Document:

EXHIBIT 4.4

 

FORM OF INDENTURE

 

 

ALEXANDRIA
REAL ESTATE EQUITIES, INC.

 

 

TO

 

                                                                  , 
   Trustee

 

 

 

INDENTURE

 

 

Dated
as of             
      , 200  

 

 

 

Alexandria
Real Estate Equities, Inc.

Certain Sections of this Indenture relating to

Sections 3.10 through 3.18, inclusive, of the

Trust Indenture Act of 1939, as amended:

 

	
  Provisions of Trust

  Indenture Act of 1939,

  as amended

  	
   

  	
  Indenture Section

  
	
  § 310(a)(1)

  	
   

  	
   

  	
  6.9

  
	
  (a)(2)

  	
   

  	
   

  	
  6.9

  
	
  (a)(3)

  	
   

  	
   

  	
  Not Applicable

  
	
  (a)(4)

  	
   

  	
   

  	
  Not Applicable

  
	
  (b)

  	
   

  	
   

  	
  6.8, 6.10

  
	
  (c)

  	
   

  	
   

  	
  Not Applicable

  
	
  § 311(a)

  	
   

  	
   

  	
  6.13

  
	
  (b)

  	
   

  	
   

  	
  6.13

  
	
  (c)

  	
   

  	
   

  	
  Not Applicable

  
	
  § 312(a)

  	
   

  	
   

  	
  7.1, 7.2(a)

  
	
  (b)

  	
   

  	
   

  	
  7.2(b)

  
	
  (c)

  	
   

  	
   

  	
  7.2(c)

  
	
  § 313(a)

  	
   

  	
   

  	
  7.3(a)

  
	
  (b)

  	
   

  	
   

  	
  7.3(a)

  
	
  (c)

  	
   

  	
   

  	
  7.3(a)

  
	
  (d)

  	
   

  	
   

  	
  7.3(b)

  
	
  § 314(a)

  	
   

  	
   

  	
  7.4

  
	
  (a)(4)

  	
   

  	
   

  	
  1.1, 10.4

  
	
  (b)

  	
   

  	
   

  	
  Not Applicable

  
	
  (c)(1)

  	
   

  	
   

  	
  1.2

  
	
  (c)(2)

  	
   

  	
   

  	
  1.2

  
	
  (c)(3)

  	
   

  	
   

  	
  Not Applicable

  
	
  (d)

  	
   

  	
   

  	
  Not Applicable

  
	
  (e)

  	
   

  	
   

  	
  1.2

  
	
  § 315(a)

  	
   

  	
   

  	
  6.1

  
	
  (b)

  	
   

  	
   

  	
  6.2

  
	
  (c)

  	
   

  	
   

  	
  6.1

  
	
  (d)

  	
   

  	
   

  	
  6.1

  
	
  (e)

  	
   

  	
   

  	
  5.14

  
	
  § 316(a)

  	
   

  	
   

  	
  1.1

  
	
  (a)(1)(A)

  	
   

  	
   

  	
  5.2, 5.12

  
	
  (a)(1)(B)

  	
   

  	
   

  	
  5.13

  
	
  (a)(2)

  	
   

  	
   

  	
  Not Applicable

  
	
  (b)

  	
   

  	
   

  	
  5.8

  
	
  (c)

  	
   

  	
   

  	
  1.4(c)

  
	
  § 317(a)(1)

  	
   

  	
   

  	
  5.3

  
	
  (a)(2)

  	
   

  	
   

  	
  5.4

  
	
  (b)

  	
   

  	
   

  	
  10.3

  
	
  § 318(a)

  	
   

  	
   

  	
  1.7

  

 

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

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  I

  	
  DEFINITIONS AND OTHER PROVISIONS
  OF GENERAL APPLICATION

  	
   

  	
  1

  
	
  Section 1.1

  	
  Definitions

  	
   

  	
  1

  
	
  Section 1.2

  	
  Compliance Certificates and Opinions

  	
   

  	
  6

  
	
  Section 1.3

  	
  Form of Documents Delivered to Trustee

  	
   

  	
  6

  
	
  Section 1.4

  	
  Acts of Holders; Record Dates

  	
   

  	
  7

  
	
  Section 1.5

  	
  Notices, Etc., to Trustee and Company

  	
   

  	
  8

  
	
  Section 1.6

  	
  Notice to Holders; Waiver

  	
   

  	
  8

  
	
  Section 1.7

  	
  Conflict with Trust Indenture Act

  	
   

  	
  8

  
	
  Section 1.8

  	
  Effect of Headings and Table of Contents

  	
   

  	
  8

  
	
  Section 1.9

  	
  Successors and Assigns

  	
   

  	
  9

  
	
  Section 1.10

  	
  Separability Clause

  	
   

  	
  9

  
	
  Section 1.11

  	
  Benefits of Indenture

  	
   

  	
  9

  
	
  Section 1.12

  	
  Governing Law

  	
   

  	
  9

  
	
  Section 1.13

  	
  Legal Holidays

  	
   

  	
  9

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  II

  	
  SECURITY FORMS

  	
   

  	
  9

  
	
  Section 2.1

  	
  Forms Generally

  	
   

  	
  9

  
	
  Section 2.2

  	
  Form of Face of Security

  	
   

  	
  10

  
	
  Section 2.3

  	
  Form of Reverse of Security

  	
   

  	
  11

  
	
  Section 2.4

  	
  Additional Provisions Required in Book-Entry
  Security

  	
   

  	
  15

  
	
  Section 2.5

  	
  Form of Trustee’s Certificate of Authentication

  	
   

  	
  15

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  III

  	
  THE SECURITIES

  	
   

  	
  15

  
	
  Section 3.1

  	
  Amount Unlimited; Issuable in Series

  	
   

  	
  15

  
	
  Section 3.2

  	
  Denominations

  	
   

  	
  17

  
	
  Section 3.3

  	
  Execution, Authentication, Delivery and Dating

  	
   

  	
  18

  
	
  Section 3.4

  	
  Temporary Securities

  	
   

  	
  19

  
	
  Section 3.5

  	
  Registration, Registration of Transfer and Exchange

  	
   

  	
  19

  
	
  Section 3.6

  	
  Mutilated, Destroyed, Lost and Stolen Securities

  	
   

  	
  21

  
	
  Section 3.7

  	
  Payment of Interest; Interest Rights Preserved

  	
   

  	
  21

  
	
  Section 3.8

  	
  Persons Deemed Owners

  	
   

  	
  23

  
	
  Section 3.9

  	
  Cancellation

  	
   

  	
  23

  
	
  Section 3.10

  	
  Computation of Interest

  	
   

  	
  23

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  IV

  	
  SATISFACTION AND DISCHARGE

  	
   

  	
  23

  
	
  Section 4.1

  	
  Satisfaction and Discharge of Indenture

  	
   

  	
  23

  
	
  Section 4.2

  	
  Application of Trust Money

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  V

  	
  REMEDIES

  	
   

  	
  25

  
	
  Section 5.1

  	
  Events of Default

  	
   

  	
  25

  
	
  Section 5.2

  	
  Acceleration of Maturity; Rescission and Annulment

  	
   

  	
  26

  
	
  Section 5.3

  	
  Collection of Indebtedness and Suits for Enforcement
  by Trustee

  	
   

  	
  27

  
					

 

i

 

TABLE OF CONTENTS

(continued)

 

	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  
	
  Section 5.4

  	
  Trustee May File Proofs of Claim

  	
   

  	
  27

  
	
  Section 5.5

  	
  Trustee May Enforce Claims Without Possession
  of Securities

  	
   

  	
  28

  
	
  Section 5.6

  	
  Application of Money Collected

  	
   

  	
  28

  
	
  Section 5.7

  	
  Limitation on Suits

  	
   

  	
  28

  
	
  Section 5.8

  	
  Unconditional Right of Holders to Receive Principal,
  Premium and Interest

  	
   

  	
  29

  
	
  Section 5.9

  	
  Restoration of Rights and Remedies

  	
   

  	
  29

  
	
  Section 5.10

  	
  Rights and Remedies Cumulative

  	
   

  	
  29

  
	
  Section 5.11

  	
  Delay or Omission Not Waiver

  	
   

  	
  29

  
	
  Section 5.12

  	
  Control by Holders

  	
   

  	
  30

  
	
  Section 5.13

  	
  Waiver of Past Defaults

  	
   

  	
  30

  
	
  Section 5.14

  	
  Undertaking for Costs

  	
   

  	
  30

  
	
  Section 5.15

  	
  Waiver of Stay or Extension Laws

  	
   

  	
  31

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  VI

  	
  THE TRUSTEE

  	
   

  	
  31

  
	
  Section 6.1

  	
  Certain Duties and Responsibilities

  	
   

  	
  31

  
	
  Section 6.2

  	
  Notice of Defaults

  	
   

  	
  31

  
	
  Section 6.3

  	
  Certain Rights of Trustee

  	
   

  	
  31

  
	
  Section 6.4

  	
  Not Responsible for Recitals or Issuance of
  Securities

  	
   

  	
  32

  
	
  Section 6.5

  	
  May Hold Securities

  	
   

  	
  32

  
	
  Section 6.6

  	
  Money Held in Trust

  	
   

  	
  33

  
	
  Section 6.7

  	
  Compensation and Reimbursement

  	
   

  	
  33

  
	
  Section 6.8

  	
  Disqualification; Conflicting Interests

  	
   

  	
  33

  
	
  Section 6.9

  	
  Corporate Trustee Required; Eligibility

  	
   

  	
  33

  
	
  Section 6.10

  	
  Resignation and Removal; Appointment of Successor

  	
   

  	
  34

  
	
  Section 6.11

  	
  Acceptance of Appointment by Successor

  	
   

  	
  35

  
	
  Section 6.12

  	
  Merger, Conversion, Consolidation or Succession to
  Business

  	
   

  	
  36

  
	
  Section 6.13

  	
  Preferential Collection of Claims Against Company

  	
   

  	
  36

  
	
  Section 6.14

  	
  Appointment of Authenticating Agent

  	
   

  	
  36

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  VII

  	
  HOLDERS’ LISTS AND REPORTS BY
  TRUSTEE AND COMPANY

  	
   

  	
  38

  
	
  Section 7.1

  	
  Company to Furnish Trustee Names and Addresses of
  Holders

  	
   

  	
  38

  
	
  Section 7.2

  	
  Preservation of Information; Communications to
  Holders

  	
   

  	
  38

  
	
  Section 7.3

  	
  Reports by Trustee

  	
   

  	
  38

  
	
  Section 7.4

  	
  Reports by Company

  	
   

  	
  39

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  VIII

  	
  CONSOLIDATION, MERGER,
  CONVEYANCE, TRANSFER OR LEASE

  	
   

  	
  39

  
	
  Section 8.1

  	
  Company May Consolidate, Etc., Only on Certain
  Terms

  	
   

  	
  39

  
	
  Section 8.2

  	
  Successor Substituted

  	
   

  	
  40

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  IX

  	
  SUPPLEMENTAL INDENTURES

  	
   

  	
  40

  
	
  Section 9.1

  	
  Supplemental Indentures Without Consent of Holders

  	
   

  	
  40

  
					

 

ii

 

TABLE OF CONTENTS

(continued)

 

	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  
	
  Section 9.2

  	
  Supplemental Indentures with Consent of Holders

  	
   

  	
  41

  
	
  Section 9.3

  	
  Execution of Supplemental Indentures

  	
   

  	
  42

  
	
  Section 9.4

  	
  Effect of Supplemental Indentures

  	
   

  	
  42

  
	
  Section 9.5

  	
  Conformity with Trust Indenture Act

  	
   

  	
  42

  
	
  Section 9.6

  	
  Reference in Securities to Supplemental Indentures

  	
   

  	
  42

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  X

  	
  COVENANTS

  	
   

  	
  43

  
	
  Section 10.1

  	
  Payment of Principal, Premium and Interest

  	
   

  	
  43

  
	
  Section 10.2

  	
  Maintenance of Office or Agency

  	
   

  	
  43

  
	
  Section 10.3

  	
  Money for Securities Payments to Be Held in Trust

  	
   

  	
  43

  
	
  Section 10.4

  	
  Statement by Officers as to Default

  	
   

  	
  44

  
	
  Section 10.5

  	
  Existence

  	
   

  	
  45

  
	
  Section 10.6

  	
  Payment of Taxes and Other Claims

  	
   

  	
  45

  
	
  Section 10.7

  	
  Waiver of Certain Covenants

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  XI

  	
  REDEMPTION OF SECURITIES

  	
   

  	
  45

  
	
  Section 11.1

  	
  Applicability of Article

  	
   

  	
  45

  
	
  Section 11.2

  	
  Election to Redeem; Notice to Trustee

  	
   

  	
  45

  
	
  Section 11.3

  	
  Selection by Trustee of Securities to Be Redeemed

  	
   

  	
  46

  
	
  Section 11.4

  	
  Notice of Redemption

  	
   

  	
  46

  
	
  Section 11.5

  	
  Deposit of Redemption Price

  	
   

  	
  47

  
	
  Section 11.6

  	
  Securities Payable on Redemption Date

  	
   

  	
  47

  
	
  Section 11.7

  	
  Securities Redeemed in Part

  	
   

  	
  47

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  XII

  	
  SINKING FUNDS

  	
   

  	
  48

  
	
  Section 12.1

  	
  Applicability of Article

  	
   

  	
  48

  
	
  Section 12.2

  	
  Satisfaction of Sinking Fund Payments with
  Securities

  	
   

  	
  48

  
	
  Section 12.3

  	
  Redemption of Securities for Sinking Fund

  	
   

  	
  48

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  XIII

  	
  DEFEASANCE AND COVENANT
  DEFEASANCE

  	
   

  	
  49

  
	
  Section 13.1

  	
  Applicability of Article; Company’s Option to Effect
  Defeasance or Covenant Defeasance

  	
   

  	
  49

  
	
  Section 13.2

  	
  Defeasance and Discharge

  	
   

  	
  49

  
	
  Section 13.3

  	
  Covenant Defeasance

  	
   

  	
  49

  
	
  Section 13.4

  	
  Conditions to Defeasance or Covenant Defeasance

  	
   

  	
  50

  
	
  Section 13.5

  	
  Deposited Money and U.S. Government Obligations to
  be Held in Trust; Other Miscellaneous Provisions

  	
   

  	
  52

  
	
  Section 13.6

  	
  Reinstatement

  	
   

  	
  52

  
					

 

iii

 

INDENTURE, dated as of
                   ,
200   between Alexandria Real Estate Equities, Inc., a
corporation duly organized and existing under the laws of Maryland (herein
called the “Company”), having its principal office at 385 East Colorado
Boulevard, Suite 299, California 91101, and
                
a
                
duly organized and existing under the laws of
                ,
as Trustee (herein called the “Trustee”).

 

RECITALS
OF THE COMPANY

 

The Company has duly authorized the execution and delivery of this
Indenture to provide for the issuance from time to time of its unsecured
debentures, notes or other evidences of indebtedness (herein called the “Securities”),
to be issued in one or more series as in this Indenture provided.

 

All things necessary to make this Indenture a valid agreement of the
Company, in accordance with its terms, have been done.

 

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

 

For and in consideration of the premises and the purchase of the
Securities by the Holders thereof, it is mutually agreed, for the equal and
proportionate benefit of all Holders of the Securities or of series thereof, as
follows:

 

ARTICLE I

DEFINITIONS AND OTHER PROVISIONS

OF GENERAL APPLICATION

 

Section 1.1             Definitions.

 

For all purposes of this Indenture, except as otherwise expressly
provided or unless the context otherwise requires:

 

(1)           the terms defined in
this Article have the meanings assigned to them in this Article and
include the plural as well as the singular;

 

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

 

(3)           all accounting terms
not otherwise defined herein have the meanings assigned to them in accordance
with generally accepted accounting principles, and, except as otherwise herein
expressly provided, the term “generally accepted accounting principles” with
respect to any computation required or permitted hereunder shall mean such
accounting principles as are generally accepted at the date of such
computation; and

 

(4)           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.

 

1

 

“Act,” when used with respect to any Holder, has the meaning specified
in Section 1.4.

 

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

 

“Authenticating Agent” means any Person authorized by the Trustee
pursuant to Section 6.14 to act on behalf of the Trustee to authenticate
Securities of one or more series.

 

“Board of Directors” means either the board of directors of the Company
or any duly authorized committee of that board.

 

“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.

 

“Book-Entry Security” means a Security in the form prescribed in Section 2.4
evidencing all or part of a series of Securities, issued to the Depository for
such series or its nominee, and registered in the name of such Depository or
nominee.

 

“Business Day,” when used with respect to any Place of Payment, means
each Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on
which banking institutions in that Place of Payment are authorized or obligated
by law or executive order to close.

 

“Commission” means the Securities and Exchange Commission, as from time
to time constituted, created under the Securities Exchange Act of 1934, or, if
at any time after the execution of this instrument such Commission is not
existing and performing the duties now assigned to it under the Trust Indenture
Act, then the body performing such duties at such time.

 

“Company” means the Person named as the “Company” in the first
paragraph of this instrument until a successor Person shall have become such
pursuant to the applicable provisions of this Indenture, and thereafter “Company”
shall mean such successor Person.

 

“Company Request” or “Company Order” means a written request or order
signed in the name of the Company by its Chief Executive Officer, its
President, a Senior Vice President or a Vice President, and by its Chief
Financial Officer, its Treasurer, an Assistant Treasurer, its Secretary or an
Assistant Secretary, and delivered to the Trustee.

 

“Corporate Trust Office” means the principal office of the Trustee in
                ,
                
at which at any particular time its corporate trust business shall be
administered.

 

“Corporation” means a corporation, association, company, joint-stock
company or business trust.

 

“Defaulted Interest” has the meaning specified in Section 3.7.

 

2

 

“Depository” means, with respect to the Securities of any series issuable
or issued in whole or in part in the form of one or more Book-Entry Securities,
the Person designated as Depository for such series by the Company pursuant to Section 3.1,
which Person shall be a clearing agency registered under the Securities Exchange
Act of 1934, as amended.

 

“Event of Default” has the meaning specified in Section 5.1.

 

“Holder” means a Person in whose name a Security is registered in the
Security Register.

 

“Indenture” means this instrument as originally executed or as it may
from time to time be supplemented or amended by one or more indentures
supplemental hereto entered into pursuant to the applicable provisions hereof,
including, for all purposes of this instrument, and any such supplemental
indenture, the provisions of the Trust Indenture Act that are deemed to be a
part of and govern this instrument and any such supplemental indenture,
respectively.  The term “Indenture” shall
also include the terms of particular series of Securities established as
contemplated by Section 3.1.

 

“interest,” when used with respect to an Original Issue Discount
Security which by its terms bears interest only after Maturity, means interest
payable after Maturity.

 

“Interest Payment Date,” when used with respect to any Security, means
the Stated Maturity of an installment of interest on such Security.

 

“Maturity,” when used with respect to any Security, means the date on
which the principal of such Security or an installment of principal becomes due
and payable as therein or herein provided, whether at the Stated Maturity or by
declaration of acceleration, call for redemption or otherwise.

 

“Mortgage” means any mortgage, pledge, lien, security interest,
conditional sale or other title retention agreement or other similar
encumbrance.

 

“Officers’ Certificate” means a certificate signed by the Chief
Executive Officer, the President, a Senior Vice President or a Vice President,
and by the Chief Financial Officer, the Treasurer, an Assistant Treasurer, the
Secretary or an Assistant Secretary, of the Company, and delivered to the
Trustee.  One of the officers signing an
Officers’ Certificate given pursuant to Section 10.4 shall be the
principal executive, financial or accounting officer of the Company.

 

“Opinion of Counsel” means a written opinion of counsel, who may be
counsel for the Company, and who shall be acceptable to the Trustee.

 

“Original Issue Discount Security” means any Security which provides
for an amount less than the principal amount thereof to be due and payable upon
a declaration of acceleration of the Maturity thereof pursuant to Section 5.2.

 

“Outstanding,” when used with respect to Securities, means, as of the
date of determination, all Securities theretofore authenticated and delivered
under this Indenture, except:

 

3

 

(i)            Securities
theretofore cancelled by the Trustee or delivered to the Trustee for
cancellation;

 

(ii)           Securities for
whose payment or redemption money in the necessary amount has been theretofore
deposited with the Trustee or any Paying Agent (other than the Company) in
trust or set aside and segregated in trust by the Company (if the Company shall
act as its own Paying Agent) for the Holders of such Securities; provided
that, if such Securities are to be redeemed, notice of such redemption has been
duly given pursuant to this Indenture or provision therefor satisfactory to the
Trustee has been made; and

 

(iii)          Securities which
have been paid pursuant to Section 3.6 or in exchange for or in lieu of
which other Securities have been authenticated and delivered pursuant to this
Indenture, other than any such Securities in respect of which there shall have
been presented to the Trustee proof satisfactory to it that such Securities are
held by a bona fide purchaser in whose hands such Securities are valid
obligations of the Company;

 

provided, however, that in
determining whether the Holders of the requisite principal amount of the
Outstanding Securities have given any request, demand, authorization,
direction, notice, consent or waiver hereunder, (i) the principal amount
of an Original Issue Discount Security that shall be deemed to be Outstanding
shall be the amount of the principal thereof that would be due and payable as
of the date of such determination upon acceleration of the Maturity thereof
pursuant to Section 5.2, (ii) the principal amount of a Security
denominated in one or more foreign currencies or currency units shall be the
U.S. dollar equivalent, determined in the manner provided as contemplated by Section 3.1
on the date of original issuance of such Security, of the principal amount (or,
in the case of an Original Issue Discount Security, the U.S. dollar equivalent
on the date of original issuance of such Security of the amount determined as
provided in (i) above) of such Security, and (iii) Securities owned
by the Company or any other obligor upon the Securities or any Affiliate of the
Company or of such other obligor shall be disregarded and deemed not to be
Outstanding, except that, in determining whether the Trustee shall be protected
in relying upon any such request, demand, authorization, direction, notice,
consent or waiver, only Securities which the Trustee knows to be so owned shall
be so disregarded. Securities so owned which have been pledged in good faith
may be regarded as Outstanding if the pledgee establishes to the satisfaction
of the Trustee the pledgee’s right so to act with respect to such Securities
and that the pledgee is not the Company or any other obligor upon the
Securities or any Affiliate of the Company or of such other obligor.

 

“Paying Agent” means any Person authorized by the Company to pay the
principal of or any premium or interest on any Securities on behalf of the
Company.

 

“Person” means any individual, corporation, partnership, joint venture,
trust, unincorporated organization or government or any agency or political
subdivision thereof.

 

“Place of Payment,” when used with respect to the Securities of any
series, means the place or places where the principal of and any premium and
interest on the Securities of that series are payable as specified as
contemplated by Section 3.1.

 

4

 

“Predecessor Security” of any particular Security means every previous
Security evidencing all or a portion of the same debt as that evidenced by such
particular Security; and, for the purposes of this definition, any Security
authenticated and delivered under Section 3.6 in exchange for or in lieu
of a mutilated, destroyed, lost or stolen Security shall be deemed to evidence
the same debt as the mutilated, destroyed, lost or stolen Security.

 

“Redemption Date,” when used with respect to any Security to be
redeemed, means the date fixed for such redemption by or pursuant to this
Indenture.

 

“Redemption Price,” when used with respect to any Security to be
redeemed, means the price at which it is to be redeemed pursuant to this
Indenture.

 

“Regular Record Date” for the interest payable on any Interest Payment
Date on the Securities of any series means the date specified for that purpose
as contemplated by Section 3.1.

 

“Securities” has the meaning stated in the first recital of this
Indenture and more particularly means any Securities authenticated and
delivered under this Indenture.

 

“Security Register” and “Security Registrar” have the respective
meanings specified in Section 3.5.

 

“Special Record Date” for the payment of any Defaulted Interest means a
date fixed by the Trustee pursuant to Section 3.7.

 

“Stated Maturity,” when used with respect to any Security or any installment
of principal thereof or interest thereon, means the date specified in such
Security as the fixed date on which the principal of such Security or such
installment of principal or interest is due and payable.

 

“Subsidiary” means any corporation or other entity of which a majority
of the voting power of the voting equity securities are owned directly or
indirectly by the Company.

 

“Trustee” means the Person named as the “Trustee” in the first
paragraph of this instrument until a successor Trustee shall have become such
pursuant to the applicable provisions of this Indenture, and thereafter “Trustee”
shall mean or include each Person who is then a Trustee hereunder, and if at
any time there is more than one such Person, “Trustee” as used with respect to the
Securities of any series shall mean the Trustee with respect to Securities of
that series.

 

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

 

“Vice President,” when used with respect to the Company or the Trustee,
means any vice president, whether or not designated by a number or a word or
words added before or after the title “vice president”.

 

5

 

Section 1.2                                      Compliance
Certificates and Opinions.

 

Upon any application or request by the Company to the Trustee to take
any action under any provision of this Indenture, the Company shall furnish to
the Trustee such certificates and opinions as may be required under the Trust
Indenture Act.  Each such certificate or
opinion shall be given in the form of an Officers’ Certificate, if to be given
by an officer of the Company, or an Opinion of Counsel, if to be given by
counsel, and shall comply with the requirements of the Trust Indenture Act and
any other requirements set forth in this Indenture.

 

Every certificate or opinion with respect to compliance with a
condition or covenant provided for in this Indenture shall include

 

(1)                                  a
statement that each individual signing such certificate or opinion has read
such covenant or condition and the definitions herein relating thereto;

 

(2)                                  a
brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion
are based;

 

(3)                                  a
statement that, in the opinion of each such individual, 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, in the opinion of each such individual, such condition
or covenant has been complied with.

 

Section 1.3                                      Form of
Documents Delivered to Trustee.

 

In any case where several matters are required to be certified by, or
covered by an opinion of, any specified Person, it is not necessary that all
such matters be certified by, or covered by the opinion of, only one such
Person, or that they be so certified or covered by only one document, but one
such Person may certify or give an opinion with respect to some matters and one
or more other such Persons as to other matters, and any such Person may certify
or give an opinion as to such matters in one or several documents.

 

Any certificate or opinion of an officer of the Company may be based,
insofar as it relates to legal matters, upon a certificate or opinion of, or
representations by, counsel, unless such officer knows, or in the exercise of
reasonable care should know, that the certificate or opinion or representations
with respect to the matters upon which his certificate or opinion is based are
erroneous.  Any such certificate or
opinion of counsel may be based, insofar as it relates to factual matters, upon
a certificate or opinion of, or representations by, an officer or officers of
the Company stating that the information with respect to such factual matters
is in the possession of the Company, unless such counsel knows, or in the
exercise of reasonable care should know, that the certificate or opinion or
representations with respect to such matters are erroneous.

 

Where any Person is required to make, give or execute two or more
applications, requests, consents, certificates, statements, opinions or other
instruments under this Indenture, they may, but need not, be consolidated and
form one instrument.

 

6

 

Section 1.4                                      Acts
of Holders; Record Dates.

 

(a)                                  Any
request, demand, authorization, direction, notice, consent, waiver or other
action provided by this indenture to be given or taken by Holders may be
embodied in and evidenced by one or more instruments of substantially similar
tenor signed by such Holders in person or by agent duly appointed in writing;
and, except as herein otherwise expressly provided, such action shall become
effective when such instrument or instruments are delivered to the Trustee and,
where it is hereby expressly required, to the Company.  Such instrument or instruments (and the
action embodied therein and evidenced thereby) are herein sometimes referred to
as the “Act” of the Holders signing such instrument or instruments.  Proof of execution of any such instrument or
of a writing appointing any such agent shall be sufficient for any purpose of
this Indenture and (subject to Section 6.1) conclusive in favor of the
Trustee and the Company, if made in the manner provided in this Section.

 

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

 

(c)                                  The
Company may, in the circumstances permitted by the Trust Indenture Act, fix any
day as the record date for the purpose of determining the Holders of Securities
of any series entitled to give or take any request, demand, authorization,
direction, notice, consent, waiver or other action, or to vote on any action,
authorized or permitted to be given or taken by Holders of Securities of such
series.  If not set by the Company prior
to the first solicitation of a Holder of Securities of such series made by any
Person in respect of any such action, or, in the case of any such vote, prior
to such vote, the record date for any such action or vote shall be the 30th day
(or, if later, the date of the most recent list of Holders required to be
provided pursuant to Section 7.1) prior to such first solicitation or
vote, as the case may be.  With regard to
any record date for action to be taken by the Holders of one or more series of
Securities, only the Holders of Securities of such series on such date (or
their duly designated proxies) shall be entitled to give or take, or vote on,
the relevant action.

 

(d)                                 The
ownership of Securities shall be proved by the Security Register.

 

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

 

7

 

Section 1.5                                      Notices,
Etc., to Trustee and Company.

 

Any request, demand, authorization, direction, notice, consent, waiver
or Act of Holders or other document provided or permitted by this Indenture to
be made upon, given or furnished to, or filed with,

 

(1)                                  the
Trustee by any Holder or by the Company shall be sufficient for every purpose
hereunder if made, given, furnished or filed in writing to or with the Trustee
at its Corporate Trust Office, Attention: 
                                          ,
or

 

(2)                                  the
Company by the Trustee or by any Holder shall be sufficient for every purpose
hereunder (unless otherwise herein expressly provided) if in writing and
mailed, first-class postage prepaid, to the Company addressed to it at the
address of its principal office specified in the first paragraph of this
instrument, Attention: General Counsel or at any other address previously
furnished in writing to the Trustee by the Company.

 

Section 1.6                                      Notice
to Holders; Waiver.

 

Where this Indenture provides for notice to Holders of any event, such
notice shall be sufficiently given (unless otherwise herein expressly provided)
if in writing and mailed, first-class postage prepaid, to each Holder affected
by such event, at his address as it appears in the Security Register, not later
than the latest date (if any), and not earlier than the earliest date (if any),
prescribed for the giving of such notice. 
In any case where notice to Holders is given by mail, neither the
failure to mail such notice, nor any defect in any notice so mailed, to any
particular Holder shall affect the sufficiency of such notice with respect to
other Holders.  Where this Indenture
provides for notice in any manner, such notice may be waived in writing by the
Person entitled to receive such notice, either before or after the event, and
such waiver shall be the equivalent of such notice.  Waivers of notice by Holders shall be filed
with the Trustee, but such filing shall not be a condition precedent to the
validity of any action taken in reliance upon such waiver.

 

In case by reason of the suspension of regular mail service or by
reason of any other cause it shall be impracticable to give such notice by
mail, then such notification as shall be made with the approval of the Trustee
shall constitute a sufficient notification for every purpose hereunder.

 

Section 1.7                                      Conflict
with Trust Indenture Act.

 

If any provision hereof limits, qualifies or conflicts with a provision
of the Trust Indenture Act that is required under such Act to be a part of and
govern this Indenture, the latter provision shall control.  If any provision of this Indenture modifies
or excludes any provision of the Trust Indenture Act that may be so modified or
excluded, the latter provision shall be deemed to apply to this Indenture as so
modified or to be excluded, as the case may be.

 

Section 1.8                                      Effect
of Headings and Table of Contents.

 

The Article and Section headings herein and the Table of
Contents are for convenience only and shall not affect the construction hereof.

 

8

 

Section 1.9                                      Successors
and Assigns.

 

All covenants and agreements in this Indenture by the Company shall
bind its successors and assigns, whether so expressed or not.

 

Section 1.10                                Separability
Clause.

 

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

 

Section 1.11                                Benefits
of Indenture.

 

Nothing in this Indenture or in the Securities, express or implied,
shall give to any Person, other than the parties hereto and their successors
hereunder and the Holders, any benefit or any legal or equitable right, remedy
or claim under this Indenture.

 

Section 1.12                                Governing
Law.

 

This Indenture and the Securities shall be governed by and construed in
accordance with the laws of the State of New York.

 

Section 1.13                                Legal
Holidays.

 

In any case where any Interest Payment Date, Redemption Date or Stated
Maturity of any Security shall not be a Business Day at any Place of Payment,
then (notwithstanding any other provision of this Indenture or of the
Securities (other than a provision of the Securities of any series which
specifically states that such provision shall apply in lieu of this Section))
payment of interest or principal (and premium, if any) need not be made at such
Place of Payment on such date, but may be made on the next succeeding Business
Day at such Place of Payment with the same force and effect as if made on the
Interest Payment Date or Redemption Date, or at the Stated Maturity, provided
that no interest shall accrue for the period from and after such Interest
Payment Date, Redemption Date or Stated Maturity, as the case may be.

 

ARTICLE II

SECURITY FORMS

 

Section 2.1                                      Forms
Generally.

 

The Securities of each series shall be in substantially the form set
forth in this Article, or in such other form as shall be established by or
pursuant to a Board Resolution or in one or more indentures supplemental
hereto, in each case with such appropriate insertions, omissions, substitutions
and other variations as are required or permitted by this Indenture, and may
have such letters, numbers or other marks of identification and such legends or
endorsements placed thereon as may be required to comply with the rules of
any securities exchange or as may, consistently herewith, be determined by the
officers executing such Securities, as evidenced by their execution of the
Securities.  If the form of Securities of
any series is established by action 

 

9

 

taken pursuant to a Board Resolution, a copy of an
appropriate record of such action shall be certified by the Secretary or an
Assistant Secretary of the Company and delivered to the Trustee at or prior to
the delivery of the Company Order contemplated by Section 3.3 for the
authentication and delivery of such Securities.

 

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

 

Section 2.2                                      Form of
Face of Security.

 

[Insert any legend required by the Internal Revenue
Code and the regulations thereunder.]

 

Alexandria Real Estate Equities, Inc.

 

	
  No.                   

  	
   

  	
  $                         

  

 

Alexandria Real Estate Equities, Inc., a corporation duly
organized and existing under the laws of Maryland (herein called the “Company,”
which term includes any successor Person under the Indenture hereinafter
referred to), for value received, hereby promises to pay to                                                               ,
or registered assigns, the principal sum of                                                              
Dollars on                         
                        
[if the Security is to bear interest prior to Maturity, insert –, and to
pay interest thereon from                
or from the most recent Interest Payment Date to which interest has been paid
or duly provided for, semi-annually on                         
and                         
in each year, commencing                ,
at the rate of       % per annum, until the
principal hereof is paid or made available for payment [if applicable,
insert – , and (to the extent that the payment of such interest shall
be legally enforceable) at the rate of        %
per annum on any overdue principal and premium and on any overdue installment
of interest].   The interest so payable,
and punctually paid or duly provided for, on any Interest Payment Date will, as
provided in such Indenture, be paid to the Person in whose name this Security
(or one or more Predecessor Securities) is registered at the close of business
on the Regular Record Date for such interest, which shall be the        
or         (whether or not a Business Day),
as the case may be, next preceding such Interest Payment Date.  Any such interest not so punctually paid or
duly provided for will forthwith cease to be payable to the Holder on such
Regular Record Date and may either be paid to the Person in whose name this
Security (or one or more Predecessor Securities) is registered at the close of
business on a Special Record Date for the payment of such Defaulted Interest to
be fixed by the Trustee, notice whereof shall be given to Holders of Securities
of this series not less than 10 days prior to such Special Record Date, or be
paid at any time in any other lawful manner not inconsistent with the
requirements of any securities exchange on which the Securities of this series
may be listed, and upon such notice as may be required by such exchange, all as
more fully provided in said Indenture].

 

[If the Security is not to bear interest prior to Maturity, insert –
The principal of this Security shall not bear interest except in the case of a
default in payment of principal upon acceleration, upon redemption or at Stated
Maturity and in such case the overdue principal of this 

 

10

 

Security shall bear interest at the rate of        %
per annum (to the extent that the payment of such interest shall be legally
enforceable), which shall accrue from the date of such default in payment to
the date payment of such principal has been made or duly provided for.  Interest on any overdue principal shall be
payable on demand.  Any such interest on
any overdue principal that is not so paid on demand shall bear interest at the
rate of        % per annum (to the extent
that the payment of such interest shall be legally enforceable), which shall
accrue from the date of such demand for payment to the date payment of such
interest has been made or duly provided for, and such interest shall also be
payable on demand.]

 

Payment of the principal of (and premium, if any) and [if applicable
insert – any such] interest on this Security will be made at the
office or agency of the Company maintained for that purpose in
                  ,
                      ,
in such coin or currency of the United States of America as at the time of
payment is legal tender for payment of public and private debts [if
applicable insert –; provided, however, that at the
option of the Company payment of interest may be made by check mailed to the
address of the Person entitled thereto as such address shall appear in the
Security Register].

 

Reference is hereby made to the further provisions of this Security set
forth on the reverse hereof, which further provisions shall for all purposes
have the same effect as if set forth at this place.

 

Unless the certificate of authentication hereon has been executed by
the Trustee referred to on the reverse hereof by manual signature, this
Security shall not be entitled to any benefit under the Indenture or be valid
or obligatory for any purpose.

 

IN WITNESS WHEREOF, the Company has caused this instrument to be duly
executed under its corporate seal.

 

Dated:

 

	
   

  	
  ALEXANDRIA REAL ESTATE EQUITIES, INC.

  
	
   

  	
   

  
	
   

  	
   

  	
  By

  	
                           

  
	
   

  	
   

  
	
  Attest:

  	
   

  

 

Section 2.3                                      Form of
Reverse of Security.

 

This Security is one of a duly authorized issue of securities of the
Company (herein called the “Securities”), issued and to be issued in one or
more series under an Indenture, dated as of 
                       
(herein called the “Indenture”), between the Company and
                ,
as Trustee (herein called the “Trustee”, which term includes any successor
trustee under the Indenture), to which Indenture and all indentures
supplemental thereto reference is hereby made for a statement of the respective
rights, limitations of rights, duties and immunities thereunder of the Company,
the Trustee and the Holders of the Securities and of the terms upon which the 

 

11

 

Securities are, and are to be, authenticated and
delivered.  This Security is one of the
series designated on the face hereof[, limited in aggregate principal amount to
$                     ].

 

[If applicable, insert – The Securities of this series are
subject to redemption upon not less than 30 days’ notice by mail, [if
applicable, insert – (1) on              in
any year commencing with the year              
and ending with the year              
through operation of the sinking fund for this series at a Redemption Price
equal to 100% of the principal amount, and (2)] at any time [on or after              ,
20     ], as a whole or in part, at the election of
the Company, at the following Redemption Prices (expressed as percentages of
the principal amount): If redeemed [on or before              ,
      %, and if redeemed] during the 12-month
period beginning                       
of the years indicated,

 

	
  Year

  	
   

  	
  Redemption

  Price

  	
   

  	
  Year

  	
   

  	
  Redemption

  Price

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

and thereafter at a Redemption Price equal to           %
of the principal amount, together in the case of any such redemption [if
applicable insert – (whether through operation of the sinking fund or
otherwise)] with accrued interest to the Redemption Date, but interest
installments whose Stated Maturity is on or prior to such Redemption Date will
be payable to the Holders of such Securities, or one or more Predecessor
Securities, of record at the close of business on the relevant record dates
referred to on the face hereof, all as provided in the Indenture.]

 

[If applicable, insert – 
The Securities of this series are subject to redemption upon not less
than 30 days’ notice by mail, (1) on              
in any year commencing with the year              
and ending with the year              
through operation of the sinking fund for this series at the Redemption Prices
for redemption through operation of the sinking fund (expressed as percentages
of the principal amount) set forth in the table below, and (2) at any time
[on or after              ],
as a whole or in part, at the election of the Company, at the Redemption Prices
for redemption otherwise than through operation of the sinking fund (expressed
as percentages of the principal amount) set forth in the table below:  If redeemed during the 12-month period
beginning                               
of the years indicated,

 

	
  Year

  	
   

  	
  Redemption Price

  For Redemption

  Through Operation

  of the

  Sinking Fund

  	
   

  	
  Redemption Price For

  Redemption Otherwise

  Than Through Operation

  of the Sinking Fund

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

12

 

and thereafter at a Redemption Price equal to           %
of the principal amount, together in the case of any such redemption (whether
through operation of the sinking fund or otherwise) with accrued interest to
the Redemption Date, but interest installments whose Stated Maturity is on or
prior to such Redemption Date will be payable to the Holders of such
Securities, or one or more Predecessor Securities, of record at the close of
business on the relevant record dates referred to on the face hereof, all as
provided in the Indenture.]

 

[Notwithstanding the foregoing, the Company may not, prior to                 ,
redeem any Securities of this series as contemplated by [Clause (2) of]
the preceding paragraph as a part of, or in anticipation of, any refunding
operation by the application, directly or indirectly, of moneys borrowed having
an interest cost to the Company (calculated in accordance with generally
accepted financial practice) of less than            %
per annum.]

 

[The sinking fund for this series provides for the redemption on            
in each year beginning with the year              
and ending with the year              
of [not less than $               
(“mandatory sinking fund”) and not more than] $             
aggregate principal amount of Securities of this series.  Securities of this series acquired or
redeemed by the Company otherwise than through [mandatory] sinking fund
payments may be credited against subsequent [mandatory] sinking fund payments
otherwise required to be made [in the inverse order in which they become due].]

 

[If the Security is subject to redemption, insert –  In the event of redemption of this Security
in part only, a new Security or Securities of this series and of like tenor for
the unredeemed portion hereof will be issued in the name of the Holder hereof
upon the cancellation hereof.]

 

[If the Security is not an Original Issue Discount Security, insert –  If an Event of Default with respect to
Securities of this series shall occur and be continuing, the principal of the
Securities of this series may be declared due and payable in the manner and
with the effect provided in the Indenture.]

 

[If the Security is an Original Issue Discount Security, insert –  If an Event of Default with respect to
Securities of this series shall occur and be continuing, an amount of principal
of the Securities of this series may be declared due and payable in the manner
and with the effect provided in the Indenture. 
Such amount shall be equal to – insert formula for determining
the amount.  Upon payment (i) of
the amount of principal so declared due and payable and (ii) of interest
on any overdue principal and overdue interest (in each case to the extent that
the payment of such interest shall be legally enforceable), all of the Company’s
obligations in respect of the payment of the principal of and interest, if any,
on the Securities of this series shall terminate.]

 

13

 

[The Indenture contains provisions for defeasance at any time of [the
entire indebtedness of this Security or] certain restrictive covenants and
Events of Default with respect to this Security [, in each case] upon
compliance with certain conditions set forth therein.]

 

The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Company and the rights of the Holders of the Securities of each series to be
affected under the Indenture at any time by the Company and the Trustee with
the consent of the Holders of a majority in principal amount of the Securities
at the time Outstanding of each series to be affected.  The Indenture also contains provisions
permitting the Holders of specified percentages in principal amount of the
Securities of each series at the time Outstanding, on behalf of the Holders of
all Securities of such series, to waive compliance by the Company with certain
provisions of the Indenture and certain past defaults under the Indenture and
their consequences. Any such consent or waiver by the Holder of this Security
shall be conclusive and binding upon such Holder and upon all future Holders of
this Security and of any Security issued upon the registration of transfer
hereof or in exchange herefor or in lieu hereof, whether or not notation of
such consent or waiver is made upon this Security.

 

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

 

As provided in the Indenture and subject to certain limitations therein
set forth, the transfer of this Security is registerable in the Security
Register, upon surrender of this Security for registration of transfer at the
office or agency of the Company in any place where the principal of and any
premium and interest on this Security are payable, duly endorsed by, or
accompanied by a written instrument of transfer in form satisfactory to the
Company and the Security Registrar duly executed by, the Holder hereof or his
attorney duly authorized in writing, and thereupon one or more new Securities
of this series and of like tenor, of authorized denominations and for the same
aggregate principal amount, will be issued to the designated transferee or
transferees.

 

The Securities of this series are issuable only in registered form
without coupons in denominations of $              
and any integral multiple thereof. As provided in the Indenture and subject to
certain limitations therein set forth, Securities of this series are
exchangeable for a like aggregate principal amount of Securities of this series
and of like tenor of a different authorized denomination, as requested by the
Holder surrendering the same.

 

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

 

Prior to due presentment of this Security for registration of transfer,
the Company, the Trustee and any agent of the Company or the Trustee may treat
the Person in whose name this Security is registered as the owner hereof for
all purposes, whether or not this Security be 

 

14

 

overdue, and neither the Company, the Trustee nor any
such agent shall be affected by notice to the contrary.

 

All terms used in this Security which are defined in the Indenture
shall have the meanings assigned to them in the Indenture.

 

Section 2.4                                      Additional
Provisions Required in Book-Entry Security.

 

Any Book-Entry Security issued hereunder shall, in addition to the
provisions contained in Sections 2.2 and 2.3, bear a legend in substantially
the following form:

 

“This Security is a
Book-Entry Security within the meaning of the Indenture hereinafter referred to
and is registered in the name of a Depository or a nominee of a
Depository.  This Security is
exchangeable for Securities registered in the name of a person other than the
Depository or its nominee only in the limited circumstances described in the
Indenture and may not be transferred except as a whole by the Depository to a
nominee of the Depository or by a nominee of the Depository to the Depository
or another nominee of the Depository.”

 

Section 2.5                                      Form of
Trustee’s Certificate of Authentication.

 

The Trustee’s certificates of authentication shall be in substantially
the following form:

 

This is one of the
Securities of the series designated therein referred to in the within-mentioned
Indenture.

 

	
   

  	
   

  
	
   

  	
   

  	
  As Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Authorized Officer

  
				

 

ARTICLE III

THE SECURITIES

 

Section 3.1                                      Amount
Unlimited; Issuable in Series.

 

The aggregate principal amount of Securities which may be authenticated
and delivered under this Indenture is unlimited.

 

The Securities may be issued in one or more series.  There shall be established in or pursuant to
a Board Resolution and, subject to Section 3.3, set forth, or determined
in the manner provided, in an Officers’ Certificate, or established in one or
more indentures supplemental hereto, prior to the issuance of Securities of any
series,

 

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(1)                                  the
title of the Securities of the series (which shall distinguish the Securities
of the series from Securities of any other series);

 

(2)                                  any
limit upon the aggregate principal amount of the Securities of the series which
may be authenticated and delivered under this Indenture (except for Securities
authenticated and delivered upon registration of transfer of, or in exchange
for, or in lieu of, other Securities of the series pursuant to Section 3.4,
3.5, 3.6, 9.6 or 11.7 and except for any Securities which, pursuant to Section 3.3,
are deemed never to have been authenticated and delivered hereunder);

 

(3)                                  the
Person to whom any interest on a Security of the series shall be payable, if
other than the Person in whose name that Security (or one or more Predecessor
Securities) is registered at the close of business on the Regular Record Date
for such interest;

 

(4)                                  the
date or dates on which the principal of the Securities of the series is
payable;

 

(5)                                  the
rate or rates at which the Securities of the series shall bear interest, if
any, or the method of calculating such rate or rates of interest, the date or
dates from which such interest shall accrue, the Interest Payment Dates on
which any such interest shall be payable and the Regular Record Date for any interest
payable on any Interest Payment Date;

 

(6)                                  the
place or places where the principal of and any premium and interest on
Securities of the series shall be payable;

 

(7)                                  the
period or periods within which, the price or prices at which and the terms and
conditions upon which Securities of the series may be redeemed, in whole or in
part, at the option of the Company;

 

(8)                                  the
obligation, if any, of the Company to redeem, purchase or repay Securities of
the series pursuant to any sinking fund or analogous provisions or at the
option of a Holder thereof and the period or periods within which, the price or
prices at which and the terms and conditions upon which Securities of the
series shall be redeemed, purchased or repaid, in whole or in part, pursuant to
such obligation;

 

(9)                                  if
other than denominations of $100,000 and any integral multiple of $1,000 in
excess thereof, the denominations in which Securities of the series shall be
issuable;

 

(10)                            the
currency, currencies or currency units in which payment of the principal of and
any premium and interest on any Securities of the series shall be payable if
other than the currency of the United States of America and the manner of
determining the equivalent thereof in the currency of the United States of
America for purposes of the definition of “Outstanding” in Section 1.1;

 

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(11)                            if
the amount of payments of principal of or any premium or interest on any
Securities of the series may be determined with reference to an index or
formula, the manner in which such amounts shall be determined;

 

(12)                            if
the principal of or any premium or interest on any Securities of the series is
to be payable, at the election of the Company or a Holder thereof, in one or
more currencies or currency units other than that or those in which the
Securities are stated to be payable, the currency, currencies or currency units
in which payment of the principal of and any premium and interest on Securities
of such series as to which such election is made shall be payable, and the
periods within which and the terms and conditions upon which such election is
to be made;

 

(13)                            the
application, if any, of Section 13.2 or 13.3 to the Securities of any
series;

 

(14)                            whether
the Securities of the series shall be issued in whole or in part in the form of
one or more Book-Entry Securities and, in such case, the Depository with
respect to such Book-Entry Security or Securities and the circumstances under
which any Book-Entry Security may be registered for transfer or exchange, or
authenticated and delivered, in the name of a Person other than such Depository
or its nominee, if other than as set forth in Section 3.5;

 

(15)                            if
other than the principal amount thereof, the portion of the principal amount of
Securities of the series which shall be payable upon declaration of
acceleration of the Maturity thereof pursuant to Section 5.2;

 

(16)                            any
provisions relating to the conversion or exchange of the Securities into common
stock or other debt securities of the Company;

 

(17)                            the
status and ranking of the Securities; and

 

(18)                            any
other terms of the series (which terms shall not be inconsistent with the
provisions of this Indenture, except as permitted by Section 9.1(5)).

 

All Securities of any one series shall be substantially identical
except as to denomination and except as may otherwise be provided in or
pursuant to the Board Resolution referred to above and (subject to Section 3.3)
set forth, or determined in the manner provided, in the Officers’ Certificate
referred to above or in any such indenture supplemental hereto.

 

If any of the terms of the series are established by action taken
pursuant to a Board Resolution, a copy of an appropriate record of such action
shall be certified by the Secretary or an Assistant Secretary of the Company
and delivered to the Trustee at or prior to the delivery of the Officers’
Certificate setting forth the terms of the series.

 

Section 3.2                                   Denominations.

 

The Securities of each series shall be issuable in registered form without
coupons in such denominations as shall be specified as contemplated by Section 3.1.  In the absence of any such 

 

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provisions with respect to the Securities of any
series, the Securities of such series shall be issuable in denominations of
$1,000 and any integral multiple thereof.

 

Section 3.3                                   Execution,
Authentication, Delivery and Dating.

 

The Securities shall be executed on behalf of the Company by its Chief
Executive Officer, its President, a Senior Vice President or a Vice President
of the Company, under its corporate seal reproduced thereon attested by its
Secretary or one of its Assistant Secretaries. 
The signature of any of these officers on the Securities may be manual
or facsimile.

 

Securities bearing the manual or facsimile signatures of individuals
who were at any time the proper officers of the Company shall bind the Company,
notwithstanding that such individuals or any of them have ceased to hold such
offices prior to the authentication and delivery of such Securities or did not
hold such offices at the date of such Securities.

 

At any time and from time to time after the execution and delivery of
this Indenture, the Company may deliver Securities of any Series executed
by the Company to the Trustee for authentication, together with a Company Order
for the authentication and delivery of such Securities, and the Trustee in
accordance with the Company Order shall authenticate and deliver such
Securities.  If the form or terms of the
Securities of the series have been established in or pursuant to one or more
Board Resolutions as permitted by Sections 2.1 and 3.1, in authenticating such
Securities, and accepting the additional responsibilities under this Indenture
in relation to such Securities, the Trustee shall be entitled to receive, and
(subject to Section 6.1) shall be fully protected in relying upon, an
Opinion of Counsel stating,

 

(a)                                  if
the form of such Securities has been established by or pursuant to Board
Resolution as permitted by Section 2.1, that such form has been
established in conformity with the provisions of this Indenture;

 

(b)                                 if
the terms of such Securities have been established by or pursuant to Board
Resolution as permitted by Section 3.1, that such terms have been established
in conformity with the provisions of this Indenture; and

 

(c)                                  that
such Securities, when authenticated and delivered by the Trustee and issued by
the Company in the manner and subject to any conditions specified in such
Opinion of Counsel, will constitute valid and legally binding obligations of
the Company enforceable in accordance with their terms, subject to bankruptcy,
insolvency, fraudulent transfer, reorganization, moratorium and similar laws of
general applicability relating to or affecting creditors’ rights and to general
equity principles.

 

If such form or terms have been so established, the Trustee shall not
be required to authenticate such Securities if the issue of such Securities
pursuant to this Indenture will affect the Trustee’s own rights, duties or
immunities under the Securities and this Indenture or otherwise in a manner
which is not reasonably acceptable to the Trustee.

 

Notwithstanding the provisions of Section 3.1 and of the preceding
paragraph, if all Securities of a series are not to be originally issued at one
time, it shall not be necessary to deliver the Officers’ Certificate otherwise
required pursuant to Section 3.1 or the Company 

 

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Order and Opinion of Counsel otherwise required
pursuant to such preceding paragraph at or prior to the time of authentication
of each Security of such series if such documents are delivered at or prior to
the authentication upon original issuance of the first Security of such series
to be issued.

 

Each Security shall be dated the date of its authentication.

 

No Security shall be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose unless there appears on such Security a
certificate of authentication substantially in the form provided for herein
executed by the Trustee by manual signature, and such certificate upon any
Security shall be conclusive evidence, and the only evidence, that such
Security has been duly authenticated and delivered hereunder.  Notwithstanding the foregoing, if any
Security shall have been authenticated and delivered hereunder but never issued
and sold by the Company, and the Company shall deliver such Security to the
Trustee for cancellation as provided in Section 3.9, for all purposes of this
Indenture such Security shall be deemed never to have been authenticated and
delivered hereunder and shall never be entitled to the benefits of this
Indenture.

 

Section 3.4                                   Temporary
Securities.

 

Pending the preparation of definitive Securities of any series, the
Company may execute, and upon Company Order the Trustee shall authenticate and
deliver, temporary Securities which are printed, lithographed, typewritten,
mimeographed or otherwise produced, in any authorized denomination,
substantially of the tenor of the definitive Securities in lieu of which they
are issued and with such appropriate insertions, omissions, substitutions and
other variations as the officers executing such Securities may determine, as
evidenced by their execution of such Securities.

 

If temporary Securities of any series are issued, the Company will
cause definitive Securities of that series to be prepared without unreasonable
delay.  After the preparation of
definitive Securities of such series, the temporary Securities of such series
shall be exchangeable for definitive Securities of such series upon surrender
of the temporary Securities of such series at the office or agency of the
Company in a Place of Payment for that series, without charge to the Holder.  Upon surrender for cancellation of any one or
more temporary Securities of any series the Company shall execute and the
Trustee shall authenticate and deliver in exchange therefor one or more
definitive Securities of the same series, of any authorized denominations and
of a like aggregate principal amount and tenor. 
Until so exchanged the temporary Securities of any series shall in all
respects be entitled to the same benefits under this Indenture as definitive
Securities of such series and tenor.

 

Section 3.5                                   Registration,
Registration of Transfer and Exchange.

 

The Company shall cause to be kept at the Corporate Trust Office of the
Trustee a register (the register maintained in such office and in any other
office or agency of the Company in a Place of Payment being herein sometimes
collectively referred to as the “Security Register”) in which, subject to such
reasonable regulations as it may prescribe, the Company shall provide for the
registration of Securities and of transfers of Securities.  The Trustee is hereby appointed 

 

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“Security Registrar” for the purpose of registering
Securities and transfers of Securities as herein provided.

 

Upon surrender for registration of transfer of any Security of any
series at the office or agency in a Place of Payment for that series, the
Company shall execute, and the Trustee shall authenticate and deliver, in the
name of the designated transferee or transferees, one or more new Securities of
the same series, of any authorized denominations and of a like aggregate
principal amount and tenor.

 

At the option of the Holder, Securities of any series may be exchanged
for other Securities of the same series, of any authorized denominations and of
a like aggregate principal amount and tenor, upon surrender of the Securities
to be exchanged at such office or agency. Whenever any Securities are so
surrendered for exchange, the Company shall execute, and the Trustee shall
authenticate and deliver, the Securities which the Holder making the exchange is
entitled to receive.

 

All Securities issued upon any registration of transfer or exchange of
Securities shall be the valid obligations of the Company, evidencing the same
debt, and entitled to the same benefits under this Indenture, as the Securities
surrendered upon such registration of transfer or exchange.

 

Every Security presented or surrendered for registration of transfer or
for exchange shall (if so required by the Company or the Trustee) be duly
endorsed, or be accompanied by a written instrument of transfer in form
satisfactory to the Company and the Security Registrar duly executed, by the
Holder thereof or his attorney duly authorized in writing.

 

No service charge shall be made for any registration of transfer or
exchange of Securities, but the Company may require payment of a sum sufficient
to cover any tax or other governmental charge that may be imposed in connection
with any registration of transfer or exchange of Securities, other than
exchanges pursuant to Section 3.4, 9.6 or 11.7 not involving any transfer.

 

The Company shall not be required (i) to issue, register the
transfer of or exchange Securities of any series during a period beginning at
the opening of business 15 days before the day of the mailing of a notice of
redemption of Securities of that series selected for redemption under Section 11.3
and ending at the close of business on the day of such mailing, or (ii) to
register the transfer of or exchange any Security so selected for redemption in
whole or in part, except the unredeemed portion of any Security being redeemed
in part.

 

Notwithstanding the foregoing, any Book-Entry Security shall be
exchangeable pursuant to this Section 3.5 for Securities registered in the
name of Persons other than the Depository for such Security or its nominee only
if (i) such Depository notifies the Company that it is unwilling or unable
to continue as Depository for such Book-Entry Security or if at any time such
Depository ceases to be a clearing agency registered under the Securities
Exchange Act of 1934, as amended, (ii) the Company executes and delivers
to the Trustee a Company Order that such Book-Entry Security shall be so
exchangeable or (iii) there shall have occurred and be continuing an Event
of Default with respect to the Securities. Any Book-Entry Security that is
exchangeable 

 

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pursuant to the preceding sentence shall be
exchangeable for Securities registered in such names as such Depository shall
direct.

 

Notwithstanding any other provision in this Indenture, a Book-Entry
Security may not be transferred except as a whole by the Depository with
respect to such Book-Entry Security to a nominee of such Depository or by a
nominee of such Depository to such a Depository or another nominee of such
Depository.

 

Section 3.6                                   Mutilated,
Destroyed, Lost and Stolen Securities.

 

If any mutilated Security is surrendered to the Trustee, the Company
shall execute and the Trustee shall authenticate and deliver in exchange
therefor a new Security of the same series and of like tenor and principal
amount and bearing a number not contemporaneously outstanding.

 

If there shall be delivered to the Company and the Trustee (i) evidence
to their satisfaction of the destruction, loss or theft of any Security and (ii) such
security or indemnity as may be required by them to save each of them and any
agent of either of them harmless, then, in the absence of notice to the Company
or the Trustee that such Security has been acquired by a bona fide purchaser,
the Company shall execute and the Trustee shall authenticate and deliver, in
lieu of any such destroyed, lost or stolen Security, a new Security of the same
series and of like tenor and principal amount and bearing a number not
contemporaneously outstanding.

 

In case any such mutilated, destroyed, lost or stolen Security has
become or is about to become due and payable, the Company in its discretion
may, instead of issuing a new Security, pay such Security.

 

Upon the issuance of any new Security under this Section, 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 (including the fees and expenses of the Trustee) connected therewith.

 

Every new Security of any series issued pursuant to this Section in
lieu of any destroyed, lost or stolen Security shall constitute an original
additional contractual obligation of the Company, whether or not the destroyed,
lost or stolen Security shall be at any time enforceable by anyone, and shall
be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Securities of that series duly issued hereunder.

 

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

 

Section 3.7                                   Payment
of Interest; Interest Rights Preserved.

 

Except as otherwise provided as contemplated by Section 3.1 with
respect to any series of Securities, interest on any Security which is payable,
and is punctually paid or duly provided for, on any Interest Payment Date shall
be paid to the Person in whose name that Security (or one or 

 

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more Predecessor Securities) is registered at the
close of business on the Regular Record Date for such interest.

 

Any interest on any Security of any series which 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 Holder
on the relevant Regular Record Date by virtue of having been such Holder, and
such Defaulted Interest may be paid by the Company, at its election in each
case, as provided in Clause (1) or (2) below:

 

(1)                                  The
Company may elect to make payment of any Defaulted Interest to the Persons in
whose names the Securities of such series (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 of the amount of Defaulted Interest proposed to
be paid on each Security of such series 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 be not more than 15 days and not 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
Holder of Securities of such series at his address as it appears in the
Security 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 so
mailed, such Defaulted Interest shall be paid to the Persons in whose names the
Securities of such series (or their respective Predecessor Securities) are
registered at the close of business on such Special Record Date and shall no
longer be payable pursuant to the following Clause (2).

 

(2)                                  The
Company may make payment of any Defaulted Interest on the Securities of any
series in any other lawful manner not inconsistent with the requirements of any
securities exchange on which such Securities may be listed, and upon such
notice as may be required by such exchange, if, after notice given by the
Company to the Trustee of the proposed payment pursuant to this Clause, such
manner of payment shall be deemed practicable by the Trustee.

 

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

 

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Section 3.8                                   Persons
Deemed Owners.

 

Prior to due presentment of a Security for registration of transfer,
the Company, the Trustee and any agent of the Company or the Trustee may treat
the Person in whose name such Security is registered as the owner of such
Security for the purpose of receiving payment of principal of and any premium
and (subject to Section 3.7) any interest on such Security and for all
other purposes whatsoever, whether or not such Security be overdue, and neither
the Company, the Trustee nor any agent of the Company or the Trustee shall be
affected by notice to the contrary.

 

Section 3.9                                   Cancellation.

 

All Securities surrendered for payment, redemption, registration of
transfer or exchange or for credit against any sinking fund payment shall, if
surrendered to any Person other than the Trustee, be delivered to the Trustee
and shall be promptly cancelled by it. 
The Company may at any time deliver to the Trustee for cancellation any
Securities previously authenticated and delivered hereunder which the Company
may have acquired in any manner whatsoever, and may deliver to the Trustee (or
to any other Person for delivery to the Trustee) for cancellation any
Securities previously authenticated hereunder which the Company has not issued
and sold, and all Securities so delivered shall be promptly cancelled by the
Trustee.  No Securities shall be
authenticated in lieu of or in exchange for any Securities cancelled as
provided in this Section, except as expressly permitted by this Indenture.  All cancelled Securities held by the Trustee
shall be disposed of as directed by a Company Order.

 

Section 3.10                             Computation
of Interest.

 

Except as otherwise specified as contemplated by Section 3.1 for
Securities of any series, interest on the Securities of each series shall be
computed on the basis of a 360-day year of twelve 30-day months.

 

ARTICLE IV

 

SATISFACTION AND
DISCHARGE

 

Section 4.1                                   Satisfaction
and Discharge of Indenture.

 

This Indenture shall upon Company Request cease to be of further effect
(except as to any surviving rights of registration of transfer or exchange of
Securities herein expressly provided for), and the Trustee, at the expense of
the Company, shall execute proper instruments acknowledging satisfaction and
discharge of this Indenture, when

 

(1)                                  either

 

(A)                              all
Securities theretofore authenticated and delivered (other than (i) Securities
which have been destroyed, lost or stolen and which have been replaced or paid
as provided in Section 3.6 and (ii) Securities for whose payment
money has theretofore been deposited in trust or segregated and held in trust
by the Company and thereafter repaid to the Company or discharged from such
trust, 

 

23

 

as provided in Section 10.3)
have been delivered to the Trustee for cancellation; or

 

(B)                              all
such Securities not theretofore delivered to the Trustee for cancellation

 

(i)                                     have
become due and payable, or

 

(ii)                                  will
become due and payable at their Stated Maturity within one year, or

 

(iii)                               are
to be called for redemption within one year under arrangements satisfactory to
the Trustee for the giving of notice of redemption by the Trustee in the name,
and at the expense, of the Company,

 

and the Company, in the case of (i), (ii) or (iii) above, has
deposited or caused to be deposited with the Trustee as trust funds in trust
for the purpose an amount sufficient to pay and discharge the entire
indebtedness on such Securities not theretofore delivered to the Trustee for
cancellation, for principal and any premium and interest to the date of such
deposit (in the case of Securities which have become due and payable) or to the
Stated Maturity or Redemption Date, as the case may be;

 

(2)                                  the
Company has paid or caused to be paid all other sums payable hereunder by the
Company; and

 

(3)                                  the
Company has delivered to the Trustee 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.

 

Notwithstanding the satisfaction and discharge of this Indenture, the
obligations of the Company to the Trustee under Section 6.7, the
obligations of the Trustee to any Authenticating Agent under Section 6.14
and, if money shall have been deposited with the Trustee pursuant to subclause (B) of
Clause (1) of this Section, the obligations of the Trustee under Section 4.2
and the last paragraph of Section 10.3 shall survive.

 

Section 4.2                                   Application
of Trust Money.

 

Subject to provisions of the last paragraph of Section 10.3, all
money deposited with the Trustee pursuant to Section 4.1 shall be held in
trust and applied by it, in accordance with the provisions of the Securities
and this Indenture, to the payment, either directly or through any Paying Agent
(including the Company acting as its own Paying Agent) as the Trustee may
determine, to the Persons entitled thereto, of the principal and any premium and
interest for whose payment such money has been deposited with the Trustee.

 

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ARTICLE V

 

REMEDIES

 

Section 5.1             Events
of Default.

 

“Event of Default,” wherever used herein with respect to Securities of
any series, 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):

 

(1)           default in the
payment of any interest upon any Security of that series when it becomes due
and payable, and continuance of such default for a period of 30 days; or

 

(2)           default in the
payment of the principal of (or premium, if any, on) any Security of that
series at its Maturity; or

 

(3)           default in the
deposit of any sinking fund payment, when and as due by the terms of a Security
of that series; or

 

(4)           default in the
performance, or breach, of any covenant or warranty of the Company in this
Indenture (other than a covenant or warranty a default in whose performance or
whose breach is elsewhere in this Section specifically dealt with or which
has expressly been included in this Indenture solely for the benefit of series
of Securities other than that series), and continuance of such default or
breach for a period of 90 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 principal amount of the Outstanding
Securities of that series 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

 

(5)           the entry by a court
having jurisdiction in the premises of (A) a decree or order for relief in
respect of the Company in an involuntary case or proceeding under any
applicable Federal or State bankruptcy, insolvency, reorganization or other
similar law or (B) a decree or order adjudging the Company a bankrupt or
insolvent, or approving as properly filed a petition seeking reorganization,
arrangement, adjustment or composition of or in respect of the Company under
any applicable Federal or State law, or appointing a custodian, receiver,
liquidator, assignee, trustee, sequestrator or other similar official of the
Company or of any substantial part of its property, or ordering the winding up
or liquidation of its affairs, and the continuance of any such decree or order
for relief or any such other decree or order unstayed and in effect for a
period of 60 consecutive days; or

 

(6)           the commencement by
the Company of a voluntary case or proceeding under any applicable Federal or
State bankruptcy, insolvency, reorganization or other similar law or of any
other case or proceeding to be adjudicated a bankrupt or insolvent, or the
consent by it to the entry of a decree or order for relief in respect of the
Company 

 

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in an involuntary
case or proceeding under any applicable Federal or State bankruptcy,
insolvency, reorganization or other similar law or to the commencement of any
bankruptcy or insolvency case or proceeding against it, or the filing by it of
a petition or answer or consent seeking reorganization or relief under any
applicable Federal or State law, or the consent by it to the filing of such
petition or to the appointment of or taking possession by a custodian,
receiver, liquidator, assignee, trustee, sequestrator or other similar official
of the Company or of any substantial part of its property, or the making by it
of an assignment for the benefit of creditors, or the admission by it in
writing of its inability to pay its debts generally as they become due, or the
taking of corporate action by the Company in furtherance of any such action; or

 

(7)           any event which
constitutes an “Event of Default” under the terms governing Securities of that
series established as provided in Section 3.1.

 

Section 5.2           Acceleration of Maturity;
Rescission and Annulment.

 

If an Event of Default with respect to Securities of any series at the
time Outstanding occurs and is continuing, then in every such case the Trustee
or the Holders of not less than 25% in principal amount of the Outstanding
Securities of that series may declare the principal amount (or, if any of the
Securities of that series are Original Issue Discount Securities, such portion
of the principal amount of such Securities as may be specified in the terms
thereof) of all of the Securities of that series to be due and payable
immediately, by a notice in writing to the Company (and to the Trustee if given
by Holders), and upon any such declaration such principal amount (or specified
amount) shall become immediately due and payable.

 

At any time after such a declaration of acceleration with respect to
Securities of any series has been made and before a judgment or decree for
payment of the money due has been obtained by the Trustee as hereinafter in
this Article provided, the Holders of a majority in principal amount of
the Outstanding Securities of that series, by written notice to the Company and
the Trustee, may rescind and annul such declaration and its consequences if

 

(1)           the Company has paid or
deposited with the Trustee a sum sufficient to pay

 

(A)          all overdue interest
on all Securities of that series,

 

(B)           the principal of
(and premium, if any, on) any Securities of that series which have become due
otherwise than by such declaration of acceleration and any interest thereon at
the rate or rates prescribed therefor in such Securities,

 

(C)           to the extent that
payment of such interest is lawful, interest upon overdue interest at the rate
or rates prescribed therefor in such Securities, and

 

(D)          all sums paid or
advanced by the Trustee hereunder and the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel;

 

and

 

26

 

(2)           all Events of
Default with respect to Securities of that series, other than the non-payment
of the principal of Securities of that series which have become due solely by
such declaration of acceleration, have been cured or waived as provided in Section 5.13.

 

No such rescission shall affect any subsequent default or impair any
right consequent thereon.

 

Section 5.3            Collection of Indebtedness and
Suits for Enforcement by Trustee.

 

The Company covenants that if

 

(1)           default is made in
the payment of any interest on any Security when such interest becomes due and
payable and such default continues for a period of 30 days, or

 

(2)           default is made in
the payment of the principal of (or premium, if any, on) any Security at the
Maturity thereof,

 

the Company will, upon demand of the Trustee, pay to it, for the
benefit of the Holders of such Securities, the whole amount then due and
payable on such Securities for principal and any premium and interest and, to
the extent that payment of such interest shall be legally enforceable, interest
on any overdue principal and premium and on any overdue interest, at the rate
or rates prescribed therefor in such Securities, and, in addition thereto, such
further amount as shall be sufficient to cover the costs and expenses of
collection, including the reasonable compensation, expenses, disbursements and
advances of the Trustee, its agents and counsel.

 

If an Event of Default with respect to Securities of any series occurs
and is continuing, the Trustee may in its discretion proceed to protect and
enforce its rights and the rights of the Holders of Securities of such series
by such appropriate judicial proceedings as the Trustee shall deem most
effectual to protect and enforce any such rights, whether for the specific
enforcement of any covenant or agreement in this Indenture or in aid of the
exercise of any power granted herein, or to enforce any other proper remedy.

 

Section 5.4            Trustee May File Proofs of
Claim.

 

In case of any judicial proceeding relative to the Company (or any
other obligor upon the Securities), its property or its creditors, the Trustee
shall be entitled and empowered, by intervention in such proceeding or
otherwise, to take any and all actions authorized under the Trust Indenture Act
in order to have claims of the Holders and the Trustee allowed in any such
proceeding.  In particular, the Trustee
shall be authorized to collect and receive any moneys or other property payable
or deliverable on any such claims and to distribute the same; and any
custodian, receiver, assignee, trustee, liquidator, sequestrator or other
similar official in any such judicial proceeding is hereby authorized by each
Holder 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 Holders, to pay to
the Trustee any amount due it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 6.7.

 

27

 

No provision of this Indenture shall be deemed to authorize the Trustee
to authorize or consent to or accept or adopt on behalf of any Holder any plan of
reorganization, arrangement, adjustment or composition affecting the Securities
or the rights of any Holder thereof or to authorize the Trustee to vote in
respect of the claim of any Holder in any such proceeding.

 

Section 5.5            Trustee May Enforce Claims
Without Possession of Securities.

 

All rights of action and claims under this Indenture or the Securities
may be prosecuted and enforced by the Trustee without the possession of any of
the Securities or the production thereof in any proceeding relating thereto,
and any such proceeding instituted by the Trustee shall be brought in its own
name as trustee of an express trust, and any recovery of judgment shall, after
provision for the payment of the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, be for the
ratable benefit of the Holders of the Securities in respect of which such
judgment has been recovered.

 

Section 5.6            Application of Money Collected.

 

Any money collected by the Trustee pursuant to this Article shall
be applied in the following order, at the date or dates fixed by the Trustee
and, in case of the distribution of such money on account of principal or any
premium or interest, upon presentation of the Securities and the notation
thereon of the payment if only partially paid and upon surrender thereof if
fully paid:

 

FIRST:  To the payment of all amounts due the Trustee
under Section 6.7; and

 

SECOND:  To the payment of the amounts then due and
unpaid for principal of and any premium and interest on the Securities in
respect of which or for the benefit of which such money has been collected,
ratably, without preference or priority of any kind, according to the amounts
due and payable on such Securities for principal and any premium and interest, respectively.

 

Section 5.7            Limitation on Suits.

 

No Holder of any Security of any series shall have any right to
institute any proceeding, judicial or otherwise, with respect to this
Indenture, or for the appointment of a receiver or trustee, or for any other
remedy hereunder, unless

 

(1)           such Holder has
previously given written notice to the Trustee of a continuing Event of Default
with respect to the Securities of that series;

 

(2)           the Holders of not
less than 25% in principal amount of the Outstanding Securities of that series
shall have made written request to the Trustee to institute proceedings in
respect of such Event of Default in its own name as Trustee hereunder;

 

(3)           such Holder or
Holders have offered to the Trustee reasonable indemnity against the costs,
expenses and liabilities to be incurred in compliance with such request;

 

28

 

(4)           the Trustee for 60
days after its receipt of such notice, request and offer of indemnity has
failed to institute any such proceeding; and

 

(5)           no direction
inconsistent with such written request has been given to the Trustee during
such 60-day period by the Holders of a majority in principal amount of the
Outstanding Securities of that series;

 

it being understood and intended that no one or more of such Holders
shall have any right in any manner whatever by virtue of, or by availing of,
any provision of this Indenture to affect, disturb or prejudice the rights of
any other of such Holders, or to obtain or to seek to obtain priority or
preference over any other of such Holders or to enforce any right under this
Indenture, except in the manner herein provided and for the equal and ratable
benefit of all of such Holders.

 

Section 5.8            Unconditional Right of Holders to
Receive Principal, Premium and Interest.

 

Notwithstanding any other provision in this Indenture, the Holder of
any Security shall have the right, which is absolute and unconditional, to
receive payment of the principal of and any premium and (subject to Section 3.7)
any interest on such Security on the Stated Maturity or Maturities expressed in
such Security (or, in the case of redemption, on the Redemption Date) and to
institute suit for the enforcement of any such payment, and such rights shall
not be impaired without the consent of such Holder.

 

Section 5.9            Restoration of Rights and
Remedies.

 

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

 

Section 5.10          Rights and Remedies Cumulative.

 

Except as otherwise provided with respect to the replacement or payment
of mutilated, destroyed, lost or stolen Securities in the last paragraph of Section 3.6,
no right or remedy herein conferred upon or reserved to the Trustee or to the
Holders is intended to be exclusive of any other right or remedy, and every
right and remedy shall, to the extent permitted by law, be cumulative and in
addition to every other right and remedy given hereunder or now or hereafter
existing at law or in equity or otherwise. 
The assertion or employment of any right or remedy hereunder, or
otherwise, shall not prevent the concurrent assertion or employment of any
other appropriate right or remedy.

 

Section 5.11          Delay or Omission Not Waiver.

 

No delay or omission of the Trustee or of any Holder of any Securities
to exercise any right or remedy accruing upon any Event of Default shall impair
any such right or remedy or 

 

29

 

constitute a waiver of any such Event of Default or an
acquiescence therein.  Every right and
remedy given by this Article or by law to the Trustee or to the Holders
may be exercised from time to time, and as often as may be deemed expedient, by
the Trustee or by the Holders, as the case may be.

 

Section 5.12          Control by Holders.

 

The Holders of a majority in principal amount of the Outstanding
Securities of any series shall have the right to direct the time, method and
place of conducting any proceeding for any remedy available to the Trustee, or
exercising any trust or power conferred on the Trustee, with respect to the
Securities of such series, provided that

 

(1)           such direction shall
not be in conflict with any rule of law or with this Indenture, and

 

(2)           the Trustee may take
any other action deemed proper by the Trustee which is not inconsistent with
such direction.

 

Section 5.13          Waiver of Past Defaults.

 

The Holders of not less than a majority in principal amount of the
Outstanding Securities of any series may on behalf of the Holders of all the
Securities of such series waive any past default hereunder with respect to such
series and its consequences, except a default

 

(1)           in the payment of
the principal of or any premium or interest on any Security of such series, or

 

(2)           in respect of a
covenant or provision hereof which under Article Nine cannot be modified or
amended without the consent of the Holder of each Outstanding Security of such
series affected.

 

Upon any such waiver, such default shall cease to exist, and any Event
of Default arising therefrom shall be deemed to have been cured, for every
purpose of this Indenture; but no such waiver shall extend to any subsequent or
other default or impair any right consequent thereon.

 

Section 5.14          Undertaking for Costs.

 

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, suffered or
omitted by it as Trustee, a court may require any party litigant in such suit
to file an undertaking to pay the costs of such suit, and may assess costs
against any such party litigant, in the manner and to the extent provided in
the Trust Indenture Act; provided that neither this Section nor the
Trust Indenture Act shall be deemed to authorize any court to require such an
undertaking or to make such an assessment in any suit instituted by the Company
or the Trustee.

 

30

 

Section 5.15          Waiver of Stay or Extension Laws.

 

The Company covenants (to the extent that it may lawfully do so) that
it will not at any time insist upon, or plead, or in any manner whatsoever
claim or take the benefit or advantage of, any stay or extension law wherever
enacted, now or at any time hereafter in force, which may affect the covenants
or the performance of this Indenture; and the Company (to the extent that it
may lawfully do so) hereby expressly waives all benefit or advantage of any
such law and covenants that it will not hinder, delay or impede the execution
of any power herein granted to the Trustee, but will suffer and permit the
execution of every such power as though no such law had been enacted.

 

ARTICLE VI

 

THE TRUSTEE

 

Section 6.1            Certain Duties and
Responsibilities.

 

The duties and responsibilities of the Trustee shall be as provided by
the Trust Indenture Act.  Notwithstanding
the foregoing, no provision of this Indenture shall require the Trustee to
expend or risk its own funds or otherwise incur any financial liability in the
performance of any of its duties hereunder, or in the exercise of any of its
rights or powers, if it shall have reasonable grounds for believing that
repayment of such funds or adequate indemnity against such risk or liability is
not reasonably assured to it.  Whether or
not therein expressly so provided, every provision of this Indenture relating
to the conduct or affecting the liability of or affording protection to the
Trustee shall be subject to the provisions of this Section.

 

Section 6.2            Notice of Defaults.

 

If a default occurs hereunder with respect to Securities of any series,
the Trustee shall give the Holders of Securities of such series notice of such
default as and to the extent provided by the Trust Indenture Act; provided,
however, that in the case of any default of the character specified in Section 5.1(4) with
respect to Securities of such series, no such notice to Holders shall be given
until at least 30 days after the occurrence thereof.  For the purpose of this Section, the term “default”
means any event which is, or after notice or lapse of time or both would
become, an Event of Default with respect to Securities of such series.

 

Section 6.3            Certain Rights of Trustee.

 

Subject to the provisions of Section 6.1:

 

(a)           the
Trustee may rely and shall be protected in acting or refraining from acting
upon any resolution, certificate, statement, instrument, opinion, report,
notice, request, direction, consent, order, bond, debenture, note, other
evidence of indebtedness 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 or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order and any resolution of the Board
of Directors may be sufficiently evidenced by a Board Resolution;

 

31

 

(c)           whenever
in the administration of this Indenture the Trustee shall deem it desirable
that a matter be proved or established prior to taking, suffering or omitting
any action hereunder, the Trustee (unless other evidence be herein specifically
prescribed) may, in the absence of bad faith on its part, rely upon an Officers’
Certificate;

 

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

 

(e)           the
Trustee shall be under no obligation to exercise any of the rights or powers
vested in it by this Indenture at the request or direction of any of the
Holders pursuant to this Indenture, unless such Holders shall have offered to
the Trustee reasonable security or indemnity against the costs, expenses and
liabilities which might be incurred by it in compliance with such request or
direction;

 

(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, direction, consent, order, bond, debenture, note, other
evidence of indebtedness or other paper or document, but the Trustee, in its
discretion, may make such further inquiry or investigation into such facts or
matters as it may see fit, and, if the Trustee shall determine to make such
further inquiry or investigation, it shall be entitled to examine the books,
records and premises of the Company, personally or by agent or attorney; and

 

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

 

Section 6.4            Not Responsible for Recitals or
Issuance of Securities.

 

The recitals contained herein and in the Securities, except the Trustee’s
certificates of authentication, shall be taken as the statements of the
Company, and the Trustee or any Authenticating Agent assumes no responsibility
for their correctness.  The Trustee makes
no representations as to the validity or sufficiency of this Indenture or of
the Securities.  The Trustee or any
Authenticating Agent shall not be accountable for the use or application by the
Company of Securities or the proceeds thereof.

 

Section 6.5            May Hold Securities.

 

The Trustee, any Authenticating Agent, any Paying Agent, any Security
Registrar or any other agent of the Company, in its individual or any other
capacity, may become the owner or pledgee of Securities and, subject to
Sections 6.8 and 6.13, may otherwise deal with the Company with the same rights
it would have if it were not Trustee, Authenticating Agent, Paying Agent,
Security Registrar or such other agent.

 

32

 

Section 6.6            Money Held in Trust.

 

Money held by the Trustee in trust hereunder need not be segregated
from other funds except to the extent required by law.  The Trustee shall be under no liability for
interest on any money received by it hereunder except as otherwise agreed with
the Company.

 

Section 6.7            Compensation and Reimbursement.

 

The Company agrees

 

(1)           to pay to the
Trustee from time to time reasonable compensation for all services
rendered by it hereunder (which compensation shall not be limited by any
provision of law in regard to the compensation of a trustee of an express
trust);

 

(2)           except as otherwise
expressly provided herein, to reimburse the Trustee upon its request for all
reasonable expenses, disbursements and 
advances incurred or made by the Trustee in accordance with any
provision of this Indenture (including the reasonable compensation and the
expenses and disbursements of its agents and counsel), except any such expense,
disbursement or advance as may be attributable to its negligence or bad faith;
and

 

(3)           to indemnify the
Trustee for, and to hold it harmless against, any loss, liability or expense
incurred without negligence or bad faith on its part, arising out of or in
connection with the acceptance or administration of the trust or trusts
hereunder, including the costs and expenses of defending itself against any
claim or liability in connection with the exercise or performance of any of its
powers or duties hereunder.

 

Section 6.8            Disqualification; Conflicting
Interests.

 

If the Trustee has or shall acquire a conflicting interest within the
meaning of the Trust Indenture Act, the Trustee shall either eliminate such
interest or resign, to the extent and in the manner provided by, and subject to
the provisions of, the Trust Indenture Act and this Indenture.

 

Section 6.9            Corporate Trustee Required;
Eligibility.

 

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

 

33

 

Section 6.10                                Resignation and Removal; Appointment of Successor.

 

(a)                                  No resignation or removal of the 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 Section 6.11.

 

(b)                                 The Trustee may resign at any time with
respect to the Securities of one or more series by giving written notice
thereof to the Company.  If the
instrument of acceptance by a successor Trustee required by Section 6.11
shall not have been delivered to the Trustee within 30 days after the giving of
such notice of resignation, the resigning Trustee may petition any court of
competent jurisdiction for the appointment of a successor Trustee with respect
to the Securities of such series.

 

(c)                                  The Trustee may be removed at any time
with respect to the Securities of any series by Act of the Holders of a
majority in principal amount of the Outstanding Securities of such series,
delivered to the Trustee and to the Company.

 

(d)                                 If at any time:

 

(1)                                  the Trustee shall fail to comply with Section 6.8
after written request therefor by the Company or by any Holder who has been a
bona fide Holder of a Security for at least six months, or

 

(2)                                  the Trustee shall cease to be eligible
under Section 6.9 and shall fail to resign after written request therefor
by the Company or by any such Holder, or

 

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

 

then, in any such case, (i) the Company by a Board Resolution may
remove the Trustee with respect to all securities, or (ii) subject to Section 5.14,
any Holder who has been a bona fide Holder of a Security for at least six
months may, on behalf of himself and all others similarly situated, petition
any court of competent jurisdiction for the removal of the Trustee with respect
to all Securities and the appointment of a successor Trustee or Trustees.

 

(e)                                  If the Trustee shall resign, be removed
or become incapable of acting, or if a vacancy shall occur in the office of
Trustee for any cause, with respect to the Securities of one or more series,
the Company, by a Board Resolution, shall promptly appoint a successor Trustee
or Trustees with respect to the Securities of that or those series (it being understood
that any such successor Trustee may be appointed with respect to the Securities
of one or more or all of such series and that at any time there shall be only
one Trustee with respect to the Securities of any particular series) and shall
comply with the applicable requirements of Section 6.11.  If, within one year after such resignation,
removal or incapability, or the occurrence of such vacancy, a successor Trustee
with respect to the Securities of any Series shall be appointed by Act of
the Holders of a majority in principal amount of the Outstanding Securities of
such series delivered to the Company and the retiring Trustee, the successor
Trustee so appointed shall, forthwith upon 

 

34

 

its acceptance of such appointment in accordance with
the applicable requirements of Section 6.11, become the successor Trustee
with respect to the Securities of such series and to that extent supersede the
successor Trustee appointed by the Company. 
If no successor Trustee with respect to the Securities of any Series shall
have been so appointed by the Company or the Holders and accepted appointment
in the manner required by Section 6.11, any Holder who has been a bona
fide Holder of a Security of such series for at least six months may, on behalf
of himself and all others similarly situated, petition any court of competent
jurisdiction for the appointment of a successor Trustee with respect to the
Securities of such series.

 

(f)                                    The Company shall give notice of each
resignation and each removal of the Trustee with respect to the Securities of
any series and each appointment of a successor Trustee with respect to the
Securities of any series to all Holders of Securities of such series in the
manner provided in Section 1.6. 
Each notice shall include the name of the successor Trustee with respect
to the Securities of such series and the address of its Corporate Trust Office.

 

Section 6.11                                Acceptance of Appointment by Successor.

 

(a)                                  In case of the appointment hereunder of a
successor Trustee with respect to all Securities, every such successor Trustee
so appointed shall execute, acknowledge and deliver to the Company and to the
retiring Trustee an instrument accepting such appointment, 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, trusts and duties of the retiring Trustee;
but, on the request of the Company or the successor Trustee, such retiring
Trustee shall, upon payment of its charges, execute and deliver an instrument
transferring to such successor Trustee all the rights, powers and trusts of the
retiring Trustee and shall duly assign, transfer and deliver to such successor
Trustee all property and money held by such retiring Trustee hereunder.

 

(b)                                 In case of the appointment hereunder of a
successor Trustee with respect to the Securities of one or more (but not all)
series, the Company, the retiring Trustee and each successor Trustee with
respect to the Securities of one or more series shall execute and deliver an
indenture supplemental hereto wherein each successor Trustee shall accept such
appointment and which (1) shall contain such provisions as shall be
necessary or desirable to transfer and confirm to, and to vest in, each
successor Trustee all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series to which the
appointment of such successor Trustee relates, (2) if the retiring Trustee
is not retiring with respect to all Securities, 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
Securities of that or those series as to which the retiring Trustee is not
retiring shall continue to be vested in the retiring Trustee, and (3) 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 trusts 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; and upon the execution and delivery of such
supplemental indenture the resignation or removal of the retiring Trustee shall
become effective to the extent provided therein and each such successor
Trustee, without any further act, deed or conveyance, shall 

 

35

 

become vested with all the rights, powers, trusts and
duties of the retiring Trustee with respect to the Securities of that or those
series to which the appointment of such successor Trustee relates; but, on
request of the Company or any successor Trustee, such retiring Trustee shall
duly assign, transfer and deliver to such successor Trustee all property and
money held by such retiring Trustee hereunder with respect to the Securities of
that or those series to which the appointment of such successor Trustee
relates.

 

(c)                                  Upon request of any such successor
Trustee, the Company shall execute any and all instruments for more fully and
certainly vesting in and confirming to such successor Trustee all such rights,
powers and trusts referred to in paragraph (a) and (b) of this
Section, as the case may be.

 

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

 

Section 6.12                                Merger, Conversion, Consolidation or Succession to
Business.

 

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 the corporate trust
business of the Trustee, shall be the successor of the Trustee hereunder,
provided such corporation shall be otherwise qualified and eligible under this
Article, without the execution or filing of any paper or any further act on the
part of any of the parties hereto.  In
case any Securities shall have been authenticated, but not delivered, by the
Trustee then in office, any successor by merger, conversion or consolidation to
such authenticating Trustee may adopt such authentication and deliver the
Securities so authenticated with the same effect as if such successor Trustee
had itself authenticated such Securities.

 

Section 6.13                                Preferential Collection of Claims Against Company.

 

If and when the Trustee shall be or become a creditor of the Company
(or any other obligor upon the Securities), the Trustee shall be subject to the
provisions of the Trust Indenture Act regarding the collection of claims
against the Company (or any such other obligor).

 

Section 6.14                                Appointment of Authenticating Agent.

 

The Trustee may appoint an Authenticating Agent or Agents with respect
to one or more series of Securities which shall be authorized to act on behalf
of the Trustee to authenticate Securities of such series issued upon original
issue and upon exchange, registration of transfer or partial redemption thereof
or pursuant to Section 3.6, and Securities so authenticated shall be
entitled to the benefits of this Indenture and shall be valid and obligatory
for all purposes as if authenticated by the Trustee hereunder.  Wherever reference is made in this Indenture
to the authentication and delivery of Securities by the Trustee or the Trustee’s
certificate of authentication, such reference shall be deemed to include
authentication and delivery on behalf of the Trustee by an Authenticating Agent
and a certificate of authentication executed on behalf of the Trustee by an
Authenticating Agent.  Each
Authenticating Agent shall be acceptable to the Company and shall at all times
be a corporation organized and doing business under the laws of the United
States of America, any State thereof or the District of Columbia, authorized
under 

 

36

 

such laws to act as Authenticating Agent, having a
combined capital and surplus of not less than $50,000,000 and subject to
supervision or examination by Federal or State authority.  If such Authenticating Agent publishes
reports of condition at least annually, pursuant to law or to the requirements
of said supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such Authenticating Agent 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, such Authenticating Agent shall resign
immediately in the manner and with the effect specified in this Section.

 

Any corporation into which an Authenticating Agent may be merged or converted
or with which it may be consolidated, or any corporation resulting from any
merger, conversion or consolidation to which such Authenticating Agent shall be
a party, or any corporation succeeding to the corporate agency or corporate
trust business of an Authenticating Agent, shall continue to be an
Authenticating Agent, provided such corporation shall be otherwise eligible
under this Section, without the execution or filing of any paper or any further
act on the part of the Trustee or the Authenticating Agent.

 

An Authenticating Agent may resign at any time by giving written notice
thereof to the Trustee and to the Company. 
The Trustee may at any time terminate the agency of an Authenticating
Agent by giving written notice thereof 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 such
Authenticating Agent shall cease to be eligible in accordance with the
provisions of this Section, the Trustee may appoint a successor Authenticating
Agent which shall be acceptable to the Company and shall mail written notice of
such appointment by first-class mail, postage prepaid, to all Holders of
Securities of the series with respect to which such Authenticating Agent will
serve, as their names and addresses appear in the Security Register. Any
successor Authenticating Agent upon acceptance of its appointment hereunder
shall become vested with all the rights, powers and duties of its predecessor
hereunder, with like effect as if originally named as an Authenticating
Agent.  No successor Authenticating Agent
shall be appointed unless eligible under the provisions of this Section.

 

The Company agrees to pay to each Authenticating Agent from time to
time reasonable compensation for its services under this Section.

 

If an appointment with respect to one or more series is made pursuant
to this Section, the Securities of such series may have endorsed thereon, in
addition to the Trustee’s certificate of authentication, an alternative
certificate of authentication in the following form:

 

This is one of the Securities of the series designated therein referred
to in the within-mentioned Indenture.

 

	
   

  	
   

  
	
   

  	
  As Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  	
  ,

  
	
   

  	
  As Authenticating Agent

  
	
   

  	
   

  
	
   

  	
  By

  	
   

  	
  ,

  
	
   

  	
  Authorized Officer

  

 

37

 

ARTICLE VII

HOLDERS’ LISTS AND REPORTS BY
TRUSTEE AND COMPANY

 

Section 7.1                                      Company to Furnish Trustee Names and Addresses of
Holders.

 

The Company will furnish or cause to be furnished to the Trustee

 

(a)                                  semi-annually, not later than 15 days
after the Regular Record Date for interest for each series of Securities, a
list, in such form as the Trustee may reasonably require, of the names and
addresses of the Holders of Registered Securities of such series as of such
Regular Record Date, or if there is no Regular Record Date for interest for
such series of Securities, semi-annually, upon such dates as are set forth in
the Board Resolution or indenture supplemental hereto authorizing such series,
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;

 

excluding from any such list names and addresses received by
the Trustee in its capacity as Security Registrar.

 

Section 7.2                                      Preservation of Information; Communications to Holders.

 

(a)                                  The Trustee shall preserve, in as current
a form as is reasonably practicable, the names and addresses of Holders
contained in the most recent list furnished to the Trustee as provided in Section 7.1
and the names and addresses of Holders received by the Trustee in its capacity
as Security Registrar.  The Trustee may
destroy any list furnished to it as provided in Section 7.1 upon receipt
of a new list so furnished.

 

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

 

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

 

Section 7.3                                      Reports by Trustee.

 

(a)                                  The Trustee shall transmit to Holders
such reports concerning the Trustee and its actions under this Indenture as may
be required pursuant to the Trust Indenture Act at the times and in the manner
provided pursuant thereto.

 

38

 

(b)                                 A copy of each such report shall, at the
time of such transmission to Holders, be filed by the Trustee with each stock
exchange upon which any Securities are listed, with the Commission and with the
Company.  The Company will notify the
Trustee when any Securities are listed on any stock exchange.

 

Section 7.4                                      Reports by Company.

 

The Company shall file with the Trustee and the Commission, and
transmit to Holders, such information, documents and other reports, and such
summaries thereof, as may be required pursuant to the Trust Indenture Act at
the times and in the manner provided pursuant to such Act; provided that
any such information, documents or reports required to be filed with the
Commission pursuant to Section 13 or 15(d) of the Securities Exchange
Act of 1934 shall be filed with the Trustee within 15 days after the same is so
required to be filed with the Commission.

 

ARTICLE VIII

CONSOLIDATION, MERGER, CONVEYANCE,
TRANSFER OR LEASE

 

Section 8.1                                      Company May Consolidate, Etc., Only on Certain
Terms.

 

The Company shall not consolidate with or merge into any other Person
or convey, transfer or lease its properties and assets substantially as an
entirety to any Person, and the Company shall not permit any Person to
consolidate with or merge into the Company or convey, transfer or lease its
properties and assets substantially as an entirety to the Company, unless:

 

(1)                                  in case the Company shall consolidate
with or merge into another Person or convey, transfer or lease its properties
and assets substantially as an entirety to any Person, the Person formed by such
consolidation or into which the Company is merged or the Person which acquires
by conveyance or transfer, or which leases, the properties and assets of the
Company substantially as an entirety shall be a corporation, partnership or
trust, shall be organized and validly existing under the laws of the United
States of America, any State thereof or the District of Columbia and shall
expressly assume, by an indenture supplemental hereto, executed and delivered
to the Trustee, in form satisfactory to the Trustee, the due and punctual
payment of the principal of and any premium and interest on all the Securities
and the performance or observance of every covenant of this Indenture on the
part of the Company to be performed or observed;

 

(2)                                  immediately after giving effect to such
transaction and treating any indebtedness which becomes an obligation of the
Company or a Subsidiary as a result of such transaction as having been incurred
by the Company or such Subsidiary at the time of such transaction, no Event of
Default, and no event which, after notice or lapse of time or both, would
become an Event of Default, shall have happened and be continuing;

 

(3)                                  if, as a result of any such consolidation
or merger or such conveyance, transfer or lease, properties or assets of the
Company would become subject to a mortgage, pledge, lien, security interest or
other encumbrance which would not be permitted by this Indenture, the Company
or such successor Person, as the case may be, 

 

39

 

shall take such
steps as shall be necessary effectively to secure the Securities equally and
ratably with (or prior to) all indebtedness secured thereby; and

 

(4)                                  the Company has delivered to the Trustee
an Officers’ Certificate and an Opinion of Counsel, each stating that such
consolidation, merger, conveyance, transfer or lease and, if a supplemental
indenture is required in connection with such transaction, such supplemental
indenture comply with this Article and that all conditions precedent
herein provided for relating to such transaction have been complied with.

 

Section 8.2                                      Successor Substituted.

 

Upon any consolidation of the Company with, or merger of the Company
into, any other Person or any conveyance, transfer or lease of the properties
and assets of the Company substantially as an entirety in accordance with Section 8.1,
the successor Person formed by such consolidation or into which the Company is
merged or to which such conveyance, transfer or lease is made shall succeed to,
and be substituted for, and may exercise every right and power of, the Company
under this Indenture with the same effect as if such successor Person had been
named as the Company herein, and thereafter, except in the case of a lease, the
predecessor Person shall be relieved of all obligations and covenants under
this Indenture and the Securities.

 

ARTICLE IX

SUPPLEMENTAL INDENTURES

 

Section 9.1                                      Supplemental Indentures Without Consent of Holders.

 

Without the consent of any Holders, the Company, when authorized by a
Board Resolution, and the Trustee, at any time and from time to time, may enter
into one or more indentures supplemental hereto, in form satisfactory to the
Trustee, for any of the following purposes:

 

(1)                                  to evidence the succession of another
Person to the Company and the assumption by any such successor of the covenants
of the Company herein and in the Securities; or

 

(2)                                  to add to the covenants of the Company
for the benefit of the Holders of all or any series of Securities (and if such
covenants are to be for the benefit of less than all series of Securities,
stating that such covenants are expressly being included solely for the benefit
of such series) or to surrender any right or power herein conferred upon the
Company; or

 

(3)                                  to add any additional Events of Default;
or

 

(4)                                  to add to or change any of the provisions
of this Indenture to such extent as shall be necessary to permit or facilitate
the issuance of Securities in bearer form, registrable or not registrable as to
principal, and with or without interest coupons, or to permit or facilitate the
issuance of Securities in uncertificated form; or

 

40

 

(5)                                  to add to, change or eliminate any of the
provisions of this Indenture in respect of one or more series of Securities, provided
that any such addition, change or elimination (i) shall neither (A) apply
to any Security of any series created prior to the execution of such
supplemental indenture and entitled to the benefit of such provision nor (B) modify
the rights of the Holder of any such Security with respect to such provision or
(ii) shall become effective only when there is no such Security
Outstanding; or

 

(6)                                  to establish the form or terms of
Securities of any series as permitted by Sections 2.1 and 3.1, including any
subordination provisions; or

 

(7)                                  to evidence and provide for the
acceptance of appointment hereunder by a successor Trustee with respect to the
Securities of one or more series 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, pursuant to
the requirements of Section 6.11(b); or

 

(8)                                  to cure any ambiguity, to correct or
supplement any provision herein which may be inconsistent with any other
provision herein, or to make any other provisions with respect to matters or
questions arising under this Indenture, provided that such action
pursuant to this clause (8) shall not adversely affect the interests of the
Holders of Securities of any series in any material respect.

 

Section 9.2                                      Supplemental Indentures with Consent of Holders.

 

With the consent of the Holders of not less than a majority in
principal amount of the Outstanding Securities of each series affected by such
supplemental indenture, by Act of said Holders delivered to the Company and the
Trustee, the Company, when authorized by a Board Resolution, and the Trustee
may 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 modifying in any manner the rights of the
Holders of Securities of such series under this Indenture; provided, however,
that no such supplemental indenture shall, without the consent of the Holder of
each Outstanding Security affected thereby,

 

(1)                                  change the Stated Maturity of the
principal of, or any installment of principal of or interest on, any Security,
or reduce the principal amount thereof or the rate of interest thereon or any
premium payable upon the redemption thereof, or reduce the amount of the
principal of an Original Issue Discount Security that would be due and payable
upon a declaration of acceleration of the Maturity thereof pursuant to Section 5.2,
or change any Place of Payment where, or the coin or currency in which, any
Security or any premium or interest thereon is payable, or impair the right to
institute suit for the enforcement of any such payment on or after the Stated
Maturity thereof (or, in the case of redemption, on or after the Redemption
Date), or modify the conversion provisions, if any, of any Security in a manner
adverse to the holder of the Security, or

 

(2)                                  reduce the percentage in principal amount
of the Outstanding Securities of any series, the consent of whose Holders is
required for any such supplemental indenture, or the consent of whose Holders
is required for any waiver (of compliance with certain 

 

41

 

provisions of this
Indenture or certain defaults hereunder and their consequences) provided for in
this Indenture, or

 

(3)                                  modify any of the provisions of this
Section, Section 5.13 or Section 10.7, except to increase any such
percentage or to provide that certain other provisions of this Indenture cannot
be modified or waived without the consent of the Holder of each Outstanding
Security affected thereby, provided, however, that this clause
shall not be deemed to require the consent of any Holder with respect to changes
in the references to “the Trustee” and concomitant changes in this Section and
Section 10.7, or the deletion of this proviso, in accordance with the
requirements of Sections 6.11(b) and 9.1(8).

 

A supplemental indenture which changes or eliminates any covenant or
other provision of this Indenture which has expressly been included solely for
the benefit of one or more particular series of Securities, or which modifies
the rights of the Holders of Securities of such series with respect to such
covenant or other provision, shall be deemed not to affect the rights under
this Indenture of the Holders of Securities of any other series.

 

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

 

Section 9.3                                      Execution of Supplemental Indentures.

 

In executing, or accepting the additional trusts created by, any
supplemental indenture permitted by this Article or the modifications
thereby of the trusts created by this Indenture, the Trustee shall be entitled
to receive, and (subject to Section 6.1) shall be fully protected in
relying upon, an Officer’s Certificate and an Opinion of Counsel each stating
that the execution of such supplemental indenture is authorized or permitted by
this Indenture.  The Trustee may, but
shall not be obligated to, enter into any such supplemental indenture which
affects the Trustee’s own rights, duties or immunities under this Indenture or
otherwise.

 

Section 9.4                                      Effect of Supplemental Indentures.

 

Upon the execution of any supplemental indenture under this Article,
this Indenture shall be modified in accordance therewith, and such supplemental
indenture shall form a part of this Indenture for all purposes; and every
Holder of Securities theretofore or thereafter authenticated and delivered
hereunder shall be bound thereby.

 

Section 9.5                                      Conformity with Trust Indenture Act.

 

Every supplemental indenture executed pursuant to this Article shall
conform to the requirements of the Trust Indenture Act.

 

Section 9.6                                      Reference in Securities to Supplemental Indentures.

 

Securities of any series authenticated and delivered after the
execution of any supplemental indenture pursuant to this Article may, and
shall if required by the Trustee, bear a notation in form approved by the
Trustee as to any matter provided for in such supplemental 

 

42

 

indenture.  If
the Company shall so determine, new Securities of any series so modified as to
conform, in the opinion of the Trustee and the Company, to any such
supplemental indenture may be prepared and executed by the Company and
authenticated and delivered by the Trustee in exchange for Outstanding Securities
of such series.

 

ARTICLE X

COVENANTS

 

Section 10.1                                Payment of Principal, Premium and Interest.

 

The Company covenants and agrees for the benefit of each series of
Securities that it will duly and punctually pay the principal of and any
premium and interest on the Securities of that series in accordance with the
terms of the Securities and this Indenture.

 

Section 10.2                                Maintenance of Office or Agency.

 

The Company will maintain in each Place of Payment for any series of
Securities an office or agency where Securities of that series may be presented
or surrendered for payment, where Securities of that series may be surrendered
for registration of transfer or exchange and where notices and demands to or
upon the Company in respect of the Securities of that series and this Indenture
may be served.  The Company will give
prompt written notice to the Trustee of the location, and any change in the
location, of such office or agency.  If at
any time the Company shall fail to maintain any such required office or agency
or shall fail to furnish the Trustee with the address thereof, such
presentations, surrenders, notices and demands may be made or served at the
Corporate Trust Officer of the Trustee, and the Company hereby appoints the
Trustee as its agent to receive all such presentations, surrenders, notices and
demands.

 

The Company may also from time to time designate one or more other
offices or agencies where the Securities of one or more series may be presented
or surrendered for any or all such purposes and may from time to time rescind
such designations; provided, however, that no such designation or
rescission shall in any manner relieve the Company of its obligation to
maintain an office or agency in each Place of Payment for Securities of any
series for such purposes.  The Company
will give prompt written notice to the Trustee of any such designation or
rescission and of any change in the location of any such other office or
agency.

 

Section 10.3                                Money for Securities Payments to Be Held in Trust.

 

If the Company shall at any time act as its own Paying Agent with
respect to any series of Securities, it will, on or before each due date of the
principal of or any premium or interest on any of the Securities of that
series, segregate and hold in trust for the benefit of the Persons entitled
thereto a sum sufficient to pay the principal and any premium and interest so
becoming due until such sums shall be paid to such Persons or otherwise
disposed of as herein provided and will promptly notify the Trustee of its action
or failure so to act.

 

Whenever the Company shall have one or more Paying Agents for any
series of Securities, it will, prior to each due date of the principal of or
any premium or interest on any Securities of that series, deposit with a Paying
Agent a sum sufficient to pay such amount, such 

 

43

 

sum to be held as provided by the Trust Indenture Act,
and (unless such Paying Agent is the Trustee) the Company will promptly notify
the Trustee of its action or failure so to act.

 

The Company will cause each Paying Agent for any series of Securities
other than the Trustee to execute and deliver to the Trustee an instrument in
which such Paying Agent shall agree with the Trustee, subject to the provisions
of this Section, that such Paying Agent will (i) comply with the
provisions of the Trust Indenture Act applicable to it as a Paying Agent and (ii) during
the continuance of any default by the Company (or any other obligor upon the
Securities of that series) in the making of any payment in respect of the
Securities of that series, and upon the written request of the Trustee,
forthwith pay to the Trustee all sums held in trust by such Paying Agent for
payment in respect of the Securities of that series.

 

The Company may at any time, for the purpose of obtaining the
satisfaction and discharge of this Indenture or for any other purpose, pay, or
by Company Order direct any Paying Agent to pay, to the Trustee all sums held
in trust by the Company or such Paying Agent, such sums to be held by the
Trustee upon the same trusts as those upon which such sums were held by the
Company or such Paying Agent; and, upon such payment by any Paying Agent to the
Trustee, such Paying Agent shall be released from all further liability with
respect to such money.

 

Any money deposited with the Trustee or any Paying Agent, or then held
by the Company, in trust for the payment of the principal of or any premium or
interest on any Security of any series and remaining unclaimed for two years after
such principal, premium or interest has become due and payable shall be paid to
the Company on Company Request, or (if then held by the Company) shall be
discharged from such trust; and the Holder of such Security shall thereafter,
as an unsecured general creditor, look only to the Company for payment thereof,
and all liability of the Trustee or such Paying Agent with respect to such
trust money, and all liability of the Company as trustee thereof, shall
thereupon cease; provided, however, that the Trustee or such
Paying Agent, before being required to make any such repayment, may at the
expense of the Company cause to be published once, in a newspaper published in
the English language, customarily published on each Business Day and of general
circulation in the City of New York, notice that such money remains unclaimed
and that, after a date specified therein, which shall not be less than 30 days
from the date of such publication, any unclaimed balance of such money then
remaining will be repaid to the Company.

 

Section 10.4                                Statement by Officers as to Default.

 

The Company will deliver to the Trustee, within 120 days after the end
of each fiscal year of the Company ending after the date hereof, an Officers’
Certificate, stating whether or not to the best knowledge of the signers
thereof the Company is in default in the performance and observance of any of
the terms, provisions and conditions of this Indenture (without regard to any
period of grace or requirement of notice provided hereunder) and, if the
Company shall be in default, specifying all such defaults and the nature and
status thereof of which they may have knowledge.

 

44

 

Section 10.5           Existence.

 

Subject to Article Eight, the Company will do or cause to be done
all things necessary to preserve and keep in full force and effect its
existence, rights (charter and statutory) and franchises; provided, however,
that the Company shall not be required to preserve any such right or franchise
if the Board of Directors shall determine that the preservation thereof is no
longer desirable in the conduct of the business of the Company and that the
loss thereof is not disadvantageous in any material respect to the Holders.

 

Section 10.6           Payment
of Taxes and Other Claims.

 

The Company will pay or discharge or cause to be paid or discharged,
before the same shall become delinquent, (1) all taxes, assessments and
governmental charges levied or imposed upon the Company or any Subsidiary or
upon the income, profits or property of the Company or any Subsidiary, and (2) all
lawful claims for labor, materials and supplies which, if unpaid, might by law
become a lien upon the property of the Company or any Subsidiary; provided,
however, that the Company shall not be required to pay or discharge or
cause to be paid or discharged any such tax, assessment, charge or claim whose
amount, applicability or validity is being contested in good faith by appropriate
proceedings.

 

Section 10.7           Waiver
of Certain Covenants.

 

The Company may omit in any particular instance to comply with any
term, provision or condition set forth in Sections 10.5 and 10.6, inclusive,
with respect to the Securities of any series if before the time for such
compliance the Holders of at least a majority in principal amount of the
Outstanding Securities of such series shall, by Act of such Holders, either
waive such compliance in such instance or generally waive compliance with such
term, provision or condition, but no such waiver shall extend to or affect such
term, provision or condition except to the extent so expressly waived, and,
until such waiver shall become effective, the obligations of the Company and
the duties of the Trustee in respect of any such term, provision or condition
shall remain in full force and effect.

 

ARTICLE XI

REDEMPTION OF SECURITIES

 

Section 11.1           Applicability
of Article.

 

Securities of any series which are redeemable before their Stated
Maturity shall be redeemable in accordance with their terms and (except as
otherwise specified as contemplated by Section 3.1 for Securities of any
series) in accordance with this Article.

 

Section 11.2           Election
to Redeem; Notice to Trustee.

 

The election of the Company to redeem any Securities shall be evidenced
by a Board Resolution.  In case of any
redemption at the election of the Company of less than all the Securities of
any series, the Company shall, at least 60 days prior to the Redemption Date
fixed by the Company (unless a shorter notice shall be satisfactory to the
Trustee), notify the Trustee 

 

45

 

of such Redemption Date, of the principal amount of
Securities of such series to be redeemed and, if applicable, of the tenor of
the Securities to be redeemed.  In the
case of any redemption of Securities prior to the expiration of any restriction
on such redemption provided in the terms of such Securities or elsewhere in
this Indenture, the Company shall furnish the Trustee with an Officers’
Certificate evidencing compliance with such restriction.

 

Section 11.3           Selection
by Trustee of Securities to Be Redeemed.

 

If less than all the Securities of any series are to be redeemed
(unless all of the Securities of such series and of a specified tenor are to be
redeemed), the particular Securities to be redeemed shall be selected not more
than 60 days prior to the Redemption Date by the Trustee, from the Outstanding
Securities of such series not previously called for redemption, by such method
as the Trustee shall deem fair and appropriate and which may provide for the
selection for redemption of portions (equal to the minimum authorized
denomination for Securities of that series or any integral multiple thereof) of
the principal amount of Securities of such series of a denomination larger than
the minimum authorized denomination for Securities of that series.  If less than all of the Securities of such
series and of a specified tenor are to be redeemed, the particular Securities to
be redeemed shall be selected not more than 60 days prior to the Redemption
Date by the Trustee, from the Outstanding Securities of such series and
specified tenor not previously called for redemption in accordance with the
preceding sentence.

 

The Trustee shall promptly notify the Company in writing of the
Securities selected for redemption and, in the case of any Securities selected
for partial redemption, the principal amount thereof to be redeemed.

 

For all purposes of this Indenture, unless the context otherwise
requires, all provisions relating to the redemption of Securities shall relate,
in the case of any Securities redeemed or to be redeemed only in part, to the
portion of the principal amount of such Securities which has been or is to be
redeemed.

 

Section 11.4           Notice
of Redemption.

 

Notice of redemption shall be given by first-class mail, postage
prepaid, mailed not less than 30 nor more than 60 days prior to the Redemption
Date, to each Holder of Securities to be redeemed, at his address appearing in
the Security Register.

 

All notices of redemption shall state:

 

(1)           the Redemption Date,

 

(2)           the Redemption
Price,

 

(3)           if less than all the
Outstanding Securities of any series are to be redeemed, the identification
(and, in the case of partial redemption of any Securities, the principal
amounts) of the particular Securities to be redeemed,

 

46

 

(4)           that on the
Redemption Date the Redemption Price will become due and payable upon each such
Security to be redeemed and, if applicable, that interest thereon will cease to
accrue on and after said date,

 

(5)           the place or places
where such Securities are to be surrendered for payment of the Redemption
Price, and

 

(6)           that the redemption
is for a sinking fund, if such is the case.

 

Notice of redemption of Securities to be redeemed at the election of
the Company shall be given by the Company or, at the Company’s request, by the
Trustee in the name and at the expense of the Company.

 

Section 11.5           Deposit
of Redemption Price.

 

Prior to any Redemption Date, the Company shall deposit with the
Trustee or with a Paying Agent (or, if the Company is acting as its own Paying
Agent, segregate and hold in trust as provided in Section 10.3) an amount
of money sufficient to pay the Redemption Price of, and (except if the
Redemption Date shall be an Interest Payment Date) accrued interest on, all the
Securities which are to be redeemed on that date.

 

Section 11.6           Securities
Payable on Redemption Date.

 

Notice of redemption having been given as aforesaid, the Securities so
to be redeemed shall, on the Redemption Date, become due and payable at the
Redemption Price therein specified, and from and after such date (unless the
Company shall default in the payment of the Redemption Price and accrued
interest) such Securities shall cease to bear interest.  Upon surrender of any such Security for
redemption in accordance with said notice, such Security shall be paid by the
Company at the Redemption Price, together with accrued interest to the
Redemption Date; provided, however, that, unless otherwise
specified as contemplated by Section 3.1, installments of interest whose
Stated Maturity is on or prior to the Redemption Date shall be payable to the
Holders of such Securities, or one or more Predecessor Securities, registered
as such at the close of business on the relevant record dates according to
their terms and the provisions of Section 3.7.

 

If any Security called for redemption shall not be so paid upon
surrender thereof for redemption, the principal and any premium shall, until
paid, bear interest from the Redemption Date at the rate prescribed therefor in
the Security.

 

Section 11.7           Securities
Redeemed in Part.

 

Any Security which is to be redeemed only in part shall be surrendered at
a Place of Payment therefor (with, if the Company or the Trustee so requires,
due endorsement by, or a written instrument of transfer in form satisfactory to
the Company and the Trustee duly executed by, the Holder thereof or his
attorney duly authorized in writing), and the Company shall execute, and the
Trustee shall authenticate and deliver to the Holder of such Security without
service charge, a new Security or Securities of the same series and of like
tenor, of any authorized denomination as requested by such Holder, in aggregate
principal amount equal to 

 

47

 

and in exchange for the unredeemed portion of the
principal of the Security so surrendered. 
If a Book-Entry Security is so surrendered, such new Security so issued
shall be a new Book-Entry Security.

 

ARTICLE XII

SINKING FUNDS

 

Section 12.1           Applicability
of Article.

 

The provisions of this Article shall be applicable to any sinking
fund for the retirement of Securities of a series except as otherwise specified
as contemplated by Section 3.1 for Securities of such series.

 

The minimum amount of any sinking fund payment provided for by the
terms of Securities of any series is herein referred to as a “mandatory sinking
fund payment,” and any payment in excess of such minimum amount provided for by
the terms of Securities of any series is herein referred to as an “optional
sinking fund payment.” If provided for by the terms of Securities of any
series, the cash amount of any sinking fund payment may be subject to reduction
as provided in Section 12.2.  Each
sinking fund payment shall be applied to the redemption of Securities of any
series as provided for by the terms of Securities of such series.

 

Section 12.2           Satisfaction
of Sinking Fund Payments with Securities.

 

The Company (1) may deliver Outstanding Securities of a series
(other than any previously called for redemption) and (2) may apply as a
credit Securities of a series which have been redeemed either at the election
of the Company pursuant to the terms of such Securities or through the
application of permitted optional sinking fund payments pursuant to the terms
of such Securities, in each case in satisfaction of all or any part of any
sinking fund payment with respect to the Securities of such series required to
be made pursuant to the terms of such Securities as provided for by the terms
of such series; provided that such Securities have not been previously
so credited.  Such Securities shall be
received and credited for such purpose by the Trustee at the Redemption Price
specified in such Securities for redemption through operation of the sinking
fund and the amount of such sinking fund payment shall be reduced accordingly.

 

Section 12.3           Redemption
of Securities for Sinking Fund.

 

Not less than 60 days prior to each sinking fund payment date for any
series of Securities, the Company will deliver to the Trustee an Officers’
Certificate specifying the amount of the next ensuing sinking fund payment for
that series pursuant to the terms of that series, the portion thereof, if any,
which is to be satisfied by payment of cash and the portion thereof, if any,
which is to be satisfied by delivering and crediting Securities of that series
pursuant to Section 12.2 and will also deliver to the Trustee any
Securities to be so delivered. Not less than 45 days before each such sinking
fund payment date the Trustee shall select the Securities to be redeemed upon
such sinking fund payment date in the manner specified in Section 11.3 and
cause notice of the redemption thereof to be given in the name of and at the
expense of the Company in the manner 

 

48

 

provided in Section 11.4.  Such notice having been duly given, the
redemption of such Securities shall be made upon the terms and in the manner
stated in Sections 11.6 and 11.7.

 

ARTICLE XIII

DEFEASANCE AND COVENANT DEFEASANCE

 

Section 13.1           Applicability
of Article; Company’s Option to Effect Defeasance or Covenant Defeasance.

 

If pursuant to Section 3.1 provision is made for either or both of
(a) defeasance of the Securities of a series under Section 13.2 or (b) covenant
defeasance of the Securities of a series under Section 13.3, then the
provisions of such Section or Sections, as the case may be, together with
the other provisions of this Article Thirteen, shall be applicable to the
Securities of such series, and the Company may at its option by Board
Resolution, at any time, with respect to the Securities of such series, elect
to have either Section 13.2 (if applicable) or Section 13.3 (if
applicable) be applied to the Outstanding Securities of such series upon
compliance with the conditions set forth below in this Article Thirteen.

 

Section 13.2           Defeasance
and Discharge.

 

Upon the Company’s exercise of the above option applicable to this
Section, the Company shall be deemed to have been discharged from its
obligations with respect to the Outstanding Securities of such series on and
after the date the conditions precedent set forth below are satisfied
(hereinafter, “defeasance”).  For this
purpose, such defeasance means that the Company shall be deemed to have paid
and discharged the entire indebtedness represented by the Outstanding
Securities of such series and to have satisfied all its other obligations under
such Securities and this Indenture insofar as such Securities are concerned
(and the Trustee, at the expense of the Company, shall execute proper
instruments acknowledging the same), except for the following which shall
survive until otherwise terminated or discharged thereunder: (A) the
rights of Holders of Outstanding Securities of such series to receive, solely
from the trust fund described in Section 13.4 as more fully set forth in
such Section, payments of the principal of (and premium and interest, if any,
on) such Securities when such payments are due, (B) the Company’s
obligations with respect to such Securities under Sections 3.4, 3.5, 3.6, 10.2
and 10.3 and such obligations as shall be ancillary thereto, (C) the
rights, powers, trusts, duties, immunities and other provisions in respect of
the Trustee hereunder and (D) this Article Thirteen.  Subject to compliance with this Article Thirteen,
the Company may exercise its option under this Section 13.2
notwithstanding the prior exercise of its option under Section 13.3 with
respect to the Securities of such series.

 

Section 13.3           Covenant
Defeasance.

 

Upon the Company’s exercise of the above option applicable to this
Section, the Company shall be released from its obligations under Sections 8.1,
10.5 and 10.6 (and any covenant applicable to such Securities that are
determined pursuant to Section 3.1 to be subject to this provision) and
the occurrence of an event specified in Section 5.1(4) (with respect
to any of Sections 8.1, 10.5 or 10.6) (and any other Event of Default
applicable to such Securities that 

 

49

 

are determined pursuant to Section 3.1 to be
subject to this provision) shall not be deemed to be an Event of Default with
respect to the Outstanding Securities of such series on and after the date the
conditions set forth below are satisfied (hereinafter, “covenant defeasance”).  For this purpose, such covenant defeasance
means that, with respect to the Outstanding Securities of such series, the
Company may omit to comply with and shall have no liability in respect of any
term, condition or limitation set forth in any such Section or clause
whether directly or indirectly by reason of any reference elsewhere herein to
any such Section or clause or by reason of any reference in any such Section or
clause to any other provision herein or in any other document, but the
remainder of this Indenture and such Securities shall be unaffected thereby.

 

Section 13.4           Conditions
to Defeasance or Covenant Defeasance.

 

The following shall be the conditions precedent to application of
either Section 13.2 or Section 13.3 to the Outstanding Securities of
such series:

 

(1)           The Company shall
irrevocably have deposited or caused to be deposited with the Trustee (or
another trustee satisfying the requirements of Section 6.9 who shall agree
to comply with the provisions of this Article Thirteen applicable to it)
as trust funds in trust for the purpose of making the following payments,
specifically pledged as security for, and dedicated solely to, the benefit of
the Holders of such Securities, (A) money in an amount, or (B) U.S.
Government Obligations which through the scheduled payment of principal and
interest in respect thereof in accordance with their terms will provide, not
later than one day before the due date of any payment, money in an amount, or (C) a
combination thereof, sufficient, without reinvestment, in the opinion of a
nationally recognized firm of independent public accountants expressed in a
written certification thereof delivered to the Trustee, to pay and discharge,
and which shall be applied by the Trustee (or other qualifying trustee) to pay
and discharge, the principal of (and premium and interest, if any on) the
Outstanding Securities of such series on the Maturity of such principal, or
premium and interest, if any.  Before
such a deposit the Company may make arrangements satisfactory to the Trustee
for the redemption of Securities at a future date or dates in accordance with Article Eleven,
which shall be given effect in applying the foregoing.  For this purpose, “U.S. Government
Obligations” means securities that are (x) direct obligations of the
United States of America for the payment of which its full faith and credit is
pledged or (y) obligations of a Person controlled or supervised by and
acting as an agency or instrumentality of the United States of America the
payment of which is unconditionally guaranteed as a full faith and credit
obligation by the United States of America, which, in either case, are not
callable or redeemable at the option of the issuer thereof, and shall also
include a depository receipt issued by a bank (as defined in section 3(a)(2) of
the Securities Act of 1933, as amended) as custodian with respect to any such
U.S. Government Obligation or a specific payment of principal of or interest on
any such U.S. Government Obligation held by such custodian for the account of
the holder of such depository receipt, provided that (except as required by
law) such custodian is not authorized to make any deduction from the amount
payable to the holder of such depositary receipt from any amount received by
the custodian in respect of the U.S. Government Obligation or the specific
payment of principal of or interest on the U.S. Government Obligation evidenced
by such depositary receipt.

 

50

 

(2)           No Event of Default
or event which with notice or lapse of time or both would become an Event of
Default with respect to the Securities of such series shall have occurred and
be continuing (A) on the date of such deposit or (B) insofar as
subsections 501(5) and (6) are concerned, at any time during the
period ending on the 121st day after the date of such deposit or, if longer,
ending on the day following the expiration of the longest preference period
applicable to the Company in respect of such deposit (it being understood that
the condition in this condition shall not be deemed satisfied until the
expiration of such period).

 

(3)           Such defeasance or
covenant defeasance shall not (A) cause the Trustee for the Securities of
such series to have a conflicting interest as defined in Section 6.8 or
for purposes of the Trust Indenture Act with respect to any securities of the
Company or (B) result in the trust arising from such deposit to
constitute, unless it is qualified as, a regulated investment company under the
Investment Company Act of 1940, as amended.

 

(4)           Such defeasance or
covenant defeasance shall not result in a breach or violation of, or constitute
a default under, this Indenture or any other agreement or instrument to which
the Company is a party or by which it is bound.

 

(5)           In the case of an
election under Section 13.2, the Company shall have delivered to the
Trustee an Opinion of Counsel stating that (x) the Company has received
from, or there has been published by, the Internal Revenue Service a ruling, or
(y) since the date of this Indenture there has been a change in the
applicable Federal income tax law, in either case to the effect that, and based
thereon such opinion shall confirm that, the Holders of the Outstanding
Securities of such series will not recognize income, gain or loss for Federal
income tax purposes as a result of such defeasance and will be subject to
Federal income tax on the same amounts, in the same manner and at the same
times as would have been the case if such defeasance had not occurred.

 

(6)           In the case of an
election under Section 13.3, the Company shall have delivered to the
Trustee an Opinion of Counsel to the effect that the Holders of the Outstanding
Securities of such series will not recognize income, gain or loss for Federal
income tax purposes as a result of such covenant defeasance and will be subject
to Federal income tax on the same amounts, in the same manner and at the same
times as would have been the case if such covenant defeasance had not occurred.

 

(7)           Such defeasance or
covenant defeasance shall be effected in compliance with any additional terms,
conditions or limitations which may be imposed on the Company in connection
therewith pursuant to Section 3.1.

 

(8)           The Company shall
have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent provided for relating to
either the defeasance under Section 13.2 or the covenant defeasance under Section 13.3
(as the case may be) have been complied with.

 

51

 

Section 13.5           Deposited
Money and U.S. Government Obligations to be Held in Trust; Other Miscellaneous
Provisions.

 

Subject to the provisions of the last paragraph of Section 10.3,
all money and U.S. Government Obligations (including the proceeds thereof)
deposited with the Trustee (or other qualifying trustee — collectively, for
purposes of this Section 13.5, the “Trustee”) pursuant to Section 13.4
in respect of the Outstanding Securities of such series shall be held in trust
and applied by the Trustee, in accordance with the provisions of such
Securities and this Indenture, to the payment, either directly or through any
Paying Agent (but not including the Company acting as its own Paying Agent) as
the Trustee may determine, to the Holders of such Securities, of all sums due
and to become due thereon in respect of principal (and premium, if any) and
interest, but such money need not be segregated from other funds except to the
extent required by law.

 

The Company shall pay and indemnify the Trustee against any tax, fee or
other charge imposed on or assessed against the money or U.S. Government
Obligations deposited pursuant to Section 13.4 or the principal and
interest received in respect thereof.

 

Anything herein to the contrary notwithstanding, the Trustee shall
deliver or pay to the Company from time to time upon Company Request any money
or U.S. Government Obligations held by it as provided in Section 13.4
which, in the opinion of a nationally recognized firm of independent public
accountants expressed in a written certification thereof delivered to the
Trustee, are in excess of the amount thereof which would then be required to be
deposited to effect an equivalent defeasance or covenant defeasance.

 

Section 13.6           Reinstatement.

 

If the Trustee or the Paying Agent is unable to apply any money in
accordance with Section 13.2 or 13.3 by reason of any order or judgment or
any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, then the Company’s obligations under the
Securities of such series shall be revived and reinstated as though no deposit
had occurred pursuant to this Article Thirteen until such time as the
Trustee or Paying Agent is permitted to apply all such money in accordance with
Section 13.2 or 13.3; provided, however, that if the Company
makes any payment of principal of (and premium, if any) or interest on any such
Security following the reinstatement of its obligations, the Company shall be
subrogated to the rights of the Holders of such Securities to receive such
payment from the money held by the Trustee or the Paying Agent.

 

This instrument may be executed in any number of counterparts, each of
which so executed shall be deemed to be an original, but all such counterparts
shall together constitute but one and the same instrument.

 

52

 

IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be
duly executed, and their respective corporate seals to be hereunto affixed and
attested, all as of the day and year first above written.

 

	
   

  	
  ALEXANDRIA REAL ESTATE
  EQUITIES, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Attest:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Attest:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
					

 

53

 

	
  STATE OF CALIFORNIA

  	
  )

  	
   

  
	
   

  	
  )

  	
  SS.

  
	
  COUNTY OF LOS ANGELES

  	
  )

  	
   

  

 

On
                   ,
200    , before me,
                                                  ,
a Notary Public, personally appeared                                              ,
personally known to me (or proved to me on the basis of satisfactory evidence)
to be the person whose name is subscribed to the within instrument and
acknowledged to me that he/she executed the same in his/her authorized
capacity, and that by his/her signature on the instrument the person, or the
entity upon behalf of which the person acted, executed the instrument.

 

 

	
   

  	
   

  

 

 

	
  STATE OF

  	
  )

  	
   

  
	
   

  	
  )

  	
  ss:

  
	
  COUNTY OF

  	
  )

  	
   

  

 

On the     th day of
                  ,
200  , before me personally came
                      ,
to me known, who, being by me duly sworn, did depose and say that he is
                                  
of                               ,
one of the corporations described in and which executed the foregoing
instrument; that he knows the seal of said corporation; that the seal affixed
to said instrument is such corporate seal; that it was so affixed by authority
of the Board of Directors of said corporation, and that he signed his name
thereto by like authority.Exhibit 10.1

 

LICENSE AGREEMENT

 

This
License Agreement (this “Agreement”) is made as of the 30th day of
March, 2009 (the “Effective Date”) by and between Axcelis Technologies, Inc.,
a corporation incorporated under the laws of Delaware (“Axcelis”),
and SEN Corporation, an SHI and Axcelis Company, a company organized as a
kabushiki kaisha under the laws of Japan (“SEN”).  Axcelis and SEN are also referred to
collectively as the “Parties” and individually as a “Party.”  Unless otherwise defined herein, all capitalized
terms used in this Agreement shall have the meanings ascribed to them in the
Share Purchase Agreement by and among the Parties and Sumitomo Heavy
Industries, Ltd. (“SHI”), dated as of February 26, 2009 (“Purchase
Agreement”).  Reference is made to
the following facts and circumstances:

 

A.            Axcelis, SEN and SHI have entered
into the Purchase Agreement, pursuant to which SHI will purchase, subject
to the terms and conditions of the Purchase Agreement, Axcelis’ equity
ownership in SEN, and pursuant to which SEN will make a payment to Axcelis,
subject to the terms and conditions of such Purchase Agreement, in
consideration for the obligations assumed by Axcelis and the rights received by
SEN under this Agreement;

 

B.            In connection with the Purchase Agreement, Axcelis and
SHI will terminate their joint venture relationship with respect to SEN;
Axcelis, SEN and SHI will terminate the Terminated Agreements pursuant to the
Termination Agreement; and Axcelis, SEN and SHI will enter into the
Cross-Release, pursuant to which each of the parties will fully and completely
settle, waive, release and relinquish any and all claims and rights that such
party has or may have had against another party in accordance with such
Cross-Release;

 

C.            Axcelis desires to grant, and SEN
desires to receive, a license to the Axcelis Licensed Intellectual Property (as
defined below), in accordance with the terms and conditions of this Agreement;
and

 

D.            SEN desires to grant, and Axcelis
desires to receive, a license to the SEN Licensed Intellectual Property (as
defined below), in accordance with the terms and conditions of this Agreement.

 

NOW, THEREFORE, in
consideration of the foregoing and the covenants and promises set forth herein
and in the Purchase Agreement, and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the Parties agree
as follows:

 

1.              DEFINITIONS.

 

1.1.                       “Affiliate” has the meaning set forth in the Purchase Agreement.

 

1.2.                       “Axcelis
Licensed Intellectual Property” means all Intellectual Property (as defined
below) owned or controlled by Axcelis or its Affiliates as of the Effective
Date, provided that Axcelis Licensed Intellectual Property shall not include
those Axcelis Patents set forth on Exhibit A hereto.  Notwithstanding the foregoing, to the extent
that SEN or its permitted assignee can show that SEN used or otherwise
exploited any of the inventions covered by any Patent listed on Exhibit A
prior to the Effective Date, such Patent shall be deemed to be included in the
Axcelis Licensed Intellectual Property to the extent of such use or
exploitation by SEN.

 

 

1.3.                       “Axcelis
Products” means all current and future Products (as defined
below) of Axcelis or its Subsidiaries that Axcelis or its Subsidiaries manufacture
(or has manufactured, in accordance herewith).

 

1.4.                       “Change of
Control” means (a) the consummation of a reorganization,
merger or consolidation, or sale or other disposition of all or substantially
all of the assets of a Party; or (b) the acquisition by any individual,
entity or group of ownership of more than fifty percent (50%) of either (i) the
then-outstanding shares of common stock of a Party, or (ii) the combined
voting power of the then outstanding voting securities of a Party entitled to
vote generally in the election of directors.

 

1.5.                       “Intellectual
Property” means any and all proprietary rights recognized in any
jurisdiction throughout the world,  in, to and under: (a) Patents (as
defined below); and (b) Technical Information (as defined below).  Notwithstanding the foregoing, Intellectual
Property does not include any Trademarks (as defined below).

 

1.6.                       “Party”
and “Parties” are defined in the preamble to this Agreement.

 

1.7.                       “Patents”
means any and all patents that issue from any and all applications for patents
and any and all patents (including all provisionals, divisionals,
continuations, continuations-in-part, extensions, renewals, reissues and
reexaminations of such patents or patents that issue from such applications,
and including all corresponding foreign patents) that are entitled to an
effective filing date prior to the Effective Date,
provided that such patents relate or are relevant to ion implantation systems
and/or flat panel systems, their use or manufacture, and including any software,
source code, components, modules or parts for such systems.

 

1.8.                       “Products”
means any and all systems and other products, including, without limitation,
ion implant systems and flat panel systems, and including any and all software,
source code, components, modules and parts for such systems or other products.

 

1.9.                       “SEN
Licensed Intellectual Property” means all Intellectual Property owned by
SEN as of the Effective Date, provided that SEN Licensed Intellectual Property
shall not include the following SEN Patent: 
Japan Patent Number P4046748. 
Notwithstanding the foregoing, to the extent that Axcelis or its
permitted assignee can show that Axcelis used or otherwise exploited any of the
inventions covered by such excluded SEN Patent prior to the Effective Date,
such Patent shall be deemed to be included in the SEN Licensed Intellectual
Property, to the extent permitted by applicable law and to the extent of such
use or exploitation by Axcelis.

 

1.10.                “SEN
Products” means all current and future Products of SEN or its Subsidiaries
that SEN or its Subsidiaries manufactures (or has manufactured, in accordance
herewith).

 

1.11.                “Subsidiary” of any Party means any entity that is a
majority-owned subsidiary of such Party, for so long as such entity remains a
majority-owned subsidiary of such Party.

 

1.12.                “SVB Loan Documents” means the Loan and
Security Agreement, dated as of April 23, 2008, by and between Silicon
Valley Bank, Axcelis and certain subsidiaries or 

 

2

 

affiliates of Axcelis (the “SVB Loan Agreement”) and
any Loan Documents (as defined in the SVB Loan Agreement), and as amended from
time to time.

 

1.13.                “Technical Information”
means any trade secrets, confidential and/or proprietary information, works of
authorship and other copyrightable subject matter, technical information,
know-how, engineering drawings, data, processes, bills of materials, detailed
drawings and specifications, descriptions of assembly and manufacturing
procedures, computerized production control systems, software and related
source code, quality and inspection standards, drawings of jigs and fixtures,
sales literature and reports related to the design, assembly and manufacture of
any Products, solely where such items have been provided or disclosed by one
Party to the other Party prior to the Effective Date.  Notwithstanding the foregoing or anything in
this Agreement to the contrary, Technical Information shall not include, and no
license or other right is granted hereunder to, any trade secrets, information,
copyrightable subject matter, documents, software, source code or other
materials of any kind or nature (a) provided by a Party solely pursuant to
or in connection with the arbitration between Axcelis and SEN before the Japanese
Commercial Arbitration Association, Case No. 06-07, Tokyo and subject to
the Confidentiality and Nondisclosure Agreement between Axcelis and SEN dated
as of July 2, 2007 (“2007 NDA”), or (b) provided by Axcelis to SHI
solely pursuant to the non-disclosure and standstill agreement among Axcelis,
SHI and TPG Capital L.P. dated June 5, 2008 (“2008 NDA”); for purpose of
clarification, the exclusions from the definition of “Technical Information”
set forth in Section 1.13(a) and (b) above do not apply to the
extent that any such trade secrets, information, copyrightable subject matter,
documents, software, source code or other materials were also provided by a
Party to the other Party outside of or apart from such arbitration and 2007 NDA
or from such 2008 NDA.

 

1.14.                “Territory” means worldwide.

 

1.15.                “Trademarks” means any rights or titles in trade names, domain names,
trademarks and service marks (including any applications or registrations
related thereto and the goodwill associated therewith).

 

2.              LICENSE
GRANTS.

 

2.1.                       Licenses.

 

2.1.1.            License Grant
to SEN.  Subject to the terms and
conditions of this Agreement (including SEN’s compliance therewith), Axcelis
hereby grants to SEN a non-exclusive, irrevocable, perpetual, royalty-free,
worldwide, non-sublicensable, non-transferable (except as expressly set forth
in Section 5.2) license under the Axcelis Licensed Intellectual Property
to reproduce, distribute, derive, perform, display, make, have made (but only
on behalf of, and pursuant to designs and specifications that are furnished by
and originate with, and only for transfer or sale by such “have made”
contractor back to, SEN, its Subsidiaries and/or SHI), use, import, export,
lease, offer to sell, sell and otherwise dispose of SEN Products, and to reproduce,
distribute, derive, perform, display and  use the
Technical Information in connection therewith, anywhere in the Territory;
provided, however, that, for a period of four (4) years from the Effective
Date, such license shall be a sole exclusive license in Japan with respect to ion implant systems and flat panel systems, meaning that Axcelis, its
Subsidiaries or its permitted assignee 

 

3

 

(pursuant
and subject to Section 5.2 below) may make and have made (but only on
behalf of,  and pursuant to designs and
specifications that are furnished by and originate with, and only for transfer
or sale by such “have made” contractor back to, Axcelis and its Subsidiaries,
or a permitted assignee) Axcelis Products in Japan, and may, directly or
through third parties, reproduce, distribute, derive, perform, display, use,
import, export, lease, offer to sell, sell and dispose of Axcelis Products in
Japan, but Axcelis or its permitted assignee pursuant to Section 5.2 below
may not authorize any third party to do any of the foregoing in Japan with
respect to ion implant systems and flat
panel systems other than Axcelis Products or on behalf of
an entity other than Axcelis or its permitted assignee.  Notwithstanding the foregoing grant by Axcelis
of a sole exclusive license in Japan, in the event that a claim of infringement
of one or more Japanese patents is made by a third party against Axcelis or its
permitted assignee in connection with one or more Axcelis Products, Axcelis or
its permitted assignee (as applicable) shall be entitled to grant a
non-exclusive, non-sublicensable, non-transferable license to a limited number
of Axcelis’ Japanese patents included within the Axcelis Licensed Intellectual
Property to such third party in connection with such third party’s Products,
solely as necessary to settle such third party’s patent infringement claim
against Axcelis or its permitted assignee, and provided that Axcelis or its
permitted assignee provides prior written notice to SEN of such license
grant.  Axcelis shall not exercise its rights,
including any moral rights, in contravention of the license and related
immunities granted herein.

 

2.1.2.            License Grant
to Axcelis.  Subject to the terms and
conditions of this Agreement (including Axcelis’ compliance therewith), SEN
hereby grants to Axcelis a non-exclusive, irrevocable, perpetual, royalty-free,
worldwide, non-sublicensable, non-transferable (except as expressly set forth
in Section 5.2) license under the SEN Licensed Intellectual Property to
reproduce, distribute, derive, perform, display, make, have made (but only on
behalf of, and pursuant to designs and specifications that are furnished by and
originate with, and only for transfer or sale by such “have made” contractor
back to, Axcelis and its Subsidiaries), use, import, export, lease, offer to
sell, sell and otherwise dispose of Axcelis Products, and to reproduce,
distribute, derive, perform, display and  use the
Technical Information in connection therewith, anywhere in the Territory;
provided, however, that,  for a period of
four (4) years from the Effective Date, such license shall be a sole
exclusive license in the United States with respect to ion implant systems and flat panel systems, meaning that SEN, its Subsidiaries
or its permitted assignee (pursuant and subject to Section 5.2 below) may
make and have made (but only on behalf of, and pursuant to designs and
specifications that are furnished by and originate with, and only for transfer
or sale by such “have made” contractor back to, SEN, its Subsidiaries and/or
SHI, or a permitted assignee) SEN Products in the United States, and may, directly
or through third parties, reproduce, distribute, derive, perform, display, use,
import, export, lease, offer to sell, sell and dispose of SEN Products in the
United States, but SEN or its permitted assignee pursuant to Section 5.2
below may not authorize any third party to do any of the foregoing in the
United States with respect to ion implant
systems and flat panel systems other
than SEN Products or on behalf of an entity other than SEN or its
permitted assignee.  Notwithstanding the
foregoing grant by SEN of a sole exclusive license in the United States, in the
event that a claim of infringement of one or more U.S. patents is made by a
third party against SEN or its permitted assignee in connection with one or
more SEN Products, SEN or its 

 

4

 

permitted
assignee (as applicable) shall be entitled to grant a non-exclusive, non-sublicensable,
non-transferable license to a limited number of SEN’s U.S. patents included
within the SEN Licensed Intellectual Property to such third party in connection
with such third party’s Products, solely as necessary to settle such third
party’s patent infringement claim against SEN or its permitted assignee and
provided that SEN or its permitted assignee provides prior written notice to
Axcelis of such license grant.  SEN shall
not exercise its rights, including any moral rights, in contravention of the
license and related immunities granted herein.

 

2.2.                       No Other Rights
Granted.  Apart from the license rights
expressly set forth in this Agreement, (a) Axcelis (i) does not grant
and SEN does not receive any right, title or interest, or any security interest
or ownership interest, in the Axcelis Licensed Intellectual Property, (ii) disclaims
any implied licenses hereunder and (iii) reserves all rights not expressly
provided for herein; and (b) SEN (i) does not grant and Axcelis does
not receive any right, title or interest, or any security interest or ownership  interest, in the SEN Licensed Intellectual Property,
(ii) disclaims any implied licenses hereunder and (iii) reserves all
rights not expressly provided for herein. 
Notwithstanding anything in this Agreement to the contrary, no patent,
trade secret or other intellectual property rights of SHI or its Affiliates
(other than SEN) are licensed or otherwise transferred hereunder, nor shall any
subsequent merger or other corporate reorganization involving SHI (including
its Affiliates) and SEN result in any intellectual property owned or controlled
by SHI or its Affiliates (other than SEN) becoming subject to this Agreement.

 

2.3.                       Application of
Immunity.  The license
by each Party (as licensor Party) to the other Party (as licensee Party) as set
forth in Sections 2.1.1 (License Grant to SEN) and 2.1.2 (License Grant to
Axcelis) shall constitute a grant of immunity against any claim or action for
infringement (whether direct or contributory infringement, inducement to
infringe, or otherwise) of the Axcelis Licensed Intellectual Property (in the
case of Axcelis as the licensor Party) or the SEN Licensed Intellectual
Property (in the case of SEN as the licensor Party) against the licensee Party,
its Subsidiaries and, with respect to SEN as a licensee Party, SHI, and their
distributors, resellers, subcontractors, customers and users relating to their
use, importation, exportation, lease, offering to sell, sale or disposition of
such licensee Party’s Products (i.e., SEN Products, where SEN is the licensee
Party; and Axcelis Products, where Axcelis is the licensee Party) made or sold
in accordance with this Agreement (which immunity shall also apply to the
licensee Party’s Subsdiaries’ manufacture of such licensee Party’s Products;
and which immunity shall further apply to any “have made” contractor’s
manufacture of the licensee Party’s Products in accordance with Section 2.1.1
or 2.1.2, as applicable), and regardless of the country in which the use,
importation, exportation, lease, offering to sell, sale or disposition
occurs.  Such immunity shall apply (a) to
such licensee Party’s Products, and (b) to combinations of such Products
with other elements and the use of such Products in performing a method, but
only to the extent that the licensee Party’s Product itself (and not such
combination or method) embodies the essential features of the licensor Party’s
patented invention at issue.  The
immunities set forth in this Section 2.3 are irrevocable, perpetual,
royalty-free and worldwide.

 

2.4.                       Intellectual
Property Transfer.  Should
Axcelis seek to assign, sell, exclusively license or otherwise transfer any
interest in or to any of the rights in the Axcelis Licensed Intellectual
Property to a third party, any such interest shall be subject to the terms and
conditions of this Agreement, including the license granted to SEN in Section 2.1.1
(and related limitations thereon) and the related immunities (and related
limitations thereon) 

 

5

 

granted
in Section 2.3.  Likewise, should
SEN seek to assign, sell, exclusively license or otherwise transfer any
interest in or to any of the rights in the SEN Licensed Intellectual Property
to a third party, any such interest shall be subject to the terms and
conditions of this Agreement, including the license granted to Axcelis in Section 2.1.2
(and related limitations thereon) and the related immunities (and related
limitations thereon) granted in Section 2.3.  For the avoidance of doubt, the transferring
Party shall cause such license grant and related immunities to be so binding
and to remain in effect as set forth herein; and any such transferring Party,
its successors and assigns will defend the other Party, such other Party’s
Subsidiaries, and their respective distributors, resellers, subcontractors,
customers and users (and, with respect to SEN as the licensee Party, SHI) (for
purposes of this Section 2.4, the “Indemnified Parties”), from and against
any third-party claim, suit or proceeding (“Claim”) resulting from any breach
(or any claim that, if true, would constitute a breach) of the transferring
Party’s obligations hereunder (including any failure by such transferring Party
to cause its license grant and/or related immunities hereunder to be binding
and to remain in effect), and will indemnify and hold harmless such Indemnified
Parties from any damages, costs, losses or liability (including attorneys’ fees
and related costs) related to or resulting from such Claim.

 

2.5.                       No Further
Payments.  The Parties
acknowledge that, upon payment to Axcelis of the monies to be paid under the
Purchase Agreement in connection with this Agreement, no further payments shall
be owed in connection with the licenses granted hereunder.

 

2.6.                       Clarification
With Respect to Sole Exclusive License Grants.  For purpose of clarification, with respect to
the sole exclusive license for Japan granted by Axcelis in Section 2.1.1
above and the sole exclusive license for the United States granted by SEN in Section 2.1.2
above, after the four (4) -year period for such sole exclusive licenses
expires, each licensee Party will continue to have a non-exclusive license
(albeit not a sole exclusive license) in the applicable Territory (i.e., Japan with respect to SEN as the licensee Party and
the United States with respect to Axcelis as the licensee Party), subject to
the terms and conditions of this Agreement.

 

3.              LIMITED
WARRANTY AND DISCLAIMERS.

 

3.1.                       Limited
Warranty.  Axcelis and
SEN each represents and warrants that (a) it has the full power and
authority to enter into this Agreement and to perform its obligations
hereunder; (b) it has the requisite right and authority to enter into this
Agreement and grant the rights and licenses hereunder, without the need for any
license, release, consent, approval or other immunity not yet obtained or
issued; (c) it has not previously granted and will not grant any right or
license in such Party’s Intellectual Property licensed hereunder that are
inconsistent with the rights and licenses granted herein; and (d)  it
is the exclusive owner of all right, title and interest in and to each item of
Intellectual Property licensed by such Party hereunder, and that the
Intellectual Property licensed by such Party hereunder is and will remain free
of any encumbrance, lien or security interest, provided, however, Axcelis,
prior to the Effective Date, has granted to Silicon Valley Bank (“Bank”) a
security interest pursuant to the SVB Loan Documents, which security interest
includes the Axcelis Licensed Intellectual Property.  In connection with the SVB Loan Documents,
Axcelis further represents and warrants that (i) it has obtained a
binding, enforceable written consent to this Agreement (including the terms and
conditions hereof) from Bank, which consent provides that such security
interest is subject to the license granted by Axcelis hereunder and that no
enforcement of Bank’s rights with respect to such Intellectual Property shall
terminate, modify, alter or 

 

6

 

extinguish
the license granted by Axcelis hereunder, (ii) there shall be no
disruption of, interference with or termination (or attempted termination) by
the Bank or any other third party of any of the rights and immunities granted
by Axcelis hereunder, (iii) Axcelis is otherwise the exclusive owner of
all right, title and interest in and to each item of Intellectual Property
licensed by Axcelis hereunder, and that the Axcelis Licensed Intellectual
Property otherwise is and will remain free of any encumbrance, lien or security
interest, and (iv) Axcelis agrees that this Agreement benefits from the
provisions of the Purchase Agreement, including without limitation Section 5.12
thereof, and Axcelis shall comply with the terms of Section 5.12.  With respect to this Section 3.1, each
licensor Party, its successors and assigns will defend the other Party, its
Subsidiaries, and their respective distributors, resellers, subcontractors,
customers and users, and, with respect to SEN as the licensee Party, SHI (for
purposes of this Section 3.1, the “Indemnified Parties”), from and against
any third-party claim, suit or proceeding (“Claim”) resulting from any breach
(or any claim that, if true, would constitute a breach) of the licensor Party’s
representations and warranties herein, and will indemnify and hold harmless
such Indemnified Parties from any damages, costs, losses or liability
(including attorneys’ fees and related costs) related to or resulting from such
Claim.

 

3.2.                       DISCLAIMER.  EXCEPT AS EXPRESSLY PROVIDED IN SECTION 3.1
ABOVE, THE PARTIES’ INTELLECTUAL PROPERTY LICENSED HEREUNDER IS PROVIDED “AS
IS,” AND NEITHER PARTY RECEIVES ANY WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED,
BY STATUTE, COMMUNICATION OR CONDUCT WITH THE OTHER PARTY, OR OTHERWISE.  EACH PARTY SPECIFICALLY DISCLAIMS ANY IMPLIED
WARRANTIES OF MERCHANTABILITY, FITNESS FOR A SPECIFIC PURPOSE OR
NON-INFRINGEMENT CONCERNING ITS INTELLECTUAL PROPERTY LICENSED HEREUNDER.  WITHOUT LIMITING THE FOREGOING, (A) NEITHER
PARTY PROVIDES A WARRANTY THAT ITS INTELLECTUAL PROPERTY LICENSED HEREUNDER OR
ANY PORTION THEREOF IS ERROR-FREE OR WILL OPERATE WITHOUT INTERRUPTION OR LOSS
OF DATA, AND NEITHER PARTY PROVIDES ANY WARRANTY REGARDING THE USE OF ITS
INTELLECTUAL PROPERTY LICENSED HEREUNDER OR THE RESULTS THEREFROM, INCLUDING,
WITHOUT LIMITATION, ITS CORRECTNESS, ACCURACY OR RELIABILITY AND (B) NOTHING
IN THIS AGREEMENT SHALL BE CONSTRUED AS (I) A WARRANTY OR REPRESENTATION
BY EITHER PARTY AS TO THE VALIDITY OR SCOPE OF ANY INTELLECTUAL PROPERTY
LICENSED HEREUNDER; (II) A WARRANTY OR REPRESENTATION THAT ANY ACTS
LICENSED OR IMMUNIZED HEREUNDER WILL BE FREE FROM INFRINGEMENT OF INTELLECTUAL
PROPERTY, OTHER THAN THOSE UNDER WHICH LICENSES, IMMUNITIES AND OTHER RIGHTS
HAVE BEEN GRANTED HEREUNDER; (III) AN AGREEMENT TO BRING OR PROSECUTE
ACTIONS OR SUITS AGAINST THIRD PARTIES FOR INFRINGEMENT OR AGREEMENT CONFERRING
ANY RIGHT TO BRING OR PROSECUTE ACTIONS OR SUITS AGAINST THIRD PARTIES FOR
INFRINGEMENT; OR (IV) CONFERRING ANY RIGHT TO USE, IN ADVERTISING,
PUBLICITY, OR OTHERWISE, ANY TRADEMARK OR TRADE NAME, OR ANY CONTRACTION,
ABBREVIATION OR SIMULATION THEREOF, OF EITHER PARTY.

 

7

 

3.3.                       No Support.  Nothing in this Agreement shall obligate
either Axcelis to provide any new copies or iterations of Technical Information
or any support for the Axcelis Licensed Intellectual Property, or SEN to
provide any new copies or iterations of Technical Information or any support
for the SEN Licensed Intellectual Property. 
Axcelis is under no obligation to develop or provide any alterations,
modifications, updates, enhancements, revisions, engineering changes or prior
or new versions or releases of the Axcelis Licensed Intellectual Property to
SEN, and SEN is under no obligation to develop or provide any alterations,
modifications, updates, enhancements, revisions, engineering changes or prior
or new versions or releases of the SEN Licensed Intellectual Property to
Axcelis.

 

4.              CONFIDENTIALITY.

 

4.1.                       With respect to
all Technical Information of a Party that was provided or disclosed by such
Party (“Disclosing Party”) to the other Party (“Receiving Party,”
and such Technical Information, “Confidential Information”), such
Receiving Party shall keep confidential, and shall cause its directors,
officers, employees (including, for the avoidance of doubt, part-time and
temporary workers and staff), agents and advisors (“Representatives”) to
keep confidential, such Confidential Information.  Notwithstanding the foregoing, Confidential
Information shall not include information that: 
(i) is or becomes generally available to the public other than as a
result of any disclosure or other action or inaction by a Receiving Party in
breach of this Agreement or any other obligation of confidentiality among or
between Axcelis, SEN or SHI; (ii) is or becomes known or available to a
Receiving Party or any of its Representatives on a non-confidential basis from
a source (other than the Disclosing Party or any of its Affiliates or
Representatives) that is not prohibited from disclosing such Confidential
Information by a contractual, legal or fiduciary obligation; or (iii) is
or was independently developed by a Receiving Party or any of its
Representatives without violation of any obligation under this Agreement.  Confidential Information may be disclosed by
a Receiving Party to its Subsidiaries, actual or potential distributors,
resellers, suppliers, subcontractors, customers,
consultants, attorneys, patent agents and users, and, with
respect to SEN as a Receiving Party, SHI (“Permitted Receivers”),
provided that such Permitted Receivers shall have been bound in writing by
restrictions regarding disclosure and use of such information comparable to and
no less restrictive than those set forth herein.

 

4.2.                       Each of the
Parties shall take the same degree of care that it uses to protect its own
confidential information of similar nature and importance (but in no event less
than reasonable care) to protect the confidentiality and avoid the unauthorized
disclosure, publication or dissemination of the Confidential Information.

 

4.3.                       If a Receiving
Party or any of its Representatives or Permitted Receivers are requested
pursuant to, or are required by, applicable law or regulation (including,
without limitation, any rule, regulation or policy statement of any national
securities exchange, market or automated quotation system on which such Party’s
securities are listed or quoted) or by legal process to disclose any
Confidential Information, such Receiving Party shall provide the Disclosing
Party with reasonably prompt notice of such request or requirement, in order to
enable the Disclosing Party (a) to seek an appropriate protective order or
other remedy, (b) to consult with Receiving Party with respect to taking
steps to resist or narrow the scope of such request or legal process or (c) to
waive compliance, in whole or in part, with the terms of this Agreement.  In the event that such 

 

8

 

protective order or other
remedy is not obtained, or the Disclosing Party waives compliance, in whole or
in part, with the terms of this Agreement, such Receiving Party, its
Representatives or its Permitted Receivers, as the case may be, shall use
commercially reasonable efforts to disclose only that portion of the
Confidential Information which such Receiving Party is advised by legal counsel
is legally required to be disclosed and exercise commercially reasonable
efforts to cooperate with the Disclosing Party to  obtain
confidential treatment for the Confidential Information so disclosed.

 

4.4.                       Each of the
Parties agrees that, due to the unique nature of the Confidential Information,
the unauthorized disclosure of the Confidential Information may cause
irreparable harm and significant injury to the Party, the extent of which will
be difficult to ascertain and for which there may be no adequate remedy at
law.  Accordingly, each of the Parties
agrees that a Disclosing Party, in addition to any other available remedies,
shall have the right to seek an injunction and other equitable relief enjoining
any breach or threatened breach of this Agreement.

 

4.5.                       Except as
otherwise provided herein, with respect to each item of Confidential
Information, the obligations set forth in this Section 4 shall survive
until such item of Confidential Information enters the public domain through no
fault of the Receiving Party, its Representatives or its Permitted Receivers.

 

4.6.                       The Parties
agree that the terms and conditions of this Agreement shall not constitute
Confidential Information of either Party hereunder, and that copies of this
Agreement may be disclosed by a Party to third parties.

 

5.              MISCELLANEOUS.

 

5.1.                       Relationship of
the Parties. 
Notwithstanding any provision hereof to the contrary, for all purposes
of this Agreement each Party shall be and act as an independent contractor and
not as partner, joint venturer, or agent of the other, and shall neither bind
nor attempt to bind the other Party to any contract or warranty in connection
with the subject matter of this Agreement.

 

5.2.                       Assignment.  Neither Party shall assign, sell, transfer,
delegate or otherwise dispose of, whether voluntarily or involuntarily, by
operation of law or otherwise, this Agreement or any of its rights or obligations
under this Agreement without the prior written consent of the other Party;
provided, however, (a) either Party may assign, sell, transfer, delegate
or otherwise dispose of this Agreement (including its rights and obligations
under this Agreement) solely in connection with a Change of Control (an “Authorized
Transfer”); and (b) SEN may assign, sell, transfer, delegate or
otherwise dispose of this Agreement or any of SEN’s rights or obligations under
this Agreement to SHI or an SHI subsidiary without the prior written consent of
Axcelis.  Any purported assignment, sale,
transfer, delegation or other disposition by a Party, except as permitted
herein, shall be null and void.  Further,
and notwithstanding anything in this Agreement to the contrary, after any Authorized
Transfer by or relating to, or any other Change of Control (other than pursuant
to Section 5.2(b)) of, a licensee Party, the license and related
immunities granted hereunder by the licensor Party to such licensee Party shall
not apply with respect to Products of any third party (the “Authorized
Transferee”) acquiring such control (whether through merger, consolidation,
corporate reorganization, sale of all or substantially all of the licensee
Party’s assets or otherwise) or to Products based on or

 

9

 

derived
from such Authorized Transferee’s Products (provided that, if a Product is
based on or derived from both such Authorized Transferee’s Products and from the licensee Party’s Products (“Merged Product”),
the license granted hereunder by the licensor Party shall apply solely to the
aspects of the Merged Product that are the same as or are substantially derived
from the licensee Party’s Products as such Products existed prior to the
Authorized Transfer.  For purpose of clarification, no
licensor Party authorizes hereunder any assignment, sale, transfer, delegation
or other disposition of any license or immunities granted hereunder in
connection with such licensor Party’s Licensed Intellectual Property except as
expressly set forth herein, and in no event is such authorization granted
hereunder separate or apart from the assignment, sale, transfer, delegation or
other disposition of licensee Party’s Products. 
Subject to this Section 5.2, this Agreement shall be binding upon
and shall inure to the benefit of the Parties and their respective successors
and permitted assigns.

 

5.3.                            Notices.  All notices, requests, demands, claims and
other communications hereunder shall be in writing.  Any notice, request, demand, claim, or other
communication hereunder shall be deemed duly given: (a) if personally
delivered, when so delivered; (b) if mailed by registered or certified
U.S. mail (airmail, if international), return receipt requested, postage
prepaid and addressed to the intended recipient as set forth below, when
received; (c) if given by telecopier, once such notice or other
communication is transmitted to the telecopier number specified below, provided
that:  (i) the sending telecopier
generates a transmission report showing successful completion of such transmission;
and (ii) such notice or other communication is promptly thereafter mailed
in accordance with the provisions of clause (b) above or sent by
internationally-recognized overnight delivery service in accordance with the
provisions of clause (d) below, and provided, further, that if such
telecopy is sent after 5:00 p.m. local time at the location of the
receiving telecopier, or is sent on a day other than a business day, such
notice or communication shall be deemed given as of 9:00 a.m. local time
at such location on the next succeeding business day; or (d) if sent
through an internationally-recognized overnight delivery service that
guarantees next day delivery, two business days following its delivery to such
service in time for next day delivery when sent from the United States to Japan
and one business day following delivery to such service in time for next day
delivery in all other cases.

 

To Axcelis:

 

Axcelis Technologies, Inc.

108 Cherry Hill Drive

Beverly, Massachusetts 01915

Facsimile No.: 
(978) 787-4090

Attn:  Chief
Executive Officer

 

To SEN:

 

SEN Corporation, an SHI and Axcelis Company

SBS Tower 9F

4-10-1 Yoga, Setagaya-ku

Tokyo 158-0097, Japan

Facsimile No.: 
81-3-5491-7804

Attn: 
Yoshitomo Hidaka, Representative Director and President

 

10

 

With a copy to:

 

Sumitomo Heavy Industries, Ltd.

ThinkPark Tower

1-1 Osaki 2-chome

Shinagawa-ku

Tokyo 141-6025, Japan

Facsimile No.: 
81-3-6866-5111

Attn:  Yukio
Kinoshita, Senior Executive Vice President

 

5.4.            Governing Law; Arbitration.

 

5.4.1.          This Agreement shall be
construed in accordance with, and governed in all respects by, the substantive
laws of the State of New York (without giving effect to principles of conflicts
of laws that would result in the application of the laws of a jurisdiction
other than the State of New York).  This Agreement shall not be governed by the
U.N. Convention on Contracts for the International Sale of Goods, the
application of which is expressly excluded. 
In any proceeding brought to enforce this Agreement, the substantially
prevailing party as determined by the arbitrator or court will be entitled to
recover its reasonable attorneys’ fees and costs, including fees on any appeal.

 

5.4.2.          All disputes arising out of
or in connection with this Agreement shall be finally settled under the Rules of
Arbitration of the International Chamber of Commerce (“ICC”)
by three arbitrators. Two arbitrators shall be selected by the respective
Parties, one by the claimant(s) and one by the respondent(s); the third
arbitrator shall be the chair and shall be appointed by the two Party-appointed
arbitrators or, if such two arbitrators fail to agree within thirty (30) days,
by the ICC. The seat of the arbitration shall be Tokyo, Japan. The language of
the arbitration shall be English, in which all of the arbitrators shall be
proficient.  Judgment on the award
rendered may be entered in any court having jurisdiction thereof.  Notwithstanding the foregoing, a Party shall
have the right to institute a legal action in a court of proper jurisdiction
for injunctive relief and/or a decree for specific performance pending final
settlement by arbitration in accordance with this provision.  Each of the Parties acknowledges and agrees
that it has entered into other agreements related to this Agreement (including
the Purchase Agreement, Termination Agreement and Cross-Release) with the other
Party, and that, in response to a demand for arbitration under any one or more
of such agreements, either Party may raise, by way of counterclaim or
cross-claim, any claims rising out of or in connection with any of such other
agreements.

 

5.5.            Equitable Relief.  The Parties hereby acknowledge and agree that
a breach of Sections 2, 3.1, 4, 5.2, 5.4.2, 5.6 or 5.7, as applicable, of
this Agreement may cause irreparable harm and significant injury to the other
Party that may be difficult to ascertain and that a remedy at law would be
inadequate.  Accordingly, each Party
agrees that the other Party shall have the right to seek and obtain immediate
injunctive relief to enforce the other Party’s rights under this Agreement in
addition to any other rights and remedies the other Party may have hereunder.

 

5.6.            Further Assurances.
Notwithstanding anything to the contrary in this Agreement, each Party shall
provide to the other Party, at its
request, reasonable cooperation and

 

11

 

assistance,
and take such actions (including, without limitation, the prompt execution and
delivery of affidavits, declarations, oaths, assignments, authorizations,
samples, specimens and any other documentation), as may be reasonably necessary
to vest, secure, perfect, record, register, protect and/or enforce the
licenses, immunities and other rights granted herein to such other Party, or to
otherwise effect the terms of this Agreement. 
Without limiting the foregoing, with respect to Axcelis’ license grant
to SEN hereunder, Axcelis has completed and, as applicable, executed the U.S.
and Japan recordation-related forms provided by SEN to Axcelis prior to the
Effective Date, and will complete and, as applicable, execute (so long as
such forms reasonably conform to applicable local practices and that the
Intellectual Property that is the subject of such forms constitutes Axcelis
Licensed Intellectual Property) other recordation-related forms pertaining to
other countries and, immediately following the Effective Date, shall cooperate
with and assist SEN and its representatives in filing, and, as requested by
SEN, take such actions as are necessary to file, such forms with the
appropriate authorities.  Further, to the
extent that Axcelis seeks to similarly record its license grant from SEN
hereunder using similar recordation-related forms, SEN shall cooperate with and
assist Axcelis and its representatives in connection with such efforts.  Further, upon the request of a licensee
Party, the licensor Party shall promptly provide such licensee Party with an
updated list identifying the licensor Party’s Patents, on a country-by-country
basis, that are licensed hereunder.  If
either Party is unable, after reasonable notice to the other Party, for any
reason whatsoever, to secure the necessary signature(s) to any document
which is required to be executed pursuant to this Section 5.6, such Party
hereby irrevocably designates and appoints the other Party and its duly
authorized officers and agents as such Party’s agents and attorneys-in-fact, to
act for and on its behalf and instead of such Party, to execute and file any
such documents and to do all other lawfully permitted acts to further the
purposes of this Section 5.6 with the same legal force and effect as if
executed by the Party itself.

 

5.7.            Section 365(n).  All rights and licenses granted under or
pursuant to this Agreement are, and will otherwise be deemed to be, for
purposes of Section 365(n) of the United States Bankruptcy
Code (the “Bankruptcy Code”), licenses to rights to “intellectual
property” as such term is defined under the Bankruptcy Code.  Each Party acknowledges and agrees that, in
the event a Party files a voluntary petition for relief under the Bankruptcy
Code (a “Voluntary Case”) or an involuntary petition for relief
under the Bankruptcy Code is filed against a Party and an order for relief is
entered (an “Involuntary Case” and together with a Voluntary Case,
a “Bankruptcy Case”), the other Party shall be entitled to retain all of
its rights under this Agreement and to fully exercise all rights available to
it under the Bankruptcy Code, including but not limited to, the rights granted
under Section 365(n) of the Bankruptcy Code.  Each Party further agrees, that in the event
of the commencement of a Bankruptcy Case, and a Party hereto, as a
debtor-in-possession (“Debtor”), or a trustee appointed in such
Bankruptcy Case (a “Trustee”), rejects this Agreement, the other
Party hereto may elect to retain its rights under this Agreement as provided in
Section 365(n) of the Bankruptcy Code, and Debtor or such Trustee
will not interfere with the rights of the other Party provided in this
Agreement or any other agreement supplementary to this Agreement, or any
intellectual property provided under such agreements.  Each Party further acknowledges and agrees,
that in the event of the commencement of a Bankruptcy Case, the enforcement by
the other Party of any rights under Section 365(n) of the Bankruptcy
Code in connection with this Agreement will not violate the automatic stay of Section 362
of the Bankruptcy Code and waives any right to object on such basis.

 

12

 

5.8.         Severability.  Whenever possible each provision and term of
this Agreement shall be interpreted in such manner as to be effective and valid
under applicable law, but if any provision or term of this Agreement shall be
held to be prohibited by or invalid under such applicable law, or determined to
be void or unenforceable for any reason, then such provision or term shall be
ineffective only to the extent of such prohibition, invalidity or
unenforceability, without invalidating or affecting in any manner whatsoever
the remainder of such provision or term or the remaining provisions or terms of
this Agreement, and the prohibited, invalid or unenforceable provision shall be
modified to the minimum extent necessary to make it permissible, valid and
enforceable, unless the result of any such invalidity or unenforceability shall
be to cause a material failure of consideration to the Party seeking to sustain
the validity or enforceability of the subject provision.

 

5.9.         Waiver.  The waiver of, or failure to enforce, any
breach or default hereunder shall not constitute the waiver of any other or
subsequent breach or default.

 

5.10.  Counterparts.  This Agreement may be signed in counterparts,
each of which shall be an original, with the same effect as if the signatures
thereto and hereto were upon the same instrument.

 

5.11.  Captions.  The captions herein are included for
convenience of reference only and shall be ignored in the construction or
interpretation hereof.

 

5.12.  Entire Agreement.  This Agreement, along with the Purchase
Agreement (and any exhibits, attachments, or other agreements pursuant to the
Purchase Agreement), set forth the entire agreement between the Party and
supersedes any and all prior proposals, agreements and representations between
them, whether written or oral.  This
Agreement may be changed only by mutual agreement of the Party in writing.

 

[SIGNATURE BLOCK ON NEXT PAGE]

 

13

 

IN WITNESS WHEREOF, the Parties hereto have caused
this Agreement to be executed and delivered on the date first above written.

 

 

	
  AXCELIS TECHNOLOGIES, INC.

  	
   

  	
  SEN CORPORATION, AN SHI AND AXCELIS
  COMPANY

  

 

	
  By:

  	
  /s/ Mary G. Puma 

  	
   

  	
  By:

  	
  /s/ Yoshitomo Hidaka

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
  Mary G. Puma

  	
   

  	
  Name:

  	
  Yoshitomo Hidaka

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
  Chairman and CEO

  	
   

  	
  Title:

  	
  Representative Director and President

  

 

14

 

EXHIBIT A

 

Axcelis Patents Excluded From “Axcelis Licensed Intellectual
Property”

 

[SEE
ATTACHMENTS]

 

15

 

List of Schedules Omitted from the License Agreement by and among 

Axcelis Technologies, Inc. (“Axcelis”) and SEN Corporation, an SHI and
Axcelis

Company (“SEN”), dated March  30, 2009 

as filed with the Securities Exchange Commission (the “Commission”) on Form 8-K

 

1.               Exhibit A1:  Listing certain patents and patent
applications owned by Axcelis in the ion implantation field excluded from the
license granted to SEN.

 

2.               Exhibit A2:  Listing patents and patent applications owned
by Axcelis in the curing and cleaning fields excluded from the license granted
to SEN.

 

3.               Exhibit A3:  Listing patents and patent applications owned
by Axcelis in the rapid thermal processing field excluded from the license
granted to SEN.

 

Axcelis
will furnish supplementally a copy of any omitted schedule to the Commission
upon request.

 

16

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