Document:

Exhibit
4.1

 

INDENTURE

Dated as of
November 13, 2006

Among

HUNTSMAN
INTERNATIONAL LLC, as Issuer,

each of the
Guarantors named herein

and

Wells Fargo Bank,
National Association, as Trustee

$200,000,000

7 7/8% Senior
Subordinated Notes due 2014

€400,000,000

6 7/8% Senior
Subordinated Notes due 2013

 

 

TABLE OF CONTENTS

	
  

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE I

  
	
   

  	
   

  	
   

  
	
  DEFINITIONS AND
  INCORPORATION BY REFERENCE

  
	
   

  	
   

  	
   

  
	
  Section 1.01

  	
  Definitions

  	
  1

  
	
  Section 1.02

  	
  Incorporation by Reference of TIA

  	
  31

  
	
  Section 1.03

  	
  Rules of Construction

  	
  31

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  
	
   

  	
   

  	
   

  
	
  THE NOTES

  
	
   

  	
   

  	
   

  
	
  Section 2.01

  	
  Form and Dating

  	
  31

  
	
  Section 2.02

  	
  Execution and Authentication; Aggregate Principal
  Amount

  	
  33

  
	
  Section 2.03

  	
  Registrar and Paying Agent

  	
  34

  
	
  Section 2.04

  	
  Paying Agent To Hold Assets in Trust

  	
  35

  
	
  Section 2.05

  	
  Holder Lists

  	
  35

  
	
  Section 2.06

  	
  Transfer and Exchange

  	
  35

  
	
  Section 2.07

  	
  Replacement Notes

  	
  36

  
	
  Section 2.08

  	
  Outstanding Notes

  	
  36

  
	
  Section 2.09

  	
  Treasury Notes

  	
  37

  
	
  Section 2.10

  	
  [Intentionally Omitted]

  	
  37

  
	
  Section 2.11

  	
  Cancellation

  	
  37

  
	
  Section 2.12

  	
  Defaulted Interest

  	
  37

  
	
  Section 2.13

  	
  CUSIP Numbers

  	
  38

  
	
  Section 2.14

  	
  Deposit of Moneys

  	
  38

  
	
  Section 2.15

  	
  Book-Entry Provisions for Global Securities

  	
  38

  
	
  Section 2.16

  	
  Transfer and Exchange of Securities

  	
  39

  
	
  Section 2.17

  	
  Special Transfer Provisions

  	
  45

  
	
  Section 2.18

  	
  Issuance of Additional Notes

  	
  46

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  
	
   

  	
   

  	
   

  
	
  REDEMPTION

  
	
   

  	
   

  	
   

  
	
  Section 3.01

  	
  Notices to Trustee

  	
  46

  
	
  Section 3.02

  	
  Selection of Notes To Be Redeemed

  	
  47

  
	
  Section 3.03

  	
  Notice of Redemption

  	
  47

  
	
  Section 3.04

  	
  Effect of Notice of Redemption

  	
  48

  
	
  Section 3.05

  	
  Deposit of Redemption Price

  	
  48

  
	
  Section 3.06

  	
  Notes Redeemed in Part

  	
  48

  

 

 i
 

 

 

	
  ARTICLE IV

  
	
   

  	
   

  	
   

  
	
  COVENANTS

  
	
   

  	
   

  	
   

  
	
  Section 4.01

  	
  Payment of Notes

  	
  49

  
	
  Section 4.02

  	
  Maintenance of Office or Agency

  	
  49

  
	
  Section 4.03

  	
  Limitation on Restricted Payments

  	
  49

  
	
  Section 4.04

  	
  Corporate Existence

  	
  51

  
	
  Section 4.05

  	
  Payment of Taxes and Other Claims

  	
  51

  
	
  Section 4.06

  	
  Maintenance of Properties and Insurance

  	
  51

  
	
  Section 4.07

  	
  Compliance Certificate; Notice of Default

  	
  52

  
	
  Section 4.08

  	
  Compliance with Laws

  	
  52

  
	
  Section 4.09

  	
  Reports to Holders

  	
  53

  
	
  Section 4.10

  	
  Waiver of Stay, Extension or Usury Laws

  	
  53

  
	
  Section 4.11

  	
  Limitations on Transactions with Affiliates

  	
  54

  
	
  Section 4.12

  	
  Limitation on Incurrence of Additional Indebtedness

  	
  55

  
	
  Section 4.13

  	
  Limitation on Dividend and Other Payment
  Restrictions Affecting Subsidiaries

  	
  55

  
	
  Section 4.14

  	
  Change of Control

  	
  56

  
	
  Section 4.15

  	
  Limitation on Asset Sales

  	
  58

  
	
  Section 4.16

  	
  Prohibition on Incurrence of Senior Subordinated
  Debt

  	
  62

  
	
  Section 4.17

  	
  Limitation on Preferred Stock of Restricted
  Subsidiaries

  	
  62

  
	
  Section 4.18

  	
  Limitation on Liens

  	
  62

  
	
  Section 4.19

  	
  Limitation of Guarantees by Restricted Subsidiaries

  	
  63

  
	
  Section 4.20

  	
  Conduct of Business

  	
  63

  
	
  Section 4.21

  	
  Covenant Termination

  	
  63

  
	
   

  	
   

  	
   

  
	
  ARTICLE V

  
	
   

  	
   

  	
   

  
	
  SUCCESSOR
  CORPORATION

  
	
   

  	
   

  	
   

  
	
  Section 5.01

  	
  Merger, Consolidation and Sale of Assets

  	
  64

  
	
  Section 5.02

  	
  Successor Corporation Substituted

  	
  65

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  
	
   

  	
   

  	
   

  
	
  DEFAULT AND
  REMEDIES

  
	
   

  	
   

  	
   

  
	
  Section 6.01

  	
  Events of Default

  	
  65

  
	
  Section 6.02

  	
  Acceleration

  	
  67

  
	
  Section 6.03

  	
  Other Remedies

  	
  67

  
	
  Section 6.04

  	
  Waiver of Past Defaults

  	
  68

  
	
  Section 6.05

  	
  Control by Majority

  	
  68

  
	
  Section 6.06

  	
  Limitation on Suits

  	
  68

  
	
  Section 6.07

  	
  Rights of Holders To Receive Payment

  	
  69

  
	
  Section 6.08

  	
  Collection Suit by Trustee

  	
  69

  
	
  Section 6.09

  	
  Trustee May File Proofs of Claim

  	
  69

  

 

 ii
 

 

 

	
  Section 6.10

  	
  Priorities

  	
  70

  
	
  Section 6.11

  	
  Undertaking for Costs

  	
  70

  
	
  Section 6.12

  	
  Expenses and Services After an Event of Default

  	
  70

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  
	
   

  	
   

  	
   

  
	
  TRUSTEE

  
	
   

  	
   

  	
   

  
	
  Section 7.01

  	
  Duties of Trustee

  	
  71

  
	
  Section 7.02

  	
  Rights of Trustee

  	
  72

  
	
  Section 7.03

  	
  Individual Rights of Trustee

  	
  73

  
	
  Section 7.04

  	
  Trustee’s Disclaimer

  	
  74

  
	
  Section 7.05

  	
  Notice of Default

  	
  74

  
	
  Section 7.06

  	
  Reports by Trustee to Holders

  	
  74

  
	
  Section 7.07

  	
  Compensation and Indemnity

  	
  74

  
	
  Section 7.08

  	
  Replacement of Trustee

  	
  76

  
	
  Section 7.09

  	
  Successor Trustee by Merger, Etc.

  	
  77

  
	
  Section 7.10

  	
  Eligibility; Disqualification

  	
  77

  
	
  Section 7.11

  	
  Preferential Collection of Claims Against the
  Company

  	
  77

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  
	
   

  	
   

  	
   

  
	
  DISCHARGE OF
  INDENTURE; DEFEASANCE

  
	
   

  	
   

  	
   

  
	
  Section 8.01

  	
  Termination of the Company’s Obligations

  	
  77

  
	
  Section 8.02

  	
  Acknowledgment of Discharge by Trustee

  	
  79

  
	
  Section 8.03

  	
  Application of Trust Money

  	
  80

  
	
  Section 8.04

  	
  Repayment to the Company

  	
  80

  
	
  Section 8.05

  	
  Reinstatement

  	
  80

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  
	
   

  	
   

  	
   

  
	
  AMENDMENTS,
  SUPPLEMENTS AND WAIVERS

  
	
   

  	
   

  	
   

  
	
  Section 9.01

  	
  Without Consent of Holders

  	
  80

  
	
  Section 9.02

  	
  With Consent of Holders

  	
  81

  
	
  Section 9.03

  	
  Compliance with TIA

  	
  82

  
	
  Section 9.04

  	
  Revocation and Effect of Consents

  	
  82

  
	
  Section 9.05

  	
  Notation on or Exchange of Notes

  	
  83

  
	
  Section 9.06

  	
  Trustee To Sign Amendments, Etc.

  	
  83

  
	
   

  	
   

  	
   

  
	
  ARTICLE X

  
	
   

  	
   

  	
   

  
	
  SUBORDINATION OF
  NOTES

  
	
   

  	
   

  	
   

  
	
  Section 10.01

  	
  Notes Subordinated to Senior Debt

  	
  83

  
	
  Section 10.02

  	
  Suspension of Payment When Senior Debt Is in Default

  	
  84

  

 

 iii
 

 

 

	
  Section 10.03

  	
  Notes
  Subordinated to Prior Payment of All Senior Debt on Dissolution, Liquidation
  or Reorganization of Company

  	
  85

  
	
  Section 10.04

  	
  Holders To Be
  Subrogated to Rights of Holders of Senior Debt

  	
  87

  
	
  Section 10.05

  	
  Obligations of
  the Company Unconditional

  	
  87

  
	
  Section 10.06

  	
  Trustee Entitled
  To Assume Payments Not Prohibited in Absence of Notice

  	
  88

  
	
  Section 10.07

  	
  Application by
  Trustee of Assets Deposited with It

  	
  88

  
	
  Section 10.08

  	
  No Waiver of
  Subordination Provisions

  	
  89

  
	
  Section 10.09

  	
  Holders
  Authorize Trustee To Effectuate Subordination of Notes

  	
  89

  
	
  Section 10.10

  	
  Right of Trustee
  To Hold Senior Debt

  	
  90

  
	
  Section 10.11

  	
  No Suspension of
  Remedies

  	
  90

  
	
  Section 10.12

  	
  No Fiduciary
  Duty of Trustee to Holders of Senior Debt

  	
  90

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI

  
	
   

  	
   

  	
   

  
	
  GUARANTEE OF
  NOTES

  
	
   

  	
   

  	
   

  
	
  Section 11.01

  	
  Unconditional Guarantee

  	
  90

  
	
  Section 11.02

  	
  Limitations on Guarantees

  	
  92

  
	
  Section 11.03

  	
  Execution and Delivery of Guarantee

  	
  92

  
	
  Section 11.04

  	
  Release of a Guarantor

  	
  92

  
	
  Section 11.05

  	
  Waiver of Subrogation

  	
  93

  
	
  Section 11.06

  	
  Immediate Payment

  	
  94

  
	
  Section 11.07

  	
  No Set-Off

  	
  94

  
	
  Section 11.08

  	
  Obligations Absolute

  	
  94

  
	
  Section 11.09

  	
  Obligations Continuing

  	
  94

  
	
  Section 11.10

  	
  Obligations Not Reduced

  	
  94

  
	
  Section 11.11

  	
  Obligations Reinstated

  	
  94

  
	
  Section 11.12

  	
  Obligations Not Affected

  	
  95

  
	
  Section 11.13

  	
  Waiver

  	
  96

  
	
  Section 11.14

  	
  No Obligation To Take Action Against the Company

  	
  96

  
	
  Section 11.15

  	
  Dealing with the Company and Others

  	
  96

  
	
  Section 11.16

  	
  Default and Enforcement

  	
  97

  
	
  Section 11.17

  	
  Amendment, Etc.

  	
  97

  
	
  Section 11.18

  	
  Acknowledgment

  	
  97

  
	
  Section 11.19

  	
  Costs and Expenses

  	
  97

  
	
  Section 11.20

  	
  No Waiver; Cumulative Remedies

  	
  97

  
	
  Section 11.21

  	
  Guarantee in Addition to Other Obligations

  	
  97

  
	
  Section 11.22

  	
  Severability

  	
  98

  
	
  Section 11.23

  	
  Successors and Assigns

  	
  98

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII

  
	
   

  	
   

  	
   

  
	
  SUBORDINATION OF
  GUARANTEE

  
	
   

  	
   

  	
   

  
	
  Section 12.01

  	
  Guarantee Obligations Subordinated to Guarantor
  Senior Debt

  	
  98

  

 

 iv
 

 

 

	
  Section 12.02

  	
  Suspension of
  Guarantee Obligations When Guarantor Senior Debt Is in Default

  	
  98

  
	
  Section 12.03

  	
  Guarantee
  Obligations Subordinated to Prior Payment of All Guarantor Senior Debt on
  Dissolution, Liquidation or Reorganization of Such Subsidiary Guarantor

  	
  100

  
	
  Section 12.04

  	
  Holders of
  Guarantee Obligations To Be Subrogated to Rights of Holders of Guarantor
  Senior Debt

  	
  101

  
	
  Section 12.05

  	
  Obligations of
  the Guarantors Unconditional

  	
  102

  
	
  Section 12.06

  	
  Trustee Entitled
  To Assume Payments Not Prohibited in Absence of Notice

  	
  103

  
	
  Section 12.07

  	
  Application by
  Trustee of Assets Deposited with It

  	
  103

  
	
  Section 12.08

  	
  No Waiver of
  Subordination Provisions

  	
  103

  
	
  Section 12.09

  	
  Holders
  Authorize Trustee To Effectuate Subordination of Guarantee Obligations

  	
  104

  
	
  Section 12.10

  	
  Right of Trustee
  To Hold Guarantor Senior Indebtedness

  	
  104

  
	
  Section 12.11

  	
  No Suspension of
  Remedies

  	
  104

  
	
  Section 12.12

  	
  No Fiduciary
  Duty of Trustee to Holders of Guarantor Senior Debt

  	
  105

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIII

  
	
   

  	
   

  	
   

  
	
  MISCELLANEOUS

  
	
   

  	
   

  	
   

  
	
  Section 13.01

  	
  TIA Controls

  	
  105

  
	
  Section 13.02

  	
  Notices

  	
  105

  
	
  Section 13.03

  	
  Communications by Holders with Other Holders

  	
  106

  
	
  Section 13.04

  	
  Certificate and Opinion as to Conditions Precedent

  	
  106

  
	
  Section 13.05

  	
  Statements Required in Certificate or Opinion

  	
  107

  
	
  Section 13.06

  	
  Rules by Trustee, Paying Agent, Registrar

  	
  107

  
	
  Section 13.07

  	
  Legal Holidays

  	
  107

  
	
  Section 13.08

  	
  Governing Law

  	
  107

  
	
  Section 13.09

  	
  No Adverse Interpretation of Other Agreements

  	
  108

  
	
  Section 13.10

  	
  No Recourse Against Others

  	
  108

  
	
  Section 13.11

  	
  Successors

  	
  108

  
	
  Section 13.12

  	
  Duplicate Originals

  	
  108

  
	
  Section 13.13

  	
  Severability

  	
  108

  
	
  Section 13.14

  	
  Independence of Covenants

  	
  108

  
	
   

  	
   

  	
   

  
	
  SIGNATURES

  	
   

  	
  1

  
	
   

  	
   

  	
   

  
	
  Exhibit A-1

  	
  –

  	
   

  	
  Form of Restricted Dollar Note

  	
   

  
	
  Exhibit A-2

  	
  –

  	
   

  	
  Form of Restricted Euro Note

  	
   

  
	
  Exhibit A-3

  	
  –

  	
   

  	
  Form of Dollar Note

  	
   

  
	
  Exhibit A-4

  	
  –

  	
   

  	
  Form of Euro Note

  	
   

  
	
  Exhibit B

  	
  -

  	
   

  	
  Form of Legend for Global Notes

  	
   

  
	
  Exhibit C

  	
  -

  	
   

  	
  Form of Transfer Certificates

  	
   

  
						

 

 v
 

 

 

	
  Exhibit D

  	
  –

  	
   

  	
  Form of IAI Transfer Certificate

  	
   

  
	
  Exhibit E

  	
  –

  	
   

  	
  Form of Guarantee

  	
   

  

 

Note:  This Table of Contents shall not, for any
purpose, be deemed to be part of this Indenture.

 vi

 

INDENTURE, dated as of November 13, 2006, among
HUNTSMAN INTERNATIONAL LLC, a Delaware limited liability company (the “Company”),
each of the Guarantors named herein, as guarantors, and Wells Fargo Bank,
National Association, a national banking association, as trustee (the “Trustee”).

The Company has duly authorized the creation of an
issue of dollar denominated 7 7/8% Senior Subordinated Notes due 2014 (the
“Dollar Notes”) and euro denominated 6 7/8% Senior Subordinated Notes due
2013 (the “Euro Notes” and, together with the Dollar Notes, the “Notes”).  All things necessary to make the Notes, when
duly issued and executed by the Company and authenticated and delivered
hereunder, the valid and binding obligations of the Company and to make this
Indenture a valid and binding agreement of the Company have been done.

Each party hereto agrees as follows for the benefit of
the other parties and for the equal and ratable benefit of the Holders of the
Notes:

ARTICLE I

DEFINITIONS AND
INCORPORATION BY REFERENCE

Section 1.01           Definitions.

“Acceleration Notice” has the meaning provided in
Section 6.02(a).

“Acquired Indebtedness” means Indebtedness of a Person
or any of its Subsidiaries existing at the time such Person becomes a
Restricted Subsidiary of the Company or at the time it merges or consolidates
with the Company or any of its Restricted Subsidiaries or assumed in connection
with the acquisition of assets from such Person and in each case not incurred
by such Person in connection with, or in anticipation or contemplation of, such
Person becoming a Restricted Subsidiary of the Company or such acquisition,
merger or consolidation, except for Indebtedness of a Person or any of its
Subsidiaries that is repaid at the time such Person becomes a Restricted
Subsidiary of the Company or at the time it merges or consolidates with the Company
or any of its Restricted Subsidiaries.

“Additional Dollar Notes” means Dollar Notes (other
than the Initial Dollar Notes and other than Exchange Notes issued pursuant to
an exchange offer for such Initial Dollar Notes under this Indenture or
issuances under Section 2.07 or 2.16) issued under this Indenture from time to
time in accordance with Sections 2.01, 2.02, 2.18 and 4.12 hereof.

“Additional Euro Notes” means Euro Notes (other than
the Initial Euro Notes and other than Exchange Notes issued pursuant to an
exchange offer for such Initial Euro Notes under this Indenture or issuances
under Section 2.07 or 2.16) issued under this Indenture from time to time in accordance
with Sections 2.01, 2.02, 2.18 and 4.12 hereof.

“Additional Notes” means the Additional Dollar Notes
(if any) and the Additional Euro Notes (if any).

“Adjusted Bund Rate” means with respect to any
redemption date, the mid- market yield, under the heading which represents the
average for the immediately prior week, 

 

appearing on Reuters page AABBUND01, or its successor,
for the maturity corresponding to November 15, 2009 (if no maturity date is
within three months before or after November 15, 2009, yields for the two
published maturities most closely corresponding to November 15, 2009 shall be
determined and the Bund yield shall be interpolated or extrapolated from such
yields on a straight line basis, rounding to the nearest month), plus
0.50%.  The Bund Rate shall be calculated
on the third Business Day preceding such redemption date.

“Adjusted Treasury Rate” means with respect to any
redemption date, the rate per annum equal to the semiannual equivalent yield to
maturity of the Comparable Treasury Issue, assuming a price for the Comparable
Treasury Issue (expressed as a percentage of its principal amount) equal to the
Comparable Treasury Price for such redemption date, plus 0.50%.

“Affiliate” means, with respect to any specified
Person, any other Person who directly or indirectly through one or more
intermediaries controls, or is controlled by, or is under common control with,
such specified Person.  The term “control”
means the possession, directly or indirectly, of the power to direct or cause
the direction of the management and policies of a Person, whether through the
ownership of voting securities, by contract or otherwise; and the terms “controlling”
and “controlled” have meanings correlative of the foregoing; provided, however,
that none of the Initial Purchasers or their Affiliates shall be deemed to be
an Affiliate of the Company.

“Affiliate Transaction” has the meaning provided in
Section 4.11(a).

“Agent” means any Registrar, Paying Agent or
Co-Registrar.

“Agent Member” means any member of, or participant in,
the Depositary.

“Applicable Procedures” has the meaning provided in
Section 2.16(a)(ii).

“Asset Acquisition” means (a) an Investment by the
Company or any Restricted Subsidiary of the Company in any other Person
pursuant to which such Person shall become a Restricted Subsidiary of the
Company or of any Restricted Subsidiary of the Company, or shall be merged with
or into the Company or any Restricted Subsidiary of the Company, or (b) the acquisition
by the Company or any Restricted Subsidiary of the Company of the assets of any
Person (other than a Restricted Subsidiary of the Company) which constitute all
or substantially all of the assets of such Person or comprises any division or
line of business of such Person or any other properties or assets of such
Person other than in the ordinary course of business.

“Asset Sale” means any direct or indirect sale,
issuance, conveyance, transfer, lease (other than operating leases entered into
in the ordinary course of business), assignment or other transfer for value by
the Company or any of its Restricted Subsidiaries (including any Sale and
Leaseback Transaction) to any Person other than the Company or a Restricted
Subsidiary of the Company of (a) any Capital Stock of any Restricted Subsidiary
of the Company; or (b) any other property or assets of the Company or any
Restricted Subsidiary of the Company other than in the ordinary course of
business; provided, however, that Asset Sales shall not include
(i) a transaction or series of related transactions for which the Company or
its Restricted Subsidiaries receive aggregate consideration of less than $50
million, (ii) sales, pledges, conveyances or other 

 2
 

 

transfers of accounts receivable or participations or
other interests therein and related assets (including contract rights) of the
type specified in the definition of “Qualified Securitization Transaction”
directly or indirectly to a Securitization Entity for the Fair Market Value
thereof, (iii) sales or grants of licenses to use the patents, trade secrets,
know-how and other intellectual property of the Company or any of its
Restricted Subsidiaries to the extent that such license does not prohibit the
Company or any of its Restricted Subsidiaries from using the technologies
licensed or require the Company or any of its Restricted Subsidiaries to pay
any fees for any such use, (iv) the sale, lease, conveyance, disposition or
other transfer (A) of all or substantially all of the assets of the Company as
permitted under Section 5.01, (B) of any Capital Stock or other ownership interest
in or assets or property of an Unrestricted Subsidiary or a Person which is not
a Subsidiary, (C) pursuant to any foreclosure of assets or other remedy
provided by applicable law to a creditor of the Company or any Subsidiary of
the Company with a Lien on such assets, which Lien is permitted under this
Indenture; provided that such foreclosure or other remedy is conducted
in a commercially reasonable manner or in accordance with any bankruptcy law,
(D) involving only Cash Equivalents, Foreign Cash Equivalents or inventory in
the ordinary course of business or obsolete or worn out property or property
that is no longer useful in the conduct of the business of the Company or its Restricted
Subsidiaries in the ordinary course of business consistent with past practices
of the Company or such Restricted Subsidiaries or (E) including only the lease
or sublease of any real or personal property in the ordinary course of
business, (v) the consummation of any transaction in accordance with the terms
of Sections 4.03 and 5.01 hereof and (vi) Permitted Investments.

“Bankruptcy Law” means Title 11, United States Code or
any similar federal, state or foreign law for the relief of debtors.

“Board of Managers” means, as to any Person, the board
of managers, the board of directors or other similar body of such Person or any
duly authorized committee thereof.

“Board Resolution” means, with respect to any Person,
a copy of a resolution certified by the Secretary or an Assistant Secretary of
such Person to have been duly adopted by the Board of Managers of such Person
and to be in full force and effect on the date of such certification, and
delivered to the Trustee.

“Business Day” means a day that is not a Saturday or
Sunday or a day on which banking institutions in New York, New York or London,
U.K. are not required to be open.

“Capital Stock” means (i) with respect to any Person
that is a corporation, any and all shares, interests, participations or other
equivalents (however designated and whether or not voting) of corporate stock,
including each class of Common Stock and Preferred Stock of such Person and
(ii) with respect to any Person that is not a corporation, any and all
partnership, membership or other equity interests of such Person.

“Capitalized Lease Obligation” means, as to any
Person, the obligations of such Person under a lease that are required to be
classified and accounted for as capital lease obligations under GAAP and, for
purposes of this definition, the amount of such obligations at any date shall
be the capitalized amount of such obligations at such date, determined in
accordance with GAAP.

 3
 

 

“Cash Equivalents” means (i) a marketable obligation,
maturing within two years after issuance thereof, issued or guaranteed by the
United States of America or an instrumentality or agency thereof, (ii) a
certificate of deposit or banker’s acceptance, maturing within one year after
issuance thereof, issued by any lender under the Credit Facilities, or a
national or state bank or trust company or a European, Canadian or Japanese
bank, in each case having capital, surplus and undivided profits of at least
$100,000,000 and whose long-term unsecured debt has a rating of “A” or better
by S&P or A2 or better by Moody’s or the equivalent rating by any other
nationally recognized rating agency (provided that the aggregate face
amount of all Investments in certificates of deposit or bankers’ acceptances
issued by the principal offices of or branches of such European or Japanese
banks located outside the United States of America shall not at any time exceed
33 1/3% of all Investments described in this definition), (iii) open market
commercial paper, maturing within 270 days after issuance thereof, which has a
rating of A1 or better by S&P or P1 or better by Moody’s or the equivalent
rating by any other nationally recognized rating agency, (iv) repurchase
agreements and reverse repurchase agreements with a term not in excess of one
year with any financial institution which has been elected as a primary
government securities dealer by the Federal Reserve Board or whose securities
are rated AA- or better by S&P or Aa3 or better by Moody’s or the
equivalent rating by any other nationally recognized rating agency relating to
marketable direct obligations issued or unconditionally guaranteed by the
United States of America or any agency or instrumentality thereof and backed by
the full faith and credit of the United States of America, (v) “Money Market”
preferred stock maturing within six months after issuance thereof or municipal
bonds issued by a corporation organized under the laws of any state of the
United States of America, which has a rating of “A” or better by S&P or
Moody’s or the equivalent rating by any other nationally recognized rating
agency, (vi) tax exempt floating rate option tender bonds backed by letters of
credit issued by a national or state bank whose long-term unsecured debt has a
rating of AA or better by S&P or Aa2 or better by Moody’s or the equivalent
rating by any other nationally recognized rating agency, and (vii) shares of
any money market mutual fund rated at least AAA or the equivalent thereof by
S&P or at least Aaa or the equivalent thereof by Moody’s or any other
mutual fund holding assets consisting (except for de minimis amounts) of the
type specified in clauses (i) through (vi) above.

“Change of Control” means (a) any “person” or “group”
(as such terms are used in Sections 13(d) and 14(d) of the Exchange Act), other
than Mr. Jon M. Huntsman, his spouse, direct descendants, an entity controlled
by any of the foregoing and/or by a trust of the type described hereafter,
and/or a trust for the benefit of any of the foregoing (the “Huntsman Group”)
or GOP, is or becomes the “beneficial owner” (as defined in Rules 13d-3 and
13d-5 under the Exchange Act, except that a Person shall be deemed to have “beneficial
ownership” of all securities that such Person has the right to acquire, whether
such right is exercisable immediately or only after the passage of time),
directly or indirectly, of 35% or more of the then outstanding voting capital
stock of the Company other than in a transaction having the approval of the
Board of Managers of the Company at least a majority of which members are
Continuing Managers; or (b) Continuing Managers shall cease to constitute at
least a majority of the persons constituting the Board of Managers of the
Company.

“Change of Control Date” has the meaning provided in
Section 4.14(c).

 4
 

 

“Change of Control Offer” has the meaning provided in
Section 4.14(a).

“Change of Control Payment Date” has the meaning
provided in Section 4.14.

“Clearing Agency” has meaning provided in Section
2.15.

“Clearstream” shall mean Clearstream Banking S.A.

“Commission” or “SEC” means the Securities and
Exchange Commission.

“Commodity Agreements” means any commodity futures
contract, commodity option or other similar agreement or arrangement entered
into by the Company or any of its Restricted Subsidiaries designed to protect
the Company or any of its Restricted Subsidiaries against fluctuations in the
price of commodities actually at that time used in the ordinary course of
business of the Company or its Restricted Subsidiaries.

“Common Depositary” means Citibank, N.A., as common
depositary for Euroclear and depositary for the Euro Denominated Securities,
together with its successors in such capacity.

“Common Stock” of any Person means any and all shares,
interests or other participations in, and other equivalents (however designated
and whether voting or non-voting) of such Person’s common stock, whether
outstanding on the Issue Date or issued after the Issue Date, and includes,
without limitation, all series and classes of such common stock.

“Company” means the party named as such in this
Indenture until a successor replaces it pursuant to this Indenture and
thereafter means such successor.

“Company Order” means any written order signed in the
name of the Company by two of its Officers.

“Comparable Treasury Issue” means the United States
Treasury Security selected by an Independent Investment Banker as having a
maturity comparable to the remaining term of the notes to be redeemed that
would be utilized, at the time of selection and in accordance with customary
financial practice, in pricing new issues of corporate debt securities of
comparable maturity to the remaining term of such notes.

“Comparable Treasury Price” means, with respect to any
redemption date, (1) the average of the bid and asked prices for the Comparable
Treasury Issue (expressed in each case as a percentage of its principal amount)
on the third Business Day preceding such redemption date, as set forth in the
daily statistical release (or any successor release) published by the Federal Reserve
Bank of New York and designated “Composite 3:30 p.m. Quotations for U.S.
Government Securities” or (2) if such release (or any successor release) is not
published or does not contain such prices on such Business Day, (A) the
Reference Treasury Dealer Quotations for such redemption date, after excluding
the highest and lowest of such Reference Treasury Dealer Quotations, or (B) if
the trustee obtains fewer than three such Reference Treasury Dealer Quotations,
the average of all such Quotations.

 5
 

 

“Consolidated EBITDA” means, with respect to any
Person, for any period, the sum (without duplication) of (i) Consolidated Net Income
and (ii) to the extent Consolidated Net Income has been reduced thereby, (A)
all income taxes of such Person and its Restricted Subsidiaries paid or accrued
in accordance with GAAP for such period (other than income taxes attributable
to extraordinary, unusual or nonrecurring gains or losses or taxes attributable
to sales or dispositions outside the ordinary course of business) and Permitted
Tax Distributions paid during such period, (B) Consolidated Interest Expense,
(C) Consolidated Non-cash Charges less any non-cash items increasing
Consolidated Net Income for such period and (D) the amount of net loss
resulting from the payment of any premiums or similar amounts that are required
to be paid under the express terms of the instrument(s) governing any
Indebtedness of the Company upon the repayment or other extinguishment of such
Indebtedness by the Company in accordance with the express terms of such
Indebtedness, all as determined on a consolidated basis for such Person and its
Restricted Subsidiaries in accordance with GAAP.

“Consolidated Fixed Charge Coverage Ratio” means, with
respect to any Person, the ratio of Consolidated EBITDA of such Person during
the four full fiscal quarters for which financial statements are available as
provided pursuant to Section 4.09 (the “Four Quarter Period”) ending on or
prior to the date of the transaction giving rise to the need to calculate the
Consolidated Fixed Charge Coverage Ratio (the “Transaction Date”) to
Consolidated Fixed Charges of such Person for the Four Quarter Period.  In addition to and without limitation of the
foregoing, for purposes of this definition, “Consolidated EBITDA” and “Consolidated
Fixed Charges” shall be calculated after giving effect on a pro forma basis for
the period of such calculation to (i) the incurrence or repayment or other
reduction or discharge of any Indebtedness of such Person or any of its
Restricted Subsidiaries (and the application of the proceeds thereof) giving
rise to the need to make such calculation and any incurrence or repayment of
other Indebtedness (and the application of the proceeds thereof), other than
the incurrence or repayment of Indebtedness in the ordinary course of business
for working capital purposes pursuant to working capital facilities, occurring
during the Four Quarter Period or at any time subsequent to the last day of the
Four Quarter Period and prior to the Transaction Date, as if such incurrence or
repayment, as the case may be (and the application of the proceeds thereof),
occurred on the first day of the Four Quarter Period and (ii) any asset sales
(other than asset sales (A) in the ordinary course of business or (B) involving
a nominal amount of gross assets of less than $25 million) or Asset
Acquisitions (including any Asset Acquisition giving rise to the need to make
such calculation) occurring during the Four Quarter Period or at any time
subsequent to the last day of the Four Quarter Period and on or prior to the
Transaction Date, as if such Asset Sale or Asset Acquisition (including the incurrence,
assumption or liability for any such Acquired Indebtedness) occurred on the
first day of the Four Quarter Period.  If
such Person or any of its Restricted Subsidiaries directly or indirectly guarantees
Indebtedness of a Person other than the Company or a Restricted Subsidiary, the
preceding sentence shall give effect to the incurrence of such guaranteed
Indebtedness as if such Person or any Restricted Subsidiary of such Person had
directly incurred or otherwise assumed such guaranteed Indebtedness.  Furthermore, in calculating “Consolidated
Fixed Charges” for purposes of determining the denominator (but not the
numerator) of this “Consolidated Fixed Charge Coverage Ratio,” (1) interest on
outstanding Indebtedness determined on a fluctuating basis as of the
Transaction Date and which will continue to be so determined thereafter shall
be deemed to have accrued at a fixed rate per annum equal to the rate of
interest on such Indebtedness in effect on the Transaction Date; (2) if
interest on any 

 6
 

 

Indebtedness actually incurred on the Transaction Date
may optionally be determined at an interest rate based upon a factor of a prime
or similar rate, a eurocurrency interbank offered rate, or other rates, then
the interest rate in effect on the Transaction Date will be deemed to have been
in effect during the Four Quarter Period; and (3) notwithstanding clause (1)
above, interest on Indebtedness determined on a fluctuating basis, to the
extent such interest is covered by agreements relating to Interest Swap Obligations,
shall be deemed to accrue at the rate per annum resulting after giving effect
to the operation of such agreements.

“Consolidated Fixed Charges” means, with respect to
any Person for any period, the sum, without duplication, of (i) Consolidated
Interest Expense, plus (ii) the product of (x) the amount of all dividend
payments on any series of Preferred Stock of such Person and its Restricted
Subsidiaries (other than dividends paid in Qualified Capital Stock and other
than dividends paid to such Person or to a Restricted Subsidiary of such
Person) paid, accrued or scheduled to be paid or accrued during such period
times (y) a fraction, the numerator of which is one and the denominator of
which is one minus the then current effective consolidated federal, state and
local tax rate of such Person, expressed as a decimal.

“Consolidated Interest Expense” means, with respect to
any Person for any period, the sum of, without duplication:  (i) the aggregate of the interest expense of
such Person and its Restricted Subsidiaries for such period determined on a
consolidated basis in accordance with GAAP, including without limitation, (a)
any amortization of debt discount and amortization or write-off of deferred
financing costs, excluding such costs relating to early retirement of debt, (b)
the net costs under Interest Swap Obligations, (c) all capitalized interest and
(d) the interest portion of any deferred payment obligation; and (ii) the
interest component of Capitalized Lease Obligations paid, accrued and/or scheduled
to be paid or accrued by such Person and its Restricted Subsidiaries during
such period as determined on a consolidated basis in accordance with GAAP.

“Consolidated Leverage Ratio” means, for any Person,
the ratio of (i) Indebtedness of such Person, and its Restricted
Subsidiary to (ii) Consolidated EBITDA of such Person calculated as set
forth in the definition of Consolidated Fixed Charge Coverage Ratio.

“Consolidated Net Income” means, with respect to any
Person, for any period, the sum of:  (x)
the aggregate net income (or loss) of such Person and its Restricted
Subsidiaries for such period on a consolidated basis, determined in accordance
with GAAP plus (y) cash dividends or distributions paid to such Person or a
Restricted Subsidiary of such Person by any other Person (the “Payor”) other
than a Restricted Subsidiary of the referent Person, to the extent not
otherwise included in Consolidated Net Income, which have been derived from
operating cash flow of the Payor; provided that there shall be excluded
therefrom (a) after-tax gains and losses from Asset Sales or abandonments or
reserves relating thereto, (b) after-tax items classified as extraordinary or
nonrecurring gains, (c) the net income of any Person acquired in a “pooling of
interests” transaction accrued prior to the date it becomes a Restricted
Subsidiary of the Person or is merged or consolidated with the Person or any
Restricted Subsidiary of the Person, (d) the net income (but not loss) of any
Restricted Subsidiary of the Person to the extent that the declaration of
dividends or similar distributions by that Restricted Subsidiary of that income
is 

 7
 

 

restricted; provided, however, that the
net income of Foreign Subsidiaries shall only be excluded in any calculation of
Consolidated Net Income of the Company as a result of application of this
clause (d) if the restriction on dividends or similar distributions results
from consensual restrictions, (e) the net income or loss of any Person, other
than a Restricted Subsidiary of the Person, except to the extent of cash
dividends or distributions paid to the Person or to a Wholly Owned Restricted
Subsidiary of the Person by such Person, (f) any restoration to income of any
contingency reserve, except to the extent that provision for such reserve was
made out of Consolidated Net Income accrued at any time following June 30,
1999, (g) income or loss attributable to discontinued operations (including,
without limitation, operations disposed of during such period whether or not
such operations were classified as discontinued), (h) in the case of a
successor to the referent Person by consolidation or merger or as a transferee
of the referent Person’s assets, any earnings of the successor corporation
prior to such consolidation, merger or transfer of assets, (i) non-cash
charges relating to asset impairments, which charges do not require an accrual
of or a Reserve for cash charges for any future period, (j) all gains or
losses from the cumulative effect of any change in accounting principles and
(k) the net amount of all Permitted Tax Distributions made during such period.

“Consolidated Non-cash Charges” means, with respect to
any Person, for any period, the aggregate depreciation, amortization and other
non-cash charges of such Person and its Restricted Subsidiaries reducing
Consolidated Net Income of such Person and its Restricted Subsidiaries for such
period, determined on a consolidated basis in accordance with GAAP (excluding
any such charges constituting an extraordinary item or loss or any such charge
which requires an accrual of or a reserve for cash charges for any future
period).

“Continuing Managers” means, as of any date, the
collective reference to (i) all members of the Board of Managers of the Company
who have held office continuously since the Issue Date, and (ii) all members of
the Board of Managers of the Company who assumed office after such date and
whose appointment or nomination for election by the holders of the Company’s
Capital Stock was approved by a vote of at least 50% of the Continuing Managers
in office immediately prior to such appointment or nomination or by the
Huntsman Group.

“Corporate Trust Office” means the principal office of
the Trustee at which at any time its corporate trust business shall be
administered, or such other address as the Trustee may designate from time to
time by notice to the Holders and the Company, or the principal corporate trust
office of any successor Trustee (or such other address as a successor Trustee
may designate from time to time by notice to the Holders and the Company).

“Covenant Defeasance” has the meaning provided in
Section 8.01.

“Credit Facilities” means the senior secured Credit
Agreement, dated as of August 16, 2005, as amended, among the Company and the
financial institutions party thereto, together with the related documents
thereto (including, without limitation, any guarantee agreements and security
documents), in each case as such agreements may be amended, supplemented,
extended or otherwise modified from time to time, and any one or more debt
facilities, indentures or other agreements that refinances, replaces or
otherwise restructures (including increasing the amount of available borrowings
thereunder in accordance with Section 4.12 or making Restricted Subsidiaries of
the Company a borrower or guarantor thereunder) all or any portion of the 

 8
 

 

Indebtedness under such agreement or any successor or
replacement agreement and whether including any additional obligors or with the
same or any other agent, lender or group of lenders or with other financial institutions
or lenders.

“Currency Agreement” means any foreign exchange
contract, currency swap agreement or other similar agreement or arrangement
designed to protect the Company or any Restricted Subsidiary of the Company
against fluctuations in currency values.

“Custodian” means any receiver, trustee, assignee,
liquidator, sequestrator or similar official under any Bankruptcy Law.

“Default” means an event or condition the occurrence
of which is, or with the lapse of time or the giving of notice or both would
be, an Event of Default.

“Depositary” means DTC or the Common Depositary, as
the case may be.

“Designated Senior Debt” means (i) Indebtedness under
or in respect of the Credit Facilities and (ii) any other Indebtedness
constituting Senior Debt which, at the time of determination, has an aggregate
principal amount of at least $100,000,000 and is specifically designated in the
instrument evidencing such Senior Debt as “Designated Senior Debt” by the
Company.

“Discharged” means that the Company shall be deemed to
have paid and discharged the entire Indebtedness represented by, and
obligations under, the Notes and to have satisfied all the obligations under
this Indenture relating to the Notes (and the Trustee, at the expense of the
Company, shall execute proper instruments acknowledging the same upon compliance
by the Company with the provisions of Article Eight), except (i) the rights of
the Holders of Notes to receive, from the trust fund described in Article
Eight, payment of the principal of and the interest on such Notes when such
payments are due, (ii) the Company’s obligations with respect to the Notes
under Sections 2.03 through 2.07, 7.07 and 7.08 and (iii) the rights, powers,
trusts, duties and immunities of the Trustee hereunder.

“Disqualified Capital Stock” means that portion of any
Capital Stock which, by its terms (or by the terms of any security into which
it is convertible or for which it is exchangeable), or upon the happening of
any event, matures or is mandatorily redeemable, pursuant to a sinking fund
obligation or otherwise, or is redeemable at the sole option of the holder
thereof on or prior to the final maturity date of the Notes.

“Dollar” or “$” means the lawful currency of the
United States of America.

“Dollar Paying Agent” means an office or agency of the
Company where Dollar Notes may be presented for payment.

“Dollar Denominated Global Security” means a Global
Security denominated in Dollars.

“Dollar Notes Maturity Date” means November 15, 2014.

 9
 

 

“Dollar Registrar” means an office or agency of the
Company where Dollar Notes may be presented for registration of transfer or
exchange.

“Domestic Subsidiary” means any Subsidiary other than
a Foreign Subsidiary.

“DTC” means the Depository Trust Company, its nominees
and successors.

“Equity Offering” means any sale of Qualified Capital
Stock of the Company or any capital contribution to the equity of the Company
from any person other than a Subsidiary of the Company.

“euro” or “€” means the currency introduced at the
start of the third stage of economic and monetary union pursuant to the Treaty
of Rome establishing the European Community, as amended by the Treaty on
European Union, signed at Maastricht on February 7, 1992.

“Euro Denominated Global Security” means a Global Security
denominated in euros.

“Euro Notes Maturity Date” means November 15, 2013.

“Euroclear” means Euroclear Bank S.A./N.V., as
operator of the Euroclear System.

“Euro Obligations” means non-callable government
obligations of any member nation of the European Union whose official currency
is the euro, rated AAA or better by S&P and Aaa or better by Moody’s.

“Euro Paying Agent” means an office or agency of the
Company where Euro Notes may be presented for payment, which shall initially be
Citibank, N.A.

“Euro Registrar” means an office or agency of the
Company where Euro Notes may be presented for registration of transfer or
exchange, which shall initially be Citigroup Global Markets Deutschland AG
& Co. KGaA.

“Event of Default” has the meaning provided in Section
6.01.

“Exchange Act” means the Securities Exchange Act of
1934, as amended, or any successor statute or statutes thereto.

“Exchange Dollar Notes” means with respect to the
Initial Dollar Notes, Notes issued in exchange for the Initial Dollar Notes pursuant
to the terms of the Registration Rights Agreement or, with respect to any
Additional Notes, Notes issued in exchange for such Additional Notes pursuant
to the terms of a registration rights agreement among the Company, the Guarantors
and the initial purchasers of such Additional Notes.

“Fair Market Value” means, with respect to any asset
or property, the price which could be negotiated in an arm’s-length, free
market transaction, for cash, between a willing seller and a willing and able
buyer, neither of whom is under undue pressure or compulsion to 

 10
 

 

complete the transaction.  Fair market value (i) with respect to a
determination of value in excess of $100 million shall be determined by the
Board of Managers of the Company acting reasonably and in good faith and shall
be evidenced by a Board Resolution delivered to the Trustee or (ii) in all
other cases, by an Officers’ Certificate delivered to the Trustee.

“Foreign Cash Equivalents” means (i) debt securities
with a maturity of 365 days or less issued by any member nation of the European
Union, Switzerland or any other country whose debt securities are rated by
S&P and Moody’s A-1 or P-1, or the equivalent thereof (if a short-term debt
rating is provided by either) or at least AA or AA2, or the equivalent thereof
(if a long- term unsecured debt rating is provided by either) (each such
jurisdiction, an “Approved Jurisdiction”) or any agency or instrumentality of
an Approved Jurisdiction, provided that the full faith and credit of the
Approved Jurisdiction is pledged in support of such debt securities or such
debt securities constitute a general obligation of the Approved Jurisdiction
and (ii) debt securities in an aggregate principal amount not to exceed $25
million with a maturity of 365 days or less issued by any nation in which the
Company or its Restricted Subsidiaries has cash which is the subject of restrictions
on export or any agency or instrumentality of such nation, provided that
the full faith and credit of such nation is pledged in support of such debt
securities or such debt securities constitute a general obligation of such
nation.

“Foreign Subsidiary” means any Subsidiary of the
Company (other than a Guarantor) organized under the laws of, and conducting a
substantial portion of its business in, any jurisdiction other than the United
States of America or any state thereof or the District of Columbia.

“Funds” means the aggregate amount of U.S. Legal
Tender and/or U.S. Government Obligations (in the case of Dollar Notes) and
Euros and/or Euro Obligations (in the case of the Euro Notes) deposited with
the Trustee pursuant to Article Eight.

“GAAP” means generally accepted accounting principles
set forth in the opinions and pronouncements of the Accounting Principles Board
of the American Institute of Certified Public Accountants and statements and
pronouncements of the Financial Accounting Standards Board or in such other
statements by such other entity as may be approved by a significant segment of
the accounting profession of the United States of America, which were in effect
as of the Issue Date.

“Global Security” means a Regulation S Global Security
(or Unrestricted Global Security) or a Restricted Global Security.

“GOP” means MatlinPatterson Global Opportunities
Partners L.P. and any other entity managed by its investment advisor,
MatlinPatterson Global Advisers LLC.

“Guarantee” means the guarantee by a Guarantor of the
obligations of the Company under this Indenture and the Notes contemplated by
Article Eleven of this Indenture.

“Guarantee Obligations” has the meaning provided in
Section 12.01.

 11
 

 

“Guarantor” means (i) each of the Company’s Restricted
Subsidiaries that executes this Indenture as a Guarantor and (ii) each of the
Company’s Restricted Subsidiaries that in the future executes a supplemental
indenture in which such Restricted Subsidiary agrees to be bound by the terms
of this Indenture as a Guarantor; provided that any Person constituting
a Guarantor as described above shall cease to constitute a Guarantor when its
respective Guarantee is released in accordance with the terms of this
Indenture.

“Guarantor Payment Blockage Period” has the meaning
provided in Section 12.02(b).

“Guarantor Senior Debt” means with respect to any
Guarantor, (i) the principal of, premium, if any, and interest (including any
interest accruing subsequent to the filing of a petition of bankruptcy at the
rate provided for in the documentation with respect thereto, whether or not
such interest is an allowed claim under applicable law) on any Indebtedness of
a Guarantor, whether outstanding on the Issue Date or thereafter created,
incurred or assumed, except for any such Indebtedness that is expressly
subordinated or equal in right of payment to the Guarantee of such
Guarantor.  Without limiting the
generality of the foregoing, “Guarantor Senior Debt” also includes the
principal of, premium, if any, interest (including any interest accruing
subsequent to the filing of a petition of bankruptcy at the rate provided for
in the documentation with respect thereto, whether or not such interest is an
allowed claim under applicable law) on, and all other amounts owing in respect
of, (w) all monetary obligations of every nature of a Guarantor in respect of
the Credit Facilities, including obligations to pay principal and interest,
reimbursement obligations under letters of credit, fees, expenses and
indemnities, (x) all monetary obligations of every nature of a Guarantor
evidenced by a promissory note and which is, directly or indirectly, pledged as
security for the obligations of the Company under the Credit Facilities, (y)
all Interest Swap Obligations and (z) all obligations under Currency
Agreements, in each case whether outstanding on the Issue Date or thereafter
incurred.  Notwithstanding the foregoing,
“Guarantor Senior Debt” shall not include (i) any Indebtedness of such
Guarantor to its Restricted Subsidiaries or Affiliates or any of such Affiliate’s
Subsidiaries other than as described in clause (x), (ii) Indebtedness to,
or guaranteed on behalf of, any shareholder, director, officer or employee of
such Guarantor or any of its Restricted Subsidiaries, (iii) Indebtedness to
trade creditors and other amounts incurred in connection with obtaining goods,
materials or services, (iv) Indebtedness represented by Disqualified Capital
Stock, (v) any liability for federal, state, local or other taxes owed or owing
by such Guarantor, (vi) Indebtedness incurred in violation of Section 4.12,
(vii) Indebtedness which, when incurred and without respect to any election
under Section 1111(b) of Title 11, United States Code, is without recourse to
the Company and (viii) any Indebtedness that is expressly subordinated in right
of payment to any other Indebtedness of such Guarantor.

“Holder” or “Noteholder” means the Person in whose
name a Note is registered on the Registrar’s books.

“Holdings U.K.” means Huntsman (Holdings) UK, a
private unlimited company incorporated under the laws of England and Wales.

“Huntsman Affiliate” means the Company or any of its
Affiliates (other than the Company and its Subsidiaries).

 12
 

 

“Huntsman Corporation” means Huntsman Corporation, a
Delaware corporation.

“Huntsman Parent Company” means Huntsman Corporation
or any entity of which the Company is a direct or indirect Wholly Owned
Subsidiary.

“Huntsman Public Parent” means any Huntsman Parent
Company that has completed an Initial Public Equity Offering including Huntsman
Corporation.

“Indebtedness” means with respect to any Person,
without duplication, (i) all Obligations of such Person for borrowed money,
(ii) all Obligations of such Person evidenced by bonds, debentures, notes or
other similar instruments, (iii) all Capitalized Lease Obligations of such
Person, (iv) all Obligations of such Person issued or assumed as the deferred
purchase price of property that is due more than six months after taking
delivery of such property, all conditional sale obligations and all Obligations
under any title retention agreement (but excluding trade accounts payable and
other accrued liabilities arising in the ordinary course of business that are
not overdue by 90 days or more or are being contested in good faith by
appropriate proceedings promptly instituted and diligently conducted), (v) all
Obligations for the reimbursement of any obligor on any letter of credit,
banker’s acceptance or similar credit transaction, (vi) guarantees in respect
of Indebtedness referred to in clauses (i) through (v) above and clause (viii)
below, (vii) all Obligations of any other Person of the type referred to in
clauses (i) through (vi) which are secured by any lien on any property or asset
of such Person, the amount of such Obligation being deemed to be the lesser of
the Fair Market Value of such property or asset or the amount of the Obligation
so secured, (viii) all Obligations under Currency Agreements and Interest Swap
Agreements of such Person and (ix) all Disqualified Capital Stock issued by
such Person with the amount of Indebtedness represented by such Disqualified
Capital Stock being equal to the greater of its voluntary or involuntary
liquidation preference and its maximum fixed repurchase price, but excluding accrued
dividends, if any.  For purposes hereof,
the “maximum fixed repurchase price” of any Disqualified Capital Stock which
does not have a fixed repurchase price shall be calculated in accordance with
the terms of such Disqualified Capital Stock as if such Disqualified Capital
Stock were purchased on any date on which Indebtedness shall be required to be
determined pursuant to this Indenture, and if such price is based upon, or
measured by, the Fair Market Value of such Disqualified Capital Stock, such
Fair Market Value shall be determined reasonably and in good faith by the Board
of Managers of the issuer of such Disqualified Capital Stock; provided, however,
that notwithstanding the foregoing, “Indebtedness” shall not include (i)
advances paid by customers in the ordinary course of business for services or
products to be provided or delivered in the future, (ii) deferred taxes or
(iii) unsecured indebtedness of the Company and/or its Restricted Subsidiaries
incurred to finance insurance premiums in a principal amount not in excess of
the insurance premiums to be paid by the Company and/or its Restricted
Subsidiaries for a three year period beginning on the date of any incurrence of
such indebtedness.

“Indenture” means this Indenture, as amended or
supplemented from time to time in accordance with the terms hereof.

“Independent Financial Advisor” means a firm which, in
the judgment of the Board of Managers of the Company, is independent and
qualified to perform the task for which it is to be engaged.

 13

 

“Independent Investment Banker” means any Reference
Treasury Dealer appointed by the Trustee after consultation with the Company.

“Initial Dollar Notes” means the $200,000,000 in
aggregate principal amount of 7 7/8% Senior Subordinated Notes due 2014 of
the Company denominated in dollars that are issued on the Issue Date.

“Initial Euro Notes” means the €400,000,000 in
aggregate principal amount of 6 7/8% Senior Subordinated Notes due 2013 of
the Company denominated in euros that are issued on the Issue Date.

“Initial Notes” means the Initial Dollar Notes and the
Initial Euro Notes.

“Initial Public Equity Offering” means a firm
commitment underwritten offering of shares of Capital Stock of the applicable
Person registered on Form S-1 under the Securities Act.

“Initial Purchasers” means Deutsche Bank Securities
Inc., Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc. and
Wachovia Capital Markets, LLC.

“Institutional Accredited Investor” means an
accredited investor within the meaning of Rule 501(a)(1), (2), (3), or (7)
under the Securities Act.

“Interest Payment Date” means, with respect to each
Note, the stated maturity of an installment of interest on the Notes specified
therein.

“Interest Swap Obligations” means the obligations of
any Person pursuant to any arrangement with any other Person, whereby, directly
or indirectly, such Person is entitled to receive from time to time periodic
payments calculated by applying either a floating or a fixed rate of interest
on a stated notional amount in exchange for payments made by such other Person
calculated by applying a fixed or a floating rate of interest on the same
notional amount and shall include, without limitation, interest rate swaps,
caps, floors, collars and similar agreements.

“Investment” means, with respect to any Person, any
direct or indirect loan or other extension of credit (including, without
limitation, a guarantee) or capital contribution to (by means of any transfer
of cash or other property to others or any payment for property or services for
the account or use of others), or any purchase or acquisition by such Person of
any Capital Stock, bonds, notes, debentures or other securities or evidences of
Indebtedness issued by, any other Person. 
“Investment” excludes extensions of trade credit by the Company and its
Restricted Subsidiaries on commercially reasonable terms in accordance with
normal trade practices of the Company or such Restricted Subsidiary, as the
case may be.  For the purposes of Section
4.03 hereof, (i) “Investment” shall include and be valued at the Fair Market
Value of the net assets of any Restricted Subsidiary at the time that such
Restricted Subsidiary is designated an Unrestricted Subsidiary after the Issue
Date and shall exclude the Fair Market Value of the net assets of any
Unrestricted Subsidiary at the time that such Unrestricted Subsidiary is
designated a Restricted Subsidiary and (ii) the amount of any Investment is the
original cost of such Investment plus the cost of all additional Investments by
the Company or any of its Restricted 

 14
 

 

Subsidiaries, without any adjustments for increases or
decreases in value, or write-ups, write-downs or write-offs with respect to
such Investment, reduced by the payment of dividends or distributions in
connection with such Investment or any other amounts received in respect of
such Investment; provided that no such payment of dividends or
distributions or receipt of any such other amounts shall reduce the amount of
any Investment if such payment of dividends or distributions or receipt of any
such amounts would be included in Consolidated Net Income.  If the Company or any Restricted Subsidiary
of the Company sells or otherwise disposes of any Common Stock of any direct or
indirect Restricted Subsidiary of the Company such that, after giving effect to
any such sale or disposition, the Company no longer owns, directly or indirectly,
greater than 50% of the outstanding Common Stock of such Restricted Subsidiary,
the Company shall be deemed to have made an Investment on the date of any such
sale or disposition equal to the Fair Market Value of the Common Stock of such
Restricted Subsidiary not sold or disposed of.

“Investment Grade Rating” means a rating equal to or
higher than Baa3 (or the equivalent) by Moody’s and BBB- (or the equivalent) by
S&P.

“Issue Date” means the date on which Notes are first
issued under this Indenture.

“Legal Defeasance” has the meaning provided in Section
8.01.

“Lien” means any lien, mortgage, deed of trust,
pledge, security interest, charge or encumbrance of any kind (including any
conditional sale or other title retention agreement, any lease in the nature
thereof and any agreement to give any security interest), but not including any
interests in accounts receivable and related assets conveyed by the Company or
any of its Subsidiaries or other entities formed as necessary or customary
under the laws of the relevant jurisdiction in connection with any Qualified
Securitization Transaction.

“Moody’s” means Moody’s Investors Service, Inc. and
its successors.

“Net Cash Proceeds” means, with respect to any Asset
Sale, the proceeds in the form of cash or Cash Equivalents including payments
in respect of deferred payment obligations when received in the form of cash or
Cash Equivalents (other than the portion of any such deferred payment
constituting interest) received by the Company or any of its Restricted Subsidiaries
from such Asset Sale net of (a) all out-of-pocket expenses and fees relating to
such Asset Sale (including, without limitation, legal, accounting and
investment banking fees and sales commissions), (b) taxes paid or payable after
taking into account any reduction in consolidated tax liability due to
available tax credits or deductions and any tax sharing arrangements, (c)
repayment of Indebtedness that is required to be repaid in connection with such
Asset Sale (d) the decrease in proceeds from Qualified Securitization
Transactions which results from such Asset Sale and (e) appropriate
amounts to be provided by the Company or any Restricted Subsidiary, as the case
may be, as a reserve, in accordance with GAAP, against any liabilities
associated with such Asset Sale and retained by the Company or any Restricted
Subsidiary, as the case may be, after such Asset Sale, including, without
limitation, pension and other post-employment benefit liabilities, liabilities
related to environmental matters and liabilities under any indemnification obligations
associated with such Asset Sale.

“Net Proceeds Offer” has the meaning provided in
Section 4.15(c).

 15
 

 

“Net Proceeds Offer Amount” has the meaning provided
in Section 4.15(c).

“Net Proceeds Offer Payment Date” has the meaning
provided in Section 4.15(c).

“Net Proceeds Offer Trigger Date” has the meaning
provided in Section 4.15(c).

“Noon Buying Rate” has the meaning provided in Section
2.02.

“Non-payment Default” has the meaning provided in
Section 10.02(b).

“Non-U.S. Person” means a person who is not a U.S.
Person within the meaning assigned to such term in Regulation S.

“Notes” means, the Dollar Notes (including, without
limitation, any Additional Dollar Notes), the Euro Notes (including, without
limitation, any Additional Euro Notes) and the Exchange Notes.  The Dollar Notes (including any Exchange
Notes issued in exchange therefor) and the Euro Notes are separate series of
Notes but shall be treated as a single class of securities under this
Indenture, except as set forth herein. 
For purposes of this Indenture, all references to Notes to be issued or
authenticated upon transfer, replacement or exchange shall be deemed to refer
to Notes of the appropriate series.

“Obligations” means all obligations for principal,
premium, interest, penalties, fees, indemnifications, reimbursements, damages
and other liabilities payable under the documentation governing any Indebtedness.

“Officer” means, with respect to any Person, the
Chairman of the Board, the Chief Executive Officer, the President, any Vice
President, the Chief Financial Officer, the Treasurer, the Assistant Treasurer,
the Financial Director, or the Secretary or the Assistant Secretary of such
Person (or, with respect to a Person that is a limited partnership, the General
Partner of such Person), or any other officer designated by the Board of
Managers serving in a similar capacity.

“Officers’ Certificate” means, with respect to any
Person, a certificate signed by two Officers or by an Officer and either an Assistant
Treasurer or an Assistant Secretary of such Person and otherwise complying with
the requirements of Sections 13.04 and 13.05, as they relate to the making of
an Officers’ Certificate, and delivered to the Trustee.

“Opinion of Counsel” means a written opinion from
legal counsel who is reasonably acceptable to the Trustee complying with the
requirements of Sections 13.04 and 13.05, as they relate to the giving of an
Opinion of Counsel, and delivered to the Trustee.  Counsel giving any Opinion of Counsel shall
be entitled to rely on an Officer’s Certificate as to any factual matters
relevant to such opinion.

“Pari Passu Indebtedness” means, in the case of the
Notes, any Indebtedness of the Company that ranks equally in right of payment
with the Notes and, in the case of the Guarantees, any Indebtedness of the applicable
Guarantor that ranks equally in right of payment to the Guarantee of such
Guarantor.

 16
 

 

“Participants” means (i) with respect to the Dollar
Notes, institutions that have accounts with DTC or its nominee and (ii) with
respect to the Euro Notes, institutions that have accounts with Euroclear or
their respective nominees.

“Paying Agent” means any Person (other than the
Company and any of its Affiliates) authorized by the Company to pay the principal
of (and premium, if any) or interest on any notes on behalf of the Company and
perform all the other obligations and duties of a “Paying Agent” described
herein, including, with respect to the Euro Notes, the Euro Paying Agent.

“Payment Blockage Notice” has the meaning provided in
10.02(b).

“Payment Blockage Period” has the meaning provided in
Section 10.02(b).

“Payment Default” has the meaning provided in Section
10.02(a).

“Permitted Indebtedness” means, without duplication,
each of the following:

(i)             Indebtedness
under the Notes, this Indenture and the Guarantees;

(ii)            Indebtedness
incurred under the Credit Facilities pursuant to this clause (ii) in an
aggregate principal amount not exceeding the greater of $3.3 billion or 30% of
Total Assets of the Company at any one time outstanding;

(iii)           other
Indebtedness of the Company and its Restricted Subsidiaries outstanding on the
Issue Date reduced by the amount of any prepayments with Net Cash Proceeds of
any Asset Sale (which are accompanied by a corresponding permanent commitment
reduction) pursuant to clause (c) of Section 4.15;

(iv)          Interest
Swap Obligations of the Company relating to Indebtedness of the Company or any
of its Restricted Subsidiaries (or Indebtedness that the Company or any of its
Restricted Subsidiaries reasonably intends to incur within six months) and Interest
Swap Obligations of any Restricted Subsidiary of the Company relating to Indebtedness
of such Restricted Subsidiary (or Indebtedness that such Restricted Subsidiary
reasonably intends to incur within six months); provided, however,
that such Interest Swap Obligations will constitute “Permitted Indebtedness”
only if they are entered into to protect the Company and its Restricted
Subsidiaries from fluctuations in interest rates on Indebtedness permitted
under this Indenture to the extent the notional principal amount of such
Interest Swap Obligations, when incurred, does not exceed the principal amount
of the Indebtedness to which such Interest Swap Obligations relate;

(v)           Indebtedness
under Commodity Agreements and Currency Agreements; provided that in the
case of Currency Agreements which relate to Indebtedness, such Currency
Agreements do not increase the Indebtedness of the Company and its Restricted
Subsidiaries outstanding other than as a result of fluctuations in foreign
currency exchange rates or by reason of fees, indemnities and compensation
payable thereunder;

 17
 

 

(vi)          Indebtedness
of a Restricted Subsidiary of the Company to the Company or to a Restricted
Subsidiary of the Company for so long as such Indebtedness is held by the
Company or a Restricted Subsidiary of the Company, in each case subject to no
Lien held by a Person other than the Company or a Restricted Subsidiary of the
Company (other than the pledge of intercompany notes under the Credit
Facilities); provided that if as of any date any Person other than the
Company or a Restricted Subsidiary of the Company owns or holds any such
Indebtedness or holds a Lien in respect of such Indebtedness (other than the
pledge of intercompany notes under the Credit Facilities), such date shall be
deemed the incurrence of Indebtedness not constituting Permitted Indebtedness
by the issuer of such Indebtedness;

(vii)         Indebtedness
of the Company to a Restricted Subsidiary for so long as such Indebtedness is
held by a Restricted Subsidiary, in each case subject to no Lien (other than
Liens securing intercompany notes pledged under the Credit Facilities); provided
that (a) any Indebtedness of the Company to any Restricted Subsidiary (other
than pursuant to notes pledged under the Credit Facilities) is unsecured and
subordinated, pursuant to a written agreement, to the Company’s obligations
under this Indenture and the Notes and (b) if as of any date any Person other
than a Restricted Subsidiary owns or holds any such Indebtedness or any Person
holds a Lien in respect of such Indebtedness (other than pledges securing the
Credit Facilities), such date shall be deemed the incurrence of Indebtedness
not constituting Permitted Indebtedness by the Company;

(viii)        Indebtedness
arising from the honoring by a bank or other financial institution of a check,
draft or similar instrument inadvertently (except in the case of daylight
overdrafts) drawn against insufficient funds in the ordinary course of business;
provided, however, that such Indebtedness is extinguished within
two business days of incurrence;

(ix)           Indebtedness
of the Company or any of its Restricted Subsidiaries represented by letters of
credit for the account of the Company or such Restricted Subsidiary, as the
case may be, in order to provide security for workers’ compensation claims,
payment obligations in connection with self-insurance or similar requirements
in the ordinary course of business;

(x)            Refinancing
Indebtedness;

(xi)           Indebtedness
arising from agreements of the Company or a Subsidiary providing for
indemnification, adjustment of purchase price or similar obligations, in each
case, incurred in connection with the disposition of any business, assets or
Subsidiary, other than guarantees of Indebtedness incurred by any Person
acquiring all or any portion of such business, assets or Subsidiary for the
purpose of financing such acquisition; provided that the maximum
aggregate liability in respect of all such Indebtedness shall at no time exceed
the gross proceeds actually received by the Company and the Subsidiary in
connection with such disposition;

 18
 

 

(xii)          Obligations
in respect of performance bonds and completion, guarantee, surety and similar
bonds provided by the Company or any Subsidiary in the ordinary course of business;

(xiii)         guarantees
by the Company or a Restricted Subsidiary of Indebtedness incurred by the
Company or a Restricted Subsidiary so long as the incurrence of such
Indebtedness by the Company or any such Restricted Subsidiary is otherwise permitted
by the terms of this Indenture;

(xiv)         Indebtedness
of the Company or any Subsidiary (A) representing Capitalized Lease Obligations
not to exceed $150 million outstanding at any time or (B) constituting purchase
money Indebtedness incurred to finance property or assets of the Company or any
Restricted Subsidiary of the Company acquired in the ordinary course of
business; provided, however, that such purchase money
Indebtedness shall not exceed the cost of such property or assets and shall not
be secured by any property or assets of the Company or any Restricted
Subsidiary of the Company other than the property and assets so acquired;

(xv)          Indebtedness
of Foreign Subsidiaries that are Restricted Subsidiaries to the extent that the
aggregate outstanding amount of Indebtedness incurred by such Foreign
Subsidiaries under this clause (xv) does not exceed at any one time an amount
equal to the sum of (A) 80% of the consolidated book value of the accounts receivable
of all Foreign Subsidiaries and (B) 60% of the consolidated book value of the
inventory of all Foreign Subsidiaries; provided, however, that
notwithstanding the foregoing limitation, Foreign Subsidiaries may incur in the
aggregate up to $150 million of Indebtedness outstanding at any one time;

(xvi)         Indebtedness
of the Company and its Domestic Subsidiaries pursuant to over draft lines or
similar extensions of credit in an aggregate amount not to exceed $30 million
at any one time outstanding and Indebtedness of Foreign Subsidiaries pursuant
to over draft lines or similar extensions of credit in an aggregate principal
amount not to exceed $60 million at any one time outstanding;

(xvii)        the
incurrence by a Securitization Entity of Indebtedness in a Qualified
Securitization Transaction that is not recourse to the Company or any Subsidiary
of the Company (except for Standard Securitization Undertakings);

(xviii)       Indebtedness
of the Company to a Huntsman Affiliate constituting Subordinated Indebtedness;

(xix)         Indebtedness
consisting of take-or-pay obligations contained in supply agreements entered
into in the ordinary course of business;

(xx)          Indebtedness
of the Company to any of its Subsidiaries or other entities formed as necessary
or customary under the laws of the relevant jurisdiction incurred in connection
with the sale, pledge or other conveyance of accounts receivable or participations
or any interests therein and related assets directly or indirectly to the
Company by 

 19
 

 

any such Subsidiary which assets or interests are subsequently
conveyed, pledged or otherwise transferred, directly or indirectly, by the
Company to a Securitization Entity in a Qualified Securitization Transaction;

(xxi)         additional
Indebtedness of the Company and its Restricted Subsidiaries in an aggregate principal
amount not to exceed the greater of $200 million or 2% of Total Assets of
the Company at any one time outstanding; and

(xxii)        (A) guarantees
(“Upstream Guarantees”) issued by the Company or any guarantor of Indebtedness
of a Huntsman Public Parent (“Parent Debt”), provided that:

1.     such
Upstream Guarantee may guarantee only Parent Debt that was incurred, and the
proceeds of which are used, to Refinance Indebtedness of the Company;

2.     the
aggregate amount of Parent Debt that is guaranteed by the Upstream Guarantee
shall not exceed the sum of (x) the aggregate amount of Indebtedness of the
Company that is Refinanced with the proceeds of such Parent Debt (“HI
Refinanced Debt”), and (y) the amount of any premiums required to be paid under
the terms of the instrument governing such HI Refinanced Debt and the amount of
reasonable expenses incurred by the Company, in each case in connection with
the Refinancing of such HI Refinanced Debt;

3.     the HI
Refinanced Debt is not incurred in connection with or in anticipation or
contemplation of the Refinancing of such HI Refinanced Debt; and

4.     both
immediately before and after the issuance of any Upstream Guarantee there shall
be existing no Default or Event of Default.

For purposes of the foregoing provisions, any Upstream
Guarantee given with respect to Parent Debt under a revolving or undrawn credit
facility shall be deemed entered into only when such Upstream Guarantee is
initially entered into with respect to the full commitment of revolving or
undrawn credit facility,

or

(B)           guarantees by the Company or any
guarantor, as the case may be (“Replacement Guarantees”), that replace any
Upstream Guarantee (a “Previous Guarantee”) that (a) was previously issued by
such person pursuant to paragraph (A) of this clause (xxii) or (b) was a
Replacement Guarantee previously issued by such person pursuant to this
paragraph (B),

provided that:

1.     the
Replacement Guarantee may guarantee only Parent Debt (“Replacement Debt”) that
was incurred, and the proceeds of which are used, to 

 20
 

 

Refinance the Parent Debt
that was guaranteed by the Previous Guarantee being so replaced (“Previous Debt”);

2.     the
aggregate amount of Replacement Debt that is guaranteed by the Replacement
Guarantee shall not exceed the sum of (x) the aggregate amount of Previous Debt
guaranteed by the Previous Guarantee being so replaced, (y) the amount of any
premiums required to be paid under the terms of the instrument governing such
Previous Debt with respect to the amount of Previous Debt guaranteed by the Previous
Guarantee being so replaced, and (z) and the pro rata portion of the amount of
reasonable expenses incurred by the Huntsman Public Parent, in each case in
connection with the Refinancing of such Previous Debt; and

3.     both
immediately before and after the issuance of any Replacement Guarantee there
shall be existing no Default or Event of Default.

For purposes of determining compliance with Section
4.12, in the event that an item of Indebtedness meets the criteria of more than
one of the categories of Permitted Indebtedness described in clauses (x)
through (xxii) above or is entitled to be incurred pursuant to the Consolidated
Fixed Charge Coverage Ratio provisions of Section 4.12, the Company shall, in
its sole discretion, classify (or later reclassify) such item of Indebtedness
in any manner that complies with Section 4.12; provided that $1.4 billion of Indebtedness outstanding
under the Credit Facilities on the Issue Date (and any refinancings thereof)
shall be deemed to have been incurred pursuant to clause (2) above.
Accrual of interest, accretion or amortization of original issue discount, the
payment of interest on any Indebtedness in the form of additional Indebtedness
with the same terms, and the payment of dividends on Disqualified Capital Stock
in the form of additional shares of the same class of Disqualified Capital
Stock will not be deemed to be an incurrence of Indebtedness or an issuance of
Disqualified Capital Stock for purposes of Section 4.12.

“Permitted Investments” means (i) Investments by the
Company or any Restricted Subsidiary of the Company in any Person that is or
will become immediately after such Investment a Restricted Subsidiary of the
Company or that will merge or consolidate into the Company or a Restricted
Subsidiary of the Company; (ii) Investments in the Company by any Restricted
Subsidiary of the Company; provided that any Indebtedness evidencing
such Investment is unsecured and subordinated (other than pursuant to
intercompany notes pledged under the Credit Facilities), pursuant to a written
agreement, to the Company’s obligations under the Notes and this Indenture;
(iii) investments in cash and Cash Equivalents; (iv) loans and advances to
employees and officers of the Company and its Restricted Subsidiaries in the
ordinary course of business for travel, relocation and related expenses; (v)
Investments in Unrestricted Subsidiaries or joint ventures not to exceed the
greater of $300 million or 3% of Total Assets of the Company, plus (A) the
aggregate net after-tax amount returned in cash on or with respect to any
Investments made in Unrestricted Subsidiaries and joint ventures whether
through interest payments, principal payments, dividends or other distributions
or payments, (B) the net after-tax cash proceeds received by the Company or any
Restricted Subsidiary from the disposition of all or any portion of such Investments
(other than to a Restricted Subsidiary of the Company), (C) upon redesignation
of an Unrestricted Subsidiary as a Restricted Subsidiary, the Fair Market Value
of such Subsidiary and (D) the net cash proceeds received by the Company from
the issuance of Specified Venture 

 21
 

 

Capital Stock; (vi) Investments in securities received
pursuant to any plan of reorganization or similar arrangement upon the
bankruptcy or insolvency of any debtors of the Company or its Restricted
Subsidiaries; (vii) Investments made by the Company or its Restricted
Subsidiaries as a result of consideration received in connection with an Asset
Sale made in compliance with Section 4.15; (viii) Investments existing on the
Issue Date; (ix) any Investment by the Company or a Wholly Owned Subsidiary of
the Company or by Tioxide Group or Holdings U.K., in a Securitization Entity or
any Investment by a Securitization Entity in any other Person in connection
with a Qualified Securitization Transaction; provided that any
Investment in a Securitization Entity is in the form of a Purchase Money Note
or an equity interest; (x) Investments by the Company in Rubicon, Inc. and
Louisiana Pigment Company (each a “Joint Venture”), so long as: (A) such Joint
Venture does not have any Indebtedness for borrowed money at any time on or
after the date of such Investment (other than Indebtedness owing to the equity
holders of such Joint Ventures), (B) the documentation governing such Joint
Venture does not contain a restriction on distributions to the Company, and (C)
such Joint Venture is engaged only in the business of manufacturing product
used or marketed by the Company and its Restricted Subsidiaries and/or the
joint venture partner, and business reasonably related thereto; (xi)
Investments by Foreign Subsidiaries in Foreign Cash Equivalents; (xii) loans to
any Huntsman Parent Company for the purposes described in clause (7) of the
second paragraph of Section 4.03 which, when aggregated with the payment made
under such clause, will not exceed $10 million in any fiscal year; (xiii) any
Indebtedness of the Company to any of its Subsidiaries or other entities formed
as necessary or customary under the laws of the relevant jurisdiction incurred
in connection with the conveyance, pledge or other transfer of accounts
receivable or participations or interests therein and related assets directly
or indirectly to the Company by any such Subsidiary which assets are subsequently
conveyed, pledged or otherwise transferred, directly or indirectly, by the
Company to a Securitization Entity in a Qualified Securitization Transaction;
(xiv) Investments by the Company or any of its Restricted Subsidiaries in
a Permitted Joint Venture, so long as: 
(A) such Permitted Joint Venture does not have any Indebtedness for
borrowed money which would be required to be reflected on a balance sheet as
debt under GAAP at any time on or after the date of such Investment (other than
Indebtedness owing to the equity holders of such Permitted Joint Venture, the
Company or any Restricted Subsidiary); (B) the documentation governing
such Permitted Joint Venture does not contain a restriction on distributions to
the Company or its Restricted Subsidiaries; and (C) after giving pro forma
effect to such Investment, the Company would be permitted to incur $1.00 of
additional Indebtedness other than Permitted Indebtedness under Section 4.12;
(xv) additional Investments in an aggregate amount not exceeding $150 million
at any one time outstanding; and (xvi) the incurrence of Guarantees permitted
by clause (xxii) of the definition of Permitted Indebtedness.

“Permitted
Joint Venture” means, with respect to any Person:

1.             any
corporation, association, or other business entity (other than a partnership)
of which 50% or more of the total voting power of shares of Capital Stock
entitled (without regard to the occurrence of any contingency) to vote in the
election of directors, managers or trustees thereof is at the time of
determination owned or controlled, directly or indirectly, by such Person or
one or more of the Restricted Subsidiaries of that Person or a combination
thereof; and

 22
 

 

2.             any
partnership, joint venture, limited liability company or similar entity of which

(a)           50%
or more of the capital accounts, distribution rights, total equity and voting
interests or general or limited partnership interests, as applicable, are owned
or controlled, directly or indirectly, by such Person or one or more of the
other Restricted Subsidiaries of that Person or a combination thereof whether
in the form of membership, general, special or limited partnership interests or
otherwise; and

(b)           either
such Person or any Restricted Subsidiary of such Person is a controlling
general partner or no other Person controls such entity.

“Permitted Junior Securities” means: (1) Capital Stock
in the Company or any Guarantor; or (2) debt securities of the Company or any
Guarantor that (A) are subordinated to all Senior Debt and any debt securities
issued in exchange for Senior Debt to substantially the same extent as, or to a
greater extent than, the Notes and the related Guarantees are subordinated to
Senior Debt pursuant to the terms of this Indenture and (B) have a Weighted
Average Life to Maturity equal to or greater than the Weighted Average Life to
Maturity of the Notes.

“Permitted Tax Distribution” for any fiscal year means
any payments in compliance with clause (6) of the second paragraph under
Section 4.03.

“Person” means an individual, partnership,
corporation, unincorporated organization, trust or joint venture, or a
governmental agency or political subdivision thereof.

“Physical Notes” shall have the meaning provided in
Section 2.01(c).

“Preferred Stock” of any Person means any Capital
Stock of such Person that has preferential rights to any other Capital Stock of
such Person with respect to dividends or redemptions or upon liquidation.

“principal” of any Indebtedness (including the Notes)
means the principal amount of such Indebtedness plus the premium, if any, on
such Indebtedness.

“Private Placement Legend” means the legend initially
set forth on the Notes in the form set forth on Exhibit A-1 and Exhibit A-2.

“pro forma” means, unless otherwise provided herein,
with respect to any calculation made or required to be made pursuant to the
terms of this Indenture, a calculation in accordance with Article 11 of
Regulation S-X promulgated under the Securities Act.

“Purchase Agreement” means the Purchase Agreement,
dated October 31, 2006, relating to the issue and sale of the Initial Notes to
be issued on the Issue Date.

“Purchase Money Note” means a promissory note
evidencing a line of credit, or evidencing other Indebtedness owed to the
Company or any Restricted Subsidiary in connection with a Qualified
Securitization Transaction, which note shall be repaid from cash available to
the 

 23
 

 

maker of such note, other than amounts required to be
established as reserves, amounts paid to investors in respect of interest,
principal and other amounts owing to such investors and amounts paid in connection
with the purchase of newly generated accounts receivable.

“Qualified Capital Stock” means any Capital Stock that
is not Disqualified Capital Stock.

“Qualified Institutional Buyer” or “QIB” has the
meaning specified in Rule 144A.

“Qualified Securitization Transaction” means any
transaction or series of transactions that may be entered into by the Company
or any of its Subsidiaries pursuant to which the Company or any of its
Subsidiaries may sell, convey or otherwise transfer pursuant to terms necessary
or customary in the relevant jurisdiction, directly or indirectly, to (a) a
Securitization Entity or to the Company which subsequently transfers to a
Securitization Entity (in the case of a transfer by the Company or any of its
Subsidiaries) and (b) any other Person (in the case of transfer by a Securitization
Entity), or may grant a security interest in any accounts receivable or any
participations or other interests therein (whether now existing or arising or
acquired in the future) of the Company or any of its Subsidiaries or other
entities formed as necessary or customary under the laws of the relevant
jurisdiction, and any assets related thereto including, without limitation, all
collateral securing such accounts receivable, all contracts and contract rights
and all guarantees or other obligations in respect of such accounts receivable,
proceeds of such accounts receivable and other assets (including contract
rights) which are necessarily or customarily transferred in the relevant
jurisdiction or in respect of which security interests are necessarily or customarily
granted in the relevant jurisdiction in connection with asset securitization
transactions involving accounts receivable.

Following the Initial Public Equity Offering of a
Huntsman Public Parent, references in the foregoing definition of the “Company”
shall be deemed also to refer to such Huntsman Public Parent.

“Rating Agencies” means Moody’s and S&P.

“Record Date” means with respect to each Note, each
applicable record date specified therein.

“Redemption Date” means, with respect to any Dollar
Note and/or Euro Note, as the case may be, the Dollar Notes Maturity Date or
the Euro Notes Maturity Date, as the case may be, of such Note or the earlier
date on which such Note is to be redeemed by the Company pursuant to paragraph
5 of the Dollar Notes with respect to a Dollar Note and paragraph 5 of the Euro
Notes with respect to a Euro Note.

“Redemption Price” has the meaning provided in Section
3.03.

“Reference Date” has the meaning provided in Section
4.03.

“Reference Treasury Dealer” means each of Goldman,
Sachs & Co., Deutsche Bank Securities Inc., Chase Securities Inc. and
Warburg Dillon Read LLC and their respective 

 24
 

 

successors; provided, however, that if any of the
foregoing shall cease to be a primary U.S. Government securities dealer in New
York City (a “Primary Treasury Dealer”), the Company shall substitute therefor
another Reference Treasury Dealer.

“Reference Treasury Dealer Quotations” means, with
respect to each Reference Treasury Dealer and any redemption date, the average
as determined by the trustee, of the bid and asked prices of the Comparable
Treasury Issue (expressed in each case as a percentage of its principal amount)
quoted in writing to the trustee by such Reference Treasury Dealer at 5:00 p.m.
on the third Business Day preceding such redemption date.

“Refinance” means, in respect of any security or
Indebtedness, to refinance, extend, renew, refund, repay, prepay, redeem,
defease or retire, or to issue a security or Indebtedness in exchange or
replacement for, such security or Indebtedness in whole or in part.  “Refinanced” and “Refinancing” shall have
correlative meanings.

“Refinancing Indebtedness” means any Refinancing by
the Company or any Restricted Subsidiary of the Company of Indebtedness
incurred in accordance with the Fixed Charge Coverage Ratio test set forth in
Section 4.12 or Indebtedness described in clauses (i), (iii), (x), (xiv)(B) or
(xv) of the definition of “Permitted Indebtedness,” in each case that does not
(1) result in an increase in the aggregate principal amount of Indebtedness of
such Person as of the date of such proposed Refinancing (plus the amount of any
premium required to be paid under the terms of the instrument governing such
Indebtedness and plus the amount of reasonable expenses incurred by the Company
in connection with such Refinancing) or (2) create Indebtedness with (A) a
Weighted Average Life to Maturity that is less than the Weighted Average Life
to Maturity of the Indebtedness being Refinanced or (B) a final maturity
earlier than the final maturity of the Indebtedness being Refinanced; provided
that (x) if such Indebtedness being Refinanced is Indebtedness solely of the
Company, then such Refinancing Indebtedness shall be Indebtedness solely of the
Company and (y) if such Indebtedness being Refinanced is subordinate or junior
to the Notes, then such Refinancing Indebtedness shall be subordinate to the
Notes at least to the same extent and in the same manner as the Indebtedness
being Refinanced.

“Registrar” has the meaning provided in Section 2.03.

“Registration Rights Agreement” means the Exchange and
Registration Rights Agreement dated as of the date of this Indenture among the
Company, the Guarantors and the Initial Purchasers.

“Regulation S” means Regulation S under the Securities
Act.

“Replacement Assets” has the meaning provided in
Section 4.15(c).

“Responsible Officer” means, when used with respect to
the Trustee, any officer within the corporate trust department of the Trustee,
including any vice president, assistant vice president, assistant secretary,
assistant treasurer, trust officer or any other officer of the Trustee who
customarily performs functions similar to those performed by the Persons who at
the time shall be such officers, respectively, or to whom any corporate trust
matter is referred because of 

 25
 

 

such Person’s knowledge of and familiarity with the
particular subject and who shall have direct responsibility for the
administration of this Indenture.

“Regulation S Global Dollar Denominated Global
Security” means a Regulation S Global Security denominated in Dollars.

“Regulation S Global Security” has the meaning
provided in Section 2.01(b)(i).

“Representative” means the indenture trustee or other
trustee, agent or representative in respect of any Designated Senior Debt; provided
that if, and for so long as, any Designated Senior Debt lacks such a
representative, then the Representative for such Designated Senior Debt shall
at all times constitute the holders of a majority in outstanding principal
amount of such Designated Senior Debt in respect of any Designated Senior Debt.

“Restricted Dollar Denominated Global Security” means
a Restricted Global Security representing Dollar Notes.

“Restricted Euro Denominated Global Securities” means
a Restricted Global Security representing Euro Notes.

“Restricted Global Security” has the meaning provided
in Section 2.01(a)(i).

“Restricted Payment” means to

1.             declare
or pay any dividend or make any distribution, other than dividends or distributions
payable in Qualified Capital Stock of the Company, on or in respect of shares
of the Company’s Capital Stock to holders of such Capital Stock,

2.             purchase,
redeem or otherwise acquire or retire for value any Capital Stock of the Company
or any warrants, rights or options to purchase or acquire shares of any class
of such Capital Stock,

3.             make
any principal payment on, purchase, defease, redeem, prepay, decrease or
otherwise acquire or retire for value, prior to any scheduled final maturity,
scheduled repayment or scheduled sinking fund payment, any Indebtedness of the
Company that is subordinate or junior in right of payment to the notes or

4.             make
any Investment other than Permitted Investments.

“Restricted Security” means a Note that constitutes a “restricted
security” within the meaning of Rule 144(a)(3) under the Securities Act; provided,
however, that the Trustee shall be entitled to request and conclusively
rely on an Opinion of Counsel with respect to whether any Note constitutes a
Restricted Security.

“Restricted Subsidiary” of any Person means any
Subsidiary of such Person which at the time of determination is not an
Unrestricted Subsidiary.

 26
 

 

“S&P” means Standard & Poor’s Ratings
Services, a division of The McGraw-Hill Companies, Inc. and its successors.

“Sale and Leaseback Transaction” means any direct or
indirect arrangement with any Person or to which any such Person is a party,
providing for the leasing to the Company or a Restricted Subsidiary of any
property, whether owned by the Company or any Restricted Subsidiary on the
Issue Date or later acquired, which has been or is to be sold or transferred by
the Company or such Restricted Subsidiary to such Person or to any other Person
from whom funds have been or are to be advanced by such Person on the security
of such property.

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

“Securitization Entity” means a Wholly Owned
Subsidiary of the Company (or Tioxide Group or Holdings U.K. or another Person
in which the Company or any Subsidiary of the Company makes an Investment and
to which the Company or any Subsidiary of the Company transfers, directly or
indirectly, accounts receivable or participations or interests therein or
related assets) which engages in no activities other than in connection with
the financing of accounts receivable and which is designated by the Board of
Managers of the Company (as provided below) as a Securitization Entity (a) no
portion of the Indebtedness or any other Obligations (contingent or otherwise)
of which (i) is guaranteed by the Company or any Subsidiary of the Company
(other than the Securitization Entity)(excluding guarantees of Obligations
(other than the principal of, and interest on, Indebtedness)) pursuant to
Standard Securitization Undertakings, (ii) is recourse to or obligates the
Company or any Subsidiary of the Company (other than the Securitization Entity)
in any way other than pursuant to Standard Securitization Undertakings or (iii)
subjects any property or asset of the Company or any Subsidiary of the Company
(other than the Securitization Entity), directly or indirectly, contingently or
otherwise, to the satisfaction thereof, other than pursuant to Standard
Securitization Undertakings and other than any interest in the accounts
receivable and related assets being financed (whether in the form of any equity
interest in such assets or subordinated indebtedness payable primarily from
such financed assets) retained or acquired by the Company or any Subsidiary of
the Company, (b) with which neither the Company nor any Subsidiary of the
Company has any material contract, agreement, arrangement or understanding
other than on terms no less favorable to the Company or such Subsidiary than
those that might be obtained at the time from Persons that are not Affiliates
of the Company, other than fees payable in the ordinary course of business in
connection with servicing receivables of such entity, and (c) to which neither
the Company nor any Subsidiary of the Company has any obligation to maintain or
preserve such entity’s financial condition or cause such entity to achieve
certain levels of operating results.  Any
such designation by the Board of Managers of the Company shall be evidenced to
the Trustee by filing with the Trustee a certified copy of the Board Resolution
of the Board of Managers of the Company giving effect to such designation and
an officers’ certificate certifying that such designation complied with the
foregoing conditions; provided that Huntsman Receivables Finance LLC
shall be deemed to be a Securitization Entity as of the Issue Date.  Following the Initial Public Equity Offering
of a Huntsman Public Parent, references in the foregoing definition to the “Company”
shall be deemed also to refer to such Huntsman Public Parent.

 27

 

“Senior Debt” means the principal of, premium, if any,
and interest (including any interest accruing subsequent to the filing of a
petition of bankruptcy at the rate provided for in the documentation with
respect thereto, whether or not such interest is an allowed claim under
applicable law) on any Indebtedness of the Company, whether outstanding on the
Issue Date or thereafter created, incurred or assumed, unless, in the case of
any particular Indebtedness, the instrument creating or evidencing the same or
pursuant to which the same is outstanding expressly provides that such
Indebtedness shall not be senior in right of payment to the Notes.  Without limiting the generality of the
foregoing, “Senior Debt” shall also include the principal of, premium, if any,
interest (including any interest accruing subsequent to the filing of a
petition of bankruptcy at the rate provided for in the documentation with
respect thereto, whether or not such interest is an allowed claim under
applicable law) on, and all other amounts owing in respect of, (x) all monetary
obligations of every nature of the Company under the Credit Facilities,
including obligations to pay principal and interest, reimbursement obligations
under letters of credit, fees, expenses and indemnities, (y) all Interest Swap
Obligations and (z) all Obligations under Currency Agreements and Commodity
Agreements, in each case whether outstanding on the Issue Date or thereafter
incurred.  Notwithstanding the foregoing,
“Senior Debt” shall not include (i) any Indebtedness of the Company to a
Restricted Subsidiary of the Company or any Affiliate of the Company or any of
such Affiliate’s Subsidiaries, (ii) Indebtedness to, or guaranteed on behalf
of, any shareholder, director, officer or employee of the Company or any Subsidiary
of the Company, (iii) Indebtedness to trade creditors and other amounts
incurred in connection with obtaining goods, materials or services, (iv)
Indebtedness represented by Disqualified Capital Stock, (v) any liability for
federal, state, local or other taxes owed or owing by the Company, (vi) Indebtedness
incurred in violation of the provisions set forth under Section 4.12,
(vii) Indebtedness which, when incurred and without respect to any
election under Section 1111(b) of Title 11, United States Code, is
without recourse to the Company and (viii) any Indebtedness that is expressly
subordinated in right of payment to any other Indebtedness of the Company.

“Significant Subsidiary” means any Restricted
Subsidiary of the Company which, at the date of determination, is a “Significant
Subsidiary” as such term is defined in Regulation S-X under the Exchange Act.

“Specified Venture Capital Stock” means Qualified
Capital Stock of the Company issued to a Person who is not an Affiliate of the
Company and the proceeds from the issuance of which are applied within 180 days
after the issuance thereof to an Investment in an Unrestricted Subsidiary or
joint venture.

“Standard Securitization Undertakings” means
obligations, representations, warranties, covenants and indemnities entered
into by the Company or any Securitization Entity or any Subsidiary of the
Company which are customary or necessary in the relevant jurisdiction in an accounts
receivable securitization transaction. 
Following the Initial Public Equity Offering of a Huntsman Public Parent,
references in the foregoing definition to the “Company” shall be deemed also to
refer to such Huntsman Public Parent.

 28
 

 

“Subordinated Indebtedness” means Indebtedness of the
Company or any Guarantor which is expressly subordinated in right of payment to
the Notes or the Guarantee of such Guarantor, as the case may be.

“Subsidiary,” with respect to any Person, means (i)
any corporation of which the outstanding Capital Stock having at least a
majority of the votes entitled to be cast in the election of managers or
directors, as applicable, under ordinary circumstances shall at the time be
owned, directly or indirectly, by such Person or (ii) any other Person of which
at least a majority of the voting interest under ordinary circumstances is at
the time, directly or indirectly, owned by such Person.

“Surviving Entity” has the meaning provided in Section
5.01(a)(i).

“Tax Sharing Agreement” means the Tax Sharing
Agreement dated as of August 16, 2005 between the Company and Huntsman
Corporation as in existence on the Issue Date or any amendment thereto or
replacement thereof so long as any such amendment or replacement provisions are
not more disadvantageous to the Holders of Notes in any material respect than
the provisions of the agreement being amended or replaced.

“TIA” means the Trust Indenture Act of 1939 (15 U.S.C.
§§ 77aaa-77bbbb), as amended, as in effect on the date hereof, except as
otherwise provided in Section 9.03.

“Total Assets
of Huntsman International” means, as of any determination dates, the
total assets of the Company and its consolidated subsidiaries, as determined in
accordance with GAAP at the end of the most recent fiscal quarter for which
financial statements are available under Section 4.09.

“Trust Officer” means any officer or assistant officer
of the Trustee assigned by the Trustee to administer its corporate trust
matters or, in the case of a successor trustee, an officer assigned to the
department, division or group performing the corporate trust work of such
successor.

“Trustee” means the party named as such in this
Indenture until a successor replaces it in accordance with the provisions of
this Indenture and thereafter means such successor.

“Unrestricted Dollar Denominated Global Security”
means an Unrestricted Global Security denominated in Dollars.

“Unrestricted Global Security” means one or more
securities in definitive, fully registered form without interest coupons, with
the legend provided in Exhibit B hereto, without the Private Placements Legend.

“Unrestricted Notes” means Notes are not Restricted
Securities including, without limitation, the Exchange Dollar Notes issued
pursuant to a registered exchange offer in accordance with the Registration
Rights Agreement.

 29
 

 

“Unrestricted Subsidiary” of any Person means (i) any
Subsidiary of such Person that at the time of determination shall be or
continue to be designated an Unrestricted Subsidiary, and (ii) any Subsidiary
of an Unrestricted Subsidiary.  Huntsman
China Investments B.V. and its Subsidiaries, Huntsman Distribution Corporation,
Huntsman SA Investment Corporation, Huntsman Styrenics Investments Holdings
LLC, Huntsman Styrenics Investments LLC and Huntsman Verwaltungs GmbH shall
each be Unrestricted Subsidiaries as of the date of this Indenture without
further action by the Company or compliance with requirements in this Indenture
applicable to such designation.  The
Board of Managers of the Company may, after the Issue Date, designate any
Subsidiary (including any newly acquired or newly formed Subsidiary) to be an
Unrestricted Subsidiary if such Subsidiary does not own any Capital Stock of,
or does not own or hold any Lien on any property of, the Company or any other
Subsidiary of the Company that is not a Subsidiary of the Subsidiary to be so
designated; the Company certifies to the Trustee that such designation complies
with Section 4.03 and each Subsidiary to be designated as an Unrestricted
Subsidiary and each of its Subsidiaries has not at the time of designation, and
does not thereafter, create, incur, issue, assume, guarantee or otherwise
become directly or indirectly liable with respect to any Indebtedness under
which the lender has recourse to any of the assets of the Company or any of its
Restricted Subsidiaries.  The Board of
Managers of the Company may designate any Unrestricted Subsidiary to be a
Restricted Subsidiary only if (x) immediately after giving effect to such
designation, the Company is able to incur at least $1.00 of additional
Indebtedness (other than Permitted Indebtedness) in compliance with Section
4.12 and (y) immediately before and immediately after giving effect to such
designation, no default or Event of Default shall have occurred and be continuing.  Any such designation by the Board of Managers
of the Company shall be evidenced to the Trustee by promptly filing with the
Trustee a copy of the Board Resolution approving the designation and an
officers’ certificate certifying that the designation complied with this Indenture.

“U.S. Government Obligations” means direct obligations
(or certificates representing an ownership interest in such obligations) of the
United States of America (including any agency or instrumentality thereof) for
the payment of which the full faith and credit of the United States of America
is pledged and which are not callable or redeemable at the issuer’s option.

“U.S. Legal Tender” means such coin or currency of the
United States of America as at the time of payment shall be legal tender for
the payment of public and private debts.

“Weighted Average Life to Maturity” means, when
applied to any Indebtedness at any date, the number of years obtained by
dividing (a) the then outstanding aggregate principal amount of such
Indebtedness into (b) the sum of the total of the products obtained by multiplying
(i) the amount of each then remaining installment, sinking fund, serial
maturity or other required payment of principal, including payment at final
maturity, in respect thereof, by (ii) the number of years (calculated to the
nearest one-twelfth) which will elapse between such date and the making of such
payment.

“Wholly Owned Subsidiary” of any Person means any
Subsidiary of such Person to the extent all of the outstanding Capital Stock or
other ownership interests of which (other than in the case of a Foreign
Subsidiary, directors’ qualifying shares or an immaterial amount of shares
owned by other Persons pursuant to applicable law) are owned by such Person or
any 

 30
 

 

Wholly Owned Subsidiary of such Person; provided,
however, that each of Tioxide Group and Holdings U.K. shall be deemed to
Wholly Owned Subsidiaries.

“Wholly Owned Restricted Subsidiary” means a
Restricted Subsidiary that is a Wholly Owned Subsidiary.

Section 1.02           Incorporation by Reference of TIA.  Whenever this Indenture refers to a provision
of the TIA, that portion of such provision that is required to be incorporated
for this Indenture to be qualified under the TIA is incorporated by reference
in, and made a part of, this Indenture. 
The following TIA terms used in this Indenture have the following
meanings:

“indenture securities” means the Notes.

“indenture to be qualified” means this Indenture.

“indenture trustee” or “institutional trustee” means
the Trustee.

“obligor” on the Indenture securities means the
Company or any other obligor on the Notes.

All other TIA terms used in this Indenture that are
defined by the TIA, defined by the TIA by reference to another statute or
defined by SEC rule and not otherwise defined herein have the meanings assigned
to them therein.

Section 1.03           Rules of Construction.  Unless the context otherwise requires:

(1)           a term has the meaning
assigned to it;

(2)           an accounting term not
otherwise defined has the meaning assigned to it in accordance with GAAP as in
effect on the Issue Date;

(3)           “or” is not exclusive;

(4)           words in the singular
include the plural, and words in the plural include the singular; and

(5)           “herein,” “hereof” and
other words of similar import refer to this Indenture as a whole and not to any
particular Article, Section or other subdivision.

ARTICLE II

THE NOTES

Section 2.01           Form and Dating.

Restricted Securities (including the Initial Notes)
and the certificate of authentication relating thereto shall be substantially
in the form of Exhibit A-1 (in the case of Dollar Notes) and A-2 (in the case
of Euro Notes).  Unrestricted Notes
(including Exchange Dollar Notes 

 31
 

 

issued pursuant to the registered exchange offer in
accordance with the Registration Rights Agreement) and the certificate of
authentication relating thereto shall be substantially in the form of Exhibit
A-3 (in the case of Dollar Notes) and A-4 (in the case of Euro Notes).  The Notes may have notations, legends or
endorsements required by law, stock exchange rule or usage.  Notes that are Restricted Securities
(including the Initial Notes) shall bear the Private Placement Legend.  Each Note shall be dated the date of issuance
and shall show the date of its authentication. 
Each Note shall have an executed Guarantee from each of the Guarantors
endorsed thereon substantially in the form of Exhibit E hereto.

The terms and provisions contained in the Notes
annexed hereto as Exhibit A, shall constitute, and are hereby expressly made, a
part of this Indenture and, to the extent applicable, the Company, the
Guarantors and the Trustee, by their execution and delivery of this Indenture,
expressly agree to such terms and provisions and to be bound thereby.

(a)           Restricted Global Securities.

(i)      Notes that are Restricted
Securities shall be issued in the- form of one or more global securities (each,
a “Restricted Global Security”) in definitive, fully registered form without
interest coupons, with the legend provided for in Exhibit B hereto, except as
otherwise permitted herein.

(ii)     Each Restricted Dollar
Denominated Global Security shall be registered in the name of DTC or its
nominee and deposited with the Trustee, at its Corporate Trust Office, as
custodian for DTC, duly executed by the Company and authenticated by the
Trustee as hereinafter provided.  The
aggregate principal amount of a Restricted Dollar Denominated Global Security
may from time to time be increased or decreased by adjustments made on the
records of the Trustee, as custodian for DTC, in connection with a
corresponding decrease or increase in the aggregate principal amount of a
Regulation S Dollar Denominated Global Security or an Unrestricted Dollar
Denominated Global Security, as hereinafter provided.

(iii)    Each Restricted Euro
Denominated Global Security shall be registered in the name of the Common
Depositary or its nominee and deposited with the Common Depositary, on behalf
of Euroclear, duly executed by the Company and authenticated by the Trustee as
hereinafter provided for credit to the account of Euroclear.  The aggregate principal amount of a
Restricted Euro Denominated Global Security may from time to time be increased
or decreased by adjustments made on the records of the Common Depositary, in
connection with a corresponding decrease or increase in the aggregate principal
amount of an Unrestricted Euro Denominated Global Security, as hereinafter
provided.

(b)           Regulation S Global Securities.

(i)      Notes offered and sold in
offshore transactions in reliance on Regulation S shall be issued in the form
of one or more Restricted Global Securities (the “Regulation S Global Security”)
deposited with the custodian for the Depositary, and registered in the name of
the Depositary or its nominee for the accounts of the Euroclear System, as 

 32
 

 

operated by
Euroclear Bank S.A./N.V. and Clearstream, duly executed by the Company and
authenticated by the Trustee as hereinafter provided.  During or prior to the end of the 40-day
restricted period within the meaning of Regulation S, beneficial interests
in the Regulation S Global Security may only be held through Euroclear and
Clearstream. Any resale or transfer of beneficial interests in the Regulation S
Global Security shall be made only pursuant to Rule 144A or Regulation S or
another exemption from the Registration requirements of the Securities Act,
after delivery to the Company by the transferor, if required by the Company, of
the opinions, certification or other information described in Section
2.17.  The aggregate principal amount of
the Regulation S Global Security as may from time to time be increased or
decreased by adjustments made in the records of the Trustee, as custodian for
the Depositary or its nominee, as herein provided.

(c)           Physical Notes.  Notes issued in exchange for interests in a
Global Note pursuant to Section 2.15 may be issued in the form of permanent
certificated Notes in registered form in substantially the form set forth in
Exhibit A-1, A-2, A-3 or A-4, as applicable (the “Physical Notes”).

Section 2.02           Execution and
Authentication; Aggregate Principal Amount.

A duly authorized Officer of the Company shall execute
the Notes for the Company, and a duly authorized officer of each Guarantor
shall sign the Guarantees for the Guarantors, in each case by manual or
facsimile signature.

If an Officer whose signature is on a Note or a
Guarantee, as the case may be, was an Officer at the time of such execution but
no longer holds that office or position at the time the Trustee authenticates
the Note, the Note shall nevertheless be valid.

A Note shall not be valid until an authorized
signatory of the Trustee manually signs the certificate of authentication on
the Note.  The signature of such
representative of the Trustee shall be conclusive evidence that the Note has
been authenticated under this Indenture.

On the Issue Date, upon Company Order the Trustee
shall authenticate and deliver (i) Dollar Notes for original issue in an
aggregate principal amount not to exceed $200,000,000 and (ii) Euro Notes for
original issue in an aggregate principal amount not to exceed €400,000,000.  In addition, at any time, from time to time,
the Trustee shall authenticate and deliver Exchange Notes in the form of
Unrestricted Notes, upon a written notice of the Company for original issuance
in the aggregate principal amount specified in such order for original issue in
the aggregate principal amount, provided that Exchange Notes shall be issuable
only upon the valid surrender for cancellation of Global Securities or other
Notes of a like series and aggregate principal amount.  Additional Notes may be issued in accordance
with Sections 2.01 and 2.18.  Any such
Company Order may specify the amount and series of the Notes to be
authenticated and the date on which the original issue of Notes is to be
authenticated, whether such Notes are Unrestricted Notes and whether (subject
to Section 2.01) the Notes are to be issued as Physical Notes or Global Notes
and such other information as the Trustee may reasonably request and, in the
case of an issuance of Additional Notes pursuant to Section 2.18 after the
Issue Date, shall certify that such issuance will not be prohibited by Section
4.12.

 33
 

 

Notwithstanding the foregoing, except as provided in
Section 9.02, all Notes issued under this Indenture shall vote and consent
together on all matters (as to which any of such Notes may vote or consent) as
one class and no series of Notes will have the right to vote or consent as a
separate class on any matter.  For
purposes of voting (or any other matter requiring a determination based on a
percentage of principal amount of Notes outstanding), the aggregate principal
amount of outstanding Euro Notes will be calculated using the noon buying rate
in The City of New York for cable transfers in euros as certified for customs
purposes by the Federal Reserve Bank of New York (the “Noon Buying Rate”) of
$1.27 per euro on October 31, 2006.

The Trustee may appoint an authenticating agent
reasonably acceptable to the Company to authenticate Notes.  Unless otherwise provided in the appointment,
an authenticating agent may authenticate Notes whenever the Trustee may do
so.  Each reference in this Indenture to
authentication by the Trustee includes authentication by such agent.  An authenticating agent has the same rights
as an Agent to deal with the Company and Affiliates of the Company.  The Euro Paying Agent is initially appointed
as authentication agent for the Euro Notes.

The Dollar Notes shall be issuable in fully registered
form only, without coupons, in minimum denominations of $1,000 and any integral
multiple thereof. The Euro Notes shall be issuable in fully registered form
only, without coupons, in minimum denominations of €50,000 and multiples of €1,000
in excess thereof.

Section 2.03           Registrar and Paying
Agent.

The Company shall maintain an office or agency, where
(a) Notes may be presented or surrendered for registration of transfer or for
exchange (“Registrar”), (b) Notes may be presented or surrendered for payment and
(c) notices and demands to or upon the Company in respect of the Notes and this
Indenture may be served.  The Paying
Agent shall not be the Company or an Affiliate of the Company.  The Registrar shall keep a register of the
Notes and of their transfer and exchange. 
The Company, upon notice to the Trustee, may have one or more
co-Registrars and one or more additional paying agents reasonably acceptable to
the Trustee.  The term “Paying Agent”
includes any additional paying agent. 
The Company may change the Paying Agent or Registrar without notice to
any Holder.

The Company shall enter into an appropriate agency
agreement with any Agent not a party to this Indenture, which agreement shall
incorporate the provisions of the TIA and implement the provisions of this
Indenture that relate to such Agent.  The
Company shall notify the Trustee, in advance, of the name and address of any
such Agent.  If the Company fails to
maintain a Registrar or Paying Agent, or fails to give the foregoing notice,
the Trustee shall act as such.

The Company initially appoints the Trustee as
Registrar and Paying Agent for the Dollar Notes, and initially appoints
Citibank, N.A. as Paying Agent for the Euro Notes and Citigroup Global Capital
Markets Deutschland AG & Co. KGaA as Registrar for the Euro Notes, in each
case until such time as such entity has resigned or a successor has been
appointed.  Any of the Registrar, the
Paying Agent or any other agent may resign upon 30 days’ notice to the Company.

 34
 

 

Section 2.04           Paying Agent To Hold
Assets in Trust.

The Company shall require each Paying Agent other than
the Trustee to agree in writing that each Paying Agent shall hold in trust for
the benefit of the Holders or the Trustee all assets held by the Paying Agent
for the payment of principal of, premium, if any, or interest on, the Notes
(whether such assets have been distributed to it by the Company or any other
obligor on the Notes), and shall notify the Trustee of any default by the Company
(or any other obligor on the Notes) in making any such payment.  The Company at any time may require a Paying
Agent to distribute all assets held by it to the Trustee and account for any
assets disbursed and the Trustee may at any time during the continuance of any
payment Default, upon written request to a Paying Agent, require such Paying
Agent to distribute all assets held by it to the Trustee and to account for any
assets distributed.  Upon distribution to
the Trustee of all assets that shall have been delivered by the Company to the
Paying Agent and the completion of any accounting required to be made
hereunder, the Paying Agent shall have no further liability for such assets.

Section 2.05           Holder Lists.

The Trustee shall preserve in as current a form as is
reasonably practicable the most recent list available to it of the names and
addresses of the Holders and shall otherwise comply with TIA §312(a).  If the Trustee is not the Registrar or Paying
Agent, the Company shall furnish to the annually on each November 13 and at
such other times as the Trustee may request in writing a list in such form as
the Trustee may reasonably require of the names and addresses of the Holders,
which list may be conclusively relied upon by the Trustee.

Section 2.06           Transfer and
Exchange.

Subject to Sections 2.15 and 2.16, when Notes are
presented to the Registrar or a co-Registrar with a request to register the
transfer of such Notes or to exchange such Notes for an equal principal amount
of Notes of other authorized denominations (but of the same series), the
Registrar or co-Registrar shall register the transfer or make the exchange as
requested if its requirements for such transaction are met; provided, however,
that the Notes presented or surrendered for transfer or exchange shall be duly
endorsed or accompanied by a written instrument of transfer in form
satisfactory to the Company and the Registrar or co-Registrar, duly executed by
the Holder thereof or his attorney duly authorized in writing.  To permit registrations of transfers and exchanges,
the Company shall execute and the Trustee shall authenticate Notes at the
Registrar’s or co-Registrar’s written request. 
No service charge shall be made for any registration of transfer or
exchange, but the Company may require payment of a sum sufficient to cover any
transfer tax or similar governmental charge payable in connection
therewith.  The Registrar or co-Registrar
shall not be required to register the transfer of or exchange of any Note (i)
during a period beginning at the opening of business 15 days before the mailing
of a notice of redemption pursuant to Section 3.03 and paragraph 5 of the Notes
and ending at the close of business on the day of such mailing and (ii)
selected for redemption in whole or in part pursuant to Article Three, except
the unredeemed portion of any Note being redeemed in part.

Any Holder of a beneficial interest in a Global
Security shall, by acceptance of such beneficial interest, agree that transfers
of beneficial interests in such Global Security may be effected only through a
book entry system maintained by the Holder of such Global Security 

 35
 

 

(or its agent), and that ownership of a beneficial
interest in the Note shall be required to be reflected in a book entry system.

Section 2.07           Replacement Notes.

If a mutilated Note is surrendered to the Trustee or
if the Holder of a Note claims that the Note has been lost, destroyed or
wrongfully taken, the Company shall issue and the Trustee shall authenticate a
replacement Note of the same series and each of the Guarantors shall execute a
Guarantee thereon if the Trustee’s requirements are met.  If required by the Trustee or the Company,
such Holder must provide an indemnity bond or other indemnity, sufficient in
the reasonable judgment of the Company, the Guarantors and the Trustee, to
protect the Company, the Guarantors, the Trustee or any Agent from any loss
which any of them may suffer if a Note is replaced.  The Company and the Trustee may charge such
Holder for their reasonable out-of-pocket expenses in replacing a Note,
including reasonable fees and expenses of counsel.  Every replacement Note shall constitute an
additional obligation of the Company and every replacement Guarantee shall
constitute an additional obligation of the Guarantors.

Section 2.08           Outstanding Notes.

Notes outstanding at any time are all the Notes that
have been authenticated by the Trustee except those cancelled by it or a
Registrar, those delivered to it or a Registrar for cancellation and those
described in this Section as not outstanding. 
Subject to Section 2.09, a Note does not cease to be outstanding because
the Company or any of its Affiliates holds the Note.

If a Note is replaced pursuant to Section 2.07 (other
than a mutilated Note surrendered for replacement), it ceases to be outstanding
unless the Trustee receives proof satisfactory to it that the replaced Note is
held by a bona fide purchaser.  A
mutilated Note ceases to be outstanding upon surrender of such Note and
replacement thereof pursuant to Section 2.07.

If on a Redemption Date, the Dollar Notes Maturity
Date or the Euro Notes Maturity Date, as applicable, the Paying Agent holds
U.S. Legal Tender, U.S. Government Obligations, or a combination thereof (in
the case of Dollar Notes) or euros, Euro Obligations, or a combination thereof
(in the case of Euro Notes) sufficient to pay all of the principal, premium, if
any, and interest due on the Notes payable on that date and is not prohibited
from paying such money to the Holders thereof pursuant to the terms of this Indenture,
then on and after that date such Notes cease to be outstanding and interest on
them ceases to accrue.

If on any date which is no earlier than 60 days prior
to a Redemption Date, the Company has irrevocably deposited in trust with the
Trustee U.S. Legal Tender, U.S. Government Obligations or a combination thereof
(in the case of Dollar Notes) or euros, Euro Obligations or a combination
thereof (in the case of Euro Notes) in an amount sufficient to pay all of the
principal, premium, if any, and interest due on the Notes payable on such
Redemption Date, together with irrevocable instructions from the Company
directing the Trustee to apply such funds to the payment thereof on such
Redemption Date pursuant to the terms of this Indenture, then and after the
date of such deposit such Notes shall be deemed to be not outstanding for purposes
of determining whether the Holders of the required aggregate principal amount
of Notes 

 36
 

 

have concurred in any direction, waiver, consent or
notice which requires the consent of at least a majority in aggregate principal
amount of Notes then outstanding.

Section 2.09           Treasury Notes.

In determining whether the Holders of the required
aggregate principal amount of Notes have concurred in any direction, waiver,
consent or notice, Notes owned by the Company or an Affiliate shall be
considered as though they are not outstanding, except that for the purposes of
determining whether the Trustee shall be protected in relying on any such
direction, waiver or consent, only Notes which the Trustee actually knows are
so owned shall be so considered.  The
Company shall notify the Trustee, in writing, when it or any of its Affiliates
repurchases or otherwise acquires Notes, of the aggregate principal amount of
such Notes so repurchased or otherwise acquired.

Section 2.10           [Intentionally
Omitted].

Section 2.11           Cancellation.

The Company at any time may deliver Notes to the
Trustee for cancellation.  The Registrar
and the Paying Agent shall forward to the Trustee any Notes surrendered to them
for transfer, exchange or payment.  The
Trustee, or at the direction of the Trustee, the Registrar or the Paying Agent,
and no one else, shall cancel and shall dispose all cancelled Securities in accordance
with its customary procedures.  Subject
to Section 2.07, the Company may not issue new Notes to replace Notes that the
Company has paid or delivered to the Trustee for cancellation.  Notes redeemed shall be cancelled.  However, if the Company shall acquire any of
the Notes, such acquisition shall not operate as a redemption or satisfaction
of the Indebtedness represented by such Notes unless and until the same are
surrendered to the Trustee for cancellation pursuant to this Section 2.11.

Section 2.12           Defaulted Interest.

The Company will pay interest on overdue principal
from time to time on demand at the rate of interest then borne by the Dollar
Notes or Euro Notes, as applicable.  The
Company shall, to the extent lawful, pay interest on overdue installments of
interest (without regard to any applicable grace periods) from time to time on
demand at the rate of interest then borne by the Dollar Notes or Euro Notes, as
applicable.  Interest on the Notes will
be computed on the basis of a 360-day year comprised of twelve 30-day months.

If the Company defaults in a payment of interest on
the Notes, it shall pay the defaulted interest, plus (to the extent lawful) any
interest payable on the defaulted interest to the Persons who are Holders on a
subsequent special record date, which date shall be the fifteenth day next
preceding the date fixed by the Company for the payment of defaulted interest
or the next succeeding Business Day if such date is not a Business Day.  At least 15 days before the subsequent
special record date, the Company shall deliver or cause to be delivered to each
Holder, with a copy to the Trustee, a notice that states the subsequent special
record date, the payment date and the amount of defaulted interest, and
interest payable on such defaulted interest, if any, to be paid.

 37
 

 

Notwithstanding the foregoing, any interest which is
paid prior to the expiration of the 30-day period set forth in Section 6.01(a)
shall be paid to Holders as of the regular record date for the Interest Payment
Date for which interest has not been paid.

Section 2.13           CUSIP Numbers.

The Company in issuing the Notes may use one or more “CUSIP”
and/or “ISIN” numbers, and if so, the Trustee shall use the CUSIP and/or “ISIN”
numbers in notices of redemption or exchange as a convenience to Holders; provided,
however, that no representation is hereby deemed to be made by the
Trustee as to the correctness or accuracy of the CUSIP numbers printed in the
notice or on the Notes, and that reliance may be placed only on the other identification
numbers printed on the Notes.  The
Company shall promptly notify the Trustee of any change in the CUSIP or “ISIN”
number.

Section 2.14           Deposit of Moneys.

Prior to 11:00 a.m. New York City time on each
Interest Payment Date, Dollar Notes Maturity Date, Euro Notes Maturity Date,
Redemption Date, Change of Control Payment Date, and Net Proceeds Offer Payment
Date, the Company shall have deposited with each Paying Agent in immediately
available funds money sufficient to make cash payments, if any, due on such
Interest Payment Date, Dollar Notes Maturity Date, Euro Notes Maturity Date,
Redemption Date, Change of Control Payment Date, and Net Proceeds Offer Payment
Date, as the case may be, in a timely manner which permits each Paying Agent to
remit payment to the Holders on such Interest Payment Date, Dollar Notes
Maturity Date, Euro Notes Maturity Date, Redemption Date, Change of Control
Payment Date, and Net Proceeds Offer Payment Date, as the case may be.

Section 2.15           Book-Entry
Provisions for Global Securities.

Except as indicated below in this Section 2.15, the
Notes shall be represented only by Global Securities.  The Global Securities shall be deposited with
a Depositary for such Notes or its custodian (initially, the Trustee) (and
shall be registered in the name of such Depositary or its nominee).  The Depositary for the Dollar Notes shall be
DTC unless the Company appoints a successor Depositary by delivery of a Company
Order to the Trustee specifying such successor Depositary.  The Depositary for the Euro Notes shall be
Citibank, N.A. unless, with the approval of Euroclear and Clearstream, the
Company appoints a successor Depositary (which shall be a Common Depositary of
Euroclear and Clearstream) by delivery of a Company Order to the Trustee
specifying such successor Depositary.

All payments on a Dollar Denominated Global Security
will be made to DTC or its nominee, as the case may be, as the registered owner
and Holder of such Dollar Denominated Global Security.  All payments on a Euro Denominated Global
Security will be made to the order of the Common Depositary or its nominee, as
the case may be, as the registered holder of such Euro Denominated Global
Security.  In each case, the Company will
be fully discharged by payment to or to the order of such Depositary from any
responsibility or liability in respect of each amount so paid.  Upon receipt of any such payment in respect
of a Dollar Denominated Global Security, DTC will credit Participants’ accounts
with payments in amounts proportionate 

 38
 

 

to their respective beneficial interests in the
principal amount of such Dollar Denominated Global Security as shown on the
records of DTC.  The Common Depositary
will instruct the Euro Paying Agent to make payments in respect of the Euro
Notes to Euroclear and Clearstream in amounts proportionate to their respective
beneficial interests in the principal amount of each Euro Denominated Global
Security, and Euroclear and Clearstream will credit Participants’ accounts with
payments in amounts proportionate to their respective beneficial interests in
the principal amount of such Global Security as shown on the records of
Euroclear.

Unless and until it is exchanged in whole or in part
for Physical Notes, in accordance with this Section 2.15, a Global Security may
not be transferred except as a whole by the relevant Depositary or nominee
thereof to another nominee of the Depositary or to a successor of Depositary or
a nominee of such successor.

Owners of beneficial interests in Global Securities
shall be entitled or required, as the case may be, but only under the circumstances
described in this Section 2.15, to receive physical delivery of Physical Notes.

Interests in a Global Security shall be exchangeable
or transferable, as the case may be, for Physical Notes if (i) in the case of a
Dollar Denominated Global Security, DTC notifies the Company that it is
unwilling or unable to continue as Depositary for such Dollar Denominated
Global Security, or DTC ceases to be a “Clearing Agency” registered under the
United States Securities Exchange Act of 1934, and a successor depositary is
not appointed by the Company, (ii) in the case of a Euro Denominated Global
Security, Euroclear and Clearstream notify the Company that they are unwilling
or unable to continue as clearing agencies for such Euro Denominated Global
Security, (iii) in the case of a Euro Denominated Global Security, the Common
Depositary notifies the Company that it is unwilling or unable to continue as
Depositary for such Euro Denominated Global Security, and a successor Common
Depositary is not appointed by the Company within one hundred twenty (120) days
or (iv) an Event of Default has occurred and is continuing with respect thereto
and the owner of a beneficial interest therein requests such exchange or
transfer.  Upon the occurrence of any of
the events described in the preceding sentence, the Company shall cause the
appropriate Physical Notes to be delivered to the owners of beneficial
interests in the Global Securities or the Participants in DTC or Euroclear and
Clearstream through which such owners hold their beneficial interest.  Physical Notes shall be exchangeable or
transferable for interests in other Physical Notes as described herein.

Section 2.16           Transfer and
Exchange of Securities.

(a)           Transfer and Exchange of Dollar Denominated
Global Securities.- Notwithstanding any provisions of this Indenture or the
Notes, transfers of a Dollar Denominated Global Security, in whole or in part,
transfers and exchanges of interests therein of the kinds described in clauses
(ii), (iii) and (iv) below and exchange of interests in Dollar Denominated
Global Securities or of other dollar denominated securities as described in
clause (v) below, shall be made only in accordance with this Section
2.16(a).  Transfers and exchanges subject
to this Section 2.16 shall also be subject to the other provisions of this
Indenture that are not inconsistent with this Section 2.16.

 39
 

 

(i)      General.  A Dollar Denominated Global Security may not
be transferred, in whole or in part, to any Person other than DTC or a nominee
thereof or a successor to DTC or its nominee, and no such transfer to any such
other Person may be registered; provided that this clause (i) shall not
prohibit any transfer of a dollar denominated security that is issued in
exchange for a Dollar Denominated Global Security but is not itself a Dollar
Denominated Global Security.  No transfer
of a Dollar Note of any series to any Person shall be effective under this
Indenture or the Dollar Notes of such series unless and until such Dollar Note
has been registered in the name of such Person. 
Nothing in this Section 2.16(a)(i) shall prohibit or render ineffective
any transfer of a beneficial interest in a Dollar Denominated Global Security
effected in accordance with the other provisions of this Section 2.16(a).

(ii)     Restricted Global Security
to Regulation S Global Security.  If
the Holder of a beneficial interest in a Restricted Dollar Denominated Global
Security of any series wishes at any time to transfer such interest to a Person
who wishes to take delivery thereof in the form of a beneficial interest in a
Regulation S Dollar Denominated Global Security of such series, such transfer
may be effected, subject to the rules and procedures of DTC, Euroclear and
Clearstream, in each case to the extent applicable (the “Applicable Procedures”),
only in accordance with the provisions of this Section 2.16(a)(ii).  Upon receipt by the Dollar Registrar of (A)
written instructions given in accordance with the Applicable Procedures from an
Agent Member directing the Dollar Registrar, to credit or cause to be credited
to a specified Agent Member’s account a beneficial interest in a Regulation S
Dollar Denominated Global Security in a principal amount equal to that of the
beneficial interest in a Restricted Dollar Denominated Global Security to be so
transferred; (B) a written order given in accordance with the Applicable
Procedures containing information regarding the account of the Agent Member
(and/or the Euroclear or Clearstream account, as the case may be) to be
credited with, and the account of the Agent Member to be debited for, such
beneficial interest and (C) a certificate in substantially the form set forth
in Exhibit C-1 given by the Holder of such beneficial interest, the principal
amount of a Restricted Dollar Denominated Global Security shall be reduced, and
the principal amount of a Regulation S Dollar Denominated Global Security shall
be increased, by the principal amount of the beneficial interest in a
Restricted Dollar Denominated Global Security to be so transferred, in each
case by means of an appropriate adjustment on the records of the Dollar
Registrar, and the Dollar Registrar shall instruct DTC or its authorized
representative to make a corresponding adjustment to its records and to credit
or cause to be credited to the account of the Person specified in such instructions
(which shall be the Agent Member for Euroclear or Clearstream or both, as the
case may be) a beneficial interest in a Regulation S Dollar Denominated Global
Security having a principal amount equal to the amount so transferred.

(iii)    Restricted Dollar
Denominated Global Security to Unrestricted Dollar Denominated Global Security.  If the Holder of a beneficial interest in a
Restricted Dollar Denominated Global Security of any series wishes at any time
to transfer such interest to a Person who wishes to take delivery thereof in
the form of a beneficial interest in an Unrestricted Dollar Denominated Global
Security of such series, such transfer may be effected, subject to the
Applicable Procedures, only in accordance with this Section 

 40
 

 

2.16(a)(iii).  Upon receipt by the Dollar Registrar, of (A)
written instructions given in accordance with the Applicable Procedures from an
Agent Member directing the Dollar Registrar to credit or cause to be credited
to a specified Agent Member’s account a beneficial interest in an Unrestricted
Dollar Denominated Global Security in a principal amount equal to that of the
beneficial interest in a Restricted Dollar Denominated Global Security to be so
transferred, (B) a written order given in accordance with the Applicable
Procedures containing information regarding the account of the Agent Member
(and, if applicable, the Euroclear or Clearstream account, as the case may be)
to be credited with, and the account of the Agent Member to be debited for,
such beneficial interest and (C) a certificate in substantially the form set
forth in Exhibit C-2 given by the Holder of such beneficial interest, the
principal amount of the Restricted Dollar Denominated Global Security shall be
reduced, and the principal amount of an Unrestricted Dollar Denominated Global
Security shall be increased, by the principal amount of the beneficial interest
in a Restricted Global Dollar Denominated Security to be so transferred, in
each case by means of an appropriate adjustment on the records of the Dollar
Registrar and the Dollar Registrar shall instruct DTC or its authorized
representative to make a corresponding adjustment to its records and to credit
or cause to be credited to the account of the Person specified in such
instructions a beneficial interest in an Unrestricted Dollar Denominated Global
Security having a principal amount equal to the amount so transferred.

(iv)    Regulation S Dollar
Denominated Global Security or Unrestricted Dollar Denominated Global Security
to Restricted Dollar Denominated Global Security.  If the Holder of a beneficial interest in a
Regulation S Dollar Denominated Global Security of any series or an
Unrestricted Dollar Denominated Global Security of any series wishes at any
time to transfer such interest to a Person who wishes to take delivery thereof
in the form of a beneficial interest in a Restricted Dollar Denominated Global
Security of such series, such transfer may be effected, subject to the Applicable
Procedures, only in accordance with this Section 2.16(a)(iv).  Upon receipt by the Dollar Registrar of (A)
written instructions given in accordance with the Applicable Procedures from an
Agent Member directing the Dollar Registrar to credit or cause to be credited
to a specified Agent Member’s account a beneficial interest in a Restricted
Dollar Denominated Global Security in a principal amount equal to that of the
beneficial interest in a Regulation S Dollar Denominated Global Security or an
Unrestricted Dollar Denominated Global Security to be so transferred, (B) a
written order given in accordance with the Applicable Procedures containing
information regarding the account of the Agent Member to be credited with, and
the account of the Agent Member (and, if applicable, the Euroclear or
Clearstream account, as the case may be) to be debited for, such beneficial
interest and (C) with respect to a transfer of a beneficial interest in a
Regulation S Dollar Denominated Global Security (but not an Unrestricted Dollar
Denominated Global Security) to a Person whom the transferor reasonably
believes is a “qualified institutional buyer” within the meaning of Rule 144A
under the Securities Act, a certificate in substantially the form set forth in
Exhibit C-3 given by the Holder of such beneficial interest, the principal
amount of a Restricted Dollar Denominated Global Security shall be increased,
and the principal amount of a Regulation S Dollar Denominated Global Security
or an Unrestricted Dollar Denominated Global Security shall be reduced, by the
principal amount of the beneficial interest in a Restricted Dollar Denominated
Global Security to be so 

 41
 

 

transferred,
in each case by means of an appropriate adjustment on the records of the Dollar
Registrar and the Dollar Registrar shall instruct DTC or its authorized
representative to make a corresponding adjustment to its records and to credit
or cause to be credited to the account of the Person specified in such instructions
a beneficial interest in the Restricted Dollar Denominated Global Security
having a principal amount equal to the amount so transferred.

(v)     Exchanges of Dollar
Denominated Global Security for Dollar-Denominated Non-Global Security.  In the event that a Dollar Denominated Global
Security or any portion thereof is exchanged for dollar denominated securities
other than Dollar Denominated Global Securities, such other dollar denominated
securities may in turn be exchanged (on transfer or otherwise) for Notes that
are not Dollar Denominated Global Securities or for beneficial interests in a
Dollar Denominated Global Security (if any is then outstanding) only in
accordance with such procedures, which shall be substantially consistent with
the provisions of clauses (i) through (iv) above and (vi) below (including the
certification requirements intended to insure that transfers and exchanges of
beneficial interests in a Dollar Denominated Global Security comply with Rule
144A, Rule 144 or Regulation S, as the case may be) and any Applicable
Procedures, as may be from time to time adopted by the Company and the Trustee.

(vi)    Beneficial Interest in
Regulation S Dollar Denominated Global Security to be Held Through Euroclear or
Clearstream.  Until the termination
of the applicable restricted period under Regulation S with respect thereto,
interests in a Regulation S Global Security may be held only through Agent
Members acting for and on behalf of Euroclear and Clearstream, provided
that this clause (vi) shall not prohibit any transfer in accordance with
Section 2.16(a)(iv) hereof.

(b)           Transfer and Exchange of Euro Denominated
Global Securities.  Notwithstanding
any provisions of this Indenture or the Euro Notes, transfers of a Euro
Denominated Global Security, in whole or in part, shall be made only in
accordance with this Section 2.16(b). 
Transfers and exchanges subject to this Section 2.16 shall also be
subject to the other provisions of this Indenture that are not inconsistent
with this Section 2.16.

(i)      General.  A Euro Denominated Global Security may not be
transferred, in whole or in part, to any Person other than the Common
Depositary or a nominee thereof or a successor Common Depositary or its
nominee, and no such transfer to any such other Person may be registered; provided
that this clause (i) shall not prohibit any transfer of a Euro Denominated
Security that is issued in exchange for a Euro Denominated Global Security but
is not itself a Euro Denominated Global Security.  No transfer of a Euro Denominated Security to
any Person shall be effective under this Indenture or the Euro Denominated
Securities unless and until such Euro Denominated Security has been registered
in the name of such Person.  Nothing in
this Section 2.16(b)(i) shall prohibit or render ineffective any transfer of a
beneficial interest in a Euro Denominated Global Security effected in
accordance with the other provisions of this Section 2.16(b).

 42

 

(ii)               Restricted Euro
Denominated Global Security to Unrestricted Euro Denominated Global Security.  If the Holder of a beneficial interest in a
Restricted Euro Denominated Global Security wishes at any time to transfer such
interest to a Person who wishes to take delivery thereof in the form of a
beneficial interest in an Unrestricted Euro Denominated Global Security, such
transfer may be effected, subject to the Applicable Procedures, only in
accordance with this Section 2.16(b)(ii). 
Upon receipt by the Euro Registrar of (A) written instructions given in
accordance with the Applicable Procedures from Euroclear or Clearstream
directing the Euro Registrar to credit or cause to be credited to Euroclear or
Clearstream’s account a beneficial interest in an Unrestricted Euro Denominated
Global Security in a principal amount equal to that of the beneficial interest
in a Restricted Euro Denominated Global Security to be so transferred, (B) a
written order given in accordance with the Applicable Procedures containing
information regarding the account of Euroclear or Clearstream to be credited
with, and the account of Euroclear or Clearstream to be debited for, such
beneficial interest and (C) a certificate in substantially the form set forth
in Exhibit C-2 given by the Holder of such beneficial interest, the principal
amount of the Restricted Euro Denominated Global Security shall be reduced, and
the principal amount of an Unrestricted Euro Denominated Global Security shall
be increased, by the principal amount of the beneficial interest in a
Restricted Euro Denominated Global Security to be so transferred, in each case
by means of an appropriate adjustment on the records of the Euro Registrar and
the Euro Registrar shall instruct the Common Depositary or its authorized
representative to make a corresponding adjustment to its records and to credit
or cause to be credited to the account of Euroclear a beneficial interest in a
Unrestricted Euro Denominated Global Security having a principal amount equal
to the amount so transferred.

(iii)            Exchanges of Euro
Denominated Global Security for Euro Denominated Non-Global Security.  In the event that a Euro Denominated Global
Security or any portion thereof is exchanged for Notes other than Euro
Denominated Global Securities, such other Notes may in turn be exchanged (on
transfer or otherwise) for Notes that are not Euro Denominated Global
Securities or for beneficial interests in a Euro Denominated Global Security
(if any is then Outstanding) only in accordance with such procedures, which
shall be substantially consistent with the provisions of clauses (i) through
(ii) above and (iv) below (including the certification requirements intended to
insure that transfers and exchanges of beneficial interests in a Euro
Denominated Global Security comply with Rule 144A, Rule 144 or Regulation S, as
the case may be) and any Applicable Procedures, as may be from time to time
adopted by the Company and the Trustee.

(iv)           Interest in Euro
Denominated Global Security to be Held Through Euroclear or Clearstream.  Interests in a Euro Denominated Global
Security may be held only through Agent Members acting for and on behalf of
Euroclear or Clearstream.

(c)                                  Global Securities.  The provisions of clauses (i), (ii), (iii),
and (iv) below shall apply only to Global Securities;

 43
 

 

(i)                  General.  Each Global Security authenticated under this
Indenture shall be registered in the name of the appropriate Depositary or a
nominee thereof and delivered to such Depositary or a nominee thereof or
custodian therefor.

(ii)               Transfer to
Persons Other than Depositary. 
Notwithstanding any other provision in this Indenture or the Notes, no
Global Security may be exchanged in whole or in part for Notes registered, and
no transfer of a Global Security in whole or in part may be registered, in the
name of any person other than the appropriate Depositary or a nominee thereof
unless (A) in the case of a Dollar Denominated Global Security, DTC notifies
the Company that it is unwilling or unable to continue as Depositary for such Global
Security, or DTC ceases to be a Clearing Agency registered under the United
States Securities Exchange Act of 1934, and a successor to DTC is not appointed
by the Company, (B) in the case of a Euro Denominated Global Security,
Euroclear and Clearstream notify the Company that they are unwilling or unable
to continue as clearing agencies for such Euro Denominated Global Security, and
successor clearing agencies are not appointed by the Company, (C) in the case
of a Euro Denominated Global Security, the Common Depositary notifies the
Company that it is unwilling or unable to continue as Depositary for such Euro
Denominated Global Security, and a successor Common Depositary is not appointed
by the Company within one hundred twenty (120) days or (D) in the case of any
Global Security, an Event of Default has occurred and is continuing with
respect thereto and the owner of a beneficial interest therein requests such
exchange or transfer.  Any Global
Security exchanged pursuant to clause (A), (B) or (C) above shall be so
exchanged in whole and not in part and any Global Security exchanged pursuant
to clause (D) above may be exchanged in whole or from time to time in part as
directed by DTC.  Any Security issued in
exchange for a Global Security or any portion thereof shall be a Global
Security, provided that any such Security so issued that is registered
in the name of a Person other than the appropriate Depositary or a nominee
thereof shall not be a Global Security.

(iii)            Global Security to
Physical Note.  Physical Notes issued
in exchange for a Global Security or any portion thereof pursuant to clause
(ii) above shall be issued in definitive, fully registered form without
interest coupons, shall be of the same series and shall have an aggregate
principal amount equal to that of such Global Security or portion thereof to be
so exchanged, shall be registered in such names and be in such authorized
denominations as the appropriate Depositary shall designate and shall bear any
legends required hereunder.  Any Global
Security to be exchanged in whole shall be surrendered by the appropriate
Depositary to the appropriate Registrar. 
With regard to any Global Security to be exchanged in part, either such
Global Security shall be so surrendered for exchange or, in the case of a
Dollar Denominated Global Security, if the Trustee is acting as custodian for
DTC or its nominee with respect to such Global Security or, in the case of a
Euro Denominated Global Security, if the Common Depositary is acting as
Depositary for Euroclear and Clearstream, the principal amount thereof shall be
reduced, by an amount equal to the portion thereof to be so exchanged, by means
of an appropriate adjustment made on the records of the Trustee, as
Authenticating Agent, or of the Common Depositary.  Upon any such surrender or adjustment, the
Trustee shall authenticate

 44
 

 

and deliver
the Security issuable on such exchange to or upon the order of the appropriate
Depositary or an authorized representative thereof.

(iv)           In the event of the
occurrence of any of the events specified in clause (ii) above, the Company
will promptly make available to the Trustee a reasonable supply of Physical
Notes in definitive, fully registered form, without interest coupons.

(v)              No Rights of
Agent Members in Global Security.  No
Agent Member of any Depositary nor any other Persons on whose behalf Agent
Members may act (including Euroclear and Clearstream and account Holders and
Participants therein) shall have any rights under this Indenture with respect
to any Global Security, or under any Global Security, and each Depositary or
its nominee, as the case may be, may be treated by the Company, the Trustee and
any agent of the Company or the Trustee as the absolute owner and Holder of
such Global Security for all purposes whatsoever.  Notwithstanding the foregoing, nothing herein
shall prevent the Company, the Trustee or any agent of the Company or the Trustee
from giving effect to any written certification, proxy or other authorization
furnished by the applicable Depositary or such nominee, as the case may be, or
impair, as between DTC, Euroclear and Clearstream, their respective Agent
Members and any other person on whose behalf an Agent Member may act, the
operation of customary practices of such Persons governing the exercise of the
rights of a Holder of any Note.

(vi)           Notwithstanding
anything to the contrary in this Indenture, all Global Securities shall be governed
by the relevant Applicable Procedures.

Section 2.17                                Special
Transfer Provisions.

(a)                                  Transfers to
Institutional Accredited Investors. 
If Notes are being transferred to an Institutional Accredited Investor,
the Notes shall be accompanied by delivery of a transferee certificate for
Institutional Accredited Investors substantially in the form of Exhibit D
hereto and an Opinion of Counsel reasonably satisfactory to the Company to the
effect that such transfer is in compliance with the Securities Act.

(b)                                 Other Transfers.  If a Holder proposes to transfer an Initial
Note pursuant to any exemption from the registration requirements of the
Securities Act other than as provided for above, the Registrar shall only
register such transfer or exchange if such transferor delivers to the Registrar
and the Trustee an Opinion of Counsel satisfactory to the Company and the Registrar
that such transfer is in compliance with the Securities Act and the terms of
this Indenture; provided that the Company may, based upon the opinion of
its counsel, instruct the Registrar by a Company Order not to register such
transfer in any case where the proposed transferee is not a QIB, an
Institutional Accredited Investor or a non-U.S. Person.

(c)                                  General.  By its acceptance of any Note bearing
legends, each- Holder of such a Note acknowledges the restrictions on transfer
of such Security set forth in this Indenture and in the legends and agrees that
it will transfer such Security only as provided in this Indenture.

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The Registrar shall retain copies of all
letters, notices and other written communications received pursuant to Section
2.15, 2.16 or this Section 2.17 for a period of two years, after which time
such letters, notices and other written communications shall at the written
request of the Company be delivered to the Company.  The Company shall have the right to inspect
and make copies of all such letters, notices or other written communications at
any reasonable time upon the giving of reasonable prior written notice to the
Registrar.

Section 2.18                                Issuance
of Additional Notes.

The Company shall be entitled to issue Additional
Notes of either series under this Indenture which shall have substantially
identical terms as the Initial Notes of such series, other than with respect to
the date of issuance, issue price, amount of interest payable on the first
Interest Payment Date applicable thereto or upon a registration default as
provided under a registration rights agreement related thereto (and, if such
Additional Notes shall be issued in the form of Exchange Notes, other than with
respect to transfer restrictions); provided that such issuance is not prohibited
by Section 4.12.

With respect to any Additional Notes, the Company
shall set forth in a resolution of its Board of Managers (or a duly appointed
committee thereof) and in an Officers’ Certificate, a copy of each of which
shall be delivered to the Trustee, the following information:

(1)                                  the
series of and aggregate principal amount of such Additional Notes to be
authenticated and delivered pursuant to this Indenture;

(2)                                  the
issue price and the issue date of such Additional Notes and the amount of
interest payable on the first Interest Payment Date applicable thereto; and

(3)                                  whether
such Additional Notes shall be Restricted Securities or Unrestricted Notes.

ARTICLE
III

REDEMPTION

Section 3.01                                Notices
to Trustee.

If the Company elects to redeem Dollar Notes pursuant
to paragraph 5 of the Dollar Notes or the Euro Notes pursuant to paragraph 5 of
the Euro Notes it shall notify the Trustee and the Paying Agent in writing of
the Redemption Date and the aggregate principal amount of the Notes of such series
to be redeemed.  Such notice must be
given at least 30 days prior to the Redemption Date, but shall not be given
more than 60 days before such Redemption Date. 
Any such notice may be cancelled at any time prior to notice of such
redemption being mailed to any Holder and shall thereby be void and of no
effect.

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Section 3.02                                Selection of Notes
To Be Redeemed.

If less than all the Notes of either series are to be
redeemed at any time, selection of such Notes of the appropriate series for
redemption will be made by the Trustee in compliance with the requirements of
the principal national securities exchange, if any, on which such Notes are
listed or, if such Notes are not listed on a national securities exchange, on a
pro rata basis, by lot or by such method as the Trustee shall deem fair and
appropriate; provided, however, that no Notes of a principal amount of $1,000
or €50,000, as the case may be, or less shall be redeemed in part.

Section 3.03                                Notice
of Redemption.

At least 30 days but not more than 60 days before a
Redemption Date, the Company shall mail or cause to be mailed a notice of
redemption by first- class mail to each Holder whose Notes are to be redeemed
at its registered address, with a copy to the Trustee, except that redemption
notices may be mailed more than 60 days prior to a redemption date if the
notice is issued in connection with a defeasance of the notes or a satisfaction
and discharge of this Indenture, in each case in accordance with this
Indenture.  At the Company’s request, the
Trustee shall give the notice of redemption in the Company’s name and at the
Company’s expense provided, however, that the Company shall
deliver to the Trustee, at least 40 days prior to the Redemption Date (which
may be waived by the Trustee), an Officers’ Certificate requesting that the
Trustee give such notice.  Each notice
for redemption shall identify the Notes of the appropriate series to be
redeemed and shall state:

(1)                                  the
Redemption Date;

(2)                                  the
redemption price and the amount of accrued interest, if any, to be paid (the “Redemption
Price”);

(3)                                  the
paragraph of the Dollar Notes and/or the Euro Notes, as the case may be,
pursuant to which the Notes of such series are being redeemed;

(4)                                  the
name and address of the Paying Agent;

(5)                                  that
Notes called for redemption must be surrendered to the Paying Agent to collect
the Redemption Price;

(6)                                  that,
unless the Company defaults in making the redemption payment, interest, if any,
on Notes called for redemption shall cease to accrue on and after the
Redemption Date and the only remaining right of the Holders of such Notes is to
receive payment of the Redemption Price upon surrender to the Paying Agent of
the Notes redeemed;

(7)                                  that,
if any Note is being redeemed in part, the portion of the principal amount of
such Note to be redeemed;

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(8)                                  that,
if less than all the Notes of a series of Notes are to be redeemed, the
identification of the particular Notes and the aggregate principal amount (or
portion thereof) of such Notes to be redeemed, to be redeemed and the aggregate
principal amount of Notes to be outstanding after such partial redemption; and

(9)                                  whether
the redemption is conditioned on any events and what such conditions are.

If one or more conditions specified with respect to a
redemption are not satisfied or waived, the Redemption Date shall be deemed not
to have occurred for all purposes of this Indenture and the Company shall give
notice of such non-occurrence to the Holders of the applicable Notes and to the
Trustee.

The Company will comply with the requirements of Rule
14e-1 under the Exchange Act and any other securities laws and regulations
thereunder to the extent such rule, laws and regulations are applicable in
connection with the purchase of Notes.

Section 3.04                                Effect
of Notice of Redemption.

Once notice of redemption is mailed in accordance with
Section 3.03, Notes called for redemption become due and payable on the
Redemption Date and at the Redemption Price. 
Upon surrender to the Trustee or Paying Agent, such Notes called for
redemption shall be paid at the Redemption Price, but installments of interest,
the maturity of which is on or prior to the Redemption Date, shall be payable
to Holders of record at the close of business on the relevant record dates
referred to in the Notes.  Interest shall
accrue on or after the Redemption Date and shall be payable only if the Company
defaults in payment of the Redemption Price.

Section 3.05                                Deposit
of Redemption Price.

On or before the Redemption Date, the Company shall
deposit with the Paying Agent U.S. Legal Tender (in the case of Dollar Notes)
and/or euros (in the case of Euro Notes) sufficient to pay the Redemption Price
of all Notes of the applicable series to be redeemed on that date.  The Paying Agent shall promptly return to the
Company any U.S. Legal Tender (in the case of Dollar Notes) and/or euros (in
the case of Euro Notes) so deposited that is not required for that purpose,
except with respect to monies owed as obligations to the Trustee pursuant to
Article Seven.

Unless the Company fails to comply with the preceding
paragraph and defaults in the payment of such Redemption Price, interest on the
Notes to be redeemed will cease to accrue on and after the applicable
Redemption Date, whether or not such Notes are presented for payment.

Section 3.06                                Notes
Redeemed in Part.

Upon surrender of a Note that is to be redeemed in
part, the Trustee shall authenticate for the Holder a new Note or Notes of the
appropriate series equal in principal amount to

 48
 

 

the unredeemed portion of the Note surrendered; provided,
that no such Euro Note may have a denomination of less than €50,000 thereafter.

ARTICLE
IV

COVENANTS

Section 4.01                                Payment
of Notes.

The Company shall pay the interest on the Notes on the
dates and in the manner provided in the Notes. 
An installment of principal of or interest on the Notes shall be
considered paid on the date it is due if the Trustee or Paying Agent holds on
that date U.S. Legal Tender (in the case of Dollar Notes) and/or euros (in the
case of Euro Notes) designated for and sufficient to pay the installment.  Interest on the Notes will be computed on the
basis of a 360- day year comprised of twelve 30-day months.

Notwithstanding anything to the contrary contained in
this Indenture, the Company may, to the extent it is required to do so by law,
deduct or withhold income or other similar taxes imposed by the United States
of America from principal, premium or interest payments hereunder.

Section 4.02                                Maintenance
of Office or Agency.

The Company shall maintain the office or agency
required under Section 2.03.  The Company
shall give prior notice to the Trustee of the location, and any change in the
location, of such office or agency.  If
at any time the Company shall fail to maintain any such required office or
agency or shall fail to furnish the Trustee with the address thereof, such
presentations, surrenders, notices and demands may be made or served at the
address of the Trustee set forth in Section 13.02.

Section 4.03                                Limitation
on Restricted Payments.

The Company shall not, and shall not cause or permit
any of its Restricted Subsidiaries to, directly or indirectly, make any
Restricted Payment if at the time of such Restricted Payment or immediately
after giving effect thereto, (i) a Default or an Event of Default shall have
occurred and be continuing, (ii) the Company is not able to incur at least $1.00
of additional Indebtedness other than Permitted Indebtedness in compliance with
Section 4.12, or (iii) the aggregate amount of Restricted Payments including
such proposed Restricted Payment made after June 30, 2006, including, the Fair
Market Value as determined reasonably and in good faith by the Board of
Managers of the Company) of non-cash amounts constituting Restricted Payments
shall exceed the sum of:  (w) 50% of the
cumulative Consolidated Net Income (or if cumulative Consolidated Net Income
shall be a loss, minus 100% of such loss) of the Company earned from June 30,
2006 through the last day of the last full fiscal quarter immediately preceding
the date the Restricted Payment occurs (the “Reference Date”) (treating such
period as a single accounting period); plus (x) 100% of the aggregate net cash
proceeds received by the Company from any Person (other than a Subsidiary of
the Company) from the issuance and sale subsequent to June 30, 2006 of
Qualified Capital Stock of the Company (other than Specified Venture Capital

 49
 

 

Stock) or debt securities of the Company that are,
upon issuance, convertible into or exchangeable for Qualified Capital Stock of
the Company, but only when and to the extent such debt securities are converted
into or exchanged for Qualified Capital Stock of the Company; plus (y) without
duplication of any amounts included in clause (iii)(x) above, 100% of the
aggregate net cash proceeds of any equity contribution received by the Company
from a holder of the Company’s Capital Stock subsequent to June 30, 2006; plus
(z) $400 million.

Notwithstanding the foregoing, the provisions set
forth in the immediately preceding paragraph shall not prohibit:  (1) the payment of any dividend within 60
days after the date of declaration of such dividend if the dividend would have
been permitted on the date of declaration; (2) the acquisition of any shares of
Capital Stock of the Company, either (i) solely in exchange for shares of
Qualified Capital Stock of the Company or (ii) if no Default or Event of Default
shall have occurred and be continuing, through the application of net cash
proceeds of a substantially concurrent Equity Offering (other than to a
Subsidiary of the Company); (3) the acquisition or repayment of any
Indebtedness of the Company that is subordinate or junior in right of payment
to the Notes either (i) solely in exchange for shares of Qualified Capital
Stock of the Company, or (ii) if no Default or Event of Default shall have
occurred and be continuing, through the application of net cash proceeds of (A)
a substantially concurrent Equity Offering or (B) incurrence for cash of
Refinancing Indebtedness, (in the case of (A) or (B), other than to a
Subsidiary of the Company); (4) so long as no Default or Event of Default shall
have occurred and be continuing, repurchases by the Company of, or dividends to
a Huntsman Parent Company to permit repurchases by a Huntsman Parent Company
of, Common Stock of the Company or a Huntsman Parent Company from employees of
the Company or any of its Subsidiaries or their authorized representatives upon
the death, disability or termination of employment of such employees, in an
aggregate amount not to exceed $25 million in any calendar year; (5) the redemption
or repurchase of any Common Stock of the Company held by a Restricted
Subsidiary of the Company which obtained such Common Stock directly from the
Company; (6) distributions to any Huntsman Parent Company in accordance with
the Tax Sharing Agreement; (7) payments to any Huntsman Parent Company for
legal, audit and other expenses directly relating to the administration of such
Huntsman Parent Company not to exceed $10.0 million in any fiscal year; (8) the
payment of consideration by a third party to equity holders of the Company; (9)
additional Restricted Payments in an aggregate amount not to exceed $225
million since the Issue Date; (10) the payment of dividends or distributions to
any Huntsman Parent Company which are contemporaneously applied to pay
dividends on common stock of the Huntsman Public Parent at a rate not to exceed
$0.40 per share per annum (such amount to be appropriately adjusted to reflect
any stock split, reverse stock split, stock dividend, stock issuance or similar
transactions made after the Issue Date so that the aggregate amount of dividends
payable after such transaction is the same as the amount payable immediately
prior to such transaction); (11) payments of dividends on Disqualified
Capital Stock issued in accordance with Section 4.12; and (12) if the
Consolidated Leverage Ratio of the Company, calculated after giving pro forma effect to any repurchase under
this clause (12), is less than 2.5 to 1.0, then the Company may repurchase
or dividend to a Huntsman Parent Company to repurchase, up to an aggregate of
$250 million of Common Stock of a Huntsman Parent Company.  In determining the aggregate amount of Restricted
Payments made subsequent to the Issue Date in accordance with clause (iii) of
the immediately preceding paragraph, cash amounts expended pursuant to clauses
(1), (2), (3)(ii)(A)

 50
 

 

and (4) shall be included in such calculation and
Restricted Payments made pursuant to the other clauses of the preceding
paragraph shall not be so included.

Not later than the date of making any Restricted
Payment pursuant to clause (iii) of the second preceding paragraph or clause
(9) of the immediately preceding paragraph, the Company shall deliver to the
Trustee an officers’ certificate stating that such Restricted Payment complies
with this Indenture and setting forth in reasonable detail the basis upon which
the required calculations were computed, which calculations may be based upon
the Company’s quarterly financial statements last provided to the Trustee
pursuant to Section 4.09.

Section 4.04                                Corporate
Existence.

Except as otherwise permitted by Article Five, the
Company shall do or cause to be done all things reasonably necessary to
preserve and keep in full force and effect its corporate or other existence and
the corporate or other existence of each of its Restricted Subsidiaries in accordance
with the respective organizational documents of each such Restricted Subsidiary
and the material rights (charter and statutory) and franchises of the Company
and each such Restricted Subsidiary; except for such noncompliances as are not
in the aggregate reasonably likely to have a material adverse effect on the
financial condition or results of operations of the Company and its Restricted
Subsidiaries taken as a whole.

Section 4.05                                Payment
of Taxes and Other Claims.

The Company shall pay or discharge or cause to be paid
or discharged, before the same shall become delinquent, (i) all material taxes,
assessments and governmental charges (including withholding taxes and any
penalties, interest and additions to taxes) levied or imposed upon it or any of
its Restricted Subsidiaries or properties of it or any of its Restricted
Subsidiaries and (ii) all material lawful claims for labor, materials, supplies
and services that, if unpaid, might by law become a Lien upon the property of
it or any of its Restricted Subsidiaries; except for such noncompliances as are
not in the aggregate reasonably likely to have a material adverse effect on the
financial condition or results of operations of the Company and its Restricted
Subsidiaries as a whole; provided, however, that there shall not
be required to be paid or discharged any such tax, assessment or charge, the
amount, applicability or validity of which is being contested in good faith by
appropriate proceedings and for which adequate provision has been made or where
the failure to effect such payment or discharge is not adverse in any material
respect to the Holders.

Section 4.06                                Maintenance
of Properties and Insurance.

(a)                                  The Company shall,
and shall cause each of its Restricted Subsidiaries to, make all reasonable
efforts to maintain its material properties in normal condition (subject to ordinary
wear and tear) and make all reasonably necessary repairs, renewals or
replacements thereto as in the judgment of the Company may be reasonably
necessary to the conduct of the business of the Company and its Restricted
Subsidiaries; except for such noncompliances as are not in the aggregate reasonably
likely to have a material adverse effect on the financial condition or results
of operations of the Company and its Restricted Subsidiaries taken as a whole.

 51
 

 

(b)                                 The Company shall
provide or cause to be provided, for itself and each of its Restricted
Subsidiaries, insurance (including appropriate self- insurance) against loss or
damage of the kinds that, in the reasonable, good faith opinion of the Company,
are reasonably adequate and appropriate for the conduct of the business of the
Company and such Restricted Subsidiaries.

Section 4.07                                Compliance
Certificate; Notice of Default.

(a)                                  The Company shall
deliver to the Trustee, within 120 days after the end of each of the Company’s
fiscal years commencing with the fiscal year ending December 31, 2006, an
Officers’ Certificate stating that a review of its activities and the
activities of its Restricted Subsidiaries during the preceding fiscal year has
been made under the supervision of the signing officers with a view to
determining whether it has kept, observed, performed and fulfilled its obligations
under this Indenture and further stating, as to each such officer signing such certificate,
that to the best of his knowledge at the date of such certificate there is no
Default or Event of Default that has occurred and is continuing or, if such
signers do know of such Default or Event of Default, the certificate shall
describe the Default or Event of Default and its status with particularity.  The Officers’ Certificate shall also notify
the Trustee should the Company elect to change the manner in which it fixes its
fiscal year end.

(b)                                 The annual financial
statements delivered to the Trustee pursuant to Section 4.09 shall be
accompanied by a written report of the Company’s independent accountants that
in conducting their audit of the financial statements which are a part of such
annual report or such annual financial statements nothing has come to their
attention that would lead them to believe that the Company has violated any
provisions of Article Four or Five insofar as they relate to accounting matters
or, if any such violation has occurred, specifying the nature and period of
existence thereof, it being understood that such accountants shall not be
liable directly or indirectly to any Person for any failure to obtain knowledge
of any such violation.

(c)                                  So long as any of the
Notes are outstanding (i) if any Default or Event of Default has occurred and
is continuing or (ii) if any Holder seeks to exercise any remedy hereunder with
respect to a claimed Default under this Indenture or the Notes, the Company
shall deliver to the Trustee as soon as practicable by registered or certified mail
or by telegram, telex or facsimile transmission followed by hard copy by
registered or certified mail an Officers’ Certificate specifying such event,
notice or other action.

Section 4.08                                Compliance
with Laws.

The Company shall comply, and shall cause each of its
Restricted Subsidiaries to comply, with all applicable statutes, rules,
regulations, orders and restrictions of the United States of America, all
states and municipalities thereof, and of any governmental department,
commission, board, regulatory authority, bureau, agency and instrumentality of
the foregoing, in respect of the conduct of their respective businesses and the
ownership of their respective properties, except for such noncompliances as are
not in the aggregate reasonably likely to have a material adverse effect on the
financial condition or results of operations of the Company and its Restricted
Subsidiaries taken as a whole.

 52
 

 

Section 4.09                                Reports to Holders.

Whether or not required by the Commission, so long as
any Notes are outstanding, the Company will furnish to the Holders of the Notes
and to the Trustee, within the time periods specified in the Commission’s rules
and regulations including any extension periods available under such rules and
regulations and excluding any requirement and time periods applicable to “accelerated
filers” (as defined in Rule 12b-2 under the Exchange Act) under such rules and
regulations, and make available to securities analysts and potential investors
upon request:

(1)                                  all
quarterly and annual financial information that would be required to be
contained in a filing with the Commission on Forms 10-Q and 10-K if the Company
were required to file such Forms, including a “Narrative Analysis of Results of
Operations” or “Management’s Discussion and Analysis of Financial Condition and
Results of Operations,” as applicable, and, with respect to the annual
information only, a report on the annual financial statements by the Company’s
certified independent accountants; and

(2)                                  all
current reports that would be required to be filed with the Commission on Form
8-K if the Company were required to file such reports.

Notwithstanding the foregoing, the Company shall not
be required to furnish any information or reports that are separate from
information or reports furnished by Huntsman Corporation, and the requirements
specified in this paragraph shall be deemed to be satisfied upon Huntsman Corporation’s
filing of its required reports within the time periods specified in the
Commission’s rules and regulations including any extension periods available
under such rules and regulations, in each case provided that the assets,
liabilities, revenues and net income of Huntsman Corporation are substantially
similar to those of the Company at the time of such filing.

If the Company has designated as an Unrestricted
Subsidiary any of its Subsidiaries that would constitute a significant
subsidiary within the meaning of Regulation S-X under the Exchange Act, then
the quarterly and annual financial information required by the preceding
paragraph shall include a reasonably detailed presentation, either on the face
of the financial statements or in the footnotes or schedules thereto, or in Narrative Analysis of Results of Operations,
of the financial condition and results of operations of the Company and its
Restricted Subsidiaries separate from the financial condition and results of
operations of the Unrestricted Subsidiaries of the Company.

In the event that any Huntsman Parent Company becomes
a Guarantor of the Notes, the Company may satisfy its obligations under this
Section 4.09 with respect to financial information relating to the Company by
furnishing financial information relating to such Huntsman Parent Company as
provided in Section 3-10 of Regulation S-X under the Exchange Act.

Section 4.10                                Waiver
of Stay, Extension or Usury Laws.

The Company covenants (to the extent that it may
lawfully do so) that it will not at any time insist upon, plead, or in any
manner whatsoever claim or take the benefit or advantage

 53
 

 

of, any stay or extension law or any usury law or
other law that would prohibit or forgive the Company from paying all or any
portion of the principal of, premium or interest on the Notes as contemplated
herein, wherever enacted, now or at any time hereafter in force, or which may
affect the obligations or the performance of this Indenture; and (to the extent
that it may lawfully do so) the Company 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 4.11                                Limitations
on Transactions with Affiliates.

(a)                                  The Company will not,
and will not permit any of its Restricted Subsidiaries to, directly or
indirectly, enter into or permit to exist any transaction or series of related
transactions with, or for the benefit of, any of its Affiliates (each an “Affiliate
Transaction”), other than (x) Affiliate Transactions permitted under paragraph
(b) below and (y) Affiliate Transactions on terms that are no less favorable to
the Company or the relevant Restricted Subsidiary than those terms that might
reasonably have been obtained in a comparable transaction at such time on an
arm’s-length basis by the Company or the relevant Restricted Subsidiary and an
unrelated Person.  The Board of Managers
of the Company or the Board of Managers of the relevant Restricted Subsidiary
must approve each Affiliate Transaction to which they are a party that involves
aggregate payments or other property with a Fair Market Value in excess of
$25.0 million.  This approval must be evidenced
by a Board Resolution that states that the applicable Board of Managers has
determined that the transaction complies with the foregoing provisions.  If the Company or any Restricted Subsidiary
of the Company enters into an Affiliate Transaction that involves an aggregate
Fair Market Value of more than $50.0 million, then prior to the consummation of
the Affiliate Transaction, the parties to such Affiliate Transaction must
obtain a favorable opinion as to the fairness of such transaction or series of
related transactions to the Company or the relevant Restricted Subsidiary, as
the case may be, from a financial point of view, from an Independent Financial
Advisor and file the same with the Trustee.

(b)                                 The restrictions set
forth in clause (a) shall not apply to (i) reasonable fees and compensation
paid to and indemnity provided on behalf of, officers, directors, manager, employees
or consultants of the Company or any Restricted Subsidiary of the Company as
determined in good faith by the Company’s Board of Managers or senior
management; (ii) transactions exclusively between or among the Company and any
of its Restricted Subsidiaries or exclusively between or among such Restricted
Subsidiaries, provided such transactions are not otherwise prohibited by this
Indenture; (iii) any agreement as in effect as of the Issue Date or any
amendment thereto or any transaction contemplated thereby or in any replacement
agreement thereto so long as any such amendment or replacement agreement is not
more disadvantageous to the Holders in any material respect than the original
agreement; (iv) Permitted Investments and Restricted Payments made in
compliance with Section 4.03; (v) transactions between or among any of the
Company, any of its Subsidiaries and any Securitization Entity in connection
with a Qualified Securitization Transaction, in each case provided that
such transactions are not otherwise prohibited by this Indenture; (vi)
transactions with distributors or other purchases or sales of goods or
services, in each case in the ordinary course of business and otherwise in
compliance with the terms of this Indenture which when taken together are fair
to the Company or the

 54
 

 

Restricted Subsidiaries as applicable, in the reasonable determination
of the Board of Managers of the Company or the senior management thereof, or
are on terms at least as favorable as might reasonably have been obtained at
such time from an unaffiliated party and (vii) Guarantees by the Company or a
Guarantor incurred in accordance with clause (xxii) of the definition of Permitted
Indebtedness.

Section 4.12                                Limitation
on Incurrence of Additional Indebtedness.

The Company will not, and will not permit any of its
Restricted Subsidiaries to, directly or indirectly, create, incur, assume,
guarantee, acquire, become liable, contingently or otherwise, with respect to,
or otherwise become responsible for payment of (collectively, “incur”) any
Indebtedness (other than Permitted Indebtedness); provided, however, if no
Default or Event of Default shall have occurred and be continuing at the time
of or as a consequence of the incurrence of any such Indebtedness, the Company
and its Restricted Subsidiaries may incur Indebtedness (including Acquired
Indebtedness) in each case if on the date of the incurrence of such Indebtedness,
after giving effect to the incurrence thereof, the Consolidated Fixed Charge
Coverage Ratio of the Company is greater than 2.0 to 1.0.

Section 4.13                                Limitation
on Dividend and Other Payment Restrictions Affecting Subsidiaries.

The Company will not, and will not cause or permit any
of its Restricted Subsidiaries to, directly or indirectly, create or otherwise
cause or permit to exist or become effective any encumbrance or restriction on
the ability of any Restricted Subsidiary of the Company to (a) pay dividends or
make any other distributions on or in respect of its Capital Stock; (b) make
loans or advances or to pay any Indebtedness or other obligation owed to the
Company or any other Restricted Subsidiary of the Company; or (c) transfer any
of its property or assets to the Company or any other Restricted Subsidiary of
the Company, except for such encumbrances or restrictions existing under or by
reason of:  (1) applicable law, rules,
regulations and/or orders; (2)  this Indenture (including, without
limitation, any Liens permitted hereunder); (3) customary non-assignment
provisions of any contract or any lease governing a leasehold interest of the
Company or any Restricted Subsidiary of the Company; (4) any agreements
existing at the time of any merger or consolidation with any Person,
acquisition of any Person or the properties or assets of such Person (including
agreements governing Acquired Indebtedness), which encumbrance or restriction
is not applicable to any Person, or the properties or assets of any Person,
other than the Person or the properties or assets of the Person merged or
consolidated with or so acquired or any Subsidiary of such Person; (5)
agreements existing on the Issue Date to the extent and in the manner such
agreements are in effect on such date and any amendments, modifications,
restatements, renewals, increases, supplements, refundings, replacements or
refinancings thereof, provided that such amendments, modifications,
restatements, increases, supplements, refundings, replacements or refinancings
are no more restrictive (as determined by the Board of Managers of the Company
in their reasonable and good faith judgment) in any material respect, taken as
a whole, with respect to such dividend and other payment restrictions than
those contained in such agreements or instruments as in effect on the Issue
Date; (6) restrictions imposed by any agreement to sell assets or Capital Stock
permitted under this Indenture to any Person pending the closing of such sale;
(7) any agreement or instrument governing Capital Stock of any

 55
 

 

Person that is acquired; (8) Indebtedness or other
contractual requirements of a Securitization Entity in connection with a
Qualified Securitization Transaction; provided that such restrictions apply
only to such Securitization Entity; (9) Liens incurred in accordance with the
covenant described under Section 4.18; (10) restrictions on cash or other
deposits or net worth imposed by customers under contracts entered into in the
ordinary course of business; (11) the Credit Facilities; (12) any restriction under
an agreement governing Indebtedness of a Foreign Subsidiary permitted under
Section 4.12; (13) customary restrictions in Capitalized Lease Obligations, security
agreements or mortgages securing Indebtedness of the Company or a Restricted
Subsidiary to the extent such restrictions restrict the transfer of the property
subject to such Capitalized Lease Obligations, security agreements or
mortgages; (14) customary provisions in joint venture agreements and other
similar agreements (in each case relating solely to the respective joint venture
or similar entity or the equity interests therein) entered into in the ordinary
course of business; (15) contracts entered into in the ordinary course of
business, not relating to Indebtedness, and that do not, individually or in the
aggregate, detract from the value of property or assets of the Company or any
Restricted Subsidiary in any manner material to the Company or any Restricted
Subsidiary; and (16) an agreement governing Indebtedness incurred to Refinance
the Indebtedness issued, assumed or incurred pursuant to an agreement referred
to in clause (2), (4), (5), (8), (11), (12) or (13) above; provided, however,
that the provisions relating to such encumbrance or restriction contained in
any such Indebtedness are no less favorable to the Company in any material
respect as determined by the Board of Managers of the Company in their
reasonable and good faith judgment than the provisions relating to such
encumbrance or restriction contained in agreements referred to in such clause
(2), (4), (5), (8), (11), (12) or (13).

Section 4.14                                Change
of Control.

(a)                                  Upon the occurrence
of a Change of Control, each Holder will have the right to require that the
Company purchase all or a portion (equal to $1,000 or €1,000, as applicable, or
an integral multiple thereof, provided that no Euro Notes of €50,000 or less
may remain outstanding thereafter) of such Holder’s Notes in cash pursuant to
the offer described below (the “Change of Control Offer”), at a purchase price
equal to 101% of the principal amount thereof plus accrued and unpaid interest,
if any, to the date of purchase.

(b)                                 Prior to the mailing
of the notice referred to below, but in any event within 30 days following any
Change of Control, the Company covenants to (i) repay in full and terminate all
commitments under Indebtedness under the Credit Facilities and all other Senior
Debt the terms of which require repayment upon a Change of Control or offer to
repay in full and terminate all commitments under all Indebtedness under the
Credit Facilities and all other such Senior Debt and to repay the Indebtedness
owed to each lender which has accepted such offer or (ii) obtain the requisite
consents under the Credit Facilities and all other Senior Debt to permit the
repurchase of the Notes as provided below. 
The Company shall first comply with the covenant in the immediately
preceding sentence before it shall be required to repurchase Notes pursuant to
the provisions described below.  The
Company’s failure to comply with the covenant described in the immediately
preceding sentence shall be governed by clause (3), and not clause (2), of
Section 6.01.

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(c)           Within
30 days following the date on which a Change of Control occurs (the “Change of
Control Date”), the Company shall send, by first class mail, postage prepaid, a
notice to each Holder of Notes at their last registered address and the
Trustee, which notice shall govern the terms of the Change of Control
Offer.  The notice to the Holders shall
contain all instructions and materials necessary to enable such Holders to
tender Notes pursuant to the Change of Control Offer.  Such notice shall state:

(1)           that the Change of Control Offer is
being made pursuant to Section 4.14 of this Indenture and that all Notes
validly tendered and not withdrawn will be accepted for payment;

(2)           the purchase price (including the
amount of accrued interest, if any) and the purchase date (which shall be no
earlier than 30 days nor later than 60 days from the date such notice is
mailed, other than as may be required by law) (the “Change of Control Payment
Date”);

(3)           that any Note not tendered will
continue to accrue interest;

(4)           that, unless the Company defaults in
making payment therefor, any Note accepted for payment pursuant to the Change
of Control Offer shall cease to accrue interest after the Change of Control
Payment Date;

(5)           that Holders electing to have a Note
purchased pursuant to a Change of Control Offer will be required to surrender
the Note, with the form entitled “Option of Holder to Elect Purchase” on the
reverse of the Note completed, to the Paying Agent and Registrar for the Notes
at the address specified in the notice prior to the close of business on the
third Business Day prior to the Change of Control Payment Date;

(6)           that Holders will be entitled to
withdraw their election if the Paying Agent receives, not later than the second
Business Day prior to the Change of Control Payment Date, a telegram, telex,
facsimile transmission or letter setting forth the name of the Holder, the
principal amount of the Notes the Holder delivered for purchase and a statement
that such Holder is withdrawing his election to have such Note purchased;

(7)           that Holders whose Notes are
purchased only in part will be issued new Notes of an appropriate series in a
principal amount equal to the unpurchased portion of the Notes surrendered; provided,
however, that each Note purchased and each new Note issued shall be in a
principal amount of $1,000 or €50,000, as applicable, or integral multiples of
$1,000 or €1,000 in excess thereof, as applicable; and

(8)           the circumstances and relevant facts
regarding such Change of Control.

(d)           On
or before the Change of Control Payment Date, the Company shall (i) accept for
payment Notes or portions thereof (in integral multiples of $1,000 and €1,000)
validly tendered pursuant to the Change of Control Offer, (ii) deposit with the
Paying Agent in accordance with Section 2.14 U.S. Legal Tender and/or euros
sufficient to pay the purchase price plus

 57
 

 

accrued and unpaid interest, if any, of all Notes to be purchased and
(iii) deliver to the Trustee Notes so accepted together with an Officers’
Certificate stating the Notes or portions thereof being purchased by the
Company.  Upon receipt by the Paying
Agent of the monies specified in clause (ii) above and a copy of the Officers’
Certificate specified in clause (iii) above, the Paying Agent shall promptly
pay to the Holders of Notes so accepted payment in an amount equal to the
purchase price plus accrued and unpaid interest, if any, out of the funds
deposited with the Paying Agent in accordance with the preceding sentence.  The Trustee shall promptly authenticate and
mail or cause to be transferred by book-entry to such Holders new Notes equal
in principal amount to any unpurchased portion of the Notes surrendered, provided
that each such new Note will be in the same currency as the surrendered Note
and in a principal amount of $1,000 or €50,000, as applicable, or integral
multiples of $1,000 or €1,000 in excess thereof, as applicable.  Upon the payment of the purchase price for
the Notes accepted for purchase, the Trustee shall return the Notes purchased
to the Company for cancellation.  Any monies
remaining after the purchase of Notes pursuant to a Change of Control Offer
shall be returned within three Business Days by the Trustee to the Company
except with respect to monies owed as obligations to the Trustee pursuant to Article
Seven.  For purposes of this Section
4.14, the Trustee shall act as the Paying Agent for the Dollar Notes and the
Euro Paying Agent shall act as Paying Agent for the Euro Notes.

(e)           The
Company will comply with the requirements of Rule 14e-1 under the Exchange Act and
any other securities laws and regulations thereunder to the extent such rule,
laws and regulations are applicable in connection with the purchase of the
Notes pursuant to a Change of Control Offer. 
To the extent the provisions of any securities laws and regulations
conflict with the provisions of this Indenture relating to a Change of Control
Offer, the Company shall comply with the applicable securities laws and
regulations and shall not be deemed to have breached its obligations relating
to such Change of Control Offer by virtue thereof.

(f)            The
Company will not be required to make a Change of Control Offer upon a Change of
Control if a third party makes the Change of Control Offer in the manner, at
the times and otherwise in compliance with the requirements set forth in this
Indenture with respect to a Change of Control Offer made by the Company and
purchases all Notes validly tendered and not withdrawn under such Change of
Control Offer.

Section 4.15           Limitation
on Asset Sales.  The Company will
not, and will not permit any of its Restricted Subsidiaries to, consummate an
Asset Sale unless

(a)           the Company or the applicable
Restricted Subsidiary receives consideration at the time of such Asset Sale at
least equal to the Fair Market Value of the assets sold or otherwise disposed
of as determined in good faith by the Company’s Board of Managers;

(b)           at least 75% (or, in the case of an
Asset Sale consisting of assets used or useful in a business similar or related
to the Pigments business of the Company and its Subsidiaries, 65%) of the
consideration received by the Company or the applicable Restricted Subsidiary
from such Asset Sale shall be in the form of cash or Cash Equivalents, and is
received at the time of the Asset Sale (which shall be deemed to include other
consideration converted to cash or Cash Equivalents within 90 days of such
Asset Sale).  For

 58
 

 

the purposes
of this provision, the amount of any liabilities shown on the most recent applicable
balance sheet of the Company or the applicable Restricted Subsidiary, other
than liabilities that are by their terms subordinated to the Notes, that are
assumed by the transferee of any such assets will be deemed to be cash for
purposes of this provision; and (iii) upon the consummation of an Asset Sale,
the Company shall apply, or cause such applicable Restricted Subsidiary to
apply, the Net Cash Proceeds relating to such Asset Sale within 415 days of
having received the Net Cash Proceeds;

(c)           additionally, the Company may apply
the Net Cash Proceeds either (i)  to
prepay any Senior Debt, Guarantor Senior Debt or Indebtedness of a Restricted
Subsidiary that is not a Guarantor and, in the case of any such Indebtedness
under any revolving credit facility, effect a permanent reduction in the
availability under such revolving credit facility, and/or (ii) to prepay any
Pari Passu Indebtedness of the Company, and, in the case of any such
Indebtedness under any revolving credit facility, effect a permanent reduction
in the availability under such revolving credit facility; and/or to (iii) make
an investment in or expenditures for properties and assets (including Capital
Stock of any entity) that replace the properties and assets that were the
subject of the Asset Sale or in properties and assets (including Capital Stock
of any entity) that will be used in the business of the Company and its
Subsidiaries as existing on the Issue Date or in businesses reasonably related
thereto (“Replacement Assets”) and/or (iv) make an acquisition of all of the
capital stock or assets of any Person or division conducting a business
reasonably related to that of the Company or its Subsidiaries.  On the 416th day after an Asset Sale or any
earlier date, if any, on which the Board of Managers of the Company or of the applicable
Restricted Subsidiary determines not to apply the Net Cash Proceeds in accordance
with the above provisions of this clause (c) (each, a “Net Proceeds Offer
Trigger Date”), such aggregate amount of Net Cash Proceeds which have not been
applied or contractually committed to be applied (and to the extent not subsequently
applied, the Net Proceeds Offer Trigger Date related thereto shall be deemed to
be the date of termination of such contractual commitment or any earlier date,
if any, on which the Board of Managers of the Company or the board of the
applicable Restricted Subsidiary determines not to apply the Net Cash Proceeds
in accordance with such contractual commitment) on or before such Net Proceeds
Offer Trigger Date as permitted by the above provisions of this clause (c) (the
“Net Proceeds Offer Amount”) shall be applied by the Company or such Restricted
Subsidiary to make an offer to purchase (or repay, prepay or redeem, as the
case may be) (the “Net Proceeds Offer”) on a date (the “Net Proceeds Offer
Payment Date”) that is not less than 30 nor more than 45 days following the
applicable Net Proceeds Offer Trigger Date, from all Holders and all holders of
Indebtedness that is equal in right of payment with the Notes and contains
provisions requiring that an offer to purchase such other Indebtedness be made
with the proceeds of the Asset Sale, on a pro rata basis, the maximum principal
amount of Notes and other Indebtedness that may be purchased with the Net
Proceeds Offer Amount.  Notwithstanding
the foregoing, the obligation to make a Net Proceeds Offer shall be suspended
until such time as the aggregate amount of the Net Proceeds Offer Amount is
equal to or exceeds $75 million.  The
offer price in any Net Proceeds Offer will be equal to 100% of the principal
value of the Notes to be purchased, plus any accrued and unpaid interest to the
date of purchase.  The following events
will be deemed to constitute an Asset Sale and the Net Cash Proceeds for

 59
 

 

such Asset
Sale must be applied in accordance with this section 4.15: in the event any
non-cash consideration received by the Company or any Restricted Subsidiary of
the Company in connection with any Asset Sale is converted into or sold or
otherwise disposed of for cash (other than interest received with respect to
any such non-cash consideration), or in the event of the transfer of substantially
all (but not all) of the property and assets of the Company and its Restricted
Subsidiaries as an entirety to a Person in a transaction permitted under
Section 5.01 and as a result thereof the Company is no longer an obligor on the
Notes, the successor corporation shall be deemed to have sold the properties
and assets of the Company and its Restricted Subsidiaries not so transferred
for purposes of this Section 4.15, and shall comply with the provisions of this
covenant with respect to such deemed sale as if it were an Asset Sale.  In addition, the Fair Market Value of such
properties and assets of the Company or its Restricted Subsidiaries deemed to
be sold shall be deemed to be Net Cash Proceeds for purposes of this
Section 4.15; and

(d)           notwithstanding the immediately
preceding paragraphs, the Company and its Restricted Subsidiaries may
consummate an Asset Sale without complying with such paragraphs to the extent
(i) at least 75% of the consideration for such Asset Sale constitutes
Replacement Assets and (ii) such Asset Sale is for Fair Market Value; provided,
however, that any consideration that does not constitute Replacement Assets
that is received by the Company or any of its Restricted Subsidiaries in
connection with any Asset Sale permitted under this paragraph shall constitute
Net Cash Proceeds and will be subject to the provisions described in the
preceding paragraphs.

(e)           each notice of a Net Proceeds Offer
pursuant to this Section 4.15 shall be mailed, by first-class mail, by the
Company to Holders of Notes at their last registered address not more than 30
days following the Net Proceeds Offer Trigger Date, with a copy to the
Trustee.  The notice shall contain all
instructions and materials necessary to enable such Holders to tender Notes
pursuant to the Net Proceeds Offer and shall state the following terms:

(1)           that the Net Proceeds Offer is being
made pursuant to Section 4.15 of this Indenture, that all Notes tendered will
be accepted for payment; provided that no Euro Notes of €50,000 or less
may remain outstanding thereafter; provided, however, that if the
aggregate principal amount of Notes tendered in a Net Proceeds Offer plus
accrued interest at the expiration of such offer exceeds the aggregate amount
of the Net Proceeds Offer, the Company shall select the Notes to be purchased
on a pro rata basis (with such adjustments as may be deemed appropriate by the
Company so that only Notes in denominations of $1,000 or €1,000, as applicable,
or multiples thereof shall be purchased) and that the Net Proceeds Offer shall
remain open for a period of 20 Business Days or such longer periods as may be required
by law;

(2)           the purchase price (including the
amount of accrued interest) and the Net Proceeds Offer Payment Date (which
shall be not less than 30 nor more than 45 days following the applicable Net
Proceeds Offer Trigger Date and which

 60
 

 

shall be at least
five Business Days after the Trustee receives notice thereof from the Company);

(3)           that any Note not tendered will
continue to accrue interest;

(4)           that, unless the Company defaults in
making payment therefor, any Note accepted for payment pursuant to the Net
Proceeds Offer shall cease to accrue interest after the Net Proceeds Offer
Payment Date;

(5)           that Holders electing to have a Note
purchased pursuant to a Net Proceeds Offer will be required to surrender the
Note, with the form entitled “Option of Holder to Elect Purchase” on the
reverse of the Note completed, to the Paying Agent at the address specified in
the notice prior to the close of business on the third Business Day prior to
the Net Proceeds Offer Payment Date;

(6)           that Holders will be entitled to
withdraw their election if the Paying Agent receives, not later than the second
Business Day prior to the Net Proceeds Offer Payment Date, a telegram, telex,
facsimile transmission or letter setting forth the name of the Holder, the
principal amount of the Notes the holder delivered for purchase and a statement
that such Holder is withdrawing his election to have such Note purchased; and

(7)           that Holders whose Notes are
purchased only in part will be issued new Notes of the appropriate series in a
principal amount equal to the unpurchased portion of the Note surrendered; provided,
however, that each new Note issued shall be in an original principal
amount of $1,000 or €1,000, as applicable; provided, further, however,
that no Euro Note of €50,000 or less may remain outstanding thereafter.

On or before the Net Proceeds Offer Payment Date, the
Company shall (i) accept for payment Notes or portions thereof (in integral multiples
of $1,000 and €1,000; provided, that no Euro Note of €50,000 or less may
remain outstanding thereafter) validly tendered pursuant to the Net Proceeds
Offer, (ii) deposit with the Paying Agent, in accordance with Section 2.14,
U.S. Legal Tender (in the case of Dollar Notes) and/or euros (in the case of
Euro Notes) sufficient to pay the purchase price plus accrued and unpaid
interest, if any, of all Notes to be purchased and (iii) deliver to the Trustee
Notes so accepted together with an Officers’ Certificate stating the Notes or
portions thereof being purchased by the Company.  Upon receipt by the Paying Agent of the
monies specified in clause (ii) above and a copy of the Officers’ Certificate
specified in clause (iii) above, the Paying Agent shall promptly pay to the
Holders of Notes so accepted payment in an amount equal to the purchase price
plus accrued and unpaid interest, if any, out of the funds deposited with the
Paying Agent in accordance with the preceding sentence.  The Trustee shall promptly authenticate and
mail to such Holders new Notes equal in principal amount to any unpurchased
portion of the Notes surrendered.  Upon
the payment of the purchase price for the Notes accepted for purchase, the
Trustee shall cancel such Notes pursuant to Section 2.11 of this
Indenture.  Any monies remaining after
the purchase of Notes pursuant to a Net Proceeds Offer shall be returned within
three Business Days by the Trustee to the Company except with respect to monies
owed as obligations to the Trustee pursuant to Article Seven.  For purposes of this

 61
 

 

Section 4.15, the Trustee shall act as the Paying
Agent for the Dollar Notes and the Euro Paying Agent shall act as the Paying
Agent for the Euro Notes.

To the extent the amount of Notes tendered pursuant to
any Net Proceeds Offer is less than the amount of Net Cash Proceeds subject to
such Net Proceeds Offer, the Company may use any remaining portion of such Net
Cash Proceeds not required to fund the repurchase of tendered Notes for general
corporate purposes and such Net Proceeds Offer Amount shall be reset to zero.

The Company will comply with the requirements of Rule
14e-1 under the Exchange Act and any other securities laws and regulations
thereunder to the extent such rule, laws and regulations are applicable in
connection with the repurchase of Notes pursuant to a Net Proceeds Offer.  To the extent the provisions of any
securities laws and regulations conflict with the provisions of this Indenture
relating to a Net Proceeds Offer, the Company shall comply with the applicable
securities laws and regulations and shall not be deemed to have breached its
obligations relating to such Net Proceeds Offer by virtue thereof.

Section 4.16           Prohibition
on Incurrence of Senior Subordinated Debt.

The Company will not incur or suffer to exist
Indebtedness that is senior in right of payment to the Notes and subordinate in
right of payment to any other Indebtedness of the Company.

For purposes of the foregoing the phrase “subordinate
in right of payment” means debt subordination only and not lien subordination,
and accordingly, (i) unsecured indebtedness shall not be deemed to be
subordinated in right of payment to secured indebtedness merely by virtue of
the fact that it is unsecured and (ii) junior liens, second liens and other
contractual arrangements that provide for priorities among holders of the same
or different issues of indebtedness with respect to any collateral or the
proceeds of collateral shall not constitute subordination in right of payment.

Section 4.17           Limitation
on Preferred Stock of Restricted Subsidiaries.

The Company will not permit any of its Restricted
Subsidiaries to issue any Preferred Stock (other than to the Company or to
another Restricted Subsidiary of the Company) or permit any Person (other than
the Company or a Restricted Subsidiary of the Company) to own any Preferred
Stock of any Restricted Subsidiary of the Company; provided, however,
that any Person that is not a Restricted Subsidiary of the Company may issue
Preferred Stock to equity holders of such Person in exchange for equity
interests if after such issuance such Person becomes a Restricted Subsidiary of
the Company.

Section 4.18           Limitation
on Liens.

The Company shall not, and shall not permit any of its
Restricted Subsidiaries to create, incur, or otherwise cause or suffer to exist
or become effective any Liens of any kind upon any property or assets of the
Company or any Restricted Subsidiary now owned or hereafter acquired, which
secures Pari Passu Indebtedness or Indebtedness subordinated to the Notes

 62
 

 

unless such Indebtedness is incurred in accordance
with this Indenture and (i) if such Lien secures Pari Passu Indebtedness of the
Company, then the Notes are secured on an equal and ratable basis with the
obligations so secured until such time as such obligation is no longer secured
by a Lien or (ii) if such Lien secures Indebtedness which is subordinated to
the Notes, any such Lien shall be subordinated to a Lien granted to the Holders
in the same collateral as that securing such Lien to the same extent as such
subordinated Indebtedness is subordinated to the Notes.

Section 4.19           Limitation
of Guarantees by Restricted Subsidiaries.

The Company will not permit any of its Restricted
Subsidiaries, directly or indirectly, by way of the pledge of any intercompany
note or otherwise, to assume, guarantee or in any other manner become liable
with respect to any Indebtedness of the Company or any other Restricted Subsidiary
(other than (A) Indebtedness under Commodity Agreements and Currency Agreements
in reliance on clause (v) of the definition of Permitted Indebtedness, (B)
Interest Swap Obligations incurred in reliance on clause (iv) of the definition
of Permitted Indebtedness, (C) any guarantee by a Foreign Subsidiary of
Indebtedness of another Foreign Subsidiary permitted under Section 4.12), or
(D) any guarantee of Acquired Indebtedness of a person by any Subsidiary
of such person which guarantee constitutes Acquired Indebtedness, unless, in
any such case (a) such Restricted Subsidiary that is not a Guarantor executes
and delivers a supplemental indenture to this Indenture, providing a Guarantee
by such Restricted Subsidiary, (b) if any such assumption, guarantee or other
liability by such Restricted Subsidiary is provided in respect of Pari Passu Indebtedness,
then the guarantee or other instrument provided by such Restricted Subsidiary
in respect of such Pari Passu Indebtedness shall be pari passu in right of payment
with the Guarantees and (c) any such assumption, guarantee or other liability
of such Restricted Subsidiary that is provided in respect of Indebtedness that
is expressly subordinated to the Notes shall be subordinated to the Guarantees
pursuant to subordination provisions no less favorable in any material respect
to the Holders than the subordination provisions contained in this Indenture.

Section 4.20           Conduct
of Business.

The Company and its Restricted Subsidiaries (other
than a Securitization Entity) will not engage in any businesses which are not
the same, similar or related to the businesses in which the Company and its
Restricted Subsidiaries were engaged on the Issue Date, except to the extent
that after engaging in any new business, the Company and its Restricted
Subsidiaries, taken as a whole, remain substantially engaged in similar lines
of business as were conducted by them on the Issue Date.

Section 4.21           Covenant
Termination.

After such time as (i) the Notes have been
assigned an Investment Grade Rating by either Rating Agency (the “Investment
Grade Rating Date”) and (ii) no Default or Event of Default under this
Indenture shall have occurred and be continuing, and notwithstanding that the
Notes may later cease to have an Investment Grade Rating by any Rating Agency,
the Company and its Restricted Subsidiaries shall no longer be subject to the
following sections:  Section 4.03,
Section 4.11, Section 4.12, Section 4.13, Section 4.15, Section 4.16, Section
4.17, Section 4.19, Section 4.20 and Section 5.01(a)(iii) or (c)(iii).  Notice of such covenant termination shall be
provided in writing to the Trustee.

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ARTICLE V

 

SUCCESSOR
CORPORATION

Section 5.01           Merger,
Consolidation and Sale of Assets.

(a)           The
Company shall not, in a single transaction or a series of related transactions,
consolidate or merge with or into any Person, or sell, transfer or otherwise
dispose of (or permit any Restricted Subsidiary of the Company to sell, assign,
transfer, lease, convey or otherwise dispose of) all or substantially all of
the Company’s assets (determined on a consolidated basis for the Company and
its Restricted Subsidiaries), unless:

(i)      either (1) the Company shall be the
surviving or continuing entity or (2) the Person (if other than the Company)
formed by such consolidation or merger shall be an entity organized and validly
existing under the laws of the United States or any State thereof or the
District of Columbia (the “Surviving Entity”)

(ii)     the Surviving Entity, if any, expressly
assumes, by supplemental indenture (in form and substance satisfactory to the
Trustee), all rights and obligations of the Company under the Notes and this
Indenture;

(iii)    immediately after giving effect to such
transaction either (a) the Company or the Surviving Entity shall be able to
incur at least $1.00 of additional Indebtedness (other than Permitted Indebtedness)
pursuant to Section 4.12 or (b) the Consolidated Fixed Charge Coverage
Ratio of the Company or the Surviving Entity would be greater than the
Consolidated Fixed Charge Coverage Ratio of the Company determined immediately
prior to such transaction;

(iv)    immediately before and after giving effect
to such transaction, including the assumption of the Notes, no Default or Event
of Default occurred or exists; and

(v)     the Company or the Surviving Entity shall
have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel stating that all conditions precedent in this Indenture relating to
such transaction have been satisfied.

(b)           For
purposes of this Section 5.01, the transfer (by lease, assignment, sale or
otherwise, in a single transaction or series of related transactions) of all or
substantially all of the properties and assets of one or more Restricted
Subsidiaries of the Company, the Capital Stock of which constitutes all or
substantially all of the properties or assets of the Company, will be deemed to
be the transfer of all or substantially all of the properties and assets of the
Company.

(c)           Each
Guarantor (other than any Guarantor whose Guarantee is to be released in
accordance with the terms of the Guarantee and this Indenture in connection
with any transaction complying with the provisions of Section 4.15) will not,
and the Company will not cause or permit any Guarantor to, consolidate with or
merge with or into any Person other than the Company or any other Guarantor
unless: (i) the entity formed by or surviving any such

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consolidation or merger (if other than the Guarantor) or to which such
sale, lease, conveyance or other disposition shall have been made assumes by
supplemental indenture all of the obligations of the Guarantor on its
Guarantee; (ii) immediately after giving effect to such transaction, no Default
or Event of Default shall have occurred and be continuing; and (iii)
immediately after giving effect to such transaction and the use of any net
proceeds therefrom on a pro forma basis, the Company could satisfy the provisions
of Section 5.01(a)(iii).  Any merger or
consolidation of a Guarantor with and into the Company (with the Company being
the surviving entity) or another Guarantor need not comply with clause (a)
above.

Notwithstanding anything in this Section 5.01 to the
contrary, (a) the Company may merge with an Affiliate that has no material
assets or liabilities and that is incorporated or organized solely for the
purpose of reincorporating or reorganizing the Company in another state of the
United States or the District of Columbia without complying with Section
5.01(a)(iii) and (b) any transaction characterized as a merger under applicable
state law where each of the constituent entities survives, shall not be treated
as a merger for purposes of this covenant, but shall instead be treated as (x)
an Asset Sale, if the result of such transaction is the transfer of assets by
the Company or a Restricted Subsidiary, or (y) an Investment, if the result of
such transaction is the acquisition of assets by the Company or a Restricted
Subsidiary.

Section 5.02           Successor
Corporation Substituted.

Upon any consolidation, combination or merger, or any
transfer of all or substantially all of the assets of the Company in accordance
with Section 5.01 in which the Company is not the Surviving Entity, the
successor Person formed by such consolidation or into which the Company is
merged or to which such conveyance, lease or transfer is made shall succeed to,
and be substituted for, and may exercise every right and power of, the Company
under this Indenture and the Notes with the same effect as if such Surviving
Entity had been named as such.

ARTICLE
VI

DEFAULT
AND REMEDIES

Section 6.01           Events
of Default.

Each of the following shall be an “Event of Default”:

(1)           the
failure to pay interest any Notes when the same becomes due and payable and
such Default continues for a period of 30 days (whether or not such payment
shall be prohibited by the subordination provisions described under Article
Ten);

(2)           the
failure to pay principal on any Notes, when such principal becomes due and
payable, at maturity, upon redemption or otherwise (including the failure to
make a payment when due to purchase the Notes tendered pursuant to a Change of
Control Offer or a Net Proceeds Offer) (whether or not such payment shall be
prohibited by the subordination provisions described under Article Ten);

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(3)           the
failure of the Company or any Guarantor to comply with any covenant or
agreement contained in this Indenture, which default continues for a period of
60 days after the Company receives a written notice specifying the default (or
120 days after such a notice in the event of a Default under Section 4.09) (and
demanding that such default be remedied) from the Trustee or the Holders of at
least 25% of the outstanding principal amount of the Notes (including any
Additional Notes subsequently issued under this Indenture) (except in the case
of a default with respect to Section 5.01, which will constitute an Event of
Default with such notice requirement but without such passage of time requirement);

(4)           the
occurrence of any default under any agreement governing Indebtedness of the
Company or any of its Restricted Subsidiaries, if that default:  (A) is caused by the failure to pay at final
maturity the principal amount of any Indebtedness after giving effect to any
applicable grace periods and any extensions of time for payment of such
Indebtedness; or (B) results in the acceleration of the final stated maturity of any
such Indebtedness, and in each case if the aggregate principal amount of
such Indebtedness unpaid or accelerated aggregates $100.0 million or more at
any time and such Indebtedness has not been discharged in full or such
acceleration has not been rescinded or annulled within 30 days of such final
maturity or acceleration;

(5)           the
failure of the Company or any of the Guarantors to pay or otherwise discharge
or stay one or more judgments in an aggregate amount exceeding $100.0 million
(which are not covered by indemnities or third party insurance as to which the
Person giving such indemnity or such insurer has not disclaimed coverage) for a
period of 60 days after such judgments become final and non-appealable;

(6)           the
Company or any Restricted Subsidiary which is also a Significant Subsidiary (A)
commences a voluntary case or proceeding under any Bankruptcy Law with respect
to itself, (B) consents to the entry of a judgment, decree or order for relief
against it in an involuntary case or proceeding under any Bankruptcy Law, (C)
consents to the appointment of a custodian of it or for substantially all of
its property, (D) consents to or acquiesces in the institution of a bankruptcy
or an insolvency proceeding against it or (E) makes a general assignment for
the benefit of its creditors;

(7)           a
court of competent jurisdiction enters a judgment, decree or order for relief
in respect of the Company or any Restricted Subsidiary which is also a Significant
Subsidiary in an involuntary case or proceeding under any Bankruptcy Law, which
shall (A) approve as properly filed a petition seeking reorganization,
arrangement, adjustment or composition in respect of the Company or any
Significant Subsidiary, (B) appoint a custodian of the Company or any
Significant Subsidiary or for substantially all of its property or (C) order
the winding-up or liquidation of its affairs; and such judgment, decree or
order shall remain unstayed and in effect for a period of 60 consecutive days;
or

(8)           the
failure of any Guarantee of any Significant Subsidiary of the Company to be in
full force and effect (other than as provided in accordance with the terms of
such Guarantee and this Indenture) or any of the Guarantors denies its
liability under its Guarantee.

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Section 6.02           Acceleration.

(a)           If an Event of Default of the type
described in Section 6.01(6) or (7) occurs with respect to the Company and is
continuing, then all unpaid principal of, and premium, if any, and accrued and
unpaid interest on all of the outstanding Notes (including any Additional Notes
subsequently issued under this Indenture) will become immediately due and
payable without further action or notice. 
If any other Event of Default occurs and is continuing, then the Trustee
or the Holders of at least 25% in principal amount of outstanding Notes
(including any Additional Notes subsequently issued under this Indenture) may
declare the principal of and accrued interest on all the Notes to be due and
payable by notice in writing (the “Acceleration Notice”) to the Company and the
Trustee, which notice must also specify that it is a “notice of acceleration.”  In that event, the Notes will become
immediately due and payable unless, if there are any amounts outstanding under
the Designated Senior Debt, then the Notes will become immediately due and
payable only upon the first to occur of (i) an acceleration under the Designated
Senior Debt or (ii) five (5) business days after receipt by the Company and the
Representative under the Designated Senior Debt of such Acceleration Notice.

(b)           At any time after a declaration of
acceleration with respect to the Notes as described in Section 6.02(a), the
Holders of a majority in principal amount of the Notes (including any
Additional Notes) may rescind and cancel such declaration and its consequences:

(1)           if the rescission would not conflict
with any judgment or decree;

(2)           if all existing Events of Default
have been cured or waived except nonpayment of principal or interest that has
become due solely because of the acceleration;

(3)           to the extent the payment of such
interest is lawful, interest on overdue installments of interest and overdue
principal, which has become due otherwise than by such declaration of
acceleration, has been paid;

(4)           if the Company has paid the Trustee
its reasonable compensation and reimbursed the Trustee for its expenses,
disbursements and advances; or

(5)           in the event of the cure or waiver of
an Event of Default of the type described in Section 6.01(6) or (7), the
Trustee shall have received an Officers’ Certificate that such Event of Default
has been cured or waived.

No such rescission
shall affect any subsequent Default or impair any right consequent thereto.

Section 6.03           Other Remedies.

If an Event of Default
occurs and is continuing, the Trustee may pursue any available remedy by
proceeding at law or in equity to collect the payment of principal of, premium,
if any, or accrued and unpaid interest on the Notes or to enforce the
performance of any provision of the Notes or this Indenture.

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The Trustee may maintain
a proceeding even if it does not possess any of the Notes or does not produce
any of them in the proceeding.  A delay
or omission by the Trustee or any Noteholder in exercising any right or remedy
accruing upon an Event of Default shall not impair the right or remedy or constitute
a waiver of or acquiescence in the Event of Default.  No remedy is exclusive of any other
remedy.  All available remedies are
cumulative to the extent permitted by law.

Section 6.04           Waiver of Past Defaults.

Subject to Sections 6.07
and 9.02, the Holders of a majority in aggregate principal amount of the Notes
(including the aggregate principal amount of any Additional Notes subsequently
issued under this Indenture) by notice to the Trustee may waive any existing
Default or Event of Default hereunder and its consequences, except a Default in
the payment of the principal of or interest on any Note as specified in clauses
(1) and (2) of Section 6.01; provided that a Default or Event of Default
due to failure to comply with Section 4.09 shall be deemed to be cured upon
filing by the Company (or, if applicable, Huntsman Corporation) of the reports
in compliance with Section 4.09.

Section 6.05           Control by Majority.

Subject to Section 2.09,
the Holders of a majority in aggregate principal amount of the then outstanding
Notes may 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 it, including, without limitation, any remedies provided for in Section
6.03.  Subject to Section 7.01, however,
the Trustee may, in its discretion, refuse to follow any direction that
conflicts with any law or this Indenture, that the Trustee determines may be
unduly prejudicial to the rights of another Holder (it being understood that the
Trustee shall have no duty to ascertain whether or not such actions or
forbearances are unduly prejudicial to such Holders) or that may involve the
Trustee in personal liability; provided, however, that the Trustee may take any
other action deemed proper by the Trustee, in its discretion, that is not
inconsistent with such direction.

Prior to taking any
action hereunder, the Trustee shall be entitled to indemnification by the Holders
satisfactory to it in its sole discretion against all losses and expenses
caused by taking or not taking such action

Section 6.06           Limitation on Suits.

A Holder may not pursue
any remedy with respect to this Indenture or the Notes unless:

(1)           the
Holder gives to the Trustee notice of a continuing Event of Default;

(2)           Holders
of at least 25% in aggregate principal amount of the then outstanding Notes
make a written request to the Trustee to pursue the remedy;

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(3)           such
Holders offer to the Trustee indemnity or security against any loss, liability
or expense to be incurred in compliance with such request which is satisfactory
to the Trustee;

(4)           the
Trustee does not comply with the request within 45 days after receipt of the
request and the offer of satisfactory indemnity or security; and

(5)           during
such 45-day period the Holders of a majority in aggregate principal amount of
the then outstanding Notes do not give the Trustee a direction which, in the
opinion of the Trustee, is inconsistent with the request.

A Holder may not use this
Indenture to prejudice the rights of another Holder or to obtain a preference
or priority over such other Holder.

Section 6.07           Rights of Holders To Receive
Payment.

Notwithstanding any other
provision of this Indenture, the right of any Holder to receive payment of
principal of, premium and interest on a Note, on or after the respective due
dates expressed in such Note, or to bring suit for the enforcement of any such
payment on or after such respective dates, shall not be impaired or affected
without the consent of such Holder.

Section 6.08           Collection Suit by Trustee.

If an Event of Default in
payment of principal or interest specified in clause (1) or (2) of Section 6.01
occurs and is continuing, the Trustee may recover judgment in its own name and
as trustee of an express trust against the Company or any other obligor on the
Notes for the whole amount of principal and accrued interest remaining unpaid,
together with interest on overdue principal and, to the extent that payment of
such interest is lawful, interest on overdue installments of interest at the
rate set forth in the Notes and such further amount as shall be sufficient to
cover the costs and expenses of collection, including the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel.

Section 6.09           Trustee May File Proofs of Claim.

The Trustee may file such
proofs of claim and other papers or documents as may be necessary or advisable
in order to have the claims of the Trustee (including any claim for the
reasonable compensation, expenses, taxes, disbursements and advances of the
Trustee, its agents and counsel) and the Holders allowed in any judicial
proceedings relating to the Company or any other obligor upon the Notes, any of
their respective creditors or any of their respective property, and shall be
entitled and empowered to collect and receive any monies or other property
payable or deliverable on any such claims and to distribute the same, and any
custodian in any such judicial proceedings is hereby authorized by each Holder
to make such payments to the Trustee and, in the event that the Trustee shall
consent to the making of such payments directly to the Holders, to pay to the
Trustee any amount due to it for the reasonable compensation, expenses, taxes,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 7.07.  The Company’s payment obligations under this
Section 6.09 shall be secured in accordance with the provisions of Section
7.07.  Nothing herein contained

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shall be deemed to
authorize the Trustee to authorize or consent to or accept or adopt on behalf
of any Holder any plan of reorganization, arrangement, adjustment or
composition affecting the Notes or the rights of any Holder thereof, or to
authorize the Trustee to vote in respect of the claim of any Holder in any such
proceeding.

Section 6.10           Priorities.

If the Trustee collects
any money or property pursuant to this Article Six, it shall pay out the money
in the following order:

First:  to the Trustee, its agents and attorneys for
amounts due under Sections 6.09 and 7.07;

Second:  if the Holders are forced to proceed against
the Company directly without the Trustee, to Holders for their collection
costs;

Third:  to Holders for amounts due and unpaid on the
Notes for principal, premium, if any, and interest, ratably, without preference
or priority of any kind, according to the amounts due and payable on the Notes
for principal, premium, if any, and interest, respectively; and

Fourth:  to the Company or any other obligor on the
Notes, as their interests may appear, or as a court of competent jurisdiction
may direct.

The Trustee, upon prior
notice to the Company, may fix a record date and payment date for any payment
to Holders pursuant to this Section 6.10.

Section 6.11           Undertaking for Costs.

In any suit for the
enforcement of any right or remedy under this Indenture or in any suit against
the Trustee for any action taken or omitted by it as Trustee, a court in its
discretion may require the filing by any party litigant in the suit of an
undertaking to pay the costs of the suit, and the court in its discretion may
assess reasonable costs, including reasonable attorneys’ fees, against any
party litigant in the suit, having due regard to the merits and good faith of
the claims or defenses made by the party litigant.  This Section 6.11 does not apply to a suit by
the Trustee, a suit by a Holder pursuant to Section 6.06 or 6.07.

Section 6.12           Expenses and Services After an
Event of Default.

When the Trustee incurs
expenses or renders services after the occurrence of an Event of Default
described in this Article VI, the expenses and compensation for services are intended
to constitute expenses of administration under any bankruptcy law.

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ARTICLE
VII

TRUSTEE

Section 7.01                                Duties
of Trustee.

(a)                                  If a Default or an
Event of Default has occurred and is continuing, the Trustee shall exercise
such rights and powers vested in it by this Indenture and use the same degree
of care and skill in its exercise thereof as a prudent Person would exercise or
use under the circumstances in the conduct of its own affairs.

(b)                                 Except during the
continuance of a Default or an Event of Default:

(1)                                  The
Trustee need perform only those duties as are specifically set forth in this Indenture
or the TIA and no duties, covenants, responsibilities or obligations shall be implied
in this Indenture that are adverse to the Trustee.

(2)                                  In
the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed
therein, upon certificates (including Officers’ Certificates) or opinions
(including Opinions of Counsel) furnished to the Trustee and conforming to the
requirements of this Indenture.  However,
as to any certificates or opinions which are required by any provision of this
Indenture to be delivered or provided to the Trustee, the Trustee shall examine
the certificates and opinions to determine whether or not they conform to the
requirements of this Indenture but need not confirm or investigate the accuracy
or mathematical calculations or other facts stated therein or otherwise verify
the contents thereof.

(c)                                  Notwithstanding
anything to the contrary herein contained, the Trustee may not be relieved from
liability for its own negligent action, its own negligent failure to act, or
its own willful misconduct, except that:

(1)                                  This
paragraph does not limit the effect of paragraph (b) of this Section 7.01.

(2)                                  The
Trustee shall not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it is proved that the Trustee was negligent in
ascertaining the pertinent facts.

(3)                                  The
Trustee shall not be liable with respect to any action it takes or omits to
take in good faith in accordance with a direction received by it pursuant to Section
6.02, 6.04 or 6.05.

(d)                                 No provision of this
Indenture shall require the Trustee to expend or risk its own funds or otherwise
incur any financial liability in the performance of any of its duties hereunder
or in the exercise of any of its rights or powers if it shall have reasonable
grounds for believing that repayment of such funds or adequate indemnity
against such risk or liability is not reasonably assured to it.

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(e)                                  Every provision of this
Indenture that in any way relates to the Trustee is subject to paragraphs (a),
(b), (c) and (d) of this Section 7.01.

(f)                                    The Trustee shall
not be liable for interest on any money or assets received by it except as the
Trustee may agree with the Company. 
Assets held in trust by the Trustee need not be segregated from other
assets except to the extent required by law.

Section 7.02                                Rights
of Trustee.

Subject to Section 7.01:

(a)                                  In
the absence of bad faith, negligence or willful misconduct on the part of the
Trustee, the Trustee may conclusively rely and shall be fully protected in
acting or refraining from acting upon any document believed by it to be genuine
and to have been signed or presented by the proper Person.  The Trustee need not investigate any fact or
matter stated in the document.

(b)                                 Before
the Trustee acts or refrains from acting, it may consult with counsel and may
require an Officers’ Certificate or an Opinion of Counsel, which shall conform
to Sections 13.04 and 13.05.  The Trustee
shall not be liable for and shall be fully protected in respect of any action
it takes or omits to take in good faith in reliance on such Officers’
Certificate, or an Opinion of Counsel or advice of counsel.

(c)                                  The
Trustee shall not be liable for any action that it takes or omits to take in
good faith that it reasonably believes to be authorized or within its rights or
powers.

(d)                                 The
Trustee shall not be bound to make any investigation into the facts or matters
stated in any resolution, certificate (including any Officers’ Certificate),
statement, instrument, opinion (including any Opinion of Counsel), notice,
request, direction, consent, order, bond, debenture, 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, upon reasonable notice to the Company, to examine the books, records,
and premises of the Company, personally or by agent or attorney.

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

(f)                                    The
Trustee may consult with counsel of its selection, and the advice or opinion of
counsel with respect to legal matters relating to this Indenture and the Notes
shall be full and complete authorization and protection from liability with
respect to any action taken, omitted or suffered by it hereunder in good faith
and in accordance with the advice or opinion of such counsel.

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(g)                                 The
Trustee shall not be required to give any bond or surety in respect of the performance
of its powers and duties hereunder.

(h)                                 The
permissive rights of the Trustee to do things enumerated in this Indenture
shall not be construed as a duty.

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

(j)                                     The
Trustee shall not be deemed to have notice of any Default or Event of Default
unless a Responsible Officer of the Trustee has actual knowledge thereof or
unless written notice of any event which is in fact such a default is received
by the Trustee at the Corporate Trust Office of the Trustee, and such notice
references the Notes and this Indenture.

(k)                                  The
rights, privileges, protections, immunities and benefits given to the Trustee,
including, without limitation, its right to be indemnified, are extended to,
and shall be enforceable by, the Trustee in each of its capacities hereunder,
and to each agent, custodian and other Person employed to act hereunder.

(l)                                     The
Trustee may request that the Company deliver an incumbency certificate setting
forth the names of individuals and/or titles of officers authorized at such time
to take specified actions pursuant to this Indenture, which incumbency
certificate may be signed by any Person authorized to sign an incumbency
certificate, including any Person as so authorized in any such certificate
previously delivered and not superseded.

(m)                               The
Trustee shall not be responsible for any costs, expenses, damages or other
liabilities arising (directly or indirectly) as a result of (i) any filing of a
claim or proof of debt by holders of Senior Debt or Guarantor Senior Debt (or
their Representative) or (ii) any right of holders of Senior Debt or Guarantor
Senior Debt (or their Representative) to file any such claim or proof of debt,
in any such case in accordance with the second paragraph of Section 10.09 or Section
12.09.

Section 7.03                                Individual
Rights of Trustee.

The Trustee in its individual or any other capacity
may become the owner or pledgee of Notes and may otherwise deal with the
Company, any Restricted or Unrestricted Subsidiary, or their respective
Affiliates, with the same rights it would have if it were not Trustee.  Any Agent may do the same with like
rights.  However, the Trustee must comply
with Sections 7.10 and 7.11.

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Section 7.04                                Trustee’s Disclaimer.

The Trustee makes no representation as to the validity
or adequacy of this Indenture or the Notes, and it shall not be accountable for
the Company’s use of the proceeds from the Notes, and it shall not be
responsible for any statement of the Company in this Indenture or the Notes
other than the certificate of authentication.

Section 7.05                                Notice
of Default.

If a Default or an Event of Default occurs and is
continuing and if the Trustee has actual knowledge of such Default or Event of
Default, the Trustee shall mail to each Noteholder notice of the uncured
Default or Event of Default on the later of (i) 60 days after such Default or
Event of Default occurs or (ii) 10 days after the Trustee has actual knowledge
of such Default or Event of Default. 
Except in the case of a Default or an Event of Default in the payment of
interest or principal of, premium or interest on, any Note, including an
accelerated payment and the failure to make payment on the Change of Control
Payment Date pursuant to a Change of Control Offer or on a Net Proceeds Offer
Payment Date pursuant to a Net Proceeds Offer and, except in the case of a
failure to comply with Article Five, the Trustee may withhold the notice if and
so long as its Responsible Officer(s) in good faith determines that withholding
the notice is in the interest of the Holders. 
The Trustee shall not be deemed to have knowledge of a Default or Event
of Default other than (i) any Event of Default occurring pursuant to Sections
6.01(1) or 6.01(2); or (ii) any Default or Event of Default of which a Trust
Officer shall have received written notification or obtained actual
knowledge.  As used herein, the term “actual
knowledge” means the actual fact or statement of knowing, without any duty to
make any investigation with regard thereto. 
During the existence of an Event of Default, the Trustee will exercise
such rights and powers vested in it by this Indenture, and use the same degree
of care and skill in its exercise as a prudent Person would exercise or use
under the circumstances in the conduct of his own affairs.

Section 7.06                                Reports
by Trustee to Holders.

Within 60 days after April 15 of each year beginning
with April 15, 2005, the Trustee shall, to the extent that any of the events
described in TIA § 313(a) occurred within the previous twelve months, but not
otherwise, mail to each Noteholder a brief report dated as of such date that complies
with TIA § 313(a).  The Trustee also
shall comply with TIA § 313(b) and 313(c).

A copy of each report at the time of its mailing to
Holders shall be mailed to the Company and filed with the SEC and each stock
exchange, if any, on which the Notes are listed.

The Company shall promptly notify the Trustee if the
Notes become listed on any stock exchange, and if the Notes are so listed, the
Trustee shall comply with TIA § 313(d).

Section 7.07                                Compensation
and Indemnity.

The Company shall pay to the Trustee from time to
time, and the Trustee shall be entitled to, such compensation as may be agreed
upon by the Company and the Trustee.  The

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Trustee’s compensation shall not be limited by any law
on compensation of a trustee of an express trust.  The Company shall reimburse the Trustee
promptly upon request for all reasonable out-of-pocket expenses, disbursements
and advances incurred or made by it in connection with the performance of its
duties and the discharge of its obligations under this Indenture.  Such expenses shall include the reasonable
fees and expenses of the Trustee’s agents and counsel.

The Company shall indemnify the Trustee and its
agents, employees, officers, stockholders and directors for, and hold them
harmless against, any loss, liability or expense including taxes (other than
taxes based on the income of the Trustee) and reasonable attorneys’ fees and
expenses incurred by them except for such actions to the extent caused by any
negligence, bad faith or willful misconduct on their part, arising out of or in
connection with the acceptance or administration of this trust including the
reasonable costs and expenses of defending themselves against or investigating
any claim (whether asserted by the Company, and Holder or any other Person) or
liability in connection with the exercise or performance of any of the Trustee’s
rights, powers or duties hereunder.  The
Trustee shall notify the Company promptly of any claim asserted against the
Trustee or any of its agents, employees, officers, stockholders and directors
for which it may seek indemnity.  Failure
by the Company to so notify the Trustee shall not relieve the Company of its
obligations hereunder.  The Company shall
defend the claim and the Trustee shall cooperate in the defense at the Company’s
expense.  The Trustee and its agents,
employees, officers, stockholders and directors subject to the claim may have
separate counsel and the Company shall pay the reasonable fees and expenses of
such counsel; provided, however, that the Company will not be
required to pay such fees and expenses if it assumes the Trustee’s defense and
there is no conflict of interest between the Company and the Trustee and its
agents, employees, officers, stockholders and directors subject to the claim in
connection with such defense as reasonably determined by the Trustee; provided,
further, that, unless the Company otherwise agrees in writing, the
Company shall not be liable to pay the fees and expenses of more than one
counsel at any given time located within one particular jurisdiction.  The Company need not pay for any settlement
made without its written consent which consent shall not be unreasonably
withheld.  The Company need not reimburse
any expense or indemnify against any loss or liability to the extent incurred
by the Trustee through its negligence, bad faith or willful misconduct.

To secure the Company’s payment obligations in this
Section 7.07, the Trustee shall have a lien prior to the Notes on all assets or
money held or collected by the Trustee, in its capacity as Trustee, except
assets or money held in trust to pay principal of or interest on particular
Notes.

When the Trustee incurs expenses or renders services
after an Event of Default specified in Section 6.01(6) or (7) occurs, such
expenses  (including the reasonable
charges and expenses of its counsel) and the compensation for such services are
intended to constitute expenses of administration and shall be paid to the
extent allowed under any Bankruptcy Law.

The provisions of this Section shall survive the
termination of this Indenture, any rejection or termination of this Indenture
under any Bankruptcy Law or the resignation or removal of the Trustee.

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Section 7.08                                Replacement of
Trustee.

The Trustee may resign by so notifying the Company in
writing at least 30 days in advance.  The
Holders of a majority in principal amount of the outstanding Notes may remove
the Trustee by so notifying the Company and the Trustee and may appoint a
successor Trustee with the Company’s consent. 
A resignation or removal of the Trustee and appointment of a successor
Trustee shall become effective only with the successor Trustee’s acceptance of
appointment as provided in this Section. 
The Company may remove the Trustee if:

(1)                                  the
Trustee fails to comply with Section 7.10;

(2)                                  the
Trustee is adjudged bankrupt or insolvent or an order for relief is entered
with respect to the Trustee under any Bankruptcy Law;

(3)                                  a
receiver or other public officer takes charge of the Trustee or its property;
or

(4)                                  the
Trustee becomes incapable of acting.

If the Trustee resigns or is removed or if a vacancy
exists in the office of Trustee for any reason, the Company shall notify each
Holder of such event and shall promptly appoint a successor Trustee.  Within one year after the successor Trustee
takes office, the Holders of a majority in principal amount of the Notes may
appoint a successor Trustee to replace the successor Trustee appointed by the
Company.

A successor Trustee shall deliver a written acceptance
of its appointment to the retiring Trustee and to the Company.  Promptly after that, the retiring Trustee
shall transfer all property held by it as Trustee to the successor Trustee,
subject to the lien provided in Section 7.07, the resignation or removal of the
retiring Trustee shall become effective, and the successor Trustee shall have
all the rights, powers and duties of the Trustee under this Indenture.  A successor Trustee shall mail notice of its
succession to each Holder.

If a successor Trustee does not take office within 60
days after the retiring Trustee resigns or is removed, the retiring Trustee,
the Company or the Holders of at least 10% in aggregate principal amount of the
outstanding Notes may petition any court of competent jurisdiction for the appointment
of a successor Trustee.

If the Trustee fails to comply with Section 7.10, any
Holder may petition any court of competent jurisdiction for the removal of the
Trustee and the appointment of a successor Trustee.

Notwithstanding replacement of the Trustee pursuant to
this Section 7.08, the Company’s obligations under Section 7.07 shall continue
for the benefit of the retiring Trustee.

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Section 7.09                                Successor Trustee by
Merger, Etc.

If the Trustee consolidates with, merges or converts
into, or transfers all or substantially all of its corporate trust business to,
another corporation, the resulting, surviving or transferee corporation without
any further act shall, if such resulting, surviving or transferee corporation
is otherwise eligible hereunder, be the successor Trustee; provided, however,
that such corporation shall be otherwise qualified and eligible under this
Article Seven.

Section 7.10                                Eligibility;
Disqualification.

This Indenture shall always have a Trustee who
satisfies the requirement of TIA §§ 310(a)(1) and 310(a)(2).  The Trustee (or in the case of a corporation
included in a bank holding company system, the related bank holding company)
shall have a combined capital and surplus of at least $100,000,000 as set forth
in its most recent published annual report of condition.  In addition, if the Trustee is a corporation
included in a bank holding company system, the Trustee, independently of such
bank holding company, shall meet the capital requirements of TIA
§ 310(a)(2).  The Trustee shall
comply with TIA § 310(b); provided, however, that there
shall be excluded from the operation of TIA § 310(b)(1) any indenture or
indentures under which other notes, or certificates of interest or
participation in other notes, of the Company are outstanding, if the
requirements for such exclusion set forth in TIA § 310(b)(1) are met.  The provisions of TIA § 310 shall apply
to the Company and any other obligor of the Notes.

Section 7.11                                Preferential
Collection of Claims Against the Company.

The Trustee shall comply with TIA § 311(a),
excluding any creditor relationship listed in TIA § 311(b).  A Trustee who has resigned or been removed
shall be subject to TIA § 311(a) to the extent indicated therein.  The provisions of TIA § 311 shall apply
to the Company and any other obligor of the Notes.

ARTICLE
VIII

DISCHARGE
OF INDENTURE; DEFEASANCE

Section 8.01                                Termination
of the Company’s Obligations.

As to either series of Notes this Indenture will be
Discharged and will cease to be of further effect and the obligations of the
Company and the Guarantors  under the
Notes of such series and the Guarantees and this Indenture shall terminate with
respect to such series (except that the obligations under Sections 2.03 through
2.07, 7.01, 7.02, 7.07 and 7.08 and the rights, powers, trusts, duties and
immunities of the Trustee hereunder shall survive the effect of this Article
Eight) when (a) either (i) all existing Notes with respect to such series,
theretofore authenticated and delivered (except lost, stolen or destroyed Notes
which have been replaced or paid and Notes 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)
have been delivered to the Trustee for cancellation or (ii) all Notes of such
series not theretofore delivered to the Trustee for cancellation have become
due and payable or will become due and payable within one year (including by
way of irrevocable instructions delivered by the Company

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to the Trustee to effect the redemption of the Notes),
and the Company has irrevocably deposited or caused to be deposited with the
Trustee as trust funds in trust solely for the benefit of the Holders of such
Notes, cash in U.S. dollars, U.S. Government Obligations in the case of Dollar
Notes and/or euros or Euro Obligations in the case of Euro Notes or a
combination thereof, in amounts as will be sufficient without consideration of
any reinvestment of interest to pay and discharge the entire Indebtedness on
the Notes not theretofore delivered to the Trustee for cancellation, for
principal of, premium, if any, and interest on the Notes to the date of deposit
together with irrevocable instructions from the Company directing the Trustee
to apply such Funds to the payment thereof at maturity or redemption, as the
case may be; (b) the Company has paid all other sums payable under this
Indenture by the Company with respect to the Notes of such series; and (c) the
Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel stating that all conditions precedent under this Indenture relating to
the satisfaction and discharge of this Indenture with respect to the Notes of
such series have been complied with.  All
funds that remain unclaimed for one year will be paid to the Company and
thereafter Holders must look to the Company for payment as general creditors.

In addition, at the Company’s option, either (a) the
Company shall be deemed to have been Discharged from any and all obligations
with respect to the Notes and the Guarantees (“Legal Defeasance”) after the
applicable conditions set forth below have been satisfied (except for the obligations
of the Company under Sections 2.03, 2.04, 2.06, 2.07, 7.01, 7.02, 7.07 and this
Section 8.01) or (b) the Company and its Restricted Subsidiaries shall cease to
be under any obligation to comply with any term, provision or condition set
forth in Sections 4.03, 4.09 and 4.11 through 4.20 and Section 5.01 and
thereafter any omission to comply with such obligations shall not constitute a
Default or Event of Default with respect to the Notes (“Covenant Defeasance”)
after the applicable conditions set forth below have been satisfied:

(1)                                  the
Company must irrevocably deposit with the Trustee in trust, for the benefit of
the Holders (i) with respect to Dollar Notes, cash in U.S. Dollars or
non-callable U.S. government obligations and (ii) with respect to Euro Notes,
euros or Euro Obligations, in such amounts as will be sufficient, in the opinion
of a nationally recognized firm of independent public accountants, to pay the
principal of, premium, if any, and interest on the Notes on the stated date for
payment thereof or on an applicable redemption date;

(2)                                  in
the case of Legal Defeasance, the Company shall have delivered to the Trustee
an Opinion of Counsel in the United States of America reasonably acceptable to
the Trustee confirming that

(i)             the Company has
received from, or there has been published by, the Internal Revenue Service a
ruling, or

(ii)          since the Issue Date,
there has been a change in the applicable United States federal income tax law,

in either case, to the effect that, and based thereon such Opinion of
Counsel shall confirm that, the Holders of the outstanding Notes will not recognize
income, gain or loss for United States federal income tax purposes as a result
of such Legal Defeasance and will

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be subject to United States federal income tax on the same amounts, in
the same manner and at the same times as would have been the case if such Legal
Defeasance had not occurred; provided, however, such Opinion of Counsel shall
not be required if all the Notes will become due and payable on the Maturity
Date within one year or are to be called for redemption within one year under
arrangements satisfactory to the Trustee;

(3)                                  in
the case of Covenant Defeasance, the Company shall have delivered to the
Trustee an Opinion of Counsel in the United States of America reasonably
acceptable to the Trustee confirming that the Holders of the outstanding Notes
will not recognize income, gain or loss for United States federal income tax
purposes as a result of such Covenant Defeasance and will be subject to United
States 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;

(4)                                  no
Event of Default or Default shall have occurred and be continuing on the date
of such deposit (other than any Default arising from the substantially contemporaneous
incurrence of Indebtedness to fund the deposit described above in clause (1));

(5)                                  such
Legal Defeasance or Covenant Defeasance shall not result in a breach or
violation of, or constitute a default under this Indenture (other than any Default
arising from the substantially contemporaneous incurrence of Indebtedness to
fund the deposit described above in clause (1)) or any other material agreement
or instrument to which the Company or any of its Subsidiaries is a party or by
which the Company or any of its Subsidiaries is bound;

(6)                                  the
Company shall have delivered to the Trustee an Officers’ Certificate stating
that the deposit was not made by the Company with the intent of preferring the
Holders of the Notes over any other creditors of the Company or with the intent
of defeating, hindering, delaying or defrauding any other creditors of the
Company or others;

(7)                                  the
Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that all conditions precedent provided for or
relating to the Legal Defeasance or the Covenant Defeasance have been complied
with; and

(8)                                  the
Company shall have delivered to the Trustee an Opinion of Counsel, to the
effect that either (i) the Company has assigned all its ownership interest in
the trust funds to the Trustee or (ii) the Trustee has a valid perfected
security interest in the trust funds.

Section 8.02                                Acknowledgment
of Discharge by Trustee.

Subject to Section 8.05, after (i) the conditions of
Section 8.01, have been satisfied and (ii) the Company has delivered to the
Trustee an Opinion of Counsel, stating that all conditions precedent referred
to in clause (i) above relating to the satisfaction and discharge of

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this Indenture have been complied with, the Trustee
upon written request of the Company shall acknowledge in writing the discharge
of the Company’s obligations under this Indenture except for those surviving
obligations specified in this Article Eight.

Section 8.03                                Application
of Trust Money.

The Trustee shall hold in trust Funds deposited with
it pursuant to Section 8.01.  It shall
apply the Funds through the Paying Agent and in accordance with this Indenture
to the payment of all the principal of, or premium, if any, and interest on the
Notes.

Section 8.04                                Repayment
to the Company.

The Trustee and the Paying Agent shall promptly pay to
the Company any Funds held by them for the payment of all the principal of, or
premium, if any, and interest that remains unclaimed for one year; provided,
however, that the Trustee or such Paying Agent may, at the expense of
the Company, cause to be published once in a newspaper of general circulation
in the City of New York or mailed to each Holder, notice that such Funds remain
unclaimed and that, after a date specified therein, which shall not be less
than 30 days from the date of such publication or mailing, any unclaimed
balance of such Funds then remaining will be repaid to the Company.  After payment to the Company, Holders
entitled to the Funds must look to the Company for payment as general unsecured
creditors unless an applicable abandoned property law designates another Person
and all liability of the Trustee and Paying Agent with respect to such Funds
shall cease.

Section 8.05                                Reinstatement.

If the Trustee or Paying Agent is unable to apply any
Funds by reason of any legal proceeding or by reason of any order or judgment
of any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, the Company’s obligations under this Indenture
and the Notes shall be revived and reinstated as though no deposit had occurred
pursuant to Section 8.01 until such time as the Trustee or Paying Agent is
permitted to apply all such Funds in accordance with Section 8.01; provided,
however, that if the Company has made any payment of principal, or
premium, if any, and interest on any Notes because of the reinstatement of its
obligations, the Company shall be subrogated to the rights of the Holders of
such Notes to receive such payment from Funds held by the Trustee or Paying
Agent.

ARTICLE
IX

AMENDMENTS,
SUPPLEMENTS AND WAIVERS

Section 9.01                                Without
Consent of Holders.

The Company, when authorized by a Board Resolution,
the Guarantors and the Trustee, together, may amend or supplement this
Indenture, the Notes or the Guarantees without the consent of any Holders to:

(1)                                  to
cure any ambiguity, defect or inconsistency;

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(2)                                  provide
for the assumption of the Company’s obligations to Holders of Notes in the case
of a merger or consolidation or sale of all or substantially all of the Company’s
assets;

(3)                                  provide
for uncertificated Notes in addition to or in place of certificated Notes;

(4)                                  to
add any person as a Guarantor of the Notes or secure the Notes or the
Guarantees;

(5)                                  to
comply with requirements of the Commission in order to effect or maintain the
qualification of this Indenture under the TIA; or

(6)                                  to
make any change that would provide any additional benefit or rights to the
Holders or that does not adversely affect in any material respect the legal
rights of any Noteholders hereunder; provided that the removal of the
provisions effecting subordination of the Notes shall not be deemed to
adversely affect the legal rights of Noteholders for such purpose; provided,
further, however, that the Company has delivered to the Trustee
an Opinion of Counsel and an Officers’ Certificate, each stating that such
amendment or supplement complies with the provisions of this Section 9.01.

Section 9.02                                With
Consent of Holders.

Subject to Section 6.07, the Company, when authorized
by a Board Resolution, the Guarantors and the Trustee, together, with the
written consent (including any electronic communication thereof by a
Depositary) of the Holder or Holders of at least a majority in principal amount
of the then outstanding Notes (including the aggregate principal amount of any
Additional Notes subsequently issued under this Indenture) may make all other
modifications, waivers and amendments of this Indenture, the Notes or the
Guarantees, except that, without the consent of each Holder of Notes affected
thereby, no amendment and waiver may, directly or indirectly:

(1)                                  reduce
the amount of Notes whose Holders must consent to an amendment;

(2)                                  reduce
the rate of or change the time for payment of interest, including defaulted
interest, on any Notes;

(3)                                  reduce
the principal of or change the fixed maturity of any Notes, or change the date
on which any Notes may be subject to redemption or repurchase, or reduce the
redemption or repurchase price thereof for the Notes;

(4)                                  make
any Notes payable in money other than that stated in the Notes and this
Indenture;

(5)                                  make
any change in provisions of this Indenture or the Notes relating to the rights
of Holders of Notes to receive payment of principal of and interest on

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such Notes on
or after the due date thereof or to bring suit to enforce such payment or
permitting Holders of a majority in principal amount of the Notes to waive
Defaults or Events of Default;

(6)                                  after
a Change of Control has occurred, amend, change or modify any provision of this
Indenture that would amend, change or modify in any material respect the
obligation of the Company to make and complete a Change of Control Offer with
respect to such Change of Control or, after an Asset Sale has occurred, amend,
change or modify in any material respect the obligation of the Company to make
and complete a Net Proceeds Offer with respect to such Asset Sale;

(7)                                  modify
or change any provision of this Indenture or the related definitions affecting
the subordination or ranking of the Notes or any Guarantee in a manner which
adversely affects the Holders; or

(8)                                  release
any Guarantor from any of its obligations under its Guarantee or this Indenture
otherwise than in accordance with the terms of this Indenture.

Notwithstanding any provision to the contrary, if any
amendment, waiver or other modification will only effect the Dollar Notes or
the Euro Notes, only the consent of the holders of at least a majority in
principal amount of the Dollar Notes or the Euro Notes, as the case may be,
shall be required.

It shall not be necessary for the consent of the
Holders under this Section 9.02 to approve the particular form of any proposed
amendment, supplement or waiver, but it shall be sufficient if such consent
approves the substance thereof.

After an amendment, supplement or waiver under this
Section 9.02 becomes effective (as provided in Section 9.04), the Company shall
mail to the Holders affected thereby a notice briefly describing the amendment,
supplement or waiver.  Any failure of the
Company to mail such notice, or any defect therein, shall not, however, in any
way impair or affect the validity of any such supplemental indenture.

Section 9.03                                Compliance
with TIA.

Every amendment, waiver or supplement of this
Indenture or the Notes shall comply with the TIA as then in effect.

Section 9.04                                Revocation
and Effect of Consents.

Until an amendment, waiver or supplement becomes
effective, a consent to it by a Holder is a continuing consent by the Holder
and every subsequent Holder of a Note or portion of a Note that evidences the
same debt as the consenting Holder’s Note, even if notation of the consent is
not made on any Note.  Subject to the
following paragraph, any such Holder or subsequent Holder may revoke the
consent as to his Note or portion of his Note by notice to the Trustee or the
Company received before the date on which the Trustee receives an Officers’
Certificate certifying that the Holders of the requisite principal amount of
Notes have consented (and

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not theretofore revoked such consent) to the
amendment, supplement or waiver (at which time such amendment, supplement or
waiver shall become effective).

The Company may, but shall not be obligated to, fix
such record date as it may select for the purpose of determining the Holders
entitled to consent to any amendment, supplement or waiver.  If a record date is fixed, then
notwithstanding the last sentence of the immediately preceding paragraph, those
Persons who were Holders at such record date (or their duly designated proxies),
and only those Persons, shall be entitled to revoke any consent previously
given, whether or not such Persons continue to be Holders after such record
date.  No such consent shall be valid or
effective for more than 120 days after such record date.

After an amendment, supplement or waiver becomes
effective, it shall bind every Holder, unless it makes a change described in
any of clauses (1) through (8) of Section 9.02, in which case, the amendment,
supplement or waiver shall bind only each Holder of a Note who has consented to
it and every subsequent Holder of a Note or portion of a Note that evidences
the same debt as a consenting Holder’s Note; provided, however,
that any such waiver shall not impair or affect the right of any Holder to
receive payment of principal of and interest on a Note, on or after the respective
due dates expressed in such Note, or to bring suit for the enforcement of any
such payment on or after such respective dates without the consent of such
Holder.

Section 9.05                                Notation
on or Exchange of Notes.

If an amendment, supplement or waiver changes the
terms of a Note, the Trustee may require the Holder of the Note to deliver it
to the Trustee.  The Trustee may place an
appropriate notation on the Note about the changed terms and return it to the
Holder.  Alternatively, if the Company or
the Trustee so determines, the Company in exchange for the Note shall issue and
the Trustee shall authenticate a new Note that reflects the changed terms.

Section 9.06                                Trustee
To Sign Amendments, Etc.

The Trustee shall execute any amendment, supplement or
waiver authorized pursuant to and adopted in accordance with this Article Nine;
provided, however, that the Trustee may, but shall not be obligated to,
execute  any such amendment, supplement
or waiver which affects the Trustee’s own rights, duties or immunities under
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 each stating that the execution of any
amendment, supplement or waiver authorized pursuant to this Article Nine is
authorized or permitted by this Indenture. 
Such Opinion of Counsel shall not be an expense of the Trustee.

ARTICLE X

SUBORDINATION
OF NOTES

Section 10.01                          Notes
Subordinated to Senior Debt.

Anything herein to the contrary notwithstanding, the
Company, for itself and its successors, and each Holder, by his or her
acceptance of Notes, agrees that the payment of all

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Obligations owing to the Holders in respect of the
Notes is subordinated, to the extent and in the manner provided in this Article
Ten, in right of payment to the prior payment in full in cash, Cash Equivalents
or Foreign Cash Equivalents, or such payment duly provided for to the satisfaction
of the holders of Senior Debt, of all Obligations on Senior Debt, including
without limitation, the Company’s obligations under the Credit Facilities.

This Article Ten shall constitute a continuing offer
to all Persons who become holders of, or continue to hold, Senior Debt, and
such provisions are made for the benefit of the holders of Senior Debt and such
holders are made obligees hereunder and any one or more of them may enforce
such provisions.

Section 10.02                          Suspension
of Payment When Senior Debt Is in Default.

(a)                                  Unless Section 10.03
shall be applicable, upon (1) the occurrence and continuance of any default in
the payment when due, whether at maturity, upon any redemption, by declaration
or otherwise, of any principal of, interest on, unpaid drawings for letters of
credit issued in respect of, or regularly accruing fees with respect to, any
Senior Debt (a “Payment Default”) and (2) receipt by the Trustee and the
Company from a Representative of written notice of such occurrence, then no
payment (other than payments previously made pursuant to Article Eight) or distribution
of any assets of the Company of any kind or character shall be made by or on
behalf of the Company or any other Person on its or their behalf on account of
any Obligations under the Notes or on account of the purchase, redemption or
other acquisition of Notes for cash or property or otherwise (except that
Holders may receive (i) Permitted Junior Securities and (ii) payments made from
the trusts described in Section 8.01) and until such Payment Default shall have
been cured or waived or shall have ceased to exist or such Senior Debt as to
which such Payment Default relates shall have been discharged or paid in full
in cash, Cash Equivalents or Foreign Cash Equivalents, or such payment duly
provided for to the satisfaction of the holders of Senior Debt, after which the
Company shall resume making any and all required payments in respect of the
Notes, including any missed payments.

(b)                                 Unless Section 10.03
shall be applicable, upon (1) the occurrence and continuance of any event of
default (other than a Payment Default) with respect to any Designated Senior
Debt (as such event of default is defined in the instrument creating or
evidencing such Designated Senior Debt) permitting the holders of such
Designated Senior Debt then outstanding to accelerate the maturity thereof (a “Non-payment
Default”) and (2) the earlier of (i) receipt by the Trustee and the Company
from a Representative of written notice of such occurrence stating that such
notice is a “Payment Blockage Notice” pursuant to this Section 10.02 or (ii) if
such Non-payment Default results from the acceleration of the Notes, the date
of such acceleration, no payment (other than payments previously made pursuant
to Article Eight) or distribution of any assets of the Company of any kind or
character shall be made by or on behalf of the Company or any other Person on
its or their behalf on account of any Obligations under the Notes or on account
of the purchase or redemption or other acquisition of Notes for cash or
property or otherwise (except that Holders may receive (i) Permitted Junior
Securities and (ii) payments made from the trusts described in Section 8.01)
for a period (the “Payment Blockage Period”) commencing on the date of receipt
by the Trustee of the written notice of a Non- payment Default from such
Representative or the date of the acceleration referred to in clause (ii)
above, as the

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case may be, unless and until the earlier to occur of the following
events: (w) 180 days shall have elapsed since receipt of such notice or the
date of the acceleration of the Notes, as the case may be (provided no Designated
Senior Debt shall theretofore have been accelerated), (x) such Non-payment
Default shall have been cured or waived or shall have ceased to exist, (y) such
Designated Senior Debt shall have been discharged or paid in full in cash, Cash
Equivalents or Foreign Cash Equivalents, or such payment duly provided for to
the satisfaction of the holders of such Designated Senior Debt, or (z) such
Payment Blockage Period shall have been terminated by written notice to the
Company or the Trustee from the Representative initiating such Payment Blockage
Period or the holders of at least a majority in principal amount of such issue
of Designated Senior Debt initiating such Payment Blockage Period, after which,
in the case of clause (w), (x), (y) or (z), the Company shall resume making any
and all required payments in respect of the Notes, including any missed
payments.  Notwithstanding anything
herein to the contrary, (x) in no event will a Payment Blockage Period or
successive Payment Blockage Periods with respect to the same payment on the
Notes extend beyond 180 days from the date the payment on the Notes was due and
(y) only one such Payment Blockage Period may be commenced within any 360
consecutive days.  For all purposes of
this Section 10.02(b), no event of default which existed or was continuing on
the date of the commencement of any Payment Blockage Period with respect to the
Designated Senior Debt of the Company initiating such Payment Blockage Period
shall be, or be made, the basis for the commencement of a second Payment
Blockage Period by the holders or by the Representative of such Designated
Senior Debt whether or not within a period of 360 consecutive days, unless such
event of default shall have been cured or waived for a period of not less than
90 consecutive days (it being acknowledged that any subsequent action, or any
breach of any financial covenants for a period commencing after the date of
commencement of such Payment Blockage Period that, in either case, would give
rise to an event of default pursuant to any provisions under which an event of
default previously existed or was continuing shall constitute a new event of
default for this purpose).

(c)                                  In the event that,
notwithstanding the foregoing, the Company shall have made payment to the
Trustee or directly to the Holder of any Note prohibited by the foregoing
provisions of this Section 10.02, then and in such event such payment shall be
segregated from other funds and held in trust by the Trustee or such Holder or
Paying Agent for the benefit of, and shall immediately be paid over to, the
holders of Senior Debt or to the Representatives or as a court of competent jurisdiction
shall direct.

Section 10.03                          Notes
Subordinated to Prior Payment of All Senior Debt on Dissolution, Liquidation or
Reorganization of Company.

Upon any payment or distribution of assets of the
Company of any kind or character, whether in cash, property or securities, to
creditors upon any liquidation, dissolution, winding-up, reorganization,
assignment for the benefit of creditors or marshaling of assets of the Company
or in a bankruptcy, reorganization, insolvency, receivership or other similar
proceeding relating to the Company or its property, whether voluntary or
involuntary:

(a)                                  the holders of all
Senior Debt shall first be entitled to receive payments in full in cash, Cash
Equivalents or Foreign Cash Equivalents, or such payment duly provided for to
the satisfaction of the holders of Senior Debt, of all amounts payable under

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Senior Debt before the Holders will be
entitled to receive any payment or distribution of any kind or character is
made on account of any Obligations on the Notes or for the acquisition of any
of the Notes for cash or property or otherwise, and until all Obligations with
respect to the Senior Debt are paid in full in cash, Cash Equivalents or
Foreign Cash Equivalents, or such payment provided for to the satisfaction of
the holders of Senior Debt, any distribution to which the Holders would be
entitled shall be made to the holders of Senior Debt;

(b)                                 any payment or
distribution of assets of the Company of any kind or character, whether in
cash, property or securities, to which the Holders or the Trustee on behalf of
the Holders would be entitled except for the provisions of this Article Ten,
shall be paid by the liquidating trustee or agent or other Person making such a
payment or distribution, directly to the holders of Senior Debt or their
representatives, ratably according to the respective amounts of Senior Debt
remaining unpaid held or represented by each, until all Senior Debt remaining
unpaid shall have been paid in full in cash, Cash Equivalents or Foreign Cash
Equivalents, or such payment duly provided for to the satisfaction of the holders
of Senior Debt, after giving effect to any concurrent payment or distribution
to the holders of such Senior Debt; and

(c)                                  in the event that,
notwithstanding the foregoing, any payment or distribution of assets of the
Company of any kind or character, whether such payment shall be in cash,
property or securities, and the Company shall have made payment to the Trustee
or directly to the Holders or any Paying Agent on account of any Obligations
under the Notes before all Senior Debt is paid in full in cash, Cash
Equivalents or Foreign Cash Equivalents, or such payment duly provided for to
the satisfaction of the holders of Senior Debt, such payment or distribution
(subject to the provisions of Sections 10.06 and 10.07) shall be received,
segregated from other funds, and held in trust by the Trustee or such Holder or
Paying Agent for the benefit of, and shall immediately be paid over by the
Trustee (if the notice required by Section 10.06 has been received by the
Trustee) or by the Holder to, the holders of Senior Debt or their
representatives, ratably according to the respective amounts of Senior Debt
held or represented by each, until all Senior Debt remaining unpaid shall have
been paid in full in cash, Cash Equivalents or Foreign Cash Equivalents, or such
payment duly provided for to the satisfaction of the holders of Senior Debt,
after giving effect to any concurrent payment or distribution to or for the holders
of Senior Debt.

(d)                                 The consolidation of
the Company with, or the merger of the Company with or into, another Person or
the liquidation or dissolution of the Company following the conveyance,
transfer or lease of its properties and assets substantially as an entirety to
another Person upon the terms and conditions set forth in Article Five shall
not be deemed a liquidation, dissolution, winding-up, reorganization,
assignment for the benefit of creditors or marshaling of assets of the Company,
as the case may be, for the purposes of this Article Ten; provided, however,
that the Person formed by such consolidation or the surviving entity of such
merger or the Person which acquires by conveyance, transfer or lease such
properties and assets substantially as an entirety, as the case may be, shall,
as a part of such consolidation, merger, conveyance, transfer or lease, comply
with the

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conditions set forth in such Article Five.
The Company shall give prompt notice to the Trustee prior to any liquidation,
dissolution, winding-up, reorganization, assignment for the benefit of
creditors or marshaling of assets.

Section 10.04                          Holders
To Be Subrogated to Rights of Holders of Senior Debt.

Subject to the payment in
full in cash, Cash Equivalents or Foreign Cash Equivalents, or such payment
duly provided for to the satisfaction of the holders of Senior Debt, of all
Senior Debt, the Holders of Notes shall be subrogated to the rights of the
holders of Senior Debt to receive payments or distributions of assets of the
Company applicable to the Senior Debt until all amounts owing on the Notes
shall be paid in full in cash, Cash Equivalents or Foreign Cash Equivalents,
and for the purpose of such subrogation no payments or distributions to the
holders of Senior Debt by or on behalf of the Company, or by or on behalf of
the Holders by virtue of this Article Ten, which otherwise would have been made
to the Holders shall, as between the Company and the Holders, be deemed to be
payment by the Company to or on account of the Senior Debt, it being understood
that the provisions of this Article Ten are and are intended solely for the
purpose of defining the relative rights of the Holders, on the one hand, and
the holders of Senior Debt, on the other hand.

If any payment or
distribution to which the Holders would otherwise have been entitled but for
the provisions of this Article Ten shall have been applied, pursuant to the
provisions of this Article Ten, to the payment of all amounts payable under the
Senior Debt, then the Holders shall be entitled to receive from the holders of
such Senior Debt any such payments or distributions received by such holders of
Senior Debt in excess of the amount sufficient to pay all amounts payable under
or in respect of the Senior Debt in full in cash , Cash Equivalents or Foreign
Cash Equivalents, or such payment duly provided for to the satisfaction of the
holders of Senior Debt.

Each Holder by purchasing
or accepting a Note waives any and all notice of the creation, modification,
renewal, extension or accrual of any Senior Debt of the Company and notice of
or proof of reliance by any holder or owner of Senior Debt of the Company upon
this Article Ten and the Senior Debt of the Company shall conclusively be
deemed to have been created, contracted or incurred in reliance upon this
Article Ten, and all dealings between the Company and the holders and owners of
the Senior Debt of the Company shall be deemed to have been consummated in
reliance upon this Article Ten.

Section 10.05                          Obligations
of the Company Unconditional.

Nothing contained in this
Article Ten or elsewhere in this Indenture or in the Notes is intended to or
shall impair, as between the Company and the Holders, the obligation of the
Company, which is absolute and unconditional, to pay to the Holders the
principal of and interest on the Notes as and when the same shall become due
and payable in accordance with their terms, or is intended to or shall affect
the relative rights of the Holders and creditors of the Company other than the
holders of the Senior Debt, nor shall anything herein or therein prevent the
Trustee or any Holder from exercising all remedies otherwise permitted by
applicable law upon default under this Indenture, subject to the rights, if
any, under this Article Ten, of the holders of Senior Debt in respect of cash,
property or Notes of the Company received upon the exercise of

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any such remedy.  Upon any payment or distribution of assets or
securities of the Company referred to in this Article Ten, the Trustee, subject
to the provisions of Sections 7.01 and 7.02, and the Holders shall be entitled
to rely upon any order or decree made by any court of competent jurisdiction in
which any liquidation, dissolution, winding-up or reorganization proceedings
are pending, or a certificate of the receiver, trustee in bankruptcy,
liquidating trustee or agent or other Person making any payment or distribution
to the Trustee or to the Holders for the purpose of ascertaining the Persons
entitled to participate in such payment or distribution, the holders of Senior
Debt and other Indebtedness of the Company, the amount thereof or payable thereon,
the amount or amounts paid or distributed thereon and all other facts pertinent
thereto or to this Article Ten.  Nothing
in this Article Ten shall apply to the claims of, or payments to, the Trustee under
or pursuant to Section 7.07.  The Trustee
shall be entitled to rely on the delivery to it of a written notice by a Person
representing himself or itself to be a holder of any Senior Debt (or a trustee
on behalf of, or other representative of, such holder) to establish that such
notice has been given by a holder of such Senior Debt or a trustee or
representative on behalf of any such holder.

In the event that the
Trustee determines in good faith that any evidence is required with respect to
the right of any Person as a holder of Senior Debt to participate in any
payment or distribution pursuant to this Article Ten, the Trustee may request
such Person to furnish evidence to the reasonable satisfaction of the Trustee
as to the amount of Senior Debt held by such Person, the extent to which such
Person is entitled to participate in such payment or distribution and any other
facts pertinent to the rights of such Person under this Article Ten, and if
such evidence is not furnished, the Trustee may defer any payment to such
Person pending judicial determination as to the right of such Person to receive
such payment.

Section 10.06                          Trustee
Entitled To Assume Payments Not Prohibited in Absence of Notice.

The Trustee shall not at
any time be charged with knowledge of the existence of any facts that would
prohibit the making of any payment to or by the Trustee unless and until the
Trustee or any Paying Agent shall have received written notice thereof from the
Company or from one or more holders of Senior Debt or from any Representative
therefor and, prior to the receipt of any such notice, the Trustee, subject to
the provisions of Sections 7.01 and 7.02, shall be entitled in all respects
conclusively to assume that no such fact exists.

Section 10.07                          Application
by Trustee of Assets Deposited with It.

U.S. Legal Tender, U.S.
Government Obligations, Euros or Euro Obligations deposited in trust with the
Trustee pursuant to and in accordance with Section 8.01 and 8.02 shall be for
the sole benefit of the Holders of the Notes and, to the extent allocated for
the payment of Notes, shall not be subject to the subordination provisions of
this Article Ten.  Otherwise, any deposit
of assets or securities by or on behalf of the Company with the Trustee or any
Paying Agent (whether or not in trust) for the payment of principal of or
interest on any Notes shall be subject to the provisions of this Article Ten;
provided, however, that if prior to the second Business Day preceding the
date  on which by the terms of this
Indenture any such assets may become distributable for any purpose (including,
without limitation, the payment of either principal of or interest on any Note)
the Trustee or such Paying Agent shall not have received with respect to such assets
the notice provided for in Section 10.06, then the Trustee or such Paying Agent

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shall have full power and
authority to receive such assets and to apply the same to the purpose for which
they were received, and shall not be affected by any notice to the contrary
received by it on or after such date. 
The foregoing shall not apply to the Paying Agent if the Company or any
Subsidiary or Affiliate of the Company is acting as Paying Agent.  Nothing contained in this Section 10.07 shall
limit the right of the holders of Senior Debt to recover payments as contemplated
by this Article Ten.

Section 10.08                          No
Waiver of Subordination Provisions.

(a)                                  No
right of any present or future holder of any Senior Debt to enforce
subordination as herein provided shall at any time in any way be prejudiced or
impaired by any act or failure to act on the part of the Company or by any act
or failure to act by any such holder, or by any non-compliance by the Company
with the terms, provisions and covenants of this Indenture, regardless of any
knowledge thereof any such holder may have or be otherwise charged with.

(b)                                 Without
limiting the generality of subsection (a) of this Section 10.08, the holders of
Senior Debt may, at any time and from time to time, without the consent of or
notice to the Trustee or the Holders of the Notes, without incurring
responsibility to the Holders of the Notes and without impairing or releasing
the subordination provided in this Article Ten or the obligations hereunder of
the Holders of the Notes to the holders of Senior Debt, do any one or more of
the following: (1) change the manner, place, terms or time of payment of, or
renew or alter, Senior Debt or any instrument evidencing the same or any
agreement under which Senior Debt is outstanding; (2) sell, exchange, release
or otherwise deal with any property pledged, mortgaged or otherwise securing
Senior Debt; (3) release any Person liable in any manner for the collection or
payment of Senior Debt; and (4) exercise or refrain from exercising any rights
against the Company and any other Person.

Section 10.09                          Holders
Authorize Trustee To Effectuate Subordination of Notes.

Each Holder of the Notes
by such Holder’s acceptance thereof authorizes and expressly directs the
Trustee on his behalf to take such action as may be necessary or appropriate to
effect the subordination provisions contained in this Article Ten, and appoints
the Trustee such Holder’s attorney- in-fact for such purpose, including, in the
event of any liquidation, dissolution, winding-up, reorganization, assignment
for the benefit of creditors or marshaling of assets of the Company tending
towards liquidation or reorganization of the business and assets of the Company,
the immediate filing of a claim for the unpaid balance of such Holder’s Notes
in the form required in said proceedings and cause said claim to be
approved.  If the Trustee does not file a
proper claim or proof of debt in the form required in such proceeding prior to
30 days before the expiration of the time to file such claim or claims, then
any of the holders of the Senior Debt or their Representative is hereby
authorized to file an appropriate claim for and on behalf of the Holders of
said Notes.  Nothing herein contained
shall be deemed to authorize the Trustee or the holders of Senior Debt or their
Representative to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition affecting
the Notes or the rights of any Holder thereof, or to authorize the Trustee or
the holders of Senior Debt or their Representative to vote in respect of the claim
of any Holder in any such proceeding.

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Section 10.10                          Right
of Trustee To Hold Senior Debt.

The Trustee shall be entitled to all of the rights set
forth in this Article Ten in respect of any Senior Debt at any time held by it
to the same extent as any other holder of Senior Debt, and nothing in this
Indenture shall be construed to deprive the Trustee of any of its rights as
such holder.

Section 10.11                          No
Suspension of Remedies.

The failure to make a payment on account of principal
of or interest on the Notes by reason of any provision of this Article Ten
shall not be construed as preventing the occurrence of a Default or an Event of
Default under Section 6.01.

Nothing contained in this Article Ten shall limit the
right of the Trustee or the Holders of Notes to take any action to accelerate
the maturity of the Notes pursuant to Article Six or to pursue any rights or
remedies hereunder or under applicable law, subject to the rights, if any,
under this Article Ten of the holders, from time to time, of Senior Debt.

Section 10.12                          No
Fiduciary Duty of Trustee to Holders of Senior Debt.

The Trustee shall not be deemed to owe any fiduciary
duty to the holders of Senior Debt, and it undertakes to perform or observe
such of its covenants and obligations as are specifically set forth in this
Article Ten, and no implied covenants or obligations with respect to the Senior
Debt shall be read into this Indenture against the Trustee.  The Trustee shall not be liable to any such
holders (other than for its willful misconduct or gross negligence) if it shall
pay over or deliver to the Holders of Notes or the Company or any other Person,
money or assets in compliance with the terms of this Indenture.  Nothing in this Section 10.12 shall affect
the obligation of any Person other than the Trustee to hold such payment for the
benefit of, and to pay such payment over to, the holders of Senior Debt or
their Representative.

ARTICLE
XI

GUARANTEE
OF NOTES

Section 11.01                          Unconditional
Guarantee.

Subject to the provisions of this Article Eleven, each
of the Guarantors hereby, jointly and severally, unconditionally and
irrevocably guarantees, on a senior subordinated basis (such guarantees to be
referred to herein as the “Guarantee”) to each Holder of a Note (including any
Additional Notes upon issuance in accordance with Section 2.18) authenticated
and delivered by the Trustee and to the Trustee and its successors and assigns,
irrespective of the validity and enforceability of this Indenture, the Notes or
the obligations of the Company or any other Guarantors to the Holders or the
Trustee hereunder or thereunder, that: (a) the principal of, premium, if any,
and interest on the Notes (and any Additional Interest payable thereon) shall
be duly and punctually paid in full when due, whether at maturity, upon
redemption at the option of Holders pursuant to the provisions of the Notes
relating thereto, by acceleration or otherwise, and interest on the overdue
principal and (to the extent permitted by law) interest, if any, on the

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Notes and all other obligations of the Company or the
Guarantors to the Holders or the Trustee hereunder or thereunder (including
amounts due the Trustee under Section 7.07 hereof) and all other obligations
shall be promptly paid in full or performed, all in accordance with the terms
hereof and thereof; and (b) in case of any extension of time of payment or
renewal of any Notes or any of such other obligations, the same shall be
promptly paid in full when due or performed in accordance with the terms of the
extension or renewal, whether at maturity, by acceleration or otherwise.  Failing payment when due of any amount so
guaranteed, or failing performance of any other obligation of the Company to
the Holders under this Indenture or under the Notes, for whatever reason, each
Guarantor shall be obligated to pay, or to perform or cause the performance of,
the same immediately.  An Event of
Default under this Indenture or the Notes shall constitute an event of default
under this Guarantee, and shall entitle the Holders of Notes to accelerate the
obligations of the Guarantors hereunder in the same manner and to the same
extent as the obligations of the Company.

Each of the Guarantors hereby agrees that its
obligations hereunder shall be unconditional, irrespective of the validity,
regularity or enforceability of the Notes or this Indenture, the absence of any
action to enforce the same, any waiver or consent by any Holder of the Notes
with respect to any provisions hereof or thereof, any release of any other
Guarantor, the recovery of any judgment against the Company, any action to
enforce the same, whether or not a Guarantee is affixed to any particular Note,
or any other circumstance which might otherwise constitute a legal or equitable
discharge or defense of a Guarantor. 
Each of the Guarantors hereby waives the benefit of diligence,
presentment, demand of payment, filing of claims with a court in the event of
insolvency or bankruptcy of the Company, any right to require a proceeding
first against the Company, protest, notice and all demands whatsoever and
covenants that its Guarantee shall not be discharged except by complete
performance of the obligations contained in the Notes, this Indenture and this
Guarantee.  This Guarantee is a guarantee
of payment and not of collection.  If any
Holder or the Trustee is required by any court or otherwise to return to the
Company or to any Guarantor, or any custodian, trustee, liquidator or other
similar official acting in relation to the Company or such Guarantor, any
amount paid by the Company or such Guarantor to the Trustee or such Holder,
this Guarantee, to the extent theretofore discharged, shall be reinstated in
full force and effect.  Each Guarantor
further agrees that, as between it, on the one hand, and the Holders of Notes
and the Trustee, on the other hand, (a) subject to this Article Eleven, the
maturity of the obligations guaranteed hereby may be accelerated as provided in
Article Six hereof for the purposes of this Guarantee, notwithstanding any
stay, injunction or other prohibition preventing such acceleration in respect of
the obligations guaranteed hereby, and (b) in the event of any acceleration of
such obligations as provided in Article Six hereof, such obligations (whether
or not due and payable) shall forthwith become due and payable by the
Guarantors for the purpose of this Guarantee.

No stockholder, officer, director, employee or
incorporator, past, present or future, or any Guarantor, as such, shall have
any personal liability under this Guarantee by reason of his, her or its status
as such stockholder, officer, director, employee or incorporator.

Each Guarantor that makes a payment or distribution
under its Guarantee shall be entitled to a contribution from each other
Guarantor in an amount pro rata, based on the net assets of each Guarantor,
determined in accordance with GAAP.

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Section 11.02                          Limitations on Guarantees.

The obligations of each Guarantor under its Guarantee
are limited to the maximum amount which, after giving effect to all other
contingent and fixed liabilities of such Guarantor and after giving effect to
any collections from or payments made by or on behalf of any other Guarantor in
respect of the obligations of such other Guarantor under its Guarantee or pursuant
to its contribution obligations under this Indenture, will result in the
obligations of such Guarantor under the Guarantee not constituting a fraudulent
conveyance or fraudulent transfer under applicable law.

Section 11.03                          Execution
and Delivery of Guarantee.

To further evidence the Guarantee set forth in Section
11.01, each Guarantor hereby agrees that a notation of such Guarantee,
substantially in the form of Exhibit E hereto, shall be endorsed on each Note
authenticated and delivered by the Trustee. 
Such Guarantee shall be executed on behalf of each Guarantor by either
manual or facsimile signature of a duly authorized Officer of each
Guarantor.  The validity and
enforceability of any Guarantee shall not be affected by the fact that it is
not affixed to any particular Note.

Each of the Guarantors hereby agrees that its
Guarantee set forth in Section 11.01 shall remain in full force and effect
notwithstanding any failure to endorse on each Note a notation of such
Guarantee.

If an Officer of a Guarantor whose signature is on
this Indenture or a Guarantee no longer holds that office at the time the
Trustee authenticates the Note on which such Guarantee is endorsed or at any
time thereafter, such Guarantor’s Guarantee of such Note shall be valid
nevertheless.

The delivery of any Note by the Trustee, after the
authentication thereof hereunder, shall constitute due delivery of any
Guarantee set forth in this Indenture on behalf of each Guarantor.

Section 11.04                          Release
of a Guarantor.

(a)                                  If no Default or
Event of Default exists and is continuing, the obligations of any Guarantor
under its Guarantee of the Notes will be automatically and unconditionally released
and discharged when any of the following occurs:

(1)                                  a
sale, exchange, transfer or other disposition (including, without limitation,
by way of merger, consolidation or otherwise), directly or indirectly, of all
of the Capital Stock of such Guarantor to any Person that is not a Restricted
Subsidiary of the Company; provided that such sale, exchange, transfer or other
disposition is made in accordance with the provisions of this Indenture;

(2)                                  a
sale, exchange, transfer or other disposition (including, without limitation,
by way of merger, consolidation or otherwise), directly or indirectly, of Capital
Stock of such Guarantor to any Person that is not a Restricted Subsidiary of
the Company, 

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or an issuance by such
Guarantor of its Capital Stock, in each case as a result of which such
Guarantor ceases to be a majority-owned Subsidiary of the Company; provided
that such transaction is made in accordance with the provisions of this
Indenture;

(3)                                  such
Guarantor is unconditionally released and discharged from its liability with
respect to Indebtedness in connection with which such Guarantee was executed
pursuant to clause (1) of the covenant described under the Section 4.19 hereof;

(4)                                  the
designation of such Guarantor as an Unrestricted Subsidiary in accordance with
the provisions of this Indenture; or

(5)                                  the
occurrence of Legal Defeasance or Covenant Defeasance in accordance with this
Indenture.

(b)                                 In connection with any
transaction set forth Section 11.04(a) above, the Trustee shall receive an
Officers’ Certificate and an Opinion of Counsel certifying as to the compliance
with this Section 11.04; provided, however, that the legal
counsel delivering such Opinion of Counsel may rely as to matters of fact on
one or more Officers’ Certificates of the Company.

The Trustee shall execute any documents reasonably
requested by the Company or a Guarantor in order to evidence the release of
such Guarantor from its obligations under its Guarantee endorsed on the Notes
and under this Article Eleven.

Section 11.05                          Waiver
of Subrogation.

Until this Indenture is discharged and all of the
Notes are discharged and paid in full, each Guarantor hereby irrevocably waives
and agrees not to exercise any claim or other rights which it may now or
hereafter acquire against the Company that arise from the existence, payment,
performance or enforcement of the Company’s obligations under the Notes or this
Indenture and such Guarantor’s obligations under this Guarantee and this Indenture,
in any such instance including, without limitation, any right of subrogation,
reimbursement, exoneration, contribution, indemnification, and any right to
participate in any claim or remedy of the Holders against the Company, whether
or not such claim, remedy or right arises in equity, or under contract, statute
or common law, including, without limitation, the right to take or receive from
the Company, directly or indirectly, in cash or other property or by set-off or
in any other manner, payment or security on account of such claim or other
rights.  If any amount shall be paid to
any Guarantor in violation of the preceding sentence and any amounts owing to
the Trustee or the Holders of Notes under the Notes, this Indenture, or any
other document or instrument delivered under or in connection with such
agreements or instruments, shall not have been paid in full, such amount shall
have been deemed to have been paid to such Guarantor for the benefit of, and
held in trust for the benefit of, the Trustee or the Holders and shall
forthwith be paid to the Trustee for the benefit of itself or such Holders to
be credited and applied to the obligations in favor of the Trustee or the
Holders, as the case may be, whether matured or unmatured, in accordance with the
terms of this Indenture.  Each Guarantor
acknowledges that it will receive direct and indirect benefits from the
financing arrangements contemplated by this Indenture and that the waiver set
forth in this Section 11.05 is knowingly made in contemplation of such
benefits.

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Section 11.06                          Immediate Payment.

Each Guarantor agrees to make immediate payment to the
Trustee on behalf of the Holders of all Obligations owing or payable to the
respective Holders upon receipt of a demand for payment therefor by the Trustee
to such Guarantor in writing.

Section 11.07                          No
Set-Off.

Each payment to be made by a Guarantor hereunder in
respect of the Obligations shall be payable in the currency or currencies in
which such Obligations are denominated, and shall be made without set-off,
defense, counterclaim, reduction or diminution of any kind or nature.

Section 11.08                          Obligations
Absolute.

The obligations of each Guarantor hereunder are and
shall be absolute and unconditional and any monies or amounts expressed to be
owing or payable by each Guarantor hereunder which may not be recoverable from
such Guarantor on the basis of a Guarantee shall be recoverable from such
Guarantor as a primary obligor and principal debtor in respect thereof.

Section 11.09                          Obligations
Continuing.

The obligations of each Guarantor hereunder shall be
continuing and shall remain in full force and effect until all the obligations
have been paid and satisfied in full. 
Each Guarantor agrees with the Trustee that it will from time to time
deliver to the Trustee suitable acknowledgments of this continued liability
hereunder and under any other instrument or instruments in such form as counsel
to the Trustee may advise and as will prevent any action brought against it in
respect of any default hereunder being barred by any statute of limitations now
or hereafter in force and, in the event of the failure of a Guarantor so to do,
it hereby irrevocably appoints the Trustee the attorney and agent of such
Guarantor to make, execute and deliver such written acknowledgment or
acknowledgments or other instruments as may from time to time become necessary
or advisable, in the judgment of the Trustee on the advice of counsel, to fully
maintain and keep in force the liability of such Guarantor hereunder.

Section 11.10                          Obligations
Not Reduced.

The obligations of each Guarantor hereunder shall not
be satisfied, reduced or discharged solely by the payment of such principal,
premium, if any, interest, fees and other monies or amounts as may at any time
prior to discharge of this Indenture pursuant to Article Eight be or become owing
or payable under or by virtue of or otherwise in connection with the Notes or
this Indenture.

Section 11.11                          Obligations
Reinstated.

The obligations of each Guarantor hereunder shall
continue to be effective or shall be reinstated, as the case may be, if at any
time any payment which would otherwise have reduced the obligations of any
Guarantor hereunder (whether such payment shall have been made

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by or on behalf of the Company or by or on behalf of a
Guarantor) is rescinded or reclaimed from any of the Holders upon the
insolvency, bankruptcy, liquidation or reorganization of the Company or any
Guarantor or otherwise, all as though such payment had not been made.  If demand for, or acceleration of the time
for, payment by the Company is stayed upon the insolvency, bankruptcy,
liquidation or reorganization of the Company, all such Indebtedness otherwise
subject to demand for payment or acceleration shall nonetheless be payable by
each Guarantor as provided herein.

Section 11.12                          Obligations
Not Affected.

The obligations of each Guarantor hereunder shall not
be affected, impaired or diminished in any way by any act, omission, matter or
thing whatsoever, occurring before, upon or after any demand for payment
hereunder (and whether or not known or consented to by any Guarantor or any of
the Holders) which, but for this provision, might constitute a whole or partial
defense to a claim against any Guarantor hereunder or might operate to release
or otherwise exonerate any Guarantor from any of its obligations hereunder or
otherwise affect such obligations, whether occasioned by default of any of the
Holders or otherwise, including, without limitation:

(a)                                  any limitation of
status or power, disability, incapacity or other circumstance relating to the
Company or any other Person, including any insolvency, bankruptcy, liquidation,
reorganization, readjustment, composition, dissolution, winding-up or other
proceeding involving or affecting the Company or any other Person;

(b)                                 any irregularity,
defect, unenforceability or invalidity in respect of any indebtedness or other
obligation of the Company or any other Person under this Indenture, the Notes
or any other document or instrument;

(c)                                  any failure of the
Company, whether or not without fault on its part, to perform or comply with
any of the provisions of this Indenture or the Notes, or to give notice thereof
to a Guarantor;

(d)                                 the taking or
enforcing or exercising or the refusal or neglect to take or enforce or exercise
any right or remedy from or against the Company or any other Person or their
respective assets or the release or discharge of any such right or remedy;

(e)                                  the granting of time,
renewals, extensions, compromises, concessions, waivers, releases, discharges
and other indulgences to the Company or any other Person;

(f)                                    any change in the
time, manner or place of payment of, or in any other term of, any of the Notes,
or any other amendment, variation, supplement, replacement or waiver of, or any
consent to departure from, any of the Notes or this Indenture, including,
without limitation, any increase or decrease in the principal amount of or
premium, if any, or interest on any of the Notes;

(g)                                 any change in the
ownership, control, name, objects, businesses, assets, capital structure or
constitution of the Company or a Guarantor;

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(h)                                 any merger or
amalgamation of the Company or a Guarantor with any Person or Persons;

(i)                                     the occurrence of
any change in the laws, rules, regulations or ordinances of any jurisdiction by
any present or future action of any governmental authority or court amending,
varying, reducing or otherwise affecting, or purporting to amend, vary, reduce
or otherwise affect, any of the Obligations or the obligations of a Guarantor
under its Guarantee; and

(j)                                     any other
circumstance, (other than release of the Guarantor pursuant to Section 11.04
and other than by complete, irrevocable payment) that might otherwise
constitute a legal or equitable discharge or defense of the Company under this
Indenture or the Notes or of a Guarantor in respect of its Guarantee hereunder.

Section 11.13                          Waiver.

Without in any way limiting the provisions of Section
11.01 hereof, each Guarantor hereby waives notice of acceptance hereof, notice
of any liability of any Guarantor hereunder, notice or proof of reliance by the
Holders upon the obligations of any Guarantor hereunder, and diligence,
presentment, demand for payment on the Company, protest, notice of dishonor or
non-payment of any of the Obligations, or other notice or formalities to the
Company or any Guarantor of any kind whatsoever.

Section 11.14                          No
Obligation To Take Action Against the Company.

Neither the Trustee nor any other Person shall have
any obligation to enforce or exhaust any rights or remedies or to take any
other steps under any security for the Obligations or against the Company or
any other Person or any property of the Company or any other Person before the
Trustee is entitled to demand payment and performance by any or all Guarantors
of their liabilities and obligations under their Guarantees or under this
Indenture.

Section 11.15                          Dealing
with the Company and Others.

The Holders, without releasing, discharging, limiting
or otherwise affecting in whole or in part the obligations and liabilities of
any Guarantor hereunder and without the consent of or notice to any Guarantor,
may

(a)                                  grant
time, renewals, extensions, compromises, concessions, waivers, releases,
discharges and other indulgences to the Company or any other Person;

(b)                                 take
or abstain from taking security or collateral from the Company or from
perfecting security or collateral of the Company;

(c)                                  accept
compromises or arrangements from the Company;

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(d)                                 apply
all monies at any time received from the Company or from any security upon such
part of the Obligations as the Holders may see fit or change any such application
in whole or in part from time to time as the Holders may see fit; and

(e)                                  otherwise
deal with, or waive or modify their right to deal with, the Company and all
other Persons and any security as the Holders or the Trustee may see fit.

Section 11.16                          Default
and Enforcement.

If any Guarantor fails to pay in accordance with
Section 11.06 hereof, the Trustee may proceed in its name as trustee hereunder
in the enforcement of the Guarantee of any such Guarantor and such Guarantor’s
obligations thereunder and hereunder by any remedy provided by law, whether by
legal proceedings or otherwise, and to recover from such Guarantor the obligations.

Section 11.17                          Amendment,
Etc.

No amendment, modification or waiver of any provision
of this Indenture relating to any Guarantor or consent to any departure by any
Guarantor or any other Person from any such provision will in any event be
effective unless it is signed by such Guarantor and the Trustee.

Section 11.18                          Acknowledgment.

Each Guarantor hereby acknowledges communication of
the terms of this Indenture and the Notes and consents to and approves of the
same.

Section 11.19                          Costs
and Expenses.

Each Guarantor shall pay on demand by the Trustee any
and all costs, fees and expenses (including, without limitation, legal fees)
incurred by the Trustee, its agents, advisors and counsel or any of the Holders
in enforcing any of their rights under any Guarantee.

Section 11.20                          No
Waiver; Cumulative Remedies.

No failure to exercise and no delay in exercising, on
the part of the Trustee or the Holders, any right, remedy, power or privilege
hereunder or under this Indenture or the Notes, shall operate as a waiver
thereof; nor shall any single or partial exercise of any right, remedy, power
or privilege hereunder or under this Indenture or the Notes preclude any other
or further exercise thereof or the exercise of any other right, remedy, power
or privilege.  The rights, remedies,
powers and privileges in the Guarantee and under this Indenture, the Notes and
any other document or instrument between a Guarantor and/or the Company and the
Trustee are cumulative and not exclusive of any rights, remedies, powers and
privilege provided by law.

Section 11.21                          Guarantee
in Addition to Other Obligations.

The obligations of each Guarantor under its Guarantee
and this Indenture are in addition to and not in substitution for any other
obligations to the Trustee or to any of the

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Holders in relation to this Indenture or the Notes and
any guarantees or security at any time held by or for the benefit of any of
them.

Section 11.22                          Severability.

Any provision of this Article Eleven which is
prohibited or unenforceable in any jurisdiction shall not invalidate the
remaining provisions and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction unless its removal would substantially defeat the basic
intent, spirit and purpose of this Indenture and this Article Eleven.

Section 11.23                          Successors
and Assigns.

Unless released in accordance with this Indenture,
each Guarantee shall be binding upon and inure to the benefit of each Guarantor
and the Trustee and the other Holders and their respective successors and
permitted assigns, except that no Guarantor may assign any of its obligations
hereunder or thereunder.

ARTICLE
XII

SUBORDINATION
OF GUARANTEE

Section 12.01                          Guarantee
Obligations Subordinated to Guarantor Senior Debt.

Anything herein to the contrary notwithstanding, each
of the Guarantors, for itself and its successors, and each Holder, by his or
her acceptance of Guarantees, agrees that the payment of all Obligations owing
to the Holders in respect of its Guarantee (collectively, as to any Guarantor,
its “Guarantee Obligations”) is subordinated, to the extent and in the manner
provided in this Article Twelve, to the prior payment in full in cash, Cash
Equivalents or Foreign Cash Equivalents, or such payment duly provided for to
the satisfaction of the holders of Guarantor Senior Debt, of all Obligations on
Guarantor Senior Debt of such Guarantor, including without limitation, the
Guarantors’ obligations under the Credit Facilities.

This Article Twelve shall constitute a continuing
offer to all Persons who become holders of, or continue to hold, Guarantor
Senior Debt, and such provisions are made for the benefit of the holders of
Guarantor Senior Debt and such holders are made obligees hereunder and any one
or more of them may enforce such provisions.

Section 12.02                          Suspension
of Guarantee Obligations When Guarantor Senior Debt Is in Default.

(a)                                  Unless Section 12.03
shall be applicable, upon (1) the occurrence of a Payment Default with respect
to any Designated Senior Debt of a Guarantor or guaranteed by a Guarantor
(which Designated Senior Debt or guarantee, as the case may be, constitutes
Guarantor Senior Debt of such Guarantor) and (2) receipt by the Trustee, the
Company and such Guarantor from a Representative of written notice of such
occurrence, then no payment (other than payments previously made pursuant to
Article Eight) or distribution of any assets of such

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Guarantor of any kind or character shall be made by or on behalf of
such Guarantor or any other Person on its behalf on account of any Obligations
under the Notes or on account of the purchase, redemption or other acquisition
of Notes for cash or property or otherwise (except that Holders may receive (i)
Permitted Junior Securities and (ii) payments made from the trusts described in
Section 8.01) until such Payment Default shall have been cured or waived or
shall have ceased to exist or such Guarantor Senior Debt shall have been
discharged or paid in full in cash, Cash Equivalents or Foreign Cash
Equivalents, or such payment duly provided for to the satisfaction of the
holders of Guarantor Senior Debt, after which such Guarantor shall resume
making any and all required payments in respect of its obligations under this
Guarantee, including any missed payments.

(b)                                 Unless Section 12.03
shall be applicable upon (1) the occurrence of any event of default (other than
a Payment Default) with respect to any Designated Senior Debt of a Guarantor
(as such event of default is defined in the instrument creating or evidencing
such Designated Senior Debt of a Guarantor) and (2) the earlier of (i) receipt
by the Trustee, the Company and such Guarantor from a Representative of written
notice of such occurrence stating that such notice is a “Payment Blockage
Notice” pursuant to this Section 12.02 or (ii) if such Non-payment Default
results from the acceleration of the Securities, the date of the acceleration
of the Securities, no payment (other than payments previously made pursuant to
Article Eight hereof) or distribution of any assets of such Guarantor of any
kind or character shall be made by on or behalf of such Guarantor or any other
Person on its or their behalf on account of principal, premium, if any, or
interest on the Notes or on account of the purchase, redemption or other acquisition
of Notes for cash or property or otherwise (except that Holders may receive (i)
Permitted Junior Securities and (ii) payments made from the trusts described in
Section 8.01) for a period (the “Guarantor Payment Blockage Period”) commencing
on the date of receipt by the Trustee of such notice or the date of the
acceleration referred to in clause (ii) above, as the case may be, unless and
until the earlier to occur of the following events: (w) 180 days shall have
elapsed since receipt of such written notice by the Trustee or the date of the
acceleration of the Notes, as the case may be (provided no Designated Senior
Debt of a Guarantor shall theretofore have been accelerated), (x) such
Non-payment Default shall have been cured or waived or shall have ceased to
exist, (y) such Designated Senior Debt shall have been discharged or paid in
full in cash, Cash Equivalents or Foreign Cash Equivalents, or such payment
duly provided for to the satisfaction of the holders of such Designated Senior
Debt of a Guarantor or (z) such Guarantor Payment Blockage Period shall have
been terminated by written notice to the Trustee from the Representative
initiating Guarantor Payment Blockage Period, or the holders of at least a
majority in principal amount of such issue of Guarantor Senior Debt, after
which, in the case of clause (w), (x), (y) or (z), such Guarantor shall resume
making any and all required payments in respect of its obligations under its
Guarantee, including any missed payments. 
Notwithstanding anything herein to the contrary, (x) in no event will a
Guarantor Payment Blockage Period or successive Guarantor Payment Blockage
Periods with respect to the same payment on a Guarantee extend beyond 180 days
from the date the payment on a Guarantee was due and (y) only one such Guarantor
Payment Blockage Period may be commenced within any 360 consecutive days.  For all purposes of this Section 12.02(b), no
event of default which existed or was continuing on the date of the
commencement of any Guarantor Payment Blockage Period with respect to the Designated
Senior Debt of a Guarantor initiating such Guarantor Payment Blockage Period
shall be, or be made, the basis for the commencement of a second Guarantor
Payment Blockage Period by

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the holders or by the agent or other representative of such Designated
Senior Debt of a Guarantor whether or not within a period of 360 consecutive
days, unless such event of default shall have been cured or waived for a period
of not less than 90 consecutive days (it being acknowledged that any subsequent
action, or any breach of any financial covenants for a period commencing after
the date of commencement of such Guarantor Payment Blockage Period that, in
either case, would give rise to an event of default pursuant to any provisions
under which an event of default previously existed or was continuing shall
constitute a new event of default for this purpose).

(c)                                  In the event that,
notwithstanding the foregoing, a Guarantor shall have made payment to the Trustee
or directly to the Holder of any Note prohibited by the foregoing provisions of
this Section 12.02, then and in such event such payment shall be segregated
from other funds and held in trust by the Trustee or such Holder or Paying
Agent for the benefit of, and shall immediately be paid over to, the holders of
Designated Senior Debt of a Guarantor or to the Representatives or as a court
of competent jurisdiction shall direct.

Section 12.03                          Guarantee
Obligations Subordinated to Prior Payment of All Guarantor Senior Debt on
Dissolution, Liquidation or Reorganization of Such Subsidiary Guarantor.

Upon any payment or distribution of assets of any
Guarantor of any kind or character, whether in cash, property or securities to
creditors upon any liquidation, dissolution, winding up, reorganization,
assignment for the benefit of creditors or marshaling of assets of such
Guarantor, whether voluntary or involuntary, or in a bankruptcy,
reorganization, insolvency, receivership or other similar proceeding relating
to any Guarantor or its property, whether voluntary or involuntary, but
excluding any liquidation or dissolution of a Guarantor into the Company or
into another Guarantor:

(a)                                  the holders of all
Guarantor Senior Debt of such Guarantor shall first be entitled to receive
payments in full in cash, Cash Equivalents or Foreign Cash Equivalents, or such
payment duly provided for to the satisfaction of the holders of Guarantor
Senior Debt, of all amounts payable under Guarantor Senior Debt before the
Holders will be entitled to receive any payment or distribution of any kind or
character on account of the Guarantee of such Guarantor, and until all
Obligations with respect to the Guarantor Senior Debt are paid in full in cash,
Cash Equivalents or Foreign Cash Equivalents, or such payment duly provided for
to the satisfaction of the holders of Guarantor Senior Debt, any distribution
to which the Holders would be entitled shall be made to the holders of
Guarantor Senior Debt of such Guarantor;

(b)                                 any payment or
distribution of assets of such Guarantor of any kind or character, whether in
cash, property or securities, to which the Holders or the Trustee on behalf of
the Holders would be entitled except for the provisions of this Article Twelve
shall be paid by the liquidating trustee or agent or other Person making such a
payment or distribution, directly to the holders of Guarantor Senior Debt of
such Guarantor or their representatives, ratably according to the respective
amounts of such Guarantor Senior Debt remaining unpaid held or represented by
each, until all such Guarantor Senior Debt remaining unpaid shall have been
paid in full in cash, Cash Equivalents or Foreign Cash Equivalents, or such
payment duly provided for to the satisfaction of the holders of

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Guarantor Senior Debt, after giving effect to
any concurrent payment or distribution to the holders of such Guarantor Senior
Debt;

(c)                                  in the event that,
notwithstanding the foregoing, any payment or distribution of assets of such
Guarantor of any kind or character, whether such payment shall be in cash,
property or securities, and such Guarantor shall have made payment to the Trustee
or directly to the Holders or any Paying Agent in respect of payment of the
Guarantees before all Guarantor Senior Debt of such Guarantor is paid in full
in cash, Cash Equivalents or Foreign Cash Equivalents, or such payment duly
provided for to the satisfaction of the holders of Guarantor Senior Debt, such
payment or distribution (subject to the provisions of Sections 12.06 and 12.07)
shall be received, segregated from other funds, and held in trust by the
Trustee or such Holder or Paying Agent for the benefit of, and shall
immediately be paid over by the Trustee (if the notice required by Section
12.06 has been received by the Trustee) or by the Holder to, the holders of
such Guarantor Senior Debt or their representatives, ratably according to the
respective amounts of such Guarantor Senior Debt held or represented by each,
until all such Guarantor Senior Debt remaining unpaid shall have been paid in
full in cash, Cash Equivalents or Foreign Cash Equivalents, or such payment
duly provided for to the satisfaction of the holders of Guarantor Senior Debt,
after giving effect to any concurrent payment or distribution to the holders of
Guarantor Senior Debt.

Each Guarantor shall give prompt notice to the Trustee
prior to any dissolution, winding up, total or partial liquidation or total or
reorganization (including, without limitation, in bankruptcy, insolvency, or
receivership proceedings or upon any assignment for the benefit of creditors or
any other marshaling of such Guarantor’s assets and liabilities).

Section 12.04                          Holders
of Guarantee Obligations To Be Subrogated to Rights of Holders of Guarantor
Senior Debt.

Subject to the payment in full in cash, Cash
Equivalents or Foreign Cash Equivalents, or such payment duly provided for to
the satisfaction of the holders of Guarantor Senior Debt, of all Guarantor
Senior Debt, the Holders of Guarantee Obligations of a Guarantor shall be
subrogated to the rights of the holders of Guarantor Senior Debt of such
Guarantor to receive payments or distributions of assets of such Guarantor
applicable to such Guarantor Senior Debt until all amounts owing on or in
respect of the Guarantee Obligations shall be paid in full in cash, Cash
Equivalents or Foreign Cash Equivalents, and for the purpose of such
subrogation no payments or distributions to the holders of such Guarantor
Senior Debt by or on behalf of such Guarantor, or by or on behalf of the
Holders by virtue of this Article Twelve, which otherwise would have been made
to the Holders shall, as between such Guarantor and the Holders, be deemed to
be payment by such Guarantor to or on account of such Guarantor Senior Debt, it
being understood that the provisions of this Article Twelve are and are
intended solely for the purpose of defining the relative rights of the Holders,
on the one hand, and the holders of such Guarantor Senior Debt, on the other
hand.

If any payment or distribution to which the Holders
would otherwise have been entitled but for the provisions of this Article
Twelve shall have been applied, pursuant to the provisions of this Article
Twelve, to the payment of all amounts payable under such Guarantor

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Senior Debt, then the Holders shall be entitled to
receive from the holders of such Guarantor Senior Debt any such payments or
distributions received by such holders of such Guarantor Senior Debt in excess
of the amount sufficient to pay all amounts payable under or in respect of such
Guarantor Senior Debt in full in cash, Cash Equivalents or Foreign Cash
Equivalents, or such payment duly provided for to the satisfaction of the
holders of Guarantor Senior Debt.

Each Holder by purchasing or accepting a Note waives
any and all notice of the creation, modification, renewal, extension or accrual
of any Guarantor Senior Debt of the Guarantors and notice of or proof of
reliance by any holder or owner of Guarantor Senior Debt of the Guarantors upon
this Article Twelve and the Guarantor Senior Debt of the Guarantors shall conclusively
be deemed to have been created, contracted or incurred in reliance upon this
Article Twelve, and all dealings between the Guarantors and the holders and
owners of the Guarantor Senior Debt of the Guarantors shall be deemed to have
been consummated in reliance upon this Article Twelve.

Section 12.05                          Obligations
of the Guarantors Unconditional.

Nothing contained in this Article Twelve or elsewhere
in this Indenture or in the Guarantees is intended to or shall impair, as
between the Guarantors and the Holders, the obligation of the Guarantors, which
is absolute and unconditional, to pay to the Holders all amounts due and payable
under the Guarantees as and when the same shall become due and payable in
accordance with their terms, or is intended to or shall affect the relative
rights of the Holders and creditors of the Guarantors other than the holders of
the Guarantor Senior Debt, nor shall anything herein or therein prevent the
Trustee or any Holder from exercising all remedies otherwise permitted by
applicable law upon default under this Indenture, subject to the rights, if
any, under this Article Twelve, of the holders of Guarantor Senior Debt in
respect of cash, property or securities of the Guarantors received upon the
exercise of any such remedy.  Upon any
payment or distribution of assets of any Guarantor referred to in this Article
Twelve, the Trustee, subject to the provisions of Sections 7.01 and 7.02, and
the Holders shall be entitled to rely upon any order or decree made by any
court of competent jurisdiction in which any liquidation, dissolution, winding
up or reorganization proceedings are pending, or a certificate of the receiver,
trustee in bankruptcy, liquidating trustee or agent or other Person making any
payment or distribution to the Trustee or to the Holders for the purpose of
ascertaining the Persons entitled to participate in such payment or
distribution, the holders of Guarantor Senior Debt and other Indebtedness of
any Guarantor, the amount thereof or payable thereon, the amount or amounts
paid or distributed thereon and all other facts pertinent thereto or to this
Article Twelve.  Nothing in this Article
Twelve shall apply to the claims of, or payments to, the Trustee under or
pursuant to Section 7.07.  The Trustee
shall be entitled to rely on the delivery to it of a written notice by a Person
representing himself or itself to be a holder of any Guarantor Senior Debt (or
a trustee on behalf of, or other representative of, such holder) to establish
that such notice has been given by a holder of such Guarantor Senior Debt or a
trustee or representative on behalf of any such holder.

In the event that the Trustee determines in good faith
that any evidence is required with respect to the right of any Person as a
holder of Guarantor Senior Debt to participate in any payment or distribution
pursuant to this Article Twelve, the Trustee may request such Person to furnish
evidence to the reasonable satisfaction of the Trustee as to the amount of
Guarantor

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Senior Debt held by such Person, the extent to which
such Person is entitled to participate in such payment or distribution and any
other facts pertinent to the rights of such Person under this Article Twelve,
and if such evidence is not furnished, the Trustee may defer any payment to
such Person pending judicial determination as to the right of such Person to
receive such payment.

Section 12.06                          Trustee
Entitled To Assume Payments Not Prohibited in Absence of Notice.

The Trustee shall not at any time be charged with
knowledge of the existence of any facts that would prohibit the making of any
payment to or by the Trustee unless and until the Trustee or any Paying Agent
shall have received notice thereof from the Company or any Guarantor or from
one or more holders of Guarantor Senior Debt or from any Representative
therefor and, prior to the receipt of any such notice, the Trustee, subject to
the provisions of Sections 7.01 and 7.02, shall be entitled in all respects
conclusively to assume that no such fact exists.

Section 12.07                          Application
by Trustee of Assets Deposited with It.

U.S. Legal Tender, U.S. Government Obligations, Euros
or Euro Obligations deposited in trust with the Trustee pursuant to and in
accordance with Sections 8.01 and 8.02 shall be for the sole benefit of Holders
of the Notes and, to the extent allocated for the payment of Notes, shall not
be subject to the subordination provisions of this Article Twelve.  Otherwise, any deposit of assets or
securities by or on behalf of a Guarantor with the Trustee or any Paying Agent
(whether or not in trust) for payment of the Guarantees shall be subject to the
provisions of this Article Twelve; provided, however, that if prior to the
second Business Day preceding the date on which by the terms of this Indenture
any such assets may become distributable for any purpose (including, without
limitation, the payment of either principal of or interest on any Note) the
Trustee or such Paying Agent shall not have received with respect to such
assets the notice provided for in Section 12.06, then the Trustee or such
Paying Agent shall have full power and authority to receive such assets and to
apply the same to the purpose for which they were received, and shall not be
affected by any notice to the contrary received by it on or after such
date.  The foregoing shall not apply to
the Paying Agent if the Company or any Subsidiary or Affiliate of the Company
is acting as Paying Agent.  Nothing
contained in this Section 12.07 shall limit the right of the holders of
Guarantor Senior Debt to recover payments as contemplated by this Article Twelve.

Section 12.08                          No
Waiver of Subordination Provisions.

(a)                                  No right of any
present or future holder of any Guarantor Senior Debt to enforce subordination
as herein provided shall at any time in any way be prejudiced or impaired by
any act or failure to act on the part of any Guarantor or by any act or failure
to act, by any such holder, or by any non-compliance by any Guarantor with the
terms, provisions and covenants of this Indenture, regardless of any knowledge
thereof any such holder may have or be otherwise charged with.

(b)                                 Without limiting the
generality of subsection (a) of this Section 12.08, the holders of Guarantor
Senior Debt may, at any time and from time to time, without the consent of or
notice to the Trustee or the Holders of the Securities, without incurring
responsibility to the

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Holders of the Notes and without impairing or releasing the
subordination provided in this Article Twelve or the obligations hereunder of
the Holders of the Notes to the holders of Guarantor Senior Debt, do any one or
more of the following: (1) change the manner, place, terms or time of payment
of, or renew or alter, Guarantor Senior Debt or any instrument evidencing the
same or any agreement under which Guarantor Senior Debt is outstanding; (2)
sell, exchange, release or otherwise deal with any property pledged, mortgaged
or otherwise securing Guarantor Senior Debt; (3) release any Person liable in
any manner for the collection or payment of Guarantor Senior Debt; and (4)
exercise or refrain from exercising any rights against the Guarantors and any
other Person.

Section 12.09                          Holders
Authorize Trustee To Effectuate Subordination of Guarantee Obligations.

Each Holder of the Guarantee Obligations by his
acceptance thereof authorizes and expressly directs the Trustee on his behalf
to take such action as may be necessary or appropriate to effect the
subordination provisions contained in this Article Twelve, and appoints the
Trustee his attorney-in-fact for such purpose, including, in the event of any
liquidation, dissolution, winding up, reorganization, assignment for the
benefit of creditors or marshaling of assets of any Guarantor tending towards
liquidation or reorganization of the business and assets of any Guarantor, the
immediate filing of a claim for the unpaid balance under its or his Guarantee Obligations
in the form required in said proceedings and cause said claim to be
approved.  If the Trustee does not file a
proper claim or proof of debt in the form required in such proceeding prior to
30 days before the expiration of the time to file such claim or claims, then
any of the holders of the Guarantor Senior Debt or their Representative is
hereby authorized to file an appropriate claim for and on behalf of the Holders
of said Guarantee Obligations.  Nothing
herein contained shall be deemed to authorize the Trustee or the holders of
Guarantor Senior Debt or their Representative to authorize or consent to or
accept or adopt on behalf of any holder of Guarantee Obligations any plan of
reorganization, arrangement, adjustment or composition affecting the Guarantee
Obligations or the rights of any Holder thereof, or to authorize the Trustee or
the holders of Guarantor Senior Debt or their Representative to vote in respect
of the claim of any holder of Guarantee Obligations in any such proceeding.

Section 12.10                          Right
of Trustee To Hold Guarantor Senior Indebtedness.

The Trustee shall be entitled to all of the rights set
forth in this Article Twelve in respect of any Guarantor Senior Debt at any
time held by it to the same extent as any other holder of Guarantor Senior
Debt, and nothing in this Indenture shall be construed to deprive the Trustee
of any of its rights as such holder.

Section 12.11                          No
Suspension of Remedies.

The failure to make a payment in respect of the Guarantees
by reason of any provision of this Article Twelve shall not be construed as
preventing the occurrence of a Default or an Event of Default under Section
6.01.

Nothing contained in this Article Twelve shall limit
the right of the Trustee or the Holders of Notes to take any action to
accelerate the maturity of the Notes pursuant to Article

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Six or to pursue any rights or remedies hereunder or
under applicable law, subject to the rights, if any, under this Article Twelve
of the holders, from time to time, of Guarantor Senior Debt.

Section 12.12                          No
Fiduciary Duty of Trustee to Holders of Guarantor Senior Debt.

The Trustee shall not be deemed to owe any fiduciary
duty to the holders of Guarantor Senior Debt, and it undertakes to perform or
observe such of its covenants and obligations as are specifically set forth in
this Article Twelve, and no implied covenants or obligations with respect to
the Guarantor Senior Debt shall be read into this Indenture against the
Trustee.  The Trustee shall not be liable
to any such holders (other than for its willful misconduct or gross negligence)
if it shall pay over or deliver to the holders of Guarantee Obligations or the
Guarantors or any other Person, money or assets in compliance with the terms of
this Indenture.  Nothing in this Section
12.12 shall affect the obligation of any Person other than the Trustee to hold
such payment for the benefit of, and to pay such payment over to, the holders
of Guarantor Senior Debt or their Representative.

ARTICLE
XIII

MISCELLANEOUS

Section 13.01                          TIA
Controls.

If any provision of this Indenture limits, qualifies,
or conflicts with another provision which is required to be included in this
Indenture by the TIA, the required provision shall control.  If any provision of this Indenture modifies
or excludes any provision of the TIA that may be so modified or excluded, the
latter provision shall be deemed to apply to this Indenture as so modified or
excluded, as the case may be.

Section 13.02                          Notices.

Any notices or other communications required or
permitted hereunder shall be in writing, and shall be sufficiently given if
made by hand delivery, by telex, by telecopier or registered or certified mail,
postage prepaid, return receipt requested, addressed as follows:

if to the Company or any Guarantor:

Huntsman International LLC

500 Huntsman Way

Salt Lake City, Utah 84108

Attention: Office of General Counsel

if to the Trustee:

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue

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MAC N9303-120

Minneapolis, Minnesota  55479

Attention:            Corporate
Trust Services -

Huntsman Administrator

The Company, the Guarantors and the Trustee by written
notice to each other may designate additional or different addresses for
notices.  Any notice or communication to
the Company, the Guarantors or the Trustee shall be deemed to have been given
or made as of the date so delivered if personally delivered; when answered
back, if telexed; when receipt is acknowledged, if faxed; and five (5) calendar
days after mailing if sent by registered or certified mail, postage prepaid
(except that a notice of change of address shall not be deemed to have been
given until actually received by the addressee).

As long as the Securities are listed on the Luxembourg
Stock Exchange and notice is required by the rules of the Luxembourg Stock
Exchange, such notice shall be sufficiently given by publication of such notice
to Holders of the Securities in English in a leading newspaper having general
circulation in Luxembourg (which is expected to be the Luxembourg Wort) or, if
such publication is not practicable, in one other leading English language
daily newspaper with general circulation in Europe, such newspaper being
published on each business day in morning editions, whether or not it shall be
published in Saturday, Sunday or holiday editions.

Any notice or communication mailed to a Holder shall
be mailed to him by first class mail or other equivalent means at his address
as it appears on the registration books of the Registrar and shall be
sufficiently given to him if so mailed within the time prescribed.

Failure to mail a notice or communication to a
Noteholder or any defect in it shall not affect its sufficiency with respect to
other Holders.  If a notice or
communication is mailed in the manner provided above, it is duly given, whether
or not the addressee receives it.

Section 13.03                          Communications
by Holders with Other Holders.

Holders may communicate pursuant to TIA (§) 312(b)
with other Holders with respect to their rights under this Indenture or the
Notes.  The Company, the Trustee, the
Registrar and any other Person shall have the protection of TIA (§) 312(c).

Section 13.04                          Certificate
and Opinion as to Conditions Precedent.

Upon any request or application by the Company or the
Guarantors to the Trustee to take any action under this Indenture, the Company
shall furnish to the Trustee:

(1)                                  an
Officers’ Certificate, in form and substance satisfactory to the Trustee,
stating that, in the opinion of the signers, all conditions precedent to be performed
by the Company, if any, provided for in this Indenture relating to the proposed
action have been complied with; and

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(2)                                  an
Opinion of Counsel stating that, in the opinion of such counsel, all such
conditions precedent to be performed by the Company, if any, provided for in
this Indenture relating to the proposed action have been complied with.

Section 13.05                          Statements
Required in Certificate or Opinion.

Each certificate or opinion with respect to compliance
with a condition or covenant provided for in this Indenture, other than the
Officers’ Certificate required by Section 4.07, shall include:

(1)                                  a
statement that the Person making such certificate or opinion has read such
covenant or condition;

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

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

(4)                                  a
statement as to whether or not, in the opinion of each such Person, such
condition or covenant has been complied with.

Section 13.06                          Rules
by Trustee, Paying Agent, Registrar.

The Trustee may make reasonable rules in accordance
with the Trustee’s customary practices for action by or at a meeting of
Holders.  The Paying Agent or Registrar
may make reasonable rules for its functions.

Section 13.07                          Legal
Holidays.

If a payment date under this Indenture is not a
Business Day, payment may be made at such place on the next succeeding day that
is a Business Day, and no interest shall accrue for the intervening period.

Section 13.08                          Governing
Law.

THIS INDENTURE, THE NOTES AND THE GUARANTEES SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK.  Each of the parties hereto agrees
to submit to the non-exclusive jurisdiction of the competent courts of the
State of New York in any action or proceeding arising out of or relating to
this Indenture or the Notes.

 107
 

 

Section 13.09                          No Adverse Interpretation
of Other Agreements.

This Indenture may not be used to interpret another
indenture, loan or debt agreement of the Company or any of its Subsidiaries.  Any such indenture, loan or debt agreement
may not be used to interpret this Indenture.

Section 13.10                          No
Recourse Against Others.

A past, present or future director, officer, member,
manager, employee, stockholder or incorporator, as such, of the Company or any
Guarantor shall not have any liability for any obligations of the Company or
any Guarantor under the Notes, the Guarantees or this Indenture or for any
claim based on, in respect of or by reason of such obligations or their
creations.  Each Holder by accepting a
Note waives and releases all such liability. 
Such waiver and release are part of the consideration for the issuance
of the Notes.

Section 13.11                          Successors.

All agreements of the Company in this Indenture and
the Notes shall bind its successors.  All
agreements of the Trustee in this Indenture shall bind its successors.

Section 13.12                          Duplicate
Originals.

All parties may sign any number of copies of this
Indenture.  Each signed copy shall be an
original, but all of them together shall represent the same agreement.

Section 13.13                          Severability.

In case any one or more of the provisions in this
Indenture or in the Notes shall be held invalid, illegal or unenforceable, in
any respect for any reason, the validity, legality and enforceability of any such
provision in every other respect and of the remaining provisions shall not in
any way be affected or impaired thereby, it being intended that all of the
provisions hereof shall be enforceable to the full extent permitted by law.

Section 13.14                          Independence
of Covenants.

All covenants and agreements in this Indenture and the
Notes shall be given independent effect so that if any particular action or
condition is not permitted by any of such covenants, the fact that it would be
permitted by an exception to, or otherwise be within the limitations of,
another covenant shall not avoid the occurrence of a Default or an Event of
Default if such action is taken or condition exists.

[Remainder of Page
Intentionally Left Blank]

 108

 

SIGNATURES

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

	
  

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
   

  	
  Name: Sean Douglas

  	
   

  
	
   

  	
   

  	
  Title: Vice President and Treasurer

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  GUARANTORS

  
	
   

  	
   

  
	
   

  	
  AIRSTAR CORPORATION

  
	
   

  	
  EUROFUELS LLC

  
	
   

  	
  EUROSTAR INDUSTRIES LLC

  
	
   

  	
  HUNTSMAN EA HOLDINGS LLC

  
	
   

  	
  HUNTSMAN ETHYLENEAMINES LTD.

  
	
   

  	
  HUNTSMAN INTERNATIONAL FINANCIAL

  
	
   

  	
  LLC

  
	
   

  	
  HUNTSMAN INTERNATIONAL FUELS, L.P.

  
	
   

  	
  HUNTSMAN PROPYLENE OXIDE HOLDINGS

  
	
   

  	
  LLC

  
	
   

  	
  HUNTSMAN PROPYLENE OXIDE LTD.

  
	
   

  	
  HUNTSMAN TEXAS HOLDINGS LLC

  
	
   

  	
  HUNTSMAN
  ADVANCED MATERIALS

  AMERICAS INC.

  
	
   

  	
  HUNTSMAN
  ADVANCED MATERIALS

  HOLDINGS LLC

  
	
   

  	
  HUNTSMAN ADVANCED MATERIALS LLC

  
	
   

  	
  HUNTSMAN AUSTRALIA INC.

  
	
   

  	
  HUNTSMAN CHEMICAL COMPANY LLC

  
	
   

  	
  HUNTSMAN
  CHEMICAL FINANCE

  CORPORATION

  
	
   

  	
  HUNTSMAN
  CHEMICAL PURCHASING

  CORPORATION

  
	
   

  	
  HUNTSMAN ENTERPRISES, INC.

  
	
   

  	
  HUNTSMAN
  EXPANDABLE POLYMERS

  COMPANY, LC

  
	
   

  	
  HUNTSMAN FAMILY CORPORATION

  
	
   

  	
  HUNTSMAN FUELS, L.P.

  
	
   

  	
  HUNTSMAN GROUP
  HOLDINGS FINANCE

  CORPORATION

  
	
   

  	
  HUNTSMAN GROUP
  INTELLECTUAL

  PROPERTY HOLDINGS CORPORATION

  

 

 S-1
 

 

 

	
  

  	
  HUNTSMAN
  HEADQUARTERS

  CORPORATION

  
	
   

  	
  HUNTSMAN
  INTERNATIONAL CHEMICALS

  CORPORATION

  
	
   

  	
  HUNTSMAN
  INTERNATIONAL SERVICES

  CORPORATION

  
	
   

  	
  HUNTSMAN
  INTERNATIONAL TRADING

  CORPORATION

  
	
   

  	
  HUNTSMAN MA
  INVESTMENT

  CORPORATION

  
	
   

  	
  HUNTSMAN MA
  SERVICES CORPORATION

  
	
   

  	
  HUNTSMAN
  PETROCHEMICAL CANADA

  HOLDINGS CORPORATION

  
	
   

  	
  HUNTSMAN
  PETROCHEMICAL

  CORPORATION

  
	
   

  	
  HUNTSMAN
  PETROCHEMICAL FINANCE

  CORPORATION

  
	
   

  	
  HUNTSMAN
  PETROCHEMICAL PURCHASING

  CORPORATION

  
	
   

  	
  HUNTSMAN
  POLYMERS CORPORATION

  
	
   

  	
  HUNTSMAN
  POLYMERS HOLDINGS

  CORPORATION

  
	
   

  	
  HUNTSMAN
  PROCUREMENT CORPORATION

  
	
   

  	
  HUNTSMAN
  PURCHASING, LTD.

  
	
   

  	
  JK HOLDINGS
  CORPORATION

  
	
   

  	
  PETROSTAR FUELS
  LLC

  
	
   

  	
  PETROSTAR
  INDUSTRIES LLC

  
	
   

  	
  POLYMER
  MATERIALS INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ TROY
  KELLER

  	
   

  
	
   

  	
   

  	
  Name: Troy Keller

  	
   

  
	
   

  	
   

  	
  Title: Assistant Secretary

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Executed as a Deed by

  	
  TIOXIDE AMERICAS
  INC.

  
	
  L. Russell Healy,

  	
   

  
	
  for and on behalf of 

  	
   

  
	
  Tioxide Americas Inc

  	
  By:

  	
  /s/ L. RUSSELL HEALY

  	
   

  
	
  in the presence of

  	
   

  	
  Name: L. Russell
  Healy

  
	
   

  	
   

  	
  Title: Vice
  President and Treasurer

  
	
  /s/ MICHELLE
  FUJINAMI

  	
   

  	
   

  
	
  Witness

  	
   

  
					

 

 S-2
 

 

 

	
  

  	
  Executed and
  delivered as a

  
	
   

  	
  deed on behalf
  of TIOXIDE

  
	
   

  	
  GROUP acting by:

  
	
   

  	
   

  
	
  

  	
  TIOXIDE GROUP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ J. KIMO ESPLIN

  	
    Director

  	
   

  
	
   

  	
  J. Kimo Esplin

  	
    Name

  
	
   

  	
   

  
	
   

  	
  /s/ L. RUSSELL HEALY

  	
    Director

  	
   

  
	
   

  	
  L. Russell Healy

  	
    Name

  

 

 S-3
 

 

 

	
  

  	
  WELLS FARGO BANK, NATIONAL

  ASSOCIATION, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ LYNN M. STEINER

  
	
   

  	
   

  	
  Name: Lynn M.
  Steiner

  
	
   

  	
   

  	
  Title: Vice
  President

  

 

 S-4

 

EXHIBIT A-1

[FORM OF
RESTRICTED DOLLAR NOTE]

THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY
ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE UNITED STATES
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND THIS SECURITY
MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH
REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS
SECURITY IS NOTIFIED THAT THE SELLER OF THIS SECURITY MAY BE RELYING ON THE
EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY
RULE 144A THEREUNDER.  BY ITS ACQUISITION
HEREOF, THE HOLDER OF THIS SECURITY (1) REPRESENTS THAT (A) IT IS A “QUALIFIED
INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B)
IT IS NOT A U.S. PERSON AND IS ACQUIRING THIS SECURITY IN AN OFFSHORE
TRANSACTION IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT.

THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF
HUNTSMAN INTERNATIONAL LLC THAT (A) THIS SECURITY MAY BE OFFERED, RESOLD,
PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO HUNTSMAN INTERNATIONAL LLC OR ITS
SUBSIDIARIES, (II) INSIDE THE UNITED STATES TO A PERSON WHO THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE
144A, (III) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE
WITH RULE 904 UNDER THE SECURITIES ACT, (IV) PURSUANT TO AN EXEMPTION FROM
REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF
AVAILABLE) OR (V) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE
SECURITIES ACT, IN EACH OF CASES (I) THROUGH (V) IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES, AND (B) THE
HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF
THIS SECURITY FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN (A) ABOVE.

 A-1-1

 

HUNTSMAN
INTERNATIONAL LLC

7 7/8% Senior
Subordinated Note due 2014

No. 
$                
CUSIP No.

HUNTSMAN INTERNATIONAL LLC, a Delaware limited
liability company (the “Company”), for value received, promises to pay to                     
or registered assigns, the principal sum of $              ,
on November 15, 2014.

Interest Payment Dates:  November 15 and May 15

Record Dates: 
November 1 and May 1

Reference is made to the further provisions of this
Note contained herein, which will for all purposes have the same effect as if
set forth at this place.

 A-1-1
 

 

IN WITNESS WHEREOF, the Company has caused this Note
to be signed manually or by facsimile by its duly authorized officer.

	
  Dated:

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Certificate of
Authentication

This is one of the 7 7/8% Senior Subordinated Notes
due 2014 referred to in the within-mentioned Indenture.

	
  Dated:

  	
  Wells Fargo Bank, National Association, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signature

  

 

 A-1-2
 

 

(REVERSE OF DOLLAR
NOTE)

7 7/8% Senior
Subordinated Note due 2014

1.                                       Interest.  HUNTSMAN INTERNATIONAL LLC, a Delaware
limited liability company (the “Company”), promises to pay interest on the
principal amount of this Dollar Note at the rate per annum shown above.  Interest on the Dollar Notes will accrue from
the most recent date on which interest has been paid or, if no interest has
been paid, from November 13, 2006.  The
Company will pay interest semi-annually in arrears on each November 15 and May
15 (each, an “Interest Payment Date”) and at stated maturity, commencing on May
15, 2007.  Interest will be computed on
the basis of a 360-day year comprised of twelve 30-day months.

The Company shall pay interest on overdue principal
and on overdue installments of interest from time to time on demand at the rate
borne by the Dollar Notes (without regard to any applicable grace periods) to
the extent lawful.

2.                                       Method
of Payment.  The Company shall pay
interest on the Dollar Notes (except defaulted interest) to the Persons who are
the registered Holders at the close of business on the Record Date immediately
preceding the Interest Payment Date even if the Dollar Notes are cancelled on
registration of transfer or registration of exchange after such Record
Date.  Holders must surrender Dollar
Notes to a Paying Agent to collect principal payments.  The Company shall pay principal, premium and
interest in money of the United States that at the time of payment is legal
tender for payment of public and private debts (“U.S. Legal Tender”).  However, the Company may pay principal,
premium and interest by its check payable in such U.S. Legal Tender.  The Company may deliver any such interest
payment to the Paying Agent or to a Holder at the Holder’s registered address.

3.                                       Paying
Agent and Registrar.  Initially,
Wells Fargo Bank, National Association (the “Trustee”) will act as Paying Agent
and Registrar.  The Company may change
any Paying Agent, Registrar or co-Registrar without notice to the Holders.  The Company or any of its Subsidiaries may,
subject to certain exceptions, act as Registrar or co-Registrar.

4.                                       Indenture.  The Company issued the Dollar Notes under an
Indenture, dated as of November 13, 2006 (the “Indenture”), among the Company,
each of the Guarantors named therein and the Trustee.  This Dollar Note is one of a duly authorized
issue of Dollar Notes of the Company designated as its dollar denominated 7
7/8% Senior Subordinated Notes due 2014 (the “Dollar Notes”), which may be
issued under the Indenture.  The Company
shall be entitled to issue Additional Notes pursuant to Section 2.18 of the
Indenture.  The Dollar Notes and the
Company’s euro denominated 6 7/8% Senior Subordinated Notes due 2013 (the “Euro
Notes” and, together with the Dollar Notes, the “Notes”) and any Additional
Notes and any Exchange Notes issued in accordance with the Indenture are
treated as a single class of securities under the Indenture unless otherwise
specified in the Indenture.  Capitalized
terms used herein shall have the meanings assigned to them in the Indenture
unless otherwise defined herein.  The
terms of the Notes include those stated in the Indenture and those made part of
the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C.
§§ 77aaa-77bbbb) (the “TIA”), as in effect on the date of the
Indenture.  Notwithstanding anything to
the contrary herein, the Notes are

 A-1-3
 

 

subject to all such terms, and Holders of Notes are
referred to the Indenture and the TIA for a statement of them.  The Notes are senior subordinated unsecured
obligations of the Company.

5.                                       Optional
Redemption.

(a)                                  The
Dollar Notes will be redeemable, at the Company’s option, in whole at any time
or in part from time to time, on and after November 15, 2010, upon not less
than 30 nor more than 60 days’ notice, at the following redemption prices (expressed
as percentages of the principal amount thereof) if redeemed during the
twelve-month period commencing on November 15 of the year set forth below,
plus, in each case, accrued and unpaid interest thereon, if any, to the date of
redemption:

	
  Year

  	
   

  	
  Percentage

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  2010

  	
   

  	
  103.938

  	
  %

  
	
  2011

  	
   

  	
  101.969

  	
  %

  
	
  2012 and thereafter

  	
   

  	
  100.000

  	
  %

  

 

(b)                                 At
any time, or from time to time, prior to November 15, 2010, the Company may, at
its option, use the net cash proceeds of one or more Equity Offerings (as
defined below) to redeem up to 40% of the aggregate principal amount of Dollar
Notes originally issued (including the original principal amount of any
Additional Dollar Notes) at a redemption price equal to 107.875% of the
principal amount thereof plus accrued and unpaid interest thereon, if any, to
the date of redemption; provided, however, that at least 60% of the aggregate
principal amount of the Notes originally issued remain (including the principal
amount of any Additional Notes) outstanding immediately after any such
redemption.  In order to effect the
foregoing redemption with the proceeds of any Equity Offering, the Company
shall make such redemption not more than 120 days after the consummation of any
such Equity Offering.

(c)                                  At
any time prior to November 15, 2010, the Dollar Notes may be redeemed, in whole
or in part at the option of the Company, upon not less than 30 nor more than 60
days’ notice, at a redemption price (the “Make-Whole Price”) equal to the
greater of (i) 100.000% of the principal amount thereof or (ii) as determined
by an Independent Investment Banker, the present value of (A) 103.938% of the
Dollar Notes being redeemed as of November 15, 2010 plus (B) all required
interest payments due on such Dollar Notes through November 15, 2010 (excluding
accrued interest), discounted to the Redemption Date on a semiannual basis (assuming
a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury
Rate plus, in each case, accrued interest to the Redemption Date.

6.                                       Notice
of Redemption.  Notice of redemption
will be delivered at least 30 days but not more than 60 days before the
Redemption Date to each Holder whose Dollar Notes are to be redeemed at such Holder’s
registered address, except as provided in the Indenture.  Dollar Notes in denominations larger than
$1,000 may be redeemed in part.

7.                                       Change
of Control Offer.  In the event of a
Change of Control, upon the satisfaction of the conditions set forth in the
Indenture, the Company shall be required to offer to

 A-1-4
 

 

repurchase all of the then outstanding Notes pursuant
to a Change of Control Offer at a purchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest, if any, to the date of purchase.  Holders of Notes that are the subject of such
an offer to repurchase shall receive an offer to repurchase and may elect to
have such Notes repurchased in accordance with the provisions of the Indenture
pursuant to and in accordance with the terms of the Indenture.

8.                                       Limitation
on Asset Sales.  Under certain
circumstances set forth in Section 4.15 of the Indenture, the Company is
required to apply the net proceeds from Asset Sales to offer to repurchase the
Notes at a price equal to 100% of the principal amount thereof plus accrued and
unpaid interest thereon, if any, to the date of repurchase.

9.                                       Denominations;
Transfer; Exchange.  The Dollar Notes
are in fully registered form only, without coupons, in denominations of $1,000
and integral multiples of $1,000.  A
Holder shall register the transfer or exchange of Notes in accordance with the
Indenture.  The Registrar may require a
Holder, among other things, to furnish appropriate endorsements and transfer
documents and to pay certain transfer taxes or similar governmental charges
payable in connection therewith as permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes during a period beginning 15 days before the mailing
of a redemption notice for any Notes or portions thereof selected for
redemption.

10.                                 Persons
Deemed Owners.  The registered Holder
of a Note shall be treated as the owner of it for all purposes.

11.                                 Unclaimed
Money.  If money for the payment of
principal or interest remains unclaimed for one year, the Trustee and the
Paying Agent will pay the money back to the Company.  After that, all liability of the Trustee and
such Paying Agent with respect to such money shall cease.

12.                                 Discharge
Prior to Redemption or Maturity.  If
the Company at any time deposits with the Trustee U.S. Legal Tender or
non-callable U.S. Government Obligations sufficient to pay the principal of,
premium and interest on the Dollar Notes to redemption or maturity and complies
with the other provisions of this Indenture relating thereto, the Company will
be discharged from certain provisions of the Indenture and the Dollar Notes
(including certain covenants, but excluding its obligation to pay the principal
of, premium and interest on the Dollar Notes).

13.                                 Amendment;
Supplement; Waiver.  The Indenture or
the Notes may be amended or supplemented as provided in the Indenture.

14.                                 Restrictive
Covenants.  The Indenture imposes
certain limitations on the ability of the Company and its Subsidiaries to,
among other things, incur additional Indebtedness, pay dividends or make
certain other restricted payments, enter into transactions with Affiliates,
create dividend or other payment restrictions affecting Restricted Subsidiaries
and merge or consolidate with any other Person, sell, assign, transfer, lease,
convey or otherwise dispose of all or substantially all of its assets or adopt
a plan of liquidation.  Such limitations
are subject to a number of important qualifications and exceptions.  The Company must annually report to the
Trustee on compliance with such limitations.

 A-1-5
 

 

15.                                 Successors.  When a successor assumes, in accordance with
this- Indenture, all the obligations of its predecessor under the Notes and the
Indenture, the predecessor will be released from those obligations.

16.                                 Defaults
and Remedies.  If an Event of Default
occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes (including any Additional Notes)
may declare all the Notes to be due and payable in the manner, at the time and
with the effect provided in the Indenture. 
Holders of Notes may not enforce the Indenture or the Notes except as
provided in the Indenture.  The Trustee
is not obligated to enforce the Indenture or the Notes unless it has been
offered indemnity or security reasonably satisfactory to it.  The Indenture permits, subject to certain
limitations therein provided, Holders of a majority in aggregate principal
amount of the Notes (including any Additional Notes) then outstanding to direct
the Trustee in its exercise of any trust or power.  The Trustee may withhold from Holders of
Notes notice of any continuing Default or Event of Default (except a Default in
payment of principal or interest) if it determines in good faith that withholding
notice is in their interest.

17.                                 Trustee
Dealings with Company.  The Trustee
under the Indenture, in its individual or any other capacity, may become the
owner or pledgee of Notes and may otherwise deal with the Company, its
Restricted and Unrestricted Subsidiaries or their respective Affiliates as if
it were not the Trustee.

18.                                 No
Recourse Against Others.  No past,
present or future stockholder, director, officer, employee or incorporator, as
such, of the Company shall have any liability for any obligation of the Company
under the Notes or the Indenture or for any claim based on, in respect of or by
reason of, such obligations or their creation. 
Each Holder of a Note by accepting a Note waives and releases all such
liability.  The waiver and release are
part of the consideration for the issuance of the Notes.

19.                                 Authentication.  This Note shall not be valid until the
Trustee or authenticating agent manually signs the certificate of
authentication on this Note.

20.                                 Governing
Law.  This Note shall be governed by,
and construed in- accordance with, the laws of the State of New York.

21.                                 Abbreviations
and Defined Terms.  Customary
abbreviations may be- used in the name of a Holder of a Note or an assignee,
such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties),
JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

22.                                 CUSIP/ISIN
Numbers.  The Company may cause CUSIP
and/or ISIN numbers to be printed on the Notes as a convenience to the Holders
of the Notes.  No representation is made
as to the accuracy of such numbers as printed on the Notes and reliance may be
placed only on the other identification numbers printed hereon.

 A-1-6
 

 

23.                                 Registration
Rights.  Pursuant to the Registration
Rights Agreement, the Company and the Guarantors will be obligated upon the
occurrence of certain events and subject to certain conditions to consummate an
exchange offer pursuant to which the Holder of this Dollar Note shall have the
right to exchange this Dollar Note for a 7 7/8% Senior Subordinated Note
due 2014 denominated in dollars, of the Company (an “Unrestricted Dollar Note”)
which have been registered under the Securities Act, in like principal amount
and having terms identical in all material respects as this Dollar Note.  The Holders shall be entitled to receive
certain additional interest payments in the event such exchange offer is not
consummated and upon certain other conditions, all pursuant to and in accordance
with the terms of the Registration Rights Agreement.

24.                                 Indenture.  Each Holder, by accepting a Note, agrees to
be bound by all of the terms and provisions of the Indenture, as the same may
be amended from time to time.  Capitalized
terms used herein and not defined herein have the meanings ascribed thereto in
the Indenture

25.                                 Guarantees.  This Note will be entitled to the benefits of
certain senior subordinated Guarantees made for the benefit of the
Holders.  Reference is hereby made to the
Indenture for a statement of the respective rights, limitations of rights,
duties and obligations thereunder of the Guarantors, the Trustee and the
Holders.

The Company will furnish to any Holder of a Note upon
written request and without charge a copy of the Indenture.  Requests may be made to:  HUNTSMAN INTERNATIONAL LLC, 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: 
Office of General Counsel.

 A-1-7
 

 

[FORM OF
ASSIGNMENT]

I or we assign to

PLEASE INSERT SOCIAL
SECURITY

OR OTHER IDENTIFYING NUMBER

(please print or
type name and address)

the within Note and all
rights thereunder, and hereby irrevocably constitutes and appoints

attorney to transfer the Note on the books of the
Company with full power of substitution in the premises.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE: The signature on this assignment must correspond
  with the name as it appears upon the face of the within Note in every
  particular without alteration or enlargement or any change whatsoever and be
  guaranteed by the endorser’s bank or broker.

  
	
   

  	
   

  
	
  Signature
  Guarantee:

  	
   

  	
   

  
							

 

 A-1-8
 

 

In connection with any transfer of this Note occurring
prior to the date of the declaration by the Commission of the effectiveness of
a registration statement under the Securities Act of 1933, as amended (the “Securities
Act”) covering resales of this Note (which effectiveness shall not have been
suspended or terminated at the date of the transfer) the undersigned confirms
that it has not utilized any general solicitation or general advertising in
connection with the transfer and that the sale is being made:

[Check One]

	
  (1)

  	
  —

  	
  to the Company or a subsidiary thereof; or

  
	
   

  	
   

  	
   

  
	
  (2)

  	
  —

  	
  pursuant to and in compliance with Rule 144A under
  the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (3)

  	
  —

  	
  to an institutional “accredited investor” (as
  defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act of 1933,
  as amended) that has furnished to the Trustee a signed letter containing
  certain representations and agreements (the form of which letter can be obtained
  from the Trustee); or

  
	
   

  	
   

  	
   

  
	
  (4)

  	
  —

  	
  outside the United States to a “foreign purchaser”
  in compliance with Rule 904 of Regulation S under the Securities Act of 1933,
  as amended; or

  
	
   

  	
   

  	
   

  
	
  (5)

  	
  —

  	
  pursuant to the exemption from registration provided
  by Rule 144 under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (6)

  	
  —

  	
  pursuant to an effective registration statement
  under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (7)

  	
  —

  	
  pursuant to another available exemption from the
  registration statement requirements of the Securities Act of 1933, as
  amended,

  

 

and, unless the box below
is checked, the undersigned confirms that such Note is not being transferred to
an “affiliate” of the Company as defined in Rule 144 under the Securities Act
of 1933, as amended (an “Affiliate”):

o                                    The transferee is
an Affiliate of the Company.

Unless one of the items is checked, the Trustee will
refuse to register any of the Notes evidenced by this certificate in the name
of any person other than the registered Holder thereof; provided, however,
that if item (3), (4), (5) or (7) is checked, the Company or the Trustee may
require, prior to registering any such transfer of the Notes, in their sole
discretion, such written legal opinions, certifications (including an
investment letter in the case of box (3) or (4)

 A-1-9
 

 

and other information as the Trustee or the Company
have reasonably requested to confirm that such transfer is being made pursuant
to an exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act of l933, as amended.

If none of the foregoing items are checked, the
Trustee or Registrar shall not be obligated to register this Note in the name
of any person other than the Holder hereof unless and until the conditions to
any such transfer of registration set forth herein and in Section 2.16 of the
Indenture shall have been satisfied.

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as name appears

  
	
   

  	
   

  	
  on the other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
							

 

TO BE COMPLETED BY
PURCHASER IF (2) ABOVE IS CHECKED

The undersigned represents and warrants that it is
purchasing this Note for its own account or an account with respect to which it
exercises sole investment discretion and that it and any such account is a “qualified
institutional buyer” within the meaning of Rule 144A under the Securities Act
of 1933, as amended, and is aware that the sale to it is being made in reliance
on Rule 144A and acknowledges that it has received such information regarding
the Company as the undersigned has requested pursuant to Rule 144A or has
determined not to request such information and that it is aware that the
transferor is relying upon the undersigned’s foregoing representations in order
to claim the exemption from registration provided by Rule 144A.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE:

  	
  To be executed by an

  
	
   

  	
   

  	
  executive officer

  

 

 A-1-10
 

 

OPTION OF HOLDER
TO ELECT PURCHASE

If you want to elect to have this Note purchased by
the Company pursuant to Section 4.14 or Section 4.15 of the Indenture, check
the appropriate box:

Section 4.14 [ ] Section 4.15 [ ]

If you want to elect to have only part of this Note
purchased by the Company pursuant to Section 4.14 or Section 4.15 of the
Indenture, state the amount: $                   

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as name appears

  
	
   

  	
   

  	
  on the other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
	
   

  	
  Participant in a recognized Signature

  	
   

  
	
   

  	
  Guarantee Medallion Program (or other

  	
   

  
	
   

  	
  signature guarantor program reasonably

  	
   

  
	
   

  	
  acceptable to the Trustee)

  	
   

  
							

 

 A-1-11

 

EXHIBIT A-2

[FORM OF
RESTRICTED EURO NOTE]

THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY
ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE UNITED STATES
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND THIS SECURITY
MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH
REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS
SECURITY IS NOTIFIED THAT THE SELLER OF THIS SECURITY MAY BE RELYING ON THE
EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY
RULE 144A THEREUNDER. BY ITS ACQUISITION HEREOF, THE HOLDER OF THIS SECURITY
(1) REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN
RULE 144A UNDER THE SECURITIES ACT) OR (B) IT IS NOT A U.S. PERSON AND IS
ACQUIRING THIS SECURITY IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH RULE 904
UNDER THE SECURITIES ACT.

THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF
HUNTSMAN INTERNATIONAL LLC THAT (A) THIS SECURITY MAY BE OFFERED, RESOLD,
PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO HUNTSMAN INTERNATIONAL LLC OR ITS
SUBSIDIARIES, (II) INSIDE THE UNITED STATES TO A PERSON WHO THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE
144A, (III) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE
WITH RULE 904 UNDER THE SECURITIES ACT, (IV) PURSUANT TO AN EXEMPTION FROM
REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF
AVAILABLE) OR (V) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE
SECURITIES ACT, IN EACH OF CASES (I) THROUGH (V) IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES, AND (B) THE
HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF
THIS SECURITY FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN (A) ABOVE.

 A-2-1
 

 

HUNTSMAN
INTERNATIONAL LLC

6 7/8% Senior
Subordinated Note due 2013

No.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             EU
                

ISIN

HUNTSMAN INTERNATIONAL LLC, a Delaware limited
liability company (the “Company”), for value received, promises to pay to                     
or registered assigns, the principal sum of                       ,
on November 15, 2013.

Interest Payment Dates:  November 15 and May 15

Record Dates: 
November 1 and May 1

Reference is made to the further provisions of this
Note contained herein, which will for all purposes have the same effect as if
set forth at this place.

 A-2-2
 

 

IN WITNESS WHEREOF, the Company has caused this Note
to be signed manually or by facsimile by its duly authorized officer.

	
  Dated:

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Certificate of
Authentication

This is one of the 6 7/8% Senior Subordinated
Notes due 2013 referred to in the within-mentioned Indenture.

	
  Dated:

  	
  Citibank, N.A., as authentication agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized
  Signature

  	
   

  

 

 A-2-3
 

 

(REVERSE OF EURO
NOTE)

6 7/8%  Senior Subordinated Note due 2013

1.                                       Interest.  HUNTSMAN INTERNATIONAL LLC, a Delaware
limited liability company (the “Company”), promises to pay interest on the
principal amount of this Euro Note at the rate per annum shown above.  Interest on the Euro Notes will accrue from
the most recent date on which interest has been paid or, if no interest has
been paid, from November 13, 2006.  The
Company will pay interest semi-annually in arrears on each November 15 and May
15 (each, an “Interest Payment Date”) and at stated maturity, commencing on May
15, 2007.  Interest will be computed on
the basis of a 360-day year comprised of twelve 30-day months.

The Company shall pay interest on overdue principal
and on overdue installments of interest from time to time on demand at the rate
borne by the Euro Notes (without regard to any applicable grace periods) to the
extent lawful.

2.                                       Method
of Payment.  The Company shall pay
interest on the Euro Notes (except defaulted interest) to the Persons who are
the registered Holders at the close of business on the Record Date immediately
preceding the Interest Payment Date even if the Euro Notes are cancelled on
registration of transfer or registration of exchange after such Record
Date.  Holders must surrender Euro Notes
to a Paying Agent to collect principal payments.  The Company shall pay principal, premium and
interest on the Euro Notes in euros. 
However, the Company may pay principal, premium and interest by its
check payable in euros.  The Company may
deliver any such interest payment to the Euro Paying Agent or to a Holder at
the Holder’s registered address.

3.                                       Paying
Agent and Registrar.  Initially,
Citibank, N.A. will act as Paying Agent for the Euro Notes and Citigroup Global
Markets Deutschland AG & Co. KGaA will act as Registrar for the Euro
Notes.  The Company may change any Paying
Agent, Registrar or co-Registrar without notice to the Holders.  The Company or any of its Subsidiaries may,
subject to certain exceptions, act as Registrar or co-Registrar.

4.                                       Indenture.  The Company issued the Euro Notes under an
Indenture, dated as of November 13, 2006 (the “Indenture”), among the Company,
each of the Guarantors named therein and the Trustee.  This Euro Note is one of a duly authorized
issue of Euro Notes of the Company designated as its euro denominated
6 7/8% Senior Subordinated Notes due 2013 (the “Euro Notes”) which may be
issued under the Indenture.  The Company
shall be entitled to issue Additional Notes pursuant to Section 2.18 of the
Indenture.  The Euro Notes and the
Company’s dollar denominated 7 7/8% Senior Subordinated Notes due 2014
(the “Dollar Notes” and, together with the Euro Notes, the “Notes”) and any
Additional Notes and any Exchange Notes issued in accordance with the Indenture
are treated as a single class of securities under the Indenture unless
otherwise specified in the Indenture.  Capitalized
terms used herein shall have the meanings assigned to them in the Indenture
unless otherwise defined herein.  The
terms of the Notes include those stated in the Indenture and those made part of
the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C.  §§ 77aaa-77bbbb) (the “TIA”), as in effect on
the date of the Indenture. 
Notwithstanding anything to the contrary herein, the Notes are subject
to

 A-2-4
 

 

all such terms, and Holders of Notes are referred to
the Indenture and the TIA for a statement of them.  The Notes are senior subordinated unsecured
obligations of the Company.

5.                                       Optional
Redemption.

(a)                                  The
Euro Notes will be redeemable, at the Company’s option, in whole at any time or
in part from time to time, on and after November 15, 2009, upon not less than
30 nor more than 60 days’ notice, at the following redemption prices (expressed
as percentages of the principal amount thereof) if redeemed during the
twelve-month period commencing on November 15 of the year set forth below, plus,
in each case, accrued and unpaid interest thereon, if any, to the date of
redemption:

	
  Year

  	
   

  	
  Percentage

  	
   

  
	
  2009

  	
   

  	
  105.156

  	
  %

  
	
  2010

  	
   

  	
  103.438

  	
  %

  
	
  2011

  	
   

  	
  101.719

  	
  %

  
	
  2012 and thereafter

  	
   

  	
  100.000

  	
  %

  

 

(b)                                 At
any time, or from time to time, prior to November 15, 2009, the Company may, at
its option, use the net cash proceeds of one or more Equity Offerings (as
defined below) to redeem up to 40% of the aggregate principal amount of Euro
Notes originally issued (including the original principal amount of any
Additional Euro Notes) at a redemption price equal to 106.875% of the principal
amount thereof plus accrued and unpaid interest thereon, if any, to the date of
redemption; provided, however, that at least 60% of the aggregate
principal amount of the Notes originally issued remain (including the principal
amount of any Additional Notes) outstanding immediately after any such
redemption.  In order to effect the
foregoing redemption with the proceeds of any Equity Offering, the Company
shall make such redemption not more than 120 days after the consummation of any
such Equity Offering.

(c)                                  At
any time prior to November 15, 2009, the Euro Notes may be redeemed, in whole
or in part, at the option of the Company, upon not less than 30 nor more than 60
days’ notice, at a redemption price (the “Make-Whole Price”) equal to the
greater of (i) 100.000% of the principal amount thereof or (ii) as determined
by an Independent Investment Banker, the present value of (A) 105.156% of the
Euro Notes being redeemed as of November 15, 2009 plus (B) all required
interest payments due on such Euro Notes through November 15, 2009 (excluding
accrued interest), discounted to the Redemption Date on a semiannual basis (assuming
a 360-day year consisting of twelve 30-day months) at the Adjusted Bund Rate
plus, in each case, accrued interest to the Redemption Date.

6.                                       Notice
of Redemption.  Notice of redemption
will be delivered at least 30 days but not more than 60 days before the
Redemption Date to each Holder whose Euro Notes are to be redeemed at such
Holder’s registered address, except as provided in the Indenture.  Euro Notes in denominations larger than €50,000
may be redeemed in part; provided, that no Euro Notes of less than €50,000
may be outstanding thereafter.

 A-2-5
 

 

7.                                       Change
of Control Offer.  In the event of a
Change of Control, upon the satisfaction of the conditions set forth in the
Indenture, the Company shall be required to offer to repurchase all of the then
outstanding Notes pursuant to a Change of Control Offer at a purchase price
equal to 101% of the principal amount thereof plus accrued and unpaid interest,
if any, to the date of purchase.  Holders
of Notes that are the subject of such an offer to repurchase shall receive an
offer to repurchase and may elect to have such Notes repurchased in accordance
with the provisions of the Indenture pursuant to and in accordance with the
terms of the Indenture.

8.                                       Limitation
on Asset Sales.  Under certain
circumstances set forth in Section 4.15 of the Indenture, the Company is
required to apply the net proceeds from Asset Sales to offer to repurchase the
Notes at a price equal to 100% of the principal amount thereof plus accrued and
unpaid interest thereon, if any, to the date of repurchase.

9.                                       Denominations;
Transfer; Exchange.  The Euro Notes
are in fully registered form only, without coupons, in denominations of €50,000
and integral multiples of €1,000 in excess thereof.  A Holder shall register the transfer or
exchange of Notes in accordance with the Indenture.  The Registrar may require a Holder, among
other things, to furnish appropriate endorsements and transfer documents and to
pay certain transfer taxes or similar governmental charges payable in
connection therewith as permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes during a period beginning 15 days before the mailing
of a redemption notice for any Notes or portions thereof selected for
redemption.

10.                                 Persons
Deemed Owners.  The registered Holder
of a Note shall be treated as the owner of it for all purposes.

11.                                 Unclaimed
Money.  If money for the payment of principal
or interest remains unclaimed for one year, the Trustee and the Paying Agent
will pay the money back to the Company. 
After that, all liability of the Trustee and such Paying Agent with
respect to such money shall cease.

12.                                 Discharge
Prior to Redemption or Maturity.  If
the Company at any time deposits with the Trustee euros or non-callable Euro
Obligations sufficient to pay the principal of, premium and interest on the
Euro Notes to redemption or maturity and complies with the other provisions of
this Indenture relating thereto, the Company will be discharged from certain
provisions of the Indenture and the Euro Notes (including certain covenants,
but excluding its obligation to pay the principal of, premium and interest on
the Euro Notes).

13.                                 Amendment;
Supplement; Waiver.  The Indenture or
the Notes may be amended or supplemented as provided in the Indenture.

14.                                 Restrictive
Covenants.  The Indenture imposes
certain limitations on the ability of the Company and its Subsidiaries to,
among other things, incur additional Indebtedness, pay dividends or make
certain other restricted payments, enter into transactions with Affiliates,
create dividend or other payment restrictions affecting Restricted Subsidiaries
and merge or consolidate with any other Person, sell, assign, transfer, lease,
convey or otherwise dispose of all or substantially all of its assets or adopt
a plan of liquidation.  Such limitations
are subject to a

 A-2-6
 

 

number of important qualifications and exceptions.  The Company must annually report to the
Trustee on compliance with such limitations.

15.                                 Successors.  When a successor assumes, in accordance with
this- Indenture, all the obligations of its predecessor under the Notes and the
Indenture, the predecessor will be released from those obligations.

16.                                 Defaults
and Remedies.  If an Event of Default
occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes (including any Additional Notes)
may declare all the Notes to be due and payable in the manner, at the time and
with the effect provided in the Indenture. 
Holders of Notes may not enforce the Indenture or the Notes except as
provided in the Indenture.  The Trustee
is not obligated to enforce the Indenture or the Notes unless it has been
offered indemnity or security reasonably satisfactory to it.  The Indenture permits, subject to certain
limitations therein provided, Holders of a majority in aggregate principal
amount of the Notes (including any Additional Notes) then outstanding to direct
the Trustee in its exercise of any trust or power.  The Trustee may withhold from Holders of
Notes notice of any continuing Default or Event of Default (except a Default in
payment of principal or interest) if it determines in good faith that
withholding notice is in their interest.

17.                                 Trustee
Dealings with Company.  The Trustee
under the Indenture, in its individual or any other capacity, may become the
owner or pledgee of Notes and may otherwise deal with the Company, its
Restricted and Unrestricted Subsidiaries or their respective Affiliates as if
it were not the Trustee.

18.                                 No
Recourse Against Others.  No past,
present or future stockholder, director, officer, employee or incorporator, as
such, of the Company shall have any liability for any obligation of the Company
under the Notes or the Indenture or for any claim based on, in respect of or by
reason of, such obligations or their creation. 
Each Holder of a Note by accepting a Note waives and releases all such
liability.  The waiver and release are
part of the consideration for the issuance of the Notes.

19.                                 Authentication.  This Note shall not be valid until the
Trustee or authenticating agent manually signs the certificate of
authentication on this Note.

20.                                 Governing
Law.  This Note shall be governed by,
and construed in- accordance with, the laws of the State of New York.

21.                                 Abbreviations
and Defined Terms.  Customary
abbreviations may be- used in the name of a Holder of a Note or an assignee,
such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties),
JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

22.                                 CUSIP/ISIN
Numbers.  The Company may cause CUSIP
and/or ISIN numbers to be printed on the Notes as a convenience to the Holders
of the Notes.  No representation

 A-2-7
 

 

is made as to the accuracy of such numbers as printed
on the Notes and reliance may be placed only on the other identification
numbers printed hereon.

23.                                 Indenture.  Each Holder, by accepting a Note, agrees to
be bound by all of the terms and provisions of the Indenture, as the same may
be amended from time to time.  Capitalized
terms used herein and not defined herein have the meanings ascribed thereto in
the Indenture

24.                                 Guarantees.  This Note will be entitled to the benefits of
certain senior subordinated Guarantees made for the benefit of the
Holders.  Reference is hereby made to the
Indenture for a statement of the respective rights, limitations of rights, duties
and obligations thereunder of the Guarantors, the Trustee and the Holders.

The Company will furnish to any Holder of a Note upon
written request and without charge a copy of the Indenture.  Requests may be made to:  HUNTSMAN INTERNATIONAL LLC, 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: Office of General Counsel.

 A-2-8
 

 

[FORM OF
ASSIGNMENT]

I or we assign to

PLEASE INSERT SOCIAL
SECURITY

OR OTHER IDENTIFYING NUMBER

(please print or
type name and address)

the within Note and all
rights thereunder, and hereby irrevocably constitutes and appoints

attorney to transfer the
Note on the books of the Company with full power of substitution in the
premises.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE: The signature on this assignment must correspond
  with the name as it appears upon the face of the within Note in every
  particular without alteration or enlargement or any change whatsoever and be
  guaranteed by the endorser’s bank or broker.

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature
  Guarantee:

  	
   

  	
   

  
							

 

 A-2-9
 

 

In connection with any transfer of this Note occurring
prior to the date of the declaration by the Commission of the effectiveness of
a registration statement under the Securities Act of 1933, as amended (the “Securities
Act”) covering resales of this Note (which effectiveness shall not have been
suspended or terminated at the date of the transfer) the undersigned confirms
that it has not utilized any general solicitation or general advertising in
connection with the transfer and that the sale is being made:

[Check One]

	
  (1)

  	
  —

  	
  to the Company or a subsidiary thereof; or

  
	
   

  	
   

  	
   

  
	
  (2)

  	
  —

  	
  pursuant to and in compliance with Rule 144A under
  the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (3)

  	
  —

  	
  to an institutional “accredited investor” (as
  defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act of 1933,
  as amended) that has furnished to the Trustee a signed letter containing
  certain representations and agreements (the form of which letter can be
  obtained from the Trustee); or

  
	
   

  	
   

  	
   

  
	
  (4)

  	
  —

  	
  outside the United States to a “foreign purchaser”
  in compliance with Rule 904 of Regulation S under the Securities Act of 1933,
  as amended; or

  
	
   

  	
   

  	
   

  
	
  (5)

  	
  —

  	
  pursuant to the exemption from registration provided
  by Rule 144 under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (6)

  	
  —

  	
  pursuant to an effective registration statement
  under the Securities Act of 1933, as amended; or

  
	
   

  	
   

  	
   

  
	
  (7)

  	
  —

  	
  pursuant to another available exemption from the
  registration statement requirements of the Securities Act of 1933, as
  amended,

  

 

and, unless the box below
is checked, the undersigned confirms that such Note is not being transferred to
an “affiliate” of the Company as defined in Rule 144 under the Securities Act
of 1933, as amended (an “Affiliate”):

o                                    The transferee is
an Affiliate of the Company.

Unless one of the items is checked, the Trustee will
refuse to register any of the Notes evidenced by this certificate in the name
of any person other than the registered Holder thereof; provided, however,
that if item (3), (4), (5) or (7) is checked, the Company or the Trustee may
require, prior to registering any such transfer of the Notes, in their sole
discretion, such written legal opinions, certifications (including an
investment letter in the case of box (3) or (4)

 A-2-10
 

 

and other information as the Trustee or the Company
have reasonably requested to confirm that such transfer is being made pursuant
to an exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act of l933, as amended.

If none of the foregoing items are checked, the
Trustee or Registrar shall not be obligated to register this Note in the name
of any person other than the Holder hereof unless and until the conditions to
any such transfer of registration set forth herein and in Section 2.16 of the
Indenture shall have been satisfied.

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as name appears

  
	
   

  	
   

  	
  on the other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
							

 

TO BE COMPLETED BY
PURCHASER IF (2) ABOVE IS CHECKED

The undersigned represents and warrants that it is
purchasing this Note for its own account or an account with respect to which it
exercises sole investment discretion and that it and any such account is a “qualified
institutional buyer” within the meaning of Rule 144A under the Securities Act
of 1933, as amended, and is aware that the sale to it is being made in reliance
on Rule 144A and acknowledges that it has received such information regarding
the Company as the undersigned has requested pursuant to Rule 144A or has
determined not to request such information and that it is aware that the
transferor is relying upon the undersigned’s foregoing representations in order
to claim the exemption from registration provided by Rule 144A.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE:

  	
  To be executed by an

  
	
   

  	
   

  	
  executive officer

  

 

 A-2-11
 

 

OPTION OF HOLDER
TO ELECT PURCHASE

If you want to elect to have this Note purchased by
the Company pursuant to Section 4.14 or Section 4.15 of the Indenture, check
the appropriate box:

Section 4.14 [ ] Section 4.15 [ ]

If you want to elect to have only part of this Note
purchased by the Company pursuant to Section 4.14 or Section 4.15 of the
Indenture, state the amount: $                

	
  Dated:

  	
   

  	
   

  	
  Signed:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as name appears

  
	
   

  	
   

  	
  on the other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
	
   

  	
  Participant in a recognized Signature

  	
   

  
	
   

  	
  Guarantee Medallion Program (or other

  	
   

  
	
   

  	
  signature guarantor program reasonably

  	
   

  
	
   

  	
  acceptable to the Trustee)

  	
   

  
							

 

 A-2-12

 

EXHIBIT A-3

[FORM OF
UNRESTRICTED DOLLAR NOTE]

HUNTSMAN
INTERNATIONAL LLC

7 7/8% Senior
Subordinated Note due 2014

No.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             $[          ]

CUSIP

HUNTSMAN INTERNATIONAL LLC, a Delaware limited
liability company (the “Company”), for value received, promises to pay to                  or registered assigns, the
principal sum of           , on November
15, 2014.

Interest Payment Dates:  November 15 and May 15

Record Dates: 
November 1 and May 1

Reference is made to the further provisions of this
Note contained herein, which will for all purposes have the same effect as if
set forth at this place.

 A-3-1
 

 

IN WITNESS WHEREOF, the Company has caused this Note
to be signed manually or by facsimile by its duly authorized officer.

	
  Dated:

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Certificate of
Authentication

This is one of the 7 7/8% Senior Subordinated
Notes due 2014 referred to in the within-mentioned Indenture.

	
  Dated:

  	
  Wells Fargo Bank, National Association, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signature

  

 

 A-3-2
 

 

(REVERSE OF DOLLAR
NOTE)

7 7/8% Senior
Subordinated Note due 2014

1.                                       Interest.  HUNTSMAN INTERNATIONAL LLC, a Delaware
limited liability company (the “Company”), promises to pay interest on the
principal amount of this Dollar Note at the rate per annum shown above.  Interest on the Dollar Notes will accrue from
the most recent date on which interest has been paid or, if no interest has
been paid, from November 13, 2006.  The
Company will pay interest semi-annually in arrears on each November 15 and May
15 (each, an “Interest Payment Date”) and at stated maturity, commencing on May
15, 2007.  Interest will be computed on
the basis of a 360-day year comprised of twelve 30-day months.

The Company shall pay interest on overdue principal
and on overdue installments of interest from time to time on demand at the rate
borne by the Dollar Notes (without regard to any applicable grace periods) to
the extent lawful.

2.                                       Method
of Payment.  The Company shall pay
interest on the Dollar Notes (except defaulted interest) to the Persons who are
the registered Holders at the close of business on the Record Date immediately
preceding the Interest Payment Date even if the Dollar Notes are cancelled on
registration of transfer or registration of exchange after such Record
Date.  Holders must surrender Dollar
Notes to a Paying Agent to collect principal payments.  The Company shall pay principal, premium and
interest in money of the United States that at the time of payment is legal
tender for payment of public and private debts (“U.S. Legal Tender”).  However, the Company may pay principal,
premium and interest by its check payable in such U.S. Legal Tender.  The Company may deliver any such interest
payment to the Paying Agent or to a Holder at the Holder’s registered address.

3.                                       Paying
Agent and Registrar.  Initially,
Wells Fargo Bank, National Association (the “Trustee”) will act as Paying Agent
and Registrar.  The Company may change
any Paying Agent, Registrar or co-Registrar without notice to the Holders.  The Company or any of its Subsidiaries may,
subject to certain exceptions, act as Registrar or co-Registrar.

4.                                       Indenture.  The Company issued the Dollar Notes under an
Indenture, dated as of November 13, 2006 (the “Indenture”), among the Company,
each of the Guarantors named therein and the Trustee.  This Dollar Note is one of a duly authorized
issue of Dollar Notes of the Company designated as its dollar denominated
7 7/8% Senior Subordinated Notes due 2014 (the “Dollar Notes”) which may
be issued under the Indenture.  The
Company shall be entitled to issue Additional Notes pursuant to Section 2.18 of
the Indenture.  The Dollar Notes and the
Company’s euro denominated 6 7/8% Senior Subordinated Notes due 2013 (the “Euro
Notes” and, together with the Dollar Notes, the “Notes”) and any Additional
Notes and any Exchange Notes issued in accordance with the Indenture are
treated as a single class of securities under the Indenture unless otherwise
specified in the Indenture.  Capitalized
terms used herein shall have the meanings assigned to them in the Indenture
unless otherwise defined herein.  The
terms of the Notes include those stated in the Indenture and those made part of
the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C.  §§ 77aaa-77bbbb) (the “TIA”), as in effect on
the date of the Indenture. 
Notwithstanding anything to the contrary herein, the Notes

 A-3-3
 

 

are subject to all such terms, and Holders of Notes
are referred to the Indenture and the TIA for a statement of them.  The Notes are senior subordinated unsecured
obligations of the Company.

5.                                       Optional
Redemption.

(a)                                The
Dollar Notes will be redeemable, at the Company’s option, in whole at any time
or in part from time to time, on and after November 15, 2010, upon not less
than 30 nor more than 60 days’ notice, at the following redemption prices
(expressed as percentages of the principal amount thereof) if redeemed during
the twelve-month period commencing on November 15 of the year set forth below,
plus, in each case, accrued and unpaid interest thereon, if any, to the date of
redemption:

	
  Year

  	
   

  	
  Percentage

  	
   

  
	
  2010

  	
   

  	
  103.938

  	
  %

  
	
  2011

  	
   

  	
  101.969

  	
  %

  
	
  2012 and thereafter

  	
   

  	
  100.000

  	
  %

  

 

(b)                                 At
any time, or from time to time, prior to January 1, 2008, the Company may, at
its option, use the net cash proceeds of one or more Equity Offerings (as
defined below) to redeem up to 40% of the aggregate principal amount of Dollar
Notes originally issued (including the original principal amount of any Additional
Dollar Notes) at a redemption price equal to 107.875% of the principal amount
thereof plus accrued and unpaid interest thereon, if any, to the date of redemption;
provided, however, that at least 60% of the aggregate principal amount of the
Notes originally issued remain (including the principal amount of any
Additional Notes)outstanding immediately after any such redemption.  In order to effect the foregoing redemption
with the proceeds of any Equity Offering, the Company shall make such
redemption not more than 120 days after the consummation of any such Equity
Offering.

(c)                                  At
any time prior to November 15, 2010, the Dollar Notes may be redeemed, in whole
or in part at the option of the Company, upon not less than 30 nor more than 60
days’ notice, at a redemption price (the “Make-Whole Price”) equal to the
greater of (i) 100.000% of the principal amount thereof or (ii) as determined
by an Independent Investment Banker, the present value of (A) 103.938% of the
Dollar Notes being redeemed as of November 15, 2010 plus (B) all required
interest payments due on such Dollar Notes through November 15, 2010 (excluding
accrued interest), discounted to the Redemption Date on a semiannual basis (assuming
a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury
Rate plus in each case accrued interest to the Redemption Date.

6.                                       Notice
of Redemption.  Notice of redemption
will be delivered at least 30 days but not more than 60 days before the
Redemption Date to each Holder whose Dollar Notes are to be redeemed at such
Holder’s registered address, except as provided in the Indenture.  Dollar Notes in denominations larger than
$1,000 may be redeemed in part.

7.                                       Change
of Control Offer.  In the event of a
Change of Control, upon the satisfaction of the conditions set forth in the
Indenture, the Company shall be required to offer to

 A-3-4
 

 

repurchase all of the then outstanding Notes pursuant
to a Change of Control Offer at a purchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest, if any, to the date of purchase.  Holders of Notes that are the subject of such
an offer to repurchase shall receive an offer to repurchase and may elect to
have such Notes repurchased in accordance with the provisions of the Indenture
pursuant to and in accordance with the terms of the Indenture.

8.                                       Limitation
on Asset Sales.  Under certain
circumstances set forth in Section 4.15 of the Indenture, the Company is
required to apply the net proceeds from Asset Sales to offer to repurchase the
Notes at a price equal to 100% of the principal amount thereof plus accrued and
unpaid interest thereon, if any, to the date of repurchase.

9.                                       Denominations;
Transfer; Exchange.  The Dollar Notes
are in fully registered form only, without coupons, in denominations of $1,000
and integral multiples of $1,000.  A
Holder shall register the transfer or exchange of Notes in accordance with the
Indenture.  The Registrar may require a
Holder, among other things, to furnish appropriate endorsements and transfer
documents and to pay certain transfer taxes or similar governmental charges
payable in connection therewith as permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes during a period beginning 15 days before the mailing
of a redemption notice for any Notes or portions thereof selected for
redemption.

10.                                 Persons
Deemed Owners.  The registered Holder
of a Note shall be treated as the owner of it for all purposes.

11.                                 Unclaimed
Money.  If money for the payment of
principal or interest remains unclaimed for one year, the Trustee and the
Paying Agent will pay the money back to the Company.  After that, all liability of the Trustee and
such Paying Agent with respect to such money shall cease.

12.                                 Discharge
Prior to Redemption or Maturity.  If
the Company at any time deposits with the Trustee U.S. Legal Tender or
non-callable U.S. Government Obligations sufficient to pay the principal of,
premium and interest on the Dollar Notes to redemption or maturity and complies
with the other provisions of this Indenture relating thereto, the Company will
be discharged from certain provisions of the Indenture and the Dollar Notes
(including certain covenants, but excluding its obligation to pay the principal
of, premium and interest on the Dollar Notes).

13.                                 Amendment;
Supplement; Waiver.  The Indenture or
the Notes may be amended or supplemented as provided in the Indenture.

14.                                 Restrictive
Covenants.  The Indenture imposes
certain limitations on the ability of the Company and its Subsidiaries to,
among other things, incur additional Indebtedness, pay dividends or make
certain other restricted payments, enter into transactions with Affiliates,
create dividend or other payment restrictions affecting Restricted Subsidiaries
and merge or consolidate with any other Person, sell, assign, transfer, lease,
convey or otherwise dispose of all or substantially all of its assets or adopt
a plan of liquidation.  Such limitations
are subject to a number of important qualifications and exceptions.  The Company must annually report to the
Trustee on compliance with such limitations.

 A-3-5
 

 

15.                                 Successors.  When a successor assumes, in accordance with
this- Indenture, all the obligations of its predecessor under the Notes and the
Indenture, the predecessor will be released from those obligations.

16.                                 Defaults
and Remedies.  If an Event of Default
occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes (including any Additional Notes)
may declare all the Notes to be due and payable in the manner, at the time and
with the effect provided in the Indenture. 
Holders of Notes may not enforce the Indenture or the Notes except as
provided in the Indenture.  The Trustee
is not obligated to enforce the Indenture or the Notes unless it has been
offered indemnity or security reasonably satisfactory to it.  The Indenture permits, subject to certain
limitations therein provided, Holders of a majority in aggregate principal
amount of the Notes (including any Additional Notes) then outstanding to direct
the Trustee in its exercise of any trust or power.  The Trustee may withhold from Holders of
Notes notice of any continuing Default or Event of Default (except a Default in
payment of principal or interest) if it determines in good faith that
withholding notice is in their interest.

17.                                 Trustee
Dealings with Company.  The Trustee
under the Indenture, in its individual or any other capacity, may become the
owner or pledgee of Notes and may otherwise deal with the Company, its Restricted
and Unrestricted Subsidiaries or their respective Affiliates as if it were not
the Trustee.

18.                                 No
Recourse Against Others.  No past,
present or future stockholder, director, officer, employee or incorporator, as
such, of the Company shall have any liability for any obligation of the Company
under the Notes or the Indenture or for any claim based on, in respect of or by
reason of, such obligations or their creation. 
Each Holder of a Note by accepting a Note waives and releases all such
liability.  The waiver and release are
part of the consideration for the issuance of the Notes.

19.                                 Authentication.  This Note shall not be valid until the
Trustee or authenticating agent manually signs the certificate of
authentication on this Note.

20.                                 Governing
Law.  This Note shall be governed by,
and construed in- accordance with, the laws of the State of New York.

21.                                 Abbreviations
and Defined Terms.  Customary
abbreviations may be- used in the name of a Holder of a Note or an assignee,
such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties),
JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

22.                                 CUSIP/ISIN
Numbers.  The Company may cause CUSIP
and/or ISIN numbers to be printed on the Notes as a convenience to the Holders
of the Notes.  No representation is made
as to the accuracy of such numbers as printed on the Notes and reliance may be
placed only on the other identification numbers printed hereon.

 A-3-6
 

 

23.                                 Indenture.  Each Holder, by accepting a Note, agrees to
be bound by all of the terms and provisions of the Indenture, as the same may
be amended from time to time.  Capitalized
terms used herein and not defined herein have the meanings ascribed thereto in
the Indenture.

24.                                 Guarantees.  This Note will be entitled to the benefits of
certain senior subordinated Guarantees made for the benefit of the
Holders.  Reference is hereby made to the
Indenture for a statement of the respective rights, limitations of rights,
duties and obligations thereunder of the Guarantors, the Trustee and the
Holders.

The Company will furnish to any Holder of a Note upon
written request and without charge a copy of the Indenture.  Requests may be made to:  HUNTSMAN INTERNATIONAL LLC, 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: Office of General Counsel.

 A-3-7
 

 

[FORM OF
ASSIGNMENT]

I or we assign to

PLEASE INSERT SOCIAL
SECURITY

OR OTHER IDENTIFYING NUMBER

(please print or
type name and address)

the within Note and all rights thereunder, and hereby
irrevocably constitutes and appoints

attorney to transfer the Note on the books of the
Company with full power of substitution in the premises.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE: The signature on this assignment must correspond
  with the name as it appears upon the face of the within Note in every
  particular without alteration or enlargement or any change whatsoever and be
  guaranteed by the endorser’s bank or broker.

  
	
   

  	
   

  
	
  Signature
  Guarantee:

  	
   

  	
   

  
							

 

 A-3-8
 

 

OPTION OF HOLDER
TO ELECT PURCHASE

If you want to elect to have this Note purchased by
the Company pursuant to Section 4.14 or Section 4.15 of the Indenture, check
the appropriate box:

Section 4.14
[          ] Section 4.15
[          ]

If you want to elect to have only part of this Note
purchased by the Company pursuant to Section 4.14 or Section 4.15 of the
Indenture, state the amount:  $                       

	
  Date:

  	
   

  	
   

  	
  Your Signature:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as your name appears on the

  
	
   

  	
   

  	
  other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
	
   

  	
  Participant in a recognized Signature Guarantee
  Medallion

  	
   

  
	
   

  	
  Program (or other signature guarantor program
  reasonably

  	
   

  
	
   

  	
  acceptable to the Trustee)

  	
   

  
							

 

 A-3-9

 

EXHIBIT A-4

[FORM OF
UNRESTRICTED EURO NOTE]

HUNTSMAN
INTERNATIONAL LLC

6 7/8% Senior
Subordinated Note due 2013

No.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             EU[    ]

ISIN

HUNTSMAN INTERNATIONAL LLC, a Delaware limited
liability company (the “Company”), for value received, promises to pay to
                     
or registered assigns, the principal sum of
                     ,
on November 15, 2003.

Interest Payment Dates:  November 15 and May 15

Record Dates: 
November 1 and May 1

Reference is made to the further provisions of this
Note contained herein, which will for all purposes have the same effect as if
set forth at this place.

 A-4-1
 

 

IN WITNESS WHEREOF, the Company has caused this Note
to be signed manually or by facsimile by its duly authorized officer.

	
  Dated:

  	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

Certificate of
Authentication

This is one of the 6 7/8% Senior Subordinated
Notes due 2013 referred to in the within-mentioned Indenture.

	
  Dated:

  	
  Citibank, N.A., as authentication agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signature

  

 

 A-4-2
 

 

(REVERSE OF EURO
NOTE)

6 7/8% Senior
Subordinated Note due 2013

1.                                       Interest.  HUNTSMAN INTERNATIONAL LLC, a Delaware
limited liability company (the “Company”), promises to pay interest on the
principal amount of this Euro Note at the rate per annum shown above.  Interest on the Euro Notes will accrue from
the most recent date on which interest has been paid or, if no interest has
been paid, from November 13, 2006.  The
Company will pay interest semi-annually in arrears on each November 15 and May
15 (each, an “Interest Payment Date”) and at stated maturity, commencing on May
15, 2007.  Interest will be computed on
the basis of a 360-day year comprised of twelve 30-day months.

The Company shall pay interest on overdue principal
and on overdue installments of interest from time to time on demand at the rate
borne by the Euro Notes (without regard to any applicable grace periods) to the
extent lawful.

2.                                       Method
of Payment.  The Company shall pay
interest on the Euro Notes (except defaulted interest) to the Persons who are
the registered Holders at the close of business on the Record Date immediately
preceding the Interest Payment Date even if the Euro Notes are cancelled on
registration of transfer or registration of exchange after such Record
Date.  Holders must surrender Euro Notes
to a Paying Agent to collect principal payments.  The Company shall pay principal, premium and
interest on the Euro Notes in euros. 
However, the Company may pay principal, premium and interest by its
check payable in euros.  The Company may
deliver any such interest payment to the Euro Paying Agent or to a Holder at
the Holder’s registered address.

3.                                       Paying
Agent and Registrar.  Initially
Citibank, N.A. will act as Paying Agent for the Euro Notes and Citigroup Global
Markets Deutschland AG & Co KGaA will act as Registrar for the Euro
Notes.  The Company may change any Paying
Agent, Registrar or co-Registrar without notice to the Holders.  The Company or any of its Subsidiaries may,
subject to certain exceptions, act as Registrar or co-Registrar.

4.                                       Indenture.  The Company issued the Euro Notes under an
Indenture, dated as of November 13, 2006 (the “Indenture”), among the Company,
each of the Guarantors named therein and the Trustee.  This Euro Note is one of a duly authorized
issue of Euro Notes of the Company designated as its euro denominated
6 7/8% Senior Subordinated Notes due 2013 (the “Euro Notes”) which may be
issued under the Indenture.  The Company
shall be entitled to issue Additional Notes pursuant to Section 2.18 of the
Indenture.  The Euro Notes and the Company’s
dollar denominated 7 7/8% Senior Subordinated Notes due 2014 (the “Dollar
Notes” and, together with the Euro Notes, the “Notes”) and any Additional Notes
and any Exchange Notes issued in accordance with the Indenture are treated as a
single class of securities under the Indenture unless otherwise specified in
the Indenture.  Capitalized terms used
herein shall have the meanings assigned to them in the Indenture unless otherwise
defined herein.  The terms of the Notes
include those stated in the Indenture and those made part of the Indenture by
reference to the Trust Indenture Act of 1939 (15 U.S.C.  §§ 77aaa-77bbbb) (the “TIA”), as in effect on
the date of the Indenture.  Notwithstanding anything to the contrary herein,
the Notes are subject to

 A-4-3
 

 

all such terms, and Holders of Notes are referred to
the Indenture and the TIA for a statement of them.  The Notes are senior subordinated unsecured
obligations of the Company.

5.                                       Optional
Redemption.  (a) The Euro Notes will
be redeemable, at the Company’s option, in whole at any time or in part from
time to time, on and after November 15, 2009, upon not less than 30 nor more
than 60 days’ notice, at the following redemption prices (expressed as
percentages of the principal amount thereof) if redeemed during the
twelve-month period commencing on November 15 of the year set forth below,
plus, in each case, accrued and unpaid interest thereon, if any, to the date of
redemption:

	
  Year

  	
   

  	
  Percentage

  	
   

  
	
  2009

  	
   

  	
  105.156

  	
  %

  
	
  2010

  	
   

  	
  103.438

  	
  %

  
	
  2011

  	
   

  	
  101.719

  	
  %

  
	
  2012 and thereafter

  	
   

  	
  100.000

  	
  %

  

 

(b)                                 At
any time, or from time to time, prior to January 1, 2008, the Company may, at
its option, use the net cash proceeds of one or more Equity Offerings (as
defined below) to redeem up to 40% of the aggregate principal amount of Euro
Notes originally issued (including the original principal amount of any
Additional Euro Notes) at a redemption price equal to 106.875% of the principal
amount thereof plus accrued and unpaid interest thereon, if any, to the date of
redemption; provided, however, that at least 60% of the aggregate principal
amount of the Notes originally issued remain (including the principal amount of
any Additional Notes) outstanding immediately after any such redemption.  In order to effect the foregoing redemption
with the proceeds of any Equity Offering, the Company shall make such
redemption not more than 120 days after the consummation of any such Equity
Offering.

(c)                                  At
any time prior to November 15, 2009, the Euro Notes may be redeemed, in whole
or in part, at the option of the Company, upon not less than 30 nor more than
60 days’ notice, at a redemption price (the “Make-Whole Price”) equal to the
greater of (i) 100.000% of the principal amount thereof or (ii) as determined
by an Independent Investment Banker, the present value of (A) 105.156% of the
Euro Notes being redeemed as of November 15, 2009 plus (B) all required
interest payments due on such Euro Notes through November 15, 2009 (excluding
accrued interest), discounted to the Redemption Date on a semiannual basis (assuming
a 360-day year consisting of twelve 30-day months) at the Adjusted Bund Rate
plus in each case accrued interest to the Redemption Date.

6.                                       Notice
of Redemption.  Notice of redemption
will be delivered at least 30 days but not more than 60 days before the
Redemption Date to each Holder whose Euro Notes are to be redeemed at such
Holder’s registered address, except as provided in the Indenture.  Euro Notes in denominations larger than €50,000
may be redeemed in part; provided, that no Euro Notes of less than €50,000
may be outstanding thereafter.

7.                                       Change
of Control Offer.  In the event of a
Change of Control, upon the satisfaction of the conditions set forth in the
Indenture, the Company shall be required to offer to

 A-4-4
 

 

repurchase all of the then outstanding Notes pursuant
to a Change of Control Offer at a purchase price equal to 101% of the principal
amount thereof plus accrued and unpaid interest, if any, to the date of purchase.  Holders of Notes that are the subject of such
an offer to repurchase shall receive an offer to repurchase and may elect to
have such Notes repurchased in accordance with the provisions of the Indenture
pursuant to and in accordance with the terms of the Indenture.

8.                                       Limitation
on Asset Sales.  Under certain
circumstances set forth in Section 4.15 of the Indenture, the Company is
required to apply the net proceeds from Asset Sales to offer to repurchase the
Notes at a price equal to 100% of the principal amount thereof plus accrued and
unpaid interest thereon, if any, to the date of repurchase.

9.                                       Denominations;
Transfer; Exchange.  The Euro Notes
are in fully registered form only, without coupons, in denominations of €50,000
and integral multiples of €1,000 in excess thereof.  A Holder shall register the transfer or
exchange of Notes in accordance with the Indenture.  The Registrar may require a Holder, among
other things, to furnish appropriate endorsements and transfer documents and to
pay certain transfer taxes or similar governmental charges payable in
connection therewith as permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes during a period beginning 15 days before the mailing
of a redemption notice for any Notes or portions thereof selected for
redemption.

10.                                 Persons
Deemed Owners.  The registered Holder
of a Note shall be treated as the owner of it for all purposes.

11.                                 Unclaimed
Money.  If money for the payment of principal
or interest remains unclaimed for one year, the Trustee and the Paying Agent
will pay the money back to the Company. 
After that, all liability of the Trustee and such Paying Agent with
respect to such money shall cease.

12.                                 Discharge
Prior to Redemption or Maturity.  If
the Company at any time deposits with the Trustee euros or non-callable Euro
Obligations sufficient to pay the principal of, premium and interest on the
Euro Notes to redemption or maturity and complies with the other provisions of
this Indenture relating thereto, the Company will be discharged from certain
provisions of the Indenture and the Euro Notes (including certain covenants,
but excluding its obligation to pay the principal of, premium and interest on
the Euro Notes).

13.                                 Amendment;
Supplement; Waiver.  The Indenture or
the Notes may be amended or supplemented as provided in the Indenture.

14.                                 Restrictive
Covenants.  The Indenture imposes
certain limitations on the ability of the Company and its Subsidiaries to,
among other things, incur additional Indebtedness, pay dividends or make
certain other restricted payments, enter into transactions with Affiliates,
create dividend or other payment restrictions affecting Restricted Subsidiaries
and merge or consolidate with any other Person, sell, assign, transfer, lease,
convey or otherwise dispose of all or substantially all of its assets or adopt
a plan of liquidation.  Such limitations
are subject to a number of important qualifications and exceptions.  The Company must annually report to the
Trustee on compliance with such limitations.

 A-4-5
 

 

15.                                 Successors.  When a successor assumes, in accordance with
this- Indenture, all the obligations of its predecessor under the Notes and the
Indenture, the predecessor will be released from those obligations.

16.                                 Defaults
and Remedies.  If an Event of Default
occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the then outstanding Notes (including any Additional Notes)
may declare all the Notes to be due and payable in the manner, at the time and
with the effect provided in the Indenture. 
Holders of Notes may not enforce the Indenture or the Notes except as
provided in the Indenture.  The Trustee
is not obligated to enforce the Indenture or the Notes unless it has been
offered indemnity or security reasonably satisfactory to it.  The Indenture permits, subject to certain
limitations therein provided, Holders of a majority in aggregate principal
amount of the Notes (including any Additional Notes) then outstanding to direct
the Trustee in its exercise of any trust or power.  The Trustee may withhold from Holders of
Notes notice of any continuing Default or Event of Default (except a Default in
payment of principal or interest) if it determines in good faith that
withholding notice is in their interest.

17.                                 Trustee
Dealings with Company.  The Trustee
under the Indenture, in its individual or any other capacity, may become the
owner or pledgee of Notes and may otherwise deal with the Company, its
Restricted and Unrestricted Subsidiaries or their respective Affiliates as if
it were not the Trustee.

18.                                 No
Recourse Against Others.  No past,
present or future stockholder, director, officer, employee or incorporator, as
such, of the Company shall have any liability for any obligation of the Company
under the Notes or the Indenture or for any claim based on, in respect of or by
reason of, such obligations or their creation. 
Each Holder of a Note by accepting a Note waives and releases all such
liability.  The waiver and release are
part of the consideration for the issuance of the Notes.

19.                                 Authentication.  This Note shall not be valid until the
Trustee or authenticating agent manually signs the certificate of
authentication on this Note.

20.                                 Governing
Law.  This Note shall be governed by,
and construed in- accordance with, the laws of the State of New York.

21.                                 Abbreviations
and Defined Terms.  Customary
abbreviations may be- used in the name of a Holder of a Note or an assignee,
such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties),
JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

22.                                 CUSIP/ISIN
Numbers.  The Company may cause CUSIP
and/or ISIN numbers to be printed on the Notes as a convenience to the Holders
of the Notes.  No representation is made
as to the accuracy of such numbers as printed on the Notes and reliance may be
placed only on the other identification numbers printed hereon.

 A-4-6
 

 

23.                                 Indenture.  Each Holder, by accepting a Note, agrees to
be bound by all of the terms and provisions of the Indenture, as the same may
be amended from time to time.  Capitalized
terms used herein and not defined herein have the meanings ascribed thereto in
the Indenture.

24.                                 Guarantees.  This Note will be entitled to the benefits of
certain senior subordinated Guarantees made for the benefit of the
Holders.  Reference is hereby made to the
Indenture for a statement of the respective rights, limitations of rights, duties
and obligations thereunder of the Guarantors, the Trustee and the Holders.

The Company will furnish to any Holder of a Note upon
written request and without charge a copy of the Indenture.  Requests may be made to:  HUNTSMAN INTERNATIONAL LLC, 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: Office of General Counsel.

 A-4-7
 

 

[FORM OF
ASSIGNMENT]

I or we assign to

PLEASE INSERT SOCIAL
SECURITY

OR OTHER IDENTIFYING NUMBER

(please print or
type name and address)

the within Note and all
rights thereunder, and hereby irrevocably constitutes and appoints

attorney to transfer the
Note on the books of the Company with full power of substitution in the
premises.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTICE: The signature on this assignment must correspond
  with the name as it appears upon the face of the within Note in every
  particular without alteration or enlargement or any change whatsoever and be
  guaranteed by the endorser’s bank or broker.

  
	
   

  	
   

  
	
  Signature
  Guarantee:

  	
   

  	
   

  
							

 

 A-4-8
 

 

OPTION OF HOLDER
TO ELECT PURCHASE

If you want to elect to have this Note purchased by
the Company pursuant to Section 4.14 or Section 4.15 of the Indenture, check
the appropriate box:

Section 4.14
[          ] Section 4.15
[          ]

If you want to elect to have only part of this Note
purchased by the Company pursuant to Section 4.14 or Section 4.15 of the
Indenture, state the amount:  $                     

	
  Date:

  	
   

  	
   

  	
  Your Signature:

  	
   

  	
   

  
	
   

  	
   

  	
  (Sign exactly as your name appears on the

  
	
   

  	
   

  	
  other side of this Note)

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  	
   

  
	
   

  	
  Participant in a recognized Signature Guarantee
  Medallion

  	
   

  
	
   

  	
  Program (or other signature guarantor program
  reasonably

  	
   

  
	
   

  	
  acceptable to the Trustee)

  	
   

  
							

 

 A-4-9

 

EXHIBIT B

FORM OF LEGEND FOR
GLOBAL SECURITY

Any Global Security authenticated and delivered
hereunder shall bear a legend (which would be in addition to any other legends
required in the case of a Restricted Security) in substantially the following
form:

THIS NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF
THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A
DEPOSITORY OR A NOMINEE OF A DEPOSITORY OR A SUCCESSOR DEPOSITORY.  THIS NOTE IS NOT EXCHANGEABLE FOR NOTES
REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITORY OR ITS NOMINEE
EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER
OF THIS NOTE (OTHER THAN A TRANSFER OF THIS NOTE AS A WHOLE BY THE DEPOSITORY
TO A NOMINEE OF THE DEPOSITORY OR BY A NOMINEE OF THE DEPOSITORY TO THE
DEPOSITORY OR ANOTHER NOMINEE OF THE DEPOSITORY) MAY BE REGISTERED EXCEPT IN
THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY, TO THE COMPANY OR ITS AGENT FOR REGISTRATION
OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN
THE NAME OF THE DEPOSITORY OR A NOMINEE OF THE DEPOSITORY OR IN SUCH OTHER NAME
AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY (AND ANY
PAYMENT IS MADE TO ITS NOMINEE OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY), ANY TRANSFER, PLEDGE OR OTHER USE
HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE
REGISTERED OWNER HEREOF, A NOMINEE OF THE DEPOSITORY, HAS AN INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO
TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF THE DEPOSITORY OR ITS
NOMINEE OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF
PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN
ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE.

 B-1

 

EXHIBIT C-1

FORM OF TRANSFER
CERTIFICATE

RESTRICTED GLOBAL SECURITY TO

REGULATION S GLOBAL SECURITY

(Transfers
pursuant to Sections 2.16(a)(ii) of the Indenture)

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue

MAC N9303-120

Minneapolis, Minnesota 55479

Attention: Corporate Trust Services

Citibank, N.A.

5 Carmelite Street

London EC4Y 0PA

Attention: Bond Agency

Huntsman International
LLC

500 Huntsman Way

Salt Lake City, Utah 84108

Attention:  Secretary

Attention: Corporate
Trust Services

Re:                               Huntsman
International LLC 7 7/8% Dollar-Denominated Senior

Subordinated Notes due 2014 [6 7/8% Euro-Denominated Senior

Subordinated Notes due 2013] (the “Securities”)

Reference is hereby made to the Indenture, dated as of
November 13, 2006 between the Company and Wells Fargo Bank, National
Association, as trustee, (the “Indenture”). 
Terms used but not defined herein and defined in Regulation S under the
U.S. Securities Act of 1933 (the “Securities Act”) or in the Indenture shall
have the meanings given to them in Regulation S or the Indenture, as the case
may be.

This certificate relates to U.S.$[EU]          
principal amount of Securities, which are evidenced by the following
certificate(s) (the “Specified Securities”):

[CUSIP][CINS][ISIN] No(s).  

CERTIFICATE No(s). 

The person in whose name this certificate is executed
below (the “Undersigned”) hereby certifies that either (i) it is the sole
beneficial owner of the Specified Securities or (ii) it is acting on behalf of
all the beneficial owners of the Specified Securities and is duly authorized by
them to do so.  Such beneficial owner or
owners are referred to herein collectively as the “Owner”.  If the Specified

 C-1-1
 

 

Securities are represented by a Global Security, they
are held through the appropriate Depositary or an Agent Member in the name of
the Undersigned, as or on behalf of the Owner.

The Owner has requested that the Specified Securities
be transferred to a person (the “Transferee”) who will take delivery in the
form of an interest in the Regulation S Global Security.  In connection with such transfer, the Owner
hereby certifies that such transfer is being effected in accordance with Rule
904 under the Securities Act and with all applicable securities laws of the
states of the United States and other jurisdictions.  Accordingly, the Owner hereby further certifies
as follows:

1.  the Owner is
not a distributor of the Specified Securities, an Affiliate of the Company or
any such distributor or a person acting on behalf of any of the foregoing;

2.  the offer of
the Specified Securities was not made to a person in the United States;

3.  either:

(a)  at the time the buy order was originated, the
Transferee was outside the United States or the Owner and any person acting on
its behalf reasonably believed that the Transferee was outside the United
States; or

(b)  the transaction is being executed in, on or
through the facilities of the Eurobond market, as regulated by the Association
of International Bond Dealers, or another designated offshore securities market
and neither the Owner nor any person acting on its behalf knows that the transactions
have been prearranged with a buyer in the United States;

4.  no directed
selling efforts have been made in the United States by or on behalf of the
Owner or any Affiliate thereof;

5.  if the Owner
is a dealer in securities or has received a selling concession, fee or other
remuneration in respect of the Specified Securities, and the transfer is to
occur during the Restricted Period, then the requirements of Rule 904(c)(1)
have been satisfied;

6.  the
transaction is not part of a plan or scheme to evade the registration requirements
of the Securities Act; and

7.  upon
completion of the transaction, the beneficial interest being transferred will
be held through an Agent Member acting for and on behalf of Euroclear or
Clearstream.

 C-1-2
 

 

This certificate and the statements contained herein
are made for your benefit and the benefit of the Company and the Initial
Purchasers under the Purchase Agreement.

	
  Dated:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Print the name of the Undersigned, as such term is

  
	
   

  	
  defined in the second paragraph of this
  certificate.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
  (If the Undersigned is a corporation, partnership or

  
	
   

  	
  fiduciary, the title of the person signing on behalf
  of

  
	
   

  	
  the Undersigned must be stated.)

  
				

 

 C-1-3

 

EXHIBIT C-2

FORM OF TRANSFER
CERTIFICATE

RESTRICTED GLOBAL SECURITY TO UNRESTRICTED

GLOBAL SECURITY

(Transfers
Pursuant to Sections 2.16(a)(iii) and 2.16(b)(ii) of the Indenture)

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue

MAC N9303-120

Minneapolis, Minnesota 55479

Attention: Corporate Trust Services

Citibank, N.A.

5 Carmelite Street

London EC4Y 0PA

Attention: Bond Agency

Huntsman International
LLC

500 Huntsman Way

Salt Lake City, Utah 84108

Attention:  Secretary

Re:                               Huntsman
International LLC 7 7/8% Dollar-Denominated Senior

Subordinated Notes due 2014 [6 7/8% Euro-Denominated Senior

Subordinated Notes due 2013] (the “Securities”)

Reference is hereby made to the Indenture, dated as of
November 15, 2006 between the Company, the Guarantors named therein and Wells
Fargo Bank, National Association, as trustee, (the “Indenture”).  Terms used but not defined herein and defined
in Regulation S under the U.S. Securities Act of 1933 (the “Securities Act”) or
in the Indenture shall have the meanings given to them in Regulation S or the
Indenture, as the case may be.

This certificate relates to [U.S.$][EU]        
principal amount of Securities, which are evidenced by the following
certificate(s) (the “Specified Securities”):

[CUSIP][CINS][ISIN] No(s). 

CERTIFICATE No(s). 

The person in whose name this certificate is executed
below (the “Undersigned”) hereby certifies that either (i) it is the sole
beneficial owner of the Specified Securities or (ii) it is acting on behalf of
all the beneficial owners of the Specified Securities and is duly authorized by
them to do so.  Such beneficial owner or
owners are referred to herein collectively as the “Owner”.  If the Specified Securities are represented
by a Global Security, they are held through

 C-2-1
 

 

the appropriate Depositary or an Agent Member in the
name of the Undersigned, as or on behalf of the Owner.

The Owner has requested that the Specified Securities
be transferred to a person (the “Transferee”) who will take delivery in the
form of an interest in the Unrestricted Global Security.  In connection with such transfer, the Owner
hereby certifies that such transfer is being effected in accordance with Rule
904 or Rule 144 under the Securities Act and with all applicable securities
laws of the states of the United States and other jurisdictions.  Accordingly, the Owner hereby further
certifies as follows:

(1)                                  Rule
904 Transfers.  If the transfer is being
effected in accordance with Rule 904:

(A)                              the
Owner is not a distributor of the Specified Securities, an Affiliate of the
Company or any such distributor or a person acting on behalf of any of the
foregoing;

(B)                                the
offer of the Specified Securities was not made to a person in the United
States;

(C)                                either:

(i)                                     at
the time the buy order was originated, the Transferee was outside the United
States or the Owner and any person acting on its behalf reasonably believed
that the Transferee was outside the United States; or

(ii)                                  the
transaction is being executed in, on or through the facilities of the Eurobond
market, as regulated by the Association of International Bond Dealers, or
another designated offshore securities market and neither the Owner nor any
person acting on its behalf knows that the transactions has been prearranged
with a buyer in the United States;

(D)                               no
directed selling efforts have been made in the United States by or on behalf of
the Owner or any Affiliate thereof;

(E)                                 if
the Owner is a dealer in securities or has received a selling concession, fee
or other remuneration in respect of the Specified Securities, and the transfer
is to occur during the Restricted Period, then the requirements of Rule
904(c)(1) have been satisfied; and

(F)                                 the
transaction is not part of a plan or scheme to evade the registration
requirements of the Securities Act.

(2)                                  Rule
144 Transfers.  If the transfer is being
effected pursuant to Rule 144:

(A)                              the
transfer is occurring after [date one year after the latest date of issuance of
any of the Specified Securities] and is being effected in accordance

 C-2-2
 

 

with the applicable
amount, manner of sale and notice requirements of Rule 144; or

(B)                                the
transfer is occurring after [date two years after the latest date of issuance
of any of the Specified Securities] and the Owner is not, and during the preceding
three months has not been, an Affiliate of the Company.

This certificate and the statements contained herein
are made for your benefit and the benefit of the Company and the Initial
Purchasers under the Purchase Agreement.

	
  Dated:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Print the name of the Undersigned, as such term is

  
	
   

  	
  defined in the second paragraph of this
  certificate.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
				

 

(If the Undersigned is a corporation, partnership or
fiduciary, the title of the person signing on behalf of the Undersigned must be
stated.)

 C-2-3

 

EXHIBIT C-3

FORM OF TRANSFER
CERTIFICATE —

REGULATION S GLOBAL SECURITY TO

RESTRICTED GLOBAL SECURITY

(Transfers to QIBs
Pursuant to Sections 2.16(a)(iv) of the Indenture)

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue

MAC N9303-120

Minneapolis, Minnesota 55479

Attention: Corporate Trust Services

Citibank, N.A.

5 Carmelite Street

London EC4Y 0PA

Attention: Bond Agency

Huntsman International
LLC

500 Huntsman Way

Salt Lake City, Utah 84108

Attention:  Secretary

Re:                               Huntsman
International LLC 7 7/8% Dollar-Denominated Senior

Subordinated Notes due 2014 [6 7/8% Euro-Denominated Senior

Subordinated Notes due 2013 ] (the “Securities”)

Reference is hereby made to the Indenture, dated as of
November 13, 2006 between the Company, the Guarantors named therein and Wells
Fargo Bank, National Association, as trustee, (the “Indenture”).  Terms used but not defined herein and defined
in Regulation S under the U.S. Securities Act of 1933 (the “Securities Act”) or
in the Indenture shall have the meanings given to them in Regulation S or the
Indenture, as the case may be.

This certificate relates to U.S.$[EU]            
principal amount of Securities, which are evidenced by the following
certificate(s) (the “Specified Securities”):

[CUSIP][CINS][ISIN] No(s).  

CERTIFICATE No(s). 

The person in whose name this certificate is executed
below (the “Undersigned”) hereby certifies that either (i) it is the sole
beneficial owner of the Specified Securities or (ii) it is acting on behalf of
all the beneficial owners of the Specified Securities and is duly authorized by
them to do so.  Such beneficial owner or
owners are referred to herein collectively as the “Owner”.  If the Specified Securities are represented
by a Global Security, they are held through

 C-3-1
 

 

the appropriate Depositary or an Agent Member in the
name of the Undersigned, as or on behalf of the Owner.

The Owner has requested that the Specified Securities
be transferred to a person (the “Transferee”) who will take delivery in the
form of an interest in the Restricted Global Security.  In connection with such transfer, the Owner
hereby certifies that such transfer is being effected in accordance with Rule
144A under the Securities Act and with all applicable securities laws of the
states of the United States and other jurisdictions.  Accordingly, the Owner hereby further
certifies as follows:

(1)                                  the
Specified Securities are being transferred to a person that the Owner and any
person acting on its behalf reasonably believe is a “qualified institutional buyer”
within the meaning of Rule 144A, acquiring for its own account or for the
account of a qualified institutional buyer; and

(2)                                  the
Owner and any person acting on its behalf have taken reasonable steps to ensure
that the Transferee is aware that the Owner may be relying on Rule 144A in
connection with the transfer.

This certificate and the statements contained herein
are made for your benefit and the benefit of the Company and the Initial
Purchasers under the Purchase Agreement.

	
  Dated:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Print the name of the Undersigned, as such term is

  
	
   

  	
  defined in the second paragraph of this
  certificate.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
				

 

(If the Undersigned is a corporation, partnership or
fiduciary, the title of the person signing on behalf of the Undersigned must be
stated.)

 C-3-2

 

EXHIBIT D

FORM OF
CERTIFICATE TO BE

DELIVERED IN CONNECTION WITH

TRANSFERS TO INSTITUTIONAL ACCREDITED INVESTORS

(Transfers
Pursuant to Section 2.17(a) of the Indenture)

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue

MAC N9303-120

Minneapolis, Minnesota 55479

Attention: Corporate Trust Services

Citibank, N.A.

5 Carmelite Street

London EC4Y 0PA

Attention: Bond Agency

Huntsman International
LLC

500 Huntsman Way

Salt Lake City, Utah 84108

Attention:  Secretary

Re:                               Huntsman
International LLC 7 7/8% Dollar-Denominated Senior

Subordinated Notes due 2014 [6 7/8% Euro-Denominated Senior

Subordinated Notes due 2013] (the “Securities”)

Ladies and Gentlemen:

Reference is hereby made to the Indenture, dated as of
November 13, 2007 between the Company and Wells Fargo Bank, National
Association, as trustee (the “Indenture”). 
Terms used but not defined herein have the meanings given to them in the
Indenture.

This certificate relates to [U.S. $] [EU]        
principal amount of Securities, which are evidenced by the following
certificate(s):

1.  We
understand that the Securities have not been registered under the Securities
Act of 1933, as amended (the “Securities Act”), and may not be sold except as
permitted in the following sentence.  We
understand and agree, on our own behalf and on behalf of any accounts for which
we are acting as hereinafter stated, (x) that such Securities are being offered
only in a transaction not involving any public offering within two years after
the date of the original issuance of the Securities or if within three months
after we cease to be an affiliate (within the meaning of Rule 144 under the
Securities Act) of the Company, such Securities may be resold, pledged or
transferred only (i) to the Company, (ii) so long as the Securities are
eligible for resale pursuant to Rule 144A under the Securities Act (“Rule 144A”),
to a person whom we reasonably believe is a “qualified institution buyer” (as
defined in Rule 144A) (“QIB”) that purchases

 D-1
 

 

for its own account or for the account of a QIB to
whom notice is given that the resale, pledge or transfer is being made in
reliance on Rule 144A (as indicated by the box checked by the transferor on the
Certificate of Transfer on the reverse of the certificate for the Securities),
(iii) in an offshore transaction in accordance with Regulation S under the
Securities Act (as indicated by the box checked by the transferor on the
Certificate of Transfer on the reverse of the Note if the Note is not in
book-entry form), and, if such transfer is being effected by certain
transferors prior to the expiration of the “40-day distribution compliance
period” (within the meaning of Rule 903(b)(2) of Regulation S under the
Securities Act), a certificate that may be obtained from the Trustee is delivered
by the transferee, (iv) to an institution that is an “accredited investor” as
defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act (as
indicated by the box checked by the transferor on the Certificate of Transfer
on the reverse of the certificate for the Securities) which has certified to
the Company and the Trustee for the Securities that it is such an accredited
investor and is acquiring the Securities for investment purposes and not for
distribution (provided that no Securities purchased from a foreign purchaser or
from any person other than a QIB or an institutional accredited investor
pursuant to this clause (iii) shall be permitted to transfer any Securities so
purchased to an institutional accredited investor pursuant to this clause (iv)
prior to the expiration of the “applicable restricted period” (within the
meaning of Regulation S under the Securities Act), (v) pursuant to an exemption
from registration under the Securities Act provided by Rule 144 (if applicable)
under the Securities Act, or (vi) pursuant to an effective registration
statement under the Securities Act, in each case in accordance with any
applicable securities laws of any state of the United States, and we will
notify any purchaser of the Securities from us of the above resale restriction,
if then applicable.  We further understand
that in connection with any transfer of the Securities by us that the Company
and the Trustee for the Securities may request, and if so requested we will
furnish, such certificates, legal opinions and other information as they may
reasonably require to confirm that any such transfer complies with the
foregoing restrictions.

2.  We are able
to fend for ourselves in the transactions contemplated by this Offering
Circular, we have such knowledge and experience in financial and business
matters as to be capable of evaluating the merits and risks of our investment
in the Securities, and we and any accounts for which we are acting are each
able to bear the economic risk of our or its investment and can afford the
complete loss of such investment.

3.  We
understand that the Company and others will rely upon the truth and accuracy of
the foregoing acknowledgments, representations and agreements and we agree that
if any of the acknowledgments, representations and warranties deemed to have
been made by us by our purchase of Securities, for our own account or of one or
more accounts as to each of which we exercise sole investment discretion, are
no longer accurate, we shall promptly notify the Company.

4.  We are
acquiring the Securities purchased by us for investment purposes and not for
distribution of our own account or for one or more accounts as to each of which
we exercise sole investment discretion and we are or such account is an
institutional “accredited investor” (as defined in rule 501(a)(1), (2), (3) or
(7) of Regulation D under the Securities Act).

 D-2
 

 

5.  You are
entitled to rely upon this letter and you are irrevocably authorized to produce
this letter or a copy hereof to any interested party in any administrative or
legal proceeding or official inquiry with respect to the matters covered
hereby.

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Name of
  Purchaser)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Date:

  	
   

  
				

 

 D-3

 

EXHIBIT E

GUARANTEE

For value received, the undersigned hereby
unconditionally guarantees, as principal obligor and not only as a surety, to
the Holder of this Note the payments of principal of, premium, if any, and
interest on this Note in the amounts and at the times when due and interest on
the overdue principal, premium, if any, and interest, if any, of this Note, if
lawful, and the payment or performance of all other obligations of the Company
under the Indenture (as defined below) or the Notes, to the Holder of this Note
and the Trustee, all in accordance with and subject to the terms and
limitations of this Note, Article Eleven of the Indenture and this
Guarantee.  This Guarantee will become
effective in accordance with Article Eleven of the Indenture and its terms
shall be evidenced therein.  The validity
and enforceability of any Guarantee shall not be affected by the fact that it
is not affixed to any particular Note.

Capitalized terms used but not defined herein shall
have the meanings ascribed to them in the Indenture dated as of November 13,
2006, among HUNTSMAN INTERNATIONAL LLC as issuer (the “Company”), each of the
Guarantors named therein and Wells Fargo Bank, National Association, as trustee
(the “Trustee”), as amended or supplemented (the “Indenture”).

The obligations of the undersigned to the Holders of
Notes and to the Trustee pursuant to this Guarantee and the Indenture are
expressly set forth in Article Eleven of the Indenture (including, without
limitation, the applicable limitations on this Guarantee as set forth in
Section 11.02 of the Indenture and the provisions relating to the release of
this Guarantee as set forth in Section 11.04 of the Indenture) and reference is
hereby made to the Indenture for the precise terms of the Guarantee and all of
the other provisions of the Indenture to which this Guarantee relates.

THIS GUARANTEE SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.  The undersigned Guarantor hereby agrees to
submit to the jurisdiction of the courts of the State of New York in any action
or proceeding arising out of or relating to this Guarantee.

This Guarantee is subject to release upon the terms
set forth in the Indenture.

 E-1
 

 

IN WITNESS WHEREOF, each Guarantor has caused its
Guarantee to be duly executed.

	
  Date:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
                                                                     ,

  
	
   

  	
  as Guarantor

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 E-2Exhibit
4.2

 

Execution Copy

HUNTSMAN INTERNATIONAL LLC

$200,000,000 7 7/8% Senior Subordinated Notes due
2014

guaranteed on a senior subordinated basis as to
the

payment of principal, premium,

if any, and interest by

AIRSTAR CORPORATION

EUROFUELS LLC

EUROSTAR INDUSTRIES LLC

HUNTSMAN EA HOLDINGS LLC

HUNTSMAN ETHYLENEAMINES LTD.

HUNTSMAN INTERNATIONAL FINANCIAL LLC

HUNTSMAN INTERNATIONAL FUELS, L.P.

HUNTSMAN PROPYLENE OXIDE HOLDINGS LLC

HUNTSMAN PROPYLENE OXIDE LTD.

HUNTSMAN TEXAS HOLDINGS LLC

HUNTSMAN ADVANCED MATERIALS AMERICAS INC.

HUNTSMAN ADVANCED MATERIALS HOLDINGS LLC

HUNTSMAN ADVANCED MATERIALS LLC

HUNTSMAN AUSTRALIA INC.

HUNTSMAN CHEMICAL COMPANY LLC

HUNTSMAN CHEMICAL FINANCE CORPORATION

HUNTSMAN CHEMICAL PURCHASING CORPORATION

HUNTSMAN ENTERPRISES, INC.

HUNTSMAN EXPANDABLE POLYMERS COMPANY, LC

HUNTSMAN FAMILY CORPORATION

HUNTSMAN FUELS, L.P.

HUNTSMAN GROUP HOLDINGS FINANCE CORPORATION

HUNTSMAN GROUP INTELLECTUAL PROPERTY HOLDINGS
CORPORATION

HUNTSMAN HEADQUARTERS CORPORATION

HUNTSMAN INTERNATIONAL CHEMICALS CORPORATION

HUNTSMAN INTERNATIONAL SERVICES CORPORATION

HUNTSMAN INTERNATIONAL TRADING CORPORATION

HUNTSMAN MA INVESTMENT CORPORATION

HUNTSMAN MA SERVICES CORPORATION

HUNTSMAN PETROCHEMICAL CANADA HOLDINGS CORPORATION

HUNTSMAN PETROCHEMICAL CORPORATION

HUNTSMAN PETROCHEMICAL FINANCE CORPORATION

HUNTSMAN PETROCHEMICAL PURCHASING CORPORATION

HUNTSMAN POLYMERS CORPORATION

HUNTSMAN POLYMERS HOLDINGS CORPORATION

HUNTSMAN PROCUREMENT CORPORATION

HUNTSMAN PURCHASING, LTD.

 

JK HOLDINGS CORPORATION

PETROSTAR FUELS LLC

PETROSTAR INDUSTRIES LLC

POLYMER MATERIALS INC.

TIOXIDE AMERICAS
INC.

TIOXIDE GROUP

Exchange and Registration Rights Agreement

 2
 

 

November 13, 2006

Deutsche Bank Securities
Inc.

Credit Suisse Securities (USA) LLC

Citigroup Global Markets Inc.

Wachovia Capital Markets, LLC

c/o Deutsche Bank
Securities Inc.

60 Wall Street

New York, New York 10005

Ladies and Gentlemen:

Huntsman International LLC, a Utah limited liability
company (the “Company”), proposes to issue and sell to the Purchasers
(as defined herein) upon the terms set forth in the Purchase Agreement (as
defined herein) $200,000,000 aggregate principal amount of the Company’s 7 7/8%
Senior Subordinated Notes due 2014 (the “Notes”), which are guaranteed
on a senior subordinated basis by each of the guarantors listed on Schedule I
hereto.

Pursuant to the Purchase
Agreement and in satisfaction of a condition to the obligations of the
Purchasers thereunder, the Company and the Guarantors agree with the Purchasers
for the benefit of holders (as defined herein) from time to time of the
Registrable Securities (as defined herein) as follows:

1.                                       Certain Definitions.  For purposes of this Exchange and
Registration Rights Agreement, the following terms shall have the following
respective meanings:

“Base Interest” shall mean the interest that
would otherwise accrue on the Securities under the terms thereof and the
Indenture, without giving effect to the provisions of this Exchange and
Registration Rights Agreement.

“broker-dealer” shall mean any broker or dealer
registered with the Commission under the Exchange Act.

“Closing Date” shall mean the date on which the
Securities are initially issued.

“Commission” shall mean the United States
Securities and Exchange Commission, or any other federal agency at the time
administering the Exchange Act or the Securities Act, whichever is the relevant
statute for the particular purpose.

“Effective Time” in the case of (i) an Exchange
Registration, shall mean the time and date as of which the Commission declares
the Exchange Registration Statement effective or as of which the Exchange
Registration Statement otherwise becomes effective and (ii) a Shelf
Registration, shall mean the time and date as of which the

 3
 

 

 

Commission
declares the Shelf Registration Statement effective or as of which the Shelf
Registration Statement otherwise becomes effective.

“Electing Holder” shall mean any holder of
Registrable Securities that has returned a completed and signed Notice and
Questionnaire to the Company in accordance with Section 3(d)(ii) or 3(d)(iii)
hereof.

“Exchange Act” shall mean the Securities
Exchange Act of 1934, or any successor thereto, as the same shall be amended
from time to time.

“Exchange Offer” shall have the meaning
assigned thereto in Section 2(a) hereof.

“Exchange Registration” shall have the meaning
assigned thereto in Section 3(c) hereof.

“Exchange Registration Statement” shall have
the meaning assigned thereto in Section 2(a) hereof.

“Exchange Securities” shall have the meaning
assigned thereto in Section 2(a) hereof.

“Guarantee” shall have the meaning assigned
thereto in the Indenture.

“Guarantor” shall have the meaning assigned
thereto in the Indenture.

“holder” shall mean each of the Purchasers and
other persons who acquire Registrable Securities from time to time (including
any successors or assigns), in each case for so long as such person owns any
Registrable Securities.

“Indenture” shall mean the Indenture, dated as
of November 13, 2006, between the Company, the Guarantors and Wells Fargo
Bank, National Association, as Trustee, as the same shall be amended from time
to time relating to the Securities.

“Notes” shall have the meaning assigned thereto
in the introductory paragraphs to this Exchange and Registration Rights
Agreement.

“Notice and Questionnaire” means a Notice of
Registration Statement and Selling Securityholder Questionnaire substantially
in the form of Exhibit A hereto.

“person” shall mean a corporation, association,
partnership, limited liability company, organization, business, individual,
government or political subdivision thereof or governmental agency.

“Purchase Agreement” shall mean the Purchase
Agreement, dated as of October 31, 2006, among the Purchasers, the Guarantors
and the Company relating to the Securities.

 4
 

 

 

“Purchasers” shall mean the Purchasers named in
Schedule I to the Purchase Agreement.

“Registrable Securities” shall mean the
Securities; provided, however, that a Security shall
cease to be a Registrable Security when (i) in the circumstances contemplated
by Section 2(a) hereof, the Security has been exchanged for an Exchange Security
in an Exchange Offer as contemplated in Section 2(a) hereof (provided that any Exchange Security that, pursuant to the
last two sentences of Section 2(a), is included in a prospectus for use in
connection with resales by broker-dealers shall be deemed to be a Registrable
Security with respect to Sections 5, 6 and 9 until resale of such Security has
been effected within the 120-day period referred to in Section 2(a)); (ii) in
the circumstances contemplated by Section 2(b) hereof, a Shelf Registration
Statement registering such Security under the Securities Act has been declared
or becomes effective and such Security has been sold or otherwise transferred
by the holder thereof pursuant to and in a manner contemplated by such
effective Shelf Registration Statement; (iii) such Security is sold pursuant to
Rule 144 under circumstances in which any legend borne by such Security
relating to restrictions on transferability thereof, under the Securities Act
or otherwise, is removed by the Company or pursuant to the Indenture; (iv) such
Security is eligible to be sold pursuant to paragraph (k) of Rule 144; or
(v) such Security shall cease to be outstanding.

“Registration Default” shall have the meaning
assigned thereto in Section 2(c) hereof.

“Registration Default Period” shall have the
meaning assigned thereto in Section 2(c) hereof.

“Registration Expenses” shall have the meaning
assigned thereto in Section 4 hereof.

“Resale Period” shall have the meaning assigned
thereto in Section 2(a) hereof.

“Restricted Holder” shall mean (i) a holder
that is an affiliate of the Company within the meaning of Rule 405, (ii) a
holder who acquires Exchange Securities outside the ordinary course of such
holder’s business, (iii) a holder who has arrangements or understandings with
any person to participate in the Exchange Offer for the purpose of distributing
Exchange Securities and (iv) a holder that is a broker-dealer, but only with
respect to Exchange Securities received by such broker-dealer pursuant to an
Exchange Offer in exchange for Registrable Securities acquired by the
broker-dealer directly from the Company.

“Rule 144,” “Rule 405” and “Rule 415” shall
mean, in each case, such rule promulgated under the Securities Act (or any successor
provision), as the same shall be amended from time to time.

“Securities” shall mean the Notes of the
Company to be issued and sold to the Purchasers pursuant to the Purchase
Agreement, and securities issued in exchange therefor or in lieu thereof pursuant
to the Indenture (other than Exchange Securities).

 5
 

 

Each
Security is entitled to the benefit of the Guarantee provided for in the
Indenture and, unless the context otherwise requires, any reference herein to a
“Security,” an “Exchange Security” or a “Registrable Security” shall include a
reference to the related Guarantee.

“Securities Act” shall mean the Securities Act
of 1933, or any successor thereto, as the same shall be amended from time to
time.

“Shelf Registration” shall have the meaning
assigned thereto in Section 2(b) hereof.

“Shelf Registration Statement” shall have the
meaning assigned thereto in Section 2(b) hereof.

“Special Interest” shall have the meaning
assigned thereto in Section 2(c) hereof.

“Trustee” shall have the meaning assigned
thereto in the Indenture.

“Trust Indenture Act” shall mean the Trust
Indenture Act of 1939, or any successor thereto, and the rules, regulations and
forms promulgated thereunder, all as the same shall be amended from time to
time.

Unless the context otherwise
requires, any reference herein to a “Section” or “clause” refers to a Section
or clause, as the case may be, of this Exchange and Registration Rights
Agreement, and the words “herein,” “hereof” and “hereunder” and other words of
similar import refer to this Exchange and Registration Rights Agreement as a
whole and not to any particular Section or other subdivision.

2.                                       Registration Under the Securities Act.

(a)                                  Except
as set forth in Section 2(b) below, the Company agrees to use its reasonable
best efforts to file under the Securities Act a registration statement relating
to offers to exchange (such registration statement, the “Exchange
Registration Statement,” and such offers, collectively, the “Exchange
Offer”) any and all of the Registrable Securities for a like aggregate
principal amount of debt securities issued by the Company and guaranteed by the
Guarantors, which debt securities and guarantee are substantially identical to
the Securities and the related Guarantees, respectively (and are entitled to
the benefits of a trust indenture which is substantially identical to the
Indenture and which has been qualified under the Trust Indenture Act), except
that they have been registered pursuant to an effective registration statement
under the Securities Act and do not contain provisions for registration rights
or the Special Interest contemplated in Section 2(c) below (such new debt
securities and guarantee hereinafter called “Exchange Securities”).  The Company agrees to use its reasonable best
efforts to cause the Exchange Registration Statement to become effective under
the Securities Act no later than July 13, 2008. 
The Exchange Offer will be registered under the Securities Act on the
appropriate form and will comply with all applicable tender offer rules and
regulations under the Exchange Act.  The
Company further agrees to use its reasonable best efforts to commence and
complete the Exchange Offer within 45 days after the date the Exchange
Registration Statement is declared effective by the Commission, hold the
Exchange Offer open for at least 20 days (or longer if required by applicable
law) and exchange Exchange
Securities for all Registrable

 6
 

 

 

Securities that have been properly tendered
and not withdrawn on or prior to the expiration of the Exchange Offer.  The Exchange Offer will be deemed to have
been “completed” only if the debt securities and
related guarantee received by holders other than Restricted Holders in the
Exchange Offer for Registrable Securities are, upon receipt, transferable by
each such holder without restriction under the Securities Act and without
material restrictions under the blue sky or securities laws of a substantial
majority of the States of the United States of America, it being understood
that broker-dealers receiving Exchange Notes will be subject to certain
prospectus delivery requirements with respect to resale of the Exchange
Notes.  The Exchange Offer shall be
deemed to have been completed upon the earlier to occur of (i) the Company
having exchanged the Exchange Securities for all outstanding Registrable
Securities pursuant to the Exchange Offer and (ii) the Company having
exchanged, pursuant to the Exchange Offer, Exchange Securities for all
Registrable Securities that have been properly tendered and not withdrawn before
the expiration of the Exchange Offer, which shall be on a date that is at least
20 days following the commencement of the Exchange Offer.  The Company agrees (x) to include in the
Exchange Registration Statement a prospectus for use in any resales by any
holder of Exchange Securities that is a broker-dealer and (y) to keep
such Exchange Registration Statement effective for a period (the “Resale
Period”) beginning when Exchange Securities are first issued in the
Exchange Offer and ending upon the earlier of the expiration of the 120th day
after the Exchange Offer has been completed or such time as such broker-dealers
no longer own any Registrable Securities. 
With respect to such Exchange Registration Statement, such holders shall
have the benefit of the rights of indemnification and contribution set forth in
Sections 6(a), (c), (d) and (e) hereof.

Each holder that
participates in the Exchange Offer will be required, as a condition to its
participation in the Exchange Offer, to represent to the Company in writing
(which may be contained in the applicable letter of transmittal) (i) that any
Exchange Securities to be received by it will be acquired in the ordinary
course of its business, (ii) that at the time of the commencement of the
Exchange Offer, such holder has no arrangement or understanding with any Person
to participate in the distribution (within the meaning of the Securities Act)
of the Exchange Securities in violation of the Securities Act, (iii) that such
holder is not an “affiliate” of the Company as such term is defined in Rule 405
promulgated under the Securities Act, (iv) if such holder is a broker-dealer,
that it is not engaged in, and does not intend to engage in, the distribution
of Exchange Notes; and (v) if such holder is a broker-dealer that will receive
Exchange Securities for its own account in exchange for Securities that were
acquired as a result of market-making or other trading activities (an “Exchanging
Dealer”), that it will deliver a prospectus in connection with the resale
of such Exchange Securities.  A
broker-dealer that is not able to make the representation in clause (v) above
will not be permitted to participate in the Exchange Offer.

(b)                                 If
on or prior to the time the Exchange Offer is completed, any law or the
existing Commission interpretations are changed such that (i) the debt
securities or the related guarantee received by holders other than Restricted
Holders in the Exchange Offer for Registrable Securities are not or would not
be, upon receipt, transferable by each such holder without restriction under
the Securities Act, (ii) for any other reason the Exchange Offer has not been
completed within 45 days after July 13, 2008 or (iii) the Exchange Offer is not
available to any holder of the Securities by reason of U.S. law or Commission
policy (other than due solely to the status of such holder as an affiliate of
the Company within the meaning of the Securities

 7
 

 

 

Act or as an Exchanging Dealer), the Company
shall, in lieu of (or, in the case of clause (iii), in addition to) conducting
the Exchange Offer contemplated by Section 2(a), file under the Securities Act
as soon as practicable, but no later than the later of 75 days after the time
such obligation to file arises, a “shelf” registration statement providing for
the registration of, and the sale on a continuous or delayed basis by the
holders of, all of the Registrable Securities, pursuant to Rule 415 or any
similar rule that may be adopted by the Commission (such filing, the “Shelf
Registration” and such registration statement, the “Shelf Registration
Statement”).  The Company agrees to
use its reasonable best efforts (x) to cause the Shelf Registration Statement
to become or be declared effective and to keep such Shelf Registration
Statement continuously effective for a period ending on the earlier of the
second anniversary of the Effective Time or such time as there are no longer
any Registrable Securities outstanding; provided,
however, that (I) no holder shall
be entitled to be named as a selling securityholder in the Shelf Registration
Statement or to use the prospectus forming a part thereof for resales of
Registrable Securities unless such holder is an Electing Holder and (II) the
Company shall be permitted to take any action that would suspend the
effectiveness of a Shelf Registration Statement or result in holders covered by
a Shelf Registration Statement not being able to offer and sell such Securities
if (i) such action is required by law or (ii) such action is taken by the
Company in good faith and for valid business reasons involving a material
undisclosed event, and (y) after the Effective Time of the Shelf Registration
Statement, within 30 days following the request of any holder of Registrable
Securities that is not then an Electing Holder, to take any action reasonably
necessary to enable such holder to use the prospectus forming a part thereof
for resales of Registrable Securities, including, without limitation, any
action necessary to identify such holder as a selling securityholder in the
Shelf Registration Statement; provided,
however, that nothing in this clause (y) shall relieve any such
holder of the obligation to return a completed and signed Notice and
Questionnaire to the Company in accordance with Section 3(d)(iii) hereof.  The Company further agrees to supplement or
make amendments to the Shelf Registration Statement, as and when required by
the rules, regulations or instructions applicable to the registration form used
by the Company for such Shelf Registration Statement or by the Securities Act or
rules and regulations thereunder for shelf registration, and the Company agrees
to furnish to each Electing Holder copies of any such supplement or amendment
prior to its being used or promptly following its filing with the Commission.

(c)                                  In
the event that (i) the Exchange Registration Statement or Shelf Registration
Statement has not become effective or been declared effective by the Commission
on or before the date on which such registration statement is required to
become or be declared effective pursuant to Section 2(a) or 2(b), respectively,
or (ii) the Exchange Offer has not been completed within 45 business days after
the initial effective date of the Exchange Registration Statement relating to
the Exchange Offer (if the Exchange Offer is then required to be made) or (iii)
any Exchange Registration Statement or Shelf Registration Statement required by
Section 2(a) or 2(b) hereof is filed and declared effective but shall
thereafter either be withdrawn by the Company or shall become subject to an
effective stop order issued pursuant to Section 8(d) of the Securities Act
suspending the effectiveness of such registration statement (except as
specifically permitted herein) without being succeeded immediately by an
additional registration statement filed and declared effective (each such event
referred to in clauses (i) through (iv), a “Registration Default” and
each period during which a Registration Default has occurred and is continuing,
a “Registration Default Period”), then, as liquidated damages for such
Registration Default, subject to the provisions of Section 9(b), special interest
(“Special Interest”), in addition

 8
 

 

to the Base Interest, shall accrue at a per
annum rate of 0.125% for the first 90 days of the Registration Default Period,
at a per annum rate of 0.25% for the second 90 days of the Registration Default
Period, at a per annum rate of 0.375% for the third 90 days of the Registration
Default Period and at a per annum rate of 0.5% thereafter for the remaining
portion of the Registration Default Period; provided,
however, that Special Interest shall not accrue if the failure of
the Company to comply with its obligations hereunder is a result of the failure
of any of the holders, underwriters, Purchasers or placement or sales agents to
fulfill their respective obligations hereunder; and provided, further,
Special Interest shall only accrue until, but excluding, the earlier of (1) the
date on which such Registration Default has been cured or (2) the date on which
the Securities accruing such Special Interest cease to be Registrable
Securities.  Special Interest accrued for
any period shall be payable at the relevant interest payment date for such
period under the terms of the applicable series of Securities.

(d)                                 Notwithstanding
the foregoing: (1) the amount of Special Interest that accrues will not
increase because more than one Registration Default has occurred and is
pending; (2) a holder of Registrable Securities or Exchange Securities who is
not entitled to the benefits of the Shelf Registration Statement (including,
but not limited to any such holder who has not returned a completed and signed
Notice and Questionnaire to the Company in accordance with Section 3(d)(iii)
hereof) will not be entitled to Special Interest with respect to a Registration
Default that pertains to the Shelf Registration Statement; and (3) a holder of
Registrable Securities constituting an unsold allotment from the original sale
of the notes or who otherwise is not entitled to participate in the Exchange
Offer will not be entitled to the accrual of Special Interest by reason of a
Registration Default that pertains to the Exchange Offer.

(e)                                  The
Company shall take, and shall cause the Guarantors to take, all actions
necessary or advisable to be taken by it to ensure that the transactions
contemplated herein are effected as so contemplated, including all actions
necessary or desirable to register the Guarantees under the registration
statement contemplated in Section 2(a) or 2(b) hereof, as applicable.

(f)                                    Any
reference herein to a registration statement as of any time shall be deemed to
include any document incorporated, or deemed to be incorporated, therein by
reference as of such time and any reference herein to any post-effective
amendment to a registration statement as of any time shall be deemed to include
any document incorporated, or deemed to be incorporated, therein by reference
as of such time.

3.                                       Registration Procedures.

If the Company files a
registration statement pursuant to Section 2(a) or Section 2(b), the following
provisions shall apply:

(a)                                  At or before the
Effective Time of the Exchange Offer or the Shelf Registration, as the case may
be, the Company shall qualify the Indenture under the Trust Indenture Act.

 9
 

 

 

(b)                                 In the event that such
qualification would require the appointment of a new trustee under the
Indenture, the Company shall appoint a new trustee thereunder pursuant to the
applicable provisions of the Indenture.

(c)                                  In connection with
the Company’s obligations with respect to the registration of Exchange
Securities as contemplated by Section 2(a) (the “Exchange Registration”),
if applicable, the Company shall, as soon as reasonably practicable (or as
otherwise specified):

(i)  
use its reasonable best efforts to prepare and file with the Commission
an Exchange Registration Statement on any form which may be utilized by the
Company and which shall permit the Exchange Offer and resales of Exchange
Securities by broker-dealers during the Resale Period to be effected as
contemplated by Section 2(a), and use its best reasonable efforts to cause such
Exchange Registration Statement to become effective no later than July 13,
2008;

(ii)  
after the Effective Time of the Exchange Registration Statement, except
as permitted hereunder, prepare and file with the Commission such amendments
and supplements to such Exchange Registration Statement and the prospectus
included therein as may be necessary to effect and maintain the effectiveness
of such Exchange Registration Statement for the periods and purposes contemplated
in Section 2(a) hereof and as may be required by the applicable rules and
regulations of the Commission and the instructions applicable to the form of
such Exchange Registration Statement, and promptly provide each broker-dealer
holding Exchange Securities with such number of copies of the prospectus
included therein (as then amended or supplemented), in conformity in all
material respects with the requirements of the Securities Act and the Trust
Indenture Act and the rules and regulations of the Commission thereunder, as
such broker-dealer may reasonably request prior to the expiration of the Resale
Period, for use in connection with resales of Exchange Securities;

(iii)  
after the Effective Time of the Exchange Registration Statement and
during the Resale Period promptly notify each broker-dealer that has requested
copies of the prospectus included in such registration statement, and confirm
such advice in writing, (A) with respect to such Exchange Registration
Statement or any post-effective amendment, when the same has become effective,
(B) of the issuance by the Commission of any stop order suspending the
effectiveness of such Exchange Registration Statement or the initiation or
threatening of any proceedings for that purpose, (C) of the receipt by the
Company of any notification with respect to the suspension of the qualification
of the Exchange Securities for sale in any jurisdiction or the initiation or
threatening of any proceeding for such purpose, or (D) at any time during the
Resale Period when a prospectus is required to be delivered under the
Securities Act, that such Exchange Registration Statement, prospectus,
prospectus amendment or supplement or post-effective amendment does not
conform in all material respects to the applicable requirements of the
Securities Act and the Trust Indenture Act and the rules and regulations of the
Commission thereunder or contains an untrue

 10
 

 

 

statement of a material fact or omits to state any material fact
required to be stated therein or necessary to make the statements therein not
misleading in light of the circumstances then existing, which such notice, in
the case of clauses (B), (C) and (D) shall require any broker-dealer to suspend
the use of such prospectus until further notice;

(iv)  
in the event that the Company would be required, pursuant to Section
3(c)(iii)(D) above, to notify any broker-dealers holding Exchange Securities,
prepare and furnish to each such holder a reasonable number of copies of a
prospectus supplemented or amended so that, as thereafter delivered to
purchasers of such Exchange Securities during the Resale Period, such prospectus
shall conform in all material respects to the applicable requirements of the
Securities Act and the Trust Indenture Act and the rules and regulations of the
Commission thereunder and shall not contain an untrue statement of a material
fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading in light of the
circumstances then existing; provided, however,
the Company shall not be required to amend or supplement such prospectus if (i)
not permitted by law or (ii) the Company in good faith and for valid business
reasons determines that to do so would involve disclosing a material undisclosed
event;

(v)  
use its reasonable best efforts to obtain the withdrawal of any order
suspending the effectiveness of such Exchange Registration Statement or any
post-effective amendment thereto at the earliest practicable date unless
the Company in good faith and for valid business reasons determines that to do
so would involve disclosing a material undisclosed event;

(vi)  
use its reasonable best efforts to (A) register or qualify the Exchange
Securities under the securities laws or blue sky laws of such jurisdictions as
are contemplated by Section 2(a) no later than the commencement of the Exchange
Offer, (B) keep such registrations or qualifications in effect and comply with
such laws so as to permit the continuance of offers, sales and dealings therein
in such jurisdictions until the expiration of the Resale Period and (C) take
any and all other actions as may be reasonably necessary or advisable to enable
each broker-dealer holding Exchange Securities to consummate the disposition
thereof in such jurisdictions; provided, however,
that neither the Company nor the Guarantors shall be required for any such
purpose to (1) qualify as a foreign corporation in any jurisdiction wherein it
would not otherwise be required to qualify but for the requirements of this
Section 3(c)(vi), (2) consent to general service of process or taxation in any
such jurisdiction or (3) make any changes to its incorporating documents or
limited liability agreement or any other agreement between it and its
stockholders or members;

(vii)  
provide an ISIN and a CUSIP number for all Exchange Securities, not
later than the applicable Effective Time; and

 11
 

 

 

(viii) 
comply with all applicable rules and regulations of the Commission, and
make generally available to its securityholders as soon as practicable but no
later than 18 months after the effective date of such Exchange Registration
Statement, an earning statement of the Company and its subsidiaries complying
with Section 11(a) of the Securities Act (including, at the option of the
Company, Rule 158 thereunder).

(d)                                 In connection with the
Company’s obligations with respect to the Shelf Registration, if applicable,
the Company shall, as soon as reasonably practicable (or as otherwise specified):

(i) 
prepare and file with the Commission, as soon as reasonably practicable
but in any case within the time periods specified in Section 2(b), a Shelf
Registration Statement on any form which may be utilized by the Company and
which shall register all of the Registrable Securities for resale by the holders
thereof in accordance with such method or methods of disposition as may be
specified by such of the holders as, from time to time, may be Electing Holders
and use its reasonable best efforts to cause such Shelf Registration Statement
to become effective as soon as reasonably practicable but in any case within
the time periods specified in Section 2(b);

(ii) 
prior to the Effective Time of the Shelf Registration Statement, mail
the Notice and Questionnaire to the holders of Registrable Securities; no
holder shall be entitled to be named as a selling securityholder in the Shelf
Registration Statement as of the Effective Time, and no holder shall be
entitled to use the prospectus forming a part thereof for resales of
Registrable Securities at any time, unless such holder has returned a completed
and signed Notice and Questionnaire to the Company by the deadline for response
set forth therein; provided, however,
holders of Registrable Securities shall have at least 28 calendar days from the
date on which the Notice and Questionnaire is first mailed to such holders to
return a completed and signed Notice and Questionnaire to the Company;

(iii) 
after the Effective Time of the Shelf Registration Statement, upon the
request of any holder of Registrable Securities that is not then an Electing
Holder, promptly send a Notice and Questionnaire to such holder; provided that the Company shall not be required to take any
action to name such holder as a selling securityholder in the Shelf
Registration Statement or to enable such holder to use the prospectus forming a
part thereof for resales of Registrable Securities until such holder has
returned a completed and signed Notice and Questionnaire to the Company;

(iv) 
after the Effective Time of the Shelf Registration Statement, except as
permitted hereunder, as soon as reasonably practicable prepare and file with
the Commission such amendments and supplements to such Shelf Registration
Statement and the prospectus included therein as may be necessary to effect and
maintain the effectiveness of such Shelf Registration Statement for the

 12
 

 

 

period specified in Section 2(b) hereof and as may be required by the
applicable rules and regulations of the Commission and the instructions
applicable to the form of such Shelf Registration Statement, and furnish to the
Electing Holders copies of any such supplement or amendment simultaneously with
or prior to its being used or filed with the Commission;

(v) 
comply with the provisions of the Securities Act with respect to the
disposition of all of the Registrable Securities covered by such Shelf
Registration Statement in accordance with the intended methods of disposition
by the Electing Holders provided for in such Shelf Registration Statement;

(vi) 
provide (A) the Electing Holders, (B) the underwriters (which term, for
purposes of this Exchange and Registration Rights Agreement, shall include a
person deemed to be an underwriter within the meaning of Section 2(a)(11) of
the Securities Act), if any, thereof, (C) any sales or placement agent, if any,
therefor, (D) counsel for any such underwriter or agent and (E) not more than
one counsel for all the Electing Holders a copy of such Shelf Registration
Statement, each prospectus included therein or filed with the Commission and
each amendment or supplement thereto;

(vii) 
for a reasonable period prior to the filing of such Shelf Registration
Statement, and throughout the period specified in Section 2(b), make available
at reasonable times at the Company’s principal place of business or such other
reasonable place for inspection by the persons referred to in Section 3(d)(vi)
above who shall certify to the Company that they have a current intention to
sell the Registrable Securities pursuant to the Shelf Registration such
financial and other information and books and records of the Company, and cause
the officers, employees, counsel and independent certified public accountants
of the Company to respond to such inquiries, as shall be reasonably necessary,
in the reasonable judgment of the respective counsel referred to in such
Section, to conduct a reasonable investigation within the meaning of Section 11
of the Securities Act; provided, however,
that each such party shall be required to maintain in confidence and not to
disclose to any other person any information or records reasonably designated
by the Company as being confidential, until such time as (A) such information
becomes a matter of public record (whether by virtue of its inclusion in such
registration statement or otherwise), or (B) such person shall be required so
to disclose such information pursuant to a subpoena or order of any court or
other governmental agency or body having jurisdiction over the matter (subject
to the requirements of such order, and only after such person shall have given
the Company prompt prior written notice of such requirement), or (C) such
information is set forth in such Shelf Registration Statement or the prospectus
included therein or in an amendment to such Shelf Registration Statement or an
amendment or supplement to such prospectus in order that such Shelf
Registration Statement, prospectus, amendment or supplement, as the case may
be, complies with applicable requirements of the federal securities laws and
the rules and regulations of the Commission and does not contain an untrue
statement of a material fact or omit to state therein a material fact required
to be stated therein or

 13
 

 

 

necessary to make the statements therein not misleading in light of the
circumstances then existing;

(viii)  
promptly notify each of the Electing Holders, any sales or placement
agent therefor and any underwriter thereof (which notification may be made
through any managing underwriter that is a representative of such underwriter
for such purpose) and confirm such advice in writing, (A) with respect to such
Shelf Registration Statement or any post-effective amendment, when the
same has become effective, (B) of the issuance by the Commission of any stop
order suspending the effectiveness of such Shelf Registration Statement or the
initiation or threatening of any proceedings for that purpose, (C) of the
receipt by the Company of any notification with respect to the suspension of
the qualification of the Registrable Securities for sale in any jurisdiction or
the initiation or threatening of any proceeding for such purpose, or (D) if at
any time when a prospectus is required to be delivered under the Securities
Act, that such Shelf Registration Statement, prospectus, prospectus amendment
or supplement or post-effective amendment does not conform in all
material respects to the applicable requirements of the Securities Act and the
Trust Indenture Act and the rules and regulations of the Commission thereunder
or contains an untrue statement of a material fact or omits to state any
material fact required to be stated therein or necessary to make the statements
therein not misleading in light of the circumstances then existing, which such
notice, in the case of clauses (B), (C) and (D) shall require the suspension of
the use of such prospectus until further notice;

(ix) 
use its reasonable best efforts to obtain the withdrawal of any order
suspending the effectiveness of such registration statement or any post-effective
amendment thereto at the earliest practicable date unless the Company in good faith
and for valid business reasons determines that to do so would involve
disclosing a material undisclosed event;

(x)  if
reasonably requested by any managing underwriter or underwriters, any placement
or sales agent or any Electing Holder, promptly incorporate in a prospectus
supplement or post-effective amendment such information as is required by
the applicable rules and regulations of the Commission and as such managing
underwriter or underwriters, such agent or such Electing Holder specifies
should be included therein relating to the terms of the sale of such
Registrable Securities, including information with respect to the principal
amount of Registrable Securities being sold by such Electing Holder or agent or
to any underwriters, the name and description of such Electing Holder, agent or
underwriter, the offering price of such Registrable Securities and any
discount, commission or other compensation payable in respect thereof, the
purchase price being paid therefor by such underwriters and with respect to any
other terms of the offering of the Registrable Securities to be sold by such
Electing Holder or agent or to such underwriters; and make all required filings
of such prospectus supplement or post-effective amendment promptly after
notification of the matters to be incorporated in such prospectus supplement or
post-effective amendment;

 14

 

(xi) 
furnish to each Electing Holder, each placement or sales agent, if any,
therefor, each underwriter, if any, thereof and the respective counsel referred
to in Section 3(d)(vi) above a conformed copy of such Shelf Registration
Statement, each such amendment and supplement thereto (in each case including,
upon request, all exhibits thereto and documents incorporated by reference
therein) and such number of copies of the prospectus included in such Shelf
Registration Statement (including each preliminary prospectus and any summary
prospectus), in conformity in all material respects with the applicable
requirements of the Securities Act and the Trust Indenture Act and the rules
and regulations of the Commission thereunder, and such other documents, as such
Electing Holder, agent, if any, and underwriter, if any, may reasonably request
that may be required in connection with the offering and disposition of the
Registrable Securities owned by such Electing Holder, offered or sold by such
agent or underwritten by such underwriter and to permit such Electing Holder,
agent and underwriter to satisfy the prospectus delivery requirements of the
Securities Act; and the Company hereby consents to the use of the prospectus
contained in the Shelf Registration Statement at the Effective Time thereof and
any amendment or supplement thereto by each such Electing Holder and by any
such agent and underwriter, in each case in the form most recently provided to
such person by the Company, in connection with the offering and sale of the
Registrable Securities covered by such prospectus or any such supplement or
amendment thereto;

(xii) 
use reasonable best efforts to (A) register or qualify the Registrable
Securities to be included in such Shelf Registration Statement under such securities
laws or blue sky laws of such jurisdictions as any Electing Holder and each
placement or sales agent, if any, therefor and underwriter, if any, thereof
shall reasonably request, (B) keep such registrations or qualifications in
effect and comply with such laws so as to permit the continuance of offers,
sales and dealings therein in such jurisdictions during the period the Shelf
Registration is required to remain effective under Section 2(b) above and for
so long as may be necessary to enable any such Electing Holder, agent or underwriter
to complete its distribution of Securities pursuant to such Shelf Registration
Statement and (C) take any and all other actions as may be reasonably necessary
or advisable to enable each such Electing Holder, agent, if any, and
underwriter, if any, to consummate the disposition in such jurisdictions of
such Registrable Securities; provided, however,
that neither the Company nor the Guarantors shall be required for any such
purpose to (1) qualify as a foreign corporation in any jurisdiction wherein it
would not otherwise be required to qualify but for the requirements of this
Section 3(d)(xii), (2) consent to general service of process or taxation in any
such jurisdiction or (3) make any changes to its incorporating documents or
limited liability agreement or any other agreement between it and its
stockholders or members;

(xiii) 
unless any Registrable Securities shall be in book-entry only form,
cooperate with the Electing Holders and the managing underwriters, if any, to
facilitate the timely preparation and delivery of certificates representing

 15
 

 

 

Registrable Securities to be sold, which certificates, if so required
by any securities exchange upon which any Registrable Securities are listed,
shall be penned, lithographed or engraved, or produced by any combination of
such methods, on steel engraved borders, and which certificates shall not bear
any restrictive legends; and, in the case of an underwritten offering, enable
such Registrable Securities to be in such denominations and registered in such
names as the managing underwriters may request at least two business days prior
to any sale of the Registrable Securities;

(xiv) 
enter into one or more underwriting agreements, engagement letters,
agency agreements, “best efforts” underwriting agreements or similar
agreements, as appropriate, including customary provisions relating to
indemnification and contribution (such indemnification and contribution
obligations of the Company to be no more extensive than those contained in the
Purchase Agreement), and take such other actions in connection therewith as any
Electing Holders aggregating at least 20% in aggregate principal amount of the
Registrable Securities at the time outstanding shall reasonably request in
order to expedite or facilitate the disposition of such Registrable Securities;

(xv) 
whether or not an agreement of the type referred to in Section 3(d)(xiv)
hereof is entered into and whether or not any portion of the offering
contemplated by the Shelf Registration is an underwritten offering or is made
through a placement or sales agent or any other entity, (A) make such
representations and warranties to the Electing Holders and the placement or
sales agent, if any, therefor and the underwriters, if any, thereof in form,
substance and scope as are customarily made in connection with an offering of
debt securities pursuant to any appropriate agreement or to a registration
statement filed on the form applicable to the Shelf Registration; (B) obtain an
opinion of counsel to the Company in customary form and covering such matters,
of the type customarily covered by such an opinion, as the managing
underwriters, if any, or as any Electing Holders of at least 20% in aggregate
principal amount of the Registrable Securities at the time outstanding may
reasonably request, addressed to such Electing Holder or Electing Holders and
the placement or sales agent, if any, therefor and the underwriters, if any,
thereof and dated the effective date of such Shelf Registration Statement (or
if such Shelf Registration Statement contemplates an underwritten offering of a
part or all of the Registrable Securities, dated the date of the closing under
the underwriting agreement relating thereto) (it being agreed that the matters
to be covered by such opinion shall include the due incorporation, organization
or formation and good standing of the Company and the Guarantors; the
qualification of the Company and the Guarantors to transact business as foreign
corporations; the due authorization, execution and delivery of the relevant
agreement, if any, of the type referred to in Section 3(d)(xiv) hereof; the due
authorization, execution, authentication and issuance, and the validity and
enforceability, of the Securities; the absence of governmental approvals
required to be obtained in connection with the Shelf Registration, the offering
and sale of the Registrable Securities, this Exchange and Registration Rights
Agreement or any agreement of the type referred to in Section 

 16
 

 

3(d)(xiv) hereof, except such approvals as may have been obtained or
may be required under state securities or blue sky laws; the material
compliance as to form of such Shelf Registration Statement and any documents
incorporated by reference therein and of the Indenture with the requirements of
the Securities Act and the Trust Indenture Act and the rules and regulations of
the Commission thereunder, respectively; and, if addressed to any underwriters,
as of the date of the opinion and of the Shelf Registration Statement or most
recent post-effective amendment thereto, as the case may be, the absence
from such Shelf Registration Statement and the prospectus included therein, as
then amended or supplemented, and from the documents incorporated by reference
therein (in each case other than the financial statements and other financial
or accounting information contained therein) of an untrue statement of a
material fact or the omission to state therein a material fact necessary to
make the statements therein not misleading (in the case of such documents, in
the light of the circumstances existing at the time that such documents were
filed with the Commission under the Exchange Act)); (C) obtain a “cold comfort”
letter or letters from the independent certified public accountants of the
Company addressed to the selling Electing Holders, the placement or sales
agent, if any, therefor or the underwriters, if any, thereof, dated (i) the
effective date of such Shelf Registration Statement and (ii) the effective date
of any prospectus supplement to the prospectus included in such Shelf
Registration Statement or post-effective amendment to such Shelf
Registration Statement which includes unaudited or audited financial statements
as of a date or for a period subsequent to that of the latest such statements included
in such prospectus (and, if such Shelf Registration Statement contemplates an
underwritten offering pursuant to any prospectus supplement to the prospectus
included in such Shelf Registration Statement or post-effective amendment
to such Shelf Registration Statement which includes unaudited or audited
financial statements as of a date or for a period subsequent to that of the
latest such statements included in such prospectus, dated the date of the
closing under the underwriting agreement relating thereto), such letter or
letters to be in customary form and covering such matters of the type
customarily covered by letters of such type; and (D) deliver such documents and
certificates, including officers’ certificates, as may be reasonably requested
by any Electing Holders of at least 20% in aggregate principal amount of the
Registrable Securities at the time outstanding or the placement or sales agent,
if any, therefor and the managing underwriters, if any, thereof to evidence the
accuracy of the representations and warranties made pursuant to clause (A)
above or those contained in Section 5(a) hereof and the compliance with or
satisfaction of any agreements or conditions contained in the underwriting
agreement or other agreement entered into by the Company or the Guarantors;

(xvi) 
notify in writing each holder of Registrable Securities of any proposal
by the Company to amend or waive any provision of this Exchange and
Registration Rights Agreement in any material respect pursuant to Section 9(h) hereof
and of any such amendment or waiver effected pursuant thereto, each of which
notices shall contain the text of the amendment or waiver proposed or effected,
as the case may be;

 17
 

 

 

(xvii) 
in the event that any broker-dealer registered under the Exchange
Act shall underwrite any Registrable Securities or participate as a member of
an underwriting syndicate or selling group or “assist in the distribution”
(within the meaning of the Conduct Rules (the “Conduct Rules”) of the
National Association of Securities Dealers, Inc. (“NASD”) or any
successor thereto, as amended from time to time) thereof, whether as a holder
of such Registrable Securities or as an underwriter, a placement or sales agent
or a broker or dealer in respect thereof, or otherwise, cooperate with such
broker-dealer in connection with any filings required to be made by the
NASD;

(xviii) comply with all applicable rules and
regulations of the Commission, and make generally available to its
securityholders as soon as practicable but in any event not later than 18
months after the effective date of such Shelf Registration Statement, an
earning statement of the Company and its subsidiaries complying with Section
11(a) of the Securities Act (including, at the option of the Company, Rule 158
thereunder).

(e)                                  In the event that the
Company would be required, pursuant to Section 3(d)(viii)(D) above, to notify
the Electing Holders, the placement or sales agent, if any, therefor and the
managing underwriters, if any, thereof, the Company shall as soon as reasonably
practicable prepare and furnish to each of the Electing Holders, to each
placement or sales agent, if any, and to each such underwriter, if any, a
reasonable number of copies of a prospectus supplemented or amended so that, as
thereafter delivered to purchasers of Registrable Securities, such prospectus
shall conform in all material respects to the applicable requirements of the
Securities Act and the Trust Indenture Act and the rules and regulations of the
Commission thereunder and shall not contain an untrue statement of a material
fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading in light of the
circumstances then existing; provided,
however, the Company shall not be
required to amend or supplement such prospectus if (i) not permitted by law or
(ii) the Company in good faith and for valid business reasons determines that
to do so would involve disclosing a material undisclosed event.  Each Electing Holder agrees that upon receipt
of any notice from the Company pursuant to Section 3(d)(viii)(D) hereof, such
Electing Holder shall forthwith discontinue the disposition of Registrable
Securities pursuant to the Shelf Registration Statement applicable to such
Registrable Securities until such Electing Holder shall have received copies of
such amended or supplemented prospectus, and if so directed by the Company,
such Electing Holder shall deliver to the Company (at the Company’s expense)
all copies, other than permanent file copies, then in such Electing Holder’s
possession of the prospectus covering such Registrable Securities at the time
of receipt of such notice.

(f)                                    In the event of a
Shelf Registration, in addition to the information required to be provided by
each Electing Holder in its Notice and Questionnaire, the Company may require
such Electing Holder to furnish to the Company such additional information
regarding such Electing Holder and such Electing Holder’s intended method of
distribution of Registrable Securities as may be required in order to comply
with the Securities Act.  Each such Electing
Holder agrees to (i) notify the Company as promptly

 18
 

 

 

as practicable of (A) any inaccuracy or
change in information previously furnished by such Electing Holder to the Company
or (B) of the occurrence of any event in either case as a result of which any
prospectus relating to such Shelf Registration contains or would contain an
untrue statement of a material fact regarding such Electing Holder or such
Electing Holder’s intended method of disposition of such Registrable Securities
or omits to state any material fact regarding such Electing Holder or such
Electing Holder’s intended method of disposition of such Registrable Securities
required to be stated therein or necessary to make the statements therein not
misleading in light of the circumstances then existing, and (ii) promptly to
furnish to the Company any additional information required to correct and
update any previously furnished required information or so that such prospectus
shall not contain, with respect to such Electing Holder or the disposition of
such Registrable Securities, an untrue statement of a material fact or omit to
state a material fact required to be stated therein or necessary to make the
statements therein not misleading in light of the circumstances then existing.

(g)                                 Until the expiration
of two years after the Closing Date, the Company will not, and will not permit
any of its “affiliates” (as defined in Rule 144) to, resell any of the
Securities that have been reacquired by any of them except pursuant to an
effective registration statement under the Securities Act.

4.                                       Registration Expenses.

The Company agrees to
bear and to pay or cause to be paid promptly all expenses incident to the
Company’s performance of or compliance with this Exchange and Registration
Rights Agreement, including (a) all Commission and any NASD registration,
filing and review fees and expenses, (b) all fees and expenses in connection
with the qualification of the Securities for offering and sale under the State
securities and blue sky laws referred to in Section 3(d)(xii) hereof under the
laws of such jurisdictions as any managing underwriters or the Electing Holders
may designate, including any fees and disbursements of one counsel for the
Electing Holders or underwriters in connection with such qualification, (c) all
expenses relating to the preparation, printing, production, distribution and
reproduction of each registration statement required to be filed hereunder,
each prospectus included therein or prepared for distribution pursuant hereto,
each amendment or supplement to the foregoing, and the expenses of preparing
the Securities for delivery, (d) messenger, telephone and delivery expenses
relating to the preparation of documents referred in clause (c) above, (e) fees
and expenses of the Trustee under the Indenture, (f) internal expenses
(including all salaries and expenses of the Company’s officers and employees
performing legal or accounting duties), (g) fees, disbursements and expenses of
counsel and independent certified public accountants of the Company (including
the expenses of any opinions or “cold comfort” letters required by or incident
to such performance and compliance), (h) reasonable fees, disbursements and
expenses of one counsel for the Electing Holders retained in connection with a
Shelf Registration, as selected by the Electing Holders of at least a majority
in aggregate principal amount of the Registrable Securities held by Electing
Holders (which counsel shall be reasonably satisfactory to the Company), (j)
any fees charged by securities rating services for rating the Securities, and
(k) fees, expenses and disbursements of any other persons, including special
experts, retained by the Company in connection with such registration
(collectively, the “Registration Expenses”).  To the extent that any Registration Expenses
are incurred, assumed or paid by any holder of Registrable Securities or any
placement

 19
 

 

or sales agent therefor
or underwriter thereof, the Company shall reimburse such person for the full
amount of the reasonable Registration Expenses so incurred, assumed or paid
promptly after receipt of a request therefor. 
Notwithstanding the foregoing, the holders of the Registrable Securities
being registered shall pay all agency fees and commissions and underwriting
discounts and commissions attributable to the sale of such Registrable
Securities and the fees and disbursements of any counsel or other advisors or
experts retained by such holders (severally or jointly), other than the counsel
and experts specifically referred to above.

5.                                       Representations and Warranties.

The Company and the
Guarantors represent and warrant to, and agree with, each Purchaser and each of
the holders from time to time of Registrable Securities that:

(a)                                  Each registration
statement covering Registrable Securities and each prospectus (including any
preliminary or summary prospectus) contained therein or furnished pursuant to
Section 3(d) or Section 3(c) hereof and any further amendments or supplements
to any such registration statement or prospectus, when it becomes effective or
is filed with the Commission, as the case may be, will conform in all material
respects to the requirements of the Securities Act and the Trust Indenture Act
and the rules and regulations of the Commission thereunder and will not contain
an untrue statement of a material fact or omit to state a material fact
required to be stated therein or necessary to make the statements therein not
misleading; and at all times subsequent to the Effective Time when a prospectus
would be required to be delivered under the Securities Act, other than from (i)
such time as a notice has been given to holders of Registrable Securities
pursuant to Section 3(d)(viii)(D) or Section 3(c)(iii)(D) hereof until (ii)
such time as the Company furnishes an amended or supplemented prospectus
pursuant to Section 3(e) or Section 3(c)(iv) hereof, each such registration
statement, and each prospectus (including any summary prospectus) contained
therein or furnished pursuant to Section 3(d) or Section 3(c) hereof, as then
amended or supplemented, will not contain an untrue statement of a material
fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading in the light of the
circumstances then existing; provided,
however, that this representation
and warranty shall not apply to any statements or omissions made in reliance
upon and in conformity with information furnished in writing to the Company by
a holder of Registrable Securities, a placement or sales agent or an
underwriter expressly for use therein.

(b)                                 Any documents
incorporated by reference in any prospectus referred to in Section 5(a) hereof,
when they become or became effective or are or were filed with the Commission,
as the case may be, will conform or conformed in all material respects to the
requirements of the Securities Act or the Exchange Act, as applicable, and, as
of such effective or filing date, none of such documents will contain or
contained an untrue statement of a material fact or will omit or omitted to
state a material fact required to be stated therein or necessary to make the
statements therein not misleading; provided,
however, that this representation and warranty shall not apply to
any statements or omissions made in reliance upon and in conformity with
information furnished in writing to the Company by a holder of Registrable
Securities, a placement or sales agent or an underwriter expressly for use
therein.

 20
 

 

(c)                                  The compliance by the
Company with all of the provisions of this Exchange and Registration Rights
Agreement and the consummation of the transactions herein contemplated will not
conflict with or result in a breach of any of the terms or provisions of, or
constitute a default under, any indenture, mortgage, deed of trust, loan
agreement or other agreement or instrument to which the Company or any
subsidiary of the Company is a party or by which the Company or any subsidiary
of the Company is bound or to which any of the property or assets of the
Company or any subsidiary of the Company is subject, except for such conflict,
breach or default which (x) would not have a material adverse effect on the
business, condition (financial or otherwise) or results of operations of the
Company and its subsidiaries, taken as a whole (any such event, a “Material
Adverse Effect”) or (y) have been waived nor will such action result in any
violation of the provisions of the organizational documents of the Company or the Guarantors or violate any statute
or any order, rule or regulation of any court or governmental agency or body
having jurisdiction over the Company or any subsidiary of the Company or any of
their properties except for such violation which would not have a Material
Adverse Effect; and no consent, approval, authorization, order, registration or
qualification of or with any such court or governmental agency or body is
required for the consummation by the Company and the Guarantors of the
transactions contemplated by this Exchange and Registration Rights Agreement,
except the registration under the Securities Act of the Securities,
qualification of the Indenture under the Trust Indenture Act and such consents,
approvals, authorizations, registrations or qualifications as may be required
under state securities or blue sky laws in connection with the offering and
distribution of the Securities.

(d)                                 This Exchange and
Registration Rights Agreement has been duly authorized, executed and delivered
by the Company and the Guarantors.

6.                                       Indemnification.

(a)                                  Indemnification by the Company and the
Guarantors.  The Company and
the Guarantors, jointly and severally, will indemnify and hold harmless each
broker dealer selling Exchange Securities during the Resale Period, and each of
the Electing Holders of Registrable Securities included in a Shelf Registration
Statement against any losses, claims, damages or liabilities, joint or several,
to which such holder may become subject under the Securities Act or otherwise,
insofar as such losses, claims, damages or liabilities (or actions in respect
thereof) arise out of or are based upon an untrue statement or alleged untrue
statement of a material fact contained in any Exchange Registration Statement
or Shelf Registration Statement, as the case may be, under which such
Registrable Securities were registered under the Securities Act, or any
preliminary, final or summary prospectus contained therein or furnished by the
Company to any such holder, or any amendment or supplement thereto, or arise
out of or are based upon the omission or alleged omission to state therein a
material fact required to be stated therein or necessary to make the statements
therein not misleading, and will reimburse such holder for any out-of-pocket
legal or other expenses reasonably incurred by them in connection with
investigating or defending any such action or claim as such expenses are
incurred; provided, however, that
(i) neither the Company nor any Guarantor shall be liable to any such person in
any such case to the extent that any such loss, claim, damage or liability
arises out of or is based upon an untrue statement or alleged untrue statement
or omission or

 21
 

 

alleged omission made in such registration
statement, or preliminary, final or summary prospectus, or amendment or supplement
thereto, in reliance upon and in conformity with written information furnished
to the Company by any holder, placement or sales agent or underwriter expressly
for use therein  and (ii) such indemnity
with respect to any preliminary prospectus shall not inure to the benefit of
any holder, placement agent or underwriter (or any person controlling such
person) to the extent that any loss, claim, damage or liability of such person
results from the fact that such person sold Securities to a person as to whom
it shall be established that there was not sent or given, a copy of the final
prospectus (or the final prospectus as amended or supplemented) at or prior to
the confirmation of the sale of such Securities to such person if (x) the Company
has previously furnished copies thereof in sufficient quantity to such
indemnified person and the loss, claim, damage or liability of such indemnified
person results from an untrue statement or omission of a material fact
contained in such preliminary prospectus which was corrected in the final
prospectus (or the final prospectus as amended or supplemented) and (y) such
loss, liability, claim, damage or expense would have been eliminated by the
delivery of such corrected final prospectus or the final prospectus as then
amended or supplemented.

(b)                                 Indemnification by the Holders and Any Agents and
Underwriters.  As a condition
to including any Registrable Securities in any registration statement filed
pursuant to Section 2(b) hereof or to entering into any underwriting agreement
with respect thereto, each Electing Holder of such Registrable Securities and
each underwriter named in any such underwriting agreement, severally and not
jointly, will (i) indemnify and hold harmless the Company, the Guarantors, and all other holders of
Registrable Securities, against any losses, claims, damages or liabilities to
which the Company, the Guarantors
or such other holders of Registrable Securities may become subject, under the
Securities Act or otherwise, insofar as such losses, claims, damages or liabilities
(or actions in respect thereof) arise out of or are based upon an untrue
statement or alleged untrue statement of a material fact contained in such
registration statement, or any preliminary, final or summary prospectus
contained therein or furnished by the Company to any such Electing Holder,
agent or underwriter, or any amendment or supplement thereto, or arise out of
or are based upon the omission or alleged omission to state therein a material
fact required to be stated therein or necessary to make the statements therein
not misleading, in each case to the extent, but only to the extent, that such
untrue statement or alleged untrue statement or omission or alleged omission
was made in reliance upon and in conformity with written information furnished
to the Company by such Electing Holder or underwriter expressly for use
therein, and (ii) reimburse the Company and the Guarantors for any legal or
other expenses reasonably incurred by the Company and the Guarantors in
connection with investigating or defending any such action or claim as such
expenses are incurred; provided, however,
that no such Electing Holder shall be required to undertake liability to any
person under this Section 6(b) for any amounts in excess of the proceeds to be
received by such Electing Holder from the sale of such Electing Holder’s
Registrable Securities pursuant to such registration.

(c)                                  Notices of Claims, Etc.  Promptly after receipt by an
indemnified party under Section 6(a) or Section 6(b) above of written notice of
the commencement of any action, such indemnified party shall, if a claim in
respect thereof is to be made against an indemnifying party pursuant to the indemnification
provisions of or contemplated by this Section 6, notify such indemnifying party
in writing of the commencement of such action; but the omission so to notify
the indemnifying party shall not relieve it from any liability which it may
have to any

 22
 

 

indemnified party otherwise than under the
indemnification provisions of or contemplated by Section 6(a) or 6(b)
above.  In case any such action shall be
brought against any indemnified party and it shall notify an indemnifying party
of the commencement thereof, such indemnifying party shall be entitled to
participate therein and, to the extent that it shall wish, jointly with any
other indemnifying party similarly notified, to assume the defense thereof,
with counsel reasonably satisfactory to such indemnified party (who shall not,
except with the consent of the indemnified party, be counsel to the
indemnifying party), and, after notice from the indemnifying party to such
indemnified party of its election so to assume the defense thereof, such
indemnifying party shall not be liable to such indemnified party for any legal
expenses of other counsel or any other expenses, in each case subsequently
incurred by such indemnified party, in connection with the defense thereof
other than reasonable costs of investigation. 
In no event shall the indemnifying parties be liable for fees and
expenses of more than one counsel (in addition to any local counsel) separate
from their own counsel for all indemnified parties in connection with any one
action or separate but similar or related actions in the same jurisdiction
arising out of the same general allegations or circumstances.  No indemnifying party shall, without the
written consent of the indemnified party, effect the settlement or compromise
of, or consent to the entry of any judgment with respect to, any pending or
threatened action or claim in respect of which indemnification or contribution
may be sought hereunder (whether or not the indemnified party is an actual or
potential party to such action or claim) unless such settlement, compromise or
judgment (i) includes an unconditional release of the indemnified party from
all liability arising out of such action or claim and (ii) does not include a
statement as to or an admission of fault, culpability or a failure to act by or
on behalf of any indemnified party.  No
indemnifying party shall be liable under this Section 6(c) for any settlement
of any claim or action effected without its consent, which consent shall not be
unreasonably withheld.

(d)                                 Contribution.  If
for any reason the indemnification provisions contemplated by Section 6(a) or
Section 6(b) above are unavailable to or insufficient to hold harmless an
indemnified party in respect of any losses, claims, damages or liabilities (or
actions in respect thereof) referred to therein, then each indemnifying party
shall contribute to the amount paid or payable by such indemnified party as a
result of such losses, claims, damages or liabilities (or actions in respect
thereof) in such proportion as is appropriate to reflect the relative fault of
the indemnifying party and the indemnified party in connection with the
statements or omissions which resulted in such losses, claims, damages or
liabilities (or actions in respect thereof), as well as any other relevant
equitable considerations.  The relative
fault of such indemnifying party and indemnified party shall be determined by
reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or omission or alleged omission to state a
material fact relates to information supplied by such indemnifying party or by
such indemnified party, and the parties’ relative intent, knowledge, access to
information and opportunity to correct or prevent such statement or
omission.  The parties hereto agree that
it would not be just and equitable if contributions pursuant to this Section
6(d) were determined by pro rata allocation (even if the holders or any agents
or underwriters or all of them were treated as one entity for such purpose) or
by any other method of allocation which does not take account of the equitable
considerations referred to in this Section 6(d).  The amount paid or payable by an indemnified
party as a result of the losses, claims, damages, or liabilities (or actions in
respect thereof) referred to above shall be deemed to include any legal or other
fees or expenses reasonably incurred by such indemnified party in connection
with investigating or defending any such action or claim.  Notwithstanding the provisions of this
Section 6(d), no holder shall be

 23
 

 

 

required to contribute any amount in excess of
the amount by which the proceeds received by such holder from the sale of any
Registrable Securities (after deducting any fees, discounts and commissions
applicable thereto) exceeds the amount of any damages which such holder has
otherwise been required to pay by reason of such untrue or alleged untrue
statement or omission or alleged omission, and no underwriter shall be required
to contribute any amount in excess of the amount by which the total price at
which the Registrable Securities underwritten by it and distributed to the
public were offered to the public exceeds the amount of any damages which such
underwriter has otherwise been required to pay by reason of such untrue or
alleged untrue statement or omission or alleged omission.  No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Securities Act)
shall be entitled to contribution from any person who was not guilty of such
fraudulent misrepresentation.  The
holders’ and any underwriters’ obligations in this Section 6(d) to contribute
shall be several in proportion to the principal amount of Registrable
Securities registered or underwritten, as the case may be, by them and not
joint.

(e)                                  The
obligations of the Company and the Guarantors under this Section 6 shall be in
addition to any liability which the Company or the Guarantors may otherwise
have and shall extend, upon the same terms and conditions, to each officer,
director and partner of each holder, agent and underwriter and each person, if
any, who controls any holder, agent or underwriter within the meaning of the
Securities Act; and the obligations of the holders and any agents or
underwriters contemplated by this Section 6 shall be in addition to any
liability which the respective holder, agent or underwriter may otherwise have
and shall extend, upon the same terms and conditions, to each officer and
director of the Company or the Guarantors and to each person, if any, who
controls the Company or a Guarantor within the meaning of the Securities Act.

7.                                       Underwritten Offerings.

(a)                                  Selection of Underwriters.  If any of the Registrable
Securities covered by the Shelf Registration are to be sold pursuant to an
underwritten offering, the managing underwriter or underwriters thereof shall
be designated by Electing Holders holding at least a majority in aggregate
principal amount of the Registrable Securities to be included in such offering,
provided that such designated managing underwriter or underwriters is or are
reasonably acceptable to the Company.

(b)                                 Participation by Holders.  Each holder of Registrable
Securities hereby agrees with each other such holder that no such holder may
participate in any underwritten offering hereunder unless such holder (i)
agrees to sell such holder’s Registrable Securities on the basis provided in
any underwriting arrangements approved by the persons entitled hereunder to
approve such arrangements and (ii) completes and executes all questionnaires,
powers of attorney, indemnities, underwriting agreements and other documents
reasonably required under the terms of such underwriting arrangements.

8.                                       Rule 144.

The Company covenants to
the holders of Registrable Securities that to the extent it shall be required
to do so under the Exchange Act, the Company shall timely file the reports

 24
 

 

required to be filed by
it under the Exchange Act or the Securities Act (including the reports under
Section 13 and 15(d) of the Exchange Act referred to in subparagraph (c)(1) of
Rule 144 adopted by the Commission under the Securities Act) and the rules and
regulations adopted by the Commission thereunder, and shall take such further
action as any holder of Registrable Securities may reasonably request, all to
the extent required from time to time to enable such holder to sell Registrable
Securities without registration under the Securities Act within the limitations
of the exemption provided by Rule 144 under the Securities Act, as such Rule
may be amended from time to time, or any similar or successor rule or
regulation hereafter adopted by the Commission. 
Upon the request of any holder of Registrable Securities in connection
with that holder’s sale pursuant to Rule 144, the Company shall deliver to such
holder a written statement as to whether it has complied with such
requirements.

9.                                       Miscellaneous.

(a)                                  No Inconsistent Agreements.   The Company represents, warrants, covenants
and agrees that it has not granted, and shall not grant, registration rights
with respect to Registrable Securities or any other securities which would be
inconsistent with the terms contained in this Exchange and Registration Rights
Agreement.

(b)                                 Remedy. 
Special Interest pursuant to Section 2(c) hereof is the sole remedy
available to holders of Registrable Securities in the event the Company does
not comply with any of its registration and other obligations set forth in
Section 2 herein.  In addition, the
parties hereto acknowledge that there would be no adequate remedy at law if the
Company fails to perform any of its other obligations under Sections 4, 6, or 8
hereunder and that the Purchasers and the holders from time to time of the
Registrable Securities may be irreparably harmed by any such failure, and
accordingly agree that the Purchasers and such holders, in addition to any
other remedy to which they may be entitled at law or in equity, shall be
entitled to compel specific performance of such obligations in accordance with
the terms and conditions of this Exchange and Registration Rights Agreement, in
any court of the United States or any State thereof having jurisdiction.

(c)                                  Notices.  All notices, requests, claims, demands,
waivers and other communications hereunder shall be in writing and shall be
deemed to have been duly given when delivered by hand, if delivered personally
or by courier, or three days after being deposited in the mail (registered or
certified mail, postage prepaid, return receipt requested) as follows:  If to the Company, to it at 500 Huntsman Way,
Salt Lake City, Utah 84108, Attention: General Counsel, and if to a holder, to
the address of such holder set forth in the security register or other records
of the Company, or to such other address as the Company or any such holder may
have furnished to the other in writing in accordance herewith, except that
notices of change of address shall be effective only upon receipt.

(d)                                 Parties in Interest.  All the terms and provisions of this Exchange
and Registration Rights Agreement shall be binding upon, shall inure to the
benefit of and shall be enforceable by the parties hereto and the holders from
time to time of the Registrable Securities and the respective successors and
assigns of the parties hereto and such holders. 
In the event that any transferee of any holder of Registrable Securities
shall acquire Registrable Securities, in any manner, whether by gift, bequest,
purchase, operation of law or otherwise, such transferee shall,

 25
 

 

 

without any further writing or action of any
kind, be deemed a beneficiary hereof for all purposes and such Registrable
Securities shall be held subject to all of the terms of this Exchange and
Registration Rights Agreement, and by taking and holding such Registrable
Securities such transferee shall be entitled to receive the benefits of, and be
conclusively deemed to have agreed to be bound by all of the applicable terms
and provisions of this Exchange and Registration Rights Agreement.  If the Company shall so request, any such
successor, assign or transferee shall agree in writing to acquire and hold the
Registrable Securities subject to all of the applicable terms hereof.

(e)                                  Survival. 
The respective indemnities, agreements, representations, warranties and
each other provision set forth in this Exchange and Registration Rights
Agreement or made pursuant hereto shall remain in full force and effect
regardless of any investigation (or statement as to the results thereof) made
by or on behalf of any holder of Registrable Securities, any director, officer
or partner of such holder, any agent or underwriter or any director, officer or
partner thereof, or any controlling person of any of the foregoing, and shall
survive delivery of and payment for the Registrable Securities pursuant to the
Purchase Agreement and the transfer and registration of Registrable Securities
by such holder and the consummation of an Exchange Offer.

(f)                                    Governing Law.  This Exchange and Registration Rights
Agreement shall be governed by and construed in accordance with the laws of the
State of New York, without reference to the conflict of law rules thereof.

(g)                                 Headings. 
The descriptive headings of the several Sections and paragraphs of this
Exchange and Registration Rights Agreement are inserted for convenience only,
do not constitute a part of this Exchange and Registration Rights Agreement and
shall not affect in any way the meaning or interpretation of this Exchange and
Registration Rights Agreement.

(h)                                 Entire Agreement; Amendments.  This Exchange and Registration Rights
Agreement and the other writings referred to herein (including the Indenture
and the form of Securities) or delivered pursuant hereto which form a part
hereof contain the entire understanding of the parties with respect to its
subject matter.  This Exchange and
Registration Rights Agreement supersedes all prior agreements and
understandings between the parties with respect to its subject matter.  This Exchange and Registration Rights
Agreement may be amended and the observance of any term of this Exchange and
Registration Rights Agreement may be waived (either generally or in a
particular instance and either retroactively or prospectively) only by a
written instrument duly executed by the Company and the holders of at least a
majority in aggregate principal amount of the Registrable Securities at the
time outstanding.  Each holder of any of
the Registrable Securities at the time or thereafter outstanding shall be bound
by any amendment or waiver effected pursuant to this Section 9(h), whether or
not any notice, writing or marking indicating such amendment or waiver appears
on such Registrable Securities or is delivered to such holder.

(i)                                     Inspection.  For so long as this Exchange and Registration
Rights Agreement shall be in effect, this Exchange and Registration Rights
Agreement and a complete list of the names and addresses of all the holders of
Registrable Securities shall be made

 26
 

 

available for inspection and copying on any
business day by any holder of Registrable Securities for proper purposes only
(which shall include any purpose related to the rights of the holders of
Registrable Securities under the Securities, the Indenture and this Exchange
and Registration Rights Agreement) at the offices of the Trustee under the Indenture.

(j)                                     Counterparts.  This Exchange and Registration Rights
Agreement may be executed by the parties in counterparts, each of which shall
be deemed to be an original, but all such respective counterparts shall
together constitute one and the same instrument.

 27

 

If the foregoing
is in accordance with your understanding, please sign and return to us five
counterparts hereof, and upon the acceptance hereof by you, on behalf of each
of the Purchasers, this letter and such acceptance hereof shall constitute a
binding agreement between each of the Purchasers, the Guarantors and the
Company.  It is understood that your
acceptance of this letter on behalf of each of the Purchasers is pursuant to
the authority set forth in a form of Agreement among Purchasers, the form of which
shall be submitted to the Company for examination upon request, but without warranty
on your part as to the authority of the signers thereof.

	
  Very truly yours,

  
	
   

  
	
   

  
	
  HUNTSMAN INTERNATIONAL LLC

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  

 

 S-1
 

 

 

GUARANTORS

AIRSTAR CORPORATION

EUROFUELS LLC

EUROSTAR
INDUSTRIES LLC

HUNTSMAN EA
HOLDINGS LLC

HUNTSMAN
ETHYLENEAMINES LTD.

HUNTSMAN
INTERNATIONAL FINANCIAL LLC

HUNTSMAN
INTERNATIONAL FUELS, L.P.

HUNTSMAN PROPYLENE
OXIDE HOLDINGS LLC

HUNTSMAN PROPYLENE
OXIDE LTD.

HUNTSMAN TEXAS
HOLDINGS LLC

HUNTSMAN ADVANCED MATERIALS AMERICAS INC.

HUNTSMAN ADVANCED MATERIALS HOLDINGS LLC

HUNTSMAN ADVANCED MATERIALS LLC

HUNTSMAN AUSTRALIA INC.

HUNTSMAN CHEMICAL COMPANY LLC

HUNTSMAN CHEMICAL FINANCE CORPORATION

HUNTSMAN CHEMICAL PURCHASING CORPORATION

HUNTSMAN ENTERPRISES, INC.

HUNTSMAN EXPANDABLE POLYMERS COMPANY, LC

HUNTSMAN FAMILY CORPORATION

HUNTSMAN FUELS, L.P.

HUNTSMAN GROUP HOLDINGS FINANCE CORPORATION

HUNTSMAN GROUP INTELLECTUAL PROPERTY HOLDINGS CORPORATION

HUNTSMAN HEADQUARTERS CORPORATION

HUNTSMAN INTERNATIONAL CHEMICALS CORPORATION

HUNTSMAN INTERNATIONAL SERVICES CORPORATION

HUNTSMAN INTERNATIONAL TRADING CORPORATION

HUNTSMAN MA INVESTMENT CORPORATION

HUNTSMAN MA SERVICES CORPORATION

 S-2
 

 

 

	
  

  	
  HUNTSMAN PETROCHEMICAL CANADA HOLDINGS
  CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL FINANCE CORPORATION

  	 

	
   

  	
  HUNTSMAN PETROCHEMICAL PURCHASING CORPORATION

  	 

	
   

  	
  HUNTSMAN POLYMERS CORPORATION

  	 

	
   

  	
  HUNTSMAN POLYMERS HOLDINGS CORPORATION

  	 

	
   

  	
  HUNTSMAN PROCUREMENT CORPORATION

  	 

	
   

  	
  HUNTSMAN PURCHASING, LTD.

  	 

	
   

  	
  JK HOLDINGS CORPORATION

  	 

	
   

  	
  PETROSTAR FUELS LLC

  	 

	
   

  	
  PETROSTAR INDUSTRIES LLC

  	 

	
   

  	
  POLYMER MATERIALS INC.

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
  By:

  	
  /s/ TROY
  KELLER

  	
   

  	 

	
   

  	
   

  	
  Name: Troy Keller

  	 

	
   

  	
   

  	
  Title: Assistant Secretary

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	 

	
  Executed as a Deed by

  	
   

  	
  TIOXIDE AMERICAS INC.   

  
	
  L. Russell Healy

  	
   

  	
   

  
	
  for and on behalf of

  	
   

  	
   

  
	
  Tioxide Americas Inc

  	
   

  	
  By:

  	
  /s/ L. RUSSELL
  HEALY

  	
   

  
	
  in the presence of 
  

  	
   

  	
   

  	
  Name: L. Russell Healy

  
	
   

  	
   

  	
   

  	
  Title: Vice President and Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/ MICHELLE
  FUJINAMI

  	
   

  	
  Executed and delivered as a deed on behalf

  
	
  Witness

  	
   

  	
  of TIOXIDE GROUP acting by:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TIOXIDE GROUP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  /s/ J. KIMO ESPLIN

  	
  Director

  
	
   

  	
   

  	
   

  	
  J. Kimo Esplin

  	
  Name

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  /s/ L. RUSSELL
  HEALY

  	
  Director

  
	
   

  	
   

  	
   

  	
  L. Russell Healy

  	
  Name

  
							

 

 S-3
 

 

 

	
  Accepted as of the date hereof:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  DEUTSCHE BANK SECURITIES INC.

  	
   

  	
   

  
	
  CREDIT SUISSE SECURITIES (USA) LLC

  	
   

  	
   

  
	
  CITIGROUP GLOBAL MARKETS INC.

  	
   

  	
   

  
	
  WACHOVA CAPITAL MARKETS, LLC

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  DEUTSCHE BANK SECURITIES INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ THOMAS W.
  COLE

  	
   

  
	
   

  	
  Name: Thomas W. Cole

  
	
   

  	
  Title: Managing Director

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ ELIZABETH
  CHANG

  	
   

  
	
   

  	
  Name: Elizabeth Chang

  
	
   

  	
  Title: Director

  
					

 

 S-4

 

SCHEDULE I

	
  GUARANTORS

  	
   

  	
  JURISDICTION

  OF

  ORGANIZATION

  
	
  Airstar Corporation

  	
   

  	
  Utah

  
	
  Eurofuels LLC

  	
   

  	
  Delaware

  
	
  Eurostar Industries LLC

  	
   

  	
  Delaware

  
	
  Huntsman Advanced Materials Americas Inc.

  	
   

  	
  Delaware

  
	
  Huntsman Advanced Materials Holdings LLC

  	
   

  	
  Delaware

  
	
  Huntsman Advanced Materials LLC

  	
   

  	
  Delaware

  
	
  Huntsman Australia Inc.

  	
   

  	
  Utah

  
	
  Huntsman Chemical Company LLC

  	
   

  	
  Utah

  
	
  Huntsman Chemical Finance Corporation

  	
   

  	
  Utah

  
	
  Huntsman Chemical Purchasing Corporation

  	
   

  	
  Utah

  
	
  Huntsman EA Holdings, LLC

  	
   

  	
  Delaware

  
	
  Huntsman Enterprises, Inc.

  	
   

  	
  Utah

  
	
  Huntsman Ethyleneamines Ltd.

  	
   

  	
  Texas

  
	
  Huntsman Expandable Polymers Company, LC

  	
   

  	
  Utah

  
	
  Huntsman Family Corporation

  	
   

  	
  Utah

  
	
  Huntsman Fuels, L.P.

  	
   

  	
  Texas

  
	
  Huntsman Group Holdings Finance Corporation

  	
   

  	
  Utah

  
	
  Huntsman Group Intellectual Property Holdings Corporation

  	
   

  	
  Utah

  
	
  Huntsman Headquarters Corporation

  	
   

  	
  Utah

  
	
  Huntsman International Chemicals Corporation

  	
   

  	
  Utah

  
	
  Huntsman International Financial LLC

  	
   

  	
  Delaware

  
	
  Huntsman International Fuels, L.P.

  	
   

  	
  Texas

  
	
  Huntsman International Services Corporation

  	
   

  	
  Texas

  
	
  Huntsman International Trading Corporation

  	
   

  	
  Delaware

  
	
  Huntsman MA Investment Corporation

  	
   

  	
  Utah

  
	
  Huntsman MA Services Corporation

  	
   

  	
  Utah

  
	
  Huntsman Petrochemical Canada Holdings Corporation

  	
   

  	
  Utah

  
	
  Huntsman Petrochemical Corporation

  	
   

  	
  Delaware

  
	
  Huntsman Petrochemical Finance Corporation

  	
   

  	
  Utah

  
	
  Huntsman Petrochemical Purchasing Corporation

  	
   

  	
  Utah

  
	
  Huntsman Polymers Corporation

  	
   

  	
  Delaware

  
	
  Huntsman Polymers Holdings Corporation

  	
   

  	
  Utah

  
	
  Huntsman Procurement Corporation

  	
   

  	
  Utah

  
	
  Huntsman Propylene Oxide Holdings LLC

  	
   

  	
  Delaware

  
	
  Huntsman Propylene Oxide Ltd.

  	
   

  	
  Texas

  
	
  Huntsman Purchasing, Ltd.

  	
   

  	
  Utah

  
	
  Huntsman Texas Holdings LLC

  	
   

  	
  Delaware

  

 

 

 

	
  GUARANTORS

  	
   

  	
  JURISDICTION

  OF

  ORGANIZATION

  
	
  JK Holdings Corporation

  	
   

  	
  Delaware

  
	
  Petrostar Fuels LLC

  	
   

  	
  Delaware

  
	
  Petrostar Industries LLC

  	
   

  	
  Delaware

  
	
  Polymer Materials Inc.

  	
   

  	
  Utah

  
	
  Tioxide Americas Inc.

  	
   

  	
  Cayman Islands

  
	
  Tioxide Group

  	
   

  	
  United Kingdom

  

 

 S-2

 

Exhibit A

Huntsman International
LLC

INSTRUCTION TO DTC PARTICIPANTS

(Date of Mailing)

URGENT - IMMEDIATE ATTENTION REQUESTED

DEADLINE FOR RESPONSE:  [DATE]*

The Depository Trust
Company (“DTC”) has identified you as a DTC Participant through which
beneficial interests in the Huntsman International LLC (the “Company”) 7
7/8% Senior Subordinated Notes due 2014 (the “Securities”) are held.

The Company is in the
process of registering the Securities under the Securities Act of 1933 for
resale by the beneficial owners thereof. 
In order to have their Securities included in the registration
statement, beneficial owners must complete and return the enclosed Notice of
Registration Statement and Selling Securityholder Questionnaire.

It is important that
beneficial owners of the Securities receive a copy of the enclosed materials as
soon as possible as their rights to have the Securities
included in the registration statement depend upon their returning the Notice
and Questionnaire by [Deadline For Response].  Please forward a copy of the enclosed
documents to each beneficial owner that holds interests in the Securities
through you.  If you require more copies
of the enclosed materials or have any questions pertaining to this matter,
please contact Huntsman International LLC, 500 Huntsman Way, Salt Lake City,
Utah 84108, (801) 532-5200.

* Not less than 28
calendar days from date of mailing.

 

Huntsman International LLC

Notice of Registration Statement

and

Selling Securityholder Questionnaire

(Date)

Reference is hereby made
to the Exchange and Registration Rights Agreement (the “Exchange and
Registration Rights Agreement”) among Huntsman LLC (the “Company”),
the Guarantors named therein and the Purchasers named therein.  Pursuant to the Exchange and Registration Rights
Agreement, the Company has filed with the United States Securities and Exchange
Commission (the “Commission”) a registration statement on Form [    ] (the “Shelf Registration
Statement”) for the registration and resale under Rule 415 of the
Securities Act of 1933, as amended (the “Securities Act”), of the
Company’s 7 7/8% Senior Subordinated Notes due 2014 (the “Securities”).  A copy of the Exchange and Registration
Rights Agreement has been filed as an exhibit to the Shelf Registration
Statement.  All capitalized terms not
otherwise defined herein shall have the meanings ascribed thereto in the
Exchange and Registration Rights Agreement.

Each beneficial owner of
Registrable Securities (as defined below) is entitled to have the Registrable
Securities beneficially owned by it included in the Shelf Registration
Statement.  In order to have Registrable
Securities included in the Shelf Registration Statement, this Notice of
Registration Statement and Selling Securityholder Questionnaire (“Notice and
Questionnaire”) must be completed, executed and delivered to the Company’s
counsel at the address set forth herein for receipt ON OR BEFORE [Deadline for Response]. 
Beneficial owners of Registrable Securities who do not complete, execute
and return this Notice and Questionnaire by such date (i) will not be named as
selling securityholders in the Shelf Registration Statement and (ii) may not
use the prospectus forming a part thereof for resales of Registrable Securities.

Certain legal
consequences arise from being named as a selling securityholder in the Shelf
Registration Statement and related Prospectus. 
Accordingly, holders and beneficial owners of Registrable Securities are
advised to consult their own securities law counsel regarding the consequences
of being named or not being named as a selling securityholder in the Shelf
Registration Statement and related prospectus.

The term “Registrable
Securities” is defined in the Exchange and Registration Rights Agreement.

 2
 

 

ELECTION

The undersigned holder
(the “Selling Securityholder”) of Registrable Securities hereby elects
to include in the Shelf Registration Statement the Registrable Securities
beneficially owned by it and listed below in Item (3).  The undersigned, by signing and returning
this Notice and Questionnaire, agrees to be bound with respect to such
Registrable Securities by the terms and conditions of this Notice and
Questionnaire and the Exchange and Registration Rights Agreement, including,
without limitation, Section 6 of the Exchange and Registration Rights
Agreement, as if the undersigned Selling Securityholder were an original party
thereto.

Upon any sale of
Registrable Securities pursuant to the Shelf Registration Statement, the Selling
Securityholder will be required to deliver to the Company and the Trustee for
the Securities the Notice of Transfer set forth in Appendix A to the Prospectus
and as Exhibit B to the Exchange and Registration Rights Agreement.

The Selling
Securityholder hereby provides the following information to the Company and
represents and warrants that such information is accurate and complete:

 3
 

 

QUESTIONNAIRE

	
  (1)

  	
  (a)

  	
  Full Legal Name of Selling Securityholder:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
  Full Legal Name of Registered Holder (if not the
  same as in (a) above) of Registrable Securities Listed in Item (3) below:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (c)

  	
  Full Legal Name of Euroclear Participant (if
  applicable and if not the same as (b) above) Through Which Registrable
  Securities Listed in Item (3) below are Held:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (2)

  	
  Address for Notices to Selling Securityholder:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Telephone:

  	
   

  	
   

  
	
   

  	
  Fax:

  	
   

  	
   

  
	
   

  	
  Contact Person:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  (3)

  	
  Beneficial Ownership of Securities:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Except as set forth below in this Item (3), the
  undersigned does not beneficially own any Securities.

  
	
   

  	
   

  
	
   

  	
  (a)

  	
  Principal amount of Registrable Securities
  beneficially owned:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CUSIP/ISIN No(s). of such Registrable Securities:

  
	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
  Principal amount of Securities other than
  Registrable Securities beneficially owned:

  
	
   

  	
   

  	
   

  
	
   

  	
  CUSIP/ISIN No(s). of such other Securities:

  
	
   

  	
   

  
	
   

  	
  (c)

  	
  Principal amount of Registrable Securities which the
  undersigned wishes to be included in the Shelf Registration Statement:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CUSIP/ISIN No(s). of such Registrable Securities to
  be included in the Shelf Registration Statement:

  
					

 

 4
 

 

(4)                       Beneficial Ownership of Other
Securities of the Company:

Except as set forth below in this
Item (4), the undersigned Selling Securityholder is not the beneficial or
registered owner of any other securities of the Company, other than the Securities
listed above in Item (3).

State any exceptions
here:

(5)                       Relationships
with the Company:

Except as set forth below,
neither the Selling Securityholder nor any of its affiliates, officers,
directors or principal equity holders (5% or more) has held any position or
office or has had any other material relationship with the Company (or its
predecessors or affiliates) during the past three years.

State any exceptions
here:

(6)                       Plan of
Distribution:

Except as set forth below, the
undersigned Selling Securityholder intends to distribute the Registrable
Securities listed above in Item (3) only as follows (if at all):  Such Registrable Securities may be sold from
time to time directly by the undersigned Selling Securityholder or,
alternatively, through underwriters, broker-dealers or agents.  Such Registrable Securities may be sold in
one or more transactions at fixed prices, at prevailing market prices at the
time of sale, at varying prices determined at the time of sale, or at
negotiated prices.  Such sales may be
effected in transactions (which may involve crosses or block transactions) (i)
on any national securities exchange or quotation service on which the
Registered Securities may be listed or quoted at the time of sale, (ii) in the
over-the-counter market, (iii) in transactions otherwise than on such exchanges
or services or in the over-the-counter market, or (iv) through the writing of
options.  In connection with sales of the
Registrable Securities or otherwise, the Selling Securityholder may enter into
hedging transactions with broker-dealers, which may in turn engage in short
sales of the Registrable Securities in the course of hedging the positions they
assume.  The Selling Securityholder may
also sell Registrable Securities short and deliver Registrable Securities to
close out such short positions, or loan or pledge Registrable Securities to
broker-dealers that in turn may sell such securities.

State any exceptions
here:

By signing below, the
Selling Securityholder acknowledges that it understands its obligation to comply,
and agrees that it will comply, with the provisions of the Exchange Act and the
rules and regulations thereunder, particularly Regulation M.

In the event that the
Selling Securityholder transfers all or any portion of the Registrable
Securities listed in Item (3) above after the date on which such information is
provided to the Company, the Selling Securityholder agrees to notify the
transferee(s) at the time of the transfer of its rights and obligations under
this Notice and Questionnaire and the Exchange and Registration Rights
Agreement.

 5
 

 

By signing below, the
Selling Securityholder consents to the disclosure of the information contained
herein in its answers to Items (1) through (6) above and the inclusion of such
information in the Shelf Registration Statement and related Prospectus.  The Selling Securityholder understands that
such information will be relied upon by the Company in connection with the
preparation of the Shelf Registration Statement and related Prospectus.

In accordance with the
Selling Securityholder’s obligation under Section 3(d) of the Exchange and
Registration Rights Agreement to provide such information as may be required by
law for inclusion in the Shelf Registration Statement, the Selling Securityholder
agrees to promptly notify the Company of any inaccuracies or changes in the
information provided herein which may occur subsequent to the date hereof at
any time while the Shelf Registration Statement remains in effect.  All notices hereunder and pursuant to the
Exchange and Registration Rights Agreement shall be made in writing, by
hand-delivery, first-class mail, or air courier guaranteeing overnight delivery
as follows:

	
  

  	
  (i)

  	
  To the Company:

  	
  Huntsman
  International LLC

  
	
   

  	
   

  	
  500 Huntsman Way

  
	
   

  	
   

  	
  Salt Lake City, Utah 84108

  
	
   

  	
   

  	
  Attention: General Counsel

  
	
   

  	
   

  	
   

  
	
   

  	
  (ii)

  	
  With a copy to:

  	
  Vinson &
  Elkins L.L.P.

  
	
   

  	
   

  	
  2300 First City Tower

  
	
   

  	
   

  	
  1001 Fannin

  
	
   

  	
   

  	
  Houston, TX 77002

  
	
   

  	
   

  	
  Attention: Jeffery B. Floyd

  

 

Once this Notice and
Questionnaire is executed by the Selling Securityholder and received by the
Company’s counsel, the terms of this Notice and Questionnaire, and the
representations and warranties contained herein, shall be binding on, shall
inure to the benefit of and shall be enforceable by the respective successors,
heirs, personal representatives, and assigns of the Company and the Selling
Securityholder (with respect to the Registrable Securities beneficially owned
by such Selling Securityholder and listed in Item (3) above).  This Agreement shall be governed in all
respects by the laws of the State of New York.

IN WITNESS WHEREOF, the
undersigned, by authority duly given, has caused this Notice and Questionnaire
to be executed and delivered either in person or by its duly authorized agent.

	
  Dated:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  

  	
  Selling
  Securityholder

  
	
   

  	
  (Print/type full
  legal name of beneficial owner of Registrable Securities)

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  
							

 

 6
 

 

PLEASE RETURN THE
COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE FOR RECEIPT ON OR BEFORE [DEADLINE FOR RESPONSE] TO THE COMPANY’S COUNSEL AT:

Huntsman International LLC

500 Huntsman Way

Salt Lake City, Utah  84108

 

 7

 

Exhibit B

NOTICE OF TRANSFER PURSUANT TO REGISTRATION STATEMENT

Wells Fargo Bank,
National Association

Huntsman International
LLC

c/o Wells Fargo Bank,
National Association

[                                ]

[                                ]

Attention:  Huntsman Administrator

Re:            Huntsman
International LLC (the “Company”)

7 7/8% Senior Subordinated Notes due 2014

Dear Sirs:

Please be advised
that  has transferred $                  
aggregate principal amount of the above-referenced Notes pursuant to an effective
Registration Statement on Form [       ] (File No. 333-           ) filed by the Company.

We hereby certify that
the prospectus delivery requirements, if any, of the Securities Act of 1933, as
amended, have been satisfied and that the above-named beneficial owner of the
Notes is named as a “Selling Holder” in the Prospectus dated [date] or in supplements thereto, and that the aggregate
principal amount of the Notes transferred are the Notes listed in such
Prospectus opposite such owner’s name.

Dated:

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  (Name)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  (Authorized Signature)

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