  
 Purchase Agreement 
  
 dated May 8, 2003 
  
  
  
 Banc of America Securities LLC 
  
 Wachovia Securities,
Inc. 
  
 Credit Lyonnais Securities (USA) Inc. 
  
 Fleet Securities, Inc. 
  
 SunTrust Capital Markets, Inc. 







 Table of Contents 
  


	 SECTION 1.      Representations and Warranties
	  	2 
	 	 	 (a)
	  	No Registration Required	  	2
	 	 	 (b)
	  	No Integration of Offerings or General Solicitation	  	3
	 	 	 (c)
	  	Eligibility for Resale under Rule 144A	  	3
	 	 	 (d)
	  	The Offering Memorandum and the Preliminary Offering Memorandum	  	3
	 	 	 (e)
	  	Incorporated Documents	  	4
	 	 	 (f)
	  	The Purchase Agreement	  	4
	 	 	 (g)
	  	The Registration Rights Agreement and DTC Agreement	  	4
	 	 	 (h)
	  	Authorization of the Securities and the Exchange Securities	  	4
	 	 	 (i)
	  	Authorization of the Indenture	  	5
	 	 	 (j)
	  	Description of the Securities, the Indenture and Existing Credit Agreement	  	5
	 	 	 (k)
	  	No Material Adverse Change	  	5
	 	 	 (l)
	  	Independent Accountants	  	6
	 	 	 (m)
	  	    Preparation of the Financial Statements	  	6
	 	 	 (n)
	  	Incorporation and Good Standing of the Company and the Guarantors	  	6
	 	 	 (o)
	  	Capitalization and Other Capital Stock Matters	  	6
	 	 	 (p)
	  	Stock Exchange Listing	  	7
	 	 	 (q)
	  	Non-Contravention of Existing Instruments; No Further Authorizations or Approvals Required	  	7
	 	 	 (r)
	  	No Material Actions or Proceedings	  	8
	 	 	 (s)
	  	Intellectual Property Rights	  	8
	 	 	 (t)
	  	All Necessary Permits, etc	  	8
	 	 	 (u)
	  	Title to Properties	  	8
	 	 	 (v)
	  	Tax Law Compliance	  	9
	 	 	 (w)
	  	    Company Not an “Investment Company”	  	9
	 	 	 (x)
	  	Insurance	  	9
	 	 	 (y)
	  	No Price Stabilization or Manipulation	  	9
	 	 	 (z)
	  	Solvency	  	9
	 	 	 (aa)
	  	    No Unlawful Contributions or Other Payments	  	10
	 	 	 (bb)
	  	    Disclosure Controls	  	10
	 	 	 (cc)
	  	    MD&A	  	10
	 	 	 (dd)
	  	    Company’s Accounting System	  	10
	 	 	 (ee)
	  	    Compliance with Environmental Laws	  	10
	 	 	 (ff)
	  	    ERISA Compliance	  	11
	 	 	 (gg)
	  	    No Default in Senior Indebtedness	  	11
	 	 	 (hh)
	  	    NASCAR Relationship and Contracts	  	12
	 	 	 (ii)
	  	    Operative Subsidiaries	  	12
	 	 	 (jj)
	  	    Credit Facility	  	12
	 	 	 (kk)
	  	    Compliance with Regulation S	  	12
	 SECTION 2.      Purchase, Sale and Delivery of the Securities.
	  	12 
	 	 	 (a)
	  	The Securities	  	12
	 	 	 (b)
	  	The Closing Date	  	13
	 	 	 (c)
	  	Delivery of the Securities	  	13
	 	 	 (d)
	  	Delivery of Offering Memorandum to the Initial Purchasers	  	13
	 	 	 (e)
	  	Initial Purchasers as Qualified Institutional Buyers	  	13
	 SECTION 3.      Additional Covenants
	  	13 
	 	 	 (a)
	  	Initial Purchasers’ Review of Proposed Amendments and Supplements	  	13
	 	 	 (b)
	  	Additional Information, Amendments and Supplements to the Offering Memorandum and Other Securities Act Matters	  	14
	 	 	 (c)
	  	Copies of the Offering Memorandum	  	14
	 	 	 (d)
	  	Blue Sky Compliance	  	14

  

 i 









	 	 	 (e)
	  	Use of Proceeds	  	15
	 	 	 (f)
	  	The Depositary	  	15
	 	 	 (g)
	  	Additional Issuer Information	  	15
	 	 	 (h)
	  	Agreement Not To Offer or Sell Additional Securities	  	15
	 	 	 (i)
	  	Future Reports to the Initial Purchasers	  	15
	 	 	 (j)
	  	No Integration	  	16
	 	 	 (k)
	  	Legended Securities	  	16
	 	 	 (l)
	  	PORTAL	  	16
	 SECTION 4.      Payment of Expenses
	  	16 
	 SECTION 5.      Conditions of the Obligations of the Initial Purchasers
	  	17 
	 	 	 (a)
	  	Accountants’ Comfort Letter	  	17
	 	 	 (b)
	  	No Material Adverse Change or Ratings Agency Change	  	17
	 	 	 (c)
	  	Opinion of Counsel for the Company	  	17
	 	 	 (d)
	  	Opinion of Counsel for the Initial Purchasers	  	18
	 	 	 (e)
	  	Officers’ Certificate	  	18
	 	 	 (f)
	  	Bring-down Comfort Letter	  	18
	 	 	 (g)
	  	PORTAL Listing	  	18
	 	 	 (h)
	  	Other Agreements	  	18
	 	 	 (i)
	  	Additional Documents	  	18
	 SECTION 6.      Reimbursement of Initial Purchasers’ Expenses
	  	19 
	 SECTION 7.      Offer, Sale and Resale Procedures
	  	19 
	 SECTION 8.      Indemnification.
	  	20 
	 	 	 (a)
	  	Indemnification of the Initial Purchasers	  	20
	 	 	 (b)
	  	Indemnification of the Company, its Directors and Officers	  	21
	 	 	 (c)
	  	Notifications and Other Indemnification Procedures	  	22
	 	 	 (d)
	  	Settlements	  	22
	 SECTION 9.      Contribution.
	  	23 
	 SECTION 10.    Termination of this Agreement
	  	24 
	 SECTION 11.    Representations and Indemnities to Survive Delivery
	  	24 
	 SECTION 12.    Notices
	  	24 
	 SECTION 13.    Successors
	  	25 
	 SECTION 14.    Partial Unenforceability
	  	25 
	 SECTION 15.    Governing Law Provisions
	  	26 
	 	 	 (a)
	  	Consent to Jurisdiction	  	26
	 SECTION 16.    Default of One or More of the Several Initial Purchasers
	  	26 
	 SECTION 17.    General Provisions
	  	27 

  

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 Purchase Agreement 
  
 May 8, 2003 
  
 BANC OF AMERICA SECURITIES LLC 
 WACHOVIA SECURITIES, INC. 
 CREDIT LYONNAIS SECURITIES (USA) INC. 
 FLEET SECURITIES, INC. 
 SUNTRUST CAPITAL MARKETS, INC. 
  
     As Initial Purchasers 
 c/o BANC OF AMERICA SECURITIES LLC

 600 Montgomery Street 
 San Francisco, California 94111 
  
 Ladies and Gentlemen: 
  
 Introductory. Speedway Motorsports, Inc., a Delaware corporation (the “Company”), proposes to issue and sell to the several Initial Purchasers named in Schedule A (the “Initial Purchasers”), acting severally and
not jointly, the respective amounts set forth in such Schedule A of a $230,000,000 aggregate principal amount of the Company’s 6.75% Senior Subordinated Notes due 2013 (the “Notes”). Banc of America Securities LLC, Wachovia
Securities, Inc. and Credit Lyonnais Securities (USA) Inc. have agreed to act as the several Initial Purchasers in connection with the offering and sale of the Notes. 
  
 The Notes will be issued pursuant to an indenture, to be dated as of May 16, 2003 (the “Indenture”), among the
Company, the Guarantors (defined below) and U.S. Bank National Association, as trustee (the “Trustee”). Notes issued in book-entry form will be issued in the name of Cede & Co., as nominee of The Depository Trust Company (the
“Depositary”) pursuant to a DTC letter of representations, to be dated as of the Closing Date (as defined in Section 2) (the “DTC Agreement”), among the Company, the Trustee and the Depositary. 
  
 The holders of the Notes will be entitled to the benefits of a registration
rights agreement, to be dated as of May 16, 2003 (the “Registration Rights Agreement”), among the Company, the Guarantors and the Initial Purchasers, pursuant to which the Company and the Guarantors will agree to file, within 90 days of
the Closing Date, a registration statement with the Commission registering the Exchange Securities under the Securities Act. 
  
 The payment of principal, premium and Liquidated Damages (as defined in the Indenture), if any, and interest on the Notes and the Exchange Notes (as
defined below) will be fully and unconditionally guaranteed on a senior subordinated unsecured basis, jointly and severally by (i) substantially all of the operative subsidiaries of the Company (except for Oil-Chem Research Corporation) and (ii) any
subsidiary of the Company formed or acquired after the Closing Date or any other subsidiary that executes an additional guarantee in accordance with the terms of the Indenture, and their respective successors and assigns (collectively, the
“Guarantors”), pursuant to their guarantees (the “Guarantees”). The Notes and the Guarantees attached thereto are herein collectively referred to as the “Securities”; and the Exchange Notes 







 and the Guarantees attached thereto are herein collectively referred to as the “Exchange Securities.”

  
 The Company and the Guarantors understand that the Initial
Purchasers propose to make an offering of the Securities on the terms and in the manner set forth herein and in the Offering Memorandum (as defined below) and agree that the Initial Purchasers may resell, subject to the conditions set forth herein,
all or a portion of the Securities to purchasers (the “Subsequent Purchasers”) at any time after the date of this Agreement. The Securities are to be offered and sold to or through the Initial Purchasers without being registered with the
Securities and Exchange Commission (the “Commission”) under the Securities Act of 1933 (as amended, the “Securities Act,” which term, as used herein, includes the rules and regulations of the Commission promulgated thereunder),
in reliance upon exemptions therefrom. The terms of the Securities and the Indenture will require that investors who acquire Securities expressly agree that Securities may only be resold or otherwise transferred, after the date hereof, if such
Securities are registered for sale under the Securities Act or if an exemption from the registration requirements of the Securities Act is available (including the exemptions afforded by Rule 144A (“Rule 144A”) or Regulation S
(“Regulation S”) thereunder). 
  
 The Company and the
Guarantors have prepared and delivered to each Initial Purchaser copies of a Preliminary Offering Memorandum, dated May 2, 2003 (the “Preliminary Offering Memorandum”), and have prepared and will deliver to each Initial Purchaser, copies
of the Offering Memorandum, dated May 8, 2003, describing the terms of the Securities, each for use by such Initial Purchaser in connection with its solicitation of offers to purchase the Securities. As used herein, the “Offering
Memorandum” shall mean, with respect to any date or time referred to in this Agreement, the Company’s Offering Memorandum, dated May 8, 2003, including amendments or supplements thereto and any exhibits thereto, in the most recent form
that has been prepared and delivered by the Company and the Guarantors to the Initial Purchasers in connection with their solicitation of offers to purchase Securities. 
  
 All references in this Agreement to financial statements and schedules and other information which is “contained,”
“included” or “stated” in the Offering Memorandum or the Preliminary Offering Memorandum (or other references of like import) shall be deemed to mean and include all such financial statements and schedules and other information
which are incorporated by reference in the Offering Memorandum or the Preliminary Offering Memorandum; and all references in this Agreement to amendments or supplements to the Offering Memorandum or the Preliminary Offering Memorandum shall be
deemed to mean and include the filing of any document under the Securities Exchange Act of 1934 (as amended, the “Exchange Act,” which term, as used herein, includes the rules and regulations of the Commission promulgated thereunder) which
is incorporated or deemed to be incorporated by reference in the Offering Memorandum or the Preliminary Offering Memorandum. 
  
 The Company and the Guarantors hereby confirm their respective agreements with the Initial Purchasers as follows: 
  
 SECTION 1. Representations and Warranties. Each of the Company and the Guarantors,
jointly and severally, hereby represents, warrants and covenants to each Initial Purchaser as follows: 
  
 (a) No Registration Required. Subject to compliance by the Initial Purchasers with the representations and warranties set forth in Section 2 hereof
and with the procedures set forth in Section 7 hereof, it is not necessary in connection with the offer, 
  

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 sale and delivery of the Securities to the Initial Purchasers and to each Subsequent Purchaser in the
manner contemplated by this Agreement and the Offering Memorandum to register the Securities under the Securities Act or, until such time as the Exchange Securities are issued pursuant to an effective registration statement, to qualify the Indenture
under the Trust Indenture Act of 1939 (the “Trust Indenture Act,” which term, as used herein, includes the rules and regulations of the Commission promulgated thereunder). 
  
 (b) No Integration of Offerings or General Solicitation. The Company has not, and none of the Company’s
subsidiaries or Affiliates (as such term is defined in Rule 501 under the Securities Act (each, an “Affiliate”)) have, directly or indirectly, solicited any offer to buy or offered to sell, and will not, directly or indirectly, solicit any
offer to buy or offer to sell, in the United States or to any United States citizen or resident, any security which is or would be integrated with the sale of the Securities in a manner that would require the Securities to be registered under the
Securities Act. None of the Company, the Guarantors, any of their subsidiaries or Affiliates, or any person acting on its or any of their behalf (other than the Initial Purchasers, as to whom the Company and the Guarantors make no representation or
warranty) has engaged or will engage, in connection with the offering of the Securities, in any form of general solicitation or general advertising within the meaning of Rule 502 under the Securities Act. With respect to those Securities sold in
reliance upon Regulation S, (i) none of the Company, the Guarantors, any of their subsidiaries or Affiliates or any person acting on its or any of their behalf (other than the Initial Purchasers, as to whom the Company and the Guarantors make no
representation or warranty) has engaged or will engage in any directed selling efforts within the meaning of Regulation S and (ii) each of the Company, the Guarantors, any of their subsidiaries or Affiliates and any person acting on its or their
behalf (other than the Initial Purchasers, as to whom the Company and the Guarantors make no representation or warranty) has complied and will comply with the offering restrictions set forth in Regulation S. 
  
 (c) Eligibility for Resale under Rule 144A. The Securities are
eligible for resale pursuant to Rule 144A and will not be, at the Closing Date, of the same class as securities listed on a national securities exchange registered under Section 6 of the Exchange Act or quoted in a U.S. automated interdealer
quotation system. 
  
 (d) The Offering Memorandum and the
Preliminary Offering Memorandum. Each of the Offering Memorandum and Preliminary Offering Memorandum does not, and at the Closing Date will not, include an 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 that this representation, warranty and agreement shall not apply to statements in or omissions from the Offering Memorandum
or Preliminary Offering Memorandum made in reliance upon and in conformity with information furnished to the Company or any Guarantor in writing by any Initial Purchaser through Banc of America Securities LLC expressly for use in the Offering
Memorandum. Each of the Preliminary Offering Memorandum and the Offering Memorandum, as of its date, contains all the information specified in, and meeting the requirements of, Rule 144A. Neither the Company nor any of the Guarantors have
distributed, and the Company and the Guarantors will not distribute, prior to the later of the Closing Date and the completion of the Initial Purchasers’ distribution of the Securities, any offering material in connection with the 

 

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 offering and sale of the Securities other than the Preliminary Offering Memorandum or the Offering
Memorandum. 
  
 (e) Incorporated Documents. The Offering
Memorandum and Preliminary Offering Memorandum as delivered from time to time shall incorporate by reference each Current Report of the Company on Form 8-K filed with the Commission until the termination of the offering. The documents incorporated
or deemed to be incorporated by reference in the Offering Memorandum or Preliminary Offering Memorandum at the time they were or hereafter are filed with the Commission (collectively, the “Incorporated Documents”), if any, complied and
will comply in all material respects with the requirements of the Exchange Act (except for the Form 8-K filed with the Commission on May 5, 2003 which did not include a signature page). 
  
 (f) The Purchase Agreement. This Agreement has been duly authorized, executed and delivered by, and is a valid and
binding agreement of, the Company and each of the Guarantors, enforceable in accordance with its terms, except as rights to indemnification hereunder may be limited by applicable law and except as the enforcement hereof may be limited by bankruptcy,
insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles. 
  

(g) The Registration Rights Agreement and DTC Agreement. The Registration Rights Agreement has been duly authorized by the Company and each of
the Guarantors and, at the Closing Date, will be duly executed and delivered by, and will be a valid and binding agreement of, the Company and each of the Guarantors, enforceable in accordance with its terms, except as the enforcement thereof may be
limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles and except as rights to indemnification under the Registration
Rights Agreement may be limited by applicable law. At the Closing Date, the DTC Agreement will be duly authorized, executed and delivered by, and will be a valid and binding agreement of, the Company, enforceable in accordance with its terms, except
as the enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles. Pursuant to the Registration
Rights Agreement, the Company and the Guarantors each will agree to file with the Commission, under the circumstances set forth therein, (i) a registration statement under the Securities Act relating to another series of debt securities of the
Company with terms substantially identical to the Notes (the “Exchange Notes”) to be offered in exchange for the Notes (the “Exchange Offer”) and (ii) to the extent required by the Registration Rights Agreement, a shelf
registration statement pursuant to Rule 415 of the Securities Act relating to the resale by certain holders of the Notes, and in each case, to use its reasonable best efforts to cause such registration statements to be declared effective.

  
 (h) Authorization of the Securities and the Exchange
Securities. (i) The Notes to be purchased by the Initial Purchasers from the Company are in the form contemplated by the Indenture, have been duly authorized for issuance and sale pursuant to this Agreement and the Indenture and, at the Closing
Date, will have been duly executed by the Company and, when authenticated in the manner provided for in the Indenture and delivered against payment of the purchase price therefor, will constitute valid and binding agreements of the Company,
enforceable in accordance with their terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and 
  

 4 








 remedies of creditors or by general equitable principles and will be entitled to the benefits of the
Indenture. (ii) The Exchange Notes have been duly and validly authorized for issuance by the Company, and when issued and authenticated in accordance with the terms of the Indenture, the Registration Rights Agreement and the Exchange Offer, will
constitute valid and binding obligations of the Company, enforceable against the Company in accordance with their terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium, or similar laws relating
to or affecting enforcement of the rights and remedies of creditors or by general principles of equity and will be entitled to the benefits of the Indenture. (iii) The Guarantees of the Notes and the Exchange Notes are in the respective forms
contemplated by the Indenture, have been duly authorized for issuance and sale pursuant to this Agreement and the Indenture and, at the Closing Date, will have been duly executed by each of the Guarantors and, when the Notes have been authenticated
in the manner provided for in the Indenture and delivered against payment of the purchase price therefor, will constitute valid and binding agreements of the Guarantors, enforceable in accordance with their terms, except as the enforcement thereof
may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles and will be entitled to the benefits of the Indenture.

  
 (i) Authorization of the Indenture. The Indenture has
been duly authorized by the Company and each of the Guarantors and, at the Closing Date, will have been duly executed and delivered by the Company and each of the Guarantors and will constitute a valid and binding agreement of the Company and each
of the Guarantors, enforceable against the Company and each of the Guarantors in accordance with its terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or
affecting the rights and remedies of creditors or by general equitable principles. 
  
 (j) Description of the Securities, the Indenture and Existing Credit Agreement. The Notes, the Exchange Notes, the Guarantees of the Notes and the Exchange Notes, the Indenture and the Credit Agreement dated as
of May 28, 1999, as amended by and among the Company, as borrowers and the lenders named therein, including NationsBank, N.A., as agent for the lenders and a lender, and First Union National Bank, as co-agent (the “Existing Credit
Agreement”) will conform in all material respects to the respective statements relating thereto contained in the Offering Memorandum. 
  
 (k) No Material Adverse Change. Except as otherwise disclosed in the Offering Memorandum, subsequent to the respective dates as of which
information is given in the Offering Memorandum: (i) there has been no material adverse change, or any development that could reasonably be expected to result in a material adverse change, in the condition, financial or otherwise, or in the
earnings, business, operations or prospects, whether or not arising from transactions in the ordinary course of business, of the Company and its subsidiaries, considered as one entity (any such change is called a “Material Adverse
Change”); (ii) the Company and its subsidiaries, considered as one entity, have not incurred any material liability or obligation, indirect, direct or contingent, not in the ordinary course of business nor entered into any material transaction
or agreement not in the ordinary course of business; and (iii) there has been no dividend or distribution of any kind declared, paid or made by the Company or, except for dividends paid to the Company or other subsidiaries, any of its subsidiaries
on 
  

 5 








 any class of capital stock or repurchase or redemption by the Company or any of its subsidiaries of any
class of capital stock. 
  
 (l) Independent Accountants.
Deloitte & Touche LLP, who have expressed their opinion with respect to the financial statements (which term as used in this Agreement includes the related notes thereto) included in the Offering Memorandum, are independent public or certified
public accountants within the meaning of Regulation S-X under the Securities Act and the Exchange Act. 
  
 (m) Preparation of the Financial Statements. The financial statements, together with the related schedules and notes, included and or incorporated
by reference in the Offering Memorandum present fairly the consolidated financial position of the Company and its subsidiaries as of and at the dates indicated and the results of their operations and cash flows for the periods specified. Such
financial statements have been prepared in conformity with generally accepted accounting principles applied on a consistent basis throughout the periods involved, in all material respects, except as may be expressly stated in the related notes
thereto. The financial data set forth in the Offering Memorandum under the captions “Offering Memorandum Summary—Summary Historical Financial Data” and “Selected Historical Financial Data” fairly present the information set
forth therein on a basis consistent with that of the audited financial statements contained in the Offering Memorandum. 
  
 (n) Incorporation and Good Standing of the Company and the Guarantors. Each of the Company and the Guarantors has been duly incorporated or formed
and is validly existing as a corporation or limited liability company in good standing under the laws of the jurisdiction of its incorporation or formation and has corporate or limited liability company power and authority to own, lease and operate
its properties and to conduct its business as described in the Offering Memorandum and to enter into and perform its obligations under each of this Agreement, the Registration Rights Agreement, the DTC Agreement, the Securities, the Exchange
Securities and the Indenture. Each of the Company and each of the Guarantors is duly qualified as a foreign corporation or limited liability company, as applicable, to transact business and is in good standing in each jurisdiction in which such
qualification is required, whether by reason of the ownership or leasing of property or the conduct of business, except for such jurisdictions where the failure to so qualify or to be in good standing would not, individually or in the aggregate,
result in a Material Adverse Change. All of the issued and outstanding capital stock or limited liability company interests of each Guarantor has been duly authorized and validly issued, is fully paid and nonassessable and is owned by the Company,
directly or through subsidiaries, free and clear of any security interest, mortgage, pledge, lien, encumbrance or claim, except for security interests, pledges, liens or encumbrances in favor of the Company’s senior bank lenders. The Company
does not own or control, directly or indirectly, any corporation, association or other entity other than the subsidiaries listed in Exhibit 21 to the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2002. 

 
 (o) Capitalization and Other Capital Stock Matters. At December
31, 2002, on a consolidated basis, after giving pro forma effect to the issuance and sale of the Securities pursuant hereto, the Company would have an authorized and outstanding capitalization as set forth in the Offering Memorandum under the
caption “Capitalization” (other than for subsequent issuances of capital stock, if any, pursuant to employee benefit plans or upon exercise of outstanding options). All of the outstanding 
  

 6 








 shares of Common Stock of the Company have been duly authorized and validly issued, are fully paid and
nonassessable and have been issued in compliance with federal and state securities laws. None of the outstanding shares of Common Stock of the Company were issued in violation of any preemptive rights, rights of first refusal or other similar rights
to subscribe for or purchase securities of the Company. There are no authorized or outstanding options, warrants, preemptive rights, rights of first refusal or other rights to purchase, or equity or debt securities convertible into or exchangeable
or exercisable for, any capital stock of the Company or any of its subsidiaries other than options to acquire shares under the Company’s employee benefit plans. 
  
 (p) Stock Exchange Listing. The Common Stock is registered pursuant to Section 12(b) of the Exchange Act and is
listed on the New York Stock Exchange (the “NYSE”), and the Company has taken no action designed to, or likely to have the effect of, terminating the registration of the Common Stock under the Exchange Act or delisting the Common Stock
from the NYSE, nor has the Company received any notification that the Commission or the NYSE is contemplating terminating such registration or listing. 
  
 (q) Non-Contravention of Existing Instruments; No Further Authorizations or Approvals Required. Neither the Company nor any of its Guarantors is in
violation of its charter or by-laws or is in default (or, with the giving of notice or lapse of time, would be in default) (“Default”) under any indenture, mortgage, loan or credit agreement, note, contract, franchise, lease or other
instrument to which the Company or any of its subsidiaries is a party or by which it or any of them may be bound (including, without limitation, the Company’s Existing Credit Agreement and the Company’s 8 1/2% Senior Subordinated Notes due
2007 (the “Existing Notes”)) (except as which will be cured or remedied by the Closing Date) or to which any of the property or assets of the Company or any of its subsidiaries is subject (each, an “Existing Instrument”), except
for such Defaults as would not, individually or in the aggregate, result in a Material Adverse Change. The execution, delivery and performance of this Agreement, the Registration Rights Agreement, the DTC Agreement and the Indenture by the Company
and each Guarantor party thereto, and the issuance and delivery of the Securities or the Exchange Securities, and consummation of the transactions contemplated hereby and thereby and by the Offering Memorandum have been duly authorized by all
necessary corporate action and (i) will not result in any violation of the provisions of the charter or by-laws of the Company or any subsidiary, (ii) will not conflict with or constitute a breach of, or Default or a Debt Repayment Triggering Event
(as defined below) under, or result in the creation or imposition of any lien, charge or encumbrance upon any property or assets of the Company or any of its subsidiaries pursuant to, or require the consent of any other party to, any Existing
Instrument, except for such conflicts, breaches, Defaults, liens, charges or encumbrances as would not, individually or in the aggregate, result in a Material Adverse Change, and (iii) will not result in any violation of any law, administrative
regulation or administrative or court decree applicable to the Company or any subsidiary. No consent, approval, authorization or other order of, or registration or filing with, any court or other governmental or regulatory authority or agency, is
required for the Company’s or any Guarantor’s execution, delivery and performance of this Agreement, the Registration Rights Agreement, the DTC Agreement, the Indenture, or the issuance and delivery of the Securities or the Exchange
Securities, or consummation of the transactions contemplated hereby and thereby and by the Offering Memorandum, except such as have been obtained or made by the Company and are in full force and effect under the Securities Act, applicable state
securities or blue sky laws and except such as may be 
  

 7 








 required by federal and state securities laws with respect to the Company’s obligations under the
Registration Rights Agreement. As used herein, a “Debt Repayment Triggering Event” means any event or condition which gives, or with the giving of notice or lapse of time would give, the holder of any note, debenture or other evidence of
indebtedness (or any person acting on such holder’s behalf) the right to require the repurchase, redemption or repayment of all or a portion of such indebtedness by the Company or any of its subsidiaries. 
  
 (r) No Material Actions or Proceedings. There are no legal or
governmental actions, suits or proceedings pending or, to the best of the Company’s or any Guarantor’s knowledge, threatened against or affecting the Company or any of its subsidiaries, which has as the subject thereof any property owned
or leased by the Company or any of its subsidiaries, where in any such case there is a reasonable possibility that such action, suit or proceeding might be determined adversely to the Company or such subsidiary and any such action, suit or
proceeding, if so determined adversely, would reasonably be expected to result in a Material Adverse Change or adversely affect the consummation of the transactions contemplated by this Agreement, except as otherwise disclosed in the Offering
Memorandum. No material labor dispute with the employees of the Company or any of its subsidiaries, or with the employees of any principal supplier of the Company, exists or, to the best of the Company’s knowledge, is threatened or imminent.

  
 (s) Intellectual Property Rights. The Company and its
Guarantors own or possess sufficient trademarks, trade names, patent rights, copyrights, licenses, approvals, trade secrets and other similar rights (collectively, “Intellectual Property Rights”) reasonably necessary to conduct their
businesses as now conducted; and the expected expiration of any of such Intellectual Property Rights would not result in a Material Adverse Change. Neither the Company nor any of its subsidiaries has received any notice of infringement or conflict
with asserted Intellectual Property Rights of others, which infringement or conflict, if the subject of an unfavorable decision, would result in a Material Adverse Change. 
  
 (t) All Necessary Permits, etc. The Company and each Guarantor possess such valid and current certificates,
authorizations or permits issued by the appropriate state, federal or foreign regulatory agencies or bodies necessary to conduct their respective businesses, and neither the Company nor any subsidiary has received any notice of proceedings relating
to the revocation or modification of, or non-compliance with, any such certificate, authorization or permit which, singly or in the aggregate, if the subject of an unfavorable decision, ruling or finding, could result in a Material Adverse Change.

  
 (u) Title to Properties. The Company and each of its
subsidiaries has good and marketable title to all the properties and assets reflected as owned in the financial statements referred to in Section 1 above (or elsewhere in the Offering Memorandum), in each case free and clear of any security
interests, mortgages, liens, encumbrances, equities, claims and other defects, except such as do not materially and adversely affect the value of such property and do not materially interfere with the use made or proposed to be made of such property
by the Company or such subsidiary. The real property, improvements, equipment and personal property held under lease by the Company or any subsidiary are held under valid and enforceable leases, with such exceptions as are not material and do not
materially interfere with the use made or proposed to be made of such real property, improvements, equipment or personal property by the Company or such subsidiary. 
  

 8 








 (v) Tax Law Compliance. The Company and its Guarantors have filed all necessary federal, state and
foreign income and franchise tax returns and have paid all taxes required to be paid by any of them and, if due and payable, any related or similar assessment, fine or penalty levied against any of them, except where any such failure would not
materially and adversely affect the Company. The Company has made adequate charges, accruals and reserves in the applicable financial statements referred to in Section 1 above in respect of all federal, state and foreign income and franchise taxes
for all periods as to which the tax liability of the Company or any of its subsidiaries has not been finally determined. 
  
 (w) Company Not an “Investment Company”. The Company has been advised of the rules and requirements under the Investment Company Act of
1940, as amended (the “Investment Company Act”). The Company is not, and after receipt of payment for the Securities will not be, an “investment company” within the meaning of Investment Company Act and will conduct its business
in a manner so that it will not become subject to the Investment Company Act. 
  
 (x) Insurance. Each of the Company and its subsidiaries are insured with policies in such amounts and with such deductibles and policy limits and covering such risks as are generally deemed adequate,
appropriate and customary for their businesses including, but not limited to, policies covering liabilities for injuries at motorsports events and real and personal property owned or leased by the Company and its subsidiaries against theft, damage,
destruction, acts of terrorism and vandalism and earthquakes. The Company’s insurers each have strong financial ratings from A.M. Best, Standard & Poor, or Moody’s. The Company believes it has adequate, sufficient and appropriate
coverage under its policies to cover all of its known litigation such that there is no need to establish a reserve for any such litigation under generally accepted accounting principals, except as otherwise disclosed in the Offering Memorandum. The
Company has no reason to believe that it or any subsidiary will not be able (i) to renew its existing insurance coverage as and when such policies expire or (ii) to obtain adequate and comparable coverage from recognized insurers as may be necessary
or appropriate to conduct its business as now conducted and at a cost that would not result in a Material Adverse Change. Neither of the Company nor any subsidiary has been denied any insurance coverage which it has sought or for which it has
applied. 
  
 (y) No Price Stabilization or Manipulation.
The Company has not taken and will not take, directly or indirectly, any action designed to or that might be reasonably expected to cause or result in stabilization or manipulation of the price of any security of the Company to facilitate the sale
or resale of the Securities. 
  
 (z) Solvency. The Company
and each of the Guarantors is, and immediately after the Closing Date will be, Solvent. As used herein, the term “Solvent” means, with respect to the Company or any Guarantor on a particular date, that on such date (i) the fair market
value of the assets of the Company or such Guarantor, as the case may be, is greater than the total amount of liabilities (including contingent liabilities) of the Company or such Guarantor, as the case may be, (ii) the present fair salable value of
the assets of the Company or such Guarantor, as the case may be, is greater than the amount that will be required to pay the probable liabilities of the Company or such Guarantor, as the case may be, on its debts as they become absolute and matured,
(iii) the Company or such Guarantor, as the case may be, is able to realize upon its assets and pay its debts and 
  

 9 








 other liabilities, including contingent obligations, as they mature and (iv) the Company or such
Guarantor, as the case may be, does not have unreasonably small capital. 
  
 (aa) No Unlawful Contributions or Other Payments. Neither the Company nor any of its subsidiaries nor, to the best of the Company’s and the Guarantors’ knowledge, any employee or agent of the Company
or any subsidiary, has made any contribution or other payment to any official of, or candidate for, any federal, state or foreign office in violation of any law or of the character necessary to be disclosed in the Offering Memorandum in order to
make the statements therein not misleading. 
  
 (bb)
Disclosure Controls. The Company and its consolidated subsidiaries employ disclosure controls and procedures that are designed to ensure that information required to be disclosed by the Company in the reports that it files or submits under the
Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Commission’s rules and forms, and is accumulated and communicated to the Company’s management, including its principal executive officer
or officers and principal financial officer or officers, as appropriate to allow timely decisions regarding disclosure. 
  
 (cc) MD&A. There are no transactions, arrangements or other relationships, including but not limited to off balance sheet transactions, which
would be required to be included in the Offering Memorandum if the Offering Memorandum was a registration statement on Form S-1 by the Commission’s “Statement About Management’s Discussion and Analysis of Financial Condition and
Results of Operations” (January 22, 2002) which are not so described or described as required. 
  
 (dd) Company’s Accounting System. The Company on a consolidated basis, and each of the Company’s subsidiaries, maintains a system of
accounting controls sufficient to provide reasonable assurances that (i) transactions are executed in accordance with management’s general or specific authorization; (ii) transactions are recorded as necessary to permit preparation of financial
statements in conformity with generally accepted accounting principles and to maintain accountability for assets; (iii) access to assets is permitted only in accordance with management’s general or specific authorization; (iv) the recorded
accountability for assets is compared with existing assets at reasonable intervals and appropriate action is taken with respect to any differences; (v) material information relating to the Company and its consolidated subsidiaries is promptly made
known to the officers responsible for establishing and maintaining the system of internal accounting controls; and (vi) any significant deficiencies or weaknesses in the design or operation of internal accounting controls which could adversely
affect the Company’s ability to record, process, summarize and report financial data, and any fraud whether or not material that involves management or other employees who have a significant role in internal controls, are adequately and
promptly disclosed to the Company’s independent auditors and the audit committee of the Company’s board of directors. 
  
 (ee) Compliance with Environmental Laws. Except as would not, individually or in the aggregate, result in a Material Adverse Change and except as
otherwise disclosed in the Offering Memorandum (i) neither the Company nor any of its subsidiaries is in violation of any federal, state, local or foreign law or regulation relating to pollution or protection of human health or the environment
(including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata) or 
  

 10 








 wildlife, including without limitation, laws and regulations relating to emissions, discharges, releases
or threatened releases of chemicals, pollutants, contaminants, wastes, toxic substances, hazardous substances, petroleum and petroleum products (collectively, “Materials of Environmental Concern”), or otherwise relating to the manufacture,
processing, distribution, use, treatment, storage, disposal, transport or handling of Materials of Environmental Concern (collectively, “Environmental Laws”), which violation includes, but is not limited to, noncompliance with any permits
or other governmental authorizations required for the operation of the business of the Company or its subsidiaries under applicable Environmental Laws, or noncompliance with the terms and conditions thereof, nor has the Company or any of its
subsidiaries received any written communication, whether from a governmental authority, citizens group, employee or otherwise, that alleges that the Company or any of its subsidiaries is in violation of any Environmental Law; (ii) there is no claim,
action or cause of action filed with a court or governmental authority, no investigation with respect to which the Company has received written notice, and no written notice by any person or entity alleging potential liability for investigatory
costs, cleanup costs, governmental responses costs, natural resources damages, property damages, personal injuries, attorneys’ fees or penalties arising out of, based on or resulting from the presence, or release into the environment, of any
Material of Environmental Concern at any location owned, leased or operated by the Company or any of its subsidiaries, now or in the past (collectively, “Environmental Claims”), pending or, to the best of the Company’s and the
Guarantors’ knowledge, threatened against the Company or any of its subsidiaries or any person or entity whose liability for any Environmental Claim the Company or any of its subsidiaries has retained or assumed either contractually or by
operation of law; (iii) to the best of the Company’s and the Guarantors’ knowledge, there are no past or present actions, activities, circumstances, conditions, events or incidents, including, without limitation, the release, emission,
discharge, presence or disposal of any Material of Environmental Concern, that reasonably could result in a violation of any Environmental Law or form the basis of a potential Environmental Claim against the Company or any of its subsidiaries or
against any person or entity whose liability for any Environmental Claim the Company or any of its subsidiaries has retained or assumed either contractually or by operation of law, and (iv) the Company has reasonably concluded that there are no
costs or liabilities (including, without limitation, any capital or operating expenditures required for clean-up, closure of properties or compliance with Environmental Laws or any permit, license or approval, any related constraints on operating
activities and any potential liabilities to third parties) associated with the effect of compliance with Environmental Laws (after giving effect to the amount of established reserves, if any). 
  
 (ff) ERISA Compliance. The Company and its subsidiaries and any
“employee benefit plan” (as defined under the Employee Retirement Income Security Act of 1974, as amended, and the regulations and published interpretations thereunder (collectively, “ERISA”)) established or maintained by the
Company, its subsidiaries or their “ERISA Affiliates” (as defined below) are in compliance in all material respects with ERISA. “ERISA Affiliate” means, with respect to the Company or a subsidiary, any member of any group of
organizations described in Sections 414(b), (c), (m) or (o) of the Internal Revenue Code of 1986, as amended, and the regulations and published interpretations thereunder (the “Code”) of which the Company or such subsidiary is a member.

  
 (gg) No Default in Senior Indebtedness. No event of
default exists under any contract, indenture, mortgage, loan agreement, note, lease or other agreement or 
  

 11 








 instrument constituting Senior Indebtedness (as defined in the Indenture) (except as which will be cured
or remedied by the Closing Date). 
  
 (hh) NASCAR Relationship
and Contracts. The disclosure in the Offering Memorandum accurately and fairly describes in all respects (i) the sanctioning agreements between the Company and the National Association of Stock Car Auto Racing, Inc. (“Nascar”); (ii)
the broadcasting agreements between the NBC Sports, Fox, Turner Sports and FX networks and Nascar; and (iii) the ancillary rights package for Nascar.com, the Nascar Channel, international and satellite broadcasting, Nascar images, SportsVision,
FanScan and specialty pay-per view telecasts. 
  
 (ii)
Operative Subsidiaries. The Guarantors are all of the operative subsidiaries of the Company (other than Oil-Chem Research Corporation). 
  
 (jj) Credit Facility. The 2003 Credit Facility (as defined in the Offering Memorandum) has been duly and validly authorized by the Company and the
guarantors thereto and, when duly executed and delivered by the Company and the guarantors thereto, will be the valid and legally binding obligation of the Company and the guarantors thereto, enforceable in accordance with its terms, except as the
enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles. As of the date hereof, the Company could
borrow the fully committed amounts under the covenants or proposed covenants under each of the Existing Credit Agreement and the 2003 Credit Facility and be in compliance with all applicable covenants of each agreement. 
  
 (kk) Compliance with Regulation S. The Company, the Guarantors and
their respective subsidiaries and Affiliates and all persons acting on their behalf (other than the Initial Purchasers, as to whom the Company and the Guarantors make no representation) have complied with and will comply with the offering
restrictions requirements of Regulation S in connection with the offering of the Securities outside the United States and, in connection therewith, the Offering Memorandum will contain the disclosure required by Rule 902. 
  
 Each of the Company and the Guarantors is a “reporting
issuer,” as defined in Rule 902 under the Securities Act. 
  
 Any certificate signed by an officer of the Company or any Guarantor and delivered to the Initial Purchasers or to counsel for the Initial Purchasers shall be deemed to be a representation and warranty by the Company
or such Guarantor to each Initial Purchaser as to the matters set forth therein. 
  
 SECTION 2. Purchase, Sale and Delivery of the Securities. 
  
 (a) The Securities. The Company and the Guarantors agree to issue and sell to the several Initial Purchasers, severally and not jointly, all of the Securities upon the terms herein set forth. On the basis of
the representations, warranties and agreements of the Company and the Guarantors herein contained, and upon the terms but subject to the conditions herein set forth, the Initial Purchasers agree, severally and not jointly, to purchase from the
Company and the Guarantors the aggregate principal amount of 
  

 12 








 Securities set forth opposite their names on Schedule A, at a purchase price of 97.625% of the
principal amount thereof payable on the Closing Date. 
  
 (b)
The Closing Date. Delivery of certificates for the Securities in definitive form to be purchased by the Initial Purchasers and payment therefor shall be made at the offices of Parker, Poe, Adams & Bernstein L.L.P., Three Wachovia Center, 401
South Tryon Street, Suite 3000, Charlotte, NC 28202 (or such other place as may be agreed to by the Company and the Initial Purchasers) at 9:00 a.m. New York City time, on May 16, 2003 or such other time and date as the Initial Purchasers shall
designate by notice to the Company (the time and date of such closing are called the “Closing Date”). The Company hereby acknowledges that circumstances under which the Initial Purchasers may provide notice to postpone the Closing Date as
originally scheduled include, but are in no way limited to, any determination by the Company or the Initial Purchasers to recirculate to investors copies of an amended or supplemented Offering Memorandum or a delay as contemplated by the provisions
of Section 16. 
  
 (c) Delivery of the Securities. The
Company shall deliver, or cause to be delivered, to Banc of America Securities LLC for the accounts of the several Initial Purchasers certificates for the Securities and the Guarantees at the Closing Date against the irrevocable release of a wire
transfer of immediately available funds for the amount of the purchase price therefor. The certificates for the Securities shall be in such denominations and registered in the name of Cede & Co., as nominee of the Depository, pursuant to the DTC
Agreement, and shall be made available for inspection on the business day preceding the Closing Date at a location in New York City, as the Initial Purchasers may designate. Time shall be of the essence, and delivery at the time and place specified
in this Agreement is a further condition to the obligations of the Initial Purchasers. 
  
 (d) Delivery of Offering Memorandum to the Initial Purchasers. Not later than 12:00 noon (eastern time) on the business day following the date of this Agreement or such other date as reasonably agreed to by the
parties, the Company shall deliver or cause to be delivered copies of the Offering Memorandum in such quantities and at such places as the Initial Purchasers shall reasonably request. 
  
 (e) Initial Purchasers as Qualified Institutional Buyers. Each Initial Purchaser severally and not jointly represents
and warrants to, and agrees with, the Company that it is a “qualified institutional buyer” within the meaning of Rule 144A (a “Qualified Institutional Buyer”) and an “accredited investor” within the meaning of Rule 501
under the Securities Act (an “Accredited Investor”). 
  
 SECTION 3.
Additional Covenants. Each of the Company and the Guarantors, jointly and severally, further covenants and agrees with each Initial Purchaser as follows: 
  

(a) Initial Purchasers’ Review of Proposed Amendments and Supplements. Prior to amending or supplementing the Offering Memorandum
(including any amendment or supplement through incorporation by reference of any report filed under the Exchange Act), until the earlier of (i) the Closing Date or (ii) the completion of the placement of the Securities by the Initial Purchasers with
the Subsequent Purchasers, the Company and the Guarantors shall furnish to the Initial Purchasers for review a copy of each such proposed amendment or supplement, and the 
  

 13 








 Company and the Guarantors shall not use any such proposed amendment or supplement to which the Initial
Purchasers reasonably object. 
  
 (b) Additional Information,
Amendments and Supplements to the Offering Memorandum and Other Securities Act Matters. The Company and the Guarantors will immediately notify each Initial Purchaser, and confirm such notice in writing, of (x) any filing made by the Company or
any Guarantor with any securities exchange or any other regulatory body in the United States or any other jurisdiction or (y) any press release issued by the Company or any Guarantor. If, prior to the completion of the placement of the Securities by
the Initial Purchasers with the Subsequent Purchasers, any event shall occur or condition exist as a result of which it is necessary to amend or supplement the Offering Memorandum in order to make the statements therein, in the light of the
circumstances when the Offering Memorandum is delivered to a purchaser, not misleading, or if in the opinion of the Initial Purchasers or counsel for the Initial Purchasers it is otherwise necessary to amend or supplement the Offering Memorandum to
comply with law, the Company and the Guarantors agree to promptly prepare (subject to Section 3 hereof), and furnish at its own expense to the Initial Purchasers, amendments or supplements to the Offering Memorandum so that the statements in the
Offering Memorandum as so amended or supplemented will not, in the light of the circumstances when the Offering Memorandum is delivered to a purchaser, be misleading or so that the Offering Memorandum, as amended or supplemented, will comply with
law. 
  
 Following the consummation of the
Exchange Offer or the effectiveness of an applicable shelf registration statement and for so long as the Securities are outstanding if, in the reasonable judgment of the Initial Purchasers, the Initial Purchasers or any of their affiliates (as such
term is defined in the rules and regulations under the Securities Act) are required to deliver a prospectus in connection with sales of, or market-making activities with respect to, such securities, to periodically amend the applicable registration
statement so that the information contained therein complies with the requirements of Section 10 of the Securities Act, to amend the applicable registration statement or supplement the related prospectus or the documents incorporated therein when
necessary to reflect any material changes in the information provided therein so that the registration statement and the prospectus will 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 existing as of the date the prospectus is so delivered, not misleading and to provide the Initial Purchasers with copies of each amendment or supplement filed and such other documents as
the Initial Purchasers may reasonably request. 
  
 The Company and the Guarantors hereby expressly acknowledge that the indemnification and contribution provisions of Sections 8 and 9 hereof are specifically applicable and relate to each offering memorandum, registration statement,
prospectus, amendment or supplement referred to in this Section 3. 
  
 (c) Copies of the Offering Memorandum. The Company and the Guarantors agree to furnish the Initial Purchasers, without charge, as many copies of the Offering Memorandum and any amendments and supplements thereto as they shall have
reasonably requested. 
  
 (d) Blue Sky Compliance. The
Company and the Guarantors shall cooperate with the Initial Purchasers and counsel for the Initial Purchasers to qualify or register the 
  

 14 








 Securities for sale under (or obtain exemptions from the application of) the Blue Sky or state securities
laws of those jurisdictions designated by the Initial Purchasers, shall comply with such laws and shall continue such qualifications, registrations and exemptions in effect so long as required for the distribution of the Securities. The Company and
each of the Guarantors shall not be required to qualify as a foreign corporation or to take any action that would subject it to general service of process in any such jurisdiction where it is not presently qualified or where it would be subject to
taxation as a foreign corporation. The Company and the Guarantors will advise the Initial Purchasers promptly of the suspension of the qualification or registration of (or any such exemption relating to) the Securities for offering, sale or trading
in any jurisdiction or any initiation or threat of any proceeding for any such purpose, and in the event of the issuance of any order suspending such qualification, registration or exemption, the Company shall use its best efforts to obtain the
withdrawal thereof at the earliest possible moment. 
  
 (e)
Use of Proceeds. The Company and the Guarantors shall apply the net proceeds from the sale of the Securities sold in the manner described under the caption “Use of Proceeds” in the Offering Memorandum. 
  
 (f) The Depositary. The Company will cooperate with the Initial
Purchasers and use its best efforts to permit the Securities to be eligible for clearance and settlement through the facilities of the Depositary. 
  
 (g) Additional Issuer Information. Prior to the completion of the placement of the Securities by the Initial Purchasers with the Subsequent
Purchasers, the Company shall file, on a timely basis, with the Commission and the New York Stock Exchange all reports and documents required to be filed under Section 13 or 15 of the Exchange Act. Additionally, at any time when the Company is not
subject to Section 13 or 15 of the Exchange Act, for the benefit of holders and beneficial owners from time to time of Securities, the Company shall furnish, at its expense, upon request, to holders and beneficial owners of Securities and
prospective purchasers of Securities information (“Additional Issuer Information”) satisfying the requirements of subsection (d) of Rule 144A. 
  
 (h) Agreement Not To Offer or Sell Additional Securities. During the period of 180 days following the date of the Offering Memorandum, the Company
and each of the Guarantors will not, without the prior written consent of Banc of America Securities LLC (which consent may be withheld at the sole discretion of Banc of America Securities LLC), directly or indirectly, sell, offer, contract or grant
any option to sell, pledge, transfer or establish an open “put equivalent position” within the meaning of Rule 16a-1 under the Exchange Act, or otherwise dispose of or transfer, or announce the offering of, or file any registration
statement under the Securities Act in respect of, any debt securities of the Company or securities exchangeable for or convertible into debt securities of the Company (other than as contemplated by this Agreement and to register the Exchange
Securities). 
  
 (i) Future Reports to the Initial
Purchasers. For so long as any Securities or Exchange Securities remain outstanding, the Company will furnish to Banc of America Securities LLC, to the extent not available on EDGAR (i) as soon as practicable after the end of each fiscal year,
copies of the Annual Report of the Company and the Guarantors containing the balance sheet of the Company and the Guarantors on a consolidated basis 
  

 15 








 as of the close of such fiscal year and statements of income, stockholders’ equity and cash flows
for the year then ended and the opinion thereon of the Company’s and the Guarantors’ independent public or certified public accountants; (ii) as soon as practicable after the filing thereof, copies of each proxy statement, Annual Report on
Form 10-K, Quarterly Report on Form 10-Q, Current Report on Form 8-K or other report filed by the Company with the Commission, the NASD or any securities exchange; and (iii) as soon as available, copies of any report or communication of the Company
mailed generally to holders of its capital stock or debt securities (including the holders of the Securities). 
  
 (j) No Integration. The Company agrees that it will not and will cause its Affiliates and subsidiaries not to make any offer or sale of securities
of the Company or any of its subsidiaries of any class if, as a result of the doctrine of “integration” referred to in Rule 502 under the Securities Act, such offer or sale would render invalid (for the purpose of (i) the sale of the
Securities by the Company to the Initial Purchasers, (ii) the resale of the Securities by the Initial Purchasers to Subsequent Purchasers or (iii) the resale of the Securities by such Subsequent Purchasers to others) the exemption from the
registration requirements of the Securities Act provided by Section 4 thereof or by Rule 144A or by Regulation S thereunder or otherwise. 
  
 (k) Legended Securities. Each certificate for a Note will bear a legend substantially similar to the legend contained in “Notice to
Investors” in the Offering Memorandum for the time period and upon the other terms stated in the Offering Memorandum. 
  
 (l) PORTAL. The Company will use its best efforts to cause such Notes to be eligible for the National Association of Securities Dealers, Inc.
PORTAL market (the “PORTAL market”). 
  
 Banc of America
Securities LLC, on behalf of the several Initial Purchasers, may, in its sole discretion, waive in writing the performance by the Company or Guarantors of any one or more of the foregoing covenants or extend the time for their performance.

  
 SECTION 4. Payment of Expenses. The Company and the Guarantors agree to
pay all costs, fees and expenses incurred in connection with the performance of their obligations hereunder and in connection with the transactions contemplated hereby, including without limitation (i) all expenses incident to the issuance and
delivery of the Securities (including all printing and engraving costs), (ii) all necessary issue, transfer and other stamp taxes in connection with the issuance and sale of the Securities to the Initial Purchasers, (iii) all fees and expenses of
the Company’s and the Guarantors’ counsel, independent public or certified public accountants and other advisors, (iv) all costs and expenses incurred in connection with the preparation, printing, filing, shipping and distribution of each
preliminary Offering Memorandum and the Offering Memorandum (including financial statements and exhibits), and all amendments and supplements thereto, this Agreement, the Registration Rights Agreement, the Indenture, the DTC Agreement, and the Notes
and the Guarantees, (v) all filing fees, attorneys’ fees and expenses incurred by the Company or the Initial Purchasers in connection with qualifying or registering (or obtaining exemptions from the qualification or registration of) all or any
part of the Securities for offer and sale under the Blue Sky laws and, if requested by the Initial Purchasers, preparing and printing a “Blue Sky Survey” or memorandum, and any supplements thereto, advising the Initial Purchasers of such
qualifications, registrations and exemptions, (vi) the fees and expenses of the Trustee, including the fees and disbursements of counsel for the Trustee in connection with the Indenture, the Securities and the Exchange 
  

 16 








 Securities, (vii) any fees payable in connection with the rating of the Securities or the Exchange Securities with the
ratings agencies and the listing of the Securities with the PORTAL market, (viii) any filing fees incident to, and any reasonable fees and disbursements of counsel to the Initial Purchasers in connection with the review by the National Association
of Securities Dealers, Inc., if any, of the terms of the sale of the Securities or the Exchange Securities, (ix) all fees and expenses (including reasonable fees and expenses of counsel) of the Company and the Guarantors in connection with approval
of the Securities by DTC for “book-entry” transfer, and the performance by the Company and the Guarantors their respective other obligations under this Agreement and (x) one half of the fees and expenses associated with the rental of an
airplane for use by the Company and the Initial Purchasers for marketing the securities. Except as provided in this Section 4, Section 6, Section 8 and Section 9 hereof, the Initial Purchasers shall pay their own expenses. 
  
 SECTION 5. Conditions of the Obligations of the Initial Purchasers. The obligations of
the several Initial Purchasers to purchase and pay for the Securities as provided herein on the Closing Date shall be subject to the accuracy of the representations and warranties on the part of the Company and each of the Guarantors set forth in
Section 1 hereof as of the date hereof and as of the Closing Date as though then made and to the timely performance by the Company and each of the Guarantors of their respective covenants and other obligations hereunder, and to each of the following
additional conditions: 
  
 (a) Accountants’ Comfort
Letter. On the date hereof, the Initial Purchasers shall have received from Deloitte & Touche LLP, independent public or certified public accountants for the Company, a letter dated the date hereof addressed to the Initial Purchasers, in
form and substance satisfactory to the Initial Purchasers, containing statements and information of the type ordinarily included in accountant’s “comfort letters” to Initial Purchasers, delivered according to Statement of Auditing
Standards Nos. 72 and 76 (or any successor bulletins), with respect to the audited and unaudited financial statements and certain financial information contained in the Offering Memorandum. 
  
 (b) No Material Adverse Change or Ratings Agency Change. For the
period from and after the date of this Agreement and prior to the Closing Date: 
  
 (i) in the judgment of the Initial Purchasers there shall not have occurred any Material Adverse Change; and 
  
 (ii) there shall not have occurred any downgrading, nor shall any notice have been given of any intended or potential downgrading or of any review for a
possible change that does not indicate the direction of the possible change, in the rating accorded any securities of the Company or any of its subsidiaries by any “nationally recognized statistical rating organization” as such term is
defined for purposes of Rule 436 under the Securities Act. 
  
 (c) Opinion of Counsel for the Company. On the Closing Date the Initial Purchasers shall have received the favorable opinion of Parker, Poe, Adams & Bernstein L.L.P., counsel for the Company, dated as of such Closing Date,
substantially in the form attached as Exhibit A. 
  

 17 








 (d) Opinion of Counsel for the Initial Purchasers. On the Closing Date the Initial Purchasers
shall have received the favorable opinion of Fried, Frank, Harris, Shriver & Jacobson, counsel for the Initial Purchasers, dated as of such Closing Date, with respect to such matters as may be reasonably requested by the Initial Purchasers.

  
 (e) Officers’ Certificate. On the Closing Date
the Initial Purchasers shall have received a written certificate executed by the Chairman of the Board, Chief Executive Officer or President of the Company and the Chief Financial Officer or Chief Accounting Officer of the Company, dated as of the
Closing Date, to the effect set forth in subsection (b)(ii) of this Section 5, and further to the effect that: 
  
 (i) for the period from and after the date of this Agreement and prior to the Closing Date there has not occurred any Material Adverse Change; 

 
 (ii) the representations, warranties and covenants of the Company and the
Guarantors set forth in Section 1 of this Agreement are true and correct with the same force and effect as though expressly made on and as of the Closing Date; and 
  
 (iii) the Company and the Guarantors have complied with all the agreements and satisfied all the conditions on their part to
be performed or satisfied at or prior to the Closing Date. 
  
 (f) Bring-down Comfort Letter. On the Closing Date the Initial Purchasers shall have received from Deloitte & Touche LLP, independent public or certified public accountants for the Company, a letter dated such date, in form and
substance satisfactory to the Initial Purchasers, to the effect that they reaffirm the statements made in the letter furnished by them pursuant to subsection (a) of this Section 5, except that the specified date referred to therein for the carrying
out of procedures shall be no more than three business days prior to the Closing Date. 
  
 (g) PORTAL Listing. At the Closing Date the Notes shall have been designated for trading on the PORTAL market. 
  
 (h) Other Agreements. The Company and the Guarantors shall have entered into the Registration Rights Agreement and the Indenture and the Initial
Purchasers shall have received executed counterparts thereof. 
  
 (i) Additional Documents. On or before the Closing Date, the Initial Purchasers and counsel for the Initial Purchasers shall have received such information, documents and opinions as they may reasonably require for the
purposes of enabling them to pass upon the issuance and sale of the Securities as contemplated herein, or in order to evidence the accuracy of any of the representations and warranties, or the satisfaction of any of the conditions or agreements,
herein contained. 
  
 If any condition specified in this Section 5
is not satisfied when and as required to be satisfied, this Agreement may be terminated by the Initial Purchasers by notice to the Company and the Guarantors at any time on or prior to the Closing Date, which termination shall be without liability
on the part of any party to any other party, except that Section 4, Section 6, Section 8 and Section 9 shall at all times be effective and shall survive such termination. 
  

 18 








 SECTION 6. Reimbursement of Initial Purchasers’ Expenses. If this Agreement is terminated by the Initial
Purchasers pursuant to Section 5, or if the sale to the Initial Purchasers of the Securities on the Closing Date is not consummated because of any refusal, inability or failure on the part of the Company or any of the Guarantors to perform any
agreement herein or to comply with any provision hereof, the Company agrees to reimburse the Initial Purchasers (or such Initial Purchasers as have terminated this Agreement with respect to themselves), severally, upon demand for all out-of-pocket
expenses that shall have been reasonably incurred by the Initial Purchasers in connection with the proposed purchase and the offering and sale of the Securities, including but not limited to fees and disbursements of counsel, printing expenses,
travel expenses, postage, facsimile and telephone charges. 
  
 SECTION 7.
Offer, Sale and Resale Procedures. Each of the Initial Purchasers, on the one hand, and the Company and each of the Guarantors, on the other hand, hereby establish and agree to observe the following procedures in connection with the offer and
sale of the Securities: 
  
 (A) Offers and sales of the
Securities will be made only by the Initial Purchasers or Affiliates thereof qualified to do so in the jurisdictions in which such offers or sales are made. Each such offer or sale shall only be made to persons whom the offeror or seller reasonably
believes to be qualified institutional buyers (as defined in Rule 144A under the Securities Act) or non-U.S. persons outside the United States to whom the offeror or seller reasonably believes offers and sales of the Securities may be made in
reliance upon Regulation S under the Securities Act, upon the terms and conditions set forth in Annex I hereto, which Annex I is hereby expressly made a part hereof. 
  
 (B) No general solicitation or general advertising (within the meaning of Rule 502 under the Securities Act) will be used
in the United States in connection with the offering of the Securities. 
  
 (C) Upon original issuance by the Company, and until such time as the same is no longer required under the applicable requirements of the Securities Act, the Securities (and all securities issued in exchange therefor
or in substitution thereof, other than the Exchange Securities) shall bear the following legend: 
  
 “THE SECURITY (OR ITS PREDECESSOR) EVIDENCED HEREBY WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER SECTION 5 OF THE UNITED
STATES SECURITIES ACT OF 1933 (THE “SECURITIES ACT”), AND THE SECURITY EVIDENCED HEREBY MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THE
SECURITY EVIDENCED HEREBY IS HEREBY NOTIFIED THAT THE SELLER MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER. THE HOLDER OF THE SECURITY EVIDENCED HEREBY AGREES FOR THE BENEFIT
OF THE COMPANY THAT SUCH SECURITY MAY BE RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING
THE REQUIREMENTS OF RULE 144A, PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A 
  

 19 








 QUALIFIED INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES
ACT, OUTSIDE THE UNITED STATES TO A FOREIGN PERSON IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT, PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144
THEREUNDER (IF APPLICABLE) OR IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED UPON AN OPINION OF COUNSEL IF THE COMPANY SO REQUESTS), TO THE COMPANY OR PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT AND, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION AND THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THE
SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET FORTH ABOVE. NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.” 
  
 Following the sale of the Securities by the Initial Purchasers to Subsequent
Purchasers pursuant to the terms hereof, the Initial Purchasers shall not be liable or responsible to the Company or any Guarantor for any losses, damages or liabilities suffered or incurred by the Company or any Guarantor, including any losses,
damages or liabilities under the Securities Act, arising from or relating to any resale or transfer of any Security. 
  
 SECTION 8. Indemnification. 
  
 (a) Indemnification of the Initial Purchasers. The Company and each Guarantor, jointly and severally, agree to indemnify and hold harmless each
Initial Purchaser, its directors, officers and employees, and each person, if any, who controls any Initial Purchaser within the meaning of the Securities Act and the Exchange Act against any loss, claim, damage, liability or expense, as incurred,
to which such Initial Purchaser or such controlling person may become subject, under the Securities Act, the Exchange Act or other federal or state statutory law or regulation, or at common law or otherwise (including in settlement of any
litigation, if such settlement is effected with the written consent of the Company), insofar as such loss, claim, damage, liability or expense (or actions in respect thereof as contemplated below) arises out of or is based (i) upon any untrue
statement or alleged untrue statement of a material fact contained in the Preliminary Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto), or the omission or alleged omission therefrom of a material fact necessary
in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; or (ii) in whole or in part upon any inaccuracy in the representations and warranties of the Company or any Guarantor contained
herein; or (iii) in whole or in part upon any failure of the Company or any Guarantor to perform its obligations hereunder or under law; or (iv) any act or failure to act or any alleged act or failure to act by any Initial Purchaser in connection
with, or relating in any manner to, the offering contemplated hereby, and which is included as part of or referred to in any loss, claim, damage, liability or action arising out of or based upon any matter covered by 
  

 20 








 clause (i) above, provided that the Company and the Guarantors shall not be liable under this
clause (iv) to the extent that a court of competent jurisdiction shall have determined by a final judgment that such loss, claim, damage, liability or action resulted directly from any such acts or failures to act undertaken or omitted to be taken
by such Initial Purchaser through its gross negligence or willful misconduct; and to reimburse each Initial Purchaser and each such controlling person for any and all expenses (including the fees and disbursements of counsel chosen by Banc of
America Securities LLC) as such expenses are reasonably incurred by such Initial Purchaser or such controlling person in connection with investigating, defending, settling, compromising or paying any such loss, claim, damage, liability, expense or
action; provided, however, that the foregoing indemnity agreement shall not apply to any loss, claim, damage, liability or expense to the extent, but only to the extent, arising out of or based upon any untrue statement or alleged untrue
statement or omission or alleged omission made in reliance upon and in conformity with written information furnished to the Company or any Guarantor by the Initial Purchasers expressly for use in any Preliminary Offering Memorandum or the Offering
Memorandum (or any amendment or supplement thereto). The indemnity agreement set forth in this Section 8 shall be in addition to any liabilities that the Company and each of the Guarantors may otherwise have. 
  
 (b) Indemnification of the Company, its Directors and Officers. Each
Initial Purchaser agrees, severally and not jointly, to indemnify and hold harmless the Company and each of its directors and each person, if any, who controls the Company within the meaning of the Securities Act or the Exchange Act, against any
loss, claim, damage, liability or expense, as incurred, to which the Company or any such director, or controlling person may become subject, under the Securities Act, the Exchange Act, or other federal or state statutory law or regulation, or at
common law or otherwise (including in settlement of any litigation, if such settlement is effected with the written consent of such Initial Purchaser), insofar as such loss, claim, damage, liability or expense (or actions in respect thereof as
contemplated below) arises out of or is based upon any untrue or alleged untrue statement of a material fact contained in any Preliminary Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto), or arises out of or is
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, in each case to the extent, but only to the extent, that such untrue statement or
alleged untrue statement or omission or alleged omission was made in any Preliminary Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto), in reliance upon and in conformity with written information furnished to
the Company by the Initial Purchasers expressly for use therein; and to reimburse the Company, or any such director or controlling person for any legal and other expenses reasonably incurred by the Company, or any such director or controlling person
in connection with investigating, defending, settling, compromising or paying any such loss, claim, damage, liability, expense or action. The Company hereby acknowledges that the only information that the Initial Purchasers have furnished to the
Company expressly for use in any Preliminary Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto) are the statements in the fifth and eighth paragraphs under the caption “Plan of Distribution” in the
Offering Memorandum ; and the Initial Purchasers confirm that such statements are correct. The indemnity agreement set forth in this Section 8 shall be in addition to any liabilities that each Initial Purchaser may otherwise have. 
  

 21 








 (c) Notifications and Other Indemnification Procedures. Promptly after receipt by an indemnified
party under this Section 8 of notice of the commencement of any action, such indemnified party will, if a claim in respect thereof is to be made against an indemnifying party under this Section 8, notify the indemnifying party in writing of the
commencement thereof, but the omission so to notify the indemnifying party will not relieve it from any liability which it may have to any indemnified party for contribution or otherwise than under the indemnity agreement contained in this Section 8
or to the extent it is not prejudiced as a proximate result of such failure. In case any such action is brought against any indemnified party and such indemnified party seeks or intends to seek indemnity from an indemnifying party, the indemnifying
party will be entitled to participate in and, to the extent that it shall elect, jointly with all other indemnifying parties similarly notified, by written notice delivered to the indemnified party promptly after receiving the aforesaid notice from
such indemnified party, to assume the defense thereof with counsel reasonably satisfactory to such indemnified party; provided, however, if the defendants in any such action include both the indemnified party and the indemnifying party and
the indemnified party shall have reasonably concluded that a conflict may arise between the positions of the indemnifying party and the indemnified party in conducting the defense of any such action or 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, the indemnified party or parties shall have the right to select separate counsel to assume such legal defenses and to otherwise
participate in the defense of such action on behalf of such indemnified party or parties. Upon receipt of notice from the indemnifying party to such indemnified party of such indemnifying party’s election so to assume the defense of such action
and approval by the indemnified party of counsel, the indemnifying party will not be liable to such indemnified party under this Section 8 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense
thereof unless (i) the indemnified party shall have employed separate counsel in accordance with the proviso to the next preceding sentence (it being understood, however, that the indemnifying party shall not be liable for the expenses of more than
one separate counsel (together with local counsel), approved by the indemnifying party (Banc of America Securities LLC in the case of Section 8 and Section 9), representing the indemnified parties who are parties to such action) or (ii) 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 commencement of the action, in each of which cases the fees and expenses of counsel
shall be at the expense of the indemnifying party. 
  
 (d)
Settlements. The indemnifying party under this Section 8 shall not be liable for any settlement of any proceeding effected without its written consent, but if settled with such consent or if there be a final judgment for the plaintiff, the
indemnifying party agrees to indemnify the indemnified party against any loss, claim, damage, liability or expense by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an indemnified party shall have
requested an indemnifying party to reimburse the indemnified party for fees and expenses of counsel as contemplated by Section 8 hereof, the indemnifying party agrees that it shall be liable for any settlement of any proceeding effected without its
written consent if (i) such settlement is entered into more than 30 days after receipt by such indemnifying party of the aforesaid request and (ii) such indemnifying party shall not have reimbursed the indemnified party in accordance with such
request prior to the date of such settlement. No indemnifying party shall, without the prior written consent of the indemnified party, effect any settlement, compromise or consent to the entry of judgment in any pending or threatened 
  

 22 








 action, suit or proceeding in respect of which any indemnified party is or could have been a party and
indemnity was or could have been sought hereunder by such indemnified party, unless such settlement, compromise or consent (i) includes an unconditional release of such indemnified party from all liability on claims that are the subject matter of
such action, suit or proceeding and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party. 
  
 SECTION 9. Contribution. 
  
 If the indemnification provided for in Section 8 is for any reason held to be unavailable to or otherwise insufficient to hold harmless an indemnified
party in respect of any losses, claims, damages, liabilities or expenses referred to therein, then each indemnifying party shall contribute to the aggregate amount paid or payable by such indemnified party, as incurred, as a result of any losses,
claims, damages, liabilities or expenses referred to therein (i) in such proportion as is appropriate to reflect the relative benefits received by the Company and the Guarantors, on the one hand, and the Initial Purchasers, on the other hand, from
the offering of the Securities pursuant to this Agreement or (ii) if the allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause
(i) above but also the relative fault of the Company and the Guarantors, on the one hand, and the Initial Purchasers, on the other hand, in connection with the statements or omissions or inaccuracies in the representations and warranties herein
which resulted in such losses, claims, damages, liabilities or expenses, as well as any other relevant equitable considerations. The relative benefits received by the Company and the Guarantors, on the one hand, and the Initial Purchasers, on the
other hand, in connection with the offering of the Securities pursuant to this Agreement shall be deemed to be in the same respective proportions as the total net proceeds from the offering of the Securities pursuant to this Agreement (before
deducting expenses) received by the Company and the Guarantors, and the total discount and fees received by the Initial Purchasers bear to the aggregate initial offering price of the Securities. The relative fault of the Company or any Guarantor, on
the one hand, and the Initial Purchasers, on the other hand, shall be determined by reference to, among other things, whether any such untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact or
any such inaccurate or alleged inaccurate representation or warranty relates to information supplied by the Company or any Guarantor, on the one hand, or the Initial Purchasers, on the other hand, and the parties’ relative intent, knowledge,
access to information and opportunity to correct or prevent such statement or omission. 
  
 The amount paid or payable by a party as a result of the losses, claims, damages, liabilities and expenses referred to above shall be deemed to include, subject to the limitations set forth in Section 8, any legal or
other fees or expenses reasonably incurred by such party in connection with investigating or defending any action or claim. The provisions set forth in Section 8 with respect to notice of commencement of any action shall apply if a claim for
contribution is to be made under this Section 9; provided, however, that no additional notice shall be required with respect to any action for which notice has been given under Section 8 for purposes of indemnification. 
  
 The Company, the Guarantors and the Initial Purchasers agree that it would
not be just and equitable if contribution pursuant to this Section 9 were determined by pro rata allocation (even if the Initial Purchasers were treated as one entity for such purpose) or by any other method of allocation which does not take account
of the equitable considerations referred to in this Section 9. 
  

 23 








 Notwithstanding the provisions of this Section 9, no Initial Purchaser shall be required to contribute
any amount in excess of the discount received by such Initial Purchaser in connection with the Securities distributed by it. No person guilty of fraudulent misrepresentation (within the meaning of Section 11 of the Securities Act) shall be entitled
to contribution from any person who was not guilty of such fraudulent misrepresentation. The Initial Purchasers’ obligations to contribute pursuant to this Section 9 are several, and not joint, in proportion to their respective commitments as
set forth opposite their names in Schedule A. For purposes of this Section 9, each director, officer and employee of an Initial Purchaser and each person, if any, who controls an Initial Purchaser within the meaning of the Securities Act and
the Exchange Act shall have the same rights to contribution as such Initial Purchaser, and each director of the Company, and each of the Guarantors and each person, if any, who controls the Company or any of the Guarantors within the meaning of the
Securities Act and the Exchange Act shall have the same rights to contribution as the Company. 
  
 SECTION 10. Termination of this Agreement. Prior to the Closing Date, this Agreement may be terminated by the Initial Purchasers by notice given to the Company if at any time (i) trading or quotation in any of
the Company’s securities shall have been suspended or limited by the Commission or by the New York Stock Exchange, or trading in securities generally on either the Nasdaq Stock Market or the New York Stock Exchange shall have been suspended or
limited, or minimum or maximum prices shall have been generally established on any of such stock exchanges by the Commission or the NASD; (ii) a general banking moratorium shall have been declared by any of federal, New York, Delaware or California
authorities; (iii) there shall have occurred any outbreak or escalation of national or international hostilities or any crisis or calamity, or any change in the United States or international financial markets, or any substantial change or
development involving a prospective substantial change in United States’ or international political, financial or economic conditions, as in the judgment of the Initial Purchasers is material and adverse and makes it impracticable or
inadvisable to market the Securities in the manner and on the terms described in the Offering Memorandum or to enforce contracts for the sale of securities; (iv) in the judgment of the Initial Purchasers there shall have occurred any Material
Adverse Change; or (v) the Company shall have sustained a loss by strike, fire, flood, earthquake, accident or other calamity of such character as in the judgment of the Initial Purchasers may interfere materially with the conduct of the business
and operations of the Company regardless of whether or not such loss shall have been insured. Any termination pursuant to this Section 10 shall be without liability on the part of (i) the Company to any Initial Purchaser, except that the Company
shall be obligated to reimburse the expenses of the Initial Purchasers pursuant to Sections 4 and 6 hereof, (ii) any Initial Purchaser to the Company, or (iii) of any party hereto to any other party except that the provisions of Section 8 and
Section 9 shall at all times be effective and shall survive such termination. 
  
 SECTION 11. Representations and Indemnities to Survive Delivery. The respective indemnities, agreements, representations, warranties and other statements of the Company and each of the Guarantors, of their respective officers and of
the several Initial Purchasers 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 any Initial Purchaser or the Company or any of the Guarantors or any of its
or their partners, officers or directors or any controlling person, as the case may be, and will survive delivery of and payment for the Securities sold hereunder and any termination of this Agreement. 
  
 SECTION 12. Notices. All communications hereunder shall be in writing and shall be
mailed, hand delivered or telecopied and confirmed to the parties hereto as follows: 
  

 24 








 If to the Initial Purchasers: 
  
 Banc of America Securities LLC 
 9 West 57th Street 
 New York, NY 10019 
  
 Facsimile: (212)
847-5038 
 Attention: James G. Rose, Jr. 
  
 with a copy to: 
  

Fried, Frank, Harris, Shriver & Jacobson 
 One New York Plaza 
 New York, New York 10004 
  
 Facsimile:
(212) 859-4000 
 Attention: Valerie Ford Jacob, Esq. 
  
 If to the Company or any of the Guarantors: 
  
 Speedway Motorsports, Inc. 
 5401 East Independence Blvd. 
 Charlotte, North Carolina 28212 
  
 Facsimile: (704) 455-2168 
 Attention: Marylaurel E. Wilks, Esq. 
  
 with a copy to: 
  
 Parker, Poe, Adams & Bernstein L.L.P. 
 Three Wachovia Center 
 401 South Tryon Street, Suite 3000 
 Charlotte, North Carolina 28202 
  
 Facsimile: (704) 334-4706 
 Attention: Peter J. Shea, Esq. 
  
 Any party hereto may change the address for receipt of communications by giving written notice to the others. 
  
 SECTION 13. Successors. This Agreement will inure to the benefit of and be binding
upon the parties hereto, including any substitute Initial Purchasers pursuant to Section 16 hereof, and to the benefit of the employees, officers and directors and controlling persons referred to in Section 8 and Section 9, and in each case their
respective successors, and no other person will have any right or obligation hereunder. The term “successors” shall not include any purchaser of the Securities as such from any of the Initial Purchasers merely by reason of such purchase.

  
 SECTION 14. Partial Unenforceability. The invalidity or
unenforceability of any Section, paragraph or provision of this Agreement shall not affect the validity or enforceability of any other Section, paragraph or provision hereof. If any Section, paragraph or provision of this Agreement is for any reason
determined to be invalid or unenforceable, there shall be deemed to 
  

 25 








 be made such minor changes (and only such minor changes) as are necessary to make it valid and enforceable. 

 
 SECTION 15. Governing Law Provisions. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN SUCH STATE. 
  
 (a) Consent to Jurisdiction. Any legal suit, action or proceeding arising out of or based upon this Agreement or the transactions contemplated hereby
(“Related Proceedings”) may be instituted in the federal courts of the United States of America located in the City and County of New York or the courts of the State of New York in each case located in the City and County of New York
(collectively, the “Specified Courts”), and each party irrevocably submits to the non-exclusive jurisdiction (except for proceedings instituted in regard to the enforcement of a judgment of any such court (a “Related Judgment”),
as to which such jurisdiction is non-exclusive) of such courts in any such suit, action or proceeding. Service of any process, summons, notice or document by mail to such party’s address set forth above shall be effective service of process for
any suit, action or other proceeding brought in any such court. The parties irrevocably and unconditionally waive any objection to the laying of venue of any suit, action or other proceeding in the Specified Courts and irrevocably and
unconditionally waive and agree not to plead or claim in any such court that any such suit, action or other proceeding brought in any such court has been brought in an inconvenient forum. 
  
 SECTION 16. Default of One or More of the Several Initial Purchasers. If any one or more of the several Initial Purchasers shall fail
or refuse to purchase Securities that it or they have agreed to purchase hereunder on the Closing Date, and the principal amount of Securities which such defaulting Initial Purchaser or Initial Purchasers agreed but failed or refused to purchase
does not exceed 10% of the principal amount of the Securities to be purchased on such date, the other Initial Purchasers shall be obligated, severally, in the proportions that the number of Securities set forth opposite their respective names on
Schedule A bears to the principal amount of Securities set forth opposite the names of all such non-defaulting Initial Purchasers, or in such other proportions as may be specified by the Initial Purchasers with the consent of the
non-defaulting Initial Purchasers, to purchase the Securities which such defaulting Initial Purchaser or Initial Purchasers agreed but failed or refused to purchase on such date. If any one or more of the Initial Purchasers shall fail or refuse to
purchase Securities and the principal amount of Securities with respect to which such default occurs exceeds 10% of the principal amount of Securities to be purchased on the Closing Date, and arrangements satisfactory to the Initial Purchasers and
the Company for the purchase of such Securities are not made within 48 hours after such default, this Agreement shall terminate without liability of any party to any other party except that the provisions of Section 8 and Section 9 shall at all
times be effective and shall survive such termination. In any such case either the Initial Purchasers or the Company shall have the right to postpone the Closing Date, as the case may be, but in no event for longer than seven days in order that the
required changes, if any, to the Offering Memorandum or any other documents or arrangements may be effected. 
  
 As used in this Agreement, the term “Initial Purchaser” shall be deemed to include any person substituted for a defaulting Initial Purchaser
under this Section 10. Any action taken under this Section 16 shall not relieve any defaulting Initial Purchaser from liability in respect of any default of such Initial Purchaser under this Agreement. 
  

 26 








 SECTION 17. General Provisions. This Agreement constitutes the entire agreement of the parties to this Agreement
and supersedes all prior written or oral and all contemporaneous oral agreements, understandings and negotiations with respect to the subject matter hereof. This Agreement may be executed in two or more counterparts, each one of which shall be an
original, with the same effect as if the signatures thereto and hereto were upon the same instrument. This Agreement may not be amended or modified unless in writing by all of the parties hereto, and no condition herein (express or implied) may be
waived unless waived in writing by each party whom the condition is meant to benefit. The Table of Contents and the section headings herein are for the convenience of the parties only and shall not affect the construction or interpretation of this
Agreement. 
  
 If the foregoing is in accordance with your
understanding of our agreement, kindly sign and return to the Company the enclosed copies hereof, whereupon this instrument, along with all counterparts hereof, shall become a binding agreement in accordance with its terms. 
  

	 Very truly yours,

	
	 SPEEDWAY MOTORSPORTS, INC., a
 Delaware corporation

		
	 By:
	 	 /s/    William R. Brooks        


	
	 Name: William R. Brooks

	 Title:   Chief Financial Officer, Vice President
 and Treasurer



  

	 SPEEDWAY FUNDING, LLC., a Delaware
 limited liability corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    President



  

	 600 RACING, INC., a North Carolina
 corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

 27 








  

	 ATLANTA MOTOR SPEEDWAY, INC., a
 Georgia corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 BRISTOL MOTOR SPEEDWAY, INC., a
 Tennessee corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks:

	 Title:    Vice President



  

	 CHARLOTTE MOTOR SPEEDWAY, LLC, a
 North Carolina limited liability company

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 INEX CORP. a North Carolina corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 By:      William R. Brooks

	 Title:    Vice President



  

	 LAS VEGAS MOTOR SPEEDWAY, INC., a
 Delaware corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name:  William R. Brooks

	 Title:     Vice President



  

 28 









	 NEVADA SPEEDWAY LLC, a Delaware
 limited liability corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 SPEEDWAY SYSTEMS, LLC, a North Carolina
 limited liability company

	
	 By:

	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 SPR, INC., a Delaware corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 TEXAS MOTOR SPEEDWAY, INC., a Texas
 corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 SPEEDWAY PROPERTIES COMPANY, LLC, a
 Delaware limited liability corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    President



  

 29 









	 SPEEDWAY SONOMA, LLC, a Delaware
 limited liability company

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 SPEEDWAY MEDIA, LLC, a North Carolina
 limited liability company

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 TRACKSIDE HOLDING CORPORATION, a
 North Carolina corporation

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    Vice President



  

	 MOTORSPORTS BY MAIL, LLC, a North
 Carolina limited liability company

		
	 By:
	 	 /s/    William R. Brooks


	
	 Name: William R. Brooks

	 Title:    President



  

	 SMI TRACKSIDE, LLC, a North Carolina
 limited liability company

		
	 By:
	 	 /s/    William R. Brooks


	
	 By:      William R. Brooks

	 Title:    Vice President



  

 30 








 The foregoing Purchase Agreement is hereby confirmed and accepted by the Initial Purchasers as of the
date first above written. 
  
 BANC OF AMERICA
SECURITIES LLC 
 WACHOVIA SECURITIES, INC. 
 CREDIT LYONNAIS SECURITIES (USA) INC. 
 FLEET SECURITIES, INC. 
 SUNTRUST CAPITAL MARKETS, INC. 
  
 By: Banc of America Securities LLC 

		
	 By:
	 	 /s/    James G. Rose, Jr.        


	 	 	 James G. Rose, Jr.
 Managing Director


  
  

 31 








 SCHEDULE A 
  

	Initial Purchasers	  	Aggregate
Principal Amount
of Securities to be
Purchased
	 Banc of America Securities LLC
	  	$	142,268,041
	 Wachovia Securities, Inc.
	  	$	59,278,351
	 Credit Lyonnais Securities (USA) Inc.
	  	$	14,226,804
	 Fleet Securities, Inc.
	  	$	7,113,402
	 SunTrust Capital Markets, Inc.
	  	$	7,113,402
		
	 Total
	  	$	230,000,000

  







 EXHIBIT A 
  
 Opinion of Parker, Poe, Adams & Berstein L.L.P. to be delivered pursuant to Section 5 of the Purchase Agreement. 
  
 (i) The Company has been duly incorporated and is validly existing as a
corporation in good standing under the laws of the State of Delaware. 
  
 (ii) The Company has corporate power and authority to own, lease and operate its properties and to conduct its business as described in the Offering Memorandum and to enter into and perform its obligations under the Purchase Agreement, the
Registration Rights Agreement, the Indenture, the Securities, the Exchange Securities and the DTC Agreement. 
  
 (iii) The Company is duly qualified as a foreign corporation to transact business and is in good standing in each other jurisdiction in which such
qualification is required, whether by reason of the ownership or leasing of property or the conduct of business, except for such jurisdictions where the failure to so qualify or to be in good standing would not, individually or in the aggregate,
result in a Material Adverse Change. 
  
 (iv) Each Guarantor has
been duly incorporated and is validly existing as a corporation or limited liability company (as applicable) in good standing under the laws of the jurisdiction of its incorporation or formation, has corporate or limited liability company power and
authority to own, lease and operate its properties and to conduct its business as described in the Offering Memorandum and to enter into and perform its obligations under the Agreement, the Registration Rights Agreement, the Indenture, the
Securities, and, to the best knowledge of such counsel, is duly qualified as a foreign corporation to transact business and is in good standing in each jurisdiction in which such qualification is required, whether by reason of the ownership or
leasing of property or the conduct of business, except for such jurisdictions where the failure to so qualify or to be in good standing would not, individually or in the aggregate, result in a Material Adverse Change. 
  
 (v) All of the issued and outstanding capital stock or limited liability
company interests of each Guarantor has been duly authorized and validly issued, is fully paid and non-assessable and is owned by the Company, directly or through subsidiaries, free and clear of any security interest, mortgage, pledge, lien,
encumbrance or, to the best knowledge of such counsel, any pending or threatened claim except for security interests, pledges, liens or encumbrances in favor of the Company’s senior lenders. 
  
 (vi) All of the outstanding shares of Common Stock of the Company have been
duly authorized and validly issued, are fully paid and nonassessable and, to the best of such counsel’s knowledge, have been issued in compliance with the registration and qualification requirements of federal and state securities laws.

  
 (vii) The Purchase Agreement has been duly authorized,
executed and delivered by, and is a valid and binding agreement of, the Company and each Guarantor, enforceable in accordance with its terms, except as rights to indemnification thereunder may be limited by applicable law and except as the
enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or affecting the rights and remedies of creditors or by general equitable principles. 
  

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 (viii) The Registration Rights Agreement has been duly authorized, executed and delivered by, and is a
valid and binding agreement of, the Company and each Guarantor, enforceable in accordance with its terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws relating to or
affecting the rights and remedies of creditors or by general equitable principles and except as rights to indemnification under the Registration Rights Agreement may be limited by applicable law. 
  
 (ix) The DTC Agreement has been duly authorized, executed and delivered by,
and is a valid and binding agreement of the Company, enforceable in accordance with its terms. 
  
 (x) The Indenture has been duly authorized, executed and delivered by the Company and each Guarantor and (assuming the due authorization, execution and delivery thereof by the Trustee) constitutes a valid and binding
agreement of the Company and each Guarantor, enforceable against the Company and each Guarantor in accordance with its terms. 
  
 (xi) The Notes are in the form contemplated by the Indenture, have been duly authorized by the Company for issuance and sale pursuant to the Agreement and
the Indenture and, when executed by the Company and authenticated by the Trustee in the manner provided in the Indenture (assuming the due authorization, execution and delivery of the Indenture by the Trustee) and delivered against payment of the
purchase price therefor, will constitute valid and binding obligations of the Company, enforceable against the Company in accordance with their terms. 
  
 (xii) The Exchange Notes have been duly and validly authorized for issuance by the Company, and when issued and authenticated in accordance with the terms
of the Indenture, the Registration Rights Agreement and the Exchange Offer, will constitute valid and binding obligations of the Company, enforceable against the Company in accordance with their terms. 
  
 (xiii) The Guarantees of the Notes and the Exchange Notes are in the
respective forms contemplated by the Indenture, have been duly authorized for issuance and sale pursuant to this Agreement and the Indenture and, at the Closing Date, will have been duly executed by each of the Guarantors and, when the Notes have
been authenticated in the manner provided for in the Indenture and delivered against payment of the purchase price therefor, will constitute valid and binding agreements of the Guarantors, enforceable in accordance with their terms. 
  
 (xiv) The Securities, the Guarantees and the Indenture conform in all
material respects to the descriptions thereof contained in the Offering Memorandum. 
  
 (xv) The documents incorporated by reference in the Offering Memorandum (other than the financial statements and supporting schedules therein, as to which no opinion need be rendered), when they were filed with the
Commission, complied as to form in all material respects with the requirements of the Exchange Act (except for the Form 8-K filed with the Commission on May 5, 2003 which did not include a signature page). 
  
 (xvi) The statements in the Offering Memorandum under the captions
“Description of Certain Indebtedness,” “Certain Transactions,” “Certain United States Federal Tax Considerations” and “Notice to Investors,” insofar as such statements constitute matters of law, summaries of
legal matters, the Company’s charter or by-law provisions, documents or legal 
  

 A-2 








 proceedings, or legal conclusions, have been reviewed by us and fairly present, in all material respects, the matters
referred to therein. 
  
 (xvii) No consent, approval,
authorization or other order of, or registration or filing with, any court or other governmental or regulatory authority or agency, is required for the Company’s and each Guarantor’s execution, delivery and performance of the Agreement,
the Registration Rights Agreement, the DTC Agreement or the Indenture, or the issuance and delivery of the Securities, the Guarantees or the Exchange Securities, or consummation of the transactions contemplated thereby and by the Offering
Memorandum, except such as have been obtained or made by the Company or any of the Guarantors and are in full force and effect under the Securities Act, applicable state securities or blue sky laws and except such as may be required by federal and
state securities laws with respect to the Company’s or each of the Guarantors’ obligations under the Registration Rights Agreement. 
  
 (xviii) The execution and delivery of the Purchase Agreement, the Registration Rights Agreement, the DTC Agreement, the Securities, the Exchange
Securities and the Indenture by the Company and each of the Guarantor party thereto and the performance by the Company and each of the Guarantors of their respective obligations thereunder (other than performance by the Company and each of the
Guarantors party thereto obligations under the indemnification sections of the Purchase Agreement, as to which we render no opinion) (i) have been duly authorized by all necessary corporate or limited liability company (as appropriate) action on the
part of the Company and each of the Guarantors party thereto; (ii) will not result in any violation of the provisions of the charter or by-laws of the Company or any Guarantor; (iii) will not constitute a breach of, or Default or a Debt Repayment
Triggering Event under, or result in the creation or imposition of any lien, charge or encumbrance upon any property or assets of the Company or any of its subsidiaries pursuant to an existing credit agreement, or any other material Existing
Instrument; or (iv) will not result in any violation of any law, statue, rule or administrative regulation or administrative or court decree applicable to the Company or any subsidiary. 
  
 (xix) None of the Company nor any of the Guarantors is, or after receipt of payment for the Securities will be, an
“investment company” within the meaning of Investment Company Act. 
  
 (xx) Neither the Company nor any subsidiary is in violation of its charter or by-laws or any law, administrative regulation or administrative or court decree applicable to the Company or any subsidiary or is in
Default in the performance or observance of any obligation, agreement, covenant or condition contained in any material Existing Instrument, except in each such case for such violations or Defaults as would not, individually or in the aggregate,
result in a Material Adverse Change. 
  
 (xxi) Assuming the
accuracy of the representations, warranties and covenants of the Company, the Guarantors and the Initial Purchasers contained in the Purchase Agreement, no registration of the Notes or the Guarantees under the Securities Act, and no qualification of
an indenture under the Trust Indenture Act with respect thereto, is required in connection with the purchase of the Securities by the Initial Purchasers or the initial resale of the Securities by the Initial Purchasers to Qualified Institutional
Buyers or pursuant to Regulation S under the Securities Act in the manner contemplated by the Agreement and the Offering Memorandum other than any registration or qualification that may be required in connection with the Exchange 
  

 A-3 








 Offer contemplated by the Offering Memorandum or in connection with the Registration Rights Agreement. We need express no
opinion, however, as to when or under what circumstances any Initial Notes initially sold by the Initial Purchasers may be reoffered or resold. 
  
 In addition, we have participated in conferences with officers and other representatives of the Company and the Guarantors, representatives of the
independent public or certified public accountants for the Company and with representatives of the Initial Purchasers at which the contents of the Offering Memorandum, and any supplements or amendments thereto, and related matters were discussed
and, although we are not passing upon and do not assume any responsibility for the accuracy, completeness or fairness of the statements contained in the Offering Memorandum (other than as specified above), and any supplements or amendments thereto,
on the basis of the foregoing, nothing has come to our attention that causes us to believe that the Offering Memorandum, as of its date or at the Closing Date, contained or contains an untrue statement of a material fact or omitted or omits 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 (it being understood that we express no belief as to the financial statements or other financial data
derived therefrom, included in the Offering Memorandum or any amendments or supplements thereto). 
  
 In rendering such opinion, such counsel may rely as to matters involving the application of laws of any jurisdiction other than the General Corporation
Law of the State of Delaware, the laws of the State of New York or the federal law of the United States, to the extent they deem proper and specified in such opinion, upon the opinion (which shall be dated the Closing Date shall be satisfactory in
form and substance to the Initial Purchasers, shall expressly state that the Initial Purchasers may rely on such opinion as if it were addressed to them and shall be furnished to the Initial Purchasers) of other counsel of good standing whom they
believe to be reliable and who are satisfactory to counsel for the Initial Purchasers; provided, however, that such counsel shall further state that they believe that they and the Initial Purchasers are justified in relying upon such opinion
of other counsel, and as to matters of fact, to the extent they deem proper, on certificates of responsible officers of the Company and public officials. 
  

 A-4 








 ANNEX I 
  
 Each Initial Purchaser understands that: 
  
 (i) Such Initial Purchaser agrees that it has not offered or sold and will not offer or sell the Securities in the United States or to, or for the benefit
or account of, a U.S. Person (other than a distributor), in each case, as defined in Rule 902 under the Securities Act as part of its distribution at any time and (ii) otherwise until 40 days after the later of the commencement of the offering of
the Securities pursuant hereto and the Closing Date, other than in accordance with Regulation S of the Securities Act or another exemption from the registration requirements of the Securities Act. Such Initial Purchaser agrees that, during such
40-day restricted period, it will not cause any advertisement with respect to the Securities (including any “tombstone” advertisement) to be published in any newspaper or periodical or posted in any public place and will not issue any
circular relating to the Securities, except such advertisements as are permitted by and include the statements required by Regulation S. 
  
 Such Initial Purchaser agrees that, at or prior to confirmation of a sale of Securities by it to any distributor, dealer or person receiving a selling
concession, fee or other remuneration during the 40-day restricted period referred to in Rule 903 under the Securities Act, it will send to such distributor, dealer or person receiving a selling concession, fee or other remuneration a confirmation
or notice to substantially the following effect: 
  
 “The
Securities covered hereby have not been registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and may not be offered and sold within the United States or to, or for the account or benefit of, U.S. persons, as
part of your distribution at any time or (ii) otherwise until 40 days after the later of the date the Notes were first offered to persons other than “distributors” (as defined in Regulation S) in reliance upon Regulation S and the Closing
Date, except in either case in accordance with Regulation S under the Securities Act (or Rule 144A or to Accredited Institutions in transactions that are exempt from the registration requirements of the Securities Act), and in connection with any
subsequent sale by you of the Notes covered hereby in reliance on Regulation S during the period referred to above to any distributor, dealer or person receiving a selling concession, fee or other remuneration, you must deliver a notice to
substantially the foregoing effect. Terms used above have the meanings assigned to them in Regulation S.” 
  

 Annex I-1