Document:

Exhibit 10.3

 

VOTING AGREEMENT

 

THIS VOTING AGREEMENT (this “Agreement”) is made as of September 13, 2019, by and among SmileDirectClub, Inc., a Delaware corporation (the “Company”) and the persons and entities listed on the signature pages hereto (each, together with its successors, a “Stockholder” and collectively, the “Stockholders”).

 

As used herein, the term “Majority Holder” shall mean David B. Katzman, in his individual capacity; and in the event David B. Katzman becomes unwilling or unable to continue to fulfill his obligations hereunder, as determined in good faith by the Company’s board of directors, unless David B. Katzman is actively contesting such determination, Majority Holder shall mean Steven B. Katzman, in his individual capacity.

 

RECITALS

 

A. The Company and the Stockholders desire to secure a continuity of the management and business policies of the Company.

 

B. The Stockholders are holders of shares of Class A common stock, $0.0001 par value, and Class B common stock, $0.0001 par value, of the Company (the “Holder Common Shares”).

 

C. This Agreement, among other things, requires the Stockholders to vote all Holder Common Shares and all shares of capital stock of the Company that a Stockholder hereafter acquires or as to which a Stockholder hereafter acquires the right to exercise voting power (together, all such Holder Common Shares and other shares of capital stock of the Company referred to in this sentence, the “Shares”) in the manner set forth herein.

 

D. This Agreement is being entered into in exchange for a payment of U.S. $100 in cash from the Majority Holder to each Stockholder and for other good and valuable consideration, the sufficiency of which is hereby acknowledged and agreed.

 

NOW, THEREFORE, in consideration of the mutual promises herein and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

 

1. Voting Arrangements. The Stockholders hereby agree that, on all matters properly submitted to a vote of stockholders of the Company at a meeting of the stockholders of the Company or through the solicitation of a written consent of the stockholders of the Company (whether of any individual class of stock or of multiple classes of stock voting together, and whether arising under the Company’s certificate of incorporation or bylaws (as the same may be amended, restated or amended and restated and in effect from time to time), the Delaware General Corporation Law (or any successor thereto) or otherwise), the Stockholders shall vote such Shares or grant a proxy with respect to such Shares as determined by the Majority Holder in his sole discretion.

 

 

2. Illustrative Examples. Matters to which the voting arrangements described in Section 1 of this Agreement are applicable include, but are not limited to, the following, which are presented here solely by way of example:

 

(a) Election, replacement or removal of any or all directors of the Company (each, a “Director”);

 

(b) Sale, lease, exchange or other disposition of all or substantially all of the Company’s assets, provided, that any distribution to the stockholders of the Company of the proceeds of such sale or disposition are made in accordance with the Company’s certificate of incorporation, as then in effect;

 

(c) Mergers of, or acquisitions by, the Company or its subsidiaries that are submitted for approval by stockholders of the Company; and

 

(d) Adoption by the Company of a rights plan or similar takeover defensive arrangements, or amendments thereof, or approval or ratification by the Company’s stockholders of any such plan or amendment adopted by the Company upon the approval of its board of directors.

 

3. Manner of Voting. The Stockholders each agree to hold all Shares registered in their respective names or beneficially owned by them as of the date hereof and any and all other securities of the Company legally or beneficially acquired by each of the Investors after the date hereof (to the extent any Stockholder holds voting power with respect thereto) subject to, and to vote the Shares in accordance with, the provisions of this Agreement. The voting of Shares pursuant to this Agreement may be effected in person, by proxy, by written consent, or in any other manner permitted by applicable law. All of the Stockholders agree to execute any proxies or written consents required to perform their obligations under this Agreement.

 

4. Stock Splits, Dividends, Etc. In the event of any issuance of shares of the Company’s voting securities hereafter to a Stockholder as a result of such Stockholder’s ownership of Shares (including, without limitation, in connection with any stock split, stock dividend, recapitalization, reorganization, or the like), such shares shall automatically be deemed “Shares” hereunder.

 

5. Specific Enforcement. It is agreed and understood that monetary damages would not adequately compensate an injured party for the breach of this Agreement by any party, that this Agreement shall be specifically enforceable, and that any breach or threatened breach of this Agreement shall be the proper subject of a temporary or permanent injunction or restraining order. Further, each party hereto waives any claim or defense that there is an adequate remedy at law for such breach or threatened breach.

 

6. Securities Laws, Rules and Regulations. The Stockholders, the Company and the Majority Holder agree and understand that the Stockholders, the Company and/or the Majority Holder may become subject to the registration and/or reporting requirements, rules and regulations of the Securities Exchange Act of 1934, as amended (the “Exchange Act”),

 

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the Securities Act of 1933, as amended (the “Securities Act”) and/or any state and federal securities laws (collectively with the Exchange Act and the Securities Act, the “Securities Laws”). The Stockholders, the Company and the Majority Holder agree to use their respective commercially reasonable efforts to comply with the Securities Laws and to reasonably assist each other in complying with the Securities Laws in a timely and prompt manner. Such compliance may include, for example and without limiting the foregoing, the filing and updating and maintaining of Schedule 13G and/or Schedule 13D under the Exchange Act. In furtherance thereof, the Stockholders shall notify the Majority Holder at least three business days prior to any transaction (including purchase, sale, pledge or hedge) with respect to the Shares.

 

7. Majority Holder’s Liability. The Majority Holder shall not be liable for any error of judgment nor for any act done or omitted, nor for any mistake of fact or law nor for anything which the Majority Holder may do or refrain from doing in good faith, nor shall the Majority Holder have any accountability hereunder, except for his own bad faith, gross negligence or willful misconduct. Furthermore, upon any judicial or other inquiry or investigation of or concerning the Majority Holder’s acts pursuant to his rights and powers as the Majority Holder, such acts shall be deemed reasonable and in the best interests of the Stockholders unless proved to the contrary by clear and convincing evidence.

 

8. Consideration. In connection with this Agreement and as consideration for the obligations of the Stockholders hereunder, the Majority Holder shall pay (by check, cash or other valid consideration) to each Stockholder the sum of U.S. $100.

 

9. Termination. This Agreement shall terminate:

 

(a) upon the liquidation, dissolution or winding up of the business operations of the Company;

 

(b) upon the execution by the Company of a general assignment for the benefit of creditors or the appointment of a receiver or trustee to take possession of the property and assets of the Company;

 

(c) in the sole discretion of the Majority Holder, upon the express written consent of the Majority Holder (which he shall be under no obligation to provide); or

 

(d) Upon the earlier of (i) the ten-year anniversary of the consummation of an initial public offering of shares of the Company’s Class A common stock or (ii) the date on which the shares of Class B common stock held by the Stockholders and their permitted transferees represent less than 15% of the Class B common stock held by the Stockholders and their permitted transferees as of immediately following the consummation of an initial public offering of shares of the Company’s Class A common stock.

 

10. Successors and Assigns. The terms and conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and assigns of the Company, the Stockholders and the Majority Holder. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or the respective successors and

 

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assigns of the Company, the Stockholders and the Majority Holder any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement. Except for an assignment by the Company (i) by operation of law, or (ii) in connection with an acquisition, consolidation or merger of the Company or sale of all or substantially all of the Company’s assets (which shall be permitted with only the written consent and notice of the Company), this Agreement may not be assigned without the written consent of the Majority Holder, the Company and the Stockholders.

 

11. Amendments and Waivers. Any term hereof may be amended or waived only with the written consent of the Stockholders holding a majority of the Shares held by the Stockholders and the Majority Holder, except where such amendment or waiver shall materially negatively alter the rights or obligations of the Company hereunder, in which case any such amendment or waiver shall also require the written consent of the Company. Any amendment or waiver effected in accordance with this Section 12 shall be binding upon the Company, the Majority Holder and the Stockholders, and each of the respective successors and assigns to the Company or the Majority Holder.

 

12. Notices. Notwithstanding anything to the contrary contained herein, any notice required or permitted by this Agreement shall be in writing and shall be deemed sufficient and received on the earlier of (a) the date of delivery, when delivered personally, by overnight mail, courier or sent by electronic mail (e-mail) or fax, or (b) forty-eight hours after being deposited in the U.S. mail, as certified or registered mail, with postage prepaid, and addressed to the party to be notified at such party’s address, e-mail address or fax number as set forth on Annex A hereto, or as subsequently modified by written notice. Any electronic mail (e-mail) communication shall be deemed to be “in writing” for purposes of this Agreement.

 

13. Severability. If one or more provisions of this Agreement are held to be unenforceable under applicable law, the parties agree to renegotiate such provision in good faith. In the event that the parties cannot reach a mutually agreeable and enforceable replacement for such provision, then (a) such provision shall be excluded from this Agreement, (b) the balance of the Agreement shall be interpreted as if such provision were so excluded, and (c) the balance of the Agreement shall be enforceable in accordance with its terms.

 

14. Governing Law; Jurisdiction; Venue.

 

(a) This Agreement and all acts and transactions pursuant hereto and the rights and obligations of the parties hereto shall be governed, construed and interpreted in accordance with the laws of the State of Delaware, without giving effect to conflict of law principles. In addition, each of the parties hereto (i) consents to submit itself to the exclusive jurisdiction of the courts of the State of Delaware in the event any dispute arises out of this Agreement or any of the transactions contemplated by this Agreement, (ii) agrees that it will not attempt to deny or defeat such jurisdiction by motion or other request for leave from such court, (iii) agrees that it will not bring any action relating to this Agreement or any of the transactions contemplated by this Agreement in any court other than the courts of the State of Delaware, and (iv) hereby waives, and agrees not to assert, by way of motion, as a defense, or otherwise, in any such suit, action or proceeding, any claim that it is not subject to the jurisdiction of the above-named

 

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courts, that its property is exempt or immune from attachment or execution, that the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper or that this Agreement or the subject matter hereof may not be enforced in or by such court.

 

(b) Each party hereto hereby consents to service of process being made through the notice procedures set forth in Section 12 of this Agreement and agrees that, to the fullest extent permitted by law, service of any process, summons, notice or document by U.S. registered mail to the parties’ respective addresses set forth on the signature page hereto shall be effective service of process for any suit or proceeding in connection with this Agreement or the transactions contemplated hereby.

 

15. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. Executed signatures to this Agreement may be delivered by any electronic means and any such electronically delivered signatures shall be deemed equivalent to manually executed signatures.

 

16. Titles and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.

 

[Signature Pages Follow]

 

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IN WITNESS WHEREOF, the parties hereto have executed this Voting Agreement as of the day and year written above.

 

The Company

 

	
SmileDirectClub, Inc.
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ David B. Katzman
    	
 
    	
 
    
	
 
    	
David B. Katzman
    	
 
    	
 
    
	
 
    	
Chief Executive Officer and Chairman
    	
 
    	
 
    

 

Stockholders

 

	
David B. Katzman
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ David B. Katzman
    	
 
    	
 
    
	
 
    	
David B. Katzman
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
DBK Investments, LLC
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ David B. Katzman
    	
 
    	
 
    
	
 
    	
David B. Katzman
    	
 
    	
 
    
	
 
    	
Manager
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
David B. Katzman 2018   Irrevocable Trust
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Tammy Sommervold, Trust Officer
    	
 
    	
 
    
	
 
    	
South Dakota Trust Company LLC
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    

 

[Signature Page to Voting Agreement]

 

 

	
David B. Katzman 2009   Family Trust
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Steven B. Katzman
    	
 
    	
 
    
	
 
    	
Steven B. Katzman
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Jordan M. Katzman 2018   Irrevocable Trust
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Tammy Sommervold, Trust Officer
    	
 
    	
 
    
	
 
    	
South Dakota Trust Company LLC
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Jordan M. Katzman   Revocable Trust
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
JM Katzman Investments,   LLC
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
Manager
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Jordan M. Katzman
    	
 
    	
 
    
	
 
    	
Jordan M. Katzman
    	
 
    	
 
    

 

[Signature Page to Voting Agreement]

 

 

	
Alexander J. Fenkell   2018 Irrevocable Trust
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Alexander Fenkell   Revocable Trust
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Alexander J. Fenkell
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
Alexander J. Fenkell
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Steven B. Katzman
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Steven B. Katzman
    	
 
    	
 
    
	
 
    	
Steven B. Katzman
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
David Katzman Revocable   Trust
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ David B. Katzman
    	
 
    	
 
    
	
 
    	
David B. Katzman
    	
 
    	
 
    
	
 
    	
Trustee
    	
 
    	
 
    

 

[Signature Page to Voting Agreement]

 

 

Annex A

Notice Information

 

[To come.]

 

A-1Exhibit 4.1

 

_______________________________________

 

LLOYDS
BANKING GROUP PLC

 

as Issuer,

 

and

 

THE
BANK OF NEW YORK MELLON,

acting through its London Branch

 

as Trustee

 

_______________________________________

 

NINTH
SUPPLEMENTAL INDENTURE

 

dated as
of September 17, 2019

 

to

 

THE
SENIOR DEBT SECURITIES INDENTURE

 

dated as
of July 6, 2010

 

_______________________________________

 

 

 

 

 

 

 

 

 

 

 

    

     

    

NINTH SUPPLEMENTAL
INDENTURE (“Ninth Supplemental Indenture”), dated as of September 17, 2019, between LLOYDS BANKING GROUP PLC,
a corporation incorporated in Scotland with registered number 95000, as issuer (the “Company”) and THE BANK
OF NEW YORK MELLON, acting through its London Branch, as trustee (the “Trustee”).

 

WITNESSETH

 

WHEREAS,
the Company and the Trustee have executed and delivered a Senior Debt Securities Indenture dated as of July 6, 2010 (the “Senior
Indenture,” and together with this Ninth Supplemental Indenture, the “Indenture”) to provide for
the issuance of the Company’s Senior Debt Securities, including the Securities (as defined below).

 

WHEREAS,
Section 9.01(d) of the Senior Indenture permits the Company and the Trustee to add to, change or eliminate any provisions of the
Senior Indenture without the consent of Holders as permitted under Sections 2.01 and 3.01 of the Senior Indenture, subject to
certain conditions;

 

WHEREAS,
Section 9.01(f) of the Senior Indenture permits the Company and the Trustee to enter into a supplemental indenture to establish
the forms or terms of Senior Debt Securities of any series as permitted under Sections 2.01 and 3.01 of the Senior Indenture without
the consent of Holders;

 

WHEREAS,
there are no debt securities Outstanding of any series created prior to the execution of this Ninth Supplemental Indenture which
are entitled to the benefit of the provisions set forth herein or would be adversely affected by such provisions;

 

WHEREAS,
the Board of Directors has authorized the entry into this Ninth Supplemental Indenture, as required by Section 9.01 of the Senior
Indenture;

 

WHEREAS,
the parties hereto desire to establish, as further series of Senior Debt Securities under the Senior Indenture, $1,500,000,000
2.858% Senior Callable Fixed-to-Floating Rate Notes due 2023 (the “Securities”) pursuant to Sections 2.01 and
3.01 of the Senior Indenture. The Securities may be issued from time to time and any Securities issued as part of any series will
constitute a single series of Securities under the Indenture and shall be included in the definition of “Securities”
where the context requires;

 

WHEREAS,
the Company has requested that the Trustee execute and deliver this Ninth Supplemental Indenture and whereas all actions required
by it to be taken in order to make this Ninth Supplemental Indenture a valid, binding and enforceable instrument in accordance
with its terms, have been taken and performed, and the execution and delivery of this Ninth Supplemental Indenture has been duly
authorized in all respects; and

 

WHEREAS,
where indicated, this Ninth Supplemental Indenture shall amend and supplement the Senior Indenture; to the extent that the terms
of the Senior Indenture are inconsistent with such provisions of this Ninth Supplemental Indenture, the terms of this Ninth Supplemental
Indenture shall govern.

 

    

     

    

NOW,
THEREFORE, the Company and the Trustee mutually covenant and agree as follows:

 

Article
1

DEFINITIONS

 

Section
1.01.          Definition
of Terms. For all purposes of this Ninth Supplemental Indenture:

 

(a)           
a term defined anywhere in this Ninth Supplemental Indenture has the same meaning throughout;

 

(b)           
capitalized terms used herein but not otherwise defined shall have the meanings assigned to them in the Senior Indenture;

 

(c)           
the singular includes the plural and vice versa;

 

(d)           
headings are for convenience of reference only and do not affect interpretation; and

 

(e)           
for the purposes of this Ninth Supplemental Indenture and the Senior Indenture, the term “series” shall mean
a series of Securities.

 

Article
2

FORM OF SECURITIES

 

Section
2.01.          Terms
of the Securities.

 

(a)           
The title of the Securities shall be the “2.858% Senior Callable Fixed-to-Floating Notes due 2023”;

 

(b)           
The aggregate principal amount of the Securities that may be authenticated and delivered under the Indenture shall not
exceed $1,500,000,000, except as otherwise provided in the Indenture;

 

(c)           
Principal on the Securities shall be payable on March 17, 2023 (the “Maturity Date”);

 

(d)           
The Securities shall be issued in global registered form on September 17, 2019 (the “Issue Date”).

 

During
the period from, and including, the Issue Date to, but excluding March 17, 2022 (the “Fixed Rate Period”),
interest shall accrue from the Issue Date at a fixed rate of 2.858% per annum. Interest accrued during the Fixed Rate Period shall
be payable semi-annually in arrears on March 17 and September 17 of each year (each, a “Fixed Rate Interest Payment Date”),
commencing on March 17, 2020.

 

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During
the period from, and including, March 17, 2022 to, but excluding, March 17, 2023 (the “Floating Rate Period”),
interest shall accrue at a floating annual rate (the “Floating Interest Rate”) equal to LIBOR on the applicable
Interest Determination Date plus the Spread. The “Spread” is 1.249% per annum. Interest accrued during
the Floating Rate Period shall be payable quarterly in arrears on June 17, 2022, September 17, 2022, December 17, 2022 and March
17, 2023 (each, a “Floating Rate Interest Payment Date”, and together with the Fixed Rate Interest Payment
Dates, the “Interest Payment Dates”).

 

The
Regular Record Dates for the Securities shall be 15 calendar days immediately preceding the relevant Interest Payment Date, whether
or not a Business Day. If the scheduled Maturity Date or date of redemption or repayment is not a Business Day, the Company may
pay interest and principal on the next succeeding Business Day, but interest on that payment shall not accrue during the period
from and after the scheduled Maturity Date or date of redemption or repayment.

 

Interest
during the Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate
Interest Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment
shall not accrue during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Floating Rate Period shall be calculated on the basis of a 360-day year and the actual number of days elapsed. The
Floating Interest Rate shall be reset on each Floating Rate Interest Payment Date (each, an “Interest Reset Date”).
If any scheduled Floating Rate Interest Payment Date (other than the Maturity Date) is not a Business Day, such Floating Rate
Interest Payment Date shall be postponed to the next succeeding Business Day and interest thereon shall continue to accrue, except
that if the Business Day falls in the next succeeding calendar month, such Floating Rate Interest Payment Date shall be the immediately
preceding Business Day. In each such case, except for the Floating Rate Interest Payment Date falling on the Maturity Date, the
Floating Rate Interest Period and the Interest Reset Dates shall be adjusted accordingly to calculate the amount of interest payable
on the Securities.

 

The
first interest period shall begin on, and include, the last Fixed Rate Interest Payment Date to, but exclude, the First Floating
Interest Payment Date. Each subsequent interest period shall begin on, and include, a Floating Interest Payment Date to, but exclude,
the immediately succeeding Floating Interest Payment Date (together with the first interest period, each a “Floating
Rate Interest Period”) except that the final Floating Rate Interest Period shall end on, but exclude, the Maturity Date.

 

The
Calculation Agent shall determine LIBOR for each Floating Rate Interest Period on the second London Banking Day prior to the first
day of such Floating Rate Interest Period (an “Interest Determination Date”).

 

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“LIBOR,”
with respect to a Floating Rate Interest Period, shall be the offered rate (expressed as a percentage per annum) for deposits
of U.S. dollars having a maturity of three months that appears on the Designated LIBOR Page as of 11:00 a.m., London time.

 

If
no rate appears on the Designated LIBOR Page, LIBOR shall be determined for such Interest Determination Date on the basis of the
rates at approximately 11:00 a.m., London time, on such Interest Determination Date at which deposits in U.S. dollars are offered
to prime banks in the London inter-bank market by four major banks in such market selected by the Company, for a term of three
months and in a Representative Amount. The Company shall request that the principal London office of each of such banks provide
a quotation of its rate. If at least two such quotations are provided, LIBOR for such Floating Rate Interest Period shall be the
arithmetic mean of such quotations. If fewer than two such quotations are provided, LIBOR for such Floating Rate Interest Period
shall be the arithmetic mean of the rates quoted at approximately 11:00 a.m. in the City of New York on such Interest Determination
Date by three major banks in New York City, selected by the Company, for loans in U.S. dollars to leading European banks, for
a term of three months and in a Representative Amount. If at least two such quotations are provided, LIBOR for such Floating Rate
Interest Period shall be the arithmetic mean of such quotations. If fewer than two quotations are provided (including if no published
LIBOR is available and banks are unable or unwilling to provide quotations for the calculation of LIBOR), then the applicable
interest rate for such floating rate interest period will be the interest rate applicable during the preceding floating rate interest
period or the original fixed interest rate of the Securities, as applicable.

 

A
“London Banking Day” means any day in which dealings in United States dollars are transacted or, with respect
to any future date, are expected to be transacted in the London interbank market.

 

“Designated
LIBOR Page” means the Reuters Screen LIBOR01 display page, or any successor page, on Reuters or any successor service
(or any such other service(s) as may be nominated by ICE Benchmark Administration Limited (“IBA”) or its successor
or such other entity assuming the responsibility of IBA or its successor in calculating the London interbank offered rate in the
event IBA or its successor no longer does so for the purpose of displaying London interbank offered rates for U.S. dollar deposits).

 

“Representative
Amount” means an amount that in the judgment of the Company is representative for a single transaction in U.S. dollars
in such market at such time.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the
Company, the Trustee, the Paying Agent and on the Holders of the Securities.

 

All
percentages resulting from any of the above calculations shall be rounded, if necessary, to the nearest one hundred thousandth
of a percentage point, with five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or .09876545) being

 

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rounded
to 9.87655% (or .0987655)) and all dollar amounts used in or resulting from such calculations shall be rounded to the nearest
cent (with one-half cent being rounded upwards).

 

The
interest rate on the Securities during the applicable Interest Periods shall in no event be higher than the maximum rate permitted
by law or lower than 0% per annum;

 

(e)           
Notwithstanding the provisions in Section 2.01(d) above, if a Benchmark Event occurs in relation to an Original Reference
Rate when any interest rate (or any component part thereof), remains to be determined by reference to such Original Reference
Rate, then the Company shall use its reasonable efforts to appoint and consult with an Independent Adviser, as soon as reasonably
practicable, to advise the Company in determining a Successor Rate, or, if applicable, an Alternative Rate and, in either case,
an Adjustment Spread and any Benchmark Amendments.

 

If,
notwithstanding its reasonable efforts, the Company is unable to appoint and consult with an Independent Adviser in accordance
with the foregoing paragraph, it shall nevertheless be entitled, acting in good faith and in a commercially reasonable manner,
to make any and all determinations expressed to be made by the Company, notwithstanding that such determinations are not made
following consultation with an independent Adviser (and references below to the Company consulting with an Independent Adviser
should be read accordingly).

 

If
the Company following consultation with the Independent Adviser, determines that:

 

(i)           
there is a Successor Rate, then such Successor Rate and the applicable Adjustment Spread shall subsequently be used in
place of the Original Reference Rate to determine each interest rate (or the relevant component part(s) thereof) for all relevant
future payments of interest on the Securities (subject to any Benchmark Event subsequently occurring in respect of such Successor
Rate); or

 

(ii)           
there is no Successor Rate but that there is an Alternative Rate, then such Alternative Rate and the applicable Adjustment
Spread shall subsequently be used in place of the Original Reference Rate to determine each interest rate (or the relevant component
part(s) thereof) for all relevant future payments of interest on the Securities (subject to any Benchmark Event subsequently occurring
in respect of such Alternative Rate).

 

The
applicable Adjustment Spread shall be applied to the Successor Rate or the Alternative Rate (as the case may be) for each subsequent
determination of a relevant interest rate (or a component part thereof) by reference to such Successor Rate or Alternative Rate
(as applicable).

 

If
any Successor Rate or Alternative Rate and, in either case, the applicable Adjustment Spread is determined in accordance with
this Section 2.01(e) and the Company, following consultation with the Independent Adviser, determines (i) that

 

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amendments
to the terms of the Securities and the Indenture are necessary to ensure the proper operation of such Successor Rate or Alternative
Rate and/or (in either case) the applicable Adjustment Spread (such amendments, the “Benchmark Amendments”)
and (ii) the terms of the Benchmark Amendments, then the Company shall, subject to giving notice thereof as provided below, without
any requirement for the consent or approval of holders of the Securities, vary the terms of the Securities and the Indenture to
give effect to such Benchmark Amendments with effect from the date specified in such notice.

 

In
connection with any such variation in accordance with this Section 2.01(e), the Company shall comply with the rules of the stock
exchange on which the Securities are for the time being listed or admitted to trading.

 

Notwithstanding
any other provision of this Section 2.01(e), no Successor Rate or Alternative Rate will be adopted, nor will the applicable Adjustment
Spread be applied, nor will any other amendment to the terms of the Securities or the Indenture be made to effect the Benchmark
Amendments, if and to the extent that, in the determination of the Company, the same could reasonably be expected to prejudice
the qualification of the Securities as eligible liabilities or loss absorbing capacity instruments for the purposes of the Loss
Absorption Regulations.

 

Any
Successor Rate, Alternative Rate, Adjustment Spread and the specific terms of any Benchmark Amendments determined under this Section
2.01(e) will be notified promptly by the Company to the Trustee, the Calculation Agent, the Paying Agent and the holders of the
Securities. Such notice shall be irrevocable and shall specify the effective date of the Benchmark Amendments, if any.

 

No
later than the time the Company notifies the Trustee of the same, the Company shall deliver to the Trustee a certificate signed
by two authorized signatories of the Company where a Benchmark Event in relation to an Original Reference Rate has occurred in
accordance with above: (x) confirming (i) that a Benchmark Event has occurred, (ii) the Successor Rate or, as the case may be,
the Alternative Rate, (iii) the Adjustment Spread and (iv) the specific terms of the Benchmark Amendments (if any), in each case
as determined in accordance with the provisions of this Section 2.01(e); (y) certifying that the Benchmark Amendments (if any)
are necessary to ensure the proper operation of such Successor Rate or Alternative Rate and (in either case) the applicable Adjustment
Spread; and (z) certifying that (i) the Company has duly consulted with an Independent Adviser with respect to each of the matters
above or, if that is not the case, (ii) explaining, in reasonable detail, why the Company has not done so.

 

The
Trustee shall be entitled to rely on such certificate (without inquiry or liability to any person) as sufficient evidence thereof.
The Successor Rate or Alternative Rate and the Adjustment Spread and the Benchmark Amendments (if any) specified in such certificate
will (in the absence of manifest error in the determination of the Successor Rate or Alternative Rate and the Adjustment Spread
and the Benchmark Amendments (if any) and without prejudice to the Trustee’s ability to rely on such certificate as aforesaid)
be binding on the Company, the Trustee, the Calculation Agent, the Paying Agents and the holders of the Securities.

 

    7

     

    

Without
prejudice to the obligations of the Company, the Original Reference Rate and the fallback provisions provided for in Section 2.01(d),
as applicable, will continue to apply unless and until the Calculation Agent has been notified of the Successor Rate or the Alternative
Rate (as the case may be), and the Adjustment Spread and Benchmark Amendments (if any) determined in accordance with this Section
2.01(e).

 

If,
following a Benchmark Event, the Company endeavors, but is unable, to determine a Successor Rate or an Alternative Rate (and,
in each case, the applicable Adjustment Spread and any Benchmark Amendments) pursuant to the foregoing provisions, the Company
may, prior to each subsequent interest determination date, re-apply the provisions of this Section 2.01(e) on one or more occasions
until a Successor Rate or Alternative Rate (and, in either case, the applicable Adjustment Spread and any Benchmark Amendments)
has been determined and notified as provided above (and, until such determination and notification, if any, the fallback provisions
provided for in Section 2.01(d), as applicable, will continue to apply).

 

An
Independent Adviser appointed pursuant to this Section 2.01(e) shall act in good faith as an expert and (in the absence of bad
faith or fraud) shall have no liability whatsoever to the Trustee, the Calculation Agent, the paying agent, or the holders of
the Securities for any advice given to the Company in connection with any determination made by the Company, pursuant to this
Section 2.01(e).

 

In
making any determination, the Company shall act in good faith and, in the absence of bad faith or fraud, the Company shall have
no liability whatsoever to the Trustee, the Calculation Agent, the paying agent, or the holders of the Securities for any such
determination made by it.

 

By
its acquisition of Securities or an interest therein, each holder and beneficial owner of the Securities and each subsequent holder
and beneficial owner acknowledges, accepts, agrees to be bound by, and consents to, the Company’s determination of the Successor
Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable, and to any amendment or alteration of the terms
and conditions of the Securities, and the Indenture including an amendment of the amount of interest due on the Securities, as
may be required in order to give effect to the provisions in this Section 2.01(e). The Trustee and the Calculation Agent shall
both be entitled to rely on this deemed consent in connection with any supplemental indenture or amendment or amendment to the
Calculation Agency Agreement which may be necessary to effect the Successor Rate, the Alternative Rate the Adjustment Spread or
the Benchmark Amendments, as applicable.

 

By
its acquisition of Securities or an interest therein, each holder and beneficial owner of Securities and each subsequent holder
and beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent
for, agrees not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that
none of the Trustee, the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation
Agent or

 

    8

     

    

any
paying agent, as the case may be, takes, or abstains from taking, in each case in accordance with this section or any losses suffered
in connection therewith.

 

By
its acquisition of Securities or an interest therein, each holder and beneficial owner of Securities and each subsequent holder
and beneficial owner agrees that neither the Trustee, the Calculation Agent or any paying agent will have any obligation to determine
any Successor Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable, including in the event of any
failure by the Company to determine any Successor Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable.

 

For
the avoidance of doubt, the Trustee shall have the rights set forth in Section 9.03 of the Senior Indenture with respect to any
amendment or alteration of the terms and conditions of the Securities and the Indenture.

 

“Adjustment
Spread” means either (a) a spread (which may be positive, negative or zero), or (b) a formula or methodology for calculating
a spread, in each case to be applied to the Successor Rate or the Alternative Rate (as the case may be) and is the spread, formula
or methodology which:

 

(i)           
in the case of a Successor Rate, is formally recommended, or formally provided as an option for parties to adopt, in relation
to the replacement of the Original Reference Rate with the Successor Rate by any Relevant Nominating Body;

 

(ii)           
if no such recommendation has been made, or in the case of an Alternative Rate, the Company, following consultation with
the Independent Adviser, determines is customarily applied to the relevant Successor Rate or Alternative Rate (as the case may
be) in international debt capital markets transactions to produce an industry-accepted replacement rate for the Original Reference
Rate; or

 

(iii)           
if the Company determines there is no such spread, formula or methodology customarily applied, the Company determines,
following consultation with the Independent Adviser, is recognised or acknowledged as being the industry standard for over-the-counter
derivative transactions which reference the Original Reference Rate, where such rate has been replaced by the Successor Rate or
the Alternative Rate (as the case may be).

 

“Alternative
Rate” means an alternative benchmark or screen rate which the Company determines is customarily applied in international
debt capital markets transactions for the purposes of determining rates of interest (or the relevant component part thereof) for
a commensurate interest period and in the same currency as the Securities.

 

“Benchmark
Event” means, with respect to an Original Reference Rate:

 

    9

     

    

(i)           
the Original Reference Rate ceasing to be published for a period of at least five Business Days or ceasing to exist; or

 

(ii)           
the making of a public statement by the administrator of the Original Reference Rate that it has ceased or that it will
cease publishing the Original Reference Rate permanently or indefinitely (in circumstances where no successor administrator has
been appointed that will continue publication of the Original Reference Rate); or

 

(iii)           
the making of a public statement by the supervisor of the administrator of the Original Reference Rate that the Original
Reference Rate has been or will be permanently or indefinitely discontinued; or

 

(iv)           
the making of a public statement by the supervisor of the administrator of the Original Reference Rate that means the Original
Reference Rate will be prohibited from being used either generally or in respect of the Securities, or that its use will be subject
to restrictions or adverse consequences; or

 

(v)           
the making of an official announcement by the Supervisor of the administrator of the Original Reference Rate, with effect
from a date after 31 December 2021, that the Original Reference Rate is no longer representative of its relevant underlying market;
or

 

(vi)           
it has or will prior to the next interest determination date or interest reset date, as applicable, become unlawful for
any paying agent, the Calculation Agent or the Company to calculate any payments due to be made to any holder of the Senior Notes
using the Original Reference Rate (including, without limitation, under the Benchmark Regulation (EU) 2016/1011, if applicable),

 

provided
that in the case of paragraphs (ii) to (iv) above, the Benchmark Event shall occur on the date of the cessation of the Original
Reference Rate, the discontinuation of the Original Reference Rate or the prohibition of use of the Original Reference Rate, as
the case may be, and not the date of the relevant public statement.

 

“Independent
Adviser” means an independent financial institution of international repute or an independent adviser of recognized
standing with appropriate expertise appointed by the Company at its own expense.

 

“Original
Reference Rate” means LIBOR (as defined above); provided that if, following one or more Benchmark Events, LIBOR (or
any Successor Rate or Alternative Rate which has replaced it) has been replaced by a (or a further) Successor Rate or Alternative
Rate and a Benchmark Event subsequently occurs in respect of such Successor Rate or Alternative Rate, the term “Original
Reference Rate” shall be deemed to include any such Successor Rate or Alternative Rate).

 

“Relevant
Nominating Body” means, in respect of a benchmark or screen rate (as applicable):

 

    10

     

    

(i)           
the central bank for the currency to which the benchmark or screen rate (as applicable) relates, or any central bank or
other supervisory authority which is responsible for supervising the administrator of the benchmark or screen rate (as applicable);
or

 

(ii)           
any working group or committee sponsored by, chaired or co-chaired by or constituted at the request of (a) the central
bank for the currency to which the benchmark or screen rate (as applicable) relates, (b) any central bank or other supervisory
authority which is responsible for supervising the administrator of the benchmark or screen rate (as applicable), (c) a group
of the aforementioned central banks or other supervisory authorities or (d) the Financial Stability Board or any part thereof.

 

“Successor
Rate” means a successor to or replacement of the Original Reference Rate which is formally recommended by any Relevant
Nominating Body;

 

(f)            
No premium, upon redemption or otherwise, shall be payable by the Company on the Securities;

 

(g)           
Principal of and any interest on the Securities shall be paid to the Holder through The Bank of New York Mellon, acting
through its London Branch, as paying agent of the Company;

 

(h)           
On at least 5 Business Days but no more than 30 Business Days’ prior written notice delivered to the Holders of the
Securities, the Company may redeem, in its sole discretion, the Securities, in whole, but not in part, on March 17, 2022 at a
redemption price equal to 100% of the principal amount of the Securities being redeemed plus any accrued and unpaid interest
thereon, if any, to, but excluding, the date of redemption, as provided in the Senior Indenture;

 

(i)            
The Securities may be redeemable pursuant to Section 11.08 of the Senior Indenture. In connection with any redemption of
the Securities pursuant to Section 11.08 of the Senior Indenture, the date referenced therein shall be September 17, 2019;

 

(j)            
The Company shall have no obligation to redeem or purchase the Securities pursuant to any sinking fund or analogous provision;

 

(k)           
The Securities shall be issued only in denominations of $200,000 and in integral multiples of $1,000 in excess thereof;

 

(l)            
The principal amount of the Securities shall be payable upon the declaration of acceleration thereof pursuant to Section
5.02 of the Senior Indenture, as amended by this Ninth Supplemental Indenture;

 

(m)           The
Securities shall not be converted into or exchanged at the option of the Company or otherwise for stock or other securities of
the Company;

 

    11

     

    

(n)           
The Securities shall be denominated in, and payments thereon shall be made in, U.S. Dollars;

 

(o)           
The payment of principal of (and premium, if any) or interest, if any, on the Securities shall be payable only in the coin
or currency in which the Securities are denominated;

 

(p)           
The Securities shall be issued in the form of one or more global securities in registered form, without coupons attached,
and the initial Holder with respect to each such global security shall be Cede & Co., as nominee of The Depository Trust Company;

 

(q)           
The Securities shall not be initially issued in definitive form;

 

(r)            
The calculation agent (the “Calculation Agent”) for the Securities shall be The Bank of New York Mellon,
London Branch pursuant to the terms of a Calculation Agency Agreement dated as of September 17, 2019;

 

(s)           
The Events of Default on the Securities are as provided for in Section 5.01 of the Senior Indenture, as amended by this
Ninth Supplemental Indenture;

 

(t)            
The form of the Securities to be issued on the date hereof shall be substantially in the form of Exhibit A hereto;

 

(u)           
The Company may issue additional Securities (“Additional Notes”) after the date hereof having the same
ranking and same interest rate, maturity date, redemption terms and other terms as the Securities except for the price to the
public, issue date and first interest payment date, provided that such Additional Notes must be fungible with the outstanding
Securities for U.S. federal income tax purposes. Any such Additional Notes, together with the Securities shall constitute a single
series of securities under the Indenture;

 

(v)           
Additional Amounts in respect of the Securities shall be payable as set forth in the Senior Indenture.

 

Article
3

ADDITIONAL TERMS APPLICABLE TO THE SECURITIES

 

Section
3.01.            Addition
of Definitions. With respect to the Securities only, Section 1.01 of the Senior Indenture is amended to include the following
definitions (which shall be deemed to arise in Section 1.01 in their proper alphabetical order):

 

“Business
Day” means any day, other than Saturday or Sunday, that is not a legal holiday nor a day on which banking institutions
are authorized or required by law or regulation to close in the City of New York or the City of London.

 

“Default”
has the meaning specified in Section 5.03.

 

    12

     

    

“Group”
means Lloyds Banking Group plc together with its subsidiaries and associated undertakings.

 

“Loss
Absorption Disqualification Event” shall be deemed to have occurred if, as a result of any amendment to, or change in,
the Loss Absorption Regulations, or any change in the application or official interpretation of the Loss Absorption Regulations,
in any such case becoming effective on or after the Issue Date of the Securities, such Securities are or (in the opinion of the
Company or the opinions of the Relevant Regulator and/or the United Kingdom resolution authority) are likely to be fully or partially
excluded from the Company’s or the Group’s minimum requirements for (A) own funds and eligible liabilities and/or
(B) loss absorbing capacity instruments, in each case as such minimum requirements are applicable to the Company and/or the Group
and determined in accordance with, and pursuant to, the relevant Loss Absorption Regulations; provided that a Loss Absorption
Disqualification Event shall not occur where the exclusion of the Securities from the relevant minimum requirement(s) is due to
the remaining maturity of the Securities being less than any period prescribed by any applicable eligibility criteria for such
minimum requirements under the relevant Loss Absorption Regulations effective with respect to the Company and/or the Group on
the issue date of the Securities.

 

“Loss
Absorption Regulations” means, at any time, the laws, regulations, requirements, guidelines, rules, standards and policies
relating to minimum requirements for own funds and eligible liabilities and/or loss absorbing capacity instruments of the United
Kingdom, the Relevant Regulator, the United Kingdom resolution authority, the Financial Stability Board and/or of the European
Parliament or of the Council of the European Union then in effect in the United Kingdom including, without limitation to the generality
of the foregoing, any delegated or implementing acts (such as regulatory technical standards) adopted by the European Commission
and any regulations, requirements, guidelines, rules, standards and policies relating to minimum requirements for own funds and
eligible liabilities and/or loss absorbing capacity instruments adopted by the Relevant Regulator and/or the United Kingdom resolution
authority from time to time (whether or not such regulations, requirements, guidelines, rules, standards or policies are applied
generally or specifically to the Company or to the Group).

 

“Relevant
Regulator” means the Prudential Regulation Authority, the Bank of England or such other governmental authority in the
United Kingdom (or if the Company becomes domiciled in a jurisdiction other than the United Kingdom, in such other jurisdiction)
having primary supervisory authority with respect to the Company and/or the Group with respect to prudential and/or resolution
matters, as the case may be.

 

    13

     

    

“relevant
U.K. resolution authority” means any authority with the ability to exercise a U.K. bail-in power.

 

“U.K.
bail-in power” means any write-down, conversion, transfer, modification or suspension power existing from time to time
under any laws, regulations, rules or requirements relating to the resolution of banks, banking group companies, credit institutions
and/or investment firms incorporated in the United Kingdom in effect and applicable in the United Kingdom to Lloyds Banking Group
plc or its affiliates, including but not limited to any such laws, regulations, rules or requirements which are implemented, adopted
or enacted within the context of a European Union directive or regulation of the European Parliament and of the Council establishing
a framework for the recovery and resolution of credit institutions and investment firms and/or within the context of a U.K. resolution
regime under the U.K. Banking Act 2009 as the same has been or may be amended from time to time (whether pursuant to the U.K.
Financial Services (Banking Reform) Act 2013 (the “Banking Reform Act 2013”), secondary legislation or otherwise),
pursuant to which any obligations of a bank, banking group company, credit institution or investment firm or any of its affiliates
can be reduced, cancelled, modified, transferred and/or converted into shares or other securities or obligations of the obligor
or any other person (or suspended for a temporary period) or pursuant to which any right in a contract governing such obligations
may be deemed to have been exercised. A reference to the “relevant U.K. resolution authority” is to any authority
with the ability to exercise a U.K. bail-in power.

 

Section
3.02.          Deletion
of Definitions. With respect to the Securities only, the following definitions shall be deleted in their entirety in Section
1.01 of the Senior Indenture:

 

“Default
Interest” has the meaning specified in ‎Section 3.07.

 

“Business
Day” has the meaning specified in Section 3.01.

 

Section
3.03.          Payment;
Interest Rights Preserved. With respect to the Securities only, Section 3.07 is amended and restated in its entirety and shall
read as follows:

 

Section
3.07. Payment; Interest Rights Preserved. Except as otherwise provided as contemplated by ‎Section 3.01 with
respect to any series of Senior Debt Securities, interest, if any, on any Senior Debt Securities which is payable, and is paid
or duly provided for, on any Interest Payment Date shall be paid to the Holder (including if held through a Paying Agent of the
Company designated pursuant to ‎Section 3.01 outside the United Kingdom for collection by the Holder) at the close
of business on the Regular Record Date for such interest.

 

    14

     

    

In
the case of Senior Debt Securities where payment is to be made in Dollars, payment at any Paying Agent’s office outside
The City of New York will be made in Dollars by check drawn on, or, at the request of the Holder, by transfer to a Dollar account
maintained by the payee with, a bank in The City of New York.

 

In
the case of Senior Debt Securities where payment is to be made in a Foreign Currency, payment will be made as established pursuant
to ‎Section 3.01.

 

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

 

Section
3.04.            Events
of Default. With respect to the Securities only, Section 5.01 of the Senior Indenture is amended and restated in its entirety
and shall read as follows:

 

Section
5.01. Events of Default. “Event of Default”, wherever used herein with respect to Senior Debt Securities
of a particular series, means the making of an order by a court of competent jurisdiction which is not successfully appealed within
30 days of the making of such order, or valid adoption by the shareholders of the Company of an effective resolution, for the
winding-up of the Company (other than under or in connection with a scheme of amalgamation or reconstruction not involving bankruptcy
or insolvency). The exercise of any U.K. bail-in power by the relevant U.K. resolution authority shall not constitute a default
or an Event of Default under this Section 5.01 or a Default under Section 5.03.

 

Section
3.05.            Acceleration
of Maturity; Rescission and Annulment. With respect to the Securities only, Section 5.02 of the Senior Indenture is amended
by adding the following at the end of the section:

 

If
the Senior Debt Securities become due and payable (whether pursuant to this Section 5.02 or Article 11 below) and the Company
fails to pay such amounts (or any damages awarded for breach of any obligations in respect of the Senior Debt Securities or this
Senior Debt Securities Indenture) forthwith upon demand, notwithstanding the continuing right of any Holder to receive payment
of the principal of and interest on Senior Debt Securities, or to institute suit for the enforcement of any such payment, each
in accordance with Section 316(b) (Directions and Waivers by Bondholders; Prohibition of Impairment of Holders’ Right
to Repayment) of the Trust Indenture Act, the Trustee, in its own name and as trustee of an express trust, may institute proceedings
for the winding up of the Company, and/or prove in a winding up of the Company for all such due and payable amounts (including
any damages awarded for breach of any obligations in respect of the Senior Debt Securities or this Senior Debt Securities Indenture)
but no other remedy shall be available to the Trustee or the Holders.

 

    15

     

    

Section
3.06.            Defaults;
Collection of Indebtedness and Suits for Enforcement by Trustee. With respect to the Securities only, Section 5.03 of the
Senior Indenture is amended and restated in its entirety and shall read as follows:

 

Section
5.03. Defaults; Collection of Indebtedness and Suits for Enforcement by Trustee. “Default” wherever
used herein with respect to Senior Debt Securities of a particular series, means any one of the following events (subject as provided
below, whatever the reason for such Default and whether it shall be voluntary or involuntary or be effected by operation of law
pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental
body):

 

(a)
the Company fails to pay any installment of interest on any Senior Debt Security of such series on or before its Interest Payment
Date and such failure continues for 14 days; or

 

(b)
the Company fails to pay all or any part of the principal of any Senior Debt Security of such series on any date on which such
principal shall otherwise have become due and payable, whether upon redemption or otherwise, and such failure continues for seven
days.

 

If
a Default occurs, the Trustee may commence a proceeding for the winding-up of the Company and/or prove in a winding-up of the
Company, provided that the Trustee may not (except in such winding-up, in accordance with Section 5.01) declare the principal
amount of, or any other amount in respect of, any Outstanding Senior Debt Security to be due and payable.

 

Subject
to applicable law, including the Trust Indenture Act, no Holder may exercise or claim any right of set-off, counterclaim, combination
of accounts, compensation or retention in respect of any amount owed to it by the Company arising under or in connection with
the Senior Debt Securities. The Holders of Senior Debt Securities by their acceptance thereof will be deemed to have waived any
right of set-off, counterclaim, combination of accounts, compensation and retention with respect to the Senior Debt Securities
or this Senior Debt Securities Indenture (or between the obligations under or in respect of any Senior Debt Securities and any
liability owed by a Holder to the Company) that they might otherwise have against the Company, whether before or during a winding-up
or liquidation of the Company. Notwithstanding the above, if any of such rights and claims of any such Holder against the Company
are discharged by set-off, such Holder will immediately pay an amount equal to the amount of such discharge to the Company or,
in the event of the winding up of the Company, the liquidator or administrator (or other relevant insolvency official), as the
case may be, and until such time as payment is made will hold a sum equal to such amount in trust for the Company or the liquidator
or administrator (or other relevant insolvency official), as the case may be, and accordingly such discharge shall be deemed not
to have taken place.

 

    16

     

    

Notwithstanding
the foregoing, failure to make any payment in respect of a series of Senior Debt Securities shall not be a Default in respect
of such Senior Debt Securities if such payment is withheld or refused and the Company delivers an Opinion of Counsel concluding
that such sums were not paid in order to comply with any fiscal or other law or regulation or with the order of any court of competent
jurisdiction, provided, however, that the Trustee may by notice to the Company require the Company to take such action (including
but not limited to proceedings for a declaration by a court of competent jurisdiction) as the Trustee may be advised in an Opinion
of Counsel, upon which opinion the Trustee may conclusively rely, is appropriate and reasonable in the circumstances to resolve
such doubt, in which case the Company shall forthwith take and expeditiously proceed with such action and shall be bound by any
final resolution of the doubt resulting therefrom. If any such action results in a determination that the relevant payment can
be made without violating any applicable law, regulation or order then the provisions of the preceding sentence shall cease to
have effect and the payment shall become due and payable on the expiration of 14 days (in the case of payments under Section 5.03(a)
above) or seven days (in the case of payments under Section 5.03(b) above) after the Trustee gives written notice to the Company
informing it of such resolution.

 

Except
as otherwise provided in this Article 5, the Trustee may in its discretion proceed to protect and enforce its rights and the rights
of the Holders of Senior Debt 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 Senior
Debt Securities Indenture or in aid of the exercise of any power granted herein, or to enforce any other legal or equitable right
vested in the Trustee by this Senior Debt Securities Indenture or by law, provided, however, that the Company shall not, as a
result of the bringing of such judicial proceedings, be required to pay any amount representing or measured by reference to the
principal of, or any interest on, the Senior Debt Securities prior to any date on which the principal of, or any interest on,
the Senior Debt Securities would have otherwise been payable by the Company.

 

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

 

    17

     

    

No
remedy against the Company other than as referred to in this Article 5 shall be available to the Trustee or the Holders, whether
for the recovery of amounts owing in respect of the Senior Debt Securities or under this Senior Debt Securities Indenture or in
respect of any breach by the Company of any of its other obligations under or in respect of the Senior Debt Securities or under
this Senior Debt Securities Indenture, except that the Trustee and the Holders shall have such rights and powers as they are required
to have under the Trust Indenture Act.

 

Section
3.07.            With respect to the Securities only, (a) Sections 5.07(a), 5.07(b), 5.11, 5.13, 6.02, 6.03(i), 8.01(b), 8.03(c) and 10.03(b)
shall be amended to add the words “or Default” after each appearance of the words “Event of Default” and
(b) Section 11.08 shall be amended to replace in the first paragraph the word “Unless” with the words “Subject
to Section 11.1 and unless”.

 

Section
3.08.            Deletion
of Satisfaction and Discharge Provisions. With respect to the Securities only, Article 4 of the Senior Indenture is deleted
in its entirety.

 

Section
3.09.            Compensation
and Reimbursement. With respect to the Securities only, Section 6.07 of the Senior Indenture is amended in part to add the
following sentence at the end of the section:

 

The
Trustee’s right to reimbursement and indemnity under this Section 6.07 shall survive the payment in full of the Senior Debt
Securities, the discharge of this Senior Debt Securities Indenture, the resignation or removal of the Trustee and (without prejudice
to Section 4.08 of the Ninth Supplemental Indenture if and to the extent applicable as set out therein) any exercise of the U.K.
bail-in power by the relevant U.K. resolution authority with respect to the obligations owed or owing to Holders pursuant to or
in connection with the Senior Debt Securities.

 

Section
3.10.            Agreement
with Respect to Exercise of U.K. Bail-In Power. The following provisions relate solely to the Securities established
pursuant to this Ninth Supplemental Indenture:

 

(a)           
Notwithstanding any other agreements, arrangements, or understandings between the Company and any Holder or Beneficial
Owner of the Securities, by purchasing or acquiring the Securities, each Holder (including each Beneficial Owner) of the Securities
acknowledges, accepts, agrees to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution
authority that may result in (i) the reduction or cancellation of all, or a portion, of the principal amount of, or interest on,
the Securities; (ii) the conversion of all, or a portion, of the principal amount of, or interest on, the Securities into shares
or other securities or other obligations of the Company or another person; and/or (iii) the amendment or alteration of the maturity
of the Securities, or amendment of the amount of interest due on the Securities, or the dates on which interest becomes payable,
including by suspending payment for a temporary

 

    18

     

    

period;
which U.K. bail-in power may be exercised by means of variation of the terms of the Securities solely to give effect to the exercise
by the relevant U.K. resolution authority of such U.K. bail-in power. Each Holder and Beneficial Owner of the Securities further
acknowledges and agrees that the rights of the Holders and/or Beneficial Owners under the Securities are subject to, and will
be varied, if necessary, solely to give effect to, the exercise of any U.K. bail-in power by the relevant U.K. resolution authority.

 

(b)           
By purchasing or acquiring the Securities, each Holder and each Beneficial Owner of the Securities:

 

(i)           
acknowledges and agrees that the exercise of the U.K. bail-in power by the relevant U.K. resolution authority in respect
of the Securities shall not give rise to a default or an Event of Default for purposes of Section 315(b) (Notice of Default) and
Section 315(c) (Duties of the Trustee in Case of Default) of the Trust Indenture Act;

 

(ii)           
to the extent permitted by the Trust Indenture Act, waives any and all claims against the Trustee for, agrees not to initiate
a suit against the Trustee in respect of, and agrees that the Trustee shall not be liable for, any action that the Trustee takes,
or abstains from taking, in either case in accordance with the exercise of the U.K. bail-in power by the relevant U.K. resolution
authority with respect to the Securities; and

 

(iii)           
acknowledges and agrees that, upon the exercise of any U.K. bail-in power by the relevant U.K. resolution authority, (a)
the Trustee shall not be required to take any further directions from Holders of the Securities under Section 5.12 of the Senior
Indenture, and (b) neither the Senior Indenture nor this Ninth Supplemental Indenture shall impose any duties upon the Trustee
whatsoever with respect to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority. Notwithstanding the
foregoing, if, following the completion of the exercise of the U.K. bail-in power by the relevant U.K. resolution authority, any
of the Securities remain outstanding (for example, if the exercise of the U.K. bail-in power results in only a partial write-down
of the principal of the Securities), then the Trustee’s duties under the Indenture shall remain applicable with respect
to the Securities following such completion to the extent that the Company and the Trustee shall agree pursuant to a supplemental
indenture or an amendment to this Ninth Supplemental Indenture.

 

(c)           
By purchasing or acquiring the Securities, each Holder and Beneficial Owner that acquires its Securities in the secondary
market shall be deemed to acknowledge and agree to be bound by and consent to the same provisions specified in the Indenture to
the same extent as the Holders and Beneficial Owners of the Securities that acquire the Securities upon their initial issuance,
including, without limitation, with respect to the acknowledgement and agreement to be bound by and consent to the terms of the
Securities related to the U.K. bail-in power.

 

    19

     

    

(d)           
By purchasing or acquiring the Securities, each Holder and Beneficial Owner shall be deemed to have (i) consented to the
exercise of any U.K. bail-in power as it may be imposed without any prior notice by the relevant U.K. resolution authority of
its decision to exercise such power with respect to the Securities and (ii) authorized, directed and requested DTC and any direct
participant in DTC or other intermediary through which it holds such Securities to take any and all necessary action, if required,
to implement the exercise of any U.K. bail-in power with respect to the Securities as it may be imposed, without any further action
or direction on the part of such Holder or Beneficial Owner or the Trustee.

 

(e)           
No repayment of the principal amount of the Securities or payment of interest on the Securities shall become due and payable
after the exercise of any U.K. bail-in power by the relevant U.K. resolution authority unless, at the time that such repayment
or payment, respectively, is scheduled to become due, such repayment or payment would be permitted to be made by the Company under
the laws and regulations of the United Kingdom and the European Union applicable to the Company and the Group.

 

(f)            
Upon the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with respect to the Securities, the
Company shall provide a written notice to DTC as soon as practicable regarding such exercise of the U.K. bail-in power for purposes
of notifying Holders of such occurrence. The Company shall also deliver a copy of such notice to the Trustee for information purposes
only.

 

Section
3.11.    Redemption
of Securities. With respect to the Securities only, Article 11 of the Senior Indenture is amended to add a Section 11.09,
Section 11.10 and Section 11.11, each of which shall read as follows:

 

Section
11.09. Optional Redemption.

 

Subject
to Section 11.11 and on at least 5 Business Days’, but no more than 30 Business Days’, prior written notice delivered
to the registered holders of the Securities, the Company may, at the Company’s option and in its sole discretion, redeem
the Securities, in whole, but not in part, on March 17, 2022, at a Redemption Price equal to 100% of the principal amount of the
notes being redeemed together with any accrued and unpaid interest to, but excluding, the date of redemption.

 

Section
11.09 Loss Absorption Disqualification Event Redemption.

 

Subject
to Section 11.10, the Company may, at the Company’s option (but subject to, if and to the extent then required by the Relevant
Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting
the Company permission), having given not less than 30 nor more than 60 days’ notice to holders, redeem all but not some
only of the Securities outstanding at any time at 100% of their principal amount together with any accrued but unpaid interest
to the date of redemption, if

 

    20

     

    

immediately
prior to the giving of the notice referred to above, the Company satisfies the Trustee that a Loss Absorption Disqualification
Event has occurred.

 

Section
11.10. Conditions to Redemption and Repurchase, etc.

 

Notwithstanding
anything herein to the contrary, any redemption or purchase of Securities (other than redemption on the relevant Maturity Date),
and any modification to the terms of the Securities or any indenture relating thereto, is subject to, if and to the extent then
required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and
the Relevant Regulator granting the Company permission therefor and otherwise to compliance with the Loss Absorption Regulations
if and to the extent then required thereunder.

 

Article
4

MISCELLANEOUS

 

Section
4.01.       Effect
of Supplemental Indenture. Upon the execution and delivery of this Ninth Supplemental Indenture by each of the Company and
the Trustee, and the delivery of the documents referred to in Section 5.02 herein, the Senior Indenture shall be supplemented
in accordance herewith, and this Ninth Supplemental Indenture shall form a part of the Senior Indenture for all purposes in respect
of the Securities or otherwise as applicable.

 

Section
4.02.       Other
Documents to be Given to the Trustee. The Trustee shall be entitled to receive an Officer’s Certificate and an Opinion
of Counsel stating the recitals contained in Section 1.02 of the Senior Indenture and, in the case of the Opinion of Counsel,
stating that the Indenture is a legal, binding a valid obligation of the Company enforceable in accordance with its terms. As
specified in Section 9.03 of the Senior Indenture and subject to the provisions of Section 6.03 of the Senior Indenture, the Trustee
shall also be entitled to receive an Opinion of Counsel stating that that this Ninth Supplemental Indenture is authorized or permitted
by the Indenture, and the Ninth Supplemental Indenture and the Securities whose terms are incorporated by reference herein are
each, subject to Section 1.03 of the Senior Indenture, a legal, valid and binding obligation of the Company enforceable in accordance
with their terms, except as the enforceability thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or
other laws relating to or affecting creditor’s rights generally, by equitable principles of general applicability and by
possible judicial actions giving effect to governmental actions or foreign laws affecting creditors’ rights, and the Ninth
Supplemental Indenture is permitted under the Indenture. The Trustee may rely on such Officer’s Certificate and Opinion
of Counsel as conclusive evidence that this Ninth Supplemental Indenture complies with the applicable provisions of the Senior
Indenture.

 

    21

     

    

Section
4.03.       Confirmation
of Indenture. The Senior Indenture, as supplemented and amended by this Ninth Supplemental Indenture with respect to the Securities
or otherwise as applicable, is in all respects ratified and confirmed, and the Senior Indenture, this Ninth Supplemental Indenture
and all indentures supplemental thereto shall, in respect of the Securities or otherwise as applicable, be read, taken and construed
as one and the same instrument. This Ninth Supplemental Indenture constitutes an integral part of the Senior Indenture and, where
applicable, with respect to the Securities. In the event of a conflict between the terms and conditions of the Senior Indenture
and the terms and conditions of this Ninth Supplemental Indenture, the terms and conditions of this Ninth Supplemental Indenture
shall prevail where applicable.

 

Section
4.04.       Concerning the
Trustee. The Trustee does not make any representations as to the validity or sufficiency of this Ninth Supplemental
Indenture or the Securities. The recitals and statements herein are deemed to be those of the Company and not the Trustee. In
entering into this Ninth Supplemental Indenture, the Trustee shall be entitled to the benefit of every provision of the
Senior Indenture relating to the conduct of or affecting the liability of or affording protection to the Trustee.

 

Section
4.05.        Governing
Law. This Ninth Supplemental Indenture and the Securities shall be governed by and construed in accordance with the laws of
the State of New York, except that the authorization and execution by the Company of this Ninth Supplemental Indenture and the
Securities shall be governed by (in addition to the laws of the State of New York relevant to execution) the respective jurisdictions
of the Company and the Trustee, as the case may be.

 

Section
4.06.       Separability.
In case any provision contained in this Ninth Supplemental Indenture 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
4.07.       Counterparts.
This Ninth Supplemental Indenture may be executed in any number of counterparts, each of which shall be an original, but such
counterparts shall together constitute but one and the same instrument.

 

Section
4.08.       Concerning
BRRD Liability. Notwithstanding and to the exclusion of any other term of this Ninth Supplemental Indenture or the Senior
Indenture or any other agreements, arrangements, or understanding between the Company and the Trustee, the Trustee acknowledges
and accepts that a BRRD Liability arising under this Ninth Supplemental Indenture may be subject to the exercise of Bail-in Powers
by the relevant Resolution Authority (but only to the extent applicable) and acknowledges, accepts, and agrees to be bound by:

 

    22

     

    

(a)           
the effect of the exercise of Bail-in Powers by the Relevant Resolution Authority in relation to any BRRD Liability of
the Company to the Trustee under this Ninth Supplemental Indenture or the Senior Indenture, that (without limitation) may include
and result in any of the following, or some combination thereof:

 

(i)           
the reduction of all, or a portion, of the BRRD Liability or outstanding amounts due thereon;

 

(ii)           
the conversion of all, or a portion, of the BRRD Liability into shares, other securities or other obligations of the Company
or another person (and the issue to or conferral on the Trustee of such shares, securities or obligations);

 

(iii)           
the cancellation of the BRRD Liability; and/or

 

(iv)           
the amendment or alteration of any interest, if applicable, thereon, the maturity or the dates on which any payments are
due, including by suspending payment for a temporary period; and

 

(b)           
the variation of the terms of this Ninth Supplemental Indenture, as deemed necessary by the Relevant Resolution Authority,
to give effect to the exercise of Bail-in Powers by the Relevant Resolution Authority.

 

“Bail-in
Legislation” means Part I of the U.K. Banking Act 2009 and any other law, regulation, rule or requirement applicable
from time to time in the U.K. relating to the resolution of unsound or failing banks, investment firms or other financial institutions
or their affiliates (otherwise than through liquidation, administration or other insolvency proceedings).

 

“Bail-in
Powers” means any Write-down and Conversion Powers as defined in relation to the Bail-in Legislation.

 

“BRRD”
means Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms.

 

“BRRD
Liability” means a liability in respect of which the relevant Write-down and Conversion powers in the applicable Bail-in
Legislation may be exercised.

 

“Relevant
Resolution Authority” means the resolution authority with the ability to exercise any Bail-in Powers in relation to
the Company.

 

“Write-down
and Conversion Powers” means the powers under the Bail-In Legislation to cancel, transfer or dilute shares issued by
a person that is a bank or investment firm or affiliate of a bank or investment firm, to cancel, reduce, modify or change the
form of a liability of such a person or any contract or instrument under which that liability arises, to convert all or part of
that liability into shares, securities or obligations of that person or any other person, to provide

 

    23

     

    

that
any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect
of that liability.

 

[Signature
Pages Follow]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    24

     

    

IN WITNESS
WHEREOF, the parties hereto have caused this Ninth Supplemental Indenture to be duly executed as of the date first written above.

 

 

	 	LLOYDS BANKING GROUP PLC
	 	 
	 	By:	/s/ Gavin Parker
	 	 	Name: Gavin Parker
	 	 	Title: Authorised Signatory

 

 

 

 

    
[Signature Page to Ninth Supplemental Indenture]

     

    

 

	 	THE
BANK OF NEW YORK MELLON, 

acting through its London Branch, as Trustee

	 	 
	 	By:	/s/ Thomas Vanson
	 	 	Name: Thomas Vanson
	 	 	Title: Authorised Signatory

 

 

    
[Signature Page to Ninth Supplemental Indenture]

     

    

EXHIBIT
A

 

FORM
OF 2023 SENIOR CALLABLE FIXED-TO-FLOATING RATE SENIOR GLOBAL NOTE

 

THIS SECURITY
IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY
OR A NOMINEE THEREOF. THIS SECURITY MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS
SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A NOMINEE THEREOF, EXCEPT
IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

 

CUSIP
No. 53944YAK9

ISIN No. US53944YAK91

Common Code: 205338152 

 

LLOYDS BANKING
GROUP plc

 

2.858% SENIOR
CALLABLE FIXED-TO-FLOATING RATE NOTE DUE 2023

	No. [·]	$[·]

 

LLOYDS BANKING
GROUP plc (herein called the “Company,” which term includes any successor person under the Indenture (as defined on
the reverse hereof)), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the principal sum of
$[●] ([●] dollars) on March 17, 2023 (the “Maturity Date”) or on such earlier date as the principal hereof
may become due in accordance with the terms hereof and to pay interest thereon (i) from, and including, the date of issuance hereof
to, but excluding, March 17, 2022, semi-annually in arrears on the Fixed Rate Interest Payment Dates (as defined on the reverse
hereof) and (ii) from, and including, March 17, 2022 to, but excluding, March 17, 2023, quarterly in arrears on the Floating Rate
Interest Payment Dates (as defined in the reverse hereof). Interest so payable on any Interest Payment Date (as defined on the
reverse hereof) shall be paid to the Holder in whose name this Senior Note is registered on the 15th calendar day immediately
preceding the relevant Interest Payment Date, whether or not such day is a Business Day, as defined in the Indenture (each a “Regular
Record Date”). If (i) the Company fails to pay any installment of interest on this Senior Note on or before its Interest
Payment Date and such failure continues for 14 days or (ii) the Company fails to pay all or any part of the principal of this
Senior Note on any date on which such principal shall otherwise have become due and payable, whether upon redemption or otherwise,
and such failure continues for seven days (each of (i) and (ii), a “Default”), the Trustee may commence a proceeding
for the winding up of the Company, provided that the Trustee may not, upon the occurrence of a

 

    

     

    

Default,
declare the principal amount of any of the Outstanding Senior Notes to be due and payable.

 

Interest
shall accrue on this Senior Note from day to day from the date of issuance hereof until the principal amount hereof is paid or
made available for payment.

 

Payments
of interest on this Senior Note shall be computed on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, the actual number of days elapsed in such period.

 

Payment
of the principal amount of (and premium, if any) and any interest on, this Senior Note will be made 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. Such payment shall
be made to the Holder including through a Paying Agent of the Company outside the United Kingdom for collection by the Holder.
If the date for payment of the principal amount hereof (and premium, if any) or interest thereon is not a Business Day, then (subject
as provided in the Indenture) such payment shall be made on the next succeeding Business Day with the same force and effect as
if made on such date for payment and without any interest or other payment in respect of such delay.

 

Prior
to due presentment of this Senior Note 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 Senior Note is registered as the owner of such Senior Note for the purpose
of receiving payment of principal and interest, if any, on such Senior Note and for all other purposes whatsoever, whether or
not such Senior Note 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.

 

Reference
is hereby made to the further provisions of this Senior Note 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 Senior Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or Beneficial Owner of this Senior Note,
by purchasing or acquiring this Senior Note, each Holder (including each Beneficial Owner) of this Senior Note acknowledges, accepts,
agrees to be bound by and consents to the exercise of any U.K. bail-in power (as defined below) by the relevant U.K. resolution
authority that may result in (i) the reduction or cancellation of all, or a portion, of the principal amount of, or interest on,
this Senior Note; (ii) the conversion of all, or a portion, of the principal amount of, or interest on, this Senior Note into
shares or other securities or other obligations of the Company or another person; and/or (iii) the amendment or alteration of
the maturity of this Senior Note, or amendment of the amount of interest due on this Senior Note, or the dates on which interest
becomes payable, including by suspending

 

    A-2

     

    

payment
for a temporary period; which U.K. bail-in power may be exercised by means of variation of the terms of this Senior Note solely
to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. Each Holder and Beneficial
Owner of this Senior Note further acknowledges and agrees that the rights of the Holders and/or Beneficial Owners under this Senior
Note are subject to, and will be varied, if necessary, solely to give effect to, the exercise of any U.K. bail-in power by the
relevant U.K. resolution authority.

 

For
these purposes, a “U.K. bail-in power” is any write-down, conversion, transfer, modification or suspension power existing
from time to time under any laws, regulations, rules or requirements relating to the resolution of banks, banking group companies,
credit institutions and/or investment firms incorporated in the United Kingdom in effect and applicable in the United Kingdom
to the Company and the Group, including but not limited to any such laws, regulations, rules or requirements which are implemented,
adopted or enacted within the context of a European Union directive or regulation of the European Parliament and of the Council
establishing a framework for the recovery and resolution of credit institutions and investment firms and/or within the context
of a U.K. resolution regime under the U.K. Banking Act 2009 as the same has been or may be amended from time to time (whether
pursuant to the U.K. Financial Services (Banking Reform) Act 2013, secondary legislation or otherwise), pursuant to which any
obligations of a bank, banking group company, credit institution or investment firm or any of its affiliates can be reduced, cancelled,
modified, transferred and/or converted into shares or other securities or obligations of the obligor or any other person (or suspended
for a temporary period) or pursuant to which any right in a contract governing such obligations may be deemed to have been exercised.
A reference to the “relevant U.K. resolution authority” is to any authority with the ability to exercise a U.K. bail-in
power.

 

[The rest
of this page is intentionally left blank]

 

 

 

 

 

 

    A-3

     

    

IN
WITNESS WHEREOF, the Company has caused this Senior Note to be duly executed.

 

Dated:

 

	 	LLOYDS BANKING GROUP PLC
	 	 
	 	 
	 	 	 
	 	Name:	 
	 	Title:   	 

 

 

 

 

[Global
Note Signature Page]

 

 

 

 

    A-4

     

    

 

 

CERTIFICATE
OF AUTHENTICATION

 

This
is one of the Senior Notes of the series designated herein referred to in the within-mentioned Indenture.

 

Dated:

 

	 	THE BANK OF NEW YORK
MELLON,
	 	LONDON BRANCH, as Trustee
	 	 
	 	 
	 	By:      	                         	 
	 	Authorized Signatory	 
	 	 	 

 

 

 

[Global
Note Signature Page]

 

    A-5

     

    

 

 

[REVERSE
OF SECURITY]

 

This
Senior Note is one of a duly authorized issue of securities of the Company (herein called the “Senior Notes”) issued
and to be issued in one or more series under a Senior Debt Securities Indenture, dated as of July 6, 2010 (herein called the “Senior
Indenture”), among the Company, as issuer, and The Bank of New York Mellon, acting through its London Branch as trustee
(herein called the “Trustee,” which term includes any successor trustee under the Senior Indenture), as supplemented
by the Ninth Supplemental Indenture dated as of September 17, 2019, among the Company and the Trustee (the “Ninth Supplemental
Indenture”, and, together with the Senior Indenture, 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 Senior Notes and of the terms upon which the Senior Notes are, and
are to be, authenticated and delivered.

 

This
Senior Note is one of the series designated on the face hereof, initially limited in aggregate principal amount to $1,500,000,000.
The Company may, without the consent of the Holders of the Senior Notes, issue additional notes having the same ranking and interest
rate, maturity date, redemption terms and other terms as the Senior Notes except for the price to the public, issue date and first
interest payment date, provided that such additional notes must be fungible with the outstanding Senior Notes for U.S. federal
income tax purposes. Any such Senior Notes, together with this Senior Note, will constitute a single series of securities under
the Indenture. The Senior Notes will initially be issued in the form of one or more global Senior Notes (each, a “Global
Senior Note”). Except as provided in the Indenture, a Global Senior Note shall not be exchangeable for one or more definitive
Senior Notes.

 

The
Senior Notes of this series will constitute direct, unconditional, unsecured and unsubordinated obligations of the Company, as
described herein, and will rank pari passu and without any preference among themselves and at least pari passu with
all of the Company’s other outstanding unsecured and unsubordinated obligations, present and future subject to such exceptions
as may be provided by mandatory provisions of applicable law.

 

During
the period from, and including, September 17, 2019 to, but excluding, March 17, 2022 (the “Fixed Rate Period”), interest
shall accrue from the Issue Date at a fixed rate of 2.858% per annum. Interest accrued during the Fixed Rate Period shall be payable
semi-annually in arrears on March 17 and September 17 of each year (each, a “Fixed Rate Interest Payment Date”), commencing
on March 17, 2020.

 

During
the period from, and including, March 17, 2022 to, but excluding, March 17, 2023 (the “Floating Rate Period”), interest
shall accrue at a floating annual rate (the “Floating Interest Rate”) equal to LIBOR on the applicable Interest Determination
Date plus the Spread. The “Spread” is 124.9 basis points. Interest accrued during the Floating Rate Period
shall be payable quarterly in arrears on June 17, 2022, September 17, 2022,

 

    A-6

     

    

December
17, 2022 and March 17, 2023 (each, a “Floating Rate Interest Payment Date”, and together with the Fixed Rate Interest
Payment Dates, the “Interest Payment Dates”).

 

Interest
during the Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate
Interest Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment
shall not accrue during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Floating Rate Period shall be calculated on the basis of a 360-day year and the actual number of days elapsed. The
Floating Interest Rate shall be reset on each Floating Rate Interest Payment Date (each, an “Interest Reset Date”).
If any scheduled Floating Rate Interest Payment Date (other than the Maturity Date) is not a Business Day, such Floating Rate
Interest Payment Date shall be postponed to the next succeeding Business Day and interest thereon shall continue to accrue, except
that if the Business Day falls in the next succeeding calendar month, such Floating Rate Interest Payment Date shall be the immediately
preceding Business Day. In each such case, except for the Floating Rate Interest Payment Date falling on the Maturity Date, the
Floating Rate Interest Period and the Interest Reset Dates shall be adjusted accordingly to calculate the amount of interest payable
on the Senior Notes.

 

If
the scheduled Maturity Date or date of redemption or repayment is not a Business Day, the Company may pay interest and principal
on the next succeeding Business Day, but interest on that payment shall not accrue during the period from and after the scheduled
Maturity Date or date of redemption or repayment.

 

The
first interest period shall begin on, and include, the last Fixed Rate Interest Payment Date to, but exclude, the First Floating
Interest Payment Date. Each subsequent interest period shall begin on, and include, a Floating Interest Payment Date to, but exclude,
the immediately succeeding Floating Interest Payment Date (together with the first interest period, each a “Floating Rate
Interest Period”) except that the final Floating Rate Interest Period shall end on, but exclude, the Maturity Date.

 

The
Calculation Agent shall determine LIBOR for each Floating Rate Interest Period on the second London Banking Day prior to the first
day of such Floating Rate Interest Period (an “Interest Determination Date”).

 

“LIBOR,”
with respect to a Floating Rate Interest Period, shall be the offered rate (expressed as a percentage per annum) for deposits
of U.S. dollars having a maturity of three months that appears on the Designated LIBOR Page as of 11:00 a.m., London time.

 

If
no rate appears on the Designated LIBOR Page, LIBOR shall be determined for such Interest Determination Date on the basis of the
rates at approximately 11:00 a.m., London time, on such Interest Determination Date at which deposits in U.S. dollars are offered
to prime banks in the London inter-bank market by four major banks in such market selected by the Company, for a term of three
months and in a Representative

 

    A-7

     

    

Amount.
The Company shall request that the principal London office of each of such banks provide a quotation of its rate. If at least
two such quotations are provided, LIBOR for such Floating Rate Interest Period shall be the arithmetic mean of such quotations.
If fewer than two such quotations are provided, LIBOR for such Floating Rate Interest Period shall be the arithmetic mean of the
rates quoted at approximately 11:00 a.m. in the City of New York on such Interest Determination Date by three major banks in New
York City, selected by the Company, for loans in U.S. dollars to leading European banks, for a term of three months and in a Representative
Amount. If at least two such quotations are provided, LIBOR for such Floating Rate Interest Period shall be the arithmetic mean
of such quotations. If fewer than two quotations are provided (including if no published LIBOR is available and banks are unable
or unwilling to provide quotations for the calculation of LIBOR), then the applicable interest rate for such floating rate interest
period will be the interest rate applicable during the preceding floating rate interest period or the original fixed interest
rate of the Senior Notes, as applicable.

 

A
“London Banking Day” means any day in which dealings in United States dollars are transacted or, with respect to any
future date, are expected to be transacted in the London interbank market.

 

“Designated
LIBOR Page” means the Reuters Screen LIBOR01 display page, or any successor page, on Reuters or any successor service (or
any such other service(s) as may be nominated by ICE Benchmark Administration Limited (“IBA”) or its successor or
such other entity assuming the responsibility of IBA or its successor in calculating the London interbank offered rate in the
event IBA or its successor no longer does so for the purpose of displaying London interbank offered rates for U.S. dollar deposits).

 

“Representative
Amount” means an amount that in the judgment of the Company is representative for a single transaction in U.S. dollars in
such market at such time.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the
Company, the Trustee, the Paying Agent and on the Holders of the Senior Notes.

 

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

 

The
interest rate on the Senior Notes during the applicable Interest Periods shall in no event be higher than the maximum rate permitted
by law or lower than 0% per annum.

 

Notwithstanding
the provisions above, if a Benchmark Event occurs in relation to an Original Reference Rate when any interest rate (or any component
part thereof),

 

    A-8

     

    

remains
to be determined by reference to such Original Reference Rate, then the Company shall use its reasonable efforts to appoint and
consult with an Independent Adviser, as soon as reasonably practicable, to advise the Company in determining a Successor Rate,
or, if applicable, an Alternative Rate and, in either case, an Adjustment Spread and any Benchmark Amendments.

 

If,
notwithstanding its reasonable efforts, the Company is unable to appoint and consult with an Independent Adviser in accordance
with the foregoing paragraph, it shall nevertheless be entitled, acting in good faith and in a commercially reasonable manner,
to make any and all determinations expressed to be made by the Company, notwithstanding that such determinations are not made
following consultation with an independent Adviser (and references below to the Company consulting with an Independent Adviser
should be read accordingly).

 

If
the Company following consultation with the Independent Adviser, determines that:

 

(i)           
there is a Successor Rate, then such Successor Rate and the applicable Adjustment Spread shall subsequently be used in
place of the Original Reference Rate to determine each interest rate (or the relevant component part(s) thereof) for all relevant
future payments of interest on the Senior Notes (subject to any Benchmark Event subsequently occurring in respect of such Successor
Rate); or

 

(ii)           
there is no Successor Rate but that there is an Alternative Rate, then such Alternative Rate and the applicable Adjustment
Spread shall subsequently be used in place of the Original Reference Rate to determine each interest rate (or the relevant component
part(s) thereof) for all relevant future payments of interest on the Senior Notes (subject to any Benchmark Event subsequently
occurring in respect of such Alternative Rate).

 

The
applicable Adjustment Spread shall be applied to the Successor Rate or the Alternative Rate (as the case may be) for each subsequent
determination of a relevant interest rate (or a component part thereof) by reference to such Successor Rate or Alternative Rate
(as applicable).

 

If
any Successor Rate or Alternative Rate and, in either case, the applicable Adjustment Spread is determined in accordance with
Section 2.01(e) of the Ninth Supplemental Indenture and the Company, following consultation with the Independent Adviser, determines
(i) that amendments to the terms of the Senior Notes and the Indenture are necessary to ensure the proper operation of such Successor
Rate or Alternative Rate and/or (in either case) the applicable Adjustment Spread (such amendments, the “Benchmark Amendments”)
and (ii) the terms of the Benchmark Amendments, then the Company shall, subject to giving notice thereof as provided below, without
any requirement for the consent or approval of holders of the Senior Notes, vary the terms of the Senior Notes and the Indenture
to give effect to such Benchmark Amendments with effect from the date specified in such notice.

 

    A-9

     

    

In
connection with any such variation in accordance with Section 2.01(e) of the Ninth Supplemental Indenture, the Company shall comply
with the rules of the stock exchange on which the Senior Notes are for the time being listed or admitted to trading.

 

Notwithstanding
any other provision of Section 2.01(e) of the Ninth Supplemental Indenture, no Successor Rate or Alternative Rate will be adopted,
nor will the applicable Adjustment Spread be applied, nor will any other amendment to the terms of the Senior Notes or the Indenture
be made to effect the Benchmark Amendments, if and to the extent that, in the determination of the Company, the same could reasonably
be expected to prejudice the qualification of the Senior Notes as eligible liabilities or loss absorbing capacity instruments
for the purposes of the Loss Absorption Regulations.

 

Any
Successor Rate, Alternative Rate, Adjustment Spread and the specific terms of any Benchmark Amendments determined under Section
2.01(e) of the Ninth Supplemental Indenture will be notified promptly by the Company to the Trustee, the Calculation Agent, the
Paying Agent and the holders of the Senior Notes. Such notice shall be irrevocable and shall specify the effective date of the
Benchmark Amendments, if any.

 

No
later than the time the Company notifies the Trustee of the same, the Company shall deliver to the Trustee a certificate signed
by two authorized signatories of the Company where a Benchmark Event in relation to an Original Reference Rate has occurred in
accordance with above: (x) confirming (i) that a Benchmark Event has occurred, (ii) the Successor Rate or, as the case may be,
the Alternative Rate, (iii) the Adjustment Spread and (iv) the specific terms of the Benchmark Amendments (if any), in each case
as determined in accordance with the provisions of Section 2.01(e) of the Ninth Supplemental Indenture; (y) certifying that the
Benchmark Amendments (if any) are necessary to ensure the proper operation of such Successor Rate or Alternative Rate and (in
either case) the applicable Adjustment Spread; and (z) certifying that (i) the Company has duly consulted with an Independent
Adviser with respect to each of the matters above or, if that is not the case, (ii) explaining, in reasonable detail, why the
Company has not done so.

 

The
Trustee shall be entitled to rely on such certificate (without inquiry or liability to any person) as sufficient evidence thereof.
The Successor Rate or Alternative Rate and the Adjustment Spread and the Benchmark Amendments (if any) specified in such certificate
will (in the absence of manifest error in the determination of the Successor Rate or Alternative Rate and the Adjustment Spread
and the Benchmark Amendments (if any) and without prejudice to the Trustee’s ability to rely on such certificate as aforesaid)
be binding on the Company, the Trustee, the Calculation Agent, the Paying Agents and the holders of the Senior Notes.

 

Without
prejudice to the obligations of the Company, the Original Reference Rate and the fallback provisions provided for in Section 2.01(d)
of the Ninth Supplemental Indenture, as applicable, will continue to apply unless and until the Calculation Agent has been notified
of the Successor Rate or the Alternative Rate (as the case may be), and the

 

    A-10

     

    

Adjustment
Spread and Benchmark Amendments (if any) determined in accordance with Section 2.01(e) of the Ninth Supplemental Indenture.

 

If,
following a Benchmark Event, the Company endeavors, but is unable, to determine a Successor Rate or an Alternative Rate (and,
in each case, the applicable Adjustment Spread and any Benchmark Amendments) pursuant to the foregoing provisions, the Company
may, prior to each subsequent interest determination date, re-apply the provisions of Section 2.01(e) of the Ninth Supplemental
Indenture on one or more occasions until a Successor Rate or Alternative Rate (and, in either case, the applicable Adjustment
Spread and any Benchmark Amendments) has been determined and notified as provided above (and, until such determination and notification,
if any, the fallback provisions provided for in Section 2.01(d) of the Ninth Supplemental Indenture, as applicable, will continue
to apply).

 

An
Independent Adviser appointed pursuant to Section 2.01(e) of the Ninth Supplemental Indenture shall act in good faith as an expert
and (in the absence of bad faith or fraud) shall have no liability whatsoever to the Trustee, the Calculation Agent, the paying
agent, or the holders of the Senior Notes for any advice given to the Company in connection with any determination made by the
Company, pursuant to Section 2.01(e) of the Ninth Supplemental Indenture.

 

In
making any determination, the Company shall act in good faith and, in the absence of bad faith or fraud, the Company shall have
no liability whatsoever to the Trustee, the Calculation Agent, the paying agent, or the holders of the Senior Notes for any such
determination made by it.

 

By
its acquisition of Senior Notes or an interest therein, each holder and beneficial owner of the Senior Notes and each subsequent
holder and beneficial owner acknowledges, accepts, agrees to be bound by, and consents to, the Company’s determination of
the Successor Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable, and to any amendment or alteration
of the terms and conditions of the Senior Notes, and the Indenture including an amendment of the amount of interest due on the
Senior Notes, as may be required in order to give effect to the provisions in Section 2.01(e) of the Ninth Supplemental Indenture.
The Trustee and the Calculation Agent shall both be entitled to rely on this deemed consent in connection with any supplemental
indenture or amendment or amendment to the Calculation Agency Agreement which may be necessary to effect the Successor Rate, the
Alternative Rate the Adjustment Spread or the Benchmark Amendments, as applicable.

 

By
its acquisition of Senior Notes or an interest therein, each holder and beneficial owner of Senior Notes and each subsequent holder
and beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent
for, agrees not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that
none of the Trustee, the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation
Agent or any paying agent, as the case may be, takes, or abstains from taking,

 

    A-11

     

    

in
each case in accordance with this section or any losses suffered in connection therewith.

 

By
its acquisition of Senior Notes or an interest therein, each holder and beneficial owner of Senior Notes and each subsequent holder
and beneficial owner agrees that neither the Trustee, the Calculation Agent or any paying agent will have any obligation to determine
any Successor Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable, including in the event of any
failure by the Company to determine any Successor Rate, Alternative Rate, Adjustment Spread or Benchmark Amendments, as applicable.

 

“Adjustment
Spread” means either (a) a spread (which may be positive, negative or zero), or (b) a formula or methodology for calculating
a spread, in each case to be applied to the Successor Rate or the Alternative Rate (as the case may be) and is the spread, formula
or methodology which:

 

(i)           
in the case of a Successor Rate, is formally recommended, or formally provided as an option for parties to adopt, in relation
to the replacement of the Original Reference Rate with the Successor Rate by any Relevant Nominating Body;

 

(ii)           
if no such recommendation has been made, or in the case of an Alternative Rate, the Company, following consultation with
the Independent Adviser, determines is customarily applied to the relevant Successor Rate or Alternative Rate (as the case may
be) in international debt capital markets transactions to produce an industry-accepted replacement rate for the Original Reference
Rate; or

 

(iii)           
if the Company determines there is no such spread, formula or methodology customarily applied, the Company determines,
following consultation with the Independent Adviser, is recognised or acknowledged as being the industry standard for over-the-counter
derivative transactions which reference the Original Reference Rate, where such rate has been replaced by the Successor Rate or
the Alternative Rate (as the case may be).

 

“Alternative
Rate” means an alternative benchmark or screen rate which the Company determines is customarily applied in international
debt capital markets transactions for the purposes of determining rates of interest (or the relevant component part thereof) for
a commensurate interest period and in the same currency as the Senior Notes.

 

“Benchmark
Event” means, with respect to an Original Reference Rate:

 

(i)           
the Original Reference Rate ceasing to be published for a period of at least five Business Days or ceasing to exist; or

 

(ii)           
the making of a public statement by the administrator of the Original Reference Rate that it has ceased or that it will
cease publishing the

 

    A-12

     

    

Original
Reference Rate permanently or indefinitely (in circumstances where no successor administrator has been appointed that will continue
publication of the Original Reference Rate); or

 

(iii)           
the making of a public statement by the supervisor of the administrator of the Original Reference Rate that the Original
Reference Rate has been or will be permanently or indefinitely discontinued; or

 

(iv)           
the making of a public statement by the supervisor of the administrator of the Original Reference Rate that means the Original
Reference Rate will be prohibited from being used either generally or in respect of the Senior Notes, or that its use will be
subject to restrictions or adverse consequences; or

 

(v)           
the making of an official announcement by the Supervisor of the administrator of the Original Reference Rate, with effect
from a date after 31 December 2021, that the Original Reference Rate is no longer representative of its relevant underlying market;
or

 

(vi)           
it has or will prior to the next interest determination date or interest reset date, as applicable, become unlawful for
any paying agent, the Calculation Agent or the Company to calculate any payments due to be made to any holder of the Senior Notes
using the Original Reference Rate (including, without limitation, under the Benchmark Regulation (EU) 2016/1011, if applicable),

 

provided
that in the case of paragraphs (ii) to (iv) above, the Benchmark Event shall occur on the date of the cessation of the Original
Reference Rate, the discontinuation of the Original Reference Rate or the prohibition of use of the Original Reference Rate, as
the case may be, and not the date of the relevant public statement.

 

“Independent
Adviser” means an independent financial institution of international repute or an independent adviser of recognized
standing with appropriate expertise appointed by the Company at its own expense.

 

“Original
Reference Rate” means LIBOR (as defined above); provided that if, following one or more Benchmark Events, LIBOR (or
any Successor Rate or Alternative Rate which has replaced it) has been replaced by a (or a further) Successor Rate or Alternative
Rate and a Benchmark Event subsequently occurs in respect of such Successor Rate or Alternative Rate, the term “Original
Reference Rate” shall be deemed to include any such Successor Rate or Alternative Rate).

 

“Relevant
Nominating Body” means, in respect of a benchmark or screen rate (as applicable):

 

(i)           
the central bank for the currency to which the benchmark or screen rate (as applicable) relates, or any central bank or
other supervisory authority which is responsible for supervising the administrator of the benchmark or screen rate (as applicable);
or

 

    A-13

     

    

(ii)           
any working group or committee sponsored by, chaired or co-chaired by or constituted at the request of (a) the central
bank for the currency to which the benchmark or screen rate (as applicable) relates, (b) any central bank or other supervisory
authority which is responsible for supervising the administrator of the benchmark or screen rate (as applicable), (c) a group
of the aforementioned central banks or other supervisory authorities or (d) the Financial Stability Board or any part thereof.

 

“Successor
Rate” means a successor to or replacement of the Original Reference Rate which is formally recommended by any Relevant
Nominating Body;

 

On
at least 5 Business Days but no more than 30 Business Days’ prior written notice delivered to the Holders of the Senior
Notes, the Company may in its sole discretion (but subject to, if and to the extent then required by the Relevant Regulator or
the Loss Absorption Regulations, our giving notice to the Relevant Regulator and the Relevant Regulator granting us permission)
redeem, the Senior Notes, in whole, but not in part, on March 17, 2022 at a redemption price equal to 100% of the principal amount
of the Senior Notes being redeemed plus any accrued and unpaid interest thereon, if any, to, but excluding, the date of
redemption.

 

If
an Event of Default with respect to the Senior Notes of this series shall have occurred and be continuing, the Trustee or the
Holder or Holders of not less than 25% in aggregate principal amount of the Outstanding Senior Notes of this series may declare
the principal amount of, and any accrued interest on, all the Senior Notes to be due and payable immediately, in the manner, with
the effect and subject to the conditions provided in the Indenture.

 

Except
as otherwise provided in Article 5 of the Senior Indenture, the Trustee may in its discretion proceed to protect and enforce its
rights and the rights of Holders of Senior Notes 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 the Indenture or
in aid of the exercise of any power granted herein, or to enforce any other legal or equitable right vested in the Trustee by
the Indenture or by law, provided, however, that the Company shall not, as a result of the bringing of such judicial proceedings,
be required to pay any amount representing or measured by reference to the principal of, or any interest on, the Senior Notes
prior to any date on which the principal of, or any interest on, the Senior Notes would have otherwise been payable by the Company.

 

If
a Default occurs, the Trustee may commence a proceeding for the winding-up of the Company and/or prove in a winding-up of the
Company, provided that the Trustee may not, upon the occurrence of a Default, declare the principal amount of any of the Outstanding
Senior Notes to be due and payable.

 

Failure
to make any payment in respect of this Senior Note shall not be a Default if such payment is withheld or refused and an Opinion
of Counsel is delivered to the Trustee concluding that such sums were not paid in order to comply with any fiscal or

 

    A-14

     

    

other
law or regulation or with the order of any court of competent jurisdiction, provided, however, that the Trustee may by notice
to the Company require the Company to take such action (including but not limited to proceedings for a declaration by a court
of competent jurisdiction) as the Trustee may be advised in an Opinion of Counsel, upon which opinion the Trustee may conclusively
rely, is appropriate and reasonable in the circumstances to resolve such doubt, in which case the Company shall forthwith take
and expeditiously proceed with such action and shall be bound by any final resolution of the doubt resulting therefrom. If any
such action results in a determination that the relevant payment can be made without violating any applicable law, regulation
or order then the provisions of the preceding sentence shall cease to have effect and the payment shall become due and payable
on the expiration of 14 days (in the case of payments under Section 5.03(a) of the Senior Indenture) or seven days (in the case
of payments under Section 5.03(b) of the Senior Indenture) after the Trustee gives written notice to the Company informing it
of such resolution.

 

Subject
to applicable law, no Holder may exercise or claim any right of set-off, counterclaim, combination of accounts, compensation or
retention in respect of any amount owed to it by the Company arising under or in connection with the Senior Notes. The Holders
of Senior Notes by their acceptance thereof will be deemed to have waived any right of set-off, counterclaim, combination of accounts,
compensation and retention with respect to the Senior Notes or the Senior Indenture (or between the obligations under or in respect
of the Senior Notes and any liability owed by a Holder to the Company) that they might otherwise have against the Company.

 

No
remedy against the Company other than as referred to in Article 5 of the Senior Indenture shall be available to the Trustee or
the Holders, whether for the recovery of amounts owing in respect of the Senior Notes or under the Indenture or in respect of
any breach by the Company of any of its other obligations under or in respect of the Senior Notes or under the Senior Indenture,
except that the Trustee and the Holders shall have such rights and powers as they are required to have under the Trust Indenture
Act.

 

Amounts
to be paid on the Senior Notes of this Series will be made without deduction or withholding for, or on account of, any and all
present and future income, stamp and other taxes, levies, imposts, duties, charges or fees, levied, collected, withheld or assessed
by or on behalf of the United Kingdom or any political subdivision or authority thereof or therein having the power to tax (the
“Taxing Jurisdiction”), unless such deduction or withholding is required by law. If at any time a Taxing Jurisdiction
requires the Company to make such deduction or withholding, the Company will pay additional amounts with respect to the principal
of, and interest and any other payments on, the Senior Notes of this series (“Additional Amounts”) that are necessary
in order that the net amounts paid to the Holders, after the deduction or withholding, shall equal the amounts which would have
been payable on the Senior Notes if the deduction or withholding had not been required. However, this will not apply to
any such tax, levy, impost, duty, charge or fee, which would not have been deducted or withheld but for the fact that:

 

    A-15

     

    

(i)
the Holder or the Beneficial Owner of a Senior Note is a domiciliary, national or resident of, or engaging in business or maintaining
a permanent establishment or is physically present in, the Taxing Jurisdiction or otherwise has some connection with the Taxing
Jurisdiction other than the holding or ownership of a Senior Note, or the collection of any payment of (or in respect of) principal
of, or interest or other payments on, any Senior Note,

 

(ii)
except in the case of winding-up in the United Kingdom, the relevant Senior Note is presented (where presentation is required)
for payment in the United Kingdom,

 

(iii)
the relevant Senior Note is presented (where presentation is required) for payment more than 30 days after the date payment became
due or was provided for, whichever is later, except to the extent that the Holder would have been entitled to the Additional Amounts
on presenting the same for payment at the close of that 30 day period,

 

(iv)
the Holder or the Beneficial Owner of the relevant Senior Note or the Beneficial Owner of any payment of (or in respect of) principal
of, or interest or other payments on, the Senior Note failed to comply with a request of the Company or its liquidator or other
authorized person addressed to the Holder (x) to provide information concerning the nationality, residence or identity of the
Holder or such Beneficial Owner or (y) to make any declaration or other similar claim to satisfy any requirement, which in the
case of (x) or (y), is required or imposed by a statute, treaty, regulation or administrative practice of the Taxing Jurisdiction
as a precondition to exemption from all or part of the tax, levy, impost, duty, charge or fee,

 

(v)
the deduction or withholding is imposed by reason of any agreement with the U.S. Internal Revenue Service in connection with Sections
1471-1474 of the U.S. Internal Revenue Code and the U.S. Treasury regulations thereunder (“FATCA”), any intergovernmental
agreement between the United States and the United Kingdom or any other jurisdiction with respect to FATCA, or any law, regulation
or other official guidance enacted in any jurisdiction implementing, or relating to, FATCA or any intergovernmental agreement;
or

 

(vi)
any combination of clauses (i) through (v) above,

 

nor shall
Additional Amounts be paid with respect to the principal of, or any interest or other payments on, the Senior Notes to any Holder
who is a fiduciary or partnership or any person other than the sole Beneficial Owner of such payment to the extent such payment
would be required by the laws of any Taxing Jurisdiction to be included in the income for tax purposes of a beneficiary or partner
or settlor with respect to such fiduciary or a member of such partnership or a Beneficial Owner who would not have been entitled
to such Additional Amounts, had it been the Holder. With respect to any deduction or withholding made by any of the Issuer, the
Trustee, the Paying Agent or another withholding agent from any amount payable on, or in respect of, the Senior Notes in the events
described in clauses (i) through (vi) above, the amounts so deducted or withheld shall be treated as having been paid to the holder
of the Senior Notes, and no

 

    A-16

     

    

additional
amounts will be paid on account of any such deduction or withholding. None of the Issuer, the Trustee, the Paying Agent or another
withholding agent shall have any liability in connection with their compliance with any such withholding obligation under applicable
law.

 

References
herein to the payment of the principal of or interest or other payments on the Senior Notes shall be deemed to include mention
of the payment of Additional Amounts provided for in the foregoing paragraph to the extent that, in such context, Additional Amounts
are, were or would be payable under the foregoing provisions.

 

In
addition to the Company’s right to redeem the Senior Notes on March 17, 2022, the Senior Notes of this series are redeemable,
as a whole but not in part, at the option of the Company (subject to, if and to the extent required by the Relevant Regulator
or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting the
Company permission), on not less than 30 nor more than 60 days’ notice, on any Payment Date, at a redemption price equal
to 100% of the principal amount, together with accrued but unpaid interest, in respect of the Senior Notes to the date fixed for
redemption, if, at any time, the Company shall determine that as a result of a change in or amendment to the laws or regulations
of the Taxing Jurisdiction (including any treaty to which such Taxing Jurisdiction is a party), or any change in the application
or interpretation of such laws or regulations (including a decision of any court or tribunal) which change or amendment becomes
effective on or after September 17, 2019:

 

(a)
in making payment under the Senior Notes the Company has or will or would on the next Payment Date become obligated to pay Additional
Amounts;

 

(b)
the payment of interest on the next Payment Date in respect of the Senior Notes would be treated as a “distribution”
within the meaning of Chapter 2 of Part 23 of the Corporation Tax Act 2010 of the United Kingdom (or any statutory modification
or re-enactment thereof for the time being); or

 

(c)
on the next Payment Date the Company would not be entitled to claim a deduction in respect of such payment of interest in computing
its United Kingdom taxation liabilities (or the value of such deduction to the Company would be materially reduced).

 

In
any case where the Company shall determine that, in accordance with Section 11.08 of the Senior Indenture, it is entitled to redeem
the Senior Notes of this series, the Company shall be required to deliver to the Trustee prior to the giving of any notice of
redemption a written legal opinion of independent United Kingdom counsel of recognized standing (selected by the Company) in a
form satisfactory to the Trustee confirming that the relevant change or amendment has occurred and that the Company is entitled
to exercise its right of redemption.

 

The
Company may, at the Company’s option (but subject to, if and to the extent then required by the Relevant Regulator or the
Loss Absorption Regulations, the

 

    A-17

     

    

Company
giving notice to the Relevant Regulator and the Relevant Regulator granting the Company permission), having given not less than
30 nor more than 60 days’ notice to holders, redeem all but not some only of the Senior Notes outstanding at any time at
100% of their principal amount together with any accrued but unpaid interest to the date of redemption, if immediately prior to
the giving of the notice referred to above, the Company satisfies the Trustee that a Loss Absorption Disqualification Event has
occurred. Any redemption or purchase of Senior Notes (other than redemption on the relevant maturity date), and any modification
to the terms of the Senior Notes or any indenture relating thereto, is subject to, if and to the extent then required by the Relevant
Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting
the Company permission therefor and otherwise to compliance with the Loss Absorption Regulations if and to the extent then required
thereunder.

 

If
the Company elects to redeem the Senior Notes of this series, the Senior Notes will cease to accrue interest from the date of
redemption, provided the redemption price has been paid in accordance with the Indenture.

 

Upon
payment of (i) the amount of principal (and premium, if any) so declared due and payable and (ii) accrued and unpaid interest,
all of the Company’s obligations in respect of the payment of the principal of (and premium, if any), and accrued and unpaid
interest on, the Senior Notes of this series shall terminate.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or Beneficial Owner of this Senior Note,
by purchasing or acquiring this Senior Note, each Holder (including each Beneficial Owner) of this Senior Note acknowledges, accepts,
agrees to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that may
result in (i) the reduction or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes;
(ii) the conversion of all, or a portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities
or other obligations of the Company or another person; and/or (iii) the amendment or alteration of the maturity of the Senior
Notes, or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes payable, including
by suspending payment for a temporary period; which U.K. bail-in power may be exercised by means of variation of the terms of
the Senior Notes solely to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. Each
Holder and Beneficial Owner of the Senior Notes further acknowledges and agrees that the rights of the Holders and/or Beneficial
Owners under the Senior Notes are subject to, and will be varied, if necessary, solely to give effect to, the exercise of any
U.K. bail-in power by the relevant U.K. resolution authority.

 

By
purchasing or acquiring the Senior Notes, each Holder and Beneficial Owner of the Senior Notes:

 

(i)
acknowledges and agrees that the exercise of the U.K. bail-in power by the relevant U.K. resolution authority in respect of the
Senior Notes shall not

 

    A-18

     

    

give
rise to a default or an Event of Default for purposes of Section 315(b) (Notice of Default) and Section 315(c) (Duties of the
Trustee in Case of Default) of the Trust Indenture Act;

 

(ii)
to the extent permitted by the Trust Indenture Act, waives any and all claims against the Trustee for, agrees not to initiate
a suit against the Trustee in respect of, and agrees that the Trustee shall not be liable for, any action that the Trustee takes,
or abstains from taking, in either case in accordance with the exercise of the U.K. bail-in power by the relevant U.K. resolution
authority with respect to the Senior Notes; and

 

(iii)
acknowledges and agrees that, upon the exercise of any U.K. bail-in power by the relevant U.K. resolution authority, (a) the Trustee
shall not be required to take any further directions from Holders of the Senior Notes under Section 5.12 of the Senior Indenture,
and (b) neither the Senior Indenture nor the Ninth Supplemental Indenture shall impose any duties upon the Trustee whatsoever
with respect to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority. Notwithstanding the foregoing,
if, following the completion of the exercise of the U.K. bail-in power by the relevant U.K. resolution authority, any of the Senior
Notes remain outstanding (for example, if the exercise of the U.K. bail-in power results in only a partial write-down of the principal
of the Senior Notes), then the Trustee’s duties under the Indenture shall remain applicable with respect to the Senior Notes
following such completion to the extent that the Company and the Trustee shall agree pursuant to a supplemental indenture or an
amendment to the Ninth Supplemental Indenture.

 

By
purchasing or acquiring the Senior Notes, each Holder and Beneficial Owner that acquires its Senior Notes in the secondary market
shall be deemed to acknowledge and agree to be bound by and consent to the same provisions specified in the Indenture to the same
extent as the Holders and Beneficial Owners of the Senior Notes that acquire the Senior Notes upon their initial issuance, including,
without limitation, with respect to the acknowledgement and agreement to be bound by and consent to the terms of the Senior Notes
related to the U.K. bail-in power.

 

By
purchasing or acquiring the Senior Notes, each Holder and Beneficial Owner shall be deemed to have (i) consented to the exercise
of any U.K. bail-in power as it may be imposed without any prior notice by the relevant U.K. resolution authority of its decision
to exercise such power with respect to the Senior Notes and (ii) authorized, directed and requested DTC and any direct participant
in DTC or other intermediary through which it holds such Senior Notes to take any and all necessary action, if required, to implement
the exercise of any U.K. bail-in power with respect to the Senior Notes as it may be imposed, without any further action or direction
on the part of such Holder or Beneficial Owner or the Trustee.

 

No
repayment of the principal amount of the Senior Notes or payment of interest on the Senior Notes shall become due and payable
after the exercise of any U.K. bail-in power by the relevant U.K. resolution authority unless, at the time that such repayment
or

 

    A-19

     

    

payment,
respectively, is scheduled to become due, such repayment or payment would be permitted to be made by the Company under the laws
and regulations of the United Kingdom and the European Union applicable to the Company and the Group.

 

Upon
the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with respect to the Senior Notes, the Company
shall provide a written notice to DTC as soon as practicable regarding such exercise of the U.K. bail-in power for purposes of
notifying Holders of such occurrence. The Company shall also deliver a copy of such notice to the Trustee for information purposes.

 

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 Senior Notes to be affected thereby by the Company and the Trustee with the
consent of the Holders of not less than a majority in principal amount of the Senior Notes at the time outstanding of each such
series. The Indenture also contains provisions permitting the Holders of a majority in aggregate principal amount of the outstanding
Senior Notes, on behalf of the Holders of all Senior Notes 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 Senior Note shall be conclusive and binding upon such Holder and upon all future Holders of this Senior Note and of any
Senior Note issued in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this
Senior Note.

 

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

 

As
set forth in, and subject to, the provisions of the Indenture, no Holder of the Senior Notes will have the right to institute
any proceeding with respect to the Indenture, this Senior Note or any remedy thereunder; provided, however, that such limitations
do not apply to a suit instituted by the Holder hereof for the enforcement of payment of the principal or interest as and when
the same shall have become due and payable in accordance with the terms hereof and the Indenture.

 

No
reference herein to the Indenture and no provision of this Senior Note or of the Indenture shall alter or impair the right of
the Holder of this Senior Note, which is absolute and unconditional, to receive payment of the principal of (and premium, if any)
and interest on, this Senior Note when due and payable in accordance with the provisions of this Senior Note and the Indenture.

 

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

 

Unless
otherwise defined herein, all terms used in this Senior Note which are defined in the Indenture shall have the meanings assigned
to them in the Indenture.

 

    A-20

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