Document:

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                                                                     EXHIBIT 4.8

         On April 21, 1999, SCF-IV, L.P., a limited partnership organized under
the laws of the State of Delaware ("SCF-IV"), and Input/Output, Inc., a Delaware
corporation (the "Company") entered into a Purchase Agreement (the "Purchase
Agreement") pursuant to which SCF-IV agreed to purchase, in a privately
negotiated transaction, from the Company 40,000 shares of Series B preferred
stock, par value $0.01 per share (the "Series B Preferred Stock" or the "Initial
Shares"), of the Company, and the Company granted to SCF-IV an option to
purchase up to 15,000 additional shares of Series C preferred stock, par value
$0.01 per share (the "Series C Preferred Stock" or the "Option Shares," and
together with the Series B Preferred Stock, the "Shares"), of the Company.
SCF-IV purchased the Initial Shares on May 7, 1999 (the "Initial Closing Date").
The consideration paid by SCF-IV for the Initial Shares was $40,000,000. The net
cash proceeds will be used to fund the Company's research and development
projects, to provide additional working capital and for general corporate
purposes.

         For a period of ninety days after the Initial Closing Date (the "Option
Period"), SCF-IV may, at its sole option, purchase up to 15,000 shares of the
Series C Preferred Stock (the "Exercise Notice") under the option granted under
the Purchase Agreement. The purchase price payable for the Option Shares will be
$1,000 per share (or an aggregate maximum of $15,000,000).

THE PURCHASE AGREEMENT

         Pursuant to the Purchase Agreement, the Company has agreed to use its
best efforts to take, or cause to be taken, such action as may be necessary or
advisable to ensure that immediately following the later of (i) the Initial
Closing Date and (ii) the expiration or termination of the applicable waiting
period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as
amended (the "HSR Act"), the Company's Board of Directors will be increased by
one (if necessary) and an individual designated by SCF-IV will be elected as a
director of the Company in accordance with the terms of the Shares as described
below.

         In connection with the Purchase Agreement, the Company has amended its
Rights Agreement with Harris Trust and Savings Bank as rights agent dated as of
January 17, 1997 (the "Rights Plan"), to provide that neither SCF-IV nor any of
its affiliates will be deemed to be an "Acquiring Person" within the meaning of
the Rights Plan by reason of the transactions contemplated by the Purchase
Agreement. The Company has agreed in the Purchase Agreement that it will not
further amend the Rights Plan, or adopt any similar agreement, that conflicts
with, or restricts SCF-IV to a greater extent than the provisions contained in
the Purchase Agreement. In addition, the Board of Directors of the Company has
approved SCF-IV and its affiliates becoming an "interested stockholder" within
the meaning of Section 203 of the Delaware General Corporation Law (the "DGCL")
and a "Related Person" within the meaning of Article THIRTEENTH of the Company's
Certificate of Incorporation by reason of the acquisition by SCF-IV or any of
its affiliates of (i) the Shares, (ii) any shares issued to SCF-IV upon
conversion of the Shares (the "Underlying Shares"), (iii) any shares of Common
Stock permitted to be acquired by SCF-IV or any of its affiliates in accordance
with the limitation set forth in the standstill provisions contained in the
Purchase Agreement (discussed below) or (iv) any other securities (including
shares of Common Stock issuable upon conversion, exercise or exchange thereof
pursuant to their terms) received by SCF-IV or its affiliates pursuant to the
Purchase Agreement.

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         Under the Purchase Agreement, SCF-IV has agreed that, without the prior
written consent of the Company, it will not sell or otherwise transfer any of
the Shares to any other person or entity other than a partner of SCF-IV, who, in
any event, shall agree to be bound by the transfer restrictions contained in the
Purchase Agreement. SCF-IV has also agreed that, without the prior written
consent of the Company, it will not, prior to the earlier of (i) the seventh
anniversary of the Initial Closing, or (ii) the occurrence of a Change of
Control (defined as (i) an agreement providing for a Business Combination
(defined below under "Series B Preferred Stock") is approved by the Board of
Directors of the Company or a Business Combination is consummated, (ii) a tender
offer for Common Stock is approved or recommended by the Board of Directors of
the Company or (iii) there is a redemption, repurchase or reacquisition by the
Company of rights issued pursuant to the Rights Plan or any waiver of the
application of the Rights Plan to any beneficial owner other than SCF-IV or its
affiliates except as approved by SCF-IV's representative to the Board of
Directors of the Company), sell or otherwise transfer the Underlying Shares in a
single transaction or series of related transactions involving a number of
shares in the aggregate constituting in excess of 1% of the Company's issued and
outstanding shares of Common Stock at the time of such sale or transfer (based
on the Company's most recent report filed with the Securities and Exchange
Commission ("SEC") under the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), prior to such sale or transfer disclosing such number of
outstanding shares) to any entity which SCF-IV knows competes to a material
extent with the Company or is engaged to a material extent in the energy
services or equipment business, without first offering such shares to the
Company on the same terms and in the manner set forth in the Purchase Agreement
(subject to certain exceptions relating to an underwritten public offering).

         The Company has agreed that, from and after the date of the Purchase
Agreement, it will not issue any Permitted Parity Securities (as defined below),
except for (i) the issuance of the Option Shares to SCF-IV or its affiliates
pursuant to the Purchase Agreement, or (ii) the issuance of a number of shares
of Permitted Parity Securities issued at a price of $1,000 cash per share in a
single series within eighteen months of the Initial Closing equal to 35,000 less
the number of Option Shares purchased under the Purchase Agreement (or, if the
Option Period shall not yet have expired, less the full 15,000 Option Shares);
provided that if such Permitted Parity Securities are issued after the first
anniversary of the Initial Closing, then SCF-IV will be entitled to prior
written notice of such proposed issuance and the terms thereof and shall have a
right of first refusal option to purchase any or all of such securities on the
same terms as offered to the proposed purchaser. "Permitted Parity Securities"
for this purpose means up to 35,000 shares of preferred stock of the Company
constituting no more than two series of preferred stock, each share of which (i)
has a liquidation preference of not more than $1,000 per share exclusive of
accrued and unpaid dividends, (ii) has a dividend rate of not more than one
percent per annum, (iii) has no more than one vote per share with respect to
matters on which it votes together with the Series B Preferred Stock and other
Permitted Parity Securities as a single class and (iv) is PARI PASSU with the
Series B Preferred Stock with respect to the payment of dividends and the
distributions upon Liquidation (as defined in the Certificate of Designation of
Series B Preferred Stock). The Series C Preferred Stock that may be issued
pursuant to the Purchase Agreement shall be considered Permitted Parity
Securities for purposes of the foregoing.

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         The Company agrees that if it issues any Permitted Parity Securities
(other than Option Shares) pursuant to the foregoing that have terms that SCF-IV
reasonably believes to be more favorable to the purchaser of such shares than
the terms of the Initial Shares, then SCF-IV shall have the right to exchange
all of the Shares purchased under the Purchase Agreement (or, if such issuance
occurs prior to the expiration of the Option Period and the Option Closing has
not occurred, all of the Shares that may be purchased under the Purchase
Agreement if SCF-IV agrees to pay the applicable purchase price therefor upon
such exchange) on a share for share basis.

         By executing the Purchase Agreement, SCF-IV has agreed that, for a
period commencing on the date of the Purchase Agreement and ending on the
earlier of the third anniversary of the Initial Closing Date or the occurrence
of a Change of Control (as defined), it will not:

                  (a) directly or indirectly, take any action to acquire, in the
         aggregate, beneficial ownership of more than 4% of the Company's
         outstanding Common Stock or voting stock (based on the Company's most
         recent Exchange Act report filed with the SEC prior to such acquisition
         disclosing such number of outstanding shares), excluding from such
         ownership the Initial Shares and Option Shares or the Underlying Shares
         or any other Common Stock or voting stock acquired directly from the
         Company;

                  (b) form or encourage the formation of a "group" within the
         meaning of Section 13(d)(3) of the Exchange Act, to acquire, change or
         influence control of the Company;

                  (c) solicit, or participate in any "solicitation" of "proxies"
         or become a "participant" in any "election contest" or consent
         solicitation (as such terms are defined or used under Regulation 14A
         under the Exchange Act) with respect to the Company in opposition to
         the recommendation of a majority of the Board of Directors of the
         Company;

                  (d) initiate, propose or otherwise solicit stockholders for
         the approval of, one or more stockholder proposals with respect to the
         Company or induce any person to initiate any stockholder proposal, in
         each case in opposition to the recommendation of a majority of the
         Board of Directors of the Company;

                  (e) deposit any voting stock in a voting trust or subject them
         to a voting agreement or other agreement or arrangement with respect to
         the voting of such voting stock, other than any such trust, agreement
         or other arrangement involving no persons other than SCF-IV, its
         partners or affiliates; or

                  (f) solicit, propose or negotiate with any other person
         (including the Company) with respect to any form of business
         combination or other extraordinary transaction with the Company or any
         of its subsidiaries, in each case which would result in a Change of
         Control, or solicit, make or propose or negotiate with any other person
         with respect to or announce an intent to make, any tender offer or
         exchange offer for any securities of the Company, in each case in
         opposition to the recommendation of a majority of the Board of
         Directors of the Company, or publicly disclose an intent, purpose, plan
         or proposal with respect to the Company, any of its subsidiaries, or

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         any securities or assets of the Company, that would violate the
         provisions of this paragraph (f);

provided, however, that nothing in the foregoing paragraphs (a)-(f) shall be
deemed to limit in any way (i) the right of SCF-IV to exercise its voting rights
in any manner it sees fit with respect to the Shares, the Underlying Shares or
any other shares of voting stock acquired by SCF-IV in accordance with the
Purchase Agreement, or (ii) the right of any director elected to the Board of
Directors as a representative of the holders of the Shares to take any action he
believes necessary to fulfill his fiduciary duties.

         The Company has agreed to indemnify SCF-IV and its affiliates and hold
SCF-IV and its affiliates harmless from and against any and all liabilities,
losses, damages, costs and expenses of any kind, which may be incurred by SCF-IV
or such affiliates as a result of any claims made against SCF-IV or such
affiliates by any person that relate to or arise out of (i) any breach by the
Company of any of its representations, warranties or covenants contained in the
Purchase Agreement or in the agreements related thereto, or (ii) any litigation,
investigation or proceeding instituted by any person with respect to the
Purchase Agreement or the Shares or the Underlying Shares (excluding, however,
any such litigation, investigation or proceeding which arises solely from the
acts or omissions of SCF-IV or its affiliates). Notwithstanding the foregoing,
the Company will not be responsible for or assume any of the investment risk
associated with any securities purchased under the Purchase Agreement.

THE SERIES B PREFERRED STOCK

         The holders of Series B Preferred Stock are entitled to receive
cumulative cash dividends of $10.00 per annum (1% of the liquidation preference)
for each share of Series B Preferred Stock. The Series B Preferred Stock is
entitled to a liquidation preference of $1,000.00, plus all accrued but unpaid
dividends.

         The Series B Preferred Stock is convertible at the holder's option
after the first to occur of any of the following (the "Initial Conversion
Date"): (i) the third anniversary of the original date of issuance of such
Shares (the "Issue Date"), (ii) the approval by the Board of Directors of the
Company of an agreement relating to a Business Combination or the consummation
of a Business Combination, (iii) a tender offer for Common Stock is approved or
recommended by the Board of Directors of the Company or (iv) the redemption,
repurchase or reacquisition by the Company of rights issued pursuant to the
Rights Plan or any waiver of the application of the Rights Plan to any
beneficial owner other than SCF-IV or its affiliates (except as approved by
SCF-IV's representative on the Board of Directors of the Company). After the
Initial Conversion Date and prior to the Mandatory Conversion Date (defined
below), the holders of Series B Preferred Stock will be entitled to convert any
and all shares of Series B Preferred Stock into a number of fully paid and
nonassessable shares of Common Stock per share equal to, at the option of the
holder, one of, or if not specified by the holder, at the greater of, the
following (such amount being referred to as the "Conversion Ratio"): (a)
$1,000.00 (plus any accrued and unpaid dividends through the record date for
determining shareholders entitled to vote) divided by the conversion price of
$8.00 (as adjusted from time to time in accordance with the anti-dilution
provisions in the Series B Preferred Stock's Certificate of Designation) or (b)
$1,000.00 increased at a rate of eight percent per annum from the Issue Date,
compounded quarterly, less the amount of cash dividends

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actually paid through the applicable conversion date (the "Adjusted Stated
Value"), divided by the average market price for the Common Stock during the ten
trading day period prior to the date of conversion (the "Conversion Ratio").

         On April 20, 1999, the closing sales price per share of the Common
Stock on the New York Stock Exchange was $6.875.

         A "Business Combination" for this purpose means (i) any consolidation
or merger of the Company with or into any person or (ii) any Change of Control
Stock Issuance (defined below), or (iii) the sale, assignment conveyance,
transfer, lease or other disposition by the Company of all or substantially all
of its assets followed by a liquidation of the Company. A "Change of Control
Stock Issuance" means any issuance, in a single transaction or series of related
transactions, by the Company of shares of Common Stock or Common Stock
equivalents in connection with the acquisition of assets (including cash) or
securities by the Company or a subsidiary of the Company (including by way of a
merger of a subsidiary of the Company with or into a person), except where (i)
the shareholders of the Company immediately prior to such issuance own (in
substantially the same proportion relative to each other as such shareholders
owned the Common Stock or voting stock of the Company, as the case may be,
immediately prior to such consummation) (x) more than 50% of the voting stock of
the Company immediately after such issuance, and (y) more than 50% of the
outstanding Common Stock immediately after such issuance, (ii) the members of
the Board of Directors of the Company immediately prior to entering into the
agreement relating to such issuance (or if no such agreement is entered into,
then immediately prior to the consummation of such issuance) constitute at least
a majority of the Board of Directors of the Company immediately after such
issuance, with no agreements or arrangements in place immediately after such
consummation that would result in the members of the Board of Directors of the
Company immediately prior to the entering into the agreement relating to such
issuance ceasing to constitute at least a majority of the Board of Directors of
the Company and (iii) no person or group of persons immediately after such
issuance is the beneficial owner of 40% or more of the total outstanding voting
stock of the Company or Common Stock.

         On the fifth anniversary of the Issue Date (the "Mandatory Conversion
Date"), each outstanding share of Series B Preferred Stock shall, without any
action on the part of the holder, be converted automatically into a number of
fully paid and nonassessable shares of Common Stock equal to the Conversion
Ratio, provided the Shelf Registration Statement (discussed below) contemplated
by the Registration Rights Agreement is then in effect.

         In the event of a conversion of Series B Preferred Stock pursuant to
which the Conversion Ratio is determined using clause (b) above, then,
provided that full cumulative dividends have been paid or declared and set apart
for payment upon all outstanding shares of Series B Preferred Stock for all past
dividend periods, the Company may redeem for cash up to 50% (or such greater
percentage as the holders shall agree) of the shares of Series B Preferred Stock
submitted for conversion at a redemption price per share equal to the Adjusted
Stated Value (a "Redemption Offer"), in lieu of effecting such conversion.

         If the Company issues Common Stock upon conversion of the Series B
Preferred Stock pursuant to which the Conversion Ratio is calculated pursuant to
clause (b) of the definition of Conversion Ratio as set forth above, the Company
shall not be obligated to issue, in the aggregate, a number of shares of Common
Stock in excess of the NYSE Limitation upon conversion of the Series B Preferred
Stock. The "NYSE Limitation" shall mean the maximum number of shares of Common
Stock that could be issued by the Company pursuant to the conversion of the

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Series B Preferred Stock and any substantially similar series of Permitted
Parity Securities issued to the holder (including any Series C Preferred Stock)
pursuant to the terms of the Purchase Agreement without triggering a requirement
to obtain the approval of the Company's shareholders of such issuance pursuant
to Section 312.03(c) of the New York Stock Exchange Listed Company Manual as in
effect on the Issue Date. To the extent that any shares of Series B Preferred
Stock are submitted for conversion such that the NYSE Limitation would be
exceeded, such excess shares shall, in lieu of being converted into Common
Stock, be redeemed in exchange for a cash payment equal to the Adjusted Stated
Value per share.

         Following the expiration or earlier termination of the applicable
waiting period under the HSR Act (the "HSR Expiration Date"), holders of the
Series B Preferred Stock will be entitled to vote upon all matters upon which
the holders of Common Stock and other Permitted Parity Securities are entitled
to vote. The holders of Series B Preferred Stock, when voting together with the
Common Stock as a single class, will be entitled to cast a number of votes equal
to $1,000.00 (plus any accrued and unpaid dividends through the record date for
determining the shareholders entitled to vote) divided by the conversion price
of $8.00 (as adjusted from time to time in accordance with the Series B
Preferred Stock's Certificate of Designation). After the HSR Expiration Date,
the holders of Series B Preferred Stock, voting together as a class with other
Permitted Parity Securities, shall be entitled to elect one member of the Board
of Directors of the Company. The consent of the holders of a majority of the
Series B Preferred Stock, voting together as a class with other Permitted Parity
Securities, will be necessary to (i) amend, alter or repeal the Series B
Preferred Stock Certificate of Designation to authorize, create or issue parity
securities or senior securities, (ii) issue any parity or senior securities or
(iii) consummate any Business Combination. Further, the consent of the holders
of at least a majority of the Series B Preferred Stock, voting separately as a
single class with one vote per share, will be necessary to amend, alter or
repeal any of the provisions of (i) the Series B Preferred Stock Certificate of
Designation or any certificate of designation relating to any parity securities,
or (ii) the Certificate of Incorporation of the Company, so as to adversely
affect any of the rights, preferences or privileges of the holders of Series B
Preferred Stock.

THE SERIES C PREFERRED STOCK

         The Series C Preferred Stock, if issued, will have substantially the
same terms as the Series B Preferred Stock, except for the determination of the
conversion price. The conversion price for the Series C Preferred Stock will be
equal to 125% of the average market price per share of the Common Stock for the
ten trading days ending on and including the trading day prior to the date on
which SCF-IV notifies the Company that it wishes to exercise its option to
purchase some or all of the Series C Preferred Stock; provided, however, that if
such average is less than $4.80, then the initial conversion price shall be
$6.00 and if such average is higher than $6.80, the initial conversion price
shall be $8.50, subject to certain anti-dilution adjustments.

THE REGISTRATION RIGHTS AGREEMENT

         The Company has entered into a Registration Rights Agreement with
SCF-IV pursuant to which the holder or holders of at least 25% of the then

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outstanding Registrable Securities (which subject to certain limitations means
the Underlying Shares and any other securities issued or issuable with respect
to the Underlying Shares) at any time on or after the earlier of (i) the Initial
Conversion Date or (ii) the date sixty days prior to the third anniversary of
the date of the initial issuance of the Series B Preferred Stock, may request a
registration of the Company of any or all of SCF-IV's Registrable Securities (a
"Demand Registration"); provided, however, that the number of Registrable
Securities to be included in such a Demand Registration must be at least
1,000,000 or such lesser number of Registrable Securities as have an aggregate
market price of at least $10,000,000 as of the date of such request. The holders
of Registrable Securities will be entitled to request an aggregate of two Demand
Registrations. The Registration Rights Agreement also entitles the holders of
Registrable Securities the right to have such securities registered whenever the
Company proposes to register any securities under the Securities Act of 1933, as
amended, (a "Piggyback Registration"). As contemplated by the Registration
Rights Agreement, the ability of the holders of Registrable Securities to
participate in Piggyback Registration will depend on the individual
circumstances and the nature of the offering at issue. The Registration Rights
Agreement obligates the Company to file a shelf registration statement (the
"Shelf Registration Statement") relating to all of the Registrable Securities
prior to the Mandatory Conversion Date and to cause such Shelf Registration
Statement to remain in effect for one year (subject to certain suspension
rights). The registration expenses with relation to Registrable Securities
included in a Demand Registration will be borne by the holders of Registrable
Securities; the registration expenses with relation to Registrable Securities
included in a Piggyback Registration or the Shelf Registration will be borne by
the Company.

BENEFICIAL OWNERSHIP BY SCF-IV

         According to its Schedule 13D filed with the SEC on April 30, 1999,
SCF-IV may be deemed to beneficially own 5,000,000 shares of Common Stock based
on its acquisition of 40,000 shares of Series B Preferred Stock. The 5,000,000
shares of Common Stock represent shares issuable to SCF-IV upon conversion of
the Initial Shares, based on the $8.00 fixed conversion price described above.
Such 5,000,000 shares of Common Stock would constitute approximately 9.0% of the
issued and outstanding Common Stock of the Company. This amount excludes (i) an
indeterminate number of additional shares of Common Stock that may be acquired
by SCF-IV upon conversion of the Initial Shares pursuant to market price-based
conversions as described above, or in respect of accrued and unpaid dividends
and (ii) shares of Common Stock that may be acquired upon the conversion of the
Option Shares, since the conversion price for such shares has not been
established.

         The sale of the Series B Preferred Stock and the offer to sell the
Series C Preferred Stock was made in reliance on the exemption from registration
provided by Section 4(2) of the Securities Act of 1933, as amended.

         The foregoing, to the extent it summarizes terms of agreements or
documents, is qualified in its entirety by reference to the full text of such
documents, copies of which have been filed herewith as exhibits and are
incorporated herein by reference.

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         ISSUANCE OF PREFERRED STOCK. On May 7, 1999, SCF-IV, L.P., a Delaware
limited partnership ("SCF-IV"), purchased, in a privately negotiated
transaction, 40,000 shares of Series B Preferred Stock, par value $0.01 per
share (the "Series B Preferred Stock"), issued by the Company. The consideration
paid by SCF-IV for this issuance was $40,000,000. The net cash proceeds of
approximately $39,452,000 will be used to fund the Company's research and
development projects, to provide additional working capital and for general
corporate purposes. The issuance of the Series B Preferred Stock and the
underlying shares of Common Stock was exempt from the registration requirements
of Section 5 of the Securities Act of 1933 in accordance with Section 4(2) of
that Act.

         On August 3, 1999, SCF-IV notified the Company of its intent to
exercise its option to purchase an additional 15,000 shares of Series C
Preferred Stock, par value $0.01 per share (the "Series C Preferred Stock"),
under the option granted to SCF-IV by the Company in connection with the
purchase of the Series B Preferred Stock. On August 17, 1999, the Company issued
and sold the 15,000 shares of Series C Preferred Stock, resulting in net
proceeds to the Company of approximately $15.0 million; the net cash proceeds
are anticipated to be used for the same purposes as the proceeds from the
issuance of the Series B Preferred Stock. The purchase price payable for the
Series C Preferred Stock was $1,000 per share. In addition, within 18 months of
the closing of the sale of the Series B Preferred Stock, the Company may issue
up to 20,000 additional shares of preferred stock ranking in parity to the
Series B and Series C Preferred Stock to other investors at a purchase price of
$1,000 per share. The Series C Preferred Stock has substantially the same terms
as the Series B Preferred Stock except that the denominated conversion price for
the Series C Preferred Stock will be $8.50 per share.

         TERMS OF SERIES B PREFERRED STOCK. The holders of Series B Preferred
Stock are entitled to receive cumulative cash dividends of $10.00 per share, per
annum (1% of the liquidation preference) for each share of Series B Preferred
Stock. Each share of Series B Preferred Stock is entitled to a liquidation
preference of $1,000.00 per share, plus all accrued and unpaid dividends.

         The Series B Preferred Stock is convertible at the holder's option
after the first to occur of any of the following (the "Initial Conversion
Date"): (i) the third anniversary of the original date of issuance of such
Shares (the "Issue Date"), (ii) the approval by the Board of Directors of the
Company of an agreement relating to a Business Combination (as defined) or the
consummation of a Business Combination, (iii) a tender offer for Common Stock is
approved or recommended by the Board of Directors of the Company or (iv) the
redemption, repurchase or reacquisition by the Company of rights issued pursuant
to the Company's Stockholder Rights Plan or any waiver of the application of the
Company's Stockholder Rights Plan to any beneficial owner other than SCF-IV or
its affiliates (except as approved by SCF-IV's representative on the Board of
Directors of the Company). After the Initial Conversion Date and prior to the
Mandatory Conversion Date (defined below), the holders of Series B Preferred
Stock will be entitled to convert their shares into a number of fully paid and
nonassessable shares of Common Stock per share equal to, at the option of the
holder, one of, or if not specified by the holder, at the

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greater of, the following (such amount being referred to as the "Conversion
Ratio"): (a) the quotient of $1,000.00 (plus any accrued and unpaid dividends
through the record date for determining stockholders entitled to vote) divided
by the denominated conversion price of $8.00 (as adjusted from time to time in
accordance with certain anti-dilution provisions) or (b) the quotient of
$1,000.00 increased at a rate of eight percent per annum from the Issue Date,
compounded quarterly, less the amount of cash dividends actually paid through
the applicable conversion date (the "Adjusted Stated Value"), divided by the
average market price for the Common Stock during the ten trading day period
prior to the date of conversion (the "Conversion Ratio").

         On the fifth anniversary of the Issue Date (the "Mandatory Conversion
Date"), each outstanding share of Series B Preferred Stock shall, without any
action on the part of the holder, be converted automatically into a number of
fully paid and nonassessable shares of Common Stock equal to the Conversion
Ratio, provided that a shelf registration statement to be filed with the
Securities and Exchange Commission covering those shares of Common Stock has
been declared effective.

         In the event of a conversion of Series B Preferred Stock pursuant to
which the Conversion Ratio is determined using clause (b) above, then, provided
that full cumulative dividends have been paid or declared and set apart for
payment upon all outstanding shares of Series B Preferred Stock for all past
dividend periods, the Company may redeem for cash up to 50% (or such greater
percentage as the holders shall agree) of the shares of Series B Preferred Stock
submitted for conversion at a redemption price per share equal to the Adjusted
Stated Value, in lieu of conversion.

         For financial accounting purposes, based on the terms of the Series B
Preferred Stock, dividends will be recognized as a charge to retained earnings
at the rate of 8% per annum, compounded quarterly. Such preferred dividends will
reduce net earnings available to the common stockholders accordingly.

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                                                                    EXHIBIT 4.1

                   CERTIFICATE OF DESIGNATIONS

                                OF

               STEP-UP CONVERTIBLE PREFERRED STOCK
                   (Par Value $0.10 Per Share)

                                OF

               FREEPORT-McMoRan COPPER & GOLD INC.

          The number, voting powers, designations, preferences,
rights, qualifications, limitations and restrictions of the
corporation's Step-Up Convertible Preferred Stock are as set
forth below:

          1.  Designation.  (a)  700,000 shares of Preferred
Stock of the corporation are hereby constituted as a series of
Preferred Stock designated as "Step-Up Convertible Preferred
Stock" (hereinafter called "this Series").  Each share of this
Series shall be identical in all respects with the other shares
of this Series except as to the dates from and after which
dividends thereon shall be cumulative.  The Board of Directors is
authorized to increase or decrease (but not below the number of
shares of this Series then outstanding) the number of shares of
this Series.

          (b)  Shares of this Series which have been converted
into Class A Common Stock of the corporation, redeemed for cash,
Class A Common Stock or a combination thereof, as hereinafter
provided, or purchased by the corporation shall be canceled, and
shall revert to authorized but unissued shares of Preferred Stock
undesignated as to series, and may be reissued as a part of this
Series or may be reclassified and reissued as part of a new or
existing series of Preferred Stock to be created by resolution or
resolutions of the Board of Directors, all subject to the
conditions or restrictions on issuance set forth in any
resolution or resolutions adopted by the Board of Directors
providing for the issue of such series of Preferred Stock.

          2.  Dividends.  (a)  The holders of shares of this
Series shall be entitled to receive, but only out of funds
legally available therefor, cash dividends as hereinafter
provided.  Such dividends shall be paid when, as and if declared
by the Board of Directors on the first day of February, May,
August and November in each year (each such date being referred
to herein as a "Dividend Payment Date") to holders of record on
the record date determined by the Board of Directors in advance
<PAGE>
of the payment of each particular dividend.  Such dividends shall
be cumulative from the date of original issuance of the shares of
this Series.

          (b)  So long as any shares of this Series shall be
outstanding, the corporation shall not, unless full cumulative
dividends for all past dividend periods shall have been paid or
declared and set apart for payment upon all outstanding shares of
this Series and the shares of any other class or series of
Preferred Stock (including the Gold-Denominated Preferred Stock,
the Gold-Denominated Preferred Stock, Series II, the Silver-
Denominated Preferred Stock and the 7% Convertible Exchangeable
Preferred Stock) and any other class or series of stock of the
corporation ranking, as to dividends, on a parity with shares of
this Series (the shares of any other class or series of Preferred
Stock and any other class or series of stock of the corporation
ranking, as to dividends, on a parity with shares of this Series
being herein referred to as "Parity Dividend Stock"), (i)
declare, pay or set apart any amounts for dividends on, or make
any other distribution in cash or other property in respect of,
the Class A Common Stock of the corporation, Class B Common Stock
of the corporation or any other stock of the corporation ranking
junior to this Series as to dividends or distribution of assets
upon liquidation, dissolution or winding up of the affairs of the
corporation (the Class A Common Stock, the Class B Common Stock
and any such other stock being herein referred to as "Junior
Stock"), other than a dividend payable solely in Junior Stock,
(ii) purchase, redeem or otherwise acquire for value any shares
of Junior Stock, directly or indirectly, other than as a result
of a reclassification, exchange or conversion of one Junior Stock
for or into another Junior Stock, or other than through the use
of proceeds of a substantially contemporaneous sale of other
Junior Stock, or (iii) make any payment on account of, or set
aside money for, a sinking or other like fund for the purchase,
redemption or other acquisition for value of any shares of Junior
Stock.  For purposes of this Section 2, if any depositary shares
have been issued with respect to any series of stock, actions
with respect to such depositary shares, including acquisition of
and payments on or with respect to such depositary shares, shall
be regarded as actions with respect to such series of stock.

          (c)  If the funds available for the payment of
dividends are insufficient to pay in full the dividends payable
on all outstanding shares of this Series and shares of Parity
Dividend Stock, the total available funds to be paid in partial
dividends on the shares of this Series and shares of Parity
Dividend Stock shall be divided among this Series and the Parity
Dividend Stock in proportion to the aggregate amounts of
dividends accrued and unpaid with respect to this Series and the
Parity Dividend Stock.  Accruals of dividends shall not bear
interest.

          3.  Dividend Rate.  The Dividend Rate on the shares of
this Series for the period from the date of original issue
thereof to and including August 1, 1996, shall be $25.00 per
annum per share and for each Dividend Period thereafter shall be
$35.00 per annum per share.  The term "Dividend Period", as used
herein, means, with respect to any Dividend Payment Date, the
period commencing on the day following the immediately preceding
Dividend Payment Date to and including such Dividend Payment
Date.
<PAGE>
          4.  Redemption.  (a)  The shares of this Series shall
not be redeemable prior to August 1, 1996.  On and after that
date, the corporation may, at its option, redeem the shares of
this Series, in whole or in part, at any time or from time to
time, as set forth herein, subject to the provisions described
below.

          (b)(i)  The shares of this Series may be redeemed for
Class A Common Stock, at the option of the corporation, at any
time on or after August 1, 1996 and prior to August 1, 1999 only
if, for 20 Trading Days within any period of 30 consecutive
Trading Days, including the last Trading Day of such period, the
Current Market Price of the Class A Common Stock on each of such
20 Trading Days exceeds 125% of the Conversion Price in effect on
such Trading Day.  In order to exercise this redemption option,
the corporation must issue a press release announcing the
redemption (the "Press Release") prior to the opening of business
on the third Trading Day after the condition in the preceding
sentence has been met but in no event prior to August 1, 1996.
The Press Release shall announce the redemption and set forth the
number of shares of this Series which the corporation intends to
redeem.  The corporation may redeem shares of this Series
pursuant to this Section subsection (b) only if the Class A
Common Stock is listed or admitted to trading on a national or
regional securities exchange in the United States or reported by
the National Association of Securities Dealers Automated
Quotation System ("NASDAQ").

          (ii)  Upon redemption of shares of this Series by the
corporation in accordance with Section 4(b)(i) hereof on the date
specified in the notice to holders required under Section
4(b)(iii) hereof (the "Redemption Date"), each share of this
Series so redeemed shall be redeemed for a number of shares of
Class A Common Stock equal to $500.00 divided by the Conversion
Price as of the opening of business on the Redemption Date.  The
Redemption Date shall be selected by the corporation, shall be
specified in the notice of redemption and shall be not less than
15 days or more than 60 days after the date on which the
corporation issues the Press Release.

          Upon any redemption of this Series for Common Stock
pursuant to this subsection (b), the corporation shall pay any
accrued and unpaid dividends for any Dividend Period ending on or
prior to the Redemption Date.  If a Redemption Date falls after a
dividend payment record date and prior to the corresponding
Dividend Payment Date, then each holder of shares of this Series
at the close of business on such dividend payment record date
shall be entitled to the dividend payable on such shares on the
corresponding Dividend Payment Date notwithstanding the
redemption of such shares before such Dividend Payment Date.  In
the case of any Redemption Date occurring prior to the record
date for the November 1, 1996 Dividend Payment Date, the holders
of the shares of this Series to be redeemed on such Redemption
Date shall be entitled to any accrued and unpaid dividends
through August 1, 1996 but not thereafter.  Except as provided
above, the corporation shall make no payment or allowance for
unpaid dividends, whether or not in arrears, on shares of this
Series called for redemption under this subsection (b) for
Class A Common Stock or on the shares of Class A Common Stock
issued upon such redemption.
<PAGE>
          (iii)  If the corporation elects to redeem shares of
this Series pursuant to Section 4(b)(i) hereof, notice of such
redemption shall be given not more than four Business Days after
the date on which the corporation issues the Press Release, to
each holder of record of the shares to be redeemed.  Such notice
shall be provided by first class mail, postage prepaid, at such
holder's address as the same appears on the stock records of the
corporation, and shall state, as appropriate:  (1) the Redemption
Date; (2) the number of shares of this Series (expressed in one-
twentieths of a share of this Series) to be redeemed and, if
fewer than all the shares held by such holder are to be redeemed,
the number of such shares (expressed in one-twentieths of a share
of this Series) to be redeemed from such holder; (3) the number
of shares of Class A Common Stock to be issued with respect to
each one-twentieth of a share of this Series; (4) the place or
places at which certificates for such shares are to be
surrendered for certificates representing shares of Class A
Common Stock; and (5) the date on which dividends on the shares
to be redeemed shall cease to accrue as provided herein.  Failure
to mail such notice, or any defect therein or in the mailing
thereof, to any particular holder shall not affect the validity
of the proceeding for the redemption of any shares so to be
redeemed from any other holder.

          At the close of business on the Redemption Date, each
holder of shares of this Series to be redeemed (unless the
corporation defaults in the delivery of the shares of Class A
Common Stock or cash payable on such Redemption Date) shall be
deemed to be the record holder of the number of shares of Class A
Common Stock into which such shares of this Series are to be
redeemed, regardless of whether such holder has surrendered the
certificates representing such holder's shares of this Series
that have been redeemed.  As promptly as practicable after the
surrender in accordance with said notice of the certificates for
any such shares so redeemed (properly endorsed or assigned for
transfer, if the corporation shall so require and the notice
shall so state), such shares shall be exchanged for certificates
of shares of Class A Common Stock and any cash (without interest
thereon) for which such shares have been redeemed.

          (c)(i)  At any time on or after August 1, 1999, the
shares of this Series may be redeemed, in whole or in part, at
the option of the corporation at a redemption price of $ $500.00
per share, plus an amount equal to all accrued and unpaid
dividends to and including the date fixed for redemption.  The
corporation may, except as provided below, pay the redemption
price in cash, Class A Common Stock or any combination thereof;
provided that the corporation may elect to pay the redemption
price in whole or in part in Class A Common Stock only if the
Class A Common Stock is listed or admitted to trading on a
national or regional securities exchange in the United States or
reported by NASDAQ; and provided, further that any accrued and
unpaid dividends must be paid in cash.

          (ii)  At least 15 days but no more than 60 days prior
to the date fixed for the redemption of the shares of this Series
in accordance with Section 4(c)(i) hereof (the "Call Date"), a
written notice will be mailed to each holder of record (and each
beneficial owner to the extent required by law) of shares of this
Series to be redeemed, notifying such holder of the corporation's
<PAGE>
election to redeem such shares, stating the Call Date, stating
the corporation's election with respect to whether the payment of
the redemption price is to be made in cash, Class A Common Stock
or a combination thereof, and calling upon such holder to
surrender to the corporation on the Call Date at the place
designated in such notice the certificate or certificates
representing the shares called for redemption.  On or after the
Call Date, each holder of shares of this Series to be redeemed
must present and surrender his certificate or certificates for
such shares to the corporation at the place designated in such
notice and thereupon the redemption price of such shares, in the
manner elected by the corporation, will be paid and/or delivered
to or on the order of the person whose name appears on such
certificate or certificates as the owner thereof and each
surrendered certificate will be canceled.  Except as provided in
Section 4(c)(iv) hereof, the corporation may not change the form
of consideration (or components or percentages of components
thereof) to be paid by the corporation in respect of such
redemption once the corporation has given, or caused to be given,
the applicable redemption notice.  At the close of business on
the Redemption Date, each holder of shares of this Series to be
redeemed (unless the corporation defaults in the delivery of the
shares of Class A Common Stock or cash payable on such Redemption
Date) shall be deemed to be the record holder of the number of
shares of Class A Common Stock into which such shares of this
Series are to be redeemed, regardless of whether such holder has
surrendered the certificates representing such holder's shares of
this Series that have been redeemed, dividends on the shares of
this Series so redeemed shall cease to accrue, such shares shall
be deemed to be no longer outstanding, and all rights of the
holders thereof as holders of shares of this Series shall cease
and terminate.

          (iii)  If the corporation elects to pay the redemption
price by the delivery of Class A Common Stock, in whole or in
part, the number of shares to be delivered in respect of the
specified percentage of the redemption price to be paid in
Class A Common Stock shall be equal to the dollar amount of such
specified percentage of the redemption price divided by the
Market Price of a share of Class A Common Stock.

          (iv)  If the Market Price of the Class A Common Stock
is less than 90 per cent of the Weighted Average Price of the
Class A Common Stock over the five Trading Days immediately prior
to the date of the notice of redemption provided for in Section
4(c)(ii) hereof, the corporation, at its option, may elect to pay
the entire redemption price on such Call Date in cash, rather
than in whole or in part with the shares of Class A Common Stock
specified in the notice of redemption; provided that, if the
corporation so elects to pay the entire redemption price in cash,
the payment thereof shall be deferred until as of the tenth
Business Day following publication of the notice of such election
(the "Adjourned Call Date"), and in such event the corporation
shall pay, in addition to the redemption price, all accrued and
unpaid dividends on the shares of this Series to be redeemed
through the Adjourned Call Date.  Upon determination of the
actual number of shares of Class A Common Stock issuable in
accordance with the foregoing provisions, the corporation will
publish such determination (and, if it is entitled to and so
elects, notification of any exercise of the election provided for
in the preceding sentence, of the Adjourned Call Date) promptly
<PAGE>
in The Wall Street Journal or another daily newspaper of national
circulation.

          (d)  No fractional shares or scrip representing
fractions of shares of Class A Common Stock shall be issued upon
redemption of this Series.  Instead of any fractional interest in
a share of Class A Common Stock that would otherwise be
deliverable upon the redemption of a share of this Series, the
corporation shall pay to the holder of such share an amount in
cash (computed to the nearest cent) based upon the Market Price
of Class A Common Stock.  If more than one share shall be
surrendered for redemption at one time by the same holder, the
number of full shares of Class A Common Stock issuable upon
redemption thereof shall be computed on the basis of the
aggregate number of shares of this Series so surrendered.

          (e)  The corporation covenants that any shares of
Class A Common Stock issued upon redemption of this Series shall
be duly and validly issued, fully paid and non-assessable, shall
be issued from its authorized but unissued shares and, except as
provided in Section 9 hereof, will be free from all taxes, liens
and charges with respect to the issue thereof.  The corporation
shall endeavor to list the shares of Class A Common Stock
required to be delivered upon redemption of this Series, prior to
such redemption, upon each national securities exchange, if any,
upon which the outstanding Class A Common Stock is listed at the
time of such delivery.  The corporation shall endeavor to take
any action necessary to ensure that any shares of Class A Common
Stock issued upon the redemption of this Series are freely
transferable and not subject to any resale restrictions under the
Securities Act of 1933, as amended (the "Act"), or any applicable
state securities or blue sky laws.

          (f)  If less than all the outstanding shares of this
Series are to be redeemed, the number of shares of this Series to
be redeemed and the method of effecting such redemption, whether
by lot or pro rata, shall be as determined by the Board of
Directors.

          (g)  At any time after a notice of redemption has been
given in the manner prescribed herein with respect to a
redemption in which the corporation has elected to pay the
redemption price in whole in cash, and prior to the date fixed
for redemption, the corporation may deposit in trust, with a bank
or trust company identified in the notice of redemption having
capital, surplus and undistributed profits aggregating at least
$50,000,000, an aggregate amount of funds sufficient for such
redemption (including dividends accrued on the shares of this
Series called for redemption to the date fixed for redemption)
for immediate payment in the appropriate amounts upon surrender
of certificates for such shares.  Any interest accrued on such
funds shall be paid to the corporation from time to time.  Such
deposit in trust shall be irrevocable, except that any funds
deposited by the corporation which shall not be required for the
redemption for which they were deposited because of the exercise
of rights of conversion subsequent to the date of deposit shall
be returned to the corporation forthwith, and any funds deposited
by the corporation which are unclaimed at the end of two years
from the date fixed for such redemption shall be paid over to the
corporation upon its request, and upon such repayment the holders
of the shares so called for redemption shall look only to the
<PAGE>
corporation for payment of the appropriate amount.

          (h)  From and after the date fixed for redemption
(unless the corporation shall default in making payment of the
amount payable upon such redemption), whether or not certificates
for shares so called for redemption have been surrendered by the
holders thereof as described below, dividends on the shares of
this Series so called for redemption shall cease to accrue, and
from and after the date of the deposit of trust funds for the
redemption of shares of this Series in accordance with the
provisions of Section 4(g) hereof, such shares shall be deemed to
be no longer outstanding, and all rights of the holders thereof
as stockholders of the corporation (except the right to receive
from the corporation the amount payable upon such redemption and,
up to the close of business on the date fixed for such
redemption, the right to convert such shares as set forth in
Section 7 hereof) shall cease and terminate.  Upon surrender in
accordance with the notice of redemption of the certificates for
any shares of this Series so redeemed (properly endorsed or
assigned for transfer if the corporation shall so require and the
notice shall so state), the holder thereof shall be entitled to
receive payment of the redemption price plus an amount equal to
all accrued and unpaid dividends as aforesaid.  If less than all
of the shares represented by any such surrendered certificate are
redeemed, the corporation shall execute and deliver to the holder
thereof, or to his written order, a certificate or certificates
representing the unredeemed shares.

          (i)  In no event shall the corporation redeem less than
all the outstanding shares of this Series and shares of any other
series of stock of the corporation ranking, as to dividends and
distribution of assets upon liquidation, dissolution or winding
up of the affairs of the corporation, on a parity with the shares
of this Series ("Parity Stock") pursuant to this Section 4 unless
full cumulative dividends for all past dividend periods shall
have been paid or declared and set apart for payment upon all
outstanding shares of this Series and the shares of such Parity
Stock.

          (j)  In connection with any redemption of shares of
this Series solely for cash, the corporation may enter into an
agreement with one or more investment bankers or other purchasers
for the purchase of the shares to be redeemed from the holders
thereof and the conversion of such purchased shares into shares
of Class A Common Stock as provided in Section 7 hereof.  Such
agreement shall provide that the amount to be paid by such
purchasers to the holders of the shares of this Series to be
redeemed shall not be less than the redemption price for such
shares together with all accrued and unpaid dividends thereon to
and including the date fixed for redemption and may provide
further that such amount be deposited in trust, on or before the
close of business on the date fixed for redemption, with a bank
or trust company designated by the corporation meeting the
requirements set forth in Section 4(g) hereof.  Notwithstanding
anything to the contrary contained in this Section 4, the
obligation of the corporation to pay the redemption price of the
shares of this Series to be redeemed, together with accrued and
unpaid dividends thereon to the date fixed for redemption, shall
be deemed to be satisfied and discharged to the extent such
amount is so paid by such purchasers.  If such an agreement is
entered into, any shares of this Series to be redeemed that have
<PAGE>
not been duly surrendered for conversion by the holders thereof
may, at the option of the corporation, be deemed, to the fullest
extent permitted by law, acquired by such purchasers from such
holders and (notwithstanding anything to the contrary contained
in this subsection (j) or in Section 7 hereof) surrendered by
such purchasers for conversion, all as of immediately prior to
the close of business on the date fixed for redemption, subject
to payment of the above amount as aforesaid.

          (k)  Definitions.  For purposes of this Section 4, the
following terms shall have the meanings indicated:

               (i)  "accrued and unpaid dividends" in respect of
          any share of this Series shall mean an amount computed
          at the Dividend Rate for this Series from the date on
          which dividends on such share became cumulative to and
          including the date to which such dividends are to be
          accrued, less the aggregate amount of all dividends
          theretofore paid thereon.  The amount accrued
          subsequent to the most recent Dividend Period shall be
          computed by dividing the quarterly dividend payment by
          the actual number of days in the uncompleted quarter,
          and thereafter multiplying this figure by the number of
          days in such quarter up to and including the date to
          which dividends are to be accrued.

               (ii)  "Business Day" shall mean any day other than
          a Saturday or Sunday or a day on which state or
          federally chartered banking institutions in New York,
          New York are not required to be open.

               (iii)  "Conversion Price" shall have the meaning
          set forth in, and shall be subject to adjustment from
          time to time as provided in, Section 7(d) hereof.

               (iv)  "Current Market Price" in respect of the
          Class A Common Stock means the last reported sales
          price, regular way, on such day, or, if no sale takes
          place on such day, the average of the reported closing
          bid and asked prices on such day, regular way, in
          either case as reported in the composite transactions
          for the New York Stock Exchange or, if such security is
          not listed or admitted for trading on the New York
          Stock Exchange, on the principal national or regional
          securities exchange in the United States on which the
          Class A Common Stock is listed or admitted to trading,
          or if the Class A Common Stock is not listed or
          admitted to trading on a national or regional
          securities exchange in the United States, on the
          National Market System of NASDAQ or, if the Class A
          Common Stock is not quoted on such National Market
          System, the average of the closing bid and asked prices
          on such day in the over-the-counter market as reported
          by NASDAQ, or if bid and asked prices for such security
          on such day shall not have been reported through NASDAQ
          or by the National Quotation Bureau Incorporated, the
          average of the bid and asked prices on such day as
          furnished by any New York Stock Exchange member firm
          regularly making a market in such security selected for
          such purpose by the Board of Directors of the
          corporation.
<PAGE>
               (v)  "Market Price" means the Weighted Average
          Price of a share of Class A Common Stock over the five
          Trading Day period ending on the third Business Day
          prior to the applicable Redemption Date or Call Date
          (or, if such third Business Day is not a Trading Day,
          on the last Trading Day prior to such Business Day),
          appropriately adjusted to take into account the
          occurrence, during the period commencing on the first
          of such Trading Days and ending on such Redemption Date
          or Call Date, of any event described in Section 7(d)
          hereof.

               (vi)  "Trading Day" shall mean any day on which
          the securities in question are traded on the New York
          Stock Exchange, or if such securities are not listed or
          admitted for trading on the New York Stock Exchange, on
          the principal national or regional securities exchange
          on which such securities are listed or admitted, or if
          not listed or admitted for trading on any national or
          regional securities exchange, on the National Market
          System of NASDAQ, or if such securities are not quoted
          on such National Market System, in the applicable
          securities market in which the securities are traded.

               (vii)  "Weighted Average Price" of a share of
          Class A Common Stock on any Trading Day or over any
          period of Trading Days means the weighted average per
          share sale price for all sales of shares of Class A
          Common Stock on such Trading Day or during such period,
          as the case may be (or, if the information necessary to
          calculate such weighted average per share sale price is
          not reported, the average of the high and low sale
          prices or, if no sales prices are reported, the average
          of the bid and ask prices or, if more than one in
          either case, the average of the average bid and average
          ask prices) as reported in the composite transactions
          for the New York Stock Exchange, or if the Class A
          Common Stock is not listed or admitted to trading on
          such Exchange, as reported in the composite
          transactions for the principal national or regional
          securities exchange in the United States on which the
          Class A Common Stock is listed or admitted to trading,
          or if the Class A Common Stock is not listed or
          admitted to trading on a United States national or
          regional securities exchange, as reported by NASDAQ or
          by the National Quotation Bureau Incorporated; provided
          that, in the absence of such quotations, the
          corporation shall be entitled to determine the Weighted
          Average Price on the basis of such quotations as it
          considers appropriate.

          5.  Voting Rights.  (a)  Except for the voting rights
described below and except as otherwise required by law, the
holders of shares of this Series shall not be entitled to vote on
any matter or to receive notice of, or to participate in, any
meeting of the stockholders of the corporation.  Each share of
Preferred Stock of this Series will be entitled to one vote on
matters which holders of such series are entitled to vote.

          (b)  The shares of this Series shall be entitled to
<PAGE>
vote with respect to the election of directors in accordance with
Sections (b)(4) and (b)(5) of Article FOURTH of the certificate
of incorporation.

          (c)  Whenever dividends payable on shares of this
Series shall be in default in an aggregate amount equal to or
exceeding six full quarterly dividends on all shares of this
Series at the time outstanding, the number of directors then
constituting the Board of Directors of the corporation shall be
increased by two, and holders of shares of this Series shall, in
addition to any other voting rights, have the right, voting
separately as a class together with holders of all other series
of stock of the Company ranking on a parity with shares of this
Series either as to dividends or the distribution of assets upon
liquidation, dissolution or winding up and upon which like voting
rights have been conferred and are exercisable (such other series
of stock being herein referred to as "Other Voting Stock"), to
elect such two additional directors.  In such case, the Board of
Directors will be increased by two directors, and the holders of
shares of this Series (either alone or with the holders of Other
Voting Stock) will have the exclusive right as members of such
class, as described above, to elect two directors at the next
annual meeting of stockholders.  Whenever such right of the
holders of shares of this Series shall have vested, such right
may be exercised initially either at a special meeting of such
holders as provided in Section 5(d) hereof or at any annual
meeting of stockholders held for the purpose of electing
directors, and thereafter at such annual meetings.  The right of
the holders of shares of this Series to vote together as a class
with the holders of shares of any Other Voting Stock shall
continue until such time as all dividends accrued on outstanding
shares of this Series to the Dividend Payment Date next preceding
the date of any such determination shall have been paid in full,
or declared and set apart in trust for payment, at which time the
right of the holders of shares of this Series so to vote shall
terminate, except as herein or by law expressly provided, subject
to revesting upon the occurrence of a subsequent default of the
character mentioned above.

          (d)  At any time when the right of the holders of
shares of this Series to elect directors as provided in Section
5(c) hereof shall have vested, and if such right shall not
already have been initially exercised, a proper officer of the
corporation, upon the written request of the holders of record of
at least 10% of the aggregate number of shares of this Series and
shares of any Other Voting Stock at the time outstanding,
addressed to the Secretary of the corporation, shall call a
special meeting of the holders of shares of this Series and of
such Other Voting Stock for the purpose of electing directors.
Such meeting shall be held at the earliest practicable date upon
the same form of notice as is required for annual meetings of
stockholders at the place for the holding of annual meetings of
stockholders of the corporation (or such other suitable place as
is designated by such officer).  If such meeting shall not be
called by a proper officer of the corporation within 20 days
after personal service of such written request upon the Secretary
of the corporation, or within 20 days after mailing the same
within the United States of America, addressed to the Secretary
of the corporation at its principal office (such mailing to be
evidenced by the registry receipt issued by the postal
authorities), then the holders of record of at least 10% of the
<PAGE>
aggregate number of shares of this Series and shares of any Other
Voting Stock at the time outstanding may designate in writing one
of their number to call such a meeting at the expense of the
corporation, and such meeting may be called by such person so
designated upon the same form of notice as is required for annual
meetings of stockholders and shall be held at the place for the
holding of annual meetings of stockholders of the corporation (or
such other suitable place as is designated by such person).  Any
holder of shares of this Series so designated shall have access
to the registry books of the corporation for the purpose of
causing a meeting of stockholders to be called pursuant to this
subsection (d).  Notwithstanding anything to the contrary
contained in this subsection (d), no such special meeting shall
be called during the period within 90 days immediately preceding
the date fixed for the next annual meeting of stockholders of the
corporation.

          (e)  At any meeting held for the purpose of electing
directors at which holders of shares of this Series shall have
the right, voting together as a class with holders of shares of
any Other Voting Stock to elect directors as provided in Section
5(c) hereof, the presence, in person or by proxy, of the holders
of 33 1/3% of the aggregate number of shares of this Series and
shares of such Other Voting Stock at the time outstanding shall
be required and be sufficient to constitute a quorum of such
class for the election of directors pursuant to such Section
5(c).  At any such meeting or adjournment thereof, (i) the
absence of a quorum of the shares of this Series and shares of
such Other Voting Stock shall not prevent the election of the
directors to be elected otherwise than pursuant to Section 5(c)
hereof and (ii) in the absence of a quorum, either of the shares
of this Series and shares of such Other Voting Stock or of any
other shares of stock of the corporation, or both, a majority of
the holders, present in person or by proxy, of the class or
classes of stock which lack a quorum shall have the power to
adjourn the meeting for the election of directors whom they are
entitled to elect, from time to time without notice other than
announcement at the meeting, until a quorum shall be present.

          (f)  During any period when the holders of shares of
this Series shall have the right to vote together as a class with
the holders of shares of any Other Voting Stock for directors as
provided in Section 5(c) hereof, (i) the directors so elected by
such holders shall continue in office until their successors
shall have been elected by such holders or until termination of
the rights of such holders to vote as a class for directors and
(ii) any vacancies in the Board of Directors shall be filled only
by a majority (even if that be only a single director) of the
remaining directors theretofore elected by the holders of the
class or classes of stock which elected the director whose office
shall have become vacant.  Immediately upon termination of the
right of holders of this Series and any Other Voting Stock to
vote as a class for directors, (i) the term of office of the
directors so elected shall terminate and (ii) the number of
directors shall be such number as may be provided for in the
by-laws of the corporation irrespective of any increase pursuant
to the provisions of Section 5(c) hereof.

          (g)  In addition to any other vote required by law, the
corporation shall not (i) amend, alter or repeal, whether by
merger, consolidation or otherwise, the provisions of the
<PAGE>
certificate of incorporation (including the terms of this Series)
so as to materially and adversely affect any right, preference,
privilege or voting power of this Series or (ii) create,
authorize or issue any series or class of stock ranking prior,
either as to payment of dividends or distributions of assets upon
liquidation, dissolution or winding up, to this Series, without
the affirmative vote or consent of the holders of at least two-
thirds of the aggregate number of shares of this Series at the
time outstanding, voting as a separate class; provided, that any
increase in the total number of authorized shares of Common Stock
(or any series thereof) or Preferred Stock (or any series
thereof), or the creation, authorization or issuance of any
series of stock ranking, as to dividends or distribution of
assets upon liquidation, dissolution or winding up of the affairs
of the corporation, on a parity with the shares of this Series
will not be deemed to materially and adversely affect such
rights, preferences, privileges or voting powers; provided,
further, that no class vote of the holders of shares of this
Series shall be required if, at or prior to the time when the
actions described in clause (i) or (ii) of this subsection (g)
shall become effective, provision is made in accordance with
Section 4 hereof for the redemption of all shares of this Series
at the time outstanding.

          6.  Preference upon Liquidation.  (a) In the event of
any voluntary or involuntary liquidation, dissolution or winding
up of the affairs of the corporation, after payment or provision
for payment of the debts and other liabilities of the corporation
and of dividends and liquidation preferences in respect of any
other stock of the corporation ranking senior to the shares of
this Series as to such payments, the holders of shares of this
Series shall be entitled to receive, out of the remaining net
assets of the corporation, the amount of $500.00 in cash for each
share of this Series, plus an amount equal to all dividends
(whether or not earned or declared) accrued and unpaid on each
such share up to the date fixed for distribution, before any
distribution shall be made to or set apart for the holders of any
Junior Stock.  If, after payment or provision for payment of the
debts and other liabilities of the corporation and of dividends
and liquidation preferences in respect of any other stock of the
corporation ranking senior to the shares of this Series as to
such payments, the remaining net assets of the corporation are
not sufficient to pay to the holders of shares of this Series the
full amount of their preference set forth above, then the
remaining net assets of the corporation shall be divided among
and paid to the holders of shares of this Series, holders of
shares of any other class or series of Preferred Stock and
holders of shares of any other stock of the corporation on a
parity with this Series as to dividends and distribution of
assets upon liquidation, dissolution or winding up of the affairs
of the corporation ratably per share in proportion to the full
per share amounts to which they respectively are entitled.  For
purposes of this subsection (a) and Section 6(b) hereof, a
consolidation or merger of the corporation with one or more other
corporations or the sale of all or substantially all of the
assets of the corporation shall not be deemed to be a voluntary
or involuntary liquidation, dissolution or winding up of the
affairs of the corporation.

          (b)  Subject to the rights of the holders of shares of
any series or class of stock ranking prior to this Series and of
<PAGE>
the holders of any stock of the corporation ranking on a parity
as to dividends and distribution of assets upon liquidation,
dissolution or winding up of the affairs of the corporation,
after payment shall have been made in full to the holders of this
Series as provided in Section 6(a) hereof and this subsection
(b), the holders of any Junior Stock shall, subject to the
respective terms and provisions (if any) applying thereto, be
entitled to receive any and all assets remaining to be paid or
distributed, and shares of this Series shall not be entitled to
share therein.

          7.  Conversion Privilege.  (a)  Subject to and upon
compliance with the provisions of this Section 7, at the option
of the holder thereof, each share of this Series may, at any time
(unless shares of this Series shall be called for redemption,
then, with respect to shares of this Series so called, until and
including, but, if the corporation shall not default in making
payment of the amount payable on such redemption, not after, the
close of business on the date fixed for redemption), be converted
into a number of fully paid and nonassessable shares of Class A
Common Stock equal to the quotient obtained by dividing $500.00
by the Conversion Price (as hereinafter defined) in effect at the
Date of Conversion (as hereinafter defined).

          (b)  In order to exercise the conversion privilege, any
holder of shares of this Series to be converted shall surrender
such shares to the corporation at any time during usual business
hours at the place or places (including a place in the Borough of
Manhattan, The City of New York) maintained for such purpose,
accompanied by a fully executed written notice, in substantially
the form set forth on the reverse of the certificate representing
shares of this Series, that the holder elects to convert such
shares.  Such notice shall also state the name or names (with
address) in which the certificate or certificates for shares of
Class A Common Stock shall be issued.  Shares of this Series
surrendered for conversion shall (if so required by the
corporation) be properly endorsed or assigned for transfer by the
holder or his attorney duly authorized in writing.  The holders
of shares of this Series at the close of business on any record
date for the payment of dividends on such shares will be entitled
to receive the dividend payable on such shares on the
corresponding Dividend Payment Date notwithstanding the
conversion thereof or the corporation's default in the payment of
the dividend due on such Dividend Payment Date.  Shares of this
Series surrendered for conversion during the period from the
close of business on any record date for the payment of dividends
on such shares to the opening of business on the corresponding
Dividend Payment Date (except shares called for redemption on a
Redemption Date or Call Date during the period from such record
date to and including the Dividend Payment Date) must be
accompanied by payment of an amount equal to the dividend payable
on such shares on such Dividend Payment Date.  A holder of shares
of this Series on a record date for the payment of dividends on
such shares who converts such shares on a Dividend Payment Date
will receive the dividend payable on such shares by the
corporation on such date, and the converting holder need not
include a payment in the amount of any such dividend upon
surrender of such shares for conversion.  As promptly as
practicable after the receipt of such notice and the surrender of
such shares of this Series as aforesaid, the corporation shall,
subject to the provisions of Section 9 hereof, issue and deliver
<PAGE>
at such place or places referred to in this subsection (b) to
such holder, or on his written order, a certificate or
certificates for the number of full shares of Class A Common
Stock issuable on such conversion of shares of this Series in
accordance with the provisions of this Section 7, and cash, as
provided in Section 7(c) hereof, in respect of any fraction of a
share of Class A Common Stock otherwise issuable upon such
conversion.  Such conversion shall be deemed to have been
effected immediately prior to the close of business on the date
(herein called the "Date of Conversion") on which such notice
shall have been received by the corporation and such shares of
this Series shall have been surrendered as aforesaid, and the
person or persons in whose name or names any certificate or
certificates for shares of Class A Common Stock shall be issuable
upon such conversion shall be deemed to have become on the Date
of Conversion the holder or holders of record of the shares of
Class A Common Stock represented thereby; provided, that any such
surrender on any date when the registry books of the corporation
shall be closed shall constitute the person or persons in whose
name or names the certificate or certificates for such shares are
to be issued as the record holder or holders thereof for all
purposes at the opening of business on the next succeeding day on
which such registry books are open, but such conversion shall
nevertheless be at the Conversion Price in effect at the close of
business on the date when such shares of this Series shall have
been so surrendered with the conversion notice.  In the case of
conversion of a portion, but less than all, of the shares of this
Series represented by a certificate surrendered for conversion,
the corporation shall execute, and deliver to the holder thereof,
or on his written order, a certificate or certificates
representing the shares of this Series which the holder has not
elected to convert into shares of Class A Common Stock.  No
payment or adjustment shall be made for dividends accrued on the
shares of this Series converted as provided in this Section 7 or
for dividends or distributions accrued on any Class A Common
Stock.

          (c)  No fractions of shares or scrip representing
fractions of shares shall be issued upon conversion of shares of
this Series.  If more than one share of this Series shall be
surrendered for conversion at one time by the same holder, the
number of full shares of Class A Common Stock which shall be
issuable upon conversion of such shares shall be computed on the
basis of the aggregate number of shares of this Series
surrendered for conversion.  If any fraction of a share of Class
A Common Stock would, except for the provisions of this
subsection (c), be issuable on the conversion of any shares of
this Series, the corporation shall make payment in lieu thereof
in an amount of United States dollars equal to the value of such
fraction computed on the basis of the closing price of the Class
A Common Stock as reported on the Composite Tape for New York
Stock Exchange - Listed Stocks (or if the Class A Common Stock is
not listed or admitted to trading on such exchange on the Date of
Conversion, then on the principal national or regional securities
exchange on which the Class A Common Stock is then listed or
admitted to trading, or, if not listed or admitted to trading on
any national or regional securities exchange, then as reported by
the National Association of Securities Dealers, Inc. through
NASDAQ or a similar organization if NASDAQ is no longer reporting
information) on the last Trading Day (as hereinafter defined)
prior to the Date of Conversion or if no such sale takes place on
<PAGE>
such day, the last sale price for such day shall be the average
of the closing bid and asked prices regular way on the New York
Stock Exchange (or if the Class A Common Stock is not listed or
admitted to trading on such exchange, on the principal national
securities exchange on which the Class A Common Stock is then
listed or admitted to trading, or, if not listed or admitted to
trading on any national securities exchange, the average of the
highest bid and lowest asked prices as reported by the National
Association of Securities Dealers, Inc. through NASDAQ or a
similar organization if NASDAQ is no longer reporting
information) (any such last sale price being herein referred to
as the "Last Sale Price").  If on such Trading Day the Class A
Common Stock is not quoted by any such organization, the fair
value of such Class A Common Stock on such day, as determined by
the Board of Directors, shall be used.  For the purpose of this
subsection (c), the term "Trading Day" shall mean each Monday,
Tuesday, Wednesday, Thursday and Friday, other than any day on
which securities are not traded on such exchange or in such
market.

          (d)  The Conversion Price per share of Class A Common
Stock issuable upon conversion of shares of this Series (herein
called the "Conversion Price") initially shall be $29.94 as of
the Initial Filing Date (as defined in the Certificate of
Incorporation).  The Conversion Price shall be subject to
adjustment from time to time as follows:

               (i)  In case the corporation shall (1) pay a
          dividend or make a distribution in shares of Class A
          Common Stock, (2) subdivide its outstanding shares of
          Class A Common Stock into a greater number of shares or
          (3) combine its outstanding shares of Class A Common
          Stock into a smaller number of shares, the Conversion
          Price in effect immediately prior to such action shall
          be adjusted so that the holder of any shares of this
          Series thereafter surrendered for conversion shall be
          entitled to receive the number of shares of Class A
          Common Stock which he would have owned or have been
          entitled to receive immediately following such action
          had such shares been converted immediately prior
          thereto.  An adjustment made pursuant to this
          subsection (d)(i) shall become effective immediately,
          except as provided in subsection (d)(v) below, after
          the record date in the case of a dividend or
          distribution and shall become effective immediately
          after the effective date in the case of a subdivision
          or combination.

               (ii)  In case the corporation shall issue rights,
          warrants or options to all holders of Class A Common
          Stock entitling them (for a period not exceeding 45
          days from the date of such issuance) to subscribe for
          or purchase shares of Class A Common Stock at a price
          per share less than the Recent Market Price per share
          (as determined pursuant to subsection (d)(iv) below) of
          the Class A Common Stock on the record date mentioned
          below, the Conversion Price shall be adjusted to a
          price, computed to the nearest cent, so that the same
          shall equal the price determined by multiplying:

                    (1)  the Conversion Price in effect
<PAGE>
               immediately prior to the date of issuance of such
               rights or warrants by a fraction, of which

                    (2)  the numerator shall be (A) the number of
               shares of Class A Common Stock outstanding on the
               date of issuance of such rights, warrants or
               options, immediately prior to such issuance, plus
               (B) the number of shares which the aggregate
               offering price of the total number of shares so
               offered for subscription or purchase would
               purchase at such Recent Market Price, (determined
               by multiplying such total number of shares by the
               exercise price of such rights, warrants or options
               and dividing the product so obtained by such
               Recent Market Price), and of which

                    (3)  the denominator shall be (A) the number
               of shares of Class A Common Stock outstanding on
               the date of issuance of such rights, warrants or
               options, immediately prior to such issuance, plus
               (B) the number of additional shares of Class A
               Common Stock which are so offered for subscription
               or purchase.

          Such adjustment shall become effective immediately,
          except as provided in subsection (d)(v) below, after
          the record date for the determination of holders
          entitled to receive such rights, warrants or options.

               (iii)  In case the corporation shall distribute to
          all or substantially all holders of Class A Common
          Stock evidences of indebtedness, equity securities
          (including equity interests in the corporation's
          Subsidiaries (as hereinafter defined)) other than Class
          A Common Stock, or other assets (other than cash
          dividends paid out of earned surplus of the corporation
          or, if there shall be no earned surplus, out of net
          profits for the fiscal year in which the dividend is
          made and/or the preceding fiscal year), or shall
          distribute to all or substantially all holders of Class
          A Common Stock rights or warrants to subscribe for
          securities (other than those referred to in subsection
          (d)(ii) above), then in each such case the Conversion
          Price shall be adjusted so that the same shall equal
          the price determined by multiplying:

                    (1)  the Conversion Price in effect
               immediately prior to the date of such distribution
               by a fraction, of which

                    (2)  the numerator shall be the Recent Market
               Price per share (as determined pursuant to
               subsection (d)(iv) below) of the Class A Common
               Stock on the record date mentioned below less the
               then fair market value (as determined by the Board
               of Directors, whose determination shall be
               conclusive evidence of such fair market value, and
               described in a resolution of the Board of
               Directors filed with the transfer agent for the
               shares of this Series) of the portion of the
               assets, evidences of indebtedness and equity
<PAGE>
               securities so distributed or of such subscription
               rights or warrants applicable to one share of
               Class A Common Stock, and of which

                    (3)  the denominator shall be such Recent
               Market Price per share of the Class A Common
               Stock.

          Such adjustment shall become effective immediately,
          except as provided in subsection (d)(v) below, after
          the record date for the determination of stockholders
          entitled to receive such distribution.  As used herein,
          the term "Subsidiary" means (i) any corporation or
          other entity of which securities or other ownership
          interests having ordinary voting power to elect a
          majority of the Board of Directors or other persons
          performing similar functions are at the time directly
          or indirectly owned by the corporation or (ii) any
          partnership of which more than 50% of the partnership
          interests are owned by the corporation or any
          Subsidiary.

               (iv)  For purposes of any computation under
          subsections (d)(ii) and (d)(iii) above, the Recent
          Market Price per share of Class A Common Stock on any
          date shall be deemed to be the average of the Last Sale
          Prices of a share of Class A Common Stock for the five
          consecutive Trading Days selected by the corporation
          commencing not more than 20 Trading Days before and
          ending not later than the earliest of the date in
          question and the date before the "ex" date with respect
          to the issuance or distribution requiring such
          computation.  If on any such Trading Day the Class A
          Common Stock is not quoted by any organization referred
          to in the definition of Last Sale Price in Section 7(c)
          hereof, the fair value of the Class A Common Stock on
          such day, as determined by the Board of Directors,
          shall be used.  For purposes of this paragraph, the
          term "'ex' date", when used with respect to any
          issuance or distribution, means the first date on which
          the Class A Common Stock trades regular way on the
          principal national securities exchange on which the
          Class A Common Stock is listed or admitted to trading
          (or, if not so listed or admitted, on NASDAQ or a
          similar organization if NASDAQ is no longer reporting
          trading information) without the right to receive such
          issuance or distribution.

               (v)  In any case in which this subsection (d)
          shall require that an adjustment be made immediately
          following a record date, the corporation may elect to
          defer the effectiveness of such adjustment (but in no
          event until a date later than the effective time of the
          event giving rise to such adjustment), in which case
          the corporation shall, with respect to any shares of
          this Series converted after such record date and before
          such adjustment shall have become effective (1) defer
          paying any cash payment pursuant to Section 7(c) hereof
          or issuing to the holder of shares of this Series the
          number of shares of Class A Common Stock issuable upon
          conversion in excess of the number of shares of Class A
<PAGE>
          Common Stock issuable thereupon only on the basis of
          the Conversion Price prior to adjustment and (2) not
          later than five business days after such adjustment
          shall have become effective, pay to such holder the
          appropriate cash payment pursuant to Section 7(c)
          hereof and issue to such holder the additional shares
          of Class A Common Stock issuable on such conversion.

               (vi)  No adjustment in the Conversion Price shall
          be required unless such adjustment would require an
          increase or decrease of at least 1% in the Conversion
          Price; provided, that any adjustments which by reason
          of this subsection (d)(vi) are not required to be made
          shall be carried forward and taken into account in any
          subsequent adjustment.  All calculations under this
          Section 7 shall be made to the nearest cent or to the
          nearest one-hundredth of a share, as the case may be.

               (vii)  Whenever the Conversion Price is adjusted
          as herein provided, the corporation shall promptly (1)
          file with the transfer agent for the shares of this
          Series a certificate of an officer of the corporation
          (an "Officer's Certificate") setting forth the
          Conversion Price after such adjustment and setting
          forth in reasonable detail the facts requiring such
          adjustment and the calculations on which the adjustment
          is based, which certificate shall be conclusive
          evidence of the correctness of such adjustment and (2)
          mail or cause to be mailed a notice of such adjustment
          to each holder of shares of this Series at his address
          as the same appears on the registry books of the
          corporation.

Notwithstanding anything in this Section 7 to the contrary, the
corporation shall be entitled to make such reductions in the
Conversion Price, in addition to those required by this Section
7, as it in its discretion shall determine to be advisable in
order that any stock dividend, subdivision or combination of
shares, distribution of rights or warrants to purchase stock or
securities, distribution of securities convertible into or
exchangeable for stock, or distribution of assets (other than
cash dividends) hereafter made by the corporation to its
stockholders shall not be taxable.

          (e)  In case of any reclassification or change of
outstanding shares of Class A Common Stock (other than a change
in par value, or from par value to no par value, or from no par
value to par value, or as a result of a subdivision or
combination), or in case of any consolidation of the corporation
with, or merger of the corporation into, any other Person, or any
merger of another Person into the corporation (other than a
merger which does not result in any reclassification, change,
conversion, exchange or cancellation of outstanding shares of
Class A Common Stock) or any sale or transfer of all or
substantially all of the assets of the corporation, the
corporation, or the Person formed by such consolidation or
resulting from such merger or which acquires such assets, as the
case may be, shall make effective provision in the articles or
certificate of incorporation, providing that the holder of each
share of this Series then outstanding shall have the right
thereafter to convert such share only into the kind and amount of
<PAGE>
securities, cash and other property receivable upon such
reclassification, change, consolidation, merger, sale or
transfer, by a holder of the number of shares of Class A Common
Stock into which such shares of this Series might have been
converted immediately prior to such reclassification, change,
consolidation, merger, sale or transfer, assuming such holder of
Class A Common Stock of the corporation (i) is not a Person with
which the corporation consolidated or into which the corporation
merged or which merged into the corporation or to which such sale
or transfer was made, as the case may be ("constituent Person"),
or an Affiliate (as hereinafter defined) of a constituent Person
and (ii) failed to exercise his rights of election, if any, as to
the kind or amount of securities, cash and other property
receivable upon such reclassification, change, consolidation,
merger, sale or transfer (provided that if the kind or amount of
securities, cash and other property receivable upon such
reclassification, change, consolidation, merger, sale or transfer
is not the same for each share of Class A Common Stock of the
corporation held immediately prior to such reclassification,
change, consolidation, merger, sale or transfer by others than a
constituent Person or an Affiliate thereof and in respect of
which such rights of election shall not have been exercised
("non-electing share"), then for the purpose of this subsection
(e) the kind and amount of securities, cash and other property
receivable upon such reclassification, change, consolidation,
merger, sale or transfer by each non-electing share shall be
deemed to be the kind and amount so receivable per share by a
plurality of the non-electing shares).  Such articles or
certificate of incorporation shall provide for adjustments which,
for events subsequent to the effective date of such articles or
certificate of incorporation, shall be as nearly equivalent as
may be practicable to the adjustments provided for herein.  The
above provisions of this subsection (e) shall similarly apply to
successive reclassifications, changes, consolidations, mergers,
sales or transfers.

          For the purpose of this subsection (e), the term
"Person" means any individual, corporation, partnership, joint
venture, trust, unincorporated organization or government or any
agency or political subdivision thereof, and the term "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 the definition of "Affiliate", the term "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.

          (f)  The corporation shall reserve, free from
preemptive rights, out of its authorized but unissued shares,
sufficient shares of Class A Common Stock to provide for the
conversion of the shares of this Series from time to time
outstanding as such shares of this Series are presented for
conversion.

          (g)  The corporation covenants that all shares of Class
A Common Stock which may be issued upon conversion of shares of
this Series will upon issue be duly and validly issued, fully
paid and nonassessable by the corporation and except as provided
<PAGE>
in Section 9 hereof free from all taxes, liens and charges with
respect to the issue thereof.

          8.  Notice of Certain Events.  In case:

          (a)  the corporation shall declare a dividend (or any
other distribution) payable to the holders of Class A Common
Stock (otherwise than cash dividends paid out of the earned
surplus of the corporation or, if there shall be no earned
surplus, out of net profits for the fiscal year in which the
dividend is made and/or the preceding fiscal year, and dividends
payable in Class A Common Stock); or

          (b)  the corporation shall authorize the granting to
the holders of Class A Common Stock of rights to subscribe for or
purchase any shares of stock of any class or of any other rights
or warrants; or

          (c)  the corporation shall authorize any
reclassification or change of the Class A Common Stock (other
than a subdivision or combination of its outstanding shares of
Class A Common Stock or a change in par value, or from par value
to no par value, or from no par value to par value), or any
consolidation, merger or share exchange to which the corporation
is a party and for which approval of any stockholders of the
corporation is required, or the sale or conveyance of all or
substantially all the property or business of the corporation; or

          (d)  there shall be proposed any voluntary or
involuntary dissolution, liquidation or winding-up of the
corporation;

then, the corporation shall cause to be filed at the place or
places maintained for the purpose of conversion of shares of this
Series as provided in Section 7(b) hereof, and shall cause to be
mailed to each holder of shares of this Series, at his address as
it shall appear on the registry books of the corporation, as
promptly as possible but in any event at least 20 days before the
date hereinafter specified (or the earlier of the dates
hereinafter specified, in the event that more than one date is
specified), a notice stating the date on which (i) a record is
expected to be taken for the purpose of such dividend,
distribution, rights, or warrants, or if a record is not to be
taken, the date as of which the holders of Class A Common Stock
of record to be entitled to such dividend, distribution, rights,
or warrants are to be determined, or (ii) such reclassification,
change, consolidation, merger, share exchange, sale, transfer,
conveyance, dissolution, liquidation or winding-up is expected to
become effective and the date, if any is to be fixed, as of which
it is expected that holders of Class A Common Stock of record
shall be entitled to exchange their shares of Class A Common
Stock for securities or other property deliverable upon such
reclassification, change, consolidation, merger, share exchange,
sale, transfer, conveyance, dissolution, liquidation or
winding-up.

          9.  Taxes.  The corporation will pay any and all
documentary, stamp or similar taxes payable to the United States
of America or any political subdivision or taxing authority
thereof or therein in respect of the issue or delivery of (a)
<PAGE>
certificates for shares of this Series on redemption of less than
all of the shares represented by any certificate for such shares
surrendered for redemption or (b) certificates for shares of
Class A Common Stock on redemption or conversion of shares of
this Series pursuant to Section 4 or Section 7 hereof; provided,
that the corporation shall not be required to pay any tax which
may be payable in respect of any transfer involved in the issue
or delivery of certificates for shares of this Series or Class A
Common Stock, as the case may be, in a name other than that of
the holder of shares of this Series to be redeemed or converted
and no such issue or delivery shall be made unless and until the
person requesting such issue or delivery has paid to the
corporation the amount of any such tax or has established, to the
satisfaction of the corporation, that such tax has been paid.
The corporation extends no protection with respect to any other
taxes imposed in connection with such redemption or conversion of
shares of this Series.

          10.  No Other Rights.  The shares of this Series shall
not have any relative, participating, optional or other special
rights and powers other than as set forth herein and other than
any which may be provided by law.

          11.  Miscellaneous.  Capitalized terms which are
defined in this Exhibit are defined only for the purposes of this
Exhibit, and not for the purposes of other Exhibits to the
certificate of incorporation.  Unless otherwise indicated,
section references contained in this Exhibit refer to the
corresponding sections of this Exhibit.

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