Document:

<PAGE>   1
                                                                    EXHIBIT 4.4

                         FORM OF SUBORDINATED INDENTURE

================================================================================

                            PETROQUEST ENERGY, INC.

                                   as Issuer

                                      and

                            ________________________

                                   as Trustee

                                   Indenture

                        Dated as of ______________, ____

                          Subordinated Debt Securities

================================================================================
<PAGE>   2

                            PETROQUEST ENERGY, INC.

          Reconciliation and tie between Trust Indenture Act of 1939
                  and Indenture, dated as of _______________

Section of
Trust Indenture                                             Section(s) of
Act of 1939                                                   Indenture
-----------                                                   ---------

(S) 310    (a)(1)..........................................           7.10
           (a)(2)..........................................           7.10
           (a)(3).......................................... Not Applicable
           (a)(4).......................................... Not Applicable
           (a)(5)..........................................           7.10
           (b).............................................     7.08, 7.10
(S) 311    (a).............................................           7.11
           (b).............................................           7.11
           (c)............................................. Not Applicable
(S) 312    (a).............................................           2.07
           (b).............................................          11.03
           (c).............................................          11.03
(S) 313    (a).............................................           7.06
           (b).............................................           7.06
           (c).............................................           7.06
           (d).............................................           7.06
(S) 314    (a).............................................     4.03, 4.04
           (b)............................................. Not Applicable
           (c)(1)..........................................          11.04
           (c)(2)..........................................          11.04
           (c)(3).......................................... Not Applicable
           (d)............................................. Not Applicable
           (e).............................................          11.05
(S) 315    (a).............................................           7.01(b)
           (b).............................................           7.05
           (c).............................................           7.01(a)
           (d).............................................           7.01(c)
           (d)(1)..........................................         7.01(c)(1)
           (d)(2)..........................................         7.01(c)(2)
           (d)(3)..........................................         7.01(c)(3)
           (e).............................................           6.11
(S) 316    (a)(1)(A).......................................           6.05
           (a)(1)(B).......................................           6.04
           (a)(2).......................................... Not Applicable
           (a)(last sentence)..............................           2.11
           (b).............................................           6.07
(S) 317    (a)(1)..........................................           6.08
           (a)(2)..........................................           6.09
           (b).............................................           2.06
(S) 318    (a).............................................          11.01

______________
Note:  This reconciliation and tie shall not, for any purpose, be deemed to be a
part of the Indenture.
<PAGE>   3

ARTICLE I         DEFINITIONS AND INCORPORATION BY REFERENCE.................  1
 SECTION 1.01     Definitions................................................  1
 SECTION 1.02     Other Definitions..........................................  6
 SECTION 1.03     Incorporation by Reference of Trust Indenture Act..........  7
 SECTION 1.04     Rules of Construction......................................  7

ARTICLE II        THE SECURITIES.............................................  7
 SECTION 2.01     Amount Unlimited; Issuable in Series.......................  7
 SECTION 2.02     Denominations.............................................. 10
 SECTION 2.03     Forms Generally............................................ 10
 SECTION 2.04     Execution, Authentication, Delivery and Dating............. 11
 SECTION 2.05     Registrar and Paying Agent................................. 13
 SECTION 2.06     Paying Agent to Hold Money in Trust........................ 13
 SECTION 2.07     Holder Lists............................................... 14
 SECTION 2.08     Transfer and Exchange...................................... 14
 SECTION 2.09     Replacement Securities..................................... 14
 SECTION 2.10     Outstanding Securities..................................... 15
 SECTION 2.11     Original Issue Discount, Foreign-Currency Denominated and
                  Treasury Securities.                                        15
 SECTION 2.12     Temporary Securities....................................... 16
 SECTION 2.13     Cancellation............................................... 16
 SECTION 2.14     Payments; Defaulted Interest............................... 16
 SECTION 2.15     Persons Deemed Owners...................................... 17
 SECTION 2.16     Computation of Interest.................................... 17
 SECTION 2.17     Global Securities; Book-Entry Provisions................... 17

ARTICLE III       REDEMPTION................................................. 19
 SECTION 3.01     Applicability of Article................................... 19
 SECTION 3.02     Notice to the Trustee...................................... 19
 SECTION 3.03     Selection of Securities To Be Redeemed..................... 19
 SECTION 3.04     Notice of Redemption....................................... 20
 SECTION 3.05     Effect of Notice of Redemption............................. 21
 SECTION 3.06     Deposit of Redemption Price................................ 21
 SECTION 3.07     Securities Redeemed or Purchased in Part................... 21
 SECTION 3.08     Purchase of Securities..................................... 21
 SECTION 3.09     Mandatory and Optional Sinking Funds....................... 22
 SECTION 3.10     Satisfaction of Sinking Fund Payments with Securities...... 22
 SECTION 3.11     Redemption of Securities for Sinking Fund.................. 22

ARTICLE IV        COVENANTS.................................................. 23
 SECTION 4.01     Payment of Securities...................................... 23
 SECTION 4.02     Maintenance of Office or Agency............................ 23
 SECTION 4.03     SEC Reports; Financial Statements.......................... 24
 SECTION 4.04     Compliance Certificate..................................... 24
 SECTION 4.05     Existence.................................................. 25
 SECTION 4.06     Waiver of Stay, Extension or Usury Laws.................... 25
<PAGE>   4

<TABLE>
<S>               <C>                                                                   <C>
 SECTION 4.07     Additional Amounts.................................................   25

 ARTICLE V        SUCCESSORS.........................................................   26
         5.01     Limitations on Mergers, Consolidations and Other Transactions......   26
 SECTION 5.02     Successor Person Substituted.......................................   26

ARTICLE VI        DEFAULTS AND REMEDIES..............................................   27
 SECTION 6.01     Events of Default..................................................   27
 SECTION 6.02     Acceleration.......................................................   28
 SECTION 6.03     Other Remedies.....................................................   29
 SECTION 6.04     Waiver of Defaults.................................................   29
 SECTION 6.05     Control by Majority................................................   30
 SECTION 6.06     Limitations on Suits...............................................   30
 SECTION 6.07     Rights of Holders to Receive Payment...............................   31
 SECTION 6.08     Collection Suit by Trustee.........................................   31
 SECTION 6.09     Trustee May File Proofs of Claim...................................   31
 SECTION 6.10     Priorities.........................................................   32
 SECTION 6.11     Undertaking for Costs..............................................   32

ARTICLE VII       TRUSTEE............................................................   33
 SECTION 7.01     Duties of Trustee..................................................   33
 SECTION 7.02     Rights of Trustee..................................................   34
 SECTION 7.03     May Hold Securities................................................   34
 SECTION 7.04     Trustee's Disclaimer...............................................   34
 SECTION 7.05     Notice of Defaults.................................................   35
 SECTION 7.06     Reports by Trustee to Holders......................................   35
 SECTION 7.07     Compensation and Indemnity.........................................   35
 SECTION 7.08     Replacement of Trustee.............................................   36
 SECTION 7.09     Successor Trustee by Merger, etc...................................   37
 SECTION 7.10     Eligibility; Disqualification......................................   38
 SECTION 7.11     Preferential Collection of Claims Against Company..................   38

ARTICLE VIII      DISCHARGE OF INDENTURE.............................................   38
 SECTION 8.01     Termination of Company's Obligations...............................   38
 SECTION 8.02     Application of Trust Money.........................................   42
 SECTION 8.03     Repayment to Company...............................................   42
 SECTION 8.04     Reinstatement......................................................   42

ARTICLE IX        SUPPLEMENTAL INDENTURES AND AMENDMENTS.............................   43
 SECTION 9.01     Without Consent of Holders.........................................   43
 SECTION 9.02     With Consent of Holders............................................   44
 SECTION 9.03     Compliance with Trust Indenture Act................................   46
 SECTION 9.04     Revocation and Effect of Consents..................................   46
 SECTION 9.05     Notation on or Exchange of Securities..............................   47
 SECTION 9.06     Trustee to Sign Amendments, etc....................................   47
</TABLE>
<PAGE>   5

<TABLE>
<S>               <C>                                                                  <C>
ARTICLE X         SUBORDINATION......................................................  47
 SECTION 10.01    Securities Subordinated to Senior Indebtedness.....................  47
 SECTION 10.02    No Payment on Securities in Certain Circumstances..................  48
 SECTION 10.03    Securities Subordinated to Prior Payment of All Senior Indebtedness
                  on Dissolution, Liquidation or Reorganization......................  49
 SECTION 10.04    Subrogation to Rights of Holders of Senior Indebtedness............  50
 SECTION 10.05    Obligations of the Company Unconditional...........................  50
 SECTION 10.06    Trustee Entitled to Assume Payments Not Prohibited in
                  Absence of Notice..................................................  51
 SECTION 10.07    Application by Trustee of Amounts Deposited with It................  51
 SECTION 10.08    Subordination Rights Not Impaired by Acts or Omissions of
                  the Company or Holders of Senior Indebtedness......................  52
 SECTION 10.09    Trustee to Effectuate Subordination of Securities..................  52
 SECTION 10.10    Right of Trustee to Hold Senior Indebtedness.......................  52
 SECTION 10.11    Article X Not to Prevent Events of Default.........................  53
 SECTION 10.12    No Fiduciary Duty of Trustee to Holders of Senior Indebtedness.....  53
 SECTION 10.13    Article Applicable to Paying Agent.................................  53

ARTICLE XI MISCELLANEOUS                                                               53
 SECTION 11.01    Trust Indenture Act Controls.......................................  53
 SECTION 11.02    Notices............................................................  53
 SECTION 11.03    Communication by Holders with Other Holders........................  55
 SECTION 11.04    Certificate and Opinion as to Conditions Precedent.................  55
 SECTION 11.05    Statements Required in Certificate or Opinion......................  55
 SECTION 11.06    Rules by Trustee and Agents........................................  55
 SECTION 11.07    Legal Holidays.....................................................  56
 SECTION 11.08    No Recourse Against Others.........................................  56
 SECTION 11.09    Governing Law......................................................  56
 SECTION 11.10    No Adverse Interpretation of Other Agreements......................  56
 SECTION 11.11    Successors.........................................................  56
 SECTION 11.12    Severability.......................................................  56
 SECTION 11.13    Counterpart Originals..............................................  56
 SECTION 11.14    Table of Contents, Headings, etc...................................  57
</TABLE>
<PAGE>   6
     INDENTURE dated as of _______________ between
Petroquest Energy, Inc., a Delaware corporation (the "Company"), and
____________________, as trustee (the "Trustee").

     Each party agrees as follows for the benefit of the other party and for the
equal and ratable benefit of the Holders of the Company's unsecured subordinated
debentures, notes or other evidences of indebtedness (the "Securities") to be
issued from time to time in one or more series as provided in this Indenture:

                                   ARTICLE I
                  DEFINITIONS AND INCORPORATION BY REFERENCE

SECTION 1.01   Definitions.

     "Additional Amounts" means any additional amounts required by the express
terms of a Security or by or pursuant to a Board Resolution, under circumstances
specified therein or pursuant thereto, to be paid by the Company with respect to
certain taxes, assessments or other governmental charges imposed on certain
Holders and that are owing to those Holders.

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

     "Agent" means any Registrar or Paying Agent.

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

     "Board of Directors" means the Board of Directors of the Company or any
committee thereof duly authorized, with respect to any particular matter, to act
by or on behalf of the Board of Directors of the Company.

     "Board Resolution" means a copy of a resolution certified by the Secretary
or an Assistant Secretary of the Company to have been duly adopted by the Board
of Directors and to be in full force and effect on the date of that
certification, and delivered to the Trustee.

     "Business Day" means any day that is not a Legal Holiday.

     "Capital Stock" means, with respect to any corporation, any and all shares,
interests, rights to purchase (other than convertible or exchangeable
Indebtedness), warrants, options, participations or other equivalents of or
interests (however designated) in stock issued by that corporation.

     "Capitalized Lease Obligation" of any Person means any obligation of that
Person to pay rent or other amounts under a lease of property, real or personal,
that is required to be capitalized

                                       1
<PAGE>   7

for financial reporting purposes in accordance with GAAP; and the amount of that
obligation shall be the capitalized amount thereof determined in accordance with
GAAP.

     "Company" means the Person named as the "Company" in the first paragraph of
this instrument until a successor corporation shall have become such pursuant to
the applicable provisions of this Indenture, and thereafter "Company" shall mean
that successor corporation; provided, however, that for purposes of any
provision contained herein which is required by the TIA, "Company" shall also
mean each other obligor (if any) on the Securities of a series.

     "Company Order" and "Company Request" mean, respectively, a written order
or request signed in the name of the Company by two Officers of the Company, and
delivered to the Trustee.

     "Corporate Trust Office" of the Trustee means the office of the Trustee
located at  ____________________, and as may be located at such other address as
the Trustee may give notice to the Company.

     "Default" means any event, act or condition that is, or after notice or the
passage of time or both would be, an Event of Default.

     "Depositary" means, with respect to the Securities of any series issuable
or issued in whole or in part in global form, the Person specified pursuant to
Section 2.01 hereof as the initial Depositary with respect to the Securities of
that series, until a successor shall have been appointed and become such
pursuant to the applicable provision of this Indenture, and thereafter
"Depositary" shall mean or include that successor.

     "Designated Senior Indebtedness," unless otherwise provided with respect to
the Securities of a series as contemplated by Section 2.01, means any Senior
Indebtedness of the Company that (i) in the instrument evidencing the same or
the assumption or guarantee thereof (or related documents to which the Company
is a party) is expressly designated as "Designated Senior Indebtedness" for
purposes of this Indenture and (ii) satisfies such other conditions as may be
provided with respect to the Securities of that series; provided that those
instruments or documents may place limitations and conditions on the right of
that Senior Indebtedness to exercise the rights of Designated Senior
Indebtedness.

     "Disqualified Capital Stock" means, when used with respect to the
Securities of any series, (i) except as set forth in (ii), with respect to any
Person, Capital Stock of that Person that, by its terms or by the terms of any
security into which it is convertible, exercisable or exchangeable, is, or on
the happening of an event or the passage of time would be, required to be
redeemed or repurchased (including at the option of the holder thereof) by that
Person or any Subsidiary of that Person, in whole or in part, on or prior to the
last Stated Maturity of the Securities of that series, and (ii) with respect to
any Subsidiary of that Person (including with respect to any Subsidiary of the
Company), any Capital Stock other than any common stock with no preference,
privileges, or redemption or repayment provisions.

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

                                       2
<PAGE>   8

     "Exchange Act" means the Securities Exchange Act of 1934, as amended, and
any successor statute.

     "GAAP" means generally accepted accounting principles in the United States
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, as in effect from time to time.

     "Global Security" of any series means a Security of that Series that is
issued in global form in the name of the Depositary with respect thereto or its
nominee.

     "Government Obligations" means, with respect to a series of Securities,
direct obligations of the government that issues the currency in which the
Securities of the series are payable for the payment of which the full faith and
credit of that government is pledged, or obligations of a Person controlled or
supervised by and acting as an agency or instrumentality of that government, the
payment of which is unconditionally guaranteed as a full faith and credit
obligation by that government.

     "Holder" means a Person in whose name a Security is registered.

     "Indebtedness" of any Person means, without duplication, (i) all
indebtedness of that Person for borrowed money (whether or not the recourse of
the lender is to the whole of the assets of that Person or only to a portion
thereof), (ii) all obligations of that Person evidenced by bonds, debentures,
notes or other similar instruments, (iii) all obligations of that Person in
respect of letters of credit or other similar instruments (or reimbursement
obligations with respect thereto), other than standby letters of credit, bid or
performance bonds and other similar obligations issued by or for the account of
that Person in the ordinary course of business, to the extent not drawn or, to
the extent drawn, if that drawing is reimbursed not later than 30 Business Days
following demand for reimbursement, (iv) all obligations of that Person to pay
the deferred and unpaid purchase price of property or services, except trade
payables, advances on contracts and accrued expenses arising in the ordinary
course of business, (v) all Capitalized Lease Obligations of that Person, (vi)
all Indebtedness of others secured by a Lien on any asset of that Person,
whether or not that Indebtedness is assumed by that Person (provided that if the
obligations so secured have not been assumed in full by that Person or are not
otherwise that Person's legal liability in full, then those obligations shall be
deemed to be in an amount equal to the greater of (a) the lesser of (1) the full
amount of those obligations and (2) the fair market value of those assets, as
determined in good faith by the board of directors or other managing body of
that Person and (b) the amount of obligations as have been assumed by that
Person or which are otherwise that Person's legal liability), and (vii) all
guarantees by that Person of or with respect to Indebtedness of others (other
than endorsements in the ordinary course of business), in each case to the
extent of the Indebtedness guaranteed.

     "Indenture" means this Indenture as amended or supplemented from time to
time pursuant to the provisions hereof, and includes the terms of a particular
series of Securities established as contemplated by Section 2.01.

                                       3
<PAGE>   9

     "interest" means, with respect to an Original Issue Discount Security that
by its terms bears interest only after Maturity, interest payable after
Maturity.

     "Interest Payment Date," when used with respect to any Security, shall have
the meaning assigned to that term in the Security as contemplated by Section
2.01.

     "Issue Date" means, with respect to Securities of a series, the date on
which the Securities of that series are originally issued under this Indenture.

     "Junior security" of a Person means, when used with respect to the
Securities of any series, any Qualified Capital Stock of that Person or any
Indebtedness of that Person that is subordinated in right of payment to Senior
Indebtedness of the Company to substantially the same extent as, or to a greater
extent than, the Securities of that series and has no scheduled installment of
principal due, by redemption, sinking fund payment or otherwise, on or prior to
the last Stated Maturity of the Securities of that series.

     "Legal Holiday" means a Saturday, a Sunday or a day on which banking
institutions in any of The City of New York, New York, _______________, Houston,
Texas or a Place of Payment are authorized or obligated by law, regulation or
executive order to remain closed.

     "Maturity" means, with respect to any Security, the date on which the
principal of that Security or an installment of principal becomes due and
payable as therein or herein provided, whether at the Stated Maturity thereof,
or by declaration of acceleration, call for redemption or otherwise.

     "Officer" means the Chairman of the Board, the President, any Vice Chairman
of the Board, any Vice President, the Chief Financial Officer, the Treasurer,
any Assistant Treasurer, the Controller, the Secretary or any Assistant
Secretary of a Person.

     "Officers' Certificate" means a certificate signed by two Officers of a
Person.

     "Opinion of Counsel" means a written opinion from legal counsel who is
acceptable to the Trustee. That counsel may be an employee of or counsel to the
Company or the Trustee.

     "Original Issue Discount Security" means any Security that provides for an
amount less than the principal amount thereof to be due and payable on a
declaration of acceleration of the Maturity thereof pursuant to Section 6.02.

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

     "Place of Payment" means, with respect to the Securities of any series, the
place or places where, subject to the provisions of Section 4.02, the principal
of, premium (if any) on and interest on the Securities of that series are
payable as specified in accordance with Section 2.01.

                                       4
<PAGE>   10

     "principal" of a Security means the principal of the Security plus, when
appropriate, the premium, if any, on the Security.

     "Qualified Capital Stock" means any Capital Stock of the Company that is
not Disqualified Capital Stock.

     "Redemption Date" means, with respect to any Security to be redeemed, the
date fixed for that redemption by or pursuant to this Indenture.

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

     "Rule 144A Securities" means Securities of a series designated pursuant to
Section 2.01 as entitled to the benefits of Section 4.03(b).

     "SEC" means the Securities and Exchange Commission.

     "Securities" has the meaning stated in the preamble of this Indenture and
more particularly means any Securities authenticated and delivered under this
Indenture.

     "Security Custodian" means, with respect to Securities of a series issued
in global form, the Trustee for Securities of that series, as custodian with
respect to the Securities of that series, or any successor entity thereto.

     "Senior Indebtedness" of the Company, unless otherwise provided with
respect to the Securities of a series as contemplated by Section 2.01, means (i)
the principal of and premium, if any, and interest on (including interest
accruing or becoming owing prior to or subsequent to the commencement of any
proceeding against or with respect to the Company under any bankruptcy law) and
other amounts due on or in connection with any Indebtedness of the Company,
whether currently outstanding or hereafter incurred, issued or assumed, unless,
by the terms of the instrument creating or evidencing that Indebtedness, it is
provided that such Indebtedness is not superior in right of payment to the
Securities or to other Indebtedness which is pari passu with or subordinated to
the Securities, and (ii) any modifications, refunding, deferrals, renewals or
extensions of any such Indebtedness or securities, notes or other evidences of
Indebtedness issued in exchange for that Indebtedness; provided that in no event
shall "Senior Indebtedness" of the Company include Indebtedness of the Company
for borrowed money owed or owing to any Subsidiary of the Company or any
executive officer or director of the Company.

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

     "Subsidiary" means a corporation more than 50% of the outstanding voting
stock of which is owned, directly or indirectly, by the Company or by one or
more other Subsidiaries, or by the Company and one or more other Subsidiaries.
For the purposes of this definition, "voting stock" means stock that ordinarily
has voting power for the election of directors, whether at all times or only so
long as no senior class of stock has that voting power by reason of any
contingency.

                                       5
<PAGE>   11

     "TIA" means the Trust Indenture Act of 1939, as amended (15 U.S.C. (S)(S)
77aaa-77bbbb), as in effect on the date hereof.

     "Trust Officer" means any officer or assistant officer of the Trustee
assigned by the Trustee to administer its corporate trust matters.

     "Trustee" means the Person named as such above until a successor replaces
it in accordance with the applicable provisions of this Indenture, and
thereafter "Trustee" means each Person who is then a Trustee hereunder, and if
at any time there is more than one such Person, "Trustee" as used with respect
to the Securities of any series means the Trustee with respect to Securities of
that series.

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

     "United States Alien" means any Person who, for United States federal
income tax purposes, is a foreign corporation, a nonresident alien individual, a
nonresident alien or foreign fiduciary of an estate or trust, or a foreign
partnership.

     "U.S. Government Obligations" means Government Obligations with respect to
Securities payable in Dollars.

SECTION 1.02    Other Definitions.

Defined

                                                     Defined
          Term                                     in Section
          ----                                     ----------

          "Bankruptcy Custodian"................       6.01
          "Conversion Event"....................       6.01
          "covenant defeasance".................       8.01
          "Event of Default"....................       6.01
          "Exchange Rate".......................       2.11
          "Judgment Currency"...................       6.10
          "legal defeasance"....................       8.01
          "mandatory sinking fund payment"......       3.09
          "optional sinking fund payment".......       3.09
          "Paying Agent"........................       2.05
          "Payment Default".....................      10.02
          "Payment Blocking Notice".............      10.02
          "Registrar"...........................       2.05
          "Required Currency"...................       6.10
          "Successor"...........................       5.01

                                       6
<PAGE>   12

SECTION 1.03   Incorporation by Reference of Trust Indenture Act.

     Whenever this Indenture refers to a provision of the TIA, the provision is
incorporated by reference in and made a part of this Indenture. The following
TIA terms used in this Indenture have the following meanings:

          "Commission" means the SEC.

          "indenture securities" means the Securities.

          "indenture security holder" means a Holder.

          "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 Securities.

     All terms used in this Indenture that are defined by the TIA, defined by a
TIA reference to another statute or defined by an SEC rule under the TIA have
the meanings so assigned to them.

SECTION 1.04   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;

          (3)  "or" is not exclusive;

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

          (5)  provisions apply to successive events and transactions; and

          (6)  all references in this instrument to Articles and Sections are
     references to the corresponding Articles and Sections in and of this
     instrument .

                                  ARTICLE II
                                THE SECURITIES

SECTION 2.01   Amount Unlimited; Issuable in Series.

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

                                       7
<PAGE>   13

     The Securities may be issued in one or more series. There shall be
established in or pursuant to a Board Resolution, and set forth, or determined
in the manner provided, in an Officers' Certificate or in a Company Order, or
established in one or more indentures supplemental hereto, prior to the issuance
of Securities of any series:

          (1)  the title of the Securities of the series (which shall
     distinguish the Securities of the series from the Securities of all other
     series);

          (2)  if there is to be a limit, the limit on the aggregate principal
     amount of the Securities of the series that may be authenticated and
     delivered under this Indenture (except for Securities authenticated and
     delivered on registration of transfer of, or in exchange for, or in lieu
     of, other Securities of the series pursuant to Section 2.08, 2.09, 2.12,
     2.17, 3.07 or 9.05 and except for any Securities that, pursuant to Section
     2.04 or 2.17, are deemed never to have been authenticated and delivered
     hereunder); provided, however, that unless otherwise provided in the terms
     of the series, the authorized aggregate principal amount of that series may
     be increased before or after the issuance of any Securities of the series
     by a Board Resolution (or action pursuant to a Board Resolution) to that
     effect;

          (3)  whether any Securities of the series are to be issuable initially
     in temporary global form and whether any Securities of the series are to be
     issuable in permanent global form, as Global Securities or otherwise, and,
     if so, whether beneficial owners of interests in any such Global Security
     may exchange those interests for Securities of that series and of like
     tenor of any authorized form and denomination and the circumstances under
     which those exchanges may occur, if other than in the manner provided in
     Section 2.17, and the initial Depositary and Security Custodian, if any,
     for any Global Security or Securities of that series;

          (4)  (i)  if other than provided herein, the Person to whom any
     interest on Securities of the series shall be payable, and (ii) the manner
     in which any interest payable on a temporary Global Security on any
     Interest Payment Date will be paid if other than in the manner provided in
     Section 2.14;

          (5)  the date or dates on which the principal of (and premium, if any,
     on) the Securities of the series is payable or the method of determination
     thereof;

          (6)  the rate or rates, or the method of determination thereof, at
     which the Securities of the series shall bear interest, if any, whether and
     under what circumstances Additional Amounts with respect to those
     Securities shall be payable, the date or dates from which that interest
     shall accrue, the Interest Payment Dates on which that interest shall be
     payable and the record date for the interest payable on any Securities on
     any Interest Payment Date;

          (7)  the place or places where, subject to the provisions of Section
     4.02, the principal of, premium (if any) and interest on and any Additional
     Amounts with respect to the Securities of the series shall be payable;

                                       8
<PAGE>   14

          (8)  the period or periods within which, the price or prices (whether
     denominated in cash, securities or otherwise) at which and the terms and
     conditions on which Securities of the series may be redeemed, in whole or
     in part, at the option of the Company, if the Company is to have that
     option, and the manner in which the Company may exercise any such option,
     if different from those set forth herein;

          (9)  the obligation, if any, of the Company to redeem, purchase or
     repay Securities of the series pursuant to any sinking fund or analogous
     provisions or at the option of a Holder thereof and the period or periods
     within which, the price or prices (whether denominated in cash, securities
     or otherwise) at which and the terms and conditions on which Securities of
     the series shall be redeemed, purchased or repaid in whole or in part
     pursuant to that obligation;

          (10) if other than denominations of $1,000 and any integral multiple
     thereof, the denomination in which any Securities of that series shall be
     issuable;

          (11) if other than Dollars, the currency or currencies (including
     composite currencies) or the form, including equity securities, other debt
     securities (including Securities), warrants or any other securities or
     property of the Company or any other Person, in which payment of the
     principal of, premium (if any) and interest on and any Additional Amounts
     with respect to the Securities of the series shall be payable;

          (12) if the principal of, premium (if any) or interest on or any
     Additional Amounts with respect to the Securities of the series are to be
     payable, at the election of the Company or a Holder thereof, in a currency
     or currencies (including composite currencies) other than that in which the
     Securities are stated to be payable, the currency or currencies (including
     composite currencies) in which payment of the principal, premium (if any),
     interest and any Additional Amounts with respect to Securities of that
     series as to which that election is made shall be payable, and the periods
     within which and the terms and conditions on which that election is to be
     made;

          (13) if the amount of payments of principal, premium (if any),
     interest and any Additional Amounts with respect to the Securities of the
     series may be determined with reference to any commodities, currencies or
     indices, values, rates or prices or any other index or formula, the manner
     in which those amounts shall be determined;

          (14) if other than the entire principal amount thereof, the portion of
     the principal amount of Securities of the series that shall be payable on
     declaration of acceleration of the Maturity thereof pursuant to Section
     6.02;

          (15) any additional means of satisfaction and discharge of this
     Indenture and any additional conditions or limitations to discharge with
     respect to Securities of the series pursuant to Article VIII or any
     modifications of or deletions from those conditions or limitations;

          (16) any deletions or modifications of or additions to the Events of
     Default set forth in Section 6.01 or covenants of the Company set forth in
     Article IV pertaining to the Securities of the series;

                                       9
<PAGE>   15

          (17) any restrictions or other provisions with respect to the transfer
     or exchange of Securities of the series, which may amend, supplement,
     modify or supersede those contained in this Article II;

          (18) if the Securities of the series are to be convertible into or
     exchangeable for Capital Stock, other debt securities (including
     Securities), warrants, other equity securities or any other securities or
     property of the Company or any other Person, at the option of the Company
     or the Holder or on the occurrence of any condition or event, the terms and
     conditions for that conversion or exchange;

          (19) if the Securities of the series are to be entitled to the benefit
     of Section 4.03(b) (and accordingly constitute Rule 144A Securities);

          (20) any modifications to, or qualifications contemplated by, the
     definition of "Designated Senior Indebtedness," any modifications to the
     definition of "Senior Indebtedness" of the Company or any modifications to
     Article X or the other provisions regarding subordination with respect to
     the Securities of that series; and

          (21) any other terms of the series (which terms shall not be
     prohibited by the provisions of this Indenture).

     All Securities of any one series shall be substantially identical except as
to denomination and except as may otherwise be provided in or pursuant to the
Board Resolution referred to above and (subject to Section 2.03) set forth, or
determined in the manner provided, in the Officers' Certificate or Company Order
referred to above or in any such indenture supplemental hereto.

     If any of the terms of the series are established by action taken pursuant
to a Board Resolution, a copy of an appropriate record of that action together
with that Board Resolution shall be set forth in an Officers' Certificate or
certified by the Secretary or an Assistant Secretary of the Company and
delivered to the Trustee at or prior to the delivery of the Officers'
Certificate or Company Order setting forth the terms of the series.

     The Securities shall be subordinated in right of payment to Senior
Indebtedness of the Company as provided in Article X.

SECTION 2.02   Denominations.

     The Securities of each series shall be issuable in such denominations as
shall be specified as contemplated by Section 2.01. In the absence of any such
provisions with respect to the Securities of any series, the Securities of that
series denominated in Dollars shall be issuable in denominations of $1,000 and
any integral multiples thereof.

SECTION 2.03   Forms Generally.

     The Securities of each series shall be in fully registered form and in
substantially the form or forms (including temporary or permanent global form)
established by or pursuant to a Board Resolution or in one or more indentures
supplemental hereto. The Securities may have

                                       10
<PAGE>   16

notations, legends or endorsements required by law, securities exchange rule,
the Company's certificate of incorporation, bylaws or other similar governing
documents, agreements to which the Company is subject, if any, or usage
(provided that any such notation, legend or endorsement is in a form acceptable
to the Company). A copy of the Board Resolution establishing the form or forms
of Securities of any series shall be delivered to the Trustee at or prior to the
delivery of the Company Order contemplated by Section 2.04 for the
authentication and delivery of those Securities.

     The definitive Securities of each series shall be printed, lithographed or
engraved on steel engraved borders or may be produced in any other manner, all
as determined by the Officers executing those Securities, as evidenced by their
execution thereof.

     The Trustee's certificate of authentication shall be in substantially the
following form:

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

                              _________________________, as Trustee

                              By: _____________________________________

                                    Authorized Officer".

SECTION 2.04   Execution, Authentication, Delivery and Dating.

     Two Officers of the Company shall sign the Securities of each series on
behalf of the Company by manual or facsimile signature. The Company's seal, if
any, shall be impressed, affixed, imprinted or reproduced on the Securities and
may be in facsimile form.

     If an Officer of the Company whose signature is on a Security no longer
holds that office at the time the Security is authenticated, the Security shall
be valid nevertheless.

     A Security shall not be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose until authenticated by the manual signature
of an authorized signatory of the Trustee, which signature shall be conclusive
evidence that the Security has been authenticated under this Indenture.
Notwithstanding the foregoing, if any Security has been authenticated and
delivered hereunder but never issued and sold by the Company, and the Company
delivers that Security to the Trustee for cancellation as provided in Section
2.13 together with a written statement (which need not comply with Section 11.05
and need not be accompanied by an Opinion of Counsel) stating that such Security
has never been issued and sold by the Company, for all purposes of this
Indenture that Security shall be deemed never to have been authenticated and
delivered hereunder and shall never be entitled to the benefits of this
Indenture.

     At any time and from time to time after the execution and delivery of this
Indenture, the Company may deliver Securities of any series executed by the
Company to the Trustee for authentication, and the Trustee shall authenticate
and deliver those Securities for original issue on a Company Order for the
authentication and delivery of those Securities or pursuant to such procedures
reasonably acceptable to the Trustee as may be specified from time to time by

                                       11
<PAGE>   17

Company Order. That order shall specify the amount of the Securities to be
authenticated, the date on which the original issue of Securities is to be
authenticated, the name or names of the initial Holder or Holders and any other
terms of the Securities of that series not otherwise determined. If provided for
in those procedures, that Company Order may authorize (1) authentication and
delivery of Securities of that series for original issue from time to time, with
certain terms (including, without limitation, the Maturity date or dates,
original issue date or dates and interest rate or rates) that differ from
Security to Security and (2) may authorize authentication and delivery pursuant
to oral or electronic instructions from the Company or its duly authorized
agent, which instructions shall be promptly confirmed in writing.

     If the form or terms of the Securities of the series have been established
in or pursuant to one or more Board Resolutions as permitted by Section 2.01, in
authenticating those Securities, and accepting the additional responsibilities
under this Indenture in relation to those Securities, the Trustee shall be
entitled to receive (in addition to the Company Order referred to above and the
other documents required by Section 11.04), and (subject to Section 7.01) shall
be fully protected in relying on,

          (a)  an Officers' Certificate setting forth the Board Resolution and,
     if applicable, an appropriate record of any action taken pursuant thereto,
     as contemplated by the last paragraph of Section 2.01; and

          (b)  an Opinion of Counsel to the effect that:

               (i)   if the form of those Securities has been established by or
          pursuant to Board Resolution, as is permitted by Section 2.01, that
          such form has been established in conformity with the provisions of
          this Indenture;

               (ii)  if the terms of those Securities have been established by
          or pursuant to Board Resolution, as is permitted by Section 2.01, that
          such terms have been established in conformity with the provisions of
          this Indenture; and

               (iii) those Securities, when authenticated and delivered by the
          Trustee and issued by the Company in the manner and subject to any
          conditions specified in that Opinion of Counsel, will constitute valid
          and binding obligations of the Company, enforceable against the
          Company in accordance with their terms, except as the enforceability
          thereof may be limited by applicable bankruptcy, insolvency,
          reorganization, moratorium, fraudulent conveyance or other similar
          laws in effect from time to time affecting the rights of creditors
          generally, and the application of general principles of equity
          (regardless of whether that enforceability is considered in a
          proceeding in equity or at law).

     If all the Securities of any series are not to be issued at one time, it
shall not be necessary to deliver an Officers' Certificate and Opinion of
Counsel at the time of issuance of each such Security, but that Officers'
Certificate and Opinion of Counsel shall be delivered at or before the time of
issuance of the first Security of the series to be issued.

    The Trustee shall not be required to authenticate those Securities if the
issuance of those Securities pursuant to this Indenture would affect the
Trustee's own rights, duties or immunities

                                       12
<PAGE>   18

under the Securities and this Indenture or otherwise in a manner not reasonably
acceptable to the Trustee.

     The Trustee may appoint an authenticating agent acceptable to the Company
to authenticate Securities.  Unless limited by the terms of that appointment, an
authenticating agent may authenticate Securities whenever the Trustee may do so.
Each reference in this Indenture to authentication by the Trustee includes
authentication by that agent.  An authenticating agent has the same rights as an
Agent to deal with the Company or an Affiliate of the Company.

     Each Security shall be dated the date of its authentication.

SECTION 2.05   Registrar and Paying Agent.

     The Company shall maintain an office or agency for each series of
Securities where Securities of that series may be presented for registration of
transfer or exchange ("Registrar") and an office or agency where Securities of
that series may be presented for payment ("Paying Agent"). The Registrar shall
keep a register of the Securities of that series and of their transfer and
exchange. The Company may appoint one or more co-registrars and one or more
additional paying agents. The term "Registrar" includes any co-registrar, and
the term "Paying Agent" includes any additional paying agent.

     The Company shall enter into an appropriate agency agreement with any
Registrar or Paying Agent not a party to this Indenture. The agreement shall
implement the provisions of this Indenture that relate to that Agent. The
Company shall notify the Trustee of the name and address of any Agent not a
party to this Indenture. The Company may change any Paying Agent or Registrar
without notice to any Holder. If the Company fails to appoint or maintain
another entity as Registrar or Paying Agent, the Trustee shall act as such. The
Company or any of its Subsidiaries may act as Paying Agent or Registrar.

     The Company initially appoints the Trustee as Registrar and Paying Agent.

SECTION 2.06   Paying Agent to Hold Money in Trust.

     With respect to each series of Securities, the Company shall require each
Paying Agent other than the Trustee to agree in writing that the Paying Agent
will hold in trust for the benefit of Holders of Securities of that series or
the Trustee all money held by the Paying Agent for the payment of principal of,
premium, if any, or interest on or any Additional Amounts with respect to
Securities of that series and will notify the Trustee of any default by the
Company in making any such payment. While any such default continues, the
Trustee may require a Paying Agent to pay all money held by it to the Trustee
and to account for any funds disbursed. The Company at any time may require a
Paying Agent to pay all money held by it to the Trustee and to account for any
funds disbursed. Upon payment over to the Trustee and upon accounting for any
funds disbursed, the Paying Agent (if other than the Company or a Subsidiary of
the Company) shall have no further liability for the money. If the Company or a
Subsidiary of the Company acts as Paying Agent with respect to a series of
Securities, it shall segregate and hold in a separate trust fund for the benefit
of the Holders of Securities of that series all money held by it as Paying
Agent. Each Paying Agent shall otherwise comply with TIA (S) 317(b).

                                       13
<PAGE>   19

SECTION 2.07   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
Holders of each series of Securities and shall otherwise comply with TIA (S)
312(a). If the Trustee is not the Registrar with respect to a series of
Securities, the Company shall furnish to the Trustee at least five Business Days
before each Interest Payment Date with respect to that series of Securities, and
at such other times as the Trustee may request in writing, a list in such form
and as of such date as the Trustee may reasonably require of the names and
addresses of Holders of the Securities of that series, and the Company shall
otherwise comply with TIA (S) 312(a).

SECTION 2.08   Transfer and Exchange.

     Except as set forth in Section 2.17 or as may be provided pursuant to
Section 2.01, when Securities of any series are presented to the Registrar with
the request to register the transfer of those Securities or to exchange those
Securities for an equal principal amount of Securities of the same series of
like tenor and of other authorized denominations, the Registrar shall register
the transfer or make the exchange as requested if its requirements and the
requirements of this Indenture for those transactions are met; provided,
however, that the Securities presented or surrendered for registration of
transfer or exchange shall be duly endorsed or accompanied by a written
instruction of transfer in form reasonably satisfactory to the Registrar duly
executed by the Holder thereof or by his attorney, duly authorized in writing,
on which instruction the Registrar can rely.

     To permit registrations of transfers and exchanges, the Company shall
execute and the Trustee shall authenticate Securities at the Registrar's written
request and submission of the Securities (other than Global Securities). No
service charge shall be made to a Holder for any registration of transfer or
exchange (except as otherwise expressly permitted herein), but the Company may
require payment of a sum sufficient to cover any transfer tax or similar
governmental charge payable in connection therewith (other than such transfer
tax or similar governmental charge payable on exchanges pursuant to Section
2.12, 3.07 or 9.05). The Trustee shall authenticate Securities in accordance
with the provisions of Section 2.04. Notwithstanding any other provisions of
this Indenture to the contrary, the Company shall not be required to register
the transfer or exchange of (a) any Security selected for redemption in whole or
in part pursuant to Article III, except the unredeemed portion of any Security
being redeemed in part or (b) any Security during the period beginning 15
Business Days before the mailing of notice of any offer to repurchase Securities
of the series required pursuant to the terms thereof or of redemption of
Securities of a series to be redeemed and ending at the close of business on the
date of mailing.

SECTION 2.09   Replacement Securities.

     If any mutilated Security is surrendered to the Trustee, or if the Holder
of a Security claims that the Security has been destroyed, lost or stolen and
the Company and the Trustee receive evidence to their satisfaction of the
destruction, loss or theft of that Security, the Company shall issue and the
Trustee shall authenticate a replacement Security of the same series if the
Trustee's requirements are met.  If any such mutilated, destroyed, lost or
stolen Security

                                       14
<PAGE>   20

has become or is about to become due and payable, the Company in its discretion
may, instead of issuing a new Security, pay that Security. If required by the
Trustee or the Company, the Holder must furnish an indemnity bond that is
sufficient in the judgment of the Trustee and the Company to protect the
Company, the Trustee, any Agent or any authenticating agent from any loss that
any of them may suffer if a Security is replaced. The Company and the Trustee
may charge the Holder for their expenses in replacing a Security.

     Every replacement Security is an additional obligation of the Company.

SECTION 2.10   Outstanding Securities.

     The Securities outstanding at any time are all the Securities authenticated
by the Trustee except for those canceled by it, those delivered to it for
cancellation, those reductions in the interest in a Global Security effected by
the Trustee hereunder and those described in this Section 2.10 as not
outstanding.

     If a Security is replaced pursuant to Section 2.09, it ceases to be
outstanding unless the Trustee receives proof satisfactory to it that the
replaced Security is held by a bona fide purchaser.

     If the principal amount of any Security is considered paid under Section
4.01, it ceases to be outstanding and interest on it ceases to accrue.

     A Security does not cease to be outstanding because the Company or an
Affiliate of the Company holds the Security.

SECTION 2.11   Original Issue Discount, Foreign-Currency Denominated and
               Treasury Securities.

     In determining whether the Holders of the required principal amount of
Securities have concurred in any direction, amendment, supplement, waiver or
consent, (a) the principal amount of an Original Issue Discount Security shall
be the principal amount thereof that would be due and payable as of the date of
that determination upon acceleration of the Maturity thereof pursuant to Section
6.02, (b) the principal amount of a Security denominated in a foreign currency
shall be the Dollar equivalent, as determined by the Company by reference to the
noon buying rate in The City of New York for cable transfers for that currency,
as that rate is certified for customs purposes by the Federal Reserve Bank of
New York (the "Exchange Rate") on the date of original issuance of that
Security, of the principal amount (or, in the case of an Original Issue Discount
Security, the Dollar equivalent, as determined by the Company by reference to
the Exchange Rate on the date of original issuance of that Security, of the
amount determined as provided in (a) above), of that Security and (c) Securities
owned by the Company or any other obligor on the Securities or any Affiliate of
the Company or of that other obligor shall be disregarded, except that, for the
purpose of determining whether the Trustee shall be protected in relying on any
such direction, amendment, supplement, waiver or consent, only Securities that
the Trustee actually knows are so owned shall be so disregarded.

                                       15
<PAGE>   21

SECTION 2.12   Temporary Securities.

     Until definitive Securities of any series are ready for delivery, the
Company may prepare and the Trustee shall authenticate temporary Securities.
Temporary Securities shall be substantially in the form of definitive
Securities, but may have variations that the Company considers appropriate for
temporary Securities. Without unreasonable delay, the Company shall prepare and
the Trustee shall authenticate definitive Securities in exchange for temporary
Securities. Until so exchanged, the temporary Securities shall in all respects
be entitled to the same benefits under this Indenture as definitive Securities.

SECTION 2.13   Cancellation.

     The Company at any time may deliver Securities to the Trustee for
cancellation. The Registrar and the Paying Agent shall forward to the Trustee
any Securities surrendered to them for registration of transfer, exchange,
payment or redemption or for credit against any sinking fund payment. The
Trustee shall cancel all Securities surrendered for registration of transfer,
exchange, payment, redemption, replacement or cancellation or for credit against
any sinking fund. Unless the Company shall direct in writing that canceled
Securities be returned to it, after written notice to the Company all canceled
Securities held by the Trustee shall be disposed of in accordance with the usual
disposal procedures of the Trustee, and the Trustee shall maintain a record of
their disposal. The Company may not issue new Securities to replace Securities
that have been paid or that have been delivered to the Trustee for cancellation.

SECTION 2.14   Payments; Defaulted Interest.

     Unless otherwise provided as contemplated by Section 2.01 with respect to
the Securities of any series, interest (except defaulted interest) on any
Security that is payable, and is punctually paid or duly provided for, on any
Interest Payment Date shall be paid to the Persons who are registered Holders of
that Security at the close of business on the record date next preceding that
Interest Payment Date, even if those Securities are canceled after that record
date and on or before that Interest Payment Date. Unless otherwise provided with
respect to the Securities of any series, the Company will pay the principal of,
premium (if any) and interest on and any Additional Amounts with respect to the
Securities in Dollars. Those amounts shall be payable at the offices of the
Trustee, provided that at the option of the Company, the Company may pay those
amounts (1) by wire transfer with respect to Global Securities or (2) by check
payable in that money mailed to a Holder's registered address with respect to
any Securities.

     If the Company defaults in a payment of interest on the Securities of any
series, it shall pay the defaulted interest in any lawful manner plus, to the
extent lawful, interest on the defaulted interest, in each case at the rate
provided in the Securities of that series and in Section 4.01. The Company may
pay the defaulted interest to the Persons who are Holders on a subsequent
special record date. At least 15 days before any special record date selected by
the Company, the Company (or the Trustee, in the name of and at the expense of
the Company upon 20 days' prior written notice from the Company setting forth
that record date and the interest amount to be paid) shall mail to Holders of
any such series of Securities a notice that states the special record date, the
related payment date and the amount of that interest to be paid.

                                       16
<PAGE>   22

SECTION 2.15   Persons Deemed Owners.

     The Company, the Trustee, any Agent and any authenticating agent may treat
the Person in whose name any Security is registered as the owner of that
Security for the purpose of receiving payments of principal of, premium (if any)
or interest on, or any Additional Amounts with respect to that Security and for
all other purposes.  None of the Company, the Trustee, any Agent or any
authenticating agent shall be affected by any notice to the contrary.

SECTION 2.16   Computation of Interest.

     Except as otherwise specified as contemplated by Section 2.01 for
Securities of any series, interest on the Securities of each series shall be
computed on the basis of a year comprising twelve 30-day months.

SECTION 2.17   Global Securities; Book-Entry Provisions.

     If Securities of a series are issuable in global form as a Global Security,
as contemplated by Section 2.01, then, notwithstanding clause (10) of Section
2.01 and the provisions of Section 2.02, any such Global Security shall
represent those of the outstanding Securities of that series as shall be
specified therein and may provide that it shall represent the aggregate amount
of outstanding Securities from time to time endorsed thereon and that the
aggregate amount of outstanding Securities represented thereby may from time to
time be reduced or increased, as appropriate, to reflect exchanges or
redemptions.  Any endorsement of a Global Security to reflect the amount, or any
increase or decrease in the amount, of outstanding Securities represented
thereby shall be made by the Trustee (i) in such manner and upon instructions
given by such Person or Persons as shall be specified in that Security or in a
Company Order to be delivered to the Trustee pursuant to Section 2.04 or (ii)
otherwise in accordance with written instructions or such other written form of
instructions as is customary for the Depositary for that Security, from that
Depositary or its nominee on behalf of any Person having a beneficial interest
in that Global Security.  Subject to the provisions of Section 2.04 and, if
applicable, Section 2.12, the Trustee shall deliver and redeliver any Security
in permanent global form in the manner and upon instructions given by the Person
or Persons specified in that Security or in the applicable Company Order.  With
respect to the Securities of any series that are represented by a Global
Security, the Company authorizes the execution and delivery by the Trustee of a
letter of representations or other similar agreement or instrument in the form
customarily provided for by the Depositary appointed with respect to that Global
Security.  Any Global Security may be deposited with the Depositary or its
nominee, or may remain in the custody of the Trustee or the Security Custodian
therefor pursuant to a FAST Balance Certificate Agreement or similar agreement
between the Trustee and the Depositary.  If a Company Order has been, or
simultaneously is, delivered, any instructions by the Company with respect to
endorsement or delivery or redelivery of a Security in global form shall be in
writing but need not comply with Section 11.05 and need not be accompanied by an
Opinion of Counsel.

     Members of, or participants in, the Depositary ("Agent Members") shall have
no rights under this Indenture with respect to any Global Security held on their
behalf by the Depositary, or the Trustee or the Security Custodian as its
custodian, or under that Global Security, and the Depositary may be treated by
the Company, the Trustee or the Security Custodian and any agent

                                       17
<PAGE>   23

of the Company, the Trustee or the Security Custodian as the absolute owner of
that Global Security for all purposes whatsoever. Notwithstanding the foregoing,
(i) the registered holder of a Global Security of any series may grant proxies
and otherwise authorize any Person, including Agent Members and Persons that may
hold interests through Agent Members, to take any action that a Holder of
Securities of that series is entitled to take under this Indenture or the
Securities of that series and (ii) nothing herein shall prevent the Company, the
Trustee or the Security Custodian or any agent of the Company, the Trustee, or
the Security Custodian from giving effect to any written certification, proxy or
other authorization furnished by the Depositary or shall impair, as between the
Depositary and its Agent Members, the operation of customary practices governing
the exercise of the rights of a beneficial owner of any Security.

     Notwithstanding Section 2.08, and except as otherwise provided pursuant to
Section 2.01, transfers of a Global Security shall be limited to transfers of
that Global Security in whole, but not in part, to the Depositary, its
successors or their respective nominees.  Interests of beneficial owners in a
Global Security may be transferred in accordance with the rules and procedures
of the Depositary.  Securities of any series shall be transferred to all
beneficial owners of a Global Security of that series in exchange for their
beneficial interests in that Global Security if, and only if, either (1) the
Depositary notifies the Company that it is unwilling or unable to continue as
Depositary for that Global Security and a successor Depositary is not appointed
by the Company within 90 days of that notice, (2) an Event of Default has
occurred with respect to that series and is continuing and the Registrar has
received a request from the Depositary to issue Securities of that series in
lieu of all or a portion of that Global Security (in which case the Company
shall deliver Securities of that series within 30 days of that request) or (3)
the Company determines not to have the Securities of that series represented by
a Global Security.

     In connection with any transfer of a portion of the beneficial interests in
a Global Security to beneficial owners pursuant to this Section 2.17, the
Registrar shall reflect on its books and records the date and a decrease in the
principal amount of the Global Security in an amount equal to the principal
amount of the beneficial interest in the Global Security to be transferred, and
the Company shall execute, and the Trustee on receipt of a Company Order for the
authentication and delivery of Securities shall authenticate and deliver, one or
more Securities of the same series of like tenor and amount.

     In connection with the transfer of all the beneficial interests in a Global
Security of any series to beneficial owners pursuant to this Section 2.17, the
Global Security shall be deemed to be surrendered to the Trustee for
cancellation, and the Company shall execute, and the Trustee shall authenticate
and deliver, to each  beneficial owner identified by the Depositary in exchange
for its beneficial interest in the Global Security, an equal aggregate principal
amount of Securities of that series of authorized denominations.

     Neither the Company nor the Trustee will have any responsibility or
liability for any aspect of the records relating to, or payments made on account
of, Securities by the Depositary, or for maintaining, supervising or reviewing
any records of the Depositary relating to those Securities.  Neither the Company
nor the Trustee shall be liable for any delay by the related Global Security
Holder or the Depositary in identifying the beneficial owners, and each such
Person may conclusively rely on, and shall be protected in relying on,
instructions from that

                                       18
<PAGE>   24

Global Security Holder or the Depositary for all purposes (including with
respect to the registration and delivery, and the respective principal amounts,
of the Securities to be issued).

     The provisions of the last sentence of the third paragraph of Section 2.04
shall apply to any Global Security if that Global Security was never issued and
sold by the Company and the Company delivers to the Trustee the Global Security
together with written instructions (which need not comply with Section 11.05 and
need not be accompanied by an Opinion of Counsel) with regard to the
cancellation or reduction in the principal amount of Securities represented
thereby, together with the written statement contemplated by the last sentence
of the third paragraph of Section 2.04.

     Notwithstanding the provisions of Sections 2.03 and 2.14, unless otherwise
specified as contemplated by Section 2.01 with respect to Securities of any
series, payment of principal of and premium (if any) and interest on and any
Additional Amounts with respect to any Global Security shall be made to the
Person or Persons specified therein.

                                  ARTICLE III
                                  REDEMPTION

SECTION 3.01   Applicability of Article.

     Securities of any series that are redeemable before their Stated Maturity
shall be redeemable in accordance with their terms and (except as otherwise
specified as contemplated by Section 2.01 for Securities of any series) in
accordance with this Article III.

SECTION 3.02   Notice to the Trustee.

     If the Company elects to redeem Securities of any series pursuant to this
Indenture, it shall notify the Trustee of the Redemption Date and principal
amount of Securities of that series to be redeemed. The Company shall so notify
the Trustee at least 45 days before the Redemption Date (unless a shorter notice
shall be satisfactory to the Trustee) by delivering to the Trustee an Officers'
Certificate stating that the redemption will comply with the provisions of this
Indenture and of the Securities of that series. Any such notice may be canceled
at any time prior to the mailing of that notice of redemption to any Holder of
the Securities of that series and shall thereupon be void and of no effect.

SECTION 3.03   Selection of Securities To Be Redeemed.

     If less than all the Securities of any series are to be redeemed (unless
all of the Securities of that series of a specified tenor are to be redeemed),
the particular Securities to be redeemed shall be selected not more than 60 days
prior to the Redemption Date by the Trustee, from the outstanding Securities of
that series (and tenor) not previously called for redemption, either pro rata,
by lot or by such other method as the Trustee shall deem fair and appropriate.
That redemption may provide for the selection for redemption of portions (equal
to the minimum authorized denomination for Securities of that series or any
integral multiple thereof) of the principal amount of Securities of that series
of a denomination larger than the minimum authorized denomination for Securities
of that series or of the principal amount of Global Securities of that series.

                                       19
<PAGE>   25

     The Trustee shall promptly notify the Company and the Registrar in writing
of the Securities selected for redemption and, in the case of any Securities
selected for partial redemption, the principal amount thereof to be redeemed.

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

SECTION 3.04   Notice of Redemption.

     Notice of redemption shall be given by first-class mail, postage prepaid,
mailed not less than 30 nor more than 60 days prior to the Redemption Date, to
each Holder of Securities of a series to be redeemed, at the address of that
Holder appearing in the register of Securities for that series maintained by the
Registrar.

     All notices of redemption shall identify the Securities to be redeemed and
shall state:

        (1)  the Redemption Date;

        (2)  the Redemption Price;

        (3) that, unless the Company defaults in making the redemption payment,
     interest on Securities called for redemption ceases to accrue on and after
     the Redemption Date, and the only remaining right of the Holders of those
     Securities is to receive payment of the Redemption Price on surrender to
     the Paying Agent of the Securities redeemed;

        (4) if any Security is to be redeemed in part, the portion of the
     principal amount thereof to be redeemed and that on and after the
     Redemption Date, on surrender for cancellation of that Security to the
     Paying Agent, a new Security or Securities in the aggregate principal
     amount equal to the unredeemed portion thereof will be issued without
     charge to the Holder;

        (5) that Securities called for redemption must be surrendered to the
     Paying Agent to collect the Redemption Price and the name and address of
     the Paying Agent;

        (6) that the redemption is for a sinking or analogous fund, if that is
     the case; and

        (7) the CUSIP number, if any, relating to those Securities.

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

                                       20
<PAGE>   26

SECTION 3.05   Effect of Notice of Redemption.

     Once notice of redemption is mailed, Securities called for redemption
become due and payable on the Redemption Date and at the Redemption Price.  Upon
surrender to the Paying Agent, those Securities called for redemption shall be
paid at the Redemption Price, but interest installments whose maturity is on or
prior to that Redemption Date will be payable on the relevant Interest Payment
Dates to the Holders of record at the close of business on the relevant record
dates specified pursuant to Section 2.01.

SECTION 3.06   Deposit of Redemption Price.

     On or prior to any Redemption Date, the Company shall deposit with the
Trustee or the Paying Agent (or, if the Company is acting as its own Paying
Agent, segregate and hold in trust as provided in Section 2.06) an amount of
money in same day funds sufficient to pay the Redemption Price of, and (except
if the Redemption Date shall be an Interest Payment Date) accrued interest on
and any Additional Amounts with respect to, the Securities or portions thereof
which are to be redeemed on that date, other than Securities or portions thereof
called for redemption on that date which have been delivered by the Company to
the Trustee for cancellation.

     If the Company complies with the preceding paragraph, then, unless the
Company defaults in the payment of that Redemption Price, interest on the
Securities to be redeemed will cease to accrue on and after the applicable
Redemption Date, whether or not those Securities are presented for payment, and
the Holders of those Securities shall have no further rights with respect to
those Securities except for the right to receive the Redemption Price on
surrender of those Securities.  If any Security called for redemption shall not
be so paid on surrender thereof for redemption, the principal of and premium, if
any, any Additional Amounts, and, to the extent lawful, accrued interest thereon
shall, until paid, bear interest from the Redemption Date at the rate specified
pursuant to Section 2.01 or provided in the Securities or, in the case of
Original Issue Discount Securities, their initial yield to maturity.

SECTION 3.07   Securities Redeemed or Purchased in Part.

     Upon surrender to the Paying Agent of a Security to be redeemed in part,
the Company shall execute and the Trustee shall authenticate and deliver to the
Holder of that Security without service charge a new Security or Securities, of
the same series and of any authorized denomination as requested by that Holder
in aggregate principal amount equal to, and in exchange for, the unredeemed
portion of the principal of the Security so surrendered that is not redeemed.

SECTION 3.08   Purchase of Securities.

     Unless otherwise specified as contemplated by Section 2.01, the Company and
any Affiliate of the Company may at any time purchase or otherwise acquire
Securities in the open market or by private agreement.  Any such acquisition
shall not operate as or be deemed for any purpose to be a redemption of the
indebtedness represented by those Securities.  Any Securities purchased or
acquired by the Company may be delivered to the Trustee for cancellation and, on

                                       21
<PAGE>   27

that cancellation, the indebtedness represented thereby shall be deemed to be
satisfied. Section 2.13 shall apply to all Securities so delivered.

SECTION 3.09   Mandatory and Optional Sinking Funds.

     The minimum amount of any sinking fund payment provided for by the terms of
Securities of any series is herein referred to as a "mandatory sinking fund
payment," and any payment in excess of the minimum amount provided for by the
terms of Securities of any series is herein referred to as an "optional sinking
fund payment."  Unless otherwise provided by the terms of Securities of any
series, the cash amount of any sinking fund payment may be subject to reduction
as provided in Section 3.10.  Each sinking fund payment shall be applied to the
redemption of Securities of any series as provided for by the terms of
Securities of that series and by this Article III.

SECTION 3.10   Satisfaction of Sinking Fund Payments with Securities.

     The Company may deliver outstanding Securities of a series (other than any
previously called for redemption) and may apply as a credit Securities of a
series that have been redeemed either at the election of the Company pursuant to
the terms of those Securities or through the application of permitted optional
sinking fund payments pursuant to the terms of those Securities, in each case in
satisfaction of all or any part of any sinking fund payment with respect to the
Securities of that series required to be made pursuant to the terms of that
series of Securities; provided that those Securities have not been previously so
credited.  Those Securities shall be received and credited for that purpose by
the Trustee at the Redemption Price specified in those Securities for redemption
through operation of the sinking fund, and the amount of that sinking fund
payment shall be reduced accordingly.

SECTION 3.11   Redemption of Securities for Sinking Fund.

     Not less than 45 days prior (unless a shorter period shall be satisfactory
to the Trustee) to each sinking fund payment date for any series of Securities,
the Company will deliver to the Trustee an Officers' Certificate of the Company
specifying the amount of the next ensuing sinking fund payment for that series
pursuant to the terms of that series, the portion thereof, if any, that is to be
satisfied by payment of cash and the portion thereof, if any, that is to be
satisfied by delivery of or by crediting Securities of that series pursuant to
Section 3.10  and will also deliver to the Trustee any Securities to be so
delivered.  Failure of the Company to timely deliver that Officers' Certificate
and Securities specified in this paragraph, if any, shall not constitute a
default but shall constitute the election of the Company (i) that the mandatory
sinking fund payment for that series due on the next succeeding sinking fund
payment date shall be paid entirely in cash without the option to deliver or
credit Securities of that series in respect thereof and (ii) that the Company
will make no optional sinking fund payment with respect to that series as
provided in this Section.

     If the sinking fund payment or payments (mandatory or optional or both) to
be made in cash on the next succeeding sinking fund payment date plus any unused
balance of any preceding sinking fund payments made in cash shall exceed
$100,000 (or the Dollar equivalent thereof based on the applicable Exchange Rate
on the date of original issue of the applicable

                                       22
<PAGE>   28

Securities) or a lesser sum if the Company shall so request with respect to the
Securities of any particular series, that cash shall be applied on the next
succeeding sinking fund payment date to the redemption of Securities of that
series at the sinking fund redemption price together with accrued interest to
the date fixed for redemption. If that amount shall be $100,000 (or the Dollar
equivalent thereof as aforesaid) or less and the Company makes no such request,
then it shall be carried over until a sum in excess of $100,000 (or the Dollar
equivalent thereof as aforesaid) is available. Not less than 30 days before each
such sinking fund payment date, the Trustee shall select the Securities to be
redeemed on that sinking fund payment date in the manner specified in Section
3.03 and cause notice of the redemption thereof to be given in the name of and
at the expense of the Company in the manner provided in Section 3.04. That
notice having been duly given, the redemption of those Securities shall be made
on the terms and in the manner stated in Sections 3.05, 3.06 and 3.07.

                                  ARTICLE IV
                                   COVENANTS

SECTION 4.01   Payment of Securities.

     The Company shall pay the principal of, premium (if any) and interest on
and any Additional Amounts with respect to the Securities of each series on the
dates and in the manner provided in the Securities of that series and in this
Indenture.  Principal, premium, interest and any Additional Amounts shall be
considered paid on the date due if the Paying Agent, other than the Company or a
Subsidiary of the Company, holds on that date money deposited by the Company
designated for and sufficient to pay all principal, premium (if any), interest
and any Additional Amounts then due.

     The Company shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue principal of and premium (if
any) on Securities of any series, at a rate equal to the then applicable
interest rate on the Securities of that series to the extent lawful; and it
shall pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue installments of interest on and any overdue payments
of Additional Amounts with respect to Securities of that series (without regard
to any applicable grace period) at the same rate to the extent lawful.

SECTION 4.02   Maintenance of Office or Agency.

     The Company will maintain in each Place of Payment for any series of
Securities an office or agency (which may be an office of the Trustee, the
Registrar or the Paying Agent) where Securities of that series may be presented
for registration of transfer or exchange, where Securities of that series may be
presented for payment and where notices and demands to or on the Company in
respect of the Securities of that series and this Indenture may be served.
Unless otherwise designated by the Company by written notice to the Trustee,
that office or agency shall be the office of the Trustee in The City of New
York, which on the date hereof is located at ____________________.  The Company
will give prompt written notice to the Trustee of the location, and any change
in the location, of that 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

                                       23
<PAGE>   29

the address thereof, those presentations, surrenders, notices and demands may be
made or served at the Corporate Trust Office of the Trustee.

     The Company may also from time to time designate one or more other offices
or agencies where the Securities of one or more series may be presented or
surrendered for any or all those purposes and may from time to time rescind
those designations; provided, however, that no such designation or rescission
shall in any manner relieve the Company of its obligation to maintain an office
or agency in each Place of Payment for Securities of any series for those
purposes.  The Company will give prompt written notice to the Trustee of any
such designation or rescission and of any change in the location of any such
other office or agency.

SECTION 4.03   SEC Reports; Financial Statements.

           (a) The Company shall file with the Trustee, within 15 days after it
     files the same with the SEC, copies of the annual reports and the
     information, documents and other reports (or copies of those portions of
     any of the foregoing as the SEC may by rules and regulations prescribe)
     that the Company is required to file with the SEC pursuant to Section 13 or
     15(d) of the Exchange Act. The Company shall also comply with the
     provisions of TIA (S) 314(a).

           (b) If the Company is not subject to the requirements of Section 13
     or 15(d) of the Exchange Act, the Company shall furnish to all Holders of
     Rule 144A Securities and prospective purchasers of Rule 144A Securities
     designated by the Holders of Rule 144A Securities, promptly on their
     request, the information required to be delivered pursuant to Rule
     144A(d)(4) promulgated under the Securities Act of 1933, as amended.

SECTION 4.04   Compliance Certificate.

           (a) The Company shall deliver to the Trustee, within 120 days after
     the end of each fiscal year of the Company, a statement signed by an
     Officer of the Company, which need not constitute an Officers' Certificate,
     complying with TIA (S) 314(a)(4) and stating that, in the course of
     performance by the signing Officer of the Company of his or her duties as
     such Officer of the Company, he or she would normally obtain knowledge of
     the keeping, observing, performing and fulfilling by the Company of its
     obligations under this Indenture, and further stating that, to the best of
     his or her knowledge, the Company has kept, observed, performed and
     fulfilled each and every covenant contained in this Indenture and is not in
     default in the performance or observance of any of the terms, provisions
     and conditions hereof (or, if a Default or Event of Default shall have
     occurred, describing all such Defaults or Events of Default of which that
     Officer may have knowledge and what action the Company is taking or
     proposes to take with respect thereto).

           (b) The Company shall, so long as Securities of any series are
     outstanding, deliver to the Trustee, promptly on any Officer of the Company
     becoming aware of any Default or Event of Default under this Indenture, an
     Officers' Certificate specifying that Default or Event of Default and what
     action the Company is taking or proposes to take with respect thereto.

                                       24
<PAGE>   30

SECTION 4.05   Existence.

     Subject to Article V hereof, the Company shall do or cause to be done all
things necessary to preserve and keep in full force and effect its existence and
the existence of each of its Subsidiaries and all rights (charter and statutory)
of the Company and its Subsidiaries, provided that the Company shall not be
required to preserve the existence of any Subsidiary of the Company or any such
right if the Company shall determine that the preservation thereof is no longer
desirable in the conduct of the business of the Company and its Subsidiaries
taken as a whole and that the loss thereof would not have a material adverse
effect on the business, operations, assets or financial condition of the Company
and its Subsidiaries taken as a whole and would not have any material adverse
effect on the payment and performance of the obligations of the Company under
the Securities and this Indenture.

SECTION 4.06   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 on, or plead, or in any manner whatsoever claim or
take the benefit or advantage 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 or interest on the Securities as contemplated
herein, wherever enacted, now or at any time hereafter in force, or which may
affect the covenants 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 4.07   Additional Amounts.

     If the Securities of a series expressly provide for the payment of
Additional Amounts, the Company will pay to the Holder of any Security of that
series Additional Amounts as expressly provided therein.  Whenever in this
Indenture there is mentioned, in any context, the payment of the principal of or
any premium or interest on, or in respect of, any Security of any series or the
net proceeds received from the sale or exchange of any Security of any series,
that mention shall be deemed to include mention of the payment of Additional
Amounts provided for in this Section 4.07 to the extent that, in that context,
Additional Amounts are, were or would be payable in respect thereof pursuant to
the provisions of this Section 4.07, and express mention of the payment of
Additional Amounts (if applicable) in any provisions hereof shall not be
construed as excluding Additional Amounts in those provisions hereof where that
express mention is not made.

     Unless otherwise provided pursuant to Section 2.01 with respect to
Securities of any series, if the Securities of a series provide for the payment
of Additional Amounts, at least ten days prior to the first Interest Payment
Date with respect to that series of Securities (or if the Securities of that
series will not bear interest prior to Maturity, the first day on which a
payment of principal and any premium is made), and at least ten days prior to
each date of payment of principal and any premium or interest if there has been
any change with respect to the matters set forth in the below-mentioned
Officers' Certificate, the Company shall furnish the Trustee and the

                                       25
<PAGE>   31

Company's principal Paying Agent or Paying Agents, if other than the Trustee,
with an Officers' Certificate instructing the Trustee and such Paying Agent or
Paying Agents whether that payment of principal of and any premium or interest
on the Securities of that series shall be made to Holders of Securities of that
series who are United States Aliens without withholding for or on account of any
tax, assessment or other governmental charge described in the Securities of that
series. If any such withholding shall be required, then that Officers'
Certificate shall specify by country the amount, if any, required to be withheld
on those payments to those Holders of Securities, and the Company will pay to
that Paying Agent the Additional Amounts required by this Section. The Company
covenants to indemnify the Trustee and any Paying Agent for and to hold them
harmless against any loss, liability or expense reasonably incurred without
negligence or bad faith on their part arising out of or in connection with
actions taken or omitted by any of them in reliance on any Officers' Certificate
furnished pursuant to this Section 4.07.

                                   ARTICLE V
                                  SUCCESSORS

SECTION 5.01   Limitations on Mergers, Consolidations and Other Transactions.

     The Company shall not, in any transaction or series of related
transactions, consolidate with any other Person or merge into any other Person,
or sell, lease, convey, transfer or otherwise dispose of all or substantially
all of its assets to any Person, unless:

        (1)    the Person formed by that consolidation or into which the Company
     is merged, or to which that sale, lease, conveyance, transfer or other
     disposition shall be made (collectively, the "Successor"), expressly
     assumes by supplemental indenture the due and punctual payment of the
     principal of (and premium, if any) and interest on and Additional Amounts
     with respect to all the Securities and the performance of the Company's
     covenants and obligations under this Indenture and the Securities;

        (2)    immediately after giving effect to that transaction or series of
     related transactions, no Default or Event of Default shall have occurred
     and be continuing; and

        (3)    the Company delivers to the Trustee an Officers' Certificate and
     an Opinion of Counsel, each stating that the transaction and that
     supplemental indenture comply with this Indenture.

SECTION 5.02   Successor Person Substituted.

     Upon any consolidation or merger of the Company or any sale, lease,
conveyance, transfer or other disposition of all or substantially all of the
assets of the Company in accordance with Section 5.01, any Successor formed by
that consolidation or into or with which the Company is merged or to which that
sale, lease, conveyance, transfer or other disposition is made shall succeed to,
and be substituted for, and may exercise every right and power of the Company
under this Indenture and the Securities with the same effect as if that
Successor had been named as the Company herein and the predecessor Company, in
the case of a sale, conveyance, transfer or other disposition, shall be released
from all obligations under this Indenture and the Securities.

                                       26
<PAGE>   32

                                   ARTICLE VI
                             DEFAULTS AND REMEDIES

SECTION 6.01   Events of Default.

     Unless either inapplicable to a particular series or specifically deleted
or modified in or pursuant to the supplemental indenture or Board Resolution
establishing that series of Securities or in the form of Security for that
series, an "Event of Default," wherever used herein with respect to Securities
of any series, occurs if:

        (1)    the Company defaults in the payment of interest on or any
     Additional Amounts with respect to any Security of that series when the
     same becomes due and payable and that default continues for a period of 30
     days;

        (2)    the Company defaults in the payment of (A) the principal of any
     Security of that series at its Maturity or (B) premium (if any) on any
     Security of that series when the same becomes due and payable;

        (3)    the Company defaults in the deposit of any sinking fund payment,
     when and as due by the terms of a Security of that series, and that default
     continues for a period of 30 days;

        (4)    the Company fails to comply with any of its other covenants or
     agreements in, or provisions of, the Securities of that series or this
     Indenture (other than an agreement, covenant or provision that has
     expressly been included in this Indenture solely for the benefit of one or
     more series of Securities other than that series) which shall not have been
     remedied within the specified period after written notice, as specified in
     the last paragraph of this Section 6.01;

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

               (A) commences a voluntary case,

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

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

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

        (6) a court of competent jurisdiction enters an order or decree under
     any Bankruptcy Law that remains unstayed and in effect for 90 days and
     that:

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

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

                                       27
<PAGE>   33

               (C)    orders the liquidation of the Company; or

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

     The term "Bankruptcy Custodian" means any receiver, trustee, assignee,
liquidator or similar official under any Bankruptcy Law.

     The Trustee shall not be deemed to know or have notice of a Default unless
a Trust Officer at the Corporate Trust Office of the Trustee receives written
notice at the Corporate Trust Office of the Trustee of that Default with
specific reference to that Default.

     When a Default is cured, it ceases.

     Notwithstanding the foregoing provisions of this Section 6.01, if the
principal of, premium (if any) or interest on or Additional Amounts with respect
to any Security is payable in a currency or currencies (including a composite
currency) other than Dollars and such currency or currencies are not available
to the Company for making payment thereof due to the imposition of exchange
controls or other circumstances beyond the control of the Company (a "Conversion
Event"), the Company will be entitled to satisfy its obligations to Holders of
the Securities by making that payment in Dollars in an amount equal to the
Dollar equivalent of the amount payable in such other currency, as determined by
the Company by reference to the Exchange Rate on the date of that payment, or,
if that rate is not then available, on the basis of the most recently available
Exchange Rate. Notwithstanding the foregoing provisions of this Section 6.01,
any payment made under such circumstances in Dollars where the required payment
is in a currency other than Dollars will not constitute an Event of Default
under this Indenture.

     Promptly after the occurrence of a Conversion Event, the Company shall give
written notice thereof to the Trustee; and the Trustee, promptly after receipt
of that notice, shall give notice thereof in the manner provided in Section
11.02 to the Holders.  Promptly after the making of any payment in Dollars as a
result of a Conversion Event, the Company shall give notice in the manner
provided in Section 11.02 to the Holders, setting forth the applicable Exchange
Rate and describing the calculation of those payments.

     A Default under clause (4) or (7) of this Section 6.01 is not an Event of
Default until the Trustee notifies the Company, or the Holders of at least 25%
in principal amount of the then outstanding Securities of the series affected by
that Default (or, in the case of a Default under clause (4) of this Section
6.01, if outstanding Securities of other series are affected by that Default,
then at least 25% in principal amount of the then outstanding Securities so
affected) notify the Company and the Trustee, of the Default, and the Company
fails to cure the Default within 90 days after receipt of the notice.  The
notice must specify the Default, demand that it be remedied and state that the
notice is a "Notice of Default."

SECTION 6.02   Acceleration.

     If an Event of Default with respect to any Securities of any series at the
time outstanding (other than an Event of Default specified in clause (5) or (6)
of Section 6.01 hereof) occurs and is

                                       28
<PAGE>   34

continuing, the Trustee by notice to the Company, or the Holders of at least 25%
in principal amount of the then outstanding Securities of the series affected by
that default (or, in the case of an Event of Default described in clause (4) of
Section 6.01, if outstanding Securities of other series are affected by that
Default, then at least 25% in principal amount of the then outstanding
Securities so affected) by notice to the Company and the Trustee, may declare
the principal of (or, if any of those Securities are Original Issue Discount
Securities, that portion of the principal amount as may be specified in the
terms of that series) and all accrued and unpaid interest on all then
outstanding Securities of that series or of all series, as the case may be, to
be due and payable. Upon any such declaration, the amounts due and payable on
those Securities shall be due and payable immediately. If an Event of Default
specified in clause (5) or (6) of Section 6.01 hereof occurs, those amounts
shall ipso facto become and be immediately due and payable without any
declaration, notice or other act on the part of the Trustee or any Holder. The
Holders of a majority in principal amount of the then outstanding Securities of
the series affected by that default or all series, as the case may be, by
written notice to the Trustee may rescind an acceleration and its consequences
(other than nonpayment of principal of or premium or interest on or any
Additional Amounts with respect to the Securities) if the rescission would not
conflict with any judgment or decree and if all existing Events of Default with
respect to Securities of that series (or of all series, as the case may be) have
been cured or waived, except nonpayment of principal, premium, interest or any
Additional Amounts that has become due solely because of the acceleration.

SECTION 6.03   Other Remedies.

     If an Event of Default with respect to Securities of any series occurs and
is continuing, the Trustee may pursue any available remedy to collect the
payment of principal of, or premium, if any, or interest on the Securities of
that series or to enforce the performance of any provision of the Securities of
that series or this Indenture.

     The Trustee may maintain a proceeding with respect to Securities of any
series even if it does not possess any of the Securities of that series or does
not produce any of them in the proceeding.  A delay or omission by the Trustee
or any Holder in exercising any right or remedy accruing on an Event of Default
shall not impair the right or remedy or constitute a waiver of or acquiescence
in the Event of Default.  All remedies are cumulative to the extent permitted by
law.

SECTION 6.04   Waiver of Defaults.

     Subject to Sections 6.07 and 9.02, the Holders of a majority in principal
amount of the then outstanding Securities of any series or of all series (acting
as one class) by notice to the Trustee may waive an existing or past Default or
Event of Default with respect to that series or all series, as the case may be,
and its consequences (including waivers obtained in connection with a tender
offer or exchange offer for Securities of that series or all series or a
solicitation of consents in respect of Securities of that series or all series,
provided that in each case that offer or solicitation is made to all Holders of
then outstanding Securities of that series or all series (but the terms of that
offer or solicitation may vary from series to series)), except (1) a continuing
Default or Event of Default in the payment of the principal of, or premium, if
any, or interest on or any Additional Amounts with respect to any Security or
(2) a continued Default in respect of a

                                       29
<PAGE>   35

provision that under Section 9.02 cannot be amended or supplemented without the
consent of each Holder affected. Upon any such waiver, that Default shall cease
to exist, and any Event of Default arising therefrom shall be deemed to have
been cured for every purpose of this Indenture; but no such waiver shall extend
to any subsequent or other Default or impair any right consequent thereon.

SECTION 6.05   Control by Majority.

     With respect to Securities of any series, the Holders of a majority in
principal amount of the then outstanding Securities of that series may direct in
writing 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
relating to or arising under an Event of Default described in clause (1), (2),
(3) or (7) of Section 6.01, and with respect to all Securities, the Holders of a
majority in principal amount of all the then outstanding Securities affected may
direct in writing 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 not relating to or arising under such an Event of Default.  However, the
Trustee may refuse to follow any direction that conflicts with applicable law or
this Indenture, that the Trustee determines may be unduly prejudicial to the
rights of other 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 that is not inconsistent with that direction.  Prior to taking any
action hereunder, the Trustee shall be entitled to indemnification satisfactory
to it in its sole discretion from Holders directing the Trustee against all
losses and expenses caused by taking or not taking that action.

SECTION 6.06   Limitations on Suits.

     Subject to Section 6.07 hereof, a Holder of a Security of any series may
pursue a remedy with respect to this Indenture or the Securities of that series
only if:

        (1)    the Holder gives to the Trustee written notice of a continuing
     Event of Default with respect to that series;

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

        (3)    such Holder or Holders offer to the Trustee indemnity reasonably
     satisfactory to the Trustee against any loss, liability or expense;

        (4)    the Trustee does not comply with the request within 60 days after
     receipt of the request and the offer of indemnity; and

        (5)    during that 60-day period, the Holders of a majority in principal
     amount of the Securities of that series do not give the Trustee a direction
     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 another Holder.

                                       30
<PAGE>   36

SECTION 6.07   Rights of Holders to Receive Payment.

     Notwithstanding any other provision of this Indenture, the right of any
Holder of a Security to receive payment of principal of and premium, if any, and
interest on and any Additional Amounts with respect to that Security, on or
after the respective due dates expressed in that Security, or to bring suit for
the enforcement of any such payment on or after those respective dates, is
absolute and unconditional and shall not be impaired or affected without the
consent of the Holder.

SECTION 6.08   Collection Suit by Trustee.

     If an Event of Default specified in clause (1) or (2) of Section 6.01
hereof occurs and is continuing with respect to Securities of any series, the
Trustee is authorized to recover judgment in its own name and as trustee of an
express trust against the Company for the amount of principal, premium (if any),
interest and any Additional Amounts remaining unpaid on the Securities of that
series, and interest on overdue principal and premium, if any, and, to the
extent lawful, interest on overdue interest, 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 is authorized to file such proofs of claim and other papers or
documents and to take such actions, including participating as a member, voting
or otherwise, of any committee of creditors, as may be necessary or advisable to
have the claims of the Trustee (including any claim for the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel) and the Holders allowed in any judicial proceeding relative to the
Company or its creditors or properties and shall be entitled and empowered to
collect, receive and distribute any money or other property payable or
deliverable on any such claims and any Bankruptcy Custodian in any such judicial
proceeding is hereby authorized by each Holder to make those payments to the
Trustee, and in the event that the Trustee shall consent to the making of those
payments directly to the Holders, to pay to the Trustee any amount due to it for
the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel, and any other amounts due the Trustee under
Section 7.07. To the extent that the payment of any such compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any other
amounts due the Trustee under Section 7.07 out of the estate in any such
proceeding, shall be denied for any reason, payment of the same shall be secured
by a lien on, and shall be paid out of, any and all distributions, dividends,
money, securities and other properties which the Holders of the Securities may
be entitled to receive in that proceeding whether in liquidation or under any
plan of reorganization or arrangement or otherwise. Nothing herein contained
shall be deemed to authorize the Trustee to authorize or consent to or accept or
adopt on behalf of any Holder any plan of reorganization, arrangement,
adjustment or composition affecting the Securities or the rights of any Holder
thereof, or to authorize the Trustee to vote in respect of the claim of any
Holder in any such proceeding.

                                       31
<PAGE>   37

SECTION 6.10   Priorities.

     If the Trustee collects any money pursuant to this Article VI, subject to
Article X, it shall pay out the money in the following order:

          First:  to the Trustee for amounts due under Section 7.07;

          Second: to Holders for amounts due and unpaid on the Securities in
     respect of which or for the benefit of which that money has been collected,
     for principal, premium (if any), interest and any Additional Amounts
     ratably, without preference or priority of any kind, according to the
     amounts due and payable on those Securities for principal, premium (if
     any), interest and any Additional Amounts, respectively; and

          Third:  to the Company.

     The Trustee, on prior written notice to the Company, may fix record dates
and payment dates for any payment to Holders pursuant to this Article VI.

     To the fullest extent allowed under applicable law, if for the purpose of
obtaining a judgment against the Company in any court it is necessary to convert
the sum due in respect of the principal of, premium (if any) or interest on or
Additional Amounts with respect to the Securities of any series (the "Required
Currency") into a currency in which a judgment will be rendered (the "Judgment
Currency"), the rate of exchange used shall be the rate at which in accordance
with normal banking procedures the Trustee could purchase in The City of New
York the Required Currency with the Judgment Currency on the New York Business
Day next preceding that on which final judgment is given. Neither the Company
nor the Trustee shall be liable for any shortfall nor shall it benefit from any
windfall in payments to Holders of Securities under this Section 6.10 caused by
a change in exchange rates between the time the amount of a judgment against it
is calculated as above and the time the Trustee converts the Judgment Currency
into the Required Currency to make payments under this Section to Holders of
Securities, but payment of that judgment shall discharge all amounts owed by the
Company on the claim or claims underlying that judgment.

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 a
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
6.07, or a suit by a Holder or Holders of more than 10% in principal amount of
the then outstanding Securities of any series.

                                       32
<PAGE>   38

                                  ARTICLE VII
                                    TRUSTEE

SECTION 7.01   Duties of Trustee.

          (a)  If an Event of Default with respect to the Securities of any
     series has occurred and is continuing, the Trustee shall exercise such of
     the rights and powers vested in it by this Indenture with respect to the
     Securities of that series, and use the same degree of care and skill in
     that exercise, as a prudent person would exercise or use under the
     circumstances in the conduct of his own affairs.

          (b) Except during the continuance of an Event of Default with respect
     to the Securities of any series:

               (1) the Trustee need perform only those duties that are
          specifically set forth in this Indenture and no others, and no implied
          covenants or obligations shall be read into this Indenture against the
          Trustee; and

               (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, on certificates or
          opinions furnished to the Trustee and conforming to the requirements
          of this Indenture. However, the Trustee shall examine those
          certificates and opinions to determine whether, on their face, they
          appear to conform to the requirements of this Indenture.

          (c)  The Trustee may not be relieved from liabilities 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 Section 7.01(b);

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

               (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 6.05 hereof.

          (d)  Whether or not therein expressly so provided, every provision of
     this Indenture that in any way relates to the Trustee is subject to the
     provisions of this Section 7.01.

          (e)  No provision of this Indenture shall require the Trustee to
     expend or risk its own funds or incur any liability. The Trustee may refuse
     to perform any duty or exercise any right or power unless it receives
     indemnity reasonably satisfactory to it against any loss, liability or
     expense.

                                       33
<PAGE>   39

          (f)  The Trustee shall not be liable for interest on any money
     received by it except as the Trustee may agree in writing with the Company.
     Money held in trust by the Trustee need not be segregated from other funds
     except to the extent required by law. All money received by the Trustee
     with respect to Securities of any series shall, until applied as herein
     provided, be held in trust for the payment of the principal of, premium (if
     any) and interest on and Additional Amounts with respect to the Securities
     of that series.

SECTION 7.02   Rights of Trustee.

          (a)  The Trustee may rely on 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 require
     instruction, an Officers' Certificate or an Opinion of Counsel or both to
     be provided. The Trustee shall not be liable for any action it takes or
     omits to take in good faith in reliance on that instruction, Officers'
     Certificate or Opinion of Counsel. The Trustee may consult with counsel,
     and the written advice of that counsel or any Opinion of Counsel shall be
     full and complete authorization and protection in respect of any action
     taken, suffered or omitted by it hereunder in good faith and in reliance
     thereon.

          (c)  The Trustee may act through agents and shall not be responsible
     for the misconduct or negligence of any agent appointed with due care.

          (d)  The Trustee shall not be liable for any action it takes or omits
     to take in good faith which it believes to be authorized or within its
     rights or powers conferred on it by this Indenture.

          (e)  Unless otherwise specifically provided in this Indenture, any
     demand, request, direction or notice from the Company shall be sufficient
     if signed by an Officer of the Company.

SECTION 7.03   May Hold Securities.

     The Trustee in its individual or any other capacity may become the owner or
pledgee of Securities and may otherwise deal with the Company or any of its
Affiliates with the same rights it would have if it were not Trustee. Any Agent
may do the same with like rights and duties. However, the Trustee is subject to
Sections 7.10 and 7.11.

SECTION 7.04   Trustee's Disclaimer.

     The Trustee makes no representation as to the validity or adequacy of this
Indenture or the Securities; it shall not be accountable for the Company's use
of the proceeds from the Securities or any money paid to the Company or upon the
Company's direction under any provision hereof; it shall not be responsible for
the use or application of any money received by any Paying Agent other than the
Trustee; and it shall not be responsible for any statement or recital herein or
any statement in the Securities other than its certificate of authentication.

                                       34
<PAGE>   40

SECTION 7.05   Notice of Defaults.

     If a Default or Event of Default with respect to the Securities of any
series occurs and is continuing and it is known to the Trustee, the Trustee
shall mail to Holders of Securities of that series a notice of the Default or
Event of Default within 90 days after it occurs. Except in the case of a Default
or Event of Default in payment of principal of, premium (if any) and interest on
and Additional Amounts or any sinking fund installment with respect to the
Securities of that series, the Trustee may withhold the notice if and so long as
a committee of its Trust Officers in good faith determines that withholding the
notice is in the interests of Holders of Securities of that series.

SECTION 7.06   Reports by Trustee to Holders.

     Within 60 days after each May 15 of each year after the execution of this
Indenture, the Trustee shall mail to Holders of a series and the Company a brief
report dated as of that reporting date that complies with TIA (S) 313(a);
provided, however, that if no event described in TIA (S) 313(a) has occurred
within the twelve months preceding the reporting date with respect to a series,
no report need be transmitted to Holders of that series. The Trustee also shall
comply with TIA (S) 313(b). The Trustee shall also transmit by mail all reports
if and as required by TIA (S)(S) 313(c) and 313(d).

     A copy of each report at the time of its mailing to Holders of a series of
Securities shall be filed by the Company with the SEC and each securities
exchange, if any, on which the Securities of that series are listed. The Company
shall notify the Trustee if and when any series of Securities is listed on any
stock exchange.

SECTION 7.07   Compensation and Indemnity.

     The Company agrees to pay to the Trustee from time to time reasonable
compensation for its acceptance of this Indenture and services hereunder. The
Trustee's compensation shall not be limited by any law on compensation of a
trustee of an express trust. The Company agrees to reimburse the Trustee on
request for all reasonable disbursements, advances and expenses incurred by it.
Those expenses shall include the reasonable compensation, disbursements and
expenses of the Trustee's agents and counsel.

     The Company hereby indemnifies the Trustee against any loss, liability or
expense incurred by it arising out of or in connection with the acceptance or
administration of its duties under this Indenture, except as set forth in the
next paragraph. The Trustee shall notify the Company promptly of any claim for
which it may seek indemnity. The Company shall defend the claim and the Trustee
shall cooperate in the defense. The Trustee may have separate counsel, and the
Company shall pay the reasonable fees and expenses of that counsel. The Company
need not pay for any settlement made without its consent.

     The Company shall not be obligated to reimburse any expense or indemnify
against any loss or liability incurred by the Trustee through negligence or bad
faith.

     To secure the payment obligations of the Company in this Section 7.07, the
Trustee shall have a lien prior to the Securities on all money or property held
or collected by the Trustee,

                                       35
<PAGE>   41

except that held in trust to pay principal of, premium (if any) and interest on
and any Additional Amounts with respect to the Securities of any series. That
lien shall survive the satisfaction and discharge of this Indenture.

     When the Trustee incurs expenses or renders services after an Event of
Default specified in Section 6.01(5) or (6) occurs, the expenses and the
compensation for the services are intended to constitute expenses of
administration under any Bankruptcy Law.

SECTION 7.08   Replacement of Trustee.

     A resignation or removal of the Trustee and appointment of a successor
Trustee shall become effective only on the successor Trustee's acceptance of
appointment as provided in this Section 7.08.

     The Trustee may resign and be discharged at any time with respect to the
Securities of one or more series by so notifying the Company. The Holders of a
majority in principal amount of the then outstanding Securities of any series
may remove the Trustee with respect to the Securities of that series by so
notifying the Trustee and the Company. The Company may remove the Trustee if:

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

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

        (3) a Bankruptcy Custodian or public officer takes charge of the Trustee
     or its property; or

        (4) the Trustee otherwise becomes incapable of acting.

     If the Trustee resigns or is removed or if a vacancy exists in the office
of Trustee for any reason, with respect to the Securities of one or more series,
the Company shall promptly appoint a successor Trustee or Trustees with respect
to the Securities of that or those series (it being understood that any such
successor Trustee may be appointed with respect to the Securities of one or more
or all of those series and that at any time there shall be only one Trustee with
respect to the Securities of any particular series). Within one year after the
successor Trustee with respect to the Securities of any series takes office, the
Holders of a majority in principal amount of the Securities of that series may
appoint a successor Trustee to replace the successor Trustee appointed by the
Company.

     If a successor Trustee with respect to the Securities of any series 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 principal
amount of the then outstanding Securities of that series may petition any court
of competent jurisdiction for the appointment of a successor Trustee with
respect to the Securities of that series.

     If the Trustee with respect to the Securities of a series fails to comply
with Section 7.10, any Holder of Securities of that series may petition any
court of competent jurisdiction for the

                                       36
<PAGE>   42

removal of the Trustee and the appointment of a successor Trustee with respect
to the Securities of that series.

     In case of the appointment of a successor Trustee with respect to all
Securities, each such successor Trustee shall deliver a written acceptance of
its appointment to the retiring Trustee and to the Company. Thereupon, 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 retiring
Trustee under this Indenture. The successor Trustee shall mail a notice of its
succession to Holders. The retiring Trustee shall promptly transfer all property
held by it as Trustee to the successor Trustee, subject to the lien provided for
in Section 7.07.

     In case of the appointment of a successor Trustee with respect to the
Securities of one or more (but not all) series, the Company, the retiring
Trustee and each successor Trustee with respect to the Securities of one or more
(but not all) series shall execute and deliver an indenture supplemental hereto
in which each successor Trustee shall accept that appointment and that (1) shall
confer to each successor Trustee all the rights, powers and duties of the
retiring Trustee with respect to the Securities of that or those series to which
the appointment of that successor Trustee relates, (2) if the retiring Trustee
is not retiring with respect to all Securities, shall confirm that all the
rights, powers and duties of the retiring Trustee with respect to the Securities
of that or those series as to which the retiring Trustee is not retiring shall
continue to be vested in the retiring Trustee and (3) shall add to or change any
of the provisions of this Indenture as shall be necessary to provide for or
facilitate the administration of the trusts hereunder by more than one Trustee.
Nothing herein or in that supplemental indenture shall constitute those Trustees
co-trustees of the same trust, and each such Trustee shall be trustee of a trust
or trusts hereunder separate and apart from any trust or trusts hereunder
administered by any other such Trustee. Upon the execution and delivery of that
supplemental indenture, the resignation or removal of the retiring Trustee shall
become effective to the extent provided therein, and each such successor Trustee
shall have all the rights, powers and duties of the retiring Trustee with
respect to the Securities of that or those series to which the appointment of
that successor Trustee relates. On the request of the Company or any successor
Trustee, that retiring Trustee shall transfer to that successor Trustee all
property held by that retiring Trustee as Trustee with respect to the Securities
of that or those series to which the appointment of that successor Trustee
relates.

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

SECTION 7.09   Successor Trustee by Merger, etc.

     Subject to Section 7.10, if the Trustee consolidates, merges or converts
into, or transfers all or substantially all of its corporate trust business to,
another corporation, the successor corporation without any further act shall be
the successor Trustee; provided, however, that in the case of a transfer of all
or substantially all of its corporate trust business to another corporation, the
transferee corporation expressly assumes all of the Trustee's liabilities
hereunder.

     In case any Securities shall have been authenticated, but not delivered, by
the Trustee then in office, any successor by merger, conversion or consolidation
to that authenticating

                                       37
<PAGE>   43

Trustee may adopt that authentication and deliver the Securities so
authenticated; and in case at that time any of the Securities shall not have
been authenticated, any successor to the Trustee may authenticate those
Securities either in the name of any predecessor hereunder or in the name of the
successor to the Trustee; and in all those cases those certificates shall have
the full force which it is anywhere in the Securities or in this Indenture
provided that the certificate of the Trustee shall have.

SECTION 7.10   Eligibility; Disqualification.

     There shall at all times be a Trustee hereunder which shall be a
corporation organized and doing business under the laws of the United States,
any State thereof or the District of Columbia and authorized under those laws to
exercise corporate trust power, shall be subject to supervision or examination
by Federal or State (or the District of Columbia) authority and shall have, or
be a Subsidiary of a bank or bank holding company having, a combined capital and
surplus of at least $50 million as set forth in its most recent published annual
report of condition.

     The Indenture shall always have a Trustee who satisfies the requirements of
TIA (S)(S) 310(a)(1), 310(a)(2) and 310(a)(5). The Trustee is subject to and
shall comply with the provisions of TIA (S) 310(b) during the period of time
required by this Indenture. Nothing in this Indenture shall prevent the Trustee
from filing with the SEC the application referred to in the penultimate
paragraph of TIA (S) 310(b).

SECTION 7.11   Preferential Collection of Claims Against Company.

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

                                 ARTICLE VIII

                            DISCHARGE OF INDENTURE

SECTION 8.01   Termination of Company's Obligations.

     (a) This Indenture shall cease to be of further effect with respect to the
Securities of a series (except as to any surviving rights of conversion or of
registration of transfer or exchange of Securities expressly provided for herein
and except that the Company's obligations under Section 7.07, the Trustee's and
Paying Agent's obligations under Section 8.03 and the rights, powers,
protections and privileges accorded the Trustee under Article VII shall
survive), and the Trustee, on demand of the Company, shall execute proper
instruments acknowledging the satisfaction and discharge of this Indenture with
respect to the Securities of that series, when:

          (1)  either

               (A) all outstanding Securities of that series theretofore
          authenticated and issued (other than destroyed, lost or stolen
          Securities that have been replaced or paid) have been delivered to the
          Trustee for cancellation; or

                                       38
<PAGE>   44

               (B) all outstanding Securities of that series not theretofore
          delivered to the Trustee for cancellation:

                   (i)  have become due and payable, or

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

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

          and, in the case of clause (i), (ii) or (iii) above, the Company has
          irrevocably deposited or caused to be deposited with the Trustee as
          funds (immediately available to the Holders in the case of clause (i))
          in trust for that purpose (x) cash in an amount, or (y) Government
          Obligations, maturing as to principal and interest at such times and
          in such amounts as will ensure the availability of cash in an amount
          or (z) a combination thereof, which will be sufficient, in the opinion
          (in the case of clauses (y) and (z)) of a nationally recognized firm
          of independent public accountants expressed in a written certification
          thereof delivered to the Trustee, to pay and discharge the entire
          indebtedness on the Securities of that series for principal and any
          interest and any Additional Amounts to the date of that deposit (in
          the case of Securities which have become due and payable) or for
          principal, premium, if any, interest and any Additional Amounts to the
          Stated Maturity or Redemption Date, as the case may be; or

               (C) the Company has properly fulfilled such other means of
          satisfaction and discharge as is specified, as contemplated by Section
          2.01, to be applicable to the Securities of that series;

          (2)  the Company has paid or caused to be paid all other sums payable
     by it hereunder with respect to the Securities of that series; and

          (3)  the Company has delivered to the Trustee an Officers' Certificate
     stating that all conditions precedent to satisfaction and discharge of this
     Indenture with respect to the Securities of that series have been complied
     with, together with an Opinion of Counsel to the same effect.

     (b)  Unless this Section 8.01(b) is specified as not being applicable to
Securities of a series as contemplated by Section 2.01, the Company may
terminate certain of its obligations under this Indenture ("covenant
defeasance") with respect to the Securities of a series if:

          (1)  the Company has irrevocably deposited or caused to be irrevocably
     deposited with the Trustee as trust funds in trust for the purpose of
     making the following payments, specifically pledged as security for and
     dedicated solely to the benefit of the Holders of Securities of that
     series, (i) money in the currency in which payment of the Securities of
     that series is to be made in an amount, or (ii) Government Obligations with

                                       39
<PAGE>   45

     respect to that series, maturing as to principal and interest at such times
     and in such amounts as will ensure the availability of money in the
     currency in which payment of the Securities of that series is to be made in
     an amount or (iii) a combination thereof, that is sufficient, in the
     opinion (in the case of clauses (ii) and (iii)) of a nationally recognized
     firm of independent public accountants expressed in a written certification
     thereof delivered to the Trustee, to pay, without consideration of the
     reinvestment of any such amounts and after payment of all taxes or other
     charges or assessments in respect thereof payable by the Trustee, the
     principal of and premium (if any) and interest on and any Additional
     Amounts with respect to all Securities of that series on each date that
     such principal, premium (if any), interest or Additional Amounts are due
     and payable and (at the Stated Maturity thereof or on redemption as
     provided in Section 8.01(e)) to pay all other sums payable by it hereunder;
     provided that the Trustee shall have been irrevocably instructed to apply
     that money and/or the proceeds of those Government Obligations to the
     payment of said principal, premium (if any), interest and Additional
     Amounts with respect to the Securities of that series as the same shall
     become due;

          (2) the Company has delivered to the Trustee an Officers' Certificate
     stating that all conditions precedent to satisfaction and discharge of this
     Indenture with respect to the Securities of that series have been complied
     with, and an Opinion of Counsel to the same effect;

          (3) no Default or Event of Default with respect to the Securities of
     that series shall have occurred and be continuing on the date of that
     deposit;

          (4) the Company shall have delivered to the Trustee an Opinion of
     Counsel from counsel reasonably acceptable to the Trustee or a tax ruling
     to the effect that the Holders of Securities of that series will not
     recognize income, gain or loss for Federal income tax purposes as a result
     of the Company's exercise of its option under this Section 8.01(b) and will
     be subject to Federal income tax on the same amount and in the same manner
     and at the same times as would have been the case if that option had not
     been exercised;

          (5) the Company has complied with any additional conditions specified
     pursuant to Section 2.01 to be applicable to the discharge of Securities of
     that series pursuant to this Section 8.01; and

          (6) that deposit and discharge shall not cause the Trustee to have a
     conflicting interest as defined in TIA (S) 310(b).

     In that event, this Indenture shall cease to be of further effect (except
as set forth in this paragraph), and the Trustee, on demand of the Company,
shall execute proper instruments acknowledging satisfaction and discharge under
this Indenture. However, the Company's obligations in Sections 2.05, 2.06, 2.07,
2.08, 2.09, 4.01, 4.02, 5.01, 7.07, 7.08 and 8.04, the Trustee's and Paying
Agent's obligations in Section 8.03 and the rights, powers, protections and
privileges accorded the Trustee under Article VII shall survive until all
Securities of that series are no longer outstanding. Thereafter, only the
Company's obligations in Section 7.07 and the

                                       40
<PAGE>   46

Trustee's and Paying Agent's obligations in Section 8.03 shall survive with
respect to Securities of that series.

     After making the irrevocable deposit pursuant to this Section 8.01(b) and
following satisfaction of the other conditions set forth herein, the Trustee on
request shall acknowledge in writing the discharge of the Company's obligations
under this Indenture with respect to the Securities of that series, except for
those surviving obligations specified above.

     In order to have money available on a payment date to pay principal of or
premium (if any) or interest on or any Additional Amounts with respect to the
Securities, the Government Obligations shall be payable as to principal or
interest on or before that payment date in such amounts as will provide the
necessary money.  Any such Government Obligations shall not be callable at the
issuer's option.

     (c)  If the Company has previously complied or is concurrently complying
with Section 8.01(b) (other than any additional conditions specified pursuant to
Section 2.01 that are expressly applicable only to covenant defeasance) with
respect to Securities of a series, then, unless this Section 8.01(c) is
specified as not being applicable to Securities of that series as contemplated
by Section 2.01, the Company may elect to be discharged ("legal defeasance")
from its obligations to make payments with respect to Securities of that series,
if:

          (7)  no Default or Event of Default under clauses (5) and (6) of
     Section 6.01 hereof shall have occurred at any time during the period
     ending on the 91st day after the date of deposit contemplated by Section
     8.01(b) (it being understood that this condition shall not be deemed
     satisfied until the expiration of that period);

          (8)  unless otherwise specified with respect to Securities of that
     series as contemplated by Section 2.01, the Company has delivered to the
     Trustee an  Opinion of Counsel from counsel reasonably acceptable to the
     Trustee to the effect referred to in Section 8.01(b)(4) with respect to
     that legal defeasance, which opinion is  based on (i) a private ruling of
     the Internal Revenue Service addressed to the Company, (ii) a published
     ruling of the Internal Revenue Service or (iii) a change in the applicable
     federal income tax law (including regulations) after the date of this
     Indenture;

          (9)  the Company has complied with any other conditions specified
     pursuant to Section 2.01 to be applicable to the legal defeasance of
     Securities of that series pursuant to this Section 8.01(c); and

          (10) the Company has delivered to the Trustee a Company Request
     requesting legal defeasance of  the Securities of that series and an
     Officers' Certificate stating that all conditions precedent with respect to
     legal defeasance of  the Securities of that series have been complied with,
     together with an Opinion of Counsel to the same effect.

     In that event, the Company will be discharged from its obligations under
this Indenture and the Securities of that series to pay principal of, premium
(if any) and interest on, and any Additional Amounts with respect to, Securities
of that series, the Company's obligations under Sections 4.01, 4.02 and 5.01
shall terminate with respect to those Securities, and the entire

                                       41
<PAGE>   47

indebtedness of the Company evidenced by those Securities shall be deemed paid
and discharged.

     (d) If and to the extent additional or alternative means of satisfaction,
discharge or defeasance of Securities of a series are specified to be applicable
to that series as contemplated by Section 2.01, the Company may terminate any or
all of its obligations under this Indenture with respect to Securities of a
series and any or all of its obligations under the Securities of that series if
it fulfills such other means of satisfaction and discharge as may be so
specified, as contemplated by Section 2.01, to be applicable to the Securities
of that series.

     (e) If Securities of any series subject to subsections (a), (b), (c) or (d)
of this Section 8.01 are to be redeemed prior to their Stated Maturity, whether
pursuant to any optional redemption provisions or in accordance with any
mandatory or optional sinking fund provisions, the terms of the applicable trust
arrangement shall provide for that redemption, and the Company shall make such
arrangements as are reasonably satisfactory to the Trustee for the giving of
notice of redemption by the Trustee in the name, and at the expense, of the
Company.

SECTION 8.02   Application of Trust Money.

     The Trustee or a trustee reasonably satisfactory to the Trustee and the
Company shall hold in trust money or Government Obligations deposited with it
pursuant to Section 8.01 hereof.  It shall apply the deposited money and the
money from Government Obligations through the Paying Agent and in accordance
with this Indenture to the payment of principal of, premium (if any) and
interest on and any Additional Amounts with respect to the Securities of the
series with respect to which the deposit was made.  Money and securities held in
trust are not subject to Article X.

SECTION 8.03   Repayment to Company.

     The Trustee and the Paying Agent shall promptly pay to the Company at any
time on the written request of the Company any excess money or Government
Obligations (or proceeds therefrom) held by them.

     Subject to the requirements of any applicable abandoned property laws, the
Trustee and the Paying Agent shall pay to the Company on written request any
money held by them for the payment of principal, premium (if any), interest or
any Additional Amounts that remain unclaimed for two years after the date on
which that payment shall have become due.  After payment to the Company, Holders
entitled to the money must look to the Company for payment as general creditors
unless an applicable abandoned property law designates another Person, and all
liability of the Trustee and the Paying Agent with respect to that money shall
cease.

SECTION 8.04   Reinstatement.

     If the Trustee or the Paying Agent is unable to apply any money or
Government Obligations deposited with respect to Securities of any series in
accordance with Section 8.01 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 that application, the obligations of the
Company under this Indenture with respect to the Securities of that series and

                                       42
<PAGE>   48

under the Securities of that series shall be revived and reinstated as though no
deposit had occurred pursuant to Section 8.01 until such time as the Trustee or
the Paying Agent is permitted to apply all such money or Government Obligations
in accordance with Section 8.01; provided, however, that if the Company has made
any payment of principal of, premium (if any) or interest on or any Additional
Amounts with respect to any Securities because of the reinstatement of its
obligations, the Company shall be subrogated to the rights of the Holders of
those Securities to receive such payment from the money or Government
Obligations held by the Trustee or the Paying Agent.

                                  ARTICLE IX
                    SUPPLEMENTAL INDENTURES AND AMENDMENTS

SECTION 9.01 Without Consent of Holders.

     The Company and the Trustee may amend or supplement this Indenture or the
Securities or waive any provision hereof or thereof without the consent of any
Holder:

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

        (2)  to comply with Section 5.01;

        (3)  to provide for uncertificated Securities in addition to or in place
     of certificated Securities, or to provide for the issuance of bearer
     Securities (with or without coupons);

        (4)  to provide any security for any series of Securities or to add
     guarantees of any series of Securities;

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

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

        (7)  to add any additional Events of Default with respect to all or any
     series of the Securities (and, if any such Event of Default is applicable
     to less than all series of Securities, specifying the series to which that
     Event of Default is applicable);

        (8)  to change or eliminate any of the provisions of this Indenture;
     provided that any such change or elimination shall become effective only
     when there is no outstanding Security of any series created prior to the
     execution of that amendment or supplemental indenture that is adversely
     affected in any material respect by that change in or elimination of that
     provision;

                                       43
<PAGE>   49

        (9)    to establish the form or terms of Securities of any series as
     permitted by Section 2.01;

        (10)   to supplement any of the provisions of this Indenture to such
     extent as shall be necessary to permit or facilitate the defeasance and
     discharge of any series of Securities pursuant to Section 8.01; provided,
     however, that any such action shall not adversely affect the interest of
     the Holders of Securities of that series or any other series of Securities
     in any material respect; or

        (11)   to evidence and provide for the acceptance of appointment
     hereunder by a successor Trustee with respect to the Securities of one or
     more series and to add to or change any of the provisions of this Indenture
     as shall be necessary to provide for or facilitate the administration of
     the trusts hereunder by more than one Trustee, pursuant to the requirements
     of Section 7.08.

     Upon the request of the Company, accompanied by a Board Resolution, and
upon receipt by the Trustee of the documents described in Section 9.06, the
Trustee shall, subject to Section 9.06, join with the Company in the execution
of any supplemental indenture authorized or permitted by the terms of this
Indenture and make any further appropriate agreements and stipulations that may
be therein contained.

SECTION 9.02   With Consent of Holders.

     Except as provided below in this Section 9.02, the Company and the Trustee
may amend or supplement this Indenture with the written consent (including
consents obtained in connection with a tender offer or exchange offer for
Securities of any one or more series or all series or a solicitation of consents
in respect of Securities of any one or more series or all series, provided that
in each case that offer or solicitation is made to all Holders of then
outstanding Securities of each such series (but the terms of that offer or
solicitation may vary from series to series)) of the Holders of at least a
majority in principal amount of the then outstanding Securities of all series
affected by that amendment or supplement (acting as one class).

     Upon the request of the Company, accompanied by a Board Resolution, and
upon the filing with the Trustee of evidence of the consent of the Holders as
aforesaid, and upon receipt by the Trustee of the documents described in Section
9.06, the Trustee shall, subject to Section 9.06, join with the Company in the
execution of that amendment or supplemental indenture.

     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 that consent approves the substance
thereof.

     The Holders of a majority in principal amount of the then outstanding
Securities of one or more series or of all series may waive compliance in a
particular instance by the Company with any provision of this Indenture with
respect to Securities of that series (including waivers obtained in connection
with a tender offer or exchange offer for Securities of that series or a
solicitation of consents in respect of Securities of that series, provided that
in each case that offer

                                       44
<PAGE>   50

or solicitation is made to all Holders of then outstanding Securities of that
series (but the terms of that offer or solicitation may vary from series to
series)).

     However, without the consent of each Holder affected, an amendment,
supplement  or waiver under this Section 9.02 may not:

        (1)   reduce the amount of Securities whose Holders must consent to an
     amendment, supplement or waiver;

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

        (3)   reduce the principal of, premium on or any mandatory sinking fund
     payment with respect to, or change the Stated Maturity of, any Security or
     reduce the amount of the principal of an Original Issue Discount Security
     that would be due and payable on a declaration of acceleration of the
     Maturity thereof pursuant to Section 6.02;

        (4)   reduce the premium, if any, payable on the redemption of any
     Security or change the time at which any Security may or shall be redeemed;

        (5)   change any obligation of the Company to pay Additional Amounts
     with respect to any Security;

        (6)   change the coin or currency or currencies (including composite
     currencies) in which any Security or any premium, interest or Additional
     Amounts with respect thereto are payable;

        (7)   impair the right to institute suit for the enforcement of any
     payment of principal of, premium (if any) or interest on or any Additional
     Amounts with respect to any Security pursuant to Sections 6.07 and 6.08,
     except as limited by Section 6.06;

        (8)   make any change in the percentage of principal amount of
     Securities necessary to waive compliance with certain provisions of this
     Indenture pursuant to Section 6.04 or 6.07 or make any change in this
     sentence of Section 9.02;

        (9)   modify the provisions of this Indenture with respect to the
     subordination of any Security in a manner adverse to the Holder thereof; or

        (10)  waive a continuing Default or Event of Default in the payment of
     principal of, premium (if any) or interest on or Additional Amounts with
     respect to the Securities.

     An amendment under this Section may not make any change that adversely
affects the rights under Article X of any holder of an issue of Senior
Indebtedness of the Company unless the holders of the issue pursuant to its
terms consent to the change.

     A supplemental indenture that changes or eliminates any covenant or other
provision of this Indenture which has expressly been included solely for the
benefit of one or more particular series of Securities, or which modifies the
rights of the Holders of Securities of that series with

                                       45
<PAGE>   51

respect to that covenant or other provision, shall be deemed not to affect the
rights under this Indenture of the Holders of Securities of any other series.

     The right of any Holder to participate in any consent required or sought
pursuant to any provision of this Indenture (and the obligation of the Company
to obtain any such consent otherwise required from that Holder) may be subject
to the requirement that such Holder shall have been the Holder of record of any
Securities with respect to which that consent is required or sought as of a date
identified by the Company in a notice furnished to Holders in accordance with
the terms of this Indenture.

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

SECTION 9.03   Compliance with Trust Indenture Act.

     Every amendment or supplement to this Indenture or the Securities shall
comply in form and substance with the TIA as then in effect.

SECTION 9.04   Revocation and Effect of Consents.

     Until an amendment, supplement or waiver becomes effective, a consent to it
by a Holder is a continuing consent by the Holder and every subsequent Holder of
a Security or portion of a Security that evidences the same debt as the
consenting Holder's Security, even if notation of the consent is not made on any
Security.  However, any such Holder or subsequent Holder may revoke the consent
as to his or her Security or portion of a Security if the Trustee receives
written notice of revocation before the date the amendment, supplement or waiver
becomes effective.  An amendment, supplement or waiver becomes effective in
accordance with its terms and thereafter binds every Holder.

     The Company may, but shall not be obligated to, fix a record date (which
need not comply with Section 316(c) of the TIA) for the purpose of determining
the Holders entitled to consent to any amendment, supplement or waiver or to
take any other action under this Indenture.  If a record date is fixed, then
notwithstanding the provisions of the immediately preceding paragraph, those
Persons who were Holders at that record date (or their duly designated proxies),
and only those Persons, shall be entitled to consent to that amendment,
supplement or waiver or to revoke any consent previously given, whether or not
those Persons continue to be Holders after that record date.  No consent shall
be valid or effective for more than 90 days after that record date unless
consents from Holders of the principal amount of Securities required hereunder
for that amendment or waiver to be effective shall have also been given and not
revoked within that 90-day period.

     After an amendment, supplement or waiver becomes effective, it shall bind
every Holder, unless it is of the type described in any of clauses (1) through
(9) of Section 9.02 hereof.  In that case, the amendment, supplement or waiver
shall bind each Holder who has consented to it and every subsequent Holder that
evidences the same debt as the consenting Holder's Security.

                                       46
<PAGE>   52

SECTION 9.05   Notation on or Exchange of Securities.

     If an amendment or supplement changes the terms of an outstanding Security,
the Company may require the Holder of the Security to deliver it to the Trustee.
The Trustee may place an appropriate notation on the Security at the request of
the Company regarding the changed terms and return it to the Holder.
Alternatively, if the Company so determines, the Company in exchange for the
Security shall issue and the Trustee shall authenticate a new Security that
reflects the changed terms.  Failure to make the appropriate notation or to
issue a new Security shall not affect the validity of that amendment or
supplement.

     Securities of any series authenticated and delivered after the execution of
any amendment or supplement may, and shall if required by the Company, bear a
notation in form approved by the Company as to any matter provided for in that
amendment or supplement.

SECTION 9.06   Trustee to Sign Amendments, etc.

     The Trustee shall sign any amendment or supplement authorized pursuant to
this Article if the amendment or supplement does not adversely affect the
rights, duties, liabilities or immunities of the Trustee.  If it does, the
Trustee may, but need not, sign it.  In signing or refusing to sign that
amendment or supplement, the Trustee shall be entitled to receive, and, subject
to Section 7.01 hereof, shall be fully protected in relying on, an Opinion of
Counsel provided at the expense of the Company as conclusive evidence that such
amendment or supplement is authorized or permitted by this Indenture, that it is
not inconsistent herewith, and that it will be valid and binding on the Company
in accordance with its terms.

                                   ARTICLE X
                                 SUBORDINATION

SECTION 10.01  Securities Subordinated to Senior Indebtedness.

     The Company and each Holder of a Security, by his or her acceptance
thereof, agree that (a) the payment of the principal of, premium (if any) and
interest on and any Additional Amounts with respect to each and all the
Securities and (b) any other payment in respect of the Securities, including on
account of the acquisition or redemption of Securities by the Company, is
subordinated, to the extent and in the manner provided in this Article X, to the
prior payment in full of all Senior Indebtedness of the Company, whether
outstanding at the date of this Indenture or thereafter created, incurred,
assumed or guaranteed, and that these subordination provisions are for the
benefit of the holders of Senior Indebtedness of the Company.

     Each Holder of a Security, by his or her acceptance thereof, acknowledges
and agrees that the provisions of this Article X are, and are intended to be, an
inducement and a consideration to all Persons who, in reliance on such
provisions, become holders of, or continue to hold, Senior Indebtedness of the
Company, and such provisions are made for the benefit of the holders of Senior
Indebtedness of the Company, and those holders are made obligees hereunder, and
any one or more of them may enforce such provisions.

                                       47
<PAGE>   53

SECTION 10.02  No Payment on Securities in Certain Circumstances.

           (a) Unless otherwise specified with respect to Securities of a series
     as contemplated by Section 2.01, no payment shall be made by or on behalf
     of the Company on account of the principal of, premium (if any) or interest
     on or any Additional Amounts with respect to the Securities of any series
     or to acquire any of those Securities (including any repurchases of those
     Securities pursuant to the provisions thereof at the option of the Holder
     of those Securities) for cash or property (other than Junior securities of
     the Company), or on account of any redemption provisions of those
     Securities, in the event of default in payment of any principal of, premium
     (if any) or interest on any Senior Indebtedness of the Company when the
     same becomes due and payable, whether at maturity or at a date fixed for
     prepayment or by declaration of acceleration or otherwise (a "Payment
     Default"), unless and until that Payment Default has been cured or waived
     or otherwise has ceased to exist.

           (b) Unless otherwise specified with respect to Securities of a series
     as contemplated by Section 2.01, no payment shall be made by or on behalf
     of the Company on account of the principal of, premium (if any) or interest
     on or any Additional Amounts with respect to the Securities of any series
     or to acquire any of those Securities (including any repurchases of those
     Securities pursuant to the provisions thereof at the option of the Holder
     of those Securities) for cash or property (other than Junior securities of
     the Company), or on account of the redemption provisions of those
     Securities, in the event of any event of default (other than a Payment
     Default) with respect to any Designated Senior Indebtedness permitting the
     holders of that Designated Senior Indebtedness (or a trustee or other
     representative on behalf of the holders thereof) to declare that Designated
     Senior Indebtedness due and payable prior to the date on which it would
     otherwise have become due and payable, on written notice thereof to the
     Company and the Trustee by any holders of Designated Senior Indebtedness
     (or a trustee or other representative on behalf of the holders thereof)
     (the "Payment Blocking Notice"), unless and until that event of default
     shall have been cured or waived or otherwise has ceased to exist; provided,
     that such payments may not be prevented pursuant to this Section 10.02(b)
     for more than 179 days after an applicable Payment Blocking Notice has been
     received by the Trustee unless the Designated Senior Indebtedness in
     respect of which that event of default exists has been declared due and
     payable in its entirety, in which case no such payment may be made until
     that acceleration has been rescinded or annulled or that Designated Senior
     Indebtedness has been paid in full.  Unless otherwise specified with
     respect to Securities of a series as contemplated by Section 2.01, no event
     of default that existed or was continuing on the date of any Payment
     Blocking Notice (whether or not that event of default is on the same issue
     of Designated Senior Indebtedness) may be made the basis for the giving of
     a second Payment Blocking Notice, and only one such Payment Blocking Notice
     may be given in any period of 365 consecutive days.

           (c) In furtherance of the provisions of Section 10.01, in the event
     that, notwithstanding the foregoing provisions of this Section 10.02, any
     payment or distribution of assets of the Company (other than Junior
     securities of the Company) shall be received by the Trustee or the Holders
     of the Securities of any series or any Paying Agent with respect thereto at
     a time when that payment or distribution was prohibited by

                                       48
<PAGE>   54

     the provisions of this Section 10.02, then, unless that payment or
     distribution is no longer prohibited by this Section 10.02, that payment or
     distribution (subject to the provisions of Section 10.07) shall be received
     and held in trust by the Trustee or such Holders or Paying Agent for the
     benefit of the holders of Senior Indebtedness of the Company, and shall be
     paid or delivered by the Trustee or such Holders or Paying Agent, as the
     case may be, to the holders of Senior Indebtedness of the Company remaining
     unpaid or unprovided for or their representative or representatives, or to
     the trustee or trustees under any indenture pursuant to which any
     instruments evidencing that Senior Indebtedness of the Company may have
     been issued, ratably, according to the aggregate amounts remaining unpaid
     on account of that Senior Indebtedness of the Company held or represented
     by each, for application to the payment of all Senior Indebtedness of the
     Company in full after giving effect to all concurrent payments and
     distributions to or for the holders of that Senior Indebtedness.

SECTION 10.03  Securities Subordinated to Prior Payment of All Senior
               Indebtedness on Dissolution, Liquidation or Reorganization.

     Upon any distribution of assets of the Company or upon any dissolution,
winding up, total or partial liquidation or reorganization of the Company,
whether voluntary or involuntary, in bankruptcy, insolvency, receivership or
similar proceeding or upon assignment for the benefit of creditors:

          (a)  the holders of all Senior Indebtedness of the Company shall first
     be entitled to receive payments in full before the Holders of Securities of
     any series are entitled to receive any payment (other than in the form of
     Junior securities of the Company) on account of the principal of, premium
     (if any) or interest on or any Additional Amounts with respect to those
     Securities;

          (b)  any payment or distribution of assets of the Company of any kind
     or character, whether in cash, property or securities (other than Junior
     securities of the Company), to which the Holders of Securities of any
     series or the Trustee on behalf of those Holders would be entitled, except
     for the provisions of this Article X, shall be paid by the liquidating
     trustee or agent or other Person making such a payment or distribution
     directly to the holders of that Senior Indebtedness or their
     representative, ratably according to the respective amounts of Senior
     Indebtedness held or represented by each, to the extent necessary to make
     payment in full of all that Senior Indebtedness remaining unpaid after
     giving effect to all concurrent payments and distributions to the holders
     of that Senior Indebtedness; and

          (c)  in the event that, notwithstanding the foregoing, any payment or
     distribution of assets of the Company of any kind or character, whether in
     cash, property or securities (other than Junior securities of the Company),
     shall be received by the Trustee or the Holders of Securities of any series
     or any Paying Agent with respect thereto (or, if the Company or any
     Affiliate of the Company is acting as its own Paying Agent, money for any
     such payment or distribution shall be segregated or held in trust) on
     account of the principal of, premium (if any) or interest on or any
     Additional Amounts with respect to the Securities of that series before all
     Senior Indebtedness of the Company

                                       49
<PAGE>   55

     is paid in full, that payment or distribution (subject to the provisions of
     Section 10.07) shall be received and held in trust by the Trustee or such
     Holder or Paying Agent for the benefit of the holders of that Senior
     Indebtedness, or their respective representatives, ratably according to the
     respective amounts of that Senior Indebtedness held or represented by each,
     to the extent necessary to make payment as provided herein of all that
     Senior Indebtedness remaining unpaid after giving effect to all concurrent
     payments and distributions and all provisions therefor to or for the
     holders of that Senior Indebtedness, but only to the extent that as to any
     holder of that Senior Indebtedness, as promptly as practical following
     notice from the Trustee to the holders of that Senior Indebtedness that
     such prohibited payment has been received by the Trustee, Holder(s) or
     Paying Agent (or has been segregated as provided above), that holder (or a
     representative therefor) notifies the Trustee of the amounts then due and
     owing on that Senior Indebtedness, if any, held by that holder, and only
     the amounts specified in those notices to the Trustee shall be paid to the
     holders of that Senior Indebtedness.

SECTION 10.04  Subrogation to Rights of Holders of Senior Indebtedness.

     Subject to the payment in full of all Senior Indebtedness of the Company as
provided herein, the Holders of the Securities shall be subrogated (to the
extent of the payments or distributions made to the holders of that Senior
Indebtedness pursuant to the provisions of this Article X) to the rights of the
holders of that Senior Indebtedness to receive payments or distributions of
assets of the Company applicable to that Senior Indebtedness until all amounts
owing on the Securities shall be paid in full.  For the purpose of that
subrogation, no such payments or distributions to the holders of that Senior
Indebtedness by the Company, or by or on behalf of the Holders of the Securities
by virtue of this Article X, which otherwise would have been made to those
Holders shall, as among the Company, its creditors other than the holders of
Senior Indebtedness of the Company and those Holders, be deemed to be payment by
the Company or on account of that Senior Indebtedness, it being understood that
the provisions of this Article X are and are intended solely for the purpose of
defining the relative rights of the Holders of the Securities, on the one hand,
and the holders of that Senior Indebtedness, on the other hand.

     If any payment or distribution to which the Holders of the Securities would
otherwise have been entitled but for the provisions of this Article X shall have
been applied, pursuant to the provisions of this Article X, to the payment of
amounts payable under Senior Indebtedness of the Company, then those Holders
shall be entitled to receive from the holders of that Senior Indebtedness any
payments or distributions received by those holders of Senior Indebtedness of
the Company in excess of the amount sufficient to pay all amounts payable under
or in respect of that Senior Indebtedness in full.

SECTION 10.05  Obligations of the Company Unconditional.

     Nothing contained in this Article X or elsewhere in this Indenture or in
the Securities is intended to or shall impair, as between the Company and the
Holders of the Securities of any series, the obligation of the Company, which is
absolute and unconditional, to pay to those Holders the principal of, premium
(if any) and interest on and any Additional Amounts with respect to the
Securities of that series as and when the same shall become due and payable in

                                       50
<PAGE>   56

accordance with their terms, or is intended to or shall affect the relative
rights of those Holders and creditors of the Company other than the holders of
Senior Indebtedness of the Company, nor shall anything herein or therein prevent
the Trustee or any Holder from exercising all remedies otherwise permitted by
applicable law on default under this Indenture, subject to the rights, if any,
under this Article X, of the holders of Senior Indebtedness of the Company in
respect of cash, property or securities of the Company received on the exercise
of any such remedy.  Notwithstanding anything to the contrary in this Article X
or elsewhere in this Indenture or in the Securities, on any distribution of
assets of the Company referred to in this Article X, the Trustee, subject to the
provisions of Sections 7.01 and 7.02, and the Holders of the Securities shall be
entitled to rely on any order or decree made by any court of competent
jurisdiction in which such dissolution, winding up, liquidation or
reorganization proceedings are pending, or a certificate of the liquidating
trustee or agent or other Person making any distribution to the Trustee or to
those Holders for the purpose of ascertaining the Persons entitled to
participate in that distribution, the holders of Senior Indebtedness of the
Company 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 X so long as that court has been apprised
of the provisions of, or the order, decree or certificate makes reference to,
the provisions of this Article X.

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 a Responsible Officer of the Trustee or any Paying
Agent shall have received, no later than two Business Days prior to that
payment, written notice thereof from the Company or from one or more holders of
Senior Indebtedness of the Company or from any representative therefor and,
prior to the receipt of any such written 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 Amounts Deposited with It.

     Amounts deposited in trust with the Trustee pursuant to and in accordance
with Article VIII shall be for the sole benefit of Holders of the Securities of
the series for the benefit of which those amounts were deposited, and, to the
extent allocated for the payment of Securities of that series, shall not be
subject to the subordination provisions of this Article X.  Otherwise, any
deposit of assets with the Trustee or the Paying Agent (whether or not in trust)
for the payment of principal of, premium (if any) or interest on or any
Additional Amounts with respect to any Securities shall be subject to the
provisions of Sections 10.01, 10.02, 10.03 and 10.04; provided that if prior to
two Business Days 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, premium (if any) or interest on
or any Additional Amounts with respect to any Security), the Trustee or such
Paying Agent shall not have received with respect to those assets the written
notice provided for in Section 10.06, then the Trustee or such Paying Agent
shall have full power and authority to receive those 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 that may be received by it on or after that date; and
provided further that nothing

                                       51
<PAGE>   57

contained in this Article X shall prevent the Company from making, or the
Trustee from receiving or applying, any payment in connection with the
redemption of Securities if the first publication of notice of that redemption
(whether by mail or otherwise in accordance with this Indenture) has been made,
and the Trustee has received that payment from the Company, prior to the
occurrence of any of the contingencies specified in Section 10.02 or 10.03.

SECTION 10.08  Subordination Rights Not Impaired by Acts or Omissions of the
               Company or Holders of Senior Indebtedness.

     No right of any present or future holders of any Senior Indebtedness of the
Company to enforce the subordination provisions contained in this Article X
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, in good faith,
by any such holder, or by any noncompliance by the Company with the terms of
this Indenture, regardless of any knowledge thereof that any such holder may
have or be otherwise charged with.  The holders of Senior Indebtedness of the
Company may extend, renew, modify or amend the terms of the Senior Indebtedness
or any security therefor and release, sell or exchange that security and
otherwise deal freely with the Company, all without affecting the liabilities
and obligations of the parties to this Indenture or the Holders of the
Securities.

SECTION 10.09  Trustee to Effectuate Subordination of Securities.

     Each Holder of a Security by his acceptance thereof authorizes and
expressly directs the Trustee on his behalf to take such action as may be
necessary or appropriate to effectuate the subordination provisions contained in
this Article X and to protect the rights of the Holders of the Securities
pursuant to this Indenture, and appoints the Trustee his attorney-in-fact for
that purpose, including, in the event of any dissolution, winding up,
liquidation or reorganization of the Company (whether in bankruptcy, insolvency
or receivership proceedings or upon an assignment for the benefit of creditors
of the Company), the filing of a claim for the unpaid balance of his Securities
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 that proceeding prior to 30 days before the expiration of the time
to file such claim or claims, then the holders of Senior Indebtedness of the
Company or their representative is hereby authorized to have the right to file
and is hereby authorized to file an appropriate claim for and on behalf of the
Holders of said Securities.  Nothing herein contained shall be deemed to
authorize the Trustee or the holders of Senior Indebtedness of the Company or
their representative to authorize or consent to or accept or adopt on behalf of
any Holder of Securities any plan of reorganization, arrangement, adjustment or
composition affecting the Securities or the rights of any Holder thereof, or to
authorize the Trustee or the holders of Senior Indebtedness of the Company or
their representative to vote in respect of the claim of any Holder of the
Securities in any such proceeding.

SECTION 10.10  Right of Trustee to Hold Senior Indebtedness.

     The Trustee in its individual capacity shall be entitled to all of the
rights set forth in this Article X in respect of any Senior Indebtedness of the
Company at any time held by it to the

                                       52
<PAGE>   58

same extent as any other holder of Senior Indebtedness of the Company, and
nothing in this Indenture shall be construed to deprive the Trustee of any of
its rights as such holder.

SECTION 10.11  Article X Not to Prevent Events of Default.

     The failure to make a payment on account of principal of or premium (if
any) or interest on or any Additional Amounts with respect to the Securities by
reason of any provision of this Article X shall not be construed as preventing
the occurrence of a Default or an Event of Default under Section 6.01 or in any
way prevent the Holders of the Securities from exercising any right hereunder
other than the right to receive payment on the Securities.

SECTION 10.12  No Fiduciary Duty of Trustee to Holders of Senior Indebtedness.

     The Trustee shall not be deemed to owe any fiduciary duty to the holders of
Senior Indebtedness of the Company, and shall not be liable to any of those
holders (other than for its willful misconduct or gross negligence) if it shall
in good faith mistakenly pay over or distribute to the Holders of the Securities
or the Company or any other Person, cash, property or securities to which any
holders of Senior Indebtedness of the Company shall be entitled by virtue of
this Article X or otherwise.  Nothing in this Section 10.12 shall affect the
obligation of any other such Person to hold that payment for the benefit of, and
to pay that payment over to, the holders of Senior Indebtedness of the Company
or their representative.

SECTION 10.13  Article Applicable to Paying Agent.

     In case at any time any Paying Agent other than the Trustee shall have been
appointed by the Company and be then acting hereunder, the term "Trustee" as
used in this Article X shall in that case (unless the context shall otherwise
require) be construed as extending to and including that Paying Agent within its
meaning as fully for all intents and purposes as if that Paying Agent were named
in this Article in addition to or in place of the Trustee; provided, however,
that this Section 10.13 shall not apply to the Company or any Affiliate of the
Company if it or that Affiliate acts as Paying Agent.

                                  ARTICLE XI
                                 MISCELLANEOUS

SECTION 11.01  Trust Indenture Act Controls.

     If any provision of this Indenture limits, qualifies or conflicts with the
duties imposed by operation of TIA (S) 318(c), the imposed duties shall control.

SECTION 11.02  Notices.

     Any notice or communication by the Company or the Trustee to the other is
duly given if in writing and delivered in person or mailed by first-class mail
(registered or certified, return receipt requested), telex, facsimile or
overnight air courier guaranteeing next day delivery, to the other's address:

                                       53
<PAGE>   59

          If to the Company:

          PetroQuest Energy, Inc.
          400 E. Kaliste Saloom Road, Suite 3000
          Lafayette, Louisiana 70508
          Attention:  General Counsel

          If to the Trustee:

          ______________________________
          ______________________________
          ______________________________
          ______________________________

     The Company or the Trustee by notice to the other may designate additional
or different addresses for subsequent notices or communications.

     All notices and communications shall be deemed to have been duly given: at
the time delivered by hand, if personally delivered; five Business Days after
being deposited in the mail, postage prepaid, if mailed; when answered back, if
telexed; when receipt acknowledged, if by facsimile; and the next Business Day
after timely delivery to the courier, if sent by overnight air courier
guaranteeing next day delivery.

     Any notice or communication to a Holder shall be mailed by first-class
mail, postage prepaid, to the Holder's address shown on the register kept by the
Registrar.  Failure to mail a notice or communication to a Holder 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 within
the time prescribed, it is duly given, whether or not the addressee receives it,
except in the case of notice to the Trustee, it is duly given only when
received.

     If the Company mails a notice or communication to Holders, it shall mail a
copy to the Trustee and each Agent at the same time.

     All notices or communications, including without limitation notices to the
Trustee or the Company by Holders, shall be in writing, except as otherwise set
forth herein.

     In case by reason of the suspension of regular mail service, or by reason
of any other cause, it shall be impossible to mail any notice required by this
Indenture, then such method of notification as shall be made with the approval
of the Trustee shall constitute a sufficient mailing of that notice.

                                       54
<PAGE>   60

SECTION 11.03  Communication by Holders with Other Holders.

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

SECTION 11.04  Certificate and Opinion as to Conditions Precedent.

     Upon any request or application by the Company to the Trustee to take any
action under this Indenture, the Company shall, if requested by the Trustee,
furnish to the Trustee at the expense of the Company:

        (1) an Officers' Certificate (which shall include the statements set
     forth in Section 11.05) stating that, in the opinion of the signers, all
     conditions precedent and covenants, if any, provided for in this Indenture
     relating to the proposed action have been complied with; and

        (2) an Opinion of Counsel (which shall include the statements set forth
     in Section 11.05 hereof) stating that, in the opinion of that counsel, all
     those conditions precedent and covenants have been complied with.

SECTION 11.05  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 a certificate provided
pursuant to TIA (S) 314(a)(4)) shall comply with the provisions of TIA (S)
314(e) and shall include:

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

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

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

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

SECTION 11.06  Rules by Trustee and Agents.

     The Trustee may make reasonable rules for action by or at a meeting of
Holders.  The Registrar or the Paying Agent may make reasonable rules and set
reasonable requirements for its functions.

                                       55
<PAGE>   61

SECTION 11.07    Legal Holidays.

     If a payment date is a Legal Holiday at a Place of Payment, payment may be
made at that place on the next succeeding day that is not a Legal Holiday, and
no interest shall accrue for the intervening period.

SECTION 11.08    No Recourse Against Others.

     A director, officer, employee, stockholder, partner or other owner of the
Company or the Trustee, as such, shall not have any liability for any
obligations of the Company under the Securities or for any obligations of the
Company or the Trustee under this Indenture or for any claim based on, in
respect of or by reason of those obligations or their creation.  Each Holder by
accepting a Security waives and releases all that liability.  The waiver and
release shall be part of the consideration for the issue of Securities.

SECTION 11.09    Governing Law.

     THIS INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY
PRINCIPLES OF CONFLICTS OF LAWS THEREUNDER TO THE EXTENT THE LAWS OF ANOTHER
JURISDICTION WOULD BE REQUIRED THEREBY.

SECTION 11.10    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 Subsidiary.  Any such indenture, loan or debt
agreement may not be used to interpret this Indenture.

SECTION 11.11    Successors.

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

SECTION 11.12    Severability.

     In case any provision in this Indenture or in the Securities shall be
invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions shall, to the fullest extent permitted by applicable
law,  not in any way be affected or impaired thereby.

SECTION 11.13    Counterpart Originals.

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

                                       56
<PAGE>   62

SECTION 11.14  Table of Contents, Headings, etc.

     The table of contents, cross-reference table and headings of the Articles
and Sections of this Indenture have been inserted for convenience of reference
only, are not to be considered a part hereof and shall in no way modify or
restrict any of the terms or provisions hereof.

                                       57
<PAGE>   63

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

                              PETROQUEST ENERGY, INC.

                              By:  ____________________________________
                                   Name:
                                   Title:

                              _________________________________________
                                   as Trustee

                              By:  ____________________________________
                                   Name:
                                   Title:

                                       58<PAGE>   1
                                                                     EXHIBIT 4.3

                           [FORM OF SENIOR INDENTURE]

================================================================================

                              TEPPCO PARTNERS, L.P.

                                   AS ISSUER,

                TE PRODUCTS PIPELINE COMPANY, LIMITED PARTNERSHIP

                                       AND

                                   TCTM, L.P.

                            AS SUBSIDIARY GUARANTORS,

                                       AND

                           FIRST UNION NATIONAL BANK,
                         A NATIONAL BANKING ASSOCIATION

                                   AS TRUSTEE

                                    INDENTURE

                            DATED AS OF ____________

                                 DEBT SECURITIES

================================================================================

<PAGE>   2

                              CROSS-REFERENCE TABLE

<TABLE>
<CAPTION>
TIA SECTION                                                                          INDENTURE SECTION
<S>    <C>                                                                           <C>
310    (a).........................................................................  7.10
       (b).........................................................................  7.10
       (c).........................................................................  N.A.
311    (a).........................................................................  7.11
       (b).........................................................................  7.11
       (c).........................................................................  N.A.
312    (a).........................................................................  5.01
       (b).........................................................................  5.02
       (c).........................................................................  5.02
313    (a).........................................................................  5.03
       (b).........................................................................  5.03
       (c).........................................................................  13.03
       (d).........................................................................  5.03
314    (a).........................................................................  4.05
       (b).........................................................................  N.A.
       (c)(1)......................................................................  13.05
       (c)(2)......................................................................  13.05
       (c)(3)......................................................................  N.A.
       (d).........................................................................  N.A.
       (e).........................................................................  13.05
       (f).........................................................................  N.A.
315    (a).........................................................................  7.01
       (b).........................................................................  6.07 & 13.03
       (c).........................................................................  7.01
       (d).........................................................................  7.01
       (e).........................................................................  6.08
316    (a) (last sentence).........................................................  1.01
       (a)(1)(A)...................................................................  6.06
       (a)(1)(B)...................................................................  6.06
       (a)(2)......................................................................  9.01(d)
       (b).........................................................................  6.04
       (c).........................................................................  5.04
317    (a)(1)......................................................................  6.02
       (a)(2)......................................................................  6.02
       (b).........................................................................  4.04
318    (a).........................................................................  13.07
</TABLE>

N.A. means Not Applicable

NOTE: This Cross-Reference table shall not, for any purpose, be deemed part of
this Indenture.

                                        i
<PAGE>   3

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----

                                                      ARTICLE I
                                      DEFINITIONS AND INCORPORATION BY REFERENCE

<S>                   <C>                                                                                      <C>
   Section 1.01.      Definitions.................................................................................1
   Section 1.02.      Other Definitions...........................................................................7
   Section 1.03.      Incorporation by Reference of Trust Indenture Act...........................................7
   Section 1.04.      Rules of Construction.......................................................................7

                                                      ARTICLE II
                                                   DEBT SECURITIES

   Section 2.01.      Forms Generally.............................................................................7
   Section 2.02.      Form of Trustee's Certificate of Authentication.............................................8
   Section 2.03.      Principal Amount; Issuable in Series........................................................8
   Section 2.04.      Execution of Debt Securities...............................................................10
   Section 2.05.      Authentication and Delivery of Debt Securities.............................................11
   Section 2.06.      Denomination of Debt Securities............................................................12
   Section 2.07.      Registration of Transfer and Exchange......................................................12
   Section 2.08.      Temporary Debt Securities..................................................................14
   Section 2.09.      Mutilated, Destroyed, Lost or Stolen Debt Securities.......................................14
   Section 2.10.      Cancellation of Surrendered Debt Securities................................................15
   Section 2.11.      Provisions of the Indenture and Debt Securities for the Sole Benefit of the
                      Parties and the Holders....................................................................15
   Section 2.12.      Payment of Interest; Interest Rights Preserved.............................................16
   Section 2.13.      Securities Denominated in Dollars..........................................................16
   Section 2.14.      Wire Transfers.............................................................................16
   Section 2.15.      Securities Issuable in the Form of a Global Security.......................................16
   Section 2.16.      Medium Term Securities.....................................................................19
   Section 2.17.      Defaulted Interest.........................................................................19
   Section 2.18.      CUSIP Numbers..............................................................................20

                                                     ARTICLE III
                                            REDEMPTION OF DEBT SECURITIES

   Section 3.01.      Applicability of Article...................................................................20
   Section 3.02.      Notice of Redemption; Selection of Debt Securities.........................................20
   Section 3.03.      Payment of Debt Securities Called for Redemption...........................................22
   Section 3.04.      Mandatory and Optional Sinking Funds.......................................................23
   Section 3.05.      Redemption of Debt Securities for Sinking Fund.............................................23

                                                      ARTICLE IV
                                       PARTICULAR COVENANTS OF THE PARTNERSHIP

   Section 4.01.      Payment of Principal of, and Premium, If Any, and Interest on, Debt Securities.............25
</TABLE>

                                       ii
<PAGE>   4

<TABLE>
<S>                   <C>                                                                                     <C>
   Section 4.02.      Maintenance of Offices or Agencies for Registration of Transfer, Exchange and
                      Payment of Debt Securities.................................................................25
   Section 4.03.      Appointment to Fill a Vacancy in the Office of Trustee.....................................25
   Section 4.04.      Duties of Paying Agents, etc...............................................................26
   Section 4.05.      SEC Reports; Financial Statements..........................................................26
   Section 4.06.      Compliance Certificate.....................................................................27
   Section 4.07.      Further Instruments and Acts...............................................................28
   Section 4.08.      Existence..................................................................................28
   Section 4.09.      Maintenance of Properties..................................................................28
   Section 4.10.      Payment of Taxes and Other Claims..........................................................28

                                                      ARTICLE V
                                      HOLDERS' LISTS AND REPORTS BY THE TRUSTEE

   Section 5.01.      Partnership to Furnish Trustee Information as to Names and Addresses of Holders;
                      Preservation of Information................................................................28
   Section 5.02.      Communications to Holders..................................................................29
   Section 5.03.      Reports by Trustee.........................................................................29
   Section 5.04.      Record Dates for Action by Holders.........................................................29

                                                      ARTICLE VI
                               REMEDIES OF THE TRUSTEE AND HOLDERS IN EVENT OF DEFAULT

   Section 6.01.      Events of Default..........................................................................30
   Section 6.02.      Collection of Debt by Trustee, etc.........................................................32
   Section 6.03.      Application of Moneys Collected by Trustee.................................................33
   Section 6.04.      Limitation on Suits by Holders.............................................................34
   Section 6.05.      Remedies Cumulative; Delay or Omission in Exercise of Rights Not a Waiver of
                      Default....................................................................................35
   Section 6.06.      Rights of Holders of Majority in Principal Amount of Debt Securities to Direct
                      Trustee and to Waive Default...............................................................35
   Section 6.07.      Trustee to Give Notice of Defaults Known to It, but May Withhold Such Notice in
                      Certain Circumstances......................................................................35
   Section 6.08.      Requirement of an Undertaking To Pay Costs in Certain Suits under the Indenture or
                      Against the Trustee........................................................................36

                                                     ARTICLE VII
                                                CONCERNING THE TRUSTEE

   Section 7.01.      Certain Duties and Responsibilities........................................................36
   Section 7.02.      Certain Rights of Trustee..................................................................37
   Section 7.03.      Trustee Not Liable for Recitals in Indenture or in Debt Securities.........................38
   Section 7.04.      Trustee, Paying Agent or Registrar May Own Debt Securities.................................39
   Section 7.05.      Moneys Received by Trustee to Be Held in Trust.............................................39
   Section 7.06.      Compensation and Reimbursement.............................................................39
   Section 7.07.      Right of Trustee to Rely on an Officers' Certificate Where No Other Evidence
                      Specifically Prescribed....................................................................40
   Section 7.08.      Separate Trustee; Replacement of Trustee...................................................40
   Section 7.09.      Successor Trustee by Merger................................................................41
</TABLE>

                                       iii
<PAGE>   5

<TABLE>
<S>                   <C>                                                                                      <C>
   Section 7.10.      Eligibility; Disqualification..............................................................41
   Section 7.11.      Preferential Collection of Claims Against Partnership......................................42
   Section 7.12.      Compliance with Tax Laws...................................................................42

                                                     ARTICLE VIII
                                                CONCERNING THE HOLDERS

   Section 8.01.      Evidence of Action by Holders..............................................................42
   Section 8.02.      Proof of Execution of Instruments and of Holding of Debt Securities........................42
   Section 8.03.      Who May Be Deemed Owner of Debt Securities.................................................42
   Section 8.04.      Instruments Executed by Holders Bind Future Holders........................................43

                                                      ARTICLE IX
                                               SUPPLEMENTAL INDENTURES

   Section 9.01.      Purposes for Which Supplemental Indenture May Be Entered into Without Consent of
                      Holders....................................................................................43
   Section 9.02.      Modification of Indenture with Consent of Holders of Debt Securities.......................45
   Section 9.03.      Effect of Supplemental Indentures..........................................................46
   Section 9.04.      Debt Securities May Bear Notation of Changes by Supplemental Indentures....................46

                                                      ARTICLE X
                                      CONSOLIDATION, MERGER, SALE OR CONVEYANCE

   Section 10.01.     Consolidations and Mergers of the Partnership and the Subsidiary Guarantors................47
   Section 10.02.     Rights and Duties of Successor Partnership or Successor Subsidiary Guarantor...............47

                                                      ARTICLE XI
                                            SATISFACTION AND DISCHARGE OF
                                       INDENTURE; DEFEASANCE; UNCLAIMED MONEYS

   Section 11.01.     Applicability of Article...................................................................48
   Section 11.02.     Satisfaction and Discharge of Indenture; Defeasance........................................48
   Section 11.03.     Conditions of Defeasance...................................................................49
   Section 11.04.     Application of Trust Money.................................................................50
   Section 11.05.     Repayment to Partnership...................................................................50
   Section 11.06.     Indemnity for U.S. Government Obligations..................................................50
   Section 11.07.     Reinstatement..............................................................................50

                                                     ARTICLE XII
                                                      [RESERVED]

                                                     ARTICLE XIII
                                               MISCELLANEOUS PROVISIONS

   Section 13.01.     Successors and Assigns of Partnership Bound by Indenture...................................51
   Section 13.02.     Acts of Board, Committee or Officer of Successor Partnership Valid.........................51
</TABLE>

                                       iv
<PAGE>   6

<TABLE>
<S>                   <C>                                                                                      <C>
   Section 13.03.     Required Notices or Demands................................................................51
   Section 13.04.     Indenture and Debt Securities to Be Construed in Accordance with the Laws of the
                      State of New York..........................................................................52
   Section 13.05.     Officers' Certificate and Opinion of Counsel to Be Furnished upon Application or
                      Demand by the Partnership..................................................................52
   Section 13.06.     Payments Due on Legal Holidays.............................................................53
   Section 13.07.     Provisions Required by TIA to Control......................................................53
   Section 13.08.     Computation of Interest on Debt Securities.................................................53
   Section 13.09.     Rules by Trustee, Paying Agent and Registrar...............................................53
   Section 13.10.     No Recourse Against Others.................................................................53
   Section 13.11.     Severability...............................................................................53
   Section 13.12.     Effect of Headings.........................................................................54
   Section 13.13.     Indenture May Be Executed in Counterparts..................................................54

                                                     ARTICLE XIV
                                                      GUARANTEE

   Section 14.01.     Unconditional Guarantee....................................................................54
   Section 14.02.     Execution and Delivery of Guarantee........................................................56
   Section 14.03.     Limitation on Subsidiary Guarantors' Liability.............................................56
   Section 14.04.     Release of Subsidiary Guarantors from Guarantee............................................56
   Section 14.05.     Subsidiary Guarantor Contribution..........................................................57
</TABLE>

Notation of Guarantee               Annex A

                                        v
<PAGE>   7

         INDENTURE dated as of ___________ among TEPPCO Partners, L.P., a
Delaware limited partnership (the "Partnership"), TE Products Pipeline Company,
Limited Partnership ("TE Products"), a Delaware limited partnership, TCTM, L.P.,
a Delaware limited partnership ("TCTM" and together with TE Products,
"Subsidiary Guarantors"), and First Union National Bank, a national banking
association, as trustee (the "Trustee").

            RECITALS OF THE PARTNERSHIP AND THE SUBSIDIARY GUARANTORS

         The Partnership and Subsidiary Guarantors have duly authorized the
execution and delivery of this Indenture to provide for the issuance from time
to time of the Partnership's debentures, notes, bonds or other evidences of
indebtedness to be issued in one or more series unlimited as to principal amount
(herein called the "Debt Securities"), and the Guarantee by each of the
Subsidiary Guarantors of the Debt Securities, as in this Indenture provided.

         The Partnership and the Subsidiary Guarantors are members of the same
consolidated group of companies. The Subsidiary Guarantors will derive direct
and indirect economic benefit from the issuance of the Debt Securities.
Accordingly, each Subsidiary Guarantor has duly authorized the execution and
delivery of this Indenture to provide for its full, unconditional and joint and
several guarantee of the Debt Securities to the extent provided in or pursuant
to this Indenture.

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

         NOW, THEREFORE, THIS INDENTURE WITNESSETH

         That in order to declare the terms and conditions upon which the Debt
Securities are authenticated, issued and delivered, and in consideration of the
premises, and of the purchase and acceptance of the Debt Securities by the
holders thereof, the Partnership and the Trustee covenant and agree with each
other, for the benefit of the respective Holders from time to time of the Debt
Securities or any series thereof, as follows:

                                    ARTICLE I
                   DEFINITIONS AND INCORPORATION BY REFERENCE

         Section 1.01. Definitions.

         "Affiliate" of any specified Person means any other Person directly or
indirectly controlling or controlled by or under direct or indirect common
control with such specified Person. For the purposes of this definition,
"control" when used with respect to any specified Person means the power to
direct the management and policies of such Person, directly or indirectly,
whether through the ownership of voting securities, by contract or otherwise;
and the terms "controlling" and "controlled" have meanings correlative to the
foregoing. The Trustee may request and may conclusively rely upon an Officers'
Certificate to determine whether any Person is an Affiliate of any specified
Person.

         "Agent" means any Registrar or paying agent.

                                       1
<PAGE>   8

         "Bankruptcy Law" means title 11, U.S. Code or any similar federal or
state law for the relief of debtors.

         "Board of Directors" means the Board of Directors of the General
Partner or any authorized committee of the Board of Directors of the General
Partner or any directors and/or officers of the General Partner to whom such
Board of Directors or such committee shall have duly delegated its authority to
act hereunder. If the Partnership shall change its form of entity to other than
a limited partnership, the references to the Board of Directors of the General
Partner shall mean the Board of Directors (or other comparable governing body)
of the Partnership.

         "Business Day" means any day other than a Legal Holiday.

         "capital stock" of any Person means and includes any and all shares,
rights to purchase, warrants or options (whether or not currently exercisable),
participation or other equivalents of or interests in (however designated) the
equity (which includes, but is not limited to, common stock, preferred stock and
partnership and joint venture interests) of such Person (excluding any debt
securities that are convertible into, or exchangeable for, such equity).

         "Custodian" means any receiver, trustee, assignee, liquidation or
similar official under any Bankruptcy Law.

         "Debt" of any Person at any date means any obligation created or
assumed by such Person for the repayment of borrowed money and any guarantee
therefor.

         "Debt Security" or "Debt Securities" has the meaning stated in the
first recital of this Indenture and more particularly means any debt security or
debt securities, as the case may be of any series authenticated and delivered
under this Indenture.

         "Default" means any event, act or condition that is, or after notice or
the passage of time or both would be, an Event of Default.

         "Depositary" means, unless otherwise specified by the Partnership
pursuant to either Section 2.03 or 2.15, with respect to Debt Securities of any
series issuable or issued in whole or in part in the form of one or more Global
Securities, The Depository Trust Company, New York, New York, or any successor
thereto registered as a clearing agency under the Exchange Act or other
applicable statute or regulations.

         "Dollar" or "$" means such currency of the United States as at the time
of payment is legal tender for the payment of public and private debts.

         "Exchange Act" means the Securities Exchange Act of 1934, as amended,
and any successor statute.

         "Floating Rate Security" means a Debt Security that provides for the
payment of interest at a variable rate determined periodically by reference to
an interest rate index specified pursuant to Section 2.03.

                                       2
<PAGE>   9

         "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, as in effect on the date on which the Debt
Securities of the applicable series are issued.

         "General Partner" means Texas Eastern Products Pipeline Company, LLC, a
Delaware limited liability company, and its successors as general partner of the
Partnership.

         "Global Security" means with respect to any series of Debt Securities
issued hereunder, a Debt Security which is executed by the Partnership and
authenticated and delivered by the Trustee to the Depositary or pursuant to the
Depositary's instruction, all in accordance with this Indenture and any
Indentures supplemental hereto, or resolution of the Board of Directors and set
forth in an Officers' Certificate, which shall be registered in the name of the
Depositary or its nominee and which shall represent, and shall be denominated in
an amount equal to the aggregate principal amount of, all the Outstanding Debt
Securities of such series or any portion thereof, in either case having the same
terms, including, without limitation, the same original issue date, date or
dates on which principal is due and interest rate or method of determining
interest.

         "guarantee" means any obligation, contingent or otherwise, of any
Person directly or indirectly guaranteeing any Debt or other obligation of any
other Person and any obligation, direct or indirect, contingent or otherwise, of
such Person (a) to purchase or pay (or advance or supply funds for the purchase
or payment of) such Debt or other obligation of such other Person (whether
arising by virtue of partnership arrangements, or by agreement to keep-well, to
purchase assets, goods, securities or services, to take-or-pay, or to maintain
financial statement conditions or otherwise) or (b) entered into for purposes of
assuring in any other manner the obligee of such Debt or other obligation of the
payment thereof or to protect such obligee against loss in respect thereof (in
whole or in part); provided, however, that the term "guarantee" shall not
include endorsements for collection or deposit in the ordinary course of
business. The term "guarantee" used as a verb has a corresponding meaning.

         "Holder," "Holder of Debt Securities" or other similar terms means, a
Person in whose name a Debt Security is registered in the Debt Security Register
(as defined in Section 2.07(a)).

          "Indenture" means this instrument as originally executed, or, if
amended or supplemented as herein provided, as so amended or supplemented and
shall include the form and terms of particular series of Debt Securities as
contemplated hereunder, whether or not a supplemental Indenture is entered into
with respect thereto.

         "Legal Holiday" means a Saturday, a Sunday or a day on which banking
institutions in the City of Houston, Texas, City of New York, New York or at a
place of payment are authorized by law, regulation or executive order to remain
closed. If a payment date is a Legal Holiday at a place of payment, payment may
be made at that place on the next succeeding day that is not a Legal Holiday,
and no interest shall accrue for the intervening period.

                                       3
<PAGE>   10

         "Lien" means, with respect to any asset, any mortgage, lien, security
interest, pledge, charge or other encumbrance of any kind in respect of such
asset, whether or not filed, recorded or otherwise perfected under applicable
law.

         "Officer" means, with respect to a Person, the Chairman of the Board,
the President, any Vice President, the Treasurer, any Assistant Treasurer,
Controller, Secretary, Assistant Secretary or any Assistant Vice President of
such Person.

         "Officers' Certificate" means a certificate signed by two Officers of
the General Partner, one of whom must be the General Partner's chief executive
officer, chief financial officer or chief accounting officer (or if the
Partnership shall change its form of entity to other than a limited partnership,
by Persons, officers, members, agents and others holding positions comparable to
those of the foregoing nature, as applicable).

         "Opinion of Counsel" means a written opinion from legal counsel who is
acceptable to the Trustee. The counsel may be an employee of or counsel to the
Partnership or the Trustee.

         "Original Issue Discount Debt Security" means any Debt Security which
provides for an amount less than the principal amount thereof to be due and
payable upon a declaration of acceleration of the maturity thereof pursuant to
Section 6.01.

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

         (a)      Debt Securities of that series theretofore canceled by the
                  Trustee or delivered to the Trustee for cancellation;

         (b)      Debt Securities of that series for whose payment or redemption
                  money in the necessary amount has been theretofore deposited
                  with the Trustee or any paying agent (other than the
                  Partnership) in trust or set aside and segregated in trust by
                  the Partnership (if the Partnership shall act as its own
                  paying agent) for the Holders of such Debt Securities;
                  provided, that, if such Debt Securities are to be redeemed,
                  notice of such redemption has been duly given pursuant to this
                  Indenture or provision therefor satisfactory to the Trustee
                  has been made; and

         (c)      Debt Securities of that series which have been paid pursuant
                  to Section 2.09 or in exchange for or in lieu of which other
                  Debt Securities have been authenticated and delivered pursuant
                  to this Indenture, other than any such Debt Securities in
                  respect of which there shall have been presented to the
                  Trustee proof satisfactory to it that such Debt Securities are
                  held by a bona fide purchaser in whose hands such Debt
                  Securities are valid obligations of the Partnership;

provided, however, that in determining whether the Holders of the requisite
principal amount of the Outstanding Debt Securities of any series have given any
request, demand, authorization, direction, notice, consent or waiver hereunder,
Debt Securities owned by the Partnership or any other obligor upon the Debt
Securities or any Affiliate of the Partnership or of such other obligor shall be
disregarded and deemed not to be Outstanding, except that, in determining
whether the

                                       4
<PAGE>   11

Trustee shall be protected in relying upon any such request, demand,
authorization, direction, notice, consent or waiver, only Debt Securities which
an officer of the Trustee actually knows to be so owned shall be so disregarded.
Debt Securities so owned which have been pledged in good faith may be regarded
as Outstanding if the pledgee establishes to the satisfaction of the Trustee the
pledgee's right so to act with respect to such Debt Securities and that the
pledgee is not the Partnership or any other obligor upon the Debt Securities or
an Affiliate of the Partnership or of such other obligor. In determining whether
the Holders of the requisite principal amount of Outstanding Debt Securities
have given any request, demand, authorization, direction, notice, consent or
waiver hereunder, the principal amount of an Original Issue Discount Debt
Security that shall be deemed to be Outstanding for such purposes shall be the
amount of the principal thereof that would be due and payable as of the date of
such determination upon a declaration of acceleration of the maturity thereof
pursuant to Section 6.01.

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

         "Partnership Request" and "Partnership Order" means, respectively, a
written request or order signed in the name of the Partnership by the Chairman
of the Board, the President or a Vice President of the General Partner, and by
the Treasurer, an Assistant Treasurer, the Controller, an Assistant Controller,
the Secretary or an Assistant Secretary of the General Partner, and delivered to
the Trustee, or if the Partnership shall change its form of entity to other than
a limited partnership, by Persons or officers, members, agents and others
holding positions comparable to those of the foregoing nature, as applicable.

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

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

         "SEC" means the Securities and Exchange Commission.

         "Securities Act" means the Securities Act of 1933, as amended, and any
successor statute.

         "Stated Maturity" means, with respect to any security, the date
specified in such security as the fixed date on which the payment of principal
of such security is due and payable, including pursuant to any mandatory
redemption provision (but excluding any provision providing for the repurchase
of such security at the option of the holder thereof upon the happening of any
contingency beyond the control of the issuer unless such contingency has
occurred).

         "Subsidiary" means:

                                       5
<PAGE>   12

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

         (2)      in the case of a partnership, more than 50% of the partners'
                  equity interests, considering all partners' equity interests
                  as a single class is at the time owned or controlled, directly
                  or indirectly, by such Person or one or more of the other
                  Subsidiaries of such Person or combination thereof.

         "Subsidiary Guarantors" means the Person or Persons named as the
"Subsidiary Guarantors" in the first paragraph of this instrument until a
successor Person or Persons shall have become such pursuant to the applicable
provisions of this Indenture, and thereafter "Subsidiary Guarantors" shall mean
such successor Person or Persons, and any other Subsidiary of the Partnership
who may execute this Indenture, or a supplement thereto, for the purpose of
providing a Guarantee of Debt Securities pursuant to this Indenture.

         "TIA" means the Trust Indenture Act of 1939, as amended (15 U.S.C.
"77aaa-77bbbb), as in effect on the date of this Indenture as originally
executed and, to the extent required by law, as amended.

         "Trustee" initially means First Union National Bank and any other
Person or Persons appointed as such from time to time pursuant to Section 7.08,
and, subject to the provisions of Article VII, includes its or their successors
and assigns. If at any time there is more than one such Person, "Trustee" as
used with respect to the Debt Securities of any series shall mean the Trustee
with respect to the Debt Securities of that series.

         "Trust Officer" means any officer or assistant officer of the Trustee
assigned by the Trustee to administer its corporate trust matters.

         "United States" means the United States of America (including the
States and the District of Columbia), its territories, its possessions and other
areas subject to its jurisdiction.

         "U.S. Government Obligations" means direct obligations of the United
States of America, obligations on which the payment of principal and interest is
fully guaranteed by the United States of America or obligations or guarantees
for the payment of which the full faith and credit of the United States of
America is pledged.

         "Yield to Maturity" means the yield to maturity, calculated at the time
of issuance of a series of Debt Securities, or, if applicable, at the most
recent redetermination of interest on such series and calculated in accordance
with accepted financial practice.

                                       6
<PAGE>   13

Section 1.02. Other Definitions.

<TABLE>
<CAPTION>
         TERM                                                                       DEFINED IN SECTION
         ----                                                                       ------------------
<S>                                                                                 <C>
         "Debt Security Register".........................................           2.07
         "Defaulted Interest".............................................           2.17
         "Designated Currency"............................................           2.18
         "Determination Notice"...........................................           3.02
         "Event of Default"...............................................           6.01
         "Guarantee"......................................................          14.01
         "Registrar"......................................................           2.07
         "Successor Partnership"..........................................          10.01
</TABLE>

         Section 1.03. Incorporation by Reference of Trust Indenture Act.
Whenever this Indenture refers to a provision of the TIA, the provision is
incorporated by reference in and made a part of this Indenture.

         All terms used in this Indenture that are defined by the TIA, defined
by TIA reference to another statute or defined by SEC rule under the TIA have
the meanings so assigned to them.

         Section 1.04. Rules of Construction. Unless the context otherwise
requires:

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

         (b) an accounting term not otherwise defined has the meaning assigned
to it in accordance with GAAP;

         (c) "or" is not exclusive;

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

         (e) provisions apply to successive events and transactions; and

         (f) the principal amount of any noninterest bearing or other discount
security at any date shall be the principal amount thereof that would be shown
on a balance sheet of the issuer dated such date prepared in accordance with
GAAP.

                                   ARTICLE II
                                 DEBT SECURITIES

         Section 2.01. Forms Generally. The Debt Securities of each series shall
be in substantially the form established without the approval of any Holder by
or pursuant to a resolution of the Board of Directors or in one or more
Indentures supplemental hereto, in each case with such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by
this Indenture, and may have such letters, numbers or other marks of
identification and such legends or endorsements placed thereon as the
Partnership may deem appropriate (and, if not contained in a supplemental
Indenture entered into in accordance with Article IX, as are not prohibited by
the provisions of this Indenture) or as may be required or appropriate to comply
with any law or with any rules made pursuant thereto or with any rules of any
securities exchange on which such series of Debt Securities may be listed, or to
conform to general usage, or as may, consistently herewith, be determined by the
officers executing such Debt Securities as evidenced by their execution of the
Debt Securities.

                                       7
<PAGE>   14

         The definitive Debt Securities of each series shall be printed,
lithographed or engraved on steel engraved borders or may be produced in any
other manner, all as determined by the officers executing such Debt Securities,
as evidenced by their execution of such Debt.

         Section 2.02. Form of Trustee's Certificate of Authentication. The
Trustee's certificate of authentication on all Debt Securities authenticated by
the Trustee shall be in substantially the following form:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

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

                                       ----------------------------------------,
                                       As Trustee

                                       By:
                                          --------------------------------------
                                       Authorized Signature

         Section 2.03. Principal Amount; Issuable in Series. The aggregate
principal amount of Debt Securities which may be issued, executed,
authenticated, delivered and outstanding under this Indenture is unlimited.

         The Debt Securities may be issued in one or more series in fully
registered form. There shall be established, without the approval of any
Holders, in or pursuant to a resolution of the Board of Directors and set forth
in an Officers' Certificate, or established in one or more Indentures
supplemental hereto, prior to the issuance of Debt Securities of any series any
or all of the following:

         (a) the title of the Debt Securities of the series (which shall
distinguish the Debt Securities of the series from all other Debt Securities);

         (b) any limit upon the aggregate principal amount of the Debt
Securities of the series which may be authenticated and delivered under this
Indenture (except for Debt Securities authenticated and delivered upon
registration of transfer of, or in exchange for, or in lieu of, other Debt
Securities of the series pursuant to this Article II);

         (c) the date or dates on which the principal and premium, if any, of
the Debt Securities of the series are payable;

         (d) the rate or rates (which may be fixed or variable) at which the
Debt Securities of the series shall bear interest, if any, or the method of
determining such rate or rates, the date or dates from which such interest shall
accrue, the interest payment dates on which such interest shall be payable, or
the method by which such date will be determined, in the case of Registered
Securities, the record dates for the determination of Holders thereof to whom
such interest is payable; and the basis upon which interest will be calculated
if other than that of a 360-day year of twelve thirty-day months;

                                       8
<PAGE>   15

         (e) the place or places, if any, in addition to or instead of the
corporate trust office of the Trustee, where the principal of, and premium, if
any, and interest on, Debt Securities of the series shall be payable ("Place of
Payment");

         (f) the price or prices at which, the period or periods within which
and the terms and conditions upon which Debt Securities of the series may be
redeemed, in whole or in part, at the option of the Partnership or otherwise;

         (g) whether Debt Securities of the series are entitled to the benefits
of any Guarantee of any Subsidiary Guarantors pursuant to this Indenture;

         (h) the obligation, if any, of the Partnership to redeem, purchase or
repay Debt Securities of the series pursuant to any sinking fund or analogous
provisions or at the option of a Holder thereof, and the price or prices at
which and the period or periods within which and the terms and conditions upon
which Debt Securities of the series shall be redeemed, purchased or repaid, in
whole or in part, pursuant to such obligations;

         (i) the terms, if any, upon which the Debt Securities of the series may
be convertible into or exchanged for capital stock (which may be represented by
depositary shares), other Debt Securities or warrants for capital stock or Debt
or other securities of any kind of the Partnership or any other obligor and the
terms and conditions upon which such conversion or exchange shall be effected,
including the initial conversion or exchange price or rate, the conversion or
exchange period and any other provision in addition to or in lieu of those
described herein;

         (j) if other than denominations of $1,000 and any integral multiple
thereof, the denominations in which Debt Securities of the series shall be
issuable;

         (k) if the amount of principal of or any premium or interest on Debt
Securities of the series may be determined with reference to an index or
pursuant to a formula, the manner in which such amounts will be determined;

         (l) if the principal amount payable at the Stated Maturity of Debt
Securities of the series will not be determinable as of any one or more dates
prior to such Stated Maturity, the amount which will be deemed to be such
principal amount as of any such date for any purpose, including the principal
amount thereof which will be due and payable upon any maturity other than the
Stated Maturity or which will be deemed to be Outstanding as of any such date
(or, in any such case, the manner in which such deemed principal amount is to be
determined);

         (m) any changes or additions to Article XI, including the addition of
additional covenants that may be subject to the covenant defeasance option
pursuant to Section 11.02(b);

         (n) if other than the principal amount thereof, the portion of the
principal amount of Debt Securities of the series which shall be payable upon
declaration of acceleration of the maturity thereof pursuant to Section 6.01 or
provable in bankruptcy pursuant to Section 6.02;

         (o) the terms, if any, of the transfer, mortgage, pledge or assignment
as security for the Debt Securities of the series of any properties, assets,
moneys, proceeds, securities or other

                                       9
<PAGE>   16

collateral, including whether certain provisions of the TIA are applicable and
any corresponding changes to provisions of this Indenture as currently in
effect;

         (p) any addition to or change in the Events of Default with respect to
the Debt Securities of the series and any change in the right of the Trustee or
the Holders to declare the principal of, and premium and interest on, such Debt
Securities due and payable;

         (q) if the Debt Securities of the series shall be issued in whole or in
part in the form of a Global Security or Securities, the terms and conditions,
if any, upon which such Global Security or Securities may be exchanged in whole
or in part for other individual Debt Securities in definitive registered form;
and the Depositary for such Global Security or Securities and the form of any
legend or legends to be borne by any such Global Security or Securities in
addition to or in lieu of the legend referred to in Section 2.15(a);

         (r) any trustees, authenticating or paying agents, transfer agents or
registrars;

         (s) the applicability of, and any addition to or change in the
covenants and definitions currently set forth in this Indenture or in the terms
currently set forth in Article X, including conditioning any merger, conveyance,
transfer or lease permitted by Article X upon the satisfaction of an Debt
coverage standard by the Partnership and Successor Partnership (as defined in
Article X);

         (t) with regard to Debt Securities of the series that do not bear
interest, the dates for certain required reports to the Trustee; and

         (u) any other terms of the Debt Securities of the series (which terms
shall not be prohibited by the provisions of this Indenture).

         All Debt Securities of any one series appertaining thereto shall be
substantially identical except as to denomination and except as may otherwise be
provided in or pursuant to such resolution of the Board of Directors and as set
forth in such Officers' Certificate or in any such Indenture supplemental
hereto.

         Section 2.04. Execution of Debt Securities. The Debt Securities shall
be signed on behalf of the Partnership by the Chairman of the Board, the
President or a Vice President of the General Partner and, if the seal of the
General Partner is reproduced thereon, it shall be attested by its Secretary, an
Assistant Secretary, a Treasurer or an Assistant Treasurer. Such signatures upon
the Debt Securities may be the manual or facsimile signatures of the present or
any future such authorized officers and may be imprinted or otherwise reproduced
on the Debt Securities. The seal of the General Partner, if any, may be in the
form of a facsimile thereof and may be impressed, affixed, imprinted or
otherwise reproduced on the Debt Securities.

         Only such Debt Securities as shall bear thereon a certificate of
authentication substantially in the form hereinbefore recited, signed manually
by the Trustee, shall be entitled to the benefits of this Indenture or be valid
or obligatory for any purpose. Such certificate by the Trustee upon any Debt
Security executed by the General Partner on behalf of the Partnership shall be
conclusive evidence that the Debt Security so authenticated has been duly
authenticated and delivered hereunder.

                                       10
<PAGE>   17

         In case any officer of the General Partner who shall have signed any of
the Debt Securities shall cease to be such officer before the Debt Securities so
signed shall have been authenticated and delivered by the Trustee, or disposed
of by the Partnership, such Debt Securities nevertheless may be authenticated
and delivered or disposed of as though the Person who signed such Debt
Securities had not ceased to be such officer of the General Partner; and any
Debt Security may be signed on behalf of the General Partner by such Persons as,
at the actual date of the execution of such Debt Security, shall be the proper
officers of the General Partner, although at the date of such Debt Security or
of the execution of this Indenture any such Person was not such officer.

         Section 2.05. Authentication and Delivery of Debt Securities. At any
time and from time to time after the execution and delivery of this Indenture,
the Partnership may deliver Debt Securities of any series executed by the
Partnership to the Trustee for authentication, and the Trustee shall thereupon
authenticate and deliver said Debt Securities to or upon a Partnership Order. In
authenticating such Debt Securities, and accepting the additional
responsibilities under this Indenture in relation to such Debt Securities, the
Trustee shall be entitled to receive, and (subject to Section 7.01) shall be
fully protected in relying upon:

         (a) a copy of any resolution or resolutions of the Board of Directors,
certified by the Secretary or Assistant Secretary of the Partnership,
authorizing the terms of issuance of any series of Debt Securities;

         (b) an executed supplemental Indenture, if any;

         (c) an Officers' Certificate; and

         (d) an Opinion of Counsel prepared in accordance with Section 13.05
which shall also state:

                  (i) that the form of such Debt Securities has been established
         by or pursuant to a resolution of the Board of Directors or by a
         supplemental Indenture as permitted by Section 2.01 in conformity with
         the provisions of this Indenture;

                  (ii) that the terms of such Debt Securities have been
         established by or pursuant to a resolution of the Board of Directors or
         by a supplemental Indenture as permitted by Section 2.03 in conformity
         with the provisions of this Indenture;

                  (iii) that such Debt Securities, when authenticated and
         delivered by the Trustee and issued by the Partnership in the manner
         and subject to any conditions specified in such Opinion of Counsel,
         will constitute valid and legally binding obligations of the
         Partnership, enforceable in accordance with their terms except as the
         enforceability thereof may be limited by bankruptcy, insolvency or
         similar laws affecting the enforcement of creditors' rights generally
         and rights of acceleration and the availability of equitable remedies
         may be limited by equitable principles of general applicability;

                                       11
<PAGE>   18

                  (iv) that the Partnership has the partnership power to issue
         such Debt Securities and has duly taken all necessary partnership
         action with respect to such issuance;

                  (v) that the issuance of such Debt Securities will not
         contravene the organizational documents of the Partnership or result in
         any material violation of any of the terms or provisions of any law or
         regulation or of any material indenture, mortgage or other agreement
         known to such counsel by which the Partnership is bound;

                  (vi) that authentication and delivery of such Debt Securities
         and the execution and delivery of any supplemental Indenture will not
         violate the terms of this Indenture; and

                  (vii) such other matters as the Trustee may reasonably
         request.

         Such Opinion of Counsel need express no opinion as to whether a court
in the United States would render a money judgment in a currency other than that
of the United States.

         The Trustee shall have the right to decline to authenticate and deliver
any Debt Securities under this Section 2.05 if the Trustee, being advised by
counsel, determines that such action may not lawfully be taken or if the Trustee
in good faith by its board of directors or trustees, executive committee or a
trust committee of directors, trustees or vice presidents (or any combination
thereof) shall determine that such action would expose the Trustee to personal
liability to existing Holders.

         The Trustee may appoint an authenticating agent reasonably acceptable
to the Partnership to authenticate Debt Securities of any series. Unless limited
by the terms of such appointment, an authenticating agent may authenticate Debt
Securities 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 any Registrar, paying agent or agent
for service of notices and demands.

         Unless otherwise provided in the form of Debt Security for any series,
each Debt Security shall be dated the date of its authentication.

         Section 2.06. Denomination of Debt Securities. Unless otherwise
provided in the form of Debt Security for any series, the Debt Securities of
each series shall be issuable only as fully registered Debt Securities in such
Dollar denominations as shall be specified or contemplated by Section 2.03. In
the absence of any such specification with respect to the Debt Securities of any
series, the Debt Securities of such series shall be issuable in denominations of
$1,000 and any integral multiple thereof.

         Section 2.07. Registration of Transfer and Exchange.

         (a) The Partnership shall keep or cause to be kept a register for each
series of Debt Securities issued hereunder (hereinafter collectively referred to
as the "Debt Security Register"), in which, subject to such reasonable
regulations as it may prescribe, the Partnership shall provide for the
registration of all Debt Securities and the transfer of Debt Securities as in
this Article II

                                       12
<PAGE>   19

provided. At all reasonable times the Debt Security Register shall be open for
inspection by the Trustee. Subject to Section 2.15, upon due presentment for
registration of transfer of any Debt Security at any office or agency to be
maintained by the Partnership in accordance with the provisions of Section 4.02,
the Partnership shall execute and the Trustee shall authenticate and deliver in
the name of the transferee or transferees a new Debt Security or Debt Securities
of authorized denominations for a like aggregate principal amount. In no event
may Debt Securities be issued as, exchanged for, bearer securities.

         Unless and until otherwise determined by the Partnership by resolution
of the Board of Directors, the register of the Partnership for the purpose of
registration, exchange or registration of transfer of the Debt Securities shall
be kept at the principal corporate trust office of the Trustee and, for this
purpose, the Trustee shall be designated "Registrar."

         Debt Securities of any series (other than a Global Security, except as
set forth below) may be exchanged for a like aggregate principal amount of Debt
Securities of the same series of other authorized denominations. Subject to
Section 2.15, Debt Securities to be exchanged shall be surrendered at the office
or agency to be maintained by the Partnership as provided in Section 4.02, and
the Partnership shall execute and the Trustee shall authenticate and deliver in
exchange therefor the Debt Security or Debt Securities which the Holder making
the exchange shall be entitled to receive.

         (b) All Debt Securities presented or surrendered for registration of
transfer, exchange or payment shall (if so required by the Partnership, the
Trustee or the Registrar) be duly endorsed or be accompanied by a written
instrument or instruments of transfer, in form satisfactory to the Partnership,
the Trustee and the Registrar, duly executed by the Holder or his attorney duly
authorized in writing.

         All Debt Securities issued in exchange for or upon transfer of Debt
Securities shall be the valid obligations of the Partnership, evidencing the
same debt, and entitled to the same benefits under this Indenture as the Debt
Securities surrendered for such exchange or transfer.

         No service charge shall be made for any exchange or registration of
transfer of Debt Securities (except as provided by Section 2.09), but the
Partnership may require payment of a sum sufficient to cover any tax, fee,
assessment or other governmental charge that may be imposed in relation thereto,
other than those expressly provided in this Indenture to be made at the
Partnership's own expense or without expense or without charge to the Holders.

         The Partnership shall not be required (i) to issue, register the
transfer of or exchange any Debt Securities for a period of 15 days next
preceding any mailing of notice of redemption of Debt Securities of such series
or (ii) to register the transfer of or exchange any Debt Securities selected,
called or being called for redemption.

         Prior to the due presentation for registration of transfer of any Debt
Security, the Partnership, the Trustee, any paying agent or any Registrar may
deem and treat the Person in whose name a Debt Security is registered as the
absolute owner of such Debt Security for the purpose of receiving payment of
principal of, and premium, if any, and interest on, such Debt Security and for
all other purposes whatsoever, whether or not such Debt Security is overdue,

                                       13
<PAGE>   20

and none of the Partnership, the Subsidiary Guarantors, the Trustee, any paying
agent or Registrar shall be affected by notice to the contrary.

         None of the Partnership, the Subsidiary Guarantors, the Trustee, any
agent of the Trustee, any paying agent or any Registrar will have any
responsibility or liability for any aspect of the records relating to, or
payments made on account of, beneficial ownership interests of a Global Security
or for maintaining, supervising or reviewing any records relating to such
beneficial ownership interests.

         Section 2.08. Temporary Debt Securities. Pending the preparation of
definitive Debt Securities of any series, the Partnership may execute and the
Trustee shall authenticate and deliver temporary Debt Securities (printed,
lithographed, photocopied, typewritten or otherwise produced) of any authorized
denomination, and substantially in the form of the definitive Debt Securities in
lieu of which they are issued, in registered form with such omissions,
insertions and variations as may be appropriate for temporary Debt Securities,
all as may be determined by the Partnership with the concurrence of the Trustee.
Temporary Debt Securities may contain such reference to any provisions of this
Indenture as may be appropriate. Every temporary Debt Security shall be executed
by the Partnership and be authenticated by the Trustee upon the same conditions
and in substantially the same manner, and with like effect, as the definitive
Debt Securities.

         If temporary Debt Securities of any series are issued, the Partnership
will cause definitive Debt Securities of such series to be prepared without
unreasonable delay. After the preparation of definitive Debt Securities of such
series, the temporary Debt Securities of such series shall be exchangeable for
definitive Debt Securities of such series upon surrender of the temporary Debt
Securities of such series at the office or agency of the Partnership at a Place
of Payment for such series, without charge to the Holder thereof, except as
provided in Section 2.07 in connection with a transfer. Upon surrender for
cancellation of any one or more temporary Debt Securities of any series, the
Partnership shall execute and the Trustee shall authenticate and deliver in
exchange therefor a like principal amount of definitive Debt Securities of the
same series of authorized denominations and of like tenor. Until so exchanged,
temporary Debt Securities of any series shall in all respects be entitled to the
same benefits under this Indenture as definitive Debt Securities of such series.

         Upon any exchange of a portion of a temporary Global Security for a
definitive Global Security or for the individual Debt Securities represented
thereby pursuant to Section 2.07 or this Section 2.08, the temporary Global
Security shall be endorsed by the Trustee to reflect the reduction of the
principal amount evidenced thereby, whereupon the principal amount of such
temporary Global Security shall be reduced for all purposes by the amount to be
exchanged and endorsed.

         Section 2.09. Mutilated, Destroyed, Lost or Stolen Debt Securities. If
(a) any mutilated Debt Security is surrendered to the Trustee at its corporate
trust office or (b) the Partnership and the Trustee receive evidence to their
satisfaction of the destruction, loss or theft of any Debt Security, and there
is delivered to the Partnership and the Trustee such security or indemnity as
may be required by them to save each of them and any paying agent harmless, and
neither the Partnership nor the Trustee receives notice that such Debt Security
has been acquired

                                       14
<PAGE>   21

by a bona fide purchaser, then the Partnership shall execute and, upon a
Partnership Order, the Trustee shall authenticate and deliver, in exchange for
or in lieu of any such mutilated, destroyed, lost or stolen Debt Security, a new
Debt Security of the same series of like tenor, form, terms and principal
amount, bearing a number not contemporaneously Outstanding. Upon the issuance of
any substituted Debt Security, the Partnership may require the payment of a sum
sufficient to cover any tax, fee, assessment or other governmental charge that
may be imposed in relation thereto and any other expenses connected therewith.
In case any Debt which has matured or is about to mature or which has been
called for redemption shall become mutilated or be destroyed, lost or stolen,
the Partnership may, instead of issuing a substituted Debt Security, pay or
authorize the payment of the same (without surrender thereof except in the case
of a mutilated Debt Security) if the applicant for such payment shall furnish
the Partnership and the Trustee with such security or indemnity as either may
require to save it harmless from all risk, however remote, and, in case of
destruction, loss or theft, evidence to the satisfaction of the Partnership and
the Trustee of the destruction, loss or theft of such Debt Security and of the
ownership thereof.

         Every substituted Debt Security of any series issued pursuant to the
provisions of this Section 2.09 by virtue of the fact that any Debt Security is
destroyed, lost or stolen shall constitute an original additional contractual
obligation of the Partnership, whether or not the destroyed, lost or stolen Debt
Security shall be found at any time, and shall be entitled to all the benefits
of this Indenture equally and proportionately with any and all other Debt
Securities of that series duly issued hereunder. All Debt Securities shall be
held and owned upon the express condition that the foregoing provisions are
exclusive with respect to the replacement or payment of mutilated, destroyed,
lost or stolen Debt Securities, and shall preclude any and all other rights or
remedies, notwithstanding any law or statute existing or hereafter enacted to
the contrary with respect to the replacement or payment of negotiable
instruments or other securities without their surrender.

         Section 2.10. Cancellation of Surrendered Debt Securities. All Debt
Securities surrendered for payment, redemption, registration of transfer or
exchange shall, if surrendered to the Partnership or any paying agent or a
Registrar, be delivered to the Trustee for cancellation by it, or if surrendered
to the Trustee, shall be canceled by it, and no Debt Securities shall be issued
in lieu thereof except as expressly permitted by any of the provisions of this
Indenture. All canceled Debt Securities held by the Trustee shall be destroyed
(subject to the record retention requirements of the Exchange Act) and
certification of their destruction delivered to the Partnership, unless
otherwise directed. On request of the Partnership, the Trustee shall deliver to
the Partnership canceled Debt Securities held by the Trustee. If the Partnership
shall acquire any of the Debt Securities, however, such acquisition shall not
operate as a redemption or satisfaction of the Debt represented thereby unless
and until the same are delivered or surrendered to the Trustee for cancellation.
The Partnership may not issue new Debt Securities to replace Debt Securities it
has redeemed, paid or delivered to the Trustee for cancellation.

         Section 2.11. Provisions of the Indenture and Debt Securities for the
Sole Benefit of the Parties and the Holders. Nothing in this Indenture or in the
Debt, expressed or implied, shall give or be construed to give to any Person,
other than the parties hereto, the Holders or any Registrar or paying agent, any
legal or equitable right, remedy or claim under or in respect of this Indenture,
or under any covenant, condition or provision herein contained; all its
covenants,

                                       15
<PAGE>   22

conditions and provisions being for the sole benefit of the parties hereto, the
Holders and any Registrar and paying agents.

         Section 2.12. Payment of Interest; Interest Rights Preserved.

         (a) Interest on any Debt Security that is payable and is punctually
paid or duly provided for on any interest payment date shall be paid to the
Person in whose name such Debt Security is registered at the close of business
on the regular record date for such interest notwithstanding the cancellation of
such Debt Security upon any transfer or exchange subsequent to the regular
record date. Payment of interest on Debt Securities shall be made at the
corporate trust office of the Trustee (except as otherwise specified pursuant to
Section 2.03), or at the option of the Partnership, by check mailed to the
address of the Person entitled thereto as such address shall appear in the Debt
Security Register or, if provided pursuant to Section 2.03 and in accordance
with arrangements satisfactory to the Trustee, at the option of the Registered
Holder by wire transfer to an account designated by the Registered Holder.

         (b) Subject to the foregoing provisions of this Section 2.12 and
Section 2.17, each Debt Security of a particular series delivered under this
Indenture upon registration of transfer of or in exchange for or in lieu of any
other Debt Security of the same series shall carry the rights to interest
accrued and unpaid, and to accrue, which were carried by such other Debt
Security.

         Section 2.13. Securities Denominated in Dollars. Except as otherwise
specified pursuant to Section 2.03 for Debt Securities of any series, payment of
the principal of, and premium, if any, and interest on, Debt Securities of such
series will be made in Dollars.

         Section 2.14. Wire Transfers. Notwithstanding any other provision to
the contrary in this Indenture, the Partnership may make any payment of monies
required to be deposited with the Trustee on account of principal of, or
premium, if any, or interest on, the Debt Securities (whether pursuant to
optional or mandatory redemption payments, interest payments or otherwise) by
wire transfer in immediately available funds to an account designated by the
Trustee before 11:00 a.m., New York City time, on the date such moneys are to be
paid to the Holders of the Debt Securities in accordance with the terms hereof.

         Section 2.15. Securities Issuable in the Form of a Global Security.

         (a) If the Partnership shall establish pursuant to Sections 2.01 and
2.03 that the Debt Securities of a particular series are to be issued in whole
or in part in the form of one or more Global Securities, then the Partnership
shall execute and the Trustee or its agent shall, in accordance with Section
2.05, authenticate and deliver, such Global Security or Securities, which shall
represent, and shall be denominated in an amount equal to the aggregate
principal amount of, the Outstanding Debt Securities of such series to be
represented by such Global Security or Securities, or such portion thereof as
the Partnership shall specify in an Officers' Certificate, shall be registered
in the name of the Depositary for such Global Security or Securities or its
nominee, shall be delivered by the Trustee or its agent to the Depositary or
pursuant to the Depositary's instruction and shall bear a legend substantially
to the following effect:

"UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITARY TRUST COMPANY, A NEW YORK

                                       16
<PAGE>   23

CORPORATION ("DTC"), NEW YORK, NEW YORK, TO THE PARTNERSHIP OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR 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.

         TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN
WHOLE, BUT NOT IN PART, TO NOMINEES OF DTC 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 REFERRED TO HEREIN,"

or such other legend as may then be required by the Depositary for such Global
Security or Securities.

         (b) Notwithstanding any other provision of this Section 2.15 or of
Section 2.07 to the contrary, and subject to the provisions of paragraph (c)
below, unless the terms of a Global Security expressly permit such Global
Security to be exchanged in whole or in part for definitive Debt Securities in
registered form, a Global Security may be transferred, in whole but not in part
and in the manner provided in Section 2.07, only by the Depositary to a nominee
of the Depositary for such Global Security, or by a nominee of the Depositary to
the Depositary or another nominee of the Depositary, or by the Depositary or a
nominee of the Depositary to a successor Depositary or a nominee of such
successor for such Global Security selected or approved by the Partnership, or
to a nominee of such successor Depositary.

         (c) (i) If at any time the Depositary for a Global Security or
         Securities notifies the Partnership that it is unwilling or unable to
         continue as Depositary for such Global Security or Securities or if at
         any time the Depositary for the Debt Securities for such series shall
         no longer be eligible or in good standing under the Exchange Act or
         other applicable statute, rule or regulation, the Partnership shall
         appoint a successor Depositary with respect to such Global Security or
         Securities. If a successor Depositary for such Global Security or
         Securities is not appointed by the Partnership within 90 days after the
         Partnership receives such notice or becomes aware of such
         ineligibility, the Partnership shall execute, and the Trustee or its
         agent, upon receipt of a Partnership Order for the authentication and
         delivery of such individual Debt Securities of such series in exchange
         for such Global Security, will authenticate and deliver, individual
         Debt Securities of such series of like tenor and terms in definitive
         form in an aggregate principal amount equal to the principal amount of
         the Global Security in exchange for such Global Security or Securities.

         (ii) The Partnership may at any time and in its sole discretion
         determine that the Debt Securities of any series or portion thereof
         issued or issuable in the form of one or more

                                       17
<PAGE>   24

         Global Securities shall no longer be represented by such Global
         Security or Securities. In such event the Partnership will execute, and
         the Trustee, upon receipt of a Partnership Order for the authentication
         and delivery of individual Debt Securities of such series in exchange
         in whole or in part for such Global Security, will authenticate and
         deliver individual Debt Securities of such series of like tenor and
         terms in definitive form in an aggregate principal amount equal to the
         principal amount of such series or portion thereof in exchange for such
         Global Security or Securities.

         (iii) If specified by the Partnership pursuant to Sections 2.01 and
         2.03 with respect to Debt Securities issued or issuable in the form of
         a Global Security, the Depositary for such Global Security may
         surrender such Global Security in exchange in whole or in part for
         individual Debt Securities of such series of like tenor and terms in
         definitive form on such terms as are acceptable to the Partnership, the
         Trustee and such Depositary. Thereupon the Partnership shall execute,
         and the Trustee or its agent upon receipt of a Partnership Order for
         the authentication and delivery of definitive Debt Securities of such
         series shall authenticate and deliver, without service charge, to each
         Person specified by such Depositary a new Debt Security or Securities
         of the same series of like tenor and terms and of any authorized
         denomination as requested by such Person in aggregate principal amount
         equal to and in exchange for such Person's beneficial interest in the
         Global Security; and to such Depositary a new Global Security of like
         tenor and terms and in an authorized denomination equal to the
         difference, if any, between the principal amount of the surrendered
         Global Security and the aggregate principal amount of Debt Securities
         delivered to Holders thereof.

         (iv) In any exchange provided for in any of the preceding three
         paragraphs, the Partnership will execute and the Trustee or its agent
         will authenticate and deliver individual Debt Securities. Upon the
         exchange of the entire principal amount of a Global Security for
         individual Debt Securities, such Global Security shall be canceled by
         the Trustee or its agent. Except as provided in the preceding
         paragraph, Debt Securities issued in exchange for a Global Security
         pursuant to this Section 2.15 shall be registered in such names and in
         such authorized denominations as the Depositary for such Global
         Security, pursuant to instructions from its direct or indirect
         participants or otherwise, shall instruct the Trustee or the Registrar.
         The Trustee or the Registrar shall deliver such Debt Securities to the
         Persons in whose names such Debt Securities are so registered.

         (v) Payments in respect of the principal of and interest on any Debt
         Securities registered in the name of the Depositary or its nominee will
         be payable to the Depositary or such nominee in its capacity as the
         registered owner of such Global Security. The Partnership and the
         Trustee may treat the Person in whose name the Debt Securities,
         including the Global Security, are registered as the owner thereof for
         the purpose of receiving such payments and for any and all other
         purposes whatsoever. None of the Partnership, the Trustee, any
         Registrar, the paying agent or any agent of the Partnership or the
         Trustee will have any responsibility or liability for any aspect of the
         records relating to or payments made on account of the beneficial
         ownership interests of the Global Security by the Depositary or its
         nominee or any of the Depositary's direct or indirect participants, or
         for maintaining, supervising or reviewing any records of the
         Depositary, its nominee or any of its direct or indirect participants
         relating to the

                                       18
<PAGE>   25

         beneficial ownership interests of the Global Security, the payments to
         the beneficial owners of the Global Security of amounts paid to the
         Depositary or its nominee, or any other matter relating to the actions
         and practices of the Depositary, its nominee or any of its direct or
         indirect participants. None of the Partnership, the Trustee or any such
         agent will be liable for any delay by the Depositary, its nominee, or
         any of its direct or indirect participants in identifying the
         beneficial owners of the Debt Securities, and the Partnership and the
         Trustee may conclusively rely on, and will be protected in relying on,
         instructions from the Depositary or its nominee for all purposes
         (including with respect to the registration and delivery, and the
         respective principal amounts, of the Debt Securities to be issued).

         Section 2.16. Medium Term Securities. Notwithstanding any contrary
provision herein, if all Debt Securities of a series are not to be originally
issued at one time, it shall not be necessary for the Partnership to deliver to
the Trustee an Officers' Certificate, resolutions of the Board of Directors,
supplemental Indenture, Opinion of Counsel or written order or any other
document otherwise required pursuant to Section 2.01, 2.03, 2.05 or 13.05 at or
prior to the time of authentication of each Debt Security of such series if such
documents are delivered to the Trustee or its agent at or prior to the
authentication upon original issuance of the first such Debt Security of such
series to be issued; provided, that any subsequent request by the Partnership to
the Trustee to authenticate Debt Securities of such series upon original
issuance shall constitute a representation and warranty by the Partnership that,
as of the date of such request, the statements made in the Officers' Certificate
delivered pursuant to Section 2.05 or 13.05 shall be true and correct as if made
on such date and that the Opinion of Counsel delivered at or prior to such time
of authentication of an original issuance of Debt Securities shall specifically
state that it shall relate to all subsequent issuances of Debt Securities of
such series that are identical to the Debt Securities issued in the first
issuance of Debt Securities of such series.

         A Partnership Order delivered by the Partnership to the Trustee in the
circumstances set forth in the preceding paragraph, may provide that Debt
Securities which are the subject thereof will be authenticated and delivered by
the Trustee or its agent on original issue from time to time upon the telephonic
or written order of Persons designated in such written order (any such
telephonic instructions to be promptly confirmed in writing by such Person) and
that such Persons are authorized to determine, consistent with the Officers'
Certificate, supplemental Indenture or resolution of the Board of Directors
relating to such written order, such terms and conditions of such Debt
Securities as are specified in such Officers' Certificate, supplemental
Indenture or such resolution.

         Section 2.17. Defaulted Interest. Any interest on any Debt Security of
a particular series which is payable, but is not punctually paid or duly
provided for, on the dates and in the manner provided in the Debt Securities of
such series and in this Indenture (herein called "Defaulted Interest") shall
forthwith cease to be payable to the Registered Holder thereof on the relevant
record date by virtue of having been such Registered Holder, and such Defaulted
Interest may be paid by the Partnership, at its election in each case, as
provided in clause (i) or (ii) below:

                  (i) The Partnership may elect to make payment of any Defaulted
         Interest to the Persons in whose names the Registered Securities of
         such series are registered at

                                       19
<PAGE>   26

         the close of business on a special record date for the payment of such
         Defaulted Interest, which shall be fixed in the following manner. The
         Partnership shall notify the Trustee in writing of the amount of
         Defaulted Interest proposed to be paid on each such Registered Security
         of such series and the date of the proposed payment, and at the same
         time the Partnership shall deposit with the Trustee an amount of money
         equal to the aggregate amount proposed to be paid in respect of such
         Defaulted Interest or shall make arrangements satisfactory to the
         Trustee for such deposit prior to the date of the proposed payment,
         such money when deposited to be held in trust for the benefit of the
         Persons entitled to such Defaulted Interest as in this clause provided.
         Thereupon the Trustee shall fix a special record date for the payment
         of such Defaulted Interest which shall be not more than 15 days and not
         less than 10 days prior to the date of the proposed payment and not
         less than 10 days after the receipt by the Trustee of the notice of the
         proposed payment. The Trustee shall promptly notify the Partnership of
         such special record date and, in the name and at the expense of the
         Partnership, shall cause notice of the proposed payment of such
         Defaulted Interest and the special record date therefor to be mailed,
         first class postage pre-paid, to each Holder thereof at its address as
         it appears in the Security Register, not less than 10 days prior to
         such special record date. Notice of the proposed payment of such
         Defaulted Interest and the special record date therefor having been so
         mailed, such Defaulted Interest shall be paid to the Persons in whose
         names the Registered Securities of such series are registered at the
         close of business on such special record date.

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

         Section 2.18. CUSIP Numbers. The Partnership in issuing the Securities
may use "CUSIP" numbers (if then generally in use), and, if so, the Trustee
shall use "CUSIP" numbers in notices of redemption as a convenience to Holders;
provided that any such notice may state that no representation is made as to the
accuracy of such numbers either as printed on the Securities or as contained in
any notice of a redemption and that reliance may be placed only on the other
identification numbers printed on the Securities, and any such redemption shall
not be affected by any defect in or omission of such numbers. The Partnership
will promptly notify the Trustee in writing of any change in the "CUSIP"
numbers.

                                   ARTICLE III
                          REDEMPTION OF DEBT SECURITIES

         Section 3.01. Applicability of Article. The provisions of this Article
shall be applicable to the Debt Securities of any series which are redeemable
before their Stated Maturity except as otherwise specified as contemplated by
Section 2.03 for Debt Securities of such series.

         Section 3.02. Notice of Redemption; Selection of Debt Securities. In
case the Partnership shall desire to exercise the right to redeem all or, as the
case may be, any part of the

                                       20
<PAGE>   27

Debt Securities of any series in accordance with their terms, by resolution of
the Board of Directors or a supplemental Indenture, the Partnership shall fix a
date for redemption and shall give notice of such redemption at least 30 and not
more than 60 days prior to the date fixed for redemption to the Holders of Debt
Securities of such series so to be redeemed as a whole or in part, in the manner
provided in Section 13.03. The notice if given in the manner herein provided
shall be conclusively presumed to have been duly given, whether or not the
Holder receives such notice. In any case, failure to give such notice or any
defect in the notice to the Holder of any Debt Security of a series designated
for redemption as a whole or in part shall not affect the validity of the
proceedings for the redemption of any other Debt Security of such series.

         Each such notice of redemption shall specify the date fixed for
redemption, the redemption price at which Debt Securities of such series are to
be redeemed, the Place or Places of Payment that payment will be made upon
presentation and surrender of such Debt Securities, that any interest accrued to
the date fixed for redemption will be paid as specified in said notice, that the
redemption is for a sinking fund payment (if applicable), that, unless otherwise
specified in such notice, that, if the Partnership defaults in making such
redemption payment, the paying agent is prohibited from making such payment
pursuant to the terms of this Indenture, that on and after said date any
interest thereon or on the portions thereof to be redeemed will cease to accrue,
that in the case of Original Issue Discount Securities original issue discount
accrued after the date fixed for redemption will cease to accrue, the terms of
the Debt Securities of that series pursuant to which the Debt Securities of that
series are being redeemed and that no representation is made as to the
correctness or accuracy of the CUSIP number, if any, listed in such notice or
printed on the Debt Securities of that series. If less than all the Debt
Securities of a series are to be redeemed the notice of redemption shall specify
the CUSIP numbers of the Debt Securities of that series to be redeemed. In case
any Debt Security of a series is to be redeemed in part only, the notice of
redemption shall state the portion of the principal amount thereof to be
redeemed and shall state that on and after the date fixed for redemption, upon
surrender of such Debt Security, a new Debt Security or Debt Securities of that
series in principal amount equal to the unredeemed portion thereof, will be
issued.

         At least 45 days but not more than 60 days before the redemption date
unless the Trustee consents to a shorter period, the Partnership shall give
written notice to the Trustee of the redemption date, the principal amount of
Debt Securities to be redeemed and the series and terms of the Debt Securities
pursuant to which such redemption will occur. Such notice shall be accompanied
by an Officers' Certificate and an Opinion of Counsel from the Partnership to
the effect that such redemption will comply with the conditions herein. If fewer
than all the Debt Securities of a series are to be redeemed, the record date
relating to such redemption shall be selected by the Partnership and given in
writing to the Trustee, which record date shall be not less than 15 days after
the date of notice to the Trustee.

         By 11 a.m., New York City time, on the redemption date for any Debt
Securities, the Partnership shall deposit with the Trustee or with a paying
agent (or, if the Partnership is acting as its own paying agent, segregate and
hold in trust) an amount of money in Dollars (except as provided pursuant to
Section 2.03) sufficient to pay the redemption price of such Debt Securities or
any portions thereof that are to be redeemed on that date.

                                       21
<PAGE>   28

         If less than all the Debt Securities of like tenor and terms of a
series are to be redeemed (other than pursuant to mandatory sinking fund
redemptions) the Trustee shall select, on a pro rata basis, by lot or by such
other method as in its sole discretion it shall deem appropriate and fair, the
Debt Securities of that series or portions thereof (in multiples of $1,000) to
be redeemed. In any case where more than one Debt Security of such series is
registered in the same name, the Trustee in its discretion may treat the
aggregate principal amount so registered as if it were represented by one Debt
Security of such series. The Trustee shall promptly notify the Partnership in
writing of the Debt Securities selected for redemption and, in the case of any
Debt Securities selected for partial redemption, the principal amount thereof to
be redeemed. If any Debt Security called for redemption shall not be so paid
upon surrender thereof on such redemption date, the principal, premium, if any,
and interest shall bear interest until paid from the redemption date at the rate
borne by the Debt Securities of that series. If less than all the Debt
Securities of unlike tenor and terms of a series are to be redeemed, the
particular Debt Securities to be redeemed shall be selected by the Partnership.
Provisions of this Indenture that apply to Debt Securities called for redemption
also apply to portions of Debt Securities called for redemption.

         Section 3.03. Payment of Debt Securities Called for Redemption. If
notice of redemption has been given as provided in Section 3.03, the Debt
Securities or portions of Debt Securities of the series with respect to which
such notice has been given shall become due and payable on the date and at the
Place or Places of Payment stated in such notice at the applicable redemption
price, together with any interest accrued to the date fixed for redemption, and
on and after said date (unless the Partnership shall default in the payment of
such Debt Securities at the applicable redemption price, together with any
interest accrued to said date) any interest on the Debt Securities or portions
of Debt Securities of any series so called for redemption shall cease to accrue,
any original issue discount in the case of Original Issue Discount Securities
shall cease to accrue. On presentation and surrender of such Debt Securities at
the Place or Places of Payment in said notice specified, the said Debt
Securities or the specified portions thereof shall be paid and redeemed by the
Partnership at the applicable redemption price, together with any interest
accrued thereon to the date fixed for redemption.

         Any Debt Security that is to be redeemed only in part shall be
surrendered at the corporate trust office or such other office or agency of the
Partnership as is specified pursuant to Section 2.03 with, if the Partnership,
the Registrar or the Trustee so requires, due endorsement by, or a written
instrument of transfer in form satisfactory to the Partnership, the Registrar
and the Trustee duly executed by, the Holder thereof or his attorney duly
authorized in writing, and the Partnership shall execute, and the Trustee shall
authenticate and deliver to the Holder of such Debt Security without service
charge, a new Debt Security or Debt Securities of the same series, of like tenor
and form, of any authorized denomination as requested by such Holder in
aggregate principal amount equal to and in exchange for the unredeemed portion
of the principal of the Debt Security so surrendered; except that if a Global
Security is so surrendered, the Partnership shall execute, and the Trustee shall
authenticate and deliver to the Depositary for such Global Security, without
service charge, a new Global Security in a denomination equal to and in exchange
for the unredeemed portion of the principal of the Global Security so
surrendered. In the case of a Debt Security providing appropriate space for such
notation, at the option of the Holder thereof, the Trustee, in lieu of
delivering a new Debt Security or Debt Securities as

                                       22
<PAGE>   29

aforesaid, may make a notation on such Debt Security of the payment of the
redeemed portion thereof.

         Section 3.04. Mandatory and Optional Sinking Funds. The minimum amount
of any sinking fund payment provided for by the terms of Debt Securities of any
series, resolution of the Board of Directors or a supplemental Indenture is
herein referred to as a "mandatory sinking fund payment," and any payment in
excess of such minimum amount provided for by the terms of Debt Securities of
any series, resolution of the Board of Directors or a supplemental Indenture is
herein referred to as an "optional sinking fund payment."

         In lieu of making all or any part of any mandatory sinking fund payment
with respect to any Debt Securities of a series in cash, the Partnership may at
its option (a) deliver to the Trustee Debt Securities of that series theretofore
purchased or otherwise acquired by the Partnership or (b) receive credit for the
principal amount of Debt Securities of that series which have been redeemed
either at the election of the Partnership pursuant to the terms of such Debt
Securities or through the application of permitted optional sinking fund
payments pursuant to the terms of such Debt Securities, resolution or
supplemental Indenture; provided, that such Debt Securities have not been
previously so credited. Such Debt Securities shall be received and credited for
such purpose by the Trustee at the redemption price specified in such Debt
Securities, resolution or supplemental Indenture for redemption through
operation of the sinking fund and the amount of such mandatory sinking fund
payment shall be reduced accordingly.

         Section 3.05. Redemption of Debt Securities for Sinking Fund. Not less
than 60 days prior to each sinking fund payment date for any series of Debt
Securities, the Partnership will deliver to the Trustee an Officers' Certificate
specifying the amount of the next ensuing sinking fund payment for that series
pursuant to the terms of that series, any resolution or supplemental Indenture,
the portion thereof, if any, which is to be satisfied by payment of cash and the
portion thereof, if any, which is to be satisfied by delivering and crediting
Debt Securities of that series pursuant to this Section 3.05 (which Debt
Securities, if not previously redeemed, will accompany such certificate) and
whether the Partnership intends to exercise its right to make any permitted
optional sinking fund payment with respect to such series. Such certificate
shall also state that no Event of Default has occurred and is continuing with
respect to such series. Such certificate shall be irrevocable and upon its
delivery the Partnership shall be obligated to make the cash payment or payments
therein referred to, if any, by 11 a.m., New York City time, on the next
succeeding sinking fund payment date. Failure of the Partnership to deliver such
certificate (or to deliver the Debt Securities specified in this paragraph)
shall not constitute a Default, but such failure shall require that the sinking
fund payment due on the next succeeding sinking fund payment date for that
series shall be paid entirely in cash and shall be sufficient to redeem the
principal amount of such Debt Securities subject to a mandatory sinking fund
payment without the option to deliver or credit Debt Securities as provided in
this Section 3.05 and without the right to make any optional sinking fund
payment, if any, with respect to such series.

         Any sinking fund payment or payments (mandatory or optional) made in
cash plus any unused balance of any preceding sinking fund payments made in cash
which shall equal or exceed $100,000 (or a lesser sum if the Partnership shall
so request) with respect to the Debt Securities of any particular series shall
be applied by the Trustee on the sinking fund payment

                                       23
<PAGE>   30

date on which such payment is made (or, if such payment is made before a sinking
fund payment date, on the sinking fund payment date following the date of such
payment) to the redemption of such Debt Securities at the Redemption Price
specified in such Debt Securities, resolution or supplemental Indenture for
operation of the sinking fund together with any accrued interest to the date
fixed for redemption. Any sinking fund moneys not so applied or allocated by the
Trustee to the redemption of Debt Securities shall be added to the next cash
sinking fund payment received by the Trustee for such series and, together with
such payment, shall be applied in accordance with the provisions of this Section
3.05. Any and all sinking fund moneys with respect to the Debt Securities of any
particular series held by the Trustee on the last sinking fund payment date with
respect to Debt Securities of such series and not held for the payment or
redemption of particular Debt Securities shall be applied by the Trustee,
together with other moneys, if necessary, to be deposited sufficient for the
purpose, to the payment of the principal of the Debt Securities of that series
at its Stated Maturity.

         The Trustee shall select the Debt Securities to be redeemed upon such
sinking fund payment date in the manner specified in the last paragraph of
Section 3.02 and the Partnership shall cause notice of the redemption thereof to
be given in the manner provided in Section 3.02 except that the notice of
redemption shall also state that the Debt Securities are being redeemed by
operation of the sinking fund. Such notice having been duly given, the
redemption of such Debt Securities shall be made upon the terms and in the
manner stated in Section 3.03.

         At least one business day before each sinking fund payment date, the
Partnership shall pay to the Trustee (or, if the Partnership is acting as its
own paying agent, the Partnership shall segregate and hold in trust) in cash a
sum equal to any interest accrued to the date fixed for redemption of Debt
Securities or portions thereof to be redeemed on such sinking fund payment date
pursuant to this Section 3.05.

         The Trustee shall not redeem any Debt Securities of a series with
sinking fund moneys or mail any notice of redemption of such Debt Securities by
operation of the sinking fund for such series during the continuance of a
Default in payment of interest on such Debt Securities or of any Event of
Default (other than an Event of Default occurring as a consequence of this
paragraph) with respect to such Debt Securities, except that if the notice of
redemption of any such Debt Securities shall theretofore have been mailed in
accordance with the provisions hereof, the Trustee shall redeem such Debt
Securities if cash sufficient for that purpose shall be deposited with the
Trustee for that purpose in accordance with the terms of this Article III.
Except as aforesaid, any moneys in the sinking fund for such series at the time
when any such Default or Event of Default shall occur and any moneys thereafter
paid into such sinking fund shall, during the continuance of such Default or
Event of Default, be held as security for the payment of such Debt Securities;
provided, however, that in case such Event of Default or Default shall have been
cured or waived as provided herein, such moneys shall thereafter be applied on
the next sinking fund payment date for such Debt Securities on which such moneys
may be applied pursuant to the provisions of this Section 3.05.

                                       24
<PAGE>   31

                                   ARTICLE IV
                     PARTICULAR COVENANTS OF THE PARTNERSHIP

         Section 4.01. Payment of Principal of, and Premium, If Any, and
Interest on, Debt Securities. The Partnership, for the benefit of each series of
Debt Securities, will duly and punctually pay or cause to be paid the principal
of, and premium, if any, and interest on, each of the Debt Securities at the
place, at the respective times and in the manner provided herein, in the Debt
Securities. Each installment of interest on the Debt Securities may at the
Partnership's option be paid by mailing checks for such interest payable to the
Person entitled thereto pursuant to Section 2.07(a) to the address of such
Person as it appears on the Debt Security Register.

         Principal, premium and interest of Debt Securities of any series shall
be considered paid on the date due if, by 11 a.m., New York City time, on such
date the Trustee or any paying agent holds in accordance with this Indenture
money sufficient to pay in Dollars all principal, premium and interest then due.

         The Partnership shall pay interest on overdue principal at the rate
specified therefor in the Debt Securities and it shall pay interest on overdue
installments of interest at the same rate to the extent lawful.

         Section 4.02. Maintenance of Offices or Agencies for Registration of
Transfer, Exchange and Payment of Debt Securities. The Partnership will maintain
in each Place of Payment for any series of Debt Securities an office or agency
where Debt Securities of such series may be presented or surrendered for
payment, where Debt Securities of such series may be surrendered for transfer or
exchange and where notices and demands to or upon the Partnership in respect of
the Debt Securities of such series and this Indenture may be served. The
Partnership will give prompt written notice to the Trustee of the location, and
any change in the location, of such office or agency. If at any time the
Partnership shall fail to maintain any such required office or agency or shall
fail to furnish the Trustee with the address thereof, such presentations,
surrenders, notices and demands may be made or served at the corporate trust
office of the Trustee, and the Partnership hereby appoints the Trustee as its
agent to receive all presentations, surrenders, notices and demands.

         The Partnership may also from time to time designate different or
additional offices or agencies to be maintained for such purposes (in or outside
of such Place of Payment), and may from time to time rescind any such
designation; provided, however, that no such designation or rescission shall in
any manner relieve the Partnership of its obligations described in the preceding
paragraph. The Partnership will give prompt written notice to the Trustee of any
such additional designation or rescission of designation and any change in the
location of any such different or additional office or agency.

         Section 4.03. Appointment to Fill a Vacancy in the Office of Trustee.
The Partnership, whenever necessary to avoid or fill a vacancy in the office of
Trustee, will appoint, in the manner provided in Section 7.08, a Trustee, so
that there shall at all times be a Trustee hereunder with respect to each series
of Debt Securities.

                                       25
<PAGE>   32

         Section 4.04. Duties of Paying Agents, etc. The Partnership shall cause
each paying agent, if any, other than the Trustee, to execute and deliver to the
Trustee an instrument in which such agent shall agree with the Trustee, subject
to the provisions of this Section 4.04,

                  (i) that it will hold all sums held by it as such agent for
         the payment of the principal of, and premium, if any, or interest on,
         the Debt Securities of any series (whether such sums have been paid to
         it by the Partnership or by any other obligor on the Debt Securities of
         such series) in trust for the benefit of the Holders of the Debt
         Securities of such series;

                  (ii) that it will give the Trustee notice of any failure by
         the Partnership (or by any other obligor on the Debt Securities of such
         series) to make any payment of the principal of, and premium, if any,
         or interest on, the Debt Securities of such series when the same shall
         be due and payable; and

                  (iii) that it will at any time during the continuance of an
         Event of Default, upon the written request of the Trustee, forthwith
         pay to the Trustee all sums so held by it as such agent.

         (b) If the Partnership shall act as its own paying agent, it will, on
or before each due date of the principal of, and premium, if any, or interest
on, the Debt Securities of any series, set aside, segregate and hold in trust
for the benefit of the Holders of the Debt Securities of such series a sum
sufficient to pay such principal, premium, if any, or interest so becoming due.
The Partnership will promptly notify the Trustee of any failure by the
Partnership to take such action or the failure by any other obligor on such Debt
Securities to make any payment of the principal of, and premium, if any, or
interest on, such Debt Securities when the same shall be due and payable.

         (c) Anything in this Section 4.04 to the contrary notwithstanding, the
Partnership may, at any time, for the purpose of obtaining a satisfaction and
discharge of this Indenture, or for any other reason, pay or cause to be paid to
the Trustee all sums held in trust by it or any paying agent, as required by
this Section 4.04, such sums to be held by the Trustee upon the same trusts as
those upon which such sums were held by the Partnership or such paying agent.

         (d) Whenever the Partnership shall have one or more paying agents with
respect to any series of Debt Securities, it will, prior to each due date of the
principal of, and premium, if any, or interest on, any Debt Securities of such
series, deposit with any such paying agent a sum sufficient to pay the
principal, premium or interest so becoming due, such sum to be held in trust for
the benefit of the Persons entitled thereto, and (unless any such paying agent
is the Trustee) the Partnership will promptly notify the Trustee of its action
or failure so to act.

         (e) Anything in this Section 4.04 to the contrary notwithstanding, the
agreement to hold sums in trust as provided in this Section 4.04 is subject to
the provisions of Section 11.05.

         Section 4.05. SEC Reports; Financial Statements.

         (a) The Partnership shall, so long as any of the Debt Securities are
outstanding, file with the Trustee, within 15 days after it files the same with
the SEC, copies of the annual reports

                                       26
<PAGE>   33

and the information, documents and other reports (or copies of such portions of
any of the foregoing as the SEC may by rules and regulations prescribe) that the
Partnership is required to file with the SEC pursuant to Section 13 or 15(d) of
the Exchange Act. If the Partnership is not subject to the requirements of such
Section 13 or 15(d), the Partnership shall file with the Trustee, within 15 days
after it would have been required to file the same with the SEC, financial
statements, including any notes thereto (and with respect to annual reports, an
auditors' report by a firm of established national reputation), and a
"Management's Discussion and Analysis of Financial Condition and Results of
Operations," both comparable to that which the Partnership would have been
required to include in such annual reports, information, documents or other
reports if the Partnership had been subject to the requirements of such Section
13 or 15(d). The Partnership shall also comply with the provisions of TIA
Section 314(a).

         (b) If the Partnership is required to furnish annual or quarterly
reports to its stockholders pursuant to the Exchange Act, the Partnership shall,
so long as any of the Debt Securities are outstanding, cause any annual report
furnished to its stockholders generally and any quarterly or other financial
reports furnished by it to its stockholders generally to be filed with the
Trustee and mailed to the Holders in the manner and to the extent provided in
Section 5.03

         (c) The Partnership shall provide the Trustee with a sufficient number
of copies of all reports and other documents and information that the Trustee
may be required to deliver to Holders under this Section.

         Section 4.06. Compliance Certificate.

         (a) The Partnership shall, so long as any of the Debt Securities are
outstanding, deliver to the Trustee, within 120 days after the end of each
fiscal year of the Partnership, an Officers' Certificate stating that a review
of the activities of the Partnership and its Subsidiaries during the preceding
fiscal year has been made under the supervision of the signing Officers of the
Partnership with a view to determining whether the Partnership 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 the Partnership has kept, observed, performed and
fulfilled each and every covenant contained in this Indenture and is not in
default in the performance or observance of any of the terms, provisions and
conditions hereof, without regard to any grace period or requirement of notice
required by this Indenture (or, if a Default or Event of Default shall have
occurred, describing all such Defaults or Events of Default of which such
Officer may have knowledge and what action the Partnership, is taking or
proposes to take with respect thereto) and that to the best of his knowledge no
event has occurred and remains in existence by reason of which payments on
account of the principal of, or premium, if any, or interest, if any, on the
Debt Securities are prohibited or, if such event has occurred, a description of
the event and what action the Partnership is taking or proposes to take with
respect thereto.

         (b) The Partnership shall, so long as any of the Debt Securities are
outstanding, deliver to the Trustee within 30 days after the occurrence of any
Default or Event of Default under this Indenture, an Officers' Certificate
specifying such Default or Event of Default, the status thereof and what action
the Partnership is taking or proposes to take with respect thereto.

                                       27
<PAGE>   34

         Section 4.07. Further Instruments and Acts. The Partnership will, upon
request of the Trustee, execute and deliver such further instruments and do such
further acts as may reasonably be necessary or proper to carry out more
effectually the purposes of this Indenture.

         Section 4.08. Existence. The Partnership shall do or cause to be done
all things necessary to preserve and keep in full force and effect its
partnership existence and the partnership and other existence of each of its
Subsidiaries and all rights (charter and statutory) and franchises of the
Partnership and its Subsidiaries, provided that the Partnership shall not be
required to preserve its existence as a limited partnership, or the partnership
existence of any Subsidiary of the Partnership or any such right or franchise,
if the Board of Directors shall determine that the preservation thereof is no
longer desirable in the conduct of the business of the Partnership and the
Subsidiaries and that the loss thereof would not have a material adverse effect
on the business, prospects, assets or financial condition of the Partnership and
its Subsidiaries taken as a whole and would not have any material adverse effect
on the payment and performance of the obligations of the Partnership under the
Debt Securities and this Indenture.

         Section 4.09. Maintenance of Properties. The Partnership shall cause
all properties owned by the Partnership or any of its Subsidiaries or used or
held for use in the conduct of its business or the business of any such
Subsidiary to be maintained and kept in good condition, repair and working order
(reasonable wear and tear excepted) and supplied with all necessary equipment
and will cause to be made all necessary repairs, renewals, replacements,
betterments and improvements thereof, all as in the judgment of the Partnership
may be necessary so that the business carried on in connection therewith may be
properly and advantageously conducted at all times; provided that nothing in
this Section shall prevent the Partnership from discontinuing the operation or
maintenance of any of such properties if such discontinuance is, in the judgment
of the Partnership, desirable in the conduct of its business or the business of
any such Subsidiary and not disadvantageous in any material respect to the
Holders.

         Section 4.10. Payment of Taxes and Other Claims. The Partnership shall
pay or discharge or cause to be paid or discharged, before the same shall become
delinquent, (i) all taxes, assessments and governmental charges levied or
imposed upon the Partnership or any of its Subsidiaries or upon the income,
profits or property of the Partnership or any of its Subsidiaries, and (ii) all
lawful claims for labor, materials and supplies which, if unpaid, might by law
become a Lien upon the property of the Partnership or any of its Subsidiaries;
provided that the Partnership shall not be required to pay or discharge or cause
to be paid or discharged any such tax, assessment, charge or claim whose amount,
applicability or validity is being contested in good faith by appropriate
proceedings.

                                    ARTICLE V
                    HOLDERS' LISTS AND REPORTS BY THE TRUSTEE

         Section 5.01. Partnership to Furnish Trustee Information as to Names
and Addresses of Holders; Preservation of Information. The Partnership covenants
and agrees that it will furnish or cause to be furnished to the Trustee with
respect to the Debt Securities of each series:

                                       28
<PAGE>   35

         (a) not more than 10 days after each record date with respect to the
payment of interest, if any, a list, in such form as the Trustee may reasonably
require, of the names and addresses of the Holders as of such record date, and

         (b) at such other times as the Trustee may request in writing, within
30 days after the receipt by the Partnership of any such request, a list of
similar form and contents as of a date not more than 15 days prior to the time
such list is furnished;

provided, however, that so long as the Trustee shall be the Registrar, such
lists shall not be required to be furnished.

         The Trustee shall preserve, in as current a form as is reasonably
practicable, all information as to the names and addresses of the Holders (i)
contained in the most recent list furnished to it as provided in this Section
5.01 or (ii) received by it in the capacity of paying agent or Registrar (if so
acting) hereunder.

         The Trustee may destroy any list furnished to it as provided in this
Section 5.01 upon receipt of a new list so furnished.

         Section 5.02. Communications to Holders. Holders may communicate
pursuant to Section 312(b) of the TIA with other Holders with respect to their
rights under this Indenture or the Debt Securities. The Partnership, the
Trustee, the Registrar and anyone else shall have the protection of Section
312(c) of the TIA.

         Section 5.03. Reports by Trustee. Within 60 days after each January 31,
beginning with the first January 31 following the date of this Indenture, and in
any event on or before April 1 in each year, the Trustee shall mail to Holders a
brief report dated as of such January 31 that complies with TIA Section 313(a);
provided, however, that if no event described in TIA Section 313(a) has
occurred within the twelve months preceding the reporting date, no report need
be transmitted. The Trustee also shall comply with TIA Section 313(b).

         Reports pursuant to this Section 5.03 shall be transmitted by mail:

         (a) to all Holders, as the names and addresses of such Holders appear
in the Debt Security Register; and

         (b) except in the cases of reports under Section 313(b)(2) of the TIA,
to each Holder of a Debt Security of any series whose name and address appear in
the information preserved at the time by the Trustee in accordance with Section
5.01.

         A copy of each report at the time of its mailing to Holders shall be
filed with the Securities and Exchange Commission and each stock exchange (if
any) on which the Debt Securities of any series are listed. The Partnership
agrees to notify promptly the Trustee whenever the Debt Securities of any series
become listed on any stock exchange and of any delisting thereof.

         Section 5.04. Record Dates for Action by Holders. If the Partnership
shall solicit from the holders of Debt Securities of any series any action
(including the making of any

                                       29
<PAGE>   36

demand or request, the giving of any direction, notice, consent or waiver or the
taking of any other action), the Partnership may, at its option, by resolution
of the Board of Directors, fix in advance a record date for the determination of
Holders of Debt Securities entitled to take such action, but the Partnership
shall have no obligation to do so. Any such record date shall be fixed at the
Partnership's discretion. If such a record date is fixed, such action may be
sought or given before or after the record date, but only the Holders of Debt
Securities of record at the close of business on such record date shall be
deemed to be Holders of Debt Securities for the purpose of determining whether
Holders of the requisite proportion of Debt Securities of such series
Outstanding have authorized or agreed or consented to such action, and for that
purpose the Debt Securities of such series Outstanding shall be computed as of
such record date.

                                   ARTICLE VI
             REMEDIES OF THE TRUSTEE AND HOLDERS IN EVENT OF DEFAULT

         Section 6.01. Events of Default. If any one or more of the following
shall have occurred and be continuing with respect to Debt Securities of any
series (each of the following, an "Event of Default"):

         (a) default in the payment of any installment of interest upon any Debt
Securities of that series as and when the same shall become due and payable, and
continuance of such default for a period of 30 days; or

         (b) default in the payment of the principal of or premium, if any, on
any Debt Securities of that series as and when the same shall become due and
payable, whether at maturity, upon redemption, by declaration, upon required
repurchase or otherwise; or

         (c) default in the payment of any sinking fund payment with respect to
any Debt Securities of that series as and when the same shall become due and
payable; or

         (d) failure on the part of the Partnership, or if any series of Debt
Securities Outstanding under this Indenture is entitled to the benefits of a
Guarantee, any of the Subsidiary Guarantors, duly to observe or perform any
other of the covenants or agreements on the part of the Partnership, or if
applicable, any of the Subsidiary Guarantors, in the Debt Securities of that
series, in any resolution of the Board of Directors authorizing the issuance of
that series of Debt Securities, in this Indenture with respect to such series or
in any supplemental Indenture with respect to such series (other than a covenant
a default in the performance of which is elsewhere in this Section specifically
dealt with), continuing for a period of 60 days after the date on which written
notice specifying such failure and requiring the Partnership, or if applicable,
the Subsidiary Guarantor, to remedy the same shall have been given, by
registered or certified mail, to the Partnership, or if applicable, the
Subsidiary Guarantor, by the Trustee or to the Partnership, or if applicable,
the Subsidiary Guarantor, and the Trustee by the Holders of at least 25% in
aggregate principal amount of the Debt Securities of that series at the time
Outstanding; or

         (e) the Partnership, or if any series of Debt Securities Outstanding
under this Indenture is entitled to the benefits of a Guarantee, any of the
Subsidiary Guarantors, pursuant to or within the meaning of any Bankruptcy Law,

                                       30
<PAGE>   37

                  (i) commences a voluntary case,

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

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

         makes a general assignment for the benefit of its creditors;

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

                  (i) is for relief against the Partnership, or if any series of
         Debt Securities Outstanding under this Indenture is entitled to the
         benefits of a Guarantee, any of the Subsidiary Guarantors, as debtor in
         an involuntary case,

                  (ii) appoints a Custodian of the Partnership, or if any series
         of Debt Securities Outstanding under this Indenture is entitled to the
         benefits of a Guarantee, any of the Subsidiary Guarantors, or a
         Custodian for all or substantially all of the property of the
         Partnership, or if applicable, any of the Subsidiary Guarantors, or

         orders the liquidation of the Partnership, or if any series of Debt
         Securities Outstanding under this Indenture is entitled to the benefits
         of a Guarantee, any of the Subsidiary Guarantors,

and the order or decree remains unstayed and in effect for 60 days;

         (g) if any series of Debt Securities Outstanding under this Indenture
is entitled to the benefits of a Guarantee, the Guarantee of any of the
Subsidiary Guarantors ceases to be in full force and effect with respect to Debt
Securities of that series or is declared null and void in a judicial proceeding
or the Subsidiary Guarantors deny or disaffirm their obligations under the
Indenture or such Guarantee; or

         (h) any other Event of Default provided with respect to Debt Securities
of that series;

then and in each and every case that an Event of Default described in clause
(a), (b), (c), (d), (g), or (h) with respect to Debt Securities of that series
at the time Outstanding occurs and is continuing, unless the principal of and
interest on all the Debt Securities of that series shall have already become due
and payable, either the Trustee or the Holders of not less than 25% in aggregate
principal amount of the Debt Securities of that series then Outstanding
hereunder, by notice in writing to the Partnership (and to the Trustee if given
by Holders), may declare the principal of (or, if the Debt Securities of that
series are Original Issue Discount Debt Securities, such portion of the
principal amount as may be specified in the terms of that series) and interest
on all the Debt Securities of that series to be due and payable immediately, and
upon any such declaration the same shall become and shall be immediately due and
payable, anything in this Indenture or in the Debt Securities of that series
contained to the contrary notwithstanding. If an Event of Default described in
clause (e) or (f) occurs, then and in each and every such case,

                                       31
<PAGE>   38

unless the principal of and interest on all the Debt Securities shall have
become due and payable, the principal of (or, if any Debt Securities are
Original Issue Discount Debt Securities, such portion of the principal amount as
may be specified in the terms thereto) and interest on all the Debt Securities
then Outstanding hereunder shall ipso facto become and be immediately due and
payable without any declaration or other act on the part of the Trustee or any
Holders, anything in this Indenture or in the Debt Securities contained to the
contrary notwithstanding.

         The Holders of a majority in aggregate principal amount of the Debt
Securities of a particular series by written notice to the Trustee may waive all
past Defaults (except with respect to the nonpayment of principal, premium or
interest) and rescind an acceleration and its consequences if the rescission
would not conflict with any judgment or decree already rendered and if all
existing Events of Default have been cured or waived except nonpayment of
principal or interest that has become due solely because of acceleration. Upon
any such rescission, the parties hereto shall be restored respectively to their
several positions and rights hereunder, and all rights, remedies and powers of
the parties hereto shall continue as though no such proceeding had been taken.

         Section 6.02. Collection of Debt by Trustee, etc. If an Event of
Default occurs and is continuing, the Trustee, in its own name and as trustee of
an express trust, shall be entitled and empowered to institute any action or
proceedings at law or in equity for the collection of the sums so due and unpaid
or enforce the performance of any provision of the Debt Securities of the
affected series or this Indenture, and may prosecute any such action or
proceedings to judgment or final decree, and may enforce any such judgment or
final decree against the Subsidiary Guarantors or the Partnership or any other
obligor upon the Debt Securities of such series (and collect in the manner
provided by law out of the property of the Subsidiary Guarantors or the
Partnership or any other obligor upon the Debt Securities of such series
wherever situated the moneys adjudged or decreed to be payable).

         In case there shall be pending proceedings for the bankruptcy or for
the reorganization of the Subsidiary Guarantors or the Partnership or any other
obligor upon the Debt Securities of any series under Title 11 of the United
States Code or any other Federal or State bankruptcy, insolvency or similar law,
or in case a receiver, trustee or other similar official shall have been
appointed for its property, or in case of any other similar judicial proceedings
relative to the Subsidiary Guarantors or the Partnership or any other obligor
upon the Debt Securities of any series, its creditors or its property, the
Trustee, irrespective of whether the principal of Debt Securities of any series
shall then be due and payable as therein expressed or by declaration or
otherwise and irrespective of whether the Trustee shall have made any demand
pursuant to the provisions of this Section 6.02, shall be entitled and
empowered, by intervention in such proceedings or otherwise, to file and prove a
claim or claims for the whole amount of principal, premium, if any, and interest
(or, if the Debt Securities of such series are Original Issue Discount Debt
Securities, such portion of the principal amount as may be specified in the
terms of such series) owing and unpaid in respect of the Debt Securities of such
series, and to file such other papers or documents as may be necessary or
advisable in order to have the claims of the Trustee (including any claim for
reasonable compensation to the Trustee, its agents, attorneys and counsel, and
for reimbursement of all expenses and liabilities incurred, and all advances
made, by the Trustee except as a result of its negligence or bad faith) and of
the Holders thereof allowed in any such judicial proceedings relative to the
Subsidiary Guarantors or the Partnership,

                                       32
<PAGE>   39

or any other obligor upon the Debt Securities of such series, its creditors or
its property, and to collect and receive any moneys or other property payable or
deliverable on any such claims, and to distribute all amounts received with
respect to the claims of such Holders and of the Trustee on their behalf, and
any receiver, assignee or trustee in bankruptcy or reorganization is hereby
authorized by each of such Holders to make payments to the Trustee, and, in the
event that the Trustee shall consent to the making of payments directly to such
Holders, to pay to the Trustee such amount as shall be sufficient to cover
reasonable compensation to the Trustee, its agents, attorneys and counsel, and
all other reasonable expenses and liabilities incurred, and all advances made,
by the Trustee except as a result of its negligence or bad faith.

         All rights of action and of asserting claims under this Indenture, or
under any of the Debt Securities of any series, may be enforced by the Trustee
without the possession of any such Debt Securities, or the production thereof in
any trial or other proceedings relative thereto, and any such action or
proceedings instituted by the Trustee shall be brought in its own name as
trustee of an express trust, and any recovery of judgment (except for any
amounts payable to the Trustee pursuant to Section 7.06) shall be for the
ratable benefit of the Holders of all the Debt Securities in respect of which
such action was taken.

         In case of an Event of Default hereunder the Trustee may in its
discretion proceed to protect and enforce the rights vested in it by this
Indenture by such appropriate judicial proceedings as the Trustee shall deem
most effectual to protect and enforce any of such rights, either at law or in
equity or in bankruptcy or otherwise, whether for the specific enforcement of
any covenant or agreement contained in this Indenture or in aid of the exercise
of any power granted in this Indenture, or to enforce any other legal or
equitable right vested in the Trustee by this Indenture or by law.

         Section 6.03. Application of Moneys Collected by Trustee. Any moneys or
other property collected by the Trustee pursuant to Section 6.02 with respect to
Debt Securities of any series shall be applied, in the order following, at the
date or dates fixed by the Trustee for the distribution of such moneys or other
property, upon presentation of the several Debt Securities of such series in
respect of which moneys or other property have been collected, and the notation
thereon of the payment, if only partially paid, and upon surrender thereof if
fully paid:

         FIRST: To the payment of all money due the Trustee pursuant to Section
7.06;

         SECOND: In case the principal of the Outstanding Debt Securities in
respect of which such moneys have been collected shall not have become due, to
the payment of interest on the Debt Securities of such series in the order of
the maturity of the installments of such interest, with interest (to the extent
that such interest has been collected by the Trustee) upon the overdue
installments of interest at the rate or Yield to Maturity (in the case of
Original Issue Discount Debt Securities) borne by the Debt Securities of such
series, such payments to be made ratably to the Persons entitled thereto,
without discrimination or preference;

         THIRD: In case the principal of the Outstanding Debt Securities in
respect of which such moneys have been collected shall have become due, by
declaration or otherwise, to the payment of the whole amount then owing and
unpaid upon the Debt Securities of such series for principal and premium, if
any,

                                       33
<PAGE>   40

and interest, with interest on the overdue principal and premium, if any, and
(to the extent that such interest has been collected by the Trustee) upon
overdue installments of interest at the rate or Yield to Maturity (in the case
of Original Issue Discount Debt Securities) borne by the Debt Securities of such
series; and, in case such moneys shall be insufficient to pay in full the whole
amount so due and unpaid upon the Debt Securities of such series, then to the
payment of such principal and premium, if any, and interest, without preference
or priority of principal and premium, if any, over interest, or of interest over
principal and premium, if any, or of any installment of interest over any other
installment of interest, or of any Debt Security of such series over any Debt
Security of such series, ratably to the aggregate of such principal and premium,
if any, and interest; and

         FOURTH: The remainder, if any, shall be paid to the Subsidiary
Guarantors or the Partnership, as applicable, its successors or assigns, or to
whomsoever may be lawfully entitled to receive the same, or as a court of
competent jurisdiction may direct.

         The Trustee may fix a record date and payment date for any payment to
Holders pursuant to this Section 6.03. At least 15 days before such record date,
the Partnership shall mail to each Holder and the Trustee a notice that states
the record date, the payment date and amount to be paid.

         Section 6.04. Limitation on Suits by Holders. No Holder of any Debt
Security of any series shall have any right by virtue or by availing of any
provision of this Indenture to institute any action or proceeding at law or in
equity or in bankruptcy or otherwise, upon or under or with respect to this
Indenture, or for the appointment of a receiver or trustee, or for any other
remedy hereunder, unless such Holder previously shall have given to the Trustee
written notice of an Event of Default with respect to Debt Securities of that
same series and of the continuance thereof and unless the Holders of not less
than 25% in aggregate principal amount of the Outstanding Debt Securities of
that series shall have made written request upon the Trustee to institute such
action or proceedings in respect of such Event of Default in its own name as
Trustee hereunder and shall have offered to the Trustee such reasonable
indemnity as it may require against the costs, expenses and liabilities to be
incurred therein or thereby, and the Trustee, for 60 days after its receipt of
such notice, request and offer of indemnity shall have failed to institute any
such action or proceedings and no direction inconsistent with such written
request shall have been given to the Trustee pursuant to Section 6.06; it being
understood and intended, and being expressly covenanted by the Holder of every
Debt Security with every other Holder and the Trustee, that no one or more
Holders shall have any right in any manner whatever by virtue or by availing of
any provision of this Indenture to affect, disturb or prejudice the rights of
any Holders, or to obtain or seek to obtain priority over or preference to any
other such Holder, or to enforce any right under this Indenture, except in the
manner herein provided and for the equal, ratable and common benefit of all such
Holders. For the protection and enforcement of the provisions of this Section
6.04, each and every Holder and the Trustee shall be entitled to such relief as
can be given either at law or in equity.

         Notwithstanding any other provision in this Indenture, however, the
right of any Holder of any Debt Security to receive payment of the principal of,
and premium, if any, and (subject to Section 2.12) interest on, such Debt
Security, on or after the respective due dates expressed in such Debt Security,
and to institute 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.

                                       34
<PAGE>   41

         Section 6.05. Remedies Cumulative; Delay or Omission in Exercise of
Rights Not a Waiver of Default. All powers and remedies given by this Article VI
to the Trustee or to the Holders shall, to the extent permitted by law, be
deemed cumulative and not exclusive of any thereof or of any other powers and
remedies available to the Trustee or the Holders, by judicial proceedings or
otherwise, to enforce the performance or observance of the covenants and
agreements contained in this Indenture, and no delay or omission of the Trustee
or of any Holder to exercise any right or power accruing upon any Default
occurring and continuing as aforesaid, shall impair any such right or power, or
shall be construed to be a waiver of any such Default or an acquiescence
therein; and, subject to the provisions of Section 6.04, every power and remedy
given by this Article VI or by law to the Trustee or to the Holders may be
exercised from time to time, and as often as shall be deemed expedient, by the
Trustee or by the Holders.

         Section 6.06. Rights of Holders of Majority in Principal Amount of Debt
Securities to Direct Trustee and to Waive Default. The Holders of a majority in
aggregate principal amount of the Debt Securities of any series at the time
Outstanding shall have the right to direct the time, method, and place of
conducting any proceeding for any remedy available to the Trustee, or exercising
any trust or power conferred on the Trustee, with respect to the Debt Securities
of such series; provided, however, that such direction shall not be otherwise
than in accordance with law and the provisions of this Indenture, and that
subject to the provisions of Section 7.01, the Trustee shall have the right to
decline to follow any such direction if the Trustee being advised by counsel
shall determine that the action so directed may not lawfully be taken, or if the
Trustee shall by a responsible officer or officers determine that the action so
directed would involve it in personal liability or would be unjustly prejudicial
to Holders of Debt Securities of such series not taking part in such direction;
and provided, further, however, that nothing in this Indenture contained shall
impair the right of the Trustee to take any action deemed proper by the Trustee
and which is not inconsistent with such direction by such Holders. Prior to the
acceleration of the maturity of the Debt Securities of any series, as provided
in Section 6.01, the Holders of a majority in aggregate principal amount of the
Debt Securities of that series at the time Outstanding may on behalf of the
Holders of all the Debt Securities of that series waive any past Default or
Event of Default and its consequences for that series specified in the terms
thereof as contemplated by Section 2.03, except a Default in the payment of the
principal of, and premium, if any, or interest on, any of the Debt Securities
and a Default in respect of a provision that under Section 9.02 cannot be
amended without the consent of each Holder affected thereby. In case of any such
waiver, such Default shall cease to exist, any Event of Default arising
therefrom shall be deemed to have been cured for every purpose of this
Indenture, and the Subsidiary Guarantors, the Partnership, the Trustee and the
Holders of the Debt Securities of that series shall be restored to their former
positions and rights hereunder, respectively; but no such waiver shall extend to
any subsequent or other Default or impair any right consequent thereon.

         Section 6.07. Trustee to Give Notice of Defaults Known to It, but May
Withhold Such Notice in Certain Circumstances. The Trustee shall, within 90 days
after the occurrence of a Default known to it, or if later, within 30 days after
the Trustee obtains actual knowledge of the Default, with respect to a series of
Debt Securities give to the Holders thereof, in the manner provided in Section
13.03, notice of all Defaults with respect to such series known to the Trustee,
unless such Defaults shall have been cured or waived before the giving of such
notice; provided, that, except in the case of Default in the payment of the
principal of, or premium, if any, or interest on, any of the Debt Securities of
such series or in the making of any sinking fund

                                       35
<PAGE>   42

payment with respect to the Debt Securities of such series, the Trustee shall be
protected in withholding such notice if and so long as the board of directors,
the executive committee or a committee of directors or responsible officers of
the Trustee in good faith determine that the withholding of such notice is in
the interests of the Holders thereof.

         Section 6.08. Requirement of an Undertaking To Pay Costs in Certain
Suits under the Indenture or Against the Trustee. All parties to this Indenture
agree, and each Holder of any Debt Security by his acceptance thereof shall be
deemed to have agreed, that any court may in its discretion require, in any suit
for the enforcement of any right or remedy under this Indenture, or in any suit
against the Trustee for any action taken or omitted by it as Trustee, the filing
by any party litigant in such suit of an undertaking to pay the costs of such
suit in the manner and to the extent provided in the TIA, and that such court
may in its discretion assess reasonable costs, including reasonable attorneys'
fees and expenses, against any party litigant in such suit, having due regard to
the merits and good faith of the claims or defenses made by such party litigant;
but the provisions of this Section 6.08 shall not apply to any suit instituted
by the Trustee, to any suit instituted by any Holder, or group of Holders,
holding in the aggregate more than 25 percent in principal amount of the
Outstanding Debt Securities of that series or to any suit instituted by any
Holder for the enforcement of the payment of the principal of, or premium, if
any, or interest on, any Debt Security on or after the due date for such payment
expressed in such Debt Security.

                                   ARTICLE VII
                             CONCERNING THE TRUSTEE

         Section 7.01. Certain Duties and Responsibilities. The Trustee, prior
to the occurrence of an Event of Default and after the curing or waiving of all
Events of Default which may have occurred, undertakes to perform such duties and
only such duties as are specifically set forth in this Indenture. In case an
Event of Default has occurred (which has not been cured or waived), the Trustee
shall exercise such of the rights and powers vested in it by this Indenture, and
use the same degree of care and skill in their exercise, as a prudent man would
exercise or use under the circumstances in the conduct of his own affairs.

         No provision of this Indenture shall be construed to relieve the
Trustee from liability for its own negligent action, its own negligent failure
to act, or its own willful misconduct, except that:

         (a) this paragraph shall not be construed to limit the effect of the
first paragraph of this Section 7.01;

         (b) prior to the occurrence of an Event of Default with respect to the
Debt Securities of a series and after the curing or waiving of all Events of
Default with respect to such series which may have occurred:

                  (i) the duties and obligations of the Trustee with respect to
         Debt Securities of any series shall be determined solely by the express
         provisions of this Indenture, and the Trustee shall not be liable
         except for the performance of such duties and obligations with respect
         to such series as are specifically set forth in this Indenture,

                                       36
<PAGE>   43

         and no implied covenants or obligations with respect to such series
         shall be read into this Indenture against the Trustee; and

                  (ii) in the absence of bad faith on the part of the Trustee,
         the Trustee may conclusively rely, as to the truth of the statements
         and the correctness of the opinions expressed therein, upon any
         certificates or opinions furnished to the Trustee and conforming to the
         requirements of this Indenture; but in the case of any such
         certificates or opinions which by any provision hereof are specifically
         required to be furnished to the Trustee, the Trustee shall be under a
         duty to examine the same to determine whether or not they conform to
         the requirements of this Indenture; but the Trustee shall examine the
         evidence furnished to it pursuant to Sections 4.05 and 4.06 to
         determine whether or not such evidence conforms to the requirement of
         this Indenture;

                  (iii) the Trustee shall not be liable for an error of judgment
         made in good faith by a responsible officer, unless it shall be proved
         that the Trustee was negligent in ascertaining the pertinent facts; and

                  (iv) the Trustee shall not be liable with respect to any
         action taken or omitted to be taken by it with respect to Debt
         Securities of any series in good faith in accordance with the direction
         of the Holders of not less than a majority in aggregate principal
         amount of the Outstanding Debt Securities of that series relating to
         the time, method and place of conducting any proceeding for any remedy
         available to the Trustee, or exercising any trust or power conferred
         upon the Trustee, under this Indenture with respect to Debt Securities
         of such series.

         None of the provisions of this Indenture shall require the Trustee to
expend or risk its own funds or otherwise incur any personal financial liability
in the performance of any of its duties hereunder, or in the exercise of any of
its rights or powers, if there shall be reasonable grounds for believing that
repayment of such funds or adequate indemnity against such risk or liability is
not reasonably assured to it.

         Whether or not therein expressly so provided, every provision of this
Indenture relating to the conduct or affecting the liability of or affording
protection to the Trustee shall be subject to the provisions of this Section.

         Section 7.02. Certain Rights of Trustee. Except as otherwise provided
in Section 7.01:

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

         (b) any request, direction, order or demand of the Partnership
mentioned herein shall be sufficiently evidenced by a Partnership Order (unless
other evidence in respect thereof be herein specifically prescribed); and any
resolution of the Board of Directors may be evidenced

                                       37
<PAGE>   44

to the Trustee by a copy thereof certified by the Secretary or an Assistant
Secretary of the Partnership;

         (c) the Trustee may consult with counsel, and the advice of such
counsel or any Opinion of Counsel shall be full and complete authorization and
protection in respect of any action taken or suffered or omitted by it hereunder
in good faith and in accordance with such advice or Opinion of Counsel;

         (d) 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 Debt Securities of any series 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 therein or thereby;

         (e) the Trustee shall not be liable for any action taken or omitted by
it in good faith and reasonably believed by it to be authorized or within the
discretion or rights or powers conferred upon it by this Indenture;

         (f) prior to the occurrence of an Event of Default and after the curing
of all Events of Default which may have occurred, the Trustee shall not be bound
to make any investigation into the facts or matters stated in any resolution,
certificate, statement, instrument, opinion, report, notice, request, direction,
consent, order, approval or other paper or document, unless requested in writing
to do so by the Holders of a majority in aggregate principal amount of the then
Outstanding Debt Securities of a series affected by such matter; provided,
however, that if the payment within a reasonable time to the Trustee of the
costs, expenses or liabilities likely to be incurred by it in the making of such
investigation is not, in the opinion of the Trustee, reasonably assured to the
Trustee by the security afforded to it by the terms of this Indenture, the
Trustee may require reasonable indemnity against such costs, expenses or
liabilities as a condition to so proceeding. The reasonable expense of every
such investigation shall be paid by the Partnership or, if paid by the Trustee,
shall be repaid by the Partnership upon demand;

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

         (h) if any property other than cash shall at any time be subject to a
Lien in favor of the Holders, the Trustee, if and to the extent authorized by a
receivership or bankruptcy court of competent jurisdiction or by the
supplemental instrument subjecting such property to such lien, shall be entitled
to make advances for the purpose of preserving such property or of discharging
tax Liens or other prior Liens or encumbrances thereon.

         Section 7.03. Trustee Not Liable for Recitals in Indenture or in Debt
Securities. The recitals contained herein, in the Debt Securities (except the
Trustee's certificate of authentication) shall be taken as the statements of the
Partnership, and the Trustee assumes no responsibility for the correctness of
the same. The Trustee makes no representations as to the validity or sufficiency
of this Indenture or of the Debt Securities of any series, except that the

                                       38
<PAGE>   45

Trustee represents that it is duly authorized to execute and deliver this
Indenture, authenticate the Debt Securities and perform its obligations
hereunder, and that the statements made by it or to be made by it in a Statement
of Eligibility and Qualification on Form T-1 supplied to the Partnership are
true and accurate. The Trustee shall not be accountable for the use or
application by the Partnership of any of the Debt Securities or of the proceeds
thereof.

         Section 7.04. Trustee, Paying Agent or Registrar May Own Debt
Securities. The Trustee or any paying agent or Registrar, in its individual or
any other capacity, may become the owner or pledgee of Debt Securities and
subject to the provisions of the TIA relating to conflicts of interest and
preferential claims may otherwise deal with the Partnership with the same rights
it would have if it were not Trustee, paying agent or Registrar.

         Section 7.05. Moneys Received by Trustee to Be Held in Trust. Subject
to the provisions of Section 11.05, all moneys received by the Trustee shall,
until used or applied as herein provided, be held in trust for the purposes for
which they were received, but need not be segregated from other funds except to
the extent required by law. The Trustee shall be under no liability for interest
on any moneys received by it hereunder. So long as no Event of Default shall
have occurred and be continuing, all interest allowed on any such moneys shall
be paid from time to time to the Partnership upon a Partnership Order.

         Section 7.06. Compensation and Reimbursement. The Partnership covenants
and agrees to pay in Dollars to the Trustee from time to time, and the Trustee
shall be entitled to, reasonable compensation for all services rendered by it
hereunder (which shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust), and, except as otherwise
expressly provided herein, the Partnership will pay or reimburse in Dollars the
Trustee upon its request for all reasonable expenses, disbursements and advances
incurred or made by the Trustee in accordance with any of the provisions of this
Indenture (including the reasonable compensation and the expenses and
disbursements of its agents, attorneys and counsel and of all Persons not
regularly in its employ), including without limitation, Section 6.02, except any
such expense, disbursement or advances as may arise from its negligence or bad
faith. The Partnership also covenants to indemnify in Dollars the Trustee for,
and to hold it harmless against, any loss, liability or expense incurred without
negligence, willful misconduct or bad faith on the part of the Trustee, arising
out of or in connection with the acceptance or administration of this trust or
trusts hereunder, including the reasonable costs and expenses of defending
itself against any claim of liability in connection with the exercise or
performance of any of its powers or duties hereunder. The obligations of the
Partnership under this Section 7.06 to compensate and indemnify the Trustee and
to pay or reimburse the Trustee for expenses, disbursements and advances shall
constitute additional Debt hereunder and shall survive the satisfaction and
discharge of this Indenture. The Partnership and the Holders agree that such
additional Debt shall be secured by a Lien prior to that of the Debt Securities
upon all property and funds held or collected by the Trustee, as such, except
funds held in trust for the payment of principal of, and premium, if any, or
interest on, particular Debt Securities.

         When the Trustee incurs expenses or renders services after an Event of
Default specified in Section 6.01(g) or (h) occurs, the expenses and the
compensation for the services are intended to constitute expenses of
administration under any bankruptcy, insolvency, reorganization or other similar
law.

                                       39
<PAGE>   46

         Section 7.07. Right of Trustee to Rely on an Officers' Certificate
Where No Other Evidence Specifically Prescribed. Except as otherwise provided in
Section 7.01, whenever in the administration of the provisions of this Indenture
the Trustee shall deem it necessary or desirable that a matter be proved or
established prior to taking or suffering or omitting any action hereunder, such
matter (unless other evidence in respect thereof be herein specifically
prescribed) may, in the absence of negligence or bad faith on the part of the
Trustee, be deemed to be conclusively proved and established by an Officers'
Certificate delivered to the Trustee and such certificate, in the absence of
negligence or bad faith on the part of the Trustee, shall be full warrant to the
Trustee for any action taken, suffered or omitted by it under the provisions of
this Indenture upon the faith thereof.

         Section 7.08. Separate Trustee; Replacement of Trustee. The Partnership
may, but need not, appoint a separate Trustee for any one or more series of Debt
Securities. The Trustee may resign with respect to one or more or all series of
Debt Securities at any time by giving notice to the Partnership. The Holders of
a majority in principal amount of the Debt Securities of a particular series may
remove the Trustee for such series and only such series by so notifying the
Trustee and may appoint a successor Trustee. The Partnership shall remove the
Trustee if:

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

         (b) the Trustee is adjudged bankrupt or insolvent;

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

         (d) the Trustee otherwise becomes incapable of acting.

If the Trustee resigns, is removed by the Partnership or by the Holders of a
majority in principal amount of the Debt Securities of a particular series and
such Holders do not reasonably promptly appoint a successor Trustee, or if a
vacancy exists in the office of Trustee for any reason (the Trustee in such
event being referred to herein as the retiring Trustee), the Partnership shall
promptly appoint a successor Trustee. No resignation or removal of the Trustee
and no appointment of a successor Trustee shall become effective until the
acceptance of appointment by the successor Trustee in accordance with the
applicable requirements of this Section 7.08.

         A successor Trustee shall deliver a written acceptance of its
appointment to the retiring Trustee and to the Partnership. Thereupon 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. The successor Trustee shall mail a notice of its
succession to Holders of Debt Securities of each applicable series. The retiring
Trustee shall promptly transfer all property held by it as Trustee to the
successor Trustee, subject to the Lien provided for in Section 7.06.

         If a successor Trustee does not take office within 60 days after the
retiring Trustee gives notice of resignation or is removed, the retiring Trustee
or the Holders of 25% in principal amount of the Debt Securities of any
applicable series may petition any court of competent jurisdiction for the
appointment of a successor Trustee for the Debt Securities of such series.

                                       40
<PAGE>   47

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

         Notwithstanding the replacement of the Trustee pursuant to this Section
7.08, the Partnership's obligations under Section 7.06 shall continue for the
benefit of the retiring Trustee.

         In the case of the appointment hereunder of a separate or successor
trustee with respect to the Debt Securities of one or more series, the
Partnership, any retiring Trustee and each successor or separate Trustee with
respect to the Debt Securities of any applicable series shall execute and
deliver an Indenture supplemental hereto (i) which shall contain such provisions
as shall be deemed necessary or desirable to confirm that all the rights,
powers, trusts and duties of any retiring Trustee with respect to the Debt
Securities of any series as to which any such retiring Trustee is not retiring
shall continue to be vested in such retiring Trustee and (ii) that shall add to
or change any of the provisions of this Indenture as shall be necessary to
provide for or facilitate the administration of the trusts hereunder by more
than one trustee, it being understood that nothing herein or in such
supplemental Indenture shall constitute such Trustees co-trustees of the same
trust and that each such separate, retiring or successor Trustee shall be
Trustee of a trust or trusts hereunder separate and apart from any trust or
trusts hereunder administered by any other such Trustee.

         Section 7.09. Successor Trustee by Merger. If the Trustee consolidates
with, merges or converts into, or transfers all or substantially all its
corporate trust business or assets to, another corporation or banking
association, the resulting, surviving or transferee corporation or banking
association without any further act shall be the successor Trustee.

         In case at the time such successor or successors by merger, conversion
or consolidation to the Trustee shall succeed to the trusts created by this
Indenture any of the Debt Securities shall have been authenticated but not
delivered, any such successor to the Trustee may adopt the certificate of
authentication of any predecessor trustee, and deliver such Debt Securities so
authenticated; and in case at that time any of the Debt Securities shall not
have been authenticated, any successor to the Trustee may authenticate such Debt
Securities either in the name of any predecessor hereunder or in the name of the
successor to the Trustee; and in all such cases such certificates shall have the
full force which it is anywhere in the Debt Securities or in this Indenture
provided that the certificate of the Trustee shall have.

         Section 7.10. Eligibility; Disqualification. The Trustee shall at all
times satisfy the requirements of Section 310(a) of the TIA. The Trustee shall
have a combined capital and surplus of at least $50,000,000 as set forth in its
most recent published annual report of condition. No obligor upon the Debt
Securities of a particular series or Person directly or indirectly controlling,
controlled by or under common control with such obligor shall serve as Trustee
upon the Debt Securities of such series. The Trustee shall comply with Section
310(b) of the TIA; provided, however, that there shall be excluded from the
operation of Section 310(b)(1) of the TIA this Indenture or any indenture or
indentures under which other securities or certificates of interest or
participation in other securities of the Partnership are outstanding if the
requirements for such exclusion set forth in Section 310(b)(1) of the TIA are
met.

                                       41
<PAGE>   48

         Section 7.11. Preferential Collection of Claims Against Partnership.
The Trustee shall comply with Section 311(a) of the TIA, excluding any creditor
relationship listed in Section 311(b) of the TIA. A Trustee who has resigned or
been removed shall be subject to Section 311(a) of the TIA to the extent
indicated therein.

         Section 7.12. Compliance with Tax Laws. The Trustee hereby agrees to
comply with all U.S. Federal income tax information reporting and withholding
requirements applicable to it with respect to payments of premium (if any) and
interest on the Debt Securities, whether acting as Trustee, Security Registrar,
paying agent or otherwise with respect to the Debt Securities.

                                  ARTICLE VIII
                             CONCERNING THE HOLDERS

         Section 8.01. Evidence of Action by Holders. Whenever in this Indenture
it is provided that the Holders of a specified percentage in aggregate principal
amount of the Debt Securities of any or all series may take action (including
the making of any demand or request, the giving of any direction, notice,
consent or waiver or the taking of any other action) the fact that at the time
of taking any such action the Holders of such specified percentage have joined
therein may be evidenced by any instrument or any number of instruments of
similar tenor executed by Holders in Person or by agent or proxy appointed in
writing, by the record of the Holders voting in favor thereof at any meeting of
Holders duly called and held in accordance with the provisions of Section 5.02
or by a combination of such instrument or instruments and any such record of
such a meeting of Holders.

         Section 8.02. Proof of Execution of Instruments and of Holding of Debt
Securities. Subject to the provisions of Sections 7.01, 7.02 and 13.11, proof of
the execution of any instrument by a Holder or his agent or proxy shall be
sufficient if made in accordance with such reasonable rules and regulations as
may be prescribed by the Trustee or in such manner as shall be satisfactory to
the Trustee. The ownership of Debt Securities of any series shall be proved by
the Debt Security Register or by a certificate of the Registrar for such series.
The Trustee may require such additional proof of any matter referred to in this
Section 8.02 as it shall deem necessary.

         Section 8.03. Who May Be Deemed Owner of Debt Securities. Prior to due
presentment for registration of transfer of any Debt Security, the Partnership,
the Trustee, any paying agent and any Registrar may deem and treat the Person in
whose name any Debt Security shall be registered upon the books of the
Partnership as the absolute owner of such Debt Security (whether or not such
Debt Security shall be overdue and notwithstanding any notation of ownership or
other writing thereon) for the purpose of receiving payment of or on account of
the principal of and premium, if any, and (subject to Section 2.03) interest on
such Debt Security and for all other purposes, and neither the Partnership nor
the Trustee nor any paying agent nor any Registrar shall be affected by any
notice to the contrary; and all such payments so made to any such Holder for the
time being, or upon his order, shall be valid and, to the extent of the sum or
sums so paid, effectual to satisfy and discharge the liability for moneys
payable upon any such Debt Security.

                                       42
<PAGE>   49

         None of the Partnership, the Trustee, any paying agent or the Registrar
will have any responsibility or liability for any aspect of the records relating
to or payments made on account of beneficial ownership interests in a Global
Security or for maintaining, supervising or reviewing any records relating to
such beneficial ownership interests.

         Section 8.04. Instruments Executed by Holders Bind Future Holders. At
any time prior to (but not after) the evidencing to the Trustee, as provided in
Section 8.01, of the taking of any action by the Holders of the percentage in
aggregate principal amount of the Debt Securities of any series specified in
this Indenture in connection with such action and subject to the following
paragraph, any Holder of a Debt Security which is shown by the evidence to be
included in the Debt Securities the Holders of which have consented to such
action may, by filing written notice with the Trustee at its corporate trust
office and upon proof of holding as provided in Section 8.02, revoke such action
so far as concerns such Debt Security. Except as aforesaid any such action taken
by the Holder of any Debt Security shall be conclusive and binding upon such
Holder and upon all future Holders and owners of such Debt Security and of any
Debt Security issued upon transfer thereof or in exchange or substitution
therefor, irrespective of whether or not any notation in regard thereto is made
upon such Debt Security or such other Debt Securities. Any action taken by the
Holders of the percentage in aggregate principal amount of the Debt Securities
of any series specified in this Indenture in connection with such action shall
be conclusively binding upon the Partnership, the Trustee and the Holders of all
the Debt Securities of such series.

         The Partnership may, but shall not be obligated to, fix a record date
for the purpose of determining the Holders of Debt Securities entitled to give
their consent or take any other action required or permitted to be taken
pursuant to this Indenture. If a record date is fixed, then notwithstanding the
immediately preceding paragraph, those Persons who were Holders of Debt
Securities at such record date (or their duly designated proxies), and only
those Persons, shall be entitled to give such consent or to revoke any consent
previously given or to take any such action, whether or not such Persons
continue to be Holders of Debt Securities after such record date. No such
consent shall be valid or effective for more than 120 days after such record
date unless the consent of the Holders of the percentage in aggregate principal
amount of the Debt Securities of such series specified in this Indenture shall
have been received within such 120-day period.

                                   ARTICLE IX
                             SUPPLEMENTAL INDENTURES

         Section 9.01. Purposes for Which Supplemental Indenture May Be Entered
into Without Consent of Holders. The Partnership and the Subsidiary Guarantors,
when authorized by resolutions of the Board of Directors, and the Trustee may
from time to time and at any time, without the consent of Holders, enter into an
Indenture or Indentures supplemental hereto (which shall conform to the
provisions of the TIA as in force at the date of the execution thereof) for one
or more of the following purposes:

         (a) to evidence the succession pursuant to Article X of another Person
to the Partnership or any of the Subsidiary Guarantors, or successive
successions, and the assumption by the Successor Partnership (as defined in
Section 10.01) of the covenants, agreements and

                                       43
<PAGE>   50

obligations of the Partnership or the Subsidiary Guarantors in this Indenture
and in the Debt Securities;

         (b) to surrender any right or power herein conferred upon the
Partnership or the Subsidiary Guarantors, to add to the covenants of the
Partnership or the Subsidiary Guarantors such further covenants, restrictions,
conditions or provisions for the protection of the Holders of all or any series
of Debt Securities (and if such covenants are to be for the benefit of less than
all series of Debt Securities, stating that such covenants are expressly being
included solely for the benefit of such series) as the Board of Directors shall
consider to be for the protection of the Holders of such Debt Securities, and to
make the occurrence, or the occurrence and continuance, of a Default in any of
such additional covenants, restrictions, conditions or provisions a Default or
an Event of Default permitting the enforcement of all or any of the several
remedies provided in this Indenture; provided, that in respect of any such
additional covenant, restriction, condition or provision such supplemental
Indenture may provide for a particular period of grace after Default (which
period may be shorter or longer than that allowed in the case of other Defaults)
or may provide for an immediate enforcement upon such Default or may limit the
remedies available to the Trustee upon such Default or may limit the right of
the Holders of a majority in aggregate principal amount of any or all series of
Debt Securities to waive such default;

         (c) to cure any ambiguity or omission or to correct or supplement any
provision contained herein, in any supplemental Indenture or in any Debt
Securities of any series that may be defective or inconsistent with any other
provision contained herein, in any supplemental Indenture or in the Debt
Securities of such series; to convey, transfer, assign, mortgage or pledge any
property to or with the Trustee, or to make such other provisions in regard to
matters or questions arising under this Indenture as shall not adversely affect
the interests of any Holders of Debt Securities of any series;

         (d) to modify or amend this Indenture in such a manner as to permit the
qualification of this Indenture or any Indenture supplemental hereto under the
TIA as then in effect, except that nothing herein contained shall permit or
authorize the inclusion in any Indenture supplemental hereto of the provisions
referred to in Section 316(a)(2) of the TIA;

         (e) to add to or change any of the provisions of this Indenture to
change or eliminate any restrictions on the payment of principal of, or premium,
if any, on, Debt Securities; provided, that any such action shall not adversely
affect the interests of the Holders of Debt Securities of any series in any
material respect or permit or facilitate the issuance of Debt Securities of any
series in uncertificated form;

         (f) to comply with Article X;

         (g) to add guarantees with respect to any or all of the Debt Securities
or to secure any or all of the Debt Securities;

         (h) to make any change that does not adversely affect the rights of any
Holder;

         (i) to add to, change or eliminate any of the provisions of this
Indenture in respect of one or more series of Debt Securities; provided,
however, that any such addition, change or elimination not otherwise permitted
under this Section 9.01 shall neither apply to any Debt

                                       44
<PAGE>   51

Security of any series created prior to the execution of such supplemental
Indenture and entitled to the benefit of such provision nor modify the rights of
the Holder of any such Debt Security with respect to such provision or shall
become effective only when there is no such Debt Security Outstanding;

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

         (k) to establish the form or terms of Debt Securities of any series as
permitted by Sections 2.01 and 2.03.

         The Trustee is hereby authorized to join with the Partnership and the
Subsidiary Guarantors in the execution of any such supplemental Indenture, to
make any further appropriate agreements and stipulations which may be therein
contained and to accept the conveyance, transfer, assignment, mortgage or pledge
of any property thereunder, but the Trustee shall not be obligated to enter into
any such supplemental Indenture which affects the Trustee's own rights, duties
or immunities under this Indenture or otherwise.

         Any supplemental Indenture authorized by the provisions of this Section
9.01 may be executed by the Partnership, the Subsidiary Guarantors and the
Trustee without the consent of the Holders of any of the Debt Securities at the
time Outstanding, notwithstanding any of the provisions of Section 9.02.

         Section 9.02. Modification of Indenture with Consent of Holders of Debt
Securities. Without notice to any Holder but with the consent (evidenced as
provided in Section 8.01) of the Holders of not less than a majority in
aggregate principal amount of the Outstanding Debt Securities of each series
affected by such supplemental Indenture (including consents obtained in
connection with a tender offer or exchange offer for any such series of Debt
Securities), the Partnership and the Subsidiary Guarantors, when authorized by
resolutions of the Board of Directors, and the Trustee may from time to time and
at any time enter into an Indenture or Indentures supplemental hereto (which
shall conform to the provisions of the TIA as in force at the date of execution
thereof) for the purpose of adding any provisions to or changing in any manner
or eliminating any of the provisions of this Indenture or of any supplemental
Indenture or of modifying in any manner the rights of the Holders of the Debt
Securities of such series; provided, that no such supplemental Indenture,
without the consent of the Holders of each Debt Security so affected, shall:
reduce the percentage in principal amount of Debt Securities of any series whose
Holders must consent to an amendment; reduce the rate of or extend the time for
payment of interest on any Debt Security; reduce the principal of or extend the
Stated Maturity of any Debt Security; reduce the premium payable upon the
redemption of any Debt Security or change the time at which any Debt Security
may or shall be redeemed in accordance with Article III; make any Debt Security
payable in currency other than the Dollar; impair the right of any Holder to
receive payment of, premium, if any, principal of and interest on such Holder's
Debt Securities on or after the due dates therefor or to institute suit for the
enforcement of any payment on or with respect to such Holder's Debt Securities;
release any security that may have been granted in respect of the Debt
Securities; make any change in Section 6.06 or this

                                       45
<PAGE>   52

Section 9.02; or release the Subsidiary Guarantors or modify the Guarantee in
any manner adverse to the Holders.

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

         Upon the request of the Partnership and the Subsidiary Guarantors,
accompanied by a copy of resolutions of the Board of Directors authorizing the
execution of any such supplemental Indenture, and upon the filing with the
Trustee of evidence of the consent of Holders as aforesaid, the Trustee shall
join with the Partnership in the execution of such supplemental Indenture unless
such supplemental Indenture affects the Trustee's own rights, duties or
immunities under this Indenture or otherwise, in which case the Trustee may in
its discretion but shall not be obligated to enter into such supplemental
Indenture.

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

         After an amendment under this Section 9.02 becomes effective, the
Partnership shall mail to Holders of Debt Securities of each series affected
thereby a notice briefly describing such amendment. The failure to give such
notice to all such Holders, or any defect therein, shall not impair or affect
the validity of an amendment under this Section 9.02.

         Section 9.03. Effect of Supplemental Indentures. Upon the execution of
any supplemental Indenture pursuant to the provisions of this Article IX, this
Indenture shall be and be deemed to be modified and amended in accordance
therewith and the respective rights, limitations of rights, obligations, duties
and immunities under this Indenture of the Trustee, the Partnership, the
Subsidiary Guarantors and the Holders shall thereafter be determined, exercised
and enforced hereunder subject in all respects to such modifications and
amendments, and all the terms and conditions of any such supplemental Indenture
shall be and be deemed to be part of the terms and conditions of this Indenture
for any and all purposes.

         The Trustee, subject to the provisions of Sections 7.01 and 7.02, may
receive an Officers' Certificate and an Opinion of Counsel as conclusive
evidence that any such supplemental Indenture complies with the provisions of
this Article IX.

         Section 9.04. Debt Securities May Bear Notation of Changes by
Supplemental Indentures. Debt Securities of any series authenticated and
delivered after the execution of any supplemental Indenture pursuant to the
provisions of this Article IX may, and shall if required by the Trustee, bear a
notation in form approved by the Trustee as to any matter provided for in such
supplemental Indenture. New Debt Securities of any series so modified as to
conform, in the opinion of the Trustee and the Board of Directors, to any
modification of this Indenture contained in any such supplemental Indenture may
be prepared and executed by the Partnership,

                                       46
<PAGE>   53

authenticated by the Trustee and delivered in exchange for the Debt Securities
of such series then Outstanding. Failure to make the appropriate notation or to
issue a new Debt Security of such series shall not affect the validity of such
amendment.

                                    ARTICLE X
                    CONSOLIDATION, MERGER, SALE OR CONVEYANCE

         Section 10.01. Consolidations and Mergers of the Partnership and the
Subsidiary Guarantors. Neither the Partnership nor any Subsidiary Guarantor
shall consolidate with or merge with or into any Person, or convey, transfer or
lease all or substantially all its assets to any Person, unless: (a) either (i)
the Partnership or such Subsidiary Guarantor shall be the continuing Person in
the case of a merger or (ii) in the case of the Partnership, the resulting,
surviving or transferee Person if other than the Partnership (the "Successor
Partnership"), or in the case of such Subsidiary Guarantor, the resulting,
surviving or transferee Person if other than such Subsidiary Guarantor, shall be
a Person organized and existing under the laws of the United States, any State
thereof or the District of Columbia and the Successor Partnership shall
expressly assume, by an Indenture supplemental hereto, executed and delivered to
the Trustee, in form satisfactory to the Trustee, all the obligations of the
Partnership or such Subsidiary Guarantor, as the case may be, under the
Indenture and the Debt Securities according to their tenor (in the case of the
Partnership) and the Guarantee (in the case of such Subsidiary Guarantor); (b)
immediately after giving effect to such transaction (and treating any Debt which
becomes an obligation of the Successor Partnership or any Subsidiary of the
Partnership as a result of such transaction as having been incurred by the
Successor Partnership or such Subsidiary at the time of such transaction), no
Default or Event of Default would occur or be continuing; and (c) the
Partnership or such Subsidiary Guarantor, as the case may be, shall have
delivered to the Trustee an Officers' Certificate and an Opinion of Counsel,
each stating that such consolidation, merger or transfer and such supplemental
Indenture (if any) complies with this Indenture; provided that nothing in this
Section 10.01 shall restrict or prohibit the consolidation or merger of any
Subsidiary Guarantor into, or the conveyance, transfer or lease of all or
substantially all of the assets of any Subsidiary Guarantor to, the Partnership
or any other Subsidiary Guarantor.

         Section 10.02. Rights and Duties of Successor Partnership or Successor
Subsidiary Guarantor. In case of any consolidation or merger, or conveyance or
transfer of the assets of the Partnership or any Subsidiary Guarantor as an
entirety or substantially as an entirety in accordance with Section 10.01, the
Successor Partnership shall succeed to and be substituted for the Partnership or
the successor Subsidiary Guarantor shall succeed to and be substituted for such
Subsidiary Guarantor, as the case may be, with the same effect as if it had been
named herein as the respective party to this Indenture, and the predecessor
entity shall be released from all liabilities and obligations under the
Indenture and the Debt Securities (in the case of the Partnership) or the
Guarantee (in the case of any Subsidiary Guarantor), except that no such release
will occur in the case of a lease of all or substantially all of its assets. The
Successor Partnership thereupon may cause to be signed, and may issue either in
its own name or in the name of the Partnership, any or all the Debt Securities
issuable hereunder which theretofore shall not have been signed by the
Partnership and delivered to the Trustee; and, upon the order of the Successor
Partnership, instead of the Partnership, and subject to all the terms,
conditions and limitations in this Indenture prescribed, the Trustee shall
authenticate and shall deliver any Debt

                                       47
<PAGE>   54

Securities which previously shall have been signed and delivered by the officers
of the Partnership to the Trustee for authentication, and any Debt Securities
which the Successor Partnership thereafter shall cause to be signed and
delivered to the Trustee for that purpose. All the Debt Securities so issued
shall in all respects have the same legal rank and benefit under this Indenture
as the Debt Securities theretofore or thereafter issued in accordance with the
terms of this Indenture as though all such Debt Securities had been issued at
the date of the execution hereof.

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

                                   ARTICLE XI
                          SATISFACTION AND DISCHARGE OF
                     INDENTURE; DEFEASANCE; UNCLAIMED MONEYS

         Section 11.01. Applicability of Article. The provisions of this Article
XI relating to defeasance of Debt Securities shall be applicable to each series
of Debt Securities except as otherwise specified pursuant to Section 2.03 for
Debt Securities of such series.

         Section 11.02. Satisfaction and Discharge of Indenture; Defeasance.

         (a) If at any time the Partnership shall have delivered to the Trustee
for cancellation all Debt Securities of any series theretofore authenticated and
delivered (other than any Debt Securities of such series which shall have been
destroyed, lost or stolen and which shall have been replaced or paid as provided
in Section 2.09 and Debt Securities for whose payment money has theretofore been
deposited in trust and thereafter repaid to the Partnership as provided in
Section 11.05) or all Debt Securities of such series not theretofore delivered
to the Trustee for cancellation shall have become due and payable, or are by
their terms to become due and payable within one year or are to be called for
redemption within one year under arrangements satisfactory to the Trustee for
the giving of notice of redemption, and the Partnership shall deposit with the
Trustee as trust funds the entire amount in cash sufficient to pay at maturity
or upon redemption all Debt Securities of such series not theretofore delivered
to the Trustee for cancellation, including principal and premium, if any, and
interest due or to become due on such date of maturity or redemption date, as
the case may be, and if in either case the Partnership shall also pay or cause
to be paid all other sums payable hereunder by the Partnership, then this
Indenture shall cease to be of further effect (except as to any surviving rights
of registration of transfer or exchange of such Debt Securities herein expressly
provided for) with respect to the Debt Securities of such series, and the
Trustee, on demand of the Partnership accompanied by an Officers' Certificate
and an Opinion of Counsel and at the cost and expense of the Partnership, shall
execute proper instruments acknowledging satisfaction of and discharging this
Indenture.

         (b) Subject to Sections 11.02(c), 11.03 and 11.07, the Partnership at
any time may terminate, with respect to Debt Securities of a particular series,
all its obligations under the Debt Securities of such series and this Indenture
with respect to the Debt Securities of such series ("legal defeasance option")
or the operation of Sections 6.01(d), (g) and (h) and, as they relate to the
Subsidiary Guarantors only, Sections 6.01(e) and (f) ("covenant defeasance
option"). If the

                                       48
<PAGE>   55

Partnership exercises its legal defeasance option, the Guarantee will terminate
with respect to that series of Debt Securities. The Partnership may exercise its
legal defeasance option notwithstanding its prior exercise of its covenant
defeasance option.

         If the Partnership exercises its legal defeasance option, payment of
the Debt Securities of the defeased series may not be accelerated because of an
Event of Default. If the Partnership exercises its covenant defeasance option,
payment of the Debt Securities of the defeased series may not be accelerated
because of an Event of Default specified in Sections 6.01(d), (g) and (h) and,
with respect to the Subsidiary Guarantors only, Sections 6.01(e) and (f) (except
to the extent covenants or agreements referenced in such Sections remain
applicable).

         Upon satisfaction of the conditions set forth herein and upon request
of the Partnership, the Trustee shall acknowledge in writing the discharge of
those obligations that the Partnership terminates.

         (c) Notwithstanding clauses (a) and (b) above, the Partnership's
obligations in Sections 2.07, 2.09, 4.02, 4.04, 5.01, 7.06, 7.10, 11.05, 11.06
and 11.07 shall survive until the Debt Securities of the defeased series have
been paid in full. Thereafter, the Partnership's obligations in Sections 7.06,
11.05 and 11.06 shall survive.

         Section 11.03. Conditions of Defeasance. The Partnership may exercise
its legal defeasance option or its covenant defeasance option with respect to
Debt Securities of a particular series only if:

         (a) the Partnership irrevocably deposits in trust with the Trustee
money or U.S. Government Obligations for the payment of principal of, and
premium, if any, and interest on, the Debt Securities of such series to maturity
or redemption, as the case may be;

         (b) the Partnership delivers to the Trustee a certificate from a
nationally recognized firm of independent accountants expressing their opinion
that the payments of principal and interest when due and without reinvestment on
the deposited U.S. Government Obligations plus any deposited money without
investment will provide cash at such times and in such amounts as will be
sufficient to pay the principal, premium and interest when due on all the Debt
Securities of such series to maturity or redemption, as the case may be;

         (c) 91 days pass after the deposit is made and during the 91-day period
no Default specified in Section 6.01(e) or (f) with respect to the Partnership
occurs which is continuing at the end of the period;

         (d) no Default has occurred and is continuing on the date of such
deposit and after giving effect thereto;

         (e) the deposit does not constitute a default under any other agreement
binding on the Partnership;

         (f) the Partnership delivers to the Trustee an Opinion of Counsel to
the effect that the trust resulting from the deposit does not constitute, or is
qualified as, a regulated investment company under the Investment Company Act of
1940;

                                       49
<PAGE>   56

         (g) in the event of the legal defeasance option, the Partnership shall
have delivered to the Trustee an Opinion of Counsel stating that the Partnership
has received from the Internal Revenue Service a ruling, or since the date of
this Indenture there has been a change in the applicable Federal income tax law,
in either case of the effect that, and based thereon such Opinion of Counsel
shall confirm that, the Holders of Debt Securities of such series will not
recognize income, gain or loss for Federal income tax purposes as a result of
such defeasance and will be subject to Federal income tax on the same amounts,
in the same manner and at the same times as would have been the case if such
defeasance had not occurred;

         (h) in the event of the covenant defeasance option, the Partnership
shall have delivered to the Trustee an Opinion of Counsel to the effect that the
Holders of Debt Securities of such series will not recognize income, gain or
loss for Federal income tax purposes as a result of such covenant defeasance and
will be subject to Federal income tax on the same amounts, in the same manner
and at the same times as would have been the case if such covenant defeasance
had not occurred; and

         (i) the Partnership delivers to the Trustee an Officers' Certificate
and an Opinion of Counsel, each stating that all conditions precedent to the
defeasance and discharge of the Debt Securities of such series as contemplated
by this Article XI have been complied with.

         Before or after a deposit, the Partnership may make arrangements
satisfactory to the Trustee for the redemption of Debt Securities of such series
at a future date in accordance with Article III.

         Section 11.04. Application of Trust Money. The Trustee shall hold in
trust money or U.S. Government Obligations deposited with it pursuant to this
Article XI. It shall apply the deposited money and the money from U.S.
Government Obligations through any paying agent and in accordance with this
Indenture to the payment of principal of, and premium, if any, and interest on,
the Debt Securities of the defeased series.

         Section 11.05. Repayment to Partnership. The Trustee and any paying
agent shall promptly turn over to the Partnership upon request any excess money
or securities held by them at any time.

         Subject to any applicable abandoned property law, the Trustee and any
paying agent shall pay to the Partnership upon request any money held by them
for the payment of principal, premium or interest that remains unclaimed for two
years, and, thereafter, Holders entitled to such money must look to the
Partnership for payment as general creditors.

         Section 11.06. Indemnity for U.S. Government Obligations. The
Partnership shall pay and shall indemnify the Trustee and the Holders against
any tax, fee or other charge imposed on or assessed against deposited U.S.
Government Obligations or the principal and interest received on such U.S.
Government Obligations.

         Section 11.07. Reinstatement. If the Trustee or any paying agent is
unable to apply any money or U.S. Government Obligations in accordance with this
Article XI by reason of any legal proceeding or by reason of any order or
judgment of any court or government authority enjoining, restraining or
otherwise prohibiting such application, the Partnership's obligations

                                       50
<PAGE>   57

under this Indenture and the Debt Securities of the defeased series shall be
revived and reinstated as though no deposit had occurred pursuant to this
Article XI until such time as the Trustee or any paying agent is permitted to
apply all such money or U.S. Government Obligations in accordance with this
Article XI.

                                   ARTICLE XII
                                   [RESERVED]

         This Article XII has been intentionally omitted.

                                  ARTICLE XIII
                            MISCELLANEOUS PROVISIONS

         Section 13.01. Successors and Assigns of Partnership Bound by
Indenture. All the covenants, stipulations, promises and agreements in this
Indenture contained by or in behalf of the Partnership, the Subsidiary
Guarantors or the Trustee shall bind their respective successors and assigns,
whether so expressed or not.

         Section 13.02. Acts of Board, Committee or Officer of Successor
Partnership Valid. Any act or proceeding by any provision of this Indenture
authorized or required to be done or performed by any board, committee or
officer of the Partnership or the Subsidiary Guarantors shall and may be done
and performed with like force and effect by the like board, committee or officer
of any Successor Partnership.

         Section 13.03. Required Notices or Demands. Any notice or communication
by the Partnership, the Subsidiary Guarantors or the Trustee to the others is
duly given if in writing and delivered in Person or mailed by registered or
certified mail (return receipt requested), telecopier or overnight air courier
guaranteeing next day delivery, to the other's address:

         If to the Partnership or the Subsidiary Guarantors:

         TEPPCO Partners, L.P.
         TE Products Pipeline Company, Limited Partnership
         TCTM, L.P.
         2929 Allen Parkway
         Houston, Texas 77252
         Attention: Chief Financial Officer
         Telecopy No. 713-759-3636

         If to the Trustee:

         First Union National Bank
         5847 San Felipe, Suite 1050
         Houston, Texas 77057
         Attn: Corporate Trust Department
         Telecopy: 713-278-4329

                                       51
<PAGE>   58

         The Partnership, the Subsidiary Guarantors or the Trustee by notice to
the others may designate additional or different addresses for subsequent
notices or communications.

         All notices and communications shall be deemed to have been duly given:
at the time delivered by hand, if personally delivered; five Business Days after
being deposited in the mail, postage prepaid, if mailed; on the first Business
Day on or after being sent, if telecopied and the sender receives confirmation
of successful transmission; and the next Business Day after timely delivery to
the courier, if sent by overnight air courier guaranteeing next day delivery.

         Any notice required or permitted to a Holder by the Partnership, the
Subsidiary Guarantors or the Trustee pursuant to the provisions of this
Indenture shall be deemed to be properly mailed by being deposited postage
prepaid in a post office letter box in the United States addressed to such
Holder at the address of such Holder as shown on the Debt Security Register. Any
report pursuant to Section 313 of the TIA shall be transmitted in compliance
with subsection (c) therein.

         Notwithstanding the foregoing, any notice to Holders of Floating Rate
Debt Securities regarding the determination of a periodic rate of interest, if
such notice is required pursuant to Section 2.03, shall be sufficiently given if
given in the manner specified pursuant to Section 2.03.

         In the event of suspension of regular mail service or by reason of any
other cause it shall be impracticable to give notice by mail, then such
notification as shall be given with the approval of the Trustee shall constitute
sufficient notice for every purpose hereunder.

         In the event it shall be impracticable to give notice by publication,
then such notification as shall be given with the approval of the Trustee shall
constitute sufficient notice for every purpose hereunder.

         Failure to mail a notice or communication to a Holder or any defect in
it or any defect in any notice by publication as to a Holder shall not affect
the sufficiency of such notice with respect to other Holders. If a notice or
communication is mailed or published in the manner provided above, it is
conclusively presumed duly given.

         Section 13.04. Indenture and Debt Securities to Be Construed in
Accordance with the Laws of the State of New York. THIS INDENTURE, EACH DEBT
SECURITY AND THE GUARANTEE SHALL BE DEEMED TO BE NEW YORK CONTRACTS, AND FOR ALL
PURPOSES SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF SAID
STATE.

         Section 13.05. Officers' Certificate and Opinion of Counsel to Be
Furnished upon Application or Demand by the Partnership. Upon any application or
demand by the Partnership to the Trustee to take any action under any of the
provisions of this Indenture, the Partnership shall furnish to the Trustee an
Officers' Certificate stating that all conditions precedent provided for in this
Indenture relating to the proposed action have been complied with and an Opinion
of Counsel stating that, in the opinion of such counsel, all such conditions
precedent have been complied with, except that in the case of any such
application or demand as to which the

                                       52
<PAGE>   59

furnishing of such document is specifically required by any provision of this
Indenture relating to such particular application or demand, no additional
certificate or opinion need be furnished.

         Each certificate or opinion provided for in this Indenture and
delivered to the Trustee with respect to compliance with a condition or covenant
provided for in this Indenture shall include (a) a statement that the Person
making such certificate or opinion has read such covenant or condition, (b) a
brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion
are based, (c) a statement that, in the opinion of such Person, he has made such
examination or investigation as is necessary to enable him to express an
informed opinion as to whether or not such covenant or condition has been
complied with and (d) a statement as to whether or not, in the opinion of such
Person, such condition or covenant has been complied with.

         Section 13.06. Payments Due on Legal Holidays. In any case where the
date of maturity of interest on or principal of and premium, if any, on the Debt
Securities of a series or the date fixed for redemption or repayment of any Debt
Security or the making of any sinking fund payment shall not be a business day
at any Place of Payment for the Debt Securities of such series, then payment of
interest or principal and premium, if any, or the making of such sinking fund
payment need not be made on such date at such Place of Payment, but may be made
on the next succeeding business day at such Place of Payment with the same force
and effect as if made on the date of maturity or the date fixed for redemption,
and no interest shall accrue for the period after such date. If a record date is
not a business day, the record date shall not be affected.

         Section 13.07. Provisions Required by TIA to Control. If and to the
extent that any provision of this Indenture limits, qualifies or conflicts with
another provision included in this Indenture which is required to be included in
this Indenture by any of Sections 310 to 318, inclusive, of the TIA, such
required provision shall control.

         Section 13.08. Computation of Interest on Debt Securities. Interest, if
any, on the Debt Securities shall be computed on the basis of a 360-day year of
twelve 30-day months, except as may otherwise be provided pursuant to Section
2.03.

         Section 13.09. Rules by Trustee, Paying Agent and Registrar. The
Trustee may make reasonable rules for action by or a meeting of Holders. The
Registrar and any paying agent may make reasonable rules for their functions.

         Section 13.10. No Recourse Against Others. The General Partner and its
directors, officers, employees, incorporators and stockholders, as such, shall
have no liability for any obligations of the Subsidiary Guarantors or the
Partnership under the Debt Securities, the Indenture or the Guarantee or for any
claim based on, in respect of, or by reason of, such obligations or their
creation. By accepting a Debt Security, each Holder shall waive and release all
such liability. The waiver and release shall be part of the consideration for
the issue of the Debt Securities.

         Section 13.11. Severability. In case any provision in this Indenture or
the Debt Securities shall be invalid, illegal or unenforceable, the validity,
legality and enforceability of the remaining provisions shall not in any way be
affected or impaired thereby.

                                       53
<PAGE>   60

         Section 13.12. Effect of Headings. The article and section headings
herein and in the Table of Contents are for convenience only and shall not
affect the construction hereof.

         Section 13.13. Indenture May Be Executed in Counterparts. This
Indenture may be executed in any number of counterparts, each of which shall be
an original; but such counterparts shall together constitute but one and the
same instrument.

                                   ARTICLE XIV
                                    GUARANTEE

         Section 14.01. Unconditional Guarantee.

         (a) Notwithstanding any provision of this Article XIV to the contrary,
the provisions of this Article XIV shall be applicable only to, and inure solely
to the benefit of, the Debt Securities of any series designated, pursuant to
Section 2.03, as entitled to the benefits of the Guarantee of each of the
Subsidiary Guarantors.

         (b) For value received, each of the Subsidiary Guarantors hereby fully,
unconditionally and absolutely guarantees (the "Guarantee") to the Holders and
to the Trustee the due and punctual payment of the principal of, and premium, if
any, and interest on the Debt Securities and all other amounts due and payable
under this Indenture and the Debt Securities by the Partnership, when and as
such principal, premium, if any, and interest shall become due and payable,
whether at the stated maturity or by declaration of acceleration, call for
redemption or otherwise, according to the terms of the Debt Securities and this
Indenture, subject to the limitations set forth in Section 14.03.

         (c) Failing payment when due of any amount guaranteed pursuant to the
Guarantee, for whatever reason, each of the Subsidiary Guarantors will be
jointly and severally obligated to pay the same immediately. The Guarantee
hereunder is intended to be a general, unsecured, senior obligation of each of
the Subsidiary Guarantors and will rank pari passu in right of payment with all
Debt of such Subsidiary Guarantor that is not, by its terms, expressly
subordinated in right of payment to the Guarantee. Each of the Subsidiary
Guarantors hereby agrees that its obligations hereunder, shall be full,
unconditional and absolute, irrespective of the validity, regularity or
enforceability of the Debt Securities, the Guarantee (including the Guarantee of
any other Subsidiary Guarantor) or this Indenture, the absence of any action to
enforce the same, any waiver or consent by any Holder of the Debt Securities
with respect to any provisions hereof or thereof, the recovery of any judgment
against the Partnership or any other Subsidiary Guarantor, or any action to
enforce the same or any other circumstances which might otherwise constitute a
legal or equitable discharge or defense of the Subsidiary Guarantors. Each of
the Subsidiary Guarantors hereby agrees that in the event of a default in
payment of the principal of, or premium, if any, or interest on the Debt
Securities, whether at the stated maturity or by declaration of acceleration,
call for redemption or otherwise, legal proceedings may be instituted by the
Trustee on behalf of the Holders or, subject to Section 6.04, by the Holders, on
the terms and conditions set forth in this Indenture, directly against such
Subsidiary Guarantor to enforce the Guarantee without first proceeding against
the Partnership or any other Subsidiary Guarantor.

                                       54
<PAGE>   61

         (d) The obligations of each of the Subsidiary Guarantors under this
Article XIV shall be as aforesaid full, unconditional and absolute and shall not
be impaired, modified, released or limited by any occurrence or condition
whatsoever, including, without limitation, (A) any compromise, settlement,
release, waiver, renewal, extension, indulgence or modification of, or any
change in, any of the obligations and liabilities of the Partnership or any of
the Subsidiary Guarantors contained in the Debt Securities or this Indenture,
(B) any impairment, modification, release or limitation of the liability of the
Partnership, any of the Subsidiary Guarantors or either of their estates in
bankruptcy, or any remedy for the enforcement thereof, resulting from the
operation of any present or future provision of any applicable Bankruptcy Law,
as amended, or other statute or from the decision of any court, (C) the
assertion or exercise by the Partnership, any of the Subsidiary Guarantors or
the Trustee of any rights or remedies under the Debt Securities or this
Indenture or their delay in or failure to assert or exercise any such rights or
remedies, (D) the assignment or the purported assignment of any property as
security for the Debt Securities, including all or any part of the rights of the
Partnership or any of the Subsidiary Guarantors under this Indenture, (E) the
extension of the time for payment by the Partnership or any of the Subsidiary
Guarantors of any payments or other sums or any part thereof owing or payable
under any of the terms and provisions of the Debt Securities or this Indenture
or of the time for performance by the Partnership or any of the Subsidiary
Guarantors of any other obligations under or arising out of any such terms and
provisions or the extension or the renewal of any thereof, (F) the modification
or amendment (whether material or otherwise) of any duty, agreement or
obligation of the Partnership or any of the Subsidiary Guarantors set forth in
this Indenture, (G) the voluntary or involuntary liquidation, dissolution, sale
or other disposition of all or substantially all of the assets, marshaling of
assets and liabilities, receivership, insolvency, bankruptcy, assignment for the
benefit of creditors, reorganization, arrangement, composition or readjustment
of, or other similar proceeding affecting, the Partnership or any of the
Subsidiary Guarantors or any of their respective assets, or the disaffirmance of
the Debt Securities, the Guarantee or this Indenture in any such proceeding, (H)
the release or discharge of the Partnership or any of the Subsidiary Guarantors
from the performance or observance of any agreement, covenant, term or condition
contained in any of such instruments by operation of law, (I) the
unenforceability of the Debt Securities, the Guarantee or this Indenture or (J)
any other circumstances which might otherwise constitute a legal or equitable
discharge of a surety or guarantor.

         (e) Each of the Subsidiary Guarantors hereby (A) waives diligence,
presentment, demand of payment, filing of claims with a court in the event of
the merger, insolvency or bankruptcy of the Partnership or any of the Subsidiary
Guarantors, and all demands whatsoever, (B) acknowledges that any agreement,
instrument or document evidencing the Guarantee may be transferred and that the
benefit of its obligations hereunder shall extend to each holder of any
agreement, instrument or document evidencing the Guarantee without notice to it
and (C) covenants that the Guarantee will not be discharged except by complete
performance of the Guarantee. Each of the Subsidiary Guarantors further agrees
that if at any time all or any part of any payment theretofore applied by any
Person to the Guarantee is, or must be, rescinded or returned for any reason
whatsoever, including without limitation, the insolvency, bankruptcy or
reorganization of the Partnership or any of the Subsidiary Guarantors, the
Guarantee shall, to the extent that such payment is or must be rescinded or
returned, be deemed to have continued in existence notwithstanding such
application, and the Guarantee shall continue to be effective or be reinstated,
as the case may be, as though such application had not been made.

                                       55
<PAGE>   62

         (f) Each of the Subsidiary Guarantors shall be subrogated to all rights
of the Holders and the Trustee against the Partnership in respect of any amounts
paid by such Subsidiary Guarantor pursuant to the provisions of this Indenture,
provided, however, that such Subsidiary Guarantor, shall not be entitled to
enforce or to receive any payments arising out of, or based upon, such right of
subrogation until all of the Debt Securities and the Guarantee shall have been
paid in full or discharged.

         Section 14.02. Execution and Delivery of Guarantee. To further evidence
the Guarantee set forth in Section 14.01, each of the Subsidiary Guarantors
hereby agree that a notation relating to such Guarantee, substantially in the
form attached hereto as Annex A, shall be endorsed on each Debt Security
entitled to the benefits of the Guarantee authenticated and delivered by the
Trustee and executed by either manual or facsimile signature of an officer of
Subsidiary Guarantor, or in the case of a Subsidiary Guarantor that is a limited
partnership, an officer of the general partner of each Subsidiary Guarantor.
Each of the Subsidiary Guarantors hereby agree that the Guarantee set forth in
Section 14.01 shall remain in full force and effect notwithstanding any failure
to endorse on each Debt Security a notation relating to the Guarantee. If any
officer of the Subsidiary Guarantor, or in the case of a Subsidiary Guarantor
that is a limited partnership, any officer of the general partner of the
Subsidiary Guarantor, whose signature is on this Indenture or a Debt Security no
longer holds that office at the time the Trustee authenticates such Debt
Security or at any time thereafter, the Guarantee of such Debt Security shall be
valid nevertheless. The delivery of any Debt Security by the Trustee, after the
authentication thereof hereunder, shall constitute due delivery of the Guarantee
set forth in this Indenture on behalf of the Subsidiary Guarantors.

         The Trustee hereby accepts the trusts in this Indenture upon the terms
and conditions herein set forth.

         Section 14.03. Limitation on Subsidiary Guarantors' Liability. Each
Subsidiary Guarantor and by its acceptance hereof each Holder of a Debt Security
entitled to the benefits of the Guarantee hereby confirms that it is the
intention of all such parties that the guarantee by such Subsidiary Guarantor
pursuant to its Guarantee not constitute a fraudulent transfer or conveyance for
purposes of any Federal or state law. To effectuate the foregoing intention, the
Holders of a Debt Security entitled to the benefits of the Guarantee and the
Subsidiary Guarantors hereby irrevocably agree that the obligations of each
Subsidiary Guarantor under its Guarantee shall be limited to the maximum amount
as will, after giving effect to all other contingent and fixed liabilities of
such Subsidiary Guarantor and to any collections from or payments made by or on
behalf of any other Subsidiary Guarantor in respect of the obligations of such
other Subsidiary Guarantor under its Guarantee, result in the obligations of
such Subsidiary Guarantor under the Guarantee not constituting a fraudulent
conveyance or fraudulent transfer under Federal or state law.

         Section 14.04. Release of Subsidiary Guarantors from Guarantee.

         (a) Notwithstanding any other provisions of this Indenture, the
Guarantee of any Subsidiary Guarantor may be released upon the terms and subject
to the conditions set forth in this Section 14.04. Provided that no Default
shall have occurred and shall be continuing under this Indenture, any Guarantee
incurred by a Subsidiary Guarantor pursuant to this Article XIV

                                       56
<PAGE>   63

shall be unconditionally released and discharged (i) automatically upon (A) any
sale, exchange or transfer, to any Person that is not an Affiliate of the
Partnership, of all of the Partnership's direct or indirect limited partnership
or other equity interests in, or all or substantially all the assets of, such
Subsidiary Guarantor (provided such sale, exchange or transfer is not prohibited
by this Indenture) or (B) the merger of such Subsidiary Guarantor into the
Partnership or any other Subsidiary Guarantor or the liquidation and dissolution
of such Subsidiary Guarantor (in each case to the extent not prohibited by this
Indenture) or (ii) following delivery of a written notice of such release or
discharge by the Partnership to the Trustee, upon (x) the release or discharge
of all guarantees by such Subsidiary Guarantor of any Debt of the Partnership
other than obligations arising under this Indenture and any Debt Securities
issued hereunder, except a discharge or release by or as a result of payment
under such guarantees and (y) after giving effect to the proposed release and
discharge, the aggregate total combined assets of all Subsidiaries of the
Partnership that are not Subsidiary Guarantors do not exceed 2% of consolidated
assets of the Partnership.

         (b) The Trustee shall deliver an appropriate instrument evidencing any
release of a Subsidiary Guarantor from the Guarantee upon receipt of a written
request of the Partnership accompanied by an Officers' Certificate and an
Opinion of Counsel the Subsidiary Guarantor is entitled to such release in
accordance with the provisions of this Indenture. Any Subsidiary Guarantor not
so released remains liable for the full amount of principal of (and premium, if
any, on) and interest on the Debt Securities entitled to the benefits of such
Guarantee as provided in this Indenture, subject to the limitations of Section
14.03.

         Section 14.05. Subsidiary Guarantor Contribution. In order to provide
for just and equitable contribution among the Subsidiary Guarantors, the
Subsidiary Guarantors shall agree, inter se, that in the event any payment or
distribution is made by any Subsidiary Guarantor (a "Funding Guarantor") under
its Guarantee, such Funding Guarantor shall be entitled to a contribution from
each other Subsidiary Guarantor (if any) in a pro rata amount based on the net
assets of each Subsidiary Guarantor (including the Funding Guarantor) for all
payments, damages and expenses incurred by that Funding Guarantor in discharging
the Partnership's obligations with respect to the Debt Securities or any other
Subsidiary Guarantor's obligations with respect to its Guarantee.

                                       57
<PAGE>   64

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

                                  TEPPCO PARTNERS, L.P.

                                  By:   Texas Eastern Products Pipeline Company,
                                        LLC
                                        Its General Partner

                                  By:
                                        ----------------------------------------
                                        Charles H. Leonard
                                        Senior Vice President, Chief Financial
                                        Officer and Treasurer

                                  TE PRODUCTS PIPELINE COMPANY,
                                  LIMITED PARTNERSHIP

                                  By:   TEPPCO GP, Inc.
                                        Its General Partner

                                  By:
                                        ----------------------------------------
                                        Charles H. Leonard
                                        Senior Vice President, Chief Financial
                                        Officer and Treasurer

                                  TCTM, L.P.

                                  By:   TEPPCO GP, Inc.
                                        Its General Partner

                                  By:
                                        ----------------------------------------
                                        Charles H. Leonard
                                        Senior Vice President, Chief Financial
                                        Officer and Treasurer

                                  FIRST UNION NATIONAL BANK, as Trustee

                                  By:
                                        ----------------------------------------
                                  Name:
                                        ----------------------------------------
                                  Title:
                                        ----------------------------------------

                                       58
<PAGE>   65

                                                                         ANNEX A

                              NOTATION OF GUARANTEE

         Each of the Subsidiary Guarantors (which term includes any successor
Person under the Indenture), has fully, unconditionally and absolutely
guaranteed, to the extent set forth in the Indenture and subject to the
provisions in the Indenture, the due and punctual payment of the principal of,
and premium, if any, and interest on the Debt Securities and all other amounts
due and payable under the Indenture and the Debt Securities by the Partnership.

         The obligations of the Subsidiary Guarantors to the Holders of Debt
Securities and to the Trustee pursuant to the Guarantee and the Indenture are
expressly set forth in Article XIV of the Indenture and reference is hereby made
to the Indenture for the precise terms of the Guarantee.

                                  TE PRODUCTS PIPELINE COMPANY,
                                  LIMITED PARTNERSHIP

                                  By:   TEPPCO GP, Inc.
                                        Its General Partner

                                  By:
                                        ----------------------------------------
                                        Charles H. Leonard
                                        Senior Vice President, Chief Financial
                                        Officer and Treasurer

                                  TCTM, L.P.

                                  By:   TEPPCO GP, Inc.
                                        Its General Partner

                                  By:
                                        ----------------------------------------
                                        Charles H. Leonard
                                        Senior Vice President, Chief Financial
                                        Officer and Treasurer

                                      A-1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00027-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00027-of-00352.parquet"}]]