Document:

<PAGE>

                                                                   EXHIBIT 10.19

Confidential treatment has been requested for portions of this exhibit. The
copy filed herewith omits the information subject to the confidentiality
request. Omissions are designated as [*]. A complete version of this exhibit
has been filed separately with the Securities and Exchange Commission.

                                                               License Agreement
                                                                 January 6, 2003

                                  CONFIDENTIAL

                                   ----------

                             REDWOOD AND YELLOWSTONE
                            SEMICONDUCTOR TECHNOLOGY
                                LICENSE AGREEMENT
                                     BETWEEN
                               TOSHIBA CORPORATION
                                       AND
                                   RAMBUS INC.

                                   ----------

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                                                               License Agreement
                                                               January 6, 2003
                                TABLE OF CONTENTS

                                                                            PAGE
                                                                            ----

SECTION 1. DEFINITIONS.........................................................2
     1.1      Rambus Interface Technology......................................2
     1.2      Redwood Rambus Interface Technology..............................2
     1.3      Yellowstone Rambus Interface Technology..........................2
     1.4      Technical Information............................................3
     1.5      Rambus Interface Specification...................................3
     1.6      Redwood Rambus Interface Specification...........................3
     1.7      Yellowstone Rambus Interface Specification.......................3
     1.8      Compatible.......................................................3
     1.9      Redwood Rambus Processor.........................................4
     1.10     Redwood Rambus Peripheral........................................4
     1.11     Yellowstone Rambus Processor.....................................4
     1.12     Yellowstone Rambus Peripheral....................................5
     1.13     [*] Product......................................................5
     1.14     Broadband Engine.................................................5
     1.15     Broadband Engine Derivative......................................5
     1.16     Memory Hub.......................................................6
     1.17     Associated Chip..................................................6
     1.18     [*] Processor Chips..............................................6
     1.19     Compliant Portion................................................6
     1.20     Licensed Rambus ICs..............................................6
     1.21     Rambus Multichip Module..........................................6
     1.22     Rambus Board.....................................................7
     1.23     Rambus System....................................................7
     1.24     Rambus Intellectual Property Rights..............................7
     1.25     Confidential Information.........................................7
     1.26     Toshiba Improvements.............................................7

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                                TABLE OF CONTENTS
                                  (CONTINUED)
                                                                            PAGE
                                                                            ----

     1.27     Toshiba Patents..................................................7
     1.28     Applicable Licensed Product Under Toshiba Patents................8
     1.29     Sell.............................................................8
     1.30     Net Sales........................................................8
     1.31     Control..........................................................8
     1.32     Ultimate Parent Entity...........................................9
     1.33     Subsidiary.......................................................9
     1.34     Affiliate........................................................9
     1.35     Change of Control................................................9
     1.36     Potential Licensee...............................................9
     1.37     Applicable Patents...............................................9
     1.38     Applicable Other IP Rights.......................................9
     1.39     Effective Date..................................................10
SECTION 2. LICENSES...........................................................10
     2.1      Manufacturing and Distribution Rights...........................10
     2.2      Sublicense Rights...............................................13
     2.3      Proprietary Markings............................................13
     2.4      Trademarks......................................................13
     2.5      Limitations.....................................................14
     2.6      Toshiba Patents.................................................16
     2.7      Disclaimer......................................................17
     2.8      Certain Obligations.............................................17
     2.9      Patent License Registration.....................................17
     2.10     Delivery of Technology..........................................18
     2.11     Covenant Not To Sue.............................................18
SECTION 3. LICENSE FEES AND ROYALTIES.........................................19
     3.1      License Fee.....................................................19

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                                TABLE OF CONTENTS
                                  (CONTINUED)
                                                                            PAGE
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     3.2      Royalties.......................................................19
     3.3      Payments and Accounting.........................................23
     3.4      Withholding Taxes...............................................24
SECTION 4. CONFIDENTIAL INFORMATION...........................................25
     4.1      Confidential Information........................................25
     4.2      Confidentiality.................................................26
     4.3      Exceptions......................................................27
     4.4      Additional Responsibilities.....................................28
     4.5      Residuals.......................................................28
     4.6      Subsidiaries....................................................28
SECTION 5. INTELLECTUAL PROPERTY OWNERSHIP AND INDEMNIFICATION................28
     5.1      Ownership.......................................................28
     5.2      Rambus Indemnification Disclaimer...............................29
     5.3      Toshiba Indemnification Disclaimer..............................29
SECTION 6. LIMITATION OF LIABILITY............................................29
SECTION 7. TERM AND TERMINATION...............................................30
     7.1      Term............................................................30
     7.2      Termination.....................................................30
     7.3      Survival........................................................31
SECTION 8. GOVERNING LAW, DISPUTE RESOLUTION..................................31
     8.1      Governing Law...................................................31
     8.2      Dispute Resolution..............................................31
SECTION 9. MISCELLANEOUS......................................................32
     9.1      Announcement and Promotion......................................32
     9.2      Confidentiality of Agreement....................................32
     9.3      Potential Licensees.............................................33
     9.4      Assignment......................................................34

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                                TABLE OF CONTENTS
                                  (CONTINUED)
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     9.5      No Conflicts....................................................35
     9.6      Authority.......................................................35
     9.7      Notices.........................................................35
     9.8      Electronic Transfers............................................35
     9.9      Export Controls.................................................35
     9.10     Partial Invalidity..............................................37
     9.11     No Third Party Beneficiaries....................................37
     9.12     Counterparts....................................................37
     9.13     Relationship of Parties.........................................37
     9.14     Modification....................................................37
     9.15     Waiver..........................................................38
     9.16     Government Approvals............................................38
     9.17     Section Headings and Language...................................38
     9.18     Ambiguities.....................................................38
     9.19     Currency........................................................38
     9.20     Entire Agreement................................................38

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                                                               License Agreement
                                                               January 6, 2003

                             REDWOOD AND YELLOWSTONE
                   SEMICONDUCTOR TECHNOLOGY LICENSE AGREEMENT

     This Redwood and Yellowstone Semiconductor Technology License Agreement
(the "Agreement") is entered into as of the Effective Date, by and between
Rambus Inc., a Delaware corporation with principal offices at 4440 El Camino
Real, Los Altos, California 94022, U.S.A. ("Rambus") and Toshiba Corporation, a
Japanese corporation with principal offices at 1-1 Shibaura 1-chome, Minato-ku,
Tokyo 105-8001 Japan ("Toshiba").

     WHEREAS, Toshiba has entered into a joint development agreement with [*]
and Sony Computer Entertainment Inc. ("SCE") (the "[*] Agreement"), to develop a
broadband microprocessor (designated as the "Broadband Engine") for a [*]
product;

     WHEREAS, Rambus has developed and is developing certain technology for the
interface between DRAMs and logic chips, designated by Rambus as "Yellowstone
Rambus Interface Technology," including memory interface, logic interface,
system expansion technology, system bus technology, bus architecture, bus
protocol, protocol digital logic and high speed signaling/clock circuitry;

     WHEREAS, Rambus has developed and is developing certain technology for the
interface between logic integrated circuits, designated by Rambus as "Redwood
Rambus Interface Technology," including logic interface, system expansion
technology, system bus technology, bus architecture, and high speed
signaling/clock circuitry;

        WHEREAS, together with this Agreement, Rambus, Toshiba, and SCE are
entering into a "Development Agreement" of even date herewith (the "Development
Agreement"), for Rambus' development and delivery of materials to facilitate
SCE's and Toshiba's implementation of the Redwood Rambus Interface Technology
and the Yellowstone Rambus Interface Technology;

        WHEREAS, together with this Agreement, Rambus, SCE and SCE's parent
company, SONY Corporation (together with SCE, "SONY") are entering into a
license agreement of even date herewith (the "SONY License Agreement") for
Rambus' license to SONY of portions of such Redwood technology and Yellowstone
technology for use in the manufacture and sale of certain

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                                                               License Agreement
                                                               January 6, 2003

logic integrated circuits proprietary to SONY, or proprietary to SONY jointly
with Toshiba and/or [*]; and

     WHEREAS, Rambus desires to license to Toshiba, and Toshiba desires to
license from Rambus, portions of such Redwood technology and Yellowstone
technology for use in the manufacture and sale of certain logic integrated
circuits proprietary to Toshiba, or proprietary to Toshiba jointly with [*]
and/or SONY, on the terms and conditions set forth herein; NOW, THEREFORE, IN
CONSIDERATION OF THE FOREGOING AND THE MUTUAL COVENANTS CONTAINED HEREIN, THE
PARTIES AGREE AS FOLLOWS:
                                   SECTION 1.

                                   DEFINITIONS

     For purposes of this Agreement the following terms shall have the meanings
set forth below:

     1.1 Rambus Interface Technology. "Rambus Interface Technology" means all
interface technology which is owned by, developed by, used by, or licensed to
Rambus. "Rambus Interface Technology" includes all prior, current, and future
versions of this technology. As of the Effective Date, the versions of Rambus
Interface Technology include, without limitation, those designated by Rambus as
"Base," "Concurrent," "Direct," "Taos," "Yellowstone," and "Redwood."

     1.2 Redwood Rambus Interface Technology. "Redwood Rambus Interface
Technology" means the following items which are owned by Rambus (or licensed to
Rambus with the right to grant sublicenses of the scope granted herein without
payment of royalties):

          (a) the Rambus Interface Technology described in Exhibit A-1 hereto;
and

          (b) all information, inventions, technology, technical documentation,
designs (including circuit designs), materials, code, and know-how which
describe use of the Rambus Interface Technology described in Exhibit A-1 and
which Rambus provides Toshiba during the course of implementing this Agreement
or the Development Agreement (the "RW Technical Information").

     1.3 Yellowstone Rambus Interface Technology. "Yellowstone Rambus Interface
Technology" means the following items which are owned by Rambus (or licensed to
Rambus with the right to grant sublicenses of the scope granted herein without
payment of royalties):

          (a) the Rambus Interface Technology described in Exhibit A-2 hereto;
and

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                                                               License Agreement
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          (b) all information, inventions, technology, technical documentation,
designs (including circuit designs), materials, code, and know-how which
describe use of the Rambus Interface Technology described in Exhibit A-2 and
which Rambus provides Toshiba during the course of implementing this Agreement
or the Development Agreement (the "YS Technical Information").

     1.4 Technical Information. "Technical Information" means RW Technical
Information and/or YS Technical Information.

     1.5 Rambus Interface Specification. For any version of Rambus Interface
Technology, "Rambus Interface Specification" means, at any time, the then most
current version of the interface specification for that version of Rambus
Interface Technology, as such interface specification is finalized and released
by Rambus.

     1.6 Redwood Rambus Interface Specification. "Redwood Rambus Interface
Specification" means the Rambus Interface Specification for the Redwood Rambus
Interface Technology.

     1.7 Yellowstone Rambus Interface Specification. "Yellowstone Rambus
Interface Specification" means the Rambus Interface Specification for the
Yellowstone Rambus Interface Technology.

     1.8 Compatible. "Compatible," as applied to an integrated circuit or an
interface portion between integrated circuits, means that the integrated circuit
or interface portion both (i) is fully compliant with the applicable Rambus
Interface Specification such that the integrated circuit can communicate with
all other integrated circuits manufactured by licensees of Rambus which comply
with the same Rambus Interface Specification, and (ii) complies in all respects
with the protocol, pin function, pin sequencing, pin pitch, electrical
specifications, and mechanical specifications of the applicable Rambus Interface
Specification. A logic integrated circuit is Compatible with the Yellowstone
Rambus Interface Specification only if it satisfies the foregoing requirements
including, without limitation, being capable of communicating, through both the
physical layer and the logic layer, with DRAM integrated circuits Compatible
with the Yellowstone Rambus Interface Specification. In addition,
notwithstanding the foregoing, for purposes of Compatibility with the Redwood
Rambus Interface Specification under this Agreement, "protocol/logic layer"
Compatibility shall mean Compatibility with the logic layer developed by [*],
Toshiba, and/or SCE.

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                                                               License Agreement
                                                               January 6, 2003

     1.9 Redwood Rambus Processor. "Redwood Rambus Processor" means each
processor having a program counter and capable of independently executing
instructions and which (i) incorporates all or part of the Redwood Rambus
Interface Technology, (ii) is defined and designed by Toshiba (or designed for
Toshiba pursuant to Section 2.1(c) below) or by Rambus for Toshiba, or by
Toshiba in conjunction with [*] and/or SONY, (iii) is Compatible with the
Redwood Rambus Interface Specification and is not Compatible with any later
Rambus Interface Specification (it being understood and agreed that, for this
purpose, the Yellowstone Rambus Interface Specification shall not be considered
a later Rambus Interface Specification), and (iv) except as set forth in Section
2.4 below, bears either no trademark or part number or only Toshiba's trademark
and/or part number. "Redwood Rambus Processor" includes, for example,
microprocessors, microcontrollers, and digital signal processors which meet the
foregoing requirements set forth in clauses (i) - (iv) above, but does not
include co-processors, graphics processors, image processors, or audio
processors.

     1.10   Redwood Rambus Peripheral. "Redwood Rambus Peripheral" means each
integrated circuit which does not have a principal function of memory storage,
other than a Redwood Rambus Processor, which (i) incorporates all or part of the
Redwood Rambus Interface Technology, (ii) is defined and designed by Toshiba (or
designed for Toshiba pursuant to Section 2.1(c) below) or by Rambus for Toshiba,
or by Toshiba in conjunction with [*] and/or SONY, (iii) is Compatible with the
Redwood Rambus Interface Specification and is not Compatible with any later
Rambus Interface Specification (it being understood and agreed that, for this
purpose, the Yellowstone Rambus Interface Specification shall not be considered
a later Rambus Interface Specification), and (iv) except as set forth in Section
2.4 below, bears either no trademark or part number or only Toshiba's trademark
and/or part number. "Redwood Rambus Peripheral" includes, for example,
co-processors, graphics processors, image processors, audio processors,
peripheral devices, RAMDACs, and bus interface devices which meet the foregoing
requirements set forth in clauses (i) - (iv) above.

     1.11   Yellowstone Rambus Processor. "Yellowstone Rambus Processor" means
each processor having a program counter and capable of independently executing
instructions and which (i) incorporates all or part of the Yellowstone Rambus
Interface Technology, (ii) is defined and designed by Toshiba (or designed for
Toshiba pursuant to Section 2.1(c) below) or by Rambus for

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                                                               License Agreement
                                                               January 6, 2003

Toshiba, or by Toshiba in conjunction with [*] and/or SONY, (iii) is Compatible
with the Yellowstone Rambus Interface Specification and is not Compatible with
any later Rambus Interface Specification (it being understood and agreed that,
for this purpose, the Redwood Rambus Interface Specification shall not be
considered a later Rambus Interface Specification), and (iv) except as set forth
in Section 2.4 below, bears either no trademark or part number or only Toshiba's
trademark and/or part number. "Yellowstone Rambus Processor" includes, for
example, microprocessors, microcontrollers, and digital signal processors which
meet the foregoing requirements set forth in clauses (i) - (iv) above, but does
not include co-processors, graphics processors, image processors, or audio
processors.

     1.12   Yellowstone Rambus Peripheral. "Yellowstone Rambus Peripheral"means
each integrated circuit which does not have a principal function of memory
storage, other than a Yellowstone Rambus Processor, which (i) incorporates all
or part of the Yellowstone Rambus Interface Technology, (ii) is defined and
designed by Toshiba (or designed for Toshiba pursuant to Section 2.1(c) below)
or by Rambus for Toshiba, or by Toshiba in conjunction with [*] and/or SONY,
(iii) is Compatible with the Redwood Rambus Interface Specification and is not
Compatible with any later Rambus Interface Specification (it being understood
and agreed that, for this purpose, the Redwood Rambus Interface Specification
shall not be considered a later Rambus Interface Specification), and (iv) except
as set forth in Section 2.4 below, bears either no trademark or part number or
only Toshiba's trademark and/or part number. "Yellowstone Rambus Peripheral"
includes, for example, co-processors, graphics processors, image processors,
audio processors, peripheral devices, RAMDACs, and bus interface devices which
meet the foregoing requirements set forth in clauses (i) - (iv) above.

     1.13   [*] Product. "[*] Product" means a [*] product with [*] at least
similar to [*] product.

     1.14   Broadband Engine. "Broadband Engine" means the [*] designed pursuant
to the [*] for use in, and which will be used in, [*] Product, but only if such
[*] is a [*] under [*] and a [*] under [*].

     1.15   Broadband Engine Derivative. "Broadband Engine Derivative" means a
[*] derived from the [*] which is "[*]," i.e. is fully compliant with the [*] as
demonstrated by fully passing the

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                                                               License Agreement
                                                               January 6, 2003

[*] as set forth in [*] (for clarity, a [*] is not [*]), but only if such [*] is
a [*] under [*] and/or a [*] under [*].

     1.16   Memory Hub. "Memory Hub" means a [*] the principal purpose of which
is [*], as set forth in [*], which is designed to be connected to the [*] or [*]
and which actually can be demonstrated (e.g., demonstrated on a test board,
prototype, or actual product) to be capable of being connected to and
communicating with the [*] or a [*], and which (i) incorporates all or part of
[*], (ii) is defined and designed by [*] (or designed for [*] pursuant to [*])
or by [*] for [*], or by [*] in conjunction with [*] and/or [*], and (iii)
except as set forth in [*], bears either no [*] or [*] or [*].

     1.17   Associated Chip. "Associated Chip" means [*], other than a [*] or an
[*] with a principal function of [*], which is designed to be connected to the
[*] or a [*] and which actually can be demonstrated (e.g., demonstrated on a
test board, prototype, or actual product) to be capable of being connected to
and communicating, through both the [*] (i.e., the [*] developed by [*], and/or
[*]) and the [*], with the [*] or a [*], but only if such [*] is a [*] under
[*], or a [*] under [*] and a [*] under [*] (i.e., each Associated Chip must be
a [*], but may be a [*] in addition).

     1.18   [*] Processor Chips. "[*] Processor Chips" means (i) Broadband
Engines, (ii) Broadband Engine Derivatives, and (iii) Associated Chips.

     1.19   Compliant Portion. "Compliant Portion" (i) for an integrated circuit
and interface portion between integrated circuits Compatible with the Redwood
Rambus Interface Specification, means and is limited to that portion of the
integrated circuit and the interface portion which provides Compatibility with
the Redwood Rambus Interface Specification, and (ii) for an integrated circuit
and interface portion between integrated circuits Compatible with the
Yellowstone Rambus Interface Specification, means and is limited to that portion
of the integrated circuit and the interface portion which provides Compatibility
with the Yellowstone Rambus Interface Specification.

     1.20   Licensed Rambus ICs. "Licensed Rambus ICs" means and is limited to
[*] Processor Chips and Memory Hubs. It is understood and agreed that the only
portion of each Licensed Rambus IC that is licensed under this Agreement is the
Compliant Portion.

     1.21   Rambus Multichip Module. "Rambus Multichip Module" means each
product incorporating any Licensed Rambus ICs on a substrate (such as silicon,
-ceramic or a printed circuit board) with multiple integrated circuits attached
which are not in their own packages.

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                                                               License Agreement
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     1.22   Rambus Board. "Rambus Board" means each product, other than Rambus
Multichip Modules, incorporating any Licensed Rambus ICs or Rambus Multichip
Modules in a card or other board product which adds material value to the
Licensed Rambus ICs or Rambus Multichip Modules.

     1.23   Rambus System. "Rambus System" means each product incorporating any
Licensed Rambus ICs, Rambus Multichip Modules and/or Rambus Boards in a system
which adds material value to the Licensed Rambus ICs or Rambus Multichip
Modules.

     1.24   Rambus Intellectual Property Rights. "Rambus Intellectual Property
Rights" means all patents, patent applications, copyrights, and other
intellectual property rights in all countries of the world which, during the
term of this Agreement, are owned by Rambus or licensed to Rambus with the right
to grant sublicenses of the scope granted herein without payment of royalties
and which are required for the implementation or use of the Redwood Rambus
Interface Technology or the Yellowstone Rambus Interface Technology for the
development, manufacture, use and/or Sale of Licensed Rambus ICs.

     1.25   Confidential Information. "Confidential Information" has the meaning
set forth in Section 4.1 below.

     1.26   Toshiba Improvements. "Toshiba Improvements" means all upgrades,
enhancements, improvements or other derivatives of Redwood Rambus Interface
Technology and/or Yellowstone Rambus Interface Technology which have been or are
made, acquired or licensed by Toshiba or Toshiba Subsidiaries.

     1.27   Toshiba Patents. "Toshiba Patents" means all patents, patent
applications and other patent rights (including utility models) in all countries
of the world issued or issuing on patent or utility model applications which are
entitled to an effective filing date on or before the date of termination of
this Agreement (and all foreign counterparts thereof), which at any time during
the term of this Agreement, are or were owned (solely, or jointly with third
parties but subject to the consent of such third party joint owners where such
consent is required for Toshiba to grant the license in Section 2.6 below) by
Toshiba or Toshiba Subsidiaries (or are or were licensed to Toshiba or Toshiba
Subsidiaries with the right to grant sublicenses of the scope granted herein
without payment of royalties (except for payments between Toshiba and Affiliates
of Toshiba, and payments

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                                                               License Agreement
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to third parties for inventions made by said third parties while employed by
Toshiba, or any of its Subsidiaries)).

     1.28   Applicable Licensed Product Under Toshiba Patents. "Applicable
Licensed Product Under Toshiba Patents" means any product the manufacture, use,
or sale of which would, if not authorized, infringe a claim of a Toshiba Patent,
which claim is infringed by:

                (i)   the implementation or use of any Rambus Interface
Technology, any Rambus Interface Specification, or any Toshiba Improvement, or

                (ii)  any apparatus required by any Rambus Interface Technology,
any Rambus Interface Specification, or any Toshiba Improvement; where such
infringement would not have occurred but for the implementation or use of such
Rambus Interface Technology, Rambus Interface Specification, or Toshiba
Improvement, and where such infringement either:

            (a) could not have been avoided by another commercially reasonable
implementation or use of such Rambus Interface Technology, Rambus Interface
Specification, or Toshiba Improvement, or

            (b) resulted from implementation or use of an example included in
any Rambus Interface Technology, any Rambus Interface Specification, or any
Toshiba Improvement.

     1.29   Sell. To "Sell" a product or item means to sell, lease, or otherwise
transfer or dispose of the product or item, either to a third party or by
internal transfer of the product or item from a company to any other business
unit or division within such company, or to commence internal productive use
thereof ("Sold," "Sale," and other forms of "Sell" shall have the same meaning).

     1.30   Net Sales. "Net Sales" means the gross sales amount invoiced or
otherwise charged to customers of Toshiba or its Subsidiaries for all Licensed
Rambus ICs, other than [*] Processor Chips subject to Section 3.2(a)(i)(A), less
amounts invoiced for returned goods for which a refund is given, less separately
stated charges for insurance, handling, duty, freight and taxes where such items
are included in the invoiced price.

     1.31   Control. "Control" (including "Controlled" and other forms) of an
entity means (i) either (A) beneficial ownership (whether direct, or indirect
through controlled entities or other means) of more than fifty percent (50%) of
the outstanding voting securities of that entity or (B) in

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the case of an entity that has no outstanding voting securities, having the
right to more than fifty percent (50%) of the profits of the entity, or having
the right in the event of dissolution to more than fifty percent (50%) of the
assets of the entity; or (ii) having the contractual power presently to
designate more than fifty percent (50%) of the directors of a corporation, or in
the case of unincorporated entities, of individuals exercising similar
functions. (By way of example only, a company has indirect Control of a
Subsidiary of its Subsidiary).

     1.32   Ultimate Parent Entity. "Ultimate Parent Entity" means an entity
which is not Controlled by any other entity. Toshiba represents and warrants
that, as of the Effective Date, it is an Ultimate Parent Entity.

     1.33   Subsidiary. "Subsidiary" of an entity ("Parent") shall mean each
entity Controlled by the Parent, but only so long as such Control exists.

     1.34   Affiliate. "Affiliate" of an entity means each entity which
Controls, is Controlled by, or is under common Control with that entity, but
only so long as such Control exists.

     1.35   Change of Control. "Change of Control" of an entity means any
transaction or series of transactions in which that entity becomes a Subsidiary
of, or otherwise Controlled by, another entity.

     1.36   Potential Licensee. "Potential Licensee" means a company licensed by
SONY, Toshiba, or [*] to manufacture and sell Broadband Engines and/or Broadband
Engine Derivatives.

     1.37   Applicable Patents. "Applicable Patents" means all patents, patent
applications and other patent rights (including utility models, and excluding
design patents or applications) in all countries of the world issued or issuing
on patent or utility model applications which are entitled to an effective
filing date on or before [*], which are owned by Toshiba or Toshiba Subsidiaries
or which Toshiba or Toshiba Subsidiaries otherwise have the right to enforce
(and all foreign counterparts of such patents, applications, and patent rights).

     1.38   Applicable Other IP Rights. "Applicable Other IP Rights" means all
trade secret rights and other intellectual property or proprietary rights owned
by Toshiba or under which Toshiba has the right to grant licenses without the
payment of a royalty to a third party (other than payments to third parties for
inventions made while employees of Toshiba, or to Affiliates) existing as of and
after the Effective Date, and prior to the termination or expiration of the
Development Agreement

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                                                               License Agreement
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(including any extension or renewal thereof), but only to the extent that such
rights cover information disclosed and/or materials delivered to Rambus by
Toshiba under the "MULTI-PARTY NONDISCLOSURE AGREEMENT" among SCE, Toshiba and
Rambus, dated May 6, 1998 and/or delivered or disclosed to Rambus under the
Development Agreement, provided that "Applicable Other IP Rights" does not
include patents (and, for clarity, Applicable Patents), copyrights (other than
incidental use), mask work rights, or rights in trademarks, service marks, or
other company, product, or service identifiers. For purposes of this Section
1.38, "Toshiba" also includes Toshiba's Subsidiaries.

     1.39   Effective Date. "Effective Date" means the date of signing by the
second party to sign this Agreement, provided that if within fifteen (15) days
after the first party signs this Agreement, the other party has not signed this
Agreement, the first party's signature shall become void unless otherwise agreed
in writing.

                                   SECTION 2.

                                    LICENSES
     2.1 Manufacturing and Distribution Rights.
            (a) Commencing on the Effective Date and subject to the terms and
conditions of this Agreement, Rambus hereby grants to Toshiba a worldwide,
nonexclusive, nontransferable license, under the Rambus Intellectual Property
Rights, (i) to design, have designed (subject to Section 2.1(c) below), make,
have made (i.e., the Compliant Portion thereof, and subject to Section 2.1(b)
below), use, import, offer to Sell, and Sell Licensed Rambus ICs (i.e., the
Compliant Portion thereof, and subject to Sections 2.1(d) and 2.5 below), alone
or incorporated into Rambus Multichip Modules, Rambus Boards, and Rambus
Systems, and (ii) to reproduce and modify the Technical Information in
connection with the exercise of rights under the preceding clause (i), provided
that Toshiba is granted no right to, and Toshiba agrees that it shall not, Sell
Licensed Rambus ICs or Rambus Multichip Modules to any Semiconductor Company (as
defined hereinbelow) for reSale of the Licensed Rambus IC or Rambus Multichip
Module by the Semiconductor Company as an integrated circuit or Rambus Multichip
Module. For this purpose, a "Semiconductor Company" shall mean any company that
designs integrated circuits or sells integrated circuits under its own name,
mark, or part number (or a name or mark licensed to it), and its Affiliates,
other than any company licensed by

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                                                               License Agreement
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Rambus, or properly sublicensed by a Rambus licensee, to manufacture and sell
the equivalent applicable type of integrated circuit (i.e., processors or
peripherals) Compatible with the Redwood Rambus Interface Specification or
Yellowstone Rambus Interface Specification, as applicable. In the event that
Toshiba wishes to Sell Licensed Rambus ICs to a Semiconductor Company for reSale
by the Semiconductor Company as a Rambus Multichip Module, and only with
substantial value added thereto (by Semiconductor Company), then upon request of
Toshiba, Rambus agrees to discuss in good faith, on a case by case basis, the
possible extension of the license granted to Toshiba hereunder to include such
Sales of that Rambus Multichip Module to that Semiconductor Company.

            (b) Toshiba shall have the right to subcontract manufacturing of all
or part of Licensed Rambus ICs provided that (i) subcontractors receive only
mask sets, data bases and any documents and data necessary to manufacture and/or
test integrated circuits, (ii) each subcontractor agrees in writing not to use
any Rambus Interface Technology received from Toshiba for any purpose other than
such subcontract manufacturing for Toshiba, and (iii) Toshiba shall be
responsible for any misuse of any Rambus Interface Technology by its
subcontractors, unless Rambus is a direct party or designated as an intended
third party beneficiary to a nondisclosure agreement with the subcontractor,
entitled to enforce it against the subcontractor. Nothing herein shall be deemed
to grant Toshiba subcontractors any license under any Rambus Interface
Technology except for performing subcontract manufacturing for Toshiba as
provided herein.

            (c) Toshiba shall have the right to subcontract the design of
Licensed Rambus ICs provided that (i) subcontractors receive no Technical
Information other than the Redwood RAC GDSII or the Yellowstone RAC GDSII, and
the associated timing model(s) for the RAC to core logic interface, (ii) the
subcontractor may not modify the Redwood RAC GDSII or the Yellowstone RAC GDSII,
(iii) Toshiba enters into a nondisclosure agreement with the subcontractor, at
least as protective as Section 4 below, (iv) each subcontractor agrees in
writing not to use any Rambus Interface Technology for any purpose other than
such subcontractor design for Toshiba, and (v) Toshiba shall be responsible for
any misuse of any Rambus Interface Technology by its subcontractors, unless
Rambus is a direct party to a nondisclosure agreement with the subcontractor

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                                                               License Agreement
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or is designated as an intended third party beneficiary to the nondisclosure
agreement with the subcontractor, entitled to enforce it against the
subcontractor. Nothing herein shall be deemed to grant Toshiba subcontractors
any license under any Rambus Interface Technology except for performing
subcontract design for Toshiba as provided herein.

            (d) This license is limited to (i) implementation and use of the
Yellowstone Rambus Interface Technology, under the Rambus Intellectual Property
Rights required for the implementation or use of the Yellowstone Rambus
Interface Technology for the development, manufacture, use and/or Sale of
Licensed Rambus ICs Compatible with the Yellowstone Rambus Interface
Specification ("Yellowstone Rambus ICs"), in the Compliant portion of
Yellowstone Rambus ICs, and only to provide such Compatibility and for no other
function or interface protocol, and (ii) implementation and use of the Redwood
Rambus Interface Technology, under the Rambus Intellectual Property Rights
required for the implementation or use of the Redwood Rambus Interface
Technology for the development, manufacture, use and/or Sale of Licensed Rambus
ICs Compatible with the Redwood Rambus Interface Specification ("Redwood Rambus
ICs"), in the Compliant portion of Redwood Rambus ICs, and only to provide such
Compatibility and for no other function or interface protocol. Notwithstanding
any other provision of this Agreement, no license (express, implied, or
otherwise) is granted for the use of any Rambus intellectual property rights
with respect to any other portion (i.e., any portion other than the Compliant
portion as set forth in the preceding clauses (i) and (ii)), function, or
interface protocol of any Licensed Rambus IC or any other integrated circuit,
module, board, or system. Toshiba agrees not to use Rambus Interface Technology
except as authorized in this Agreement or in other agreements between Rambus and
Toshiba.

            (e) For the avoidance of doubt, this Agreement does not apply to any
interface (other than the Compliant Portion of a Redwood interface and a
Yellowstone interface) on a Licensed Rambus IC, including, without limitation,
any DDR interface or DDRII interface, provided however, that this Section 2.1(e)
shall not be read to imply whether such a license is or is not otherwise needed.

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                                                               License Agreement
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            (f) The license granted to Toshiba pursuant to this Agreement to
make, have made, and Sell Licensed Rambus ICs, shall not be effective until
Rambus has received all amounts payable under Section 3.1 of this Agreement.

     2.2 Sublicense Rights. Toshiba shall have the right to grant sublicenses of
the rights granted in Section 2.1 above only to Subsidiaries of Toshiba,
provided that (i) Toshiba shall cause each Subsidiary to agree to be bound by
the terms and conditions of this Agreement, excluding the provisions of this
paragraph, and (ii) such sublicense will terminate upon termination of this
Agreement for any reason, or upon the company's ceasing to be a Toshiba
Subsidiary, whichever occurs first. Toshiba shall itself pay royalties accrued
by sublicensed Subsidiaries. Toshiba shall be responsible for the performance by
each Subsidiary of all obligations contained herein.

     2.3 Proprietary Markings. To the extent that Toshiba generally marks its
own packaging or documentation with its own patent numbers covering the goods it
manufactures, Toshiba shall likewise mark the packaging or documentation of each
Licensed Rambus IC and Rambus Multichip Module manufactured by or for Toshiba
with the Rambus patent numbers which Rambus notifies Toshiba in writing to apply
to such Licensed Rambus IC and Rambus Multichip Module.

     2.4 Trademarks.

            (a) Toshiba shall mark all catalogues, brochures and other marketing
material used for Licensed Rambus ICs and Rambus Multichip Modules with the
marking set forth in Exhibit C, as amended by Rambus from time to time
("Trademarks"). All representations of Rambus' Trademarks that Toshiba uses
shall first be submitted to Rambus for approval of design, color and other
details or shall be exact duplicates of those used by Rambus.

            (b) Toshiba shall be entitled, at its option, to mark each Licensed
Rambus IC semiconductor package with the Trademarks.

            (c) Any use of the Trademarks by Toshiba shall be in accordance with
the instructions from Rambus. Toshiba agrees that Rambus may from time to time
revise these instructions for the purpose of protecting the standards of
performance established for Rambus' goods and services sold under the
Trademarks. At Rambus' request from time to time, Toshiba will provide to
Rambus, at no charge, a reasonable number of samples of any of Toshiba's
Licensed Rambus ICs that bear the Trademarks to enable Rambus to ensure that
such Licensed Rambus ICs

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                                                               License Agreement
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are of appropriate quality. Toshiba will promptly remedy any failure of its
Licensed Rambus ICs bearing any Trademarks to meet the reasonable quality
standards established by Rambus for goods bearing the Trademarks.

            (d) Toshiba shall be entitled to Sell Licensed Rambus ICs and/or
Rambus Multichip Modules to any third party ("Customer") with the Customer's
name, mark, and/or part number on the Licensed Rambus IC and/or Rambus Multichip
Module ("Customer Marked Products") if, and only if, all of the Customer's
reSales of such Customer Marked Products are only as incorporated into that
Customer's Rambus Boards and/or that Customer's Rambus Systems. For the
avoidance of doubt, the license to Toshiba does not include, and Toshiba agrees
that it shall not, Sell Customer Marked Products for reSale of any Customer
Marked Products as integrated circuits or as Rambus Multichip Modules.

     2.5 Limitations.

            (a) No license or other right is granted, by implication, estoppel
or otherwise, to Toshiba or any third party, under any patents, confidential
information or other intellectual property rights now or hereafter owned or
controlled by Rambus except for the licenses and rights expressly granted in
this Agreement. Toshiba and its Subsidiaries shall not utilize the Redwood
Rambus Interface Technology or the Yellowstone Rambus Interface Technology
except as expressly licensed to Toshiba under this Agreement. In addition,
Toshiba is granted no right pursuant to this Agreement to manufacture or
distribute or authorize its customers to use or distribute integrated circuits
which incorporate all or part of any Rambus Interface Technology other than
Licensed Rambus ICs (i.e., the Compliant Portion thereof, and subject to
Sections 2.1(d) and this 2.5), even if such integrated circuits are incorporated
in Rambus Multichip Modules, Rambus Boards, or Rambus Systems. Nothing contained
in this Agreement shall be construed as:

                (i)   a warranty or representation by Rambus as to the validity,
enforceability, and/or scope of any Rambus Intellectual Property Right;

                (ii)  imposing upon Rambus any obligation to institute any suit
or action for infringement of any Rambus Intellectual Property Right, or to
defend any suit or action brought by a third party which challenges or concerns
the validity, enforceability, or scope of any Rambus Intellectual Property
Right;

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                                                               License Agreement
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                (iii) imposing on Rambus any obligation to file any patent
application or other intellectual property right application or registration or
to secure or maintain in force any patent or other Rambus Intellectual Property
Right; or

                (iv)  a warranty or representation by Rambus as to the
performance, operation or maintenance of any product of Toshiba manufactured,
used or sold pursuant to this Agreement.

            (b) It is understood and agreed that no license to Toshiba or any
third party is granted pursuant to this Agreement or implied:

                (i)   with respect to the combination of a Licensed Rambus IC
with another item (unless the other item is an integrated circuit which is
Compatible with the Redwood Rambus Interface Specification or Yellowstone Rambus
Interface Specification, as applicable to that Licensed Rambus IC, and is
manufactured and Sold pursuant to a license from Rambus (or pursuant to an
authorized sublicense from a Rambus licensee) (a "Compatible Licensed Chip"),
and only as set forth hereinbelow), or

                (ii)  in any case, with respect to any item with which a
Licensed Rambus IC may be combined.

No license is granted pursuant to this Agreement, nor may any license be
implied, with respect to the combination (except as set forth hereinabove with
respect to Compatible Licensed Chips) or the other item, but the Licensed Rambus
IC itself (i.e., the Compliant Portion thereof, and subject to Sections 2.1(d)
and this 2.5) is licensed as set forth in this Agreement. Further, with respect
to the combination of a Licensed Rambus IC with a Compatible Licensed Chip, the
licenses granted herein extend only to the connection between the Compliant
Portion of the Licensed Rambus IC and that portion of the Compatible Licensed
Chip. Thus, for example, Toshiba is not prohibited from Selling Licensed Rambus
ICs incorporated into Rambus Multichip Modules, Rambus Boards, or Rambus
Systems, but the license granted to Toshiba under this Agreement applies only to
Compliant Portion of the Licensed Rambus IC (as set forth in Section 2.1(d)
above and the remainder of this Agreement), or its combination with the
Compliant Portion of a Compatible Licensed Chip, but not to any other integrated
circuit or combination. In the event that an unlicensed such combination is the
result of any act and/or event of a third party (i.e., not the result of any act
and/or event of

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                                                               License Agreement
                                                               January 6, 2003

Toshiba or a Subsidiary of Toshiba), Rambus agrees not to assert any claim
against Toshiba or its Subsidiary for infringement relating to such third party
combination, but expressly reserves all rights against all third parties. The
foregoing agreement not to assert any claim is personal and limited to Toshiba
and its Subsidiaries.

     2.6 Toshiba Patents. Toshiba hereby grants to Rambus a worldwide,
royalty-free, fully paid, nonexclusive license under Toshiba Patents to make,
have made, use, import, offer to sell, and sell or otherwise transfer Applicable
Licensed Products Under Toshiba Patents, provided that this license shall be
limited to implementation or use of Rambus Interface Technology for the
interface between a logic chip and a memory chip (i.e., the interface portion
on, as well as between, such chips). Rambus shall have the right to sublicense
its rights under the Toshiba Patents to any or all of the other licensees of any
Rambus Interface Technology for the interface between a logic chip and a memory
chip (i.e. the interface portion on, as well as between, such chips) to the
extent such licensee has provided similar rights to Rambus with a right to
sublicense to Toshiba, provided that such sublicensed rights will be limited to
implementation or use of Rambus Interface Technology for such interface between
a logic chip and a memory chip. Nothing contained in this Section shall be
construed as imposing upon Toshiba any obligation to institute any suit or
action for infringement of any Toshiba Patents and/or Toshiba Improvement, or to
defend any suit or action brought by a third party which challenges or concerns
the validity, enforceability, or scope of any Toshiba intellectual property
right.

     In further explanation of the second sentence of this Section, Toshiba
shall have rights (under this Agreement) under patents of those Rambus licensees
who have granted patent sublicense rights to Rambus to the same extent Toshiba
has provided such rights under Toshiba Patents to Rambus hereunder, provided
that Toshiba's rights hereunder shall be limited to implementation and use as
part of Rambus Interface Technology as licensed to Toshiba by Rambus and no
sublicense is granted for use of such rights with respect to (i) semiconductor
manufacturing technology, and (ii) any other portion of any integrated circuit
including, without limitation, the core of a memory integrated circuit (that
portion of a memory integrated circuit other than the interfaces as detailed in
Exhibit A-2 hereto).

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     2.7 Disclaimer. THE RAMBUS INTERFACE TECHNOLOGY, ANY DELIVERABLES, ANY
TECHNICAL INFORMATION AND ANY CONFIDENTIAL INFORMATION PROVIDED BY RAMBUS TO
TOSHIBA ARE PROVIDED AND LICENSED "AS IS" WITHOUT WARRANTY OF ANY KIND, EXPRESS,
IMPLIED, STATUTORY, OR OTHERWISE, INCLUDING BUT NOT LIMITED TO ANY IMPLIED
WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. THE LICENSE
GRANTED BY TOSHIBA IN SECTION 2.6 ABOVE IS GRANTED "AS IS" WITHOUT WARRANTY OF
ANY KIND, EXPRESS, IMPLIED, STATUTORY, OR OTHERWISE, INCLUDING BUT NOT LIMITED
TO ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR
PURPOSE.

     2.8 Certain Obligations. Toshiba shall, pursuant to the Development
         Agreement, incorporate the Redwood Rambus Interface Technology and
         Yellowstone Rambus Interface Technology into the first processor
         developed pursuant to the [*] Agreement for use in [*] Product, such
         that this processor is Compatible with the Redwood Rambus Interface
         Specification and is Compatible with the Yellowstone Rambus Interface
         Specification. Toshiba will use its continuous diligent efforts to
         manufacture (or have manufactured), and Sell and ship [*] and [*] for
         use in [*] Product, until at least three (3) years after first shipment
         of an engineering sample of the first [*]. Rambus' exclusive remedy
         under this Agreement for Toshiba's breach of this section shall be
         termination of this Agreement under Section 7.2(a) below.

     2.9 Patent License Registration.

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                                                               License Agreement
                                                               January 6, 2003

            (a) Toshiba shall have the right, during the term of each applicable
Rambus patent licensed to Toshiba under Section 2.1 herein ("Licensed Patents"),
to register such license to the applicable authorities (such as the Patent and
Trademark Office) of the country where such Licensed Patent is issued, but only
if registration is reasonably desirable, by outside local counsel's opinion
retained by Toshiba, for securing the license granted to Toshiba hereunder
against the successors, assignees or other licensees of such Licensed Patent. At
Toshiba's request, Rambus shall provide necessary assistance to Toshiba, at
Toshiba's expense, to effect such registration.

            (b) For the purpose of such registration of Toshiba's non-exclusive
license under Licensed Patents to the Japanese Patent Office, Rambus represents
and warrants that, as of the date of Rambus' execution of this Agreement,
Exhibit F is the exclusive list of the Japanese patents and publicly available
Japanese patent applications owned by Rambus which are the subject of Rambus
Intellectual Property Rights licensed to Toshiba hereunder. Rambus shall,
approximately every six (6) months, update the list in Exhibit F and so notify
Toshiba so that the above representation and warranty will be satisfied as of
the date of such notice. Unless and until Rambus transfers or assigns a Licensed
Patent to a third party, however, Rambus' exclusive liability and obligation,
and Toshiba's sole remedy, arising out of this representation, warranty, and
update obligation shall be to correct Exhibit F. At the request of Toshiba,
Rambus shall execute necessary documents supplied by Toshiba (together with
English translations thereof) for Toshiba to register in Japan the non-exclusive
license granted to Toshiba under this Agreement, in accordance with the then
most updated Exhibit F.

     2.10   Delivery of Technology. Within thirty (30) days after the Effective
Date, Rambus shall provide to Toshiba the Redwood Rambus Interface Technology
and Yellowstone Rambus Interface Technology specified in Exhibit G hereto.

     2.11   Covenant Not To Sue.

            (a) On its own behalf, and on behalf of its Subsidiaries, Toshiba
covenants and agrees that neither Toshiba nor its Subsidiaries will sue Rambus
or its Subsidiaries for:

                (i)   inducing infringement of and/or contributorily infringing,
or similar acts with respect to, one or more claims of any Applicable Patents
where such infringement results from the development, delivery, license, use, or
implementation of Redwood Rambus Interface

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                                                               License Agreement
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Technology (including improvements and successors) or Yellowstone Rambus
Interface Technology (including improvements and successors) by Rambus, its
Subsidiaries, or any Rambus licensee or other third party, but, for clarity, not
including the manufacture or Sale of integrated circuits by Rambus or its
Subsidiaries; and/or

                (ii)  infringing or misappropriating any Applicable Other IP
Rights, where such infringement or misappropriation results from the
development, delivery, license, use, implementation, or other exploitation of
Redwood Rambus Interface Technology (including improvements and successors) or
Yellowstone Rambus Interface Technology (including improvements and successors)
by Rambus, its Subsidiaries, or any Rambus licensee or other third party without
direct, knowing, or intentional use of or reference to any Toshiba confidential
materials delivered to Rambus by Toshiba under the "MULTI-PARTY NONDISCLOSURE
AGREEMENT" among SCE, Toshiba and Rambus, dated May 6, 1998 and/or delivered to
Rambus under the Development Agreement, but, for clarity, not including the
manufacture or Sale of integrated circuits by Rambus or its Subsidiaries.

            (b) Toshiba, on behalf of itself and its Subsidiaries, represents
and warrants that any sale of, assignment of, or other transfer of rights which
would enable a third party to enforce any Applicable Patent (or portion thereof)
or any Applicable Other IP Right (or portion thereof) shall be effected subject
to the rights granted to Rambus under this Section 2.11 prior to such sale,
assignment or other transfer.

            (c) Nothing in this Section 2.11 shall affect Toshiba's or its
Subsidiaries' rights against any person or entity other than Rambus or its
Subsidiaries.

                                   SECTION 3.

                           LICENSE FEES AND ROYALTIES

     3.1 License Fee. Within thirty (30) days after the Effective Date, Toshiba
shall pay to Rambus by electronic transfer a nonrefundable Redwood Rambus
Interface
Technology/Yellowstone Rambus Interface Technology license fee of [*] dollars
(U.S. $[*]). This license fee shall not be recoupable against any royalty or
other payment owed by Toshiba.

     3.2    Royalties.

            (a) Royalty Rate.

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                                                               License Agreement
                                                               January 6, 2003

                (i)   (A) Except as set forth in Section 3.2(a)(i)(B) below, the
following royalty shall apply to Sales of [*] Processor Chips: Upon each Sale by
Toshiba or its Subsidiaries of [*] Processor Chips other than to Rambus and/or
its Subsidiaries, for the Compliant Portion thereof Toshiba shall pay to Rambus,
by electronic transfer, the following royalty:

     Total [*] Processor Chip Units Sold         Royalty Per [*] Processor Chip
  -----------------------------------------    ---------------------------------
  First [*] units (as set forth below)         US $[*]
  All additional units (as set forth below)    US $[*]

provided that Toshiba's [*] Processor Chip Sales volume will be aggregated with
SONY's and, if applicable, SONY's sublicensee's, Sales volume of equivalent
integrated circuits Sold pursuant to a Yellowstone Rambus Interface Technology
or Redwood Rambus Interface Technology license from Rambus, as determined by
Rambus using Toshiba's, SONY's, and, if applicable, SONY's sublicensee's,
royalty reports, such that this royalty will reduce from $[*] per unit to $[*]
per unit for Sales in the first calendar quarter after the calendar quarter in
which such companies' aggregate such Sales volume reaches [*] units. For the
avoidance of doubt, it is understood and agreed that only one such [*] or [*]
(as applicable) royalty as provided hereunder is payable (under this Agreement,
the SONY License Agreement, and any sublicense properly granted under the SONY
License Agreement) by SONY, SONY's sublicensee, or Toshiba, as applicable, for
the Compliant Portion(s) of each [*] Processor Chip unit and that no additional
royalty is due or payable by Toshiba, under this Agreement and other existing
agreements between Rambus and Toshiba, for the use of the Compliant Portion(s)
of such [*] Processor Chip unit to implement the Redwood interface and/or the
Yellowstone interface.

                      (B) If by [*] SCE has not yet [*] Product [*], then for
Sales during each calendar quarter commencing with the second calendar quarter
of [*] and until the calendar quarter immediately following the calendar quarter
in which [*] Product [*], then, in lieu of the [*] which was granted in
expectation of [*] Product, the following royalty shall apply to Sales of [*]
Processor Chips: Upon each Sale by Toshiba or its Subsidiaries of [*] Processor
Chips other than to Rambus and/or its Subsidiaries, for the Compliant Portion
thereof Toshiba shall pay to Rambus, by electronic transfer, (I) for Sales of
[*] Processor Chips Compatible with the Redwood Rambus

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                                                               License Agreement
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Interface Specification, a royalty equal to [*] percent ([*]%) of Net Sales, and
(II) for Sales of [*] Processor Chips Compatible with the Yellowstone Rambus
Interface Specification, a royalty equal to [*] percent ([*]%) of Net Sales. For
the avoidance of doubt, it is understood and agreed that only one such [*]% or
[*]% royalty (as applicable) as provided hereunder is payable (under this
Agreement, the SONY License Agreement, and any sublicense properly granted under
the SONY License Agreement) by SONY, SONY's sublicensee, or Toshiba, as
applicable, for the Compliant Portion(s) of each [*] Processor Chip unit and
that no additional royalty is due or payable by Toshiba under this Agreement and
other existing agreements between Rambus and Toshiba for the use of the
Compliant Portion(s) of such [*] Processor Chip unit to implement the Redwood
interface and/or the Yellowstone interface.

                (ii)  Upon each Sale by Toshiba or its Subsidiaries of Memory
Hubs, for the Compliant Portion thereof Toshiba shall pay to Rambus, by
electronic transfer, a royalty equal to [*] percent ([*]%) of Net Sales,
provided that for each Memory Hub unit such royalty under this Agreement shall
be no less than [*] (U.S.$ [*]) ("Floor"), and no more than [*] (U.S.$ [*])
("Ceiling"). For the avoidance of doubt, it is understood and agreed that only
one such [*]% royalty (subject to the above Floor and Ceiling) as provided
hereunder is payable (under this Agreement, the SONY License Agreement, and any
sublicense properly granted under the SONY License Agreement) by SONY, SONY's
sublicensee, or Toshiba, as applicable, for the Compliant Portion(s) of each
Memory Hub unit and that no additional royalty is due or payable by Toshiba
under this Agreement and other existing agreements between Rambus and Toshiba
for the use of the Compliant Portion(s) of such Memory Hub unit to implement the
Redwood interface and/or the Yellowstone interface.

                (iii) Notwithstanding any other provision of this Agreement, at
any time, for Sales of Licensed Rambus ICs that include more than one interface,
technology, or rights otherwise licensed to Toshiba by Rambus under this
Agreement and any then existing other agreement(s) between Toshiba and Rambus,
the royalty payable to Rambus by Toshiba for such Licensed Rambus ICs shall be
the highest royalty payable under this Agreement and any such other agreements,
but shall not be the sum of all such applicable royalties, provided that the
royalty under this Agreement for a Memory Hub that is also a Yellowstone Rambus
Peripheral shall be the royalty

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                                                               License Agreement
                                                               January 6, 2003

specified in Section 3.2(a)(ii) above (and, if subject to Section 3.2(a)(i)(B)
above, not [*]% of Net Sales, nor [*]% of Net Sales plus the royalty specified
in Section 3.2(a)(ii) above).

     Sections 3.2(b), 3.2(c) and 3.2(d) below shall apply only to Memory Hubs,
and to [*] Processor Chips, if any, subject to Section 3.2(a)(i)(B) above.

          (b) Modules, Boards, and Systems. During each quarter "Net Sales" for
each Licensed Rambus IC incorporated into an Rambus Multichip Module, Rambus
Board, or Rambus System by or for Toshiba shall be calculated based on the
average gross selling price earned by Toshiba during such quarter on Sales of
that Licensed Rambus IC as components to unaffiliated customers in arms length
sales. If there are no such Sales, then the parties shall use such average gross
selling price of Compatible (with the Redwood Rambus Interface Specification or
Yellowstone Rambus Interface Specification, as applicable) integrated circuits
with similar functionality as shown in the Rambus royalty report for the most
recent preceding quarter in which there were such Sales. If there are no such
similar Sales of Compatible integrated circuits, then as a condition of
Toshiba's continued Sales of such Licensed Rambus ICs, the parties shall
negotiate an appropriate royalty base for those Licensed Rambus ICs. Such
royalties shall be due upon the internal transfer of the Licensed Rambus IC for
such incorporation.

          (c) Nonmarket Disposition. In the event that Licensed Rambus ICs are
Sold in circumstances in which the selling price is established on other than an
arms length basis, "Net Sales" for each such Licensed Rambus IC shall be
calculated based on the volume of such Licensed Rambus IC multiplied by the
average gross selling price earned by Toshiba during such quarter on Sales of
that Licensed Rambus IC to unaffiliated customers in arms length Sales. If there
are no such Sales, then the parties shall use such average gross selling price
of Compatible (with the Redwood Rambus Interface Specification or Yellowstone
Rambus Interface Specification, as applicable) integrated circuits with similar
functionality as shown in the Rambus royalty report for the most recent
preceding quarter in which there were such Sales. If there are no such similar
Sales of Compatible integrated circuits, then as a condition of Toshiba's
continued Sales of such Licensed Rambus ICs, the parties shall negotiate an
appropriate royalty base for those Licensed Rambus ICs.

          (d) Finished Products. Toshiba understands and agrees that royalties
are to be paid hereunder for, and the royalty rates specified herein are based
upon, Net Sales of Licensed

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Rambus ICs in finished product form. If Toshiba Sells Licensed Rambus ICs in
unfinished form (e.g., as processed wafers, unpackaged products, or otherwise
requiring additional work), then "Net Sales" for each such Licensed Rambus IC
shall be calculated based on the volume of such Licensed Rambus IC multiplied by
the average gross selling price earned by Toshiba during such quarter on Sales
of that Licensed Rambus IC, in finished product form, to unaffiliated customers
in arms length Sales. If there are no such Sales, then the parties shall use the
average gross selling price of finished Compatible (with the Redwood Rambus
Interface Specification or Yellowstone Rambus Interface Specification, as
applicable) integrated circuits with similar functionality as shown in the
Rambus royalty report for the most recent preceding quarter in which there were
such Sales. If there are no such similar Sales of Compatible integrated
circuits, then as a condition of Toshiba's continued Sales of such Licensed
Rambus ICs, the parties shall negotiate an appropriate royalty base for those
Licensed Rambus ICs.

     3.3    Payments and Accounting.

            (a) Records and Audits. With respect to the royalties set forth
herein, Toshiba shall keep complete and accurate records as necessary to support
the information required by the statement referenced in Section 3.3(b) below.
These records shall be retained for a period of at least three (3) years from
the date of payment, notwithstanding the expiration or other termination of this
Agreement. Rambus shall be entitled to have a recognized independent accounting
firm (subject to Toshiba's prior written approval, which shall not be
unreasonably withheld or delayed, provided that each of the "Big Four"
accounting firms (and their successors) shall be deemed approved) examine and
audit, not more than once in any calendar year except as set forth below, and
during normal business hours, all such records and such other records and
accounts as may contain, under recognized accounting practices, information
bearing upon the amount of royalties payable to Rambus under this Agreement,
provided that (i) such audit shall be conducted following reasonable prior
written notice (at least forty-five (45) business days in advance), and (ii)
such accounting firm shall not be hired on a contingent fee basis and shall have
confidentiality agreements in place sufficient to protect Toshiba's Confidential
Information. Prompt adjustment shall be made by Toshiba to compensate for any
errors and/or omissions disclosed by such examination or audit which result in
an underpayment of royalties hereunder, together with interest thereon from the
date the

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                                                               License Agreement
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payment was due at the annual rate of the then current prime rate plus two
percent (2%) (or, if less, the maximum allowed by applicable law). Should the
amount of any such error and/or omission exceed five percent (5%) of the total
royalties due for the period under audit, then upon request by Rambus, Toshiba
shall pay for the cost of the audit. Otherwise, Rambus is solely responsible for
the costs of any audit. In the event an examination or audit reveals such an
error/omission, of greater than five percent (5%) of the total royalties due for
the period under audit, then Rambus shall be entitled to one additional audit,
pursuant to the terms of this provision, during that same calendar year. In the
event an audit reveals an overpayment by Toshiba, then said amount shall be
credited against the next royalty payment to be made by Toshiba. Rambus shall
provide Toshiba with a copy of any report prepared by the accounting firm within
five (5) days of receipt of the same.

            (b) Reports and Payment Terms. (i) Within sixty (60) days after the
end of each calendar quarter, Toshiba shall furnish to Rambus a statement, in
the form attached as Exhibit D hereto, showing Sales and the number of units
Sold for each product subject to royalties which were Sold during such quarter,
and the amount of royalty payable thereon. If no products subject to royalty
have been Sold, that fact shall be shown on such statement. Also, within such
sixty (60) day period Toshiba shall pay to Rambus by electronic transfer to the
bank account specified in Section 9.8 or otherwise designated by Rambus in
writing the royalties payable hereunder for such quarter. All royalty and other
payments to Rambus hereunder shall be in United States dollars. Royalties based
on Sales in other currencies shall be converted to United States dollars
according to the exchange rate published by the Bank of Tokyo Mitsubishi
prevailing on the date of payment.

            (ii) In addition, Toshiba shall designate an appropriate Toshiba
contact person, to whom Rambus shall have reasonable access, on a quarterly
basis, to discuss Toshiba's expected Licensed Rambus IC Sales for each of the
following four (4) quarters. Any such information provided to Rambus shall be
nonbinding, shall be Toshiba Confidential Information, and shall be used by
Rambus only for its internal use.

     3.4 Withholding Taxes. In the event the Japanese government imposes any
withholding tax upon any payment due to Rambus hereunder, such tax shall be
borne by Rambus. Toshiba agrees to assist Rambus in any intervention necessary
to exempt payments such as development fees from tax, and Toshiba agrees to make
all necessary filings, and take such other actions, as are necessary to

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                                                               License Agreement
                                                               January 6, 2003

minimize the tax rate. Toshiba shall withhold the amount of any such taxes
levied on such payments by the Japanese government, shall promptly effect
payment of the taxes so withheld to the Japanese tax office, and promptly send
to Rambus the official certificate of such payment to enable Rambus to support a
claim for a foreign tax credit with respect to any such taxes so withheld and
paid against income taxes which may be levied by the United States government.
Toshiba shall promptly provide Rambus with copies of tax receipts showing that
any such required payments have been made.

                                   SECTION 4.

                            CONFIDENTIAL INFORMATION

     4.1 Confidential Information. The term "Confidential Information" shall
mean any information disclosed by one party to the other, pursuant to this
Agreement or otherwise, which is in written, graphic, machine readable or other
tangible form and is marked "Confidential", "Proprietary" or in some other
manner to indicate its confidential nature. Confidential Information may also
include oral information disclosed by one party to the other provided that such
information is designated as confidential at the time of disclosure and reduced
to a written summary by the disclosing party, within thirty (30) days after its
oral disclosure, which is marked in a manner to indicate its confidential nature
and delivered to the receiving party. In addition:

                (i)   Toshiba acknowledges that it may receive, from SCE, SONY,
or [*], Rambus information similarly identified as confidential to Rambus, and
Toshiba agrees to treat all such information as Rambus Confidential Information
in compliance with this Section 4.

                (ii)  Toshiba acknowledges that it may receive, from Rambus, SCE
information similarly identified as confidential to SCE, and Toshiba agrees to
treat all such information as SCE confidential information in compliance with
the [*] Agreement.

                (iii) Toshiba acknowledges that it may receive, from Rambus,
SONY information similarly identified as confidential to SONY, and Toshiba
agrees to treat all such information as SCE confidential information in
compliance with this Section 4.

                (iv)  Toshiba acknowledges that it may receive, from Rambus, [*]
information similarly identified as confidential to [*], and Toshiba agrees to
treat all such information as [*] confidential information in compliance with
the [*] Agreement.

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                                                               License Agreement
                                                               January 6, 2003

                (v)   Rambus acknowledges that it may receive, from SCE, SONY,
or [*], Toshiba information similarly identified as confidential to Toshiba, and
Rambus agrees to treat all such information as Toshiba Confidential Information
in compliance with this Section 4.

                (vi)  Rambus acknowledges that it may receive, from Toshiba, SCE
information similarly identified as confidential to SCE, and Rambus agrees to
treat all such information as SCE confidential information in compliance with
the SONY License Agreement.

                (vii) Rambus acknowledges that it may receive, from Toshiba,
SONY information similarly identified as confidential to SONY, and Rambus agrees
to treat all such information as SCE confidential information in compliance with
this Section 4.

                (vi)  Rambus acknowledges that it may receive, from Toshiba, [*]
information similarly identified as confidential to [*], and Rambus agrees to
treat all such information as [*] confidential information in compliance with
the November 18, 2002 "CONFIDENTIAL NONDISCLOSURE AGREEMENT" between Rambus and
[*].

     4.2 Confidentiality. Each party shall treat as confidential all
Confidential Information of the other party, shall not use such Confidential
Information except as expressly set forth herein or otherwise authorized in
writing, shall disclose Confidential Information only to those of its employees
with a need to know for the purposes of this Agreement, shall implement
reasonable procedures to prohibit the disclosure, unauthorized duplication,
misuse or removal of the other party's Confidential Information and shall not
disclose such Confidential Information to any third party except to its properly
sublicensed sublicensees, or to SCE or [*] in connection with the [*] Agreement
or the Development Agreement, in each case only for the purposes of this
Agreement. Without limiting the foregoing, each of the parties shall use at
least the same procedures and degree of care which it uses to prevent the
disclosure of its own confidential information of like importance to prevent the
disclosure of Confidential Information disclosed to it by the other party under
this Agreement, but in no event less than reasonable care. Each party's
obligations pursuant to this section with respect to any particular Confidential
Information shall expire five (5) years after the first commercial availability
of a production version of the Broadband Engine ("BE FCA"), except for Rambus'
layout databases and schematics for Redwood Rambus Interface Technology and
Yellowstone Rambus Interface Technology and for Toshiba's process information,
design rules,

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spice models, design guidelines, DRC, LVS rule files, and layout databases and
schematics for Licensed Rambus ICs (i.e., that portion of such layout databases
and schematics owned by Toshiba and excluding that portion provided by Rambus),
which shall be kept in confidence until ten (10) years after such BE FCA.
Toshiba will provide to Rambus prompt written notice of such BE FCA.

     4.3 Exceptions. Notwithstanding the above, neither party shall have
liability to the other with regard to any Confidential Information of the other
which:

                (i)   was generally known and available at the time it was
disclosed or becomes generally known and available through no fault of the
receiver;

                (ii)  was known to the receiver, without restriction, at the
time of disclosure as shown by the files of the receiver in existence at the
time of disclosure;

                (iii) is disclosed with the prior written approval of the
discloser;

                (iv)  was independently developed by the receiver without any
use of the Confidential Information and by employees or other agents of the
receiver who have not been exposed to the Confidential Information, provided
that the receiver can demonstrate such independent development by documented
evidence prepared contemporaneously with such independent development;

                (v)   becomes known to the receiver, without restriction, from a
source other than the discloser without breach of this Agreement by the receiver
and otherwise not in violation of the discloser's rights; or

                (vi)  is inherently disclosed in the use, lease, sale or other
distribution of any available product by the receiving party or any of its
Subsidiaries.
In addition, each party shall be entitled to disclose the other party's
Confidential Information to the extent such disclosure is requested by the order
or requirement of a court, administrative agency, or other governmental body;
provided, that the party required to make the disclosure shall provide prompt,
advance notice thereof to the disclosing party to enable the disclosing party to
seek a protective order or otherwise prevent such disclosure. Further, with the
prior written consent of the disclosing party, which shall not be unreasonably
withheld, each party shall have the right at any time to disclose portions of
the disclosing party's Confidential Information to its customers and
distributors on a need-to-know basis only to the extent deemed necessary by such
party to market

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and sell products to such customers and distributors, it being understood that
any such consent by the disclosing party may be limited to such disclosure under
a confidentiality agreement.

     4.4 Additional Responsibilities. Prior to disclosure of any Confidential
Information to each party's Subsidiaries, employees, agents and consultants,
such party must have an appropriate agreement with any such entity or person
sufficient to require the entity or person to treat Confidential Information of
the other party in accordance with this Agreement.

     4.5 Residuals. Notwithstanding anything else in this Agreement, however,
each party's employees shall be entitled to use, without restriction (subject to
the above nondisclosure obligations, but not subject to the above use
restriction) or royalty and for any purpose, the other parties' Confidential
Information retained in such employees' unaided memory as a result of rightful
access to another party's Confidential Information pursuant to this Agreement,
subject only to the other parties' patents, copyrights, or mask work rights. An
employee's memory will be considered to be unaided if the employee has not
intentionally memorized the Confidential Information for the purposes of
retaining it and subsequently using or disclosing it. Nothing in this Agreement
will restrict any party's right to assign or reassign its employees, including
without limitation those who have had access to the other parties' Confidential
Information, to any project in its discretion.

     4.6 Subsidiaries. "Toshiba", "SCE" or "[*]" in Section 4.1 and 4.2 above
shall include such company's, and SONY's, Subsidiaries properly licensed under
such company's license agreement with Rambus (or, as to [*], under its
sublicense agreement with SCE) for the applicable Rambus Interface Technology.

                                   SECTION 5.

               INTELLECTUAL PROPERTY OWNERSHIP AND INDEMNIFICATION

     5.1 Ownership. Subject to the licenses granted to Toshiba herein, Rambus
shall own all right, title and interest in the Redwood Rambus Interface
Technology and Yellowstone Rambus Interface Technology and all upgrades,
enhancements and improvements thereto made by Rambus. Subject to Rambus' right
to such underlying Rambus Interface Technology and all upgrades, enhancements
and improvements thereto made by Rambus, Toshiba shall own all right, title and
interest in Toshiba Improvements and all other technical information which are
provided by Toshiba to Rambus hereunder. The parties acknowledge and agree that
(i) there have been no joint

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                                                               License Agreement
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developments with Rambus or joint inventions with Rambus (collectively, "Joint
Developments") prior to the date of this Agreement, and (ii) the parties do not
anticipate any Joint Developments pursuant to this Agreement, and there shall be
no such Joint Developments unless so agreed in writing by the parties.

     5.2 Rambus Indemnification Disclaimer. Rambus disclaims and shall have no
obligation of defense, contribution, or indemnity with respect to any actual or
alleged intellectual property infringement with respect to any Rambus Interface
Technology, Rambus Interface Specification, or arising out of this Agreement.
Rambus shall have no liability arising out of any such actual or alleged
intellectual property infringement. Toshiba, however, shall promptly notify
Rambus, in writing, of each such infringement claim of which Toshiba becomes
aware, and Toshiba shall cooperate with Rambus if Rambus desires to intervene in
any such infringement action against Toshiba.

     5.3 Toshiba Indemnification Disclaimer. Toshiba disclaims and shall have no
obligation of defense, contribution, or indemnity with respect to any actual or
alleged intellectual property infringement with respect to any Toshiba
Improvements, or arising out of this Agreement. Toshiba shall have no liability
arising out of any such actual or alleged intellectual property infringement.

                                   SECTION 6.

                             LIMITATION OF LIABILITY

     IN NO EVENT WILL RAMBUS' LIABILITY ARISING OUT OF THIS AGREEMENT (EXCEPT
FOR BREACHES OF SECTION 4) EXCEED THE FEES AND ROYALTIES RECEIVED BY RAMBUS
HEREUNDER. EXCEPT FOR INFRINGEMENT OF THE OTHER PARTY'S INTELLECTUAL PROPERTY
RIGHTS, BREACHES BY TOSHIBA OF SECTION 2 HEREOF, OR BREACHES OF SECTION 4
HEREOF, IN NO EVENT SHALL EITHER PARTY BE LIABLE FOR ANY SPECIAL, CONSEQUENTIAL,
INDIRECT, OR INCIDENTAL DAMAGES, HOWEVER CAUSED, ON ANY THEORY OF LIABILITY AND
WHETHER OR NOT SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES,
ARISING IN ANY WAY OUT OF THIS AGREEMENT OR THE DESIGNS, TECHNOLOGY OR PRODUCTS
LICENSED OR OTHERWISE PROVIDED PURSUANT TO THIS AGREEMENT.

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                                   SECTION 7.

                              TERM AND TERMINATION

     7.1 Term. The term of this Agreement shall commence as of the Effective
Date and, unless and until terminated hereunder, shall continue until the
expiration of the last to expire Rambus patent within the Rambus Intellectual
Property Rights.

     7.2 Termination.

            (a) If either party defaults in the performance of any material
obligation hereunder, or under the Development Agreement, and if any such
default is not corrected within forty-five (45) days after the defaulting party
receives written notice thereof from the non-defaulting party, then the
non-defaulting party, at its option, may, in addition to any other remedies it
may have, terminate this Agreement. For purposes of this section, "material
default" shall include, without limitation, the falsity of any material
representation or warranty.

            (b) Either party may terminate this Agreement forthwith effective
upon written notice to the other party in the event that (i) the other party
files a petition in bankruptcy or insolvency or becomes the subject of any
voluntary proceeding relating to bankruptcy or insolvency, or makes a general
assignment for the benefit of creditors, (ii) a receiver or bankruptcy trustee
for all or substantially all of the property of the other party has been
appointed, (iii) any voluntary proceedings for the liquidation or winding up of
the other party's business or for the termination of its corporate charter have
been instituted by the other party (unless, as to Rambus, in connection with the
sale or other transfer of all or substantially all of Rambus' business or
assets), (iv) the other party's board of directors passes a resolution to
dissolve, liquidate or wind up such other party's business (unless, as to
Rambus, in connection with the sale or other transfer of all or substantially
all of Rambus' business or assets), or (v) a third party files a petition in
bankruptcy or insolvency against such other party and that petition is not
dismissed within sixty (60) days after service of the petition on the other
party.

            (c) Commencing five (5) years after the Effective Date, Toshiba
shall be entitled to terminate this Agreement, for its convenience, on at least
twelve (12) months prior written notice to Rambus.

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     7.3 Survival. Except as set forth in the last sentence of this Section 7.3
with respect to expiration, upon any termination of this Agreement all licenses
and rights granted to Toshiba shall terminate, and Toshiba shall promptly
destroy or return to Rambus all of Rambus' Confidential Information and
technology. In addition, all amounts due or payable to Rambus as a result of
events prior to the date of termination or expiration of this Agreement shall
remain due and payable. The provisions of Sections 2.5(a), 2.5(b) (as to
Licensed Rambus ICs Sold prior to termination or expiration), 2.6 (Toshiba
Patents), 2.7 (Disclaimer), 2.11 (Covenant Not To Sue), 3.2 (Payments and
Accounting), 3.3 (Withholding Taxes), 4 (Confidential Information), 5
(Intellectual Property Ownership and Indemnification), 6 (Limitation of
Liability), 8 (Governing Law; Dispute Resolution), and 9 (Miscellaneous) shall
survive any expiration or termination of this Agreement for any reason. Upon
expiration (but not upon any other termination) of this Agreement, the licenses
granted to Toshiba under Section 2 above shall survive and shall become
irrevocable (except for breach of Section 2 or Section 4 above), fully paid, and
royalty free.

                                   SECTION 8.

                        GOVERNING LAW, DISPUTE RESOLUTION

     8.1 Governing Law. This Agreement shall be governed by and interpreted in
accordance with the substantive laws of the State of California, U.S.A., with
the exclusion of laws on punitive, exemplary or similar damages unless a statute
requires that compensatory damages be increased in a specific manner, and
without reference to conflict of laws principles.

     8.2 Dispute Resolution.

          (a) Except for U.S. International Trade Commission proceedings, all
disputes and claims arising out of this Agreement shall be subject to the
exclusive jurisdiction and venue of the California state courts and the United
States District Court for the Northern District of California, and Toshiba
agrees and consents to the personal and exclusive jurisdiction of these courts.
The parties hereto expressly waive any right they may have to a jury trial
hereunder and agree that any proceeding under this Agreement shall be tried by a
judge without a jury.

          (b) To the extent permissible under Japanese law, any judgment of any
United States court shall entitle Rambus to a corresponding Japanese judgment
and shall be enforceable against

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                                                               License Agreement
                                                               January 6, 2003

Toshiba in Japan with the same force and effect as a judgment of any Japanese
court of competent jurisdiction.

                                   SECTION 9.

                                  MISCELLANEOUS

     9.1 Announcement and Promotion. Toshiba and Rambus shall participate in the
following public announcements and activities, provided that the contents,
manner and timing of such public announcement shall be mutually agreed upon in
advance between both parties:

                (i)   Toshiba and Rambus will jointly issue a press release, in
the form attached hereto as Exhibit E, announcing the existence of their
relationship and this Agreement, within forty-eight (48) hours after the
Effective Date of this Agreement.

                (ii)  Toshiba will make a keynote address at each of the 2004
United States and 2004 Japan Rambus Developer Forums regarding Toshiba's
licensing of the Redwood Rambus Interface Technology and Yellowstone Rambus
Interface Technology and future plans for Licensed Rambus ICs.

                (iii) Toshiba will participate in the first Rambus Redwood
Rambus Interface Technology product announcement in each of the following major
geographic regions: United States, Japan, and Europe; and will participate in
the first Rambus Yellowstone Rambus Interface Technology product announcement in
each of such major geographic region.

                (iv)  Rambus will be given, on a timely basis, the opportunity
to participate in any Broadband Engine media event or press conference where
appropriate, as a technology partner with a speaking role at the event/press
conference to the extent that Toshiba is a leading member of the hosting
companies for such media events or press conferences.

                (v)   If Rambus [*] and/or [*], Toshiba will [*] so long as [*].

     9.2 Confidentiality of Agreement. Each party agrees that, after the
announcement referenced in Section 9.1 above, each party shall be entitled to
disclose the general nature of this Agreement but that the terms and conditions
of this Agreement shall be treated as confidential information and that neither
party will disclose the terms or conditions to any third party without the prior
written consent of the other party, provided, however, that each party may
disclose the terms and conditions of this Agreement:

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                                                               License Agreement
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                (i)   as required by any court or other governmental body;

               (ii)   as otherwise required by law;

              (iii)   as otherwise may be required by applicable securities and
other law and regulation, including to legal and financial advisors in their
capacity of advising a party in such matters, provided that Rambus will provide
notice to Toshiba prior to any such disclosure required by the U.S. Securities
and Exchange Commission, such notice to include a copy of the proposed
disclosure, and Rambus will consider Toshiba's timely input with respect to the
disclosure;

               (iv)   in confidence, to legal counsel of the parties,
accountants, and other professional advisors;

                (v)   in confidence, to banks, investors and other financing
sources and their advisors;

               (vi)   in connection with the enforcement of this Agreement or
rights under this Agreement; or

              (vii)   during the course of litigation so long as the disclosure
of such terms and conditions are restricted in the same manner as is the
confidential information of other litigating parties and so long as (A) the
restrictions are embodied in a court-entered protective order limiting
disclosure to outside counsel and (B) the disclosing party informs the other
party in writing at least ten (10) business days in advance of the disclosure
and shall discuss the nature and contents of the disclosure, in good faith, with
the other party; or

             (viii)   in confidence, in connection with an actual or prospective
merger or acquisition or similar transaction.

Notwithstanding the foregoing, Rambus shall be entitled to disclose to third
parties the terms and conditions of Sections 2.6 (Toshiba Patents) and 2.11
(Covenant Not To Sue) above and the associated definitions in Section 1 and any
related Exhibits.

     9.3 Potential Licensees. At Toshiba's written request at any time until
January 1, 2011, Rambus agrees to negotiate in good faith with any Potential
Licensee(s) specified in the written request(s), under Rambus' then current
standard terms and conditions therefor, a license, with respect to the Redwood
Rambus Interface Technology and/or the Yellowstone Rambus Interface Technology,
to manufacture and Sell Broadband Engines and/or Broadband Engine Derivatives,

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                                                               License Agreement
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provided that Rambus agrees that (i) with respect to the Broadband Engine, (A)
the license fee charged by Rambus to each Potential Licensee for such license
shall not exceed [*] dollars (US $[*]) and (B) the royalty rate charged by
Rambus to each Potential Licensee for such license shall not exceed [*] (US
$[*]) per unit; provided, however, that if by [*], SCE has not yet [*] Product
[*], then during each calendar quarter commencing with the second calendar
quarter of [*] and until the calendar quarter immediately following the calendar
quarter in which [*] Product [*], the royalty rate charged by Rambus to each
Potential Licensee for such license shall not exceed [*] ([*]%) of sales, and
(ii) with respect to Broadband Engine Derivatives, (A) the license fee charged
by Rambus to each Potential Licensee for such license shall not exceed [*] (US
$[*]), and (B) the royalty rate charged by Rambus to each Potential Licensee for
such license shall not exceed [*] percent ([*]%) of sales for Broadband Engine
Derivatives Compatible with the Redwood Rambus Interface Specification but not
Compatible with the Yellowstone Rambus Interface Specification, and [*] percent
([*]%) of sales for Broadband Engine Derivatives Compatible with the Yellowstone
Rambus Interface Specification. Nothing in this section shall restrict Rambus
charges for development, non-recurring engineering, or services.

     9.4 Assignment. (a) Neither party may transfer, assign or delegate this
Agreement or any of its licenses, rights or duties under this Agreement, by
operation of law or otherwise, without the prior written consent of the other
party, except that Rambus may transfer and assign this Agreement to any person
or entity into which it has merged or which has otherwise succeeded to all or
substantially all of its business and assets pertaining to the technology
licensed hereunder.

            (b) In the event of any such transfer or assignment or attempted
transfer or assignment by either party except as otherwise expressly permitted
hereunder, this Agreement and all rights and licenses granted to such party
shall automatically terminate. Any attempted transfer or assignment in violation
of this Section shall be void. For purposes of this section, a merger of Toshiba
into any third party where Toshiba is not, or has no Control of, the surviving
entity after such merger, or a Change of Control of Toshiba, shall constitute an
assignment. Notwithstanding the foregoing, if Toshiba [*] so as to [*], then
Toshiba shall be entitled to [*], but only if Toshiba agrees in a writing
reasonably acceptable to Rambus that [*]. Toshiba shall be responsible for the
performance [*] of all obligations contained in this Agreement.

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            (c) This Agreement shall be binding on the parties hereto and any of
their permitted successors and assigns, including any successors and assigns of
Rambus Intellectual Property Rights that are subject to the licenses granted to
Toshiba hereunder.

     9.5 No Conflicts. Each party represents and warrants, on a continuing
basis, to the other party that (i) the execution, delivery and performance by
such party of this Agreement and each other agreement, document, or instrument
now or hereafter executed and delivered by such party pursuant thereto or in
connection herewith will not conflict with or result in any breach of, or
constitute a default under, any commitment, contract or other agreement,
instrument or undertaking to which such party is a party or by which any of its
property is bound, and (ii) such party will not enter into any such commitment,
contract or other agreement, instrument or undertaking.

     9.6 Authority. Each party represents that all corporate action necessary
for the authorization, execution and delivery of this Agreement by such party
and the performance of its obligations hereunder has been taken.

     9.7 Notices. All notices and other communications required or permitted
hereunder shall be in writing and shall be mailed by first class air mail
(registered or certified if available), postage prepaid, or otherwise delivered
by hand, by messenger or by telecommunication, addressed to the addresses first
set forth above or at such other address furnished with a notice in the manner
set forth herein. Such notices shall be deemed to have been served when
delivered or, if delivery is not accomplished by reason of some fault of the
addressee, when tendered. All notices shall be in English.

     9.8 Electronic Transfers. All payments from Toshiba which are required
herein to be sent to Rambus via electronic transfer shall be made in U.S.
dollars via the Federal Reserve Bank of San Francisco for the credit of:

                         Rambus Inc., Account #[*]
                         [*]
                         [*]
                         [*]
                         [*]

     9.9 Export Controls.

            (a) Each party understands and acknowledges that the other party is
subject to regulation by agencies of the U.S. and Japanese government, including
the U.S. Department of

                                      -35-                          CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

Commerce, which prohibit export or diversion of certain products and technology
to certain countries. Any and all obligations of the parties to provide Rambus
Interface Technology, technical assistance, Toshiba's technical information,
Confidential Information and any media in which any of the foregoing is
contained, training, technical assistance, and related technical data
(collectively, "Data") shall be subject in all respects to such United States
and Japanese laws and regulations as shall from time to time govern the license
and delivery of technology and products abroad by persons subject to the
jurisdiction of the United States and/or Japan as the case may be, including the
Export Administration Act of 1979, as amended, any successor legislation, and
the Export Administration Regulations issued by the Department of Commerce,
International Trade Administration, Bureau of Export Administration. Each party
agrees to cooperate with the other party, including without limitation,
providing required documentation, in order to obtain export licenses or
exemptions therefrom. Each party warrants that it (i) will comply in all
respects with the export and reexport restrictions set forth in the export
license (if necessary) for every item shipped to the other party, (ii) will not
use any information furnished hereunder by the other party for any purpose to
develop and/or manufacture nuclear, chemical, biological weapons and/or
missiles, and (iii) will otherwise comply with the Export Administration
Regulations or other United States or Japanese, as applicable, laws and
regulations in effect from time to time.

            (b) Without in any way limiting the provisions of this Agreement,
(i) Toshiba agrees that unless prior written authorization is obtained from the
Bureau of Export Administration or the Export Administration Regulations
explicitly permit the reexport without such written authorization, it will not
export, reexport, or transship, directly or indirectly, any Rambus Data
disclosed or provided hereunder or the direct product of such Data to country
groups D-1 or E-2 (as defined in the Export Administration Regulations and which
currently consist of Albania, Armenia, Azerbaijan, Belarus, Bulgaria, Cambodia,
China (PRC), Cuba, Estonia, Georgia, Kazakhstan, Kyrgyzstan, Laos, Latvia,
Libya, Lithuania, Moldavia, Mongolia, North Korea, Romania, Russia, Tajikistan,
Turkmanistan, Ukraine, Uzbekistan, and Vietnam, or to Iran, Iraq, Sudan, or
Syria, and (ii) each of the parties agrees that unless prior written
authorization is obtained from, as applicable, the Bureau of Export
Administration or the applicable Japanese agency, or the Export Administration
Regulations or applicable Japanese regulations, as applicable, explicitly permit
the reexport without

                                      -36-                          CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

such written authorization, it will not export, reexport, or transship, directly
or indirectly, any Data disclosed or provided to such company or the direct
product of such Data or to any other country as to which the U.S. or Japanese
government, as applicable, has placed an embargo against the shipment of
products, software, or technology which is in effect during the term of this
Agreement.

            (c) Without limiting the foregoing provisions of this section, (i)
Rambus agrees to comply with U.S. export laws and regulations with respect to
Data disclosed to Rambus by Toshiba but originating in the U.S., and (ii)
Toshiba agrees to comply with Japanese export laws and regulations with respect
to Data disclosed to Toshiba by Rambus but originating with SONY.

     9.10   Partial Invalidity. If any paragraph, provision, or clause thereof
in this Agreement shall be found or be held to be invalid or unenforceable in
any jurisdiction in which this Agreement is being performed, the remainder of
this Agreement shall be valid and enforceable and the parties shall negotiate,
in good faith, a substitute, valid and enforceable provision which most nearly
effects the parties' intent in entering into this Agreement.

     9.11   No Third Party Beneficiaries. This Agreement has been made and is
made solely for the benefit of Rambus and Toshiba and their respective permitted
successors and permitted assigns. Nothing in this Agreement is intended to
confer any rights or remedies under or by reason of this Agreement on any person
or entity (including without limitation SONY and [*]) other than the parties to
this Agreement and their respective successors and permitted assigns. Nothing in
this Agreement is intended to relieve or discharge the obligation or liability
of any third person or entity to any party to this Agreement.

     9.12   Counterparts. This Agreement may be executed in two (2) or more
counterparts, all of which, taken together, shall be regarded as one and the
same instrument.

     9.13   Relationship of Parties. The parties hereto are independent
contractors. Nothing contained herein or done in pursuance of this Agreement
shall constitute either party the agent of the other party for any purpose or in
any sense whatsoever, or constitute the parties as partners or joint venturers.

     9.14   Modification. No alteration, amendment, waiver, cancellation or any
other change in any term or condition of this Agreement shall be valid or
binding on either party unless the same shall have been mutually assented to in
writing by both parties.

                                      -37-                          CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

     9.15   Waiver. The failure of either party to enforce at any time the
provisions of this Agreement, or the failure to require at any time performance
by the other party of any of the provisions of this Agreement, shall in no way
be construed to be a present or future waiver of such provisions, nor in any way
affect the right of either party to enforce each and every such provision
thereafter. The express waiver by either party of any provision, condition or
requirement of this Agreement shall not constitute a waiver of any future
obligation to comply with such provision, condition or requirement.

     9.16   Government Approvals. Toshiba represents and warrants that no
consent or approval with any governmental authority in Japan is required in
connection with the valid execution and performance of this Agreement except as
may be required to transfer technical information to Rambus under this
Agreement. Rambus represents and warrants that no consent or approval with any
governmental authority in the United States is required in connection with the
valid execution and performance of this Agreement except as may be required to
transfer technical information to Toshiba under this Agreement. Each party shall
be responsible for any required filings of this Agreement with the Japanese (as
to Toshiba) or United States (as to Rambus) government agencies.

     9.17   Section Headings and Language. The section headings contained in
this Agreement are for reference purposes only and shall not affect in any way
the meaning or interpretation of this Agreement. The English language shall
govern the meaning and interpretation of this Agreement.

     9.18   Ambiguities. Any rule of construction to the effect that ambiguities
are to be resolved against the drafting party shall not apply in interpreting
this Agreement.

     9.19   Currency. All dollar amounts specified herein are in U.S. dollars,
and all payments pursuant to this Agreement shall be in U.S. dollars.

     9.20   Entire Agreement. The terms and conditions herein contained
constitute the entire agreement between the parties and supersede all previous
agreements and understandings, whether oral or written, between the parties
hereto with respect to the subject matter hereof and no agreement or
understanding varying or extending the same shall be binding upon either party
hereto unless in a written document signed by the party to be bound thereby.
Subject to the provisions of Section 3.2 and unless otherwise expressly provided
herein or under the Development Agreement, it is understood and agreed that this
Agreement shall not affect the parties' agreements existing as of the

                                      -38-                          CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

Effective Date, including without limitation the parties' (a) 1990 Semiconductor
Technology License Agreement, (b) 1996 Rambus-2 Semiconductor Technology
Development and License Agreement, (c) 1997 Supplemental Semiconductor
Technology License Agreement, (d) Development Agreement, or (e) 2002 Yellowstone
Semiconductor Technology License Agreement (pertaining to DRAMs).

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
signed by duly authorized officers or representatives as of the date first above
written.

RAMBUS INC.                              TOSHIBA CORPORATION

By: /s/ GEOFF TATE                       By:  /s/ TAKESHI NAKAGAWA
    ----------------------------              ---------------------------------

Name: Geoff Tate                         Name:      Takeshi Nakagawa

Title: CEO                               Title: Corporate Senior Vice President
                                                    President & CEO,

                                                    Semiconductor Company

Date: Jan. 6, 2003                       Date:  Jan. 6, 2003

                                      -39-                          CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                   EXHIBIT A-1

                       REDWOOD RAMBUS INTERFACE TECHNOLOGY

The Redwood Rambus Interface Technology is a physical and logical layer
logic-to-logic subsystem capable of transferring data up to rates of up to 5.0
Gigabits-per-second (Gbps) per signal pair. The elements of the Redwood Rambus
Interface Technology include the Logic Layer ("Redwood RLC") (not to be provided
to Toshiba by Rambus), Rambus Access Cells ("Redwood RACs"), the Channel, and
associated clocking.

The logic device (processor, peripheral, ASIC, etc.) contains the storage and
processing functions needed by the application (Applications Units). The
application can transmit or receive data to or from another logic device using
up to a 5.0 Gbps Rambus Channel.

Small voltage swings and unidirectional differential signaling are used on the
Redwood Rambus interface to carry all data information to/from the Redwood RACs.
Advanced CMOS circuit design techniques are used in the implementation of the
driver/receiver and clock circuitry of the Redwood Rambus interface.

The Redwood RAC is the Input/Output cell which resides on the edge of the die of
the logic device. The Redwood RAC provides the basic multiplexing/demultiplexing
functions for converting the off-chip bus with up to 5.0 Gbps data rate -to a
wider, and slower, on-chip bus. The Redwood RAC manages the physical layer of
the Rambus subsystem.

The Redwood RLC manages the logical layer of the Rambus subsystem. The Redwood
RLC sits between the Redwood RAC and the Application Unit, and provides a simple
intermediate protocol for performing read and write transactions between two
logic devices using the Redwood Rambus Interface Technology. The Redwood RLC
serves as a reference design and it may be used as is, or it may be modified for
a particular application.

The Redwood Rambus Channel is the system level interconnect necessary to
communicate at up to a 5.0 Gbps data rate between two logic chips. This includes
packaging, system PCB, and may include connector technologies.

Rambus is in development of the Redwood Rambus Interface Technology, so material
change in function or specification are possible and Rambus makes no
representation or warranty otherwise.

                                                                    CONFIDENTIAL

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                                                               License Agreement
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                                   EXHIBIT A-2

                     YELLOWSTONE RAMBUS INTERFACE TECHNOLOGY

The Yellowstone Rambus Interface Technology is a complete memory and
chip-to-chip subsystem capable of transferring data rates initially at 3.2
Gigabit-per-second (3.2 Gbps) per signal pair. The elements of the Yellowstone
Rambus Interface Technology include the Rambus Memory Controller ("Yellowstone
RMC"), Yellowstone RAC, Channel, expansion subsystem, the interface portion of
the Yellowstone DRAMs ("Yellowstone DRAMs"), and associated clocking.

The logic device (processor, peripheral, ASIC, etc.) contains the storage and
processing functions needed by the application (Applications Units). The
application can access further storage in external Yellowstone DRAMs using a 3.2
Gbps Rambus Channel.

The Yellowstone DRAM is manufactured with standard submicron CMOS. The
Yellowstone DRAM operates with a 400MHz clock, transferring address and control
information at 800 Mbps and data at 3.2 Gbps. Small voltage swings are used on
the Yellowstone Rambus interface to carry all address, data, and control
information to/from the Yellowstone DRAMs. Differential signals are used on the
Yellowstone Rambus interface to carry data information to/from the Yellowstone
DRAMs. Advanced CMOS circuit design techniques are used in the implementation of
the driver/receiver and clock circuitry of the Yellowstone Rambus interface.
Initial applications for the Yellowstone Rambus Interface Technology include
applications with the Yellowstone DRAMs soldered on the main board (no modules
or expansion capabilities).

The Yellowstone RAC is the Input/Output cell which resides on the edge of the
die of the logic device. The Yellowstone RAC provides the basic
multiplexing/demultiplexing functions for converting the off-chip bus with the
3.2 Gbps data rate (Channel) to a wider, and slower, on-chip bus. The
Yellowstone RAC manages the physical layer of the Rambus subsystem.

The Yellowstone RMC manages the logical layer of the Rambus subsystem. The
Yellowstone RMC sits between the Yellowstone RAC and the Application Unit, and
provides a simple intermediate protocol for performing read and write
transactions to the Yellowstone DRAMs. The Yellowstone RMC also supports
interleaved transactions. The Yellowstone RMC serves as a reference design and
it may be used as is, or it may be modified for a particular application.

Rambus is in development of the Yellowstone Rambus Interface Technology, so
material change in function or specification are possible and Rambus makes no
representation or warranty otherwise.

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                    EXHIBIT B

                                   MEMORY HUB

     The "Memory Hub" is a [*] (but not a [*]) for [*], which uses [*] in the
[*] for [*], or a [*], where such [*] and [*] are through the [*] incorporated
into such [*] or [*] (i.e., the portion of such [*] which provide [*] with the
[*]). For purposes of this Agreement a [*] will be deemed to be a [*], and, for
purposes of [*], the above-described [*] shall be considered the portion of the
[*] that provides [*] with the [*], notwithstanding that such [*] may not exist.
It is understood and agreed that a [*] may also be a [*].

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                    EXHIBIT C

                                   TRADEMARKS

Rambus, RDRAM, and the Rambus Logo ([LOGO OF RAMBUS, RDRAM].or [LOGO OF RAMBUS])
are trademarks and registered trademarks of Rambus Inc. in the United States and
other countries.

     The marking to be used for Licensed Rambus ICs is: [LOGO OF RAMBUS, RDRAM].
Original logo artwork is available from the Rambus trademark department.

When using the Rambus trademarks in documentation and presentations, Toshiba
must follow the guidelines below:

1.   The first and most obvious occurrence of each of the trademarks in text
needs to have the superscript (TM) to notify the reader of the trademark.
Subsequent occurrences in the same document do not require the (TM) symbol. This
must be done for each trademark. An example is:

     The Rambus (TM) DRAM is also referred to as an RDRAM (TM) device.

2.   Toshiba must provide notice in each document of the Rambus trademarks used
and that they are registered trademarks of Rambus Inc. This notice would
typically accompany Toshiba's own trademark and copyright notices. If, for
example, the terms Rambus and RDRAM are used:

     Rambus and RDRAM are trademarks and registered trademarks of Rambus Inc. in
the United States and other countries.

3.   When referring to Rambus as a company, as in "Rambus Inc.", the TM symbol
should not be used. All other usage of the term "Rambus" should comply with
applicable trademark laws. For example, except when it is used to refer to
Rambus as a company, the term 'Rambus" should only be used as an adjective
modifying a noun. Examples of acceptable usage are:

     the Rambus (TM) Channel

     the Rambus (TM) Interface

     the Rambus (TM) Technology

4.   The term "RDRAM" should never be used as a noun, only as an adjective
modifying a noun. Examples of acceptable usage are:

RDRAM (TM) IC

RDRAM (TM) chip

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

RDRAM (TM) memory

RDRAM (TM) device

                                      -2-                           CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                    EXHIBIT D

                             FORM OF ROYALTY REPORT

                                   [Attached]

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                     Royalty Report: Licensed Logic Products

  under the Redwood and Yellowstone Semiconductor Technology License Agreement

                   between Toshiba Corporation and Rambus Inc.

                          Period ______________________

   Redwood or Yellowstone Logic
             Product              Unit Sales   Net Sales*   Royalty
-------------------------------   ----------   ----------   -------
Broadband Engines

Broadband Engine Derivatives

Associated Chips

Memory Hubs

Total royalty payable

Less-withholding tax

Amount to be remitted
===============================   ==========   ==========   =======

Note:  This report is due within 60 days after the end of each quarter

     * Only for products with a percentage royalty.

                                                                    CONFIDENTIAL

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License Agreement
January 6, 2003

                                    EXHIBIT E

                                  PRESS RELEASE

                                                                    NEWS RELEASE

                 RAMBUS SIGNS TECHNOLOGY LICENSE AGREEMENTS WITH

                  SONY, SONY COMPUTER ENTERTAINMENT AND TOSHIBA

 Two new interfaces selected for logic-to-memory and logic-to-logic connectivity

     LOS ALTOS, CA - January 6, 2003 - Rambus Inc. (Nasdaq:RMBS), the leader in
ultra high-speed interface technology, today announced new agreements with Sony
Corporation (Sony), Sony Computer Entertainment Inc. (SCEI) and Toshiba
Corporation (Toshiba) for the license and utilization of two new high-speed
interfaces, codenamed 'Yellowstone' and 'Redwood.' Offering unparalleled
competitive advantages, these two interfaces are expected to be utilized for
future broadband applications with 'Cell.'

     The impact on Rambus' financials will be discussed during a conference call
on January 6, 2003 at 2:00 p.m. Pacific Standard Time. The specific terms of the
agreements are confidential.

     Currently at 3.2GHz data rates, with a roadmap to higher performance,
'Yellowstone' is much faster than the best available DDR memories. 'Yellowstone'
offers high performance in memory signaling while optimizing system cost through
pin-count reduction and support for high volume PCBs and packages.

     'Redwood', the ultra high-speed parallel interface between multiple chips,
delivers a data rate about ten times faster than the latest processor busses. It
maintains lower latency and lower power consumption than current solutions,
while keeping high productivity and cost efficiency.

     "The use of Direct Rambus technology in PlayStation(R)2 was essential for
its performance," said Ken Kutaragi, president and chief executive officer of
Sony Computer Entertainment Inc. "Rambus is and will be the key player in the
ultra high-speed interface

                                      -3-                           CONFIDENTIAL

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License Agreement
January 6, 2003

technology. This enables us to create a wide range of applications and platforms
from high-end systems to digital consumer electronics products within Sony
Group."

                                               -more-

                                      -4-                           CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

     2-2-2-2   Rambus Signs Technology License Agreements with Sony, SCEI and
Toshiba

     "We recognize Rambus as the premier provider of high speed interface
technology. We have already decided to integrate Rambus' interface technology
into our next-generation high-value added DRAM, and we have now extended our
partnership to the logic interface. These technologies will support us in
delivering effective solutions to next-generation systems that require
high-speed processing of large graphics and audio data," said Takeshi Nakagawa,
corporate senior vice president of Toshiba Corporation and president and chief
executive officer of Toshiba Corporation Semiconductor Company.

     "We have had long and mutually beneficial relationships with Sony, Sony
Computer Entertainment and Toshiba," said Geoff Tate, chief executive officer at
Rambus. "Rambus' objective is to produce innovative solutions that will benefit
our semiconductor and system partners. We are pleased that our ultra high-speed
logic-to-memory and logic-to-logic solutions are key technologies to produce a
wide range of future systems."

     ABOUT RAMBUS INC.
     Rambus is the leading developer and marketer of breakthrough chip-to-chip
interface technology, products and solutions to the electronics industry. The
company licenses its technology in the form of interface cells that are
incorporated into high-performance memory and logic chips by 25 of the world's
top semiconductor makers. The company's interface cells and system-level
solutions are incorporated into hundreds of OEM products.

     ABOUT SONY COMPUTER ENTERTAINMENT INC.
     Recognized as the global leader and company responsible for the progression
of consumer-based computer entertainment, Sony Computer Entertainment Inc.
(SCEI) manufacturers, distributes and markets the PlayStation(R) game console
and PlayStation(R)2 computer entertainment system. PlayStation has
revolutionized home entertainment by introducing advanced 3D graphic processing,
and PlayStation 2 further enhances the PlayStation legacy as the core of home
networked entertainment. SCEI, along with its subsidiary divisions Sony Computer
Entertainment America Inc., Sony Computer Entertainment Europe Ltd., and Sony
Computer Entertainment Korea Inc. develops, publishes, markets and distributes
software, and manages the third party licensing programs for these two platforms
in the respective markets worldwide. Headquartered in Tokyo,

                                      -5-                           CONFIDENTIAL

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License Agreement
January 6, 2003

Japan, Sony Computer Entertainment Inc. is an independent business unit of the
Sony Group.

                                               - more-

                                      -6-                           CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

     3-3-3-2   Rambus Signs Technology License Agreements with Sony, SCEI and
Toshiba

     ABOUT TOSHIBA CORPORATION
     Toshiba Corporation is a leader in information and communications systems,
electronic components, consumer products, and power systems. The company's
integration of these wide-ranging capabilities assures its position as a leading
company in semiconductors, displays and other electronic devices. Toshiba has
176,000 employees worldwide and annual sales of over US$40 billion. Visit
Toshiba's website at http://www.toshiba.co.jp/index.htm.

     PlayStation is a registered trademark of Sony Computer Entertainment Inc.

     This press release contains forward-looking statements. These statements
are based on current expectations, estimates and projections about the Company's
industry, management's beliefs, and certain assumptions made by the Company's
management. You can identify these and other forward-looking statements by the
use of words such as "may," "will," "should," "expects," "plans," "anticipates,"
"believes," "estimates," "predicts," "intends," "potential," "continue" or the
negative of such terms, or other comparable terminology. Forward-looking
statements also include the assumptions underlying or relating to the foregoing
statements. Actual results could differ materially from those anticipated in
these forward-looking statements as a result of various factors, including those
identified in the Company's recent filings with the Securities and Exchange
Commission, including its recently filed Form 10-Q, and also including the
uncertainty of new technologies; and the uncertainty regarding the technical and
market demands for such technologies. All forward-looking statements included in
this press release are based on information available to Rambus on the date
hereof. Rambus assumes no obligation to update any forward-looking statements.

                                      # # #

     Press Contacts:

     Rambus Inc.
     Linda Ashmore
     (650) 947-5411
     lashmore@rambus.com

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                    EXHIBIT F

                                JAPANESE PATENTS

Matter      Title                          Status      Pat No.     Issue Date
[*]         [*]                            [*]         [*]         [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]
[*]         [*]                            [*]

                                                                    CONFIDENTIAL

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                                                               License Agreement
                                                               January 6, 2003

                                    EXHIBIT G

                                  DELIVERABLES

[*]
[*]
[*]
[*]

These [*] include [*] and [*] (as appropriate) [*] of the [*]. In the [*],[*]
and [*] is included. In the case of the [*] of the applicable [*], full
description of the [*] is included in addition to [*]. In the case [*] and [*],
the [*] which represent what have been [*] in [*] and [*] manufactured to date
by [*].

                                                                    CONFIDENTIALIndenture dated April 29, 2003

Exhibit 4.1 
Execution Copy 

 
MERCURY INTERACTIVE CORPORATION 
 
as Issuer 
 
AND 
 
U.S. BANK NATIONAL ASSOCIATION 
 
as Trustee 
 

 
Indenture 
 
Dated as of April 29, 2003 
 

 
Zero Coupon Senior Convertible Notes due 2008 

 
TABLE OF
CONTENTS 
 

	 	  	 Page

	 ARTICLE 1

	
	 DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

	
	 Section 1.01 . Definitions
	  	 1

	 Section 1.02 . Compliance Certificates And Opinions
	  	 9

	 Section 1.03 . Form Of Documents Delivered To Trustee
	  	 9

	 Section 1.04 . Acts Of Holders; Record Dates
	  	 9

	 Section 1.05 . Notices, Etc., to Trustee and Company
	  	 10

	 Section 1.06 . Notice To Holders; Waiver
	  	 11

	 Section 1.07 . Conflict With Trust Indenture Act
	  	 11

	 Section 1.08 . Effect Of Headings And Table Of Contents
	  	 11

	 Section 1.09 . Successors And Assigns
	  	 11

	 Section 1.10 . Separability Clause
	  	 11

	 Section 1.11 . Benefits Of Indenture
	  	 11

	 Section 1.12 . Governing Law
	  	 12

	 Section 1.13 . Legal Holiday
	  	 12

	
	 ARTICLE 2

	
	 SECURITY FORMS

	
	 Section 2.01 . Forms Generally
	  	 12

	 Section 2.02 . Form Of Face Of Security
	  	 12

	 Section 2.03 . Form Of Reverse Of Security
	  	 16

	 Section 2.04 . Form Of Trustee's Certificate Of Authentication
	  	 25

	 Section 2.05 . Legend On Restricted Securities
	  	 25

	
	 ARTICLE 3

	
	 THE SECURITIES

	
	 Section 3.01 . Title And Terms
	  	 25

	 Section 3.02 . Denominations
	  	 26

	 Section 3.03 . Execution, Authentication, Delivery And Dating
	  	 26

	 Section 3.04 . Temporary Securities
	  	 26

	 Section 3.05 . Registration; Registration Of Transfer And Exchange; Restrictions On
Transfer
	  	 27

	 Section 3.06 . Mutilated, Destroyed, Lost And Stolen Securities
	  	 28

	 Section 3.07 . Persons Deemed Owners
	  	 29

	 Section 3.08 . Book-entry Provisions For Global Securities
	  	 29

 

i 

	 Section 3.09 . Cancellation
	  	 30

	 Section 3.10 . Special Transfer Provision
	  	 31

	 Section 3.11 . CUSIP Numbers
	  	 32

	 Section 3.12 . Ranking
	  	 32

	
	 ARTICLE 4

	
	 SATISFACTION AND DISCHARGE

	
	 Section 4.01 . Satisfaction And Discharge Of Indenture
	  	 33

	 Section 4.02 . Application Of Trust Money
	  	 34

	
	 ARTICLE 5

	
	 REMEDIES

	
	 Section 5.01 . Events Of Default
	  	 34

	 Section 5.02 . Acceleration Of Maturity; Rescission And Annulment
	  	 35

	 Section 5.03 . Other Remedies
	  	 36

	 Section 5.04 . Collection Of Indebtedness And Suits For Enforcement By
Trustee
	  	 36

	 Section 5.05 . Trustee May File Proofs Of Claim
	  	 36

	 Section 5.06 . Application Of Money Collected
	  	 37

	 Section 5.07 . Limitation On Suits
	  	 37

	 Section 5.08 . Unconditional Right Of Holders To Receive Payment
	  	 38

	 Section 5.09 . Restoration Of Rights And Remedies
	  	 38

	 Section 5.10 . Rights And Remedies Cumulative
	  	 38

	 Section 5.11 . Delay Or Omission Not Waiver
	  	 38

	 Section 5.12 . Control By Holders
	  	 39

	 Section 5.13 . Waiver Of Past Defaults
	  	 39

	 Section 5.14 . Undertaking For Costs
	  	 39

	 Section 5.15 . Waiver Of Stay Or Extension Laws
	  	 39

	
	 ARTICLE 6

	
	 THE TRUSTEE

	
	 Section 6.01 . Certain Duties And Responsibilities
	  	 40

	 Section 6.02 . Notice Of Defaults
	  	 40

	 Section 6.03 . Certain Rights Of Trustee
	  	 40

	 Section 6.04 . Not Responsible For Recitals
	  	 41

	 Section 6.05 . May Hold Securities
	  	 41

	 Section 6.06 . Money Held In Trust
	  	 42

	 Section 6.07 . Compensation And Reimbursement
	  	 42

	 Section 6.08 . Disqualification; Conflicting Interests
	  	 42

	 Section 6.09 . Corporate Trustee Required; Eligibility
	  	 43

	 Section 6.10 . Resignation And Removal; Appointment Of Successor
	  	 43

 

ii 

	 Section 6.11 . Acceptance Of Appointment By Successor
	  	 44

	 Section 6.12 . Merger, Conversion, Consolidation Or Succession To
Business
	  	 44

	 Section 6.13 . Preferential Collection Of Claims Against
	  	 45

	
	 ARTICLE 7

	
	 HOLDERS' LISTS AND REPORTS BY TRUSTEE AND THE COMPANY

	
	 Section 7.01 . Company To Furnish Trustee Names And Addresses Of
Holders
	  	 45

	 Section 7.02 . Preservation Of Information; Communications To
Holders
	  	 45

	 Section 7.03 . Reports By Trustee
	  	 45

	 Section 7.04 . Reports By Company
	  	 46

	
	 ARTICLE 8

	
	 CONSOLIDATION, MERGER, CONVEY, TRANSFER OR LEASE

	
	 Section 8.01 . Company May Consolidate, Etc., Only On Certain
Terms
	  	 46

	 Section 8.02 . Successor Substituted
	  	 47

	
	 ARTICLE 9

	
	 SUPPLEMENTAL INDENTURES

	
	 Section 9.01 . Supplemental Indentures Without Consent Of Holders
	  	 47

	 Section 9.02 . Supplemental Indentures With Consent Of Holders
	  	 48

	 Section 9.03 . Execution Of Supplemental Indentures
	  	 49

	 Section 9.04 . Effect Of Supplemental Indentures
	  	 50

	 Section 9.05 . Conformity With Trust Indenture Act
	  	 50

	 Section 9.06 . Reference In Securities To Supplemental Indentures
	  	 50

	
	 ARTICLE 10

	
	 COVENANTS

	
	 Section 10.01 . Payments
	  	 50

	 Section 10.02 . Maintenance Of Office Or Agency
	  	 50

	 Section 10.03 . Money For Security Payments To Be Held In Trust
	  	 51

	 Section 10.04 . Statement By Officers As To Default
	  	 52

	 Section 10.05 . Existence
	  	 52

	 Section 10.06 . Reports And Delivery Of Certain Information
	  	 52

	 Section 10.07 . Resale Of Certain Securities
	  	 53

	 Section 10.08 . Book-Entry System
	  	 53

	 Section 10.09 . Additional Interest Amounts Under The Registration Rights
Agreement
	  	 53

	 Section 10.10 . Information For IRS Filings
	  	 53

 

iii 

	 Section 10.11 . Further Instruments And Acts
	  	 53

	
	 ARTICLE 11

	
	 REDEMPTION AND REPURCHASES

	
	 Section 11.01 . No Redemption By The Company
	  	 53

	 Section 11.02 . Repurchase Of Securities At Option Of The Holder Upon Fundamental
Change.
	  	 53

	 Section 11.03 . Effect Of Fundamental Change Repurchase Notice
	  	 56

	 Section 11.04 . Deposit Of Fundamental Change Repurchase Price
	  	 57

	 Section 11.05 . Securities Repurchased In Part
	  	 58

	 Section 11.06 . Covenant To Comply With Securities Laws Upon Repurchase Of
Securities
	  	 58

	 Section 11.07 . Repayment To The Company
	  	 58

	
	 ARTICLE 12

	
	 PAYMENTS OF ADDITIONAL INTEREST AMOUNTS ON THE
SECURITIES

	
	 Section 12.01 . Payment Of Additional Interest Amounts; Interest Rights
Preserved
	  	 58

	
	 ARTICLE 13

	
	 CONVERSION

	
	 Section 13.01 . Right To Convert
	  	 59

	 Section 13.02 . Conversion Procedure
	  	 60

	 Section 13.03 . Cash Payments In Lieu Of Fractional Shares
	  	 62

	 Section 13.04 . Adjustment Of Conversion Price
	  	 62

	 Section 13.05 . Effect Of Reclassification, Consolidation, Merger Or
Sale
	  	 69

	 Section 13.06 . Taxes On Shares Issued
	  	 70

	 Section 13.07 . Reservation Of Shares; Shares To Be Fully Paid; Compliance With
Governmental Requirements;
                        Listing Of Common Stock
	  	 71

	 Section 13.08 . Responsibility Of Trustee
	  	 71

	 Section 13.09 . Notice To Holders Prior To Certain Actions
	  	 72

	 Section 13.10 . Cash Conversion Option
	  	 72

	 Section 13.11 . Company Determination Final
	  	 73

 

iv 

 
INDENTURE,
dated as of April 29, 2003, between MERCURY INTERACTIVE CORPORATION, a corporation duly organized and existing under the laws of the State of Delaware, as Issuer (herein called the “Company”), having its principal office at 1325
Borregas Avenue, Sunnyvale, California 94089, and U.S. BANK NATIONAL ASSOCIATION, a national banking association duly organized and existing under the laws of the United States, as Trustee (herein called the “Trustee”).

 
RECITALS OF THE COMPANY 
 
The Company has duly authorized the creation of an issue of
Zero Coupon Senior Convertible Notes due 2008 (each a “Security” and collectively, the “Securities”) of substantially the tenor and amount hereinafter set forth, and to provide therefor the Company has duly
authorized the execution and delivery of this Indenture. 
 
All things necessary to make the Securities, when executed by the Company and authenticated and delivered hereunder and duly issued by the Company, the valid obligations of the Company, and to make this Indenture a valid agreement of
the Company, in accordance with the terms of the Securities and the Indenture, have been done. 
 
The Securities shall in all circumstances constitute “Designated Senior Debt” for purposes of that certain INDENTURE, dated as of July 3, 2000, between the Company and State Street Bank and
Trust Company of California, N.A., as Trustee, relating to the 4.75% Convertible Subordinated Notes Due 2007. 
 
NOW, THEREFORE, THIS INDENTURE WITNESSETH: 
 
For and in consideration of the premises and the purchases of the Securities by the Holders thereof, it is mutually agreed, for the
benefit of the Company and the equal and proportionate benefit of all Holders of the Securities, as follows: 
 
ARTICLE 1 
 
DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION 
 
Section 1.01. Definitions. For all purposes of this Indenture, except as otherwise expressly provided or unless the context
otherwise requires: 
 
(i) the
terms defined in this Article 1 have the meanings assigned to them in this Article and include the plural as well as the singular; 
 
(ii) all other terms used herein that are defined in the Trust Indenture Act, either directly or by reference therein,
have the meanings assigned to them therein; 
 
(iii) all accounting terms not otherwise defined herein have the meanings assigned to them in accordance with GAAP; and 

 
(iv) the words “herein,” “hereof’ and “hereunder” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision. 
 
“Act,” when used with respect to any Holder,
has the meaning specified in Section 1.04. 
 
“Additional Interest Amount” shall have the meaning given to such term in the Registration Rights Agreement. 
 
“Additional Interest Payment Date” means each May 15 and November 15 of each year, as provided in the Registration Rights
Agreement. 
 
“Affiliate” of any
specified Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For the purposes of this definition, “control” when used with respect to any
specified Person means the power to direct the management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and the terms “controlling” and
“controlled” have meanings correlative to the foregoing. 
 
“Agent Members” has the meaning specified in Section 3.08. 
 
“Board of Directors” means, with respect to any Person, either the board of directors of such Person or any duly
authorized committee of that board. 
 
“Board Resolution” means, with respect to any Person, a copy of a resolution certified by the Secretary or an Assistant Secretary of such Person to have been duly adopted by the Board of Directors and to be in full
force and effect on the date of such certification, and delivered to the Trustee. 
 
“Business Day” means any day other than a Saturday, a Sunday or a day on which banking institutions in The City of New York are authorized or obligated by law, or executive order or
governmental decree to be closed. 
 
“Capital Stock” means any and all shares, interests, participations, rights or other equivalents (however designated) of corporate stock, including, without limitation, with respect to partnerships, partnership
interests (whether general or limited) and any other interest or participation that confers on a Person the right to receive a share of the profits and losses of, or distributions of assets of, such partnership. 
 
“Cash Settlement Averaging Period” has the
meaning specified in Section 13.10. 
 
“Cash Settlement Notice Period” has the meaning specified in Section 13.10. 
 
“Commission” means the Securities and Exchange Commission, as from time to time constituted, created under the Exchange
Act, or, if at any time after the execution of this instrument such Commission is not existing and performing the duties now assigned to it under the Trust Indenture Act, then the body performing such duties at such time. 
 

2 

 
“Common Stock” means the shares of Common Stock, par value $0.002 per share, of the Company as it exists on the date of this Indenture or any other shares of Capital Stock of the Company into which the Common Stock
shall be reclassified or changed or, in the event of a merger, consolidation or other similar transaction involving the Company that is otherwise permitted hereunder in which the Company is not the surviving corporation, the common stock, common
equity interests, ordinary shares or depositary shares or other certificates representing common equity interests of such surviving corporation or its direct or indirect parent corporation. 
 
“Company” means the Person named as the
“Company” in the first paragraph of this instrument until a successor Person shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Company” shall mean such successor Person. 
 
“Company Request” or “Company
Order” means a written request or order signed in the name of the Company by its Chairman of the Board, its Vice Chairman of the Board, its Chief Executive Officer, its Chief Operating Officer or any Vice President, and by its Treasurer, an
Assistant Treasurer, its Secretary or an Assistant Secretary, and delivered to the Trustee. 
 
“Continuing Director” means, at any date, a member of the Company’s Board of Directors (i) who was a member of such board on April 1, 2003 or (ii) who was nominated or elected by
at least a majority of the directors who were Continuing Directors at the time of such nomination or election or whose election to the Company’s Board of Directors was recommended or endorsed by at least a majority of the directors who were
Continuing Directors at the time of such nomination or election or such lesser number comprising a majority of a nominating committee comprised of independent directors if authority for such nominations or elections has been delegated to a
nominating committee whose authority and composition have been approved by at least a majority of the directors who were Continuing Directors at the time such committee was formed. (Under this definition, if the Board of Directors of the Company as
of the date of this Indenture were to approve a new director or directors and then resign, no Change in Control would occur even though the current Board of Directors would thereafter cease to be in office). 
 
“Conversion Agent” means the Trustee or such
other office or agency designated by the Company where Securities may be presented for conversion. 
 
“Conversion Date” has the meaning specified in Section 13.02. 
 
“Conversion Notice” has the meaning specified
in Section 13.02. 
 
“Conversion
Obligation” has the meaning specified in Section 13.10. 
 
“Conversion Price” has the meaning specified in the Securities. 
 
“Conversion Retraction Period” has the meaning specified in Section 13.10. 
 
“Corporate Trust Office” means the principal office of the Trustee at which at any particular time its corporate trust
business shall be administered, which office at the date of the execution of this Indenture is located at 180 East Fifth Street, St. Paul, Minnesota 55101, Attention: Corporate Trust Department (Mercury Interactive Corporation—Zero Coupon
Senior 
 

3 

Convertible Notes due 2008) or at any other time at such other address as the Trustee may designate from time to time by notice to the
Company. 
 
“corporation” means a
corporation, association, company, joint-stock company or business trust. 
 
“Current Market Price” has the meaning specified in Section 13.04. 
 
“Default” means any event that is or with the passage of time or the giving of notice or both would become an Event of
Default. 
 
“Depositary” means The
Depository Trust Company until a successor Depositary shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Depositary” shall mean such successor Depositary. 
 
“Distributed Securities” has the meaning
specified in Section 13.04. 
 
“Event of
Default” has the meaning specified in Section 5.01. 
 
“Excess Amount” has the meaning specified in Section 13.04. 
 
“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended. 
 
“Ex-Dividend Date” means, with respect to any issuance or distribution on shares of Common Stock, the first Trading Day
on which the shares of Common Stock trade regular way on the principal securities market on which the shares of Common Stock are then traded without the right to receive such issuance or distribution. 
 
“Expiration Time” has the meaning specified
in Section 13.04. 
 
“fair market
value” has the meaning specified in Section 13.04. 
 
“Final Maturity Date” means May 1, 2008. 
 
“Final Notice Date” has the meaning specified in Section 13.10. 
 
“Fundamental Change” has the meaning specified in Section 11.02. 
 
“Fundamental Change Company Notice” has the
meaning specified in Section 11.02. 
 
“Fundamental Change Repurchase Date” has the meaning specified in Section 11.02. 
 
“Fundamental Change Repurchase Notice” has the meaning specified in Section 11.02. 
 
“Fundamental Change Repurchase Price” has the
meaning specified in Section 11.02. 
 
“GAAP” means generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public 
 

4 

Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other entity as
have been approved by a significant segment of the accounting profession, in each case, as in effect in the United States on the date hereof. 
 
“Global Security” means a Security in global form registered in the Security Register in the name of a Depositary or a
nominee thereof. 
 
“Holder” or
“Securityholder” means a Person in whose name a Security is registered in the Security Register. 
 
“Indenture” means this instrument as originally executed or as it may from time to time be supplemented or amended by one
or more indentures supplemental hereto entered into pursuant to the applicable provisions hereof, including, for all purposes of this instrument and any such supplemental indenture, the provisions of the Trust Indenture Act that are deemed to be a
part of and govern this instrument and any such supplemental indenture, respectively. 
 
“Initial Purchaser” means UBS Warburg LLC. 
 
“Investment Company Act” means the Investment Company Act of 1940 and any successor statute thereto, in each case as
amended from time to time. 
 
“Issue
Date” means the date the Securities are originally issued as set forth on the face of the Security under this Indenture. 
 
“Maturity”, when used with respect to any Security, means the date on which the principal or Fundamental Change
Repurchase Price of such Security becomes due and payable as therein or herein provided, whether at the Stated Maturity or Fundamental Change Repurchase Date, or by declaration of acceleration or otherwise. 
 
“nonelecting share” has the meaning specified
in Section 13.05. 
 
“Non-U.S.
Person” means a Person who is not a U.S. person, as defined in Regulation S. 
 
“Notice of Default” has the meaning specified in Section 5.01. 
 
“Officers’ Certificate” means a certificate signed by the Chairman of the Board, the President or any Vice
President, and by the Treasurer, an Assistant Treasurer, the Secretary or an Assistant Secretary, of the Company, and delivered to the Trustee. One of the officers signing an Officers’ Certificate given pursuant to Section 10.04 shall be the
principal executive, financial or accounting officer of the Company. 
 
“Opinion of Counsel” means a written opinion of counsel, who may be external or in-house counsel for the Company, and who shall be reasonably acceptable to the Trustee. 
 
“Outstanding,” when used with respect to
Securities, means, as of the date of determination, all Securities theretofore authenticated and delivered under this Indenture, except: 
 

5 

 
(i) Securities theretofore cancelled by the Trustee or delivered to the Trustee for cancellation; 
 
(ii) Securities, or portions thereof, for whose payment in the necessary amount has been theretofore deposited with the
Trustee or any Paying Agent (other than the Company) in trust or set aside and segregated in trust by the Company (if the Company shall act as its own Paying Agent) for the Holders of such Securities; and 
 
(iii) Securities which have been paid or in
exchange for or in lieu of which other Securities have been authenticated and delivered pursuant to this Indenture, other than any such Securities in respect of which there shall have been presented to the Trustee proof satisfactory to it that such
Securities are held by a protected purchaser in whose hands such Securities are valid obligations of the Company; 
 
provided, however, that, in determining whether the Holders of the requisite Principal Amount of the Outstanding Securities
have given any request, demand, authorization, direction, notice, consent or waiver hereunder, Securities owned by the Company or any other obligor upon the Securities or any Affiliate of the Company or of such other obligor shall be disregarded and
deemed not to be Outstanding, except that, in determining whether the Trustee shall be protected in relying upon any such request, demand, authorization, direction, notice, consent or waiver, only Securities which a Responsible Officer of the
Trustee actually knows to be so owned shall be so disregarded. Securities so owned which have been pledged in good faith may be regarded as Outstanding if the pledgee establishes to the satisfaction of the Trustee the pledgee’s right so to act
with respect to such Securities and that the pledgee is not the Company or any other obligor upon the Securities or any Affiliate of the Company or of such other obligor. 
 
“Paying Agent” means any Person authorized by the Company to pay the principal of, and
Additional Interest Amounts or Fundamental Change Repurchase Price of any Securities on behalf of the Company. The Trustee shall initially be the Paying Agent. 
 
“Person” means any individual, corporation, partnership, limited liability company, joint venture, trust, unincorporated
organization or government or any agency or political subdivision thereof. 
 
“Physical Securities” means permanent certificated Securities in registered form issued in denomination of $1,000 Principal Amount and integral multiples thereof. 
 
“Principal Amount” of a Security means the
Principal Amount as set forth on the face of the Security. 
 
“Purchase Agreement” means the Purchase Agreement, dated as of April 23, 2003, entered into by the Company and the Initial Purchaser in connection with the sale of the Securities. 
 
“Purchased Shares” has the meaning specified
in Section 13.04. 
 
“Qualified
Institutional Buyer” or “QIB” shall have the meaning specified in Rule 144A. 
 

6 

 
“Record Date” has the meaning specified in Section 13.04. 
 
“Registration Rights Agreement” means the Registration Rights Agreement, dated as of April 23, 2003, between the Company and the Initial Purchaser, for the benefit of itself and the
Holders, as the same may be amended or modified from time to time in accordance with the terms thereof. 
 
“Regular Record Date” for the Additional Interest Amounts payable on any Additional Interest Payment Date means May 1 or
November 1 (whether or not a Business Day) next preceding such Additional Interest Payment Date. 
 
“Regulation S” means Regulation S under the Securities Act. 
 
“Resale Registration Statement” means a registration statement under the Securities Act registering the Securities for
resale pursuant to the terms of the Registration Rights Agreement. 
 
“Responsible Officer” means any officer of the Trustee within the Corporate Trust Office of the Trustee with direct responsibility for the administration of this Indenture and also, with respect to a
particular matter, any other officer of the Trustee to whom such matter is referred because of such officer’s knowledge and familiarity with the particular subject. 
 
“Restricted Security” or “Restricted Securities” has the meaning specified
in Section 2.05. 
 
“Rule
144” means Rule 144 under the Securities Act (including any successor rule thereto), as the same may be amended from time to time. 
 
“Rule 144A” means Rule 144A under the Securities Act (including any successor rule thereto), as the same may be amended
from time to time. 
 
“Rule 144A
Information” has the meaning specified in Section 2.03. 
 
“Sale Price” of a share of Common Stock on any date means the closing per share sale price (or if no closing sale price is reported, the average of the average bid and the average ask prices) as reported in composite
transactions for the principal U.S. securities exchange on which the Common Stock is traded or, if the Common Stock is not listed on a U.S. national or regional securities exchange, as reported by the National Association of Securities Dealers
Automated Quotation system or by the National Quotation Bureau Incorporated. In the absence of such a quotation, the Company shall be entitled to make a good faith determination of the sale price on the basis it considers appropriate. 
 
“Securities Act” means the U.S. Securities
Act of 1933, as amended, and the rules and regulations of the Commission promulgated thereunder. 
 
“Security” or “Securities” has the meaning specified in the first paragraph of the Recitals of the Company. 
 

7 

 
“Security Register” and “Security Registrar” have the respective meanings specified in Section 3.05. 
 
“significant subsidiary” has the meaning given to that term in Rule 1-02 of Regulation S-X under the Exchange Act, except
that references to income from continuing operations are changed to revenues. 
 
“Stated Maturity,” when used with respect to any Security, means the date specified in such Security as the fixed date on which an amount equal to the principal amount of such Security
is due and payable. 
 
“Stock Transfer
Agent” means Mellon Investor Services LLC (formerly ChaseMellon Shareholder Services LLC) or such other Person designated by the Company as the transfer agent for the Common Stock. 
 
“Subsidiary” means a corporation more than
50% of the outstanding voting stock of which is owned, directly or indirectly, by the Company or by one or more other Subsidiaries, or by the Company and one or more other Subsidiaries. For the purposes of this definition, “voting
stock” means stock which ordinarily has voting power for the election of directors, whether at all times or only so long as no senior class of stock has such voting power by reason of any contingency. 
 
“Surviving Entity” has the meaning specified
in Section 8.01. 
 
“Trading Day”
means (x) if the applicable security is quoted on the Nasdaq National Market System or Nasdaq SmallCap Market, a day on which trades may be made on thereon or (y) if the applicable security is listed or admitted for trading on the New York Stock
Exchange or another national security exchange, a day on which the New York Stock Exchange or such other national security exchange is open for business or (z) if the applicable security is not so listed, admitted for trading or quoted, any day
other than a Saturday or Sunday or a day on which banking institutions in the State of New York are authorized or obligated by law or executive order to close. 
 
“Trigger Event” has the meaning specified in Section 13.04. 
 
“Trust Indenture Act” means the Trust Indenture Act of 1939 as in force at the date as of
which this instrument was executed; provided, however, that in the event the Trust Indenture Act of 1939 is amended after such date, “Trust Indenture Act” means, to the extent required by any such amendment, the Trust
Indenture Act of 1939 as so amended. 
 
“Trustee” means the Person named as the “Trustee” in the first paragraph of this instrument until a successor Trustee shall have become such pursuant to the applicable provisions of this Indenture,
and thereafter “Trustee” shall mean such successor Trustee. 
 
“Vice President,” when used with respect to the Company or the Trustee, means any vice president, whether or not designated by a number or a word or words added before or after the
title “vice president”. 
 

8 

 
Section
1.02. Compliance Certificates And Opinions. Upon any application or request by the Company to the Trustee to take any action under any provision of this Indenture, the Company shall furnish to the Trustee such certificates and opinions as
may be required under the Trust Indenture Act. Each such certificate or opinion shall be given in the form of an Officers’ Certificate, if to be given by an officer of the Company, or an Opinion of Counsel, if to be given by counsel, and shall
comply with the requirements of the Trust Indenture Act and any other requirement set forth in this Indenture. 
 
Every certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture shall include:

 
(a) a statement that each individual signing
such certificate or opinion has read such covenant or condition and the definitions herein relating thereto; 
 
(b) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in
such certificate or opinion are based; 
 
(c) a
statement that, in the opinion of each such individual, such individual has made such examination or investigation as is necessary to enable such individual to express an informed opinion as to whether or not such covenant or condition has been
complied with; and 
 
(d) a statement as to
whether, in the opinion of each such individual, such condition or covenant has been complied with. 
 
Section 1.03. Form Of Documents Delivered To Trustee. In any case where several matters are required to be certified by, or
covered by an opinion of, any specified Person, it is not necessary that all such matters be certified by, or covered by the opinion of, only one such Person, or that they be so certified or covered by only one document, but one such Person may
certify or give an opinion with respect to some matters and one or more other such Persons as to other matters, and any such Person may certify or give an opinion as to such matters in one or several documents. 
 
Any certificate or opinion of an officer of the Company may be
based, insofar as it relates to legal matters, upon a certificate or opinion of, or representations by, counsel, unless such officer knows, or in the exercise of reasonable care should know, that the certificate or opinion or representations with
respect to the matters upon which his certificate or opinion is based are erroneous. Any such certificate or Opinion of Counsel may be based, insofar as it relates to factual matters, upon a certificate or opinion of, or representations by, an
officer or officers of the Company stating that the information with respect to such factual matters is in the possession of the Company, unless such counsel knows, or in the exercise of reasonable care should know, that the certificate or opinion
or representations with respect to such matters are erroneous. 
 
Where any Person is required to make, give or execute two or more applications, requests, consents, certificates, statements, opinions or other instruments under this Indenture, they may, but need not, be consolidated and form one
instrument. 
 
Section 1.04. Acts Of
Holders; Record Dates. (a) Any request, demand, authorization, direction, notice, consent, waiver or other action provided by this Indenture to be given or taken 
 

9 

by Holders may be embodied in and evidenced by one or more instruments of substantially similar tenor signed by such Holders in person or by
agent duly appointed in writing and, except as herein otherwise expressly provided, such action shall become effective when such instrument or instruments are delivered to the Trustee and, where it is hereby expressly required, to the Company. Such
instrument or instruments (and the action embodied therein and evidenced thereby) are herein sometimes referred to as the “Act” of the Holders signing such instrument or instruments. Proof of execution of any such instrument or of a
writing appointing any such agent shall be sufficient for any purpose of this Indenture and (subject to Section 6.01) conclusive in favor of the Trustee and the Company, if made in the manner provided in this Section. 
 
(b) The fact and date of the execution by any Person of any
such instrument or writing may be proved by the affidavit of a witness of such execution or by a certificate of a notary public or other officer authorized by law to take acknowledgments of deeds, certifying that the individual signing such
instrument or writing acknowledged to him the execution thereof. Where such execution is by a signer acting in a capacity other than his individual capacity, such certificate or affidavit shall also constitute sufficient proof of his authority. The
fact and date of the execution of any such instrument or writing, or the authority of the Person executing the same, may also be proved in any other manner which the Trustee reasonably deems sufficient. 
 
(c) The Company may, in the circumstances permitted by the
Trust Indenture Act, fix any day as the record date for the purpose of determining the Holders entitled to give or take any request, demand, authorization, direction, notice, consent, waiver or other action, or to vote on any action, authorized or
permitted to be given or taken by Holders. If not set by the Company prior to the first solicitation of a Holder made by any Person in respect of any such action, or, in the case of any such vote, prior to such vote, the record date for any such
action or vote shall be the 30th day (or, if later, the date of the most recent list of Holders required to be provided pursuant to Section 7.01) prior to such first solicitation or vote, as the case may be. With regard to any record date, only the
Holders on such date (or their duly designated proxies) shall be entitled to give or take, or vote on, the relevant action. 
 
(d) The ownership of Securities shall be proved by the Security Register. 
 
(e) Any request, demand, authorization, direction, notice, consent, waiver or other Act of the Holder of any
Security shall bind every future Holder of the same Security and the Holder of every Security issued upon the registration of transfer thereof or in exchange therefor or in lieu thereof in respect of anything done, omitted or suffered to be done by
the Trustee or the Company in reliance thereon, whether or not notation of such action is made upon such Security. 
 
Section 1.05. Notices, Etc., to Trustee and Company. Any request, demand, authorization, direction, notice, consent, waiver
or Act of Holders or other document provided or permitted by this Indenture to be made upon, given or furnished to, or filed with: 
 
(i) the Trustee by any Holder or by the Company shall be sufficient for every purpose hereunder if made, given, furnished
or filed in writing to or with the Trustee at its Corporate Trust Office; or 
 

10 

 
(ii) the Company by the Trustee or by any Holder shall be sufficient for every purpose hereunder (unless otherwise herein expressly provided) if in writing and mailed, first-class postage prepaid, to the Company addressed to it at
the address of its principal office specified in the first paragraph of this instrument or at any other address previously furnished in writing to the Trustee by the Company, Attention: General Counsel. 
 
Section 1.06. Notice To Holders; Waiver. Where
this Indenture provides for notice to Holders of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and mailed, first-class postage prepaid, to each Holder affected by such event, at such
Holder’s address as it appears in the Security Register, not later than the latest date (if any), and not earlier than the earliest date (if any), prescribed for the giving of such notice. In any case where notice to Holders is given by mail,
neither the failure to mail such notice, nor any defect in any notice so mailed, to any particular Holder shall affect the sufficiency of such notice with respect to other Holders. Where this Indenture provides for notice in any manner, such notice
may be waived in writing by the Person entitled to receive such notice, either before or after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by Holders shall be filed with the Trustee, but such filing shall not
be a condition precedent to the validity of any action taken in reliance upon such waiver. 
 
In case by reason of the suspension of regular mail service or by reason of any other cause it shall be impracticable to give such notice by mail, then such notification as shall be made with the
approval of the Trustee shall constitute a sufficient notification for every purpose hereunder. 
 
Section 1.07. Conflict With Trust Indenture Act. If any provision hereof limits, qualifies or conflicts with a provision of the Trust Indenture Act that is required under such Act to be a
part of and govern this Indenture, the latter provision shall control. If any provision of this Indenture modifies or excludes any provision of the Trust Indenture Act that may be so modified or excluded, the latter provision shall be deemed to
apply to this Indenture as so modified or to be excluded, as the case may be. 
 
Section 1.08. Effect Of Headings And Table Of Contents. The Article and Section headings herein and the Table of Contents are for convenience only and shall not affect the construction
hereof. 
 
Section 1.09. Successors And
Assigns. All covenants and agreements in this Indenture by the Company shall bind its successors and assigns, whether so expressed or not. 
 
Section 1.10. Separability Clause. In case any provision in this Indenture or in the Securities shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 
 
Section 1.11. Benefits Of Indenture. Nothing in this Indenture or in the Securities, express or implied, shall give to any
Person, other than the parties hereto and their respective successors hereunder and the Holders of Securities, any benefit or any legal or equitable right, remedy or claim under this Indenture. 
 

11 

 
Section
1.12. Governing Law. This Indenture and the Securities shall be governed by and construed in accordance with the laws of the State of New York. 
 
Section 1.13. Legal Holiday. If any specified date (including a date for giving notice) is a Legal Holiday, the action shall
be taken on the next succeeding day that is not a Legal Holiday, and, if the action to be taken on such date is a payment in respect of the Securities, no interest, if any, shall accrue for the intervening period. 
 
ARTICLE 2 
 
SECURITY FORMS 
 
Section 2.01. Forms Generally. The Securities
and the Trustee’s certificates of authentication shall be in substantially the forms set forth in this Article, with such appropriate insertions, omissions, substitutions and other variations as are required or permitted by this Indenture, and
may have such letters, numbers or other marks of identification and such legends or endorsements placed thereon as may be required to comply with the rules of any securities exchange or Depositary therefor, the Internal Revenue Code of 1986, as
amended, and regulations thereunder, or as may, consistently herewith, be determined by the officers executing such Securities, as evidenced by their execution thereof. 
 
The Securities shall be initially issued in the form of permanent Global Securities in registered form in
substantially the form set forth in this Article. The aggregate Principal Amount of the Global Securities may from time to time be increased or decreased by adjustments made on the records of the Trustee, as custodian for the Depositary, as
hereinafter provided. 
 
Section 2.02.
Form Of Face Of Security. [INCLUDE IF SECURITY IS A RESTRICTED SECURITY—THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), AND THIS SECURITY AND THE COMMON STOCK ISSUABLE UPON CONVERSION HEREOF MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS
SECURITY IS HEREBY NOTIFIED THAT THE SELLER OF THIS SECURITY MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A OR REGULATION S THEREUNDER. 
 
THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF MERCURY
INTERACTIVE CORPORATION THAT (A) THIS SECURITY AND THE COMMON STOCK ISSUABLE UPON CONVERSION HEREOF MAY BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) IN THE UNITED STATES TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A
QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (II) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH 
 

12 

RULE 904 UNDER THE SECURITIES ACT, (III) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER
(IF AVAILABLE) OR (IV) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I) THROUGH (IV) IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES, AND (B) THE HOLDER WILL, AND EACH
SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS SECURITY FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN (A) ABOVE. IN ANY CASE, THE HOLDER HEREOF WILL NOT, DIRECTLY OR INDIRECTLY, ENGAGE IN ANY HEDGING TRANSACTIONS WITH REGARD TO
THE SECURITIES EXCEPT AS PERMITTED UNDER THE SECURITIES ACT. 
 
THIS SECURITY AND ANY RELATED DOCUMENTATION MAY BE AMENDED OR SUPPLEMENTED FROM TIME TO TIME TO MODIFY THE RESTRICTIONS ON AND PROCEDURES FOR RESALES AND OTHER TRANSFERS OF THIS SECURITY TO REFLECT ANY CHANGE IN APPLICABLE LAW OR
REGULATION (OR THE INTERPRETATION THEREOF) OR IN PRACTICES RELATING TO THE RESALE OR TRANSFER OF RESTRICTED SECURITIES GENERALLY. THE HOLDER OF THIS SECURITY SHALL BE DEEMED BY THE ACCEPTANCE OF THIS SECURITY TO HAVE AGREED TO ANY SUCH AMENDMENT OR
SUPPLEMENT. 
 
THE HOLDER OF THIS SECURITY IS
SUBJECT TO, AND ENTITLED TO THE BENEFITS OF, A REGISTRATION RIGHTS AGREEMENT, DATED AS OF APRIL 23, 2003, ENTERED INTO BY THE COMPANY FOR THE BENEFIT OF CERTAIN HOLDERS OF SECURITIES FROM TIME TO TIME.] 
 
[INCLUDE IF SECURITY IS A GLOBAL SECURITY—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. 
 
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (“DTC”), A NEW YORK CORPORATION, TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR
IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE
OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL IN AS MUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.] 
 

13 

 
[INCLUDE IF
THE SECURITY IS NOT A GLOBAL SECURITY—THE NOTE EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS, AND, ACCORDINGLY, MAY NOT BE
OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, UNITED STATES PERSONS EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF, THE HOLDER (1) REPRESENTS THAT IT IS (A) A “QUALIFIED
INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) A NON-U.S. PERSON; (2) AGREES THAT IT WILL NOT, PRIOR TO EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE NOTE EVIDENCED HEREBY UNDER RULE 144(k) UNDER
THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), RESELL OR OTHERWISE TRANSFER THIS NOTE OR THE COMMON STOCK ISSUABLE UPON CONVERSION OF THIS NOTE EXCEPT (A) TO MERCURY INTERACTIVE CORPORATION, OR ANY SUBSIDIARY THEREOF, (B) INSIDE THE UNITED STATES
TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, (C) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT, (D) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER
THE SECURITIES ACT (IF AVAILABLE) OR (E) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT (AND WHICH CONTINUES TO BE EFFECTIVE AT THE TIME OF SUCH TRANSFER); (3) PRIOR TO SUCH TRANSFER (OTHER THAN A
TRANSFER PURSUANT TO CLAUSE 2(E) ABOVE), IT WILL FURNISH TO U.S. BANK NATIONAL ASSOCIATION, AS TRUSTEE (OR A SUCCESSOR TRUSTEE, AS APPLICABLE), SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS THE TRUSTEE MAY REASONABLY REQUIRE TO CONFIRM
THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT; AND (4) AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE IS TRANSFERRED A NOTICE
SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH ANY TRANSFER OF THIS NOTE PRIOR TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THIS NOTE UNDER RULE 144(k) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), THE
HOLDER MUST CHECK THE APPROPRIATE BOX SET FORTH ON THE REVERSE HEREOF RELATING TO THE MANNER OF SUCH TRANSFER AND SUBMIT THIS CERTIFICATE TO U.S. BANK NATIONAL ASSOCIATION, AS TRUSTEE (OR A SUCCESSOR TRUSTEE, AS APPLICABLE). IF TRANSFEREE IS A
PURCHASER WHO IS NOT A UNITED STATES PERSON, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO U.S. BANK NATIONAL ASSOCIATION, AS TRUSTEE (OR A SUCCESSOR TRUSTEE, AS APPLICABLE), SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS SUCH
TRUSTEE MAY REASONABLY REQUIRE TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THIS LEGEND WILL BE REMOVED UPON THE EARLIER OF THE
TRANSFER OF THIS NOTE PURSUANT TO CLAUSE 2(E) ABOVE OR UPON ANY TRANSFER OF THIS NOTE UNDER RULE 144(k) UNDER THE SECURITIES ACT (OR 
 

14 

 
ANY SUCCESSOR PROVISION). AS
USED HEREIN, THE TERMS “UNITED STATES” AND “U.S. PERSON” HAVE THE MEANINGS GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. THE INDENTURE CONTAINS A PROVISION REQUIRING THE TRUSTEE TO REFUSE TO REGISTER ANY TRANSFER OF
THIS NOTE IN VIOLATION OF THE FOREGOING RESTRICTION.] 
 
MERCURY INTERATIVE CORPORATION 
 
Zero Coupon Senior Convertible Notes due 2008 
 

	 No. [            ]
	 	 CUSIP NO.
[            ]
	 	 U.S.
$[            ]

 
Mercury
Interactive Corporation, a corporation duly organized and validly existing under the laws of the State of Delaware (herein called the “Company”, which term includes any successor corporation under the Indenture referred to on the
reverse hereof), for value received hereby promises to pay to             , or registered assigns, the principal sum of
[            ] United States Dollars ($            ) [INCLUDE IF SECURITY IS A GLOBAL SECURITY—(which amount may from
time to time be increased or decreased by adjustments made on the records of the Trustee, as custodian for the Depositary, in accordance with the rules and procedures of the Depositary)] on May 1, 2008. Payment of the principal of this
Security shall be made by check mailed to the address of the Holder of this Security specified in the register of Securities, or, at the option of the Holder of this Security, at the Corporate Trust Office, in such lawful money of the United States
of America as at the time of payment shall be legal tender for the payment of public and private debts. The Issue Date of this Security is [            , 2003]. 
 
Reference is made to the further provisions of this Security
set forth on the reverse hereof, including, without limitation, provisions giving the Holder of this Security the right to convert this Security into Common Stock of the Company in certain circumstances and the right to require the Company to
repurchase this Security upon certain events on the terms and subject to the limitations referred to on the reverse hereof and as more fully specified in the Indenture. Such further provisions shall for all purposes have the same effect as though
fully set forth at this place. 
 
This Security
shall be deemed to be a contract made under the laws of the State of New York, and for all purposes shall be construed in accordance with and governed by the laws of said State. 
 
This Security shall not be valid or become obligatory for any purpose until the certificate of authentication
hereon shall have been manually signed by the Trustee or a duly authorized authenticating agent under the Indenture. 
 
IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 
 

	MERCURY INTERACTIVE CORPORATION
	
	 By:
	 	  

	 	 	 Authorized Signatory

 

15 

 
Attest: 
 

	
	 By:
	 	  

	 	 	 Authorized Signatory

 
Section 2.03. Form Of Reverse Of Security. This Security is one of a duly authorized issue of Securities of the Company, designated as its Zero Coupon Senior Convertible Notes due 2008 (herein called the
“Securities”), all issued or to be issued under and pursuant to an Indenture dated as of April 29, 2003 (herein called the “Indenture”), between the Company and U.S. Bank National Association (herein called the
“Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a description of the rights, limitations of rights, obligations, duties and immunities thereunder of the Trustee, the Company and
the Holders of the Securities. 
 
The indebtedness
evidenced by the Securities is unsecured and unsubordinated indebtedness of the Company and ranks equally with the Company’s other unsecured and unsubordinated indebtedness. 
 
Purchase By the Company at the Option of the Holder. At the option of the Holder and subject to the
terms and conditions of the Indenture, the Company shall become obligated to repurchase the Securities if a Fundamental Change occurs at any time prior to May 1, 2008 at 100% of the Principal Amount (the “Fundamental Change Repurchase
Price”), which Fundamental Change Repurchase Price shall be paid in cash. 
 
Holders have the right to withdraw any Fundamental Change Repurchase Notice by delivering to the Paying Agent a written notice of withdrawal in accordance with the provisions of the Indenture.

 
If cash sufficient to pay the Fundamental Change
Repurchase Price of all Securities or portions thereof to be purchased on a Fundamental Change Repurchase Date is deposited with the Paying Agent on the Business Day following the Fundamental Change Repurchase Date, the Holder thereof shall have no
other rights as such (other than the right to receive the Fundamental Change Repurchase Price, upon surrender of such Security). 
 
Conversion. Subject to and in compliance with the provisions of the Indenture (including without limitation the conditions of
conversion of this Security set forth in Section 13.01 thereof, the Holder hereof has the right, at its option, to convert the Principal Amount hereof or any portion of such principal which is $1,000 or an integral multiple thereof, into, subject to
Section 13.02 of the Indenture, that number of fully paid and non-assessable shares of Common Stock, as said shares shall be constituted at the date of conversion, obtained by dividing the Principal Amount of this Security or portion thereof to be
converted by the conversion price of $51.69 (the “Conversion Price”) as adjusted from time to time as provided in the Indenture, upon surrender of this Security, together with a Conversion Notice as provided in the Indenture, to the
Company at the office or agency of the Company maintained for that purpose in the Borough of Manhattan, The City of New York, or at the option of such Holder, the Corporate Trust Office, 
 

16 

and, unless the shares issuable on conversion are to be issued in the same name as this Security, duly endorsed by, or accompanied by
instruments of transfer in form satisfactory to the Company duly executed by, the Holder or by his duly authorized attorney. No fractional shares will be issued upon any conversion, but an adjustment and payment in cash will be made, as provided in
the Indenture, in respect of any fraction of a share which would otherwise be issuable upon the surrender of any Securities for conversion. Securities in respect of which a Holder is exercising its right to require repurchase on a Fundamental Change
Repurchase Date may be converted only if such Holder withdraws its election to exercise such right in accordance with the terms of the Indenture. 
 
Upon conversion, the Company may choose to deliver cash in lieu of shares of Common Stock in accordance with the Indenture. 
 
The Company will notify Holders of any event triggering the
right to convert the Securities as specified above in accordance with the Indenture. 
 
[INCLUDE IF SECURITY IS A GLOBAL SECURITY—In the event of a deposit or withdrawal of an interest in this Security, including an exchange, transfer, repurchase or conversion of this Security
in part only, the Trustee, as custodian of the Depositary, shall make an adjustment on its records to reflect such deposit or withdrawal in accordance with the rules and procedures of the Depositary.] 
 
[INCLUDE IF SECURITY IS A RESTRICTED
SECURITY—Subject to certain limitations in the Indenture, at any time when the Company is not subject to Section 13 or 15(d) of the United States Securities Exchange Act of 1934, as amended, upon the request of a Holder of a
Restricted Security, the Company will promptly furnish or cause to be furnished Rule 144A Information (as defined below) to such Holder of Restricted Securities, or to a prospective purchaser of any such security designated by any such Holder, to
the extent required to permit compliance by any such Holder with Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). “Rule 144A Information” shall be such information as is specified
pursuant to Rule 144A(d)(4) under the Securities Act (or any successor provision thereto).] 
 
If an Event of Default shall occur and be continuing, the Principal Amount plus accrued but unpaid Additional Interest Amounts, if any,
may be declared due and payable in the manner and with the effect provided in the Indenture. 
 
The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of the Holders of the
Securities under the Indenture at any time by the Company and the Trustee with the consent of the Holders of not less than a majority in aggregate Principal Amount of the Outstanding Securities. The Indenture also contains provisions permitting the
Holders of specified percentages in aggregate Principal Amount of the Outstanding Securities, on behalf of the Holders of all the Securities, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under
the Indenture and their consequences. Any such consent or waiver by the Holder of this Security shall be conclusive and binding upon such Holder and upon all future Holders of this Security and of any Security issued upon the 
 

17 

registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this
Security. 
 
As provided in and subject to the
provisions of the Indenture, the Holder of this Security shall not have the right to institute any proceeding with respect to the Indenture or for the appointment of a receiver or trustee or for any other remedy thereunder, unless such Holder shall
have previously given the Trustee written notice of a continuing Event of Default with respect to the Securities, the Holders of not less than 25% in aggregate Principal Amount of the Outstanding Securities shall have made written request to the
Trustee to institute proceedings in respect of such Event of Default as Trustee and offered the Trustee reasonable indemnity satisfactory to it, and the Trustee shall not have received from the Holders of a majority in Principal Amount of
Outstanding Securities a direction inconsistent with such request, and shall have failed to institute any such proceeding, for 60 days after receipt of such notice, request and offer of indemnity. The foregoing shall not apply to any suit instituted
by the Holder of this Security for the enforcement of any payment of said principal hereof on or after the respective due dates expressed herein or for the enforcement of any conversion right. 
 
No reference herein to the Indenture and no provision of this
Security or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the Principal Amount or Fundamental Change Repurchase Price of, and Additional Interest Amounts, if any, on, this Security
at the times, place and rate, and in the coin or currency, herein prescribed. Notwithstanding the foregoing, prior to the occurrence of a Fundamental Change, the Company may, with the consent of the holders of not less than a majority of the
Securities, amend the obligation of the Company to repurchase Securities upon a Fundamental Change. 
 
As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Security is registrable in the
Security Register, upon surrender of this Security for registration of transfer at the office or agency of the Company in The City of New York, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company
and the Security Registrar duly executed by, the Holder hereof or his attorney duly authorized in writing, and thereupon one or more new Securities, of authorized denominations and for the same aggregate Principal Amount, will be issued to the
designated transferee or transferees. 
 
The
Securities are issuable only in registered form in denominations of $1,000 and any integral multiple of $1,000 above that amount, as provided in the Indenture and subject to certain limitations therein set forth. Securities are exchangeable for a
like aggregate Principal Amount of Securities of a different authorized denomination, as requested by the Holder surrendering the same. 
 
No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient
to cover any tax or other governmental charge payable in connection therewith. 
 
Prior to due presentment of this Security for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Security is
registered as the owner hereof for all purposes, whether or not this Security be 
 

18 

overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 
 
This Security shall be governed by and construed in
accordance with the laws of the State of New York. 
 
All terms used in this Security that are defined in the Indenture shall have the meanings assigned to them in the Indenture. 
 

19 

ASSIGNMENT FORM 
 
If you want to assign this Security, fill in the form below and have your signature guaranteed: 
 
I or we assign and transfer this Security to: 
 

 

 

(Print or type name, address and zip code and social security or tax ID number of assignee) 
 
and irrevocably appoint
                                       
                                        
                              agent to transfer this Security on the books of the Company. The
agent may substitute another to act for him. 
 
Date:
                                        
Signed:                                      
 
(Sign exactly as your name appears on the other side of this
Security) 
 
Signature Guarantee:
                                        
                          
 
Note: Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Security Registrar, which
requirements include membership or participation in the Security Transfer Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Security Registrar in addition to, or in
substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 
 

20 

 
In connection
with any transfer of this Security occurring prior to the date which is the earlier of (i) the date of the declaration by the Commission of the effectiveness of a registration statement under the Securities Act of 1933, as amended (the
“Securities Act”), covering resales of this Security (which effectiveness shall not have been suspended or terminated at the date of the transfer) and (ii) the second anniversary of the Issue Date set forth on the face of this
Security, the undersigned confirms that it has not utilized any general solicitation or general advertising in connection with the transfer and that this Security is being transferred: 
 
[Check One] 
 

	
	 (1)
	  	  ̈
	  
	  	 to the Company or a subsidiary thereof; or

	
	 (2)
	  	  ̈
	  
	  	 to a “Qualified Institutional Buyer” pursuant to and in compliance with Rule 144A under the
Securities Act; or

	
	 (3)
	  	  ̈
	  
	  	 outside the United States to a “foreign person” in compliance with Rule 904 of Regulation S under the
Securities Act; or

	
	 (4)
	  	  ̈
	  
	  	 pursuant to the exemption from registration provided by Rule 144 under the Securities Act.

 
Unless
one of the boxes is checked, the Trustee will refuse to register any of the Securities evidenced by this certificate in the name of any Person other than the registered Holder thereof, provided that if box (3) or (4) is checked, the Company
may require, prior to registering any such transfer of the Securities, in its sole discretion, such legal opinions, certifications (including an investment letter in the case of box (3)) and other information as the Company may reasonably request to
confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. 
 
If none of the foregoing boxes is checked, the Trustee or Security Registrar shall not be obligated to
register this Security in the name of any Person other than the Holder hereof unless and until the conditions to any such transfer of registration set forth herein and in Section 3.10 of the Indenture shall have been satisfied. 
 
Date:
                                        
Signed:                                      
 
(Sign exactly as your name appears on the other side of this
Security) 
 
Signature Guarantee:
                                       
                           
 

21 

 
Note: Signatures must be
guaranteed by an “eligible guarantor institution” meeting the requirements of the Security Registrar, which requirements include membership or participation in the Security Transfer Agent Medallion Program (“STAMP”) or such other
“signature guarantee program” as may be determined by the Security Registrar in addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 
 

22 

 
TO BE COMPLETED
BY PURCHASER IF (2) ABOVE IS CHECKED 
 
The
undersigned represents and warrants that it is purchasing this Security for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account is a “qualified institutional
buyer” within the meaning of Rule 144A under the Securities Act and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company as the undersigned has
requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order to claim the exemption from registration provided by
Rule 144A. 
 
Date:
                                        
Signed:                                      
 
NOTICE: To be executed by an executive officer. 
 

23 

 
CONVERSION
NOTICE 
 
If you want to convert this Security
into Common Stock of the Company (or cash if the Company so elects), check the box:   ̈ 
 
To convert only part of this Security, state the Principal
Amount to be converted (which must be $1,000 or an integral multiple of $1,000): 
 
$                                    
                                        

 
If you want the stock certificate made out in
another person’s name, fill in the form below: 
 

(Insert other person’s social security or tax ID no.) 
 

 

 

(Print or type other person’s name, address and zip code) 
 
Date:
                                        
Signed:                                      
 
(Sign exactly as your name appears on the other side of this
Security) 
 
Signature Guarantee:
                                        
                          
 
Note: Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Security Registrar, which
requirements include membership or participation in the Security Transfer Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Security Registrar in addition to, or in
substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. 
 

24 

 
Section
2.04. Form Of Trustee’s Certificate Of Authentication. This is one of the Securities referred to in the within-mentioned Indenture. 
 
Dated:                      

	 U.S. BANK NATIONAL ASSOCIATION,
 as Trustee

	
	 By
	 	  

	 	 	 Authorized Signatory

 
Section 2.05. Legend On Restricted Securities. During the period beginning on the Issue Date and ending on the date two years from such date, any Security including any Security issued in exchange therefor or in lieu
thereof, shall be deemed a “Restricted Security” and shall be subject to the restrictions on transfer provided in the legends set forth on the face of the form of Security in Section 2.02; provided, however, that the term
“Restricted Security” shall not include any Securities as to which restrictions have been terminated in accordance with Section 3.05. All Securities shall bear the applicable legends set forth on the face of the form of Security in
Section 2.02. Except as provided in Section 3.05 and Section 3.10, the Trustee shall not issue any unlegended Security until it has received an Officers’ Certificate from the Company directing it to do so. 
 
ARTICLE 3 
 
THE SECURITIES 
 
Section 3.01. Title And Terms. The aggregate
Principal Amount of Securities that may be authenticated and delivered under this Indenture is limited to $600,000,000, except for Securities authenticated and delivered upon registration or transfer of, or in exchange for, or in lieu of, other
Securities pursuant to Section 3.04, 3.06, 9.06, 11.05 or 13.02. 
 
The Securities shall be known and designated as the “Zero Coupon Senior Convertible Notes due 2008” of the Company. The Principal Amount shall be payable on May 1, 2008. 
 
The Principal Amount of and Additional Interest Amounts, if
any, on the Securities shall be payable at the office or agency of the Company in The City of New York maintained for such purpose and at any other office or agency maintained by the Company for such purpose; provided, however, that at
the option of the Company payments may be made by wire transfer or by check mailed to the address of the Person entitled thereto as such address shall appear in the Security Register. 
 
The Securities shall not have the benefit of a sinking fund. 
 
The Securities shall not be superior in right of payment to,
and shall rank pari passu with, all other unsecured and unsubordinated indebtedness of the Company. 
 

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Section
3.02. Denominations. The Securities shall be issuable only in registered form without coupons and in denominations of $1,000 and any integral multiple of $1,000 above that amount. 
 
Section 3.03. Execution, Authentication, Delivery
And Dating. The Securities shall be executed on behalf of the Company by its Chairman of the Board, its Chief Executive Officer, its Chief Operating Officer, one of its Vice Presidents, its Secretary or one of its Assistant Secretaries. The
signature of any of these officers on the Securities may be manual or facsimile. 
 
Securities bearing the manual or facsimile signatures of individuals who were at any time the proper officers of the Company shall bind the Company, notwithstanding that such individuals or any of them
have ceased to hold such offices prior to the authentication and delivery of such Securities or did not hold such offices at the date of such Securities. 
 
At any time and from time to time after the execution and delivery of this Indenture, the Company may deliver Securities executed by the
Company to the Trustee for authentication, together with a Company Order for the authentication and delivery of such Securities. The Company Order shall specify the amount of Securities to be authenticated, and shall further specify the amount of
such Securities to be issued as a Global Security or as Physical Securities. The Trustee in accordance with such Company Order shall authenticate and deliver such Securities as in this Indenture provided and not otherwise. 
 
Each Security shall be dated the date of its authentication.

 
No Security shall be entitled to any benefit
under this Indenture or be valid or obligatory for any purpose unless there appears on such Security a certificate of authentication substantially in the form provided for herein executed by the Trustee by manual signature, and such certificate upon
any Security shall be conclusive evidence, and the only evidence, that such Security has been duly authenticated and delivered hereunder. 
 
Section 3.04. Temporary Securities. Pending the preparation of definitive Securities, the Company may execute, and upon
Company Order the Trustee shall authenticate and deliver, temporary Securities which are printed, lithographed, typewritten, mimeographed or otherwise produced, in any authorized denomination, substantially of the tenor of the definitive Securities
in lieu of which they are issued and with such appropriate insertions, omissions, substitutions and other variations as the officers executing such Securities may determine, as evidenced by their execution of such Securities. 
 
If temporary Securities are issued, the Company will cause
definitive Securities to be prepared without unreasonable delay. After the preparation of definitive Securities, the temporary Securities shall be exchangeable for definitive Securities upon surrender of the temporary Securities at any office or
agency of the Company designated pursuant to Section 10.02, without charge to the Holder. Upon surrender for cancellation of any one or more temporary Securities the Company shall execute and the Trustee shall authenticate and deliver in exchange
therefor a like Principal Amount of definitive Securities of authorized denominations. Until so exchanged the temporary Securities shall in all respects be entitled to the same benefits under this Indenture as definitive Securities. 
 

26 

 
Section
3.05. Registration; Registration Of Transfer And Exchange; Restrictions On Transfer. (a) The Company shall cause to be kept at the Corporate Trust Office of the Trustee a register (the register maintained in such office and in any other
office or agency designated pursuant to Section 10.02 being herein sometimes collectively referred to as the “Security Register”) in which, subject to such reasonable regulations as it may prescribe, the Company shall provide for
the registration of Securities and of transfers of Securities. The Trustee is hereby appointed “Security Registrar” (the “Security Registrar”) for the purpose of registering Securities and transfers of Securities as herein
provided. 
 
Upon surrender for registration of
transfer of any Security at an office or agency of the Company designated pursuant to Section 10.02 for such purpose, the Company shall execute, and the Trustee shall authenticate and deliver, in the name of the designated transferee or transferees,
one or more new Securities of any authorized denominations and of a like aggregate Principal Amount and tenor, each such Security bearing such restrictive legends as may be required by this Indenture (including Section 2.02, 2.05 and 3.10).

 
At the option of the Holder and subject to the
other provisions of this Section 3.05 and to Section 3.10, Securities may be exchanged for other Securities of any authorized denominations and of a like aggregate Principal Amount and tenor, upon surrender of the Securities to be exchanged at such
office or agency. Whenever any Securities are so surrendered for exchange, the Company shall execute, and the Trustee shall authenticate and deliver, the Securities which the Holder making the exchange is entitled to receive. 
 
All Securities issued upon any registration of transfer or
exchange of Securities shall be the valid obligations of the Company, evidencing the same debt, and entitled to the same benefits under this Indenture, as the Securities surrendered upon such registration of transfer or exchange. 
 
Every Security presented or surrendered for registration of
transfer or for exchange shall (if so required by the Company or the Trustee) be duly endorsed, or be accompanied by a written instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed, by the Holder thereof
or his attorney duly authorized in writing. As a condition to the registration of transfer of any Restricted Securities, the Company or the Trustee may require evidence satisfactory to them as to the compliance with the restrictions set forth in the
legend on such securities. 
 
Except as provided in
the following sentence and in Section 3.10, all Securities originally issued hereunder and all Securities issued upon registration of transfer or exchange or replacement thereof shall be Restricted Securities and shall bear the legend required by
Section 2.02 and 2.05, unless the Company shall have delivered to the Trustee (and the Security Registrar, if other than the Trustee) a Company Order stating that the Security is not a Restricted Security and may be issued without such legend
thereon. Securities which are issued upon registration of transfer of, or in exchange for, Securities which are not Restricted Securities shall not be Restricted Securities and shall not bear such legend. 
 
No service charge shall be made for any registration of
transfer or exchange of Securities, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any registration of transfer or 
 

27 

exchange of Securities, other than exchanges pursuant to Section 3.04 or 9.06 not involving any transfer. 
 
The Company shall not be required to exchange or register a
transfer of any Security (i) that has been surrendered for conversion or (ii) as to which a Fundamental Change Repurchase Notice has been delivered and not withdrawn, except, where such Fundamental Change Repurchase Notice provides that such
Security is to be purchased only in part, the Company shall be required to exchange or register a transfer of the portion thereof not to be purchased. 
 
(b) Beneficial ownership of every Restricted Security shall be subject to the restrictions on transfer provided in the legends required to
be set forth on the face of each Restricted Security pursuant to Section 2.02 and 2.05, unless such restrictions on transfer shall be terminated in accordance with this Section 3.05(b) or Section 3.10. The Holder of each Restricted Security, by such
Holder’s acceptance thereof, agrees to be bound by such restrictions on transfer. 
 
The restrictions imposed by this Section 3.05 and Section 2.02, 2.05 and 3.10 upon the transferability of any particular Restricted Security shall cease and terminate upon delivery by the Company to
the Trustee of an Officers’ Certificate stating that such Restricted Security has been sold pursuant to an effective Resale Registration Statement under the Securities Act or transferred in compliance with Rule 144 under the Securities Act (or
any successor provision thereto). Any Restricted Security as to which the Company has delivered to the Trustee an Officers’ Certificate that such restrictions on transfer shall have expired in accordance with their terms or shall have
terminated may, upon surrender of such Restricted Security for exchange to the Security Registrar in accordance with the provisions of this Section 3.05, be exchanged for a new Security, of like tenor and aggregate Principal Amount, which shall not
bear the restrictive legends required by Section 2.02 and 2.05. The Company shall inform the Trustee in writing of the effective date of any Resale Registration Statement registering the Securities under the Securities Act. The Trustee shall not be
liable for any action taken or omitted to be taken by it in good faith in accordance with the aforementioned Resale Registration Statement. 
 
As used in the preceding two paragraphs of this Section 3.05, the term “transfer” encompasses any sale, pledge, transfer or
other disposition of any Restricted Security. 
 
(c) Neither the Trustee nor any of its agents shall (i) have any duty to monitor compliance with or with respect to any federal or state or other securities or tax laws or (ii) have any duty to obtain documentation on any transfers
or exchanges other than as specifically required hereunder. 
 
Section 3.06. Mutilated, Destroyed, Lost And Stolen Securities. If any mutilated Security is surrendered to the Trustee, the Company shall execute and the Trustee shall authenticate and deliver in exchange therefor a
new Security of like tenor and Principal Amount and bearing a number not contemporaneously outstanding. 
 
If there shall be delivered to the Company and the Trustee (i) evidence to their satisfaction of the destruction, loss or theft of any
Security and (ii) such security or indemnity as may be required by them to save each of them and any agent of either of them harmless, then, in the absence of notice to the Company or the Trustee that such Security has been acquired by a

 

28 

bona fide purchaser, the Company shall execute and the Trustee shall authenticate and deliver, in lieu of any such destroyed, lost or stolen
Security, a new Security of like tenor and Principal Amount and bearing a number not contemporaneously outstanding. 
 
In case any such mutilated, destroyed, lost or stolen Security has become or is about to become due and payable, the Company in its
discretion may, instead of issuing a new Security, pay such Security. 
 
Upon the issuance of any new Security under this Section, the Company may require the payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses
(including the fees and expenses of the Trustee) connected therewith. 
 
Every new Security issued pursuant to this Section in lieu of any destroyed, lost or stolen Security shall constitute an original additional contractual obligation of the Company, whether or not the destroyed, lost or stolen
Security shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately with any and all other Securities duly issued hereunder. 
 
The provisions of this Section are exclusive and shall
preclude (to the extent lawful) all other rights and remedies with respect to the replacement or payment of mutilated, destroyed, lost or stolen Securities. 
 
Section 3.07. Persons Deemed Owners. Prior to due presentment of a Security for registration of transfer, the Company, the
Trustee and any agent of the Company or the Trustee may treat the Person in whose name such Security is registered as the owner of such Security for the purpose of receiving payment of principal on such Security and for all other purposes
whatsoever, whether or not such Security be overdue, and neither the Company, the Trustee nor any agent of the Company or the Trustee shall be affected by notice to the contrary. 
 
Section 3.08. Book-entry Provisions For Global Securities. (a) The Global Securities initially
shall (i) be registered in the name of the Depositary or the nominee of such Depositary, (ii) be delivered to the Trustee as custodian for the Depositary and (iii) bear legends as set forth on the face of the form of Security in Section 2.02.

 
Members of, or participants in, the Depositary
(“Agent Members”) shall have no rights under this Indenture with respect to any Global Security held on their behalf by the Depositary, or the Trustee as its custodian, or under the Global Security, and the Depositary may be treated
by the Company, the Trustee and any agent of the Company or the Trustee as the absolute owner of the Global Security for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Company, the Trustee or any agent of
the Company or the Trustee from giving effect to any written certification, proxy or other authorization furnished by the Depositary or impair, as between the Depositary and its Agent Members, the operation of customary practices governing the
exercise of the rights of any Holder. 
 
(b)
Transfers of the Global Securities shall be limited to transfers in whole, but not in part, to the Depositary, its successors or their respective nominees. Interests of beneficial owners in a Global Security may be transferred or exchanged, in whole
or in part, for Physical Securities 
 

29 

in accordance with the rules and procedures of the Depositary and the provisions of Section 3.10. In addition, Physical Securities shall be
transferred to all beneficial owners in exchange for their beneficial interests in the Global Securities if (A) such Depositary has notified the Company (or the Company becomes aware) that the Depositary (i) is unwilling or unable to continue as
Depositary for such Global Security or (ii) has ceased to be a clearing agency registered under the Exchange Act when the Depositary is required to be so registered to act as such Depositary and, in both such cases, no successor Depositary shall
have been appointed within 90 days of such notification or of the Company becoming aware of such event or (B) there shall have occurred and be continuing an Event of Default with respect to such Global Security and the Outstanding Securities shall
have become due and payable pursuant to Section 5.02 and the Trustee requests that Physical Securities be issued; provided that Holders of Physical Securities offered and sold in reliance on Rule 144A shall have the right, subject to
applicable law, to request that such Securities be exchanged for interests in the applicable Global Security. 
 
(c) In connection with any transfer or exchange of a portion of the beneficial interest in the Global Security to beneficial owners
pursuant to paragraph (b), the Security Registrar shall (if one or more Physical Securities are to be issued) reflect on its books and records the date and a decrease in the Principal Amount of the Global Security in an amount equal to the Principal
Amount of the beneficial interest in the Global Security to be transferred, and the Company shall execute, and the Trustee shall authenticate and deliver, one or more Physical Securities of like tenor and amount. 
 
(d) In connection with the transfer of the entire Global
Security to beneficial owners pursuant to paragraph (b), the Global Security shall be deemed to be surrendered to the Trustee for cancellation, and the Company shall execute, and the Trustee shall authenticate and deliver, to each beneficial owner
identified by the Depositary in exchange for its beneficial interest in the Global Security, an equal aggregate Principal Amount of Physical Securities of authorized denominations and the same tenor. 
 
(e) Any Physical Security constituting a Restricted Security
delivered in exchange for an interest in the Global Security pursuant to paragraph (c) or (d) shall, except as otherwise provided by paragraphs (a)(i)(x) and (c) of Section 3.10, bear the legend regarding transfer restrictions applicable to the
Physical Securities set forth on the face of the form of Security in Section 2.02. 
 
(f) The Holder of the Global Securities may grant proxies and otherwise authorize any Person, including Agent Members and Persons that may hold interests through Agent Members, to take any action which
a Holder is entitled to take under this Indenture or the Securities. 
 
Section 3.09. Cancellation. The Company at any time may deliver to the Trustee for cancellation any Securities previously authenticated and delivered hereunder which the Company may have acquired in any manner
whatsoever, and may deliver to the Trustee for cancellation any Securities previously authenticated hereunder which the Company has not issued and sold. The Trustee shall cancel and dispose of all Securities surrendered for registration of transfer,
exchange, payment, purchase, repurchase, redemption, conversion (pursuant to Article 13 hereof) or cancellation in accordance with its customary practices. If the Company shall acquire any of the Securities, such acquisition shall not operate as a
redemption or satisfaction of the 
 

30 

indebtedness represented by such Securities unless and until the same are delivered to the Trustee for cancellation. The Company may not
issue new Securities to replace Securities it has paid in full or delivered to the Trustee for cancellation. 
 
Section 3.10. Special Transfer Provision. (a) Transfers to Non-U.S. Persons. The following provisions shall apply
with respect to the registration of any proposed transfer of a Security constituting a Restricted Security to any Non-U.S. Person to which Securities in the form of Global Securities cannot be issued: 
 
(i) the Security Registrar shall register the
transfer of any Security constituting a Restricted Security, whether or not such Security bears the legend required by Section 2.02 and 2.05, if (x) the requested transfer is after the second anniversary of the Issue Date of such Security or (y) the
proposed transferor has delivered to the Security Registrar a certificate substantially in the form of Exhibit A hereto, together with such other certifications, legal opinions or other information as the Company may reasonably require
to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act; and 
 
(ii) if the proposed transferor is an Agent Member holding a beneficial interest in the
Global Security, upon receipt by the Security Registrar of (x) the certificate, if any, required by paragraph (i) above and instructions given in accordance with the Depositary’s and the Security Registrar’s procedures, 
 
whereupon (1) the Security Registrar shall reflect on its books and records
the date and (if the transfer does not involve a transfer of outstanding Physical Securities) a decrease in the Principal Amount of the Global Security in an amount equal to the Principal Amount of the beneficial interest in the Global Security to
be transferred, and (b) the Company shall execute and the Trustee shall authenticate and deliver one or more Physical Securities of like tenor and amount. 
 
(b) Transfers to QIBs. The following provisions shall apply with respect to the registration of any proposed transfer of a Security
constituting a Restricted Security to a QIB (excluding transfers to Non-U.S. Persons): 
 
(i) the Security Registrar shall register the transfer if such transfer is being made by a proposed transferor who has
checked the box provided for on the form of Security stating, or has otherwise advised the Company and the Security Registrar in writing, that the sale has been made in compliance with the provisions of Rule 144A to a transferee who has signed the
certification provided for on the form of Security stating, or has otherwise advised the Company and the Security Registrar in writing, that it is purchasing the Security for its own account or an account with respect to which it exercises sole
investment discretion and that it and any such account is a QIB within the meaning of Rule 144A, and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received such information regarding the Company as
it has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon its foregoing representations in order to claim the exemption from registration provided by Rule 144A;
and 
 

31 

 
(ii) if the proposed transferee is an Agent Member, and the Securities to be transferred consist of Physical Securities which after transfer are to be evidenced by an interest in the Global Security, upon receipt by the Security
Registrar of instructions given in accordance with the Depositary’s and the Security Registrar’s procedures, the Security Registrar shall reflect on its books and records the date and an increase in the Principal Amount of the Global
Security in an amount equal to the Principal Amount of the Physical Securities to be transferred, and the Trustee shall cancel the Physical Securities so transferred. 
 
(c) Private Placement Legend. Upon the registration of transfer, exchange or replacement of Securities
not bearing the legends required by Section 2.02 and 2.05, the Security Registrar shall deliver Securities that do not bear such legends. Upon the registration of transfer, exchange or replacement of Securities bearing the legends required by
Section 2.02 and 2.05, the Security Registrar shall deliver only Securities that bear such legends unless (i) the circumstance contemplated by paragraph (a)(i)(x) of this Section 3.10 exists or (ii) there is delivered to the Security Registrar an
Opinion of Counsel reasonably satisfactory to the Company and the Trustee to the effect that neither such legend nor the related restrictions on transfer are required in order to maintain compliance with the provisions of the Securities Act.

 
(d) General. By its acceptance of any
Security bearing the legends required by Section 2.02 and 2.05, each Holder of such a Security acknowledges the restrictions on transfer of such Security set forth in this Indenture and in such legends and agrees that it will transfer such Security
only as provided in this Indenture. 
 
The Security
Registrar shall retain, in accordance with its customary procedures, copies of all letters, notices and other written communications received pursuant to this Section 3.10. The Company shall have the right to inspect and make copies of all such
letters, notices or other written communications at any reasonable time upon the giving of reasonable written notice to the Security Registrar. 
 
Section 3.11. CUSIP Numbers. The Company in issuing the Securities may use “CUSIP” numbers (if then generally in
use), and, if so, the Trustee shall use “CUSIP” numbers in notices as a convenience to Holders; provided that any such notice may state that no representation is made as to the correctness of such numbers either as printed on the
Securities or as contained in any notice and that reliance may be placed only on the other identification numbers printed on the Securities, and any such notice shall not be affected by any defect in or omission of such numbers. The Company will
promptly notify the Trustee of any change in the “CUSIP” numbers. 
 
Section 3.12. Ranking. The indebtedness of the Company arising under or in connection with this Indenture and every outstanding Security issued under this Indenture from time to time
constitutes and will constitute a senior unsecured general obligation of the Company, ranking equally with other existing and future senior unsecured and unsubordinated Indebtedness of the Company and ranking senior in right of payment to any future
Indebtedness of the Company that is expressly made subordinate to the Securities by the terms of such Indebtedness. For purposes of this Section 3.12 only, “Indebtedness” means, without duplication, the principal or face amount of (i) all
obligations for borrowed money, (ii) all obligations evidenced by debentures, 
 

32 

notes or other similar instruments, (iii) all obligations in respect of letters of credit or bankers acceptances or similar instruments (or
reimbursement obligations with respect thereto), (iv) all obligations to pay the deferred purchase price of property or services, (v) all obligations as lessee which are capitalized in accordance with generally accepted accounting principles, and
(vi) all Indebtedness of others guaranteed by the Company or any of its Subsidiaries or for which the Company or any of its Subsidiaries is legally responsible or liable (whether by agreement to purchase indebtedness of, or to supply funds or to
invest in, others). The Securities shall in all circumstances constitute “Designated Senior Debt” for purposes of that certain INDENTURE, dated as of July 3, 2000, between the Company and State Street Bank and Trust Company of California,
N.A., as Trustee, relating to the 4.75% Convertible Subordinated Notes Due 2007. 
 
ARTICLE 4 
 
SATISFACTION AND DISCHARGE 
 
Section 4.01. Satisfaction And Discharge Of Indenture. This Indenture shall cease to be of further effect (except as to any surviving rights of registration of transfer or exchange of Securities herein expressly
provided for), and the Trustee, on demand of and at the expense of the Company, shall execute proper instruments acknowledging satisfaction and discharge of this Indenture, when 
 
(a) either 
 
(i) all Securities theretofore authenticated and delivered (other than (A) Securities which have been destroyed, lost or
stolen and which have been replaced or paid as provided in Section 3.06 and (B) Securities for whose payment money has theretofore been deposited with the Trustee in trust or segregated and held in trust by the Company and thereafter repaid to the
Company or discharged from such trust as provided in Section 10.03) have been delivered to the Trustee for cancellation; or 
 
(ii) all such Securities not theretofore delivered to the Trustee for cancellation have become due and payable and the
Company has deposited or caused to be deposited with the Trustee as trust funds in trust for the purpose an amount sufficient to pay and discharge the entire indebtedness evidenced by such Securities not theretofore delivered to the Trustee for
cancellation. 
 
(b) the Company has paid or caused
to be paid all other sums payable hereunder by the Company; and 
 
(c) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions precedent herein provided for relating to the satisfaction and discharge of this Indenture have
been complied with. 
 
Notwithstanding the
satisfaction and discharge of this Indenture, the obligations of the Company to the Trustee under Section 6.07 and, if money shall have been deposited with the Trustee pursuant to subclause (ii) of Clause (a) of this Section, the obligations of the
Trustee under Section 4.02 and the last paragraph of Section 10.03 shall survive. 
 

33 

 
Section
4.02. Application Of Trust Money. Subject to the provisions of the last paragraph of Section 10.03, all money deposited with the Trustee pursuant to Section 4.01 shall be held in trust and applied by it, in accordance with the provisions
of the Securities and this Indenture, to the payment, either directly or through any Paying Agent (including the Company acting as its own Paying Agent) as the Trustee may determine, to the Persons entitled thereto, of the principal and Additional
Interest Amounts, if any, for whose payment such money has been deposited with the Trustee. 
 
ARTICLE 5 
 
REMEDIES 
 
Section 5.01.
Events Of Default. “Event of Default”, wherever used herein, means any one of the following events (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of
law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body): 
 
(a) default in the payment of the Principal Amount (or premium, if any) or Fundamental Change Repurchase Price on any Security when it
becomes due and payable; or 
 
(b) default in the
payment of Additional Interest Amounts upon any Security, when such amounts become due and payable, and continuance of such default for a period of 30 days; or 
 
(c) default in the payment of any indebtedness for borrowed money by the Company or any of its significant
subsidiaries (all or substantially all of the outstanding voting securities of which are owned, directly or indirectly, by the Company) in an outstanding principal amount in excess of $10,000,000 when such amounts become due at final maturity or
upon acceleration, and such indebtedness is not discharged, or such default in payment or acceleration is not cured or rescinded within 30 days after there has been given, by registered or certified mail, to the Company by the Trustee or to the
Company and the Trustee by the Holders of at least 25% in aggregate Principal Amount of the Outstanding Securities a written notice specifying such default and requiring it to be remedied and stating that such notice is a “Notice of
Default” hereunder; or 
 
(d) default in
the performance of any covenant, agreement or condition of the Company in this Indenture or the Securities (other than a default specified in (a) or (b) above), and continuance of such default for a period of 60 days after there has been given, by
registered or certified mail, to the Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in aggregate Principal Amount of the Outstanding Securities a written notice specifying such default and requiring it to be
remedied and stating that such notice is a “Notice of Default” hereunder; or 
 
(e) failure by the Company to give the Fundamental Change Company Notice; or 
 

34 

 
(f) the entry
by a court having jurisdiction in the premises of (i) a decree or order for relief in respect of the Company or any of its significant subsidiaries of a voluntary case or proceeding under any applicable Federal or State bankruptcy, insolvency,
reorganization or other similar law or (ii) a decree or order adjudging the Company as bankrupt or insolvent, or approving as properly filed a petition seeking reorganization, arrangement, adjustment or composition of or in respect of the Company
under any applicable Federal or State law or (iii) appointing a custodian, receiver, liquidator, assignee, trustee, sequestrator or other similar official of the Company or of any substantial part of its property, or ordering the winding up or
liquidation of its affairs, and the continuance of any such decree or order for relief or any such other decree or order unstayed and in effect for a period of 60 consecutive days; or 
 
(g) the commencement by the Company or any of its significant subsidiaries of a voluntary case or proceeding
under any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or of any other case or proceeding to be adjudicated a bankrupt or insolvent, or the consent by it to the entry of a decree or order for relief in
respect of the Company in an involuntary case or proceeding under any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or to the commencement of any bankruptcy or insolvency case or proceeding against it, or
the filing by it of a petition or answer or consent seeking reorganization or relief under any applicable Federal or State law, or the consent by it to the filing of such petition or to the appointment of or taking possession by a custodian,
receiver, liquidator, assignee, trustee, sequestrator or other similar official of the Company or of any substantial part of its property, or the making by it of an assignment for the benefit of creditors, or the admission by it in writing of its
inability to pay its debts generally as they become due. 
 
Section 5.02. Acceleration Of Maturity; Rescission And Annulment. (a) If an Event of Default (other than those specified in Section 5.01(f) and 5.01(g)) occurs and is continuing, then and in every such case the Trustee
or the Holders of not less than 25% in aggregate Principal Amount of the Outstanding Securities may declare the Principal Amount (or premium, if any) plus Additional Interest Amounts, if any, on all the Outstanding Securities to be due and payable
immediately, by a notice in writing to the Company (and to the Trustee if given by Holders), and upon any such declaration such Principal Amount plus accrued but unpaid Additional Interest Amounts, if any, shall become immediately due and payable.

 
Notwithstanding the foregoing, in the case of an
Event of Default specified in Section 5.01(f) or 5.01(g), the Principal Amount plus accrued but unpaid Additional Interest Amounts, if any, on all Outstanding Securities will ipso facto become due and payable without any declaration or other
Act on the part of the Trustee or any Holder. 
 
(b) At any time after such a declaration of acceleration has been made and before a judgment or decree for payment of the money due has been obtained by the Trustee as hereinafter in this Article provided, the Holders of a majority
in aggregate Principal Amount of the Outstanding Securities, by written notice to the Company and the Trustee, may rescind and annul such declaration and its consequences if: 
 
(i) the Company has paid or deposited with the Trustee a sum sufficient to pay 
 

35 

 
(A) the Principal Amount plus accrued but unpaid Additional Interest Amounts, if any, or Fundamental Change Repurchase Price, as applicable, on any Securities which have become due otherwise than by such declaration of acceleration,
and 
 
(B) all sums paid or
advanced by the Trustee hereunder and the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under Section 6.07; and 
 
(ii) all Events of Default, other than the
non-payment of the Principal Amount plus accrued but unpaid Additional Interest Amounts, if any, on Securities which have become due solely by such declaration of acceleration, have been cured or waived as provided in Section 5.13. 
 
No such rescission shall affect any subsequent default or
impair any right consequent thereon. 
 
Section
5.03. Other Remedies. If an Event of Default occurs and is continuing, the Trustee may, but shall not be obligated to, pursue any available remedy to collect the payment of the principal amount plus accrued but unpaid Additional Interest
Amounts, if any, on the Securities or to enforce the performance of any provision of the Securities or this Indenture. The Trustee may maintain a proceeding even if the Trustee does not possess any of the Securities or does not produce any of the
Securities in the proceeding. A delay or omission by the Trustee or any Holder in exercising any right or remedy accruing upon an Event of Default shall not impair the right or remedy or constitute a waiver of, or acquiescence in, the Event of
Default. No remedy is exclusive of any other remedy. All available remedies are cumulative. 
 
Section 5.04. Collection Of Indebtedness And Suits For Enforcement By Trustee. (a) The Company covenants that if: 
 
(i) default is made in the payment of any Additional Interest Amounts on any Security when
such amounts become due and payable, and such default continues for a period of 30 days, or 
 
(ii) default is made in the payment of the Principal Amount plus accrued but unpaid Additional Interest Amounts, if any,
at the Stated Maturity thereof or in the payment of the Fundamental Change Repurchase Price in respect of any Security, 
 
the Company will, upon demand of the Trustee, pay to it, for the benefit of the Holders of such Securities, the whole amount then due and payable on such
Securities, and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel.

 
Section 5.05. Trustee May File Proofs
Of Claim. In case of any judicial proceeding relative to the Company (or any other obligor upon the Securities), its property or its creditors, the Trustee shall be entitled and empowered, by intervention in such proceeding or otherwise, to

 

36 

take any and all actions authorized under the Trust Indenture Act in order to have claims of the Holders and the Trustee allowed in any such
proceeding. In particular, the Trustee shall be authorized to collect and receive any moneys or other property payable or deliverable on any such claims and to distribute the same; and any custodian, receiver, assignee, trustee, liquidator,
sequestrator or other similar official in any such judicial proceeding is hereby authorized by each Holder to make such payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders,
to pay to the Trustee any amount due it for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel and any other amounts due the Trustee under Section 6.07. 
 
No provision of this Indenture shall be deemed to authorize
the Trustee to authorize or consent to or accept or adopt on behalf of any Holder any plan of reorganization, arrangement, adjustment or composition affecting the Securities or the rights of any Holder thereof or to authorize the Trustee to vote in
respect of the claim of any Holder in any such proceeding. 
 
Section 5.06. Application Of Money Collected. Any money collected by the Trustee pursuant to this Article shall be applied in the following order, at the date or dates fixed by the Trustee and, in case of the
distribution of such money to Holders, upon presentation of the Securities and the notation thereon of the payment if only partially paid and upon surrender thereof if fully paid: 
 
FIRST: To the payment of all amounts due the Trustee under Section 6.07; and 
 
SECOND: To the payment of the amounts then due and unpaid on
the Securities for the Principal Amount, Fundamental Change Repurchase Price or Additional Interest Amounts, if any, as the case may be, in respect of which or for the benefit of which such money has been collected, ratably, without preference or
priority of any kind, according to the amounts due and payable on such Securities. 
 
Section 5.07. Limitation On Suits. No Holder of any Security shall have any right to institute any proceeding, judicial or otherwise, with respect to this Indenture, or for the
appointment of a receiver or trustee, or for any other remedy hereunder (other than in the case of an Event of Default specified in Section 5.01(a) or 5.01(b)), unless: 
 
(i) such Holder has previously given written notice to the Trustee of a continuing Event of
Default; 
 
(ii) the Holders of
not less than 25% in aggregate Principal Amount of the Outstanding Securities shall have made written request to the Trustee to institute proceedings in respect of such Event of Default in its own name as Trustee hereunder; 
 
(iii) such Holder or Holders have offered to
the Trustee indemnity reasonably satisfactory to it against the costs, expenses and liabilities to be incurred in compliance with such request; 
 
(iv) the Trustee for 60 days after its receipt of such notice, request and offer of indemnity has failed to institute any
such proceeding; and 
 

37 

 
(v) no direction inconsistent with such written request has been given to the Trustee during such 60-day period by the Holders of a majority in aggregate Principal Amount of the Outstanding Securities; 
 
it being understood and intended that no one or more Holders shall have any
right in any manner whatever by virtue of, or by availing of, any provision of this Indenture to affect, disturb or prejudice the rights of any other Holders, or to obtain or to seek to obtain priority or preference over any other Holders or to
enforce any right under this Indenture, except in the manner herein provided and for the equal and ratable benefit of all the Holders. 
 
Section 5.08. Unconditional Right Of Holders To Receive Payment. Notwithstanding any other provision of this Indenture, the
right of any Holder to receive payment of the Principal Amount, Fundamental Change Repurchase Price or Additional Interest Amounts, if any, in respect of the Securities held by such Holder, on or after the respective due dates expressed in the
Securities or on or after any Fundamental Change Repurchase Date, as applicable, and to convert the Securities in accordance with Article 13, or to bring suit for the enforcement of any such payment on or after such respective dates or the right to
convert, shall not be impaired or affected adversely without the consent of such Holder. For purposes of clarification, prior to the occurrence of a Fundamental Change, the provisions relating to the right to receive payment upon a Fundamental
Change Repurchase Date may be modified in the manner set forth in Section 9.02. 
 
Section 5.09. Restoration Of Rights And Remedies. If the Trustee or any Holder has instituted any proceeding to enforce any right or remedy under this Indenture and such proceeding has
been discontinued or abandoned for any reason, or has been determined adversely to the Trustee or to such Holder, then and in every such case, subject to any determination in such proceeding, the Company, the Trustee and the Holders shall be
restored severally and respectively to their former positions hereunder and thereafter all rights and remedies of the Trustee and the Holders shall continue as though no such proceeding had been instituted. 
 
Section 5.10. Rights And Remedies Cumulative.
Except as otherwise provided with respect to the replacement or payment of mutilated, destroyed, lost or stolen Securities in the last paragraph of Section 3.06, no right or remedy herein conferred upon or reserved to the Trustee or to the
Holders is intended to be exclusive of any other right or remedy, and every right and remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law or
in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other appropriate right or remedy. 
 
Section 5.11. Delay Or Omission Not Waiver. No
delay or omission of the Trustee or of any Holder of any Security to exercise any right or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence
therein. Every right and remedy given by this Article or by law to the Trustee or to the Holders may be exercised from time to time, and as often as may be deemed expedient, by the Trustee or by the Holders, as the case may be. 
 

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Section
5.12. Control By Holders. The Holders of a majority in Principal Amount of the Outstanding Securities shall have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee or
exercising any trust or power conferred on the Trustee, provided that: 
 
(i) such direction shall not be in conflict with any rule of law or with this Indenture; and 
 
(ii) the Trustee may take any other action deemed proper by the Trustee which is not inconsistent with such direction.

 
Section 5.13. Waiver Of Past Defaults.
The Holders of not less than a majority in Principal Amount of the Outstanding Securities may on behalf of the Holders of all the Securities waive any past Default hereunder and its consequences, except a Default: 
 
(i) Described in Section 5.01(a) or 5.01(b);
or 
 
(ii) in respect of a
covenant or provision hereof which under Article 9 cannot be modified or amended without the consent of the Holder of each Outstanding Security affected. 
 
Upon any such waiver, such Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have been cured,
for every purpose of this Indenture; but no such waiver shall extend to any subsequent or other Default or impair any right consequent thereon. 
 
Section 5.14. Undertaking For Costs. In any suit for the enforcement of any right or remedy under this Indenture or in any
suit against the Trustee for any action taken or omitted by it as Trustee, in either case in respect of the Securities, a court may require any party litigant in such suit to file an undertaking to pay the costs of the suit, and the court may assess
reasonable costs, including reasonable attorney’s fees, against any party litigant in the suit having due regard to the merits and good faith of the claims or defenses made by the party litigant; but the provisions of this Section shall not
apply to any suit instituted by the Company, to any suit instituted by the Trustee, to any suit instituted by any Holder, or group of Holders, holding in the aggregate more than 10% in Principal Amount of the Outstanding Securities, or to any suit
instituted by any Holder for the enforcement of the payment of the Principal Amount or accrued but unpaid Additional Interest Amounts, if any, on any Security on or after Maturity of such Security or the Fundamental Change Repurchase Price.

 
Section 5.15. Waiver Of Stay Or
Extension Laws. The Company covenants (to the extent that it may lawfully do so) that it will not at any time insist upon, or plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, or extension law wherever
enacted, now or at any time hereafter in force, which may affect the covenants or the performance of this Indenture; and the Company (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law and
covenants that it will not hinder, delay, or impede the execution of any power herein granted to the Trustee, but will suffer and permit the execution of every such power as though no such law had been enacted. 
 

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ARTICLE 6

 
THE TRUSTEE 
 
Section 6.01. Certain Duties And Responsibilities.
The duties and responsibilities of the Trustee shall be as provided by the Trust Indenture Act. In case an Event of Default with respect to the Securities has occurred (which has not been cured or waived), the Trustee shall exercise the rights
and powers vested in it by this Indenture, and use the same degree of care and skill in their exercise, as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs. Notwithstanding the
foregoing, no provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder, or in the exercise of any of its rights or powers.
Whether or not therein expressly so provided, every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to the provisions of this Section. 
 
Section 6.02. Notice Of Defaults. The Trustee
shall give the Holders notice of any Default hereunder within 60 days after the occurrence thereof or, if later, within 15 days after it is known to the Trustee, unless such Default shall have been cured or waived before the giving of such notice;
provided, that (except in the case of any Default in the payment of Principal Amount, premium or Additional Interest Amount, if any, on any of the Securities or the Fundamental Change Repurchase Price), the Trustee shall be protected in
withholding such notice if and so long as a trust committee of directors or trustees and/or a Responsible Officer of the Trustee in good faith determines that the withholding of such notice is in the interest of the holders of Securities.

 
Section 6.03. Certain Rights Of
Trustee. Subject to the provisions of Section 6.01: 
 
(a) the Trustee may conclusively rely and shall be protected in acting or refraining from acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture,
note, other evidence of indebtedness or other paper or document believed by it to be genuine and to have been signed or presented by the proper party or parties; 
 
(b) any request or direction of the Company mentioned herein shall be sufficiently evidenced by a Company
Request or Company Order and any resolution of the Board of Directors of the Company may be sufficiently evidenced by a Board Resolution; 
 
(c) whenever in the administration of this Indenture the Trustee shall deem it desirable that a matter be proved or established prior to
taking, suffering or omitting any action hereunder, the Trustee (unless other evidence be herein specifically prescribed) may, in the absence of bad faith on its part, rely upon an Officers’ Certificate; 
 
(d) the Trustee may consult with counsel of its selection and
the advice of such counsel or any Opinion of Counsel shall be full and complete authorization and protection in respect of any action taken, suffered or omitted by it hereunder in good faith and in reliance thereon; 
 
(e) the Trustee shall be under no obligation to exercise any
of the rights or powers vested in it by this Indenture at the request or direction of any of the Holders pursuant to this 
 

40 

Indenture, unless such Holders shall have offered to the Trustee security or indemnity reasonably satisfactory to it against the costs,
expenses and liabilities which might be incurred by it in compliance with such request or direction; 
 
(f) the Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document, but the Trustee, in its discretion, may make such further inquiry or investigation into such
facts or matters as it may see fit; and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the sole
cost of the Company and shall incur no liability or additional liability of any kind by reason of such inquiry or investigation. 
 
(g) the Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through agents
or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney appointed with due care by it hereunder; 
 
(h) the Trustee shall not be charged with knowledge of any Default or Event of Default with respect to the
Securities unless either (i) a Responsible Officer shall have actual knowledge of such Default or Event of Default or (ii) written notice of such Default or Event of Default shall have been given to the Trustee by the Company or any other obligor on
such Securities or by any Holder of such Securities; 
 
(i) the Trustee shall not be liable for any action taken, suffered or omitted by it in good faith and reasonably believed by it to be authorized or within the discretion or rights or powers conferred upon it by this Indenture;

 
(j) the rights, privileges, protections,
immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and each agent, custodian and other Person
employed to act hereunder; and 
 
(k) the Trustee
may request that the Company deliver an Officers’ Certificate setting forth the names of individuals and/or titles of officers authorized at such time to take specified actions pursuant to this Indenture, which Officers’ Certificate may be
signed by any person authorized to sign an Officers’ Certificate, including any person specified as so authorized in any such certificate previously delivered and not superseded. 
 
Section 6.04. Not Responsible For Recitals. The recitals contained herein and in the
Securities, except the Trustee’s certificates of authentication, shall be taken as the statements of the Company, and the Trustee assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or
sufficiency of this Indenture or of the Securities. The Trustee shall not be accountable for the use or application by the Company of Securities or the proceeds thereof. 
 
Section 6.05. May Hold Securities. The Trustee, any Paying Agent, any Security Registrar or any
other agent of the Company, in its individual or any other capacity, may become 
 

41 

the owner or pledgee of Securities and, subject to Section 6.08 and 6.13, may otherwise deal with the Company with the same rights it would
have if it were not Trustee, Paying Agent, Security Registrar or such other agent. 
 
Section 6.06. Money Held In Trust. Money held by the Trustee in trust hereunder need not be segregated from other funds except to the extent required by law. The Trustee shall be under no
liability for interest on any money received by it hereunder except as otherwise agreed in writing with the Company. 
 
Section 6.07. Compensation And Reimbursement. The Company agrees: 
 
(i) to pay to the Trustee from time to time
such compensation for all services rendered by it hereunder as the Company and the Trustee shall from time to time agree in writing (which compensation shall not be limited by any provision of law in regard to the compensation of a trustee of an
express trust); 
 
(ii) except as
otherwise expressly provided herein, to reimburse the Trustee upon its request for all reasonable expenses, disbursements and advances incurred or made by the Trustee in accordance with any provision of this Indenture (including the reasonable
compensation and the expenses and disbursements of its agents and counsel), except any such expense, disbursement or advance as may be attributable to its negligence or bad faith; and 
 
(iii) to indemnify the Trustee and any predecessor Trustee for, and to hold it harmless
against, any loss, liability or expense including taxes (other than taxes based upon, measured by or determined by the income of the Trustee) incurred without negligence or bad faith on its part, arising out of or in connection with the acceptance
or administration of this trust, including the reasonable costs and expenses of defending itself against any claim (whether assessed by the Company, by any Holder or any other Person) or liability in connection with the exercise or performance of
any of its powers or duties hereunder. 
 
The
obligations of the Company under this Section 6.07 shall survive the resignation or removal of the Trustee and the satisfaction and discharge of this Indenture. To secure the Company’s payment obligations in this Section 6.07, the Trustee shall
have a lien prior to the Securities on all money or property held or collected by the Trustee, except that held in trust to pay principal and interest on the Securities. Such lien shall survive the resignation or removal of the Trustee and the
satisfaction and discharge of this Indenture. When the Trustee incurs expenses or renders services after a Default or an Event of Default specified in Section 5.01(f) and 5.01(g) hereof occurs, the expenses and the compensation for the services
(including, the fees and expenses of its agents and counsel) are intended to constitute expenses of administration under U.S. Code, Title 11 or any other similar foreign, federal or state law for the relief of debtors. 
 
Section 6.08. Disqualification; Conflicting
Interests. If the Trustee has or shall acquire a conflicting interest within the meaning of the Trust Indenture Act, the Trustee shall either 
 

42 

eliminate such interest or resign, to the extent and in the manner provided by, and subject to the provisions of, the Trust Indenture Act and
this Indenture. 
 
Section 6.09.
Corporate Trustee Required; Eligibility. There shall at all times be a Trustee hereunder which shall be a Person that is eligible pursuant to the Trust Indenture Act to act as such and has a combined capital and surplus of at least $50,000,000.
If such Person publishes reports of condition at least annually, pursuant to law or to the requirements of said supervising or examining authority, then for the purposes of this Section, the combined capital and surplus of such Person shall be
deemed to be its combined capital and surplus as set forth in its most recent report of condition so published. If at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section, it shall resign immediately in
the manner and with the effect hereinafter specified in this Article. 
 
Section 6.10. Resignation And Removal; Appointment Of Successor. (a) No resignation or removal of the Trustee and no appointment of a successor Trustee pursuant to this Article shall become effective until the
acceptance of appointment by the successor Trustee under Section 6.11. 
 
(b) The Trustee may resign at any time by giving written notice thereof to the Company. If an instrument of acceptance by a successor Trustee shall not have been delivered to the Trustee within 30 days after the giving of
such notice of resignation, the resigning Trustee may petition any court of competent jurisdiction at the expense of the Trustee for the appointment of a successor Trustee. 
 
(c) The Trustee may be removed at any time by Act of the Holders of a majority in Principal Amount of the
Outstanding Securities, delivered to the Trustee and to the Company. If an instrument of acceptance by a successor Trustee shall not have been delivered to the Trustee within 30 days after the notice of removal, the Trustee being removed may
petition, at the expense of the Company, any court of competent jurisdiction for the appointment of a successor Trustee with respect to the Securities. 
 
(d) If at any time: 
 
(i) the Trustee shall fail to comply with Section 6.08 after written request therefor by the Company or by any Holder who
has been a bona fide Holder of a Security for at least six months, or 
 
(ii) the Trustee shall cease to be eligible under Section 6.09 and shall fail to resign after written request therefor by the Company or by any such Holder, or 
 
(iii) the Trustee shall become incapable of
acting or shall be adjudged a bankrupt or insolvent, or 
 
(iv) a receiver of the Trustee or of its property shall be appointed or any public officer shall take charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or
liquidation, 
 

43 

then, in any such case, (A) the Company by a Company Order may remove the Trustee, or (B) subject to Section 5.14, any Holder who has been a
bona fide Holder of a Security for at least six months may, on behalf of such Holder and all others similarly situated, petition any court of competent jurisdiction for the removal of the Trustee and the appointment of a successor Trustee.

 
(e) If the Trustee shall resign, be removed or
become incapable of acting, or if a vacancy shall occur in the office of Trustee for any cause, the Company, by a Company Order, shall promptly appoint a successor Trustee. If, within one year after such resignation, removal or incapability, or the
occurrence of such vacancy, a successor Trustee shall be appointed by Act of the Holders of a majority in Principal Amount of the Outstanding Securities delivered to the Company and the retiring Trustee, the successor Trustee so appointed shall,
forthwith upon its acceptance of such appointment, become the successor Trustee and supersede the successor Trustee appointed by the Company. If no successor Trustee shall have been so appointed by the Company or the Holders and accepted appointment
in the manner hereinafter provided, any Holder who has been a bona fide Holder of a Security for at least six months may, on behalf of himself and all others similarly situated, petition any court of competent jurisdiction for the appointment of a
successor Trustee. 
 
(f) The Company shall give
notice of each resignation and each removal of the Trustee and each appointment of a successor Trustee to all Holders in the manner provided in Section 1.06. Each notice shall include the name of the successor Trustee and the address of its
Corporate Trust Office. 
 
Section 6.11.
Acceptance Of Appointment By Successor. Every successor Trustee appointed hereunder shall execute, acknowledge and deliver to the Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or
removal of the retiring Trustee shall become effective and such successor Trustee, without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee; but, on request of the
Company or the successor Trustee, such retiring Trustee shall, upon payment of its charges, execute and deliver an instrument transferring to such successor Trustee all the rights, powers and trusts of the retiring Trustee and shall duly assign,
transfer and deliver to such successor Trustee all property and money held by such retiring Trustee hereunder. Upon request of any such successor Trustee, the Company shall execute any and all instruments for more fully and certainly vesting in and
confirming to such successor Trustee all such rights, powers and trusts. 
 
No successor Trustee shall accept its appointment unless at the time of such acceptance such successor Trustee shall be qualified and eligible under this Article. 
 
Section 6.12. Merger, Conversion, Consolidation Or Succession To Business. Any corporation into
which the Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion or consolidation to which the Trustee shall be a party, or any corporation succeeding to all or substantially
all the corporate trust business of the Trustee, shall be the successor of the Trustee hereunder, provided such corporation shall be otherwise qualified and eligible under this Article, without the execution or filing of any paper or any further act
on the part of any of the parties hereto. In case any Securities shall have been authenticated, but not delivered, by the Trustee then in office, any 
 

44 

successor by merger, conversion or consolidation to such authenticating Trustee may adopt such authentication and deliver the Securities so
authenticated with the same effect as if such successor Trustee had itself authenticated such Securities. 
 
Section 6.13. Preferential Collection Of Claims Against. If and when the Trustee shall be or become a creditor of the
Company (or any other obligor upon the Securities), the Trustee shall be subject to the provisions of the Trust Indenture Act regarding the collection of claims against the Company (or any such other obligor). 
 
ARTICLE 7 
 
HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND THE COMPANY

 
Section 7.01. Company To Furnish
Trustee Names And Addresses Of Holders. The Company will furnish or cause to be furnished to the Trustee: 
 
(i) semi-annually, not later than 15 days after each Regular Record Date, a list, in such form as the Trustee may
reasonably require, of the names and addresses of the Holders as of such Regular Record Date; and 
 
(ii) at such other times as the Trustee may request in writing, within 30 days after the receipt by the Company of any
such request, a list of similar form and content as of a date not more than 15 days prior to the time such list is furnished; 
 
provided, however, that no such list need be furnished so long as the Trustee is acting as Security Registrar. 
 
Section 7.02. Preservation Of Information;
Communications To Holders. (a) The Trustee shall preserve, in as current a form as is reasonably practicable, the names and addresses of Holders contained in the most recent list furnished to the Trustee as provided in Section 7.01 and the names
and addresses of Holders received by the Trustee in its capacity as Security Registrar. The Trustee may destroy any list furnished to it as provided in Section 7.01 upon receipt of a new list so furnished. 
 
(b) The rights of Holders to communicate with other Holders
with respect to their rights under this Indenture or under the Securities, and the corresponding rights and duties of the Trustee, shall be as provided by the Trust Indenture Act. 
 
(c) Every Holder of Securities, by receiving and holding the same, agrees with the Company and the Trustee
that neither the Company nor the Trustee nor any agent of either of them shall be held accountable by reason of any disclosure of information as to names and addresses of Holders made pursuant to the Trust Indenture Act. 
 
Section 7.03. Reports By Trustee. (a) The
Trustee shall transmit to Holders such reports concerning the Trustee and its actions under this Indenture as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant thereto. Reports so required to be
transmitted at stated intervals of not more than 12 months shall be transmitted no 
 

45 

later than July 15 in each calendar year, commencing in July 15, 2003. Each such report shall be dated as of a date not more than 60 days
prior to the date of transmission. 
 
(b) A copy
of each such report shall, at the time of such transmission to Holders, be filed by the Trustee with each stock exchange upon which the Securities are listed, with the Commission and with the Company. The Company shall notify the Trustee promptly
whenever the Securities become listed on any stock exchange or of any delisting thereof. 
 
Section 7.04. Reports By Company. The Company shall file with the Trustee and the Commission, and transmit to Holders, such information, documents and other reports, and such summaries
thereof, as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant to such Act; provided that any such information, documents or reports required to be filed with the Commission pursuant to
Section 13 or 15(d) of the Exchange Act shall be filed with the Trustee within 15 days after the same is so required to be filed with the Commission. In the event the Company is not subject to Section 13 or 15(d) of the Exchange Act, it shall file
with the Trustee upon request the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act. Delivery of such reports, information and documents to the Trustee is for informational purposes only and the Trustee’s
receipt of such shall not constitute constructive notice of any information contained therein or determinable from information contained therein, including the Company’s compliance with any of its covenants hereunder (as to which the Trustee is
entitled to rely exclusively on Officers’ Certificates). It is expressly understood that materials transmitted electronically by the Company to the Trustee shall be deemed filed with the Trustee for purposes of this Section 7.04. 
 
ARTICLE 8 
 
CONSOLIDATION, MERGER, CONVEY, TRANSFER OR LEASE 
 
Section 8.01. Company May Consolidate, Etc., Only On
Certain Terms. The Company shall not consolidate with or merge into any other Person or convey, transfer or lease its properties, and assets, substantially as an entity to another Person, unless: 
 
(a) either (i) the Company shall be the continuing Person or
(ii) the Person (if other than the Company) formed by such consolidation or into which the Company is merged or the Person which acquires by conveyance or transfer, or which leases, the properties and assets of the Company substantially as an
entirety (the “Surviving Entity”), (1) shall be organized and validly existing under the laws of the United States of America, any State thereof or the District of Columbia and (2) the Surviving Entity shall expressly assume, by an
indenture supplemental hereto, executed and delivered to the Trustee, all of the obligations of the Company under the Securities and this Indenture; 
 
(b) immediately after giving effect to such transaction, no Event of Default, and no event which, after notice or lapse of time or both,
would become an Event of Default, shall have occurred and be continuing; and 
 
(c) the Company or the Surviving Entity has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that such consolidation, merger, conveyance, 
 

46 

transfer or lease and, if a supplemental indenture is required in connection with such transaction, such supplemental indenture comply with
this Article 8 and Article 9, respectively. 
 
Section 8.02. Successor Substituted. Upon any consolidation of the Company with, or merger of the Company into, any other Person or any conveyance, transfer or lease of the properties and assets of the Company
substantially as an entirety in accordance with Section 8.01, the successor Person formed by such consolidation or into which the Company is merged or to which such conveyance, transfer or lease is made shall succeed to, and be substituted for, and
may exercise every right and power of, the Company under this Indenture with the same effect as if such successor Person had been named as the Company herein, and thereafter, except in the case of a lease, the predecessor Person shall be relieved of
all obligations and covenants under this Indenture and the Securities. 
 
ARTICLE 9 
 
SUPPLEMENTAL
INDENTURES 
 
Section 9.01. Supplemental
Indentures Without Consent Of Holders. Without the consent of any Holders, the Company, when authorized by a Board Resolution, and the Trustee, at any time and from time to time, may amend, modify or supplement this Indenture or the Securities,
in form satisfactory to the Trustee, for any of the following purposes: 
 
(i) to evidence the succession of another Person to the Company and the assumption by any such successor of the covenants of the Company herein and in the Securities; or 
 
(ii) to add to the covenants of the Company
for the benefit of the Holders, or to surrender any right or power herein conferred upon the Company; or 
 
(iii) to provide for a successor Trustee with respect to the Securities; or 
 
(iv) to add any additional Events of Default
with respect to the Securities; or 
 
(v) to cure any ambiguity or defect, to correct or supplement any provision herein which may be inconsistent with any other provision herein, or to make any other provisions with respect to matters or questions arising under this
Indenture which shall not be inconsistent with the provisions of this Indenture, provided that such action pursuant to this clause (iv) shall not adversely affect the interests of the Holders in any material respect; or 
 
(vi) to secure the Securities; or

 
(vii) to reduce the Conversion
Price; provided, however, that such reduction in the Conversion Price is in accordance with the terms of this Indenture or shall not adversely affect the interests of the Holders of Securities (after taking into account tax and other
consequences of such reduction) in any material respect; or 
 

47 

 
(viii) to supplement any of the provisions of the Indenture to such extent as shall be necessary to permit or facilitate the discharge of the Securities; provided, however that such change or modification does not adversely
affect the interests of the Holders of the Securities; or 
 
(ix) to make any changes or modifications necessary in connection with the registration of the Securities under the Securities Act as contemplated in the Registration Rights Agreement; provided,
however, that such change or modification does not adversely affect the interests of the Holders of Securities; or 
 
(x) to add or modify any other provisions herein with respect to matters or questions arising hereunder which the Company
and the Trustee may deem necessary or desirable and which would not reasonably be expected to adversely affect the interests of the Holders of Securities in any material respect; or 
 
(xi) to convey, transfer, assign, mortgage or pledge to the Trustee as security for the
Securities any property or assets; or 
 
(xii) to comply with any requirements of the Commission in connection with the qualification of this Indenture under the Trust Indenture Act. 
 
Section 9.02. Supplemental Indentures With Consent Of Holders. (a) With the consent of the Holders of not less than a
majority in Principal Amount of the Outstanding Securities, by Act of said Holders delivered to the Company and the Trustee, the Company, when authorized by a Board Resolution, and the Trustee may enter into an indenture or indentures supplemental
hereto for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture or of modifying in any manner the rights of the Holders under this Indenture; provided, however, that no such
supplemental indenture shall, without the consent of the Holder of each Outstanding Security affected thereby: 
 
(i) change the stated Maturity of any Security; or 
 
(i) reduce the Principal Amount of, or the premium amount of, any Security; or 
 
(ii) reduce the amount of principal payable
upon acceleration of the Stated Maturity of any Security after the occurrence of an Event of Default giving rise to such acceleration; or 
 
(iii) reduce the Fundamental Change Repurchase Price of any Security; or 
 
(iv) after the occurrence of a Fundamental
Change, make any change that adversely affects the right of Holders of the Securities to require the Company to repurchase such Securities in accordance with the terms thereof and this Indenture; or 
 
(v) change the place or the currency of any
payment amount of any Security from U.S. Dollars or shares of Additional Stock as provided herein; or 
 

48 

 
(vi) make any change that impairs the right of Holders of Securities to convert any Security; or 
 
(vii) make any change that impairs the right of Holders to institute suit for payment of the Securities; or 
 
(viii) reduce the percentage in Principal
Amount of the Outstanding Securities, the consent of whose Holders is required for any such supplemental indenture, or the consent of whose Holders is required for any waiver (of compliance with certain provisions of this Indenture or certain
defaults hereunder and their consequences) provided for in this Indenture; or 
 
(ix) change the ranking of the notes in any manner that adversely affects the rights of Holders of Securities under this Indenture; 
 
(x) reduce the percentage of the principal amount of the outstanding Securities the written
consent or affirmative vote of whose Holders is required to take specific actions under the Indenture; or 
 
(xi) modify the obligation of the Company to maintain an agency in The City of New York as required under this Indenture;
or 
 
(xii) modify any of the
provisions of this Section or Section 5.13, except to increase any such percentage or to provide that certain other provisions of this Indenture cannot be modified or waived without the consent of the Holder of each Outstanding Security affected
thereby. 
 
(b) The Holders of not less than a
majority in aggregate Principal Amount of the Outstanding Securities may, on behalf of the Holders of all of the Securities, waive any past default and its consequences under this Indenture, except a default (i) in the payment of the Principal
Amount of or any premium or Additional Interest Amount, if any, on or with respect to the Securities or (ii) in respect of a covenant or provision that cannot be modified without the consent of the Holder of each Security affected thereby as set
forth in paragraph (a) above. 
 
It shall not be
necessary for any Act of Holders under this Section to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such Act shall approve the substance thereof. 
 
Section 9.03. Execution Of Supplemental Indentures.
In executing, or accepting the additional trusts created by, any supplemental indenture permitted by this Article or the modifications thereby of the trusts created by this Indenture, the Trustee shall be entitled to receive, and (subject to
Section 6.01) shall be fully protected in relying upon, in addition to the documents required by Section 1.02, an Opinion of Counsel stating that the execution of such supplemental indenture is authorized or permitted by this Indenture. Subject to
the preceding sentence, the Trustee shall sign such supplemental indenture if the same does not adversely affect the Trustee’s own rights, duties or immunities under this Indenture or otherwise. The Trustee may, but shall not be obligated to,
enter into any such supplemental indenture which 
 

49 

adversely affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise. 
 
Section 9.04. Effect Of Supplemental Indentures.
Upon the execution of any supplemental indenture under this Article, this Indenture shall be modified in accordance therewith, and such supplemental indenture shall form a part of this Indenture for all purposes; and every Holder of Securities
theretofore or thereafter authenticated and delivered hereunder shall be bound thereby. 
 
Section 9.05. Conformity With Trust Indenture Act. Every supplemental indenture executed pursuant to this Article shall conform to the requirements of the Trust Indenture Act.

 
Section 9.06. Reference In Securities
To Supplemental Indentures. Securities authenticated and delivered after the execution of any supplemental indenture pursuant to this Article shall bear a notation in form approved by the Trustee as to any matter provided for in such
supplemental indenture. If the Company shall so determine, new Securities so modified as to conform, in the opinion of the Trustee and the Company, to any such supplemental indenture may be prepared and executed by the Company and authenticated and
delivered by the Trustee in exchange for Outstanding Securities. 
 
ARTICLE 10 
 
COVENANTS

 
Section 10.01. Payments. The
Company shall duly and punctually make all payments in respect of the Securities in accordance with the terms of the Securities and this Indenture. 
 
Any payments made or due pursuant to this Indenture shall be considered paid on the applicable date due if by 10:00 a.m., New York City
time, on such date the Paying Agent holds, in accordance with this Indenture, cash sufficient to pay all such amounts then due. Payment of the principal of and Additional Interest Amounts, if any, on the Securities shall be 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. 
 
Section 10.02. Maintenance Of Office Or Agency. The Company shall maintain in the Borough of Manhattan, The City of New
York, an office or agency where Securities may be presented or surrendered for payment, where Securities may be surrendered for registration of transfer, exchange, repurchase or conversion and where notices and demands to or upon the Company in
respect of the Securities and this Indenture may be served, which shall initially be the Corporate Trust Office of the Trustee. The Company shall give prompt written notice to the Trustee of the location, and any change in the location, of such
office or agency. If at any time the Company shall fail to maintain any such required office or agency or shall fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices and demands may be made or served at the
Corporate Trust Office of the Trustee, and the Company hereby appoints the Trustee as its agent to receive all such presentations, surrenders, notices and demands. 
 

50 

 
The Company
may also from time to time designate one or more other offices or agencies (in or outside the Borough of Manhattan, The City of New York) where the Securities may be presented or surrendered for any or all such purposes and may from time to time
rescind such designations; provided, however, that no such designation or rescission shall in any manner relieve the Company of its obligation to maintain an office or agency in the Borough of Manhattan, The City of New York, for such
purposes. The Company shall give prompt written notice to the Trustee of any such designation or rescission and of any change in the location of any such other office or agency. 
 
Section 10.03. Money For Security Payments To Be Held In Trust. If the Company shall at any
time act as its own Paying Agent, it shall, on or before each due date of any payment in respect of any of the Securities, segregate and hold in trust for the benefit of the Persons entitled thereto a sum sufficient to make the payment so becoming
due until such sums shall be paid to such Persons or otherwise disposed of as herein provided and shall promptly notify the Trustee of its action or failure so to act. 
 
Whenever the Company shall have one or more Paying Agents, it will, prior to each due date of any payment in
respect of any Securities, deposit with a Paying Agent a sum sufficient to pay such amount, such sum to be held as provided by the Trust Indenture Act, and (unless such Paying Agent is the Trustee) the Company will promptly notify the Trustee of its
action or failure so to act. 
 
The Company shall
cause each Paying Agent other than the Trustee to execute and deliver to the Trustee an instrument in which such Paying Agent shall agree with the Trustee, subject to the provisions of this Section, that such Paying Agent will (i) comply with the
provisions of the Trust Indenture Act applicable to it as a Paying Agent and (ii) during the continuance of any default by the Company (or any other obligor upon the Securities) in the making of any payment in respect of the Securities, upon the
written request of the Trustee, forthwith pay to the Trustee all sums held in trust by such Paying Agent as such. 
 
The Company may at any time, for the purpose of obtaining the satisfaction and discharge of this Indenture or for any other purpose, pay,
or by Company Order direct any Paying Agent to pay, to the Trustee all sums held in trust by the Company or such Paying Agent, such sums to be held by the Trustee upon the same trusts as those upon which such sums were held by the Company or such
Paying Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying Agent shall be released from all further liability with respect to such money. 
 
Any money deposited with the Trustee or any Paying Agent, or then held by the Company, in trust for the
making of payments in respect of any Security and remaining unclaimed for two years after such payment has become due shall be paid to the Company on Company Request, or (if then held by the Company) shall be discharged from such trust; and the
Holder of such Security shall thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all liability of the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as
trustee thereof, shall thereupon cease; provided, however, that the Trustee or such Paying Agent, before being required to make any such repayment, may at the expense of the Company cause to be published once, in a newspaper 
 

51 

published in the English language, customarily published on each Business Day and of general circulation in The City of New York, notice that
such money remains unclaimed and that, after a date specified therein, which shall not be less than 30 days from the date of such publication, any unclaimed balance of such money then remaining shall be repaid to the Company. 
 
Section 10.04. Statement By Officers As To Default.
The Company shall deliver to the Trustee, within 120 days after the end of each fiscal year of the Company ending after the date hereof, an Officers’ Certificate, stating whether or not to the knowledge of the signers thereof the Company is
in Default in the performance and observance of any of the terms, provisions and conditions of this Indenture (without regard to any period of grace or requirement of notice provided hereunder) and, if the Company shall be in Default, specifying all
such Defaults and the nature and status thereof of which they may have knowledge. 
 
The Company shall deliver to the Trustee, as soon as possible and in any event within five days after the Company becomes aware of the occurrence of any Event of Default or an event which, with notice
or the lapse of time or both, would constitute an Event of Default, an Officers’ Certificate setting forth the details of such Event of Default or default and the action which the Company proposes to take with respect thereto. 
 
Section 10.05. Existence. Subject to Article 8,
the Company shall do or cause to be done all things necessary to preserve and keep in full force and effect its existence, rights (charter and statutory) and franchises; provided, however, that the Company shall not be required to preserve
any such right or franchise if the Board of Directors of the Company shall determine that the preservation thereof is no longer desirable in the conduct of the business of the Company and that the loss thereof is not disadvantageous in any material
respect to the Holders. 
 
Section 10.06.
Reports And Delivery Of Certain Information. Whether or not required by the rules and regulations of the Commission, so long as any Securities are outstanding, the Company shall promptly furnish to the Trustee (i) all quarterly and annual
financial information that is substantially equivalent to that which would be required to be contained in a filing with the Commission on Forms 10-Q and 10-K if the Company were required to file such Forms, including a “Management’s
Discussion and Analysis of Financial Condition and Results of Operations” section and, with respect to the annual information only, a report thereon by the Company’s certified independent accountants and (ii) all reports that are
substantially equivalent to that which would be required to be filed with the Commission on Form 8-K if the Company were required to file such reports; provided that in each case the delivery of materials to the Trustee by electronic means
shall be deemed to be “furnished” to the Trustee for purposes of this Section 10.06. Delivery of such reports, information and documents to the Trustee is for informational purposes only and the Trustee’s receipt of such shall not
constitute constructive notice of any information contained therein or determinable from information contained therein, including the Company’s compliance with any of its covenants hereunder (as to which the Trustee is entitled to rely
exclusively on Officers’ Certificates). In addition, whether or not required by the rules and regulations of the Commission, the Company shall file a copy of all such information with the Commission for public availability (unless the
Commission will not accept such a filing) and make such information available to investors who request it in writing. So long as any of the Securities remain Outstanding, the Company shall make available the information required by Rule 144A(d)(4)
under the Securities Act to any Holder or any 
 

52 

beneficial owner of Securities or holder or beneficial owner of shares of Common Stock, or to a prospective purchaser of any such security
designated by any such holder, as the case may be, to the extent required to permit compliance by such Holder or holder with Rule 144A under the Securities Act in connection with the resale of any such security. 
 
Section 10.07. Resale Of Certain Securities.
During the period beginning on the Issue Date and ending on the date that is two years from the Issue Date, the Company shall not resell any Securities which constitute “restricted securities” under Rule 144 that have been
reacquired by any of them. The Trustee shall have no responsibility in respect of the Company’s performance of its agreement in the preceding sentence. 
 
Section 10.08. Book-Entry System. If the Securities cease to trade in the Depositary’s book-entry settlement system,
the Company covenants and agrees that it shall use reasonable efforts to make such other book-entry arrangements that it determines are reasonable for the Securities. 
 
Section 10.09. Additional Interest Amounts Under The Registration Rights Agreement. If at any
time Additional Interest Amounts become payable by the Company pursuant to the Registration Rights Agreement, the Company shall promptly deliver to the Trustee a certificate to that effect and stating (i) the amount of such Additional Interest
Amounts that are payable and (ii) the date on which such Additional Interest Amounts are payable pursuant to the terms of the Registration Rights Agreement. Unless and until a Responsible Officer of the Trustee receives such a certificate, the
Trustee may assume without inquiry that no Additional Interest Amounts are payable. If the Company has paid Additional Interest Amounts directly to the Persons entitled to such Additional Interest Amounts, the Company shall deliver to the Trustee a
certificate setting forth the particulars of such payment. 
 
Section 10.10. Information For IRS Filings. The Company shall provide to the Trustee on a timely basis such information as the Trustee requires to enable the Trustee to prepare and file any form required to be submitted
by the Company with the Internal Revenue Service and the Holders of the Notes. 
 
Section 10.11. Further Instruments And Acts. Upon reasonable request of the Trustee, or as otherwise necessary, the Company will execute and deliver such further instruments and do such
further acts as may be reasonably necessary or proper to carry out more effectively the purposes of this Indenture. 
 
ARTICLE 11 
 
REDEMPTION AND REPURCHASES 
 
Section 11.01. No Redemption By The Company. The Securities may not be redeemed by the Company prior to the Maturity Date. 
 
Section 11.02. Repurchase Of Securities At Option Of The Holder Upon Fundamental Change.

 

53 

 
(a)
General. 
 
(i) If at any
time prior to the Maturity Date there shall have occurred a Fundamental Change, Securities shall be purchased by the Company at the option of the Holder, in whole or in part, as of the date that is 30 days after the date of the mailing of the
Fundamental Change Company Notice under Section 11.02(b) (the “Fundamental Change Repurchase Date”) at a purchase price equal to 100% of the principal amount of the Securities to be repurchased (the “Fundamental Change
Repurchase Price”), subject to satisfaction by or on behalf of any Holder of the requirements set forth in Section 11.02(c). 
 
(ii) Notwithstanding the foregoing provisions, the Company shall not be required to repurchase the Securities of the
Holders pursuant to this Section 11.02 if the Sale Price per share of Common Stock for any five Trading Days within the period of 10 consecutive Trading Days ending immediately after the later of the Fundamental Change or the public announcement of
the Fundamental Change equals or exceeds 105% of the Conversion Price of the Securities in effect on each of those five Trading Days. 
 
A “Fundamental Change” is any transaction or event (whether by means of an exchange offer, liquidation, tender offer,
consolidation, merger, combination, reclassification, recapitalization or otherwise) in connection with which all or substantially all of the Common Stock is exchanged for, converted into, acquired for or constitutes solely the right to receive,
consideration which is not all or substantially all common stock or American Depositary Shares that (i) is listed on, or immediately after the transaction or event will be listed on, a United States national securities exchange, or (ii) is approved,
or immediately after the transaction or event will be approved, for quotation on the Nasdaq National Market or any similar United States system of automated dissemination of quotations of securities prices. 
 
(b) Notice of Fundamental Change. Within 30 days after
the occurrence of a Fundamental Change, the Company shall mail a written notice of Fundamental Change (the “Fundamental Change Company Notice”) by first-class mail to the Trustee and to each Holder (and to beneficial owners as
required by applicable law). The notice shall include a form of Fundamental Change Repurchase Notice to be completed by the Securityholder and shall state: 
 
(i) the events causing a Fundamental Change and the date of such Fundamental Change; 
 
(ii) that the Holder has a right to require
the Company to repurchase the Holder’s Securities; 
 
(iii) the date by which the Fundamental Change Repurchase Notice pursuant to this Section 11.02 must be delivered to the Paying Agent in order for a Holder to exercise the Fundamental Change repurchase right; 
 
(iv) the Fundamental Change Repurchase Date;

 
(v) the Fundamental Change
Repurchase Price; 
 

54 

 
(vi) the name and address of the Paying Agent and the Conversion Agent; 
 
(vii) the Conversion Price applicable on the Fundamental Change Company Notice Date; 
 
(viii) that Securities as to which a
Fundamental Change Repurchase Notice has been given may be converted pursuant to Article 13 hereof only if the Fundamental Change Repurchase Notice has been withdrawn in accordance with the terms of this Indenture; 
 
(ix) that Securities must be surrendered to
the Paying Agent for cancellation to collect payment; 
 
(x) that the Fundamental Change Repurchase Price for any Security as to which a Fundamental Change Repurchase Notice has been duly given and not withdrawn will be paid promptly following the later of the Fundamental Change
Repurchase Date and the time of surrender of such Security as described in (xiii); 
 
(xi) the procedures the Holder must follow to exercise rights under this Section 11.02; 
 
(xii) the conversion rights, if any, of the
Securities; 
 
(xiii) the
procedures for withdrawing a Fundamental Change Repurchase Notice; and 
 
(xiv) the CUSIP number of the Securities. 
 
At the Company’s request, the Trustee shall give such Fundamental Change Company Notice in the Company’s name and at the Company’s expense; provided, however, that, in all cases,
the text of such Fundamental Change Company Notice shall be prepared by the Company. 
 
(c) Fundamental Change Repurchase Notice. A Holder may exercise its right specified in Section 11.02(a) upon delivery of a written notice of repurchase (a “Fundamental Change Repurchase
Notice”), substantially in the form of Exhibit B hereto, at any time from the opening of business on the date of the Fundamental Change Company Notice until the close of business on the Fundamental Change Repurchase Date,
stating: 
 
(i) the certificate
number of the Security which the Holder will deliver to be repurchased; 
 
(ii) the portion of the Principal Amount of the Security which the Holder will deliver to be repurchased, which portion must be in a Principal Amount of $1,000 or an integral multiple thereof; and

 

55 

 
(iii) that such Security shall be repurchased with respect to the Fundamental Change Repurchase Date pursuant to the terms and conditions specified in the Securities and in this Indenture. 
 
The delivery of such Security to the Paying Agent with, or at
any time after delivery of, the Fundamental Change Repurchase Notice (together with all necessary endorsements) at the offices of the Paying Agent shall be a condition to the receipt by the Holder of the Fundamental Change Repurchase Price therefor;
provided, however, that such Fundamental Change Repurchase Price shall be so paid pursuant to this Section 11.02 only if the Security so delivered to the Paying Agent shall conform in all respects to the description thereof set forth in the
related Fundamental Change Repurchase Notice. 
 
The Company shall repurchase from the Holder thereof, pursuant to this Section 11.02, a portion of a Security, so long as the Principal Amount of such portion is $1,000 or an integral multiple thereof. Provisions of this Indenture
that apply to the repurchase of all of a Security also apply to the repurchase of such portion of such Security. 
 
Any repurchase by the Company contemplated pursuant to the provisions of this Section 11.02 shall be consummated by the delivery of the
consideration to be received by the Holder promptly following the later of the Fundamental Change Repurchase Date and the time of delivery of the Security; provided, however, that if the Fundamental Change Repurchase Notice is delivered after
a date which is 2 Business Days prior to the Fundamental Change Repurchase Date, such payment may be made as promptly after such Fundamental Change Repurchase Date as is practicable. 
 
Notwithstanding anything contained herein to the contrary, any Holder delivering to the Paying Agent the
Fundamental Change Repurchase Notice contemplated by this Section 11.02(c) shall have the right to withdraw such Fundamental Change Repurchase Notice at any time prior to the close of business on the Business Day immediately preceding the
Fundamental Change Repurchase Date by delivery of a written notice of withdrawal to the Paying Agent in accordance with Section 11.03. 
 
The Paying Agent shall promptly notify the Company of the receipt by it of any Fundamental Change Repurchase Notice or written notice of
withdrawal thereof. 
 
Section 11.03.
Effect Of Fundamental Change Repurchase Notice. Upon receipt by the Paying Agent of the Fundamental Change Repurchase Notice specified in Section 11.02(c), the Holder of the Security in respect of which such Fundamental Change Repurchase Notice
was given shall (unless such Fundamental Change Repurchase Notice is withdrawn as specified in the following two paragraphs) thereafter be entitled to receive solely the Fundamental Change Repurchase Price with respect to such Security. Such
Fundamental Change Repurchase Price shall be paid to such Holder, subject to receipt of funds by the Paying Agent, promptly following the later of (x) the Fundamental Change Repurchase Date with respect to such Security (provided the conditions in
Section 11.02(c) have been satisfied) and (y) the time of delivery of such Security to the Paying Agent by the Holder thereof in the manner required by Section 11.02(c). Securities in respect of which a Fundamental Change Repurchase Notice has been
given by the Holder thereof may not be converted pursuant to Article 13 hereof on or after the date of the 
 

56 

delivery of such Fundamental Change Repurchase Notice unless such Fundamental Change Repurchase Notice has first been validly withdrawn as
specified in the following two paragraphs. 
 
A
Fundamental Change Repurchase Notice may be withdrawn by means of a written notice of withdrawal delivered to the office of the Paying Agent in accordance with the procedures set forth in the Fundamental Change Company Notice at any time prior to
the close of business on the Business Day prior to the Fundamental Change Repurchase Date specifying: 
 
(i) the certificate number of the Security in respect of which such notice of withdrawal is being submitted; 
 
(ii) the Principal Amount of the Security
with respect to which such notice of withdrawal is being submitted; and 
 
(iii) the Principal Amount, if any, of such Security which remains subject to the original Fundamental Change Repurchase Notice and which has been or will be delivered for repurchase by the Company.

 
There shall be no purchase of any Securities
pursuant to Section 11.02 if there has occurred (prior to, on or after, as the case may be, the giving, by the Holders of such Securities, of the required Fundamental Change Repurchase Notice) and is continuing an Event of Default (other than a
default in the payment of the Fundamental Change Repurchase Price with respect to such Securities). The Paying Agent will promptly return to the respective Holders of any Securities (x) with respect to which a Fundamental Change Repurchase Notice
has been withdrawn in compliance with this Indenture, or (y) held by it during the continuance of an Event of Default (other than a default in the payment of the Fundamental Change Repurchase Price with respect to such Securities) in which case,
upon such return, the Fundamental Change Repurchase Notice with respect thereto shall be deemed to have been withdrawn. 
 
Section 11.04. Deposit Of Fundamental Change Repurchase Price. Prior to 10:00 a.m. (New York City time) on the Business Day
following the Fundamental Change Repurchase Date, the Company shall deposit with the Trustee or with the Paying Agent (or if the Company or a Subsidiary or an Affiliate of any of them is acting as the Paying Agent, shall segregate and hold in trust
as provided herein) an amount of cash (in immediately available funds if deposited on such Business Day) sufficient to pay the aggregate Fundamental Change Repurchase Price of all the Securities or portions thereof which are to be repurchased on
such Fundamental Change Repurchase Date. 
 
If the
Paying Agent holds, in accordance with the terms hereof, at 10:00 a.m. (New York City time) on the Business Day immediately following the applicable Fundamental Change Repurchase Date, cash sufficient to pay the Fundamental Change Repurchase Price
of any Securities for which a Fundamental Change Repurchase Notice has been tendered and not withdrawn pursuant to Section 11.03, then, immediately after such Fundamental Change Repurchase Date, such Securities will cease to be outstanding, and the
rights of the Holders in respect thereof shall terminate (other than the right to receive the Fundamental Change Repurchase Price upon delivery of such Securities). 
 

57 

 
Section
11.05. Securities Repurchased In Part. Any Security which is to be repurchased only in part shall be surrendered at the office of the Paying Agent (with, if the Company or the Trustee so requires, due endorsement by, or a written
instrument of transfer in form satisfactory to the Company and the Trustee duly executed by, the Holder thereof or such Holder’s attorney duly authorized in writing) and the Company shall execute and the Trustee shall authenticate and deliver
to the Holder of such Security, without service charge, a new Security or Securities, of any authorized denomination as requested by such Holder in aggregate Principal Amount equal to, and in exchange for, the portion of the Principal Amount of the
Security so surrendered which is not purchased. 
 
Section 11.06. Covenant To Comply With Securities Laws Upon Repurchase Of Securities. In connection with any offer to repurchase Securities under Section 11.02 hereof (provided that such offer or repurchase constitutes
an “issuer tender offer” for purposes of Rule 13e-4 (which term, as used herein, includes any successor provision thereto) under the Exchange Act at the time of such offer or purchase), and subject to any exemptions under applicable law,
the Company shall (i) comply with Rule 13e-4 and Rule 14e-1 (or any successor provision) under the Exchange Act, (ii) file the related Schedule TO (or any successor schedule, form or report) under the Exchange Act, and (iii) otherwise comply with
all Federal and state securities laws so as to permit the rights and obligations under Section 11.02 to be exercised in the time and in the manner specified in Section 11.02. 
 
To the extent that the provisions of any securities laws or regulations conflict with the provisions of this
Article 11, the Company’s compliance with such laws and regulations including the extension of the payment or notice periods contemplated by this Article, shall not in and of itself cause a breach of their obligations under this Article 11.

 
Section 11.07. Repayment To The
Company. The Trustee and the Paying Agent shall return to the Company any cash that remains unclaimed, together with interest, if any, thereon, held by them for the payment of the Fundamental Change Repurchase Price; provided,
however, that to the extent that the aggregate amount of cash deposited by the Company pursuant to Section 11.04 exceeds the aggregate Fundamental Change Repurchase Price of the Securities or portions thereof which the Company is obligated to
purchase as of the Fundamental Change Repurchase Date then on the Business Day following Fundamental Change Repurchase Date the Trustee or the Paying Agent, as the case may be, shall return any such excess to the Company. 
 
ARTICLE 12 
 
PAYMENTS OF ADDITIONAL INTEREST AMOUNTS ON THE SECURITIES

 
Section 12.01. Payment Of Additional
Interest Amounts; Interest Rights Preserved. (a) Accrued but unpaid Additional Interest Amounts, if any, on any Security that is payable, and is punctually paid or duly provided for, on any Additional Interest Payment Date shall be paid to the
Person in whose name that Security is registered at the close of business on the Regular Record Date for such interest at the office or agency of the Company maintained for such purpose. Each installment of Additional Interest Amounts, if any, on
any Security shall be made by check mailed to the address of the Holder specified in the register of Securities, or, at the option of the Holder, at the Corporate Trust Office, in such lawful money of the United States of 
 

58 

America as at the time of payment shall be legal tender for the payment of public and private debts; provided, however, that, with
respect to any Holder of Securities with an aggregate principal amount in excess of $5,000,000, at the request of such Holder in writing to the Company, Additional Interest Amounts, if any, on such Holder’s Securities shall be paid by wire
transfer in immediately available funds in accordance with the written wire transfer instruction supplied by such Holder from time to time to the Trustee and Paying Agent (if different from the Trustee) at least two days prior to the applicable
Regular Record Date. In the case of a permanent Global Security, interest payable on any Additional Interest Payment Date will be paid to the Depositary, with respect to that portion of such permanent Global Security held for its account by Cede
& Co. for the purpose of permitting such party to credit the interest received by it in respect of such permanent Global Security to the accounts of the beneficial owners thereof. 
 
ARTICLE 13 
 
CONVERSION 
 
Section 13.01. Right To Convert. (a) Subject to and upon compliance with the provisions of this Indenture, each Holder shall
have the right, at such Holder’s option, at any time following the Issue Date of the Securities hereunder through the close of business on the Final Maturity Date to convert the Principal Amount of any such Securities, or any portion of such
Principal Amount which is $1,000 or an integral multiple thereof at the Conversion Price then in effect, if: 
 
(i) during any fiscal quarter (beginning with the third fiscal quarter of 2003) the Sale Price of the Common Stock for at
least 20 Trading Days in the 30 Trading Day period ending on the last Trading Day of the immediately preceding fiscal quarter exceeds 110% of the Conversion Price in effect as of the 30th Trading Day of that period; or 
 
(ii) during the period beginning January 1, 2008 through the Final Maturity Date, the Sale Price of the Common Stock on
the immediately preceding Trading Day was 110% or more of the then current Conversion Price; or 
 
(iii) as provided in Section 13.01(b). 
 
(b) In addition, in the event that: 
 
(i) (A) the Company distributes to holders of Common Stock rights entitling them to purchase
Common Stock at less than the average Sale Price of the Common Stock for the 10 Trading Days immediately preceding the declaration for such distribution; or 
 
(B) the Company distributes to holders of Common Stock cash or other assets, debt securities or certain rights to purchase
the Company’s securities, which distribution has a per share value as determined by the Board of Directors of the Company exceeding 15% of the Sale Price of the Common Stock on the Business Day immediately preceding the declaration for such
distribution; 
 

59 

then, in each case, the Company must notify, in writing, Holders of Securities of the occurrence of such an event at least 20 days prior to
the Ex-Dividend Date for any such distribution. Once the Company has given such notice, Holders may surrender their Securities for conversion at any time until the earlier of the close of business on the Business Day immediately preceding the
Ex-Dividend Date or the date of announcement by the Company that the distribution will not take place. No adjustment shall be made to the ability of a Holder of Securities to convert if such Holder may participate in the distribution without
conversion. 
 
(ii) the Company
becomes party to a consolidation, merger or binding share exchange pursuant to which the Common Stock of the Company would be converted into cash, securities or other property, a Holder may surrender the Securities for conversion at any time from
and after the date which is 15 days prior to the anticipated effective date of the transaction until 15 days after the actual date of the transaction. If the Company becomes party to a consolidation, merger or binding share exchange pursuant to
which the Common Stock of the Company would be converted into cash, securities or other property, then at the effective time of the transaction, the right to convert the Securities into Common Stock shall be changed into a right to convert such
Securities into the kind and amount of cash, securities or other property which the Holder would have received if the Holder had converted such Securities immediately prior to the transaction. If the transaction also constitutes a Fundamental
Change, the Holder shall have the rights set forth in Article 11 above. 
 
(c) Notwithstanding the foregoing, a Security in respect of which a Holder has delivered a Fundamental Change Repurchase Notice exercising such Holder’s option to require the Company to repurchase such Security may be
converted only if such notice of exercise is withdrawn in accordance with Article 11 hereof prior to the close of business on the Business Day immediately preceding the Fundamental Change Repurchase Date, as the case may be. 
 
Section 13.02. Conversion Procedure. (a) Each
Security shall be convertible at the office of the Conversion Agent into fully paid and nonassessable shares (calculated to the nearest 1/100th of a share) of Common Stock. The Security will be converted into shares of Common Stock at the Conversion
Price therefor. 
 
(b) In order to exercise the
conversion privilege with respect to any Securities in certificated form, the Holder of any such Securities to be converted, in whole or in part, shall: 
 
(i) complete and manually sign the conversion notice provided on the back of the Security (the “Conversion
Notice”) and deliver such notice to a Conversion Agent; 
 
(ii) surrender the Security to a Conversion Agent; 
 
(iii) furnish appropriate endorsements and transfer documents, if required; and 
 
(iv) pay any transfer or similar tax, if
required. 
 
The date on which the Holder satisfies all of the
requirements set forth in (i) through (iv) above is the “Conversion Date.” Such notice shall also state the name or names (with address or 
 

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addresses) in which the certificate or certificates for shares of Common Stock which shall be issuable on such conversion shall be issued.
All such Securities surrendered for conversion shall, unless the shares issuable on conversion are to be issued in the same name as the registration of such Securities, be duly endorsed by, or be accompanied by instruments of transfer in form
satisfactory to the Company duly executed by, the Holder or his duly authorized attorney. 
 
In order to exercise the conversion privilege with respect to any interest in Securities in global form, the Holder must complete the appropriate instruction form for conversion pursuant to the
Depositary’s book-entry conversion program, furnish appropriate endorsements and transfer documents if required by the Company or the Trustee or Conversion Agent, and pay the funds, if any, required by this Section 13.02 and any transfer taxes
if required pursuant to Section 13.06. 
 
(c) As
promptly as practicable after satisfaction of the requirements for conversion set forth above (but in no event later than 3 Business Days after the Conversion Date), subject to compliance with any restrictions on transfer if shares issuable on
conversion are to be issued in a name other than that of the Holder (as if such transfer were a transfer of the Securities (or portion thereof) so converted), the Company shall issue and shall deliver to such Holder at the office of the Conversion
Agent, a certificate or certificates for the number of full shares of Common Stock issuable upon the conversion of such Securities or portion thereof in accordance with the provisions of this Article and a check or cash in respect of any fractional
interest in respect of a share of Common Stock arising upon such conversion, as provided in Section 13.03. In case any Securities of a denomination greater than $1,000 shall be surrendered for partial conversion, the Company shall execute and the
Trustee shall authenticate and deliver to the Holder of the Securities so surrendered, without charge to him, new Securities in authorized denominations in an aggregate principal amount equal to the unconverted portion of the surrendered Securities.

 
Each conversion shall be deemed to have been
effected as to any such Securities (or portion thereof) on the date on which the requirements set forth above in this Section 13.02 have been satisfied as to such Securities (or portion thereof), and the person in whose name any certificate or
certificates for shares of Common Stock shall be issuable upon such conversion shall be deemed to have become on said date the Holder of record of the shares represented thereby; provided, however, that in case of any such surrender on
any date when the stock transfer books of the Company shall be closed, the person or persons in whose name the certificate or certificates for such shares are to be issued shall be deemed to have become the record Holder thereof for all purposes on
the next day on which such stock transfer books are open, but such conversion shall be at the Conversion Price in effect on the date upon which such Securities shall be surrendered. 
 
(d) Upon the conversion of an interest in Global Securities, the Trustee (or other Conversion Agent appointed
by the Company) shall make a notation on such Global Securities as to the reduction in the Principal Amount represented thereby. The Company shall notify the Trustee in writing of any conversions of Securities effected through any Conversion Agent
other than the Trustee. 
 

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(e) Each stock
certificate representing Common Stock issued upon conversion of the Securities that are Restricted Securities shall bear the legend in substantially the form of Exhibit C hereto. 
 
Section 13.03. Cash Payments In Lieu Of Fractional
Shares. The Company will not issue fractional shares of Common Stock upon conversion of Securities. If multiple Securities shall be surrendered for conversion at one time by the same Holder, the number of full shares which shall be issuable upon
conversion shall be computed on the basis of the aggregate Principal Amount of the Securities (or specified portions thereof to the extent permitted hereby) so surrendered. If any fractional share of stock would be issuable upon the conversion of
any Securities, the Company shall make payment therefor in cash equal to the fraction of a share of Common Stock otherwise issuable multiplied by the Current Market Price (as defined in Section 13.04(g)) to the Holder of Securities. 
 
Section 13.04. Adjustment Of Conversion Price.
The Conversion Price shall be adjusted from time to time by the Company as follows: 
 
(a) In case the Company shall, at any time or from time to time while any of the Securities are outstanding, pay a dividend or make a distribution in shares of Common Stock to all holders of its
outstanding shares of Common Stock, then the Conversion Price in effect at the opening of business on the date following the date fixed for the determination of stockholders entitled to receive such dividend or other distribution shall be adjusted
by multiplying such Conversion Price by a fraction, (i) the numerator of which shall be the number of shares of Common Stock outstanding at the close of business on the date fixed for such determination, and (ii) the denominator of which shall be
the sum of such number of shares and the total number of shares constituting such dividend or other distribution. Such reduction becomes effective immediately after the opening of business on the day following the date fixed for such determination.
If any dividend or distribution of the type described in this Section 13.04(a) is declared but not so paid or made, the Conversion Price shall again be adjusted to the Conversion Price which would then be in effect if such dividend or distribution
had not been declared. 
 
(b) In case the Company
shall, at any time or from time to time while any of the Securities are outstanding, issue to all holders of its outstanding shares of Common Stock rights or warrants entitling them (for a period of not more than 60 days after such issuance) to
subscribe for or purchase shares of Common Stock (or securities convertible into or exchangeable or exercisable for Common Stock) at a price per share (or having a conversion, exchange or exercise price per share) less than the Sale Price of Common
Stock on the Business Day immediately preceding the date of announcement of such issuance, the Conversion Price shall be adjusted so that the same shall equal the price determined by multiplying the Conversion Price in effect at the opening of
business on the date of such announcement by a fraction, (i) the numerator of which shall be the number of shares of Common Stock outstanding at the close of business on the date of announcement, plus the number of shares which the aggregate
offering price of the total number of shares so offered would purchase at such Sale Price of Common stock on the Business Day immediately preceding the date of announcement of such issuance determined by multiplying such total number of shares so
offered by the exercise price of such rights or warrants and dividing the product so obtained by such Sale Price, and (ii) the denominator of which shall be the number of shares of Common Stock outstanding at the close 
 

62 

of business on the date of announcement plus the total number of additional shares of Common Stock offered for subscription or purchase or
into which convertible, exchangeable or exercisable, securities so offered are convertible, exchangeable or exercisable. 
 
Such adjustment shall become effective immediately after the opening of business on the day following the date of announcement of such
issuance. 
 
To the extent that shares of Common
Stock (or securities convertible into or exchangeable or exercisable for shares of Common Stock) are not delivered pursuant to such rights or warrants, upon the expiration or termination of such rights or warrants, the Conversion Price shall be
readjusted to the Conversion Price which would then be in effect had the adjustments made upon the issuance of such rights or warrants been made on the basis of the delivery of only the number of shares of Common Stock (or securities convertible
into or exchangeable or exercisable for shares of Common Stock) actually delivered. In the event that such rights or warrants are not so issued, the Conversion Price shall again be adjusted to be the Conversion Price which would then be in effect if
the date fixed for the determination of stockholders entitled to receive such rights or warrants had not been fixed. In determining whether any rights or warrants entitle the holders to subscribe for or purchase shares of Common Stock at less than
such Sale Price, and in determining the aggregate offering price of such shares of Common Stock, there shall be taken into account any consideration received for such rights or warrants and the value of such consideration, if other than cash, to be
determined in good faith by the Board of Directors of the Company. 
 
(c) In case the Company shall, at any time or from time to time while any of the Securities are outstanding, subdivide its outstanding shares of Common Stock into a greater number of shares of Common Stock, then the
Conversion Price in effect at the opening of business on the day following the day upon which such subdivision becomes effective shall be proportionately decreased, and conversely, in case the Company shall, at any time or from time to time while
any of the Securities are outstanding, combine its outstanding shares of Common Stock into a smaller number of shares of Common Stock, then the Conversion Price in effect at the opening of business on the day following the day upon which such
combination becomes effective shall be proportionately increased. In each such case, the Conversion Price shall be adjusted by multiplying such Conversion Price by a fraction, the numerator of which shall be the number of shares of Common Stock
outstanding immediately prior to such subdivision or combination and the denominator of which shall be the number of shares of Common Stock outstanding immediately after giving effect to such subdivision or combination. Such decrease or increase, as
the case may be, shall become effective immediately after the opening of business on the day following the day upon which such subdivision or combination becomes effective. 
 
(d) (i) In case the Company shall, at any time or from time to time while the Securities are outstanding, by
dividend or otherwise, distribute to all holders of its Common Stock shares of any class of capital stock of the Company (other than any dividends or distributions to which Section 13.04(a) applies) or evidences of its indebtedness or assets
(including securities, but excluding any rights or warrants referred to in Section 13.04(b), and excluding any dividend or distribution (x) paid exclusively in cash or (y) referred to in Section 13.04(a)) (any of the foregoing hereinafter in this
Section 13.04(d)) called the “Distributed Securities”), then, in each such case, the Conversion Price shall be reduced so that the same shall be equal to the price 
 

63 

determined by multiplying the Conversion Price in effect on the Record Date with respect to such distribution by a fraction: 
 
(A) the numerator of which shall be the
Current Market Price per share of the Common Stock on such Record Date less the fair market value (as determined by the Board of Directors, whose good faith determination shall be conclusive, and described in a resolution of the Board of Directors)
on the Record Date of the portion of the Distributed Securities so distributed applicable to one share of Common Stock, and 
 
(B) the denominator of which shall be the Current Market Price per share of the Common Stock. 
 
Such reduction shall become effective immediately prior to the
opening of business on the day following the Record Date for such distribution. If the Board of Directors determines the fair market value of any distribution for purposes of this Section 13.04(d) by reference to the actual or when issued trading
market for any securities, it must in doing so consider the prices in such market over the same period used in computing the Current Market Price of the Common Stock. 
 
Each share of Common Stock issued upon conversion of securities pursuant to this Article 13 shall be entitled
to receive the appropriate number of common stock or preferred stock purchase rights, if any, as may be provided by the terms of any stockholder rights plan adopted by the Company (notwithstanding the occurrence of an event causing such rights to
separate from the Common Stock at or prior to the time of conversion). Any distribution of rights or warrants pursuant to a stockholder rights plan complying with the requirements set forth in the immediately preceding sentence of this paragraph
shall not constitute a distribution of rights or warrants for the purposes of Section 13.04(b) or this Section 13.04(d). 
 
(ii) For the purposes of this Section 13.04(d), Rights or warrants distributed by the Company to all holders of its Common
Stock entitling them to subscribe for or purchase shares of the Company’s capital stock (either initially or under certain circumstances), which rights or warrants, until the occurrence of a specified event or events (“Trigger
Event”): (A) are deemed to be transferred with such shares of Common Stock; (B) are not exercisable; and (C) are also issued in respect of future issuances of Common Stock, shall be deemed not to have been distributed for purposes of this
Section 13.04(d) (and no adjustment to the Conversion Price under this Section 13.04(d) will be required) until the occurrence of the earliest Trigger Event, whereupon such rights and warrants shall be deemed to have been distributed and an
appropriate adjustment (if any is required) to the Conversion Price shall be made under this Section 13.04(d). If any such right or warrant, including any such existing rights or warrants distributed prior to the date of this Indenture, are subject
to events, upon the occurrence of which such rights or warrants become exercisable to purchase different securities, evidences of indebtedness or other assets, then the date of the occurrence of any and each such event shall be deemed to be the date
of distribution and record date with respect to new rights or warrants with such rights (and a termination or expiration of the existing rights or warrants without exercise by any of the holders thereof). In addition, in the event of any

 

64 

distribution (or deemed distribution) of rights or warrants, or any Trigger Event or other event (of the type described in the preceding
sentence) with respect thereto that was counted for purposes of calculating a distribution amount for which an adjustment to the Conversion Price under this Section 13.04(d) was made, (1) in the case of any such rights or warrants which shall all
have been redeemed or repurchased without exercise by any Holders thereof, the Conversion Price shall be readjusted upon such final redemption or repurchase to give effect to such distribution or Trigger Event, as the case may be, as though it were
a cash distribution, equal to the per share redemption or repurchase price received by a holder of Common Stock with respect to such rights or warrants (assuming such holder had retained such rights or warrants), made to all applicable holders of
Common Stock as of the date of such redemption or repurchase, and (2) in the case of such rights or warrants which shall have expired or been terminated without exercise by any holders thereof, the Conversion Price shall be readjusted as if such
rights and warrants had not been issued. 
 
(iii) For purposes of this Section 13.04(d) and Section 13.04(a), 13.04(b), and 13.04(c), any dividend or distribution to which this Section 13.04(d) is applicable that also includes (x) shares of Common Stock, (y) rights or warrants
to subscribe for or purchase shares of Common Stock or securities convertible into or exercisable or exchangeable for Common Stock to which Section 13.04(b) applies (or any combination thereof), or (z) a subdivision or combination of shares of
Common Stock to which Section 13.04(c) applies or shall be deemed instead to be: 
 
(A) a dividend or distribution of the evidences of indebtedness, assets, shares of capital stock, rights or warrants,
other than such shares of Common Stock, such rights or warrants or securities convertible into or exercisable or exchangeable for Common Stock or such subdivision or combination to which Section 13.04(a), 13.04(b), and 13.04(c) apply, respectively
(and any Conversion Price reduction required by this Section 13.04(d) with respect to such dividend or distribution shall then be made), immediately followed by, 
 
(B) a dividend or distribution of such shares of Common Stock, such rights or warrants or
securities convertible into or exercisable or exchangeable for Common Stock or such subdivision or combination (and any further Conversion Price reduction required by Section 13.04(a), 13.04(b), and 13.04(c) with respect to such dividend or
distribution shall then be made), except: 
 
(1) the Record Date of such dividend or distribution shall be substituted as (x) “the date fixed for the determination of stockholders entitled to receive such dividend or other distribution,” and “the date fixed for
such determination” within the meaning of Section 13.04(a), (y) “the date fixed for the determination of stockholders entitled to receive such rights or warrants,” within the meaning of Section 13.04(b) and (z) “the day upon
which such subdivision becomes effective” and “the day upon which such combination becomes effective” within the meaning of Section 13.04(c); and 
 

65 

 
(2) any shares of Common Stock included in such dividend or distribution shall not be deemed “outstanding at the close of business on the date fixed for such determination” within the meaning of Section 13.04(a) and any
reduction or increase in the number of shares of Common Stock resulting from such subdivision or combination shall be disregarded in connection with such dividend or distribution. 
 
(e) In case the Company shall, at any time or from time to time while any of the Securities are outstanding,
by dividend or otherwise, distribute to all holders of its shares of Common Stock, cash (excluding any cash that is distributed upon a merger or consolidation to which Section 13.05 applies or as part of a distribution referred to in Section
13.04(d)), in an aggregate amount that, combined together with: 
 
(i) the aggregate amount of any other such distributions to all holders of shares of Common Stock made exclusively in cash within the 12 months preceding the date of payment of such distribution, and
in respect of which no adjustment pursuant to this Section 13.04(e) has been made; and 
 
(ii) the aggregate amount of any cash, plus the fair market value (as determined by the Board of Directors of the Company,
whose good faith determination shall be conclusive and described in a resolution of the Board of Directors of the Company) of other consideration paid in respect of any tender offer by the Company or any of its subsidiaries for all or any portion of
the shares of Common Stock concluded within the 12 months preceding the date of payment of such distribution, and in respect of which no adjustment pursuant to Section 13.04(f) has been made; 
 
exceeds 15% of the product of the Sale Price of the Common Stock on the Record
Date with respect to such distribution, times the number of shares of Common Stock outstanding on such date (such excess over 15%, the “Excess Amount”), then, and in each case, immediately after the close of business on such date,
the Conversion Price shall be adjusted so that the same shall equal the rate determined by multiplying the Conversion Price in effect immediately prior to the close of business of such Record Date by a fraction: 
 
(A) the numerator of which shall be equal to
the Current Market Price on the Record Date, less an amount equal to the quotient of (y) the Excess Amount and (z) the number of shares of Common Stock outstanding on the Record Date; and 
 
(B) the denominator of which shall be equal to the Current Market Price on such date.

 
(f) In case a tender offer made by the Company
or any of its subsidiaries for all or any portion of the Common Stock shall expire and such tender offer (as amended upon the expiration thereof) shall require the payment to stockholders (based on the acceptance (up to any maximum specified in the
terms of the tender offer) of Purchased Shares (as defined below)) of an aggregate consideration having a fair market value (as determined by the Board of Directors, 
 

66 

whose good faith determination shall be conclusive and described in a resolution of the Board of Directors) that combined together with:

 
(i) the aggregate of the cash plus the fair
market value (as determined by the Board of Directors, whose good faith determination shall be conclusive and described in a resolution of the Board of Directors), as of the expiration of such tender offer, of any other consideration payable in
respect of any other tender offers, by the Company or any of its subsidiaries for all or any portion of the Common Stock expiring within the 12 months preceding the expiration of such tender offer and in respect of which no adjustment pursuant to
this Section 13.04(f) has been made, and 
 
(ii)
the aggregate amount of any distributions to all holders of shares of Common Stock made exclusively in cash within 12 months preceding the expiration of such tender offer and in respect of which no adjustment pursuant to Section 13.04(e) has been
made; 
 
exceeds 15% of the product of the Sale Price of the Common
Stock as of the last time (the “Expiration Time”) tenders could have been made pursuant to such tender offer (as it may be amended), times the number of shares of Common Stock outstanding (including any tendered shares) at the
Expiration Time, then, and in each such case, immediately prior to the opening of business on the day after the date of the Expiration Time, the Conversion Price shall be adjusted so that the same shall equal the price determined by multiplying the
Conversion Price in effect immediately prior to close of business on the date of the Expiration Time by a fraction (A) the numerator of which shall be the product of (1) the number of shares of Common Stock outstanding (including any tendered
shares) at the Expiration Time and (2) the Current Market Price of the Common Stock on the Trading Day next succeeding the Expiration Time, and (B) the denominator of which shall be the sum of (x) the fair market value (determined as aforesaid) of
the aggregate consideration payable to stockholders based on the acceptance (up to any maximum specified in the terms of the tender offer) of all shares validly tendered and not withdrawn as of the Expiration Time (the shares deemed so accepted, up
to any such maximum, being referred to as the “Purchased Shares”) and (y) the product of the number of shares of Common Stock outstanding (less any Purchased Shares) at the Expiration Time and the Current Market Price of the Common
Stock on the Trading Day next succeeding the Expiration Time. Such reduction (if any) shall become effective immediately prior to the opening of business on the Business Day following the Expiration Time. In the event that the Company is obligated
to purchase shares pursuant to any such tender offer, but the Company is permanently prevented by applicable law from effecting any such purchases or all such purchases are rescinded, the Conversion Price shall again be adjusted to be the Conversion
Price which would then be in effect if such tender offer had not been made. If the application of this Section 13.04(f) to any tender offer would result in an increase in the Conversion Price, no adjustment shall be made for such tender offer under
this Section 13.04(f). 
 
(g) For purposes of this
Section 13.04, the following terms shall have the meaning indicated: 
 
(1) “Current Market Price” on any date means the average of the Sales Prices per share of Common Stock for the 10 
 

67 

consecutive Trading Days immediately preceding the day before the record date (or, if earlier, the Ex-Dividend date) with respect to any
distribution, issuance or other event requiring such computation. 
 
(2) “fair market value” shall mean the amount which a willing buyer would pay a willing seller in an arm’s length transaction. 
 
(3) “Record Date” shall
mean, with respect to any dividend, distribution or other transaction or event in which the holders of Common Stock have the right to receive any cash, securities or other property or in which the Common Stock (or other applicable security) is
exchanged for or converted into any combination of cash, securities or other property, the date fixed for determination of stockholders entitled to receive such cash, securities or other property (whether such date is fixed by the Board of Directors
or by statute, contract or otherwise). 
 
(h) The
Company may make such decreases in the Conversion Price, in addition to any adjustments required by Section 13.04(a), 13.04(b), 13.04(c), 13.04(d), 13.04(e) or 13.04(f), as the Board of Directors considers to be advisable to avoid or diminish any
income tax to holders of Common Stock or rights to purchase Common Stock resulting from any dividend or distribution of stock (or rights to acquire stock) or from any event treated as such for income tax purposes. 
 
(i) To the extent permitted by applicable law, the Company
from time to time may decrease the Conversion Price by any amount for any period of time if the period is at least 20 days, the decrease is irrevocable during the period and the Board of Directors shall have made a determination that such decrease
would be in the best interests of the Company, which determination shall be conclusive. Whenever the Conversion Price is decreased pursuant to the preceding sentence, the Company shall mail to Holders of record of the Securities a notice of the
decrease at least 15 days prior to the date the decreased Conversion Price takes effect, and such notice shall state the decreased Conversion Price and the period during which it will be in effect. 
 
(j) No adjustment in the Conversion Price shall be required
unless such adjustment would require an increase or decrease of at least 1% in such price; provided, however, that any adjustments which by reason of this Section 13.04(j) are not required to be made shall be carried forward and taken
into account in any subsequent adjustment. All calculations under this Article 13 shall be made by the Company and shall be made to the nearest cent or to the nearest one-hundredth of a share, as the case may be. No adjustment need be made for
rights to purchase Common Stock pursuant to a Company plan for reinvestment of dividends or interest. To the extent the Securities become convertible into cash, assets, property or securities (other than capital stock of the Company), no adjustment
need be made thereafter as to the cash, assets, property or such securities. Interest will not accrue on the cash. 
 
(k) Whenever the Conversion Price is adjusted as herein provided, the Company shall promptly file with the Trustee and any Conversion
Agent an Officers’ Certificate setting forth the Conversion Price after such adjustment and setting forth a brief statement of the facts requiring such adjustment. Unless and until a Responsible Officer of the Trustee shall have 
 

68 

received such Officers’ Certificate, the Trustee shall not be deemed to have knowledge of any adjustment of the Conversion Price and may
assume without inquiry that the last Conversion Price of which it has knowledge is still in effect. Promptly after delivery of such certificate, the Company shall prepare a notice of such adjustment of the Conversion Price setting forth the adjusted
Conversion Price and the date on which each adjustment becomes effective and shall mail such notice of such adjustment of the Conversion Price to each Holder of Securities at such Holder’s last address appearing on the list of Security holders
provided for in Section 3.05 of this Indenture, within 20 days after execution thereof. Failure to deliver such notice shall not affect the legality or validity of any such adjustment. 
 
(l) In any case in which this Section 13.04 provides that an adjustment shall become effective immediately
after a Record Date for an event, the Company may defer until the occurrence of such event (i) issuing to the Holder of any Securities converted after such Record Date and before the occurrence of such event the additional shares of Common Stock
issuable upon such conversion by reason of the adjustment required by such event over and above the Common Stock issuable upon such conversion before giving effect to such adjustment and (ii) paying to such Holder any amount in cash in lieu of any
fraction pursuant to Section 13.03. 
 
(m) For
purposes of this Section 13.04, the number of shares of Common Stock at any time outstanding shall not include shares held in the treasury of the Company but shall include shares issuable in respect of scrip certificates issued in lieu of fractions
of shares of Common Stock so long as the Company does not pay any dividend or make any distribution on shares of Common Stock held in the treasury of the Company. 
 
(n) No adjustment to the Conversion Price shall be made pursuant to this Section 13.04 if the Holders of the
Securities may participate in the transaction that would otherwise give rise to an adjustment pursuant to this Section 13.04. 
 
Section 13.05. Effect Of Reclassification, Consolidation, Merger Or Sale. If any of the following events occur, namely:

 
(i) any reclassification or
change of shares of Common Stock issuable upon conversion of the Securities (other than a change in par value, or from par value to no par value, or from no par value to par value, or as a result of a subdivision or combination, or any other change
for which an adjustment is provided in Section 13.04(c)); 
 
(ii) any consolidation or merger or combination to which the Company is a party other than a merger in which the Company is the continuing corporation and which does not result in any reclassification
of, or change (other than in par value, or from par value to no par value, or from no par value to par value, or as a result of a subdivision or combination) in outstanding shares of Common Stock; or 
 
(iii) any sale or conveyance of all or
substantially all of the properties and assets of the Company to any other person as a result of which holders of Common Stock shall be entitled to receive stock, securities or other property or assets (including cash) with respect to or in exchange
for such Common Stock 
 

69 

then the Company or the successor or purchasing person, as the case may be, shall execute with the Trustee a supplemental indenture (which
shall comply with the Trust Indenture Act as in force at the date of execution of such supplemental indenture) providing that such Securities shall be convertible into the kind and amount of shares of stock, securities or other property or assets
(including cash) receivable upon such reclassification, change, consolidation, merger, combination, sale or conveyance by a holder of a number of shares of Common Stock issuable upon conversion of such Securities (assuming, for such purposes, a
sufficient number of authorized shares of Common Stock available to convert all such Securities) immediately prior to such reclassification, change, consolidation, merger, combination, sale or conveyance, assuming such holder of Common Stock did not
exercise his rights of election, if any, as to the kind or amount of securities, cash or other property receivable upon such reclassification, change, consolidation, merger, combination, sale or conveyance (provided that, if the kind or
amount of stock, securities or other property or assets (including cash) receivable upon such reclassification, change, consolidation, merger, combination, sale or conveyance is not the same for each share of Common Stock in respect of which such
rights of election shall not have been exercised (“nonelecting share”), then for the purposes of this Section 13.05, the kind and amount of stock, securities or other property or assets (including cash) receivable upon such
reclassification, change, consolidation, merger, combination, sale or conveyance for each non-electing share shall be deemed to be the kind and amount so receivable per share by a plurality of the non-electing shares). Such supplemental indenture
shall provide for adjustments which shall be as nearly equivalent as may be practicable to the adjustments provided for in this Article 13. If, in the case of any such reclassification, change, consolidation, merger, combination, sale or conveyance,
the stock, securities or other property or assets (including cash) receivable thereupon by a holder of Common Stock includes shares of stock, securities or other property or assets (including cash) of a corporation other than the successor or
purchasing corporation, as the case may be, in such reclassification, change, consolidation, merger, combination, sale or conveyance, then such supplemental indenture shall also be executed by such other corporation and shall contain such additional
provisions to protect the interests of the Holders of the Securities as the Board of Directors shall reasonably consider necessary by reason of the foregoing. 
 
The Company shall cause notice of the execution of such supplemental indenture to be mailed to each Holder, at the address of such Holder
as it appears on the register of the Securities maintained by the Registrar, within 20 days after execution thereof. Failure to deliver such notice shall not affect the legality or validity of such supplemental indenture. The above provisions of
this Section shall similarly apply to successive reclassifications, changes, consolidations, mergers, combinations, sales and conveyances. If this Section 13.05 applies to any event or occurrence, Section 13.04 shall not apply. 
 
Section 13.06. Taxes On Shares Issued. The issue
of stock certificates on conversions of Securities shall be made without charge to the converting Holder for any documentary, transfer, stamp or any similar tax in respect of the issue thereof, and the Company shall pay any and all documentary,
stamp or similar issue or transfer taxes that may be payable in respect of the issue or delivery of shares of Common Stock on conversion of Securities pursuant hereto. The Company shall not, however, be required to pay any such tax which may be
payable in respect of any transfer involved in the issue and delivery of stock in any name other than that of the Holder of any Securities converted, and the Company shall not be required to issue or deliver any such 
 

70 

stock certificate unless and until the person or persons requesting the issue thereof shall have paid to the Company the amount of such tax
or shall have established to the satisfaction of the Company that such tax has been paid. 
 
Section 13.07. Reservation Of Shares; Shares To Be Fully Paid; Compliance With Governmental Requirements; Listing Of Common Stock. The Company shall provide, free from preemptive rights,
out of its authorized but unissued shares or shares held in treasury, sufficient shares of Common Stock to provide for the conversion of the Securities from time to time as such Securities are presented for conversion (assuming that, at the time of
the computation of such number of shares or securities, all such Securities would be held by a single Holder). 
 
Before taking any action that would cause an adjustment reducing the Conversion Price below the then par value, if any, of the shares of
Common Stock issuable upon conversion of the Securities, the Company will take all corporate action which may, in the opinion of its counsel, be necessary in order that the Company may validly and legally issue shares of such Common Stock at such
adjusted Conversion Price. 
 
The Company covenants
that all shares of Common Stock that may be issued upon conversion of Securities shall be newly issued shares or treasury shares, shall be duly authorized, validly issued, fully paid and non-assessable and shall be free from preemptive rights and
free from any lien or adverse claim. 
 
The Company
shall use its reasonable efforts to list or cause to have quoted any shares of Common Stock to be issued upon conversion of Securities on each national securities exchange or over-the-counter or other domestic market on which the Common Stock is
then listed or quoted. 
 
Section 13.08.
Responsibility Of Trustee. The Trustee and any other Conversion Agent shall not at any time be under any duty or responsibility to any Holder of Securities to determine the Conversion Price or whether any facts exist which may require any
adjustment of the Conversion Price, or with respect to the nature or extent or calculation of any such adjustment when made, or with respect to the method employed, or herein or in any supplemental indenture provided to be employed, in making the
same. The Trustee and any other Conversion Agent shall not be accountable with respect to the validity or value (or the kind or amount) of any shares of Common Stock, or of any securities or property, which may at any time be issued or delivered
upon the conversion of any Securities; and the Trustee and any other Conversion Agent make no representations with respect thereto. Neither the Trustee nor any Conversion Agent shall be responsible for any failure of the Company to issue, transfer
or deliver any shares of Common Stock or stock certificates or other securities or property or cash upon the surrender of any Securities for the purpose of conversion or to comply with any of the duties, responsibilities or covenants of the Company
contained in this Article. Without limiting the generality of the foregoing, neither the Trustee nor any Conversion Agent shall be under any responsibility to determine the correctness of any provisions contained in any supplemental indenture
entered into pursuant to Section 13.05 relating either to the kind or amount of shares of stock or securities or property (including cash) receivable by Holders upon the conversion of their Securities after any event referred to in such Section
13.05 or to any adjustment to be made with respect thereto, but, subject to the provisions of Section 6.01, may accept as conclusive evidence of the correctness of 
 

71 

any such provisions, and shall be protected in relying upon, the Officers’ Certificate (which the Company shall be obligated to file
with the Trustee prior to the execution of any such supplemental indenture) with respect thereto. 
 
Section 13.09. Notice To Holders Prior To Certain Actions. In case, 
 
(a) the Company shall declare a dividend (or any other
distribution) on its Common Stock that would require an adjustment in the Conversion Price pursuant to Section 13.04; or 
 
(b) the Company shall authorize the granting to the holders of all or substantially all of its Common Stock of rights or warrants to
subscribe for or purchase any share of any class or any other rights or warrants; or 
 
(c) of any reclassification or reorganization of the Common Stock of the Company (other than a subdivision or combination of its outstanding Common Stock, or a change in par value, or from par value to
no par value, or from no par value to par value), or of any consolidation or merger to which the Company is a party and for which approval of any stockholders of the Company is required, or of the sale or transfer of all or substantially all of the
assets of the Company or any of its significant subsidiaries; or 
 
(d) of the voluntary or involuntary dissolution, liquidation or winding up of the Company or any of its significant subsidiaries; 
 
then, in each case, the Company shall cause to be filed with the Trustee and the Conversion Agent and to be mailed to each Holder of Securities at such
Holder’s address appearing on the list of Security holders provided for in Section 3.05 of this Indenture, as promptly as practicable but in any event at least 15 days prior to the applicable date hereinafter specified, a notice stating (x) the
date on which a record is to be taken for the purpose of such dividend, distribution or rights or warrants, or, if a record is not to be taken, the date as of which the holders of Common Stock of record to be entitled to such dividend, distribution
or rights are to be determined, or (y) the date on which such reclassification, consolidation, merger, sale, transfer, dissolution, liquidation or winding up is expected to become effective or occur, and the date as of which it is expected that
holders of Common Stock of record shall be entitled to exchange their Common Stock for securities or other property deliverable upon such reclassification, consolidation, merger, sale, transfer, dissolution, liquidation or winding up. Failure to
give such notice, or any defect therein, shall not affect the legality or validity of such dividend, distribution, reclassification, consolidation, merger, sale, transfer, dissolution, liquidation or winding up. 
 
Section 13.10. Cash Conversion Option. 

 
(a) In the event that, on or prior to the date
that is five days prior to the Stated Maturity of a Security (the “Final Notice Date”), a Holder elects to convert all or any portion of a Security into shares of Common Stock as set forth in Section 13.01, the Company may choose to
satisfy all of its conversion obligation (the “Conversion Obligation”) in cash if the Company notifies such Holder through the Trustee at any time on or before the date that is two Business Days following receipt of written notice
of conversion as specified in Section 13.02 (such period, the “Cash Settlement Notice Period”) of the dollar amount to be satisfied in cash. If the Company timely elects to pay cash in lieu of shares of Common Stock otherwise
issuable to the 
 

72 

Holder, the Holder may retract the Conversion Notice at any time during the two Business Day period beginning on the day after the final day
of the Cash Settlement Notice Period (a “Conversion Retraction Period”); no such retraction may be made (and a conversion notice shall be irrevocable) if the Company does not elect to deliver cash in lieu of shares (other than cash
in lieu of fractional shares). If the conversion notice has not been retracted, then settlement (in cash) will occur on the Business Day following the final Trading Day of the five Trading Day period beginning on the first Trading Day after the
final day of the Conversion Retraction Period (the “Cash Settlement Averaging Period”). Settlement amounts will be computed as follows: 
 
(i) if the Company elects to satisfy the Conversion Obligation in shares of Common Stock, the Company will deliver to such
Holder a number of shares of Common Stock equal to the quotient of the aggregate original Principal Amount of the Securities to be converted divided by the Conversion Price then in effect; 
 
(ii) if the Company elects to satisfy the
Conversion Obligation in cash, the Company will deliver to such Holder cash in an amount equal to the product of: 
 
(A) a number equal to the quotient of the aggregate original Principal Amount of Securities to be converted divided by the
Conversion Price then in effect, and 
 
(B) the average Sale Price of the Common Stock during the Cash Settlement Averaging Period. 
 
Notwithstanding the foregoing, a Security in respect of which a Holder has delivered a Fundamental Change Repurchase Notice exercising
such Holder’s option to require the Company to repurchase such Security may be converted as described in this Section 13.10(a) only if such notice of exercise is withdrawn in accordance with the terms of Article 11 hereof. 
 
(b) If a Holder elects to convert all or any portion of a
Security into shares of Common Stock after the Final Notice Date, the Company may choose to satisfy all of the Conversion Obligation in cash provided that the Company notifies such Holder through the Trustee of the dollar amount to be satisfied in
cash at any time on or before the final day of the Cash Settlement Notice Period. Settlement amounts will be computed and settlement dates will be determined in the same manner as set forth in (a) above except that the “Cash Settlement
Averaging Period” shall be the 5 Trading Day period beginning on the first Trading Day after the Stated Maturity. If the Company timely elects to pay cash in lieu of shares of Common Stock otherwise issuable to the Holder, the Holder may
retract the Conversion Notice at any time during the Conversion Retraction Period; no such retraction may be made (and a conversion notice shall be irrevocable) if the Company does not elect to deliver cash in lieu of shares (other than cash in lieu
of fractional shares). If the conversion notice has not been retracted, then settlement (in cash) will occur on the Business Day following the final day of such Cash Settlement Averaging Period. 
 
Section 13.11. Company Determination Final. Any
determination that the Company or the Board of Directors must make pursuant to this Article 13 shall be conclusive if made in good faith and in accordance with the provisions of this Article, absent manifest error, and set forth in a Board
Resolution. 
 

73 

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

74 

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

	 MERCURY INTERACTIVE CORPORATION

	
	 By
	 	 /s/    BRYAN
LEBLANC        

	 Name:
	 	 Bryan LeBlanc

	 Title:
	 	 Vice President of Finance

	
	 U.S. BANK NATIONAL ASSOCIATION,
as Trustee

	
	 By
	 	 /s/    FRANK
LESLIE        

	 Name:
	 	 Frank Leslie

	 Title:
	 	 Vice President

 

75 

EXHIBIT A 
 
Form of Certificate to Be Delivered 
in Connection with Transfers 
Pursuant to
Regulation S 
 
                        ,          
 
U.S. Bank National Association 
180 East Fifth Street 
St. Paul, MN 55101

Attention: Corporate Trust Department 
Fax: (651) 244-0711 
 
Re: Mercury
Interactive Corporation (the “Company”)  
Zero Coupon Senior Convertible Notes due 2008 (the
“Notes”) 
 
Ladies and Gentlemen: 
 
In
connection with our proposed sale of $[                    ] aggregate Principal Amount of the Notes, we confirm that such sale has been
effected pursuant to and in accordance with Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we represent that: 
 
1. the offer of the Notes was not made to a Person in the United States; 
 
2. either (a) at the time the buy offer was
originated, the transferee was outside the United States or we and any Person acting on our behalf reasonably believed that the transferee was outside the United States, or (b) the transaction was executed in, on or through the facilities of a
designated off-shore securities market and neither we nor any Person acting on our behalf knows that the transaction has been pre-arranged with a buyer in the United States; 
 
3. no directed selling efforts have been made in the United States in contravention of the
requirements of Rule 903(a) or Rule 904(a) of Regulation S, as applicable (or applicable successor rules); 
 
4. the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act and the
conditions of Rule 903(b) or 904(b) of Regulation S, as applicable (or applicable successor rules) have been satisfied; and 
 
5. We have advised the transferee of the transfer restrictions applicable to the Notes. 
 
You and the Company are entitled to rely upon this letter and
are irrevocably authorized to produce this letter or a copy hereof to any interested party, in any administrative or 
 

A-1 

legal proceedings or official inquiry with respect to the matters covered hereby. Terms used in this certificate have the meanings set forth
in Regulation S. 
 

	 Very truly yours,

	
	 [Name of Transferor]

	
	 By
	 	  

	 	 	 Authorized Signature

 

A-2 

 
EXHIBIT B

 
Form of Fundamental Change Repurchase
Notice 
 
                        ,          
 
U.S. Bank National Association 
180 East Fifth Street 
St. Paul, MN 55101

Attention: Corporate Trust Department 
Fax: (651) 244-0711 
 
Re: Mercury
Interactive Corporation (the “Company”)  
Zero Coupon Senior Convertible Notes due 2008

 
This is a Fundamental Change Repurchase Notice
as defined in Section 11.02 of the Indenture dated as of April 29, 2003 (the “Indenture”) between the Company and U.S. Bank National Association, as Trustee. Terms used but not defined herein shall have the meanings
ascribed to them in the Indenture. 
 
Certificate No(s). of
Securities:
                                       
      
 
I
intend to deliver the following aggregate Principal Amount of Securities for purchase by the Company pursuant to Section 11.02 of the Indenture (in multiples of $1,000): 
 
$                                     
        
 
I hereby agree that the Securities will be purchased as of the Fundamental Change Repurchase Date pursuant to the terms and conditions thereof and of the Indenture. 
 
Signed:
                                        
                         
 
 

B-1 

EXHIBIT C 
 
THE COMMON STOCK EVIDENCED HEREBY HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), OR ANY STATE SECURITIES LAWS, AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, UNITED STATES PERSONS EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. THE HOLDER
HEREOF AGREES THAT UNTIL THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(k) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION), (1) IT WILL NOT RESELL OR OTHERWISE TRANSFER THE COMMON STOCK
EVIDENCED HEREBY EXCEPT (A) TO MERCURY INTERACTIVE CORPORATION OR TO ANY SUBSIDIARY THEREOF, (B) INSIDE THE UNITED STATES TO A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN COMPLIANCE WITH RULE 144A,
(C) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT, (D) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (IF AVAILABLE), OR (E) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS
BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT (AND WHICH CONTINUES TO BE EFFECTIVE AT THE TIME OF SUCH TRANSFER); (2) PRIOR TO SUCH TRANSFER (OTHER THAN A TRANSFER PURSUANT TO CLAUSE 1(E) ABOVE, IT WILL FURNISH TO MELLON INVESTOR SERVICES
(FORMERLY CHASEMELLON SHAREHOLDER SERVICES LLC), AS STOCK TRANSFER AGENT (OR SUCCESSOR TRANSFER AGENT, AS APPLICABLE), SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS IT MAY REASONABLY REQUIRE TO CONFIRM THAT SUCH TRANSFER IS BEING MADE
PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND (3) IT WILL DELIVER TO EACH PERSON TO WHOM THE COMMON STOCK EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO
CLAUSE 1(E) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IF THE PROPOSED TRANSFEREE IS A PURCHASER WHO IS NOT A U.S. PERSON, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO MELLON INVESTOR SERVICES (FORMERLY CHASEMELLON
SHAREHOLDER SERVICES LLC), AS STOCK TRANSFER AGENT (OR SUCCESSOR TRANSFER AGENT, AS APPLICABLE) SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS IT MAY REASONABLY REQUIRE TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN
EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THIS LEGEND WILL BE 
 

C-1 

REMOVED UPON THE EARLIER OF THE TRANSFER OF THE COMMON STOCK EVIDENCED HEREBY PURSUANT TO CLAUSE 1(E) ABOVE OR UPON ANY TRANSFER OF THE
COMMON STOCK EVIDENCED HEREBY AFTER THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE TO SALES OF THE SECURITY EVIDENCED HEREBY UNDER RULE 144(k) UNDER THE SECURITIES ACT (OR ANY SUCCESSOR PROVISION). AS USED HEREIN, THE TERMS “UNITED
STATES” AND “U.S. PERSON” HAVE THE MEANING GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. 
 

C-2 

 
Certain
Sections of this Indenture relating to 
Sections 310 through 318 of the 
Trust Indenture Act of 1939: 
 

	 Trust Indenture
 Act Section

	 	 	 	 	  	 Indenture
Section

	 §  310(a)(1)
	 	 	 	 	  	 6.09

	 (a)(2)
	 	 	 	 	  	 6.09

	 (a)(3)
	 	 	 	 	  	 Not Applicable

	 (a)(4)
	 	 	 	 	  	 Not Applicable

	 (b)
	 	 	 	 	  	 6.08

	 	 	 	 	 	  	 6.10

	 §  311(a)
	 	 	 	 	  	 6.13

	 (b)
	 	 	 	 	  	 6.13

	 §  312(a)
	 	 	 	 	  	 7.01

	 	 	 	 	 	  	 7.02(a)

	 (b)
	 	 	 	 	  	 7.02(b)

	 (c)
	 	 	 	 	  	 7.02(c)

	 §  313(a)
	 	 	 	 	  	 7.03(a)

	 (b)
	 	 	 	 	  	 7.03(a)

	 (c)
	 	 	 	 	  	 7.03(a)

	 (d)
	 	 	 	 	  	 7.03(b)

	 §  314(a)
	 	 	 	 	  	 7.04

	 (b)
	 	 	 	 	  	 Not Applicable

	 (c)(1)
	 	 	 	 	  	 1.02

	 (c)(2)
	 	 	 	 	  	 1.02

	 (c)(3)
	 	 	 	 	  	 Not Applicable

	 (d)
	 	 	 	 	  	 Not Applicable

	 (e)
	 	 	 	 	  	 1.02

	 §  315(a)
	 	 	 	 	  	 6.01

	 (b)
	 	 	 	 	  	 6.02

	 (c)
	 	 	 	 	  	 6.01

	 (d)
	 	 	 	 	  	 6.01

	 (e)
	 	 	 	 	  	 5.14

	 §  316(a)(1)(A)
	 	 	 	 	  	 5.12

	 (a)(1)(B)
	 	 	 	 	  	 5.13

	 (a)(2)
	 	 	 	 	  	 Not Applicable

	 (b)
	 	 	 	 	  	 5.08

	 (c)
	 	 	 	 	  	 1.04(c)

	 §  317(a)(1)
	 	 	 	 	  	 5.03

	 (a)(2)
	 	 	 	 	  	 5.05

	 (b)
	 	 	 	 	  	 10.03

	 §  318(a)
	 	 	 	 	  	 1.07

 

i 

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

 

ii

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