Document:

EXHIBIT 4.4

BANNER CORPORATION

TO

WILMINGTON TRUST COMPANY

as Trustee

INDENTURE

Dated as of             , 200__

SUBORDINATED DEBT SECURITIES

Table of Contents

TABLE OF CONTENTS

		Page

 
	ARTICLE ONE	       DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION	1
	 	SECTON 101.	Definitions	1
	 	SECTON 102.	Compliance Certificates and Opinions	10
	 	SECTON 103.	Form of Documents Delivered to Trustee	11
	 	SECTON 104.	Acts of Holders	12
	 	SECTON 105.	Notices, etc.	13
	 	SECTON 106.	Notice to Holders; Waiver	14
	 	SECTON 107.	Effect of Headings and Table of Contents	15
	 	SECTON 108.	Successors and Assigns	15
	 	SECTON 109.	Separability Clause	15
	 	SECTON 110.	Benefits of Indenture	15
	 	SECTON 111.	No Personal Liability	15
	 	SECTON 112.	Governing Law	15
	 	SECTON 113.	Legal Holidays	16
 
	ARTICLE TWO	       SECURITIES FORMS	16
	 	SECTION 201.	Forms of Securities	16
	 	SECTION 202.	Form of Trustee's Certificate of Authentication	16
	 	SECTION 203.	Securities Issuable in Global Form	17
 

	ARTICLE THREE	       THE SECURITIES	18
	 	SECTION 301.	Amount Unlimited; Issuable in Series	18
	 	SECTION 302.	Denominations	21
	 	SECTION 303.	Execution, Authentication, Delivery and Dating	21
	 	SECTION 304.	Temporary Securities	24
	 	SECTION 305.	Registration, Registration of Transfer and Exchange	26
	 	SECTION 306.	Mutilated, Destroyed, Lost and Stolen Securities	29
	 	SECTION 307.	Payment of Interest; Interest Rights Preserved	30
	 	SECTION 308.	Persons Deemed Owners	32
	 	SECTION 309.	Cancellation	33
	 	SECTION 310.	Computation of Interest	33
 
	ARTICLE FOUR	       SATISFACTION AND DISCHARGE	33
	 	SECTION 401.	Satisfaction and Discharge of Indenture	33
	 	SECTION 402.	Application of Trust Funds	35
 

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	ARTICLE FIVE	       REMEDIES	35
	 	SECTION 501.	Events of Default	35
	 	SECTION 502.	Acceleration of Maturity; Rescission and Annulment	36
	 	SECTION 503.	Collection of Indebtedness and Suits for Enforcement by Trustee	37
	 	SECTION 504.	Trustee May File Proofs of Claim	38
	 	SECTION 505.	Trustee May Enforce Claims Without Possession of Securities or Coupons	39
	 	SECTION 506.	Application of Money Collected	39
	 	SECTION 507.	Limitation on Suits	39
	 	SECTION 508.	Unconditional Right of Holders to Receive Principal, Premium
   or Make-Whole Amount, if any, Interest and Additional Amounts	40
	 	SECTION 509.	Restoration of Rights and Remedies	40
	 	SECTION 510.	Rights and Remedies Cumulative	40
	 	SECTION 511.	Delay or Omission Not Waiver	41
	 	SECTION 512.	Control by Holders of Securities	41
	 	SECTION 513.	Waiver of Past Defaults	41
	 	SECTION 514.	Waiver of Stay or Extension Laws	42
	 	SECTION 515.	Undertaking for Costs	42
 
	ARTICLE SIX	       THE TRUSTEE	42
	 	SECTION 601.	Notice of Defaults	42
	 	SECTION 602.	Certain Rights of Trustee	43
	 	SECTION 603.	Not Responsible for Recitals or Issuance of Securities	44
	 	SECTION 604.	May Hold Securities	44
	 	SECTION 605.	Money Held in Trust	44
	 	SECTION 606.	Compensation and Reimbursement	44
	 	SECTION 607.	Corporate Trustee Required; Eligibility	45
	 	SECTION 608.	Resignation and Removal; Appointment of Successor	46
	 	SECTION 609.	Acceptance of Appointment By Successor	47
	 	SECTION 610.	Merger, Conversion, Consolidation or Succession to Business	48
	 	SECTION 611.	Appointment of Authenticating Agent	48
	 	SECTION 612.	Certain Duties and Responsibilities	50
	 	SECTION 613.	Conflicting Interests	50
 
	ARTICLE SEVEN	       HOLDERS' LISTS AND REPORTS BY TRUSTEE AND COMPANY	50
	 	SECTION 701.	Disclosure of Names and Addresses of Holders	50
	 	SECTION 702.	Reports by Trustee	51
	 	SECTION 703.	Reports by Company	51
	 	SECTION 704.	Company to Furnish Trustee Names and Addresses of Holders	51
 

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	ARTICLE EIGHT	       CONSOLIDATION, MERGER, SALE, LEASE OR CONVEYANCE	52
	 	SECTION 801.	Consolidations and Mergers of Company and Sales, Leases
   and Conveyances Permitted Subject to Certain Conditions	52
	 	SECTION 802.	Rights and Duties of Successor Corporation	52
	 	SECTION 803.	Officers' Certificate and Opinion of Counsel	53
 
	ARTICLE NINE	       SUPPLEMENTAL INDENTURES	53
	 	SECTION 901.	Supplemental Indentures Without Consent of Holders	53
	 	SECTION 902.	Supplemental Indentures with Consent of Holders	54
	 	SECTION 903.	Execution of Supplemental Indentures	56
	 	SECTION 904.	Effect of Supplemental Indentures	56
	 	SECTION 905.	Conformity with Trust Indenture Act	56
	 	SECTION 906.	Reference in Securities to Supplemental Indentures	56
	 	SECTION 907.	Notice of Supplemental Indentures	56
	 	SECTION 908.	Subordination Unimpaired	57
 
	ARTICLE TEN	       COVENANTS	57
	 	SECTION 1001.	Payment of Principal, Premium or Make-Whole Amount, if any,
   Interest and Additional Amounts	57
	 	SECTION 1002.	Maintenance of Office or Agency	57
	 	SECTION 1003.	Money for Securities Payments to Be Held in Trust	58
	 	SECTION 1004.	[Reserved]	60
	 	SECTION 1005.	Existence	60
	 	SECTION 1006.	Maintenance of Properties	60
	 	SECTION 1007.	Insurance	60
	 	SECTION 1008.	Payment of Taxes and Other Claims	60
	 	SECTION 1009.	Provision of Financial Information	61
	 	SECTION 1010.	Statement as to Compliance	61
	 	SECTION 1011.	Additional Amounts	61
	 	SECTION 1012.	Waiver of Certain Covenants	62
 
	ARTICLE ELEVEN	       REDEMPTION OF SECURITIES	63
	 	SECTION 1101.	Applicability of Article	63
	 	SECTION 1102.	Election to Redeem; Notice to Trustee	63
	 	SECTION 1103.	Selection by Trustee of Securities to Be Redeemed	63
	 	SECTION 1104.	Notice of Redemption	64
	 	SECTION 1105.	Deposit of Redemption Price	65
	 	SECTION 1106.	Securities Payable on Redemption Date	65
	 	SECTION 1107.	Securities Redeemed in Part	66
 

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	ARTICLE TWELVE	       SINKING FUNDS	67
	 	SECTION 1201.	Applicability of Article	67
	 	SECTION 1202.	Satisfaction of Sinking Fund Payments with Securities	67
	 	SECTION 1203.	Redemption of Securities for Sinking Fund	67
 
	ARTICLE THIRTEEN	       [RESERVED]	68
 
	ARTICLE FOURTEEN	       DEFEASANCE AND COVENANT DEFEASANCE	68
	 	SECTION 1401.	Applicability of Article; Company's Option to Effect Defeasance
   or Covenant Defeasance	68
	 	SECTION 1402.	Defeasance and Discharge	68
	 	SECTION 1403.	Covenant Defeasance	69
	 	SECTION 1404.	Conditions to Defeasance or Covenant Defeasance	69
	 	SECTION 1405.	Deposited Money and Government Obligations to Be Held in Trust;
   Other Miscellaneous Provisions	71
 
 
	ARTICLE FIFTEEN	       MEETINGS OF HOLDERS OF SECURITIES	72
	 	SECTION 1501.	Purposes for Which Meetings May Be Called	72
	 	SECTION 1502.	Call, Notice and Place of Meetings	72
	 	SECTION 1503.	Persons Entitled to Vote at Meetings	73
	 	SECTION 1504.	Quorum; Action	73
	 	SECTION 1505.	Determination of Voting Rights; Conduct and Adjournment of Meetings	74
	 	SECTION 1506.	Counting Votes and Recording Action of Meetings	75
	 	SECTION 1507.	Evidence of Action Taken by Holders	75
	 	SECTION 1508.	Proof of Execution of Instruments	75
 
	ARTICLE SIXTEEN	       [RESERVED]	76
 
	ARTICLE SEVENTEEN	       SUBORDINATION	76
	 	SECTION 1701.	Agreement to Subordinate	76
	 	SECTION 1702.	Liquidation; Dissolution; Bankruptcy	76
	 	SECTION 1703.	Default on Senior Debt	76
	 	SECTION 1704.	Acceleration of Securities	77
	 	SECTION 1705.	When Distribution Must Be Paid Over	77
	 	SECTION 1706.	Notice by Company	77
	 	SECTION 1707.	Subrogation	77
	 	SECTION 1708.	Relative Rights	77
	 	SECTION 1709.	Subordination May Not Be Impaired By Company	78
	 	SECTION 1710.	Distribution or Notice to Representative	78
	 	SECTION 1711.	Rights of Trustee and Paying Agent	78

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BANNER CORPORATION

            Reconciliation and tie between Trust Indenture Act of 1939, as amended ("TIA"), and Indenture, dated as of ____________________________________________, 200__:

	       Trust Indenture Act Section		Indenture Section
	Section 310(a)(1)		607
	       (a)(2)		607
	       (b)		608
	Section 312(c)		701
	Section 314(a)		703
	       (a)(4)		1010
	       (c)(1)		102
	       (c)(2)		102
	       (e)		102
	Section 315(b)		601
	Section 316(a)(last sentence)		101 ("Outstanding")
	       (a)(1)(A)		502, 512
	       (a)(1)(B)		513
	       (b)		508
	Section 317(a)(1)		503
	       (a)(2)		504
	Section 318(a)		112
	       (c)		112

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

Attention should also be directed to Section 318(c) of the TIA, which provides that the
provisions of Sections 310 to and including 317 of the TIA are a part of and govern every
qualified indenture, whether or not physically contained therein.

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Indenture

INDENTURE

            INDENTURE, dated as of                     , 200__, between BANNER CORPORATION, a
Washington corporation (the "Company"), having its principal office at 10 South First Avenue,
Walla Walla, Washington 99362, and WILMINGTON TRUST COMPANY, a Delaware banking
corporation, as Trustee hereunder (the "Trustee"), having its Corporate Trust office at Rodney
Square North, 1100 North Market Street, Wilmington, Delaware 19890-0001.

RECITALS OF THE COMPANY

            The Company deems it necessary to issue from time to time for its lawful purposes subordinated debt securities (the "Securities") evidencing its unsecured and subordinated indebtedness, and
has duly authorized the execution and delivery of this Indenture to provide for the issuance from
time to time of the Securities, unlimited as to aggregate principal amount, to bear interest at the
rates or formulas, to mature at such times and to have such other provisions as shall be fixed
therefor as hereinafter provided.

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

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

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

ARTICLE ONE

DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

            SECTION 101.  Definitions.

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

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

            (2)            all other terms used herein that are defined in the TIA, either directly or by
reference therein, have the meanings assigned to them therein, and the terms "cash transaction"
and "self-liquidating paper," as used in TIA Section 311, shall have the meanings assigned to
them in the rules of the Commission adopted under the TIA;

            (3)            all accounting terms not otherwise defined herein generally accepted in the United States have the meanings assigned to them in accordance with accounting principles; and

            (4)            the words "herein," "hereof" and "hereunder" and other words of similar import
refer to this Indenture as a whole and not to any particular Article, Section or other subdivision.

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            Certain terms, used principally in Article Three, Article Five, Article Six and Article Ten,
are defined in those Articles. In addition, the following terms shall have the indicated respective
meanings:

            "Act" has the meaning specified in Section 104.

            "Additional Amounts" means any additional amounts that are required by a Security,
under circumstances specified therein, to be paid by the Company in respect of certain taxes
imposed on certain Holders and that are owing to such Holders.

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

            "Authenticating Agent" means any authenticating agent appointed by the Trustee pursuant
to Section 611.

            "Authorized Newspaper" means a newspaper, printed in the English language or in an
official language of the country of publication, customarily published on each Business Day,
whether or not published on Saturdays, Sundays or holidays, and of general circulation in each
place in connection with which the term is used or in the financial community of each such place.
Whenever successive publications are required to be made in Authorized Newspapers, the
successive publications may be made in the same or in different Authorized Newspapers in the
same city meeting the foregoing requirements and in each case on any Business Day.

            "Bankruptcy Law" has the meaning specified in Section 501.

            "Bearer Security" means a Security that is payable to bearer.

            "Board of Directors" means either (i) the Board of Directors of the Company, the
executive committee or any other committee or director of that board duly authorized to act for it
in respect hereof, or (ii) one or more duly authorized officers of the Company to whom the Board
of Directors of the Company or a committee thereof has delegated the authority to act with
respect to the matters contemplated by this Indenture.

            "Board Resolution" means (i) a copy of a resolution certified by the Secretary or an
Assistant Secretary of the Company to have been duly adopted by the Board of Directors or a
committee thereof, and to be in full force and effect on the date of such certification, and
delivered to the Trustee or (ii) a certificate signed by the authorized officer or officers of the
Company to whom the Board of Directors of the Company or a committee thereof has delegated
its authority (as described in the definition of Board of Directors), and in each case, delivered to
the Trustee.

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            "Business Day," when used with respect to any Place of Payment or any other particular
location referred to in this Indenture or in the Securities, means, unless otherwise specified with
respect to any Securities pursuant to Section 301, any day, other than a Saturday or Sunday, that
is neither a legal holiday nor a day on which banking institutions in that Place of Payment or
particular location are authorized or required by law, regulation or executive order to close.

            "Clearstream" means Clearstream Banking, societe anonyme Luxembourg.

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

            "Common Depository" has the meaning specified in Section 304(b).

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

            "Company Request" and "Company Order" mean, respectively, a written request or order
signed in the name of the Company by the President or a Vice President of the Company, and by
the Treasurer, an Assistant Treasurer, the Secretary or an Assistant Secretary of the Company,
and delivered to the Trustee.

            "Conversion Event" means the cessation of use of (i) a Foreign Currency (other than as
otherwise provided with respect to a Security pursuant to Section 301) as provided by the
government of the country that issued such currency and for the settlement of transactions by a
central bank or other public institutions of or within the international banking community, or
(ii) the ECU, both within the European Monetary System and for the settlement of transactions
by public in situations of or within the European Community, or (iii) any currency unit (or
composite currency) for the purposes for which it was established.

            "Corporate Trust Office" means the office of the Trustee at which, at any particular time,
its corporate trust business in New York shall be principally administered, which office at the
date hereof is located at Rodney Square North, 1100 North Market Street, Wilmington, Delaware
19890-0001.

            "Corporation" includes corporations, associations, companies and business trusts.

            "Coupon" means any interest coupon appertaining to a Bearer Security.

            "Custodian" has the meaning set forth in Section 501.

            "Debt" means the principal, premium, if any, unpaid interest (including interest accruing
on or after the filing of any petition in bankruptcy or for reorganization relating to the Company
whether or not a claim for post-filing interest is allowed in such proceeding), fees, charges,
expenses, reimbursement and indemnification obligations, and all other amounts payable under
or in respect of the following indebtedness of the Company for money borrowed, whether any

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such indebtedness exists as of the date of the Indenture or is created, incurred, assumed or
guaranteed after such date:

            (i)            any debt (a) for money borrowed, or (b) evidenced by a bond, note, debenture, or
similar instrument (including purchase money obligations) given in connection with the
acquisition of any business, property or assets, whether by purchase, merger, consolidation or
otherwise, but shall not include any account payable or other obligation created or assumed in the
ordinary course of business in connection with the obtaining of materials or services, or (c) that is
a direct or indirect obligation that arises as a result of banker's acceptances or bank letters of
credit issued to secure obligations of the Company, or to secure the payment of revenue bonds
issued for the benefit of the Company, whether contingent or otherwise;

            (ii)            any debt of others described in the preceding clause (i) that the Company has
guaranteed or for which it is otherwise liable;

            (iii)            the obligation of the Company, as lessee under any lease of property that is
reflected on the Company's balance sheet as a capitalized lease; and

            (iv)            any deferral, amendment, renewal, extension, supplement or refunding of any
liability of the kind described in any of the preceding clauses (i), (ii), and (iii); provided,
however, that, in computing indebtedness of the Company, there shall be excluded any particular
indebtedness if, upon or prior to the maturity thereof, there shall have been deposited with a
depository in trust money (or evidence of indebtedness if permitted by the instrument creating
such indebtedness) in the necessary amount to pay, redeem or satisfy such indebtedness as it
becomes due, and the amount so deposited shall not be included in any computation of the assets
of the Company.

            "Defaulted Interest" has the meaning specified in Section 307.

            "Dollar" or "$" means a dollar or other equivalent unit in such coin or currency of the
United States of America as at the time shall be legal tender for payment of public and private
debts.

            "DTC" means The Depository Trust Company.

            "Euroclear" means Morgan Guaranty Trust Company of New York, Brussels Office, or its
successor as operator of the Euroclear System.

            "Event of Default" has the meaning specified in Section 501.

            "Exchange Act" means the Securities Exchange Act of 1934, as amended, and the rules
and regulations promulgated thereunder by the Commission.

            "Foreign Currency" means any currency, currency unit or composite currency issued by
the government of one or more countries other than the United States of America or by any
recognized confederation or association of such governments.

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            "GAAP" means generally accepted accounting principles as used in the United States
applied on a consistent basis as in effect from time to time; provided that solely for purposes of
any calculation required by the financial covenants contained herein, "GAAP" shall mean
generally accepted accounting principles as used in the United States on the date hereof, applied
on a consistent basis.

            "Government Obligations" means securities which are (i) direct obligations of the United
States of America or the government that issued the Foreign Currency in which the Securities of
a particular series are payable, for the payment of which its full faith and credit is pledged or
(ii) obligations of a Person controlled or supervised by and acting as an agency or instrumentality
of the United States of America or such government that issued the Foreign Currency in which
the Securities of such series are payable, the payment of which is unconditionally guaranteed as a
full faith and credit obligation by the United States of America or such other government, which,
in either case, are not callable or redeemable at the option of the issuer thereof, and shall also
include a depository receipt issued by a bank or trust company as custodian with respect to any
such Government Obligation or a specific payment of interest on or principal of any such
Government Obligation held by such custodian for the account of the holder of a depository
receipt, provided that (except as required by law) such custodian is not authorized to make any
deduction from the amount payable to the holder of such depository receipt from any amount
received by the custodian in respect of the Government Obligation or the specific payment of
interest on or principal of the Government Obligation evidenced by such depository receipt.

            "Holder" means, in the case of a Registered Security, the Person in whose name a
Security is registered in the Security Register and, in the case of a Bearer Security, the bearer
thereof and, when used with respect to any coupon, shall mean the bearer thereof.

            "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, and shall include the terms of particular series of Securities
established as contemplated by Section 301; provided, however, that, if at any time more than
one Person is acting as Trustee under this instrument, "Indenture" shall mean, with respect to any
one or more series of Securities for which such Person is Trustee, 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 and shall include
the terms of the or those particular series of Securities for which such Person is Trustee
established as contemplated by Section 301, exclusive, however, of any provisions or terms that
relate solely to other series of Securities for which such Person is not Trustee, regardless of when
such terms or provisions were adopted, and exclusive of any provisions or terms adopted by
means of one or more indentures supplemental hereto executed and delivered after such Person
had become such Trustee but to which such Person, as such Trustee, was not a party.

            "Indexed Security" means a Security the terms of which provide that the principal amount
thereof payable at Stated Maturity may be more or less than the principal face amount thereof at
original issuance.

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            "Interest" when used with respect to an Original Issue Discount Security that by its terms
bears interest only after Maturity, shall mean interest payable after Maturity, and, when used with
respect to a Security that provides for the payment of Additional Amounts pursuant to
Section 1011, includes such Additional Amounts.

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

            "Make-Whole Amount" means the amount, if any, in addition to principal that is required
by a Security, under the terms and conditions specified therein or as otherwise specified as
contemplated by Section 301, to be paid by the Company to the Holder thereof in connection
with any optional redemption or accelerated payment of such Security.

            "Maturity" means, when used with respect to any Security, the date on which the principal
of such Security or an installment of principal becomes due and payable as therein or herein
provided, whether at the Stated Maturity or by declaration of acceleration, notice of redemption,
notice of option to elect repayment, repurchase or otherwise.

            "Officers' Certificate" means a certificate signed by the President or a Vice President and
by the Treasurer, an Assistant Treasurer, the Secretary or an Assistant Secretary, of the Company,
and delivered to the Trustee.

            "Opinion of Counsel" means a written opinion of counsel, who may be an employee of or
counsel for the Company or other counsel satisfactory to the Trustee.

            "Original Issue Discount Security" means any Security that provides for an amount less
than the principal amount thereof to be due and payable upon a declaration of acceleration of the
Maturity thereof pursuant to Section 502.

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

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

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

            (iii)            Securities, except solely to the extent provided in Sections 1402 or 1403, as
applicable, with respect to which the Company has effected defeasance and/or covenant
defeasance as provided in Article Fourteen;

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            (iv)            Securities that have been paid pursuant to Section 306 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 the Trustee that such Securities are held by a bona fide purchaser in whose
hands such Securities are valid obligations of the Company; and

            (v)            Securities converted or exchanged into other securities or property (including
securities of other issuers, provided that such securities are registered under Section 12 of the
Exchange Act and such issuer is then eligible to use Form S-3 (or any successor form) for a
primary offering of its securities) of the Company pursuant to or in accordance with this
Indenture if the terms of such Securities provide for convertibility or exchange pursuant to
Section 301; 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 or are present at a meeting of Holders for quorum
purposes, and for the purpose of making the calculations required by TIA Section 313, (i) the
principal amount of an Original Issue Discount Security that may be counted in making such
determination or calculation and that shall be deemed to be Outstanding for such purpose shall be
equal to the amount of principal thereof that would be (or shall have been declared to be) due and
payable, at the time of such determination, upon a declaration of acceleration of the maturity
thereof pursuant to Section 502, (ii) the principal amount of any Security denominated in a
Foreign Currency that may be counted in making such determination or calculation and that shall
be deemed Outstanding for such purpose shall be equal to the Dollar equivalent, determined
pursuant to Section 301 as of the date such Security is originally issued by the Company, of the
principal amount (or, in the case of an Original Issue Discount Security, the Dollar equivalent as
of such date of original issuance of the amount determined as provided in clause (i) above) of
such Security, (iii) the principal amount of any Indexed Security that may be counted in making
such determination or calculation and that shall be deemed outstanding for such purpose shall be
equal to the principal face amount of such Indexed Security at original issuance, unless otherwise
provided with respect to such Indexed Security pursuant to Section 301, and (iv) 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 making such calculation or in relying upon
any such request, demand, authorization, direction, notice, consent or waiver, only Securities that
a Responsible Officer of the Trustee actually knows to be so owned shall be so disregarded.
Securities so owned that 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
premium or Make-Whole Amount, if any) or interest on any Securities, or coupons on behalf of
the Company, or if no such Person is authorized, the Company.

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

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            "Place of Payment" means, when used with respect to the Securities of or within any
series, the place or places where the principal of (and premium or Make-Whole Amount, if any)
and interest on such Securities are payable as specified as contemplated by Sections 301 and
1002.

            "Predecessor Security" of any particular Security means every previous Security
evidencing all or a portion of the same debt as that evidenced by such particular Security; and,
for the purposes of this definition, any Security authenticated and delivered under Section 306 in
exchange for or in lieu of a mutilated, destroyed, lost or stolen Security or a Security to which a
mutilated, destroyed, lost or stolen coupon appertains shall be deemed to evidence the same debt
as the mutilated, destroyed, lost or stolen Security or the Security to which the mutilated,
destroyed, lost or stolen coupon appertains.

            "Redemption Date" means, when used with respect to any security to be redeemed in
whole or in part, the date fixed for such redemption by or pursuant to this Indenture.

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

            "Registered Security" means any Security which is registered in the Security Register.

            "Regular Record Date" for the installment of interest payable on any Interest Payment
Date on the Registered Securities of or within any series means the date specified for that
purpose as contemplated by Section 301, whether or not a Business Day.

            "Repayment Date" means, when used with respect to any Security to be repaid, the date
fixed for such repayment by or pursuant to this Indenture.

            "Repayment Price" means, when used with respect to any Security to be repaid or
purchased, the price at which it is to be repaid pursuant to this Indenture.

            "Representative" means the indenture trustee or other trustee, agent or representative for an issue of Senior Debt.

            "Responsible Officer" means any vice president, assistant vice president, assistant
treasurer, assistant secretary or any other officer of the Trustee customarily performing functions
similar to those performed by any of the above designated officers and having direct
responsibility for the administration of this Indenture, and also, with respect to a particular
matter, any other officer to whom such matter is referred because of such officer's knowledge of
and familiarity with the particular subject.

            "Securities Act" means the Securities Act of 1933, as amended, and the rules and
regulations promulgated thereunder by the Commission.

            "Security" has the meaning stated in the first recital of this Indenture and, more
particularly, means any Security or Securities authenticated and delivered under this Indenture;
provided, however, that if at any time there is more than one Person acting as Trustee under this

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Indenture, "Securities" with respect to the Indenture as to which such Person is Trustee shall have
the meaning stated in the first recital of this Indenture and shall more particularly mean Securities
authenticated and delivered under this Indenture, exclusive, however, of Securities of or within
any series as to which such Person is not Trustee.

            "Security Register" and "Security Registrar" have the respective meanings specified in
Section 305.

            "Senior Debt" means the principal, premium, if any, unpaid interest (including interest accruing on or after the filing of any petition in bankruptcy or for reorganization relating to the Company whether or not a claim for post-filing interest is allowed in such proceeding), fees, charges, expenses, reimbursement and indemnification obligations, and all other amounts payable under or in respect of the following indebtedness of the Company for money borrowed, whether any such indebtedness exists as of the date of the Indenture or is created, incurred, assumed or guaranteed after such date:

            (i)            any debt (a) for money borrowed by the Company, or (b) evidenced by a bond, note, debenture, or similar instrument (including purchase money obligations) given in connection with the acquisition of any business, property or assets, whether by purchase, merger, consolidation or otherwise, but shall not include any account payable or other obligation created or assumed in the ordinary course of business in connection with the obtaining of materials or services, or (c) which is a direct or indirect obligation which arises as a result of banker's acceptances or bank letters of credit issued to secure obligations of the Company, or to secure the payment of revenue bonds issued for the benefit of the Company whether contingent or otherwise;

            (ii)            any debt of others described in the preceding clause (i) which the Company has guaranteed or for which it is otherwise liable;

            (iii)            the obligation of the Company as lessee under any lease of property which is reflected on the Company's balance sheet as a capitalized lease; and

            (iv)            any deferral, amendment, renewal, extension, supplement or refunding of any liability of the kind described in any of the preceding clauses (i), (ii) and (iii);

provided, however, that, in computing the indebtedness of the Company, there shall be excluded any particular indebtedness if, upon or prior to the maturity thereof, there shall have been deposited with a depository in trust money (or evidence of indebtedness if permitted by the instrument creating such indebtedness) in the necessary amount to pay, redeem or satisfy such indebtedness as it becomes due, and the amount so deposited shall not be included in any computation of the assets of the Company provided, further, that in computing the indebtedness of the Company hereunder, there shall be excluded (1) any such indebtedness, obligation or liability referred to in clauses (i) through (iv) above as to which, in the instrument creating or evidencing the same or pursuant to which the same is outstanding, it is provided that such indebtedness, obligation or liability is not superior in right of payment to the Securities, or ranks

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pari passu with the Securities, (2) any such indebtedness, obligation or liability which is subordinated to indebtedness of the Company to substantially the same extent as or to a greater extent than the Securities are subordinated, (3) any indebtedness to a subsidiary of the Company and (4) the Securities. There is no limit on the amount of Senior Debt that the Company may incur.

            "Special Record Date" for the payment of any Defaulted Interest on the Registered
Securities of or within any series means a date fixed by the Trustee pursuant to Section 307.

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

            "Subsidiary" means, with respect to any Person, any corporation or other entity of which a
majority of (i) the voting power of the voting equity securities or (ii) the outstanding equity
interests of which are owned, directly or indirectly, by such Person. For the purposes of this
definition, "voting equity securities" means equity securities having voting power for the election
of directors, whether at all times or only so long as no senior class of security has such voting
power by reason of any contingency.

            "Trust Indenture Act" or "TIA" means the Trust Indenture Act of 1939, as amended and
as in force at the date as of which this Indenture was executed, except as provided in Section 905.

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

            "United States" means, unless otherwise specified with respect to any Securities pursuant
to Section 301, the United States of America (including the states and the District of Columbia),
its territories, its possessions and other areas subject to its jurisdiction.

            "United States person" means, unless otherwise specified with respect to any Securities
pursuant to Section 301, an individual who is a citizen or resident of the United States, a
corporation, partnership or other entity created or organized in or under the laws of the United
States or any state or the District of Columbia or an estate or trust the income of which is subject
to United States federal income taxation regardless of its source.

            "Yield to Maturity" means the yield to maturity, computed at the time of issuance of a
Security (or, if applicable, at the most recent predetermination of interest on such Security) and
as set forth in such Security in accordance with generally accepted United States bond yield
computation principles.

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            SECTION 102.  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 an Officers' Certificate
stating that all conditions precedent, if any, provided for in this Indenture (including covenants,
compliance with which constitute conditions precedent) relating to the proposed action have been
complied with and an Opinion of Counsel stating that in the opinion of such counsel all such
conditions precedent, if any, have been complied with, except that in the case of any such
application or request as to which the furnishing of such documents is specifically required by
any provision of this Indenture relating to such particular application or request, no additional
certificate or opinion need be furnished.

            Every certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture (excluding certificates delivered pursuant to Section 1010) shall
include:

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

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

            (3)            a statement that, in the opinion of each such individual, he has made such
examination or investigation as is necessary to enable him to express an informed opinion as to
whether or not such condition or covenant has been complied with; and

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

            SECTION 103.  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 as 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 an Opinion of Counsel, or a certificate or representations by counsel,
unless such officer knows, or in the exercise of reasonable care should know, that the opinion,
certificate or representations with respect to the matters upon which his certificate or opinion is
based are erroneous. Any such Opinion of Counsel or certificate or representations 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 as to such factual matters is in the
possession of the Company, unless such counsel knows that the certificate or opinion or
representations as to such matters are erroneous.

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            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 104.  Acts of Holders.

            (a)            Any request, demand, authorization, direction, notice, consent, waiver or other
action provided by this Indenture to be given or taken by Holders of the Outstanding Securities of
all series or one or more series, as the case may be, may be embodied in and evidenced by one or
more instruments of substantially similar tenor signed by such Holders in person or by agents
duly appointed in writing. If Securities of a series are issuable as Bearer Securities, any request,
demand, authorization, direction, notice, consent, waiver or other action provided by this
Indenture to be given or taken by Holders of Securities of such series may, alternatively, be
embodied in and evidenced by the record of Holders of Securities of such series voting in favor
thereof, whether in person or by proxies duly appointed in writing, at any meeting of Holders of
Securities of such series duly called and held in accordance with the provisions of Article Fifteen,
or a combination of such instruments and any such record. Except as herein otherwise expressly
provided, such action shall become effective when such instrument or instruments or record or
both are delivered to the Trustee and, where it is hereby expressly required, to the Company.
Such instrument or instruments and any such record (and the action embodied therein and
evidenced thereby) are herein sometimes referred to as the "Act" of the Holders signing such
instrument or instruments or so voting at any such meeting. Proof of execution of any such
instrument or of a writing appointing any such agent, or of the holding by any Person of a
Security, shall be sufficient for any purpose of this Indenture and (subject to Section 612)
conclusive in favor of the Trustee and the Company and any agent of the Trustee or the
Company, if made in the manner provided in this Section. The record of any meeting of Holders
of Securities shall be proved in the manner provided in Section 1506.

            (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 reasonable manner that the Trustee deems
sufficient.

            (c)            The ownership of Registered Securities shall be proved by the Security Register
or by a certificate of the Security Registrar.

            (d)            The ownership of Bearer Securities may be proved by the production of such
Bearer Securities or by a certificate executed, as depository, by any trust company, bank, banker
or other depository, wherever situated, if such certificate shall be deemed by the Trustee to be
satisfactory, showing that at the date therein mentioned such person had on deposit with such
depository, or exhibited to it, the Bearer Securities therein described; or such facts may be proved
by the certificate or affidavit of the Person holding such Bearer Securities, if such certificate or

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affidavit is deemed by the Trustee to be satisfactory. The Trustee and the Company may assume
that such ownership of any Bearer Security continues until (1) another certificate or affidavit
bearing a later date issued in respect of the same Bearer Security is produced, or (2) such Bearer
Security is produced to the Trustee by some other Person, or (3) such Bearer Security is
surrendered in exchange for a Registered Security, or (4) such Bearer Security is no longer
Outstanding. The ownership of Bearer Securities may also be proved in any other manner which the
Trustee deems sufficient.

            (e)            If the Company shall solicit from the Holders of Registered Securities any
request, demand, authorization, direction, notice, consent, waiver or other Act, the Company
may, at its option, in or pursuant to a Board Resolution, fix in advance a record date for the
determination of Holders entitled to give such request, demand, authorization, direction, notice,
consent, waiver or other Act, but the Company shall have no obligation to do so.
Notwithstanding TIA Section 316(c), such record date shall be the record date specified in or
pursuant to such Board Resolution, which shall be a date not earlier than the date 30 days prior to
the first solicitation of Holders generally in connection therewith and not later than the date such
solicitation is completed. If such a record date is fixed, such request, demand, authorization,
direction, notice, consent, waiver or other Act may be given before or after such record date, but
only the Holders of record at the close of business on such record date shall be deemed to be
Holders for the purposes of determining whether Holders of the requisite proportion of
Outstanding Securities have authorized or agreed or consented to such request, demand,
authorization, direction, notice, consent, waiver or other Act, and for that purpose the
Outstanding Securities shall be computed as of such record date; provided that no such
authorization, agreement or consent by the Holders on such record date shall be deemed effective
unless it shall become effective pursuant to the provisions of this Indenture not later than eleven
months after the record date.

            (f)            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, any
Security Registrar, any Paying Agent, any Authenticating Agent or the Company in reliance
thereon, whether or not notation of such action is made upon such Security.

            SECTION 105.  Notices, etc.

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

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

            (2)            the Company by the Trustee or by any Holder shall be sufficient for every
purpose hereunder (unless otherwise herein expressly provided) if in writing and mailed, first
class postage prepaid, to the Company addressed to it at the address of its principal office

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specified in the first paragraph of this Indenture or at any other address previously furnished in
writing to the Trustee by the Company.

            SECTION 106.  Notice to Holders; Waiver.

            Where this Indenture provides for notice of any event to Holders of Registered Securities
by the Company or the Trustee, such notice shall be sufficiently given (unless otherwise herein
expressly provided) if in writing and mailed, first-class postage prepaid, to each such Holder
affected by such event, at his address as it appears in the Security Register, not later than the
latest date, and not earlier than the earliest date, prescribed for the giving of such notice. In any
case where notice to Holders of Registered Securities 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 of Registered Securities or the
sufficiency of any notice to Holders of Bearer Securities given as provided herein. Any notice
mailed to a Holder in the manner herein prescribed shall be conclusively deemed to have been
received by such Holder, whether or not such Holder actually receives such notice.

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

            Except as otherwise expressly provided herein or otherwise specified with respect to any
Securities pursuant to Section 301, where this Indenture provides for notice to Holders of Bearer
Securities of any event, such notice shall be sufficiently given if published in an Authorized
Newspaper in the City of Walla Walla, Washington, and in such other city or cities as may be
specified in such Securities, and if the Securities of such series are listed on any stock exchange
outside the United States, in any place at which such Securities are listed on a securities
exchange to the extent that such securities exchange so requires, on a Business Day, such
publication to be not later than the latest date, and not earlier than the earliest date, prescribed for
the giving of such notice. Any such notice shall be deemed to have been given on the date of
such publication or, if published more than once, on the date of the first such publication.

            If by reason of the suspension of publication of any Authorized Newspaper or Authorized
Newspapers or by reason of any other cause it shall be impracticable to publish any notice to
Holders of Bearer Securities as provided above, then such notification to Holders of Bearer
Securities as shall be given with the approval of the Trustee shall constitute sufficient notice to
such Holders for every purpose hereunder. Neither the failure to give notice by publication to any
particular Holder of Bearer Securities as provided above, nor any defect in any notice so
published, shall affect the sufficiency of such notice with respect to other Holders of Bearer
Securities or the sufficiency of any notice to Holders of Registered Securities given as provided
herein.

            Any request, demand, authorization, direction, notice, consent or waiver required or
permitted under this Indenture shall be in the English language, except that any published notice
may be in an official language of the country of publication.

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            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.

            SECTION 107.  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 108.  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 109.  Separability Clause.

            In case any provision in this Indenture or in any Security or coupon 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 110.  Benefits of Indenture.

            Nothing in this Indenture or in the Securities or coupons appertaining thereto, express or implied, shall give to any Person, other than the parties hereto, any Security Registrar, any Paying Agent, any Authenticating Agent and their successors hereunder (and, with respect to Article Seventeen, the holders of Senior Debt) or the Holders any benefit or any legal or equitable right, remedy or claim under this Indenture.

            SECTION 111.  No Personal Liability.

            No recourse under or upon any obligation, covenant or agreement contained in this
Indenture, in any Security or coupon appertaining thereto, or because of any indebtedness
evidenced thereby, shall be had against any promoter, as such, or against any past, present or
future shareholder, officer or director, as such, of the Company or of any successor, either
directly or through the Company or any successor, under any rule of law, statute or constitutional
provision or by the enforcement of any assessment or by any legal or equitable proceeding or
otherwise, all such liability being expressly waived and released by the acceptance of the
Securities by the Holders thereof and as part of the consideration for the issue of the Securities.

            SECTION 112.  Governing Law.

            This Indenture and the Securities and coupons shall be governed by and construed in
accordance with the laws of the State of New York. This Indenture is subject to the provisions of
the TIA that are required to be part of this Indenture and shall, to the extent applicable, be
governed by such provisions.

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            SECTION 113.  Legal Holidays.

            In any case where any Interest Payment Date, Redemption Date, Repayment Date, sinking fund
payment date, Stated Maturity or Maturity of any Security or the last date on which a Holder has
the right to convert or exchange a Security at a particular conversion or exchange price shall not
be a Business Day at any Place of Payment, then (notwithstanding any other provision of this
Indenture or any Security or coupon other than a provision in the Securities of any series which
specifically states that such provision shall apply in lieu hereof), payment of interest or any
Additional Amounts or principal (and premium or Make-Whole Amount, if any) need not be
made at such Place of Payment on such date, conversion or exchange need not be made at such
Place of Payment on such date, but may be made on the next succeeding Business Day at such
Place of Payment with the same force and effect as if made on the Interest Payment Date,
Redemption Date, Repayment Date or sinking fund payment date, or at the Stated Maturity or
Maturity or on such last day for conversion or exchange, provided that no interest shall accrue on
the amount so payable for the period from and after such Interest Payment Date, Redemption
Date, Repayment Date, sinking fund payment date, Stated Maturity or Maturity or on such last
day for conversion or exchange, as the case may be.

ARTICLE TWO

SECURITIES FORMS

            SECTION 201.  Forms of Securities.

            The Registered Securities, if any, of each series and the Bearer Securities, if any, and
related coupons of each series, shall be in substantially the forms as shall be established in or
pursuant to one or more indentures supplemental hereto or Board Resolutions, shall have such
appropriate insertions, omissions, substitutions and other variations as are required or permitted
by this Indenture or any indenture supplemental hereto, and may have such letters, numbers or
other marks of identification or designation and such legends or endorsements placed thereon as
the Company may deem appropriate and as are not inconsistent with the provisions of this
Indenture, or as may be required to comply with any law or with any rule or regulation made
pursuant thereto or with any rule or regulation of any stock exchange on which the Securities
may be listed, or to conform to usage.

            Unless otherwise specified as contemplated by Section 301, Bearer Securities shall have
interest coupons attached.

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

            SECTION 202.  Form of Trustee's Certificate of Authentication.

            Subject to Section 611, the Trustee's certificate of authentication shall be in substantially
the following form:

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

	 	Wilmington Trust Company, as Trustee
		By	 
Authorized Officer

            SECTION 203.  Securities Issuable in Global Form.

            If Securities of or within a series are issuable in global form, as specified as contemplated
by Section 301, then, notwithstanding clause (8) of Section 301 and the provisions of
Section 302, any such Security shall represent such of the Outstanding Securities of such series
as shall be specified therein and may provide that it shall represent the aggregate amount of
Outstanding Securities of such series from time to time endorsed thereon and that the aggregate
amount of Outstanding Securities of such series represented thereby may from time to time be
increased or decreased to reflect exchanges, maturities or redemptions. Any endorsement of a
Security in global form to reflect the amount, or any increase or decrease in the amount, of
Outstanding Securities represented thereby shall be made by the Trustee in such manner and
upon written instruction given by such Person or Persons as shall be specified therein or in the
Company Order to be delivered to the Trustee pursuant to Section 303 or 304. Subject to the
provisions of Section 303 and, if applicable, Section 304, the Trustee shall deliver and redeliver
any Security in permanent global form in the manner and upon written instructions given by the
Person or Persons specified therein or in the applicable Company Order. If a Company Order
pursuant to Section 303 or 304 has been, or simultaneously is, delivered, any instructions by the
Company with respect to endorsement or delivery or redelivery of a Security in global form shall
be in writing but need not comply with Section 102.

            The provisions of the last sentence of Section 303 shall apply to any Security represented
by a Security in global form if such Security was never issued and sold by the Company and the
Company delivers to the Trustee the Security in global form together with written instructions
(which need not comply with Section 102 and need not be accompanied by an Opinion of Counsel)
with regard to the reduction in the principal amount of Securities represented thereby, together
with the written statement contemplated by the last sentence of Section 303.

            Notwithstanding the provisions of Section 307, unless otherwise specified as
contemplated by Section 301, payment of principal of and any premium or Make-Whole Amount
and interest on any Security in permanent global form shall be made to the Person or Persons
specified therein.

            Notwithstanding the provisions of Section 308 and except as provided in the preceding
paragraph, the Company, the Trustee and any agent of the Company and the Trustee shall treat as
the Holder of such principal amount of Outstanding Securities represented by a permanent global
Security (i) in the case of a permanent global Security in registered form, the Holder of such
permanent global Security in registered form, or (ii) in the case of a permanent global Security in
bearer form, Euroclear or Clearstream.

            Notwithstanding any other provision of this Indenture, so long as a series of Securities is a Global Security, the parties hereto will be bound at all times by the procedures of the applicable depositary with respect to such series.

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ARTICLE THREE

THE SECURITIES

            SECTION 301.  Amount Unlimited; Issuable in Series.

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

            The Securities may be issued in one or more series. There shall be established in or
pursuant to one or more Board Resolutions, or indentures supplemental hereto, prior to the
issuance of Securities of any series, any or all of the following, as applicable (each of which
(except for the matters set forth in clauses (1), (2) and (15) below), if so provided, may be
determined from time to time by the Company with respect to unissued Securities of or within
the series when issued from time to time):

            (1)            the title of the Securities of or within the series (that shall distinguish the
Securities of such series from all other series of Securities);

            (2)            any limit upon the aggregate principal amount of the Securities of or within the
series that may be authenticated and delivered under this Indenture (except for Securities
authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other
Securities of or within the series pursuant to Section 304, 305, 306, 906 or 1107);

            (3)            the date or dates, or the method by which such date or dates will be determined,
on which the principal of the Securities of or within the series shall be payable and the amount of
principal payable thereon;

            (4)            the rate or rates (that may be fixed or variable) at which the Securities of or
within the series shall bear interest, if any, or the method by which such rate or rates shall be
determined, the date or dates from which such interest shall accrue or the method by which such
date or dates shall be determined, the Interest Payment Dates on which such interest will be
payable and the Regular Record Date, if any, for the interest payable on any Registered Security
on any Interest Payment Date, or the method by which such date shall be determined, and the
basis upon which interest shall be calculated if other than that of a 360-day year consisting of
twelve 30-day months;

            (5)            the place or places, if any, other than or in addition to the City of Walla Walla,
Washington, where the principal of (and premium or Make-Whole Amount, if any), interest, if
any, on, and Additional Amounts, if any, payable in respect of, Securities of or within the series
shall be payable, any Registered Securities of or within the series may be surrendered for
registration of transfer, exchange or conversion and notices or demands to or upon the Company
in respect of the Securities of or within the series and this Indenture may be served;

            (6)            the period or periods within which, the price or prices (including the premium
or Make-Whole Amount, if any) at which, the currency or currencies, currency unit or units or

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composite currency or currencies in which and other terms and conditions upon which Securities
of or within the series may be redeemed in whole or in part, at the option of the Company, if the
Company is to have the option;

            (7)            the obligation, if any, of the Company to redeem, repay or purchase Securities
of or within the series pursuant to any sinking fund or analogous provision or at the option of a
Holder thereof, and the period or periods within which or the date or dates on which, the price or
prices at which, the currency or currencies, currency unit or units or composite currency or
currencies in which, and other terms and conditions upon which Securities of or within the series
shall be redeemed, repaid or purchased, in whole or in part, pursuant to such obligation;

            (8)            if other than denominations of $1,000 and any integral multiple thereof, the
denominations in which any Registered Securities of or within the series shall be issuable and, if
other than the denomination of $5,000, the denomination or denominations in which any Bearer
Securities of or within the series shall be issuable;

            (9)            if other than the Trustee, the identity of each Security Registrar and/or Paying
Agent;

            (10)            if other than the principal amount thereof, the portion of the principal amount
of Securities of or within the series that shall be payable upon declaration of acceleration of the
maturity thereof pursuant to Section 502 or, if applicable, the portion of the principal amount of
Securities of or within the series that is convertible in accordance with the provisions of this
Indenture, or the method by which such portion shall be determined;

            (11)            if other than Dollars, the Foreign Currency or Currencies in which payment of
the principal of (and premium or Make-Whole Amount, if any) or interest or Additional
Amounts, if any, on the Securities of or within the series shall be payable or in which the
Securities of or within the series shall be denominated;

            (12)            whether the amount of payments of principal of (and premium or Make-Whole Amount, if any) or interest, if any, on the Securities of or within the series may be
determined with reference to an index, formula or other method (which index, formula or method
may be based, without limitation, on one or more currencies, currency units, composite
currencies, commodities, equity indices or other indices), and the manner in which such amounts
shall be determined;

            (13)            whether the principal of (and premium or Make-Whole Amount, if any) or
interest or Additional Amounts, if any, on the Securities of or within the series are to be payable,
at the election of the Company or a Holder thereof, in a currency or currencies, currency unit or
units or composite currency or currencies other than that in which such Securities are
denominated or stated to be payable, the period or periods within which, and the terms and
conditions upon which, such election may be made, and the time and manner of, and identity of
the exchange rate agent with responsibility for, determining the exchange rate between the
currency or currencies, currency unit or units or composite currency or currencies in which such
Securities are denominated or stated to be payable and the currency or currencies, currency unit
or units or composite currency or currencies in which such Securities are to be so payable;

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            (14)            provisions, if any, granting special rights to the Holders of Securities of or
within the series upon the occurrence of such events as may be specified;

            (15)            any deletions from, modifications of or additions to the Events of Default or
covenants of the Company with respect to Securities of or within the series, whether or not such
Events of Default or covenants are consistent with the Events of Default or covenants set forth
herein;

            (16)            whether Securities of or within the series are to be issuable as Registered
Securities, Bearer Securities (with or without coupons) or both, any restrictions applicable to the
offer, sale or delivery of Bearer Securities and the terms upon which Bearer Securities of or
within the series may be exchanged for Registered Securities of or within the series and vice
versa (if permitted by applicable laws and regulations), whether any Securities of or within the
series are to be issuable initially in temporary global form and whether any Securities of or
within the series are to be issuable in permanent global form (with or without coupons) and, if so,
whether beneficial owners of interests in any such permanent global Security may exchange such
interests for Securities of such series and of like tenor of any authorized form and denomination
and the circumstances under which any such exchanges may occur, if other than in the manner
provided in Section 305, and, if Registered Securities of or within the series are to be issuable as
a global Security, the identity of the depository for such series;

            (17)            the date as of which any Bearer Securities of or within the series and any
temporary global Security representing Outstanding Securities of or within the series shall be
dated if other than the date of original issuance of the first Security of the series to be issued;

            (18)            the Person to whom any interest on any Registered Security of the series shall
be payable, if other than the Person in whose name that Security (or one or more Predecessor
Securities) is registered at the close of business on the Regular Record Date for such interest, the
manner in which, or the Person to whom, any interest on any Bearer Security of the series shall
be payable, if otherwise than upon presentation and surrender of the coupons appertaining thereto
as they severally mature, and the extent to which, or the manner in which, any interest payable on
a temporary global Security on an Interest Payment Date will be paid if other than in the manner
provided in Section 304;

            (19)            the applicability, if any, of Sections 1402 and/or 1403 to the Securities of or
within the series and any provisions in modification of, in addition to or in lieu of any of the
provisions of Article Fourteen;

            (20)            if the Securities of such series are to be issuable in definitive form (whether
upon original issue or upon exchange of a temporary Security of such series) only upon receipt of
certain certificates or other documents or satisfaction of other conditions, then the form and/or
terms of such certificates, documents or conditions;

            (21)            whether and under what circumstances the Company will pay Additional
Amounts as contemplated by Section 1011 on the Securities of or within the series to any Holder
who is not a United States person (including any modification to the definition of such term) in
respect of any tax, assessment or governmental charge and, if so, whether the Company will have

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the option to redeem such Securities rather than pay such Additional Amounts (and the terms of
any such option);

            (22)            the obligation, if any, of the Company to permit the Securities of such series
to be converted into or exchanged for Common Stock of the Company or other securities or
property of the Company and the terms and conditions upon which such conversion or exchange
shall be effected (including, without limitation, the initial conversion price or rate, the conversion
or exchange period, any adjustment of the applicable conversion or exchange price or rate and
any requirements relative to the reservation of such shares for purposes of conversion or
exchange);

            (23)            if convertible or exchangeable, any applicable limitations on the ownership or
transferability of the securities or property into which such Securities are convertible or
exchangeable; and

            (24)            any other terms of the series (which terms shall not be inconsistent with the
provisions of this Indenture except as permitted by Section 905).

            All Securities of any one series and the coupons appertaining to any Bearer Securities of
such series, if any, shall be substantially identical except, in the case of Registered or Bearer
Securities issued in global form, as to denomination and except as may otherwise be provided in
or pursuant to such Board Resolution or in any indenture supplemental hereto. All Securities of
any one series need not be issued at the same time and, unless otherwise provided, a series may
be reopened, without the consent of the Holders, for issuances of additional Securities of such
series.

            If any of the terms of the Securities of any series are established by action taken pursuant
to one or more Board Resolutions, a copy of an appropriate record of such action(s) shall be
certified by the Secretary or an Assistant Secretary of the Company and delivered to the Trustee
at or prior to the delivery of the Company Order for authentication and delivery of such
Securities.

            SECTION 302.  Denominations.

            The Securities of each series shall be issuable in such denominations as shall be specified
as contemplated by Section 301. With respect to Securities of any series denominated in Dollars,
in the absence of any such provisions with respect to the Securities of any series, the Registered
Securities of such series, other than Registered Securities issued in global form (which may be of
any denomination), shall be issuable in denominations of $1,000 and any integral multiple
thereof.

            SECTION 303.  Execution, Authentication, Delivery and Dating.

            The Securities and any coupons appertaining thereto shall be executed on behalf of the
Company by its President or a Vice President, under its corporate seal reproduced thereon, and
attested by its Secretary or an Assistant Secretary. The signature of any of these officers on the
Securities and coupons may be manual or facsimile signatures of the present or any future such
authorized officer and may be imprinted or otherwise reproduced on the Securities.

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            Securities or coupons appertaining thereto 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 or coupons.

            At any time and from time to time after the execution and delivery of this Indenture, the
Company may deliver Securities of any series, together with any coupon appertaining thereto,
executed by the Company to the Trustee for authentication, together with a Company Order for
the authentication and delivery of such Securities, and the Trustee in accordance with the
Company Order shall authenticate and deliver such Securities; provided, however, that, in
connection with its original issuance, no Bearer Security shall be mailed or otherwise delivered
to any location in the United States; and provided further that, unless otherwise specified with
respect to any series of Securities pursuant to Section 301 a Bearer Security may be delivered in
connection with its original issuance only if the Person entitled to receive such Bearer Security
shall have furnished a certificate to Euroclear or Clearstream, as the case may be, in the form set
forth in Exhibit A-1 to this Indenture or such other certificate as may be specified with respect to
any series of Securities pursuant to Section 301, dated no earlier than 15 days prior to the earlier
of the date on which such Bearer Security is delivered and the date on which any temporary
Security first becomes exchangeable for such Bearer Security in accordance with the terms of
such temporary Security and this Indenture. Except as permitted by Section 306, the Trustee shall
not authenticate and deliver any Bearer Security unless all appurtenant coupons for interest then
matured have been detached and canceled.

            If all of the Securities of any series are not to be issued at one time and if the Board
Resolution or supplemental indenture establishing such series shall so permit, such Company
Order may set forth procedures acceptable to the Trustee for the issuance of such Securities and
determining the terms of particular Securities of such series, such as interest rate or formula,
such maturity date, date of issuance and date from which interest shall accrue. In authenticating
Securities, and accepting the additional responsibilities under this Indenture in relation to such
Securities, the Trustee shall be entitled to receive, and (subject to Section 612 and TIA
Section 315(a) through 315(d)) shall be fully protected in conclusively relying upon:

            (i)            an Opinion of Counsel complying with Section 102 and stating that:

                        (a)            the form or forms of such Securities and any coupons have been, or will have been
upon compliance with such procedures as may be specified therein, established in conformity
with the provisions of this Indenture;

                        (b)            the terms of such Securities and any coupons have been, or will have been
upon compliance with such procedures as may be specified therein, established in conformity
with the provisions of this Indenture;

                        (c)            such Securities, together with any coupons appertaining thereto, when
completed pursuant to such procedures as may be specified therein, and executed and delivered
by the Company to the Trustee for authentication in accordance with this Indenture, authenticated
and delivered by the Trustee in accordance with this Indenture and issued by the Company in the

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manner and subject to any conditions specified in such Opinion of Counsel, will constitute legal,
valid and binding obligations of the Company, enforceable in accordance with their terms,
subject to applicable bankruptcy, insolvency, reorganization and other similar laws of general
applicability relating to or affecting the enforcement of creditors' rights generally and to general
equitable principles and to such other matters as may be specified therein; and

                        (d)            the issuance of such Securities and any coupons will not contravene the articles
of incorporation or bylaws of the Company or result in any violation of any of the terms or
provisions of any law or regulation or of any indenture, mortgage or other agreement known to
such counsel by which the Company is bound; and

            (ii)            an Officers' Certificate complying with Section 102 and stating that all
conditions precedent provided for in this Indenture relating to the issuance of such Securities
have been, or will have been upon compliance with such procedures as may be specified therein,
complied with and that, to the best of the knowledge of the signers of such certificate, no Event
of Default with respect to such Securities shall have occurred and be continuing.

            Notwithstanding the provisions of Section 301 and of the preceding paragraph, if all the
Securities of any series are not to be issued at one time, it shall not be necessary to deliver a
Company Order, an Opinion of Counsel or an Officers' Certificate otherwise required pursuant to
the preceding paragraph at the time of issuance of each Security of such series, but such order,
opinion and certificate, with appropriate modifications to cover such future issuances, shall be
delivered at or before the time of issuance of the first Security of such series.

            The Trustee shall not be required to authenticate such Securities if the issue of such
Securities pursuant to this Indenture will affect the Trustee's own rights, duties, obligations or
immunities under the Securities and this Indenture or otherwise in a manner which is not
reasonably acceptable to the Trustee.

            Each Registered Security shall be dated the date of its authentication and each Bearer
Security shall be dated as of the date specified as contemplated by Section 301.

            No Security or coupon appertaining thereto shall be entitled to any benefit under this
Indenture or be valid or obligatory for any purpose unless there appears on such Security or the
Security to which such coupon appertains a certificate of authentication substantially in the form
provided for herein duly executed by the Trustee by manual signature of an authorized officer,
and such certificate upon any Security shall be conclusive evidence, and the only evidence, that
such Security has been duly authenticated and delivered hereunder and is entitled to the benefits
of this Indenture. Notwithstanding the foregoing, if any Security shall have been authenticated
and delivered hereunder but never issued and sold by the Company, and the Company shall
deliver such Security to the Trustee for cancellation as provided in Section 309 together with a
written statement (which need not comply with Section 102 and need not be accompanied by an
Opinion of Counsel) stating that such Security has never been issued or sold by the Company, for
all purposes of this Indenture such Security shall be deemed never to have been authenticated and
delivered hereunder and shall never be entitled to the benefits of this Indenture.

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            SECTION 304.  Temporary Securities.

                        (a)            Pending the preparation of definitive Securities of any series, the Company
may execute, and upon Company Order the Trustee shall authenticate and deliver, temporary
Securities that 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, in registered form, or, if authorized, in bearer form with one or more
coupons or without coupons, and with such appropriate insertions, omissions, substitutions and
other variations as the officers of the Company executing such Securities may determine, as
conclusively evidenced by their execution of such Securities. In the case of Securities of any
series, such temporary Securities may be in global form.

            Except in the case of temporary Securities in global form (which shall be exchanged in
accordance with Section 304(b) or as otherwise provided in or pursuant to a Board Resolution), if
temporary Securities of any series are issued, the Company will cause definitive Securities of that
series to be prepared without unreasonable delay. After the preparation of definitive Securities of
such series, the temporary Securities of such series shall be exchangeable for definitive Securities
of such series upon surrender of the temporary Securities of such series at the office or agency of
the Company in a Place of Payment for that series, without charge to the Holder. Upon surrender
for cancellation of any one or more temporary Securities of any series (accompanied by any non-matured coupons appertaining thereto), the Company shall execute and the Trustee shall
authenticate and deliver in exchange therefor a like principal amount of definitive Securities of
the same series of authorized denominations; provided, however, that no definitive Bearer
Security shall be delivered in exchange for a temporary Registered Security; and provided further
that a definitive Bearer Security shall be delivered in exchange for a temporary Bearer Security
only in compliance with the conditions set forth in Section 303. Until so exchanged, the
temporary Securities of any series shall in all respects be entitled to the same benefits under this
Indenture as definitive Securities of such series.

                        (b)            Unless otherwise provided as contemplated in Section 301, this Section 304(b)
shall govern the exchange of temporary Securities issued in global form other than through the
facilities of DTC. If any such temporary Security is issued in global form, then such temporary
global Security shall, unless otherwise provided therein, be delivered to the London, England
office of a depository or common depository (the "Common Depository"), for the benefit of
Euroclear and Clearstream.

            Without unnecessary delay but in any event not later than the date specified in, or
determined pursuant to the terms of, any such temporary global Security (the "Exchange Date"),
the Company shall deliver to the Trustee definitive Securities, in an aggregate principal amount
equal to the principal amount of such temporary global Security, executed by the Company. On
or after the Exchange Date, such temporary global Security shall be surrendered by the Common
Depository to the Trustee, as the Company's agent for such purpose, to be exchanged, in whole
or from time to time in part, for definitive Securities without charge, and the Trustee shall
authenticate and deliver, in exchange for each portion of such temporary global Security, an
equal aggregate principal amount of definitive Securities of or within the same series of
authorized denominations and of like tenor as the portion of such temporary global Security to be
exchanged. The definitive Securities to be delivered in exchange for any such temporary global

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Security shall be in bearer form, registered form, permanent global bearer form or permanent
global registered form, or any combination thereof, as specified as contemplated by Section 301,
and, if any combination thereof is so specified, as requested by the beneficial owner thereof;
provided, however, that, unless otherwise specified in such temporary global Security, upon such
presentation by the Common Depository, such temporary global Security is accompanied by a
certificate dated the Exchange Date or a subsequent date and signed by Euroclear as to the
portion of such temporary global Security, if any, held for its account then to be exchanged and a
certificate dated the Exchange Date or a subsequent date and signed by Euroclear or Clearstream
as to the portion of such temporary global Security, if any, held for its account then to be
exchanged, each in the form set forth in Exhibit A-2 to this Indenture or in such other form as
may be established pursuant to Section 301; and provided further that definitive Bearer Securities
shall be delivered in exchange for a portion of a temporary global Security only in compliance
with the requirements of Section 303.

            Unless otherwise specified in such temporary global Security, the interest of a beneficial
owner of Securities of a series in a temporary global Security shall be exchanged for definitive
Securities of the same series and of like tenor following the Exchange Date when the account
holder instructs Euroclear or Clearstream, as the case may be, to request such exchange on his
behalf and delivers to Euroclear or Clearstream, as the case may be, a certificate in the form set
forth in Exhibit A-1 to this Indenture (or in such other form as may be established pursuant to
Section 301), dated no earlier than 15 days prior to the Exchange Date, copies of which
certificate shall be available from the offices of Euroclear or Clearstream, the Trustee, any
Authenticating Agent appointed for such series of Securities and each Paying Agent. Unless
otherwise specified in such temporary global Security, any such exchange shall be made free of
charge to the beneficial owners of such temporary global Security, except that a Person receiving
definitive Securities must bear the cost of insurance, postage, transportation and the like unless
such Person takes delivery of such definitive Securities in person at the offices of Euroclear or
Clearstream. Definitive Securities in bearer form to be delivered in exchange for any portion of a
temporary global Security shall be delivered only outside the United States.

            Until exchanged in full as hereinabove provided, the temporary Securities of any series
shall in all respects be entitled to the same benefits under this Indenture as definitive Securities of
the same series and of like tenor authenticated and delivered hereunder, except that, unless
otherwise specified as contemplated by Section 301, interest payable on a temporary global
Security on an Interest Payment Date for Securities of such series occurring prior to the
applicable Exchange Date shall be payable to Euroclear or Clearstream on such Interest Payment
Date upon delivery by Euroclear or Clearstream to the Trustee of a certificate or certificates in
the form set forth in Exhibit A-2 to this Indenture (or in such other forms as may be established
pursuant to Section 301), for credit without further interest on or after such Interest Payment Date
to the respective accounts of Persons who are the beneficial owners of such temporary global
Security on such Interest Payment Date and who have each delivered to Euroclear or
Clearstream, as the case may be, a certificate dated no earlier than 15 days prior to the Interest
Payment Date occurring prior to such Exchange Date in the form set forth as Exhibit A-1 to this
Indenture (or in such other forms as may be established pursuant to Section 301).
Notwithstanding anything to the contrary herein contained, the certifications made pursuant to
this paragraph shall satisfy the certification requirements of the preceding two paragraphs of this
Section 304(b) and of the third paragraph of Section 303 of this Indenture and the interests of the

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Persons who are the beneficial owners of the temporary global Security with respect to which
such certification was made will be exchanged for definitive Securities of the same series and of
like tenor on the Exchange Date or the date of certification if such date occurs after the Exchange
Date, without further act or deed by such beneficial owners. Except as otherwise provided in this
paragraph, no payments of principal or interest owing with respect to a beneficial interest in a
temporary global Security will be made unless and until such interest in such temporary global
Security shall have been exchanged for an interest in a definitive Security. Any interest so
received by Euroclear or Clearstream and not paid as herein provided shall be returned to the
Trustee prior to the expiration of two years after such Interest Payment Date in order to be repaid
to the Company.

            SECTION 305.  Registration, Registration of Transfer and Exchange.

            The Company shall cause to be kept at the Corporate Trust Office of the Trustee or in any
office or agency of the Company in a Place of Payment a register for each series of Securities
(the registers maintained in such office or in any such office or agency of the Company in a Place
of Payment being herein sometimes referred to collectively as the "Security Register") in which,
subject to such reasonable regulations as it or the Security Registrar may prescribe, the Company
shall provide for the registration of Registered Securities and of transfers of Registered
Securities. The Security Register shall be in written form or any other form capable of being
converted into written form within a reasonable time. The Trustee, at its Corporate Trust Office,
is hereby initially appointed "Security Registrar" for the purpose of registering Registered
Securities and transfers of Registered Securities on such Security Register as herein provided. In
the event that the Trustee shall cease to be Security Registrar, it shall have the right to examine
the Security Register at all reasonable times and to require that a copy of the Security Register in
written form be delivered to it from time to time as reasonably requested. Subject to the
provisions of this Section 305, upon surrender for registration of transfer of any Registered
Security of any series at any office or agency of the Company in a Place of Payment for that
series, the Company shall execute, and the Trustee shall authenticate and deliver, in the name of
the designated transferee or transferees, one or more new Registered Securities of the same
series, of any authorized denominations and of a like aggregate principal amount, bearing a
number not contemporaneously outstanding, and containing identical terms and provisions.

            Subject to the provisions of this Section 305, at the option of the Holder, Registered
Securities of any series may be exchanged for other Registered Securities of the same series, of
any authorized denomination or denominations and of a like aggregate principal amount,
containing identical terms and provisions, upon surrender of the Registered Securities to be
exchanged at any such office or agency. Whenever any such Registered Securities are so
surrendered for exchange, the Company shall execute, and the Trustee shall authenticate and
deliver, the Registered Securities that the Holder making the exchange is entitled to receive.
Unless otherwise specified with respect to any series of Securities as contemplated by
Section 301, Bearer Securities may not be issued in exchange for Registered Securities.

            If (but only if) permitted as contemplated by Section 301, at the option of the Holder,
Bearer Securities of any series may be exchanged for Registered Securities of the same series of
any authorized denominations and of a like aggregate principal amount and tenor, upon surrender
of the Bearer Securities to be exchanged at any such office or agency, with all unmatured

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coupons and all matured coupons in default thereto appertaining. If the Holder of a Bearer
Security is unable to produce any such unmatured coupon or coupons or matured coupon or
coupons in default, any such permitted exchange may be effected if the Bearer Securities are
accompanied by payment in funds acceptable to the Company in an amount equal to the face
amount of such missing coupon or coupons, or the surrender of such missing coupon or coupons
may be waived by the Company and the Trustee if there is furnished to them such security or
indemnity as they may require to save each of them and any Paying Agent harmless. If thereafter
the Holder of such Security shall surrender to any Paying Agent any such missing coupon in
respect of which such a payment shall have been made, such Holder shall be entitled to receive
the amount of such payment; provided, however, that, except as otherwise provided in
Section 1002, interest represented by coupons shall be payable only upon presentation and
surrender of those coupons at an office or agency located outside the United States.
Notwithstanding the foregoing, in case a Bearer Security of any series is surrendered at any such
office or agency in a permitted exchange for a Registered Security of the same series and like
tenor after the close of business at such office or agency on (i) any Regular Record Date and
before the opening of business at such office or agency on the relevant Interest Payment Date, or
(ii) any Special Record Date and before the opening of business at such office or agency on the
related proposed date for payment of Defaulted Interest, such Bearer Security shall be
surrendered without the coupon relating to such Interest Payment Date or proposed date for
payment, as the case may be, and interest or Defaulted Interest, as the case may be, will not be
payable on such Interest Payment Date or proposed date for payment, as the case may be, in
respect of the Registered Security issued in exchange for such Bearer Security, but will be
payable only to the Holder of such coupon when due in accordance with the provisions of this
Indenture. Whenever any Securities are so surrendered for exchange, the Company shall execute,
and the Trustee shall authenticate and deliver, the Securities that the holder making the exchange
is entitled to receive.

            Notwithstanding the foregoing, except as otherwise specified as contemplated by
Section 301, any permanent global Security shall be exchangeable only as provided in this
paragraph. If the depository for any permanent global Security is DTC, then, unless the terms of
such global Security expressly permit such global Security to be exchanged in whole or in part
for definitive Securities, a global Security may be transferred, in whole but not in part, only to a
nominee of DTC, or by a nominee of DTC to DTC, or to a successor to DTC for such global
Security selected or approved by the Company or to a nominee of such successor to DTC. If at
any time DTC notifies the Company that it is unwilling or unable to continue as depository for
the applicable global Security or Securities or if at any time DTC ceases to be a clearing agency
registered under the Exchange Act if so required by applicable law or regulation, the Company
shall appoint a successor depository with respect to such global Security or Securities. If (x) a
successor depository for such global Security or Securities is not appointed by the Company
within 90 days after the Company receives such notice or becomes aware of such unwillingness,
inability or ineligibility, (y) an Event of Default has occurred and is continuing and the beneficial
owners representing a majority in principal amount of the applicable series of Securities
represented by such global Security or Securities advise DTC to cease acting as depository for
such global Security or Securities or (z) the Company, in its sole discretion, determines at any
time that all Outstanding Securities (but not less than all) of any series issued or issuable in the
form of one or more global Securities shall no longer be represented by such global Security or
Securities (provided, however, the Company may not make such determination during the 40-day

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restricted period provided by Regulation S under the Securities Act or during any other similar
period during which the Securities must be held in global form as may be required by the
Securities Act), then the Company shall execute, and the Trustee shall authenticate and deliver
definitive Securities of like series, rank, tenor and terms in definitive form in an aggregate
principal amount equal to the principal amount of such global Security or Securities. If any
beneficial owner of an interest in a permanent global Security is otherwise entitled to exchange
such an interest for Securities of such series and of like tenor and principal amount of another
authorized form and denomination, as specified as contemplated by Section 301 and provided
that any applicable notice provided in the permanent global Security shall have been given, then
without unnecessary delay but in any event not later than the earliest date on which such interest
may be so exchanged, the Company shall execute, and the Trustee shall authenticate and deliver
definitive Securities in aggregate principal amount equal to the principal amount of such
beneficial owner's interest in such permanent global Security. On or after the earliest date on
which such interests may be so exchanged, such permanent global Security shall be surrendered
for exchange by DTC or such other depository as shall be specified in the Company Order with
respect thereto to the Trustee, as the Company's agent for such purpose; provided, however, that
no such exchanges may occur during a period beginning at the opening of business 15 days
before any selection of Securities to be redeemed and ending on the relevant Redemption Date if
the Security for which exchange is requested may be among those selected for redemption; and
provided further that no Bearer Security delivered in exchange for a portion of a permanent
global Security shall be mailed or otherwise delivered to any location in the United States. If a
Registered Security is issued in exchange for any portion of a permanent global Security after the
close of business at the office or agency where such exchange occurs on (i) any Regular Record
Date and before the opening of business at such office or agency on the relevant Interest Payment
Date, or (ii) any Special Record Date and before the opening of business at such office or agency
on the related proposed date for payment of Defaulted Interest, interest or Defaulted Interest, as
the case may be, will not be payable on such Interest Payment Date or proposed date for
payment, as the case may be, in respect of such Registered Security, but will be payable on such
Interest Payment Date or proposed date for payment, as the case may be, only to the Person to
whom interest in respect of such portion of such permanent global Security is payable in
accordance with the provisions of this Indenture.

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

            No service charge shall be made for any registration of transfer or exchange of Securities,
but the Company may require payment of a sum sufficient to cover any tax or other governmental
charge that may be imposed in connection with any registration of transfer or exchange of
Securities, other than exchanges pursuant to Section 304, 906 or 1107 not involving any
transfer.

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            The Company or the Trustee, as applicable, shall not be required (i) to issue, register the
transfer of or exchange any Security if such Security may be among those selected for
redemption during a period beginning at the opening of business 15 days before selection of the
Securities to be redeemed under Section 1103 and ending at the close of business on (A) if such
Securities are issuable only as Registered Securities, the day of the mailing of the relevant notice
of redemption and (B) if such Securities are issuable as Bearer Securities, the day of the first
publication of the relevant notice of redemption or, if such Securities are also issuable as
Registered Securities and there is no publication, the mailing of the relevant notice of
redemption, or (ii) to register the transfer of or exchange any Registered Security so selected for
redemption in whole or in part, except, in the case of any Registered Security to be redeemed in
part, the portion thereof not to be redeemed, or (iii) to exchange any Bearer Security so selected
for redemption except that such a Bearer Security may be exchanged for a Registered Security of
that series and like tenor, provided that such Registered Security shall be simultaneously
surrendered for redemption, or (iv) to issue or to register the transfer or exchange of any Security
that has been surrendered for repayment, except the portion, if any, of such Security not to be so
repaid.

            SECTION 306.  Mutilated, Destroyed, Lost and Stolen Securities.

            If any mutilated Security or a Security with a mutilated coupon appertaining to it is
surrendered to the Trustee or the Company, together with such security or indemnity as may be
required by the Company or the Trustee to save each of them or any agent of either of them
harmless, the Company shall execute and the Trustee shall authenticate and deliver in exchange
therefor a new Security of the same series and principal amount, containing identical terms and
provisions and bearing a number not contemporaneously outstanding, with coupons
corresponding to the coupons, if any, appertaining to the surrendered Security.

            If there shall be delivered to the Company and to the Trustee (i) evidence to their
satisfaction of the destruction, loss or theft of any Security or coupon, 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 actual notice to the Company or the Trustee that such Security
or coupon has been acquired by a bona fide purchaser, the Company shall execute and upon its
request the Trustee shall authenticate and deliver, in lieu of any such destroyed, lost or stolen
Security or in exchange for the Security to which a destroyed, lost or stolen coupon appertains
(with all appurtenant coupons not destroyed, lost or stolen), a new Security of the same series and
principal amount, containing identical terms and provisions and bearing a number not
contemporaneously outstanding, with coupons corresponding to the coupons, if any, appertaining
to such destroyed, lost or stolen Security or to the Security to which such destroyed, lost or stolen
coupon appertains.

            Notwithstanding the provisions of the previous two paragraphs, in case any such
mutilated, destroyed, lost or stolen Security or coupon has become or is about to become due and
payable, the Company in its discretion may, instead of issuing a new Security, with coupons
corresponding to coupons, if any, appertaining to such destroyed, lost or stolen Security or to the
Security to which such destroyed, lost or stolen coupon appertains, pay such Security or coupon;
provided, however, that payment of principal of (and premium or Make-Whole Amount, if any),
any interest on and any Additional Amounts with respect to Bearer Securities shall, except as

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otherwise provided in Section 1002, be payable only at an office or agency located outside the
United States and, unless otherwise specified as contemplated by Section 301, any interest on
Bearer Securities shall be payable only upon presentation and surrender of the coupons
appertaining thereto.

            Upon the issuance of any new Security under this Section, the Company may require the
payment of a sum sufficient to cover any tax or other governmental charge that may be imposed
in relation thereto and any other expenses (including the fees and expenses of the Trustee)
connected therewith.

            Every new Security of any series with its coupons, if any, issued pursuant to this Section
in lieu of any destroyed, lost or stolen Security, or in exchange for a Security to which a
destroyed, lost or stolen coupon appertains, shall constitute an original additional contractual
obligation of the Company, whether or not the destroyed, lost or stolen Security and its coupons,
if any, or the destroyed, lost or stolen coupon shall be at any time enforceable by anyone, and
shall be entitled to all the benefits of this Indenture equally and proportionately with any and all
other Securities of that series and their coupons, if any, 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 or coupons.

            SECTION 307.  Payment of Interest; Interest Rights Preserved.

            Except as otherwise specified with respect to a series of Securities in accordance with the
provisions of Section 301, interest on any Registered Security that is payable, and is punctually
paid or duly provided for, on any Interest Payment Date shall be paid to the Person in whose
name that Security (or one or more Predecessor Securities) 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 pursuant to Section 1002; provided, however, that each installment of interest
on any Registered Security may at the Company's option be paid by (i) mailing a check for such
interest, payable to or upon the written order of the Person entitled thereto pursuant to
Section 308, to the address of such Person as it appears on the Security Register or (ii) transfer to
an account maintained by the payee located inside the United States.

            Unless otherwise provided as contemplated by Section 301 with respect to the Securities
of any series, payment of interest may be made, in the case of a Bearer Security, by transfer to an
account maintained by the payee with a bank located outside the United States.

            Unless otherwise provided as contemplated by Section 301, every permanent global
Security will provide that interest, if any, payable on any Interest Payment Date will be paid to
DTC, Euroclear and/or Clearstream, as the case may be, with respect to that portion of such
permanent global Security held for its account by DTC, Euroclear or Clearstream, as the case
may be, 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.

            In case a Bearer Security of any series is surrendered in exchange for a Registered
Security of such series after the close of business (at an office or agency in a Place of Payment

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for such series) on any Regular Record Date and before the opening of business (at such office or
agency) on the next succeeding Interest Payment Date, such Bearer Security shall be surrendered
without the coupon relating to such Interest Payment Date and interest will not be payable on
such Interest Payment Date in respect of the Registered Security issued in exchange for such
Bearer Security, but will be payable only to the Holder of such coupon when due in accordance
with the provisions of this Indenture.

            Except as otherwise specified with respect to a series of Securities in accordance with the
provisions of Section 301, any interest on any Registered Security of any series that is payable,
but is not punctually paid or duly provided for, on any Interest Payment Date (herein called
"Defaulted Interest") shall forthwith cease to be payable to the registered Holder thereof on the
relevant Regular Record Date by virtue of having been such Holder, and such Defaulted Interest
may be paid by the Company, at its election in each case, as provided in clause (1) or (2) below:

            (1)            The Company may elect to make payment of any Defaulted Interest to the
Persons in whose names the Registered Securities of such series (or their respective Predecessor
Securities) are registered at the close of business on a Special Record Date for the payment of
such Defaulted Interest, which shall be fixed in the following manner. The Company shall notify
the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each Registered
Security of such series and the date of the proposed payment (which shall not be less than 20
days after such notice is received by the Trustee), and at the same time the Company shall
deposit with the Trustee an amount of money in the currency or currencies, currency unit or units
or composite currency or currencies in which the Securities of such series are payable (except as
otherwise specified pursuant to Section 301 for the Securities of such series) equal to the
aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make
arrangements satisfactory to the Trustee for such deposit on or prior to the date of the proposed
payment, such money when deposited to be held in trust for the benefit of the Persons entitled to
such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a Special
Record Date for the payment of such Defaulted Interest which shall be not more than 15 days and
not less than 10 days prior to the date of the proposed payment and not less than 10 days after the
receipt by the Trustee of the notice of the proposed payment. The Trustee shall promptly notify
the Company of such Special Record Date and, in the name and at the expense of the Company,
shall cause notice of the proposed payment of such Defaulted Interest and the Special Record
Date therefor to be mailed, first-class postage prepaid, to each Holder of Registered Securities of
such series at such Holder's address as it appears in the Security Register not less than 10 days
prior to such Special Record Date. Notice of the proposed payment of such Defaulted Interest
and the Special Record Date therefor having been mailed as aforesaid, such Defaulted Interest
shall be paid to the Persons in whose names the Registered Securities of such series (or their
respective Predecessor Securities) are registered at the close of business on such Special Record
Date and shall no longer be payable pursuant to the following clause (2). In case a Bearer
Security of any series is surrendered at the office or agency in a Place of Payment for such series
in exchange for a Registered Security of such series after the close of business at such office or
agency on any Special Record Date and before the opening of business at such office or agency
on the related proposed date for payment of Defaulted Interest, such Bearer Security shall be
surrendered without the coupon relating to such proposed date of payment and Defaulted Interest

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will not be payable on such proposed date of payment in respect of the Registered Security issued
in exchange for such Bearer Security, but will be payable only to the Holder of such coupon
when due in accordance with the provisions of this Indenture.

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

            Subject to the foregoing provisions of this Section and Section 305, each Security
delivered under this Indenture upon registration of transfer of or in exchange for or in lieu of any
other Security shall carry the rights to interest accrued and unpaid, and to accrue, which were
carried by such other Security.

            Subject to the provisions of Section 1402 and except as otherwise specified with respect
to a series of Securities in accordance with the provisions of Section 301, in the case of any
Security which is converted or exchanged after any Regular Record Date and on or prior to the next
succeeding Interest Payment Date (other than any Security, the principal of (or premium, if any,
on) which shall become due and payable, whether at a Stated Maturity or by declaration of
acceleration, call for redemption, or otherwise, prior to such Interest Payment Date), interest
whose Stated Maturity is on such Interest Payment Date shall be payable on such Interest
Payment Date notwithstanding such conversion or exchange, and such interest (whether or not
punctually paid or duly provided for) shall be paid to the Person in whose name that Security (or
one or more Predecessor Securities) is registered at the close of business on such Regular Record
Date. Except as otherwise expressly provided in the immediately preceding sentence, in the case
of any Security which is converted or exchanged, interest whose Stated Maturity is after the date
of conversion or exchange of such Security shall not be payable.

            SECTION 308.  Persons Deemed Owners.

            Prior to due presentment of a Registered 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 Registered Security is registered as the owner of such Security for the purpose
of receiving payment of principal of (and premium or Make-Whole Amount, if any), and (subject
to Sections 305 and 307) interest on, such Registered Security and for all other purposes
whatsoever, whether or not such Registered 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.

            Title to any Bearer Security and any coupons appertaining thereto shall pass by delivery.
The Company, the Trustee and any agent of the Company or the Trustee may treat the Holder of
any Bearer Security and the Holder of any coupon as the absolute owner of such Security or
coupon for the purpose of receiving payment thereof or on account thereof and for all other
purposes whatsoever, whether or not such Security or coupon 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.

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            None of the Company, the Trustee, any Paying Agent or the Security Registrar will have
any responsibility or liability for any aspect of the records relating to or payments made on
account of beneficial ownership interests of a Security in global form or for maintaining,
supervising or reviewing any records relating to such beneficial ownership interests.

            Notwithstanding the foregoing, with respect to any global Security, 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 any depository, as a
Holder, with respect to such global Security or impair, as between such depository and owners of
beneficial interests in such global Security, the operation of customary practices governing the
exercise of the rights of such depository (or its nominee) as Holder of such global Security.

            SECTION 309.  Cancellation.

            All Securities and coupons surrendered for payment, redemption, repayment, registration
of transfer or exchange or for credit against any sinking fund payment shall, if surrendered to any
Person other than the Trustee, be delivered to the Trustee, and any such Securities and coupons
and Securities and coupons surrendered directly to the Trustee for any such purpose shall be
promptly canceled by it. The Company may at any time deliver to the Trustee for cancellation
any Securities previously authenticated and delivered hereunder that the Company may have
acquired in any manner whatsoever, and may deliver to the Trustee (or to any other Person for
delivery to the Trustee) for cancellation any Securities previously authenticated hereunder that
the Company has not issued and sold, and all Securities so delivered shall be promptly canceled
by the Trustee. If the Company shall so acquire any of the Securities, however, such acquisition
shall not operate as a redemption or satisfaction of the indebtedness represented by such
Securities unless and until the same are surrendered to the Trustee for cancellation. No Securities
shall be authenticated in lieu of or in exchange for any Securities canceled as provided in this
Section, except as expressly permitted by this Indenture. Cancelled Securities and coupons held
by the Trustee shall be destroyed by the Trustee and, if required in writing by the Company, the
Trustee shall deliver a certificate of such destruction to the Company, unless by a Company
Order the Company directs their return to it.

            SECTION 310.  Computation of Interest.

            Except as otherwise specified as contemplated by Section 301 with respect to Securities
of any series, interest on the Securities of each series shall be computed on the basis of a 360-day
year consisting of twelve 30-day months.

ARTICLE FOUR

SATISFACTION AND DISCHARGE

            SECTION 401.  Satisfaction and Discharge of Indenture.

            This Indenture shall upon Company Request cease to be of further effect with respect to
any series of Securities specified in such Company Request (except as to any surviving rights of
registration of transfer or exchange of Securities of such series herein expressly provided for and
any right to receive Additional Amounts, as provided in Section 1011), and the Trustee, upon

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receipt of a Company Order, and at the expense of the Company, shall execute proper
instruments acknowledging satisfaction and discharge of this Indenture as to such series when

            (1)            either

                        (A)            all Securities of such series theretofore authenticated and delivered and all
coupons, if any, appertaining thereto (other than (i) coupons appertaining to Bearer Securities
surrendered for exchange for Registered Securities and maturing after such exchange, whose
surrender is not required or has been waived as provided in Section 305, (ii) Securities and
coupons of such series that have been destroyed, lost or stolen and that have been replaced or
paid as provided in Section 306, (iii) coupons appertaining to Securities called for redemption
and maturing after the relevant Redemption Date, whose surrender has been waived as provided
in Section 1106, and (iv) Securities and coupons of such series for whose payment money has
theretofore been deposited in trust or segregated and held in trust by the Company and thereafter
repaid to the Company or discharged from such trust, as provided in Section 1003) have been
delivered to the Trustee for cancellation; or

                        (B)            all Securities of such series and, in the case of (i) or (ii) below, any coupons
appertaining thereto not theretofore delivered to the Trustee for cancellation

                                    (i)            have become due and payable, or

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

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

            

and the Company, in the case of (i), (ii) or (iii) above, has irrevocably deposited or caused to be
deposited with the Trustee as trust funds in trust for the purpose an amount in the currency or
currencies, currency unit or units or composite currency or currencies in which the Securities of
such series are payable, sufficient to pay and discharge the entire indebtedness on such Securities
and such coupons not theretofore delivered to the Trustee for cancellation, for principal (and
premium or Make-Whole Amount, if any) and interest, and any Additional Amounts with respect
thereto, to the date of such deposit (in the case of Securities that have become due and payable)
or the Stated Maturity or Redemption Date, as the case may be;

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

            (3)            The Company has delivered to the Trustee an Officers' Certificate and an
Opinion of Counsel, each stating that all conditions precedent herein provided for relating to the
satisfaction and discharge of this Indenture as to such series have been complied with.

            Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the
Company to the Trustee and any predecessor Trustee under Section 606, the obligations of the
Company to any Authenticating Agent under Section 611 and, if money shall have been

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deposited with and held by the Trustee pursuant to subclause (B) of clause (1) of this Section, the
obligations of the Trustee under Section 402 and the last paragraph of Section 1003, shall
survive.

            In the event that there are Securities of two or more series outstanding hereunder, the
Trustee shall be required to execute an instrument acknowledging satisfaction and discharge of
this Indenture only if requested to do so with respect to Securities of a particular series as to
which it is Trustee and if the other conditions thereto are met.

            SECTION 402.  Application of Trust Funds.

            Subject to the provisions of the last paragraph of Section 1003, all money deposited with
the Trustee pursuant to Section 401 shall be held in trust and applied by it, in accordance with the
provisions of the Securities, the coupons 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 premium or Make-Whole Amount, if any), and any interest and Additional Amounts for whose payment such
money has been deposited with or received by the Trustee, but such money need not be
segregated from other funds except to the extent required by law. Money deposited pursuant to this section not in violation of this Indenture shall not be subject to claims of holders of Senior Debt under Article Seventeen.

ARTICLE FIVE

REMEDIES

            SECTION 501.  Events of Default.

            Subject to any modifications, additions or deletions relating to any series of Securities as
contemplated pursuant to Section 301, "Event of Default," wherever used herein with respect to
any particular series of Securities, means any one of the following events (whatever the reason
for such Event of Default and whether or not it shall be voluntary or involuntary or be effected by
operation of law or pursuant to any judgment, decree or order of any court or any order, rule or
regulation of any administrative or governmental body):

            (1)            default in the payment of any interest upon or any Additional Amounts payable
in respect of any Security of or within that series or of any coupon appertaining thereto, when
such interest, Additional Amounts or coupon becomes due and payable, and continuance of such
default for a period of 30 days; or

            (2)            default in the payment of the principal of (or premium or Make-Whole
Amount, if any, on) any Security of that series when it becomes due and payable at its Maturity;
or

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

            (4)            default in the performance, or breach, of any covenant or warranty of the
Company in this Indenture with respect to any Security of that series (other than (i) a covenant or

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agreement included in this Indenture solely for the benefit of a series of Securities other than
such series or (ii) a covenant or warranty a default in whose performance or whose breach is
elsewhere in this Section specifically dealt with), and continuance of such default or breach for a
period of 90 days after there has been given, by registered or certified mail, to the Company by
the Trustee or to the Company and the Trustee by the Holders of at least 25% in principal amount
of the Outstanding Securities of that series a written notice specifying such default or breach and
requiring it to be remedied and stating that such notice is a "Notice of Default" hereunder; or

            (5)            the Company pursuant to or within the meaning of any Bankruptcy Law:

                        (A)            commences a voluntary case,

                        (B)            consents to the entry of an order for relief against it in an involuntary case,

                        (C)            consents to the appointment of a Custodian of it or for all or substantially all of
its property, or

                        (D)            makes a general assignment for the benefit of its creditors; or

            (6)            a court of competent jurisdiction enters an order or decree under any
Bankruptcy Law that:

                        (A)            is for relief against the Company in an involuntary case,

                        (B)            appoints a Custodian of the Company for all
or substantially all of its property, or

                        (C)            orders the liquidation of the Company, and the
order or decree remains unstayed and in effect for 90 days; or

            (7)            any other Event of Default provided with respect to Securities of that series.

            As used in this Section 501, the term "Bankruptcy Law" means Title 11, U.S. Code or any
similar Federal or state law for the relief of debtors and the term "Custodian" means any receiver,
trustee, assignee, liquidator or other similar official under any Bankruptcy Law.

            SECTION 502.  Acceleration of Maturity; Rescission and Annulment.

            If an Event of Default under clause (5) or (6) of Section 501 with respect to Securities of any series at the time Outstanding
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 of each such affected series
(voting as a single class) may declare the principal (or, if any Securities are Original Issue
Discount Securities or Indexed Securities, such portion of the principal as may be specified in the
terms thereof) of, and the Make-Whole Amount, if any, on, all the Securities of that series to be

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due and payable immediately, by a notice in writing to the Company (and to the Trustee if given
by the Holders), and upon any such declaration such principal or specified portion thereof shall
become immediately due and payable.

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

            (1)            the Company has paid or deposited with the Trustee a sum sufficient to pay in
the currency, currency unit or composite currency in which the Securities of such series is
payable (except as otherwise specified pursuant to Section 301 for the Securities of such series):

                        (A)            all overdue installments of interest on and any Additional Amounts payable in
respect of all Outstanding Securities of that series and any related coupons;

                        (B)            the principal of (and premium or Make-Whole Amount, if any, on) any
Outstanding Securities of that series that have become due otherwise than by such declaration of
acceleration and interest thereon at the rate or rates borne by or provided for in such Securities;

                        (C)            to the extent that payment of such interest is lawful, interest upon overdue
installments of interest and any Additional Amounts at the rate or rates borne by or provided for
in such Securities; and

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

            (2)            all Events of Default with respect to Securities of that series, other than the
nonpayment of the principal of (or premium or Make-Whole Amount, if any) or interest on
Securities of that series that have become due solely by such declaration of acceleration, have
been cured or waived as provided in Section 513.

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

            SECTION 503.  Collection of Indebtedness and Suits for Enforcement by Trustee.

            The Company covenants that if:

            (1)            default is made in the payment of any installment of interest or Additional
Amounts, if any, on any Security of any series and any related coupon when such interest or
Additional Amount becomes due and payable and such default continues for a period of 30 days,
or

            (2)            default is made in the payment of the principal of (or premium or Make-Whole
Amount, if any, on) any Security of any series at its Maturity,

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then the Company will, upon demand of the Trustee, pay to the Trustee, for the benefit of the
Holders of such Securities of such series and coupons, the whole amount then due and payable
on such Securities and coupons for principal (and premium or Make-Whole Amount, if any) and
interest and Additional Amounts, with interest upon any overdue principal (and premium or
Make-Whole Amount, if any) and, to the extent that payment of such interest shall be legally
enforceable, upon any overdue installments of interest or Additional Amounts, if any, at the rate
or rates borne by or provided for in such Securities, and, in addition thereto, such further amount
as shall be sufficient to cover the costs and expenses of collection, including the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents and counsel.

            If the Company fails to pay such amounts forthwith upon such demand, the Trustee, in its
own name and as trustee of an express trust, may institute a judicial proceeding for the collection
of the sums so due and unpaid, and may prosecute such proceeding to judgment or final decree,
and may enforce the same against the Company or any other obligor upon such Securities of such
series and collect the moneys adjudged or decreed to be payable in the manner provided by law
out of the property of the Company or any other obligor upon such Securities of such series,
wherever situated.

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

            SECTION 504.  Trustee May File Proofs of Claim.

            In case of the pendency of any receivership, insolvency, liquidation, bankruptcy,
reorganization, arrangement, adjustment, composition or other judicial proceeding relative to the
Company or any other obligor upon the Securities or the property of the Company or of such
other obligor or their creditors, the Trustee (irrespective of whether the principal of the Securities
of any series shall then be due and payable as therein expressed or by declaration or otherwise
and irrespective of whether the Trustee shall have made any demand on the Company for the
payment of overdue principal, premium or Make-Whole Amount, if any, or interest) shall be
entitled and empowered, by intervention in such proceeding or otherwise:

            (i)            to file and prove a claim for the whole amount, or such lesser amount as may be
provided for in the Securities of such series, of principal (and premium or Make-Whole Amount,
if any) and interest and Additional Amounts, if any, owing and unpaid in respect of the Securities
and to file such other papers or documents as may be necessary or advisable in order to have the
claims of the Trustee (including any claim for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel) and of the Holders allowed in
such judicial proceeding, and

            (ii)            to collect and receive any moneys or other property payable or deliverable on
any such claims and to distribute the same;

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and any custodian, receiver, assignee, trustee, liquidator, sequestrator (or other similar
official) in any such judicial proceeding is hereby authorized by each Holder of Securities of such
series and coupons 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 to it for the reasonable compensation, expenses, disbursements and advances of the Trustee
and any predecessor Trustee, their agents and counsel, and any other amounts due the Trustee or
any predecessor Trustee under Section 606.

            Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent
to or accept or adopt on behalf of any Holder of a Security or coupon any plan of reorganization,
arrangement, adjustment or composition affecting the Securities or coupons or the rights of any
Holder thereof, or to authorize the Trustee to vote in respect of the claim of any Holder of a
Security or coupon in any such proceeding.

            SECTION 505.  Trustee May Enforce Claims Without Possession of Securities or
Coupons.

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

            SECTION 506.  Application of Money Collected.

            Any money collected by the Trustee pursuant to this Article shall be applied in the
following order, at the date or dates fixed by the Trustee and, in case of the distribution of such
money on account of principal (or premium or Make-Whole Amount, if any) or interest and any
Additional Amounts, upon presentation of the Securities or coupons, or both, as the case may be,
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 and any predecessor Trustee
under Section 606,

            SECOND:  To the payment of the amounts then due and unpaid upon the Securities and
coupons for principal (and premium or Make-Whole Amount, if any) and interest and any
Additional Amounts payable, 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 aggregate
amounts due and payable on such Securities and coupons for principal (and premium or Make-Whole Amount, if any), interest and Additional Amounts, respectively, and

            THIRD:  To the payment of the remainder, if any, to the Company.

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            SECTION 507.  Limitation on Suits.

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

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

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

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

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

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

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

            SECTION 508.  Unconditional Right of Holders to Receive Principal, Premium or Make-Whole Amount, if any, Interest and Additional Amounts.

            Notwithstanding any other provision in this Indenture, the Holder of any Security or
coupon shall have the right which is absolute and unconditional to receive payment of the principal
of (and premium or Make-Whole Amount, if any) and (subject to Sections 305 and 307) interest
on, and any Additional Amounts in respect of, such Security or payment of such coupon on the
respective due dates expressed in such Security or coupon (or, in the case of redemption, on the
Redemption Date) and to institute suit for the enforcement of any such payment, and such rights
shall not be impaired without the consent of such Holder.

            SECTION 509.  Restoration of Rights and Remedies.

            If the Trustee or any Holder of a Security or coupon 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 the Company, the Trustee and the Holders of Securities and coupons
shall, subject to any determination in such proceeding, be restored severally and respectively to

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their former positions hereunder and thereafter all rights and remedies of the Trustee and the
Holders shall continue as though no such proceeding has been instituted.

            SECTION 510.  Rights and Remedies Cumulative.

            Except as otherwise provided with respect to the replacement or payment of mutilated,
destroyed, lost or stolen Securities or coupons in the last paragraph of Section 306, no right or
remedy herein conferred upon or reserved to the Trustee or to the Holders of Securities or
coupons 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 511.  Delay or Omission Not Waiver.

            No delay or omission of the Trustee or of any Holder of any Security or coupon 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 any 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 of Securities or coupons, as the case may be.

            SECTION 512.  Control by Holders of Securities.

            The Holders of not less than a majority in principal amount of the Outstanding Securities
of any series shall have the right to direct the time, method and place of conducting any
proceeding for any remedy available to the Trustee or exercising any trust or power conferred on
the Trustee with respect to the Securities of such series, provided that

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

            (2)            the Trustee may take any other action deemed proper by the Trustee that is not
inconsistent with such direction, and

            (3)            the Trustee need not take any action that might involve it in personal liability
or be unduly prejudicial to the Holders of Securities of such series not joining therein (but the
Trustee shall have no obligation as to the determination of such undue prejudice).

            SECTION 513.  Waiver of Past Defaults.

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

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            (1)            in the payment of the principal of (or premium or Make-Whole Amount, if any)
or interest on or Additional Amounts payable in respect of any Security of such series or any
related coupons, or

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

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

            SECTION 514.  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.

            SECTION 515.  Undertaking for Costs.

            All parties to this Indenture agree, and each Holder of any Security by his acceptance
thereof shall be deemed to have agreed, that any court may in its discretion require, in any suit for
the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee for
any action taken or omitted by it as Trustee, the filing by any party litigant in such suit of an
undertaking to pay the costs of such suit, and that such court may in its discretion assess
reasonable costs, including reasonable attorneys' fees, against any party litigant in such suit
having due regard to the merits and good faith of the claims or defenses made by such party
litigant; but the provisions of this Section shall not apply 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 of (or premium or Make-Whole Amount, if any) or
interest on or Additional Amounts payable with respect to any Security on or after the respective
Stated Maturities expressed in such Security (or in the case of redemption, on or after the
Redemption Date).

ARTICLE SIX

THE TRUSTEE

            SECTION 601.  Notice of Defaults.

            Within 90 days after the occurrence of any default hereunder with respect to the
Securities of any series, the Trustee shall transmit in the manner and to the extent provided in

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TIA Section 313(c), notice of such default hereunder actually known to a Responsible Officer of
the Trustee, unless such default shall have been cured or waived; provided, however, that, except
in the case of a default in the payment of the principal of (or premium or Make-Whole Amount,
if any) or interest on or any Additional Amounts with respect to any Security of such series, or in
the payment of any sinking fund installment with respect to the Securities of such series, the
Trustee shall be protected in withholding such notice if and so long as Responsible Officers of
the Trustee in good faith determine that the withholding of such notice is in the interests of the
Holders of the Securities and coupons of such series; and provided further that in the case of any
default or breach of the character specified in Section 501(4) with respect to the Securities and
coupons of such series, no such notice to Holders shall be given until at least 60 days after the
occurrence thereof. For the purpose of this Section, the term "default" means any event which is, or
after notice or lapse of time or both would become, an Event of Default with respect to the
Securities of such series.

            SECTION 602.  Certain Rights of Trustee.

            Subject to the provisions of TIA Section 315(a) through 315(d):

            (1)            the Trustee shall perform only such duties as are expressly undertaken by it to
perform under this Indenture and no implied covenants or obligations shall be read into this
Indenture against the Trustee;

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

            (3)            any request or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order (other than delivery of any Security,
together with any coupons appertaining thereto, to the Trustee for authentication and delivery
pursuant to Section 303 that shall be sufficiently evidenced as provided therein) and any
resolution of the Board of Directors may be sufficiently evidenced by a Board Resolution;

            (4)            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;

            (5)            the Trustee may consult with counsel and as a condition to the taking, suffering
or omission of any action hereunder may demand an Opinion of Counsel, 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;

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            (6)            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 of Securities of any
series or any related coupons pursuant to this Indenture, unless such Holders shall have offered to
the Trustee security or indemnity satisfactory to the Trustee against the costs, expenses and
liabilities that might be incurred by it in compliance with such request or direction;

            (7)            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, coupon 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;

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

            (9)            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. The Trustee shall not be required to expend or risk its
own funds or otherwise incur any financial liability in the performance of any of its duties
hereunder, or in the exercise of any of its rights or powers, if it shall have reasonable grounds for
believing that repayment of such funds or indemnity satisfactory to the Trustee against such risk
or liability is not reasonably assured to it.

            SECTION 603.  Not Responsible for Recitals or Issuance of Securities.

            The recitals contained herein and in the Securities, except the Trustee's certificate of
authentication, and in any coupons shall be taken as the statements of the Company, and neither
the Trustee nor any Authenticating Agent assumes any responsibility for their correctness. The
Trustee makes no representations as to the validity or sufficiency of this Indenture or of the
Securities or coupons, except that the Trustee represents that it is duly authorized to execute and
deliver this Indenture, authenticate the Securities and perform its obligations hereunder. Neither
the Trustee nor any Authenticating Agent shall be accountable for the use or application by the
Company of Securities or the proceeds thereof.

            SECTION 604.  May Hold Securities.

            The Trustee, any Paying Agent, Security Registrar, Authenticating Agent or any other
agent of the Company, in its individual or any other capacity, may become the owner or pledgee
of Securities and coupons and, subject to Section 613 and TIA Sections 310(b) and 311, may
otherwise deal with the Company with the same rights it would have if it were not Trustee,
Paying Agent, Security Registrar, Authenticating Agent or such other agent.

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            SECTION 605.  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, or
investment of, any money received by it hereunder.

            SECTION 606.  Compensation and Reimbursement.

            The Company agrees:

            (1)            to pay to the Trustee from time to time reasonable compensation for all
services rendered by it hereunder, including extraordinary services rendered in connection with
or during the continuation of a default hereunder (which compensation shall not be limited by
any provision of law in regard to the compensation of a trustee of an express trust);

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

            (3)            to indemnify each of the Trustee and any predecessor Trustee and each of their
respective directors, officers, agents and employees for, and to hold each of them harmless
against, any loss, liability or expense, arising out of or in connection with the acceptance or
administration of the trust or trusts or the performance of its duties hereunder, including the costs
and expenses of defending itself against any claim or liability in connection with the exercise or
performance of any of its powers or duties hereunder except to the extent any such loss, liability
or expense may be attributable to its own gross negligence or bad faith.

            As security for the performance of the obligations of the Company under this Section, the
Trustee shall have a lien prior to the Securities upon all property and funds held or collected by
the Trustee as such, except funds held in trust for the payment of principal of (or premium or
Make-Whole Amount, if any) or interest on particular Securities or any coupons.

            When the Trustee incurs expenses or renders services in connection with an Event of
Default described in Section 501(6) and (7), such expenses (including the fees and expenses of
its counsel) and the compensation for such services are intended to constitute expenses of
administration under any Bankruptcy Law.

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

            SECTION 607.  Corporate Trustee Required; Eligibility.

            There shall at all times be a Trustee hereunder that shall be eligible to act as Trustee
under TIA Section 310(a)(1) and shall have a combined capital and surplus of at least
$50,000,000 or is a subsidiary of a corporation that shall be a Person that has a combined capital
and surplus of at least $50,000,000 and which unconditionally guarantees the obligations of the

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Trustee hereunder. If such Trustee or Person publishes reports of condition at least annually,
pursuant to law or the requirements of Federal, State, Territorial or District of Columbia
supervising or examining authority, then for the purposes of this Section, the combined capital
and surplus of such Trustee or 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 608.  Resignation and Removal; Appointment of Successor.

            (a)            No resignation or removal of the Trustee and no appointment of a successor
Trustee pursuant to this Article shall become effective until the acceptance of appointment by the
successor Trustee in accordance with the applicable requirements of Section 609.

            (b)            The Trustee may resign at any time with respect to the Securities of one or
more series by giving written notice thereof to the Company. If 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
for the appointment of a successor Trustee.

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

            (d)            If at any time:

                        (1)            the Trustee shall fail to comply with the provisions of Section 613 or TIA
Section 310(b) after written request therefor by the Company or by any Holder of a Security who
has been a bona fide Holder of a Security for at least six months, or

                        (2)            the Trustee shall cease to be eligible under Section 607 and shall fail to resign
after written request therefor by the Company or by any Holder of a Security who has been a
bona fide Holder of a Security for at least six months, or

            (3)            the Trustee shall become incapable of acting or shall be adjudged a bankrupt or
insolvent or a receiver of the Trustee or of its property shall be appointed or any public officer
shall take charge or control of the Trustee or of its property or affairs for the purpose of
rehabilitation, conservation or liquidation, then, in any such case, (i) the Company by or pursuant
to a Board Resolution may remove the Trustee and appoint a successor Trustee with respect to all
Securities, or (ii) subject to TIA Section 315(e), any Holder of a Security who has been a bona
fide Holder of a Security for at least six months may, on behalf of himself and all others similarly
situated, petition any court of competent jurisdiction for the removal of the Trustee with respect
to all Securities and the appointment of a successor Trustee or Trustees.

            (e)            If the Trustee shall resign, be removed or become incapable of acting, or if a
vacancy shall occur in the office of Trustee for any cause with respect to the Securities of one or
more series, the Company, by or pursuant to a Board Resolution, shall promptly appoint a
successor Trustee or Trustees with respect to the Securities of that or those series (it being

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understood that any such successor Trustee may be appointed with respect to the Securities of
one or more or all of such series and that at any time there shall be only one Trustee with respect
to the Securities of any particular series). If, within one year after such resignation, removal or
incapability, or the occurrence of such vacancy, a successor Trustee with respect to the Securities
of any series shall be appointed by Act of the Holders of a majority in principal amount of the
Outstanding Securities of such series delivered to the Company and the retiring Trustee, the
successor Trustee so appointed shall, forthwith upon its acceptance of such appointment, become
the successor Trustee with respect to the Securities of such series and to that extent supersede the
successor Trustee appointed by the Company. If no successor Trustee with respect to the
Securities of any series shall have been so appointed by the Company or the Holders of Securities
and accepted appointment in the manner hereinafter provided, any Holder of a Security who has
been a bona fide Holder of a Security of such series for at least six months may, on behalf of
himself and all others similarly situated, petition any court of competent jurisdiction for the
appointment of a successor Trustee with respect to Securities of such series.

            (f)            The Company shall give notice of each resignation and each removal of the
Trustee with respect to the Securities of any series and each appointment of a successor Trustee
with respect to the Securities of any series in the manner provided for notices to the Holders of
Securities in Section 106. Each notice shall include the name of the successor Trustee with
respect to the Securities of such series and the address of its Corporate Trust Office.

            SECTION 609.  Acceptance of Appointment By Successor.

            (a)            In case of the appointment hereunder of a successor Trustee with respect to all
Securities, every such successor Trustee 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, subject nevertheless to its claim, if any, provided for in
Section 606.

            (b)            In case of the appointment hereunder of a successor Trustee with respect to the
Securities of one or more (but not all) series, the Company, the retiring Trustee and each
successor Trustee with respect to the Securities of one or more series shall execute and deliver an
indenture supplemental hereto, pursuant to Article Nine hereof, wherein each successor Trustee
shall accept such appointment and that (1) shall contain such provisions as shall be necessary or
desirable to transfer and confirm to, and to vest in, each successor Trustee all the rights, powers,
trusts and duties of the retiring Trustee with respect to the Securities of that or those series to
which the appointment of such successor Trustee relates, (2) if the retiring Trustee is not retiring
with respect to all Securities, shall contain such provisions as shall be deemed necessary or
desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with
respect to the Securities of that or those series as to which the retiring Trustee is not retiring shall
continue to be vested in the retiring Trustee, and (3) shall add to or change any of the provisions

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of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts
hereunder by more than one Trustee, it being understood that nothing herein or in such
supplemental indenture shall constitute such Trustees co-trustees of the same trust and that each
such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or
trusts hereunder administered by any other such Trustee; and upon the execution and delivery of
such supplemental indenture the resignation or removal of the retiring Trustee shall become
effective to the extent provided therein and each such successor Trustee, without any further act,
deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the
retiring Trustee with respect to the Securities of that or those series to which the appointment of
such successor Trustee relates; but, on request of the Company or any successor Trustee, such
retiring Trustee shall duly assign, transfer and deliver to such successor Trustee all property and
money held by such retiring Trustee hereunder with respect to the Securities of that or those
series to which the appointment of such successor Trustee relates.

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

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

            (e)            All monies due and owing to the Trustee shall be paid before the Successor
Trustee takes over.

            SECTION 610.  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 of 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 or coupons shall have been authenticated, but not delivered, by the Trustee then in
office, any successor by merger, conversion or consolidation to such authenticating Trustee may
adopt such authentication and deliver the Securities or coupons so authenticated with the same
effect as if such successor Trustee had itself authenticated such Securities or coupons. In case any
Securities or coupons shall not have been authenticated by such predecessor Trustee, any such
successor Trustee may authenticate and deliver such Securities or coupons, in either its own
name or that of its predecessor Trustee, with the full force and effect that this Indenture provides
for the certificate of authentication of the Trustee.

            SECTION 611.  Appointment of Authenticating Agent.

            At any time when any of the Securities remain Outstanding, the Trustee may appoint an
Authenticating Agent or Agents with respect to one or more series of Securities that shall be
authorized to act on behalf of the Trustee to authenticate Securities of such series issued upon

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exchange, registration of transfer or partial redemption or repayment thereof or pursuant to
Section 306, and Securities so authenticated shall be entitled to the benefits of this Indenture and
shall be valid and obligatory for all purposes as if authenticated by the Trustee hereunder. Any
such appointment shall be evidenced by an instrument in writing signed by a Responsible Officer
of the Trustee, a copy of which instrument shall be promptly furnished to the Company.
Wherever reference is made in this Indenture to the authentication and delivery of Securities by
the Trustee or the Trustee's certificate of authentication, such reference shall be deemed to
include authentication and delivery on behalf of the Trustee by an Authenticating Agent and a
certificate of authentication executed on behalf of the Trustee by an Authenticating Agent. Each
Authenticating Agent shall be reasonably acceptable to the Company and, except as may
otherwise be provided pursuant to Section 301, shall at all times be a bank or trust company or
corporation organized and doing business and in good standing under the laws of the United
States of America or of any State or the District of Columbia, authorized under such laws to act
as Authenticating Agent, having a combined capital and surplus of not less than $25,000,000 and
subject to supervision or examination by Federal or State authorities. If such Authenticating
Agent publishes reports of condition at least annually, pursuant to law or the requirements of the
aforesaid supervising or examining authority, then for the purposes of this Section, the combined
capital and surplus of such Authenticating Agent shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. In case at any time an
Authenticating Agent shall cease to be eligible in accordance with the provisions of this Section,
such Authenticating Agent shall resign immediately in the manner and with the effect specified
in this Section.

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

            An Authenticating Agent for any series of Securities may at any time resign by giving
written notice of resignation to the Trustee for such series and to the Company. The Trustee for
any series of Securities may at any time terminate the agency of an Authenticating Agent by
giving written notice of termination to such Authenticating Agent and to the Company. Upon
receiving such a notice of resignation or upon such a termination, or in case at any time such
Authenticating Agent shall cease to be eligible in accordance with the provisions of this Section,
the Trustee for such series may appoint a successor Authenticating Agent which shall be acceptable
to the Company and shall give notice of such appointment to all Holders of Securities of or
within the series with respect to which such Authenticating Agent will serve in the manner set
forth in Section 106. Any successor Authenticating Agent upon acceptance of its appointment
hereunder shall become vested with all the rights, powers and duties of its predecessor hereunder,
with like effect as if originally named as an Authenticating Agent herein. No successor
Authenticating Agent shall be appointed unless eligible under the provisions of this Section.

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

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

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

	 	Wilmington Trust Company, as Trustee
 
		By:	 
as Authenticating Agent
 
		By:	 
Authorized Officer

            SECTION 612.  Certain Duties and Responsibilities.

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

            SECTION 613.  Conflicting Interests.

            If the Trustee has or shall acquire a conflicting interest within the meaning of the TIA, the
Trustee shall either eliminate such interest or resign, to the extent and in the manner provided by,
and subject to the provisions of, the TIA and this Indenture. To the extent permitted by such Act,
the Trustee shall not be deemed to have a conflicting interest by virtue of being a trustee under
this Indenture with respect to Securities of more than one series. In case an Event of Default shall
occur and be continuing, the Trustee shall exercise such of its rights and powers under the
applicable 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 his own affairs.

            

ARTICLE SEVEN

HOLDERS' LISTS AND REPORTS BY TRUSTEE AND COMPANY

            SECTION 701.  Disclosure of Names and Addresses of Holders.

            Every Holder of Securities or coupons, by receiving and holding the same, agrees with
the Company and the Trustee that neither the Company nor the Trustee nor any Authenticating

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Agent nor any Paying Agent nor any Security Registrar nor any director, officer, agent or
employee of any of them shall be held accountable by reason of the disclosure of any information
as to the names and addresses of the Holders of Securities or coupons in accordance with TIA
Section 312, regardless of the source from which such information was derived, and that the
Trustee shall not be held accountable by reason of mailing any material pursuant to a request
made under TIA Section 312(b).

            SECTION 702.  Reports by Trustee.

            Within 60 days after March 15 of each year commencing with the first March 15 after the
first issuance of Securities pursuant to this Indenture, the Trustee shall transmit by mail to all
Holders of Securities as provided in TIA Section 313(c) a brief report dated as of such March 15
if and to the extent required by TIA Section 313(a).

            SECTION 703.  Reports by Company.

            The Company will:

            (1)            file with the Trustee, within 15 days after the Company is required to file the
same with the Commission, copies of the annual reports and of the information, documents and
other reports (or copies of such portions of any of the foregoing as the Commission may from
time to time by rules and regulations prescribe) that the Company may be required to file with the
Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; or, if the Company is
not required to file information, documents or reports pursuant to either of such Sections, then it
will file with the Trustee and the Commission, in accordance with rules and regulations
prescribed from time to time by the Commission, such of the supplementary and periodic
information, documents and reports that may be required pursuant to Section 13 of the Exchange
Act in respect of a security listed and registered on a national securities exchange as may be
prescribed from time to time in such rules and regulations;

            (2)            file with the Trustee and the Commission, in accordance with rules and
regulations prescribed from time to time by the Commission, such additional information,
documents and reports with respect to compliance by the Company with the conditions and
covenants of this Indenture as may be required from time to time by such rules and regulations;
and

            (3)            transmit by mail to the Holders of Securities, within 30 days after the filing
thereof with the Trustee, in the manner and to the extent provided in TIA Section 313(c), such
summaries of any information, documents and reports required to be filed by the Company
pursuant to paragraphs (1) or (2) of this Section as may be required by rules and regulations
prescribed from time to time by the Commission.

            SECTION 704.  Company to Furnish Trustee Names and Addresses of Holders.

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

            (a)            semi-annually, not later than 15 days after the Regular Record Date for interest
for each series of Securities, a list, in such form as the Trustee may reasonably require, of the

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names and addresses of the Holders of Registered Securities of such series as of such Regular
Record Date, or if there is no Regular Record Date for interest for such series of Securities, semi-annually, upon such dates as are set forth in the Board Resolution or indenture supplemental
hereto authorizing such series, and

            (b)            at such other times as the Trustee may request in writing, within 30 days after
the receipt by the Company of any such request, a list of similar form and content as of a date not
more than 15 days prior to the time such list is furnished, provided, however, that, so long as the
Trustee is the Security Registrar, no such lists shall be required to be furnished.

ARTICLE EIGHT

CONSOLIDATION, MERGER, SALE, LEASE OR CONVEYANCE

            SECTION 801.  Consolidations and Mergers of Company and Sales, Leases and
Conveyances Permitted Subject to Certain Conditions.

            The Company may consolidate with, or sell, lease or convey all or substantially all of its
assets to, or merge with or into any other Person, provided that in any such case, (i) either the
Company shall be the continuing entity, or the successor (if other than the Company) entity shall
be a Person organized and existing under the laws of the United States or a State thereof or the
District of Columbia and such successor entity shall expressly assume the due and punctual
payment of the principal of (and premium or Make-Whole Amount, if any) and any interest
(including all Additional Amounts, if any, payable pursuant to Section 1011) on all of the
Securities, according to their tenor, or as otherwise specified pursuant to Section 301, and the due
and punctual performance and observance of all of the covenants and conditions of this Indenture
to be performed by the Company by supplemental indenture, complying with Article Nine
hereof, satisfactory to the Trustee, executed and delivered to the Trustee by such Person and
(ii) immediately after giving effect to such transaction and treating any indebtedness that
becomes an obligation of the Company or any Subsidiary as a result thereof as having been
incurred by the Company or such Subsidiary at the time of such transaction, no Event of Default,
and no event that, after notice or the lapse of time, or both, would become an Event of Default,
shall have occurred and be continuing.

            SECTION 802.  Rights and Duties of Successor Corporation.

            In case of any such consolidation, merger, sale, lease or conveyance and upon any such
assumption by the successor entity, such successor entity shall succeed to and be substituted for
the Company, with the same effect as if it had been named herein as the party of the first part,
and the predecessor entity, except in the event of a lease, shall be relieved of any further
obligation under this Indenture and the Securities. Such successor entity thereupon may cause to
be signed, and may issue either in its own name or in the name of the Company, any or all of the
Securities issuable hereunder that theretofore shall not have been signed by the Company and
delivered to the Trustee; and, upon the order of such successor entity, instead of the Company,
and subject to all the terms, conditions and limitations in this Indenture prescribed, the Trustee
shall authenticate and shall deliver any Securities that previously shall have been signed and
delivered by the officers of the Company to the Trustee for authentication, and any Securities that
such successor entity thereafter shall cause to be signed and delivered to the Trustee for that

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purpose. All the Securities so issued shall in all respects have the same legal rank and benefit
under this Indenture as the Securities theretofore or thereafter issued in accordance with the terms
of this Indenture as though all of such Securities had been issued at the date of the execution
hereof.

            In case of any such consolidation, merger, sale, lease or conveyance, such changes in
phraseology and form (but not in substance) may be made in the Securities thereafter to be issued
as may be appropriate.

            SECTION 803.  Officers' Certificate and Opinion of Counsel.

            Any consolidation, merger, sale, lease or conveyance permitted under Section 801 is also
subject to the condition that the Trustee receive an Officers' Certificate and an Opinion of
Counsel to the effect that any such consolidation, merger, sale, lease or conveyance, and the
assumption by any successor entity, complies with the provisions of this Article and that all
conditions precedent herein provided for relating to such transaction have been complied with.

ARTICLE NINE

SUPPLEMENTAL INDENTURES

            SECTION 901.  Supplemental Indentures Without Consent of Holders.

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

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

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

            (3)            to add any additional Events of Default for the benefit of the Holders of all or
any series of Securities (and if such Events of Default are to be for the benefit of less than all
series of Securities, stating that such Events of Default are expressly being included solely for the
benefit of such series); provided, however, that in respect of any such additional Events of
Default such supplemental indenture may provide for a particular period of grace after default
(which period may be shorter or longer than that allowed in the case of other defaults) or may
provide for an immediate enforcement upon such default or may limit the remedies available to
the Trustee upon such default or may limit the right of the Holders of a majority in aggregate
principal amount of that or those series of Securities to which such additional Events of Default
apply to waive such default; or

            (4)            to add to or change any of the provisions of this Indenture to provide that
Bearer Securities may be registrable as to principal, to change or eliminate any restrictions on the

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payment of principal of or any premium, Make-Whole Amount or Interest on Bearer Securities,
to permit Bearer Securities to be issued in exchange for Registered Securities, to permit Bearer
Securities to be issued in exchange for Bearer Securities of other authorized denominations or to
permit or facilitate the issuance of Securities in uncertificated form, provided that any such action
shall not adversely affect the interests of the Holders of Securities of any series or any related
coupons in any material respect; or

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

            (6)            to secure the Securities; or

            (7)            to establish the form or terms of Securities of any series and any related
coupons as permitted by Sections 201 and 301, including the provisions and procedures relating
to Securities convertible into or exchangeable for other securities or property of the Company; or

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

            (9)            [RESERVED]

            (10)            to cure any ambiguity, to correct or supplement any provision herein which
may be defective or inconsistent with any other provision herein, or to make any other provisions
with respect to matters or questions arising under this Indenture that shall not be inconsistent
with the provisions of this Indenture or to make any other changes, provided that in each case,
such provisions shall not adversely affect the interests of the Holders of Securities of any series
or any related coupons in any material respect; or

            (11)            to close this Indenture with respect to the authentication and delivery of
additional series of Securities or to qualify, or maintain qualification of, this Indenture under the
TIA; or

            (12)            to supplement any of the provisions of this Indenture to such extent as shall be
necessary to permit or facilitate the defeasance and discharge of any series of Securities pursuant
to Sections 401, 1402 and 1403; provided in each case that any such action shall not adversely
affect the interests of the Holders of Securities of such series and any related coupons or any
other series of Securities in any material respect.

            SECTION 902.  Supplemental Indentures with Consent of Holders.

            The Company and the Trustee may (i) amend or supplement this Indenture or the
Securities without notice to any Securityholder but with the written consent of the Holders of a
majority in aggregate principal amount of the Securities of all series then outstanding or

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(ii) supplement this Indenture with regard to a series of Securities, amend or supplement a
Supplemental Indenture relating to a series of Securities, or amend the Securities of a series,
without notice to any Securityholder but with the written consent of the Holders of a majority in
aggregate principal amount of the Securities of that series then outstanding. The Holders of a
majority in principal amount of the Securities of all series then outstanding may waive
compliance by the Company with any provision of this Indenture or the Securities without notice
to any Securityholder. The Holders of a majority in principal amount of the Securities of any
series then outstanding may waive compliance with any provision of this Indenture, any
Supplemental Indenture or the Securities of that series with regard to the Securities of that series
without notice to any Securityholder. However, without the consent of the Holder of each
Outstanding Security affected thereby, no amendment, supplement or waiver may:

            (1)            change the Stated Maturity of the principal of (or premium or Make-Whole
Amount, if any, on) or any installment of principal of or interest on, any Security; or reduce the
principal amount thereof or the rate or amount of interest thereon or any Additional Amounts
payable in respect thereof, or any premium or Make-Whole Amount payable upon the
redemption thereof, or change any obligation of the Company to pay Additional Amounts
pursuant to Section 1011 (except as contemplated by Section 801(i) and permitted by
Section 901(1)), or reduce the amount of the principal of an Original Issue Discount Security or
Make-Whole Amount, if any, that would be due and payable upon a declaration of acceleration
of the Maturity thereof pursuant to Section 502 or the amount thereof provable in bankruptcy
pursuant to Section 504, or change any Place of Payment where, or the currency or currencies,
currency unit or units or composite currency or currencies in which, the principal of any Security
or any premium or Make-Whole Amount or any Additional Amounts payable in respect thereof
or the interest thereon is payable, or impair the right to institute suit for the enforcement of any
such payment on or after the Stated Maturity thereof (or, in the case of redemption or repayment
at the option of the Holder, on or after the Redemption Date or the Repayment Date, as the case
may be); or

            (2)            reduce the percentage in principal amount of the Outstanding Securities of any
series, the consent of whose Holders is required for any such supplemental indenture, or the
consent of whose Holders is required for any waiver with respect to such series (or compliance
with certain provisions of this Indenture or certain defaults hereunder and their consequences)
provided for in this Indenture or, or reduce the requirements of Section 1504 for quorum or
voting; or

            (3)            modify any of the provisions of this Section, Section 513 or Section 1012,
except to increase the required percentage to effect such action 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; or

            (4)            make any change that adversely affects the right to convert or exchange any
Security pursuant to Section 301 (except as permitted by Section 901(9)) or decrease the
conversion or exchange rate or increase the conversion or exchange price of any such Security.

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            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.

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

            SECTION 903.  Execution of Supplemental Indentures.

            In executing, or accepting the additional trusts created by, any supplemental indenture
permitted by this Article or the modification thereby of the trusts created by this Indenture, the
Trustee shall be entitled to receive, and shall be fully protected in relying upon, an Opinion of
Counsel and an Officers' Certificate stating that the execution of such supplemental indenture is
authorized or permitted by this Indenture and that all conditions precedent to the execution of
such supplemental indenture have been complied with. The Trustee may, but shall not be
obligated to, enter into any such supplemental indenture which affects the Trustee's own rights,
duties or immunities under this Indenture or otherwise.

            SECTION 904.  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 and of any coupon appertaining thereto shall be bound thereby.

            SECTION 905.  Conformity with Trust Indenture Act.

            Every supplemental indenture executed pursuant to this Article shall conform to the
requirements of the TIA as then in effect.

            SECTION 906.  Reference in Securities to Supplemental Indentures.

            Securities of any series authenticated and delivered after the execution of any
supplemental indenture pursuant to this Article may, and shall if required by the Trustee, bear a
notation in form approved by the Trustee as to any matter provided for in such supplemental
indenture. If the Company shall so determine, new Securities of any series so modified as to
conform, in the opinion of the Trustee and the Company, to any such supplemental indenture
may be prepared and executed by the Company and authenticated and delivered by the Trustee in
exchange for Outstanding Securities of such series.

            SECTION 907.  Notice of Supplemental Indentures.

            Promptly after the execution by the Company and the Trustee of any supplemental
indenture pursuant to the provisions of Section 902, the Company shall give notice thereof to the
Holders of each Outstanding Security affected, in the manner provided for in Section 106, setting
forth in general terms the substance of such supplemental indenture.

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            SECTION 908.  SUBORDINATION UNIMPAIRED.

            No provision in any supplemental indenture that affects the superior position of the holders of Senior Debt shall be effective against holders of Senior Debt.

ARTICLE TEN

COVENANTS

            SECTION 1001.  Payment of Principal, Premium or Make-Whole Amount, if any,
Interest and Additional Amounts.

            The Company covenants and agrees for the benefit of the Holders of each series of
Securities that it will duly and punctually pay the principal of (and premium or Make-Whole
Amount, if any) and interest on and any Additional Amounts payable in respect of the Securities
of that series in accordance with the terms of such series of Securities, any coupons appertaining
thereto and this Indenture. Unless otherwise specified as contemplated by Section 301 with
respect to any series of Securities, any interest due on and any Additional Amounts payable in
respect of Bearer Securities on or before Maturity, other than Additional Amounts, if any,
payable as provided in Section 1011 in respect of principal of (or premium or Make-Whole
Amount, if any, on) such a Security, shall be payable only upon presentation and surrender of the
several coupons for such interest installments as are evidenced thereby as they severally mature.
Unless otherwise specified with respect to Securities of any series pursuant to Section 301, at the
option of the Company, all payments of principal may be paid by check to the registered Holder
of the Registered Security or other person entitled thereto against surrender of such Security.

            SECTION 1002.  Maintenance of Office or Agency.

            If Securities of a series are issuable only as Registered Securities, the Company shall
maintain in each Place of Payment for any series of Securities an office or agency where
Securities of that series may be presented or surrendered for payment or conversion, where
Securities of that series may be surrendered for registration of transfer or exchange, and where
notices and demands to or upon the Company in respect of the Securities of that series and this
Indenture may be served. If Securities of a series are issuable as Bearer Securities, the Company
will maintain: (A) in the City of Walla Walla, Washington, an office or agency where any
Registered Securities of that series may be presented or surrendered for payment or conversion,
where any Registered Securities of that series may be surrendered for exchange, where notices
and demands to or upon the Company in respect of the Securities of that series and this Indenture
may be served and where Bearer Securities of that series and related coupons may be presented
or surrendered for payment or conversion in the circumstances described in the following
paragraph (and not otherwise); (B) subject to any laws or regulations applicable thereto, in a
Place of Payment for that series that is located outside the United States, an office or agency
where Securities of that series and related coupons may be presented and surrendered for
payment (including payment of any Additional Amounts payable on Securities of that series

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pursuant to Section 1011) or conversion; provided, however, that if the Securities of that series
are listed on the Luxembourg Stock Exchange, The International Stock Exchange or any other
stock exchange located outside the United States and such stock exchange shall so require, the
Company will maintain a Paying Agent for the Securities of that series in Luxembourg, London,
England or any other required city located outside the United States, as the case may be, so long
as the Securities of that series are listed on such exchange; and (C) subject to any laws or
regulations applicable thereto, in each Place of Payment for that series located outside the United
States an office or agency where any Securities of that series may be surrendered for registration
of transfer, where Securities of that series may be surrendered for exchange and where notices
and demands to or upon the Company in respect of the Securities of that series and this Indenture
may be served. The Company will give prompt written notice to the Trustee of the location, and
any change in the location, of each 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, except that Bearer Securities of that series and the related
coupons may be presented and surrendered for payment (including payment of any Additional
Amounts payable on Bearer Securities of that series pursuant to Section 1011) at the offices
specified in the Security, in London, England, and the Company hereby appoints the same as its
agent to receive such respective presentations, surrenders, notices and demands, and the
Company hereby appoints the Trustee its agent to receive all such presentations, surrenders,
notices and demands.

            Unless otherwise specified with respect to any Securities pursuant to Section 301, no
payment of principal, premium, Make-Whole Amount or interest on or Additional Amounts in
respect of Bearer Securities shall be made at any office or agency of the Company in the United
States or by check mailed to any address in the United States or by transfer to an account
maintained with a bank located in the United States; provided, however, that, if the Securities of
a series are payable in Dollars, payment of principal of and any premium and interest on any
Bearer Security (including any Additional Amounts or Make-Whole Amount payable on
Securities of such series pursuant to Section 1011) shall be made at the office of the Company's
Paying Agent in the City of Walla Walla, Washington, if (but only if) payment in Dollars of the
full amount of such principal, premium, interest, Additional Amounts or Make-Whole Amount,
as the case may be, at all offices or agencies outside the United States maintained for the purpose
by the Company in accordance with this Indenture, is illegal or effectively precluded by exchange
controls or other similar restrictions.

            The Company may from time to time designate one or more other offices or agencies
where the Securities of one or more series and related coupons, if any, may be presented or
surrendered for any or all of 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 accordance with the requirements
set forth above for Securities of any series for such purposes. The Company will give prompt
written notice to the Trustee of any such designation or rescission and of any change in the
location of any such other office or agency.

            Unless otherwise specified with respect to any Securities pursuant to Section 301, if and
so long as the Securities of any series (i) are denominated in a Foreign Currency or (ii) may be

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payable in a Foreign Currency, or so long as it is required under any other provision of the
Indenture, then the Company will maintain with respect to each such series of Securities, or as so
required, at least one exchange rate agent.

            SECTION 1003.  Money for Securities Payments to Be Held in Trust.

            If the Company shall at any time act as its own Paying Agent with respect to any series of
any Securities and any related coupons, it will, on or before each due date of the principal of (and
premium or Make-Whole Amount, if any), or interest on or Additional Amounts in respect of,
any of the Securities of that series, segregate and hold in trust for the benefit of the Persons
entitled thereto a sum in the currency or currencies, currency unit or units or composite currency
or currencies in which the Securities of such series are payable (except as otherwise specified
pursuant to Section 301 for the Securities of such series) sufficient to pay the principal (and
premium or Make-Whole Amount, if any) or interest or Additional Amounts so becoming due
until such sums shall be paid to such Persons or otherwise disposed of as herein provided, and
will promptly notify the Trustee of its action or failure so to act.

            Whenever the Company shall have one or more Paying Agents for any series of Securities
and any related coupons, it will, on or before each due date of the principal of (and premium or
Make-Whole Amount, if any), or interest on or Additional Amounts in respect of, any Securities
of that series, deposit with a Paying Agent a sum (in the currency or currencies, currency unit or
units or composite currency or currencies described in the preceding paragraph) sufficient to pay
the principal (and premium or Make-Whole Amount, if any) or interest or Additional Amounts,
so becoming due, such sum to be held in trust for the benefit of the Persons entitled to such
principal, premium, Make-Whole Amount or interest or Additional Amounts and (unless such
Paying Agent is the Trustee) the Company will promptly notify the Trustee of its action or failure
so to act.

            The Company will cause each Paying Agent 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:

            (1)            hold all sums held by it for the payment of principal of (and premium or Make-Whole Amount, if any) or interest on Securities or Additional Amounts in trust for the benefit of
the Persons entitled thereto until such sums shall be paid to such Persons or otherwise disposed
of as herein provided;

            (2)            give the Trustee written notice of any default by the Company (or any other
obligor upon the Securities) in the making of any such payment of principal (and premium or
Make-Whole Amount, if any) or interest or Additional Amounts; and

            (3)            at any time during the continuance of any such default upon the written request
of the Trustee, forthwith pay to the Trustee all sums so held in trust by such Paying Agent.

            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

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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 sums.

            Except as otherwise provided in the Securities of any series, any money deposited with
the Trustee or any Paying Agent, or then held by the Company, in trust for the payment of the
principal of (and premium or Make-Whole Amount, if any) or interest on, or any Additional
Amounts in respect of, any Security of any series and remaining unclaimed for two years after
such principal (and premium or Make-Whole Amount, if any), interest or Additional Amounts
has become due and payable shall be paid to the Company upon 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 of such
principal of (and premium or Make-Whole Amount, if any) or interest on, or any Additional
Amounts in respect of, any Security, without interest thereon, 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 an Authorized Newspaper, notice that such money remains unclaimed and
that, after a date specified therein, which shall not be less than 30 days from the date of such
publication, any unclaimed balance of such money then remaining will be repaid to the
Company.

            SECTION 1004.  [Reserved].

            SECTION 1005.  Existence.

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

            SECTION 1006.  Maintenance of Properties.

            The Company will cause all of its material properties used or useful in the conduct of its
business or the business of any Subsidiary to be maintained and kept in good condition, repair
and working order and supplied with all necessary equipment and will cause to be made all
necessary repairs, renewals, replacements, betterments and improvements thereof, all as in the
judgment of the Company may be necessary so that the business carried on in connection
therewith may be properly and advantageously conducted at all times; provided, however, that
nothing in this Section shall prevent the Company or any Subsidiary from selling or otherwise
disposing of its properties in the ordinary course of its business.

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            SECTION 1007.  Insurance.

            The Company will, and will cause each of its Subsidiaries to, keep all its insurable
properties insured against loss or damage with commercially reasonable amounts and types of
insurance provided by insurers of recognized responsibility.

            SECTION 1008.  Payment of Taxes and Other Claims.

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

            SECTION 1009.  Provision of Financial Information.

            (a) The Company covenants and agrees to file with the Trustee, within 15 days after the Company is required to file the same with the Commission, copies of the annual reports and of the information, documents and other reports (or copies of such portions of any of the foregoing as the Commission may from time to time by rules and regulations prescribe) that the Company may be required to file with the Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; provided that, if the Company is not required to file information, documents or reports pursuant to either of such sections, then to file with the Trustee and the Commission, as the case may be, only such other information, if any, as may be required pursuant to Section 1009(b) below.

            (b) The Company covenants and agrees to file with the Trustee and the Commission, in accordance with the rules and regulations prescribed from to time by the Commission, such additional information, documents and reports, if any, including with respect to compliance by the Company with the conditions and covenants provided for in this Indenture, as may be required from time to time by such rules and regulations.

            (c)  Notwithstanding the foregoing, the Company's obligations under this Section 1009 shall be deemed satisfied, and no further filing with or delivery to the Trustee of copies of such information, documents or reports shall be required, to the extent the Company has filed such information, documents or reports with the Commission via the Electronic Data Gathering and Retrieval (EDGAR) or any successor system.

            SECTION 1010.  Statement as to Compliance.

            The Company will deliver to the Trustee within 120 days after the end of each fiscal year,
a brief certificate from the principal executive officer, principal financial officer or principal
accounting officer as to his or her knowledge of the Company's compliance with all conditions
and covenants under this Indenture and, in the event of any noncompliance, specifying such
noncompliance and the nature and status thereof. For purposes of this Section 1010, such
compliance shall be determined without regard to any period of grace or requirement of notice
under this Indenture.

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            SECTION 1011.  Additional Amounts.

            If any Securities of a series provide for the payment of Additional Amounts, the Company
will pay to the Holder of any Security of such series or any coupon appertaining thereto
Additional Amounts as may be specified as contemplated by Section 301. Whenever in this
Indenture there is mentioned, in any context except in the case of Section 502(1), the payment of
the principal of or any premium, Make-Whole Amount or interest on, or in respect of, any
Security of any series or payment of any related coupon or the net proceeds received on the sale
or exchange of any Security of any series, such mention shall be deemed to include mention of
the payment of Additional Amounts provided by the terms of such series established pursuant to
Section 301 to the extent that, in such context, Additional Amounts are, were or would be
payable in respect thereof pursuant to such terms and express mention of the payment of
Additional Amounts (if applicable) in any provisions hereof shall not be construed as
excluding Additional Amounts in those provisions hereof where such express mention is not made.

            Except as otherwise specified as contemplated by Section 301, if the Securities of a series
provide for the payment of Additional Amounts, at least 10 days prior to the first Interest
Payment Date with respect to that series of Securities (or if the Securities of that series will not
bear interest prior to Maturity, the first day on which a payment of principal and any premium is
made), and at least 10 days prior to each date of payment of principal and any premium or Make-Whole Amount or interest if there has been any change with respect to the matters set forth in the
below-mentioned Officers' Certificate, the Company will furnish the Trustee and the Company's
principal Paying Agent or Paying Agents, if other than the Trustee, with an Officers' Certificate
instructing the Trustee and such Paying Agent or Paying Agents whether such payment of
principal of and any premium or interest on the Securities of that series shall be made to Holders
of Securities of that series or any related coupons who are not United States persons without
withholding for or on account of any tax, assessment or other governmental charge described in
the Securities of or within the series. If any such withholding shall be required, then such
Officers' Certificate shall specify by country the amount, if any, required to be withheld on such
payments to such Holders of Securities of that series or related coupons and the Company will
pay to the Trustee or such Paying Agent the Additional Amounts, if any, required by the terms of
such Securities. In the event that the Trustee or any Paying Agent, as the case may be, shall not
so receive the above mentioned certificate, then the Trustee or such Paying Agent shall be
entitled (i) to assume that no such withholding or deduction is required with respect to any
payment of principal or interest with respect to any Securities of a series or related coupons until
it shall have received a certificate advising otherwise and (ii) to make all payments of principal
and interest with respect to the Securities of a series or related coupons without withholding or
deductions until otherwise advised. The Company covenants to indemnify the Trustee and any
Paying Agent and their respective officers, directors, employees and agents for, and to hold them
harmless against, any loss, liability or expense (including but not limited to legal fees and
expenses) reasonably incurred without gross negligence or bad faith on their part arising out of or
in connection with actions taken or omitted by any of them in reliance on any Officers'
Certificate furnished pursuant to this Section or in reliance on the Company's not furnishing such
an Officers' Certificate.

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            SECTION 1012.  Waiver of Certain Covenants.

            The Company may omit in any particular instance to comply with any term, provision or
condition set forth in Sections 1005 to 1009, inclusive, and with any other term, provision or
condition with respect to the Securities of any series specified in accordance with Section 301
(except any such term, provision or condition that could not be amended without the consent of
all Holders of Securities of such series pursuant to Section 902), if before or after the time for
such compliance the Holders of at least a majority in principal amount of all outstanding
Securities of such series, by Act of such Holders, either waive such compliance in such instance
or generally waive compliance with such covenant or condition, but no such waiver shall extend
to or affect such covenant or condition except to the extent so expressly waived, and, until such
waiver shall become effective, the obligations of the Company and the duties of the Trustee in
respect of any such term, provision or condition shall remain in full force and effect.

ARTICLE ELEVEN

REDEMPTION OF SECURITIES

            SECTION 1101.  Applicability of Article.

            Securities of any series that are redeemable before their Stated Maturity shall be
redeemable in accordance with their terms and (except as otherwise specified as contemplated by
Section 301 for Securities of any series) in accordance with this Article.

            SECTION 1102.  Election to Redeem; Notice to Trustee.

            The election of the Company to redeem any Securities shall be evidenced by or pursuant
to a Board Resolution. In case of any redemption at the election of the Company of less than all
of the Securities of any series, the Company shall, at least 45 days prior to the giving of the
notice of redemption in Section 1104 (unless a shorter notice shall be satisfactory to the Trustee),
notify the Trustee, in writing, of such Redemption Date, of the principal amount of Securities of
such series to be redeemed and of the Redemption Price of such Securities and any accrued
interest and Additional Amounts payable with respect thereto, if any, on the Redemption Date. In
the case of any redemption of Securities prior to the expiration of any restriction on such
redemption provided in the terms of such Securities or elsewhere in this Indenture, the Company
shall furnish the Trustee with an Officers' Certificate and Opinion of Counsel evidencing
compliance with such restriction.

            SECTION 1103.  Selection by Trustee of Securities to Be Redeemed.

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

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            If any Security selected for partial redemption is converted in part before termination of
the conversion or exchange right with respect to the portion of the Security so selected, the
converted or exchanged portion of such Security shall be deemed (so far as may be) to be the
portion selected for redemption. Securities that have been converted or exchanged during a
selection of Securities to be redeemed shall be treated by the Trustee as Outstanding for the
purpose of such selection. In any case where more than one Security is registered in the same
name, the Trustee in its discretion may treat the aggregate principal amount so registered as if it
were represented by one Security.

            The Trustee shall promptly notify the Company and the Security Registrar (if other than
itself) in writing of the Securities selected for redemption and, in the case of any Securities
selected for partial redemption, the principal amount thereof to be redeemed.

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

            SECTION 1104.  Notice of Redemption.

            Notice of redemption shall be given in the manner provided in Section 106, not less than
30 days nor more than 60 days prior to the Redemption Date, unless a shorter period is specified
by the terms of such series established pursuant to Section 301, to each Holder of Securities to be
redeemed, but failure to give such notice in the manner herein provided to the Holder of any
Security designated for redemption as a whole or in part, or any defect in the notice to any such
Holder, shall not affect the validity of the proceedings for the redemption of any other such
Security or portion thereof.

            Any notice that is mailed to the Holders of Registered Securities in the manner herein
provided shall be conclusively presumed to have been duly given, whether or not the Holder
receives the notice.

            All notices of redemption shall state:

            (1)            the Redemption Date;

            (2)            the Redemption Price, accrued interest to the Redemption Date payable as
provided in Section 1106, if any, and Additional Amounts, if any;

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

            (4)            in case any Security is to be redeemed in part only, that on and after the
Redemption Date, upon surrender of such Security, the holder will receive, without a charge, a
new Security or Securities of authorized denominations for the principal amount thereof
remaining unredeemed;

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            (5)            that on the Redemption Date the Redemption Price and accrued interest to the
Redemption Date payable as provided in Section 1106, if any, will become due and payable upon
each such Security, or the portion thereof, to be redeemed and, if applicable, that interest thereon
shall cease to accrue on and after said date;

            (6)            the Place or Places of Payment where such Securities, together in the case of
Bearer Securities with all coupons appertaining thereto, if any, maturing after the Redemption
Date, are to be surrendered for payment of the Redemption Price and accrued interest, if any, or
for conversion or exchange;

            (7)            that the redemption is for a sinking fund, if such is the case;

            (8)            that, unless otherwise specified in such notice, Bearer Securities of any series,
if any, surrendered for redemption must be accompanied by all coupons maturing subsequent to
the date fixed for redemption or the amount of any such missing coupon or coupons will be
deducted from the Redemption Price, unless security or indemnity satisfactory to the Company,
the Trustee for such series and any Paying Agent is furnished;

            (9)            if Bearer Securities of any series are to be redeemed and any Registered
Securities of such series are not to be redeemed, and if such Bearer Securities may be exchanged
for Registered Securities not subject to the redemption on this Redemption Date pursuant to
Section 305 or otherwise, the last date, as determined by the Company, on which such exchanges
may be made;

            (10)            the CUSIP number of such Security, if any, provided that neither the
Company nor the Trustee shall have any responsibility for any such CUSIP number;

            (11)            if applicable, that a Holder of Securities who desires to convert or exchange
Securities to be redeemed must satisfy the requirements for conversion or exchange contained in
such Securities, the then existing conversion or exchange price or rate and the date and time
when the option to convert or exchange shall expire and the place or places where such Securities
may be surrendered for conversion or exchange; and

            (12)            such other information as the Trustee reasonably deems appropriate.

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

            SECTION 1105.  Deposit of Redemption Price.

            On or prior to any Redemption Date, the Company shall deposit with the Trustee or with
a Paying Agent (or, if the Company is acting as its own Paying Agent, which it may not do in the
case of a sinking fund payment under Article Twelve, segregate and hold in trust as provided in
Section 1003) an amount of money in the currency or currencies, currency unit or units or
composite currency or currencies in which the Securities of such series are payable (except as
otherwise specified pursuant to Section 301 for the Securities of such series) sufficient to pay on
the Redemption Date the Redemption Price of, and (except if the Redemption Date shall be an

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Interest Payment Date) accrued interest on, all the Securities or portions thereof that are to be
redeemed on that date.

            SECTION 1106.  Securities Payable on Redemption Date.

            Notice of redemption having been given as aforesaid, the Securities so to be redeemed
shall, on the Redemption Date, become due and payable at the Redemption Price therein
specified in the currency or currencies, currency unit or units or composite currency or currencies
in which the Securities of such series are payable (except as otherwise specified pursuant to
Section 301 for the Securities of such series) (together with accrued interest and Additional
Amounts payable with respect thereto, if any, on the Redemption Date), and from and after such
date (unless the Company shall default in the payment of the Redemption Price and accrued
interest and Additional Amounts, if any) such Securities shall, if the same were interest-bearing,
cease to bear interest and the coupons for such interest appertaining to any Bearer Securities so to
be redeemed, except to the extent provided below, shall be void. Upon surrender of any such
Security for redemption in accordance with said notice, together with all coupons, if any,
appertaining thereto maturing after the Redemption Date, such Security shall be paid by the
Company at the Redemption Price, together with accrued interest and Additional Amounts
payable with respect thereto, if any, on the Redemption Date; provided, however, that
installments of interest on Bearer Securities whose Stated Maturity is on or prior to the
Redemption Date shall be payable only at an office or agency located outside the United States
(except as otherwise provided in Section 1002) and, unless otherwise specified as contemplated
by Section 301, only upon presentation and surrender of coupons for such interest; and provided
further that except as otherwise provided with respect to Securities convertible or exchangeable
into other securities or property (including securities of other issuers, provided that such
securities are registered under Section 12 of the Exchange Act and such issuer is then eligible to
use Form S-3 (or any successor form) for a primary offering of its securities) of the Company,
installments of interest on Registered Securities whose Stated Maturity is on or prior to the
Redemption Date shall be payable to the Holders of such Securities, or one or more Predecessor
Securities, registered as such at the close of business on the relevant Record Dates according to
their terms and the provisions of Section 307.

            If any Bearer Security surrendered for redemption shall not be accompanied by all
appurtenant coupons maturing after the Redemption Date, such Security may be paid after
deducting from the Redemption Price an amount equal to the face amount of all such missing
coupons, or the surrender of such missing coupon or coupons may be waived by the Company
and the Trustee if there be furnished to them such security or indemnity as they may require to
save each of them and any Paying Agent harmless. If thereafter the Holder of such Security shall
surrender to the Trustee or any Paying Agent any such missing coupon in respect of which a
deduction shall have been made from the Redemption Price, such Holder shall be entitled to
receive the amount so deducted; provided, however, that interest represented by coupons shall be
payable only at an office or agency located outside the United States (except as otherwise
provided in Section 1002) and, unless otherwise specified as contemplated by Section 301, only
upon presentation and surrender of those coupons. If any Security called for redemption shall not
be so paid upon surrender thereof for redemption, the principal, (and premium or Make-Whole
Amount, if any) shall, until paid, bear interest from the Redemption Date at the rate borne by the
Security.

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            SECTION 1107.  Securities Redeemed in Part.

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

ARTICLE TWELVE

SINKING FUNDS

            SECTION 1201.  Applicability of Article.

            The provisions of this Article shall be applicable to any sinking fund for the retirement of
Securities of a series except as otherwise specified as contemplated by Section 301 for Securities
of such series.

            The minimum amount of any sinking fund payment provided for by the terms of
Securities of any series is herein referred to as a "mandatory sinking fund payment," and any
payment in excess of such minimum amount provided for by the terms of such Securities of any
series is herein referred to as an "optional sinking fund payment." If provided for by the terms of
any Securities of any series, the cash amount of any mandatory sinking fund payment may be
subject to reduction as provided in Section 1202. Each sinking fund payment shall be applied to
the redemption of Securities of any series as provided for by the terms of Securities of such
series.

            SECTION 1202.  Satisfaction of Sinking Fund Payments with Securities.

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

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            SECTION 1203.  Redemption of Securities for Sinking Fund.

            Not less than 60 days prior to each sinking fund payment date for Securities of any series,
the Company will deliver to the Trustee an Officers' Certificate specifying the amount of the
next ensuing mandatory sinking fund payment for that series pursuant to the terms of that series,
the portion thereof, if any, which is to be satisfied by payment of cash in the currency or
currencies, currency unit or units or composite currency or currencies in which the Securities of
such series are payable (except as otherwise specified pursuant to Section 301 for the Securities
of such series) and the portion thereof, if any, which is to be satisfied by delivering and crediting
Securities of that series pursuant to Section 1202, and the amount of optional sinking fund
payments, if any, to be added in cash to the next ensuing mandatory sinking fund payment, and
will also deliver to the Trustee any Securities to be so delivered and credited. If such Officers'
Certificate shall specify an optional amount to be added in cash to the next ensuing mandatory
sinking fund payment, the Company shall thereupon be obligated to pay the amount therein
specified. Not less than 30 days before each such sinking fund payment date the Trustee shall
select the Securities to be redeemed upon such sinking fund payment date in the manner
specified in Section 1103 and cause notice of the redemption thereof to be given in the name of
and at the expense of the Company in the manner provided in Section 1104. Such notice having
been duly given, the redemption of such Securities shall be made upon the terms and in the
manner stated in Section 1106 and 1107.

ARTICLE THIRTEEN

[RESERVED]

ARTICLE FOURTEEN

DEFEASANCE AND COVENANT DEFEASANCE

            SECTION 1401.  Applicability of Article; Company's Option to Effect Defeasance or
Covenant Defeasance.

            If, pursuant to Section 301, provision is made for either or both of (a) defeasance of the
Securities of or within a series under Section 1402 or (b) covenant defeasance of the Securities of
or within a series under Section 1403 to be applicable to the Securities of any series, then the
provisions of such Section or Sections, as the case may be, together with the other provisions of
this Article (with such modifications thereto as may be specified pursuant to Section 301 with
respect to any Securities), shall be applicable to such Securities and any coupons appertaining
thereto, and the Company may at its option by Board Resolution at any time, with respect to such
Securities and any coupons appertaining thereto, elect to defease such Outstanding Securities and
any coupons appertaining thereto pursuant to Section 1402 (if applicable) or Section 1403 (if
applicable) upon compliance with the conditions set forth below in this Article.

            SECTION 1402.  Defeasance and Discharge.

            Upon the Company's exercise of the above option applicable to this Section with respect
to any Securities of or within a series, the Company shall be deemed to have been discharged
from its obligations with respect to such Outstanding Securities and any coupons appertaining
thereto on the date the conditions set forth in Section 1404 are satisfied (hereinafter,

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"defeasance"). For this purpose, such defeasance means that the Company shall be deemed to
have paid and discharged the entire indebtedness represented by such Outstanding Securities and
any coupons appertaining thereto, which shall thereafter be deemed to be "Outstanding" only for
the purposes of Section 1405 and the other Sections of this Indenture referred to in clauses
(A) and (B) below, and to have satisfied all of its other obligations under such Securities and any
coupons appertaining thereto and this Indenture insofar as such Securities and any coupons
appertaining thereto are concerned (and the Trustee, at the expense of the Company, shall
execute proper instruments acknowledging the same), except for the following that shall survive
until otherwise terminated or discharged hereunder: (A) the rights of Holders of such
Outstanding Securities and any coupons appertaining thereto to receive, solely from the trust
fund described in Section 1404 and as more fully set forth in such Section, payments in respect of
the principal of (and premium or Make-Whole Amount, if any) and interest, if any, on such
Securities and any coupons appertaining thereto when such payments are due, (B) the Company's
obligations with respect to such Securities under Sections 305, 306, 1002 and 1003 and with
respect to the payment of Additional Amounts, if any, on such Securities as contemplated by
Section 1011, (C) the rights, powers, trusts, duties and immunities of the Trustee hereunder
including but not limited to Section 606 hereof and (D) this Article. Subject to compliance with
this Article Fourteen, the Company may exercise its option under this Section notwithstanding
the prior exercise of its option under Section 1403 with respect to such Securities and any
coupons appertaining thereto.

            SECTION 1403.  Covenant Defeasance.

            Upon the Company's exercise of the above option applicable to this Section with respect
to any Securities of or within a series, the Company shall be released from its obligations under
Sections 1005 to 1009, inclusive, and, if specified pursuant to Section 301, its obligations under
any other covenant, with respect to such Outstanding Securities and any coupons appertaining
thereto on and after the date the conditions set forth in Section 1404 are satisfied (hereinafter, "
covenant defeasance"), and such Securities and any coupons appertaining thereto shall thereafter
be deemed to be not "Outstanding" for the purposes of any direction, waiver, consent or
declaration or Act of Holders (and the consequences of any thereof) in connection with Sections
1005 to 1009, inclusive, or such other covenant, but shall continue to be deemed "Outstanding"
for all other purposes hereunder. For this purpose, such covenant defeasance means that, with
respect to such Outstanding Securities and any coupons appertaining thereto, the Company may
omit to comply with and shall have no liability in respect of any term, condition or limitation set
forth in any such Section or such other covenant, whether directly or indirectly, by reason of any
reference elsewhere herein to any such Section or such other covenant or by reason of reference
in any such Section or such other covenant to any other provision herein or in any other
document and such omission to comply shall not constitute a default or an Event of Default
under Section 501(4) or 501(8) or otherwise, as the case may be, but, except as specified above,
the remainder of this Indenture and such Securities and any coupons appertaining thereto shall be
unaffected thereby.

            SECTION 1404.  Conditions to Defeasance or Covenant Defeasance.

            The following shall be the conditions to application of Section 1402 or Section 1403 to
any Outstanding Securities of or within a series and any coupons appertaining thereto:

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            (a)            The Company shall irrevocably have deposited or caused to be deposited with
the Trustee as trust funds in trust for the purpose of making the following payments, specifically
pledged as security for, and dedicated solely to, the benefit of the Holders of such Securities and
any coupons appertaining thereto, (1) an amount in such currency, currencies or currency unit in
which such Securities and any coupons appertaining thereto are then specified as payable at
Stated Maturity, or (2) Government Obligations applicable to such Securities and coupons
appertaining thereto (determined on the basis of the currency, currencies or currency unit in
which such Securities and coupons appertaining thereto are then specified as payable at Stated
Maturity) that through the scheduled payment of principal and interest in respect thereof in
accordance with their terms will provide, not later than one day before the due date of any
payment of principal of (and premium or Make-Whole Amount, if any) and interest and
Additional Amounts, if any, on such Securities and any coupons appertaining thereto, money in
an amount, or (3) a combination thereof in an amount, sufficient, without consideration of any
reinvestment of such principal and interest, in the opinion of a nationally recognized firm of
independent public accountants expressed in a written certification thereof delivered to the
Trustee, to pay and discharge, and that shall be applied by the Trustee to pay and discharge,
(i) the principal of (and premium or Make-Whole Amount, if any) and interest, if any, on such
Outstanding Securities and any coupons appertaining thereto on the Stated Maturity of such
principal or installment of principal or interest and (ii) any mandatory sinking fund payments or
analogous payments applicable to such Outstanding Securities and any coupons appertaining
thereto on the day on which such payments are due and payable in accordance with the terms of
this Indenture and of such Securities and any coupons appertaining thereto; provided, that the
Trustee shall have been irrevocably instructed to apply such money or the proceeds of such
Government Obligations to said payments with respect to such Securities. Before such a deposit,
the Company may give to the Trustee, in accordance with Section 1102 hereof, a notice of its
election to redeem all or any portion of such Outstanding Securities at a future date in accordance
with the terms of the Securities of such series and Article Eleven hereof, which notice shall be
irrevocable. Such irrevocable redemption notice, if given, shall be given effect in applying the
foregoing.

            (b)            Such defeasance or covenant defeasance shall not result in a breach or violation
of, or constitute a default under, this Indenture or any other material agreement or instrument to
which the Company is a party or by which it is bound (and shall not cause the Trustee to have a
conflicting interest pursuant to Section 310(b) of the TIA with respect to any Security of the
Company).

            (c)            No Event of Default or event that with notice or lapse of time or both would
become an Event of Default with respect to such Securities and any coupons appertaining thereto
shall have occurred and be continuing on the date of such deposit or, insofar as Sections 501(6)
and 501(7) are concerned, at any time during the period ending on the 91st day after the date of
such deposit (it being understood that this condition shall not be deemed satisfied until the
expiration of such period).

            (d)            In the case of an election under Section 1402, the Company shall have
delivered to the Trustee an Opinion of Counsel stating that (i) the Company has received from, or
there has been published by, the Internal Revenue Service a ruling, or (ii) since the date of
execution of this Indenture, there has been a change in the applicable Federal income tax law, in

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either case to the effect that, and based thereon such opinion shall confirm that, the Holders of
such Outstanding Securities and any coupons appertaining thereto will not recognize income,
gain or loss for Federal income tax purposes as a result of such defeasance and will be subject to
Federal income tax on the same amounts, in the same manner and at the same times as would
have been the case if such defeasance had not occurred.

            (e)            In the case of an election under Section 1403, the Company shall have
delivered to the Trustee an Opinion of Counsel to the effect that the Holders of such Outstanding
Securities and any coupons appertaining thereto will not recognize income, gain or loss for
Federal income tax purposes as a result of such covenant defeasance and will be subject to
Federal income tax on the same amounts, in the same manner and at the same times as would
have been the case if such covenant defeasance had not occurred.

            (f)            The Company shall have delivered to the Trustee an Officers' Certificate and an
Opinion of Counsel, each stating that all conditions precedent to the defeasance under
Section 1402 or the covenant defeasance under Section 1403 (as the case may be) have been
complied with and an Opinion of Counsel to the effect that either (i) as a result of a deposit
pursuant to subsection (a) above and the related exercise of the Company's option under
Section 1402 or Section 1403 (as the case may be) registration is not required under the
Investment Company Act of 1940, as amended, by the Company, with respect to the trust funds
representing such deposit or by the Trustee for such trust funds or (ii) all necessary registrations
under said Act have been effected.

            (g)            After the 91st day following the deposit, the trust funds will not be subject to
the effect of any applicable bankruptcy, insolvency, reorganization or similar laws affecting
creditors' rights generally.

            (h)            Notwithstanding any other provisions of this Section, such defeasance or
covenant defeasance shall be effected in compliance with any additional or substitute terms,
conditions or limitations that may be imposed on the Company in connection therewith pursuant
to Section 301.

            SECTION 1405.  Deposited Money and Government Obligations to Be Held in Trust;
Other Miscellaneous Provisions.

            Subject to the provisions of the last paragraph of Section 1003, all money and
Government Obligations (or other property as may be provided pursuant to Section 301)
(including the proceeds thereof) deposited with the Trustee (or other qualifying trustee,
collectively for purposes of this Section 1405, the "Trustee") pursuant to Section 1404 in respect
of any Outstanding Securities of any series and any coupons appertaining thereto shall be held in
trust and applied by the Trustee, in accordance with the provisions of such Securities and any
coupons appertaining thereto 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 Holders of such Securities and any coupons appertaining thereto of all sums
due and to become due thereon in respect of principal (and premium or Make-Whole Amount, if
any) and interest and Additional Amounts, if any, but such money need not be segregated from
other funds except to the extent required by law.

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            Unless otherwise specified with respect to any Security pursuant to Section 301, if, after a
deposit referred to in Section 1404(a) has been made, (a) the Holder of a Security in respect of
which such deposit was made is entitled to, and does, elect pursuant to Section 301 or the terms
of such Security to receive payment in a currency or currency unit other than that in which the
deposit pursuant to Section 1404(a) has been made in respect of such Security, or (b) a
Conversion Event occurs in respect of the currency or currency unit in which the deposit pursuant
to Section 1404(a) has been made, the indebtedness represented by such Security and any
coupons appertaining thereto shall be deemed to have been, and will be, fully discharged and
satisfied through the payment of the principal of (and premium or Make-Whole Amount, if any),
and interest, if any, on such Security as the same becomes due and Additional Amounts, if any,
out of the proceeds yielded by converting (from time to time as specified below in the case of any
such election) the amount or other property deposited in respect of such Security into the
currency or currency unit in which such Security becomes payable as a result of such election or
Conversion Event based on the applicable market exchange rate for such currency or currency
unit in effect on the second Business Day prior to each payment date, except, with respect to a
Conversion Event, for such currency or currency unit in effect (as nearly as feasible) at the time
of the Conversion Event.

            The Company shall pay and indemnify the Trustee against any tax, fee or other charge
imposed on or assessed against the Government Obligations deposited pursuant to Section 1404
or the principal and interest received in respect thereof other than any such tax, fee or other
charge that by law is for the account of the Holders of such Outstanding Securities and any
coupons appertaining thereto.

            Anything in this Article to the contrary notwithstanding, the Trustee shall deliver or pay
to the Company from time to time upon Company Request any money or Government
Obligations (or other property and any proceeds therefrom) held by it as provided in
Section 1404 that, in the opinion of a nationally recognized firm of independent public
accountants expressed in a written certification thereof delivered to the Trustee, are in excess of
the amount thereof that would then be required to be deposited to effect a defeasance or covenant
defeasance, as applicable, in accordance with this Article.

ARTICLE FIFTEEN

MEETINGS OF HOLDERS OF SECURITIES

            SECTION 1501.  Purposes for Which Meetings May Be Called.

            A meeting of Holders of Securities of any series may be called at any time and from time
to time pursuant to this Article to make, give or take any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture to be made, given or
taken by Holders of Securities of such series.

            SECTION 1502.  Call, Notice and Place of Meetings.

            (a)            The Trustee may at any time call a meeting of Holders of Securities of any
series for any purpose specified in Section 1501, to be held at such time and at such place in the
City of Walla Walla, Washington, or in London, England as the Trustee shall determine. Notice of every

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meeting of Holders of Securities of any series, setting forth the time and the place of
such meeting and in general terms the action proposed to be taken at such meeting, shall be
given, in the manner provided in Section 106, not less than 21 nor more than 180 days prior to
the date fixed for the meeting.

            (b)            In case at any time the Company, pursuant to a Board Resolution, or the
Holders of at least 25% in principal amount of the Outstanding Securities of any series shall have
requested the Trustee to call a meeting of the Holders of Securities of such series for any purpose
specified in Section 1501, by written request setting forth in reasonable detail the action proposed
to be taken at the meeting, and the Trustee shall not have made the first publication of the notice
of such meeting within 21 days after receipt of such request or shall not thereafter proceed to
cause the meeting to be held as provided herein, then the Company or the Holders of Securities
of such series in the amount above specified, as the case may be, may determine the time and the
place in the City of Walla Walla, Washington, or in London, England for such meeting and may
call such meeting for such purposes by giving notice thereof as provided in subsection (a) of this
Section.

            SECTION 1503.  Persons Entitled to Vote at Meetings.

            To be entitled to vote at any meeting of Holders of Securities of any series, a Person shall
be (1) a Holder of one or more Outstanding Securities of such series, or (2) a Person appointed
by an instrument in writing as proxy for a Holder or Holders of one or more Outstanding
Securities of such series by such Holder or Holders. The only Persons who shall be entitled to be
present or to speak at any meeting of Holders of Securities of any series shall be the Persons
entitled to vote at such meeting and their counsel, any representatives of the Trustee and its
counsel and any representatives of the Company and its counsel.

            SECTION 1504.  Quorum; Action.

            The Persons entitled to vote a majority in principal amount of the Outstanding Securities
of a series shall constitute a quorum for a meeting of Holders of Securities of such series;
provided, however, that if any action is to be taken at such meeting with respect to a consent or
waiver which this Indenture expressly provides may be given by the Holders of not less than a
specified percentage in principal amount of the Outstanding Securities of a series, the Persons
entitled to vote such specified percentage in principal amount of the Outstanding Securities of
such series shall constitute a quorum. In the absence of a quorum within 30 minutes after the
time appointed for any such meeting, the meeting shall, if convened at the request of Holders of
Securities of such series, be dissolved. In any other case the meeting may be adjourned for a
period of not less than 10 days as determined by the chairman of the meeting prior to the
adjournment of such meeting. In the absence of a quorum at any such adjourned meeting, such
adjourned meeting may be further adjourned for a period of not less than 10 days as determined
by the chairman of the meeting prior to the adjournment of such adjourned meeting. Notice of the
reconvening of any adjourned meeting shall be given as provided in Section 1502(a), except that
such notice need be given only once not less than five (5) days prior to the date on which the
meeting is scheduled to be reconvened. Notice of the reconvening of any adjourned meeting shall
state expressly the percentage, as provided above, of the principal amount of the Outstanding
Securities of such series which shall constitute a quorum. Except as limited by the proviso to

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Section 902, any resolution presented to a meeting or adjourned meeting duly reconvened at
which a quorum is present as aforesaid may be adopted by the affirmative vote of the Holders of
a majority in aggregate principal amount of the Outstanding Securities of that series; provided,
however, that, except as limited by the proviso to Section 902, any resolution with respect to any
request, demand, authorization, direction, notice, consent, waiver or other action which this
Indenture expressly provides may be made, given or taken by the Holders of a specified
percentage, which is less than a majority, in principal amount of the Outstanding Securities of a
series may be adopted at a meeting or an adjourned meeting duly reconvened and at which a
quorum is present as aforesaid by the affirmative vote of the Holders of such specified percentage
in principal amount of the Outstanding Securities of that series.

            Any resolution passed or decision taken at any meeting of Holders of Securities of any
series duly held in accordance with this Section shall be binding on all the Holders of Securities
of such series and the related coupons, whether or not present or represented at the meeting.

            Notwithstanding the foregoing provisions of this Section 1504, if any action is to be taken
at a meeting of Holders of Securities of any series with respect to any request, demand,
authorization, direction, notice, consent, waiver or other action that this Indenture expressly
provides may be made, given or taken by the Holders of a specified percentage in principal
amount of all Outstanding Securities affected thereby, or of the Holders of such series and one or
more additional series:

            (i)            there shall be no minimum quorum requirement for such meeting; and

            (ii)            the principal amount of the Outstanding Securities of such series that vote in
favor of such request, demand, authorization, direction, notice, consent, waiver or other action
shall be taken into account in determining whether such request, demand, authorization,
direction, notice, consent, waiver or other action has been made, given or taken under this
Indenture.

            SECTION 1505.  Determination of Voting Rights; Conduct and Adjournment of
Meetings.

            (a)            Notwithstanding any provisions of this Indenture, the Trustee may make such
reasonable regulations as it may deem advisable for any meeting of Holders of Securities of a
series in regard to proof of the holding of Securities of such series and of the appointment of
proxies and in regard to the appointment and duties of inspectors of votes, the submission and
examination of proxies, certificates and other evidence of the right to vote, and such other
matters concerning the conduct of the meeting as it shall deem appropriate. Except as otherwise
permitted or required by any such regulations, the holding of Securities shall be proved in the
manner specified in Section 104 and the appointment of any proxy shall be proved in the manner
specified in Section 104 or by having the signature of the Person executing the proxy witnessed
or guaranteed by any trust company, bank or banker authorized by Section 104 to certify to the
holding of Bearer Securities. Such regulations may provide that written instruments appointing
proxies, regular on their face, may be presumed valid and genuine without the proof specified in
Section 104 or other proof.

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            (b)            The Trustee shall, by an instrument in writing, appoint a temporary chairman of
the meeting, unless the meeting shall have been called by the Company or by Holders of
Securities as provided in Section 1502(b), in which case the Company or the Holders of
Securities of or within the series calling the meeting, as the case may be, shall in like manner
appoint a temporary chairman. A permanent chairman and a permanent secretary of the meeting
shall be elected by vote of the Persons entitled to vote a majority in principal amount of the
Outstanding Securities of such series represented at the meeting.

            (c)            At any meeting each Holder of a Security of such series or proxy shall be
entitled to one vote for each $1,000 principal amount of the Outstanding Securities of such series
held or represented by him; provided, however, that no vote shall be cast or counted at any
meeting in respect of any Security challenged as not Outstanding and ruled by the chairman of
the meeting to be not Outstanding. The chairman of the meeting shall have no right to vote,
except as a Holder of a Security of such series or proxy.

            (d)            Any meeting of Holders of Securities of any series duly called pursuant to
Section 1502 at which a quorum is present may be adjourned from time to time by Persons
entitled to vote a majority in principal amount of the Outstanding Securities of such series
represented at the meeting, and the meeting may be held as so adjourned without further notice.

            SECTION 1506.  Counting Votes and Recording Action of Meetings.

            The vote upon any resolution submitted to any meeting of Holders of Securities of any
series shall be by written ballots on which shall be subscribed the signatures of the Holders of
Securities of such series or of their representatives by proxy and the principal amounts and serial
numbers of the Outstanding Securities of such series held or represented by them. The permanent
chairman of the meeting shall appoint two inspectors of votes who shall count all votes cast at
the meeting for or against any resolution and who shall make and file with the secretary of the
meeting their verified written reports in duplicate of all votes cast at the meeting. A record, at
least in duplicate, of the proceedings of each meeting of Holders of Securities of any series shall
be prepared by the secretary of the meeting and there shall be attached to said record the original
reports of the inspectors of votes on any vote by ballot taken thereat and affidavits by one or
more persons having knowledge of the fact, setting forth a copy of the notice of the meeting and
showing that said notice was given as provided in Section 1502 and, if applicable, Section 1504.
Each copy shall be signed and verified by the affidavits of the permanent chairman and secretary
of the meeting and one such copy shall be delivered to the Company and another to the Trustee to
be preserved by the Trustee, the latter to have attached thereto the ballots voted at the meeting.
Any record so signed and verified shall be conclusive evidence of the matters therein stated.

            SECTION 1507.  Evidence of Action Taken by Holders.

            Any request, demand, authorization, direction, notice, consent, waiver or other action
provided by this Indenture to be given or taken by a specified percentage in principal amount of
the Holders of any or all series may be embodied in and evidenced by one or more instruments of
substantially similar tenor signed by such specified percentage of 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. Proof of

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execution of any instrument or of a writing appointing any such agent shall be sufficient for any
purpose of this Indenture and (subject to Article Six) conclusive in favor of the Trustee and the
Company, if made in the manner provided in this Article.

            SECTION 1508.  Proof of Execution of Instruments.

            Subject to Article Six, the execution of any instrument by a Holder or his agent or proxy
may be proved in accordance with such reasonable rules and regulations as may be prescribed by
the Trustee or in such manner as shall be satisfactory to the Trustee.

ARTICLE SIXTEEN

[RESERVED]

ARTICLE SEVENTEEN

SUBORDINATION

            SECTION 1701.  Agreement to Subordinate.

            Except as otherwise provided in a supplemental indenture or pursuant to Section 301, the Company agrees, and each Holder by accepting a Security agrees, that the indebtedness evidenced by the Securities is subordinated in right of payment, to the extent and in the manner provided in this Article, to the prior payment in full of all Senior Debt and that the subordination is for the benefit of the holders of Senior Debt.

            SECTION 1702.  Liquidation; Dissolution; Bankruptcy.

            Upon any distribution to creditors of the Company in a liquidation or dissolution of the Company or in a bankruptcy, reorganization, insolvency, receivership or similar proceeding relating to the Company or its property:

            (1)            holders of Senior Debt shall be entitled to receive payment in full in cash of the principal of and interest (including interest accruing after the commencement of any such proceeding) to the date of payment on the Senior Debt before Holders shall be entitled to receive any payment of principal of or interest on Securities;

            (2)            until the Senior Debt is paid in full in cash, any distribution to which Holders would be entitled but for this Article shall be made to holders of Senior Debt as their interests may appear, except that Holders may receive securities that are subordinated to Senior Debt to at least the same extent as the Securities; and

            (3)            the Trustee is entitled to conclusively rely upon an order or decree of a court of competent jurisdiction or a certificate of a bankruptcy trustee or other similar official for the 

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purpose of ascertaining the persons entitled to participate in such distribution, the holders of Senior Debt and other Company debt, the amount thereof or payable thereon and all other pertinent facts relating to the Trustee's obligations under this Article Seventeen.

            SECTION 1703.  Default on Senior Debt.

            The Company may not pay principal of or interest on the Securities and may not acquire any Securities for cash or property other than capital stock of the Company if:

            (1)            a default on Senior Debt occurs and is continuing that permits holders of such Senior Debt to accelerate its maturity, and

            (2)            the default is the subject of judicial proceedings or the Company receives a notice of the default from a person who may give it pursuant to Section 1711. If the Company receives any such notice, a similar notice received within nine months thereafter relating to the same default on the same issue of Senior Debt shall not be effective for purposes of this Section.

            The Company may resume payments on the Securities and may
acquire them when:

            (a)            the default is cured or waived, or

            (b)            120 days pass after the notice is given if the default is not the subject of judicial proceedings

if this Article otherwise permits the payment or acquisition at that time.

            SECTION 1704.  Acceleration of Securities.

            If payment of the Securities is accelerated because of an Event of Default, the Company shall promptly notify holders of Senior Debt of the acceleration. The Company may pay the Securities when 120 days pass after the acceleration occurs if this Article permits the payment at that time.

            SECTION 1705.  When Distribution Must Be Paid Over.

            If a distribution is made to Holders that because of this Article should not have been made to them, the Holders who receive the distribution shall hold it in trust for holders of Senior Debt and pay it over to them as their interests may appear.

            SECTION 1706.  Notice by Company.

            The Company shall promptly notify the Trustee, in writing, and any Paying Agent of any facts known to the Company that would cause a payment of principal of or interest on Securities to violate this Article.

            SECTION 1707.  Subrogation.

            After all Senior Debt is paid in full and until the Securities are paid in full, Holders shall be subrogated to the rights of holders of Senior Debt to receive distributions applicable to Senior

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Debt to the extent that distributions otherwise payable to the Holders have been applied to the payment of Senior Debt. A distribution made under this Article to holders of Senior Debt which otherwise would have been made to Holders is not, as between the Company and Holders, a payment by the Company on Senior Debt.

            SECTION 1708.  Relative Rights.

            This Article defines the relative rights of Holders and holders of Senior Debt. Nothing in this Indenture shall:

            (1)            impair, as between the Company and Holders, the obligation of the Company, which is absolute and unconditional, to pay principal of and interest on the Securities in accordance with their terms;

            (2)            affect the relative rights of Holders and creditors of the Company other than holders of Senior Debt; or

            (3)            prevent the Trustee or any Holder from exercising its available remedies upon an Event of Default, subject to the rights of holders of Senior Debt to receive distributions otherwise payable to Holders.

            If the Company fails because of this Article to pay principal of or interest on a Security on the due date, the failure is still a default.

            SECTION 1709.  Subordination May Not Be Impaired By: Company.

            No right of any holder of Senior Debt to enforce the subordination of the indebtedness evidenced by the Securities shall be impaired by any act or failure to act by the Company or by its failure to comply with this Indenture.

            SECTION 1710.  Distribution or Notice to Representative.

            Whenever a distribution is to be made or a notice given to holders of Senior Debt, the distribution may be made and the notice given to their Representative.

            SECTION 1711.  Rights of Trustee and Paying Agent.

            The Trustee or any Paying Agent may continue to make payments on the Securities until a responsible officer receives written notice of facts that would cause a payment of principal of or interest on the Securities to violate this Article. Only the Company, a Representative or a holder of an issue of Senior Debt that has no Representative may give the written notice.

            The Trustee has no duty to the holders of Senior Debt other than as created under this Indenture. The Trustee in its individual or any other capacity may hold Senior Debt with the same rights it would have if it were not Trustee.

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            The Company's obligation to pay, and the Company's payment of, the amounts required by Section 606 are excluded from the operation of this Article Seventeen.

            This Indenture 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 Indenture.

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

	 	BANNER CORPORATION
 
		By:	 
 
		Name:	 
 
		Title:	 
 
	 	WILMINGTON TRUST COMPANY, as Trustee
 
		By:	 
 
		Name:	 
 
		Title:	 
 

80
Exhibit A

EXHIBIT A

FORM OF CERTIFICATION EXHIBIT A-1

FORM OF CERTIFICATE TO BE GIVEN BY PERSON ENTITLED TO RECEIVE
BEARER SECURITY

OR TO OBTAIN INTEREST PAYABLE PRIOR TO THE EXCHANGE DATE
CERTIFICATE

            [Insert title or sufficient description of Securities to be delivered]

            This is to certify that, as of the date hereof, and except as set forth below, the above-captioned Securities held by you for our account (i) are owned by person(s) that are not citizens
or residents of the United States, domestic partnerships, domestic corporations or any estate or
trust the income of which is subject to United States federal income taxation regardless of its
source ("United States person(s)"), (ii) are owned by United States person(s) that are (a) foreign
branches of United States financial institutions (financial institutions, as defined in United States
Treasury Regulations Section 1.165-12(c)(1)(v) are herein referred to as "financial institutions")
purchasing for their own account or for resale, or (b) United States person(s) who acquired the
Securities through foreign branches of United States financial institutions and who hold the
Securities through such United States financial institutions on the date hereof (and in either case
(a) or (b), each such United States financial institution hereby agrees, on its own behalf or
through its agent, that you may advise                                                      or its agent that such
financial institution will provide a certificate within a reasonable time stating that it agrees to
comply with the requirements of Section 165(j)(3)(A), (B) or (C) of the United States Internal
Revenue Code of 1986, as amended, and the regulations thereunder), or (iii) are owned by a
financial institution for purposes of resale during the restricted period (as defined in United
States Treasury Regulations Section 1.1635(c)(2)(i)(D)(7)), and, such financial institution
described in clause (iii) above (whether or not also described in clause (i) or (ii)), certifies that it
has not acquired the Securities for purposes of resale directly or indirectly to a United States
person or to a person within the United States or its possessions.

            As used herein, "United States" means the United States of America (including the States
and the District of Columbia); and its "possessions" include Puerto Rico, the U.S. Virgin Islands,
Guam, American Samoa, Wake Island and the Northern Mariana Islands.

            We undertake to advise you promptly by tested telex on or prior to the date on which you
intend to submit your certification relating to the above-captioned Securities held by you for our
account in accordance with your Operating Procedures if any applicable statement herein is not
correct on such date, and in the absence of any such notification it may be assumed that this
certification applies as of such date. This certificate excepts and does not relate to [U.S.$] of such
interest in the above-captioned Securities in respect of which we are not able to certify and as to
which we understand an exchange for an interest in a permanent global Security or an exchange
for and delivery of definitive Securities (or, if relevant, collection of any interest) cannot be made
until we do so certify.

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            We understand that this certificate may be required in connection with certain tax
legislation in the United States. If administrative or legal proceedings are commenced or
threatened in connection with which this certificate is or would be relevant, we irrevocably
authorize you to produce this certificate or a copy thereof to any interested party in such
proceedings.

            Dated:                                         ,                  [To be dated no earlier than the 15th day
prior to the earlier of (i) the Exchange Date or (ii) the relevant Interest Payment Date occurring
prior to the Exchange Date, as applicable]

	 	[Name of Person Making Certification]

(Authorized Signator)

Name:

Title:

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EXHIBIT A-2

FORM OF CERTIFICATE TO BE GIVEN BY EUROCLEAR AND CLEARSTREAM S.A. IN
CONNECTION WITH THE EXCHANGE OF A PORTION OF A TEMPORARY
GLOBAL SECURITY OR TO OBTAIN INTEREST PAYABLE PRIOR TO THE
EXCHANGE DATE CERTIFICATE

            [Insert title or sufficient description of Securities to be delivered]

            This is to certify that, based solely on written certifications that we have received in
writing, by tested telex or by electronic transmission from each of the persons appearing in our
records as persons entitled to a portion of the principal amount set forth below (our "Member
Organizations") substantially in the form attached hereto, as of the date hereof, (U.S.$) principal
amount of the above-captioned Securities (i) is owned by persons(s) that are not citizens or
residents of the United States, domestic partnerships, domestic corporations or any estate or trust
the income of which is subject to United States Federal income taxation regardless of its source
("United States person(s)"), (ii) is owned by United States person(s) that are (a) foreign branches
of United States financial institutions (financial institutions, as defined in United States Treasury
Regulations Section 1.165-12(c)(1)(v) are herein referred to as "financial institutions")
purchasing for their own account or for resale, or (b) United States person(s) who acquired the
Securities through foreign branches of United States financial institutions and who hold the
Securities through such United States financial institutions on the date hereof (and in either case
(a) or (b), each such financial institution has agreed, on its own behalf or through its agent, that
we may advise                                                        or its agent that such financial institution will
provide a certificate within a reasonable time stating that it agrees to comply with the
requirements of Section 165(j)(3)(A), (B), or (C) of the Internal Revenue Code of 1986, as
amended, and the regulations thereunder), or (iii) is owned by a financial institution for purposes
of resale during the restricted period (as defined in United States Treasury Regulations
Section 1.163-5(c)(2)(i)(D)(7)), and that such financial institutions described in clause (iii) above
(whether or not also described in clause (i) or (ii)) have certified that they have not acquired the
Securities for purposes of resale directly or indirectly to a United States person or to a person
within the United States or its possessions.

            As used herein, "United States" means the United States of America (including the States
and the District of Columbia); and its "possessions" include Puerto Rico, the U.S. Virgin Islands,
Guam, American Samoa, Wake Island and the Northern Mariana Islands.

            We further certify that (i) we are not making available herewith for exchange (or, if
relevant, collection of any interest) any portion of the temporary global Security representing the
above-captioned Securities excepted in the above-referenced certificates of Member
Organizations and (ii) as of the date hereof we have not received any notification from any of our
Member Organizations to the effect that the statements made by such Member Organizations
with respect to any portion of the part submitted herewith for exchange (or, if relevant, collection
of any interest) are no longer true and cannot be relied upon as of the date hereof.

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            We understand that this certification is required in connection with certain tax legislation
in the United States. If administrative or legal proceedings are commenced or threatened in
connection with which this certificate is or would be relevant, we irrevocably authorize you to
produce this certificate or a copy thereof to any interested party in such proceedings.

            Dated:                                                  ,                 

(To be dated no earlier than the earlier of the Exchange Date or the relevant Interest Payment
Date occurring prior to the Exchange Date, as applicable)

______________________________________,

                                                                         as

By

______________________________________

End.Exhibit 10.1

 

EXHIBIT 10.1

December 13, 2006

Gregory P. Hanson, CMA

P.O. Box 571

Del Mar, CA 92014

Dear Greg:

ADVENTRX Pharmaceuticals, Inc. is pleased to offer you full-time employment on the terms and
conditions stated in this letter agreement. We would employ you as Senior Vice President, Chief
Financial Officer and Treasurer reporting to Evan M. Levine, Chief Executive Officer. Your
responsibilities would include the following:

1. Position Responsibilities:

	•	 	Financial analysis and planning.
	 
	•	 	Financial modeling and projections, including cost-benefit analysis, pro-forma P&Ls, balance sheet and cash flows.
	 
	•	 	Month-end closing activities and general ledger entries within the accounting function, including all general ledger
account reconciliations.
	 
	•	 	Maintenance and refinement of all accounting functions and processes for the Company (e.g., financial statements,
budgets, and analyses).
	 
	•	 	Preparation of operating plan and annual budget and on-going (monthly, quarterly) reconciliation, re-forecasts and
projections.
	 
	•	 	Preparation and submission of various reports and tax filings.
	 
	•	 	SEC, statutory, governmental and compliance reporting, including Sarbanes-Oxley compliance.
	 
	•	 	Board and stockholder relations, including developing Board materials and answering questions regarding financial
statements.
	 
	•	 	Creation and delivery of presentations to the Board and potential and existing corporate investors, venture
capitalists, and strategic partners.
	 
	•	 	Assessment of accounting and operational systems/policies to safeguard assets and ensure accurate financial information.
	 
	•	 	Coordination with outside auditors.
	 
	•	 	Preparation and issuance of annual report.
	 
	•	 	Lead position regarding financing efforts and due diligence.
	 
	•	 	Establishment and maintenance of contacts with stockholders, financial institutions and the investment community.
	 
	•	 	Other duties consistent with your position.

2. General Responsibilities:

	•	 	Operate to the highest ethical and moral standards.
	 
	•	 	Comply with our policies and procedures.
	 
	•	 	Adhere to quality standards set by regulations, and our policies, procedures and mission.
	 
	•	 	Communicate effectively with supervisors, colleagues and subordinates. Be committed to team effort and be willing to
assist in unrelated job areas when called upon.

 

 

Gregory P. Hanson

December 13, 2006

Page 2 of 7

	•	 	Provide administrative leadership for us and provide knowledge-based expertise in related areas that can be applied to
meeting our strategic goals.
	 
	•	 	Travel as needed.

3. We would initially compensate you at the rate of $250,000 per year, less payroll deductions and
withholding, payable in accordance with our payroll policies. We will review your base salary from
time to time (but no less frequently than annually) in accordance with our procedures for
increasing salaries of similarly situated executives.

4. Our Board of Directors has approved a grant to you of an incentive stock option (to the maximum
extent permitted by law and a nonstatutory stock option with respect to any remaining shares) to
purchase up to 250,000 shares of our common stock under our 2005 Equity Incentive Plan pursuant to
a Stock Option Agreement in substantially the form attached hereto as Exhibit A (the “Stock
Option Agreement”), subject to and conditioned on (a) our not rescinding this offer of employment
to you, or terminating an accepted offer, prior to the Start Date (as defined below) and (b) your
acceptance of our offer of employment and commencement of employment with us on the Start Date.
The grant date and vesting commencement date of this option will be the Start Date, and the
exercise price of this option will be equal to the closing price, as reported on the American Stock
Exchange, of one share of our common stock on the Start Date, or, if the Start Date is a day on
which the American Stock Exchange is closed, the next day on which the American Stock Exchange is
open for trading. Subject to the discretion of our Board of Directors, you may receive additional
stock options in the future based upon your performance and our overall success.

5. In addition and subject to the remainder of this section 5 and section 6, in the event of your
Involuntary Termination (as defined in the Stock Option Agreement) (a) you will receive an amount
in cash equal to your base salary for the 6-month period immediately prior to the effective date of
such Involuntary Termination, payable in 6 substantially equal installments over the 6-month period
following such effective date and (b) we will pay in cash all costs that we would otherwise have
incurred to maintain your health, welfare and retirement benefits if you had continued to render
services to us for 6 continuous months after such effective date. Prior to your receipt of any
payment or benefit provided by this section 5, you must execute a general release of claims and
agreement in substantially the form attached hereto as Exhibit B, as such may be revised by
the Company, acting reasonably, to reflect changes in legal requirements, or such other form as may
be mutually agreed to by you and the Company. Such release will specifically relate to all of your
rights and claims and the Company’s rights and claims in existence at the time of such execution
and will confirm your obligations under the Company Confidentiality Agreement (as defined in
Section 9 below). It is understood that you will have a certain period to consider whether to
execute such release, and you may revoke such release within 7 business days after execution. In
the event you do not execute such release within the applicable period, or if you revoke such
release within the subsequent 7-business-day period, you will not be entitled to the payments and
benefits described in this section 5.

6. You acknowledge and agree that any payment to be made or benefit to be provided to you pursuant
to section 5 will be delayed to the extent necessary for this letter agreement and such payment or
benefit to comply with Section 409A of the Internal Revenue Code (“Section 409A”); provided that,
if any payment to be made or benefit to be provided to you is delayed as a result of this section
6, such payment or benefit will be paid to you in a lump-sum as soon as

 

 

Gregory P. Hanson

December 13, 2006

Page 3 of 7

permitted under Section 409A. In addition, if we reasonably determine that a change in applicable
law following the date set forth above causes the payments to be made or benefits to be provided to
be payable to you without delay but in another manner that complies with Section 409A, you and we
agree to amend this letter agreement to reform the payment provisions set forth in section 5 to
provide to you economic benefits that are as close as reasonably possible to those contemplated by
section 5 but that still comply with Section 409A. Subject to the foregoing, this letter agreement
will be interpreted, construed and administered in a manner that satisfies the requirements of
Section 409A. Any provision of this letter agreement to the contrary notwithstanding, we may adopt
such amendments to this letter agreement or adopt other policies and procedures (including
amendments, policies and procedures with retroactive effect), or take any other actions, that we
determine are necessary to comply with the requirements of Section 409A; provided, that, prior to
taking any such action, we will confer with you and take your input into account in good faith.

7. As an employee, you would be entitled to participate in our medical, dental, life insurance and
401(k) programs on the same terms as our other full-time employees. These programs as well as
other employee benefits and policies are described in further detail in our Policies and Procedures
Manual. We reserve the right to modify or amend at our sole discretion the terms of any and all
employee benefit programs from time to time without advance notice to our employees.
Notwithstanding our employee vacation policy set forth in the Policies and Procedures Manual, you
would be entitled to 20 vacation days per year which would accrue in accordance with our general
vacation accrual policy.

8. Your employment with us would be “at will” and not for a specified term. We make no express or
implied commitment that your employment will have a minimum or fixed term, that we may take adverse
employment action only for cause or that your employment is terminable only for cause. We may
terminate your employment with or without cause and with or without advance notice at any time and
for any reason. Any contrary representations or agreements that may have been made to you are
superseded by this letter agreement. The at-will nature of your employment described by this
letter agreement shall constitute the entire agreement between you and ADVENTRX concerning the
nature and duration of your employment. Although your job duties, title and compensation and
benefits may change over time, the at-will nature of your employment with us can only be changed in
a written agreement signed by you and our CEO.

9. Our proprietary rights and confidential information are among our most important assets. In
addition to signing this letter agreement as a condition to your employment, you must also sign the
Company’s current Confidential Information, Non-Solicitation and Invention Assignment Agreement
(the “Company Confidentiality Agreement”).

10. We require that in the course of your employment with us that you not use or disclose to us any
confidential information, including trade secrets, of any former employer or other person to whom
you have an obligation of confidentiality. Rather, you will be expected to use only that
information which is generally known and used by persons with training and experience comparable to
your own, which is common knowledge in the industry or otherwise legally in the public domain, or
which is otherwise provided or developed by us. During our discussions about your proposed job
duties, you assured us that you would be able to perform those duties within the guidelines just
described. Accordingly, you further agree that you will not bring on to

 

 

Gregory P. Hanson

December 13, 2006

Page 4 of 7

our premises any unpublished documents or property belonging to any former employer or other person
to whom you have an obligation of confidentiality.

11. As an employee, we require that you comply with all of our policies and procedures, including,
without limitation, our Code of Business Conduct and Ethics, a copy of which will, at your request,
be provided to you prior to your beginning work with us. You may be required to sign certain
documents acknowledging your receipt and understanding of our policies and procedures. Violation
of any or our policies or procedures would be cause for disciplinary action, including termination.

12. Your employment with us is also conditioned upon your ability to provide adequate documentation
of your legal right to work in the United States, as well as educational credentials, and
successful completion of our reference checking process. If you make any misrepresentations to us
or omit to state a material fact necessary in order to make another statement made not misleading,
we may void this letter agreement or, if you are already employed, terminate your employment.

13. Any controversy, claim or dispute between you and us concerning this letter agreement or
documents attached hereto, your employment or the severance of your employment shall be finally
settled by arbitration held in San Diego, California by one (1) arbitrator in accordance with the
rules of employment arbitration then followed by the American Arbitration Association or any
successor to the functions thereof. The arbitrator shall apply California law (as applied to
agreements between California residents entered into and to be performed entirely within
California) in the resolution of all controversies, claims and disputes and shall have the right
and authority to determine how his or her decision or determination as to each issue or matter in
dispute may be implemented or enforced. Any decision or award of the arbitrator shall be final and
conclusive on the parties. The parties shall bear equally all costs of the arbitrator in any
action brought under this section 13 unless otherwise required by law (in which case such costs
will be borne as required by law).

14. In the event of any dispute related to or based upon this letter agreement or documents
attached hereto, the arbitrator has the right to allocate between the parties, as the arbitrator
may determine, the costs of the arbitrator (unless the allocation of the costs of the arbitration
are otherwise mandated by law) and the reasonable costs and expenses (including reasonable
attorneys’ fees and costs) of each party incurred in connection with such arbitration.

15. This letter agreement and documents attached hereto shall be governed pursuant to the laws of
the State of California as applied to agreements between California residents entered into and to
be performed entirely within California.

16. If any portion of this letter agreement shall, for any reason, be held invalid or
unenforceable, or contrary to public policy or any law, the remainder of this letter agreement
shall not be affected by such invalidity or unenforceability, but shall remain in full force and
effect, as if the invalid or unenforceable term or portion thereof had not existed within this
letter agreement.

17. If you accept the terms and conditions set forth in this letter agreement, we would like you to
begin full time work with us on December 20, 2006 (the “Start Date”), and this letter

 

 

Gregory P. Hanson

December 13, 2006

Page 5 of 7

agreement will be effective as of such date. I look forward to you joining us and being an
integral and important part of our team. Please sign below to accept this offer and return the
fully executed letter to me by Friday, December 15, 2006. You should keep one copy of this letter
for your own records.

Sincerely,

	 	 	 	 	 
	ADVENTRX Pharmaceuticals, Inc.

	 	ACCEPTED AND AGREED:	 	 
	 
	 	 	 	 
	/s/ Evan M. Levine
 

Evan M. Levine

	 	/s/ Gregory P. Hanson
 

Gregory P. Hanson
	 	 
	Chief Executive Officer
	 	 	 	 
	 

	 	Date: December 15, 2006	 	 

 

 

Gregory P. Hanson

December 13, 2006

Page 6 of 7

Exhibit A

STOCK OPTION AGREEMENT

[See Exhibit 10.2]

 

 

Gregory P. Hanson

December 13, 2006

Page 7 of 7

Exhibit B

GENERAL RELEASE OF CLAIMS AND AGREEMENT

 

 

GENERAL RELEASE OF CLAIMS AND AGREEMENT

Pursuant to that certain letter agreement, dated December 13, 2006, by and between ADVENTRX
Pharmaceuticals, Inc., a Delaware corporation (the “Company”), and the undersigned (“Executive”)
offering employment to Executive (the “Offer Letter”) and that certain Stock Option Agreement
issued in connection with the Offer Letter (the “Option Agreement”), and in consideration of and as
a condition precedent to the payments and benefits provided under Section 5 of the Offer Letter and
other benefits provided under Sections 5(a)(i) and 5(a)(ii) of the Option Agreement, Executive
hereby furnishes the Company with this General Release of Claims and Agreement (this “Release”).

1. Ongoing Obligations. Executive hereby confirms Executive’s obligations under the
Company’s Confidential Information, Non-Solicitation and Invention Assignment Agreement.

2. Release. On Executive’s own behalf and on behalf of Executive’s heirs, estate and
beneficiaries, Executive hereby waives, releases, acquits and forever discharges the Company, and
each of its parents, subsidiaries and affiliates, and each of their respective past or present
officers, directors, agents, servants, employees, shareholders, predecessors, successors and
assigns, and all persons acting by, through, under, or in concert with them, or any of them (the
“Released Parties”), of and from any and all suits, debts, liens, contracts, agreements, promises,
claims, causes of action, costs, expenses, attorneys’ fees, damages, indemnities and obligations,
known and unknown, fixed or contingent, suspected and unsuspected, disclosed and undisclosed
(“Claims”), from the beginning of time to the date hereof, including without limitation, Claims
that arose as a consequence of Executive’s employment with the Company, or arising out of the
termination of such employment relationship, or arising out of any act committed or omitted during
or after the existence of such employment relationship, all up through and including the date on
which this Release is executed, including, but not limited to, Claims which were, could have been,
or could be the subject of an administrative or judicial proceeding filed by Executive or on
Executive’s behalf under federal, state or local law, whether by statute, regulation, in contract
or tort.

3. Covenant Not to Sue. On Executive’s own behalf and on behalf of Executive’s heirs,
estate and beneficiaries, Executive promises and agrees that Executive will never sue any of the
Released Parties with respect to any Claims covered by the provisions of this Release.

4. Waiver of Civil Code Section 1542. Executive acknowledges that Executive has read and
understands Section 1542 of the California Civil Code which reads as follows: “A general release
does not extend to claims which the creditor does not know or suspect to exist in his or her favor
at the time of executing the release, which if known by him or her must have materially affected
his or her settlement with the debtor.” Executive hereby expressly waives and relinquishes all
rights and benefits under that section and any law of any jurisdiction of similar effect with
respect to the release of any unknown Claims Executive may have against the Company.

5. Claims Not Covered By Release. Notwithstanding the foregoing, nothing in this Release
shall extend to claims which as a matter of law cannot be waived, such as a right to
indemnification under applicable state law. In addition, nothing in this Release shall constitute
a release by Executive of any claims or damages based on any right Executive may have to enforce
the Company’s executory obligations under the Offer Letter and the Option Agreement, any right
Executive may have to vested or earned compensation and benefits, or Executive’s eligibility for
indemnification under applicable law, Company governance documents, Executive’s

 

 

indemnification agreement with the Company or under any applicable insurance policy with respect to
Executive’s liability as an employee or officer of the Company.

6. Non-Disparagement. On Executive’s own behalf and on behalf of Executive’s heirs, estate
and beneficiaries, Executive agrees that Executive will not make any voluntary statements, written
or verbal, or cause or encourage others to make any such statements, that defame, disparage or in
any way criticize the Company’s business reputation, practices or conduct.

7. ADEA Waiver. If Executive is 40 years of age or older at the time of the termination,
Executive acknowledges that Executive is knowingly and voluntarily waiving and releasing any rights
Executive may have under ADEA. Executive also acknowledges that the consideration given under the
Offer Letter and Option Agreement for the release set forth herein is in addition to anything of
value to which Executive was already entitled. Executive further acknowledges that Executive has
been advised by this writing, as required by the ADEA, that: (A) his/her waiver and release do not
apply to any rights or claims that may arise on or after the date Executive executes this Release;
(B) Executive has the right to consult with an attorney prior to executing this Release; (C)
Executive has 21 days to consider this Release (although Executive may choose to voluntarily
execute this Release earlier); (D) Executive has 7 days following the execution of this Release to
revoke the Release; and (E) this Release shall not be effective until the date upon which the
revocation period has expired, which shall be the 8th day after this Release is executed by
Executive, without Executive’s having given notice of revocation. To be effective, such revocation
must be in writing and received by the Company’s General Counsel no later than 5:00 p.m. Pacific
time on the 7th calendar day after this Release is signed by Executive. Executive acknowledges
that no benefits or payments will be due Executive under this Release agreement until after the
revocation period has expired.

8. Miscellaneous. This Release and its terms shall be construed under the laws of the
State of California as applied to agreements between California residents entered into and to be
fully performed within California. To the extent any provision of this Release shall be held
invalid or unenforceable by a court of competent jurisdiction, it shall be considered deleted from
this Release and the remainder of such provision and of this Release shall be unaffected and shall
continue in full force and effect.

Executive further acknowledges that Executive has carefully read this Release, and knows and
understands its contents and its binding legal effect. Executive acknowledges that by signing this
Release, Executive does so of Executive’s own free will, and that it is Executive’s intention that
Executive be legally bound by its terms.

	 	 	 	 	 	 	 	 	 
	 	 	 	 	ADVENTRX PHARMACEUTICALS, INC.	 	 
	 

Gregory P. Hanson

	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 

	 	 
	 

	 	 	 	Title:	 	 	 	 
	 

Date

	 	 	 	 
	 	 

	 	 
	 

	 	 	 	Date:

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