Document:

FORM OF GLOBAL NOTE

 Exhibit 4(b) 
  
 ANNEX A 
  
 UNANIMOUS CONSENT TO ACTION 
 IN LIEU OF SPECIAL MEETING 
 OF THE EXECUTIVE COMMITTEE OF 
 THE
BOARD OF DIRECTORS 
 OF WAL-MART STORES, INC. 
  
 February 10, 2004 
  

  
 The undersigned, being all
of the members of the Executive Committee of the Board of Directors of Wal-Mart Stores, Inc., a Delaware corporation (the “Company”), do hereby consent to the adoption of the following resolutions in accordance with the provisions of
Section 141(f) of the General Corporation Law of Delaware: 
  
 RESOLVED, that a series of senior, unsecured promissory notes of the Company in the initial aggregate principal amount of $1,250,000,000 that shall mature on or about February 15, 2011 (the “Series 2011 Notes”) shall be,
and it hereby is, created, established and authorized for issuance and sale pursuant to the terms of the Indenture dated December 11, 2002 (the “Indenture”) between the Company and JP Morgan Trust Company, National Association, as
successor in interest to Bank One Trust Company, NA, as trustee (the “Indenture Trustee”); and 
  
 RESOLVED, that the Series 2011 Notes shall have such terms, including the rate at which interest shall accrue thereunder, and shall be in such form
as may be established and approved by an Authorized Officer or Authorized Officers (each as defined below) in accordance with the provisions of Section 3.01 of the Indenture pursuant to the authority granted by these resolutions, which approval will
be conclusively evidenced by that Authorized Officer’s or those Authorized Officers’ execution of a Series Terms Certificate with respect to the Series 2011 Notes as contemplated by Section 3.01 of the Indenture; and 
  
 RESOLVED, that the Chairman, any Vice Chairman, the Chief Executive
Officer, the President, any Executive Vice President, any Senior Vice President, and the Treasurer of the Company (each an “Authorized Officer”) shall be, and each of them hereby is, authorized, in the name and on behalf of the Company, to
establish and to approve the terms and conditions of the Series 2011 Notes and to approve the form, terms and conditions of the promissory notes representing notes in the Series 2011 Notes and to execute up to $1,250,000,000 principal amount of
promissory notes of the Series 2011 Notes (the “2011 Promissory Notes”), all as provided in the Indenture, and to deliver the 2011 Promissory Notes to the Indenture Trustee for authentication and delivery in accordance with the terms of
the Indenture; and 
  
 RESOLVED, that the Indenture Trustee
shall be, and it hereby is, authorized and directed to authenticate and deliver 2011 Promissory Notes to or upon the written order of the Company, as provided in the Indenture; and 
  
 RESOLVED, that the Company shall be, and it hereby is, authorized to perform its obligations under the 2011
Promissory Notes and its obligations under the Indenture, as those obligations relate to the 2011 Promissory Notes; and 

 RESOLVED, that the Company shall be, and it hereby is, authorized to enter into and perform its
obligations under, and each Authorized Officer is authorized to execute and deliver, for and on behalf of the Company, a Pricing Agreement and an Underwriting Agreement between the Company and Goldman, Sachs & Co., Credit Suisse First Boston
LLC, Lehman Brothers Inc. and the other underwriters named therein (collectively, the “Underwriters”), relating to the sale by the Company and the purchase by the Underwriters of up to $1,250,000,000 aggregate principal amount of 2011
Promissory Notes (collectively, the “Underwriting Agreement”) and any other agreements necessary to effectuate the intent of these resolutions, the Underwriting Agreement and any other such agreements to be in the forms and to contain the
terms, including the price to be paid to the Company by the Underwriters for the 2011 Promissory Notes being purchased pursuant to the Underwriting Agreement, and conditions that the Authorized Officer executing the same approves, such approval to
be conclusively evidenced by that Authorized Officer’s execution and delivery of the Underwriting Agreement or other agreement; and 
  
 RESOLVED, that the Company shall be, and it hereby is, authorized to sell the 2011 Promissory Notes to the Underwriters pursuant to the
Underwriting Agreement at the price and pursuant to the other terms and conditions of the Underwriting Agreement; and 
  
 RESOLVED, that the Company shall be, and it hereby is, authorized to issue one or more global certificates to represent all of the 2011 Promissory
Notes and not otherwise issue the Notes in definitive form, and to permit each global certificate representing 2011 Promissory Notes to be registered in the name of a nominee of The Depository Trust Company (“DTC”) and beneficial interests
in the global Notes to be otherwise shown on, and transfers of such beneficial interests effected through, records maintained by DTC and its participants; and 
  

RESOLVED, that the signatures of the Authorized Officers executing any 2011 Promissory Notes may be the manual or facsimile signatures of the
present or any future Authorized Officers and may be imprinted or otherwise reproduced thereon, and any such facsimile signature shall be binding upon the Company, notwithstanding the fact that at the time the Notes are authenticated and delivered
and disposed of, the person signing the facsimile signature shall have ceased to be an Authorized Officer; and 
  
 RESOLVED, that, without in any way limiting the authority heretofore granted to any Authorized Officer, the Authorized Officers shall be, and each
of them singly is, authorized and empowered to do and perform all such acts and things and to execute and deliver, for and on behalf of the Company, any and all documents and instruments and to take any and all such actions as they may deem
necessary, desirable or proper in order to carry out the intent and 

 
purpose of the foregoing resolutions and fully to establish the Series 2011 Notes and to perform the provisions of the Underwriting Agreement, the Indenture
and the 2011 Promissory Notes, and to incur on behalf of the Company all such expenses and obligations in connection therewith as they may deem proper. 
  
 Dated this 10th day of February 2004. 
  

					
			
	 /s/ Thomas M. Coughlin
	 	 	 	 /s/ H. Lee Scott, Jr.

	
	 	 	 	

	 Thomas M. Coughlin
	 	 	 	 H. Lee Scott, Jr.

			
	 /s/ David D. Glass
	 	 	 	 /s/ S. Robson Walton

	
	 	 	 	

	 David D. Glass
	 	 	 	 S. Robson Walton

 ANNEX B 
  
 Form of Global Note 
  
 This Note is a global security and is registered in the name of CEDE & CO., as nominee of the Depositary, The Depository Trust Company. Unless and
until this Note is exchanged for Notes in definitive form, this Note may not be transferred except as a whole by the Depositary or a nominee of the Depositary to the Depositary or another depositary or by the Depositary or any such nominee to a
successor depositary or a nominee of such successor depositary. 
  
 Unless this Note is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the issuer or its agent for registration of transfer, exchange or payment, and any certificate
issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of
DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein. 
  
 WAL-MART STORES, INC. 
 4.125% NOTES DUE 2011 
  

			
	 Number A-[    ]
 $[                ]
	 	 CUSIP No.: 931142 BV 4
 ISIN No.: US931142BV49

Common Code: 018656868

  
 WAL-MART STORES, INC.,
a corporation duly organized and existing under the laws of the State of Delaware, and any successor corporation pursuant to the Indenture (herein referred to as the “Company”), for value received, hereby promises to pay to CEDE & CO.
or registered assigns, the principal sum of
[                                        
        ] on February 15, 2011 in 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, and to pay interest, computed
on the basis of a 360-day year of twelve 30-day months, semi-annually in arrears on February 15 and August 15 of each year, or if any such day is not a Business Day, on the next succeeding Business Day, except that if such Business Day is in the
next succeeding calendar month, such interest payment shall be made on the Business Day immediately preceding such day (each, an “Interest Payment Date”), commencing on August 15, 2004, on said principal sum in like coin or currency, at
the rate per annum specified in the title of this Note from February 18, 2004 or from the most recent February 15 or August 15 to which interest has been paid or duly provided for. The interest so payable, and punctually paid or duly provided for,
on any Interest Payment Date will be paid to the person in whose name this Note is registered (the “holder”) at the close of business on the preceding February 1, in the case of an Interest Payment Date of February 15, and on the preceding
August 1, in the case of an Interest Payment Date of August 15 (each, a “Record Date”). 
  
 Reference is made to the further provisions of this Note set forth on the succeeding sections hereof. Such further provisions shall for all purposes have
the same effect as though fully set forth at this place. 
  

 This Note shall not be valid or become obligatory for any purpose until the certificate of authentication
hereon shall have been signed by the Trustee under the Indenture referred to in Section 1 hereof. 
  
 IN WITNESS WHEREOF, the Company has caused this instrument to be signed by its Chairman of the Board, its Vice Chairman, its President or one of its Vice
Presidents by manual or facsimile signature under its corporate seal, attested by its Secretary, one of its Assistant Secretaries, its Treasurer or one of its Assistant Treasurers by manual or facsimile signature. 
  

									
	 	 	 	 	 Wal-Mart Stores, Inc.

					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 	 	 Name:

	 	 	 	 	 	 	 	 	 Title:

				
	[SEAL]	 	 	 	Attest:	 	 
	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 	 	 Name:

	 	 	 	 	 	 	 	 	 Title:

  
 Dated: February 18, 2004 

 
 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
  
 This is one of the Securities of the series designated herein referred to in
the within-mentioned Indenture. 
  

									
	 	 	 	 	J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION, as successor-in-interest to Bank One Trust Company, NA, as
Trustee
					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 	 	 Authorized Signatory

  

 WAL-MART STORES, INC. 
  
 4.125% NOTES DUE 2011 
  
 1. Indenture; Notes. This Note is one of a duly authorized series of Securities of the Company designated as the “4.125% Notes Due 2011”
(the “Notes”), initially issued in an aggregate principal amount of $1,250,000,000 on February 18, 2004. Such series of Securities has been established pursuant to, and is one of an indefinite number of series of debt securities of the
Company, issued or issuable under and pursuant to, the Indenture, dated as of December 11, 2002 (the “Indenture”), duly executed and delivered by the Company, as Issuer and J.P. Morgan Trust Company, National Association, as successor in
interest to Bank One Trust Company, NA, as Trustee (the “Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the rights, limitations of rights, obligations, duties and
immunities thereunder of the Trustee, the Company and the holders of the Notes and of the terms upon which this Note is, and is to be, authenticated and delivered. The terms, conditions and provisions of the Notes are those stated in the Indenture,
those made part of the Indenture by reference to the Trust Indenture Act of 1939, as amended, and those set forth in this Note. To the extent that the terms, conditions and other provisions of this Note modify, supplement or are inconsistent with
those of the Indenture, then the terms, conditions and other provisions of this Note shall govern. 
  
 All capitalized terms which are used but not defined in this Note shall have the meanings assigned to them in the Indenture. 
  
 The Company may, without the consent of the holders, issue and sell
additional Securities ranking equally with the Notes and otherwise identical in all respects (except for their date of issue, issue price and the date from which interest payments thereon shall accrue) so that such additional Securities shall be
consolidated and form a single series with the Notes; provided, however, that no additional Securities of any existing or new series may be issued under the Indenture if an Event of Default has occurred and remains uncured thereunder.

  
 2. Ranking. The Notes shall constitute the senior,
unsecured and unsubordinated debt obligations of the Company and shall rank equally in right of payment among themselves and with all other existing and future senior, unsecured and unsubordinated debt obligations of the Company. 
  
 3. Payment of Overdue Amounts. The Company shall pay interest,
calculated on the basis of a 360-day year of twelve 30-day months, on overdue principal and overdue installments of interest, if any, from time to time on demand at the interest rate borne by the Notes to the extent lawful. 
  
 4. Payment of Additional Amounts; Redemption Upon a Tax Event. (a)
Payment of Additional Amounts. The Company shall pay to the holder of this Note who is a United States Alien (as defined below) such additional amounts as may be necessary so that every net payment of principal of and interest on this Note to
such holder, after deduction or withholding for or on account of any present or future tax, assessment or other governmental charge imposed upon such holder by the United States of America or any taxing authority 

  

 
thereof or therein, will not be less than the amount provided in the Notes to be then due and payable (such amounts, the “Additional Amounts”);
provided, however, that the Company shall not be required to make any payment of Additional Amounts for or on account of: 
  
 (i) any tax, assessment or other governmental charge that would not have been imposed but for (A) the existence of any present or former
connection between such holder, or between a fiduciary, settlor, beneficiary of, member or shareholder of, or possessor of a power over, such holder, if such holder is an estate, trust, partnership or corporation, and the United States including,
without limitation, such holder, or such fiduciary, settlor, beneficiary, member, shareholder or possessor, being or having been a citizen or resident of the United States of America or treated as a resident thereof or being or having been engaged
in trade or business or present in the United States of America, or (B) the presentation of this Note for payment on a date more than 30 days after the later of (x) the date on which such payment becomes due and payable and (y) the date on which
payment thereof is duly provided for; 
  
 (ii)
any estate, inheritance, gift, sales, transfer, excise, personal property or similar tax, assessment or other governmental charge; 
  
 (iii) any tax, assessment or other governmental charge imposed by reason of such holder’s past or present status as a passive foreign
investment company, a controlled foreign corporation, a personal holding company or foreign personal holding company with respect to the United States of America, or as a corporation which accumulates earnings to avoid United States federal income
tax; 
  
 (iv) any tax, assessment or other
governmental charge which is payable otherwise than by withholding from payment of principal of or interest on this Note; 
  
 (v) any tax, assessment or other governmental charge required to be withheld by any paying agent from any payment of principal of or
interest on this Note if such payment can be made without withholding by any other paying agent; 
  
 (vi) any tax, assessment or other governmental charge which would not have been imposed but for the failure to comply with certification,
information, documentation or other reporting requirements concerning the nationality, residence, identity or connections with the United States of America of the holder or beneficial owner of this Note, if such compliance is required by statute or
by regulation of the United States Treasury Department as a precondition to relief or exemption from such tax, assessment or other governmental charge; 
  
 (vii) any tax, assessment or other governmental charge imposed on interest received by (A) a 10% shareholder (as defined in Section
871(h)(3)(B) of the United States Internal Revenue Code of 1986, as amended (the “Code”), and the regulations that may be promulgated thereunder) of the Company or (B) a controlled foreign corporation with respect to the Company within the
meaning of the Code; 
  

 2 

 (viii) any withholding or deduction that is imposed on a payment to an individual and is
required to be made pursuant to that European Union Directive relating to the taxation of savings adopted on June 3, 2003 by the European Union’s Economic and Financial Affairs Council, or any law implementing or complying with, or introduced
in order to conform to, such Directive; or 
  
 (ix) any combination of items (i), (ii), (iii), (iv), (v), (vi), (vii) and (viii) in this Section 4(a); 
  
 nor shall any Additional Amounts be paid to any holder who is a fiduciary partnership or other than the sole beneficial owner of this Note to the extent that a
beneficiary or settlor with respect to such fiduciary, or a member of such partnership or a beneficial owner thereof would not have been entitled to the payment of such Additional Amounts had such beneficiary, settlor, member or beneficial owner
been the holder. 
  
 “United States Alien” means any
corporation, partnership, individual or fiduciary that is, as to the United States of America, a foreign corporation, a non-resident alien individual who has not made a valid election to be treated as a United States resident, a non-resident
fiduciary of a foreign estate or trust, or a foreign partnership one or more of the members of which is, as to the United States of America, a foreign corporation, a non-resident alien individual or a non-resident fiduciary of a foreign estate or
trust. 
  
 (b) Redemption Upon a Tax Event. The Notes may
be redeemed at the option of the Company in whole, but not in part, on a date (such date, the “Tax Redemption Date”) to be fixed by the Company on not more than 60 days’ and not less than 30 days’ notice, at a redemption price
equal to 100% of the principal amount of the Notes (the “Redemption Price”) plus accrued but unpaid interest, if any, thereon, if the Company determines that as a result of any change in or amendment to the laws, treaties, regulations or
rulings of the United States of America or any political subdivision or taxing authority thereof, or any proposed change in such laws, treaties, regulations or rulings, or any change in the official application, enforcement or interpretation of such
laws, treaties, regulations or rulings, including a holding by a court of competent jurisdiction in the United States of America, or any other action, other than an action predicated on laws generally known on or before February 10, 2004 except for
proposals before the U.S. Congress before such date, taken by any taxing authority or a court of competent jurisdiction in the United States of America, or the official proposal of any such action, whether or not such action or proposal was taken or
made with respect to the Company, (A) the Company has or will become obligated to pay Additional Amounts or (B) there is a substantial possibility that the Company will be required to pay such Additional Amounts. 
  
 Prior to the publication of any notice of redemption pursuant to Section 15
hereof, the Company shall deliver to the Trustee (1) an Officers’ Certificate stating that the Company is entitled to effect such redemption and setting forth a statement of facts showing that the conditions precedent to the rights of the
Company to so redeem have occurred and (2) an Opinion of Counsel to such effect based on such statement of facts. 
  
 If the Company elects to redeem the Notes pursuant to this Section 4(b), then it shall give notice to the holders pursuant to Section 15 hereof.

  

 3 

 The notice of redemption, shall specify the following: 
  
 (i) the Tax Redemption Date; 
  
 (ii) a brief statement to the effect that the Notes are
being redeemed at the option of the Company pursuant to this Section 4(b) and a brief statement of the facts permitting such redemption; 
  
 (iii) that on the Tax Redemption Date, the Redemption Price, plus accrued but unpaid interest on the Notes, if any, will become due and
payable; 
  
 (iv) the amount of the Redemption
Price and accrued but unpaid interest, if any, that will be due and payable on the Notes on the Tax Redemption Date; 
  
 (v) the place or places of payment of the amounts due under clause (iv) above; 
  
 (vi) that payment of the amounts due under clause (iv) above
will be made upon presentation and surrender of the Notes; and 
  
 (vii) that, following the redemption of the Notes pursuant to this Section 4(b), interest shall cease to accrue thereon. 
  
 The notice of redemption regarding the Notes shall be, at the election of the Company, given by the Company or, at the Company’s request, by the
Trustee in the name and at the expense of the Company. 
  
 On or
before the opening of business on any Tax Redemption Date, the Company shall deposit with the Trustee or with the Paying Agent or, if the Company is acting as its own paying agent, segregate and hold in trust as provided in Section 5.03 of the
Indenture, an amount of money sufficient to pay the Redemption Price of, and except if the Tax Redemption Date shall be an Interest Payment Date, accrued but unpaid interest on, the Notes to be redeemed on the Tax Redemption Date. 
  
 The notice of redemption having been given as specified above, the Notes
shall, on the Tax Redemption Date, become due and payable at the Redemption Price, and from and after such date, unless the Company shall default in the payment of the Redemption Price and accrued but unpaid interest, if any, the Notes shall cease
to bear interest. Upon surrender of the Notes for redemption in accordance with such notice, the Notes shall be paid by the Company at the Redemption Price, together with accrued but unpaid interest, if any, to the Tax Redemption Date. 

 
 If the Notes, having been called for redemption, shall not be so paid upon
surrender thereof for redemption, the Redemption Price shall, until paid, bear interest from the Tax Redemption Date at the interest rate borne by this Note. 
  
 5. Place and Method of Payment. The Company shall pay principal of and interest on the Notes at the office or agency of the Paying Agent in the
Borough of Manhattan, The City of New York; provided, however, that at the option of the Company, the Company may 

  

 4 

 
pay interest by check mailed to the person entitled thereto at such person’s address as it appears on the Registry for the Notes. 
  
 6. Defeasance of the Notes. Sections 11.02, 11.03 and 11.04 of the
Indenture shall apply to the Notes. 
  
 7. No Redemption;
Sinking Fund. The Notes are not redeemable prior to maturity, other than as set forth in Section 4(b) hereof, and are not subject to a sinking fund. 
  
 8. Amendment and Modification. Article Nine of the Indenture contains provisions for the amendment or modification of the Indenture and the Notes
without the consent of the holders in certain circumstances and requiring the consent of holders of not less than a majority in aggregate principal amount of the Notes and Securities of other series that would be affected in certain other
circumstances. However, the Indenture requires the consent of each holder of the Notes and Securities of other series that would be affected for certain specified amendments or modifications of the Indenture and the Notes. These provisions of the
Indenture, which provide for, among other things, the execution of supplemental indentures, are applicable to the Notes. 
  
 9. Default; Waiver. If an Event of Default with respect to the Notes shall occur and be continuing, then either the Trustee or the Holders of not
less than 25% in aggregate principal amount of the Notes of this series then Outstanding may declare the aggregate principal amount of the Notes of this series to be immediately due and payable in the manner, with the effect and subject to the
conditions provided in the Indenture. The Indenture provides that in the event of such a declaration, the holders of a majority in aggregate principal amount of all of the Notes of this series then outstanding, voting as a separate class, in
accordance with the provisions of, and in the circumstances provided by, the Indenture, may rescind and annul the declaration and its consequences and the related default and its consequences may be waived with respect to all of the Notes.

  
 10. Absolute Obligation. No reference herein to the
Indenture and no provisions of the Notes or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and interest on this Note at the place, at the time and in the coin or
currency herein prescribed. 
  
 11. Form and Denominations;
Global Notes; Definitive Notes. The Notes are being issued in registered form without coupons in denominations of $2,000 and multiples of $1,000. The Notes are being issued in the form of global notes (each, a “Global Note”),
evidencing all or any portion of the Notes and registered in the name of DTC or its nominee (including their respective successors) as Depositary under the Indenture. The Notes shall be issued in certificated form (each, a “Definitive
Note”) only in the following limited circumstances: (1) the Depositary is at any time unwilling or unable to continue as Depositary or ceases to be a clearing agency registered under applicable law, and a successor depositary is not appointed
by the Company within 90 days after the Company receives such notice or becomes aware of such ineligibility, (2) the Company delivers to the Trustee a Company Order to the effect that this Note shall be exchangeable for Definitive Notes or (3) an
Event of Default has occurred and is continuing with respect to the Notes, in each such case this Note shall be 

  

 5 

 
exchangeable for Definitive Notes in an equal aggregate principal amount. Such Definitive Notes shall be registered in such name or names as the Depositary
shall instruct the Trustee. 
  
 12. Registration, Transfer and
Exchange. As provided in the Indenture and subject to certain limitations therein set forth, the Company shall provide for the registration of the Notes and the transfer and exchange of the Notes, whether in global or Definitive form. At the
option of the holders, at any office or agency designated and maintained by the Company for such purpose (the “Transfer Agent”) pursuant to the provisions of the Indenture, and in the manner and subject to the limitations provided in the
Indenture, but without the payment of any service charge, except for any transfer tax or other governmental charges imposed in connection therewith subject to Section 4 hereof, the Notes may be transferred or exchanged for an equal aggregate
principal amount of the Notes of like tenor and of other authorized denominations upon surrender and cancellation of the Notes upon any such transfer. 
  
 The Company, the Trustee, and any agent of the Company or of the Trustee may deem and treat the holder as the absolute owner of this Note (whether or not
the Notes shall be overdue and notwithstanding any notation of ownership or other writing hereon), for the purpose of receiving payments hereon, or on account hereof, and for all other purposes, and neither the Company nor the Trustee nor any agent
of the Company or of the Trustee shall be affected by any notice to the contrary. All such payments made to or upon the order of such holder shall, to the extent of the amount or amounts paid, effectually satisfy and discharge liability for moneys
payable on this Note. 
  
 Notwithstanding the preceding paragraphs
of this Section 12, any registration of transfer or exchange of a Global Note shall be subject to the terms of the legend appearing on the initial page thereof. 
  

13. No Recourse Against Others. No recourse under or upon any obligation, covenant or agreement of the Company arising under or set forth in the
Notes or under the Indenture, or for any claim based thereon or otherwise in respect thereof, shall be had against any incorporator, stockholder, officer or director, as such, past, present or future, of the Company or of any successor corporation,
either directly or through the Company or any successor corporation, whether by virtue of any constitution, statute or rule of law or by the enforcement of any assessment or penalty or otherwise, any and all such personal liability, either at common
law or in equity or by constitution or statute, of, and any and all such rights and claims against, every such incorporator, stockholder, officer or director, as such, being, by the acceptance hereof and as part of the consideration for the issue
hereof, expressly waived and released. 
  
 14. Appointment of
Agents. J.P. Morgan Trust Company, National Association is hereby appointed the Registrar for the purpose of registering the Notes and transfers and exchanges of the Notes pursuant to the Indenture and this Note, Paying Agent pursuant to Section
3.04 of the Indenture and Transfer Agent with respect to the Notes at its offices in the Borough of Manhattan, The City of New York. 
  
 15. Notices. If the Company is required to give notice to the holders of the Notes pursuant to the terms of the Indenture, then it shall do so by
the means and in the manner set forth in Section 1.06 of the Indenture. 
  

 6 

 In addition, the Company shall give notices to the holders of the Notes by publication in a leading daily
newspaper in The City of New York. Initially, such publication shall be made in The City of New York in The Wall Street Journal. Any such notice shall be deemed to have been given on the date of publication or, if published more than once, on
the date of the first publication. 
  
 16. Separability. In
case any provision of the Indenture or the Notes shall, for any reason, be held to be invalid, illegal or unenforceable, then the validity, legality and enforceability of the remaining provisions thereof and hereof shall not in any way be affected
or impaired thereby. 
  
 17. GOVERNING LAW. THE NOTES SHALL
BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 
  

 7 

 ASSIGNMENT FORM 
  

To assign this Note, fill in the form below: 
  
 For the value received, the undersigned hereby assigns and transfers the within Note, and all rights thereunder, to: 
  

 (Insert assignee’s
legal name) 
  

 (Insert assignee’s social security or tax identification number) 
  

 (Print or type assignee’s name, address and zip code) 
  

  

  
 and irrevocably appoints 
  

  
 to transfer this Note on the books of Wal-Mart Stores, Inc. The agent may substitute another to act for it. 
  

			
		
	Your Signature:	 	 
	 	 	

	 	 	(Sign exactly as your name appears on the face of this Note)

  
 Date:
                     
  
 Signature Guarantee 
  
 The signature(s) should be Guaranteed by an Eligible Guarantor Institution pursuant to Rule 17Ad-15 of the Securities Exchange Act of 1934, as amended. 
  
 * * * * * 
  
 The following abbreviations, when used in the inscription on the face of the within Note, shall be construed as though they
were written out in full according to applicable laws or regulations: 
  

			
	 TEN COM -
	 	as tenants in common
	 TEN ENT -
	 	as tenants by the entireties
	 JT ENT -
	 	as joint tenants with right of survivorship and not as tenants in common

  

													
	                      UNIF
GIFT MIN ACT -
	 	______	 	Custodian	 	______	 	under the Uniform Gifts to Minors Act	 	______	 	 
	 	 	(Cust)	 	 	 	(Minor)	 	 	 	(State)	 	 

  
 Additional abbreviations may also be
used although not in the above list. 
  

 Exhibit 4(b) 
  
 Form of Global Note 
  
 This Note is a global security and is registered in the name of CEDE & CO., as nominee of the Depositary, The Depository Trust Company. Unless and
until this Note is exchanged for Notes in definitive form, this Note may not be transferred except as a whole by the Depositary or a nominee of the Depositary to the Depositary or another depositary or by the Depositary or any such nominee to a
successor depositary or a nominee of such successor depositary. 
  
 Unless this Note is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the issuer or its agent for registration of transfer, exchange or payment, and any certificate
issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of
DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein. 
  
 WAL-MART STORES, INC. 
  
 4.125% NOTES DUE 2011 
  

							
	 Number A-[    ]
 $[    ]
	 	 	 	 	 	 CUSIP No.: 931142 BV 4
 ISIN No.: US931142BV49
 Common Code: 018656868

  
 WAL-MART STORES, INC.,
a corporation duly organized and existing under the laws of the State of Delaware, and any successor corporation pursuant to the Indenture (herein referred to as the “Company”), for value received, hereby promises to pay to CEDE & CO.
or registered assigns, the principal sum of [ ] on February 15, 2011 in 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, and to pay interest, computed
on the basis of a 360-day year of twelve 30-day months, semi-annually in arrears on February 15 and August 15 of each year, or if any such day is not a Business Day, on the next succeeding Business Day, except that if such Business Day is in the
next succeeding calendar month, such interest payment shall be made on the Business Day immediately preceding such day (each, an “Interest Payment Date”), commencing on August 15, 2004, on said principal sum in like coin or currency, at
the rate per annum specified in the title of this Note from February 18, 2004 or from the most recent February 15 or August 15 to which interest has been paid or duly provided for. The interest so payable, and punctually paid or duly provided for,
on any Interest Payment Date will be paid to the person in whose name this Note is registered (the “holder”) at the close of business on the preceding February 1, in the case of an Interest Payment Date of February 15, and on the preceding
August 1, in the case of an Interest Payment Date of August 15 (each, a “Record Date”). 
  
 Reference is made to the further provisions of this Note set forth on the succeeding sections hereof. Such further provisions shall for all purposes have
the same effect as though fully set forth at this place. 
  

 This Note shall not be valid or become obligatory for any purpose until the certificate of authentication
hereon shall have been signed by the Trustee under the Indenture referred to in Section 1 hereof. 
  
 IN WITNESS WHEREOF, the Company has caused this instrument to be signed by its Chairman of the Board, its Vice Chairman, its President or one of its Vice
Presidents by manual or facsimile signature under its corporate seal, attested by its Secretary, one of its Assistant Secretaries, its Treasurer or one of its Assistant Treasurers by manual or facsimile signature. 
  

											
	 	 	 	 	Wal-Mart Stores, Inc.
					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 	 	 Name:
	 	 
	 	 	 	 	 	 	 	 	 Title:
	 	 

  

											
					
	[SEAL]	 	 	 	 	 	Attest:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 	 	 Name:
	 	 
	 	 	 	 	 	 	 	 	 Title:
	 	 

  
 Dated: March 15, 2004 
  
 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 
  
 This is one of the Securities of the series designated herein referred to in
the within-mentioned Indenture. 
  

			
	J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION, as successor-in-interest to Bank One Trust Company, NA, as
Trustee
		
	By:	 	 
	 	 	

	 	 	 Authorized Signatory

  

 WAL-MART STORES, INC. 
  
 4.125% NOTES DUE 2011 
  
 1. Indenture; Notes. This Note is one of a duly authorized series of Securities of the Company designated as the “4.125% Notes Due 2011”
(the “Notes”), initially issued in an aggregate principal amount of $1,250,000,000 on February 18, 2004 and, as a result of the further inssuance of $750,000,000 aggregate principal amount of Notes on March 15, 2004, now issued in an
aggregate principal amount of $2,000,000,000. Such series of Securities has been established pursuant to, and is one of an indefinite number of series of debt securities of the Company, issued or issuable under and pursuant to, the Indenture, dated
as of December 11, 2002 (the “Indenture”), duly executed and delivered by the Company, as Issuer and J.P. Morgan Trust Company, National Association, as successor in interest to Bank One Trust Company, NA, as Trustee (the
“Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the rights, limitations of rights, obligations, duties and immunities thereunder of the Trustee, the Company and the holders
of the Notes and of the terms upon which this Note is, and is to be, authenticated and delivered. The terms, conditions and provisions of the Notes are those stated in the Indenture, those made part of the Indenture by reference to the Trust
Indenture Act of 1939, as amended, and those set forth in this Note. To the extent that the terms, conditions and other provisions of this Note modify, supplement or are inconsistent with those of the Indenture, then the terms, conditions and other
provisions of this Note shall govern. 
  
 All capitalized terms
which are used but not defined in this Note shall have the meanings assigned to them in the Indenture. 
  
 The Company may, without the consent of the holders, issue and sell additional Securities ranking equally with the Notes and otherwise identical in all
respects (except for their date of issue, issue price and the date from which interest payments thereon shall accrue) so that such additional Securities shall be consolidated and form a single series with the Notes; provided, however, that no
additional Securities of any existing or new series may be issued under the Indenture if an Event of Default has occurred and remains uncured thereunder. 
  
 2. Ranking. The Notes shall constitute the senior, unsecured and unsubordinated debt obligations of the Company and shall rank equally in right of
payment among themselves and with all other existing and future senior, unsecured and unsubordinated debt obligations of the Company. 
  
 3. Payment of Overdue Amounts. The Company shall pay interest, calculated on the basis of a 360-day year of twelve 30-day months, on overdue
principal and overdue installments of interest, if any, from time to time on demand at the interest rate borne by the Notes to the extent lawful. 
  
 4. Payment of Additional Amounts; Redemption Upon a Tax Event. (a) Payment of Additional Amounts. The Company shall pay to the holder of
this Note who is a United States Alien (as defined below) such additional amounts as may be necessary so that every net payment of principal of and interest on this Note to such holder, after deduction or 

  

 
withholding for or on account of any present or future tax, assessment or other governmental charge imposed upon such holder by the United States of America
or any taxing authority thereof or therein, will not be less than the amount provided in the Notes to be then due and payable (such amounts, the “Additional Amounts”); provided, however, that the Company shall not be required to
make any payment of Additional Amounts for or on account of: 
  
 (i) any tax, assessment or other governmental charge that would not have been imposed but for (A) the existence of any present or former connection between such holder, or between a fiduciary, settlor, beneficiary of,
member or shareholder of, or possessor of a power over, such holder, if such holder is an estate, trust, partnership or corporation, and the United States including, without limitation, such holder, or such fiduciary, settlor, beneficiary, member,
shareholder or possessor, being or having been a citizen or resident of the United States of America or treated as a resident thereof or being or having been engaged in trade or business or present in the United States of America, or (B) the
presentation of this Note for payment on a date more than 30 days after the later of (x) the date on which such payment becomes due and payable and (y) the date on which payment thereof is duly provided for; 
  
 (ii) any estate, inheritance, gift, sales, transfer, excise,
personal property or similar tax, assessment or other governmental charge; 
  
 (iii) any tax, assessment or other governmental charge imposed by reason of such holder’s past or present status as a passive foreign investment company, a controlled foreign corporation, a personal holding
company or foreign personal holding company with respect to the United States of America, or as a corporation which accumulates earnings to avoid United States federal income tax; 
  
 (iv) any tax, assessment or other governmental charge which is payable otherwise than by withholding from
payment of principal of or interest on this Note; 
  
 (v) any tax, assessment or other governmental charge required to be withheld by any paying agent from any payment of principal of or interest on this Note if such payment can be made without withholding by any other paying agent;

  
 (vi) any tax, assessment or other
governmental charge which would not have been imposed but for the failure to comply with certification, information, documentation or other reporting requirements concerning the nationality, residence, identity or connections with the United States
of America of the holder or beneficial owner of this Note, if such compliance is required by statute or by regulation of the United States Treasury Department as a precondition to relief or exemption from such tax, assessment or other governmental
charge; 
  
 (vii) any tax, assessment or other
governmental charge imposed on interest received by (A) a 10% shareholder (as defined in Section 871(h)(3)(B) of the United States Internal Revenue Code of 1986, as amended (the “Code”), and the regulations that may be promulgated
thereunder) of the Company or (B) a controlled foreign corporation with respect to the Company within the meaning of the Code; 
  

 2 

 (viii) any withholding or deduction that is imposed on a payment to an individual and is
required to be made pursuant to that European Union Directive relating to the taxation of savings adopted on June 3, 2003 by the European Union’s Economic and Financial Affairs Council, or any law implementing or complying with, or introduced
in order to conform to, such Directive; or 
  
 (ix) any combination of items (i), (ii), (iii), (iv), (v), (vi), (vii) and (viii) in this Section 4(a); 
  
 nor shall any Additional Amounts be paid to any holder who is a fiduciary partnership or other than the sole beneficial owner of this Note to the extent that a
beneficiary or settlor with respect to such fiduciary, or a member of such partnership or a beneficial owner thereof would not have been entitled to the payment of such Additional Amounts had such beneficiary, settlor, member or beneficial owner
been the holder. 
  
 “United States Alien” means any
corporation, partnership, individual or fiduciary that is, as to the United States of America, a foreign corporation, a non-resident alien individual who has not made a valid election to be treated as a United States resident, a non-resident
fiduciary of a foreign estate or trust, or a foreign partnership one or more of the members of which is, as to the United States of America, a foreign corporation, a non-resident alien individual or a non-resident fiduciary of a foreign estate or
trust. 
  
 (b) Redemption Upon a Tax Event. The Notes may
be redeemed at the option of the Company in whole, but not in part, on a date (such date, the “Tax Redemption Date”) to be fixed by the Company on not more than 60 days’ and not less than 30 days’ notice, at a redemption price
equal to 100% of the principal amount of the Notes (the “Redemption Price”) plus accrued but unpaid interest, if any, thereon, if the Company determines that as a result of any change in or amendment to the laws, treaties, regulations or
rulings of the United States of America or any political subdivision or taxing authority thereof, or any proposed change in such laws, treaties, regulations or rulings, or any change in the official application, enforcement or interpretation of such
laws, treaties, regulations or rulings, including a holding by a court of competent jurisdiction in the United States of America, or any other action, other than an action predicated on laws generally known on or before February 10, 2004 except for
proposals before the U.S. Congress before such date, taken by any taxing authority or a court of competent jurisdiction in the United States of America, or the official proposal of any such action, whether or not such action or proposal was taken or
made with respect to the Company, (A) the Company has or will become obligated to pay Additional Amounts or (B) there is a substantial possibility that the Company will be required to pay such Additional Amounts. 
  
 Prior to the publication of any notice of redemption pursuant to Section 15
hereof, the Company shall deliver to the Trustee (1) an Officers’ Certificate stating that the Company is entitled to effect such redemption and setting forth a statement of facts showing that the conditions precedent to the rights of the
Company to so redeem have occurred and (2) an Opinion of Counsel to such effect based on such statement of facts. 
  
 If the Company elects to redeem the Notes pursuant to this Section 4(b), then it shall give notice to the holders pursuant to Section 15 hereof.

  

 3 

 The notice of redemption, shall specify the following: 
  
 (i) the Tax Redemption Date; 
  
 (ii) a brief statement to the effect that the Notes are
being redeemed at the option of the Company pursuant to this Section 4(b) and a brief statement of the facts permitting such redemption; 
  
 (iii) that on the Tax Redemption Date, the Redemption Price, plus accrued but unpaid interest on the Notes, if any, will become due and
payable; 
  
 (iv) the amount of the Redemption
Price and accrued but unpaid interest, if any, that will be due and payable on the Notes on the Tax Redemption Date; 
  
 (v) the place or places of payment of the amounts due under clause (iv) above; 
  
 (vi) that payment of the amounts due under clause (iv) above
will be made upon presentation and surrender of the Notes; and 
  
 (vii) that, following the redemption of the Notes pursuant to this Section 4(b), interest shall cease to accrue thereon. 
  
 The notice of redemption regarding the Notes shall be, at the election of the Company, given by the Company or, at the Company’s request, by the
Trustee in the name and at the expense of the Company. 
  
 On or
before the opening of business on any Tax Redemption Date, the Company shall deposit with the Trustee or with the Paying Agent or, if the Company is acting as its own paying agent, segregate and hold in trust as provided in Section 5.03 of the
Indenture, an amount of money sufficient to pay the Redemption Price of, and except if the Tax Redemption Date shall be an Interest Payment Date, accrued but unpaid interest on, the Notes to be redeemed on the Tax Redemption Date. 
  
 The notice of redemption having been given as specified above, the Notes
shall, on the Tax Redemption Date, become due and payable at the Redemption Price, and from and after such date, unless the Company shall default in the payment of the Redemption Price and accrued but unpaid interest, if any, the Notes shall cease
to bear interest. Upon surrender of the Notes for redemption in accordance with such notice, the Notes shall be paid by the Company at the Redemption Price, together with accrued but unpaid interest, if any, to the Tax Redemption Date. 

 
 If the Notes, having been called for redemption, shall not be so paid upon
surrender thereof for redemption, the Redemption Price shall, until paid, bear interest from the Tax Redemption Date at the interest rate borne by this Note. 
  
 5. Place and Method of Payment. The Company shall pay principal of and interest on the Notes at the office or agency of the Paying Agent in the
Borough of Manhattan, The City of New York; provided, however, that at the option of the Company, the Company may 

  

 4 

 
pay interest by check mailed to the person entitled thereto at such person’s address as it appears on the Registry for the Notes. 
  
 6. Defeasance of the Notes. Sections 11.02, 11.03 and 11.04 of the
Indenture shall apply to the Notes. 
  
 7. No Redemption;
Sinking Fund. The Notes are not redeemable prior to maturity, other than as set forth in Section 4(b) hereof, and are not subject to a sinking fund. 
  
 8. Amendment and Modification. Article Nine of the Indenture contains provisions for the amendment or modification of the Indenture and the Notes
without the consent of the holders in certain circumstances and requiring the consent of holders of not less than a majority in aggregate principal amount of the Notes and Securities of other series that would be affected in certain other
circumstances. However, the Indenture requires the consent of each holder of the Notes and Securities of other series that would be affected for certain specified amendments or modifications of the Indenture and the Notes. These provisions of the
Indenture, which provide for, among other things, the execution of supplemental indentures, are applicable to the Notes. 
  
 9. Default; Waiver. If an Event of Default with respect to the Notes shall occur and be continuing, then either the Trustee or the Holders of not
less than 25% in aggregate principal amount of the Notes of this series then Outstanding may declare the aggregate principal amount of the Notes of this series to be immediately due and payable in the manner, with the effect and subject to the
conditions provided in the Indenture. The Indenture provides that in the event of such a declaration, the holders of a majority in aggregate principal amount of all of the Notes of this series then outstanding, voting as a separate class, in
accordance with the provisions of, and in the circumstances provided by, the Indenture, may rescind and annul the declaration and its consequences and the related default and its consequences may be waived with respect to all of the Notes.

  
 10. Absolute Obligation. No reference herein to the
Indenture and no provisions of the Notes or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and interest on this Note at the place, at the time and in the coin or
currency herein prescribed. 
  
 11. Form and Denominations;
Global Notes; Definitive Notes. The Notes are being issued in registered form without coupons in denominations of $2,000 and multiples of $1,000. The Notes are being issued in the form of global notes (each, a “Global Note”),
evidencing all or any portion of the Notes and registered in the name of DTC or its nominee (including their respective successors) as Depositary under the Indenture. The Notes shall be issued in certificated form (each, a “Definitive
Note”) only in the following limited circumstances: (1) the Depositary is at any time unwilling or unable to continue as Depositary or ceases to be a clearing agency registered under applicable law, and a successor depositary is not appointed
by the Company within 90 days after the Company receives such notice or becomes aware of such ineligibility, (2) the Company delivers to the Trustee a Company Order to the effect that this Note shall be exchangeable for Definitive Notes or (3) an
Event of Default has occurred and is continuing with respect to the Notes, in each such case this Note shall be 

  

 5 

 
exchangeable for Definitive Notes in an equal aggregate principal amount. Such Definitive Notes shall be registered in such name or names as the Depositary
shall instruct the Trustee. 
  
 12. Registration, Transfer and
Exchange. As provided in the Indenture and subject to certain limitations therein set forth, the Company shall provide for the registration of the Notes and the transfer and exchange of the Notes, whether in global or Definitive form. At the
option of the holders, at any office or agency designated and maintained by the Company for such purpose (the “Transfer Agent”) pursuant to the provisions of the Indenture, and in the manner and subject to the limitations provided in the
Indenture, but without the payment of any service charge, except for any transfer tax or other governmental charges imposed in connection therewith subject to Section 4 hereof, the Notes may be transferred or exchanged for an equal aggregate
principal amount of the Notes of like tenor and of other authorized denominations upon surrender and cancellation of the Notes upon any such transfer. 
  
 The Company, the Trustee, and any agent of the Company or of the Trustee may deem and treat the holder as the absolute owner of this Note (whether or not
the Notes shall be overdue and notwithstanding any notation of ownership or other writing hereon), for the purpose of receiving payments hereon, or on account hereof, and for all other purposes, and neither the Company nor the Trustee nor any agent
of the Company or of the Trustee shall be affected by any notice to the contrary. All such payments made to or upon the order of such holder shall, to the extent of the amount or amounts paid, effectually satisfy and discharge liability for moneys
payable on this Note. 
  
 Notwithstanding the preceding paragraphs
of this Section 12, any registration of transfer or exchange of a Global Note shall be subject to the terms of the legend appearing on the initial page thereof. 
  

13. No Recourse Against Others. No recourse under or upon any obligation, covenant or agreement of the Company arising under or set forth in the
Notes or under the Indenture, or for any claim based thereon or otherwise in respect thereof, shall be had against any incorporator, stockholder, officer or director, as such, past, present or future, of the Company or of any successor corporation,
either directly or through the Company or any successor corporation, whether by virtue of any constitution, statute or rule of law or by the enforcement of any assessment or penalty or otherwise, any and all such personal liability, either at common
law or in equity or by constitution or statute, of, and any and all such rights and claims against, every such incorporator, stockholder, officer or director, as such, being, by the acceptance hereof and as part of the consideration for the issue
hereof, expressly waived and released. 
  
 14. Appointment of
Agents. J.P. Morgan Trust Company, National Association is hereby appointed the Registrar for the purpose of registering the Notes and transfers and exchanges of the Notes pursuant to the Indenture and this Note, Paying Agent pursuant to Section
3.04 of the Indenture and Transfer Agent with respect to the Notes at its offices in the Borough of Manhattan, The City of New York. 
  
 15. Notices. If the Company is required to give notice to the holders of the Notes pursuant to the terms of the Indenture, then it shall do so by
the means and in the manner set forth in Section 1.06 of the Indenture. 
  

 6 

 In addition, the Company shall give notices to the holders of the Notes by publication in a leading daily
newspaper in The City of New York. Initially, such publication shall be made in The City of New York in The Wall Street Journal. Any such notice shall be deemed to have been given on the date of publication or, if published more than once, on
the date of the first publication. 
  
 16. Separability. In
case any provision of the Indenture or the Notes shall, for any reason, be held to be invalid, illegal or unenforceable, then the validity, legality and enforceability of the remaining provisions thereof and hereof shall not in any way be affected
or impaired thereby. 
  
 17. GOVERNING LAW. THE NOTES SHALL
BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 
  

 7 

 ASSIGNMENT FORM 
  

To assign this Note, fill in the form below: 
  
 For the value received, the undersigned hereby assigns and transfers the within Note, and all rights thereunder, to: 
  

 (Insert assignee’s
legal name) 
  

 (Insert assignee’s social security or tax identification number) 
  

 (Print or type assignee’s name, address and zip code) 
  

  

  
 and irrevocably appoints 
  

  
 to transfer this Note on the books of Wal-Mart Stores, Inc. The agent may substitute another to act for it. 
  

			
		
	Your Signature:	 	 
	 	 	

	 	 	(Sign exactly as your name appears on the face of this Note)

  
 Date:
                     
  
 Signature Guarantee 
  
 The signature(s) should be Guaranteed by an Eligible Guarantor Institution pursuant to Rule 17Ad-15 of the Securities Exchange Act of 1934, as amended. 
  
 * * * * * 
  
 The following abbreviations, when used in the inscription on the face of the within Note, shall be construed as though they
were written out in full according to applicable laws or regulations: 
  

			
	 TEN COM -
	  	as tenants in common
	 TEN ENT -
	  	as tenants by the entireties
	 JT ENT -
	  	as joint tenants with right of survivorship and not as tenants in common

  

													
	                      UNIF
GIFT MIN ACT -
	 	______	 	Custodian	 	______	 	under the Uniform Gifts to Minors Act	 	______	 	 
	 	 	(Cust)	 	 	 	(Minor)	 	 	 	(State)	 	 

  
 Additional abbreviations may also be
used although not in the above list.Incentive Compensation Plan for Senior Officers

 EXHIBIT 10.2 
  
 Senior Officers 
  
 BORLAND SOFTWARE CORPORATION 
  
 INCENTIVE COMPENSATION PLAN 
  
 FOR SENIOR OFFICERS 
  

	I.	PURPOSE OF THE PLAN 

  
 This Incentive Compensation Plan is intended to promote the interests of Borland Software Corporation, a Delaware corporation (the
“Corporation”), by providing eligible individuals in the Corporation’s employ with the opportunity to participate in a cash bonus program tied to the attainment of personal and corporate performance objectives which will provide them
with a meaningful incentive to remain in the Corporation’s employ and contribute to the Corporation’s financial success. 
  

	II.	DEFINITIONS 

  
 A. “Actual Bonus” shall mean the bonus actually earned by the Participant for one or more Fiscal Quarters in the Year and/or the full
Year, as applicable. 
  
 B. “Base Salary” shall
mean the annual rate of base salary in effect for the Participant at the start of each Year in which he or she participates in the Plan. For an individual who first becomes a Participant after the start of the Year, his or her Base Salary shall be
the annual rate of base salary in effect for him or her on the date of entry into the Plan. In the event a Participant’s Base Salary is increased or decreased during the Year, such adjusted salary shall be reflected in the Fiscal Quarter
following the Fiscal Quarter in which such adjustments took effect, for purposes of calculating the subsequent bonus entitlements of such Participant under the Plan. Base Salary shall be calculated before deduction of (i) any income or employment
tax withholdings, (ii) any contributions made by the Participant to any Code Section 401(k) salary deferral plan or Code Section 125 cafeteria benefit plan now or hereafter established by the Corporation, (iii) any contributions made by the
Participant to the Corporation’s Employee Stock Purchase Plan (“ESPP”), and (iv) any reduction to the Participant’s rate of base salary as a result of any salary reduction election for the Year made by such Participant pursuant
to the Salary Investment Option Grant Program in effect under the Corporation’s 2002 Stock Incentive Plan. The following items of compensation shall not be included in Base Salary: (i) all overtime payments, bonuses, commissions,
profit-sharing distributions and other incentive-type payments, including cash bonuses received under this Plan, (ii) the matching contributions or deferred profit-sharing contributions made by the Corporation under any Code Section 401(a) or 401(k)
plan now or hereafter established and (iii) any and all other contributions (other than Internal Revenue Code Section 401(k) or Section 125 contributions) made on the Participant’s behalf by the Corporation under any employee benefit or welfare
plan now or hereafter established. 
  
 C. “Board”
shall mean the Corporation’s Board of Directors. 
  
 D.
“Code” shall mean the U.S. Internal Revenue Code of 1986, as amended from time to time. 
  

 E. “Annual Bonus Component” shall mean the portion of the Target Bonus that is
contingent upon the Corporation’s attainment of Corporate Performance Objectives for the Year. 
  
 F. “Corporate Performance Objectives” shall mean the financial or other performance milestones the Corporation must attain as a condition
to the Participant’s entitlement to his or her Target Bonus for the applicable period. Corporate Performance Objectives may be tied to operating income, revenue, earnings per share (on a GAAP or non-GAAP basis), net profit, return on equity,
return on sales, capital or assets and other milestones established from time to time by the Plan Administrator. 
  
 G. “Disability” shall mean the inability of the Participant to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment expected to result in death or to continue for a period of twelve (12) consecutive months or more. 
  
 H. “Earn-Out Date” shall mean, for the Quarterly Bonus Component (if applicable), the last business day of each Fiscal Quarter in the
Year and shall be the date on which the Participant’s entitlement (if any) to a payout of his or her Actual Bonus for that Fiscal Quarter shall first accrue. “Earn-Out Date” shall mean, for the Annual Bonus Component, the last
business day of the Year and shall be the date on which the Participant’s entitlement (if any) to a payout of his or her Actual Bonus for that Year shall first accrue. 
  
 I. “Employee Status” shall mean the individual’s performance of services for the Corporation or any
Participating Subsidiary as a regular full-time employee. 
  
 J.
“Executive Officer” shall mean each executive officer of the Corporation who is subject to the reporting and short-swing liability provisions of Section 16 of the Securities Exchange Act of 1934, as amended. 
  
 K. “Fiscal Quarter” shall mean each of the fiscal quarters
within the Year in question under the Plan. 
  
 L.
“Participant” shall mean each Executive Officer of the Corporation, and each Senior Vice President of the Company who is not an Executive Officer of the Corporation, who participates in the Plan in accordance with the eligibility
provisions of Article IV. 
  
 M. “Participating
Subsidiary” shall mean any Subsidiary which has, with the written authorization of the Board, extended the benefits of the Plan to its eligible Participants. The Participating Subsidiaries are listed in the attached Schedule I, which
may be amended from time to time by the Plan Administrator. 
  
 N.
“Personal Performance Objectives” shall mean the performance goals that the Participant must personally attain or the performance milestones which his or her business unit must attain as a condition to the Participant’s
entitlement to the Quarterly Bonus Component of his or her Target Bonus for the applicable period. 
  
 O. “Plan” shall mean this Borland Software Corporation Incentive Compensation Plan, as amended from time to time. 
  

 2 

 P. “Plan Administrator” shall mean the Compensation Committee of the Board in its
capacity as administrator of the Plan. 
  
 Q. “Quarterly
Bonus Component” shall mean the portion of the Target Bonus that is contingent upon (i) the Corporation’s attainment of Corporate Performance Objectives in effect for the Fiscal Quarter, and (ii) the Participant’s
attainment of the Personal Performance Objectives in effect for the relevant Fiscal Quarter. 
  
 R. “Subsidiary” shall mean any corporation (other than the Corporation) in an unbroken chain of corporations beginning with the Corporation, provided each such corporation (other than the last
corporation) in the unbroken chain owns, at the time of the determination, stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 
  
 S. “Target Bonus” shall mean the bonus opportunity provided
each Participant for each Year the Plan remains in effect. The Target Bonus shall be an amount equal to the percentage of the Participant’s Base Salary specified as a potential bonus in the Participant’s employment agreement, or otherwise
specified by the Plan Administrator. 
  
 T.
“Year” shall mean each fiscal year of the Corporation for which the Plan remains in effect. 
  

	III.	ADMINISTRATION OF THE PLAN 

  
 A. The Compensation Committee as Plan Administrator shall have full power and authority (subject to the provisions of the Plan) to establish such rules
and regulations as it may deem appropriate for proper plan administration and to make such determinations under, and issue such interpretations of, the Plan as it may deem advisable. Decisions of the Plan Administrator shall be final and binding on
all parties with an interest in the Plan. 
  
 B. The Plan
Administrator shall, during the course of the Year, have the discretionary authority to adjust the established Corporate Performance Objectives for the Year and for a particular Fiscal Quarter should the Plan Administrator determine, in its sole
discretion, such adjustments are required in order to maintain the objectives and purposes of the Plan. For example, if the Plan Administrator determines that a merger or acquisition will affect the Corporation’s ability to achieve the
Corporate Performance Objectives, the Plan Administrator shall have the discretionary authority to adjust the established Corporate Performance Objectives for the Year and for given Fiscal Quarters should the Plan Administrator determine, in its
sole discretion, such adjustments are reasonable in light of the altered financial situation. 
  
 C. The Plan Administrator shall have the sole and exclusive responsibility to administer all aspects of the Plan with respect to the Participants; provided, however, that the Plan Administrator may delegate any or all
of those responsibilities to the Chairman of the Compensation Committee, in which event such Chairman shall have the authority to administer the Plan with respect to the delegated responsibilities. 
  

 3 

	IV.	ELIGIBILITY 

  
 Each individual who is an Executive Officer or Senior Vice President of the Corporation at the start of the Year or who is hired in such capacity within
the first twenty-one (21) days of that Year shall qualify as a Participant for that Year. Any individual hired as an Executive Officer or Senior Vice President by the Corporation after the first twenty-one (21) days of the Year shall commence
participation in the Plan on the first day of the first Fiscal Quarter in that Year in which he or she is such an Executive Officer or Senior Vice President with at least twenty one (21) days of service in such capacity. 
  

	V.	DETERMINATION OF TARGET BONUS 

  
 A. The Target Bonus shall be an amount equal to the percentage of the Participant’s Base Salary specified as a potential bonus in the
Participant’s employment agreement with the Corporation, or otherwise specified by the Plan Administrator. The Plan Administrator may change a Participant’s level of participation for a particular Year or Fiscal Quarter to take into
account any promotion, demotion or substantial change in job responsibilities. Any such change to a Participant’s level placement shall, at the Plan Administrator’s sole discretion, be made either retroactive to the start of the Fiscal
Quarter in which such change to Participant’s status occurs or prospective to the start of the next Fiscal Quarter. 
  
 B. The Target Bonus shall be comprised of the Quarterly Bonus Component (Article VI) and the Annual Bonus Component (Article VII). The percentages of the
Quarterly Bonus Component and the Annual Bonus Component shall be designated by the Plan Administrator. 
  

	VI.	DETERMINATION OF QUARTERLY BONUS COMPONENT 

  
 A. If and as designated by the Plan Administrator, a Participant may earn a percentage of his or her Target Bonus on a quarterly basis. The percentage of
the Target Bonus constituting the Quarterly Bonus Component shall be designated by the Plan Administrator. The Quarterly Performance Component shall be determined as follows: 
  
 (i) Within thirty (30) days after the start of the Fiscal Quarter, the Plan Administrator shall establish
the Corporate Performance Objectives for the given Fiscal Quarter, and the Participant shall (in conjunction with his or her manager, which may include the Plan Administrator as applicable) establish Personal Performance Objectives. The Corporation
must achieve the Corporate Performance Objectives for the Fiscal Quarter in order for any quarterly bonus to be earned for that Fiscal Quarter. If the Corporation fails to achieve the Corporate Performance Objectives for the Fiscal Quarter, the
Participant shall not be entitled to the Quarterly Bonus Component for such Fiscal Quarter, regardless of the level of the Participant’s achievement of the Personal Performance Objectives. 
  
 (ii) At the end of a Fiscal Quarter, the manager for each
Participant shall assess the percentage attainment of the Personal Performance Objectives for the Fiscal Quarter. If the Corporation achieves its Corporate Performance Objectives for the Fiscal Quarter, then the Participant shall be entitled to a
bonus for the Fiscal Quarter equal to the percentage attainment 

  

 4 

 
of the Personal Performance Objectives multiplied by the Target Bonus constituting the Quarterly Bonus Component for that Fiscal Quarter. 
  
 B. In the event that the Corporation fails to achieve the Corporate
Performance Objectives for any Fiscal Quarter (such that the Quarterly Bonus Component is not paid for that quarter), but achieves the Corporate Performance Objectives for the Year, then a Participant shall receive a “make-up” payment of
an amount equal to the missed Quarterly Bonus Component(s). The “make-up” payment shall be paid at the same time as the Annual Bonus Component payment is made. 
  

	VII.	DETERMINATION OF ANNUAL BONUS COMPONENT 

  
 If and as designated by the Plan Administrator, a Participant may earn a percentage of his or her Target Bonus on an Annual Basis. The percentage of the
Target Bonus constituting the Annual Bonus Component shall be designated by the Plan Administrator. The Annual Bonus Component shall only be earned if and to the extent the Corporate Performance Objectives for the Year are achieved by the
Corporation. The Actual Bonus earned by a Participant under the Plan for a particular Year shall be determined as follows: 
  
 A. Within sixty (60) days after the start of the Year, the Plan Administrator shall establish Corporate Performance Objectives for the Year and the
formula for determining the percentage of the Target Bonus attainable based on achievement of the Corporation Performance Objectives for the Year. 
  
 B. Once the Corporate Performance Objectives for the Year are established, the Participant shall be eligible for the Annual Bonus Component if, and to the
extent that, a particular Corporate Performance Objective for the Year is achieved. If the minimum Corporate Performance Objective for the Year as established by the Plan Administrator is not achieved, the Participant shall not be entitled to any
portion of the Annual Bonus Component of the Target Bonus. 
  
 C.
If the individual becomes a Participant after the start of the Year, then the dollar amount of his or her Annual Bonus Component for that Year shall be pro-rated by multiplying such dollar amount by a fraction, the numerator of which is the number
of calendar months of Employee Status completed by the Participant individual in such Year (rounded to the nearest whole month), and the denominator is twelve (12). 
  

	VIII.	ELIGIBILITY FOR ACTUAL BONUS AND PAYOUT 

  
 A. A Participant shall not earn or otherwise become entitled to any Actual Bonus for a particular Fiscal Quarter or Year unless such Participant continues
in Employee Status through the Earn-Out Date for that Fiscal Quarter or Year. However, should a Participant cease Employee Status before the Earn-Out Date in a particular Fiscal Quarter or Year by reason of death or Disability, then the Participant
(or his or her estate) shall accordingly, receive a dollar amount, payable in accordance with the payment schedule set forth in Paragraph B below, equal to (i) the portion of the Actual Bonus (if any) such Participant would have otherwise earned for
that Fiscal Quarter based on his or her personal performance for the portion of the Fiscal Quarter 

  

 5 

 
preceding his or her death or Disability, and (ii) a portion of the Actual Bonus he or she would have otherwise earned for such Year on the basis of the
actual percentage attainment of the Corporate Performance Objectives for that Year, prorated from the beginning of that particular Year to the date in which the Participant ceases Employee Status. 
  
 B. The Actual Bonus Payment to which each Participant becomes entitled under
the Plan shall be paid as follows: 
  
 (i) The
Quarterly Bonus Component (if any) shall be paid within forty-five (45) days after the close of the Fiscal Quarter for which that portion of the Actual Bonus is earned. 
  
 (ii) The Annual Bonus Component (if any) shall be paid in one payment within forty-five (45) days after the
close of the Year for which that portion of the Actual Bonus is earned. 
  
 Each payment shall be subject to the collection by the Corporation (or the Participating Subsidiary) of all applicable federal, state and local income and employment taxes, and the Participant shall only be paid the amount which remains
after the collection of those taxes. 
  

	IX.	PLAN DURATION AND AMENDMENT 

  
 The Plan shall be in effect for the 2004 Year and for each subsequent fiscal year of the Corporation until the Plan Administrator by appropriate
resolution terminates the Plan, or adopts a new Plan. No Participant shall accrue any rights to receive an Actual Bonus for a particular Fiscal Quarter or Year for which the Plan is outstanding until the Earn-Out Date for that Fiscal Quarter or
Year. Accordingly, the Plan Administrator in its sole discretion may amend or terminate the Plan at any time prior to the Earn-Out Date in effect for a particular Fiscal Quarter or Year, and any such amendment or termination shall be applicable for
that Fiscal Quarter or Year and each subsequent Fiscal Quarter in that Year. 
  

	X.	NON-TRANSFERABILITY 

  
 The right to receive an Actual Bonus under the Plan may not be transferred, assigned, pledged or encumbered. Should a Participant die before receipt of
any Actual Bonus to which he or she becomes entitled under the Plan, then that bonus shall be paid to the Participant’s estate. 
  

	XI.	OTHER INCENTIVE PLANS 

  
 The Plan constitutes the full and entire understanding and agreement between the Corporation and each of the Participants with respect to the subject
matter hereof, and it supersedes all prior or contemporaneous agreements and understandings, whether oral or written, relating to the subject matter of the Plan. 
  

 6 

	XII.	COUNTERPARTS 

  
 This Plan and acknowledgements thereof may be executed in any number of counterparts, each of which shall be an original, but all of which together shall
constitute one instrument. 
  

	XIII.	NO EMPLOYMENT RIGHTS 

  
 Nothing in the Plan shall confer upon a Participant any right to continue in Executive or Employee Status for any period of specific duration or interfere
with or otherwise restrict in any way the rights of the Corporation or any Participating Subsidiary or of the Participant, which rights are hereby expressly reserved by each, to terminate the Executive or Employee Status of the Participant at any
time for any reason, with or without cause. 
  

	XIV.	GOVERNING LAW 

  
 The provisions of the Plan shall be governed by and construed in accordance with the laws of the State of California without resort to the
conflict-of-laws rules thereof or of any other jurisdiction. 
  
 IN WITNESS WHEREOF, Borland Software Corporation has caused this instrument to be executed on by its behalf by it duly-authorized officer as of the              day
of                     , 2004. 
  

			
	BORLAND SOFTWARE CORPORATION
		
	 By:
	 	 
	 	 	

	 	 	 Name: Timothy J. Stevens
 Title:   Senior Vice President and General
             Counsel

  
 AGREED AND ACCEPTED

  
 ________________________________ 
  

 7 

 Senior Officers 
  
 SCHEDULE I 
  
 LIST OF PARTICIPATING SUBSIDIARIES 
  
 None

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00063-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00063-of-00352.parquet"}]]