Document:

exv4w2

 

Exhibit 4.2

ONCOTHYREON INC.

TO

 

AS TRUSTEE

INDENTURE

DATED AS OF                     , 20___

SUBORDINATED DEBT SECURITIES

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page
	ARTICLE 1 DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION
	 	 	1	 
	 
	 	 	 	 
	Section 1.1 Definitions
	 	 	1	 
	Section 1.2 Compliance Certificates and Opinions
	 	 	10	 
	Section 1.3 Form of Documents Delivered to Trustee
	 	 	10	 
	Section 1.4 Acts of Holders; Record Dates
	 	 	11	 
	Section 1.5 Notices, etc., to Trustee and Company
	 	 	13	 
	Section 1.6 Notice to Holders; Waiver
	 	 	13	 
	Section 1.7 Conflict with Trust Indenture Act
	 	 	14	 
	Section 1.8 Effect of Headings and Table of Contents
	 	 	14	 
	Section 1.9 Successors and Assigns
	 	 	14	 
	Section 1.10 Separability Clause
	 	 	14	 
	Section 1.11 Benefits of Indenture
	 	 	14	 
	Section 1.12 Governing Law
	 	 	14	 
	Section 1.13 Legal Holidays
	 	 	14	 
	Section 1.14 Indenture and Securities Solely Corporate Obligations
	 	 	15	 
	Section 1.15 Indenture May be Executed in Counterparts
	 	 	15	 
	 
	 	 	 	 
	ARTICLE 2 SECURITY FORMS
	 	 	15	 
	 
	 	 	 	 
	Section 2.1 Forms Generally
	 	 	15	 
	Section 2.2 Form of Face of Security
	 	 	16	 
	Section 2.3 Form of Reverse of Security
	 	 	17	 
	Section 2.4 Form of Legend for Global Securities
	 	 	21	 
	Section 2.5 Form of Trustee’s Certificate of Authentication
	 	 	22	 
	Section 2.6 Form of Conversion Notice
	 	 	22	 
	 
	 	 	 	 
	ARTICLE 3 THE SECURITIES
	 	 	23	 
	 
	 	 	 	 
	Section 3.1 Amount Unlimited; Issuable in Series
	 	 	23	 
	Section 3.2 Denominations
	 	 	26	 
	Section 3.3 Execution, Authentication, Delivery and Dating
	 	 	26	 
	Section 3.4 Temporary Securities
	 	 	28	 
	Section 3.5 Registration; Registration of Transfer and Exchange
	 	 	28	 
	Section 3.6 Mutilated, Destroyed, Lost and Stolen Securities
	 	 	30	 
	Section 3.7 Payment of Interest; Interest Rights Preserved
	 	 	31	 
	Section 3.8 Persons Deemed Owners
	 	 	32	 
	Section 3.9 Cancellation
	 	 	32	 
	Section 3.10 Computation of Interest
	 	 	32	 

 

 

TABLE OF CONTENTS
(continued)

	 	 	 	 	 
	 	 	Page
	ARTICLE 4 SATISFACTION AND DISCHARGE
	 	 	32	 
	 
	 	 	 	 
	Section 4.1 Satisfaction and Discharge of Indenture
	 	 	32	 
	Section 4.2 Application of Trust Money
	 	 	33	 
	 
	 	 	 	 
	ARTICLE 5 REMEDIES
	 	 	34	 
	 
	 	 	 	 
	Section 5.1 Events of Default
	 	 	34	 
	Section 5.2 Acceleration of Maturity; Rescission and Annulment
	 	 	35	 
	Section 5.3 Collection of Indebtedness and Suits for Enforcement by Trustee
	 	 	36	 
	Section 5.4 Trustee May File Proofs of Claim
	 	 	37	 
	Section 5.5 Trustee May Enforce Claims Without Possession of Securities
	 	 	37	 
	Section 5.6 Application of Money Collected
	 	 	37	 
	Section 5.7 Limitation on Suits
	 	 	38	 
	Section 5.8 Unconditional Right of Holders to Receive Principal, Premium and Interest and to Convert
	 	 	39	 
	Section 5.9 Restoration of Rights and Remedies
	 	 	39	 
	Section 5.10 Rights and Remedies Cumulative
	 	 	39	 
	Section 5.11 Delay or Omission Not Waiver
	 	 	39	 
	Section 5.12 Control by Holders
	 	 	39	 
	Section 5.13 Waiver of Past Defaults
	 	 	40	 
	Section 5.14 Undertaking for Costs
	 	 	40	 
	Section 5.15 Waiver of Usury, Stay or Extension Laws
	 	 	41	 
	 
	 	 	 	 
	ARTICLE 6 THE TRUSTEE
	 	 	41	 
	 
	 	 	 	 
	Section 6.1 Certain Duties and Responsibilities
	 	 	41	 
	Section 6.2 Notice of Defaults
	 	 	41	 
	Section 6.3 Certain Rights of Trustee
	 	 	42	 
	Section 6.4 Not Responsible for Recitals or Issuance of Securities
	 	 	43	 
	Section 6.5 May Hold Securities and Act as Trustee under Other Indentures
	 	 	43	 
	Section 6.6 Money Held in Trust
	 	 	43	 
	Section 6.7 Compensation and Reimbursement
	 	 	43	 
	Section 6.8 Conflicting Interests
	 	 	44	 
	Section 6.9 Corporate Trustee Required; Eligibility
	 	 	44	 
	Section 6.10 Resignation and Removal; Appointment of Successor
	 	 	44	 
	Section 6.11 Acceptance of Appointment by Successor
	 	 	46	 
	Section 6.12 Merger, Conversion, Consolidation or Succession to Business
	 	 	47	 
	Section 6.13 Preferential Collection of Claims Against Company
	 	 	47	 
	Section 6.14 Appointment of Authenticating Agent
	 	 	47	 

ii

 

TABLE OF CONTENTS
(continued)

	 	 	 	 	 
	 	 	Page
	ARTICLE 7 HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND COMPANY
	 	 	49	 
	 
	 	 	 	 
	Section 7.1 Company to Furnish Trustee Names and Addresses of Holders
	 	 	49	 
	Section 7.2 Preservation of Information; Communications to Holders
	 	 	49	 
	Section 7.3 Reports by Trustee
	 	 	50	 
	Section 7.4 Reports by Company
	 	 	50	 
	 
	 	 	 	 
	ARTICLE 8 CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE
	 	 	50	 
	 
	 	 	 	 
	Section 8.1 Company May Consolidate, etc., Only on Certain Terms.
	 	 	50	 
	Section 8.2 Successor Substituted
	 	 	51	 
	 
	 	 	 	 
	ARTICLE 9 SUPPLEMENTAL INDENTURES
	 	 	51	 
	 
	 	 	 	 
	Section 9.1 Supplemental Indentures Without Consent of Holders
	 	 	51	 
	Section 9.2 Supplemental Indentures with Consent of Holders
	 	 	53	 
	Section 9.3 Execution of Supplemental Indentures
	 	 	54	 
	Section 9.4 Effect of Supplemental Indentures
	 	 	54	 
	Section 9.5 Conformity with Trust Indenture Act
	 	 	54	 
	Section 9.6 Reference in Securities to Supplemental Indentures
	 	 	54	 
	 
	 	 	 	 
	ARTICLE 10 COVENANTS
	 	 	55	 
	 
	 	 	 	 
	Section 10.1 Payment of Principal, Premium and Interest
	 	 	55	 
	Section 10.2 Maintenance of Office or Agency
	 	 	55	 
	Section 10.3 Money for Securities Payments to be Held in Trust
	 	 	55	 
	Section 10.4 Statement by Officers as to Default
	 	 	56	 
	Section 10.5 Existence
	 	 	57	 
	Section 10.6 Waiver of Certain Covenants
	 	 	57	 
	 
	 	 	 	 
	ARTICLE 11 REDEMPTION OF SECURITIES
	 	 	58	 
	 
	 	 	 	 
	Section 11.1 Applicability of Article
	 	 	58	 
	Section 11.2 Election to Redeem; Notice to Trustee
	 	 	58	 
	Section 11.3 Selection by Trustee of Securities to Be Redeemed
	 	 	58	 
	Section 11.4 Notice of Redemption
	 	 	59	 
	Section 11.5 Deposit of Redemption Price
	 	 	60	 
	Section 11.6 Securities Payable on Redemption Date
	 	 	60	 
	Section 11.7 Securities Redeemed in Part
	 	 	61	 
	 
	 	 	 	 
	ARTICLE 12 SINKING FUNDS
	 	 	61	 
	 
	 	 	 	 
	Section 12.1 Applicability of Article
	 	 	61	 
	Section 12.2 Satisfaction of Sinking Fund Payments with Securities
	 	 	61	 
	Section 12.3 Redemption of Securities for Sinking Fund
	 	 	62	 

iii

 

TABLE OF CONTENTS
(continued)

	 	 	 	 	 
	 	 	Page
	ARTICLE 13 DEFEASANCE AND COVENANT DEFEASANCE
	 	 	62	 
	 
	 	 	 	 
	Section 13.1 Company’s Option to Effect Defeasance or Covenant Defeasance
	 	 	62	 
	Section 13.2 Defeasance and Discharge
	 	 	62	 
	Section 13.3 Covenant Defeasance
	 	 	63	 
	Section 13.4 Conditions to Defeasance or Covenant Defeasance
	 	 	64	 
	Section 13.5 Deposited Money, U.S. Government Obligations and Foreign Government Obligations to be Held in Trust; Miscellaneous Provisions.
	 	 	66	 
	Section 13.6 Reinstatement
	 	 	67	 
	 
	 	 	 	 
	ARTICLE 14 CONVERSION OF SECURITIES
	 	 	67	 
	 
	 	 	 	 
	Section 14.1 Applicability of Article
	 	 	67	 
	Section 14.2 Exercise of Conversion Privilege
	 	 	67	 
	Section 14.3 No Fractional Shares
	 	 	68	 
	Section 14.4 Adjustment of Conversion Price or Conversion Rate
	 	 	69	 
	Section 14.5 Notice of Certain Corporate Actions
	 	 	69	 
	Section 14.6 Reservation of Shares of Common Stock
	 	 	70	 
	Section 14.7 Payment of Certain Taxes upon Conversion
	 	 	70	 
	Section 14.8 Nonassessability
	 	 	71	 
	Section 14.9 Provision in Case of Consolidation, Merger or Sale of Assets
	 	 	71	 
	Section 14.10 Duties of Trustee Regarding Conversion
	 	 	72	 
	Section 14.11 Repayment of Certain Funds upon Conversion
	 	 	72	 
	 
	 	 	 	 
	ARTICLE 15 SUBORDINATION OF SECURITIES
	 	 	73	 
	 
	 	 	 	 
	Section 15.1 Agreement of Subordination
	 	 	73	 
	Section 15.2 Payments to Holders
	 	 	73	 
	Section 15.3 Subrogation of Securities
	 	 	76	 
	Section 15.4 Authorization to Effect Subordination
	 	 	77	 
	Section 15.5 Notice to Trustee
	 	 	77	 
	Section 15.6 Trustee’s Relation to Senior Debt
	 	 	78	 
	Section 15.7 No Impairment of Subordination
	 	 	78	 
	Section 15.8 Certain Conversions/Exchanges Deemed Payment
	 	 	78	 
	Section 15.9 Article Applicable to Paying Agents
	 	 	79	 
	Section 15.10 Senior Debt Entitled to Rely
	 	 	79	 
	Section 15.11 Reliance on Judicial Order or Certificate of Liquidating Agent
	 	 	79	 
	Section 15.12 Trust Monies Not Subordinated.
	 	 	79	 

iv

 

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

	 	 	 	 	 
	Section 310

	 	(a)(1)
	 	6.9
	 

	 	(a)(2)
	 	6.9
	 

	 	(a)(3)
	 	Not Applicable
	 

	 	(a)(4)
	 	Not Applicable
	 

	 	(b)
	 	6.8, 6.10
	Section 311

	 	(a)
	 	6.13
	 

	 	(b)
	 	6.13
	Section 312

	 	(a)
	 	7.1, 7.2
	 

	 	(b)
	 	7.2
	 

	 	(c)
	 	7.2
	Section 313

	 	(a)
	 	7.3
	 

	 	(b)
	 	7.3
	 

	 	(c)
	 	7.3
	 

	 	(d)
	 	7.3
	Section 314

	 	(a)
	 	7.4
	 

	 	(a)(4)
	 	1.1, 10.4
	 

	 	(b)
	 	Not Applicable
	 

	 	(c)(1)
	 	1.2
	 

	 	(c)(2)
	 	1.2
	 

	 	(c)(3)
	 	Not Applicable
	 

	 	(d)
	 	Not Applicable
	 

	 	(e)
	 	1.2
	Section 315

	 	(a)
	 	6.1
	 

	 	(b)
	 	6.2
	 

	 	(c)
	 	6.1
	 

	 	(d)
	 	6.1
	 

	 	(e)
	 	5.14
	Section 316

	 	(a)
	 	1.1
	 

	 	(a)(1)(A)
	 	5.2, 5.12
	 

	 	(a)(1)(B)
	 	5.13
	 

	 	(a)(2)
	 	Not Applicable
	 

	 	(b)
	 	5.8
	 

	 	(c)
	 	1.4
	Section 317

	 	(a)(1)
	 	5.3
	 

	 	(a)(2)
	 	5.4
	 

	 	(b)
	 	10.3
	Section 318

	 	(a)
	 	1.7

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

 

 

     INDENTURE, dated as of ___, 20___, between Oncothyreon Inc., a corporation duly
organized and existing under the laws of the State of Delaware (herein called the “Company”),
having its principal executive office at 110—110th Avenue NE, Suite 685, Bellevue,
Washington 98004, and ___, as Trustee (herein called the “Trustee”).

RECITALS OF THE COMPANY

     The Company has duly authorized the execution and delivery of this Indenture to provide for
the issuance from time to time of its unsecured subordinated debentures, notes or other evidences
of indebtedness (herein called the “Securities”), to be issued in one or more series as provided in
this Indenture.

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

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

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

ARTICLE 1

DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

Section 1.1 Definitions. 

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

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

     (2) all other terms used herein which are defined in the Trust Indenture Act, either
directly or by reference therein, have the meanings assigned to them therein;

     (3) all accounting terms not otherwise defined herein have the meanings assigned to
them in accordance with generally accepted accounting principles in the United States of
America, and, except as otherwise herein expressly provided, the term “generally
accepted accounting principles” with respect to any computation required or permitted
hereunder shall mean such accounting principles in the United States of America as are
generally accepted at the date of such computation;

     (4) all references to “$” refer to the lawful currency of the United States of America;

 

 

     (5) unless the context otherwise requires, any reference to an “Article” or a “Section”
refers to an Article or a Section, as the case may be, of this Indenture; and

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

     “Act,” when used with respect to any Holder, has the meaning specified in Section 1.4.

     “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.

     “Authenticating Agent” means any Person authorized by the Trustee pursuant to Section 6.14 to
act on behalf of the Trustee to authenticate Securities of one or more series.

     “Board of Directors” means either the board of directors of the Company or any duly authorized
committee of that board empowered to act for it with respect to this Indenture.

     “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 such certification, and delivered to the Trustee.

     “Business Day,” when used with respect to any Place of Payment, means each Monday, Tuesday,
Wednesday, Thursday and Friday which is not a day on which banking institutions in that Place of
Payment are authorized or obligated by law or executive order to close.

     “Commission” means the Securities and Exchange Commission, from time to time constituted,
created under the Exchange Act, or, if at any time after the execution of this instrument such
Commission is not existing and performing the duties now assigned to it under the Trust Indenture
Act, then the body performing such duties at such time.

     “Common Stock” includes any stock of any class of the Company which has no preference in
respect of dividends or of amounts payable in the event of any voluntary or involuntary
liquidation, dissolution or winding-up of the Company and which is not subject to redemption by the
Company; provided, however, subject to the provisions of Section 14.9, shares
issuable upon conversion of Securities shall include only shares of the class designated as Common
Stock of the Company at the date of this Indenture or shares of any class or classes resulting from
any reclassification or reclassifications thereof and which have no preference in respect of
dividends or of amounts payable in the event of any voluntary or involuntary liquidation,
dissolution or winding-up of the Company and which are not subject to redemption by the Company;
provided, further, that if at any time there shall be more than one such resulting
class, the shares of each such class then so issuable shall be substantially in the proportion
which the total number of shares of such class resulting from all such
reclassifications bears to the total number of shares of all such classes resulting from all
such reclassifications.

-2-

 

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

     “Company Request” or “Company Order” means a written request or order signed in the name of
the Company by its Chairman of the Board, its Vice Chairman of the Board, its Chief Executive
Officer, its President or a Vice President, and by its principal financial officer, its Treasurer,
an Assistant Treasurer, its Secretary or an Assistant Secretary, and delivered to the Trustee.

     “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.

     “Corporate Trust Office” means the corporate trust office of the Trustee at
                                        , Attention: Corporate Trust Department, or such other office,
designated by the Trustee by written notice to the Company, at which at any particular time its
corporate trust business shall be administered.

     “corporation” means a corporation, association, company, joint-stock company or business
trust.

     “Covenant Defeasance” has the meaning specified in Section 13.3.

     “Defaulted Interest” has the meaning specified in Section 3.7.

     “Defeasance” has the meaning specified in Section 13.2.

     “Depositary” means, with respect to Securities of any series issuable in whole or in part in
the form of one or more Global Securities, a clearing agency registered under the Exchange Act that
is designated to act as Depositary for such Securities as contemplated by Section 3.1.

     “Designated Senior Debt” means the Company’s obligations under any particular Senior Debt in
which the instrument creating or evidencing the same or the assumption or guarantee thereof (or
related agreements or documents to which the Company is a party) expressly provides that such
Senior Debt shall be “Designated Senior Debt” for purposes of this Indenture (provided that such
instrument, agreement or other document may place limitations and conditions on the right of such
Senior Debt to exercise the rights of Designated Senior Debt). If any payment made to any holder
of any Designated Senior Debt or its Representative with respect to such Designated Senior Debt is
rescinded or must otherwise be returned by such holder or Representative upon the insolvency,
bankruptcy or reorganization of the Company or otherwise, the reinstated Indebtedness of the
Company arising as a result of such rescission or return shall constitute Designated Senior
Debt effective as of the date of such rescission or return.

-3-

 

     “euro” or “euros” means the currency adopted by those nations participating in the third stage
of the economic and monetary union provisions of the Treaty on European Union, signed at Maastricht
on February 7, 1992.

     “European Economic Area” means the member nations of the European Economic Area pursuant to
the Oporto Agreement on the European Economic Area dated May 2, 1992, as amended.

     “European Union” means the member nations of the European Union established by the Treaty of
European Union, signed at Maastricht on February 2, 1992, which amended the Treaty of Rome
establishing the European Community.

     “Event of Default” has the meaning specified in Section 5.1.

     “Exchange Act” means the Securities Exchange Act of 1934 and any statute successor thereto, in
each case as amended from time to time.

     “Expiration Date” has the meaning specified in Section 1.4.

     “Foreign Government Obligation” means with respect to Securities of any series which are not
denominated in the currency of the United States of America (x) any security which is (i) a direct
obligation of the government which issued or caused to be issued the currency in which such
security is denominated and for the payment of which obligations its full faith and credit is
pledged, or, with respect to Securities of any series which are denominated in euros, a direct
obligation of any member nation of the European Union for the payment of which obligation the full
faith and credit of the respective nation is pledged so long as such nation has a credit rating at
least equal to that of the highest rated member nation of the European Economic Area, or (ii) an
obligation of a Person controlled or supervised by or acting as an agency or instrumentality of a
government specified in clause (i) above the timely payment of which is unconditionally guaranteed
as a full faith and credit obligation by the such government, which, in either case (i) or (ii), is
not callable or redeemable at the option of the issuer thereof, and (y) any depositary receipt
issued by a bank (as defined in Section 3(a)(2) of the Securities Act) as custodian with respect to
any Foreign Government Obligation which is specified in clause (x) above and held by such bank for
the account of the holder of such depositary receipt, or with respect to any specific payment of
principal of or interest on any Foreign Government Obligation which is so specified and held,
provided that (except as required by law) such custodian is not authorized to make any deduction
from the amount payable to the holder of such depositary receipt from any amount received by the
custodian in respect of the Foreign Government Obligation or the specific payment of principal or
interest evidenced by such depositary receipt.

     “Global Security” means a Security that evidences all or part of the Securities of any series
and bears the legend set forth in Section 2.4 (or such legend as may be specified as contemplated
by Section 3.1 for such Securities).

     “Holder” means a Person in whose name a Security is registered in the Security Register.

-4-

 

     “Indebtedness” means, with respect to any Person, all obligations, whether absolute or
contingent, whether secured or unsecured, due or to become due, outstanding on the date of this
Indenture or thereafter created, incurred or assumed, of such Person (i) (a) for borrowed money
(including, but not limited to, any indebtedness secured by a security interest, mortgage or other
lien on the assets of that Person that is (1) given to secure all or part of the purchase price of
property subject thereto, whether given to the vendor of such property or to another, or
(2) existing on property at the time of acquisition thereof), (b) evidenced by a note or similar
instrument given in connection with the acquisition of any businesses, properties or assets of any
kind (c) evidenced by a credit or loan agreement, note, debenture, bond or other written
obligation, (d) under a lease required to be capitalized on the balance sheet of the lessee under
GAAP or under other leases for facilities, capital equipment or related assets, whether or not
capitalized, entered into or leased for financing purposes, (e) in respect of letters of credit,
bank guarantees, bankers’ acceptances and similar facilities (including reimbursement obligations
with respect to any of the foregoing), (f) issued or assumed as the deferred purchase price of any
property or services, but excluding trade accounts payable and accrued liabilities arising in the
ordinary course of business, (g) under interest rate or currency swap agreements, cap, floor,
collar agreements, hedge agreements, forward contracts and similar agreements and arrangements;
(ii) with respect to any obligation of others of the type described in the preceding clause (i) and
all dividends of another Person, the payment of which, in either case, assumed by or guaranteed in
any manner by such Person or for which such Person is responsible or liable, directly or
indirectly, jointly or severally, as obligor, guarantor or otherwise, or which are secured by a
lien on such Person’s property; and (iii) any and all renewals, extensions, modifications,
replacements, restatements and refundings of, or any Indebtedness or obligation issued in exchange
for, any such Indebtedness or obligation described in the preceding clauses (i) or (ii).

     “Indenture” means this instrument as originally executed and as it may from time to time be
supplemented or amended by one or more indentures supplemental hereto entered into pursuant to the
applicable provisions hereof, including, for all purposes of this instrument and any such
supplemental indenture, the provisions of the Trust Indenture Act that are deemed to be a part of
and govern this instrument and any such supplemental indenture, respectively. The term “Indenture”
shall also include the terms of particular series of Securities established as contemplated by
Section 3.1; provided, however, that if at any time more than one Person is acting
as Trustee under this Indenture due to the appointment of one or more separate Trustees for any one
or more separate series of Securities, “Indenture” shall mean, with respect to such series of
Securities for which any such Person is Trustee, this instrument as originally executed or as it
may from time to time be supplemented or amended by one or more indentures supplemental hereto
entered into pursuant to the applicable provisions hereof and shall include the terms of particular
series of Securities for which such Person is Trustee established as contemplated by Section 3.1,
exclusive, however, of any provisions or terms which relate solely to other series of Securities
for which such Person is not Trustee, regardless of when such terms or provisions were adopted, and
exclusive of any provisions or terms adopted by means of one or more indentures supplemental hereto
executed and delivered after such Person had become such Trustee, but to which such person, as such
Trustee, was not a
party; provided, further that in the event that this Indenture is supplemented
or amended by one or more indentures supplemental hereto which are only applicable to certain
series of Securities, the

-5-

 

term “Indenture” for a particular series of Securities shall only include
the supplemental indentures applicable thereto.

     “interest,” when used with respect to an Original Issue Discount Security, which by its terms
bears interest only after Maturity, means interest payable after Maturity.

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

     “Investment Company Act” means the Investment Company Act of 1940 and any statute successor
thereto, in each case as amended from time to time.

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

     “Notice of Default” means a written notice of the kind specified in Section 5.1(4).

     “Officers’ Certificate” means a certificate signed by the Chairman of the Board, a Vice
Chairman of the Board, the Chief Executive Officer, the President or a Vice President, and by the
principal financial officer, the Treasurer, an Assistant Treasurer, the Secretary or an Assistant
Secretary, of the Company, and delivered to the Trustee. One of the officers signing an Officers’
Certificate given pursuant to Section 10.4 shall be the principal executive, financial or
accounting officer of the Company.

     “Opinion of Counsel” means a written opinion of counsel, who may be counsel for, or an
employee of, the Company, and who shall be reasonably acceptable to the Trustee.

     “Original Issue Discount Security” means any Security that provides for an amount less than
the principal amount thereof to be due and payable upon a declaration of acceleration of the
Maturity thereof pursuant to Section 5.2.

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

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

     (2) Securities for whose payment or redemption money in the necessary amount has been
theretofore deposited with the Trustee or any Paying Agent (other than the Company) in trust
or set aside and segregated in trust by the Company (if the Company shall act as its own
Paying Agent) for the Holders of such Securities; provided that, if such
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;

-6-

 

     (3) Securities as to which Defeasance has been effected pursuant to Section 13.2; and

     (4) Securities which have been paid pursuant to Section 3.6 or in exchange for or in
lieu of which other Securities have been authenticated and delivered pursuant to this
Indenture, other than any such Securities in respect of which there shall have been
presented to the Trustee proof satisfactory to it that such Securities are held by a bona
fide purchaser in whose hands such Securities are valid obligations of the Company;

provided, however, that in determining whether the Holders of the requisite
principal amount of the Outstanding Securities have given, made or taken any request, demand,
authorization, direction, notice, consent, waiver or other action hereunder as of any date, (A) the
principal amount of an Original Issue Discount Security which shall be deemed to be Outstanding
shall be the amount of the principal thereof which would be due and payable as of such date upon
acceleration of the Maturity thereof to such date pursuant to Section 5.2, (B) if, as of such date,
the principal amount payable at the Stated Maturity of a Security is not determinable, the
principal amount of such Security which shall be deemed to be Outstanding shall be the amount as
specified or determined as contemplated by Section 3.1, (C) the principal amount of a Security
denominated in one or more non-U.S. dollar currencies or currency units which shall be deemed to be
Outstanding shall be the U.S. dollar equivalent, determined as of such date in the manner provided
as contemplated by Section 3.1, of the principal amount of such Security (or, in the case of a
Security described in clause (A) or (B) above, of the amount determined as provided in such
clause), and (D) Securities owned by the Company or any other obligor upon the Securities or any
Affiliate of the Company or of such other obligor shall be disregarded and deemed not to be
Outstanding, except that, in determining whether the Trustee shall be protected in relying upon any
such request, demand, authorization, direction, notice, consent, waiver or other action, only
Securities which the Trustee knows to be so owned shall be so disregarded. Securities so owned
which have been pledged in good faith may be regarded as Outstanding if the pledgee establishes to
the satisfaction of the Trustee the pledgee’s right so to act with respect to such Securities and
that the pledgee is not the Company or any other obligor upon the Securities or any Affiliate of
the Company or of such other obligor.

     “Paying Agent” means any Person authorized by the Company to pay the principal of or any
premium or interest on any Securities on behalf of the Company.

     “Payment Blockage Notice” has the meaning specified in Section 15.2.

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

     “Place of Payment,” when used with respect to the Securities of any series, means the place or
places where the principal of and any premium and interest on the Securities of that series are
payable as specified as contemplated by Section 3.1.

-7-

 

     “Predecessor Security” of any particular Security means every previous Security evidencing all
or a portion of the same debt as that evidenced by such particular Security; and, for the purposes
of this definition, any Security authenticated and delivered under Section 3.6 in exchange for or
in lieu of a mutilated, destroyed, lost or stolen Security shall be deemed to evidence the same
debt as the mutilated, destroyed, lost or stolen Security.

     “Record Date” means any Regular Record Date or Special Record Date.

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

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

     “Regular Record Date” for the interest payable on any Interest Payment Date on the Securities
of any series means the date specified for that purpose as contemplated by Section 3.1.

     “Representative” means the (a) indenture trustee or other trustee, agent or representative for
any Senior Debt or (b) with respect to any Senior Debt that does not have any such trustee, agent
or other representative, (i) in the case of such Senior Debt issued pursuant to an agreement
providing for voting arrangements as among the holders or owners of such Senior Debt, any holder or
owner of such Senior Debt acting with the consent of the required persons necessary to bind such
holders or owners of such Senior Debt and (ii) in the case of all other such Senior Debt, the
holder or owner of such Senior Debt.

     “Responsible Officer” means, when used with respect to the Trustee, an officer of the Trustee
in the Corporate Trust Office assigned and duly authorized by the Trustee to administer its
corporate trust matters.

     “Securities” has the meaning stated in the first recital of this Indenture and more
particularly means any Securities authenticated and delivered under this Indenture.

     “Securities Act” means the Securities Act of 1933 and any statute successor thereto, in each
case as amended from time to time.

     “Security Register” and “Security Registrar” have the respective meanings specified in
Section 3.5.

     “Senior Debt” means the principal of, premium, if any, and interest (including all interest
accruing subsequent to the commencement of any bankruptcy or similar proceeding, whether or not a
claim for post-petition interest is allowable as a claim in any such proceeding) on, and all fees
and
other amounts payable in connection with, Indebtedness of the Company, whether outstanding on
the date of this Indenture or thereafter created, incurred, assumed, guaranteed or in effect
guaranteed by the Company (including all deferrals, renewals, extensions or refundings of, or
amendments, modifications or supplements to, the foregoing), unless in the case of any particular
Indebtedness the

-8-

 

instrument creating or evidencing the same or the assumption or guarantee thereof
expressly provides that such Indebtedness shall not be senior in right of payment to the Securities
or expressly provides that such Indebtedness is “pari passu” or “ junior” to the Securities.
Notwithstanding the foregoing, the term Senior Debt shall not include any Indebtedness of the
Company to any Subsidiary of the Company. If any payment made to any holder of any Senior Debt or
its Representative with respect to such Senior Debt is rescinded or must otherwise be returned by
such holder or Representative upon the insolvency, bankruptcy or reorganization of the Company or
otherwise, the reinstated Indebtedness of the Company arising as a result of such rescission or
return shall constitute Senior Debt effective as of the date of such rescission or return.

     “Special Record Date” for the payment of any Defaulted Interest means a date fixed by the
Trustee pursuant to Section 3.7.

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

     “Subsidiary” means a Person of which more than 50% of the outstanding voting stock having the
power to elect a majority of the board of directors of such Person (in the case of a corporation)
is, or of which more than 50% of the equity interests (in the case of a Person which is not a
corporation) are, at the time owned, directly or indirectly, by the Company or by one or more other
Subsidiaries, or by a combination of the Company and one or more other Subsidiaries. For the
purposes of this definition, “voting stock” means stock or other similar interests to the Company
which ordinarily has or have voting power for the election of directors, or persons performing
similar functions, whether at all times or only so long as no senior class of stock or other
interests has or have such voting power by reason of any contingency.

     “Trust Indenture Act” means the Trust Indenture Act of 1939 as in force at the date as of
which this instrument was executed; provided, however, that in the event the Trust
Indenture Act of 1939 is amended after such date, “Trust Indenture Act” means, to the extent
required by any such amendment, the Trust Indenture Act of 1939 as so amended.

     “Trustee” means the Person named as the “Trustee” in the first paragraph of this instrument
until a successor Trustee shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter “Trustee” shall mean or include 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 shall mean the Trustee with respect to Securities of that series.

     “U.S. Government Obligation” means (x) any security which is (i) a direct obligation of the
United States of America for the payment of which the full faith and credit of the United States of
America is pledged or (ii) an obligation of a Person controlled or supervised by and acting as an
agency or instrumentality of the United States of America the payment of which is
unconditionally guaranteed as a full faith and credit obligation by the United States of America,
which, in either case (i) or (ii), is not callable or redeemable at the option of the issuer
thereof, and (y) any depositary receipt issued by a bank (as defined in Section 3(a)(2) of the
Securities Act) as custodian with

-9-

 

respect to any U.S. Government Obligation which is specified in
clause (x) above and held by such bank for the account of the holder of such depositary receipt, or
with respect to any specific payment of principal of or interest on any U.S. Government Obligation
which is so specified and held, provided that (except as required by law) such custodian is not
authorized to make any deduction from the amount payable to the holder of such depositary receipt
from any amount received by the custodian in respect of the U.S. Government Obligation or the
specific payment of principal or interest evidenced by such depositary receipt.

     “Vice President,” when used with respect to the Company or the Trustee, means any vice
president, whether or not designated by a number or a word or words added before or after the title
“vice president.”

Section 1.2 Compliance Certificates and Opinions. 

     Upon any application or request by the Company to the Trustee to take any action under any
provision of this Indenture, the Company shall furnish to the Trustee such certificates and
opinions as may be required under the Trust Indenture Act. Each such certificate or opinion shall
be given in the form of an Officers’ Certificate, if to be given by an officer of the Company, or
an Opinion of Counsel, if to be given by counsel, and shall comply with the requirements of the
Trust Indenture Act and any other requirements set forth in this Indenture.

     Every certificate or opinion with respect to compliance with a condition or covenant provided
for in this Indenture shall include,

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

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

     (3) a statement that, in the opinion of each such individual, he 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 such covenant or condition has been complied with; and

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

Section 1.3 Form of Documents Delivered to Trustee. 

     In any case where several matters are required to be certified by, or covered by an opinion
of, any specified Person, it is not necessary that all such matters be certified by, or covered by
the opinion of, only one such Person, or that they be so certified or covered by only one document,
but one such Person may certify or give an opinion with respect to some matters and one or more
other such Persons as to other matters, and any such Person may certify or give an opinion as to
such matters in one or several documents.

-10-

 

     Any certificate or opinion of an officer of the Company may be based, insofar as it relates to
legal matters, upon a certificate or opinion of, or representations by, counsel, unless such
officer knows, or in the exercise of reasonable care should know, that the certificate or opinion
or representations with respect to the matters upon which his or her certificate or opinion is
based are erroneous. Any such certificate or opinion of counsel may be based, insofar as it relates
to factual matters, upon a certificate or opinion of, or representations by, an officer or officers
of the Company stating that the information with respect to such factual matters is in the
possession of the Company, unless such counsel knows, or in the exercise of reasonable care should
know, that the certificate or opinion or representations with respect to such matters are
erroneous.

     Where any Person is required to make, give or execute two or more applications, requests,
consents, certificates, statements, opinions or other instruments under this Indenture, they may,
but need not, be consolidated and form one instrument.

Section 1.4 Acts of Holders; Record Dates. 

     Any request, demand, authorization, direction, notice, consent, waiver or other action
provided or permitted by this Indenture to be given, made or taken by Holders may be embodied in
and evidenced by one or more instruments of substantially similar tenor signed by such Holders in
person or by agent duly appointed in writing; and, except as herein otherwise expressly provided,
such action shall become effective when such instrument or instruments are delivered to the Trustee
and, where it is hereby expressly required, to the Company. The Trustee shall promptly deliver to
the Company copies of all such instrument or instruments delivered to the Trustee. Such instrument
or instruments (and the action embodied therein and evidenced thereby) are herein sometimes
referred to as the “Act” of the Holders signing such instrument or instruments. Proof of execution
of any such instrument or of a writing appointing any such agent shall be sufficient for any
purpose of this Indenture and (subject to Section 6.1) conclusive in favor of the Trustee and the
Company, if made in the manner provided in this Section.

     The fact and date of the execution by any Person of any such instrument or writing may be
proved by the affidavit of a witness of such execution or by a certificate of a notary public or
other officer authorized by law to take acknowledgments of deeds, certifying that the individual
signing
such instrument or writing acknowledged to him or her the execution thereof. Where such
execution is by a signer acting in a capacity other than his or her individual capacity, such
certificate or affidavit shall also constitute sufficient proof of his or her authority. The fact
and date of the execution of any such instrument or writing, or the authority of the Person
executing the same, may also be proved in any other manner that the Trustee deems sufficient.

     The ownership of Securities shall be proved by the Security Register.

     Any request, demand, authorization, direction, notice, consent, waiver or other Act of the
Holder of any Security shall bind every future Holder of the same Security and the Holder of every
Security issued upon the registration of transfer thereof or in exchange therefor or in lieu
thereof in respect of anything done, omitted or suffered to be done by the Trustee or the Company
in reliance thereon, whether or not notation of such action is made upon such Security.

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     The Company may set any day as a record date for the purpose of determining the Holders of
Outstanding Securities of any series entitled to give, make or take any request, demand,
authorization, direction, vote, notice, consent, waiver or other action provided or permitted by
this Indenture to be given, made or taken by Holders of Securities of such series, provided
that the Company may not set a record date for, and the provisions of this paragraph shall not
apply with respect to, the giving or making of any notice, declaration, request or direction
referred to in the next paragraph. If any record date is set pursuant to this paragraph, the
Holders of Outstanding Securities of the relevant series on such record date, and no other Holders,
shall be entitled to take the relevant action, whether or not such Holders remain Holders after
such record date; provided that no such action shall be effective hereunder unless taken on
or prior to the applicable Expiration Date by Holders of the requisite principal amount of
Outstanding Securities of such series on such record date. Nothing in this paragraph shall be
construed to prevent the Company from setting a new record date for any action for which a record
date has previously been set pursuant to this paragraph (whereupon the record date previously set
shall automatically and with no action by any Person be canceled and of no effect), and nothing in
this paragraph shall be construed to render ineffective any action taken by Holders of the
requisite principal amount of Outstanding Securities of the relevant series on the date such action
is taken. Promptly after any record date is set pursuant to this paragraph, the Company, at its
own expense, shall cause notice of such record date, the proposed action by Holders and the
applicable Expiration Date to be given to the Trustee in writing and to each Holder of Securities
of the relevant series in the manner set forth in Section 1.6.

     The Trustee may set any day as a record date for the purpose of determining the Holders of
Outstanding Securities of any series entitled to join in the giving or making of (i) any Notice of
Default, (ii) any declaration of acceleration referred to in Section 5.2, (iii) any request to
institute proceedings referred to in Section 5.7(2) or (iv) any direction referred to in
Section 5.12, in each case with respect to Securities of such series. If any record date is set
pursuant to this paragraph, the Holders of Outstanding Securities of such series on such record
date, and no other Holders, shall be entitled to join in such notice, declaration, request or
direction, whether or not such Holders remain Holders after such record date; provided that
no such action shall be effective hereunder unless taken on or prior to the applicable Expiration
Date by Holders of the requisite principal amount of
Outstanding Securities of such series on such record date. Nothing in this paragraph shall be
construed to prevent the Trustee from setting a new record date for any action for which a record
date has previously been set pursuant to this paragraph (whereupon the record date previously set
shall automatically and with no action by any Person be canceled and of no effect), and nothing in
this paragraph shall be construed to render ineffective any action taken by Holders of the
requisite principal amount of Outstanding Securities of the relevant series on the date such action
is taken. Promptly after any record date is set pursuant to this paragraph, the Trustee, at the
Company’s expense, shall cause notice of such record date, the proposed action by Holders and the
applicable Expiration Date to be given to the Company in writing and to each Holder of Securities
of the relevant series in the manner set forth in Section 1.6.

     With respect to any record date set pursuant to this Section, the party hereto which sets such
record dates may designate any day as the “Expiration Date” and from time to time may change the
Expiration Date to any earlier or later day; provided that no such change shall be
effective unless

-12-

 

notice of the proposed new Expiration Date is given to the other party hereto in
writing, and to each Holder of Securities of the relevant series in the manner set forth in
Section 1.6, on or prior to the existing Expiration Date. If an Expiration Date is not designated
with respect to any record date set pursuant to this Section, the party hereto which set such
record date shall be deemed to have initially designated the 180th day after such record date as
the Expiration Date with respect thereto, subject to its right to change the Expiration Date as
provided in this paragraph. Notwithstanding the foregoing, no Expiration Date shall be later than
the 180th day after the applicable record date.

     Without limiting the foregoing, a Holder entitled hereunder to take any action hereunder with
regard to any particular Security may do so with regard to all or any part of the principal amount
of such Security or by one or more duly appointed agents each of which may do so pursuant to such
appointment with regard to all or any part of such principal amount.

Section 1.5 Notices, etc., to Trustee and Company. Any request, demand, authorization,
direction, notice, consent, waiver or Act of Holders or other document provided or permitted by
this Indenture to be made upon, given or furnished to, or filed with,

     (1) the Trustee by any Holder or by the Company shall be sufficient for every purpose
hereunder if made, given, furnished or filed in writing (or by facsimile transmissions,
provided that oral confirmation of receipt shall have been received) to or with the Trustee
at its Corporate Trust Office, Attention: Corporate Trust Department, or

     (2) the Company by the Trustee or by any Holder shall be sufficient for every purpose
hereunder (unless otherwise herein expressly provided) if in writing and mailed, first-class
postage prepaid, personally delivered or sent via overnight courier to the Company addressed
to it at the address of its principal office specified in the first paragraph of this
instrument or at any other address previously furnished in writing to the Trustee by the
Company, Attention: Chief Financial Officer.

Section 1.6 Notice to Holders; Waiver. 

     Where this Indenture provides for notice to Holders of any event, such notice shall be
sufficiently given (unless otherwise herein expressly provided) if in writing and mailed,
first-class postage prepaid, or delivered by hand or overnight courier, to each Holder affected by
such event, at its address as it appears in the Security Register, not later than the latest date
(if any), and not earlier than the earliest date (if any), prescribed for the giving of such
notice. Neither the failure to mail or deliver by hand or overnight courier any notice, nor any
defect in any notice so mailed or delivered by hand or overnight courier, to any particular Holder
shall affect the sufficiency of such notice with respect to other Holders. Where this Indenture
provides for notice in any manner, such notice may be waived in writing by the Person entitled to
receive such notice, either before or after the event, and such waiver shall be the equivalent of
such notice. Waivers of notice by Holders shall be filed with the Trustee, but such filing shall
not be a condition precedent to the validity of any action taken in reliance upon such waiver.

-13-

 

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

Section 1.7 Conflict with Trust Indenture Act. 

     If any provision hereof limits, qualifies or conflicts with a provision of the Trust Indenture
Act that is required under the Trust Indenture Act to be a part of and govern this Indenture, the
latter provision shall control. If any provision of this Indenture modifies or excludes any
provision of the Trust Indenture Act, which may be so modified or excluded, the latter provision
shall be deemed to apply to this Indenture as so modified or to be excluded, as the case may be.

Section 1.8 Effect of Headings and Table of Contents. 

     The Article and Section headings herein and the Table of Contents are for convenience only and
shall not affect the construction hereof.

Section 1.9 Successors and Assigns. 

     All covenants and agreements in this Indenture by the Company shall bind its successors and
assigns, whether so expressed or not.

Section 1.10 Separability Clause. 

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

Section 1.11 Benefits of Indenture. 

     Nothing in this Indenture or in the Securities, express or implied, shall give to any Person,
other than the parties hereto and their successors hereunder, the holders of Senior Debt and the
Holders, any benefit or any legal or equitable right, remedy or claim under this Indenture.

Section 1.12 Governing Law. 

     THIS INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED UNDER THE LAWS OF THE
STATE OF NEW YORK.

Section 1.13 Legal Holidays. 

     In any case where any Interest Payment Date, Redemption Date or Stated Maturity of any
Security or the last date on which a Holder has the right to convert a Security at a particular
conversion price or conversion rate, as the case may be, shall not be a Business Day at any Place
of Payment, then (notwithstanding any other provision of this Indenture or of the Securities (other
than a provision of any Security which specifically states that such provision shall apply in lieu
of this

-14-

 

Section)) payment of interest or principal (and premium, if any) or, if applicable to a
particular series of Securities, conversion need not be made at such Place of Payment on such date,
but may be made on the next succeeding Business Day at such Place of Payment with the same force
and effect as if made on the Interest Payment Date or Redemption Date, at the Stated Maturity or on
such last day for conversion, as the case may be.

Section 1.14 Indenture and Securities Solely Corporate Obligations. 

     No recourse for the payment of the principal of or premium, if any, or interest on any
Security, or for any claim based thereon or otherwise in respect thereof, and no recourse under or
upon any obligation, covenant or agreement of the Company in this Indenture or in any supplemental
indenture or in any Security, or because of the creation of any indebtedness represented thereby,
shall be had against any incorporator, stockholder, employee, agent, officer, or director or
subsidiary, as such, past, present or future, of the Company or of any successor corporation,
either directly or through the Company or any successor corporation, whether by virtue of any
constitution, statute or rule of law, or by the enforcement of any assessment or penalty or
otherwise; it being expressly understood that all such liability is hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this Indenture and the
issue of the Securities.

Section 1.15 Indenture May be Executed in Counterparts. 

     This instrument 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 2

SECURITY FORMS

Section 2.1 Forms Generally. 

     The Securities of each series shall be in substantially the form set forth in this Article, or
in such other form as shall be established by or pursuant to a Board Resolution 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 may be required to comply with the rules of any securities exchange or Depositary
therefor or as may, consistently herewith, be determined by the officers executing such Securities,
as evidenced by their execution thereof. If the form of Securities of any series is established by
action taken pursuant to a Board Resolution, a copy of an appropriate record of such action shall
be certified by the Secretary or an Assistant Secretary of the Company and delivered to the Trustee
at or prior to the delivery of the Company Order contemplated by Section 3.3 for the authentication
and delivery of such Securities. Any such Board Resolution or record of such action shall have
attached thereto a true and correct copy of the form of Security referred to therein approved by or
pursuant to such Board Resolution.

-15-

 

     The definitive Securities 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
Securities, as evidenced by their execution of such Securities.

Section 2.2 Form of Face of Security. 

     [INSERT ANY LEGEND REQUIRED BY THE INTERNAL REVENUE CODE AND THE REGULATIONS THEREUNDER.]

ONCOTHYREON INC.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 
	 	 	 	 
	NO.

	 	 	 	 	 	 	 	 	$	 	 	 
	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 
	 

	 	 	 	 	 	 	 	CUSIP:
	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 

     Oncothyreon Inc., a corporation duly organized and existing under the laws of Delaware (herein
called the “Company,” which term includes any successor Person under the Indenture hereinafter
referred to), for value received, hereby promises to pay to                                         , or
registered assigns, the principal sum of                                          dollars on
                     [if the Security is to bear interest prior to Maturity, insert — , and to pay interest
thereon from                      or from the most recent Interest Payment Date to which interest has been
paid or duly provided for, semi-annually on                      and                      in each year, commencing
                    , at the rate of                     % per annum, until the principal hereof is paid or made
available for payment [if applicable, insert — , provided that any principal and premium, and any
such installment of interest, which is overdue shall bear interest at the rate of                     % per annum
(to the extent that the payment of such interest shall be legally enforceable), from the dates such
amounts are due until they are paid or made available for payment, and such interest shall be
payable on demand]. The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date will, as provided in such Indenture, be paid to the Person in whose name this
Security (or one or more Predecessor Securities) is registered at the close of business on the
Regular Record Date for such interest, which shall be the                      or                      (whether or
not a Business Day), as the case may be, next preceding such Interest Payment Date. Any such
interest not so punctually paid or duly provided for will forthwith cease to be payable to the
Holder on such Regular Record Date and may either be paid to the Person in whose name this Security
(or one or more Predecessor Securities) is registered at the close of business on a Special Record
Date for the payment of such Defaulted Interest to be fixed by the Trustee, notice whereof shall be
given to Holders of Securities of this series not less than 10 days prior to such Special Record
Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of
any securities exchange on which the Securities of this series may be listed, and upon such notice
as may be required by such exchange, all as more fully provided in said Indenture].

-16-

 

     [If the Security is not to bear interest prior to Maturity, insert — The principal of this
Security shall not bear interest except in the case of a default in payment of principal upon
acceleration, upon redemption or at Stated Maturity and in such case the overdue principal and any
overdue premium shall bear interest at the rate of                     % per annum (to the extent that the payment
of such interest shall be legally enforceable), from the dates such amounts are due until they are
paid or made available for payment. Interest on any overdue principal or premium shall be payable
on demand. [Any such interest on overdue principal or premium which is not paid on demand shall
bear interest at the rate of                     % per annum (to the extent that the payment of such interest
on interest shall be legally enforceable), from the date of such demand until the amount so
demanded is paid or made available for payment. Interest on any overdue interest shall be payable
on demand.]]

     Payment of the principal of (and premium, if any) and [if applicable, insert — any such]
interest on this Security will be made at the office or agency of the Company maintained for that
purpose in                     , in such coin or currency of the United States of America as at
the time of payment is legal tender for payment of public and private debts [if applicable, insert
—; provided, however, that at the option of the Company payment of interest may be
made by check mailed to the address of the Person entitled thereto as such address shall appear in
the Security Register].

     Reference is hereby made to the further provisions of this Security set forth on the reverse
hereof, which further provisions shall for all purposes have the same effect as if set forth at
this place.

     Unless the certificate of authentication hereon has been executed by the Trustee referred to
on the reverse hereof by manual signature, this Security shall not be entitled to any benefit under
the Indenture or be valid or obligatory for any purpose.

     IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed.

	 	 	 	 	 	 	 	 	 	 	 
	Dated:	 	 	 	 	 	ONCOTHYREON INC.	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	ATTEST:
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

Section 2.3 Form of Reverse of Security. 

     This Security is one of a duly authorized issue of securities of the Company (herein called
the “Securities”), issued and to be issued in one or more series under an Indenture, dated as of
                    , 20                     (herein called the “Indenture,” which term shall have the meaning assigned to it
in such instrument), between the Company and                                         , as Trustee

-17-

 

(herein
called the “Trustee,” which term includes any successor trustee under the Indenture), and reference
is hereby made to the Indenture and all indentures supplemental thereto for a statement of the
respective rights, limitations of rights, duties and immunities thereunder of the Company, the
Trustee, the holders of Senior Debt and the Holders of the Securities and of the terms upon which
the Securities are, and are to be, authenticated and delivered. This Security is one of the series
designated on the face hereof [if applicable, insert — , limited in aggregate principal amount
to $                    ].

     [If applicable, insert — The Securities of this series are subject to redemption upon not
less than [if applicable, insert — 30] days’ notice by mail, [if applicable, insert — (1) on
                     in any year commencing with the year                      and ending with the year                      through
operation of the sinking fund for this series at a Redemption Price equal to 100% of the principal
amount, and (2)] at any time [if applicable, insert — on or after                     , 20                    ], as a whole
or in part, at the election of the Company, at the following Redemption Prices (expressed as
percentages of the principal amount): If redeemed [if applicable, insert — on or before
                    ,                     %, and if redeemed] during the 12-month period beginning                      of the years
indicated,

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	Year	 	Redemption Price	 	Year	 	Redemption Price

and thereafter at a Redemption Price equal to                     % of the principal amount, together in the case
of any such redemption [if applicable, insert — (whether through operation of the sinking fund or
otherwise)] with accrued interest to the Redemption Date, but interest installments whose Stated
Maturity is on or prior to such Redemption Date will be payable to the Holders of such Securities,
or one or more Predecessor Securities, of record at the close of business on the relevant Record
Dates referred to on the face hereof, all as provided in the Indenture.]

     [If applicable, insert —The Securities of this series are subject to redemption upon not less
than [if applicable, insert — 30] days’ notice by mail, (1) on                      in any year commencing
with the year                      and ending with the year                      through operation of the sinking fund for this
series at the Redemption Prices for redemption through operation of the sinking fund (expressed as
percentages of the principal amount) set forth in the table below, and (2) at any time [if
applicable, insert — on or after                     ], as a whole or in part, at the election of the
Company, at the Redemption Prices for redemption otherwise than through operation of the sinking
fund (expressed as percentages of the principal amount) set forth in the table below: If redeemed
during the 12-month period beginning                      of the years indicated,

	 	 	 	 	 	 	 	 	 
	 	 	 	 	Redemption Price for	 	Redemption Price for Redemption
	 	 	 	 	Redemption Through	 	Otherwise than Through
	Year	 	Operation of the Sinking Fund	 	Operation of the Sinking Fund

-18-

 

and thereafter at a Redemption Price equal to                     % of the principal amount, together in the case of
any such redemption (whether through operation of the sinking fund or otherwise) with accrued
interest to the Redemption Date, but interest installments whose Stated Maturity is on or prior to
such Redemption Date will be payable to the Holders of such Securities, or one or more Predecessor
Securities, of record at the close of business on the relevant Record Dates referred to on the face
hereof, all as provided in the Indenture.]

     [If applicable, insert — Notwithstanding the foregoing, the Company may not, prior to
                    , redeem any Securities of this series as contemplated by [if applicable, insert —
clause (2) of] the preceding paragraph as a part of, or in anticipation of, any refunding operation
by the application, directly or indirectly, of moneys borrowed having an interest cost to the
Company (calculated in accordance with generally accepted financial practice) of less than                     % per
annum.]

     [If applicable, insert — The sinking fund for this series provides for the redemption on
                    , in each year beginning with the year                      and ending with the year                      of [if
applicable, insert — not less than $                     (“mandatory sinking fund”) and not more than]
$                     aggregate principal amount of Securities of this series. Securities of this series
acquired or redeemed by the Company otherwise than through [if applicable, insert — mandatory]
sinking fund payments may be credited against subsequent [if applicable, insert — mandatory]
sinking fund payments otherwise required to be made if applicable, insert —, in the inverse order
in which they become due].]

     [If the Security is subject to redemption of any kind, insert — In the event of redemption of
this Security in part only, a new Security or Securities of this series and of like tenor for the
unredeemed portion hereof will be issued in the name of the Holder hereof upon the cancellation
hereof.]

     [If applicable, insert — The Indenture contains provisions for defeasance at any time of [the
entire indebtedness of this Security] [or] [certain restrictive covenants and Events of Default
with respect to this Security] [, in each case] upon compliance with certain conditions set forth
in the Indenture.]

     [If the Security is convertible into other securities of the Company, specify the conversion
features.]

     The indebtedness evidenced by this Security is, to the extent and in the manner provided in
the Indenture, subordinate and subject in right of payment to the prior payment in full of all
Senior Debt of the Company, and this Security is issued subject to such provisions of the Indenture
with respect thereto. Each Holder of this Security, by accepting the same, (a) agrees to and shall
be bound by such provisions, (b) authorizes and directs the Trustee on his behalf to take such
action as may be necessary or appropriate to effectuate the subordination so provided and
(c) appoints the Trustee his attorney-in-fact for any and all such purposes.

-19-

 

     [If the Security is not an Original Issue Discount Security, insert — If an Event of Default
with respect to Securities of this series shall occur and be continuing, the principal of the
Securities of this series may be declared due and payable in the manner and with the effect
provided in the Indenture.]

     [If the Security is an Original Issue Discount Security, insert — If an Event of Default with
respect to Securities of this series shall occur and be continuing, an amount of principal of the
Securities of this series may be declared due and payable in the manner and with the effect
provided in the Indenture. Such amount shall be equal to — insert formula for determining the
amount. Upon payment (i) of the amount of principal so declared due and payable and (ii) of
interest on any overdue principal, premium and interest (in each case to the extent that the
payment of such interest shall be legally enforceable), all of the Company’s obligations in respect
of the payment of the principal of and premium and interest, if any, on the Securities of this
series shall terminate.]

     The Indenture permits, with certain exceptions as therein provided, the amendment thereof and
the modification of the rights and obligations of the Company and the rights of the Holders of the
Securities of each series to be affected under the Indenture at any time by the Company and the
Trustee with the consent of the Holders of more than 50% in principal amount of the Securities at
the time Outstanding of each series to be affected. The Indenture also contains provisions
permitting the Holders of specified percentages in principal amount of the Securities of each
series at the time Outstanding, on behalf of the Holders of all Securities of such series, to waive
compliance by the Company with certain provisions of the Indenture and certain past defaults under
the Indenture and their consequences. Any such consent or waiver by the Holder of this Security
shall be conclusive and binding upon such Holder and upon all future Holders of this Security and
of any Security issued upon the registration of transfer hereof or in exchange herefor or in lieu
hereof, whether or not notation of such consent or waiver is made upon this Security.

     As provided in and subject to the provisions of the Indenture, the Holder of this Security
shall not have the right to institute any proceeding with respect to the Indenture or for the
appointment of a receiver or trustee or for any other remedy thereunder, unless such Holder shall
have previously given the Trustee written notice of a continuing Event of Default with respect to
the Securities of this series, the Holders of not less than a majority in principal amount of the
Securities of this series at the time Outstanding shall have made written request to the Trustee to
institute proceedings in respect of such Event of Default as Trustee and offered the Trustee
reasonable indemnity, and the Trustee shall not have received from the Holders of a majority in
principal amount of Securities of this series at the time Outstanding a direction inconsistent with
such request, and shall have failed to institute any such proceeding, for 60 days after receipt of
such notice, request and offer of indemnity. The foregoing shall not apply to any suit instituted
by the Holder of this Security for the enforcement of any payment of principal hereof or any
premium or interest hereon on or after the respective due dates expressed herein.

     No reference herein to the Indenture and no provision of this Security or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay
the

-20-

 

principal of and any premium and interest on this Security at the times, place and rate, and in
the coin or currency, herein prescribed.

     As provided in the Indenture and subject to certain limitations therein set forth, the
transfer of this Security is registrable in the Security Register, upon surrender of this Security
for registration of transfer at the office or agency of the Company in any place where the
principal of and any premium
and interest on this Security are payable, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed
by, the Holder hereof or its attorney duly authorized in writing, and thereupon one or more new
Securities of this series and of like tenor, of authorized denominations and for the same aggregate
principal amount, will be issued to the designated transferee or transferees.

     The Securities of this series are issuable only in registered form without coupons in
denominations of $                     and any integral multiple thereof. As provided in the Indenture and subject
to certain limitations therein set forth, Securities of this series are exchangeable for a like
aggregate principal amount of Securities of this series and of like tenor of a different authorized
denomination, as requested by the Holder surrendering the same.

     No service charge shall be made for any such registration of transfer or exchange, but the
Company may require payment of a sum sufficient to cover any tax or other governmental charge
payable in connection therewith.

     Prior to due presentment of this Security for registration of transfer, the Company, the
Trustee and any agent of the Company or the Trustee may treat the Person in whose name this
Security is registered as the owner hereof for all purposes, whether or not this Security be
overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the
contrary.

     All terms used in this Security that are defined in the Indenture shall have the meanings
assigned to them in the Indenture.

Section 2.4 Form of Legend for Global Securities. 

     Unless otherwise specified as contemplated by Section 3.1 for the Securities evidenced
thereby, every Global Security authenticated and delivered hereunder shall bear a legend in
substantially the following form:

     THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO
AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS SECURITY MAY NOT BE
EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN WHOLE
OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A NOMINEE
THEREOF, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

-21-

 

Section 2.5 Form of Trustee’s Certificate of Authentication. 

     The Trustee’s certificates of authentication shall be in substantially the following form:

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

	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 
	 	 	as Trustee	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	Authorized Officer	 	 

Section 2.6 Form of Conversion Notice. 

Unless otherwise as contemplated by Section 3.1, or in a supplemental indenture for the Securities
evidenced hereby, conversion notices shall be in substantially the following form:

To Oncothyreon Inc.:

     The undersigned owner of this Security hereby irrevocably exercises the option to convert this
Security, or portion hereof (which is $1,000 or an integral multiple thereof) below designated,
into shares of Common Stock of the Company in accordance with the terms of the Indenture referred
to in this Security, and directs that the shares issuable and deliverable upon the conversion,
together with any check in payment for fractional shares and any Securities representing any
unconverted principal amount hereof, be issued and delivered to the registered holder hereof unless
a different name has been indicated below. If shares are to be issued in the name of a person
other than the undersigned, the undersigned will pay all transfer taxes payable with respect
hereto. Any amount required to be paid by the undersigned on account of interest accompanies this
Security.

     Principal Amount to be Converted

(in an integral multiple of $1,000, if less than all):

	 	 	 	 	 	 	 	 	 
	 

	 	U.S. $	 	 	.	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Signature(s) must be guaranteed by an eligible
guarantor institution (banks, stockbrokers,
savings and loan associations and credit unions
with membership in an approved signature
guarantee medallion program) pursuant to
Securities and Exchange Commission Rule 17Ad-15.
	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Signature Guaranty

-22-

 

     Fill in for registration of shares of Common Stock and Security if to be issued otherwise than
to the registered Holder.

	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 
	(Name)

	 	Social Security or Other Taxpayer
	 

	 	Identification Number
	 
	 	 
	 

Please print Name and Address

	 	 
	(including zip code)
	 	 

[The above conversion notice is to be modified, as appropriate, for conversion into other
securities or property of the Company.]

ARTICLE 3

THE SECURITIES

Section 3.1 Amount Unlimited; Issuable in Series. 

     The aggregate principal amount of Securities that may be authenticated and delivered under
this Indenture is unlimited. The Securities may be issued in one or more series. There shall be
established in or pursuant to a Board Resolution and, subject to Section 3.3, set forth, or
determined in the manner provided, in an Officers’ Certificate, 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 Securities of any other series);

     (2) any limit upon the aggregate principal amount of the Securities of the series which
may be authenticated and delivered under this Indenture (except for Securities authenticated
and delivered upon registration of transfer of, or in exchange for, or in lieu of, other
Securities of the series pursuant to Section 3.4, 3.5, 3.6, 9.6 or 11.7 and except for any
Securities which, pursuant to Section 3.3, are deemed never to have been authenticated and
delivered hereunder);

     (3) the Person to whom any interest on a Security of the series shall be payable, if
other than the Person in whose name that Security (or one or more Predecessor Securities) is
registered at the close of business on the Regular Record Date for such interest;

     (4) the date or dates on which the principal of any Securities of the series is
payable;

-23-

 

     (5) the rate or rates (which may be fixed or variable) at which any Securities of the
series shall bear interest, if any, the date or dates from which any such interest shall
accrue, the Interest Payment Dates on which any such interest shall be payable and the
Regular Record Date for any such interest payable on any Interest Payment Date (or the
method for determining the dates and rates);

     (6) the place or places where the principal of and any premium and interest on any
Securities of the series shall be payable;

     (7) the period or periods within which, the price or prices at which and the terms and
conditions upon which any Securities of the series may be redeemed, in whole or in part, at
the option of the Company and, if other than by a Board Resolution, the manner in which any
election by the Company to redeem the Securities shall be evidenced;

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

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

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

     (11) if other than the currency of the United States of America, the currency,
currencies or currency units in which the principal of or any premium or interest on any
Securities of the series shall be payable and the manner of determining the equivalent
thereof in the currency of the United States of America for any purpose, including for
purposes of the definition of “Outstanding” in Section 1.1 and, whether the Company or the
Holder thereof may elect payment to be made in a different currency;

     (12) if the principal of or any premium or interest on any Securities of the series is
to be payable, at the election of the Company or the Holder thereof, in one or more
currencies or currency units other than that or those in which such Securities are stated to
be payable, the currency, currencies or currency units in which the principal of or any
premium or interest on such Securities as to which such election is made shall be payable,
the periods within which and the terms and conditions upon which such election is to be made
and the amount so payable (or the manner in which such amount shall be determined);

     (13) if other than the entire principal amount thereof, the portion of the principal
amount of any Securities of the series which shall be payable upon declaration of
acceleration of the Maturity thereof pursuant to Section 5.2;

-24-

 

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

     (15) if applicable, that the Securities of the series, in whole or any specified part,
shall be defeasible pursuant to Section 13.2 or Section 13.3 or both such Sections, or any
other defeasance provisions applicable to any Securities of the series, and, if other than
by a Board Resolution, the manner in which any election by the Company to defease such
Securities shall be evidenced;

     (16) if applicable, the terms of any right to convert or exchange Securities of the
series into shares of Common Stock of the Company or other securities or property;

     (17) if applicable, that any Securities of the series shall be issuable in whole or in
part in the form of one or more Global Securities and, in such case, the respective
Depositaries for such Global Securities, the form of any legend or legends which shall be
borne by any such Global Security in addition to or in lieu of that set forth in Section 2.4
and any circumstances in addition to or in lieu of those set forth in clause (2) of the last
paragraph of Section 3.5 in which any such Global Security may be exchanged in whole or in
part for Securities registered, and any transfer of such Global Security in whole or in part
may be registered, in the name or names of Persons other than the Depositary for such Global
Security or a nominee thereof;

     (18) any deletion of, addition to or change in the Events of Default which applies to
any Securities of the series and any change in the right of the Trustee or the requisite
Holders of such Securities to declare the principal amount thereof due and payable pursuant
to Section 5.2;

     (19) any deletion of, addition to or change in the covenants set forth in Article 10
which applies to Securities of the series;

     (20) any Authenticating Agents, Paying Agents, Security Registrars or such other agents
necessary in connection with the issuance of the Securities of such series, including,
without limitation, exchange rate agents and calculation agents;

     (21) if applicable, the terms of any security that will be provided for a series of
Securities, including provisions regarding the circumstances under which collateral may be
released or substituted;

     (22) if applicable, the terms of any guaranties for the Securities and any
circumstances under which there may be additional obligors on the Securities;

-25-

 

     (23) any addition to or change in or modification to the subordination provisions of
this Indenture relating to the Securities of that series (including the provisions of
Article 15), or different subordination provisions, including a different definition of
“Senior Debt” or “Designated Senior Debt,” will apply to Securities of the series; and

     (24) any other terms of the series (which terms shall not be inconsistent with the
provisions of this Indenture, except as permitted by Section 9.1(5)).

     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 3.3) set forth, or determined in the manner provided, in the Officers’
Certificate 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 such action shall be certified by the Secretary or
an Assistant Secretary of the Company and delivered to the Trustee at or prior to the delivery of
the Officers’ Certificate setting forth the terms of the series.

     The Securities shall be subordinated in right of payment to Senior Debt as provided in
Article 15.

Section 3.2 Denominations. 

     The Securities of each series shall be issuable only in registered form without coupons and
only in such denominations as shall be specified as contemplated by Section 3.1. In the absence of
any such specified denomination with respect to the Securities of any series, the Securities of
such series shall be issuable in denominations of $1,000 and any integral multiple thereof.

Section 3.3 Execution, Authentication, Delivery and Dating. 

     The Securities shall be executed on behalf of the Company by its Chairman of the Board, its
Vice Chairman of the Board, its Chief Executive Officer, its principal financial officer, its
President or one of its Vice Presidents, attested by its Treasurer, its Secretary or one of its
Assistant Treasurers or Assistant Secretaries. The signature of any of these officers on the Securities may be
manual or facsimile.

     Securities bearing the manual or facsimile signatures of individuals who were at any time the
proper officers of the Company shall bind the Company, notwithstanding that such individuals or any
of them have ceased to hold such offices prior to the authentication and delivery of such
Securities or did not hold such offices at the date of such Securities.

     At any time and from time to time after the execution and delivery of this Indenture, the
Company may deliver Securities of any series executed by the Company to the Trustee for
authentication, together with a Company Order for the authentication and delivery of such
Securities, and the Trustee in accordance with the Company Order shall authenticate and deliver

-26-

 

such Securities. If the form or terms of the Securities of the series have been established by or
pursuant to one or more Board Resolutions as permitted by Sections 2.1 and 3.1, in authenticating
such Securities, and accepting the additional responsibilities under this Indenture in relation to
such Securities, the Trustee shall be entitled to receive, and (subject to Section 6.1) shall be
fully protected in relying upon, a copy of such Board Resolution, the Officers’ Certificate setting
forth the terms of the series and an Opinion of Counsel, with such Opinion of Counsel stating,

     (1) if the form of such Securities has been established by or pursuant to Board
Resolution as permitted by Section 2.1, that such form has been established in conformity
with the provisions of this Indenture;

     (2) if the terms of such Securities have been established by or pursuant to Board
Resolution as permitted by Section 3.1, that such terms have been established in conformity
with the provisions of this Indenture; and

     (3) that such Securities, when authenticated and delivered by the Trustee and issued by
the Company in the manner and subject to any conditions specified in such Opinion of
Counsel, will constitute valid and legally binding obligations of the Company enforceable in
accordance with their terms, subject to bankruptcy, insolvency, fraudulent transfer,
reorganization, moratorium and similar laws of general applicability relating to or
affecting creditors’ rights and to general equity principles.

     If such form or terms have been so established, the Trustee shall not be required to
authenticate such Securities if the issue of such Securities pursuant to this Indenture will affect
the Trustee’s own rights, duties or immunities under the Securities and this Indenture or otherwise
in a manner which is not reasonably acceptable to the Trustee.

     Notwithstanding the provisions of Section 3.1 and of the preceding paragraph, if all
Securities of a series are not to be originally issued at one time, it shall not be necessary to
deliver the Officers’ Certificate otherwise required pursuant to Section 3.1 or the Company Order
and Opinion of Counsel otherwise required pursuant to such preceding paragraph at or prior to the
authentication of each Security of such series if such documents are delivered at or prior to the
authentication upon original issuance of the first Security of such series to be issued.

     Each Security shall be dated the date of its authentication.

     No Security shall be entitled to any benefit under this Indenture or be valid or obligatory
for any purpose unless there appears on such Security a certificate of authentication substantially
in the form provided for herein executed by the Trustee by manual signature, and such certificate
upon any Security shall be conclusive evidence, and the only evidence, that such Security has been
duly authenticated and delivered hereunder. Notwithstanding the foregoing, if any Security shall
have been authenticated and delivered hereunder but never issued and sold by the Company, and the
Company shall deliver such Security to the Trustee for cancellation as provided in Section 3.9, for
all purposes of this Indenture such Security shall be deemed never to have been authenticated and
delivered hereunder and shall never be entitled to the benefits of this Indenture.

-27-

 

     Neither the Company nor the Trustee shall have any responsibility for any defect in the CUSIP
number that appears on any Security, check, advice of payment or redemption notice, and any such
document may contain a statement to the effect that CUSIP numbers have been assigned by an
independent service for convenience of reference and that neither the Company nor the Trustee shall
be liable for any inaccuracy in such numbers.

Section 3.4 Temporary Securities. 

     Pending the preparation of definitive Securities of any series, the Company may execute, and
upon Company Order the Trustee shall authenticate and deliver, temporary Securities which are
printed, lithographed, typewritten, mimeographed or otherwise produced, in any authorized
denomination, substantially of the tenor of the definitive Securities in lieu of which they are
issued and with such appropriate insertions, omissions, substitutions and other variations as the
officers executing such Securities may determine, as evidenced by their execution of such
Securities.

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

Section 3.5 Registration; Registration of Transfer and Exchange. 

     The Company shall cause to be kept at the Corporate Trust Office of the Trustee a register
(the register maintained in such office and in any other office or agency of the Company in a Place
of Payment being herein sometimes collectively referred to as the “Security Register”) in which,
subject to such reasonable regulations as it may prescribe, the Company shall provide for the
registration of Securities and of transfers of Securities. The Trustee is hereby appointed
“Security Registrar” for the purpose of registering Securities and transfers of Securities as
herein provided.

     Upon surrender for registration of transfer of any Security of a series at the office or
agency of the Company in a Place of Payment for that series, the Company shall execute, and the
Trustee shall authenticate and deliver, in the name of the designated transferee or transferees,
one or more new Securities of the same series, of any authorized denominations and of like tenor
and aggregate principal amount.

     At the option of the Holder, Securities of any series may be exchanged for other Securities of
the same series, of any authorized denominations and of like tenor and aggregate principal amount,
upon surrender of the Securities to be exchanged at such office or agency. Whenever any Securities

-28-

 

are so surrendered for exchange, the Company shall execute, and the Trustee shall authenticate and
deliver, the Securities that the Holder making the exchange is entitled to receive.

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

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

     No service charge shall be made for any registration of transfer or exchange of Securities,
but the Company may require payment of a sum sufficient to cover any tax or other governmental
charge that may be imposed in connection with any registration of transfer or exchange of
Securities, other than exchanges pursuant to Section 3.4, 9.6 or 11.7 not involving any transfer.

     If the Securities of any series (or of any series and specified tenor) are to be redeemed in
part, the Company shall not be required (A) to issue, register the transfer of or exchange any
Securities of that series (or of that series and specified tenor, as the case may be) during a
period beginning at the opening of business 15 days before the day of the mailing of a notice of
redemption of any such Securities selected for redemption under Section 11.3 and ending at the
close of business on the day of such mailing, or (B) to register the transfer of or exchange any
Security so selected for redemption in whole or in part, except the unredeemed portion of any
Security being redeemed in part.

     The provisions of clauses (1), (2), (3) and (4) below shall apply only to Global Securities:

     (1) Each Global Security authenticated under this Indenture shall be registered in the
name of the Depositary designated for such Global Security or a nominee thereof and
delivered to such Depositary or a nominee thereof or custodian therefor, and each such
Global Security shall constitute a single Security for all purposes of this Indenture.

     (2) Notwithstanding any other provision in this Indenture, no Global Security may be
exchanged in whole or in part for Securities registered, and no transfer of a Global
Security in whole or in part may be registered, in the name of any Person other than the
Depositary for such Global Security or a nominee thereof unless (A) such Depositary (i) has
notified the Company that it is unwilling or unable to continue as Depositary for such
Global Security or (ii) has ceased to be a clearing agency registered under the Exchange
Act, (B) there shall have occurred and be continuing an Event of Default with respect to
such Global Security or (C) there shall exist such circumstances, if any, in addition to or
in lieu of the foregoing as have been specified for this purpose as contemplated by
Section 3.1.

     (3) Subject to clause (2) above, any exchange of a Global Security for other Securities
may be made in whole or in part, and all Securities issued in exchange for a Global

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Security or any portion thereof shall be registered in such names as the Depositary for such Global
Security shall direct.

     (4) Every Security authenticated and delivered upon registration of transfer of, or in
exchange for or in lieu of, a Global Security or any portion thereof, whether pursuant to
this Section, Section 3.4, 3.6, 9.6 or 11.7 or otherwise, shall be authenticated and
delivered in the form of, and shall be, a Global Security, unless such Security is
registered in the name of a Person other than the Depositary for such Global Security or a
nominee thereof.

Section 3.6 Mutilated, Destroyed, Lost and Stolen Securities. 

     If any mutilated Security is surrendered to the Trustee, the Company shall execute and the
Trustee shall authenticate and deliver in exchange therefor a new Security of the same series and
of like tenor and principal amount and bearing a number not contemporaneously outstanding.

     If there shall be delivered to the Company and the Trustee (i) evidence to their satisfaction
of the destruction, loss or theft of any Security and (ii) such security or indemnity as may be
required by them to save each of them and any agent of either of them harmless, then, in the
absence of notice to the Company or the Trustee that such Security has been acquired by a bona fide
purchaser, the Company shall execute and the Trustee shall authenticate and deliver, in lieu of any
such destroyed, lost or stolen Security, a new Security of the same series and of like tenor and
principal amount and bearing a number not contemporaneously outstanding.

     In case any such mutilated, destroyed, lost or stolen Security has become or is about to
become due and payable, the Company in its discretion may, instead of issuing a new Security, pay
such Security.

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

     Every new Security of any series issued pursuant to this Section in lieu of any destroyed,
lost or stolen Security shall constitute an original additional contractual obligation of the
Company, whether or not the destroyed, lost or stolen Security shall be at any time enforceable by
anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Securities of that series duly issued hereunder.

     The provisions of this Section are exclusive and shall preclude (to the extent lawful) all
other rights and remedies with respect to the replacement or payment of mutilated, destroyed, lost
or stolen Securities.

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Section 3.7 Payment of Interest; Interest Rights Preserved. 

     Except as otherwise provided as contemplated by Section 3.1 with respect to any series of
Securities or in a supplemental indenture with respect to any series of Securities, interest on any
Security which is payable, and is punctually paid or duly provided for, on any Interest Payment
Date shall be paid to the Person in whose name that Security (or one or more Predecessor
Securities) is registered at the close of business on the Regular Record Date for such interest.

     Any interest on any Security of any series which is payable, but is not punctually paid or
duly provided for, on any Interest Payment Date (herein called “Defaulted Interest”) shall
forthwith cease to be payable to the Holder on the relevant Regular Record Date by virtue of having
been such Holder, and such Defaulted Interest may be paid by the Company, at its election in each
case, as provided in clause (1) or (2) below:

     (1) The Company may elect to make payment of any Defaulted Interest to the Persons in
whose names the Securities of such series (or their respective Predecessor Securities) are
registered at the close of business on a Special Record Date for the payment of such
Defaulted Interest, which shall be fixed in the following manner. The Company shall notify
the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each
Security of such series and the date of the proposed payment, and at the same time the
Company 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 Company of such Special Record Date and, in the name and at the
expense of the Company, shall cause notice of the proposed payment of such Defaulted
Interest and the Special Record Date therefor to be given to each Holder of Securities of
such series in the manner set forth in Section 1.6, 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 Securities of such series (or their respective Predecessor
Securities) are registered at the close of business on such Special Record Date and shall no
longer be payable pursuant to the following clause (2).

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

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

Section 3.8 Persons Deemed Owners. 

     Prior to due presentment of a Security for registration of transfer, the Company, the Trustee
and any agent of the Company or the Trustee may treat the Person in whose name such Security is
registered as the owner of such Security for the purpose of receiving payment of principal of and
any premium and (subject to Section 3.7) any interest on such Security and for all other purposes
whatsoever, whether or not such Security be overdue, and neither the Company, the Trustee nor any
agent of the Company or the Trustee shall be affected by notice to the contrary.

Section 3.9 Cancellation. 

     All Securities surrendered for payment, redemption, registration of transfer or exchange or
for credit against any sinking fund payment shall, if surrendered to any Person other than the
Trustee, be delivered to the Trustee and shall be promptly canceled by it. The Company may at any
time deliver to the Trustee for cancellation any Securities previously authenticated and delivered
hereunder which the Company may have acquired in any manner whatsoever, and may deliver to the
Trustee (or to any other Person for delivery to the Trustee) for cancellation any Securities
previously authenticated hereunder which the Company has not issued and sold, and all Securities so
delivered shall be promptly canceled by the Trustee. No Securities shall be authenticated in lieu
of or in
exchange for any Securities canceled as provided in this Section, except as expressly
permitted by this Indenture. All canceled Securities held by the Trustee shall be disposed of in
accordance with its customary procedures.

Section 3.10 Computation of Interest. 

     Except as otherwise specified as contemplated by Section 3.1 for Securities of any series,
interest on the Securities of each series shall be computed on the basis of a 360-day year of
twelve 30-day months.

ARTICLE 4

SATISFACTION AND DISCHARGE

Section 4.1 Satisfaction and Discharge of Indenture. 

     This Indenture shall upon Company Request cease to be of further effect (except as to any
surviving rights of registration of transfer or exchange of Securities herein expressly provided
for), and the Trustee, at the expense of the Company, shall execute proper instruments
acknowledging satisfaction and discharge of this Indenture, when

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(1) either

     (A) all Securities theretofore authenticated and delivered (other than
(i) Securities which have been destroyed, lost or stolen and which have been replaced
or paid as provided in Section 3.6 and (ii) Securities for whose payment money has
theretofore been deposited in trust or segregated and held in trust by the Trustee or
the Company and thereafter repaid to the Company or discharged from such trust, as
provided in Section 10.3) have been delivered to the Trustee for cancellation; or

     (B) all such Securities 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 the Company, in the case of (i), (ii) or (iii) above, has deposited or caused to
be deposited with the Trustee as trust funds in trust for the purpose money in an
amount sufficient to pay and discharge the entire indebtedness on such Securities not
theretofore delivered to the Trustee for cancellation, for principal and any premium
and interest to the date of such deposit (in the case of Securities which have become
due and payable) or to the Stated Maturity or Redemption Date, as the case may be;

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

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

     Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the
Company to the Trustee under Section 6.7, the obligations of the Trustee to any Authenticating
Agent under Section 6.14 and, if money shall have been deposited with the Trustee pursuant to
subclause (B) of clause (1) of this Section, the obligations of the Trustee under Section 4.2 and
the last paragraph of Section 10.3 shall survive.

Section 4.2 Application of Trust Money. 

     Subject to the provisions of the last paragraph of Section 10.3, all money deposited with the
Trustee pursuant to Section 4.1 shall be held in trust and applied by it, in accordance with the

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provisions of the Securities and this Indenture, to the payment, either directly or through any
Paying Agent (including the Company acting as its own Paying Agent) as the Trustee may determine,
to the Persons entitled thereto, of the principal and any premium and interest for whose payment
such money has been deposited with the Trustee.

ARTICLE 5

REMEDIES

Section 5.1 Events of Default. 

     “Event of Default,” wherever used herein with respect to Securities of any series, means any
one of the following events (whatever the reason for such Event of Default and whether it shall be
occasioned by the provisions of Article 15 or be voluntary or involuntary or be effected by
operation of law or pursuant to any judgment, decree or order of any court or any order, rule or
regulation of any administrative or governmental body), unless in the Board Resolution,
supplemental indenture
or Officers’ Certificate establishing such series, it is provided that such series shall not
have the benefit of said Event of Default:

     (1) default in the payment of any interest upon any Security of that series when it
becomes due and payable, and continuance of such default for a period of 30 days; or

     (2) default in the payment of the principal of or any premium on any Security of that
series at its Maturity; or

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

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

     (5) the entry by a court having jurisdiction in the premises of (A) a decree or order
for relief in respect of the Company in an involuntary case or proceeding under any
applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or
(B) a decree or order adjudging the Company a bankrupt or insolvent, or approving as
properly filed a petition seeking reorganization, arrangement, adjustment or composition of
or in respect of the Company under any applicable Federal or State law, or appointing a
custodian, receiver, liquidator, assignee, trustee, sequestrator or other similar official
of the

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Company or of any substantial part of its property, or ordering the winding up or
liquidation of its affairs, and the continuance of any such decree or order for relief or
any such other decree or order unstayed and in effect for a period of 90 consecutive days;
or

     (6) the commencement by the Company of a voluntary case or proceeding under any
applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or
of any other case or proceeding to be adjudicated a bankrupt or insolvent, or the consent by
it to the entry of a decree or order for relief in respect of the Company in an involuntary
case or proceeding under any applicable Federal or State bankruptcy, insolvency,
reorganization or other similar law or to the commencement of any bankruptcy or insolvency
case or proceeding against it, or the filing by it of a petition or answer or consent
seeking reorganization or relief under any applicable Federal or State law, or the consent
by it to the filing of such petition or to the appointment of or taking possession by a
custodian, receiver, liquidator, assignee, trustee, sequestrator or other similar official
of the Company or of any substantial part of its property, or the making by it of an
assignment for the benefit of creditors, or the admission by it in writing of its inability
to pay its debts generally as they
become due, or the taking of corporate action by the Company in furtherance of any such
action; or

     (7) any other Event of Default provided with respect to Securities of that series in
the Board Resolution, supplemental indenture or Officers’ Certificate establishing that
series.

Section 5.2 Acceleration of Maturity; Rescission and Annulment. 

     Unless the Board Resolution, supplemental indenture or Officers’ Certificate establishing such
series provides otherwise, if an Event of Default (other than an Event of Default specified in
Section 5.1(5) or 5.1(6)) with respect to Securities of any series at the time Outstanding occurs
and is continuing, then in every such case the Trustee or the Holders of not less than 25% in
principal amount of the Outstanding Securities of that series may declare the principal amount of
all the Securities of that series (or, if any Securities of that series are Original Issue Discount
Securities, such portion of the principal amount of such Securities as may be specified by the
terms thereof), and premium, if any, together with accrued and unpaid interest, if any, thereon, to
be due and payable immediately, by a notice in writing to the Company (and to the Trustee if given
by the Holders), and upon any such declaration such principal amount (or specified amount), and
premium, if any, together with accrued and unpaid interest, if any, thereon, shall become
immediately due and payable. If an Event of Default specified in Section 5.1(5) or 5.1(6) with
respect to Securities of any series at the time Outstanding occurs, the principal amount of all the
Securities of that series (or, if any Securities of that series are Original Issue Discount
Securities, such portion of the principal amount of such Securities as may be specified by the
terms thereof), and premium, if any, together with accrued and unpaid interest, if any, thereon,
shall automatically, and without any declaration or other action on the part of the Trustee or any
Holder, become immediately due and payable. Any payments by the Company on the Securities
following any such acceleration will be subject to the subordination provisions of Article 15 to
the extent provided therein.

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

(1) the Company has paid or deposited with the Trustee a sum sufficient to pay

     (A) all overdue interest on all Securities of that series,

     (B) the principal of (and premium, if any, on) any Securities of that series
which have become due otherwise than by such declaration of acceleration and any
interest thereon at the rate or rates prescribed therefor in such Securities,

     (C) to the extent that payment of such interest is lawful, interest upon overdue
interest at the rate or rates prescribed therefor in such Securities, and

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

     (2) all Events of Default with respect to Securities of that series, other than the
non-payment of the principal of Securities of that series that have become due solely by
such declaration of acceleration, have been cured or waived as provided in Section 5.13.

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

Section 5.3 Collection of Indebtedness and Suits for Enforcement by Trustee. 

     The Company covenants that if

     (1) default is made in the payment of any interest on any Security when such interest
becomes due and payable and such default continues for a period of 30 days, or

     (2) default is made in the payment of the principal of (or premium, if any, on) any
Security at the Maturity thereof,

the Company will, upon demand of the Trustee, pay to it, for the benefit of the Holders of
such Securities, the whole amount then due and payable on such Securities for principal and
any premium and interest and, to the extent that payment of such interest shall be legally
enforceable, interest on any overdue principal and premium and on any overdue interest, at
the rate or rates prescribed therefor in such Securities, and, in addition thereto, such
further amount as shall be sufficient to cover the costs and expenses of collection,
including the

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reasonable compensation, expenses, disbursements and advances of the Trustee,
its agents and counsel.

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

Section 5.4 Trustee May File Proofs of Claim. 

     In case of any judicial proceeding relative to the Company (or any other obligor upon the
Securities), its property or its creditors, the Trustee shall be entitled and empowered, by
intervention in such proceeding or otherwise, to take any and all actions authorized under the
Trust Indenture Act in order to have claims of the Holders and the Trustee allowed in any such
proceeding. In particular, the Trustee shall be authorized to collect and receive any moneys or
other property payable or deliverable on any such claims and to distribute the same; and any
custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in any
such judicial proceeding is hereby authorized by each Holder to make such payments to the Trustee
and, in the event that the Trustee shall consent to the making of such payments directly to the
Holders, to pay to the Trustee any amount due it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the
Trustee under Section 6.7. No provision of this Indenture shall be deemed to authorize the Trustee
to authorize or consent to or accept or adopt on behalf of any Holder any plan of reorganization,
arrangement, adjustment or composition affecting the Securities or the rights of any Holder thereof
or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding;
provided, however, that the Trustee may, on behalf of the Holders, vote for the
election of a trustee in bankruptcy or similar official and be a member of a creditors’ or other
similar committee.

Section 5.5 Trustee May Enforce Claims Without Possession of Securities. 

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

Section 5.6 Application of Money Collected. 

     Any money collected by the Trustee pursuant to this Article shall be applied in the following
order, at the date or dates fixed by the Trustee and, in case of the distribution of such money on

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account of principal or any premium or interest, upon presentation of the Securities and the
notation thereon of the payment if only partially paid and upon surrender thereof if fully paid:

     FIRST: To the payment of all amounts due the Trustee under Section 6.7;

     SECOND: Subject to Article 15, to the payment of the amounts then due and unpaid for
principal of and any premium, if any, and interest on the Securities in respect of which or for the
benefit of which such money has been collected, ratably, without preference or priority of any
kind, according to the amounts due and payable on such Securities for principal and any premium, if
any, and interest, respectively; and

     THIRD: The balance, if any, to the Company or any other Person or Persons entitled thereto.

Section 5.7 Limitation on Suits. 

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

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

     (2) the Holders of at least a majority in aggregate principal amount of the Outstanding
Securities of that series shall have made written request to the Trustee to institute
proceedings in respect of such Event of Default in its own name as Trustee hereunder;

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

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

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

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

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Section 5.8 Unconditional Right of Holders to Receive Principal, Premium and Interest and to
Convert. 

     Notwithstanding any other provision in this Indenture, the Holder of any Security shall have
the right, which is absolute and unconditional, to receive payment of the principal of and any
premium and (subject to Section 3.7) interest on such Security on the respective Stated Maturities
expressed in such Security (or, in the case of redemption, on the Redemption Date), to convert such
Securities in accordance with Article 14 to the extent that such right to convert is
applicable to such Security, and to institute suit for the enforcement of any such payment, and
such rights shall not be impaired without the consent of such Holder.

Section 5.9 Restoration of Rights and Remedies. 

     If the Trustee or any Holder has instituted any proceeding to enforce any right or remedy
under this Indenture and such proceeding has been discontinued or abandoned for any reason, or has
been determined adversely to the Trustee or to such Holder, then and in every such case, subject to
any determination in such proceeding, the Company, the Trustee and the Holders shall be restored
severally and respectively to their former positions hereunder and thereafter all rights and
remedies of the Trustee and the Holders shall continue as though no such proceeding had been
instituted.

Section 5.10 Rights and Remedies Cumulative. 

     Except as otherwise provided with respect to the replacement or payment of mutilated,
destroyed, lost or stolen Securities in the last paragraph of Section 3.6, no right or remedy
herein conferred upon or reserved to the Trustee or to the Holders is intended to be exclusive of
any other right or remedy, and every right and remedy shall, to the extent permitted by law, be
cumulative and in addition to every other right and remedy given hereunder or now or hereafter
existing at law or in equity or otherwise. The assertion or employment of any right or remedy
hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy.

Section 5.11 Delay or Omission Not Waiver. 

     No delay or omission of the Trustee or of any Holder of any Securities to exercise any right
or remedy accruing upon any Event of Default shall impair any such right or remedy or constitute a
waiver of any such Event of Default or an acquiescence therein. Every right and remedy given by
this Article or by law to the Trustee or to the Holders may be exercised from time to time, and as
often as may be deemed expedient, by the Trustee (subject to the limitations contained in this
Indenture) or by the Holders, as the case may be.

Section 5.12 Control by Holders. 

     The Holders of a majority in principal amount of the Outstanding Securities of any series
shall have the right to direct the time, method and place of conducting any proceeding for any

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remedy available to the Trustee, or exercising any trust or power conferred on the Trustee,
with respect to the Securities of such series, provided that

     (1) such direction shall not be in conflict with any rule of law or with this Indenture
and the Trustee shall not have determined that the action so directed would be unjustly
prejudicial to Holders of Securities of that series, or any other series, not taking part in
such direction; and

     (2) the Trustee may take any other action deemed proper by the Trustee that is not
inconsistent with such direction or this Indenture.

Section 5.13 Waiver of Past Defaults. 

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

     (1) a default in the payment of the principal of or any premium or interest on any
Security of such series as and when the same shall become due and payable by the terms
thereof, otherwise than by acceleration (unless such default has been cured and a sum
sufficient to pay all matured installments of interest, principal and premium, if any, has
been deposited with the Trustee), or

     (2) to the extent such right is applicable to such Security, a failure by the Company
on request to convert any Security into Common Stock; or

     (3) in respect of a covenant or provision hereof which under Article 9 cannot be
modified or amended without the consent of the Holder of each Outstanding Security of such
series affected.

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

Section 5.14 Undertaking for Costs. 

     In any suit for the enforcement of any right or remedy under this Indenture, or in any suit
against the Trustee for any action taken, suffered or omitted by it as Trustee, a court may require
any party litigant in such suit to file an undertaking to pay the costs of such suit, and may
assess costs against any such party litigant, in the manner and to the extent provided in the Trust
Indenture Act; provided that neither this Section nor the Trust Indenture Act shall be deemed to
authorize any court to require such an undertaking or to make such an assessment in any suit instituted by the
Company or in any suit for the enforcement of the right to convert any Security in accordance with
Article 14.

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Section 5.15 Waiver of Usury, Stay or Extension Laws. 

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

ARTICLE 6

THE TRUSTEE

Section 6.1 Certain Duties and Responsibilities. 

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

Section 6.2 Notice of Defaults. 

     If a default occurs hereunder with respect to Securities of any series, the Trustee shall give
the Holders of Securities of such series notice of such default as and to the extent provided by
the Trust Indenture Act; provided, however, that except in the case of a default in
the payment of principal of (or premium, if any) or interest on any Securities of such series or in
the payment of any sinking fund installment or any conversion right applicable to Securities of
such series, the Trustee shall be protected in withholding such notice if and so long as a trust
committee of directors and/or Responsible Officers of the Trustee in good faith determine that the
withholding of such notice is in the interests of the holders of Securities of such series;
provided, further, however, that in the case of any default of the
character specified in Section 5.1(4) with respect to Securities of such series, no
such notice to Holders shall be given until at least 60 days after the occurrence thereof. For
the purpose of this Section, the term “default” means any event that is, or after notice or lapse
of time or both would become, an Event of Default with respect to Securities of such series.

     Except with respect to Section 10.1, the Trustee shall have no duty to inquire as to the
performance of the Company with respect to the covenants contained in Article 10. In addition, the
Trustee shall not be deemed to have knowledge of an Event of Default except (i) any Default or
Event of Default occurring pursuant to Sections 5.1(1), 5.1(2) and 5.1(3) (defaults in payments on

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the Securities) or (ii) any Default or Event of Default of which the Trustee shall have received
written notification or obtained actual knowledge.

     Delivery of reports, information and documents to the Trustee under Section 7.4 is for
informational purposes only and the Trustee’s receipt of the foregoing shall not constitute
constructive notice of any information contained therein or determinable from information contained
therein, including the Company’s compliance with any of their covenants hereunder (as to which the
Trustee is entitled to rely conclusively on Officers’ Certificates).

Section 6.3 Certain Rights of Trustee. 

     Subject to the provisions of Section 6.1:

     (1) in the absence of bad faith on the part of the Trustee, 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, other evidence of indebtedness or other paper or document believed by it to
be genuine and to have been signed or presented by the proper party or parties;

     (2) any request or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order, and any resolution of the Board of
Directors shall be sufficiently evidenced by a Board Resolution;

     (3) whenever in the administration of this Indenture the Trustee shall deem it
desirable that a matter be proved or established prior to taking, suffering or omitting any
action hereunder, the Trustee (unless other evidence be herein specifically prescribed) is
entitled to and may, in the absence of bad faith on its part, rely upon an Officers’
Certificate;

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

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

     (6) the Trustee shall not be bound to make any investigation into the facts or matters
stated in any resolution, certificate, statement, instrument, opinion, report, notice,
request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or
other paper or document, but the Trustee, in its discretion, may make such further inquiry
or investigation into such facts or matters as it may see fit, and, if the Trustee shall
determine to make such further inquiry or investigation, it shall be entitled to examine the
books, records and premises of the Company, personally or by agent or attorney; and

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

Section 6.4 Not Responsible for Recitals or Issuance of Securities. 

     The recitals contained herein and in the Securities, except the Trustee’s certificates of
authentication, shall be taken as the statements of the Company, and neither the Trustee nor any
Authenticating Agent assumes any responsibility for their correctness. The Trustee makes no
representations as to the validity, sufficiency or priority of this Indenture or of the Securities.
Neither the Trustee nor any Authenticating Agent shall be accountable for the use or application by
the Company of Securities or the proceeds thereof.

Section 6.5 May Hold Securities and Act as Trustee under Other Indentures. 

     The Trustee, any Authenticating Agent, any Paying Agent, any Security Registrar or any other
agent of the Company, in its individual or any other capacity, may become the owner or pledgee of
Securities and, subject to Sections 6.8 and 6.13, may otherwise deal with the Company with the same
rights it would have if it were not Trustee, Authenticating Agent, Paying Agent, Security Registrar
or such other agent.

     Subject to the limitations imposed by the Trust Indenture Act, nothing in this Indenture shall
prohibit the Trustee from becoming and acting as trustee under other indentures under which other
securities, or certificates of interest of participation in other securities, of the Company are
outstanding in the same manner as if it were not Trustee hereunder.

Section 6.6 Money Held in Trust. 

     Money held by the Trustee in trust hereunder need not be segregated from other funds except to
the extent required by law. The Trustee shall be under no liability for interest on any money
received by it hereunder except as otherwise agreed with the Company.

Section 6.7 Compensation and Reimbursement. 

     The Company agrees:

     (1) to pay to the Trustee from time to time reasonable compensation for all services
rendered by it hereunder (which compensation shall not be limited by any provision of law in
regard to the compensation of a trustee of an express trust);

     (2) except as otherwise expressly provided herein, to reimburse the Trustee upon its
request for all reasonable expenses, disbursements and advances incurred or made by the
Trustee in accordance with any provision of this Indenture (including the reasonable
compensation and the expenses and disbursements of its agents and counsel), except any

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such expense, disbursement or advance as may be attributable to its negligence or bad faith; and

     (3) to indemnify the Trustee for, and to hold it harmless against, any loss, liability
or expense incurred without negligence or bad faith on its part, arising out of or in
connection with the acceptance or administration of the trust or trusts hereunder, including
the costs and expenses of defending itself against any claim or liability in connection with
the exercise or performance of any of its powers or duties hereunder.

     When the Trustee incurs expenses or renders services after an Event of Default specified in
Section 5.1(5) or Section 5.1(6) hereof occurs, the expenses and the compensation for the services
(including the fees and expenses of its agents and counsel) are intended to constitute expenses of
administration under any applicable bankruptcy, insolvency, reorganization or similar law.

Section 6.8 Conflicting Interests. 

     If the Trustee has or shall acquire a conflicting interest within the meaning of the Trust
Indenture Act and there is an Event of Default under the Securities of that series, the Trustee
shall either eliminate such interest or resign, to the extent and in the manner provided by, and
subject to the provisions of, the Trust Indenture Act and this Indenture. To the extent permitted
by the Trust Indenture Act, the Trustee shall not be deemed to have a conflicting interest by
virtue of being a trustee under this Indenture with respect to Securities of more than one series.

Section 6.9 Corporate Trustee Required; Eligibility. 

     There shall at all times be one (and only one) Trustee hereunder with respect to the
Securities of each series, which may be Trustee hereunder for Securities of one or more other
series. Each Trustee shall be a Person that is eligible pursuant to the Trust Indenture Act to act
as such and has (or if the Trustee is a member of a bank holding company system, its bank holding
company has) a combined capital and surplus of at least $50,000,000. If any such Person or bank
holding company publishes reports of condition at least annually, pursuant to law or to the
requirements of its supervising or examining authority, then for the purposes of this Section and
to the extent permitted by the Trust Indenture Act, the combined capital and surplus of such Person
or bank holding company shall be deemed to be its combined capital and surplus as set forth in its
most recent report of condition so published. If at any time the Trustee with respect to the
Securities of any series shall cease to be eligible in accordance with the provisions of this
Section, it shall resign immediately in the manner and with the effect hereinafter specified in
this Article.

Section 6.10 Resignation and Removal; Appointment of Successor. 

     No resignation or removal of the Trustee and no appointment of a successor Trustee pursuant to
this Article shall become effective until the acceptance of appointment by the successor Trustee in
accordance with the applicable requirements of Section 6.11. The Trustee may resign at any time
with respect to the Securities of one or more series by giving written notice thereof to the
Company. If the instrument of acceptance by a successor Trustee required by Section 6.11 shall not
have been

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delivered to the Trustee within 30 days after the giving of such notice of resignation,
the resigning Trustee may petition any court of competent jurisdiction for the appointment of a
successor Trustee with respect to the Securities of such series.

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

     If at any time:

     (1) the Trustee shall fail to comply with Section 6.8 after written request therefor by
the Company or by any Holder who has been a bona fide Holder of a Security for at least six
months, or

     (2) the Trustee shall cease to be eligible under Section 6.9 and shall fail to resign
after written request therefor by the Company or by any such Holder, or

     (3) the Trustee shall become incapable of acting or shall be adjudged a bankrupt or
insolvent or a receiver of the Trustee or of its property shall be appointed or any public
officer shall take charge or control of the Trustee or of its property or affairs for
the purpose of rehabilitation, conservation or liquidation, then, in any such case, (A) the
Company by a Board Resolution may remove the Trustee with respect to all Securities, or
(B) subject to Section 5.14, any Holder who has been a bona fide Holder of a Security for at
least six months may, on behalf of himself and all others similarly situated, petition any
court of competent jurisdiction for the removal of the Trustee with respect to all
Securities and the appointment of a successor Trustee or Trustees.

     If the Trustee shall resign, be removed or become incapable of acting, or if a vacancy shall
occur in the office of Trustee for any cause, with respect to the Securities of one or more series,
the Company, by a Board Resolution, 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 such series and
that at any time there shall be only one Trustee with respect to the Securities of any particular
series) and shall comply with the applicable requirements of Section 6.11. If, within one year
after such resignation, removal or incapability, or the occurrence of such vacancy, a successor
Trustee with respect to the Securities of any series shall be appointed by Act of the Holders of a
majority in principal amount of the Outstanding Securities of such series delivered to the Company
and the retiring Trustee, the successor Trustee so appointed shall, forthwith upon its acceptance
of such appointment in accordance with the applicable requirements of Section 6.11, become the
successor Trustee with respect to the Securities of such series and to that extent supersede the
successor Trustee appointed by the Company. If no successor Trustee with respect to the Securities
of any series shall have been so appointed by the Company or the Holders and accepted appointment
in the manner required by Section 6.11, the retiring Trustee may petition, or any Holder who has
been a bona fide Holder of a Security of such series for at least six months may petition, on
behalf of himself and all others

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similarly situated, any court of competent jurisdiction for the
appointment of a successor Trustee with respect to the Securities of such series.

     The Company shall give notice of each resignation and each removal of the Trustee with respect
to the Securities of any series and each appointment of a successor Trustee with respect to the
Securities of any series to all Holders of Securities of such series in the manner provided in
Section 1.6. Each notice shall include the name of the successor Trustee with respect to the
Securities of such series and the address of its Corporate Trust Office.

Section 6.11 Acceptance of Appointment by Successor. 

     In case of the appointment hereunder of a successor Trustee with respect to all Securities,
every such successor Trustee so appointed shall execute, acknowledge and deliver to the Company and
to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or
removal of the retiring Trustee shall become effective and such successor Trustee, without any
further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties
of the retiring Trustee; but, on the request of the Company or the successor Trustee, such retiring
Trustee shall, upon payment of its charges, execute and deliver an instrument transferring to such
successor Trustee all the rights, powers and trusts of the retiring Trustee and shall duly
assign, transfer and deliver to such successor Trustee all property and money held by such retiring
Trustee hereunder.

     In case of the appointment hereunder of a successor Trustee with respect to the Securities of
one or more (but not all) series, the Company, the retiring Trustee and each successor Trustee with
respect to the Securities of one or more series shall execute and deliver an indenture supplemental
hereto wherein each successor Trustee shall accept such appointment and which (1) shall contain
such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each
successor Trustee all the rights, powers, trusts and duties of the retiring Trustee with respect to
the Securities of that or those series to which the appointment of such successor Trustee relates,
(2) if the retiring Trustee is not retiring with respect to all Securities, shall contain such
provisions as shall be deemed necessary or desirable to confirm that all the rights, powers, trusts
and duties of the retiring Trustee with respect to the Securities of that or those series as to
which the retiring Trustee is not retiring shall continue to be vested in the retiring Trustee, and
(3) shall add to or change any of the provisions of this Indenture as shall be necessary to provide
for or facilitate the administration of the trusts hereunder by more than one Trustee, it being
understood that nothing herein or in such supplemental indenture shall constitute such Trustees
co-trustees of the same trust and that each such Trustee shall be trustee of a trust or trusts
hereunder separate and apart from any trust or trusts hereunder administered by any other such
Trustee; and upon the execution and delivery of such supplemental indenture the resignation or
removal of the retiring Trustee shall become effective to the extent provided therein and each such
successor Trustee, without any further act, deed or conveyance, shall become vested with all the
rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or
those series to which the appointment of such successor Trustee relates; but, on request of the
Company or any successor Trustee, such retiring Trustee shall duly assign, transfer and deliver to
such successor Trustee all property and money held by such

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retiring Trustee hereunder with respect
to the Securities of that or those series to which the appointment of such successor Trustee
relates.

     Upon request of any such successor Trustee, the Company shall execute any and all instruments
for more fully and certainly vesting in and confirming to such successor Trustee all such rights,
powers and trusts referred to in the first or second preceding paragraph, as the case may be.

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

Section 6.12 Merger, Conversion, Consolidation or Succession to Business. 

     Any corporation into which the Trustee may be merged or converted or with which it may be
consolidated, or any corporation resulting from any merger, conversion or consolidation to which
the Trustee shall be a party, or any corporation succeeding to all or substantially all the
corporate trust business of the Trustee (including the administration of the trust created by this
Indenture), shall be the successor of the Trustee hereunder, provided such corporation shall be
otherwise qualified and
eligible under this Article, without the execution or filing of any paper or any further act
on the part of any of the parties hereto. In case any Securities shall have been authenticated, but
not delivered, by the Trustee then in office, any successor by merger, conversion or consolidation
to such authenticating Trustee may adopt such authentication and deliver the Securities so
authenticated with the same effect as if such successor Trustee had itself authenticated such
Securities. In the event that any Securities shall not have been authenticated by such predecessor
Trustee, any such successor Trustee may authenticate and deliver such Securities in either its own
name or that of such predecessor Trustee, with the full force and effect which this Indenture
provides for the certificate of authentication of the Trustee.

Section 6.13 Preferential Collection of Claims Against Company. 

     If and when the Trustee shall be or become a creditor of the Company (or any other obligor
upon the Securities), the Trustee shall be subject to the provisions of the Trust Indenture Act
regarding the collection of claims against the Company (or any such other obligor).

Section 6.14 Appointment of Authenticating Agent. 

     The Trustee may appoint an Authenticating Agent or Agents with respect to one or more series
of Securities which shall be authorized to act on behalf of the Trustee to authenticate Securities
of such series issued upon original issue and upon exchange, registration of transfer or partial
redemption thereof or pursuant to Section 3.6, and Securities so authenticated shall be entitled to
the benefits of this Indenture and shall be valid and obligatory for all purposes as if
authenticated by the Trustee hereunder. Wherever reference is made in this Indenture to the
authentication and delivery of Securities by the Trustee or the Trustee’s certificate of
authentication, such reference shall be deemed to include authentication and delivery on behalf of
the Trustee by an Authenticating Agent and a certificate of authentication executed on behalf of
the Trustee by an Authenticating Agent. Each Authenticating Agent shall be acceptable to the
Company and shall at all times be a

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corporation organized and doing business under the laws of the
United States of America, any State thereof or the District of Columbia, authorized under such laws
to act as Authenticating Agent, having (or if the Authenticating Agent is a member of a bank
holding company system, its bank holding company has) a combined capital and surplus of not less
than $50,000,000 and subject to supervision or examination by Federal or State authority. If such
Authenticating Agent publishes reports of condition at least annually, pursuant to law or to the
requirements of said supervising or examining authority, then for the purposes of this Section, the
combined capital and surplus of such Authenticating Agent shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so published. If at any
time an Authenticating Agent shall cease to be eligible in accordance with the provisions of this
Section, such Authenticating Agent shall resign immediately in the manner and with the effect
specified in this Section.

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

     An Authenticating Agent may resign at any time by giving written notice thereof to the Trustee
and to the Company. The Trustee may at any time terminate the agency of an Authenticating Agent by
giving written notice thereof to such Authenticating Agent and to the Company. Upon receiving such
a notice of resignation or upon such a termination, or in case at any time such Authenticating
Agent shall cease to be eligible in accordance with the provisions of this Section, the Trustee may
appoint a successor Authenticating Agent which shall be acceptable to the Company and shall give
notice of such appointment in the manner provided in Section 1.6 to all Holders of Securities of
the series with respect to which such Authenticating Agent will serve. Any successor
Authenticating Agent upon acceptance of its appointment hereunder shall become vested with all the
rights, powers and duties of its predecessor hereunder, with like effect as if originally named as
an Authenticating Agent. No successor Authenticating Agent shall be appointed unless eligible
under the provisions of this Section.

     The Trustee agrees to pay to each Authenticating Agent from time to time reasonable
compensation for its services under this Section, and the Trustee shall be entitled to be
reimbursed for such payments, subject to the provisions of Section 6.7.

     If an appointment with respect to one or more series is made pursuant to this Section 6.12,
the Securities of such series may have endorsed thereon, in lieu of the Trustee’s certificate of
authentication, an alternative certificate of authentication in the following form:

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

	 	 	 	 	 	 	 
	 	 	                    ,	 	 
	 	 	as Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	as Authenticating Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Authorized Officer	 	 

ARTICLE 7

HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND COMPANY

Section 7.1 Company to Furnish Trustee Names and Addresses of Holders. 

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

     (1) semi-annually, not later than 15 days after the Regular Record Date for each
respective series of Securities, a list, in such form as the Trustee may reasonably require,
of the names and addresses of the Holders of Securities of each series as of such Regular
Record Date, as the case may be, or if there is no Regular Record Date for such series of
Securities, semi-annually, and

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

provided that no such list need be furnished by the Company to the Trustee so long as the Trustee
is acting as Security Registrar.

Section 7.2 Preservation of Information; Communications to Holders. 

     The Trustee shall preserve, in as current a form as is reasonably practicable, the names and
addresses of Holders contained in the most recent list furnished to the Trustee as provided in
Section 7.1 and the names and addresses of Holders received by the Trustee in its capacity as
Security Registrar. The Trustee may destroy any list furnished to it as provided in Section 7.1
upon receipt of a new list so furnished.

     The rights of Holders to communicate with other Holders with respect to their rights under
this Indenture or under the Securities, and the corresponding rights and privileges of the Trustee,
shall be as provided by the Trust Indenture Act. Every Holder of Securities, by receiving and
holding the same, agrees with the Company and the Trustee that neither the Company nor the

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Trustee
nor any agent of either of them shall be held accountable by reason of any disclosure of
information as to names and addresses of Holders made pursuant to the Trust Indenture Act.

Section 7.3 Reports by Trustee. 

     The Trustee shall transmit to Holders such reports concerning the Trustee and its actions
under this Indenture as may be required pursuant to the Trust Indenture Act at the times and in the
manner provided pursuant thereto.

     Reports so required to be transmitted at stated intervals of not more than 12 months shall be
transmitted no later than July 15 in each calendar year, commencing with the first July 15 after
the first issuance of Securities pursuant to this Indenture.

     A copy of each such report shall, at the time of such transmission to Holders, be filed by the
Trustee with each stock exchange upon which any Securities are listed, with the Commission and with
the Company. The Company will notify the Trustee when any Securities are listed on any stock
exchange.

Section 7.4 Reports by Company. 

     The Company shall file with the Trustee and the Commission, and transmit to Holders, such
information, documents and other reports, and such summaries thereof, as may be required pursuant
to the Trust Indenture Act at the times and in the manner provided pursuant to the Trust Indenture
Act; provided that any such information, documents or reports required to be filed with the
Commission pursuant to Section 13 or 15(d) of the Exchange Act shall be filed with the Trustee
within 15 days after the same is so required to be filed with the Commission.

ARTICLE 8

CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE

Section 8.1 Company May Consolidate, etc., Only on Certain Terms.

     The Company shall not consolidate with or merge into any other Person (in a transaction in
which the Company is not the surviving corporation) or convey, transfer or lease its properties and
assets substantially as an entirety to any Person, unless:

     (1) in case the Company shall consolidate with or merge into another Person (in a
transaction in which the Company is not the surviving corporation) or convey, transfer or
lease its properties and assets substantially as an entirety to any Person, the Person
formed by such consolidation or into which the Company is merged or the Person which
acquires by conveyance or transfer, or which leases, the properties and assets of the
Company substantially as an entirety shall be a corporation, limited liability company,
partnership, trust or other business entity, shall be organized and validly existing under
the laws of the United States of America, any State thereof or the District of Columbia and
shall expressly assume,

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by an indenture supplemental hereto, executed and delivered to the
Trustee, in form satisfactory to the Trustee, the due and punctual payment of the principal
of and any premium and interest on all the Securities and the performance or observance of
every
covenant of this Indenture on the part of the Company to be performed or observed and
the conversion rights shall be provided for in accordance with Article 14, if applicable, or
as otherwise specified pursuant to Section 3.1, by supplemental indenture satisfactory in
form to the Trustee, executed and delivered to the Trustee, by the Person (if other than the
Company) formed by such consolidation or into which the Company shall have been merged or by
the Person which shall have acquired the Company’s assets;

     (2) immediately after giving effect to such transaction and treating any indebtedness
which becomes an obligation of the Company or any Subsidiary as a result of such transaction
as having been incurred by the Company or such Subsidiary at the time of such transaction,
no Event of Default, and no event which, after notice or lapse of time or both, would become
an Event of Default, shall have occurred and be continuing; and

     (3) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that such consolidation, merger, conveyance, transfer or lease and, if
a supplemental indenture is required in connection with such transaction, such supplemental
indenture comply with this Article and that all conditions precedent herein provided for
relating to such transaction have been complied with.

Section 8.2 Successor Substituted. 

     Upon any consolidation of the Company with, or merger of the Company into, any other Person or
any conveyance, transfer or lease of the properties and assets of the Company substantially as an
entirety in accordance with Section 8.1, the successor Person formed by such consolidation or into
which the Company is merged or to which such conveyance, transfer or lease is made shall succeed
to, and be substituted for, and may exercise every right and power of, the Company under this
Indenture with the same effect as if such successor Person had been named as the Company herein,
and thereafter, except in the case of a lease, the predecessor Person shall be relieved of all
obligations and covenants under this Indenture and the Securities.

ARTICLE 9

SUPPLEMENTAL INDENTURES

Section 9.1 Supplemental Indentures Without Consent of Holders. 

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

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     (1) to evidence the succession of another Person to the Company, or successive
successions, and the assumption by any such successor of the covenants of the Company herein
and in the Securities in compliance with Article 8; or

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

     (3) to add any additional Events of Default for the benefit of the Holders of all or
any series of Securities (and if such additional Events of Default are to be for the benefit
of less than all series of Securities, stating that such additional Events of Default are
expressly being included solely for the benefit of such series); or

     (4) to add to or change any of the provisions of this Indenture to such extent as shall
be necessary to permit or facilitate the issuance of Securities in bearer form, registrable
or not registrable as to principal, and with or without interest coupons, or to permit or
facilitate the issuance of Securities in uncertificated form; or

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

     (6) to secure the Securities, including provisions regarding the circumstances under
which collateral may be released or substituted; or

     (7) to add or provide for a guaranty of the Securities or additional obligors on the
Securities; or

     (8) to establish the form or terms of Securities of any series as permitted by Sections
2.1 and 3.1; or

     (9) 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 6.11; or

     (10) to cure any ambiguity, to correct or supplement any provision herein which may be
defective or inconsistent with any other provision herein, or to make any other provisions
with respect to matters or questions arising under this Indenture, provided that

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such action pursuant to this clause (10) shall not adversely affect the interests of
the Holders of Securities of any series in any material respect; or

     (11) to supplement any of the provisions of the Indenture to such extent as shall be
necessary to permit or facilitate the defeasance and discharge of any series of Securities
pursuant to Articles 4 and 13, provided that any such action shall not adversely affect the
interests of the Holders of Securities of such series or any other series of Securities in
any material respect.

Section 9.2 Supplemental Indentures with Consent of Holders. 

     With the consent of the Holders of a majority in principal amount of the Outstanding
Securities of each series affected by such supplemental indenture, by Act of said Holders delivered
to the Company and the Trustee, the Company, when authorized by a Board Resolution, and the Trustee
may enter into an indenture or indentures supplemental hereto for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of this Indenture or
of modifying in any manner the rights of the Holders of Securities of such series under this
Indenture; provided, however, that no such supplemental indenture shall, without
the consent of the Holder of each Outstanding Security affected thereby,

     (1) change the Stated Maturity of the principal of, or any installment of principal of
or interest on, any Security, or reduce the principal or premium amount thereof or the rate
of interest thereon or any amount payable upon the redemption or repurchase thereof, or
reduce the amount of the principal of an Original Issue Discount Security or any other
Security which would be due and payable upon a declaration of acceleration of the Maturity
thereof pursuant to Section 5.2 or reduce the amount of any sinking fund payment, or change
the place of payment or the coin or currency in which, any Security or any premium or
interest thereon is payable, or impair the right to institute suit for the enforcement of
any such payment on or after the Stated Maturity thereof (or, in the case of redemption, on
or after the Redemption Date), or modify the provisions of this Indenture with respect to
the subordination of such series of Securities in a manner materially adverse to the Holders
of Securities of such series, or, in the case of Securities of any series that are
convertible into Securities or other securities of the Company, adversely affect the right
of Holders to convert any of the Securities of such series other than as provided in or
pursuant to this Indenture, or

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

     (3) modify any of the provisions of this Section, Section 5.13 or Section 10.8, except
to increase any such percentage or to provide that certain other provisions of this
Indenture cannot be modified or waived without the consent of the Holder of each
Outstanding Security affected thereby; provided, however, that this clause
shall not be

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deemed to require the consent of any Holder with respect to changes in the
references to “the Trustee” and concomitant changes in this Section and Section 10.8, or the
deletion of this proviso, in accordance with the requirements of Sections 6.11 and 9.1(8),
or

     (4) if applicable, make any change that adversely affects the right to convert any
security as provided in Article 14 or pursuant to Section 3.1 (except as permitted by
Section 9.1(9)).

     A supplemental indenture which 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 such series with
respect to such covenant or other provision, shall be deemed not to affect the rights under this
Indenture of the Holders of Securities of any other series.

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

Section 9.3 Execution of Supplemental Indentures. 

     In executing, or accepting the additional trusts created by, any supplemental indenture
permitted by this Article or the modifications thereby of the trusts created by this Indenture, the
Trustee shall be entitled to receive, and (subject to Sections 6.1 and 6.3) shall be fully
protected in relying upon, an Opinion of Counsel stating that the execution of such supplemental
indenture is authorized or permitted by this Indenture. The Trustee may, but shall not be
obligated to, enter into any such supplemental indenture which affects the Trustee’s own rights,
duties or immunities under this Indenture or otherwise.

Section 9.4 Effect of Supplemental Indentures. 

     Upon the execution of any supplemental indenture under this Article, this Indenture shall be
modified in accordance therewith, and such supplemental indenture shall form a part of this
Indenture for all purposes; and every Holder of Securities theretofore or thereafter authenticated
and delivered hereunder shall be bound thereby.

Section 9.5 Conformity with Trust Indenture Act. 

     Every supplemental indenture executed pursuant to this Article shall conform to the
requirements of the Trust Indenture Act.

Section 9.6 Reference in Securities to Supplemental Indentures. 

     Securities of any series authenticated and delivered after the execution of any supplemental
indenture pursuant to this Article may, and shall if required by the Trustee, bear a notation in
form approved by the Trustee as to any matter provided for in such supplemental indenture. If the

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Company shall so determine, new Securities of any series so modified as to conform, in the opinion
of the Trustee and the Company, to any such supplemental indenture may be prepared and executed by
the Company and authenticated and delivered by the Trustee in exchange for Outstanding Securities
of such series.

ARTICLE 10

COVENANTS

Section 10.1 Payment of Principal, Premium and Interest. 

     The Company covenants and agrees for the benefit of each series of Securities that it will
duly and punctually pay the principal of and any premium and interest on the Securities of that
series in accordance with the terms of the Securities and this Indenture.

Section 10.2 Maintenance of Office or Agency. 

     The Company will maintain in each Place of Payment for any series of Securities an office or
agency where Securities of that series may be presented or surrendered for payment, where
Securities of that series may be surrendered for registration of transfer or exchange, where
Securities of that series may be surrendered for conversion and where notices and demands to or
upon the Company in respect of the Securities of that series and this Indenture may be served. The
Company will give prompt written notice to the Trustee of the location, and any change in the
location, of such office or agency. If at any time the Company shall fail to maintain any such
required office or agency or shall fail to furnish the Trustee with the address thereof, such
presentations, surrenders, notices and demands may be made or served at the Corporate Trust Office
of the Trustee, and the Company hereby appoints the Trustee as its agent to receive all such
presentations, surrenders, notices and demands. Unless otherwise provided in a supplemental
indenture or pursuant to Section 3.1 hereof, the Place of Payment for any series of Securities
shall be 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 such purposes
and may from time to time rescind such designations; provided, however, that no
such designation or rescission shall in any manner relieve the Company of its obligation to
maintain an office or agency in each Place of Payment for Securities of any series for such
purposes. The Company will give prompt written notice to the Trustee of any such designation or
rescission and of any change in the location of any such other office or agency.

Section 10.3 Money for Securities Payments to be Held in Trust. 

     If the Company shall at any time act as its own Paying Agent with respect to any series of
Securities, it will, on or before each due date of the principal of or any premium or interest on
any of the Securities of that series, segregate and hold in trust for the benefit of the Persons
entitled thereto a sum sufficient to pay the principal and any premium and interest so becoming due
until such sums

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shall be paid to such Persons or otherwise disposed of as herein provided and will
promptly notify the Trustee of its action or failure so to act.

     Whenever the Company shall have one or more Paying Agents for any series of Securities, it
will, on or prior to each due date of the principal of or any premium or interest on any Securities
of that series, deposit with a Paying Agent a sum sufficient to pay such amount, such sum to be
held as provided by the Trust Indenture Act, and (unless such Paying Agent is the Trustee) the
Company will promptly notify the Trustee of its action or failure so to act.

     The Company will cause each Paying Agent for any series of Securities other than the Trustee
to execute and deliver to the Trustee an instrument in which such Paying Agent shall agree with the
Trustee, subject to the provisions of this Section, that such Paying Agent will (1) comply with the
provisions of the Trust Indenture Act applicable to it as a Paying Agent and (2) during the
continuance of any default by the Company (or any other obligor upon the Securities of that series)
in the making of any payment in respect of the Securities of that series, upon the written request
of the Trustee, forthwith pay to the Trustee all sums held in trust by such Paying Agent for
payment in respect of the Securities of that series.

     The Company may at any time, for the purpose of obtaining the satisfaction and discharge of
this Indenture or for any other purpose, pay, or by Company Order direct any Paying Agent to pay,
to the Trustee all sums held in trust by the Company or such Paying Agent, such sums to be held by
the Trustee upon the same trusts as those upon which such sums were held by the Company or such
Paying Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying Agent shall be
released from all further liability with respect to such money.

     Any money deposited with the Trustee or any Paying Agent, or then held by the Company, in
trust for the payment of the principal of or any premium or interest on any Security of any series
and remaining unclaimed for a period ending on the earlier of the date that is ten Business Days
prior to the date such money would escheat to the State or two years after such principal, premium
or interest
has become due and payable shall be paid to the Company on Company Request, or (if then held
by the Company) shall be discharged from such trust; and the Holder of such Security shall
thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all
liability of the Trustee or such Paying Agent with respect to such trust money, and all liability
of the Company as trustee thereof, shall thereupon cease; provided, however, that
the Trustee or such Paying Agent, before being required to make any such repayment, may at the
expense of the Company cause to be published once, in a newspaper published in the English
language, customarily published on each Business Day and of general circulation in each Place of
Payment, notice that such money remains unclaimed and that, after a date specified therein, which
shall not be less than 30 days from the date of such publication, any unclaimed balance of such
money then remaining will be repaid to the Company.

Section 10.4 Statement by Officers as to Default. 

     The Company will deliver to the Trustee, within 120 days after the end of each fiscal year of
the Company ending after the date hereof, an Officers’ Certificate, stating whether or not to the
best

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knowledge of the signers thereof the Company is in default in the performance and observance
of any of the terms, provisions and conditions of this Indenture (without regard to any period of
grace or requirement of notice provided hereunder) and, if the Company shall be in default,
specifying all such defaults and the nature and status thereof of which they may have knowledge.
The fiscal year of the Company currently ends on December 31; and the Company will give the Trustee
prompt written notice of any change of its fiscal year.

Section 10.5 Existence. 

     Subject to Article 8, the Company will do or cause to be done all things necessary to preserve
and keep in full force and effect its existence.

Section 10.6 Waiver of Certain Covenants. 

     Except as otherwise specified as contemplated by Section 3.1 for Securities of such series,
the Company may, with respect to the Securities of any series, omit in any particular instance to
comply with any term, provision or condition set forth in any covenant provided pursuant to
Section 3.1(19), 9.1(2) or 9.1(7) for the benefit of the Holders of such series if before the time
for such compliance the Holders of at least a majority in principal amount of the Outstanding
Securities of such series shall, by Act of such Holders, either waive such compliance in such
instance or generally waive compliance with such term, provision or condition, but no such waiver
shall extend to or affect such term, provision or condition except to the extent so expressly
waived, and, until
such waiver shall become effective, the obligations of the Company and the duties of the
Trustee in respect of any such term, provision or condition shall remain in full force and effect.

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ARTICLE 11

REDEMPTION OF SECURITIES

Section 11.1 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 3.1
for such Securities) in accordance with this Article.

Section 11.2 Election to Redeem; Notice to Trustee. 

     The election of the Company to redeem any Securities shall be evidenced by a Board Resolution
or in another manner specified as contemplated by Section 3.1 for such Securities. In case of any
redemption at the election of the Company of less than all the Securities of any series (including
any such redemption affecting only a single Security), the Company shall, at least 45 days prior to
the Redemption Date fixed by the Company (unless a shorter notice shall be satisfactory to the
Trustee), notify the Trustee of such Redemption Date, of the principal amount of Securities of such
series to be redeemed and, if applicable, of the tenor of the Securities to be redeemed. In the
case of any redemption of Securities prior to the expiration of any restriction on such redemption
provided in the terms of such Securities or elsewhere in this Indenture, the Company shall furnish
the Trustee with an Officers’ Certificate evidencing compliance with such restriction.

Section 11.3 Selection by Trustee of Securities to Be Redeemed. 

     If less than all the Securities of any series are to be redeemed (unless all the Securities of
such series and of a specified tenor are to be redeemed or unless such redemption affects only a
single Security), the particular Securities to be redeemed shall be selected not more than 45 days
prior to the Redemption Date by the Trustee, from the Outstanding Securities of such series not
previously called for redemption, by lot, or in the Trustee’s discretion, on a pro-rata basis,
provided that the unredeemed portion of the principal amount of any Security shall be in an
authorized denomination (which shall not be less than the minimum authorized denomination) for such
Security. If less than all the Securities of such series and of a specified tenor are to be
redeemed (unless such redemption affects only a single Security), the particular Securities to be
redeemed shall be selected not more than 45 days prior to the Redemption Date by the Trustee, from
the
Outstanding Securities of such series and specified tenor not previously called for redemption
in accordance with the preceding sentence.

     If any Security selected for partial redemption is converted in part before termination of the
conversion right with respect to the portion of the Security so selected, the converted portion of
such Security shall be deemed (so far as may be) to be the portion selected for redemption.
Securities that

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have been converted during a selection of Securities to be redeemed shall be
treated by the Trustee as Outstanding for the purpose of such selection.

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

     The provisions of the two preceding paragraphs shall not apply with respect to any redemption
affecting only a single Security, whether such Security is to be redeemed in whole or in part. In
the case of any such redemption in part, the unredeemed portion of the principal amount of the
Security shall be in an authorized denomination (which shall not be less than the minimum
authorized denomination) for such Security.

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

Section 11.4 Notice of Redemption. 

     Notice of redemption shall be given by first-class mail, postage prepaid, mailed not fewer
than 30 nor more than 60 days prior to the Redemption Date, unless a shorter period is specified in
the Securities to be redeemed, to each Holder of Securities to be redeemed, at its address
appearing in the Security Register.

     All notices of redemption shall state:

     (1) the Redemption Date,

     (2) the Redemption Price (including accrued interest, if any),

     (3) if less than all the Outstanding Securities of any series consisting of more than a
single Security are to be redeemed, the identification (and, in the case of partial
redemption of any such Securities, the principal amounts) of the particular Securities to be
redeemed and, if less than all the Outstanding Securities of any series consisting of a
single Security are to be redeemed, the principal amount of the particular Security to be
redeemed,

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

     (5) that on the Redemption Date the Redemption Price will become due and payable upon
each such Security to be redeemed and, if applicable, that interest thereon will cease to
accrue on and after said date,

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     (6) the place or places where each such Security is to be surrendered for payment of
the Redemption Price,

     (7) if applicable, the conversion price or the conversion rate, as the case may be, the
date on which the right to convert the principal of the Securities or the portions thereof
to be redeemed will terminate, and the place or places where such Securities may be
surrendered for conversion,

     (8) that the redemption is for a sinking fund, if such is the case, and

     (9) the CUSIP number or numbers and/or common codes of the Security being redeemed;
provided that any such notice may state that no representation is made as to
the correctness of such numbers either as printed on the Securities or as contained in any
notice 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.

     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 request, by the Trustee in the name and at the expense of
the Company and shall be irrevocable.

Section 11.5 Deposit of Redemption Price. 

     On or prior to any Redemption Date, the Company shall deposit with the Trustee or with a
Paying Agent (or, if the Company is acting as its own Paying Agent, segregate and hold in trust as
provided in Section 10.3) an amount of money sufficient to pay the Redemption Price of, and (except
if the Redemption Date shall be an Interest Payment Date) accrued interest on, all the Securities
which are to be redeemed on that date.

     If any Security called for redemption is converted, any money deposited with the Trustee or
with a Paying Agent or so segregated and held in trust for the redemption of such Security shall
(subject to the right of any Holder of such Security to receive interest as provided in the last
paragraph of Section 3.7) be paid to the Company on Company Request, or if then held by the
Company, shall be discharged from such trust.

Section 11.6 Securities Payable on Redemption Date. 

     Notice of redemption having been given as aforesaid, the Securities so to be redeemed shall,
on the Redemption Date, become due and payable at the Redemption Price therein specified, and from
and after such date (unless the Company shall default in the payment of the Redemption Price and
accrued interest) such Securities shall cease to bear interest. Upon surrender of any such
Security for redemption in accordance with said notice, such Security shall be paid by the Company
at the Redemption Price, together with accrued interest to the Redemption Date; provided,
however, that, unless otherwise specified as contemplated by Section 3.1, installments of
interest whose Stated Maturity is on or prior to the Redemption Date will be payable to the Holders
of such Securities, or

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one or more Predecessor Securities, registered as such at the close of
business on the relevant Record Dates according to their terms and the provisions of Section 3.7.

     If any Security called for redemption shall not be so paid upon surrender thereof for
redemption, the principal and any premium shall, until paid, bear interest from the Redemption Date
at the rate prescribed therefor in the Security.

Section 11.7 Securities Redeemed in Part. 

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

ARTICLE 12

SINKING FUNDS

Section 12.1 Applicability of Article. 

     The provisions of this Article shall be applicable to any sinking fund for the retirement of
Securities of any series except as otherwise specified as contemplated by Section 3.1 for such
Securities.

     The minimum amount of any sinking fund payment provided for by the terms of any Securities is
herein referred to as a “mandatory sinking fund payment,” and any payment in excess of such minimum
amount provided for by the terms of such Securities is herein referred to as an “optional sinking
fund payment.” If provided for by the terms of any Securities, the cash amount of any sinking fund
payment may be subject to reduction as provided in Section 12.2. Each sinking fund payment shall
be applied to the redemption of Securities as provided for by the terms of such Securities.

Section 12.2 Satisfaction of Sinking Fund Payments with Securities. 

     The Company (1) may deliver Outstanding Securities of a series (other than any previously
called for redemption) and (2) may apply as a credit Securities of a series which have been
redeemed either at the election of the Company pursuant to the terms of such Securities or through
the application of permitted optional sinking fund payments pursuant to the terms of such
Securities, in each case in satisfaction of all or any part of any sinking fund payment with
respect to any Securities of such series required to be made pursuant to the terms of such
Securities as and to the extent provided for by the terms of such Securities; provided that the
Securities to be so credited have not

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been previously so credited. The Securities to be so
credited shall be received and credited for such purpose by the Trustee at the Redemption Price, as
specified in the Securities so to be redeemed, for redemption through operation of the sinking fund
and the amount of such sinking fund payment shall be reduced accordingly.

Section 12.3 Redemption of Securities for Sinking Fund. 

     Not fewer than 60 days prior to each sinking fund payment date for any Securities, the Company
will deliver to the Trustee an Officers’ Certificate specifying the amount of the next ensuing
sinking fund payment for such Securities pursuant to the terms of such Securities, 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 Securities pursuant to Section 12.2 and will also
deliver to the Trustee any Securities to be so delivered. Not fewer than 30 days prior to each
such sinking fund payment date, the Trustee shall select the Securities to be redeemed upon such
sinking fund payment date in the manner specified in Section 11.3 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 11.4. Such notice having been duly given, the redemption of such Securities
shall be made upon the terms and in the manner stated in Sections 11.6 and 11.7.

ARTICLE 13

DEFEASANCE AND COVENANT DEFEASANCE

Section 13.1 Company’s Option to Effect Defeasance or Covenant Defeasance. 

     The Company may elect, at its option at any time, to have Section 13.2 or Section 13.3 applied
to any Securities or any series of Securities, as the case may be, designated pursuant to
Section 3.1 as being defeasible pursuant to such Section 13.2 or 13.3, in accordance with any
applicable requirements provided pursuant to Section 3.1 and upon compliance with the conditions
set forth below in this Article. Any such election shall be evidenced by a Board Resolution or in
another manner specified as contemplated by Section 3.1 for such Securities.

Section 13.2 Defeasance and Discharge. 

     Upon the Company’s exercise of its option (if any) to have this Section applied to any
Securities or any series of Securities, as the case may be, the Company shall be deemed to have
been discharged from its obligations, and the provisions of Article 15 shall cease to be effective,
with respect to such Securities as provided in this Section on and after the date the conditions
set forth in Section 13.4 are satisfied (hereinafter called “Defeasance”). For this purpose, such
Defeasance means that the Company shall be deemed to have paid and discharged the entire
indebtedness represented by such Securities and to have satisfied all its other obligations under
such Securities and this Indenture insofar as such Securities are concerned (and the Trustee, at
the expense of the Company, shall execute proper instruments acknowledging the same), subject to
the following which shall survive until otherwise terminated or discharged hereunder:

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     (1) the rights of Holders of such Securities to receive, solely from the trust fund
described in Section 13.4 and as more fully set forth in such Section, payments in respect
of the principal of and any premium and interest on such Securities when payments are due,

     (2) the Company’s obligations with respect to such Securities under Sections 3.4, 3.5,
3.6, 10.2 and 10.3, and, if applicable, Article 14,

     (3) the rights, powers, trusts, duties and immunities of the Trustee hereunder, and

     (4) this Article.

     Subject to compliance with this Article, the Company may exercise its option (if any) to have
this Section applied to any Securities notwithstanding the prior exercise of its option (if any) to
have Section 13.3 applied to such Securities.

Section 13.3 Covenant Defeasance. 

     Upon the Company’s exercise of its option (if any) to have this Section applied to any
Securities or any series of Securities, as the case may be,

     (1) the Company shall be released from its obligations under any covenants provided
pursuant to Sections 3.1(19), 9.1(2) or 9.1(7) for the benefit of the Holders of such
Securities,

     (2) the occurrence of any event specified in Section 5.1(4) (with respect to any such
covenants provided pursuant to Section 3.1(19), 9.1(2) or 9.1(7)) and the occurrence of any
other Event of Default specified pursuant to Section 3.1 shall be deemed not to be or result
in an Event of Default, and

     (3) the provisions of Article 15 shall cease to be effective,

in each case with respect to such Securities or any series of Securities as provided in this
Section on and after the date the conditions set forth in Section 13.4 are satisfied (hereinafter
called “Covenant Defeasance”). For this purpose, such Covenant Defeasance means that, with respect
to such Securities, the Company may omit to comply with and shall have no liability in respect of
any term, condition or limitation set forth in any such specified Section (to the extent so
specified in the case of Section 5.1(4) and the occurrence of any Event of Default specified
pursuant to Section 3.1) or Article 15, whether directly or indirectly by reason of any reference
elsewhere herein to any such Section or Article or by reason of any reference in any such Section
or Article to any other provision herein or in any other document, but the remainder of this
Indenture and such Securities shall be unaffected thereby.

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Section 13.4 Conditions to Defeasance or Covenant Defeasance. 

     The following shall be the conditions to the application of Section 13.2 or Section 13.3 to
any Securities or any series of Securities, as the case may be:

     (1) The Company shall irrevocably have deposited or caused to be deposited with the
Trustee (or another trustee which satisfies the requirements contemplated by Section 6.9 and
agrees to comply with the provisions of this Article applicable to it) as trust funds in
trust for the purpose of making the following payments, specifically pledged as security
for, and dedicated solely to, the benefits of the Holders of such Securities,

     (A) in the case of Securities of a series denominated in currency of the United
States of America,

     (i) cash in currency of the United States of America in an amount, or

     (ii) U.S. Government Obligations which through the scheduled payment of
principal and interest in respect thereof in accordance with their terms will
provide, not later than one day before the due date of any payment, an amount
in cash, or

     (iii) a combination thereof, or

     (B) in the case of Securities of a series denominated in currency other than
that of the United States of America,

     (i) cash in the currency in which such series of Securities is
denominated in an amount, or

     (ii) Foreign Government Obligations which through the scheduled payment
of principal and interest in respect thereof in accordance with their terms
will provide, not later than one day before the due date of any payment, an
amount in cash, or

     (iii) a combination thereof,

in each case sufficient, in the opinion of a nationally recognized firm of independent
public accountants expressed in a written certification thereof delivered to the Trustee, to
pay and discharge, and which shall be applied by the Trustee (or any such other qualifying
trustee) to pay and discharge, the principal of and any premium and interest on such
Securities on the respective Stated Maturities, in accordance with the terms of this
Indenture and such Securities.

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     (2) For Securities denominated in United States dollars, in the event of an election to
have Section 13.2 apply to any Securities or any series of Securities, as the case may be,
the Company shall have delivered to the Trustee an Opinion of Counsel stating that

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

     (B) since the date of this instrument, there has been a change in the applicable
Federal income tax law,

in either case (A) or (B) to the effect that, and based thereon such opinion shall confirm
that, the Holders of such Securities will not recognize gain or loss for Federal income tax
purposes as a result of the deposit, Defeasance and discharge to be effected with respect to
such Securities and will be subject to Federal income tax on the same amount, in the same
manner
and at the same times as would be the case if such deposit, Defeasance and discharge were
not to occur.

     (3) For Securities denominated in United States dollars, in the event of an election to
have Section 13.3 apply to any Securities or any series of Securities, as the case may be,
the Company shall have delivered to the Trustee an Opinion of Counsel to the effect that the
Holders of such Securities will not recognize gain or loss for Federal income tax purposes
as a result of the deposit and Covenant Defeasance to be effected with respect to such
Securities and will be subject to Federal income tax on the same amount, in the same manner
and at the same times as would be the case if such deposit and Covenant Defeasance were not
to occur.

     (4) The Company shall have delivered to the Trustee an Officers’ Certificate to the
effect that neither such Securities nor any other Securities of the same series, if then
listed on any securities exchange, will be delisted as a result of such deposit.

     (5) No event which is, or after notice or lapse of time or both would become, an Event
of Default with respect to such Securities or any other Securities shall have occurred and
be continuing at the time of such deposit or, with regard to any such event specified in
Sections 5.1(5) and (6), at any time on or prior to the 90th day after the date of such
deposit (it being understood that this condition shall not be deemed satisfied until after
such 90th day).

     (6) Such Defeasance or Covenant Defeasance shall not cause the Trustee to have a
conflicting interest within the meaning of the Trust Indenture Act (assuming all Securities
are in default within the meaning of such Act).

     (7) Such Defeasance or Covenant Defeasance shall not result in a breach or violation
of, or constitute a default under, this Indenture or any other agreement or instrument to
which the Company is a party or by which it is bound.

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     (8) Such Defeasance or Covenant Defeasance shall not result in the trust arising from
such deposit constituting an investment company within the meaning of the Investment Company
Act unless such trust shall be registered under such Act or exempt from registration
thereunder.

     (9) At the time of such deposit,

     (A) no default in the payment of any principal of or premium or interest on any
Senior Debt shall have occurred and be continuing,

     (B) no event of default with respect to any Senior Debt shall have resulted in
such Senior Debt becoming, and continuing to be, due and payable prior to the date on
which it would otherwise have become due and payable (unless payment of such Senior
Debt has been made or duly provided for), and

     (C) no other event of default with respect to any Senior Debt shall have
occurred and be continuing permitting (after notice or lapse of time or both) the
holders of such Senior Debt (or a trustee on behalf of such holders) to declare such
Senior Debt due and payable prior to the date on which it would otherwise have become
due and payable.

     (10) The Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that all conditions precedent with respect to such
Defeasance or Covenant Defeasance have been complied with.

Section 13.5 Deposited Money, U.S. Government Obligations and Foreign Government Obligations to be
Held in Trust; Miscellaneous Provisions.

     Subject to the provisions of the last paragraph of Section 10.3, all money, U.S. Government
Obligations and Foreign Government Obligations (including the proceeds thereof) deposited with the
Trustee or other qualifying trustee (solely for purposes of this Section and Section 13.6, the
Trustee and any such other trustee are referred to collectively as the “Trustee”) pursuant to
Section 13.4 in respect of any Securities shall be held in trust and applied by the Trustee, in
accordance with the provisions of such Securities and this Indenture, to the payment, either
directly or through any such Paying Agent (including the Company acting as its own Paying Agent) as
the Trustee may determine, to the Holders of such Securities, of all sums due and to become due
thereon in respect of principal and any premium and interest, but money so held in trust need not
be segregated from other funds except to the extent required by law. Money, U.S. Government
Obligations and Foreign Government Obligations so held in trust shall not be subject to the
provisions of Article 15.

     The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed
on or assessed against the U.S. Government Obligations or Foreign Government Obligations deposited
pursuant to Section 13.4 or the principal and interest received in respect

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thereof other than any
such tax, fee or other charge which by law is for the account of the Holders of Outstanding
Securities.

     Anything in this Article to the contrary notwithstanding, the Trustee shall deliver or pay to
the Company from time to time upon Company Request any money, U.S. Government Obligations or
Foreign Government Obligations held by it as provided in Section 13.4 with respect to any
Securities which, in the opinion of a nationally recognized firm of independent public accountants
expressed in a written certification thereof delivered to the Trustee, are in excess of the amount
thereof which would then be required to be deposited to effect the Defeasance or Covenant
Defeasance, as the case may be, with respect to such Securities.

Section 13.6 Reinstatement. 

     If the Trustee or the Paying Agent is unable to apply any money in accordance with this
Article with respect to any Securities by reason of any order or judgment of any court or
governmental authority enjoining, restraining or otherwise prohibiting such application, then the
obligations under this Indenture and such Securities from which the Company has been discharged or
released pursuant to Section 13.2 or 13.3 shall be revived and reinstated as though no deposit had
occurred pursuant to this Article with respect to such Securities, until such time as the Trustee
or Paying Agent is permitted to apply all money held in trust pursuant to Section 13.5 with respect
to such Securities in accordance with this Article; provided, however, that if the
Company makes any payment of principal of or any premium or interest on any such Security following
such reinstatement of its obligations, the Company shall be subrogated to the rights (if any) of
the Holders of such Securities to receive such payment from the money so held in trust.

ARTICLE 14

CONVERSION OF SECURITIES

Section 14.1 Applicability of Article. 

     The provisions of this Article shall be applicable to the Securities of any series which are
convertible into shares of Common Stock of the Company, and the issuance of such shares of Common
Stock upon the conversion of such Securities, except as otherwise specified as contemplated by
Section 3.1 for the Securities of such series or in a supplemental indenture for Securities of such
series.

Section 14.2 Exercise of Conversion Privilege. 

     In order to exercise a conversion privilege, the Holder of a Security of a series with such a
privilege shall surrender such Security to the Company at the office or agency maintained for that
purpose pursuant to Section 10.2, accompanied by a duly executed conversion notice to the Company
substantially in the form set forth in Section 2.6 stating that the Holder elects to convert such
Security or a specified portion thereof. Such notice shall also state, if different from the name
and address of such Holder, the name or names (with address) in which the certificate or
certificates

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for shares of Common Stock, which shall be issuable on such conversion, shall be
issued. Securities surrendered for conversion shall (if so required by the Company or the Trustee)
be duly endorsed by or accompanied by instruments of transfer in forms satisfactory to the Company
and the Trustee duly executed by the Holder or its attorney duly authorized in writing. As
promptly as practicable after the receipt of such notice and of any payment required pursuant to a
Board Resolution and, subject to Section 3.3, set forth, or determined in the manner provided, in
an Officers’ Certificate, or established in one or more indentures supplemental hereto setting
forth the terms of such series of Security, and the surrender of such Security in accordance with
such reasonable regulations as the Company may prescribe, the Company shall issue and shall
deliver, at the office or agency at which
such Security is surrendered, to such Holder or on its written order, a certificate or
certificates for the number of full shares of Common Stock issuable upon the conversion of such
Security (or specified portion thereof), in accordance with the provisions of such Board
Resolution, Officers’ Certificate or supplemental indenture, and cash as provided therein in
respect of any fractional share of such Common Stock otherwise issuable upon such conversion. Such
conversion shall be deemed to have been effected immediately prior to the close of business on the
date on which such notice and such payment, if required, shall have been received in proper order
for conversion by the Company and such Security shall have been surrendered as aforesaid (unless
such Holder shall have so surrendered such Security and shall have instructed the Company to effect
the conversion on a particular date following such surrender and such Holder shall be entitled to
convert such Security on such date, in which case such conversion shall be deemed to be effected
immediately prior to the close of business on such date) and at such time the rights of the Holder
of such Security as such Security Holder shall cease and the person or persons in whose name or
names any certificate or certificates for shares of Common Stock of the Company shall be issuable
upon such conversion shall be deemed to have become the Holder or Holders of record of the shares
represented thereby. Except as set forth above and subject to the final paragraph of Section 3.7,
no payment or adjustment shall be made upon any conversion on account of any interest accrued on
the Securities (or any part thereof) surrendered for conversion or on account of any dividends on
the Common Stock of the Company issued upon such conversion.

     In the case of any Security which is converted in part only, upon such conversion the Company
shall execute and the Trustee shall authenticate and deliver to or on the order of the Holder
thereof, at the expense of the Company, a new Security or Securities of the same series, of
authorized denominations, in aggregate principal amount equal to the unconverted portion of such
Security.

Section 14.3 No Fractional Shares. 

     No fractional share of Common Stock of the Company shall be issued upon conversions of
Securities of any series. If more than one Security shall be surrendered for conversion at one
time by the same Holder, the number of full shares which shall be issuable upon conversion shall be
computed on the basis of the aggregate principal amount of the Securities (or specified portions
thereof to the extent permitted hereby) so surrendered. If, except for the provisions of this
Section 14.3, any Holder of a Security or Securities would be entitled to a fractional share of
Common Stock of the Company upon the conversion of such Security or Securities, or specified

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portions thereof, the Company shall pay to such Holder an amount in cash equal to the current
market value of such fractional share computed, (i) if such Common Stock is listed or admitted to
unlisted trading privileges on a national securities exchange or market, on the basis of the last
reported sale price regular way on such exchange or market on the last trading day prior to the
date of conversion upon which such a sale shall have been effected, or (ii) if such Common Stock is
not at the time so listed or admitted to unlisted trading privileges on a national securities
exchange or market, on the basis of the average of the bid and asked prices of such Common Stock in
the over-
the-counter market, on the last trading day prior to the date of conversion, as reported by
the National Quotation Bureau, Incorporated or similar organization if the National Quotation
Bureau, Incorporated is no longer reporting such information, or if not so available, the fair
market price as determined by the Board of Directors. For purposes of this Section, “trading day”
shall mean each Monday, Tuesday, Wednesday, Thursday and Friday other than any day on which the
Common Stock is not traded on the Nasdaq National Market, or if the Common Stock is not traded on
the Nasdaq National Market, on the principal exchange or market on which the Common Stock is traded
or quoted.

Section 14.4 Adjustment of Conversion Price or Conversion Rate. 

     The conversion price or conversion rate, as the case may be, of Securities of any series that
is convertible into Common Stock of the Company shall be adjusted for any stock dividends, stock
splits, reclassifications, combinations or similar transactions in accordance with the terms of the
supplemental indenture or Board Resolutions setting forth the terms of the Securities of such
series.

     Whenever the conversion price or conversion rate, as the case may be, is adjusted, the Company
shall compute the adjusted conversion price or conversion rate, as the case may be, in accordance
with terms of the applicable Board Resolution or supplemental indenture and shall prepare an
Officers’ Certificate setting forth the adjusted conversion price or conversion rate, as the case
may be, and showing in reasonable detail the facts upon which such adjustment is based, and such
certificate shall forthwith be filed at each office or agency maintained for the purpose of
conversion of Securities pursuant to Section 10.2 and, if different, with the Trustee. The Company
shall forthwith cause a notice setting forth the adjusted conversion price or conversion rate, as
the case may be, to be mailed, first class postage prepaid, to each Holder of Securities of such
series at its address appearing on the Security Register and to any conversion agent other than the
Trustee.

Section 14.5 Notice of Certain Corporate Actions. 

     In case:

     (1) the Company shall declare a dividend (or any other distribution) on its Common
Stock payable otherwise than in cash out of its retained earnings (other than a dividend for
which approval of any shareholders of the Company is required) that would require an
adjustment pursuant to Section 14.4; or

     (2) the Company shall authorize the granting to all or substantially all of the holders
of its Common Stock of rights, options or warrants to subscribe for or purchase any

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shares
of capital stock of any class or of any other rights (other than any such grant for which
approval of any shareholders of the Company is required); or

     (3) of any reclassification of the Common Stock of the Company (other than a
subdivision or combination of its outstanding shares of Common Stock, or of any
consolidation, merger or share exchange to which the Company is a party and for which
approval of any shareholders of the Company is required), or of the sale of all or
substantially all of the assets of the Company; or

     (4) of the voluntary or involuntary dissolution, liquidation or winding up of the
Company;

then the Company shall cause to be filed with the Trustee, and shall cause to be mailed to
all Holders at their last addresses as they shall appear in the Security Register, at least
20 days (or 10 days in any case specified in clause (1) or (2) above) prior to the
applicable record date hereinafter specified, a notice stating (i) the date on which a
record is to be taken for the purpose of such dividend, distribution, rights, options or
warrants, or, if a record is not to be taken, the date as of which the holders of Common
Stock of record to be entitled to such dividend, distribution, rights, options or warrants
are to be determined, or (ii) the date on which such reclassification, consolidation,
merger, share exchange, sale, dissolution, liquidation or winding up is expected to become
effective, and the date as of which it is expected that holders of Common Stock of record
shall be entitled to exchange their shares of Common Stock for securities, cash or other
property deliverable upon such reclassification, consolidation, merger, share exchange,
sale, dissolution, liquidation or winding up. If at any time the Trustee shall not be the
conversion agent, a copy of such notice shall also forthwith be filed by the Company with
the Trustee.

Section 14.6 Reservation of Shares of Common Stock. 

     The Company shall at all times reserve and keep available, free from preemptive rights, out of
its authorized but unissued Common Stock, for the purpose of effecting the conversion of
Securities, the full number of shares of Common Stock of the Company then issuable upon the
conversion of all outstanding Securities of any series that has conversion rights.

Section 14.7 Payment of Certain Taxes upon Conversion. 

     Except as provided in the next sentence, the Company will pay any and all taxes that may be
payable in respect of the issue or delivery of shares of its Common Stock on conversion of
Securities pursuant hereto. The Company shall not, however, be required to pay any tax which may
be payable in respect of any transfer involved in the issue and delivery of shares of its Common
Stock in a name other than that of the Holder of the Security or Securities to be converted, and no
such issue or delivery shall be made unless and until the person requesting such issue has paid to
the Company the amount of any such tax, or has established, to the satisfaction of the Company,
that such tax has been paid.

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Section 14.8 Nonassessability. 

     The Company covenants that all shares of its Common Stock that may be issued upon conversion
of Securities will upon issue in accordance with the terms hereof be duly and validly issued and
fully paid and nonassessable.

Section 14.9 Provision in Case of Consolidation, Merger or Sale of Assets. 

     In case of any consolidation or merger of the Company with or into any other Person, any
merger of another Person with or into the Company (other than a merger which does not result in any
reclassification, conversion, exchange or cancellation of outstanding shares of Common Stock of the
Company) or any conveyance, sale, transfer or lease of all or substantially all of the assets of
the Company, the Person formed by such consolidation or resulting from such merger or which
acquires such assets, as the case may be, shall execute and deliver to the Trustee a supplemental
indenture providing that the Holder of each Security of a series then Outstanding that is
convertible into Common Stock of the Company shall have the right thereafter (which right shall be
the exclusive conversion right thereafter available to said Holder), during the period such
Security shall be convertible, to convert such Security only into the kind and amount of
securities, cash and other property receivable upon such consolidation, merger, conveyance, sale,
transfer or lease by a holder of the number of shares of Common Stock of the Company into which
such Security might have been converted immediately prior to such consolidation, merger,
conveyance, sale, transfer or lease, assuming such holder of Common Stock of the Company (i) is not
a Person with which the Company consolidated or merged with or into or which merged into or with
the Company or to which such conveyance, sale, transfer or lease was made, as the case may be (a
“Constituent Person”), or an Affiliate of a Constituent Person and (ii) failed to exercise his
rights of election, if any, as to the kind or amount of securities, cash and other property
receivable upon such consolidation, merger, conveyance, sale, transfer or lease (provided that if
the kind or amount of securities, cash and other property receivable upon such consolidation,
merger, conveyance, sale, transfer, or lease is not the same for each share of Common Stock of the
Company held immediately prior to such consolidation, merger, conveyance, sale, transfer or lease
by others than a Constituent Person or an Affiliate thereof and in respect of which such rights of
election shall not have been exercised (“Non-electing Share”), then for the purpose of this
Section 14.9 the kind and amount of securities, cash and other property receivable upon such
consolidation, merger, conveyance, sale, transfer or lease by the holders of each Non-electing
Share shall be deemed to be the kind and amount so receivable per share by a plurality of the
Non-electing Shares). Such supplemental indenture shall provide for adjustments which, for events
subsequent to the effective date of such supplemental indenture, shall be as nearly equivalent as
may be practicable to the adjustments provided for in this Article or in accordance with the terms
of the supplemental indenture or Board Resolutions setting forth the terms of such adjustments.
The above provisions of this Section 14.9 shall similarly apply to successive consolidations,
mergers, conveyances, sales, transfers or leases. Notice of the execution of such a supplemental
indenture shall be given by the Company to the
Holder of each Security of a series that is convertible into Common Stock of the Company as
provided in Section 1.6 promptly upon such execution.

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     Neither the Trustee nor any conversion agent, if any, shall be under any responsibility to
determine the correctness of any provisions contained in any such supplemental indenture relating
either to the kind or amount of shares of stock or other securities or property or cash receivable
by Holders of Securities of a series convertible into Common Stock of the Company upon the
conversion of their Securities after any such consolidation, merger, conveyance, transfer, sale or
lease or to any such adjustment, but may accept as conclusive evidence of the correctness of any
such provisions, and shall be protected in relying upon, an Opinion of Counsel with respect
thereto, which the Company shall cause to be furnished to the Trustee upon request.

Section 14.10 Duties of Trustee Regarding Conversion. 

     Neither the Trustee nor any conversion agent shall at any time be under any duty or
responsibility to any Holder of Securities of any series that is convertible into Common Stock of
the Company to determine whether any facts exist which may require any adjustment of the conversion
price or conversion rate, as the case may be, or with respect to the nature or extent of any such
adjustment when made, or with respect to the method employed, whether herein or in any supplemental
indenture, any resolutions of the Board of Directors or written instrument executed by one or more
officers of the Company provided to be employed in making the same. Neither the Trustee nor any
conversion agent shall be accountable with respect to the validity or value (or the kind or amount)
of any shares of Common Stock of the Company, or of any securities or property, which may at any
time be issued or delivered upon the conversion of any Securities and neither the Trustee nor any
conversion agent makes any representation with respect thereto. Subject to the provisions of
Section 6.1, neither the Trustee nor any conversion agent shall be responsible for any failure of
the Company to issue, transfer or deliver any shares of its Common Stock or stock certificates or
other securities or property upon the surrender of any Security for the purpose of conversion or to
comply with any of the covenants of the Company contained in this Article 14 or in the applicable
supplemental indenture, resolutions of the Board of Directors or written instrument executed by one
or more duly authorized officers of the Company.

Section 14.11 Repayment of Certain Funds upon Conversion. 

     Any funds which at any time shall have been deposited by the Company or on its behalf with the
Trustee or any other paying agent for the purpose of paying the principal of, and premium, if any,
and interest, if any, on any of the Securities (including, but not limited to, funds deposited for
the sinking fund referred to in Article 12 hereof and funds deposited pursuant to Article 13
hereof) and which shall not be required for such purposes because of the conversion of such
Securities as provided in this Article 14 shall after such conversion be repaid to the Company by
the Trustee upon the Company’s written request.

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ARTICLE 15

SUBORDINATION OF SECURITIES

Section 15.1 Agreement of Subordination. 

     Except as otherwise provided in a supplemental indenture or pursuant to Section 3.1, the
Company covenants and agrees, and each Holder of Securities issued hereunder by its acceptance
thereof likewise covenants and agrees, that all Securities shall be issued subject to the
provisions of this Article 15; and each Person holding any Security, whether upon original issue or
upon transfer, assignment or exchange thereof, accepts and agrees to be bound by such provisions.

     The payment of the principal of, premium, if any, and interest on all Securities (including,
but not limited to, the redemption price with respect to the Securities called for redemption in
accordance with Article 11 as provided in the Indenture) issued hereunder shall, to the extent and
in the manner hereinafter set forth, be subordinated and subject in right of payment to the prior
payment in full of all Senior Debt, whether outstanding at the date of this Indenture or thereafter
incurred.

     No provision of this Article 15 shall prevent the occurrence of any default or Event of
Default hereunder.

Section 15.2 Payments to Holders. 

     No payment shall be made with respect to the principal of, or premium, if any, or interest on
the Securities (including, but not limited to, the redemption price with respect to the Securities
to be called for redemption in accordance with Article 11 as provided in the Indenture), except
payments and distributions made by the Trustee as permitted by the first or second paragraph of
Section 15.5, if:

     (i) a default in the payment of principal, premium, if any, interest,
rent or other obligations due on any Senior Debt occurs and is continuing
(or, in the case of Senior Debt for which there is a period of grace, in the
event of such a default that continues beyond the period of grace, if any,
specified in the instrument or lease evidencing such Senior Debt) (a “Payment
Default”), unless and until such default shall have been cured or waived or
shall have ceased to exist; or

     (ii) a default, other than a Payment Default, on any Designated Senior
Debt occurs and is continuing that then permits holders of such Designated
Senior Debt to accelerate its maturity and the Trustee receives a
notice of the default (a “Payment Blockage Notice”) from a holder of
Designated Senior Debt, a Representative of Designated Senior Debt or the
Company (a “Non-Payment Default”).

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     If the Trustee receives any Payment Blockage Notice pursuant to clause (ii) above, no
subsequent Payment Blockage Notice shall be effective for purposes of this Section unless and until
at least 365 days shall have elapsed since the initial effectiveness of the immediately prior
Payment Blockage Notice. No Non-Payment Default that existed or was continuing on the date of
delivery of any Payment Blockage Notice to the Trustee shall be, or be made, the basis for a
subsequent Payment Blockage Notice.

     The Company may and shall resume payments on and distributions in respect of the Securities
upon the earlier of:

     (1) in the case of any Payment Default, the date upon which the Payment Default is
cured or waived or ceases to exist, or

     (2) in the case of a Non-Payment Default, the earlier of (a) the date upon which such
Non-Payment Default is cured, waived or ceases to exist or (b) 179 days after the date on
which the applicable Payment Blockage Notice is received by the Trustee,

unless this Article 15 otherwise prohibits the payment or distribution at such time.

     Upon any payment or distribution of assets of the Company of any kind or character, whether in
cash, property or securities, to creditors upon any dissolution or winding-up or liquidation or
reorganization of the Company, whether voluntary or involuntary or in bankruptcy, insolvency,
reorganization, liquidation, receivership or other proceedings, or upon an assignment for the
benefit of creditors or any marshalling of the assets and liabilities of the Company, or otherwise,
all amounts due or to become due upon all Senior Debt shall first be paid in full in cash or other
payment satisfactory to the holders of such Senior Debt, or payment thereof in accordance with its
terms provided for in cash or other payment satisfactory to the holders of such Senior Debt, before
any payment is made on account of the principal of, premium, if any, or interest on the Securities
(except payments made pursuant to Article 4 from monies deposited with the Trustee pursuant thereto
prior to commencement of proceedings for such dissolution, winding-up, liquidation, reorganization,
assignment for the benefit of creditors or the marshalling of assets and liabilities of the
Company); and upon any such dissolution, winding-up, liquidation, reorganization, assignment for
the benefit of creditors or marshalling of assets and liabilities of the Company or bankruptcy,
insolvency, receivership or other proceeding, any payment by the Company, or distribution of assets
of the Company of any kind or character, whether in cash, property or securities, to which the
Holders of the Securities or the Trustee would be entitled, except for the provision of this
Article 15, shall (except as aforesaid) be paid by the Company or by any receiver, trustee in
bankruptcy, liquidating trustee, agent or other Person making such payment or distribution, or by
the Holders of the Securities or by the Trustee under this Indenture if received by them or it,
directly to the holders of Senior Debt (pro rata to such holders on the basis of the respective
amounts of Senior Debt held by such holders, or as otherwise required by law or a court order) or
their Representative or
Representatives, or to the trustee or trustees under any indenture pursuant to which any
instruments evidencing any Senior Debt may have been issued, as their respective interests may
appear, to the extent necessary to pay all Senior Debt in full, in cash or other payment
satisfactory to the holders of such Senior Debt, after giving effect to any concurrent payment or
distribution to or for the holders

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of Senior Debt, before any payment or distribution or provision
therefor is made to the Holders of the Securities or to the Trustee.

     For purposes of this Article 15, the words, “cash, property or securities” shall not be deemed
to include shares of stock of the Company as reorganized or readjusted, or securities of the
Company or any other corporation provided for by a plan of reorganization or readjustment, the
payment of which is subordinated at least to the extent provided in this Article 15 with respect to
the Securities to the payment of all Senior Debt which may at the time be outstanding;
provided that (i) the Senior Debt is assumed by the new corporation, if any, resulting from
any reorganization or readjustment, and (ii) the rights of the holders of Senior Debt (other than
leases which are not assumed by the Company or the new corporation, as the case may be) are not,
without the consent of such holders, altered by such reorganization or readjustment. The
consolidation of the Company with, or the merger of the Company into, another corporation or the
liquidation or dissolution of the Company following the conveyance or transfer of its property as
an entirety, or substantially as an entirety, to another corporation upon the terms and conditions
provided for in Article 8 shall not be deemed a dissolution, winding-up, liquidation or
reorganization for the purposes of this Section 15.2 if such other corporation shall, as a part of
such consolidation, merger, conveyance or transfer, comply with the conditions stated in Article 8.

     In the event of the acceleration of the Securities because of an Event of Default, no payment
or distribution shall be made to the Trustee or any Holder of Securities in respect of the
principal of, premium, if any, or interest on the Securities (including, but not limited to, the
redemption price with respect to the Securities called for redemption in accordance with Article 11
as provided in the Indenture), except payments and distributions made by the Trustee as permitted
by the first or second paragraph of Section 15.5, until all Senior Debt has been paid in full in
cash or other payment satisfactory to the holders of Senior Debt or such acceleration is rescinded
in accordance with the terms of this Indenture. If payment of the Securities is accelerated
because of an Event of Default, the Company shall promptly notify holders of Senior Debt of the
acceleration.

     In the event that, notwithstanding the foregoing provisions, any payment or distribution of
assets of the Company of any kind or character, whether in cash, property or securities (including,
without limitation, by way of setoff or otherwise), prohibited by the foregoing, shall be received
by the Trustee or the Holders of the Securities before all Senior Debt is paid in full in cash or
other payment satisfactory to the holders of such Senior Debt, or provision is made for such
payment thereof in accordance with its terms in cash or other payment satisfactory to the holders
of such Senior Debt, such payment or distribution shall be held in trust for the benefit of and
shall be paid over or delivered to the holders of Senior Debt or their Representative or
Representatives, or to the trustee or trustees under any indenture pursuant to which any
instruments evidencing any Senior Debt may have been issued, as their respective interests may
appear, as calculated by the Company, for application to the payment of all Senior Debt remaining
unpaid to the extent necessary to pay all
Senior Debt in full in cash or other payment satisfactory to the holders of such Senior Debt,
after giving effect to any concurrent payment or distribution to or for the holders of such Senior
Debt.

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     Nothing in this Section 15.2 shall apply to claims of, or payments to, the Trustee under or
pursuant to Section 6.7. This Section 15.2 shall be subject to the further provisions of
Section 15.5.

Section 15.3 Subrogation of Securities. 

     Subject to the payment in full of all Senior Debt, the rights of the Holders of the Securities
shall be subrogated to the extent of the payments or distributions made to the holders of such
Senior Debt pursuant to the provisions of this Article 15 (equally and ratably with the holders of
all indebtedness of the Company which by its express terms is subordinated to other indebtedness of
the Company to substantially the same extent as the Securities are subordinated and is entitled to
like rights of subrogation) to the rights of the holders of Senior Debt to receive payments or
distributions of cash, property or securities of the Company applicable to the Senior Debt until
the principal, premium, if any, and interest on the Securities shall be paid in full; and, for the
purposes of such subrogation, no payments or distributions to the holders of the Senior Debt of any
cash, property or securities to which the Holders of the Securities or the Trustee would be
entitled except for the provisions of this Article 15, and no payment over pursuant to the
provisions of this Article 15, to or for the benefit of the holders of Senior Debt by Holders of
the Securities or the Trustee, shall, as between the Company, its creditors other than holders of
Senior Debt, and the Holders of the Securities, be deemed to be a payment by the Company to or on
account of the Senior Debt; and no payments or distributions of cash, property or securities to or
for the benefit of the Holders of the Securities pursuant to the subrogation provisions of this
Article 15, which would otherwise have been paid to the holders of Senior Debt shall be deemed to
be a payment by the Company to or for the account of the Securities. It is understood that the
provisions of this Article 15 are and are intended solely for the purposes of defining the relative
rights of the Holders of the Securities, on the one hand, and the holders of the Senior Debt, on
the other hand.

     Nothing contained in this Article 15 or elsewhere in this Indenture or in the Securities is
intended to or shall impair, as among the Company, its creditors other than the holders of Senior
Debt, and the Holders of the Securities, the obligation of the Company, which is absolute and
unconditional, to pay to the Holders of the Securities the principal of (and premium, if any) and
interest on the Securities as and when the same shall become due and payable in accordance with
their terms, or is intended to or shall affect the relative rights of the Holders of the Securities
and creditors of the Company other than the holders of the Senior Debt, nor shall anything herein
or therein prevent the Trustee or the Holder of any Security from exercising all remedies otherwise
permitted by applicable law upon default under this Indenture, subject to the rights, if any, under
this Article 15 of the holders of Senior Debt in respect of cash, property or securities of the
Company received upon the exercise of any such remedy.

     Upon any payment or distribution of assets of the Company referred to in this Article 15, the
Trustee, subject to the provisions of Section 6.1, and the Holders of the Securities shall be
entitled to
rely upon any order or decree made by any court of competent jurisdiction in which such
bankruptcy, dissolution, winding-up, liquidation or reorganization proceedings are pending, or a
certificate of the receiver, trustee in bankruptcy, liquidating trustee, agent or other person
making such payment or distribution, delivered to the Trustee or to the Holders of the Securities,
for the

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purpose of ascertaining the persons entitled to participate in such distribution, the
holders of the Senior Debt and other indebtedness of the Company, the amount thereof or payable
thereon and all other facts pertinent thereto or to this Article 15.

Section 15.4 Authorization to Effect Subordination. 

     Each Holder of a Security by the holder’s acceptance thereof authorizes and directs the
Trustee on the holder’s behalf to take such action as may be necessary or appropriate to effectuate
the subordination as provided in this Article 15 and appoints the Trustee to act as the holder’s
attorney-in-fact for any and all such purposes. If the Trustee does not file a proper proof of
claim or proof of debt in the form required in any proceeding referred to in Section 5.4 hereof at
least 30 days before the expiration of the time to file such claim, the holders of any Senior Debt
or their representatives are hereby authorized to file an appropriate claim for and on behalf of
the Holders of the Securities.

Section 15.5 Notice to Trustee. 

     The Company shall give prompt written notice in the form of an Officers’ Certificate to a
Responsible Officer of the Trustee and to any Paying Agent of any fact known to the Company which
would prohibit the making of any payment of monies to or by the Trustee or any Paying Agent in
respect of the Securities pursuant to the provisions of this Article 15. Notwithstanding the
provisions of this Article 15 or any other provision of this Indenture, the Trustee shall not be
charged with knowledge of the existence of any facts which would prohibit the making of any payment
of monies to or by the Trustee in respect of the Securities pursuant to the provisions of this
Article 15, unless and until a Responsible Officer of the Trustee shall have received written
notice thereof at the Corporate Trust Office from the Company (in the form of an Officers’
Certificate) or a Representative or a holder or holders of Senior Debt or from any trustee
therefor; and before the receipt of any such written notice, the Trustee, subject to the provisions
of Section 6.1, shall be entitled in all respects to assume that no such facts exist;
provided that if on a date not fewer than two Business Days prior to the date upon which by
the terms hereof any such monies may become payable for any purpose (including, without limitation,
the payment of the principal of, or premium, if any, or interest on any Security) the Trustee shall
not have received, with respect to such monies, the notice provided for in this Section 15.5, then,
anything herein contained to the contrary notwithstanding, the Trustee shall have full power and
authority to receive such monies and to apply the same to the purpose for which they were received,
and shall not be affected by any notice to the contrary which may be received by it on or after
such prior date.

     Notwithstanding anything in this Article 15 to the contrary, nothing shall prevent any payment
by the Trustee to the Holders of monies deposited with it pursuant to Section 4.1, and any such
payment shall not be subject to the provisions of Section 15.1 or 15.2.

     The Trustee, subject to the provisions of Section 6.1, shall be entitled to rely on the
delivery to it of a written notice by a Representative or a person representing himself to be a
holder of Senior Debt (or a trustee on behalf of such holder) to establish that such notice has
been given by a Representative or a holder of Senior Debt or a trustee on behalf of any such holder
or holders. The

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Trustee shall not be required to make any payment or distribution to or on behalf
of a holder of Senior Debt pursuant to this Article 15 unless it has received satisfactory evidence
as to the amount of Senior Debt held by such person, the extent to which such person is entitled to
participate in such payment or distribution and any other facts pertinent to the rights of such
person under this Article 15.

Section 15.6 Trustee’s Relation to Senior Debt. 

     The Trustee in its individual capacity shall be entitled to all the rights set forth in this
Article 15 in respect of any Senior Debt at any time held by it, to the same extent as any other
holder of Senior Debt, and nothing in this Indenture shall deprive the Trustee of any of its rights
as such holder.

     With respect to the holders of Senior Debt, the Trustee undertakes to perform or to observe
only such of its covenants and obligations as are specifically set forth in this Article 15, and no
implied covenants or obligations with respect to the holders of Senior Debt shall be read into this
Indenture against the Trustee. The Trustee shall not be deemed to owe any fiduciary duty to the
holders of Senior Debt and, subject to the provisions of Section 6.1, the Trustee shall not be
liable to any holder of Senior Debt (i) for any failure to make any payments or distributions to
such holders or (ii) if it shall pay over or deliver to Holders of Securities, the Company or any
other Person money or assets to which any holder of Senior Debt shall be entitled by virtue of this
Article 15 or otherwise.

Section 15.7 No Impairment of Subordination. 

     No right of any present or future holder of any Senior Debt to enforce subordination as herein
provided shall at any time in any way be prejudiced or impaired by any act or failure to act on the
part of the Company or by any act or failure to act, in good faith, by any such holder, or by any
noncompliance by the Company, the Trustee or any Holder of Securities with the terms, provisions
and covenants of this Indenture, regardless of any knowledge thereof which any such holder may have
or otherwise be charged with.

Section 15.8 Certain Conversions/Exchanges Deemed Payment. 

     For the purposes of this Article 15 only, (1) the issuance and delivery of junior securities
upon conversion or exchange of Securities in accordance with Article 14 or otherwise (except upon
conversion of the Securities in accordance with their terms) shall not be deemed to constitute a
payment or distribution on account of the principal of (or premium, if any) or interest on
Securities or on account of the purchase or other acquisition of Securities, and (2) the payment,
issuance or delivery of cash (except in satisfaction of fractional shares pursuant to
Section 14.3), property or securities (other than junior securities) upon conversion or exchange of
a Security shall be deemed to constitute payment on account of the principal of such Security. For
the purposes of this Section 15.8, the term “junior securities” means (a) shares of any stock of
any class of the Company, or (b) securities of the Company which are subordinated in right of
payment to all Senior Debt which may be outstanding at the time of issuance or delivery of such
securities to substantially the

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same extent as, or to a greater extent than, the Securities are so
subordinated as provided in this Article. Nothing contained in this Article 15 or elsewhere in
this Indenture or in the Securities is intended to or shall impair, as among the Company, its
creditors other than holders of Senior Debt and the Holders of Securities, the right, which is
absolute and unconditional, of the Holder of any Security to convert such Security in accordance
with Article 14.

Section 15.9 Article Applicable to Paying Agents. 

     If 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 shall (unless the
context otherwise requires) be construed as extending to and including such Paying Agent within its
meaning as fully for all intents and purposes as if such Paying Agent were named in this Article in
addition to or in place of the Trustee; provided, however, that the first paragraph
of Section 15.5 shall not apply to the Company or any Affiliate of the Company if the Company or
such Affiliate acts as Paying Agent.

     The Trustee shall not be responsible for the actions or inactions of any other Paying Agents
(including the Company if acting as its own Paying Agent) and shall have no control of any funds
held by such other Paying Agents.

Section 15.10 Senior Debt Entitled to Rely. 

     The holders of Senior Debt (including, without limitation, Designated Senior Debt) shall have
the right to rely upon this Article 15, and no amendment or modification of the provisions
contained herein shall diminish the rights of such holders unless such holders shall have agreed in
writing thereto.

Section 15.11 Reliance on Judicial Order or Certificate of Liquidating Agent. 

     Upon any payment or distribution of assets of the Company referred to in this Article, the
Trustee and the Holders shall be entitled to rely upon any order or decree entered by any court of
competent jurisdiction in which such dissolution, winding up, liquidation, reorganization,
assignment for the benefit of creditors or marshalling of assets and liabilities of the Company or
bankruptcy, insolvency, receivership or other like proceeding is pending, or a certificate of the
trustee in bankruptcy, liquidating trustee, custodian, receiver, assignee for the benefit of
creditors, agent or other person making such payment or distribution, delivered to the Trustee or
to the Holders, for the purpose of ascertaining the persons entitled to participate in such payment
or distribution, the holders of Senior Debt and other indebtedness of the Company, the amount
thereof or payable thereon, the amount or amounts paid or distributed thereon and all other facts
pertinent thereto or to this Article.

Section 15.12 Trust Monies Not Subordinated.

     Notwithstanding anything contained herein to the contrary, payments from money, U.S.
Government Obligations and/or Foreign Government Obligations held in trust under Article 4 or

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Article 13 by the Trustee for the payment of the principal of, premium, if any, and interest on the
Securities shall not be subordinated to the prior payment in full of any Senior Debt of the Company
or subject to the restrictions set forth in this Article 15, and none of the Holders shall be
obligated to pay over any such amount to the Company or any holder of Senior Debt of the Company or
any other creditor of the Company.

[The remainder of this page is intentionally left blank.]

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

	 	 	 	 	 	 	 
	 	 	ONCOTHYREON INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	                    ,	 	 
	 	 	as Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:exv10w2

 

Exhibit 10.2

FORM
OF
TAX SHARING AND INDEMNIFICATION AGREEMENT

          This Tax Sharing and Indemnification Agreement (this “Agreement”) is entered into on [          ],
2008, among Cadbury Schweppes plc (“CS”), a United Kingdom public limited company, on behalf of
itself and the members of the Cadbury Group, as defined below (other than Cadbury plc (“Cadbury”),
a United Kingdom public limited company), and Dr Pepper Snapple Group, Inc. (“DPS”), a Delaware
corporation, on behalf of itself and the members of the DPS Group, as defined below, and, solely
for purposes of Section 20, Cadbury.

W I T N E S S E T H:

          WHEREAS, CS and DPS have entered into a Separation and Distribution Agreement, dated [          ], 2008
(the “Separation Agreement”), relating to the demerger by Cadbury of Cadbury Schweppes Americas,
Inc., a Delaware corporation, that along with its subsidiaries and various affiliated companies
operates the Cadbury beverages business in North America (“CSAI”), and certain related transactions
(collectively, the “Demerger”);

          WHEREAS, pursuant to the Demerger, (i) CS, will become a wholly-owned subsidiary of Cadbury,
(ii) the stock of CSAI will be transferred by Cadbury or CS to DPS, and (iii) DPS will issue its
common stock to Cadbury shareholders (collectively, the “Principal Separation Transactions”);

          WHEREAS, prior to, and in contemplation of, the Demerger, (i) the Cadbury Group will sell,
distribute or otherwise transfer certain assets relating to (or comprising part of) the beverages
business, including the Beverage Entities, as defined below, to the DPS Group, and (ii) the DPS
Group will sell, distribute or otherwise transfer certain assets relating to (or comprising part
of) the confectionery business, including the Confectionery Entities, as defined below, to the
Cadbury Group;

          WHEREAS, for U.S. federal income tax purposes, the substance of the Principal Separation
Transactions is intended to be characterized as follows: (a) Cadbury is formed and all of the
outstanding ordinary shares of CS are exchanged by the CS shareholders for all of the Cadbury
ordinary shares after which CS elects, pursuant to Treasury regulation section 301.7701-3, to be a
treated as a disregarded entity in a transaction qualifying as a reorganization under 368(a)(1)(F)
of the United States Internal Revenue Code of 1986, as amended (the “Code”); (b) Cadbury
distributes the shares of CSAI to Cadbury shareholders in a transaction qualifying under Code
section 355; and (c) the CSAI shareholders exchange all of their CSAI shares for DPS shares,
immediately after which CSAI is converted to a limited liability company and a disregarded entity,
in a transaction qualifying as a reorganization under Code section 368(a)(1)(F);

          WHEREAS, CS has received from the United States Internal Revenue Service (“IRS”) a private
letter ruling providing that, subject to the representations and information submitted by CS, the
Principal Separation Transactions will be treated for U.S. federal income tax purposes in the
manner set forth above in the foregoing whereas clause (the “Ruling”), which Ruling was received
pursuant to a private letter ruling request submitted by CS (together with all

1

 

attachments, exhibits and supplements to the private letter ruling request, in each case, that
were submitted by CS to the IRS, the “Ruling Request”);

          WHEREAS, in connection with the Demerger, CS and DPS desire to set forth their agreement on
the rights and obligations of CS, DPS and the members of the Cadbury Group and the DPS Group,
respectively, with respect to certain Tax matters as set forth below;

          NOW, THEREFORE, in consideration of the foregoing and the terms, conditions, covenants and
provisions of this Agreement, the parties mutually covenant and agree as follows:

     1. Definitions.

          (a) As used in this Agreement:

     “Active Business” shall mean an active trade or business relied upon in the Ruling
Request and the Ruling for Code section 355 treatment in connection with the Demerger.

     “Affiliate” shall have the meaning set forth in the Separation Agreement.

     “ATOB DPS Entity” shall mean Dr Pepper/Seven Up, Inc., a Delaware corporation and the
member of the DPS Group conducting an Active Business.

     “Beverage Assets” shall mean those assets, as set forth on Schedule A, relating to (or
comprising part of) the beverages business that are sold, distributed or otherwise transferred by
the Cadbury Group to the DPS Group prior to, and in contemplation of, the Demerger, including any
equity interests in the Beverage Entities.

     “Beverage Entities” shall mean those entities, as set forth on Schedule B, relating to
(or comprising part of) the beverages business the equity of which is sold, distributed or
otherwise transferred (in whole or in part) by the Cadbury Group to the DPS Group and that become
wholly-owned by the DPS Group prior to, and in contemplation of, the Demerger.

     “Cadbury Group” shall mean Cadbury and any Person that is a Subsidiary of Cadbury
immediately after the Demerger Date (for the avoidance of doubt, including the Confectionery
Entities but excluding the Beverage Entities), and each Person that becomes a Subsidiary of Cadbury
after the Demerger Date.

     “Cadbury Group Taxes” shall mean any Taxes of the Cadbury Group (including Taxes for
which any member of the Cadbury Group is primarily liable under applicable Tax law but excluding
Taxes for which any such member is secondarily liable under such law) for any Pre-Demerger Period,
Straddle Period or Post-Demerger Period. For the avoidance of doubt, Cadbury Group Taxes shall (a)
include any Taxes (i) shown as due on Tax Returns of the Cadbury Group for Pre-Demerger Periods and
Straddle Periods (including Taxes imposed in respect of the sale, distribution or other transfer of
the Beverage Assets by the Cadbury Group to the DPS Group but excluding Taxes of the Beverage
Entities), (ii) imposed in respect of the Beverage Assets while owned by the Cadbury Group prior to
the sale, distribution or other transfer of the Beverage Assets to the DPS Group, and (iii) of the
Confectionery Entities for all

2

 

taxable periods; and (b) exclude Taxes (i) of the Beverage Entities for all taxable periods,
and (ii) of a member of the DPS Group for which a member of the Cadbury Group is responsible for
(A) under Treasury Regulation 1.1502-6 (or similar provision of U.S. state or local or non-U.S. Tax
law) solely as a result of such Cadbury Group member being or having been included in a Tax Return
with any member of the DPS Group or otherwise joining in a fiscal unity or other combined group or
(B) as a consequence of the failure of any member of the DPS Group to discharge a liability for Tax
for which a member of the DPS Group is primarily liable under applicable Tax law or (C) because
such member of the Cadbury Group acted as a representative of a group of companies to the extent
that the Cadbury Group Tax liability would have been a liability of a member of the DPS Group if
such member of the Cadbury Group did not act as a representative.

     “CFC Legislation” means (i) that legislation contained in Chapter IV of Part XVII of
the Income and Corporation Taxes Act 1988 of the United Kingdom (or any comparable successor or
additional legislation), together with all related statutory instruments, orders, judgments
(including of the European Court of Justice or the Courts of England and Wales), enactments, laws,
directives and Taxing Authority practice relating to the same, and (ii) any provision of any
taxation statute in the Netherlands of similar effect to the United Kingdom Legislation referred to
in clause (i) above, together with all Taxing Authority practice relating to the same.

     “CFC Questions” means any information required by the Cadbury Group in order to comply
with any obligations under any CFC Legislation.

     “Confectionery Assets” shall mean those assets, as set forth on Schedule C, relating
to (or comprising part of) the confectionery business that are sold, distributed or otherwise
transferred by the DPS Group to the Cadbury Group prior to, and in contemplation of, the Demerger,
including any equity interests in the Confectionery Entities.

     “Confectionery Entities” shall mean those entities, as set forth on Schedule D,
relating to (or comprising part of) the confectionery business the equity of which is sold,
distributed or otherwise transferred (in whole or in part) by the DPS Group to the Cadbury Group
and that become wholly-owned by the Cadbury Group prior to, and in contemplation of, the Demerger.

     “Confectionery Transactions” shall mean (i) the sales, distributions or other
transfers, as set forth on Schedule E, which include sales, distributions or other transfers of the
Confectionery Assets or of the Confectionery Entities by a member of the DPS Group to the Cadbury
Group prior to, and in contemplation of, the Demerger, and (ii) the Cross-Border Financing
Transactions.

     “Cross-Border Financing Transactions” shall mean the transactions entered into prior
to the Demerger Date, involving an amount loaned or other financing (including a preferred equity
investment), directly or indirectly, by a borrower (or issuer of the debt or preferred equity
investment) which is a member of the CSAB Group or a Subsidiary of the CSAB Group and the lending
party (or the holder of the debt or preferred equity investment) is a Subsidiary of Cadbury other
than a member of the CSAB Group or a Subsidiary of the CSAB Group. For the avoidance of doubt,
Cross-Border Financing Transactions shall not include any amount loaned or

3

 

other financing (including a preferred equity investment), directly or indirectly, between the
members of the CSAB Group or a U.S. Subsidiary thereof.

     “CSAB Group” shall mean the affiliated group, within the meaning of Code section
1504(a), the common parent of which was either CSAI or Cadbury Schweppes Holdings (US) (“CSH”) and
the common parent of which upon the Demerger will be DPS, treating for such purposes, the stock of
CSAI, CSH and DPS as widely held by the public.

     “Damages” shall mean any damage, liability, loss, cost, charge, assessments,
settlements, judgments or expense (including, without limitation, reasonable expenses of
investigation and attorneys’ and accountants’ fees and expenses).

     “Demerger Date” shall mean [          ], 2008, the date on which the Demerger is effected and
the stock of DPS is issued by DPS to Cadbury shareholders.

     “DPS Group” shall mean DPS and any Person that is a Subsidiary of DPS immediately
after the Demerger Date (for the avoidance of doubt, including the Beverage Entities and any CSAB
Group members but excluding the Confectionery Entities), and each Person that becomes a Subsidiary
of DPS after the Demerger Date.

     “DPS Group Taxes” shall mean any Taxes of the DPS Group (including Taxes for which any
member of the DPS Group is primarily liable under applicable Tax law but excluding Taxes for which
any such member is secondarily liable under such law) for any Pre-Demerger Period, Straddle Period
or Post-Demerger Period. For the avoidance of doubt, DPS Group Taxes shall (a) include any Taxes
(i) shown as due on the DPS Transition Returns and Tax Returns of the DPS Group described in
Section 3(b)(i) (excluding Income Taxes imposed in respect of the Confectionery Transactions in
excess of $22 million and excluding Taxes of the Confectionery Entities), (ii) imposed in respect
of the Confectionery Assets while owned by the DPS Group prior to the sale, distribution or other
transfer of the Confectionery Assets to the Cadbury Group, and (iii) of the Beverage Entities for
all taxable periods; and (b) exclude (i) Income Taxes imposed in respect of the Confectionery
Transactions in excess of $22 million, (ii) Taxes of the Confectionery Entities for all taxable
periods, and (iii) Taxes of a member of the Cadbury Group for which a member of the DPS Group is
responsible for (A) under Treasury Regulation 1.1502-6 (or similar provision of U.S. state, local
or Non-U.S. Tax law) solely as a result of such DPS Group member being or having been included in a
Tax Return with any member of the Cadbury Group or otherwise joining in a fiscal unity or other
combined group or (B) as a consequence of the failure of any member of the Cadbury Group to
discharge a liability for Tax for which a member of the Cadbury Group is primarily liable under
applicable Tax law or (C) because such member of the DPS Group acted as a representative of a group
of companies to the extent that the DPS Group Tax liability would have been a liability of a member
of the Cadbury Group if such member of the DPS Group did not act as a representative.

     “Final Determination” shall mean any final determination of a liability in respect of
Taxes that, under applicable Tax law, is no longer subject to further appeal, review or
modification through proceedings or otherwise (including the expiration of the statute of
limitations or a period for the filing of claims for refunds, amended Tax Returns or appeals from
adverse determinations).

4

 

     “Income Taxes” shall mean Taxes based upon, measured by, or calculated with respect to
(i) net income or net profits (including any capital gains, minimum taxes and any Taxes on items of
Tax preference, but not including sales, use, real or personal property transfer, value added or
other similar Taxes), (ii) multiple bases (including corporate franchise, doing business or
occupation Taxes imposed by a jurisdiction in lieu of Taxes on net income or net profits) if one or
more of the bases upon which such Tax may be imposed on, measured by, or calculated with respect
to, is net income or net profits and (iii) withholding Taxes imposed under Code section 1442, 1445
or 1446 (or comparable provisions of non-U.S. Tax law) on any payments or distributions (except for
wages or other remuneration for services).

     “Income Tax Return” shall mean Tax Returns that relate to Income Taxes.

     “Incremental DPS Group Taxes” shall mean (i) the amount of Income Taxes in respect of
the Confectionery Transactions that are imposed on the DPS Group, determined in accordance with the
Tax Return preparation provisions set forth in Section 3(d) and computed as if the relevant taxable
year of the DPS Group closed on the Demerger Date, in excess of $22 million, plus (ii) the amount
of Income Taxes in respect of the Confectionery Transactions in excess of the sum of (A) the amount
computed pursuant to clause (i), and (B) $22 million, to the extent that, in accordance with
Section 3(d)(ii), there is a confirmed material change in applicable Tax law after the Demerger
Date but prior to the due date for timely filing of the applicable Tax Return of the DPS Group
(including valid extensions obtained), and, as a result, the Income Tax reporting position for such
Confectionery Transaction that was based on the opinions (or substantially equivalent written
advice) described in Section 3(d)(ii) is no longer applicable or otherwise not followed or adopted,
plus (iii) without duplication in respect of clauses (i) and (ii), the amount of Income Taxes, as
determined pursuant to a Final Determination, in respect of the Confectionery Transactions imposed
on the DPS Group (or any member thereof) in excess of the sum of (A) the amount of Income Taxes for
such Confectionery Transactions that were computed pursuant to clauses (i) and (ii), and (B) $22
million.

     “Person” shall mean any natural person, corporation, limited liability company, trust,
estate, joint venture, association, company, partnership, governmental authority or other entity.

     “Post-Demerger Period” shall mean any taxable period beginning after the Demerger
Date.

     “Pre-Demerger Period” shall mean any taxable period ending on or before the Demerger
Date.

     “Specified Entity” shall mean each of the entities as set forth on Schedule F.

     “Straddle Period” shall mean any taxable period that begins on or before and ends
after the Demerger Date. For avoidance of doubt, the term Straddle Period shall include the Tax
year of the affiliated group within the meaning of Code section 1504(a) that includes CSAI and the
ATOB DPS Entity as members that begins in January 2008 and ends in December 2008 or otherwise
after the Demerger Date.

5

 

     “Subsidiary” shall have the meaning set forth in the Separation Agreement.

     “Tax” or “Taxes” shall mean any and all federal, state, local, foreign duties
or other taxes imposed by a Taxing Authority in the United States, United Kingdom, Canada, the
Netherlands or Mexico or any other jurisdiction, including any net income, gross income, gross
receipts, alternative or add-on minimum, sales, use, business and occupation, value-added, trade,
goods and services, ad valorem, franchise, profits, license, business royalty, withholding,
payroll, employment, capital, excise, transfer, recording, severance, stamp, occupation, premium,
property, asset, real estate acquisition, environmental or other tax or duty, together with any
interest, penalty, addition to tax or other additional amount imposed by a Taxing Authority.

     “Taxing Authority” shall mean any governmental authority (domestic or foreign),
including, without limitation, any state, municipality, political subdivision or governmental
agency, responsible for the imposition of any Tax.

     “Tax Benefit Attribute” shall mean any net operating loss (including carrybacks and
carryforwards), credit, refund, deduction, depreciation, amortization, allowance or other item that
can be used to reduce or offset a Tax liability.

     “Tax Proceeding” shall mean any Tax audit, examination, dispute or proceeding (whether
administrative, judicial or contractual).

     “Tax Return” shall mean any Tax return, statement, report, form, election, claim or
surrender (including estimated Tax returns and reports, extension requests and forms, and
information returns and reports) required to be filed with any Taxing Authority.

     “Transition Services Agreement” shall mean the agreement entered into by Cadbury and
DPS, dated [          ], 2008, in respect of certain services (including Tax, accounting and legal services)
to be provided by the Cadbury Group to the DPS Group for an interim period beginning after the
Demerger Date.

     “Underpayment Rate” shall mean the underpayment rate as set forth in Code section
6621.

          (b) Any term used in this Agreement which is not defined in this Agreement shall, to the
extent the context requires, have the meaning assigned to it in the Code or the applicable Treasury
regulations thereunder (as interpreted in administrative pronouncements and judicial decisions), in
comparable provisions of applicable Tax law or in the Ruling or Separation Agreement. In this
Agreement, except to the extent otherwise provided or that the context otherwise requires: (i)
when a reference is made in this Agreement to an Article, Section, Exhibit or Schedule, such
reference is to an Article or Section of, or an Exhibit or Schedule to, this Agreement unless
otherwise indicated; (ii) the table of contents and headings for this Agreement are for reference
purposes only and do not affect in any way the meaning or interpretation of this Agreement; (iii)
whenever the words “include,” “includes” or “including”
are used in this Agreement, they are deemed to be followed by the words “without limitation”;
(iv) the words “hereof,” “herein” and “hereunder” and words of similar import, when used in this
Agreement, refer to this Agreement as a whole and not to any particular provision of this
Agreement; and (v)

6

 

the definitions contained in this Agreement are applicable to the singular as
well as the plural forms of such terms.

     2. Sole Tax Sharing Agreement. Any and all existing Tax sharing agreements or arrangements,
written or unwritten, between any member of the Cadbury Group and any member of the DPS Group shall
be or shall have been terminated upon the consummation of the Demerger. Upon the consummation of
the Demerger, neither the members of the DPS Group nor the members of the Cadbury Group shall have
any further rights or liabilities with respect to such Tax agreements or arrangements, and this
Agreement shall be the sole Tax sharing agreement and arrangement between the members of the DPS
Group and the members of the Cadbury Group. CS and DPS shall act in good faith in the performance
of this Agreement.

     3. Tax Return Filing.

          (a) (i) For Pre-Demerger Periods, to the extent the Income Tax Returns have not been filed on
or before the Demerger Date, and, to the extent provided in this Section 3(a)(i), for Straddle
Periods, CS shall prepare or cause to be prepared and shall deliver to DPS for timely filing and
DPS shall timely file (or review if a member of the Cadbury Group is permitted under applicable Tax
law to file the relevant Income Tax Return) the following Income Tax Returns for the DPS Group and
its members: (A) U.S. federal, state and local Income Tax Returns (separate and consolidated,
combined, unitary or other group Income Tax Returns) other than for Straddle Periods, (B) Canadian
federal and provincial Income Tax Returns for Cadbury Beverages Canada Inc., a Canadian corporation
(“CBCI”) other than for Straddle Periods, and (C) all other non-U.S. Income Tax Returns for the DPS
Group (including the Netherlands) except for Income Tax Returns of any subsidiary organized in
Mexico of Bebidas Americas Investments B.V., a Dutch entity (“BAI BV”) (collectively, those Income
Tax Returns prepared by Cadbury are referred to as “DPS Transition Returns”). For the avoidance of
doubt, (x) Schedule G lists DPS Transition Returns and (y) the preparation of any consolidated,
combined, unitary or other group Tax Return of the Cadbury Group that includes or reflects a
Beverage Entity as a member shall be governed by Section 3(c). Any and all out-of-pocket expenses
incurred in preparing a DPS Transition Return for a Pre-Demerger Period shall be for the account of
Cadbury. Any and all out-of-pocket expenses incurred by CS in preparing a DPS Transition Return
for a Straddle Period shall be for the account of DPS and DPS shall reimburse Cadbury within 45
days of DPS’ receipt of a written invoice from Cadbury setting forth the amount of such expenses.

               (ii) CS shall provide DPS with a copy of any completed DPS Transition Return at least 30 days
prior to the due date (including any extensions) for the filing of such DPS Transition Return, in
the case of a Pre-Demerger Period, and at least 45 days prior to the due date (including any
extensions) for the filing of such DPS Transition Return, in the case of a Straddle Period. DPS
shall have the right to review, comment on and propose amending any items set forth on such DPS
Transition Return except to the extent relating to a Confectionery Entity or Confectionery
Transaction or other transaction or item that is the subject of a previously issued opinion (or
substantially equivalent written advice) described in Section 3(d); provided that DPS
will notify CS in writing of any proposed changes to such DPS Transition Return at least 20
days prior to the due date of such DPS Transition Return. In the event that, subject to Section
3(d), DPS disputes the treatment by Cadbury on a DPS Transition Return of a Confectionery Entity or

7

 

Confectionery Transaction that is not the subject of a previously issued opinion (or substantially
equivalent written advice) described in Section 3(d) or CS disputes any other proposed change by
DPS to any such DPS Transition Return, CS or DPS, as the case may be, will provide the disputing
party with an opinion (or substantially equivalent written advice) of a law firm or accounting firm
of internationally recognized standing and expert in the Tax matters at issue, reasonably
acceptable to the disputing party, supporting the treatment by CS or the proposed change by DPS, as
the case may be, on no less than a “more likely than not” basis. The fees and expenses of such law
firm or accounting firm, as well as the fees and expenses of the accounting firm for revising the
applicable DPS Transition Return(s) to reflect such proposed change, shall be borne by the
disputing party. For the avoidance of doubt, no changes to a DPS Transition Return may be made or
proposed by DPS with respect to any Confectionery Entity or any Confectionery Transaction so long
as DPS has been provided with an opinion (or substantially equivalent written advice) of a law firm
or accounting firm pursuant to this Section 3(a) or Section 3(d).

               (iii) DPS shall prepare or cause the relevant members of the DPS Group to prepare, in a manner
consistent with the past practices of the relevant members of the DPS Group, Tax work paper
preparation packages necessary to enable CS to prepare the DPS Transition Returns described in this
Section 3(a) and such packages shall be delivered to CS (i) at least 90 days prior to the due date
of DPS Transition Returns for Pre-Demerger Periods, (ii) no later than 10 days prior to the due
date for estimated and other periodic Income Tax Returns filed during or within 30 days after the
Straddle Periods, and (iii) within 90 days of the end of the relevant taxable year of the relevant
members of the DPS Group with respect to other DPS Transition Returns for Straddle Periods.

               (iv) DPS shall pay, or cause to be paid, and shall be responsible for, any and all Taxes shown
as due or otherwise reported on, any DPS Transition Return; provided that CS shall pay, or cause to
be paid, and shall be responsible for (A) Incremental DPS Group Taxes, and (B) Taxes imposed on a
Confectionery Entity, in each case, shown as due or otherwise reported on any DPS Transition
Return; provided further that such Confectionery Entity is not a pass-through or other fiscally
transparent entity for Tax purposes.

          (b) (i) DPS shall, at its expense, prepare or cause to be prepared and file or cause to be
filed all Tax Returns of the DPS Group (or any member thereof) for Pre-Demerger and Straddle
Periods that are not filed as of the Demerger Date and that are not described in Section 3(a),
including, for the avoidance of doubt, any (A) U.S. federal, state and local Income Tax Returns
(separate and consolidated, combined, unitary or other group Income Tax Returns) and Canadian
federal and provincial Income Tax Returns for CBCI, in each case for Straddle Periods, and (B)
Income Tax Returns of any subsidiary of BAI BV; provided that in the case of Income Tax Returns
described in clause (A) of this Section 3(b)(i), DPS shall engage and employ the same accounting
firm to prepare such Tax Returns that CS uses for the preparation of the DPS Transition Returns.
With respect to a Confectionery Entity or a Confectionery Transaction or other transaction or item
that is the subject of a previously issued opinion (or

8

 

substantially equivalent written advice) described in Section 3(d), or to the extent that the
treatment of a Confectionery Entity or a Confectionery Transaction or other transaction or item was
determined pursuant to the dispute resolution procedures involving obtaining an opinion (or
substantially equivalent written advice) of a law firm or accounting firm of internationally
recognized standing and expert in the Tax matters at issue set forth in Section 3(a), the DPS Group
shall prepare the Tax Returns described in this Section 3(b) consistently with the conclusions set
forth in such opinions (or substantially equivalent written advice).

               (ii) DPS shall provide CS with a copy of any completed Tax Return described in this Section
3(b) for CS’ review, comment and approval at least 30 days prior to the due date (including any
extensions) for the filing of such Tax Return, in the case of a Pre-Demerger Period, and at least
45 days prior to the due date (including any extensions) for the filing of such Tax Return, in the
case of a Straddle Period. DPS shall reflect on such Tax Return any comments provided by CS
(including in respect of the treatment of any Confectionery Entity or Confectionery Transaction)
within 10 days following CS’ receipt of the Tax Return; provided that, except to the extent
relating to a Confectionery Entity or Confectionery Transaction or other transaction or item that
is the subject of a previously issued opinion (or substantially equivalent written advice)
described in Section 3(a) or Section 3(d), if DPS disputes any comments provided by CS, the dispute
resolution procedures involving obtaining an opinion (or substantially equivalent written advice)
set forth in Section 3(a) shall apply; provided, further, that, for the avoidance of doubt, DPS
shall not make any changes to a Tax Return described in this Section 3(b) with respect to any
Confectionery Entity or Confectionery Transaction or other transaction or item so long as DPS has
been provided with an opinion (or substantially equivalent written advice) of a law firm or
accounting firm pursuant to Section 3(a) or Section 3(d) unless there has been a material change in
applicable Tax law as described in Section 3(d).

               (iii) DPS shall pay, or cause to be paid, and shall be responsible for, any and all Taxes due
or required to be paid with respect to, or required to be reported on, any Tax Returns described in
this Section 3(b); provided that CS shall pay, or cause to be paid, and shall be responsible for
(A) Incremental DPS Group Taxes, and (B) Taxes imposed on a Confectionery Entity, in each case,
shown as due or otherwise reported on any Tax Returns described in this Section 3(b); provided
further that such Confectionery Entity is not a pass-through or other fiscally transparent entity
for Tax purposes.

               (iv) The parties acknowledge and agree that to the extent that the aggregate Income Taxes of
the DPS Group in respect of the Confectionery Transactions shown as due on the DPS Transition
Returns and the Tax Returns described in this Section 3(b), as prepared in accordance with this
Section 3 (including Section 3(d)(ii)) and originally filed, is less than $22 million, DPS shall
pay to CS an amount equal to such difference within 5 days of the latest due date for timely filing
of the Tax Returns of the DPS Group described in this Section 3(b)(iv) (including valid extensions
obtained).

          (c) CS shall prepare or cause to be prepared and file or cause to be filed any Tax Returns for
the Cadbury Group that are filed after the Demerger Date, including Tax Returns for the
Confectionery Entities other than Tax Returns that include the Confectionery Entities and that are
prepared pursuant to Section 3(a) or 3(b). CS shall pay, or cause to be paid, and shall be
responsible for, any Taxes shown as due or otherwise reported on, any Tax Returns described in
this Section 3(c); provided that DPS shall pay, or cause to be paid, and shall be responsible for,
Taxes imposed on a Beverage Entity shown as due or otherwise reported on any Tax Returns

9

 

described
in this Section 3(c); provided further that such Beverage Entity is not a pass-through or other
fiscally transparent entity for Tax purposes.

          (d) (i) Tax Returns referred to in this Section 3 shall be prepared in a manner consistent
with past Tax accounting practices used with respect to prior Tax Returns (taking into account any
changes in applicable Tax law), in each case, as reasonably determined by the party preparing the
Tax Return. All Tax Returns and Taxes referred to in this Section 3 shall be timely filed with and
timely paid to the applicable Taxing Authority, and

               (ii) Notwithstanding anything to the contrary set forth in this agreement, the parties
acknowledge and agree that, with respect to Confectionery Transactions and other transactions and
items supported by the issuance to CS and/or one of its Subsidiaries by a law firm or accounting
firm prior to the Demerger Date, of a no less than “more likely than not” opinion (or substantially
equivalent written advice) supporting the Tax treatment thereof, the DPS Group will follow, adopt
and fully support Income Tax reporting positions that are consistent with the conclusions in those
opinions (or substantially equivalent written advice), in each case absent a material change in
applicable Tax law after the Demerger Date, which change invalidates one or more of such
conclusions and which change is confirmed in writing by independent, nationally recognized Tax
counsel selected by CS and reasonably acceptable to DPS. Without limiting the foregoing, each
member of the DPS Group will file (and support the filing by the Cadbury Group of) Tax Returns
consistently with such positions and opinions (or substantially equivalent written advice), which
Tax Returns do not include either (x) a Form 8275 (or the substantial equivalent form for state,
local or foreign purposes) with respect to any such Confectionery Transaction or other transaction
or item or (y) a Form 8886 (or the substantial equivalent form for state, local or foreign
purposes) with respect to any such transaction or item. The DPS Group will promptly notify CS in
writing of any legislation or other item that may represent such a material change in applicable
Tax law. For the avoidance of doubt, the DPS Group acknowledges and agrees that, absent such a
material change in applicable Tax law that is confirmed pursuant to this Section 3(d)(ii), with
respect to any Confectionery Transaction or other transaction or item supported by the issuance to
CS of a no less than “more likely than not” opinion (or substantially equivalent written advice),
the DPS Group shall not procure the services of any law firm or accounting firm to issue an opinion
(or substantially equivalent written advice) in respect of such Confectionery Transaction or other
transaction or item that is inconsistent with the conclusions set forth in such opinion (or
substantially equivalent written advice) or otherwise challenge the treatment of such Confectionery
Transaction or other transaction or item.

          (e) The filing of any Tax Return not otherwise expressly dealt with in this Section 3 shall be
filed by the Person who is responsible for filing such Tax Return under applicable Tax law and the
payment of any Taxes shown as due or otherwise required to be reported on such Tax Returns shall be
the responsibility of the Person who is primarily liable for such Taxes under applicable Tax law.
In the case of a consolidated, combined, unitary or other group Tax Return, the member or other
entity whose activity or operations generate the Taxes for which payment is
due (computed on a stand alone basis) shall be treated as the Person who is primarily liable
for such Taxes under applicable Tax Law for purposes of this Agreement.

10

 

     4. Carrybacks; Amended Tax Returns; Refunds. (a) Notwithstanding anything to the contrary
contained in this Agreement, (i) to the extent permitted under applicable Tax law, each member of
the DPS Group shall take all actions required to waive any carryback period with respect to any Tax
Benefit Attribute that arises or otherwise becomes available after the Demerger, and (ii) no member
of the DPS Group shall amend any Income Tax Return for a Pre-Demerger Period or a Straddle Period
(including, for the avoidance of doubt, for purposes of carrying back any Tax Benefit Attribute
from a Post-Demerger Period to a Pre-Demerger Period or Straddle Period) without the prior written
consent of CS (which consent shall not be unreasonably withheld). In the event that (A) CS
consents to amending an Income Tax Return of the DPS Group, (B) a member of the DPS Group is not
permitted under applicable Tax law to waive a carryback period in respect of a Tax Benefit
Attribute and is required to carry back the Tax Benefit Attribute to a Pre-Demerger Period or
Straddle Period, or (C) in the case of a Straddle Period, a Tax Benefit Attribute generated during
the portion of the Straddle Period beginning after the Demerger Date reduces Taxes that were
imposed during the portion of the Straddle Period ending on the Demerger Date (for this purpose,
treating the two portions of the Straddle Period as separate taxable years), CS shall be entitled
to any refund, credit or similar benefit (including by way of being allowable as an offset and any
interest with respect thereto) that results from the actions referred to in clauses (A), (B) or (C)
to the extent that any incremental Taxes or other costs are incurred by any member of the Cadbury
Group and the excess, if any, shall be the property of the DPS Group; provided, however, that DPS
will indemnify the Cadbury Group to the extent that the incremental Taxes or other costs incurred
by the Cadbury Group pursuant to the CFC Legislation or otherwise exceeds the amount of the refund,
credit or similar benefit.

          (b) Except as provided in Section 4(a), any refund of DPS Group Taxes (including by way of
being allowable as an offset and any interest with respect thereto) shall be the property of the
DPS Group and, if received by a member of the Cadbury Group, such refund shall promptly be paid
over to DPS. Any refund of Cadbury Group Taxes and Incremental DPS Group Taxes (including by way
of being allowable as an offset and any interest with respect thereto) shall be the property of the
Cadbury Group and, if received by a member of the DPS Group, such refund shall promptly be paid
over to CS. In the event of a subsequent disallowance by a Tax Authority of any refund that has
been paid over to CS or DPS pursuant to this Section 4(b), CS or DPS, as the case may be, shall
return such payment together with any applicable interest.

     5. Representations and Covenants of DPS.

          (a) DPS, on behalf of the DPS Group, represents that as of the date hereof, and covenants that
on the Demerger Date, there is no plan or intention by the DPS Group to:

               (i) liquidate DPS or merge or consolidate DPS or the ATOB DPS Entity with any other Person or
sell, issue or otherwise dispose of, directly or indirectly, the ATOB DPS Entity or any equity
interest, or an instrument convertible into an equity interest, in the
ATOB DPS Entity;

11

 

               (ii) take any action inconsistent with the written statements and representations furnished to
the IRS in connection with the Ruling Request or set forth by the IRS in the Ruling;

               (iii) repurchase stock of DPS in a manner contrary to the requirements of IRS Revenue
Procedure 96-30, as modified by IRS Revenue Procedure 2003-48, or in a manner contrary to the
representations set forth by the IRS in the Ruling;

               (iv) issue any class of nonvoting stock of DPS; and

               (v) fail to preserve and maintain the separate legal existence, entity classification for Tax
purposes and ownership structure of the Specified Entities, in each case, as in effect on the
Demerger Date.

          (b) DPS covenants to CS that, without either (i) the prior written consent of CS, (ii) a
supplemental private letter ruling issued by the IRS with respect to the Ruling Request, based upon
a request for supplemental private letter ruling filed with the prior written consent of CS, or
(iii) an unqualified written opinion of nationally recognized Tax counsel selected by DPS and
acceptable to CS in its sole discretion exercised in good faith (in the case of (iii), such opinion
shall be satisfactory to CS in its sole discretion exercised in good faith):

               (i) throughout the twelve-month period following the Demerger Date, neither DPS nor the ATOB
DPS Entity will liquidate, merge or consolidate with any other Person, DPS will continue to
wholly-own the ATOB DPS Entity and no member of the DPS Group will sell, issue or otherwise dispose
of, directly or indirectly, any equity interest, or an instrument convertible into an equity
interest, in the ATOB DPS Entity;

               (ii) following the Demerger, the DPS Group will, for a minimum of twelve months, continue the
conduct of Active Business;

               (iii) throughout the twelve-month period following the Demerger Date, DPS will not issue any
class of nonvoting stock of DPS;

               (iv) DPS will not, nor will it permit any member of the DPS Group to, take any action
inconsistent with the written statements and representations furnished to the IRS in connection
with the Ruling Request or set forth by the IRS in the Ruling;

               (v) throughout the two-year period following the Demerger Date, DPS will not repurchase stock
of DPS in a manner contrary to the requirements of IRS Revenue Procedure 96-30, as modified by IRS
Revenue Procedure 2003-48, or in a manner contrary to the representations set forth in the Ruling;

               (vi) on or after the Demerger Date, except as otherwise provided by this Agreement and except
for the transactions listed on Schedule H, DPS will not, nor will it permit any member of the DPS
Group to (A) make or change any accounting method or amend any Tax
Return, or (B) take any Tax position on an Income Tax Return that is outside the ordinary
course of business or inconsistent with past practice, in each case, that results in an increased
Tax liability or a reduction of Tax Benefit Attributes of the Cadbury Group or any member thereof
in

12

 

respect of any Pre-Demerger Period or Straddle Period including pursuant to the CFC Legislation;
and

               (vii) DPS will preserve and maintain the separate legal existence, entity classification for
Tax purposes and ownership structure of the Specified Entities, in each case, as in effect on the
Demerger Date, until after the calendar year that includes the second anniversary of the Demerger
Date.

          (c) DPS agrees that, regardless of whether CS consents to, or DPS receives a private letter
ruling from the IRS or an opinion of Tax counsel with respect to, any action referred to in Section
5(b), CS is to have no liability for any Taxes or Damages (including pursuant to any
indemnification obligations under this Agreement) resulting from any such action and DPS agrees to
indemnify and hold harmless the Cadbury Group against any such Taxes or Damages including Damages
of the Cadbury Group relating to Taxes of shareholders of Cadbury and/or DPS incurred as a result
of such actions. DPS shall also bear all reasonable out-of-pocket costs incurred by CS in
connection with obtaining any private letter ruling from the IRS or an opinion of Tax counsel or in
connection with CS’ determination of whether or not to grant any written consent required under
Section 5(b).

     6. Indemnities.

          (a) Subject to the provisions of this Section 6, CS and each member of the Cadbury Group will
jointly and severally indemnify DPS and the members of the DPS Group against, and hold them
harmless from and shall pay any:

               (i) Cadbury Group Taxes;

               (ii) Incremental DPS Group Taxes (except for any Incremental DPS Group Taxes that are
attributable to actions taken by a member of the DPS Group after the Demerger Date other than
actions that Cadbury has expressly consented to in writing or actions taken pursuant to a Final
Determination or required by this Agreement);

               (iii) Taxes of a member of the Cadbury Group for which a member of the DPS Group is
responsible for (A) under Treasury Regulation 1.1502-6 (or similar provision of U.S. state or local
or non-U.S. Tax law) solely as a result of such member of the DPS Group being or having been
included in a Tax Return with any member of the Cadbury Group or otherwise joining in a fiscal
unity or other combined group, or (B) as a consequence of the failure of any member of the Cadbury
Group to discharge a liability for Tax for which a member of the Cadbury Group is primarily liable
under applicable Tax law or (C) because a member of the DPS Group acted as a representative of a
group of companies to the extent that the DPS Group Tax liability would have been a liability of a
member of the Cadbury Group if the relevant member of the DPS Group did not act as representative;

               (iv) Damages resulting from or that are otherwise attributable to a breach by CS or any member
of the Cadbury Group of any covenant made by CS in this Agreement; and

13

 

               (v) Out-of-pocket legal, accounting or similar expenses resulting from the imposition,
assessment or assertion of any Taxes or Damages indemnified against and described in (i), (ii),
(iii) or (iv), including those incurred in the contest in good faith in appropriate proceedings
relating to the imposition, assessment or assertion of any such Taxes or Damages.

          (b) Subject to the provisions of this Section 6, DPS and each member of the DPS Group will
jointly and severally indemnify CS and the members of the Cadbury Group against, and hold them
harmless from and shall pay any:

               (i) DPS Group Taxes (other than Incremental DPS Group Taxes);

               (ii) Taxes of a member of the DPS Group for which a member of the Cadbury Group is responsible
for (A) under Treasury Regulation 1.1502-6 (or similar provision of U.S. state or local or non-U.S.
Tax law) solely as a result of such member of the Cadbury Group being or having been included in a
Tax Return with any member of the DPS Group or otherwise joining in a fiscal unity or other
combined group, or (B) as a consequence of the failure of any member of the DPS Group to discharge
a liability for Tax for which a member of the DPS Group is primarily liable under applicable Tax
law or (C) because a member of the Cadbury Group acted as a representative of a group of companies
to the extent that the Cadbury Group Tax liability would have been a liability of a member of the
DPS Group if the relevant member of the Cadbury Group did not act as a representative;

               (iii) Damages resulting from or that are otherwise attributable to a breach by DPS or any
member of the DPS Group of any representation set forth in Section 5 or any covenant made by DPS in
this Agreement (including Section 5), including Damages of the Cadbury Group relating to Taxes of
shareholders of Cadbury and/or DPS incurred as a result of such breach; and

               (iv) Out-of-pocket legal, accounting or similar expenses resulting from the imposition,
assessment or assertion of any Taxes or Damages indemnified against and described in (i), (ii) or
(iii), including those incurred in the contest in good faith in appropriate proceedings relating to
the imposition, assessment or assertion of any such Taxes or Damages.

          (c) (i) For purposes of this Section 6, (A) to the extent that a Confectionery Entity was
included in a Tax Return of the DPS Group or a Beverage Entity was included in a Tax Return of the
Cadbury Group, as the case may be, the Taxes of the Confectionery Entity or the Beverage Entity
shall be computed on a stand-alone basis taking into account as an offset any Taxes (including
estimated) paid on account of such Confectionery Entity or Beverage Entity prior to the Demerger
Date, and (B) in the case of a Confectionery Entity or Beverage Entity that is a pass-through or
other fiscally transparent entity for Tax purposes, the pass-through or other fiscally transparent
status of such entity shall be respected so that the Taxes resulting from a Tax adjustment or other
change in respect of such entity shall, pursuant to applicable Tax law, be treated as imposed on
the members (or other equityholders) of the Confectionery Entity or
Beverage Entity and nothing in this Agreement shall be read to require indemnification of such
entity on account of such adjustment on the grounds that such adjustment increases the Taxes of
such entity (as opposed to its members).

14

 

               (ii) As a supplement to, but without duplication of the rights and obligations provided in
Section 6(a), if, pursuant to a Final Determination in respect of a Pre-Demerger Period of Cadbury
Adams USA LLC, there is an adjustment in respect of Cadbury Adams USA LLC that results in (A) an
increase to DPS Group Taxes, computed on a with and without basis in respect of such adjustment,
Cadbury shall pay to DPS an amount equal to such increase in DPS Group Taxes, or (B) a decrease to
DPS Group Taxes, computed on a with and without basis in respect of such adjustment, DPS shall pay
to Cadbury an amount equal to such decrease in DPS Group Taxes. Any payment required to be made
pursuant to this Section 6(c)(ii) shall be made within 10 days of the Final Determination in
respect of the adjustment.

               (iii) Notwithstanding Sections 6(a) and 6(b), except as provided in Section 6(c)(ii), neither
the DPS Group nor the Cadbury Group shall be required to indemnify the other party against a loss
or reduction of a Tax Benefit Attribute arising as a result of an amended Tax Return, audit, agreed
determination or other adjustment, claim or decision in respect of a Pre-Demerger Period or a
Straddle Period. For the avoidance of doubt, the parties acknowledge and agree that the Cadbury
Group is not representing or warranting to the amount of any Tax basis in respect of the DPS Group
or its members or assets.

          (d) Notwithstanding anything to the contrary contained in this Agreement, the DPS Group or the
Cadbury Group, as the case may be, shall not be liable for any Taxes or Damages pursuant to this
Section 6 if the Damages and Taxes for which indemnification is being claimed pursuant to this
Section 6 do not exceed the amount of $350,000 for (i) a single claim, or (ii) related claims
involving one or more jurisdictions and arising out of the same or similar facts.

          (e) The DPS Group and the Cadbury Group shall discharge their respective obligations under
Section 6, by paying the relevant amount no later than 5 days after (i) the due date of the
applicable estimated or final Tax Return of the Cadbury Group or the DPS Group for a Pre-Demerger
Period or Straddle Period, as the case may be, that reports an amount of Tax that is indemnified
against under this Agreement, (ii) an agreement between CS and DPS that a payment is due or (iii) a
Final Determination in respect of the relevant Tax matter or a final decision in respect of another
amount indemnified against; provided that, in the case of a written Tax assessment or other similar
written claim from a Taxing Authority that is required to be paid prior to contesting such Tax
assessment or claim, payment under this Section 6(e) shall be due no later than 5 days prior to the
due date for payment of such Tax assessment. Any indemnification payment for Taxes pursuant to
this Agreement shall be made in the currency of the jurisdiction that imposes the Taxes indemnified
against. Any indemnification payment made pursuant to this Section 6 will be treated as a
contribution to DPS or CSAI, or as a distribution from DPS or CSAI to CS or Cadbury or other type
of payment as is consistent with applicable Tax law, occurring immediately prior to and in
connection with the Demerger, and shall be paid free and clear of any Tax deduction or withholding.
The parties agree to use commercially reasonable efforts (to the extent such efforts will not
result in materially adverse consequences to a party) to mitigate or avoid such Tax deductions or
withholdings.

          (f) (i) Any indemnification payment made pursuant to this Section 6 or Article VII of the
Separation Agreement shall, subject to this Section 6(f), be (A) decreased by the amount of any net
Tax benefit (including, to the extent provided in Section 6(f)(ii), an increase to

15

 

Tax basis)
realized by the indemnified party (including the consolidated, combined, unitary or other Tax group
of which the indemnified party is a member) arising in connection with the accrual, incurrence or
payment of the amount indemnified against, and (B) increased by the amount of any net Tax cost
incurred (including a gross-up for any amounts required to be deducted or withheld from the
indemnity payment under applicable Tax law) by the indemnified party (including the consolidated,
combined, unitary or other Tax group of which the indemnified party is a member) arising in
connection with the accrual or receipt of any indemnification payment pursuant to this Section 6 or
such Article VII.

          (ii) In computing the amount of any net Tax benefit or net Tax cost, the indemnified party
shall be deemed to recognize all other items of income, gain, loss, deduction or credit before
recognizing any item arising in connection with the accrual, incurrence or payment of any
indemnifiable amount or arising in connection with the accrual or receipt of any indemnification
payment pursuant to this Section 6 or Article VII of the Separation Agreement. For these purposes,
an indemnified party shall be deemed to have “realized” a net Tax benefit or “incurred” a net Tax
cost to the extent that, and at such time as, the amount of Taxes payable by such indemnified party
is reduced below or increased above, as the case may be, the amount of Taxes that such indemnified
party would be required to pay but for incurrence or payment of the indemnifiable amount or the
receipt of the indemnity payment; provided that the parties acknowledge and agree that in the event
that the net Tax benefit includes an increase in Tax basis (A) in respect of an asset for which
amortization, depreciation or similar deductions are allowable, the parties shall compute such net
Tax benefit on a present value basis using a discount rate equal to the rate on 5-year U.S.
Treasury securities (in effect at the time the parties are computing the applicable net Tax
benefit) plus 4%; provided, however, that if the present value of the net Tax benefit exceeds $20
million then until the net present value of the unrealized net Tax benefit does not exceed $20
million, the indemnified party shall make periodic reimbursements to the indemnifying party in
respect of such net Tax benefit to the extent that such net Tax benefit is “realized” by the
indemnified party (as determined pursuant to the general principles of this Section 6(f)(ii)), or
(B) in respect of an equity interest or other asset for which amortization, depreciation or similar
deductions are not allowable, the amount of the indemnification payment shall be subject to
adjustment on account of such increase in Tax basis only if a net Tax benefit in respect of such
increase to Tax basis is realized prior to or within the 5-year period following the later of the
end of the calendar year in which the indemnity payment is made or in which there is a Final
Determination with respect to the matter indemnified against in accordance with Section 6(f)(iii).
The parties shall make any adjusting payment between each other as is required pursuant this
Section 6(f) within 10 days of the date an indemnified party is deemed to have realized a net Tax
benefit or incurred a net Tax cost. The amount of any increase or reduction hereunder shall be
adjusted to reflect any Final Determination with respect to the indemnified party’s liability for
Taxes. Payments between the indemnified party and the indemnifying party to reflect any such
adjustment shall be made as necessary within 10 days of such determination. For the avoidance of
doubt, in computing the amount of Incremental DPS Group Taxes indemnified against, any Tax Benefit
Attribute that becomes available to the DPS Group (or any member thereof) as a result of the
additional Income Taxes imposed in respect of
a Confectionery Transaction shall be taken into account when realized (as determined pursuant
to the principles of this Section 6(f)) and shall reduce the amount of Incremental DPS Group Taxes
indemnified against under Section 6(a).

16

 

               (iii) The parties acknowledge and agree that in the event that, pursuant to this Section 6(f),
there is a net Tax benefit that includes an increase in Tax basis in respect of an equity interest
or other asset for which amortization, depreciation or similar deductions are not allowable, DPS
shall, on an annual basis during the applicable 5-year period set forth in Section 6(f)(ii),
provide CS with an executed officer’s certificate, satisfactory to CS in its reasonable discretion,
specifying in reasonable detail whether or not the DPS Group realized a net Tax benefit in respect
of such increase in Tax basis; provided that if the asset disposition occurs, or the Tax basis
benefit is otherwise realized in respect of a taxable period, prior to such 5-year period, DPS
shall provide CS with such an executed officer’s certificate within 10 days of the event (including
a Final Determination) in respect of which the Tax basis was increased and the net Tax benefit was
realized; provided further that the DPS Group shall provide CS, in accordance with Section 8,
access to any documents or other information that CS reasonably determines is necessary to confirm
the statements set forth in any officer’s certificate provided pursuant to this Section 6(f)(iii).
In the event that the DPS Group realizes a net Tax benefit in respect of such an increase in Tax
basis in respect of a taxable period prior to or during the first year of the applicable 5-year
period, DPS shall pay to CS an amount equal to 50% of such net Tax benefit and, if such a net Tax
benefit is realized during any succeeding year of such 5-year period, the amount that DPS is
required to pay CS shall decrease by 5% each year so that the payment would be 30% of the next Tax
benefit if realized during the fifth year of the 5-year period.

               (iv) Without duplication, if, as a result of an amended Tax Return, claim for refund, audit,
agreed determination or other adjustment, claim or decision, the amounts indemnified against by the
Cadbury Group pursuant to Section 6(a) or DPS Group pursuant to Section 6(b), as the case may be,
is increased and there is a Tax benefit (including an adjustment to the Tax basis of an asset) that
is realized by the other party, such other party shall promptly pay to CS or DPS, as the case may
be, the amount of the Tax benefit less any incremental Tax or other cost of such other party,
computed in accordance with the provisions of this Section 6(f).

          (g) Each member of the DPS Group shall act in a commercially reasonable manner in respect of
their Tax matters and shall not proactively disclose to any person any material information
regarding the Income Tax reporting positions or Income Tax Returns of any member of the DPS Group
in respect of a Pre-Demerger or Straddle Period except (i) to any of its legal, accounting and tax
personnel, outside legal and tax advisors, and auditors, but only to the extent necessary for tax
and financial reporting purposes, provided that such persons are instructed to keep such
information confidential, or to such other persons as is otherwise required to comply with
applicable law; or (ii) in response to a request by a Taxing Authority (in connection with an audit
or other proceeding), to the extent that the DPS Group determines, in its good faith discretion,
which shall be presumed, that such information should be disclosed. If any member of the DPS Group
makes any such disclosure to any person (including a Taxing Authority) in circumstances other than
permitted above, the Cadbury Group shall not be required
to indemnify the DPS Group for any associated Taxes that the Cadbury Group otherwise would be
required to indemnify the DPS Group against pursuant to this Section 6.

          (h) For purposes of this Agreement (taking into account the responsibility for Taxes under
this Agreement), in computing amounts indemnified against and for purposes of

17

 

preparing DPS
Transition Returns and other Tax Returns, if an allocation of Taxes is required for a member of the
Cadbury Group or the DPS Group (or a Subsidiary thereof) for a Straddle Period or other taxable
period then the amount of such Tax that is allocable to the portion of such taxable period ending
on the Demerger Date or other date for which the allocation is relevant shall be: (i) in the case
of income Taxes, sales Taxes, employment Taxes and other Taxes that are readily apportionable based
on an actual or deemed closing of the books, the portion of any such Tax equal to the amount that
would be payable if the taxable year (including, for the avoidance of doubt, the taxable year of
any entity that is a partnership for U.S. federal income tax purposes) ended on the Demerger Date
or other relevant date, and (ii) in the case of property and other Taxes that are imposed on a
periodic basis, the portion of any such Tax equal to the amount of such Tax for the entire taxable
period multiplied by a fraction, the numerator of which is the number of days in the portion of the
taxable period ending on the Demerger Date or other relevant date, and the denominator of which is
the number of days in the entire taxable period. Any Tax Benefit Attribute for a Straddle Period
or other taxable period for which an allocation is required for a member of the Cadbury Group or
the DPS Group (or a Subsidiary thereof) shall be allocated in the same manner as provided in this
Section 6(h) as the Tax to which the Tax Benefit Attribute relates.

          (i) The indemnification obligations contained in this Section 6 or otherwise in this Agreement
shall remain in effect until 30 days after the expiration of all applicable statutes of limitation
(giving effect to any extension, waiver or mitigation thereof) and, with respect to any claim
hereunder initiated prior to the end of such period, until such claim has been satisfied or
otherwise resolved.

     7. Guarantees. CS shall guarantee or otherwise perform the obligations of each member of the
Cadbury Group under this Agreement. DPS shall guarantee or otherwise perform the obligations of
each member of the DPS Group under this Agreement.

     8. Cooperation.

          (a) CS and DPS shall each, at their own expense, cooperate with each other (and shall cause
each member of the Cadbury Group and the DPS Group, respectively, to cooperate) and make available
to each other, their officers, agents and personnel and such Tax and accounting data and other
information as may be reasonably required in connection with (i) the preparation or filing of any
Tax Return, election, consent, certification, declaration or authorization of representative, or
any claim for refund, including executing such items where required, (ii) any determinations of
liability for Taxes, or (iii) any audit or other proceeding in respect of Taxes including
cooperating in connection with the exercise of contest rights under Section 9. Without limiting
the foregoing, the members of the DPS Group and the Cadbury Group, as the case may be, shall not be
entitled to assert privilege or any similar argument against the members of the other group with
respect to legal and other professional services or
documents (both internal and external), in each case, in respect of Tax matters of the Cadbury
Group and the DPS Group for Pre-Demerger Periods or Straddle Periods. At the request of Cadbury
and in connection with a Confectionery Transaction or in respect of CBCI, DPS shall make (or cause
to be made or permit CS to make) one or more Tax elections, as directed by CS and, in the case of
CBCI, at no net Tax cost to the DPS Group (for the avoidance of doubt,

18

 

nothing in this sentence
shall limit the obligations of the Cadbury Group to indemnify the DPS Group for Confectionery
Transactions pursuant to Section 6 of this Agreement). The Cadbury Group and the DPS Group shall
retain all Tax Returns, work papers and all Tax and accounting records or other documents in their
possession relating to material Tax and accounting matters of the DPS Group for any Pre-Demerger
Period or Straddle Period until the later of (i) seven years after the Demerger Date or (ii) one
year after the expiration of all applicable statutes of limitations (including extensions thereof).
After such time, before the Cadbury Group or the DPS Group shall dispose of any such documents in
their possession, the other party shall be given an opportunity, after 90 days prior written
notice, to remove and retain all or any part of such documents as such other party may select (at
such other party’s expense). The parties agree to use their best efforts to maintain privilege or
other protection in respect of third parties regarding any documents or other information relating
to Tax matters provided by the Cadbury Group or the DPS Group, as the case may be, to the other
group.

          (b) (i) (A) Without limiting Section 8(a), the DPS Group shall provide the Cadbury Group and
its officers, agents and personnel with access to and the right to copy such documents, and shall
provide such other information, as are reasonably necessary to allow the Cadbury Group to determine
and report their Taxes for any Pre-Demerger Period or Straddle Period and to prepare any applicable
Tax Return or other required filings of the Cadbury Group. The DPS Group acknowledges and agrees
that the rights afforded to the Cadbury Group under this Section 8(b)(i) are, among other things,
intended to enable the Cadbury Group to prepare, at its expense, profit and loss statements,
balance sheets and other financial statements or accounting information with respect to each member
of the DPS Group on a stand-alone or legal entity basis as of or prior to the Demerger Date and, in
the case of a jurisdiction in which the Taxable year of a DPS Group member does not end on the
Demerger Date, as of the end of the Taxable year in which the Demerger Date occurs.

               (B) DPS shall deliver or cause to be delivered to CS, or otherwise make available to CS,
information in respect of the accounting systems of the DPS Group for Pre-Demerger Periods and
Straddle Periods to enable CS to create the DPS Statements (as defined below) no later than [30]
days after the Demerger Date. Based on the information in respect of the accounting systems of the
DPS Group for Pre-Demerger Periods and Straddle Periods (the “DPS Information”) that CS is entitled
to download or otherwise acquire pursuant to this Section 8, CS will create profits and loss
statements and balance sheets for each legal entity of the DPS Group for the period beginning on
January 1, 2008 and ending on the Demerger Date in accordance with the accounting policies of the
DPS Group as of, and prior to, the Demerger Date (the “DPS Statements”) and shall deliver the DPS
Information and DPS Statements to DPS within 90 days of the Demerger Date (or such other time as CS
shall determine and notify DPS in writing); provided that DPS, at its expense, shall provide any
reasonable cooperation requested by CS in preparing the DPS Statements, including the provision of
any other information that CS determines is reasonably necessary to prepare the DPS Statements in
accordance with such accounting policies of the DPS Group. Within 45 days of the receipt of
the DPS Information and DPS Statements by DPS, DPS shall confirm in writing to CS that (A) the DPS
Information downloaded or otherwise acquired by DPS was properly extracted from the DPS accounting
systems, is accurate and complete in all material respects and is properly identified on an
entity-by-entity basis, and (B) the accounting policies used by CS in preparing

19

 

the DPS Statements
are consistent in all material respects with the accounting policies of the DPS Group as of, and
prior to, the Demerger Date; provided that if DPS is unable to provide such written confirmation,
(X) DPS shall provide CS, within 45 days of the receipt of the DPS Information and DPS Statements
by DPS, with a written statement setting forth in detail the reasons that such confirmation could
not be made, (Y) DPS shall, at its expense, cooperate with CS to correct the DPS Information or DPS
Statements, including any improper extraction of the DPS Information or any inconsistencies in the
accounting policies used by CS to prepare the DPS Statements, and (Z) within 20 days of the receipt
of revised DPS Information and DPS Statements, DPS shall provide the written confirmation
contemplated by this Section 8(b)(iii) to CS; provided, further, that the principles of the
preceding proviso shall continue to apply until CS receives such written confirmation.

               (ii) Without limiting Sections 8(a) and 8(b)(i), the DPS Group shall provide the Cadbury Group
and its officers, agents and personnel all such cooperation, access and assistance, as may
reasonably be necessary for the Cadbury Group to comply with any CFC Legislation, including causing
the DPS Group to, as soon as reasonably practicable, (i) respond to any CFC Questions asked by CS
and its officers, agents and personnel, and (ii) provide CS with copies of any accounts or
financial statements or other information in respect of the members of the DPS Group that may be
reasonably required or reasonably necessary to enable the Cadbury Group to comply with any CFC
Legislation in relation to the DPS Group in respect of any Pre-Demerger Period or Straddle Period
(including permitting the Cadbury Group to download any information in respect of accounting
systems of the DPS Group for Pre-Demerger Periods and Straddle Periods).

               (iii) With respect to Controladora de Marcas Internacionales, S.A. de C.V. and Adams Mecca
B.V., DPS shall deliver to CS, in the case of a Pre-Demerger Period within 30 days following the
Demerger Date and in the case of a Straddle Period within 30 days following the end of such
Straddle Period, copies or originals of all Tax and accounting data and other information or
documents relating to Tax matters of the applicable company for the applicable taxable period.

     9. Audits and Contest.

          (a) CS or DPS shall notify the other in writing upon the receipt of any notice of a Tax
Proceeding that could reasonably result in a right to indemnification of a party under this
Agreement together with a description in reasonable detail of the Tax Proceeding and the underlying
claim within 30 days of the receipt of such notice or such earlier time that would allow the
indemnifying party to timely respond to such notice; provided, that a party’s right to
indemnification under this Agreement shall not be limited in any way by a failure to so notify,
except to the extent that the indemnifying party is materially prejudiced by such failure.

          (b) Notwithstanding anything in this Agreement to the contrary, except as otherwise provided
in this Section 9(b), CS shall have full control over any Tax Proceeding in respect of Cadbury
Group Taxes and Taxes indemnified against by Cadbury pursuant to this Agreement including any Tax
Proceeding involving the DPS Group or any of its members relating to a Confectionery Transaction or
a Specified Entity. CS shall have absolute discretion

20

 

with respect to any decisions to be made
(including choice of counsel, venue or judicial forum), or the nature of any action to be taken,
with respect to such Tax Proceeding and the contest thereof (including whether to litigate,
compromise or otherwise settle the dispute or contest and the amount of any settlement) and DPS
shall cooperate with CS in accordance with the provisions of Section 8 and this Section 9; provided
that DPS may, at its own expense, participate in any such Tax Proceeding and CS shall consult with
and take reasonable direction from DPS in respect of any decisions to be made or actions to be
taken in respect of Tax matters of the DPS Group other than with respect to Cadbury Group Taxes,
Confectionery Transactions, one or more Specified Entities or other matters relating to Taxes
indemnified against by Cadbury pursuant to this Agreement.

          (c) With respect to Tax Proceedings not described in Section 9(b) but that could result in
right to indemnification for Taxes or Damages by the DPS Group or the Cadbury Group, as the case
may be, under this Agreement, the indemnified party shall control the Tax Proceeding and contest
the claim indemnified against in good faith as directed by the indemnifying party; provided further
that to the extent relating to the claim indemnified against, (i) the indemnified party shall keep
the indemnifying party informed of the status and progress of the Tax Proceeding and shall consult
with the indemnified party regarding decisions relating to the Tax Proceeding, and (ii) the
indemnified party shall not settle or compromise any such Tax Proceeding without the prior written
consent of the indemnified party (such consent not to be unreasonably withheld or delayed).

          (d) With respect to any Tax Proceeding involving issues relating solely to a Tax Return or
Taxes of one or more members of the DPS Group for which the DPS Group has no right to
indemnification under this Agreement, DPS shall have control over such Tax Proceeding and shall
have discretion with respect to any decisions to be made, or the nature of any action to be taken,
with respect to such Tax Proceeding; provided that to the extent that the outcome of the Tax
Proceeding can affect the Taxes of the Cadbury Group under the CFC Legislation or otherwise, (i) CS
shall have the right, at its own expense, to participate and DPS shall keep CS informed of the
status and progress of the Tax Proceeding and shall consult with CS regarding decisions relating to
the Tax Proceeding, and (ii) DPS shall not settle or compromise any such Tax Proceeding without the
prior written consent of CS (such consent not to be unreasonably withheld or delayed).

          (e) The DPS Group acknowledges and agrees that with respect to any Tax Proceeding including or
involving the DPS Group that CS controls pursuant to this Section 9, (i) the DPS Group shall
cooperate fully with CS, (ii) the DPS Group shall act in good faith and use its best efforts to
support the defense of the Tax Proceeding, and (iii) in no event shall the DPS Group interfere with
CS’ control of the Tax Proceeding or otherwise fail to support, or take any action that is
inconsistent with, the Tax reporting positions for the relevant transaction or item unless
otherwise directed by Cadbury in writing.

     10. Notices. All notices, requests, claims, demands and other communications hereunder shall
be in writing and shall be given or made (and shall be deemed to have been duly given or made upon
receipt) by delivery in person, by an internationally recognized overnight courier service, by
facsimile or registered or certified mail (postage prepaid, return receipt requested) to

21

 

the
respective parties hereto at the following addresses (or at such other address for a party as shall
be specified in a notice given in accordance with this Section 10):

	 	(a)	 	If to CS or Cadbury:
	 
	 	 	 	Cadbury plc

25 Berkeley Square

London W1J 6HB

Facsimile: 44-20-7830-5015

	 	Attention: 	 	Henry Udow, Esq. — Chief Legal Officer

Lisa M. Longo — Senior Vice President of Tax

	 	 	 	with a copy to:
	 
	 	 	 	Shearman & Sterling LLP

599 Lexington Avenue

New York, NY 10022-6069

Facsimile: (212) 848-7179

	 	Attention: 	 	Laurence M. Bambino, Esq.

Creighton O’M. Condon, Esq.

	 	 	 	and
	 
	 	 	 	Slaughter and May

One Bunhill Row

London EC1Y 8YY

Facsimile: 44-20-7090-5000

Attention: Tim Boxell
	 
	 	(b)	 	If to DPS:
	 
	 	 	 	Dr Pepper Snapple Group, Inc.

5301 Legacy Drive

3rd Floor

Plano, TX 75024

Facsimile:

	 	Attention: 	 	James L. Baldwin, Jr. — General Counsel

Taun Dimatteo — Senior Vice President of Tax

	 	 	 	with a copy to:
	 
	 	 	 	Sullivan & Cromwell LLP

125 Broad Street

New York, New York 10004-2498

Facsimile: (212) 558-3588

Attention: Ronald E. Creamer, Jr., Esq.

22

 

     11. Costs and Expenses. Except as expressly set forth in this Agreement or the Transition
Services Agreement, each of the Cadbury Group and the DPS Group shall bear its own costs and
expenses (including reasonable attorneys’ fees, accountant fees and other related professional fees
and disbursements) incurred in preparing and filing any Tax Return, in complying with the
provisions of this Agreement and in connection with any Tax Proceeding.

     12. Interest. Any payment required to be made pursuant to this Agreement that is not paid
when due shall bear interest at the Underpayment Rate.

     13. Effectiveness; Termination; Survival and Change of Control.

          (a) This Agreement shall become effective upon the consummation of the Demerger. All rights
and obligations arising hereunder shall survive until they are fully effectuated or performed in
accordance with the terms thereof. The rights and obligations of the Cadbury Group and the DPS
Group under this Agreement shall survive the sale or other transfer by any member of the Cadbury
Group or the DPS Group, as the case may be, of any assets or businesses or the assignment by such
member of any liabilities.

          (b) Notwithstanding anything to the contrary contained in this Agreement, upon the occurrence
of (i) the acquisition of ownership, directly or indirectly, beneficially or of record, by any
Person or group (within the meaning of the Securities Exchange Act of 1934 and the rules of the
Securities Exchange Commission thereunder as in effect on the date hereof), of capital stock
(whether denominated as common stock or preferred stock) of DPS representing more than 35% of the
aggregate ordinary voting power represented by the issued and outstanding capital stock of DPS, or
(ii) occupation of a majority of the seats (other than vacant seats) on the board of directors of
DPS by Persons who were neither (A) nominated by the board of directors of DPS nor (B) appointed by
directors so nominated, the indemnification obligations of the Cadbury Group to indemnify against
Incremental DPS Group Taxes, and the right of the DPS Group to be so indemnified, shall terminate
without any action of the parties hereto and none of the members of the Cadbury Group shall have
any further liabilities or obligations, and none of the members of the DPS Group shall have any
further rights, with respect to Incremental DPS Group Taxes. Notwithstanding the foregoing, any
member of the DPS Group shall be permitted to undertake wholly internal reorganizations,
consolidations, or mergers involving DPS and any Person that is a Subsidiary of DPS after the
Demerger Date.

     14. Entire Agreement; Amendments and Waivers.

          (a) This Agreement contains the entire understanding of the parties hereto with respect to the
subject matter contained herein.

          (b) This Agreement may not be amended or modified except (i) by an instrument in writing
signed by, or on behalf of, the parties hereto or (ii) by a waiver in accordance with
Section 14(c).

          (c) Either party to this Agreement may (i) extend the time for the performance of any of the
obligations or other acts of the other party and (ii) waive compliance with any of the

23

 

agreements
of the other party or conditions to such party’s obligations contained herein. Any such extension
or waiver shall be valid only if set forth in an instrument in writing signed by the party to be
bound thereby. Any waiver of any term or condition shall not be construed as a waiver of any
subsequent breach or a subsequent waiver of the same term or condition, or a waiver of any other
term or condition of this Agreement. The failure of either party hereto to assert any of its
rights hereunder shall not constitute a waiver of any of such rights

     15. Governing law. This Agreement shall be governed by, and construed in accordance with, the
laws of the State of New York.

     16. Dispute Resolution. (a) The procedures for discussion, negotiation and arbitration set
forth in this Section 16 shall apply to all disputes, controversies or claims that may arise out of
or relate to, or arise under or in connection with, this Agreement between or among any member of
the Cadbury Group, on the one hand, and any member of the DPS Group, on the other hand
(collectively, “Agreement Disputes”).
(b) CS and DPS will use their respective commercially reasonable efforts to resolve
expeditiously any Agreement Dispute on a mutually acceptable negotiated basis. In furtherance of
the foregoing, any member of the DPS Group or the Cadbury Group involved in an Agreement Dispute
may deliver a notice (an “Escalation Notice”) demanding an in-person meeting involving the
senior tax director of each Cadbury and DPS. A copy of any such Escalation Notice shall be given
to the chief legal officer of each of CS and of DPS (which copy shall state that it is an
Escalation Notice pursuant to this Section 16(b)). Any agenda, location or procedures for such
discussions or negotiations between CS and DPS may be established by CS and DPS from time to time;
provided, however, that the representatives of CS and DPS shall use their reasonable efforts to
meet within 30 days of the Escalation Notice.

          (c) If the senior tax director of each CS and DPS are not able to resolve the Agreement
Dispute within 30 days after the date of the Escalation Notice (or such shorter time as is
necessary to avoid immediate irreparable injury), then the Agreement Dispute shall be submitted to
the chief financial officer of each of CS and DPS.

          (d) If CS and DPS are not able to resolve the Agreement Dispute through the processes set
forth in subsections (b) and (c) of this Section 16 within 60 days after the date of the Escalation
Notice, such Agreement Dispute shall be determined, at the request of either CS or DPS by
arbitration, which shall be conducted (i) by three arbitrators, consisting of one arbitrator
appointed by CS, one arbitrator appointed by DPS and a third arbitrator appointed by the two
arbitrators appointed by CS and DPS or, if the arbitrators appointed by CS and DPS cannot agree on
a third arbitrator, the third arbitrator shall be appointed by the chief financial officer of each
CS and DPS, and (ii) in accordance with the Commercial Rules of the American Arbitration
Association (except with respect to the selection of arbitrators) in effect at the time of filing
of the demand for arbitration.

          (e) The decision of the arbitrators shall be final and binding upon the parties hereto, and
the expense of the arbitration (including the award of attorneys’ fees to the prevailing party)
shall be paid as the arbitrators determine. The decision of the arbitrators shall be

24

 

executory,
and judgment thereon may be entered by any court of competent jurisdiction. The seat of the
arbitration shall be New York, New York.

          (f) The existence of, and any discussions, negotiations, arbitrations or other proceedings
relating to, any Agreement Dispute shall be considered by each party hereto as confidential
information until such time as a judgment thereon is entered in a court of competent jurisdiction.

          (g) Notwithstanding anything contained in this Agreement to the contrary, no member of the DPS
Group and no member of the Cadbury Group shall have the right to institute judicial proceedings
against the other party or any Person acting by, through or under such other party, in order to
enforce the instituting party’s rights hereunder, except that any such member shall be permitted to
seek an injunction in aid of arbitration with respect to an Agreement Dispute to preserve the
status quo during the pendency of any arbitration proceeding pursuant to paragraph (d) of this
Section 16. All judicial proceedings arising out of or relating to this Agreement shall be heard
and determined exclusively in any New York state or federal court sitting in the Borough of
Manhattan in The City of New York.

          (h) Unless otherwise agreed in writing, the parties will continue to provide service and honor
all other commitments under this Agreement during the course of dispute resolution pursuant to the
provisions of this Section 16 with respect to all matters not subject to such Agreement Dispute.

     17. Counterparts. This Agreement may be executed and delivered (including by facsimile
transmission or portable document format (“.pdf”)) in counterparts, and by the different
Parties hereto in separate counterparts, each of which when executed shall be deemed to be an
original, but all of which taken together shall constitute one and the same agreement.

     18. Assignments; Third Party Beneficiaries. This Agreement may not be assigned by a party
hereto without the consent of the other party hereto; provided that a merger shall not be deemed to
be an assignment under this Agreement; and provided further, that any party may assign this
Agreement or any of its rights and obligations hereunder to one or more Affiliates of such party
without the consent of the other party provided that no such assignment shall relieve the assignor
of any of its obligations hereunder. This Agreement shall be binding upon and inure solely to the
benefit of the parties hereto (including the members of the Cadbury Group and the DPS Group as the
case may be) and their respective successors and permitted assigns, and nothing herein, express or
implied (including the provisions of Section 6 relating to indemnified parties), is intended to or
shall confer upon any other Person (including any shareholders of Cadbury and/or DPS) any legal or
equitable right, benefit or remedy of any nature whatsoever under or by reason of this Agreement.
If, during the period beginning on the Demerger Date and ending upon the expiration of the survival
period set forth in Section 13, any Person becomes an Affiliate of CS or DPS, such Affiliate shall
be bound by the terms of this Agreement and CS or
DPS, as the case may be, shall provide evidence to the other party of such Affiliate’s
agreement to be bound by the terms of this Agreement upon the request of such other party.

25

 

     19. Severability. If any term or other provision of this Agreement is invalid, illegal or
incapable of being enforced by any Law or public policy, all other terms and provisions of this
Agreement shall nevertheless remain in full force and effect for so long as the economic or legal
substance of the transactions contemplated by this Agreement is not affected in any manner
materially adverse to either party hereto. Upon such determination that any term or other
provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in
good faith to modify this Agreement so as to effect the original intent of the parties as closely
as possible in an acceptable manner in order that the transactions contemplated by this Agreement
are consummated as originally contemplated to the greatest extent possible.

     20. CS Obligations. DPS and Cadbury agree that Cadbury shall not, and shall cause CS not to,
take any actions that would materially and adversely impact the ability of CS to fulfill its
obligations under this Agreement; provided that Cadbury may at any time following the Demerger Date
require CS to assign to Cadbury all of CS’ rights and obligations under this Agreement in
substitution for compliance by Cadbury and CS with the aforementioned obligation in this Section
20, and upon such assignment, Cadbury shall assume all of CS’ obligations under this Agreement.

     21. Authorization, etc. Each of the parties hereto hereby represents and warrants that it has
the power and authority to execute, deliver and perform this Agreement, that this Agreement has
been duly authorized by all necessary corporate action on the part of such party, that this
Agreement constitutes a legal, valid and binding obligation of each such party, and that the
execution, delivery and performance of this Agreement by such party does not contravene or conflict
with any provision or law or of its charter or bylaws or any agreement, instrument or order binding
on such party.

* * *

26

 

IN WITNESS WHEREOF, the parties have executed and delivered this Agreement as of the day and year
first written above.

     CADBURY SCHWEPPES PLC on its own behalf and on behalf of the members of the Cadbury Group
(other than Cadbury)

	By:	 	 
	Name:	 	 
	Title:	 	 

     DR PEPPER SNAPPLE GROUP on its own behalf and on behalf of the members of the DPS Group

	By:	 	 
	Name:	 	 
	Title:	 	 

     CADBURY PLC, solely for purposes of Section 20

	By:	 	 
	Name:	 	 
	Title:	 	 

27

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