Document:

<PAGE>
                                                                 Exhibit 4.22.20

WHEN RECORDED, RETURN TO:

SARAH M. WARD, ESQ.
SKADDEN, ARPS, SLATE, MEAGHER & FLOM, LLP
FOUR TIMES SQUARE
NEW YORK, NEW YORK  10036

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

                          INDENTURE OF TRUST, MORTGAGE,
                      SECURITY AGREEMENT AND FIXTURE FILING

                           Dated as of October18, 2001

                                     between

                             BROAD RIVER OL-2, LLC,
                                  as Mortgagor

                                       and

                           STATE STREET BANK AND TRUST
                  COMPANY OF CONNECTICUT, NATIONAL ASSOCIATION,
                as Indenture Trustee, Mortgagee and Account Bank

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

                              BROAD RIVER FACILITY

================================================================================
<PAGE>
                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                   Page
<S>                                                                                                <C>
SECTION 1.   DEFINITIONS. ..................................................................         8

SECTION 2.   THE LESSOR NOTES...............................................................        10
     Section 2.1.   Limitation on Lessor Notes..............................................        10
     Section 2.2.   Initial Lessor Notes....................................................        10
     Section 2.3.   Execution and Authentication of Lessor Notes............................        10
     Section 2.4.   Issuance and Terms of the Initial Lessor Notes..........................        11
     Section 2.5.   Payments from Indenture Estate Only; No Personal Liability of the Owner
                    Lessor, the Owner Participant or the Indenture Trustee..................        12
     Section 2.6.   Method of Payment.......................................................        13
     Section 2.7.   Application of Payments.................................................        14
     Section 2.8.   Registration, Transfer and Exchange of Lessor Notes.....................        14
     Section 2.9.   Mutilated, Destroyed, Lost or Stolen Lessor Notes.......................        15
     Section 2.10.  Redemptions; Assumption.................................................        16
     Section 2.11.  Payment of Expenses on Transfer.........................................        21
     Section 2.12.  Additional Lessor Notes.................................................        21
     Section 2.13.  Restrictions of Transfer Resulting from Federal Securities Laws;
                    Legend..................................................................        24
     Section 2.14.  Security for and Parity of Lessor Notes.................................        25
     Section 2.15.  Acceptance of the Indenture Trustee.....................................        25

SECTION 3.   RECEIPT, DISTRIBUTION AND APPLICATION OF INCOME FROM INDENTURE ESTATE..........        25
     Section 3.1.   Distribution of Periodic Rent...........................................        25
     Section 3.2.   Payments Following Event of Loss or Other Early Termination.............        27
     Section 3.3.   Payments After Lease Indenture Event of Default.........................        28
     Section 3.4.   Investment of Certain Payments Held by the Indenture Trustee............        29
     Section 3.5.   Application of Certain Other Payments...................................        30
     Section 3.6.   Other Payments..........................................................        30
     Section 3.7.   Excepted Payments.......................................................        31
     Section 3.8.   Distributions to the Owner Lessor.......................................        31
     Section 3.9.   Payments Under Assigned Documents.......................................        31
     Section 3.10.  Disbursement of Amounts Received by the Indenture Trustee...............        31
</TABLE>

                                        i
<PAGE>
<TABLE>
<S>                                                                                                <C>
SECTION 4.   COVENANTS OF OWNER LESSOR; DEFAULTS; REMEDIES OF INDENTURE TRUSTEE.............        35
     Section 4.1.   Covenants of Owner Lessor...............................................        35
     Section 4.2.   Lease Indenture Events of Default.......................................        36
     Section 4.3.   Remedies of the Indenture Trustee.......................................        38
     Section 4.4.   Right to Cure Certain Lease Events of Default...........................        40
     Section 4.5.   Rescission of Acceleration..............................................        43
     Section 4.6.   Return of Indenture Estate, Etc.........................................        44
     Section 4.7.   Power of Sale and Other Remedies........................................        45
     Section 4.8.   Appointment of Receiver.................................................        46
     Section 4.9.   Remedies Cumulative.....................................................        46
     Section 4.10.  Waiver of Various Rights by the Owner Lessor............................        46
     Section 4.11.  Discontinuance of Proceedings...........................................        47
     Section 4.12.  No Action Contrary to the Facility Lessee's Rights Under the Facility
                    Lease...................................................................        47
     Section 4.13.  Right of the Indenture Trustee to Perform Covenants, Etc................        47
     Section 4.14.  Further Assurances......................................................        48
     Section 4.15.  Waiver of Past Defaults.................................................        48

SECTION 5.   DUTIES OF INDENTURE TRUSTEE; CERTAIN RIGHTS AND DUTIES OF OWNER LESSOR.........        48
     Section 5.1.   Notice of Action Upon Lease Indenture Event of Default..................        48
     Section 5.2.   Actions Upon Instructions Generally.....................................        48
     Section 5.3.   Action Upon Payment of Lessor Notes or Termination of Facility Lease....        49
     Section 5.4.   Compensation of the Indenture Trustee; Indemnification..................        49
     Section 5.5.   No Duties Except as Specified; No Action Except Under Facility Lease,
                    Indenture or Instructions...............................................        50
     Section 5.6.   Certain Rights of the Owner Lessor......................................        50
     Section 5.7.   Restrictions on Dealing with Indenture Estate...........................        53
     Section 5.8.   Filing of Financing Statements and Continuation Statements..............        53

SECTION 6.   INDENTURE TRUSTEE AND OWNER LESSOR.............................................        54
     Section 6.1.   Acceptance of Trusts and Duties.........................................        54
     Section 6.2.   Absence of Certain Duties...............................................        56
     Section 6.3.   Representations and Warranties..........................................        57
     Section 6.4.   No Segregation of Moneys; No Interest...................................        57
     Section 6.5.   Reliance; Agents; Advice of Experts.....................................        58
</TABLE>

                                       ii

<PAGE>

<TABLE>
<S>                                                                                               <C>
SECTION 7.   SUCCESSOR INDENTURE TRUSTEES AND SEPARATE TRUSTEES.............................        59
     Section 7.1.   Resignation or Removal of the Indenture Trustee; Appointment of
                    Successor...............................................................        59
     Section 7.2.   Appointment of Additional and Separate Trustees.........................        61

SECTION 8.   SUPPLEMENTS AND AMENDMENTS TO THIS INDENTURE AND OTHER DOCUMENTS...............        63
     Section 8.1.   Supplemental Indenture and Other Amendment With Consent; Conditions and
                    Limitations.............................................................        63
     Section 8.2.   Supplemental Indentures and other Amendments Without Consent............        64
     Section 8.3.   Conditions to Action by the Indenture Trustee...........................        65

SECTION 9.   MISCELLANEOUS..................................................................        66
     Section 9.1.   Surrender, Defeasance and Release.......................................        66
     Section 9.2.   Conveyances Pursuant to the Site Lease..................................        67
     Section 9.3.   Appointment of the Indenture Trustee as Attorney; Further Assurances....        67
     Section 9.4.   Indenture for Benefit of Certain Persons Only...........................        67
     Section 9.5.   Notices; Furnishing Documents, etc......................................        68
     Section 9.6.   Severability............................................................        70
     Section 9.7.   Limitation of Liability.................................................        70
     Section 9.8.   Written Changes Only....................................................        70
     Section 9.9.   Counterparts............................................................        70
     Section 9.10.  Successors and Permitted Assigns........................................        70
     Section 9.13.  Reorganization Proceedings with Respect to the Lessor Estate............        71
     Section 9.14.  Withholding Taxes: Information Reporting................................        72
     Section 9.15.  Fixture Financing Statement.............................................        73
</TABLE>

EXHIBITS

<TABLE>
<S>                  <C>
Exhibit A            Description of Facility Site
Exhibit B            Form of Lessor Note
Exhibit C            Form of Certificate of Authentication
Exhibit D            Description of the Facility
</TABLE>

APPENDIX A Definitions

                          INDENTURE OF TRUST, MORTGAGE,

                                       iii

<PAGE>

                      SECURITY AGREEMENT AND FIXTURE FILING

     This INDENTURE OF TRUST, MORTGAGE, SECURITY AGREEMENT AND FIXTURE FILING
(as amended, supplemented or otherwise modified from time to time in accordance
with the provisions hereof, this "Indenture"), dated as of October 18, 2001,
between BROAD RIVER OL-2, LLC, having an address set forth in Section 9.5
hereof, a Delaware limited liability company created for the benefit of the
Owner Participant referred to below, as mortgagor (the "Owner Lessor") and
STATE STREET BANK AND TRUST COMPANY OF CONNECTICUT, NATIONAL ASSOCIATION,
having an address set forth in Section 9.5 hereof, as mortgagee on behalf of
the Noteholders (the "Indenture Trustee") and as the Account Bank.

                                  WITNESSETH:

     WHEREAS, Broad River Energy, LLC (the "Facility Lessee") is the lessee
under that certain Lease Agreement (the "FILOT Lease") by and between itself
and Cherokee County, South Carolina, a body politic and corporate and a
political subdivision of the State of South Carolina, as landlord (the
"County") in connection with the Facility and the Facility Site (each as
hereinafter defined), a memorandum of which FILOT Lease was recorded in the
office of the Cherokee County Clerk of Court in Book 71, page 200;

     WHEREAS, the Facility Lessee has assigned the Undivided Interest and the
Ground Interest to the Owner Lessor pursuant to that certain Assignment
Agreement, a memorandum of which shall be recorded with this Indenture in the
Office of the Cherokee County Clerk of Court;

     WHEREAS, the Owner Lessor has entered into the Facility Lease, dated as of
the date hereof (as amended, supplemented or otherwise modified from time to
time in accordance with the provisions thereof, the "Facility Lease"), with the
Facility Lessee pursuant to which the Facility Lessee has subleased from the
Owner Lessor for a term of years the Owner Lessor's Undivided Interest in the
Facility;

     WHEREAS, the Owner Lessor has entered into the Facility Site Lease, dated
as of the date hereof (as amended, supplemented or otherwise modified from time
to time in accordance with the provisions thereof, the "Facility Site Lease"),
with the Facility Lessee pursuant to which the Facility Lessee has subleased
the Ground Interest from the Owner Lessor for a term of years;

                                       2
<PAGE>
     WHEREAS, the Facility is more particularly described on Exhibit D hereto
and made a part hereof and the Facility Site is more particularly described on
Exhibit A hereto and made a part hereof;

     WHEREAS, in accordance with this Indenture, the Owner Lessor will (i)
execute and deliver the Lessor Notes, the proceeds of which will be used by the
Owner Lessor to finance a portion of the Assumption Price for the Undivided
Interest assigned to the Owner Lessor by the Facility Lessee and (ii) grant to
the Indenture Trustee the security interests herein provided;

     WHEREAS, this Indenture is regarded as a mortgage under the laws of the
State of South Carolina as a security agreement under the Uniform Commercial
Codes of the States of New York, Delaware and South Carolina, and as a fixture
filing under the laws of the State of South Carolina;

     WHEREAS, the Owner Lessor and the Indenture Trustee desire to enter into
this Indenture, to, among other things, provide for (a) the issuance by the
Owner Lessor of the Lessor Notes to be issued on the Closing Date, and
Additional Lessor Notes from time to time and (b) the conveyance and assignment
to the Indenture Trustee on the Closing Date of the Undivided Interests
conveyed to the Owner Lessor and the Owner Lessor's right, title and interest
in and under the Operative Documents executed in connection therewith and all
payments and other amounts received hereunder or thereunder in accordance
herewith (excluding Excepted Payments);

     WHEREAS, the latest stated maturity date of the Initial Lessor Notes is
May 30, 2019;

     WHEREAS, all things have been done to make the Lessor Notes, when executed
by the Owner Lessor, authenticated and delivered hereunder and issued, the
valid obligations of the Owner Lessor; and

     WHEREAS, all things necessary to make this Indenture the valid, binding
and legal obligation of the Owner Lessor, for the uses and purposes herein set
forth, in accordance with its terms, have been done and performed and have
happened.

     NOW THEREFORE, in consideration of the foregoing premises, the mutual
agreements herein contained, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, and in order to
secure (i) the prompt payment when and as due of the principal of and the
Make-Whole Amount, if any, and

                                       3
<PAGE>
accrued, deferred or capitalized interest on the Lessor Notes and of all
other amounts owing with respect to all Lessor Notes from time to time
outstanding hereunder, and the prompt payment when and as due of any and all
other amounts from time to time owing in respect of the Secured Indebtedness
and (ii) the performance and observance by the Owner Lessor for the benefit of
the holders of the Lessor Notes and the Indenture Trustee of all other
obligations, agreements, and covenants of the Owner Lessor set forth
hereinafter and in the Lessor Notes, the Operative Documents and the other
documents, certificates and agreements delivered in connection therewith:

                                GRANTING CLAUSE:

     The Owner Lessor hereby irrevocably grants, mortgages, conveys, assigns,
transfers, pledges, bargains, sells and confirms unto the Indenture Trustee and
its successors and permitted assigns, for the benefit of the holders of the
Lessor Notes from time to time, a first priority security interest in and
mortgage lien on all estate, right, title and interest of the Owner Lessor in,
to and under the following described property, rights, interests and
privileges, whether now held or hereafter acquired (which collectively,
including all property hereafter specifically subjected to the security
interest created by this Indenture by any supplement hereto, exclusive of
Excepted Payments) are included within, and are hereafter referred to as, the
"Indenture Estate"):

     (1)  the Undivided Interest (including the Facility Purchase Option), the
Owner Lessor's interest in any Components; the Owner Lessor's interest in any
Improvements; the Ground Interest (including the Land Purchase Option); the
Facility Lease and all payments of any kind by the Facility Lessee thereunder
(including Rent); any rights of the Owner Lessor as assignee of the Facility
Lessee under the Facility Lease; the Facility Site Lease and all payments of
any kind by the Facility Lessee thereunder; the Assignment Agreement (and all
rights with respect to the FILOT Lease conveyed thereby); the Owner Lessor's
interest in all tangible property located on or at or attached to the Facility
Site as to which an interest in such tangible property arises under applicable
real estate law ("fixtures"); the Calpine Guaranty, the Ownership and Operation
Agreement and all and any interest in any property now or hereafter granted to
the Owner Lessor pursuant to any provision of the Facility Lease or the FILOT
Lease (including, without limitation, the option to purchase set forth in
Section 10.02 of the FILOT Lease); the FILOT Lease, and each other Operative
Document to which the Owner Lessor is a party other than the Tax Indemnity
Agreement, the Tri-Party Agreement and the LLC Agreement (the Undivided
Interest, the Owner Lessor's interest in any Components, the Owner Lessor's
interest in any fixtures, Improvements and the Ground Interest are collectively
referred to as the "Property Interest" and the documents specifically referred
to above in this paragraph (1) are collectively referred to as the

                                       4
<PAGE>
"Assigned Documents"), including, without limitation, (x) all rights of the
Owner Lessor to receive any payments or other amounts or, subject to Section
5.6 hereof, to exercise any election or option or to make any decision or
determination or to give or receive any notice, consent, waiver or approval or
to make any demand or to take any other action under or in respect of any such
document, to accept surrender or redelivery of the Property Interest or any
part thereof, as well as all the rights, powers and remedies on the part of the
Owner Lessor, whether acting under any such document or by statute or at law or
in equity or otherwise, arising out of any Lease Default or Lease Event of
Default and (y) any right to restitution from the Facility Lessee, any
sublessee or any other person in respect of any determination of invalidity of
any such document;

     (2)  all rents (including Periodic Rent and Supplemental Rent), royalties,
issues, profits, revenues, proceeds, damages, claims, warranties and other
income from the property described in this Granting Clause, including, without
limitation, all payments or proceeds payable to the Owner Lessor as the result
of the sale of the Property Interest or the lease or other disposition of the
Property Interest, and all estate, right, title and interest of every nature
whatsoever of the Owner Lessor in and to such rents, issues, profits, revenues
and other income and every part thereof (the "Revenues");

     (3)  any sublease of the Facility and any assignment thereof now or
hereafter in effect, including, without limitation, (i) all rents or other
amounts or payments of any kind paid or payable by the obligor(s) thereunder or
in respect thereof and all collateral security or credit support with respect
thereto (whether cash or in the nature of a guarantee, letter of credit, credit
insurance, lien on or security interest in property or otherwise) for the
obligations of the sublessee thereunder as well as all rights of the Owner
Lessor to enforce payment of any such rents, amounts or payments, (ii) all
rights of the Owner Lessor to exercise any election or option or to make any
decision or determination or to give or receive any notice, consent, waiver or
approval or to take any other action under or in respect of any sublease of the
Facility and any assignment thereof or to accept surrender or redelivery of the
Facility or any part thereof, as well as all the rights, powers and remedies on
the part of the Owner Lessor, whether acting under any sublease of the Facility
or any assignment thereof or by statute or at law or in equity, or otherwise,
arising out of any default under such sublease or any assignment thereof, and
(iii) any right to restitution from the Facility Lessee, the applicable
sublessee or any guarantor of such sublessee in respect of any determination of
invalidity of any sublease of the Facility or any assignment thereof;

     (4)  all condemnation proceeds with respect to the Property Interest or any
part thereof (to the extent of the Owner Lessor's interest therein), and all
proceeds (to the

                                       5
<PAGE>
extent of the Owner Lessor's interest therein) of all insurance maintained
pursuant to Section 11 of the Facility Lease or otherwise;

     (5)  all other property of every kind and description and interests
therein now held or hereafter acquired by the Owner Lessor pursuant to the
terms of any Assigned Document, wherever located, including, without
limitation, that which may be acquired pursuant to the option to purchase in
Section 10.02 of the FILOT Lease; and

     (6)  all proceeds of the foregoing;

     BUT EXCLUDING from such property, rights and privileges all Excepted
Payments and SUBJECT TO the rights of the Owner Lessor and the Owner
Participant hereunder, including under Sections 4.3(d), 4.4 and 5.6 hereof;

     TO HAVE AND TO HOLD the Indenture Estate and all parts, rights, members
and appurtenances thereof, unto the Indenture Trustee and the successors and
permitted assigns of the Indenture Trustee, for the benefit and security of the
Noteholders from time to time;

     PROVIDED, HOWEVER, that if the principal of and the Make-Whole Amount, if
any, and interest on the Lessor Notes, and all other Secured Indebtedness
hereunder shall have been paid and the Owner Lessor shall have performed and
complied with all the covenants, agreements, terms and provisions hereof, then
this Indenture and the rights hereby granted shall terminate and cease.

     Subject to the terms and conditions hereof, the Owner Lessor does hereby
irrevocably constitute and appoint the Indenture Trustee the true and lawful
attorney of the Owner Lessor (which appointment is coupled with an interest)
with full power (in the name of the Owner Lessor or otherwise) to ask, require,
demand and receive any and all moneys an claims for moneys (in each case,
including, without limitation, insurance and requisition proceeds to the extent
of the Owner Lessor's interest therein but excluding in all cases Excepted
Payments) due and to become due under or arising out of the Assigned Documents
and all other property which now or hereafter constitutes part of the Indenture
Estate and, to endorse any checks or other instruments or orders in connection
therewith and to file any claims or to take any action or to institute any
proceedings (other than in connection with the enforcement or collection of
Excepted Payments) which the Indenture Trustee may deem to be necessary or
advisable. Pursuant to the Facility Lease, the Facility Lessee is directed to
make all payments of Rent required to be paid or deposited with the Owner
Lessor (other than Excepted Payments) and all other amounts which are required
to be paid to or deposited with the Owner Lessor pursuant to the

                                       6
<PAGE>
Facility Lease (other than Excepted Payments) directly to the Indenture Trustee
at such address or addresses as the Indenture Trustee shall specify, for
application as provided in this Indenture. Further, the Owner Lessor agrees
that promptly on receipt thereof, it will transfer to the Indenture Trustee any
and all moneys from time to time received by it constituting part of the
Indenture Estate, whether or not expressly referred to in the immediately
preceding sentence, for distribution pursuant to this Indenture.

     Concurrently with the delivery of this Indenture, the Owner Lessor is
delivering to the Indenture Trustee the chattel paper originally-executed
counterpart of the Facility Lease. All property referred to in this Granting
Clause, whenever acquired by the Owner Lessor, shall secure all obligations
under and with respect to the Lessor Notes at any time outstanding. Any and all
properties referred to in this Granting Clause which are hereafter acquired by
the Owner Lessor, shall, without further conveyance, assignment or act by the
Owner Lessor or the Indenture Trustee thereby become and be subject to the
security interest hereby granted as fully and completely as though specifically
described herein.

     This Indenture is intended to constitute a security agreement as required
under the Uniform Commercial Codes of the States of New York, Delaware and
South Carolina.

     The Indenture Trustee, for itself and its successors and permitted
assigns, hereby agrees that it shall hold the Indenture Estate, in trust for
the benefit and security of (i) the holders from time to time of the Lessor
Notes from time to time outstanding, without any priority of any one Lessor
Note over any other except as herein otherwise expressly provided and (ii) the
Indenture Trustee, and for the uses and purposes and subject to the terms and
provisions set forth in this Indenture. It is expressly agreed that anything
herein contained to the contrary notwithstanding, the Owner Lessor shall remain
liable under the Assigned Documents to perform all of the obligations assumed
by it thereunder, all in accordance with and pursuant to the terms and
provisions thereof, and the Indenture Trustee and the Noteholders shall have no
obligation or liability under any Assigned Document by reason of or arising out
of the assignment hereunder, nor shall the Indenture Trustee or the Noteholders
be required or obligated in any manner, except as herein expressly provided, to
perform or fulfill any obligation of the Owner Lessor under or pursuant to any
such Assigned Document or, except as herein expressly provided, to make any
payment, or to make any inquiry as to the nature or sufficiency of any payment
received by it, or to present or file any claim, or to take any action to
collect or enforce the payment of any amounts which may have been assigned to
it or to which it may be entitled at any time or times.

                                       7
<PAGE>
     The Owner Lessor does hereby warrant and represent that it has not
assigned, pledged or granted a lien or security interest in, to or under, and
hereby covenants that, so long as this Indenture shall remain in effect and the
Lien hereof shall not have been released pursuant to Section 9.1 hereof, it
will not assign, pledge or grant a lien or security interest in any of its
estate, right, title or interest in, to or under, the Indenture Estate to
anyone other than the Indenture Trustee for the benefit of the Noteholders. The
Owner Lessor hereby further covenants that with respect to its estate, right,
title and interest in, to or under the Indenture Estate, it will not, except as
provided in this Indenture and except as to Excepted Payments, (i) accept any
payment from the Facility Lessee or any sublessee or enter into any agreement
amending, modifying or supplementing any of the Assigned Documents, execute any
waiver or modification of, or consent under (other than (x) the exercise of the
purchase option pursuant to the FILOT Lease and the right to make the
determinations and take the actions contemplated by Section 14 of the
Participation Agreement (subject to the satisfaction of the conditions set
forth in Section 14 of the Participation Agreement) including, without
limitation, the Owner Lessor's right to direct that title to the Land (to the
extent of the Owner Lessor's Percentage Interest) be conferred from the County
to the Facility Lessee and (y) any action pursuant to Section 5.20 of the
Participation Agreement (subject to the conditions set forth in Section 5.20 of
the Participation Agreement)), the terms of any of the Assigned Documents or
revoke or terminate any of the Assigned Documents, (ii) settle or compromise
any claim arising under any of the Assigned Documents, or (iii) submit or
consent to the submission of any dispute, difference or other matter arising
under or in respect of any of the Assigned Documents to arbitration thereunder
(other than (x) the exercise of the purchase option pursuant to the FILOT Lease
and the right to make the determinations and take the actions contemplated by
Section 14 of the Participation Agreement (subject to the satisfaction of the
conditions set forth in Section 14 of the Participation Agreement) including,
without limitation, the Owner Lessor's right to direct that title to the Land
(to the extent of the Owner Lessor's Percentage Interest) be conferred from the
County to the Facility Lessee and (y) any action pursuant to Section 5.20 of
the Participation Agreement (subject to the conditions set forth in Section
5.20 of the Participation Agreement)).

     Except as provided herein, the Owner Lessor hereby ratifies and confirms
its obligations under the Assigned Documents and does hereby agree that it will
not take or omit to take any action, the taking or omission of which might
result in an alteration or impairment of any of the Assigned Documents or of
any of the rights created by any such Assigned Document or the assignment
(subject to the previous) paragraph hereunder.

     In the event Owner Lessor acquires the fee simple title or any other
greater estate or interest in the Facility and/or the Facility Site (including,
without limitation, pursuant

                                       8
<PAGE>
to the option to purchase as set forth in Section 10.02 of the FILOT Lease),
such acquisition will merge with the leasehold estate created by the FILOT
Lease, and such other title, estate or interest shall immediately and
automatically become subject to the lien hereof and such title, estate or
interest shall be part of the Indenture Estate and included within the term and
definition of "Property Interest." The Owner Lessor shall execute, acknowledge
and deliver any instruments requested by the Indenture Trustee to confirm the
coverage of the lien hereof upon such other greater estate or interest. The
Owner Lessor shall pay any and all conveyance or mortgage taxes, and filing or
similar fees in connection with the execution, delivery, filing or recording of
any such instrument.

     Accordingly, the Owner Lessor, for itself and its successors and permitted
assigns, agrees that all Lessor Notes are to be issued and delivered and that
all property subject or to become subject hereto is to be held subject to the
further covenants, conditions, uses and trusts hereinafter set forth, and the
Owner Lessor, for itself and its successors and permitted assigns, hereby
covenants and agrees with the Indenture Trustee, for the benefit and security
of the holders from time to time of the Lessor Notes from time to time
outstanding and to protect the security of this Indenture, and the Indenture
Trustee agrees to accept the trusts and duties hereinafter set forth, as
follows:

                                   SECTION 1.
                                  DEFINITIONS

     (a)  Unless the context hereof shall otherwise require, capitalized terms
used, including those in the recitals, and not otherwise defined herein shall
have the respective meanings set forth in Appendix A to the Participation
Agreement (a copy of which is attached hereto for reference), dated as of the
date hereof, among the Facility Lessee, the Owner Lessor the Lessor Manager,
the Guarantor, the Indenture Trustee and the Pass Through Trustee (as amended,
supplemented or otherwise modified from time to time in accordance with the
provisions thereof, the "Participation Agreement"). The general provisions of
such Appendix A to the Participation Agreement shall apply to the terms used in
this Indenture and specifically defined herein.

     (b)  In addition, the following terms shall have the following meanings.

     "Assumption Documents" has the meaning set forth in Section 2.10(b).

     "Facility" means the 850 MW nameplate capacity gas-fired simple cycle
merchant power plant located in Gaffney, South Carolina and more fully
described in Exhibit D to this Indenture. The Facility does not include the
Facility Site.

                                       9
<PAGE>
     "Secured Indebtedness" means principal of and the Make-Whole Amount, if
any, and accrued, deferred or capitalized interest on and other amounts due
under all Lessor Notes and all other sums payable to the Indenture Trustee or
the Noteholders from time to time hereunder and under the Participation
Agreement and the other Operative Documents by the Facility Lessee, the Owner
Participant and the Owner Lessor, including:

          (i)   The indebtedness evidenced by the Lessor Notes, together with
     accrued, deferred or capitalized interest thereon at the rate provided in
     each Lessor Note and the Make-Whole Amount thereon and together with any
     and all renewals, modifications, consolidations and extensions of the
     indebtedness evidenced by such Lessor Notes, and principal of such Lessor
     Notes being due and payable as provided in such Lessor Notes;

          (ii)   Any and all other indebtedness now owing or which may hereafter
     be owing by the Owner Lessor to or for the benefit of the Indenture
     Trusteeunder the Operative Documents including indemnities and other
     Supplemental Rent payable by the Facility Lessee under the Operative
     Documents, whether evidenced by Additional Lessor Notes issued pursuant to
     Section 2.12 hereof or otherwise, however and whenever incurred or
     evidenced, whether direct or indirect, absolute or contingent, due or to
     become due, together with accrued, deferred or capitalized interest
     thereon at the rate provided in each Additional Lessor Note and the
     Make-Whole Amount thereon (if any) and together with any and all renewals,
     modifications, consolidations and extensions of the indebtedness evidenced
     by such Additional Lessor Notes, and principal of such Additional Lessor
     Notes being due and payable as provided in each such Additional Lessor
     Note.

          (iii)   Any and all additional advances made by the Indenture Trustee
     to protect or preserve the Indenture Estate or the security interest and
     other interests created hereby on the Indenture Estate or for taxes,
     assessments or insurance premiums as hereinafter provided or for
     performance of any of the Owner Lessor's obligations hereunder or for any
     other purpose provided herein, including advances made pursuant to
     Section 4.13 hereof (whether or not the Owner Lessor remains the owner of
     the Indenture Estate at the time of such advances); and

                                       10
<PAGE>
          (iv)   Any and all expenses incident to the collection of the Secured
     Indebtedness and the foreclosure hereof by action in any court or by
     exercise of the power of sale herein contained.

     "Undivided Interest" means the Owner Lessor's 25% undivided leasehold
interest in the Facility.

                                   SECTION 2.
                                THE LESSOR NOTES

     Section 2.1.   Limitation on Lessor Notes. No Lessor Notes may be issued
under the provisions of, or become secured by, this Indenture except in
accordance with the provisions of this Section 2. The aggregate principal
amount of the Lessor Notes which may be authenticated and delivered and
outstanding at any one time under this Indenture shall be limited to the
principal amount of the Initial Lessor Notes issued on the Closing Date to the
Pass Through Trustees plus the aggregate principal amount of Additional Lessor
Notes issued pursuant to Section 2.12.

     Section 2.2.   Initial Lessor Notes. There are hereby created and
established hereunder two series of Lessor Notes consisting of the Series A
Lessor Notes and the Series B Lessor Notes, each in substantially the form set
forth in Exhibit B to this Indenture and each such series in the aggregate
principal amount, having installments payable on the dates and in the amounts
and having the final maturity date and interest rate set forth in Schedule I to
this Indenture (respectively, the "Series A Lessor Notes" and the "Series B
Lessor Notes", collectively, the "Initial Lessor Notes" or, individually, an
"Initial Lessor Note".

     Section 2.3.   Execution and Authentication of Lessor Notes. Each Lessor
Note issued hereunder shall be executed and delivered on behalf of the Owner
Lessor by one of its authorized signatories, be in fully registered form, be
dated the date of original issuance of such Lessor Note and be in denominations
of not less than $1,000. Any Lessor Note may be signed by a Person who, at the
actual date of the execution of such Lessor Note, is an authorized signatory of
the Owner Lessor although at the nominal date of such Lessor Note such Person
may not have been an authorized signatory of the Owner Lessor. No Lessor Note
shall be secured by or be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose unless there appears thereon a certificate
of authentication in the form contained in Exhibit C (or in the appropriate
form provided for in any supplement hereto executed pursuant to Section 2.12
hereof), executed by the Indenture Trustee by the manual signature of one of
its authorized officers, and such certificate upon any Lessor Note shall be
conclusive evidence that such

                                       11
<PAGE>
Lessor Note has been duly authenticated and delivered hereunder. The Indenture
Trustee shall authenticate and deliver the Initial Lessor Notes for original
issue on the Closing Date in the principal amount specified in Section 2.2,
upon a written order of the Owner Lessor signed by the Lessor Manager. The
Indenture Trustee shall authenticate and deliver Additional Lessor Notes, upon
a written order of the Owner Lessor executed by the Lessor Manager and
satisfaction of the conditions specified in Section 2.12. Such order shall
specify the principal amount of the Additional Lessor Notes to be authenticated
and the date on which the original issue of Additional Lessor Notes is to be
authenticated.

     Section 2.4.   Issuance and Terms of the Initial Lessor Notes.

     (a)  Issuance of the Lessor Notes at the Closing. On the Closing Date, the
Initial Lessor Notes shall be issued to the applicable Pass Through Trustee in
the amounts set forth in Schedule I hereto, and shall be dated the Closing Date.

     (b)  Principal and Interest. The principal amount of each series of
Initial Lessor Notes shall be due and payable in a series of installments
having final payment dates set forth in Schedule I hereto. The principal of
each Initial Lessor Note shall be due and payable in installments on the dates
and in the amounts set forth in Schedule I hereto. Schedule I hereto to the
contrary notwithstanding, the last payment made under such Initial Lessor Note
shall be equal to the then unpaid balance of the principal of such Lessor Note
plus all accrued and unpaid interest on, and any other amounts due under, such
Initial Lessor Note. Each Initial Lessor Note shall bear interest on the
principal from time to time outstanding from and including the date of issuance
thereof (computed on the basis of a 360-day year of twelve 30-day months) until
paid in full at the rate set forth in such Initial Lessor Note and Schedule I
hereto. Each Initial Lessor Note shall accrue additional interest under the
circumstances and at the rate per annum set forth in the third paragraph of
each Initial Lessor Note. Interest on each Initial Lessor Note shall be due and
payable in arrears semi-annually commencing on May 30, 2002, and on each May 30
and November 30 thereafter until paid in full. If any day on which principal,
Make-Whole Amount, if any, or interest on the Initial Lessor Notes are payable
is not a Business Day, payment thereof shall be made on the next succeeding
Business Day with the same effect as if made on the date on which such payment
was due.

     (c)   Overdue Payments. Interest (computed on the basis of a 360-day year
of twelve 30-day months) on any overdue principal, Make-Whole Amount (if any)
and, to the extent permitted by Applicable Law, interest and any other amounts
payable shall be paid on demand at the Overdue Rate.

                                       12
<PAGE>
     (d)  Indemnity Amounts. The Owner Lessor agrees to pay to the Indenture
Trustee for distribution in accordance with Section 3.5 hereof any and all
indemnity amounts received by the Owner Lessor which are payable by the
Facility Lessee to (i) the Indenture Trustee, (ii) the Pass Through Trusts, or
(iii) the Pass Through Trustees.

     Section 2.5.   Payments from Indenture Estate Only; No Personal Liability
of the Owner Lessor, the Owner Participant or the Indenture Trustee. Except as
otherwise specifically provided in this Indenture or the Participation
Agreement, all payments in respect of the Lessor Notes or under this Indenture
shall be made only from the Indenture Estate, and the Owner Lessor shall have
no obligation for the payment thereof except to the extent that there shall be
sufficient income or proceeds from the Indenture Estate to make such payments
in accordance with the terms of Section 3 hereof; and the Owner Participant
shall not have any obligation for payments in respect of the Lessor Notes or
under this Indenture. The Indenture Trustee and each Noteholder, by its
acceptance thereof, agrees that it will look solely to the income and proceeds
from the Indenture Estate to the extent available for distribution to the
Indenture Trustee or such Noteholder, as the case may be, as herein provided
and that, except as expressly provided in this Indenture, the Participation
Agreement or any other Operative Document, none of the Owner Participant, the
Owner Lessor, the Trust Company, the Lease Indenture Company, nor the Indenture
Trustee, nor any Affiliate of any thereof, shall be personally liable to such
Noteholder or the Indenture Trustee for any amounts payable hereunder, under
such Lessor Note or for any performance to be rendered under any Assigned
Document or for any liability under any Assigned Document. Without prejudice to
the foregoing, the Owner Lessor will duly and punctually pay or cause to be
paid the principal of, Make-Whole Amount, if any, and interest on all Lessor
Notes according to their terms and the terms of this Indenture. Nothing
contained in this Section 2.5 limiting the liability of the Owner Lessor shall
derogate from the right of the Indenture Trustee and the Noteholders to proceed
against the Indenture Estate and the Calpine Guaranty to secure and enforce all
payments and obligations due hereunder and under the Assigned Documents and the
Lessor Notes.

     (a)  In furtherance of the foregoing, to the fullest extent permitted by
law, each Noteholder (and each assignee of such Person), by its acceptance
thereof, agrees that neither it nor the Indenture Trustee will exercise any
statutory right to negate the agreements set forth in this Section 2.5.

     (b)  Nothing herein contained shall be interpreted as affecting the
representations, warranties or agreements of the Owner Lessor set forth in the
Participation Agreement or the LLC Agreement.

                                       13
<PAGE>
     Section 2.6.   Method of Payment. The Owner Lessor shall maintain an office
or agency where Lessor Notes may be presented for payment (the "Paying Agent").
The Owner Lessor may have one or more additional paying agents. The term
"Paying Agent" includes any additional paying agent. The Owner Lessor initially
appoints the Indenture Trustee as Paying Agent in connection with the Lessor
Notes.

     (a)  The Owner Lessor shall deposit with the Paying Agent a sum sufficient
to pay such principal and interest when so becoming due. The Owner Lessor shall
require each Paying Agent (other than the Indenture Trustee) to agree in
writing that the Paying Agent shall hold in trust for the benefit of the
Noteholders or the Indenture Trustee all money held by the Paying Agent for the
payment of principal of or interest on the Lessor Notes and shall notify the
Indenture Trustee of any default by the Owner Lessor in making any such payment.

     (b)  The principal of and the Make-Whole Amount, if any, and interest on
each Lessor Note shall be paid by the Paying Agent from amounts available in
the Indenture Estate on the dates provided in the Lessor Notes by mailing a
check for such amount, payable in New York Clearing House funds, to each
Noteholder at the last address of each such Noteholder appearing on the Note
Register, or by whichever of the following methods shall be specified by notice
from a Noteholder to the Indenture Trustee: (i) by crediting the amount to be
distributed to such Noteholder to an account maintained by such Noteholder with
the Indenture Trustee, (ii) by making such payment to such Noteholder in
immediately available funds at the Indenture Trustee Office, or (iii) in the
case of the Initial Lessor Notes and in the case of Additional Lessor Notes, if
such Noteholder is the Pass Through Trustee, or a bank or other institutional
investor, by transferring such amount in immediately available funds for the
account of such Noteholder to the banking institution having bank wire transfer
facilities as shall be specified by such Noteholder, such transfer to be
subject to telephonic confirmation of payment. Any payment made under any of
the foregoing methods shall be made free and clear of and without reduction for
or on account of all wire and like charges and without any presentment or
surrender of such Lessor Note, unless otherwise specified by the terms of the
Lessor Note, except that, in the case of the final payment in respect of any
Lessor Note, such Lessor Note shall be surrendered to the Indenture Trustee for
cancellation after such payment. All payments in respect of the Lessor Notes
shall be made (1) as soon as practicable prior to the close of business on the
date the amounts to be distributed by the Indenture Trustee are actually
received by the Indenture Trustee if such amounts are received by 12:00 noon
New York City time, on a Business Day, or (2) on the next succeeding Business
Day if received after such time or on any day other than a Business Day. One or
more of the foregoing methods of payment may be specified in a Lessor Note.
Prior to due presentment for registration of transfer of any

                                       14
<PAGE>
Lessor Note, the Owner Lessor and the Indenture Trustee may deem and treat the
Person in whose name any Lessor Note is registered on the Note Register as the
absolute owner and holder of such Lessor Note for the purpose of receiving
payment of all amounts payable with respect to such Lessor Note and for all
other purposes, and neither the Owner Lessor nor the Indenture Trustee shall be
affected by any notice to the contrary. All payments made on any Lessor Note in
accordance with the provisions of this Section 2.6 shall be valid and effective
to satisfy and discharge the liability on such Lessor Note to the extent of the
sums so paid and (except as provided herein) neither the Indenture Trustee nor
the Owner Lessor shall have any liability in respect of such payment.

     Section 2.7.   Application of Payments. Each payment on any outstanding
Lessor Note shall be applied, first, to the payment of accrued interest
(including interest on overdue principal and the Make-Whole Amount, if any,
and, to the extent permitted by Applicable Law, overdue interest) on such
Lessor Note to the date of such payment, second, to the payment of the
principal amount of, and the Make-Whole Amount, if any, on such Lessor Note
then due (including any overdue installments of principal) thereunder and
third, to the extent permitted by Section 2.10 of this Indenture, the balance,
if any, remaining thereafter, to the payment of the principal amount of, and
the Make-Whole Amount, if any, on such Lessor Note. The order of application of
payments prescribed by this Section 2.7 shall not be deemed to supersede any
provision of Section 3 hereof regarding application of funds.

     Section 2.8.   Registration, Transfer and Exchange of Lessor Notes. The
Owner Lessor shall maintain an office or agency where Lessor Notes may be
presented for registration of transfer or for exchange (the "Registrar"). The
Registrar shall keep a register of the Lessor Notes and of their transfer and
exchange. The Owner Lessor may have one or more co-registrars. The Owner Lessor
initially appoints the Indenture Trustee as Registrar in connection with the
Lessor Notes. The Indenture Trustee shall maintain at the Indenture Trustee
Office a register in which it will provide for the registration, registration
of transfer and exchange of Lessor Notes (such register being referred to
herein as the "Note Register"). If any Lessor Note is surrendered at said
office for registration of transfer or exchange (accompanied by a written
instrument of transfer duly executed by or on behalf of the holder thereof,
together with the amount of any applicable transfer taxes), the Owner Lessor
will execute and the Indenture Trustee will authenticate and deliver, in the
name of the designated transferee or transferees, if any, one or more new
Lessor Notes (subject to the limitations specified in Sections 2.3 and 2.13
hereof) in any denomination or denominations not prohibited by this Indenture,
as requested by the Person surrendering the Lessor Note, dated the same date as
the Lessor Note so surrendered and of like tenor and aggregate unpaid principal
amount. Any Lessor Note or Lessor Notes issued in a registration of transfer or
exchange shall be valid

                                       15
<PAGE>
obligations of the Owner Lessor entitled to the same security and benefits to
which the Lessor Note or Lessor Notes so transferred or exchanged were
entitled, including rights as to interest accrued but unpaid and to accrue so
that there will not be any loss or gain of interest on the Lessor Note or
Lessor Notes surrendered. Every Lessor Note presented or surrendered for
registration of transfer or exchange shall be duly endorsed, or be accompanied
by a written instrument of transfer in form reasonably satisfactory to the
Indenture Trustee duly executed by the holder thereof or his attorney duly
authorized in writing, and the Indenture Trustee may require an opinion of
counsel as to compliance of any such transfer with the Securities Act. The
Indenture Trustee shall make a notation on each new Lessor Note of the amount
of all payments of principal previously made on the old Lessor Note or Lessor
Notes with respect to which such new Lessor Note is issued and the date on
which such new Lessor Note is issued and the date to which interest on such old
Lessor Note or Lessor Notes shall have been paid. The Indenture Trustee shall
not be required to register the transfer or exchange of any Lessor Note during
the 10 days preceding the due date of any payment on such Lessor Note.

     Each Noteholder, by its acceptance of a Lessor Note, shall be deemed to
have consented to, and agreed to be bound by, the terms and conditions hereof,
of such Lessor Note (and any instrument of assignment or transfer) and of the
other Operative Documents.

     Section 2.9.   Mutilated, Destroyed, Lost or Stolen Lessor Notes. Upon
receipt by the Owner Lessor and the Indenture Trustee of evidence satisfactory
to each of them of the loss, theft, destruction or mutilation of any Lessor
Note and, in case of loss, theft or destruction, of indemnity satisfactory to
each of them, and upon reimbursement to the Owner Lessor and the Indenture
Trustee of all reasonable expenses incidental thereto and payment or
reimbursement for any transfer taxes, and upon surrender and cancellation of
such Lessor Note, if mutilated, the Owner Lessor will execute and the Indenture
Trustee will authenticate and deliver in lieu of such Lessor Note, a new Lessor
Note, dated the same date as such Lessor Note and of like tenor and principal
amount. Any indemnity provided by the holder of a Lessor Note pursuant to this
Section 2.9 must be sufficient in the reasonable judgment of the Owner Lessor
and the Indenture Trustee to protect the Owner Lessor, the Indenture Trustee,
the Paying Agent, the Registrar and any co-registrar or co-paying agent from
any loss which any of them may suffer if a Lessor Note is replaced.

     Section 2.10.   Redemptions; Assumption.

     (a)  Except as provided in paragraphs (c) and (d) of this Section 2.10 or
as provided in any indenture supplemental hereto, all Lessor Notes outstanding
under this

                                       16
<PAGE>
Indenture shall be redeemed, in whole but not in part, at a price equal to the
principal amount thereof, together with accrued interest thereon, if any, on
the earliest to occur on the date of redemption, but without any Make-Whole
Amount or other premium:

          (i)   if the Facility Lease is terminated pursuant to Section 10
     thereof as a result of the occurrence of an Event of Loss (other than a
     Regulatory Event of Loss or an Event of Loss described in clauses (v),
     (vi) or (vii) of the definition of "Event of Loss"), on the applicable
     Termination Date provided in Section 10.2(a) of the Facility Lease;

          (ii)   if the Facility Lease is terminated pursuant to Section 10
     thereof as a result of a Regulatory Event of Loss, unless the Facility
     Lessee effects an assumption of the applicable Lessor Notes in accordance
     with paragraph (b) of this Section 2.10, on the applicable Termination Date
     provided in Section 10.2(a) of the Facility Lease;

          (iii)   if the Facility Lease is terminated pursuant to Section 13.1
     thereof, unless the Facility Lessee purchases the Facility and
     effectuates an assumption of the applicable Lessor Notes in accordance
     with paragraph (b) of this Section 2.10, on the applicable Termination
     Date provided in Section 13.1 of the Facility Lease; and

          (iv)   if the Facility Lease is terminated pursuant to clause (a) of
     Section 14.1 thereof, on the Obsolescence Termination Date.

Any such redemption shall be made in accordance with the applicable provisions
of Section 3 hereof.

     (b)  Unless a Significant Lease Default or a Lease Event of Default shall
have occurred and be continuing after giving effect to such assumption, the
obligations and liabilities of the Owner Lessor hereunder and under all of the
Lessor Notes may be assumed in whole (but not in part) by the Facility Lessee
in the event of the occurrence of (i) a Regulatory Event of Loss, or (ii) a
termination by the Facility Lessee pursuant to Section 13.1 or 13.2 of the
Facility Lease, where in connection with such termination the Facility Lessee
acquires the Undivided Interest pursuant to an assumption agreement (which
assumption agreement may be combined with the indenture supplemental to this
Indenture hereinafter referred to in this Section 2.10(b), and shall provide
for the assumption by the Facility Lessee of the obligations and liabilities of
the Owner Lessor and the Owner Participant under the Operative Documents
pertaining to the Undivided Interest) which shall make such obligations and
liabilities fully recourse to the Facility Lessee and shall otherwise be in
form and substance acceptable to the Indenture Trustee

                                       17
<PAGE>
and the Owner Lessor. The Facility Lessee will execute and deliver, and the
Indenture Trustee will authenticate, to each Noteholder in exchange for such
old Lessor Note a new Lessor Note, in a principal amount equal to the
outstanding principal amount of such old Lessor Note and otherwise in
substantially similar form and tenor to such old Lessor Note but indicating
that the Facility Lessee is the issuer thereof. When such assumption agreement
becomes effective, the Owner Lessor shall be released and discharged without
further act from all obligations and liabilities assumed by the Facility
Lessee. All documentation in connection with any such assumption (including an
indenture supplemental to this Indenture which shall, among other things,
contain provisions appropriately amending references to the Facility Lease in
this Indenture and contain covenants by the Facility Lessee similar to those
contained in the Facility Lease (other than any covenants which were solely for
the benefit of the Owner Participant), changed as appropriate, and amendments
or supplements to the other Operative Documents, officers' certificates,
opinions of counsel and regulatory approvals) shall be prepared by and at the
expense of the Facility Lessee acceptable in form and substance to the
Indenture Trustee.

     As a condition to the effectiveness of the assumption by the Facility
Lessee and the release of the Owner Lessor and the Indenture Estate thereby
effected:

          (i)   the Indenture Trustee shall have received an Opinion of Counsel
     of the Facility Lessee including, in the case of clause (5) below, a
     nationally recognized outside counsel selected by the Facility Lessee and
     reasonably acceptable to the Noteholders (it being acknowledged and
     agreed that the Facility Lessee's counsel on the Closing Date shall be
     deemed acceptable), addressed to the Indenture Trustee and the
     Noteholders, to the effect that (1) the assumption agreement and each
     other instrument, document or agreement executed and delivered by the
     Facility Lessee in connection with the assumption contemplated by the
     assumption agreement (collectively, the "Assumption Documents") have been
     duly authorized, executed and delivered by the Facility Lessee, (2) each
     Assumption Document and the assumptions contemplated thereby do not
     contravene (x) the Organic Documents of the Facility Lessee, (y) any
     provision of any security issued by the Facility Lessee or of any
     agreement, instrument or other undertaking to which the Facility Lessee
     is a party or by which it or any of its property is bound or (z) any
     Applicable Law, (3) no Governmental Approval is necessary or required in
     connection with any Assumption Document or the assumption contemplated
     thereby (or, if any such Governmental Approval is necessary or required,
     that the same has been duly obtained and is final and in full force and
     effect and any period for the filing of notice of rehearing or
     application for judicial review of the issuance of such Governmental
     Approval has expired

                                       18
<PAGE>
     without any such notice or application having been made), (4) each
     Assumption Document is a legal, valid and binding obligation of the
     Facility Lessee, enforceable in accordance with its terms, (5) such
     assumption agreement and the assumption of the Lessor Notes thereunder
     shall not cause a Tax Event to occur as to any holder of any Lessor Note
     or any Certificateholder and (6) the lien of this Indenture will continue
     to be a first priority perfected lien on the Indenture Estate;

          (ii)   the Facility Lessee shall have provided the Indenture Trustee
     with (x) an indemnity against the risk that such assumption of the Lessor
     Notes will cause a Tax Event to occur as to any holder of any Lessor Note
     or any Certificateholder or (y) an opinion of counsel to the Facility
     Lessee, which opinion of counsel shall be reasonably acceptable to the
     Indenture Trustee, confirming that such assumption shall not cause a
     adverse tax consequence to any holder of any Lessor Note or any
     Certificateholder;

          (iii)    Moody's and S&P shall have confirmed that such assumption
     will not result in a downgrading of the rating on the Certificates;

          (iv)   the Indenture Trustee shall have received copies of all
     Governmental Approvals (if any) referred to in the opinion of counsel
     referred to in clause (i) above; and

          (v)   the Indenture Trustee shall have received UCC lien searches,
     supplemental title reports and such other evidence as may reasonably be
     required by the Indenture Trustee demonstrating that no impairment exists
     or will exist of the first-priority perfected lien and secured interest
     in the Undivided Interest.

     (c)  The Owner Lessor may, at its option, redeem any Additional Lessor
Notes in whole, or in part, on any date to the extent permitted by, and at the
prices set forth in, the supplemental indenture establishing the terms,
conditions and designations of such Additional Lessor Notes, together with the
accrued interest on such principal amount plus the Make Whole Amount, if any,
so redeemed to the date of redemption.

     (d)  The Lessor Notes shall be redeemed, in whole but not in part, as
provided below, at the redemption price equal to the principal amount thereof,
together with accrued and unpaid interest thereon, if any, to the date of
redemption plus the Make-Whole Amount, as follows:

          (i)   All of the Lessor Notes outstanding under this Indenture shall
     be redeemed at such redemption price upon an optional refinancing pursuant
     to

                                       19
<PAGE>
     Section 11.2 of the Participation Agreement. The Owner Lessor's failure to
     consummate such redemption as a result of an event described in this clause
     (i) following delivery of such notice shall not constitute a Lease
     Indenture Event of Default or any other default under the Operative
     Documents.

          (ii)   All of the Lessor Notes outstanding under this Indenture shall
     be redeemed at such redemption price on the Termination Date or
     Obsolescence Termination Date, as applicable, if the Facility Lease is
     terminated as a result of an event described in Section 13.2 or clause (b)
     of Section 14.1 of the Facility Lease. The Owner Lessor's failure to
     consummate such redemption as a result of an event described in this clause
     (ii) following delivery of such notice shall not constitute a Lease
     Indenture Event of Default or any other default under the Operative
     Documents.

          (iii)   The Lessor Notes shall be redeemed at such redemption price
     upon termination of the Facility Lease pursuant to Section 10 thereof as a
     result of the occurrence of an Event of Loss described in clauses (v),
     (vi) or (vii) of the definition of "Event of Loss".

The Make-Whole Amount, if any, payable with respect to the Lessor Notes will be
determined by an investment banking institution of national standing in the
United States (the "Investment Banker") selected by the Facility Lessee or, if
the Owner Lessor or the Indenture Trustee does not receive notice of such
selection at least ten days prior to a scheduled prepayment date or if a Lease
Event of Default under the Facility Lease shall have occurred and be
continuing, selected by the Owner Lessor.

     (e)  If the Owner Lessor elects to redeem Lessor Notes, or Lessor Notes
are otherwise required to be redeemed pursuant to this Section 2.10, the Owner
Lessor shall notify the Indenture Trustee in writing of the date of redemption,
the Section of this Indenture pursuant to which the redemption will occur. The
Owner Lessor shall give each notice to the Indenture Trustee provided for in
this Section 2.10 at least 30 days before the date of redemption unless the
Indenture Trustee consents in writing to a shorter period. Such notice shall be
accompanied by an Officers' Certificate and an opinion of counsel from the
Facility Lessee to the effect that such redemption will comply with the
conditions herein.

     (f)  At least 20 days but not more than 60 days before a date of
redemption, the Indenture Trustee shall deliver notification of such redemption
by first-class mail to each Noteholder to be redeemed at such Noteholder's
registered address; provided, that

                                       20
<PAGE>
no notice shall be required so long as the Pass Through Trustee and the
Indenture Trustee are the same entity. Each such notice shall state:

          (i)   the date of redemption;

          (ii)   the redemption price;

          (iii)   the name and address of the Paying Agent;

          (iv)   that Lessor Notes called for redemption must be surrendered
     to the Paying Agent to collect the redemption price;

          (v)   that, unless the Owner Lessor defaults in making such redemption
     payment, interest on Lessor Notes called for redemption ceases to accrue
     on and after the redemption date; and

          (vi)   the paragraph of this Indenture pursuant to which the Lessor
     Notes called for redemption are being redeemed.

     (h)  With respect to any notice of redemption of the Lessor Notes such
notice shall state that such redemption shall be conditional upon the receipt
by the Indenture Trustee, on or prior to the date fixed for such redemption, of
money sufficient to pay the principal of and Make-Whole Amount, if any, and
interest on such Notes and that, if such money shall not have been so received,
such notice shall be of no force or effect and the Owner Lessor shall not be
required to redeem such Lessor Notes. In the event that such notice of
redemption contains such a condition and such money is not so received, the
redemption shall not be made and, within a reasonable time thereafter, notice
shall be given, in the manner in which the notice of redemption was given, that
such money was not so received and such redemption was not required to be made.

     (i)  Upon surrender to the Paying Agent, such Lessor Notes shall be paid
at the redemption price stated in the notice, plus accrued interest to the date
of redemption. Failure to give notice or any defect in the notice to any
Noteholder shall not affect the validity of the notice to any other Noteholder.

     Section 2.11.   Payment of Expenses on Transfer. Upon the issuance of a new
Lessor Note or Lessor Notes pursuant to Section 2.8 or 2.9 hereof, the Owner
Lessor or the Indenture Trustee may require from the party requesting such new
Lessor Note or Lessor Notes payment of a sum to reimburse the Owner Lessor and
the Indenture Trustee for, or to provide funds for, the payment on an After-Tax
Basis to the Owner Lessor, the

                                       21
<PAGE>
Indenture Trustee and the Owner Participant of any tax or other governmental
charge in connection therewith or any charges and expenses connected with such
tax or governmental charge paid or payable by the Owner Lessor or the Indenture
Trustee.

     Section 2.12.   Additional Lessor Notes.

     (a)  Additional Lessor Notes (each, an "Additional Lessor Note") of the
Owner Lessor may be issued under and secured by this Indenture, at any time or
from time to time, in addition to the Initial Lessor Notes and subject to the
conditions hereinafter provided in this Section 2.12, for cash in the amount
equal to the original principal amount of such Additional Lessor Notes, for the
purpose of (i) providing funds in connection with Supplemental Financing
pursuant to Section 11.1 of the Participation Agreement for the payment of all
or any portion of Modifications to the Facility pursuant to Section 8 of the
Facility Lease, or (ii) redeeming any previously issued Lessor Notes pursuant
to an optional refinancing pursuant to Section 11.2 of the Participation
Agreement and providing funds for the payment of all reasonable costs and
expenses in connection therewith.

     (b)  Before any Additional Lessor Notes shall be issued under the
provisions of this Section 2.12, the Owner Lessor shall have delivered to the
Indenture Trustee, not less than fifteen (15) (unless a shorter period shall be
satisfactory to the Indenture Trustee) days nor more than thirty (30) days
prior to the proposed date of issuance of any Additional Lessor Notes, a
request and authorization to issue such Additional Lessor Notes, which request
and authorization shall include the amount of such Additional Lessor Notes, the
proposed date of issuance thereof and (except in connection with a refinancing
of all of the Lessor Notes pursuant to Section 11.2 of the Participation
Agreement) a certification that terms thereof are not inconsistent with this
Indenture. Additional Lessor Notes shall have a designation so as to
distinguish such Additional Lessor Notes from the Initial Lessor Notes
theretofore issued, but otherwise shall rank pari passu with any Lessor Notes
then outstanding, be entitled to the same benefits and security of this
Indenture as the other Lessor Notes issued pursuant to the terms hereof, be
dated the date of original issuance of such Additional Lessor Notes, bear
interest at such rates as shall be agreed between the Facility Lessee and the
Owner Lessor and indicated in the aforementioned request and authorization, and
shall be stated to be payable by their terms not later than the final maturity
date of the Initial Lessor Notes issued on the closing date. The Additional
Lessor Notes shall not be subject to (i) purchase except as provided in Section
4.4(e) hereof or (ii) redemption or assumption except as provided in Section
2.10 hereof.

                                       22
<PAGE>
     (c)  The terms, conditions and designations of such Additional Lessor
Notes (which shall be consistent with this Indenture), except in the case of a
refinancing of all of the Lessor Notes pursuant to Section 11.2 of the
Participation Agreement) shall be set forth in an indenture supplemental to
this Indenture executed by the Owner Lessor and the Indenture Trustee. Such
Additional Lessor Notes shall be executed as provided in Section 2.3 hereof and
deposited with the Indenture Trustee for authentication, but before such
Additional Lessor Notes shall be authenticated and delivered by the Indenture
Trustee there shall be filed with the Indenture Trustee the following, all of
which shall be dated as of the date of the supplemental indenture:

          (i)   a copy of such supplemental indenture (which shall include the
     form of such Additional Lessor Notes and the certificate of authentication
     in respect thereof);

          (ii)   an Officer's Certificate from the Facility Lessee (1) stating
     that no Significant Lease Default or Lease Event of Default has occurred
     and is continuing under the Facility Lease, (2) stating that the
     conditions in respect of the issuance of such Additional Lessor Notes
     contained in this Section 2.12 have been satisfied, (3) specifying the
     amount of the costs and expenses relating to the issuance and sale of
     such Additional Lessor Notes, (4) stating that payments pursuant to the
     Facility Lease and all supplements thereto of Periodic Rent and
     Termination Value, together with all other amounts payable pursuant to
     the terms of the Facility Lease, are calculated to be sufficient to pay
     when due all of the principal of and interest on the outstanding Lessor
     Notes, after taking into account the issuance of such Additional Lessor
     Notes and any related redemption of Lessor Notes theretofore outstanding
     and (5) all conditions to the Supplemental Financing or refinancing
     contained in Section 11.1 or ll.2 of the Participation Agreement or in
     any other provision of the Operative Documents have been satisfied;

          (iii)   with respect to any Supplemental Financing, an Officer's
     Certificate from the Owner Lessor and an Officer's Certificate from the
     Lessor Manager stating that no Indenture Default under clauses (b)
     through (f) of Section 4.2 hereof or Lease Indenture Event of Default as
     to the Owner Lessor or the Lessor Manager, as the case may be, has
     occurred and is continuing;

          (iv)   such additional documents, certificates and opinions as shall
     be reasonably required by the Indenture Trustee, and as shall be
     reasonably acceptable to the Indenture Trustee;

                                       23
<PAGE>
          (v)   a request and authorization to the Indenture Trustee by the
     Owner Lessor to authenticate and deliver such Additional Lessor Notes to
     or upon the order of the Person or Persons noted in such request at the
     address set forth therein, and in such principal amounts as are stated
     therein, upon payment to the Indenture Trustee, but for the account of
     the Owner Lessor, of the sum or sums specified in such request and
     authorization;

          (vi)   the consent of the Facility Lessee to such request and
     authorization; and

          (vii)   an opinion of counsel to the Owner Lessor who shall be
     reasonably satisfactory to the Indenture Trustee, as to the
     authorization, validity and enforceability of the Additional Lessor Notes
     and that all conditions hereunder to the authentication and delivery of
     such Additional Lessor Notes have been complied with.

     (d)  When the documents referred to in the foregoing clauses (i) through
(vii) above shall have been filed with the Indenture Trustee and when the
Additional Lessor Notes described in the above mentioned request and
authorization shall have been executed and authenticated as required by this
Indenture and the related supplemental indenture, the Indenture Trustee shall
deliver such Additional Lessor Notes in the manner described in clause (v)
above, but only upon payment to the Indenture Trustee of the sum or sums
specified in such request and authorization.

     (e)  This Indenture secures not only existing indebtedness but also
secures, in accordance with Section 29-3-50, as amended, Code of Laws of South
Carolina 1976, all future advances and readvances that may subsequently be made
to the Owner Lessor by the Indenture Trustee, evidenced by the Lessor Notes,
including any Additional Lessor Notes, or other promissory notes, and all
renewals and extensions thereof; provided however, that nothing contained
herein shall create an obligation on the part of the Indenture Trustee to make
future advances or readvances to the Owner Lessor, the maximum amount of all
indebtedness outstanding at any one time secured hereby not to exceed Two
Hundred Fifty Two Million Two Hundred Thousand Dollars ($252,200,000), plus
interest thereon (whether deferred, accrued, or capitalized), all charges and
expenses of collection incurred by the holder of this Indenture, including
court costs and reasonable attorney's fees, or pursuant to promissory notes or
other instruments evidencing such future advances which may be hereafter
executed and delivered by Owner Lessor to Indenture Trustee. In the event that
any notice described in Section 29-3-50 is properly filed and served on the
Indenture Trustee as set forth

                                       24
<PAGE>
therein, any commitment, agreement, or obligation to make future advances to or
for the benefit of Owner Lessor shall immediately terminate.

     Section 2.13.   Restrictions of Transfer Resulting from Federal Securities
Laws; Legend. Each Lessor Note shall be delivered to the initial Noteholder
thereof without registration of such Lessor Note under the Securities Act and
without qualification of this Indenture under the Trust Indenture Act of 1939,
as amended. Prior to any transfer of any such Lessor Note, in whole or in part,
to any Person, the Noteholder thereof shall furnish to the Facility Lessee, the
Indenture Trustee and the Owner Lessor an opinion of counsel, which opinion and
which counsel shall be reasonably satisfactory to the Indenture Trustee, the
Owner Lessor and the Facility Lessee, to the effect that such transfer will not
violate the registration provisions of the Securities Act or require
qualification of this Indenture under the Trust Indenture Act of 1939, as
amended, and all Lessor Notes issued hereunder shall be endorsed with a legend
which shall read substantially as follows:

                  THIS NOTE HAS NOT BEEN REGISTERED UNDER THE
               SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED,
               SOLD OR OFFERED FOR SALE IN VIOLATION OF SUCH ACT.

     Section 2.14.   Security for and Parity of Lessor Notes. All Lessor Notes
issued and outstanding hereunder shall rank on a parity with each other and
shall as to each other be secured equally and ratably by this Indenture,
without preference, priority or distinction of any thereof over any other by
reason of difference in time of issuance or otherwise.

     Section 2.15.   Acceptance of the Indenture Trustee. Each Noteholder, by
its acceptance of a Lessor Note, shall be deemed to have consented to the
appointment of the Indenture Trustee.

                                  SECTION 3.
                     RECEIPT, DISTRIBUTION AND APPLICATION
                        OF INCOME FROM INDENTURE ESTATE

     Section 3.1.   Distribution of Periodic Rent.

     (a)  Periodic Rent Distribution. Except as otherwise provided in Section
3.1(c), 3.2, 3.3 or 3.7 of this Indenture, each installment of Periodic Rent
and any payment of Supplemental Rent constituting interest on overdue
installments of Periodic

                                       25
<PAGE>
Rent received by the Indenture Trustee shall be distributed by the Indenture
Trustee in the following order of priority:

     First, so much of such amounts as shall be required to pay in full the
     aggregate principal and accrued interest (as well as any interest on
     overdue principal and, to the extent permitted by Applicable Law, on
     overdue interest) then due and payable under the Lessor Notes shall be
     distributed to the Noteholders ratably, without priority of any
     Noteholder over any other Noteholder, in the proportion that the amount
     of such payment then due and payable under each such Lessor Note bears to
     the aggregate amount of the payments then due and payable under all such
     Lessor Notes; and

     Second, the balance, if any, of such amounts remaining shall be
     distributed to the Owner Lessor for distribution by it in accordance with
     the terms of the LLC Agreement.

     (b)  Application of Other Amounts Held by the Indenture Trustee upon Rent
Default. If, as a result of any failure by the Facility Lessee to pay Periodic
Rent in full on any date when an installment of Periodic Rent is due, there
shall not have been distributed on any date (or within any applicable period of
grace) pursuant to Section 3.1(a) hereof the full amount then distributable
pursuant to clause "First" of Section 3.1(a) of this Indenture, the Indenture
Trustee shall distribute other payments of the character referred to in
Sections 3.5 and 3.6 hereof then held by it, or thereafter received by it, to
all Noteholders to the extent necessary to enable it to make all the
distributions then due pursuant to such clause "First." To the extent the
Indenture Trustee thereafter receives the deficiency in Periodic Rent, the
amount so received shall, unless a Significant Lease Default or Lease Indenture
Event of Default shall have occurred and be continuing, be applied to restore
the amounts held by the Indenture Trustee under Section 3.5 or 3.6 hereof and
distributed pursuant to this Section 3.1(b), as the case may be. The portion of
each such payment made to the Indenture Trustee which is to be distributed by
the Indenture Trustee in payment of Lessor Notes shall be applied in accordance
with Section 2.7 hereof. Any payment received by the Indenture Trustee pursuant
to Section 4.3 hereof as a result of payment by the Owner Lessor of principal
or interest or both (as well as any interest on overdue principal and, to the
extent permitted by Applicable Law, on overdue interest) then due on all Lessor
Notes shall be distributed to the Noteholders, ratably, without priority of one
over the other, in the proportion that the amount of such payment or payments
then due and unpaid on all Lessor Notes held by each such Noteholder bears to
the aggregate amount of the payments then due and unpaid on all Lessor Notes
outstanding; and the Owner Lessor shall (to the extent of such payment made by
it) be subrogated to the rights of the

                                       26
<PAGE>
Noteholders under this Section 3.1 to receive the payment of Periodic Rent or
Supplemental Rent with respect to which its payment under Sections 4.3(a) and
(b) hereof relates, and the payment of interest on account of such Periodic
Rent or Supplemental Rent being overdue, to the extent provided in and subject
to the provisions of Section 4.3(a) and (b) hereof.

     (c)  Retention of Amounts by the Indenture Trustee. If at the time of
receipt by the Indenture Trustee of an installment of Periodic Rent (whether or
not then overdue) or of payment of interest on any overdue installment of
Periodic Rent, there shall have occurred and be continuing a Lease Indenture
Event of Default, the Indenture Trustee shall retain such installment of
Periodic Rent or payment of interest (to the extent not then required to be
distributed pursuant to clause "First" of Section 3.1(a)) as part of the
Indenture Estate and shall not distribute any such payment of Periodic Rent or
interest pursuant to clause "Second" of Section 3.1(a) until such time as such
Lease Indenture Event of Default shall be cured or waived or until such time as
the Indenture Trustee shall have received written instructions from a Majority
in Interest of Noteholders to make such a distribution; provided that such
amounts must be returned to the Owner Lessor within six (6) months from the
receipt thereof by the Indenture Trustee unless (i) the Indenture Trustee has
declared the unpaid principal of all Lessor Notes due and payable (or such
amounts shall have automatically become due and payable), pursuant to Section
4.2(a) and the Indenture Trustee is diligently pursuing any dispossessary
remedies available under Section 4.3 hereof (unless such remedies are stayed or
prevented by operation of law) or (ii) any other Lease Indenture Event of
Default shall have occurred during the intervening period and be continuing, in
which case, such six-month period will be restarted from the date such other
Lease Indenture Event of Default shall have occurred. Upon the cure or waiver
of such Lease Indenture Event of Default, withheld Periodic Rent shall, subject
to clause (ii) of the immediately preceding sentence, be distributed to the
Owner Lessor (to the extent that all payments to be distributed pursuant to
clause "First" of Section 3.1(a) have been made), and no further withholding of
Periodic Rent on account of such Lease Indenture Event of Default shall be
effected.

     Section 3.2.   Payments Following Event of Loss or Other Early Termination.
Any payment received by the Indenture Trustee as a result of (x) an Event of
Loss (other than a Regulatory Event of Loss in respect of which the Facility
Lessee shall, pursuant to Section 2.10(b) hereof, assume the obligations and
liabilities of the Owner Lessor hereunder, in which event only clauses "First"
and "Fourth" below shall be applicable), (y) early termination of the Facility
Lease pursuant to Section 13 thereof (other than a termination in respect of
which the Facility Lessee shall, pursuant to Section 2.10(b) hereof assume the
obligations and liabilities of the Owner Lessor hereunder, in which event only
clauses "First" and "Fourth" below shall be applicable), or (z) any early

                                       27
<PAGE>
termination of the Facility Lease, in whole or in part, pursuant to Section 14
thereof, shall be distributed on the applicable date of redemption to the
extent of available funds, in the following order of priority:

     First, so much of such payments and amounts as shall be required to
     reimburse the Indenture Trustee for any unpaid fees for its services
     under this Indenture and any expense (including any legal fees and
     disbursements) or loss incurred by it (to the extent incurred in
     connection with its duties as the Indenture Trustee and to the extent
     reimbursable and not previously reimbursed) shall be distributed to the
     Indenture Trustee for application to itself;

     Second, so much of such payments or amounts as shall be required to pay
     in full the applicable redemption price (as described in Section 2.10(a)
     or 2.10(d) hereof or any supplemental indenture hereto) (including,
     interest on overdue principal and, to the extent permitted by Applicable
     Law, overdue interest) upon all of the Lessor Notes which shall be
     distributed to the holders of such Lessor Notes, in each case ratably,
     without priority of any Noteholder over any other, in the proportion that
     the aggregate unpaid principal amount of all such Lessor Notes held by
     each such holder, plus the Make-Whole Amount, if any, and accrued but
     unpaid interest thereon to the scheduled date of distribution to the
     Noteholders bears to the aggregate unpaid principal amount of all such
     Lessor Notes held by all such holders, together with the Make-Whole
     Amount, if any, plus accrued but unpaid interest thereon to the date of
     scheduled distribution to the Noteholders;

     Third, so much of such payments and amounts as shall be required to pay
     the then existing or prior Noteholders all other amounts then payable and
     unpaid to them as holders of the Lessor Notes which this Indenture by its
     terms secures shall be distributed to such existing or prior holders of
     Lessor Notes, ratably to each such holder, without priority of any such
     holder over any other, in the proportion that the amount of such payments
     or amounts to which each such holder is so entitled bears to the
     aggregate amount of such payments and amounts to which all such holders
     are so entitled; and

     Fourth, the balance, if any, of such payment remaining shall be
     distributed to the Owner Lessor for distribution in accordance with the
     LLC Agreement.

     Section 3.3.   Payments After Lease Indenture Event of Default. All
payments received and all amounts held or realized by the Indenture Trustee
after a Lease Indenture Event of Default shall have occurred and be continuing
(including any amounts realized by the Indenture Trustee from the exercise of
any remedies pursuant to Section 17 of the

                                       28
<PAGE>
Facility Lease or from the application of Section 4.3 hereof) and after either
(a) the Indenture Trustee has declared the Facility Lease to be in default
pursuant to Section 17 thereof or (b) the entire principal amount of Lessor
Notes shall have been declared or shall automatically have become due and
payable, together with all payments or amounts then held or thereafter received
by the Indenture Trustee hereunder, shall, so long as such declaration shall
not have been rescinded, be distributed forthwith by the Indenture Trustee in
the following order of priority:

     First, so much of such payments and amounts as shall be required to
     reimburse the Indenture Trustee for any unpaid fees for its services
     under this Indenture and any expense (including any legal fees and
     disbursements) or loss incurred by it (to the extent incurred in
     connection with its duties as the Indenture Trustee and to the extent
     reimbursable and not previously reimbursed) shall be distributed to the
     Indenture Trustee for application to itself;

     Second, so much of such payments or amounts as shall be required to pay
     the aggregate unpaid principal amount of all Lessor Notes then
     outstanding and all accrued but unpaid interest on such Lessor Notes to
     the date of such distribution (including interest on overdue principal
     and, to the extent permitted by Applicable Law, overdue interest) shall
     be distributed to the holders of such Lessor Notes, in each case ratably,
     without priority of any Noteholder over any other, in the proportion that
     the aggregate unpaid principal amount of all such Lessor Notes held by
     each such holder and accrued but unpaid interest thereon to the scheduled
     date of distribution to the Noteholders bears to the aggregate unpaid
     principal amount of all such Lessor Notes held by all such holders and
     accrued but unpaid interest thereon to the date of scheduled distribution
     to the Noteholders;

     Third, so much of such payments and amounts as shall be required to pay
     the then existing or prior Noteholders all other amounts then payable and
     unpaid to them as holders of the Lessor Notes which this Indenture by its
     terms secures, including the Make-Whole Amount, if any, required to be
     paid pursuant to Section 2.10(d) hereof, in respect of such Lessor Notes
     required to be paid pursuant to Section 4.3(a) hereof, shall be
     distributed to such existing or prior holders of Lessor Notes, ratably to
     each such holder, without priority of any such holder over any other, in
     the proportion that the amount of such payments or amounts to which each
     such holder is so entitled bears to the aggregate amount of such payments
     and amounts to which all such holders are so entitled; and

                                       29
<PAGE>
     Fourth, the balance, if any, of such payments and amounts remaining shall
     be distributed to the Owner Lessor for distribution by it in accordance
     with the terms of the LLC Agreement.

     Section 3.4.   Investment of Certain Payments Held by the Indenture
Trustee. Upon the written direction and at the risk and expense of the Owner
Lessor, the Indenture Trustee shall invest and reinvest any moneys held by the
Indenture Trustee pursuant to Section 3.1(c), 3.5 or 3.6 hereof in such
Permitted Investments as may be specified in such direction. The proceeds
received upon the sale or at maturity of any Permitted Investment and any
interest received on such Permitted Investment and any payment in respect of a
deficiency contemplated by the following sentence shall be held as part of the
Indenture Estate and applied by the Indenture Trustee in the same manner as the
moneys used to buy such Permitted Investment, and any Permitted Investment may
be sold (without regard to maturity date) by the Indenture Trustee whenever
necessary to make any payment or distribution required by this Section 3. If
the proceeds received upon the sale or at maturity of any Permitted Investment
(including interest received on such Permitted Investment) shall be less than
the cost thereof (including accrued interest), the Owner Lessor will pay or
cause to be paid to the Indenture Trustee an amount equal to such deficiency.

     Section 3.5.   Application of Certain Other Payments. Except as otherwise
provided in Section 3.1(b) or 3.1(c) hereof, any payment received by the
Indenture Trustee for which provision as to the application thereof is made in
an Operative Document, but not elsewhere in this Indenture (including payments
received by the Indenture Trustee under the Calpine Guaranty), shall, unless a
Lease Indenture Event of Default shall have occurred and be continuing, be
applied forthwith to the purpose for which such payment was made in accordance
with the terms of such Operative Document. If at the time of the receipt by the
Indenture Trustee of any payment referred to in the preceding sentence there
shall have occurred and be continuing a Lease Indenture Event of Default, the
Indenture Trustee shall hold such payment as part of the Indenture Estate, but
the Indenture Trustee shall, except as otherwise provided in Section 3.1(b) or
3.1(c) hereof, cease to hold such payment and shall apply such payment to the
purpose for which it was made in accordance with the terms of such Operative
Document if and whenever there is no longer continuing any Lease Indenture
Event of Default; provided, however, that any such payment received by the
Indenture Trustee which is payable to the Facility Lessee shall not be held by
the Indenture Trustee unless a Significant Lease Default or Lease Event of
Default shall have occurred and be continuing.

                                       30
<PAGE>
     Section 3.6.   Other Payments. Except as otherwise provided in Section 3.5
hereof:

     (a)  any payment received by the Indenture Trustee for which no provision
as to the application thereof is made in the Participation Agreement, the
Facility Lease or elsewhere in this Section 3; and

     (b)  all payments received and amounts realized by the Indenture Trustee
with respect to the Indenture Estate (including all amounts realized after the
termination of the Facility Lease), to the extent received or realized at any
time after payment in full of the principal of and, Make-Whole Amount, if any,
and interest on all Lessor Notes then outstanding and all other amounts due the
Indenture Trustee or the Noteholders, as well as any other amounts remaining as
part of the Indenture Estate after such payment in full of the principal of,
Make-Whole Amount, if any, and interest on all Lessor Notes outstanding;
     shall be distributed forthwith by the Indenture Trustee in the order of
priority set forth in Section 3.3 hereof, omitting clause "Third" thereof.

     Section 3.7.   Excepted Payments. Notwithstanding any other provision of
this Indenture including this Section 3 or any provision of any of the
Operative Documents to the contrary, any Excepted Payments received or held by
the Indenture Trustee at any time shall promptly be paid or distributed by the
Indenture Trustee to the Person or Persons entitled thereto.

     Section 3.8.   Distributions to the Owner Lessor. Unless otherwise directed
in writing by the Owner Lessor, all amounts from time to time distributable by
the Indenture Trustee to the Owner Lessor in accordance with the provisions
hereof shall be paid by the Indenture Trustee in immediately available funds to
the Owner Participant's Account. Any amounts payable to the Trust Company in
its individual capacity shall be paid to the Trust Company.

     Section 3.9.   Payments Under Assigned Documents. Notwithstanding anything
to the contrary contained in this Indenture, until the discharge and
satisfaction of the Lien of this Indenture, all payments due or to become due
under any Assigned Document to the Owner Lessor (except so much of such
payments as constitute Excepted Payments) shall be made directly to the
Indenture Trustee's Account and the Owner Lessor shall give all notices as
shall be required under the Assigned Documents to direct payment of all such
amounts to the Indenture Trustee hereunder. The Owner Lessor agrees that if it
should receive any such payments directed to be made to the Indenture Trustee
or any proceeds for or with respect to the Indenture Estate or as the result of
the sale or other

                                       31
<PAGE>
disposition thereof or otherwise constituting a part of the Indenture Estate to
which the Owner Lessor is not entitled hereunder, it will promptly forward such
payments to the Indenture Trustee or in accordance with the Indenture Trustee's
instructions. The Indenture Trustee agrees to apply payments from time to time
received by it (from the Facility Lessee, the Owner Lessor or otherwise) with
respect to the Facility Lease, any other Assigned Document or the Facility in
the manner provided in Section 2.7 hereof, and this Section 3.

     Section 3.10.   Disbursement of Amounts Received by the Indenture Trustee.
Subject to the last sentence of this Section 3.10 and Section 3.2, amounts to
be distributed by the Indenture Trustee pursuant to this Section 3 shall be
distributed on the date such amounts are actually received by the Indenture
Trustee. Notwithstanding anything to the contrary contained in this Section 3,
in the event the Indenture Trustee shall be required or directed to make a
payment under this Section 3 on the same date on which such payment is
received, any amounts received by the Indenture Trustee after 12:00 noon, New
York City time, or on a day other than a Business Day, may be distributed on
the next succeeding Business Day.

     Section 3.11   Establishment of the Indenture Trustee's Account; and Lien
and Security Interest; Etc.

     (a)   The Account Bank hereby confirms that it has established a securities
account entitled the "Indenture Trustee's Account" (the "Indenture Trustee's
Account"), which Indenture Trustee's Account shall be maintained by the Account
Bank until the date this Indenture is terminated pursuant to Section 7.1
hereof. The account number of the Indenture Trustee's Account established
hereunder is specified in Schedule II hereto. The Indenture Trustee's Account
shall not be evidenced by passbooks or similar writings. This Indenture governs
and shall be the only agreement governing the Indenture Trustee's Account.

     (b)  All amounts from time to time held in the Indenture Trustee's Account
shall be maintained (i) in the name of the Owner Lessor subject to the lien and
security interest of the Indenture Trustee for the benefit of the Indenture
Trustee and each of the Noteholders as set forth herein and (ii) in the custody
of the Account Bank for and on behalf of the Indenture Trustee for the benefit
of the Indenture Trustee and each of the Noteholders for the purposes and on
the terms set forth in this Indenture. All such amounts shall constitute a part
of the Indenture Trustee Account Collateral and shall not constitute payment of
any Indebtedness or any other obligation of the Owner Lessor until applied as
hereinafter provided.

                                       32
<PAGE>
     (c)  As collateral security for the prompt payment in full when due of the
Lessor Secured Obligations owed to the Indenture Trustee and each Noteholder,
the Owner Lessor hereby pledges, assigns, hypothecates and transfers to the
Indenture Trustee for the benefit of the Indenture Trustee and each of the
Noteholders, and hereby grants to the Indenture Trustee for the benefit of the
Indenture Trustee and each of the Noteholders, a lien on and security interest
in and to, (i) the Indenture Trustee's Account and any successor account
thereto and (ii) all cash, investments, investment property, securities or
other property at any time on deposit in or credited to the Indenture Trustee's
Account, including all income or gain earned thereon and any proceeds thereof
(the "Indenture Trustee Account Collateral").

     Section 3.12   The Account Bank; Limited Rights of the Owner Lessor

     (a)  The Account Bank.

          (i)   Establishment of Securities Account. The Account Bank hereby
     agrees and confirms that (A) the Account Bank has established the
     Indenture Trustee's Account as set forth in Section 3.11, (B) the
     Indenture Trustee's Account is and will be maintained as a "securities
     account" (within the meaning of Section 8-501(a) of the UCC), (C) the
     Owner Lessor is the "entitlement holder" (within the meaning of Section
     8-102(a)(7) of the UCC) in respect of the "financial assets" (within the
     meaning of Section 8-102(a)(9) of the UCC) credited to the Indenture
     Trustee's Account, (D) all property delivered to the Account Bank
     pursuant to this Indenture or any other Operative Document will be held
     by the Account Bank and promptly credited to the Indenture Trustee's
     Account by an appropriate entry in its records in accordance with this
     Indenture, (E) all "financial assets" (within the meaning of Section
     8-102(a)(9) of the UCC) in registered form or payable to or to the order
     of and credited to the Indenture Trustee's Account shall be registered in
     the name of, payable to or to the order of, or indorsed to, the Account
     Bank or in blank, or credited to another securities account maintained in
     the name of the Account Bank, and in no case will any financial asset
     credited to the Indenture Trustee's Account be registered in the name of,
     payable to or to the order of, or indorsed to, the Owner Lessor except to
     the extent the foregoing have been subsequently indorsed by the Owner
     Lessor to the Account Bank or in blank, (F) the Account Bank shall not
     change the name or account number of the Indenture Trustee's Account
     without the prior written consent of the Indenture Trustee, (G) the
     Account Bank is acting and shall at all times act as and perform all of
     the duties of the "securities intermediary," within the meaning of
     Article 8 of the UCC, with respect to the Indenture Trustee's Account and
     the financial assets credited thereto and (H) the Account Bank shall

                                       33
<PAGE>
     not enter into any other agreement governing, or with respect to, the
     Indenture Trustee's Account without the prior written consent of the
     Indenture Trustee.

          (ii)   Financial Assets Election. The Account Bank agrees that each
     item of property (including any security, instrument or obligation,
     share, participation, interest, cash or cash equivalents or other
     property whatsoever) credited to the Indenture Trustee's Account shall be
     treated as a "financial asset" within the meaning of Section 8-l02(a)(9)
     of the UCC.

          (iii)   Entitlement Orders. Notwithstanding anything in this Indenture
     to the contrary, if at any time the Account Bank shall receive any
     "entitlement order" (within the meaning of Section 8-102(a)(8) of the
     UCC) or any other order from the Indenture Trustee directing the transfer
     or redemption of any financial asset relating to the Indenture Trustee's
     Account or with respect to any "security entitlements" (within the
     meaning of Section 8-102(a)(17) of the UCC) carried or to be carried in
     the Indenture Trustee's Account, the Account Bank shall comply with such
     entitlement order or other order without further consent by the Owner
     Lessor or any other Person. The parties hereto hereby agree that the
     Indenture Trustee shall have "control" (within the meaning of Section
     8-106(d) of the UCC) of (A) the Indenture Trustee's Account, (B) all
     security entitlements carried or to be carried in the Indenture Trustee's
     Account and (C) the Owner Lessor's security entitlements respect to the
     financial assets credited to the Indenture Trustee's Account and the
     Owner Lessor hereby disclaims any entitlement to claim "control" of such
     "security entitlements". Unless a Lease Indenture Event of Default shall
     have occurred and is continuing, the Indenture Trustee shall not deliver
     any entitlement order directing the transfer or redemption of any
     financial asset relating to the Indenture Trustee's Account.

          (iv)   Subordination of Lien; Waiver of Set-Off. In the event that the
     Account Bank has or subsequently obtains by agreement, operation of law
     or otherwise a lien or security interest in the Indenture Trustee's
     Account or any security entitlement credited thereto, the Account Bank
     agrees that such lien or security interest shall be subordinate to the
     lien and security interest of the Indenture Trustee for the benefit of
     the Indenture Trustee and each Noteholder. The financial assets standing
     to the credit of the Indenture Trustee's Account will not be subject to
     deduction, set-off, banker's lien, or any other right in favor of any
     Person other than the Indenture Trustee for the benefit of the Indenture
     Trustee and each Noteholder (except for the face amount of any checks
     which have been credited to the Indenture Trustee's Account but are
     subsequently returned unpaid because of uncollected or insufficient
     funds).

                                       34
<PAGE>
          (v)   No Other Agreements. The Account Bank and the Owner Lessor have
     not entered into any agreement governing or with respect to the Indenture
     Trustee's Account or any financial assets credited to the Indenture
     Trustee's Account other than this Indenture. The Account Bank has not
     entered into any agreement with the Owner Lessor or any other Person
     purporting to limit or condition the obligation of the Account Bank to
     comply with entitlement orders originated by the Indenture Trustee in
     accordance with Section 3.12(a)(iii) hereof. In the event of any conflict
     between this Section 3.12 or any other agreement now existing or
     hereafter entered into, the terms of this Section 3.12 shall prevail.

          (vi)   Notice of Adverse Claims. Except for the claims and interest of
     the Indenture Trustee for the benefit of the Indenture Trustee and each
     Noteholder and the Owner Lessor in the Indenture Trustee's Account, the
     Account Bank does not know of any claim to, or interest in, the Indenture
     Trustee's Account or in any financial asset credited thereto. If any
     Person asserts any lien, encumbrance or adverse claim (including any
     writ, garnishment, judgment, warrant of attachment, execution or similar
     process) against the Indenture Trustee's Account or in any financial
     asset credited thereto, the Account Bank will promptly notify the
     Indenture Trustee and the Owner Lessor in writing thereof.

          (vii)   Rights and Powers of the Indenture Trustee. The rights and
     powers granted by the Indenture Trustee to the Account Bank have been
     granted in order to perfect its lien and security interests in the
     Indenture Trustee's Account, are powers coupled with an interest and will
     neither be affected by the bankruptcy of the Owner Lessor nor the lapse of
     time.

     (b)  Limited Rights of the Owner Lessor. The Owner Lessor shall not have
any rights against or to monies held in the Indenture Trustee's Account, as
third party beneficiary or otherwise, or any right to direct the Account Bank
or the Indenture Trustee to apply or transfer monies in the Indenture Trustee's
Account, except the right to receive or make requisitions of monies held in the
Indenture Trustee's Account, as expressly provided in this Indenture, and to
direct the investment of monies held in the Indenture Trustee's Account as
expressly provided in Section 3.7 hereof. Except as expressly provided in this
Indenture, in no event shall any amounts or Permitted Investments deposited in
or credited to the Indenture Trustee's Account be registered in the name of the
Owner Lessor, payable to the order of the Owner Lessor or specially indorsed to
the Owner Lessor except to the extent that the foregoing have been specially
indorsed to the Indenture Trustee or in blank.

                                       35
<PAGE>
                                   SECTION 4.
                      COVENANTS OF OWNER LESSOR; DEFAULTS;
                          REMEDIES OF INDENTURE TRUSTEE

     Section 4.1.   Covenants of Owner Lessor.  The Owner Lessor hereby
covenants and agrees as follows:

     (a)  the Owner Lessor will duly and punctually pay the principal of,
Make-Whole Amount, if any, and interest on and other amounts due under the
Lessor Notes and hereunder in accordance with the terms of the Lessor Notes and
this Indenture and all amounts payable by it to the Noteholders under the
Participation Agreement; and

     (b)  the Owner Lessor will not, except as provided in this Indenture
(including Sections 4.4, 5.6, 8.1 and 8.2) and except as to Excepted Payments
(i) enter into any agreement amending, modifying or supplementing any of the
Assigned Documents, or exercise any election or option, or make any decision or
determination, or give any notice, consent, waiver or approval, or take any
other action, under or in respect of any Assigned Document, (ii) accept and
retain any payment from, or settle or compromise any claim arising under, any
of the Assigned Documents, except that it may forward any payment to the
Indenture Trustee in accordance with Section 3.9, (iii) give any notice or
exercise any right or take any action under any of the Assigned Documents, or
(iv) submit or consent to the submission of any dispute, difference or other
matter arising under or in respect of any of the Assigned Documents to
arbitration thereunder.

     Section 4.2.   Lease Indenture Events of Default. Subject to Section 4.4
hereof, the term "Lease Indenture Event of Default," wherever used herein,
shall mean any of the following events (whatever the reason for such Lease
Indenture Event of Default and whether it shall be voluntary or involuntary or
come about or be effected by operation of law or pursuant to or in compliance
with any judgment, decree or order of any court or any order, rule or
regulation of any administrative or governmental body):

     (a)  any Lease Event of Default (other than the failure of the Facility
Lessee to pay any amount which shall constitute an Excepted Payment unless the
Facility Lessee has been declared in default pursuant to Section 17 thereof by
the Owner Lessor and the Indenture Trustee has consented to such event
constituting a Lease Indenture Event of Default pursuant to Section 4.3(e)
hereof) and other than a Lease Event of Default in consequence of the Facility
Lessee's failure to maintain the insurance required by Section 11 of the
Facility Lease if, and so long as, (i) such Lease Event of Default is

                                       36
<PAGE>
waived by the Owner Lessor and the Owner Participant and (ii) the insurance
maintained by the Facility Lessee still constitutes Prudent Industry Practice);
or

     (b)  the Owner Lessor shall fail to make any payment in respect of the
principal of, or Make-Whole Amount, if any, or interest on, or any scheduled
fees due and payable under or with respect to any Lessor Note within five
Business Days after the same shall have become due or any other amounts due and
payable under or with respect to any Lessor Note within ten Business Days after
the Owner Lessor receives notice that such amount is due and payable; or

     (c)  the Owner Lessor shall fail to perform or observe any covenant,
obligation or agreement to be performed or observed by it under this Indenture
(other than any covenant, obligation or agreement contained in clause (b) of
this Section 4.2), the Owner Lessor or the Lessor Manager shall fail to perform
or observe any covenant, obligation or agreement to be performed by it under
Section 6 of the Participation Agreement, the Owner Participant shall fail to
perform or observe any covenant, obligation or agreement to be performed by it
under Section 7 of the Participation Agreement, or the OP Guarantor shall fail
to perform or observe any covenant, obligation or agreement to be performed by
it under the OP Guaranty in each case, in any material respect, which failure
shall continue unremedied for 30 days after receipt by such party of written
notice thereof; provided, however, that if such condition cannot be remedied
within such 30-day period, then the period within which to remedy such
condition shall be extended up to 180 days, so long as such party diligently
pursues such remedy and such condition is reasonably capable of being remedied
within such extended period;

     (d)  any representation or warranty made by the Lessor Manager or the Owner
Lessor in Section 3.2 or 3.3 of the Participation Agreement or in the
certificate delivered by the Lessor Manager or the Owner Lessor at the Closing
pursuant to Section 4.6 of the Participation Agreement or any representation or
warranty made by the Owner Participant in Section 3.4 of the Participation
Agreement (other than Section 3.4(i)) or the certificate delivered by the Owner
Participant at the Closing pursuant to Section 4.6 of the Participation
Agreement, or any representation or warranty made by the OP Guarantor (provided
the OP Guaranty shall not have been terminated or released) under the OP
Guaranty or in the certificate delivered by such OP Guarantor at the Closing
pursuant to Section 4.6 of the Participation Agreement, shall prove to have
been incorrect in any material respect when made and continues to be material
and unremedied for a period of 30 days after receipt by such party of written
notice thereof; provided, however, that if such condition cannot be remedied
within such 30-day period, then the period within which to remedy such
condition shall be extended up to an additional 120 days,

                                       37
<PAGE>
so long as such party diligently pursues such remedy and such condition is
reasonably capable of being remedied within such extended period;

     (e)  the Owner Participant, the Owner Lessor or the OP Guarantor (provided
the OP Guaranty shall not have been terminated or released) shall (i) commence
a voluntary case or other proceeding seeking relief under Title 11 of the
Bankruptcy Code or liquidation, reorganization or other relief with respect to
itself or its debts under any bankruptcy, insolvency or other similar law now
or hereafter in effect, or apply for or consent to the appointment of a
trustee, receiver, liquidator, custodian or other similar official of it or any
substantial part of its property, or (ii) consent to, or fail to controvert in
a timely manner, any such relief or the appointment of or taking possession by
any such official in any voluntary case or other proceeding commenced against
it, or (iii) file an answer admitting the material allegations of a petition
filed against it in any such proceeding; or (iv) make a general assignment for
the benefit of creditors; or (v) become unable, admit in writing its inability
or fail generally to pay its debts as they become due; or (vi) take corporate
action for the purpose of effecting any of the foregoing; or

     (f)  an involuntary case or other proceeding shall be commenced against the
Owner Participant, the Owner Lessor or the OP Guarantor (provided the OP
Guaranty shall not have been terminated or released) seeking (i) liquidation,
reorganization or other relief with respect to it or its debts under Title 11
of the Bankruptcy Code or any bankruptcy, insolvency or other similar law now
or hereafter in effect, or (ii) the appointment of a trustee, receiver,
liquidator, custodian or other similar official with respect to it or any
substantial part of its property or (iii) the winding-up or liquidation of the
Owner Lessor; and such involuntary case or other proceeding shall remain
undismissed and unstayed for a period of 60 days.

     Section 4.3.   Remedies of the Indenture Trustee.

     (a)  In the event that a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee in its discretion may, or
upon receipt of written instructions from a Majority in Interest of Noteholders
shall declare, by written notice to the Owner Lessor and the Owner Participant,
the unpaid principal amount of all Lessor Notes, with accrued interest thereon,
to be immediately due and payable, upon which declaration such principal amount
and such accrued interest shall immediately become due and payable (except in
the case of a Lease Indenture Event of Default under Section 4.2(e) or (f),
such principal and interest shall automatically become due and payable
immediately without any such declaration or notice) without further act or
notice of any kind. If any Make-Whole amount is due and payable pursuant to
Section 2.10 (c)

                                       38
<PAGE>
or (d) at the time of any such acceleration, such Make-Whole
Amount shall also be due and payable in connection with such acceleration.

     (b)  If a Lease Indenture Event of Default shall have occurred and be
continuing, then and in every such case, the Indenture Trustee, as assignee
under the Facility Lease or hereunder or otherwise, may, and where required
pursuant to the provisions of Section 5 hereof shall, upon written notice to
the Owner Lessor, exercise any or all of the rights and powers and pursue any
or all of the remedies pursuant to this Section 4 and, in the event such Lease
Indenture Event of Default shall be a Lease Event of Default, any and all of
the remedies provided pursuant to this Section 4 and Section 17 of the Facility
Lease and, subject to Section 4.4, may take possession of all or any part of
the Indenture Estate and may exclude therefrom the Owner Participant, the Owner
Lessor and, in the event such Lease Indenture Event of Default shall be a Lease
Event of Default, the Facility Lessee and all persons claiming under them, and
may exercise all remedies available to a secured party under the Uniform
Commercial Code or any other provision of Applicable Law. The Indenture Trustee
may proceed to enforce the rights of the Indenture Trustee and of the
Noteholders by directing payment to it of all moneys payable under any
agreement or undertaking constituting a part of the Indenture Estate, by
proceedings in any court of competent jurisdiction to recover damages for the
breach hereof or for the appointment of a receiver or for sale of all or any
part of the Property Interest or for foreclosure of the Property Interest,
together with the Owner Lessor's interest in the Assigned Documents, and by any
other action, suit, remedy or proceeding authorized or permitted by this
Indenture, at law or in equity, or whether for the specific performance of any
agreement contained herein, or for an injunction against the violation of any
of the terms hereof, or in aid of the exercise of any power granted hereby or
by law, and in addition may foreclose upon, sell, assign, transfer and deliver,
from time to time to the extent permitted by Applicable Law, all or any part of
the Indenture Estate or any interest therein, at any private sale or public
auction with or without demand, advertisement or notice (except as herein
required or as may be required by law) of the date, time and place of sale and
any adjournment thereof, for cash or credit or other property, for immediate or
future delivery and for such price or prices and on such terms as the Indenture
Trustee, in its unfettered discretion, may determine, or as may be required by
law, so long as the Owner Participant and the Owner Lessor are afforded a
commercially reasonable opportunity to bid for all or such part of the
Indenture Estate in connection therewith unless Section 4.7 shall otherwise be
applicable; provided that 20 days shall be deemed to be a commercially
reasonable opportunity to bid for purposes of this Section 4.3(b). The
Indenture Trustee may file such proofs of claim and other papers or documents
as may be necessary or advisable in order to have the claims of the Indenture
Trustee and of the Noteholders asserted or upheld in any bankruptcy,
receivership or other judicial proceedings.

                                       39
<PAGE>
     (c)  All rights of action and rights to assert claims under this Indenture
or under any of the Lessor Notes may be enforced by the Indenture Trustee
without the possession of the Lessor Notes at any trial or other proceedings
instituted by the Indenture Trustee, and any such trial or other proceedings
shall be brought in its own name as mortgagee of an express trust, and any
recovery or judgment shall be for the ratable benefit of the Noteholders as
herein provided. In any proceedings brought by the Indenture Trustee (and also
any proceedings involving the interpretation of any provision of this
Indenture), the Indenture Trustee shall be held to represent all the
Noteholders, and it shall not be necessary to make any such Persons parties to
such proceedings.

     (d)  Anything herein to the contrary notwithstanding, neither the Indenture
Trustee nor any Noteholder shall at any time, including at any time when a
Lease Indenture Event of Default shall have occurred and be continuing and
there shall have occurred and be continuing a Lease Event of Default, be
entitled to exercise any remedy under or in respect of this Indenture which
could or would divest the Owner Lessor of title to, or its ownership interest
in, any portion of the Indenture Estate unless, in the case of a Lease
Indenture Event of Default as a consequence of a Lease Event of Default under
Section 16 of the Facility Lease, the Indenture Trustee shall have, to the
extent it is then entitled to do so hereunder and is not then stayed or
otherwise prevented from doing so by operation of law, commenced the exercise
of one or more remedies under the Facility Lease intending to dispossess the
Facility Lessee of its leasehold interest in the Undivided Interest and is
using good faith efforts in the exercise of such remedies (and not merely
asserting a right or claim to do so); provided that during any period that the
Indenture Trustee is stayed or otherwise prevented by operation of law from
exercising such remedies, the Indenture Trustee will not divest the Owner
Lessor of title to any portion of the Indenture Estate until the earlier of (a)
the expiration of the 180-day period following the date of commencement of a
stay or other prevention or (b) the date of repossession of the Facility under
the applicable Facility Lease.

     (e)  Any provisions of the Facility Lease or this Indenture to the contrary
notwithstanding, if the Facility Lessee shall fail to pay any Excepted Payment
to any Person entitled thereto as and when due, such Person shall have the
right at all times, to the exclusion of the Indenture Trustee, to demand,
collect, sue for, enforce performance of obligations relating to, or otherwise
obtain all amounts due in respect of such Excepted Payment or to declare a
Lease Event of Default under Section 16 of the Facility Lease solely to enforce
such obligations in respect of any Excepted Payments (provided that any such
declaration shall not be deemed to constitute a Lease Indenture Event of
Default hereunder without the consent of the Indenture Trustee).

                                       40
<PAGE>
     Section 4.4.   Right to Cure Certain Lease Events of Default.

     (a)  If the Facility Lessee shall fail to make any payment of Periodic Rent
due on any Rent Payment Date when the same shall have become due, and if such
failure of the Facility Lessee to make such payment of Periodic Rent shall not
constitute the fourth consecutive such failure or the eighth cumulative failure
of the Facility Lessee, then the Owner Lessor may (but need not) pay to the
Indenture Trustee, at any time prior to the expiration of ten (10) Business
Days after the Owner Lessor and the Owner Participant shall have received
notice from the Indenture Trustee or have Actual Knowledge of the failure of
the Facility Lessee to make such payment of Periodic Rent, an amount equal to
the principal of, Make-Whole Amount, if any, and interest on the Lessor Notes,
then due (otherwise than by declaration of acceleration) on such Rent Payment
Date, together with any interest due thereon on account of the delayed payment
thereof, and such payment by the Owner Lessor shall be deemed (for purposes of
this Indenture) to have cured any Lease Indenture Event of Default which arose
or would have arisen from such failure of the Facility Lessee.

     (b)  If the Facility Lessee shall fail to make any payment of Supplemental
Rent when the same shall become due or otherwise fail to perform any obligation
under the Facility Lease or any other Operative Document, then the Owner Lessor
may (but need not) make such payment on the date such Supplemental Rent was
payable, together with any interest due thereon on account of the delayed
payment thereof, or perform such obligation at any time prior to the expiration
of ten (10) Business Days after the Owner Lessor or the Owner Participant shall
have received notice or have Actual Knowledge of the occurrence of such
failure, and such payment or performance by the Owner Lessor shall be deemed to
have cured any Lease Indenture Event of Default which arose or would have
arisen from such failure of the Facility Lessee.

     (c)  The Owner Lessor, upon exercising its rights under paragraph (a) or
(b) of this Section 4.4 to cure the Facility Lessee's failure to pay Periodic
Rent or Supplemental Rent or to perform any other obligation under the Facility
Lease or any other Operative Document, shall not obtain any Lien on any part of
the Indenture Estate on account of such payment or performance nor, except as
expressly provided in the next sentence, pursue any claims against the Facility
Lessee or any other party, for the repayment thereof if such claims would
impair the prior right and security interest of the Indenture Trustee in and to
the Indenture Estate. Upon such payment or performance by the Owner Lessor, the
Owner Lessor shall (to the extent of such payment made by it and the costs and
expenses incurred in connection with such payments and performance thereof
together with interest thereon and so long as no event which would, with the
passing of time or giving of notice or both, become a Lease Indenture Event of
Default

                                       41
<PAGE>
under Section 4.2(b), (e) or (f), or any Lease Indenture Event of Default
hereunder shall have occurred and be continuing) be subrogated to the rights of
the Indenture Trustee and the Noteholders to receive the payment of Periodic
Rent or Supplemental Rent, as the case may be, with respect to which the Owner
Lessor made such payment and interest on account of such Periodic Rent payment
or Supplemental Rent payment being overdue in the manner set forth in the next
two sentences. If the Indenture Trustee shall thereafter receive such payment
of Periodic Rent, Supplemental Rent or such interest, the Indenture Trustee
shall, notwithstanding the requirements of Section 3.1 hereof, forthwith, remit
such payment of Periodic Rent or Supplemental Rent, as the case may be (to the
extent of the payment made by the Owner Lessor pursuant to this Section 4.4)
and such interest to the Owner Lessor in reimbursement for the funds so
advanced by it, provided that if (A) any event which, with the passing of time
or giving of notice or both, would become a Lease Indenture Event of Default
under Section 4.2(b), (e) or (f) hereof, or any Lease Indenture Event of
Default hereunder shall have occurred and be continuing or (B) any payment of
principal, interest, or Make-Whole Amount, if any, on any Lessor Note then
shall be overdue, such payment shall not be remitted to the Owner Lessor but
shall be held by the Indenture Trustee as security for the obligations secured
hereby and distributed in accordance with Section 3.1 hereof. The Owner Lessor
shall not attempt to recover any amount paid by it on behalf of the Facility
Lessee pursuant to this Section 4.4 except by demanding of the Facility Lessee
payment of such amount or by commencing an action against the Facility Lessee
for the payment of such amount, and except where a Lease Indenture Event of
Default (other than a Lease Event of Default) has occurred and is continuing,
the Owner Lessor shall be entitled to receive the amount of such payment and
the costs and expenses incurred in connection with such payments and
performance thereof together with interest thereon from the Facility Lessee
(but neither the Owner Lessor nor the Owner Participant shall have any right to
collect such amounts by exercise of any of the remedies under Section 17 of the
Facility Lease) or, if paid by the Facility Lessee to the Indenture Trustee,
from the Indenture Trustee to the extent of funds actually received by the
Indenture Trustee.

     (d)  Until the expiration of the period during which the Owner Lessor or
the Owner Participant shall be entitled to exercise rights under paragraph (a)
or (b) of this Section 4.4 with respect to any failure by the Facility Lessee
referred to therein, neither the Indenture Trustee nor any Noteholder shall
take or commence any action it would otherwise be entitled to take or commence
as a result of such failure by the Facility Lessee, whether under this Section
4 or Section 17 of the Facility Leases or otherwise.

     (e)  Each Noteholder agrees, by acceptance thereof, that if (i) (x) a Lease
Indenture Event of Default, which also constitutes a Lease Event of Default,
shall have occurred and be continuing for a period of at least 90 days without
the Lessor Notes

                                       42
<PAGE>
having been accelerated or the Indenture Trustee having exercised any remedy
under the Facility Lease intended to dispossess the Facility Lessee of the
Facility, (y) the Lessor Notes have been accelerated pursuant to Section 4.3(a)
and such acceleration has not theretofore been rescinded, or (z) an Enforcement
Notice giving notice of the intent of the Indenture Trustee to dispossess the
Facility Lessee of the Facility under the Facility Lease has been given
pursuant to Section 5.1 within the previous 30 days, (ii) no Lease Indenture
Event of Default of the nature described in any of clauses (b) through (f) of
Section 4.2 hereof shall have occurred and be continuing and (iii) the Owner
Lessor shall give written notice to the Indenture Trustee of the Owner Lessor's
intention to purchase all of the Lessor Notes in accordance with this
paragraph, then, upon receipt within 10 Business Days after such notice from
the Owner Lessor of an amount equal to the sum of (x) the aggregate unpaid
principal amount of any unpaid Lessor Notes then held by the Noteholders,
together with accrued but unpaid interest thereon to the date of such receipt
(as well as any interest on overdue principal and, to the extent permitted by
Applicable Law, overdue interest), plus (y) the aggregate amount, if any, of
all sums which, if Section 3.3 were then applicable, such Noteholder would be
entitled to be paid before any payments were to be made to the Owner Lessor but
excluding any Make-Whole Amount, such Noteholder will forthwith (and upon its
receipt of the payment referred to in clause (1) below, will be deemed to)
sell, assign, transfer and convey to the Owner Lessor (without recourse or
warranty of any kind other than of title to the Lessor Notes so conveyed) all
of the right, title and interest of such Noteholder in and to the Indenture
Estate, this Indenture, all Lessor Notes held by such Noteholder and the
Assigned Documents, and the Owner Lessor shall thereupon assume all such
Noteholder's rights and obligations in such documents; provided, that no such
holder shall be required to so convey unless (1) the Owner Lessor shall have
simultaneously tendered payment on all other Lessor Notes issued by the Owner
Lessor at the time outstanding pursuant to this paragraph and (2) such
conveyance is not in violation of any Applicable Law.  All charges and expenses
required to be paid in connection with the issuance of any new Lessor Note or
Lessor Notes in connection with this paragraph shall be borne by the Owner
Lessor.  Notwithstanding the foregoing, the Owner Lessor may exercise the right
set forth in this clause (e) prior to the end of the 90 day period set forth
above but, in such case, the Make-Whole Amount, if any, shall also be payable.

     Section 4.5.   Rescission of Acceleration. If at any time after the
outstanding principal amount of the Lessor Notes shall have become due and
payable by acceleration pursuant to Section 4.3 hereof, (a) all amounts of
principal, Make-Whole Amount, if any, and interest which are then due and
payable in respect of all the Lessor Notes other than pursuant to Section 4.3
hereof shall have been paid in full, together with interest on all such overdue
principal and (to the extent permitted by Applicable Law) overdue interest at
the rate or rates specified in the Lessor Notes, and an amount sufficient to
cover all

                                       43
<PAGE>
costs and expenses of collection incurred by or on behalf of the holders of the
Lessor Notes (including counsel fees and expenses and all expenses and
reasonable compensation of the Indenture Trustee) and (b) every other Lease
Indenture Event of Default shall have been remedied, then a Majority in
Interest of Noteholders may, by written notice or notices to the Owner Lessor,
the Indenture Trustee and the Facility Lessee, rescind and annul such
acceleration and any related declaration of default under the Facility Lease
and their respective consequences, but no such rescission and annulment shall
extend to or affect any subsequent Lease Indenture Event of Default or impair
any right consequent thereon, and no such rescission and annulment shall
require any Noteholder to repay any principal or interest actually paid as a
result of such acceleration.

     Section 4.6.   Return of Indenture Estate, Etc.

     (a)  If at any time the Indenture Trustee has the right to take possession
of the Indenture Estate pursuant to Section 4.3 hereof, at the request of the
Indenture Trustee, the Owner Lessor promptly shall (i) execute and deliver to
the Indenture Trustee such instruments of title and other documents and (ii)
make all such demands and give all such notices as are permitted by the terms
of the Facility Lease to be made or given by the Owner Lessor upon the
occurrence and continuance of a Lease Event of Default, in each case as the
Indenture Trustee may deem necessary or advisable to enable the Indenture
Trustee or an agent or representative designated by the Indenture Trustee, at
such time or times and place or places as the Indenture Trustee may specify, to
obtain possession of all or any part of the Indenture Estate the possession of
which the Indenture Trustee shall at the time be entitled to hereunder. If the
Owner Lessor shall for any reason fail to execute and deliver such instruments
and documents after such request by the Indenture Trustee, the Indenture
Trustee may (i) obtain a judgment conferring on the Indenture Trustee the right
to immediate possession and requiring the Owner Lessor to execute and deliver
such instruments and documents to the Indenture Trustee, to the entry of which
judgment the Owner Lessor hereby specifically consents, and (ii) pursue all or
any part of the Indenture Estate wherever it may be found and enter any of the
premises wherever all or part of the Indenture Estate may be or is supposed to
be and search for all or part of the Indenture Estate and take possession of
and remove all or part of the Indenture Estate.

     (b)  Upon every such taking of possession, the Indenture Trustee may, from
time to time, as a charge against proceeds of the Indenture Estate, make all
such expenditures with respect to the Indenture Estate as it may deem proper.
In each such case, the Indenture Trustee shall have the right to deal with the
Indenture Estate and to carry on the business and exercise all rights and
powers of the Owner Lessor relating to the Indenture Estate, as the Indenture
Trustee shall deem best, and, the Indenture Trustee

                                       44
<PAGE>
shall be entitled to collect and receive all rents (including Periodic Rent and
Supplemental Rent), revenues, issues, income, products and profits of the
Indenture Estate and every part thereof (without prejudice to the right of the
Indenture Trustee under any provision of this Indenture to collect and receive
cash held by, or required to be deposited with, the Indenture Trustee
hereunder) and to apply the same to the management of or otherwise dealing with
the Indenture Estate and of conducting the business thereof, and of all
expenditures with respect to the Indenture Estate and the making of all
payments which the Indenture Trustee may be required or may elect to make, if
any, for taxes, assessments, insurance or other proper charges upon the
Indenture Estate or any part thereof (including the employment of engineers and
accountants to examine, inspect and make reports upon the properties and books
and records of the Owner Lessor and the Facility Lessee relating to the
Indenture Estate and the Operative Documents), or under any provision of, this
Indenture, as well as just and reasonable compensation for the services of the
Indenture Trustee and of all Persons properly engaged and employed by the
Indenture Trustee.

     Section 4.7.   Power of Sale and Other Remedies. In addition to all other
remedies provided for herein if a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee shall, subject to Sections
4.3 and 4.4, have the right to foreclose this Indenture and to have a judicial
sale of the Indenture Estate or any part of the Indenture Estate as the
Indenture Trustee shall determine, in its sole discretion, with any such
sale(s) to be under the judgment or decree of a court of competent
jurisdiction. Further, if a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee may, in addition to and not
in abrogation of other rights and remedies provided in this Section, proceed by
a suit or suits in law or in equity or by any other appropriate proceeding or
remedy (i) to enforce payment of the Lessor Notes or the performance of any
term, covenant, condition or agreement of this Indenture or any other right,
and (ii) to pursue any other remedy available to it, all as the Indenture
Trustee shall determine most effectual for such purposes. Upon any foreclosure
sale, the Indenture Trustee may bid for and purchase the Indenture Estate and
shall be entitled to apply all or any part of the Secured Indebtedness as a
credit to the purchase price. In the event of a foreclosure sale of the
Indenture Estate, the proceeds of said sale shall be applied as provided in
Section 3.3 hereof. In the event of any such foreclosure sale by the Indenture
Trustee, the Owner Lessor shall be deemed a tenant holding over and shall
forthwith deliver possession to the purchaser or purchasers at such sale or be
summarily dispossessed according to provisions of law applicable to tenants
holding over. The Indenture Trustee, at the Indenture Trustee's option, is
authorized to foreclose this Indenture subject to the rights of any tenants of
the Indenture Estate, and the failure to make any such tenants parties to any
such foreclosure proceedings and to foreclose their

                                       45
<PAGE>
rights will not be, nor be asserted to be by the Owner Lessor, a defense to any
proceedings instituted by the Indenture Trustee to collect the Secured
Indebtedness.

     Section 4.8.   Appointment of Receiver. If the outstanding principal amount
of the Lessor Notes shall have been declared due and payable pursuant to
Section 4.3 hereof, as a matter of right, the Indenture Trustee shall be
entitled to the appointment of a receiver (who may be the Indenture Trustee or
any successor or nominee thereof) for all or any part of the Indenture Estate,
whether such receivership be incidental to a proposed sale of the Indenture
Estate or the taking of possession thereof or otherwise, and the Owner Lessor
hereby consents to the appointment of such a receiver and will not oppose any
such appointment. Any receiver appointed for all or any part of the Indenture
Estate shall be entitled to exercise all the rights and powers with respect to
the Indenture Estate to the extent instructed to do so by the Indenture Trustee.

     Section 4.9.   Remedies Cumulative. Each and every right, power and remedy
herein specifically given to the Indenture Trustee or otherwise in this
Indenture shall be cumulative and shall be in addition to every other right,
power and remedy herein specifically given or now or hereafter existing at law,
in equity or by statute, and each and every right, power and remedy whether
specifically herein given or otherwise existing may be exercised from time to
time and as often and in such order as may be deemed expedient by the Indenture
Trustee, and the exercise or the beginning of the exercise of any right, power
or remedy shall not be construed to be a waiver of the right to exercise at the
same time or thereafter any other right, power or remedy. No delay or omission
by the Indenture Trustee in the exercise of any right, remedy or power or in
the pursuance of any remedy shall impair any such right, power or remedy or be
construed to be a waiver of any default on the part of the Owner Participant,
the Owner Lessor or the Facility Lessee or to be an acquiescence therein.

     Section 4.10.   Waiver of Various Rights by the Owner Lessor. Except as
otherwise set forth herein, to the maximum extent permitted by Applicable Law,
the Owner Lessor waives the benefit of all laws now existing or that may
subsequently be enacted provided for (i) any appraisement before sale of any
portion of the Indenture Estate, (ii) any extension of the time for the
enforcement of the collection of the Secured Indebtedness or the creation or
extension of a period of redemption from any sale made in collecting such debt,
(iii) exemption of the Indenture Estate from attachment, levy or sale under
execution or exemption from civil process and (iv) any requirement that the
Indenture Estate be sole in separate lots, trusts or parcels. Except as
otherwise set forth herein, to the full extent the Owner Lessor may do so, the
Owner Lessor agrees that it will not at any time insist upon, plead, claim or
take the benefit or advantage of any law not or hereafter in force provided for
any appraisement, valuation, stay exemption,

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<PAGE>
extension or redemption, reinstatement or requiring foreclosure of this
Indenture before exercising any other remedy granted hereunder and the Owner
Lessor, for itself and its successors and assigns, and for any and all Persons
ever claiming any interest in the Indenture Estate, to the maximum extent
permitted by law, hereby waives and releases all rights of redemption,
reinstatement, valuation, appraisement, stay of execution, notice of election
to mature or declare due the whole of the Secured Indebtedness and marshaling
in the event of foreclosure on the Liens hereby created.

     Section 4.11.   Discontinuance of Proceedings. In case the Indenture
Trustee or any Noteholder shall have proceeded to enforce any right, power or
remedy under this Indenture by foreclosure, entry or otherwise, and such
proceedings shall have been discontinued or abandoned for any reason or shall
have been determined adversely to the Indenture Trustee or the Noteholder, then
and in every such case the Owner Lessor, the Indenture Trustee and the Facility
Lessee shall be restored to their former positions and rights hereunder with
respect to the Indenture Estate, and all rights, remedies and powers of the
Indenture Trustee or the Noteholder shall continue as if no such proceedings
had taken place.

     Section 4.12.   No Action Contrary to the Facility Lessee's Rights Under
the Facility Lease. Notwithstanding any other provision of any of the Operative
Documents, so long as no Lease Event of Default under the Facility Lease shall
have been declared (or deemed to have been declared), the Indenture Trustee and
the Noteholders shall be subject to the Facility Lessee's rights under the
Facility Lease, and neither the Indenture Trustee nor any Noteholders shall
take or cause to be taken any action contrary to the right of the Facility
Lessee, including its rights to quiet use and possession of the Facility.

     Section 4.13.   Right of the Indenture Trustee to Perform Covenants, Etc.
If the Owner Lessor shall fail to make any payment or perform any act required
to be made or performed by it hereunder or under the Assigned Documents, or if
the Owner Lessor shall fail to release any Lien affecting the Indenture Estate
which it is required to release by the terms of this Indenture or the
Participation Agreement or the LLC Agreement, the Indenture Trustee, without
notice to or demand upon the Owner Lessor and without waiving or releasing any
obligation or defaults may (but shall be under no obligation to, and, except as
provided in the last sentence hereof, shall incur no liability in connection
therewith) at any time thereafter make such payment or perform such act for the
account and at the expense of the Indenture Estate and may take all such action
with respect thereto (including entering upon the Facility Site or any part
thereof, or the Facility for such purpose) as may be necessary or appropriate
therefor. No such entry shall be deemed an eviction. All sums so paid by the
Indenture Trustee and all costs and expenses (including legal fees and
expenses) so incurred, together with interest thereon

                                       47
<PAGE>
from the date of payment or incurrence, shall constitute additional
indebtedness secured by this Indenture and shall be paid from the Indenture
Estate to the Indenture Trustee on demand.  The Indenture Trustee shall not be
liable for any damages resulting from any such payment or action unless such
damages shall be a consequence of willful misconduct or gross negligence on the
part of the Indenture Trustee.

     Section 4.14.   Further Assurances. The Owner Lessor covenants and agrees
from time to time to do all such acts and execute all such instruments of
further assurance as shall be reasonably requested by the Indenture Trustee for
the purpose of fully carrying out and effectuating this Indenture and the
intent hereof.

     Section 4.15.   Waiver of Past Defaults. Any past Lease Indenture Event of
Default and its consequences may be waived by the Indenture Trustee or a
Majority in Interest of Noteholders, except a Lease Indenture Event of Default
(i) in the payment of the principal of, Make-Whole Amount, if any, and or
interest on any Lessor Note, subject to the provisions of Sections 5.1 and 8.1
hereof, or (ii) in respect of a covenant or provision hereof which, under
Section 8.1 hereof, cannot be modified or amended without the consent of each
Noteholder. Upon any such waiver and subject to the terms of such waiver, such
Lease Indenture Event of Default shall cease to exist, and any other Lease
Indenture Event of Default arising therefrom shall be deemed to have been
cured, for every purpose of this Indenture; but no such waiver shall extend to
any subsequent or other Lease Indenture Event of Default or impair any right
consequent thereon.

                                   SECTION 5.
                          DUTIES OF INDENTURE TRUSTEE;
                    CERTAIN RIGHTS AND DUTIES OF OWNER LESSOR

     Section 5.1.   Notice of Action Upon Lease Indenture Event of Default. The
Indenture Trustee shall give prompt written notice to the Owner Lessor and the
Owner Participant of any Lease Indenture Event of Default with respect to which
the Indenture Trustee has Actual Knowledge and will give the Facility Lessee
and the Owner Participant not less than 30 days' prior written notice of the
date on or after which the Indenture Trustee intends to exercise remedies under
Section 4.3 (an "Enforcement Notice"), which notice may be given
contemporaneously with any notice contemplated by Section 4.3(a) or 4.3(b). The
Indenture Trustee shall take such action, or refrain from taking such action,
as the Majority in Interest of Noteholders shall instruct in writing.

     Section 5.2.   Actions Upon Instructions Generally. Subject to the terms of
Sections 5.4, 5.5 and 5.6 hereof, upon written instructions at any time and
from time to

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<PAGE>
time of a Majority in Interest of Noteholders, the Indenture Trustee shall take
such action, or refrain from taking such action, including any of the following
actions as may be specified in such instructions: (a) give such notice,
direction or consent or exercise such right, remedy or power or take such
action hereunder or under any Assigned Document, or in respect of any part of
or all the Indenture Estate, as it shall be entitled to take and as shall be
specified in such instructions; (b) take such action with respect to or to
preserve or protect the Indenture Estate (including the discharge of Liens) as
it shall be entitled to take and as shall be specified in such instructions;
and (c) waive, consent to, approve (as satisfactory to it) or disapprove all
matters required by the terms of any Operative Document to be satisfactory to
the Indenture Trustee. The Indenture Trustee may, and upon written instructions
from a Majority in Interest of Noteholders, the Indenture Trustee shall,
execute and file or cause to be executed and filed any financing statement (and
any continuation statement with respect to such financing statement) or any
similar instrument or document relating to the security interest or the
assignment created by this Indenture or granted by the Owner Lessor herein as
may be necessary to protect and preserve the security interest or assignment
created by or granted pursuant to this Indenture, to the extent otherwise
entitled to do so and as shall be specified in such instructions.

     Section 5.3.   Action Upon Payment of Lessor Notes or Termination of
Facility Lease. Subject to the terms of Section 5.4 hereof, upon payment in
full of the principal of and interest on all Lessor Notes then outstanding and
all other amounts then due all Noteholders hereunder, and all other sums
secured hereby or otherwise required to be paid hereunder, under the
Participation Agreement and under the Facility Lease, the Indenture Trustee
shall execute and deliver to, or as directed in writing by, the Owner Lessor
and the Facility Lessee an appropriate instrument in due form for recording,
releasing the Indenture Estate from the Lien of this Indenture. Nothing in this
Section 5.3 shall be deemed to expand the instances in which the Owner Lessor
is entitled to prepay the Lessor Notes.

     Section 5.4.   Compensation of the Indenture Trustee; Indemnification.

     (a)  The Owner Lessor will from time to time, on demand, pay to the
Indenture Trustee such compensation for its services hereunder as shall be
agreed to by the Owner Lessor and the Indenture Trustee, or, in the absence of
agreement, reasonable compensation for such services (which compensation shall
include reasonable fees and expenses of its outside counsel and shall not be
limited by any provision of law in regard to the compensation of a trustee of
an express trust), and the Indenture Trustee agrees that it shall have no right
against the Noteholders or, except as provided in Section 3 and

                                       49
<PAGE>
Section 4.3 hereof or this Section 5, the Indenture Estate, for any fee as
compensation for its services hereunder.

     (b)  The Indenture Trustee shall not be required to take any action or
refrain from taking any action under Section 4, 5.2 or 9.1 hereof unless it and
any of its directors, officers, employees or agents shall have been indemnified
in manner and form satisfactory to the Indenture Trustee. The Indenture Trustee
shall not be required to take any action under Section 4 or Section 5.2, 5.3 or
9.1 hereof, nor shall any other provision of this Indenture be deemed to impose
a duty on the Indenture Trustee to take any action, if it shall have been
advised by counsel (who shall not be an employee of the Indenture Trustee) that
such action is contrary to the terms hereof or is otherwise contrary to
Applicable Law or (unless it shall have been indemnified in manner and form
satisfactory to the Indenture Trustee) may result in personal liability to the
Indenture Trustee.

     Section 5.5.   No Duties Except as Specified; No Action Except Under
Facility Lease, Indenture or Instructions.

     (a)  The Indenture Trustee shall not have any duty or obligation to manage,
control, use, sell, dispose of or otherwise deal with any part of the Indenture
Estate or otherwise take or refrain from taking any action under or in
connection with this Indenture or the other Assigned Documents except as
expressly provided by the terms of this Indenture or as expressly provided in
written instructions from a Majority in Interest of Noteholders in accordance
with Section 5.2 hereof; and no implied duties or obligations shall be read
into this Indenture against the Indenture Trustee.

     (b)  The Indenture Trustee shall not manage, control, use, sell, dispose of
or otherwise deal with any part of the Indenture Estate except (a) as required
by the terms of the Facility Lease, to the extent applicable to the Indenture
Trustee as assignee of the Owner Lessor, (b) in accordance with the powers
granted to, or the authority conferred upon, the Indenture Trustee pursuant to
this Indenture or in accordance with the express terms hereof or with written
instructions from a Majority in Interest of Noteholders in accordance with
Section 5.2 hereof.

     Section 5.6.   Certain Rights of the Owner Lessor.  Notwithstanding any
other provision of this Indenture or any provision of any Operative Document to
the contrary, and in addition to any rights conferred on the Owner Lessor
hereby:

         (a)  The Owner Lessor shall at all times, to the exclusion of the
Indenture Trustee, (i) retain all rights to demand and receive payment of, and
to commence an action for payment of, Excepted Payments but the Owner Lessor
shall have no remedy

                                       50
<PAGE>
or right with respect to any such payment against the Indenture Estate nor any
right to collect any such payment by the exercise of any of the remedies under
Section 17 of the Facility Lease except as expressly provided in this Section
5.6; (ii) retain all rights with respect to insurance that Section 11 of the
Facility Lease and Schedule 5.31 of the Participation Agreement specifically
confers upon the Owner Lessor and to waive any failure by the Facility Lessee
to maintain the insurance required by Section 11 of the Facility Lease before
or after the fact so long as the insurance maintained by the Facility Lessee
still conforms to Prudent Industry Practice; (iii) retain all rights to adjust
Periodic Rent and Termination Value as provided in Section 3.4 of the Facility
Lease, Section 12 of the Participation Agreement or the Tax Indemnity
Agreement; provided, however, that after giving effect to any such adjustment
(x) the amount of Periodic Rent payable on each Rent Payment Date shall be at
least equal to the aggregate amount of all principal and accrued interest
payable on such Rent Payment Date on all Lessor Notes then outstanding and (y)
Termination Value shall in no event be less (when added to all other amounts
required to be paid by the Facility Lessee in respect of any early termination
of the Facility Lease) than an amount sufficient, as of the date of payment, to
pay in full the principal of, and interest on all Lessor Notes outstanding on
and as of such date of payment; (iv) except in connection with the exercise of
remedies pursuant to the Facility Lease, retain all rights to exercise the
Owner Lessor's rights relating to the Appraisal Procedure and to confer and
agree with the Facility Lessee on Fair Market Rental Value, or any Renewal
Lease Term; and (v) retain the right to declare the Facility Lease to be in
default with respect to any Excepted Payment pursuant to Section 17 of the
Facility Lease.

     (b)  The Owner Lessor shall have the right, together with or independently
of the Indenture Trustee, (i) to receive from the Facility Lessee and the
Guarantor all notices, certificates, reports, filings, opinions of counsel and
other documents and all information that the Facility Lessee is permitted or
required to give or furnish to the Owner Lessor or the Owner Participant, as
the case may be, pursuant to the Facility Lease or any other Operative
Document; (ii) to inspect the Facility and the records relating thereto
pursuant to Section 12 of the Facility Lease; (iii) to provide such insurance
as may be permitted by Section 11 of the Facility Lease; (iv) to provide
notices to the Facility Lessee or the Guarantor to the extent otherwise
permitted by the Operative Documents; and (v) to perform for the Facility
Lessee as provided in Section 20 of the Facility Lease.

     (c)  So long as the Lessor Notes have not been accelerated pursuant to
Section 4.3(a) hereof (or, if accelerated, such acceleration has theretofore
been rescinded) or the Indenture Trustee shall not have exercised any of its
rights pursuant to Section 4 hereof to take possession of, foreclose, sell or
otherwise take control of all or any part of

                                       51
<PAGE>
the Indenture Estate, the Owner Lessor shall retain the right to the exclusion
of the Indenture Trustee to exercise the rights of the Owner Lessor under, and
to determine compliance by the Facility Lessee with, the provisions of Sections
10 (other than Section 10.3 thereof), 13, 14 and 15 of the Facility Lease;
provided, however, that if a Lease Indenture Event of Default shall have
occurred and be continuing, the Owner Lessor shall cease to retain such rights
upon notice from the Indenture Trustee stating that such rights shall no longer
be retained by the Owner Lessor;

     (d)  Except as expressly provided in this Section 5.6, so long as the
Lessor Notes have not been accelerated pursuant to Section 4.3(a) hereof (or,
if accelerated, such acceleration has theretofore been rescinded) or the
Indenture Trustee shall not have exercised any of its rights pursuant to
Section 4 hereof to take possession of, foreclose, sell or otherwise take
control of all or any part of the Indenture Estate, the Owner Lessor shall have
the right, to be exercised jointly with the Indenture Trustee, (i) to exercise
the rights with respect to the Facility Lessee's use and operation,
modification or maintenance of the Undivided Interest, (ii) to exercise the
Owner Lessor's right under Section 13.1 of the Participation Agreement to
withhold or grant its consent to an assignment by the Facility Lessee of its
rights under the Facility Lease, and (iii) to exercise the rights of the Owner
Lessor under Section 10.3 of the Facility Lease; provided, however, that if a
Lease Indenture Event of Default shall have occurred and be continuing, the
Owner Lessor shall cease to exercise such rights under this clause (iii) upon
notice from the Indenture Trustee stating that such rights shall no longer be
retained by the Owner Lessor; provided further, however, that (A) the Owner
Lessor shall have no right to receive any Periodic Rent or other payments other
than Excepted Payments payable to the Owner Lessor, or the Owner Participant
and (B) no determination by the Owner Lessor or the Indenture Trustee that the
Facility Lessee is in compliance with the provisions of any applicable Assigned
Document shall be binding upon or otherwise affect the rights hereunder of the
Indenture Trustee or any Noteholder on the one hand or the Owner Lessor or the
Owner Participant on the other hand;

     (e)  So long as the Lessor Notes have not been accelerated pursuant to
Section 4.3(a) hereof and the Indenture Trustee shall not have exercised any of
its rights pursuant to Section 4 hereof to take possession of, foreclose, sell
or otherwise take control of all or any part of the Indenture Estate, the Owner
Lessor shall have the right, together with the Indenture Trustee and to the
extent permitted by the Operative Documents and Applicable Law, to seek
specific performance of the covenants of the Facility Lessee under the
Operative Documents relating to the protection, insurance, maintenance,
possession, use and return of the Property Interest, the performance by the
Facility Lessee of the Owner Lessor's obligations under the FILOT Lease and the
exercise of any renewal or extension rights with respect to the FILOT Lease and
to make the determinations and

                                       52
<PAGE>
take the actions contemplated by Section 14 of the Participation Agreement
(subject to the satisfaction of the conditions set forth in Section 14 of the
Participation Agreement) including, without limitation, the Owner Lessor's
right to direct that title to the Land (to the extent of the Owner Lessor's
Percentage Interest) be conferred from the County to the Facility Lessee; and

     (f)  Nothing in this Indenture shall give to, or create in, or otherwise
provide the benefit of to, the Indenture Trustee, any rights of the Owner
Participant under or pursuant to the Tax Indemnity Agreement or any other
Operative Document and nothing in this Section 5.6 or elsewhere in this
Indenture shall give to the Owner Lessor the right to exercise any rights
specifically given to the Indenture Trustee pursuant to any Operative Document;
and nothing in this Indenture shall give to, or create in, the Indenture
Trustee the right to, and the Indenture Trustee shall not, release the
Guarantor of its obligations under the Calpine Guaranty in respect of payment
of the Equity Portion of Termination Value, unpaid amounts of the Equity
Portion of Periodic Rent (and all amounts of overdue interest relating to such
amount) and other amounts constituting Excepted Payments, unless such release
results in payment in full to the Owner Lessor of all such unpaid amounts as
certified to the Indenture Trustee by the Owner Lessor, and all claims of the
Noteholders;

but nothing in clauses (a) through (f) above shall deprive the Indenture Trustee
of the exclusive right, so long as this Indenture shall be in effect, to declare
the Facility Lease to be in default under Section 16 thereof and thereafter to
exercise the remedies pursuant to Section 17 of the Facility Lease (except as
expressly set forth in the proviso of Section 5.6(b)).

     Section 5.7.   Restrictions on Dealing with Indenture Estate. Except as
provided in the Operative Documents, but subject to the terms of this
Indenture, the Owner Lessor shall not use, operate, store, lease, control,
manage, sell, dispose of or otherwise deal with the Facility, the Facility
Site, any part of the Facility Site or any other part of the Indenture Estate.

     Section 5.8.   Filing of Financing Statements and Continuation Statements.
Pursuant to Section 5.10 of the Participation Agreement, the Facility Lessee
has covenanted to maintain the priority of the Lien of this Indenture on the
Indenture Estate. The Indenture Trustee shall, at the written request and
expense of the Facility Lessee, as provided in the Participation Agreement,
execute and deliver to the Facility Lessee and the Facility Lessee will file,
if not already filed, such financing statements or other documents and such
continuation statements or other documents with respect to financing statements
or other documents previously filed relating to the Lien created by

                                       53
<PAGE>
this Indenture in the Indenture Estate as may be supplied to the Indenture
Trustee by the Facility Lessee. At any time and from time to time, upon the
request of the Facility Lessee or the Indenture Trustee, at the expense of the
Facility Lessee (and upon receipt of the form of document so to be executed),
the Owner Lessor shall promptly and duly execute and deliver any and all such
further instruments and documents as the Facility Lessee or the Indenture
Trustee may request in obtaining the full benefits of the security interest and
assignment created or intended to be created hereby and of the rights and powers
herein granted. Upon the reasonable instructions (which instructions shall be
accompanied by the form of document to be filed) at any time and from time to
time of the Facility Lessee or the Indenture Trustee, the Owner Lessor shall
execute and file any financing statement (and any continuation statement with
respect to any such financing statement), and any other document relating to the
security interest and assignment created by this Indenture as may be specified
in such instructions. In addition, the Indenture Trustee and the Owner Lessor
will execute such continuation statements with respect to financing statements
and other documents relating to the Lien created by this Indenture in the
Indenture Estate as may be specified from time to time in written instructions
of any Noteholder (which instructions may, by their terms, be operative only at
a future date and which shall be accompanied by the form of such continuation
statement or other document to be filed). Neither the Indenture Trustee nor,
except as otherwise herein expressly provided, the Owner Lessor shall have
responsibility for the protection, perfection or preservation of the Lien
created by this Indenture.

                                   SECTION 6.
                       INDENTURE TRUSTEE AND OWNER LESSOR

     Section 6.1.   Acceptance of Trusts and Duties. The Indenture Trustee
accepts the trusts hereby created and applicable to it and agrees to perform
the same but only upon the terms of this Indenture, and agrees to receive and
disburse all moneys constituting part of the Indenture Estate in accordance
with the provisions hereof. If any Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee shall, subject to the
provisions of Sections 4 and 5 hereof, exercise such of the rights and remedies
vested in it by this Indenture and shall at all times use the same degree of
care in their exercise as a prudent person would exercise or use in the
circumstances in the conduct of its own affairs. The Indenture Trustee shall
not be liable under any circumstances, except (a) for its own negligence or
willful misconduct, (b) in the case of any inaccuracy of any representation or
warranty of the Indenture Trustee or the Lease Indenture Company contained in
Section 3.5 of the Participation Agreement, in the certificate delivered by the
Indenture Trustee at the Closing pursuant to Section 4.6 of the Participation
Agreement, or (c) for the performance of its obligations under Section 8 of the
Participation Agreement; and the Lease Indenture Company and the

                                       54
<PAGE>
Indenture Trustee shall not be liable for any action or inaction of the Owner
Trust; provided, however, that:

          (i)   Prior to the occurrence of a Lease Indenture Event of Default of
     which a Responsible Officer of the Indenture Trustee shall have Actual
     Knowledge, and after the curing of all such Indenture Events of Default
     which may have occurred, the duties and obligations of the Indenture
     Trustee shall be determined solely by the express provisions of the
     Operative Documents to which it is a party, the Indenture Trustee shall
     not be liable except for the performance of such duties and obligations as
     are specifically set forth in the Operative Documents, no implied
     covenants or obligations shall be read into the Operative Documents
     against the Indenture Trustee and, in the absence of bad faith on the part
     of the Indenture Trustee, the Indenture Trustee may conclusively rely, as
     to the truth of the statements and the correctness of the opinions
     expressed therein, upon any notes or opinions furnished to the Indenture
     Trustee and conforming to the requirements of this Indenture;

          (ii)   The Indenture Trustee shall not be liable in its individual
     capacity for an error of judgment made in good faith by a Responsible
     Officer or other officers of the Indenture Trustee, unless it shall be
     proven that the Indenture Trustee was negligent in ascertaining the
     pertinent facts;

          (iii)   The Indenture Trustee shall not be liable in its individual
     capacity with respect to any action taken, suffered or omitted to be taken
     by it in good faith in accordance with this Indenture or at the direction
     of the Majority in Interest of Noteholders, relating to the time, method
     and place of conducting any proceeding or remedy available to the
     Indenture Trustee, or exercising or omitting to exercise any trust or
     power conferred upon the Indenture Trustee, under this Indenture;

          (iv)   The Indenture Trustee shall not be required to take notice or
     be deemed to have notice or knowledge of any default, Lease Event of
     Default, Significant Lease Default or Lease Indenture Event of Default
     (except for a Lease Indenture Event of Default resulting from an event of
     nonpayment) unless a Responsible Officer of the Indenture Trustee shall
     have received written notice thereof. In the absence of receipt of such
     notice, the Indenture Trustee may conclusively assume that there is no
     default or Lease Indenture Event of Default;

          (v)   The Indenture Trustee shall not be required to expend or risk
     its own funds or otherwise incur financial liability for the performance
     of any of its duties

                                       55
<PAGE>
     hereunder or the exercise of any of its rights or powers if there is
     reasonable ground for believing that the repayment of such funds or
     adequate indemnity against such risk or liability is not reasonably assured
     to it, and none of the provisions contained in this Indenture shall in any
     event require the Indenture Trustee to perform, or be responsible for the
     manner of performance of, any of the obligations of the Owner Lessor, under
     this Indenture; and

          (vi)   The right of the Indenture Trustee to perform any discretionary
     act enumerated in this Indenture shall not be construed as a duty, and the
     Indenture Trustee shall not be answerable for other than its negligence or
     willful misconduct in the performance of such act.

     Section 6.2.   Absence of Certain Duties. Except in accordance with written
instructions furnished pursuant to Section 5.2 hereof and except as provided in
Section 5.5 and 5.8 hereof, the Indenture Trustee shall have no duty (a) to see
to any registration, recording or filing of any Operative Document (or any
financing or continuation statements in respect thereto) or to see to the
maintenance of any such registration, recording or filing, (b) to see to any
insurance on the Facilities or the Facilities or to effect or maintain any such
insurance, (c) except as otherwise provided in Section 5.5 hereof or in Section
10 of the Participation Agreement, to see to the payment or discharge of any
Tax or any Lien of any kind owing with respect to, or assessed or levied
against, any part of the Indenture Estate, (d) to confirm or verify the
contents of any report, notice, request, demand, certificate, financial
statement or other instrument of the Facility Lessee, (e) to inspect the
Facility at any time or ascertain or inquire as to the performance or
observance of any of the Facility Lessee's covenants with respect to the
Facility or (f) to exercise any of the trusts or powers vested in it by this
Indenture or to institute, conduct or defend any litigation hereunder or in
relation hereto at the request, order or direction of any of the Noteholders,
pursuant to the provisions of this Indenture, unless such Noteholders shall
have offered to the Indenture Trustee reasonable security or indemnity against
the costs, expenses and liabilities which may be incurred therein or thereby
(which in the case of the Majority in Interest of Noteholders will be deemed to
be satisfied by a letter agreement with respect to such costs from such
Majority in Interest of Noteholders).  Notwithstanding the foregoing, the
Indenture Trustee shall furnish to each Noteholder and to the Owner Lessor and
the Owner Participant promptly upon receipt thereof duplicates or copies of all
reports, notices, requests, demands, certificates, financial statements and
other instruments furnished to the Indenture Trustee hereunder or under any of
the Operative Documents unless the Indenture Trustee shall reasonably believe
that each such Noteholder, the Owner Lessor and the Owner Participant shall
have received copies thereof.

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<PAGE>
     Section 6.3.   Representations and Warranties.

     (a)  The Owner Lessor represents and warrants that it has not assigned or
pledged any of its estate, right, title or interest subject to this Indenture,
to anyone other than the Indenture Trustee.

     (b)  NEITHER THE OWNER LESSOR NOR THE INDENTURE TRUSTEE MAKES, NOR SHALL BE
DEEMED TO HAVE MADE (i) ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, AS
TO THE TITLE, VALUE, COMPLIANCE WITH PLANS OR SPECIFICATIONS, QUALITY,
DURABILITY, SUITABILITY, CONDITION, DESIGN, OPERATION, MERCHANTABILITY OR
FITNESS FOR USE OR FOR ANY PARTICULAR PURPOSE OF THE FACILITY, OR ANY PART
THEREOF, OR ANY OTHER REPRESENTATION OR WARRANTY WHATSOEVER, EXPRESS OR
IMPLIED, WITH RESPECT TO THE FACILITIES OR ANY OTHER PART OF THE INDENTURE
ESTATE, except that the Owner Lessor represents and warrants that on the
Closing Date it shall have received whatever title or interest to the Undivided
Interests and the Facility Site as were conveyed to it by the Facility Lessee
and that on the Closing Date the Undivided Interests shall be free of Owner
Lessor's Liens and the Owner Participant's Liens; or (ii) any representation or
warranty as to the validity, legality or enforceability of this Indenture, the
Lessor Notes or any of the other Operative Documents, or as to the correctness
of any statement contained in any thereof, except that each of the Owner Lessor
and the Indenture Trustee represents and warrants that this Indenture and the
Participation Agreement have been, and, in the case of the Owner Lessor, the
other Operative Documents to which it is or is to become a party have been or
will be, executed and delivered by one of its officers who is and will be duly
authorized to execute and deliver such document on its behalf.

     Section 6.4.   No Segregation of Moneys; No Interest. All moneys and
securities deposited with and held by the Indenture Trustee under this
Indenture for the purpose of paying, or securing the payment of, the principal
of or Make-Whole Amount or interest on the Lessor Notes shall be held in trust.
Except as specifically provided herein or in the Facility Lease, any moneys
received by the Indenture Trustee hereunder need not be segregated in any
manner except to the extent required by Applicable Law and may be deposited
under such general conditions as may be prescribed by Applicable Law, and
neither the Owner Lessor nor the Indenture Trustee shall be liable for any
interest thereon; provided, however, subject to Section 6.5 hereof, that any
payments received or applied hereunder by the Indenture Trustee shall be
accounted for by the Indenture Trustee so that any portion thereof paid or
applied pursuant hereto shall be identifiable as to the source thereof to the
extent known to the Indenture Trustee.

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<PAGE>
     Section 6.5.   Reliance; Agents; Advice of Experts. The Indenture Trustee
shall be authorized and protected and incur no liability to anyone in acting
upon any signature, instrument, notice, resolution, request, consent, order,
certificate, report, opinion, bond or other document or paper believed to be
genuine and believed to be signed by the proper party or parties. The Indenture
Trustee may accept in good faith a certified copy of a resolution of the
managing member (or equivalent body) of the Facility Lessee as conclusive
evidence that such resolution has been duly adopted by such Board and that the
same is in full force and effect. As to the amount of any payment to which any
Noteholder is entitled pursuant to clause "Third" of Section 3.2 or clause
"Fourth" of Section 3.3 hereof, and as to the amount of any payment to which
any other Person is entitled pursuant to Section 3.5 or Section 3.7 hereof, the
Indenture Trustee for all purposes hereof may rely on and shall be authorized
and protected in acting or refraining from acting upon an Officer's Certificate
of such Noteholder or other Person, as the case may be. As to any fact or
matter the manner of ascertainment of which is not specifically described
herein, the Indenture Trustee for all purposes hereof may rely on an Officer's
Certificate of the Owner Lessor or the Facility Lessee or a Noteholder as to
such fact or matter, and such certificate shall constitute full protection to
the Indenture Trustee for any action taken or omitted to be taken by it in good
faith in reliance thereon. The Indenture Trustee shall have the right to
request instructions from the Owner Lessor or the Majority in Interest of
Noteholders with respect to taking or refraining from taking any action in
connection with the Lease Indenture or any other Operative Document to which it
is a party, and shall be entitled to act or refrain from taking such action
unless and until the Indenture Trustee shall have received written instructions
from the Owner Lessor or the Majority in Interest of Noteholders, and the
Indenture Trustee shall not incur liability by reason of so acting (except as
provided in Section 6.1) or refraining from acting. In the administration of
the trusts hereunder, the Indenture Trustee may execute any of the trusts or
powers hereof and perform its powers and duties hereunder directly or through
agents or attorneys and may, at the expense of the Indenture Estate (but
subject to the priorities of payment set forth in Section 3 hereof), consult
with independent skilled Persons to be selected and retained by it (other than
Persons regularly in its employ) as to matters within their particular
competence, and the Indenture Trustee shall not be liable for anything done,
suffered or omitted in good faith by it in accordance with the advice or
opinion, within such Person's area of competence, of any such Person, so long
as the Indenture Trustee shall have exercised reasonable care in selecting such
Person.

                                   SECTION 7.
                          SUCCESSOR INDENTURE TRUSTEES
                              AND SEPARATE TRUSTEES

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<PAGE>
     Section 7.1.   Resignation or Removal of the Indenture Trustee; Appointment
of Successor.

     (a)  Resignation or Removal. Either of the Indenture Trustee or the
Account Bank or any successor thereto may resign at any time with or without
cause by giving at least thirty (30) days' prior written notice to the Owner
Lessor, the Owner Participant, the Facility Lessee and each Noteholder, such
resignation to be effective on the acceptance of appointment by the successor
Indenture Trustee or Account Bank pursuant to the provisions of subsection (b)
below. In addition, a Majority in Interest of Noteholders may at any time
remove the Indenture Trustee or the Account Bank with or without cause by an
instrument in writing delivered to the Owner Lessor, the Owner Participant, the
Indenture Trustee and the Account Bank, and the Owner Lessor shall give prompt
written notification thereof to each Noteholder and the Facility Lessee. Such
removal will be effective on the acceptance of appointment by the successor
Indenture Trustee or Account Bank pursuant to the provisions of subsection (b)
below. In the case of the resignation or removal of the Indenture Trustee or
Account Bank, a Majority in Interest of Noteholders may appoint a successor
Indenture Trustee or Account Bank by an instrument signed by such holders. If a
successor Indenture Trustee or Account Bank shall not have been appointed
within thirty (30) days after such resignation or removal, the Indenture
Trustee, Account Bank or any Noteholder may apply to any court of competent
jurisdiction to appoint a successor Indenture Trustee or Account Bank to act
until such time, if any, as a successor shall have been appointed by a Majority
in Interest of Noteholders as above provided. The successor Indenture Trustee
or Account Bank so appointed by such court shall immediately and without
further act be superseded by any successor Indenture Trustee or Account Bank
appointed by a Majority in Interest of Noteholders as above provided.

     (b)  Acceptance of Appointment. Any successor Indenture Trustee or Account
Bank shall execute and deliver to the predecessor Indenture Trustee or Account
Bank, the Owner Participant, the Owner Lessor and all Noteholders an instrument
accepting such appointment and thereupon such successor Indenture Trustee or
Account Bank, without further act, shall become vested with all the estates,
properties, rights, powers and duties of the predecessor Indenture Trustee or
Account Bank hereunder in the trusts hereunder applicable to it with like
effect as if originally named the Indenture Trustee or Account Bank herein; but
nevertheless, upon the written request of such successor Indenture Trustee or
Account Bank or a Majority in Interest of Noteholders, such predecessor
Indenture Trustee or Account Bank shall execute and deliver an instrument
transferring to such successor Indenture Trustee or Account Bank, upon the
trusts herein expressed applicable to it, all the estates, properties, rights
and powers of such predecessor Indenture Trustee or Account Bank, and such
predecessor Indenture

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<PAGE>
Trustee or Account Bank shall duly assign, transfer deliver and pay over to
such successor Indenture Trustee all moneys or other property then held by such
predecessor Indenture Trustee or Account Bank hereunder. To the extent required
by Applicable Law or upon request of the successor Indenture Trustee or Account
Bank, the Owner Lessor shall execute any and all documents confirming the
vesting of such estates, properties, rights and powers in the successor
Indenture Trustee or Account Bank.

     (c)  Qualifications. Any successor Indenture Trustee or Account Bank,
however appointed, shall be a trust company or bank with trust powers (i) which
(A) has a combined capital and surplus of at least $150,000,000, or (B) is a
direct or indirect subsidiary of a corporation which has a combined capital and
surplus of at least $150,000,000 provided such corporation guarantees the
performance of the obligations of such trust company or bank as Indenture
Trustee or Account Bank, or (C) is a member of a bank holding company group
having a combined capital and surplus of at least $150,000,000 provided the
parent of such bank holding company group or a member which itself has a
combined capital and surplus of at least $150,000,000 guarantees the
performance of the obligations of such trust company or bank, and (ii) is
willing, able and legally qualified to perform the duties of Indenture Trustee
or Account Bank hereunder upon reasonable or customary terms. No successor
Indenture Trustee or Account Bank, however appointed, shall become such if such
appointment would result in the violation of any Applicable Law or create a
conflict or relationship involving a conflict of interest under the Trust
Indenture Act of 1939, as amended.

     (d)  Appointment of Account Bank. The Indenture Trustee and each Noteholder
hereby irrevocably designate and appoint State Street Trust Bank and Trust
Company of Connecticut, National Association as the Account Bank under this
Indenture (the "Account Bank"). The Account Bank hereby agrees to act as
"securities intermediary" (within the meaning of Section 8-102(a)(14) of the
UCC) with respect to the Indenture Trustee's Account. The Owner Lessor hereby
acknowledges that the Account Bank shall act as securities intermediary with
respect to the Indenture Trustee's Account pursuant to this Indenture. The
Account Bank shall not have duties or responsibilities except those expressly
set forth in Sections 3.11 and 3.12 of this Indenture. The Indenture Trustee,
at the written direction of a Majority in Interest of Noteholders, may remove
and replace the Account Bank pursuant to the terms of Section 7.1(a) and direct
such Account Bank according to the terms of this Indenture.

     (e)  Merger, etc. Any Person into which the Indenture Trustee may be merged
or converted or with which it may be consolidated, or any Person resulting from
any merger, conversion or consolidation to which the Indenture Trustee shall be
a party, or any Person to which substantially all the corporate trust business
of the Indenture Trustee

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<PAGE>
may be transferred, shall, subject to the terms of subsection (c) of this
Section 7.1, be the Indenture Trustee under this Indenture without further act.

     Section 7.2.   Appointment of Additional and Separate Trustees.

     (a)  Appointment. Whenever (i) the Indenture Trustee shall deem it
necessary or prudent in order to conform to any law of any applicable
jurisdiction or to make any claim or bring any suit with respect to or in
connection with the Indenture Estate, this Indenture, the Facility Lease, the
Lessor Notes or any of the transactions contemplated by the Operative
Documents, (ii) the Indenture Trustee shall be advised by counsel, satisfactory
to it, that it is so necessary or prudent in the interest of the Noteholders or
(iii) a Majority in Interest of Noteholders deems it so necessary or prudent
and shall have requested in writing the Indenture Trustee to do so, then in any
such case the Indenture Trustee shall execute and deliver from time to time all
instruments and agreements necessary or proper to constitute another bank or
trust company or one or more Persons approved by the Indenture Trustee either
to act as additional trustee or trustees of all or any part of the Indenture
Estate, jointly with the Indenture Trustee, or to act as separate trustee or
trustees of all or any part of the Indenture Estate, in any such case with such
powers as may be provided in such instruments or agreements, and to vest in
such bank, trust company or Person as such additional trustee or separate
trustee, as the case may be, any property, title, right or power of the
Indenture Trustee deemed necessary or advisable by the Indenture Trustee,
subject to the remaining provisions of this Section 7.2. The Owner Lessor
hereby consents to all actions taken by the Indenture Trustee under the
provisions of this Section 7.2 and agrees, upon the Indenture Trustee's
request, to join in and execute, acknowledge and deliver any or all such
instruments or agreements; and the Owner Lessor hereby makes, constitutes and
appoints the Indenture Trustee its agent and attorney-in-fact for it and in its
name, place and stead to execute, acknowledge and deliver any such instrument
or agreement in the event that the Owner Lessor shall not itself execute and
deliver the same within fifteen (15) days after receipt by it of such request
so to do; provided, however, that the Indenture Trustee shall exercise due care
in selecting any additional or separate trustee if such additional or separate
trustee shall not be a Person possessing trust powers under Applicable Law. If
at any time the Indenture Trustee shall deem it no longer necessary or prudent
in order to conform to any such law or take any such action or shall be advised
by such counsel that it is no longer so necessary or prudent in the interest of
the Noteholders or in the event that the Indenture Trustee shall have been
requested to do so in writing by a Majority in Interest of Noteholders, the
Indenture Trustee shall execute and deliver all instruments and agreements
necessary or proper to remove any additional trustee or separate trustee. In
such connection, the Indenture Trustee may act on behalf of the Owner Lessor to
the same extent as is provided above. Notwithstanding anything contained to the
contrary

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<PAGE>
in this Section 7.2(a), to the extent the laws of any jurisdiction preclude the
Indenture Trustee from taking any action hereunder either alone, jointly or
through a separate trustee under the direction and control of the Indenture
Trustee, the Owner Lessor, at the instruction of the Indenture Trustee, shall
appoint a separate trustee for such jurisdiction, which separate trustee shall
have full power and authority to take all action hereunder as to matters
relating to such jurisdiction without the consent of the Indenture Trustee, but
not subject to the same limitations in any exercise of his power and authority
as those to which the Indenture Trustee is subject.

     (b)  The Indenture Trustee as Agent. Any additional trustee or separate
trustee at any time by an instrument in writing may constitute the Indenture
Trustee its agent or attorney-in-fact, with full power and authority, to the
extent not prohibited by Applicable Law, to do all acts and things and exercise
all discretions which it is authorized or permitted to do or exercise, for and
in its behalf and in its name. In case any such additional trustee or separate
trustee shall become incapable of acting or cease to be such additional trustee
or separate trustee, the property, rights, powers, trusts, duties and
obligations of such additional trustee or separate trustee, as the case may be,
so far as permitted by Applicable Law, shall vest in and be exercised by the
Indenture Trustee, without the appointment of a new successor to such
additional trustee or separate trustee, unless and until a successor is
appointed in the manner hereinbefore provided.

     (c)  Requests, etc. Any request, approval or consent in writing by the
Indenture Trustee to any additional trustee or separate trustee shall be
sufficient to warrant such additional trustee or separate trustee, as the case
may be, to take the requested, approved or consented to action.

     (d)  Subject to Indenture, etc. Each additional trustee and separate
trustee appointed pursuant to this Section 7.2 shall be subject to, and shall
have the benefit of Sections 3 through 9 hereof insofar as they apply to the
Indenture Trustee. Notwithstanding any other provision of this Section 7.2, (i)
the powers, duties, obligations and rights of any additional trustee or
separate trustee appointed pursuant to this Section 7.2 shall not in any case
exceed those of the Indenture Trustee hereunder, (ii) all powers, duties,
obligations and rights conferred upon the Indenture Trustee in respect of the
receipt, custody, investment and payment of moneys or the investment of moneys
shall be exercised solely by the Indenture Trustee and (iii) no power hereby
given to, or exercisable as provided herein by, any such additional trustee or
separate trustee shall be exercised hereunder by such additional trustee or
separate trustee except jointly with, or with the consent of, the Indenture
Trustee.

                                   SECTION 8.

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<PAGE>
                  SUPPLEMENTS AND AMENDMENTS TO THIS INDENTURE
                              AND OTHER DOCUMENTS

     Section 8.1.   Supplemental Indenture and Other Amendment With Consent;
Conditions and Limitations. At any time and from time to time, subject to
Sections 8.2 and 8.3 hereof, but only upon the written direction of a Majority
in Interest of Noteholders and the written consent of the Owner Lessor, (a) the
Indenture Trustee shall execute an amendment or supplement hereto for the
purpose of adding provisions to, or changing or eliminating provisions of, this
Indenture as specified in such request, and (b) the Indenture Trustee, as the
case may be, shall enter into or consent to such written amendment of or
supplement to any Assigned Document as each other party thereto may agree to
and as may be specified in such request, or execute and deliver such written
waiver or modification of or consent to the terms of any such agreement or
document as may be specified in such request; provided, however, that without
the consent of the Noteholders representing one hundred percent (100%) of the
outstanding principal amount of the Lessor Notes, such percentage to be
determined in the same manner as provided in the definition of the term
"Majority in Interest of Noteholders," no such supplement to or amendment of
this Indenture or any Assigned Document, or waiver or modification of or
consent to the terms hereof or thereof, shall (i) modify the definition of the
terms "Majority in Interest of Noteholders" or reduce the percentage of
Noteholders required to take or approve any action hereunder, (ii) change the
amount or the time of payment of any amount owing or payable under any Lessor
Note or change the rate or manner of calculation of interest payable on any
Lessor Note, (iii) alter or modify the provisions of Section 3 hereof with
respect to the manner of payment or the order of priorities in which
distributions thereunder shall be made as between the Noteholders and the Owner
Lessor, (iv) reduce the amount (except to any amount as shall be sufficient to
pay the aggregate principal of, Make-Whole Amount, if any, and interest on all
outstanding Lessor Notes) or extend the time of payment of Periodic Rent or
Termination Value except as expressly provided in Section 3.5 of the Facility
Lease, or change any of the circumstances under which Periodic Rent or
Termination Value is payable, (v) consent to any assignment of the Facility
Lease if in connection therewith the Facility Lessee will be released from its
obligation to pay Periodic Rent and Termination Value, except as expressly
provided in Section 13 of the Participation Agreement, or release the Facility
Lessee of its obligation to pay Periodic Rent or Termination Value or change
the absolute and unconditional character of such obligations as set forth in
Section 9 of the Facility Lease; (vi) consent to any release of the Guarantor
under Section 8.4 of the Calpine Guaranty or (vii) deprive the Indenture
Trustee of the Lien on the Indenture Estate or permit the creation of any Lien
on the Indenture Estate ranking equally or prior to the Lien of the Indenture
Trustee, except for Permitted Liens.

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<PAGE>
     Section 8.2.   Supplemental Indentures and other Amendments Without
Consent. Without the consent of any Noteholders but subject to the provisions of
Section 8.3, and only after notice thereof shall have been sent to the
Noteholders and with the consent of the Owner Lessor, the Indenture Trustee
shall enter into any indenture or indentures supplemental hereto or execute any
amendment, modification, supplement, waiver or consent with respect to any other
Operative Document (a) to evidence the succession of another Person as a Lessor
Manager or the appointment of a co-manager in accordance with the terms of the
LLC Agreement, or to evidence the succession of a successor as the Indenture
Trustee hereunder, the removal of the Indenture Trustee or the appointment of
any separate or additional trustee or trustees, in each case if done pursuant to
the provisions of Section 7 hereof and to define the rights, powers, duties and
obligations conferred upon any such separate trustee or trustees or co-trustee
or co-trustees, (b) to correct, confirm or amplify the description of any
property at any time subject to the Lien of this Indenture or to convey,
transfer, assign, mortgage or pledge any property to or with the Indenture
Trustee, (c) to provide for any evidence of the creation and issuance of any
Additional Lessor Notes pursuant to, and subject to the conditions of, Section
2.12 and to establish the form and the terms of such Additional Lessor Notes,
(d) to cure any ambiguity in, to correct or supplement any defective or
inconsistent provision of, or to add to or modify any other provisions and
agreements in, this Indenture or any other Operative Document in any manner that
will not in the judgment of the Indenture Trustee materially adversely affect
the interests of the Noteholders, (e) to grant or confer upon the Indenture
Trustee for the benefit of the Noteholders any additional rights, remedies,
powers, authority or security which may be lawfully granted or conferred and
which are not contrary or inconsistent with this Indenture, (f) to add to the
covenants or agreements to be observed by the Facility Lessee or the Owner
Lessor and which are not contrary to this Indenture, to add Indenture Events of
Defaults for the benefit of Noteholders or surrender any right or power of the
Owner Lessor, provided it has consented thereto, (g) to effect the assumption of
all or, to the extent otherwise provided hereunder, part of the Lessor Notes by
the Facility Lessee, provided that the supplemental indenture will contain all
of the covenants applicable to the Facility Lessee contained in the Facility
Lease and the Participation Agreement for the benefit of the Indenture Trustees
or the holders of such Lessor Notes, such that the Facility Lessee's obligations
contained therein, if applicable in the event that the Facility Lease are
terminated, will continue to be in full force and effect, (h) to comply with
requirements of the SEC, any applicable law, rules or regulations of any
exchange or quotation system on which the Certificates are listed, or any
regulatory body, (i) to modify, eliminate or add to the provisions of any
Operative Documents to such extent as shall be necessary to qualify or continue
the qualification of this Lease Indenture or the Pass Through Trust Agreements
(including any supplements thereto) under the Trust Indenture Act, or similar
federal statute enacted

                                       64
<PAGE>
after the Closing Date, and to add to this Indenture such other provisions as
may be expressly required or permitted by the Trust Indenture Act of 1939 (if
such qualification is required), and (j) to effect any indenture or indentures
supplemental hereto or any amendment, modification, supplement, waiver or
consent with respect to any other Operative Document, provided such
supplemental indenture, amendment, modification, supplement, waiver or consent
shall not reasonably be expected to materially and adversely affect the
interest of the Noteholders; provided, however, that no such amendment,
modification, supplement, waiver or consent contemplated by this Section 8.2
shall, without the consent of the holder of each then outstanding Lessor Note,
cause any of the events specified in clauses (i) through (v) of the first
sentence of Section 8.1 hereof to occur; and provided, further, that no such
amendment, modification, supplement, waiver or consent contemplated by this
Section 8.2 shall, without the consent of the holder of a Majority in Interest
of Noteholders, modify the provisions of Sections 5.1, 5.2, 5.6, 5.14, 5.31, 6,
or 13.1 of the Participation Agreement or Section 19 of the Lease, or modify in
any material respect the provisions of the Calpine Guaranty (other than, in
each case, any amendment, modification, supplement, waiver or consent having no
adverse affect on the interest of the Noteholders).

     Section 8.3.   Conditions to Action by the Indenture Trustee. If in the
opinion of the Indenture Trustee any document required to be executed pursuant
to the terms of Section 8.1 or 8.2 or the election referred to in Section 9.13
hereof adversely affects any immunity or indemnity in favor of the Indenture
Trustee under this Indenture or the Participation Agreement, or would
materially increase its administrative duties or responsibilities hereunder or
thereunder or may result in personal liability for it (unless it shall have
been provided an indemnity satisfactory to the Indenture Trustee), the
Indenture Trustee may in its discretion decline to execute such document or the
election. With every such document and election, the Indenture Trustee shall be
furnished with evidence that all necessary consents have been obtained and with
an opinion of counsel that such document complies with the provisions of this
Indenture, does not deprive the Indenture Trustee or the holders of the Lessor
Notes of the benefits of the Lien hereby created on any property subject hereto
or of the assignments contained herein (except as otherwise consented to in
accordance with Section 8.1 hereof) and that all consents required by the terms
hereof in connection with the execution of such document or the making of such
election have been obtained. The Indenture Trustee shall be fully authorized
and protected in relying on such opinion.

                                   SECTION 9.
                                  MISCELLANEOUS

     Section 9.1.   Surrender, Defeasance and Release.

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<PAGE>
     (a)  Surrender and Cancellation of Indenture. This Indenture shall be
surrendered and cancelled and the trusts created hereby shall terminate and
this Indenture shall be of no further force or effect upon satisfaction of the
conditions set forth in the proviso to the Granting Clause hereof. Upon any
such surrender, cancellation, and termination, the Indenture Trustee shall pay
all moneys or other properties or proceeds constituting part of the Indenture
Estate (the distribution of which is not otherwise provided for herein) to the
Owner Lessor, and the Indenture Trustee shall, upon request and at the cost and
expense of the Owner Lessor, execute and deliver proper instruments
acknowledging such cancellation and termination and evidencing the release of
the security, rights and interests created hereby. If this Indenture is
terminated pursuant to this Section 9.1(a), the Indenture Trustee shall
promptly notify the Facility Lessee and the Owner Participant of such
termination.

     (b)  Release.

          (i)   Whenever a Component is replaced pursuant to the Facility Lease,
     such component shall automatically and without further act of any Person
     be released from the Lien of this Lease Indenture and the Indenture
     Trustee shall, upon the written request of the Owner Lessor or the
     Facility Lessee, execute and deliver to, and as directed in writing by,
     the Facility Lessee or the Owner Lessor an appropriate instrument (in due
     form for recording) releasing the replaced Component from the Lien of this
     Indenture.

          (ii)   Whenever the Facility Lessee is entitled to acquire the
     Facility or have the Facility transferred to it pursuant to the express
     terms of the Facility Lease, the Indenture Trustee shall release the
     Indenture Estate from the Lien of this Indenture and execute and deliver
     to, or as directed in writing by, the Facility Lessee or the Owner Lessor
     an appropriate instrument (in due form for recording) releasing the
     Indenture Estate from the Lien of this Indenture; provided that all sums
     secured by this Indenture have been paid to the Persons entitled to such
     sums.

     Section 9.2.   Conveyances Pursuant to the Site Lease. Sales, grants of
leases or easements and conveyances of portions of the Facility Site, rights of
way, easements or leasehold interest made by the Facility Lessee in accordance
with Article VIII of the Facility Site Lease shall automatically, without
further act of any Person, be released from this Lease Indenture.

                                       66
<PAGE>
     Section 9.3.   Appointment of the Indenture Trustee as Attorney; Further
Assurances. The Owner Lessor hereby constitutes the Indenture Trustee the true
and lawful attorney of the Owner Lessor irrevocably with full power as long as
the Lease Indenture is in effect (in the name of the Owner Lessor or otherwise)
to ask, require, demand, receive, compound and give acquittance for any and all
moneys and claims for moneys due and to become due under or arising out of the
Assigned Documents (except to the extent that such moneys and claims constitute
Excepted Payments), to endorse any checks or other instruments or orders in
connection therewith, to make all such demands and to give all such notices as
are permitted by the terms of the Facility Lease to be made or given by the
Owner Lessor upon the occurrence and continuance of a Lease Event of Default,
to enforce compliance by the Facility Lessee with all terms and provisions of
the Facility Lease (except as otherwise provided in Sections 4.3 and 5.6
hereof), and to file any claims or take any action or institute any proceedings
which the Indenture Trustee may request in the premises.

     Section 9.4.   Indenture for Benefit of Certain Persons Only. Nothing in
this Indenture, whether express or implied, shall be construed to give to any
Person other than the parties hereto, the Owner Participant, the Facility Lessee
(with respect to Sections 4.12 and 8.1 hereof) and the Noteholders (and any
successor or assign of any thereof) any legal or equitable right, remedy or
claim under or in respect of this Indenture, and this Indenture shall be for the
sole and exclusive benefit of the parties hereto, the Owner Participant, the
Facility Lessee (as provided in Sections 4.12 and 8.1 hereof) and the
Noteholders.

     Section 9.5.   Notices; Furnishing Documents, etc. Unless otherwise
expressly specified or permitted by the terms hereof, all communications and
notices provided for herein to a party hereto shall be in writing or by a
telecommunications device capable of creating a written record, and any such
notice shall become effective (a) upon personal delivery thereof, including by
overnight mail or courier service, (b) in the case of notice by United States
mail, certified or registered, postage prepaid, return receipt requested, upon
receipt thereof, or (c) in the case of notice by such a telecommunications
device, upon transmission thereof, provided such transmission is promptly
confirmed by either of the methods set forth in clauses (a) and (b) above, in
each case addressed to such party and copy party at its address set forth below
or at such other address as such party or copy party may from time to time
designate by written notice to the other party:

     If to the Owner Lessor:

          Wells Fargo Bank Northwest, National Association
          MAC U1254-031

                                       67
<PAGE>
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

     with a copy to the Owner Participant:

          Wells Fargo Bank Northwest, National Association
          MAC U1254-031
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

          and

          Newcourt Capital USA Inc.
          1211 Avenue of the Americas - 22nd Floor
          New York, NY 10036
          Telephone: (212) 382-7255
          Facsimile: (212) 382-9033
          Attention:  Karen Scrowcroft, Esq.

     If to the Indenture Trustee:

          State Street Bank and Trust Company of Connecticut,
          National Association
          225 Asylum Street, Goodwin Square
          Hartford, CT 06103
          Telephone: (860) 244-1822
          Facsimile:  (860) 244-1889
          Attention:  Corporate Trust Department

          with a copy to:

          State Street Bank and Trust Company of California, National
          Association
          633 West 5th Street, 12th Floor
          Los Angeles, CA 90071

                                       68
<PAGE>
          Telephone: (213) 362-7373
          Facsimile:  (213) 362-7357
          Attention:  Corporate Trust Department

     If to the Facility Lessee:

          Broad River Energy LLC
          c/o Calpine Center Northbrook Office
          Attention:  Senior Counsel
          650 Dundee Road, Suite 350
          Northbrook, IL 60062
          Telephone: (847) 559-9800
          Facsimile: (847) 559-1805

          with a copy to:

          Calpine Corporation
          Attention:  General Counsel
          50 West San Fernando Street, 5th Floor
          San Jose, CA 95113

     Section 9.6.   Severability. Any provision of this Indenture which is
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating or rendering unenforceable the remaining provisions hereof, and
any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction.

     Section 9.7.   Limitation of Liability. It is expressly understood and
agreed by the parties hereto that (a) this Indenture is executed and delivered
by Wells Fargo Bank Northwest, National Association ("Wells Fargo"), not
individually or personally but solely as trustee of the Owner Lessor under the
LLC Agreement, in the exercise of the powers and authority conferred and vested
in it pursuant thereto, (b) each of the representations, undertakings and
agreements herein made on the part of the Owner Lessor is made and intended not
as personal representations, undertakings and agreements by Wells Fargo, but is
made and intended for the purpose for binding only the Owner Lessor, (c)
nothing herein contained shall be construed as creating any liability on Wells
Fargo, individually or personally, to perform any covenant either expressed or
implied contained herein, all such liability, if any, being expressly waived by
the parties hereto or by any Person claiming by, through or under the parties
hereto and (d) under

                                       69
<PAGE>
no circumstances shall Wells Fargo, be personally liable for the payment of any
indebtedness or expenses of the Owner Lessor or be liable for the breach or
failure of any obligation, representation, warranty or covenant made or
undertaken by the Owner Lessor under this Indenture.

     Section 9.8.   Written Changes Only. Subject to Sections 8.1 and 8.2
hereof, no term or provision of this Indenture or any Lessor Note may be
changed, waived, discharged or terminated orally, but only by an instrument in
writing signed by the parties hereto; and any waiver of the terms hereof or of
any Lessor Note shall be effective only in the specific instance and for the
specific purpose given.

     Section 9.9.   Counterparts. This Indenture may be executed in separate
counterparts, each of which, when so executed and delivered shall be an
original, but all such counterparts shall together constitute one and the same
instrument.

     Section 9.10.   Successors and Permitted Assigns. All covenants and
agreements contained herein shall be binding upon, and inure to the benefit of,
the parties hereto and their respective successors and permitted assigns and
each Noteholder. Any request, notice, direction, consent, waiver or other
instrument or action by any Noteholder shall bind the successor and assigns
thereof.

     Section 9.11.   Headings and Table of Contents. The headings of the
sections of this Indenture and the Table of Contents are inserted for purposes
of convenience only and shall not be construed to affect the meaning or
construction of any of the provisions hereof.

     Section 9.12.   Governing Law. This Indenture and the Lessor Notes shall be
in all respects governed by and construed in accordance with the laws of the
State of New York, including all matters of construction, validity and
performance (without giving effect to the conflicts of laws provisions thereof,
other than New York General Obligation Law Section 5-1401), except to the
extent mandatory choice of law rules require the application of laws of another
jurisdiction and except with respect to matters related to the enforcement of
any Lien related to the real property covered hereby or the foreclosure on any
real property covered hereby which shall be governed by the laws of the State
of South Carolina. Regardless of any provision in any other agreement, for
purposes of the Uniform Commercial Code (as in effect from time to time in any
jurisdiction including the State of New York), the "Securities Intermediary's
Jurisdiction" of the Account Bank with respect to the Indenture Trustee's
Account is the State of New York.

                                       70
<PAGE>
     Section 9.13.   Reorganization Proceedings with Respect to the Lessor
Estate. If (a) the Lessor Estate becomes a debtor subject to the reorganization
provisions of Title 11 of the United States Code, or any successor provisions,
(b) pursuant to such reorganization provisions the Owner Participant is
required by reason of the Owner Participant's being held to have recourse
liability that it would not otherwise have had under Section 2.5 hereof to the
debtor or the trustee of the debtor, directly or indirectly, to make payment on
account of any amount payable as principal or interest on the Lessor Notes and
(c) any Noteholder or the Indenture Trustee actually receives any Excess Amount
(as hereinafter defined) which reflects any payment by the Owner Participant on
account of clause (b) above, then such Noteholder or the Indenture Trustee, as
the case may be, shall promptly refund such Excess Amount, without interest, to
the Owner Participant after receipt by such Noteholder or the Indenture
Trustee, as the case may be, of a written request for such refund by the Owner
Participant (which request shall specify the amount of such Excess Amount and
shall set forth in detail the calculation thereof). For purposes of this
Section 9.13, "Excess Amount" means the amount by which such payment exceeds
the amount which would have been received by such holder and the Indenture
Trustee in respect of such principal or interest if the Owner Participant had
not become subject to the recourse liability referred to in clause (b) above.
Nothing contained in this Section 9.13 shall prevent the Indenture Trustee or
any Noteholder from enforcing any personal recourse obligations (and retaining
the proceeds thereof) of the Owner Participant under the Participation
Agreement.

     The Noteholders and the Indenture Trustee agree that should the Lessor
Estate become a debtor subject to the reorganization provisions of the
Bankruptcy Code, they shall upon the request of the Owner Participant, and
provided that the making of the election hereinafter referred to is permitted
to be made by them under Applicable Law and will not have any adverse impact on
any Noteholder, the Indenture Trustee or the Indenture Estate other than as
contemplated by the preceding paragraph, make the election referred to in
Section 1111(b)(1)(A)(i) of Title 11 of the Bankruptcy Code or any successor
provision if, in the absence of such election, the Noteholders would have
recourse against the Owner Participant for the payment of the indebtedness
represented by the Lessor Notes in circumstance in which such Noteholders would
not have recourse under this Indenture if the Lessor Estate had not become a
debtor under the Bankruptcy Code.

     Section 9.14.   Withholding Taxes: Information Reporting. The Indenture
Trustee shall exclude and withhold from each distribution of principal,
Make-Whole Amount, if any, and interest and other amounts due hereunder or
under the Lessor Notes any and all withholding taxes applicable thereto as
required by law. The Indenture Trustee agrees (i) to act as such withholding
agent and, in connection therewith, whenever any present

                                       71
<PAGE>
or future taxes or similar charges are required to be withheld with respect to
any amounts payable in respect of the Lessor Notes, to withhold such amounts
and timely pay the same to the appropriate authority in the name of and on
behalf of the Noteholders and to pay to the Noteholders from amounts received
by Paying Agent pursuant hereto such additional amounts so that the net amount
actually received by the Noteholders, after reduction for such withheld
amounts, shall be equal to the full amount of principal, Make-Whole Amount,
interest and other amounts otherwise due and payable hereunder; provided,
however, that, notwithstanding the foregoing, the Paying Agent shall be
required to pay such additional amounts only if and to the extent that (a) the
Facility Lessee is required to indemnify the Noteholders for such amounts under
Section 9 of the Participation Agreement and (b) the Facility Lessee has not
paid such amounts within three (3) days after notice of nonpayment, (ii) that
it will file any necessary withholding tax returns or statements when due, and
(iii) that, as promptly as possible after the payment thereof, it will deliver
to each Noteholder appropriate documentation showing the payment thereof,
together with such additional documentary evidence as such Noteholders may
reasonably request from time to time. The Indenture Trustee agrees to file any
other information as it may be required to file under United States law.

     Any Noteholder which is organized under the laws of a jurisdiction outside
the United States shall, on or prior to the date such Noteholder becomes a
Noteholder, (a) so notify the Indenture Trustee, (b) (i) provide the Indenture
Trustee with Internal Revenue Service form W-8 BEN, W-8 ECI or W-9, as
appropriate, or (ii) notify the Indenture Trustee that it is not entitled to an
exemption from United States withholding tax or a reduction in the rate thereof
on payments of interest. Any such Noteholder agrees by its acceptance of a
Lessor Note, on an ongoing basis, to provide like certification for each
taxable year and to notify the Indenture Trustee should subsequent
circumstances arise affecting the information provided the Indenture Trustee in
clauses (a) and (b) above. The Indenture Trustee shall be fully protected in
relying upon, and each Noteholder by its acceptance of a Lessor Note hereunder
agrees to indemnify and hold the Indenture Trustee harmless against all claims
or liability of any kind arising in connection with or related to the Indenture
Trustee's reliance upon any such documents, forms or information provided by
such Noteholder to the Indenture Trustee. In addition, if the Indenture Trustee
has not withheld taxes on any payment made to any Noteholder, and the Indenture
Trustee is subsequently required to remit to any taxing authority any such
amount not withheld, such Noteholder shall return such amount to the Indenture
Trustee upon written demand by the Indenture Trustee. The Indenture Trustee
shall be liable only for direct (but not consequential) damages to any
Noteholder due to the Indenture Trustee's violation of the Code and only to the
extent such liability is

                                       72
<PAGE>
caused by the Indenture Trustee's violation of the Code and only to the extent
such liability is caused by the Indenture Trustee's failure to act in
accordance with its standard of care under this Lease Indenture.

     Section 9.15.   Fixture Financing Statement.  This Indenture also is
intended to serve as a fixture financing statement under the South Carolina
Uniform Commercial Codes. In connection therewith, the following information is
provided:

     (a)  Name and address of Debtor:

          Broad River OL-2, LLC
          c/o Wells Fargo Bank Northwest, National Association
          MAC U1254-031
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

     (b)  Name and Address of Secured Party (from which  information  concerning
the security interest may be obtained):

          State Street  Bank and Trust Company of Connecticut,
          National Association,
          as Indenture Trustee
          225 Asylum Street, Goodwin Square
          Hartford, CT 06103
          Telephone: (860) 244-1822
          Facsimile:  (860) 244-1889
          Attention:  Corporate Trust Department

     (c)  The personal property covered by the security interest granted
hereunder includes goods which are or are to become fixtures upon the real
property described in Exhibit A hereto.

     (d)  Recording: This Indenture is to be recorded in the real estate records
of the Office of the Cherokee County Clerk of Court.

     (e)  Type of Filing: This is a commercial filing under Section 36-9-402 of
the Code of Laws of South Carolina, 1976 (as amended).

                  (Remainder of Page Intentionally Left Blank)

                                       73
<PAGE>
     Section 9.16.   Waiver of Appraisal Rights. The laws of South Carolina
provide that in any real estate foreclosure proceeding a defendant against whom
a personal judgment is taken or asked may within thirty days after the sale of
the mortgaged property apply to the court for an order or appraisal. The
statutory appraisal value as approved by the court would be substituted for the
high bid and may decrease the amount of any deficiency owing in connection with
the transaction. THE UNDERSIGNED HEREBY WAIVES AND RELINQUISHES THE STATUTORY
APPRAISAL RIGHTS WHICH MEANS THE HIGH BID AT THE JUDICIAL FORECLOSURE SALE WILL
BE APPLIED TO THE DEBT REGARDLESS OF ANY APPRAISED VALUE OF THE MORTGAGED
PROPERTY.

     IN WITNESS WHEREOF, the parties have caused this Indenture to be duly
executed on the day and year first above written.

                                        BROAD RIVER OL-2, LLC

                                        By:   Wells  Fargo Bank  Northwest,
                                              National Association, not in its
                                              individual capacity but solely as
                                              the Lessor Manager

_____________________________           By:____________________________________
Witness                                 Name:
                                        Title:

_____________________________
Witness

                                        STATE STREET BANK AND TRUST COMPANY OF
                                        CONNECTICUT, NATIONAL ASSOCIATION,
                                        as Indenture Trustee and Account Bank

_____________________________           By:____________________________________
Witness                                 Name:
                                        Title:

_____________________________
Witness
<PAGE>
STATE OF                            )
                                    )        ACKNOWLEDGMENT
COUNTY OF                           )

     I,_________________________________, Notary Public for the Sate of
________________, do hereby certify that the above-named,______________________
___________________________ personally appeared before me this day and
acknowledged the due execution of the foregoing instrument.

     Witness my hand an official seal this the________ day of__________, 2001.

                                       Notary Public for:
                                       My Commission Expires:
<PAGE>
STATE OF                            )
                                    )        ACKNOWLEDGMENT
COUNTY OF                           )

     I,_________________________________, Notary Public for the Sate of
________________, do hereby certify that the above-named,______________________
___________________________ personally appeared before me this day and
acknowledged the due execution of the foregoing instrument.

     Witness my hand an official seal this the________ day of__________, 2001.

                                       Notary Public for:
                                       My Commission Expires:
<PAGE>
                                                                       EXHIBIT A
                                                              TO LEASE INDENTURE

                          DESCRIPTION OF FACILITY SITE

All that certain piece, parcel, or lot of land situate, lying and being in
Cherokee County, South Carolina, and being shown and designated as 60.35 acres
on a survey dated July 21, 2001, revised September 18, 2001 prepared by
Professional Surveying Services for Broad River Energy, LLC and, according to
said survey, having the following metes and bounds:

Commencing at an existing PK nail in the center of the intersection of Old Ford
Road (SC Highway S-11-50) and Victory Trail (US Highway 329), thence proceeding
North 23-25-35 West 869.86' to an existing iron pin being a common corner of the
subject property, the right of way of Victory Trail and property of George and
Sheri McAbee and being the point of beginning, thence South 48-08-18 West for a
distance of 175.29' to a new iron pin; thence North 71-14-56 West for a distance
of 154.21' to a new iron pin; thence North 71-14-56 West for a distance of
649.72' to a new iron pin; thence South 65-27-23 West for a distance of 427.49'
to a new iron located on the northeastern right of way of Old Ford Road (SC
Highway S-11-50), thence from said point of beginning North 60-16-19 West for a
distance of 92.28' to a point; thence North 56-10-13 West for a distance of
88.18' to a point; thence North 55-42-37 West for a distance of 82.30' to a
point; thence North 53-16-26 West for a distance of 71.52' to a point; thence
North 52-27-22 West for a distance of 82.98' to a point; thence North 52-41-28
West for a distance of 75.44' to a point; thence North 54-42-28 West for a
distance of 65.08' to a point; thence North 57-40-37 West for a distance of
58.84' to a point; thence North 60-36-21 West for a distance of 63.75' to a
point; thence North 64-06-03 West for a distance of 40.07' to a point; thence
North 64-06-03 West for a distance of 45.30' to a point; thence North 67-35-54
West for a distance of 73.25' to a point; thence North 71-21-36 West for a
distance of 31.41' to a point; thence North 71-21-36 West for a distance of
41.47' to a point; thence North 74-35-41 West for a distance of 62.79' to a
point; thence North 77-23-54 West for a distance of 45.86' to a point thence
North 79-42-10 West for a distance of 51.62' to a point; thence North 81-57-05
West for a distance of 51.46' to a point; thence North 82-49-05 West for a
distance of 59.21' to a new iron pin; thence North 35-23-20 East for a distance
of 1,164.01' to a new iron, thence North 35-23-20 East for a distance of 457.09'
to an existing iron pin; thence North 33-29-01 East for a distance of 473.49' to
a large 2" iron; thence North 20-04-41 West for distance of 263.22' to a large
2" iron; thence North 11-22-57 West for a distance of 131.31' to a large 2"
iron; thence North 10-02-03 East for a distance of 166.70' to a new iron located
on the southwestern
<PAGE>
right of way of Victory Trail (US Highway 329); thence continuing along the
southwestern right of way of Victory Trail (US Highway 329) the following
courses and distances: (1) South 20-59-24 East for a distance of 447.48' to a
point; (2) South 13-42-40 East for a distance of 203.64' to a point; (3) South
22-57-44 East for a distance of 151.22' to a point; (4) South 36-23-09 East for
a distance of 155.06' to a point; (5) South 22-58-12 East for a distance of
346.94' to a point; (6) South 16-30-28 East for a distance of 104.58' to a
point; (7) South 23-55-06 East for a distance of 300.17' to a point; (8) South
24-54-19 East for a distance of 200.00" to a point; (9) South 11-46-16 East for
a distance of 308-06' to a point; (10) South 30-36-57 East for a distance of
150.75' to a point; (11) South 48-23-58 East for a distance of 163.56' to a
point; (12) South 24-50-48 East for a distance of 200.00' to a point; (13)
South 30-36-57 East for a distance of 100.50' to a point; and (14) South
24-57-12 East for a distance of 195.32' to an existing iron pin, being the
point of beginning.

Being the same property conveyed to Cherokee County, South Carolina by deed of
Broad River Energy LLC, dated March 1, 2000 and recorded in the Office of the
Clerk of Court for Cherokee County on March 7, 2000 in Deed Book 71 at Page 195.

                                      A-1-2
<PAGE>
                                                                       EXHIBIT B
                                                              TO LEASE INDENTURE

                  FORM OF BROAD RIVER LESSOR NOTE SERIES [A][B]

                              BROAD RIVER OL-2, LLC
                NONRECOURSE PROMISSORY NOTE (BROAD RIVER) DUE IN
                      A SERIES OF INSTALLMENTS OF PRINCIPAL
                            WITH FINAL PAYMENT DATE
                            OF MAY 30, [2012] [2019]

                  THIS NOTE HAS NOT BEEN REGISTERED UNDER THE
               SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED,
                SOLD OR OFFERED FOR SALE IN VIOLATION OF SUCH ACT

                                                  Issued at: New York, New York

                                                   Issue Date: October __, 2001

$[_____]

     BROAD RIVER OL-2, LLC, a Delaware limited liability company (herein called
the "Owner Lessor", which term includes any successor person under the
Collateral Trust Indenture hereinafter referred to), hereby promises to pay to
State Street Bank and Trust Company of Connecticut, National Association, in
its capacity as pass through trustee of [the South Point, Broad River and
RockGen Series A Trust] [the South Point, Broad River and RockGen Series B
Trust], (the "Pass Through Trustee") or its registered assigns, the principal
sum of $[_____], which is due and payable in a series of installments of
principal with a final payment date of May 30, [2012][2019] together with
interest at the rate of [ ]% per annum on the principal remaining unpaid from
time to time from and including the Issue Date until paid in full. Interest on
the outstanding principal amount under this Note shall be due and payable in
arrears semiannually at the rate specified above, commencing on May 30, 2002,
and on each May 30 and November 30 thereafter until the principal of this Note
is paid in full or made available for payment. Interest shall be computed on
the basis of a 360-day year of twelve 30-day months.

     The principal of this Note shall be due and payable in installments on
each of the dates set forth on Schedule I hereto. The installment of principal
payable on any such date shall be in an aggregate amount equal to the product
of the Principal Portion set

                                      B-1-1
<PAGE>
forth on Schedule I multiplied by the percentage set forth on Schedule I under
the column headed "Percentage of Principal Amount Payable" for such date unless
the Principal Portion has been prepaid; provided, that the final installment of
principal shall be equal to the then unpaid principal balance of this Note.

     Capitalized terms used in this Note that are not otherwise defined herein
shall have the meanings ascribed thereto in the Indenture of Trust, Mortgage
and Security Agreement dated as of October 18, 2001 (the "Collateral Trust
Indenture"), between the Owner Lessor and State Street Bank and Trust Company
of Connecticut, National Association, as trustee (the "Indenture Trustee").

     Interest (computed on the basis of a 360-day year of twelve 30-day months)
on any overdue principal and premium, if any, and (to the extent permitted by
Applicable Law) any overdue interest shall be paid, on demand, from the due
date thereof at the Overdue Rate for the period during which any such
principal, premium or interest shall be overdue.

     In the event any date on which a payment is due under this Note is not a
Business Day, then payment thereof shall be made on the next succeeding
Business Day with the same force and effect as if made on the date on which
such payment was due.

     Except as otherwise specifically provided in the Collateral Trust
Indenture and in the Participation Agreement, all payments of principal,
premium, if any, and interest on this Note, and all payments of any other
amounts due hereunder or under the Collateral Trust Indenture shall be made
only from the Indenture Estate, and the Indenture Trustee shall have no
obligation for the payment thereof except to the extent that the Indenture
Trustee shall have sufficient income or proceeds from the Indenture Estate to
make such payments in accordance with the terms of Section 3 of the Collateral
Trust Indenture. The holder hereof, by its acceptance of this Note, agrees that
it will look solely to the income and proceeds from the Indenture Estate to the
extent available for distribution to the holder hereof, as herein provided, and
that, none of the Owner Participant, the Owner Lessor or the Indenture Trustee
is or shall be personally liable to the holder hereof for any amounts payable
under this Note or under the Collateral Trust Indenture, or, except as
expressly provided in the Collateral Trust Indenture or, in the case of the
Owner Participant and the Owner Lessor, the Participation Agreement for any
performance to be rendered under the Collateral Trust Indenture or any Assigned
Document or for any liability under the Collateral Trust Indenture or any
Assigned Document.

     The principal of and premium, if any, and interest on this Note shall be
paid by the Indenture Trustee, without any presentment or surrender of this
Note, except that, in

                                      B-1-2
<PAGE>
the case of the final payment in respect of this Note, this Note shall be
surrendered to the Indenture Trustee, by mailing a check for the amount then
due and payable, in New York Clearing House funds, to the Noteholder, at the
last address of the Noteholder appearing on the Note Register, or by whichever
of the following methods specified by notice from the Noteholder to the
Indenture Trustee: (a) by crediting the amount to be distributed to the
Noteholder to an account maintained by the Noteholder with the Indenture
Trustee, (b) by making such payment to the Noteholder in immediately available
funds at the Indenture Trustee Office, or (c) by transferring such amount in
immediately available funds for the account of the Noteholder to the banking
institution having bank wire transfer facilities as shall be specified by the
Noteholder, such transfer to be subject to telephonic confirmation of payment.
All payments due with respect to this Note shall be made (i) as soon as
practicable prior to the close of business on the date the amounts to be
distributed by the Indenture Trustee are actually received by the Indenture
Trustee if such amounts are received by 12:00 noon, New York City time, on a
Business Day or (ii) on the next succeeding Business Day if received after such
time or if received on any day other than a Business Day. Prior to due
presentment for registration of transfer of this Note, the Owner Lessor and the
Indenture Trustee may deem and treat the Person in whose name this Note is
registered on the Note Register as the absolute owner and holder of this Note
for the purpose of receiving payment of all amounts payable with respect to
this Note and for all other purposes, and neither the Owner Lessor nor the
Indenture Trustee shall be affected by any notice to the contrary. All payments
made on this Note in accordance with the provisions of this paragraph shall be
valid and effective to satisfy and discharge the liability on this Note to the
extent of the sums so paid and neither the Indenture Trustee nor the Owner
Lessor shall have any liability in respect of such payment.

     The holder hereof, by its acceptance of this Note, agrees that each
payment received by it hereunder shall be applied in the manner set forth in
Section 2.7 of the Collateral Trust Indenture, which provides that each payment
on the Note shall be applied as follows: first, to the payment of accrued
interest (including interest on overdue principal and the Make Whole Amount, if
any, and, to the extent permitted by Applicable Law, overdue interest) on this
Note to the date of such payment; second, to the payment of the principal
amount of, and the Make Whole Amount, if any, on this Note then due (including
any overdue installments of principal) thereunder; and third, to the extent
permitted by Section 2.10 of the Collateral Trust Indenture, the balance, if
any, remaining thereafter, to the payment of the principal amount of, and the
Make Whole Amount, if any, on this Note.

     This Note is the Note referred to in the Collateral Trust Indenture as
the "Lessor Note". The Collateral Trust Indenture permits the issuance of
additional notes ("Additional Lessor Notes"), as provided in Section 2.12 of
the Collateral Trust

                                      B-1-3
<PAGE>
Indenture, and the several Notes may be for varying principal amounts and may
have different maturity dates (not later than the final maturity date of the
applicable series of the Initial Lessor Notes), interest rates, redemption
provisions and other terms. The properties of the Owner Lessor included in the
Indenture Estate are pledged or mortgaged to the Indenture Trustee to the
extent provided in the Collateral Trust Indenture as security for the payment
of the principal of and premium, if any, and interest on this Note and all
other Notes issued and outstanding from time to time under the Collateral Trust
Indenture.

     Reference is hereby made to the Collateral Trust Indenture for a statement
of the rights of the holder of, and the nature and extent of the security for,
this Note and of the rights of, and the nature and extent of the security for,
the holders of the other Notes and of certain rights of the Owner Lessor and
the Owner Participant, as well as for a statement of the terms and conditions
of the trust created by the Collateral Trust Indenture, to all of which terms
and conditions the holder hereof agrees by its acceptance of this Note.

     This Note is subject to redemption, in whole but not in part as provided
in the Collateral Trust Indenture, as follows: (x) in the case of redemptions
under the circumstances set forth in Section 2.10(a) of the Collateral Trust
Indenture, at a price equal to the principal amount of this Note being redeemed
together with accrued interest on such principal amount to the Redemption Date,
and (y) in the case of redemptions under the circumstances set forth in
Sections 2.10(d) of the Collateral Trust Indenture, at a price equal to the
principal amount of this Note then outstanding together with accrued interest
on such principal amount to the Redemption Date, plus the Make-Whole Amount, if
any; provided, however, that no such redemption shall be made until notice
thereof is given by the Indenture Trustee to the holder hereof as provided in
the Collateral Trust Indenture.

     In case either (i) a Regulatory Event of Loss under the Facility Lease
shall occur or (ii) the Facility Lease shall have been terminated pursuant to
Section 13.1 or 13.2 thereof where the Facility Lessee purchases the Undivided
Interest from the Owner Lessor, the obligations of the Owner Lessor under this
Note may, subject to the conditions set forth in Section 2.10(b) of the
Collateral Trust Indenture, be assumed in whole (but not in part) by the
Facility Lessee in which case the Owner Lessor shall be released and discharged
from all such obligations. In connection with such an assumption, the holder of
this Note may be required to exchange this Note for a new Note evidencing such
assumption.

                                      B-1-4
<PAGE>
     In case a Collateral Trust Indenture Event of Default shall occur and be
continuing, the unpaid balance of the principal of this Note together with all
accrued but unpaid interest thereon may, subject to certain rights of the Owner
Lessor and the Owner Participant contained or referred to in the Collateral
Trust Indenture, be declared or may become due and payable in the manner and
with the effect provided in the Collateral Trust Indenture.

     There shall be maintained at the Indenture Trustee Office a register for
the purpose of registering transfers and exchanges of Notes in the manner
provided in the Collateral Trust Indenture. The transfer of this Note is
registrable, as provided in the Collateral Trust Indenture, upon surrender of
this Note for registration of transfer duly accompanied by a written instrument
of transfer duly executed by or on behalf of the registered holder hereof,
together with the amount of any applicable transfer taxes.

     It is expressly understood and agreed by the holder of this Note that (a)
this Note is executed and delivered by Wells Fargo Bank Northwest, National
Association, not individually or personally but solely as the lessor manager
(the "Lessor Manager"), of the Owner Lessor, in the exercise of the powers and
authority conferred and vested in it pursuant thereto, (b) each of the
undertakings and agreements in this Note made on the part of the Owner Lessor
is made and intended not as personal undertakings and agreements by the Lessor
Manager but is made and intended for the purpose for binding only the Owner
Lessor, (c) nothing contained in this Note shall be construed as creating any
liability on the Lessor Manager individually or personally, to perform any
covenant either expressed or implied contained in this Note, all such
liability, if any, being expressly waived by the holder of this Note or by any
Person claiming by, through or under such holder, and (d) under no
circumstances shall the Lessor Manager, be personally liable for the payment of
any indebtedness or expenses of the Owner Lessor or be liable for the breach or
failure of any obligation, representation, warranty or covenant made or
undertaken by the Owner Lessor under this Note.

     This Note shall be governed by the laws of the State of New York.

                                      B-1-5
<PAGE>
     IN WITNESS WHEREOF, the Owner Lessor has caused this Note to be duly
executed as of the date hereof.

                                    BROAD RIVER OL-2, LLC
                                    a Delaware limited liability company,

                                    By:  Wells Fargo Bank Northwest, National
                                         Association, not in its individual
                                         capacity but solely as the Lessor
                                         Manager

                                    By: _______________________________________
                                         Name:
                                         Title:
<PAGE>
     This is the Lessor Note referred to in the within-mentioned Collateral
Trust Indenture duly executed as of the date hereof.

                                    STATE STREET BANK AND TRUST
                                    COMPANY OF CONNECTICUT,
                                    NATIONAL ASSOCIATION,
                                    not in its individual capacity, but solely
                                    as the Indenture Trustee

                                    ___________________________________________
                                    Name:
                                    Title:
<PAGE>
                             FORM OF TRANSFER NOTICE

     FOR VALUE RECEIVED the undersigned registered holder hereby sell(s)
assign(s) and transfer(s) unto

Insert Taxpayer Identification No.

__________________________________

________________________________________________________________________________
(Please print or typewrite name and address including zip code of assignee)

________________________________________________________________________________
the within Note and all rights thereunder, hereby irrevocably constituting and
appointing

________________________________________________________________________________
attorney to transfer said Note on the books of the Issuer with full power of
substitution in the premises.

Date: ________________              ____________________________________________
                                    (Signature of Transferor)

                                    NOTE: The signature to this assignment must
                                    correspond with the name as written upon the
                                    face of the within-mentioned instrument in
                                    every particular, without alteration or any
                                    change whatsoever.
<PAGE>
                                   SCHEDULE I
                                    TO NOTE

                       Schedule Of Principal Amortization

                             Series A Lessor Notes.

                         PRINCIPAL PORTION: $25,175,000

<TABLE>
<CAPTION>
                                                                                           Percentage of Principal
                                                                                           -----------------------
Regular Distribution Date                                                                           Amount Payable
-------------------------                                                                           --------------
<S>                                                                                        <C>
May 30, 2002..........................................................................                 0.00000000%
November 30, 2002.....................................................................                 0.00000000%
May 30, 2003..........................................................................                 0.00000000%
November 30, 2003.....................................................................                10.32770606%
May 30, 2004..........................................................................                12.21449851%
November 30, 2004.....................................................................                 5.26315789%
May 30, 2005..........................................................................                 5.36246276%
November 30, 2005.....................................................................                 5.56107249%
May 30, 2006..........................................................................                 6.45481629%
November 30, 2006.....................................................................                 6.85203575%
May 30, 2007..........................................................................                 7.54716981%
November 30, 2007.....................................................................                 8.04369414%
May 30, 2008..........................................................................                 8.83813307%
November 30, 2008.....................................................................                 9.33465740%
May 30, 2009..........................................................................                10.02979146%
November 30, 2009.....................................................................                 4.17080437%
                                                                                                      -------------

Total.................................................................................                100.00000000%
                                                                                                      =============
</TABLE>
<PAGE>
                             Series B Lessor Notes.

                         PRINCIPAL PORTION: $37,875,000

<TABLE>
<CAPTION>
                                                                                            Percentage of Principal
                                                                                            -----------------------
Regular Distribution Date                                                                            Amount Payable
-------------------------                                                                            --------------
<S>                                                                                         <C>
May 30, 2002............................................................................                0.00000000%
November 30, 2002.......................................................................                0.00000000%
May 30, 2003............................................................................                0.00000000%
November 30, 2003.......................................................................                0.00000000%
May 30, 2004............................................................................                0.00000000%
November 30, 2004.......................................................................                0.00000000%
May 30, 2005............................................................................                0.00000000%
November 30, 2005.......................................................................                0.00000000%
May 30, 2006............................................................................                0.00000000%
November 30, 2006.......................................................................                0.00000000%
May 30, 2007............................................................................                0.00000000%
November 30, 2007.......................................................................                0.00000000%
May 30, 2008............................................................................                0.00000000%
November 30, 2008.......................................................................                0.00000000%
May 30, 2009............................................................................                0.00000000%
November 30, 2009.......................................................................                0.00000000%
May 30, 2010............................................................................                0.00000000%
November 30, 2010.......................................................................                0.00000000%
May 30, 2011............................................................................                0.00000000%
November 30, 2011.......................................................................                0.00000000%
May 30, 2012............................................................................                0.00000000%
November 30, 2012.......................................................................                0.00000000%
May 30, 2013............................................................................                0.00000000%
November 30, 2013.......................................................................                0.00000000%
May 30, 2014............................................................................                0.00000000%
November 30, 2014.......................................................................                0.00000000%
May 30, 2015............................................................................                0.00000000%
November 30, 2015.......................................................................                0.00000000%
May 30, 2016............................................................................                0.00000000%
November 30, 2016.......................................................................                0.00000000%
May 30, 2017............................................................................                0.00000000%
November 30, 2017.......................................................................                0.00000000%
May 30, 2018............................................................................                0.00000000%
November 30, 2018.......................................................................                0.00000000%
May 30, 2019............................................................................              100.00000000%
                                                                                                      -------------

Total...................................................................................              100.00000000%
                                                                                                      =============
</TABLE>

                                     B-1-10
<PAGE>
                                                                       EXHIBIT C
                                                              TO LEASE INDENTURE

                      FORM OF CERTIFICATE OF AUTHENTICATION

     This is one of the Lessor Notes referred to in the within-mentioned Lease
Indenture.

                                        _______________________________________
                                        not in its individual capacity but
                                        solely as the Indenture Trustee

                                        By:____________________________________
                                           Name:
                                           Title:

                                       C-2
<PAGE>
                                                                       EXHIBIT D
                                                              TO LEASE INDENTURE

                           DESCRIPTION OF THE FACILITY

     That certain approximately 850 megawatt net nameplate capacity generating
facility, (known also as the "Broad River Facility") together with all
structures or improvements, all alterations thereto or replacements thereof,
and all other fixtures, attachments, appliances, equipment, machinery and other
articles (including, but not limited to, the property set forth below (the
"Included Property")), in each case located on the land, or the easements
appurtenant to the land, consisting of approximately sixty acres located
approximately one mile south of U.S. Highway 29 and three miles east of the
city of Gaffney in Cherokee County, South Carolina, such land described more
particularly on Exhibit A.

Included Property

     1.  Five Combustion Turbines - General Electric, Model MS7001FA; Serial #
         297329, Serial # 297330, Serial # 297331, Serial # 297620, Serial #
         297405.

     2.  Five CT Generators - General Electric, Model 7FH2, 18kV, Serial #
         337X800, Serial # 337X801, Serial # 337X802, Serial # 337X811, Serial
         # 337X812.

     3.  Three Innovative Steam Technologies Once through Steam Generators
         (OTSGs); Serial # C00037-2, Serial # C00037-1, Serial # C00037-0.

     4.  Five Combustion Turbine Step-up Transformers (GSU) - Prolec, Serial #
         G574-01, Serial # G574-02, Serial # G574-03, Serial # G574-04, Serial
         # G574-05 and other interconnection equipment associated with the
         Broad River Facility.

                                     D-1-1
<PAGE>
                                                                      SCHEDULE I
                                                              TO LEASE INDENTURE

                              SERIES A LESSOR NOTE

Initial Aggregate Principal Amount:         $25,175,000
Final Maturity Date:                        May 30, 2012
Interest Rate:                              8.400%
Amortization Schedule:

<TABLE>
<CAPTION>
                                                                                  Percentage of Principal
                                                                                  -----------------------
Regular Distribution Date                                                                  Amount Payable
-------------------------                                                                  --------------
<S>                                                                               <C>
May 30, 2002..................................................................                0.00000000%
November 30, 2002.............................................................                0.00000000%
May 30, 2003..................................................................                0.00000000%
November 30, 2003.............................................................               10.32770606%
May 30, 2004..................................................................               12.21449851%
November 30, 2004.............................................................                5.26315789%
May 30, 2005..................................................................                5.36246276%
November 30, 2005.............................................................                5.56107249%
May 30, 2006..................................................................                6.45481629%
November 30, 2006.............................................................                6.85203575%
May 30, 2007..................................................................                7.54716981%
November 30, 2007.............................................................                8.04369414%
May 30, 2008..................................................................                8.83813307%
November 30, 2008.............................................................                9.33465740%
May 30, 2009..................................................................               10.02979146%
November 30, 2009.............................................................                4.17080437%
                                                                                              -----------

Total.........................................................................               100.00000000%
                                                                                             =============
</TABLE>

                                  SCHEDULE 1-1
<PAGE>
                              SERIES B LESSOR NOTE

<TABLE>
<S>                                         <C>
Initial Aggregate Principal Amount:         $37,875,000
Final Maturity Date:                        May 30, 2019
Interest Rate:                              9.825%
Amortization Schedule:
</TABLE>

<TABLE>
<CAPTION>
                                                                                           Percentage of Principal
                                                                                           -----------------------
Regular Distribution Date                                                                           Amount Payable
-------------------------                                                                           --------------
<S>                                                                                        <C>
May 30, 2002............................................................................               0.00000000%
November 30, 2002.......................................................................               0.00000000%
May 30, 2003............................................................................               0.00000000%
November 30, 2003.......................................................................               0.00000000%
May 30, 2004............................................................................               0.00000000%
November 30, 2004.......................................................................               0.00000000%
May 30, 2005............................................................................               0.00000000%
November 30, 2005.......................................................................               0.00000000%
May 30, 2006............................................................................               0.00000000%
November 30, 2006.......................................................................               0.00000000%
May 30, 2007............................................................................               0.00000000%
November 30, 2007.......................................................................               0.00000000%
May 30, 2008............................................................................               0.00000000%
November 30, 2008.......................................................................               0.00000000%
May 30, 2009............................................................................               0.00000000%
November 30, 2009.......................................................................               0.00000000%
May 30, 2010............................................................................               0.00000000%
November 30, 2010.......................................................................               0.00000000%
May 30, 2011............................................................................               0.00000000%
November 30, 2011.......................................................................               0.00000000%
May 30, 2012............................................................................               0.00000000%
November 30, 2012.......................................................................               0.00000000%
May 30, 2013............................................................................               0.00000000%
November 30, 2013.......................................................................               0.00000000%
May 30, 2014............................................................................               0.00000000%
November 30, 2014.......................................................................               0.00000000%
May 30, 2015............................................................................               0.00000000%
November 30, 2015.......................................................................               0.00000000%
May 30, 2016............................................................................               0.00000000%
November 30, 2016.......................................................................               0.00000000%
May 30, 2017............................................................................               0.00000000%
November 30, 2017.......................................................................               0.00000000%
May 30, 2018............................................................................               0.00000000%
November 30, 2018.......................................................................               0.00000000%
May 30, 2019............................................................................             100.00000000%
                                                                                                     -------------

Total...................................................................................             100.00000000%
                                                                                                     =============
</TABLE>

                                  SCHEDULE 1-2<PAGE>
                                                                 Exhibit 4.22.21

WHEN RECORDED, RETURN TO:

SARAH M. WARD, ESQ.
SKADDEN, ARPS, SLATE, MEAGHER & FLOM, LLP
FOUR TIMES SQUARE
NEW YORK, NEW YORK  10036
================================================================================
                          INDENTURE OF TRUST, MORTGAGE,
                      SECURITY AGREEMENT AND FIXTURE FILING

                           Dated as of October 18, 2001

                                     between

                             BROAD RIVER OL-3, LLC,
                                  as Mortgagor

                                       and

                           STATE STREET BANK AND TRUST
                  COMPANY OF CONNECTICUT, NATIONAL ASSOCIATION,
                as Indenture Trustee, Mortgagee and Account Bank

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

                              BROAD RIVER FACILITY

================================================================================
<PAGE>
                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                  Page
<S>                                                                                               <C>
SECTION 1.   DEFINITIONS. ..................................................................         8

SECTION 2.   THE LESSOR NOTES...............................................................        10
     Section 2.1.   Limitation on Lessor Notes..............................................        10
     Section 2.2.   Initial Lessor Notes....................................................        10
     Section 2.3.   Execution and Authentication of Lessor Notes............................        10
     Section 2.4.   Issuance and Terms of the Initial Lessor Notes..........................        11
     Section 2.5.   Payments from Indenture Estate Only; No Personal Liability of the Owner
                    Lessor, the Owner Participant or the Indenture Trustee..................        12
     Section 2.6.   Method of Payment.......................................................        13
     Section 2.7.   Application of Payments.................................................        14
     Section 2.8.   Registration, Transfer and Exchange of Lessor Notes.....................        14
     Section 2.9.   Mutilated, Destroyed, Lost or Stolen Lessor Notes.......................        15
     Section 2.10.  Redemptions; Assumption.................................................        16
     Section 2.11.  Payment of Expenses on Transfer.........................................        21
     Section 2.12.  Additional Lessor Notes.................................................        21
     Section 2.13.  Restrictions of Transfer Resulting from Federal Securities Laws; Legend.        24
     Section 2.14.  Security for and Parity of Lessor Notes.................................        25
     Section 2.15.  Acceptance of the Indenture Trustee.....................................        25

SECTION 3.   RECEIPT, DISTRIBUTION AND APPLICATION OF INCOME FROM INDENTURE ESTATE..........        25
     Section 3.1.   Distribution of Periodic Rent...........................................        25
     Section 3.2.   Payments Following Event of Loss or Other Early Termination.............        27
     Section 3.3.   Payments After Lease Indenture Event of Default.........................        28
     Section 3.4.   Investment of Certain Payments Held by the Indenture Trustee............        29
     Section 3.5.   Application of Certain Other Payments...................................        30
     Section 3.6.   Other Payments..........................................................        30
     Section 3.7.   Excepted Payments.......................................................        31
     Section 3.8.   Distributions to the Owner Lessor.......................................        31
     Section 3.9.   Payments Under Assigned Documents.......................................        31
     Section 3.10.  Disbursement of Amounts Received by the Indenture Trustee...............        31
</TABLE>

                                        i

<PAGE>

<TABLE>
<S>                                                                                               <C>
SECTION 4.   COVENANTS OF OWNER LESSOR; DEFAULTS; REMEDIES OF INDENTURE TRUSTEE.............        35
     Section 4.1.   Covenants of Owner Lessor...............................................        35
     Section 4.2.   Lease Indenture Events of Default.......................................        36
     Section 4.3.   Remedies of the Indenture Trustee.......................................        38
     Section 4.4.   Right to Cure Certain Lease Events of Default...........................        40
     Section 4.5.   Rescission of Acceleration..............................................        43
     Section 4.6.   Return of Indenture Estate, Etc.........................................        44
     Section 4.7.   Power of Sale and Other Remedies........................................        45
     Section 4.8.   Appointment of Receiver.................................................        46
     Section 4.9.   Remedies Cumulative.....................................................        46
     Section 4.10.  Waiver of Various Rights by the Owner Lessor............................        46
     Section 4.11.  Discontinuance of Proceedings...........................................        47
     Section 4.12.  No Action Contrary to the Facility Lessee's Rights Under the Facility
                    Lease...................................................................        47
     Section 4.13.  Right of the Indenture Trustee to Perform Covenants, Etc................        47
     Section 4.14.  Further Assurances......................................................        48
     Section 4.15.  Waiver of Past Defaults.................................................        48

SECTION 5.   DUTIES OF INDENTURE TRUSTEE; CERTAIN RIGHTS AND DUTIES OF OWNER LESSOR.........        48
     Section 5.1.   Notice of Action Upon Lease Indenture Event of Default..................        48
     Section 5.2.   Actions Upon Instructions Generally.....................................        48
     Section 5.3.   Action Upon Payment of Lessor Notes or Termination of Facility Lease....        49
     Section 5.4.   Compensation of the Indenture Trustee; Indemnification..................        49
     Section 5.5.   No Duties Except as Specified; No Action Except Under Facility Lease,
                    Indenture or Instructions...............................................        50
     Section 5.6.   Certain Rights of the Owner Lessor......................................        50
     Section 5.7.   Restrictions on Dealing with Indenture Estate...........................        53
     Section 5.8.   Filing of Financing Statements and Continuation Statements..............        53

SECTION 6.   INDENTURE TRUSTEE AND OWNER LESSOR.............................................        54
     Section 6.1.   Acceptance of Trusts and Duties.........................................        54
     Section 6.2.   Absence of Certain Duties...............................................        56
     Section 6.3.   Representations and Warranties..........................................        57
     Section 6.4.   No Segregation of Moneys; No Interest...................................        57
     Section 6.5.   Reliance; Agents; Advice of Experts.....................................        58
</TABLE>

                                       ii

<PAGE>

<TABLE>
<S>                                                                                               <C>
SECTION 7.   SUCCESSOR INDENTURE TRUSTEES AND SEPARATE TRUSTEES.............................        59
     Section 7.1.   Resignation or Removal of the Indenture Trustee; Appointment of
                    Successor...............................................................        59
     Section 7.2.   Appointment of Additional and Separate Trustees.........................        61

SECTION 8.   SUPPLEMENTS AND AMENDMENTS TO THIS INDENTURE AND OTHER DOCUMENTS...............        63
     Section 8.1.   Supplemental Indenture and Other Amendment With Consent; Conditions and
                    Limitations.............................................................        63
     Section 8.2.   Supplemental Indentures and other Amendments Without Consent............        64
     Section 8.3.   Conditions to Action by the Indenture Trustee...........................        65

SECTION 9.   MISCELLANEOUS..................................................................        66
     Section 9.1.   Surrender, Defeasance and Release.......................................        66
     Section 9.2.   Conveyances Pursuant to the Site Lease..................................        67
     Section 9.3.   Appointment of the Indenture Trustee as Attorney; Further Assurances....        67
     Section 9.4.   Indenture for Benefit of Certain Persons Only...........................        67
     Section 9.5.   Notices; Furnishing Documents, etc......................................        68
     Section 9.6.   Severability............................................................        70
     Section 9.7.   Limitation of Liability.................................................        70
     Section 9.8.   Written Changes Only....................................................        70
     Section 9.9.   Counterparts............................................................        70
     Section 9.10.  Successors and Permitted Assigns........................................        70
     Section 9.13.  Reorganization Proceedings with Respect to the Lessor Estate............        71
     Section 9.14.  Withholding Taxes: Information Reporting................................        72
     Section 9.15.  Fixture Financing Statement.............................................        73
</TABLE>

EXHIBITS

<TABLE>
<S>                  <C>
Exhibit A            Description of Facility Site
Exhibit B            Form of Lessor Note
Exhibit C            Form of Certificate of Authentication
Exhibit D            Description of the Facility
</TABLE>

APPENDIX A Definitions

                          INDENTURE OF TRUST, MORTGAGE,

                                       iii
<PAGE>
                      SECURITY AGREEMENT AND FIXTURE FILING

     This INDENTURE OF TRUST, MORTGAGE, SECURITY AGREEMENT AND FIXTURE FILING
(as amended, supplemented or otherwise modified from time to time in accordance
with the provisions hereof, this "Indenture"), dated as of October 18, 2001,
between BROAD RIVER OL-3, LLC, having an address set forth in Section 9.5
hereof, a Delaware limited liability company created for the benefit of the
Owner Participant referred to below, as mortgagor (the "Owner Lessor") and
STATE STREET BANK AND TRUST COMPANY OF CONNECTICUT, NATIONAL ASSOCIATION,
having an address set forth in Section 9.5 hereof, as mortgagee on behalf of
the Noteholders (the "Indenture Trustee") and as the Account Bank.

                                  WITNESSETH:

     WHEREAS, Broad River Energy, LLC (the "Facility Lessee") is the lessee
under that certain Lease Agreement (the "FILOT Lease") by and between itself
and Cherokee County, South Carolina, a body politic and corporate and a
political subdivision of the State of South Carolina, as landlord (the
"County") in connection with the Facility and the Facility Site (each as
hereinafter defined), a memorandum of which FILOT Lease was recorded in the
office of the Cherokee County Clerk of Court in Book 71, page 200;

     WHEREAS, the Facility Lessee has assigned the Undivided Interest and the
Ground Interest to the Owner Lessor pursuant to that certain Assignment
Agreement, a memorandum of which shall be recorded with this Indenture in the
Office of the Cherokee County Clerk of Court;

     WHEREAS, the Owner Lessor has entered into the Facility Lease, dated as of
the date hereof (as amended, supplemented or otherwise modified from time to
time in accordance with the provisions thereof, the "Facility Lease"), with the
Facility Lessee pursuant to which the Facility Lessee has subleased from the
Owner Lessor for a term of years the Owner Lessor's Undivided Interest in the
Facility;

     WHEREAS, the Owner Lessor has entered into the Facility Site Lease, dated
as of the date hereof (as amended, supplemented or otherwise modified from time
to time in accordance with the provisions thereof, the "Facility Site Lease"),
with the Facility Lessee pursuant to which the Facility Lessee has subleased
the Ground Interest from the Owner Lessor for a term of years;

                                       2
<PAGE>
     WHEREAS, the Facility is more particularly described on Exhibit D hereto
and made a part hereof and the Facility Site is more particularly described on
Exhibit A hereto and made a part hereof;

     WHEREAS, in accordance with this Indenture, the Owner Lessor will (i)
execute and deliver the Lessor Notes, the proceeds of which will be used by the
Owner Lessor to finance a portion of the Assumption Price for the Undivided
Interest assigned to the Owner Lessor by the Facility Lessee and (ii) grant to
the Indenture Trustee the security interests herein provided;

     WHEREAS, this Indenture is regarded as a mortgage under the laws of the
State of South Carolina as a security agreement under the Uniform Commercial
Codes of the States of New York, Delaware and South Carolina, and as a fixture
filing under the laws of the State of South Carolina;

     WHEREAS, the Owner Lessor and the Indenture Trustee desire to enter into
this Indenture, to, among other things, provide for (a) the issuance by the
Owner Lessor of the Lessor Notes to be issued on the Closing Date, and
Additional Lessor Notes from time to time and (b) the conveyance and assignment
to the Indenture Trustee on the Closing Date of the Undivided Interests
conveyed to the Owner Lessor and the Owner Lessor's right, title and interest
in and under the Operative Documents executed in connection therewith and all
payments and other amounts received hereunder or thereunder in accordance
herewith (excluding Excepted Payments);

     WHEREAS, the latest stated maturity date of the Initial Lessor Notes is
May 30, 2019;

     WHEREAS, all things have been done to make the Lessor Notes, when executed
by the Owner Lessor, authenticated and delivered hereunder and issued, the
valid obligations of the Owner Lessor; and

     WHEREAS, all things necessary to make this Indenture the valid, binding
and legal obligation of the Owner Lessor, for the uses and purposes herein set
forth, in accordance with its terms, have been done and performed and have
happened.

     NOW THEREFORE, in consideration of the foregoing premises, the mutual
agreements herein contained, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, and in order to
secure (i) the prompt payment when and as due of the principal of and the
Make-Whole Amount, if any, and

                                       3
<PAGE>
accrued, deferred or capitalized interest on the Lessor Notes and of all
other amounts owing with respect to all Lessor Notes from time to time
outstanding hereunder, and the prompt payment when and as due of any and all
other amounts from time to time owing in respect of the Secured Indebtedness
and (ii) the performance and observance by the Owner Lessor for the benefit of
the holders of the Lessor Notes and the Indenture Trustee of all other
obligations, agreements, and covenants of the Owner Lessor set forth
hereinafter and in the Lessor Notes, the Operative Documents and the other
documents, certificates and agreements delivered in connection therewith:

                                GRANTING CLAUSE:

     The Owner Lessor hereby irrevocably grants, mortgages, conveys, assigns,
transfers, pledges, bargains, sells and confirms unto the Indenture Trustee and
its successors and permitted assigns, for the benefit of the holders of the
Lessor Notes from time to time, a first priority security interest in and
mortgage lien on all estate, right, title and interest of the Owner Lessor in,
to and under the following described property, rights, interests and
privileges, whether now held or hereafter acquired (which collectively,
including all property hereafter specifically subjected to the security
interest created by this Indenture by any supplement hereto, exclusive of
Excepted Payments) are included within, and are hereafter referred to as, the
"Indenture Estate"):

     (1)  the Undivided Interest (including the Facility Purchase Option), the
Owner Lessor's interest in any Components; the Owner Lessor's interest in any
Improvements; the Ground Interest (including the Land Purchase Option); the
Facility Lease and all payments of any kind by the Facility Lessee thereunder
(including Rent); any rights of the Owner Lessor as assignee of the Facility
Lessee under the Facility Lease; the Facility Site Lease and all payments of
any kind by the Facility Lessee thereunder; the Assignment Agreement (and all
rights with respect to the FILOT Lease conveyed thereby); the Owner Lessor's
interest in all tangible property located on or at or attached to the Facility
Site as to which an interest in such tangible property arises under applicable
real estate law ("fixtures"); the Calpine Guaranty, the Ownership and Operation
Agreement and all and any interest in any property now or hereafter granted to
the Owner Lessor pursuant to any provision of the Facility Lease or the FILOT
Lease (including, without limitation, the option to purchase set forth in
Section 10.02 of the FILOT Lease); the FILOT Lease, and each other Operative
Document to which the Owner Lessor is a party other than the Tax Indemnity
Agreement, the Tri-Party Agreement and the LLC Agreement (the Undivided
Interest, the Owner Lessor's interest in any Components, the Owner Lessor's
interest in any fixtures, Improvements and the Ground Interest are collectively
referred to as the "Property Interest" and the documents specifically referred
to above in this paragraph (1) are collectively referred to as the

                                       4
<PAGE>
"Assigned Documents"), including, without limitation, (x) all rights of the
Owner Lessor to receive any payments or other amounts or, subject to Section
5.6 hereof, to exercise any election or option or to make any decision or
determination or to give or receive any notice, consent, waiver or approval or
to make any demand or to take any other action under or in respect of any such
document, to accept surrender or redelivery of the Property Interest or any
part thereof, as well as all the rights, powers and remedies on the part of the
Owner Lessor, whether acting under any such document or by statute or at law or
in equity or otherwise, arising out of any Lease Default or Lease Event of
Default and (y) any right to restitution from the Facility Lessee, any
sublessee or any other person in respect of any determination of invalidity of
any such document;

     (2)  all rents (including Periodic Rent and Supplemental Rent), royalties,
issues, profits, revenues, proceeds, damages, claims, warranties and other
income from the property described in this Granting Clause, including, without
limitation, all payments or proceeds payable to the Owner Lessor as the result
of the sale of the Property Interest or the lease or other disposition of the
Property Interest, and all estate, right, title and interest of every nature
whatsoever of the Owner Lessor in and to such rents, issues, profits, revenues
and other income and every part thereof (the "Revenues");

     (3)  any sublease of the Facility and any assignment thereof now or
hereafter in effect, including, without limitation, (i) all rents or other
amounts or payments of any kind paid or payable by the obligor(s) thereunder or
in respect thereof and all collateral security or credit support with respect
thereto (whether cash or in the nature of a guarantee, letter of credit, credit
insurance, lien on or security interest in property or otherwise) for the
obligations of the sublessee thereunder as well as all rights of the Owner
Lessor to enforce payment of any such rents, amounts or payments, (ii) all
rights of the Owner Lessor to exercise any election or option or to make any
decision or determination or to give or receive any notice, consent, waiver or
approval or to take any other action under or in respect of any sublease of the
Facility and any assignment thereof or to accept surrender or redelivery of the
Facility or any part thereof, as well as all the rights, powers and remedies on
the part of the Owner Lessor, whether acting under any sublease of the Facility
or any assignment thereof or by statute or at law or in equity, or otherwise,
arising out of any default under such sublease or any assignment thereof, and
(iii) any right to restitution from the Facility Lessee, the applicable
sublessee or any guarantor of such sublessee in respect of any determination of
invalidity of any sublease of the Facility or any assignment thereof;

     (4)  all condemnation proceeds with respect to the Property Interest or any
part thereof (to the extent of the Owner Lessor's interest therein), and all
proceeds (to the

                                       5
<PAGE>
extent of the Owner Lessor's interest therein) of all insurance maintained
pursuant to Section 11 of the Facility Lease or otherwise;

     (5)  all other property of every kind and description and interests
therein now held or hereafter acquired by the Owner Lessor pursuant to the
terms of any Assigned Document, wherever located, including, without
limitation, that which may be acquired pursuant to the option to purchase in
Section 10.02 of the FILOT Lease; and

     (6)  all proceeds of the foregoing;

     BUT EXCLUDING from such property, rights and privileges all Excepted
Payments and SUBJECT TO the rights of the Owner Lessor and the Owner
Participant hereunder, including under Sections 4.3(d), 4.4 and 5.6 hereof;

     TO HAVE AND TO HOLD the Indenture Estate and all parts, rights, members
and appurtenances thereof, unto the Indenture Trustee and the successors and
permitted assigns of the Indenture Trustee, for the benefit and security of the
Noteholders from time to time;

     PROVIDED, HOWEVER, that if the principal of and the Make-Whole Amount, if
any, and interest on the Lessor Notes, and all other Secured Indebtedness
hereunder shall have been paid and the Owner Lessor shall have performed and
complied with all the covenants, agreements, terms and provisions hereof, then
this Indenture and the rights hereby granted shall terminate and cease.

     Subject to the terms and conditions hereof, the Owner Lessor does hereby
irrevocably constitute and appoint the Indenture Trustee the true and lawful
attorney of the Owner Lessor (which appointment is coupled with an interest)
with full power (in the name of the Owner Lessor or otherwise) to ask, require,
demand and receive any and all moneys an claims for moneys (in each case,
including, without limitation, insurance and requisition proceeds to the extent
of the Owner Lessor's interest therein but excluding in all cases Excepted
Payments) due and to become due under or arising out of the Assigned Documents
and all other property which now or hereafter constitutes part of the Indenture
Estate and, to endorse any checks or other instruments or orders in connection
therewith and to file any claims or to take any action or to institute any
proceedings (other than in connection with the enforcement or collection of
Excepted Payments) which the Indenture Trustee may deem to be necessary or
advisable. Pursuant to the Facility Lease, the Facility Lessee is directed to
make all payments of Rent required to be paid or deposited with the Owner
Lessor (other than Excepted Payments) and all other amounts which are required
to be paid to or deposited with the Owner Lessor pursuant to the

                                       6
<PAGE>
Facility Lease (other than Excepted Payments) directly to the Indenture Trustee
at such address or addresses as the Indenture Trustee shall specify, for
application as provided in this Indenture. Further, the Owner Lessor agrees
that promptly on receipt thereof, it will transfer to the Indenture Trustee any
and all moneys from time to time received by it constituting part of the
Indenture Estate, whether or not expressly referred to in the immediately
preceding sentence, for distribution pursuant to this Indenture.

     Concurrently with the delivery of this Indenture, the Owner Lessor is
delivering to the Indenture Trustee the chattel paper originally-executed
counterpart of the Facility Lease. All property referred to in this Granting
Clause, whenever acquired by the Owner Lessor, shall secure all obligations
under and with respect to the Lessor Notes at any time outstanding. Any and all
properties referred to in this Granting Clause which are hereafter acquired by
the Owner Lessor, shall, without further conveyance, assignment or act by the
Owner Lessor or the Indenture Trustee thereby become and be subject to the
security interest hereby granted as fully and completely as though specifically
described herein.

     This Indenture is intended to constitute a security agreement as required
under the Uniform Commercial Codes of the States of New York, Delaware and
South Carolina.

     The Indenture Trustee, for itself and its successors and permitted
assigns, hereby agrees that it shall hold the Indenture Estate, in trust for
the benefit and security of (i) the holders from time to time of the Lessor
Notes from time to time outstanding, without any priority of any one Lessor
Note over any other except as herein otherwise expressly provided and (ii) the
Indenture Trustee, and for the uses and purposes and subject to the terms and
provisions set forth in this Indenture. It is expressly agreed that anything
herein contained to the contrary notwithstanding, the Owner Lessor shall remain
liable under the Assigned Documents to perform all of the obligations assumed
by it thereunder, all in accordance with and pursuant to the terms and
provisions thereof, and the Indenture Trustee and the Noteholders shall have no
obligation or liability under any Assigned Document by reason of or arising out
of the assignment hereunder, nor shall the Indenture Trustee or the Noteholders
be required or obligated in any manner, except as herein expressly provided, to
perform or fulfill any obligation of the Owner Lessor under or pursuant to any
such Assigned Document or, except as herein expressly provided, to make any
payment, or to make any inquiry as to the nature or sufficiency of any payment
received by it, or to present or file any claim, or to take any action to
collect or enforce the payment of any amounts which may have been assigned to
it or to which it may be entitled at any time or times.

                                       7
<PAGE>
     The Owner Lessor does hereby warrant and represent that it has not
assigned, pledged or granted a lien or security interest in, to or under, and
hereby covenants that, so long as this Indenture shall remain in effect and the
Lien hereof shall not have been released pursuant to Section 9.1 hereof, it
will not assign, pledge or grant a lien or security interest in any of its
estate, right, title or interest in, to or under, the Indenture Estate to
anyone other than the Indenture Trustee for the benefit of the Noteholders. The
Owner Lessor hereby further covenants that with respect to its estate, right,
title and interest in, to or under the Indenture Estate, it will not, except as
provided in this Indenture and except as to Excepted Payments, (i) accept any
payment from the Facility Lessee or any sublessee or enter into any agreement
amending, modifying or supplementing any of the Assigned Documents, execute any
waiver or modification of, or consent under (other than (x) the exercise of the
purchase option pursuant to the FILOT Lease and the right to make the
determinations and take the actions contemplated by Section 14 of the
Participation Agreement (subject to the satisfaction of the conditions set
forth in Section 14 of the Participation Agreement) including, without
limitation, the Owner Lessor's right to direct that title to the Land (to the
extent of the Owner Lessor's Percentage Interest) be conferred from the County
to the Facility Lessee and (y) any action pursuant to Section 5.20 of the
Participation Agreement (subject to the conditions set forth in Section 5.20 of
the Participation Agreement)), the terms of any of the Assigned Documents or
revoke or terminate any of the Assigned Documents, (ii) settle or compromise
any claim arising under any of the Assigned Documents, or (iii) submit or
consent to the submission of any dispute, difference or other matter arising
under or in respect of any of the Assigned Documents to arbitration thereunder
(other than (x) the exercise of the purchase option pursuant to the FILOT Lease
and the right to make the determinations and take the actions contemplated by
Section 14 of the Participation Agreement (subject to the satisfaction of the
conditions set forth in Section 14 of the Participation Agreement) including,
without limitation, the Owner Lessor's right to direct that title to the Land
(to the extent of the Owner Lessor's Percentage Interest) be conferred from the
County to the Facility Lessee and (y) any action pursuant to Section 5.20 of
the Participation Agreement (subject to the conditions set forth in Section
5.20 of the Participation Agreement)).

     Except as provided herein, the Owner Lessor hereby ratifies and confirms
its obligations under the Assigned Documents and does hereby agree that it will
not take or omit to take any action, the taking or omission of which might
result in an alteration or impairment of any of the Assigned Documents or of
any of the rights created by any such Assigned Document or the assignment
(subject to the previous) paragraph hereunder.

     In the event Owner Lessor acquires the fee simple title or any other
greater estate or interest in the Facility and/or the Facility Site (including,
without limitation, pursuant

                                       8
<PAGE>
to the option to purchase as set forth in Section 10.02 of the FILOT Lease),
such acquisition will merge with the leasehold estate created by the FILOT
Lease, and such other title, estate or interest shall immediately and
automatically become subject to the lien hereof and such title, estate or
interest shall be part of the Indenture Estate and included within the term and
definition of "Property Interest." The Owner Lessor shall execute, acknowledge
and deliver any instruments requested by the Indenture Trustee to confirm the
coverage of the lien hereof upon such other greater estate or interest. The
Owner Lessor shall pay any and all conveyance or mortgage taxes, and filing or
similar fees in connection with the execution, delivery, filing or recording of
any such instrument.

     Accordingly, the Owner Lessor, for itself and its successors and permitted
assigns, agrees that all Lessor Notes are to be issued and delivered and that
all property subject or to become subject hereto is to be held subject to the
further covenants, conditions, uses and trusts hereinafter set forth, and the
Owner Lessor, for itself and its successors and permitted assigns, hereby
covenants and agrees with the Indenture Trustee, for the benefit and security
of the holders from time to time of the Lessor Notes from time to time
outstanding and to protect the security of this Indenture, and the Indenture
Trustee agrees to accept the trusts and duties hereinafter set forth, as
follows:

                                   SECTION 1.
                                  DEFINITIONS

     (a)  Unless the context hereof shall otherwise require, capitalized terms
used, including those in the recitals, and not otherwise defined herein shall
have the respective meanings set forth in Appendix A to the Participation
Agreement (a copy of which is attached hereto for reference), dated as of the
date hereof, among the Facility Lessee, the Owner Lessor the Lessor Manager,
the Guarantor, the Indenture Trustee and the Pass Through Trustee (as amended,
supplemented or otherwise modified from time to time in accordance with the
provisions thereof, the "Participation Agreement"). The general provisions of
such Appendix A to the Participation Agreement shall apply to the terms used in
this Indenture and specifically defined herein.

     (b)  In addition, the following terms shall have the following meanings.

     "Assumption Documents" has the meaning set forth in Section 2.10(b).

     "Facility" means the 850 MW nameplate capacity gas-fired simple cycle
merchant power plant located in Gaffney, South Carolina and more fully
described in Exhibit D to this Indenture. The Facility does not include the
Facility Site.

                                       9
<PAGE>
     "Secured Indebtedness" means principal of and the Make-Whole Amount, if
any, and accrued, deferred or capitalized interest on and other amounts due
under all Lessor Notes and all other sums payable to the Indenture Trustee or
the Noteholders from time to time hereunder and under the Participation
Agreement and the other Operative Documents by the Facility Lessee, the Owner
Participant and the Owner Lessor, including:

          (i)   The indebtedness evidenced by the Lessor Notes, together with
     accrued, deferred or capitalized interest thereon at the rate provided in
     each Lessor Note and the Make-Whole Amount thereon and together with any
     and all renewals, modifications, consolidations and extensions of the
     indebtedness evidenced by such Lessor Notes, and principal of such Lessor
     Notes being due and payable as provided in such Lessor Notes;

          (ii)   Any and all other indebtedness now owing or which may hereafter
     be owing by the Owner Lessor to or for the benefit of the Indenture
     Trusteeunder the Operative Documents including indemnities and other
     Supplemental Rent payable by the Facility Lessee under the Operative
     Documents, whether evidenced by Additional Lessor Notes issued pursuant to
     Section 2.12 hereof or otherwise, however and whenever incurred or
     evidenced, whether direct or indirect, absolute or contingent, due or to
     become due, together with accrued, deferred or capitalized interest
     thereon at the rate provided in each Additional Lessor Note and the
     Make-Whole Amount thereon (if any) and together with any and all renewals,
     modifications, consolidations and extensions of the indebtedness evidenced
     by such Additional Lessor Notes, and principal of such Additional Lessor
     Notes being due and payable as provided in each such Additional Lessor
     Note.

          (iii)   Any and all additional advances made by the Indenture Trustee
     to protect or preserve the Indenture Estate or the security interest and
     other interests created hereby on the Indenture Estate or for taxes,
     assessments or insurance premiums as hereinafter provided or for
     performance of any of the Owner Lessor's obligations hereunder or for any
     other purpose provided herein, including advances made pursuant to
     Section 4.13 hereof (whether or not the Owner Lessor remains the owner of
     the Indenture Estate at the time of such advances); and

                                       10
<PAGE>
          (iv)   Any and all expenses incident to the collection of the Secured
     Indebtedness and the foreclosure hereof by action in any court or by
     exercise of the power of sale herein contained.

     "Undivided Interest" means the Owner Lessor's 25% undivided leasehold
interest in the Facility.

                                   SECTION 2.
                                THE LESSOR NOTES

     Section 2.1.   Limitation on Lessor Notes. No Lessor Notes may be issued
under the provisions of, or become secured by, this Indenture except in
accordance with the provisions of this Section 2. The aggregate principal
amount of the Lessor Notes which may be authenticated and delivered and
outstanding at any one time under this Indenture shall be limited to the
principal amount of the Initial Lessor Notes issued on the Closing Date to the
Pass Through Trustees plus the aggregate principal amount of Additional Lessor
Notes issued pursuant to Section 2.12.

     Section 2.2.   Initial Lessor Notes. There are hereby created and
established hereunder two series of Lessor Notes consisting of the Series A
Lessor Notes and the Series B Lessor Notes, each in substantially the form set
forth in Exhibit B to this Indenture and each such series in the aggregate
principal amount, having installments payable on the dates and in the amounts
and having the final maturity date and interest rate set forth in Schedule I to
this Indenture (respectively, the "Series A Lessor Notes" and the "Series B
Lessor Notes", collectively, the "Initial Lessor Notes" or, individually, an
"Initial Lessor Note".

     Section 2.3.   Execution and Authentication of Lessor Notes. Each Lessor
Note issued hereunder shall be executed and delivered on behalf of the Owner
Lessor by one of its authorized signatories, be in fully registered form, be
dated the date of original issuance of such Lessor Note and be in denominations
of not less than $1,000. Any Lessor Note may be signed by a Person who, at the
actual date of the execution of such Lessor Note, is an authorized signatory of
the Owner Lessor although at the nominal date of such Lessor Note such Person
may not have been an authorized signatory of the Owner Lessor. No Lessor Note
shall be secured by or be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose unless there appears thereon a certificate
of authentication in the form contained in Exhibit C (or in the appropriate
form provided for in any supplement hereto executed pursuant to Section 2.12
hereof), executed by the Indenture Trustee by the manual signature of one of
its authorized officers, and such certificate upon any Lessor Note shall be
conclusive evidence that such

                                       11
<PAGE>
Lessor Note has been duly authenticated and delivered hereunder. The Indenture
Trustee shall authenticate and deliver the Initial Lessor Notes for original
issue on the Closing Date in the principal amount specified in Section 2.2,
upon a written order of the Owner Lessor signed by the Lessor Manager. The
Indenture Trustee shall authenticate and deliver Additional Lessor Notes, upon
a written order of the Owner Lessor executed by the Lessor Manager and
satisfaction of the conditions specified in Section 2.12. Such order shall
specify the principal amount of the Additional Lessor Notes to be authenticated
and the date on which the original issue of Additional Lessor Notes is to be
authenticated.

     Section 2.4.   Issuance and Terms of the Initial Lessor Notes.

     (a)  Issuance of the Lessor Notes at the Closing. On the Closing Date, the
Initial Lessor Notes shall be issued to the applicable Pass Through Trustee in
the amounts set forth in Schedule I hereto, and shall be dated the Closing Date.

     (b)  Principal and Interest. The principal amount of each series of
Initial Lessor Notes shall be due and payable in a series of installments
having final payment dates set forth in Schedule I hereto. The principal of
each Initial Lessor Note shall be due and payable in installments on the dates
and in the amounts set forth in Schedule I hereto. Schedule I hereto to the
contrary notwithstanding, the last payment made under such Initial Lessor Note
shall be equal to the then unpaid balance of the principal of such Lessor Note
plus all accrued and unpaid interest on, and any other amounts due under, such
Initial Lessor Note. Each Initial Lessor Note shall bear interest on the
principal from time to time outstanding from and including the date of issuance
thereof (computed on the basis of a 360-day year of twelve 30-day months) until
paid in full at the rate set forth in such Initial Lessor Note and Schedule I
hereto. Each Initial Lessor Note shall accrue additional interest under the
circumstances and at the rate per annum set forth in the third paragraph of
each Initial Lessor Note. Interest on each Initial Lessor Note shall be due and
payable in arrears semi-annually commencing on May 30, 2002, and on each May 30
and November 30 thereafter until paid in full. If any day on which principal,
Make-Whole Amount, if any, or interest on the Initial Lessor Notes are payable
is not a Business Day, payment thereof shall be made on the next succeeding
Business Day with the same effect as if made on the date on which such payment
was due.

     (c)   Overdue Payments. Interest (computed on the basis of a 360-day year
of twelve 30-day months) on any overdue principal, Make-Whole Amount (if any)
and, to the extent permitted by Applicable Law, interest and any other amounts
payable shall be paid on demand at the Overdue Rate.

                                       12
<PAGE>
     (d)  Indemnity Amounts. The Owner Lessor agrees to pay to the Indenture
Trustee for distribution in accordance with Section 3.5 hereof any and all
indemnity amounts received by the Owner Lessor which are payable by the
Facility Lessee to (i) the Indenture Trustee, (ii) the Pass Through Trusts, or
(iii) the Pass Through Trustees.

     Section 2.5.   Payments from Indenture Estate Only; No Personal Liability
of the Owner Lessor, the Owner Participant or the Indenture Trustee. Except as
otherwise specifically provided in this Indenture or the Participation
Agreement, all payments in respect of the Lessor Notes or under this Indenture
shall be made only from the Indenture Estate, and the Owner Lessor shall have
no obligation for the payment thereof except to the extent that there shall be
sufficient income or proceeds from the Indenture Estate to make such payments
in accordance with the terms of Section 3 hereof; and the Owner Participant
shall not have any obligation for payments in respect of the Lessor Notes or
under this Indenture. The Indenture Trustee and each Noteholder, by its
acceptance thereof, agrees that it will look solely to the income and proceeds
from the Indenture Estate to the extent available for distribution to the
Indenture Trustee or such Noteholder, as the case may be, as herein provided
and that, except as expressly provided in this Indenture, the Participation
Agreement or any other Operative Document, none of the Owner Participant, the
Owner Lessor, the Trust Company, the Lease Indenture Company, nor the Indenture
Trustee, nor any Affiliate of any thereof, shall be personally liable to such
Noteholder or the Indenture Trustee for any amounts payable hereunder, under
such Lessor Note or for any performance to be rendered under any Assigned
Document or for any liability under any Assigned Document. Without prejudice to
the foregoing, the Owner Lessor will duly and punctually pay or cause to be
paid the principal of, Make-Whole Amount, if any, and interest on all Lessor
Notes according to their terms and the terms of this Indenture. Nothing
contained in this Section 2.5 limiting the liability of the Owner Lessor shall
derogate from the right of the Indenture Trustee and the Noteholders to proceed
against the Indenture Estate and the Calpine Guaranty to secure and enforce all
payments and obligations due hereunder and under the Assigned Documents and the
Lessor Notes.

     (a)  In furtherance of the foregoing, to the fullest extent permitted by
law, each Noteholder (and each assignee of such Person), by its acceptance
thereof, agrees that neither it nor the Indenture Trustee will exercise any
statutory right to negate the agreements set forth in this Section 2.5.

     (b)  Nothing herein contained shall be interpreted as affecting the
representations, warranties or agreements of the Owner Lessor set forth in the
Participation Agreement or the LLC Agreement.

                                       13
<PAGE>
     Section 2.6.   Method of Payment. The Owner Lessor shall maintain an office
or agency where Lessor Notes may be presented for payment (the "Paying Agent").
The Owner Lessor may have one or more additional paying agents. The term
"Paying Agent" includes any additional paying agent. The Owner Lessor initially
appoints the Indenture Trustee as Paying Agent in connection with the Lessor
Notes.

     (a)  The Owner Lessor shall deposit with the Paying Agent a sum sufficient
to pay such principal and interest when so becoming due. The Owner Lessor shall
require each Paying Agent (other than the Indenture Trustee) to agree in
writing that the Paying Agent shall hold in trust for the benefit of the
Noteholders or the Indenture Trustee all money held by the Paying Agent for the
payment of principal of or interest on the Lessor Notes and shall notify the
Indenture Trustee of any default by the Owner Lessor in making any such payment.

     (b)  The principal of and the Make-Whole Amount, if any, and interest on
each Lessor Note shall be paid by the Paying Agent from amounts available in
the Indenture Estate on the dates provided in the Lessor Notes by mailing a
check for such amount, payable in New York Clearing House funds, to each
Noteholder at the last address of each such Noteholder appearing on the Note
Register, or by whichever of the following methods shall be specified by notice
from a Noteholder to the Indenture Trustee: (i) by crediting the amount to be
distributed to such Noteholder to an account maintained by such Noteholder with
the Indenture Trustee, (ii) by making such payment to such Noteholder in
immediately available funds at the Indenture Trustee Office, or (iii) in the
case of the Initial Lessor Notes and in the case of Additional Lessor Notes, if
such Noteholder is the Pass Through Trustee, or a bank or other institutional
investor, by transferring such amount in immediately available funds for the
account of such Noteholder to the banking institution having bank wire transfer
facilities as shall be specified by such Noteholder, such transfer to be
subject to telephonic confirmation of payment. Any payment made under any of
the foregoing methods shall be made free and clear of and without reduction for
or on account of all wire and like charges and without any presentment or
surrender of such Lessor Note, unless otherwise specified by the terms of the
Lessor Note, except that, in the case of the final payment in respect of any
Lessor Note, such Lessor Note shall be surrendered to the Indenture Trustee for
cancellation after such payment. All payments in respect of the Lessor Notes
shall be made (1) as soon as practicable prior to the close of business on the
date the amounts to be distributed by the Indenture Trustee are actually
received by the Indenture Trustee if such amounts are received by 12:00 noon
New York City time, on a Business Day, or (2) on the next succeeding Business
Day if received after such time or on any day other than a Business Day. One or
more of the foregoing methods of payment may be specified in a Lessor Note.
Prior to due presentment for registration of transfer of any

                                       14
<PAGE>
Lessor Note, the Owner Lessor and the Indenture Trustee may deem and treat the
Person in whose name any Lessor Note is registered on the Note Register as the
absolute owner and holder of such Lessor Note for the purpose of receiving
payment of all amounts payable with respect to such Lessor Note and for all
other purposes, and neither the Owner Lessor nor the Indenture Trustee shall be
affected by any notice to the contrary. All payments made on any Lessor Note in
accordance with the provisions of this Section 2.6 shall be valid and effective
to satisfy and discharge the liability on such Lessor Note to the extent of the
sums so paid and (except as provided herein) neither the Indenture Trustee nor
the Owner Lessor shall have any liability in respect of such payment.

     Section 2.7.   Application of Payments. Each payment on any outstanding
Lessor Note shall be applied, first, to the payment of accrued interest
(including interest on overdue principal and the Make-Whole Amount, if any,
and, to the extent permitted by Applicable Law, overdue interest) on such
Lessor Note to the date of such payment, second, to the payment of the
principal amount of, and the Make-Whole Amount, if any, on such Lessor Note
then due (including any overdue installments of principal) thereunder and
third, to the extent permitted by Section 2.10 of this Indenture, the balance,
if any, remaining thereafter, to the payment of the principal amount of, and
the Make-Whole Amount, if any, on such Lessor Note. The order of application of
payments prescribed by this Section 2.7 shall not be deemed to supersede any
provision of Section 3 hereof regarding application of funds.

     Section 2.8.   Registration, Transfer and Exchange of Lessor Notes. The
Owner Lessor shall maintain an office or agency where Lessor Notes may be
presented for registration of transfer or for exchange (the "Registrar"). The
Registrar shall keep a register of the Lessor Notes and of their transfer and
exchange. The Owner Lessor may have one or more co-registrars. The Owner Lessor
initially appoints the Indenture Trustee as Registrar in connection with the
Lessor Notes. The Indenture Trustee shall maintain at the Indenture Trustee
Office a register in which it will provide for the registration, registration
of transfer and exchange of Lessor Notes (such register being referred to
herein as the "Note Register"). If any Lessor Note is surrendered at said
office for registration of transfer or exchange (accompanied by a written
instrument of transfer duly executed by or on behalf of the holder thereof,
together with the amount of any applicable transfer taxes), the Owner Lessor
will execute and the Indenture Trustee will authenticate and deliver, in the
name of the designated transferee or transferees, if any, one or more new
Lessor Notes (subject to the limitations specified in Sections 2.3 and 2.13
hereof) in any denomination or denominations not prohibited by this Indenture,
as requested by the Person surrendering the Lessor Note, dated the same date as
the Lessor Note so surrendered and of like tenor and aggregate unpaid principal
amount. Any Lessor Note or Lessor Notes issued in a registration of transfer or
exchange shall be valid

                                       15
<PAGE>
obligations of the Owner Lessor entitled to the same security and benefits to
which the Lessor Note or Lessor Notes so transferred or exchanged were
entitled, including rights as to interest accrued but unpaid and to accrue so
that there will not be any loss or gain of interest on the Lessor Note or
Lessor Notes surrendered. Every Lessor Note presented or surrendered for
registration of transfer or exchange shall be duly endorsed, or be accompanied
by a written instrument of transfer in form reasonably satisfactory to the
Indenture Trustee duly executed by the holder thereof or his attorney duly
authorized in writing, and the Indenture Trustee may require an opinion of
counsel as to compliance of any such transfer with the Securities Act. The
Indenture Trustee shall make a notation on each new Lessor Note of the amount
of all payments of principal previously made on the old Lessor Note or Lessor
Notes with respect to which such new Lessor Note is issued and the date on
which such new Lessor Note is issued and the date to which interest on such old
Lessor Note or Lessor Notes shall have been paid. The Indenture Trustee shall
not be required to register the transfer or exchange of any Lessor Note during
the 10 days preceding the due date of any payment on such Lessor Note.

     Each Noteholder, by its acceptance of a Lessor Note, shall be deemed to
have consented to, and agreed to be bound by, the terms and conditions hereof,
of such Lessor Note (and any instrument of assignment or transfer) and of the
other Operative Documents.

     Section 2.9.   Mutilated, Destroyed, Lost or Stolen Lessor Notes. Upon
receipt by the Owner Lessor and the Indenture Trustee of evidence satisfactory
to each of them of the loss, theft, destruction or mutilation of any Lessor
Note and, in case of loss, theft or destruction, of indemnity satisfactory to
each of them, and upon reimbursement to the Owner Lessor and the Indenture
Trustee of all reasonable expenses incidental thereto and payment or
reimbursement for any transfer taxes, and upon surrender and cancellation of
such Lessor Note, if mutilated, the Owner Lessor will execute and the Indenture
Trustee will authenticate and deliver in lieu of such Lessor Note, a new Lessor
Note, dated the same date as such Lessor Note and of like tenor and principal
amount. Any indemnity provided by the holder of a Lessor Note pursuant to this
Section 2.9 must be sufficient in the reasonable judgment of the Owner Lessor
and the Indenture Trustee to protect the Owner Lessor, the Indenture Trustee,
the Paying Agent, the Registrar and any co-registrar or co-paying agent from
any loss which any of them may suffer if a Lessor Note is replaced.

     Section 2.10.   Redemptions; Assumption.

     (a)  Except as provided in paragraphs (c) and (d) of this Section 2.10 or
as provided in any indenture supplemental hereto, all Lessor Notes outstanding
under this

                                       16
<PAGE>
Indenture shall be redeemed, in whole but not in part, at a price equal to the
principal amount thereof, together with accrued interest thereon, if any, on
the earliest to occur on the date of redemption, but without any Make-Whole
Amount or other premium:

          (i)   if the Facility Lease is terminated pursuant to Section 10
     thereof as a result of the occurrence of an Event of Loss (other than a
     Regulatory Event of Loss or an Event of Loss described in clauses (v),
     (vi) or (vii) of the definition of "Event of Loss"), on the applicable
     Termination Date provided in Section 10.2(a) of the Facility Lease;

          (ii)   if the Facility Lease is terminated pursuant to Section 10
     thereof as a result of a Regulatory Event of Loss, unless the Facility
     Lessee effects an assumption of the applicable Lessor Notes in accordance
     with paragraph (b) of this Section 2.10, on the applicable Termination Date
     provided in Section 10.2(a) of the Facility Lease;

          (iii)   if the Facility Lease is terminated pursuant to Section 13.1
     thereof, unless the Facility Lessee purchases the Facility and
     effectuates an assumption of the applicable Lessor Notes in accordance
     with paragraph (b) of this Section 2.10, on the applicable Termination
     Date provided in Section 13.1 of the Facility Lease; and

          (iv)   if the Facility Lease is terminated pursuant to clause (a) of
     Section 14.1 thereof, on the Obsolescence Termination Date.

Any such redemption shall be made in accordance with the applicable provisions
of Section 3 hereof.

     (b)  Unless a Significant Lease Default or a Lease Event of Default shall
have occurred and be continuing after giving effect to such assumption, the
obligations and liabilities of the Owner Lessor hereunder and under all of the
Lessor Notes may be assumed in whole (but not in part) by the Facility Lessee
in the event of the occurrence of (i) a Regulatory Event of Loss, or (ii) a
termination by the Facility Lessee pursuant to Section 13.1 or 13.2 of the
Facility Lease, where in connection with such termination the Facility Lessee
acquires the Undivided Interest pursuant to an assumption agreement (which
assumption agreement may be combined with the indenture supplemental to this
Indenture hereinafter referred to in this Section 2.10(b), and shall provide
for the assumption by the Facility Lessee of the obligations and liabilities of
the Owner Lessor and the Owner Participant under the Operative Documents
pertaining to the Undivided Interest) which shall make such obligations and
liabilities fully recourse to the Facility Lessee and shall otherwise be in
form and substance acceptable to the Indenture Trustee

                                       17
<PAGE>
and the Owner Lessor. The Facility Lessee will execute and deliver, and the
Indenture Trustee will authenticate, to each Noteholder in exchange for such
old Lessor Note a new Lessor Note, in a principal amount equal to the
outstanding principal amount of such old Lessor Note and otherwise in
substantially similar form and tenor to such old Lessor Note but indicating
that the Facility Lessee is the issuer thereof. When such assumption agreement
becomes effective, the Owner Lessor shall be released and discharged without
further act from all obligations and liabilities assumed by the Facility
Lessee. All documentation in connection with any such assumption (including an
indenture supplemental to this Indenture which shall, among other things,
contain provisions appropriately amending references to the Facility Lease in
this Indenture and contain covenants by the Facility Lessee similar to those
contained in the Facility Lease (other than any covenants which were solely for
the benefit of the Owner Participant), changed as appropriate, and amendments
or supplements to the other Operative Documents, officers' certificates,
opinions of counsel and regulatory approvals) shall be prepared by and at the
expense of the Facility Lessee acceptable in form and substance to the
Indenture Trustee.

     As a condition to the effectiveness of the assumption by the Facility
Lessee and the release of the Owner Lessor and the Indenture Estate thereby
effected:

          (i)   the Indenture Trustee shall have received an Opinion of Counsel
     of the Facility Lessee including, in the case of clause (5) below, a
     nationally recognized outside counsel selected by the Facility Lessee and
     reasonably acceptable to the Noteholders (it being acknowledged and
     agreed that the Facility Lessee's counsel on the Closing Date shall be
     deemed acceptable), addressed to the Indenture Trustee and the
     Noteholders, to the effect that (1) the assumption agreement and each
     other instrument, document or agreement executed and delivered by the
     Facility Lessee in connection with the assumption contemplated by the
     assumption agreement (collectively, the "Assumption Documents") have been
     duly authorized, executed and delivered by the Facility Lessee, (2) each
     Assumption Document and the assumptions contemplated thereby do not
     contravene (x) the Organic Documents of the Facility Lessee, (y) any
     provision of any security issued by the Facility Lessee or of any
     agreement, instrument or other undertaking to which the Facility Lessee
     is a party or by which it or any of its property is bound or (z) any
     Applicable Law, (3) no Governmental Approval is necessary or required in
     connection with any Assumption Document or the assumption contemplated
     thereby (or, if any such Governmental Approval is necessary or required,
     that the same has been duly obtained and is final and in full force and
     effect and any period for the filing of notice of rehearing or
     application for judicial review of the issuance of such Governmental
     Approval has expired

                                       18
<PAGE>
     without any such notice or application having been made), (4) each
     Assumption Document is a legal, valid and binding obligation of the
     Facility Lessee, enforceable in accordance with its terms, (5) such
     assumption agreement and the assumption of the Lessor Notes thereunder
     shall not cause a Tax Event to occur as to any holder of any Lessor Note
     or any Certificateholder and (6) the lien of this Indenture will continue
     to be a first priority perfected lien on the Indenture Estate;

          (ii)   the Facility Lessee shall have provided the Indenture Trustee
     with (x) an indemnity against the risk that such assumption of the Lessor
     Notes will cause a Tax Event to occur as to any holder of any Lessor Note
     or any Certificateholder or (y) an opinion of counsel to the Facility
     Lessee, which opinion of counsel shall be reasonably acceptable to the
     Indenture Trustee, confirming that such assumption shall not cause a
     adverse tax consequence to any holder of any Lessor Note or any
     Certificateholder;

          (iii)    Moody's and S&P shall have confirmed that such assumption
     will not result in a downgrading of the rating on the Certificates;

          (iv)   the Indenture Trustee shall have received copies of all
     Governmental Approvals (if any) referred to in the opinion of counsel
     referred to in clause (i) above; and

          (v)   the Indenture Trustee shall have received UCC lien searches,
     supplemental title reports and such other evidence as may reasonably be
     required by the Indenture Trustee demonstrating that no impairment exists
     or will exist of the first-priority perfected lien and secured interest
     in the Undivided Interest.

     (c)  The Owner Lessor may, at its option, redeem any Additional Lessor
Notes in whole, or in part, on any date to the extent permitted by, and at the
prices set forth in, the supplemental indenture establishing the terms,
conditions and designations of such Additional Lessor Notes, together with the
accrued interest on such principal amount plus the Make Whole Amount, if any,
so redeemed to the date of redemption.

     (d)  The Lessor Notes shall be redeemed, in whole but not in part, as
provided below, at the redemption price equal to the principal amount thereof,
together with accrued and unpaid interest thereon, if any, to the date of
redemption plus the Make-Whole Amount, as follows:

          (i)   All of the Lessor Notes outstanding under this Indenture shall
     be redeemed at such redemption price upon an optional refinancing pursuant
     to

                                       19
<PAGE>
     Section 11.2 of the Participation Agreement. The Owner Lessor's failure to
     consummate such redemption as a result of an event described in this clause
     (i) following delivery of such notice shall not constitute a Lease
     Indenture Event of Default or any other default under the Operative
     Documents.

          (ii)   All of the Lessor Notes outstanding under this Indenture shall
     be redeemed at such redemption price on the Termination Date or
     Obsolescence Termination Date, as applicable, if the Facility Lease is
     terminated as a result of an event described in Section 13.2 or clause (b)
     of Section 14.1 of the Facility Lease. The Owner Lessor's failure to
     consummate such redemption as a result of an event described in this clause
     (ii) following delivery of such notice shall not constitute a Lease
     Indenture Event of Default or any other default under the Operative
     Documents.

          (iii)   The Lessor Notes shall be redeemed at such redemption price
     upon termination of the Facility Lease pursuant to Section 10 thereof as a
     result of the occurrence of an Event of Loss described in clauses (v),
     (vi) or (vii) of the definition of "Event of Loss".

The Make-Whole Amount, if any, payable with respect to the Lessor Notes will be
determined by an investment banking institution of national standing in the
United States (the "Investment Banker") selected by the Facility Lessee or, if
the Owner Lessor or the Indenture Trustee does not receive notice of such
selection at least ten days prior to a scheduled prepayment date or if a Lease
Event of Default under the Facility Lease shall have occurred and be
continuing, selected by the Owner Lessor.

     (e)  If the Owner Lessor elects to redeem Lessor Notes, or Lessor Notes
are otherwise required to be redeemed pursuant to this Section 2.10, the Owner
Lessor shall notify the Indenture Trustee in writing of the date of redemption,
the Section of this Indenture pursuant to which the redemption will occur. The
Owner Lessor shall give each notice to the Indenture Trustee provided for in
this Section 2.10 at least 30 days before the date of redemption unless the
Indenture Trustee consents in writing to a shorter period. Such notice shall be
accompanied by an Officers' Certificate and an opinion of counsel from the
Facility Lessee to the effect that such redemption will comply with the
conditions herein.

     (f)  At least 20 days but not more than 60 days before a date of
redemption, the Indenture Trustee shall deliver notification of such redemption
by first-class mail to each Noteholder to be redeemed at such Noteholder's
registered address; provided, that

                                       20
<PAGE>
no notice shall be required so long as the Pass Through Trustee and the
Indenture Trustee are the same entity. Each such notice shall state:

          (i)   the date of redemption;

          (ii)   the redemption price;

          (iii)   the name and address of the Paying Agent;

          (iv)   that Lessor Notes called for redemption must be surrendered
     to the Paying Agent to collect the redemption price;

          (v)   that, unless the Owner Lessor defaults in making such redemption
     payment, interest on Lessor Notes called for redemption ceases to accrue
     on and after the redemption date; and

          (vi)   the paragraph of this Indenture pursuant to which the Lessor
     Notes called for redemption are being redeemed.

     (h)  With respect to any notice of redemption of the Lessor Notes such
notice shall state that such redemption shall be conditional upon the receipt
by the Indenture Trustee, on or prior to the date fixed for such redemption, of
money sufficient to pay the principal of and Make-Whole Amount, if any, and
interest on such Notes and that, if such money shall not have been so received,
such notice shall be of no force or effect and the Owner Lessor shall not be
required to redeem such Lessor Notes. In the event that such notice of
redemption contains such a condition and such money is not so received, the
redemption shall not be made and, within a reasonable time thereafter, notice
shall be given, in the manner in which the notice of redemption was given, that
such money was not so received and such redemption was not required to be made.

     (i)  Upon surrender to the Paying Agent, such Lessor Notes shall be paid
at the redemption price stated in the notice, plus accrued interest to the date
of redemption. Failure to give notice or any defect in the notice to any
Noteholder shall not affect the validity of the notice to any other Noteholder.

     Section 2.11.   Payment of Expenses on Transfer. Upon the issuance of a new
Lessor Note or Lessor Notes pursuant to Section 2.8 or 2.9 hereof, the Owner
Lessor or the Indenture Trustee may require from the party requesting such new
Lessor Note or Lessor Notes payment of a sum to reimburse the Owner Lessor and
the Indenture Trustee for, or to provide funds for, the payment on an After-Tax
Basis to the Owner Lessor, the

                                       21
<PAGE>
Indenture Trustee and the Owner Participant of any tax or other governmental
charge in connection therewith or any charges and expenses connected with such
tax or governmental charge paid or payable by the Owner Lessor or the Indenture
Trustee.

     Section 2.12.   Additional Lessor Notes.

     (a)  Additional Lessor Notes (each, an "Additional Lessor Note") of the
Owner Lessor may be issued under and secured by this Indenture, at any time or
from time to time, in addition to the Initial Lessor Notes and subject to the
conditions hereinafter provided in this Section 2.12, for cash in the amount
equal to the original principal amount of such Additional Lessor Notes, for the
purpose of (i) providing funds in connection with Supplemental Financing
pursuant to Section 11.1 of the Participation Agreement for the payment of all
or any portion of Modifications to the Facility pursuant to Section 8 of the
Facility Lease, or (ii) redeeming any previously issued Lessor Notes pursuant
to an optional refinancing pursuant to Section 11.2 of the Participation
Agreement and providing funds for the payment of all reasonable costs and
expenses in connection therewith.

     (b)  Before any Additional Lessor Notes shall be issued under the
provisions of this Section 2.12, the Owner Lessor shall have delivered to the
Indenture Trustee, not less than fifteen (15) (unless a shorter period shall be
satisfactory to the Indenture Trustee) days nor more than thirty (30) days
prior to the proposed date of issuance of any Additional Lessor Notes, a
request and authorization to issue such Additional Lessor Notes, which request
and authorization shall include the amount of such Additional Lessor Notes, the
proposed date of issuance thereof and (except in connection with a refinancing
of all of the Lessor Notes pursuant to Section 11.2 of the Participation
Agreement) a certification that terms thereof are not inconsistent with this
Indenture. Additional Lessor Notes shall have a designation so as to
distinguish such Additional Lessor Notes from the Initial Lessor Notes
theretofore issued, but otherwise shall rank pari passu with any Lessor Notes
then outstanding, be entitled to the same benefits and security of this
Indenture as the other Lessor Notes issued pursuant to the terms hereof, be
dated the date of original issuance of such Additional Lessor Notes, bear
interest at such rates as shall be agreed between the Facility Lessee and the
Owner Lessor and indicated in the aforementioned request and authorization, and
shall be stated to be payable by their terms not later than the final maturity
date of the Initial Lessor Notes issued on the closing date. The Additional
Lessor Notes shall not be subject to (i) purchase except as provided in Section
4.4(e) hereof or (ii) redemption or assumption except as provided in Section
2.10 hereof.

                                       22
<PAGE>
     (c)  The terms, conditions and designations of such Additional Lessor
Notes (which shall be consistent with this Indenture), except in the case of a
refinancing of all of the Lessor Notes pursuant to Section 11.2 of the
Participation Agreement) shall be set forth in an indenture supplemental to
this Indenture executed by the Owner Lessor and the Indenture Trustee. Such
Additional Lessor Notes shall be executed as provided in Section 2.3 hereof and
deposited with the Indenture Trustee for authentication, but before such
Additional Lessor Notes shall be authenticated and delivered by the Indenture
Trustee there shall be filed with the Indenture Trustee the following, all of
which shall be dated as of the date of the supplemental indenture:

          (i)   a copy of such supplemental indenture (which shall include the
     form of such Additional Lessor Notes and the certificate of authentication
     in respect thereof);

          (ii)   an Officer's Certificate from the Facility Lessee (1) stating
     that no Significant Lease Default or Lease Event of Default has occurred
     and is continuing under the Facility Lease, (2) stating that the
     conditions in respect of the issuance of such Additional Lessor Notes
     contained in this Section 2.12 have been satisfied, (3) specifying the
     amount of the costs and expenses relating to the issuance and sale of
     such Additional Lessor Notes, (4) stating that payments pursuant to the
     Facility Lease and all supplements thereto of Periodic Rent and
     Termination Value, together with all other amounts payable pursuant to
     the terms of the Facility Lease, are calculated to be sufficient to pay
     when due all of the principal of and interest on the outstanding Lessor
     Notes, after taking into account the issuance of such Additional Lessor
     Notes and any related redemption of Lessor Notes theretofore outstanding
     and (5) all conditions to the Supplemental Financing or refinancing
     contained in Section 11.1 or ll.2 of the Participation Agreement or in
     any other provision of the Operative Documents have been satisfied;

          (iii)   with respect to any Supplemental Financing, an Officer's
     Certificate from the Owner Lessor and an Officer's Certificate from the
     Lessor Manager stating that no Indenture Default under clauses (b)
     through (f) of Section 4.2 hereof or Lease Indenture Event of Default as
     to the Owner Lessor or the Lessor Manager, as the case may be, has
     occurred and is continuing;

          (iv)   such additional documents, certificates and opinions as shall
     be reasonably required by the Indenture Trustee, and as shall be
     reasonably acceptable to the Indenture Trustee;

                                       23
<PAGE>
          (v)   a request and authorization to the Indenture Trustee by the
     Owner Lessor to authenticate and deliver such Additional Lessor Notes to
     or upon the order of the Person or Persons noted in such request at the
     address set forth therein, and in such principal amounts as are stated
     therein, upon payment to the Indenture Trustee, but for the account of
     the Owner Lessor, of the sum or sums specified in such request and
     authorization;

          (vi)   the consent of the Facility Lessee to such request and
     authorization; and

          (vii)   an opinion of counsel to the Owner Lessor who shall be
     reasonably satisfactory to the Indenture Trustee, as to the
     authorization, validity and enforceability of the Additional Lessor Notes
     and that all conditions hereunder to the authentication and delivery of
     such Additional Lessor Notes have been complied with.

     (d)  When the documents referred to in the foregoing clauses (i) through
(vii) above shall have been filed with the Indenture Trustee and when the
Additional Lessor Notes described in the above mentioned request and
authorization shall have been executed and authenticated as required by this
Indenture and the related supplemental indenture, the Indenture Trustee shall
deliver such Additional Lessor Notes in the manner described in clause (v)
above, but only upon payment to the Indenture Trustee of the sum or sums
specified in such request and authorization.

     (e)  This Indenture secures not only existing indebtedness but also
secures, in accordance with Section 29-3-50, as amended, Code of Laws of South
Carolina 1976, all future advances and readvances that may subsequently be made
to the Owner Lessor by the Indenture Trustee, evidenced by the Lessor Notes,
including any Additional Lessor Notes, or other promissory notes, and all
renewals and extensions thereof; provided however, that nothing contained
herein shall create an obligation on the part of the Indenture Trustee to make
future advances or readvances to the Owner Lessor, the maximum amount of all
indebtedness outstanding at any one time secured hereby not to exceed Two
Hundred Fifty Two Million Two Hundred Thousand Dollars ($252,200,000), plus
interest thereon (whether deferred, accrued, or capitalized), all charges and
expenses of collection incurred by the holder of this Indenture, including
court costs and reasonable attorney's fees, or pursuant to promissory notes or
other instruments evidencing such future advances which may be hereafter
executed and delivered by Owner Lessor to Indenture Trustee. In the event that
any notice described in Section 29-3-50 is properly filed and served on the
Indenture Trustee as set forth

                                       24
<PAGE>
therein, any commitment, agreement, or obligation to make future advances to or
for the benefit of Owner Lessor shall immediately terminate.

     Section 2.13.   Restrictions of Transfer Resulting from Federal Securities
Laws; Legend. Each Lessor Note shall be delivered to the initial Noteholder
thereof without registration of such Lessor Note under the Securities Act and
without qualification of this Indenture under the Trust Indenture Act of 1939,
as amended. Prior to any transfer of any such Lessor Note, in whole or in part,
to any Person, the Noteholder thereof shall furnish to the Facility Lessee, the
Indenture Trustee and the Owner Lessor an opinion of counsel, which opinion and
which counsel shall be reasonably satisfactory to the Indenture Trustee, the
Owner Lessor and the Facility Lessee, to the effect that such transfer will not
violate the registration provisions of the Securities Act or require
qualification of this Indenture under the Trust Indenture Act of 1939, as
amended, and all Lessor Notes issued hereunder shall be endorsed with a legend
which shall read substantially as follows:

                  THIS NOTE HAS NOT BEEN REGISTERED UNDER THE
               SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED,
               SOLD OR OFFERED FOR SALE IN VIOLATION OF SUCH ACT.

     Section 2.14.   Security for and Parity of Lessor Notes. All Lessor Notes
issued and outstanding hereunder shall rank on a parity with each other and
shall as to each other be secured equally and ratably by this Indenture,
without preference, priority or distinction of any thereof over any other by
reason of difference in time of issuance or otherwise.

     Section 2.15.   Acceptance of the Indenture Trustee. Each Noteholder, by
its acceptance of a Lessor Note, shall be deemed to have consented to the
appointment of the Indenture Trustee.

                                  SECTION 3.
                     RECEIPT, DISTRIBUTION AND APPLICATION
                        OF INCOME FROM INDENTURE ESTATE

     Section 3.1.   Distribution of Periodic Rent.

     (a)  Periodic Rent Distribution. Except as otherwise provided in Section
3.1(c), 3.2, 3.3 or 3.7 of this Indenture, each installment of Periodic Rent
and any payment of Supplemental Rent constituting interest on overdue
installments of Periodic

                                       25
<PAGE>
Rent received by the Indenture Trustee shall be distributed by the Indenture
Trustee in the following order of priority:

     First, so much of such amounts as shall be required to pay in full the
     aggregate principal and accrued interest (as well as any interest on
     overdue principal and, to the extent permitted by Applicable Law, on
     overdue interest) then due and payable under the Lessor Notes shall be
     distributed to the Noteholders ratably, without priority of any
     Noteholder over any other Noteholder, in the proportion that the amount
     of such payment then due and payable under each such Lessor Note bears to
     the aggregate amount of the payments then due and payable under all such
     Lessor Notes; and

     Second, the balance, if any, of such amounts remaining shall be
     distributed to the Owner Lessor for distribution by it in accordance with
     the terms of the LLC Agreement.

     (b)  Application of Other Amounts Held by the Indenture Trustee upon Rent
Default. If, as a result of any failure by the Facility Lessee to pay Periodic
Rent in full on any date when an installment of Periodic Rent is due, there
shall not have been distributed on any date (or within any applicable period of
grace) pursuant to Section 3.1(a) hereof the full amount then distributable
pursuant to clause "First" of Section 3.1(a) of this Indenture, the Indenture
Trustee shall distribute other payments of the character referred to in
Sections 3.5 and 3.6 hereof then held by it, or thereafter received by it, to
all Noteholders to the extent necessary to enable it to make all the
distributions then due pursuant to such clause "First." To the extent the
Indenture Trustee thereafter receives the deficiency in Periodic Rent, the
amount so received shall, unless a Significant Lease Default or Lease Indenture
Event of Default shall have occurred and be continuing, be applied to restore
the amounts held by the Indenture Trustee under Section 3.5 or 3.6 hereof and
distributed pursuant to this Section 3.1(b), as the case may be. The portion of
each such payment made to the Indenture Trustee which is to be distributed by
the Indenture Trustee in payment of Lessor Notes shall be applied in accordance
with Section 2.7 hereof. Any payment received by the Indenture Trustee pursuant
to Section 4.3 hereof as a result of payment by the Owner Lessor of principal
or interest or both (as well as any interest on overdue principal and, to the
extent permitted by Applicable Law, on overdue interest) then due on all Lessor
Notes shall be distributed to the Noteholders, ratably, without priority of one
over the other, in the proportion that the amount of such payment or payments
then due and unpaid on all Lessor Notes held by each such Noteholder bears to
the aggregate amount of the payments then due and unpaid on all Lessor Notes
outstanding; and the Owner Lessor shall (to the extent of such payment made by
it) be subrogated to the rights of the

                                       26
<PAGE>
Noteholders under this Section 3.1 to receive the payment of Periodic Rent or
Supplemental Rent with respect to which its payment under Sections 4.3(a) and
(b) hereof relates, and the payment of interest on account of such Periodic
Rent or Supplemental Rent being overdue, to the extent provided in and subject
to the provisions of Section 4.3(a) and (b) hereof.

     (c)  Retention of Amounts by the Indenture Trustee. If at the time of
receipt by the Indenture Trustee of an installment of Periodic Rent (whether or
not then overdue) or of payment of interest on any overdue installment of
Periodic Rent, there shall have occurred and be continuing a Lease Indenture
Event of Default, the Indenture Trustee shall retain such installment of
Periodic Rent or payment of interest (to the extent not then required to be
distributed pursuant to clause "First" of Section 3.1(a)) as part of the
Indenture Estate and shall not distribute any such payment of Periodic Rent or
interest pursuant to clause "Second" of Section 3.1(a) until such time as such
Lease Indenture Event of Default shall be cured or waived or until such time as
the Indenture Trustee shall have received written instructions from a Majority
in Interest of Noteholders to make such a distribution; provided that such
amounts must be returned to the Owner Lessor within six (6) months from the
receipt thereof by the Indenture Trustee unless (i) the Indenture Trustee has
declared the unpaid principal of all Lessor Notes due and payable (or such
amounts shall have automatically become due and payable), pursuant to Section
4.2(a) and the Indenture Trustee is diligently pursuing any dispossessary
remedies available under Section 4.3 hereof (unless such remedies are stayed or
prevented by operation of law) or (ii) any other Lease Indenture Event of
Default shall have occurred during the intervening period and be continuing, in
which case, such six-month period will be restarted from the date such other
Lease Indenture Event of Default shall have occurred. Upon the cure or waiver
of such Lease Indenture Event of Default, withheld Periodic Rent shall, subject
to clause (ii) of the immediately preceding sentence, be distributed to the
Owner Lessor (to the extent that all payments to be distributed pursuant to
clause "First" of Section 3.1(a) have been made), and no further withholding of
Periodic Rent on account of such Lease Indenture Event of Default shall be
effected.

     Section 3.2.   Payments Following Event of Loss or Other Early Termination.
Any payment received by the Indenture Trustee as a result of (x) an Event of
Loss (other than a Regulatory Event of Loss in respect of which the Facility
Lessee shall, pursuant to Section 2.10(b) hereof, assume the obligations and
liabilities of the Owner Lessor hereunder, in which event only clauses "First"
and "Fourth" below shall be applicable), (y) early termination of the Facility
Lease pursuant to Section 13 thereof (other than a termination in respect of
which the Facility Lessee shall, pursuant to Section 2.10(b) hereof assume the
obligations and liabilities of the Owner Lessor hereunder, in which event only
clauses "First" and "Fourth" below shall be applicable), or (z) any early

                                       27
<PAGE>
termination of the Facility Lease, in whole or in part, pursuant to Section 14
thereof, shall be distributed on the applicable date of redemption to the
extent of available funds, in the following order of priority:

     First, so much of such payments and amounts as shall be required to
     reimburse the Indenture Trustee for any unpaid fees for its services
     under this Indenture and any expense (including any legal fees and
     disbursements) or loss incurred by it (to the extent incurred in
     connection with its duties as the Indenture Trustee and to the extent
     reimbursable and not previously reimbursed) shall be distributed to the
     Indenture Trustee for application to itself;

     Second, so much of such payments or amounts as shall be required to pay
     in full the applicable redemption price (as described in Section 2.10(a)
     or 2.10(d) hereof or any supplemental indenture hereto) (including,
     interest on overdue principal and, to the extent permitted by Applicable
     Law, overdue interest) upon all of the Lessor Notes which shall be
     distributed to the holders of such Lessor Notes, in each case ratably,
     without priority of any Noteholder over any other, in the proportion that
     the aggregate unpaid principal amount of all such Lessor Notes held by
     each such holder, plus the Make-Whole Amount, if any, and accrued but
     unpaid interest thereon to the scheduled date of distribution to the
     Noteholders bears to the aggregate unpaid principal amount of all such
     Lessor Notes held by all such holders, together with the Make-Whole
     Amount, if any, plus accrued but unpaid interest thereon to the date of
     scheduled distribution to the Noteholders;

     Third, so much of such payments and amounts as shall be required to pay
     the then existing or prior Noteholders all other amounts then payable and
     unpaid to them as holders of the Lessor Notes which this Indenture by its
     terms secures shall be distributed to such existing or prior holders of
     Lessor Notes, ratably to each such holder, without priority of any such
     holder over any other, in the proportion that the amount of such payments
     or amounts to which each such holder is so entitled bears to the
     aggregate amount of such payments and amounts to which all such holders
     are so entitled; and

     Fourth, the balance, if any, of such payment remaining shall be
     distributed to the Owner Lessor for distribution in accordance with the
     LLC Agreement.

     Section 3.3.   Payments After Lease Indenture Event of Default. All
payments received and all amounts held or realized by the Indenture Trustee
after a Lease Indenture Event of Default shall have occurred and be continuing
(including any amounts realized by the Indenture Trustee from the exercise of
any remedies pursuant to Section 17 of the

                                       28
<PAGE>
Facility Lease or from the application of Section 4.3 hereof) and after either
(a) the Indenture Trustee has declared the Facility Lease to be in default
pursuant to Section 17 thereof or (b) the entire principal amount of Lessor
Notes shall have been declared or shall automatically have become due and
payable, together with all payments or amounts then held or thereafter received
by the Indenture Trustee hereunder, shall, so long as such declaration shall
not have been rescinded, be distributed forthwith by the Indenture Trustee in
the following order of priority:

     First, so much of such payments and amounts as shall be required to
     reimburse the Indenture Trustee for any unpaid fees for its services
     under this Indenture and any expense (including any legal fees and
     disbursements) or loss incurred by it (to the extent incurred in
     connection with its duties as the Indenture Trustee and to the extent
     reimbursable and not previously reimbursed) shall be distributed to the
     Indenture Trustee for application to itself;

     Second, so much of such payments or amounts as shall be required to pay
     the aggregate unpaid principal amount of all Lessor Notes then
     outstanding and all accrued but unpaid interest on such Lessor Notes to
     the date of such distribution (including interest on overdue principal
     and, to the extent permitted by Applicable Law, overdue interest) shall
     be distributed to the holders of such Lessor Notes, in each case ratably,
     without priority of any Noteholder over any other, in the proportion that
     the aggregate unpaid principal amount of all such Lessor Notes held by
     each such holder and accrued but unpaid interest thereon to the scheduled
     date of distribution to the Noteholders bears to the aggregate unpaid
     principal amount of all such Lessor Notes held by all such holders and
     accrued but unpaid interest thereon to the date of scheduled distribution
     to the Noteholders;

     Third, so much of such payments and amounts as shall be required to pay
     the then existing or prior Noteholders all other amounts then payable and
     unpaid to them as holders of the Lessor Notes which this Indenture by its
     terms secures, including the Make-Whole Amount, if any, required to be
     paid pursuant to Section 2.10(d) hereof, in respect of such Lessor Notes
     required to be paid pursuant to Section 4.3(a) hereof, shall be
     distributed to such existing or prior holders of Lessor Notes, ratably to
     each such holder, without priority of any such holder over any other, in
     the proportion that the amount of such payments or amounts to which each
     such holder is so entitled bears to the aggregate amount of such payments
     and amounts to which all such holders are so entitled; and

                                       29
<PAGE>
     Fourth, the balance, if any, of such payments and amounts remaining shall
     be distributed to the Owner Lessor for distribution by it in accordance
     with the terms of the LLC Agreement.

     Section 3.4.   Investment of Certain Payments Held by the Indenture
Trustee. Upon the written direction and at the risk and expense of the Owner
Lessor, the Indenture Trustee shall invest and reinvest any moneys held by the
Indenture Trustee pursuant to Section 3.1(c), 3.5 or 3.6 hereof in such
Permitted Investments as may be specified in such direction. The proceeds
received upon the sale or at maturity of any Permitted Investment and any
interest received on such Permitted Investment and any payment in respect of a
deficiency contemplated by the following sentence shall be held as part of the
Indenture Estate and applied by the Indenture Trustee in the same manner as the
moneys used to buy such Permitted Investment, and any Permitted Investment may
be sold (without regard to maturity date) by the Indenture Trustee whenever
necessary to make any payment or distribution required by this Section 3. If
the proceeds received upon the sale or at maturity of any Permitted Investment
(including interest received on such Permitted Investment) shall be less than
the cost thereof (including accrued interest), the Owner Lessor will pay or
cause to be paid to the Indenture Trustee an amount equal to such deficiency.

     Section 3.5.   Application of Certain Other Payments. Except as otherwise
provided in Section 3.1(b) or 3.1(c) hereof, any payment received by the
Indenture Trustee for which provision as to the application thereof is made in
an Operative Document, but not elsewhere in this Indenture (including payments
received by the Indenture Trustee under the Calpine Guaranty), shall, unless a
Lease Indenture Event of Default shall have occurred and be continuing, be
applied forthwith to the purpose for which such payment was made in accordance
with the terms of such Operative Document. If at the time of the receipt by the
Indenture Trustee of any payment referred to in the preceding sentence there
shall have occurred and be continuing a Lease Indenture Event of Default, the
Indenture Trustee shall hold such payment as part of the Indenture Estate, but
the Indenture Trustee shall, except as otherwise provided in Section 3.1(b) or
3.1(c) hereof, cease to hold such payment and shall apply such payment to the
purpose for which it was made in accordance with the terms of such Operative
Document if and whenever there is no longer continuing any Lease Indenture
Event of Default; provided, however, that any such payment received by the
Indenture Trustee which is payable to the Facility Lessee shall not be held by
the Indenture Trustee unless a Significant Lease Default or Lease Event of
Default shall have occurred and be continuing.

                                       30
<PAGE>
     Section 3.6.   Other Payments. Except as otherwise provided in Section 3.5
hereof:

     (a)  any payment received by the Indenture Trustee for which no provision
as to the application thereof is made in the Participation Agreement, the
Facility Lease or elsewhere in this Section 3; and

     (b)  all payments received and amounts realized by the Indenture Trustee
with respect to the Indenture Estate (including all amounts realized after the
termination of the Facility Lease), to the extent received or realized at any
time after payment in full of the principal of and, Make-Whole Amount, if any,
and interest on all Lessor Notes then outstanding and all other amounts due the
Indenture Trustee or the Noteholders, as well as any other amounts remaining as
part of the Indenture Estate after such payment in full of the principal of,
Make-Whole Amount, if any, and interest on all Lessor Notes outstanding;
     shall be distributed forthwith by the Indenture Trustee in the order of
priority set forth in Section 3.3 hereof, omitting clause "Third" thereof.

     Section 3.7.   Excepted Payments. Notwithstanding any other provision of
this Indenture including this Section 3 or any provision of any of the
Operative Documents to the contrary, any Excepted Payments received or held by
the Indenture Trustee at any time shall promptly be paid or distributed by the
Indenture Trustee to the Person or Persons entitled thereto.

     Section 3.8.   Distributions to the Owner Lessor. Unless otherwise directed
in writing by the Owner Lessor, all amounts from time to time distributable by
the Indenture Trustee to the Owner Lessor in accordance with the provisions
hereof shall be paid by the Indenture Trustee in immediately available funds to
the Owner Participant's Account. Any amounts payable to the Trust Company in
its individual capacity shall be paid to the Trust Company.

     Section 3.9.   Payments Under Assigned Documents. Notwithstanding anything
to the contrary contained in this Indenture, until the discharge and
satisfaction of the Lien of this Indenture, all payments due or to become due
under any Assigned Document to the Owner Lessor (except so much of such
payments as constitute Excepted Payments) shall be made directly to the
Indenture Trustee's Account and the Owner Lessor shall give all notices as
shall be required under the Assigned Documents to direct payment of all such
amounts to the Indenture Trustee hereunder. The Owner Lessor agrees that if it
should receive any such payments directed to be made to the Indenture Trustee
or any proceeds for or with respect to the Indenture Estate or as the result of
the sale or other

                                       31
<PAGE>
disposition thereof or otherwise constituting a part of the Indenture Estate to
which the Owner Lessor is not entitled hereunder, it will promptly forward such
payments to the Indenture Trustee or in accordance with the Indenture Trustee's
instructions. The Indenture Trustee agrees to apply payments from time to time
received by it (from the Facility Lessee, the Owner Lessor or otherwise) with
respect to the Facility Lease, any other Assigned Document or the Facility in
the manner provided in Section 2.7 hereof, and this Section 3.

     Section 3.10.   Disbursement of Amounts Received by the Indenture Trustee.
Subject to the last sentence of this Section 3.10 and Section 3.2, amounts to
be distributed by the Indenture Trustee pursuant to this Section 3 shall be
distributed on the date such amounts are actually received by the Indenture
Trustee. Notwithstanding anything to the contrary contained in this Section 3,
in the event the Indenture Trustee shall be required or directed to make a
payment under this Section 3 on the same date on which such payment is
received, any amounts received by the Indenture Trustee after 12:00 noon, New
York City time, or on a day other than a Business Day, may be distributed on
the next succeeding Business Day.

     Section 3.11   Establishment of the Indenture Trustee's Account; and Lien
and Security Interest; Etc.

     (a)   The Account Bank hereby confirms that it has established a securities
account entitled the "Indenture Trustee's Account" (the "Indenture Trustee's
Account"), which Indenture Trustee's Account shall be maintained by the Account
Bank until the date this Indenture is terminated pursuant to Section 7.1
hereof. The account number of the Indenture Trustee's Account established
hereunder is specified in Schedule II hereto. The Indenture Trustee's Account
shall not be evidenced by passbooks or similar writings. This Indenture governs
and shall be the only agreement governing the Indenture Trustee's Account.

     (b)  All amounts from time to time held in the Indenture Trustee's Account
shall be maintained (i) in the name of the Owner Lessor subject to the lien and
security interest of the Indenture Trustee for the benefit of the Indenture
Trustee and each of the Noteholders as set forth herein and (ii) in the custody
of the Account Bank for and on behalf of the Indenture Trustee for the benefit
of the Indenture Trustee and each of the Noteholders for the purposes and on
the terms set forth in this Indenture. All such amounts shall constitute a part
of the Indenture Trustee Account Collateral and shall not constitute payment of
any Indebtedness or any other obligation of the Owner Lessor until applied as
hereinafter provided.

                                       32
<PAGE>
     (c)  As collateral security for the prompt payment in full when due of the
Lessor Secured Obligations owed to the Indenture Trustee and each Noteholder,
the Owner Lessor hereby pledges, assigns, hypothecates and transfers to the
Indenture Trustee for the benefit of the Indenture Trustee and each of the
Noteholders, and hereby grants to the Indenture Trustee for the benefit of the
Indenture Trustee and each of the Noteholders, a lien on and security interest
in and to, (i) the Indenture Trustee's Account and any successor account
thereto and (ii) all cash, investments, investment property, securities or
other property at any time on deposit in or credited to the Indenture Trustee's
Account, including all income or gain earned thereon and any proceeds thereof
(the "Indenture Trustee Account Collateral").

     Section 3.12   The Account Bank; Limited Rights of the Owner Lessor

     (a)  The Account Bank.

          (i)   Establishment of Securities Account. The Account Bank hereby
     agrees and confirms that (A) the Account Bank has established the
     Indenture Trustee's Account as set forth in Section 3.11, (B) the
     Indenture Trustee's Account is and will be maintained as a "securities
     account" (within the meaning of Section 8-501(a) of the UCC), (C) the
     Owner Lessor is the "entitlement holder" (within the meaning of Section
     8-102(a)(7) of the UCC) in respect of the "financial assets" (within the
     meaning of Section 8-102(a)(9) of the UCC) credited to the Indenture
     Trustee's Account, (D) all property delivered to the Account Bank
     pursuant to this Indenture or any other Operative Document will be held
     by the Account Bank and promptly credited to the Indenture Trustee's
     Account by an appropriate entry in its records in accordance with this
     Indenture, (E) all "financial assets" (within the meaning of Section
     8-102(a)(9) of the UCC) in registered form or payable to or to the order
     of and credited to the Indenture Trustee's Account shall be registered in
     the name of, payable to or to the order of, or indorsed to, the Account
     Bank or in blank, or credited to another securities account maintained in
     the name of the Account Bank, and in no case will any financial asset
     credited to the Indenture Trustee's Account be registered in the name of,
     payable to or to the order of, or indorsed to, the Owner Lessor except to
     the extent the foregoing have been subsequently indorsed by the Owner
     Lessor to the Account Bank or in blank, (F) the Account Bank shall not
     change the name or account number of the Indenture Trustee's Account
     without the prior written consent of the Indenture Trustee, (G) the
     Account Bank is acting and shall at all times act as and perform all of
     the duties of the "securities intermediary," within the meaning of
     Article 8 of the UCC, with respect to the Indenture Trustee's Account and
     the financial assets credited thereto and (H) the Account Bank shall

                                       33
<PAGE>
     not enter into any other agreement governing, or with respect to, the
     Indenture Trustee's Account without the prior written consent of the
     Indenture Trustee.

          (ii)   Financial Assets Election. The Account Bank agrees that each
     item of property (including any security, instrument or obligation,
     share, participation, interest, cash or cash equivalents or other
     property whatsoever) credited to the Indenture Trustee's Account shall be
     treated as a "financial asset" within the meaning of Section 8-l02(a)(9)
     of the UCC.

          (iii)   Entitlement Orders. Notwithstanding anything in this Indenture
     to the contrary, if at any time the Account Bank shall receive any
     "entitlement order" (within the meaning of Section 8-102(a)(8) of the
     UCC) or any other order from the Indenture Trustee directing the transfer
     or redemption of any financial asset relating to the Indenture Trustee's
     Account or with respect to any "security entitlements" (within the
     meaning of Section 8-102(a)(17) of the UCC) carried or to be carried in
     the Indenture Trustee's Account, the Account Bank shall comply with such
     entitlement order or other order without further consent by the Owner
     Lessor or any other Person. The parties hereto hereby agree that the
     Indenture Trustee shall have "control" (within the meaning of Section
     8-106(d) of the UCC) of (A) the Indenture Trustee's Account, (B) all
     security entitlements carried or to be carried in the Indenture Trustee's
     Account and (C) the Owner Lessor's security entitlements respect to the
     financial assets credited to the Indenture Trustee's Account and the
     Owner Lessor hereby disclaims any entitlement to claim "control" of such
     "security entitlements". Unless a Lease Indenture Event of Default shall
     have occurred and is continuing, the Indenture Trustee shall not deliver
     any entitlement order directing the transfer or redemption of any
     financial asset relating to the Indenture Trustee's Account.

          (iv)   Subordination of Lien; Waiver of Set-Off. In the event that the
     Account Bank has or subsequently obtains by agreement, operation of law
     or otherwise a lien or security interest in the Indenture Trustee's
     Account or any security entitlement credited thereto, the Account Bank
     agrees that such lien or security interest shall be subordinate to the
     lien and security interest of the Indenture Trustee for the benefit of
     the Indenture Trustee and each Noteholder. The financial assets standing
     to the credit of the Indenture Trustee's Account will not be subject to
     deduction, set-off, banker's lien, or any other right in favor of any
     Person other than the Indenture Trustee for the benefit of the Indenture
     Trustee and each Noteholder (except for the face amount of any checks
     which have been credited to the Indenture Trustee's Account but are
     subsequently returned unpaid because of uncollected or insufficient
     funds).

                                       34
<PAGE>
          (v)   No Other Agreements. The Account Bank and the Owner Lessor have
     not entered into any agreement governing or with respect to the Indenture
     Trustee's Account or any financial assets credited to the Indenture
     Trustee's Account other than this Indenture. The Account Bank has not
     entered into any agreement with the Owner Lessor or any other Person
     purporting to limit or condition the obligation of the Account Bank to
     comply with entitlement orders originated by the Indenture Trustee in
     accordance with Section 3.12(a)(iii) hereof. In the event of any conflict
     between this Section 3.12 or any other agreement now existing or
     hereafter entered into, the terms of this Section 3.12 shall prevail.

          (vi)   Notice of Adverse Claims. Except for the claims and interest of
     the Indenture Trustee for the benefit of the Indenture Trustee and each
     Noteholder and the Owner Lessor in the Indenture Trustee's Account, the
     Account Bank does not know of any claim to, or interest in, the Indenture
     Trustee's Account or in any financial asset credited thereto. If any
     Person asserts any lien, encumbrance or adverse claim (including any
     writ, garnishment, judgment, warrant of attachment, execution or similar
     process) against the Indenture Trustee's Account or in any financial
     asset credited thereto, the Account Bank will promptly notify the
     Indenture Trustee and the Owner Lessor in writing thereof.

          (vii)   Rights and Powers of the Indenture Trustee. The rights and
     powers granted by the Indenture Trustee to the Account Bank have been
     granted in order to perfect its lien and security interests in the
     Indenture Trustee's Account, are powers coupled with an interest and will
     neither be affected by the bankruptcy of the Owner Lessor nor the lapse of
     time.

     (b)  Limited Rights of the Owner Lessor. The Owner Lessor shall not have
any rights against or to monies held in the Indenture Trustee's Account, as
third party beneficiary or otherwise, or any right to direct the Account Bank
or the Indenture Trustee to apply or transfer monies in the Indenture Trustee's
Account, except the right to receive or make requisitions of monies held in the
Indenture Trustee's Account, as expressly provided in this Indenture, and to
direct the investment of monies held in the Indenture Trustee's Account as
expressly provided in Section 3.7 hereof. Except as expressly provided in this
Indenture, in no event shall any amounts or Permitted Investments deposited in
or credited to the Indenture Trustee's Account be registered in the name of the
Owner Lessor, payable to the order of the Owner Lessor or specially indorsed to
the Owner Lessor except to the extent that the foregoing have been specially
indorsed to the Indenture Trustee or in blank.

                                       35
<PAGE>
                                   SECTION 4.
                      COVENANTS OF OWNER LESSOR; DEFAULTS;
                          REMEDIES OF INDENTURE TRUSTEE

     Section 4.1.   Covenants of Owner Lessor.  The Owner Lessor hereby
covenants and agrees as follows:

     (a)  the Owner Lessor will duly and punctually pay the principal of,
Make-Whole Amount, if any, and interest on and other amounts due under the
Lessor Notes and hereunder in accordance with the terms of the Lessor Notes and
this Indenture and all amounts payable by it to the Noteholders under the
Participation Agreement; and

     (b)  the Owner Lessor will not, except as provided in this Indenture
(including Sections 4.4, 5.6, 8.1 and 8.2) and except as to Excepted Payments
(i) enter into any agreement amending, modifying or supplementing any of the
Assigned Documents, or exercise any election or option, or make any decision or
determination, or give any notice, consent, waiver or approval, or take any
other action, under or in respect of any Assigned Document, (ii) accept and
retain any payment from, or settle or compromise any claim arising under, any
of the Assigned Documents, except that it may forward any payment to the
Indenture Trustee in accordance with Section 3.9, (iii) give any notice or
exercise any right or take any action under any of the Assigned Documents, or
(iv) submit or consent to the submission of any dispute, difference or other
matter arising under or in respect of any of the Assigned Documents to
arbitration thereunder.

     Section 4.2.   Lease Indenture Events of Default. Subject to Section 4.4
hereof, the term "Lease Indenture Event of Default," wherever used herein,
shall mean any of the following events (whatever the reason for such Lease
Indenture Event of Default and whether it shall be voluntary or involuntary or
come about or be effected by operation of law or pursuant to or in compliance
with any judgment, decree or order of any court or any order, rule or
regulation of any administrative or governmental body):

     (a)  any Lease Event of Default (other than the failure of the Facility
Lessee to pay any amount which shall constitute an Excepted Payment unless the
Facility Lessee has been declared in default pursuant to Section 17 thereof by
the Owner Lessor and the Indenture Trustee has consented to such event
constituting a Lease Indenture Event of Default pursuant to Section 4.3(e)
hereof) and other than a Lease Event of Default in consequence of the Facility
Lessee's failure to maintain the insurance required by Section 11 of the
Facility Lease if, and so long as, (i) such Lease Event of Default is

                                       36
<PAGE>
waived by the Owner Lessor and the Owner Participant and (ii) the insurance
maintained by the Facility Lessee still constitutes Prudent Industry Practice);
or

     (b)  the Owner Lessor shall fail to make any payment in respect of the
principal of, or Make-Whole Amount, if any, or interest on, or any scheduled
fees due and payable under or with respect to any Lessor Note within five
Business Days after the same shall have become due or any other amounts due and
payable under or with respect to any Lessor Note within ten Business Days after
the Owner Lessor receives notice that such amount is due and payable; or

     (c)  the Owner Lessor shall fail to perform or observe any covenant,
obligation or agreement to be performed or observed by it under this Indenture
(other than any covenant, obligation or agreement contained in clause (b) of
this Section 4.2), the Owner Lessor or the Lessor Manager shall fail to perform
or observe any covenant, obligation or agreement to be performed by it under
Section 6 of the Participation Agreement, the Owner Participant shall fail to
perform or observe any covenant, obligation or agreement to be performed by it
under Section 7 of the Participation Agreement, or the OP Guarantor shall fail
to perform or observe any covenant, obligation or agreement to be performed by
it under the OP Guaranty in each case, in any material respect, which failure
shall continue unremedied for 30 days after receipt by such party of written
notice thereof; provided, however, that if such condition cannot be remedied
within such 30-day period, then the period within which to remedy such
condition shall be extended up to 180 days, so long as such party diligently
pursues such remedy and such condition is reasonably capable of being remedied
within such extended period;

     (d)  any representation or warranty made by the Lessor Manager or the Owner
Lessor in Section 3.2 or 3.3 of the Participation Agreement or in the
certificate delivered by the Lessor Manager or the Owner Lessor at the Closing
pursuant to Section 4.6 of the Participation Agreement or any representation or
warranty made by the Owner Participant in Section 3.4 of the Participation
Agreement (other than Section 3.4(i)) or the certificate delivered by the Owner
Participant at the Closing pursuant to Section 4.6 of the Participation
Agreement, or any representation or warranty made by the OP Guarantor (provided
the OP Guaranty shall not have been terminated or released) under the OP
Guaranty or in the certificate delivered by such OP Guarantor at the Closing
pursuant to Section 4.6 of the Participation Agreement, shall prove to have
been incorrect in any material respect when made and continues to be material
and unremedied for a period of 30 days after receipt by such party of written
notice thereof; provided, however, that if such condition cannot be remedied
within such 30-day period, then the period within which to remedy such
condition shall be extended up to an additional 120 days,

                                       37
<PAGE>
so long as such party diligently pursues such remedy and such condition is
reasonably capable of being remedied within such extended period;

     (e)  the Owner Participant, the Owner Lessor or the OP Guarantor (provided
the OP Guaranty shall not have been terminated or released) shall (i) commence
a voluntary case or other proceeding seeking relief under Title 11 of the
Bankruptcy Code or liquidation, reorganization or other relief with respect to
itself or its debts under any bankruptcy, insolvency or other similar law now
or hereafter in effect, or apply for or consent to the appointment of a
trustee, receiver, liquidator, custodian or other similar official of it or any
substantial part of its property, or (ii) consent to, or fail to controvert in
a timely manner, any such relief or the appointment of or taking possession by
any such official in any voluntary case or other proceeding commenced against
it, or (iii) file an answer admitting the material allegations of a petition
filed against it in any such proceeding; or (iv) make a general assignment for
the benefit of creditors; or (v) become unable, admit in writing its inability
or fail generally to pay its debts as they become due; or (vi) take corporate
action for the purpose of effecting any of the foregoing; or

     (f)  an involuntary case or other proceeding shall be commenced against the
Owner Participant, the Owner Lessor or the OP Guarantor (provided the OP
Guaranty shall not have been terminated or released) seeking (i) liquidation,
reorganization or other relief with respect to it or its debts under Title 11
of the Bankruptcy Code or any bankruptcy, insolvency or other similar law now
or hereafter in effect, or (ii) the appointment of a trustee, receiver,
liquidator, custodian or other similar official with respect to it or any
substantial part of its property or (iii) the winding-up or liquidation of the
Owner Lessor; and such involuntary case or other proceeding shall remain
undismissed and unstayed for a period of 60 days.

     Section 4.3.   Remedies of the Indenture Trustee.

     (a)  In the event that a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee in its discretion may, or
upon receipt of written instructions from a Majority in Interest of Noteholders
shall declare, by written notice to the Owner Lessor and the Owner Participant,
the unpaid principal amount of all Lessor Notes, with accrued interest thereon,
to be immediately due and payable, upon which declaration such principal amount
and such accrued interest shall immediately become due and payable (except in
the case of a Lease Indenture Event of Default under Section 4.2(e) or (f),
such principal and interest shall automatically become due and payable
immediately without any such declaration or notice) without further act or
notice of any kind. If any Make-Whole amount is due and payable pursuant to
Section 2.10 (c)

                                       38
<PAGE>
or (d) at the time of any such acceleration, such Make-Whole Amount shall also
be due and payable in connection with such acceleration.

     (b)  If a Lease Indenture Event of Default shall have occurred and be
continuing, then and in every such case, the Indenture Trustee, as assignee
under the Facility Lease or hereunder or otherwise, may, and where required
pursuant to the provisions of Section 5 hereof shall, upon written notice to
the Owner Lessor, exercise any or all of the rights and powers and pursue any
or all of the remedies pursuant to this Section 4 and, in the event such Lease
Indenture Event of Default shall be a Lease Event of Default, any and all of
the remedies provided pursuant to this Section 4 and Section 17 of the Facility
Lease and, subject to Section 4.4, may take possession of all or any part of
the Indenture Estate and may exclude therefrom the Owner Participant, the Owner
Lessor and, in the event such Lease Indenture Event of Default shall be a Lease
Event of Default, the Facility Lessee and all persons claiming under them, and
may exercise all remedies available to a secured party under the Uniform
Commercial Code or any other provision of Applicable Law. The Indenture Trustee
may proceed to enforce the rights of the Indenture Trustee and of the
Noteholders by directing payment to it of all moneys payable under any
agreement or undertaking constituting a part of the Indenture Estate, by
proceedings in any court of competent jurisdiction to recover damages for the
breach hereof or for the appointment of a receiver or for sale of all or any
part of the Property Interest or for foreclosure of the Property Interest,
together with the Owner Lessor's interest in the Assigned Documents, and by any
other action, suit, remedy or proceeding authorized or permitted by this
Indenture, at law or in equity, or whether for the specific performance of any
agreement contained herein, or for an injunction against the violation of any
of the terms hereof, or in aid of the exercise of any power granted hereby or
by law, and in addition may foreclose upon, sell, assign, transfer and deliver,
from time to time to the extent permitted by Applicable Law, all or any part of
the Indenture Estate or any interest therein, at any private sale or public
auction with or without demand, advertisement or notice (except as herein
required or as may be required by law) of the date, time and place of sale and
any adjournment thereof, for cash or credit or other property, for immediate or
future delivery and for such price or prices and on such terms as the Indenture
Trustee, in its unfettered discretion, may determine, or as may be required by
law, so long as the Owner Participant and the Owner Lessor are afforded a
commercially reasonable opportunity to bid for all or such part of the
Indenture Estate in connection therewith unless Section 4.7 shall otherwise be
applicable; provided that 20 days shall be deemed to be a commercially
reasonable opportunity to bid for purposes of this Section 4.3(b). The
Indenture Trustee may file such proofs of claim and other papers or documents
as may be necessary or advisable in order to have the claims of the Indenture
Trustee and of the Noteholders asserted or upheld in any bankruptcy,
receivership or other judicial proceedings.

                                       39
<PAGE>
     (c)  All rights of action and rights to assert claims under this Indenture
or under any of the Lessor Notes may be enforced by the Indenture Trustee
without the possession of the Lessor Notes at any trial or other proceedings
instituted by the Indenture Trustee, and any such trial or other proceedings
shall be brought in its own name as mortgagee of an express trust, and any
recovery or judgment shall be for the ratable benefit of the Noteholders as
herein provided. In any proceedings brought by the Indenture Trustee (and also
any proceedings involving the interpretation of any provision of this
Indenture), the Indenture Trustee shall be held to represent all the
Noteholders, and it shall not be necessary to make any such Persons parties to
such proceedings.

     (d)  Anything herein to the contrary notwithstanding, neither the Indenture
Trustee nor any Noteholder shall at any time, including at any time when a
Lease Indenture Event of Default shall have occurred and be continuing and
there shall have occurred and be continuing a Lease Event of Default, be
entitled to exercise any remedy under or in respect of this Indenture which
could or would divest the Owner Lessor of title to, or its ownership interest
in, any portion of the Indenture Estate unless, in the case of a Lease
Indenture Event of Default as a consequence of a Lease Event of Default under
Section 16 of the Facility Lease, the Indenture Trustee shall have, to the
extent it is then entitled to do so hereunder and is not then stayed or
otherwise prevented from doing so by operation of law, commenced the exercise
of one or more remedies under the Facility Lease intending to dispossess the
Facility Lessee of its leasehold interest in the Undivided Interest and is
using good faith efforts in the exercise of such remedies (and not merely
asserting a right or claim to do so); provided that during any period that the
Indenture Trustee is stayed or otherwise prevented by operation of law from
exercising such remedies, the Indenture Trustee will not divest the Owner
Lessor of title to any portion of the Indenture Estate until the earlier of (a)
the expiration of the 180-day period following the date of commencement of a
stay or other prevention or (b) the date of repossession of the Facility under
the applicable Facility Lease.

     (e)  Any provisions of the Facility Lease or this Indenture to the contrary
notwithstanding, if the Facility Lessee shall fail to pay any Excepted Payment
to any Person entitled thereto as and when due, such Person shall have the
right at all times, to the exclusion of the Indenture Trustee, to demand,
collect, sue for, enforce performance of obligations relating to, or otherwise
obtain all amounts due in respect of such Excepted Payment or to declare a
Lease Event of Default under Section 16 of the Facility Lease solely to enforce
such obligations in respect of any Excepted Payments (provided that any such
declaration shall not be deemed to constitute a Lease Indenture Event of
Default hereunder without the consent of the Indenture Trustee).

                                       40
<PAGE>
     Section 4.4.   Right to Cure Certain Lease Events of Default.

     (a)  If the Facility Lessee shall fail to make any payment of Periodic Rent
due on any Rent Payment Date when the same shall have become due, and if such
failure of the Facility Lessee to make such payment of Periodic Rent shall not
constitute the fourth consecutive such failure or the eighth cumulative failure
of the Facility Lessee, then the Owner Lessor may (but need not) pay to the
Indenture Trustee, at any time prior to the expiration of ten (10) Business
Days after the Owner Lessor and the Owner Participant shall have received
notice from the Indenture Trustee or have Actual Knowledge of the failure of
the Facility Lessee to make such payment of Periodic Rent, an amount equal to
the principal of, Make-Whole Amount, if any, and interest on the Lessor Notes,
then due (otherwise than by declaration of acceleration) on such Rent Payment
Date, together with any interest due thereon on account of the delayed payment
thereof, and such payment by the Owner Lessor shall be deemed (for purposes of
this Indenture) to have cured any Lease Indenture Event of Default which arose
or would have arisen from such failure of the Facility Lessee.

     (b)  If the Facility Lessee shall fail to make any payment of Supplemental
Rent when the same shall become due or otherwise fail to perform any obligation
under the Facility Lease or any other Operative Document, then the Owner Lessor
may (but need not) make such payment on the date such Supplemental Rent was
payable, together with any interest due thereon on account of the delayed
payment thereof, or perform such obligation at any time prior to the expiration
of ten (10) Business Days after the Owner Lessor or the Owner Participant shall
have received notice or have Actual Knowledge of the occurrence of such
failure, and such payment or performance by the Owner Lessor shall be deemed to
have cured any Lease Indenture Event of Default which arose or would have
arisen from such failure of the Facility Lessee.

     (c)  The Owner Lessor, upon exercising its rights under paragraph (a) or
(b) of this Section 4.4 to cure the Facility Lessee's failure to pay Periodic
Rent or Supplemental Rent or to perform any other obligation under the Facility
Lease or any other Operative Document, shall not obtain any Lien on any part of
the Indenture Estate on account of such payment or performance nor, except as
expressly provided in the next sentence, pursue any claims against the Facility
Lessee or any other party, for the repayment thereof if such claims would
impair the prior right and security interest of the Indenture Trustee in and to
the Indenture Estate. Upon such payment or performance by the Owner Lessor, the
Owner Lessor shall (to the extent of such payment made by it and the costs and
expenses incurred in connection with such payments and performance thereof
together with interest thereon and so long as no event which would, with the
passing of time or giving of notice or both, become a Lease Indenture Event of
Default

                                       41
<PAGE>
under Section 4.2(b), (e) or (f), or any Lease Indenture Event of Default
hereunder shall have occurred and be continuing) be subrogated to the rights of
the Indenture Trustee and the Noteholders to receive the payment of Periodic
Rent or Supplemental Rent, as the case may be, with respect to which the Owner
Lessor made such payment and interest on account of such Periodic Rent payment
or Supplemental Rent payment being overdue in the manner set forth in the next
two sentences. If the Indenture Trustee shall thereafter receive such payment
of Periodic Rent, Supplemental Rent or such interest, the Indenture Trustee
shall, notwithstanding the requirements of Section 3.1 hereof, forthwith, remit
such payment of Periodic Rent or Supplemental Rent, as the case may be (to the
extent of the payment made by the Owner Lessor pursuant to this Section 4.4)
and such interest to the Owner Lessor in reimbursement for the funds so
advanced by it, provided that if (A) any event which, with the passing of time
or giving of notice or both, would become a Lease Indenture Event of Default
under Section 4.2(b), (e) or (f) hereof, or any Lease Indenture Event of
Default hereunder shall have occurred and be continuing or (B) any payment of
principal, interest, or Make-Whole Amount, if any, on any Lessor Note then
shall be overdue, such payment shall not be remitted to the Owner Lessor but
shall be held by the Indenture Trustee as security for the obligations secured
hereby and distributed in accordance with Section 3.1 hereof. The Owner Lessor
shall not attempt to recover any amount paid by it on behalf of the Facility
Lessee pursuant to this Section 4.4 except by demanding of the Facility Lessee
payment of such amount or by commencing an action against the Facility Lessee
for the payment of such amount, and except where a Lease Indenture Event of
Default (other than a Lease Event of Default) has occurred and is continuing,
the Owner Lessor shall be entitled to receive the amount of such payment and
the costs and expenses incurred in connection with such payments and
performance thereof together with interest thereon from the Facility Lessee
(but neither the Owner Lessor nor the Owner Participant shall have any right to
collect such amounts by exercise of any of the remedies under Section 17 of the
Facility Lease) or, if paid by the Facility Lessee to the Indenture Trustee,
from the Indenture Trustee to the extent of funds actually received by the
Indenture Trustee.

     (d)  Until the expiration of the period during which the Owner Lessor or
the Owner Participant shall be entitled to exercise rights under paragraph (a)
or (b) of this Section 4.4 with respect to any failure by the Facility Lessee
referred to therein, neither the Indenture Trustee nor any Noteholder shall
take or commence any action it would otherwise be entitled to take or commence
as a result of such failure by the Facility Lessee, whether under this Section
4 or Section 17 of the Facility Leases or otherwise.

     (e)  Each Noteholder agrees, by acceptance thereof, that if (i) (x) a Lease
Indenture Event of Default, which also constitutes a Lease Event of Default,
shall have occurred and be continuing for a period of at least 90 days without
the Lessor Notes

                                       42
<PAGE>
having been accelerated or the Indenture Trustee having exercised any remedy
under the Facility Lease intended to dispossess the Facility Lessee of the
Facility, (y) the Lessor Notes have been accelerated pursuant to Section 4.3(a)
and such acceleration has not theretofore been rescinded, or (z) an Enforcement
Notice giving notice of the intent of the Indenture Trustee to dispossess the
Facility Lessee of the Facility under the Facility Lease has been given
pursuant to Section 5.1 within the previous 30 days, (ii) no Lease Indenture
Event of Default of the nature described in any of clauses (b) through (f) of
Section 4.2 hereof shall have occurred and be continuing and (iii) the Owner
Lessor shall give written notice to the Indenture Trustee of the Owner Lessor's
intention to purchase all of the Lessor Notes in accordance with this
paragraph, then, upon receipt within 10 Business Days after such notice from
the Owner Lessor of an amount equal to the sum of (x) the aggregate unpaid
principal amount of any unpaid Lessor Notes then held by the Noteholders,
together with accrued but unpaid interest thereon to the date of such receipt
(as well as any interest on overdue principal and, to the extent permitted by
Applicable Law, overdue interest), plus (y) the aggregate amount, if any, of
all sums which, if Section 3.3 were then applicable, such Noteholder would be
entitled to be paid before any payments were to be made to the Owner Lessor but
excluding any Make-Whole Amount, such Noteholder will forthwith (and upon its
receipt of the payment referred to in clause (1) below, will be deemed to)
sell, assign, transfer and convey to the Owner Lessor (without recourse or
warranty of any kind other than of title to the Lessor Notes so conveyed) all
of the right, title and interest of such Noteholder in and to the Indenture
Estate, this Indenture, all Lessor Notes held by such Noteholder and the
Assigned Documents, and the Owner Lessor shall thereupon assume all such
Noteholder's rights and obligations in such documents; provided, that no such
holder shall be required to so convey unless (1) the Owner Lessor shall have
simultaneously tendered payment on all other Lessor Notes issued by the Owner
Lessor at the time outstanding pursuant to this paragraph and (2) such
conveyance is not in violation of any Applicable Law.  All charges and expenses
required to be paid in connection with the issuance of any new Lessor Note or
Lessor Notes in connection with this paragraph shall be borne by the Owner
Lessor.  Notwithstanding the foregoing, the Owner Lessor may exercise the right
set forth in this clause (e) prior to the end of the 90 day period set forth
above but, in such case, the Make-Whole Amount, if any, shall also be payable.

     Section 4.5.   Rescission of Acceleration. If at any time after the
outstanding principal amount of the Lessor Notes shall have become due and
payable by acceleration pursuant to Section 4.3 hereof, (a) all amounts of
principal, Make-Whole Amount, if any, and interest which are then due and
payable in respect of all the Lessor Notes other than pursuant to Section 4.3
hereof shall have been paid in full, together with interest on all such overdue
principal and (to the extent permitted by Applicable Law) overdue interest at
the rate or rates specified in the Lessor Notes, and an amount sufficient to
cover all

                                       43
<PAGE>
costs and expenses of collection incurred by or on behalf of the holders of the
Lessor Notes (including counsel fees and expenses and all expenses and
reasonable compensation of the Indenture Trustee) and (b) every other Lease
Indenture Event of Default shall have been remedied, then a Majority in
Interest of Noteholders may, by written notice or notices to the Owner Lessor,
the Indenture Trustee and the Facility Lessee, rescind and annul such
acceleration and any related declaration of default under the Facility Lease
and their respective consequences, but no such rescission and annulment shall
extend to or affect any subsequent Lease Indenture Event of Default or impair
any right consequent thereon, and no such rescission and annulment shall
require any Noteholder to repay any principal or interest actually paid as a
result of such acceleration.

     Section 4.6.   Return of Indenture Estate, Etc.

     (a)  If at any time the Indenture Trustee has the right to take possession
of the Indenture Estate pursuant to Section 4.3 hereof, at the request of the
Indenture Trustee, the Owner Lessor promptly shall (i) execute and deliver to
the Indenture Trustee such instruments of title and other documents and (ii)
make all such demands and give all such notices as are permitted by the terms
of the Facility Lease to be made or given by the Owner Lessor upon the
occurrence and continuance of a Lease Event of Default, in each case as the
Indenture Trustee may deem necessary or advisable to enable the Indenture
Trustee or an agent or representative designated by the Indenture Trustee, at
such time or times and place or places as the Indenture Trustee may specify, to
obtain possession of all or any part of the Indenture Estate the possession of
which the Indenture Trustee shall at the time be entitled to hereunder. If the
Owner Lessor shall for any reason fail to execute and deliver such instruments
and documents after such request by the Indenture Trustee, the Indenture
Trustee may (i) obtain a judgment conferring on the Indenture Trustee the right
to immediate possession and requiring the Owner Lessor to execute and deliver
such instruments and documents to the Indenture Trustee, to the entry of which
judgment the Owner Lessor hereby specifically consents, and (ii) pursue all or
any part of the Indenture Estate wherever it may be found and enter any of the
premises wherever all or part of the Indenture Estate may be or is supposed to
be and search for all or part of the Indenture Estate and take possession of
and remove all or part of the Indenture Estate.

     (b)  Upon every such taking of possession, the Indenture Trustee may, from
time to time, as a charge against proceeds of the Indenture Estate, make all
such expenditures with respect to the Indenture Estate as it may deem proper.
In each such case, the Indenture Trustee shall have the right to deal with the
Indenture Estate and to carry on the business and exercise all rights and
powers of the Owner Lessor relating to the Indenture Estate, as the Indenture
Trustee shall deem best, and, the Indenture Trustee

                                       44
<PAGE>
shall be entitled to collect and receive all rents (including Periodic Rent and
Supplemental Rent), revenues, issues, income, products and profits of the
Indenture Estate and every part thereof (without prejudice to the right of the
Indenture Trustee under any provision of this Indenture to collect and receive
cash held by, or required to be deposited with, the Indenture Trustee
hereunder) and to apply the same to the management of or otherwise dealing with
the Indenture Estate and of conducting the business thereof, and of all
expenditures with respect to the Indenture Estate and the making of all
payments which the Indenture Trustee may be required or may elect to make, if
any, for taxes, assessments, insurance or other proper charges upon the
Indenture Estate or any part thereof (including the employment of engineers and
accountants to examine, inspect and make reports upon the properties and books
and records of the Owner Lessor and the Facility Lessee relating to the
Indenture Estate and the Operative Documents), or under any provision of, this
Indenture, as well as just and reasonable compensation for the services of the
Indenture Trustee and of all Persons properly engaged and employed by the
Indenture Trustee.

     Section 4.7.   Power of Sale and Other Remedies. In addition to all other
remedies provided for herein if a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee shall, subject to Sections
4.3 and 4.4, have the right to foreclose this Indenture and to have a judicial
sale of the Indenture Estate or any part of the Indenture Estate as the
Indenture Trustee shall determine, in its sole discretion, with any such
sale(s) to be under the judgment or decree of a court of competent
jurisdiction. Further, if a Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee may, in addition to and not
in abrogation of other rights and remedies provided in this Section, proceed by
a suit or suits in law or in equity or by any other appropriate proceeding or
remedy (i) to enforce payment of the Lessor Notes or the performance of any
term, covenant, condition or agreement of this Indenture or any other right,
and (ii) to pursue any other remedy available to it, all as the Indenture
Trustee shall determine most effectual for such purposes. Upon any foreclosure
sale, the Indenture Trustee may bid for and purchase the Indenture Estate and
shall be entitled to apply all or any part of the Secured Indebtedness as a
credit to the purchase price. In the event of a foreclosure sale of the
Indenture Estate, the proceeds of said sale shall be applied as provided in
Section 3.3 hereof. In the event of any such foreclosure sale by the Indenture
Trustee, the Owner Lessor shall be deemed a tenant holding over and shall
forthwith deliver possession to the purchaser or purchasers at such sale or be
summarily dispossessed according to provisions of law applicable to tenants
holding over. The Indenture Trustee, at the Indenture Trustee's option, is
authorized to foreclose this Indenture subject to the rights of any tenants of
the Indenture Estate, and the failure to make any such tenants parties to any
such foreclosure proceedings and to foreclose their

                                       45
<PAGE>
rights will not be, nor be asserted to be by the Owner Lessor, a defense to any
proceedings instituted by the Indenture Trustee to collect the Secured
Indebtedness.

     Section 4.8.   Appointment of Receiver. If the outstanding principal amount
of the Lessor Notes shall have been declared due and payable pursuant to
Section 4.3 hereof, as a matter of right, the Indenture Trustee shall be
entitled to the appointment of a receiver (who may be the Indenture Trustee or
any successor or nominee thereof) for all or any part of the Indenture Estate,
whether such receivership be incidental to a proposed sale of the Indenture
Estate or the taking of possession thereof or otherwise, and the Owner Lessor
hereby consents to the appointment of such a receiver and will not oppose any
such appointment. Any receiver appointed for all or any part of the Indenture
Estate shall be entitled to exercise all the rights and powers with respect to
the Indenture Estate to the extent instructed to do so by the Indenture Trustee.

     Section 4.9.   Remedies Cumulative. Each and every right, power and remedy
herein specifically given to the Indenture Trustee or otherwise in this
Indenture shall be cumulative and shall be in addition to every other right,
power and remedy herein specifically given or now or hereafter existing at law,
in equity or by statute, and each and every right, power and remedy whether
specifically herein given or otherwise existing may be exercised from time to
time and as often and in such order as may be deemed expedient by the Indenture
Trustee, and the exercise or the beginning of the exercise of any right, power
or remedy shall not be construed to be a waiver of the right to exercise at the
same time or thereafter any other right, power or remedy. No delay or omission
by the Indenture Trustee in the exercise of any right, remedy or power or in
the pursuance of any remedy shall impair any such right, power or remedy or be
construed to be a waiver of any default on the part of the Owner Participant,
the Owner Lessor or the Facility Lessee or to be an acquiescence therein.

     Section 4.10.   Waiver of Various Rights by the Owner Lessor. Except as
otherwise set forth herein, to the maximum extent permitted by Applicable Law,
the Owner Lessor waives the benefit of all laws now existing or that may
subsequently be enacted provided for (i) any appraisement before sale of any
portion of the Indenture Estate, (ii) any extension of the time for the
enforcement of the collection of the Secured Indebtedness or the creation or
extension of a period of redemption from any sale made in collecting such debt,
(iii) exemption of the Indenture Estate from attachment, levy or sale under
execution or exemption from civil process and (iv) any requirement that the
Indenture Estate be sole in separate lots, trusts or parcels. Except as
otherwise set forth herein, to the full extent the Owner Lessor may do so, the
Owner Lessor agrees that it will not at any time insist upon, plead, claim or
take the benefit or advantage of any law not or hereafter in force provided for
any appraisement, valuation, stay exemption,

                                       46
<PAGE>
extension or redemption, reinstatement or requiring foreclosure of this
Indenture before exercising any other remedy granted hereunder and the Owner
Lessor, for itself and its successors and assigns, and for any and all Persons
ever claiming any interest in the Indenture Estate, to the maximum extent
permitted by law, hereby waives and releases all rights of redemption,
reinstatement, valuation, appraisement, stay of execution, notice of election
to mature or declare due the whole of the Secured Indebtedness and marshaling
in the event of foreclosure on the Liens hereby created.

     Section 4.11.   Discontinuance of Proceedings. In case the Indenture
Trustee or any Noteholder shall have proceeded to enforce any right, power or
remedy under this Indenture by foreclosure, entry or otherwise, and such
proceedings shall have been discontinued or abandoned for any reason or shall
have been determined adversely to the Indenture Trustee or the Noteholder, then
and in every such case the Owner Lessor, the Indenture Trustee and the Facility
Lessee shall be restored to their former positions and rights hereunder with
respect to the Indenture Estate, and all rights, remedies and powers of the
Indenture Trustee or the Noteholder shall continue as if no such proceedings
had taken place.

     Section 4.12.   No Action Contrary to the Facility Lessee's Rights Under
the Facility Lease. Notwithstanding any other provision of any of the Operative
Documents, so long as no Lease Event of Default under the Facility Lease shall
have been declared (or deemed to have been declared), the Indenture Trustee and
the Noteholders shall be subject to the Facility Lessee's rights under the
Facility Lease, and neither the Indenture Trustee nor any Noteholders shall
take or cause to be taken any action contrary to the right of the Facility
Lessee, including its rights to quiet use and possession of the Facility.

     Section 4.13.   Right of the Indenture Trustee to Perform Covenants, Etc.
If the Owner Lessor shall fail to make any payment or perform any act required
to be made or performed by it hereunder or under the Assigned Documents, or if
the Owner Lessor shall fail to release any Lien affecting the Indenture Estate
which it is required to release by the terms of this Indenture or the
Participation Agreement or the LLC Agreement, the Indenture Trustee, without
notice to or demand upon the Owner Lessor and without waiving or releasing any
obligation or defaults may (but shall be under no obligation to, and, except as
provided in the last sentence hereof, shall incur no liability in connection
therewith) at any time thereafter make such payment or perform such act for the
account and at the expense of the Indenture Estate and may take all such action
with respect thereto (including entering upon the Facility Site or any part
thereof, or the Facility for such purpose) as may be necessary or appropriate
therefor. No such entry shall be deemed an eviction. All sums so paid by the
Indenture Trustee and all costs and expenses (including legal fees and
expenses) so incurred, together with interest thereon

                                       47
<PAGE>
from the date of payment or incurrence, shall constitute additional
indebtedness secured by this Indenture and shall be paid from the Indenture
Estate to the Indenture Trustee on demand.  The Indenture Trustee shall not be
liable for any damages resulting from any such payment or action unless such
damages shall be a consequence of willful misconduct or gross negligence on the
part of the Indenture Trustee.

     Section 4.14.   Further Assurances. The Owner Lessor covenants and agrees
from time to time to do all such acts and execute all such instruments of
further assurance as shall be reasonably requested by the Indenture Trustee for
the purpose of fully carrying out and effectuating this Indenture and the
intent hereof.

     Section 4.15.   Waiver of Past Defaults. Any past Lease Indenture Event of
Default and its consequences may be waived by the Indenture Trustee or a
Majority in Interest of Noteholders, except a Lease Indenture Event of Default
(i) in the payment of the principal of, Make-Whole Amount, if any, and or
interest on any Lessor Note, subject to the provisions of Sections 5.1 and 8.1
hereof, or (ii) in respect of a covenant or provision hereof which, under
Section 8.1 hereof, cannot be modified or amended without the consent of each
Noteholder. Upon any such waiver and subject to the terms of such waiver, such
Lease Indenture Event of Default shall cease to exist, and any other Lease
Indenture Event of Default arising therefrom shall be deemed to have been
cured, for every purpose of this Indenture; but no such waiver shall extend to
any subsequent or other Lease Indenture Event of Default or impair any right
consequent thereon.

                                   SECTION 5.
                          DUTIES OF INDENTURE TRUSTEE;
                    CERTAIN RIGHTS AND DUTIES OF OWNER LESSOR

     Section 5.1.   Notice of Action Upon Lease Indenture Event of Default. The
Indenture Trustee shall give prompt written notice to the Owner Lessor and the
Owner Participant of any Lease Indenture Event of Default with respect to which
the Indenture Trustee has Actual Knowledge and will give the Facility Lessee
and the Owner Participant not less than 30 days' prior written notice of the
date on or after which the Indenture Trustee intends to exercise remedies under
Section 4.3 (an "Enforcement Notice"), which notice may be given
contemporaneously with any notice contemplated by Section 4.3(a) or 4.3(b). The
Indenture Trustee shall take such action, or refrain from taking such action,
as the Majority in Interest of Noteholders shall instruct in writing.

     Section 5.2.   Actions Upon Instructions Generally. Subject to the terms of
Sections 5.4, 5.5 and 5.6 hereof, upon written instructions at any time and
from time to

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<PAGE>
time of a Majority in Interest of Noteholders, the Indenture Trustee shall take
such action, or refrain from taking such action, including any of the following
actions as may be specified in such instructions: (a) give such notice,
direction or consent or exercise such right, remedy or power or take such
action hereunder or under any Assigned Document, or in respect of any part of
or all the Indenture Estate, as it shall be entitled to take and as shall be
specified in such instructions; (b) take such action with respect to or to
preserve or protect the Indenture Estate (including the discharge of Liens) as
it shall be entitled to take and as shall be specified in such instructions;
and (c) waive, consent to, approve (as satisfactory to it) or disapprove all
matters required by the terms of any Operative Document to be satisfactory to
the Indenture Trustee. The Indenture Trustee may, and upon written instructions
from a Majority in Interest of Noteholders, the Indenture Trustee shall,
execute and file or cause to be executed and filed any financing statement (and
any continuation statement with respect to such financing statement) or any
similar instrument or document relating to the security interest or the
assignment created by this Indenture or granted by the Owner Lessor herein as
may be necessary to protect and preserve the security interest or assignment
created by or granted pursuant to this Indenture, to the extent otherwise
entitled to do so and as shall be specified in such instructions.

     Section 5.3.   Action Upon Payment of Lessor Notes or Termination of
Facility Lease. Subject to the terms of Section 5.4 hereof, upon payment in
full of the principal of and interest on all Lessor Notes then outstanding and
all other amounts then due all Noteholders hereunder, and all other sums
secured hereby or otherwise required to be paid hereunder, under the
Participation Agreement and under the Facility Lease, the Indenture Trustee
shall execute and deliver to, or as directed in writing by, the Owner Lessor
and the Facility Lessee an appropriate instrument in due form for recording,
releasing the Indenture Estate from the Lien of this Indenture. Nothing in this
Section 5.3 shall be deemed to expand the instances in which the Owner Lessor
is entitled to prepay the Lessor Notes.

     Section 5.4.   Compensation of the Indenture Trustee; Indemnification.

     (a)  The Owner Lessor will from time to time, on demand, pay to the
Indenture Trustee such compensation for its services hereunder as shall be
agreed to by the Owner Lessor and the Indenture Trustee, or, in the absence of
agreement, reasonable compensation for such services (which compensation shall
include reasonable fees and expenses of its outside counsel and shall not be
limited by any provision of law in regard to the compensation of a trustee of
an express trust), and the Indenture Trustee agrees that it shall have no right
against the Noteholders or, except as provided in Section 3 and

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<PAGE>
Section 4.3 hereof or this Section 5, the Indenture Estate, for any fee as
compensation for its services hereunder.

     (b)  The Indenture Trustee shall not be required to take any action or
refrain from taking any action under Section 4, 5.2 or 9.1 hereof unless it and
any of its directors, officers, employees or agents shall have been indemnified
in manner and form satisfactory to the Indenture Trustee. The Indenture Trustee
shall not be required to take any action under Section 4 or Section 5.2, 5.3 or
9.1 hereof, nor shall any other provision of this Indenture be deemed to impose
a duty on the Indenture Trustee to take any action, if it shall have been
advised by counsel (who shall not be an employee of the Indenture Trustee) that
such action is contrary to the terms hereof or is otherwise contrary to
Applicable Law or (unless it shall have been indemnified in manner and form
satisfactory to the Indenture Trustee) may result in personal liability to the
Indenture Trustee.

     Section 5.5.   No Duties Except as Specified; No Action Except Under
Facility Lease, Indenture or Instructions.

     (a)  The Indenture Trustee shall not have any duty or obligation to manage,
control, use, sell, dispose of or otherwise deal with any part of the Indenture
Estate or otherwise take or refrain from taking any action under or in
connection with this Indenture or the other Assigned Documents except as
expressly provided by the terms of this Indenture or as expressly provided in
written instructions from a Majority in Interest of Noteholders in accordance
with Section 5.2 hereof; and no implied duties or obligations shall be read
into this Indenture against the Indenture Trustee.

     (b)  The Indenture Trustee shall not manage, control, use, sell, dispose of
or otherwise deal with any part of the Indenture Estate except (a) as required
by the terms of the Facility Lease, to the extent applicable to the Indenture
Trustee as assignee of the Owner Lessor, (b) in accordance with the powers
granted to, or the authority conferred upon, the Indenture Trustee pursuant to
this Indenture or in accordance with the express terms hereof or with written
instructions from a Majority in Interest of Noteholders in accordance with
Section 5.2 hereof.

     Section 5.6.   Certain Rights of the Owner Lessor.  Notwithstanding any
other provision of this Indenture or any provision of any Operative Document to
the contrary, and in addition to any rights conferred on the Owner Lessor
hereby:

     (a)  The Owner Lessor shall at all times, to the exclusion of the
Indenture Trustee, (i) retain all rights to demand and receive payment of, and
to commence an action for payment of, Excepted Payments but the Owner Lessor
shall have no remedy

                                       50
<PAGE>
or right with respect to any such payment against the Indenture Estate nor any
right to collect any such payment by the exercise of any of the remedies under
Section 17 of the Facility Lease except as expressly provided in this Section
5.6; (ii) retain all rights with respect to insurance that Section 11 of the
Facility Lease and Schedule 5.31 of the Participation Agreement specifically
confers upon the Owner Lessor and to waive any failure by the Facility Lessee
to maintain the insurance required by Section 11 of the Facility Lease before
or after the fact so long as the insurance maintained by the Facility Lessee
still conforms to Prudent Industry Practice; (iii) retain all rights to adjust
Periodic Rent and Termination Value as provided in Section 3.4 of the Facility
Lease, Section 12 of the Participation Agreement or the Tax Indemnity
Agreement; provided, however, that after giving effect to any such adjustment
(x) the amount of Periodic Rent payable on each Rent Payment Date shall be at
least equal to the aggregate amount of all principal and accrued interest
payable on such Rent Payment Date on all Lessor Notes then outstanding and (y)
Termination Value shall in no event be less (when added to all other amounts
required to be paid by the Facility Lessee in respect of any early termination
of the Facility Lease) than an amount sufficient, as of the date of payment, to
pay in full the principal of, and interest on all Lessor Notes outstanding on
and as of such date of payment; (iv) except in connection with the exercise of
remedies pursuant to the Facility Lease, retain all rights to exercise the
Owner Lessor's rights relating to the Appraisal Procedure and to confer and
agree with the Facility Lessee on Fair Market Rental Value, or any Renewal
Lease Term; and (v) retain the right to declare the Facility Lease to be in
default with respect to any Excepted Payment pursuant to Section 17 of the
Facility Lease.

     (b)  The Owner Lessor shall have the right, together with or independently
of the Indenture Trustee, (i) to receive from the Facility Lessee and the
Guarantor all notices, certificates, reports, filings, opinions of counsel and
other documents and all information that the Facility Lessee is permitted or
required to give or furnish to the Owner Lessor or the Owner Participant, as
the case may be, pursuant to the Facility Lease or any other Operative
Document; (ii) to inspect the Facility and the records relating thereto
pursuant to Section 12 of the Facility Lease; (iii) to provide such insurance
as may be permitted by Section 11 of the Facility Lease; (iv) to provide
notices to the Facility Lessee or the Guarantor to the extent otherwise
permitted by the Operative Documents; and (v) to perform for the Facility
Lessee as provided in Section 20 of the Facility Lease.

     (c)  So long as the Lessor Notes have not been accelerated pursuant to
Section 4.3(a) hereof (or, if accelerated, such acceleration has theretofore
been rescinded) or the Indenture Trustee shall not have exercised any of its
rights pursuant to Section 4 hereof to take possession of, foreclose, sell or
otherwise take control of all or any part of

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<PAGE>
the Indenture Estate, the Owner Lessor shall retain the right to the exclusion
of the Indenture Trustee to exercise the rights of the Owner Lessor under, and
to determine compliance by the Facility Lessee with, the provisions of Sections
10 (other than Section 10.3 thereof), 13, 14 and 15 of the Facility Lease;
provided, however, that if a Lease Indenture Event of Default shall have
occurred and be continuing, the Owner Lessor shall cease to retain such rights
upon notice from the Indenture Trustee stating that such rights shall no longer
be retained by the Owner Lessor;

     (d)  Except as expressly provided in this Section 5.6, so long as the
Lessor Notes have not been accelerated pursuant to Section 4.3(a) hereof (or,
if accelerated, such acceleration has theretofore been rescinded) or the
Indenture Trustee shall not have exercised any of its rights pursuant to
Section 4 hereof to take possession of, foreclose, sell or otherwise take
control of all or any part of the Indenture Estate, the Owner Lessor shall have
the right, to be exercised jointly with the Indenture Trustee, (i) to exercise
the rights with respect to the Facility Lessee's use and operation,
modification or maintenance of the Undivided Interest, (ii) to exercise the
Owner Lessor's right under Section 13.1 of the Participation Agreement to
withhold or grant its consent to an assignment by the Facility Lessee of its
rights under the Facility Lease, and (iii) to exercise the rights of the Owner
Lessor under Section 10.3 of the Facility Lease; provided, however, that if a
Lease Indenture Event of Default shall have occurred and be continuing, the
Owner Lessor shall cease to exercise such rights under this clause (iii) upon
notice from the Indenture Trustee stating that such rights shall no longer be
retained by the Owner Lessor; provided further, however, that (A) the Owner
Lessor shall have no right to receive any Periodic Rent or other payments other
than Excepted Payments payable to the Owner Lessor, or the Owner Participant
and (B) no determination by the Owner Lessor or the Indenture Trustee that the
Facility Lessee is in compliance with the provisions of any applicable Assigned
Document shall be binding upon or otherwise affect the rights hereunder of the
Indenture Trustee or any Noteholder on the one hand or the Owner Lessor or the
Owner Participant on the other hand;

     (e)  So long as the Lessor Notes have not been accelerated pursuant to
Section 4.3(a) hereof and the Indenture Trustee shall not have exercised any of
its rights pursuant to Section 4 hereof to take possession of, foreclose, sell
or otherwise take control of all or any part of the Indenture Estate, the Owner
Lessor shall have the right, together with the Indenture Trustee and to the
extent permitted by the Operative Documents and Applicable Law, to seek
specific performance of the covenants of the Facility Lessee under the
Operative Documents relating to the protection, insurance, maintenance,
possession, use and return of the Property Interest, the performance by the
Facility Lessee of the Owner Lessor's obligations under the FILOT Lease and the
exercise of any renewal or extension rights with respect to the FILOT Lease and
to make the determinations and

                                       52
<PAGE>
take the actions contemplated by Section 14 of the Participation Agreement
(subject to the satisfaction of the conditions set forth in Section 14 of the
Participation Agreement) including, without limitation, the Owner Lessor's
right to direct that title to the Land (to the extent of the Owner Lessor's
Percentage Interest) be conferred from the County to the Facility Lessee; and

     (f)  Nothing in this Indenture shall give to, or create in, or otherwise
provide the benefit of to, the Indenture Trustee, any rights of the Owner
Participant under or pursuant to the Tax Indemnity Agreement or any other
Operative Document and nothing in this Section 5.6 or elsewhere in this
Indenture shall give to the Owner Lessor the right to exercise any rights
specifically given to the Indenture Trustee pursuant to any Operative Document;
and nothing in this Indenture shall give to, or create in, the Indenture
Trustee the right to, and the Indenture Trustee shall not, release the
Guarantor of its obligations under the Calpine Guaranty in respect of payment
of the Equity Portion of Termination Value, unpaid amounts of the Equity
Portion of Periodic Rent (and all amounts of overdue interest relating to such
amount) and other amounts constituting Excepted Payments, unless such release
results in payment in full to the Owner Lessor of all such unpaid amounts as
certified to the Indenture Trustee by the Owner Lessor, and all claims of the
Noteholders;

but nothing in clauses (a) through (f) above shall deprive the Indenture Trustee
of the exclusive right, so long as this Indenture shall be in effect, to declare
the Facility Lease to be in default under Section 16 thereof and thereafter to
exercise the remedies pursuant to Section 17 of the Facility Lease (except as
expressly set forth in the proviso of Section 5.6(b)).

     Section 5.7.   Restrictions on Dealing with Indenture Estate. Except as
provided in the Operative Documents, but subject to the terms of this
Indenture, the Owner Lessor shall not use, operate, store, lease, control,
manage, sell, dispose of or otherwise deal with the Facility, the Facility
Site, any part of the Facility Site or any other part of the Indenture Estate.

     Section 5.8.   Filing of Financing Statements and Continuation Statements.
Pursuant to Section 5.10 of the Participation Agreement, the Facility Lessee
has covenanted to maintain the priority of the Lien of this Indenture on the
Indenture Estate. The Indenture Trustee shall, at the written request and
expense of the Facility Lessee, as provided in the Participation Agreement,
execute and deliver to the Facility Lessee and the Facility Lessee will file,
if not already filed, such financing statements or other documents and such
continuation statements or other documents with respect to financing statements
or other documents previously filed relating to the Lien created by

                                       53
<PAGE>
this Indenture in the Indenture Estate as may be supplied to the Indenture
Trustee by the Facility Lessee. At any time and from time to time, upon the
request of the Facility Lessee or the Indenture Trustee, at the expense of the
Facility Lessee (and upon receipt of the form of document so to be executed),
the Owner Lessor shall promptly and duly execute and deliver any and all such
further instruments and documents as the Facility Lessee or the Indenture
Trustee may request in obtaining the full benefits of the security interest and
assignment created or intended to be created hereby and of the rights and powers
herein granted. Upon the reasonable instructions (which instructions shall be
accompanied by the form of document to be filed) at any time and from time to
time of the Facility Lessee or the Indenture Trustee, the Owner Lessor shall
execute and file any financing statement (and any continuation statement with
respect to any such financing statement), and any other document relating to the
security interest and assignment created by this Indenture as may be specified
in such instructions. In addition, the Indenture Trustee and the Owner Lessor
will execute such continuation statements with respect to financing statements
and other documents relating to the Lien created by this Indenture in the
Indenture Estate as may be specified from time to time in written instructions
of any Noteholder (which instructions may, by their terms, be operative only at
a future date and which shall be accompanied by the form of such continuation
statement or other document to be filed). Neither the Indenture Trustee nor,
except as otherwise herein expressly provided, the Owner Lessor shall have
responsibility for the protection, perfection or preservation of the Lien
created by this Indenture.

                                   SECTION 6.
                       INDENTURE TRUSTEE AND OWNER LESSOR

     Section 6.1.   Acceptance of Trusts and Duties. The Indenture Trustee
accepts the trusts hereby created and applicable to it and agrees to perform
the same but only upon the terms of this Indenture, and agrees to receive and
disburse all moneys constituting part of the Indenture Estate in accordance
with the provisions hereof. If any Lease Indenture Event of Default shall have
occurred and be continuing, the Indenture Trustee shall, subject to the
provisions of Sections 4 and 5 hereof, exercise such of the rights and remedies
vested in it by this Indenture and shall at all times use the same degree of
care in their exercise as a prudent person would exercise or use in the
circumstances in the conduct of its own affairs. The Indenture Trustee shall
not be liable under any circumstances, except (a) for its own negligence or
willful misconduct, (b) in the case of any inaccuracy of any representation or
warranty of the Indenture Trustee or the Lease Indenture Company contained in
Section 3.5 of the Participation Agreement, in the certificate delivered by the
Indenture Trustee at the Closing pursuant to Section 4.6 of the Participation
Agreement, or (c) for the performance of its obligations under Section 8 of the
Participation Agreement; and the Lease Indenture Company and the

                                       54
<PAGE>
Indenture Trustee shall not be liable for any action or inaction of the Owner
Trust; provided, however, that:

          (i)   Prior to the occurrence of a Lease Indenture Event of Default of
     which a Responsible Officer of the Indenture Trustee shall have Actual
     Knowledge, and after the curing of all such Indenture Events of Default
     which may have occurred, the duties and obligations of the Indenture
     Trustee shall be determined solely by the express provisions of the
     Operative Documents to which it is a party, the Indenture Trustee shall
     not be liable except for the performance of such duties and obligations as
     are specifically set forth in the Operative Documents, no implied
     covenants or obligations shall be read into the Operative Documents
     against the Indenture Trustee and, in the absence of bad faith on the part
     of the Indenture Trustee, the Indenture Trustee may conclusively rely, as
     to the truth of the statements and the correctness of the opinions
     expressed therein, upon any notes or opinions furnished to the Indenture
     Trustee and conforming to the requirements of this Indenture;

          (ii)   The Indenture Trustee shall not be liable in its individual
     capacity for an error of judgment made in good faith by a Responsible
     Officer or other officers of the Indenture Trustee, unless it shall be
     proven that the Indenture Trustee was negligent in ascertaining the
     pertinent facts;

          (iii)   The Indenture Trustee shall not be liable in its individual
     capacity with respect to any action taken, suffered or omitted to be taken
     by it in good faith in accordance with this Indenture or at the direction
     of the Majority in Interest of Noteholders, relating to the time, method
     and place of conducting any proceeding or remedy available to the
     Indenture Trustee, or exercising or omitting to exercise any trust or
     power conferred upon the Indenture Trustee, under this Indenture;

          (iv)   The Indenture Trustee shall not be required to take notice or
     be deemed to have notice or knowledge of any default, Lease Event of
     Default, Significant Lease Default or Lease Indenture Event of Default
     (except for a Lease Indenture Event of Default resulting from an event of
     nonpayment) unless a Responsible Officer of the Indenture Trustee shall
     have received written notice thereof. In the absence of receipt of such
     notice, the Indenture Trustee may conclusively assume that there is no
     default or Lease Indenture Event of Default;

          (v)   The Indenture Trustee shall not be required to expend or risk
its own funds or otherwise incur financial liability for the performance of
any of its duties

                                       55
<PAGE>
hereunder or the exercise of any of its rights or powers if there is reasonable
ground for believing that the repayment of such funds or adequate indemnity
against such risk or liability is not reasonably assured to it, and none of the
provisions contained in this Indenture shall in any event require the Indenture
Trustee to perform, or be responsible for the manner of performance of, any of
the obligations of the Owner Lessor, under this Indenture; and

          (vi)   The right of the Indenture Trustee to perform any discretionary
     act enumerated in this Indenture shall not be construed as a duty, and the
     Indenture Trustee shall not be answerable for other than its negligence or
     willful misconduct in the performance of such act.

     Section 6.2.   Absence of Certain Duties. Except in accordance with written
instructions furnished pursuant to Section 5.2 hereof and except as provided in
Section 5.5 and 5.8 hereof, the Indenture Trustee shall have no duty (a) to see
to any registration, recording or filing of any Operative Document (or any
financing or continuation statements in respect thereto) or to see to the
maintenance of any such registration, recording or filing, (b) to see to any
insurance on the Facilities or the Facilities or to effect or maintain any such
insurance, (c) except as otherwise provided in Section 5.5 hereof or in Section
10 of the Participation Agreement, to see to the payment or discharge of any
Tax or any Lien of any kind owing with respect to, or assessed or levied
against, any part of the Indenture Estate, (d) to confirm or verify the
contents of any report, notice, request, demand, certificate, financial
statement or other instrument of the Facility Lessee, (e) to inspect the
Facility at any time or ascertain or inquire as to the performance or
observance of any of the Facility Lessee's covenants with respect to the
Facility or (f) to exercise any of the trusts or powers vested in it by this
Indenture or to institute, conduct or defend any litigation hereunder or in
relation hereto at the request, order or direction of any of the Noteholders,
pursuant to the provisions of this Indenture, unless such Noteholders shall
have offered to the Indenture Trustee reasonable security or indemnity against
the costs, expenses and liabilities which may be incurred therein or thereby
(which in the case of the Majority in Interest of Noteholders will be deemed to
be satisfied by a letter agreement with respect to such costs from such
Majority in Interest of Noteholders).  Notwithstanding the foregoing, the
Indenture Trustee shall furnish to each Noteholder and to the Owner Lessor and
the Owner Participant promptly upon receipt thereof duplicates or copies of all
reports, notices, requests, demands, certificates, financial statements and
other instruments furnished to the Indenture Trustee hereunder or under any of
the Operative Documents unless the Indenture Trustee shall reasonably believe
that each such Noteholder, the Owner Lessor and the Owner Participant shall
have received copies thereof.

                                       56
<PAGE>
     Section 6.3.   Representations and Warranties.

     (a)  The Owner Lessor represents and warrants that it has not assigned or
pledged any of its estate, right, title or interest subject to this Indenture,
to anyone other than the Indenture Trustee.

     (b)  NEITHER THE OWNER LESSOR NOR THE INDENTURE TRUSTEE MAKES, NOR SHALL BE
DEEMED TO HAVE MADE (i) ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, AS
TO THE TITLE, VALUE, COMPLIANCE WITH PLANS OR SPECIFICATIONS, QUALITY,
DURABILITY, SUITABILITY, CONDITION, DESIGN, OPERATION, MERCHANTABILITY OR
FITNESS FOR USE OR FOR ANY PARTICULAR PURPOSE OF THE FACILITY, OR ANY PART
THEREOF, OR ANY OTHER REPRESENTATION OR WARRANTY WHATSOEVER, EXPRESS OR
IMPLIED, WITH RESPECT TO THE FACILITIES OR ANY OTHER PART OF THE INDENTURE
ESTATE, except that the Owner Lessor represents and warrants that on the
Closing Date it shall have received whatever title or interest to the Undivided
Interests and the Facility Site as were conveyed to it by the Facility Lessee
and that on the Closing Date the Undivided Interests shall be free of Owner
Lessor's Liens and the Owner Participant's Liens; or (ii) any representation or
warranty as to the validity, legality or enforceability of this Indenture, the
Lessor Notes or any of the other Operative Documents, or as to the correctness
of any statement contained in any thereof, except that each of the Owner Lessor
and the Indenture Trustee represents and warrants that this Indenture and the
Participation Agreement have been, and, in the case of the Owner Lessor, the
other Operative Documents to which it is or is to become a party have been or
will be, executed and delivered by one of its officers who is and will be duly
authorized to execute and deliver such document on its behalf.

     Section 6.4.   No Segregation of Moneys; No Interest. All moneys and
securities deposited with and held by the Indenture Trustee under this
Indenture for the purpose of paying, or securing the payment of, the principal
of or Make-Whole Amount or interest on the Lessor Notes shall be held in trust.
Except as specifically provided herein or in the Facility Lease, any moneys
received by the Indenture Trustee hereunder need not be segregated in any
manner except to the extent required by Applicable Law and may be deposited
under such general conditions as may be prescribed by Applicable Law, and
neither the Owner Lessor nor the Indenture Trustee shall be liable for any
interest thereon; provided, however, subject to Section 6.5 hereof, that any
payments received or applied hereunder by the Indenture Trustee shall be
accounted for by the Indenture Trustee so that any portion thereof paid or
applied pursuant hereto shall be identifiable as to the source thereof to the
extent known to the Indenture Trustee.

                                       57
<PAGE>
     Section 6.5.   Reliance; Agents; Advice of Experts. The Indenture Trustee
shall be authorized and protected and incur no liability to anyone in acting
upon any signature, instrument, notice, resolution, request, consent, order,
certificate, report, opinion, bond or other document or paper believed to be
genuine and believed to be signed by the proper party or parties. The Indenture
Trustee may accept in good faith a certified copy of a resolution of the
managing member (or equivalent body) of the Facility Lessee as conclusive
evidence that such resolution has been duly adopted by such Board and that the
same is in full force and effect. As to the amount of any payment to which any
Noteholder is entitled pursuant to clause "Third" of Section 3.2 or clause
"Fourth" of Section 3.3 hereof, and as to the amount of any payment to which
any other Person is entitled pursuant to Section 3.5 or Section 3.7 hereof, the
Indenture Trustee for all purposes hereof may rely on and shall be authorized
and protected in acting or refraining from acting upon an Officer's Certificate
of such Noteholder or other Person, as the case may be. As to any fact or
matter the manner of ascertainment of which is not specifically described
herein, the Indenture Trustee for all purposes hereof may rely on an Officer's
Certificate of the Owner Lessor or the Facility Lessee or a Noteholder as to
such fact or matter, and such certificate shall constitute full protection to
the Indenture Trustee for any action taken or omitted to be taken by it in good
faith in reliance thereon. The Indenture Trustee shall have the right to
request instructions from the Owner Lessor or the Majority in Interest of
Noteholders with respect to taking or refraining from taking any action in
connection with the Lease Indenture or any other Operative Document to which it
is a party, and shall be entitled to act or refrain from taking such action
unless and until the Indenture Trustee shall have received written instructions
from the Owner Lessor or the Majority in Interest of Noteholders, and the
Indenture Trustee shall not incur liability by reason of so acting (except as
provided in Section 6.1) or refraining from acting. In the administration of
the trusts hereunder, the Indenture Trustee may execute any of the trusts or
powers hereof and perform its powers and duties hereunder directly or through
agents or attorneys and may, at the expense of the Indenture Estate (but
subject to the priorities of payment set forth in Section 3 hereof), consult
with independent skilled Persons to be selected and retained by it (other than
Persons regularly in its employ) as to matters within their particular
competence, and the Indenture Trustee shall not be liable for anything done,
suffered or omitted in good faith by it in accordance with the advice or
opinion, within such Person's area of competence, of any such Person, so long
as the Indenture Trustee shall have exercised reasonable care in selecting such
Person.

                                   SECTION 7.
                          SUCCESSOR INDENTURE TRUSTEES
                              AND SEPARATE TRUSTEES

                                       58
<PAGE>
     Section 7.1.   Resignation or Removal of the Indenture Trustee; Appointment
of Successor.

     (a)  Resignation or Removal. Either of the Indenture Trustee or the
Account Bank or any successor thereto may resign at any time with or without
cause by giving at least thirty (30) days' prior written notice to the Owner
Lessor, the Owner Participant, the Facility Lessee and each Noteholder, such
resignation to be effective on the acceptance of appointment by the successor
Indenture Trustee or Account Bank pursuant to the provisions of subsection (b)
below. In addition, a Majority in Interest of Noteholders may at any time
remove the Indenture Trustee or the Account Bank with or without cause by an
instrument in writing delivered to the Owner Lessor, the Owner Participant, the
Indenture Trustee and the Account Bank, and the Owner Lessor shall give prompt
written notification thereof to each Noteholder and the Facility Lessee. Such
removal will be effective on the acceptance of appointment by the successor
Indenture Trustee or Account Bank pursuant to the provisions of subsection (b)
below. In the case of the resignation or removal of the Indenture Trustee or
Account Bank, a Majority in Interest of Noteholders may appoint a successor
Indenture Trustee or Account Bank by an instrument signed by such holders. If a
successor Indenture Trustee or Account Bank shall not have been appointed
within thirty (30) days after such resignation or removal, the Indenture
Trustee, Account Bank or any Noteholder may apply to any court of competent
jurisdiction to appoint a successor Indenture Trustee or Account Bank to act
until such time, if any, as a successor shall have been appointed by a Majority
in Interest of Noteholders as above provided. The successor Indenture Trustee
or Account Bank so appointed by such court shall immediately and without
further act be superseded by any successor Indenture Trustee or Account Bank
appointed by a Majority in Interest of Noteholders as above provided.

     (b)  Acceptance of Appointment. Any successor Indenture Trustee or Account
Bank shall execute and deliver to the predecessor Indenture Trustee or Account
Bank, the Owner Participant, the Owner Lessor and all Noteholders an instrument
accepting such appointment and thereupon such successor Indenture Trustee or
Account Bank, without further act, shall become vested with all the estates,
properties, rights, powers and duties of the predecessor Indenture Trustee or
Account Bank hereunder in the trusts hereunder applicable to it with like
effect as if originally named the Indenture Trustee or Account Bank herein; but
nevertheless, upon the written request of such successor Indenture Trustee or
Account Bank or a Majority in Interest of Noteholders, such predecessor
Indenture Trustee or Account Bank shall execute and deliver an instrument
transferring to such successor Indenture Trustee or Account Bank, upon the
trusts herein expressed applicable to it, all the estates, properties, rights
and powers of such predecessor Indenture Trustee or Account Bank, and such
predecessor Indenture

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<PAGE>
Trustee or Account Bank shall duly assign, transfer deliver and pay over to
such successor Indenture Trustee all moneys or other property then held by such
predecessor Indenture Trustee or Account Bank hereunder. To the extent required
by Applicable Law or upon request of the successor Indenture Trustee or Account
Bank, the Owner Lessor shall execute any and all documents confirming the
vesting of such estates, properties, rights and powers in the successor
Indenture Trustee or Account Bank.

     (c)  Qualifications. Any successor Indenture Trustee or Account Bank,
however appointed, shall be a trust company or bank with trust powers (i) which
(A) has a combined capital and surplus of at least $150,000,000, or (B) is a
direct or indirect subsidiary of a corporation which has a combined capital and
surplus of at least $150,000,000 provided such corporation guarantees the
performance of the obligations of such trust company or bank as Indenture
Trustee or Account Bank, or (C) is a member of a bank holding company group
having a combined capital and surplus of at least $150,000,000 provided the
parent of such bank holding company group or a member which itself has a
combined capital and surplus of at least $150,000,000 guarantees the
performance of the obligations of such trust company or bank, and (ii) is
willing, able and legally qualified to perform the duties of Indenture Trustee
or Account Bank hereunder upon reasonable or customary terms. No successor
Indenture Trustee or Account Bank, however appointed, shall become such if such
appointment would result in the violation of any Applicable Law or create a
conflict or relationship involving a conflict of interest under the Trust
Indenture Act of 1939, as amended.

     (d)  Appointment of Account Bank. The Indenture Trustee and each Noteholder
hereby irrevocably designate and appoint State Street Trust Bank and Trust
Company of Connecticut, National Association as the Account Bank under this
Indenture (the "Account Bank"). The Account Bank hereby agrees to act as
"securities intermediary" (within the meaning of Section 8-102(a)(14) of the
UCC) with respect to the Indenture Trustee's Account. The Owner Lessor hereby
acknowledges that the Account Bank shall act as securities intermediary with
respect to the Indenture Trustee's Account pursuant to this Indenture. The
Account Bank shall not have duties or responsibilities except those expressly
set forth in Sections 3.11 and 3.12 of this Indenture. The Indenture Trustee,
at the written direction of a Majority in Interest of Noteholders, may remove
and replace the Account Bank pursuant to the terms of Section 7.1(a) and direct
such Account Bank according to the terms of this Indenture.

     (e)  Merger, etc. Any Person into which the Indenture Trustee may be merged
or converted or with which it may be consolidated, or any Person resulting from
any merger, conversion or consolidation to which the Indenture Trustee shall be
a party, or any Person to which substantially all the corporate trust business
of the Indenture Trustee

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<PAGE>
may be transferred, shall, subject to the terms of subsection (c) of this
Section 7.1, be the Indenture Trustee under this Indenture without further act.

     Section 7.2.   Appointment of Additional and Separate Trustees.

     (a)  Appointment. Whenever (i) the Indenture Trustee shall deem it
necessary or prudent in order to conform to any law of any applicable
jurisdiction or to make any claim or bring any suit with respect to or in
connection with the Indenture Estate, this Indenture, the Facility Lease, the
Lessor Notes or any of the transactions contemplated by the Operative
Documents, (ii) the Indenture Trustee shall be advised by counsel, satisfactory
to it, that it is so necessary or prudent in the interest of the Noteholders or
(iii) a Majority in Interest of Noteholders deems it so necessary or prudent
and shall have requested in writing the Indenture Trustee to do so, then in any
such case the Indenture Trustee shall execute and deliver from time to time all
instruments and agreements necessary or proper to constitute another bank or
trust company or one or more Persons approved by the Indenture Trustee either
to act as additional trustee or trustees of all or any part of the Indenture
Estate, jointly with the Indenture Trustee, or to act as separate trustee or
trustees of all or any part of the Indenture Estate, in any such case with such
powers as may be provided in such instruments or agreements, and to vest in
such bank, trust company or Person as such additional trustee or separate
trustee, as the case may be, any property, title, right or power of the
Indenture Trustee deemed necessary or advisable by the Indenture Trustee,
subject to the remaining provisions of this Section 7.2. The Owner Lessor
hereby consents to all actions taken by the Indenture Trustee under the
provisions of this Section 7.2 and agrees, upon the Indenture Trustee's
request, to join in and execute, acknowledge and deliver any or all such
instruments or agreements; and the Owner Lessor hereby makes, constitutes and
appoints the Indenture Trustee its agent and attorney-in-fact for it and in its
name, place and stead to execute, acknowledge and deliver any such instrument
or agreement in the event that the Owner Lessor shall not itself execute and
deliver the same within fifteen (15) days after receipt by it of such request
so to do; provided, however, that the Indenture Trustee shall exercise due care
in selecting any additional or separate trustee if such additional or separate
trustee shall not be a Person possessing trust powers under Applicable Law. If
at any time the Indenture Trustee shall deem it no longer necessary or prudent
in order to conform to any such law or take any such action or shall be advised
by such counsel that it is no longer so necessary or prudent in the interest of
the Noteholders or in the event that the Indenture Trustee shall have been
requested to do so in writing by a Majority in Interest of Noteholders, the
Indenture Trustee shall execute and deliver all instruments and agreements
necessary or proper to remove any additional trustee or separate trustee. In
such connection, the Indenture Trustee may act on behalf of the Owner Lessor to
the same extent as is provided above. Notwithstanding anything contained to the
contrary

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<PAGE>
in this Section 7.2(a), to the extent the laws of any jurisdiction preclude the
Indenture Trustee from taking any action hereunder either alone, jointly or
through a separate trustee under the direction and control of the Indenture
Trustee, the Owner Lessor, at the instruction of the Indenture Trustee, shall
appoint a separate trustee for such jurisdiction, which separate trustee shall
have full power and authority to take all action hereunder as to matters
relating to such jurisdiction without the consent of the Indenture Trustee, but
not subject to the same limitations in any exercise of his power and authority
as those to which the Indenture Trustee is subject.

     (b)  The Indenture Trustee as Agent. Any additional trustee or separate
trustee at any time by an instrument in writing may constitute the Indenture
Trustee its agent or attorney-in-fact, with full power and authority, to the
extent not prohibited by Applicable Law, to do all acts and things and exercise
all discretions which it is authorized or permitted to do or exercise, for and
in its behalf and in its name. In case any such additional trustee or separate
trustee shall become incapable of acting or cease to be such additional trustee
or separate trustee, the property, rights, powers, trusts, duties and
obligations of such additional trustee or separate trustee, as the case may be,
so far as permitted by Applicable Law, shall vest in and be exercised by the
Indenture Trustee, without the appointment of a new successor to such
additional trustee or separate trustee, unless and until a successor is
appointed in the manner hereinbefore provided.

     (c)  Requests, etc. Any request, approval or consent in writing by the
Indenture Trustee to any additional trustee or separate trustee shall be
sufficient to warrant such additional trustee or separate trustee, as the case
may be, to take the requested, approved or consented to action.

     (d)  Subject to Indenture, etc. Each additional trustee and separate
trustee appointed pursuant to this Section 7.2 shall be subject to, and shall
have the benefit of Sections 3 through 9 hereof insofar as they apply to the
Indenture Trustee. Notwithstanding any other provision of this Section 7.2, (i)
the powers, duties, obligations and rights of any additional trustee or
separate trustee appointed pursuant to this Section 7.2 shall not in any case
exceed those of the Indenture Trustee hereunder, (ii) all powers, duties,
obligations and rights conferred upon the Indenture Trustee in respect of the
receipt, custody, investment and payment of moneys or the investment of moneys
shall be exercised solely by the Indenture Trustee and (iii) no power hereby
given to, or exercisable as provided herein by, any such additional trustee or
separate trustee shall be exercised hereunder by such additional trustee or
separate trustee except jointly with, or with the consent of, the Indenture
Trustee.

                                   SECTION 8.

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                  SUPPLEMENTS AND AMENDMENTS TO THIS INDENTURE
                              AND OTHER DOCUMENTS

     Section 8.1.   Supplemental Indenture and Other Amendment With Consent;
Conditions and Limitations. At any time and from time to time, subject to
Sections 8.2 and 8.3 hereof, but only upon the written direction of a Majority
in Interest of Noteholders and the written consent of the Owner Lessor, (a) the
Indenture Trustee shall execute an amendment or supplement hereto for the
purpose of adding provisions to, or changing or eliminating provisions of, this
Indenture as specified in such request, and (b) the Indenture Trustee, as the
case may be, shall enter into or consent to such written amendment of or
supplement to any Assigned Document as each other party thereto may agree to
and as may be specified in such request, or execute and deliver such written
waiver or modification of or consent to the terms of any such agreement or
document as may be specified in such request; provided, however, that without
the consent of the Noteholders representing one hundred percent (100%) of the
outstanding principal amount of the Lessor Notes, such percentage to be
determined in the same manner as provided in the definition of the term
"Majority in Interest of Noteholders," no such supplement to or amendment of
this Indenture or any Assigned Document, or waiver or modification of or
consent to the terms hereof or thereof, shall (i) modify the definition of the
terms "Majority in Interest of Noteholders" or reduce the percentage of
Noteholders required to take or approve any action hereunder, (ii) change the
amount or the time of payment of any amount owing or payable under any Lessor
Note or change the rate or manner of calculation of interest payable on any
Lessor Note, (iii) alter or modify the provisions of Section 3 hereof with
respect to the manner of payment or the order of priorities in which
distributions thereunder shall be made as between the Noteholders and the Owner
Lessor, (iv) reduce the amount (except to any amount as shall be sufficient to
pay the aggregate principal of, Make-Whole Amount, if any, and interest on all
outstanding Lessor Notes) or extend the time of payment of Periodic Rent or
Termination Value except as expressly provided in Section 3.5 of the Facility
Lease, or change any of the circumstances under which Periodic Rent or
Termination Value is payable, (v) consent to any assignment of the Facility
Lease if in connection therewith the Facility Lessee will be released from its
obligation to pay Periodic Rent and Termination Value, except as expressly
provided in Section 13 of the Participation Agreement, or release the Facility
Lessee of its obligation to pay Periodic Rent or Termination Value or change
the absolute and unconditional character of such obligations as set forth in
Section 9 of the Facility Lease; (vi) consent to any release of the Guarantor
under Section 8.4 of the Calpine Guaranty or (vii) deprive the Indenture
Trustee of the Lien on the Indenture Estate or permit the creation of any Lien
on the Indenture Estate ranking equally or prior to the Lien of the Indenture
Trustee, except for Permitted Liens.

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<PAGE>
     Section 8.2.   Supplemental Indentures and other Amendments Without
Consent. Without the consent of any Noteholders but subject to the provisions of
Section 8.3, and only after notice thereof shall have been sent to the
Noteholders and with the consent of the Owner Lessor, the Indenture Trustee
shall enter into any indenture or indentures supplemental hereto or execute any
amendment, modification, supplement, waiver or consent with respect to any other
Operative Document (a) to evidence the succession of another Person as a Lessor
Manager or the appointment of a co-manager in accordance with the terms of the
LLC Agreement, or to evidence the succession of a successor as the Indenture
Trustee hereunder, the removal of the Indenture Trustee or the appointment of
any separate or additional trustee or trustees, in each case if done pursuant to
the provisions of Section 7 hereof and to define the rights, powers, duties and
obligations conferred upon any such separate trustee or trustees or co-trustee
or co-trustees, (b) to correct, confirm or amplify the description of any
property at any time subject to the Lien of this Indenture or to convey,
transfer, assign, mortgage or pledge any property to or with the Indenture
Trustee, (c) to provide for any evidence of the creation and issuance of any
Additional Lessor Notes pursuant to, and subject to the conditions of, Section
2.12 and to establish the form and the terms of such Additional Lessor Notes,
(d) to cure any ambiguity in, to correct or supplement any defective or
inconsistent provision of, or to add to or modify any other provisions and
agreements in, this Indenture or any other Operative Document in any manner that
will not in the judgment of the Indenture Trustee materially adversely affect
the interests of the Noteholders, (e) to grant or confer upon the Indenture
Trustee for the benefit of the Noteholders any additional rights, remedies,
powers, authority or security which may be lawfully granted or conferred and
which are not contrary or inconsistent with this Indenture, (f) to add to the
covenants or agreements to be observed by the Facility Lessee or the Owner
Lessor and which are not contrary to this Indenture, to add Indenture Events of
Defaults for the benefit of Noteholders or surrender any right or power of the
Owner Lessor, provided it has consented thereto, (g) to effect the assumption of
all or, to the extent otherwise provided hereunder, part of the Lessor Notes by
the Facility Lessee, provided that the supplemental indenture will contain all
of the covenants applicable to the Facility Lessee contained in the Facility
Lease and the Participation Agreement for the benefit of the Indenture Trustees
or the holders of such Lessor Notes, such that the Facility Lessee's obligations
contained therein, if applicable in the event that the Facility Lease are
terminated, will continue to be in full force and effect, (h) to comply with
requirements of the SEC, any applicable law, rules or regulations of any
exchange or quotation system on which the Certificates are listed, or any
regulatory body, (i) to modify, eliminate or add to the provisions of any
Operative Documents to such extent as shall be necessary to qualify or continue
the qualification of this Lease Indenture or the Pass Through Trust Agreements
(including any supplements thereto) under the Trust Indenture Act, or similar
federal statute enacted

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<PAGE>
after the Closing Date, and to add to this Indenture such other provisions as
may be expressly required or permitted by the Trust Indenture Act of 1939 (if
such qualification is required), and (j) to effect any indenture or indentures
supplemental hereto or any amendment, modification, supplement, waiver or
consent with respect to any other Operative Document, provided such
supplemental indenture, amendment, modification, supplement, waiver or consent
shall not reasonably be expected to materially and adversely affect the
interest of the Noteholders; provided, however, that no such amendment,
modification, supplement, waiver or consent contemplated by this Section 8.2
shall, without the consent of the holder of each then outstanding Lessor Note,
cause any of the events specified in clauses (i) through (v) of the first
sentence of Section 8.1 hereof to occur; and provided, further, that no such
amendment, modification, supplement, waiver or consent contemplated by this
Section 8.2 shall, without the consent of the holder of a Majority in Interest
of Noteholders, modify the provisions of Sections 5.1, 5.2, 5.6, 5.14, 5.31, 6,
or 13.1 of the Participation Agreement or Section 19 of the Lease, or modify in
any material respect the provisions of the Calpine Guaranty (other than, in
each case, any amendment, modification, supplement, waiver or consent having no
adverse affect on the interest of the Noteholders).

     Section 8.3.   Conditions to Action by the Indenture Trustee. If in the
opinion of the Indenture Trustee any document required to be executed pursuant
to the terms of Section 8.1 or 8.2 or the election referred to in Section 9.13
hereof adversely affects any immunity or indemnity in favor of the Indenture
Trustee under this Indenture or the Participation Agreement, or would
materially increase its administrative duties or responsibilities hereunder or
thereunder or may result in personal liability for it (unless it shall have
been provided an indemnity satisfactory to the Indenture Trustee), the
Indenture Trustee may in its discretion decline to execute such document or the
election. With every such document and election, the Indenture Trustee shall be
furnished with evidence that all necessary consents have been obtained and with
an opinion of counsel that such document complies with the provisions of this
Indenture, does not deprive the Indenture Trustee or the holders of the Lessor
Notes of the benefits of the Lien hereby created on any property subject hereto
or of the assignments contained herein (except as otherwise consented to in
accordance with Section 8.1 hereof) and that all consents required by the terms
hereof in connection with the execution of such document or the making of such
election have been obtained. The Indenture Trustee shall be fully authorized
and protected in relying on such opinion.

                                   SECTION 9.
                                  MISCELLANEOUS

     Section 9.1.   Surrender, Defeasance and Release.

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<PAGE>
     (a)  Surrender and Cancellation of Indenture. This Indenture shall be
surrendered and cancelled and the trusts created hereby shall terminate and
this Indenture shall be of no further force or effect upon satisfaction of the
conditions set forth in the proviso to the Granting Clause hereof. Upon any
such surrender, cancellation, and termination, the Indenture Trustee shall pay
all moneys or other properties or proceeds constituting part of the Indenture
Estate (the distribution of which is not otherwise provided for herein) to the
Owner Lessor, and the Indenture Trustee shall, upon request and at the cost and
expense of the Owner Lessor, execute and deliver proper instruments
acknowledging such cancellation and termination and evidencing the release of
the security, rights and interests created hereby. If this Indenture is
terminated pursuant to this Section 9.1(a), the Indenture Trustee shall
promptly notify the Facility Lessee and the Owner Participant of such
termination.

     (b)  Release.

          (i)   Whenever a Component is replaced pursuant to the Facility Lease,
     such component shall automatically and without further act of any Person
     be released from the Lien of this Lease Indenture and the Indenture
     Trustee shall, upon the written request of the Owner Lessor or the
     Facility Lessee, execute and deliver to, and as directed in writing by,
     the Facility Lessee or the Owner Lessor an appropriate instrument (in due
     form for recording) releasing the replaced Component from the Lien of this
     Indenture.

          (ii)   Whenever the Facility Lessee is entitled to acquire the
     Facility or have the Facility transferred to it pursuant to the express
     terms of the Facility Lease, the Indenture Trustee shall release the
     Indenture Estate from the Lien of this Indenture and execute and deliver
     to, or as directed in writing by, the Facility Lessee or the Owner Lessor
     an appropriate instrument (in due form for recording) releasing the
     Indenture Estate from the Lien of this Indenture; provided that all sums
     secured by this Indenture have been paid to the Persons entitled to such
     sums.

     Section 9.2.   Conveyances Pursuant to the Site Lease. Sales, grants of
leases or easements and conveyances of portions of the Facility Site, rights of
way, easements or leasehold interest made by the Facility Lessee in accordance
with Article VIII of the Facility Site Lease shall automatically, without
further act of any Person, be released from this Lease Indenture.

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<PAGE>
     Section 9.3.   Appointment of the Indenture Trustee as Attorney; Further
Assurances. The Owner Lessor hereby constitutes the Indenture Trustee the true
and lawful attorney of the Owner Lessor irrevocably with full power as long as
the Lease Indenture is in effect (in the name of the Owner Lessor or otherwise)
to ask, require, demand, receive, compound and give acquittance for any and all
moneys and claims for moneys due and to become due under or arising out of the
Assigned Documents (except to the extent that such moneys and claims constitute
Excepted Payments), to endorse any checks or other instruments or orders in
connection therewith, to make all such demands and to give all such notices as
are permitted by the terms of the Facility Lease to be made or given by the
Owner Lessor upon the occurrence and continuance of a Lease Event of Default,
to enforce compliance by the Facility Lessee with all terms and provisions of
the Facility Lease (except as otherwise provided in Sections 4.3 and 5.6
hereof), and to file any claims or take any action or institute any proceedings
which the Indenture Trustee may request in the premises.

     Section 9.4.   Indenture for Benefit of Certain Persons Only. Nothing in
this Indenture, whether express or implied, shall be construed to give to any
Person other than the parties hereto, the Owner Participant, the Facility Lessee
(with respect to Sections 4.12 and 8.1 hereof) and the Noteholders (and any
successor or assign of any thereof) any legal or equitable right, remedy or
claim under or in respect of this Indenture, and this Indenture shall be for the
sole and exclusive benefit of the parties hereto, the Owner Participant, the
Facility Lessee (as provided in Sections 4.12 and 8.1 hereof) and the
Noteholders.

     Section 9.5.   Notices; Furnishing Documents, etc. Unless otherwise
expressly specified or permitted by the terms hereof, all communications and
notices provided for herein to a party hereto shall be in writing or by a
telecommunications device capable of creating a written record, and any such
notice shall become effective (a) upon personal delivery thereof, including by
overnight mail or courier service, (b) in the case of notice by United States
mail, certified or registered, postage prepaid, return receipt requested, upon
receipt thereof, or (c) in the case of notice by such a telecommunications
device, upon transmission thereof, provided such transmission is promptly
confirmed by either of the methods set forth in clauses (a) and (b) above, in
each case addressed to such party and copy party at its address set forth below
or at such other address as such party or copy party may from time to time
designate by written notice to the other party:

     If to the Owner Lessor:

          Wells Fargo Bank Northwest, National Association
          MAC U1254-031

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<PAGE>
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

     with a copy to the Owner Participant:

          Wells Fargo Bank Northwest, National Association
          MAC U1254-031
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

          and

          Newcourt Capital USA Inc.
          1211 Avenue of the Americas - 22nd Floor
          New York, NY 10036
          Telephone: (212) 382-7255
          Facsimile: (212) 382-9033
          Attention:  Karen Scrowcroft, Esq.

     If to the Indenture Trustee:

          State Street Bank and Trust Company of Connecticut,
          National Association
          225 Asylum Street, Goodwin Square
          Hartford, CT 06103
          Telephone: (860) 244-1822
          Facsimile:  (860) 244-1889
          Attention:  Corporate Trust Department

          with a copy to:

          State Street Bank and Trust Company of California, National
          Association
          633 West 5th Street, 12th Floor
          Los Angeles, CA 90071

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<PAGE>
          Telephone: (213) 362-7373
          Facsimile:  (213) 362-7357
          Attention:  Corporate Trust Department

     If to the Facility Lessee:

          Broad River Energy LLC
          c/o Calpine Center Northbrook Office
          Attention:  Senior Counsel
          650 Dundee Road, Suite 350
          Northbrook, IL 60062
          Telephone: (847) 559-9800
          Facsimile: (847) 559-1805

          with a copy to:

          Calpine Corporation
          Attention:  General Counsel
          50 West San Fernando Street, 5th Floor
          San Jose, CA 95113

     Section 9.6.   Severability. Any provision of this Indenture which is
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating or rendering unenforceable the remaining provisions hereof, and
any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction.

     Section 9.7.   Limitation of Liability. It is expressly understood and
agreed by the parties hereto that (a) this Indenture is executed and delivered
by Wells Fargo Bank Northwest, National Association ("Wells Fargo"), not
individually or personally but solely as trustee of the Owner Lessor under the
LLC Agreement, in the exercise of the powers and authority conferred and vested
in it pursuant thereto, (b) each of the representations, undertakings and
agreements herein made on the part of the Owner Lessor is made and intended not
as personal representations, undertakings and agreements by Wells Fargo, but is
made and intended for the purpose for binding only the Owner Lessor, (c)
nothing herein contained shall be construed as creating any liability on Wells
Fargo, individually or personally, to perform any covenant either expressed or
implied contained herein, all such liability, if any, being expressly waived by
the parties hereto or by any Person claiming by, through or under the parties
hereto and (d) under

                                       69
<PAGE>
no circumstances shall Wells Fargo, be personally liable for the payment of any
indebtedness or expenses of the Owner Lessor or be liable for the breach or
failure of any obligation, representation, warranty or covenant made or
undertaken by the Owner Lessor under this Indenture.

     Section 9.8.   Written Changes Only. Subject to Sections 8.1 and 8.2
hereof, no term or provision of this Indenture or any Lessor Note may be
changed, waived, discharged or terminated orally, but only by an instrument in
writing signed by the parties hereto; and any waiver of the terms hereof or of
any Lessor Note shall be effective only in the specific instance and for the
specific purpose given.

     Section 9.9.   Counterparts. This Indenture may be executed in separate
counterparts, each of which, when so executed and delivered shall be an
original, but all such counterparts shall together constitute one and the same
instrument.

     Section 9.10.   Successors and Permitted Assigns. All covenants and
agreements contained herein shall be binding upon, and inure to the benefit of,
the parties hereto and their respective successors and permitted assigns and
each Noteholder. Any request, notice, direction, consent, waiver or other
instrument or action by any Noteholder shall bind the successor and assigns
thereof.

     Section 9.11.   Headings and Table of Contents. The headings of the
sections of this Indenture and the Table of Contents are inserted for purposes
of convenience only and shall not be construed to affect the meaning or
construction of any of the provisions hereof.

     Section 9.12.   Governing Law. This Indenture and the Lessor Notes shall be
in all respects governed by and construed in accordance with the laws of the
State of New York, including all matters of construction, validity and
performance (without giving effect to the conflicts of laws provisions thereof,
other than New York General Obligation Law Section 5-1401), except to the
extent mandatory choice of law rules require the application of laws of another
jurisdiction and except with respect to matters related to the enforcement of
any Lien related to the real property covered hereby or the foreclosure on any
real property covered hereby which shall be governed by the laws of the State
of South Carolina. Regardless of any provision in any other agreement, for
purposes of the Uniform Commercial Code (as in effect from time to time in any
jurisdiction including the State of New York), the "Securities Intermediary's
Jurisdiction" of the Account Bank with respect to the Indenture Trustee's
Account is the State of New York.

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<PAGE>
     Section 9.13.   Reorganization Proceedings with Respect to the Lessor
Estate. If (a) the Lessor Estate becomes a debtor subject to the reorganization
provisions of Title 11 of the United States Code, or any successor provisions,
(b) pursuant to such reorganization provisions the Owner Participant is
required by reason of the Owner Participant's being held to have recourse
liability that it would not otherwise have had under Section 2.5 hereof to the
debtor or the trustee of the debtor, directly or indirectly, to make payment on
account of any amount payable as principal or interest on the Lessor Notes and
(c) any Noteholder or the Indenture Trustee actually receives any Excess Amount
(as hereinafter defined) which reflects any payment by the Owner Participant on
account of clause (b) above, then such Noteholder or the Indenture Trustee, as
the case may be, shall promptly refund such Excess Amount, without interest, to
the Owner Participant after receipt by such Noteholder or the Indenture
Trustee, as the case may be, of a written request for such refund by the Owner
Participant (which request shall specify the amount of such Excess Amount and
shall set forth in detail the calculation thereof). For purposes of this
Section 9.13, "Excess Amount" means the amount by which such payment exceeds
the amount which would have been received by such holder and the Indenture
Trustee in respect of such principal or interest if the Owner Participant had
not become subject to the recourse liability referred to in clause (b) above.
Nothing contained in this Section 9.13 shall prevent the Indenture Trustee or
any Noteholder from enforcing any personal recourse obligations (and retaining
the proceeds thereof) of the Owner Participant under the Participation
Agreement.

     The Noteholders and the Indenture Trustee agree that should the Lessor
Estate become a debtor subject to the reorganization provisions of the
Bankruptcy Code, they shall upon the request of the Owner Participant, and
provided that the making of the election hereinafter referred to is permitted
to be made by them under Applicable Law and will not have any adverse impact on
any Noteholder, the Indenture Trustee or the Indenture Estate other than as
contemplated by the preceding paragraph, make the election referred to in
Section 1111(b)(1)(A)(i) of Title 11 of the Bankruptcy Code or any successor
provision if, in the absence of such election, the Noteholders would have
recourse against the Owner Participant for the payment of the indebtedness
represented by the Lessor Notes in circumstance in which such Noteholders would
not have recourse under this Indenture if the Lessor Estate had not become a
debtor under the Bankruptcy Code.

     Section 9.14.   Withholding Taxes: Information Reporting. The Indenture
Trustee shall exclude and withhold from each distribution of principal,
Make-Whole Amount, if any, and interest and other amounts due hereunder or
under the Lessor Notes any and all withholding taxes applicable thereto as
required by law. The Indenture Trustee agrees (i) to act as such withholding
agent and, in connection therewith, whenever any present

                                       71
<PAGE>
or future taxes or similar charges are required to be withheld with respect to
any amounts payable in respect of the Lessor Notes, to withhold such amounts
and timely pay the same to the appropriate authority in the name of and on
behalf of the Noteholders and to pay to the Noteholders from amounts received
by Paying Agent pursuant hereto such additional amounts so that the net amount
actually received by the Noteholders, after reduction for such withheld
amounts, shall be equal to the full amount of principal, Make-Whole Amount,
interest and other amounts otherwise due and payable hereunder; provided,
however, that, notwithstanding the foregoing, the Paying Agent shall be
required to pay such additional amounts only if and to the extent that (a) the
Facility Lessee is required to indemnify the Noteholders for such amounts under
Section 9 of the Participation Agreement and (b) the Facility Lessee has not
paid such amounts within three (3) days after notice of nonpayment, (ii) that
it will file any necessary withholding tax returns or statements when due, and
(iii) that, as promptly as possible after the payment thereof, it will deliver
to each Noteholder appropriate documentation showing the payment thereof,
together with such additional documentary evidence as such Noteholders may
reasonably request from time to time. The Indenture Trustee agrees to file any
other information as it may be required to file under United States law.

     Any Noteholder which is organized under the laws of a jurisdiction outside
the United States shall, on or prior to the date such Noteholder becomes a
Noteholder, (a) so notify the Indenture Trustee, (b) (i) provide the Indenture
Trustee with Internal Revenue Service form W-8 BEN, W-8 ECI or W-9, as
appropriate, or (ii) notify the Indenture Trustee that it is not entitled to an
exemption from United States withholding tax or a reduction in the rate thereof
on payments of interest. Any such Noteholder agrees by its acceptance of a
Lessor Note, on an ongoing basis, to provide like certification for each
taxable year and to notify the Indenture Trustee should subsequent
circumstances arise affecting the information provided the Indenture Trustee in
clauses (a) and (b) above. The Indenture Trustee shall be fully protected in
relying upon, and each Noteholder by its acceptance of a Lessor Note hereunder
agrees to indemnify and hold the Indenture Trustee harmless against all claims
or liability of any kind arising in connection with or related to the Indenture
Trustee's reliance upon any such documents, forms or information provided by
such Noteholder to the Indenture Trustee. In addition, if the Indenture Trustee
has not withheld taxes on any payment made to any Noteholder, and the Indenture
Trustee is subsequently required to remit to any taxing authority any such
amount not withheld, such Noteholder shall return such amount to the Indenture
Trustee upon written demand by the Indenture Trustee. The Indenture Trustee
shall be liable only for direct (but not consequential) damages to any
Noteholder due to the Indenture Trustee's violation of the Code and only to the
extent such liability is

                                       72
<PAGE>
caused by the Indenture Trustee's violation of the Code and only to the extent
such liability is caused by the Indenture Trustee's failure to act in
accordance with its standard of care under this Lease Indenture.

     Section 9.15.   Fixture Financing Statement.  This Indenture also is
intended to serve as a fixture financing statement under the South Carolina
Uniform Commercial Codes. In connection therewith, the following information is
provided:

     (a)  Name and address of Debtor:

          Broad River OL-3, LLC
          c/o Wells Fargo Bank Northwest, National Association
          MAC U1254-031
          79 South Main Street
          Salt Lake City, UT 84111
          Telephone: (801) 246-5630
          Facsimile: (801) 246-5053
          Attention:  Corporate Trust Services

     (b)  Name and Address of Secured Party (from which  information  concerning
the security interest may be obtained):

          State Street  Bank and Trust Company of Connecticut,
          National Association,
          as Indenture Trustee
          225 Asylum Street, Goodwin Square
          Hartford, CT 06103
          Telephone: (860) 244-1822
          Facsimile:  (860) 244-1889
          Attention:  Corporate Trust Department

     (c)  The personal property covered by the security interest granted
hereunder includes goods which are or are to become fixtures upon the real
property described in Exhibit A hereto.

     (d)  Recording: This Indenture is to be recorded in the real estate records
of the Office of the Cherokee County Clerk of Court.

     (e)  Type of Filing: This is a commercial filing under Section 36-9-402 of
the Code of Laws of South Carolina, 1976 (as amended).

                  (Remainder of Page Intentionally Left Blank)

                                       73
<PAGE>
     Section 9.16.   Waiver of Appraisal Rights. The laws of South Carolina
provide that in any real estate foreclosure proceeding a defendant against whom
a personal judgment is taken or asked may within thirty days after the sale of
the mortgaged property apply to the court for an order or appraisal. The
statutory appraisal value as approved by the court would be substituted for the
high bid and may decrease the amount of any deficiency owing in connection with
the transaction. THE UNDERSIGNED HEREBY WAIVES AND RELINQUISHES THE STATUTORY
APPRAISAL RIGHTS WHICH MEANS THE HIGH BID AT THE JUDICIAL FORECLOSURE SALE WILL
BE APPLIED TO THE DEBT REGARDLESS OF ANY APPRAISED VALUE OF THE MORTGAGED
PROPERTY.

     IN WITNESS WHEREOF, the parties have caused this Indenture to be duly
executed on the day and year first above written.

                                        BROAD RIVER OL-3, LLC

                                        By:   Wells  Fargo Bank  Northwest,
                                              National Association, not in its
                                              individual capacity but solely as
                                              the Lessor Manager

_____________________________           By:____________________________________
Witness                                 Name:
                                        Title:

_____________________________
Witness

                                        STATE STREET BANK AND TRUST COMPANY OF
                                        CONNECTICUT, NATIONAL ASSOCIATION,
                                        as Indenture Trustee and Account Bank

_____________________________           By:____________________________________
Witness                                 Name:
                                        Title:

_____________________________
Witness
<PAGE>
STATE OF                            )
                                    )        ACKNOWLEDGMENT
COUNTY OF                           )

     I,_________________________________, Notary Public for the Sate of
________________, do hereby certify that the above-named,______________________
___________________________ personally appeared before me this day and
acknowledged the due execution of the foregoing instrument.

     Witness my hand an official seal this the________ day of__________, 2001.

                                       Notary Public for:
                                       My Commission Expires:
<PAGE>
STATE OF                            )
                                    )        ACKNOWLEDGMENT
COUNTY OF                           )

     I,_________________________________, Notary Public for the Sate of
________________, do hereby certify that the above-named,______________________
___________________________ personally appeared before me this day and
acknowledged the due execution of the foregoing instrument.

     Witness my hand an official seal this the________ day of__________, 2001.

                                       Notary Public for:
                                       My Commission Expires:
<PAGE>
                                                                       EXHIBIT A
                                                              TO LEASE INDENTURE

                          DESCRIPTION OF FACILITY SITE

All that certain piece, parcel, or lot of land situate, lying and being in
Cherokee County, South Carolina, and being shown and designated as 60.35 acres
on a survey dated July 21, 2001, revised September 18, 2001 prepared by
Professional Surveying Services for Broad River Energy, LLC and, according to
said survey, having the following metes and bounds:

Commencing at an existing PK nail in the center of the intersection of Old Ford
Road (SC Highway S-11-50) and Victory Trail (US Highway 329), thence proceeding
North 23-25-35 West 869.86' to an existing iron pin being a common corner of the
subject property, the right of way of Victory Trail and property of George and
Sheri McAbee and being the point of beginning, thence South 48-08-18 West for a
distance of 175.29' to a new iron pin; thence North 71-14-56 West for a distance
of 154.21' to a new iron pin; thence North 71-14-56 West for a distance of
649.72' to a new iron pin; thence South 65-27-23 West for a distance of 427.49'
to a new iron located on the northeastern right of way of Old Ford Road (SC
Highway S-11-50), thence from said point of beginning North 60-16-19 West for a
distance of 92.28' to a point; thence North 56-10-13 West for a distance of
88.18' to a point; thence North 55-42-37 West for a distance of 82.30' to a
point; thence North 53-16-26 West for a distance of 71.52' to a point; thence
North 52-27-22 West for a distance of 82.98' to a point; thence North 52-41-28
West for a distance of 75.44' to a point; thence North 54-42-28 West for a
distance of 65.08' to a point; thence North 57-40-37 West for a distance of
58.84' to a point; thence North 60-36-21 West for a distance of 63.75' to a
point; thence North 64-06-03 West for a distance of 40.07' to a point; thence
North 64-06-03 West for a distance of 45.30' to a point; thence North 67-35-54
West for a distance of 73.25' to a point; thence North 71-21-36 West for a
distance of 31.41' to a point; thence North 71-21-36 West for a distance of
41.47' to a point; thence North 74-35-41 West for a distance of 62.79' to a
point; thence North 77-23-54 West for a distance of 45.86' to a point thence
North 79-42-10 West for a distance of 51.62' to a point; thence North 81-57-05
West for a distance of 51.46' to a point; thence North 82-49-05 West for a
distance of 59.21' to a new iron pin; thence North 35-23-20 East for a distance
of 1,164.01' to a new iron, thence North 35-23-20 East for a distance of 457.09'
to an existing iron pin; thence North 33-29-01 East for a distance of 473.49' to
a large 2" iron; thence North 20-04-41 West for distance of 263.22' to a large
2" iron; thence North 11-22-57 West for a distance of 131.31' to a large 2"
iron; thence North 10-02-03 East for a distance of 166.70' to a new iron located
on the southwestern
<PAGE>
right of way of Victory Trail (US Highway 329); thence continuing along the
southwestern right of way of Victory Trail (US Highway 329) the following
courses and distances: (1) South 20-59-24 East for a distance of 447.48' to a
point; (2) South 13-42-40 East for a distance of 203.64' to a point; (3) South
22-57-44 East for a distance of 151.22' to a point; (4) South 36-23-09 East for
a distance of 155.06' to a point; (5) South 22-58-12 East for a distance of
346.94' to a point; (6) South 16-30-28 East for a distance of 104.58' to a
point; (7) South 23-55-06 East for a distance of 300.17' to a point; (8) South
24-54-19 East for a distance of 200.00" to a point; (9) South 11-46-16 East for
a distance of 308-06' to a point; (10) South 30-36-57 East for a distance of
150.75' to a point; (11) South 48-23-58 East for a distance of 163.56' to a
point; (12) South 24-50-48 East for a distance of 200.00' to a point; (13)
South 30-36-57 East for a distance of 100.50' to a point; and (14) South
24-57-12 East for a distance of 195.32' to an existing iron pin, being the
point of beginning.

Being the same property conveyed to Cherokee County, South Carolina by deed of
Broad River Energy LLC, dated March 1, 2000 and recorded in the Office of the
Clerk of Court for Cherokee County on March 7, 2000 in Deed Book 71 at Page 195.

                                      A-1-2
<PAGE>
                                                                       EXHIBIT B
                                                              TO LEASE INDENTURE

                  FORM OF BROAD RIVER LESSOR NOTE SERIES [A][B]

                              BROAD RIVER OL-3, LLC
                NONRECOURSE PROMISSORY NOTE (BROAD RIVER) DUE IN
                      A SERIES OF INSTALLMENTS OF PRINCIPAL
                            WITH FINAL PAYMENT DATE
                            OF MAY 30, [2012] [2019]

                  THIS NOTE HAS NOT BEEN REGISTERED UNDER THE
               SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED,
                SOLD OR OFFERED FOR SALE IN VIOLATION OF SUCH ACT

                                                  Issued at: New York, New York

                                                   Issue Date: October __, 2001

$[_____]

     BROAD RIVER OL-3, LLC, a Delaware limited liability company (herein called
the "Owner Lessor", which term includes any successor person under the
Collateral Trust Indenture hereinafter referred to), hereby promises to pay to
State Street Bank and Trust Company of Connecticut, National Association, in
its capacity as pass through trustee of [the South Point, Broad River and
RockGen Series A Trust] [the South Point, Broad River and RockGen Series B
Trust], (the "Pass Through Trustee") or its registered assigns, the principal
sum of $[_____], which is due and payable in a series of installments of
principal with a final payment date of May 30, [2012][2019] together with
interest at the rate of [ ]% per annum on the principal remaining unpaid from
time to time from and including the Issue Date until paid in full. Interest on
the outstanding principal amount under this Note shall be due and payable in
arrears semiannually at the rate specified above, commencing on May 30, 2002,
and on each May 30 and November 30 thereafter until the principal of this Note
is paid in full or made available for payment. Interest shall be computed on
the basis of a 360-day year of twelve 30-day months.

     The principal of this Note shall be due and payable in installments on
each of the dates set forth on Schedule I hereto. The installment of principal
payable on any such date shall be in an aggregate amount equal to the product
of the Principal Portion set

                                      B-1-1
<PAGE>
forth on Schedule I multiplied by the percentage set forth on Schedule I under
the column headed "Percentage of Principal Amount Payable" for such date unless
the Principal Portion has been prepaid; provided, that the final installment of
principal shall be equal to the then unpaid principal balance of this Note.

     Capitalized terms used in this Note that are not otherwise defined herein
shall have the meanings ascribed thereto in the Indenture of Trust, Mortgage
and Security Agreement dated as of October 18, 2001 (the "Collateral Trust
Indenture"), between the Owner Lessor and State Street Bank and Trust Company
of Connecticut, National Association, as trustee (the "Indenture Trustee").

     Interest (computed on the basis of a 360-day year of twelve 30-day months)
on any overdue principal and premium, if any, and (to the extent permitted by
Applicable Law) any overdue interest shall be paid, on demand, from the due
date thereof at the Overdue Rate for the period during which any such
principal, premium or interest shall be overdue.

     In the event any date on which a payment is due under this Note is not a
Business Day, then payment thereof shall be made on the next succeeding
Business Day with the same force and effect as if made on the date on which
such payment was due.

     Except as otherwise specifically provided in the Collateral Trust
Indenture and in the Participation Agreement, all payments of principal,
premium, if any, and interest on this Note, and all payments of any other
amounts due hereunder or under the Collateral Trust Indenture shall be made
only from the Indenture Estate, and the Indenture Trustee shall have no
obligation for the payment thereof except to the extent that the Indenture
Trustee shall have sufficient income or proceeds from the Indenture Estate to
make such payments in accordance with the terms of Section 3 of the Collateral
Trust Indenture. The holder hereof, by its acceptance of this Note, agrees that
it will look solely to the income and proceeds from the Indenture Estate to the
extent available for distribution to the holder hereof, as herein provided, and
that, none of the Owner Participant, the Owner Lessor or the Indenture Trustee
is or shall be personally liable to the holder hereof for any amounts payable
under this Note or under the Collateral Trust Indenture, or, except as
expressly provided in the Collateral Trust Indenture or, in the case of the
Owner Participant and the Owner Lessor, the Participation Agreement for any
performance to be rendered under the Collateral Trust Indenture or any Assigned
Document or for any liability under the Collateral Trust Indenture or any
Assigned Document.

     The principal of and premium, if any, and interest on this Note shall be
paid by the Indenture Trustee, without any presentment or surrender of this
Note, except that, in

                                      B-1-2
<PAGE>
the case of the final payment in respect of this Note, this Note shall be
surrendered to the Indenture Trustee, by mailing a check for the amount then
due and payable, in New York Clearing House funds, to the Noteholder, at the
last address of the Noteholder appearing on the Note Register, or by whichever
of the following methods specified by notice from the Noteholder to the
Indenture Trustee: (a) by crediting the amount to be distributed to the
Noteholder to an account maintained by the Noteholder with the Indenture
Trustee, (b) by making such payment to the Noteholder in immediately available
funds at the Indenture Trustee Office, or (c) by transferring such amount in
immediately available funds for the account of the Noteholder to the banking
institution having bank wire transfer facilities as shall be specified by the
Noteholder, such transfer to be subject to telephonic confirmation of payment.
All payments due with respect to this Note shall be made (i) as soon as
practicable prior to the close of business on the date the amounts to be
distributed by the Indenture Trustee are actually received by the Indenture
Trustee if such amounts are received by 12:00 noon, New York City time, on a
Business Day or (ii) on the next succeeding Business Day if received after such
time or if received on any day other than a Business Day. Prior to due
presentment for registration of transfer of this Note, the Owner Lessor and the
Indenture Trustee may deem and treat the Person in whose name this Note is
registered on the Note Register as the absolute owner and holder of this Note
for the purpose of receiving payment of all amounts payable with respect to
this Note and for all other purposes, and neither the Owner Lessor nor the
Indenture Trustee shall be affected by any notice to the contrary. All payments
made on this Note in accordance with the provisions of this paragraph shall be
valid and effective to satisfy and discharge the liability on this Note to the
extent of the sums so paid and neither the Indenture Trustee nor the Owner
Lessor shall have any liability in respect of such payment.

     The holder hereof, by its acceptance of this Note, agrees that each
payment received by it hereunder shall be applied in the manner set forth in
Section 2.7 of the Collateral Trust Indenture, which provides that each payment
on the Note shall be applied as follows: first, to the payment of accrued
interest (including interest on overdue principal and the Make Whole Amount, if
any, and, to the extent permitted by Applicable Law, overdue interest) on this
Note to the date of such payment; second, to the payment of the principal
amount of, and the Make Whole Amount, if any, on this Note then due (including
any overdue installments of principal) thereunder; and third, to the extent
permitted by Section 2.10 of the Collateral Trust Indenture, the balance, if
any, remaining thereafter, to the payment of the principal amount of, and the
Make Whole Amount, if any, on this Note.

     This Note is the Note referred to in the Collateral Trust Indenture as
the "Lessor Note". The Collateral Trust Indenture permits the issuance of
additional notes ("Additional Lessor Notes"), as provided in Section 2.12 of
the Collateral Trust

                                      B-1-3
<PAGE>
Indenture, and the several Notes may be for varying principal amounts and may
have different maturity dates (not later than the final maturity date of the
applicable series of the Initial Lessor Notes), interest rates, redemption
provisions and other terms. The properties of the Owner Lessor included in the
Indenture Estate are pledged or mortgaged to the Indenture Trustee to the
extent provided in the Collateral Trust Indenture as security for the payment
of the principal of and premium, if any, and interest on this Note and all
other Notes issued and outstanding from time to time under the Collateral Trust
Indenture.

     Reference is hereby made to the Collateral Trust Indenture for a statement
of the rights of the holder of, and the nature and extent of the security for,
this Note and of the rights of, and the nature and extent of the security for,
the holders of the other Notes and of certain rights of the Owner Lessor and
the Owner Participant, as well as for a statement of the terms and conditions
of the trust created by the Collateral Trust Indenture, to all of which terms
and conditions the holder hereof agrees by its acceptance of this Note.

     This Note is subject to redemption, in whole but not in part as provided
in the Collateral Trust Indenture, as follows: (x) in the case of redemptions
under the circumstances set forth in Section 2.10(a) of the Collateral Trust
Indenture, at a price equal to the principal amount of this Note being redeemed
together with accrued interest on such principal amount to the Redemption Date,
and (y) in the case of redemptions under the circumstances set forth in
Sections 2.10(d) of the Collateral Trust Indenture, at a price equal to the
principal amount of this Note then outstanding together with accrued interest
on such principal amount to the Redemption Date, plus the Make-Whole Amount, if
any; provided, however, that no such redemption shall be made until notice
thereof is given by the Indenture Trustee to the holder hereof as provided in
the Collateral Trust Indenture.

     In case either (i) a Regulatory Event of Loss under the Facility Lease
shall occur or (ii) the Facility Lease shall have been terminated pursuant to
Section 13.1 or 13.2 thereof where the Facility Lessee purchases the Undivided
Interest from the Owner Lessor, the obligations of the Owner Lessor under this
Note may, subject to the conditions set forth in Section 2.10(b) of the
Collateral Trust Indenture, be assumed in whole (but not in part) by the
Facility Lessee in which case the Owner Lessor shall be released and discharged
from all such obligations. In connection with such an assumption, the holder of
this Note may be required to exchange this Note for a new Note evidencing such
assumption.

                                      B-1-4
<PAGE>
     In case a Collateral Trust Indenture Event of Default shall occur and be
continuing, the unpaid balance of the principal of this Note together with all
accrued but unpaid interest thereon may, subject to certain rights of the Owner
Lessor and the Owner Participant contained or referred to in the Collateral
Trust Indenture, be declared or may become due and payable in the manner and
with the effect provided in the Collateral Trust Indenture.

     There shall be maintained at the Indenture Trustee Office a register for
the purpose of registering transfers and exchanges of Notes in the manner
provided in the Collateral Trust Indenture. The transfer of this Note is
registrable, as provided in the Collateral Trust Indenture, upon surrender of
this Note for registration of transfer duly accompanied by a written instrument
of transfer duly executed by or on behalf of the registered holder hereof,
together with the amount of any applicable transfer taxes.

     It is expressly understood and agreed by the holder of this Note that (a)
this Note is executed and delivered by Wells Fargo Bank Northwest, National
Association, not individually or personally but solely as the lessor manager
(the "Lessor Manager"), of the Owner Lessor, in the exercise of the powers and
authority conferred and vested in it pursuant thereto, (b) each of the
undertakings and agreements in this Note made on the part of the Owner Lessor
is made and intended not as personal undertakings and agreements by the Lessor
Manager but is made and intended for the purpose for binding only the Owner
Lessor, (c) nothing contained in this Note shall be construed as creating any
liability on the Lessor Manager individually or personally, to perform any
covenant either expressed or implied contained in this Note, all such
liability, if any, being expressly waived by the holder of this Note or by any
Person claiming by, through or under such holder, and (d) under no
circumstances shall the Lessor Manager, be personally liable for the payment of
any indebtedness or expenses of the Owner Lessor or be liable for the breach or
failure of any obligation, representation, warranty or covenant made or
undertaken by the Owner Lessor under this Note.

     This Note shall be governed by the laws of the State of New York.

                                      B-1-5
<PAGE>
     IN WITNESS WHEREOF, the Owner Lessor has caused this Note to be duly
executed as of the date hereof.

                                    BROAD RIVER OL-3, LLC
                                    a Delaware limited liability company,

                                    By:  Wells Fargo Bank Northwest, National
                                         Association, not in its individual
                                         capacity but solely as the Lessor
                                         Manager

                                    By:  ______________________________________
                                         Name:
                                         Title:
<PAGE>
     This is the Lessor Note referred to in the within-mentioned Collateral
Trust Indenture duly executed as of the date hereof.

                                    STATE STREET BANK AND TRUST
                                    COMPANY OF CONNECTICUT,
                                    NATIONAL ASSOCIATION,
                                    not in its individual capacity, but solely
                                    as the Indenture Trustee

                                    ___________________________________________
                                    Name:
                                    Title:
<PAGE>
                             FORM OF TRANSFER NOTICE

     FOR VALUE RECEIVED the undersigned registered holder hereby sell(s)
assign(s) and transfer(s) unto

Insert Taxpayer Identification No.

__________________________________

________________________________________________________________________________
(Please print or typewrite name and address including zip code of assignee)

________________________________________________________________________________
the within Note and all rights thereunder, hereby irrevocably constituting and
appointing

________________________________________________________________________________
attorney to transfer said Note on the books of the Issuer with full power of
substitution in the premises.

Date: ________________              ____________________________________________
                                    (Signature of Transferor)

                                    NOTE: The signature to this assignment must
                                    correspond with the name as written upon the
                                    face of the within-mentioned instrument in
                                    every particular, without alteration or any
                                    change whatsoever.
<PAGE>
                                   SCHEDULE I
                                    TO NOTE

                       Schedule Of Principal Amortization

                             Series A Lessor Notes.

                         PRINCIPAL PORTION: $25,175,000

<TABLE>
<CAPTION>
                                                                                                 Percentage of Principal
                                                                                                 -----------------------
Regular Distribution Date                                                                                 Amount Payable
-------------------------                                                                                 --------------
<S>                                                                                              <C>
May 30, 2002.............................................................................                    0.00000000%
November 30, 2002........................................................................                    0.00000000%
May 30, 2003.............................................................................                    0.00000000%
November 30, 2003........................................................................                   10.32770606%
May 30, 2004.............................................................................                   12.21449851%
November 30, 2004........................................................................                    5.26315789%
May 30, 2005.............................................................................                    5.36246276%
November 30, 2005........................................................................                    5.56107249%
May 30, 2006.............................................................................                    6.45481629%
November 30, 2006........................................................................                    6.85203575%
May 30, 2007.............................................................................                    7.54716981%
November 30, 2007........................................................................                    8.04369414%
May 30, 2008.............................................................................                    8.83813307%
November 30, 2008........................................................................                    9.33465740%
May 30, 2009.............................................................................                   10.02979146%
November 30, 2009........................................................................                    4.17080437%
                                                                                                           -------------

Total....................................................................................                  100.00000000%
                                                                                                           =============
</TABLE>
<PAGE>
                             Series B Lessor Notes.

                         PRINCIPAL PORTION: $37,875,000

<TABLE>
<CAPTION>
                                                                                                          Percentage of Principal
                                                                                                          -----------------------
Regular Distribution Date                                                                                          Amount Payable
-------------------------                                                                                          --------------
<S>                                                                                                       <C>
May 30, 2002..............................................................................                             0.00000000%
November 30, 2002.........................................................................                             0.00000000%
May 30, 2003..............................................................................                             0.00000000%
November 30, 2003.........................................................................                             0.00000000%
May 30, 2004..............................................................................                             0.00000000%
November 30, 2004.........................................................................                             0.00000000%
May 30, 2005..............................................................................                             0.00000000%
November 30, 2005.........................................................................                             0.00000000%
May 30, 2006..............................................................................                             0.00000000%
November 30, 2006.........................................................................                             0.00000000%
May 30, 2007..............................................................................                             0.00000000%
November 30, 2007.........................................................................                             0.00000000%
May 30, 2008..............................................................................                             0.00000000%
November 30, 2008.........................................................................                             0.00000000%
May 30, 2009..............................................................................                             0.00000000%
November 30, 2009.........................................................................                             0.00000000%
May 30, 2010..............................................................................                             0.00000000%
November 30, 2010.........................................................................                             0.00000000%
May 30, 2011..............................................................................                             0.00000000%
November 30, 2011.........................................................................                             0.00000000%
May 30, 2012..............................................................................                             0.00000000%
November 30, 2012.........................................................................                             0.00000000%
May 30, 2013..............................................................................                             0.00000000%
November 30, 2013.........................................................................                             0.00000000%
May 30, 2014..............................................................................                             0.00000000%
November 30, 2014.........................................................................                             0.00000000%
May 30, 2015..............................................................................                             0.00000000%
November 30, 2015.........................................................................                             0.00000000%
May 30, 2016..............................................................................                             0.00000000%
November 30, 2016.........................................................................                             0.00000000%
May 30, 2017..............................................................................                             0.00000000%
November 30, 2017.........................................................................                             0.00000000%
May 30, 2018..............................................................................                             0.00000000%
November 30, 2018.........................................................................                             0.00000000%
May 30, 2019..............................................................................                           100.00000000%
                                                                                                                     -------------

Total.....................................................................................                           100.00000000%
                                                                                                                     =============
</TABLE>

                                     B-1-10
<PAGE>
                                                                       EXHIBIT C
                                                              TO LEASE INDENTURE

                      FORM OF CERTIFICATE OF AUTHENTICATION

     This is one of the Lessor Notes referred to in the within-mentioned Lease
Indenture.

                                        _______________________________________
                                        not in its individual capacity but
                                        solely as the Indenture Trustee

                                        By: ___________________________________
                                            Name:
                                            Title:

                                       C-2
<PAGE>
                                                                       EXHIBIT D
                                                              TO LEASE INDENTURE

                           DESCRIPTION OF THE FACILITY

     That certain approximately 850 megawatt net nameplate capacity generating
facility, (known also as the "Broad River Facility") together with all
structures or improvements, all alterations thereto or replacements thereof,
and all other fixtures, attachments, appliances, equipment, machinery and other
articles (including, but not limited to, the property set forth below (the
"Included Property")), in each case located on the land, or the easements
appurtenant to the land, consisting of approximately sixty acres located
approximately one mile south of U.S. Highway 29 and three miles east of the
city of Gaffney in Cherokee County, South Carolina, such land described more
particularly on Exhibit A.

Included Property

     1.  Five Combustion Turbines - General Electric, Model MS7001FA; Serial #
         297329, Serial # 297330, Serial # 297331, Serial # 297620, Serial #
         297405.

     2.  Five CT Generators - General Electric, Model 7FH2, 18kV, Serial #
         337X800, Serial # 337X801, Serial # 337X802, Serial # 337X811, Serial
         # 337X812.

     3.  Three Innovative Steam Technologies Once through Steam Generators
         (OTSGs); Serial # C00037-2, Serial # C00037-1, Serial # C00037-0.

     4.  Five Combustion Turbine Step-up Transformers (GSU) - Prolec, Serial #
         G574-01, Serial # G574-02, Serial # G574-03, Serial # G574-04, Serial
         # G574-05 and other interconnection equipment associated with the
         Broad River Facility.

                                     D-1-1
<PAGE>
                                                                     SCHEDULE I
                                                             TO LEASE INDENTURE

                              SERIES A LESSOR NOTE

Initial Aggregate Principal Amount:         $25,175,000
Final Maturity Date:                        May 30, 2012
Interest Rate:                              8.400%
Amortization Schedule:

<TABLE>
<CAPTION>
                                                                                                            Percentage of Principal
                                                                                                            -----------------------
Regular Distribution Date                                                                                            Amount Payable
-------------------------                                                                                            --------------
<S>                                                                                                         <C>
May 30, 2002.............................................................................                                0.00000000%
November 30, 2002........................................................................                                0.00000000%
May 30, 2003.............................................................................                                0.00000000%
November 30, 2003........................................................................                               10.32770606%
May 30, 2004.............................................................................                               12.21449851%
November 30, 2004........................................................................                                5.26315789%
May 30, 2005.............................................................................                                5.36246276%
November 30, 2005........................................................................                                5.56107249%
May 30, 2006.............................................................................                                6.45481629%
November 30, 2006........................................................................                                6.85203575%
May 30, 2007.............................................................................                                7.54716981%
November 30, 2007........................................................................                                8.04369414%
May 30, 2008.............................................................................                                8.83813307%
November 30, 2008........................................................................                                9.33465740%
May 30, 2009.............................................................................                               10.02979146%
November 30, 2009........................................................................                                4.17080437%
                                                                                                                       -------------

Total....................................................................................                              100.00000000%
                                                                                                                       =============
</TABLE>

                                  SCHEDULE 1-1
<PAGE>
                              SERIES B LESSOR NOTE

<TABLE>
<S>                                         <C>
Initial Aggregate Principal Amount:         $37,875,000
Final Maturity Date:                        May 30, 2019
Interest Rate:                              9.825%
Amortization Schedule:
</TABLE>

<TABLE>
<CAPTION>
                                                                                                     Percentage of Principal
                                                                                                     -----------------------
Regular Distribution Date                                                                                     Amount Payable
-------------------------                                                                                     --------------
<S>                                                                                                  <C>
May 30, 2002..............................................................................                       0.00000000%
November 30, 2002.........................................................................                       0.00000000%
May 30, 2003..............................................................................                       0.00000000%
November 30, 2003.........................................................................                       0.00000000%
May 30, 2004..............................................................................                       0.00000000%
November 30, 2004.........................................................................                       0.00000000%
May 30, 2005..............................................................................                       0.00000000%
November 30, 2005.........................................................................                       0.00000000%
May 30, 2006..............................................................................                       0.00000000%
November 30, 2006.........................................................................                       0.00000000%
May 30, 2007..............................................................................                       0.00000000%
November 30, 2007.........................................................................                       0.00000000%
May 30, 2008..............................................................................                       0.00000000%
November 30, 2008.........................................................................                       0.00000000%
May 30, 2009..............................................................................                       0.00000000%
November 30, 2009.........................................................................                       0.00000000%
May 30, 2010..............................................................................                       0.00000000%
November 30, 2010.........................................................................                       0.00000000%
May 30, 2011..............................................................................                       0.00000000%
November 30, 2011.........................................................................                       0.00000000%
May 30, 2012..............................................................................                       0.00000000%
November 30, 2012.........................................................................                       0.00000000%
May 30, 2013..............................................................................                       0.00000000%
November 30, 2013.........................................................................                       0.00000000%
May 30, 2014..............................................................................                       0.00000000%
November 30, 2014.........................................................................                       0.00000000%
May 30, 2015..............................................................................                       0.00000000%
November 30, 2015.........................................................................                       0.00000000%
May 30, 2016..............................................................................                       0.00000000%
November 30, 2016.........................................................................                       0.00000000%
May 30, 2017..............................................................................                       0.00000000%
November 30, 2017.........................................................................                       0.00000000%
May 30, 2018..............................................................................                       0.00000000%
November 30, 2018.........................................................................                       0.00000000%
May 30, 2019..............................................................................                     100.00000000%
                                                                                                               -------------

Total.....................................................................................                     100.00000000%
                                                                                                               =============
</TABLE>

                                  SCHEDULE 1-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}]]