EXHIBIT 4.ii11 


 
 
 
 
LUCENT TECHNOLOGIES
INC.


 
 
 
and


 
 
THE BANK OF NEW YORK
 as Trustee


 
 




 
 
INDENTURE


 
 
Dated as of
 November 24, 2003


 




 
 
8.00% CONVERTIBLE SUBORDINATED DEBENTURES DUE
2031


 
















Table of Contents



	
 	 	 	    	
 	    	Page

	
ARTICLE  1
 DEFINITIONS


	Section
1.01.
	    	    	    	Definitions
	    	    	1	   
	 
	    	    	    	    	    	    	    	    	    	    
	
ARTICLE  2
 ISSUE, DESCRIPTION, EXECUTIION,
REGISTRATION AND EXCHANGE OF DENTURES


	 
	Section
2.01.
	    	    	    	Designation, Amount and Issue of Debentures
	    	    	8	  
	Section
2.02.
	    	    	    	Form of Debentures
	    	    	8	   
	Section
2.03.
	    	    	    	Date and Denomination of Debentures; Payments of Interest
	    	    	8	   
	Section
2.04.
	    	    	    	Execution of Debentures
	    	    	10	   
	Section
2.05.
	    	    	    	Exchange and Registration of Transfer of Debentures;
Restrictions on Transfer; Depositary.
	    	    	10	   
	Section
2.06.
	    	    	    	Mutilated, Destroyed, Lost or Stolen Debentures
	    	    	15	   
	Section
2.07.
	    	    	    	Temporary Debentures
	    	    	16	   
	Section
2.08.
	    	    	    	Cancellation of Debentures Paid, etc
	    	    	16	   
	Section
2.09.
	    	    	    	CUSIP Number
	    	    	16	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  3
REDEMPTION OF DEBENTURES


	 
	Section
3.01.
	    	    	    	Redemption At The Company’s Option
	    	    	16	  
	Section
3.02.
	    	    	    	Conversion Arrangement On Call For Redemption
	    	    	18	   
	Section
3.03.
	    	    	    	Redemption at the Option of the Holder
	    	    	19	   
	Section
3.04.
	    	    	    	General Provisions Relating to Redemption
	    	    	20	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  4
SUBORDINATION OF DEBENTURES


	 
	Section
4.01.
	    	    	    	Agreement of Subordination
	    	    	21	  
	Section
4.02.
	    	    	    	Payments to Debentureholders
	    	    	22	   
	Section
4.03.
	    	    	    	Subrogation of Debentures
	    	    	24	   
	Section
4.04.
	    	    	    	Authorization to Effect Subordination
	    	    	24	   
	Section
4.05.
	    	    	    	Notice to Trustee
	    	    	25	   
	Section
4.06.
	    	    	    	Trustee’s Relation to Senior Indebtedness
	    	    	25	   
	Section
4.07.
	    	    	    	No
Impairment of Subordination
	    	    	25	   
	Section
4.08.
	    	    	    	Certain Conversions Not Deemed Payment
	    	    	26	   
	Section
4.09.
	    	    	    	Article Applicable to Paying Agents
	    	    	26	   
	Section
4.10.
	    	    	    	Senior Indebtedness Entitled to Rely
	    	    	26	   
	Section
4.11.
	    	    	    	Reliance on Judicial Order or Certificate of Liquidating Agent
	    	    	26	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  5
 PARTICULAR CONVENANTS OF THE COMPANY


	 
	Section
5.01.
	    	    	    	Payment of Debentures
	    	    	26	  
	Section
5.02.
	    	    	    	Maintenance of Office or Agency
	    	    	27	   
	Section
5.03.
	    	    	    	[Intentionally Omitted]
	    	    	27	   
	Section
5.04.
	    	    	    	Provisions as to Paying Agent.
	    	    	27	   
	Section
5.05.
	    	    	    	Rule 144A Information Requirement
	    	    	28	   
	Section
5.06.
	    	    	    	Stay, Extension and Usury Laws
	    	    	28	   
	Section
5.07.
	    	    	    	Notice of Default
	    	    	28	  











	
 	 	 	    	
 	    	Page

	Section
5.08.
	    	    	    	Additional Interest
	    	    	29	   
	Section
5.09.
	    	    	    	Additional Interest Notice
	    	    	29	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  6
 DEBENTUREHOLDERS’ LISTS AND REPORTS BY THE
 COMPANY AND THE TRUSTEE


	 
	Section
6.01.
	    	    	    	Debentureholders’ Lists
	    	    	29	  
	Section
6.02.
	    	    	    	Preservation and Disclosure of Lists
	    	    	30	   
	Section
6.03.
	    	    	    	Reports by Trustee.
	    	    	30	   
	Section
6.04.
	    	    	    	Reports by Company
	    	    	30	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  7
 REMEDIES OF THE TRUSTEE AND
DEBENTUREHOLDERS ON AN EVENT OF DEFAULT


	 
	Section
7.01.
	    	    	    	Events of Default; Acceleration of Maturity; Waiver of Default
	    	    	31	  
	Section
7.02.
	    	    	    	Collection Of Indebtedness By Trustee; Trustee May Prove Debt
	    	    	32	   
	Section
7.03.
	    	    	    	Application Of Proceeds
	    	    	34	   
	Section
7.04.
	    	    	    	Limitation On Suits By Debentureholders
	    	    	34	   
	Section
7.05.
	    	    	    	Powers And Remedies Cumulative; Delay Or
Omission Not Waiver Of Default
	    	    	35	   
	Section
7.06.
	    	    	    	Control By Debentureholders; Waiver Of Defaults
	    	    	35	   
	Section
7.07.
	    	    	    	Right Of Court To Require Filing Of Undertaking To Pay Costs
	    	    	35	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  8
THE TRUSTEE


	 
	Section
8.01.
	    	    	    	Duties and Responsibilities of Trustee
	    	    	36	  
	Section
8.02.
	    	    	    	Reliance on Documents, Opinions, etc
	    	    	37	   
	Section
8.03.
	    	    	    	Notice Of Default
	    	    	37	   
	Section
8.04.
	    	    	    	No
Responsibility for Recitals, etc
	    	    	37	   
	Section
8.05.
	    	    	    	Trustee, Paying Agents, Conversion Agents or
Registrar May Own Debentures
	    	    	38	   
	Section
8.06.
	    	    	    	Monies to Be Held in Trust
	    	    	38	   
	Section
8.07.
	    	    	    	Compensation And Indemnity.
	    	    	38	   
	Section
8.08.
	    	    	    	Officers’ Certificate as Evidence
	    	    	38	   
	Section
8.09.
	    	    	    	Conflicting Interests of Trustee
	    	    	39	   
	Section
8.10.
	    	    	    	Eligibility of Trustee
	    	    	39	   
	Section
8.11.
	    	    	    	Resignation or Removal of Trustee
	    	    	39	   
	Section
8.12.
	    	    	    	Acceptance by Successor Trustee
	    	    	40	   
	Section
8.13.
	    	    	    	Succession by Merger, etc
	    	    	40	   
	Section
8.14.
	    	    	    	Preferential Collection of Claims
	    	    	41	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  9
THE DEBENTUREHOLDERS


	 
	Section
9.01.
	    	    	    	Action by Debentureholders
	    	    	41	  
	Section
9.02.
	    	    	    	Proof of Execution by Debentureholders
	    	    	41	   
	Section
9.03.
	    	    	    	Who Are Deemed Absolute Owners
	    	    	41	   
	Section
9.04.
	    	    	    	Company-Owned Debentures Disregarded
	    	    	42	   
	Section
9.05.
	    	    	    	Revocation of Actions; Future Holders Bound
	    	    	42	   



ii














	
 	 	 	    	
 	    	Page

	ARTICLE  10
MEETINGS OF DEBENTUREHOLDERS


	 
	Section
10.01.
	    	    	    	Purpose of Meetings
	    	    	42	  
	Section
10.02.
	    	    	    	Call of Meetings by Trustee
	    	    	43	   
	Section
10.03.
	    	    	    	Call of Meetings by Company or Debentureholders
	    	    	43	   
	Section
10.04.
	    	    	    	Qualifications for Voting
	    	    	43	   
	Section
10.05.
	    	    	    	Regulations
	    	    	43	   
	Section
10.06.
	    	    	    	Voting
	    	    	44	   
	Section
10.07.
	    	    	    	No
Delay of Rights by Meeting
	    	    	44	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  11
SUPPLEMENTAL INDENTURES


	 
	Section
11.01.
	    	    	    	Supplemental Indentures Without Consent Of Debentureholders
	    	    	44	  
	Section
11.02.
	    	    	    	Supplemental Indenture with Consent of Debentureholders
	    	    	45	   
	Section
11.03.
	    	    	    	Effect of Supplemental Indenture
	    	    	46	   
	Section
11.04.
	    	    	    	Notation on Debentures
	    	    	46	   
	Section
11.05.
	    	    	    	Evidence of Compliance of Supplemental Indenture to Be
Furnished to Trustee
	    	    	46	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  12
SUCCESSOR CORPORATION


	 
	Section
12.01.
	    	    	    	Consolidation, Merger, Sale Or Conveyance
	    	    	47	  
	Section
12.02.
	    	    	    	Assumption And Substitution
	    	    	47	   
	Section
12.03.
	    	    	    	Opinion Of Counsel
	    	    	47	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  13
 SATISFACTION AND DISCHARGE OF
INDENTURE


	 
	Section
13.01.
	    	    	    	Discharge of Indenture
	    	    	48	  
	Section
13.02.
	    	    	    	Deposited Monies to Be Held in Trust by Trustee
	    	    	48	   
	Section
13.03.
	    	    	    	Paying Agent to Repay Monies Held
	    	    	48	   
	Section
13.04.
	    	    	    	Return of Unclaimed Monies
	    	    	48	   
	Section
13.05.
	    	    	    	Reinstatement
	    	    	49	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  14
IMMUNITY OF INCORPORATORS, STOCKHOLDERS,
OFFICERS AND DIRECTORS


	 
	Section
14.01.
	    	    	    	Indenture and Debentures Solely Corporate Obligations
	    	    	49	  
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  15
CONVERSION OF DEBENTURES


	 
	Section
15.01.
	    	    	    	Right to Convert
	    	    	49	  
	Section
15.02.
	    	    	    	Exercise of Conversion Privilege; Issuance of Common Stock on Conversion; No Adjustment for Interest or Dividends
	    	    	50	   
	Section
15.03.
	    	    	    	Scrip in Lieu of Fractional Shares
	    	    	51	   
	Section
15.04.
	    	    	    	Conversion Price
	    	    	51	   
	Section
15.05.
	    	    	    	Adjustment of Conversion Price
	    	    	51	   
	Section
15.06.
	    	    	    	Taxes on Shares Issued
	    	    	56	   
	Section
15.07.
	    	    	    	Reservation of Shares; Shares to Be Fully Paid; Compliance with Governmental Requirements; Listing of Common Stock
	    	    	56	   



iii














	
 	 	 	    	
 	    	Page

	Section
15.08.
	    	    	    	Responsibility of Trustee
	    	    	57	   
	Section
15.09.
	    	    	    	Notice to Holders Prior to Certain Actions
	    	    	57	   
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  16
CHANGE OF CONTROL


	 
	Section
16.01.
	    	    	    	Change Of Control Put Right
	    	    	58	  
	 
	    	    	    	    	    	    	    	    	    	    
	ARTICLE  17
MISCELLANEOUS PROVISIONS


	 
	Section
17.01.
	    	    	    	Provisions Binding on Company’s Successors
	    	    	59	  
	Section
17.02.
	    	    	    	Official Acts by Successor Corporation
	    	    	59	   
	Section
17.03.
	    	    	    	Addresses for Notices, etc
	    	    	60	   
	Section
17.04.
	    	    	    	Governing Law
	    	    	60	   
	Section
17.05.
	    	    	    	Evidence of Compliance with Conditions Precedent; Certificates To Trustee
	    	    	60	   
	Section
17.06.
	    	    	    	Legal Holidays
	    	    	61	   
	Section
17.07.
	    	    	    	Trust Indenture Act
	    	    	61	   
	Section
17.08.
	    	    	    	No
Security Interest Created
	    	    	61	   
	Section
17.09.
	    	    	    	Benefits of Indenture
	    	    	61	   
	Section
17.10.
	    	    	    	Table of Contents, Headings, etc
	    	    	61	   
	Section
17.11.
	    	    	    	Authenticating Agent
	    	    	61	   
	Section
17.12.
	    	    	    	Execution in Counterparts
	    	    	62	   
	Section
17.13.
	    	    	    	Severability
	    	    	62	   
	Section
17.14.
	    	    	    	No
Adverse Interpretation Of Other Agreements
	    	    	62	   


 





iv















Reconciliation and Tie Between the Trust Indenture
Act of 1939 and Indenture, dated as of November 24, 2003, between Lucent Technologies Inc. and The Bank of New York, as Trustee.



	TRUST INDENTURE ACT SECTION	INDENTURE SECTION
	Section 310	(a)(1)	8.09
	 	(a)(2)	8.09
	 	(a)(3)	N.A.
	 	(a)(4)	N.A.
	 	(a)(5)	8.09
	 	(b)	8.09; 8.09; 8.11; 8.12
	Section 311	(a)	8.14
	 	(b)	8.14
	 	(b)(2)	8.14
	Section 312	(a)	6.01; 6.02(a)
	 	(b)	6.02(b)
	 	(c)	6.02(c)
	Section 313	(a)	6.03(a)
	 	(b)	6.03(a)
	 	(c)	6.03(a)
	 	(d)	6.03(b)
	Section 314	(a)	6.04
	 	(b)	N.A.
	 	(c)(1)	17.05
	 	(c)(2)	17.05
	 	(c)(3)	N.A.
	 	(d)	N.A.
	 	(e)	17.05
	Section 315	(a)	8.01
	 	(b)	8.04
	 	(c)	8.01
	 	(d)	8.01
	 	(d)(1)	8.01(a)
	 	(d)(2)	8.01(b)
	 	(d)(3)	8.01(c)
	 	(e)	7.07
	Section 316	(a)	7.06
	 	(a)(1)(A)	7.06
	 	(a)(1)(B)	7.06
	 	(a)(2)	N.A.
	 	(b)	7.04
	Section 317	(a)(1)	7.02
	 	(a)(2)	7.02
	 	(b)	5.04
	Section 318	(a)	17.07


 








	*
	 	Note: This reconciliation and tie shall not, for any purpose, be
deemed to be a part of the Indenture.





	**
	 	Note: N.A. means Not Applicable.

















INDENTURE



INDENTURE, dated as of November 24, 2003, between
Lucent Technologies Inc., a Delaware corporation (hereinafter called the “Company”), having its principal office at 600 Mountain
Avenue, Murray Hill, New Jersey 07974, and The Bank of New York, a New York banking corporation, as trustee hereunder (hereinafter called the
“Trustee”), having its principal corporate office at 101 Barclay Street, New York, New York 10286.


W I T N E S S E T H:



WHEREAS, for its lawful corporate purposes, the
Company has duly authorized the issue of its 8.00% Convertible Subordinated Debentures due 2031 (hereinafter called the “Debentures”),
in an aggregate principal amount not to exceed the aggregate accreted liquidation preference of the Preferred Stock and, to provide the terms and
conditions upon which the Debentures are to be authenticated, issued and delivered, the Company has duly authorized the execution and delivery of this
Indenture; and



WHEREAS, the Debentures are to be issued in exchange
for the Preferred Stock pursuant to the Certificate of Designations which governs the Preferred Stock; and



WHEREAS, the Debentures, the certificate of
authentication to be borne by the Debentures, a form of assignment, a form of option to elect redemption upon a Change of Control, a form of option to
elect redemption on a specified Redemption Date and a form of conversion notice to be borne by the Debentures are to be substantially in the forms
hereinafter provided for; and



WHEREAS, all acts and things necessary to make the
Debentures, when executed by the Company and authenticated and delivered by the Trustee or a duly authorized authenticating agent, as in this Indenture
provided, the valid, binding and legal obligations of the Company, and to constitute this Indenture a valid agreement according to its terms, have been
done and performed, and the execution of this Indenture and the issue hereunder of the Debentures have in all respects been duly
authorized.


NOW, THEREFORE, THIS INDENTURE WITNESSETH:



That in order to declare the terms and conditions
upon which the Debentures are, and are to be, authenticated, issued and delivered, and in consideration of the premises and of the purchase and
acceptance of the Debentures by the holders thereof, the Company covenants and agrees with the Trustee for the equal and proportionate benefit of the
respective holders from time to time of the Debentures (except as otherwise provided below), as follows:


ARTICLE 1
 DEFINITIONS



Section
1.01.    Definitions.    The terms defined in this Section 1.01 (except as herein otherwise expressly
provided or unless the context otherwise requires) for all purposes of this Indenture and of any indenture supplemental hereto shall have the
respective meanings specified in this Section 1.01. All other terms used in this Indenture that are defined in the Trust Indenture Act or which are by
reference therein defined in the Securities Act (except as herein otherwise expressly provided or unless the context otherwise requires) shall have the
meanings assigned to such terms in said Trust Indenture Act and in said Securities Act as in force at the date of the execution of this Indenture. The
words “herein”, “hereof”, “hereunder”, and words of similar import refer to this Indenture as a
whole and not to any particular Article, Section or other Subdivision. The terms defined in this Article include the plural as well as the
singular.



“Additional Interest” has the
meaning specified in Section 5.08.



“Affiliate” of any specified Person
means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For
the










purposes of this definition, “control”, when used with respect to
any specified Person means the power to direct or cause the direction of the management and policies of such Person, directly or indirectly, whether
through the ownership of voting securities, by contract or otherwise, and the terms “controlling” and “controlled”
have meanings correlative to the foregoing.



“Board of Directors” means the
Board of Directors of the Company or a committee of such Board duly authorized to act for it hereunder.



“Business Day” means each Monday,
Tuesday, Wednesday, Thursday and Friday which is not a day on which the banking institutions in The City of New York or the city in which the Corporate
Trust Office is located are authorized or obligated by law or executive order to close or be closed.



“Capital Stock” of any Person means
any and all shares, interests, participations or other equivalents however designated of corporate stock or other entity participations, including
partnership interests, whether general or limited, of such Person and any rights (other than debt securities convertible or exchangeable into an equity
interest), warrants or options to acquire an equity interest in such Person.



“Certificate of Designations” means
the Certificate of Designations governing the Preferred Stock filed with the Secretary of State of the state of Delaware on August 6,
2001.



“Certificated Debenture” has the
meaning specified in Section 2.05(c).



“Change of Control” means, with
respect to the Company, the occurrence of any of the following:



(a)    if any “person”
or “group” (as such terms are used in Section 13(d) and Section 14(d) of the Exchange Act or any successor provisions to either of the
foregoing), including any group acting for the purpose of acquiring, holding, voting or disposing of securities within the meaning of Rule 13d-5(b)(1)
under the Exchange Act, becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act, except that a person will be deemed
to have “beneficial ownership” of all shares that any such person has the right to acquire, whether such right is exercisable immediately or
only after the passage of time), directly or indirectly, of 50% or more of the total voting power of the Voting Stock of the Company;
or



(b)    if the Company
consolidates or merges with or into any other Person, other than a consolidation or merger under a transaction in which the outstanding Voting Stock of
the Company remains outstanding or is changed into or exchanged for cash, securities or other property with the effect that the beneficial owners of
the Company’s outstanding Voting Stock immediately before that transaction, beneficially own, directly or indirectly, more than 50% of the Voting
Stock, measured by voting power rather than number of shares, of the surviving corporation immediately following that transaction; or



(c)    upon the sale, transfer,
assignment, lease, conveyance or other disposition, directly or indirectly, of all or substantially all the assets of the Company and its Subsidiaries
considered as a whole; or



(d)    if during any period of
two consecutive years, individuals who at the beginning of such period constituted the Board of Directors (together with any new directors whose
election or appointment by the Board of Directors or whose nomination for election by the Company’s stockholders was approved by a vote of a
majority of the directors then still in office who were either directors at the beginning of such period or whose election or nomination for election
was previously so approved) cease for any reason to constitute a majority of the Company’s Board of Directors then in office.



“Common Stock” means the shares of
common stock, par value $0.01 per share, of the Company.



2












“Company” means the corporation
named as the “Company” in the first paragraph of this Indenture, and, subject to the provisions of Article 12, shall include its
successors and assigns.



“Conversion Price” has the meaning
specified in Section 15.04.



“Corporate Trust Office” or other
similar term, means the designated office of the Trustee at which at any particular time its corporate trust business shall be administered, which
office is, at the date as of which this Indenture is dated, located at 101 Barclay Street, New York, New York 10286, Attention: Corporate Trust
Administration.



“Current Market Price” of the
Common Stock means (a) in the case of Section 15.05(a)(iii), the average of the Sale Prices of the Common Stock for the five consecutive Trading Days
selected by the Board of Directors beginning not more than 20 Trading Days before, and ending not later than the date immediately preceding the record
date for the event described in Section 15.05(a)(iii), (b) in the case of Section 15.05(a)(iv), the average of the Sale Prices of the Common Stock for
the first 10 Trading Days from, and including, the first day that the Common Stock trades ex-distribution and (c) in the case of Section
15.05(a)(viii), the average of the Sale Prices of Common Stock for the period of five consecutive Trading Days after the Common Stock trades
ex-distribution; provided, that the Current Market Price of the Common Stock in connection with a Spin-Off shall mean the average of the Sale
Prices of the Common Stock over the first 10 Trading Days after the effective date of the Spin-Off; provided further, that if an Initial Public
Offering of the securities being distributed in any Spin-Off is to be effected simultaneously with such Spin-Off, the Current Market Price of the
Common Stock shall mean the Sale Price of the Common Stock on the Trading Day on which the Initial Public Offering price of such securities is
determined.



“Custodian” means The Bank of New
York, as custodian with respect to the Debentures in global form, or any successor entity thereto.



“Debenture” or
“Debentures” means any Debenture or Debentures, as the case may be, authenticated and delivered under this Indenture, including any
Global Debenture.



“Debenture Principal Amount” means
the Accreted Liquidation Preference of one share of Preferred Stock as of the effective date of the Exchange, rounded down to the nearest whole dollar
amount.



“Debenture Register” has the
meaning specified in Section 2.05.



“Debenture Registrar” has the
meaning specified in Section 2.05.



“Debentureholder” or
“holder” as applied to any Debenture, or other similar terms (but excluding the term “beneficial holder”), means any
Person in whose name at the time a particular Debenture is registered on the Debenture Registrar’s books.



“Defaulted Interest” has the
meaning specified in Section 2.03.



“Depositary” means, with respect to
the Debentures issuable or issued in whole or in part in global form, the Person specified in Section 2.05(c) as the Depositary with respect to such
Debentures, until a successor shall have been appointed and become such pursuant to the applicable provisions of this Indenture, and thereafter,
“Depositary” shall mean or include such successor.



“Designated Senior Indebtedness”
means the Company’s obligations under the Existing Debt and any other Senior Indebtedness in which the instrument creating or evidencing the same
or the assumption or guarantee thereof (or related agreements or documents to which the Company is a party) expressly provides that such Senior
Indebtedness shall be “Designated Senior Indebtedness” for purposes of this Indenture (provided that such instrument, agreement
or other document may place limitations and conditions on the right of such Senior Indebtedness to exercise the rights of Designated Senior
Indebtedness). If any



3











payment made to any holder of any Designated Senior Indebtedness or its
Representative with respect to such Designated Senior Indebtedness is rescinded or must otherwise be returned by such holder or Representative upon the
insolvency, bankruptcy or reorganization of the Company or otherwise, the reinstated indebtedness of the Company arising as a result of such rescission
or return shall constitute Designated Senior Indebtedness effective as of the date of such rescission or return.



“Event of Default” means any event
specified in Section 7.01.



“Exchange” has the meaning
specified in Section 10 of the Certificate of Designations which governs the Preferred Stock.



“Exchange Act” means the Securities
Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, as in effect from time to time.



“Existing Debt” means all
indebtedness outstanding as of the date of this agreement under the Company’s Letter of Credit Issuance and Reimbursement Agreement, dated as of
May 28, 2003, with several banks and other parties thereto and JPMorgan Chase Bank, as administrative agent, and under the External Sharing Debt
Agreement, dated as of May 28, 2003, among Lucent Technologies Inc., several banks and other parties thereto and JPMorgan Chase Bank, as administrative
agent.



“Expiration Time” has the meaning
set forth in Section 15.05(a)(vii).



“Fair Market Value” means (i) in
the case of a distribution referred to in the first paragraph of Section 15.05(a)(iv)or a tender or exchange offer referred to in Section
15.05(a)(vii), the value determined by the Board of Directors, whose determination in good faith shall be conclusive, (ii) in the case of securities to
be distributed to the holders of the Common Stock in connection with a Spin-Off that is not effected simultaneously with an Initial Public Offering of
the securities being distributed in the Spin-Off, the average of the Sale Prices of those securities over the first 10 Trading Days from, and
including, the effective date of the SpinOff and (iii) in the case of securities being distributed in any Spin-Off that is effected simultaneously with
an Initial Public Offering, the Initial Public Offering price.



“Fundamental Change” has the
meaning specified in Section 15.05(a)(v).



“Global Debenture” has the meaning
set forth in Section 2.05(b).



“Indenture” means this instrument
as originally executed or, if amended or supplemented as herein provided, as so amended or supplemented.



“Initial Public Offering” means, in
the event of a Spin-Off, the first time securities of the same class or type as the securities being distributed in the Spin-Off are bona fide offered
to the public for cash.



“Initial Purchasers” means the
purchasers set forth on Schedule I to the Purchase Agreement.



“Initial Redemption Date” has the
meaning specified in Section 3.01(a).



“Interest” means an annual rate of
8.00% of the principal amount of the Debentures, plus Additional Interest, if any.



“Market Price” means the average of
the Sale Prices of the Company’s Common Stock for the twenty Trading Day period ending on the third Business Day prior to the applicable
Redemption Date (if the third Business Day prior to the applicable Redemption Date is a Trading Day, or if not, then on the last Trading Day prior to
the third Business Day), appropriately adjusted to take into account the occurrence, during the period commencing on the first of the Trading Days
during the twenty Trading Day period and ending on the Redemption Date, of any event that would result in an adjustment to the conversion price of the
Debentures.



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“Nasdaq” has the meaning specified
in Section 3.04(a)(ii).




“Non-Payment Default” has the
meaning specified in Section 4.02(ii).



“Notice” means, unless otherwise
specified or required by applicable law, publication on Bloomberg or the Company’s website or by any other electronic means of publication
reasonably calculated to constitute notice.



“Officer” means the Chairman of the
Board, the Chief Executive Officer, the Chief Financial Officer, the President, any Vice President, the Treasurer, any Assistant Treasurer, the
Secretary or any Assistant Secretary of the Company.



“Officers’ Certificate” means
a certificate signed by two officers.



“Opinion of Counsel” means an
opinion in writing signed by legal counsel, who may be an employee of or counsel to the Company.



“Outstanding”, when used with
reference to Debentures and subject to the provisions of Section 9.04, means, as of any particular time, all Debentures authenticated and delivered by
the Trustee under this Indenture, except:



(a)    Debentures theretofore
canceled by the Trustee or delivered to the Trustee for cancellation;



(b)    Debentures, or portions
thereof, (i) for the redemption of which monies in the necessary amount shall have been deposited in trust with the Trustee or with any paying agent
(other than the Company) or (ii) which shall have been otherwise discharged in accordance with Article 13;



(c)    Debentures in lieu of
which, or in substitution for which, other Debentures shall have been authenticated and delivered pursuant to the terms of Section 2.06,
and



(d)    Debentures converted into
Common Stock pursuant to Article 15 and Debentures deemed not outstanding pursuant to Article 3.



“Payment Blockage Notice” has the
meaning specified in Section 4.02(ii).



“Person” means a corporation, an
association, a partnership, a limited liability company, an individual, a joint venture, a joint stock company, a trust, an unincorporated organization
or a government or an agency or a political subdivision thereof.



“Portal Market” means the PORTAL
Market operated by the National Association of Securities Dealers, Inc. or any successor thereto.



“Predecessor Debenture” of any
particular Debenture means every previous Debenture evidencing all or a portion of the same debt as that evidenced by such particular Debenture, and,
for the purposes of this definition, any Debenture authenticated and delivered under Section 2.06 in lieu of a mutilated, lost, destroyed or stolen
Debenture shall be deemed to evidence the same debt as the lost, destroyed or stolen Debenture that it replaces.



“Preferred Stock” means the
Company’s 8.00% Redeemable Convertible Preferred Stock.



“Purchase Agreement” means that
certain Purchase Agreement, dated as of August 1, 2001, by and among the Company and Salomon Smith Barney Inc. and Morgan Stanley & Co.,
Incorporated, as representatives of the Initial Purchasers.



“Purchased Shares” has the meaning
set forth in Section 15.05(a)(vii).



“QIB” means a “qualified
institutional buyer” as defined in Rule 144A.



“Redemption Date” shall mean (a) in
the case of a redemption pursuant to Section 3.01 and Section 16.01(c), the date fixed for redemption, and (b) in the case of a redemption pursuant to
Section 3.03, August 2, 2004, August 2, 2007, August 2, 2010 and August 2, 2016.



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“Redemption Notice” means, as the
context requires, either (a) notice of redemption provided by or on behalf of the Company to the holders or (b) notice of redemption provided by a
holder to the Company pursuant to Article 3.



“Redemption Price” means 100% of
the principal amount of the Debentures to be redeemed plus an amount equal to accrued and unpaid interest to, but excluding, the Redemption
Date.



“Registration Default” has the
meaning set forth in the Registration Rights Agreement.



“Registration Rights Agreement”
means that certain Registration Rights Agreement, dated as of August 6, 2001, by and among the Company and Salomon Smith Barney Inc. and Morgan Stanley
& Co., Incorporated, as representatives of the Initial Purchasers, as amended from time to time in accordance with its terms.



“Regulation S” means Regulation S
under the Securities Act.



“Representative” means (a) the
indenture trustee or other trustee, agent or representative for holders of Senior Indebtedness or (b) with respect to any Senior Indebtedness that does
not have any such trustee, agent or other representative, (i) in the case of such Senior Indebtedness issued pursuant to an agreement providing for
voting arrangements as among the holders or owners of such Senior Indebtedness, any holder or owner of such Senior Indebtedness acting with the consent
of the required persons necessary to bind such holders or owners of such Senior Indebtedness and (ii) in the case of all other such Senior
Indebtedness, the holder or owner of such Senior Indebtedness.



“Responsible Officer”, when used
with respect to the Trustee, means an officer of the Trustee in the Corporate Trust Office assigned and duly authorized by the Trustee to administer
this Indenture.



“Restricted Securities” has the
meaning specified in Section 2.05(c).



“Rule 144A” means Rule 144A as
promulgated under the Securities Act.



“Sale Price” of the Common Stock on
any Trading Day means the closing sale price per share (or if no closing sale price is reported, the average of the bid and ask prices or, if more than
one in either case, the average of the average bid and the average asked prices) on such Trading Day as reported in composite transactions for the
principal U.S. securities exchange on which the Common Stock is traded or, if the Common Stock is not listed on a U.S. national or regional securities
exchange, as reported by Nasdaq.



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



“Securities Act” means the
Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder, as in effect from time to time.



“Senior Indebtedness” means (a) the
principal of, premium, if any, and accrued and unpaid interest on the Company’s indebtedness for money borrowed, whether outstanding on the date
of execution of this Indenture or thereafter created, incurred or assumed, guarantees by the Company of indebtedness for money borrowed by any other
person, whether outstanding on the date of execution of this Indenture or thereafter created, incurred or assumed, indebtedness evidenced by notes,
debentures, bonds or other instruments of indebtedness for the payment of which the Company is responsible or liable, by guarantees or otherwise,
whether outstanding on the date of execution of this Indenture or thereafter created, incurred or assumed, and obligations of the Company’s under
any agreement to lease, or lease of, any real personal property, whether outstanding on the date of execution of this Indenture or



6











thereafter created, incurred or assumed, (b) any other indebtedness, liability or
obligation, contingent or otherwise, of the Company’s and any guarantee, endorsement or other contingent obligation in respect thereof, whether
outstanding on the date of execution of this Indenture or thereafter created, incurred or assumed; and (c) modifications, renewals, extensions and
refundings of any such indebtedness, liabilities or obligations; unless, in the instrument creating or evidencing the same or pursuant to which the
same is outstanding, it is provided that such indebtedness, liabilities or obligations, or such modification, renewal, extension or refunding thereof,
or the Company’s obligations pursuant to such a guarantee, are not senior in right of payment to the Debentures or expressly provides that such
indebtedness is “pari passu” or “junior” to the Debentures. Notwithstanding the foregoing, the term Senior
Indebtedness shall not include any indebtedness of the Company to any Subsidiary of the Company. If any payment made to any holder of any Senior
Indebtedness or its Representative with respect to such Senior Indebtedness is rescinded or must otherwise be returned by such holder or Representative
upon the insolvency, bankruptcy or reorganization of the Company or otherwise, the reinstated indebtedness of the Company arising as a result of such
rescission or return shall constitute Senior Indebtedness effective as of the date of such rescission or return.



“Significant Subsidiary” means, as
of any date of determination, a Subsidiary of the Company, if as of such date of determination that Subsidiary would be a “Significant
Subsidiary” of the Company within the meaning of Rule 1-02 under Regulation S-X under the Exchange Act.



“Spin-Off” means a dividend or
other distribution of shares of Capital Stock of any class or series, or similar equity interests, of or relating to a Subsidiary or other business
unit of the Company.



“Subsidiary” means, with respect to
any Person, (i) any corporation, association or other business entity of which more than 50% of the total voting power of shares of Capital Stock
entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time owned
or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person (or a combination thereof) and (ii) any
partnership (a) the sole general partner or managing general partner of which is such Person or a Subsidiary of such Person or (b) the only general
partners of which are such Person or of one or more Subsidiaries of such Person (or any combination thereof).



“Trading Day” means each day on
which the securities exchange or quotation system which is used to determine the Sale Price is open for trading or quotation.



“Trust Indenture Act” means the
Trust Indenture Act of 1939, as amended, as it was in force at the date of this Indenture, except as provided in Section 11.03; provided,
however, that, in the event the Trust Indenture Act of 1939 is amended after the date hereof, the term “Trust Indenture Act” shall
mean, to the extent required by such amendment, the Trust Indenture Act of 1939 as so amended.



“Trustee” means The Bank of New
York and its successors and any corporation resulting from or surviving any consolidation or merger to which it or its successors may be a party and
any successor trustee at the time serving as successor trustee hereunder.



“Vice President” has the meaning
specified in Section 2.01.



“Voting Stock” of any Person means
Capital Stock of such Person which ordinarily has voting power for the election of directors, or persons performing similar functions, of such Person,
whether at all times or only for so long as no senior class of securities has such voting power by reason of any contingency.



The definitions of certain other terms are as
specified in Section 2.05 and 3.03 and Article 15.



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ARTICLE 2
 ISSUE, DESCRIPTION,
EXECUTION, REGISTRATION
AND EXCHANGE OF DEBENTURES



Section 2.01.    Designation,
Amount and Issue of Debentures.    The Debentures shall be designated as “8.00% Convertible Subordinated Debentures due
2031.” Except pursuant to Section 2.05, Section 2.06, Section 2.07 Section 3.01(c), Section 3.03(d), Section 11.04 and Section 15.02, hereof,
Debentures not to exceed the aggregate principal amount equal to the aggregate accreted liquidation preference of the Preferred Stock outstanding upon
the effective date of the Exchange, may be executed by the Company and delivered to the Trustee for authentication, and the Trustee shall thereupon
authenticate and deliver said Debentures to or upon the written order of the Company, signed by (a) its Chairman of the Board of Directors, any
Vice-Chairman of the Board of Directors, Chief Executive Officer, President or any Vice President (whether or not designated by a number or numbers or
word or words added before or after the title “Vice President”, such Person a “Vice President”) and (b) its Treasurer or any
Assistant Treasurer, its Controller or any Assistant Controller or its Secretary or any Assistant Secretary, without any further action by the Company
hereunder.



Section 2.02.    Form of
Debentures.    The Debentures and the Trustee’s certificate of authentication to be borne by such Debentures shall be
substantially in the form set forth in Exhibit A, which is incorporated in and made a part of this Indenture.



Any of the Debentures may have such letters, numbers
or other marks of identification and such notations, legends and endorsements as the officers executing the same may approve (execution thereof to be
conclusive evidence of such approval) and as are not inconsistent with the provisions of this Indenture, or as may be required to comply with any law
or with any rule or regulation made pursuant thereto or with any rule or regulation of any securities exchange or automated quotation system on which
the Debentures may be listed, or to conform to usage.



Any Global Debenture shall represent such of the
Outstanding Debentures as shall be specified therein and shall provide that it shall represent the aggregate amount of Outstanding Debentures from time
to time endorsed thereon and that the aggregate amount of Outstanding Debentures represented thereby may from time to time be increased or reduced to
reflect transfers or exchanges permitted hereby. Any endorsement of a Global Debenture to reflect the amount of any increase or decrease in the amount
of Outstanding Debentures represented thereby shall be made by the Trustee or the Custodian, at the direction of the Trustee, in such manner and upon
instructions given by the holder of such Debentures in accordance with this Indenture. Payment of principal of and interest and premium, if any, on any
Global Debenture shall be made to the holder of such Debenture.



The terms and provisions contained in the form of
Debenture attached as Exhibit A hereto shall constitute, and are hereby expressly made, a part of this Indenture and, to the extent applicable, the
Company and the Trustee, by their execution and delivery of this Indenture, expressly agree to such terms and provisions and to be bound
thereby.



Section 2.03.    Date and
Denomination of Debentures; Payments of Interest.    The Debentures shall be issuable in registered form without coupons in
denominations equal to integral multiples of the accreted liquidation preference of one share of Preferred Stock as of the effective date of the
Exchange, rounded down to the nearest whole dollar amount. Every Debenture shall be dated the date of its authentication and shall bear interest from
the applicable date in each case as specified on the face of the form of Debenture attached as Exhibit A hereto. Interest on the Debentures shall be
computed on the basis of a 360-day year comprised of twelve (12) 30-day months.



The Person in whose name any Debenture (or its
Predecessor Debenture) is registered on the Debenture Register at the close of business on any record date with respect to any
interest



8











payment date shall be entitled to receive the interest payable on such interest
payment date. In the case of any Debenture (or portion thereof) that is converted into Common Stock during the period from (but excluding) a record
date to (but excluding) the next succeeding interest payment date, such Debenture (or portion thereof) that is submitted for conversion during such
period shall be accompanied by funds equal to the interest payable on such succeeding interest payment date on the principal amount so converted, as
provided in the penultimate paragraph of Section 15.02 hereof. Interest shall be payable at the office or agency of the Company maintained by the
Company for such purposes in the Borough of Manhattan, City of New York, which shall initially be an office or agency of the Trustee and may, as the
Company shall specify to the paying agent in writing by each record date, be paid either (i) by check mailed to the address of the Person entitled
thereto as it appears in the Debenture Register (provided that the holder of Debentures with an aggregate principal amount in excess of
$2,000,000 shall, at the written election of such holder, be paid by wire transfer in immediately available funds) or (ii) by wire transfer to an
account maintained by such Person located in the United States; provided, however, that payments to the Depositary will be made by wire transfer
of immediately available funds to the account of the Depositary or its nominee. The term “record date” with respect to any interest
payment date shall mean the January 1 or July 1 preceding the relevant February 1 or August 1 stipulated in the Debenture, respectively.



Any interest on any Debenture which is payable, but
is not punctually paid or duly provided for, on the date stipulated in the Debenture (herein called “Defaulted Interest”) shall
forthwith cease to be payable to the Debentureholder on the relevant record date by virtue of his having been such Debentureholder, and such Defaulted
Interest shall be paid by the Company, at its election in each case, as provided in clause (i) or (ii) below:



(i)  The Company may elect to make
payment of any Defaulted Interest to the Persons in whose names the Debentures (or their respective Predecessor Debentures) are registered at the close
of business on a special record date for the payment of such Defaulted Interest, which shall be fixed in the following manner. The Company shall notify
the Trustee in writing of the amount of Defaulted Interest to be paid on each Debenture and the date of the payment (which shall be not less than
twenty-five (25) days after the receipt by the Trustee of such notice, unless the Trustee shall consent to an earlier date), and at the same time the
Company shall deposit with the Trustee an amount of money equal to the aggregate amount to be paid in respect of such Defaulted Interest or shall make
arrangements satisfactory to the Trustee for such deposit prior to the date of the proposed payment, such money when deposited to be held in trust for
the benefit of the Person entitled to such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a special record date for the
payment of such Defaulted Interest which shall be not more than fifteen (15) days and not less than ten (10) days prior to the date of the proposed
payment, and not less than ten (10) days after the receipt by the Trustee of the notice of the proposed payment, the Trustee shall promptly notify the
Company of such special record date and, in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted
Interest and the special record date therefor to be mailed, first-class postage prepaid, to each Debentureholder at his address as it appears in the
Debenture Register, not less than ten (10) days prior to such special record date. Notice of the proposed payment of such Defaulted Interest and the
special record date therefor having been so mailed, such Defaulted Interest shall be paid to the Persons in whose names the Debentures (or their
respective Predecessor Debentures) were registered at the close of business on such special record date and shall no longer be payable pursuant to the
following clause (ii) of this Section 2.03.



(ii)  The Company may make payment of
any Defaulted Interest in any other lawful manner not inconsistent with the requirements of any securities exchange or automated quotation system on
which the Debentures may be listed or designated for issuance, and upon such notice as may be required by such exchange or automated quotation system,
if,



9











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



Section 2.04.    Execution of
Debentures.    The Debentures shall be signed in the name and on behalf of the Company by the manual or facsimile signature of
its Chairman of the Board of Directors, any Vice-Chairman of the Board of Directors, Chief Executive Officer, President, any Vice President, Treasurer
or any Assistant Treasurer, and may but need not have its corporate seal reproduced thereon which may but need not be attested by the manual or
facsimile signature of its Secretary or any of its Assistant Secretaries (which may be printed, engraved or otherwise reproduced thereon, by facsimile
or otherwise). Only such Debentures as shall bear thereon a certificate of authentication substantially in the form set forth on the form of Debenture
attached as Exhibit A hereto, manually executed by the Trustee (or an authenticating agent appointed by the Trustee as provided by Section 17.11),
shall be entitled to the benefits of this Indenture or be valid or obligatory for any purpose. Such certificate by the Trustee (or such an
authenticating agent) upon any Debenture executed by the Company shall be conclusive evidence that the Debenture so authenticated has been duly
authenticated and delivered hereunder and that the holder is entitled to the benefits of this Indenture.



In case any officer of the Company who shall have
signed any of the Debentures shall cease to be such officer before the Debentures so signed shall have been authenticated and delivered by the Trustee,
or disposed of by the Company, such Debentures nevertheless may be authenticated and delivered or disposed of as though the person who signed such
Debentures had not ceased to be such officer of the Company, and any Debenture may be signed on behalf of the Company by such persons as, at the actual
date of the execution of such Debenture, shall be the proper officers of the Company, although at the date of the execution of this Indenture any such
person was not such an officer.



Section 2.05.    Exchange and
Registration of Transfer of Debentures; Restrictions on Transfer; Depositary.



(a)    The Company shall cause
to be kept at the Corporate Trust Office a register (the register maintained in such office and in any other office or agency of the Company designated
pursuant to Section 5.02 being herein sometimes collectively referred to as the “Debenture Register”) in which, subject to such
reasonable regulations as it may prescribe, the Company shall provide for the registration of Debentures and of transfers of Debentures. The Debenture
Register shall be in written form or in any form capable of being converted into written form within a reasonably prompt period of time. The Trustee is
hereby appointed “Debenture Registrar” for the purpose of registering Debentures and transfers of Debentures as herein provided. The
Company may appoint one or more co-registrars in accordance with Section 5.02.



Upon surrender for registration of transfer of any
Debenture to the Debenture Registrar or any co-registrar, and satisfaction of the requirements for such transfer set forth in this Section 2.05, the
Company shall execute, and the Trustee shall authenticate and deliver, in the name of the designated transferee or transferees, one or more new
Debentures of any authorized denominations and of a like aggregate principal amount and bearing such restrictive legends as may be required by this
Indenture.



Debentures may be exchanged for other Debentures of
any authorized denominations and of a like aggregate principal amount, upon surrender of the Debentures to be exchanged at any such office or agency
maintained by the Company pursuant to Section 5.02. Whenever any Debentures are so surrendered for exchange, the Company shall execute, and the Trustee
shall authenticate and deliver, the Debentures which the Debentureholder making the exchange is entitled to receive bearing registration numbers not
contemporaneously outstanding.



All Debentures issued upon any registration of
transfer or exchange of Debentures shall be the valid obligations of the Company, evidencing the same debt, and entitled to the same



10











benefits under this Indenture, as the Debentures surrendered upon such registration
of transfer or exchange.



All Debentures presented or surrendered for
registration of transfer or for exchange, redemption or conversion shall (if so required by the Company or the Debenture Registrar) be duly endorsed,
or be accompanied by a written instrument or instruments of transfer in form satisfactory to the Company, and the Debentures shall be duly executed by
the Debentureholder thereof or his attorney duly authorized in writing.



No service charge shall be made to any holder for
any registration of transfer or exchange of Debentures, but the Company may require payment by the holder of a sum sufficient to cover any tax,
assessment or other governmental charge that may be imposed in connection with any registration of transfer or exchange of Debentures.



Neither the Company nor the Trustee nor any
Debenture Registrar shall be required to exchange or register a transfer of (a) any Debentures for a period of fifteen (15) days next preceding any
selection of Debentures to be redeemed, (b) any Debentures or portions thereof called for redemption pursuant to Section 3.01(b), (c) any Debentures or
portions thereof surrendered for conversion pursuant to Article 15 or (d) any Debentures or portions thereof tendered for redemption (and not
withdrawn) pursuant to Section 3.03.



(b)    So long as the Debentures
are eligible for book-entry settlement with the Depositary, or unless otherwise required by law, all Debentures will be represented by one or more
Debentures in permanent global definitive fully registered form registered in the name of the Depositary or the nominee of the Depositary (such a
Debenture, a “Global Debenture”), except as otherwise specified below. The transfer and exchange of beneficial interests in any such
Global Debenture shall be effected through the Depositary in accordance with this Indenture (including any applicable restrictions on transfer herein)
and the procedures of the Depositary therefore. A transferor of a beneficial interest in a Global Debenture shall deliver to the Debenture Registrar a
written order given in accordance with the Depositary’s procedures containing information regarding the participant account of the Depositary to
be credited with a beneficial interest in the Global Debenture. The Registrar shall, in accordance with such instructions instruct the Depositary to
credit to the account of the Person specified in such instructions a beneficial interest in the Global Debenture and to debit the account of the Person
making the transfer the beneficial interest in the Global Debenture being transferred. The Trustee shall make appropriate endorsements to reflect
increases or decreases in the principal amounts of any such Global Debenture as set forth on the face of the Debenture (“Principal
Amount”) to reflect any such transfers. Except as provided below, beneficial owners of a Global Debenture shall not be entitled to have
certificates registered in their names, will not receive or be entitled to receive physical delivery of certificates in definitive form
(“Certificated Debentures”) and will not be considered holders of any such Global Debenture.



Any Global Debenture may be endorsed with or have
incorporated in the text thereof such legends or recitals or changes not inconsistent with the provisions of this Indenture as may be required by the
Custodian, the Depositary or by the National Association of Securities Dealers, Inc. in order for the Debentures to be tradeable on the Portal Market
or as may be required for the Debentures to be tradeable on any other market developed for trading of securities pursuant to Rule 144A or required to
comply with any applicable law or any regulation thereunder or with the rules and regulations of any securities exchange or automated quotation system
upon which the Debentures may be listed or traded or to conform with any usage with respect thereto, or to indicate any special limitations or
restrictions to which any particular Debentures are subject.



(c)    Every Global Debenture or
Certificated Debenture that bears or is required under this Section 2.05(c) to bear the legend set forth in this Section 2.05(c) (together with any
Common Stock issued upon conversion of the Debentures and required to bear the legend set forth in



11











Section 2.05(d), collectively, the “Restricted Securities”) shall
be subject to the restrictions on transfer set forth in this Section 2.05 (including those set forth in the legend set forth below) unless such
restrictions on transfer shall be waived by written consent of the Company, and the holder of, or of an interest in, each such Restricted Security, by
such Debentureholder’s acceptance thereof, agrees to be bound by all such restrictions on transfer. As used in this Section 2.05(c), the term
“transfer” encompasses any sale, pledge, loan, transfer or other disposition whatsoever of any Restricted Security.



Until the expiration of the holding period
applicable to sales thereof under Rule 144(k) under the Securities Act (or any successor provision), any certificate evidencing such Debenture (and all
securities issued in exchange therefore or substitution thereof, other than Common Stock, if any, issued upon conversion thereof, which shall bear the
legend set forth in Section 2.05(d), if applicable) shall bear a legend in substantially the following form, unless such Debenture has been sold
pursuant to a registration statement that has been declared effective under the Securities Act (and which continues to be effective at the time of such
transfer), or unless otherwise agreed by the Company in writing, with written notice thereof to the Trustee:


	
	 	THE DEBENTURE EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). THE HOLDER HEREOF, BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF THE
COMPANY THAT THIS SECURITY MAY NOT BE RESOLD, PLEDGED OR OTHERWISE TRANSFERRED (A) PRIOR TO THE SECOND ANNIVERSARY OF THE ISSUANCE HEREOF (OR ANY
PREDECESSOR SECURITY HERETO) OR (B) BY ANY HOLDER THAT WAS AN AFFILIATE OF THE COMPANY AT ANY TIME DURING THE THREE MONTHS PRECEDING THE DATE OF SUCH
TRANSFER, IN EITHER CASE, OTHER THAN (1) TO THE COMPANY, (2) SO LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES
ACT (“RULE 144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE
RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A (AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF
TRANSFER ON THE REVERSE OF THIS SECURITY), (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 (IF APPLICABLE)
UNDER THE SECURITIES ACT (4) IN AN OFFSHORE TRANSACTION COMPLYING WITH REGULATION S UNDER THE SECURITIES ACT, OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE
HOLDER HEREOF, BY PURCHASING THIS SECURITY, REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT (I) IT IS EITHER (X) A QUALIFIED INSTITUTIONAL
BUYER WITHIN THE MEANING OF RULE 144A OR (Y) A NON-U.S. PERSON AND (II) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY
PURCHASER OF THIS DEBENTURE FROM IT OF THE RESALE RESTRICTIONS REFERRED TO ABOVE. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES MAY NOT BE CONDUCTED
UNLESS CONDUCTED IN COMPLIANCE WITH THE SECURITIES ACT.







Any Debenture (or security issued in exchange or
substitution therefor) as to which such restrictions on transfer shall have expired in accordance with their terms or as to conditions for removal of
the foregoing legend set forth therein have been satisfied (including, without limitation, after a transfer pursuant to and during the period of the
effectiveness of a shelf registration statement) may, upon surrender of such Debenture for exchange to the Debenture Registrar in accordance with the
provisions of this Section 2.05, be exchanged for a new Debenture or Debentures, of like tenor and aggregate principal amount, which shall not bear the
restrictive legend required by this Section 2.05(c).



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Notwithstanding any other provisions of this Section
2.05, unless and until it is exchanged for Certificated Debentures in accordance with the provisions of this Section 2.05, a Global Debenture may not
be transferred as a whole or in part except by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or
another nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor
Depositary.



The Depositary shall be a clearing agency registered
under the Exchange Act. The Company initially appoints The Depository Trust Company to act as Depositary with respect to the Debentures in global form.
Initially, the Global Debentures shall be issued to the Depositary, registered in the name of Cede & Co., as the nominee of the Depositary, and
deposited with the Custodian for Cede & Co.



If at any time the Depositary for a Global Debenture
notifies the Company that it is unwilling or unable to continue as Depositary for such Debenture, the Company may appoint a successor Depositary with
respect to such Debenture. If a successor Depositary is not appointed by the Company within 120 days after the Company receives such notice, the
Company will execute, and the Trustee, upon receipt of an Officers’ Certificate for the authentication and delivery of Debentures, will
authenticate and deliver, Certificated Debentures, in aggregate principal amount equal to the Principal Amount of such Global Debenture, in exchange
for such Global Debenture.



The Company may at any time and in its sole
discretion determine that the Debentures shall no longer be represented by one or more Global Debentures or Securities. In such event the Company will
execute, and the Trustee, upon receipt of an Officer’s Certificate for the authentication and delivery of Debentures, will authenticate and
deliver, Certificated Debentures, in any authorized denominations, in aggregate principal amount equal to the Principal Amount of such Global
Debentures, in exchange for such Global Debentures.



If a Certificated Debenture is issued in exchange
for any portion of a Global Debenture after the close of business at the office or agency where such exchange occurs on any record date and before the
opening of business at such office or agency on the next succeeding interest payment date, interest will not be payable on such interest payment date
in respect of such Certificated Debenture, but will be payable on such interest payment date, subject to the provisions of Section 2.03, only to the
Person to whom interest in respect of such portion of such Global Debenture is payable in accordance with the provisions of this
Indenture.



Certificated Debentures issued in exchange for all
or a part of a Global Debenture pursuant to this Section 2.05 shall be registered in such names and in such authorized denominations as the Depositary,
pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Trustee. Upon execution and authentication, the
Trustee shall deliver such Certificated Debentures to the Persons in whose names such Certificated Debentures are so registered.



In the event that a Global Debenture that is a
Restricted Security is exchanged for Certificated Debentures, prior to the effectiveness of the Shelf Registration Statement, such Certificated
Debentures may be exchanged only in accordance with such procedures as are substantially consistent with the provisions of this Section 2.05 (including
the certification requirements set forth on the reverse of the form of Debenture set forth in Exhibit A intended to ensure that such transfers comply
with Rule 144A or Regulation S, as the case may be) and such other procedures as may from time to time be adopted by the Company.



At such time as all interests in a Global Debenture
have been redeemed, converted, canceled, exchanged for Certificated Debentures, such Global Debenture shall, upon receipt thereof, be canceled by the
Trustee in accordance with standing procedures and instructions existing between the Depositary and the Custodian. At any time prior to such
cancellation, if any interest in a Global Debenture is exchanged for Certificated Debentures,



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redeemed, converted, repurchased or canceled, the principal amount of such Global
Debenture shall, in accordance with the standing procedures and instructions existing between the Depositary and the Custodian, be appropriately
reduced and an endorsement shall be made on such Global Debenture, by the Trustee or the Custodian, at the direction of the Trustee, to reflect such
reduction or increase.



(d)    Until the expiration of
the holding period applicable to sales thereof under Rule 144(k) under the Securities Act (or any successor provision), any stock certificate
representing Common Stock issued upon conversion of any Debenture shall bear a legend in substantially the following form, unless such Common Stock has
been sold pursuant to a registration statement that has been declared effective under the Securities Act (and which continues to be effective at the
time of such transfer) or such Common Stock has been issued upon conversion of Debentures pursuant to a registration statement that has been declared
effective under the Securities Act (and which continues to be effective at the time of such conversion), or unless otherwise agreed by the Company in
writing with written notice thereof to the transfer agent:


	
	 	THE COMMON STOCK EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). THE HOLDER HEREOF, BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF THE
COMPANY THAT THIS SECURITY MAY NOT BE RESOLD, PLEDGED OR OTHERWISE TRANSFERRED (A) PRIOR TO THE SECOND ANNIVERSARY OF THE ISSUANCE HEREOF (OR ANY
PREDECESSOR SECURITY HERETO) OR (B) BY ANY HOLDER THAT WAS AN AFFILIATE OF THE COMPANY AT ANY TIME DURING THE THREE MONTHS PRECEDING THE DATE OF SUCH
TRANSFER, IN EITHER CASE, OTHER THAN (1) TO THE COMPANY, (2) SO LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES
ACT (“RULE 144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE
RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A (AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF
TRANSFER ON THE REVERSE OF THIS SECURITY), (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 (IF APPLICABLE)
UNDER THE SECURITIES ACT (4) IN AN OFFSHORE TRANSACTION COMPLYING WITH REGULATION S UNDER THE SECURITIES ACT, OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE
HOLDER HEREOF, BY PURCHASING THIS SECURITY, REPRESENTS AND AGREES FOR THE BENEFIT OF THE COMPANY THAT IT IS EITHER (X) A QUALIFIED INSTITUTIONAL BUYER
WITHIN THE MEANING OF RULE 144A OR (Y) A NON-U.S. PERSON AND (II) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF
THIS DEBENTURE FROM IT OF THE RESALE RESTRICTIONS REFERRED TO ABOVE. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES MAY NOT BE CONDUCTED UNLESS
CONDUCTED IN COMPLIANCE WITH THE SECURITIES ACT.







Any such Common Stock as to which such restrictions
on transfer shall have expired in accordance with their terms or as to which the conditions for removal of the foregoing legend set forth therein have
been satisfied (including, without limitation, after a transfer pursuant to and during the effectiveness of a shelf registration statement) may, upon
surrender of the certificates representing such shares of Common Stock for exchange in accordance with the procedures of the transfer agent for the
Common Stock, be exchanged for a new certificate or certificates for a like number of shares of Common Stock, which shall not bear the restrictive
legend required by this Section 2.05(d).



(e)    Any Debenture or Common
Stock issued upon the conversion or exchange of a Debenture that, prior to the expiration of the holding period applicable to sales thereof under Rule
144(k) under the Securities Act (or any successor provision), is purchased or owned by the



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Company or any Affiliate thereof may not be resold by the Company or such Affiliate
unless registered under the Securities Act or resold pursuant to an exemption from the registration requirements of the Securities Act in a transaction
which results in such Debentures or Common Stock, as the case may be, no longer being “restricted securities” (as defined under Rule
144).



(f)    The Trustee shall have no
obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable
law with respect to any transfer of any interest in any Debenture (including any transfers between or among Depository participants, members or
beneficial owners in any Global Debenture) other than to require delivery of such certificates and other documentation or evidence as are expressly
required by, the terms of this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements
hereof.



Section 2.06.    Mutilated,
Destroyed, Lost or Stolen Debentures.    In case any Debenture shall become mutilated or be destroyed, lost or stolen, the
Company in its discretion may execute, and upon its written request the Trustee or an authenticating agent appointed by the Trustee shall authenticate
and make available for delivery, a new Debenture, bearing a number not contemporaneously outstanding, in exchange and substitution for the mutilated
Debenture, or in lieu of and in substitution for the Debenture so destroyed, lost or stolen. In every case the applicant for a substituted Debenture
shall furnish to the Company, to the Trustee and, if applicable, to such authenticating agent such security or indemnity as may be required by them to
save each of them harmless for any loss, liability, cost or expense caused by or connected with such substitution, and, in every case of destruction,
loss or theft, the applicant shall also furnish to the Company, to the Trustee and, if applicable, to such authenticating agent evidence to their
satisfaction of the destruction, loss or theft of such Debenture and of the ownership thereof.



Following receipt by the Trustee or such
authenticating agent, as the case may be, of satisfactory security or indemnity and evidence, as described in the preceding paragraph, the Trustee or
such authenticating agent may authenticate any such substituted Debenture and make available for delivery such Debenture. Upon the issuance of any
substituted Debenture, the Company may require the payment by the holder of a sum sufficient to cover any tax, assessment or other governmental charge
that may be imposed in relation thereto and any other expenses connected therewith. In case any Debenture which has matured or is about to mature or
has been called for redemption or has been tendered for redemption (and not withdrawn) or is to be converted into Common Stock shall become mutilated
or be destroyed, lost or stolen, the Company may, instead of issuing a substitute Debenture, pay or authorize the payment of or convert or authorize
the conversion of the same (without surrender thereof except in the case of a mutilated Debenture), as the case may be, if the applicant for such
payment or conversion shall furnish to the Company, to the Trustee and, if applicable, to such authenticating agent such security or indemnity as may
be required by them to save each of them harmless for any loss, liability, cost or expense caused by or connected with such substitution, and, in every
case of destruction, loss or theft, the applicant shall also furnish to the Company, the Trustee and, if applicable, any paying agent or conversion
agent evidence to their satisfaction of the destruction, loss or theft of such Debenture and of the ownership thereof.



Every substitute Debenture issued pursuant to the
provisions of this Section 2.06 by virtue of the fact that any Debenture is destroyed, lost or stolen shall constitute an additional contractual
obligation of the Company, whether or not the destroyed, lost or stolen Debenture shall be found at any time, and shall be entitled to all the benefits
of (but shall be subject to all the limitations set forth in) this Indenture equally and proportionately with any and all other Debentures duly issued
hereunder. To the extent permitted by law, all Debentures shall be held and owned upon the express condition that the foregoing provisions are
exclusive with respect to the replacement or payment or conversion of mutilated, destroyed, lost or stolen Debentures and shall preclude any and all
other rights or remedies notwithstanding any law or statute



15











existing or hereafter enacted to the contrary with respect to the replacement or
payment or conversion of negotiable instruments or other securities without their surrender.



Section 2.07.    Temporary
Debentures.    In the event that Certificated Debentures are to be issued under the terms of this Indenture, until such
Certificated Debentures are ready for delivery, the Company may execute and the Trustee or an authenticating agent appointed by the Trustee shall, upon
the written request of the Company, authenticate and deliver temporary Debentures (printed or lithographed). Temporary Debentures shall be issuable in
any authorized denomination, and substantially in the form of the Certificated Debentures, but with such omissions, insertions and variations as may be
appropriate for temporary Debentures, all as may be determined by the Company. Every such temporary Debenture shall be executed by the Company and
authenticated by the Trustee or such authenticating agent upon the same conditions and in substantially the same manner, and with the same effect, as
the Certificated Debentures. Without unreasonable delay the Company will execute and deliver to the Trustee or such authenticating agent Certificated
Debentures (other than in the case of Debentures in global form) and thereupon any or all temporary Debentures (other than any such Global Debenture)
may be surrendered in exchange therefor, at each office or agency maintained by the Company pursuant to Section 5.02 and the Trustee or such
authenticating agent shall authenticate and make available for delivery in exchange for such temporary Debentures an equal aggregate principal amount
of Certificated Debentures. Such exchange shall be made by the Company at its own expense and without any charge therefor. Until so exchanged, the
temporary Debentures shall in all respects be entitled to the same benefits and subject to the same limitations under this Indenture as Certificated
Debentures authenticated and delivered hereunder.



Section 2.08.    Cancellation
of Debentures Paid, etc.    All Debentures surrendered for the purpose of payment, redemption, conversion, exchange or
registration of transfer shall, if surrendered to the Company or any paying agent or any Debenture Registrar or any conversion agent, be surrendered to
the Trustee and promptly canceled by it, or, if surrendered to the Trustee, shall be promptly canceled by it, and no Debentures shall be issued in lieu
thereof except as expressly permitted by any of the provisions of this Indenture. The Trustee shall dispose of such canceled Debentures in accordance
with its customary procedures. If the Company shall acquire any of the Debentures, such acquisition shall not operate as a redemption or satisfaction
of the indebtedness represented by such Debentures unless and until the Company elects to surrender such Debentures to the Trustee for cancellation in
which case they shall be promptly cancelled by the Trustee and no Debentures shall be issued in lieu thereof, except as expressly permitted by any of
the provisions of this Indenture.



Section 2.09.    CUSIP
Number.    The Company in issuing the Debentures may use a “CUSIP” number (if then generally in use), and, if
so, the Trustee shall use a “CUSIP” number in notices of redemption as a convenience to Debentureholders; provided, however,
that any such notice may state that no representation is made as to the correctness of such number either as printed on the Debentures or as contained
in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Debentures, and any such
redemption shall not be affected by any defect in or omission of such number. The Company will promptly notify the Trustee of any change in the
“CUSIP” number.


ARTICLE 3
 REDEMPTION OF
DEBENTURES



Section 3.01.    Redemption At
The Company’s Option



(a)    The Debentures may be
redeemed by the Company for cash, in whole or in part, at any time on or after August 15, 2006, (the “Initial Redemption Date”), upon
notice as set forth in (b), at the Redemption Price if the Company shall have funds legally available for such redemption.



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(b)    Notice of Redemptions;
Selection of Debentures.    In case the Company shall desire to exercise the right to redeem all or, as the case may be, any
part of the Debentures, it shall fix a date for redemption and it or, at its written request received by the Trustee not fewer than forty-five (45)
days prior (or such shorter period of time as may be acceptable to the Trustee) to the date fixed for redemption, the Trustee, in the name of and at
the expense of the Company, shall provide Notice, not fewer than thirty (30) nor more than sixty (60) days prior to the Redemption Date to the holders
of Debentures so to be redeemed as a whole or in part and provided that if the Company shall give such Redemption Notice, it shall also give
written notice of the Debentures to be redeemed to the Trustee. Such mailing to the Trustee shall be by first class mail. The Redemption Notice if
provided in the manner herein provided shall be conclusively presumed to have been duly given, whether or not the holder receives such Redemption
Notice. In any case, failure to give such Redemption Notice or any defect in the Redemption Notice to the holder of any Debenture designated for
redemption as a whole or in part shall not affect the validity of the proceedings for the redemption of any other Debenture.



Each such Redemption Notice shall specify the
aggregate principal amount of Debentures to be redeemed, the CUSIP number of the Debentures being redeemed, the Redemption Date (which shall be a
Business Day), the Redemption Price, the place or places of payment, that payment will be made upon presentation and surrender of such Debentures, that
on the Redemption Date, the Redemption Price will be paid as specified in said Redemption Notice, and that on and after said date interest thereon or
on the portion thereof to be redeemed will cease to accrue. Such Redemption Notice shall also state the current Conversion Price and the date on which
the right to convert such Debentures or portions thereof into Common Stock will terminate. If fewer than all the Debentures are to be redeemed, the
Redemption Notice shall identify the Debentures to be redeemed (including the CUSIP number, if any). In case any Debenture is to be redeemed in part
only, the Redemption Notice shall state the portion of the principal amount thereof to be redeemed and shall state that, on and after the Redemption
Date, upon surrender of such Debenture, a new Debenture or Debentures in principal amount equal to the unredeemed portion thereof will be
issued.



On or prior to the Redemption Date specified in the
Redemption Notice given as provided in this Section, the Company will deposit with the Trustee or with one or more paying agents (or, if the Company,
in lieu of a paying agent, is itself performing the functions performable by a paying agent, set aside, segregate and hold in trust as provided in
Section 5.04) an amount of money in immediately available funds sufficient to redeem on the Redemption Date all the Debentures (or portions thereof) so
called for redemption (other than those theretofore surrendered for conversion into Common Stock) at the appropriate Redemption Price. The Company
shall be entitled to retain any interest, yield or gain on amounts deposited with the Trustee or any paying agent pursuant to this Section in excess of
amounts required hereunder to pay the Redemption Price. If any Debenture called for redemption is converted pursuant hereto prior to such redemption,
any money deposited with the Trustee or any paying agent or so segregated and held in trust for the redemption of such Debenture shall be paid to the
Company upon its written request, or, if then held by the Company, shall be discharged from such trust. Whenever any Debentures are to be redeemed, the
Company will give the Trustee written notice in the form of an Officers’ Certificate not fewer than forty-five (45) days (or such shorter period
of time as may be acceptable to the Trustee) prior to the Redemption Date as to the aggregate principal amount of Debentures to be
redeemed.



If less than all of the Outstanding Debentures are
to be redeemed, the Trustee shall select the Debentures or portions thereof of the Global Debenture or the Certificated Debentures to be redeemed in
such manner as the Trustee deems fair and appropriate. If any Debenture selected for partial redemption is submitted for conversion in part after such
selection, the portion of such Debenture submitted for conversion shall be deemed not to be the portion selected for redemption. The Debentures (or
portions thereof) so selected shall be deemed duly



17











selected for redemption for all purposes hereof, notwithstanding that any such
Debenture is submitted for conversion in part before the Redemption Notice.



Upon any redemption of less than all of the
Outstanding Debentures, the Company and the Trustee may (but need not), solely for purposes of determining the pro rata allocation among such
Debentures as are unconverted and Outstanding at the time of redemption, treat as Outstanding any Debentures surrendered for conversion during the
period of fifteen (15) days preceding the Redemption Notice and may (but need not) treat as Outstanding any Debenture authenticated and delivered
during such period in exchange for the unconverted portion of any Debenture converted in part during such period.



(c)    Payment of Debentures
Called for Redemption.    If a Redemption Notice has been given as above provided, the Debentures or portion of Debentures with
respect to which such notice has been given shall, unless converted into Common Stock pursuant to the terms hereof, become due and payable on the
Redemption Date and at the place or places stated in such notice at the applicable Redemption Price, and on and after said date (unless the Company
shall default in the payment of such Debentures at the Redemption Price) interest on the Debentures or portion of Debentures so called for redemption
shall cease to accrue and, after the close of business on the Business Day next preceding the date fixed for redemption, such Debentures shall cease to
be convertible into Common Stock and, except as provided in Section 8.06 and Section 13.04, to be entitled to any benefit or security under this
Indenture, and the holders thereof shall have no right in respect of such Debentures except the right to receive the Redemption Price thereof. On
presentation and surrender of such Debentures at a place of payment specified in the Redemption Notice, the said Debentures or the specified portions
thereof shall be paid and redeemed by the Company at the applicable Redemption Price, subject to the provisions of Section 3.04.



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



Notwithstanding the foregoing, the Trustee shall not
redeem any Debentures or provide any Redemption Notice during the continuance of a default in payment of interest or premium, if any, on the
Debentures. If any Debenture called for redemption shall not be so paid upon surrender thereof for redemption, the principal and premium, if any,
shall, until paid or duly provided for, bear interest from the date fixed for redemption at the rate borne by the Debenture and such Debenture shall
remain convertible into Common Stock until the principal and premium, if any, and interest shall have been paid or duly provided for.



Section 3.02.    Conversion
Arrangement On Call For Redemption.    In connection with any call for redemption of Debentures, the Company may arrange for
the purchase and conversion of any Debentures by an agreement with one or more investment bankers or other purchasers to purchase such Debentures by
paying to the Trustee in trust for the Debentureholders, on or before the Redemption Date, an amount not less than the applicable Redemption Price of
such Debentures. Notwithstanding anything to the contrary contained in this Article 3, the obligation of the Company to pay the Redemption Price of
such Debentures, shall be deemed to be satisfied and discharged to the extent such amount is so paid by such purchasers. If such an agreement is
entered into, a copy of which will be filed with the Trustee prior to the Redemption Date, any Debentures not duly surrendered for conversion by the
holders thereof may, at the option of the Company, be deemed, to the fullest extent permitted by law, acquired by such purchasers from such holders
upon payment to such holders of the applicable Redemption Price and (notwithstanding anything to the contrary contained in Article 15) surrendered by
such purchasers for conversion, all as of immediately prior to the close of business on the Redemption Date (and the right to convert any such
Debentures shall be extended through such time), subject to payment of the above amount as aforesaid. At the



18











direction of the Company, the Trustee shall hold and dispose of any such amount
paid to it in the same manner as it would monies deposited with it by the Company for the redemption of Debentures. Without the Trustee’s prior
written consent, no arrangement between the Company and such purchasers for the purchase and conversion of any Debentures shall increase or otherwise
affect any of the powers, duties, responsibilities or obligations of the Trustee as set forth in this Indenture.



Section 3.03.    Redemption
at the Option of the Holder.



(a)    On the Redemption Dates
applicable to this Section, the Company shall, at the option of the holder, be required, subject to having funds legally available therefor, to redeem
at the Redemption Price any Outstanding Debentures for which a written Redemption Notice has been properly delivered by the holder to the Trustee and
not withdrawn. Holders may submit their Debentures for redemption to the Trustee at any time from the opening of business on the date that is 45
Business Days prior to such Redemption Date until the close of business on the Business Day that is three (3) Business Days prior to such Redemption
Date.



The Company may, at its option, elect to pay the
Redemption Price in cash or in shares of Common Stock valued at a discount of 5% from the Market Price of the Common Stock, or any combination thereof.
The Company may pay such Redemption Price in shares of its Common Stock only if such shares are eligible for immediate sale in the public market by
non-affiliates of the Company absent a registration statement.



(b)(i)    The Company or at its
written request (which must be received by the Trustee at least five (5) Business Days prior to the date the Trustee is requested to give notice as
described below, unless the Trustee shall agree in writing to a shorter period), the Trustee in the name and at the expense of the Company, will be
required to give Notice on a date not less than 45 Business Days prior to each Redemption Date by providing Notice to all holders and to beneficial
owners as required by applicable law, stating among other things:







(A)    whether the Company will pay the Redemption Price of the Debentures in cash or Common Stock or any combination
thereof, specifying the percentages of each;



(B)    if the
Company elects to pay in Common Stock, the method of calculating the Market Price of the Common Stock; and



(C)    the
procedures that holders must follow to require the Company to redeem their Debentures.



    (ii)    A Redemption Notice must be given
by each holder electing to require the Company to redeem their Debentures, in the form of the “Notice of Election of Redemption on a Specified
Redemption Date” on the reverse thereof, stating:



(A)    the
case of Certificated Debentures, the certificate numbers of the holder’s Debentures to be delivered for redemption;



(B)    that
the Debentures are to be redeemed by the Company pursuant to the applicable provision of the Debentures and this Indenture; and



(C)    in the
event the Company elects, pursuant to the Notice that the Company is required to give, to pay the Redemption Price in Common Stock, in whole or in
part, but the Redemption Price is ultimately to be paid to the holder entirely in cash because any condition to payment of the Redemption Price or
portion of the Redemption Price in Common Stock is not satisfied prior to the close of business on the Redemption Date, as described below, whether the
holder elects: (1) to withdraw the Redemption Notice as to some or all of the Debentures to which it relates, or (2) to receive cash in respect of the
entire Redemption Price for all of the Debentures or portions of the Debentures subject to such Redemption Notice.



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If the holder fails to indicate the holder’s
choice with respect to the election described in clause (ii) (c) above, the holder shall be deemed to have elected to receive cash in respect of the
entire Redemption Price for all Debentures subject to the Redemption Notice in these circumstances.



(c)    Any Redemption Notice may
be withdrawn by the holder by a written notice of withdrawal delivered to the Trustee prior to the close of business on the day that is three Business
Days prior to the Redemption Date. The notice of withdrawal shall state:



(i)  the aggregate principal amount of
Debentures being withdrawn;



(ii)  in the case of Certificated
Debentures, the certificate numbers of the Debentures being withdrawn; and



(iii)  the aggregate principal amount of
Debentures, if any, that remain subject to the Redemption Notice.



(d)    In lieu of delivering any
fractional shares of Common Stock, the Company will deliver scrip that will entitle the holder to receive a full share of Common Stock upon surrender
of such scrip aggregating a full share.



Upon presentation of any Debenture redeemed in part
only, the Company shall execute and, upon the Company’s written direction to the Trustee, the Trustee shall authenticate and deliver to the holder
thereof, at the expense of the Company, a new Debenture or Debentures, of authorized denominations, in principal amount equal to the unredeemed portion
of the Debentures so presented.



No failure of the Company to give the foregoing
notices and no defect therein shall limit the Debentureholders’ redemption rights or affect the validity of the proceedings for the redemption of
the Debentures pursuant to this Section.



(e)    On or prior to the first
Business Day after the Redemption Date, the Company will deposit with the Trustee or with one or more paying agents (or, if the Company, in lieu of a
paying agent, is itself performing the functions performable by a paying agent, set aside, segregate and hold in trust as provided in Section 5.04) an
amount of money and/or shares of Common Stock sufficient to redeem all the Debentures to be redeemed on the Redemption Date at the appropriate
Redemption Price; provided, however, that the payment must be received by the Trustee or paying agent, as the case may be, by 10:00 a.m. New
York City time, on the first Business Day after the Redemption Date. Payment for Debentures surrendered for redemption (and not withdrawn) will be made
promptly (but in no event more than five (5) Business Days) following the Redemption Date by mailing checks for the amount payable or Common Stock or
any combination thereof to the holders of such Debentures entitled thereto as they shall appear on the registry books of the Company.



Section 3.04.    General
Provisions Relating to Redemption.



(a)    In the case of any
redemption pursuant to Sections 3.01, 3.03 or 16.01, the Company’s right to redeem Debentures, in whole or in part, with shares of Common Stock is
subject to the following conditions:



(i)  such shares shall be duly
authorized, validly issued, fully paid and nonassessable;



(ii)  the Company shall have listed
such shares of Common Stock on the principal United States securities exchange on which the Common Stock is then listed or, if not so listed, on The
Nasdaq National Market (“Nasdaq”);



(iii)  the Company shall have registered
such shares of Common Stock under the Securities Act and the Securities Exchange Act, if required;



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(iv)  the Company shall have obtained
any necessary qualification or registration under applicable state securities law or an exemption from such qualification and registration shall be
available; and



(v)  the information necessary to
calculate the Market Price is publicly available.



Subject to Section 3.03(b)(ii)(C), if such
conditions are not satisfied with respect to a holder prior to the close of business on any Redemption Date, the Company will pay the Redemption Price
of such holder’s Debentures entirely in cash unless the Company does not have funds legally available or the Company’s credit facilities or
other contractual obligations prohibit it from paying the Redemption Price in cash. The Company may not change the form or components or percentages of
components of consideration to be paid for the Debentures once the Company has given any Notice that it is required to give to holders of the
Debentures, except as described in the first sentence of this paragraph.



The Company shall provide Notice to the holders of
the Debentures promptly upon the determination of the actual number of shares of Common Stock deliverable upon any redemption of the
Debentures.



(b)    In the case of any
redemption pursuant to Section 3.01 or 3.03:



(i)  Payment of the Redemption Price
for Debentures is conditioned upon book-entry transfer or delivery of the Debentures, together with necessary endorsements, to the Trustee at any time
after delivery of the Redemption Notice. Payment of the Redemption Price for the Debentures will be made promptly following the later of the Redemption
Date and the time of book-entry transfer or physical delivery of the Debentures.



(ii)  If the Trustee holds money or
securities sufficient to pay the Redemption Price of Debentures on the Business Day following the Redemption Date in accordance with the terms of this
Indenture, then, immediately after the Redemption Date, the Debentures will cease to be Outstanding, whether or not book-entry transfer is made or the
Debentures are delivered to the Transfer Agent. Thereafter, all other rights of the holder shall terminate, other than the right to receive the
Redemption Price upon delivery of the Debentures.



(c)    In the case of any
redemption pursuant to Sections 3.03 or 16.01, the Company may pay the Redemption Price or any portion of the Redemption Price in shares of the Common
Stock only if the information necessary to calculate the Market Price is publicly available.



(d)    If the Redemption Date
falls after an interest payment record date and before the related interest payment date, the holders of Debentures at the close of business on that
interest payment record date will be entitled to receive the interest payable on those Debentures on the corresponding interest payment date. However,
the Redemption Price payable on such Redemption Date will include only the principal amount of the Debentures being redeemed and will not include any
amount in respect of the accrued but unpaid interest.


ARTICLE 4
 SUBORDINATION OF
DEBENTURES



Section 4.01.    Agreement of
Subordination.    The Company covenants and agrees, and each holder of Debentures by its acceptance thereof likewise covenants
and agrees, that all Debentures shall be issued subject to the provisions of this Article 4, and each Person holding any Debenture, whether upon
original issue or upon registration of transfer, assignment, substitution or exchange thereof, accepts and agrees to be bound by such
provisions.



The indebtedness evidenced by the Debentures shall,
to the extent and in the manner hereinafter set forth, be subordinated and subject in right of payment to the extent and in the manner provided in this
Article 4, to the prior payment in full of all Senior Indebtedness, whether outstanding at the date of this Indenture or thereafter
incurred.



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No provision of this Article 4 shall prevent the
occurrence of any default or Event of Default hereunder.



Section 4.02.    Payments to
Debentureholders.    No payment or distributions shall be made with respect to indebtedness evidenced by the Debentures nor
shall the Company acquire any Debentures for cash, property or securities, except payments and distributions made by the Trustee as permitted by the
first or second paragraph of Section 4.05 or 4.08, if:



(i)  a default in the payment of
principal, premium, if any, interest, rent or other obligations in respect of Senior Indebtedness occurs and is continuing (or, in the case of Senior
Indebtedness for which there is a period of grace, in the event of such a default that continues beyond the period of grace, if any, specified in the
instrument or lease evidencing such Senior Indebtedness) (a “Payment Default”); or



(ii)  a default, other than a Payment
Default, on any Designated Senior Indebtedness occurs and is continuing that then permits holders of such Designated Senior Indebtedness to accelerate
its maturity (or in the case of any lease that is a Designated Senior Indebtedness, a default occurs and is continuing that permits the lessor to
either terminate the lease or require the Company to make an irrevocable offer to terminate the lease following an event of default thereunder) (a
“Non-Payment Default”) and the Trustee receives a notice of the default (a “Payment Blockage Notice”) from a holder
of Designated Senior Indebtedness or a Representative of Designated Senior Indebtedness.



If the Trustee receives any Payment Blockage Notice
pursuant to clause (ii) above, no subsequent Payment Blockage Notice shall be effective for purposes of this Section unless and until at least 360 days
shall have elapsed since the initial effectiveness of the immediately prior Payment Blockage Notice. No Non-Payment Default that existed or was
continuing on the date of delivery of any Payment Blockage Notice to the Trustee shall be, or be made, the basis for a subsequent Payment Blockage
Notice unless such default shall have been cured or waived for a period of not less than 90 consecutive days.



The Company may and shall resume payments on and
distributions in respect to the indebtedness evidenced by the Debentures (including, but not limited to, the redemption price and Additional Interest,
if any, with respect to the Debentures to be called for redemption) and may resume acquisition of Debentures for cash, property or securities upon the
earlier of:



(1)    in the
case of a Payment Default, the date upon which any such Payment Default is cured or waived or ceases to exist, or



(2)    in the
case of a Non-Payment Default, the earlier of (a) the date upon which such default is cured or waived or ceases to exist or (b) 179 days after the
applicable Payment Blockage Notice is received by the Trustee if the maturity of such Designated Senior Indebtedness has not been accelerated (or in
the case of any lease, 179 days after notice is received if the Company has not received notice that the lessor under such lease has exercised its
right to terminate the lease or require the Company to make an irrevocable offer to terminate the lease following an event of default
thereunder).


unless this Article 4 otherwise prohibits the payment or distribution at the time
of such payment or distribution.



Upon any payment or distribution of the assets of
the Company, to creditors upon any dissolution or winding up or liquidation or reorganization of the Company, whether voluntary or involuntary or in
bankruptcy, insolvency, receivership or other proceedings relating to the Company or its property, all amounts due or to become due upon all Senior
Indebtedness shall first be paid in full in cash or other payment satisfactory to the holders of such Senior Indebtedness before any payment or
distribution is made with respect to indebtedness evidenced by the Debentures (except payments made pursuant to Section 13.02 from
monies



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deposited with the Trustee pursuant thereto prior to commencement of proceedings
for such dissolution, winding up, liquidation or reorganization), and upon any such dissolution or winding up or liquidation or reorganization of the
Company or bankruptcy, insolvency, receivership or other similar proceeding, any payment by the Company, or distribution of the assets of the Company
to which the holders of the Debentures or the Trustee would be entitled, in respect to indebtedness evidenced by these Debentures except for the
provisions of this Article 4, shall (except as aforesaid) be paid by the Company or by any receiver, trustee in bankruptcy, liquidating trustee, agent
or other Person making such payment or distribution, or by the holders of the Debentures or by the Trustee under this Indenture if received by them or
it, directly to the holders of Senior Indebtedness (pro rata to such holders on the basis of the respective amounts of Senior Indebtedness held by such
holders, or as otherwise required by law or a court order) or their Representative or Representatives, as their respective interests may appear, to the
extent necessary to pay all Senior Indebtedness in full, in cash or other payment satisfactory to the holders of such Senior Indebtedness, after giving
effect to any concurrent payment or distribution to or for the holders of Senior Indebtedness, before any payment or distribution is made to the
holders of the Debentures or to the Trustee.



For purposes of this Article 4, a
“distribution” may consist of cash, securities or other property and may be by set-off or otherwise.



For purposes of this Article 4, the words,
“cash, securities or other property” shall not be deemed to include shares of stock of the Company as reorganized or readjusted, or
securities of the Company or any other corporation provided for by a plan of reorganization or readjustment, the payment of which is subordinated at
least to the extent provided in this Article 4 with respect to indebtedness evidenced by the Debentures to the payment of all Senior Indebtedness which
may at the time be outstanding; provided that (i) the Senior Indebtedness is assumed by the new corporation, if any, resulting from any
reorganization or readjustment, and (ii) the rights of the holders of Senior Indebtedness (other than leases which are not assumed by the Company or
the new corporation, as the case may be) are not, without the consent of such holders, altered by such reorganization or readjustment. The
consolidation of the Company with, or the merger of the Company into, another corporation or the liquidation or dissolution of the Company following
the conveyance or transfer of its property as an entirety, or substantially as an entirety, to another Person upon the terms and conditions provided
for in Article 12 shall not be deemed a dissolution, winding-up, liquidation or reorganization for the purposes of this Section 4.02 if such other
Person shall, as a part of such consolidation, merger, conveyance or transfer, comply with the conditions stated in Article 12.



In the event of the acceleration of the Debentures
because of an Event of Default, no payment or distribution shall be made to the Trustee or any holder of Debentures in respect of indebtedness
evidenced by the Debentures, except payments and distributions made by the Trustee as permitted by the first or second paragraph of Section 4.05, until
all Senior Indebtedness has been paid in full in cash or other payment satisfactory to the holders of Senior Indebtedness or such acceleration is
rescinded in accordance with the terms of this Indenture. If payment of the Debentures is accelerated because of an Event of Default, the Company or,
at the Company’s request and expense, the Trustee shall promptly notify holders of Senior Indebtedness of the acceleration.



In the event that, notwithstanding the foregoing
provisions, any payment or distribution of the assets of the Company, prohibited by the foregoing provisions in this Section 4.02, shall be received by
the Trustee or the holders of the Debentures before all Senior Indebtedness is paid in full in cash or other payment satisfactory to the holders of
such Senior Indebtedness, or provision is made for such payment thereof in accordance with its terms in cash or other payment satisfactory to the
holders of such Senior Indebtedness, such payment or distribution shall be held in trust for the benefit of and shall be paid over or delivered to the
holders of Senior Indebtedness or their Representative or Representatives, as their respective interests



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may appear, as calculated by the Company, for application to the payment of any
Senior Indebtedness remaining unpaid to the extent necessary to pay all Senior Indebtedness in full in cash or other payment satisfactory to the
holders of such Senior Indebtedness, after giving effect to any concurrent payment or distribution to or for the holders of such Senior
Indebtedness.



Nothing in this Section 4.02 shall apply to claims
of, or payments to, the Trustee under or pursuant to Section 8.07. This Section 4.02 shall be subject to the further provisions of Section
4.05.



Section 4.03.    Subrogation
of Debentures.    Subject to the payment in full of all Senior Indebtedness, the rights of the holders of the Debentures shall
be subrogated to the extent of the payments or distributions made to the holders of such Senior Indebtedness pursuant to the provisions of this Article
4 (equally and ratably with the holders of all indebtedness of the Company which by its express terms is subordinated to other indebtedness of the
Company to substantially the same extent as the Debentures are subordinated and is entitled to like rights of subrogation) to the rights of the holders
of Senior Indebtedness to receive payments or distributions of cash, property or securities of the Company applicable to the Senior Indebtedness until
the indebtedness evidenced by the Debentures shall be paid in full, and, for the purposes of such subrogation, no payments or distributions to the
holders of the Senior Indebtedness to which the holders of the Debentures or the Trustee would be entitled except for the provisions of this Article 4,
and no payment pursuant to the provisions of this Article 4, to or for the benefit of the holders of Senior Indebtedness by holders of the Debentures
or the Trustee, shall, as among the Company, its creditors other than holders of Senior Indebtedness, and the holders of the Debentures, be deemed to
be a payment by the Company to or on account of the Senior Indebtedness, and no payments or distributions of cash, property or securities to or for the
benefit of the holders of the Debentures pursuant to the subrogation provisions of this Article 4, which would otherwise have been paid to the holders
of Senior Indebtedness, shall be deemed to be a payment by the Company to or for the account of the Debentures. It is understood that the provisions of
this Article 4 are intended solely for the purposes of defining the relative rights of the holders of the Debentures, on the one hand, and the holders
of the Senior Indebtedness, on the other hand.



Nothing contained in this Article 4 or elsewhere in
this Indenture or in the Debentures is intended to or shall impair, as among the Company, its creditors other than the holders of Senior Indebtedness,
and the holders of the Debentures, the obligation of the Company, which is absolute and unconditional, to pay to the holders of the Debentures the
principal of, premium, if any, and interest on the Debentures as and when the same shall become due and payable in accordance with their terms, or is
intended to or shall affect the relative rights of the holders of the Debentures and creditors of the Company other than the holders of the Senior
Indebtedness, nor shall anything herein or therein prevent the Trustee or, subject to Section 7.03, the holder of any Debenture from exercising all
remedies otherwise permitted by applicable law upon default under this Indenture, subject to the rights, if any, under this Article 4 of the holders of
Senior Indebtedness in respect of cash, property or securities of the Company received upon the exercise of any such remedy.



Section
4.04.    Authorization to Effect Subordination.    Each holder of a Debenture by the holder’s
acceptance thereof authorizes and directs the Trustee on the holder’s behalf to take such action as may be necessary or appropriate to effectuate
the subordination as provided in this Article 4 and appoints the Trustee to act as the holder’s attorney-in-fact for any and all such purposes. If
the Trustee does not file a proper proof of claim or proof of debt in the form required in any proceeding referred to in the third paragraph of Section
7.02 hereof at least thirty (30) days before the expiration of the time to file such claim, the holders of any Senior Indebtedness or their
Representatives are hereby authorized to file an appropriate claim for and on behalf of the holders of the Debentures.



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Section 4.05. Notice to Trustee. The Company
shall give prompt written notice in the form of an Officers’ Certificate to a Responsible Officer of the Trustee of any fact known to the Company
that would prohibit the making of any payment of monies to or by the Trustee or any paying agent in respect of the Debentures pursuant to the
provisions of this Article 4. Notwithstanding the provisions of this Article 4 or any other provision of this Indenture, the Trustee shall not be
charged with knowledge of the existence of any facts that would prohibit the making of any payment of monies to or by the Trustee in respect of the
Debentures pursuant to the provisions of this Article 4, unless and until a Responsible Officer of the Trustee shall have received written notice
thereof at the Corporate Trust Office from the Company (in the form of an Officers’ Certificate) or a Representative or a holder or holders of
Senior Indebtedness, and before the receipt of any such written notice, the Trustee, subject to the provisions of Section 8.01, shall be entitled in
all respects to assume that no such facts exist; provided, however, that if on a date not less than one Business Day prior to the date
upon which by the terms hereof any such monies may become payable for any purpose (including, without limitation, the payment of the principal of, or
premium, if any, or interest on any Debenture) the Trustee shall not have received, with respect to such monies, the notice provided for in this
Section 4.05, then, anything herein contained to the contrary notwithstanding, the Trustee shall have full power and authority to apply monies received
to the purpose for which they were received, and shall not be affected by any notice to the contrary that may be received by it on or after such prior
date.



Notwithstanding anything in this Article 4 to the
contrary, nothing shall prevent any payment by the Trustee to the Debentureholders of monies deposited with it pursuant to Section 13.01, if a
Responsible Officer of the Trustee shall not have received written notice at the Corporate Trust Office on or before one Business Day prior to the date
such payment is due that such payment is not permitted under Section 4.01 or 4.02.



The Trustee, subject to the provisions of Section
8.01, shall be entitled to rely on the delivery to it of a written notice by a Representative or a person representing himself to be a holder of Senior
Indebtedness (or a trustee on behalf of such holder) to establish that such notice has been given by a Representative or a holder of Senior
Indebtedness or a trustee on behalf of any such holder or holders. The Trustee shall not be required to make any payment or distribution to or on
behalf of a holder of Senior Indebtedness pursuant to this Article 4 unless it has received satisfactory evidence as to the amount of Senior
Indebtedness held by such Person, the extent to which such Person is entitled to participate in such payment or distribution and any other facts
pertinent to the rights of such Person under this Article 4.



Section
4.06.    Trustee’s Relation to Senior Indebtedness.    The Trustee, in its individual capacity,
shall be entitled to all the rights set forth in this Article 4 in respect of any Senior Indebtedness at any time held by it, to the same extent as any
other holder of Senior Indebtedness, and nothing in Section 8.14 or elsewhere in this Indenture shall deprive the Trustee of any of its rights as such
holder.



With respect to the holders of Senior Indebtedness,
the Trustee undertakes to perform or to observe only such of its covenants and obligations as are specifically set forth in this Article 4, and no
implied covenants or obligations with respect to the holders of Senior Indebtedness shall be read into this Indenture against the Trustee. The Trustee
shall not be deemed to owe any fiduciary duty to the holders of Senior Indebtedness and, subject to the provisions of Section 8.01, the Trustee shall
not be liable to any holder of Senior Indebtedness (i) for any failure to make any payments or distributions to such holder or (ii) if it shall pay
over or deliver money to holders of Debentures, the Company or any other Person in compliance with this Article 4.



Section 4.07.    No
Impairment of Subordination.    No right of any present or future holder of any Senior Indebtedness to enforce subordination as
herein provided shall at any time in any way be prejudiced or impaired by any act or failure to act on the part of the Company or by



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any such Debentureholder, or by any noncompliance by the Company or any
Debentureholder with the terms, provisions and covenants of this Indenture.



Section 4.08.    Certain
Conversions Not Deemed Payment.    For the purposes of this Article 4 only, (1) the issuance and delivery of junior securities
upon conversion of Debentures in accordance with Article 15 and (2) the payment, issuance or delivery of cash, property or securities upon conversion
of a Debenture as a result of any Fundamental Change shall not be deemed to constitute a payment or distribution on account of the principal of,
premium, if any, or interest on Debentures or on account of the purchase or other acquisition of Debentures. For the purposes of this Section 4.08, the
term “junior securities” means (a) shares of any stock of any class of the Company or (b) securities of the Company that are
subordinated in right of payment to all Senior Indebtedness that may be outstanding at the time of issuance or delivery of such securities to
substantially the same extent as, or to a greater extent than, the Debentures are so subordinated as provided in this Article 4. Nothing contained in
this Article 4 or elsewhere in this Indenture or in the Debentures is intended to or shall impair, as among the Company, its creditors (other than
holders of Senior Indebtedness) and the Debentureholders, the right, which is absolute and unconditional, of the holder of any Debenture to convert
such Debenture in accordance with Article 15.



Section 4.09.    Article
Applicable to Paying Agents.    If at any time any paying agent other than the Trustee shall have been appointed by the Company
and be then acting hereunder, the term “Trustee” as used in this Article 4 shall (unless the context otherwise requires) be construed
as extending to and including such paying agent within its meaning as fully for all intents and purposes as if such paying agent were named in this
Article 4 in addition to or in place of the Trustee; provided, however, that the first paragraph of Section 4.05 shall not apply to the Company
or any Affiliate of the Company if it or such Affiliate acts as paying agent.



The Trustee shall not be responsible for the actions
or inactions of any other paying agents (including the Company if acting as its own paying agent) and shall have no control of any funds held by such
other paying agents.



Section 4.10.    Senior
Indebtedness Entitled to Rely.    The holders of Senior Indebtedness (including, without limitation, Designated Senior
Indebtedness) shall have the right to rely upon this Article 4, and no amendment or modification of the provisions contained herein shall diminish the
rights of such holders unless such holders shall have agreed in writing thereto. This subordination is for the benefit of and enforceable by the
holders of such Senior Indebtedness.



Section 4.11.    Reliance on
Judicial Order or Certificate of Liquidating Agent.    Upon any payment or distribution of assets of the Company referred to in
this Article 4, the Trustee and the Debentureholders shall be entitled to rely upon any order or decree entered by any court of competent jurisdiction
in which such insolvency, bankruptcy, receivership, liquidation, reorganization, dissolution, winding up or similar case or proceeding is pending, or a
certificate of the trustee in bankruptcy, liquidating trustee, custodian, receiver, assignee for the benefit of creditors, agent or other Person making
such payment or distribution, delivered to the Trustee or to the Debentureholders, for the purpose of ascertaining the Persons entitled to participate
in such payment or distribution, the holders of Senior Indebtedness and other indebtedness of the Company, the amount thereof or payable thereon, the
amount or amounts paid or distributed thereon and all other facts pertinent thereto or to this Article 4.


ARTICLE 5
 PARTICULAR COVENANTS
OF THE COMPANY



Section 5.01.    Payment of
Debentures.    The Company shall pay the principal of and interest on the Debentures on the dates and in the manner provided
herein and in the Debentures. An installment of principal or interest shall be considered paid on the date it is due if the Trustee or paying agent
holds on that date money designated for and sufficient to pay the installment.



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Section 5.02.    Maintenance
of Office or Agency.    The Company will maintain an office or agency in the Borough of Manhattan, the City of New York, where
the Debentures may be surrendered for registration of transfer or exchange or for conversion or redemption and from where payments may be made with
respect to the Debentures. The Company will give prompt written notice to the Trustee of the location, and any change in the location, of such office
or agency not designated or appointed by the Trustee. If at any time the Company shall fail to maintain any such required office or agency or shall
fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices and demands may be made or served at the Corporate Trust
Office or the office of agency of the Trustee in The Borough of Manhattan The City of New York (which shall initially be located at The Bank of New
York, 101 Barclay Street, New York, New York 10286, Attention: Corporate Trust Administration.



The Company may also from time to time designate
co-registrars and one or more offices or agencies where the Debentures may be presented or surrendered for any or all such purposes and may from time
to time rescind such designations. The Company will give prompt written notice of any such designation or rescission and of any change in the location
of any such other office or agency.



The Company hereby initially designates the Trustee
as paying agent, Debenture Registrar, Custodian and conversion agent and each of the Corporate Trust Office and the office of agency of the Trustee in
The Borough of Manhattan, The City of New York (which shall initially be located at The Bank of New York, 101 Barclay Street, New York, New York 10286,
Attention: Corporate Trust Administration), shall be considered as one such office or agency of the Company for each of the aforesaid
purposes.



So long as the Trustee is the Debenture Registrar,
the Trustee agrees to mail, or cause to be mailed, the notices set forth in Section 8.11(a) and the third paragraph of Section 8.12. If co-registrars
have been appointed in accordance with this Section, the Trustee shall mail such notices only to the Company and the holders of Debentures it can
identify from its records.



Section
5.03.    [Intentionally Omitted]



Section 5.04.    Provisions
as to Paying Agent.



(a)    If the Company shall
appoint a paying agent other than the Trustee, or if the Trustee shall appoint such a paying agent, the party who appoints the paying agent will cause
such paying agent to execute and deliver to the Trustee an instrument in which such agent shall agree with the Trustee, subject to the provisions of
this Section 5.04:



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



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



(iii)  that at any time during the
continuance of an Event of Default, upon request of the Trustee, it will forthwith pay to the Trustee all sums so held in trust.



The Company shall, on or before each due date of the
principal of, premium, if any, or interest on the Debentures, deposit with the paying agent a sum (in funds which are immediately available on the due
date for such payment) sufficient to pay such principal, premium, if any, or interest, and (unless such paying agent is the Trustee) the Company will
promptly notify the Trustee of any failure to take such action; provided, however, that if such deposit is made on the due date, such
deposit shall be received by the paying agent by 10:00 a.m. New York City time, on such date.



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(b)    If the Company in lieu of
a paying agent performs itself the functions performable by a paying agent, it will, on or before each due date of the principal of, premium, if any,
or interest on the Debentures, set aside, segregate and hold in trust for the benefit of the holders of the Debentures a sum sufficient to pay such
principal, premium, if any, or interest so becoming due and will promptly notify the Trustee of any failure to take such action and of any failure by
the Company (or any other obligor under the Debentures) to make any payment of the principal of, premium, if any, or interest on the Debentures when
the same shall become due and payable.



(c)    Anything in this Section
5.04 to the contrary notwithstanding, the Company may, at any time, for the purpose of obtaining a satisfaction and discharge of this Indenture, or for
any other reason, pay or cause to be paid to the Trustee all sums held in trust by the Company or any paying agent hereunder as required by this
Section 5.04, such sums to be held by the Trustee upon the trusts herein contained and upon such payment by the Company or any paying agent to the
Trustee, the Company or such paying agent shall be released from all further liability with respect to such sums.



(d)    Anything in this Section
5.04 to the contrary notwithstanding, the agreement to hold sums in trust as provided in this Section 5.04 is subject to Section 13.03 and
13.04.



The Trustee shall not be responsible for the actions
of any other paying agents (including the Company, if in lieu of a paying agent it performs itself the functions performable by a paying agent) and
shall have no control of any funds held by such other paying agents.



Section 5.05.    Rule 144A
Information Requirement.    Within the period prior to the expiration of the holding period applicable to sales thereof under
Rule 144(k) under the Securities Act (or any successor provision), the Company covenants and agrees that it shall, during any period in which it is not
subject to Section 13 or 15(d) under the Exchange Act, make available to any holder or beneficial holder of Debentures or any Common Stock issued upon
conversion thereof which continue to be Restricted Securities in connection with any sale thereof and any prospective purchaser of Debentures or such
Common Stock designated by such holder or beneficial holder, the information required pursuant to Rule 144A(d)(4) under the Securities Act upon the
request of any holder or beneficial holder of the Debentures or such Common Stock and it will take such further action as any holder or beneficial
holder of such Debentures or such Common Stock may reasonably request, all to the extent required from time to time to enable such holder or beneficial
holder to sell its Debentures or Common Stock without registration under the Securities Act within the limitation of the exemption provided by Rule
144A, as such Rule may be amended from time to time. Upon the request of any holder or any beneficial holder of the Debentures or such Common Stock,
the Company will deliver to such holder a written statement as to whether it has complied with such requirements.



Section 5.06.    Stay,
Extension and Usury Laws.    The Company covenants (to the extent that it may lawfully do so) that it shall not at any time
insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law or other law which would
prohibit or forgive the Company from paying all or any portion of the principal of, premium, if any, or interest on the Debentures as contemplated
herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the performance of this Indenture and the Company
(to the extent it may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and covenants that it will not, by resort to
any such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but will suffer and permit the execution of every such
power as though no such law had been enacted.



Section 5.07.    Notice of
Default.    The Company will deliver to the Trustee, forthwith upon becoming aware of (i) any default in the performance or
observance of any covenant, agreement or condition contained in this Indenture, or (ii) any Event of Default, an Officers’



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Certificate specifying with particularity such default or Event of Default and
further stating what action the Company has taken, is taking or proposes to take with respect thereto.



Any notice required to be given under this Section
5.07 or Section 4.05 shall be delivered to a Responsible Officer of the Trustee at its Corporate Trust Office. In the event that the payment of the
Debentures is accelerated because of an Event of Default, the Company shall promptly provide written notice to the Trustee specifying the names and
addresses of the holders of Senior Indebtedness if the Trustee (and not the Company) is to provide holders of Senior Indebtedness notice of such
acceleration under Section 4.05 of the Indenture.



Section 5.08.    Additional
Interest.    



(a)    Upon the occurrence of a
Registration Default, the Company shall pay to each holder of Debentures registrable under the Registration Rights Agreement, with respect to the first
90-day period immediately following the occurrence of a Registration Default, Additional Interest on the Debentures computed by increasing the
applicable interest rate for the relevant period by 0.25% per year from and including the date of the Registration Default. The applicable interest
rate will increase by an additional 0.25% per year with respect to any subsequent 90-day period, but in no event will the additional interest rate
exceed 1.00% per year in the aggregate regardless of the number of Registration Defaults, until all Registration Defaults have been cured. Following
the cure of all Registration Defaults, the accrual of Additional Interest with respect to the Debentures shall cease in accordance with the
Registration Rights Agreement.



(b)    If, after the cure of all
Registration Defaults then in effect, there is a subsequent Registration Default, the additional interest rate for such subsequent Registration Default
shall initially be 0.25%, regardless of the additional interest rate in effect with respect to any prior Registration Default at the time of the cure
of that Registration Default.



(c)    The Company shall notify
the Transfer Agent within five Business Days after each and every date on which a Registration Default occurs. Additional Interest shall be payable by
the Company to the record holders of Debentures on each interest payment date in the manner provided for the payment of regular
interest.



Section 5.09.    Additional
Interest Notice.    In the event that the Company is required to pay Additional Interest to holders of Debentures pursuant to
the Registration Rights Agreement, the Company will provide written notice (“Additional Interest Notice”) to the Trustee of its
obligation to pay Additional Interest no later than fifteen days prior to the proposed payment date for the Additional Interest, and the Additional
Interest Notice shall set forth the amount of Additional Interest to be paid by the Company on such payment date. The Trustee shall not at any time be
under any duty or responsibility to any holder of Debentures to determine the Additional Interest, or with respect to the nature, extent or calculation
of the amount of Additional Interest when made, or with respect to the method employed in such calculation of the Additional Interest. Unless the
Trustee receives a Additional Interest Notice within the time period specified above, the Trustee is entitled to assume that no Additional Interest is
due and payable.


ARTICLE 6
 DEBENTUREHOLDERS’ LISTS
AND REPORTS BY THE COMPANY AND THE
TRUSTEE



Section
6.01.    Debentureholders’ Lists.    The Company covenants and agrees that it will furnish or cause
to be furnished to the Trustee, semiannually, not more than fifteen (15) days after each January 1 and July 1 in each year beginning with January 1,
2004 and at such other times as the Trustee may reasonably request in writing, within thirty (30) days after receipt by the Company of any such request
(or such lesser time as the Trustee may reasonably request in order to enable it to timely provide any notice to be provided by it hereunder), a list
in such form as the Trustee may reasonably require, containing all the information in the possession or



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control of the Debenture Register, the Company or paying agents (other than the
Trustee) as to the names and addresses of the holders of Debentures, except that no such list need be furnished by the Company to the Trustee so long
as the Trustee is acting as the sole Debenture Registrar.



Section 6.02.    Preservation
and Disclosure of Lists.



(a)    The Trustee shall
preserve, in as current a form as is reasonably practicable, all information as to the names and addresses of the holders of Debentures contained in
the most recent list furnished to it as provided in Section 6.01 or maintained by the Trustee in its capacity as Debenture Registrar or co-registrar in
respect of the Debentures, if so acting. The Trustee may destroy any list furnished to it as provided in Section 6.01 upon receipt of a new list so
furnished.



(b)    The rights of
Debentureholders to communicate with other holders of Debentures with respect to their rights under this Indenture or under the Debentures, and the
corresponding rights and duties of the Trustee, shall be as provided by the Trust Indenture Act.



(c)    Every Debentureholder, by
receiving and holding the same, agrees with the Company and the Trustee that neither the Company nor the Trustee nor any agent of either of them shall
be held accountable by reason of any disclosure of information as to names and addresses of holders of Debentures made pursuant to the Trust Indenture
Act.



Section 6.03.    Reports by
Trustee.



(a)    Within sixty (60) days
after May 15 of each year commencing with the May 15 following the date of this Indenture, the Trustee shall transmit to holders of Debentures a report
dated as of May 15 of the year in which such report is made concerning the Trustee and its actions under this Indenture as may be required pursuant to
the Trust Indenture Act and shall transmit such other reports concerning the Trustee and its actions under this Indenture as may be required pursuant
to the Trust Indenture Act at the times and in the manner provided pursuant thereto.



(b)    A copy of such report
shall, at the time of such transmission to holders of Debentures, be filed by the Trustee with the SEC and each stock exchange and automated quotation
system upon which the Debentures are listed, if any, and with the Company. The Company will promptly notify the Trustee in writing when the Debentures
are listed on any stock exchange or automated quotation system or delisted therefrom.



Section 6.04.    Reports by
Company.    The Company covenants:



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



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



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(c)    to transmit by mail to
all holders of Debentures, as the names and addresses of such holders appear on the Debenture Register, within 30 days after the filing thereof with
the Trustee, and to all holders whose names appear on the list furnished or caused to be furnished to the Trustee by the Company under Section 6.01,
such summaries of any information, documents and reports required to be filed by the Company pursuant to subsections (a) and (b) of this Section 6.04
as may be required by rules and regulations prescribed from time to time by the SEC.



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


ARTICLE 7
 REMEDIES OF THE
TRUSTEE AND DEBENTUREHOLDERS ON AN EVENT OF
DEFAULT



Section 7.01.    Events of
Default; Acceleration of Maturity; Waiver of Default.    Each of the following Events of Default shall constitute an event of
default with respect to the Debentures (“Events of Default”): (a) default in the payment of any installment of interest upon any of
the Debentures as and when the same shall become due and payable, and continuance of such default for a period of 30 days; or (b) default in the
payment of the principal of (or premium, if any, on) any of the Debentures as and when the same shall become due and payable either at maturity, upon
redemption, by declaration or otherwise; or (c) failure to deliver shares of Common Stock, together with cash in lieu of any fractional shares, when
such Common Stock and cash is required to be delivered upon conversion of the Debentures and continuance of such default for ten Business Days; or (d)
failure on the part of the Company duly to observe or perform any other of the covenants or agreements on the part of the Company in the Debentures, in
this Indenture contained or in any supplemental indenture under which the Debentures have been issued, excluding any failure which resulted from a
change in generally accepted accounting principles, for a period of 60 days after the date on which written notice of such failure (specified as a
“Notice of Default”), requiring the Company to remedy the same, shall have been given to the Company by the Trustee or to the Company
and the Trustee by holders of at least twenty-five percent in aggregate principal amount of the Debentures then outstanding; or (e) a court or
governmental agency having jurisdiction in the premises shall enter a decree or order for relief in respect of the Company in an involuntary case under
any applicable federal or state bankruptcy, insolvency or other similar law now or hereafter in effect, or appointing a receiver, liquidator, assignee,
custodian, trustee, sequestrator (or similar official) of the Company or for any substantial part of its property or ordering the winding up or
liquidation of its affairs, and such decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or (f) the Company shall
commence a voluntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or consent to the entry of an
order for relief in an involuntary case under any such law, or consent to the appointment or taking possession by a receiver, liquidator, assignee,
custodian, trustee, sequestrator (or similar official) of the Company or for any substantial part of its property or make any general assignment for
the benefit of creditors; or (g) the Company shall admit in writing its inability to pay its debts generally as they become due, or corporate action
shall be taken by the Company in furtherance of any of the aforesaid purposes, then and in each and every such case, unless the principal of all the
Debentures shall have already become due and payable, either the Trustee or the holders of not less than twenty-five percent in aggregate principal
amount of the Debentures then outstanding hereunder, by notice in writing to the Company (and to the Trustee if given by holders of the Debentures),
may declare the principal of all the Debentures to be due and payable immediately, and upon any such declaration the same shall become and shall be
immediately due and payable, anything in this Indenture,



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in any supplemental indenture under which the Debentures have been issued or in the
Debentures contained to the contrary notwithstanding. This provision, however, is subject to the condition that if, at any time after the principal of
the Debentures shall have been so declared and payable, and before any judgment or decree for the payment of the moneys due shall have been obtained or
entered as hereinafter provided, the Company shall pay, or shall deposit with the Trustee a sum sufficient to pay, all matured installments of interest
upon all the Debentures and the principal of (and premium, if any, on) any and all Debentures which shall have become due otherwise than by
declaration, with interest upon such principal (and premium, if any) and (to the extent that payment of such interest is enforceable under applicable
law) upon any overdue installments of interest at the same rate of interest specified in the Debentures, to the date of such payment or deposit, and
such amount as shall be sufficient to cover reasonable compensation to the Trustee, its agents and counsel, and all other expenses and liabilities
incurred, and all advances made, by the Trustee except as a result of its negligence or bad faith, and if any and all existing Events of Default, other
than the nonpayment of the principal of the Debentures which shall have become due by declaration, shall have been remedied, then and in every such
case the holders of a majority in aggregate principal amount of the Debentures then Outstanding by written notice to the Company and to the Trustee may
waive all defaults and rescind and annul such declaration and its consequences; but no such waiver or rescission or annulment shall extend to or shall
affect any subsequent default or shall impair any right consequent thereon. In case the Trustee shall have proceeded to enforce any right under this
Indenture and such proceedings shall have been discontinued or abandoned because of such waiver or rescission or annulment or for any other reason or
shall have been determined adversely to the Trustee, then and in every such case the Company, the Trustee and the holders of the Debentures shall be
restored respectively to their former positions and rights hereunder, and all rights, remedies and powers of the Company, the Trustee and the holders
of the Debentures shall continue as though no such proceedings had been taken.



Section 7.02.    Collection
Of Indebtedness By Trustee; Trustee May Prove Debt.    The Company covenants that (1) in case default shall be made in the
payment of any installment of interest on any of the Debentures, as and when the same shall become due and payable, and such default shall have
continued for a period of 30 days, or (2) in case default shall be made in the payment of the principal of (or premium, if any, on) any of the
Debentures when the same shall have become due and payable, whether upon maturity or upon redemption or upon declaration or otherwise, then, upon
demand of the Trustee, the Company will pay to the Trustee, for the benefit of the holders of the Debentures, the whole amount that then shall have
become due and payable on all Debentures for principal (and premium, if any) and interest, with interest upon any overdue principal (and premium, if
any) and (to the extent that payment of such interest is enforceable under applicable law) upon any overdue installments of interest at the same rate
as the rate of interest specified in the Debentures, and, in addition thereto, such further amount as shall be sufficient to cover reasonable
compensation to the Trustee, its agents and counsel, and all other expenses and liabilities incurred, and all advances made, by the Trustee except as a
result of its negligence or bad faith.



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



In case there shall be pending proceedings relative
to the Company or any other obligor upon the Debentures under Title 11 of the United States Code or any other applicable Federal



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or State bankruptcy, insolvency or other similar law, or in case a receiver,
assignee or trustee in bankruptcy or reorganization, liquidator, sequestrator or similar official shall have been appointed for or taken possession of
the Company or its property or such other obligor, or in case of any other judicial proceedings relative to the Company or other obligor upon the
Debentures, or to the creditors or property of the Company or such other obligor, the Trustee, irrespective of whether the principal of any Debentures
shall then be due and payable as therein expressed or by declaration or otherwise and irrespective of whether the Trustee shall have made any demand
pursuant to the provisions of this Section, shall be entitled and empowered, by intervention in such proceedings or otherwise, (a) to file and prove a
claim or claims for the whole amount of principal, premium, if any, and interest owing and unpaid in respect of the Debentures and to file such other
papers or documents as may be necessary or advisable in order to have the claims of the Trustee (including any claim for reasonable compensation to the
Trustee, its agents and counsel, and for reimbursement of all expenses and liabilities incurred, and all advances made, by the Trustee except as a
result of its negligence or bad faith) and of the Debentureholders allowed in any judicial proceedings relative to the Company or other obligor upon
the Debentures, or to the creditors or property of the Company or such other obligor, (b) unless prohibited by applicable law and regulations, to vote
on behalf of the holders of the Debentures in any election of a trustee or a standby trustee in arrangement, reorganization, liquidation or other
bankruptcy or insolvency proceedings or person performing similar functions in comparable proceedings, and (c) to collect and receive any moneys or
other property payable or deliverable on any such claims and to distribute all amounts received with respect to the claims of the Debentureholders and
of the Trustee on their behalf and any receiver, assignee, liquidator, custodian, trustee or other similar official is hereby authorized by each of the
Debentureholders to make payments to the Trustee and, in the event that the Trustee shall consent to the making of payments directly to the
Debentureholders, to pay the Trustee such amount as shall be sufficient to cover reasonable compensation to the Trustee, its agents and counsel, and
all other expenses and liabilities incurred, and all advances made, by the Trustee except as a result of its negligence or bad faith.



Nothing herein contained shall be deemed to
authorize the Trustee to authorize or consent to or vote for or accept or adopt on behalf of any Debentureholder any plan of reorganization,
arrangement, adjustment or composition affecting the Debentures or the rights of any holder thereof, or to authorize the Trustee to vote in respect of
the claim of any Debentureholder in any such proceeding except, as aforesaid, to vote for the election of a trustee in bankruptcy or similar
person.



All rights of action and to assert claims under this
Indenture, or under any of the Debentures may be enforced by the Trustee without the possession of any of the Debentures or the production thereof on
any trial or other proceedings relative thereto, and any such action or proceedings instituted by the Trustee shall be brought in its own name as
trustee of an express trust, and any recovery of judgment shall be for the ratable benefit of the holders of the Debentures in respect of which such
action was taken.



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



In the case of a default hereunder the Trustee may
in its discretion proceed to protect and enforce the rights vested in it by this Indenture by such appropriate judicial proceedings as the Trustee
shall deem most effectual to protect and enforce any of such rights, either at law or in equity or in bankruptcy or otherwise, whether for the specific
enforcement of any covenant or agreement contained in this Indenture, or in aid of the exercise of any power granted in this Indenture, or otherwise,
and the Trustee may enforce any other legal or equitable right vested in the Trustee by this Indenture or by law.



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Section 7.03.    Application
Of Proceeds.    Any moneys collected by the Trustee pursuant to Section 7.02 in respect of any Debentures shall be applied in
the order following, at the date or dates fixed by the Trustee and, in case of the distribution of such moneys on account of principal (or premium, if
any) or interest, upon presentation of the several Debentures in respect of which moneys have been collected and making a notation thereon the payment
if only partially paid, and upon surrender thereof if fully paid:



First: To the payment of costs and expenses of
collection, reasonable compensation to the Trustee, its agents and counsel, and all other expenses and liabilities incurred, and all advances made, by
the Trustee except as a result of its negligence or bad faith;



Second: In case the principal of the Debentures in
respect of which moneys have been collected shall not have become due, to the payment of interest on the Debentures in default, in the order of the
maturity of the installments of such interest, with interest (to the extent that such interest has been collected by the Trustee) upon the overdue
installments of interest, at the same rate as the rate of interest specified in the Debentures, such payments to be made ratably to the persons
entitled thereto;



Third: In case the principal of the Debentures in
respect of which moneys have been collected shall have become due by declaration or otherwise, to the payment of the whole amount then owing and unpaid
upon all of the Debentures for principal (and premium, if any) and interest, with interest on the overdue principal (and premium, if any), and (to the
extent that such interest has been collected by the Trustee) upon overdue installments of interest, at the same rate as the rate of interest specified
in the Debentures, and in case such moneys shall be insufficient to pay in full the whole amount so due and unpaid upon the Debentures, then to the
payment of such principal (and premium, if any) and interest without preference or priority of principal (and premium if any) over interest, or of
interest over principal (and premium, if any), or of any installment of interest over any other installment of interest, or of any Debentures over any
other Debentures, ratably to the aggregate of such principal (and premium, if any) and interest; and



Fourth: To the Company.



Section 7.04.    Limitation
On Suits By Debentureholders.    No holder of any Debentures shall have any right by virtue or by availing of any provision of
this Indenture to institute any action or proceeding at law or in equity or in bankruptcy or otherwise upon or under or with respect to this Indenture,
or for the appointment of a receiver, trustee, liquidator, custodian or other similar official or for any other remedy hereunder, unless such holder
previously shall have given to the Trustee written notice of an Event of Default and unless also the holders of not less than twenty-five percent in
aggregate principal amount of the Debentures then Outstanding shall have made written request upon the Trustee to institute such action or proceedings
in its own name as trustee hereunder and shall have offered to the Trustee such reasonable indemnity as it may require against the costs, expenses, and
liabilities to be incurred therein or thereby and the Trustee, for 60 days after its receipt of such notice, request and offer of indemnity, shall have
failed to institute any such action or proceedings and no direction inconsistent with such written request shall have been given to the Trustee
pursuant to Section 7.06; it being understood and intended and being expressly covenanted by the taker and holder of every Debenture with every other
taker and holder and the Trustee that no one or more holders of Debentures shall have any right in any manner whatever by virtue or by availing of any
provision of this Indenture to affect, disturb or prejudice the rights of any other holder of Debentures, or to obtain or seek to obtain priority over
or preference to any other such holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal, ratable
and common benefit of all holders of Debentures. For the protection and enforcement of the provisions of this Section, each and every Debentureholder
and the Trustee shall be entitled to such relief as can be given either at law or in equity.



Notwithstanding any other provision in this
Indenture or any provision of any Debenture, the right of any holder of any Debenture to receive payment of the principal of, premium,
if



34











any and interest on such Debenture, on or after the respective due dates expressed
in such Debenture, or any Redemption Date, or to receive Common Stock on or after the dates such stock should be delivered upon exercise of such
holder’s conversion rights under Article 15 hereof or to institute suit for the enforcement of any such payment or delivery on or after such
respective dates, shall not be impaired or affected without the consent of such holder.



Section 7.05.    Powers And
Remedies Cumulative; Delay Or Omission Not Waiver Of Default.    All powers and remedies given by this Article Seven to the
Trustee or to the Debentureholders, to the extent permitted by law, be deemed cumulative and not exclusive of any thereof or of any other powers and
remedies available to the Trustee or the Debentureholders, by judicial proceedings or otherwise, to enforce the performance or observance of the
covenants and agreements contained in this Indenture, and no delay or omission of the Trustee or of any holder of the Debentures in exercising any
right or power accruing upon any default occurring and continuing as aforesaid shall impair any such right or power or shall be construed to be a
waiver of any such default or an acquiescence therein; and, subject to the provisions of Section 7.04, every power and remedy given by this Article
Seven or by law to the Trustee or to the Debentureholders may be exercised from time to time, and as often as shall be deemed expedient, by the Trustee
or by the Debentureholders.



Section 7.06.    Control By
Debentureholders; Waiver Of Defaults.    The holders of a majority in aggregate principal amount of the Debentures at the time
Outstanding shall have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee, or
exercising any trust or power conferred on the Trustee with respect to the Debentures by this Indenture; provided that such direction shall not be
otherwise than in accordance with law and the provisions of this Indenture and provided further that (subject to the provisions of Section 8.01) the
Trustee shall have the right to decline to follow any such direction if the Trustee, being advised by counsel, shall determine that the action or
proceeding so directed may not lawfully be taken or if the Trustee in good faith by its board of directors, the executive committee, or a trust
committee of directors or Responsible Officers of the Trustee shall determine that the action or proceedings so directed would involve the Trustee in
personal liability or if the Trustee in good faith shall so determine that the actions or forebearances specified in or pursuant to such direction
would be unduly prejudicial to the interests of holders of the Debentures not joining in the giving of said direction, it being understood that
(subject to Section 8.01) the Trustee shall have no duty to ascertain whether or not such actions or forebearances are unduly prejudicial to such
holders. Nothing in this Indenture shall impair the right of the Trustee in its discretion to take any action deemed proper by the Trustee and which is
not inconsistent with such direction or directions by Debentureholders. Prior to the declaration of the maturity of the Debentures as provided in
Section 7.01, the holders of a majority in aggregate principal amount of the Debentures at the time Outstanding may on behalf of the holders of all the
Debentures waive any past default hereunder and its consequences, except a default in the payment of the principal of (or premium, if any) or interest
on any of the Debentures. In the case of any such waiver, the Company, the Trustee and the holders of the Debentures shall be restored to their former
positions and rights hereunder, respectively; but no such waiver shall extend to any subsequent or other default or impair any right consequent
thereon.



Section 7.07.    Right Of
Court To Require Filing Of Undertaking To Pay Costs.    All parties to this Indenture agree, and each holder of any Debenture,
by such holder’s acceptance thereof shall be deemed to have agreed, that any court may in its discretion require, in any suit for the enforcement
of any right or remedy under this Indenture, or in any suit against the Trustee for any action taken or omitted by it as Trustee, the filing by any
party litigant in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs,
including reasonable attorneys’ fees and expenses, against any party litigant in such suit, having due regard to the merits and good faith of the
claims or defenses made by such party litigant; but the provisions of this Section 7.07 shall not apply to any suit instituted



35











by the Trustee, to any suit instituted by any Debentureholder, or group of
Debentureholders, holding in the aggregate more than ten percent in principal amount of the Debentures Outstanding, or to any suit instituted by any
Debentureholder for the enforcement of the payment of the principal of (or premium, if any) or interest on any Debenture on or after the due date
expressed in such Debenture.


ARTICLE 8
 THE TRUSTEE



Section 8.01.    Duties and
Responsibilities of Trustee.    The Trustee, prior to the occurrence of an Event of Default and after the curing of all Events
of Default which may have occurred, undertakes to perform such duties and only such duties as are specifically set forth in this Indenture. In case an
Event of Default has occurred (which has not been cured or waived), the Trustee shall exercise such of the rights and powers vested in it by this
Indenture, and use the same degree of care and skill in their exercise, as a prudent person would exercise or use under the circumstances in the
conduct of his own affairs.



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



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



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



(ii)  in the absence of bad faith and
willful misconduct on the part of the Trustee, the Trustee may conclusively rely as to the truth of the statements and the correctness of the opinions
expressed therein, upon any certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture; but, in the case of
any such certificates or opinions which by any provisions hereof are specifically required to be furnished to the Trustee, the Trustee shall be under a
duty to examine the same to determine whether or not they substantially conform to the requirements of this Indenture;



(b)    the Trustee shall not be
liable for any error of judgment made in good faith by a Responsible Officer or Officers of the Trustee, unless the Trustee was negligent in
ascertaining the pertinent facts and the Trustee shall not be liable for any action taken, suffered, or omitted to be taken by it in good faith and
reasonably believed by it to be authorized or within the discretion or rights or powers conferred upon it by this Indenture;



(c)    the Trustee shall not be
liable with respect to any action taken or omitted to be taken by it in good faith in accordance with the written direction of the holders of not less
than a majority in principal amount of the Debentures at the time Outstanding determined as provided in Section 9.04 relating to the time, method and
place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, under this
Indenture;



(d)    whether or not therein
provided, every provision of this Indenture that in any way relates to the Trustee shall be subject to the provisions of this Section;



(e)    the Trustee shall not be
liable in respect of any payment (as to the correctness of amount, entitlement to receive or any other matters relating to payment) or notice effected
by the Company or any paying agent or any records maintained by any co-registrar with respect to the Debentures; and



36












(f)    if any party fails to
deliver a notice relating to an event the fact of which, pursuant to this Indenture, requires notice to be sent to the Trustee, the Trustee may
conclusively rely on its failure to receive such notice as reason to act as if no such event occurred.



None of the provisions contained in this Indenture
shall require the Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in
the exercise of any of its rights or powers.



Section 8.02.    Reliance on
Documents, Opinions, etc.    Except as otherwise provided in Section 8.01:



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



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



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



(d)    the Trustee shall be
under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request, order or direction of any of the
Debentureholders pursuant to the provisions of this Indenture, unless such Debentureholders shall have offered to the Trustee reasonable security or
indemnity satisfactory to it against the costs, expenses and liabilities which may be incurred therein or thereby;



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



(f)    the Trustee shall not be
deemed to have notice of any default or Event of Default unless a Responsible Officer of the Trustee has actual knowledge thereof or unless written
notice of any event which is in fact such a default is received by the Trustee at the Corporate Trust Office of the Trustee, and such notice references
the Debentures and this Indenture; and



(g)    the rights, privileges,
protections, immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder, and each agent, custodian and other Person employed to act hereunder.



Section 8.03.    Notice Of
Default.    If a default occurs and is continuing with respect to the Debentures and if it is known to the Trustee, the Trustee
shall mail to each Holder of a Debenture entitled to receive reports pursuant to Section 6.04(c) notice of the Default within 90 days after it occurs.
Except in the case of a Default in payment of the principal or of or interest on the Debentures, the Trustee may withhold the notice if and so long as
its Board of Directors, the executive Committee, or a Trust Committee of directors or Responsible Officers in good faith determines that withholding
such notice is in the interests of the Debentureholders.



Section 8.04.    No
Responsibility for Recitals, etc.    The recitals contained herein and in the Debentures (except in the Trustee’s
certificate of authentication) shall be taken as the



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statements of the Company, and the Trustee assumes no responsibility for the
correctness of the same. The Trustee makes no representations as to the validity or sufficiency of this Indenture or of the Debentures. The Trustee
shall not be accountable for the use or application by the Company of any Debentures or the proceeds of any Debentures authenticated and delivered by
the Trustee in conformity with the provisions of this Indenture.



Section 8.05.    Trustee,
Paying Agents, Conversion Agents or Registrar May Own Debentures.     The Trustee, any paying agent, any conversion agent or
Debenture Registrar, in its individual or any other capacity, may become the owner or pledgee of Debentures with the same rights it would have if it
were not Trustee, paying agent, conversion agent or Debenture Registrar. However, the Trustee is subject to Section 8.09, Section 8.10, Section 8.13
and Section 8.14 of this Indenture.



Section 8.06.    Monies to Be
Held in Trust.    Subject to the provisions of Section 13.04 and Section 4.02, all monies and properties received by the
Trustee shall, until used or applied as herein provided, be held in trust for the purposes for which they were received. Money held by the Trustee in
trust hereunder need not be segregated from other funds except to the extent required by law. The Trustee shall be under no liability for interest on
any money received by it hereunder except as may be agreed in writing from time to time by the Company and the Trustee.



Section 8.07.    Compensation
And Indemnity.



(a)    The Company shall pay to
the Trustee from time to time such compensation for its services as is agreed upon in writing between the Company and the Trustee. The Trustee’s
compensation shall not be limited by any law on compensation of a trustee of an express trust. The Company shall reimburse the Trustee upon request for
all reasonable out-of-pocket expenses incurred by it in connection with the performance of its duties under this Indenture. Such expenses shall include
the reasonable compensation and expenses of the Trustee’s agents and counsel.



(b)    The Company shall
indemnify the Trustee against any and all loss, claim, damage, expense or liability incurred by it arising out of or in connection with its acceptance
or administration of the trust or trusts hereunder. The Trustee shall notify the Company promptly of any claim of which a Responsible Officer has
received written notice and for which it may seek indemnity. The Company shall defend the claim and the Trustee shall reasonably cooperate in the
defense. The Trustee may have separate counsel provided that the Company shall pay the reasonable fees and expenses of such counsel. The Company need
not pay for any settlement made without its consent, which consent shall not be unreasonably withheld.



(c)    The Company need not
reimburse any expense or indemnify against any loss or liability incurred by the Trustee’s own negligence or willful misconduct.



(d)    To secure the payment
obligations of the Company pursuant to this Section, the Trustee shall have a lien prior to the Debentures on all money or property held or collected
by the Trustee, except that held in trust to pay principal and interest on the Debentures.



(e)    If the Trustee incurs
expenses or renders services after an Event of Default specified in Section 7.01(d) or Section 7.01(e) occurs, such expenses and the compensation for
such services are intended to constitute expenses of administration under any Federal bankruptcy, insolvency or related law.



Section
8.08.    Officers’ Certificate as Evidence.    Except as otherwise provided in Section 8.01,
whenever in the administration of the provisions of this Indenture the Trustee shall deem it necessary or desirable that a matter be proved or
established prior to taking or omitting any action hereunder, the Trustee may request the delivery of an Officers’ Certificate and such matter
(unless other evidence in respect thereof be herein specifically prescribed) may, in the



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absence of negligence or willful misconduct on the part of the Trustee, be deemed
to be conclusively proved and established by an Officers’ Certificate delivered to the Trustee.



Section 8.09.    Conflicting
Interests of Trustee.    The Trustee shall comply with Section 310(b) of the Trust Indenture Act, subject to its right to apply
for a stay of its duty to resign under the penultimate paragraph of Section 310(b) of the Trust Indenture Act; provided, however, that there shall be
excluded from the operation of Section 310(b)(1) of the Trust Indenture Act any indenture or indentures under which other securities or certificates of
interest or participation in other securities of the Company are outstanding if the requirements for such exclusion set forth in Section 301(b)(1) of
the Trust Indenture Act are met.



Section 8.10.    Eligibility
of Trustee.    There shall at all times be a Trustee hereunder which shall be a Person that is eligible pursuant to the Trust
Indenture Act to act as such and has a combined capital and surplus of at least $50,000,000 (or if such Person is a member of a bank holding company
system, its bank holding company shall have a combined capital and surplus of at least $50,000,000). If such Person publishes reports of condition at
least annually, pursuant to law or to the requirements of any supervising or examining authority, then for the purposes of this Section 8.10 the
combined capital and surplus of such Person shall be deemed to be its combined capital and surplus as set forth in its most recent report of condition
so published. If at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section 8.10, it shall resign immediately
in the manner and with the effect hereinafter specified in this Article.



Section 8.11.    Resignation
or Removal of Trustee.



(a)    The Trustee may at any
time resign by giving written notice of such resignation to the Company and to the holders of Debentures. Upon receiving such notice of resignation,
the Company shall promptly appoint a successor trustee who, at the time of such appointment, meets the requirements of Section 8.10 and would not then
be subject to a duty to resign under Section 8.10, by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which
instrument shall be delivered to the resigning Trustee and one copy to the successor trustee. If no successor trustee shall have been so appointed and
have accepted appointment thirty (30) days after the mailing of such notice of resignation to the Debentureholders, the resigning Trustee may, upon ten
(10) business days’ notice to the Company and the Debentureholders, appoint a successor identified in such notice or may petition, at the expense
of the Company, any court of competent jurisdiction for the appointment of a successor trustee, or, if any Debentureholder who has been a bona fide
holder of a Debenture or Debentures for at least six (6) months may, subject to the provisions of Section 7.07, on behalf of himself and all others
similarly situated, petition any such court for the appointment of a successor trustee. Such court may thereupon, after such notice, if any, as it may
deem proper and prescribe, appoint a successor trustee.



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



(i)  the Trustee shall fail to comply
with Section 8.09 after written request therefor by the Company or by any Debentureholder who has been a bona fide holder of a Debenture or Debentures
for at least six (6) months; or



(ii)  the Trustee shall cease to be
eligible in accordance with the provisions of Section 8.09 and shall fail to resign after written request therefor by the Company or by any such
Debentureholder; or



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



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then, in any such case, the Company may remove the Trustee and appoint a successor
trustee by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which instrument shall be delivered to the
Trustee so removed and one copy to the successor trustee, or, subject to the provisions of Section 7.07, any Debentureholder who has been a bona fide
holder of a Debenture or Debentures for at least six (6) months may, on behalf of himself and all others similarly situated, petition any court of
competent jurisdiction for the removal of the Trustee and the appointment of a successor trustee; provided, however, that if no successor
Trustee shall have been appointed and have accepted appointment sixty (60) days after either the Company or the Debentureholders has removed the
Trustee, the Trustee so removed may petition at the expense of the Company any court of competent jurisdiction for an appointment of a successor
trustee. Such court may thereupon, after such notice, if any, as it may deem proper and prescribe, remove the Trustee and appoint a successor
trustee.



(c)    The holders of a majority
in aggregate principal amount of the Debentures at the time Outstanding may at any time remove the Trustee and nominate a successor trustee which shall
be deemed appointed as successor trustee unless, within ten (10) days after notice to the Company of such nomination, the Company objects thereto, in
which case the Trustee so removed or any Debentureholder, or if such Trustee so removed or any Debentureholder fails to act, the Company, upon the
terms and conditions and otherwise as in Section 8.11(a) provided, may petition any court of competent jurisdiction for an appointment of a successor
trustee.



(d)    Any resignation or
removal of the Trustee and appointment of a successor trustee pursuant to any of the provisions of this Section 8.11 shall become effective upon
acceptance of appointment by the successor trustee as provided in Section 8.12.



Section 8.12.    Acceptance
by Successor Trustee.    Any successor trustee appointed as provided in Section 8.11 shall execute, acknowledge and deliver to
the Company and to its predecessor trustee an instrument accepting such appointment hereunder, and thereupon the resignation or removal of the
predecessor trustee shall become effective and such successor trustee, without any further act, deed or conveyance, shall become vested with all the
rights, powers, duties and obligations of its predecessor hereunder, with like effect as if originally named as trustee herein; but, nevertheless, on
the written request of the Company or of the successor trustee, the trustee ceasing to act shall, upon payment of any amount then due it pursuant to
the provisions of Section 8.07, execute and deliver an instrument transferring to such successor trustee all the rights and powers of the trustee so
ceasing to act. Upon request of any such successor trustee, the Company shall execute any and all instruments in writing for more fully and certainly
vesting in and confirming to such successor trustee all such rights and powers. Any trustee ceasing to act shall, nevertheless, retain a lien upon all
property and funds held or collected by such trustee as such, except for funds held in trust for the benefit of holders of particular Debentures, to
secure any amounts then due it pursuant to the provisions of Section 8.07.



No successor trustee can accept appointment as
provided in this Section 8.12 unless, at the time of such acceptance, such successor trustee shall meet the requirements of Section 8.10 and not then
be subject to a duty to resign under Section 8.09.



Upon acceptance of appointment by a successor
trustee as provided in this Section 8.12, the Company (or the former trustee, at the written direction of the Company) shall mail or cause to be mailed
notice of the succession of such trustee hereunder to the holders of Debentures at their addresses as they shall appear on the Debenture Register. If
the Company fails to mail such notice within ten (10) days after acceptance of appointment by the successor trustee, the successor trustee shall cause
such notice to be mailed at the expense of the Company.



Section 8.13.    Succession
by Merger, etc.    Any corporation into which the Trustee may be merged or converted or with which it may be consolidated, or
any corporation resulting from any merger, conversion or consolidation to which the Trustee shall be a party, or any



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corporation succeeding to all or substantially all of the corporate trust business
of the Trustee (including any trust created by this Indenture), shall be the successor to the Trustee hereunder without the execution or filing of any
paper or any further act on the part of any of the parties hereto, provided that in the case of any corporation succeeding to all or
substantially all of the corporate trust business of the Trustee, such corporation shall be qualified under the provisions of Section 8.09 and eligible
under the provisions of Section 8.09.



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



Section 8.14.    Preferential
Collection of Claims.    The Trustee shall comply with Section 311(a) of the Trust Indenture Act, excluding any creditor
relationship listed in Section 311(b) of the Trust Indenture Act. A Trustee who has resigned or been removed shall be subject to Section 311(a) of the
Trust Indenture Act to the extent indicated.


ARTICLE 9
 THE
DEBENTUREHOLDERS



Section 9.01.    Action by
Debentureholders.    Whenever in this Indenture it is provided that all holders or the holders of a specified percentage in
aggregate principal amount of the Debentures may take any action (including the making of any demand or request, the giving of any notice, consent,
rescission, annulment or waiver or the taking of any other action), the fact that at the time of taking any such action, the holders of such specified
percentage have joined therein may be evidenced (a) by any instrument or any number of instruments of similar tenor executed by Debentureholders in
person or by agent or proxy appointed in writing, or (b) by the record of the holders of Debentures voting in favor thereof at any meeting of
Debentureholders duly called and held in accordance with the provisions of Article 10, or (c) by a combination of such instrument or instruments and
any such record of such a meeting of Debentureholders. Whenever the Company or the Trustee solicits the taking of any action by the holders of the
Debentures, the Company or the Trustee may fix in advance of such solicitation, a date as the record date for determining holders entitled to take such
action. The record date shall be not more than fifteen (15) days prior to the date of commencement of solicitation of such action.



Section 9.02.    Proof of
Execution by Debentureholders.    Subject to the provisions of Section 8.01, 8.02 and 10.05, proof of the execution of any
instrument by a Debentureholder or its agent or proxy shall be sufficient if made in accordance with such reasonable rules and regulations as may be
prescribed by the Trustee or in such manner as shall be satisfactory to the Trustee. The holding of Debentures shall be proved by the Debenture
Register or by a certificate of the Debenture Registrar.



The record of any Debentureholders’ meeting
shall be proved in the manner provided in Section 10.06.



Section 9.03.    Who Are
Deemed Absolute Owners.    The Company, the Trustee, any paying agent, any conversion agent and any Debenture Registrar may
deem the Person in whose name such Debenture shall be registered upon the Debenture Register to be, and may treat it as, the



41











absolute owner of such Debenture (whether or not such Debenture shall be overdue
and notwithstanding any notation of ownership or other writing thereon made by any Person other than the Company or any Debenture Registrar) for the
purpose of receiving payment of or on account of the principal of, premium, if any, and interest on such Debenture, for conversion of such Debenture
and for all other purposes; and neither the Company nor the Trustee nor any paying agent nor any conversion agent nor any Debenture Registrar shall be
affected by any notice to the contrary. All such payments so made to any holder for the time being, or upon his order, shall be valid, and, to the
extent of the sum or sums so paid, effectual to satisfy and discharge the liability for monies payable upon any such Debenture.



Section
9.04.    Company-Owned Debentures Disregarded.    In determining whether the holders of the requisite
aggregate principal amount of Debentures have concurred in any direction, consent, waiver or other action under this Indenture, Debentures which are
owned by the Company, any Affiliate of the Company or any other obligor on the Debentures shall be disregarded and deemed not to be Outstanding for the
purpose of any such determination; provided, however, that, for the purposes of determining whether the Trustee shall be protected in
relying on any such direction, consent, waiver or other action, only Debentures which a Responsible Officer of the Trustee knows are so owned shall be
so disregarded. Debentures so owned which have been pledged in good faith may be regarded as Outstanding for the purposes of this Section 9.04 if the
pledgee shall establish to the satisfaction of the Trustee the pledgee’s right to vote such Debentures and that the pledgee is not the Company,
any Affiliate of the Company or any such other obligor on the Debentures. In the case of a dispute as to such right, any decision by the Trustee taken
upon the advice of counsel shall be full protection to the Trustee. Upon request of the Trustee, the Company shall furnish to the Trustee promptly an
Officers’ Certificate listing and identifying all Debentures, if any, known by the Company to be owned or held by or for the account of any of the
above described Persons, and, subject to Section 8.01, the Trustee shall be entitled to accept such Officers’ Certificate as conclusive evidence
of the facts therein set forth and of the fact that all Debentures not listed therein are Outstanding for the purpose of any such
determination.



Section 9.05.    Revocation
of Actions; Future Holders Bound.    At any time prior to (but not after) the evidencing to the Trustee, as provided in Section
9.01, of the taking of any action by all holders or the holders of the percentage in aggregate principal amount of the Debentures specified in this
Indenture, any holder of a Debenture who has joined in such action may, by filing written notice with the Trustee at its Corporate Trust Office and
upon proof of holding as provided in Section 9.02, revoke such action so far as concerns such Debenture. Except as aforesaid, any such action taken by
the holder of any Debenture shall be conclusive and binding upon such holder and upon all future holders and owners of such Debenture and of any
Debentures issued in exchange or substitution therefor, irrespective of whether any notation in regard thereto is made upon such Debenture or any
Debenture issued in exchange or substitution therefor.


ARTICLE 10
 MEETINGS OF
DEBENTUREHOLDERS



Section 10.01.    Purpose of
Meetings.    A meeting of Debentureholders may be called at any time and from time to time pursuant to the provisions of this
Article 10 for any of the following purposes:



(i)  to give any notice to the Company
or to the Trustee or to give any directions to the Trustee permitted under this Indenture, or to consent to the waiving of any default or Event of
Default hereunder and its consequences, or to take any other action authorized to be taken by Debentureholders pursuant to any of the provisions of
Article 7;



(ii)  to remove the Trustee and
nominate a successor trustee pursuant to the provisions of Article 8;



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(iii)  to consent to the execution of an
indenture or indentures supplemental hereto pursuant to the provisions of Section 11.02; or



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



Section 10.02.    Call of
Meetings by Trustee.    The Trustee may at any time call a meeting of Debentureholders to take any action specified in Section
10.01, to be held at such time and at such place as the Trustee shall determine. Notice of every meeting of the Debentureholders, setting forth the
time and the place of such meeting and in general terms the action proposed to be taken at such meeting and the establishment of any record date
pursuant to Section 9.01, shall be mailed to holders of Debentures at their addresses as they shall appear on the Debenture Register. Such notice shall
also be mailed to the Company. Such notices shall be mailed not less than twenty (20) nor more than ninety (90) days prior to the date fixed for the
meeting.



Any meeting of Debentureholders shall be valid
without notice if the holders of all Debentures then Outstanding are present in person or by proxy or if notice is waived before or after the meeting
by the holders of all Debentures Outstanding, and if the Company and the Trustee are either present by duly authorized representatives or have, before
or after the meeting, waived notice.



Section 10.03.    Call of
Meetings by Company or Debentureholders.    In case at any time the Company, pursuant to a resolution of its Board of
Directors, or the holders of at least ten percent (10%) in aggregate principal amount of the Debentures then Outstanding, shall have requested the
Trustee to call a meeting of Debentureholders, by written request setting forth in reasonable detail the action proposed to be taken at the meeting,
and the Trustee shall not have mailed the notice of such meeting within twenty (20) days after receipt of such request, then the Company or such
Debentureholders may determine the time and the place for such meeting and may call such meeting to take any action authorized in Section 10.01, by
mailing notice thereof as provided in Section 10.02.



Section
10.04.    Qualifications for Voting.    To be entitled to vote at any meeting of Debentureholders a
person shall (a) be a holder of one or more Debentures on the record date pertaining to such meeting or (b) be a person appointed by an instrument in
writing as proxy by a holder of one or more Debentures on the record date pertaining to such meeting. The only persons who shall be entitled to be
present or to speak at any meeting of Debentureholders shall be the persons entitled to vote at such meeting and their counsel and any representatives
of the Trustee and its counsel and any representatives of the Company and its counsel.



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



The Trustee shall, by an instrument in writing,
appoint a temporary chairman of the meeting, unless the meeting shall have been called by the Company or by Debentureholders as provided in Section
10.03, in which case the Company or the Debentureholders calling the meeting, as the case may be, shall in like manner appoint a temporary chairman. A
permanent chairman and a permanent secretary of the meeting shall be elected by vote of the holders of a majority in principal amount of the Debentures
represented at the meeting and entitled to vote at the meeting.



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Subject to the provisions of Section 9.04, at any
meeting each Debentureholder or proxyholder shall be entitled to one vote for each Debenture Principal Amount of Debentures held or represented by him;
provided, however, that no vote shall be cast or counted at any meeting in respect of any Debenture challenged as not Outstanding and
ruled by the chairman of the meeting to be not Outstanding. The chairman of the meeting shall have no right to vote other than by virtue of Debentures
held by him or instruments in writing as aforesaid duly designating him as the proxy to vote on behalf of other Debentureholders. Any meeting of
Debentureholders duly called pursuant to the provisions of Section 10.02 or 10.03 may be adjourned from time to time by the holders of a majority of
the aggregate principal amount of Debentures represented at the meeting, whether or not constituting a quorum, and the meeting may be held as so
adjourned without further notice.



Section
10.06.    Voting.    The vote upon any resolution submitted to any meeting of Debentureholders shall be
by written ballot on which shall be subscribed the signatures of the holders of Debentures or of their representatives by proxy and the outstanding
principal amount of the Debentures held or represented by them. The permanent chairman of the meeting shall appoint two inspectors of votes who shall
count all votes cast at the meeting for or against any resolution and who shall make and file with the secretary of the meeting their verified written
reports in duplicate of all votes cast at the meeting. A record in duplicate of the proceedings of each meeting of Debentureholders shall be prepared
by the secretary of the meeting and there shall be attached to said record the original reports of the inspectors of votes on any vote by ballot taken
thereat and affidavits by one or more persons having knowledge of the facts setting forth a copy of the notice of the meeting and showing that said
notice was mailed as provided in Section 10.02. The record shall show the principal amount of the Debentures voting in favor of or against any
resolution. The record shall be signed and verified by the affidavits of the permanent chairman and secretary of the meeting and one of the duplicates
shall be delivered to the Company and the other to the Trustee to be preserved by the Trustee, the latter to have attached thereto the ballots voted at
the meeting.



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



Section 10.07.    No Delay of
Rights by Meeting.    Nothing contained in this Article 10 shall be deemed or construed to authorize or permit, by reason of
any call of a meeting of Debentureholders or any rights expressly or impliedly conferred hereunder to make such call, any hindrance or delay in the
exercise of any right or rights conferred upon or reserved to the Trustee or to the Debentureholders under any of the provisions of this Indenture or
of the Debentures.


ARTICLE 11
 SUPPLEMENTAL
INDENTURES



Section
11.01.    Supplemental Indentures Without Consent Of Debentureholders.    The Company, when authorized
by the resolutions of the Board of Directors, and the Trustee may, from time to time, and at any time enter into an indenture or indentures
supplemental hereto for one or more of the following purposes:



(a)    make provision with
respect to the conversion rights of the holders of Debentures pursuant to the requirements of Section 15.05(a)(v) and the redemption obligations of the
Company pursuant to the requirements of Article 12;



(b)    subject to Article 4, to
convey, transfer, assign, mortgage or pledge to the Trustee as security for the Debentures, any property or assets;



(c)    to evidence the
succession of another Person to the Company, or successive successions, and the assumption by the successor Person of the covenants, agreements and
obligations of the Company pursuant to Article 12;



44












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



(e)    to provide for the
issuance under this Indenture of Debentures in coupon form (including Debentures registrable as to principal only) and to provide for exchangeability
of such Debentures with the Debentures issued hereunder in fully registered form and to make all appropriate changes for such purpose;



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



(g)    to evidence and provide
for the acceptance of appointment hereunder by a successor Trustee with respect to the Debentures;



(h)    to modify, eliminate or
add to the provisions of this Indenture to such extent as shall be necessary to effect the qualifications of this Indenture under the Trust Indenture
Act, or under any similar federal statute hereafter enacted; or



(i)    to provide for
uncertificated Debentures in addition to or in place of Certificated Debentures.



Upon the written request of the Company, accompanied
by a copy of the resolutions of the Board of Directors certified by its Secretary or Assistant Secretary authorizing the execution of any supplemental
indenture, the Trustee is hereby authorized to join with the Company in the execution of any such supplemental indenture, to make any further
appropriate agreements and stipulations that may be therein contained and to accept the conveyance, transfer and assignment of any property thereunder,
but the Trustee shall not be obligated to, but may in its discretion, enter into any supplemental indenture that affects the Trustee’s own rights,
duties or immunities under this Indenture or otherwise.



Any supplemental indenture authorized by the
provisions of this Section 11.01 may be executed by the Company and the Trustee without the consent of the holders of any of the Debentures at the time
Outstanding, notwithstanding any of the provisions of Section 11.02.



Notwithstanding any other provision of the Indenture
or the Debentures, the Registration Rights Agreement and the obligation to pay Additional Interest thereunder may be amended, modified or waived in
accordance with the provisions of the Registration Rights Agreement.



Section
11.02.    Supplemental Indenture with Consent of Debentureholders.    With the consent (evidenced as
provided in Article 9) of the holders of not less than a majority in aggregate principal amount of the Debentures at the time Outstanding, the Company,
when authorized by the resolutions of the Board of Directors, and the Trustee may, from time to time and at any time, enter into an indenture or
indentures supplemental hereto for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this
Indenture or any supplemental indenture or of modifying in any manner the rights of the holders of the Debentures; provided, however, that no
such supplemental indenture shall (i) extend the fixed maturity of any Debenture, or reduce the rate or extend the time of



45











payment of interest thereon, or reduce the principal amount thereof or premium, if
any, thereon, or reduce any amount payable on redemption thereof, or impair the right of any Debentureholder to institute suit for the payment thereof,
or make the principal thereof or interest or premium, if any, thereon payable in any coin or currency other than that provided in the Debentures, or
change any obligation of the Company to redeem any Debenture upon the happening of a Change of Control or otherwise in a manner adverse to the holder
of Debentures, or impair the right to convert the Debentures pursuant to the terms set forth herein, without the consent of the holder of each
Debenture so affected, or (ii) reduce the aforesaid percentage of Debentures, the holders of which are required to consent to any such supplemental
indenture, without the consent of the holders of all Debentures then Outstanding.



In addition, any amendment to, or waiver of, the
provisions of this Indenture relating to subordination of the Indenture that adversely affects the rights of the Debentureholders will require the
consent of the holders of at least 75% in aggregate principal amount of the Debentures then outstanding.



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



It shall not be necessary for the consent of the
Debentureholders under this Section 11.02 to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such
consent shall approve the substance thereof.



Section 11.03.    Effect of
Supplemental Indenture.    Any supplemental indenture executed pursuant to the provisions of this Article 11 shall comply with
the Trust Indenture Act, as then in effect, provided that this Section 11.03 shall not require such supplemental indenture or the Trustee to be
qualified under the Trust Indenture Act prior to the time such qualification is in fact required under the terms of the Trust Indenture Act or the
Indenture has been qualified under the Trust Indenture Act, nor shall it constitute any admission or acknowledgment by any party to such supplemental
indenture that any such qualification is required prior to the time such qualification is in fact required under the terms of the Trust Indenture Act
or the Indenture has been qualified under the Trust Indenture Act. Upon the execution of any supplemental indenture pursuant to the provisions of this
Article 11, this Indenture shall be and be deemed to be modified and amended in accordance therewith and the respective rights, limitation of rights,
obligations, duties and immunities under this Indenture of the Trustee, the Company and the holders of Debentures shall thereafter be determined,
exercised and enforced hereunder, subject in all respects to such modifications and amendments and all the terms and conditions of any such
supplemental indenture shall be and be deemed to be part of the terms and conditions of this Indenture for any and all purposes.



Section 11.04.    Notation on
Debentures.    Debentures authenticated and delivered after the execution of any supplemental indenture pursuant to the
provisions of this Article 11 may bear a notation in form approved by the Trustee as to any matter provided for in such supplemental indenture. If the
Company or the Trustee shall so determine, new Debentures so modified as to conform, in the opinion of the Trustee and the Board of Directors, to any
modification of this Indenture contained in any such supplemental indenture may, at the Company’s expense, be prepared and executed by the
Company, authenticated by the Trustee and delivered in exchange for the Debentures then Outstanding, upon surrender of such Debentures then
Outstanding.



Section 11.05.    Evidence of
Compliance of Supplemental Indenture to Be Furnished to Trustee.    Prior to entering into any supplemental indenture, the
Trustee may request an



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Officers’ Certificate and an Opinion of Counsel as conclusive evidence that
any supplemental indenture executed pursuant hereto complies with the requirements of this Article 11.


ARTICLE 12
 SUCCESSOR
CORPORATION



Section
12.01.    Consolidation, Merger, Sale Or Conveyance.    Nothing contained in this Indenture or in any of
the Debentures shall prevent any consolidation of the Company with, or merger of the Company into, any other corporation or corporations (whether or
not affiliated with the Company), or successive consolidations or mergers to which the Company or its successor or successors shall be a party or
parties, or shall prevent any sale or conveyance of the property of the Company (including stock of subsidiaries) as an entirety or substantially as an
entirety to any other corporation (whether or not affiliated with the Company) authorized to acquire and own or operate the same; provided, however,
and the Company hereby covenants and agrees, that upon any such consolidation, merger, sale or conveyance, (i) the due and punctual payment of the
principal of and premium, if any, and interest on all of the Debentures, according to their tenor, and the due and punctual performance and observance
of all of the covenants and conditions of this Indenture to be performed or observed by the Company, shall be expressly assumed, by supplemental
indenture, satisfactory in form to the Trustee, executed and delivered to the Trustee by the corporation formed by such consolidation, or into which
the Company shall have been merged, or which shall have acquired such property and (ii) immediately after such consolidation, merger, sale or
conveyance, the corporation formed by such consolidation, or into which the Company shall have been merged, will not be in default in the performance
of the covenants and conditions of this Indenture.



Section 12.02.    Assumption
And Substitution.    In case of any such consolidation, merger, sale or conveyance, and following such an assumption by the
successor corporation, such successor corporation shall succeed to and be substituted for the Company, with the same effect as if it had been named
herein.



Such successor corporation may cause to be signed,
and may issue either in its own name or in the name of Lucent Technologies Inc., any or all of the Debentures issuable pursuant to the provisions of
Section 2.01 which theretofore shall not have been signed by the Company and delivered to the Trustee; and, upon the order of such successor
corporation instead of the Company and subject to all the terms, conditions and limitations in this Indenture prescribed, the Trustee shall
authenticate and shall deliver any Debentures which previously shall have been signed and delivered by the officers of the Company to the Trustee for
authentication pursuant to such provisions and any Debentures which such successor corporation thereafter shall cause to be signed and delivered to the
Trustee on its behalf for that purpose pursuant to such provisions. All the Debentures so issued shall in all respects have the same legal rank and
benefit under this Indenture as the Debentures theretofore or thereafter issued in accordance with the terms of this Indenture as though all of such
Debentures had been issued at the date of the execution hereof.



In case of any such consolidation, merger, sale or
conveyance, such changes in phraseology and form may be made in the Debentures thereafter to be issued as may be appropriate.



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



Section 12.03.    Opinion Of
Counsel.    The Trustee, subject to the provisions of Section 8.01, may receive an Opinion of Counsel as conclusive evidence
that any consolidation, merger, sale or conveyance and any such assumption complies with the provisions of this Article 12.



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ARTICLE 13
 SATISFACTION AND
DISCHARGE OF INDENTURE



Section 13.01.    Discharge
of Indenture.    When (a) the Company shall deliver to the Trustee for cancellation all Debentures theretofore authenticated
(other than any Debentures that have been mutilated and in exchange and substitution for which other Debentures shall have been authenticated and made
available for delivery destroyed, lost or stolen and in lieu of and in substitution for which other Debentures shall have been authenticated and made
available for delivery) and not theretofore canceled, or (b) all the Debentures not theretofore canceled or delivered to the Trustee for cancellation
shall have become due and payable, or are by their terms to become due and payable within one year or are to be called for redemption within one year
under arrangements satisfactory to the Trustee for the giving of a Redemption Notice and the Company shall deposit with the Trustee, in trust, funds
sufficient to pay at maturity or upon redemption of all of the Debentures (other than any Debentures that have been mutilated and in exchange and
substitution for which other Debentures shall have been authenticated and made available for delivery destroyed, lost or stolen and in lieu of and in
substitution for which other Debentures shall have been authenticated and made available for delivery) not theretofore canceled or delivered to the
Trustee for cancellation, including principal and premium, if any, and interest due or to become due to such date of maturity or Redemption Date, as
the case may be, but excluding, however, the amount of any moneys for the payment of principal of and premium, if any, or interest on the Debentures
(1) theretofore deposited with the Trustee and repaid by the Trustee to the Company in accordance with the provisions of Section 13.04, or (2) paid to
any State or to the District of Columbia pursuant to its unclaimed property or similar laws, and if the Company shall also pay or cause to be paid all
other sums payable hereunder by the Company, then this Indenture shall cease to be of further effect (except as to (i) rights of registration of
transfer, substitution and exchange and conversion of Debentures, (ii) rights hereunder of Debentureholders to receive payments of principal of and
premium, if any, and interest on, the Debentures and the other rights, duties and obligations of Debentureholders, as beneficiaries hereof with respect
to the amounts, if any, so deposited with the Trustee and (iii) the rights, obligations and immunities of the Trustee hereunder), and the Trustee, on
written demand of the Company accompanied by an Officers’ Certificate and an Opinion of Counsel as required by Section 17.05 and at the cost and
expense of the Company, shall execute proper instruments acknowledging satisfaction of and discharging this Indenture; the Company, however, hereby
agrees to reimburse the Trustee for any costs or expenses thereafter reasonably and properly incurred by the Trustee and to compensate the Trustee for
any services thereafter reasonably and properly rendered by the Trustee in connection with this Indenture or the Debentures.



Section 13.02.    Deposited
Monies to Be Held in Trust by Trustee.    Subject to Section 13.04, all monies deposited with the Trustee pursuant to Section
13.01, provided that such deposit was not in violation of Article 4, shall be held in trust for the sole benefit of the Debentureholders and not
to be subject to the subordination provisions of Article 4, and such monies shall be applied by the Trustee to the payment, either directly or through
any paying agent (other than the Company), to the holders of the particular Debentures for the payment or redemption of which such monies have been
deposited with the Trustee, of all sums due and to become due thereon for principal and interest and premium, if any.



Section 13.03.    Paying
Agent to Repay Monies Held.    Upon the satisfaction and discharge of this Indenture, all monies then held by any paying agent
of the Debentures (other than the Trustee) shall, upon written request of the Company, be repaid to it or paid to the Trustee, and thereupon such
paying agent shall be released from all further liability with respect to such monies.



Section 13.04.    Return of
Unclaimed Monies.    Subject to the requirements of applicable law, any monies deposited with or paid to the Trustee for
payment of the principal of,



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premium, if any, or interest on Debentures and not applied but remaining unclaimed
by the holders of Debentures for two years after the date upon which the principal of, premium, if any, or interest on such Debentures, as the case may
be, shall have become due and payable, shall be repaid to the Company by the Trustee on demand and all liability of the Trustee shall thereupon cease
with respect to such monies; and the holder of any of the Debentures shall thereafter look only to the Company for any payment that such holder may be
entitled to collect unless an applicable abandoned property law designates another Person.



Section
13.05.    Reinstatement.    If the Trustee or the paying agent is unable to apply any money in
accordance with Section 13.02 by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting
such application, the Company’s obligations under this Indenture and the Debentures shall be revived and reinstated as though no deposit had
occurred pursuant to Section 13.01 until such time as the Trustee or the paying agent is permitted to apply all such money in accordance with Section
13.02; provided, however, that if the Company makes any payment of interest on or principal of any Debenture following the reinstatement
of its obligations, the Company shall be subrogated to the rights of the holders of such Debentures to receive such payment from the money held by the
Trustee or paying agent.


ARTICLE 14
 IMMUNITY OF
INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS



Section 14.01.    Indenture
and Debentures Solely Corporate Obligations.     To the extent permitted by law, no recourse for the payment of the principal
of or premium, if any, or interest on any Debenture, or for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any
obligation, covenant or agreement of the Company in this Indenture or in any supplemental indenture or in any Debenture, or because of the creation of
any indebtedness represented thereby, shall be had against any incorporator, stockholder, employee, agent, officer, director or subsidiary, as such,
past, present or future, of the Company or of any successor corporation, either directly or through the Company or any successor corporation, whether
by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly understood
that all such liability is hereby expressly waived and released as a condition of, and as a consideration for, the execution of this Indenture and the
issue of the Debentures. Each Debentureholder by accepting a Debenture waives and release all such liability.


ARTICLE 15
 CONVERSION OF
DEBENTURES



Section 15.01.    Right to
Convert.    Subject to and upon compliance with the provisions of this Indenture, including, without limitation, Article 4, the
holder of any Debenture shall have the right, at its option, at any time after the earlier of (i) May 6, 2002, and (ii) the day immediately following
the date of the share distribution in connection with the Company’s spin-off of Agere Systems, Inc., through the close of business on the final
maturity date of the Debentures (except that, with respect to any Debenture or portion of a Debenture that shall be called for redemption, such right
shall terminate, except as provided in Section 15.02 or Section 3.02, at the close of business on the Business Day next preceding the applicable
Redemption Date for such Debenture or portion of a Debenture unless the Company shall default in payment due upon redemption thereof) to convert the
principal amount of any such Debenture, or any portion of such principal amount which is equal to the Debenture Principal Amount or an integral
multiple thereof, into that number of fully paid and non-assessable shares of Common Stock (as such shares shall then be constituted) obtained by
dividing the principal amount of the Debenture or portion thereof surrendered for conversion by the Conversion Price in effect at such time, by
surrender of the Debenture so to be converted in whole or in part in the manner provided, together with any required funds, as provided
in



49











Section 15.02. A Debenture in respect of which a holder is exercising its option to
require redemption upon a Change of Control pursuant to Section 16.01 may be converted only if such holder withdraws its election to exercise in
accordance with Section 3.03(c). A holder of Debentures is not entitled to any rights of a holder of Common Stock until such holder has converted his
Debentures to Common Stock, and only to the extent such Debentures are deemed to have been converted to Common Stock under this Article 15.



Section 15.02.    Exercise of
Conversion Privilege; Issuance of Common Stock on Conversion; No Adjustment for Interest or Dividends.    In order to exercise
the conversion privilege with respect to any Certificated Debenture, the holder of any such Debenture to be converted in whole or in part shall
surrender such Debenture, duly endorsed, at an office or agency maintained by the Company pursuant to Section 5.02, accompanied by the funds, if any,
required by the penultimate paragraph of this Section 15.02, and shall give written notice of conversion in the form entitled “Conversion
Notice” provided on the Debentures (or such other notice which is acceptable to the Company) to the office or agency that the holder elects to
convert such Debenture or the portion thereof specified in said notice. Such notice shall also state the name or names (with address or addresses) in
which the certificate or certificates for shares of Common Stock which shall be issuable on such conversion shall be issued, and shall be accompanied
by transfer taxes, if required pursuant to Section 15.06. Each such Debenture surrendered for conversion shall, unless the shares issuable on
conversion are to be issued in the same name as the registration of such Debenture, be duly endorsed by, or be accompanied by instruments of transfer
in form satisfactory to the Company duly executed by, the holder or his duly authorized attorney.



In order to exercise the conversion privilege with
respect to any beneficial interest in a Global Debenture, the beneficial holder must complete, or cause to be completed, the appropriate instruction
form for conversion pursuant to the Depositary’s book-entry conversion program, deliver, or cause to be delivered, by book-entry delivery the
beneficial interest in such Global Debenture, furnish appropriate endorsements and transfer documents if required by the Company or the Trustee or
conversion agent, and pay the funds, if any, required by this Section 15.02 and any transfer taxes if required pursuant to Section
15.06.



As promptly as practicable after satisfaction of the
requirements for conversion set forth above, subject to compliance with any restrictions on transfer if shares issuable on conversion are to be issued
in a name other than that of the Debentureholder (as if such transfer were a transfer of the Debenture or Debentures (or portion thereof) so
converted), the Company shall issue and shall deliver to such Debentureholder at the office or agency maintained by the Company for such purpose
pursuant to Section 5.02, a certificate or certificates for the number of full shares of Common Stock issuable upon the conversion of such Debenture or
portion thereof as determined by the Company in accordance with the provisions of this Article 15 and scrip in respect of any fractional interest in
respect of a share of Common Stock arising upon such conversion, calculated by the Company as provided in Section 15.03. In case any Debenture of a
denomination greater than the Debenture Principal Amount shall be surrendered for partial conversion, and subject to Section 2.03, the Company shall
execute and the Trustee shall authenticate and deliver to the holder of the Debenture so surrendered, without charge to him, a new Debenture or
Debentures in authorized denominations in an aggregate principal amount equal to the unconverted portion of the surrendered Debenture.



Each conversion shall be deemed to have been
effected as to any such Debenture (or portion thereof) on the date on which the requirements set forth above in this Section 15.02 have been satisfied
as to such Debenture (or portion thereof), and the Person in whose name any certificate or certificates for shares of Common Stock shall be issuable
upon such conversion shall be deemed to have become on said date the holder of record of the shares represented thereby; provided, however, that
any such surrender on any date when the stock transfer books of the Company shall be closed shall consider the Person in whose name the certificates
are to



50











be issued as the record holder thereof for all purposes on the next succeeding day
on which such stock transfer books are open, but such conversion shall be at the Conversion Price in effect on the date upon which conversion shall be
deemed to have been effected.



No adjustment in respect of interest on any
Debenture converted or dividends on any shares issued upon conversion of such Debenture will be made upon any conversion except as set forth in the
next sentence. If a Debenture (or portion hereof) is surrendered for conversion during the period from the close of business on any record date for the
payment of interest to the close of business on the Business Day preceding the following interest payment date, such Debenture (or portion hereof being
converted) must be accompanied by an amount, in immediately available same day funds or other funds acceptable to the Company, equal to the interest
payable on such interest payment date on the principal amount being converted; provided, however, that no such payment shall be required if
there shall exist at the time of conversion an announced default in the payment of interest on the Debentures.



Upon the conversion of an interest in a Global
Debenture, the Trustee (or other conversion agent appointed by the Company), or the Custodian at the direction of the Trustee (or other conversion
agent appointed by the Company), shall make a notation on such Global Debenture as to the reduction in the principal amount represented thereby. The
Company shall notify the Trustee in writing of any conversions of Debentures effected through any conversion agent other than the
Trustee.



Section 15.03.    Scrip in
Lieu of Fractional Shares.    No fractional shares of Common Stock shall be issued upon conversion of Debentures. In lieu
thereof, the Company shall deliver scrip that will entitle the holder to receive a full share of Common Stock upon surrender of such scrip aggregating
a full share. If more than one Debenture shall be surrendered for conversion at one time by the same holder, the number of full shares that shall be
issuable upon conversion shall be computed on the basis of the aggregate principal amount of the Debentures (or specified portions thereof to the
extent permitted hereby) so surrendered.



Section 15.04.    Conversion
Price.    The conversion price shall be as specified in the form of Debenture (herein called the “Conversion
Price”) attached as Exhibit A hereto, subject to adjustment as provided in this Article 15.



Section 15.05.    Adjustment
of Conversion Price.



(a)    The Conversion Price
shall be adjusted from time to time by the Company as follows:



(i)  Stock Splits and
Combinations.    In case the Company, at any time or from time to time (A) subdivides or splits the outstanding shares of
Common Stock, (B) combines or reclassifies the outstanding shares of Common Stock into a smaller number of shares or (C) issues by reclassification of
the shares of Common Stock any shares of Capital Stock of the Company, then, and in each such case, the Conversion Price in effect immediately prior to
that event or the record date therefor, whichever is earlier, will be adjusted so that the holder of any Debentures thereafter surrendered for
conversion shall be entitled to receive the number of shares of Common Stock or other securities of the Company which the holder would have owned or
have been entitled to receive after the occurrence of any of the events described above, had those Debentures been surrendered for conversion
immediately prior to the occurrence of that event or the record date therefor, whichever is earlier.



(ii)  Stock Dividends in Common
Stock.    In case the Company, at any time or from time to time pays a dividend or makes a distribution in shares of Common
Stock on any class of Capital Stock of the Company other than dividends or distributions of shares of Common Stock or other securities with respect to
which adjustments are provided in Section 15.05(a)(i) above, and the total number of shares constituting such dividend or distribution exceeds 25% of
the total number of shares of Common Stock outstanding at



51











the close of business on the record date fixed for determination of stockholders
entitled to receive the dividend or distribution, the Conversion Price will be adjusted by multiplying (A) the Conversion Price immediately prior to
the record date fixed for determination of stockholders entitled to receive the dividend or distribution, by (B) a fraction, the numerator of which
will be the number of shares of Common Stock outstanding at the close of business on that record date and the denominator of which will be the sum of
that number of shares and the total number of shares issued in that dividend or distribution.



In case the total number of
shares constituting that dividend or distribution does not exceed 25% of the total number of shares of Common Stock outstanding at the close of
business on the record date fixed for that dividend or distribution, the shares of Common Stock will be considered to be issued as a dividend or
distribution at the time of any such next succeeding dividend or other distribution in which the number of shares of Common Stock issued, together with
the number of shares issued in all previous such dividends and distributions for which no adjustment to the conversion price has been made, exceeds 25%
of the total number of shares of Common Stock outstanding at the close of business on the record date for such dividend or
distribution.



(iii)  Issuance of Rights or
Warrants.    In case the Company issues to all holders of Common Stock rights or warrants expiring within 45 days entitling
those holders to subscribe for or purchase Common Stock at a price per share less than the Current Market Price, the Conversion Price in effect
immediately prior to the close of business on the record date fixed for determination of stockholders entitled to receive those rights or warrants will
be decreased by multiplying (A) the Conversion Price by (B) a fraction, the numerator of which is the sum of the number of shares of Common Stock
outstanding at the close of business on that record date and the number of shares of Common Stock that the aggregate offering price of the total number
of shares of Common Stock so offered for subscription or purchase would purchase at the Current Market Price and the denominator of which is the sum of
the number of shares of Common Stock outstanding at the close of business on that record date and the number of additional shares of Common Stock so
offered for subscription or purchase. For purposes of this subparagraph (iii), the issuance of rights or warrants to subscribe for or purchase
securities convertible into Common Stock will be deemed to be the issuance of rights or warrants to purchase the Common Stock into which those
securities are convertible at an aggregate offering price equal to the sum of the aggregate offering price of those securities and the minimum
aggregate amount (if any) payable upon conversion of such securities into Common Stock. Such adjustment will be made successively whenever any such
event shall occurs.



(iv)  Distribution of Indebtedness,
Securities or Assets.    In case the Company distributes to all holders of Common Stock (whether by dividend or in a merger,
amalgamation or consolidation or otherwise) evidences of indebtedness, shares of Capital Stock of any class or series, other securities, cash or assets
(other than Common Stock, rights or warrants referred to in subparagraph (iii) above or a dividend payable exclusively in cash, shares of Capital Stock
or similar equity interests in the case of a Spin-Off, referred to in the succeeding paragraph, and other than as a result of a Fundamental Change
referred to in paragraph (v) below), the Conversion Price in effect immediately prior to the close of business on the record date fixed for
determination of stockholders entitled to receive that distribution will be decreased by multiplying (A) the Conversion Price by (B) a fraction, the
numerator of which is the Current Market Price of the Common Stock and the denominator of which is the Current Market Price of the Common Stock plus
the Fair Market Value of the portion of those evidences of indebtedness, shares of Capital Stock, other securities, cash and assets so distributed
applicable to one share of Common Stock. Such adjustment shall be made successively whenever any such event shall occur.



In case of a Spin-Off, the
Conversion Price in effect immediately before the close of business on the record date fixed for determination of stockholders entitled to receive
the



52











relevant dividend or other distribution will be decreased by multiplying (x) the
Conversion Price by (y) a fraction, the numerator of which is the Current Market Price of the Common Stock and the denominator of which is the Current
Market Price of the Common Stock plus the Fair Market Value of the portion of those shares of Capital Stock, other securities, cash and assets so
distributed applicable to one share of Common Stock.







The adjustment to the Conversion
Price under the preceding paragraph will occur at the earlier of (1) the tenth Trading Day from, and including, the effective date of the Spin-Off and
(2) the date of the Initial Public Offering of the securities being distributed in the Spin-Off, if that Initial Public Offering is effected
simultaneously with the Spin-Off.



(v)  Fundamental
Changes.    In case any transaction or event (including, without limitation, any merger, consolidation, combination,
recapitalization, sale of assets, tender or exchange offer, reclassification, compulsory share exchange or liquidation) occurs in which all or
substantially all outstanding shares of Common Stock are converted into or exchanged or acquired for or constitute the right to receive stock, other
securities, cash, property or assets (each, a “Fundamental Change”), the holder of each Debenture Outstanding immediately prior to the
occurrence of a Fundamental Change which remains Outstanding after that Fundamental Change has the right upon any subsequent conversion to receive (but
only out of funds legally available, to the extent required by applicable law) the kind and amount of stock, other securities, cash, property or assets
that the holder would have received if that Debenture had been converted immediately prior to the Fundamental Change.



In case of a Fundamental Change,
the Company or the successor or purchasing Person, as the case may be, shall execute with the Trustee a supplemental indenture (which shall comply with
the Trust Indenture Act as in force at the date of execution of such supplemental indenture) providing that such Debenture shall be convertible into
the kind and amount of shares of stock, other securities, cash or other property or assets receivable upon such Fundamental Change by a holder of a
number of shares of Common Stock issuable upon conversion of such Debentures (assuming, for such purposes, a sufficient number of authorized shares of
Common Stock are available to convert all such Debentures) immediately prior to such Fundamental Change assuming such holder of Common Stock did not
exercise his rights of election, if any, as to the kind or amount of stock, other securities, cash or other property or assets receivable upon such
Fundamental Change (provided that, if the kind or amount of stock, other securities, cash or other property or assets receivable upon such
Fundamental Change is not the same for each share of Common Stock in respect of which such rights of election shall not have been exercised
(“non-electing share”), then for the purposes of this Section 15.05 the kind and amount of stock, other securities, cash or other
property or assets receivable upon such Fundamental Change for each non-electing share shall be deemed to be the kind and amount so receivable per
share by a plurality of the non-electing shares). Such supplemental indenture shall provide for adjustments which shall be as nearly equivalent as may
be practicable to the adjustments provided for in this Article 15.



The Company shall cause notice of
the execution of such supplemental indenture to be mailed to each holder of Debentures, at its address appearing on the Debenture Register provided for
in Section 2.05 of this Indenture, within twenty (20) days after execution thereof. Failure to deliver such notice shall not affect the legality or
validity of such supplemental indenture.



The above provisions of this
Section shall similarly apply to successive Fundamental Changes.



(vi)  Special Adjustment for Some
Changes of Control.    In the event of a Fundamental Change that constitutes a Change of Control in a transaction or series of
related transactions in which (A) the stockholders of the Company receive consideration per share of Common Stock that is greater than the Conversion
Price, without giving effect to the



53











adjustment described below, at the effective time of the Change of Control, and (B)
at least 10%, but less than 75%, of the total consideration paid to the stockholders of the Company consists of cash, cash equivalents, securities or
other assets (other than publicly traded securities) (collectively, “Non-Public Consideration”), then the Conversion Price will be
adjusted so that, upon conversion of Debentures Outstanding after the Change of Control, in addition to the Common Stock or other securities
deliverable upon the conversion of the Debentures as described in Section 15.01 and 15.02 and subparagraphs (i) through (v) above, the holder will
receive, in respect of each Debenture, a number of publicly traded securities of the acquiror determined through the following calculation:


PV Cash Flows x (Non-Public
Consideration/Total Consideration)
Acquiror Stock Price







	where:

	PV Cash
Flows
=
	    	    	    	
the present value of the aggregate interest payments that would have been payable on a Debenture from the date of conversion through
August 15, 2006, calculated using a discount rate equal to 2.00% plus the yield to maturity of U.S. Treasury securities having a maturity closest to,
but not later than, August 15, 2006;


	Total
Consideration
=
	    	    	    	
the total value of the consideration payable to the Company’s stockholders at the effective time of such Change of Control, with the
value of any assets or securities other than cash or publicly traded securities being determined in good faith by the Board of Directors based on an
opinion as to such value obtained from an accounting, appraisal or investment banking firm of international standing; and


	Acquiror Stock
Price
=
	    	    	    	
the Sale Price of a share of the acquiror’s publicly traded common stock or other publicly traded securities delivered in connection
with the Change of Control transaction at the effective time of such Change of Control;




 




provided, however, that if the consideration
received by the Company’s stockholders in respect of such Change of Control is greater than the Conversion Price at the effective time of the
Change of Control and consists of at least 75% Non-Public Consideration or if the acquiror’s common stock is not publicly traded, then upon
conversion of Debentures Outstanding after such Change of Control, in lieu of the foregoing Conversion Price adjustment set forth in this subparagraph
(vi), each holder shall be entitled to receive, in respect of each Debenture, an additional amount in cash calculated as follows:



PV Cash Flows x (Non-Public
Consideration/Total Consideration).



(vii)  Self-Tender.    In case the Company or any of its Subsidiaries engages in a tender or exchange offer for all or any
portion of the Common Stock that shall expire, and such tender or exchange offer (as amended upon the expiration thereof) shall require the payment to
stockholders of consideration per share of Common Stock having a Fair Market Value that as of the last time (the “Expiration Time”)
tenders or exchanges may be made pursuant to such tender or exchange offer (as it may be amended) exceeds the Sale Price per share of Common Stock as
of the Trading Day next succeeding the Expiration Time, the Conversion Price shall be decreased so that it shall equal the rate determined by (A)
multiplying the Conversion Price in effect immediately prior to the Expiration Time by (B) a fraction, the numerator of which shall be the number of
shares of Common Stock outstanding (including any tendered or exchanged shares) at the Expiration Time multiplied by the Sale Price per share of Common
Stock as of the Trading Day next succeeding the Expiration Time and the denominator of which shall be the



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sum of (x) the Fair Market Value of the aggregate consideration payable to
stockholders based on the acceptance (up to any maximum specified in the terms of the tender or exchange offer) of all shares of Common Stock validly
tendered or exchanged and not withdrawn as of the Expiration Time (the shares of Common Stock deemed so accepted, up to any such maximum, being
referred to as the “Purchased Shares”) and (y) the product of the number of shares of Common Stock outstanding (less any Purchased Shares) at
the Expiration Time and the Sale Price per share of Common Stock as of the Trading Day next succeeding the Expiration Time, such decrease to become
effective as of the opening of business on the Trading Day next succeeding the Expiration Time. In the event that the Company is obligated to purchase
shares of Common Stock pursuant to any such tender or exchange offer, but the Company is permanently prevented by applicable law from effecting any
such purchases or all such purchases are rescinded, the Conversion Price shall again be adjusted to be the Conversion Price that would then be in
effect if such tender or exchange offer had not been made.



(viii)  Extraordinary distribution in
cash. In case the Company pays a dividend or makes a distribution in cash on the Common Stock and the amount of cash constituting the dividend or
distribution exceeds 15% of the Current Market Price of the Common Stock at the close of business on the day that the Common Stock trades
ex-distribution, the Conversion Price in effect immediately before the close of business on the day that the Common Stock trades ex-distribution will
be adjusted by multiplying (A) the Conversion Price by (B) a fraction, the numerator of which will be the Current Market Price of the Common Stock and
the denominator of which will be the Current Market Price of the Common Stock plus the amount per share of such dividend or
distribution.



(b)    Anything in paragraph (a)
to the contrary notwithstanding, the Company shall not be required to give effect to any adjustment in the Conversion Price unless and until the net
effect of one or more adjustments (each of which shall be carried forward until counted toward adjustment), determined as above provided, shall have
resulted in a change of the Conversion Price by at least l%, and when the cumulative net effect of more than one adjustment so determined shall be to
change the Conversion Price by at least 1%, such change in the Conversion Price shall thereupon be given effect. In the event that, at any time as a
result of the provisions of this Article 15, the holders of Debentures upon subsequent conversion shall become entitled to receive any shares of
Capital Stock of the Company other than Common Stock, the number of such other shares so receivable upon conversion of Debentures shall thereafter be
subject to adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions contained
herein.



(c)    There shall be no
adjustment of the Conversion Price in case of the issuance of any Capital Stock of the Company in a merger, reorganization, acquisition,
reclassification, recapitalization or other similar transaction except as provided in this Section.



(d)    In any case in which
Article 15 requires that an adjustment as a result of any event is to become effective from and after a record date, the Company may elect to defer
until after the occurrence of that event (i) issuing to the holder of any Debentures converted after that record date and before the occurrence of that
event the additional shares of Common Stock issuable upon that conversion over and above the shares issuable on the basis of the Conversion Price in
effect immediately prior to adjustment and (ii) paying to such holder any amount by delivering scrip in lieu of a fractional share of Common
Stock.



(e)    If the Company takes a
record of the holders of its Common Stock for the purpose of entitling them to receive a dividend or other distribution, and shall thereafter and
before the distribution to stockholders thereof, the Company legally abandons its plan to pay or deliver the dividend or distribution, then thereafter
no adjustment in the number of shares of Common Stock issuable upon conversion of Debentures or in the Conversion Price then in effect shall be
required by reason of the taking of the record.



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(f)    The Board of Directors
shall have the power to resolve any ambiguity or, subject to applicable law, correct any error in this Article 15 and its action in so doing shall be
final and conclusive.



(g)    The Company may make such
reductions in the Conversion Price, in addition to those required by Section 15.05(a) as the Board of Directors considers to be advisable to avoid or
diminish any income tax to holders of Common Stock or rights to purchase Common Stock resulting from any dividend or distribution of stock (or rights
to acquire stock) or from any event treated as such for income tax purposes.



To the extent permitted by applicable law, the
Company from time to time may reduce the Conversion Price by any amount for any period of time if the period is at least twenty (20) days, the
reduction is irrevocable during the period and the Board of Directors shall have made a determination that such reduction would be in the best
interests of the Company, which determination shall be conclusive. Whenever the Conversion Price is reduced pursuant to the preceding sentence, the
Company shall provide Notice to holders of Debentures of the reduction at least fifteen (15) days prior to the date the reduced Conversion Price takes
effect, and the Notice shall state the reduced Conversion Price and the period during which it will be in effect.



(h)    Whenever the Conversion
Price is adjusted as herein provided, the Company shall promptly file with the Trustee and any conversion agent other than the Trustee an
Officers’ Certificate setting forth the Conversion Price after such adjustment and setting forth a brief statement of the facts requiring such
adjustment. Unless and until a Responsible Officer of the Trustee shall have received such Officers’ Certificate, the Trustee shall not be deemed
to have knowledge of any adjustment of the Conversion Price and may assume that the last Conversion Price of which it has knowledge is still in effect.
Promptly after delivery of such certificate, the Company shall provide Notice of such adjustment of the Conversion Price setting forth the adjusted
Conversion Price and the date on which each adjustment becomes effective to the holders of Debentures. Failure to deliver the Notice shall not affect
the legality or validity of any such adjustment.



(i)    For purposes of this
Section 15.05, the number of shares of Common Stock at any time outstanding shall not include shares held in the treasury of the Company. The Company
will not pay any dividend or make any distribution on shares of Common Stock held in the treasury of the Company.



Section 15.06.    Taxes on
Shares Issued.    The issue of stock certificates on conversions of Debentures shall be made without charge to the converting
Debentureholder for any tax in respect of the issue thereof. The Company shall not, however, be required to pay any tax which may be payable in respect
of any transfer involved in the issue and delivery of stock in any name other than that of the holder of any Debenture converted, and the Company shall
not be required to issue or deliver any such stock certificate unless and until the Person or Persons requesting the issue thereof shall have paid to
the Company the amount of such tax or shall have established to the satisfaction of the Company that such tax has been paid.



Section 15.07.    Reservation
of Shares; Shares to Be Fully Paid; Compliance with Governmental Requirements; Listing of Common Stock.    The Company shall at
all times reserve and keep available, free from preemptive rights, out of its authorized but unissued shares or shares held in treasury, sufficient
shares of Common Stock to permit the conversion of all the Outstanding Debentures as such Debentures are presented for conversion from time to
time.



Before taking any action which would cause an
adjustment reducing the Conversion Price below the then par value, if any, of the shares of Common Stock issuable upon conversion of the Debentures,
the Company will take all corporate action which may, in the opinion of its counsel, be necessary in order that the Company may validly and legally
issue shares of such Common Stock at such adjusted Conversion Price.



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Subject to Section 15.06, the Company covenants that
all shares of Common Stock which may be issued upon conversion of Debentures will upon delivery be fully paid and nonassessable, free from all taxes,
liens and charges and not subject to any preemptive rights.



The Company further covenants that, if at any time
the Common Stock shall be listed on The Nasdaq National Market or any other national securities exchange or automated quotation system, the Company
will, if permitted by the rules of such exchange or automated quotation system, list and keep listed, so long as the Common Stock shall be so listed on
such exchange or automated quotation system, all Common Stock issuable upon conversion of the Debentures; provided, however, that, if the rules
of such exchange or automated quotation system permit the Company to defer the listing of such Common Stock until the first conversion of the
Debentures into Common Stock in accordance with the provisions of this Indenture, the Company covenants to list such Common Stock issuable upon
conversion of the Debentures in accordance with the requirements of such exchange or automated quotation system at such time.



Section
15.08.    Responsibility of Trustee.    The Trustee and any other conversion agent shall not at any time
be under any duty or responsibility to any holder of Debentures to determine the Conversion Price or whether any facts exist which may require any
adjustment of the Conversion Price, or with respect to the nature or extent or calculation of any such adjustment when made, or with respect to the
method employed, or herein or in any supplemental indenture provided to be employed, in making the same. The Trustee and any other conversion agent
shall not be accountable with respect to the validity or value (or the kind or amount) of any shares of Common Stock, or of any securities or property,
which may at any time be issued or delivered upon the conversion of any Debenture; and the Trustee and any other conversion agent make no
representations with respect thereto. Neither the Trustee nor any conversion agent shall be responsible for any failure of the Company to issue,
transfer or deliver any shares of Common Stock or stock certificates or other securities or property or cash upon the surrender of any Debenture for
the purpose of conversion or to comply with any of the duties, responsibilities or covenants of the Company contained in this Article 15. Without
limiting the generality of the foregoing, neither the Trustee nor any conversion agent shall be under any responsibility to determine the correctness
of any provisions contained in any supplemental indenture entered into pursuant to Section 15.05 relating either to the kind or amount of shares of
stock or securities or property (including cash) receivable by Debentureholders upon the conversion of their Debentures after any event referred to in
such Section 15.05 or to any adjustment to be made with respect thereto, but, subject to the provisions of Section 8.01, may accept as conclusive
evidence of the correctness of any such provisions, and shall be protected in relying upon, the Officers’ Certificate (which the Company shall be
obligated to file with the Trustee prior to the execution of any such supplemental indenture) with respect thereto.



Section 15.09.    Notice to
Holders Prior to Certain Actions.    In case:



(a)    the Company shall declare
a dividend (or any other distribution) on its Common Stock that would require an adjustment in the Conversion Price pursuant to Section 15.05;
or



(b)    the Company shall
authorize the granting to the holders of all or substantially all of its Common Stock of rights or warrants to subscribe for or purchase any share of
any class or any other rights or warrants; or



(c)    of any reclassification
or reorganization of the Common Stock of the Company (other than a subdivision or combination of its outstanding Common Stock, or a change in par
value, or from par value to no par value, or from no par value to par value), or of any consolidation or merger to which the Company is a party and for
which approval of any stockholders of the Company is required, or of the sale or transfer of all or substantially all of the assets of the Company and
its consolidated Subsidiaries, taken as a whole; or



57












(d)    of the voluntary or
involuntary dissolution, liquidation or winding up of the Company;


the Company shall cause to be filed with the Trustee and provide to each holder of
Debentures at least ten (10) days prior to the applicable date hereinafter specified, Notice stating (x) the date on which a record is to be taken for
the purpose of such dividend, distribution or rights or warrants, or, if a record is not to be taken, the date as of which the holders of Common Stock
of record to be entitled to such dividend, distribution or rights are to be determined, or (y), if known, the date on which such reclassification,
consolidation, merger, sale, transfer, dissolution, liquidation or winding up is expected to become effective or occur, and, if known, the date as of
which it is expected that holders of Common Stock of record shall be entitled to exchange their Common Stock for securities or other property
deliverable upon such reclassification, consolidation, merger, sale, transfer, dissolution, liquidation or winding up. Failure to give such notice, or
any defect therein, shall not affect the legality or validity of such dividend, distribution, reclassification, consolidation, merger, sale, transfer,
dissolution, liquidation or winding up.


ARTICLE 16
 CHANGE OF
CONTROL



Section 16.01.    Change Of
Control Put Right.



(a)    If a Change of Control
occurs, each holder of Debentures that remain Outstanding after the Change of Control will have the right to require the Company to redeem all or any
part of such holder’s Outstanding Debentures, out of legally available funds, at the Redemption Price. The Company may, at its option, elect to
pay the Redemption Price in cash or, in shares of the Company’s Common Stock valued at a discount of 5% from the Market Price of the Common Stock,
or any combination thereof; provided that the Company may pay such Redemption Price in shares of its Common Stock only if such shares are eligible for
immediate sale in the public market by non-affiliates of the Company absent a registration statement. The Company’s right to redeem Debentures, in
whole or in part, with shares of Common Stock is subject to the conditions set forth in Section 3.04.



(b)    Holders of the Debentures
will not have the right set forth in paragraph (a) above if:



(i)  the Sale Price per share of the
Common Stock for any five Trading Days within the period of 10 consecutive Trading Days ending immediately after the later of the Change of Control or
the public announcement thereof (in the case of a Change of Control under paragraph (a) of the definition of “Change of Control” in Section
1.01) or the period of 10 consecutive Trading Days ending immediately before the Change of Control (in the case of a Change of Control under paragraph
(b), (c) or (d) of the definition of “Change of Control” in Section 1.01) shall equal or exceed 105% of the Conversion Price of the
Debentures immediately after the later of the Change of Control and the public announcement thereof; or



(ii)  at least 95% of the consideration
in the Change of Control transaction consists of Capital Stock traded on a U.S. national securities exchange or quoted on the Nasdaq, and as a result
of the transaction, the Debentures become convertible solely into this Capital Stock.



(c)    Within 30 days following
any Change of Control, the Company shall mail a notice to each holder with a copy to the Trustee stating:



(i)  that a Change of Control has
occurred and a description of the offer;



(ii)  the purchase date (which shall be
no earlier than 30 days nor later than 60 days from the date such notice is mailed); and



(iii)  the instructions determined by
the Company, consistent with this Section, that a holder must follow in order to have its Debentures redeemed.



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(d)    The Company shall comply
with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations to the extent those laws and regulations are
applicable in connection with the redemption of Debentures as a result of a Change of Control with respect to the Company. To the extent that the
provisions of any securities laws or regulations conflict with any of the provisions of this Section, the Company will comply with the applicable
securities laws and regulations and will be deemed not to have breached its obligations under this Section.



(e)    For a Debenture to be
redeemed as provided in this Section, the Company must receive at the office or agency of the Company maintained for that purpose a “Notice of
Election of Redemption Upon A Change of Control” on the reverse thereof duly completed, together with such Debentures duly endorsed for
transfer three Business Days prior to the purchase date. All questions as to the validity, eligibility (including time of receipt) and acceptance of
any Debenture for redemption shall be determined by the Company, whose determination shall be final and binding absent manifest error.



On the purchase date set forth in the notice mailed
to holders pursuant to subsection (c) above, the Company will, to the extent lawful, (i) redeem all Debentures properly tendered, (ii) deposit with the
Trustee an amount equal to the Redemption Price of the Debentures so tendered and (iii) deliver or cause to be delivered to the Trustee Debentures so
accepted together with an Officers’ Certificate stating the aggregate principal amount of the Debentures being redeemed by the Company. The
Trustee will promptly mail or deliver to each holder of Debentures so tendered the applicable payment for those Debentures, and, for Debentures
redeemed in part only, the Company shall execute and the Trustee shall authenticate and make delivery to the Holder thereof, at the expense of the
Company, a new Debenture or Debentures, of authorized denominations, in principal amount equal to the unredeemed portion of the Debentures so
presented. The Company shall publicly announce the results of its offer on or as soon as practicable after the Redemption Date for the redemption of
Debentures in connection with a Change of Control.



(f)    The Company will not be
required to make an offer to redeem any Debentures upon the occurrence of a Change of Control if a third party makes an offer to purchase the
Debentures in the manner, at the times and otherwise in compliance with the requirements described in this Section and purchases all Debentures validly
tendered and not withdrawn.



(g)    The right of the holders
of Debentures described in this Section will be subject to the Company’s obligation to repay or repurchase all of its debt obligations required to
be repurchased or repaid in connection with a transaction or event that constitutes a Change of Control and to any contractual restrictions then
contained in the Company’s indebtedness.



When the Company shall have satisfied these
obligations or these obligations are not applicable to the Company, and, subject to the legal availability of funds for this purpose, the Company shall
then redeem all Debentures tendered for purchase by the Company upon a Change of Control pursuant to this Section.


ARTICLE 17
 MISCELLANEOUS
PROVISIONS



Section 17.01.    Provisions
Binding on Company’s Successors.    All the covenants, stipulations, promises and agreements by the Company contained in
this Indenture shall bind its successors and assigns whether so expressed or not.



Section 17.02.    Official
Acts by Successor Corporation.    Any act or proceeding under any provision of this Indenture authorized or required to be done
or performed by any board, committee or officer of the Company shall and may be done and performed with like force and effect by the like board,
committee or officer of any Person that shall at the time be the lawful sole successor of the Company.



59












Section 17.03.    Addresses
for Notices, etc.    Any notice or demand which by any provision of this Indenture is required or permitted to be given or
served by the Trustee or by the holders of Debentures on the Company shall be deemed to have been sufficiently given or made, for all purposes, if it
is in writing given or served by being deposited postage prepaid by registered or certified mail in a post office letter box or sent by facsimile
transmission (confirmed by hard copy) addressed (until another address is filed by the Company with the Trustee) to Lucent Technologies Inc., 600
Mountain Avenue, Murray Hill, New Jersey, 07974, Attention: Assistant Treasury, Capital Markets, Facsimile No. (908) 582-0294, with a copy to Lucent
Technologies Inc., 600 Mountain Avenue, Murray Hill, New Jersey 07974, Attention: Senior Vice President, General Counsel and Secretary, Facsimile No.
(908) 582-6130. Any notice, direction, request or demand hereunder to or upon the Trustee shall be given or served by being deposited, postage prepaid,
by registered or certified mail in a post office letter box or sent by facsimile transmission (confirmed by hard copy) addressed to the Corporate
Trust, which office is, at the date as of which this Indenture is dated, located at The Bank of New York, 101 Barclay Street, Floor 8W, New York, New
York 10286, Attention: Corporate Trust Administration, Facsimile No. (212) 815-5704.



The Company or Trustee, by notice to the other, may
designate additional or different addresses for subsequent notices or communications.



Any notice or communication mailed to a
Debentureholder shall be mailed to him by first class mail, postage prepaid, at his address as it appears on the Debenture Register and shall be
sufficiently given to him if so mailed within the time prescribed.



Failure to mail or deliver a notice, Notice or
communication to a Debentureholder or any defect in it shall not affect its sufficiency with respect to other Debentureholders. If a notice or
communication is mailed in the manner provided above, it is duly given, whether or not the addressee receives it; provided, however, that any
notice or communication to the Trustee shall be deemed given only upon receipt.



In case, by reason of the suspension of regular mail
service, or by reason of any other cause, it shall be impossible to mail any notice as required by this Indenture, then such method of notification as
shall be made with the approval of the Trustee shall constitute a sufficient mailing of such notice.



Section 17.04.    Governing
Law.    This Indenture and each Debenture shall be deemed to be a contract made under the laws of the State of New York, and
for all purposes shall be construed in accordance with the laws of the State of New York, without regard to the conflict of laws provisions
thereof.



Section 17.05.    Evidence of
Compliance with Conditions Precedent; Certificates To Trustee.     Upon any application or demand by the Company to the Trustee
to take any action under any of the provisions of this Indenture, the Company shall furnish to the Trustee an Officers’ Certificate stating that,
in the opinion of the signers, all conditions precedent, if any, provided for in this Indenture relating to the proposed action have been complied
with, and an Opinion of Counsel stating that, in the opinion of such counsel, all such conditions precedent have been complied with.



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



60












Section 17.06.    Legal
Holidays.    In any case in which the date of maturity of interest on or principal of the Debentures or the date fixed for
redemption of any Debenture will not be a Business Day, then payment of such interest on or principal of the Debentures need not be made on such date,
but may be made on the next succeeding Business Day with the same force and effect as if made on the date of maturity or the date fixed for redemption,
and no interest on such payment shall accrue for the period from and after such date.



Section 17.07.    Trust
Indenture Act.    This Indenture is hereby made subject to, and shall be governed by, the provisions of the Trust Indenture Act
required to be part of and to govern indentures qualified under the Trust Indenture Act; provided, however, that this Section 17.07 shall
not require this Indenture or the Trustee to be qualified under the Trust Indenture Act prior to the time such qualification is in fact required under
the terms of the Trust Indenture Act, nor shall it constitute any admission or acknowledgment by any party to the Indenture that any such qualification
is required prior to the time such qualification is in fact required under the terms of the Trust Indenture Act. If any provision hereof limits,
qualifies or conflicts with another provision hereof which is required to be included in an indenture qualified under the Trust Indenture Act, such
required provision shall control.



Section 17.08.    No Security
Interest Created.    Nothing in this Indenture or the Debentures, expressed or implied, shall be construed to constitute a
security interest under the Uniform Commercial Code or similar legislation, as now or hereafter enacted and in effect, in any jurisdiction in which
property of the Company and its Subsidiaries is located, other than the security interest granted to the Trustee in Section 8.07.



Section 17.09.    Benefits of
Indenture.    Nothing in this Indenture or in the Debentures, express or implied, shall give to any Person, other than the
parties hereto, any paying agent, any authenticating agent, any Debenture Registrar and their successors hereunder, the holders of Debentures and the
holders of Senior Indebtedness, any benefit or any legal or equitable right, remedy or claim under this Indenture.



Section 17.10.    Table of
Contents, Headings, etc.    The table of contents and the titles and headings of the articles and Sections of this Indenture
have been inserted for convenience of reference only, are not to be considered a part hereof, and shall in no way modify or restrict any of the terms
or provisions hereof.



Section
17.11.    Authenticating Agent.    The Trustee may appoint an authenticating agent that shall be
authorized to act on its behalf, and subject to its direction, in the authentication and delivery of Debentures in connection with the original
issuance thereof and transfers, exchanges and substitutions of Debentures hereunder, including under Section 2.04, 2.05, 2.06, 2.07, 3.01(c), 3.03,
Section 11.04 and Section 15.02 as fully to all intents and purposes as though the authenticating agent had been expressly authorized by this Indenture
and those Sections to authenticate and deliver Debentures. For all purposes of this Indenture, the authentication and delivery of Debentures by the
authenticating agent shall be deemed to be authentication and delivery of such Debentures “by the Trustee” and a certificate of
authentication executed on behalf of the Trustee by an authenticating agent shall be deemed to satisfy any requirement hereunder or in the Debentures
for the Trustee’s certificate of authentication. Such authenticating agent shall at all times be a Person eligible to serve as trustee hereunder
pursuant to Section 8.09.



Any corporation into which any authenticating agent
may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, consolidation or conversion to which any
authenticating agent shall be a party, or any corporation succeeding to the corporate trust business of any authenticating agent, shall be the
successor of the authenticating agent hereunder, if such successor corporation is otherwise eligible under this Section 17.11, without the execution or
filing of any paper or any further act on the part of the parties hereto or the authenticating agent or such successor corporation.



61












Any authenticating agent may at any time resign by
giving written notice of resignation to the Trustee and to the Company. The Trustee may at any time terminate the agency of any authenticating agent by
giving written notice of termination to such authenticating agent and to the Company. Upon receiving such a notice of resignation or upon such a
termination, or in case at any time any authenticating agent shall cease to be eligible under this Section, the Trustee shall either promptly appoint a
successor authenticating agent or itself assume the duties and obligations of the former authenticating agent under this Indenture and, upon such
appointment of a successor authenticating agent, if made, shall give written notice of such appointment of a successor authenticating agent to the
Company and shall mail notice of such appointment of a successor authenticating agent to all holders of Debentures as the names and addresses of such
holders appear on the Debenture Register.



The Company agrees to pay to the authenticating
agent from time to time such reasonable compensation for its services as shall be agreed upon in writing between the Company and the authenticating
agent.



The provisions of Section 8.02, 8.04, 8.05, 9.03 and
this Section 17.11 shall be applicable to any authenticating agent.



Section 17.12.    Execution
in Counterparts.    This Indenture may be executed in any number of counterparts, each of which shall be an original, but such
counterparts shall together constitute but one and the same instrument.



Section
17.13.    Severability.    In case any provision in this Indenture or in the Debentures shall be
invalid, illegal or unenforceable, then (to the extent permitted by law) the validity, legality and enforceability of the remaining provisions shall
not in any way be affected or impaired thereby.



Section 17.14.    No Adverse
Interpretation Of Other Agreements.    This Indenture may not be used to interpret another indenture, loan or debt agreement of
the Company or an Affiliate. No such indenture, loan or debt agreement may be used to interpret this Indenture.



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




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IN WITNESS WHEREOF, the parties hereto have caused
this Indenture to be duly executed.



	 
	    	    	    	    	    	    
	 
	    	    	    	LUCENT TECHNOLOGIES INC.

	 
	    	    	    	    	    	    
	 
	    	    	    	By:
Name:
Title:

	 
	    	    	    	    	    	    
	 
	    	    	    	THE
BANK OF NEW YORK, as Trustee

	 
	    	    	    	    	    	    
	 
	    	    	    	By:
Name:
Title:



 





63














EXHIBIT A




 
For Global Debenture only: UNLESS THIS
CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (THE “DEPOSITARY”,
WHICH TERM INCLUDES ANY SUCCESSOR DEPOSITARY FOR THE CERTIFICATES) TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND
ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITARY
(AND ANY PAYMENT HEREIN IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITARY), ANY
TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO.,
HAS AN INTEREST HEREIN.



THE DEBENTURE EVIDENCED HEREBY AND THE COMMON STOCK
ISSUABLE UPON CONVERSION OF THIS DEBENTURE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). THE
HOLDER HEREOF, BY PURCHASING THIS SECURITY, AGREES FOR THE BENEFIT OF THE COMPANY THAT THIS SECURITY MAY NOT BE RESOLD, PLEDGED OR OTHERWISE
TRANSFERRED (A) PRIOR TO THE SECOND ANNIVERSARY OF THE ISSUANCE HEREOF (OR ANY PREDECESSOR SECURITY HERETO) OR (B) BY ANY HOLDER THAT WAS AN AFFILIATE
OF THE COMPANY AT ANY TIME DURING THE THREE MONTHS PRECEDING THE DATE OF SUCH TRANSFER, IN EITHER CASE, OTHER THAN (1) TO THE COMPANY, (2) SO LONG AS
THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE 144A”), TO A PERSON WHOM THE SELLER REASONABLY
BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A
(AS INDICATED BY THE BOX CHECKED BY THE TRANSFEROR ON THE CERTIFICATE OF TRANSFER ON THE REVERSE OF THIS SECURITY), (3) PURSUANT TO AN EXEMPTION FROM
REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 (IF APPLICABLE) UNDER THE SECURITIES ACT (4) IN AN OFFSHORE TRANSACTION COMPLYING WITH
REGULATION S UNDER THE SECURITIES ACT, OR (5) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE, IN ACCORDANCE
WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING THIS SECURITY, REPRESENTS AND AGREES FOR THE
BENEFIT OF THE COMPANY THAT (I) IT IS EITHER (X) A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A OR (Y) A NON-U.S. PERSON AND (II) THE
HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS DEBENTURE FROM IT OF THE RESALE RESTRICTIONS REFERRED TO ABOVE.
HEDGING TRANSACTIONS INVOLVING THESE SECURITIES MAY NOT BE CONDUCTED UNLESS CONDUCTED IN COMPLIANCE WITH THE SECURITIES ACT.




A-1











LUCENT TECHNOLOGIES INC.


8.00% CONVERTIBLE SUBORDINATED DEBENTURES DUE 2031



	 
	    	    	    	CUSIP:


	 
	    	    	    	ISIN:


	No.
	    	    	    	$




 




Lucent Technologies Inc., a corporation duly
organized and validly existing under the laws of the State of Delaware (herein called the “Company”, which term includes any successor
corporation under the Indenture referred to on the reverse hereof), for value received hereby promises to pay to __________ or its registered
assigns, the principal sum of __________ dollars ($__________) on August 1, 2031, at the office or agency of the Company maintained for that purpose in
accordance with the terms of the Indenture, in such coin or currency of the United States of America as at the time of payment shall be legal tender
for the payment of public and private debts, and to pay interest, semi-annually on February 1 and August 1 of each year, commencing February 1, 2002,
on said principal sum at said office or agency, in like coin or currency, at the rate per annum of 8.00%, from the February 1 or August 1, as the case
may be, next preceding the date of this Debenture to which interest has been paid or duly provided for, unless the date hereof is a date to which
interest has been paid or duly provided for, in which case from the date of this Debenture, or unless no interest has been paid or duly provided for on
the Debentures, in which case from [__________, __________], until payment of said principal sum has been made or duly provided for; provided, however, that if the Company shall default
in the payment of interest due on such February 1 or August 1, then this Debenture shall bear interest from the next preceding February 1 or August 1
to which interest has been paid or duly provided for or, if no interest has been paid or duly provided for on such Debenture, from _____,_____.



Except as otherwise provided in the Indenture, the
interest and Additional Interest payable on this Debenture pursuant to the Indenture on any February 1 or August 1 will be paid to the Person entitled
thereto as it appears in the Debenture Register at the close of business on the record date, which shall be the January 1 or July 1 (whether or not a
Business Day) next preceding such February 1 or August 1, as provided in the Indenture; provided, however, that any such interest not punctually
paid or duly provided for shall be payable as provided in the Indenture.



Reference is made to the further provisions of this
Debenture set forth on the reverse hereof, including, without limitation, provisions subordinating the payment of principal of and premium, if any, and
interest on the Debentures to the prior payment in full of all Senior Indebtedness, and provisions giving the holder of this Debenture the right to
convert this Debenture into Common Stock of the Company on the terms and subject to the limitations referred to on the reverse hereof and as more fully
specified in the Indenture. Such further provisions shall for all purposes have the same effect as though fully set forth at this
place.



This Debenture shall be deemed to be a contract made
under the laws of the State of New York, and for all purposes shall be construed in accordance with and governed by the laws of the State of New York,
without regard to principles of conflicts of laws.



This Debenture shall not be valid or become
obligatory for any purpose until the certificate of authentication hereon shall have been manually signed by the Trustee or a duly authorized
authenticating agent under the Indenture.




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IN WITNESS WHEREOF, the Company has caused this
Debenture to be duly executed.



	 
	    	    	    	    	    	    
	 
	    	    	    	LUCENT TECHNOLOGIES INC.

	 
	    	    	    	    	    	    
	 
	    	    	    	By: 
Name:
Title:


	 
	    	    	    	    	    	    
	 
	    	    	    	    	    	    
	Attest: 
Name:
Title:
Dated:
	    	    	    	    	    	    


 





A-3











TRUSTEE’S CERTIFICATE OF AUTHENTICATION



 
This is one of the Debentures described in
the within-named Indenture.



[[THE BANK OF NEW YORK], as
Trustee]



[[AUTHENTICATING AGENT], as Authenticating
Agent]



	By: 
Name:
Title:
 Dated
	    	    	    	    	    	    


 





A-4











REVERSE OF DEBENTURE
  
LUCENT TECHNOLOGIES INC.

 
8.00% CONVERTIBLE SUBORDINATED DEBENTURES DUE 2031



 
This Debenture is one of a duly authorized
issue of Debentures of the Company, designated as its 8.00% Convertible Subordinated Debentures due 2031 (herein called the
“Debentures”), limited to the aggregate principal amount of $__________ all
issued or to be issued under and pursuant to an Indenture dated as of __________ __________,__________ (herein called the
“Indenture”), between the Company and [The Bank of New York], as trustee (herein called the “Trustee”), to which
Indenture and all indentures supplemental thereto reference is hereby made for a description of the rights, limitations of rights, obligations, duties
and immunities thereunder of the Trustee, the Company and the holders of the Debentures.



In case an Event of Default shall have occurred and
be continuing, the principal of, premium, if any, and accrued interest on all Debentures may be declared by either the Trustee or the holders of not
less than 25% in aggregate principal amount of the Debentures then Outstanding, and upon said declaration shall become, due and payable, in the manner,
with the effect and subject to the conditions provided in the Indenture.



The Indenture contains provisions permitting the
Company and the Trustee, with the consent of the holders of not less than a majority in aggregate principal amount of the Debentures at the time
Outstanding, to execute supplemental indentures adding any provisions to or changing in any manner or eliminating any of the provisions of the
Indenture or of any supplemental indenture or modifying in any manner the rights of the holders of the Debentures; provided, however, that no
such supplemental indenture shall (i) extend the fixed maturity of any Debenture, or reduce the rate or extend the time of payment of interest thereon,
or reduce the principal amount thereof or premium, if any, thereon, or reduce any amount payable upon redemption thereof, or impair the right of any
Debentureholder to institute suit for the payment thereof, or make the principal thereof or interest or premium, if any, thereon payable in any coin or
currency other than that provided in the Debentures, or change any obligation of the Company to redeem any Debenture upon the happening of a Change of
Control or otherwise in a manner adverse to the holder of the Debentures, or impair the right to convert the Debentures pursuant to the terms set forth
in the Indenture without the consent of the holder of each Debenture so affected or (ii) reduce the aforesaid percentage of Debentures, the holders of
which are required to consent to any such supplemental indenture, without the consent of the holders of all Debentures then Outstanding. In addition,
any amendment to, or waiver of, the provisions of the Indenture relating to subordination of the Indenture that adversely affects the rights of the
holders of the Debentures will require the consent of the holders of at least 75% in aggregate principal amount of the Debentures then Outstanding.
Subject to the provisions of the Indenture, the holders of a majority in aggregate principal amount of the Debentures at the time Outstanding may on
behalf of the holders of all of the Debentures waive any past default under the Indenture and its consequences except a default in the payment of
interest or any premium on, or the principal of, any of the Debentures, or a failure by the Company to convert any Debentures pursuant to Article 15 of
the Indenture, or a default in the payment of the Redemption Price on any Redemption Date, or a default in respect of a covenant or provisions of the
Indenture which under Article 11 of the Indenture cannot be modified without the consent of the holders of each or all Debentures then Outstanding or
affected thereby. Any such consent or waiver by the holder of this Debenture (unless revoked as provided in the Indenture) shall be conclusive and
binding upon such holder and upon all future holders and owners of this Debenture and any Debentures which may be issued in exchange or substitution
hereof, irrespective of whether or not any notation thereof is made upon this Debenture or such other Debentures.



The indebtedness evidenced by the Debentures is, to
the extent and in the manner provided in the Indenture, expressly subordinated and subject in right of payment, to the



A-5











extent and in the manner provided in Article 4 of the Indenture, to the prior
payment in full of all Senior Indebtedness of the Company, whether outstanding at the date of the Indenture or thereafter incurred, and this Debenture
is issued subject to the provisions of the Indenture with respect to such subordination. Each holder of this Debenture, by accepting the same, agrees
to and shall be bound by such provisions and authorizes the Trustee on its behalf to take such action as may be necessary or appropriate to effectuate
the subordination so provided and appoints the Trustee his attorney-in-fact for such purpose.



No reference herein to the Indenture and no
provision of this Debenture or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the
principal of and any premium and interest on this Debenture at the place, at the respective times, at the rate and in the coin or currency herein
prescribed.



Interest on the Debentures shall be computed on the
basis of a 360-day year of twelve 30-day months.



The Debentures are issuable in fully registered
form, without coupons, in denominations equal to the Debenture Principal Amount and any integral multiple thereof. At the office or agency of the
Company referred to on the face hereof, and in the manner and subject to the limitations provided in the Indenture, without payment of any service
charge but with payment of a sum sufficient to cover any tax, assessment or other governmental charge that may be imposed in connection with any
registration of transfer or exchange of Debentures, Debentures may be exchanged for a like aggregate principal amount of Debentures of any other
authorized denominations.



The Debentures may be redeemed by the Company for
cash, in whole or in part, at any time on or after August 15, 2006, upon notice as set forth in Section 3.01(b) of the Indenture, at the Redemption
Price, if the Company shall have funds legally available for such redemption.



The Company may not give notice of and the Trustee
shall not redeem any Debentures or provide any Redemption Notice, if a default in the payment of interest or premium, if any, on the Debentures has
occurred and is continuing.



On the Redemption Dates of August 2, 2004, August 2,
2007, August 2, 2010 and August 2, 2016, the Company shall, at the option of the holder, be required, subject to having funds legally available
therefor, to redeem at the Redemption Price any Outstanding Debentures for which a written Redemption Notice has been properly delivered by the holder
to the Trustee and not withdrawn. Holders may submit their Debentures for redemption to the Trustee at any time from the opening of business on the
date that is 45 Business Days prior to such Redemption Date until the close of business on the Business Day that is three (3) Business Days prior to
such Redemption Date. The Company may, at its option, elect to pay the Redemption Price in cash or in shares of Common Stock valued at a discount of 5%
from the Market Price of the Common Stock, or any combination thereof. The Company may pay such Redemption Price in shares of its Common Stock only if
such shares are eligible for immediate sale in the public market by non-affiliates of the Company absent a registration statement.



If a Change of Control occurs, each holder of
Debentures that remain Outstanding after the Change of Control shall have the right to require the Company to redeem all or any part of such
holder’s Outstanding Debentures, out of legally available funds, at the Redemption Price. This right of holders will be subject to the
Company’s obligation to repay or repurchase any indebtedness required in connection with a Change of Control and to any contractual restrictions
then contained in the Company’s indebtedness. The Company may, at its option, elect to pay the Redemption Price in cash or, in shares of the
Company’s Common Stock valued at a discount of 5% from the Market Price of the Common Stock, or any combination thereof; provided that the Company
may pay such Redemption Price in shares of its Common Stock only if such shares are eligible for immediate resale in the public market by
non-affiliates of the Company absent a registration statement. The Company’s right to redeem Debentures, in whole



A-6











or in part, with shares of Common Stock is subject to the conditions and procedures
set forth in the Indenture.



Subject to and upon compliance with the provisions
of the Indenture, the holder hereof has the right, at its option, at any time after the earlier of (i) May 6, 2002, and (ii) the day immediately
following the date of the share distribution in connection with the Company’s spin-off of Agere Systems, Inc., through the close of business on
the final maturity date of the Debentures, to convert the principal hereof or any portion of such principal which is equal to the Debenture Principal
Amount or an integral multiple thereof into that number of fully paid and non-assessable shares of Common Stock (as such shares shall then be
constituted) obtained by dividing the principal amount of this Debenture or portion thereof to be converted by the Conversion Price of $__________, as may adjusted from time to time as provided in the Indenture, upon surrender of this Debenture and
the completion of other procedures set forth in the Indenture including submission of a conversion notice in the form entitled “Conversion
Notice” on the reverse hereof and, if this Debenture (or portion hereof) is surrendered for conversion during the period from the close of
business on any record date for the payment of interest to the close of business on the Business Day preceding the following interest payment date,
this Debenture (or portion hereof being converted) must be accompanied by an amount, in immediately available same day funds or other funds acceptable
to the Company, equal to the interest payable on such interest payment date on the principal amount being converted; provided, however,
that no such payment shall be required if there shall exist at the time of conversion an announced default in the payment of interest on the
Debentures. No fractional shares of Common Stock will be issued upon any conversion. In lieu thereof, the Company shall deliver scrip that will entitle
the holder to receive a full share of Common Stock upon surrender of such scrip aggregating a full share. A Debenture in respect of which a holder is
exercising its right to require redemption upon a Change of Control may be converted only if such holder withdraws its election to exercise such right
in accordance with the terms of the Indenture. Any Debentures called for redemption, unless surrendered for conversion by the holders thereof on or
before the close of business on the Business Day preceding the date fixed for redemption, may be deemed to be purchased from the holders of such
Debentures for an amount equal to the applicable Redemption Price by one or more investment banks or other purchasers who may agree with the Company
(i) to purchase such Debentures from the holders thereof and convert them into shares of the Company’s Common Stock and (ii) to make payment for
such Debentures as aforesaid to the Trustee in trust for the holders.



Upon due presentment for registration of transfer of
this Debenture at the office or agency of the Company maintained for that purpose in accordance with the terms of the Indenture, a new Debenture or
Debentures of authorized denominations for an equal aggregate principal amount will be issued to the transferee in exchange thereof; subject to the
limitations provided in the Indenture, without charge except for any tax, assessment or other governmental charge imposed in connection
therewith.



The Company, the Trustee, any paying agent, any
conversion agent and any Debenture Registrar may deem and treat the registered holder hereof as the absolute owner of this Debenture (whether or not
this Debenture shall be overdue and notwithstanding any notation of ownership or other writing hereon made by anyone other than the Company or any
Debenture Registrar) for the purpose of receiving payment hereof, or on account hereof, for the conversion hereof and for all other purposes, and
neither the Company nor the Trustee nor any paying agent nor any conversion agent nor any Debenture Registrar shall be affected by any notice to the
contrary. All payments made to or upon the order of such registered holder shall be valid, and, to the extent of the sum or sums paid, satisfy and
discharge liability for monies payable on this Debenture.



To the extent permitted by law, no recourse for the
payment of the principal of, or premium, if any, or interest on this Debenture, or for any claim based hereon or otherwise in



A-7











respect hereof, and no recourse under or upon any obligation, covenant or agreement
of the Company in the Indenture or any supplemental indenture or in any Debenture, or because of the creation of any indebtedness represented thereby,
shall be had against any incorporator, stockholder, employee, agent, officer, director or subsidiary, as such, past, present or future, of the Company
or of any successor corporation, either directly or through the Company or any successor corporation, whether by virtue of any constitution, statute or
rule of law, or by the enforcement of any assessment or penalty or otherwise, all such liability being, by acceptance hereof and as part of the
consideration for the issue hereof, expressly waived and released.



Terms used in this Debenture and defined in the
Indenture are used herein as therein defined.




A-8











ABBREVIATIONS



The following abbreviations, when used in the
inscription of the face of this Debenture, shall be construed as though they were written out in full according to applicable laws or
regulations.



TEN COM = tenants in
common



UNIF GIFT MIN ACT = Uniform Gift
to Minors Act



TEN ENJ = tenants by the
entireties



CUST = custodian



JT TEN =
joint tenants with right of survivorship and not as tenants in common







Additional abbreviations may also be used though not
in the above list.




A-9











CONVERSION NOTICE



 
TO: [LUCENT TECHNOLOGIES INC.] [conversion
agent]



 
The undersigned registered owner of this
Debenture hereby irrevocably exercises the option to convert this Debenture, or the portion thereof (which is equal to the Debenture Principal Amount
or an integral multiple thereof) below designated, into shares of Common Stock of Lucent Technologies Inc. in accordance with the terms of the
Indenture referred to in this Debenture, and directs that the shares issuable and deliverable upon such conversion, together with any scrip
representing fractional shares and any Debentures representing any unconverted principal amount hereof, be issued and delivered to the registered
holder hereof unless a different name has been indicated below. If shares or any portion of this Debenture not converted are to be issued in the name
of a person other than the undersigned, the undersigned will provide the appropriate information below and pay all transfer taxes payable with respect
thereto. Any amount required to be paid by the undersigned on account of interest accompanies this Debenture.


 
Dated: __________
____________________

____________________
Signature(s)



	 
	    	    	    	NOTICE: The above signatures of the holder(s) hereof must correspond with the name as written upon the face of the Debenture in every
particular without alteration or enlargement or any change whatever.




 



	 

	 	Signature(s) must be guaranteed by an “eligible guarantor
institution” meeting the requirements of Lucent Technologies Inc. or its conversion agent, which requirements include membership or participation
in the Security Transfer Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined
by the Lucent Technologies Inc. or its conversion agent in addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange
Act of 1934, as amended.





	 
 

	 	
Signature Guarantee







A-10












Fill in the registration of shares of Common Stock
if to be issued, and Debentures if to be delivered, other than to and in the name of the registered holder:






	
(Name)

	    	    	    	    	    	    
	
(Street Address)
	    	    	    	    	    	    
	
(City, State and Zip Code)
	    	    	    	    	    	    
	
Please print name and address
	    	    	    	    	    	    
	
Principal amount to be converted
(if less than all):
	    	    	    	    	    	    
	
Social Security or Other Taxpayer
Identification Number:

	    	    	    	    	    	    
	
 
	    	    	    	    	    	    


 





A-11











NOTICE OF ELECTION OF REDEMPTION


UPON A CHANGE OF CONTROL



 
TO: [LUCENT TECHNOLOGIES INC.] [conversion
agent]



 
The undersigned registered owner of this
Debenture hereby irrevocably acknowledges receipt of a notice from Lucent Technologies Inc. (the “Company”) as to the occurrence of a
Change of Control with respect to the Company and requests and instructs the Company to redeem the entire principal amount of this Debenture, or the
portion thereof (which is equal to the Debenture Principal Amount or an integral multiple thereof) below designated, in accordance with the terms of
the Indenture referred to in this Debenture at the price of 100% of such entire principal amount or portion thereof, together with accrued interest to,
but excluding, such repayment date, to the registered holder hereof.


 
Dated: __________

____________________
____________________
Signature(s)



	 
	    	    	    	NOTICE: The above signatures of the holder(s) hereof must correspond with the name as written upon the face of the Debenture in every
particular without alteration or enlargement or any change whatever.
 Principal amount to be repaid (if less than all):

____________________
____________________
Social Security or Other Taxpayer
Identification Number




 





A-12











NOTICE OF ELECTION OF REDEMPTION ON A SPECIFIED
 REDEMPTION
DATE




 
TO: LUCENT TECHNOLOGIES INC.
[TRUSTEE]



 
The undersigned registered owner of this
Debenture hereby irrevocably acknowledges receipt of notice from Lucent Technologies Inc. (the “Company”) as to a Redemption Date
pursuant to Section 3.03(b) of the Indenture with respect to this Debenture and requests and instructs the Company to redeem the entire principal
amount of this Debenture, or the portion thereof (which is an integral multiple thereof) below designated, in accordance with the terms of the
Indenture referred to in this Debenture at the price of 100% of such entire principal amount or portion thereof, together with accrued interest to, but
excluding, such repayment date, to the registered holder hereof.



Certificate No.:



In the event that the Company elects to pay the
Redemption Price in Common Stock, in whole or in part, but the Redemption Price is ultimately to be paid entirely in cash, the undersigned hereby
elects to:



	[  ]
	    	    	    	withdraw this Redemption Notice as to  or all of the Debentures to which it relates; or

	[  ]
	    	    	    	to
receive cash in respect of the entire Redemption Price for all of the Debentures to which this Redemption Notice relates.



 



 
Dated: __________

____________________
____________________
Signature(s)



	 
	    	    	    	NOTICE: The above signatures of the holder(s) hereof must correspond with the name as written upon the face of the Debenture in every
particular without alteration or enlargement or any change whatever.
Principal amount to be repaid (if less than all):

____________________
Social Security or Other Taxpayer
Identification Number




 





A-13











ASSIGNMENT



 
For value received ______________________________ hereby
sell(s) assign(s) and transfer(s) unto ______________________________ (Please insert social security or other Taxpayer Identification Number of assignee) the within Debenture, and hereby irrevocably
constitutes and appoints ____________________ attorney to transfer said Debenture on the books of the
Company, with full power of substitution in the premises.



In connection with any transfer of the Debenture
prior to the expiration of the holding period applicable to sales thereof under Rule 144(k) under the Securities Act (or any successor provision)
(other than any transfer pursuant to a registration statement that has been declared effective under the Securities Act), the undersigned confirms that
such Debenture is being transferred:



	1.	    	    	    	[  ]
	    	To
Lucent Technologies Inc.; or

	2.	    	    	    	[  ]
	    	So
long as this Debenture is eligible for resale pursuant to Rule 144A, to a person whom the undersigned reasonably believes is a qualified institutional
buyer to whom notice is given that the resale, pledge or other transfer is being made in reliance on, pursuant to and in compliance with Rule 144A
under the Securities Act of 1933, as amended; or


	3.	    	    	    	[  ]
	    	Pursuant to an exemption from registration under the Securities Act of 1933, as amended, provided by Rule 144; or


	4.	    	    	    	[  ]
	    	Outside the United States in an offshore transaction complying with Regulation S under the Securities Act of 1933, as amended;
or


	5.	    	    	    	[  ]
	    	Pursuant to an effective registration statement under the Securities Act, as amended.




 




Unless one of the boxes is checked, the Trustee will
refuse to register any of the Debentures evidenced by this certificate in the name of any person other than the registered holder thereof;
provided, however, that if box (3) or (4) is checked, the Trustee shall be entitled to require, prior to registering any such transfer of
the Debentures, such legal opinions, certifications and other information as the Company has reasonably requested to confirm that such transfer is
being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933, such as the
exemption provided by Rule 144 or Regulation S under such Act.


 
Dated: ____________________



	 
	    	    	    	
______________________________
______________________________
Signature(s)



 





A-14















	 
	    	    	    	NOTICE: The above signatures of the holder(s) hereof must correspond with the name as written upon the face of the Debenture in every
particular without alteration or enlargement or any change whatever.




 



	 

	 	Signature(s) must be guaranteed by an “eligible guarantor
institution” meeting the requirements of the Debenture Registrar, which requirements include membership or participation in the Security Transfer
Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Debenture Registrar in
addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended.





	 
 

	 	
Signature Guarantee







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