Document:

Exhibit 4.1

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                               FIRST BANKS, INC.,
                                    as Issuer

                                    INDENTURE

                           Dated as of April 28, 2006

                            WILMINGTON TRUST COMPANY,
                                   as Trustee

        FLOATING RATE JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES

                                    DUE 2036

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                                              TABLE OF CONTENTS
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ARTICLE I. DEFINITIONS......................................................................................1

     Section 1.1.    Definitions............................................................................1

ARTICLE II. DEBENTURES......................................................................................8

     Section 2.1.    Authentication and Dating..............................................................8
     Section 2.2.    Form of Trustee's Certificate of Authentication........................................8
     Section 2.3.    Form and Denomination of Debentures....................................................9
     Section 2.4.    Execution of Debentures................................................................9
     Section 2.5.    Exchange and Registration of Transfer of Debentures....................................9
     Section 2.6.    Mutilated, Destroyed, Lost or Stolen Debentures.......................................11
     Section 2.7.    Temporary Debentures..................................................................12
     Section 2.8.    Payment of Interest and Additional Interest...........................................12
     Section 2.9.    Cancellation of Debentures Paid, etc..................................................13
     Section 2.10.   Computation of Interest...............................................................14
     Section 2.11.   Extension of Interest Payment Period..................................................15
     Section 2.12.   CUSIP Numbers.........................................................................16

ARTICLE III. PARTICULAR COVENANTS OF THE COMPANY...........................................................16

     Section 3.1.    Payment of Principal, Premium and Interest; Agreed Treatment of the Debentures........16
     Section 3.2.    Offices for Notices and Payments, etc.................................................17
     Section 3.3.    Appointments to Fill Vacancies in Trustee's Office....................................17
     Section 3.4.    Provision as to Paying Agent..........................................................17
     Section 3.5.    Certificate to Trustee................................................................18
     Section 3.6.    Additional Sums.......................................................................18
     Section 3.7.    Compliance with Consolidation Provisions..............................................19
     Section 3.8.    Limitation on Dividends...............................................................19
     Section 3.9.    Covenants as to the Trust.............................................................19
     Section 3.10.   Additional Junior Indebtedness........................................................20

ARTICLE IV. SECURITYHOLDERS' LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE..............................20

     Section 4.1.    Securityholders' Lists................................................................20
     Section 4.2.    Preservation and Disclosure of Lists..................................................20

ARTICLE V. REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS UPON AN EVENT OF DEFAULT............................21

     Section 5.1.    Events of Default.....................................................................21
     Section 5.2.    Payment of Debentures on Default; Suit Therefor.......................................23
     Section 5.3.    Application of Moneys Collected by Trustee............................................24
     Section 5.4.    Proceedings by Securityholders........................................................24
     Section 5.5.    Proceedings by Trustee................................................................25
     Section 5.6.    Remedies Cumulative and Continuing; Delay or Omission Not a Waiver....................25
     Section 5.7.    Direction of Proceedings and Waiver of Defaults by Majority of Securityholders........25
     Section 5.8.    Notice of Defaults....................................................................26
     Section 5.9.    Undertaking to Pay Costs..............................................................26

ARTICLE VI. CONCERNING THE TRUSTEE.........................................................................26

     Section 6.1.    Duties and Responsibilities of Trustee................................................26
     Section 6.2.    Reliance on Documents, Opinions, etc..................................................27
     Section 6.3.    No Responsibility for Recitals, etc...................................................28
     Section 6.4.    Trustee, Authenticating Agent, Paying Agents, Transfer Agents or
                     Registrar May Own Debentures..........................................................28
     Section 6.5.    Moneys to be Held in Trust............................................................28
     Section 6.6.    Compensation and Expenses of Trustee..................................................29
     Section 6.7.    Officers' Certificate as Evidence.....................................................29
     Section 6.8.    Eligibility of Trustee................................................................29
     Section 6.9.    Resignation or Removal of Trustee.....................................................30
     Section 6.10.   Acceptance by Successor Trustee.......................................................31
     Section 6.11.   Succession by Merger, etc.............................................................32
     Section 6.12.   Authenticating Agents.................................................................32
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ARTICLE VII. CONCERNING THE SECURITYHOLDERS................................................................33

     Section 7.1.    Action by Securityholders.............................................................33
     Section 7.2.    Proof of Execution by Securityholders.................................................33
     Section 7.3.    Who Are Deemed Absolute Owners........................................................34
     Section 7.4.    Debentures Owned by Company Deemed Not Outstanding....................................34
     Section 7.5.    Revocation of Consents; Future Holders Bound..........................................34

ARTICLE VIII. SECURITYHOLDERS' MEETINGS....................................................................34

     Section 8.1.    Purposes of Meetings..................................................................34
     Section 8.2.    Call of Meetings by Trustee...........................................................35
     Section 8.3.    Call of Meetings by Company or Securityholders........................................35
     Section 8.4.    Qualifications for Voting.............................................................35
     Section 8.5.    Regulations...........................................................................35
     Section 8.6.    Voting................................................................................36
     Section 8.7.    Quorum; Actions.......................................................................36

ARTICLE IX. SUPPLEMENTAL INDENTURES........................................................................37

     Section 9.1.    Supplemental Indentures without Consent of Securityholders............................37
     Section 9.2.    Supplemental Indentures with Consent of Securityholders...............................38
     Section 9.3.    Effect of Supplemental Indentures.....................................................39
     Section 9.4.    Notation on Debentures................................................................39
     Section 9.5.    Evidence of Compliance of Supplemental Indenture to be Furnished to Trustee...........39

ARTICLE X. REDEMPTION OF SECURITIES........................................................................39

     Section 10.1.   Optional Redemption...................................................................39
     Section 10.2.   Special Event Redemption..............................................................39
     Section 10.3.   Notice of Redemption; Selection of Debentures.........................................39
     Section 10.4.   Payment of Debentures Called for Redemption...........................................40

ARTICLE XI. CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE..............................................40

     Section 11.1.   Company May Consolidate, etc., on Certain Terms.......................................40
     Section 11.2.   Successor Entity to be Substituted....................................................41
     Section 11.3.   Opinion of Counsel to be Given to Trustee.............................................41

ARTICLE XII. SATISFACTION AND DISCHARGE OF INDENTURE.......................................................41

     Section 12.1.   Discharge of Indenture................................................................41
     Section 12.2.   Deposited Moneys to be Held in Trust by Trustee.......................................42
     Section 12.3.   Paying Agent to Repay Moneys Held.....................................................42
     Section 12.4.   Return of Unclaimed Moneys............................................................42

ARTICLE XIII. IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS..............................42

     Section 13.1.   Indenture and Debentures Solely Corporate Obligations.................................42

ARTICLE XIV. MISCELLANEOUS PROVISIONS......................................................................43

     Section 14.1.   Successors............................................................................43
     Section 14.2.   Official Acts by Successor Entity.....................................................43
     Section 14.3.   Surrender of Company Powers...........................................................43
     Section 14.4.   Addresses for Notices, etc............................................................43
     Section 14.5.   Governing Law.........................................................................43
     Section 14.6.   Evidence of Compliance with Conditions Precedent......................................43
     Section 14.7.   Table of Contents, Headings, etc......................................................44
     Section 14.8.   Execution in Counterparts.............................................................44
     Section 14.9.   Separability..........................................................................44
     Section 14.10.  Assignment............................................................................44
     Section 14.11.  Acknowledgment of Rights..............................................................44

ARTICLE XV. SUBORDINATION OF DEBENTURES....................................................................44

     Section 15.1.   Agreement to Subordinate..............................................................44
     Section 15.2.   Default on Senior Indebtedness........................................................45
     Section 15.3.   Liquidation, Dissolution, Bankruptcy..................................................45
     Section 15.4.   Subrogation...........................................................................46
     Section 15.5.   Trustee to Effectuate Subordination...................................................47
     Section 15.6.   Notice by the Company.................................................................47
     Section 15.7.   Rights of the Trustee; Holders of Senior Indebtedness.................................48
     Section 15.8.   Subordination May Not Be Impaired.....................................................48

Exhibit A    Form of Floating Rate Junior Subordinated Deferrable Interest Debenture
Exhibit B    Form of Certificate to Trustee
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         THIS INDENTURE, dated as of April 28, 2006, between First Banks, Inc.,
a Missouri corporation (the "Company"), and Wilmington Trust Company, a Delaware
                             -------
banking corporation, as debenture trustee (the "Trustee").
                                                -------

                                   WITNESSETH:

         WHEREAS,  for its  lawful  corporate  purposes,  the  Company  has duly
authorized  the issuance of its  Floating  Rate Junior  Subordinated  Deferrable
Interest Debentures due 2036 (the "Debentures") under this Indenture to provide,
                                   ----------
among  other  things,  for  the  execution  and  authentication,   delivery  and
administration  thereof,  and the Company has duly  authorized  the execution of
this Indenture; and

         WHEREAS,  all acts and things  necessary to make this Indenture a valid
agreement according to its terms, have been done and performed;

         NOW, THEREFORE, This Indenture Witnesseth:

         In consideration of the premises, and the purchase of the Debentures by
the holders thereof,  the Company  covenants and agrees with the Trustee for the
equal and proportionate  benefit of the respective  holders from time to time of
the Debentures as follows:

                                   ARTICLE I.
                                  DEFINITIONS
                                  -----------

         Section 1.1.   Definitions. The   terms  defined  in  this  Section 1.1
                        -----------
(except as herein otherwise  expressly  provided or unless the context otherwise
requires) for all purposes of this  Indenture and of any indenture  supplemental
hereto  shall have the  respective  meanings  specified in this Section 1.1. All
accounting  terms used herein and not expressly  defined shall have the meanings
assigned  to  such  terms  in  accordance  with  generally  accepted  accounting
principles and the term "generally  accepted  accounting  principles" means such
accounting principles as are generally accepted in the United States at the time
of any computation. The words "herein," "hereof" and "hereunder" and other words
of similar  import refer to this  Indenture as a whole and not to any particular
Article, Section or other subdivision.

         "Acceleration Event of Default" means an Event of Default under Section
          -----------------------------
5.1(a),  (d),  (e) or (f),  whatever the reason for such  Acceleration  Event of
Default  and  whether it shall be  voluntary  or  involuntary  or be effected by
operation  of law or pursuant to any  judgment,  decree or order of any court or
any order, rule or regulation of any administrative or governmental body.

         "Additional Interest" has the meaning set forth in Section 2.11.
          -------------------

         "Additional Junior  Indebtedness"  means, without duplication and other
          -------------------------------
than  the  Debentures,  any  indebtedness,  liabilities  or  obligations  of the
Company, or any Subsidiary of the Company,  under debt securities (or guarantees
in respect of debt securities) initially issued after the date of this Indenture
to any trust,  or a trustee of a trust,  partnership or other entity  affiliated
with the Company that is, directly or indirectly,  a finance subsidiary (as such
term is defined in Rule 3a-5 under the Investment  Company Act of 1940) or other
financing  vehicle of the Company or any Subsidiary of the Company in connection
with the issuance by that entity of  preferred  securities  or other  securities
that  are  eligible  to  qualify  for  Tier 1  capital  treatment  (or its  then
equivalent)  for  purposes of the  capital  adequacy  guidelines  of the Federal
Reserve,  as then in effect and applicable to the Company (or, if the Company is
not a bank holding  company,  such  guidelines  applied to the Company as if the
Company were subject to such guidelines);  provided, however, that the inability
                                           --------  -------
of the Company to treat all or any portion of the Additional Junior Indebtedness
as Tier 1 capital shall not disqualify it as Additional  Junior  Indebtedness if
such  inability  results from the Company  having  cumulative  preferred  stock,
minority interests in consolidated subsidiaries,  or any other class of security
or interest which the Federal Reserve now or may hereafter accord Tier 1 capital
treatment  (including the  Debentures) in excess of the amount which may qualify
for treatment as Tier 1 capital under applicable capital adequacy guidelines.
<PAGE>

         "Additional Sums" has the meaning set forth in Section 3.6.
          ---------------

         "Affiliate"  has the same  meaning as given to that term in Rule 405 of
          ---------
the Securities Act or any successor rule thereunder.

         "Authenticating  Agent" means any agent or agents of the Trustee  which
          ---------------------
at the time shall be appointed and acting pursuant to Section 6.12.

         "Bankruptcy  Law" means Title 11, U.S. Code, or any similar  federal or
          ---------------
state law for the relief of debtors.

         "Board of  Directors"  means the board of  directors  or the  executive
          -------------------
committee or any other duly authorized designated officers of the Company.

         "Board  Resolution"  means  a copy  of a  resolution  certified  by the
          -----------------
Secretary or an Assistant  Secretary of the Company to have been duly adopted by
the Board of  Directors  and to be in full  force and effect on the date of such
certification and delivered to the Trustee.

         "Business Day" means any day other than a Saturday, Sunday or any other
          ------------
day on which banking  institutions in New York City or Wilmington,  Delaware are
permitted or required by any applicable law or executive order to close.

         "Capital Securities" means undivided beneficial interests in the assets
          ------------------
of the Trust which rank pari passu with Common  Securities  issued by the Trust;
provided,  however,  that upon the  occurrence  and  continuance  of an Event of
--------   -------
Default  (as defined in the  Declaration),  the rights of holders of such Common
Securities to payment in respect of distributions and payments upon liquidation,
redemption  and  otherwise  are  subordinated  to the  rights of holders of such
Capital Securities.

         "Capital  Securities  Guarantee" means the guarantee agreement that the
          ------------------------------
Company enters into with  Wilmington  Trust Company,  as guarantee  trustee,  or
other Persons that operates directly or indirectly for the benefit of holders of
Capital Securities of the Trust.

         "Capital  Treatment  Event"  means the  receipt by the  Company and the
          -------------------------
Trust of an opinion of counsel  experienced  in such matters to the effect that,
as a result of the  occurrence  of any amendment  to, or change  (including  any
announced  prospective  change) in, the laws, rules or regulations of the United
States or any political  subdivision thereof or therein, or as the result of any
official or administrative  pronouncement or action or decision  interpreting or
applying such laws, rules or regulations, which amendment or change is effective
or which pronouncement,  action or decision is announced on or after the date of
original  issuance of the Debentures,  there is more than an insubstantial  risk
that the  Company  will  not,  within  90 days of the date of such  opinion,  be
entitled to treat an amount  equal to the  aggregate  liquidation  amount of the
Capital  Securities as "Tier 1 Capital" (or its then equivalent) for purposes of
the capital adequacy  guidelines of the Federal  Reserve,  as then in effect and
applicable to the Company (or if the Company is not a bank holding company or is
otherwise  not  subject to the Federal  Reserve's  risk-based  capital  adequacy
guidelines,  such  guidelines  applied  to the  Company as if the  Company  were
subject  to such  guidelines);  provided,  however,  that the  inability  of the
                                --------   -------
Company to treat all or any  portion of the  liquidation  amount of the  Capital
Securities  as Tier l  Capital  shall  not  constitute  the  basis for a Capital
Treatment  Event, if such inability  results from the Company having  cumulative
preferred stock, minority interests in consolidated  subsidiaries,  or any other
class of security or interest  which the Federal  Reserve or OTS, as applicable,

<PAGE>

may now or  hereafter  accord Tier 1 Capital  treatment  in excess of the amount
which  may now or  hereafter  qualify  for  treatment  as Tier 1  Capital  under
applicable  capital adequacy  guidelines;  provided further,  however,  that the
                                           -------- -------   -------
distribution of Debentures in connection with the liquidation of the Trust shall
not  in  and  of  itself  constitute  a  Capital  Treatment  Event  unless  such
liquidation  shall have occurred in connection with a Tax Event or an Investment
Company Event.

         "Certificate"  means a  certificate  signed by any one of the principal
          -----------
executive officer,  the principal financial officer or the principal  accounting
officer of the Company.

         "Common Securities" means undivided  beneficial interests in the assets
          -----------------
of the Trust which rank pari passu with Capital  Securities issued by the Trust;
provided,  however,  that upon the  occurrence  and  continuance  of an Event of
--------   -------
Default  (as defined in the  Declaration),  the rights of holders of such Common
Securities to payment in respect of distributions and payments upon liquidation,
redemption  and  otherwise  are  subordinated  to the  rights of holders of such
Capital Securities.

         "Company" means First Banks, Inc., a Missouri corporation, and, subject
          -------
to the provisions of Article XI, shall include its successors and assigns.

         "Coupon Rate" has the meaning set forth in Section 2.8.
          -----------

         "Debenture" or "Debentures" has the meaning stated in the first recital
          ---------      ----------
of this Indenture.

         "Debenture Register" has the meaning specified in Section 2.5.
          ------------------

         "Declaration"  means the Amended and Restated  Declaration  of Trust of
          -----------
the Trust, as amended or supplemented from time to time.

         "Default"  means any event,  act or condition that with notice or lapse
          -------
of time, or both, would constitute an Event of Default.

         "Defaulted Interest" has the meaning set forth in Section 2.8.
          ------------------

         "Determination Date" has the meaning set forth in Section 2.10.
          ------------------

         "Distribution  Period"  means (i) with respect to interest  paid on the
          --------------------
first Interest Payment Date, the period beginning on (and including) the date of
original  issuance and ending on (but  excluding)  the Interest  Payment Date in
June 2006 and (ii) thereafter,  with respect to interest paid on each successive
Interest  Payment Date,  the period  beginning on (and  including) the preceding
Interest  Payment  Date and  ending on (but  excluding)  such  current  Interest
Payment Date.

         "Event of Default" means any event specified in Section 5.1,  continued
          ----------------
for the  period of time,  if any,  and after the giving of the  notice,  if any,
therein designated.

         "Extension Period" has the meaning set forth in Section 2.11.
          ----------------

         "Federal  Reserve" means the Board of Governors of the Federal  Reserve
          ----------------
System,  or its  designated  district  bank,  as  applicable,  and any successor
federal  agency that is primarily  responsible  for regulating the activities of
bank holding companies.

         "Indenture" means this instrument as originally executed or, if amended
          ---------
or supplemented as herein provided, as so amended or supplemented, or both.

         "Institutional Trustee" has the meaning set forth in the Declaration.
          ---------------------
<PAGE>

         "Interest  Payment  Date"  means March 15,  June 15,  September  15 and
          -----------------------
December  15 of each year during the term of this  Indenture,  or if such day is
not a Business Day, then the next succeeding  Business Day (it being  understood
that interest accrues for any such non-Business Day), commencing in June 2006.

         "Interest  Rate" means for the  Distribution  Period  beginning on (and
          --------------
including)  the date of  original  issuance  and ending on (but  excluding)  the
Interest Payment Date in June 2006 the rate per annum of 6.59875%,  and for each
Distribution  Period  beginning  on or after the  Interest  Payment Date in June
2006, the Coupon Rate for such Distribution Period.

         "Investment  Company  Event"  means the  receipt by the Company and the
          --------------------------
Trust of an opinion of counsel  experienced  in such matters to the effect that,
as a result of the occurrence of a change in law or regulation or written change
(including any announced prospective change) in interpretation or application of
law or  regulation  by any  legislative  body,  court,  governmental  agency  or
regulatory authority, there is more than an insubstantial risk that the Trust is
or, within 90 days of the date of such opinion will be considered an "investment
company" that is required to be registered  under the Investment  Company Act of
1940, as amended which change or prospective  change becomes  effective or would
become  effective,  as the case may be, on or after the date of the  issuance of
the Debentures.

         "Liquidation  Amount"  means the stated  amount of $1,000.00  per Trust
          -------------------
Security.

         "Maturity Date" means June 15, 2036.
          -------------

         "Officers' Certificate"  means  a certificate signed by the Chairman of
          ---------------------
the Board, the Chief Executive Officer,  the Vice Chairman,  the President,  any
Managing  Director or any Vice  President,  and by the  Treasurer,  an Assistant
Treasurer,  the  Comptroller,  an  Assistant  Comptroller,  the  Secretary or an
Assistant  Secretary of the  Company,  and  delivered to the Trustee.  Each such
certificate shall include the statements  provided for in Section 14.6 if and to
the extent required by the provisions of such Section.

         "Opinion  of  Counsel"  means an  opinion  in  writing  signed by legal
          --------------------
counsel,  who may be an employee of or counsel to the  Company,  or may be other
counsel reasonably  satisfactory to the Trustee. Each such opinion shall include
the statements provided for in Section 14.6 if and to the extent required by the
provisions of such Section.

         "OTS" means the Office of Thrift  Supervision and any successor federal
          ---
agency that is primarily  responsible  for  regulating the activities of savings
and loan holding companies.

         The term "outstanding," when used with reference to Debentures,  means,
                   -----------
subject to the  provisions  of  Section  7.4,  as of any  particular  time,  all
Debentures  authenticated  and  delivered  by the Trustee or the  Authenticating
Agent under this Indenture, except:

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

         (b)   Debentures, or portions thereof, for the payment or redemption of
which moneys in the necessary amount shall have been deposited in trust with the
Trustee or with any paying agent (other than the Company) or shall have been set
aside and  segregated  in trust by the Company (if the Company  shall act as its
own paying agent);  provided,  however,  that, if such  Debentures,  or portions
                    --------   -------
thereof, are to be redeemed prior to maturity thereof, notice of such redemption
shall have been given as provided in Section 10.3 or provision  satisfactory  to
the Trustee shall have been made for giving such notice; and

         (c)   Debentures  paid pursuant  to  Section  2.6 or in  lieu  of or in
substitution  for which  other  Debentures  shall  have been  authenticated  and
delivered  pursuant to the terms of Section 2.6 unless proof satisfactory to the
Company and the Trustee is presented  that any such  Debentures are held by bona
fide holders in due course.
<PAGE>

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

         "Predecessor Security" of any particular Debenture means every previous
          --------------------
Debenture evidencing all or a portion of the same debt as that evidenced by such
particular  Debenture;  and,  for  purposes of this  definition,  any  Debenture
authenticated  and delivered  under Section 2.6 in lieu of a lost,  destroyed or
stolen  Debenture  shall  be  deemed  to  evidence  the same  debt as the  lost,
destroyed or stolen Debenture.

         "Principal  Office of the Trustee," or other  similar  term,  means the
          ---------------------------------
office of the  Trustee,  at which at any  particular  time its  corporate  trust
business shall be principally  administered,  which at the time of the execution
of this  Indenture  shall be Rodney  Square  North,  1100 North  Market  Street,
Wilmington, Delaware 19890-1600, Attention: Corporate Trust Administration.

         "Redemption Date" has the meaning set forth in Section 10.1.
          ---------------

         "Redemption Price" means 100% of the principal amount of the Debentures
          ----------------
being  redeemed,  plus accrued and unpaid  interest  (including  any  Additional
Interest) on such Debentures to the Redemption Date.

         "Responsible  Officer" means, with respect to the Trustee,  any officer
          --------------------
within the Principal Office of the Trustee,  including any  vice-president,  any
assistant vice-president, any secretary, any assistant secretary, the treasurer,
any  assistant  treasurer,  any trust  officer or other officer of the Principal
Trust Office of the Trustee  customarily  performing  functions similar to those
performed by any of the above designated  officers and also means,  with respect
to a particular corporate trust matter, any other officer to whom such matter is
referred  because  of that  officer's  knowledge  of and  familiarity  with  the
particular subject.

         "Securities Act" means the Securities Act of 1933, as amended from time
          --------------
to time or any successor legislation.

         "Securityholder," "holder of Debentures," or other similar terms, means
          ---------------
any Person in whose name at the time a particular Debenture is registered on the
register kept by the Company or the Trustee for that purpose in accordance  with
the terms hereof.

         "Senior  Indebtedness"  means,  with  respect to the  Company,  (i) the
          --------------------
principal,  premium,  if any, and interest in respect of (A) indebtedness of the
Company for all borrowed and purchased money and (B)  indebtedness  evidenced by
securities,  debentures, notes, bonds or other similar instruments issued by the
Company;  (ii)  all  capital  lease  obligations  of  the  Company;   (iii)  all
obligations of the Company  issued or assumed as the deferred  purchase price of
property, all conditional sale obligations of the Company and all obligations of
the Company under any title  retention  agreement;  (iv) all  obligations of the
Company for the reimbursement of any letter of credit, any banker's  acceptance,
any security purchase facility, any repurchase agreement or similar arrangement,
any interest rate swap,  any other hedging  arrangement,  any  obligation  under
options or any similar credit or other  transaction;  (v) all obligations of the
Company  associated  with  derivative  products  such as  interest  and  foreign
exchange rate contracts, commodity contracts, and similar arrangements; (vi) all
obligations  of the type  referred  to in clauses (i) through (v) above of other

<PAGE>

Persons  for the  payment  of which  the  Company  is  responsible  or liable as
obligor,   guarantor  or  otherwise  including,   without  limitation,   similar
obligations   arising  from  off-balance  sheet  guarantees  and  direct  credit
substitutes;  and (vii) all  obligations  of the type referred to in clauses (i)
through (vi) above of other Persons secured by any lien on any property or asset
of the  Company  (whether  or not such  obligation  is assumed by the  Company),
whether  incurred  on or  prior  to the  date of this  Indenture  or  thereafter
incurred. Notwithstanding the foregoing, "Senior Indebtedness" shall not include
(1) any Additional Junior  Indebtedness,  (2) Debentures issued pursuant to this
Indenture  and  guarantees  in respect of such  Debentures,  (3) trade  accounts
payable of the Company  arising in the ordinary  course of business  (such trade
accounts payable being pari passu in right of payment to the Debentures), or (4)
obligations  with respect to which (a) in the instrument  creating or evidencing
the same or pursuant to which the same is outstanding,  it is provided that such
obligations are pari passu, junior or otherwise not superior in right of payment
to the  Debentures  and (b) the  Company,  prior to the  issuance  thereof,  has
notified  (and,  if  then  required  under  the  applicable  guidelines  of  the
regulating  entity,  has  received  approval  from) the Federal  Reserve (if the
Company is a bank  holding  company) or the OTS (if the Company is a savings and
loan  holding  company).   Senior  Indebtedness  shall  continue  to  be  Senior
Indebtedness and be entitled to the subordination provisions irrespective of any
amendment, modification or waiver of any term of such Senior Indebtedness.

         "Special Event" means any of a Capital  Treatment  Event, an Investment
          -------------
Company Event or a Tax Event.

         "Special Redemption Date" has the meaning set forth in Section 10.2.
          -----------------------

         "Special  Redemption  Price" means the price set forth in the following
          --------------------------
table for any Special  Redemption  Date that occurs on the date indicated  below
(or if such day is not a Business Day, then the next  succeeding  Business Day),
expressed as the  percentage of the  principal  amount of the  Debentures  being
redeemed:

     ------------------------------           -------------------------------
         Month in which Special                   Special Redemption Price
         ----------------------                   ------------------------
         Redemption Date Occurs
         ----------------------

     ------------------------------           -------------------------------
               June 2006                                 104.625%
     ------------------------------           -------------------------------
             September 2006                              104.300%
     ------------------------------           -------------------------------
             December 2006                               104.000%
     ------------------------------           -------------------------------
               March 2007                                103.650%
     ------------------------------           -------------------------------
               June 2007                                 103.350%
     ------------------------------           -------------------------------
             September 2007                              103.000%
     ------------------------------           -------------------------------
             December 2007                               102.700%
     ------------------------------           -------------------------------
               March 2008                                102.350%
     ------------------------------           -------------------------------
               June 2008                                 102.050%
     ------------------------------           -------------------------------
             September 2008                              101.700%
     ------------------------------           -------------------------------
             December 2008                               101.400%
     ------------------------------           -------------------------------
               March 2009                                101.050%
     ------------------------------           -------------------------------
               June 2009                                 100.750%
     ------------------------------           -------------------------------
             September 2009                              100.450%
     ------------------------------           -------------------------------
             December 2009                               100.200%
     ------------------------------           -------------------------------
       March 2010 and thereafter                         100.000%
     ------------------------------           -------------------------------

<PAGE>

         plus,  in  each  case,  accrued  and  unpaid  interest  (including  any
Additional Interest) on such Debentures to the Special Redemption Date.

         "Subsidiary"  means with respect to any Person,  (i) any corporation at
          ----------
least a majority of the outstanding voting stock of which is owned,  directly or
indirectly,  by such  Person or by one or more of its  Subsidiaries,  or by such
Person and one or more of its Subsidiaries,  (ii) any general partnership, joint
venture or similar entity, at least a majority of the outstanding partnership or
similar  interests of which shall at the time be owned by such Person, or by one
or  more  of  its  Subsidiaries,  or by  such  Person  and  one or  more  of its
Subsidiaries  and (iii) any limited  partnership  of which such Person or any of
its  Subsidiaries  is a general  partner.  For the purposes of this  definition,
"voting stock" means shares,  interests,  participations or other equivalents in
the equity interest  (however  designated) in such Person having ordinary voting
power for the election of a majority of the  directors  (or the  equivalent)  of
such Person, other than shares,  interests,  participations or other equivalents
having such power only by reason of the occurrence of a contingency.

         "Tax  Event"  means  the  receipt  by the  Company  and the Trust of an
          ----------
opinion of counsel  experienced  in such matters to the effect that, as a result
of any amendment to or change  (including any announced  prospective  change) in
the laws or any  regulations  thereunder  of the United  States or any political
subdivision  or  taxing  authority  thereof  or  therein,  or as a result of any
official  administrative  pronouncement  (including  any private  letter ruling,
technical advice memorandum,  field service advice, regulatory procedure, notice
or  announcement,  including any notice or  announcement of intent to adopt such
procedures or regulations)  (an  "Administrative  Action") or judicial  decision
                                  ----------------------
interpreting  or applying such laws or  regulations,  regardless of whether such
Administrative  Action or judicial decision is issued to or in connection with a
proceeding  involving  the  Company or the Trust and  whether or not  subject to
review or appeal, which amendment, clarification,  change, Administrative Action
or decision is enacted,  promulgated or announced,  in each case on or after the
date of original issuance of the Debentures, there is more than an insubstantial
risk  that:  (i) the  Trust  is,  or will be  within 90 days of the date of such
opinion,  subject to United  States  federal  income tax with  respect to income
received or accrued on the Debentures;  (ii) interest  payable by the Company on
the  Debentures is not, or within 90 days of the date of such opinion,  will not
be,  deductible by the Company,  in whole or in part,  for United States federal
income  tax  purposes;  or (iii)  the Trust is, or will be within 90 days of the
date of such opinion,  subject to more than a de minimis  amount of other taxes,
duties or other governmental charges.

         "3-Month LIBOR" has the meaning set forth in Section 2.10.
          -------------

         "Telerate Page 3750" has the meaning set forth in Section 2.10.
          ------------------

         "Trust" shall mean First Bank Statutory  Trust V, a Delaware  statutory
          -----
trust,  or any other similar  trust  created for the purpose of issuing  Capital
Securities in connection  with the issuance of Debentures  under this Indenture,
of which the Company is the sponsor.

         "Trust Securities"  means Common  Securities and Capital  Securities of
          ----------------
the Trust.

         "Trustee"  means  Wilmington   Trust  Company,   and,  subject  to  the
          -------
provisions of Article VI hereof,  shall also include its  successors and assigns
as Trustee hereunder.
<PAGE>

                                   ARTICLE II.
                                   DEBENTURES
                                   ----------

         Section 2.1.   Authentication  and  Dating.  Upon  the   execution  and
                        ---------------------------
delivery of this Indenture,  or from time to time  thereafter,  Debentures in an
aggregate  principal amount not in excess of $20,619,000.00  may be executed and
delivered  by the Company to the Trustee for  authentication,  and the  Trustee,
upon receipt of a written authentication order from the Company, shall thereupon
authenticate  and make  available  for delivery  said  Debentures to or upon the
written order of the Company,  signed by its Chairman of the Board of Directors,
Chief  Executive  Officer,  Vice Chairman,  the  President,  one of its Managing
Directors  or one of its Vice  Presidents  without  any  further  action  by the
Company  hereunder.  Notwithstanding  anything to the contrary contained herein,
the  Trustee  shall be  fully  protected  in  relying  upon  the  aforementioned
authentication  order and written order in  authenticating  and delivering  said
Debentures.  In  authenticating  such  Debentures,  and accepting the additional
responsibilities  under this  Indenture  in  relation  to such  Debentures,  the
Trustee  shall be  entitled to receive,  and  (subject to Section  6.1) shall be
fully protected in relying upon:

         (a)     a copy of any Board Resolution  or Board  Resolutions  relating
                 thereto and, if applicable, an appropriate record of any action
                 taken pursuant to  such resolution,  in  each case certified by
                 the Secretary or an Assistant  Secretary of the Company, as the
                 case may be; and

         (b)     an Opinion of Counsel  prepared in accordance with Section 14.6
                 which shall also state:

                        (1)   that  such  Debentures,  when   authenticated  and
                 delivered by the Trustee and issued by the Company in each case
                 in the   manner and subject to any conditions specified in such
                 Opinion of  Counsel, will  constitute valid and legally binding
                 obligations of the Company, subject to or limited by applicable
                 bankruptcy,   insolvency,   reorganization,    conservatorship,
                 receivership, moratorium and other statutory or decisional laws
                 relating   to   or     affecting  creditors'  rights   or   the
                 reorganization of financial  institutions  (including,  without
                 limitation, preference  and  fraudulent conveyance  or transfer
                 laws),  heretofore or hereafter enacted or in effect, affecting
                 the rights of creditors generally; and

                        (2)   that all laws and requirements  in  respect of the
                 execution  and  delivery  by the Company of the Debentures have
                 been complied with and that authentication and delivery  of the
                 Debentures by the Trustee  will not  violate  the terms of this
                 Indenture.

         The Trustee shall have the right to decline to authenticate and deliver
any  Debentures  under this Section if the Trustee,  being advised in writing by
counsel,  determines  that  such  action  may  not  lawfully  be  taken  or if a
Responsible  Officer  of the  Trustee in good faith  shall  determine  that such
action would expose the Trustee to personal liability to existing holders.

         The definitive  Debentures  shall be typed,  printed,  lithographed  or
engraved on steel engraved  borders or may be produced in any other manner,  all
as determined by the officers  executing such Debentures,  as evidenced by their
execution of such Debentures.

         Section 2.2.   Form of Trustee's  Certificate  of  Authentication.  The
                        --------------------------------------------------
Trustee's   certificate  of   authentication  on  all  Debentures  shall  be  in
substantially the following form:

         This  is one  of the  Debentures  referred  to in the  within-mentioned
Indenture.
<PAGE>

         WILMINGTON TRUST COMPANY, as Trustee

         By
           ---------------------------------------------------
         Authorized Signer

         Section 2.3.   Form  and  Denomination  of Debentures.  The  Debentures
                        --------------------------------------
shall be substantially in the form of Exhibit A attached hereto.  The Debentures
shall  be in  registered,  certificated  form  without  coupons  and in  minimum
denominations  of $100,000.00  and any multiple of $1,000.00 in excess  thereof.
Any  attempted  transfer  of the  Debentures  in a  block  having  an  aggregate
principal amount of less than  $100,000.00  shall be deemed to be void and of no
legal effect whatsoever. Any such purported transferee shall be deemed not to be
a holder of such Debentures for any purpose,  including,  but not limited to the
receipt of payments on such Debentures,  and such purported  transferee shall be
deemed to have no interest  whatsoever in such Debentures.  The Debentures shall
be  numbered,  lettered,  or  otherwise  distinguished  in  such  manner  or  in
accordance with such plans as the officers executing the same may determine with
the  approval of the Trustee as evidenced by the  execution  and  authentication
thereof.

         Section 2.4.   Execution of Debentures. The  Debentures shall be signed
                        -----------------------
in the name and on behalf of the Company by the manual or facsimile signature of
its Chairman of the Board of Directors,  Chief Executive Officer, Vice Chairman,
President,  one  of  its  Managing  Directors  or  one  of  its  Executive  Vice
Presidents,  Senior Vice Presidents or Vice Presidents.  Only such Debentures as
shall bear thereon a certificate  of  authentication  substantially  in the form
herein before recited,  executed by the Trustee or the  Authenticating  Agent by
the manual signature of an authorized signer,  shall be entitled to the benefits
of this Indenture or be valid or obligatory for any purpose. Such certificate by
the  Trustee or the  Authenticating  Agent upon any  Debenture  executed  by the
Company shall be conclusive  evidence  that the Debenture so  authenticated  has
been duly authenticated and delivered  hereunder and that the holder is entitled
to the benefits of this Indenture.

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

         Every Debenture shall be dated the date of its authentication.

         Section 2.5.   Exchange and Registration of Transfer of Debentures. The
                        ---------------------------------------------------
Company  shall  cause to be kept,  at the  office or agency  maintained  for the
purpose of registration of transfer and for exchange as provided in Section 3.2,
a register (the  "Debenture  Register") for the Debentures  issued  hereunder in
                  -------------------
which, subject to such reasonable  regulations as it may prescribe,  the Company
shall  provide for the  registration  and transfer of all  Debentures as in this
Article II provided.  The Debenture  Register shall be in written form or in any
other form  capable of being  converted  into  written  form within a reasonable
time.

         Debentures to be exchanged may be surrendered  at the Principal  Office
of the  Trustee or at any office or agency to be  maintained  by the Company for
such  purpose as provided in Section  3.2, and the Company  shall  execute,  the
Company or the Trustee  shall  register  and the  Trustee or the  Authenticating
Agent shall  authenticate  and make available for delivery in exchange  therefor
the Debenture or Debentures which the  Securityholder  making the exchange shall
be entitled to receive. Upon due presentment for registration of transfer of any
Debenture at the  Principal  Office of the Trustee or at any office or agency of

<PAGE>

the Company  maintained for such purpose as provided in Section 3.2, the Company
shall execute,  the Company or the Trustee shall register and the Trustee or the
Authenticating  Agent shall  authenticate and make available for delivery in the
name of the  transferee or  transferees  a new  Debenture  for a like  aggregate
principal  amount.  Registration or registration of transfer of any Debenture by
the Trustee or by any agent of the Company  appointed  pursuant to Section  3.2,
and delivery of such Debenture,  shall be deemed to complete the registration or
registration of transfer of such Debenture.

         All Debentures  presented for  registration of transfer or for exchange
or  payment  shall  (if  so  required  by the  Company  or  the  Trustee  or the
Authenticating  Agent)  be duly  endorsed  by,  or be  accompanied  by a written
instrument or  instruments of transfer in form  satisfactory  to the Company and
the  Trustee  or the  Authenticating  Agent duly  executed  by the holder or his
attorney duly authorized in writing.

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

         The  Company  or the  Trustee  shall not be  required  to  exchange  or
register a transfer of any Debenture for a period of 15 days next  preceding the
date of selection of Debentures for redemption.

         Notwithstanding anything herein to the contrary,  Debentures may not be
transferred except in compliance with the restricted securities legend set forth
below,  unless otherwise  determined by the Company,  upon the advice of counsel
expert in securities law, in accordance with applicable law:

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED  STATES,  INCLUDING THE
FEDERAL DEPOSIT INSURANCE CORPORATION.

         THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS  AMENDED  (THE  "SECURITIES  ACT"),  ANY STATE  SECURITIES  LAWS OR ANY OTHER
APPLICABLE   SECURITIES   LAW.   NEITHER  THIS  SECURITY  NOR  ANY  INTEREST  OR
PARTICIPATION  HEREIN MAY BE REOFFERED,  SOLD, ASSIGNED,  TRANSFERRED,  PLEDGED,
ENCUMBERED  OR  OTHERWISE  DISPOSED  OF IN THE ABSENCE OF SUCH  REGISTRATION  OR
UNLESS SUCH  TRANSACTION  IS EXEMPT  FROM,  OR NOT SUBJECT TO, THE  REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS. THE
HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  AGREES  TO OFFER,  SELL OR
OTHERWISE  TRANSFER  THIS  SECURITY  ONLY (A) TO THE COMPANY,  (B) PURSUANT TO A
REGISTRATION  STATEMENT  THAT HAS BEEN DECLARED  EFFECTIVE  UNDER THE SECURITIES
ACT,  (C) TO A  PERSON  WHOM  THE  SELLER  REASONABLY  BELIEVES  IS A  QUALIFIED
INSTITUTIONAL  BUYER IN A TRANSACTION  MEETING THE  REQUIREMENTS OF RULE 144A SO
LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A IN ACCORDANCE
WITH  RULE  144A,  (D)  TO A  NON-U.S.  PERSON  IN AN  OFFSHORE  TRANSACTION  IN
ACCORDANCE  WITH RULE 903 OR RULE 904 (AS  APPLICABLE) OF REGULATION S UNDER THE
SECURITIES ACT, (E) TO AN INSTITUTIONAL "ACCREDITED INVESTOR" WITHIN THE MEANING
OF SUBPARAGRAPH  (A) OF RULE 501 UNDER THE SECURITIES ACT THAT IS ACQUIRING THIS
SECURITY  FOR  ITS OWN  ACCOUNT,  OR FOR THE  ACCOUNT  OF SUCH AN  INSTITUTIONAL
ACCREDITED  INVESTOR,  FOR  INVESTMENT  PURPOSES  AND NOT WITH A VIEW TO, OR FOR
OFFER  OR  SALE  IN  CONNECTION  WITH,  ANY  DISTRIBUTION  IN  VIOLATION  OF THE
SECURITIES  ACT,  OR (F)  PURSUANT  TO ANY OTHER  AVAILABLE  EXEMPTION  FROM THE
REGISTRATION  REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S RIGHT
PRIOR TO ANY SUCH OFFER,  SALE OR TRANSFER TO REQUIRE THE DELIVERY OF AN OPINION
OF  COUNSEL,  CERTIFICATION  AND/OR  OTHER  INFORMATION  SATISFACTORY  TO  IT IN
ACCORDANCE WITH THE INDENTURE, A COPY OF WHICH MAY BE OBTAINED FROM THE COMPANY.
<PAGE>

         THE HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  ALSO  AGREES,
REPRESENTS  AND  WARRANTS  THAT  IT  IS  NOT  AN  EMPLOYEE  BENEFIT,  INDIVIDUAL
RETIREMENT  ACCOUNT  OR  OTHER  PLAN OR  ARRANGEMENT  SUBJECT  TO TITLE I OF THE
EMPLOYEE  RETIREMENT  INCOME  SECURITY  ACT OF 1974,  AS AMENDED  ("ERISA"),  OR
SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE") (EACH
A "PLAN"),  OR AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE "PLAN ASSETS" BY REASON
OF ANY PLAN'S INVESTMENT IN THE ENTITY, AND NO PERSON INVESTING "PLAN ASSETS" OF
ANY PLAN MAY ACQUIRE OR HOLD THE SECURITIES OR ANY INTEREST THEREIN, UNLESS SUCH
PURCHASER  OR HOLDER IS  ELIGIBLE  FOR  EXEMPTIVE  RELIEF  AVAILABLE  UNDER U.S.
DEPARTMENT OF LABOR PROHIBITED  TRANSACTION CLASS EXEMPTION 96-23, 95-60, 91-38,
90-1 OR 84-14 OR ANOTHER  APPLICABLE  EXEMPTION  OR ITS  PURCHASE AND HOLDING OF
THIS  SECURITY IS NOT  PROHIBITED BY SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE WITH RESPECT TO SUCH  PURCHASE OR HOLDING.  ANY  PURCHASER OR HOLDER OF THE
SECURITIES  OR ANY INTEREST  THEREIN WILL BE DEEMED TO HAVE  REPRESENTED  BY ITS
PURCHASE AND HOLDING THEREOF THAT EITHER (i) IT IS NOT AN EMPLOYEE  BENEFIT PLAN
WITHIN THE MEANING OF SECTION 3(3) OF ERISA,  OR A PLAN TO WHICH SECTION 4975 OF
THE CODE IS  APPLICABLE,  A  TRUSTEE  OR OTHER  PERSON  ACTING  ON  BEHALF OF AN
EMPLOYEE BENEFIT PLAN OR PLAN, OR ANY OTHER PERSON OR ENTITY USING THE ASSETS OF
ANY  EMPLOYEE  BENEFIT  PLAN OR PLAN TO  FINANCE  SUCH  PURCHASE,  OR (ii)  SUCH
PURCHASE WILL NOT RESULT IN A PROHIBITED  TRANSACTION UNDER SECTION 406 OF ERISA
OR  SECTION  4975 OF THE CODE FOR  WHICH  THERE IS NO  APPLICABLE  STATUTORY  OR
ADMINISTRATIVE EXEMPTION.

         THIS  SECURITY  WILL BE ISSUED  AND MAY BE  TRANSFERRED  ONLY IN BLOCKS
HAVING AN AGGREGATE  PRINCIPAL AMOUNT OF NOT LESS THAN $100,000.00 AND MULTIPLES
OF $1,000.00 IN EXCESS  THEREOF.  ANY  ATTEMPTED  TRANSFER OF THIS SECURITY IN A
BLOCK HAVING AN AGGREGATE  PRINCIPAL  AMOUNT OF LESS THAN  $100,000.00  SHALL BE
DEEMED TO BE VOID AND OF NO LEGAL EFFECT WHATSOEVER.

         THE  HOLDER  OF THIS  SECURITY  AGREES  THAT IT WILL  COMPLY  WITH  THE
FOREGOING RESTRICTIONS.

         Section 2.6.   Mutilated, Destroyed, Lost or Stolen Debentures. In case
                        -----------------------------------------------
any  Debenture  shall become  mutilated  or be  destroyed,  lost or stolen,  the
Company  shall  execute,   and  upon  its  written  request  the  Trustee  shall
authenticate and deliver, a new Debenture bearing a number not contemporaneously
outstanding,  in exchange and  substitution for the mutilated  Debenture,  or in
lieu of and in substitution for the Debenture so destroyed,  lost or stolen.  In
every  case the  applicant  for a  substituted  Debenture  shall  furnish to the
Company and the Trustee such security or indemnity as may be required by them to
save each of them harmless,  and, in every case of  destruction,  loss or theft,
the  applicant  shall also  furnish to the Company  and the Trustee  evidence to
their  satisfaction of the  destruction,  loss or theft of such Debenture and of
the ownership thereof.

         The Trustee may authenticate any such substituted Debenture and deliver
the same  upon the  written  request  or  authorization  of any  officer  of the
Company. Upon the issuance of any substituted Debenture, the Company may require
the payment of a sum  sufficient to cover any tax or other  governmental  charge
that may be  imposed  in  relation  thereto  and any  other  expenses  connected
therewith.  In case any Debenture which has matured or is about to mature or has
been called for redemption in full shall become mutilated or be destroyed,  lost
or stolen,  the Company may, instead of issuing a substitute  Debenture,  pay or
authorize the payment of the same (without  surrender thereof except in the case
of a mutilated Debenture) if the applicant for such payment shall furnish to the
Company and the Trustee such security or indemnity as may be required by them to
save each of them harmless and, in case of destruction,  loss or theft, evidence
satisfactory to the Company and to the Trustee of the destruction, loss or theft
of such Debenture and of the ownership thereof.
<PAGE>

         Every  substituted  Debenture issued pursuant to the provisions of this
Section 2.6 by virtue of the fact that any such Debenture is destroyed,  lost or
stolen shall  constitute  an additional  contractual  obligation of the Company,
whether or not the  destroyed,  lost or stolen  Debenture  shall be found at any
time,  and shall be entitled to all the benefits of this  Indenture  equally and
proportionately  with any and all other  Debentures duly issued  hereunder.  All
Debentures  shall be held and owned  upon the  express  condition  that,  to the
extent permitted by applicable law, the foregoing  provisions are exclusive with
respect to the  replacement or payment of mutilated,  destroyed,  lost or stolen
Debentures   and  shall   preclude   any  and  all  other   rights  or  remedies
notwithstanding any law or statute existing or hereafter enacted to the contrary
with respect to the  replacement  or payment of negotiable  instruments or other
securities without their surrender.

         Section 2.7.   Temporary   Debentures.   Pending   the  preparation  of
                        ----------------------
definitive   Debentures,   the  Company  may  execute  and  the  Trustee   shall
authenticate  and make  available  for delivery  temporary  Debentures  that are
typed,  printed or lithographed.  Temporary  Debentures shall be issuable in any
authorized  denomination,  and  substantially  in the  form  of  the  definitive
Debentures in lieu of which they are issued but with such omissions,  insertions
and variations as may be  appropriate  for temporary  Debentures,  all as may be
determined by the Company.  Every such temporary  Debenture shall be executed by
the Company and be  authenticated by the Trustee upon the same conditions and in
substantially  the same  manner,  and with the same  effect,  as the  definitive
Debentures.  Without  unreasonable delay the Company will execute and deliver to
the Trustee or the Authenticating Agent definitive  Debentures and thereupon any
or all temporary  Debentures  may be surrendered  in exchange  therefor,  at the
principal  corporate  trust  office of the  Trustee  or at any  office or agency
maintained  by the Company for such  purpose as provided in Section 3.2, and the
Trustee or the  Authenticating  Agent shall  authenticate and make available for
delivery in exchange for such temporary  Debentures a like  aggregate  principal
amount of such definitive Debentures. Such exchange shall be made by the Company
at its own expense and  without any charge  therefor  except that in case of any
such  exchange  involving a  registration  of  transfer  the Company may require
payment of a sum sufficient to cover any tax, fee or other  governmental  charge
that may be imposed in  relation  thereto.  Until so  exchanged,  the  temporary
Debentures  shall in all  respects be entitled to the same  benefits  under this
Indenture as definitive Debentures authenticated and delivered hereunder.

         Section 2.8.   Payment of Interest and Additional Interest. Interest at
                        -------------------------------------------
the Interest Rate and any Additional  Interest on any Debenture that is payable,
and is punctually  paid or duly  provided for, on any Interest  Payment Date for
Debentures  shall be paid to the Person in whose name said  Debenture (or one or
more  Predecessor  Securities)  is  registered  at the close of  business on the
regular record date for such interest  installment  except that interest and any
Additional  Interest payable on the Maturity Date shall be paid to the Person to
whom principal is paid.

         Each  Debenture  shall bear  interest for the period  beginning on (and
including)  the date of  original  issuance  and ending on (but  excluding)  the
Interest  Payment Date in June 2006 at a rate per annum of  6.59875%,  and shall
bear interest for each successive  Distribution Period beginning on or after the
Interest  Payment  Date in June  2006 at a rate per annum  equal to the  3-Month
LIBOR,  determined as described in Section 2.10, plus 1.45% (the "Coupon Rate"),
                                                                  -----------
applied to the principal amount thereof, until the principal thereof becomes due
and payable, and on any overdue principal and to the extent that payment of such
interest is  enforceable  under  applicable  law  (without  duplication)  on any
overdue installment of interest (including  Additional Interest) at the Interest
Rate in effect for each applicable period compounded  quarterly.  Interest shall
be payable (subject to any relevant  Extension  Period)  quarterly in arrears on
each Interest Payment Date with the first  installment of interest to be paid on
the Interest Payment Date in June 2006.
<PAGE>
         Any interest on any Debenture,  including Additional Interest,  that is
payable,  but is not  punctually  paid or duly  provided  for,  on any  Interest
Payment Date (herein called  "Defaulted  Interest")  shall forthwith cease to be
                              -------------------
payable to the registered  holder on the relevant  regular record date by virtue
of having been such holder;  and such  Defaulted  Interest  shall be paid by the
Company to the  Persons  in whose  names such  Debentures  (or their  respective
Predecessor  Securities)  are  registered  at the close of business on a special
record date for the payment of such Defaulted Interest,  which shall be fixed in
the following  manner:  the Company shall notify the Trustee in writing at least
25 days prior to the date of the  proposed  payment  of the amount of  Defaulted
Interest proposed to be paid on each such Debenture and the date of the proposed
payment,  and at the same time the  Company  shall  deposit  with the Trustee an
amount of money equal to the aggregate  amount proposed to be paid in respect of
such Defaulted  Interest or shall make arrangements  satisfactory to the Trustee
for such  deposit  prior to the date of the  proposed  payment,  such money when
deposited  to be held in trust for the benefit of the  Persons  entitled to such
Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a
special record date for the payment of such  Defaulted  Interest which shall not
be more than 15 nor less than 10 days prior to the date of the proposed  payment
and not less than 10 days after the  receipt by the Trustee of the notice of the
proposed payment.  The Trustee shall promptly notify the Company of such special
record  date and,  in the name and at the  expense of the  Company,  shall cause
notice of the proposed payment of such Defaulted Interest and the special record
date therefor to be mailed,  first class postage prepaid, to each Securityholder
at its address as it appears in the  Debenture  Register,  not less than 10 days
prior to such  special  record  date.  Notice of the  proposed  payment  of such
Defaulted  Interest and the special  record date therefor  having been mailed as
aforesaid,  such Defaulted  Interest shall be paid to the Persons in whose names
such Debentures (or their respective  Predecessor  Securities) are registered on
such special record date and shall be no longer payable.

         The  Company  may  make  payment  of  any  Defaulted  Interest  on  any
Debentures  in any other lawful  manner after notice given by the Company to the
Trustee of the proposed payment method;  provided,  however,  the Trustee in its
                                         --------   -------
sole discretion deems such payment method to be practical.

         Any  interest  (including  Additional  Interest)  scheduled  to  become
payable on an Interest  Payment Date occurring  during an Extension Period shall
not be  Defaulted  Interest  and shall be  payable  on such other date as may be
specified in the terms of such Debentures.

         The term  "regular  record date" as used in this Section shall mean the
close of business on the 15th  Business Day preceding  the  applicable  Interest
Payment Date.

         Subject to the foregoing provisions of this Section, each Debenture
delivered under this Indenture upon registration of transfer of or in exchange
for or in lieu of any other Debenture shall carry the rights to interest accrued
and unpaid, and to accrue, that were carried by such other Debenture.

         Section 2.9.   Cancellation of  Debentures  Paid,  etc. All  Debentures
                        ---------------------------------------
surrendered for the purpose of payment, redemption,  exchange or registration of
transfer,  shall,  if  surrendered  to the  Company  or  any  paying  agent,  be
surrendered  to the Trustee and promptly  canceled by it, or, if  surrendered to
the Trustee or any  Authenticating  Agent, shall be promptly canceled by it, and
no Debentures  shall be issued in lieu thereof except as expressly  permitted by
any  of the  provisions  of  this  Indenture.  All  Debentures  canceled  by any
Authenticating  Agent shall be  delivered  to the  Trustee.  The  Trustee  shall
destroy all canceled Debentures unless the Company otherwise directs the Trustee
in writing.  If the Company shall acquire any of the Debentures,  however,  such
acquisition   shall  not  operate  as  a  redemption  or   satisfaction  of  the
indebtedness  represented  by such  Debentures  unless  and  until  the same are
surrendered to the Trustee for cancellation.
<PAGE>

         Section 2.10.  Computation of Interest.  The amount of interest payable
                        -----------------------
for each Distribution Period will be calculated by applying the Interest Rate to
the principal amount outstanding at the commencement of the Distribution  Period
on the basis of the actual number of days in the  Distribution  Period concerned
divided  by  360.  All  percentages  resulting  from  any  calculations  on  the
Debentures will be rounded, if necessary,  to the nearest one hundred-thousandth
of a percentage  point,  with five  one-millionths of a percentage point rounded
upward (e.g.,  9.876545% (or .09876545) being rounded to 9.87655% (or .0987655),
and all  dollar  amounts  used in or  resulting  from such  calculation  will be
rounded to the nearest cent (with one-half cent being rounded upward)).

         (a)     "3-Month LIBOR" means  the London  interbank  offered  interest
                  -------------
rate for  three-month,  U.S.  dollar  deposits  determined by the Trustee in the
following order of priority:

                 (1)    the rate (expressed as a percentage per annum)  for U.S.
         dollar  deposits having a three-month maturity that appears on Telerate
         Page 3750  as of 11:00 a.m. (London time) on the related  Determination
         Date  (as  defined  below).  "Telerate  Page  3750"  means the  display
         designated  as "Page 3750" on  the Moneyline  Telerate  Service or such
         other  page as  may  replace  Page 3750 on that  service  or such other
         service  or  services  as  may be  nominated  by the  British  Bankers'
         Association  as  the  information  vendor for the purpose of displaying
         London interbank offered rates for U.S. dollar deposits;

                 (2)    if such rate cannot  be   identified   on  the   related
         Determination   Date,  the Trustee  will request the  principal  London
         offices  of  four  leading  banks in the  London  interbank  market  to
         provide such  banks' offered  quotations  (expressed as percentages per
         annum) to prime  banks in the London  interbank  market for U.S. dollar
         deposits having  a three-month  maturity as of 11:00 a.m. (London time)
         on  such  Determination  Date. If at least two quotations are provided,
         3-Month LIBOR will be the arithmetic mean of such quotations;

                 (3)    if  fewer  than  two  such  quotations  are  provided as
         requested in clause (2) above, the Trustee will request four major  New
         York City banks to provide such banks' offered quotations (expressed as
         percentages  per  annum) to  leading  European  banks for loans in U.S.
         dollars  as of 11:00 a.m. (London time) on such Determination  Date. If
         at least two  such  quotations are provided,  3-Month LIBOR will be the
         arithmetic mean of such quotations; and

                 (4)    if  fewer  than  two  such  quotations  are  provided as
         requested  in  clause (3) above,  3-Month LIBOR will be a 3-Month LIBOR
         determined  with  respect  to  the  Distribution   Period   immediately
         preceding such current Distribution Period.

         If the rate for U.S. dollar deposits having a three-month maturity that
initially  appears on Telerate  Page 3750 as of 11:00 a.m.  (London time) on the
related  Determination  Date  is  superseded  on the  Telerate  Page  3750  by a
corrected rate by 12:00 noon (London time) on such Determination  Date, then the
corrected rate as so  substituted on the applicable  page will be the applicable
3-Month LIBOR for such Determination Date.

         (b)     The Interest Rate for  any  Distribution Period will at no time
be higher than the maximum  rate then  permitted by New York law as the same may
be modified by United States law.

         (c)     "Determination Date" means the date  that is two London Banking
                  ------------------
Days (i.e.,  a business  day in which  dealings in deposits in U.S.  dollars are
transacted in the London interbank market) preceding the particular Distribution
Period for which a Coupon Rate is being determined.
<PAGE>

         (d)     The Trustee shall notify the Company, the Institutional Trustee
and any securities exchange or interdealer quotation system on which the Capital
Securities are listed,  of the Coupon Rate and the  Determination  Date for each
Distribution Period, in each case as soon as practicable after the determination
thereof  but in no event  later than the  thirtieth  (30th) day of the  relevant
Distribution Period. Failure to notify the Company, the Institutional Trustee or
any securities  exchange or interdealer  quotation system, or any defect in said
notice,  shall not affect the  obligation  of the Company to make payment on the
Debentures at the applicable  Coupon Rate.  Any error in the  calculation of the
Coupon Rate by the Trustee may be corrected  at any time by notice  delivered as
above provided.  Upon the request of a holder of a Debenture,  the Trustee shall
provide the Coupon Rate then in effect and, if  determined,  the Coupon Rate for
the next Distribution Period.

         (e)     Subject  to  the   corrective   rights   set   forth above, all
certificates, communications, opinions, determinations, calculations, quotations
and  decisions  given,  expressed,  made or  obtained  for the  purposes  of the
provisions relating to the payment and calculation of interest on the Debentures
and distributions on the Capital  Securities by the Trustee or the Institutional
Trustee will (in the absence of willful  default,  bad faith and manifest error)
be final,  conclusive  and  binding on the  Trust,  the  Company  and all of the
holders of the Debentures and the Capital Securities, and no liability shall (in
the  absence of willful  default,  bad faith or  manifest  error)  attach to the
Trustee  or the  Institutional  Trustee  in  connection  with  the  exercise  or
non-exercise  by  either  of  them  or  their  respective  powers,   duties  and
discretion.

         Section 2.11.  Extension  of  Interest  Payment  Period.  So long as no
                        ----------------------------------------
Acceleration Event of Default has occurred and is continuing,  the Company shall
have the right,  from time to time, and without causing an Event of Default,  to
defer payments of interest on the  Debentures by extending the interest  payment
period on the  Debentures  at any time and from time to time  during the term of
the Debentures,  for up to 20 consecutive  quarterly periods (each such extended
interest payment period, an "Extension  Period"),  during which Extension Period
                             -----------------
no interest (including Additional Interest) shall be due and payable (except any
Additional Sums that may be due and payable).  No Extension  Period may end on a
date other than an Interest Payment Date. During an Extension  Period,  interest
will continue to accrue on the Debentures, and interest on such accrued interest
will  accrue at an annual  rate  equal to the  Interest  Rate in effect for such
Extension  Period,  compounded  quarterly from the date such interest would have
been payable were it not for the Extension  Period,  to the extent  permitted by
law (such interest referred to herein as "Additional  Interest").  At the end of
                                          --------------------
any such  Extension  Period the Company  shall pay all interest then accrued and
unpaid on the Debentures (together with Additional Interest thereon);  provided,
                                                                       --------
however,  that no Extension Period may extend beyond the Maturity Date; provided
-------                                                                 --------
further,  however,  that during any such Extension Period, the Company shall not
-------   -------
and shall not permit  any  Affiliate  to (i)  declare  or pay any  dividends  or
distributions on, or redeem,  purchase,  acquire,  or make a liquidation payment
with respect to, any of the Company's or such  Affiliate's  capital stock (other
than  payments  of  dividends  or  distributions  to the  Company)  or make  any
guarantee  payments  with  respect to the  foregoing or (ii) make any payment of
principal of or interest or premium,  if any, on or repay,  repurchase or redeem
any debt  securities of the Company or any Affiliate that rank pari passu in all
respects with or junior in interest to the Debentures  (other than, with respect
to clauses (i) or (ii) above, (a) repurchases, redemptions or other acquisitions
of shares of capital  stock of the  Company in  connection  with any  employment
contract,  benefit plan or other similar  arrangement with or for the benefit of
one or more employees,  officers, directors or consultants, in connection with a
dividend  reinvestment or stockholder  stock purchase plan or in connection with
the issuance of capital stock of the Company (or securities  convertible into or
exercisable  for  such  capital  stock)  as   consideration  in  an  acquisition
transaction  entered into prior to the  applicable  Extension  Period,  (b) as a
result of any  exchange or  conversion  of any class or series of the  Company's
capital  stock (or any capital  stock of a  subsidiary  of the  Company) for any
class or series of the Company's  capital stock or of any class or series of the
Company's  indebtedness for any class or series of the Company's  capital stock,
(c) the  purchase of  fractional  interests in shares of the  Company's  capital
stock pursuant to the conversion or exchange provisions of such capital stock or

<PAGE>

the security being converted or exchanged,  (d) any declaration of a dividend in
connection with any stockholders'  rights plan, or the issuance of rights, stock
or other  property  under any  stockholders'  rights plan, or the  redemption or
repurchase of rights  pursuant  thereto,  (e) any dividend in the form of stock,
warrants, options or other rights where the dividend stock or the stock issuable
upon  exercise of such  warrants,  options or other  rights is the same stock as
that on which the  dividend  is being paid or ranks pari passu with or junior to
such  stock  and any  cash  payments  in lieu of  fractional  shares  issued  in
connection therewith,  or (f) payments under the Capital Securities  Guarantee).
Prior to the termination of any Extension Period, the Company may further extend
such  period,  provided  that such period  together  with all such  previous and
further consecutive extensions thereof shall not exceed 20 consecutive quarterly
periods,  or extend  beyond  the  Maturity  Date.  Upon the  termination  of any
Extension  Period and upon the payment of all accrued  and unpaid  interest  and
Additional Interest, the Company may commence a new Extension Period, subject to
the foregoing requirements.  No interest or Additional Interest shall be due and
payable  during  an  Extension  Period,  except  at the end  thereof,  but  each
installment  of interest that would  otherwise  have been due and payable during
such Extension Period shall bear Additional  Interest to the extent permitted by
applicable  law.  The Company  must give the Trustee  notice of its  election to
begin or  extend  an  Extension  Period  by the  close of  business  at least 15
Business Days prior to the Interest  Payment Date with respect to which interest
on the  Debentures  would have been payable  except for the election to begin or
extend such  Extension  Period.  The Trustee  shall give notice of the Company's
election to begin a new Extension Period to the Securityholders.

         Section 2.12.  CUSIP Numbers. The Company in issuing the Debentures may
                        -------------
use "CUSIP"  numbers (if then  generally in use),  and, if so, the Trustee shall
use CUSIP numbers in notices of redemption as a convenience to  Securityholders;
provided, however, that any such notice may state that no representation is made
as to the  correctness of such numbers either as printed on the Debentures or as
contained in any notice of a redemption  and that reliance may be placed only on
the  other  identification  numbers  printed  on the  Debentures,  and any  such
redemption  shall not be affected by any defect in or omission of such  numbers.
The  Company  will  promptly  notify the Trustee in writing of any change in the
CUSIP numbers.

                                  ARTICLE III.
                      PARTICULAR COVENANTS OF THE COMPANY
                      -----------------------------------

         Section 3.1.   Payment  of  Principal,  Premium  and  Interest;  Agreed
                        --------------------------------------------------------
Treatment of the Debentures.
---------------------------

         (a)     The  Company  covenants  and  agrees  that  it  will  duly  and
punctually  pay or cause to be paid the  principal of and  premium,  if any, and
interest and any Additional Interest and other payments on the Debentures at the
place, at the respective  times and in the manner provided in this Indenture and
the Debentures.  Each  installment of interest on the Debentures may be paid (i)
by mailing  checks  for such  interest  payable  to the order of the  holders of
Debentures  entitled thereto as they appear on the registry books of the Company
if a request for a wire transfer has not been received by the Company or (ii) by
wire  transfer to any account with a banking  institution  located in the United
States  designated  in writing by such Person to the paying  agent no later than
the related record date. Notwithstanding the foregoing, so long as the holder of
this Debenture is the Institutional Trustee, the payment of the principal of and
interest on this Debenture will be made in immediately  available  funds at such
place and to such account as may be designated by the Institutional Trustee.

         (b)     The Company will treat the Debentures as indebtedness,  and the
amounts  payable  in  respect  of the  principal  amount of such  Debentures  as
interest,  for all United States  federal  income tax purposes.  All payments in
respect  of such  Debentures  will be made  free  and  clear  of  United  States
withholding  tax to any  beneficial  owner thereof that has provided an Internal
Revenue Service Form W8 BEN (or any substitute or successor  form)  establishing
its non-United States status for United States federal income tax purposes.
<PAGE>

         (c)     As of the date of this Indenture,  the Company  has no  present
intention to exercise its right under Section 2.11 to defer payments of interest
on the Debentures by commencing an Extension Period.

         (d)     As of the date of this Indenture, the Company believes that the
likelihood that it would exercise its right under Section 2.11 to defer payments
of interest on the  Debentures  by  commencing  an Extension  Period at any time
during  which  the  Debentures   are   outstanding  is  remote  because  of  the
restrictions  that would be imposed on the  Company's  ability to declare or pay
dividends  or  distributions  on, or to redeem,  purchase or make a  liquidation
payment  with  respect to, any of its  outstanding  equity and on the  Company's
ability to make any payments of principal  of or interest on, or  repurchase  or
redeem, any of its debt securities that rank pari passu in all respects with (or
junior in interest to) the Debentures.

         Section 3.2.   Offices for Notices and Payments, etc. So long as any of
                        -------------------------------------
the  Debentures  remain  outstanding,  the Company will maintain in  Wilmington,
Delaware, an office or agency where the Debentures may be presented for payment,
an office or agency where the  Debentures may be presented for  registration  of
transfer and for exchange as in this Indenture  provided and an office or agency
where notices and demands to or upon the Company in respect of the Debentures or
of this  Indenture may be served.  The Company will give to the Trustee  written
notice  of the  location  of any such  office  or  agency  and of any  change of
location thereof. Until otherwise designated from time to time by the Company in
a notice to the  Trustee,  or  specified as  contemplated  by Section 2.5,  such
office or agency for all of the above  purposes shall be the office or agency of
the  Trustee.  In case the  Company  shall fail to  maintain  any such office or
agency  in  Wilmington,  Delaware,  or shall  fail to give  such  notice  of the
location or of any change in the location thereof, presentations and demands may
be made and notices may be served at the Principal Office of the Trustee.

         In addition to any such office or agency,  the Company may from time to
time  designate one or more offices or agencies  outside  Wilmington,  Delaware,
where the  Debentures  may be  presented  for  registration  of transfer and for
exchange in the manner provided in this Indenture, and the Company may from time
to  time  rescind  such  designation,  as the  Company  may  deem  desirable  or
expedient;  provided,  however,  that no such designation or rescission shall in
            --------   -------
any manner  relieve the Company of its obligation to maintain any such office or
agency in Wilmington,  Delaware,  for the purposes above mentioned.  The Company
will  give to the  Trustee  prompt  written  notice of any such  designation  or
rescission thereof.

         Section 3.3.   Appointments to Fill Vacancies in Trustee's  Office. The
                        ---------------------------------------------------
Company, whenever necessary to avoid or fill a vacancy in the office of Trustee,
will appoint,  in the manner  provided in Section 6.9, a Trustee,  so that there
shall at all times be a Trustee hereunder.

         Section 3.4.   Provision as to Paying Agent.
                        ----------------------------

         (a)     If  the Company shall  appoint  a  paying  agent other than the
Trustee,  it will cause such paying  agent to execute and deliver to the Trustee
an instrument  in which such agent shall agree with the Trustee,  subject to the
provision of this Section 3.4,

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

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

                 (3)    that it  will, at any time during the continuance of any
                 Event of  Default, upon  the  written  request  of the Trustee,
                 forthwith pay to the Trustee  all sums so held in trust by such
                 paying agent.

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

         Whenever  the  Company  shall  have one or more  paying  agents for the
Debentures,  it will,  on or prior  to each  due  date of the  principal  of and
premium, if any, or interest,  if any, on the Debentures,  deposit with a paying
agent a sum sufficient to pay the principal, premium, interest or other payments
so  becoming  due,  such sum to be held in trust for the  benefit of the Persons
entitled thereto and (unless such paying agent is the Trustee) the Company shall
promptly notify the Trustee in writing of its action or failure to act.

         (c)     Anything  in  this Section 3.4 to the contrary notwithstanding,
the Company may, at any time,  for the purpose of obtaining a  satisfaction  and
discharge  with  respect to the  Debentures,  or for any other  reason,  pay, or
direct  any  paying  agent to pay to the  Trustee  all sums held in trust by the
Company or any such paying  agent,  such sums to be held by the Trustee upon the
trusts herein contained.

         (d)     Anything in this Section 3.4 to  the contrary  notwithstanding,
the  agreement  to hold sums in trust as provided in this Section 3.4 is subject
to Sections 12.3 and 12.4.

         Section 3.5.   Certificate to Trustee.  The Company will deliver to the
                        ----------------------
Trustee  on or before  120 days after the end of each  fiscal  year,  so long as
Debentures are outstanding  hereunder,  a Certificate stating that in the course
of the  performance  by the  signers of their  duties as officers of the Company
they would normally have knowledge of any default during such fiscal year by the
Company in the performance of any covenants contained herein, stating whether or
not they have  knowledge of any such default  and, if so,  specifying  each such
default of which the signers have knowledge and the nature and status thereof. A
form of this Certificate is attached hereto as Exhibit B.
                                               ---------

         Section 3.6.   Additional Sums.  If and for so long as the Trust is the
                        ---------------
holder of all Debentures  and the Trust is required to pay any additional  taxes
(including withholding taxes), duties, assessments or other governmental charges
as a result  of a Tax  Event,  the  Company  will pay  such  additional  amounts
("Additional  Sums")  on the  Debentures  as shall be  required  so that the net
  ----------------
amounts  received  and  retained  by the Trust  after  paying  taxes  (including
withholding taxes),  duties,  assessments or other governmental  charges will be
equal to the  amounts the Trust  would have  received if no such taxes,  duties,
assessments  or other  governmental  charges had been imposed.  Whenever in this
Indenture or the  Debentures  there is a reference in any context to the payment
of principal of or interest on the  Debentures,  such mention shall be deemed to
include  mention  of  payments  of the  Additional  Sums  provided  for in  this
paragraph to the extent that,  in such  context,  Additional  Sums are,  were or
would be payable in respect thereof pursuant to the provisions of this paragraph
and express  mention of the payment of Additional  Sums (if  applicable)  in any
provisions  hereof shall not be construed as excluding  Additional Sums in those
provisions  hereof where such express  mention is not made;  provided,  however,
                                                             --------   -------
that the deferral of the payment of interest during an Extension Period pursuant
to Section 2.11 shall not defer the payment of any  Additional  Sums that may be
due and payable.
<PAGE>

         Section 3.7.   Compliance with  Consolidation  Provisions. The  Company
                        ------------------------------------------
will not, while any of the Debentures remain  outstanding,  consolidate with, or
merge into, or merge into itself,  or sell or convey all or substantially all of
its property to any other Person unless the  provisions of Article XI hereof are
complied with.

         Section 3.8.   Limitation on Dividends.  If  Debentures  are  initially
                        -----------------------
issued to the Trust or a trustee of such Trust in  connection  with the issuance
of Trust Securities by the Trust (regardless of whether  Debentures  continue to
be held by such Trust) and (i) there shall have  occurred and be  continuing  an
Event of  Default,  (ii) the  Company  shall be in default  with  respect to its
payment of any obligations under the Capital Securities Guarantee,  or (iii) the
Company shall have given notice of its election to defer payments of interest on
the Debentures by extending the interest  payment period as provided  herein and
such period,  or any extension  thereof,  shall be continuing,  then the Company
shall not,  and shall not allow any  Affiliate of the Company to, (x) declare or
pay any dividends or distributions on, or redeem,  purchase,  acquire, or make a
liquidation  payment with respect to, any of the Company's  capital stock or its
Affiliates'  capital stock (other than payments of dividends or distributions to
the Company) or make any guarantee payments with respect to the foregoing or (y)
make any payment of  principal  of or interest or premium,  if any, on or repay,
repurchase or redeem any debt  securities  of the Company or any Affiliate  that
rank pari passu in all  respects  with or junior in interest  to the  Debentures
(other  than,  with  respect to  clauses  (x) and (y)  above,  (1)  repurchases,
redemptions or other  acquisitions  of shares of capital stock of the Company in
connection  with  any  employment  contract,   benefit  plan  or  other  similar
arrangement  with  or  for  the  benefit  of one or  more  employees,  officers,
directors  or  consultants,  in  connection  with  a  dividend  reinvestment  or
stockholder  stock  purchase plan or in connection  with the issuance of capital
stock of the Company (or securities  convertible  into or  exercisable  for such
capital stock) as consideration in an acquisition transaction entered into prior
to the applicable  Extension  Period, if any, (2) as a result of any exchange or
conversion of any class or series of the Company's capital stock (or any capital
stock of a subsidiary  of the Company) for any class or series of the  Company's
capital  stock or of any class or series of the Company's  indebtedness  for any
class or series of the Company's  capital stock,  (3) the purchase of fractional
interests in shares of the Company's capital stock pursuant to the conversion or
exchange  provisions  of such capital stock or the security  being  converted or
exchanged,   (4)  any   declaration  of  a  dividend  in  connection   with  any
stockholders'  rights plan, or the issuance of rights,  stock or other  property
under any  stockholders'  rights plan, or the redemption or repurchase of rights
pursuant thereto,  (5) any dividend in the form of stock,  warrants,  options or
other rights where the dividend  stock or the stock  issuable  upon  exercise of
such  warrants,  options or other  rights is the same stock as that on which the
dividend  is being paid or ranks pari passu with or junior to such stock and any
cash payments in lieu of fractional  shares issued in connection  therewith,  or
(6) payments under the Capital Securities Guarantee).

         Section  3.9.  Covenants  as to the  Trust.  For so long  as the  Trust
                        ---------------------------
Securities remain outstanding,  the Company shall maintain 100% ownership of the
Common  Securities;  provided,  however,  that any  permitted  successor  of the
                     --------   -------
Company  under this  Indenture  may succeed to the  Company's  ownership of such
Common Securities. The Company, as owner of the Common Securities, shall, except
in  connection  with a  distribution  of  Debentures  to the  holders  of  Trust
Securities  in  liquidation  of the Trust,  the  redemption  of all of the Trust
Securities  or  certain  mergers,  consolidations  or  amalgamations,   each  as
permitted by the  Declaration,  cause the Trust (a) to remain a statutory trust,
(b) to otherwise  continue to be classified as a grantor trust for United States
federal income tax purposes, and (c) to cause each holder of Trust Securities to
be treated as owning an undivided beneficial interest in the Debentures.
<PAGE>

         Section 3.10.  Additional Junior  Indebtedness.  The Company shall not,
                        -------------------------------
and it shall not cause or permit any Subsidiary of the Company to, incur,  issue
or be  obligated  on any  Additional  Junior  Indebtedness,  either  directly or
indirectly, by way of guarantee,  suretyship or otherwise, other than Additional
Junior  Indebtedness  (i) that, by its terms,  is expressly  stated to be either
junior and subordinate or pari passu in all respects to the Debentures, and (ii)
of which the Company has notified  (and, if then required  under the  applicable
guidelines of the  regulating  entity,  has received  approval from) the Federal
Reserve, if the Company is a bank holding company, or the OTS, if the Company is
a savings and loan holding company.

                                  ARTICLE IV.
                       SECURITYHOLDERS' LISTS AND REPORTS
                       ----------------------------------
                         BY THE COMPANY AND THE TRUSTEE
                         ------------------------------

         Section 4.1.   Securityholders' Lists. The Company covenants and agrees
                        ----------------------
that it will furnish or cause to be furnished to the Trustee:

         (a)     on each regular record date for the Debentures, a list, in such
form as the Trustee may  reasonably  require,  of the names and addresses of the
Securityholders of the Debentures as of such record date; and

         (b)     at  such  other  times  as the  Trustee may request in writing,
within 30 days after the receipt by the Company of any such  request,  a list of
similar  form and  content  as of a date not more than 15 days prior to the time
such list is furnished;

except that no such lists need be  furnished  under this  Section 4.1 so long as
the  Trustee  is in  possession  thereof  by reason of its  acting as  Debenture
registrar.

         Section 4.2.   Preservation and Disclosure of Lists.
                        ------------------------------------

         (a)     The  Trustee  shall   preserve,  in  as  current  a  form as is
reasonably  practicable,  all  information  as to the names and addresses of the
holders of Debentures  (1) contained in the most recent list  furnished to it as
provided in Section  4.1 or (2)  received  by it in the  capacity of  Debentures
registrar (if so acting)  hereunder.  The Trustee may destroy any list furnished
to it as provided in Section 4.1 upon receipt of a new list so furnished.

         (b)     In  case  three  or  more  holders  of Debentures  (hereinafter
referred to as "applicants")  apply in writing to the Trustee and furnish to the
Trustee  reasonable  proof that each such  applicant has owned a Debenture for a
period of at least 6 months  preceding  the date of such  application,  and such
application  states that the applicants desire to communicate with other holders
of  Debentures  with respect to their rights under this  Indenture or under such
Debentures  and is  accompanied  by a  copy  of  the  form  of  proxy  or  other
communication which such applicants propose to transmit,  then the Trustee shall
within 5 Business Days after the receipt of such  application,  at its election,
either:

                 (1)    afford   such   applicants  access  to  the  information
                 preserved  at  the time by  the Trustee in accordance with  the
                 provisions of subsection (a) of this Section 4.2, or

                 (2)    inform such applicants as to the approximate  number  of
                 holders of Debentures whose names and  addresses appear in  the
                 information preserved at the time by the Trustee in  accordance
                 with the provisions of subsection  (a) of this Section 4.2, and
                 as to the  approximate cost of mailing to such  Securityholders
                 the form of proxy  or other communication, if any, specified in
                 such application.
<PAGE>

         If the Trustee shall elect not to afford such applicants access to such
information,  the Trustee shall,  upon the written  request of such  applicants,
mail to each  Securityholder  whose name and address  appear in the  information
preserved  at the time by the  Trustee  in  accordance  with the  provisions  of
subsection  (a) of  this  Section  4.2 a copy  of the  form of  proxy  or  other
communication  which is specified in such  request  with  reasonable  promptness
after a tender to the Trustee of the  material  to be mailed and of payment,  or
provision for the payment, of the reasonable expenses of mailing,  unless within
five days after such tender,  the Trustee shall mail to such applicants and file
with the  Securities  and  Exchange  Commission,  if  permitted  or  required by
applicable  law,  together  with a copy of the material to be mailed,  a written
statement to the effect that, in the opinion of the Trustee,  such mailing would
be contrary to the best interests of the holders of all Debentures,  as the case
may be, or would be in violation of applicable law. Such written statement shall
specify the basis of such opinion. If said Commission,  as permitted or required
by applicable law, after opportunity for a hearing upon the objections specified
in the written statement so filed,  shall enter an order refusing to sustain any
of such objections or if, after the entry of an order  sustaining one or more of
such  objections,  said Commission  shall find, after notice and opportunity for
hearing,  that all the  objections so sustained have been met and shall enter an
order so  declaring,  the Trustee shall mail copies of such material to all such
Securityholders with reasonable promptness after the entry of such order and the
renewal  of  such  tender;  otherwise  the  Trustee  shall  be  relieved  of any
obligation or duty to such applicants respecting their application.

         (c)     Each and every holder of  Debentures,  by receiving and holding
the same,  agrees with the Company and the Trustee  that neither the Company nor
the Trustee  nor any paying  agent  shall be held  accountable  by reason of the
disclosure of any such  information as to the names and addresses of the holders
of  Debentures  in accordance  with the  provisions  of  subsection  (b) of this
Section 4.2,  regardless of the source from which such  information was derived,
and that the  Trustee  shall not be held  accountable  by reason of mailing  any
material pursuant to a request made under said subsection (b).

                                   ARTICLE V.
                   REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS
                   -------------------------------------------
                            UPON AN EVENT OF DEFAULT
                            ------------------------

         Section 5.1.   Events of Default.  "Event of  Default,"  wherever  used
                        -----------------
herein,  means any one of the  following  events  (whatever  the reason for such
Event of Default and whether it shall be voluntary or involuntary or be effected
by operation of law or pursuant to any judgment, decree or order of any court or
any order, rule or regulation of any administrative or governmental body):

         (a)     the Company defaults in the  payment of any  interest  upon any
Debenture,  including any Additional Interest in respect thereof,  following the
nonpayment  of any such  interest  for twenty or more  consecutive  Distribution
Periods; or

         (b)     the Company defaults in the payment  of all or any  part of the
principal of (or premium,  if any, on) any Debentures as and when the same shall
become due and payable either at maturity,  upon  redemption,  by declaration of
acceleration or otherwise; or

         (c)     the Company defaults in the performance of, or breaches, any of
its covenants or agreements in this  Indenture or in the terms of the Debentures
established  as  contemplated  in  this  Indenture  (other  than a  covenant  or
agreement a default in whose  performance  or whose  breach is elsewhere in this
Section  specifically dealt with), and continuance of such default or breach for
a period of 60 days after there has been given, by registered or certified mail,
to the  Company by the  Trustee or to the Company and the Trustee by the holders
of at least 25% in aggregate principal amount of the outstanding  Debentures,  a
written notice specifying such default or breach and requiring it to be remedied
and stating that such notice is a "Notice of Default" hereunder; or
<PAGE>

         (d)     a court of competent jurisdiction shall enter a decree or order
for relief in respect of the Company in an involuntary case under any applicable
bankruptcy, insolvency,  reorganization or other similar law now or hereafter in
effect,  or appointing a receiver,  liquidator,  assignee,  custodian,  trustee,
sequestrator (or similar official) of the Company or for any substantial part of
its property,  or ordering the winding-up or liquidation of its affairs and such
decree  or  order  shall  remain  unstayed  and in  effect  for a  period  of 90
consecutive days; or

         (e)     the   Company   shall  commence  a  voluntary  case  under  any
applicable  bankruptcy,  insolvency,  reorganization or other similar law now or
hereafter  in  effect,  shall  consent to the entry of an order for relief in an
involuntary  case under any such law, or shall consent to the  appointment of or
taking  possession  by a receiver,  liquidator,  assignee,  trustee,  custodian,
sequestrator  (or other similar  official) of the Company or of any  substantial
part of its property,  or shall make any general  assignment  for the benefit of
creditors, or shall fail generally to pay its debts as they become due; or

         (f)     the Trust shall have voluntarily or  involuntarily  liquidated,
dissolved, wound-up its business or otherwise terminated its existence except in
connection with (i) the  distribution of the Debentures to holders of such Trust
Securities in liquidation of their  interests in the Trust,  (ii) the redemption
of  all  of  the  outstanding   Trust   Securities  or  (iii)  certain  mergers,
consolidations or amalgamations, each as permitted by the Declaration.

         If an  Acceleration  Event of  Default  occurs and is  continuing  with
respect to the  Debentures,  then,  and in each and every such case,  unless the
principal of the Debentures  shall have already  become due and payable,  either
the Trustee or the holders of not less than 25% in aggregate principal amount of
the Debentures then outstanding  hereunder,  by notice in writing to the Company
(and to the  Trustee  if given  by  Securityholders),  may  declare  the  entire
principal of the Debentures and the interest accrued thereon,  if any, to be due
and payable  immediately,  and upon any such  declaration  the same shall become
immediately due and payable.  If an Event of Default under Section 5.1(b) or (c)
occurs and is continuing with respect to the  Debentures,  then, and in each and
every such case,  unless the  principal  of the  Debentures  shall have  already
become due and  payable,  either the Trustee or the holders of not less than 25%
in aggregate principal amount of the Debentures then outstanding  hereunder,  by
notice  in  writing   to  the   Company   (and  to  the   Trustee  if  given  by
Securityholders), may proceed to remedy the default or breach thereunder by such
appropriate  judicial proceedings as the Trustee or such holders shall deem most
effectual to remedy the  defaulted  covenant or enforce the  provisions  of this
Indenture so breached, either by suit in equity or by action at law, for damages
or otherwise.

         The foregoing  provisions,  however,  are subject to the condition that
if,  at any time  after  the  principal  of the  Debentures  shall  have been so
declared due and  payable,  and before any judgment or decree for the payment of
the moneys due shall have been obtained or entered as hereinafter provided,  (i)
the Company shall pay or shall deposit with the Trustee a sum  sufficient to pay
all matured  installments  of interest upon all the Debentures and the principal
of and premium,  if any, on the Debentures which shall have become due otherwise
than by acceleration (with interest upon such principal and premium, if any, and
Additional  Interest) and such amount as shall be sufficient to cover reasonable
compensation  to the  Trustee and each  predecessor  Trustee,  their  respective
agents, attorneys and counsel, and all other amounts due to the Trustee pursuant
to Section  6.6, if any,  and (ii) all Events of Default  under this  Indenture,
other than the non-payment of the principal of or premium, if any, on Debentures
which shall have become due by  acceleration,  shall have been cured,  waived or
otherwise remedied as provided herein -- then and in every such case the holders
of a majority in aggregate  principal amount of the Debentures then outstanding,
by written notice to the Company and to the Trustee,  may waive all defaults and
rescind and annul such declaration and its  consequences,  but no such waiver or
rescission and annulment shall extend to or shall affect any subsequent  default
or shall impair any right consequent thereon.
<PAGE>

         In case the  Trustee  shall have  proceeded  to enforce any right under
this Indenture and such  proceedings  shall have been  discontinued or abandoned
because of such  rescission  or  annulment or for any other reason or shall have
been  determined  adversely  to the  Trustee,  then and in every  such  case the
Company,  the  Trustee  and the  holders  of the  Debentures  shall be  restored
respectively to their several  positions and rights  hereunder,  and all rights,
remedies  and  powers  of the  Company,  the  Trustee  and  the  holders  of the
Debentures shall continue as though no such proceeding had been taken.

         Section 5.2.   Payment of  Debentures  on Default;  Suit Therefor.  The
                        --------------------------------------------------
Company  covenants that upon the  occurrence of an Event of Default  pursuant to
Section 5.1(a) or (b) then, upon demand of the Trustee,  the Company will pay to
the Trustee,  for the benefit of the holders of the  Debentures the whole amount
that then shall have become due and payable on all  Debentures for principal and
premium,  if any, or  interest,  or both,  as the case may be,  with  Additional
Interest  accrued on the Debentures (to the extent that payment of such interest
is enforceable under applicable law and, if the Debentures are held by the Trust
or a trustee of such Trust, without duplication of any other amounts paid by the
Trust or a trustee in respect thereof);  and, in addition thereto,  such further
amount as shall be  sufficient  to cover the costs and  expenses of  collection,
including a reasonable  compensation to the Trustee,  its agents,  attorneys and
counsel, and any other amounts due to the Trustee under Section 6.6. In case the
Company shall fail forthwith to pay such amounts upon such demand,  the Trustee,
in its own name and as  trustee  of an  express  trust,  shall be  entitled  and
empowered to institute  any actions or  proceedings  at law or in equity for the
collection  of the sums so due and unpaid,  and may prosecute any such action or
proceeding  to judgment or final  decree,  and may enforce any such  judgment or
final decree  against the Company or any other  obligor on such  Debentures  and
collect in the manner  provided by law out of the property of the Company or any
other  obligor on such  Debentures  wherever  situated  the moneys  adjudged  or
decreed to be payable.

         In case there shall be pending  proceedings  for the  bankruptcy or for
the  reorganization  of the Company or any other obligor on the Debentures under
Bankruptcy  Law, or in case a receiver or trustee shall have been  appointed for
the property of the Company or such other  obligor,  or in the case of any other
similar judicial  proceedings  relative to the Company or other obligor upon the
Debentures,  or to the  creditors  or  property  of the  Company  or such  other
obligor,  the Trustee,  irrespective  of whether the principal of the Debentures
shall  then be due  and  payable  as  therein  expressed  or by  declaration  of
acceleration  or otherwise  and  irrespective  of whether the Trustee shall have
made any  demand  pursuant  to the  provisions  of this  Section  5.2,  shall be
entitled and empowered, by intervention in such proceedings or otherwise,

         (i)     to file and  prove a claim or claims for the  whole  amount  of
                 principal and interest  owing  and  unpaid  in  respect  of the
                 Debentures,

         (ii)    in  case  of  any  judicial proceedings, to file such proofs of
                 claim  and  other  papers  or  documents as may be necessary or
                 advisable in order to have the claims of the Trustee (including
                 any claim for reasonable compensation to the Trustee  and  each
                 predecessor Trustee, and their respective agents, attorneys and
                 counsel, and for reimbursement  of all other amounts due to the
                 Trustee under  Section 6.6), and of the Securityholders allowed
                 in  such  judicial  proceedings  relative to the Company or any
                 other  obligor  on  the  Debentures,  or  to the  creditors  or
                 property  of   the  Company  or  such  other  obligor,   unless
                 prohibited by applicable law and regulations, to vote on behalf
                 of the holders of the  Debentures  in any election of a trustee
                 or   a   standby   trustee   in   arrangement,  reorganization,
                 liquidation  or other  bankruptcy  or insolvency proceedings or
                 Person performing similar functions in comparable proceedings,

         (iii)   to collect  and receive any moneys or other property payable or
                 deliverable on any such claims, and

         (iv)    to distribute  the same after the deduction of its charges and
                 expenses.
<PAGE>

Any  receiver,  assignee or trustee in bankruptcy  or  reorganization  is hereby
authorized by each of the  Securityholders to make such payments to the Trustee,
and, in the event that the Trustee  shall consent to the making of such payments
directly to the Securityholders,  to pay to the Trustee such amounts as shall be
sufficient to cover  reasonable  compensation to the Trustee,  each  predecessor
Trustee  and their  respective  agents,  attorneys  and  counsel,  and all other
amounts due to the Trustee under Section 6.6.

         Nothing herein contained shall be construed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any  Securityholder  any
plan of  reorganization,  arrangement,  adjustment or composition  affecting the
Debentures  or the rights of any holder  thereof or to authorize  the Trustee to
vote in respect of the claim of any Securityholder in any such proceeding.

         All rights of action and of asserting  claims under this Indenture,  or
under  any of the  Debentures,  may be  enforced  by  the  Trustee  without  the
possession of any of the Debentures,  or the production  thereof at any trial or
other proceeding relative thereto, and any such suit or proceeding instituted by
the Trustee shall be brought in its own name as trustee of an express trust, and
any recovery of judgment shall be for the ratable  benefit of the holders of the
Debentures.

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

         Section 5.3.   Application  of Moneys Collected by Trustee.  Any moneys
                        -------------------------------------------
collected  by the  Trustee  pursuant  to this  Article V shall be applied in the
following  order, at the date or dates fixed by the Trustee for the distribution
of such moneys,  upon presentation of the several Debentures in respect of which
moneys have been collected,  and stamping thereon the payment, if only partially
paid, and upon surrender thereof if fully paid:

         First:  To   the  payment  of  costs  and  expenses  incurred  by,  and
reasonable fees of, the Trustee,  its agents,  attorneys and counsel, and of all
other amounts due to the Trustee under Section 6.6;

         Second: To the payment of all Senior Indebtedness of the Company if and
to the extent required by Article XV;

         Third:  To  the  payment  of the  amounts  then  due  and  unpaid  upon
Debentures for principal (and premium,  if any), and interest on the Debentures,
in  respect  of which or for the  benefit  of which  money  has been  collected,
ratably,  without  preference or priority of any kind,  according to the amounts
due on such Debentures (including Additional Interest); and

         Fourth: The balance, if any, to the Company.

         Section 5.4.   Proceedings  by  Securityholders.   No   holder  of  any
                        --------------------------------
Debenture  shall have any right to institute any suit,  action or proceeding for
any remedy  hereunder,  unless  such holder  previously  shall have given to the
Trustee written notice of an Event of Default with respect to the Debentures and
unless the  holders of not less than 25% in  aggregate  principal  amount of the
Debentures  then  outstanding  shall have given the Trustee a written request to
institute such action,  suit or proceeding and shall have offered to the Trustee
such  reasonable  indemnity  as it may require  against the costs,  expenses and
liabilities  to be  incurred  thereby,  and the  Trustee  for 60 days  after its
receipt of such  notice,  request  and offer of  indemnity  shall have failed to
institute any such action, suit or proceeding.
<PAGE>

         Notwithstanding  any other provisions in this Indenture,  however,  the
right of any holder of any  Debenture to receive  payment of the  principal  of,
premium, if any, and interest,  on such Debenture when due, or to institute suit
for the  enforcement  of any such  payment,  shall not be  impaired  or affected
without the consent of such holder and by accepting a Debenture  hereunder it is
expressly  understood,  intended and covenanted by the taker and holder of every
Debenture with every other such taker and holder and the Trustee, that no one or
more  holders of  Debentures  shall have any right in any manner  whatsoever  by
virtue or by  availing  itself of any  provision  of this  Indenture  to affect,
disturb or prejudice  the rights of the holders of any other  Debentures,  or to
obtain or seek to obtain  priority  over or preference to any other such holder,
or to enforce  any right  under  this  Indenture,  except in the  manner  herein
provided  and for the  equal,  ratable  and  common  benefit  of all  holders of
Debentures.  For  the  protection  and  enforcement  of the  provisions  of this
Section, each and every Securityholder and the Trustee shall be entitled to such
relief as can be given either at law or in equity.

         Section 5.5.   Proceedings  by Trustee.  In case of an Event of Default
                        -----------------------
hereunder the Trustee may in its  discretion  proceed to protect and enforce the
rights vested in it by this Indenture by such appropriate  judicial  proceedings
as the  Trustee  shall deem most  effectual  to protect  and enforce any of such
rights,  either  by suit in  equity  or by  action  at law or by  proceeding  in
bankruptcy or otherwise, whether for the specific enforcement of any covenant or
agreement  contained  in this  Indenture  or in aid of the exercise of any power
granted in this  Indenture,  or to enforce  any other legal or  equitable  right
vested in the Trustee by this Indenture or by law.

         Section 5.6.   Remedies Cumulative and Continuing;  Delay  or  Omission
                        -------------------------------------------------------
Not a Waiver.  Except  as  otherwise  provided  in  Section 2.6,  all powers and
------------
remedies given by this Article V to the Trustee or to the Securityholders shall,
to the extent  permitted by law, be deemed  cumulative  and not exclusive of any
other  powers  and  remedies  available  to the  Trustee  or the  holders of the
Debentures,  by judicial proceedings or otherwise, to enforce the performance or
observance  of the  covenants  and  agreements  contained  in this  Indenture or
otherwise  established with respect to the Debentures,  and no delay or omission
of the Trustee or of any holder of any of the  Debentures to exercise any right,
remedy or power  accruing upon any Event of Default  occurring and continuing as
aforesaid shall impair any such right, remedy or power, or shall be construed to
be a waiver of any such default or an acquiescence  therein; and, subject to the
provisions of Section 5.4,  every power and remedy given by this Article V or by
law to the Trustee or to the Securityholders may be exercised from time to time,
and as often as shall be deemed  expedient,  by the Trustee (in accordance  with
its duties under Section 6.1) or by the Securityholders.

         Section 5.7.   Direction  of  Proceedings  and  Waiver of  Defaults  by
                        --------------------------------------------------------
Majority of  Securityholders.  The holders of a majority in aggregate  principal
----------------------------
amount of the Debentures  affected (voting as one class) at the time outstanding
shall have the right to direct the time,  method,  and place of  conducting  any
proceeding for any remedy  available to the Trustee,  or exercising any trust or
power  conferred  on the  Trustee  with  respect to such  Debentures;  provided,
                                                                       --------
however,  that (subject to the provisions of Section 6.1) the Trustee shall have
-------
the right to decline to follow any such direction if the Trustee shall determine
that the action so  directed  would be unjustly  prejudicial  to the holders not
taking  part in such  direction  or if the  Trustee  being  advised  by  counsel
determines  that the action or  proceeding so directed may not lawfully be taken
or if a Responsible  Officer of the Trustee shall  determine  that the action or
proceedings so directed would involve the Trustee in personal liability.

         The  holders  of a  majority  in  aggregate  principal  amount  of  the
Debentures  at the time  outstanding  may on behalf of the holders of all of the
Debentures  waive (or modify any previously  granted waiver of) any past default
or Event of Default,  and its consequences,  except a default (a) in the payment
of principal of, premium,  if any, or interest on any of the Debentures,  (b) in
respect of  covenants or  provisions  hereof which cannot be modified or amended
without the consent of the holder of each Debenture affected,  or (c) in respect
of the  covenants  contained  in Section  3.9;  provided,  however,  that if the
                                                --------   -------
Debentures  are held by the Trust or a trustee  of such  trust,  such  waiver or

<PAGE>

modification  to such  waiver  shall not be  effective  until the  holders  of a
majority  in  Liquidation  Amount of Trust  Securities  of the Trust  shall have
consented to such waiver or modification to such waiver, provided, further, that
                                                         --------  -------
if the consent of the holder of each  outstanding  Debenture is  required,  such
waiver shall not be effective  until each holder of the Trust  Securities of the
Trust shall have  consented  to such waiver.  Upon any such waiver,  the default
covered  thereby shall be deemed to be cured for all purposes of this  Indenture
and the Company, the Trustee and the holders of the Debentures shall be restored
to their former positions and rights hereunder, respectively; but no such waiver
shall extend to any  subsequent  or other  default or Event of Default or impair
any right consequent thereon. Whenever any default or Event of Default hereunder
shall have been waived as  permitted by this  Section,  said default or Event of
Default shall for all purposes of the Debentures and this Indenture be deemed to
have been cured and to be not continuing.

         Section 5.8.   Notice of Defaults.  The Trustee  shall,  within 90 days
                        ------------------
after the  actual  knowledge  by a  Responsible  Officer  of the  Trustee of the
occurrence  of  a  default  with  respect  to  the   Debentures,   mail  to  all
Securityholders,  as the names and  addresses  of such  holders  appear upon the
Debenture Register,  notice of all defaults with respect to the Debentures known
to the Trustee,  unless such defaults shall have been cured before the giving of
such  notice  (the term  "defaults"  for the  purpose of this  Section 5.8 being
hereby defined to be the events specified in clauses (a), (b), (c), (d), (e) and
(f) of Section  5.1,  not  including  periods  of grace,  if any,  provided  for
therein);  provided, however, that, except in the case of default in the payment
           --------  -------
of the principal of, premium, if any, or interest on any of the Debentures,  the
Trustee  shall be  protected  in  withholding  such  notice  if and so long as a
Responsible Officer of the Trustee in good faith determines that the withholding
of such notice is in the interests of the Securityholders.

         Section 5.9.   Undertaking to Pay Costs.  All parties to this Indenture
                        ------------------------
agree,  and each holder of any  Debenture  by his  acceptance  thereof  shall be
deemed to have agreed, that any court may in its discretion require, in any suit
for the enforcement of any right or remedy under this Indenture,  or in any suit
against the Trustee for any action taken or omitted by it as Trustee, the filing
by any party  litigant in such suit of an  undertaking  to pay the costs of such
suit,  and that  such  court  may in its  discretion  assess  reasonable  costs,
including reasonable attorneys' fees and expenses, against any party litigant in
such  suit,  having  due  regard to the  merits  and good faith of the claims or
defenses made by such party litigant;  provided, however, that the provisions of
                                       --------  -------
this Section 5.9 shall not apply to any suit  instituted by the Trustee,  to any
suit instituted by any Securityholder,  or group of Securityholders,  holding in
the aggregate more than 10% in principal  amount of the Debentures  outstanding,
or to any suit  instituted  by any  Securityholder  for the  enforcement  of the
payment of the  principal of (or premium,  if any) or interest on any  Debenture
against the Company on or after the same shall have become due and payable.

                                  ARTICLE VI.
                             CONCERNING THE TRUSTEE
                             ----------------------

         Section 6.1.   Duties and Responsibilities of Trustee.  With respect to
                        --------------------------------------
the holders of Debentures issued hereunder, the Trustee, prior to the occurrence
of an Event of Default  with respect to the  Debentures  and after the curing or
waiving of all Events of Default  which may have  occurred,  with respect to the
Debentures,  undertakes  to  perform  such  duties  and only such  duties as are
specifically set forth in this Indenture, and no implied covenants shall be read
into this  Indenture  against  the  Trustee.  In case an Event of  Default  with
respect to the Debentures has occurred (which has not been cured or waived), the
Trustee  shall  exercise  such of the  rights  and  powers  vested in it by this
Indenture,  and use the same  degree of care and skill in their  exercise,  as a
prudent man would exercise or use under the  circumstances in the conduct of his
own affairs.

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

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

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

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

         (b)     the Trustee shall not be liable for any error of judgment  made
in good faith by a  Responsible  Officer or Officers of the  Trustee,  unless it
shall be proved that the Trustee was  negligent in  ascertaining  the  pertinent
facts; and

         (c)     the  Trustee  shall  not  be  liable with respect to any action
taken or  omitted  to be  taken  by it in good  faith,  in  accordance  with the
direction of the Securityholders  pursuant to Section 5.7, relating to the time,
method and place of conducting any  proceeding  for any remedy  available to the
Trustee, or exercising any trust or power conferred upon the Trustee, under this
Indenture.

         None of the provisions  contained in this  Indenture  shall require the
Trustee to expend or risk its own funds or otherwise  incur  personal  financial
liability in the  performance  of any of its duties or in the exercise of any of
its rights or powers,  if there is ground for  believing  that the  repayment of
such funds or liability  is not assured to it under the terms of this  Indenture
or indemnity  satisfactory  to the Trustee  against such risk is not  reasonably
assured to it.

         Section 6.2.   Reliance   on  Documents,  Opinions,  etc.   Except   as
                        -----------------------------------------
 otherwise provided in Section 6.1:

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

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

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

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

         (e)     the Trustee shall not be liable for any action taken or omitted
by it in good faith and believed by it to be authorized or within the discretion
or rights or  powers  conferred  upon it by this  Indenture;  nothing  contained
herein  shall,  however,  relieve  the  Trustee  of  the  obligation,  upon  the
occurrence of an Event of Default with respect to the  Debentures  (that has not
been cured or waived) to exercise with respect to Debentures  such of the rights
and powers  vested in it by this  Indenture,  and to use the same degree of care
and skill in their  exercise,  as a prudent man would  exercise or use under the
circumstances in the conduct of his own affairs;

         (f)     the Trustee shall not be bound to make any  investigation  into
the  facts  or  matters  stated  in  any  resolution,   certificate,  statement,
instrument,  opinion,  report, notice, request,  consent, order, approval, bond,
debenture,  coupon or other paper or document, unless requested in writing to do
so by the holders of not less than a majority in aggregate  principal  amount of
the outstanding  Debentures  affected thereby;  provided,  however,  that if the
                                                --------   -------
payment  within a  reasonable  time to the  Trustee  of the costs,  expenses  or
liabilities  likely to be incurred by it in the making of such investigation is,
in the  opinion of the  Trustee,  not  reasonably  assured to the Trustee by the
security afforded to it by the terms of this Indenture,  the Trustee may require
reasonable  indemnity  against  such  expense or  liability as a condition to so
proceeding;

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

         (h)     with the exceptions of defaults  under Sections  5.1(a) or (b),
the  Trustee  shall not be charged  with  knowledge  of any  Default or Event of
Default with respect to the  Debentures  unless a written notice of such Default
or Event of Default  shall have been given to the  Trustee by the Company or any
other obligor on the Debentures or by any holder of the Debentures.

         Section 6.3.   No  Responsibility  for  Recitals,   etc.  The  recitals
                        ----------------------------------------
contained   herein  and  in  the  Debentures   (except  in  the  certificate  of
authentication of the Trustee or the Authenticating Agent) shall be taken as the
statements of the Company,  and the Trustee and the Authenticating  Agent assume
no  responsibility  for  the  correctness  of the  same.  The  Trustee  and  the
Authenticating  Agent make no  representations as to the validity or sufficiency
of this Indenture or of the Debentures. The Trustee and the Authenticating Agent
shall  not be  accountable  for the use or  application  by the  Company  of any
Debentures or the proceeds of any Debentures  authenticated and delivered by the
Trustee or the  Authenticating  Agent in conformity  with the provisions of this
Indenture.

         Section 6.4.   Trustee,  Authenticating  Agent, Paying Agents, Transfer
                        --------------------------------------------------------
Agents or Registrar May Own Debentures.  The Trustee or any Authenticating Agent
--------------------------------------
or any paying agent or any transfer  agent or any  Debenture  registrar,  in its
individual or any other capacity,  may become the owner or pledgee of Debentures
with the same rights it would have if it were not Trustee, Authenticating Agent,
paying agent, transfer agent or Debenture registrar.

         Section 6.5.   Moneys to be Held in Trust. Subject to the provisions of
                        --------------------------
Section  12.4,  all moneys  received by the Trustee or any paying  agent  shall,
until used or applied as herein  provided,  be held in trust for the purpose for
which they were received,  but need not be segregated from other funds except to
the extent  required by law.  The Trustee and any paying agent shall be under no
liability for interest on any money received by it hereunder except as otherwise
agreed in writing  with the Company.  So long as no Event of Default  shall have
occurred and be  continuing,  all  interest  allowed on any such moneys shall be
paid from  time to time upon the  written  order of the  Company,  signed by the

<PAGE>

Chairman of the Board of Directors,  the Chief Executive Officer, the President,
a Managing Director,  a Vice President,  the Treasurer or an Assistant Treasurer
of the Company.

         Section 6.6.   Compensation  and  Expenses   of  Trustee.  The  Company
                        -----------------------------------------
covenants  and agrees to pay or  reimburse  the Trustee upon its request for all
reasonable expenses,  disbursements and advances incurred or made by the Trustee
in  accordance  with any of the  provisions  of this  Indenture  (including  the
reasonable compensation and the expenses and disbursements of its counsel and of
all Persons not regularly in its employ)  except any such expense,  disbursement
or advance as may arise from its negligence or willful misconduct.  For purposes
of  clarification,  this  Section  6.6 does not  contemplate  the payment by the
Company  of  acceptance  or  annual  administration  fees  owing to the  Trustee
pursuant to the services to be provided by the Trustee  under this  Indenture or
the fees and expenses of the Trustee's counsel in connection with the closing of
the transactions  contemplated by this Indenture.  The Company also covenants to
indemnify  each of the Trustee or any  predecessor  Trustee  (and its  officers,
agents,  directors and employees) for, and to hold it harmless against,  any and
all loss, damage, claim,  liability or expense including taxes (other than taxes
based on the  income of the  Trustee)  incurred  without  negligence  or willful
misconduct on the part of the Trustee and arising out of or in  connection  with
the acceptance or administration of this trust, including the costs and expenses
of defending  itself  against any claim of  liability.  The  obligations  of the
Company  under this Section 6.6 to  compensate  and indemnify the Trustee and to
pay or reimburse  the Trustee for  expenses,  disbursements  and advances  shall
constitute additional indebtedness hereunder. Such additional indebtedness shall
be secured by a lien prior to that of the Debentures upon all property and funds
held or  collected  by the Trustee as such,  except  funds held in trust for the
benefit of the holders of particular Debentures.

         Without  prejudice to any other rights  available to the Trustee  under
applicable  law,  when the  Trustee  incurs  expenses  or  renders  services  in
connection with an Event of Default specified in Section 5.1(d), (e) or (f), the
expenses  (including the reasonable charges and expenses of its counsel) and the
compensation   for  the  services  are  intended  to   constitute   expenses  of
administration  under any applicable federal or state bankruptcy,  insolvency or
other similar law.

         The provisions of this Section shall survive the resignation or removal
of the Trustee and the defeasance or other termination of this Indenture.

         Notwithstanding  anything in this  Indenture  or any  Debenture  to the
contrary,  the Trustee shall have no  obligation  whatsoever to advance funds to
pay any  principal  of or  interest  on or other  amounts  with  respect  to the
Debentures or otherwise advance funds to or on behalf of the Company.

         Section 6.7.   Officers' Certificate  as Evidence.  Except as otherwise
                        ----------------------------------
provided  in  Sections  6.1  and  6.2,  whenever  in the  administration  of the
provisions  of this  Indenture  the Trustee shall deem it necessary or desirable
that a matter be proved or  established  prior to taking or omitting  any action
hereunder,  such matter  (unless  other  evidence  in respect  thereof be herein
specifically prescribed) may, in the absence of negligence or willful misconduct
on the part of the Trustee,  be deemed to be conclusively proved and established
by an Officers' Certificate  delivered to the Trustee, and such certificate,  in
the absence of  negligence  or willful  misconduct  on the part of the  Trustee,
shall be full warrant to the Trustee for any action taken or omitted by it under
the provisions of this Indenture upon the faith thereof.

         Section 6.8.   Eligibility of Trustee. The  Trustee  hereunder shall at
                        ----------------------
all times be a corporation  organized and doing  business  under the laws of the
United States of America or any state or territory thereof or of the District of
Columbia or a corporation or other Person authorized under such laws to exercise
corporate trust powers,  having (or whose  obligations  under this Indenture are
guaranteed by an affiliate having) a combined capital and surplus of at least 50
million U.S. dollars  ($50,000,000.00) and subject to supervision or examination

<PAGE>

by federal,  state,  territorial,  or District  of Columbia  authority.  If such
corporation publishes reports of condition at least annually, pursuant to law or
to the requirements of the aforesaid  supervising or examining  authority,  then
for the purposes of this  Section 6.8 the  combined  capital and surplus of such
corporation  shall be deemed to be its combined capital and surplus as set forth
in its most recent records of condition so published.

         The  Company  may  not,  nor  may any  Person  directly  or  indirectly
controlling,  controlled by, or under common control with the Company,  serve as
Trustee.

         In  case  at any  time  the  Trustee  shall  cease  to be  eligible  in
accordance  with the  provisions  of this Section 6.8, the Trustee  shall resign
immediately in the manner and with the effect specified in Section 6.9.

         If the Trustee has or shall acquire any  "conflicting  interest" within
the meaning of ss. 310(b) of the Trust  Indenture Act of 1939, the Trustee shall
either  eliminate  such  interest  or  resign,  to the  extent and in the manner
described by this Indenture.

         Section 6.9.   Resignation or Removal of Trustee
                        ---------------------------------

         (a)     The Trustee, or  any  trustee  or trustees hereafter appointed,
may at any time  resign by giving  written  notice  of such  resignation  to the
Company and by mailing notice thereof,  at the Company's expense, to the holders
of the  Debentures  at their  addresses  as they shall  appear on the  Debenture
Register. Upon receiving such notice of resignation,  the Company shall promptly
appoint a successor  trustee or trustees by written  instrument,  in  duplicate,
executed by order of its Board of Directors,  one copy of which instrument shall
be delivered to the resigning Trustee and one copy to the successor Trustee.  If
no successor Trustee shall have been so appointed and have accepted  appointment
within 30 days after the mailing of such notice of  resignation  to the affected
Securityholders,  the  resigning  Trustee may  petition  any court of  competent
jurisdiction for the appointment of a successor  Trustee,  or any Securityholder
who has been a bona fide holder of a Debenture  or  Debentures  for at least six
months may,  subject to the  provisions of Section 5.9, on behalf of himself and
all others similarly situated,  petition any such court for the appointment of a
successor  Trustee.  Such court may thereupon,  after such notice, if any, as it
may deem proper and prescribe, appoint a successor Trustee.

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

                 (1)    the Trustee shall fail to comply with  the provisions of
                 Section 6.8  after  written request therefor by  the Company or
                 by  any  Securityholder  who  has  been a bona fide holder of a
                 Debenture or Debentures for at least 6 months, or

                 (2)    the Trustee  shall  cease  to be eligible in  accordance
                 with the  provisions  of  Section 6.8  and shall fail to resign
                 after  written  request  therefor by the Company or by any such
                 Securityholder, or

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

                 then, in any such case, the Company may  remove the Trustee and
                 appoint   a  successor  Trustee   by   written  instrument,  in
                 duplicate, executed  by  order  of  the Board of Directors, one
                 copy of  which instrument  shall be delivered to the Trustee so
                 removed  and  one copy to the successor Trustee, or, subject to
                 the  provisions of Section 5.9, any Securityholder who has been
                 a  bona fide holder of a Debenture or Debentures for at least 6
                 months  may, on  behalf  of  himself  and  all others similarly

<PAGE>

                 situated, petition  any court of competent jurisdiction for the
                 removal  of  the  Trustee  and  the  appointment of a successor
                 Trustee.  Such  court may thereupon, after such notice, if any,
                 as it  may  deem  proper  and prescribe, remove the Trustee and
                 appoint successor Trustee.

         (c)     Upon prior written notice to the Company and the  Trustee,  the
holders of a majority in aggregate  principal  amount of the  Debentures  at the
time  outstanding  may at any time remove the  Trustee and  nominate a successor
Trustee,  which shall be deemed appointed as successor  Trustee unless within 10
Business Days after such nomination the Company objects thereto,  in which case,
or in the case of a failure by such holders to nominate a successor Trustee, the
Trustee so  removed or any  Securityholder,  upon the terms and  conditions  and
otherwise as in subsection  (a) of this Section 6.9  provided,  may petition any
court of competent jurisdiction for an appointment of a successor.

         (d)     Any resignation or removal of the Trustee and appointment  of a
successor Trustee pursuant to any of the provisions of this Section shall become
effective upon acceptance of appointment by the successor Trustee as provided in
Section 6.10.

         Section 6.10.  Acceptance by Successor  Trustee.  Any successor Trustee
                        --------------------------------
appointed as provided in Section 6.9 shall execute,  acknowledge  and deliver to
the  Company  and  to its  predecessor  Trustee  an  instrument  accepting  such
appointment hereunder,  and thereupon the resignation or removal of the retiring
Trustee shall become effective and such successor  Trustee,  without any further
act, deed or conveyance, shall become vested with all the rights, powers, duties
and  obligations  with respect to the Debentures of its  predecessor  hereunder,
with like effect as if originally named as Trustee herein; but, nevertheless, on
the written  request of the  Company or of the  successor  Trustee,  the Trustee
ceasing to act shall,  upon  payment of any amounts  then due it pursuant to the
provisions  of Section 6.6,  execute and deliver an instrument  transferring  to
such  successor  Trustee  all the rights and powers of the Trustee so ceasing to
act and shall duly assign,  transfer and deliver to such  successor  Trustee all
property and money held by such retiring Trustee thereunder. Upon request of any
such  successor  Trustee,  the Company shall execute any and all  instruments in
writing for more fully and certainly vesting in and confirming to such successor
Trustee  all  such  rights  and  powers.  Any  Trustee  ceasing  to  act  shall,
nevertheless, retain a lien upon all property or funds held or collected by such
Trustee to secure any amounts then due it pursuant to the  provisions of Section
6.6.

         If a successor Trustee is appointed,  the Company, the retiring Trustee
and the successor  Trustee  shall execute and deliver an indenture  supplemental
hereto  which shall  contain  such  provisions  as shall be deemed  necessary or
desirable  to  confirm  that all the  rights,  powers,  trusts and duties of the
retiring  Trustee with  respect to the  Debentures  as to which the  predecessor
Trustee is not retiring shall continue to be vested in the predecessor  Trustee,
and shall add to or change any of the  provisions of this  Indenture as shall be
necessary to provide for or facilitate the administration of the Trust hereunder
by more than one Trustee,  it being  understood  that nothing  herein or in such
supplemental  indenture shall  constitute such Trustees  co-trustees of the same
trust and that each such Trustee shall be Trustee of a trust or trusts hereunder
separate and apart from any trust or trusts hereunder  administered by any other
such Trustee.

         No  successor  Trustee  shall  accept  appointment  as provided in this
Section unless at the time of such  acceptance  such successor  Trustee shall be
eligible under the provisions of Section 6.8.

         In no  event  shall a  retiring  Trustee  be  liable  for  the  acts or
omissions of any successor Trustee hereunder.

         Upon  acceptance of appointment  by a successor  Trustee as provided in
this  Section  6.10,  the Company  shall mail notice of the  succession  of such
Trustee  hereunder to the holders of Debentures at their addresses as they shall
appear on the  Debenture  Register.  If the  Company  fails to mail such  notice
within 10 Business  Days after the  acceptance of  appointment  by the successor
Trustee,  the  successor  Trustee  shall  cause such  notice to be mailed at the
expense of the Company.
<PAGE>

         Section 6.11.  Succession by Merger, etc.  Any  corporation  into which
                        -------------------------
the Trustee may be merged or converted or with which it may be consolidated,  or
any corporation resulting from any merger,  conversion or consolidation to which
the  Trustee  shall  be a  party,  or  any  corporation  succeeding  to  all  or
substantially  all of the corporate trust business of the Trustee,  shall be the
successor of the Trustee  hereunder without the execution or filing of any paper
or any  further  act on the part of any of the  parties  hereto;  provided  such
                                                                  --------
corporation shall be otherwise eligible and qualified under this Article.

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

         Section 6.12.  Authenticating  Agents.  There   may   be  one  or  more
                        ----------------------
Authenticating  Agents  appointed by the Trustee upon the request of the Company
with  power  to  act  on  its  behalf  and  subject  to  its  direction  in  the
authentication  and delivery of Debentures  issued upon exchange or registration
of  transfer  thereof as fully to all  intents  and  purposes as though any such
Authenticating  Agent had been expressly  authorized to authenticate and deliver
Debentures;  provided,  however, that the Trustee shall have no liability to the
             --------   -------
Company for any acts or  omissions of the  Authenticating  Agent with respect to
the authentication  and delivery of Debentures.  Any such  Authenticating  Agent
shall at all times be a corporation  organized and doing business under the laws
of the United States or of any state or territory  thereof or of the District of
Columbia  authorized under such laws to act as  Authenticating  Agent,  having a
combined  capital and surplus of at least  $50,000,000.00  and being  subject to
supervision  or  examination  by  federal,  state,  territorial  or  District of
Columbia authority.  If such corporation publishes reports of condition at least
annually  pursuant to law or the  requirements of such  authority,  then for the
purposes  of  this  Section  6.12  the  combined  capital  and  surplus  of such
corporation  shall be deemed to be its combined capital and surplus as set forth
in its  most  recent  report  of  condition  so  published.  If at any  time  an
Authenticating  Agent  shall  cease  to  be  eligible  in  accordance  with  the
provisions of this Section,  it shall resign  immediately in the manner and with
the effect herein specified in this Section.

         Any corporation  into which any  Authenticating  Agent may be merged or
converted or with which it may be  consolidated,  or any  corporation  resulting
from any merger,  consolidation or conversion to which any Authenticating  Agent
shall be a party, or any corporation  succeeding to all or substantially  all of
the corporate trust business of any Authenticating Agent, shall be the successor
of such  Authenticating  Agent  hereunder,  if  such  successor  corporation  is
otherwise  eligible  under this Section 6.12 without the  execution or filing of
any  paper  or any  further  act on the  part  of the  parties  hereto  or  such
Authenticating Agent.

         Any  Authenticating  Agent may at any time  resign  by  giving  written
notice of resignation to the Trustee and to the Company.  The Trustee may at any
time  terminate  the  agency of any  Authenticating  Agent  with  respect to the
Debentures by giving written notice of termination to such Authenticating  Agent
and to the Company.  Upon  receiving such a notice of resignation or upon such a
termination,  or in case at any time any Authenticating  Agent shall cease to be
eligible  under this Section 6.12,  the Trustee may, and upon the request of the

<PAGE>

Company shall, promptly appoint a successor  Authenticating Agent eligible under
this Section 6.12,  shall give written notice of such appointment to the Company
and shall mail notice of such  appointment  to all holders of  Debentures as the
names and  addresses  of such  holders  appear on the  Debenture  Register.  Any
successor  Authenticating  Agent upon  acceptance of its  appointment  hereunder
shall become vested with all rights,  powers,  duties and responsibilities  with
respect to the Debentures of its predecessor  hereunder,  with like effect as if
originally named as Authenticating Agent herein.

         The Company agrees to pay to any Authenticating Agent from time to time
reasonable compensation for its services. Any Authenticating Agent shall have no
responsibility  or liability  for any action  taken by it as such in  accordance
with the directions of the Trustee.

                                  ARTICLE VII.
                         CONCERNING THE SECURITYHOLDERS
                         ------------------------------

         Section 7.1.   Action by  Securityholders.   Whenever in this Indenture
                        --------------------------
it is provided that the holders of a specified percentage in aggregate principal
amount of the Debentures may take any action (including the making of any demand
or  request,  the giving of any  notice,  consent or waiver or the taking of any
other action) the fact that at the time of taking any such action the holders of
such  specified  percentage  have  joined  therein may be  evidenced  (a) by any
instrument  or any number of  instruments  of  similar  tenor  executed  by such
Securityholders  in person or by agent or proxy appointed in writing,  or (b) by
the record of such holders of Debentures  voting in favor thereof at any meeting
of such  Securityholders  duly called and held in accordance with the provisions
of Article VIII, or (c) by a combination of such  instrument or instruments  and
any such  record of such a meeting of such  Securityholders  or (d) by any other
method the Trustee deems satisfactory.

         If the Company  shall  solicit  from the  Securityholders  any request,
demand,  authorization,  direction,  notice,  consent, waiver or other action or
revocation  of the same,  the Company  may, at its option,  as  evidenced  by an
Officers' Certificate,  fix in advance a record date for such Debentures for the
determination  of  Securityholders   entitled  to  give  such  request,  demand,
authorization,  direction, notice, consent, waiver or other action or revocation
of the same, but the Company shall have no obligation to do so. If such a record
date is fixed, such request, demand, authorization,  direction, notice, consent,
waiver or other  action or  revocation  of the same may be given before or after
the record date, but only the Securityholders of record at the close of business
on the record  date shall be deemed to be  Securityholders  for the  purposes of
determining whether  Securityholders of the requisite  proportion of outstanding
Debentures  have  authorized  or agreed or  consented to such  request,  demand,
authorization,  direction, notice, consent, waiver or other action or revocation
of the same, and for that purpose the outstanding  Debentures  shall be computed
as of the record date; provided, however, that no such authorization,  agreement
                       --------  -------
or consent by such  Securityholders on the record date shall be deemed effective
unless it shall become  effective  pursuant to the  provisions of this Indenture
not later than 6 months after the record date.

         Section 7.2.   Proof of Execution  by  Securityholders.  Subject to the
                        ---------------------------------------
provisions of Section 6.1, 6.2 and 8.5, proof of the execution of any instrument
by a  Securityholder  or his  agent or  proxy  shall  be  sufficient  if made in
accordance  with such  reasonable  rules and regulations as may be prescribed by
the  Trustee or in such  manner as shall be  satisfactory  to the  Trustee.  The
ownership  of  Debentures  shall be proved  by the  Debenture  Register  or by a
certificate of the Debenture registrar.  The Trustee may require such additional
proof of any matter referred to in this Section as it shall deem necessary.

         The  record  of any  Securityholders'  meeting  shall be  proved in the
manner provided in Section 8.6.
<PAGE>

         Section 7.3.   Who Are Deemed Absolute Owners. Prior to due presentment
                        ------------------------------
for  registration of transfer of any Debenture,  the Company,  the Trustee,  any
Authenticating  Agent,  any paying agent,  any transfer  agent and any Debenture
registrar may deem the Person in whose name such  Debenture  shall be registered
upon the Debenture  Register to be, and may treat him as, the absolute  owner of
such Debenture  (whether or not such Debenture shall be overdue) for the purpose
of receiving payment of or on account of the principal of, premium,  if any, and
interest on such Debenture and for all other  purposes;  and neither the Company
nor the  Trustee  nor any  Authenticating  Agent  nor any  paying  agent nor any
transfer  agent nor any Debenture  registrar  shall be affected by any notice to
the contrary. All such payments so made to any holder for the time being or upon
his  order  shall  be  valid,  and,  to the  extent  of the sum or sums so paid,
effectual to satisfy and discharge  the  liability  for moneys  payable upon any
such Debenture.

         Section 7.4.   Debentures  Owned by Company Deemed Not Outstanding.  In
                        ---------------------------------------------------
determining  whether the holders of the requisite  aggregate principal amount of
Debentures  have  concurred  in any  direction,  consent  or waiver  under  this
Indenture, Debentures which are owned by the Company or any other obligor on the
Debentures or by any Person directly or indirectly  controlling or controlled by
or under direct or indirect common control with the Company or any other obligor
on the Debentures  shall be disregarded and deemed not to be outstanding for the
purpose of any such determination;  provided,  however, that for the purposes of
                                    --------   -------
determining  whether  the  Trustee  shall be  protected  in  relying on any such
direction, consent or waiver, only Debentures which a Responsible Officer of the
Trustee actually knows are so owned shall be so disregarded. Debentures so owned
which have been  pledged in good faith may be  regarded as  outstanding  for the
purposes of this Section 7.4 if the pledgee shall establish to the  satisfaction
of the Trustee the pledgee's  right to vote such Debentures and that the pledgee
is not the Company or any such other  obligor or Person  directly or  indirectly
controlling or controlled by or under direct or indirect common control with the
Company or any such other  obligor.  In the case of a dispute as to such  right,
any  decision  by the  Trustee  taken upon the  advice of counsel  shall be full
protection to the Trustee.

         Section 7.5.   Revocation of Consents;  Future  Holders Bound.  At  any
                        ----------------------------------------------
time prior to (but not after) the  evidencing  to the  Trustee,  as  provided in
Section  7.1,  of the taking of any action by the holders of the  percentage  in
aggregate  principal  amount of the  Debentures  specified in this  Indenture in
connection with such action,  any holder (in cases where no record date has been
set pursuant to Section 7.1) or any holder as of an  applicable  record date (in
cases where a record date has been set  pursuant to Section  7.1) of a Debenture
(or any  Debenture  issued  in  whole  or in part in  exchange  or  substitution
therefor)  the serial number of which is shown by the evidence to be included in
the Debentures the holders of which have consented to such action may, by filing
written notice with the Trustee at the Principal  Office of the Trustee and upon
proof of holding  as  provided  in Section  7.2,  revoke  such  action so far as
concerns such Debenture (or so far as concerns the principal amount  represented
by any exchanged or substituted Debenture).  Except as aforesaid any such action
taken by the holder of any Debenture  shall be conclusive  and binding upon such
holder and upon all future  holders  and  owners of such  Debenture,  and of any
Debenture  issued in exchange or  substitution  therefor or on  registration  of
transfer thereof,  irrespective of whether or not any notation in regard thereto
is made upon such Debenture or any Debenture  issued in exchange or substitution
therefor.

                                 ARTICLE VIII.
                           SECURITYHOLDERS' MEETINGS
                           -------------------------

         Section 8.1.   Purposes of Meetings.  A  meeting of Securityholders may
                        --------------------
be called at any time and from time to time  pursuant to the  provisions of this
Article VIII for any of the following purposes:

         (a)     to give any notice to the Company or to the Trustee, or to give
any  directions  to the  Trustee,  or to consent to the  waiving of any  default
hereunder  and its  consequences,  or to take any other action  authorized to be
taken by Securityholders pursuant to any of the provisions of Article V;
<PAGE>

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

         (c)     to consent to the  execution  of  an  indenture  or  indentures
supplemental hereto pursuant to the provisions of Section 9.2; or

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

         Section 8.2.   Call of Meetings by Trustee. The Trustee may at any time
                        ---------------------------
call a meeting of  Securityholders  to take any action specified in Section 8.1,
to be held at such time and at such place as the Trustee shall determine. Notice
of every meeting of the Securityholders, setting forth the time and the place of
such  meeting  and in  general  terms the  action  proposed  to be taken at such
meeting, shall be mailed to holders of Debentures affected at their addresses as
they shall appear on the Debentures Register and, if the Company is not a holder
of Debentures,  to the Company. Such notice shall be mailed not less than 20 nor
more than 180 days prior to the date fixed for the meeting.

         Section 8.3.   Call of Meetings by Company or Securityholders.  In case
                        ----------------------------------------------
at any time the  Company  pursuant to a Board  Resolution,  or the holders of at
least 10% in aggregate  principal amount of the Debentures,  as the case may be,
then  outstanding,  shall  have  requested  the  Trustee  to call a  meeting  of
Securityholders,  by written  request  setting  forth in  reasonable  detail the
action  proposed  to be taken at the  meeting,  and the  Trustee  shall not have
mailed the notice of such meeting  within 20 days after receipt of such request,
then the Company or such  Securityholders  may  determine the time and the place
for such  meeting  and may call such  meeting to take any action  authorized  in
Section 8.1, by mailing notice thereof as provided in Section 8.2.

         Section 8.4.   Qualifications for Voting. To be entitled to vote at any
                        -------------------------
meeting  of  Securityholders  a  Person  shall  (a) be a  holder  of one or more
Debentures  with  respect  to which the  meeting  is being  held or (b) a Person
appointed by an  instrument  in writing as proxy by a holder of one or more such
Debentures.  The only Persons who shall be entitled to be present or to speak at
any meeting of  Securityholders  shall be the  Persons  entitled to vote at such
meeting and their counsel and any representatives of the Trustee and its counsel
and any representatives of the Company and its counsel.

         Section 8.5.   Regulations.  Notwithstanding  any  other  provisions of
                        -----------
this Indenture,  the Trustee may make such reasonable regulations as it may deem
advisable for any meeting of Securityholders,  in regard to proof of the holding
of  Debentures  and  of  the  appointment  of  proxies,  and  in  regard  to the
appointment and duties of inspectors of votes, the submission and examination of
proxies,  certificates  and other  evidence of the right to vote, and such other
matters concerning the conduct of the meeting as it shall think fit.

         The Trustee  shall,  by an instrument  in writing,  appoint a temporary
chairman  of the  meeting,  unless the  meeting  shall  have been  called by the
Company or by  Securityholders  as  provided  in Section  8.3, in which case the
Company or the Securityholders calling the meeting, as the case may be, shall in
like manner appoint a temporary  chairman.  A permanent chairman and a permanent
secretary of the meeting shall be elected by majority vote of the meeting.

         Subject to the provisions of Section 7.4, at any meeting each holder of
Debentures  with respect to which such  meeting is being held or proxy  therefor
shall be entitled to one vote for each $1,000.00  principal amount of Debentures
held or represented  by him;  provided,  however,  that no vote shall be cast or
                              --------   -------
counted at any meeting in respect of any Debenture challenged as not outstanding
and ruled by the chairman of the meeting to be not outstanding.  The chairman of
the meeting shall have no right to vote other than by virtue of Debentures  held

<PAGE>

by him or instruments in writing as aforesaid duly designating him as the Person
to vote on behalf of other Securityholders.  Any meeting of Securityholders duly
called  pursuant to the  provisions of Section 8.2 or 8.3 may be adjourned  from
time to time by a  majority  of those  present,  whether or not  constituting  a
quorum, and the meeting may be held as so adjourned without further notice.

         Section  8.6.  Voting.  The vote upon any  resolution  submitted to any
                        ------
meeting of holders of  Debentures  with  respect to which such  meeting is being
held shall be by written  ballots on which shall be subscribed the signatures of
such  holders  or of their  representatives  by proxy and the  serial  number or
numbers of the Debentures held or represented by them. The permanent chairman of
the meeting shall appoint two inspectors of votes who shall count all votes cast
at the meeting for or against  any  resolution  and who shall make and file with
the secretary of the meeting their verified written reports in triplicate of all
votes cast at the  meeting.  A record in duplicate  of the  proceedings  of each
meeting of Securityholders shall be prepared by the secretary of the meeting and
there shall be attached to said record the original reports of the inspectors of
votes on any vote by ballot taken thereat and  affidavits by one or more Persons
having  knowledge of the facts setting forth a copy of the notice of the meeting
and showing  that said notice was mailed as provided in Section  8.2. The record
shall show the serial  numbers of the  Debentures  voting in favor of or against
any resolution. The record shall be signed and verified by the affidavits of the
permanent  chairman and secretary of the meeting and one of the duplicates shall
be  delivered to the Company and the other to the Trustee to be preserved by the
Trustee, the latter to have attached thereto the ballots voted at the meeting.

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

         Section 8.7.   Quorum; Actions. The Persons entitled to vote a majority
                        ---------------
in principal amount of the Debentures then outstanding shall constitute a quorum
for a meeting of Securityholders; provided, however, that if any action is to be
                                  --------  -------
taken at such  meeting  with  respect to a  consent,  waiver,  request,  demand,
notice,  authorization,  direction  or other  action  which  may be given by the
holders  of not less than a  specified  percentage  in  principal  amount of the
Debentures then outstanding,  the Persons holding or representing such specified
percentage  in  principal   amount  of  the  Debentures  then  outstanding  will
constitute  a quorum.  In the absence of a quorum  within 30 minutes of the time
appointed for any such meeting, the meeting shall, if convened at the request of
Securityholders,  be  dissolved.  In any other case the meeting may be adjourned
for a period of not less than 10 days as determined by the permanent chairman of
the meeting prior to the adjournment of such meeting. In the absence of a quorum
at any such adjourned  meeting,  such adjourned meeting may be further adjourned
for a period of not less than 10 days as determined by the permanent chairman of
the meeting prior to the  adjournment of such adjourned  meeting.  Notice of the
reconvening of any adjourned  meeting shall be given as provided in Section 8.2,
except  that such  notice  need be given only once not less than 5 days prior to
the date on which the  meeting  is  scheduled  to be  reconvened.  Notice of the
reconvening of an adjourned  meeting shall state  expressly the  percentage,  as
provided above, of the principal amount of the Debentures then outstanding which
shall constitute a quorum.

         Except as limited by the  provisos  in the first  paragraph  of Section
9.2, any resolution  presented to a meeting or adjourned meeting duly reconvened
at which a quorum is present as aforesaid may be adopted by the affirmative vote
of the  holders  of a  majority  in  principal  amount  of the  Debentures  then
outstanding;  provided,  however, that, except as limited by the provisos in the
              --------   -------
first  paragraph  of Section 9.2,  any  resolution  with respect to any consent,
waiver, request, demand, notice, authorization,  direction or other action which
this Indenture expressly provides may be given by the holders of not less than a
specified  percentage in principal amount of the Debentures then outstanding may
be adopted at a meeting or an adjourned  meeting duly  reconvened and at which a
quorum is present as aforesaid only by the affirmative  vote of the holders of a
not less than such  specified  percentage in principal  amount of the Debentures
then outstanding.
<PAGE>

         Any resolution passed or decision taken at any meeting of holders of
Debentures duly held in accordance with this Section shall be binding on all the
Securityholders, whether or not present or represented at the meeting.

                                  ARTICLE IX.
                            SUPPLEMENTAL INDENTURES
                            -----------------------

         Section 9.1.   Supplemental    Indentures     without     Consent    of
                        --------------------------------------------------------
Securityholders.  The Company,  when authorized by a Board  Resolution,  and the
---------------
Trustee  may from  time to time  and at any  time  enter  into an  indenture  or
indentures supplemental hereto, without the consent of the Securityholders,  for
one or more of the following purposes:

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

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

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

         (d)     to add  to, delete from, or revise  the  terms  of  Debentures,
including,  without  limitation,  any terms relating to the issuance,  exchange,
registration  or  transfer of  Debentures,  including  to provide  for  transfer
procedures and  restrictions  substantially  similar to those  applicable to the
Capital  Securities as required by Section 2.5 (for purposes of assuring that no
registration  of Debentures is required  under the  Securities  Act);  provided,
                                                                       --------
however,  that any such action shall not  adversely  affect the interests of the
-------
holders of the Debentures then outstanding (it being understood, for purposes of
this proviso, that transfer restrictions on Debentures  substantially similar to
those  that  were  applicable  to  Capital  Securities  shall  not be  deemed to
materially adversely affect the holders of the Debentures);

         (e)     to  evidence  and  provide  for  the  acceptance of appointment
hereunder by a successor Trustee with respect to the Debentures and to add to or
change any of the  provisions of this Indenture as shall be necessary to provide
for or facilitate the  administration  of the trusts  hereunder by more than one
Trustee;

         (f)     to make any change (other  than as elsewhere  provided  in this
paragraph) that does not adversely  affect the rights of any  Securityholder  in
any material respect; or
<PAGE>

         (g)     to provide for the issuance of and establish the form and terms
and conditions of the  Debentures,  to establish the form of any  certifications
required  to be  furnished  pursuant  to the  terms  of  this  Indenture  or the
Debentures, or to add to the rights of the holders of Debentures.

         The  Trustee  is  hereby  authorized  to join with the  Company  in the
execution of any such supplemental  indenture,  to make any further  appropriate
agreements  and  stipulations  which may be therein  contained and to accept the
conveyance,  transfer and assignment of any property thereunder, but the Trustee
shall  not be  obligated  to,  but may in its  discretion,  enter  into any such
supplemental  indenture  which  affects  the  Trustee's  own  rights,  duties or
immunities under this Indenture or otherwise.

         Any supplemental indenture authorized by the provisions of this Section
9.1 may be executed  by the  Company and the Trustee  without the consent of the
holders of any of the Debentures at the time outstanding, notwithstanding any of
the provisions of Section 9.2.

         Section 9.2.   Supplemental Indentures with Consent of Securityholders.
                        -------------------------------------------------------
With the consent  (evidenced  as provided in Section  7.1) of the holders of not
less than a majority in aggregate principal amount of the Debentures at the time
outstanding  affected by such supplemental  indenture  (voting as a class),  the
Company, when authorized by a Board Resolution, and the Trustee may from time to
time and at any time enter into an indenture or indentures  supplemental  hereto
for the  purpose  of adding  any  provisions  to or  changing  in any  manner or
eliminating  any of the  provisions  of this  Indenture  or of any  supplemental
indenture  or of  modifying  in any  manner  the  rights of the  holders  of the
Debentures; provided, however, that no such supplemental indenture shall without
            --------  -------
the consent of the  holders of each  Debenture  then  outstanding  and  affected
thereby (i) change the fixed maturity of any Debenture,  or reduce the principal
amount thereof or any premium thereon,  or reduce the rate or extend the time of
payment of interest thereon,  or reduce any amount payable on redemption thereof
or make the principal  thereof or any interest or premium thereon payable in any
coin or currency other than that provided in the Debentures, or impair or affect
the right of any  Securityholder to institute suit for payment thereof or impair
the right of repayment,  if any, at the option of the holder, or (ii) reduce the
aforesaid  percentage of Debentures the holders of which are required to consent
to any such  supplemental  indenture;  provided  further,  however,  that if the
                                       --------  -------   -------
Debentures  are held by a trust or a trustee of such  trust,  such  supplemental
indenture  shall not be effective until the holders of a majority in Liquidation
Amount of Trust Securities shall have consented to such supplemental  indenture;
provided  further,  however,  that if the consent of the  Securityholder of each
--------  -------   -------
outstanding  Debenture is required,  such  supplemental  indenture  shall not be
effective until each holder of the Trust Securities shall have consented to such
supplemental indenture.

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

         Promptly  after the  execution  by the  Company  and the Trustee of any
supplemental  indenture pursuant to the provisions of this Section,  the Trustee
shall transmit by mail, first class postage prepaid,  a notice,  prepared by the
Company,  setting  forth in general  terms the  substance  of such  supplemental
indenture,  to the  Securityholders as their names and addresses appear upon the
Debenture  Register.  Any  failure of the  Trustee to mail such  notice,  or any
defect therein,  shall not, however, in any way impair or affect the validity of
any such supplemental indenture.

         It shall not be necessary for the consent of the Securityholders  under
this Section 9.2 to approve the  particular  form of any  proposed  supplemental
indenture,  but it  shall  be  sufficient  if such  consent  shall  approve  the
substance thereof.
<PAGE>

         Section 9.3.   Effect of Supplemental Indentures.  Upon  the  execution
                        ---------------------------------
of any  supplemental  indenture  pursuant to the  provisions of this Article IX,
this  Indenture  shall be and be deemed to be modified and amended in accordance
therewith and the respective rights, limitations of rights, obligations,  duties
and immunities under this Indenture of the Trustee,  the Company and the holders
of Debentures shall thereafter be determined,  exercised and enforced  hereunder
subject in all respects to such  modifications  and amendments and all the terms
and conditions of any such  supplemental  indenture shall be and be deemed to be
part of the terms and conditions of this Indenture for any and all purposes.

         Section 9.4.   Notation on  Debentures.  Debentures  authenticated  and
                        -----------------------
delivered  after the  execution of any  supplemental  indenture  pursuant to the
provisions of this Article IX may bear a notation as to any matter  provided for
in  such  supplemental  indenture.  If the  Company  or  the  Trustee  shall  so
determine, new Debentures so modified as to conform, in the opinion of the Board
of Directors of the Company,  to any modification of this Indenture contained in
any such  supplemental  indenture  may be prepared  and executed by the Company,
authenticated  by the  Trustee  or the  Authenticating  Agent and  delivered  in
exchange for the Debentures then outstanding.

         Section 9.5.   Evidence of Compliance of  Supplemental  Indenture to be
                        --------------------------------------------------------
Furnished to Trustee. The Trustee, subject to the provisions of Sections 6.1 and
--------------------
6.2,  shall, in addition to the documents  required by Section 14.6,  receive an
Officers'  Certificate and an Opinion of Counsel as conclusive evidence that any
supplemental  indenture  executed pursuant hereto complies with the requirements
of this  Article  IX.  The  Trustee  shall  receive  an  Opinion  of  Counsel as
conclusive  evidence that any supplemental  indenture  executed pursuant to this
Article IX is  authorized  or  permitted  by, and conforms to, the terms of this
Article IX and that it is proper for the Trustee  under the  provisions  of this
Article IX to join in the execution thereof.

                                   ARTICLE X.
                            REDEMPTION OF SECURITIES
                            ------------------------

         Section 10.1.  Optional  Redemption.  The  Company shall have the right
                        --------------------
(subject to the receipt by the Company of prior approval (i) if the Company is a
bank  holding  company,  from  the  Federal  Reserve,  if  then  required  under
applicable  capital guidelines or policies of the Federal Reserve or (ii) if the
Company is a savings and loan holding  company,  from the OTS, if then  required
under  applicable  capital  guidelines  or  policies  of the OTS) to redeem  the
Debentures,  in whole or in part,  but in all cases in a  principal  amount with
integral  multiples of $1,000.00,  on any Interest  Payment Date on or after the
Interest  Payment Date in June 2011 (the "Redemption  Date"),  at the Redemption
                                          ----------------
Price.

         Section 10.2.  Special Event Redemption. If a Special Event shall occur
                        ------------------------
and be  continuing,  the Company shall have the right (subject to the receipt by
the Company of prior approval (i) if the Company is a bank holding company, from
the Federal  Reserve,  if then required under applicable  capital  guidelines or
policies  of the  Federal  Reserve or (ii) if the  Company is a savings and loan
holding  company,  from the  OTS,  if then  required  under  applicable  capital
guidelines or policies of the OTS) to redeem the Debentures in whole, but not in
part, at any Interest Payment Date,  within 120 days following the occurrence of
such Special Event (the  "Special  Redemption  Date") at the Special  Redemption
                          -------------------------
Price.

         Section 10.3.  Notice of Redemption;  Selection of Debentures.  In case
                        ----------------------------------------------
the Company  shall  desire to exercise  the right to redeem all, or, as the case
may be, any part of the Debentures, it shall cause to be mailed a notice of such
redemption at least 30 and not more than 60 days prior to the Redemption Date or
the Special  Redemption Date to the holders of Debentures so to be redeemed as a
whole or in part at their last  addresses  as the same  appear on the  Debenture
Register. Such mailing shall be by first class mail. The notice if mailed in the
manner herein provided shall be  conclusively  presumed to have been duly given,
whether or not the holder  receives  such notice.  In any case,  failure to give

<PAGE>

such  notice by mail or any defect in the notice to the holder of any  Debenture
designated for redemption as a whole or in part shall not affect the validity of
the proceedings for the redemption of any other Debenture.

         Each such notice of redemption shall specify the CUSIP number,  if any,
of the Debentures to be redeemed,  the Redemption Date or the Special Redemption
Date, as applicable,  the Redemption Price or the Special  Redemption  Price, as
applicable,  at which  Debentures  are to be  redeemed,  the  place or places of
payment,  that  payment  will be made upon  presentation  and  surrender of such
Debentures,  that interest accrued to the date fixed for redemption will be paid
as specified in said notice, and that on and after said date interest thereon or
on the portions  thereof to be redeemed  will cease to accrue.  If less than all
the  Debentures  are to be redeemed the notice of  redemption  shall specify the
numbers of the  Debentures  to be  redeemed.  In case the  Debentures  are to be
redeemed in part only,  the notice of redemption  shall state the portion of the
principal  amount  thereof to be redeemed  and shall state that on and after the
date fixed for redemption,  upon surrender of such Debenture, a new Debenture or
Debentures in principal  amount equal to the unredeemed  portion thereof will be
issued.

         Prior to  10:00  a.m.  New York  City  time on the  Redemption  Date or
Special  Redemption  Date,  as  applicable,  the Company  will  deposit with the
Trustee  or with one or more  paying  agents an amount  of money  sufficient  to
redeem on the Redemption Date or the Special Redemption Date, as applicable, all
the Debentures so called for redemption at the appropriate  Redemption  Price or
Special Redemption Price.

         If all,  or less than  all,  the  Debentures  are to be  redeemed,  the
Company  will give the  Trustee  notice  not less than 45 nor more than 60 days,
respectively,  prior to the  Redemption  Date or  Special  Redemption  Date,  as
applicable,  as to the aggregate  principal  amount of Debentures to be redeemed
and the Trustee shall select,  in such manner as in its sole discretion it shall
deem  appropriate  and fair,  the  Debentures  or portions  thereof (in integral
multiples of $1,000.00) to be redeemed.

         Section 10.4.  Payment of Debentures Called for Redemption.  If  notice
                        -------------------------------------------
of  redemption  has been given as provided in Section  10.3,  the  Debentures or
portions of  Debentures  with  respect to which such notice has been given shall
become due and payable on the  Redemption  Date or Special  Redemption  Date, as
applicable,  and at the place or places stated in such notice at the  applicable
Redemption Price or Special  Redemption Price and on and after said date (unless
the Company  shall default in the payment of such  Debentures at the  Redemption
Price or Special Redemption Price, as applicable)  interest on the Debentures or
portions  of  Debentures  so called for  redemption  shall  cease to accrue.  On
presentation and surrender of such Debentures at a place of payment specified in
said notice, such Debentures or the specified portions thereof shall be paid and
redeemed by the Company at the applicable Redemption Price or Special Redemption
Price.

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

                                  ARTICLE XI.
                CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE
                -------------------------------------------------

         Section 11.1.  Company May Consolidate, etc., on Certain Terms. Nothing
                        -----------------------------------------------
contained in this Indenture or in the Debentures shall prevent any consolidation
or  merger  of the  Company  with or  into  any  other  Person  (whether  or not
affiliated  with the Company) or successive  consolidations  or mergers in which
the Company or its successor or successors shall be a party or parties, or shall
prevent any sale,  conveyance,  transfer or other disposition of the property of
the Company or its successor or successors as an entirety,  or  substantially as
an entirety, to any other Person (whether or not affiliated with the Company, or

<PAGE>

its  successor  or  successors)  authorized  to acquire  and  operate  the same;
provided,  however,  that the Company hereby covenants and agrees that, upon any
--------   -------
such consolidation, merger (where the Company is not the surviving corporation),
sale, conveyance, transfer or other disposition, the due and punctual payment of
the principal of (and premium,  if any) and interest on all of the Debentures in
accordance with their terms,  according to their tenor, and the due and punctual
performance and observance of all the covenants and conditions of this Indenture
to be  kept  or  performed  by  the  Company,  shall  be  expressly  assumed  by
supplemental  indenture  satisfactory  in  form  to  the  Trustee  executed  and
delivered  to the Trustee by the entity  formed by such  consolidation,  or into
which the  Company  shall have been  merged,  or by the entity  which shall have
acquired such property.

         Section 11.2.  Successor Entity to be Substituted.  In case of any such
                        ----------------------------------
consolidation,  merger, sale, conveyance, transfer or other disposition and upon
the assumption by the successor entity, by supplemental indenture,  executed and
delivered to the Trustee and satisfactory in form to the Trustee, of the due and
punctual payment of the principal of and premium, if any, and interest on all of
the Debentures and the due and punctual performance and observance of all of the
covenants and  conditions  of this  Indenture to be performed or observed by the
Company,  such  successor  entity shall  succeed to and be  substituted  for the
Company, with the same effect as if it had been named herein as the Company, and
thereupon the predecessor  entity shall be relieved of any further  liability or
obligation hereunder or upon the Debentures. Such successor entity thereupon may
cause to be signed,  and may issue in its own name, any or all of the Debentures
issuable  hereunder which  theretofore shall not have been signed by the Company
and delivered to the Trustee or the Authenticating Agent; and, upon the order of
such  successor  entity  instead of the  Company  and  subject to all the terms,
conditions  and  limitations in this  Indenture  prescribed,  the Trustee or the
Authenticating  Agent  shall  authenticate  and  deliver  any  Debentures  which
previously  shall have been signed and delivered by the officers of the Company,
to  the  Trustee  or  the  Authenticating  Agent  for  authentication,  and  any
Debentures which such successor  entity  thereafter shall cause to be signed and
delivered to the Trustee or the Authenticating  Agent for that purpose.  All the
Debentures  so issued shall in all respects have the same legal rank and benefit
under this  Indenture as the  Debentures  theretofore  or  thereafter  issued in
accordance with the terms of this Indenture as though all of such Debentures had
been issued at the date of the execution hereof.

         Section 11.3.  Opinion of Counsel to be Given to Trustee.  The Trustee,
                        -----------------------------------------
subject to the provisions of Sections 6.1 and 6.2, shall receive, in addition to
the  Opinion  of  Counsel  required  by  Section  9.5,  an Opinion of Counsel as
conclusive evidence that any consolidation,  merger, sale, conveyance,  transfer
or other disposition, and any assumption,  permitted or required by the terms of
this Article XI complies with the provisions of this Article XI.

                                  ARTICLE XII.
                     SATISFACTION AND DISCHARGE OF INDENTURE
                     ---------------------------------------

         Section 12.1.  Discharge of Indenture. When
                        ----------------------
         (a)     the  Company  shall deliver to the Trustee for cancellation all
                 Debentures theretofore authenticated (other than any Debentures
                 which shall have been destroyed, lost or stolen and which shall
                 have been replaced or paid as provided in Section  2.6) and not
                 theretofore canceled, or

         (b)     all the Debentures not theretofore canceled or delivered to the
                 Trustee for cancellation shall have become due and payable,  or
                 are by their terms to become due and  payable  within 1 year or
                 are   to   be   called  for  redemption  within  1  year  under
                 arrangements  satisfactory  to  the  Trustee for  the giving of
                 notice of redemption,  and the Company  shall deposit with  the
                 Trustee, in trust, funds,  which shall be  immediately  due and
                 payable, sufficient  to pay at maturity or upon redemption  all
                 of the  Debentures (other  than any Debentures which shall have

<PAGE>

                 been destroyed,  lost  or stolen  and  which  shall  have  been
                 replaced  or  paid as provided in Section 2.6) not  theretofore
                 canceled   or   delivered  to  the  Trustee  for  cancellation,
                 including principal and premium, if any, and interest due or to
                 become due to such  date of  maturity  or  redemption  date, as
                 the case may be,  but  excluding,  however,  the amount of  any
                 moneys for the payment of principal of, and  premium,  if  any,
                 or interest on the  Debentures  (1)  theretofore  repaid to the
                 Company in accordance with the  provisions of Section 12.4,  or
                 (2) paid to any state or to the District of  Columbia  pursuant
                 to its unclaimed property or similar laws,

and if in the case of either clause (a) or clause (b) the Company shall also pay
or cause to be paid all other sums payable  hereunder by the Company,  then this
Indenture  shall  cease to be of further  effect  except for the  provisions  of
Sections  2.5,  2.6,  2.8,  3.1,  3.2,  3.4, 6.6, 6.8, 6.9 and 12.4 hereof shall
survive until such Debentures shall mature and be paid. Thereafter, Sections 6.6
and 12.4 shall survive, and the Trustee, on demand of the Company accompanied by
an  Officers'  Certificate  and an Opinion of  Counsel,  each  stating  that all
conditions  precedent  herein  provided  for  relating to the  satisfaction  and
discharge of this Indenture have been complied with, and at the cost and expense
of the Company, shall execute proper instruments  acknowledging  satisfaction of
and discharging this Indenture.  The Company agrees to reimburse the Trustee for
any costs or expenses thereafter reasonably and properly incurred by the Trustee
in connection with this Indenture or the Debentures.

         Section 12.2.  Deposited Moneys to be Held in Trust by Trustee. Subject
                        -----------------------------------------------
to the  provisions  of Section  12.4,  all  moneys  deposited  with the  Trustee
pursuant  to  Section  12.1  shall be held in trust  in a  non-interest  bearing
account and applied by it to the payment,  either directly or through any paying
agent (including the Company if acting as its own paying agent),  to the holders
of the  particular  Debentures  for the  payment of which such  moneys have been
deposited  with the  Trustee,  of all sums due and to  become  due  thereon  for
principal, and premium, if any, and interest.

         Section 12.3.  Paying Agent to Repay Moneys Held. Upon the satisfaction
                        ---------------------------------
and discharge of this  Indenture all moneys then held by any paying agent of the
Debentures (other than the Trustee) shall, upon demand of the Company, be repaid
to it or paid to the Trustee,  and thereupon such paying agent shall be released
from all further liability with respect to such moneys.

         Section 12.4.  Return of Unclaimed Moneys. Any moneys deposited with or
                        --------------------------
paid to the  Trustee or any paying  agent for payment of the  principal  of, and
premium,  if any,  or  interest on  Debentures  and not  applied  but  remaining
unclaimed by the holders of Debentures for 2 years after the date upon which the
principal of, and premium,  if any, or interest on such Debentures,  as the case
may be,  shall  have  become  due and  payable,  shall,  subject  to  applicable
escheatment  laws,  be repaid to the Company by the Trustee or such paying agent
on written demand; and the holder of any of the Debentures shall thereafter look
only to the  Company  for any  payment  which  such  holder may be  entitled  to
collect,  and all  liability of the Trustee or such paying agent with respect to
such moneys shall thereupon cease.

                                 ARTICLE XIII.
                    IMMUNITY OF INCORPORATORS, STOCKHOLDERS,
                    ----------------------------------------
                             OFFICERS AND DIRECTORS
                             ----------------------

         Section 13.1.  Indenture  and  Debentures Solely Corporate Obligations.
                        -------------------------------------------------------
No recourse for the payment of the principal of or premium,  if any, or interest
on any  Debenture,  or for any claim  based  thereon  or  otherwise  in  respect
thereof, and no recourse under or upon any obligation,  covenant or agreement of
the Company in this Indenture or in any supplemental  indenture,  or in any such
Debenture,  or because of the creation of any indebtedness  represented thereby,
shall  be had  against  any  incorporator,  stockholder,  employee,  officer  or
director,  as such, past,  present or future, of the Company or of any successor
Person of the Company,  either  directly or through the Company or any successor

<PAGE>

Person of the Company, whether by virtue of any constitution, statute or rule of
law, or by the  enforcement of any assessment or penalty or otherwise,  it being
expressly  understood  that all such  liability is hereby  expressly  waived and
released as a condition  of, and as a  consideration  for, the execution of this
Indenture and the issue of the Debentures.

                                  ARTICLE XIV.
                            MISCELLANEOUS PROVISIONS
                            ------------------------

         Section 14.1.  Successors.  All  the  covenants, stipulations, promises
                        ----------
and  agreements of the Company in this  Indenture  shall bind its successors and
assigns whether so expressed or not.

         Section 14.2.  Official Acts by Successor Entity. Any act or proceeding
                        ---------------------------------
by any  provision  of  this  Indenture  authorized  or  required  to be  done or
performed  by any board,  committee  or officer of the Company  shall and may be
done and  performed  with like  force and effect by the like  board,  committee,
officer or other  authorized  Person of any entity that shall at the time be the
lawful successor of the Company.

         Section 14.3.  Surrender of Company Powers. The  Company  by instrument
                        ---------------------------
in writing  executed by authority of at least 2/3  (two-thirds)  of its Board of
Directors and delivered to the Trustee may surrender any of the powers  reserved
to the Company and thereupon such power so surrendered  shall  terminate both as
to the Company, and as to any permitted successor.

         Section 14.4.  Addresses  for  Notices,  etc.  Any  notice,    consent,
                        -----------------------------
direction,  request,  authorization,  waiver or demand which by any provision of
this Indenture is required or permitted to be given,  made,  furnished or served
by the  Trustee or by the  Securityholders  on or to the Company may be given or
served in writing by being deposited  postage prepaid by registered or certified
mail in a post office letter box addressed  (until  another  address is filed by
the  Company,  with the Trustee for the  purpose) to the  Company,  600 James S.
McDonnell  Boulevard,  Mail  Stop  -  M1-199-014,   Hazelwood,  Missouri  63042,
Attention:  Lisa  K.  Vansickle.  Any  notice,  consent,   direction,   request,
authorization,  waiver or demand by any Securityholder or the Company to or upon
the Trustee  shall be deemed to have been  sufficiently  given or made,  for all
purposes, if given or made in writing at the office of the Trustee, addressed to
the Trustee, Rodney Square North, 1100 North Market Street, Wilmington, Delaware
19890-1600,  Attention:  Corporate Trust  Administration.  Any notice,  consent,
direction, request, authorization,  waiver or demand on or to any Securityholder
shall be deemed to have been  sufficiently  given or made, for all purposes,  if
given or made in writing at the address set forth in the Debenture Register.

         Section 14.5.  Governing Law.  This  Indenture and each Debenture shall
                        -------------
be deemed to be a contract made under the law of the State of New York,  and for
all purposes  shall be governed by and construed in  accordance  with the law of
said State, without regard to conflict of laws principles thereof.

         Section 14.6.  Evidence of Compliance with Conditions  Precedent.  Upon
                        -------------------------------------------------
any application or demand by the Company to the Trustee to take any action under
any of the  provisions  of this  Indenture,  the  Company  shall  furnish to the
Trustee an Officers'  Certificate stating that in the opinion of the signers all
conditions  precedent,  if any,  provided for in this Indenture  relating to the
proposed  action have been complied with and an Opinion of Counsel stating that,
in the opinion of such counsel, all such conditions precedent have been complied
with.

         Each  certificate  or  opinion  provided  for  in  this  Indenture  and
delivered to the Trustee with respect to compliance with a condition or covenant
provided for in this  Indenture  shall  include (1) a statement  that the person
making such  certificate  or opinion has read such covenant or condition;  (2) a
brief statement as to the nature and scope of the  examination or  investigation

<PAGE>

upon which the statements or opinions  contained in such  certificate or opinion
are based; (3) a statement that, in the opinion of such person, he has made such
examination  or  investigation  as is  necessary  to enable  him to  express  an
informed  opinion as to  whether  or not such  covenant  or  condition  has been
complied  with;  and (4) a statement as to whether or not in the opinion of such
person, such condition or covenant has been complied with.

         Section 14.7.  Table of Contents,  Headings, etc. The table of contents
                        ---------------------------------
and the titles and headings of the articles and sections of this  Indenture have
been inserted for convenience of reference only, are not to be considered a part
hereof,  and shall in no way modify or restrict  any of the terms or  provisions
hereof.

         Section 14.8.  Execution  in  Counterparts.  This  Indenture   may   be
                        ---------------------------
executed in any number of counterparts,  each of which shall be an original, but
such counterparts shall together constitute but one and the same instrument.

         Section 14.9.  Separability.  In case any one or more of the provisions
                        ------------
contained in this Indenture or in the Debentures shall for any reason be held to
be invalid, illegal or unenforceable in any respect, such invalidity, illegality
or  unenforceability  shall not affect any other provisions of this Indenture or
of such Debentures, but this Indenture and such Debentures shall be construed as
if such invalid or illegal or  unenforceable  provision had never been contained
herein or therein.

         Section 14.10. Assignment. The Company will have the right at all times
                        ----------
to assign any of its rights or  obligations  under this Indenture to a direct or
indirect wholly owned Subsidiary of the Company,  provided that, in the event of
any such  assignment,  the Company will remain liable for all such  obligations.
Subject to the  foregoing,  this  Indenture  is  binding  upon and inures to the
benefit of the parties hereto and their respective  successors and assigns. This
Indenture may not otherwise be assigned by the parties hereto.

         Section 14.11. Acknowledgment of Rights. The  Company agrees that, with
                        ------------------------
respect to any Debentures held by the Trust or the Institutional  Trustee of the
Trust,  if the  Institutional  Trustee of the Trust  fails to enforce its rights
under  this  Indenture  as the holder of  Debentures  held as the assets of such
Trust  after the  holders of a majority  in  Liquidation  Amount of the  Capital
Securities of such Trust have so directed such  Institutional  Trustee, a holder
of record of such Capital  Securities  may, to the fullest  extent  permitted by
law,  institute legal  proceedings  directly against the Company to enforce such
Institutional  Trustee's rights under this Indenture  without first  instituting
any legal proceedings against such trustee or any other Person.  Notwithstanding
the  foregoing,  if an Event of Default has occurred and is continuing  and such
event is attributable to the failure of the Company to pay interest (or premium,
if any) or principal on the Debentures on the date such interest (or premium, if
any) or  principal is otherwise  payable (or in the case of  redemption,  on the
redemption  date),  the  Company  agrees  that a holder  of  record  of  Capital
Securities of the Trust may directly  institute a proceeding against the Company
for  enforcement  of payment to such  holder  directly of the  principal  of (or
premium,  if any) or interest on the  Debentures  having an aggregate  principal
amount equal to the aggregate  Liquidation  Amount of the Capital  Securities of
such holder on or after the respective due date specified in the Debentures.

                                  ARTICLE XV.
                           SUBORDINATION OF DEBENTURES
                           ---------------------------

         Section 15.1.  Agreement to  Subordinate.  The Company  covenants   and
                        -------------------------
agrees,  and each  holder  of  Debentures  by such  Securityholder's  acceptance
thereof  likewise  covenants  and agrees,  that all  Debentures  shall be issued
subject to the  provisions  of this  Article XV; and each holder of a Debenture,
whether upon original issue or upon transfer or assignment thereof,  accepts and
agrees to be bound by such provisions.
<PAGE>

         The payment by the Company of the  principal  of, and premium,  if any,
and  interest  on all  Debentures  shall,  to  the  extent  and  in  the  manner
hereinafter  set forth,  be  subordinated  and junior in right of payment to the
prior  payment  in full  of all  Senior  Indebtedness  of the  Company,  whether
outstanding  at the date of this  Indenture or  thereafter  incurred;  provided,
                                                                       --------
however,  that the Debentures shall rank pari passu in right of payment with (1)
-------
the Company's Floating Rate Junior  Subordinated  Deferrable Interest Debentures
due April 2032  issued  pursuant to an  Indenture  dated as of April 2002 by and
between the Company and State Street Bank and Trust of Connecticut N.A., (2) the
Company's Floating Rate Junior  Subordinated  Deferrable Interest Debentures due
September  20, 2034 issued  pursuant to an Indenture  dated as of September  20,
2004 by and between the Company and Wilmington Trust Company,  (3) the Company's
Floating Rate Junior  Subordinated  Deferrable  Interest Debentures due December
15, 2034 issued  pursuant to an  Indenture  dated as of November 23, 2004 by and
between the Company and  Wilmington  Trust Company,  (4) the Company's  Floating
Rate  Junior  Subordinated  Deferrable  Interest  Debentures  due March 15, 2036
issued  pursuant  to an  Indenture  dated as of March 1, 2006 by and between the
Company and Wilmington Trust Company.

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

         Section 15.2.  Default on Senior Indebtedness.  In the event and during
                        ------------------------------
the  continuation  of any default by the  Company in the  payment of  principal,
premium,  interest or any other  payment due on any Senior  Indebtedness  of the
Company  following  any grace  period,  or in the event that the maturity of any
Senior Indebtedness of the Company has been accelerated because of a default and
such   acceleration   has  not  been  rescinded  or  canceled  and  such  Senior
Indebtedness  has not been paid in full,  then, in either case, no payment shall
be made by the Company with respect to the principal (including  redemption) of,
or premium, if any, or interest on the Debentures.

         In the event that,  notwithstanding the foregoing, any payment shall be
received  by the  Trustee  when such  payment  is  prohibited  by the  preceding
paragraph of this Section 15.2, such payment shall,  subject to Section 15.7, be
held in trust for the  benefit of, and shall be paid over or  delivered  to, the
holders of Senior  Indebtedness or their respective  representatives,  or to the
trustee or  trustees  under any  indenture  pursuant to which any of such Senior
Indebtedness may have been issued, as their respective interests may appear, but
only to the  extent  that the  holders  of the  Senior  Indebtedness  (or  their
representative  or  representatives  or a trustee) notify the Trustee in writing
within 90 days of such  payment of the amounts  then due and owing on the Senior
Indebtedness and only the amounts  specified in such notice to the Trustee shall
be paid to the holders of Senior Indebtedness.

         Section 15.3.  Liquidation, Dissolution, Bankruptcy. Upon  any  payment
                        ------------------------------------
by the  Company  or  distribution  of  assets  of the  Company  of any  kind  or
character,  whether in cash,  property  or  securities,  to  creditors  upon any
dissolution  or  winding-up or  liquidation  or  reorganization  of the Company,
whether voluntary or involuntary or in bankruptcy,  insolvency,  receivership or
other proceedings,  all amounts due upon all Senior  Indebtedness of the Company
shall  first  be paid in  full,  or  payment  thereof  provided  for in money in
accordance with its terms, before any payment is made by the Company, on account
of the principal (and premium,  if any) or interest on the Debentures.  Upon any
such dissolution or winding-up or liquidation or reorganization,  any payment by
the Company,  or distribution of assets of the Company of any kind or character,
whether in cash,  property or securities,  to which the  Securityholders  or the
Trustee would be entitled to receive from the Company, except for the provisions
of this Article XV, shall be paid by the Company, or by any receiver, trustee in
bankruptcy,  liquidating  trustee,  agent or other Person making such payment or
distribution,  or by the  Securityholders or by the Trustee under this Indenture
if received by them or it, directly to the holders of Senior  Indebtedness  (pro
rata  to  such  holders  on  the  basis  of the  respective  amounts  of  Senior
Indebtedness  held by such  holders,  as  calculated  by the  Company)  or their
representative  or  representatives,  or to the  trustee or  trustees  under any
indenture pursuant to which any instruments  evidencing such Senior Indebtedness

<PAGE>

may have been issued,  as their respective  interests may appear,  to the extent
necessary to pay such Senior  Indebtedness  in full, in money or money's  worth,
after giving  effect to any  concurrent  payment or  distribution  to or for the
holders of such Senior Indebtedness,  before any payment or distribution is made
to the Securityholders or to the Trustee.

         In the event  that,  notwithstanding  the  foregoing,  any  payment  or
distribution of assets of the Company of any kind or character, whether in cash,
property or securities,  prohibited by the  foregoing,  shall be received by the
Trustee before all Senior Indebtedness is paid in full, or provision is made for
such payment in money in accordance with its terms, such payment or distribution
shall be held in trust for the benefit of and shall be paid over or delivered to
the   holders  of  such  Senior   Indebtedness   or  their   representative   or
representatives,  or to the trustee or trustees under any indenture  pursuant to
which any instruments  evidencing such Senior Indebtedness may have been issued,
as their  respective  interests may appear,  as  calculated by the Company,  for
application to the payment of all Senior  Indebtedness,  remaining unpaid to the
extent necessary to pay such Senior  Indebtedness in full in money in accordance
with its terms, after giving effect to any concurrent payment or distribution to
or for the benefit of the holders of such Senior Indebtedness.

         For  purposes  of  this  Article  XV,  the  words  "cash,  property  or
securities"  shall not be deemed to  include  shares of stock of the  Company as
reorganized or readjusted, or securities of the Company or any other corporation
provided for by a plan of reorganization  or readjustment,  the payment of which
is  subordinated at least to the extent provided in this Article XV with respect
to the  Debentures  to the payment of all Senior  Indebtedness,  that may at the
time be  outstanding,  provided that (i) such Senior  Indebtedness is assumed by
the  new  corporation,  if  any,  resulting  from  any  such  reorganization  or
readjustment, and (ii) the rights of the holders of such Senior Indebtedness are
not,  without the consent of such  holders,  altered by such  reorganization  or
readjustment.  The  consolidation  of the  Company  with,  or the  merger of the
Company into,  another  corporation  or the  liquidation  or  dissolution of the
Company following the conveyance or transfer of its property as an entirety,  or
substantially  as an  entirety,  to  another  corporation  upon  the  terms  and
conditions  provided for in Article XI of this  Indenture  shall not be deemed a
dissolution,  winding-up, liquidation or reorganization for the purposes of this
Section  if such  other  corporation  shall,  as a part  of such  consolidation,
merger,  conveyance or transfer, comply with the conditions stated in Article XI
of this  Indenture.  Nothing in Section 15.2 or in this  Section  shall apply to
claims of, or payments to, the Trustee  under or pursuant to Section 6.6 of this
Indenture.

         Section 15.4.  Subrogation. Subject  to  the  payment  in  full  of all
                        -----------
Senior  Indebtedness,  the Securityholders  shall be subrogated to the rights of
the holders of such Senior  Indebtedness to receive payments or distributions of
cash,  property  or  securities  of  the  Company,  applicable  to  such  Senior
Indebtedness  until the principal of (and  premium,  if any) and interest on the
Debentures  shall be paid in full.  For the  purposes  of such  subrogation,  no
payments or  distributions  to the holders of such  Senior  Indebtedness  of any
cash,  property or securities to which the  Securityholders or the Trustee would
be entitled  except for the  provisions  of this Article XV, and no payment over
pursuant  to the  provisions  of this  Article  XV to or for the  benefit of the
holders of such Senior Indebtedness by Securityholders or the Trustee, shall, as
between the Company,  its creditors other than holders of Senior Indebtedness of
the  Company,  and the  holders of the  Debentures  be deemed to be a payment or
distribution by the Company to or on account of such Senior Indebtedness.  It is
understood  that the  provisions of this Article XV are and are intended  solely
for  the  purposes  of  defining  the  relative  rights  of the  holders  of the
Securities, on the one hand, and the holders of such Senior Indebtedness, on the
other hand.

         Nothing  contained in this Article XV or elsewhere in this Indenture or
in the  Debentures is intended to or shall impair,  as between the Company,  its
creditors other than the holders of Senior Indebtedness,  and the holders of the
Debentures,  the obligation of the Company, which is absolute and unconditional,
to pay to the holders of the Debentures  the principal of (and premium,  if any)
and interest on the Debentures as and when the same shall become due and payable

<PAGE>

in accordance  with their terms,  or is intended to or shall affect the relative
rights of the holders of the Debentures and creditors of the Company, other than
the holders of Senior Indebtedness, nor shall anything herein or therein prevent
the  Trustee  or the  holder  of any  Debenture  from  exercising  all  remedies
otherwise permitted by applicable law upon default under this Indenture, subject
to the  rights,  if any,  under this  Article XV of the  holders of such  Senior
Indebtedness in respect of cash, property or securities of the Company, received
upon the exercise of any such remedy.

         Upon any payment or distribution  of assets of the Company  referred to
in this Article XV, the Trustee, subject to the provisions of Article VI of this
Indenture,  and the Securityholders  shall be entitled to conclusively rely upon
any order or decree made by any court of  competent  jurisdiction  in which such
dissolution,  winding-up, liquidation or reorganization proceedings are pending,
or a certificate of the receiver,  trustee in bankruptcy,  liquidation  trustee,
agent or other  Person  making such  payment or  distribution,  delivered to the
Trustee or to the Securityholders,  for the purposes of ascertaining the Persons
entitled to participate in such distribution, the holders of Senior Indebtedness
and other  indebtedness of the Company,  the amount thereof or payable  thereon,
the amount or amounts paid or distributed  thereon and all other facts pertinent
thereto or to this Article XV.

         Section 15.5.  Trustee to Effectuate Subordination. Each Securityholder
                        -----------------------------------
by such  Securityholder's  acceptance thereof authorizes and directs the Trustee
on such  Securityholder's  behalf to take such  action  as may be  necessary  or
appropriate  to  effectuate  the  subordination  provided in this Article XV and
appoints the Trustee such Securityholder's attorney-in-fact for any and all such
purposes.

         Section 15.6.  Notice by the  Company.  The  Company  shall give prompt
                        ----------------------
written notice to a Responsible  Officer of the Trustee at the Principal  Office
of the Trustee of any fact known to the Company  that would  prohibit the making
of any  payment of monies to or by the  Trustee  in  respect  of the  Debentures
pursuant to the provisions of this Article XV. Notwithstanding the provisions of
this Article XV or any other provision of this Indenture,  the Trustee shall not
be charged with  knowledge of the existence of any facts that would prohibit the
making  of  any  payment  of  monies  to or by the  Trustee  in  respect  of the
Debentures  pursuant to the  provisions  of this Article XV,  unless and until a
Responsible  Officer of the Trustee at the Principal Office of the Trustee shall
have received  written notice thereof from the Company or a holder or holders of
Senior Indebtedness or from any trustee therefor;  and before the receipt of any
such written  notice,  the Trustee,  subject to the  provisions of Article VI of
this  Indenture,  shall be entitled in all respects to assume that no such facts
exist; provided, however, that if the Trustee shall not have received the notice
       --------  -------
provided  for in this  Section at least 2  Business  Days prior to the date upon
which  by the  terms  hereof  any  money  may  become  payable  for any  purpose
(including,  without limitation, the payment of the principal of (or premium, if
any) or interest on any  Debenture),  then,  anything  herein  contained  to the
contrary  notwithstanding,  the Trustee  shall have full power and  authority to
receive  such  money and to apply the same to the  purposes  for which they were
received,  and shall not be affected by any notice to the  contrary  that may be
received by it within 2 Business Days prior to such date.

         The Trustee, subject to the provisions of Article VI of this Indenture,
shall be entitled to conclusively rely on the delivery to it of a written notice
by a Person  representing  himself to be a holder of Senior  Indebtedness  (or a
trustee or  representative  on behalf of such  holder),  to establish  that such
notice has been given by a holder of such  Senior  Indebtedness  or a trustee or
representative  on behalf of any such holder or  holders.  In the event that the
Trustee  determines in good faith that further evidence is required with respect
to  the  right  of any  Person  as a  holder  of  such  Senior  Indebtedness  to
participate  in any payment or  distribution  pursuant  to this  Article XV, the
Trustee  may  request  such  Person  to  furnish   evidence  to  the  reasonable
satisfaction of the Trustee as to the amount of such Senior Indebtedness held by
such Person,  the extent to which such Person is entitled to participate in such
payment or  distribution  and any other  facts  pertinent  to the rights of such
Person  under this  Article  XV, and, if such  evidence  is not  furnished,  the
Trustee may defer any payment to such Person pending  judicial  determination as
to the right of such Person to receive such payment.
<PAGE>

         Section 15.7.  Rights of the Trustee;  Holders of Senior  Indebtedness.
                        -------------------------------------------------------
The Trustee in its  individual  capacity shall be entitled to all the rights set
forth in this Article XV in respect of any Senior  Indebtedness at any time held
by it,  to the same  extent as any other  holder  of  Senior  Indebtedness,  and
nothing in this Indenture shall deprive the Trustee of any of its rights as such
holder.

         With  respect  to the  holders  of  Senior  Indebtedness,  the  Trustee
undertakes to perform or to observe only such of its  covenants and  obligations
as are  specifically  set forth in this Article XV, and no implied  covenants or
obligations  with  respect to the holders of such Senior  Indebtedness  shall be
read into this Indenture against the Trustee. The Trustee shall not be deemed to
owe any fiduciary duty to the holders of such Senior  Indebtedness  and, subject
to the  provisions  of Article VI of this  Indenture,  the Trustee  shall not be
liable to any holder of such Senior Indebtedness if it shall pay over or deliver
to Securityholders, the Company or any other Person money or assets to which any
holder of such Senior  Indebtedness  shall be entitled by virtue of this Article
XV or otherwise.

         Nothing in this  Article XV shall apply to claims of, or  payments  to,
the Trustee under or pursuant to Section 6.6.

         Section 15.8.  Subordination  May Not Be  Impaired.  No  right  of  any
                        -----------------------------------
present or future holder of any Senior Indebtedness to enforce  subordination as
herein  provided  shall at any time in any way be  prejudiced or impaired by any
act or  failure to act on the part of the  Company,  or by any act or failure to
act, in good faith, by any such holder,  or by any noncompliance by the Company,
with the terms,  provisions and covenants of this  Indenture,  regardless of any
knowledge thereof that any such holder may have or otherwise be charged with.

         Without in any way limiting the generality of the foregoing  paragraph,
the  holders  of  Senior  Indebtedness  may,  at any time and from time to time,
without the consent of or notice to the Trustee or the Securityholders,  without
incurring  responsibility  to  the  Securityholders  and  without  impairing  or
releasing  the  subordination  provided  in this  Article XV or the  obligations
hereunder  of the  holders  of the  Debentures  to the  holders  of such  Senior
Indebtedness,  do any one or more of the following: (i) change the manner, place
or terms of payment or extend  the time of payment  of, or renew or alter,  such
Senior Indebtedness,  or otherwise amend or supplement in any manner such Senior
Indebtedness or any instrument  evidencing the same or any agreement under which
such  Senior  Indebtedness  is  outstanding;  (ii)  sell,  exchange,  release or
otherwise deal with any property pledged,  mortgaged or otherwise  securing such
Senior  Indebtedness;  (iii)  release  any  Person  liable in any manner for the
collection  of such  Senior  Indebtedness;  and (iv)  exercise  or refrain  from
exercising any rights against the Company, and any other Person.

                     Signatures appear on the following page

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be
duly executed by their respective officers thereunto duly authorized,  as of the
day and year first above written.

                                          FIRST BANKS, INC.

                                          By /s/ Lisa K. Vansickle
                                            ------------------------------------
                                             Name:  Lisa K. Vansickle
                                             Title: Senior Vice President

                                          WILMINGTON TRUST COMPANY, as Trustee

                                          By /s/ Christopher J. Monigle
                                            ------------------------------------
                                             Name:  Christopher J. Monigle
                                             Title: Assistant Vice President

<PAGE>

                                    EXHIBIT A

          FORM OF FLOATING RATE JUNIOR SUBORDINATED DEFERRABLE INTEREST
                                    DEBENTURE

                           [FORM OF FACE OF SECURITY]

         THIS SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED
BY THE UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED  STATES,  INCLUDING THE
FEDERAL DEPOSIT INSURANCE CORPORATION.

         THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS  AMENDED  (THE  "SECURITIES  ACT"),  ANY STATE  SECURITIES  LAWS OR ANY OTHER
APPLICABLE   SECURITIES   LAW.   NEITHER  THIS  SECURITY  NOR  ANY  INTEREST  OR
PARTICIPATION  HEREIN MAY BE REOFFERED,  SOLD, ASSIGNED,  TRANSFERRED,  PLEDGED,
ENCUMBERED  OR  OTHERWISE  DISPOSED  OF IN THE ABSENCE OF SUCH  REGISTRATION  OR
UNLESS SUCH  TRANSACTION  IS EXEMPT  FROM,  OR NOT SUBJECT TO, THE  REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS. THE
HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  AGREES  TO OFFER,  SELL OR
OTHERWISE  TRANSFER  THIS  SECURITY  ONLY (A) TO THE COMPANY,  (B) PURSUANT TO A
REGISTRATION  STATEMENT  THAT HAS BEEN DECLARED  EFFECTIVE  UNDER THE SECURITIES
ACT,  (C) TO A  PERSON  WHOM  THE  SELLER  REASONABLY  BELIEVES  IS A  QUALIFIED
INSTITUTIONAL  BUYER IN A TRANSACTION  MEETING THE  REQUIREMENTS OF RULE 144A SO
LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A IN ACCORDANCE
WITH  RULE  144A,  (D)  TO A  NON-U.S.  PERSON  IN AN  OFFSHORE  TRANSACTION  IN
ACCORDANCE  WITH RULE 903 OR RULE 904 (AS  APPLICABLE) OF REGULATION S UNDER THE
SECURITIES ACT, (E) TO AN INSTITUTIONAL "ACCREDITED INVESTOR" WITHIN THE MEANING
OF SUBPARAGRAPH  (A) OF RULE 501 UNDER THE SECURITIES ACT THAT IS ACQUIRING THIS
SECURITY  FOR  ITS OWN  ACCOUNT,  OR FOR THE  ACCOUNT  OF SUCH AN  INSTITUTIONAL
ACCREDITED  INVESTOR,  FOR  INVESTMENT  PURPOSES  AND NOT WITH A VIEW TO, OR FOR
OFFER  OR  SALE  IN  CONNECTION  WITH,  ANY  DISTRIBUTION  IN  VIOLATION  OF THE
SECURITIES  ACT,  OR (F)  PURSUANT  TO ANY OTHER  AVAILABLE  EXEMPTION  FROM THE
REGISTRATION  REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE COMPANY'S RIGHT
PRIOR TO ANY SUCH OFFER,  SALE OR TRANSFER TO REQUIRE THE DELIVERY OF AN OPINION
OF  COUNSEL,  CERTIFICATION  AND/OR  OTHER  INFORMATION  SATISFACTORY  TO  IT IN
ACCORDANCE WITH THE INDENTURE, A COPY OF WHICH MAY BE OBTAINED FROM THE COMPANY.

         THE HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  ALSO  AGREES,
REPRESENTS  AND  WARRANTS  THAT  IT  IS  NOT  AN  EMPLOYEE  BENEFIT,  INDIVIDUAL
RETIREMENT  ACCOUNT  OR  OTHER  PLAN OR  ARRANGEMENT  SUBJECT  TO TITLE I OF THE
EMPLOYEE  RETIREMENT  INCOME  SECURITY  ACT OF 1974,  AS AMENDED  ("ERISA"),  OR
SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE") (EACH
A "PLAN"),  OR AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE "PLAN ASSETS" BY REASON
OF ANY PLAN'S INVESTMENT IN THE ENTITY, AND NO PERSON INVESTING "PLAN ASSETS" OF
ANY PLAN MAY ACQUIRE OR HOLD THE SECURITIES OR ANY INTEREST THEREIN, UNLESS SUCH
PURCHASER  OR HOLDER IS  ELIGIBLE  FOR  EXEMPTIVE  RELIEF  AVAILABLE  UNDER U.S.
DEPARTMENT OF LABOR PROHIBITED  TRANSACTION CLASS EXEMPTION 96-23, 95-60, 91-38,
90-1 OR 84-14 OR ANOTHER  APPLICABLE  EXEMPTION  OR ITS  PURCHASE AND HOLDING OF
THIS  SECURITY IS NOT  PROHIBITED BY SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE WITH RESPECT TO SUCH  PURCHASE OR HOLDING.  ANY  PURCHASER OR HOLDER OF THE
SECURITIES  OR ANY INTEREST  THEREIN WILL BE DEEMED TO HAVE  REPRESENTED  BY ITS
PURCHASE AND HOLDING THEREOF THAT EITHER (i) IT IS NOT AN EMPLOYEE  BENEFIT PLAN
WITHIN THE MEANING OF SECTION 3(3) OF ERISA,  OR A PLAN TO WHICH SECTION 4975 OF
THE CODE IS  APPLICABLE,  A  TRUSTEE  OR OTHER  PERSON  ACTING  ON  BEHALF OF AN
EMPLOYEE BENEFIT PLAN OR PLAN, OR ANY OTHER PERSON OR ENTITY USING THE ASSETS OF
ANY  EMPLOYEE  BENEFIT  PLAN OR PLAN TO  FINANCE  SUCH  PURCHASE,  OR (ii)  SUCH
PURCHASE WILL NOT RESULT IN A PROHIBITED  TRANSACTION UNDER SECTION 406 OF ERISA
OR  SECTION  4975 OF THE CODE FOR  WHICH  THERE IS NO  APPLICABLE  STATUTORY  OR
ADMINISTRATIVE EXEMPTION.

         THIS  SECURITY  WILL BE ISSUED  AND MAY BE  TRANSFERRED  ONLY IN BLOCKS
HAVING AN AGGREGATE  PRINCIPAL AMOUNT OF NOT LESS THAN $100,000.00 AND MULTIPLES
OF $1,000.00 IN EXCESS  THEREOF.  ANY  ATTEMPTED  TRANSFER OF THIS SECURITY IN A
BLOCK HAVING AN AGGREGATE  PRINCIPAL  AMOUNT OF LESS THAN  $100,000.00  SHALL BE
DEEMED TO BE VOID AND OF NO LEGAL EFFECT WHATSOEVER.

         THE  HOLDER  OF THIS  SECURITY  AGREES  THAT IT WILL  COMPLY  WITH  THE
FOREGOING RESTRICTIONS.

         IN  CONNECTION  WITH ANY  TRANSFER,  THE  HOLDER  WILL  DELIVER  TO THE
REGISTRAR AND TRANSFER AGENT SUCH  CERTIFICATES AND OTHER  INFORMATION AS MAY BE
REQUIRED  BY THE  INDENTURE  TO  CONFIRM  THAT THE  TRANSFER  COMPLIES  WITH THE
FOREGOING RESTRICTIONS.

<PAGE>

         Floating Rate Junior Subordinated Deferrable Interest Debenture

                                       of

                                First Banks, Inc.

                                 April 28, 2006

         First Banks,  Inc., a Missouri  corporation  (the "Company"  which term
includes any successor Person under the Indenture  hereinafter referred to), for
value  received  promises  to  pay  to  Wilmington  Trust  Company,  not  in its
individual capacity but solely as Institutional Trustee for First Bank Statutory
Trust V (the  "Holder")  or  registered  assigns,  the  principal  sum of twenty
million six hundred nineteen thousand dollars ($20,619,000.00) on June 15, 2036,
and to pay interest on said  principal sum from April 28, 2006, or from the most
recent Interest  Payment Date (as defined below) to which interest has been paid
or duly  provided  for,  quarterly  (subject to deferral as set forth herein) in
arrears on March 15, June 15,  September  15 and  December 15 of each year or if
such day is not a Business Day, then the next succeeding Business Day (each such
date, an "Interest Payment Date") (it being understood that interest accrues for
any such  non-Business  Day),  commencing  on the Interest  Payment Date in June
2006, at an annual rate equal to 6.59875%  beginning on (and including) the date
of original  issuance and ending on (but excluding) the Interest Payment Date in
June 2006 and at an annual rate for each  successive  period  beginning  on (and
including) the Interest Payment Date in June 2006, and each succeeding  Interest
Payment Date, and ending on (but excluding) the next succeeding Interest Payment
Date (each a  "Distribution  Period"),  equal to 3-Month  LIBOR,  determined  as
described below, plus 1.45% (the "Coupon Rate"), applied to the principal amount
hereof,  until  the  principal  hereof  is  paid or  duly  provided  for or made
available for payment, and on any overdue principal and (without duplication and
to the extent that payment of such interest is enforceable under applicable law)
on any overdue  installment of interest (including  Additional  Interest) at the
Interest Rate in effect for each applicable period,  compounded quarterly,  from
the  dates  such  amounts  are due  until  they are paid or made  available  for
payment.  The amount of interest  payable for any period will be computed on the
basis of the actual number of days in the Distribution  Period concerned divided
by 360.  The  interest  installment  so  payable,  and  punctually  paid or duly
provided for, on any Interest  Payment Date will, as provided in the  Indenture,
be paid to the Person in whose name this  Debenture (or one or more  Predecessor
Securities)  is registered  at the close of business on the regular  record date
for such interest installment, which shall be fifteen Business Days prior to the
day on which the  relevant  Interest  Payment  Date  occurs.  Any such  interest
installment not so punctually paid or duly provided for shall forthwith cease to
be  payable  to the Holder on such  regular  record  date and may be paid to the
Person in whose name this Debenture (or one or more  Predecessor  Securities) is
registered at the close of business on a special record date.

         "3-Month  LIBOR" as used  herein,  means the London  interbank  offered
interest rate for three-month U.S. dollar deposits  determined by the Trustee in
the following  order of priority:  (i) the rate  (expressed as a percentage  per
annum) for U.S. dollar  deposits  having a three-month  maturity that appears on
Telerate Page 3750 as of 11:00 a.m.  (London time) on the related  Determination
Date  ("Telerate  Page 3750" means the display  designated as "Page 3750" on the
Moneyline  Telerate  Service or such other page as may replace Page 3750 on that
service or such other  service or  services as may be  nominated  by the British
Bankers'  Association  as the  information  vendor for the purpose of displaying
London  interbank  offered rates for U.S.  dollar  deposits);  (ii) if such rate
cannot be identified on the related Determination Date, the Trustee will request
the  principal  London  offices of four  leading  banks in the London  interbank
market to provide such banks' offered  quotations  (expressed as percentages per
annum) to prime banks in the London  interbank  market for U.S.  dollar deposits
having  a  three-month   maturity  as  of  11:00  a.m.  (London  time)  on  such
Determination Date. If at least two quotations are provided,  3-Month LIBOR will
be the  arithmetic  mean of such  quotations;  (iii)  if  fewer  than  two  such
quotations  are  provided as  requested  in clause (ii) above,  the Trustee will
request four major New York City banks to provide such banks' offered quotations
(expressed as percentages per annum) to leading European banks for loans in U.S.
dollars as of 11:00 a.m. (London time) on such  Determination  Date. If at least
two such  quotations are provided,  3-Month LIBOR will be the arithmetic mean of
such  quotations;  and (iv) if fewer than two such  quotations  are  provided as
requested  in  clause  (iii)  above,  3-Month  LIBOR  will  be a  3-Month  LIBOR
determined with respect to the Distribution  Period  immediately  preceding such
current  Distribution  Period.  If the rate for U.S.  dollar  deposits  having a
three-month  maturity that  initially  appears on Telerate Page 3750 as of 11:00
a.m.  (London  time) on the  related  Determination  Date is  superseded  on the
Telerate  Page 3750 by a  corrected  rate by 12:00  noon  (London  time) on such
Determination  Date, then the corrected rate as so substituted on the applicable
page will be the applicable 3-Month LIBOR for such  Determination  Date. As used
herein,  "Determination  Date"  means the date that is two London  Banking  Days
(i.e.,  a  business  day in which  dealings  in  deposits  in U.S.  dollars  are
transacted in the London  interbank  market)  preceding the  commencement of the
relevant Distribution Period.
<PAGE>

         The Interest Rate for any Distribution Period will at no time be higher
than the maximum rate then permitted by New York law as the same may be modified
by United States law.

         All percentages  resulting from any calculations on the Debentures will
be rounded, if necessary,  to the nearest one hundred-thousandth of a percentage
point,  with five  one-millionths  of a percentage  point rounded  upward (e.g.,
9.876545% (or .09876545) being rounded to 9.87655% (or .0987655), and all dollar
amounts  used in or  resulting  from such  calculation  will be  rounded  to the
nearest cent (with one-half cent being rounded upward)).

         The principal of and interest on this Debenture shall be payable at the
office or agency of the Trustee (or other paying agent appointed by the Company)
maintained  for that  purpose in any coin or  currency  of the United  States of
America  that at the time of payment is legal  tender for  payment of public and
private debts; provided,  however, that payment of interest may be made by check
               --------   -------
mailed to the registered holder at such address as shall appear in the Debenture
Register if a request for a wire  transfer by such holder has not been  received
by the Company or by wire transfer to an account appropriately designated by the
holder  hereof.  Notwithstanding  the  foregoing,  so long as the holder of this
Debenture  is the  Institutional  Trustee,  the payment of the  principal of and
interest on this Debenture will be made in immediately  available  funds at such
place and to such account as may be designated by the Trustee.

         So long  as no  Acceleration  Event  of  Default  has  occurred  and is
continuing,  the Company  shall have the right,  from time to time,  and without
causing an Event of Default,  to defer payments of interest on the Debentures by
extending  the interest  payment  period on the  Debentures at any time and from
time  to  time  during  the  term of the  Debentures,  for up to 20  consecutive
quarterly  periods (each such extended  interest  payment period,  an "Extension
Period"),  during  which  Extension  Period no  interest  (including  Additional
Interest)  shall be due and payable  (except any Additional Sums that may be due
and  payable).  No  Extension  Period may end on a date  other than an  Interest
Payment Date.  During an Extension  Period,  interest will continue to accrue on
the Debentures,  and interest on such accrued  interest will accrue at an annual
rate equal to the Interest Rate in effect for such Extension Period,  compounded
quarterly  from the date such  interest  would have been payable were it not for
the Extension  Period, to the extent permitted by law (such interest referred to
herein as "Additional  Interest").  At the end of any such Extension  Period the
Company  shall pay all  interest  then  accrued  and  unpaid  on the  Debentures
(together  with  Additional  Interest  thereon);   provided,  however,  that  no
                                                   --------   -------
Extension Period may extend beyond the Maturity Date; provided further, however,
                                                      -------- -------  -------
that  during any such  Extension  Period,  the  Company  shall not and shall not
permit  any  Affiliate  to  engage  in  any of the  activities  or  transactions
described  on  the  reverse  side  hereof  and in the  Indenture.  Prior  to the
termination of any Extension Period, the Company may further extend such period,
provided  that  such  period   together  with  all  such  previous  and  further
consecutive  extensions  thereof  shall  not  exceed  20  consecutive  quarterly
periods,  or extend  beyond  the  Maturity  Date.  Upon the  termination  of any
Extension  Period and upon the payment of all accrued  and unpaid  interest  and
Additional Interest, the Company may commence a new Extension Period, subject to
the foregoing requirements.  No interest or Additional Interest shall be due and
payable  during  an  Extension  Period,  except  at the end  thereof,  but  each
installment  of interest that would  otherwise  have been due and payable during
such Extension Period shall bear Additional Interest.  The Company must give the
Trustee  notice of its  election to begin or extend an  Extension  Period by the
close of business at least 15 Business  Days prior to the Interest  Payment Date
with respect to which interest on the Debentures  would have been payable except
for the election to begin or extend such Extension Period.

         The indebtedness evidenced by this Debenture is, to the extent provided
in the  Indenture,  subordinate  and  junior  in right of  payment  to the prior
payment in full of all Senior Indebtedness, and this Debenture is issued subject
to the  provisions of the Indenture  with respect  thereto.  Each holder of this
Debenture,  by  accepting  the  same,  (a)  agrees to and shall be bound by such
provisions,  (b) authorizes and directs the Trustee on his or her behalf to take
such action as may be necessary or  appropriate to acknowledge or effectuate the
subordination   so   provided   and  (c)   appoints   the  Trustee  his  or  her
attorney-in-fact  for any and all such purposes.  Each holder hereof,  by his or
her  acceptance  hereof,  hereby  waives  all  notice of the  acceptance  of the
subordination provisions contained herein and in the Indenture by each holder of
Senior Indebtedness,  whether now outstanding or hereafter incurred,  and waives
reliance by each such holder upon said provisions.
<PAGE>

         This Debenture shall not be entitled to any benefit under the Indenture
hereinafter referred to, be valid or become obligatory for any purpose until the
certificate of  authentication  hereon shall have been signed by or on behalf of
the Trustee.

         The  provisions  of this  Debenture  are  continued on the reverse side
hereof and such provisions shall for all purposes have the same effect as though
fully set forth at this place.

<PAGE>

         IN WITNESS WHEREOF, the Company has duly executed this certificate.

                                           FIRST BANKS, INC.

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

                          CERTIFICATE OF AUTHENTICATION
                          -----------------------------

         This  is one  of the  Debentures  referred  to in the  within-mentioned
Indenture.

                                           WILMINGTON TRUST COMPANY, as Trustee

                                           By:
                                              ----------------------------------
                                               Authorized Officer

<PAGE>

                         [FORM OF REVERSE OF DEBENTURE]

         This  Debenture  is  one  of  the  floating  rate  junior  subordinated
deferrable interest debentures of the Company,  all issued or to be issued under
and pursuant to the Indenture dated as of April 28, 2006 (the "Indenture"), duly
executed and delivered  between the Company and the Trustee,  to which Indenture
reference is hereby made for a description of the rights, limitations of rights,
obligations,  duties and immunities  thereunder of the Trustee,  the Company and
the holders of the Debentures. The Debentures are limited in aggregate principal
amount as specified in the Indenture.

         Upon the  occurrence and  continuation  of a Special Event prior to the
Interest  Payment Date in June 2011,  the Company shall have the right to redeem
the Debentures in whole, but not in part, at any Interest  Payment Date,  within
120  days  following  the  occurrence  of such  Special  Event,  at the  Special
Redemption Price.

         In addition, the Company shall have the right to redeem the Debentures,
in whole or in  part,  but in all  cases in a  principal  amount  with  integral
multiples of  $1,000.00,  on any Interest  Payment Date on or after the Interest
Payment Date in June 2011, at the Redemption Price.

         Prior to  10:00  a.m.  New York  City  time on the  Redemption  Date or
Special  Redemption  Date,  as  applicable,  the Company  will  deposit with the
Trustee  or with one or more  paying  agents an amount  of money  sufficient  to
redeem on the Redemption Date or the Special Redemption Date, as applicable, all
the Debentures so called for redemption at the appropriate  Redemption  Price or
Special Redemption Price.

         If all,  or less than  all,  the  Debentures  are to be  redeemed,  the
Company  will give the  Trustee  notice  not less than 45 nor more than 60 days,
respectively,  prior to the  Redemption  Date or  Special  Redemption  Date,  as
applicable,  as to the aggregate  principal  amount of Debentures to be redeemed
and the Trustee shall select,  in such manner as in its sole discretion it shall
deem  appropriate  and fair,  the  Debentures  or portions  thereof (in integral
multiples of $1,000.00) to be redeemed.

         Notwithstanding  the  foregoing,  any  redemption  of Debentures by the
Company  shall be subject  to the  receipt  of any and all  required  regulatory
approvals.

         In case an  Acceleration  Event of Default  shall have  occurred and be
continuing,  upon demand of the Trustee,  the principal of all of the Debentures
shall  become due and payable in the manner,  with the effect and subject to the
conditions provided in the Indenture.

         The  Indenture  contains  provisions  permitting  the  Company  and the
Trustee,  with the  consent  of the  holders  of not  less  than a  majority  in
aggregate principal amount of the Debentures at the time outstanding, to execute
supplemental  indentures for the purpose of adding any provisions to or changing
in any manner or  eliminating  any of the provisions of this Indenture or of any
supplemental  indenture  or of modifying in any manner the rights of the holders
of the Debentures;  provided, however, that no such supplemental indenture shall
                    --------  -------
without  the  consent of the  holders of each  Debenture  then  outstanding  and
affected  thereby (i) change the fixed maturity of any Debenture,  or reduce the
principal  amount thereof or any premium  thereon,  or reduce the rate or extend
the time of  payment  of  interest  thereon,  or reduce  any  amount  payable on
redemption  thereof or make the  principal  thereof or any  interest  or premium
thereon  payable  in any  coin or  currency  other  than  that  provided  in the
Debentures,  or impair or affect the right of any  Securityholder  to  institute
suit for payment thereof or impair the right of repayment, if any, at the option
of the holder, or (ii) reduce the aforesaid percentage of Debentures the holders
of which are required to consent to any such supplemental indenture.
<PAGE>

         The Indenture  also  contains  provisions  permitting  the holders of a
majority in aggregate principal amount of the Debentures at the time outstanding
on behalf of the  holders  of all of the  Debentures  to waive  (or  modify  any
previously  granted  waiver of) any past  default or Event of  Default,  and its
consequences,  except a default (a) in the payment of principal of, premium,  if
any,  or  interest  on any of the  Debentures,  (b) in respect of  covenants  or
provisions  hereof or of the  Indenture  which  cannot be  modified  or  amended
without the consent of the holder of each Debenture affected,  or (c) in respect
of the covenants contained in Section 3.9 of the Indenture;  provided,  however,
                                                             --------   -------
that if the  Debentures  are held by the Trust or a trustee of such trust,  such
waiver or  modification  to such waiver shall not be effective until the holders
of a majority in Liquidation  Amount of Trust Securities of the Trust shall have
consented to such waiver or modification to such waiver, provided, further, that
                                                         --------  -------
if the consent of the holder of each  outstanding  Debenture is  required,  such
waiver shall not be effective  until each holder of the Trust  Securities of the
Trust shall have  consented  to such waiver.  Upon any such waiver,  the default
covered  thereby  shall be deemed to be cured for all purposes of the  Indenture
and the Company, the Trustee and the holders of the Debentures shall be restored
to their former positions and rights hereunder, respectively; but no such waiver
shall extend to any  subsequent  or other  default or Event of Default or impair
any right consequent thereon. Whenever any default or Event of Default hereunder
shall have been waived as permitted by the  Indenture,  said default or Event of
Default shall for all purposes of the  Debentures and the Indenture be deemed to
have been cured and to be not continuing.

         No reference herein to the Indenture and no provision of this Debenture
or of the Indenture  shall alter or impair the obligation of the Company,  which
is absolute and unconditional,  to pay the principal of and premium, if any, and
interest, including Additional Interest, on this Debenture at the time and place
and at the rate and in the money herein prescribed.

         The Company has agreed that if Debentures  are initially  issued to the
Trust or a  trustee  of such  Trust in  connection  with the  issuance  of Trust
Securities by the Trust (regardless of whether Debentures continue to be held by
such  Trust) and (i) there shall have  occurred  and be  continuing  an Event of
Default, (ii) the Company shall be in default with respect to its payment of any
obligations under the Capital Securities  Guarantee,  or (iii) the Company shall
have  given  notice  of its  election  to  defer  payments  of  interest  on the
Debentures by extending the interest  payment period as provided herein and such
Extension  Period,  or any  extension  thereof,  shall be  continuing,  then the
Company  shall not,  and shall not allow any  Affiliate  of the  Company to, (x)
declare or pay any dividends or distributions on, or redeem, purchase,  acquire,
or make a  liquidation  payment  with respect to, any of the  Company's  capital
stock or its  Affiliates'  capital  stock  (other than  payments of dividends or
distributions to the Company) or make any guarantee payments with respect to the
foregoing  or (y) make any payment of  principal  of or interest or premium,  if
any, on or repay, repurchase or redeem any debt securities of the Company or any
Affiliate that rank pari passu in all respects with or junior in interest to the
Debentures  (other  than,  with  respect  to  clauses  (x)  and (y)  above,  (1)
repurchases, redemptions or other acquisitions of shares of capital stock of the
Company  in  connection  with any  employment  contract,  benefit  plan or other
similar arrangement with or for the benefit of one or more employees,  officers,
directors  or  consultants,  in  connection  with  a  dividend  reinvestment  or
stockholder  stock  purchase plan or in connection  with the issuance of capital
stock of the Company (or securities  convertible  into or  exercisable  for such
capital stock) as consideration in an acquisition transaction entered into prior
to the applicable  Extension  Period, if any, (2) as a result of any exchange or
conversion of any class or series of the Company's capital stock (or any capital
stock of a subsidiary  of the Company) for any class or series of the  Company's
capital  stock or of any class or series of the Company's  indebtedness  for any
class or series of the Company's  capital stock,  (3) the purchase of fractional
interests in shares of the Company's capital stock pursuant to the conversion or
exchange  provisions  of such capital stock or the security  being  converted or
exchanged,   (4)  any   declaration  of  a  dividend  in  connection   with  any
stockholders'  rights plan, or the issuance of rights,  stock or other  property
under any  stockholders'  rights plan, or the redemption or repurchase of rights
pursuant thereto,  (5) any dividend in the form of stock,  warrants,  options or
other rights where the dividend  stock or the stock  issuable  upon  exercise of
such  warrants,  options or other  rights is the same stock as that on which the
dividend  is being paid or ranks pari passu with or junior to such stock and any
cash payments in lieu of fractional  shares issued in connection  therewith,  or
(6) payments under the Capital Securities Guarantee).
<PAGE>

         The  Debentures  are issuable  only in  registered,  certificated  form
without coupons and in minimum  denominations of $100,000.00 and any multiple of
$1,000.00 in excess  thereof.  As provided in the  Indenture  and subject to the
transfer  restrictions  and  limitations as may be contained  herein and therein
from time to time,  this Debenture is  transferable  by the holder hereof on the
Debenture  Register of the Company.  Upon due  presentment  for  registration of
transfer  of any  Debenture  at the  Principal  Office of the  Trustee or at any
office or agency of the  Company  maintained  for such  purpose as  provided  in
Section 3.2 of the  Indenture,  the Company  shall  execute,  the Company or the
Trustee  shall  register  and the  Trustee  or the  Authenticating  Agent  shall
authenticate  and make  available for delivery in the name of the  transferee or
transferees  a  new  Debenture  for  a  like  aggregate  principal  amount.  All
Debentures  presented  for  registration  of transfer or for exchange or payment
shall (if so required by the Company or the Trustee or the Authenticating Agent)
be duly endorsed by, or be accompanied by a written instrument or instruments of
transfer  in  form   satisfactory  to,  the  Company  and  the  Trustee  or  the
Authenticating Agent duly executed by the holder or his attorney duly authorized
in writing.  No service charge shall be made for any exchange or registration of
transfer of Debentures,  but the Company or the Trustee may require payment of a
sum  sufficient to cover any tax, fee or other  governmental  charge that may be
imposed in connection therewith.

         Prior to due presentment for registration of transfer of any Debenture,
the Company,  the Trustee,  any  Authenticating  Agent,  any paying  agent,  any
transfer  agent and any  Debenture  registrar  may deem the Person in whose name
such Debenture  shall be registered  upon the Debenture  Register to be, and may
treat  him as,  the  absolute  owner  of such  Debenture  (whether  or not  such
Debenture  shall be  overdue)  for the  purpose  of  receiving  payment of or on
account of the principal of, premium, if any, and interest on such Debenture and
for all  other  purposes;  and  neither  the  Company  nor the  Trustee  nor any
Authenticating  Agent  nor any  paying  agent  nor any  transfer  agent  nor any
Debenture  registrar  shall be affected by any notice to the contrary.  All such
payments  so made to any holder  for the time  being or upon his order  shall be
valid,  and, to the extent of the sum or sums so paid,  effectual to satisfy and
discharge the liability for moneys payable upon any such Debenture.

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

         Capitalized terms used and not defined in this Debenture shall have the
meanings  assigned in the Indenture dated as of the date of original issuance of
this Debenture between the Trustee and the Company.

         THE INDENTURE AND THE DEBENTURES  SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE  WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO CONFLICT OF
LAW PRINCIPLES THEREOF.

<PAGE>

                                    EXHIBIT B

                         FORM OF CERTIFICATE TO TRUSTEE

         Pursuant to Section 3.5 of the Indenture between First Banks,  Inc., as

the Company (the "Company"),  and Wilmington Trust Company, as Trustee, dated as

of April  28,  2006 (the  "Indenture"),  the  undersigned  hereby  certifies  as

follows:

     1.   In my capacity as an officer of the  Company,  I would  normally  have

          knowledge of any default by the Company during the last fiscal year in

          the  performance  of any  covenants  of the Company  contained  in the

          Indenture.

     2.   [To my knowledge,  the Company is not in default in the performance of

          any covenants contained in the Indenture.

          or, alternatively:

          I am aware of the default(s) in  the performance  of covenants in  the

          Indentures, as specified below.]

     Capitalized terms used herein,  and not otherwise defined herein,  have the

respective meanings ascribed thereto in the Indenture.

     IN WITNESS WHEREOF, the undersigned has executed this Certificate.

Date:

                                                    ----------------------------
                                                    Name:
                                                    Title:Exhibit 4.2

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

                        AMENDED AND RESTATED DECLARATION
                                    OF TRUST

                                  by and among

                            WILMINGTON TRUST COMPANY,
                              as Delaware Trustee,

                            WILMINGTON TRUST COMPANY,
                            as Institutional Trustee,

                               FIRST BANKS, INC.,
                                   as Sponsor,

                                       and

                       ALLEN H. BLAKE, PETER D. WIMMER and
                               LISA K. VANSICKLE,
                               as Administrators,

                           Dated as of April 28, 2006

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

<PAGE>
<TABLE>
<CAPTION>

                                                    TABLE OF CONTENTS
                                                    -----------------
                                                                                                          Page
                                                                                                          ----

<S>                                                                                                         <C>
ARTICLE I INTERPRETATION AND DEFINITIONS....................................................................1
     Section 1.1.    Definitions............................................................................1

ARTICLE II ORGANIZATION.....................................................................................7
     Section 2.1.    Name...................................................................................7
     Section 2.2.    Office.................................................................................7
     Section 2.3.    Purpose................................................................................7
     Section 2.4.    Authority..............................................................................8
     Section 2.5.    Title to Property of the Trust.........................................................8
     Section 2.6.    Powers and Duties of the Trustees and the Administrators...............................8
     Section 2.7.    Prohibition of Actions by the Trust and the Institutional Trustee.....................11
     Section 2.8.    Powers and Duties of the Institutional Trustee........................................12
     Section 2.9.    Certain Duties and Responsibilities of the Trustees and Administrators................13
     Section 2.10.   Certain Rights of Institutional Trustee...............................................14
     Section 2.11.   Delaware Trustee......................................................................16
     Section 2.12.   Execution of Documents................................................................17
     Section 2.13.   Not Responsible for Recitals or Issuance of Securities................................17
     Section 2.14.   Duration of Trust.....................................................................17
     Section 2.15.   Mergers...............................................................................17

ARTICLE III SPONSOR........................................................................................18
     Section 3.1.    Sponsor's Purchase of Common Securities...............................................18
     Section 3.2.    Responsibilities of the Sponsor.......................................................18
     Section 3.3.    Expenses..............................................................................19
     Section 3.4.    Right to Proceed......................................................................19

ARTICLE IV INSTITUTIONAL TRUSTEE AND ADMINISTRATORS........................................................19
     Section 4.1.    Number of Trustees....................................................................19
     Section 4.2.    Delaware Trustee; Eligibility.........................................................20
     Section 4.3.    Institutional Trustee; Eligibility....................................................20
     Section 4.4.    Administrators........................................................................20
     Section 4.5.    Appointment, Removal and Resignation of Trustees and Administrators...................21
     Section 4.6.    Vacancies Among Trustees..............................................................22
     Section 4.7.    Effect of Vacancies...................................................................22
     Section 4.8.    Meetings of the Trustees and the Administrators.......................................22
     Section 4.9.    Delegation of Power...................................................................23
     Section 4.10    Conversion, Consolidation or Succession to Business...................................23

ARTICLE V DISTRIBUTIONS....................................................................................23
     Section 5.1.    Distributions.........................................................................23

ARTICLE VI ISSUANCE OF SECURITIES..........................................................................23
     Section 6.1.    General Provisions Regarding Securities...............................................23
     Section 6.2.    Paying Agent, Transfer Agent and Registrar............................................24
     Section 6.3.    Form and Dating.......................................................................25
     Section 6.4.    Mutilated, Destroyed, Lost or Stolen Certificates.....................................25
     Section 6.5.    Temporary Securities..................................................................25
     Section 6.6.    Cancellation..........................................................................25
     Section 6.7.    Rights of Holders; Waivers of Past Defaults...........................................26
<PAGE>

ARTICLE VII DISSOLUTION AND TERMINATION OF TRUST...........................................................27
     Section 7.1.    Dissolution and Termination of Trust..................................................27

ARTICLE VIII TRANSFER OF INTERESTS.........................................................................28
     Section 8.1.    General...............................................................................28
     Section 8.2.    Transfer Procedures and Restrictions..................................................29
     Section 8.3.    Deemed Security Holders...............................................................31

ARTICLE IX LIMITATION OF LIABILITY OF HOLDERS OF SECURITIES, INSTITUTIONAL TRUSTEE OR OTHERS...............31
     Section 9.1.    Liability.............................................................................31
     Section 9.2.    Exculpation...........................................................................31
     Section 9.3.    Fiduciary Duty........................................................................32
     Section 9.4.    Indemnification.......................................................................32
     Section 9.5.    Outside Businesses....................................................................34
     Section 9.6.    Compensation; Fee.....................................................................34

ARTICLE X ACCOUNTING.......................................................................................35
     Section 10.1.   Fiscal Year...........................................................................35
     Section 10.2.   Certain Accounting Matters............................................................35
     Section 10.3.   Banking...............................................................................36
     Section 10.4.   Withholding...........................................................................36

ARTICLE XI AMENDMENTS AND MEETINGS.........................................................................36
     Section 11.1.   Amendments............................................................................36
     Section 11.2.   Meetings of the Holders of Securities; Action by Written Consent......................38

ARTICLE XII REPRESENTATIONS OF INSTITUTIONAL TRUSTEE AND THE DELAWARE TRUSTEE..............................39
     Section 12.1.   Representations and Warranties of Institutional Trustee...............................39
     Section 12.2.   Representations of the Delaware Trustee...............................................39

ARTICLE XIII MISCELLANEOUS.................................................................................40
     Section 13.1.   Notices...............................................................................40
     Section 13.2.   Governing Law.........................................................................41
     Section 13.3.   Intention of the Parties..............................................................41
     Section 13.4.   Headings..............................................................................41
     Section 13.5.   Successors and Assigns................................................................41
     Section 13.6.   Partial Enforceability................................................................41
     Section 13.7.   Counterparts..........................................................................42

Annex I..............Terms of Securities
Exhibit A-1..........Form of Capital Security Certificate
Exhibit A-2..........Form of Common Security Certificate
Exhibit B............Specimen of Initial Debenture
Exhibit C............Placement Agreement
</TABLE>

<PAGE>

                              AMENDED AND RESTATED

                              DECLARATION OF TRUST

                                       OF

                          FIRST BANK STATUTORY TRUST V

                                 April 28, 2006

         AMENDED AND RESTATED  DECLARATION  OF TRUST  ("Declaration")  dated and
                                                        -----------
effective  as of April 28,  2006,  by the  Trustees  (as  defined  herein),  the
Administrators  (as defined herein),  the Sponsor (as defined herein) and by the
holders,  from time to time, of undivided  beneficial interests in the Trust (as
defined herein) to be issued pursuant to this Declaration;

         WHEREAS,  the Trustees,  the Administrators and the Sponsor established
First  Bank  Statutory  Trust V (the  "Trust"),  a  statutory  trust  under  the
                                       -----
Statutory Trust Act (as defined herein) pursuant to a Declaration of Trust dated
as of April 10, 2006 (the  "Original  Declaration"),  and a Certificate of Trust
                            ---------------------
filed with the  Secretary  of State of the State of Delaware on April 10,  2006,
for the sole  purpose of issuing and  selling  certain  securities  representing
undivided  beneficial  interests  in the assets of the Trust and  investing  the
proceeds  thereof in certain  debentures  of the  Debenture  Issuer (as  defined
herein);

         WHEREAS,  as of the date  hereof,  no  interests in the Trust have been
issued; and

         WHEREAS,  the Trustees,  the  Administrators  and the Sponsor,  by this
Declaration, amend and restate each and every term and provision of the Original
Declaration;

         NOW,  THEREFORE,  it being  the  intention  of the  parties  hereto  to
continue the Trust as a statutory  trust under the Statutory  Trust Act and that
this Declaration  constitutes the governing  instrument of such statutory trust,
the Trustees  declare that all assets  contributed  to the Trust will be held in
trust for the  benefit  of the  holders,  from time to time,  of the  securities
representing  undivided  beneficial  interests in the assets of the Trust issued
hereunder,  subject to the  provisions of this  Declaration.  The parties hereto
hereby agree as follows:

                                   ARTICLE I

                         INTERPRETATION AND DEFINITIONS

         Section 1.1.   Definitions.
                        -----------

         Unless the context otherwise requires:

         (a)     Capitalized  terms used in this  Declaration but not defined in
the preamble above have the respective meanings assigned to them in this Section
1.1;

         (b)     a term  defined  anywhere in  this  Declaration  has  the  same
meaning throughout;

         (c)     all references to "the Declaration" or "this  Declaration"  are
to this Declaration as modified, supplemented or amended from time to time;

         (d)     all references in this Declaration to Articles and Sections and
Annexes and Exhibits are to Articles and Sections of and Annexes and Exhibits to
this Declaration unless otherwise specified; and

         (e)     a reference to the singular includes the plural and vice versa.
<PAGE>

         "Acceleration  Event  of  Default"  has the  meaning  set  forth in the
          --------------------------------
Indenture.

         "Additional Interest" has the meaning set forth in the Indenture.
          -------------------

         "Administrative  Action" has the meaning set forth in paragraph 4(a) of
          ----------------------
Annex I.

         "Administrators" means each of Allen H. Blake, Peter D. Wimmer and Lisa
          --------------
K. Vansickle,  solely in such Person's  capacity as  Administrator  of the Trust
created and continued hereunder and not in such Person's individual capacity, or
such  Administrator's  successor in interest in such capacity,  or any successor
appointed as herein provided.

         "Affiliate"  has the same  meaning as given to that term in Rule 405 of
          ---------
the Securities Act or any successor rule thereunder.

         "Authorized Officer" of a Person means any Person that is authorized to
          ------------------
bind such Person.

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

         (a)     a court  having  jurisdiction  in the  premises  shall  enter a
decree or order for  relief in  respect of such  Person in an  involuntary  case
under  any  applicable  bankruptcy,  insolvency  or  other  similar  law  now or
hereafter in effect, or appointing a receiver, liquidator,  assignee, custodian,
trustee,   sequestrator  (or  similar  official)  of  such  Person  or  for  any
substantial  part of its property,  or ordering the winding-up or liquidation of
its affairs and such decree or order shall  remain  unstayed and in effect for a
period of 90 consecutive days; or

         (b)     such   Person   shall  commence  a  voluntary  case  under  any
applicable  bankruptcy,  insolvency  or other  similar law now or  hereafter  in
effect, shall consent to the entry of an order for relief in an involuntary case
under any such law, or shall consent to the appointment of or taking  possession
by a receiver, liquidator, assignee, trustee, custodian,  sequestrator (or other
similar  official) of such Person of any  substantial  part of its property,  or
shall make any general  assignment  for the benefit of creditors,  or shall fail
generally to pay its debts as they become due.

         "Business Day" means any day other than  Saturday,  Sunday or any other
          ------------
day on which banking  institutions in New York City or Wilmington,  Delaware are
permitted or required by any applicable law or executive order to close.

         "Capital  Securities"  has the meaning set forth in  paragraph  1(a) of
          -------------------
Annex I.

         "Capital Security Certificate" means a definitive  Certificate in fully
          ----------------------------
registered form  representing a Capital  Security  substantially  in the form of
Exhibit A-1.

         "Capital  Treatment  Event" has the meaning set forth in paragraph 4(a)
          -------------------------
of Annex I.

         "Certificate" means any certificate evidencing Securities.
          -----------

         "Closing Date" has the meaning set forth in the Placement Agreement.
          ------------

         "Code" means the Internal Revenue Code of 1986, as amended from time to
          ----
time, or any successor legislation.

         "Common  Securities"  has the  meaning set forth in  paragraph  1(b) of
          ------------------
Annex I.
<PAGE>

         "Common Security  Certificate" means a definitive  Certificate in fully
          ----------------------------
registered  form  representing a Common  Security  substantially  in the form of
Exhibit A-2.

         "Company  Indemnified  Person"  means  (a) any  Administrator;  (b) any
          ----------------------------
Affiliate  of any  Administrator;  (c) any  officers,  directors,  shareholders,
members, partners, employees, representatives or agents of any Administrator; or
(d) any officer, employee or agent of the Trust or its Affiliates.

         "Corporate Trust Office" means the office of the Institutional  Trustee
          ----------------------
at which the corporate trust business of the Institutional Trustee shall, at any
particular  time,  be  principally  administered,  which  office  at the date of
execution of this  Declaration  is located at Rodney  Square  North,  1100 North
Market  Street,   Wilmington,   Delaware   19890-1600,   Attn:  Corporate  Trust
Administration.

         "Coupon Rate" has the meaning set forth in paragraph 2(a) of Annex I.
          -----------

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

         "Creditor" has the meaning set forth in Section 3.3.
          --------

         "Debenture  Issuer" means First  Banks, Inc.,  a Missouri  corporation,
          -----------------
  in its capacity as issuer of the Debentures under the Indenture.

         "Debenture  Trustee" means Wilmington  Trust Company,  as trustee under
          ------------------
the Indenture until a successor is appointed  thereunder,  and thereafter  means
such successor trustee.

         "Debentures"  means the Floating  Rate Junior  Subordinated  Deferrable
          ----------
Interest  Debentures  due 2036 to be issued by the  Debenture  Issuer  under the
Indenture.

         "Defaulted Interest" has the meaning set forth in the Indenture.
          ------------------

         "Delaware Trustee" has the meaning set forth in Section 4.2.
          ----------------

         "Determination  Date" has the  meaning set forth in  paragraph  4(a) of
          -------------------
Annex I.

         "Direct Action" has the meaning set forth in Section 2.8(d).
          -------------

         "Distribution" means a distribution payable to Holders of Securities in
          ------------
accordance with Section 5.1.

         "Distribution Payment Date" has the meaning set forth in paragraph 2(b)
          -------------------------
of Annex I.

         "Distribution  Period" means (i) with respect to the Distribution  paid
          --------------------
on the first Distribution  Payment Date, the period beginning on (and including)
the date of original  issuance and ending on (but  excluding)  the  Distribution
Payment Date in June 2006 and (ii)  thereafter,  with respect to a  Distribution
paid on each successive  Distribution Payment Date, the period beginning on (and
including) the preceding Distribution Payment Date and ending on (but excluding)
such current Distribution Payment Date.

         "Distribution  Rate" means,  for the  Distribution  Period beginning on
          ------------------
(and including) the date of original  issuance and ending on (but excluding) the
Distribution Payment Date in June 2006, the rate per annum of 6.59875%,  and for
each Distribution Period beginning on or after the Distribution  Payment Date in
June 2006, the Coupon Rate for such Distribution Period.
<PAGE>

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

         (a)     the occurrence of an Indenture Event of Default; or

         (b)     default by the Trust in the payment of any  Redemption Price or
Special Redemption Price of any Security when it becomes due and payable; or

         (c)     default  in   the  performance,  or  breach,  in  any  material
respect,  of any  covenant  or  warranty  of the  Institutional  Trustee in this
Declaration  (other  than  those  specified  in  clause  (a) or (b)  above)  and
continuation  of such  default or breach for a period of 60 days after there has
been given, by registered or certified mail to the Institutional  Trustee and to
the Sponsor by the Holders of at least 25% in  aggregate  liquidation  amount of
the outstanding Capital Securities,  a written notice specifying such default or
breach and requiring it to be remedied and stating that such notice is a "Notice
of Default" hereunder; or

         (d)     the  occurrence  of  a  Bankruptcy  Event  with  respect to the
Institutional  Trustee  if  a  successor  Institutional  Trustee  has  not  been
appointed within 90 days thereof.

         "Extension Period" has the meaning set forth in paragraph 2(b) of Annex
          ----------------
I.

         "Federal Reserve" has the meaning set forth in paragraph 3 of Annex I.
          ---------------

         "Fiduciary  Indemnified  Person"  shall mean each of the  Institutional
          ------------------------------
Trustee (including in its individual capacity),  the Delaware Trustee (including
in its  individual  capacity),  any  Affiliate of the  Institutional  Trustee or
Delaware Trustee and any officers, directors,  shareholders,  members, partners,
employees, representatives,  custodians, nominees or agents of the Institutional
Trustee or Delaware Trustee.

         "Fiscal Year" has the meaning set forth in Section 10.1.
          -----------

         "Guarantee" means the guarantee agreement to be dated as of the Closing
          ---------
Date, of the Sponsor in respect of the Capital Securities.

         "Holder"  means a Person in whose  name a  Certificate  representing  a
          ------
Security is registered,  such Person being a beneficial owner within the meaning
of the Statutory Trust Act.

         "Indemnified Person" means a Company Indemnified Person or  a Fiduciary
          ------------------
Indemnified Person.

         "Indenture"  means the Indenture dated as of the Closing Date,  between
          ---------
the Debenture Issuer and the Debenture Trustee,  and any indenture  supplemental
thereto pursuant to which the Debentures are to be issued, as such Indenture and
any supplemental  indenture may be amended,  supplemented or otherwise  modified
from time to time.

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

         "Institutional  Trustee"  means the  Trustee  meeting  the  eligibility
          ----------------------
requirements set forth in Section 4.3.

         "Interest"  means any  interest  due on the  Debentures  including  any
          --------
Additional Interest and Defaulted Interest.
<PAGE>

         "Investment  Company"  means an  investment  company  as defined in the
          -------------------
Investment Company Act.

         "Investment  Company Act" means the Investment  Company Act of 1940, as
          -----------------------
amended from time to time, or any  successor  legislation.

         "Investment Company Event" has the  meaning set forth in paragraph 4(a)
          -----------------------
of Annex I.

         "Liquidation" has the meaning set forth in paragraph 3 of Annex I.
          -----------

         "Liquidation Distribution" has  the meaning set forth in paragraph 3 of
          ------------------------
Annex I.

         "Majority in liquidation  amount of the Securities"  means Holder(s) of
          -------------------------------------------------
outstanding  Securities voting together as a single class or, as the context may
require,  Holders of  outstanding  Capital  Securities or Holders of outstanding
Common  Securities  voting  separately as a class,  who are the record owners of
more than 50% of the aggregate  liquidation  amount (including the stated amount
that would be paid on  redemption,  liquidation  or otherwise,  plus accrued and
unpaid  Distributions  to  the  date  upon  which  the  voting  percentages  are
determined) of all outstanding Securities of the relevant class.

         "Maturity Date" has the meaning set forth in paragraph 4(a) of Annex I.
          -------------

         "Officers'   Certificates"   means,  with  respect  to  any  Person,  a
          ------------------------
certificate  signed by two  Authorized  Officers of such Person.  Any  Officers'
Certificate  delivered  with respect to compliance  with a condition or covenant
providing for it in this Declaration shall include:

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

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

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

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

         "OTS" has the meaning set forth in paragraph 3 of Annex I.
          ---

         "Paying Agent" has the meaning specified in Section 6.2.
          ------------

         "Person" means a legal person,  including any individual,  corporation,
          ------
estate, partnership,  joint venture,  association,  joint stock company, limited
liability  company,  trust,  unincorporated  association,  or  government or any
agency or political subdivision thereof, or any other entity of whatever nature.

         "Placement  Agreement"  means the Placement  Agreement  relating to the
          --------------------
offering and sale of Capital Securities in the form of Exhibit C.

         "Property Account" has the meaning set forth in Section 2.8(c).
          ----------------

         "Pro Rata" has the meaning set forth in paragraph 8 of Annex I.
          --------
<PAGE>

         "Quorum" means a majority of the  Administrators  or, if there are only
          ------
two Administrators, both of them.

         "Redemption Date"  has the meaning set forth in paragraph 4(a) of Annex
          ---------------
I.

         "Redemption/Distribution Notice" has the meaning set forth in paragraph
          ------------------------------
4(e) of Annex I.

         "Redemption Price" has the meaning set forth in paragraph 4(a) of Annex
          ----------------
I.

         "Registrar" has the meaning set forth in Section 6.2.
          ---------

         "Relevant Trustee" has the meaning set forth in Section 4.5(a).
          ----------------

         "Responsible Officer" means, with respect to the Institutional Trustee,
          -------------------
any officer  within the  Corporate  Trust Office of the  Institutional  Trustee,
including  any  vice-president,  any  assistant  vice-president,  any  assistant
secretary,  the treasurer,  any assistant treasurer,  any trust officer or other
officer of the Corporate Trust Office of the Institutional  Trustee  customarily
performing  functions  similar to those performed by any of the above designated
officers and also means,  with respect to a particular  corporate  trust matter,
any other  officer to whom such  matter is  referred  because of that  officer's
knowledge of and familiarity with the particular subject.

         "Restricted  Securities  Legend"  has the  meaning set forth in Section
          ------------------------------
8.2(b).

         "Rule 3a-5" means Rule 3a-5 under the Investment Company Act.
          ---------

         "Rule 3a-7" means Rule 3a-7 under the Investment Company Act.
          ---------

         "Securities" means the Common Securities and the Capital Securities.
          ----------

         "Securities Act" means the Securities Act of 1933, as amended from time
          --------------
to time, or any successor legislation.

         "Special Event" has the meaning set forth in paragraph 4(a) of Annex I.
          -------------

         "Special  Redemption  Date" has the meaning set forth in paragraph 4(a)
          -------------------------
of Annex I.

         "Special  Redemption Price" has the meaning set forth in paragraph 4(a)
          -------------------------
of Annex I.

         "Sponsor"  means First  Banks,  Inc.,  a Missouri  corporation,  or any
          -------
successor entity in a merger, consolidation or amalgamation,  in its capacity as
sponsor of the Trust.

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

         "Successor Entity" has the meaning set forth in Section 2.15(b).
          ----------------

         "Successor  Delaware  Trustee"  has the  meaning  set forth in  Section
          ----------------------------
4.5(e).

         "Successor Institutional Trustee"  has the meaning set forth in Section
          -------------------------------
4.5(b).

         "Successor Securities" has the meaning set forth in Section 2.15(b).
          --------------------

         "Super Majority" has the meaning set forth in paragraph 5(b) of Annex
          --------------
I.

         "Tax Event" has the meaning set forth in paragraph 4(a) of Annex I.
          ---------
<PAGE>

         "10% in  liquidation  amount  of the  Securities"  means  Holder(s)  of
          -----------------------------------------------
outstanding  Securities voting together as a single class or, as the context may
require,  Holders of  outstanding  Capital  Securities or Holders of outstanding
Common Securities voting separately as a class, who are the record owners of 10%
or more of the aggregate  liquidation  amount  (including the stated amount that
would be paid on redemption,  liquidation or otherwise,  plus accrued and unpaid
Distributions  to the date upon which the voting  percentages are determined) of
all outstanding Securities of the relevant class.

         "3-Month LIBOR" has the meaning set forth in paragraph 4(a) of Annex I.
          -------------

         "Transfer Agent" has the meaning set forth in Section 6.2.
          --------------

         "Treasury  Regulations"  means the  income tax  regulations,  including
          ---------------------
temporary  and proposed  regulations,  promulgated  under the Code by the United
States Treasury, as such regulations may be amended from time to time (including
corresponding provisions of succeeding regulations).

         "Trust Property" means (a) the Debentures,  (b) any cash on deposit in,
          --------------
or owing to, the Property  Account and (c) all proceeds and rights in respect of
the  foregoing  and any other  property  and  assets  for the time being held or
deemed to be held by the  Institutional  Trustee  pursuant to the trusts of this
Declaration.

         "Trustee"  or  "Trustees"   means  each  Person  who  has  signed  this
          -------        --------
Declaration  as a trustee,  so long as such Person  shall  continue in office in
accordance  with the terms  hereof,  and all other  Persons who may from time to
time be duly appointed, qualified and serving as Trustees in accordance with the
provisions  hereof,  and  references  herein to a Trustee or the Trustees  shall
refer to such Person or Persons solely in their capacity as trustees hereunder.

         "U.S. Person"  means  a United  States  Person as  defined  in  Section
          -----------
7701(a)(30) of the Code.

                                   ARTICLE II

                                  ORGANIZATION

         Section 2.1.   Name.  The Trust  is  named  "First Bank Statutory Trust
                        ----
V," as such  name  may be  modified  from  time  to  time by the  Administrators
following  written  notice  to  the  Holders  of  the  Securities.  The  Trust's
activities may be conducted under the name of the Trust or any other name deemed
advisable by the Administrators.

         Section 2.2.   Office.  The  address of  the  principal  office  of the
                        ------
Trust is c/o Wilmington  Trust Company,  Rodney Square North,  1100 North Market
Street,  Wilmington,  Delaware 19890-1600.  On at least 10 Business Days written
notice to the  Holders  of the  Securities,  the  Administrators  may  designate
another principal  office,  which shall be in a state of the United States or in
the District of Columbia.

         Section 2.3.   Purpose.  The  exclusive  purposes  and functions of the
                        -------
Trust are (a) to issue and sell the Securities representing undivided beneficial
interests in the assets of the Trust, (b) to invest the gross proceeds from such
sale to acquire the  Debentures,  (c) to  facilitate  direct  investment  in the
assets of the Trust through  issuance of the Common  Securities  and the Capital
Securities and (d) except as otherwise  limited herein,  to engage in only those
other  activities  necessary or incidental  thereto.  The Trust shall not borrow
money,  issue debt or reinvest proceeds derived from investments,  pledge any of
its assets,  or otherwise  undertake (or permit to be  undertaken)  any activity
that would cause the Trust not to be classified for United States federal income
tax purposes as a grantor trust.
<PAGE>

         Section 2.4.   Authority.  Except  as  specifically  provided  in  this
                        ---------
Declaration,  the  Institutional  Trustee  shall  have  exclusive  and  complete
authority to carry out the  purposes of the Trust.  An action taken by a Trustee
in accordance with its powers shall  constitute the act of and serve to bind the
Trust.  In dealing  with the Trustees  acting on behalf of the Trust,  no Person
shall be  required to inquire  into the  authority  of the  Trustees to bind the
Trust.  Persons dealing with the Trust are entitled to rely  conclusively on the
power  and  authority  of the  Trustees  as set forth in this  Declaration.  The
Administrators  shall have only those  ministerial  duties set forth herein with
respect to  accomplishing  the  purposes of the Trust and are not intended to be
trustees  or  fiduciaries  with  respect  to  the  Trust  or  the  Holders.  The
Institutional Trustee shall have the right, but shall not be obligated except as
provided in Section 2.6, to perform those duties assigned to the Administrators.

         Section 2.5.   Title to  Property  of  the Trust. Except as provided in
                        ---------------------------------
Section  2.8 with  respect  to the  Debentures  and the  Property  Account or as
otherwise  provided in this Declaration,  legal title to all assets of the Trust
shall be vested in the Trust. The Holders shall not have legal title to any part
of the assets of the Trust, but shall have an undivided  beneficial  interest in
the assets of the Trust.

         Section 2.6.   Powers   and   Duties   of   the   Trustees   and    the
                        --------------------------------------------------------
Administrators.
--------------

         (a)     The Trustees  and  the Administrators shall conduct the affairs
of the Trust in accordance  with the terms of this  Declaration.  Subject to the
limitations  set forth in paragraph (b) of this Section,  and in accordance with
the following provisions (i) and (ii), the Trustees and the Administrators shall
have the authority to enter into all transactions  and agreements  determined by
the Institutional Trustee to be appropriate in exercising the authority, express
or implied, otherwise granted to the Trustees or the Administrators, as the case
may be, under this Declaration,  and to perform all acts in furtherance thereof,
including without limitation, the following:

                (i)     Each  Administrator  shall  have the power and authority
         to act on behalf of the Trust with respect to the  following matters:

                       (A)  the issuance and sale of the Securities;

                       (B)  to cause the Trust to enter  into,  and  to  execute
                 and deliver on  behalf of  the Trust,  such  agreements as  may
                 be necessary  or  desirable in  connection  with  the  purposes
                 and  function  of  the  Trust,  including  agreements  with the
                 Paying Agent;

                       (C)   ensuring   compliance  with   the  Securities  Act,
                 applicable state securities or blue sky laws;

                       (D)   the  sending  of  notices  (other  than  notices of
                 default), and  other information regarding  the  Securities and
                 the   Debentures  to  the  Holders  in   accordance  with  this
                 Declaration;

                       (E)   the consent to the  appointment  of a Paying Agent,
                 Transfer   Agent  and  Registrar   in  accordance   with   this
                 Declaration,   which  consent  shall   not   be    unreasonably
                 withheld or delayed;

                       (F)   execution  and  delivery  of   the   Securities  in
                 accordance with this Declaration;

                       (G)   execution   and  delivery  of closing  certificates
                 pursuant    to the Placement  Agreement and the application for
                 a taxpayer identification number;
<PAGE>

                       (H)   unless  otherwise  determined  by the  Holders of a
                 Majority   in  liquidation  amount  of  the  Securities  or  as
                 otherwise  required  by  the Statutory Trust Act, to execute on
                 behalf of  the  Trust  (either  acting alone  or together  with
                 any  or  all of the  Administrators)  any  documents  that  the
                 Administrators  have  the  power  to execute  pursuant  to this
                 Declaration;

                       (I)   the  taking  of   any  action   incidental  to  the
                 foregoing  as  the Institutional Trustee  may from time to time
                 determine  is  necessary  or  advisable  to  give effect to the
                 terms  of  this  Declaration  for  the  benefit of the  Holders
                 (without  consideration  of  the  effect  of any such action on
                 any particular Holder);

                       (J)   to  establish  a record  date with  respect  to all
                 actions to be taken  hereunder that require  a  record date  be
                 established,    including    Distributions,    voting   rights,
                 redemptions  and  exchanges,  and  to issue relevant notices to
                 the  Holders  of  Capital  Securities  and  Holders  of Common
                 Securities  as  to  such actions and  applicable  record dates;
                 and

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

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

                       (A)   the establishment of the Property Account;

                       (B)   the receipt of the Debentures;

                       (C)   the collection of interest, principal and any other
                 payments  made  in  respect of  the  Debentures in the Property
                 Account;

                       (D)   the  distribution  through   the  Paying  Agent  of
                 amounts owed to the Holders in respect of the Securities;

                       (E)   the   exercise  of all of the  rights,  powers  and
                 privileges of a holder of the Debentures;

                       (F)   the   sending  of  notices  of  default  and  other
                 information  regarding  the  Securities and  the  Debentures to
                 the Holders in accordance with this Declaration;

                       (G)   the  distribution   of    the  Trust   Property  in
                 accordance with the terms of this Declaration;

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

                       (I)   after  any  Event  of  Default (provided  that such
                                                             --------
                 Event   of   Default  is   not  by  or  with   respect  to  the
                 Institutional  Trustee) the  taking  of  any action  incidental
                 to  the  foregoing  as the Institutional  Trustee may from time
                 to  time  determine  is  necessary  or advisable to give effect
                 to  the  terms  of this  Declaration  and protect and  conserve
                 the  Trust  Property  for  the benefit of the Holders  (without
                 consideration  of  the  effect  of   any  such  action  on  any
                 particular Holder); and
<PAGE>

                       (J)   to take all action  that may be  necessary  for the
                 preservation   and   the  continuation  of  the  Trust's  valid
                 existence,  rights, franchises and privileges  as  a  statutory
                 trust under the laws of the State of Delaware.

                (iii)   The  Institutional Trustee  shall  have  the  power  and
         authority  to act on behalf of the Trust  with  respect  to  any of the
         duties, liabilities, powers or the authority of the  Administrators set
         forth in Section 2.6(a)(i)(D), (E) and (F) herein  but shall not have a
         duty to do any  such act  unless  specifically  requested  to  do so in
         writing by the  Sponsor,  and shall then be fully  protected in  acting
         pursuant  to such  written  request;  and in the  event of  a  conflict
         between  the  action  of the  Administrators  and  the  action  of  the
         Institutional  Trustee, the action of the Institutional  Trustee  shall
         prevail.

         (b)     So long as this  Declaration  remains in effect,  the Trust (or
the  Trustees  or  Administrators  acting  on  behalf  of the  Trust)  shall not
undertake any business,  activities or transaction  except as expressly provided
herein or  contemplated  hereby.  In  particular,  neither the  Trustees nor the
Administrators  may cause the Trust to (i) acquire any  investments or engage in
any activities not authorized by this Declaration,  (ii) sell, assign, transfer,
exchange,  mortgage,  pledge,  set-off or otherwise  dispose of any of the Trust
Property  or  interests  therein,  including  to  Holders,  except as  expressly
provided herein,  (iii) take any action that would reasonably be expected (x) to
cause the Trust to fail or cease to  qualify  as a  "grantor  trust"  for United
States federal income tax purposes or (y) to require the trust to register as an
Investment Company under the Investment Company Act, (iv) incur any indebtedness
for borrowed  money or issue any other debt or (v) take or consent to any action
that would result in the placement of a lien on any of the Trust  Property.  The
Institutional  Trustee shall, at the sole cost and expense of the Trust,  defend
all claims and  demands of all Persons at any time  claiming  any lien on any of
the Trust Property  adverse to the interest of the Trust or the Holders in their
capacity as Holders.

         (c)     In  connection  with  the  issuance  and  sale  of  the Capital
Securities,  the Sponsor shall have the right and  responsibility  to assist the
Trust with respect to, or effect on behalf of the Trust,  the following (and any
actions taken by the Sponsor in furtherance  of the following  prior to the date
of this Declaration are hereby ratified and confirmed in all respects):

                (i)     the  taking  of   any  action  necessary  to  obtain  an
         exemption from the Securities Act;

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

                (iii)   the  negotiation of the terms of,  and the execution and
         delivery  of, the  Placement  Agreement  providing  for the sale of the
         Capital  Securities; and

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

         (d)     Notwithstanding   anything   herein   to   the   contrary,  the
Administrators and the Holders of a Majority in liquidation amount of the Common
Securities  are  authorized and directed to conduct the affairs of the Trust and

<PAGE>

to  operate  the  Trust  so that  the  Trust  will  not (i) be  deemed  to be an
Investment  Company required to be registered under the Investment  Company Act,
and (ii) fail to be  classified as a "grantor  trust" for United States  federal
income tax  purposes.  The  Administrators  and the  Holders  of a  Majority  in
liquidation   amount  of  the  Common  Securities  shall  not  take  any  action
inconsistent  with  the  treatment  of the  Debentures  as  indebtedness  of the
Debenture  Issuer  for  United  States  federal  income  tax  purposes.  In this
connection,  the  Administrators  and the Holders of a Majority  in  liquidation
amount  of the  Common  Securities  are  authorized  to  take  any  action,  not
inconsistent with applicable laws, the Certificate of Trust or this Declaration,
as amended from time to time, that each of the Administrators and the Holders of
a Majority in liquidation  amount of the Common  Securities  determines in their
discretion to be necessary or desirable for such purposes.

         (e)     All expenses incurred  by the  Administrators or  the  Trustees
pursuant  to this  Section  2.6  shall be  reimbursed  by the  Sponsor,  and the
Trustees and the  Administrators  shall have no obligations with respect to such
expenses  (for  purposes  of   clarification,   this  Section  2.6(e)  does  not
contemplate  the payment by the Sponsor of acceptance  or annual  administration
fees owing to the Trustees  under this  Declaration  or the fees and expenses of
the  Trustees'  counsel  in  connection  with the  closing  of the  transactions
contemplated by this Declaration).

         (f)     The assets of the Trust shall consist of the Trust Property.

         (g)     Legal title to all Trust Property  shall be vested at all times
in the  Institutional  Trustee  (in its  capacity as such) and shall be held and
administered by the Institutional Trustee and the Administrators for the benefit
of the Trust in accordance with this Declaration.

         (h)     If the Institutional Trustee or any Holder  has instituted  any
proceeding  to  enforce  any right or remedy  under  this  Declaration  and such
proceeding  has been  discontinued  or  abandoned  for any  reason,  or has been
determined adversely to the Institutional Trustee or to such Holder, then and in
every such case the Sponsor,  the  Institutional  Trustee and the Holders shall,
subject to any  determination  in such  proceeding,  be restored  severally  and
respectively to their former positions hereunder,  and thereafter all rights and
remedies of the  Institutional  Trustee and the Holders shall continue as though
no such proceeding had been instituted.

         Section 2.7.   Prohibition    of   Actions   by   the  Trust  and   the
                        --------------------------------------------------------
Institutional Trustee.
---------------------

         (a)     The Trust shall not, and the Institutional  Trustee shall cause
the Trust not to, engage in any activity other than as required or authorized by
this  Declaration.  In  particular,  the Trust  shall not and the  Institutional
Trustee shall cause the Trust not to:

                (i)     invest any  proceeds  received by the Trust from holding
         the  Debentures,  but shall  distribute all such proceeds to Holders of
         the Securities pursuant to the terms  of  this  Declaration  and of the
         Securities;

                (ii)    acquire any  assets  other  than  as  expressly provided
         herein;

                (iii)   possess Trust Property for other than a Trust purpose;

                (iv)    make  any loans or incur  any  indebtedness  other  than
         loans represented by the Debentures;

                (v)     possess any power or  otherwise  act in such a way as to
         vary  the  Trust  assets  or  the  terms  of the  Securities in any way
         whatsoever other than as expressly provided herein;
<PAGE>

                (vi)    issue any securities or other  evidences  of  beneficial
         ownership  of,  or  beneficial  interest  in, the Trust  other than the
         Securities;

                (vii)   carry on any "trade or  business" as that phrase is used
         in the Code; or

                (viii)  other than as provided  in this  Declaration  (including
         Annex I),  (A) direct the time,  method  and  place of  exercising  any
         trust or power  conferred  upon the  Debenture  Trustee with respect to
         the Debentures,  (B) waive any  past default that is waivable under the
         Indenture,  (C) exercise any  right to rescind or annul any declaration
         that the principal of all  the Debentures shall be due and payable,  or
         (D)  consent to  any  amendment,  modification  or  termination  of the
         Indenture  or  the  Debentures  where such  consent  shall be  required
         unless the Trust shall  have  received a written  opinion of counsel to
         the effect that  such modification will not cause the Trust to cease to
         be classified as  a "grantor  trust" for United States  federal  income
         tax purposes.

         Section 2.8.   Powers and Duties of the Institutional Trustee.
                        ----------------------------------------------

         (a)     The legal title to  the  Debentures  shall be owned by and held
of record in the name of the  Institutional  Trustee in trust for the benefit of
the Trust and the Holders of the  Securities.  The right,  title and interest of
the  Institutional  Trustee to the Debentures  shall vest  automatically in each
Person who may  hereafter be appointed as  Institutional  Trustee in  accordance
with Section 4.5. Such vesting and cessation of title shall be effective whether
or not  conveyancing  documents with regard to the Debentures have been executed
and delivered.

         (b)     The Institutional  Trustee shall not transfer its right,  title
and interest in the Debentures to the Administrators or to the Delaware Trustee.

         (c)     The Institutional Trustee shall:

                (i)     establish and maintain a segregated non-interest bearing
         trust  account (the  "Property  Account") in  the name of and under the
                               -----------------
         exclusive control of the Institutional  Trustee, and  maintained in the
         Institutional Trustee's trust department,  on behalf  of the Holders of
         the  Securities  and,  upon the  receipt of  payments  of funds made in
         respect of the Debentures held by the  Institutional  Trustee,  deposit
         such funds into the Property  Account and  make payments,  or cause the
         Paying   Agent  to  make  payments,  to  the  Holders  of  the  Capital
         Securities  and  Holders of  the Common  Securities  from the  Property
         Account in accordance with  Section 5.1. Funds in the Property  Account
         shall be  held  uninvested  until  disbursed  in  accordance  with this
         Declaration;

                (ii)    engage  in  such  ministerial  activities  as  shall  be
         necessary  or  appropriate  to  effect  the  redemption  of the Capital
         Securities  and the Common  Securities to the extent the Debentures are
         redeemed or mature; and

                (iii)   upon  written notice  of  distribution   issued  by  the
         Administrators in  accordance with the terms of the Securities,  engage
         in  such ministerial activities as shall be necessary or appropriate to
         effect  the  distribution  of the  Debentures  to Holders of Securities
         upon  the occurrence of certain circumstances  pursuant to the terms of
         the Securities.

         (d)     The Institutional Trustee may  bring or  defend,  pay, collect,
compromise,  arbitrate,  resort to legal  action with  respect to, or  otherwise
adjust  claims or demands of or  against,  the Trust  which  arises out of or in
connection  with an  Event of  Default  of which a  Responsible  Officer  of the
Institutional  Trustee has actual  knowledge or arises out of the  Institutional
Trustee's duties and obligations under this Declaration; provided, however, that
                                                         --------  -------
if an Event  of  Default  has  occurred  and is  continuing  and  such  event is
attributable to the failure of the Debenture Issuer to pay interest or principal
on the  Debentures on the date such  interest or principal is otherwise  payable

<PAGE>

(or in the case of  redemption,  on the redemption  date),  then a Holder of the
Capital  Securities  may directly  institute a  proceeding  for  enforcement  of
payment to such Holder of the principal of or interest on the Debentures  having
a principal  amount  equal to the  aggregate  liquidation  amount of the Capital
Securities  of such Holder (a "Direct  Action") on or after the  respective  due
                               --------------
date specified in the  Debentures.  In connection  with such Direct Action,  the
rights of the Holders of the Common  Securities will be subrogated to the rights
of such Holder of the Capital  Securities  to the extent of any payment  made by
the  Debenture  Issuer to such Holder of the Capital  Securities  in such Direct
Action; provided,  however, that no Holder of the Common Securities may exercise
        --------   -------
such right of  subrogation  so long as an Event of Default  with  respect to the
Capital Securities has occurred and is continuing.

         (e)     The Institutional Trustee shall continue  to serve as a Trustee
until either:

                (i)     the  Trust   has  been  completely  liquidated  and  the
         proceeds  of   the  liquidation  distributed  to  the  Holders  of  the
         Securities   pursuant   to   the  terms  of  the  Securities  and  this
         Declaration; or

                (ii)    a Successor Institutional Trustee has been appointed and
         has accepted that appointment in accordance with Section 4.5.

         (f)     The  Institutional  Trustee  shall  have  the  legal  power  to
exercise all of the rights,  powers and privileges of a Holder of the Debentures
under the Indenture and, if an Event of Default  occurs and is  continuing,  the
Institutional Trustee may, for the benefit of Holders of the Securities, enforce
its rights as holder of the  Debentures  subject  to the  rights of the  Holders
pursuant  to  this  Declaration  (including  Annex  I)  and  the  terms  of  the
Securities.

         The  Institutional  Trustee must  exercise the powers set forth in this
Section 2.8 in a manner that is  consistent  with the purposes and  functions of
the Trust set out in Section 2.3, and the  Institutional  Trustee shall not take
any action that is inconsistent with the purposes and functions of the Trust set
out in Section 2.3.

         Section 2.9    Certain Duties and Responsibilities of the  Trustees and
                        --------------------------------------------------------
Administrators.
--------------

         (a)     The Institutional  Trustee,  before the occurrence of any Event
of Default  and after the curing or waiving of all such  Events of Default  that
may  have  occurred,  shall  undertake  to  perform  only  such  duties  as  are
specifically  set forth in this  Declaration  and no implied  covenants shall be
read into this Declaration  against the Institutional  Trustee. In case an Event
of Default has occurred  (that has not been cured or waived  pursuant to Section
6.7),  the  Institutional  Trustee shall  exercise such of the rights and powers
vested in it by this  Declaration,  and use the same degree of care and skill in
their   exercise,   as  a  prudent  person  would  exercise  or  use  under  the
circumstances in the conduct of his or her own affairs.

         (b)     The duties and  responsibilities   of  the   Trustees  and  the
Administrators  shall be as provided by this  Declaration.  Notwithstanding  the
foregoing,  no  provision  of this  Declaration  shall  require  any  Trustee or
Administrator to expend or risk their own funds or otherwise incur any financial
liability  in the  performance  of  any of  their  duties  hereunder,  or in the
exercise of any of their rights or powers if it shall have reasonable grounds to
believe that repayment of such funds or adequate protection against such risk of
liability is not reasonably  assured to it. Whether or not therein  expressly so
provided,  every  provision  of this  Declaration  relating  to the  conduct  or
affecting  the  liability  of  or  affording   protection  to  the  Trustees  or
Administrators  shall be subject to the  provisions of this Article.  Nothing in
this  Declaration  shall be construed to relieve an  Administrator  or a Trustee
from liability for its own negligent  act, its own negligent  failure to act, or
its own willful  misconduct.  To the extent that, at law or in equity, a Trustee
or an Administrator  has duties and liabilities  relating to the Trust or to the

<PAGE>

Holders,  such Trustee or such Administrator shall not be liable to the Trust or
to any Holder for such Trustee's or such  Administrator's good faith reliance on
the provisions of this Declaration.  The provisions of this Declaration,  to the
extent that they restrict the duties and  liabilities of the  Administrators  or
the Trustee  otherwise  existing at law or in equity,  are agreed by the Sponsor
and  the  Holders  to  replace  such  other  duties  and   liabilities   of  the
Administrators or the Trustees.

         (c)     All  payments  made  by  the  Institutional Trustee or a Paying
Agent in  respect  of the  Securities  shall be made only from the  revenue  and
proceeds  from the Trust  Property  and only to the extent  that there  shall be
sufficient   revenue  or  proceeds  from  the  Trust   Property  to  enable  the
Institutional  Trustee or a Paying Agent to make payments in accordance with the
terms hereof. Each Holder, by its acceptance of a Security,  agrees that it will
look solely to the revenue and  proceeds  from the Trust  Property to the extent
legally  available  for  distribution  to it as  herein  provided  and  that the
Trustees and the  Administrators  are not personally liable to it for any amount
distributable  in respect of any Security or for any other  liability in respect
of any  Security.  This  Section  2.9(c)  does not  limit the  liability  of the
Trustees expressly set forth elsewhere in this Declaration.

         (d)     The Institutional  Trustee shall not be liable for its own acts
or omissions  hereunder except as a result of its own negligent action,  its own
negligent failure to act, or its own willful misconduct, except that:

                (i)     the  Institutional  Trustee  shall not be liable for any
         error of judgment made in good faith by an  Authorized  Officer  of the
         Institutional   Trustee,   unless   it  shall  be   proved   that   the
         Institutional  Trustee  was  negligent in  ascertaining  the  pertinent
         facts;

                (ii)    the  Institutional  Trustee  shall  not  be  liable with
         respect to any action taken or omitted to be taken by it in good  faith
         in accordance  with the direction of the  Holders  of not  less  than a
         Majority in liquidation amount of the Capital Securities or  the Common
         Securities,  as applicable,  relating to the time, method and  place of
         conducting   any   proceeding   for  any  remedy   available   to   the
         Institutional Trustee, or  exercising any trust or power conferred upon
         the Institutional Trustee under this Declaration;

                (iii)   the  Institutional  Trustee's sole duty with  respect to
         the  custody,  safekeeping and physical  preservation of the Debentures
         and  the  Property  Account  shall  be  to deal with such property in a
         similar manner as the Institutional Trustee deals with similar property
         for its fiduciary accounts generally,  subject to the  protections  and
         limitations  on liability  afforded to the Institutional  Trustee under
         this Declaration;

                (iv)    the Institutional Trustee shall  not be  liable  for any
         interest on any money received by it except as it  may otherwise  agree
         in  writing  with the  Sponsor;  and money  held  by the  Institutional
         Trustee need not be  segregated  from other funds held  by it except in
         relation  to the  Property  Account  maintained  by  the  Institutional
         Trustee  pursuant  to  Section  2.8(c)(i)  and  exc ept  to  the extent
         otherwise required by law; and

                (v)     the Institutional Trustee shall not be  responsible  for
         monitoring  the compliance by the  Administrators  or the Sponsor  with
         their  respective  duties  under  this  Declaration,   nor  shall   the
         Institutional  Trustee  be liable for any default or  misconduct of the
         Administrators or the Sponsor.

         Section 2.10.  Certain Rights of Institutional Trustee.  Subject to the
                        ---------------------------------------
provisions of Section 2.9:
<PAGE>

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

         (b)     if (i) in performing its duties  under  this  Declaration,  the
Institutional  Trustee is  required  to decide  between  alternative  courses of
action,  (ii) in  construing  any of the  provisions  of this  Declaration,  the
Institutional  Trustee finds the same ambiguous or  inconsistent  with any other
provisions contained herein, or (iii) the Institutional Trustee is unsure of the
application of any provision of this Declaration,  then, except as to any matter
as to which the  Holders of Capital  Securities  are  entitled to vote under the
terms of this Declaration, the Institutional Trustee may deliver a notice to the
Sponsor requesting the Sponsor's written instructions as to the course of action
to be taken and the  Institutional  Trustee  shall take such action,  or refrain
from taking such action,  as the  Institutional  Trustee  shall be instructed in
writing, in which event the Institutional Trustee shall have no liability except
for its own negligence or willful misconduct;

         (c)     any direction or act  of  the  Sponsor  or  the  Administrators
contemplated by this Declaration shall be sufficiently evidenced by an Officers'
Certificate;

         (d)     whenever in the  administration   of  this   Declaration,   the
Institutional  Trustee  shall  deem it  desirable  that a matter  be  proved  or
established before undertaking,  suffering or omitting any action hereunder, the
Institutional Trustee (unless other evidence is herein specifically  prescribed)
may request and  conclusively  rely upon an Officers'  Certificate as to factual
matters which, upon receipt of such request,  shall be promptly delivered by the
Sponsor or the Administrators;

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

         (f)     the  Institutional  Trustee  may  consult  with  counsel of its
selection (which counsel may be counsel to the Sponsor or any of its Affiliates)
and the advice of such  counsel  shall be full and  complete  authorization  and
protection in respect of any action  taken,  suffered or omitted by it hereunder
in good faith and in reliance  thereon and in accordance  with such advice;  the
Institutional  Trustee  shall  have the  right at any time to seek  instructions
concerning the  administration  of this  Declaration from any court of competent
jurisdiction;

         (g)     the Institutional  Trustee  shall  be  under  no  obligation to
exercise  any of the rights or powers  vested in it by this  Declaration  at the
request or direction of any of the Holders pursuant to this Declaration,  unless
such  Holders  shall  have  offered to the  Institutional  Trustee  security  or
indemnity  reasonably  satisfactory  to  it  against  the  costs,  expenses  and
liabilities  which might be incurred by it in  compliance  with such  request or
direction;  provided,  that nothing  contained in this Section  2.10(g) shall be
            --------
taken to relieve the Institutional Trustee,  subject to Section 2.9(b), upon the
occurrence of an Event of Default (that has not been cured or waived pursuant to
Section  6.7),  to exercise  such of the rights and powers  vested in it by this
Declaration,  and use the same degree of care and skill in their exercise,  as a
prudent person would exercise or use under the  circumstances  in the conduct of
his or her own affairs;

         (h)     the Institutional Trustee  shall  not  be  bound  to  make  any
investigation  into the facts or matters stated in any resolution,  certificate,
statement,   instrument,  opinion,  report,  notice,  request,  consent,  order,
approval, bond, debenture, note or other evidence of indebtedness or other paper
or document,  unless  requested in writing to do so by one or more Holders,  but
the  Institutional  Trustee may make such further inquiry or investigation  into
such facts or matters as it may see fit;
<PAGE>

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

         (j)     whenever in  the  administration   of  this   Declaration   the
Institutional  Trustee  shall deem it  desirable  to receive  instructions  with
respect to enforcing  any remedy or right or taking any other  action  hereunder
the Institutional  Trustee (i) may request  instructions from the Holders of the
Capital  Securities  which  instructions may only be given by the Holders of the
same  proportion  in  liquidation  amount of the Capital  Securities as would be
entitled  to direct the  Institutional  Trustee  under the terms of the  Capital
Securities  in respect of such  remedy,  right or action,  (ii) may refrain from
enforcing  such  remedy  or  right  or  taking  such  other  action  until  such
instructions  are  received,  and (iii)  shall be fully  protected  in acting in
accordance with such instructions;

         (k)     except as otherwise expressly provided in this Declaration, the
Institutional  Trustee shall not be under any obligation to take any action that
is discretionary under the provisions of this Declaration;

         (l)     when  the  Institutional  Trustee  incurs  expenses  or renders
services in connection  with a Bankruptcy  Event,  such expenses  (including the
fees and  expenses of its counsel) and the  compensation  for such  services are
intended to constitute  expenses of  administration  under any bankruptcy law or
law relating to creditors rights generally;

         (m)     the Institutional Trustee  shall not be  charged with knowledge
of an Event of Default unless a Responsible Officer of the Institutional Trustee
obtains actual  knowledge of such event or the  Institutional  Trustee  receives
written  notice of such  event from any  Holder,  the  Sponsor or the  Debenture
Trustee;

         (n)     any action taken by the  Institutional  Trustee  or its  agents
hereunder  shall  bind the  Trust and the  Holders  of the  Securities,  and the
signature of the  Institutional  Trustee or its agents alone shall be sufficient
and effective to perform any such action and no third party shall be required to
inquire as to the authority of the Institutional  Trustee to so act or as to its
compliance  with any of the terms and  provisions of this  Declaration,  both of
which shall be  conclusively  evidenced  by the  Institutional  Trustee's or its
agent's taking such action; and

         (o)     no provision of this Declaration shall be deemed to impose  any
duty or  obligation on the  Institutional  Trustee to perform any act or acts or
exercise any right, power, duty or obligation conferred or imposed on it, in any
jurisdiction in which it shall be illegal, or in which the Institutional Trustee
shall be  unqualified  or  incompetent  in accordance  with  applicable  law, to
perform any such act or acts,  or to exercise  any such  right,  power,  duty or
obligation.  No  permissive  power or authority  available to the  Institutional
Trustee shall be construed to be a duty.

         Section 2.11.  Delaware  Trustee.  Notwithstanding any other  provision
                        -----------------
of this  Declaration  other than Section 4.1, the Delaware  Trustee shall not be
entitled to exercise any powers,  nor shall the Delaware Trustee have any of the
duties  and  responsibilities  of  any  of the  Trustees  or the  Administrators
described in this  Declaration  (except as may be required  under the  Statutory
Trust Act).  Except as set forth in Section 4.1, the Delaware Trustee shall be a
Trustee for the sole and limited  purpose of fulfilling the  requirements of ss.
3807 of the Statutory Trust Act.
<PAGE>

         Section 2.12.  Execution of Documents.  Unless otherwise  determined in
                        ----------------------
writing by the Institutional  Trustee,  and except as otherwise  required by the
Statutory  Trust  Act,  the  Institutional  Trustee,  or any  one or more of the
Administrators,  as the case may be, is  authorized  to execute on behalf of the
Trust any documents that the Trustees or the Administrators, as the case may be,
have the power and authority to execute pursuant to Section 2.6.

         Section 2.13.  Not  Responsible for Recitals or Issuance of Securities.
                        -------------------------------------------------------
The recitals  contained in this Declaration and the Securities shall be taken as
the statements of the Sponsor, and the Trustees do not assume any responsibility
for their  correctness.  The Trustees make no representations as to the value or
condition of the property of the Trust or any part thereof. The Trustees make no
representations  as to the  validity or  sufficiency  of this  Declaration,  the
Debentures or the Securities.

         Section 2.14.  Duration of Trust. The Trust,  unless earlier  dissolved
                        -----------------
pursuant to the  provisions of Article VII hereof,  shall be in existence for 35
years from the Closing Date.

         Section 2.15.  Mergers.
                        -------

         (a)     The Trust may not consolidate, amalgamate,  merge with or into,
or be  replaced  by, or  convey,  transfer  or lease its  properties  and assets
substantially  as an  entirety  to any  corporation  or other  body,  except  as
described  in  Section  2.15(b)  and (c)  and  except  in  connection  with  the
liquidation  of the Trust and the  distribution  of the Debentures to Holders of
Securities  pursuant to Section  7.1(a)(iv) of the  Declaration  or Section 4 of
Annex I.

         (b)     The Trust may,  with the consent of the  Institutional  Trustee
and without the consent of the Holders of the Capital  Securities,  consolidate,
amalgamate,  merge with or into,  or be  replaced by a trust  organized  as such
under the laws of any state; provided that:

                (i)     if the Trust is not the surviving entity, such successor
         entity (the "Successor Entity") either:
                      ----------------

                       (A)   expressly  assumes all  of the  obligations  of the
                 Trust under the Securities; or

                       (B)   substitutes for  the  Securities  other  securities
                 having  substantially   the  same terms as the Securities  (the
                 "Successor Securities") so that the Successor  Securities  rank
                  --------------------
                 the same as the Securities  rank with respect to  Distributions
                 and payments upon Liquidation, redemption and otherwise;

                (ii)    the   Sponsor   expressly  appoints  a  trustee  of  the
         Successor  Entity  that  possesses  substantially  the same  powers and
         duties as the Institutional Trustee as the Holder of the Debentures;

                (iii)   such merger, consolidation, amalgamation  or replacement
         does  not adversely  affect the rights,  preferences  and privileges of
         the  Holders of the Securities  (including any Successor Securities) in
         any material respect;

                (iv)    the Institutional  Trustee receives written confirmation
         from  Moody's  Investor  Services, Inc.  and   any   other   nationally
         recognized statistical rating organization that rates securities issued
         by  the initial  purchaser of  the Capital  Securities that it will not
         reduce or withdraw  the rating of any such  securities  because of such
         merger, conversion, consolidation, amalgamation or replacement;

                (v)     such  Successor  Entity  has  a  purpose   substantially
         identical to that of the Trust;
<PAGE>

                (vi)    prior to such merger,  consolidation,   amalgamation  or
         replacement,  the  Trust  has  received  an  opinion  of  a  nationally
         recognized  independent  counsel  to  the  Trust  experienced  in  such
         matters to the effect that:

                       (A)   such     merger,   consolidation,  amalgamation  or
                 replacement  does not adversely affect the rights,  preferences
                 and privileges of  the  Holders  of  the  Securities (including
                 any  Successor Securities) in any material respect;

                       (B)   following such merger, consolidation,  amalgamation
                 or  replacement,  neither  the Trust  nor the Successor  Entity
                 will be required to register as an Investment Company; and

                       (C)   following such  merger, consolidation, amalgamation
                 or  replacement,  the  Trust (or  the  Successor  Entity)  will
                 continue to  be  classified  as  a "grantor  trust" for  United
                 States federal income tax purposes;

                (vii)   the Sponsor guarantees the obligations of such Successor
         Entity  under the Successor  Securities at least to the extent provided
         by the Guarantee;

                (viii)  the  Sponsor  owns 100% of the common  securities of any
         Successor Entity; and

                (ix)    prior to such  merger,  consolidation,  amalgamation  or
         replacement,   the   Institutional   Trustee  shall  have  received  an
         Officers' Certificate  of the Administrators and an opinion of counsel,
         each to the effect that  all  conditions  precedent  under this Section
         2.15(b) to such transaction  have been satisfied.

         (c) Notwithstanding  Section 2.15(b),  the Trust shall not, except with
the  consent  of  Holders  of  100%  in  aggregate  liquidation  amount  of  the
Securities,  consolidate,  amalgamate, merge with or into, or be replaced by any
other entity or permit any other entity to consolidate,  amalgamate,  merge with
or  into,  or  replace  it  if  such  consolidation,   amalgamation,  merger  or
replacement  would cause the Trust or Successor Entity to be classified as other
than a grantor trust for United States federal income tax purposes.

                                   ARTICLE III

                                     SPONSOR

         Section 3.1.   Sponsor's Purchase of Common Securities.  On the Closing
                        ---------------------------------------
Date, the Sponsor will purchase all of the Common Securities issued by the Trust
in an amount at least equal to 3% of the capital of the Trust,  at the same time
as the Capital Securities are sold.

         Section 3.2.   Responsibilities of the Sponsor.  In connection with the
                        -------------------------------
issue and sale of the Capital  Securities,  the Sponsor shall have the exclusive
right and  responsibility  to engage in, or direct the  Administrators to engage
in, the following activities:

         (a)     to determine the States in which to take appropriate  action to
qualify the Trust or to qualify or register  for sale all or part of the Capital
Securities  and to do any and all such acts,  other than  actions  which must be
taken by the Trust,  and advise the Trust of actions it must take,  and  prepare
for execution and filing any documents to be executed and filed by the Trust, as
the Sponsor deems  necessary or advisable in order to comply with the applicable
laws of any such States,  to protect the limited liability of the Holders of the
Capital  Securities  or to enable the Trust to effect the  purposes for which it
was created; and
<PAGE>

         (b)     to  negotiate  the  terms  of  and/or  execute on behalf of the
Trust, the Placement  Agreement and other related  agreements  providing for the
sale of the Capital Securities.

         Section 3.3.   Expenses.  In  connection  with the  offering,  sale and
                        --------
issuance of the  Debentures to the Trust and in connection  with the sale of the
Securities  by the Trust,  the Sponsor,  in its  capacity as  Debenture  Issuer,
shall:

         (a)     pay all reasonable costs and  expenses owing  to the  Debenture
Trustee pursuant to Section 6.6 of the Indenture;

         (b)     be  responsible  for  and  shall pay all debts and  obligations
(other than with  respect to the  Securities)  and all costs and expenses of the
Trust, the offering,  sale and issuance of the Securities (including fees to the
placement  agents in connection  therewith),  the costs and expenses  (including
reasonable  counsel  fees and  expenses)  of the  Institutional  Trustee and the
Administrators,  the costs and expenses  relating to the operation of the Trust,
including,  without  limitation,  costs and expenses of accountants,  attorneys,
statistical  or  bookkeeping  services,  expenses for printing and engraving and
computing or accounting equipment,  Paying Agents, Registrars,  Transfer Agents,
duplicating,  travel and  telephone  and other  telecommunications  expenses and
costs and expenses incurred in connection with the acquisition,  financing,  and
disposition of Trust assets and the enforcement by the Institutional  Trustee of
the rights of the Holders (for purposes of  clarification,  this Section  3.3(b)
does not  contemplate  the  payment  by the  Sponsor  of  acceptance  or  annual
administration  fees  owing  to the  Trustees  pursuant  to the  services  to be
provided by the Trustees under this  Declaration or the fees and expenses of the
Trustees'   counsel  in  connection   with  the  closing  of  the   transactions
contemplated by this Declaration); and

         (c)     pay  any  and  all taxes (other than United States  withholding
taxes  attributable to the Trust or its assets) and all  liabilities,  costs and
expenses with respect to such taxes of the Trust.

         The  Sponsor's  obligations  under  this  Section  3.3 shall be for the
benefit  of,  and shall be  enforceable  by,  any  Person  to whom  such  debts,
obligations,  costs,  expenses and taxes are owed (a "Creditor")  whether or not
                                                      --------
such  Creditor has received  notice  hereof.  Any such  Creditor may enforce the
Sponsor's  obligations  under this Section 3.3 directly  against the Sponsor and
the  Sponsor  irrevocably  waives any right or remedy to  require  that any such
Creditor take any action against the Trust or any other Person before proceeding
against the Sponsor. The Sponsor agrees to execute such additional agreements as
may be necessary or desirable in order to give full effect to the  provisions of
this Section 3.3.

         Section 3.4.   Right to Proceed. The Sponsor acknowledges the rights of
                        ----------------
Holders to institute a Direct Action as set forth in Section 2.8(d) hereto.

                                   ARTICLE IV

                    INSTITUTIONAL TRUSTEE AND ADMINISTRATORS

         Section 4.1.   Number of Trustees.   The   number   of  Trustees  shall
                        ------------------
initially be two, and;

         (a)     at any time before the issuance of  any Securities, the Sponsor
may, by written instrument, increase or decrease the number of Trustees; and

         (b)     after  the  issuance of  any Securities, the number of Trustees
may be increased   or   decreased   by  vote  of  the  Holder  of  a Majority in
liquidation  amount  of the Common  Securities voting as a class at a meeting of
the Holder of the Common Securities; provided, however, that  there  shall  be a
                                     --------  -------
Delaware  Trustee if required  by Section  4.2;  and there  shall  always be one
Trustee who shall be the Institutional  Trustee, and such Trustee may also serve
as  Delaware  Trustee  if it meets the  applicable  requirements,  in which case
Section  2.11  shall  have no  application  to such  entity in its  capacity  as
Institutional Trustee.
<PAGE>

         Section 4.2.   Delaware Trustee; Eligibility.
                        -----------------------------

         (a)     If  required  by  the  Statutory  Trust Act, one  Trustee  (the
"Delaware Trustee") shall be:

                (i)     a  natural  person  at least 21 years  of  age  who is a
         resident of the State of Delaware; or

                (ii)    if  not  a natural person,  an entity which is organized
         under  the laws  of  the  United  States or  any  state  thereof or the
         District of Columbia,  has  its  principal  place  of  business  in the
         State of Delaware,  and otherwise meets the requirements  of applicable
         law, including ss. 3807 of the Statutory Trust Act.

         (b)     The initial Delaware Trustee shall be Wilmington Trust Company.

         Section 4.3.   Institutional Trustee; Eligibility.
                        ----------------------------------

         (a)     There shall at all times be one Trustee which shall:

                (i)     not be an Affiliate of the Sponsor;

                (ii)    not offer or provide credit or credit enhancement to the
          Trust; and

                (iii)   be a banking corporation or trust company  organized and
         doing   business  under the laws of the United States of America or any
         state  thereof or the District of Columbia,  authorized under such laws
         to  exercise  corporate  trust  powers,  having a combined  capital and
         surplus  of  at least 50 million  U.S.  dollars  ($50,000,000.00),  and
         subject to  supervision or examination by Federal,  state,  or District
         of  Columbia  authority.  If  such  corporation  publishes  reports  of
         condition at  least annually, pursuant to law or to the requirements of
         the supervising  or examining authority referred to above, then for the
         purposes of this  Section 4.3(a)(iii), the combined capital and surplus
         of such   corporation  shall be deemed to be its  combined  capital and
         surplus  as  set  forth in its  most  recent  report  of  condition  so
         published.

         (b)     If  at  any  time  the  Institutional Trustee shall cease to be
eligible  to so act  under  Section  4.3(a),  the  Institutional  Trustee  shall
immediately resign in the manner and with the effect set forth in Section 4.5.

         (c)     If   the   Institutional  Trustee  has  or  shall  acquire  any
"conflicting  interest"  within  the  meaning  of  Section  310(b)  of the Trust
Indenture  Act of 1939,  as amended,  the  Institutional  Trustee  shall  either
eliminate such interest or resign,  to the extent and in the manner provided by,
and subject to this Declaration.

         (d)     The  initial Institutional Trustee shall  be  Wilmington  Trust
Company.

         Section 4.4.   Administrators.  Each  Administrator  shall  be  a  U.S.
                        --------------
Person, 21 years of age or older and authorized to bind the Sponsor. The initial
Administrators  shall be Allen H. Blake,  Peter D. Wimmer and Lisa K. Vansickle.
There  shall  at all  times  be at  least  one  Administrator.  Except  where  a
requirement for action by a specific number of  Administrators  is expressly set
forth in this  Declaration  and except with  respect to any action the taking of
which is the subject of a meeting of the Administrators,  any action required or
permitted  to be taken by the  Administrators  may be taken by, and any power of
the  Administrators  may be  exercised  by, or with the consent of, any one such
Administrator.
<PAGE>

         Section 4.5.   Appointment,  Removal and  Resignation  of Trustees  and
                        --------------------------------------------------------
Administrators.
--------------

         (a)     No   resignation  or  removal  of  any  Trustee  (the "Relevant
Trustee") and no  appointment  of a successor  Trustee  pursuant to this Article
shall become  effective  until the  acceptance of  appointment  by the successor
Trustee in accordance with the applicable requirements of this Section 4.5.

         (b)     Subject to Section 4.5(a), a Relevant Trustee may resign at any
time by giving  written  notice  thereof to the Holders of the Securities and by
appointing  a  successor   Relevant   Trustee.   Upon  the  resignation  of  the
Institutional  Trustee,  the Institutional  Trustee shall appoint a successor by
requesting  from at least three  Persons  meeting the  eligibility  requirements
their expenses and charges to serve as the successor  Institutional Trustee on a
form provided by the Administrators,  and selecting the Person who agrees to the
lowest  expense and charges  (the  "Successor  Institutional  Trustee").  If the
instrument  of acceptance by the  successor  Relevant  Trustee  required by this
Section 4.5 shall not have been delivered to the Relevant Trustee within 60 days
after the giving of such notice of  resignation or delivery of the instrument of
removal,  the Relevant  Trustee may petition,  at the expense of the Trust,  any
federal,  state or District of Columbia court of competent  jurisdiction for the
appointment of a successor  Relevant  Trustee.  Such court may thereupon,  after
prescribing  such  notice,  if any,  as it may deem  proper,  appoint a Relevant
Trustee. The Institutional  Trustee shall have no liability for the selection of
such successor pursuant to this Section 4.5.

         (c)     Unless  an   Event  of  Default  shall  have  occurred  and  be
continuing, any Trustee may be removed at any time by an act of the Holders of a
Majority in liquidation amount of the Common Securities. If any Trustee shall be
so  removed,  the Holders of the Common  Securities,  by act of the Holders of a
Majority  in  liquidation  amount  of the  Common  Securities  delivered  to the
Relevant Trustee,  shall promptly appoint a successor Relevant Trustee, and such
successor Trustee shall comply with the applicable  requirements of this Section
4.5.  If an  Event  of  Default  shall  have  occurred  and be  continuing,  the
Institutional  Trustee or the Delaware Trustee,  or both of them, may be removed
by the act of the  Holders of a Majority  in  liquidation  amount of the Capital
Securities, delivered to the Relevant Trustee (in its individual capacity and on
behalf of the Trust). If any Trustee shall be so removed, the Holders of Capital
Securities,  by act of the  Holders of a Majority in  liquidation  amount of the
Capital  Securities then outstanding  delivered to the Relevant  Trustee,  shall
promptly appoint a successor  Relevant  Trustee or Trustees,  and such successor
Trustee shall comply with the applicable requirements of this Section 4.5. If no
successor  Relevant  Trustee  shall have been so  appointed  by the Holders of a
Majority  in  liquidation   amount  of  the  Capital   Securities  and  accepted
appointment  in the manner  required  by this  Section  4.5 within 30 days after
delivery of an instrument of removal, the Relevant Trustee or any Holder who has
been a Holder  of the  Securities  for at least  six  months  may,  on behalf of
himself  and all others  similarly  situated,  petition  any  federal,  state or
District of Columbia court of competent  jurisdiction  for the  appointment of a
successor  Relevant  Trustee.  Such court may thereupon,  after prescribing such
notice, if any, as it may deem proper,  appoint a successor  Relevant Trustee or
Trustees.

         (d)     The Institutional Trustee shall give notice of each resignation
and each removal of a Trustee and each appointment of a successor Trustee to all
Holders and to the Sponsor.  Each notice shall include the name of the successor
Relevant  Trustee and the  address of its  Corporate  Trust  Office if it is the
Institutional Trustee.

         (e)     Notwithstanding the foregoing or any  other  provision  of this
Declaration,  in the event a Delaware Trustee who is a natural person dies or is
adjudged by a court to have become  incompetent  or  incapacitated,  the vacancy
created  by  such  death,  incompetence  or  incapacity  may  be  filled  by the
Institutional  Trustee  following  the  procedures in this Section 4.5 (with the
successor  being a  Person  who  satisfies  the  eligibility  requirement  for a
Delaware  Trustee  set  forth  in this  Declaration)  (the  "Successor  Delaware
Trustee").
<PAGE>

         (f)     In case of the appointment  hereunder of a  successor  Relevant
Trustee,  the retiring Relevant Trustee and each successor Relevant Trustee with
respect to the Securities  shall execute and deliver an amendment hereto wherein
each  successor  Relevant  Trustee shall accept such  appointment  and which (a)
shall contain such provisions as shall be necessary or desirable to transfer and
confirm  to, and to vest in,  each  successor  Relevant  Trustee all the rights,
powers,  trusts and duties of the retiring  Relevant Trustee with respect to the
Securities and the Trust and (b) shall add to or change any of the provisions of
this  Declaration  as  shall be  necessary  to  provide  for or  facilitate  the
administration  of the  Trust  by more  than  one  Relevant  Trustee,  it  being
understood  that  nothing  herein or in such  amendment  shall  constitute  such
Relevant  Trustees  co-trustees  and upon the  execution  and  delivery  of such
amendment  the  resignation  or removal of the retiring  Relevant  Trustee shall
become effective to the extent provided therein and each such successor Relevant
Trustee,  without any further act, deed or conveyance,  shall become vested with
all the rights, powers, trusts and duties of the retiring Relevant Trustee; but,
on  request  of the  Trust or any  successor  Relevant  Trustee,  such  retiring
Relevant  Trustee  shall duly  assign,  transfer  and deliver to such  successor
Relevant Trustee all Trust Property, all proceeds thereof and money held by such
retiring Relevant Trustee hereunder with respect to the Securities and the Trust
subject to the payment of all unpaid  fees,  expenses  and  indemnities  of such
retiring Relevant Trustee.

         (g)     No  Institutional  Trustee or Delaware  Trustee shall be liable
for the acts or  omissions  to act of any  Successor  Institutional  Trustee  or
Successor Delaware Trustee, as the case may be.

         (h)     The  Holders  of  the  Capital Securities will have no right to
vote to appoint,  remove or replace the Administrators,  which voting rights are
vested exclusively in the Holders of the Common Securities.

         (i)     Any successor Delaware Trustee shall file an  amendment  to the
Certificate  of Trust  with the  Secretary  of  State of the  State of  Delaware
identifying the name and principal place of business of such Delaware Trustee in
the State of Delaware.

         Section 4.6.   Vacancies  Among  Trustees.  If a Trustee ceases to hold
                        --------------------------
office for any reason and the number of  Trustees  is not  reduced  pursuant  to
Section 4.1, a vacancy  shall occur.  A resolution  certifying  the existence of
such  vacancy by the  Trustees or, if there are more than two, a majority of the
Trustees,  shall be conclusive  evidence of the  existence of such vacancy.  The
vacancy shall be filled with a Trustee appointed in accordance with Section 4.5.

         Section 4.7.   Effect of Vacancies. The death, resignation, retirement,
                        -------------------
removal,  bankruptcy,  dissolution,  liquidation,  incompetence or incapacity to
perform the duties of a Trustee  shall not  operate to  dissolve,  terminate  or
annul the Trust or terminate this Declaration.  Whenever a vacancy in the number
of Trustees  shall occur,  until such vacancy is filled by the  appointment of a
Trustee in accordance with Section 4.5, the Institutional Trustee shall have all
the powers  granted to the Trustees and shall  discharge all the duties  imposed
upon the Trustees by this Declaration.

         Section 4.8.   Meetings   of   the  Trustees  and  the  Administrators.
                        -------------------------------------------------------
Meetings of the Administrators  shall be held from time to time upon the call of
an Administrator.  Regular meetings of the  Administrators may be held in person
in the United States or by telephone,  at a place (if applicable) and time fixed
by resolution  of the  Administrators.  Notice of any in-person  meetings of the
Trustees with the Administrators or meetings of the Administrators shall be hand
delivered or otherwise delivered in writing (including by facsimile, with a hard
copy by overnight courier) not less than 48 hours before such meeting. Notice of
any telephonic  meetings of the Trustees with the  Administrators or meetings of
the Administrators or any committee thereof shall be hand delivered or otherwise
delivered  in writing  (including  by  facsimile,  with a hard copy by overnight
courier) not less than 24 hours before a meeting.  Notices shall contain a brief
statement  of the time,  place and  anticipated  purposes  of the  meeting.  The
presence  (whether in person or by telephone) of a Trustee or an  Administrator,
as the case may be, at a  meeting  shall  constitute  a waiver of notice of such
meeting  except  where  the  Trustee  or an  Administrator,  as the case may be,
attends a meeting for the express purpose of objecting to the transaction of any
activity  on the  grounds  that the  meeting  has not been  lawfully  called  or
convened.  Unless  provided  otherwise  in this  Declaration,  any action of the
Trustees or the Administrators, as the case may be, may be taken at a meeting by

<PAGE>

vote of a majority of the  Trustees or the  Administrators  present  (whether in
person or by  telephone)  and  eligible  to vote with  respect  to such  matter,
provided that a Quorum is present, or without a meeting by the unanimous written
consent of the Trustees or the Administrators.  Meetings of the Trustees and the
Administrators  together  shall be held  from  time to time upon the call of any
Trustee or an Administrator.

         Section 4.9.   Delegation of Power.
                        -------------------

         (a)     Any  Administrator may, by  power of attorney  consistent  with
applicable law,  delegate to any other natural person over the age of 21 that is
a U.S.  Person  his or her power for the  purpose  of  executing  any  documents
contemplated in Section 2.6; and

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

         Section 4.10.  Conversion, Consolidation or Succession to Business. Any
                        ---------------------------------------------------
Person  into which the  Institutional  Trustee or the  Delaware  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
Institutional  Trustee or the Delaware  Trustee shall be a party,  or any Person
succeeding  to all or  substantially  all the  corporate  trust  business of the
Institutional  Trustee or the  Delaware  Trustee  shall be the  successor of the
Institutional  Trustee or the Delaware Trustee  hereunder,  provided such Person
shall be  otherwise  qualified  and eligible  under this Article and,  provided,
                                                                       --------
further,  that such Person shall file an amendment to the  Certificate  of Trust
-------
with the Secretary of State of the State of Delaware as  contemplated in Section
4.5(i).

                                    ARTICLE V

                                  DISTRIBUTIONS

         Section 5.1.   Distributions.  Holders  shall receive  Distributions in
                        -------------
accordance  with the  applicable  terms  of the  relevant  Holder's  Securities.
Distributions  shall be made on the Capital Securities and the Common Securities
in accordance with the preferences set forth in their  respective  terms. If and
to the extent  that the  Debenture  Issuer  makes a payment of  Interest  or any
principal on the Debentures held by the Institutional Trustee, the Institutional
Trustee  shall and is  directed,  to the  extent  funds are  available  for that
purpose, to make a distribution (a "Distribution") of such amounts to Holders.
                                    ------------

                                   ARTICLE VI

                             ISSUANCE OF SECURITIES

         Section 6.1.   General Provisions Regarding Securities.
                        ---------------------------------------

         (a)     The Administrators  shall, on  behalf  of  the Trust, issue one
series  of  capital  securities   substantially  in  the  form  of  Exhibit  A-1
representing  undivided  beneficial  interests in the assets of the Trust having
such  terms as are set  forth in Annex I and one  series  of  common  securities

<PAGE>

representing  undivided  beneficial  interests in the assets of the Trust having
such terms as are set forth in Annex I. The Trust shall issue no  securities  or
other interests in the assets of the Trust other than the Capital Securities and
the Common  Securities.  The Capital  Securities rank pari passu to, and payment
thereon shall be made Pro Rata with, the Common Securities except that, where an
Event of Default has  occurred and is  continuing,  the rights of Holders of the
Common  Securities  to payment in respect of  Distributions  and  payments  upon
liquidation,  redemption and otherwise are subordinated to the rights to payment
of the Holders of the Capital Securities as set forth in Annex I.

         (b)     The Certificates  shall be signed on behalf of the Trust by one
or  more  Administrators.  Such  signature  shall  be the  facsimile  or  manual
signature of any Administrator. In case any Administrator of the Trust who shall
have signed any of the Securities  shall cease to be such  Administrator  before
the  Certificates so signed shall be delivered by the Trust,  such  Certificates
nevertheless may be delivered as though the person who signed such  Certificates
had not ceased to be such  Administrator,  and any  Certificate may be signed on
behalf of the Trust by such persons who, at the actual date of execution of such
Security,  shall be an Administrator  of the Trust,  although at the date of the
execution  and  delivery  of the  Declaration  any such  person  was not such an
Administrator.  A Capital Security shall not be valid until authenticated by the
facsimile or manual  signature  of an  Authorized  Officer of the  Institutional
Trustee.  Such signature shall be conclusive  evidence that the Capital Security
has been authenticated  under this Declaration.  Upon written order of the Trust
signed by one  Administrator,  the Institutional  Trustee shall authenticate the
Capital Securities for original issue. The Institutional  Trustee may appoint an
authenticating  agent  that  is  a  U.S.  Person  acceptable  to  the  Trust  to
authenticate  the  Capital  Securities.   A  Common  Security  need  not  be  so
authenticated.

         (c)     The consideration received by the Trust for the issuance of the
Securities shall constitute a contribution to the capital of the Trust and shall
not constitute a loan to the Trust.

         (d)     Upon  issuance  of   the  Securities  as   provided   in   this
Declaration,  the  Securities  so issued  shall be deemed to be validly  issued,
fully paid and,  except as provided in Section 9.1(b) with respect to the Common
Securities, non-assessable.

         (e)     Every Person, by virtue of having become a Holder in accordance
with the terms of this Declaration,  shall be deemed to have expressly  assented
and  agreed to the terms of,  and shall be bound by,  this  Declaration  and the
Guarantee.

         Section 6.2.   Paying Agent, Transfer Agent and  Registrar.  The  Trust
                        -------------------------------------------
shall  maintain in Wilmington,  Delaware,  an office or agency where the Capital
Securities  may be  presented  for payment  ("Paying  Agent"),  and an office or
                                              -------------
agency  where  Securities  may be  presented  for  registration  of  transfer or
exchange  (the  "Transfer  Agent").  The Trust shall keep or cause to be kept at
                 ---------------
such  office or agency a register  for the  purpose of  registering  Securities,
transfers and exchanges of  Securities,  such register to be held by a registrar
(the  "Registrar").  The  Administrators  may  appoint  the  Paying  Agent,  the
       ---------
Registrar and the Transfer Agent and may appoint one or more  additional  Paying
Agents or one or more  co-Registrars,  or one or more co-Transfer Agents in such
other  locations as it shall  determine.  The term "Paying  Agent"  includes any
                                                    -------------
additional paying agent, the term "Registrar"  includes any additional registrar
                                   ---------
or co-Registrar and the term "Transfer Agent" includes  any additional  transfer
                              --------------
agent.  The  Administrators  may  change  any Paying  Agent,  Transfer  Agent or
Registrar at any time without  prior  notice to any Holder.  The  Administrators
shall  notify the  Institutional  Trustee of the name and  address of any Paying
Agent,  Transfer  Agent  and  Registrar  not a party  to this  Declaration.  The
Administrators  hereby  initially  appoint the  Institutional  Trustee to act as
Paying Agent,  Transfer  Agent and Registrar for the Capital  Securities and the
Common  Securities.  The  Institutional  Trustee or any of its Affiliates in the
United States may act as Paying Agent, Transfer Agent or Registrar.
<PAGE>

         Section 6.3.   Form  and  Dating.   The  Capital   Securities  and  the
                        -----------------
Institutional   Trustee's   certificate  of  authentication   thereon  shall  be
substantially  in the form of Exhibit  A-1, and the Common  Securities  shall be
substantially  in the form of Exhibit A-2, each of which is hereby  incorporated
in and expressly  made a part of this  Declaration.  Certificates  may be typed,
printed,  lithographed  or engraved or may be produced in any other manner as is
reasonably acceptable to the Administrators,  as conclusively evidenced by their
execution thereof. The Securities may have letters, numbers,  notations or other
marks of identification or designation and such legends or endorsements required
by law, stock exchange rule, agreements to which the Trust is subject if any, or
usage  (provided  that any such  notation,  legend or  endorsement  is in a form
acceptable  to the  Sponsor).  The Trust at the  direction of the Sponsor  shall
furnish  any such  legend  not  contained  in Exhibit  A-1 to the  Institutional
Trustee in writing.  Each Capital  Security shall be dated on or before the date
of its  authentication.  The terms and provisions of the Securities set forth in
Annex I and the forms of  Securities  set forth in Exhibits A-1 and A-2 are part
of the terms of this Declaration and to the extent applicable, the Institutional
Trustee,  the Delaware Trustee,  the  Administrators  and the Sponsor,  by their
execution and delivery of this  Declaration,  expressly  agree to such terms and
provisions and to be bound thereby.  Capital  Securities  will be issued only in
blocks having a stated  liquidation  amount of not less than $100,000.00 and any
multiple of $1,000.00 in excess thereof.

         The Capital Securities are being offered and sold by the Trust pursuant
to the Placement  Agreement in definitive,  registered  form without coupons and
with the Restricted Securities Legend.

         Section 6.4.   Mutilated, Destroyed, Lost or Stolen Certificates.
                        -------------------------------------------------
         If:

         (a)     any  mutilated  Certificates  should   be  surrendered  to  the
Registrar, or if the Registrar shall receive evidence to its satisfaction of the
destruction, loss or theft of any Certificate; and

         (b)     there shall be delivered to the Registrar,  the  Administrators
and the  Institutional  Trustee such security or indemnity as may be required by
them to keep each of them harmless;

then, in the absence of notice that such Certificate shall have been acquired by
a protected  purchaser,  an  Administrator  on behalf of the Trust shall execute
(and in the case of a Capital Security  Certificate,  the Institutional  Trustee
shall  authenticate)  and  deliver,  in  exchange  for or in  lieu  of any  such
mutilated,  destroyed,  lost or stolen  Certificate,  a new  Certificate of like
denomination.  In connection with the issuance of any new Certificate under this
Section 6.4, the  Registrar or the  Administrators  may require the payment of a
sum sufficient to cover any tax or other governmental charge that may be imposed
in connection  therewith.  Any  duplicate  Certificate  issued  pursuant to this
Section shall  constitute  conclusive  evidence of an ownership  interest in the
relevant Securities, as if originally issued, whether or not the lost, stolen or
destroyed Certificate shall be found at any time.

         Section 6.5.   Temporary Securities.  Until  definitive  Securities are
                        --------------------
ready for  delivery,  the  Administrators  may  prepare  and, in the case of the
Capital  Securities,  the Institutional  Trustee shall  authenticate,  temporary
Securities.   Temporary  Securities  shall  be  substantially  in  the  form  of
definitive  Securities but may have variations that the Administrators  consider
appropriate  for  temporary   Securities.   Without   unreasonable   delay,  the
Administrators  shall  prepare and, in the case of the Capital  Securities,  the
Institutional Trustee shall authenticate,  definitive Securities in exchange for
temporary Securities.

         Section 6.6.   Cancellation. The Administrators at any time may deliver
                        ------------
Securities to the Institutional  Trustee for  cancellation.  The Registrar shall
forward  to the  Institutional  Trustee  any  Securities  surrendered  to it for
registration of transfer, redemption or payment. The Institutional Trustee shall
promptly  cancel  all  Securities  surrendered  for  registration  of  transfer,
payment,  replacement  or  cancellation  and  shall  dispose  of  such  canceled

<PAGE>

Securities as the  Administrators  direct.  The Administrators may not issue new
Securities to replace Securities that have been paid or that have been delivered
to the Institutional Trustee for cancellation.

         Section 6.7.   Rights of Holders; Waivers of Past Defaults.
                        -------------------------------------------

         (a)     The legal title to the Trust Property is vested  exclusively in
the  Institutional  Trustee (in its capacity as such) in accordance with Section
2.5, and the Holders  shall not have any right or title  therein  other than the
undivided  beneficial  interest  in the assets of the Trust  conferred  by their
Securities and they shall have no right to call for any partition or division of
property,  profits  or rights  of the  Trust  except  as  described  below.  The
Securities  shall be personal  property giving only the rights  specifically set
forth therein and in this  Declaration.  The Securities shall have no preemptive
or similar rights.

         (b)     For so long as any  Capital Securities remain  outstanding,  if
upon an  Acceleration  Event of  Default,  the  Debenture  Trustee  fails or the
holders of not less than 25% in principal  amount of the outstanding  Debentures
fail to declare the principal of all of the Debentures to be immediately due and
payable,  the  Holders  of a  Majority  in  liquidation  amount  of the  Capital
Securities then  outstanding  shall have the right to make such declaration by a
notice in writing to the  Institutional  Trustee,  the Sponsor and the Debenture
Trustee.

         At any time after a  declaration  of  acceleration  with respect to the
Debentures  has been made and  before a judgment  or decree  for  payment of the
money  due has  been  obtained  by the  Debenture  Trustee  as  provided  in the
Indenture, if the Institutional Trustee, subject to the provisions hereof, fails
to annul any such declaration and waive such default,  the Holders of a Majority
in  liquidation  amount of the  Capital  Securities,  by  written  notice to the
Institutional  Trustee,  the Sponsor and the Debenture Trustee,  may rescind and
annul such declaration and its consequences if:

                (i)     the  Debenture  Issuer  has  paid  or deposited with the
         Debenture Trustee a sum sufficient to pay

                       (A)   all overdue installments of interest  on all of the
                 Debentures,

                       (B)   any accrued  Additional  Interest  on  all  of  the
                 Debentures,

                       (C)   the  principal of (and premium,  if  any,  on)  any
                 Debentures  that have  become  due   otherwise   than  by  such
                 declaration   of   acceleration  and  interest  and  Additional
                 Interest thereon at the rate borne by the Debentures, and

                       (D)   all sums paid or  advanced by the Debenture Trustee
                 under  the   Indenture   and   the   reasonable   compensation,
                 expenses, disbursements and advances  of the  Debenture Trustee
                 and the Institutional Trustee, their agents and counsel; and

                (ii)    all  Events  of  Default with respect to the Debentures,
         other than the  non-payment of the principal of the Debentures that has
         become due  solely by such  acceleration,  have been cured or waived as
         provided in Section 5.7 of the Indenture.

         The Holders of at least a Majority in liquidation amount of the Capital
Securities  may, on behalf of the Holders of all the Capital  Securities,  waive
any past default under the Indenture or any Indenture Event of Default, except a
default or Indenture Event of Default in the payment of principal or interest on
the Debentures (unless such default or Indenture Event of Default has been cured
and a sum sufficient to pay all matured  installments  of interest and principal
due  otherwise  than by  acceleration  has been  deposited  with  the  Debenture
Trustee) or a default  under the  Indenture or an Indenture  Event of Default in
respect of a covenant or provision  that under the Indenture  cannot be modified
or amended without the consent of the holder of each outstanding  Debenture.  No
such  rescission  shall  affect  any  subsequent  default  or  impair  any right
consequent thereon.
<PAGE>

         Upon receipt by the  Institutional  Trustee of written notice declaring
such an  acceleration,  or rescission and annulment  thereof,  by Holders of any
part  of the  Capital  Securities,  a  record  date  shall  be  established  for
determining  Holders of outstanding  Capital Securities entitled to join in such
notice,  which  record  date  shall be at the close of  business  on the day the
Institutional  Trustee receives such notice. The Holders on such record date, or
their duly designated proxies, and only such Persons,  shall be entitled to join
in such notice,  whether or not such Holders  remain  Holders  after such record
date; provided, that unless such declaration of acceleration,  or rescission and
      --------
annulment,  as the case may be,  shall have  become  effective  by virtue of the
requisite  percentage  having  joined in such notice prior to the day that is 90
days after such record date,  such notice of  declaration  of  acceleration,  or
rescission and annulment,  as the case may be, shall  automatically  and without
further  action by any Holder be canceled and of no further  effect.  Nothing in
this  paragraph  shall  prevent a Holder,  or a proxy of a Holder,  from giving,
after  expiration of such 90-day period,  a new written notice of declaration of
acceleration,  or rescission and annulment thereof,  as the case may be, that is
identical to a written notice that has been canceled  pursuant to the proviso to
the preceding  sentence,  in which event a new record date shall be  established
pursuant to the provisions of this Section 6.7.

         (c)     Except as otherwise provided in paragraphs  (a) and (b) of this
Section  6.7,  the Holders of at least a Majority in  liquidation  amount of the
Capital Securities may, on behalf of the Holders of all the Capital  Securities,
waive any past  default  or Event of  Default  and its  consequences.  Upon such
waiver,  any such  default or Event of  Default  shall  cease to exist,  and any
default  or Event of  Default  arising  therefrom  shall be  deemed to have been
cured, for every purpose of this Declaration, but no such waiver shall extend to
any  subsequent  or other  default  or Event of  Default  or  impair  any  right
consequent thereon.

                                  ARTICLE VII

                      DISSOLUTION AND TERMINATION OF TRUST

         Section 7.1.   Dissolution and Termination of Trust.
                        ------------------------------------

         (a)     The Trust shall dissolve on the first to occur of:

                (i)     unless    earlier   dissolved,  on   June 15, 2041,  the
         expiration of the term of the Trust;

                (ii)    upon a Bankruptcy Event with respect to the Sponsor, the
         Trust or the Debenture Issuer;

                (iii)   upon the filing of a certificate of  dissolution  or its
         equivalent  with  respect to the Sponsor (other than in connection with
         a merger,  consolidation  or similar  transaction not prohibited by the
         Indenture,  this Declaration  or the Guarantee,  as the case may be) or
         upon the  revocation of the  charter of the Sponsor and the  expiration
         of 90 days  after  the  date of  revocation  without  a   reinstatement
         thereof;

                (iv)    upon the  distribution  of the Debentures to the Holders
         of  the Securities, upon exercise  of the right of the Holder of all of
         the outstanding Common Securities to dissolve  the Trust as provided in
         Annex I hereto;
<PAGE>

                (v)     upon the entry of a decree  of  judicial  dissolution of
         the Holder of the Common  Securities,  the  Sponsor,  the  Trust or the
         Debenture Issuer;

                (vi)    when all of the Securities shall have  been  called  for
         redemption  and the amounts necessary for redemption thereof shall have
         been  paid  to  the  Holders  in  accordance  with  the  terms  of  the
         Securities; or

                (vii)   before the issuance of any Securities,  with the consent
         of all of the Trustees and the Sponsor.

         (b)     As  soon as  is  practicable  after  the occurrence of an event
referred  to in  Section  7.1(a),  and  after  satisfaction  of  liabilities  to
creditors of the Trust as required by applicable law, including of the Statutory
Trust  Act,  and  subject  to the terms set forth in Annex I, the  Institutional
Trustee shall terminate the Trust by filing a certificate of  cancellation  with
the Secretary of State of the State of Delaware.

         (c)     The provisions of Section  2.9 and Article IX shall survive the
termination of the Trust.

                                  ARTICLE VIII

                             TRANSFER OF INTERESTS

         Section 8.1.   General.
                        -------

         (a)     Subject  to  Section 8.1(c),   where  Capital   Securities  are
presented  to the  Registrar  or a  co-registrar  with a request  to  register a
transfer  or to  exchange  them  for  an  equal  number  of  Capital  Securities
represented by different certificates, the Registrar shall register the transfer
or make the  exchange  if its  requirements  for such  transactions  are met. To
permit  registrations  of transfer and exchanges,  the Trust shall issue and the
Institutional  Trustee shall authenticate  Capital Securities at the Registrar's
request.

         (b)     Upon  issuance  of  the  Common  Securities,  the Sponsor shall
acquire and retain  beneficial and record ownership of the Common Securities and
for so long as the  Securities  remain  outstanding,  and to the fullest  extent
permitted by applicable  law, the Sponsor shall  maintain 100%  ownership of the
Common  Securities;  provided,  however,  that any  permitted  successor  of the
                     --------   -------
Sponsor, in its capacity as Debenture Issuer, under the Indenture that is a U.S.
Person may succeed to the Sponsor's ownership of the Common Securities.

         (c)     Capital  Securities  may  only  be  transferred, in whole or in
part, in accordance with the terms and conditions set forth in this  Declaration
and  in the  terms  of  the  Securities.  To the  fullest  extent  permitted  by
applicable  law, any transfer or purported  transfer of any Security not made in
accordance with this Declaration shall be null and void and will be deemed to be
of no legal effect  whatsoever and any such transferee shall be deemed not to be
the holder of such Capital Securities for any purpose, including but not limited
to the receipt of Distributions on such Capital Securities,  and such transferee
shall be deemed to have no interest whatsoever in such Capital Securities.

         (d)     The Registrar shall provide for the  registration of Securities
and of transfers of Securities,  which will be effected  without charge but only
upon payment  (with such  indemnity as the  Registrar may require) in respect of
any tax or other  governmental  charges  that may be imposed in  relation to it.
Upon surrender for  registration  of transfer of any  Securities,  the Registrar
shall  cause one or more new  Securities  of the same  tenor to be issued in the
name of the designated transferee or transferees. Every Security surrendered for
registration  of  transfer  shall be  accompanied  by a  written  instrument  of
transfer in form  satisfactory  to the Registrar  duly executed by the Holder or
such Holder's attorney duly authorized in writing. Each Security surrendered for
registration of transfer shall be canceled by the Institutional Trustee pursuant
to Section 6.6. A transferee  of a Security  shall be entitled to the rights and
subject  to the  obligations  of a Holder  hereunder  upon the  receipt  by such
transferee of a Security. By acceptance of a Security,  each transferee shall be
deemed to have agreed to be bound by this Declaration.

         (e)     The  Trust shall  not  be  required (i) to  issue, register the
transfer of, or exchange any Securities during a period beginning at the opening
of business  fifteen  days before the day of any  selection  of  Securities  for
redemption and ending at the close of business on the earliest date on which the
relevant notice of redemption is deemed to have been given to all Holders of the
Securities  to be redeemed,  or (ii) to register the transfer or exchange of any
Security so selected for  redemption in whole or in part,  except the unredeemed
portion of any Security being redeemed in part.
<PAGE>

         Section 8.2.   Transfer Procedures and Restrictions.
                        ------------------------------------

         (a)     The  Capital  Securities  shall  bear the Restricted Securities
Legend,  which shall not be removed  unless there is delivered to the Trust such
satisfactory  evidence,  which may include an opinion of counsel satisfactory to
the  Institutional  Trustee,  as may be reasonably  required by the Trust,  that
neither  the legend nor the  restrictions  on  transfer  set forth  therein  are
required to ensure that  transfers  thereof  comply with the  provisions  of the
Securities Act. Upon provision of such satisfactory  evidence, the Institutional
Trustee,  at the written direction of the Trust,  shall authenticate and deliver
Capital Securities that do not bear the legend.

         (b)     Except  as  permitted by Section 8.2(a),  each Capital Security
shall bear a legend (the "Restricted  Securities  Legend") in substantially  the
                          ------------------------------
following  form and a  Capital  Security  shall  not be  transferred  except  in
compliance with such legend,  unless otherwise  determined by the Sponsor,  upon
the advice of counsel expert in securities  law, in accordance  with  applicable
law:

                 THIS SECURITY HAS  NOT BEEN REGISTERED UNDER THE SECURITIES ACT
         OF  1933, AS AMENDED (THE "SECURITIES  ACT"), ANY STATE SECURITIES LAWS
         OR ANY OTHER APPLICABLE SECURITIES  LAW.  NEITHER THIS SECURITY NOR ANY
         INTEREST  OR  PARTICIPATION  HEREIN MAY BE REOFFERED,  SOLD,  ASSIGNED,
         TRANSFERRED,  PLEDGED,  ENCUMBERED  OR  OTHERWISE  DISPOSED  OF  IN THE
         ABSENCE OF SUCH  REGISTRATION  OR UNLESS  SUCH  TRANSACTION  IS  EXEMPT
         FROM,  OR  NOT   SUBJECT  TO,  THE  REGISTRATION  REQUIREMENTS  OF  THE
         SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS. THE  HOLDER OF
         THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  AGREES TO  OFFER,  SELL  OR
         OTHERWISE TRANSFER THIS SECURITY ONLY (A) TO THE SPONSOR OR THE  TRUST,
         (B)  PURSUANT  TO A  REGISTRATION  STATEMENT  THAT  HAS  BEEN  DECLARED
         EFFECTIVE  UNDER THE  SECURITIES  ACT, (C) TO A  PERSON WHOM THE SELLER
         REASONABLY    BELIEVES  IS  A  QUALIFIED   INSTITUTIONAL   BUYER  IN  A
         TRANSACTION   MEETING  THE  REQUIREMENTS  OF RULE  144A SO LONG AS THIS
         SECURITY IS  ELIGIBLE  FOR RESALE  PURSUANT TO RULE 144A IN  ACCORDANCE
         WITH RULE  144A, (D) TO A NON-U.S. PERSON IN AN OFFSHORE TRANSACTION IN
         ACCORDANCE  WITH  RULE 903 OR RULE 904 (AS  APPLICABLE) OF REGULATION S
         UNDER  THE   SECURITIES  ACT,  (E)  TO  AN  INSTITUTIONAL   "ACCREDITED
         INVESTOR" WITHIN  THE MEANING OF SUBPARAGRAPH (A) OF RULE 501 UNDER THE
         SECURITIES  ACT THAT IS ACQUIRING  THIS  CAPITAL  SECURITY FOR ITS OWN
         ACCOUNT,  OR  FOR  THE  ACCOUNT  OF SUCH  AN  INSTITUTIONAL  ACCREDITED
         INVESTOR, FOR  INVESTMENT PURPOSES AND NOT WITH A VIEW TO, OR FOR OFFER
         OR SALE  IN  CONNECTION  WITH,  ANY  DISTRIBUTION  IN  VIOLATION OF THE
         SECURITIES  ACT, OR (F) PURSUANT TO ANY OTHER AVAILABLE  EXEMPTION FROM
         THE  REGISTRATION  REQUIREMENTS  OF THE SECURITIES ACT,  SUBJECT TO THE
         SPONSOR'S  AND THE  TRUST'S  RIGHT  PRIOR TO ANY SUCH  OFFER,  SALE  OR
         TRANSFER   TO   REQUIRE   THE   DELIVERY  OF  AN  OPINION  OF  COUNSEL,
         CERTIFICATION AND/OR  OTHER INFORMATION SATISFACTORY TO EACH OF THEM IN
         ACCORDANCE  WITH  THE  DECLARATION  OF  TRUST,  A COPY OF WHICH  MAY BE
         OBTAINED FROM THE SPONSOR OR  THE TRUST. HEDGING TRANSACTIONS INVOLVING
         THIS  SECURITY  MAY  NOT BE  CONDUCTED  UNLESS IN  COMPLIANCE  WITH THE
         SECURITIES ACT.

                 THE  HOLDER  OF  THIS  SECURITY  BY  ITS ACCEPTANCE HEREOF ALSO
         AGREES, REPRESENTS  AND  WARRANTS  THAT  IT IS NOT AN EMPLOYEE BENEFIT,
         INDIVIDUAL RETIREMENT ACCOUNT OR OTHER PLAN OR  ARRANGEMENT  SUBJECT TO
         TITLE I OF THE  EMPLOYEE  RETIREMENT  INCOME SECURITY  ACT OF 1974,  AS
         AMENDED  ("ERISA"),  OR SECTION  4975 OF  THE INTERNAL  REVENUE CODE OF
         1986,  AS AMENDED (THE "CODE")  (EACH A "PLAN"),  OR  AN  ENTITY  WHOSE
         UNDERLYING   ASSETS   INCLUDE   "PLAN ASSETS"  BY  REASON OF ANY PLAN'S
         INVESTMENT IN THE ENTITY,  AND NO PERSON INVESTING "PLAN ASSETS" OF ANY
         PLAN MAY ACQUIRE OR HOLD THE SECURITIES OR ANY INTEREST THEREIN, UNLESS
         SUCH PURCHASER OR HOLDER IS  ELIGIBLE FOR  EXEMPTIVE  RELIEF  AVAILABLE
         UNDER  U.S. DEPARTMENT OF LABOR PROHIBITED TRANSACTION CLASS  EXEMPTION
         96-23, 95-60,  91-38, 90-1 OR 84-14 OR ANOTHER APPLICABLE  EXEMPTION OR
         ITS  PURCHASE AND HOLDING OF THIS SECURITY IS NOT PROHIBITED BY SECTION
         406 OF ERISA OR SECTION 4975 OF THE CODE WITH RESPECT TO SUCH  PURCHASE
         OR HOLDING. ANY PURCHASER OR HOLDER OF THE  SECURITIES  OR ANY INTEREST
         THEREIN  WILL BE DEEMED TO HAVE REPRESENTED BY ITS PURCHASE AND HOLDING
         THEREOF  THAT EITHER (i) IT IS NOT AN EMPLOYEE  BENEFIT PLAN WITHIN THE
         MEANING  OF SECTION 3(3) OF ERISA,  OR A PLAN TO WHICH  SECTION 4975 OF
         THE CODE  IS APPLICABLE,  A TRUSTEE OR OTHER PERSON ACTING ON BEHALF OF
         AN  EMPLOYEE  BENEFIT PLAN OR PLAN, OR ANY OTHER PERSON OR ENTITY USING
         THE  ASSETS  OF  ANY  EMPLOYEE  BENEFIT  PLAN OR PLAN TO  FINANCE  SUCH
         PURCHASE,  OR (ii)  SUCH  PURCHASE  WILL  NOT  RESULT  IN A  PROHIBITED
         TRANSACTION  UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE FOR
         WHICH THERE IS NO APPLICABLE STATUTORY OR ADMINISTRATIVE EXEMPTION.
<PAGE>

                 THIS SECURITY  WILL BE  ISSUED  AND MAY BE  TRANSFERRED ONLY IN
         BLOCKS HAVING A LIQUIDATION  AMOUNT OF  NOT LESS THAN  $100,000.00 (100
         SECURITIES)  AND   MULTIPLES  OF  $1,000.00  IN  EXCESS  THEREOF.   ANY
         ATTEMPTED  TRANSFER  OF  SECURITIES  IN  A BLOCK  HAVING A  LIQUIDATION
         AMOUNT OF LESS THAN  $100,000.00  SHALL BE DEEMED  TO BE VOID AND OF NO
         LEGAL EFFECT WHATSOEVER.

                 THE HOLDER OF THIS SECURITY AGREES THAT IT WILL COMPLY WITH THE
         FOREGOING RESTRICTIONS.

         (c)     To permit registrations of transfers and  exchanges, the  Trust
shall  execute  and  the  Institutional   Trustee  shall  authenticate   Capital
Securities at the Registrar's request.

         (d)     Registrations  of  transfers  or  exchanges  will  be  effected
without  charge,  but only upon payment (with such indemnity as the Registrar or
the Sponsor may require) in respect of any tax or other governmental charge that
may be imposed in relation to it.

         (e)     All Capital Securities issued upon any registration of transfer
or exchange  pursuant to the terms of this  Declaration  shall evidence the same
security and shall be entitled to the same benefits  under this  Declaration  as
the  Capital  Securities  surrendered  upon such  registration  of  transfer  or
exchange.

         Section 8.3.   Deemed Security Holders.  The Trust, the Administrators,
                        -----------------------
the Trustees,  the Paying Agent,  the Transfer  Agent or the Registrar may treat
the Person in whose name any  Certificate  shall be  registered on the books and
records  of  the  Trust  as the  sole  holder  of  such  Certificate  and of the
Securities   represented   by  such   Certificate   for  purposes  of  receiving
Distributions and for all other purposes whatsoever and, accordingly,  shall not
be bound to  recognize  any  equitable  or other  claim to or  interest  in such
Certificate or in the Securities  represented by such Certificate on the part of
any Person,  whether or not the Trust,  the  Administrators,  the Trustees,  the
Paying Agent,  the Transfer  Agent or the  Registrar  shall have actual or other
notice thereof.

                                   ARTICLE IX

                           LIMITATION OF LIABILITY OF
             HOLDERS OF SECURITIES, INSTITUTIONAL TRUSTEE OR OTHERS

         Section 9.1.   Liability.
                        ---------

         (a)     Except  as  expressly  set forth  in   this  Declaration,   the
Guarantee and the terms of the Securities, the Sponsor shall not be:

                (i)     personally liable for the return of any  portion  of the
         capital   contributions  (or any return  thereon) of the Holders of the
         Securities  which shall be made solely from assets of the Trust; or

                (ii)    required to pay to the Trust  or to  any  Holder  of the
         Securities any deficit upon dissolution of the Trust or otherwise.

         (b)     The Holder of the Common  Securities shall be liable for all of
the  debts  and  obligations  of the  Trust  (other  than  with  respect  to the
Securities) to the extent not satisfied out of the Trust's assets.

         (c)     Pursuant to the Statutory Trust Act, the Holders of the Capital
Securities  shall be  entitled  to the same  limitation  of  personal  liability
extended to stockholders of private  corporations for profit organized under the
General Corporation Law of the State of Delaware.
<PAGE>

         Section 9.2.   Exculpation.
                        -----------

         (a)     No   Indemnified   Person  shall  be  liable,   responsible  or
accountable  in damages or otherwise to the Trust or any Covered  Person for any
loss,  damage or claim  incurred by reason of any act or omission  performed  or
omitted by such Indemnified Person in good faith on behalf of the Trust and in a
manner such Indemnified Person reasonably believed to be within the scope of the
authority  conferred on such  Indemnified  Person by this Declaration or by law,
except that an Indemnified  Person shall be liable for any such loss,  damage or
claim  incurred by reason of such  Indemnified  Person's  negligence  or willful
misconduct with respect to such acts or omissions.

         (b)     An Indemnified  Person shall  be fully  protected in relying in
good faith upon the  records of the Trust and upon such  information,  opinions,
reports or  statements  presented  to the Trust by any Person as to matters  the
Indemnified   Person   reasonably   believes  are  within  such  other  Person's
professional or expert  competence and, if selected by such Indemnified  Person,
has been  selected  by such  Indemnified  Person with  reasonable  care by or on
behalf of the Trust, including information,  opinions,  reports or statements as
to the value and amount of the  assets,  liabilities,  profits,  losses,  or any
other  facts  pertinent  to the  existence  and  amount  of  assets  from  which
Distributions to Holders of Securities might properly be paid.

         Section 9.3.   Fiduciary Duty.
                        --------------

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

         (b)     Whenever in this Declaration an Indemnified Person is permitted
or required to make a decision:

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

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

         Section 9.4.   Indemnification.
                        ---------------

         (a)     The Sponsor  shall  indemnify,  to the full extent permitted by
law, any Indemnified  Person who was or is a party or is threatened to be made a
party to any  threatened,  pending  or  completed  action,  suit or  proceeding,
whether civil,  criminal,  administrative or investigative (other than an action
by or in the  right  of the  Trust)  arising  out of or in  connection  with the
acceptance or  administration  of this Declaration by reason of the fact that he
is  or  was  an  Indemnified  Person  against  expenses  (including   reasonable
attorneys' fees and expenses),  judgments,  fines and amounts paid in settlement
actually and reasonably  incurred by him in connection with such action, suit or
proceeding if he acted in good faith and in a manner he  reasonably  believed to
be in or not opposed to the best  interests of the Trust,  and,  with respect to
any  criminal  action or  proceeding,  had no  reasonable  cause to believe  his
conduct was  unlawful.  The  termination  of any action,  suit or  proceeding by
judgment,  order, settlement,  conviction,  or upon a plea of nolo contendere or
its equivalent,  shall not, of itself, create a presumption that the Indemnified
Person did not act in good faith and in a manner which he reasonably believed to
be in or not opposed to the best  interests of the Trust,  and,  with respect to
any criminal  action or  proceeding,  had  reasonable  cause to believe that his
conduct was unlawful.
<PAGE>

         (b)     The Sponsor shall  indemnify,  to  the full extent permitted by
law, any Indemnified  Person who was or is a party or is threatened to be made a
party to any threatened,  pending or completed action or suit by or in the right
of the Trust to procure a judgment in its favor  arising out of or in connection
with the acceptance or  administration of this Declaration by reason of the fact
that he is or was an Indemnified Person against expenses  (including  reasonable
attorneys'  fees  and  expenses)  actually  and  reasonably  incurred  by him in
connection  with the defense or settlement of such action or suit if he acted in
good faith and in a manner he reasonably believed to be in or not opposed to the
best interests of the Trust;  provided,  however,  that no such  indemnification
                              --------   -------
shall be made in  respect  of any  claim,  issue  or  matter  as to  which  such
Indemnified Person shall have been adjudged to be liable to the Trust unless and
only to the extent that the court in which such action or suit was brought shall
determine upon  application  that,  despite the adjudication of liability but in
view of all the  circumstances of the case, such person is fairly and reasonably
entitled to indemnity for such expenses which such court shall deem proper.

         (c)     To the extent that an Indemnified Person shall be successful on
the merits or otherwise  (including  dismissal of an action without prejudice or
the  settlement of an action  without  admission of liability) in defense of any
action, suit or proceeding referred to in paragraphs (a) and (b) of this Section
9.4,  or in  defense  of any  claim,  issue  or  matter  therein,  he  shall  be
indemnified,  to the full extent permitted by law,  against expenses  (including
attorneys'  fees  and  expenses)  actually  and  reasonably  incurred  by him in
connection therewith.

         (d)     Any indemnification  of an  Administrator  under paragraphs (a)
and (b) of this  Section  9.4 (unless  ordered by a court)  shall be made by the
Sponsor  only as  authorized  in the  specific  case upon a  determination  that
indemnification of the Indemnified Person is proper in the circumstances because
he has met the  applicable  standard of conduct set forth in paragraphs  (a) and
(b). Such  determination  shall be made (i) by the  Administrators by a majority
vote of a Quorum consisting of such  Administrators who were not parties to such
action, suit or proceeding, (ii) if such a Quorum is not obtainable, or, even if
obtainable,  if  a  Quorum  of  disinterested   Administrators  so  directs,  by
independent legal counsel in a written opinion,  or (iii) by the Common Security
Holder of the Trust.

         (e)     To the fullest extent permitted  by  law,  expenses  (including
reasonable  attorneys' fees and expenses)  incurred by an Indemnified  Person in
defending a civil,  criminal,  administrative or investigative  action,  suit or
proceeding  referred to in  paragraphs  (a) and (b) of this Section 9.4 shall be
paid by the Sponsor in advance of the final disposition of such action,  suit or
proceeding  upon receipt of an undertaking  by or on behalf of such  Indemnified
Person to repay such amount if it shall  ultimately be determined that he is not
entitled to be  indemnified  by the Sponsor as  authorized  in this Section 9.4.
Notwithstanding  the  foregoing,  no advance  shall be made by the  Sponsor if a
determination  is reasonably  and promptly made (i) by the  Administrators  by a
majority vote of a Quorum of disinterested Administrators, (ii) if such a Quorum
is not  obtainable,  or,  even  if  obtainable,  if a  quorum  of  disinterested
Administrators so directs,  by independent legal counsel in a written opinion or
(iii) by the Common  Security  Holder of the Trust,  that,  based upon the facts
known to the  Administrators,  counsel or the Common Security Holder at the time
such  determination is made, such Indemnified  Person acted in bad faith or in a
manner that such Indemnified  Person did not believe to be in the best interests
of the Trust, or, with respect to any criminal proceeding, that such Indemnified
Person believed or had reasonable cause to believe his conduct was unlawful.  In
no event  shall any  advance  be made in  instances  where  the  Administrators,
independent  legal counsel or the Common  Security Holder  reasonably  determine
that such Indemnified Person deliberately  breached his duty to the Trust or its
Common or Capital Security Holders.

         (f)     The Trustees,  at  the  sole  cost and  expense of the Sponsor,
retain  the right to  representation  by counsel  of their own  choosing  in any
action,  suit or any other  proceeding  for  which  they are  indemnified  under
paragraphs  (a) and (b) of this Section 9.4,  without  affecting  their right to
indemnification  hereunder  or  waiving  any  rights  afforded  to it under this
Declaration or applicable law.
<PAGE>

         (g)     The indemnification and advancement of expenses provided by, or
granted  pursuant  to, the other  paragraphs  of this  Section  9.4 shall not be
deemed exclusive of any other rights to which those seeking  indemnification and
advancement  of  expenses  may  be  entitled   under  any  agreement,   vote  of
stockholders  or  disinterested  directors  of the  Sponsor or Capital  Security
Holders of the Trust or  otherwise,  both as to action in his official  capacity
and as to action in another  capacity  while holding such office.  All rights to
indemnification  under  this  Section  9.4 shall be deemed to be  provided  by a
contract  between  the Sponsor  and each  Indemnified  Person who serves in such
capacity  at any time  while  this  Section  9.4 is in  effect.  Any  repeal  or
modification of this Section 9.4 shall not affect any rights or obligations then
existing.

         (h)     The Sponsor or the Trust may purchase and maintain insurance on
behalf of any Person who is or was an  Indemnified  Person against any liability
asserted against him and incurred by him in any such capacity, or arising out of
his status as such, whether or not the Sponsor would have the power to indemnify
him against such liability under the provisions of this Section 9.4.

         (i)     For purposes  of  this Section 9.4,  references  to "the Trust"
shall include, in addition to the resulting or surviving entity, any constituent
entity (including any constituent of a constituent)  absorbed in a consolidation
or  merger,  so that any Person who is or was a  director,  trustee,  officer or
employee of such constituent entity, or is or was serving at the request of such
constituent entity as a director, trustee, officer, employee or agent of another
entity,  shall stand in the same position  under the  provisions of this Section
9.4 with  respect to the  resulting  or  surviving  entity as he would have with
respect to such constituent entity if its separate existence had continued.

         (j)     The indemnification and advancement of expenses provided by, or
granted  pursuant to, this Section 9.4 shall,  unless  otherwise  provided  when
authorized  or  ratified,  (i)  continue  as to a Person who has ceased to be an
Indemnified  Person and shall inure to the benefit of the heirs,  executors  and
administrators of such a Person;  and (ii) survive the termination or expiration
of this  Declaration  or the earlier  removal or  resignation  of an Indemnified
Person.

         Section 9.5.   Outside Businesses.  Any  Covered  Person,  the Sponsor,
                        ------------------
the Delaware Trustee and the  Institutional  Trustee may engage in or possess an
interest in other business ventures of any nature or description,  independently
or with others,  similar or  dissimilar  to the  business of the Trust,  and the
Trust  and the  Holders  of  Securities  shall  have no rights by virtue of this
Declaration in and to such independent ventures or the income or profits derived
therefrom,  and the pursuit of any such venture,  even if  competitive  with the
business of the Trust,  shall not be deemed  wrongful or  improper.  None of any
Covered Person, the Sponsor,  the Delaware Trustee or the Institutional  Trustee
shall be obligated to present any particular  investment or other opportunity to
the Trust even if such  opportunity is of a character  that, if presented to the
Trust,  could be taken by the Trust,  and any Covered Person,  the Sponsor,  the
Delaware Trustee and the Institutional  Trustee shall have the right to take for
its own account  (individually  or as a partner or fiduciary) or to recommend to
others any such particular investment or other opportunity.  Any Covered Person,
the Delaware Trustee and the  Institutional  Trustee may engage or be interested
in any financial or other  transaction  with the Sponsor or any Affiliate of the
Sponsor,  or may act as  depositary  for,  trustee or agent  for,  or act on any
committee or body of holders of,  securities or other obligations of the Sponsor
or its Affiliates.
<PAGE>

         Section 9.6.   Compensation; Fee. The Sponsor agrees:
                        -----------------

         (a)     to pay to the Trustees from time to time such  compensation for
all services  rendered by them hereunder as the parties shall agree from time to
time (which  compensation shall not be limited by any provision of law in regard
to the compensation of a trustee of an express trust); and

         (b)     except as otherwise  expressly  provided  herein,  to reimburse
the  Trustees  upon  request  for all  reasonable  expenses,  disbursements  and
advances  incurred or made by the Trustees in  accordance  with any provision of
this  Declaration  (including the reasonable  compensation  and the expenses and
disbursements of their respective agents and counsel),  except any such expense,
disbursement or advance as may be  attributable to its negligence,  bad faith or
willful misconduct.

         For purposes of  clarification,  this Section 9.6 does not  contemplate
the payment by the Sponsor of acceptance or annual  administration fees owing to
the Trustees  under this  Declaration  or the fees and expenses of the Trustees'
counsel in connection with the closing of the transactions  contemplated by this
Declaration.

         The provisions of this Section 9.6 shall survive the dissolution of the
Trust and the termination of this  Declaration and the removal or resignation of
any Trustee.

         No Trustee may claim any lien or charge on any property of the Trust as
a result of any amount due pursuant to this Section 9.6.

                                   ARTICLE X

                                   ACCOUNTING

         Section 10.1.  Fiscal Year. The  fiscal  year  ("Fiscal Year")  of  the
                        -----------                       -----------
Trust shall be the calendar year, or such other year as is required by the Code.

         Section 10.2.  Certain Accounting Matters.
                        --------------------------

         (a)     At   all   times   during  the  existence  of  the  Trust,  the
Administrators  shall keep, or cause to be kept at the  principal  office of the
Trust in the United  States,  as defined for  purposes  of Treasury  Regulations
section  301.7701-7,  full books of account,  records and supporting  documents,
which shall  reflect in reasonable  detail each  transaction  of the Trust.  The
books of account shall be maintained,  at the Sponsor's  expense,  in accordance
with generally accepted accounting  principles,  consistently applied. The books
of account and the records of the Trust shall be examined by and  reported  upon
(either separately or as part of the Sponsor's  regularly prepared  consolidated
financial  report) as of the end of each  Fiscal  Year of the Trust by a firm of
independent certified public accountants selected by the Administrators.

         (b)     The  Administrators  shall  cause  to  be  duly   prepared  and
delivered  to each of the Holders of  Securities  Form 1099 or such other annual
United States federal  income tax  information  statement  required by the Code,
containing such information with regard to the Securities held by each Holder as
is required by the Code and the Treasury Regulations.  Notwithstanding any right
under the Code to deliver any such statement at a later date, the Administrators
shall  endeavor to deliver all such  statements  within 30 days after the end of
each Fiscal Year of the Trust.

         (c)     The Administrators, at the Sponsor's expense, shall cause to be
duly prepared at the principal  office of the Sponsor in the United  States,  as
`United  States'  is  defined  in  Section  7701(a)(9)  of the  Code  (or at the
principal office of the Trust if the Sponsor has no such principal office in the
United States), and filed an annual United States federal income tax return on a
Form 1041 or such other form required by United States  federal  income tax law,
and  any  other  annual  income  tax  returns   required  to  be  filed  by  the
Administrators on behalf of the Trust with any state or local taxing authority.
<PAGE>

         Section 10.3.  Banking.  The Trust shall maintain in the United States,
                        -------
as defined for purposes of Treasury Regulations section 301.7701-7,  one or more
bank  accounts  in the name and for the sole  benefit  of the  Trust;  provided,
                                                                       --------
however,  that all  payments of funds in respect of the  Debentures  held by the
-------
Institutional  Trustee  shall be made  directly to the  Property  Account and no
other funds of the Trust shall be deposited in the  Property  Account.  The sole
signatories  for  such  accounts  (including  the  Property  Account)  shall  be
designated by the Institutional Trustee.

         Section 10.4.  Withholding.  The  Institutional  Trustee  or any Paying
                        -----------
Agent and the  Administrators  shall  comply with all  withholding  requirements
under United States federal,  state and local law. The Institutional  Trustee or
any  Paying  Agent  shall  request,   and  each  Holder  shall  provide  to  the
Institutional  Trustee or any Paying Agent,  such forms or  certificates  as are
necessary to establish an exemption from withholding with respect to the Holder,
and any  representations  and  forms as shall  reasonably  be  requested  by the
Institutional Trustee or any Paying Agent to assist it in determining the extent
of, and in fulfilling,  its withholding  obligations.  The Administrators  shall
file required forms with applicable  jurisdictions and, unless an exemption from
withholding is properly  established by a Holder,  shall remit amounts  withheld
with respect to the Holder to applicable  jurisdictions.  To the extent that the
Institutional  Trustee or any Paying  Agent is required to withhold and pay over
any amounts to any authority with respect to distributions or allocations to any
Holder,  the amount  withheld shall be deemed to be a Distribution in the amount
of the withholding to the Holder.  In the event of any claimed  overwithholding,
Holders shall be limited to an action  against the applicable  jurisdiction.  If
the amount  required to be withheld was not withheld  from actual  Distributions
made,  the  Institutional  Trustee  or any Paying  Agent may  reduce  subsequent
Distributions by the amount of such withholding.

                                   ARTICLE XI

                             AMENDMENTS AND MEETINGS

         Section 11.1.  Amendments.
                        ----------

         (a)     Except as  otherwise provided in  this  Declaration  or by  any
applicable  terms of the Securities,  this  Declaration may only be amended by a
written instrument  approved and executed (i) by the Institutional  Trustee,  or
(ii) if the  amendment  affects  the  rights,  powers,  duties,  obligations  or
immunities of the Delaware Trustee, by the Delaware Trustee.

         (b)     Notwithstanding any other provision  of  this  Article  XI,  an
amendment  may be made,  and any such  purported  amendment  shall be valid  and
effective only if:

                (i)     the Institutional Trustee shall have first received

                       (A) an Officers' Certificate from  each of  the Trust and
                the Sponsor that such amendment is  permitted by,  and  conforms
                to, the terms of this  Declaration  (including  the terms of the
                Securities); and

                       (B) an  opinion   of  counsel  (who may be counsel to the
                Sponsor  or  the  Trust) that such  amendment is  permitted  by,
                and  conforms  to,  the  terms  of this  Declaration  (including
                the terms of the Securities); and

<PAGE>

                (ii)    the result of such amendment would not be to

                       (A) cause  the  Trust  to  cease  to  be  classified  for
                 purposes of  United  States   federal  income  taxation   as  a
                 grantor trust; or

                       (B) cause  the  Trust  to  be deemed to be an  Investment
                 Company   required  to  be  registered  under  the   Investment
                 Company Act.

         (c)     Except as provided in Section 11.1(d), (e) or (h), no amendment
shall be made, and any such purported  amendment shall be void and  ineffective,
unless the Holders of a Majority in liquidation amount of the Capital Securities
shall have consented to such amendment.

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

         (e)     Sections 9.1(b) and 9.1(c) and this  Section  11.1 shall not be
amended without the consent of all of the Holders of the Securities.

         (f)     Article III  shall  not  be  amended without the consent of the
Holders of a Majority in liquidation amount of the Common Securities.

         (g)     The  rights  of  the  Holders of the Capital  Securities  under
Article  IV to appoint  and remove  Trustees  shall not be amended  without  the
consent of the  Holders  of a  Majority  in  liquidation  amount of the  Capital
Securities.

         (h)     This  Declaration may be amended by the  Institutional  Trustee
and the Holders of a Majority  in  liquidation  amount of the Common  Securities
without the consent of the Holders of the Capital Securities to:

                (i)     cure any ambiguity;

                (ii)    correct or supplement any  provision in this Declaration
        that may be  defective or inconsistent with any other  provision of this
        Declaration;

                (iii)   add to the covenants, restrictions or obligations of the
        Sponsor; or

                (iv)    modify, eliminate or  add  to  any   provision  of  this
        Declaration  to  such  extent as may be  necessary  to ensure  that  the
        Trust will be classified for United States federal income  tax  purposes
        at all times as a grantor  trust and will  not  be  required to register
        as an Investment  Company  (including  without  limitation to conform to
        any change in Rule 3a-5,  Rule 3a-7 or  any other  applicable rule under
        the  Investment  Company Act or  written  change  in  interpretation  or
        application thereof by any legislative  body, court,  government  agency
        or  regulatory  authority)  which  amendment  does  not  have a material
        adverse effect  on  the rights, preferences or privileges of the Holders
        of Securities;

         provided,  however, that no such modification,  elimination or addition
         --------   -------
referred to in clauses (i), (ii),  (iii) or (iv) shall  adversely  affect in any
material respect the powers, preferences or special rights of Holders of Capital
Securities.
<PAGE>

         Section 11.2.  Meetings of the Holders of Securities; Action by Written
Consent.                --------------------------------------------------------
-------

         (a)     Meetings  of  the  Holders of  any  class of  Securities may be
called at any time by the  Administrators  (or as  provided  in the terms of the
Securities)  to consider and act on any matter on which Holders of such class of
Securities are entitled to act under the terms of this  Declaration or the terms
of the  Securities.  The  Administrators  shall call a meeting of the Holders of
such class if directed  to do so by the  Holders of at least 10% in  liquidation
amount of such class of Securities.  Such direction shall be given by delivering
to the  Administrators  one or more calls in a writing  stating that the signing
Holders of the  Securities  wish to call a meeting and indicating the general or
specific  purpose  for which the  meeting  is to be called.  Any  Holders of the
Securities  calling a meeting shall specify in writing the Certificates  held by
the Holders of the  Securities  exercising  the right to call a meeting and only
those Securities  represented by such Certificates shall be counted for purposes
of determining  whether the required percentage set forth in the second sentence
of this paragraph has been met.

         (b)     Except to the extent otherwise  provided  in the  terms  of the
Securities,  the following  provisions shall apply to meetings of Holders of the
Securities:

                (i)     notice  of  any  such meeting  shall be given to all the
        Holders of the Securities having a right to vote thereat at least 7 days
        and not more than 60 days  before the date of such  meeting.  Whenever a
        vote,  consent  or  approval  of   the  Holders  of  the  Securities  is
        permitted  or  required under this  Declaration,  such vote,  consent or
        approval  may  be  given at a meeting of the Holders of the  Securities.
        Any  action  that  may  be  taken at a  meeting  of the  Holders  of the
        Securities  may  be  taken  without a meeting  if a consent  in  writing
        setting  forth  the  action  so taken is  signed by the  Holders  of the
        Securities  owning  not  less than the minimum  amount of  Securities in
        liquidation  amount that would  be  necessary to  authorize or take such
        action  at  a meeting at which all  Holders of the  Securities  having a
        right  to  vote thereon were  present and voting.  Prompt  notice of the
        taking  of  action  without a meeting  shall be given to the  Holders of
        the  Securities  entitled to vote who have not consented in writing. The
        Administrators  may  specify  that any written  ballot  submitted to the
        Holders  of  the Securities for the purpose of taking any action without
        a meeting  shall be  returned to the Trust within the time  specified by
        the Administrators;

                (ii)    each  Holder  of  a Security may authorize any Person to
        act for it by proxy on all matters  in which a Holder of  Securities  is
        entitled  to  participate,  including waiving notice of any meeting,  or
        voting  or  participating   at a meeting.  No proxy shall be valid after
        the  expiration  of  11 months  from the date thereof  unless  otherwise
        provided in the proxy.  Every  proxy  shall be revocable at the pleasure
        of the  Holder of  the  Securities  executing  it.  Except as  otherwise
        provided  herein,   all  matters   relating  to the  giving,  voting  or
        validity of proxies shall be governed  by  the General  Corporation  Law
        of   the   State  of  Delaware   relating  to  proxies,   and   judicial
        interpretations   thereunder,   as   if   the  Trust   were  a  Delaware
        corporation and the Holders of the Securities  were  stockholders  of  a
        Delaware  corporation;  each meeting of the  Holders of  the  Securities
        shall be conducted by the  Administrators or  by  such other Person that
        the Administrators may designate; and

                (iii)   unless  the Statutory  Trust Act, this  Declaration,  or
        the terms of the Securities otherwise provides,  the Administrators,  in
        their  sole  discretion,  shall establish all other provisions  relating
        to meetings  of  Holders of  Securities,  including  notice of the time,
        place or purpose  of  any  meeting at which any matter is to be voted on
        by any Holders  of  the Securities, waiver of any such notice, action by
        consent  without a  meeting,  the establishment of a record date, quorum
        requirements,  voting  in  person or by proxy or any other  matter  with
        respect to  the  exercise of any such right to vote; provided,  however,
                                                             --------   -------
        that each  meeting  shall  be  conducted  in the United  States (as that
        term is defined in Treasury Regulations section 301.7701-7).
<PAGE>

                                  ARTICLE XII

        REPRESENTATIONS OF INSTITUTIONAL TRUSTEE AND THE DELAWARE TRUSTEE

         Section 12.1.  Representations and Warranties of Institutional Trustee.
                        -------------------------------------------------------
The initial  Institutional  Trustee  represents and warrants to the Trust and to
the Sponsor at the date of this  Declaration,  and each Successor  Institutional
Trustee  represents and warrants to the Trust and the Sponsor at the time of the
Successor Institutional Trustee's acceptance of its appointment as Institutional
Trustee, that:

         (a)     the  Institutional  Trustee is  a Delaware banking  corporation
with trust powers,  duly  organized and validly  existing  under the laws of the
State of Delaware with trust power and authority to execute and deliver,  and to
carry out and perform its obligations under the terms of, this Declaration;

         (b)     the execution, delivery and  performance  by the  Institutional
Trustee of this Declaration has been duly authorized by all necessary  corporate
action on the part of the Institutional  Trustee. This Declaration has been duly
executed and delivered by the Institutional Trustee, and it constitutes a legal,
valid and binding obligation of the Institutional  Trustee,  enforceable against
it  in   accordance   with  its  terms,   subject  to   applicable   bankruptcy,
reorganization,   moratorium,  insolvency,  and  other  similar  laws  affecting
creditors' rights generally and to general  principles of equity  (regardless of
whether considered in a proceeding in equity or at law);

         (c)     the execution,  delivery and performance of this Declaration by
the  Institutional  Trustee does not conflict with or constitute a breach of the
charter or by-laws of the Institutional Trustee; and

         (d)     no consent, approval or authorization  of, or registration with
or notice  to,  any state or  federal  banking  authority  is  required  for the
execution,  delivery  or  performance  by  the  Institutional  Trustee  of  this
Declaration.

         Section 12.2.  Representations  of  the  Delaware Trustee. The  Trustee
                        ------------------------------------------
that acts as initial Delaware  Trustee  represents and warrants to the Trust and
to the  Sponsor at the date of this  Declaration,  and each  Successor  Delaware
Trustee  represents and warrants to the Trust and the Sponsor at the time of the
Successor Delaware  Trustee's  acceptance of its appointment as Delaware Trustee
that:

         (a)     if it is not a natural person,  the Delaware  Trustee  is  duly
organized,  validly existing and in good standing under the laws of the State of
Delaware;

         (b)     if it is not a natural  person,  the  execution,  delivery  and
performance by the Delaware Trustee of this Declaration has been duly authorized
by all  necessary  corporate  action on the part of the Delaware  Trustee.  This
Declaration  has been duly executed and delivered by the Delaware  Trustee,  and
under Delaware law (excluding any securities  laws)  constitutes a legal,  valid
and  binding  obligation  of the  Delaware  Trustee,  enforceable  against it in
accordance  with its terms,  subject to applicable  bankruptcy,  reorganization,
moratorium,  insolvency  and other  similar  laws  affecting  creditors'  rights
generally and to general  principles  of equity and the  discretion of the court
(regardless of whether considered in a proceeding in equity or at law);

         (c)     if it is not a natural  person,  the  execution,  delivery  and
performance of this  Declaration by the Delaware  Trustee does not conflict with
or constitute a breach of the charter or by-laws of the Delaware Trustee;
<PAGE>

         (d)     it has trust power and authority to execute and deliver, and to
carry out and perform its obligations under the terms of, this Declaration;

         (e)     no consent, approval or authorization  of, or registration with
or notice to, any state or federal banking authority  governing the trust powers
of the Delaware  Trustee is required for the execution,  delivery or performance
by the Delaware Trustee of this Declaration; and

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

                                  ARTICLE XIII

                                  MISCELLANEOUS

         Section 13.1.  Notices.  All notices  provided for in this  Declaration
                        -------
shall be in writing,  duly signed by the party giving such notice,  and shall be
delivered,  telecopied  (which telecopy shall be followed by notice delivered or
mailed by first class mail) or mailed by first class mail, as follows:

         (a)     if  given  to  the  Trust, in care of the Administrators at the
Trust's  mailing address set forth below (or such other address as the Trust may
give notice of to the Holders of the Securities):

                 First Bank Statutory Trust V
                 c/o First Banks, Inc.
                 600 James S. McDonnell Boulevard
                 Mail Stop - M1-199-014
                 Hazelwood,  Missouri  63042
                 Attention:  Lisa K. Vansickle
                 Telecopy:   314-592-6621

         (b)     if  given  to  the  Delaware Trustee, at the Delaware Trustee's
mailing  address set forth below (or such other address as the Delaware  Trustee
may give notice of to the Holders of the Securities):

                 Wilmington Trust Company
                 Rodney Square North
                 1100 North Market Street
                 Wilmington, Delaware  19890-1600
                 Attention:  Corporate Trust Administration
                 Telecopy:   302-636-4140

         (c)     if given to the Institutional  Trustee,  at  the  Institutional
Trustee's  mailing  address  set  forth  below  (or such  other  address  as the
Institutional Trustee may give notice of to the Holders of the Securities):

                 Wilmington Trust Company
                 Rodney Square North
                 1100 North Market Street
                 Wilmington, Delaware  19890-1600
                 Attention:  Corporate Trust Administration
                 Telecopy:   302-636-4140

         (d)     if given to the Holder of the Common Securities, at the mailing
address of the Sponsor  set forth below (or such other  address as the Holder of
the Common Securities may give notice of to the Trust):

                 First Banks, Inc.
                 600 James S. McDonnell Boulevard
                 Mail Stop - M1-199-014
                 Hazelwood, Missouri  63042
                 Attention: Lisa K. Vansickle
                 Telecopy:  314-592-6621
<PAGE>

         (e)     if  given  to any other Holder, at the address set forth on the
books and records of the Trust.

         All such  notices  shall be deemed to have been given when  received in
person,  telecopied  with  receipt  confirmed,  or mailed by first  class  mail,
postage prepaid except that if a notice or other document is refused delivery or
cannot be delivered  because of a changed  address of which no notice was given,
such notice or other document shall be deemed to have been delivered on the date
of such refusal or inability to deliver.

         Section 13.2.  Governing  Law. This  Declaration  and the rights of the
                        --------------
parties  hereunder  shall be governed by and  interpreted in accordance with the
law of the State of Delaware  and all rights and  remedies  shall be governed by
such laws without  regard to the  principles of conflict of laws of the State of
Delaware or any other  jurisdiction  that would call for the  application of the
law of any  jurisdiction  other than the State of Delaware;  provided,  however,
                                                             --------   -------
that  there  shall  not be  applicable  to  the  Trust,  the  Trustees  or  this
Declaration  any  provision  of the laws  (statutory  or common) of the State of
Delaware  pertaining  to  trusts  that  relate  to  or  regulate,  in  a  manner
inconsistent with the terms hereof (a) the filing with any court or governmental
body or agency of trustee accounts or schedules of trustee fees and charges, (b)
affirmative  requirements  to post  bonds  for  trustees,  officers,  agents  or
employees  of  a  trust,   (c)  the  necessity  for  obtaining  court  or  other
governmental approval concerning the acquisition, holding or disposition of real
or personal  property,  (d) fees or other sums  payable to  trustees,  officers,
agents or employees of a trust,  (e) the allocation of receipts and expenditures
to income or principal,  or (f)  restrictions  or limitations on the permissible
nature, amount or concentration of trust investments or requirements relating to
the titling, storage or other manner of holding or investing trust assets.

         Section 13.3.  Intention  of the Parties.  It is  the  intention of the
                        -------------------------
parties hereto that the Trust be classified for United States federal income tax
purposes  as a  grantor  trust.  The  provisions  of this  Declaration  shall be
interpreted to further this intention of the parties.

         Section 13.4.  Headings.  Headings  contained in this  Declaration  are
                        --------
inserted for convenience of reference only and do not affect the  interpretation
of this Declaration or any provision hereof.

         Section 13.5.  Successors and Assigns. Whenever in this Declaration any
                        ----------------------
of the parties  hereto is named or referred  to, the  successors  and assigns of
such party shall be deemed to be included,  and all covenants and  agreements in
this  Declaration  by the Sponsor and the  Trustees  shall bind and inure to the
benefit of their respective successors and assigns, whether or not so expressed.

         Section 13.6.  Partial  Enforceability.   If   any  provision  of  this
                        -----------------------
Declaration, or the application of such provision to any Person or circumstance,
shall be held invalid, the remainder of this Declaration,  or the application of
such provision to persons or circumstances  other than those to which it is held
invalid, shall not be affected thereby.

         Section 13.7.  Counterparts. This Declaration may contain more than one
                        ------------
counterpart  of the signature page and this  Declaration  may be executed by the
affixing of the signature of each of the Trustees and  Administrators  to any of
such counterpart  signature pages. All of such counterpart signature pages shall
be read as though  one,  and they shall have the same force and effect as though
all of the signers had signed a single signature page.

                     Signatures appear on the following page

<PAGE>

         IN WITNESS  WHEREOF,  the undersigned  have caused these presents to be
executed as of the day and year first above written.

                            WILMINGTON TRUST COMPANY,
                            as Delaware Trustee

                            By: /s/ Christopher J. Monigle
                                ------------------------------------------------
                                    Name:  Christopher J. Monigle
                                    Title: Assistant Vice President

                            WILMINGTON TRUST COMPANY,
                            as Institutional Trustee

                            By: /s/ Christopher J. Monigle
                                ------------------------------------------------
                                    Name:  Christopher J. Monigle
                                    Title: Assistant Vice President

                            FIRST BANKS, INC., as Sponsor

                            By: /s/ Lisa K. Vansickle
                                ------------------------------------------------
                                    Name:  Lisa K. Vansickle
                                    Title: Senior Vice President

                            ADMINISTRATORS OF FIRST BANK STATUTORY TRUST V

                            By :/s/ Allen H. Blake
                                ------------------------------------------------
                                    Administrator

                            By: /s/ Peter D. Wimmer
                                ------------------------------------------------
                                    Administrator

                            By: /s/ Lisa K. Vansickle
                                ------------------------------------------------
                                    Administrator

<PAGE>

                                     ANNEX I

                               TERMS OF SECURITIES

              Pursuant to Section 6.1 of the Amended and Restated Declaration of
Trust,  dated  as of  April  28,  2006  (as  amended  from  time  to  time,  the
"Declaration"), the designation, rights, privileges,  restrictions,  preferences
and  other  terms  and  provisions  of the  Capital  Securities  and the  Common
Securities are set out below (each  capitalized term used but not defined herein
has the meaning set forth in the Declaration):

         1.   Designation and Number.
              ----------------------

              (a)   20,000  Floating  Rate  Capital  Securities  of  First  Bank
Statutory Trust V (the "Trust"),  with an aggregate  stated  liquidation  amount
with   respect   to  the  assets  of  the  Trust  of  twenty   million   dollars
($20,000,000.00)  and a stated  liquidation amount with respect to the assets of
the Trust of  $1,000.00  per Capital  Security,  are hereby  designated  for the
purposes  of  identification  only  as the  "Capital  Securities".  The  Capital
                                             -------------------
Security  Certificates  evidencing the Capital Securities shall be substantially
in the form of Exhibit A-1 to the  Declaration,  with such changes and additions
thereto or deletions  therefrom as may be required by ordinary usage,  custom or
practice.

              (b)  619 Floating Rate Common Securities of the Trust (the "Common
                                                                          ------
Securities") will be evidenced by Common Security Certificates  substantially in
----------
the form of Exhibit A-2 to the  Declaration,  with such  changes  and  additions
thereto or deletions  therefrom as may be required by ordinary usage,  custom or
practice.

         2.   Distributions.
              -------------

              (a)   Distributions  will  be  payable  on each  Security  for the
Distribution  Period beginning on (and including) the date of original  issuance
and ending on (but  excluding) the  Distribution  Payment Date in June 2006 at a
rate per  annum  of  6.59875%  and  shall  bear  interest  for  each  successive
Distribution  Period beginning on (and including) the Distribution  Payment Date
in June 2006, and each succeeding  Distribution Payment Date, and ending on (but
excluding)  the next  succeeding  Distribution  Payment Date at a rate per annum
equal to the 3-Month  LIBOR,  determined  as  described  below,  plus 1.45% (the
"Coupon Rate"),  applied to the stated  liquidation  amount  thereof,  such rate
 -----------
being  the  rate  of  interest  payable  on the  Debentures  to be  held  by the
Institutional  Trustee.  Distributions  in arrears  will bear  interest  thereon
compounded  quarterly  at  the  applicable  Distribution  Rate  (to  the  extent
permitted by law). Distributions, as used herein, include cash distributions and
any such  compounded  distributions  unless  otherwise  noted. A Distribution is
payable only to the extent that  payments are made in respect of the  Debentures
held by the Institutional  Trustee and to the extent the  Institutional  Trustee
has funds available  therefor.  The amount of the  Distribution  payable for any
Distribution  Period will be calculated by applying the Distribution Rate to the
stated  liquidation  amount  outstanding at the commencement of the Distribution
Period on the basis of the  actual  number  of days in the  Distribution  Period
concerned divided by 360. All percentages resulting from any calculations on the
Capital  Securities  will  be  rounded,   if  necessary,   to  the  nearest  one
hundred-thousandth  of  a  percentage  point,  with  five  one-millionths  of  a
percentage point rounded upward (e.g., 9.876545% (or .09876545) being rounded to
9.87655% (or  .0987655),  and all dollar  amounts used in or resulting from such
calculation  will be  rounded to the  nearest  cent  (with  one-half  cent being
rounded upward)).

              (b)   Distributions  on the Securities  will be  cumulative,  will
accrue  from the date of  original  issuance,  and will be  payable,  subject to
extension of  distribution  payment  periods as described  herein,  quarterly in
arrears on March 15, June 15,  September 15 and December 15 of each year,  or if
such day is not a Business  Day, then the next  succeeding  Business Day (each a
"Distribution  Payment Date") (it being understood that interest accrues for any
 --------------------------

<PAGE>

such non-Business Day), commencing on the Distribution Payment Date in June 2006
when, as and if available for payment.  The Debenture Issuer has the right under
the  Indenture to defer  payments of interest on the  Debentures,  so long as no
Acceleration  Event of Default has occurred and is continuing,  by deferring the
payment of interest on the Debentures for up to 20 consecutive quarterly periods
(each an "Extension  Period") at any time and from time to time,  subject to the
          -----------------
conditions  described below,  during which Extension Period no interest shall be
due and payable.  During any Extension Period,  interest will continue to accrue
on the  Debentures,  and  interest on such  accrued  interest  will accrue at an
annual  rate equal to the  Distribution  Rate in effect for each such  Extension
Period, compounded quarterly from the date such interest would have been payable
were it not for the  Extension  Period,  to the  extent  permitted  by law (such
interest referred to herein as "Additional  Interest").  No Extension Period may
                                --------------------
end on a date other than a  Distribution  Payment  Date.  At the end of any such
Extension  Period,  the Debenture Issuer shall pay all interest then accrued and
unpaid on the Debentures (together with Additional Interest thereon);  provided,
                                                                       --------
however,  that no  Extension  Period may extend  beyond  the  Maturity  Date and
-------
provided further,  however, that during any such Extension Period, the Debenture
-------- -------   -------
Issuer  and its  Affiliates  shall  not (i)  declare  or pay  any  dividends  or
distributions on, or redeem,  purchase,  acquire,  or make a liquidation payment
with respect to, any of the Debenture Issuer's or its Affiliates'  capital stock
(other than payments of dividends or distributions  to the Debenture  Issuer) or
make any  guarantee  payments  with respect to the  foregoing,  or (ii) make any
payment of principal of or interest or premium, if any, on or repay,  repurchase
or redeem any debt securities of the Debenture Issuer or any Affiliate that rank
pari passu in all respects with or junior in interest to the  Debentures  (other
than, with respect to clauses (i) and (ii) above, (a)  repurchases,  redemptions
or other  acquisitions  of shares of capital  stock of the  Debenture  Issuer in
connection  with  any  employment  contract,   benefit  plan  or  other  similar
arrangement  with  or  for  the  benefit  of one or  more  employees,  officers,
directors  or  consultants,  in  connection  with  a  dividend  reinvestment  or
stockholder  stock  purchase plan or in connection  with the issuance of capital
stock of the Debenture Issuer (or securities convertible into or exercisable for
such capital stock) as consideration in an acquisition  transaction entered into
prior to the  applicable  Extension  Period,  (b) as a result of any exchange or
conversion  of any class or series of the Debenture  Issuer's  capital stock (or
any capital  stock of a  subsidiary  of the  Debenture  Issuer) for any class or
series of the Debenture  Issuer's capital stock or of any class or series of the
Debenture  Issuer's  indebtedness  for any  class  or  series  of the  Debenture
Issuer's  capital stock,  (c) the purchase of fractional  interests in shares of
the  Debenture  Issuer's  capital stock  pursuant to the  conversion or exchange
provisions of such capital stock or the security  being  converted or exchanged,
(d) any  declaration of a dividend in connection with any  stockholders'  rights
plan, or the issuance of rights, stock or other property under any stockholders'
rights plan, or the redemption or repurchase of rights pursuant thereto, (e) any
dividend  in the form of stock,  warrants,  options  or other  rights  where the
dividend stock or the stock issuable upon exercise of such warrants,  options or
other  rights is the same stock as that on which the  dividend  is being paid or
ranks pari passu with or junior to such stock and any cash  payments  in lieu of
fractional  shares issued in  connection  therewith,  or (f) payments  under the
Capital Securities Guarantee). Prior to the termination of any Extension Period,
the Debenture  Issuer may further extend such period,  provided that such period
together with all such previous and further consecutive extensions thereof shall
not exceed 20 consecutive quarterly periods, or extend beyond the Maturity Date.
Upon the termination of any Extension Period and upon the payment of all accrued
and unpaid interest and Additional Interest, the Debenture Issuer may commence a
new  Extension  Period,  subject to the foregoing  requirements.  No interest or
Additional Interest shall be due and payable during an Extension Period,  except
at the end thereof,  but each  installment of interest that would otherwise have
been  due and  payable  during  such  Extension  Period  shall  bear  Additional
Interest. During any Extension Period,  Distributions on the Securities shall be
deferred  for a period  equal to the  Extension  Period.  If  Distributions  are
deferred,  the  Distributions  due  shall be paid on the date  that the  related
Extension  Period  terminates to Holders of the Securities as they appear on the
books and records of the Trust on the record  date  immediately  preceding  such
date.  Distributions  on the Securities must be paid on the dates payable (after
giving  effect to any  Extension  Period) to the extent that the Trust has funds

<PAGE>

available for the payment of such  distributions  in the Property Account of the
Trust.  The  Trust's  funds  available  for  Distribution  to the Holders of the
Securities will be limited to payments received from the Debenture  Issuer.  The
payment of  Distributions  out of moneys held by the Trust is  guaranteed by the
Guarantor pursuant to the Guarantee.

              (c)   Distributions  on the  Securities  will  be  payable  to the
Holders  thereof  as they  appear on the books and  records  of the Trust on the
relevant  record dates.  The relevant  record dates shall be fifteen days before
the relevant Distribution Payment Date.  Distributions payable on any Securities
that are not punctually  paid on any  Distribution  Payment Date, as a result of
the Debenture  Issuer having failed to make a payment under the  Debentures,  as
the case may be, when due (taking into account any Extension Period), will cease
to be payable to the Person in whose name such  Securities are registered on the
relevant record date, and such defaulted Distribution will instead be payable to
the Person in whose name such  Securities  are  registered on the special record
date or other specified date determined in accordance with the Indenture.

              (d)   In the event that there is any money or other property  held
by or for the Trust that is not accounted for hereunder,  such property shall be
distributed Pro Rata (as defined herein) among the Holders of the Securities.

         3.   Liquidation Distribution Upon Dissolution. In  the  event  of  the
              -----------------------------------------
voluntary or involuntary liquidation,  dissolution, winding-up or termination of
the Trust (each a  "Liquidation")  other than in connection with a redemption of
                    -----------
the Debentures, the Holders of the Securities will be entitled to receive out of
the assets of the Trust available for distribution to Holders of the Securities,
after  satisfaction  of liabilities to creditors of the Trust (to the extent not
satisfied by the Debenture Issuer),  distributions equal to the aggregate of the
stated  liquidation  amount of $1,000.00  per  Security  plus accrued and unpaid
Distributions thereon to the date of payment (such amount being the "Liquidation
                                                                     -----------
Distribution"), unless in connection with such Liquidation, the Debentures in an
------------
aggregate  stated  principal  amount equal to the aggregate  stated  liquidation
amount of such Securities,  with an interest rate equal to the Distribution Rate
of, and bearing  accrued and unpaid  interest in an amount  equal to the accrued
and  unpaid  Distributions  on,  and  having  the  same  record  date  as,  such
Securities,  after paying or making  reasonable  provision to pay all claims and
obligations  of the Trust in accordance  with the Statutory  Trust Act, shall be
distributed on a Pro Rata basis to the Holders of the Securities in exchange for
such Securities.

         The Sponsor,  as the Holder of all of the Common  Securities,  has  the
right at any time to dissolve the Trust (including, without limitation, upon the
occurrence of a Special Event),  subject to the receipt by the Debenture  Issuer
of prior approval from the Board of Governors of the Federal Reserve System,  or
its designated  district bank, as applicable,  and any successor  federal agency
that is primarily  responsible for regulating the activities of the Sponsor (the
"Federal Reserve"), if the Sponsor is a bank holding company, or from the Office
 ---------------
of  Thrift  Supervision  and any  successor  federal  agency  that is  primarily
responsible for regulating the activities of Sponsor, (the "OTS") if the Sponsor
                                                            ---
is a savings and loan holding  company,  in either case if then  required  under
applicable  capital  guidelines  or policies  of the Federal  Reserve or OTS, as
applicable,  and, after  satisfaction  of liabilities to creditors of the Trust,
cause the Debentures to be distributed to the Holders of the Securities on a Pro
Rata basis in accordance with the aggregate stated liquidation amount thereof.

         If a Liquidation  of the Trust occurs as described in clause (i), (ii),
(iii) or (v) in Section 7.1(a) of the Declaration, the Trust shall be liquidated
by the Institutional Trustee as expeditiously as it determines to be possible by
distributing,  after  satisfaction  of liabilities to creditors of the Trust, to
the Holders of the Securities,  the Debentures on a Pro Rata basis to the extent
not satisfied by the Debenture Issuer, unless such distribution is determined by
the Institutional Trustee not to be practical,  in which event such Holders will
be entitled to receive out of the assets of the Trust available for distribution
to the Holders,  after  satisfaction of liabilities of creditors of the Trust to

<PAGE>

the  extent  not  satisfied  by the  Debenture  Issuer,  an amount  equal to the
Liquidation  Distribution.  An early Liquidation of the Trust pursuant to clause
(iv) of  Section  7.1(a) of the  Declaration  shall  occur if the  Institutional
Trustee  determines  that such  Liquidation is possible by  distributing,  after
satisfaction  of  liabilities  to creditors of the Trust,  to the Holders of the
Securities on a Pro Rata basis, the Debentures, and such distribution occurs.

         If, upon any such Liquidation the Liquidation  Distribution can be paid
only in part because the Trust has insufficient  assets available to pay in full
the aggregate Liquidation Distribution, then the amounts payable directly by the
Trust on such  Capital  Securities  shall be paid to the  Holders  of the  Trust
Securities on a Pro Rata basis,  except that if an Event of Default has occurred
and is  continuing,  the Capital  Securities  shall have a  preference  over the
Common Securities with regard to such distributions.

         After the date for any  distribution of the Debentures upon dissolution
of the Trust  (i) the  Securities  of the  Trust  will be deemed to be no longer
outstanding,  (ii) upon  surrender of a Holder's  Securities  certificate,  such
Holder of the Securities will receive a certificate  representing the Debentures
to be delivered upon such distribution,  (iii) any certificates representing the
Securities still  outstanding will be deemed to represent  undivided  beneficial
interests in such of the Debentures as have an aggregate  principal amount equal
to the aggregate  stated  liquidation  amount with an interest rate identical to
the  Distribution  Rate of, and  bearing  accrued and unpaid  interest  equal to
accrued and unpaid  distributions on, the Securities until such certificates are
presented to the Debenture  Issuer or its agent for transfer or reissuance  (and
until such certificates are so surrendered, no payments of interest or principal
shall be made to  Holders of  Securities  in  respect  of any  payments  due and
payable under the Debentures;  provided,  however that such failure to pay shall
                               --------   -------
not be deemed to be an Event of Default  and shall not entitle the Holder to the
benefits of the Guarantee),  and (iv) all rights of Holders of Securities  under
the  Declaration  shall  cease,  except  the right of such  Holders  to  receive
Debentures upon surrender of certificates representing such Securities.

         4.   Redemption and Distribution.
              ---------------------------

              (a)   The Debentures  will mature on June 15, 2036. The Debentures
may  be  redeemed  by  the  Debenture  Issuer,  in  whole  or in  part,  at  any
Distribution  Payment  Date on or after the  Distribution  Payment  Date in June
2011, at the Redemption  Price.  In addition,  the Debentures may be redeemed by
the Debenture Issuer at the Special  Redemption Price, in whole but not in part,
at any  Distribution  Payment Date,  upon the occurrence and  continuation  of a
Special Event within 120 days  following the occurrence of such Special Event at
the  Special  Redemption  Price,  upon not less  than 30 nor more  than 60 days'
notice  to  holders  of  such  Debentures  so  long as  such  Special  Event  is
continuing.  In each  case,  the right of the  Debenture  Issuer  to redeem  the
Debentures is subject to the Debenture  Issuer having  received  prior  approval
from the Federal Reserve (if the Debenture  Issuer is a bank holding company) or
prior  approval  from the OTS (if the  Debenture  Issuer is a  savings  and loan
holding  company),  in each  case  if then  required  under  applicable  capital
guidelines or policies of the applicable federal agency.

         "3-Month LIBOR" means the London  interbank  offered  interest rate for
          -------------
three-month,  U.S.  dollar deposits  determined by the Debenture  Trustee in the
following order of priority:

              (1)   the rate (expressed  as a  percentage  per  annum)  for U.S.
         dollar  deposits having a three-month maturity that appears on Telerate
         Page  3750 as of 11:00 a.m. (London time) on the related  Determination
         Date  (as  defined  below).  "Telerate  Page  3750"  means the  display
         designated   as "Page 3750" on the Moneyline  Telerate  Service or such
         other  page as  may  replace  Page 3750 on that  service  or such other
         service   or  services  as may be  nominated  by the  British  Bankers'
         Association  as  the  information  vendor for the purpose of displaying
         London interbank offered rates for U.S. dollar deposits;
<PAGE>

              (2)   if  such  rate   cannot  be   identified   on  the   related
         Determination  Date, the  Debenture  Trustee will request the principal
         London offices  of four leading banks in the London interbank market to
         provide such  banks' offered  quotations  (expressed as percentages per
         annum) to  prime banks in the London  interbank  market for U.S. dollar
         deposits  having a three-month  maturity as of 11:00 a.m. (London time)
         on  such  Determination  Date. If at least two quotations are provided,
         3-Month LIBOR will be the arithmetic mean of such quotations;

             (3)    if fewer than two such quotations  are provided as requested
         in  clause (2) above, the Debenture Trustee will request four major New
         York City  banks to provide such banks' offered  quotations  (expressed
         as  percentages per annum) to leading  European banks for loans in U.S.
         dollars  as of 11:00 a.m. (London time) on such Determination  Date. If
         at  least two such  quotations are provided,  3-Month LIBOR will be the
         arithmetic mean of such quotations; and

             (4)    if fewer than two such  quotations are provided as requested
         in  clause (3) above,  3-Month LIBOR will be a 3-Month LIBOR determined
         with  respect to the  Distribution  Period  immediately  preceding such
         current Distribution Period.

         If the rate for U.S. dollar deposits having a three-month maturity that
initially  appears on Telerate  Page 3750 as of 11:00 a.m.  (London time) on the
related  Determination  Date  is  superseded  on the  Telerate  Page  3750  by a
corrected rate by 12:00 noon (London time) on such Determination  Date, then the
corrected rate as so  substituted on the applicable  page will be the applicable
3-Month LIBOR for such Determination Date.

         The Distribution  Rate for any  Distribution  Period will at no time be
higher than the maximum  rate then  permitted by New York law as the same may be
modified by United States law.

         "Capital Treatment Event" means the receipt by the Debenture Issuer and
          -----------------------
the Trust of an  opinion of counsel  experienced  in such  matters to the effect
that, as a result of the  occurrence  of any amendment to, or change  (including
any announced  prospective  change) in, the laws,  rules or  regulations  of the
United States or any political  subdivision thereof or therein, or as the result
of  any  official  or   administrative   pronouncement  or  action  or  decision
interpreting  or applying such laws,  rules or  regulations,  which amendment or
change is effective or which  pronouncement,  action or decision is announced on
or after the date of original issuance of the Debentures,  there is more than an
insubstantial risk that the Sponsor will not, within 90 days of the date of such
opinion,  be  entitled  to treat an amount  equal to the  aggregate  liquidation
amount of the Capital  Securities  as "Tier 1 Capital" (or its then  equivalent)
for purposes of the capital adequacy  guidelines of the Federal Reserve, as then
in effect and applicable to the Sponsor (or if the Sponsor is not a bank holding
company or otherwise is not subject to the Federal Reserve's  risk-based capital
adequacy  guidelines,  such guidelines  applied to the Sponsor as if the Sponsor
were subject to such guidelines);  provided,  however, that the inability of the
                                   --------   -------
Sponsor to treat all or any  portion of the  liquidation  amount of the  Capital
Securities  as Tier l  Capital  shall  not  constitute  the  basis for a Capital
Treatment  Event, if such inability  results from the Sponsor having  cumulative
preferred stock, minority interests in consolidated  subsidiaries,  or any other
class of security or interest  which the Federal  Reserve or OTS, as applicable,
may now or  hereafter  accord Tier 1 Capital  treatment  in excess of the amount
which  may now or  hereafter  qualify  for  treatment  as Tier 1  Capital  under
applicable  capital adequacy  guidelines;  provided further,  however,  that the
                                           -------- -------   -------
distribution of Debentures in connection with the Liquidation of the Trust shall
not  in  and  of  itself  constitute  a  Capital  Treatment  Event  unless  such
Liquidation  shall have occurred in connection with a Tax Event or an Investment
Company Event.

         "Determination  Date"  means the date that is two London  Banking  Days
          -------------------
(i.e.,  a  business  day in which  dealings  in  deposits  in U.S.  dollars  are
transacted in the London interbank market) preceding the particular Distribution
Period for which a Coupon Rate is being determined.
<PAGE>

         "Investment  Company  Event" means the receipt by the Debenture  Issuer
          --------------------------
and the Trust of an opinion of counsel experienced in such matters to the effect
that, as a result of the  occurrence of a change in law or regulation or written
change  (including  any  announced  prospective  change)  in  interpretation  or
application of law or regulation by any legislative  body,  court,  governmental
agency or regulatory  authority,  there is more than an insubstantial  risk that
the Trust is or, within 90 days of the date of such opinion,  will be considered
an  Investment  Company that is required to be registered  under the  Investment
Company Act which change or prospective change becomes effective or would become
effective,  as the case  may be,  on or after  the date of the  issuance  of the
Debentures.

         "Maturity Date" means June 15, 2036.
          -------------

         "Redemption  Date"  shall  mean the date  fixed for the  redemption  of
          ----------------
Capital Securities, which shall be any Distribution Payment Date on or after the
Distribution Payment Date in June 2011.

         "Redemption Price" means 100% of the principal amount of the Debentures
          ----------------
being  redeemed,  plus  accrued and unpaid  Interest on such  Debentures  to the
Redemption Date.

         "Special  Event" means a Tax Event,  an  Investment  Company Event or a
          --------------
Capital Treatment Event.

         "Special  Redemption  Date"  means a date  on  which  a  Special  Event
          -------------------------
redemption occurs, which shall be a Distribution Payment Date.

         "Special  Redemption  Price" means the price set forth in the following
          --------------------------
table for any Special  Redemption  Date that occurs on the date indicated  below
(or if such day is not a Business Day, then the next  succeeding  Business Day),
expressed as the  percentage of the  principal  amount of the  Debentures  being
redeemed:

       ---------------------------------- ---------------------------------
           Month in which Special               Special Redemption Price
           ----------------------               ------------------------
           Redemption Date Occurs
           ----------------------
       -----------------------------         ------------------------------
                 June 2006                              104.625%
       -----------------------------         ------------------------------
               September 2006                           104.300%
       -----------------------------         ------------------------------
               December 2006                            104.000%
       -----------------------------         ------------------------------
                 March 2007                             103.650%
       -----------------------------         ------------------------------
                 June 2007                              103.350%
       -----------------------------         ------------------------------
               September 2007                           103.000%
       -----------------------------         ------------------------------
               December 2007                            102.700%
       -----------------------------         ------------------------------
                 March 2008                             102.350%
       -----------------------------         ------------------------------
                 June 2008                              102.050%
       -----------------------------         ------------------------------
               September 2008                           101.700%
       -----------------------------         ------------------------------
               December 2008                            101.400%
       -----------------------------         ------------------------------
                 March 2009                             101.050%
       -----------------------------         ------------------------------
                 June 2009                              100.750%
       -----------------------------         ------------------------------
               September 2009                           100.450%
       -----------------------------         ------------------------------
               December 2009                            100.200%
       -----------------------------         ------------------------------
         March 2010 and thereafter                      100.000%
       -----------------------------         ------------------------------

<PAGE>

         plus, in each case,  accrued and unpaid  Interest on such Debentures to
the Special Redemption Date.

         "Tax Event" means the receipt by the Debenture  Issuer and the Trust of
          ---------
an opinion of  counsel  experienced  in such  matters to the effect  that,  as a
result  of any  amendment  to or change  (including  any  announced  prospective
change) in the laws or any  regulations  thereunder  of the United States or any
political  subdivision or taxing authority thereof or therein, or as a result of
any official administrative  pronouncement (including any private letter ruling,
technical advice memorandum,  field service advice, regulatory procedure, notice
or  announcement  including any notice or  announcement  of intent to adopt such
procedures or regulations)  (an  "Administrative  Action") or judicial  decision
                                  ----------------------
interpreting  or applying such laws or  regulations,  regardless of whether such
Administrative  Action or judicial decision is issued to or in connection with a
proceeding  involving  the  Debenture  Issuer or the Trust  and  whether  or not
subject  to  review  or  appeal,   which   amendment,   clarification,   change,
Administrative Action or decision is enacted,  promulgated or announced, in each
case on or after the date of original issuance of the Debentures,  there is more
than an insubstantial  risk that: (i) the Trust is, or will be within 90 days of
the date of such  opinion,  subject  to United  States  federal  income tax with
respect to income received or accrued on the Debentures;  (ii) interest  payable
by the Debenture  Issuer on the Debentures is not, or within 90 days of the date
of such opinion, will not be, deductible by the Debenture Issuer, in whole or in
part, for United States  federal income tax purposes;  or (iii) the Trust is, or
will be within 90 days of the date of such  opinion,  subject  to more than a de
minimis amount of other taxes, duties or other governmental charges.

             (b)    Upon  the  repayment  in full  at  maturity or redemption in
whole or in part of the Debentures (other than following the distribution of the
Debentures to the Holders of the  Securities),  the proceeds from such repayment
or payment shall  concurrently  be applied to redeem Pro Rata at the  applicable
Redemption Price or Special  Redemption Price, as applicable,  Securities having
an aggregate  liquidation amount equal to the aggregate  principal amount of the
Debentures  so repaid or  redeemed;  provided,  however,  that  holders  of such
                                     --------   -------
Securities shall be given not less than 30 nor more than 60 days' notice of such
redemption (other than at the scheduled maturity of the Debentures).

             (c)    If  fewer  than all  the outstanding Securities are to be so
redeemed,  the Common Securities and the Capital Securities will be redeemed Pro
Rata and the Capital  Securities  to be redeemed  will be redeemed Pro Rata from
each Holder of Capital Securities.

             (d)    The Trust  may  not  redeem  fewer than all the  outstanding
Capital Securities unless all accrued and unpaid Distributions have been paid on
all Capital Securities for all quarterly  Distribution periods terminating on or
before the date of redemption.

             (e)    Redemption or Distribution Procedures.
                    -------------------------------------

                    (i)    Notice   of   any   redemption   of,  or   notice  of
         distribution of the  Debentures  in  exchange  for,  the Securities  (a
         "Redemption/Distribution  Notice")  will  be given by the Trust by mail
          -------------------------------
         to  each  Holder  of Securities  to  be redeemed or exchanged not fewer
         than 30 nor more than 60 days  before  the date  fixed  for  redemption
         or  exchange  thereof  which, in  the case of a redemption, will be the
         date  fixed  for  redemption  of  the  Debentures.  For purposes of the
         calculation  of the date of  redemption  or exchange and the   dates on
         which  notices  are  given   pursuant  to  this  paragraph  4(e)(i),  a
         Redemption/Distribution Notice shall be deemed to be given on  the  day
         such  notice  is  first mailed by first-class  mail,  postage  prepaid,
         to  Holders  of  such Securities.  Each Redemption/Distribution  Notice
         shall be addressed to the Holders of such Securities  at the address of
         each such  Holder  appearing  on the books and records of the Trust. No
         defect in the  Redemption/Distribution Noticeor in the mailing  thereof
         with respect to any Holder shall affect the validity of  the redemption
         or  exchange proceedings with respect to any other Holder.
<PAGE>

                    (ii)   If  the  Securities  are   to  be  redeemed  and  the
         Trust gives a Redemption/ Distribution Notice, which notice may only be
         issued   if  the   Debentures   are  redeemed  as  set  out   in   this
         paragraph 4 (which notice will be  irrevocable),  then,  provided  that
                                                                  --------
         Institutional Trustee has a  sufficient  amount  of cash in  connection
         with  the  related  redemption  or  maturity  of  the  Debentures,  the
         Institutional Trustee will pay the relevant Redemption Price or Special
         Redemption Price, as applicable,  to the Holders of such  Securities by
         check mailed to the address of each such Holder  appearing on the books
         and records of  the Trust  on the  Redemption  Date.  If a  Redemption/
         Distribution  Notice  shall  have  been  given  and funds  deposited as
         required then  immediately  prior to the  close of business on the date
         of such  deposit  Distributions  will cease to accrue on the Securities
         so called for redemption and all rights of Holders  of  such Securities
         so called for redemption  will cease,  except  the right of the Holders
         of  such  Securities  to  receive the  applicable  Redemption  Price or
         Special  Redemption  Price  specified  in  paragraph 4(a),  but without
         interest  on  such  Redemption  Price or Special  Redemption  Price. If
         payment of the Redemption Price or Special Redemption  Price in respect
         of any Securities is improperly withheld or refused and not paid either
         by the  Trust or by the Debenture  Issuer as guarantor  pursuant to the
         Guarantee,  Distributions on such Securities will continue to accrue at
         the  Distribution  Rate from the original Redemption Date to the actual
         date  of  payment,  in  which  case  the  actual  payment date  will be
         considered  the date fixed for redemption  for purposes of  calculating
         the Redemption  Price or Special Redemption  Price. In the event of any
         redemption of the Capital  Securities  issued by the Trust in part, the
         Trust shall not be required to  (i) issue,  register the transfer of or
         exchange  any  Security  during a period  beginning at  the opening  of
         business  fifteen days  before  any  selection  for  redemption  of the
         Capital Securities  and ending at the close of business on the earliest
         date on which the relevant notice of redemption  is deemed to have been
         given to all  Holders of the Capital  Securities  to  be so redeemed or
         (ii) register  the transfer of or exchange any  Capital  Securities  so
         selected for redemption, in whole or in part, except for the unredeemed
         portion of any Capital Securities being redeemed in part.

                    (iii)  Redemption/Distribution  Notices  shall  be  sent  by
         the  Administrators  on  behalf of the Trust to (A) in  respect  of the
         Capital  Securities,  the  Holders  thereof  and (B) in  respect of the
         Common Securities, the Holder thereof.

                    (iv)   Subject   to   the   foregoing   and  applicable  law
         (including, without limitation, United States federal securities laws),
         and  provided  that  the  acquiror  is  not the  Holder  of the  Common
         Securities or the obligor under the Indenture, the Sponsor  or  any  of
         its  subsidiaries  may at any  time  and  from  time  to  time purchase
         outstanding  Capital  Securities by tender, in the open  market  or  by
         private agreement.
<PAGE>

         5.     Voting Rights - Capital Securities.
                ----------------------------------

                (a)    Except  as  provided  under  paragraphs 5(b) and 7 and as
otherwise  required  by law and the  Declaration,  the  Holders  of the  Capital
Securities will have no voting rights. The Administrators are required to call a
meeting of the Holders of the Capital Securities if directed to do so by Holders
of at least 10% in liquidation amount of the Capital Securities.

                (b)    Subject to the requirements of obtaining a tax opinion by
the  Institutional  Trustee  in  certain  circumstances  set  forth  in the last
sentence of this paragraph,  the Holders of a Majority in liquidation  amount of
the Capital  Securities,  voting separately as a class, have the right to direct
the  time,  method,  and  place of  conducting  any  proceeding  for any  remedy
available  to the  Institutional  Trustee,  or  exercising  any  trust  or power
conferred upon the  Institutional  Trustee under the Declaration,  including the
right to direct the Institutional  Trustee, as holder of the Debentures,  to (i)
exercise  the  remedies  available  under  the  Indenture  as the  holder of the
Debentures,  (ii) waive any past default that is waivable  under the  Indenture,
(iii) exercise any right to rescind or annul a declaration that the principal of
all the Debentures shall be
due and  payable  or (iv)  consent on behalf of all the  Holders of the  Capital
Securities to any amendment, modification or termination of the Indenture or the
Debentures where such consent shall be required;  provided, however, that, where
                                                  --------  -------
a consent or action under the Indenture  would require the consent or act of the
holders of greater  than a simple  majority  in  aggregate  principal  amount of
Debentures (a "Super Majority") affected thereby, the Institutional  Trustee may
               --------------
only give such  consent  or take such  action at the  written  direction  of the
Holders  of at  least  the  proportion  in  liquidation  amount  of the  Capital
Securities  outstanding  which the relevant  Super  Majority  represents  of the
aggregate principal amount of the Debentures  outstanding.  If the Institutional
Trustee fails to enforce its rights under the Debentures  after the Holders of a
Majority in liquidation  amount of such Capital  Securities have so directed the
Institutional  Trustee,  to the fullest extent permitted by law, a Holder of the
Capital  Securities  may  institute  a legal  proceeding  directly  against  the
Debenture  Issuer  to  enforce  the  Institutional  Trustee's  rights  under the
Debentures   without  first   instituting  any  legal  proceeding   against  the
Institutional  Trustee  or any  other  person  or  entity.  Notwithstanding  the
foregoing,  if an Event of Default has occurred and is continuing and such event
is  attributable  to the  failure of the  Debenture  Issuer to pay  interest  or
principal on the Debentures on the date the interest or principal is payable (or
in the case of redemption,  the Redemption Date or the Special  Redemption Date,
as applicable),  then a Holder of record of the Capital  Securities may directly
institute a proceeding for  enforcement  of payment,  on or after the respective
due dates specified in the Debentures,  to such Holder directly of the principal
of or interest on the Debentures  having an aggregate  principal amount equal to
the aggregate  liquidation  amount of the Capital Securities of such Holder. The
Institutional  Trustee shall notify all Holders of the Capital Securities of any
default  actually  known  to  the  Institutional  Trustee  with  respect  to the
Debentures  unless (x) such  default  has been cured prior to the giving of such
notice  or (y) the  Institutional  Trustee  determines  in good  faith  that the
withholding  of such notice is in the  interest  of the Holders of such  Capital
Securities,  except where the default  relates to the payment of principal of or
interest on any of the  Debentures.  Such notice shall state that such Indenture
Event of Default also  constitutes  an Event of Default  hereunder.  Except with
respect to directing the time, method and place of conducting a proceeding for a
remedy, the Institutional Trustee shall not take any of the actions described in
clauses (i), (ii) or (iii) above unless the  Institutional  Trustee has obtained
an opinion of tax counsel to the effect that,  as a result of such  action,  the
Trust will not be  classified  as other than a grantor  trust for United  States
federal income tax purposes.

         In the event the consent of the Institutional Trustee, as the holder of
the  Debentures,  is required under the Indenture with respect to any amendment,
modification or termination of the Indenture,  the  Institutional  Trustee shall

<PAGE>

request the  direction  of the Holders of the  Securities  with  respect to such
amendment,  modification  or  termination  and shall  vote with  respect to such
amendment,  modification or termination as directed by a Majority in liquidation
amount of the Securities voting together as a single class;  provided,  however,
                                                             --------   -------
that  where a  consent  under the  Indenture  would  require  the  consent  of a
Super-Majority,  the  Institutional  Trustee  may only give such  consent at the
direction of the Holders of at least the proportion in liquidation amount of the
Securities  outstanding  which the  relevant  Super-Majority  represents  of the
aggregate  principal  amount of the Debentures  outstanding.  The  Institutional
Trustee shall not take any such action in accordance  with the directions of the
Holders of the  Securities  unless the  Institutional  Trustee  has  obtained an
opinion of tax counsel to the effect that, as a result of such action, the Trust
will not be classified  as other than a grantor trust for United States  federal
income tax purposes.

         A waiver of an Indenture  Event of Default will  constitute a waiver of
the corresponding Event of Default hereunder. Any required approval or direction
of  Holders of the  Capital  Securities  may be given at a  separate  meeting of
Holders of the Capital Securities convened for such purpose, at a meeting of all
of the Holders of the  Securities  in the Trust or pursuant to written  consent.
The Institutional Trustee will cause a notice of any meeting at which Holders of
the Capital  Securities are entitled to vote, or of any matter upon which action
by written  consent of such Holders is to be taken,  to be mailed to each Holder
of record of the Capital  Securities.  Each such notice will include a statement
setting forth the following information (i) the date of such meeting or the date
by which  such  action  is to be taken,  (ii) a  description  of any  resolution
proposed for adoption at such meeting on which such Holders are entitled to vote
or of such matter upon which  written  consent is sought and (iii)  instructions
for the  delivery of proxies or  consents.  No vote or consent of the Holders of
the  Capital  Securities  will be  required  for the Trust to redeem  and cancel
Capital  Securities or to  distribute  the  Debentures  in  accordance  with the
Declaration and the terms of the Securities.

         Notwithstanding  that Holders of the Capital Securities are entitled to
vote or  consent  under any of the  circumstances  described  above,  any of the
Capital Securities that are owned by the Sponsor or any Affiliate of the Sponsor
shall not entitle the Holder thereof to vote or consent and shall,  for purposes
of such vote or  consent,  be treated  as if such  Capital  Securities  were not
outstanding.

         In no event will  Holders of the Capital  Securities  have the right to
vote to appoint,  remove or replace the Administrators,  which voting rights are
vested  exclusively in the Sponsor as the Holder of all of the Common Securities
of the  Trust.  Under  certain  circumstances  as more  fully  described  in the
Declaration,  Holders of Capital  Securities  have the right to vote to appoint,
remove or replace the Institutional Trustee and the Delaware Trustee.

         6.     Voting Rights - Common Securities.
                ---------------------------------

                (a)     Except as provided under paragraphs 6(b), 6(c) and 7 and
as otherwise  required by law and the  Declaration,  the Common  Securities will
have no voting rights.

                (b)     The Holders of the Common  Securities  are entitled,  in
accordance  with Article IV of the  Declaration,  to vote to appoint,  remove or
replace any Administrators.

                (c)     Subject to Section 6.7 of the Declaration and only after
each Event of Default (if any) with respect to the Capital  Securities  has been
cured,  waived,  or otherwise  eliminated and subject to the requirements of the
second  to last  sentence  of this  paragraph,  the  Holders  of a  Majority  in
liquidation amount of the Common  Securities,  voting separately as a class, may
direct the time,  method,  and place of conducting any proceeding for any remedy
available  to the  Institutional  Trustee,  or  exercising  any  trust  or power
conferred upon the  Institutional  Trustee under the Declaration,  including (i)
directing the time,  method,  place of conducting  any proceeding for any remedy
available to the Debenture  Trustee,  or exercising any trust or power conferred
on the Debenture  Trustee with respect to the Debentures,  (ii) waiving any past

<PAGE>

default and its  consequences  that is waivable  under the  Indenture,  or (iii)
exercising any right to rescind or annul a declaration that the principal of all
the  Debentures  shall be due and  payable;  provided,  however,  that,  where a
                                             --------   -------
consent  or action  under the  Indenture  would  require a Super  Majority,  the
Institutional  Trustee  may only give such  consent  or take such  action at the
written  direction  of the  Holders of at least the  proportion  in  liquidation
amount of the Common Securities which the relevant Super Majority  represents of
the aggregate  principal amount of the Debentures  outstanding.  Notwithstanding
this  paragraph  6(c),  the  Institutional  Trustee  shall not revoke any action
previously  authorized  or  approved  by a vote or consent of the Holders of the
Capital  Securities.  Other than with respect to directing the time,  method and
place of conducting any proceeding for any remedy available to the Institutional
Trustee or the Debenture Trustee as set forth above, the  Institutional  Trustee
shall not take any action  described  in (i),  (ii) or (iii)  above,  unless the
Institutional  Trustee has obtained an opinion of tax counsel to the effect that
for the  purposes  of United  States  federal  income  tax the Trust will not be
classified  as other  than a grantor  trust on account  of such  action.  If the
Institutional  Trustee  fails to  enforce  its  rights,  to the  fullest  extent
permitted by law, under the Declaration, any Holder of the Common Securities may
institute  a legal  proceeding  directly  against  any  Person  to  enforce  the
Institutional Trustee's rights under the Declaration,  without first instituting
a legal proceeding against the Institutional Trustee or any other Person.

         Any approval or direction  of Holders of the Common  Securities  may be
given at a separate  meeting of Holders of the Common  Securities  convened  for
such purpose,  at a meeting of all of the Holders of the Securities in the Trust
or pursuant to written consent.  The  Administrators  will cause a notice of any
meeting at which  Holders of the Common  Securities  are entitled to vote, or of
any matter upon which action by written  consent of such Holders is to be taken,
to be mailed to each  Holder of the Common  Securities.  Each such  notice  will
include a statement  setting  forth (i) the date of such  meeting or the date by
which such action is to be taken, (ii) a description of any resolution  proposed
for  adoption at such  meeting on which such  Holders are entitled to vote or of
such matter upon which written consent is sought and (iii)  instructions for the
delivery of proxies or consents.

         No vote or consent of the  Holders  of the  Common  Securities  will be
required for the Trust to redeem and cancel  Common  Securities or to distribute
the  Debentures  in  accordance  with  the  Declaration  and  the  terms  of the
Securities.

         7.     Amendments to Declaration and Indenture.
                ---------------------------------------

                (a)     In  addition to  any  requirements  under  Section  11.1
of the Declaration,  if any proposed amendment to the Declaration  provides for,
or the Trustees,  Sponsor or Administrators otherwise propose to effect, (i) any
action that would adversely affect the powers,  preferences or special rights of
the Securities,  whether by way of amendment to the Declaration or otherwise, or
(ii) the Liquidation of the Trust, other than as described in Section 7.1 of the
Declaration,  then the Holders of outstanding  Securities,  voting together as a
single  class,  will be entitled to vote on such  amendment or proposal and such
amendment  or proposal  shall not be  effective  except with the approval of the
Holders of at least a Majority in liquidation amount of the Securities, affected
thereby;  provided,  however, if any amendment or proposal referred to in clause
          --------   -------
(i) above would adversely affect only the Capital  Securities or only the Common
Securities,  then  only the  affected  class  will be  entitled  to vote on such
amendment  or proposal  and such  amendment  or proposal  shall not be effective
except with the  approval of a Majority in  liquidation  amount of such class of
Securities.

                (b)     In the event the consent of the Institutional Trustee as
the holder of the Debentures is required under the Indenture with respect to any
amendment,  modification or termination of the Indenture or the Debentures,  the
Institutional  Trustee shall request the written direction of the Holders of the
Securities with respect to such amendment, modification or termination and shall
vote with respect to such amendment, modification, or termination as directed by
a Majority in liquidation  amount of the Securities  voting together as a single
<PAGE>

class; provided, however, that where a consent under the Indenture would require
       --------  -------
a Super Majority,  the  Institutional  Trustee may only give such consent at the
direction of the Holders of at least the proportion in liquidation amount of the
Securities  which  the  relevant  Super  Majority  represents  of the  aggregate
principal amount of the Debentures outstanding.

                (c)     Notwithstanding    the    foregoing,  no    amendment or
modification  may be made to the  Declaration if such amendment or  modification
would (i) cause the Trust to be classified for purposes of United States federal
income  taxation  as other  than a  grantor  trust,  (ii)  reduce  or  otherwise
adversely  affect the  powers of the  Institutional  Trustee or (iii)  cause the
Trust to be deemed an  Investment  Company  which is required  to be  registered
under the Investment Company Act.

                (d)     Notwithstanding  any  provision of the Declaration,  the
right  of  any  Holder  of  the  Capital   Securities  to  receive   payment  of
distributions and other payments upon redemption or otherwise, on or after their
respective  due dates,  or to institute a suit for the  enforcement  of any such
payment on or after such  respective  dates,  shall not be  impaired or affected
without the consent of such Holder.  For the protection  and  enforcement of the
foregoing  provision,  each and every Holder of the Capital  Securities shall be
entitled to such relief as can be given either at law or equity.

         8.     Pro  Rata.  A  reference in these terms of the Securities to any
                ---------
payment,  distribution  or  treatment as being "Pro Rata" shall mean pro rata to
                                                --------
each Holder of the Securities  according to the aggregate  liquidation amount of
the  Securities  held  by the  relevant  Holder  in  relation  to the  aggregate
liquidation  amount of all Securities then outstanding  unless, in relation to a
payment,  an Event of Default has occurred and is continuing,  in which case any
funds  available to make such payment  shall be paid first to each Holder of the
Capital Securities Pro Rata according to the aggregate liquidation amount of the
Capital  Securities  held  by the  relevant  Holder  relative  to the  aggregate
liquidation  amount  of all  Capital  Securities  outstanding,  and  only  after
satisfaction  of all amounts owed to the Holders of the Capital  Securities,  to
each  Holder  of the  Common  Securities  Pro Rata  according  to the  aggregate
liquidation amount of the Common Securities held by the relevant Holder relative
to the aggregate liquidation amount of all Common Securities outstanding.

         9.     Ranking.  The   Capital  Securities  rank   pari  passu with and
                -------
payment thereon shall be made Pro Rata with the Common  Securities  except that,
where an Event of Default has occurred and is continuing,  the rights of Holders
of the Common  Securities to receive payment of Distributions  and payments upon
liquidation,  redemption  and  otherwise are  subordinated  to the rights of the
Holders  of the  Capital  Securities  with the  result  that no  payment  of any
Distribution  on, or  Redemption  Price (or  Special  Redemption  Price) of, any
Common Security,  and no other payment on account of redemption,  liquidation or
other acquisition of Common Securities,  shall be made unless payment in full in
cash of all accumulated  and unpaid  Distributions  on all  outstanding  Capital
Securities for all distribution  periods  terminating on or prior thereto, or in
the case of payment of the Redemption  Price (or Special  Redemption  Price) the
full  amount of such  Redemption  Price  (or  Special  Redemption  Price) on all
outstanding Capital Securities then called for redemption,  shall have been made
or  provided  for,  and all funds  immediately  available  to the  Institutional
Trustee  shall  first  be  applied  to  the  payment  in  full  in  cash  of all
Distributions on, or the Redemption Price (or Special  Redemption Price) of, the
Capital Securities then due and payable.

         10.    Acceptance  of  Guarantee  and  Indenture.  Each  Holder of  the
                -----------------------------------------
Capital  Securities  and  the  Common  Securities,  by the  acceptance  of  such
Securities,   agrees  to  the  provisions  of  the   Guarantee,   including  the
subordination provisions therein and to the provisions of the Indenture.

         11.    No Preemptive  Rights.  The Holders of the Securities shall have
                ---------------------
no preemptive or similar rights to subscribe for any additional securities.

         12.    Miscellaneous. These terms constitute a part of the Declaration.
                -------------
The Sponsor  will  provide a copy of the  Declaration,  the  Guarantee,  and the
Indenture to a Holder  without  charge on written  request to the Sponsor at its
principal place of business.

<PAGE>
                                   EXHIBIT A-1

                      FORM OF CAPITAL SECURITY CERTIFICATE

                           [FORM OF FACE OF SECURITY]

         THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS  AMENDED  (THE  "SECURITIES  ACT"),  ANY STATE  SECURITIES  LAWS OR ANY OTHER
APPLICABLE   SECURITIES   LAW.   NEITHER  THIS  SECURITY  NOR  ANY  INTEREST  OR
PARTICIPATION  HEREIN MAY BE REOFFERED,  SOLD, ASSIGNED,  TRANSFERRED,  PLEDGED,
ENCUMBERED  OR  OTHERWISE  DISPOSED  OF IN THE ABSENCE OF SUCH  REGISTRATION  OR
UNLESS SUCH  TRANSACTION  IS EXEMPT  FROM,  OR NOT SUBJECT TO, THE  REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS. THE
HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  AGREES  TO OFFER,  SELL OR
OTHERWISE  TRANSFER  THIS  SECURITY  ONLY (A) TO THE  SPONSOR OR THE TRUST,  (B)
PURSUANT TO A REGISTRATION  STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE
SECURITIES  ACT,  (C) TO A  PERSON  WHOM THE  SELLER  REASONABLY  BELIEVES  IS A
QUALIFIED  INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE
144A SO LONG AS THIS  SECURITY IS ELIGIBLE  FOR RESALE  PURSUANT TO RULE 144A IN
ACCORDANCE WITH RULE 144A, (D) TO A NON-U.S.  PERSON IN AN OFFSHORE  TRANSACTION
IN ACCORDANCE  WITH RULE 903 OR RULE 904 (AS  APPLICABLE)  OF REGULATION S UNDER
THE SECURITIES ACT, (E) TO AN  INSTITUTIONAL  "ACCREDITED  INVESTOR"  WITHIN THE
MEANING  OF  SUBPARAGRAPH  (A) OF RULE  501  UNDER  THE  SECURITIES  ACT THAT IS
ACQUIRING THIS CAPITAL SECURITY FOR ITS OWN ACCOUNT,  OR FOR THE ACCOUNT OF SUCH
AN INSTITUTIONAL  ACCREDITED  INVESTOR,  FOR INVESTMENT  PURPOSES AND NOT WITH A
VIEW TO, OR FOR OFFER OR SALE IN CONNECTION  WITH, ANY DISTRIBUTION IN VIOLATION
OF THE SECURITIES ACT, OR (F) PURSUANT TO ANY OTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION  REQUIREMENTS OF THE SECURITIES  ACT,  SUBJECT TO THE SPONSOR'S AND
THE  TRUST'S  RIGHT  PRIOR TO ANY SUCH  OFFER,  SALE OR  TRANSFER TO REQUIRE THE
DELIVERY  OF AN OPINION  OF  COUNSEL,  CERTIFICATION  AND/OR  OTHER  INFORMATION
SATISFACTORY TO EACH OF THEM IN ACCORDANCE WITH THE DECLARATION OF TRUST, A COPY
OF WHICH MAY BE  OBTAINED  FROM THE SPONSOR OR THE TRUST.  HEDGING  TRANSACTIONS
INVOLVING  THIS  SECURITY MAY NOT BE  CONDUCTED  UNLESS IN  COMPLIANCE  WITH THE
SECURITIES ACT.

         THE HOLDER OF THIS  SECURITY  BY ITS  ACCEPTANCE  HEREOF  ALSO  AGREES,
REPRESENTS  AND  WARRANTS  THAT  IT  IS  NOT  AN  EMPLOYEE  BENEFIT,  INDIVIDUAL
RETIREMENT  ACCOUNT  OR  OTHER  PLAN OR  ARRANGEMENT  SUBJECT  TO TITLE I OF THE
EMPLOYEE  RETIREMENT  INCOME  SECURITY  ACT OF 1974,  AS AMENDED  ("ERISA"),  OR
SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE "CODE") (EACH
A "PLAN"),  OR AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE "PLAN ASSETS" BY REASON
OF ANY PLAN'S INVESTMENT IN THE ENTITY, AND NO PERSON INVESTING "PLAN ASSETS" OF
ANY PLAN MAY ACQUIRE OR HOLD THE SECURITIES OR ANY INTEREST THEREIN, UNLESS SUCH
PURCHASER  OR HOLDER IS  ELIGIBLE  FOR  EXEMPTIVE  RELIEF  AVAILABLE  UNDER U.S.
DEPARTMENT OF LABOR PROHIBITED  TRANSACTION CLASS EXEMPTION 96-23, 95-60, 91-38,
90-1 OR 84-14 OR ANOTHER  APPLICABLE  EXEMPTION  OR ITS  PURCHASE AND HOLDING OF
THIS  SECURITY IS NOT  PROHIBITED BY SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE WITH RESPECT TO SUCH  PURCHASE OR HOLDING.  ANY  PURCHASER OR HOLDER OF THE
SECURITIES  OR ANY INTEREST  THEREIN WILL BE DEEMED TO HAVE  REPRESENTED  BY ITS
PURCHASE AND HOLDING THEREOF THAT EITHER (i) IT IS NOT AN EMPLOYEE  BENEFIT PLAN
WITHIN THE MEANING OF SECTION 3(3) OF ERISA,  OR A PLAN TO WHICH SECTION 4975 OF
THE CODE IS  APPLICABLE,  A  TRUSTEE  OR OTHER  PERSON  ACTING  ON  BEHALF OF AN
EMPLOYEE BENEFIT PLAN OR PLAN, OR ANY OTHER PERSON OR ENTITY USING THE ASSETS OF
ANY  EMPLOYEE  BENEFIT  PLAN OR PLAN TO  FINANCE  SUCH  PURCHASE,  OR (ii)  SUCH
PURCHASE WILL NOT RESULT IN A PROHIBITED  TRANSACTION UNDER SECTION 406 OF ERISA
OR  SECTION  4975 OF THE CODE FOR  WHICH  THERE IS NO  APPLICABLE  STATUTORY  OR
ADMINISTRATIVE EXEMPTION.

         THIS  SECURITY  WILL BE ISSUED  AND MAY BE  TRANSFERRED  ONLY IN BLOCKS
HAVING A LIQUIDATION  AMOUNT OF NOT LESS THAN  $100,000.00  (100 SECURITIES) AND
MULTIPLES OF $1,000.00 IN EXCESS THEREOF.  ANY ATTEMPTED  TRANSFER OF SECURITIES
IN A BLOCK HAVING A LIQUIDATION  AMOUNT OF LESS THAN $100,000.00 SHALL BE DEEMED
TO BE VOID AND OF NO LEGAL EFFECT WHATSOEVER.

         THE  HOLDER  OF THIS  SECURITY  AGREES  THAT IT WILL  COMPLY  WITH  THE
FOREGOING RESTRICTIONS.
<PAGE>

         IN  CONNECTION  WITH ANY  TRANSFER,  THE  HOLDER  WILL  DELIVER  TO THE
REGISTRAR AND TRANSFER AGENT SUCH  CERTIFICATES AND OTHER  INFORMATION AS MAY BE
REQUIRED BY THE  DECLARATION  TO CONFIRM  THAT THE  TRANSFER  COMPLIES  WITH THE
FOREGOING RESTRICTIONS.

         Certificate Number P-1                      20,000 Capital Securities
         [CUSIP NO. [_______] **To be inserted at the request of a subsequent
                                transferee]

                                 April 28, 2006

             Certificate Evidencing Floating Rate Capital Securities

                                       of

                          First Bank Statutory Trust V

               (liquidation amount $1,000.00 per Capital Security)

         First Bank Statutory  Trust V, a statutory trust created under the laws
of the State of Delaware (the "Trust"),  hereby  certifies that First  Tennessee
Bank National  Association is the registered owner of capital  securities of the
Trust representing  undivided  beneficial  interests in the assets of the Trust,
(liquidation amount $1,000.00 per capital security) (the "Capital  Securities").
Subject to the  Declaration  (as  defined  below),  the Capital  Securities  are
transferable  on the  books  and  records  of the  Trust in  person or by a duly
authorized  attorney,  upon surrender of this  Certificate  duly endorsed and in
proper form for transfer.  The Capital Securities  represented hereby are issued
pursuant to, and the designation, rights, privileges, restrictions,  preferences
and other terms and provisions of the Capital  Securities  shall in all respects
be subject to, the  provisions of the Amended and Restated  Declaration of Trust
of the Trust dated as of April 28, 2006,  among Allen H. Blake,  Peter D. Wimmer
and Lisa K. Vansickle, as Administrators,  Wilmington Trust Company, as Delaware
Trustee,  Wilmington Trust Company, as Institutional Trustee, First Banks, Inc.,
as Sponsor,  and the holders from time to time of undivided beneficial interests
in the  assets  of the  Trust,  including  the  designation  of the terms of the
Capital  Securities  as set  forth  in  Annex I to  such  amended  and  restated
declaration  as the same may be amended  from time to time (the  "Declaration").
Capitalized  terms used herein but not defined shall have the meaning given them
in the  Declaration.  The Holder is entitled to the benefits of the Guarantee to
the extent provided therein. The Sponsor will provide a copy of the Declaration,
the  Guarantee,  and the  Indenture  to the Holder  without  charge upon written
request to the Sponsor at its principal place of business.

         Upon receipt of this Security,  the Holder is bound by the  Declaration
and is entitled to the benefits thereunder.

         By acceptance of this Security,  the Holder agrees to treat, for United
States  federal  income tax purposes,  the  Debentures as  indebtedness  and the
Capital Securities as evidence of beneficial ownership in the Debentures.

         This Capital Security is governed by, and construed in accordance with,
the laws of the State of Delaware,  without  regard to principles of conflict of
laws.

                       Signatures appear on following page

<PAGE>

         IN WITNESS WHEREOF, the Trust has duly executed this certificate.

                                FIRST BANK STATUTORY TRUST V

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

                          CERTIFICATE OF AUTHENTICATION
                          -----------------------------

         This   is  one  of  the   Capital   Securities   referred   to  in  the
within-mentioned Declaration.

                                WILMINGTON TRUST COMPANY,
                                as the Institutional Trustee

                                By:
                                  ----------------------------------------------
                                                Authorized Officer

<PAGE>

                      [FORM OF REVERSE OF CAPITAL SECURITY]

         Distributions  payable on each Capital  Security  will be payable at an
annual rate equal to 6.59875%  beginning on (and including) the date of original
issuance and ending on (but  excluding)  the  Distribution  Payment Date in June
2006  and at an  annual  rate  for  each  successive  period  beginning  on (and
including)  the  Distribution  Payment  Date in June 2006,  and each  succeeding
Distribution  Payment Date, and ending on (but  excluding)  the next  succeeding
Distribution  Payment  Date  (each a  "Distribution  Period"),  equal to 3-Month
LIBOR, determined as described below, plus 1.45% (the "Coupon Rate"), applied to
the stated liquidation amount of $1,000.00 per Capital Security, such rate being
the rate of interest  payable on the Debentures to be held by the  Institutional
Trustee.   Distributions  in  arrears  will  bear  interest  thereon  compounded
quarterly at the Distribution  Rate (to the extent permitted by applicable law).
The term "Distributions" as used herein includes cash distributions and any such
compounded  distributions unless otherwise noted. A Distribution is payable only
to the extent that  payments are made in respect of the  Debentures  held by the
Institutional  Trustee  and to the extent the  Institutional  Trustee  has funds
available therefor. As used herein,  "Determination Date" means the date that is
two London  Banking Days (i.e.,  a business day in which dealings in deposits in
U.S.  dollars are  transacted  in the London  interbank  market)  preceding  the
commencement of the relevant Distribution Period. The amount of the Distribution
payable  for  any  Distribution  Period  will  be  calculated  by  applying  the
Distribution  Rate  to  the  stated   liquidation   amount  outstanding  at  the
commencement  of the  Distribution  Period on the basis of the actual  number of
days in the Distribution Period concerned divided by 360.

         "3-Month  LIBOR" as used  herein,  means the London  interbank  offered
interest rate for three-month  U.S. dollar deposits  determined by the Debenture
Trustee  in the  following  order  of  priority:  (i) the rate  (expressed  as a
percentage per annum) for U.S.  dollar  deposits  having a three-month  maturity
that appears on Telerate Page 3750 as of 11:00 a.m. (London time) on the related
Determination  Date ("Telerate Page 3750" means the display  designated as "Page
3750" on the Moneyline  Telerate  Service or such other page as may replace Page
3750 on that  service or such other  service or services as may be  nominated by
the British  Bankers'  Association as the information  vendor for the purpose of
displaying  London interbank  offered rates for U.S. dollar  deposits);  (ii) if
such rate cannot be identified on the related  Determination Date, the Debenture
Trustee will request the principal  London  offices of four leading banks in the
London interbank market to provide such banks' offered quotations  (expressed as
percentages  per annum) to prime banks in the London  interbank  market for U.S.
dollar deposits having a three-month  maturity as of 11:00 a.m. (London time) on
such Determination Date. If at least two quotations are provided,  3-Month LIBOR
will be the  arithmetic  mean of such  quotations;  (iii) if fewer than two such
quotations are provided as requested in clause (ii) above, the Debenture Trustee
will  request  four  major New York City banks to provide  such  banks'  offered
quotations  (expressed as percentages  per annum) to leading  European banks for
loans in U.S. dollars as of 11:00 a.m. (London time) on such Determination Date.
If at  least  two  such  quotations  are  provided,  3-Month  LIBOR  will be the
arithmetic mean of such  quotations;  and (iv) if fewer than two such quotations
are provided as requested in clause (iii) above, 3-Month LIBOR will be a 3-Month
LIBOR determined with respect to the Distribution  Period immediately  preceding
such current  Distribution Period. If the rate for U.S. dollar deposits having a
three-month  maturity that  initially  appears on Telerate Page 3750 as of 11:00
a.m.  (London  time) on the  related  Determination  Date is  superseded  on the
Telerate  Page 3750 by a  corrected  rate by 12:00  noon  (London  time) on such
Determination  Date, then the corrected rate as so substituted on the applicable
page will be the applicable 3-Month LIBOR for such Determination Date.

         The Distribution  Rate for any  Distribution  Period will at no time be
higher than the maximum  rate then  permitted by New York law as the same may be
modified by United States law.

         All  percentages   resulting  from  any  calculations  on  the  Capital
Securities will be rounded, if necessary,  to the nearest one hundred-thousandth
of a percentage  point,  with five  one-millionths of a percentage point rounded
upward (e.g.,  9.876545% (or .09876545) being rounded to 9.87655% (or .0987655),
and all  dollar  amounts  used in or  resulting  from such  calculation  will be
rounded to the nearest cent (with one-half cent being rounded upward)).
<PAGE>

         Except as  otherwise  described  below,  Distributions  on the  Capital
Securities  will be cumulative,  will accrue from the date of original  issuance
and will be payable  quarterly in arrears on March 15, June 15, September 15 and
December 15 of each year or if any such day is not a Business Day, then the next
succeeding Business Day (each such day, a "Distribution Payment Date") (it being
understood that interest accrues for any such non-Business  Day),  commencing on
the  Distribution  Payment Date in June 2006. The Debenture Issuer has the right
under the Indenture to defer payments of interest on the Debentures,  so long as
no  Acceleration  Event of Default has occurred and is continuing,  by extending
the interest payment period for up to 20 consecutive  quarterly periods (each an
"Extension Period") at any time and from time to time on the Debentures, subject
to the conditions  described  below,  during which Extension  Period no interest
shall be due and payable. During any Extension Period, interest will continue to
accrue on the Debentures,  and interest on such accrued  interest will accrue at
an annual rate equal to the Distribution  Rate in effect for each such Extension
Period, compounded quarterly from the date such interest would have been payable
were it not for the  Extension  Period,  to the  extent  permitted  by law (such
interest referred to herein as "Additional  Interest").  No Extension Period may
end on a date other than a  Distribution  Payment  Date.  At the end of any such
Extension  Period,  the Debenture Issuer shall pay all interest then accrued and
unpaid on the Debentures (together with Additional Interest thereon);  provided,
                                                                       --------
however,  that no Extension Period may extend beyond the Maturity Date. Prior to
-------
the termination of any Extension Period, the Debenture Issuer may further extend
such  period,  provided  that such period  together  with all such  previous and
further consecutive extensions thereof shall not exceed 20 consecutive quarterly
periods,  or extend  beyond  the  Maturity  Date.  Upon the  termination  of any
Extension  Period and upon the payment of all accrued  and unpaid  interest  and
Additional  Interest,  the Debenture Issuer may commence a new Extension Period,
subject to the foregoing requirements.  No interest or Additional Interest shall
be due and payable during an Extension  Period,  except at the end thereof,  but
each  installment  of interest  that would  otherwise  have been due and payable
during  such  Extension  Period  shall  bear  Additional  Interest.  During  any
Extension Period,  Distributions on the Capital Securities shall be deferred for
a period equal to the Extension  Period.  If  Distributions  are  deferred,  the
Distributions  due shall be paid on the date that the related  Extension  Period
terminates, to Holders of the Securities as they appear on the books and records
of the Trust on the record date immediately  preceding such date.  Distributions
on the Securities  must be paid on the dates payable (after giving effect to any
Extension  Period)  to the  extent  that the Trust has funds  available  for the
payment of such  distributions in the Property Account of the Trust. The Trust's
funds  available  for  Distribution  to the  Holders of the  Securities  will be
limited  to  payments  received  from  the  Debenture  Issuer.  The  payment  of
Distributions  out of moneys held by the Trust is  guaranteed  by the  Guarantor
pursuant to the Guarantee.

         The  Capital   Securities  shall  be  redeemable  as  provided  in  the
Declaration.

<PAGE>

                                   ASSIGNMENT

         FOR VALUE RECEIVED,  the undersigned assigns and transfers this Capital
Security Certificate to:

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

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

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

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

         (Insert address and zip code of assignee) and irrevocably appoints

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

         agent to transfer this Capital Security Certificate on the books of the
Trust. The agent may substitute another to act for him or her.

         Date:
              ---------------------------------------

         Signature:
                   ----------------------------------

                (Sign  exactly  as  your name  appears on the other side of this
Capital Security Certificate)

         Signature Guarantee:1

---------------------------------
1 Signature must be guaranteed by an "eligible guarantor  institution" that is a
bank,  stockbroker,  savings and loan  association  or credit union  meeting the
requirements of the Security registrar, which requirements include membership or
participation in the Securities  Transfer Agents Medallion  Program ("STAMP") or
such other  "signature  guarantee  program" as may be determined by the Security
registrar in addition to, or in substitution  for, STAMP, all in accordance with
the Securities Exchange Act of 1934, as amended.

<PAGE>
                                   EXHIBIT A-2

                       FORM OF COMMON SECURITY CERTIFICATE

         THIS COMMON SECURITY HAS NOT BEEN  REGISTERED  UNDER THE SECURITIES ACT
OF  1933,  AS  AMENDED,  AND MAY NOT BE  OFFERED,  SOLD,  PLEDGED  OR  OTHERWISE
TRANSFERRED EXCEPT PURSUANT TO AN EXEMPTION FROM REGISTRATION.

         THIS CERTIFICATE IS NOT TRANSFERABLE  EXCEPT IN COMPLIANCE WITH SECTION
8.1 OF THE DECLARATION.

         Certificate Number C-1                         619 Common Securities

                                 April 28, 2006

             Certificate Evidencing Floating Rate Common Securities

                                       of

                          First Bank Statutory Trust V

         First Bank Statutory  Trust V, a statutory trust created under the laws
of the State of Delaware (the "Trust"),  hereby certifies that First Banks, Inc.
(the  "Holder")  is the  registered  owner of  common  securities  of the  Trust
representing  undivided  beneficial  interests  in the  assets of the Trust (the
"Common  Securities").  The  Common  Securities  represented  hereby  are issued
pursuant to, and the designation, rights, privileges, restrictions,  preferences
and other terms and provisions of the Common Securities shall in all respects be
subject to, the  provisions of the Amended and Restated  Declaration of Trust of
the Trust dated as of April 28, 2006, among Allen H. Blake,  Peter D. Wimmer and
Lisa K. Vansickle,  as  Administrators,  Wilmington  Trust Company,  as Delaware
Trustee,  Wilmington Trust Company, as Institutional Trustee, First Banks, Inc.,
as Sponsor,  and the holders from time to time of undivided  beneficial interest
in the assets of the Trust  including the designation of the terms of the Common
Securities as set forth in Annex I to such amended and restated declaration,  as
the same may be amended from time to time (the "Declaration"). Capitalized terms
used  herein  but  not  defined  shall  have  the  meaning  given  them  in  the
Declaration.  The Holder is entitled to the  benefits  of the  Guarantee  to the
extent provided therein. The Sponsor will provide a copy of the Declaration, the
Guarantee and the Indenture to the Holder without charge upon written request to
the Sponsor at its principal place of business.

         As set forth in the Declaration,  when an Event of Default has occurred
and is  continuing,  the rights of Holders  of Common  Securities  to payment in
respect of Distributions and payments upon Liquidation,  redemption or otherwise
are subordinated to the rights of payment of Holders of the Capital Securities.

         Upon  receipt  of  this  Certificate,   the  Holder  is  bound  by  the
Declaration and is entitled to the benefits thereunder.

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

         This Common Security is governed by, and construed in accordance  with,
the laws of the State of Delaware,  without  regard to principles of conflict of
laws.

<PAGE>

         IN WITNESS WHEREOF, the Trust has duly executed this certificate.

                                        FIRST BANK STATUTORY TRUST V

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

<PAGE>

                      [FORM OF REVERSE OF COMMON SECURITY]

         Distributions  payable on each  Common  Security  will be payable at an
annual rate equal to 6.59875%  beginning on (and including) the date of original
issuance and ending on (but  excluding)  the  Distribution  Payment Date in June
2006  and at an  annual  rate  for  each  successive  period  beginning  on (and
including)  the  Distribution  Payment  Date in June 2006,  and each  succeeding
Distribution  Payment Date, and ending on (but  excluding)  the next  succeeding
Distribution  Payment  Date  (each a  "Distribution  Period"),  equal to 3-Month
LIBOR, determined as described below, plus 1.45% (the "Coupon Rate"), applied to
the stated liquidation amount of $1,000.00 per Common Security,  such rate being
the rate of interest  payable on the Debentures to be held by the  Institutional
Trustee.   Distributions  in  arrears  will  bear  interest  thereon  compounded
quarterly at the Distribution  Rate (to the extent permitted by applicable law).
The term "Distributions" as used herein includes cash distributions and any such
compounded  distributions unless otherwise noted. A Distribution is payable only
to the extent that  payments are made in respect of the  Debentures  held by the
Institutional  Trustee  and to the extent the  Institutional  Trustee  has funds
available therefor. As used herein,  "Determination Date" means the date that is
two London  Banking Days (i.e.,  a business day in which dealings in deposits in
U.S.  dollars are  transacted  in the London  interbank  market)  preceding  the
commencement of the relevant Distribution Period. The amount of the Distribution
payable  for  any  Distribution  Period  will  be  calculated  by  applying  the
Distribution  Rate  to  the  stated   liquidation   amount  outstanding  at  the
commencement  of the  Distribution  Period on the basis of the actual  number of
days in the Distribution Period concerned divided by 360.

         "3-Month  LIBOR" as used  herein,  means the London  interbank  offered
interest rate for three-month  U.S. dollar deposits  determined by the Debenture
Trustee  in the  following  order  of  priority:  (i) the rate  (expressed  as a
percentage per annum) for U.S.  dollar  deposits  having a three-month  maturity
that appears on Telerate Page 3750 as of 11:00 a.m. (London time) on the related
Determination  Date ("Telerate Page 3750" means the display  designated as "Page
3750" on the Moneyline  Telerate  Service or such other page as may replace Page
3750 on that  service or such other  service or services as may be  nominated by
the British  Bankers'  Association as the information  vendor for the purpose of
displaying  London interbank  offered rates for U.S. dollar  deposits);  (ii) if
such rate cannot be identified on the related  Determination Date, the Debenture
Trustee will request the principal  London  offices of four leading banks in the
London interbank market to provide such banks' offered quotations  (expressed as
percentages  per annum) to prime banks in the London  interbank  market for U.S.
dollar deposits having a three-month  maturity as of 11:00 a.m. (London time) on
such Determination Date. If at least two quotations are provided,  3-Month LIBOR
will be the  arithmetic  mean of such  quotations;  (iii) if fewer than two such
quotations are provided as requested in clause (ii) above, the Debenture Trustee
will  request  four  major New York City banks to provide  such  banks'  offered
quotations  (expressed as percentages  per annum) to leading  European banks for
loans in U.S. dollars as of 11:00 a.m. (London time) on such Determination Date.
If at  least  two  such  quotations  are  provided,  3-Month  LIBOR  will be the
arithmetic mean of such  quotations;  and (iv) if fewer than two such quotations
are provided as requested in clause (iii) above, 3-Month LIBOR will be a 3-Month
LIBOR determined with respect to the Distribution  Period immediately  preceding
such current  Distribution Period. If the rate for U.S. dollar deposits having a
three-month  maturity that  initially  appears on Telerate Page 3750 as of 11:00
a.m.  (London  time) on the  related  Determination  Date is  superseded  on the
Telerate  Page 3750 by a  corrected  rate by 12:00  noon  (London  time) on such
Determination  Date, then the corrected rate as so substituted on the applicable
page will be the applicable 3-Month LIBOR for such Determination Date.

         The Distribution  Rate for any  Distribution  Period will at no time be
higher than the maximum  rate then  permitted by New York law as the same may be
modified by United States law.

         All  percentages   resulting  from  any   calculations  on  the  Common
Securities will be rounded, if necessary,  to the nearest one hundred-thousandth
of a percentage  point,  with five  one-millionths of a percentage point rounded
upward (e.g.,  9.876545% (or .09876545) being rounded to 9.87655% (or .0987655),
and all  dollar  amounts  used in or  resulting  from such  calculation  will be
rounded to the nearest cent (with one-half cent being rounded upward)).
<PAGE>

         Except  as  otherwise  described  below,  Distributions  on the  Common
Securities  will be cumulative,  will accrue from the date of original  issuance
and will be payable  quarterly in arrears on March 15, June 15, September 15 and
December 15 of each year or if any such day is not a Business Day, then the next
succeeding Business Day (each such day, a "Distribution Payment Date") (it being
understood that interest accrues for any such non-Business  Day),  commencing on
the  Distribution  Payment Date in June 2006. The Debenture Issuer has the right
under the Indenture to defer payments of interest on the Debentures,  so long as
no  Acceleration  Event of Default has occurred and is continuing,  by extending
the interest payment period for up to 20 consecutive  quarterly periods (each an
"Extension Period") at any time and from time to time on the Debentures, subject
to the conditions  described  below,  during which Extension  Period no interest
shall be due and payable. During any Extension Period, interest will continue to
accrue on the Debentures,  and interest on such accrued  interest will accrue at
an annual rate equal to the Distribution  Rate in effect for each such Extension
Period, compounded quarterly from the date such interest would have been payable
were it not for the  Extension  Period,  to the  extent  permitted  by law (such
interest referred to herein as "Additional  Interest").  No Extension Period may
end on a date other than a  Distribution  Payment  Date.  At the end of any such
Extension  Period,  the Debenture Issuer shall pay all interest then accrued and
unpaid on the Debentures (together with Additional Interest thereon);  provided,
                                                                       --------
however,  that no Extension Period may extend beyond the Maturity Date. Prior to
-------
the termination of any Extension Period, the Debenture Issuer may further extend
such  period,  provided  that such period  together  with all such  previous and
further consecutive extensions thereof shall not exceed 20 consecutive quarterly
periods,  or extend  beyond  the  Maturity  Date.  Upon the  termination  of any
Extension  Period and upon the payment of all accrued  and unpaid  interest  and
Additional  Interest,  the Debenture Issuer may commence a new Extension Period,
subject to the foregoing requirements.  No interest or Additional Interest shall
be due and payable during an Extension  Period,  except at the end thereof,  but
each  installment  of interest  that would  otherwise  have been due and payable
during  such  Extension  Period  shall  bear  Additional  Interest.  During  any
Extension Period, Distributions on the Common Securities shall be deferred for a
period  equal to the  Extension  Period.  If  Distributions  are  deferred,  the
Distributions  due shall be paid on the date that the related  Extension  Period
terminates, to Holders of the Securities as they appear on the books and records
of the Trust on the record date immediately  preceding such date.  Distributions
on the Securities  must be paid on the dates payable (after giving effect to any
Extension  Period)  to the  extent  that the Trust has funds  available  for the
payment of such  distributions in the Property Account of the Trust. The Trust's
funds  available  for  Distribution  to the  Holders of the  Securities  will be
limited to payments received from the Debenture Issuer.

         The  Common   Securities   shall  be  redeemable  as  provided  in  the
Declaration.

<PAGE>

                                   ASSIGNMENT

         FOR VALUE RECEIVED,  the undersigned  assigns and transfers this Common
Security Certificate to:

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

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

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

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

         (Insert address and zip code of assignee) and irrevocably appoints

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

                                                                           agent
                           ------------------------------------------------
                           to  transfer this Common Security  Certificate on the
                           books of the Trust.  The agent may substitute another
                           to act for him or her.

                           Date:
                                ------------------------------------------------

                           Signature:
                                     -------------------------------------------

                           (Sign exactly as your name appears on the other  side
                           of this Common Security Certificate)

                           Signature:
                                     -------------------------------------------

                           (Sign  exactly as your name appears on the other side
                           of this Common Security Certificate)

         Signature Guarantee 2

---------------------------------
2 Signature must be guaranteed by an "eligible guarantor  institution" that is a
bank,  stockbroker,  savings and loan  association or credit union,  meeting the
requirements of the Security registrar, which requirements include membership or
participation in the Securities  Transfer Agents Medallion  Program ("STAMP") or
such other  "signature  guarantee  program" as may be determined by the Security
registrar in addition to, or in substitution  for, STAMP, all in accordance with
the Securities Exchange Act of 1934, as amended.
<PAGE>
                                    EXHIBIT B

                          SPECIMEN OF INITIAL DEBENTURE

                              (See Document No. 17)

<PAGE>

                                    EXHIBIT C

                               PLACEMENT AGREEMENT

                              (See Document No. 1)

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