Document:

Exhibit 4(h)(ii)

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                              AMENDED AND RESTATED

                                 TRUST AGREEMENT

                                      among

                       SOUTHWESTERN ELECTRIC POWER COMPANY

                  as Depositor and Trust Securities Guarantor,

                              THE BANK OF NEW YORK,

                              as Property Trustee,

                        THE BANK OF NEW YORK (DELAWARE),

                              as Delaware Trustee,

                    THE ADMINISTRATIVE TRUSTEES NAMED HEREIN

                                       and

                   THE SEVERAL HOLDERS OF THE TRUST SECURITIES

                            Dated as of ______, ____

                             SWEPCO CAPITAL TRUST II

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<PAGE>

                             SWEPCO CAPITAL TRUST II

              Certain Sections of this Trust Agreement relating to
                         Sections 310 through 318 of the
                          Trust Indenture Act of 1939:

Trust Indenture                                                  Trust Agreement
  Act Section                                                            Section
---------------                                                  ---------------

Section 310(a)(1)        ....................................     8.07
              (a)(2)     ....................................     8.07
              (a)(3)     ....................................     8.09
              (a)(4)     ....................................     Not Applicable
              (b)        ....................................     8.08
Section 311(a)           ....................................     8.13
              (b)        ....................................     8.13
Section 312(a)           ....................................     5.07
              (b)        ....................................     5.07
              (c)        ....................................     5.07
Section 313(a)           ....................................     8.14(a)
              (b)        ....................................     8.14(a)
              (c)        ....................................     8.14(a)
              (d)        ....................................     8.14(b)
Section 314(a)           ....................................     8.15
              (b)        ....................................     Not Applicable
              (c)(1)     ....................................     8.16
              (c)(2)     ....................................     8.16
              (c)(3)     ....................................     Not Applicable
              (d)        ....................................     Not Applicable
              (e)        ....................................     1.01
Section 315(a)           ....................................     8.01, 8.03
              (b)        ....................................     8.02
              (c)        ....................................     8.01(a)
              (d)        ....................................     8.01, 8.03
              (e)        ....................................     Not Applicable
Section 316(a)           ....................................     6.01
              (a)(1)(A)  ....................................     6.01
              (a)(1)(B)  ....................................     Not Applicable
              (a)(2)     ....................................     Not Applicable
              (b)        ....................................     Not Applicable
              (c)        ....................................     6.07
Section 317(a)(1)        ....................................     Not Applicable
              (a)(2)     ....................................     Not Applicable
              (b)        ....................................     5.09
Section 318(a)           ....................................     10.10

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

<PAGE>

                                TABLE OF CONTENTS

                                    ARTICLE I

                                  DEFINED TERMS
Section 1.01.     Definitions..................................................1

                                   ARTICLE II

                            CONTINUATION OF THE TRUST
Section 2.01.     Name.........................................................8
Section 2.02.     Office of the Delaware Trustee; Principal Place
                  of Business..................................................8
Section 2.03.     Initial Contribution of Trust Property;
                  Organizational Expenses......................................9
Section 2.04.     Issuance of the Preferred Trust Securities...................9
Section 2.05.     Subscription and Purchase of Debentures; Issuance
                  of the Common Trust Securities...............................9
Section 2.06.     Declaration of Trust; Appointment of Additional
                  Administrative Trustees......................................9
Section 2.07.     Authorization to Enter into Certain Transactions.............9
Section 2.08.     Assets of Trust.............................................12
Section 2.09.     Title to Trust Property.....................................12

                                   ARTICLE III

                                 PAYMENT ACCOUNT
Section 3.01.     Payment Account.............................................12

                                   ARTICLE IV

                            DISTRIBUTIONS; REDEMPTION
Section 4.01.     Distributions...............................................12
Section 4.02.     Redemption..................................................13
Section 4.03.     Subordination of Common Trust Securities....................14
Section 4.04.     Payment Procedures..........................................15
Section 4.05.     Tax Returns and Reports.....................................15
Section 4.06.     Payments under Indenture....................................15
Section 4.07.     [Remarketing]...............................................15

                                    ARTICLE V

                          TRUST SECURITIES CERTIFICATES
Section 5.01.     Initial Ownership...........................................16
Section 5.02.     The Trust Securities Certificates...........................16
Section 5.03.     Execution and Delivery of Trust Securities Certificates.....16
Section 5.04.     Registration of Transfer and Exchange of Trust
                  Securities Certificates.....................................16
Section 5.05.     Mutilated, Destroyed, Lost or Stolen Trust
                  Securities Certificates.....................................17
Section 5.06.     Persons Deemed Securityholders..............................17
Section 5.07.     Access to List of Securityholders' Names and Addresses......17
Section 5.08.     Maintenance of Office or Agency.............................17
Section 5.09.     Appointment of Paying Agent.................................18
Section 5.10.     Ownership of Common Trust Securities by Depositor...........18
Section 5.11.     Definitive Preferred Trust Securities Certificates..........18
Section 5.12.     Book-Entry System...........................................19
Section 5.13.     Rights of Securityholders...................................19
Section 5.14.     Cancellation by Transfer Agent and Registrar................19

                                      -i-

<PAGE>

                                   ARTICLE VI

                    ACTS OF SECURITYHOLDERS; MEETINGS; VOTING
Section 6.01.     Limitations on Voting Rights................................20
Section 6.02.     Notice of Meetings..........................................21
Section 6.03.     Meetings of Holders of Preferred Trust Securities...........21
Section 6.04.     Voting Rights...............................................21
Section 6.05.     Proxies, etc................................................21
Section 6.06.     Securityholder Action by Written Consent....................21
Section 6.07.     Record Date for Voting and Other Purposes...................21
Section 6.08.     Acts of Securityholders.....................................22
Section 6.09.     Inspection of Records.......................................22

                                   ARTICLE VII

                      REPRESENTATIONS AND WARRANTIES OF THE
                    PROPERTY TRUSTEE AND THE DELAWARE TRUSTEE
Section 7.01.     Property Trustee............................................23
Section 7.02.     Delaware Trustee............................................23

                                  ARTICLE VIII

                                  THE TRUSTEES
Section 8.01.     Certain Duties and Responsibilities.........................24
Section 8.02.     Notice of Defaults..........................................25
Section 8.03.     Certain Rights of Property Trustee..........................25
Section 8.04.     Not Responsible for Recitals or Issuance of Securities......27
Section 8.05.     May Hold Securities.........................................27
Section 8.06.     Compensation; Fees; Indemnity...............................27
Section 8.07.     Certain Trustees Required; Eligibility......................28
Section 8.08.     Conflicting Interests.......................................28
Section 8.09.     Co-Trustees and Separate Trustee............................28
Section 8.10.     Resignation and Removal; Appointment of Successor...........29
Section 8.11.     Acceptance of Appointment by Successor......................30
Section 8.12.     Merger, Conversion, Consolidation or Succession
                  to Business.................................................31
Section 8.13.     Preferential Collection of Claims Against Depositor
                  or Trust....................................................31
Section 8.14.     Reports by Property Trustee.................................31
Section 8.15.     Reports to the Property Trustee.............................31
Section 8.16.     Evidence of Compliance With Conditions Precedent............31
Section 8.17.     Number of Trustees..........................................31
Section 8.18.     Delegation of Power.........................................32
Section 8.19.     Fiduciary Duty..............................................32
Section 8.20.     Delaware Trustee............................................32

                                   ARTICLE IX

                           DISSOLUTION AND LIQUIDATION
Section 9.01.     Dissolution Upon Expiration Date............................33
Section 9.02.     Early Dissolution...........................................33
Section 9.03.     Termination.................................................33
Section 9.04.     Liquidation.................................................33
Section 9.05.     Mergers, Consolidations, Amalgamations or Replacements
                  of the Trust................................................35

                                      -ii-
<PAGE>

                                    ARTICLE X

                            MISCELLANEOUS PROVISIONS
Section 10.01.    Payment of Expenses of the Trust............................35
Section 10.02.    Limitation of Rights of Securityholders.....................36
Section 10.03.    Amendment...................................................36
Section 10.04.    Separability................................................37
Section 10.05.    Governing Law...............................................37
Section 10.06.    Successors..................................................37
Section 10.07.    Headings....................................................37
Section 10.08.    Notice and Demand...........................................37
Section 10.09.    Agreement Not to Petition...................................37
Section 10.10.    Conflict with Trust Indenture Act...........................38
Section 10.11.    Counterparts................................................38

                                      iii
<PAGE>

                AMENDED AND RESTATED TRUST AGREEMENT,  dated as of ______, ____,
among (i)  Southwestern  Electric  Power  Company,  a  Delaware  corporation  as
depositor  (the  "Depositor")  and as Trust  Securities  guarantor  (the  "Trust
Securities  Guarantor"),  (ii) The Bank of New York, a banking  corporation duly
organized and existing  under the laws of the State of New York, as trustee (the
"Property  Trustee"  and, in its  separate  capacity  and not in its capacity as
Property  Trustee,  the  "Bank"),  (iii)  The  Bank of New York  (Delaware),  as
Delaware trustee (the "Delaware Trustee"), (iv) Jeffrey D. Cross and Geoffrey S.
Chatas,  each an individual,  and each of whose address is c/o American Electric
Power  Company,  Inc.,  1  Riverside  Plaza,  Columbus,  Ohio  43215  (each,  an
"Administrative  Trustee" and collectively the  "Administrative  Trustees") (the
Property  Trustee,  the  Delaware  Trustee and the  Administrative  Trustees are
referred to herein each as a "Trustee" and collectively as the "Trustees"),  and
(v) the several Holders, as hereinafter defined.

                                R E C I T A L S:

                The Depositor,  the Property  Trustee,  the Delaware Trustee and
Jeffrey D. Cross and Geoffrey S. Chatas,  each as Administrative  Trustee,  have
heretofore  duly  created and  continued a  statutory  trust under the  Delaware
Statutory Trust Act by the entering into that certain Trust Agreement,  dated as
of August 15, 2003 (the "Original Trust Agreement"), as amended by the execution
and  filing  with  the  Secretary  of  State of the  State  of  Delaware  of the
Certificate of Trust,  dated August 15, 2003 (attached  hereto as Exhibit A and,
as it may be amended from time to time, the "Certificate of Trust").

                The Trust and the  Depositor  have entered into an  Underwriting
Agreement dated __________, ____ with ______________________________.

                The parties  hereto  desire to provide for,  among other things,
(i) the issuance of the Common Trust Securities,  as hereinafter defined, by the
Trust to the Depositor,  (ii) the issuance of the Preferred Trust Securities, as
hereinafter  defined, by the Trust,  pursuant to the Underwriting  Agreement and
(iii) the  acquisition  by the Trust of all of the right,  title and interest in
the Debentures, as hereinafter defined.

                NOW   THEREFORE,   in   consideration   of  the  agreements  and
obligations set forth herein and for other good and valuable consideration,  the
receipt and  sufficiency of which is hereby  acknowledged,  each party,  for the
benefit of the other  party and for the benefit of the  Securityholders,  hereby
agrees as follows:

                                    ARTICLE I

                                  DEFINED TERMS

                Section 1.01.   Definitions.(a)  For all  purposes of this Trust
                Agreement,  except as otherwise expressly provided or unless the
                context otherwise requires:(b) the terms defined in this Article
                have the  meanings  assigned to them in this Article and include
                the plural as well as the singular;

                        (c)     all other  terms used herein that are defined in
                the  Trust  Indenture  Act,  either  directly  or  by  reference
                therein, have the meanings assigned to them therein;

                        (d)     unless  the  context  otherwise  requires,   any
                reference to an "Article" or a "Section" refers to an Article or
                a Section, as the case may be, of this Trust Agreement; and

                        (e)     the words "herein", "hereof" and "hereunder" and
                other words of similar import refer to this Trust Agreement as a
                whole  and  not to any  particular  Article,  Section  or  other
                subdivision.

                "Act" has the meaning specified in Section 6.08.
<PAGE>

                "Additional Amount" means, with respect to Trust Securities of a
given Liquidation Amount for a given period,  the amount of Additional  Interest
(as defined in the  Subordinated  Indenture)  paid by the Debenture  Issuer on a
Like Amount of Debentures for such period.

                "Administrative   Trustee"   means   each  of  the   individuals
identified  as an  "Administrative  Trustee"  in  the  preamble  to  this  Trust
Agreement solely in their capacities as Administrative Trustees of the Trust and
not in their individual  capacities,  or such trustee's successor in interest in
such capacity, or any successor trustee appointed as herein provided.

                "Adverse  Tax  Consequence"   means  any  of  the  circumstances
described  in  clauses  (i),  (ii) and (iii) of the  definition  of "Tax  Event"
herein.

                "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 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.

                "Authorized  Officer"  means  the  Chairman  of the  Board,  the
President and Vice  President,  the  Treasurer,  any Assistant  Treasurer or any
other  officer  or  agent  of the  Depositor  duly  authorized  by the  Board of
Directors to act in respect of matters relating to this Trust Agreement.

                "Bank" has the meaning  specified  in the preamble to this Trust
Agreement.

                "Bankruptcy Event" means, with respect to any Person:

                        (i)     the entry of a decree or order by a court having
                jurisdiction  in the premises  judging such Person a bankrupt or
                insolvent,  or  approving as properly  filed a petition  seeking
                reorganization,  arrangement,  adjudication or composition of or
                in respect of such Person under  Federal  bankruptcy  law or any
                other applicable Federal or state law, or appointing a receiver,
                liquidator,  assignee,  trustee,  sequestrator  or other similar
                official  of  such  Person  or of any  substantial  part  of its
                property,  or  ordering  the  winding up or  liquidation  of its
                affairs,  and  the  continuance  of any  such  decree  or  order
                unstayed and in effect for a period of 60 consecutive days; or

                        (ii)    the institution by such Person of proceedings to
                be adjudicated a bankrupt or insolvent,  or of the consent by it
                to the  institution  of  bankruptcy  or  insolvency  proceedings
                against  it,  or the  filing  by it of a  petition  or answer or
                consent   seeking   reorganization   or  relief  under   Federal
                bankruptcy law or any other applicable  Federal or state law, or
                the  consent  by it to the  filing  of such  petition  or to the
                appointment  of  a  receiver,  liquidator,   assignee,  trustee,
                sequestrator  or  similar  official  of  such  Person  or of any
                substantial  part of its  property,  or the  making  by it of an
                assignment for the benefit of creditors,  or the admission by it
                in writing of its  inability to pay its debts  generally as they
                become due.

                "Bankruptcy Laws" has the meaning specified in Section 10.09.

                "Business  Day"  means a day  other  than  (x) a  Saturday  or a
Sunday,  (y) a day on which  banks in New  York,  New  York  are  authorized  or
obligated by law or executive  order to remain  closed or (z) a day on which the
Property Trustee's  Corporate Trust Office or the Debenture  Trustee's principal
corporate trust office is closed for business.

                "Certificate  of Trust" has the meaning  specified  the recitals
hereof.

                                      -2-
<PAGE>

                "Clearing   Agency"  means  an  organization   registered  as  a
"clearing agency" pursuant to Section 17A of the Exchange Act.

                "Closing  Date" means the date of execution and delivery of this
Trust Agreement.

                "Code" means the Internal Revenue Code of 1986, as amended.

                "Commission"  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  instrument such Commission is not existing and
performing the duties now assigned to it under the Trust Indenture Act, then the
body performing such duties at such time.

                "Common  Trust  Security"  means  a  security   representing  an
undivided  beneficial  interest in the assets of the Trust having a  Liquidation
Amount of $25 and having the rights provided  therefor in this Trust  Agreement,
including  the right to  receive  Distributions,  Debentures  and a  Liquidation
Distribution as provided herein.

                "Common  Trust  Securities   Certificate"  means  a  certificate
evidencing  ownership  of Common  Trust  Securities,  substantially  in the form
attached as Exhibit B.

                "Corporate  Trust Office" means the  principal  corporate  trust
office of the Property  Trustee  located in New York, New York which at the date
of  execution of this Trust  Agreement is located at 450 West 33rd Street,  15th
Floor, New York, New York 10001.

                "Covered Person" means: (a) any officer, director,  shareholder,
partner, member,  representative,  employee or agent of the Trust or the Trust's
Affiliates; and (b) any Holder of Trust Securities.

                "Debenture  Event of  Default"  means an "Event of  Default"  as
defined in the Subordinated Indenture.

                "Debenture Issuer" means Southwestern  Electric Power Company, a
Delaware  corporation,  in its  capacity  as issuer of the  Debentures,  and its
successors.

                "Debenture  Redemption Date" means  "Redemption Date" as defined
in the Subordinated Indenture with respect to the Debentures.

                "Debenture Trustee" means ______________________________,  a New
York banking corporation,  as trustee under the Subordinated Indenture,  and its
permitted successors and assigns as such trustee.

                "Debentures"  means $___________  aggregate  principal amount of
the  Debenture  Issuer's  __%  Subordinated  Debt  Securities,  Series _, issued
pursuant to the Subordinated Indenture which will mature on ------, ----.

                "Definitive  Preferred  Trust  Securities   Certificates"  means
Preferred Trust Securities Certificates issued in certificated, fully registered
form as provided in Section 5.11.

                "Delaware  Statutory  Trust Act" means Chapter 38 of Title 12 of
the Delaware  Code, 12 Del. Code Section 3801 et seq., as it may be amended from
time to time.

                "Delaware Trustee" means the banking  corporation  identified as
the  "Delaware  Trustee" in the preamble to this Trust  Agreement  solely in its
capacity as Delaware Trustee of the Trust and not in its individual capacity, or
its successor in interest in such capacity,  or any successor  trustee appointed
as herein provided.

                                      -3-
<PAGE>

                "Depositor"  has the meaning  specified  in the preamble to this
Trust  Agreement  and  includes  Southwestern  Electric  Power  Company,  in its
capacity as Holder of the Common Trust Securities, and its successors.

                "Distribution   Date"  has  the  meaning  specified  in  Section
4.01(a).

                "Distributions"  means  amounts  payable in respect of the Trust
Securities as provided in Section 4.01.

                "Early  Termination  Event" has the meaning specified in Section
9.02.

                "Event  of  Default"  means  any  one  of the  following  events
(whatever the reason for such Event of Default and whether it shall be voluntary
or  involuntary  or be effected by operation of law or pursuant to any judgment,
decree  or  order  of  any  court  or  any  order,  rule  or  regulation  of any
administrative or governmental body):

                        (i)     the occurrence of a Debenture  Event of Default;
                or

                        (ii)    default  by  the  Trust  in the  payment  of any
                Distribution  when it becomes due and payable,  and continuation
                of such default for a period of 30 days; or

                        (iii)   default  by  the  Trust  in the  payment  of any
                Redemption Price, plus accumulated and unpaid Distributions,  of
                any Trust Security when it becomes due and payable; or

                        (iv)    default in the  performance,  or breach,  in any
                material respect, of any covenant or warranty of the Trustees in
                this  Trust  Agreement  (other  than a  covenant  or  warranty a
                default in whose  performance  or breach is  specifically  dealt
                with in clause (ii) or (iii),  above) and  continuation  of such
                default or breach  for a period of 90 days after  there has been
                given,  by  registered  or  certified  mail,  to the Trust,  the
                defaulting  trustee and the Depositor by the Holders of at least
                25% in Liquidation  Amount of the  Outstanding  Preferred  Trust
                Securities a written  notice  specifying  such default or breach
                and  requiring it to be remedied and stating that such notice is
                a "Notice of Default" hereunder; or

                        (v)     the  occurrence  of  a  Bankruptcy   Event  with
                respect to the Trust.

                "Exchange  Act" means the  Securities  Exchange Act of 1934,  as
                amended.

                "Expiration  Date" shall have the meaning  specified  in Section
                9.01.

                "Indemnified  Person"  means any Trustee,  any  Affiliate of any
Trustee, or any officer,  director,  shareholder,  member,  partners,  employee,
representative or agent of any Trustee, or any employee or agent of the Trust or
its Affiliates.

                "Investment  Company  Act" means the  Investment  Company Act of
1940, as amended.

                ["Investment Company Event" means the receipt by the Trust of an
Opinion of Counsel  experienced  in such matters to the effect that, as a result
of the occurrence of a change in law or regulation or a change in interpretation
or application of law or regulation by any legislative body, court, governmental
agency or  regulatory  authority  (a "Change in 1940 Act Law"),  the Trust is or
will be  considered  an  "investment  company" that is required to be registered
under the 1940 Act,  which  change in 1940 Act Law become  effective on or after
the date of  original  issuance  of the  Preferred  Securities  under this Trust
Agreement.

                "Lien" means any lien, pledge,  charge,  encumbrance,  mortgage,
deed of trust, adverse ownership interest,  hypothecation,  assignment, security
interest or  preference,  priority or other security  agreement or  preferential
arrangement of any kind or nature whatsoever.

                                      -4-
<PAGE>

                "Like  Amount" means (i) Trust  Securities  having a Liquidation
Amount  equal to the  principal  amount of  Debentures  to be  contemporaneously
redeemed in accordance with the Subordinated Indenture and the proceeds of which
will  be used  to pay  the  Redemption  Price  of  such  Trust  Securities  plus
accumulated  and  unpaid  Distributions  to the  date of such  payment  and (ii)
Debentures  having a principal  amount  equal to the  Liquidation  Amount of the
Trust Securities of the Holders to which such Debentures are distributed.

                "Liquidation  Amount"  means the stated  amount of $25 per Trust
Security.

                "Liquidation  Date" means the date on which Debentures are to be
distributed to Holders of Trust  Securities in connection with a dissolution and
liquidation of the Trust pursuant to Section 9.04.

                "Liquidation  Distribution" has the meaning specified in Section
9.04(e).

                "Offer" has the meaning specified in Section 2.07(c).

                "Officer's   Certificate"  means  a  certificate  signed  by  an
Authorized  Officer of the Depositor and delivered to the  appropriate  Trustee.
Any officer  signing an  Officer's  Certificate  given  pursuant to Section 8.16
shall  be the  principal  executive,  financial  or  accounting  officer  of the
Depositor. Any Officer's Certificate delivered with respect to compliance with a
condition or covenant provided for in this Trust Agreement shall include:

                        (a)     a  statement   that  the  officer   signing  the
                Officer's Certificate has read the covenant or condition and the
                definitions relating thereto;

                        (b)     a brief statement of the nature and scope of the
                examination  or  investigation  undertaken  by such  officer  in
                rendering the Officer's Certificate;

                        (c)     a  statement  that  such  officer  has made such
                examination or investigation as, in such officer's  opinion,  is
                necessary to enable such officer to express an informed  opinion
                as to  whether  or not  such  covenant  or  condition  has  been
                complied with; and

                        (d)     a  statement  as to  whether,  in the opinion of
                such officer, such condition or covenant has been complied with.

                "Opinion of Counsel" means a written opinion of counsel, who may
be counsel for the Trust,  the Property  Trustee,  the  Delaware  Trustee or the
Depositor,  and who shall be reasonably  acceptable to the Property Trustee. Any
Opinion of Counsel  delivered  with  respect to  compliance  with a condition or
covenant  provided  for  in  this  Trust  Agreement  shall  include   statements
comparable  to the  statements  referred  to in  the  definition  of  "Officer's
Certificate" herein.

                "Trust  Agreement" has the meaning  specified in the recitals to
this Trust Agreement.

                "Outstanding,"   when  used  with  respect  to  Preferred  Trust
Securities,  means,  as of  the  date  of  determination,  all  Preferred  Trust
Securities theretofore delivered under this Trust Agreement, except:

                        (i)     Preferred Trust Securities  theretofore canceled
                by the Transfer Agent and Registrar or delivered to the Transfer
                Agent and Registrar for cancellation;

                        (ii)    Preferred Trust  Securities for whose payment or
                redemption  money in the necessary  amount has been  theretofore
                deposited with the Property  Trustee or any Paying Agent for the
                Holders of such Preferred  Trust  Securities;  provided that, if
                such Preferred  Trust  Securities are to be redeemed,  notice of
                such  redemption  has been duly  given  pursuant  to this  Trust
                Agreement; and

                                      -5-
<PAGE>

                        (iii)   Preferred Trust  Securities which have been paid
                or in  exchange  for or in lieu of which other  Preferred  Trust
                Securities have been delivered pursuant to this Trust Agreement,
                including pursuant to Sections 5.04, 5.05 or 5.11;

provided,  however,  that in  determining  whether the Holders of the  requisite
Liquidation Amount of the Outstanding  Preferred Trust Securities have given any
request, demand, authorization,  direction, notice, consent or waiver hereunder,
Preferred  Trust  Securities  owned  by  the  Depositor,  the  Trust  Securities
Guarantor,  any  Administrative  Trustee or any Affiliate of the Depositor,  the
Trust Securities  Guarantor or any  Administrative  Trustee shall be disregarded
and deemed not to be  Outstanding,  except that (a) in  determining  whether any
Trustee  shall  be  protected  in  relying  upon  any  such   request,   demand,
authorization,  direction,  notice,  consent or  waiver,  only  Preferred  Trust
Securities  which such Trustee knows to be so owned shall be so disregarded  and
(b) the  foregoing  shall  not  apply  at any time  when all of the  Outstanding
Preferred  Trust  Securities  are owned by the Depositor,  the Trust  Securities
Guarantor, one or more of the Administrative Trustees and/or any such Affiliate.
Preferred Trust Securities so owned which have been pledged in good faith may be
regarded as Outstanding if the pledgee  establishes to the  satisfaction  of the
Administrative  Trustees  the  pledgee's  right so to act with  respect  to such
Preferred  Trust  Securities  and that the pledgee is not the  Depositor  or the
Trust  Securities  Guarantor,  or any  Affiliate  of the  Depositor or the Trust
Securities Guarantor.

                "Owner" means each Person who is the beneficial owner of a Trust
Securities  Certificate as reflected in the records of the Securities Depository
or, if a Securities Depository  participant is not the beneficial owner, then as
reflected in the records of a Person maintaining an account with such Securities
Depository  (directly  or  indirectly),  in  accordance  with the  rules of such
Securities Depository.

                "Paying  Agent"  means  any  paying  agent  or  co-paying  agent
appointed pursuant to Section 5.09 and shall initially be the Property Trustee.

                "Payment   Account"  means  a  segregated   non-interest-bearing
corporate  trust account  maintained  by the Property  Trustee with the Bank, or
such other banking  institution as the Depositor shall select for the benefit of
the  Securityholders in which all amounts paid in respect of the Debentures will
be held and from which the Paying Agent,  pursuant to Section  5.09,  shall make
payments to the Securityholders in accordance with Sections 4.01 and 4.02.

                "Person" means any individual,  corporation,  partnership, joint
venture,  trust,  limited  liability  company  or  corporation,   unincorporated
organization or government or any agency or political subdivision thereof.

                "Preferred  Trust  Security"  means a security  representing  an
undivided  beneficial  interest in the assets of the Trust having a  Liquidation
Amount of $25 and having  rights  provided  therefor  in this  Trust  Agreement,
including  the right to  receive  Distributions,  Debentures  and a  Liquidation
Distribution as provided herein and, in certain circumstances, a preference over
the Common Trust Securities.

                "Preferred  Trust  Securities  Certificate"  means a certificate
evidencing  ownership of Preferred Trust  Securities,  substantially in the form
attached as Exhibit C.

                "Property  Trustee" means the  commercial  bank or trust company
identified  as the  "Property  Trustee" in the preamble to this Trust  Agreement
solely  in its  capacity  as  Property  Trustee  of  the  Trust  and  not in its
individual  capacity,  or its  successor  in interest in such  capacity,  or any
successor trustee appointed as herein provided.

                "Redemption  Date" means,  with respect to any Trust Security to
be  redeemed,  the date fixed for such  redemption  by or pursuant to this Trust
Agreement;  provided that each Debenture  Redemption  Date shall be a Redemption
Date for a Like Amount of Trust Securities.

                "Redemption  Price"  means,  with  respect to any date fixed for
redemption of any Trust Security, the Liquidation Amount of such Trust Security.

                                      -6-
<PAGE>

                "Relevant  Trustee" shall have the meaning  specified in Section
8.10.

                "Responsible  Officer,"  when used with  respect to the Property
Trustee,  means an officer of the  Property  Trustee  assigned  by the  Property
Trustee to administer its corporate trust matters.

                "Securities  Depository"  shall have the  meaning  specified  in
Section  5.12.  The  Depository  Trust  Company  will be the initial  Securities
Depository.

                "Securities  Register"  shall mean the  Securities  Register  as
described in Section 5.04.

                "Securityholder"  or  "Holder"  means a Person  in whose  name a
Trust Security or Securities is registered in the Securities Register;  any such
Person shall be a beneficial  owner of such  security  within the meaning of the
Delaware Statutory Trust Act.

                "Subordinated  Indenture"  means  the  Indenture,  dated  as  of
____________,  ____, among the Debenture Issuer, the Depositor, as guarantor and
the Debenture Trustee, as trustee, as amended or supplemented from time to time.

                "Tax Event"  means the receipt by the Trust or the  Depositor of
an Opinion of  Counsel  experienced  in such  matters to the effect  that,  as a
result of (a) any  amendment  to,  clarification  of, or change  (including  any
announced  prospective  change)  in, the laws or  treaties  (or any  regulations
thereunder)  of  the  United  States  or any  political  subdivision  or  taxing
authority  thereof or therein affecting  taxation,  (b) any judicial decision or
any official administrative pronouncement,  ruling, regulatory procedure, notice
or  announcement  (including  any notice or  announcement  of intent to issue or
adopt any such administrative  pronouncement,  ruling,  regulatory  procedure or
regulation)  (each,  an  "Administrative  Action"),  or (c)  any  amendment  to,
clarification  of, or change in the official  position or the  interpretation of
any such  Administrative  Action or judicial  decision or any  interpretation or
pronouncement  that provides for a position with respect to such  Administrative
Action or judicial decision that differs from the theretofore generally accepted
position, in each case by any legislative body, court, governmental authority or
regulatory  body,  irrespective  of the time or manner in which such  amendment,
clarification   or  change  is  introduced  or  made  known,   which  amendment,
clarification,  or change is effective,  or which Administrative Action is taken
or which  judicial  decision  is  issued,  in each  case on or after the date of
issuance of the Preferred Trust Securities,  there is more than an insubstantial
risk that (i) the Trust is, or will be subject to United States  Federal  income
tax with respect to interest  received on the Debentures,  (ii) interest payable
by the Depositor on the  Debentures is not, or will not be, fully  deductible by
the Depositor for United States Federal income tax purposes,  or (iii) the Trust
is, or will be subject to more than a de minimis  amount of other taxes,  duties
or other governmental charges.

                "Transfer Agent and Registrar" shall mean the transfer agent and
registrar for the Preferred Trust Securities appointed by the Trust and shall be
initially the Property Trustee.

                "Trust" means the Delaware  statutory trust created by the Trust
Agreement and the  Certificate  of Trust and continued  hereby and identified on
the cover page to this Trust Agreement.

                "Trust   Agreement"   means  this  Amended  and  Restated  Trust
Agreement,  as the same may be modified,  amended or  supplemented in accordance
with the applicable  provisions  hereof,  including (i) all exhibits  hereto and
(ii) for all purposes of this Amended and Restated Trust  Agreement and any such
modification, amendment or supplement, the provisions of the Trust Indenture Act
that are deemed to be a part of and  govern  this  Amended  and  Restated  Trust
Agreement and any such modification, amendment or supplement, respectively.

                "Trust  Indenture Act" means the Trust  Indenture Act of 1939 as
amended  and in  force at the date as of which  this  instrument  was  executed;
provided,  however, that in the event the Trust Indenture Act of 1939 is amended
after such date, "Trust Indenture Act" means, to the extent required by any such
amendment, the Trust Indenture Act of 1939 as so amended.

                                      -7-
<PAGE>

                "Trust  Property"  means  (i) the  Debentures,  (ii) any cash on
deposit in, or owing to, the Payment  Account and (iii) all  proceeds and rights
in respect of the  foregoing  for the time  being held by the  Property  Trustee
pursuant to the terms of this Trust Agreement.

                "[Trust]  Securities  Certificate"  means any one of the  Common
Trust Securities Certificates or the Preferred Trust Securities Certificates.

                "Trust   Securities   Guarantee"   means  the  Trust  Securities
Guarantee  Agreement  executed and delivered by the Depositor,  as guarantor and
______________________________,  a New York  banking  corporation,  as  trustee,
contemporaneously  with the execution and delivery of this Trust Agreement,  for
the benefit of the Holders of the [Preferred] Trust Securities,  as amended from
time to time.

                "Trust Securities  Guarantor" means Southwestern  Electric Power
Company,  a Delaware  corporation,  and its  successors,  as guarantor under the
Trust Securities Guarantee.

                "Trust Security" means any one of the Common Trust Securities or
the Preferred Trust  Securities.  The Common Trust  Securities and the Preferred
Trust Securities  represent the sole beneficial  interests in the Trust, and the
Trust shall not issue any interests other than the Trust Securities.

                "Trustees"  mean,   collectively,   the  Property  Trustee,  the
Delaware Trustee and the Administrative Trustees.

                "Underwriting Agreement" means the Underwriting Agreement, dated
as of  ____________,  ____,  among the Trust, the Depositor and the underwriters
named therein.

                [Additional  Definitions  if  Securities  are  to be  issued  in
connection with Stock Purchase Units]

                                   ARTICLE II

                            Continuation of the Trust

                Section 2.01.   Name.The Trust  continued  hereby shall be known
as "SWEPCo  Capital Trust II", as such name may be modified from time to time by
the  Administrative  Trustees  following  written notice to the Holders of Trust
Securities  and the other  Trustees,  in which name the Trustees may conduct the
business  of the Trust,  make and execute  contracts  and other  instruments  on
behalf of the Trust and sue and be sued.

                Section 2.02.   Office of the Delaware Trustee;  Principal Place
of Business.The office of the Delaware Trustee in the State of Delaware is White
Clay Center,  Route 273,  Newark,  Delaware  19711,  or at such other address in
Delaware  as the  Delaware  Trustee  may  designate  by  written  notice  to the
Securityholders, the Depositor and the Trust Securities Guarantor. The principal
place of business of the Trust is c/o  Southwestern  Electric Power  Company,  1
Riverside Plaza, Columbus, Ohio 43215.

                                      -8-
<PAGE>

                Section 2.03.   Initial    Contribution   of   Trust   Property;
Organizational  Expenses.The Property Trustee acknowledges receipt in trust from
the Depositor in connection  with the Trust  Agreement of the sum of $10,  which
constituted the initial Trust Property.  The Depositor shall pay  organizational
expenses  of the Trust as they  arise or shall,  upon  request  of any  Trustee,
promptly reimburse such Trustee for any such expenses paid by such Trustee.  The
Depositor  shall make no claim upon the Trust  Property  for the payment of such
expenses.

                  Section 2.04.  Issuance of the Preferred  Trust  Securities.On
____________, ____, an authorized representative of the Depositor and the Trust,
both executed and delivered the Underwriting  Agreement.  Contemporaneously with
the execution and delivery of this Trust  Agreement,  one of the  Administrative
Trustees,  on behalf of the Trust in accordance with Section 5.02,  executed and
delivered a Preferred Trust  Securities  Certificate,  registered in the name of
the nominee of The  Depository  Trust Company,  having an aggregate  Liquidation
Amount of $___________.

                Section 2.05.   Subscription   and   Purchase   of   Debentures;
Issuance of the Common Trust Securities.Contemporaneously with the execution and
delivery of this Trust Agreement,  the Administrative Trustees, on behalf of the
Trust,  subscribed  to and  purchased  from  the  Debenture  Issuer  Debentures,
registered in the name of the Property Trustee and having an aggregate principal
amount equal to $___________ and, in satisfaction of the purchase price for such
Debentures,  (x) one of the  Administrative  Trustees,  on behalf of the  Trust,
executed and delivered to the Depositor  Common Trust  Securities  Certificates,
registered  in the  name  of the  Depositor,  representing  _____  Common  Trust
Securities  having an aggregate  Liquidation  Amount of $_________,  and (y) the
Property Trustee, on behalf of the Trust,  delivered to the Debenture Issuer the
sum of  $___________  representing  the proceeds  from the sale of the Preferred
Trust Securities pursuant to the Underwriting Agreement.

                Section 2.06.   Declaration of Trust;  Appointment of Additional
Administrative  Trustees.  The exclusive purposes and functions of the Trust are
(i) to issue Trust Securities and invest the proceeds thereof in Debentures, and
(ii) to  engage  in  those  activities  necessary  or  incidental  thereto.  The
Depositor hereby appoints the Trustees as trustees of the Trust, to have all the
rights,  powers  and duties to the extent  set forth  herein,  and the  Trustees
hereby accept such  appointment.  The Property  Trustee hereby  declares that it
will hold the Trust  Property  in trust upon and subject to the  conditions  set
forth herein for the benefit of the Securityholders. The Trustees shall have all
rights, powers and duties set forth herein and in accordance with applicable law
with respect to accomplishing the purposes of the Trust.  Anything in this Trust
Agreement to the contrary  notwithstanding,  the Delaware  Trustee  shall not be
entitled to exercise any powers,  nor shall the Delaware Trustee have any of the
duties  and  responsibilities  of the  Property  Trustee  or the  Administrative
Trustees set forth herein.  The Delaware Trustee shall be one of the Trustees of
the Trust for the sole and limited  purpose of fulfilling  the  requirements  of
Section 3807 of the Delaware Statutory Trust Act.

                Section 2.07.   Authorization     to    Enter    into    Certain
Transactions.The  Trustees  shall conduct the affairs of the Trust in accordance
with the terms of this Trust Agreement.  Subject to the limitations set forth in
paragraph  (b) of this  Section  and  Article  VIII and in  accordance  with the
following provisions (A) and (B), the Trustees shall have the authority to enter
into  all  transactions  and  agreements   determined  by  the  Trustees  to  be
appropriate in exercising the authority,  express or implied,  otherwise granted
to the  Trustees  under  this  Trust  Agreement,  and to  perform  all  acts  in
furtherance thereof, including without limitation, the following:

        (A)     As among  the  Trustees,  the  Administrative  Trustees,  acting
singularly  or  together,  shall have the power,  duty and  authority  to act on
behalf of the Trust with respect to the following matters:

                        (i)     the  issuance  and sale of the Trust  Securities
                pursuant to the Underwriting Agreement;

                        (ii)    without the consent of any Person,  to cause the
                Trust to enter  into and to  execute,  deliver  and  perform  on
                behalf of the Trust,  such  agreements  as may be  necessary  or
                desirable   in   connection   with  the   consummation   of  the
                Underwriting Agreement;

                                      -9-
<PAGE>

                        (iii)   to  qualify  the  Trust  to do  business  in any
                jurisdiction as may be necessary or desirable;

                        (iv)    the   registration   of  the   Preferred   Trust
                Securities  under the  Securities  Act of 1933, as amended,  and
                under state  securities or blue sky laws, and the  qualification
                of this Trust  Agreement  as a trust  indenture  under the Trust
                Indenture Act;

                        (v)     the  listing,  if any,  of the  Preferred  Trust
                Securities upon such national  securities  exchange or exchanges
                or automated  quotation system or systems as shall be determined
                by the Depositor  and the  registration  of the Preferred  Trust
                Securities  under the  Exchange  Act,  and the  preparation  and
                filing of all  periodic  and other  reports and other  documents
                pursuant to the foregoing;

                        (vi)    the appointment or removal of a Paying Agent and
                Transfer  Agent and  Registrar  in  accordance  with this  Trust
                Agreement;

                        (vii)   the  establishment  of a record  date for any of
                the purposes contemplated by Section 6.07 hereof;

                        (viii)  to duly  prepare  and  file all  applicable  tax
                returns  and tax  information  reports  that are  required to be
                filed with respect to the Trust on behalf of the trust;

                        (ix)    to take  all  action  that may be  necessary  or
                appropriate  for the  preservation  and the  continuation of the
                Trust's valid existence,  rights, franchises and privileges as a
                statutory  statutory  trust  under  the  laws  of the  State  of
                Delaware and of each other  jurisdiction in which such existence
                is necessary to protect the limited  liability of the Holders of
                the Preferred Trust  Securities or to enable the Trust to effect
                the purposes for which the Trust was created;

                        (x)     to  execute  and  deliver   all   documents   or
                instruments,  perform all duties and  powers,  and do all things
                for and on  behalf  of the  Trust in all  matters  necessary  or
                incidental to the foregoing;

                        (xi)    to the extent provided in this Trust  Agreement,
                the  winding up of the affairs of and  liquidation  of the Trust
                and the preparation,  execution and filing of the certificate of
                cancellation with the Secretary of State of Delaware; and

                        (xii)   the  taking  of  any  action  incidental  to the
                foregoing as the  Administrative  Trustees may from time to time
                determine  is necessary or advisable to protect and conserve the
                Trust Property for the benefit of the  Securityholders  (without
                consideration of the effect of any such action on any particular
                Securityholder).

        (B)     As among the  Trustees,  the  Property  Trustee  shall  have the
power,  duty and  authority  to act on behalf of the Trust  with  respect to the
following ministerial matters:

                        (i)     the establishment of the Payment Account;

                        (ii)    the receipt of the Debentures;

                        (iii)   the   collection  and  deposit  in  the  Payment
                Account of interest,  principal  and any other  payments made in
                respect of the Debentures;

                        (iv)    the   distribution   of  amounts   owed  to  the
                Securityholders in respect of the Trust Securities in accordance
                with the terms of this Trust Agreement;

                                      -10-
<PAGE>

                        (v)     the  sending of  notices  of  default  and other
                information regarding the Trust Securities and the Debentures to
                the  Securityholders  in accordance with the terms of this Trust
                Agreement;

                        (vi)    the   distribution  of  the  Trust  Property  in
                accordance with the terms of this Trust Agreement;

                        (vii)   to the extent provided in this Trust  Agreement,
                the  winding up of the affairs of and  liquidation  of the Trust
                and the  execution  of the  certificate  of  cancellation  to be
                prepared  and  filed  by the  Administrative  Trustees  with the
                Secretary of State of the State of Delaware; and

                        (viii)  the taking of any ministerial  action incidental
                to the  foregoing as the Property  Trustee may from time to time
                determine  is necessary or advisable to protect and conserve the
                Trust Property for the benefit of the  Securityholders  (without
                consideration of the effect of any such action on any particular
                Securityholder).

                (a)     Subject to this Section 2.07(a)(B), the Property Trustee
shall  have  none of the  duties,  powers  or  authority  of the  Administrative
Trustees set forth in Sections 2.07(a)(A) and 2.07(c) or the Depositor set forth
in Section  2.07(c).  The Property Trustee shall have the power and authority to
exercise  all of the rights,  powers and  privileges  of a holder of  Debentures
under the Subordinated Indenture,  subject to the terms of this Trust Agreement,
and, if an Event of Default occurs and is continuing,  the Property Trustee may,
for the benefit of Holders of the Trust Securities,  in its discretion,  proceed
to protect  and enforce  its rights as holder of the  Debentures  subject to the
rights of the Holders pursuant to the terms of this Trust Agreement.

                (b)     So long as this Trust Agreement  remains in effect,  the
Trust (or the Trustees  acting on behalf of the Trust) shall not  undertake  any
business,  activities  or  transaction  except as expressly  provided  herein or
contemplated hereby. In particular, the Trustees, acting on behalf of the Trust,
shall not (i) acquire any investments or engage in any activities not authorized
by this Trust Agreement, (ii) sell, assign, transfer,  exchange, pledge, set-off
or  otherwise  dispose  of any of  the  Trust  Property  or  interests  therein,
including to  Securityholders,  except as expressly provided herein,  (iii) take
any action that would reasonably be expected to cause the Trust to fail or cease
to qualify as a "grantor  trust" for United States  Federal income tax purposes,
(iv) incur any  indebtedness  for  borrowed  money or (v) take or consent to any
action  that  would  result  in  the  placement  of a Lien  on any of the  Trust
Property. The Trustees shall defend all claims and demands of all Persons at any
time claiming any Lien on any of the Trust  Property  adverse to the interest of
the Trust or the Securityholders in their capacity as Securityholders.

                (c)     In  connection  with the issue and sale of the Preferred
Trust Securities,  each of the Depositor and the Administrative Trustees, acting
singularly  or  together,  (and,  in the  case of  (i),  (iii)  and  (v)  below,
____________________, as authorized representative of the Trust), shall have the
right and  responsibility  to assist  the Trust  with  respect  to, or effect on
behalf of the Trust,  the  following  (and any actions taken by the Depositor in
furtherance  of the  following  prior to the date of this  Trust  Agreement  are
hereby ratified and confirmed in all respects):

                        (i)     to  prepare  for  filing by the  Trust  with the
                Commission and to execute and file a  registration  statement on
                Form  S-3  in  relation  to  the  Preferred  Trust   Securities,
                including  any  amendments   thereto  and  to  take  any  action
                necessary or desirable to sell the Preferred Trust Securities in
                a transaction or series of transactions pursuant thereto;

                        (ii)    to  determine   the  States  in  which  to  take
                appropriate  action to qualify or register  for sale all or part
                of the  Preferred  Trust  Securities  and to do any and all such
                acts,  other than actions which must be taken by or on behalf of
                the Trust,  and advise the Trustees of actions they must take on
                behalf of the Trust,  and prepare for  execution  and filing any
                documents  to be executed and filed by the Trust or on behalf of
                the Trust,  as the  Depositor  deems  necessary  or advisable in
                order to comply with the  applicable  laws of any such States in
                connection with the sale of Preferred Trust Securities;

                                      -11-
<PAGE>

                        (iii)   to select  the  investment  banker or bankers to
                act as  underwriters  with  respect to the offer and sale by the
                Trust of Preferred Trust Securities  ("Offer") and negotiate the
                terms  of  an  Underwriting   Agreement  and  pricing  agreement
                providing for the Offer;

                        (iv)    to  execute  and  deliver on behalf of the Trust
                the  Underwriting  Agreement and such other agreements as may be
                necessary  or  desirable  in  connection  with the  consummation
                thereof;

                        (v)     to take any other actions necessary or desirable
                to carry out any of the foregoing activities.

                (d)     Notwithstanding  anything  herein to the  contrary,  the
Administrative  Trustees  are hereby  authorized  and  directed  to conduct  the
affairs  of the Trust  and to  operate  the Trust so that the Trust  will not be
deemed  to be an  "investment  company"  required  to be  registered  under  the
Investment  Company Act or classified other than as a "grantor trust" for United
States Federal income tax purposes and so that the Debentures will be treated as
indebtedness  of the  Debenture  Issuer for  United  States  Federal  income tax
purposes. In this connection,  the Depositor and the Administrative Trustees are
authorized  to take any  action,  not  inconsistent  with  applicable  law,  the
Certificate of Trust or this Trust Agreement, that each of the Depositor and the
Administrative  Trustees  determines  in  its  discretion  to  be  necessary  or
desirable  for  such  purposes,  as long  as such  action  does  not  materially
adversely affect the interests of the Holders of the Preferred Trust Securities.

                Section 2.08.   Assets of  Trust.The  assets of the Trust  shall
consist of the Trust Property.

                Section 2.09.   Title to Trust Property.Legal title to all Trust
Property  shall be vested at all times in the Property  Trustee (in its capacity
as such) and shall be held and  administered  by the  Property  Trustee  for the
benefit of the Securityholders in accordance with this Trust Agreement.

                                   ARTICLE III

                                 Payment Account

                Section 3.01.   Payment  Account.(a)  On or prior to the Closing
Date, the Property  Trustee shall  establish the Payment  Account.  The Property
Trustee and any Paying Agent appointed by the Administrative Trustees shall have
exclusive  control  and sole right of  withdrawal  with  respect to the  Payment
Account for the purpose of making deposits in and  withdrawals  from the Payment
Account in accordance with this Trust  Agreement.  All monies and other property
deposited or held from time to time in the Payment  Account shall be held by the
Property Trustee in the Payment Account for the exclusive benefit of the Holders
of Trust  Securities and for  distribution  as herein  provided,  including (and
subject to) any priority of payments  provided for herein.  The Property Trustee
shall have no  liability in any respect  whatsoever  in regards to any moneys or
other property deposited in the Payment Account at an institution other than the
Property Trustee.

                (b)     The  Property  Trustee  shall  deposit  in  the  Payment
Account,  promptly upon  receipt,  all payments of principal or interest on, and
any other payments or proceeds with respect to, the Debentures.  Amounts held in
the  Payment  Account  shall not be  invested by the  Property  Trustee  pending
distribution thereof.

                                   ARTICLE IV

                            Distributions; Redemption

                Section 4.01.   Distributions.(a)Distributions   on  the   Trust
        Securities shall be cumulative, and will accumulate whether or not there
        are funds of the  Trust  available  for the  payment  of  Distributions.
        Distributions  shall accrue from the Closing  Date,  and,  except in the
        event (and to the  extent)  that the  Depositor  exercises  its right to
        extend the  interest  payment  period  for the  Debentures  pursuant  to
        Section 312 of the Subordinated Indenture, shall be payable quarterly in
        arrears on  _________,  _________,  __________,  and  __________ of each
        year,  commencing on _______,  ____. If any date on which

                                      -12-
<PAGE>

        Distributions  are  otherwise  payable on the Trust  Securities is not a
        Business Day, then the payment of such Distribution shall be made on the
        next succeeding day which is a Business Day (and without any interest or
        other payment in respect of any such delay) in each case,  with the same
        force  and  effect  as  if  made  on  such  date  (each  date  on  which
        Distributions  are payable in accordance  with this Section  4.01(a),  a
        "Distribution Date").

                (b)     Distributions  payable on the Trust  Securities shall be
fixed  at a rate  of __%  per  annum  of the  Liquidation  Amount  of the  Trust
Securities.  The amount of Distributions  payable for any quarterly period shall
be computed on the same basis as interest is  calculated on the  Debentures.  If
the interest  payment period for the Debentures is extended  pursuant to Section
312 of the Subordinated  Indenture,  then  Distributions on the Trust Securities
will be deferred for the period equal to the  extension of the interest  payment
period for the Debentures and the rate per annum at which  Distributions  on the
Trust  Securities  accumulate  shall be  increased  by an  amount  such that the
aggregate amount of Distributions that accumulate on all Trust Securities during
any such extended  interest  payment period is equal to the aggregate  amount of
interest (including,  to the extent permitted by law, interest payable on unpaid
interest at the percentage rate per annum set forth above, compounded quarterly)
that accrues during any such extended interest payment period on the Debentures.
The amount of Distributions  payable for any period shall include the Additional
Amounts, if any.

                (c)     Distributions  on the Trust Securities shall be made and
shall be deemed  payable on each  Distribution  Date only to the extent that the
Trust has  funds  available  in the  Payment  Account  for the  payment  of such
Distributions.

                (d)     Distributions  on the Trust Securities with respect to a
Distribution  Date shall be payable to the Holders thereof as they appear on the
Securities  Register for the Trust Securities on the relevant record date, which
shall be one  Business  Day prior to the relevant  Distribution  Date,  if Trust
Securities  are in  book-entry  only  form,  and 15 days  prior to the  relevant
Distribution Date if Trust Securities are not in book-entry only form.

                Section 4.02.   Redemption.(a) On each Debenture Redemption Date
and at the maturity date ("Maturity Date") for the Debentures (as defined in the
Subordinated Indenture),  the Property Trustee will be required to redeem a Like
Amount of Trust  Securities at the Redemption  Price plus accumulated and unpaid
Distributions to the Redemption Date or Maturity Date, as the case may be.

                (b)     Notice  of  redemption  shall be  given by the  Property
Trustee by first-class mail,  postage prepaid,  mailed not less than 30 nor more
than 60 days prior to the Redemption Date to each Holder of Trust  Securities to
be redeemed,  at such Holder's address appearing in the Security  Register.  All
notices of redemption or liquidation shall state:

                        (i)     the Redemption Date;

                        (ii)    the   Redemption   Price   and  the   amount  of
                accumulated  and  unpaid   Distributions   to  be  paid  on  the
                Redemption Date;

                        (iii)   the CUSIP number;

                        (iv)    if  less   than   all  the   Outstanding   Trust
                Securities are to be redeemed,  the identification and the total
                Liquidation  Amount of the  particular  Trust  Securities  to be
                redeemed;

                        (v)     that on the Redemption Date the Redemption Price
                plus accumulated and unpaid Distributions to the Redemption Date
                will become due and payable upon each such Trust  Security to be
                redeemed and that Distributions  thereon will cease to accrue on
                and after said date; and

                        (vi)    if the Preferred Trust  Securities are no longer
                held in  book-entry  only form,  the place and address where the
                Holders  shall  surrender   their  Preferred  Trust   Securities
                Certificates.

                                      -13-
<PAGE>

                (c)     The Trust  Securities  redeemed on each  Redemption Date
shall  be  redeemed  at  the  Redemption   Price  plus  accumulated  and  unpaid
Distributions to the Redemption Date with the proceeds from the  contemporaneous
redemption of Debentures.  Redemptions of the Trust Securities shall be made and
the Redemption Price plus accumulated and unpaid Distributions to the Redemption
Date shall be deemed payable on each Redemption Date only to the extent that the
Trust has funds immediately available in the Payment Account for such payment.

                (d)     If the Property  Trustee gives a notice of redemption in
respect of any Preferred Trust  Securities,  then, by 12:00 noon, New York time,
on the Redemption Date,  subject to Section 4.02(c),  the Property Trustee shall
irrevocably deposit with the Paying Agent funds sufficient to pay the applicable
Redemption  Price plus  accumulated and unpaid  Distributions  to the Redemption
Date and will give the Paying Agent  irrevocable  instructions  and authority to
pay the  Redemption  Price  plus  accumulated  and unpaid  Distributions  to the
Redemption  Date to the Holders  thereof upon surrender of their Preferred Trust
Securities    Certificates   and   Common   Trust    Securities    Certificates.
Notwithstanding  the  foregoing,  Distributions  on the  Trust  Securities  with
respect to  Distribution  Dates occurring on or prior to the Redemption Date for
any Trust  Securities  called for redemption  shall be payable to the Holders of
such Trust  Securities as they appear on the  Securities  Register for the Trust
Securities on the relevant record dates for the related  Distribution  Dates. If
notice of redemption shall have been given and funds deposited as required, then
on the Redemption Date, all rights of  Securityholders  holding Trust Securities
so called for redemption will cease, except the right of such Securityholders to
receive the Redemption  Price plus  accumulated and unpaid  Distributions to the
Redemption Date thereof, but without interest thereon, and such Trust Securities
will cease to be  Outstanding.  In the event that any  Redemption  Date is not a
Business  Day,  then payment of the  Redemption  Price payable on such date plus
accumulated  and unpaid  Distributions  to such Redemption Date shall be made on
the next  succeeding  day which is a Business  Day (and  without any interest or
other  payment in respect of any such delay),  except that, if such Business Day
falls in the next calendar  year,  such payment will be made on the  immediately
preceding  Business Day, in each case, with the same force and effect as if made
on such date. In the event that payment of the Redemption Price plus accumulated
and  unpaid  Distributions  in  respect  of  any  Trust  Securities  called  for
redemption is improperly withheld or refused and not paid either by the Trust or
by the Trust Securities  Guarantor  pursuant to the Trust Securities  Guarantee,
Distributions  on such Trust  Securities  will  continue to accrue,  at the then
applicable  rate, from the Redemption  Date originally  established by the Trust
for such Trust Securities to the date such Redemption Price plus accumulated and
unpaid  Distributions  is actually  paid, in which case the actual  payment date
will be deemed the date fixed for  redemption  for purposes of  calculating  the
Redemption Price plus accumulated and unpaid Distributions to such date.

                (e)     Payment of the Redemption  Price on the Trust Securities
shall be made to the Holders  thereof as they appear on the Securities  Register
for the  Trust  Securities  on the  relevant  record  date,  which  shall be one
Business Date prior to the relevant Redemption Date; provided,  however, that in
the event that the Preferred  Securities do not remain in book-entry-only  form,
the  relevant  record date shall be the date  fifteen days prior to the relevant
Redemption Date.

                (f)     Subject  to  Section  4.03(a),  if  less  than  all  the
Outstanding  Trust  Securities are to be redeemed on a Redemption Date, then the
aggregate  Liquidation  Amount  of  Trust  Securities  to be  redeemed  shall be
allocated to the Common Trust  Securities and to the Preferred Trust  Securities
in the  proportion  that  the  aggregate  Liquidation  Amount  of each is to the
aggregate Liquidation Amount of all outstanding Trust Securities. The particular
Preferred  Trust  Securities  to be redeemed  shall be selected not more than 60
days prior to the Redemption  Date by the Property  Trustee from the Outstanding
Preferred Trust Securities not previously called for redemption,  by such method
as the Property  Trustee shall deem fair and  appropriate  and which may provide
for the selection for redemption of portions (equal to $25 or integral multiples
thereof)  of  the  Liquidation   Amount  of  Preferred  Trust  Securities  of  a
denomination  larger than $25. The Property  Trustee shall  promptly  notify the
Transfer  Agent and  Registrar  in writing  of the  Preferred  Trust  Securities
selected  for  redemption  and, in the case of any  Preferred  Trust  Securities
selected for partial redemption,  the Liquidation Amount thereof to be redeemed.
For all purposes of this Trust Agreement, unless the context otherwise requires,
all provisions  relating to the redemption of Preferred Trust  Securities  shall
relate, in the case of any Preferred Trust Securities redeemed or to be redeemed
only in part,  to the  portion  of the  Liquidation  Amount of  Preferred  Trust
Securities which has been or is to be redeemed.

                Section 4.03.   Subordination  of  Common  Trust  Securities.(a)
Payment of Distributions  (including  Additional Amounts, if applicable) on, and
the Redemption Price plus accumulated and unpaid

                                      -14-
<PAGE>

Distributions  of, the Trust Securities,  as applicable,  shall be made pro rata
based on the Liquidation Amount of the Trust Securities; provided, however, that
if on any  Distribution  Date or Redemption  Date an Event of Default  resulting
from a Debenture  Event of Default  shall have  occurred and be  continuing,  no
payment of any Distribution (including Additional Amounts, if applicable) on, or
Redemption Price plus accumulated and unpaid  Distributions of, any Common Trust
Security,  and no other  payment on account of the  redemption,  liquidation  or
other  acquisition of Common Trust  Securities,  shall be made unless payment in
full in cash of all accumulated and unpaid Distributions  (including  Additional
Amounts,  if applicable) on all Outstanding  Preferred Trust  Securities for all
distribution  periods terminating on or prior thereto, or in the case of payment
of the  Redemption  Price plus  accumulated  and unpaid  Distributions  the full
amount of such Redemption Price plus accumulated and unpaid Distributions on all
Outstanding  Preferred Trust  Securities,  shall have been made or provided for,
and all funds  immediately  available  to the  Property  Trustee  shall first be
applied  to  the  payment  in  full  in  cash  of all  Distributions  (including
Additional  Amounts, if applicable) on, or Redemption Price plus accumulated and
unpaid Distributions of, Preferred Trust Securities then due and payable.

                (b)     In the case of the  occurrence  of any Event of  Default
resulting  from a  Debenture  Event of  Default,  the  Holder  of  Common  Trust
Securities  will be deemed to have  waived any right to act with  respect to any
such Event of Default  under this Trust  Agreement  until the effect of all such
Events of Default  with  respect to the  Preferred  Trust  Securities  have been
cured,  waived or otherwise  eliminated.  Until all such Events of Default under
this Trust Agreement with respect to the Preferred Trust Securities have been so
cured,  waived or otherwise  eliminated,  the  Property  Trustee  shall,  to the
fullest  extent  permitted  by law,  act solely on behalf of the  Holders of the
Preferred  Trust  Securities and not the Holder of the Common Trust  Securities,
and only the Holders of the Preferred  Trust  Securities  will have the right to
direct the Property Trustee to act on their behalf.

                Section 4.04.   Payment  Procedures.Payments  in  respect of the
Preferred Trust  Securities  shall be made by check mailed to the address of the
Person entitled thereto as such address shall appear on the Securities  Register
or, if the Preferred Trust Securities are held by a Securities Depository,  such
Distributions  shall  be  made  to  the  Securities  Depository  in  immediately
available  funds,  which shall  credit the  relevant  Persons'  accounts at such
Securities Depository on the applicable  Distribution Dates. Payments in respect
of the Common Trust Securities shall be made in such manner as shall be mutually
agreed  between  the  Property  Trustee  and  the  Holder  of the  Common  Trust
Securities.

                Section 4.05.   Tax  Returns  and   Reports.The   Administrative
Trustees shall prepare (or cause to be prepared), at the Depositor's expense and
direction,  and  file  all  United  States  Federal,  state  and  local  tax and
information  returns  and  reports  required to be filed by or in respect of the
Trust. In this regard,  the  Administrative  Trustees shall (a) prepare and file
(or cause to be prepared or filed) the  Internal  Revenue  Service Form 1041 (or
any successor form) required to be filed in respect of the Trust in each taxable
year of the Trust and (b)  prepare  and  furnish  (or cause to be  prepared  and
furnished),  to the extent required by law, to each  Securityholder  the related
Internal  Revenue  Service Form 1099 (or any successor form) and the information
required to be provided on such form. The Administrative  Trustees shall provide
the Depositor and the Property Trustee with a copy of all such returns,  reports
and  schedules  promptly  after such filing or  furnishing.  The Trustees  shall
comply with United States Federal  withholding  and backup  withholding tax laws
and  information  reporting   requirements  with  respect  to  any  payments  to
Securityholders under the Trust Securities.

                Section 4.06.   Payments under Indenture.

                Any amount  payable  hereunder to any Holder of Preferred  Trust
Securities  shall be  reduced by the amount of any  corresponding  payment  such
Holder  has  directly  received  pursuant  to  Section  808 of the  Subordinated
Indenture.

                [Section 4.07.  Remarketing.]

                [Add  remarketing and coupon reset  provisions if Securities are
issued in connection with Stock Purchase Units]

                                      -15-
<PAGE>

                                    ARTICLE V

                          Trust Securities Certificates

                Section 5.01.   Initial Ownership.Upon the creation of the Trust
by the  contribution  by the  Depositor  pursuant to Section  2.03 and until the
issuance  of the  Trust  Securities,  and at any  time  during  which  no  Trust
Securities are outstanding,  the Depositor shall be the sole beneficial owner of
the Trust.

                Section 5.02.   The  Trust  Securities   Certificates.The  Trust
Securities  Certificates  shall be issued in  denominations  of $25  Liquidation
Amount and integral multiples thereof.  The Trust Securities  Certificates shall
be executed on behalf of the Trust by manual or facsimile  signature of at least
one Administrative  Trustee and, if executed on behalf of the Trust by facsimile
signature, the Preferred Trust Securities shall be countersigned by the Transfer
Agent and  Registrar or its agent.  Trust  Securities  Certificates  bearing the
manual or facsimile  signatures of  individuals  who were, at the time when such
signatures  shall have been  affixed,  authorized to sign on behalf of the Trust
and,  in the case of  Preferred  Trust  Securities,  if  executed  by  facsimile
signature, countersigned by the Transfer Agent and Registrar or its agent, shall
be  validly  issued  and  entitled  to the  benefits  of this  Trust  Agreement,
notwithstanding  that such individuals or any of them shall have ceased to be so
authorized  prior to the delivery of such Trust  Securities  Certificates or did
not  hold  such  offices  at the  date  of  delivery  of such  Trust  Securities
Certificates.  A transferee  of a Trust  Securities  Certificate  shall become a
Securityholder,  and  shall  be  entitled  to  the  rights  and  subject  to the
obligations of a Securityholder  hereunder,  upon due registration of such Trust
Securities  Certificate  in such  transferee's  name pursuant to Section 5.04 or
5.12. Every Person, by virtue of having become a Securityholder, shall be deemed
to have  expressly  assented  and agreed to the terms of, and shall be bound by,
this  Trust  Agreement,  the Trust  Securities  Guarantee  and the  Subordinated
Indenture.

                Section 5.03.   Execution  and  Delivery  of  Trust   Securities
Certificates.On  the Closing Date, the  Administrative  Trustees,  or any one of
them, shall cause Trust  Securities  Certificates,  in an aggregate  Liquidation
Amount as provided in  Sections  2.04 and 2.05,  to be executed on behalf of the
Trust,  and in the case of  Preferred  Trust  Securities  executed by  facsimile
signature,  countersigned by the Transfer Agent and Registrar, or its agent, and
delivered to or upon the written order of the  Depositor  signed by its chairman
of the board,  any of its vice  presidents  or its  treasurer,  without  further
corporate action by the Depositor, in authorized denominations.

                Section 5.04.   Registration  of Transfer  and Exchange of Trust
Securities  Certificates.The Transfer Agent and Registrar shall keep or cause to
be kept,  at the  office  or agency  maintained  pursuant  to  Section  5.08,  a
Securities Register in which,  subject to such reasonable  regulations as it may
prescribe,  the Transfer Agent and Registrar shall provide for the  registration
of Preferred  Trust  Securities  Certificates  and the Common  Trust  Securities
Certificates (subject to Section 5.10 in the case of the Common Trust Securities
Certificates)  and  registration  of transfers and exchanges of Preferred  Trust
Securities  Certificates as herein  provided.  The Property Trustee shall be the
initial Transfer Agent and Registrar.

                Upon  surrender  for  registration  of transfer of any Preferred
Trust  Securities  Certificate  at the office or agency  maintained  pursuant to
Section 5.08, the Administrative  Trustees, or any one of them, shall execute on
behalf of the Trust by manual or facsimile  signature and, if executed on behalf
of the Trust by facsimile  signature,  cause the Transfer Agent and Registrar or
its agent to countersign and deliver,  in the name of the designated  transferee
or  transferees,  one or more new Preferred  Trust  Securities  Certificates  in
authorized  denominations of a like aggregate  Liquidation Amount. At the option
of a Holder,  Preferred Trust Securities Certificates may be exchanged for other
Preferred Trust Securities Certificates in authorized  denominations of the same
class and of a like aggregate Liquidation Amount upon surrender of the Preferred
Trust Securities Certificates to be exchanged at the office or agency maintained
pursuant to Section 5.08.

                Every  Preferred  Trust  Securities   Certificate  presented  or
surrendered  for  registration of transfer or exchange shall be accompanied by a
written  instrument  of  transfer  in form  satisfactory  to the  Administrative
Trustees and the Transfer  Agent and  Registrar  duly  executed by the Holder or
such  Holder's  attorney  duly  authorized  in  writing.  Each  Preferred  Trust
Securities  Certificate  surrendered  for  registration  of transfer or exchange
shall be  canceled  and  subsequently  disposed  of by the  Transfer  Agent  and
Registrar in accordance with its

                                      -16-
<PAGE>

customary procedures. The Trust shall not be required to (i) issue, register the
transfer  of,  or  exchange  any  Preferred  Trust  Securities  during  a period
beginning at the opening of business 15 calendar  days before the day of mailing
of a  notice  of  redemption  of  any  Preferred  Trust  Securities  called  for
redemption  and ending at the close of  business  on the day of such  mailing or
(ii)  register the transfer of or exchange any  Preferred  Trust  Securities  so
selected for redemption,  in whole or in part, except the unredeemed  portion of
any such Preferred Trust Securities being redeemed in part.

                No service charge shall be made for any registration of transfer
or exchange of Preferred Trust Securities  Certificates,  but the Transfer Agent
and  Registrar  may  require  payment  of a sum  sufficient  to cover any tax or
governmental  charge  that may be imposed in  connection  with any  transfer  or
exchange of Preferred Trust Securities Certificates.

                Section 5.05.   Mutilated,   Destroyed,  Lost  or  Stolen  Trust
Securities  Certificates.If (a) any mutilated Trust Securities Certificate shall
be surrendered to the Transfer Agent and Registrar, or if the Transfer Agent and
Registrar shall receive evidence to its satisfaction of the destruction, loss or
theft of any Trust  Securities  Certificate  and (b) there shall be delivered to
the Transfer Agent and Registrar and the  Administrative  Trustees such security
or indemnity  as may be required by them to save each of them and the  Depositor
harmless,  then in the absence of notice that such Trust Securities  Certificate
shall have been acquired by a bona fide purchaser,  the Administrative Trustees,
or any one of them,  on behalf of the Trust shall execute by manual or facsimile
signature and, if execution on behalf of the Trust is by facsimile signature, in
the case of Preferred Trust  Securities  shall also cause the Transfer Agent and
Registrar or its agent to countersign;  and the Administrative  Trustees, or any
one of them, and, if executed on behalf of the Trust by facsimile signature,  in
the case of Preferred  Trust  Securities the Transfer Agent and Registrar or its
agent, shall make available for delivery, in exchange for or in lieu of any such
mutilated,  destroyed, lost or stolen Trust Securities Certificate,  a new Trust
Securities Certificate of like class, tenor and denomination. In connection with
the issuance of any new Trust  Securities  Certificate  under this Section,  the
Administrative  Trustees or the  Transfer  Agent and  Registrar  may require the
payment of a sum sufficient to cover any tax or other  governmental  charge that
may  be  imposed  in  connection  therewith.   Any  duplicate  Trust  Securities
Certificate issued pursuant to this Section shall constitute conclusive evidence
of an undivided  beneficial  interest in the Trust  Property,  as if  originally
issued,   whether  or  not  the  lost,  stolen  or  destroyed  Trust  Securities
Certificate shall be found at any time.

                The  provisions of this Section are exclusive and shall preclude
(to the  extent  lawful)  all other  rights  and  remedies  with  respect to the
replacement   of  mutilated,   destroyed,   lost  or  stolen  Trust   Securities
Certificates.

                Section 5.06.   Persons  Deemed   Securityholders.Prior  to  due
presentation of a Trust Securities Certificate for registration of transfer, the
Trustees and the Transfer Agent and Registrar, and any agent of the Trustees and
the Transfer Agent and Registrar, shall be entitled to treat the Person in whose
name any Trust  Securities  Certificate  shall be registered  in the  Securities
Register as the owner of such Trust  Securities  Certificate  for the purpose of
receiving  Distributions and for all other purposes whatsoever,  and neither the
Trustees nor the Transfer  Agent and  Registrar  shall be bound by any notice to
the contrary.

                Section 5.07.   Access  to List of  Securityholders'  Names  and
Addresses.The Administrative Trustees shall furnish or cause to be furnished (x)
to the  Depositor or the Property  Trustee,  within 15 days after receipt by any
Administrative  Trustee of a request therefor from the Depositor or the Property
Trustee,  as the  case  may be,  in  writing  and (y) to the  Property  Trustee,
[quarterly  not more than 5 days after each  ________,  ________,  ________  and
________ of each year beginning  ________]  (unless the Property  Trustee is the
Transfer  Agent and  Registrar),  a list,  in such form as the  Depositor or the
Property  Trustee may  reasonably  require,  of the names and  addresses  of the
Securityholders  as of a recent date.  Each Holder,  by receiving  and holding a
Trust Securities Certificate,  shall be deemed to have agreed not to hold either
the  Depositor or any Trustees  accountable  by reason of the  disclosure of its
name and  address,  regardless  of the source  from which such  information  was
derived.

                Section 5.08.   Maintenance  of Office or  Agency.The  Depositor
shall or shall cause the Transfer Agent and Registrar to maintain in The City of
New York, an office or offices or agency or agencies where

                                      -17-
<PAGE>

Preferred Trust  Securities  Certificates may be surrendered for registration of
transfer or exchange and where notices and demands to or upon the Depositor, the
Trust or the Transfer Agent and Registrar in respect of the Trust Securities and
the  Trust  Agreement  may  be  served.  The  Depositor   initially   designates
______________________________,  ____________________, New York, New York ______
as its principal  office for such purposes.  The Depositor  shall or shall cause
the Transfer Agent and Registrar to give prompt written notice to the Depositor,
The  Trust  Securities  Guarantor,  the  Property  Trustee,  the  Administrative
Trustees  and to  the  Securityholders  of any  change  in the  location  of the
Securities  Register or any such office or agency.  If at any time the Depositor
shall  fail to  maintain  such  office or agency or shall  fail to  furnish  the
Property  Trustee  with the address  thereof,  such  presentations,  surrenders,
notices and demands may be made or served at the  Corporate  Trust Office of the
Property  Trustee,  and the Depositor  hereby appoints the Property  Trustee its
agent and the agent of the Trust to receive all such presentations,  surrenders,
notices and demands.

                Section 5.09.   Appointment  of Paying  Agent.The  Paying  Agent
shall make Distributions to  Securityholders  from the Payment Account and shall
report the amounts of such Distributions to the Administrative  Trustees and the
Property  Trustee.  Any Paying Agent shall have the revocable  power to withdraw
funds from the  Payment  Account  for the  purpose  of making the  Distributions
referred  to  above.  The  Property  Trustee  shall be  entitled  to rely upon a
certificate of the Paying Agent stating in effect the amount of such funds so to
be withdrawn  and that same are to be applied by the Paying Agent in  accordance
with this  Section  5.09.  The  Administrative  Trustees  or any one of them may
revoke such power and remove the Paying Agent if the  Administrative  Trustee or
any one of them  determines in its sole  discretion  that the Paying Agent shall
have  failed to  perform  its  obligations  under this  Trust  Agreement  in any
material respect.  The Paying Agent shall initially be the Property Trustee, and
it may  choose any  co-paying  agent that is  acceptable  to the  Administrative
Trustees,  the Debenture  Issuer,  and the Depositor.  The Paying Agent shall be
permitted to resign upon 30 days' written notice to the Administrative Trustees,
the Property  Trustee,  the Debenture Issuer and the Depositor.  In the event of
the  removal  or  resignation  of the  Property  Trustee  as Paying  Agent,  the
Administrative  Trustees shall appoint a successor that is reasonably acceptable
to the Property Trustee, the Debenture Issuer and the Depositor to act as Paying
Agent (which shall be a bank,  trust company or an Affiliate of the  Depositor).
The  Administrative  Trustees  shall cause such  successor  Paying  Agent or any
additional Paying Agent appointed by the Administrative  Trustees to execute and
deliver to the Trustees an  instrument in which such  successor  Paying Agent or
additional Paying Agent shall agree with the Trustees that as Paying Agent, such
successor  Paying Agent or  additional  Paying Agent will hold all sums, if any,
held by it for  payment to the  Securityholders  in trust for the benefit of the
Securityholders  entitled  thereto  until  such  sums  shall  be  paid  to  such
Securityholders.  The  Paying  Agent  shall  return all  unclaimed  funds to the
Property  Trustee and upon  resignation or removal of a Paying Agent such Paying
Agent shall also return all funds in its possession to the Property Trustee. The
provisions  of  Sections  8.01,  8.03 and 8.06 shall  apply to the Paying  Agent
appointed  hereunder,  and the Paying  Agent shall be bound by the  requirements
with  respect  to  paying  agents of  securities  issued  pursuant  to the Trust
Indenture  Act. Any reference in this Trust  Agreement to the Paying Agent shall
include any co-paying agent unless the context requires otherwise.

                Section 5.10.   Ownership   of  Common   Trust   Securities   by
Depositor.On  the Closing Date,  the Depositor  shall  acquire,  and  thereafter
retain,  beneficial and record ownership of the Common Trust Securities.  Except
in connection with a transaction involving the Depositor that would be permitted
under Article Eleven of the Subordinated  Indenture,  any attempted  transfer of
the Common Trust  Securities  shall, to the fullest extent  permitted by law, be
void.  The  Administrative  Trustees  shall cause each Common  Trust  Securities
Certificate   issued  to  the  Depositor  to  contain  a  legend  stating  "THIS
CERTIFICATE  IS NOT  TRANSFERABLE  EXCEPT AS PROVIDED  IN THE TRUST  AGREEMENT."
Common Trust  Securities  Certificates  representing the Common Trust Securities
shall be issued to the  Depositor  in the form of a  typewritten  or  definitive
Common Trust Securities Certificate.

                Section 5.11.   Definitive     Preferred    Trust     Securities
Certificates.Definitive   Preferred  Trust  Securities   Certificates  shall  be
typewritten,  printed,  lithographed or engraved or may be produced in any other
manner as is reasonably acceptable to the Administrative  Trustees, as evidenced
by the execution thereof by the Administrative Trustees, or any one of them. The
Administrative  Trustees,  or any one of them,  shall  execute  on behalf of the
Trust by manual or facsimile signature,  and, if executed by facsimile on behalf
of the Trust,  countersigned  by the Transfer  Agent and Registrar or its agent,
the Definitive Preferred Trust Securities  Certificates  initially in accordance
with the instructions of the Depositor  complying with Section 5.03. Neither the
Transfer

                                      -18-
<PAGE>

Agent and Registrar nor any of the  Administrative  Trustees shall be liable for
any delay in delivery of such  instructions  and may  conclusively  rely on, and
shall be protected in relying on, such instructions.

                Section 5.12.   Book-Entry  System.Some  or all of the Preferred
Trust  Securities  may be  registered  in the  name of a  securities  depository
("Securities  Depository") or a nominee therefor, and held in the custody of the
Securities   Depository  or  a  custodian  thereof.  In  such  event,  a  single
certificate  will be issued and delivered to the Securities  Depository for such
Preferred  Trust  Securities,  in which case the Owners of such Preferred  Trust
Securities  will not receive  physical  delivery of  certificates  for Preferred
Trust Securities.  Unless Definitive Preferred Trust Securities  Certificate are
delivered to the Owners of Preferred Trust  Securities as provided  herein,  all
transfers of beneficial  ownership  interests in such Preferred Trust Securities
will be made by  book-entry  only,  and no investor  or other party  purchasing,
selling or otherwise  transferring  beneficial  ownership of the Preferred Trust
Securities  will receive,  hold or deliver any  certificate  for Preferred Trust
Securities.  The Depositor, the Trustees and the Paying Agent will recognize the
Securities Depository or its nominee as the Holder of Preferred Trust Securities
for all  purposes,  including  payment,  notices  and  voting  and shall have no
payment, notice or communication obligations to the Owners.

                The Administrative Trustees, at the direction and expense of the
Depositor,  may from time to time appoint a Securities Depository or a successor
thereto and enter into a letter of  representations or other agreement with such
Securities  Depository  to establish  procedures  with respect to the  Preferred
Trust Securities. Any Securities Depository shall be a Clearing Agency.

                The  Depositor  and the Trustees  covenant and agree to meet the
requirements of a Securities  Depository for the Preferred Trust Securities with
respect  to   required   notices   and  other   provisions   of  the  letter  of
representations  or  agreement  executed  with respect to such  Preferred  Trust
Securities.

                Whenever  the  beneficial   ownership  of  any  Preferred  Trust
Securities  is  determined  through the books of a  Securities  Depository,  the
requirements in this Trust Agreement of holding, delivering or transferring such
Preferred  Trust  Securities  shall be  deemed  modified  with  respect  to such
Preferred Trust Securities to meet the requirements of the Securities Depository
with respect to actions of the Trustees, the Depositor and the Paying Agent. Any
provisions  hereof  permitting  or requiring  delivery of such  Preferred  Trust
Securities  shall,  while such  Preferred  Trust  Securities are in a book-entry
system,  be satisfied by the notation on the books of the Securities  Depository
in accordance with applicable state law.

                Definitive  Preferred  Trust  Securities  Certificates  will  be
issued  and  delivered  to the  Owners of such  Preferred  Trust  Securities  in
accordance with  registration  instructions of the Securities  Depository if (a)
the Securities Depository is no longer willing or able to properly discharge its
responsibilities  with  respect  to the  Preferred  Trust  Securities,  and  the
Depositor  does not appoint a  successor  Securities  Depository  within 90 days
after  such  discontinuance,  or (b) the  Depositor  at its option  advises  the
Trustees in writing that it elects to terminate the  book-entry  system  through
the Securities Depository.

                Section 5.13.   Rights of Securityholders.The legal title to the
Trust Property is vested exclusively in the Property Trustee (in its capacity as
such) in accordance  with Section 2.09, and the  Securityholders  shall not have
any right or title  therein other than an undivided  beneficial  interest in the
assets of the Trust  conferred by their Trust  Securities and they shall have no
right to call for any  partition or division of  property,  profits or rights of
the Trust  except as described  below.  The Trust  Securities  shall be personal
property giving only the rights specifically set forth therein and in this Trust
Agreement.  The Preferred Trust  Securities  shall have no preemptive or similar
rights and when issued and delivered to  Securityholders  against payment of the
purchase  price  therefor  will  be  fully  paid  and  nonassessable   undivided
beneficial  interests in the assets of the Trust.  The Holders of the  Preferred
Trust  Securities,  in their  capacities as such,  shall be entitled to the same
limitation  of  personal   liability   extended  to   stockholders   of  private
corporations for profit organized under the General Corporation Law of the State
of Delaware.

                Section 5.14.   Cancellation by Transfer Agent and Registrar.All
Trust Securities Certificates surrendered for payment, redemption,  registration
of transfer or exchange shall, if surrendered to any Person other

                                      -19-
<PAGE>

than the Transfer  Agent and  Registrar,  be delivered to the Transfer Agent and
Registrar and, if not theretofore  canceled,  shall be promptly  canceled by the
Transfer Agent and Registrar.  No Trust Securities  Certificates shall be issued
in lieu of or in  exchange  for any Trust  Securities  Certificates  canceled as
provided in this Section, except as expressly permitted by this Trust Agreement.
All  canceled  Trust  Securities  Certificates  held by the  Transfer  Agent and
Registrar shall be disposed of in accordance with its customary procedures.

                                   ARTICLE VI

                    Acts of Securityholders; Meetings; Voting

                Section 6.01.   Limitations  on  Voting   Rights.(a)  Except  as
provided in this Section  6.01,  Section 8.10 and Section 10.03 and as otherwise
required by law, no Holder of Preferred Trust Securities shall have any right to
vote or in any  manner  otherwise  control  the  administration,  operation  and
management  of the Trust or the  obligations  of the parties  hereto,  nor shall
anything  herein set forth,  or contained  in the terms of the Trust  Securities
Certificates,  be construed so as to constitute the Securityholders from time to
time as partners or members of an association.  If the Property Trustee fails to
enforce its rights under the  Debentures  or this Trust  Agreement,  a Holder of
Preferred  Trust  Securities  may,  to the  fullest  extent  permitted  by  law,
institute a legal  proceeding  directly  against the  Depositor or the Debenture
Issuer to enforce the Property  Trustee's  rights under the  Debentures  or this
Trust  Agreement  without first  instituting  any legal  proceeding  against the
Property Trustee or any other Person. Notwithstanding the foregoing, a Holder of
Preferred Trust  Securities may directly  institute a proceeding for enforcement
of payment to such Holder of principal of or interest on the Debentures having a
principal  amount equal to the aggregate  liquidation  preference  amount of the
Preferred Trust Securities of such Holder on or after the due dates specified in
the Debentures.

                (b)     So  long as any  Debentures  are  held  by the  Property
Trustee, the Property Trustee shall not (i) direct the time, method and place of
conducting any proceeding for any remedy available to the Debenture Trustee,  or
executing any trust or power conferred on the Debenture  Trustee with respect to
such Debentures, (ii) waive any past default which is waivable under Section 813
of the  Subordinated  Indenture,  (iii) exercise any right to rescind or annul a
declaration that the principal of all the Debentures shall be due and payable or
(iv) consent to any amendment,  modification or termination of the  Subordinated
Indenture or the Debentures,  where such consent shall be required,  without, in
each case, obtaining the prior approval of the Holders of at least a majority of
the aggregate  Liquidation Amount of the Outstanding Preferred Trust Securities;
provided,  however, that where a consent under the Subordinated  Indenture would
require the  consent of each  Holder of  Debentures  affected  thereby,  no such
consent shall be given by the Property Trustee without the prior written consent
of each Holder of Preferred  Trust  Securities.  The Property  Trustee shall not
revoke any action  previously  authorized or approved by a vote of the Preferred
Trust  Securities,  except  pursuant to a subsequent vote of the Preferred Trust
Securities. The Property Trustee shall notify all Holders of the Preferred Trust
Securities of any notice of default  received  from the  Debenture  Trustee with
respect to the Debentures.  In addition to obtaining the foregoing  approvals of
the  Holders  of the  Preferred  Trust  Securities,  prior to taking  any of the
foregoing actions,  the Property Trustee shall, at the expense of the Depositor,
obtain an Opinion of Counsel experienced in such matters to the effect that such
action will not cause the Trust to be classified other than as a "grantor trust"
for United States Federal income tax purposes.

                (c)     If  any  proposed   amendment  to  the  Trust  Agreement
provides for, or the Trustees  otherwise propose to effect,  (i) any action that
would materially  adversely affect the powers,  preferences or special rights of
the  Preferred  Trust  Securities,  whether  by way of  amendment  to the  Trust
Agreement or otherwise,  or (ii) the  dissolution,  winding-up or termination of
the Trust,  other than pursuant to the terms of this Trust  Agreement,  then the
Holders of Outstanding Preferred Trust Securities as a class will be entitled to
vote on such  amendment or proposal and such  amendment or proposal shall not be
effective  except  with the  approval  of the  Holders of at least  majority  in
aggregate Liquidation Amount of the Outstanding Preferred Trust Securities.

                (d)     The  Holders of a majority  in  Outstanding  Liquidation
Amount of the  Preferred  Trust  Securities  shall  have the right to direct the
time,  method and place of conducting any proceeding for any remedy available to
the Property  Trustee in respect of this Trust  Agreement or the  Debentures  or
exercising  any trust or power  conferred  upon the Property  Trustee under this
Trust Agreement;  provided, however, that, subject to Section 8.01, the Property
Trustee  shall have the right to decline  to follow  any such  direction  if the
Property Trustee being

                                      -20-
<PAGE>

advised by counsel  determines  that the action so directed  may not lawfully be
taken, or if the Property Trustee in good faith shall, by a Responsible  Officer
or Officers of the Property Trustee,  determine that the proceedings so directed
would be illegal or involve it in personal liability or be unduly prejudicial to
the rights of Holders not party to such  direction,  and  provided  further that
nothing in this Trust Agreement  shall impair the right of the Property  Trustee
to take any  action  deemed  proper  by the  Property  Trustee  and which is not
inconsistent with such direction.

                Section 6.02.   Notice of Meetings.Notice of all meetings of the
Holders of Preferred Trust  Securities,  stating the time,  place and purpose of
the meeting,  shall be given by the Administrative  Trustees pursuant to Section
10.08 to each Holder of a Preferred Trust Security,  at such Holder's registered
address,  at least 15 days and not more than 90 days before the meeting.  At any
such  meeting,  any business  properly  before the meeting may be so  considered
whether or not stated in the notice of the meeting. Any adjourned meeting may be
held as adjourned without further notice.

                Section 6.03.   Meetings   of   Holders   of   Preferred   Trust
Securities.No  annual  meeting of  Securityholders  is required to be held.  The
Administrative  Trustees,  however,  shall call a meeting of  Securityholders to
vote on any matter  upon the  written  request of the Holders of 25% of the then
Outstanding  Preferred Trust Securities (based upon their aggregate  Liquidation
Amount) and the Administrative Trustees or the Property Trustee may, at any time
in their discretion,  call a meeting of Holders of Preferred Trust Securities to
vote on any matters as to which the Holders of Preferred  Trust  Securities  are
entitled to vote.

                Holders of at least a majority of the then Outstanding Preferred
Trust Securities  (based upon their aggregate  Liquidation  Amount),  present in
person or by proxy, shall constitute a quorum at any meeting of Securityholders.

                If a quorum is present at a meeting,  an affirmative vote by the
Holders of Preferred Trust Securities present, in person or by proxy, holding at
least a majority of the then Outstanding  Preferred Trust Securities (based upon
their aggregate  Liquidation  Amount) present,  either in person or by proxy, at
such meeting shall  constitute  the action of the  Securityholders,  unless this
Trust Agreement requires a greater number of affirmative votes.

                Section 6.04.   Voting  Rights.Securityholders shall be entitled
to one vote for each $25 of Liquidation  Amount represented by their Outstanding
Trust Securities in respect of any matter as to which such  Securityholders  are
entitled to vote.

                Section 6.05.   Proxies,  etc.At any meeting of Securityholders,
any Securityholder  entitled to vote thereat may vote by proxy, provided that no
proxy  shall be voted at any  meeting  unless it shall have been  placed on file
with the  Administrative  Trustees,  or with such other  officer or agent of the
Trust as the  Administrative  Trustees may direct, for verification prior to the
time at which such vote shall be taken. Only  Securityholders of record shall be
entitled to vote. When Trust Securities are held jointly by several Persons, any
one of them may vote at any  meeting  in person or by proxy in  respect  of such
Trust Securities,  but if more than one of them shall be present at such meeting
in  person or by proxy,  and such  joint  owners  or their  proxies  so  present
disagree  as to any vote to be cast,  such vote shall not be received in respect
of such Trust Securities. A proxy purporting to be executed by or on behalf of a
Securityholder  shall  be  deemed  valid  unless  challenged  at or prior to its
exercise, or, if earlier, until eleven months after it is sent and the burden of
proving  invalidity  shall rest on the challenger.  No proxy shall be valid more
than three years after its date of execution.

                Section 6.06.   Securityholder  Action  by  Written  Consent.Any
action which may be taken by Securityholders at a meeting may be taken without a
meeting and without  prior notice if  Securityholders  holding a majority of all
Outstanding Trust Securities entitled to vote in respect of such action (or such
larger proportion  thereof as shall be required by any express provision of this
Trust  Agreement)  shall  consent  to the action in  writing  (based  upon their
aggregate Liquidation Amount).

                Section 6.07.   Record  Date for Voting  and Other  Purposes.For
the purposes of determining  the  Securityholders  who are entitled to notice of
and to vote at any meeting or to vote by written consent without prior

                                      -21-
<PAGE>

notice, or to participate in any Distribution on the Trust Securities in respect
of which a record date is not otherwise provided for in this Trust Agreement, or
for the purpose of any other action, the  Administrative  Trustees may from time
to time fix a date,  not more than 90 days  prior to the date of any  meeting of
Securityholders  or the payment of Distribution or other action including action
to be taken by  written  consent,  as the case may be, as a record  date for the
determination  of the  identity  of  the  Securityholders  of  record  for  such
purposes.

                Section 6.08.   Acts  of  Securityholders.Any  request,  demand,
authorization,  direction,  notice,  consent, waiver or other action provided or
permitted by this Trust Agreement to be given, made or taken by  Securityholders
may be embodied in and  evidenced by one or more  instruments  of  substantially
similar  tenor  signed by such  Securityholders  in  person or by an agent  duly
appointed in writing;  and, except as otherwise  expressly provided herein, such
action shall become  effective when such instrument or instruments are delivered
to the Administrative  Trustees.  Such instrument or instruments (and the action
embodied therein and evidenced  thereby) are herein sometimes referred to as the
"Act" of the  Securityholders  signing such instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent shall
be  sufficient  for any purpose of this Trust  Agreement and (subject to Section
8.01)  conclusive  in favor of the Trustees,  if made in the manner  provided in
this Section.

                The fact and date of the  execution  by any  Person  of any such
instrument  or  writing  may be proved  by the  affidavit  of a witness  of such
execution or by a certificate of a notary public or other officer  authorized by
law to take  acknowledgements  of deeds,  certifying that the individual signing
such instrument or writing acknowledged to him the execution thereof. Where such
execution  is by a  signer  acting  in a  capacity  other  than  his  individual
capacity,  such certificate or affidavit shall also constitute  sufficient proof
of his authority.  The fact and date of the execution of any such  instrument or
writing,  or the authority of the Person  executing the same, may also be proved
in any other manner which any Trustee deems sufficient.

                The ownership of Preferred Trust  Securities  shall be proved by
the Securities Register.

                Any request, demand, authorization,  direction, notice, consent,
waiver or other Act of the Securityholder of any Trust Security shall bind every
future Securityholder of the same Trust Security and the Securityholder of every
Trust Security issued upon the  registration of transfer  thereof or in exchange
therefor or in lieu thereof in respect of anything done,  omitted or suffered to
be done by the  Trustees  or the  Trust  in  reliance  thereon,  whether  or not
notation of such action is made upon such Trust Security.

                Without  limiting  the  foregoing,  a  Securityholder   entitled
hereunder  to take any action  hereunder  with  regard to any  particular  Trust
Security may do so with regard to all or any part of the  Liquidation  Amount of
such Trust Security or by one or more duly appointed agents each of which may do
so  pursuant  to  such  appointment  with  regard  to all or any  part  of  such
Liquidation Amount.

                If any dispute shall arise between or among the  Securityholders
and the  Administrative  Trustees with respect to the authenticity,  validity or
binding nature of any request, demand, authorization, direction, consent, waiver
or other Act of such  Securityholder  or Trustee under this Article VI, then the
determination  of such matter by the Property  Trustee shall be conclusive  with
respect to such matter.

                Section 6.09.   Inspection  of  Records.Subject  to Section 5.07
concerning access to the list of Securityholders,  upon reasonable notice to the
Administrative Trustees and the Property Trustee, the other records of the Trust
shall be open to inspection by Securityholders  during normal business hours for
any  purpose  reasonably  related  to  such   Securityholder's   interest  as  a
Securityholder.

                                      -22-
<PAGE>

                                   ARTICLE VII

                 Representations and Warranties of the Property
                        Trustee and the Delaware Trustee

                Section 7.01.   Property  Trustee.The  Property  Trustee and any
successor Property Trustee hereby represents and warrants for the benefit of the
Depositor and the Securityholders that:

                (a)     the  Property  Trustee is a banking  corporation,  trust
company or national association duly incorporated,  validly existing and in good
standing under the laws of the State of New York;

                (b)     the Property Trustee has full corporate power, authority
and legal right to execute, deliver and perform its obligations under this Trust
Agreement  and has  taken  all  necessary  action to  authorize  the  execution,
delivery and performance by it of this Trust Agreement;

                (c)     this Trust Agreement has been duly authorized,  executed
and  delivered by the  Property  Trustee and  constitutes  the valid and legally
binding agreement of the Property Trustee  enforceable  against it in accordance
with  its  terms,  subject  to  bankruptcy,   insolvency,  fraudulent  transfer,
reorganization, moratorium and similar laws of general applicability relating to
or affecting creditors' rights and to general equity principles;

                (d)     the execution,  delivery and performance by the Property
Trustee of this Trust Agreement will not violate,  conflict with or constitute a
breach of the Property Trustee's charter or by-laws; and

                (e)     the execution,  delivery and performance by the Property
Trustee of this Trust Agreement does not require the consent or approval of, the
giving of notice  to, or the  registration  with any  Federal  or state  banking
authority having jurisdiction over its trust powers.

                Section 7.02.   Delaware  Trustee.The  Delaware  Trustee and any
successor  Delaware  Trustee  represents  and  warrants  for the  benefit of the
Depositor and the Securityholders that:

                (a)     the  Delaware  Trustee is a banking  corporation,  trust
company or national association duly incorporated,  validly existing and in good
standing under the laws of the State of Delaware;

                (b)     the Delaware Trustee has full corporate power, authority
and legal right to execute, deliver and perform its obligations under this Trust
Agreement  and has  taken  all  necessary  action to  authorize  the  execution,
delivery and performance by it of this Trust Agreement;

                (c)     this Trust Agreement has been duly authorized,  executed
and  delivered by the  Delaware  Trustee and  constitutes  the valid and legally
binding agreement of the Delaware Trustee  enforceable  against it in accordance
with  its  terms,  subject  to  bankruptcy,   insolvency,  fraudulent  transfer,
reorganization, moratorium and similar laws of general applicability relating to
or affecting creditors' rights and to general equity principles;

                (d)     the  Delaware  Trustee  is a  natural  person  who  is a
resident of the State of Delaware or, if not a natural  person,  an entity which
has its  principal  place of business  in the State of  Delaware  and, in either
case, a Person that satisfies for the Trust the  requirements of Section 3807 of
the Delaware Statutory Trust Act;

                (e)     the execution,  delivery and performance by the Delaware
Trustee of this Trust  Agreement  will not (i)  violate the  Delaware  Trustee's
charter or by-laws or (ii) violate any law,  governmental  rule or regulation of
the State of  Delaware  governing  the banking or trust  powers of the  Delaware
Trustee or any order, judgment or decree applicable to the Delaware Trustee; and

                (f)     the execution,  delivery and performance by the Delaware
Trustee of this Trust Agreement does not require the consent or approval of, the
giving of notice  to, or the  registration  with any  Federal  or state  banking
authority having jurisdiction over its banking or trust powers.

                                      -23-
<PAGE>

                                  ARTICLE VIII

                                  The Trustees

                Section 8.01.   Certain  Duties  and   Responsibilities.(a)  The
rights,  immunities,  duties  and  responsibilities  of the  Trustees  shall  be
restricted to those set forth in the express  provisions of this Trust Agreement
and, in the case of the  Property  Trustee,  as provided in the Trust  Indenture
Act,  and no  implied  covenants  or  obligations  shall be read into this Trust
Agreement  against any of the  Trustees.  For  purposes  of Sections  315(a) and
315(c) of the Trust  Indenture  act, the term  "default" is hereby defined as an
Event of Default  which has  occurred  and is  continuing.  Notwithstanding  the
foregoing,  no  provision  of this  Trust  Agreement  shall  require  any of the
Trustees  to  expend  or risk its own funds or  otherwise  incur  any  financial
liability in the performance of any of its duties hereunder,  or in the exercise
of any of its  rights  or  powers,  if it  shall  have  reasonable  grounds  for
believing that repayment of such funds or adequate  indemnity  against such risk
or liability is not reasonably  assured to it. Whether or not therein  expressly
so provided,  every provision of this Trust Agreement relating to the conduct or
affecting  the  liability of or affording  protection  to the Trustees  shall be
subject to the  provisions  of this  Section.  To the extent that,  at law or in
equity,  an Administrative  Trustee has duties (including  fiduciary duties) and
liabilities  relating  thereto  to the  Trust  or to the  Securityholders,  such
Administrative Trustee shall not be liable to the Trust or to any Securityholder
for  such  Trustee's  good  faith  reliance  on the  provisions  of  this  Trust
Agreement.  The  provisions  of this Trust  Agreement,  to the extent  that they
restrict the duties and  liabilities of the  Administrative  Trustees  otherwise
existing  at  law  or  in  equity,   are  agreed  by  the   Depositor   and  the
Securityholders   to  replace   such  other  duties  and   liabilities   of  the
Administrative Trustees.

                (b)     All payments  made by the  Property  Trustee or a Paying
Agent in respect of the Trust  Securities shall be made only from the income and
proceeds  from the Trust  Property  and only to the extent  that there  shall be
sufficient  income or proceeds  from the Trust  Property to enable the  Property
Trustee or Paying Agent to make  payments in  accordance  with the terms hereof.
Each Securityholder,  by its acceptance of a Trust Security, agrees that it will
look  solely to the income and  proceeds  from the Trust  Property to the extent
available for  distribution  to it as herein  provided and that the Trustees are
not personally liable to it for any amount distributable in respect of any Trust
Security  or for any other  liability  in  respect of any Trust  Security.  This
Section 8.01(b) does not limit the liability of the Trustees expressly set forth
elsewhere in this Trust  Agreement or, in the case of the Property  Trustee,  in
the Trust Indenture Act.

                (c)     All duties and  responsibilities of the Property Trustee
contained in this Trust Agreement are subject to the following:

                        (i)     the Property Trustee's sole duty with respect to
                the custody, safe keeping and physical preservation of the Trust
                Property shall be to deal with such property in a similar manner
                as the Property  Trustee deals with similar property for its own
                account,   subject   to  the   protections,   exculpations   and
                limitations on liability  afforded to the Property Trustee under
                this Trust  Agreement,  the Trust  Indenture  Act,  the Delaware
                Statutory  Trust Act and,  to the extent  applicable,  Rule 3a-7
                under  the   Investment   Company  Act  or  any  successor  rule
                thereunder;

                        (ii)    the  Property  Trustee  shall  have  no  duty or
                liability  for  or  with  respect  to  the  value,  genuineness,
                existence or sufficiency of the Trust Property or the payment of
                any  taxes  or  assessments  levied  thereon  or  in  connection
                therewith;

                        (iii)   the Property Trustee shall not be liable for any
                interest on any money  received by it except as it may otherwise
                agree with the  Depositor.  Money held by the  Property  Trustee
                need not be  segregated  from  other  funds held by it except in
                relation  to the Payment  Account  established  by the  Property
                Trustee  pursuant  to this  Trust  Agreement  and  except to the
                extent otherwise required by law; and

                        (iv)    the Property  Trustee  shall not be  responsible
                for monitoring the compliance by the Administrative  Trustees or
                the  Depositor  with their  respective  duties  under this Trust

                                      -24-
<PAGE>

                Agreement,  nor shall the  Property  Trustee  be liable  for the
                default or  misconduct  of the  Administrative  Trustees  or the
                Depositor.

                (d)     The Administrative Trustees shall not be responsible for
monitoring  the  compliance by the other  Trustees or the  Depositor  with their
respective  duties  under this  Trust  Agreement,  nor shall any  Administrative
Trustee be liable  for the  default or  misconduct  of any other  Administrative
Trustee, the other Trustees or the Depositor.

                Section 8.02.   Notice of  Defaults.(a)  Within ninety (90) days
after the occurrence of any default known to the Property Trustee,  the Property
Trustee  shall  transmit,  in the manner and to the extent  provided  in Section
10.08, notice of such default to the Securityholders,  the Depositor,  the Trust
Securities Guarantor and the Administrative Trustees,  unless such default shall
have been  cured or waived  before  the giving of such  notice,  provided  that,
except in the case of a payment default, the Property Trustee shall be protected
in  withholding  such  notice  if and so long as the  board  of  directors,  the
executive  committee,  or a trust committee of directors or Responsible Officers
of the Property  Trustee in good faith  determines  that the withholding of such
notice is in the interests of the Holders.  For the purpose of this Section, the
term  "default"  means any event  which is, or after  notice or lapse of time or
both would become, an Event of Default.

                (b)     Within five Business Days after receipt of notice of the
Debenture Issuer's exercise of its right to defer the payment of interest on the
Debentures  pursuant to the Subordinated  Indenture,  the Property Trustee shall
transmit,  in the manner and to the extent provided in Section 10.08,  notice of
such exercise to the  Securityholders  and the Administrative  Trustees,  unless
such exercise shall have been revoked.

                Section 8.03.   Certain  Rights of Property  Trustee.Subject  to
the provisions of Section 8.01 and except as provided by law:

                        (i)     the  Property  Trustee  may  rely  and  shall be
                protected in acting or refraining from acting in good faith upon
                any  resolution,   Opinion  of  Counsel,  certificate,   written
                representation  of  a  Holder  or  transferee,   certificate  of
                auditors  or  any  other  certificate,   statement,  instrument,
                opinion,  report, notice,  request,  direction,  consent, order,
                appraisal, bond, debenture, note, other evidence of indebtedness
                or  other  paper or  document  reasonably  believed  by it to be
                genuine and to have been signed or presented by the proper party
                or parties;

                        (ii)    if (A) in performing its duties under this Trust
                Agreement  the  Property  Trustee is required to decide  between
                alternative  courses of action or (B) in  construing  any of the
                provisions in this Trust  Agreement  the Property  Trustee finds
                the same  ambiguous or  inconsistent  with any other  provisions
                contained  herein or (C) the  Property  Trustee is unsure of the
                application  of any  provision  of this Trust  Agreement,  then,
                except  as  to  any  matter  as to  which  the  Preferred  Trust
                Securityholders  are  entitled  to vote  under the terms of this
                Trust Agreement,  the Property Trustee shall deliver a notice to
                the Depositor  requesting written  instructions of the Depositor
                as to the  course of action to be taken.  The  Property  Trustee
                shall take such action,  or refrain from taking such action,  as
                the Property  Trustee shall be instructed in writing to take, or
                to refrain from taking,  by the  Depositor;  provided,  however,
                that if the Property Trustee does not receive such  instructions
                of the Depositor within ten Business Days after it has delivered
                such notice, or such reasonably shorter period of time set forth
                in such  notice  (which to the extent  practicable  shall not be
                less than two Business Days), it may, but shall be under no duty
                to, take or refrain  from  taking  such action not  inconsistent
                with this Trust  Agreement as it shall deem advisable and in the
                best  interests  of the  Securityholders,  in  which  event  the
                Property  Trustee shall have no liability except for its own bad
                faith, negligence or willful misconduct;

                        (iii)   whenever  in the  administration  of this  Trust
                Agreement the Property  Trustee  shall deem it desirable  that a
                matter be proved or  established  prior to taking,  suffering or
                omitting  any action  hereunder,  the Property  Trustee  (unless
                other evidence be herein  specifically  prescribed)  may, in the
                absence  of bad  faith on its  part,  request  and rely  upon an
                Officer's

                                      -25-
<PAGE>

                Certificate  which,  upon  receipt  of such  request,  shall  be
                promptly  delivered  by  the  Depositor  or  the  Administrative
                Trustees;

                        (iv)    the Property Trustee may consult with counsel of
                its  selection  (which  counsel  may be counsel to the  Property
                Trustee,  Depositor or the Trust Securities  Guarantor or any of
                their  Affiliates,  and may include any of their  employees) and
                the  written  advice of such  counsel or any  Opinion of Counsel
                shall be full  and  complete  authorization  and  protection  in
                respect of any action taken, suffered or omitted by it hereunder
                in good faith and in  reliance  thereon and in  accordance  with
                such advice;

                        (v)     the   Property   Trustee   shall   be  under  no
                obligation  to exercise any of the rights or powers vested in it
                by this  Trust  Agreement  at the  request or  direction  of any
                Securityholder  pursuant  to this Trust  Agreement,  unless such
                Securityholder  shall  have  offered  to  the  Property  Trustee
                reasonable  security or  indemnity  against the costs,  expenses
                (including   reasonable   attorneys'   fees  and  expenses)  and
                liabilities which might be incurred by it in complying with such
                request or direction;  provided that,  nothing contained in this
                Section 8.03(v) shall be taken to relieve the Property  Trustee,
                upon the occurrence of an Event of Default, of its obligation to
                exercise  the  rights  and  powers  vested  in it by this  Trust
                Agreement;

                        (vi)    the Property  Trustee shall not be bound to make
                any  investigation  into the  facts  or  matters  stated  in any
                resolution, certificate, statement, instrument, opinion, report,
                notice,  request,  direction,  consent,  order, approval,  bond,
                debenture, note or other evidence of indebtedness or other paper
                or document,  but the Property Trustee,  in its discretion,  may
                make such further  inquiry or  investigation  into such facts or
                matters as it may see fit,  and, if the Property  Trustee  shall
                determine  to make such  further  inquiry or  investigation,  it
                shall be entitled to examine the books,  records and premises of
                the Depositor personally or by agent or attorney;

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

                        (viii)  the Property 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
                Trust Agreement;

                        (ix)    the Property  Trustee  shall not be charged with
                knowledge of any default or Event of Default with respect to the
                Trust Securities unless either (A) a Responsible  Officer of the
                Property  Trustee shall have actual  knowledge of the default or
                Event of Default or (B) written  notice of such default or Event
                of Default shall have been given to the Property  Trustee by the
                Depositor,  the Administrative  Trustees or by any Holder of the
                Trust Securities;

                        (x)     no  provision of this Trust  Agreement  shall be
                deemed to impose any duty or obligation on the Property  Trustee
                to perform any act or acts or exercise any right, power, duty or
                obligation  conferred  or imposed on it in any  jurisdiction  in
                which it shall be  illegal,  or in which  the  Property  Trustee
                shall  be  unqualified   or   incompetent  in  accordance   with
                applicable  law,  to perform any such act or acts or to exercise
                any such right, power, duty or obligation;  and no permissive or
                discretionary  power  or  authority  available  to the  Property
                Trustee shall be construed to be a duty;

                        (xi)    no  provision  of  this  Trust  Agreement  shall
                require the Property  Trustee to expend or risk its own funds or
                otherwise incur personal financial  liability in the performance
                of any of its duties or in the  exercise of any of its rights or
                powers,  if the Property  Trustee shall have reasonable  grounds
                for  believing  that the repayment of such funds or liability is
                not  reasonably  assured  to it under  the  terms of this  Trust
                Agreement or adequate  indemnity  against such risk or liability
                is not reasonably assured to it;

                                      -26-
<PAGE>

                        (xii)   the Property  Trustee  shall have no duty to see
                to any  recording,  filing  or  registration  of any  instrument
                (including any financing or continuation statement or any tax or
                securities form) (or any rerecording, refiling or reregistration
                thereof);

                        (xiii)  the Property Trustee shall have the right at any
                time to seek instructions  concerning the administration of this
                Trust Agreement from any court of competent jurisdiction;

                        (xiv)   whenever  in the  administration  of this  Trust
                Agreement  the  Property  Trustee  shall  deem it  desirable  to
                receive  instructions  with respect to  enforcing  any remedy or
                right or taking any other action hereunder, the Property Trustee
                (A) may  request  instructions  from the  Holders  of the  Trust
                Securities,  which instructions may only be given by the Holders
                of the same Liquidation  Amount of the Trust Securities as would
                be entitled to direct the  Property  Trustee  under the terms of
                this Trust  Agreement  in respect  of such  remedies,  rights or
                actions,  (B) may refrain from enforcing such remedy or right or
                taking such other action until such  instructions  are received,
                and (C) shall be  protected  in acting in  accordance  with such
                instructions; and

                        (xv)    unless otherwise  expressly provided herein, any
                direction  or act of the  Depositor  contemplated  by this Trust
                Agreement  shall  be  sufficiently  evidenced  by  an  Officers'
                Certificate.

                Section 8.04.   Not  Responsible  for  Recitals  or  Issuance of
Securities.The   recitals   contained   herein  and  in  the  Trust   Securities
Certificates  shall be taken as the statements of the Trust, and the Trustees do
not  assume any  responsibility  for their  correctness.  The  Trustees  make no
representations  as to the title to, or value or  condition  of, the property of
the Trust or any part  thereof,  nor as to the validity or  sufficiency  of this
Trust Agreement, the Debentures or the Trust Securities.  The Trustees shall not
be  accountable  for the use or  application by the Trust of the proceeds of the
Trust Securities.

                Section 8.05.   May Hold Securities.Any  Trustee or any agent of
any Trustee or the Trust,  in its individual or any other  capacity,  may become
the owner or pledgee of Trust Securities and, subject to Sections 8.08 and 8.13,
and except as provided in the definition of the term "Outstanding" in Article I,
may otherwise  deal with the Trust with the same rights it would have if it were
not a Trustee or such agent.

                Section 8.06.   Compensation;   Fees;   Indemnity.The  Depositor
agrees:

                        (i)     to pay to the  Trustees  from  time to time such
                reasonable  compensation  as shall be agreed in writing with the
                Depositor  for all services  rendered by the Trustees  hereunder
                (which compensation shall not be limited by any provision of law
                in regard to the compensation of a trustee of an express trust);

                        (ii)    except as otherwise  expressly  provided herein,
                to  reimburse  the  Trustees  upon  request  for all  reasonable
                expenses, disbursements and advances reasonably incurred or made
                by the Trustees in  accordance  with any provision of this Trust
                Agreement   (including  the  reasonable   compensation  and  the
                expenses and disbursements of their agents and counsel),  except
                any such expense, disbursement or advance as may be attributable
                to  their  negligence  (gross  negligence,  in the  case  of any
                Administrative Trustee), bad faith or willful misconduct; and

                       (iii)   to the fullest  extent  permitted by  applicable
                law, to  indemnify  each  Trustee  for, and to hold each Trustee
                harmless against, any and all loss, damage, claims, liability or
                expense incurred without  negligence (gross  negligence,  in the
                case of any Administrative Trustee or the Delaware Trustee), bad
                faith or willful  misconduct  on its part,  arising out of or in
                connection with the acceptance or administration of the trust or
                trusts  under this Trust  Agreement,  including  the  reasonable
                costs and  expenses  of  defending  itself  against any claim or
                liability in connection  with the exercise or performance of any
                of its powers or duties hereunder.

                No Trustee may claim any Lien or charge on any Trust Property as
a result of any amount due pursuant to this Section 8.06.

                                      -27-
<PAGE>

                In addition to the rights  provided to each Trustee  pursuant to
the provisions of the immediately  preceding  paragraph of this Section 8.06 and
without  prejudice to any rights available to the Trustees under applicable law,
when a Trustee incurs  expenses or renders  services in connection with an Event
of Default  resulting  from a Bankruptcy  Event with  respect to the Trust,  the
expenses  (including the reasonable charges and expenses of its counsel) and the
compensation   for  the  services  are  intended  to   constitute   expenses  of
administration  under any applicable Federal or State bankruptcy,  insolvency or
other similar law.

                The   provisions   of  this  Section  8.06  shall   survive  the
termination of this Trust Agreement.

                Section 8.07.   Certain Trustees Required;  Eligibility.(a) here
shall at all times be a Property  Trustee  hereunder  with  respect to the Trust
Securities.  The Property  Trustee shall be a Person that has a combined capital
and surplus of at least  $50,000,000.  If any such Person  publishes  reports of
condition  at least  annually,  pursuant  to law or to the  requirements  of its
supervising or examining  authority,  then for the purposes of this Section, 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  Property  Trustee  with  respect  to the  Trust
Securities  shall cease to be eligible in accordance with the provisions of this
Section,  it  shall  resign  immediately  in the  manner  and  with  the  effect
hereinafter specified in this Article VIII.

                (b)     There  shall at all times be one or more  Administrative
Trustees  hereunder with respect to the Trust  Securities.  Each  Administrative
Trustee  shall be either a natural  person  who is at least 21 years of age or a
legal entity that shall act through one or more persons  authorized to bind such
entity.

                (c)     There  shall at all  times be a  Delaware  Trustee  with
respect to the Trust  Securities.  The  Delaware  Trustee  shall either be (i) a
natural  person who is at least 21 years of age and a  resident  of the State of
Delaware  or (ii) a legal  entity  with its  principal  place of business in the
State of Delaware that otherwise meets the  requirements of applicable  Delaware
law and that  shall act  through  one or more  persons  authorized  to bind such
entity.

                Section 8.08.   Conflicting  Interests.If  the Property  Trustee
has or shall  acquire a  conflicting  interest  within the  meaning of the Trust
Indenture  Act, the Property  Trustee  shall either  eliminate  such interest or
resign,  to the  extent  and in the  manner  provided  by,  and  subject  to the
provisions  of,  the  Trust  Indenture  Act  and  this  Trust   Agreement.   The
Subordinated  Indenture and the  securities of any series issued  thereunder and
the Trust  Securities  Guarantee  Agreement  shall be deemed to be  specifically
described  in this Trust  Agreement  for the purposes of clause (i) of the first
proviso contained in Section 310(b) of the Trust Indenture Act.

                Section 8.09.   Co-Trustees and Separate  Trustee.At any time or
times, for the purpose of meeting the legal  requirements of the Trust Indenture
Act or of any  jurisdiction  in which any part of the Trust  Property may at the
time be located, the Depositor and the Administrative Trustees, by agreed action
of the majority of such Trustees (except as provided in the following sentence),
shall have power to appoint,  and upon the written request of the Administrative
Trustees,  the  Depositor  shall for such purpose  join with the  Administrative
Trustees in the execution,  delivery,  and  performance of all  instruments  and
agreements  necessary or proper to appoint,  one or more Persons approved by the
Property Trustee either to act as co-trustee, jointly with the Property Trustee,
of all or any part of such Trust Property,  or to act as separate trustee of any
such  property,  in  either  case with such  powers  as may be  provided  in the
instrument of appointment, and to vest in such Person or Persons in the capacity
aforesaid,  any property,  title,  right or power deemed necessary or desirable,
subject to the other provisions of this Section.  If the Depositor does not join
in such  appointment  within 15 days after the  receipt by it of a request so to
do, or in case a Debenture Event of Default has occurred and is continuing,  the
Property Trustee alone shall have power to make such appointment.

                Should any written  instrument from the Depositor be required by
any  co-trustee or separate  trustee so appointed  for more fully  confirming to
such co-trustee or separate trustee such property,  title,  right, or power, any
and all such  instruments  shall,  on request,  be executed,  acknowledged,  and
delivered by the Depositor.

                                      -28-
<PAGE>

                Every  co-trustee  or  separate  trustee  shall,  to the  extent
permitted by law, but to such extent only, be appointed subject to the following
terms, namely:

                (1)     The Trust Securities shall be executed and delivered and
        all rights,  powers, duties, and obligations hereunder in respect of the
        custody of  securities,  cash and other  personal  property  held by, or
        required to be deposited or pledged with,  the Trustees  designated  for
        such purpose hereunder, shall be exercised, solely by such Trustees.

                (2)     The  rights,  powers,  duties,  and  obligations  hereby
        conferred  or  imposed  upon the  Property  Trustee  in  respect  of any
        property covered by such appointment  shall be conferred or imposed upon
        and  exercised or  performed by the Property  Trustee or by the Property
        Trustee and such  co-trustee or separate  trustee  jointly,  as shall be
        provided  in the  instrument  appointing  such  co-trustee  or  separate
        trustee,  except to the extent that under any law of any jurisdiction in
        which any particular act is to be performed,  the Property Trustee shall
        be  incompetent  or unqualified to perform such act, in which event such
        rights, powers, duties, and obligations shall be exercised and performed
        by such co-trustee or separate trustee.

                (3)     The Property  Trustee at any time,  by an  instrument in
        writing  executed by it, with the written  concurrence of the Depositor,
        may  accept the  resignation  of or remove any  co-trustee  or  separate
        trustee  appointed  under this  Section  8.09,  and, in case a Debenture
        Event of Default has occurred and is  continuing,  the Property  Trustee
        shall  have  power to accept the  resignation  of, or  remove,  any such
        co-trustee or separate trustee without the concurrence of the Depositor.
        Upon the written  request of the Property  Trustee,  the Depositor shall
        join  with  the  Property  Trustee  in  the  execution,   delivery,  and
        performance of all  instruments  and  agreements  necessary or proper to
        effectuate such resignation or removal. A successor to any co-trustee or
        separate  trustee so resigned or removed may be  appointed in the manner
        provided in this Section.

                (4)     No co-trustee  or separate  trustee  hereunder  shall be
        personally  liable by reason of any act or omission of any  Trustee,  or
        any other such trustee hereunder.

                (5)     The  Property  Trustee  shall not be liable by reason of
        any act of a co-trustee or separate trustee hereunder.

                (6)     Any Act of Holders  delivered  to the  Property  Trustee
        shall be deemed  to have been  delivered  to each  such  co-trustee  and
        separate trustee.

                Section 8.10.   Resignation   and   Removal;    Appointment   of
Successor.No  resignation  or  removal of any  Trustee  (as the case may be, the
"Relevant  Trustee") and no appointment of a successor Relevant Trustee pursuant
to this Article shall become  effective  until the  acceptance of appointment by
the successor Relevant Trustee in accordance with the applicable requirements of
Section 8.11.

                The  Relevant  Trustee may resign at any time by giving  written
notice  thereof to the  Securityholders,  the Depositor and the other  Trustees,
except that notice is only  required to be delivered to the  Securityholders  in
the event that the  Property  Trustee or the Delaware  Trustee is the  resigning
Relevant  Trustee.  If the  instrument  of  acceptance  by a successor  Relevant
Trustee  required by Section 8.11 shall not have been delivered to the resigning
Relevant  Trustee within 30 days after the giving of such notice of resignation,
the resigning Relevant Trustee may petition any court of competent  jurisdiction
for the appointment of a successor Relevant Trustee.

                Unless a Debenture  Event of Default  shall have occurred and be
continuing, the Relevant Trustee may be removed at any time by Act of the Common
Trust Securityholder. If a Debenture Event of Default shall have occurred and be
continuing,  the Property Trustee or the Delaware Trustee,  or both of them, may
be removed at such time by Act of the  Holders  of a majority  of the  aggregate
Liquidation Amount of the Outstanding  Preferred Trust Securities,  delivered to
the Relevant Trustee (in its individual capacity and on behalf of the Trust). An
Administrative  Trustee  may be  appointed,  replaced  or removed  solely by the
Common Trust Securityholder at any time.

                                      -29-
<PAGE>

                If the  Relevant  Trustee  shall  resign,  be  removed or become
incapable of continuing  to act as Relevant  Trustee at a time when no Debenture
Event of Default  shall  have  occurred  and be  continuing,  the  Common  Trust
Securityholder,  by Act of the  Common  Trust  Securityholder  delivered  to the
retiring Relevant Trustee,  shall promptly appoint a successor  Relevant Trustee
or Trustees,  and the retiring Relevant Trustee shall comply with the applicable
requirements  of Section 8.11. If the Property  Trustee or the Delaware  Trustee
shall  resign,  be  removed  or become  incapable  of  continuing  to act as the
Property Trustee or the Delaware  Trustee,  as the case may be, at a time when a
Debenture Event of Default shall have occurred and be continuing,  the Preferred
Trust  Securityholders,  by Act  of the  Preferred  Trust  Securityholders  of a
majority in aggregate  Liquidation  Amount of the  Outstanding  Preferred  Trust
Securities  delivered  to  such  retiring  Trustee,  shall  promptly  appoint  a
successor Relevant Trustee or Trustees, and such successor shall comply with the
applicable  requirements  of Section  8.11. If an  Administrative  Trustee shall
resign, be removed or become incapable of acting as Administrative Trustee, at a
time when a Debenture  Event of Default shall have  occurred and be  continuing,
the Common Securityholder by Act of the Common  Securityholder  delivered to the
Administrative  Trustees  shall  promptly  appoint  a  successor  Administrative
Trustee or Trustees and such successor  Administrative Trustee or Trustees shall
comply  with the  applicable  requirements  of  Section  8.11.  If no  successor
Relevant   Trustee   shall  have  been  so   appointed   by  the  Common   Trust
Securityholders or the Preferred Trust  Securityholders and accepted appointment
in the  manner  required  by Section  8.11,  any  Securityholder  who has been a
Securityholder  of Trust  Securities  for at least six months  may, on behalf of
himself  and all others  similarly  situated,  petition  any court of  competent
jurisdiction for the appointment of a successor Relevant Trustee.

                The Property  Trustee shall give notice of each  resignation and
each removal of a Property Trustee or Delaware Trustee and each appointment of a
successor  to such  Trustee to all  Securityholders  in the manner  provided  in
Section 10.08 and shall give notice to the Depositor.  Such notice shall include
the name of the  successor  Relevant  Trustee and the  address of its  Corporate
Trust Office if it is the Property Trustee.

                Notwithstanding  the  foregoing  or any other  provision of this
Trust Agreement,  in the event any Administrative  Trustee or a Delaware Trustee
who is a  natural  person  dies or  becomes  in the  opinion  of the  Depositor,
incompetent or incapacitated, the vacancy created by such death, incompetence or
incapacity  may be filled by (i) the unanimous  act of remaining  Administrative
Trustees if there are at least two of them or (ii)  otherwise  by the  Depositor
(with  the  successor  in each  case  being  an  individual  who  satisfies  the
eligibility requirements for Administrative Trustees or Delaware Trustee, as the
case may be,  set forth in  Section  8.07).  Additionally,  notwithstanding  the
foregoing  or any other  provision  of this  Trust  Agreement,  in the event the
Depositor  reasonably believes that any Administrative  Trustee who is a natural
person has become incompetent or incapacitated,  the Depositor, by notice to the
remaining Trustees, may terminate the status of such Person as an Administrative
Trustee (in which case the vacancy so created will be filled in accordance  with
the preceding sentence).

                No Trustee  shall be liable for the acts or  omissions to act of
any successor Trustee.

                Section 8.11.   Acceptance of Appointment by  Successor.In  case
of the  appointment  hereunder  of a successor  Relevant  Trustee,  the retiring
Relevant  Trustee (if requested by the  Depositor)  and each  successor  Trustee
shall execute and deliver an amendment  hereto wherein each  successor  Relevant
Trustee shall accept such appointment and which shall contain such provisions as
shall be necessary or desirable to transfer and confirm to, and to vest in, each
successor  Relevant  Trustee  all the rights,  powers,  trusts and duties of the
retiring  Relevant Trustee and upon the execution and delivery of such amendment
the  resignation  or removal  of the  retiring  Relevant  Trustee  shall  become
effective  to the  extent  provided  therein  and each such  successor  Relevant
Trustee,  without any further act, deed or conveyance,  shall become vested with
all the rights, powers, trusts and duties of the retiring Relevant Trustee; but,
on request of the Trust or any successor Relevant Trustee such retiring Relevant
Trustee  shall,  upon payment of all sums owed to it, duly assign,  transfer and
deliver to such successor  Trustee all Trust Property,  all proceeds thereof and
money held by such retiring Relevant Trustee hereunder with respect to the Trust
Securities and the Trust.

                Upon  request  of  any  such  successor  Relevant  Trustee,  the
retiring  Relevant  Trustee shall execute any and all instruments for more fully
and certainly  vesting in and confirming to such successor  Relevant Trustee all
such rights, powers and trusts referred to in the preceding paragraph.

                                      -30-
<PAGE>

                No  successor  Relevant  Trustee  shall  accept its  appointment
unless at the time of such acceptance such successor  Relevant  Trustee shall be
qualified and eligible under this Article VIII.

                Section 8.12.   Merger, Conversion,  Consolidation or Succession
to Business.Any  Person into which the Property  Trustee or the Delaware Trustee
or any  Administrative  Trustee  that is not a natural  person  may be merged or
converted or with which it may be consolidated, or any Person resulting from any
merger,  conversion or  consolidation  to which such Relevant Trustee shall be a
party, or any Person  succeeding to all or substantially all the corporate trust
business of such  Relevant  Trustee,  shall be the  successor  of such  Relevant
Trustee  hereunder,  provided  such  Person  shall be  otherwise  qualified  and
eligible under this Article VIII,  without the execution or filing of any paper,
the giving of any notice or any  further  act on the part of any of the  parties
hereto.

                Section 8.13.   Preferential   Collection   of  Claims   Against
Depositor  or  Trust.If  and  when the  Property  Trustee  shall be or  become a
creditor of the Depositor or the Trust (or any other obligor upon the Debentures
or  the  Trust  Securities),  the  Property  Trustee  shall  be  subject  to the
provisions of the Trust Indenture Act regarding the collection of claims against
the Depositor or Trust (or any such other obligor).

                Section 8.14.   Reports by  Property  Trustee.(a)  The  Property
Trustee shall transmit to  Securityholders  such reports concerning the Property
Trustee and its actions under this Trust  Agreement as may be required  pursuant
to the Trust  Indenture  Act at the times and in the  manner  provided  pursuant
thereto. Such of those reports as are required to be transmitted by the Property
Trustee  pursuant to Section 313(a) of the Trust Indenture Act shall be dated as
of the next  preceding  September  15,  and shall be  transmitted  no later than
November 15 of each year, commencing September 15, 200_.

                (b)     A copy of each such  report  shall,  at the time of such
transmission  to Holders,  be filed by the Property  Trustee with each  national
exchange,  the Nasdaq National Market or such other interdealer quotation system
or  self-regulatory  organization  upon which the Trust Securities are listed or
traded,  if any, with the Commission and with the Depositor.  The Depositor will
notify the Property Trustee of any such listing or trading.

                Section 8.15.   Reports to the  Property  Trustee.The  Depositor
and the  Administrative  Trustees  on behalf of the Trust  shall  provide to the
Property  Trustee  such  documents,  reports and  information,  if any,  and the
compliance certificate required by Section 314(a)(4) of the Trust Indenture Act,
in the form, in the manner and at the times required by Section 314 of the Trust
Indenture  Act,  provided that such  compliance  certificate  shall be delivered
annually  on or  before  ____________  in  each  year,  beginning  ____________.
Delivery of such  reports,  information  and  documents by the  Depositor to the
Property Trustee is for informational  purposes only and the Property  Trustee's
receipt  of such shall not  constitute  constructive  notice of any  information
contained therein or determinable from information contained therein,  including
the Depositor's  compliance with any of its covenants hereunder (as to which the
Property Trustee is entitled to rely exclusively on Officer's Certificates).

                Section 8.16.   Evidence   of   Compliance    With    Conditions
Precedent.Each of the Depositor and the Administrative Trustees on behalf of the
Trust shall provide to the Property Trustee such evidence of compliance with any
conditions  precedent,  if any, provided for in this Trust Agreement  (including
any covenants  compliance  with which  constitutes a condition  precedent)  that
relate to any of the matters set forth in Section 314(c) of the Trust  Indenture
Act. Any certificate or opinion  required to be given by an officer  pursuant to
Section  314(c)(1)  of the  Trust  Indenture  Act may be given in the form of an
Officer's Certificate.

                Section 8.17.   Number of  Trustees.(a)  The number of  Trustees
shall be five, provided that the Depositor, by written instrument,  may increase
or decrease the number of  Administrative  Trustees.(b)  If a Trustee  ceases to
hold  office for any reason and the  number of  Administrative  Trustees  is not
reduced pursuant to Section  8.17(a),  or if the number of Trustees is increased
pursuant to Section 8.17(a),  a vacancy shall occur. The vacancy shall be filled
with a Trustee appointed in accordance with Section 8.10.

                (c)     The death, resignation, retirement, removal, bankruptcy,
incompetence  or incapacity to perform the duties of a Trustee shall not operate
to annul,  dissolve or terminate the Trust.  Whenever a vacancy in the number of
Administrative  Trustees  shall  occur,  until  such  vacancy  is  filled by the
appointment of an

                                      -31-
<PAGE>

Administrative  Trustee in  accordance  with Section  8.10,  the  Administrative
Trustees in office,  regardless of their number (and  notwithstanding  any other
provision  of  this  Agreement),  shall  have  all  the  powers  granted  to the
Administrative  Trustees  and shall  discharge  all the duties  imposed upon the
Administrative Trustees by this Trust Agreement.

                Section 8.18.   Delegation  of  Power.(a)   Any   Administrative
Trustee may, by power of attorney  consistent with  applicable law,  delegate to
any other natural  person over the age of 21 his or her power for the purpose of
executing any documents contemplated in Sections 2.07(a) and 2.07(c),  including
any registration  statement or amendment  thereto filed with the Commission,  or
making any other governmental filing; and

                (b)     the Administrative Trustees shall have power to delegate
from  time to time to such of their  number  the  doing of such  things  and the
execution  of such  instruments  either in the name of the Trust or the names of
the Administrative Trustees or otherwise as the Administrative Trustees may deem
expedient,  to the extent such delegation is not prohibited by applicable law or
contrary to the provisions of the Trust, as set forth herein.

                Section 8.19.   Fiduciary Duty.(a) To the extent that, at law or
in equity,  an Indemnified  Person has duties  (including  fiduciary duties) and
liabilities  relating  thereto to the Trust or to any other Covered  Person,  an
Indemnified  Person acting under this Trust Agreement shall not be liable to the
Trust  or to any  other  Covered  Person  for its  good  faith  reliance  on the
provisions of this Trust Agreement.  The provisions of this Trust Agreement,  to
the extent  that they  restrict  the duties and  liabilities  of an  Indemnified
Person otherwise  existing at law or in equity (other than the duties imposed on
the Property  Trustee under the Trust  Indenture Act), are agreed by the parties
hereto to replace such other duties and liabilities of such Indemnified Person;

                (b)     Unless otherwise  expressly  provided herein and subject
to the provisions of the Trust Indenture Act:

                        (i)     whenever a conflict of interest exists or arises
                between an Indemnified Person and any Covered Person; or

                        (ii)    whenever  this  Trust  Agreement  or  any  other
                agreement  contemplated  herein  or  therein  provides  that  an
                Indemnified  Person  shall act in a manner  that is, or provides
                terms that are,  fair and  reasonable to the Trust or any Holder
                of Trust Securities,  the Indemnified  Person shall resolve such
                conflict of  interest,  take such action or provide  such terms,
                considering  in each case the  relative  interest  of each party
                (including  its  own  interest)  to  such  conflict,  agreement,
                transaction  or situation and the benefits and burdens  relating
                to such interests, any customary or accepted industry practices,
                and any applicable  generally accepted  accounting  practices or
                principles.  In the  absence  of bad  faith  by the  Indemnified
                Person,  the  resolution,  action  or term  so  made,  taken  or
                provided by the Indemnified Person shall not constitute a breach
                of this  Trust  Agreement  or any other  agreement  contemplated
                herein or of any duty or obligation of the Indemnified Person at
                law or in equity or otherwise; and

                (c)     Unless otherwise  expressly  provided herein and subject
to the provisions of the Trust  Indenture Act,  whenever in this Trust Agreement
an Indemnified Person is permitted or required to make a decision

                        (i)     in its  "discretion" or under a grant of similar
                authority,  the Indemnified Person shall be entitled to consider
                such interests and factors as it reasonably  desires,  including
                its own interests,  and shall have no duty or obligation to give
                any  consideration  to any interest of or factors  affecting the
                Trust or any other Person; or

                        (ii)    in its  "good  faith" or under  another  express
                standard,  the  Indemnified  Person shall act under such express
                standard  and shall  not be  subject  to any other or  different
                standard imposed by this Trust Agreement or by applicable law.

                Section 8.20.   Delaware Trustee.It is expressly  understood and
agreed by the parties  hereto that in  fulfilling  its  obligations  as Delaware
Trustee  hereunder  on behalf of the Trust  (i) any  agreements  or  instruments

                                      -32-
<PAGE>

executed  and  delivered  by The Bank of New York  (Delaware)  are  executed and
delivered not in its  individual  capacity but solely as Delaware  Trustee under
this Trust  Agreement in the exercise of the powers and authority  conferred and
vested in it,  (ii) each of the  representations,  undertakings  and  agreements
herein   made  on  the  part  of  the  Trust  is  made  and   intended   not  as
representations,   warrants,  covenants,  undertakings  and  agreements  by  the
Delaware  Trustee in its  individual  capacity  but is made and intended for the
purpose of binding only the Trust,  and (iii) under no  circumstances  shall the
Delaware Trustee in its individual capacity be personally liable for the payment
of any  indebtedness  or  expenses  of the Trust or be liable  for the breach or
failure  of  any  obligation,  representation,  warranty  or  covenant  made  or
undertaking  by the Trust under this Trust  Agreement,  except if such breach or
failure is due to any gross  negligence  or willful  misconduct  of the Delaware
Trustee.

                                   ARTICLE IX

                           Dissolution and Liquidation

                Section 9.01.   Dissolution Upon Expiration  Date.Unless earlier
dissolved,  the Trust shall  automatically  dissolve  on December  31, 20__ (the
"Expiration  Date") and the  Trustees  shall take such  action as is required by
Section 9.04.

                Section 9.02.   Early Dissolution.Upon the first to occur of any
of the following events (such first occurrence, an "Early Termination Event"):

                        (i)     the occurrence of a Bankruptcy  Event in respect
                of, or the dissolution or liquidation of, the Depositor;

                        (ii)    the  redemption  of all of the  Preferred  Trust
                Securities;

                        (iii)   an order for judicial  dissolution  of the Trust
                having been entered by a court of competent jurisdiction;

                        (iv)    the  election by the  Depositor  to dissolve the
                Trust and, after satisfaction of liabilities to creditors of the
                Trust,  distribute  the  Debentures  to the Holders of Preferred
                Trust Securities in liquidation of the Trust;

the Trust shall  dissolve and the Trustees shall take such action as is required
by Section 9.04.

                Section 9.03.   Termination.   The  respective  obligations  and
responsibilities  of the Trust and the Trustees  created hereby shall  terminate
upon the latest to occur of the following:  (i) the distribution by the Property
Trustee to Securityholders upon the liquidation of the Trust pursuant to Section
9.04, or upon the redemption of all of the Trust Securities  pursuant to Section
4.02 or 9.04(d),  of all amounts  required to be distributed  hereunder upon the
final payment of the Trust Securities;  (ii) the payment of any expenses owed by
the  Trust;  and  (iii)  the  discharge  of  all  administrative  duties  of the
Administrative  Trustees,   including  the  performance  of  any  tax  reporting
obligations with respect to the Trust or the Securityholders.

                Section 9.04.   Liquidation.(a)  Upon the Expiration  Date or if
an Early  Termination  Event  specified in clause (i),  (iii) or (iv) of Section
9.02 occurs,  after  satisfaction of creditors of the Trust, if any, as provided
by  applicable  law, the Trust shall be  liquidated  by the Property  Trustee as
expeditiously  as  the  Property   Trustee   determines  to  be  appropriate  by
distributing  to each  Securityholder  a Like Amount of  Debentures,  subject to
Section  9.04(e).  Notice of  liquidation  shall be given by the  Administrative
Trustees by first-class mail, postage prepaid, mailed not later than 30 nor more
than 60 days prior to the Liquidation Date to each Holder of Trust Securities at
such  Holder's  address  appearing in the  Securities  Register.  All notices of
liquidation shall:

                        (i)     state the Liquidation Date;

                                      -33-
<PAGE>

                        (ii)    state that from and after the Liquidation  Date,
                the Trust  Securities will no longer be deemed to be Outstanding
                and  any  Trust  Securities  Certificates  not  surrendered  for
                exchange   will  be  deemed  to   represent  a  Like  Amount  of
                Debentures; and

                        (iii)   provide  such  information  with  respect to the
                mechanics  by  which  Holders  may  exchange  Trust   Securities
                Certificates  for Debentures,  or, if Section  9.04(e)  applies,
                receive  a  Liquidation  Distribution,   as  the  Administrative
                Trustees  or the  Property  Trustee  shall deem  appropriate.(b)
                Except where Sections  9.02(ii),  9.04(d) or 9.04(e)  apply,  in
                order to effect the liquidation of the Trust hereunder,  and any
                resulting distribution of the Debentures to Securityholders, the
                Administrative  Trustees shall  establish a record date for such
                distribution  (which shall be not more than 45 days prior to the
                Liquidation Date) and, either itself acting as exchange agent or
                through the  appointment  of a separate  exchange  agent,  shall
                establish such procedures as it shall deem appropriate to effect
                the  distribution  of Debentures in exchange for the Outstanding
                Trust Securities Certificates.

                (c)     Except  where  Sections  9.02(ii),  9.04(d)  or  9.04(e)
apply,  after any Liquidation  Date, (i) the Trust  Securities will no longer be
deemed  to be  Outstanding,  (ii)  certificates  representing  a Like  Amount of
Debentures will, after satisfaction of liabilities to creditors of the Trust, if
any,  as provided by  applicable  law, be issued to Holders of Trust  Securities
Certificates,  upon  surrender  of such  Trust  Securities  Certificates  to the
Administrative Trustees or their agent for exchange,  (iii) any Trust Securities
Certificates  not so surrendered for exchange will be deemed to represent a Like
Amount  of  Debentures,  accruing  interest  at  the  rate  provided  for in the
Debentures from the last  Distribution  Date on which a Distribution was made on
such Trust Securities  Certificates until such Trust Securities Certificates are
so surrendered (and until such Trust Securities Certificates are so surrendered,
no payments or interest or principal will be made to Holders of Trust Securities
Certificates   with  respect  to  such   Debentures)  and  (iv)  all  rights  of
Securityholders  holding Trust  Securities will cease,  except the right of such
Securityholders  to receive,  after  satisfaction of liabilities to creditors of
the Trust, if any, as provided by applicable  law,  Debentures upon surrender of
Trust Securities Certificates.

                (d)     If  at  any  time,  a  Tax  Event  shall  occur  and  be
continuing,  and  either  (i)  in  the  Opinion  of  Counsel  to  the  Depositor
experienced  in such  matters,  there would in all cases,  after  effecting  the
dissolution of the Trust,  after satisfaction of liabilities to creditors of the
Trust,  if any, as provided  by  applicable  law,  and the  distribution  of the
Debentures  to the  Holders  of  the  Preferred  Trust  Securities  in  exchange
therefor,  be more than an  insubstantial  risk that an Adverse Tax  Consequence
would continue to exist or (ii) the  Debentures are not held by the Trust,  then
the Depositor shall have the right to redeem the Debentures, in whole but not in
part,  at any time within 90 days  following  the  occurrence  of the Tax Event.
Whether or not a Tax Event has occurred,  the  Depositor  has the right,  at any
time, to dissolve the Trust and, after  satisfaction of liabilities to creditors
of the Trust,  if any, as provided by applicable law, cause the Debentures to be
distributed  to the Holders of the Preferred  Trust  Securities and Common Trust
Securities in liquidation of the Trust on a pro rata basis.  [Add  Provisions to
substitute Treasury Securities if securities are issued in connection with Stock
Purchase Units]

                (e)     In the event that,  notwithstanding the other provisions
of this Section 9.04,  whether because of an order for dissolution  entered by a
court of competent jurisdiction or otherwise,  distribution of the Debentures in
the manner  provided  herein is  determined  by the  Property  Trustee not to be
practical,  the Trust  Property  shall be  liquidated,  and the  Trust  shall be
wound-up,  by the  Property  Trustee  in such  manner  as the  Property  Trustee
determines.  In such event,  Securityholders  will be entitled to receive out of
the assets of the Trust  available for  distribution to  Securityholders,  after
satisfaction  of liabilities  to creditors of the Trust,  if any, as provided by
applicable  law, an amount equal to the  Liquidation  Amount per Trust  Security
plus accumulated and unpaid  Distributions  thereon to the date of payment (such
amount being the "Liquidation Distribution").  If, upon any such winding up, the
Liquidation  Distribution  can be paid  only  in  part  because  the  Trust  has
insufficient  assets  available  to  pay  in  full  the  aggregate   Liquidation
Distribution, then, subject to the next succeeding sentence, the amounts payable
by the Trust on the Trust  Securities  shall be paid on a pro rata basis  (based
upon  Liquidation  Amounts).  The  Holder of  Common  Trust  Securities  will be
entitled to receive Liquidation  Distributions upon any such winding-up pro rata
(determined as aforesaid)  with Holders of Preferred  Trust  Securities,  except
that,  if a Debenture  Event of Default (or event that with the lapse of time or
giving  of  notice  would  become  an  Event of  Default)  has  occurred  and is
continuing, the Preferred Trust Securities shall have a priority over the Common
Trust Securities.

                                      -34-
<PAGE>

                Section 9.05.   Mergers,   Consolidations,    Amalgamations   or
Replacements of the Trust.The Trust may not merge, consolidate,  amalgamate with
or into,  or be replaced  by, or convey,  transfer or lease its  properties  and
assets substantially as an entirety to any other Person, except pursuant to this
Article  IX.  At  the  request  of  the  Depositor,  with  the  consent  of  the
Administrative  Trustees  and  without  the consent of the Holders of at least a
majority in Liquidation  Amount of the Preferred Trust Securities,  the Property
Trustee or the Delaware Trustee, the Trust may merge,  consolidate,  amalgamate,
with or into, or be replaced by or convey,  transfer or lease its properties and
assets  substantially as an entirety to a trust organized as such under the laws
of any State;  provided,  that (i) such  successor  entity  either (a) expressly
assumes  all of the  obligations  of the Trust  with  respect  to the  Preferred
Securities  or  (b)  substitutes  for  the  Preferred  Trust   Securities  other
securities having substantially the same terms as the Preferred Trust Securities
(the "Successor  Securities") so long as the Successor  Securities rank the same
as the Preferred Trust Securities rank in priority with respect to distributions
and payments upon liquidation,  redemption and otherwise, (ii) a trustee of such
successor  entity  possessing  substantially  the same  powers and duties as the
Property  Trustee  is  appointed  to hold the  Debentures,  (iii) the  Successor
Securities are listed or traded, or any Successor Securities will be listed upon
notification  of  issuance,   on  any  national  securities  exchange  or  other
organization on which the Preferred Trust  Securities are then listed or traded,
if any, (iv) such merger, consolidation,  amalgamation, replacement, conveyance,
transfer or lease does not cause the Preferred Trust  Securities  (including any
Successor Securities) to be downgraded by any nationally recognized  statistical
rating organization, (v) such merger, consolidation,  amalgamation, replacement,
conveyance,  transfer or lease does not adversely affect the rights, preferences
and  privileges  of the  holders  of the  Preferred  Securities  (including  any
Successor  Securities) in any material respect, (vi) such successor entity has a
purpose  substantially  identical  to that of the  Trust,  (vii)  prior  to such
merger, consolidation, amalgamation, replacement, conveyance, transfer or lease,
the  Depositor  has  received  an Opinion of Counsel to the effect that (a) such
merger, consolidation,  amalgamation, replacement, conveyance, transfer or lease
does not adversely affect the rights,  preferences and privileges of the holders
of the Preferred Securities (including any Successor Securities) in any material
respect,   and  (b)   following   such  merger,   consolidation,   amalgamation,
replacement, conveyance, transfer or lease, neither the Trust nor such successor
entity  will  be  required  to  register  as an  investment  company  under  the
Investment Company Act and (viii) the Depositor or its permitted transferee owns
all of the  common  securities  of such  successor  entity  and  guarantees  the
obligations of such successor entity under the Successor  Securities at least to
the extent provided by the guarantee.  Notwithstanding the foregoing,  the Trust
shall  not,  except  with the  consent of  Holders  of all the  Preferred  Trust
Securities,  consolidate, amalgamate or merge with or into, or be replaced by or
convey, transfer or lease its properties and assets substantially as an entirety
to any other Person or permit any other  Person to  consolidate,  amalgamate  or
merge with or into, or replace it if such consolidation,  amalgamation,  merger,
replacement,  conveyance,  transfer  or  lease  would  cause  the  Trust  or the
successor  entity to be  classified  as other  than a grantor  trust for  United
States federal income tax purposes.

                                    ARTICLE X

                            Miscellaneous Provisions

                Section 10.01.  Payment of  Expenses  of the  Trust.Pursuant  to
Article Three of the  Supplemental  Indenture No. 1 to the Indenture,  the Trust
Securities  Guarantor  has agreed to pay to the Trust,  and  reimburse the Trust
for, the full amount of any costs,  expenses or  liabilities of the Trust (other
than obligations of the Trust to pay the Holders of any Preferred  Securities or
Common Securities),  including,  without limitation,  any taxes, duties or other
governmental  charges of whatever nature (other than withholding  taxes) imposed
on the Trust by the United  States or any other taxing  authority.  Such payment
obligation  includes any such costs,  expenses or  liabilities of the Trust that
are required by applicable law to be satisfied in connection  with a termination
of the Trust.

                                      -35-
<PAGE>

                Section 10.02.  Limitation  of  Rights  of   Securityholders.The
death, incapacity,  bankruptcy,  dissolution or termination of any Person having
an interest,  beneficial or otherwise,  in a Trust Security shall not operate to
terminate this Trust Agreement, nor dissolve,  terminate or annul the Trust, nor
entitle the legal  representatives or heirs of such Person or any Securityholder
for such Person, to claim an accounting, take any action or bring any proceeding
in any court for a  partition  or  winding up of the  arrangements  contemplated
hereby,  nor otherwise  affect the rights,  obligations  and  liabilities of the
parties hereto or any of them.

                Section 10.03.  Amendment.(a)    In   addition   to   amendments
contemplated  by Section 8.11,  this Trust Agreement may be amended from time to
time by a majority of the Administrative  Trustees, the Property Trustee and the
Depositor,  without  the  consent  of  any  Securityholders,  (i)  to  cure  any
ambiguity,  correct or supplement  any provision  herein or therein which may be
inconsistent  with any other provision  herein or therein,  or to make any other
provisions  with  respect  to  matters  or  questions  arising  under this Trust
Agreement, (ii) to change the name of the Trust or (iii) to modify, eliminate or
add to any  provisions  of this  Trust  Agreement  to such  extent  as  shall be
necessary  to ensure  that the Trust will not be  classified  for United  States
Federal income tax purposes other than as a "grantor trust" at any time that any
Trust  Securities are  outstanding  or to ensure the Trust's  exemption from the
status of an "investment  company" under the Investment  Company Act;  provided,
however, that such action shall not adversely affect in any material respect the
interests  of any  Securityholder  and,  in the  case of  clause  (i),  any such
amendments of this Trust Agreement shall become effective when notice thereof is
given to the  Securityholders.(b)  Except as provided  in  Sections  6.01(c) and
10.03(c),  any  provision  of  this  Trust  Agreement  may  be  amended  by  the
Administrative  Trustees,  the Property  Trustee and the Depositor  with (i) the
consent  of Holders of Trust  Securities  representing  not less than a majority
(based upon  Liquidation  Amounts) of the Outstanding  Trust Securities and (ii)
receipt by the  Trustees  of an  Opinion  of  Counsel  to the  effect  that such
amendment  or the exercise of any power  granted to the  Trustees in  accordance
with such  amendment  will not affect the Trust's  status as a grantor trust for
Federal  income  tax  purposes  or  the  Trust's  exemption  from  status  as an
"investment company" under the Investment Company Act.

                (c)     In addition to and  notwithstanding  any other provision
in this Trust  Agreement,  without the consent of each affected  Securityholder,
this Trust  Agreement may not be amended to (i)  adversely  change the amount or
timing of any Distribution on the Trust Securities or otherwise adversely affect
the  amount of any  Distribution  required  to be made in  respect  of the Trust
Securities as of a specified date or (ii) restrict the right of a Securityholder
to institute suit for the enforcement of any such payment on or after such date.

                (d)     Notwithstanding  any  other  provisions  of  this  Trust
Agreement,  no amendment to this Trust  Agreement may be made if, as a result of
such  amendment,  the Trust  would not be  classified  as a "grantor  trust" for
United States  Federal  income tax purposes or would to fail or cease to qualify
for the exemption  from status of an  "investment  company" under the Investment
Company Act afforded by Rule 3a-5 thereunder.

                (e)     Notwithstanding  anything in this Trust Agreement to the
contrary,  the  Depositor  and the Trustees  may, but shall not be obligated to,
enter  into  any  amendment  which  imposes  any  additional  obligation  on the
Depositor or any Trustee or, in the case of the  Trustees,  which affects any of
their respective rights, duties or immunities hereunder.

                (f)     In the event that any amendment to this Trust  Agreement
is made, the  Administrative  Trustees shall promptly provide to the Depositor a
copy of such amendment.

                (g)     The  Delaware  Trustee may join in the  execution of any
amendment  to the Trust  Agreement  and the  Property  Trustee and the  Delaware
Trustee are entitled to rely upon an Opinion of Counsel as  conclusive  evidence
that any amendment to this Trust Agreement entered into pursuant to this Section
10.03 is  authorized or permitted by, and conforms to, the terms of this Section
10.03, has been duly authorized by and lawfully executed and delivered on behalf
of the other requisite  parties,  and that it is proper for the Property Trustee
under the  provisions  of this  Section  10.03 to accept the  additional  trusts
created  thereby and, if so requested,  for the Delaware  Trustee to join in the
execution thereof.

                                      -36-
<PAGE>

                Section 10.04.  Separability.In case any provision in this Trust
Agreement or in the Trust Securities  Certificates shall be invalid,  illegal or
unenforceable,  the  validity,  legality  and  enforceability  of the  remaining
provisions shall not in any way be affected or impaired thereby.

                Section 10.05.  Governing   Law.THIS  TRUST  AGREEMENT  AND  THE
RIGHTS AND OBLIGATIONS OF EACH OF THE SECURITYHOLDERS, THE TRUST, THE DEPOSITOR,
THE TRUST  SECURITIES  GUARANTOR  AND THE  TRUSTEES  WITH  RESPECT TO THIS TRUST
AGREEMENT AND THE TRUST  SECURITIES  SHALL BE CONSTRUED IN  ACCORDANCE  WITH AND
GOVERNED  BY THE LAWS OF THE STATE OF  DELAWARE  (WITHOUT  REGARD TO CONFLICT OF
LAWS  PRINCIPLES),  PROVIDED,  THAT THE  IMMUNITIES  AND STANDARD OF CARE OF THE
PROPERTY TRUSTEE IN CONNECTION WITH THE  ADMINISTRATION OF ITS TRUSTS AND DUTIES
HEREUNDER  SHALL BE  CONSTRUED IN  ACCORDANCE  WITH AND GOVERNED BY THE INTERNAL
LAWS OF THE STATE OF NEW YORK.

                Section 10.06.  Successors.This Trust Agreement shall be binding
upon and shall inure to the benefit of any successor to the Depositor, the Trust
Securities  Guarantor,  the  Trust  or the  Relevant  Trustees  or any of  them,
including any successor by operation of law.

                Section 10.07.  Headings.The  Article and Section  headings  are
for  convenience  only and shall  not  affect  the  construction  of this  Trust
Agreement.  Section  10.08.  Notice  and  Demand.Any  notice,  demand  or  other
communication  which by any  provision  of this Trust  Agreement  is required or
permitted to be given or served to or upon any  Securityholder  or the Depositor
may be given or served in writing by deposit thereof,  postage  prepaid,  in the
United  States  mail,  hand  delivery or facsimile  transmission,  in each case,
addressed,  (i) in  the  case  of a  Preferred  Trust  Securityholder,  to  such
Preferred Trust  Securityholder  as such  Securityholder's  name and address may
appear on the Securities  Register,  and (ii) in the case of the Depositor,  the
Common  Securityholder  or  the  Trust  Securities  Guarantor,  to  Southwestern
Electric Power Company,  1 Riverside  Plaza,  Columbus,  Ohio 43215,  Attention:
Treasurer,  facsimile no.  614-2231687  (until  another  address is given to the
Property  Trustee).  Such  notice,  demand or other  communication  to or upon a
Securityholder  shall be deemed to have been sufficiently given or made, for all
purposes, upon hand delivery, mailing or facsimile transmission.

                Any notice, demand or other communication which by any provision
of this Trust  Agreement  is required or  permitted  to be given or served to or
upon the Trust, the Property Trustee, the Delaware Trustee or the Administrative
Trustees shall be given in writing  addressed (until another address is given to
the other parties hereto) as follows:  (i) with respect to the Property Trustee,
to The  Bank of New  York,  101  Barclay  Street,  New  York,  New  York  10286,
Attention: ________________________,  (ii) with respect to the Delaware Trustee,
to The Bank of New York  (Delaware),  White  Clay  Center,  Route  273,  Newark,
Delaware  19711 with a copy to the Property  Trustee at the address set forth in
(i) above,  Attention:  ________________________,  and (iii) with respect to the
Trust or the  Administrative  Trustees,  at the address  above for notice to the
Depositor,  marked Attention:  Administrative  Trustees for SWEPCo Capital Trust
II.  Such  notice,  demand  or other  communication  to or upon the  Trust,  the
Delaware  Trustee  or  the  Property  Trustee  shall  be  deemed  to  have  been
sufficiently given or made only upon actual receipt of the writing by the Trust,
the Delaware Trustee or the Property Trustee.

                Section 10.09.  Agreement Not to  Petition.Each  of the Trustees
and the Depositor agrees for the benefit of the  Securityholders  that, until at
least one year and one day after the  Trust has been  terminated  in  accordance
with Article IX, it shall not file, or join in the filing of, a petition against
the  Trust  under  any  bankruptcy,  reorganization,   arrangement,  insolvency,
liquidation  or other similar law  (including,  without  limitation,  the United
States Bankruptcy Code)  (collectively,  "Bankruptcy Laws") or otherwise join in
the  commencement of any proceeding  against the Trust under any Bankruptcy Law.
In the event the Depositor takes action in violation of this Section 10.09,  the
Property Trustee agrees, for the benefit of Securityholders,  that it shall file
an answer with the bankruptcy court or otherwise  properly contest the filing of
such petition by the  Depositor  against the Trust or the  commencement  of such
action and raise the  defense  that the  Depositor  has agreed in writing not to
take such action

                                      -37-
<PAGE>

and should be estopped and precluded therefrom and such other defenses,  if any,
as counsel for the Property  Trustee or the Trust may assert.  The provisions of
this Section 10.09 shall survive the termination of this Trust Agreement.

                Section 10.10.  Conflict with Trust Indenture Act.(a) This Trust
Agreement  is  subject to the  provisions  of the Trust  Indenture  Act that are
required or deemed to be part of this Trust  Agreement and shall,  to the extent
applicable, be governed by such provisions.(b) The Property Trustee shall be the
only Trustee which is a trustee for the purposes of the Trust Indenture Act.

                (c)     If any provision  hereof limits,  qualifies or conflicts
with another provision hereof which is required or deemed to be included in this
Trust  Agreement  by any of the  provisions  of the Trust  Indenture  Act,  such
required or deemed provision shall control.

                (d)     The application of the Trust Indenture Act to this Trust
Agreement  shall  not  affect  the  nature  of the  Trust  Securities  as equity
securities representing interests in the Trust.

THE RECEIPT AND ACCEPTANCE OF A TRUST SECURITY OR ANY INTEREST  THEREIN BY OR ON
BEHALF OF A  SECURITYHOLDER,  WITHOUT ANY SIGNATURE OR FURTHER  MANIFESTATION OF
ASSENT, SHALL CONSTITUTE THE UNCONDITIONAL  ACCEPTANCE BY THE SECURITYHOLDER AND
ALL OTHERS HAVING A BENEFICIAL  INTEREST IN SUCH TRUST SECURITY OF ALL THE TERMS
AND  PROVISIONS OF THIS TRUST  AGREEMENT  AND THE  AGREEMENT OF THE TRUST,  SUCH
SECURITYHOLDER AND SUCH OTHERS THAT THOSE TERMS AND PROVISIONS SHALL BE BINDING,
OPERATIVE  AND EFFECTIVE AS BETWEEN THE TRUST AND SUCH  SECURITYHOLDER  AND SUCH
OTHERS.

                Section 10.11.  Counterparts.This  Trust  Agreement  may contain
more than one  counterpart of the signature page and this Trust Agreement may be
executed by the affixing of the signature of each of the Trustees to one of such
counterpart  signature pages.  All of such counterpart  signature pages shall be
read as though one,  and they shall have the same force and effect as though all
of the signers had signed a single signature page.

                                      -38-
<PAGE>

                IN WITNESS  WHEREOF,  the parties  have caused this  Amended and
Restated Trust  Agreement to be duly executed,  all as of the day and year first
above written.

                                  SOUTHWESTERN ELECTRIC POWER COMPANY
                                     as Depositor and Trust Securities Guarantor

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

                                  THE BANK OF NEW YORK,
                                     as Property Trustee

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

                                  THE BANK OF NEW YORK (DELAWARE),
                                     as Delaware Trustee

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

                                  ------------------------------------
                                  as Administrative Trustee

                                        ------------------------------------
                                        as Administrative Trustee

                                      -39-
<PAGE>

                                                                       EXHIBIT A

                              CERTIFICATE OF TRUST

                                       OF
                             SWEPCO CAPITAL TRUST I

        THIS  CERTIFICATE  OF TRUST OF SWEPCo  Capital Trust II (the "Trust") is
being  duly  executed  and  filed by The Bank of New  York,  a New York  banking
corporation,  The Bank of New York (Delaware),  a Delaware banking  corporation,
Jeffrey D. Cross and Geoffrey S. Chatas,  each an  individual,  as trustees,  to
form a  statutory  trust  under the  Delaware  Statutory  Trust Act (12 Del.  C.
Section 3801 et seq.) (the "Act").

1.      NAME.  The name of the statutory  trust formed hereby is SWEPCo  Capital
Trust II.

2.      DELAWARE  TRUSTEE.  The name and business  address of the trustee of the
Trust in the State of Delaware are The Bank of New York  (Delaware),  White Clay
Center, Route 273, Newark, Delaware 19711.

3.      EFFECTIVE  DATE.  This  Certificate  of Trust  shall be  effective  upon
filing.

        IN WITNESS  WHEREOF,  the undersigned  have executed this Certificate of
Trust in accordance with Section 3811(a)(1) of the Act.

                                        THE BANK OF NEW YORK,
                                        as Trustee

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

                                        THE BANK OF NEW YORK (DELAWARE),
                                        as Delaware Trustee

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

                                        ---------------------------------------,
                                        Jeffrey D. Cross, as Trustee

                                        ---------------------------------------,
                                        Geoffrey S. Chatas, as Trustee

<PAGE>

                                                                       EXHIBIT B

                 THIS CERTIFICATE IS NOT TRANSFERABLE EXCEPT AS

                         PROVIDED IN THE TRUST AGREEMENT

       Certificate Number                 Number of Common Trust Securities

               C -

                 Certificate Evidencing Common Trust Securities

                                       of

                             SWEPCo Capital Trust II

                             Common Trust Securities

              (liquidation amount $[25] per Common Trust Security)

                SWEPCo  Capital  Trust II, a statutory  business  trust  created
under the laws of the State of Delaware (the  "Trust"),  hereby  certifies  that
Southwestern  Electric Power Company (the  "Holder") is the registered  owner of
_____ common securities of the Trust representing undivided beneficial interests
in the assets of the Trust and  designated  the SWEPCo  Capital  Trust II Common
Trust  Securities  (liquidation  amount  $[25] per Common Trust  Security)  (the
"Common  Trust  Securities").  Except as  permitted by Section 5.10 of the Trust
Agreement (as defined below),  the Common Trust  Securities are not transferable
and any  attempted  transfer  hereof shall be void.  The  designations,  rights,
privileges,  restrictions,  preferences  and other terms and  provisions  of the
Common Trust  Securities are set forth in, and this  certificate  and the Common
Trust  Securities  represented  hereby are issued and shall in all  respects  be
subject to the terms and provisions of, the Amended and Restated Trust Agreement
of the Trust dated as of  __________  __, ____,  as the same may be amended from
time to time (the "Trust Agreement"),  including the designation of the terms of
the Common Trust Securities as set forth therein.

                Capitalized  terms used  herein but not  defined  shall have the
meaning given them in the Trust  Agreement.  The holder of this  certificate  is
entitled  to the  benefits  of  the  Trust  Securities  Guarantee  Agreement  of
Southwestern  Electric  Power  Company  and  ______________________________,  as
guarantee  trustee,  dated as of ___________,  _____, as the same may be amended
from time to time, (the "Guarantee") to the extent provided  therein.] The Trust
will furnish a copy of the Trust  Agreement  [and the  Guarantee]  to the Holder
without  charge  upon  written  request to the Trust at its  principal  place of
business or registered office.

                Upon  receipt  of this  certificate,  the Holder is bound by the
Trust Agreement and is entitled to the benefits thereunder.

                By  acceptance,  the Holder  agrees to treat,  for United States
federal income tax purposes, the Debentures as indebtedness and the Common Trust
Securities  as evidence of undivided  beneficial  interests in the assets of the
Trust.

<PAGE>

                IN WITNESS WHEREOF,  an Administrative  Trustee of the Trust has
executed  this  certificate  for and on  behalf  of the  Trust  this  ___ day of
________, ____.

                                        SWEPCO CAPITAL TRUST I

                                        By:
                                           -------------------------------------
                                           not in his individual capacity,
                                           but solely as Administrative Trustee

<PAGE>

                                                                       EXHIBIT C

                                    [Legend]

       Certificate Number               Number of Preferred Trust Securities

               P-                                     CUSIP NO.

                Certificate Evidencing Preferred Trust Securities

                                       Of

                             SWEPCo Capital Trust II

                              [Title of Securities]

             (liquidation amount $[25] per Preferred Trust Security)

                SWEPCo  Capital  Trust II, a statutory  business  trust  created
under the laws of the State of Delaware (the  "Trust"),  hereby  certifies  that
____________   (the  "Holder")  is  the  registered  owner  of  _____  preferred
securities of the Trust  representing  an undivided  beneficial  interest in the
assets  of the  Trust  and  designated  the  SWEPCo  Capital  Trust II [Title of
Securities]  (liquidation  amount  $[25]  per  Preferred  Trust  Security)  (the
"Preferred Trust  Securities").  The Preferred Trust Securities are transferable
on the books  and  records  of the  Trust,  in  person  or by a duly  authorized
attorney,  upon surrender of this  certificate  duly endorsed and in proper form
for  transfer  as provided in Section  5.04 or 5.12 of the Trust  Agreement  (as
defined below). The designations, rights, privileges, restrictions,  preferences
and other terms and provisions of the Preferred  Trust  Securities are set forth
in, and this certificate and the Preferred Trust Securities  represented  hereby
are issued and shall in all respects be subject to the terms and  provisions of,
the Amended and Restated  Trust  Agreement of the Trust dated as of  __________,
____,  as the same may be  amended  from time to time (the  "Trust  Agreement"),
including the designation of the terms of the Preferred Trust  Securities as set
forth  therein.  Capitalized  terms used herein but not  defined  shall have the
meaning given them in the Trust  Agreement.  The holder of this  certificate  is
entitled  to the  benefits  of  the  Trust  Securities  Guarantee  Agreement  of
Southwestern  Electric  Power  Company  and  ______________________________,  as
guarantee  trustee,  dated as of ____________,  ____, as the same may be amended
from time to time, (the "Guarantee") to the extent provided  therein.  The Trust
will  furnish a copy of the Trust  Agreement  and the  Guarantee  to the  Holder
without  charge  upon  written  request to the Trust at its  principal  place of
business or registered office.

                Upon  receipt  of this  certificate,  the Holder is bound by the
Trust Agreement and is entitled to the benefits thereunder.

                By  acceptance,  the Holder  agrees to treat,  for United States
federal income tax purposes,  the Debentures as  indebtedness  and the Preferred
Trust Securities as evidence of undivided  beneficial interests in the assets of
the Trust.

                IN WITNESS WHEREOF,  one of the  Administrative  Trustees of the
Trust has executed this certificate for and on behalf of the Trust.

Dated:
                                                   SWEPCO CAPITAL TRUST I

                                        By:
                                           -------------------------------------
                                           not in his individual capacity,
                                           but solely as Administrative Trustee

                                      -40-
<PAGE>

Countersigned and Registered:
                                        -------------------------------,
                                        Transfer Agent and Registrar

                                        By:
                                           -------------------------------------
                                           (Authorized Signature)

<PAGE>

                                   ASSIGNMENT

                FOR VALUE RECEIVED,  the undersigned  assigns and transfers this
Preferred Trust Security to:

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

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

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

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

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

(Insert assignee's social security or tax identification number)
--------------------------------------------------------------------------------

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

(Insert address and zip code of assignee)
--------------------------------------------------------------------------------

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

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

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

of the Preferred Trust Securities represented by this Certificate and
irrevocably appoints
--------------------------------------------------------------------------------

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

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

--------------------------------------------------------------------------------
attorney to transfer such Preferred Trust Securities Certificate on the books of
the Trust. The attorney may substitute another to act for him or her.

Date:  ____________________________

Signature:  ________________________

(Sign  exactly as your name  appears on the other side of this  Preferred  Trust
Securities Certificate)

Signature:  ________________________

(Sign  exactly as your name  appears on the other side of this  Preferred  Trust
Securities Certificate)Exhibit 4(h)(iii)

================================================================================

                              AMENDED AND RESTATED

                                 TRUST AGREEMENT

                                      among

                       SOUTHWESTERN ELECTRIC POWER COMPANY

                  as Depositor and Trust Securities Guarantor,

                              THE BANK OF NEW YORK,

                              as Property Trustee,

                        THE BANK OF NEW YORK (DELAWARE),

                              as Delaware Trustee,

                    THE ADMINISTRATIVE TRUSTEES NAMED HEREIN

                                       and

                   THE SEVERAL HOLDERS OF THE TRUST SECURITIES

                            Dated as of ______, ____

                             SWEPCO CAPITAL TRUST II

================================================================================

<PAGE>

                             SWEPCO CAPITAL TRUST II

              Certain Sections of this Trust Agreement relating to
                         Sections 310 through 318 of the
                          Trust Indenture Act of 1939:

Trust Indenture                                                  Trust Agreement
  ACT SECTION                                                            SECTION

Section 310(a)(1)          .......................................8.07
              (a)(2)       .......................................8.07
              (a)(3)       .......................................8.09
              (a)(4)       .......................................Not Applicable
              (b)          .......................................8.08
Section 311(a)             .......................................8.13
              (b)          .......................................8.13
Section 312(a)             .......................................5.07
              (b)          .......................................5.07
              (c)          .......................................5.07
Section 313(a)             .......................................8.14(a)
              (b)          .......................................8.14(a)
              (c)          .......................................8.14(a)
              (d)          .......................................8.14(b)
Section 314(a)             .......................................8.15
              (b)          .......................................Not Applicable
              (c)(1)       .......................................8.16
              (c)(2)       .......................................8.16
              (c)(3)       .......................................Not Applicable
              (d)          .......................................Not Applicable
              (e)          .......................................1.01
Section 315(a)             .......................................8.01, 8.03
              (b)          .......................................8.02
              (c)          .......................................8.01(a)
              (d)          .......................................8.01, 8.03
              (e)          .......................................Not Applicable
Section 316(a)             .......................................6.01
              (a)(1)(A)    .......................................6.01
              (a)(1)(B)    .......................................Not Applicable
              (a)(2)       .......................................Not Applicable
              (b)          .......................................Not Applicable
              (c)          .......................................6.07
Section 317(a)(1)          .......................................Not Applicable
              (a)(2)       .......................................Not Applicable
              (b)          .......................................5.09
Section 318(a)             .......................................10.10

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

<PAGE>

                                TABLE OF CONTENTS

                                    ARTICLE I

                                  DEFINED TERMS
Section 1.01.     Definitions..................................................1

                                 ARTICLE II

                          CONTINUATION OF THE TRUST
Section 2.01.     Name.........................................................8
Section 2.02.     Office of the Delaware Trustee; Principal Place of
                  Business.....................................................8
Section 2.03.     Initial Contribution of Trust Property;
                  Organizational Expenses......................................9
Section 2.04.     Issuance of the Preferred Trust Securities...................9
Section 2.05.     Subscription and Purchase of Debentures; Issuance of
                  the Common Trust Securities .................................9
Section 2.06.     Declaration of Trust; Appointment of Additional
                  Administrative Trustees .....................................9
Section 2.07.     Authorization to Enter into Certain Transactions.............9
Section 2.08.     Assets of Trust.............................................12
Section 2.09.     Title to Trust Property.....................................12

                                 ARTICLE III

                               PAYMENT ACCOUNT
Section 3.01.     Payment Account.............................................12

                                 ARTICLE IV

                          DISTRIBUTIONS; REDEMPTION
Section 4.01.     Distributions...............................................12
Section 4.02.     Redemption..................................................13
Section 4.03.     Subordination of Common Trust Securities....................14
Section 4.04.     Payment Procedures..........................................15
Section 4.05.     Tax Returns and Reports.....................................15
Section 4.06.     Payments under Indenture....................................15
Section 4.07.     [Remarketing]...............................................15

                                  ARTICLE V

                        TRUST SECURITIES CERTIFICATES
Section 5.01.     Initial Ownership...........................................16
Section 5.02.     The Trust Securities Certificates...........................16
Section 5.03.     Execution and Delivery of Trust Securities Certificates.....16
Section 5.04.     Registration of Transfer and Exchange of Trust
                  Securities Certificates ....................................16
Section 5.05.     Mutilated, Destroyed, Lost or Stolen Trust Securities
                  Certificates ...............................................17
Section 5.06.     Persons Deemed Securityholders..............................17
Section 5.07.     Access to List of Securityholders' Names and Addresses......17
Section 5.08.     Maintenance of Office or Agency.............................17
Section 5.09.     Appointment of Paying Agent.................................18
Section 5.10.     Ownership of Common Trust Securities by Depositor...........18
Section 5.11.     Definitive Preferred Trust Securities Certificates..........18
Section 5.12.     Book-Entry System...........................................19
Section 5.13.     Rights of Securityholders...................................19
Section 5.14.     Cancellation by Transfer Agent and Registrar................19

                                      -i-
<PAGE>

                                 ARTICLE VI

                  ACTS OF SECURITYHOLDERS; MEETINGS; VOTING
Section 6.01.     Limitations on Voting Rights................................20
Section 6.02.     Notice of Meetings..........................................21
Section 6.03.     Meetings of Holders of Preferred Trust Securities...........21
Section 6.04.     Voting Rights...............................................21
Section 6.05.     Proxies, etc................................................21
Section 6.06.     Securityholder Action by Written Consent....................21
Section 6.07.     Record Date for Voting and Other Purposes...................21
Section 6.08.     Acts of Securityholders.....................................22
Section 6.09.     Inspection of Records.......................................22

                                 ARTICLE VII

                      REPRESENTATIONS AND WARRANTIES OF THE
                    PROPERTY TRUSTEE AND THE DELAWARE TRUSTEE
Section 7.01.     Property Trustee............................................23
Section 7.02.     Delaware Trustee............................................23

                                ARTICLE VIII

                                THE TRUSTEES
Section 8.01.     Certain Duties and Responsibilities.........................24
Section 8.02.     Notice of Defaults..........................................25
Section 8.03.     Certain Rights of Property Trustee..........................25
Section 8.04.     Not Responsible for Recitals or Issuance of Securities......27
Section 8.05.     May Hold Securities.........................................27
Section 8.06.     Compensation; Fees; Indemnity...............................27
Section 8.07.     Certain Trustees Required; Eligibility......................28
Section 8.08.     Conflicting Interests.......................................28
Section 8.09.     Co-Trustees and Separate Trustee............................28
Section 8.10.     Resignation and Removal; Appointment of Successor...........29
Section 8.11.     Acceptance of Appointment by Successor......................30
Section 8.12.     Merger, Conversion, Consolidation or Succession to
                  Business ...................................................31
Section 8.13.     Preferential Collection of Claims Against Depositor
                  or Trust ...................................................31
Section 8.14.     Reports by Property Trustee.................................31
Section 8.15.     Reports to the Property Trustee.............................31
Section 8.16.     Evidence of Compliance With Conditions Precedent............31
Section 8.17.     Number of Trustees..........................................31
Section 8.18.     Delegation of Power.........................................32
Section 8.19.     Fiduciary Duty..............................................32
Section 8.20.     Delaware Trustee............................................32

                                 ARTICLE IX

                           DISSOLUTION AND LIQUIDATION
Section 9.01.     Dissolution Upon Expiration Date............................33
Section 9.02.     Early Dissolution...........................................33
Section 9.03.     Termination.................................................33
Section 9.04.     Liquidation.................................................33
Section 9.05.     Mergers, Consolidations, Amalgamations or Replacements of
                  the Trust ..................................................35

                                      -ii-

<PAGE>

                                  ARTICLE X

                          MISCELLANEOUS PROVISIONS
Section 10.01.    Payment of Expenses of the Trust............................35
Section 10.02.    Limitation of Rights of Securityholders.....................36
Section 10.03.    Amendment...................................................36
Section 10.04.    Separability................................................37
Section 10.05.    Governing Law...............................................37
Section 10.06.    Successors..................................................37
Section 10.07.    Headings....................................................37
Section 10.08.    Notice and Demand...........................................37
Section 10.09.    Agreement Not to Petition...................................37
Section 10.10.    Conflict with Trust Indenture Act...........................38
Section 10.11.    Counterparts................................................38

<PAGE>

                  AMENDED  AND  RESTATED  TRUST  AGREEMENT,  dated as of ______,
____, among (i) Southwestern  Electric Power Company, a Delaware  corporation as
depositor  (the  "Depositor")  and as Trust  Securities  guarantor  (the  "Trust
Securities  Guarantor"),  (ii) The Bank of New York, a banking  corporation duly
organized and existing  under the laws of the State of New York, as trustee (the
"Property  Trustee"  and, in its  separate  capacity  and not in its capacity as
Property  Trustee,  the  "Bank"),  (iii)  The  Bank of New York  (Delaware),  as
Delaware trustee (the "Delaware Trustee"), (iv) Jeffrey D. Cross and Geoffrey S.
Chatas,  each an individual,  and each of whose address is c/o American Electric
Power  Company,  Inc.,  1  Riverside  Plaza,  Columbus,  Ohio  43215  (each,  an
"Administrative  Trustee" and collectively the  "Administrative  Trustees") (the
Property  Trustee,  the  Delaware  Trustee and the  Administrative  Trustees are
referred to herein each as a "Trustee" and collectively as the "Trustees"),  and
(v) the several Holders, as hereinafter defined.

                                R E C I T A L S:

                  The Depositor,  the Property Trustee, the Delaware Trustee and
Jeffrey D. Cross and Geoffrey S. Chatas,  each as Administrative  Trustee,  have
heretofore  duly  created and  continued a  statutory  trust under the  Delaware
Statutory Trust Act by the entering into that certain Trust Agreement,  dated as
of August 15, 2003 (the "Original Trust Agreement"), as amended by the execution
and  filing  with  the  Secretary  of  State of the  State  of  Delaware  of the
Certificate of Trust,  dated August 15, 2003 (attached  hereto as Exhibit A and,
as it may be amended from time to time, the "Certificate of Trust").

                  The Trust and the Depositor have entered into an  Underwriting
Agreement dated __________, ____ with ______________________________.

                  The parties  hereto desire to provide for, among other things,
(i) the issuance of the Common Trust Securities,  as hereinafter defined, by the
Trust to the Depositor,  (ii) the issuance of the Preferred Trust Securities, as
hereinafter  defined, by the Trust,  pursuant to the Underwriting  Agreement and
(iii) the  acquisition  by the Trust of all of the right,  title and interest in
the Debentures, as hereinafter defined.

                  NOW  THEREFORE,   in   consideration  of  the  agreements  and
obligations set forth herein and for other good and valuable consideration,  the
receipt and  sufficiency of which is hereby  acknowledged,  each party,  for the
benefit of the other  party and for the benefit of the  Securityholders,  hereby
agrees as follows:

                                    ARTICLE I

                                  DEFINED TERMS

                  Section 1.01.  Definitions.(a)  For all purposes of this Trust
                  Agreement,  except as otherwise  expressly  provided or unless
                  the context  otherwise  requires:(b) the terms defined in this
                  Article have the meanings assigned to them in this Article and
                  include the plural as well as the singular;

                           (c)  all other terms used  herein that are defined in
                  the Trust  Indenture  Act,  either  directly  or by  reference
                  therein, have the meanings assigned to them therein;

                           (d)  unless  the  context  otherwise  requires,   any
                  reference to an "Article" or a "Section"  refers to an Article
                  or a Section, as the case may be, of this Trust Agreement; and

                           (e)  the words "herein", "hereof" and "hereunder" and
                  other words of similar import refer to this Trust Agreement as
                  a whole and not to any  particular  Article,  Section or other
                  subdivision.

                  "Act" has the meaning specified in Section 6.08.

<PAGE>

                  "Additional Amount" means, with respect to Trust Securities of
a given Liquidation Amount for a given period, the amount of Additional Interest
(as defined in the  Subordinated  Indenture)  paid by the Debenture  Issuer on a
Like Amount of Debentures for such period.

                  "Administrative   Trustee"  means  each  of  the   individuals
identified  as an  "Administrative  Trustee"  in  the  preamble  to  this  Trust
Agreement solely in their capacities as Administrative Trustees of the Trust and
not in their individual  capacities,  or such trustee's successor in interest in
such capacity, or any successor trustee appointed as herein provided.

                  "Adverse  Tax  Consequence"  means  any of  the  circumstances
described  in  clauses  (i),  (ii) and (iii) of the  definition  of "Tax  Event"
herein.

                  "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 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.

                  "Authorized  Officer"  means the  Chairman  of the Board,  the
President and Vice  President,  the  Treasurer,  any Assistant  Treasurer or any
other  officer  or  agent  of the  Depositor  duly  authorized  by the  Board of
Directors to act in respect of matters relating to this Trust Agreement.

                  "Bank" has the meaning specified in the preamble to this Trust
Agreement.

                  "Bankruptcy Event" means, with respect to any Person:

                           (i)    the  entry  of a  decree  or  order by a court
                  having  jurisdiction  in the  premises  judging  such Person a
                  bankrupt  or  insolvent,  or  approving  as  properly  filed a
                  petition seeking reorganization,  arrangement, adjudication or
                  composition  of or in respect  of such  Person  under  Federal
                  bankruptcy law or any other  applicable  Federal or state law,
                  or  appointing  a  receiver,  liquidator,  assignee,  trustee,
                  sequestrator  or other  similar  official of such Person or of
                  any substantial part of its property,  or ordering the winding
                  up or liquidation of its affairs,  and the  continuance of any
                  such decree or order unstayed and in effect for a period of 60
                  consecutive days; or

                           (ii)   the  institution by such Person of proceedings
                  to be  adjudicated a bankrupt or insolvent,  or of the consent
                  by  it  to  the   institution   of  bankruptcy  or  insolvency
                  proceedings  against  it, or the filing by it of a petition or
                  answer or  consent  seeking  reorganization  or  relief  under
                  Federal  bankruptcy  law or any other  applicable  Federal  or
                  state law, or the consent by it to the filing of such petition
                  or to the  appointment  of a receiver,  liquidator,  assignee,
                  trustee, sequestrator or similar official of such Person or of
                  any substantial  part of its property,  or the making by it of
                  an assignment  for the benefit of creditors,  or the admission
                  by it in writing of its  inability to pay its debts  generally
                  as they become due.

                  "Bankruptcy Laws" has the meaning specified in Section 10.09.

                  "Business  Day"  means a day other  than (x) a  Saturday  or a
Sunday,  (y) a day on which  banks in New  York,  New  York  are  authorized  or
obligated by law or executive  order to remain  closed or (z) a day on which the
Property Trustee's  Corporate Trust Office or the Debenture  Trustee's principal
corporate trust office is closed for business.

                  "Certificate of Trust" has the meaning  specified the recitals
hereof.

                                      -2-
<PAGE>

                  "Clearing  Agency"  means  an  organization  registered  as  a
"clearing agency" pursuant to Section 17A of the Exchange Act.

                  "Closing  Date" means the date of  execution  and  delivery of
this Trust Agreement.

                  "Code" means the Internal Revenue Code of 1986, as amended.

                  "Commission" 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  instrument such Commission is not existing and
performing the duties now assigned to it under the Trust Indenture Act, then the
body performing such duties at such time.

                  "Common  Trust  Security"  means a  security  representing  an
undivided  beneficial  interest in the assets of the Trust having a  Liquidation
Amount of $25 and having the rights provided  therefor in this Trust  Agreement,
including  the right to  receive  Distributions,  Debentures  and a  Liquidation
Distribution as provided herein.

                  "Common  Trust  Securities  Certificate"  means a  certificate
evidencing  ownership  of Common  Trust  Securities,  substantially  in the form
attached as Exhibit B.

                  "Corporate  Trust Office" means the principal  corporate trust
office of the Property  Trustee  located in New York, New York which at the date
of  execution of this Trust  Agreement is located at 450 West 33rd Street,  15th
Floor, New York, New York 10001.

                  "Covered   Person"   means:   (a)   any   officer,   director,
shareholder, partner, member, representative,  employee or agent of the Trust or
the Trust's Affiliates; and (b) any Holder of Trust Securities.

                  "Debenture  Event of  Default"  means an "Event of Default" as
defined in the Subordinated Indenture.

                  "Debenture Issuer" means Southwestern  Electric Power Company,
a Delaware  corporation,  in its capacity as issuer of the  Debentures,  and its
successors.

                  "Debenture Redemption Date" means "Redemption Date" as defined
in the Subordinated Indenture with respect to the Debentures.

                  "Debenture  Trustee" means  ______________________________,  a
New York banking corporation,  as trustee under the Subordinated Indenture,  and
its permitted successors and assigns as such trustee.

                  "Debentures" means $___________  aggregate principal amount of
the  Debenture  Issuer's  __%  Subordinated  Debt  Securities,  Series _, issued
pursuant to the Subordinated Indenture which will mature on ________, _______.

                  "Definitive  Preferred Trust  Securities  Certificates"  means
Preferred Trust Securities Certificates issued in certificated, fully registered
form as provided in Section 5.11.

                  "Delaware Statutory Trust Act" means Chapter 38 of Title 12 of
the Delaware  Code, 12 Del. Code Section 3801 et seq., as it may be amended from
time to time.

                  "Delaware Trustee" means the banking corporation identified as
the  "Delaware  Trustee" in the preamble to this Trust  Agreement  solely in its
capacity as Delaware Trustee of the Trust and not in its individual capacity, or
its successor in interest in such capacity,  or any successor  trustee appointed
as herein provided.

                                      -3-
<PAGE>

                  "Depositor" has the meaning  specified in the preamble to this
Trust  Agreement  and  includes  Southwestern  Electric  Power  Company,  in its
capacity as Holder of the Common Trust Securities, and its successors.

                  "Distribution  Date"  has the  meaning  specified  in  Section
4.01(a).

                  "Distributions"  means amounts payable in respect of the Trust
Securities as provided in Section 4.01.

                  "Early Termination Event" has the meaning specified in Section
9.02.

                  "Event  of  Default"  means  any one of the  following  events
(whatever the reason for such Event of Default and whether it shall be voluntary
or  involuntary  or be effected by operation of law or pursuant to any judgment,
decree  or  order  of  any  court  or  any  order,  rule  or  regulation  of any
administrative or governmental body):

                           (i)    the   occurrence  of  a  Debenture   Event  of
                  Default; or

                           (ii)   default  by the  Trust in the  payment  of any
                  Distribution when it becomes due and payable, and continuation
                  of such default for a period of 30 days; or

                           (iii)  default  by the  Trust in the  payment  of any
                  Redemption Price,  plus accumulated and unpaid  Distributions,
                  of any Trust Security when it becomes due and payable; or

                           (iv)   default in the performance,  or breach, in any
                  material respect,  of any covenant or warranty of the Trustees
                  in this Trust  Agreement  (other than a covenant or warranty a
                  default in whose  performance or breach is specifically  dealt
                  with in clause (ii) or (iii),  above) and continuation of such
                  default or breach for a period of 90 days after there has been
                  given,  by  registered or certified  mail,  to the Trust,  the
                  defaulting  trustee  and the  Depositor  by the  Holders of at
                  least 25% in Liquidation  Amount of the Outstanding  Preferred
                  Trust  Securities a written notice  specifying such default or
                  breach and  requiring  it to be remedied and stating that such
                  notice is a "Notice of Default" hereunder; or

                           (v)    the  occurrence  of a  Bankruptcy  Event  with
                  respect to the Trust.

                  "Exchange Act" means the  Securities  Exchange Act of 1934, as
amended.

                  "Expiration  Date" shall have the meaning specified in Section
9.01.

                  "Indemnified  Person" means any Trustee,  any Affiliate of any
Trustee, or any officer,  director,  shareholder,  member,  partners,  employee,
representative or agent of any Trustee, or any employee or agent of the Trust or
its Affiliates.

                  "Investment  Company Act" means the Investment  Company Act of
1940, as amended.

                  ["Investment  Company Event" means the receipt by the Trust of
an Opinion of  Counsel  experienced  in such  matters to the effect  that,  as a
result  of the  occurrence  of a change  in law or  regulation  or a  change  in
interpretation  or  application  of law or regulation by any  legislative  body,
court, governmental agency or regulatory authority (a "Change in 1940 Act Law"),
the Trust is or will be considered an  "investment  company" that is required to
be registered  under the 1940 Act, which change in 1940 Act Law become effective
on or after the date of original issuance of the Preferred Securities under this
Trust Agreement.

                  "Lien" means any lien, pledge, charge, encumbrance,  mortgage,
deed of trust, adverse ownership interest,  hypothecation,  assignment, security
interest or  preference,  priority or other security  agreement or  preferential
arrangement of any kind or nature whatsoever.

                                      -4-
<PAGE>

                  "Like Amount" means (i) Trust Securities  having a Liquidation
Amount  equal to the  principal  amount of  Debentures  to be  contemporaneously
redeemed in accordance with the Subordinated Indenture and the proceeds of which
will  be used  to pay  the  Redemption  Price  of  such  Trust  Securities  plus
accumulated  and  unpaid  Distributions  to the  date of such  payment  and (ii)
Debentures  having a principal  amount  equal to the  Liquidation  Amount of the
Trust Securities of the Holders to which such Debentures are distributed.

                  "Liquidation  Amount" means the stated amount of $25 per Trust
Security.

                  "Liquidation  Date" means the date on which  Debentures are to
be distributed to Holders of Trust  Securities in connection  with a dissolution
and liquidation of the Trust pursuant to Section 9.04.

                  "Liquidation   Distribution"  has  the  meaning  specified  in
Section 9.04(e).

                  "Offer" has the meaning specified in Section 2.07(c).

                  "Officer's  Certificate"  means  a  certificate  signed  by an
Authorized  Officer of the Depositor and delivered to the  appropriate  Trustee.
Any officer  signing an  Officer's  Certificate  given  pursuant to Section 8.16
shall  be the  principal  executive,  financial  or  accounting  officer  of the
Depositor. Any Officer's Certificate delivered with respect to compliance with a
condition or covenant provided for in this Trust Agreement shall include:

                           (a)    a  statement  that  the  officer  signing  the
                  Officer's  Certificate  has read the covenant or condition and
                  the definitions relating thereto;

                           (b)    a brief  statement  of the nature and scope of
                  the examination or investigation undertaken by such officer in
                  rendering the Officer's Certificate;

                           (c)    a  statement  that such  officer has made such
                  examination or investigation as, in such officer's opinion, is
                  necessary  to enable  such  officer  to  express  an  informed
                  opinion as to whether or not such  covenant or  condition  has
                  been complied with; and

                           (d)    a statement  as to whether,  in the opinion of
                  such  officer,  such  condition or covenant has been  complied
                  with.

                  "Opinion of Counsel" means a written  opinion of counsel,  who
may be counsel for the Trust, the Property Trustee,  the Delaware Trustee or the
Depositor,  and who shall be reasonably  acceptable to the Property Trustee. Any
Opinion of Counsel  delivered  with  respect to  compliance  with a condition or
covenant  provided  for  in  this  Trust  Agreement  shall  include   statements
comparable  to the  statements  referred  to in  the  definition  of  "Officer's
Certificate" herein.

                  "Trust Agreement" has the meaning specified in the recitals to
this Trust Agreement.

                  "Outstanding,"  when  used with  respect  to  Preferred  Trust
Securities,  means,  as of  the  date  of  determination,  all  Preferred  Trust
Securities theretofore delivered under this Trust Agreement, except:

                           (i)    Preferred   Trust    Securities    theretofore
                  canceled by the Transfer  Agent and  Registrar or delivered to
                  the Transfer Agent and Registrar for cancellation;

                           (ii)   Preferred  Trust  Securities for whose payment
                  or  redemption   money  in  the  necessary   amount  has  been
                  theretofore  deposited with the Property Trustee or any Paying
                  Agent for the  Holders  of such  Preferred  Trust  Securities;
                  provided  that, if such Preferred  Trust  Securities are to be
                  redeemed,  notice  of such  redemption  has  been  duly  given
                  pursuant to this Trust Agreement; and

                                      -5-
<PAGE>

                           (iii)  Preferred  Trust  Securities  which  have been
                  paid or in exchange  for or in lieu of which  other  Preferred
                  Trust  Securities  have been delivered  pursuant to this Trust
                  Agreement, including pursuant to Sections 5.04, 5.05 or 5.11;

provided,  however,  that in  determining  whether the Holders of the  requisite
Liquidation Amount of the Outstanding  Preferred Trust Securities have given any
request, demand, authorization,  direction, notice, consent or waiver hereunder,
Preferred  Trust  Securities  owned  by  the  Depositor,  the  Trust  Securities
Guarantor,  any  Administrative  Trustee or any Affiliate of the Depositor,  the
Trust Securities  Guarantor or any  Administrative  Trustee shall be disregarded
and deemed not to be  Outstanding,  except that (a) in  determining  whether any
Trustee  shall  be  protected  in  relying  upon  any  such   request,   demand,
authorization,  direction,  notice,  consent or  waiver,  only  Preferred  Trust
Securities  which such Trustee knows to be so owned shall be so disregarded  and
(b) the  foregoing  shall  not  apply  at any time  when all of the  Outstanding
Preferred  Trust  Securities  are owned by the Depositor,  the Trust  Securities
Guarantor, one or more of the Administrative Trustees and/or any such Affiliate.
Preferred Trust Securities so owned which have been pledged in good faith may be
regarded as Outstanding if the pledgee  establishes to the  satisfaction  of the
Administrative  Trustees  the  pledgee's  right so to act with  respect  to such
Preferred  Trust  Securities  and that the pledgee is not the  Depositor  or the
Trust  Securities  Guarantor,  or any  Affiliate  of the  Depositor or the Trust
Securities Guarantor.

                  "Owner"  means each  Person who is the  beneficial  owner of a
Trust  Securities  Certificate  as  reflected  in the records of the  Securities
Depository  or, if a Securities  Depository  participant  is not the  beneficial
owner, then as reflected in the records of a Person  maintaining an account with
such  Securities  Depository  (directly or  indirectly),  in accordance with the
rules of such Securities Depository.

                  "Paying  Agent"  means any  paying  agent or  co-paying  agent
appointed pursuant to Section 5.09 and shall initially be the Property Trustee.

                  "Payment  Account"  means  a  segregated  non-interest-bearing
corporate  trust account  maintained  by the Property  Trustee with the Bank, or
such other banking  institution as the Depositor shall select for the benefit of
the  Securityholders in which all amounts paid in respect of the Debentures will
be held and from which the Paying Agent,  pursuant to Section  5.09,  shall make
payments to the Securityholders in accordance with Sections 4.01 and 4.02.

                  "Person" means any individual, corporation, partnership, joint
venture,  trust,  limited  liability  company  or  corporation,   unincorporated
organization or government or any agency or political subdivision thereof.

                  "Preferred  Trust Security"  means a security  representing an
undivided  beneficial  interest in the assets of the Trust having a  Liquidation
Amount of $25 and having  rights  provided  therefor  in this  Trust  Agreement,
including  the right to  receive  Distributions,  Debentures  and a  Liquidation
Distribution as provided herein and, in certain circumstances, a preference over
the Common Trust Securities.

                  "Preferred Trust Securities  Certificate"  means a certificate
evidencing  ownership of Preferred Trust  Securities,  substantially in the form
attached as Exhibit C.

                  "Property  Trustee" means the commercial bank or trust company
identified  as the  "Property  Trustee" in the preamble to this Trust  Agreement
solely  in its  capacity  as  Property  Trustee  of  the  Trust  and  not in its
individual  capacity,  or its  successor  in interest in such  capacity,  or any
successor trustee appointed as herein provided.

                  "Redemption Date" means, with respect to any Trust Security to
be  redeemed,  the date fixed for such  redemption  by or pursuant to this Trust
Agreement;  provided that each Debenture  Redemption  Date shall be a Redemption
Date for a Like Amount of Trust Securities.

                  "Redemption  Price" means,  with respect to any date fixed for
redemption of any Trust Security, the Liquidation Amount of such Trust Security.

                                      -6-
<PAGE>

                  "Relevant Trustee" shall have the meaning specified in Section
8.10.

                  "Responsible  Officer," when used with respect to the Property
Trustee,  means an officer of the  Property  Trustee  assigned  by the  Property
Trustee to administer its corporate trust matters.

                  "Securities  Depository"  shall have the meaning  specified in
Section  5.12.  The  Depository  Trust  Company  will be the initial  Securities
Depository.

                  "Securities  Register"  shall mean the Securities  Register as
described in Section 5.04.

                  "Securityholder"  or  "Holder"  means a Person in whose name a
Trust Security or Securities is registered in the Securities Register;  any such
Person shall be a beneficial  owner of such  security  within the meaning of the
Delaware Statutory Trust Act.

                  "Subordinated  Indenture"  means  the  Indenture,  dated as of
____________,  ____, among the Debenture Issuer, the Depositor, as guarantor and
the Debenture Trustee, as trustee, as amended or supplemented from time to time.

                  "Tax Event" means the receipt by the Trust or the Depositor of
an Opinion of  Counsel  experienced  in such  matters to the effect  that,  as a
result of (a) any  amendment  to,  clarification  of, or change  (including  any
announced  prospective  change)  in, the laws or  treaties  (or any  regulations
thereunder)  of  the  United  States  or any  political  subdivision  or  taxing
authority  thereof or therein affecting  taxation,  (b) any judicial decision or
any official administrative pronouncement,  ruling, regulatory procedure, notice
or  announcement  (including  any notice or  announcement  of intent to issue or
adopt any such administrative  pronouncement,  ruling,  regulatory  procedure or
regulation)  (each,  an  "Administrative  Action"),  or (c)  any  amendment  to,
clarification  of, or change in the official  position or the  interpretation of
any such  Administrative  Action or judicial  decision or any  interpretation or
pronouncement  that provides for a position with respect to such  Administrative
Action or judicial decision that differs from the theretofore generally accepted
position, in each case by any legislative body, court, governmental authority or
regulatory  body,  irrespective  of the time or manner in which such  amendment,
clarification   or  change  is  introduced  or  made  known,   which  amendment,
clarification,  or change is effective,  or which Administrative Action is taken
or which  judicial  decision  is  issued,  in each  case on or after the date of
issuance of the Preferred Trust Securities,  there is more than an insubstantial
risk that (i) the Trust is, or will be subject to United States  Federal  income
tax with respect to interest  received on the Debentures,  (ii) interest payable
by the Depositor on the  Debentures is not, or will not be, fully  deductible by
the Depositor for United States Federal income tax purposes,  or (iii) the Trust
is, or will be subject to more than a de minimis  amount of other taxes,  duties
or other governmental charges.

                  "Transfer  Agent and Registrar"  shall mean the transfer agent
and  registrar  for the Preferred  Trust  Securities  appointed by the Trust and
shall be initially the Property Trustee.

                  "Trust"  means the  Delaware  statutory  trust  created by the
Trust Agreement and the Certificate of Trust and continued hereby and identified
on the cover page to this Trust Agreement.

                  "Trust  Agreement"  means  this  Amended  and  Restated  Trust
Agreement,  as the same may be modified,  amended or  supplemented in accordance
with the applicable  provisions  hereof,  including (i) all exhibits  hereto and
(ii) for all purposes of this Amended and Restated Trust  Agreement and any such
modification, amendment or supplement, the provisions of the Trust Indenture Act
that are deemed to be a part of and  govern  this  Amended  and  Restated  Trust
Agreement and any such modification, amendment or supplement, respectively.

                  "Trust Indenture Act" means the Trust Indenture Act of 1939 as
amended  and in  force at the date as of which  this  instrument  was  executed;
provided,  however, that in the event the Trust Indenture Act of 1939 is amended
after such date, "Trust Indenture Act" means, to the extent required by any such
amendment, the Trust Indenture Act of 1939 as so amended.

                                      -7-
<PAGE>

                  "Trust  Property" means (i) the  Debentures,  (ii) any cash on
deposit in, or owing to, the Payment  Account and (iii) all  proceeds and rights
in respect of the  foregoing  for the time  being held by the  Property  Trustee
pursuant to the terms of this Trust Agreement.

                  "[Trust]  Securities  Certificate" means any one of the Common
Trust Securities Certificates or the Preferred Trust Securities Certificates.

                  "Trust  Securities   Guarantee"  means  the  Trust  Securities
Guarantee  Agreement  executed and delivered by the Depositor,  as guarantor and
______________________________,  a New York  banking  corporation,  as  trustee,
contemporaneously  with the execution and delivery of this Trust Agreement,  for
the benefit of the Holders of the [Preferred] Trust Securities,  as amended from
time to time.

                  "Trust Securities Guarantor" means Southwestern Electric Power
Company,  a Delaware  corporation,  and its  successors,  as guarantor under the
Trust Securities Guarantee.

                  "Trust  Security" means any one of the Common Trust Securities
or the Preferred Trust Securities. The Common Trust Securities and the Preferred
Trust Securities  represent the sole beneficial  interests in the Trust, and the
Trust shall not issue any interests other than the Trust Securities.

                  "Trustees"  mean,  collectively,  the  Property  Trustee,  the
Delaware Trustee and the Administrative Trustees.

                  "Underwriting  Agreement"  means the  Underwriting  Agreement,
dated  as of  ____________,  ____,  among  the  Trust,  the  Depositor  and  the
underwriters named therein.

                  [Additional  Definitions  if  Securities  are to be  issued in
connection with Stock Purchase Units]

                                   ARTICLE II

                            Continuation of the Trust

                  Section 2.01.  Name.The Trust continued  hereby shall be known
as "SWEPCo Capital Trust III", as such name may be modified from time to time by
the  Administrative  Trustees  following  written notice to the Holders of Trust
Securities  and the other  Trustees,  in which name the Trustees may conduct the
business  of the Trust,  make and execute  contracts  and other  instruments  on
behalf of the Trust and sue and be sued.

                  Section 2.02.  Office of the Delaware Trustee; Principal Place
of Business.The office of the Delaware Trustee in the State of Delaware is White
Clay Center,  Route 273,  Newark,  Delaware  19711,  or at such other address in
Delaware  as the  Delaware  Trustee  may  designate  by  written  notice  to the
Securityholders, the Depositor and the Trust Securities Guarantor. The principal
place of business of the Trust is c/o  Southwestern  Electric Power  Company,  1
Riverside Plaza, Columbus, Ohio 43215.

                                      -8-
<PAGE>

                  Section 2.03.  Initial    Contribution   of  Trust   Property;
Organizational  Expenses.The Property Trustee acknowledges receipt in trust from
the Depositor in connection  with the Trust  Agreement of the sum of $10,  which
constituted the initial Trust Property.  The Depositor shall pay  organizational
expenses  of the Trust as they  arise or shall,  upon  request  of any  Trustee,
promptly reimburse such Trustee for any such expenses paid by such Trustee.  The
Depositor  shall make no claim upon the Trust  Property  for the payment of such
expenses.

                  Section 2.04.  Issuance of the Preferred  Trust  Securities.On
____________, ____, an authorized representative of the Depositor and the Trust,
both executed and delivered the Underwriting  Agreement.  Contemporaneously with
the execution and delivery of this Trust  Agreement,  one of the  Administrative
Trustees,  on behalf of the Trust in accordance with Section 5.02,  executed and
delivered a Preferred Trust  Securities  Certificate,  registered in the name of
the nominee of The  Depository  Trust Company,  having an aggregate  Liquidation
Amount of $___________.

                  Section 2.05.  Subscription   and   Purchase   of  Debentures;
Issuance of the Common Trust Securities.Contemporaneously with the execution and
delivery of this Trust Agreement,  the Administrative Trustees, on behalf of the
Trust,  subscribed  to and  purchased  from  the  Debenture  Issuer  Debentures,
registered in the name of the Property Trustee and having an aggregate principal
amount equal to $___________ and, in satisfaction of the purchase price for such
Debentures,  (x) one of the  Administrative  Trustees,  on behalf of the  Trust,
executed and delivered to the Depositor  Common Trust  Securities  Certificates,
registered  in the  name  of the  Depositor,  representing  _____  Common  Trust
Securities  having an aggregate  Liquidation  Amount of $_________,  and (y) the
Property Trustee, on behalf of the Trust,  delivered to the Debenture Issuer the
sum of  $___________  representing  the proceeds  from the sale of the Preferred
Trust Securities pursuant to the Underwriting Agreement.

                  Section 2.06.  Declaration of Trust; Appointment of Additional
Administrative  Trustees.  The exclusive purposes and functions of the Trust are
(i) to issue Trust Securities and invest the proceeds thereof in Debentures, and
(ii) to  engage  in  those  activities  necessary  or  incidental  thereto.  The
Depositor hereby appoints the Trustees as trustees of the Trust, to have all the
rights,  powers  and duties to the extent  set forth  herein,  and the  Trustees
hereby accept such  appointment.  The Property  Trustee hereby  declares that it
will hold the Trust  Property  in trust upon and subject to the  conditions  set
forth herein for the benefit of the Securityholders. The Trustees shall have all
rights, powers and duties set forth herein and in accordance with applicable law
with respect to accomplishing the purposes of the Trust.  Anything in this Trust
Agreement to the contrary  notwithstanding,  the Delaware  Trustee  shall not be
entitled to exercise any powers,  nor shall the Delaware Trustee have any of the
duties  and  responsibilities  of the  Property  Trustee  or the  Administrative
Trustees set forth herein.  The Delaware Trustee shall be one of the Trustees of
the Trust for the sole and limited  purpose of fulfilling  the  requirements  of
Section 3807 of the Delaware Statutory Trust Act.

                  Section 2.07.  Authorization    to    Enter    into    Certain
Transactions.The  Trustees  shall conduct the affairs of the Trust in accordance
with the terms of this Trust Agreement.  Subject to the limitations set forth in
paragraph  (b) of this  Section  and  Article  VIII and in  accordance  with the
following provisions (A) and (B), the Trustees shall have the authority to enter
into  all  transactions  and  agreements   determined  by  the  Trustees  to  be
appropriate in exercising the authority,  express or implied,  otherwise granted
to the  Trustees  under  this  Trust  Agreement,  and to  perform  all  acts  in
furtherance thereof, including without limitation, the following:

         (A)  As  among  the  Trustees,  the  Administrative  Trustees,   acting
singularly  or  together,  shall have the power,  duty and  authority  to act on
behalf of the Trust with respect to the following matters:

                           (i)    the issuance and sale of the Trust  Securities
                  pursuant to the Underwriting Agreement;

                           (ii)   without the  consent of any  Person,  to cause
                  the Trust to enter into and to execute, deliver and perform on
                  behalf of the Trust,  such  agreements  as may be necessary or
                  desirable  in  connection   with  the   consummation   of  the
                  Underwriting Agreement;

                                      -9-
<PAGE>

                           (iii)  to qualify  the  Trust to do  business  in any
                  jurisdiction as may be necessary or desirable;

                           (iv)   the  registration   of  the  Preferred   Trust
                  Securities  under the Securities Act of 1933, as amended,  and
                  under state securities or blue sky laws, and the qualification
                  of this Trust  Agreement as a trust  indenture under the Trust
                  Indenture Act;

                           (v)    the listing,  if any, of the  Preferred  Trust
                  Securities upon such national securities exchange or exchanges
                  or  automated   quotation   system  or  systems  as  shall  be
                  determined  by  the  Depositor  and  the  registration  of the
                  Preferred  Trust  Securities  under the Exchange  Act, and the
                  preparation  and filing of all periodic and other  reports and
                  other documents pursuant to the foregoing;

                           (vi)   the  appointment  or removal of a Paying Agent
                  and Transfer Agent and Registrar in accordance with this Trust
                  Agreement;

                           (vii)  the  establishment of a record date for any of
                  the purposes contemplated by Section 6.07 hereof;

                           (viii) to duly  prepare and file all  applicable  tax
                  returns and tax  information  reports  that are required to be
                  filed with respect to the Trust on behalf of the trust;

                           (ix)   to take all action  that may be  necessary  or
                  appropriate for the  preservation  and the continuation of the
                  Trust's valid existence,  rights, franchises and privileges as
                  a  statutory  statutory  trust  under the laws of the State of
                  Delaware  and  of  each  other   jurisdiction  in  which  such
                  existence is necessary to protect the limited liability of the
                  Holders of the  Preferred  Trust  Securities  or to enable the
                  Trust to effect the purposes for which the Trust was created;

                           (x)    to  execute  and  deliver  all   documents  or
                  instruments,  perform all duties and powers, and do all things
                  for and on  behalf of the Trust in all  matters  necessary  or
                  incidental to the foregoing;

                           (xi)   to  the   extent   provided   in  this   Trust
                  Agreement, the winding up of the affairs of and liquidation of
                  the Trust and the  preparation,  execution  and  filing of the
                  certificate  of  cancellation  with the  Secretary of State of
                  Delaware; and

                           (xii)  the  taking  of any  action incidental  to the
                  foregoing as the Administrative Trustees may from time to time
                  determine  is  necessary  or advisable to protect and conserve
                  the Trust  Property  for the  benefit  of the  Securityholders
                  (without consideration of the effect of any such action on any
                  particular Securityholder).

         (B) As among the Trustees,  the Property  Trustee shall have the power,
duty and  authority to act on behalf of the Trust with respect to the  following
ministerial matters:

                           (i)    the establishment of the Payment Account;

                           (ii)   the receipt of the Debentures;

                           (iii)  the  collection  and  deposit  in the  Payment
                  Account of interest,  principal and any other payments made in
                  respect of the Debentures;

                           (iv)   the  distribution   of  amounts  owed  to  the
                  Securityholders   in  respect  of  the  Trust   Securities  in
                  accordance with the terms of this Trust Agreement;

                                      -10-
<PAGE>

                           (v)    the  sending of  notices of default  and other
                  information  regarding the Trust Securities and the Debentures
                  to the  Securityholders  in accordance  with the terms of this
                  Trust Agreement;

                           (vi)   the distribution  of  the  Trust  Property  in
                  accordance with the terms of this Trust Agreement;

                           (vii)  to  the   extent   provided   in  this   Trust
                  Agreement, the winding up of the affairs of and liquidation of
                  the Trust and the execution of the certificate of cancellation
                  to be prepared and filed by the  Administrative  Trustees with
                  the Secretary of State of the State of Delaware; and

                           (viii) the   taking   of   any   ministerial   action
                  incidental to the  foregoing as the Property  Trustee may from
                  time to time  determine  is  necessary or advisable to protect
                  and  conserve  the  Trust  Property  for  the  benefit  of the
                  Securityholders  (without  consideration  of the effect of any
                  such action on any particular Securityholder).

                  (a) Subject to this  Section 2.07(a)(B), the Property  Trustee
shall  have  none of the  duties,  powers  or  authority  of the  Administrative
Trustees set forth in Sections 2.07(a)(A) and 2.07(c) or the Depositor set forth
in Section  2.07(c).  The Property Trustee shall have the power and authority to
exercise  all of the rights,  powers and  privileges  of a holder of  Debentures
under the Subordinated Indenture,  subject to the terms of this Trust Agreement,
and, if an Event of Default occurs and is continuing,  the Property Trustee may,
for the benefit of Holders of the Trust Securities,  in its discretion,  proceed
to protect  and enforce  its rights as holder of the  Debentures  subject to the
rights of the Holders pursuant to the terms of this Trust Agreement.

                  (b) So long as this Trust  Agreement  remains  in effect,  the
Trust (or the Trustees  acting on behalf of the Trust) shall not  undertake  any
business,  activities  or  transaction  except as expressly  provided  herein or
contemplated hereby. In particular, the Trustees, acting on behalf of the Trust,
shall not (i) acquire any investments or engage in any activities not authorized
by this Trust Agreement, (ii) sell, assign, transfer,  exchange, pledge, set-off
or  otherwise  dispose  of any of  the  Trust  Property  or  interests  therein,
including to  Securityholders,  except as expressly provided herein,  (iii) take
any action that would reasonably be expected to cause the Trust to fail or cease
to qualify as a "grantor  trust" for United States  Federal income tax purposes,
(iv) incur any  indebtedness  for  borrowed  money or (v) take or consent to any
action  that  would  result  in  the  placement  of a Lien  on any of the  Trust
Property. The Trustees shall defend all claims and demands of all Persons at any
time claiming any Lien on any of the Trust  Property  adverse to the interest of
the Trust or the Securityholders in their capacity as Securityholders.

                  (c) In  connection  with the issue  and sale of the  Preferred
Trust Securities,  each of the Depositor and the Administrative Trustees, acting
singularly  or  together,  (and,  in the  case of  (i),  (iii)  and  (v)  below,
____________________, as authorized representative of the Trust), shall have the
right and  responsibility  to assist  the Trust  with  respect  to, or effect on
behalf of the Trust,  the  following  (and any actions taken by the Depositor in
furtherance  of the  following  prior to the date of this  Trust  Agreement  are
hereby ratified and confirmed in all respects):

                           (i)    to  prepare  for  filing by the Trust with the
                  Commission and to execute and file a registration statement on
                  Form  S-3 in  relation  to  the  Preferred  Trust  Securities,
                  including  any  amendments  thereto  and to  take  any  action
                  necessary or desirable to sell the Preferred Trust  Securities
                  in a transaction or series of transactions pursuant thereto;

                           (ii)   to  determine  the States  in  which  to  take
                  appropriate action to qualify or register for sale all or part
                  of the Preferred  Trust  Securities and to do any and all such
                  acts,  other than actions  which must be taken by or on behalf
                  of the Trust,  and advise the  Trustees  of actions  they must
                  take on behalf of the Trust,  and  prepare for  execution  and
                  filing any  documents to be executed and filed by the Trust or
                  on behalf of the Trust,  as the Depositor  deems  necessary or
                  advisable in order to comply with the  applicable  laws of any
                  such States in  connection  with the sale of  Preferred  Trust
                  Securities;

                                      -11-
<PAGE>

                           (iii)  to select the investment  banker or bankers to
                  act as underwriters  with respect to the offer and sale by the
                  Trust of Preferred  Trust  Securities  ("Offer") and negotiate
                  the terms of an Underwriting  Agreement and pricing  agreement
                  providing for the Offer;

                           (iv)   to  execute and deliver on behalf of the Trust
                  the Underwriting Agreement and such other agreements as may be
                  necessary  or desirable in  connection  with the  consummation
                  thereof;

                           (v)    to  take  any  other   actions   necessary  or
                  desirable to carry out any of the foregoing activities.

                  (d)  Notwithstanding  anything  herein  to the  contrary,  the
Administrative  Trustees  are hereby  authorized  and  directed  to conduct  the
affairs  of the Trust  and to  operate  the Trust so that the Trust  will not be
deemed  to be an  "investment  company"  required  to be  registered  under  the
Investment  Company Act or classified other than as a "grantor trust" for United
States Federal income tax purposes and so that the Debentures will be treated as
indebtedness  of the  Debenture  Issuer for  United  States  Federal  income tax
purposes. In this connection,  the Depositor and the Administrative Trustees are
authorized  to take any  action,  not  inconsistent  with  applicable  law,  the
Certificate of Trust or this Trust Agreement, that each of the Depositor and the
Administrative  Trustees  determines  in  its  discretion  to  be  necessary  or
desirable  for  such  purposes,  as long  as such  action  does  not  materially
adversely affect the interests of the Holders of the Preferred Trust Securities.

                  Section  2.08.  Assets of Trust.The  assets of the Trust shall
consist of the Trust Property.

                  Section 2.09. Title to Trust Property.Legal title to all Trust
Property  shall be vested at all times in the Property  Trustee (in its capacity
as such) and shall be held and  administered  by the  Property  Trustee  for the
benefit of the Securityholders in accordance with this Trust Agreement.

                                   ARTICLE III

                                 Payment Account

                  Section 3.01.  Payment  Account.(a) On or prior to the Closing
Date, the Property  Trustee shall  establish the Payment  Account.  The Property
Trustee and any Paying Agent appointed by the Administrative Trustees shall have
exclusive  control  and sole right of  withdrawal  with  respect to the  Payment
Account for the purpose of making deposits in and  withdrawals  from the Payment
Account in accordance with this Trust  Agreement.  All monies and other property
deposited or held from time to time in the Payment  Account shall be held by the
Property Trustee in the Payment Account for the exclusive benefit of the Holders
of Trust  Securities and for  distribution  as herein  provided,  including (and
subject to) any priority of payments  provided for herein.  The Property Trustee
shall have no  liability in any respect  whatsoever  in regards to any moneys or
other property deposited in the Payment Account at an institution other than the
Property Trustee.

                  (b) The Property Trustee shall deposit in the Payment Account,
promptly upon  receipt,  all payments of principal or interest on, and any other
payments  or  proceeds  with  respect to, the  Debentures.  Amounts  held in the
Payment  Account  shall  not  be  invested  by  the  Property   Trustee  pending
distribution thereof.

                                   ARTICLE IV

                            Distributions; Redemption

                  Section  4.01.  Distributions.(a)Distributions  on  the  Trust
         Securities  shall be  cumulative,  and will  accumulate  whether or not
         there  are  funds  of  the  Trust   available   for  the   payment   of
         Distributions.  Distributions  shall accrue from the Closing Date, and,
         except in the event (and to the extent)  that the  Depositor  exercises
         its right to extend the  interest  payment  period  for the  Debentures
         pursuant to Section 312 of the Subordinated Indenture, shall be payable
         quarterly  in  arrears  on  _________,   _________,   __________,   and
         __________ of each year,  commencing  on _______,  ____. If any date on
         which

                                      -12-
<PAGE>

         Distributions  are otherwise  payable on the Trust  Securities is not a
         Business  Day, then the payment of such  Distribution  shall be made on
         the next  succeeding  day  which is a  Business  Day (and  without  any
         interest  or other  payment in respect of any such delay) in each case,
         with the same  force and  effect as if made on such date  (each date on
         which  Distributions  are  payable  in  accordance  with  this  Section
         4.01(a), a "Distribution Date").

                  (b)  Distributions  payable on the Trust  Securities  shall be
fixed  at a rate  of __%  per  annum  of the  Liquidation  Amount  of the  Trust
Securities.  The amount of Distributions  payable for any quarterly period shall
be computed on the same basis as interest is  calculated on the  Debentures.  If
the interest  payment period for the Debentures is extended  pursuant to Section
312 of the Subordinated  Indenture,  then  Distributions on the Trust Securities
will be deferred for the period equal to the  extension of the interest  payment
period for the Debentures and the rate per annum at which  Distributions  on the
Trust  Securities  accumulate  shall be  increased  by an  amount  such that the
aggregate amount of Distributions that accumulate on all Trust Securities during
any such extended  interest  payment period is equal to the aggregate  amount of
interest (including,  to the extent permitted by law, interest payable on unpaid
interest at the percentage rate per annum set forth above, compounded quarterly)
that accrues during any such extended interest payment period on the Debentures.
The amount of Distributions  payable for any period shall include the Additional
Amounts, if any.

                  (c)  Distributions  on the Trust  Securities shall be made and
shall be deemed  payable on each  Distribution  Date only to the extent that the
Trust has  funds  available  in the  Payment  Account  for the  payment  of such
Distributions.

                  (d)  Distributions  on the Trust  Securities with respect to a
Distribution  Date shall be payable to the Holders thereof as they appear on the
Securities  Register for the Trust Securities on the relevant record date, which
shall be one  Business  Day prior to the relevant  Distribution  Date,  if Trust
Securities  are in  book-entry  only  form,  and 15 days  prior to the  relevant
Distribution Date if Trust Securities are not in book-entry only form.

                  Section 4.02.  Redemption.(a)  On  each  Debenture  Redemption
Date and at the maturity date  ("Maturity  Date") for the Debentures (as defined
in the Subordinated Indenture),  the Property Trustee will be required to redeem
a Like Amount of Trust  Securities at the Redemption  Price plus accumulated and
unpaid  Distributions  to the Redemption  Date or Maturity Date, as the case may
be.

                  (b)  Notice  of  redemption  shall be  given  by the  Property
Trustee by first-class mail,  postage prepaid,  mailed not less than 30 nor more
than 60 days prior to the Redemption Date to each Holder of Trust  Securities to
be redeemed,  at such Holder's address appearing in the Security  Register.  All
notices of redemption or liquidation shall state:

                           (i)    the Redemption Date;

                           (ii)   the  Redemption   Price  and  the   amount  of
                  accumulated  and  unpaid  Distributions  to  be  paid  on  the
                  Redemption Date;

                           (iii)  the CUSIP number;

                           (iv)   if  less   than  all  the  Outstanding   Trust
                  Securities  are to be  redeemed,  the  identification  and the
                  total Liquidation Amount of the particular Trust Securities to
                  be redeemed;

                           (v)    that on the  Redemption  Date  the  Redemption
                  Price  plus  accumulated  and  unpaid   Distributions  to  the
                  Redemption  Date will  become due and  payable  upon each such
                  Trust Security to be redeemed and that  Distributions  thereon
                  will cease to accrue on and after said date; and

                           (vi)   if  the  Preferred  Trust  Securities  are  no
                  longer  held in  book-entry  only form,  the place and address
                  where  the  Holders  shall  surrender  their  Preferred  Trust
                  Securities Certificates.

                                      -13-
<PAGE>

                  (c) The Trust  Securities  redeemed  on each  Redemption  Date
shall  be  redeemed  at  the  Redemption   Price  plus  accumulated  and  unpaid
Distributions to the Redemption Date with the proceeds from the  contemporaneous
redemption of Debentures.  Redemptions of the Trust Securities shall be made and
the Redemption Price plus accumulated and unpaid Distributions to the Redemption
Date shall be deemed payable on each Redemption Date only to the extent that the
Trust has funds immediately available in the Payment Account for such payment.

                  (d) If the Property  Trustee  gives a notice of  redemption in
respect of any Preferred Trust  Securities,  then, by 12:00 noon, New York time,
on the Redemption Date,  subject to Section 4.02(c),  the Property Trustee shall
irrevocably deposit with the Paying Agent funds sufficient to pay the applicable
Redemption  Price plus  accumulated and unpaid  Distributions  to the Redemption
Date and will give the Paying Agent  irrevocable  instructions  and authority to
pay the  Redemption  Price  plus  accumulated  and unpaid  Distributions  to the
Redemption  Date to the Holders  thereof upon surrender of their Preferred Trust
Securities    Certificates   and   Common   Trust    Securities    Certificates.
Notwithstanding  the  foregoing,  Distributions  on the  Trust  Securities  with
respect to  Distribution  Dates occurring on or prior to the Redemption Date for
any Trust  Securities  called for redemption  shall be payable to the Holders of
such Trust  Securities as they appear on the  Securities  Register for the Trust
Securities on the relevant record dates for the related  Distribution  Dates. If
notice of redemption shall have been given and funds deposited as required, then
on the Redemption Date, all rights of  Securityholders  holding Trust Securities
so called for redemption will cease, except the right of such Securityholders to
receive the Redemption  Price plus  accumulated and unpaid  Distributions to the
Redemption Date thereof, but without interest thereon, and such Trust Securities
will cease to be  Outstanding.  In the event that any  Redemption  Date is not a
Business  Day,  then payment of the  Redemption  Price payable on such date plus
accumulated  and unpaid  Distributions  to such Redemption Date shall be made on
the next  succeeding  day which is a Business  Day (and  without any interest or
other  payment in respect of any such delay),  except that, if such Business Day
falls in the next calendar  year,  such payment will be made on the  immediately
preceding  Business Day, in each case, with the same force and effect as if made
on such date. In the event that payment of the Redemption Price plus accumulated
and  unpaid  Distributions  in  respect  of  any  Trust  Securities  called  for
redemption is improperly withheld or refused and not paid either by the Trust or
by the Trust Securities  Guarantor  pursuant to the Trust Securities  Guarantee,
Distributions  on such Trust  Securities  will  continue to accrue,  at the then
applicable  rate, from the Redemption  Date originally  established by the Trust
for such Trust Securities to the date such Redemption Price plus accumulated and
unpaid  Distributions  is actually  paid, in which case the actual  payment date
will be deemed the date fixed for  redemption  for purposes of  calculating  the
Redemption Price plus accumulated and unpaid Distributions to such date.

                  (e) Payment of the  Redemption  Price on the Trust  Securities
shall be made to the Holders  thereof as they appear on the Securities  Register
for the  Trust  Securities  on the  relevant  record  date,  which  shall be one
Business Date prior to the relevant Redemption Date; provided,  however, that in
the event that the Preferred  Securities do not remain in book-entry-only  form,
the  relevant  record date shall be the date  fifteen days prior to the relevant
Redemption Date.

                  (f)  Subject  to  Section  4.03(a),   if  less  than  all  the
Outstanding  Trust  Securities are to be redeemed on a Redemption Date, then the
aggregate  Liquidation  Amount  of  Trust  Securities  to be  redeemed  shall be
allocated to the Common Trust  Securities and to the Preferred Trust  Securities
in the  proportion  that  the  aggregate  Liquidation  Amount  of each is to the
aggregate Liquidation Amount of all outstanding Trust Securities. The particular
Preferred  Trust  Securities  to be redeemed  shall be selected not more than 60
days prior to the Redemption  Date by the Property  Trustee from the Outstanding
Preferred Trust Securities not previously called for redemption,  by such method
as the Property  Trustee shall deem fair and  appropriate  and which may provide
for the selection for redemption of portions (equal to $25 or integral multiples
thereof)  of  the  Liquidation   Amount  of  Preferred  Trust  Securities  of  a
denomination  larger than $25. The Property  Trustee shall  promptly  notify the
Transfer  Agent and  Registrar  in writing  of the  Preferred  Trust  Securities
selected  for  redemption  and, in the case of any  Preferred  Trust  Securities
selected for partial redemption,  the Liquidation Amount thereof to be redeemed.
For all purposes of this Trust Agreement, unless the context otherwise requires,
all provisions  relating to the redemption of Preferred Trust  Securities  shall
relate, in the case of any Preferred Trust Securities redeemed or to be redeemed
only in part,  to the  portion  of the  Liquidation  Amount of  Preferred  Trust
Securities which has been or is to be redeemed.

                  Section  4.03.  Subordination  of Common Trust  Securities.(a)
Payment of Distributions  (including  Additional Amounts, if applicable) on, and
the Redemption  Price plus  accumulated and unpaid

                                      -14-
<PAGE>

Distributions  of, the Trust Securities,  as applicable,  shall be made pro rata
based on the Liquidation Amount of the Trust Securities; provided, however, that
if on any  Distribution  Date or Redemption  Date an Event of Default  resulting
from a Debenture  Event of Default  shall have  occurred and be  continuing,  no
payment of any Distribution (including Additional Amounts, if applicable) on, or
Redemption Price plus accumulated and unpaid  Distributions of, any Common Trust
Security,  and no other  payment on account of the  redemption,  liquidation  or
other  acquisition of Common Trust  Securities,  shall be made unless payment in
full in cash of all accumulated and unpaid Distributions  (including  Additional
Amounts,  if applicable) on all Outstanding  Preferred Trust  Securities for all
distribution  periods terminating on or prior thereto, or in the case of payment
of the  Redemption  Price plus  accumulated  and unpaid  Distributions  the full
amount of such Redemption Price plus accumulated and unpaid Distributions on all
Outstanding  Preferred Trust  Securities,  shall have been made or provided for,
and all funds  immediately  available  to the  Property  Trustee  shall first be
applied  to  the  payment  in  full  in  cash  of all  Distributions  (including
Additional  Amounts, if applicable) on, or Redemption Price plus accumulated and
unpaid Distributions of, Preferred Trust Securities then due and payable.

                  (b) In the case of the  occurrence  of any  Event  of  Default
resulting  from a  Debenture  Event of  Default,  the  Holder  of  Common  Trust
Securities  will be deemed to have  waived any right to act with  respect to any
such Event of Default  under this Trust  Agreement  until the effect of all such
Events of Default  with  respect to the  Preferred  Trust  Securities  have been
cured,  waived or otherwise  eliminated.  Until all such Events of Default under
this Trust Agreement with respect to the Preferred Trust Securities have been so
cured,  waived or otherwise  eliminated,  the  Property  Trustee  shall,  to the
fullest  extent  permitted  by law,  act solely on behalf of the  Holders of the
Preferred  Trust  Securities and not the Holder of the Common Trust  Securities,
and only the Holders of the Preferred  Trust  Securities  will have the right to
direct the Property Trustee to act on their behalf.

                  Section 4.04.  Payment  Procedures.Payments  in respect of the
Preferred Trust  Securities  shall be made by check mailed to the address of the
Person entitled thereto as such address shall appear on the Securities  Register
or, if the Preferred Trust Securities are held by a Securities Depository,  such
Distributions  shall  be  made  to  the  Securities  Depository  in  immediately
available  funds,  which shall  credit the  relevant  Persons'  accounts at such
Securities Depository on the applicable  Distribution Dates. Payments in respect
of the Common Trust Securities shall be made in such manner as shall be mutually
agreed  between  the  Property  Trustee  and  the  Holder  of the  Common  Trust
Securities.

                  Section 4.05.  Tax  Returns  and  Reports. The  Administrative
Trustees shall prepare (or cause to be prepared), at the Depositor's expense and
direction,  and  file  all  United  States  Federal,  state  and  local  tax and
information  returns  and  reports  required to be filed by or in respect of the
Trust. In this regard,  the  Administrative  Trustees shall (a) prepare and file
(or cause to be prepared or filed) the  Internal  Revenue  Service Form 1041 (or
any successor form) required to be filed in respect of the Trust in each taxable
year of the Trust and (b)  prepare  and  furnish  (or cause to be  prepared  and
furnished),  to the extent required by law, to each  Securityholder  the related
Internal  Revenue  Service Form 1099 (or any successor form) and the information
required to be provided on such form. The Administrative  Trustees shall provide
the Depositor and the Property Trustee with a copy of all such returns,  reports
and  schedules  promptly  after such filing or  furnishing.  The Trustees  shall
comply with United States Federal  withholding  and backup  withholding tax laws
and  information  reporting   requirements  with  respect  to  any  payments  to
Securityholders under the Trust Securities.

                  Section 4.06.  Payments under Indenture.

                  Any amount payable  hereunder to any Holder of Preferred Trust
Securities  shall be  reduced by the amount of any  corresponding  payment  such
Holder  has  directly  received  pursuant  to  Section  808 of the  Subordinated
Indenture.

                  [Section 4.07. Remarketing.]

                  [Add remarketing and coupon reset provisions if Securities are
issued in connection with Stock Purchase Units]

                                      -15-
<PAGE>

                                    ARTICLE V

                          Trust Securities Certificates

                  Section 5.01. Initial Ownership.Upon the creation of the Trust
by the  contribution  by the  Depositor  pursuant to Section  2.03 and until the
issuance  of the  Trust  Securities,  and at any  time  during  which  no  Trust
Securities are outstanding,  the Depositor shall be the sole beneficial owner of
the Trust.

                  Section 5.02.  The Trust  Securities  Certificates. The  Trust
Securities  Certificates  shall be issued in  denominations  of $25  Liquidation
Amount and integral multiples thereof.  The Trust Securities  Certificates shall
be executed on behalf of the Trust by manual or facsimile  signature of at least
one Administrative  Trustee and, if executed on behalf of the Trust by facsimile
signature, the Preferred Trust Securities shall be countersigned by the Transfer
Agent and  Registrar or its agent.  Trust  Securities  Certificates  bearing the
manual or facsimile  signatures of  individuals  who were, at the time when such
signatures  shall have been  affixed,  authorized to sign on behalf of the Trust
and,  in the case of  Preferred  Trust  Securities,  if  executed  by  facsimile
signature, countersigned by the Transfer Agent and Registrar or its agent, shall
be  validly  issued  and  entitled  to the  benefits  of this  Trust  Agreement,
notwithstanding  that such individuals or any of them shall have ceased to be so
authorized  prior to the delivery of such Trust  Securities  Certificates or did
not  hold  such  offices  at the  date  of  delivery  of such  Trust  Securities
Certificates.  A transferee  of a Trust  Securities  Certificate  shall become a
Securityholder,  and  shall  be  entitled  to  the  rights  and  subject  to the
obligations of a Securityholder  hereunder,  upon due registration of such Trust
Securities  Certificate  in such  transferee's  name pursuant to Section 5.04 or
5.12. Every Person, by virtue of having become a Securityholder, shall be deemed
to have  expressly  assented  and agreed to the terms of, and shall be bound by,
this  Trust  Agreement,  the Trust  Securities  Guarantee  and the  Subordinated
Indenture.

                  Section 5.03.  Execution  and  Delivery  of  Trust  Securities
Certificates.On  the Closing Date, the  Administrative  Trustees,  or any one of
them, shall cause Trust  Securities  Certificates,  in an aggregate  Liquidation
Amount as provided in  Sections  2.04 and 2.05,  to be executed on behalf of the
Trust,  and in the case of  Preferred  Trust  Securities  executed by  facsimile
signature,  countersigned by the Transfer Agent and Registrar, or its agent, and
delivered to or upon the written order of the  Depositor  signed by its chairman
of the board,  any of its vice  presidents  or its  treasurer,  without  further
corporate action by the Depositor, in authorized denominations.

                  Section 5.04.  Registration  of Transfer and Exchange of Trust
Securities  Certificates.The Transfer Agent and Registrar shall keep or cause to
be kept,  at the  office  or agency  maintained  pursuant  to  Section  5.08,  a
Securities Register in which,  subject to such reasonable  regulations as it may
prescribe,  the Transfer Agent and Registrar shall provide for the  registration
of Preferred  Trust  Securities  Certificates  and the Common  Trust  Securities
Certificates (subject to Section 5.10 in the case of the Common Trust Securities
Certificates)  and  registration  of transfers and exchanges of Preferred  Trust
Securities  Certificates as herein  provided.  The Property Trustee shall be the
initial Transfer Agent and Registrar.

                  Upon surrender for  registration  of transfer of any Preferred
Trust  Securities  Certificate  at the office or agency  maintained  pursuant to
Section 5.08, the Administrative  Trustees, or any one of them, shall execute on
behalf of the Trust by manual or facsimile  signature and, if executed on behalf
of the Trust by facsimile  signature,  cause the Transfer Agent and Registrar or
its agent to countersign and deliver,  in the name of the designated  transferee
or  transferees,  one or more new Preferred  Trust  Securities  Certificates  in
authorized  denominations of a like aggregate  Liquidation Amount. At the option
of a Holder,  Preferred Trust Securities Certificates may be exchanged for other
Preferred Trust Securities Certificates in authorized  denominations of the same
class and of a like aggregate Liquidation Amount upon surrender of the Preferred
Trust Securities Certificates to be exchanged at the office or agency maintained
pursuant to Section 5.08.

                  Every  Preferred  Trust  Securities  Certificate  presented or
surrendered  for  registration of transfer or exchange shall be accompanied by a
written  instrument  of  transfer  in form  satisfactory  to the  Administrative
Trustees and the Transfer  Agent and  Registrar  duly  executed by the Holder or
such  Holder's  attorney  duly  authorized  in  writing.  Each  Preferred  Trust
Securities  Certificate  surrendered  for  registration  of transfer or exchange
shall be  canceled  and  subsequently  disposed  of by the  Transfer  Agent  and
Registrar in accordance  with its

                                      -16-
<PAGE>

customary procedures. The Trust shall not be required to (i) issue, register the
transfer  of,  or  exchange  any  Preferred  Trust  Securities  during  a period
beginning at the opening of business 15 calendar  days before the day of mailing
of a  notice  of  redemption  of  any  Preferred  Trust  Securities  called  for
redemption  and ending at the close of  business  on the day of such  mailing or
(ii)  register the transfer of or exchange any  Preferred  Trust  Securities  so
selected for redemption,  in whole or in part, except the unredeemed  portion of
any such Preferred Trust Securities being redeemed in part.

                  No  service  charge  shall  be made  for any  registration  of
transfer  or  exchange  of  Preferred  Trust  Securities  Certificates,  but the
Transfer  Agent and Registrar may require  payment of a sum  sufficient to cover
any tax or  governmental  charge  that may be  imposed  in  connection  with any
transfer or exchange of Preferred Trust Securities Certificates.

                  Section 5.05.  Mutilated,  Destroyed,  Lost  or  Stolen  Trust
Securities  Certificates.If (a) any mutilated Trust Securities Certificate shall
be surrendered to the Transfer Agent and Registrar, or if the Transfer Agent and
Registrar shall receive evidence to its satisfaction of the destruction, loss or
theft of any Trust  Securities  Certificate  and (b) there shall be delivered to
the Transfer Agent and Registrar and the  Administrative  Trustees such security
or indemnity  as may be required by them to save each of them and the  Depositor
harmless,  then in the absence of notice that such Trust Securities  Certificate
shall have been acquired by a bona fide purchaser,  the Administrative Trustees,
or any one of them,  on behalf of the Trust shall execute by manual or facsimile
signature and, if execution on behalf of the Trust is by facsimile signature, in
the case of Preferred Trust  Securities  shall also cause the Transfer Agent and
Registrar or its agent to countersign;  and the Administrative  Trustees, or any
one of them, and, if executed on behalf of the Trust by facsimile signature,  in
the case of Preferred  Trust  Securities the Transfer Agent and Registrar or its
agent, shall make available for delivery, in exchange for or in lieu of any such
mutilated,  destroyed, lost or stolen Trust Securities Certificate,  a new Trust
Securities Certificate of like class, tenor and denomination. In connection with
the issuance of any new Trust  Securities  Certificate  under this Section,  the
Administrative  Trustees or the  Transfer  Agent and  Registrar  may require the
payment of a sum sufficient to cover any tax or other  governmental  charge that
may  be  imposed  in  connection  therewith.   Any  duplicate  Trust  Securities
Certificate issued pursuant to this Section shall constitute conclusive evidence
of an undivided  beneficial  interest in the Trust  Property,  as if  originally
issued,   whether  or  not  the  lost,  stolen  or  destroyed  Trust  Securities
Certificate shall be found at any time.

                  The  provisions  of  this  Section  are  exclusive  and  shall
preclude (to the extent  lawful) all other  rights and remedies  with respect to
the  replacement  of  mutilated,  destroyed,  lost or  stolen  Trust  Securities
Certificates.

                  Section  5.06.  Persons  Deemed  Securityholders.Prior  to due
presentation of a Trust Securities Certificate for registration of transfer, the
Trustees and the Transfer Agent and Registrar, and any agent of the Trustees and
the Transfer Agent and Registrar, shall be entitled to treat the Person in whose
name any Trust  Securities  Certificate  shall be registered  in the  Securities
Register as the owner of such Trust  Securities  Certificate  for the purpose of
receiving  Distributions and for all other purposes whatsoever,  and neither the
Trustees nor the Transfer  Agent and  Registrar  shall be bound by any notice to
the contrary.

                  Section 5.07.  Access to List of  Securityholders'  Names  and
Addresses.The Administrative Trustees shall furnish or cause to be furnished (x)
to the  Depositor or the Property  Trustee,  within 15 days after receipt by any
Administrative  Trustee of a request therefor from the Depositor or the Property
Trustee,  as the  case  may be,  in  writing  and (y) to the  Property  Trustee,
[quarterly  not more than 5 days after each  ________,  ________,  ________  and
________ of each year beginning  ________]  (unless the Property  Trustee is the
Transfer  Agent and  Registrar),  a list,  in such form as the  Depositor or the
Property  Trustee may  reasonably  require,  of the names and  addresses  of the
Securityholders  as of a recent date.  Each Holder,  by receiving  and holding a
Trust Securities Certificate,  shall be deemed to have agreed not to hold either
the  Depositor or any Trustees  accountable  by reason of the  disclosure of its
name and  address,  regardless  of the source  from which such  information  was
derived.

                  Section 5.08.  Maintenance  of Office or Agency.The  Depositor
shall or shall cause the Transfer Agent and Registrar to maintain in The City of
New York,  an office or  offices or agency or  agencies  where

                                      -17-
<PAGE>

Preferred Trust  Securities  Certificates may be surrendered for registration of
transfer or exchange and where notices and demands to or upon the Depositor, the
Trust or the Transfer Agent and Registrar in respect of the Trust Securities and
the  Trust  Agreement  may  be  served.  The  Depositor   initially   designates
______________________________,  ____________________, New York, New York ______
as its principal  office for such purposes.  The Depositor  shall or shall cause
the Transfer Agent and Registrar to give prompt written notice to the Depositor,
The  Trust  Securities  Guarantor,  the  Property  Trustee,  the  Administrative
Trustees  and to  the  Securityholders  of any  change  in the  location  of the
Securities  Register or any such office or agency.  If at any time the Depositor
shall  fail to  maintain  such  office or agency or shall  fail to  furnish  the
Property  Trustee  with the address  thereof,  such  presentations,  surrenders,
notices and demands may be made or served at the  Corporate  Trust Office of the
Property  Trustee,  and the Depositor  hereby appoints the Property  Trustee its
agent and the agent of the Trust to receive all such presentations,  surrenders,
notices and demands.

                  Section 5.09.  Appointment  of Paying  Agent.The  Paying Agent
shall make Distributions to  Securityholders  from the Payment Account and shall
report the amounts of such Distributions to the Administrative  Trustees and the
Property  Trustee.  Any Paying Agent shall have the revocable  power to withdraw
funds from the  Payment  Account  for the  purpose  of making the  Distributions
referred  to  above.  The  Property  Trustee  shall be  entitled  to rely upon a
certificate of the Paying Agent stating in effect the amount of such funds so to
be withdrawn  and that same are to be applied by the Paying Agent in  accordance
with this  Section  5.09.  The  Administrative  Trustees  or any one of them may
revoke such power and remove the Paying Agent if the  Administrative  Trustee or
any one of them  determines in its sole  discretion  that the Paying Agent shall
have  failed to  perform  its  obligations  under this  Trust  Agreement  in any
material respect.  The Paying Agent shall initially be the Property Trustee, and
it may  choose any  co-paying  agent that is  acceptable  to the  Administrative
Trustees,  the Debenture  Issuer,  and the Depositor.  The Paying Agent shall be
permitted to resign upon 30 days' written notice to the Administrative Trustees,
the Property  Trustee,  the Debenture Issuer and the Depositor.  In the event of
the  removal  or  resignation  of the  Property  Trustee  as Paying  Agent,  the
Administrative  Trustees shall appoint a successor that is reasonably acceptable
to the Property Trustee, the Debenture Issuer and the Depositor to act as Paying
Agent (which shall be a bank,  trust company or an Affiliate of the  Depositor).
The  Administrative  Trustees  shall cause such  successor  Paying  Agent or any
additional Paying Agent appointed by the Administrative  Trustees to execute and
deliver to the Trustees an  instrument in which such  successor  Paying Agent or
additional Paying Agent shall agree with the Trustees that as Paying Agent, such
successor  Paying Agent or  additional  Paying Agent will hold all sums, if any,
held by it for  payment to the  Securityholders  in trust for the benefit of the
Securityholders  entitled  thereto  until  such  sums  shall  be  paid  to  such
Securityholders.  The  Paying  Agent  shall  return all  unclaimed  funds to the
Property  Trustee and upon  resignation or removal of a Paying Agent such Paying
Agent shall also return all funds in its possession to the Property Trustee. The
provisions  of  Sections  8.01,  8.03 and 8.06 shall  apply to the Paying  Agent
appointed  hereunder,  and the Paying  Agent shall be bound by the  requirements
with  respect  to  paying  agents of  securities  issued  pursuant  to the Trust
Indenture  Act. Any reference in this Trust  Agreement to the Paying Agent shall
include any co-paying agent unless the context requires otherwise.

                  Section 5.10.  Ownership  of  Common  Trust    Securities   by
Depositor.On  the Closing Date,  the Depositor  shall  acquire,  and  thereafter
retain,  beneficial and record ownership of the Common Trust Securities.  Except
in connection with a transaction involving the Depositor that would be permitted
under Article Eleven of the Subordinated  Indenture,  any attempted  transfer of
the Common Trust  Securities  shall, to the fullest extent  permitted by law, be
void.  The  Administrative  Trustees  shall cause each Common  Trust  Securities
Certificate   issued  to  the  Depositor  to  contain  a  legend  stating  "THIS
CERTIFICATE  IS NOT  TRANSFERABLE  EXCEPT AS PROVIDED  IN THE TRUST  AGREEMENT."
Common Trust  Securities  Certificates  representing the Common Trust Securities
shall be issued to the  Depositor  in the form of a  typewritten  or  definitive
Common Trust Securities Certificate.

                  Section 5.11.  Definitive     Preferred    Trust    Securities
Certificates.Definitive   Preferred  Trust  Securities   Certificates  shall  be
typewritten,  printed,  lithographed or engraved or may be produced in any other
manner as is reasonably acceptable to the Administrative  Trustees, as evidenced
by the execution thereof by the Administrative Trustees, or any one of them. The
Administrative  Trustees,  or any one of them,  shall  execute  on behalf of the
Trust by manual or facsimile signature,  and, if executed by facsimile on behalf
of the Trust,  countersigned  by the Transfer  Agent and Registrar or its agent,
the Definitive Preferred Trust Securities  Certificates  initially in accordance
with the instructions of the Depositor  complying with Section 5.03. Neither the
Transfer

                                      -18-
<PAGE>

Agent and Registrar nor any of the  Administrative  Trustees shall be liable for
any delay in delivery of such  instructions  and may  conclusively  rely on, and
shall be protected in relying on, such instructions.

                  Section 5.12.  Book-Entry  System.Some or all of the Preferred
Trust  Securities  may be  registered  in the  name of a  securities  depository
("Securities  Depository") or a nominee therefor, and held in the custody of the
Securities   Depository  or  a  custodian  thereof.  In  such  event,  a  single
certificate  will be issued and delivered to the Securities  Depository for such
Preferred  Trust  Securities,  in which case the Owners of such Preferred  Trust
Securities  will not receive  physical  delivery of  certificates  for Preferred
Trust Securities.  Unless Definitive Preferred Trust Securities  Certificate are
delivered to the Owners of Preferred Trust  Securities as provided  herein,  all
transfers of beneficial  ownership  interests in such Preferred Trust Securities
will be made by  book-entry  only,  and no investor  or other party  purchasing,
selling or otherwise  transferring  beneficial  ownership of the Preferred Trust
Securities  will receive,  hold or deliver any  certificate  for Preferred Trust
Securities.  The Depositor, the Trustees and the Paying Agent will recognize the
Securities Depository or its nominee as the Holder of Preferred Trust Securities
for all  purposes,  including  payment,  notices  and  voting  and shall have no
payment, notice or communication obligations to the Owners.

                  The Administrative  Trustees,  at the direction and expense of
the  Depositor,  may from time to time  appoint  a  Securities  Depository  or a
successor thereto and enter into a letter of  representations or other agreement
with such  Securities  Depository  to establish  procedures  with respect to the
Preferred  Trust  Securities.  Any  Securities  Depository  shall be a  Clearing
Agency.

                  The Depositor and the Trustees  covenant and agree to meet the
requirements of a Securities  Depository for the Preferred Trust Securities with
respect  to   required   notices   and  other   provisions   of  the  letter  of
representations  or  agreement  executed  with respect to such  Preferred  Trust
Securities.

                  Whenever  the  beneficial  ownership  of any  Preferred  Trust
Securities  is  determined  through the books of a  Securities  Depository,  the
requirements in this Trust Agreement of holding, delivering or transferring such
Preferred  Trust  Securities  shall be  deemed  modified  with  respect  to such
Preferred Trust Securities to meet the requirements of the Securities Depository
with respect to actions of the Trustees, the Depositor and the Paying Agent. Any
provisions  hereof  permitting  or requiring  delivery of such  Preferred  Trust
Securities  shall,  while such  Preferred  Trust  Securities are in a book-entry
system,  be satisfied by the notation on the books of the Securities  Depository
in accordance with applicable state law.

                  Definitive  Preferred Trust  Securities  Certificates  will be
issued  and  delivered  to the  Owners of such  Preferred  Trust  Securities  in
accordance with  registration  instructions of the Securities  Depository if (a)
the Securities Depository is no longer willing or able to properly discharge its
responsibilities  with  respect  to the  Preferred  Trust  Securities,  and  the
Depositor  does not appoint a  successor  Securities  Depository  within 90 days
after  such  discontinuance,  or (b) the  Depositor  at its option  advises  the
Trustees in writing that it elects to terminate the  book-entry  system  through
the Securities Depository.

                  Section 5.13.  Rights of  Securityholders.The  legal  title to
the Trust  Property  is  vested  exclusively  in the  Property  Trustee  (in its
capacity as such) in accordance with Section 2.09, and the Securityholders shall
not have any right or title therein other than an undivided  beneficial interest
in the assets of the Trust  conferred by their Trust  Securities  and they shall
have no right to call for any  partition  or  division of  property,  profits or
rights of the Trust except as described  below.  The Trust  Securities  shall be
personal  property giving only the rights  specifically set forth therein and in
this Trust Agreement. The Preferred Trust Securities shall have no preemptive or
similar rights and when issued and delivered to Securityholders  against payment
of the purchase  price therefor will be fully paid and  nonassessable  undivided
beneficial  interests in the assets of the Trust.  The Holders of the  Preferred
Trust  Securities,  in their  capacities as such,  shall be entitled to the same
limitation  of  personal   liability   extended  to   stockholders   of  private
corporations for profit organized under the General Corporation Law of the State
of Delaware.

                  Section 5.14.  Cancellation     by    Transfer    Agent    and
Registrar.All Trust Securities Certificates surrendered for payment, redemption,
registration of transfer or exchange shall, if surrendered to any Person other

                                      -19-
<PAGE>

than the Transfer  Agent and  Registrar,  be delivered to the Transfer Agent and
Registrar and, if not theretofore  canceled,  shall be promptly  canceled by the
Transfer Agent and Registrar.  No Trust Securities  Certificates shall be issued
in lieu of or in  exchange  for any Trust  Securities  Certificates  canceled as
provided in this Section, except as expressly permitted by this Trust Agreement.
All  canceled  Trust  Securities  Certificates  held by the  Transfer  Agent and
Registrar shall be disposed of in accordance with its customary procedures.

                                   ARTICLE VI

                    Acts of Securityholders; Meetings; Voting

                  Section 6.01.  Limitations  on   Voting  Rights.(a)  Except as
provided in this Section  6.01,  Section 8.10 and Section 10.03 and as otherwise
required by law, no Holder of Preferred Trust Securities shall have any right to
vote or in any  manner  otherwise  control  the  administration,  operation  and
management  of the Trust or the  obligations  of the parties  hereto,  nor shall
anything  herein set forth,  or contained  in the terms of the Trust  Securities
Certificates,  be construed so as to constitute the Securityholders from time to
time as partners or members of an association.  If the Property Trustee fails to
enforce its rights under the  Debentures  or this Trust  Agreement,  a Holder of
Preferred  Trust  Securities  may,  to the  fullest  extent  permitted  by  law,
institute a legal  proceeding  directly  against the  Depositor or the Debenture
Issuer to enforce the Property  Trustee's  rights under the  Debentures  or this
Trust  Agreement  without first  instituting  any legal  proceeding  against the
Property Trustee or any other Person. Notwithstanding the foregoing, a Holder of
Preferred Trust  Securities may directly  institute a proceeding for enforcement
of payment to such Holder of principal of or interest on the Debentures having a
principal  amount equal to the aggregate  liquidation  preference  amount of the
Preferred Trust Securities of such Holder on or after the due dates specified in
the Debentures.

                  (b) So  long  as  any  Debentures  are  held  by the  Property
Trustee, the Property Trustee shall not (i) direct the time, method and place of
conducting any proceeding for any remedy available to the Debenture Trustee,  or
executing any trust or power conferred on the Debenture  Trustee with respect to
such Debentures, (ii) waive any past default which is waivable under Section 813
of the  Subordinated  Indenture,  (iii) exercise any right to rescind or annul a
declaration that the principal of all the Debentures shall be due and payable or
(iv) consent to any amendment,  modification or termination of the  Subordinated
Indenture or the Debentures,  where such consent shall be required,  without, in
each case, obtaining the prior approval of the Holders of at least a majority of
the aggregate  Liquidation Amount of the Outstanding Preferred Trust Securities;
provided,  however, that where a consent under the Subordinated  Indenture would
require the  consent of each  Holder of  Debentures  affected  thereby,  no such
consent shall be given by the Property Trustee without the prior written consent
of each Holder of Preferred  Trust  Securities.  The Property  Trustee shall not
revoke any action  previously  authorized or approved by a vote of the Preferred
Trust  Securities,  except  pursuant to a subsequent vote of the Preferred Trust
Securities. The Property Trustee shall notify all Holders of the Preferred Trust
Securities of any notice of default  received  from the  Debenture  Trustee with
respect to the Debentures.  In addition to obtaining the foregoing  approvals of
the  Holders  of the  Preferred  Trust  Securities,  prior to taking  any of the
foregoing actions,  the Property Trustee shall, at the expense of the Depositor,
obtain an Opinion of Counsel experienced in such matters to the effect that such
action will not cause the Trust to be classified other than as a "grantor trust"
for United States Federal income tax purposes.

                  (c) If any proposed  amendment to the Trust Agreement provides
for,  or the  Trustees  otherwise  propose to effect,  (i) any action that would
materially  adversely  affect the powers,  preferences  or special rights of the
Preferred Trust  Securities,  whether by way of amendment to the Trust Agreement
or otherwise,  or (ii) the dissolution,  winding-up or termination of the Trust,
other than  pursuant to the terms of this Trust  Agreement,  then the Holders of
Outstanding  Preferred  Trust  Securities as a class will be entitled to vote on
such amendment or proposal and such amendment or proposal shall not be effective
except  with the  approval  of the  Holders of at least  majority  in  aggregate
Liquidation Amount of the Outstanding Preferred Trust Securities.

                  (d) The  Holders  of a  majority  in  Outstanding  Liquidation
Amount of the  Preferred  Trust  Securities  shall  have the right to direct the
time,  method and place of conducting any proceeding for any remedy available to
the Property  Trustee in respect of this Trust  Agreement or the  Debentures  or
exercising  any trust or power  conferred  upon the Property  Trustee under this
Trust Agreement;  provided, however, that, subject to Section 8.01, the Property
Trustee  shall have the right to decline  to follow  any such  direction  if the
Property Trustee being

                                      -20-
<PAGE>

advised by counsel  determines  that the action so directed  may not lawfully be
taken, or if the Property Trustee in good faith shall, by a Responsible  Officer
or Officers of the Property Trustee,  determine that the proceedings so directed
would be illegal or involve it in personal liability or be unduly prejudicial to
the rights of Holders not party to such  direction,  and  provided  further that
nothing in this Trust Agreement  shall impair the right of the Property  Trustee
to take any  action  deemed  proper  by the  Property  Trustee  and which is not
inconsistent with such direction.

                  Section 6.02.  Notice of  Meetings.Notice  of all  meetings of
the Holders of Preferred Trust  Securities,  stating the time, place and purpose
of the  meeting,  shall be  given by the  Administrative  Trustees  pursuant  to
Section  10.08 to each Holder of a Preferred  Trust  Security,  at such Holder's
registered  address,  at  least 15 days and not  more  than 90 days  before  the
meeting. At any such meeting, any business properly before the meeting may be so
considered  whether or not stated in the notice of the  meeting.  Any  adjourned
meeting may be held as adjourned without further notice.

                  Section 6.03.  Meetings   of   Holders  of   Preferred   Trust
Securities.No  annual  meeting of  Securityholders  is required to be held.  The
Administrative  Trustees,  however,  shall call a meeting of  Securityholders to
vote on any matter  upon the  written  request of the Holders of 25% of the then
Outstanding  Preferred Trust Securities (based upon their aggregate  Liquidation
Amount) and the Administrative Trustees or the Property Trustee may, at any time
in their discretion,  call a meeting of Holders of Preferred Trust Securities to
vote on any matters as to which the Holders of Preferred  Trust  Securities  are
entitled to vote.

                  Holders  of at  least  a  majority  of  the  then  Outstanding
Preferred  Trust  Securities  (based upon their aggregate  Liquidation  Amount),
present  in person or by proxy,  shall  constitute  a quorum at any  meeting  of
Securityholders.

                  If a quorum is present at a meeting,  an  affirmative  vote by
the  Holders  of  Preferred  Trust  Securities  present,  in person or by proxy,
holding at least a majority of the then  Outstanding  Preferred Trust Securities
(based upon their aggregate Liquidation Amount) present,  either in person or by
proxy,  at such  meeting  shall  constitute  the action of the  Securityholders,
unless this Trust Agreement requires a greater number of affirmative votes.

                  Section 6.04.  Voting Rights.Securityholders shall be entitled
to one vote for each $25 of Liquidation  Amount represented by their Outstanding
Trust Securities in respect of any matter as to which such  Securityholders  are
entitled to vote.

                  Section 6.05.  Proxies, etc.At any meeting of Securityholders,
any Securityholder  entitled to vote thereat may vote by proxy, provided that no
proxy  shall be voted at any  meeting  unless it shall have been  placed on file
with the  Administrative  Trustees,  or with such other  officer or agent of the
Trust as the  Administrative  Trustees may direct, for verification prior to the
time at which such vote shall be taken. Only  Securityholders of record shall be
entitled to vote. When Trust Securities are held jointly by several Persons, any
one of them may vote at any  meeting  in person or by proxy in  respect  of such
Trust Securities,  but if more than one of them shall be present at such meeting
in  person or by proxy,  and such  joint  owners  or their  proxies  so  present
disagree  as to any vote to be cast,  such vote shall not be received in respect
of such Trust Securities. A proxy purporting to be executed by or on behalf of a
Securityholder  shall  be  deemed  valid  unless  challenged  at or prior to its
exercise, or, if earlier, until eleven months after it is sent and the burden of
proving  invalidity  shall rest on the challenger.  No proxy shall be valid more
than three years after its date of execution.

                  Section 6.06.  Securityholder  Action by  Written  Consent.Any
action which may be taken by Securityholders at a meeting may be taken without a
meeting and without  prior notice if  Securityholders  holding a majority of all
Outstanding Trust Securities entitled to vote in respect of such action (or such
larger proportion  thereof as shall be required by any express provision of this
Trust  Agreement)  shall  consent  to the action in  writing  (based  upon their
aggregate Liquidation Amount).

                  Section 6.07.  Record Date for Voting  and Other  Purposes.For
the purposes of determining  the  Securityholders  who are entitled to notice of
and to vote at any meeting or to vote by written  consent  without prior

                                      -21-
<PAGE>

notice, or to participate in any Distribution on the Trust Securities in respect
of which a record date is not otherwise provided for in this Trust Agreement, or
for the purpose of any other action, the  Administrative  Trustees may from time
to time fix a date,  not more than 90 days  prior to the date of any  meeting of
Securityholders  or the payment of Distribution or other action including action
to be taken by  written  consent,  as the case may be, as a record  date for the
determination  of the  identity  of  the  Securityholders  of  record  for  such
purposes.

                  Section 6.08.  Acts of  Securityholders.Any  request,  demand,
authorization,  direction,  notice,  consent, waiver or other action provided or
permitted by this Trust Agreement to be given, made or taken by  Securityholders
may be embodied in and  evidenced by one or more  instruments  of  substantially
similar  tenor  signed by such  Securityholders  in  person or by an agent  duly
appointed in writing;  and, except as otherwise  expressly provided herein, such
action shall become  effective when such instrument or instruments are delivered
to the Administrative  Trustees.  Such instrument or instruments (and the action
embodied therein and evidenced  thereby) are herein sometimes referred to as the
"Act" of the  Securityholders  signing such instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent shall
be  sufficient  for any purpose of this Trust  Agreement and (subject to Section
8.01)  conclusive  in favor of the Trustees,  if made in the manner  provided in
this Section.

                  The fact and date of the  execution  by any Person of any such
instrument  or  writing  may be proved  by the  affidavit  of a witness  of such
execution or by a certificate of a notary public or other officer  authorized by
law to take  acknowledgements  of deeds,  certifying that the individual signing
such instrument or writing acknowledged to him the execution thereof. Where such
execution  is by a  signer  acting  in a  capacity  other  than  his  individual
capacity,  such certificate or affidavit shall also constitute  sufficient proof
of his authority.  The fact and date of the execution of any such  instrument or
writing,  or the authority of the Person  executing the same, may also be proved
in any other manner which any Trustee deems sufficient.

                  The ownership of Preferred Trust Securities shall be proved by
the Securities Register.

                  Any  request,  demand,   authorization,   direction,   notice,
consent,  waiver or other Act of the  Securityholder of any Trust Security shall
bind  every  future   Securityholder   of  the  same  Trust   Security  and  the
Securityholder  of every Trust Security issued upon the registration of transfer
thereof or in exchange  therefor or in lieu thereof in respect of anything done,
omitted or suffered to be done by the Trustees or the Trust in reliance thereon,
whether or not notation of such action is made upon such Trust Security.

                  Without  limiting the  foregoing,  a  Securityholder  entitled
hereunder  to take any action  hereunder  with  regard to any  particular  Trust
Security may do so with regard to all or any part of the  Liquidation  Amount of
such Trust Security or by one or more duly appointed agents each of which may do
so  pursuant  to  such  appointment  with  regard  to all or any  part  of  such
Liquidation Amount.

                  If  any   dispute   shall   arise   between   or   among   the
Securityholders   and  the   Administrative   Trustees   with   respect  to  the
authenticity,  validity or binding nature of any request, demand, authorization,
direction,  consent, waiver or other Act of such Securityholder or Trustee under
this Article VI, then the  determination  of such matter by the Property Trustee
shall be conclusive with respect to such matter.

                  Section 6.09.  Inspection of  Records.Subject  to Section 5.07
concerning access to the list of Securityholders,  upon reasonable notice to the
Administrative Trustees and the Property Trustee, the other records of the Trust
shall be open to inspection by Securityholders  during normal business hours for
any  purpose  reasonably  related  to  such   Securityholder's   interest  as  a
Securityholder.

                                      -22-
<PAGE>

                                   ARTICLE VII

                 Representations and Warranties of the Property
                        Trustee and the Delaware Trustee

                  Section 7.01.  Property  Trustee.The  Property Trustee and any
successor Property Trustee hereby represents and warrants for the benefit of the
Depositor and the Securityholders that:

                  (a) the  Property  Trustee  is a  banking  corporation,  trust
company or national association duly incorporated,  validly existing and in good
standing under the laws of the State of New York;

                  (b) the Property Trustee has full corporate  power,  authority
and legal right to execute, deliver and perform its obligations under this Trust
Agreement  and has  taken  all  necessary  action to  authorize  the  execution,
delivery and performance by it of this Trust Agreement;

                  (c) this Trust  Agreement has been duly  authorized,  executed
and  delivered by the  Property  Trustee and  constitutes  the valid and legally
binding agreement of the Property Trustee  enforceable  against it in accordance
with  its  terms,  subject  to  bankruptcy,   insolvency,  fraudulent  transfer,
reorganization, moratorium and similar laws of general applicability relating to
or affecting creditors' rights and to general equity principles;

                  (d) the  execution,  delivery and  performance by the Property
Trustee of this Trust Agreement will not violate,  conflict with or constitute a
breach of the Property Trustee's charter or by-laws; and

                  (e) the  execution,  delivery and  performance by the Property
Trustee of this Trust Agreement does not require the consent or approval of, the
giving of notice  to, or the  registration  with any  Federal  or state  banking
authority having jurisdiction over its trust powers.

                  Section 7.02.  Delaware  Trustee.The  Delaware Trustee and any
successor  Delaware  Trustee  represents  and  warrants  for the  benefit of the
Depositor and the Securityholders that:

                  (a) the  Delaware  Trustee  is a  banking  corporation,  trust
company or national association duly incorporated,  validly existing and in good
standing under the laws of the State of Delaware;

                  (b) the Delaware Trustee has full corporate  power,  authority
and legal right to execute, deliver and perform its obligations under this Trust
Agreement  and has  taken  all  necessary  action to  authorize  the  execution,
delivery and performance by it of this Trust Agreement;

                  (c) this Trust  Agreement has been duly  authorized,  executed
and  delivered by the  Delaware  Trustee and  constitutes  the valid and legally
binding agreement of the Delaware Trustee  enforceable  against it in accordance
with  its  terms,  subject  to  bankruptcy,   insolvency,  fraudulent  transfer,
reorganization, moratorium and similar laws of general applicability relating to
or affecting creditors' rights and to general equity principles;

                  (d) the Delaware Trustee is a natural person who is a resident
of the State of Delaware  or, if not a natural  person,  an entity which has its
principal  place of  business in the State of Delaware  and, in either  case,  a
Person that  satisfies  for the Trust the  requirements  of Section  3807 of the
Delaware Statutory Trust Act;

                  (e) the  execution,  delivery and  performance by the Delaware
Trustee of this Trust  Agreement  will not (i)  violate the  Delaware  Trustee's
charter or by-laws or (ii) violate any law,  governmental  rule or regulation of
the State of  Delaware  governing  the banking or trust  powers of the  Delaware
Trustee or any order, judgment or decree applicable to the Delaware Trustee; and

                  (f) the  execution,  delivery and  performance by the Delaware
Trustee of this Trust Agreement does not require the consent or approval of, the
giving of notice  to, or the  registration  with any  Federal  or state  banking
authority having jurisdiction over its banking or trust powers.

                                      -23-
<PAGE>

                                  ARTICLE VIII

                                  The Trustees

                  Section 8.01.  Certain  Duties and  Responsibilities. (a)  The
rights,  immunities,  duties  and  responsibilities  of the  Trustees  shall  be
restricted to those set forth in the express  provisions of this Trust Agreement
and, in the case of the  Property  Trustee,  as provided in the Trust  Indenture
Act,  and no  implied  covenants  or  obligations  shall be read into this Trust
Agreement  against any of the  Trustees.  For  purposes  of Sections  315(a) and
315(c) of the Trust  Indenture  act, the term  "default" is hereby defined as an
Event of Default  which has  occurred  and is  continuing.  Notwithstanding  the
foregoing,  no  provision  of this  Trust  Agreement  shall  require  any of the
Trustees  to  expend  or risk its own funds or  otherwise  incur  any  financial
liability in the performance of any of its duties hereunder,  or in the exercise
of any of its  rights  or  powers,  if it  shall  have  reasonable  grounds  for
believing that repayment of such funds or adequate  indemnity  against such risk
or liability is not reasonably  assured to it. Whether or not therein  expressly
so provided,  every provision of this Trust Agreement relating to the conduct or
affecting  the  liability of or affording  protection  to the Trustees  shall be
subject to the  provisions  of this  Section.  To the extent that,  at law or in
equity,  an Administrative  Trustee has duties (including  fiduciary duties) and
liabilities  relating  thereto  to the  Trust  or to the  Securityholders,  such
Administrative Trustee shall not be liable to the Trust or to any Securityholder
for  such  Trustee's  good  faith  reliance  on the  provisions  of  this  Trust
Agreement.  The  provisions  of this Trust  Agreement,  to the extent  that they
restrict the duties and  liabilities of the  Administrative  Trustees  otherwise
existing  at  law  or  in  equity,   are  agreed  by  the   Depositor   and  the
Securityholders   to  replace   such  other  duties  and   liabilities   of  the
Administrative Trustees.

                  (b) All  payments  made by the  Property  Trustee  or a Paying
Agent in respect of the Trust  Securities shall be made only from the income and
proceeds  from the Trust  Property  and only to the extent  that there  shall be
sufficient  income or proceeds  from the Trust  Property to enable the  Property
Trustee or Paying Agent to make  payments in  accordance  with the terms hereof.
Each Securityholder,  by its acceptance of a Trust Security, agrees that it will
look  solely to the income and  proceeds  from the Trust  Property to the extent
available for  distribution  to it as herein  provided and that the Trustees are
not personally liable to it for any amount distributable in respect of any Trust
Security  or for any other  liability  in  respect of any Trust  Security.  This
Section 8.01(b) does not limit the liability of the Trustees expressly set forth
elsewhere in this Trust  Agreement or, in the case of the Property  Trustee,  in
the Trust Indenture Act.

                  (c) All duties and  responsibilities  of the Property  Trustee
contained in this Trust Agreement are subject to the following:

                           (i)    the Property  Trustee's sole duty with respect
                  to the custody,  safe keeping and physical preservation of the
                  Trust  Property  shall  be to deal  with  such  property  in a
                  similar  manner as the  Property  Trustee  deals with  similar
                  property  for its own  account,  subject  to the  protections,
                  exculpations  and  limitations  on  liability  afforded to the
                  Property  Trustee  under  this  Trust  Agreement,   the  Trust
                  Indenture  Act, the Delaware  Statutory  Trust Act and, to the
                  extent applicable,  Rule 3a-7 under the Investment Company Act
                  or any successor rule thereunder;

                           (ii)   the  Property  Trustee  shall  have no duty or
                  liability  for or  with  respect  to the  value,  genuineness,
                  existence or  sufficiency of the Trust Property or the payment
                  of any taxes or  assessments  levied  thereon or in connection
                  therewith;

                           (iii)  the Property  Trustee  shall not be liable for
                  any  interest  on any  money  received  by it except as it may
                  otherwise agree with the Depositor. Money held by the Property
                  Trustee  need not be  segregated  from other  funds held by it
                  except in relation to the Payment  Account  established by the
                  Property  Trustee  pursuant to this Trust Agreement and except
                  to the extent otherwise required by law; and

                           (iv)   the Property  Trustee shall not be responsible
                  for monitoring the compliance by the  Administrative  Trustees
                  or the Depositor with their respective duties under this Trust

                                      -24-
<PAGE>

                  Agreement,  nor shall the  Property  Trustee be liable for the
                  default or  misconduct of the  Administrative  Trustees or the
                  Depositor.

                  (d) The  Administrative  Trustees shall not be responsible for
monitoring  the  compliance by the other  Trustees or the  Depositor  with their
respective  duties  under this  Trust  Agreement,  nor shall any  Administrative
Trustee be liable  for the  default or  misconduct  of any other  Administrative
Trustee, the other Trustees or the Depositor.

                  Section 8.02.  Notice of Defaults.(a)  Within ninety (90) days
after the occurrence of any default known to the Property Trustee,  the Property
Trustee  shall  transmit,  in the manner and to the extent  provided  in Section
10.08, notice of such default to the Securityholders,  the Depositor,  the Trust
Securities Guarantor and the Administrative Trustees,  unless such default shall
have been  cured or waived  before  the giving of such  notice,  provided  that,
except in the case of a payment default, the Property Trustee shall be protected
in  withholding  such  notice  if and so long as the  board  of  directors,  the
executive  committee,  or a trust committee of directors or Responsible Officers
of the Property  Trustee in good faith  determines  that the withholding of such
notice is in the interests of the Holders.  For the purpose of this Section, the
term  "default"  means any event  which is, or after  notice or lapse of time or
both would become, an Event of Default.

                  (b) Within five  Business  Days after receipt of notice of the
Debenture Issuer's exercise of its right to defer the payment of interest on the
Debentures  pursuant to the Subordinated  Indenture,  the Property Trustee shall
transmit,  in the manner and to the extent provided in Section 10.08,  notice of
such exercise to the  Securityholders  and the Administrative  Trustees,  unless
such exercise shall have been revoked.

                 Section 8.03.   Certain Rights of Property  Trustee.Subject  to
the provisions of Section 8.01 and except as provided by law:

                           (i)    the  Property  Trustee  may rely and  shall be
                  protected  in acting or  refraining  from acting in good faith
                  upon any resolution, Opinion of Counsel, certificate,  written
                  representation  of a  Holder  or  transferee,  certificate  of
                  auditors  or any  other  certificate,  statement,  instrument,
                  opinion, report, notice, request,  direction,  consent, order,
                  appraisal,   bond,   debenture,   note,   other   evidence  of
                  indebtedness or other paper or document reasonably believed by
                  it to be genuine and to have been signed or  presented  by the
                  proper party or parties;

                           (ii)   if (A) in  performing  its  duties  under this
                  Trust  Agreement  the  Property  Trustee is required to decide
                  between alternative courses of action or (B) in construing any
                  of the provisions in this Trust Agreement the Property Trustee
                  finds  the same  ambiguous  or  inconsistent  with  any  other
                  provisions  contained  herein or (C) the  Property  Trustee is
                  unsure  of the  application  of any  provision  of this  Trust
                  Agreement,  then,  except  as to any  matter  as to which  the
                  Preferred Trust Securityholders are entitled to vote under the
                  terms of this Trust  Agreement,  the  Property  Trustee  shall
                  deliver  a  notice  to  the   Depositor   requesting   written
                  instructions of the Depositor as to the course of action to be
                  taken. The Property Trustee shall take such action, or refrain
                  from taking such  action,  as the  Property  Trustee  shall be
                  instructed in writing to take,  or to refrain from taking,  by
                  the Depositor; provided, however, that if the Property Trustee
                  does not receive such instructions of the Depositor within ten
                  Business  Days after it has  delivered  such  notice,  or such
                  reasonably  shorter  period of time set  forth in such  notice
                  (which to the  extent  practicable  shall not be less than two
                  Business Days), it may, but shall be under no duty to, take or
                  refrain  from taking such  action not  inconsistent  with this
                  Trust  Agreement  as it shall deem  advisable  and in the best
                  interests of the Securityholders,  in which event the Property
                  Trustee shall have no liability  except for its own bad faith,
                  negligence or willful misconduct;

                           (iii)  whenever in the  administration  of this Trust
                  Agreement the Property  Trustee shall deem it desirable that a
                  matter be proved or established prior to taking,  suffering or
                  omitting any action  hereunder,  the Property  Trustee (unless
                  other evidence be herein specifically  prescribed) may, in the
                  absence  of bad  faith on its part,  request  and rely upon an
                  Officer's

                                      -25-
<PAGE>

                  Certificate  which,  upon  receipt of such  request,  shall be
                  promptly  delivered  by the  Depositor  or the  Administrative
                  Trustees;

                           (iv)   the Property  Trustee may consult with counsel
                  of its selection (which counsel may be counsel to the Property
                  Trustee, Depositor or the Trust Securities Guarantor or any of
                  their Affiliates,  and may include any of their employees) and
                  the written  advice of such  counsel or any Opinion of Counsel
                  shall be full and complete  authorization  and  protection  in
                  respect  of  any  action  taken,  suffered  or  omitted  by it
                  hereunder  in  good  faith  and  in  reliance  thereon  and in
                  accordance with such advice;

                           (v)    the  Property   Trustee   shall  be  under  no
                  obligation  to exercise any of the rights or powers  vested in
                  it by this Trust  Agreement at the request or direction of any
                  Securityholder  pursuant to this Trust Agreement,  unless such
                  Securityholder  shall  have  offered to the  Property  Trustee
                  reasonable  security or indemnity against the costs,  expenses
                  (including   reasonable  attorneys'  fees  and  expenses)  and
                  liabilities  which might be incurred by it in  complying  with
                  such request or direction; provided that, nothing contained in
                  this  Section  8.03(v)  shall be taken to relieve the Property
                  Trustee,  upon the  occurrence of an Event of Default,  of its
                  obligation  to exercise the rights and powers  vested in it by
                  this Trust Agreement;

                           (vi)   the  Property  Trustee  shall  not be bound to
                  make any investigation into the facts or matters stated in any
                  resolution,   certificate,   statement,  instrument,  opinion,
                  report, notice, request, direction,  consent, order, approval,
                  bond,  debenture,  note or other evidence of  indebtedness  or
                  other paper or  document,  but the  Property  Trustee,  in its
                  discretion,  may make such  further  inquiry or  investigation
                  into such  facts or  matters  as it may see fit,  and,  if the
                  Property  Trustee shall determine to make such further inquiry
                  or  investigation,  it shall be entitled to examine the books,
                  records and premises of the  Depositor  personally or by agent
                  or attorney;

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

                           (viii) the Property  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 Trust Agreement;

                           (ix)   the Property Trustee shall not be charged with
                  knowledge  of any default or Event of Default  with respect to
                  the Trust Securities  unless either (A) a Responsible  Officer
                  of the  Property  Trustee  shall have actual  knowledge of the
                  default  or Event of  Default  or (B)  written  notice of such
                  default  or Event of  Default  shall  have  been  given to the
                  Property Trustee by the Depositor, the Administrative Trustees
                  or by any Holder of the Trust Securities;

                           (x)    no provision of this Trust  Agreement shall be
                  deemed  to  impose  any  duty or  obligation  on the  Property
                  Trustee  to  perform  any act or acts or  exercise  any right,
                  power,  duty or  obligation  conferred or imposed on it in any
                  jurisdiction  in which it shall be  illegal,  or in which  the
                  Property  Trustee  shall  be  unqualified  or  incompetent  in
                  accordance  with  applicable  law,  to perform any such act or
                  acts or to exercise any such right, power, duty or obligation;
                  and  no  permissive  or   discretionary   power  or  authority
                  available to the Property  Trustee  shall be construed to be a
                  duty;

                           (xi)   no  provision of this  Trust  Agreement  shall
                  require the  Property  Trustee to expend or risk its own funds
                  or  otherwise  incur  personal  financial   liability  in  the
                  performance  of any of its duties or in the exercise of any of
                  its  rights or  powers,  if the  Property  Trustee  shall have
                  reasonable  grounds for  believing  that the repayment of such
                  funds or liability is not  reasonably  assured to it under the
                  terms of this Trust  Agreement or adequate  indemnity  against
                  such risk or liability is not reasonably assured to it;

                                      -26-
<PAGE>

                           (xii)  the Property Trustee shall have no duty to see
                  to any  recording,  filing or  registration  of any instrument
                  (including any financing or continuation  statement or any tax
                  or  securities   form)  (or  any   rerecording,   refiling  or
                  reregistration thereof);

                           (xiii) the Property  Trustee  shall have the right at
                  any time to seek instructions concerning the administration of
                  this Trust Agreement from any court of competent jurisdiction;

                           (xiv)  whenever in the  administration  of this Trust
                  Agreement  the  Property  Trustee  shall deem it  desirable to
                  receive  instructions  with respect to enforcing any remedy or
                  right or  taking  any other  action  hereunder,  the  Property
                  Trustee (A) may request  instructions  from the Holders of the
                  Trust Securities,  which instructions may only be given by the
                  Holders of the same Liquidation Amount of the Trust Securities
                  as would be entitled to direct the Property  Trustee under the
                  terms of this Trust  Agreement  in  respect of such  remedies,
                  rights or actions,  (B) may refrain from enforcing such remedy
                  or right or taking such other action  until such  instructions
                  are  received,  and  (C)  shall  be  protected  in  acting  in
                  accordance with such instructions; and

                           (xv)   unless  otherwise  expressly  provided herein,
                  any  direction or act of the  Depositor  contemplated  by this
                  Trust  Agreement   shall  be  sufficiently   evidenced  by  an
                  Officers' Certificate.

                  Section 8.04.  Not  Responsible  for  Recitals or  Issuance of
Securities.The   recitals   contained   herein  and  in  the  Trust   Securities
Certificates  shall be taken as the statements of the Trust, and the Trustees do
not  assume any  responsibility  for their  correctness.  The  Trustees  make no
representations  as to the title to, or value or  condition  of, the property of
the Trust or any part  thereof,  nor as to the validity or  sufficiency  of this
Trust Agreement, the Debentures or the Trust Securities.  The Trustees shall not
be  accountable  for the use or  application by the Trust of the proceeds of the
Trust Securities.

                  Section 8.05.  May Hold Securities.Any Trustee or any agent of
any Trustee or the Trust,  in its individual or any other  capacity,  may become
the owner or pledgee of Trust Securities and, subject to Sections 8.08 and 8.13,
and except as provided in the definition of the term "Outstanding" in Article I,
may otherwise  deal with the Trust with the same rights it would have if it were
not a Trustee or such agent.

                 Section  8.06.  Compensation;   Fees;  Indemnity.The  Depositor
agrees:

                           (i)    to pay to the Trustees  from time to time such
                  reasonable compensation as shall be agreed in writing with the
                  Depositor for all services rendered by the Trustees  hereunder
                  (which  compensation  shall not be limited by any provision of
                  law in regard to the  compensation  of a trustee of an express
                  trust);

                           (ii)   except as otherwise expressly provided herein,
                  to  reimburse  the Trustees  upon  request for all  reasonable
                  expenses,  disbursements and advances  reasonably  incurred or
                  made by the Trustees in accordance  with any provision of this
                  Trust Agreement (including the reasonable compensation and the
                  expenses  and  disbursements  of their  agents  and  counsel),
                  except  any such  expense,  disbursement  or advance as may be
                  attributable to their  negligence  (gross  negligence,  in the
                  case of any  Administrative  Trustee),  bad  faith or  willful
                  misconduct; and

                           (iii)  to the fullest extent  permitted by applicable
                  law, to  indemnify  each Trustee for, and to hold each Trustee
                  harmless against, any and all loss, damage, claims,  liability
                  or expense incurred without negligence (gross  negligence,  in
                  the  case  of  any  Administrative  Trustee  or  the  Delaware
                  Trustee), bad faith or willful misconduct on its part, arising
                  out of or in connection with the acceptance or  administration
                  of the trust or trusts under this Trust  Agreement,  including
                  the reasonable  costs and expenses of defending itself against
                  any claim or  liability  in  connection  with the  exercise or
                  performance of any of its powers or duties hereunder.

                  No Trustee may claim any Lien or charge on any Trust  Property
as a result of any amount due pursuant to this Section 8.06.

                                      -27-
<PAGE>

                  In addition to the rights provided to each Trustee pursuant to
the provisions of the immediately  preceding  paragraph of this Section 8.06 and
without  prejudice to any rights available to the Trustees under applicable law,
when a Trustee incurs  expenses or renders  services in connection with an Event
of Default  resulting  from a Bankruptcy  Event with  respect to the Trust,  the
expenses  (including the reasonable charges and expenses of its counsel) and the
compensation   for  the  services  are  intended  to   constitute   expenses  of
administration  under any applicable Federal or State bankruptcy,  insolvency or
other similar law.

                  The   provisions  of  this  Section  8.06  shall  survive  the
termination of this Trust Agreement.

                  Section 8.07.  Certain Trustees Required; Eligibility.(a) here
shall at all times be a Property  Trustee  hereunder  with  respect to the Trust
Securities.  The Property  Trustee shall be a Person that has a combined capital
and surplus of at least  $50,000,000.  If any such Person  publishes  reports of
condition  at least  annually,  pursuant  to law or to the  requirements  of its
supervising or examining  authority,  then for the purposes of this Section, 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  Property  Trustee  with  respect  to the  Trust
Securities  shall cease to be eligible in accordance with the provisions of this
Section,  it  shall  resign  immediately  in the  manner  and  with  the  effect
hereinafter specified in this Article VIII.

                  (b)  There  shall at all  times be one or more  Administrative
Trustees  hereunder with respect to the Trust  Securities.  Each  Administrative
Trustee  shall be either a natural  person  who is at least 21 years of age or a
legal entity that shall act through one or more persons  authorized to bind such
entity.

                  (c)  There  shall at all  times  be a  Delaware  Trustee  with
respect to the Trust  Securities.  The  Delaware  Trustee  shall either be (i) a
natural  person who is at least 21 years of age and a  resident  of the State of
Delaware  or (ii) a legal  entity  with its  principal  place of business in the
State of Delaware that otherwise meets the  requirements of applicable  Delaware
law and that  shall act  through  one or more  persons  authorized  to bind such
entity.

                  Section 8.08.  Conflicting  Interests.If  the Property Trustee
has or shall  acquire a  conflicting  interest  within the  meaning of the Trust
Indenture  Act, the Property  Trustee  shall either  eliminate  such interest or
resign,  to the  extent  and in the  manner  provided  by,  and  subject  to the
provisions  of,  the  Trust  Indenture  Act  and  this  Trust   Agreement.   The
Subordinated  Indenture and the  securities of any series issued  thereunder and
the Trust  Securities  Guarantee  Agreement  shall be deemed to be  specifically
described  in this Trust  Agreement  for the purposes of clause (i) of the first
proviso contained in Section 310(b) of the Trust Indenture Act.

                  Section 8.09.  Co-Trustees and Separate Trustee.At any time or
times, for the purpose of meeting the legal  requirements of the Trust Indenture
Act or of any  jurisdiction  in which any part of the Trust  Property may at the
time be located, the Depositor and the Administrative Trustees, by agreed action
of the majority of such Trustees (except as provided in the following sentence),
shall have power to appoint,  and upon the written request of the Administrative
Trustees,  the  Depositor  shall for such purpose  join with the  Administrative
Trustees in the execution,  delivery,  and  performance of all  instruments  and
agreements  necessary or proper to appoint,  one or more Persons approved by the
Property Trustee either to act as co-trustee, jointly with the Property Trustee,
of all or any part of such Trust Property,  or to act as separate trustee of any
such  property,  in  either  case with such  powers  as may be  provided  in the
instrument of appointment, and to vest in such Person or Persons in the capacity
aforesaid,  any property,  title,  right or power deemed necessary or desirable,
subject to the other provisions of this Section.  If the Depositor does not join
in such  appointment  within 15 days after the  receipt by it of a request so to
do, or in case a Debenture Event of Default has occurred and is continuing,  the
Property Trustee alone shall have power to make such appointment.

                  Should any written  instrument  from the Depositor be required
by any co-trustee or separate  trustee so appointed for more fully confirming to
such co-trustee or separate trustee such property,  title,  right, or power, any
and all such  instruments  shall,  on request,  be executed,  acknowledged,  and
delivered by the Depositor.

                                      -28-
<PAGE>

                  Every  co-trustee  or separate  trustee  shall,  to the extent
permitted by law, but to such extent only, be appointed subject to the following
terms, namely:

                  (1) The Trust  Securities  shall be executed and delivered and
         all rights, powers, duties, and obligations hereunder in respect of the
         custody of  securities,  cash and other  personal  property held by, or
         required to be deposited or pledged with,  the Trustees  designated for
         such purpose hereunder, shall be exercised, solely by such Trustees.

                  (2)  The  rights,   powers,  duties,  and  obligations  hereby
         conferred  or  imposed  upon the  Property  Trustee  in  respect of any
         property covered by such appointment shall be conferred or imposed upon
         and  exercised or performed by the Property  Trustee or by the Property
         Trustee and such co-trustee or separate  trustee  jointly,  as shall be
         provided  in the  instrument  appointing  such  co-trustee  or separate
         trustee, except to the extent that under any law of any jurisdiction in
         which any particular act is to be performed, the Property Trustee shall
         be  incompetent or unqualified to perform such act, in which event such
         rights,   powers,  duties,  and  obligations  shall  be  exercised  and
         performed by such co-trustee or separate trustee.

                  (3) The  Property  Trustee at any time,  by an  instrument  in
         writing executed by it, with the written  concurrence of the Depositor,
         may accept the  resignation  of or remove any  co-trustee  or  separate
         trustee  appointed  under this Section  8.09,  and, in case a Debenture
         Event of Default has occurred and is continuing,  the Property  Trustee
         shall  have  power to accept the  resignation  of, or remove,  any such
         co-trustee  or  separate   trustee   without  the  concurrence  of  the
         Depositor.  Upon the  written  request  of the  Property  Trustee,  the
         Depositor  shall  join  with the  Property  Trustee  in the  execution,
         delivery,  and performance of all instruments and agreements  necessary
         or proper to effectuate such resignation or removal. A successor to any
         co-trustee or separate  trustee so resigned or removed may be appointed
         in the manner provided in this Section.

                  (4) No  co-trustee  or  separate  trustee  hereunder  shall be
         personally  liable by reason of any act or omission of any Trustee,  or
         any other such trustee hereunder.

                  (5) The Property  Trustee shall not be liable by reason of any
         act of a co-trustee or separate trustee hereunder.

                  (6) Any Act of Holders delivered to the Property Trustee shall
         be deemed to have been  delivered to each such  co-trustee and separate
         trustee.

                  Section  8.10.   Resignation   and  Removal;   Appointment  of
Successor.No  resignation  or  removal of any  Trustee  (as the case may be, the
"Relevant  Trustee") and no appointment of a successor Relevant Trustee pursuant
to this Article shall become  effective  until the  acceptance of appointment by
the successor Relevant Trustee in accordance with the applicable requirements of
Section 8.11.

                  The Relevant  Trustee may resign at any time by giving written
notice  thereof to the  Securityholders,  the Depositor and the other  Trustees,
except that notice is only  required to be delivered to the  Securityholders  in
the event that the  Property  Trustee or the Delaware  Trustee is the  resigning
Relevant  Trustee.  If the  instrument  of  acceptance  by a successor  Relevant
Trustee  required by Section 8.11 shall not have been delivered to the resigning
Relevant  Trustee within 30 days after the giving of such notice of resignation,
the resigning Relevant Trustee may petition any court of competent  jurisdiction
for the appointment of a successor Relevant Trustee.

                  Unless a Debenture Event of Default shall have occurred and be
continuing, the Relevant Trustee may be removed at any time by Act of the Common
Trust Securityholder. If a Debenture Event of Default shall have occurred and be
continuing,  the Property Trustee or the Delaware Trustee,  or both of them, may
be removed at such time by Act of the  Holders  of a majority  of the  aggregate
Liquidation Amount of the Outstanding  Preferred Trust Securities,  delivered to
the Relevant Trustee (in its individual capacity and on behalf of the Trust). An
Administrative  Trustee  may be  appointed,  replaced  or removed  solely by the
Common Trust Securityholder at any time.

                                      -29-
<PAGE>

                  If the Relevant  Trustee  shall  resign,  be removed or become
incapable of continuing  to act as Relevant  Trustee at a time when no Debenture
Event of Default  shall  have  occurred  and be  continuing,  the  Common  Trust
Securityholder,  by Act of the  Common  Trust  Securityholder  delivered  to the
retiring Relevant Trustee,  shall promptly appoint a successor  Relevant Trustee
or Trustees,  and the retiring Relevant Trustee shall comply with the applicable
requirements  of Section 8.11. If the Property  Trustee or the Delaware  Trustee
shall  resign,  be  removed  or become  incapable  of  continuing  to act as the
Property Trustee or the Delaware  Trustee,  as the case may be, at a time when a
Debenture Event of Default shall have occurred and be continuing,  the Preferred
Trust  Securityholders,  by Act  of the  Preferred  Trust  Securityholders  of a
majority in aggregate  Liquidation  Amount of the  Outstanding  Preferred  Trust
Securities  delivered  to  such  retiring  Trustee,  shall  promptly  appoint  a
successor Relevant Trustee or Trustees, and such successor shall comply with the
applicable  requirements  of Section  8.11. If an  Administrative  Trustee shall
resign, be removed or become incapable of acting as Administrative Trustee, at a
time when a Debenture  Event of Default shall have  occurred and be  continuing,
the Common Securityholder by Act of the Common  Securityholder  delivered to the
Administrative  Trustees  shall  promptly  appoint  a  successor  Administrative
Trustee or Trustees and such successor  Administrative Trustee or Trustees shall
comply  with the  applicable  requirements  of  Section  8.11.  If no  successor
Relevant   Trustee   shall  have  been  so   appointed   by  the  Common   Trust
Securityholders or the Preferred Trust  Securityholders and accepted appointment
in the  manner  required  by Section  8.11,  any  Securityholder  who has been a
Securityholder  of Trust  Securities  for at least six months  may, on behalf of
himself  and all others  similarly  situated,  petition  any court of  competent
jurisdiction for the appointment of a successor Relevant Trustee.

                  The Property Trustee shall give notice of each resignation and
each removal of a Property Trustee or Delaware Trustee and each appointment of a
successor  to such  Trustee to all  Securityholders  in the manner  provided  in
Section 10.08 and shall give notice to the Depositor.  Such notice shall include
the name of the  successor  Relevant  Trustee and the  address of its  Corporate
Trust Office if it is the Property Trustee.

                  Notwithstanding  the foregoing or any other  provision of this
Trust Agreement,  in the event any Administrative  Trustee or a Delaware Trustee
who is a  natural  person  dies or  becomes  in the  opinion  of the  Depositor,
incompetent or incapacitated, the vacancy created by such death, incompetence or
incapacity  may be filled by (i) the unanimous  act of remaining  Administrative
Trustees if there are at least two of them or (ii)  otherwise  by the  Depositor
(with  the  successor  in each  case  being  an  individual  who  satisfies  the
eligibility requirements for Administrative Trustees or Delaware Trustee, as the
case may be,  set forth in  Section  8.07).  Additionally,  notwithstanding  the
foregoing  or any other  provision  of this  Trust  Agreement,  in the event the
Depositor  reasonably believes that any Administrative  Trustee who is a natural
person has become incompetent or incapacitated,  the Depositor, by notice to the
remaining Trustees, may terminate the status of such Person as an Administrative
Trustee (in which case the vacancy so created will be filled in accordance  with
the preceding sentence).

                  No Trustee shall be liable for the acts or omissions to act of
any successor Trustee.

                  Section 8.11.  Acceptance of Appointment by Successor.In  case
of the  appointment  hereunder  of a successor  Relevant  Trustee,  the retiring
Relevant  Trustee (if requested by the  Depositor)  and each  successor  Trustee
shall execute and deliver an amendment  hereto wherein each  successor  Relevant
Trustee shall accept such appointment and which shall contain such provisions as
shall be necessary or desirable to transfer and confirm to, and to vest in, each
successor  Relevant  Trustee  all the rights,  powers,  trusts and duties of the
retiring  Relevant Trustee and upon the execution and delivery of such amendment
the  resignation  or removal  of the  retiring  Relevant  Trustee  shall  become
effective  to the  extent  provided  therein  and each such  successor  Relevant
Trustee,  without any further act, deed or conveyance,  shall become vested with
all the rights, powers, trusts and duties of the retiring Relevant Trustee; but,
on request of the Trust or any successor Relevant Trustee such retiring Relevant
Trustee  shall,  upon payment of all sums owed to it, duly assign,  transfer and
deliver to such successor  Trustee all Trust Property,  all proceeds thereof and
money held by such retiring Relevant Trustee hereunder with respect to the Trust
Securities and the Trust.

                  Upon  request  of any such  successor  Relevant  Trustee,  the
retiring  Relevant  Trustee shall execute any and all instruments for more fully
and certainly  vesting in and confirming to such successor  Relevant Trustee all
such rights, powers and trusts referred to in the preceding paragraph.

                                      -30-
<PAGE>

                  No successor  Relevant  Trustee  shall accept its  appointment
unless at the time of such acceptance such successor  Relevant  Trustee shall be
qualified and eligible under this Article VIII.

                  Section 8.12. Merger, Conversion,  Consolidation or Succession
to Business.Any  Person into which the Property  Trustee or the Delaware Trustee
or any  Administrative  Trustee  that is not a natural  person  may be merged or
converted or with which it may be consolidated, or any Person resulting from any
merger,  conversion or  consolidation  to which such Relevant Trustee shall be a
party, or any Person  succeeding to all or substantially all the corporate trust
business of such  Relevant  Trustee,  shall be the  successor  of such  Relevant
Trustee  hereunder,  provided  such  Person  shall be  otherwise  qualified  and
eligible under this Article VIII,  without the execution or filing of any paper,
the giving of any notice or any  further  act on the part of any of the  parties
hereto.

                  Section 8.13.  Preferential   Collection  of   Claims  Against
Depositor  or  Trust.If  and  when the  Property  Trustee  shall be or  become a
creditor of the Depositor or the Trust (or any other obligor upon the Debentures
or  the  Trust  Securities),  the  Property  Trustee  shall  be  subject  to the
provisions of the Trust Indenture Act regarding the collection of claims against
the Depositor or Trust (or any such other obligor).

                  Section 8.14.  Reports  by Property  Trustee.(a)  The Property
Trustee shall transmit to  Securityholders  such reports concerning the Property
Trustee and its actions under this Trust  Agreement as may be required  pursuant
to the Trust  Indenture  Act at the times and in the  manner  provided  pursuant
thereto. Such of those reports as are required to be transmitted by the Property
Trustee  pursuant to Section 313(a) of the Trust Indenture Act shall be dated as
of the next  preceding  September  15,  and shall be  transmitted  no later than
November 15 of each year, commencing September 15, 200_.

                  (b) A copy of each  such  report  shall,  at the  time of such
transmission  to Holders,  be filed by the Property  Trustee with each  national
exchange,  the Nasdaq National Market or such other interdealer quotation system
or  self-regulatory  organization  upon which the Trust Securities are listed or
traded,  if any, with the Commission and with the Depositor.  The Depositor will
notify the Property Trustee of any such listing or trading.

                  Section 8.15.  Reports to the Property  Trustee.The  Depositor
and the  Administrative  Trustees  on behalf of the Trust  shall  provide to the
Property  Trustee  such  documents,  reports and  information,  if any,  and the
compliance certificate required by Section 314(a)(4) of the Trust Indenture Act,
in the form, in the manner and at the times required by Section 314 of the Trust
Indenture  Act,  provided that such  compliance  certificate  shall be delivered
annually  on or  before  ____________  in  each  year,  beginning  ____________.
Delivery of such  reports,  information  and  documents by the  Depositor to the
Property Trustee is for informational  purposes only and the Property  Trustee's
receipt  of such shall not  constitute  constructive  notice of any  information
contained therein or determinable from information contained therein,  including
the Depositor's  compliance with any of its covenants hereunder (as to which the
Property Trustee is entitled to rely exclusively on Officer's Certificates).

                  Section 8.16.  Evidence   of   Compliance   With    Conditions
Precedent.Each of the Depositor and the Administrative Trustees on behalf of the
Trust shall provide to the Property Trustee such evidence of compliance with any
conditions  precedent,  if any, provided for in this Trust Agreement  (including
any covenants  compliance  with which  constitutes a condition  precedent)  that
relate to any of the matters set forth in Section 314(c) of the Trust  Indenture
Act. Any certificate or opinion  required to be given by an officer  pursuant to
Section  314(c)(1)  of the  Trust  Indenture  Act may be given in the form of an
Officer's Certificate.

                  Section 8.17.  Number of  Trustees.(a)  The number of Trustees
shall be five, provided that the Depositor, by written instrument,  may increase
or decrease the number of  Administrative  Trustees.(b)  If a Trustee  ceases to
hold  office for any reason and the  number of  Administrative  Trustees  is not
reduced pursuant to Section  8.17(a),  or if the number of Trustees is increased
pursuant to Section 8.17(a),  a vacancy shall occur. The vacancy shall be filled
with a Trustee appointed in accordance with Section 8.10.

                  (c) The death, resignation,  retirement,  removal, bankruptcy,
incompetence  or incapacity to perform the duties of a Trustee shall not operate
to annul,  dissolve or terminate the Trust.  Whenever a vacancy in the number of
Administrative  Trustees  shall  occur,  until  such  vacancy  is  filled by the
appointment of an

                                      -31-
<PAGE>

Administrative  Trustee in  accordance  with Section  8.10,  the  Administrative
Trustees in office,  regardless of their number (and  notwithstanding  any other
provision  of  this  Agreement),  shall  have  all  the  powers  granted  to the
Administrative  Trustees  and shall  discharge  all the duties  imposed upon the
Administrative Trustees by this Trust Agreement.

                  Section 8.18.  Delegation   of  Power.(a)  Any  Administrative
Trustee may, by power of attorney  consistent with  applicable law,  delegate to
any other natural  person over the age of 21 his or her power for the purpose of
executing any documents contemplated in Sections 2.07(a) and 2.07(c),  including
any registration  statement or amendment  thereto filed with the Commission,  or
making any other governmental filing; and

                  (b) the  Administrative  Trustees shall have power to delegate
from  time to time to such of their  number  the  doing of such  things  and the
execution  of such  instruments  either in the name of the Trust or the names of
the Administrative Trustees or otherwise as the Administrative Trustees may deem
expedient,  to the extent such delegation is not prohibited by applicable law or
contrary to the provisions of the Trust, as set forth herein.

                  Section 8.19.  Fiduciary  Duty.(a) To the extent that,  at law
or in equity, an Indemnified Person has duties (including  fiduciary duties) and
liabilities  relating  thereto to the Trust or to any other Covered  Person,  an
Indemnified  Person acting under this Trust Agreement shall not be liable to the
Trust  or to any  other  Covered  Person  for its  good  faith  reliance  on the
provisions of this Trust Agreement.  The provisions of this Trust Agreement,  to
the extent  that they  restrict  the duties and  liabilities  of an  Indemnified
Person otherwise  existing at law or in equity (other than the duties imposed on
the Property  Trustee under the Trust  Indenture Act), are agreed by the parties
hereto to replace such other duties and liabilities of such Indemnified Person;

                  (b) Unless otherwise  expressly provided herein and subject to
the provisions of the Trust Indenture Act:

                           (i)    whenever  a  conflict  of  interest  exists or
                  arises between an Indemnified  Person and any Covered  Person;
                  or

                           (ii)   whenever  this  Trust  Agreement  or any other
                  agreement  contemplated  herein or  therein  provides  that an
                  Indemnified  Person shall act in a manner that is, or provides
                  terms that are, fair and reasonable to the Trust or any Holder
                  of Trust Securities, the Indemnified Person shall resolve such
                  conflict of interest,  take such action or provide such terms,
                  considering  in each case the relative  interest of each party
                  (including  its own  interest)  to such  conflict,  agreement,
                  transaction or situation and the benefits and burdens relating
                  to  such  interests,   any  customary  or  accepted   industry
                  practices,  and any applicable  generally accepted  accounting
                  practices  or  principles.  In the absence of bad faith by the
                  Indemnified  Person,  the resolution,  action or term so made,
                  taken  or  provided  by  the  Indemnified   Person  shall  not
                  constitute  a breach  of this  Trust  Agreement  or any  other
                  agreement  contemplated herein or of any duty or obligation of
                  the Indemnified Person at law or in equity or otherwise; and

                  (c) Unless otherwise  expressly provided herein and subject to
the provisions of the Trust  Indenture Act,  whenever in this Trust Agreement an
Indemnified Person is permitted or required to make a decision

                           (i)    in  its  "discretion"  or  under  a  grant  of
                  similar authority, the Indemnified Person shall be entitled to
                  consider such interests and factors as it reasonably  desires,
                  including  its  own  interests,  and  shall  have  no  duty or
                  obligation  to give any  consideration  to any  interest of or
                  factors affecting the Trust or any other Person; or

                           (ii)   in its "good faith" or under  another  express
                  standard,  the Indemnified Person shall act under such express
                  standard  and shall not be subject  to any other or  different
                  standard imposed by this Trust Agreement or by applicable law.

                  Section 8.20. Delaware Trustee.It is expressly  understood and
agreed by the parties  hereto that in  fulfilling  its  obligations  as Delaware
Trustee  hereunder  on behalf of the Trust  (i) any  agreements  or  instruments

                                      -32-
<PAGE>

executed  and  delivered  by The Bank of New York  (Delaware)  are  executed and
delivered not in its  individual  capacity but solely as Delaware  Trustee under
this Trust  Agreement in the exercise of the powers and authority  conferred and
vested in it,  (ii) each of the  representations,  undertakings  and  agreements
herein   made  on  the  part  of  the  Trust  is  made  and   intended   not  as
representations,   warrants,  covenants,  undertakings  and  agreements  by  the
Delaware  Trustee in its  individual  capacity  but is made and intended for the
purpose of binding only the Trust,  and (iii) under no  circumstances  shall the
Delaware Trustee in its individual capacity be personally liable for the payment
of any  indebtedness  or  expenses  of the Trust or be liable  for the breach or
failure  of  any  obligation,  representation,  warranty  or  covenant  made  or
undertaking  by the Trust under this Trust  Agreement,  except if such breach or
failure is due to any gross  negligence  or willful  misconduct  of the Delaware
Trustee.

                                   ARTICLE IX

                           Dissolution and Liquidation

                  Section 9.01.  Dissolution Upon Expiration Date.Unless earlier
dissolved,  the Trust shall  automatically  dissolve  on December  31, 20__ (the
"Expiration  Date") and the  Trustees  shall take such  action as is required by
Section 9.04.

                  Section 9.02.  Early  Dissolution.Upon  the  first to occur of
any of the  following  events  (such  first  occurrence,  an "Early  Termination
Event"):

                           (i)    the  occurrence  of  a  Bankruptcy   Event  in
                  respect  of,  or  the   dissolution  or  liquidation  of,  the
                  Depositor;

                           (ii)   the  redemption of all of the Preferred  Trust
                  Securities;

                           (iii)  an order for judicial dissolution of the Trust
                  having been entered by a court of competent jurisdiction;

                           (iv)   the election by the  Depositor to dissolve the
                  Trust and, after  satisfaction  of liabilities to creditors of
                  the  Trust,  distribute  the  Debentures  to  the  Holders  of
                  Preferred Trust Securities in liquidation of the Trust;

the Trust shall  dissolve and the Trustees shall take such action as is required
by Section 9.04.

                  Section 9.03.  Termination.  The  respective  obligations  and
responsibilities  of the Trust and the Trustees  created hereby shall  terminate
upon the latest to occur of the following:  (i) the distribution by the Property
Trustee to Securityholders upon the liquidation of the Trust pursuant to Section
9.04, or upon the redemption of all of the Trust Securities  pursuant to Section
4.02 or 9.04(d),  of all amounts  required to be distributed  hereunder upon the
final payment of the Trust Securities;  (ii) the payment of any expenses owed by
the  Trust;  and  (iii)  the  discharge  of  all  administrative  duties  of the
Administrative  Trustees,   including  the  performance  of  any  tax  reporting
obligations with respect to the Trust or the Securityholders.

                  Section 9.04.  Liquidation.(a)  Upon the Expiration Date or if
an Early  Termination  Event  specified in clause (i),  (iii) or (iv) of Section
9.02 occurs,  after  satisfaction of creditors of the Trust, if any, as provided
by  applicable  law, the Trust shall be  liquidated  by the Property  Trustee as
expeditiously  as  the  Property   Trustee   determines  to  be  appropriate  by
distributing  to each  Securityholder  a Like Amount of  Debentures,  subject to
Section  9.04(e).  Notice of  liquidation  shall be given by the  Administrative
Trustees by first-class mail, postage prepaid, mailed not later than 30 nor more
than 60 days prior to the Liquidation Date to each Holder of Trust Securities at
such  Holder's  address  appearing in the  Securities  Register.  All notices of
liquidation shall:

                           (i) state the Liquidation Date;

                                      -33-
<PAGE>

                           (ii)   state  that  from and  after  the  Liquidation
                  Date,  the  Trust  Securities  will no  longer be deemed to be
                  Outstanding  and  any  Trust   Securities   Certificates   not
                  surrendered  for  exchange  will be deemed to represent a Like
                  Amount of Debentures; and

                           (iii)  provide such  information  with respect to the
                  mechanics  by which  Holders  may  exchange  Trust  Securities
                  Certificates  for Debentures,  or, if Section 9.04(e) applies,
                  receive  a  Liquidation  Distribution,  as the  Administrative
                  Trustees or the Property  Trustee  shall deem  appropriate.(b)
                  Except where Sections  9.02(ii),  9.04(d) or 9.04(e) apply, in
                  order to effect the  liquidation of the Trust  hereunder,  and
                  any   resulting    distribution    of   the    Debentures   to
                  Securityholders, the Administrative Trustees shall establish a
                  record  date for such  distribution  (which  shall be not more
                  than 45 days prior to the Liquidation Date) and, either itself
                  acting as  exchange  agent or  through  the  appointment  of a
                  separate exchange agent, shall establish such procedures as it
                  shall  deem   appropriate  to  effect  the   distribution   of
                  Debentures in exchange for the  Outstanding  Trust  Securities
                  Certificates.

                  (c) Except where Sections 9.02(ii),  9.04(d) or 9.04(e) apply,
after any Liquidation Date, (i) the Trust Securities will no longer be deemed to
be Outstanding, (ii) certificates representing a Like Amount of Debentures will,
after satisfaction of liabilities to creditors of the Trust, if any, as provided
by applicable law, be issued to Holders of Trust Securities  Certificates,  upon
surrender of such Trust Securities  Certificates to the Administrative  Trustees
or their agent for  exchange,  (iii) any Trust  Securities  Certificates  not so
surrendered  for  exchange  will  be  deemed  to  represent  a  Like  Amount  of
Debentures,  accruing  interest at the rate provided for in the Debentures  from
the last  Distribution  Date on  which a  Distribution  was  made on such  Trust
Securities   Certificates  until  such  Trust  Securities  Certificates  are  so
surrendered (and until such Trust Securities Certificates are so surrendered, no
payments or interest or  principal  will be made to Holders of Trust  Securities
Certificates   with  respect  to  such   Debentures)  and  (iv)  all  rights  of
Securityholders  holding Trust  Securities will cease,  except the right of such
Securityholders  to receive,  after  satisfaction of liabilities to creditors of
the Trust, if any, as provided by applicable  law,  Debentures upon surrender of
Trust Securities Certificates.

                  (d) If at any time, a Tax Event shall occur and be continuing,
and either (i) in the Opinion of Counsel to the  Depositor  experienced  in such
matters, there would in all cases, after effecting the dissolution of the Trust,
after satisfaction of liabilities to creditors of the Trust, if any, as provided
by applicable law, and the  distribution of the Debentures to the Holders of the
Preferred Trust Securities in exchange  therefor,  be more than an insubstantial
risk  that an  Adverse  Tax  Consequence  would  continue  to  exist or (ii) the
Debentures are not held by the Trust, then the Depositor shall have the right to
redeem  the  Debentures,  in whole but not in part,  at any time  within 90 days
following  the  occurrence  of the Tax  Event.  Whether  or not a Tax  Event has
occurred,  the Depositor has the right,  at any time, to dissolve the Trust and,
after satisfaction of liabilities to creditors of the Trust, if any, as provided
by applicable  law, cause the Debentures to be distributed to the Holders of the
Preferred  Trust  Securities  and Common Trust  Securities in liquidation of the
Trust on a pro rata basis. [Add Provisions to substitute  Treasury Securities if
securities are issued in connection with Stock Purchase Units]

                  (e) In the event that, notwithstanding the other provisions of
this Section  9.04,  whether  because of an order for  dissolution  entered by a
court of competent jurisdiction or otherwise,  distribution of the Debentures in
the manner  provided  herein is  determined  by the  Property  Trustee not to be
practical,  the Trust  Property  shall be  liquidated,  and the  Trust  shall be
wound-up,  by the  Property  Trustee  in such  manner  as the  Property  Trustee
determines.  In such event,  Securityholders  will be entitled to receive out of
the assets of the Trust  available for  distribution to  Securityholders,  after
satisfaction  of liabilities  to creditors of the Trust,  if any, as provided by
applicable  law, an amount equal to the  Liquidation  Amount per Trust  Security
plus accumulated and unpaid  Distributions  thereon to the date of payment (such
amount being the "Liquidation Distribution").  If, upon any such winding up, the
Liquidation  Distribution  can be paid  only  in  part  because  the  Trust  has
insufficient  assets  available  to  pay  in  full  the  aggregate   Liquidation
Distribution, then, subject to the next succeeding sentence, the amounts payable
by the Trust on the Trust  Securities  shall be paid on a pro rata basis  (based
upon  Liquidation  Amounts).  The  Holder of  Common  Trust  Securities  will be
entitled to receive Liquidation  Distributions upon any such winding-up pro rata
(determined as aforesaid)  with Holders of Preferred  Trust  Securities,  except
that,  if a Debenture  Event of Default (or event that with the lapse of time or
giving  of  notice  would  become  an  Event of  Default)  has  occurred  and is
continuing, the Preferred Trust Securities shall have a priority over the Common
Trust Securities.

                                      -34-
<PAGE>

                  Section 9.05.  Mergers,   Consolidations,   Amalgamations   or
Replacements of the Trust.The Trust may not merge, consolidate,  amalgamate with
or into,  or be replaced  by, or convey,  transfer or lease its  properties  and
assets substantially as an entirety to any other Person, except pursuant to this
Article  IX.  At  the  request  of  the  Depositor,  with  the  consent  of  the
Administrative  Trustees  and  without  the consent of the Holders of at least a
majority in Liquidation  Amount of the Preferred Trust Securities,  the Property
Trustee or the Delaware Trustee, the Trust may merge,  consolidate,  amalgamate,
with or into, or be replaced by or convey,  transfer or lease its properties and
assets  substantially as an entirety to a trust organized as such under the laws
of any State;  provided,  that (i) such  successor  entity  either (a) expressly
assumes  all of the  obligations  of the Trust  with  respect  to the  Preferred
Securities  or  (b)  substitutes  for  the  Preferred  Trust   Securities  other
securities having substantially the same terms as the Preferred Trust Securities
(the "Successor  Securities") so long as the Successor  Securities rank the same
as the Preferred Trust Securities rank in priority with respect to distributions
and payments upon liquidation,  redemption and otherwise, (ii) a trustee of such
successor  entity  possessing  substantially  the same  powers and duties as the
Property  Trustee  is  appointed  to hold the  Debentures,  (iii) the  Successor
Securities are listed or traded, or any Successor Securities will be listed upon
notification  of  issuance,   on  any  national  securities  exchange  or  other
organization on which the Preferred Trust  Securities are then listed or traded,
if any, (iv) such merger, consolidation,  amalgamation, replacement, conveyance,
transfer or lease does not cause the Preferred Trust  Securities  (including any
Successor Securities) to be downgraded by any nationally recognized  statistical
rating organization, (v) such merger, consolidation,  amalgamation, replacement,
conveyance,  transfer or lease does not adversely affect the rights, preferences
and  privileges  of the  holders  of the  Preferred  Securities  (including  any
Successor  Securities) in any material respect, (vi) such successor entity has a
purpose  substantially  identical  to that of the  Trust,  (vii)  prior  to such
merger, consolidation, amalgamation, replacement, conveyance, transfer or lease,
the  Depositor  has  received  an Opinion of Counsel to the effect that (a) such
merger, consolidation,  amalgamation, replacement, conveyance, transfer or lease
does not adversely affect the rights,  preferences and privileges of the holders
of the Preferred Securities (including any Successor Securities) in any material
respect,   and  (b)   following   such  merger,   consolidation,   amalgamation,
replacement, conveyance, transfer or lease, neither the Trust nor such successor
entity  will  be  required  to  register  as an  investment  company  under  the
Investment Company Act and (viii) the Depositor or its permitted transferee owns
all of the  common  securities  of such  successor  entity  and  guarantees  the
obligations of such successor entity under the Successor  Securities at least to
the extent provided by the guarantee.  Notwithstanding the foregoing,  the Trust
shall  not,  except  with the  consent of  Holders  of all the  Preferred  Trust
Securities,  consolidate, amalgamate or merge with or into, or be replaced by or
convey, transfer or lease its properties and assets substantially as an entirety
to any other Person or permit any other  Person to  consolidate,  amalgamate  or
merge with or into, or replace it if such consolidation,  amalgamation,  merger,
replacement,  conveyance,  transfer  or  lease  would  cause  the  Trust  or the
successor  entity to be  classified  as other  than a grantor  trust for  United
States federal income tax purposes.

                                    ARTICLE X

                            Miscellaneous Provisions

                  Section 10.01. Payment of Expenses of the  Trust. Pursuant  to
Article Three of the  Supplemental  Indenture No. 1 to the Indenture,  the Trust
Securities  Guarantor  has agreed to pay to the Trust,  and  reimburse the Trust
for, the full amount of any costs,  expenses or  liabilities of the Trust (other
than obligations of the Trust to pay the Holders of any Preferred  Securities or
Common Securities),  including,  without limitation,  any taxes, duties or other
governmental  charges of whatever nature (other than withholding  taxes) imposed
on the Trust by the United  States or any other taxing  authority.  Such payment
obligation  includes any such costs,  expenses or  liabilities of the Trust that
are required by applicable law to be satisfied in connection  with a termination
of the Trust.

                                      -35-
<PAGE>

                  Section 10.02. Limitation  of Rights of  Securityholders.  The
death, incapacity,  bankruptcy,  dissolution or termination of any Person having
an interest,  beneficial or otherwise,  in a Trust Security shall not operate to
terminate this Trust Agreement, nor dissolve,  terminate or annul the Trust, nor
entitle the legal  representatives or heirs of such Person or any Securityholder
for such Person, to claim an accounting, take any action or bring any proceeding
in any court for a  partition  or  winding up of the  arrangements  contemplated
hereby,  nor otherwise  affect the rights,  obligations  and  liabilities of the
parties hereto or any of them.

                  Section 10.03. Amendment.   (a)   In  addition  to  amendments
contemplated  by Section 8.11,  this Trust Agreement may be amended from time to
time by a majority of the Administrative  Trustees, the Property Trustee and the
Depositor,  without  the  consent  of  any  Securityholders,  (i)  to  cure  any
ambiguity,  correct or supplement  any provision  herein or therein which may be
inconsistent  with any other provision  herein or therein,  or to make any other
provisions  with  respect  to  matters  or  questions  arising  under this Trust
Agreement, (ii) to change the name of the Trust or (iii) to modify, eliminate or
add to any  provisions  of this  Trust  Agreement  to such  extent  as  shall be
necessary  to ensure  that the Trust will not be  classified  for United  States
Federal income tax purposes other than as a "grantor trust" at any time that any
Trust  Securities are  outstanding  or to ensure the Trust's  exemption from the
status of an "investment  company" under the Investment  Company Act;  provided,
however, that such action shall not adversely affect in any material respect the
interests  of any  Securityholder  and,  in the  case of  clause  (i),  any such
amendments of this Trust Agreement shall become effective when notice thereof is
given to the  Securityholders.(b)  Except as provided  in  Sections  6.01(c) and
10.03(c),  any  provision  of  this  Trust  Agreement  may  be  amended  by  the
Administrative  Trustees,  the Property  Trustee and the Depositor  with (i) the
consent  of Holders of Trust  Securities  representing  not less than a majority
(based upon  Liquidation  Amounts) of the Outstanding  Trust Securities and (ii)
receipt by the  Trustees  of an  Opinion  of  Counsel  to the  effect  that such
amendment  or the exercise of any power  granted to the  Trustees in  accordance
with such  amendment  will not affect the Trust's  status as a grantor trust for
Federal  income  tax  purposes  or  the  Trust's  exemption  from  status  as an
"investment company" under the Investment Company Act.

                  (c) In addition to and  notwithstanding any other provision in
this Trust Agreement, without the consent of each affected Securityholder,  this
Trust Agreement may not be amended to (i) adversely  change the amount or timing
of any  Distribution on the Trust  Securities or otherwise  adversely affect the
amount  of any  Distribution  required  to be  made  in  respect  of  the  Trust
Securities as of a specified date or (ii) restrict the right of a Securityholder
to institute suit for the enforcement of any such payment on or after such date.

                  (d)   Notwithstanding  any  other  provisions  of  this  Trust
Agreement,  no amendment to this Trust  Agreement may be made if, as a result of
such  amendment,  the Trust  would not be  classified  as a "grantor  trust" for
United States  Federal  income tax purposes or would to fail or cease to qualify
for the exemption  from status of an  "investment  company" under the Investment
Company Act afforded by Rule 3a-5 thereunder.

                  (e)  Notwithstanding  anything in this Trust  Agreement to the
contrary,  the  Depositor  and the Trustees  may, but shall not be obligated to,
enter  into  any  amendment  which  imposes  any  additional  obligation  on the
Depositor or any Trustee or, in the case of the  Trustees,  which affects any of
their respective rights, duties or immunities hereunder.

                  (f) In the event that any amendment to this Trust Agreement is
made, the Administrative Trustees shall promptly provide to the Depositor a copy
of such amendment.

                  (g) The  Delaware  Trustee  may join in the  execution  of any
amendment  to the Trust  Agreement  and the  Property  Trustee and the  Delaware
Trustee are entitled to rely upon an Opinion of Counsel as  conclusive  evidence
that any amendment to this Trust Agreement entered into pursuant to this Section
10.03 is  authorized or permitted by, and conforms to, the terms of this Section
10.03, has been duly authorized by and lawfully executed and delivered on behalf
of the other requisite  parties,  and that it is proper for the Property Trustee
under the  provisions  of this  Section  10.03 to accept the  additional  trusts
created  thereby and, if so requested,  for the Delaware  Trustee to join in the
execution thereof.

                                      -36-
<PAGE>

                  Section  10.04.  Separability.In  case any  provision  in this
Trust  Agreement  or in the  Trust  Securities  Certificates  shall be  invalid,
illegal or  unenforceable,  the  validity,  legality and  enforceability  of the
remaining provisions shall not in any way be affected or impaired thereby.

                  Section  10.05.  Governing  Law.THIS  TRUST  AGREEMENT AND THE
RIGHTS AND OBLIGATIONS OF EACH OF THE SECURITYHOLDERS, THE TRUST, THE DEPOSITOR,
THE TRUST  SECURITIES  GUARANTOR  AND THE  TRUSTEES  WITH  RESPECT TO THIS TRUST
AGREEMENT AND THE TRUST  SECURITIES  SHALL BE CONSTRUED IN  ACCORDANCE  WITH AND
GOVERNED  BY THE LAWS OF THE STATE OF  DELAWARE  (WITHOUT  REGARD TO CONFLICT OF
LAWS  PRINCIPLES),  PROVIDED,  THAT THE  IMMUNITIES  AND STANDARD OF CARE OF THE
PROPERTY TRUSTEE IN CONNECTION WITH THE  ADMINISTRATION OF ITS TRUSTS AND DUTIES
HEREUNDER  SHALL BE  CONSTRUED IN  ACCORDANCE  WITH AND GOVERNED BY THE INTERNAL
LAWS OF THE STATE OF NEW YORK.

                  Section  10.06.   Successors.This  Trust  Agreement  shall  be
binding upon and shall inure to the benefit of any  successor to the  Depositor,
the Trust  Securities  Guarantor,  the Trust or the Relevant  Trustees or any of
them, including any successor by operation of law.

                  Section 10.07.  Headings.The  Article and Section headings are
for  convenience  only and shall  not  affect  the  construction  of this  Trust
Agreement.
                  Section 10.08.  Notice and Demand.Any notice,  demand or other
communication  which by any  provision  of this Trust  Agreement  is required or
permitted to be given or served to or upon any  Securityholder  or the Depositor
may be given or served in writing by deposit thereof,  postage  prepaid,  in the
United  States  mail,  hand  delivery or facsimile  transmission,  in each case,
addressed,  (i) in  the  case  of a  Preferred  Trust  Securityholder,  to  such
Preferred Trust  Securityholder  as such  Securityholder's  name and address may
appear on the Securities  Register,  and (ii) in the case of the Depositor,  the
Common  Securityholder  or  the  Trust  Securities  Guarantor,  to  Southwestern
Electric Power Company,  1 Riverside  Plaza,  Columbus,  Ohio 43215,  Attention:
Treasurer,  facsimile no.  614-2231687  (until  another  address is given to the
Property  Trustee).  Such  notice,  demand or other  communication  to or upon a
Securityholder  shall be deemed to have been sufficiently given or made, for all
purposes, upon hand delivery, mailing or facsimile transmission.

                  Any  notice,  demand  or  other  communication  which  by  any
provision of this Trust Agreement is required or permitted to be given or served
to or upon  the  Trust,  the  Property  Trustee,  the  Delaware  Trustee  or the
Administrative  Trustees  shall be given in  writing  addressed  (until  another
address is given to the other  parties  hereto) as follows:  (i) with respect to
the Property Trustee, to The Bank of New York, 101 Barclay Street, New York, New
York  10286,  Attention:  ________________________,  (ii)  with  respect  to the
Delaware Trustee, to The Bank of New York (Delaware),  White Clay Center,  Route
273,  Newark,  Delaware 19711 with a copy to the Property Trustee at the address
set forth in (i)  above,  Attention:  ________________________,  and (iii)  with
respect to the Trust or the  Administrative  Trustees,  at the address above for
notice to the Depositor,  marked Attention:  Administrative  Trustees for SWEPCo
Capital Trust III.  Such notice,  demand or other  communication  to or upon the
Trust, the Delaware Trustee or the Property Trustee shall be deemed to have been
sufficiently given or made only upon actual receipt of the writing by the Trust,
the Delaware Trustee or the Property Trustee.

                  Section 10.09.  Agreement Not to Petition.Each of the Trustees
and the Depositor agrees for the benefit of the  Securityholders  that, until at
least one year and one day after the  Trust has been  terminated  in  accordance
with Article IX, it shall not file, or join in the filing of, a petition against
the  Trust  under  any  bankruptcy,  reorganization,   arrangement,  insolvency,
liquidation  or other similar law  (including,  without  limitation,  the United
States Bankruptcy Code)  (collectively,  "Bankruptcy Laws") or otherwise join in
the  commencement of any proceeding  against the Trust under any Bankruptcy Law.
In the event the Depositor takes action in violation of this Section 10.09,  the
Property Trustee agrees, for the benefit of Securityholders,  that it shall file
an answer with the bankruptcy court or otherwise  properly contest the filing of
such petition by the  Depositor  against the Trust or the  commencement  of such
action and raise the  defense  that the  Depositor  has agreed in writing not to
take such action

                                      -37-
<PAGE>

and should be estopped and precluded therefrom and such other defenses,  if any,
as counsel for the Property  Trustee or the Trust may assert.  The provisions of
this Section 10.09 shall survive the termination of this Trust Agreement.

                  Section  10.10.  Conflict  with Trust  Indenture  Act.(a) This
Trust Agreement is subject to the provisions of the Trust Indenture Act that are
required or deemed to be part of this Trust  Agreement and shall,  to the extent
applicable, be governed by such provisions.(b) The Property Trustee shall be the
only Trustee which is a trustee for the purposes of the Trust Indenture Act.

                  (c) If any  provision  hereof  limits,  qualifies or conflicts
with another provision hereof which is required or deemed to be included in this
Trust  Agreement  by any of the  provisions  of the Trust  Indenture  Act,  such
required or deemed provision shall control.

                  (d) The  application of the Trust  Indenture Act to this Trust
Agreement  shall  not  affect  the  nature  of the  Trust  Securities  as equity
securities representing interests in the Trust.

THE RECEIPT AND ACCEPTANCE OF A TRUST SECURITY OR ANY INTEREST  THEREIN BY OR ON
BEHALF OF A  SECURITYHOLDER,  WITHOUT ANY SIGNATURE OR FURTHER  MANIFESTATION OF
ASSENT, SHALL CONSTITUTE THE UNCONDITIONAL  ACCEPTANCE BY THE SECURITYHOLDER AND
ALL OTHERS HAVING A BENEFICIAL  INTEREST IN SUCH TRUST SECURITY OF ALL THE TERMS
AND  PROVISIONS OF THIS TRUST  AGREEMENT  AND THE  AGREEMENT OF THE TRUST,  SUCH
SECURITYHOLDER AND SUCH OTHERS THAT THOSE TERMS AND PROVISIONS SHALL BE BINDING,
OPERATIVE  AND EFFECTIVE AS BETWEEN THE TRUST AND SUCH  SECURITYHOLDER  AND SUCH
OTHERS.

                  Section 10.11.  Counterparts.This  Trust Agreement may contain
more than one  counterpart of the signature page and this Trust Agreement may be
executed by the affixing of the signature of each of the Trustees to one of such
counterpart  signature pages.  All of such counterpart  signature pages shall be
read as though one,  and they shall have the same force and effect as though all
of the signers had signed a single signature page.

                                      -38-
<PAGE>

                  IN WITNESS  WHEREOF,  the parties have caused this Amended and
Restated Trust  Agreement to be duly executed,  all as of the day and year first
above written.

                                  SOUTHWESTERN ELECTRIC POWER COMPANY
                                     as Depositor and Trust Securities Guarantor

                                  By:  ____________________________________
                                       Title:

                                  THE BANK OF NEW YORK,
                                       as Property Trustee

                                  By:  ____________________________________,
                                       Title:

                                  THE BANK OF NEW YORK (DELAWARE),
                                       as Delaware Trustee

                                  By:  ____________________________________
                                       Title:

                                       ____________________________________
                                       as Administrative Trustee

                                       ____________________________________
                                       as Administrative Trustee

                                      -39-
<PAGE>

                                                                       EXHIBIT A

                              CERTIFICATE OF TRUST

                                       OF
                             SWEPCO CAPITAL TRUST I

         THIS  CERTIFICATE OF TRUST OF SWEPCo Capital Trust III (the "Trust") is
being  duly  executed  and  filed by The Bank of New  York,  a New York  banking
corporation,  The Bank of New York (Delaware),  a Delaware banking  corporation,
Jeffrey D. Cross and Geoffrey S. Chatas,  each an  individual,  as trustees,  to
form a  statutory  trust  under the  Delaware  Statutory  Trust Act (12 Del.  C.
Section 3801 et seq.) (the "Act").

1. NAME.  The name of the statutory  trust formed hereby is SWEPCo Capital Trust
III.

2. DELAWARE  TRUSTEE.  The name and business address of the trustee of the Trust
in the State of Delaware are The Bank of New York (Delaware), White Clay Center,
Route 273, Newark, Delaware 19711.

3. EFFECTIVE DATE. This Certificate of Trust shall be effective upon filing.

         IN WITNESS  WHEREOF,  the undersigned have executed this Certificate of
Trust in accordance with Section 3811(a)(1) of the Act.

                                   THE BANK OF NEW YORK,
                                   as Trustee

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

                                    THE BANK OF NEW YORK (DELAWARE),
                                    as Delaware Trustee

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

                                     ---------------------------------------,
                                     Jeffrey D. Cross, as Trustee

                                     ---------------------------------------,
                                     Geoffrey S. Chatas, as Trustee

<PAGE>

                                                                       EXHIBIT B

                 THIS CERTIFICATE IS NOT TRANSFERABLE EXCEPT AS

                         PROVIDED IN THE TRUST AGREEMENT

       Certificate Number                 Number of Common Trust Securities

               C -

                 Certificate Evidencing Common Trust Securities

                                       of

                            SWEPCo Capital Trust III

                             Common Trust Securities

              (liquidation amount $[25] per Common Trust Security)

                  SWEPCo  Capital Trust III, a statutory  business trust created
under the laws of the State of Delaware (the  "Trust"),  hereby  certifies  that
Southwestern  Electric Power Company (the  "Holder") is the registered  owner of
_____ common securities of the Trust representing undivided beneficial interests
in the assets of the Trust and  designated  the SWEPCo  Capital Trust III Common
Trust  Securities  (liquidation  amount  $[25] per Common Trust  Security)  (the
"Common  Trust  Securities").  Except as  permitted by Section 5.10 of the Trust
Agreement (as defined below),  the Common Trust  Securities are not transferable
and any  attempted  transfer  hereof shall be void.  The  designations,  rights,
privileges,  restrictions,  preferences  and other terms and  provisions  of the
Common Trust  Securities are set forth in, and this  certificate  and the Common
Trust  Securities  represented  hereby are issued and shall in all  respects  be
subject to the terms and provisions of, the Amended and Restated Trust Agreement
of the Trust dated as of  __________  __, ____,  as the same may be amended from
time to time (the "Trust Agreement"),  including the designation of the terms of
the Common Trust Securities as set forth therein.

                  Capitalized  terms used herein but not defined  shall have the
meaning given them in the Trust  Agreement.  The holder of this  certificate  is
entitled  to the  benefits  of  the  Trust  Securities  Guarantee  Agreement  of
Southwestern  Electric  Power  Company  and  ______________________________,  as
guarantee  trustee,  dated as of ___________,  _____, as the same may be amended
from time to time, (the "Guarantee") to the extent provided  therein.] The Trust
will furnish a copy of the Trust  Agreement  [and the  Guarantee]  to the Holder
without  charge  upon  written  request to the Trust at its  principal  place of
business or registered office.

                  Upon receipt of this  certificate,  the Holder is bound by the
Trust Agreement and is entitled to the benefits thereunder.

                  By acceptance,  the Holder agrees to treat,  for United States
federal income tax purposes, the Debentures as indebtedness and the Common Trust
Securities  as evidence of undivided  beneficial  interests in the assets of the
Trust.

<PAGE>

                  IN WITNESS WHEREOF, an Administrative Trustee of the Trust has
executed  this  certificate  for and on  behalf  of the  Trust  this  ___ day of
________, ____.

                                    SWEPCO CAPITAL TRUST I

                                    By:  ______________________________
                                         not in his individual capacity,
                                         but solely as Administrative Trustee

<PAGE>

                                                                       EXHIBIT C

                                    [Legend]

       Certificate Number               Number of Preferred Trust Securities

               P-                                     CUSIP NO.

                Certificate Evidencing Preferred Trust Securities

                                       Of

                            SWEPCo Capital Trust III

                              [Title of Securities]

             (liquidation amount $[25] per Preferred Trust Security)

                  SWEPCo  Capital Trust III, a statutory  business trust created
under the laws of the State of Delaware (the  "Trust"),  hereby  certifies  that
____________   (the  "Holder")  is  the  registered  owner  of  _____  preferred
securities of the Trust  representing  an undivided  beneficial  interest in the
assets  of the Trust and  designated  the  SWEPCo  Capital  Trust III  [Title of
Securities]  (liquidation  amount  $[25]  per  Preferred  Trust  Security)  (the
"Preferred Trust  Securities").  The Preferred Trust Securities are transferable
on the books  and  records  of the  Trust,  in  person  or by a duly  authorized
attorney,  upon surrender of this  certificate  duly endorsed and in proper form
for  transfer  as provided in Section  5.04 or 5.12 of the Trust  Agreement  (as
defined below). The designations, rights, privileges, restrictions,  preferences
and other terms and provisions of the Preferred  Trust  Securities are set forth
in, and this certificate and the Preferred Trust Securities  represented  hereby
are issued and shall in all respects be subject to the terms and  provisions of,
the Amended and Restated  Trust  Agreement of the Trust dated as of  __________,
____,  as the same may be  amended  from time to time (the  "Trust  Agreement"),
including the designation of the terms of the Preferred Trust  Securities as set
forth  therein.  Capitalized  terms used herein but not  defined  shall have the
meaning given them in the Trust  Agreement.  The holder of this  certificate  is
entitled  to the  benefits  of  the  Trust  Securities  Guarantee  Agreement  of
Southwestern  Electric  Power  Company  and  ______________________________,  as
guarantee  trustee,  dated as of ____________,  ____, as the same may be amended
from time to time, (the "Guarantee") to the extent provided  therein.  The Trust
will  furnish a copy of the Trust  Agreement  and the  Guarantee  to the  Holder
without  charge  upon  written  request to the Trust at its  principal  place of
business or registered office.

                  Upon receipt of this  certificate,  the Holder is bound by the
Trust Agreement and is entitled to the benefits thereunder.

                  By acceptance,  the Holder agrees to treat,  for United States
federal income tax purposes,  the Debentures as  indebtedness  and the Preferred
Trust Securities as evidence of undivided  beneficial interests in the assets of
the Trust.

                  IN WITNESS WHEREOF, one of the Administrative  Trustees of the
Trust has executed this certificate for and on behalf of the Trust.

Dated:
                                    SWEPCO CAPITAL TRUST I

                                    By:  ______________________________
                                         not in his individual capacity,
                                         but solely as Administrative Trustee

<PAGE>

Countersigned and Registered:
                                     -------------------------------,
                                     Transfer Agent and Registrar

                                     By:
                                          --------------------------------------
                                          (Authorized Signature)

<PAGE>

                                   ASSIGNMENT

                  FOR VALUE RECEIVED, the undersigned assigns and transfers this
Preferred Trust Security to:

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

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

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

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

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

(Insert assignee's social security or tax identification number)

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

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

(Insert address and zip code of assignee)

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

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

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

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

of the Preferred Trust Securities represented by this Certificate and
irrevocably appoints

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

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

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

--------------------------------------------------------------------------------
attorney to transfer such Preferred Trust Securities Certificate on the books of
the Trust. The attorney may substitute another to act for him or her.

Date:  ____________________________

Signature:  ________________________

(Sign exactly as your name appears on the other side of this Preferred Trust
Securities Certificate)

Signature:  ________________________

(Sign exactly as your name appears on the other side of this Preferred Trust
Securities Certificate)

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