Document:

Exhibit 4.23

 

 

SECOND SUPPLEMENTAL SENIOR INDENTURE

 

AMONG

DEUTSCHE BANK AKTIENGESELLSCHAFT

Issuer

AND

LAW DEBENTURE TRUST COMPANY OF NEW YORK

Trustee

AND

DEUTSCHE BANK TRUST COMPANY AMERICAS,

Paying Agent, Authenticating Agent, Issuing Agent and Registrar

Dated as of January 1, 2015

SUPPLEMENTAL TO SENIOR INDENTURE

DATED AS OF NOVEMBER 22, 2006

  

  

  

THIS SECOND SUPPLEMENTAL SENIOR INDENTURE, dated as of January 1, 2015, among DEUTSCHE BANK AKTIENGESELLSCHAFT (the “Issuer”), LAW DEBENTURE TRUST COMPANY OF NEW YORK, as trustee (the “Trustee”), and DEUTSCHE BANK TRUST COMPANY AMERICAS, as Paying Agent, Authenticating Agent, Issuing Agent and Registrar.

 

W I T N E S S E T H :

 

WHEREAS, the Issuer and the Trustee are parties to that certain Senior Indenture dated as of November 22, 2006, as supplemented by the First Supplemental Senior Indenture, dated as of March 7, 2014, among the Issuer, the Trustee and Deutsche Bank Trust Company Americas (the “Indenture”);

 

WHEREAS, Section 8.01(d) of the Indenture provides that, without the consent of the Holders of any Securities, the Issuer and the Trustee may enter into indentures supplemental to the Indenture for the purpose of, among other things, making any provisions as the Issuer may deem necessary or desirable; provided that no such action shall adversely affect the interests of the Holders of the Securities or Coupons;

 

WHEREAS, there are no Securities Outstanding of any series created prior to the execution of this Second Supplemental Senior Indenture which are entitled to the benefit of the provisions set forth herein or would be adversely affected by such provisions;

 

WHEREAS, the Issuer and the Trustee desire to amend the Indenture to provide that the Holders (including the Beneficial Owners) of certain Securities to be issued under the Indenture on or after the date of this Second Supplemental Senior Indenture shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority;

 

WHEREAS, Section 8.01(e) of the Indenture provides that, without the consent of the Holders of any Securities, the Issuer and the Trustee may enter into indentures supplemental to the Indenture for the purpose of, among other things, establishing the forms or terms of Securities of any series or of the Coupons appertaining to such Securities as permitted by Sections 2.01 and 2.03 of the Indenture;

 

WHEREAS, the parties hereto desire to establish the forms of Securities for the Global Notes, Series A to be issued under the Indenture on or after the date of this Second Supplemental Senior Indenture pursuant to Sections 2.01 and 2.03 of the Indenture;

 

WHEREAS, the entry into this Second Supplemental Senior Indenture by the parties hereto is in all respects authorized by the provisions of the Indenture; and

 

WHEREAS, all things necessary to make this Second Supplemental Senior Indenture a valid indenture and agreement according to its terms have been done;

 

NOW, THEREFORE:

 

 

  

  

  

 

 

In consideration of the premises, the Issuer and the Trustee mutually covenant and agree for the equal and proportionate benefit of the respective Holders from time to time of the Securities as follows:

 

ARTICLE 1

Forms of Securities

 

Section 1.01.  Forms of Securities.  As applied to the Securities to be issued under the Indenture on or after the date of this Second Supplemental Senior Indenture, the forms of Securities for the Global Notes, Series A shall be substantially in the forms of Schedule I or Schedule II to this Second Supplemental Senior Indenture and as may be determined from time to time pursuant to Officers’ Certificates pursuant to Section 2.03 of the Indenture.

 

ARTICLE 2

Additional Terms Applicable to the Securities

 

Section 2.01.  Addition of Certain Terms Defined.  With respect to the Securities to be issued under the Indenture on or after the date of this Second Supplemental Senior Indenture, Section 1.01 of the Indenture is amended to include the following definitions (which shall be deemed to arise in Section 1.01 in their proper alphabetical order):

 

“Beneficial Owner” shall mean (i) if any Securities are in global form, the beneficial owners of such Securities (and any interest therein) and (ii) if any Securities are in definitive form, the holders in whose name such Securities are registered in the Security register of the Issuer and any beneficial owners holding an interest in such Securities in definitive form.

 

“competent resolution authority” means any authority with the ability to exercise a Resolution Measure.

 

“Resolution Measure” has the meaning set forth in Section 2.02 of this Second Supplemental Senior Indenture.

 

Section 2.02.  Securities Subject to Resolution Measures. The following provisions apply to the Securities to be issued under the Indenture on or after the date of this Second Supplemental Senior Indenture, unless the face of any such Security has specified that “Resolution Measures” are “not applicable” or any such Security is a further issuance of Securities with the same terms as Securities originally issued prior to January 1, 2015:

 

By acquiring the Securities, the Holders (including the Beneficial Owners) shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

	
  

	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Issuer from time to time, the Securities may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of the principal amount, the interest amount, if any, or any other amount in respect of the Securities;

 

 

  

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(ii)

	
convert the Securities into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of the Securities to another entity, (B) the amendment of the terms and conditions of the Securities or (C) the cancellation of the Securities;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment by the Issuer arising out of any such Resolution Measure will not constitute a failure by the Issuer under the terms of the Securities or the Indenture to make a payment of principal of, interest on, or other amounts owing under the Securities. If any Securities provide for delivery of any property, any reference in the Indenture and this Second Supplemental Senior Indenture to payment by the Issuer under the Securities shall be deemed to include the delivery of such property.

 

	
  

	
(b)

	
By its acquisition of the Securities, each Holder (including each Beneficial Owner) shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Issuer arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default or an Event of Default under the Indenture or for the purpose of the Trust Indenture Act of 1939 (including, without limitation, Section 315(b) (Notice of Default) and Section 315(c) (Duties of the Trustee in Case of Default) of the Trust Indenture Act of 1939).

 

	
  

	
(c)

	
The terms and conditions of the Securities shall continue to apply in relation to the residual principal amount of, or outstanding amount payable in respect of, the Securities, subject to any modification of the amount of interest payable, if any, to reflect the reduction of the principal amount, and any further modification of the terms that the competent resolution authority may decide in accordance with applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

	
  

	
(d)

	
No repayment of any then-current principal amount of the Securities or payment of interest or any other amount thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such repayment or payment would be permitted to be made by the Issuer under the laws and regulations of the Federal Republic of Germany then applicable to the Issuer.

 

  

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(e)

	
By its acquisition of the Securities, each Holder (including each Beneficial Owner) waives, to the fullest extent permitted by the Trust Indenture Act of 1939 and applicable law, any and all claims against the Trustee or the Paying Agent for, agrees not to initiate a suit against the Trustee or the Paying Agent in respect of, and agrees that the Trustee and the Paying Agent shall not be liable for, any action that the Trustee or Paying Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to the Securities.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to the Securities, the Issuer shall provide a written notice directly to the Holders in accordance with Section 11.04 of the Indenture as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying Holders of such occurrence.  The Issuer shall also deliver a copy of such notice to the Trustee and the Paying Agent for information purposes, and the Trustee and the Paying Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Issuer to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on the Securities.

 

	
  

	
(g)

	
If any Securities are called or being called for redemption by the Issuer or submitted or being submitted by the Holders for repurchase by the Issuer pursuant to the Holders’ option to require the Issuer to repurchase such Securities, but the competent resolution authority has imposed a Resolution Measure with respect to the Securities prior to the payment of the redemption or repurchase amount, the relevant redemption or repurchase notice, if any, shall be automatically rescinded and shall be of no force and effect, and no payment of the redemption or repurchase amount will be due and payable.

 

	
  

	
(h)

	
Upon the imposition of any Resolution Measure by the competent resolution authority, the Trustee shall not be required to take any further directions from Holders of the Securities under Section 5.09 of the Indenture, which section authorizes Holders of a majority in aggregate principal amount of the Securities at the time Outstanding to direct certain actions relating to the Securities, and if any such direction was previously given under Section 5.09 of the Indenture to the Trustee by the Holders, it shall automatically cease to be effective, be null and void and have no further effect.  The Indenture shall impose no duties, obligations or liabilities upon the Trustee or the Agents whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Trustee and the Agents shall be fully protected in acting or refraining from acting in accordance with a Resolution Measure.  Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, the Securities remain outstanding (for example, if the imposition of a Resolution Measure results in only a partial write-down of the principal of the Securities), then the Trustee’s and the Paying Agent’s duties under the Indenture shall remain applicable with respect to the Securities following such completion to the extent that the Issuer, the Trustee and the Agents agree pursuant to a supplemental indenture, unless the Issuer, the Trustee and the Agents agree that a supplemental indenture is not necessary.

 

  

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(i)

	
By the acquisition of the Securities, each Holder (including each Beneficial Owner) shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to the Securities and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds such Securities to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to the Securities as it may be imposed, without any further action or direction on the part of such Holders of the Securities, the Trustee or the Agents.

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding principal amount of the Securities, unless the Trustee or the Agents are otherwise instructed by the Issuer or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Securities pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Securities of any series.

 

	
  

	
(k)

	
The Issuer’s obligations to indemnify the Trustee and the Agents in accordance with Sections 6.02 and 6.06 of the Indenture shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to the Securities.

 

Section 2.03. Amendment to the Indenture. (a) In addition to Section 8.01 of the Senior Indenture, the Issuer and the Trustee may amend, modify or supplement the Indenture without the consent of any Holder to give effect to any variation to the terms of the Securities as a result of the imposition of any Resolution Measure.

 

 (b) In addition, for purposes of Section 8.01(d) of the Senior Indenture, any amendment made solely to conform the provisions of this Second Supplemental Senior Indenture to the description of the Securities contained in the Issuer’s prospectus addendum dated December 24, 2014 will not be deemed to materially or adversely affect the interests of the Holders of the Securities.

 

ARTICLE 3

Miscellaneous Provisions

 

Section 3.01.  Further Assurances.  The Issuer will, upon request by the Trustee, execute and deliver such further instruments and do such further acts as may reasonably be necessary or proper to carry out more effectively the purposes of this Second Supplemental Senior Indenture.

 

Section 3.02. Other Terms of Indenture. Except insofar as herein otherwise expressly provided, all provisions, terms and conditions of the Indenture are in all respects ratified and confirmed and shall remain in full force and effect.

 

  

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Section 3.03. Terms Defined. All terms defined elsewhere in the Indenture shall have the same meanings when used herein.

 

Section 3.04.  Governing Law. This Second Supplemental Senior Indenture shall be deemed to be a contract under the laws of the State of New York, and for all purposes shall be construed in accordance with the laws of such State, except as may otherwise be required by mandatory provisions of law.

 

Section 3.05. Counterparts. This Second Supplemental Senior Indenture may be executed in any number of counterparts, each of which shall be an original, but such counterparts shall together constitute but one and the same instrument.

 

Section 3.06. Responsibility of the Trustee. The recitals contained herein shall be taken as the statements of the Issuer, and the Trustee assumes no responsibility for the correctness of the same. The Trustee makes no representations as to the validity or sufficiency of this Second Supplemental Senior Indenture or the Securities.

 

  

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IN WITNESS WHEREOF, the parties hereto have caused this Second Supplemental Senior Indenture to be duly executed, all as of January 1, 2015.

 

	
DEUTSCHE BANK AKTIENGESELLSCHAFT

	 
	 
	
By:

	
/s/ Joseph Rice

	 	
Name:

	
Joseph Rice

	 	
Title:

	
Managing Director

 

 

	
By:

	

/s/ Anjali Thadani

	 	
Name:

	
Anjali Thadani

	 	
Title:

	
Director

 

	

LAW DEBENTURE TRUST COMPANY OF NEW YORK,

TRUSTEE

	 
	 
	
By:

	

/s/ James D. Heaney

	 	
Name:

	
James D. Heaney

	 	
Title:

	
Managing Director

 

 

	

DEUTSCHE BANK TRUST COMPANY AMERICAS, as Paying Agent, Issuing Agent and Registrar

	 
	 
	
By:

	

/s/ Chris Niesz

	 	
Name:

	
Chris Niesz

	 	
Title:

	
Assistant Vice President

	 	 	 
	 	 	 

	
By:

	

/s/ Jeffery Schoenfeld

	 	
Name:

	
Jeffery Schoenfeld

	 	
Title:

	
Assistant Vice President

 

  

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Schedule I

 

 

 

 

 

  

 

  

 

DEUTSCHE BANK AG

[INSERT BRANCH OFFICE THROUGH WHICH THE NOTE IS ISSUED, IF APPLICABLE]

 

 

[FORM OF FACE OF DEBT SECURITY]

 

FIXED RATE SENIOR REGISTERED NOTE

 

 

	
REGISTERED

	
CUSIP:

	
No. FXR

	
[PRINCIPAL AMOUNT]

 

Unless this certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Issuer or its agent for registration of transfer, exchange, or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.

 

 

  

9

  

 

GLOBAL NOTES, SERIES A

 

Fixed Rate Senior Registered Note

 

	
Original Issue Date

	
[  ]

	
Maturity Date

	
[  ]

	
Specified Currency

	
[  ]

	
If Specified Currency Other Than U.S. Dollars, Option to Elect Payment in U.S. Dollars

	
[N/A]

	
Principal Amount

	
[  ]

	
Aggregate Principal Amount

	
[  ]

	
Minimum Denominations

	
[  ]

	
Interest Rate

	
[  ]

	
Interest Payment Date(s)

	
[  ]

	
Interest Period(s)

	
[  ]

	
Interest Accrual Date

	
[  ]

	
Resolution Measures Provisions

	
[Applicable]1

	
Currency Early Redemption

	
[  ]

	
Initial Redemption Date

	
[  ]

	
Redemption Dates

	
[  ]

	
Redemption Notice Period

	
[  ]

	
Initial Redemption Percentage

	
[  ]

	
Annual Redemption Percentage Reduction

	
[  ]

 

 

1 Resolution Measures Provisions do not apply to further issuances of Notes with the same terms as Notes issued prior to January 1, 2015.

  

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Optional Repayment Date(s)

	
[  ]

	
Applicability of Modified Payment Upon Acceleration or Redemption

	
[  ]

	
If yes, state Issue Price

	
[  ]

	
Original Yield to Maturity

	
[  ]

	
Tax Redemption

	
[N/A]

	
Payment of Additional Tax Amounts

	
[N/A]

	
Other Provisions

	
[  ]

 

Deutsche Bank Aktiengesellschaft, a stock corporation (Aktiengesellschaft) organized under the laws of the Federal Republic of Germany, if so specified, acting through the office specified on the front page of this Note, (together with its successors and assigns, the “Issuer”), for value received, hereby promises to pay to Cede & Co., or registered assignees, the amount in cash, or other property, as determined in accordance with the provisions set forth above, due with respect to [each Principal Amount specified above of the Aggregate Principal Amount]2 [the principal sum]3 specified above on the Maturity Date specified above (except to the extent previously redeemed or repaid) and to pay interest thereon at the Interest Rate per annum specified above from and including the Interest Accrual Date specified above until but excluding the date [the amount due with respect to]2 the principal amount is paid or duly made available for payment (except as provided below) weekly, monthly, quarterly, semi-annually or annually in arrears on the Interest Payment Dates specified above in each year commencing on the Interest Payment Date next succeeding the Interest Accrual Date specified above, and at maturity (or on any redemption or repayment date); provided, however, that if the Interest Accrual Date occurs between a Record Date, as defined below, and the next succeeding Interest Payment Date, interest payments will commence on the second Interest Payment Date succeeding the Interest Accrual Date to the registered Holder of this Note on the Record Date with respect to such second Interest Payment Date.

 

Interest on this Note will accrue from and including the most recent Interest Payment Date to which interest has been paid or duly provided for, or, if no interest has been paid or duly provided for, from and including the Interest Accrual Date, until but excluding the date [the amount due with respect to]2 the principal hereof has been paid or duly made available for payment (except as

 

 

 

2 To be used for structured products

 

3 To be used for non-structured products

 

  

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provided below). The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date will, subject to certain exceptions described herein, be paid to the person in whose name this Note (or one or more predecessor Notes) is registered at the close of business on the date 15 calendar days prior to such Interest Payment Date (whether or not a Business Day (as defined on the reverse of this Note)) (each such date a “Record Date”); provided, however, that interest payable at maturity (or on any redemption or repayment date) will be payable to the person to whom the [amount due with respect to the]2 principal hereof shall be payable.

 

Payment of the [amount due with respect to the]2 principal, premium, if any, and interest due at maturity (or on any redemption or repayment date) on this Note, unless this Note is denominated in a Specified Currency other than U.S. dollars and is to be paid in whole or in part in such Specified Currency, will be made in immediately available funds upon surrender of this Note at the office or agency of the Paying Agent, as defined on the reverse hereof, maintained for that purpose in the Borough of Manhattan, The City of New York, or at such other paying agency as the Issuer may determine, in U.S. dollars.  U.S. dollar payments of interest, other than interest due at maturity (or on any date of redemption or repayment), will be made by U.S. dollar check mailed to the address of the person entitled thereto as such address shall appear in the Note register.  A Holder of U.S. $10,000,000 (or the equivalent in a Specified Currency) or more in aggregate principal amount of Notes having the same Interest Payment Date, the interest on which is payable in U.S. dollars, will be entitled to receive payments of interest, other than interest due at maturity (or on any date of redemption or repayment), by wire transfer of immediately available funds if appropriate wire transfer instructions have been received by the Paying Agent in writing not less than 15 calendar days prior to the applicable Interest Payment Date.

 

If this Note is denominated in a Specified Currency other than U.S. dollars, and the Holder does not elect (in whole or in part) to receive payment in U.S. dollars pursuant to the next succeeding paragraph, payments of the [amount due with respect to the]4 principal, premium, if any, and interest with regard to this Note will be made by wire transfer of immediately available funds to an account maintained by the Holder hereof with a bank located outside the United States if appropriate wire transfer instructions have been received by the Paying Agent in writing not less than 15 calendar days prior to the applicable payment date; provided, that if such wire transfer instructions are not received, such payments will be made by check payable in such Specified Currency mailed to the address of the person entitled thereto as such address shall appear in the Note register; and provided further that payment of the [amount due with respect to the]4 principal of this Note, any premium and the interest due at maturity (or on any redemption or repayment date) will be made upon surrender of this Note at the office or agency referred to in the preceding paragraph.

 

 

4 To be used for structured products

 

  

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If so indicated on the face hereof, the Holder of this Note, if denominated in a Specified Currency other than U.S. dollars, may elect to receive all or a portion of payments on this Note in U.S. dollars by transmitting a written request to the Paying Agent, on or prior to the fifth Business Day after such Record Date or at least ten Business Days prior to the Maturity Date or any redemption or repayment date, as the case may be. Such election shall remain in effect unless such request is revoked by written notice to the Paying Agent as to all or a portion of payments on this Note at least five Business Days prior to such Record Date, for payments of interest, or at least ten calendar days prior to the Maturity Date or any redemption or repayment date, for payments of the [amount due with respect to the]4 principal, as the case may be.

 

If the Holder elects to receive all or a portion of payments of the [amount due with respect to the]4 principal of, premium, if any, and interest on this Note, if denominated in a Specified Currency other than U.S. dollars, in U.S. dollars, the Exchange Rate Agent (as defined on the reverse hereof) will convert such payments into U.S. dollars. In the event of such an election, payment in respect of this Note will be based upon the exchange rate as determined by the Exchange Rate Agent based on the highest bid quotation in The City of New York received by such Exchange Rate Agent at approximately 11:00 a.m., New York City time, on the second Business Day preceding the applicable payment date from three recognized foreign exchange dealers (one of which may be the Exchange Rate Agent unless such Exchange Rate Agent is an affiliate of the Issuer) for the purchase by the quoting dealer of the Specified Currency for U.S. dollars for settlement on such payment date in the amount of the Specified Currency payable in the absence of such an election to such Holder and at which the applicable dealer commits to execute a contract. If such bid quotations are not available, such payment will be made in the Specified Currency. All currency exchange costs will be borne by the Holder of this Note by deductions from such payments.

 

Reference is hereby made to the further provisions of this Note 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 Authenticating Agent, acting on behalf of the Trustee, referred to on the reverse hereof by manual signature, this Note shall not be entitled to any benefit under the Senior Indenture, as defined on the reverse hereof, or be valid or obligatory for any purpose.

 

  

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IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed.

 

	
DATED: [ ]

	  	
DEUTSCHE BANK AG  [INSERT BRANCH OFFICE THROUGH WHICH THE NOTE IS ISSUED, IF APPLICABLE]

	 	 	 
	  	  	  	
By:

	  
	  	  	  	  	
Name:

	  
	  	  	  	  	
Title:

	  
	  	  	  	  	  	  
	  	  	  	
By:

	  	  
	  	  	  	  	
Name:

	  
	  	  	  	  	
Title:

	  

 

 

	
CERTIFICATE OF AUTHENTICATION

 

This Note is one of the Notes referred

to in the within-mentioned

Senior Indenture.

 

DEUTSCHE BANK NATIONAL TRUST COMPANY

on behalf of DEUTSCHE BANK TRUST COMPANY AMERICAS, as Authenticating Agent

	 
	
By:

	  
	  	
Authorized Officer

  

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[FORM OF REVERSE OF SECURITY]

 

This Note is one of a duly authorized issue of Global Notes, Series A of the Issuer (the “Notes”).  The Notes are issuable under a Senior Indenture, dated as of November 22, 2006, among the Issuer, Law Debenture Trust Company of New York, as trustee (the “Trustee,” which term includes any successor trustee under the Senior Indenture), and Deutsche Bank Trust Company Americas (“DBTCA”), as issuing agent, paying agent and registrar (as may be amended or supplemented from time to time, the “Senior Indenture”), to which Senior Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights, limitations of rights, duties and immunities of the Issuer, the Trustee and Holders of the Notes and the terms upon which the Notes are, and are to be, authenticated and delivered.  The Issuer has appointed DBTCA acting through its principal corporate trust office in the Borough of Manhattan, The City of New York, as its paying agent (the “Paying Agent,” which term includes any additional or successor Paying Agent appointed by the Issuer) with respect to the Notes. The Trustee has appointed DBTCA as its authenticating agent (the “Authenticating Agent,” which term includes any additional or successor Authenticating Agent appointed by the Trustee) with respect to the Notes. The terms of individual Notes may vary with respect to interest rates, interest rate formulas, issue dates, maturity dates, or otherwise, all as provided in the Senior Indenture.  To the extent not inconsistent herewith, the terms of the Senior Indenture are hereby incorporated by reference herein.

 

Unless otherwise indicated on the face hereof, this Note will not be subject to any sinking fund and, unless otherwise indicated on the face hereof in accordance with the provisions of the following three paragraphs and except as set forth below, will not be redeemable or subject to repayment at the option of the Holder prior to maturity.

 

If so indicated on the face hereof, this Note may be redeemed in whole or in part at the option of the Issuer on or after the Initial Redemption Date specified on the face hereof  or on the Redemption Dates specified on the face hereof on the terms set forth on the face hereof, together with interest accrued and unpaid hereon to the date of redemption (except as indicated below).

 

If this Note is subject to “Annual Redemption Percentage Reduction,” the Initial Redemption Percentage indicated on the face hereof will be reduced on each anniversary of the Initial Redemption Date by the Annual Redemption Percentage Reduction specified on the face hereof until the redemption price of this Note is 100% of the principal amount hereof, together with interest accrued and unpaid hereon to the date of redemption (except as provided below).  Notice of redemption shall be mailed to the registered Holders of the Notes designated for redemption at their addresses as the same shall appear on the Note register not less than 30 nor more than 60 calendar days prior to the date fixed for redemption

 

  

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or within the Redemption Notice Period specified on the face hereof, subject to all the conditions and provisions of the Senior Indenture.  In the event of redemption of this Note in part only, a new Note or Notes for the amount of the unredeemed portion hereof shall be issued in the name of the Holder hereof upon the cancellation hereof.

 

If so indicated on the face of this Note, this Note will be subject to repayment at the option of the Holder on the Optional Repayment Date or Dates specified on the face hereof on the terms set forth herein. On any Optional Repayment Date, this Note will be repayable in whole or in part in increments of the Minimum Denomination specified on the face of this Note (provided that any remaining principal amount hereof shall not be less than the minimum authorized denomination hereof) at the option of the Holder hereof at a price equal to the amount to be repaid, calculated as set forth on the face of this Note, together with interest accrued and unpaid hereon to the date of repayment (except as provided below), provided that if this Note is issued with original issue discount, this Note will be repayable on the applicable Optional Repayment Date or Dates at the price(s) specified on the face hereof.  For this Note to be repaid at the option of the Holder hereof, the Paying Agent must receive at its corporate trust office in the Borough of Manhattan, The City of New York, at least 15 but not more than 30 calendar days prior to the date of repayment, (i) this Note with the form entitled “Option to Elect Repayment” below duly completed or (ii) a telegram, telex, facsimile transmission or a letter from a member of a national securities exchange or the Financial Industry Regulatory Authority, Inc. or a commercial bank or a trust company in the United States, setting forth the name of the Holder of this Note, the principal amount hereof, the certificate number of this Note or a description of this Note’s tenor and terms, the principal amount hereof to be repaid, a statement that the option to elect repayment is being exercised thereby and a guarantee that this Note, together with the form entitled “Option to Elect Repayment” duly completed, will be received by the Paying Agent not later than the fifth Business Day after the date of such telegram, telex, facsimile transmission or letter; provided, that such telegram, telex, facsimile transmission or letter shall only be effective if this Note and form duly completed are received by the Paying Agent by the fifth Business Day after the date of that telegram, telex, facsimile transmission or letter.  Unless otherwise indicated on the face of this Note, exercise of such repayment option by the Holder hereof shall be irrevocable. In the event of repayment of this Note in part only, a new Note or Notes for the amount of the unpaid portion hereof shall be issued in the name of the Holder hereof upon the cancellation hereof.

 

Interest payments on this Note will include interest accrued to but excluding the Interest Payment Dates or the Maturity Date (or any earlier redemption or repayment date), as the case may be.  Unless indicated otherwise on the face hereof, interest payments for this Note will be computed and paid on the basis of a 360-day year of twelve 30-day months.

 

  

16

  

 

In the case where the calendar date indicated on the face hereof as the Interest Payment Date or the Maturity Date (or any redemption or repayment date) does not fall on a Business Day or where the Interest Payment Date or the Maturity Date (or any redemption or repayment date) is otherwise postponed according to the terms and procedures specified on the face hereof, payment of interest, premium, if any, or principal otherwise payable on such calendar date need not be made on such date, but may be made on the Interest Payment Date or the Maturity Date (or any redemption or repayment date) as postponed with the same force and effect as if made on the indicated calendar date, and no interest on such payment shall accrue for the period from and after the indicated calendar date to the Interest Payment Date or the Maturity Date (or any redemption or repayment date) as postponed.

 

This Note and all the obligations of the Issuer hereunder are direct, unsecured obligations of the Issuer and rank without preference or priority among themselves and pari passu with all other existing and future unsecured and unsubordinated indebtedness of the Issuer, except for debts required to be preferred by law.

 

This Note, and any Note or Notes issued upon transfer or exchange hereof, is issuable only in fully registered form, without coupons, and is issuable only in the minimum denominations set forth on the face hereof or any amount in excess thereof which is an integral multiple thereof.

 

DBTCA has been appointed registrar for the Notes, and DBTCA will maintain at its office in The City of New York, a register for the registration and transfer of Notes. This Note may be transferred at either the aforesaid New York office of DBTCA by surrendering this Note for cancellation, accompanied by a written instrument of transfer in form satisfactory to the Issuer, the Trustee and the Authenticating Agent and duly executed by the registered Holder hereof in person or by the Holder’s attorney duly authorized in writing, and thereupon the Trustee or the Authenticating Agent shall authenticate and deliver in the name of the transferee or transferees, in exchange herefor, a new Note or Notes having identical terms and provisions and having a like aggregate principal amount in authorized denominations, subject to the terms and conditions set forth herein; provided, however, that neither the Trustee nor the Authenticating Agent will be required to (i) register the transfer of or exchange any Note that has been called for redemption in whole or in part, except the unredeemed portion of Notes being redeemed in part, (ii) register the transfer of or exchange any Note if the Holder thereof has exercised his right, if any, to require the Issuer to repurchase such Note in whole or in part, except the portion of such Note not required to be repurchased, or (iii) register the transfer of or exchange Notes to the extent and during the period so provided in the Senior Indenture with respect to the redemption of Notes.  Notes are exchangeable at said offices for other Notes of other authorized denominations of equal aggregate principal amount having

 

  

17

  

identical terms and provisions. All such registrations, exchanges and transfers of Notes will be free of service charge, but the Issuer may require payment of a sum sufficient to cover any tax or other governmental charge in connection therewith. All Notes surrendered for exchange shall be accompanied by a written instrument of transfer in form satisfactory to the Issuer, the Trustee and the Authenticating Agent and executed by the registered Holder in person or by the Holder’s attorney duly authorized in writing. The date of registration of any Note delivered upon any exchange or transfer of Notes shall be such that no gain or loss of interest results from such exchange or transfer.

 

In case this Note shall at any time become mutilated, defaced or be destroyed, lost or stolen and this Note or evidence of the loss, theft or destruction thereof (together with the indemnity hereinafter referred to and such other documents or proof as may be required in the premises) shall be delivered to the Trustee and the Authenticating Agent, the Issuer in its discretion may execute a new Note of like tenor in exchange for this Note, but, in the case of any destroyed or lost or stolen Note, only upon receipt of evidence satisfactory to the Trustee, the Authenticating Agent and the Issuer that this Note was destroyed or lost or stolen and, if required, upon receipt also of indemnity satisfactory to each of them. All expenses and reasonable charges associated with procuring such indemnity and with the preparation, authentication and delivery of a new Note shall be borne by the owner of the Note mutilated, defaced, destroyed, lost or stolen.

 

If the face hereof indicates that this Note is subject to “Tax Redemption,” this Note may be redeemed, as a whole, at the option of the Issuer at any time prior to maturity, upon the giving of a Notice of redemption as described below, at a redemption price equal to 100% of the principal amount hereof, together with accrued interest to the date fixed for redemption (except that if this Note is subject to “Modified Payment upon Acceleration or Redemption,” such redemption price would be limited to the aggregate principal amount hereof multiplied by the sum of the Issue Price specified on the face hereof (expressed as a percentage of the aggregate principal amount) plus the original issue discount amortized from the Interest Accrual Date to the date of redemption, which amortization shall be calculated using the “interest method” (computed in accordance with generally accepted accounting principles in effect on the date of redemption)), if the Issuer determines that, as a result of any change in or amendment to the laws, or any regulations or rulings promulgated thereunder, of the Federal Republic of Germany, the United States, the jurisdiction of residence or incorporation of any successor corporation to the Issuer, or the jurisdiction of any issuing branch (each a “Relevant Jurisdiction”), or of any political subdivision or taxing authority thereof or therein affecting taxation, or any change in official position regarding the application or interpretation of such laws, regulations or rulings, which change or amendment becomes effective on or after the Trade Date hereof, the Issuer has or will become obligated to pay Additional Tax Amounts, as defined below, with

 

  

18

  

respect to this Note as described below. Prior to the giving of any Notice of redemption pursuant to this paragraph, the Issuer shall deliver to the Trustee (i) a certificate stating that the Issuer is entitled to effect such redemption and setting forth a statement of facts showing that the conditions precedent to the right of the Issuer to so redeem have occurred, and (ii) an opinion of independent legal counsel satisfactory to the Trustee to such effect based on such statement of facts; provided, that no such Notice of redemption shall be given earlier than 60 calendar days prior to the earliest date on which the Issuer would be obligated to pay such Additional Tax Amounts if a payment in respect of this Note were then due.

 

Notice of redemption will be given not less than 30 nor more than 60 calendar days prior to the date fixed for redemption or within the Redemption Notice Period specified on the face hereof, which date and the applicable redemption price will be specified in the Notice.

 

Every net payment of the principal of and interest on this Note and any other amounts payable on this Note will be made without any withholding or deduction for or on account of any present or future taxes, duties or governmental charges of any nature whatsoever imposed, levied or collected by or on behalf of the Relevant Jurisdiction, or by or on behalf of any political subdivision or authority therein or thereof having the power to tax (“withholding taxes”) unless such deduction or withholding is required by law.  In such event and if (but only if) the face hereof indicates that this Note is subject to “Payment of Additional Tax Amounts,” the Issuer will, subject to certain exceptions and limitations set forth below, pay such additional tax amounts (the “Additional Tax Amounts”) to the Holder of this Note as may be necessary in order that every net payment of the principal of and interest on this Note and any other amounts payable on this Note, after withholding or deduction for or on account of any present or future tax, assessment or governmental charge imposed upon or as a result of such payment by the Relevant Jurisdiction, or any political subdivision or taxing authority thereof or therein, will not be less than the amount provided for in this Note to be then due and payable. The Issuer will not, however, make any payment of Additional Tax Amounts to any such Holder for or on account of:

 

	
  

	
(a)

	
any present or future tax, assessment or other governmental charge that would not have been so imposed but for (i) the existence of any present or former connection between a Holder or Beneficial Owner of this Note and the Relevant Jurisdiction, other than the mere holding or beneficial ownership of this Note; (ii) the presentation by or on behalf of the Holder of this Note for payment on a date more than 15 calendar days after the date on which such payment became due and payable or the date on which payment thereof is duly provided for,

 

  

19

  

	
  

	
 whichever occurs later; or (iii) a failure by the Holder or Beneficial Owner of this Note (or any financial institution through which the Holder or Beneficial Owner holds this Note or through which payment on this Note is made) to enter into an agreement described in Section 1471(b)(1) of the U.S. Internal Revenue Code of 1986 (the “Code”) or otherwise comply with Sections 1471 through 1474 of the Code or any regulations promulgated thereunder;

 

	
  

	
(b)

	
any estate, inheritance, gift, sales, transfer, excise or personal property tax or any similar tax, assessment or governmental charge;

 

	
  

	
(c)

	
any tax, assessment or other governmental charge that is payable otherwise than by withholding or deduction from payments on or in respect of this Note;

 

	
  

	
(d)

	
any tax, assessment or other governmental charge required to be withheld by any Paying Agent from any payment of principal of, or interest on, this Note, if such payment can be made without such withholding by at least one other Paying Agent;

 

	
  

	
(e)

	
any tax, assessment or other governmental charge that would not have been imposed but for the failure of the Holder or Beneficial Owner of this Note to comply with certification, information or other reporting requirements concerning the nationality, residence or identity of the Holder or Beneficial Owner of this Note, if such compliance is required by statute or by regulation of the Relevant Jurisdiction or of any political subdivision or taxing authority thereof or therein as a precondition to relief or exemption from such tax, assessment or other governmental charge;

 

	
  

	
(f)

	
any combination of items listed above.

 

In addition, the Issuer shall not be required to make any payment of Additional Tax Amounts (i) with respect to any withholding taxes which are deducted or withheld pursuant to (A) European Council Directive 2003/48/EC or any other European Union Directive or Regulation implementing the conclusions of the ECOFIN Council meeting of 26-27 November 2000 on the taxation of savings income, or (B) any international treaty or understanding entered into for the purpose of facilitating cooperation in the reporting and collection of savings income and to which (x) the United States, and (y) the European Union or Germany is a party, or (C) any provision of law implementing, or complying with,

 

  

20

  

or introduced to conform with, such Directive, Regulation, treaty or understanding; (ii) to the extent such deduction or withholding can be avoided or reduced if the Holder or Beneficial Owner of this Note makes a declaration of non-residence or other similar claim for exemption to the relevant tax authority or complies with any reasonable certification, documentation, information or other reporting requirement imposed by the relevant tax authority; provided, however, that the exclusion in this clause will not apply if the certification, information, documentation or other reporting requirement would be materially more onerous (in form, procedure or substance of information required to be disclosed) to the Holder or Beneficial Owner of this Note than comparable information or other reporting requirements imposed under U.S. tax law, regulation and administrative practice (such as IRS Forms W-8 and W-9); or (iii) by or on behalf of a Holder who would have been able to avoid such withholding or deduction by presenting this Note or the relevant coupon to another Paying Agent in a member state of the European Union. Nor shall the Issuer pay Additional Tax Amounts with respect to any payment on this Note to a Holder who is a fiduciary or partnership or other than the sole Beneficial Owner of such payment to the extent such payment would be required by the laws of the Relevant Jurisdiction (or any political subdivision thereof) to be included in the income, for tax purposes, of a beneficiary or settlor with respect to such fiduciary or a member of such partnership or a Beneficial Owner who would not have been entitled to the Additional Tax Amounts had such beneficiary, settlor, member or Beneficial Owner been the Holder of this Note.

 

Unless the face hereof indicates that this Note is not subject to the “Resolution Measures Provisions,” the terms and conditions set forth in the following paragraphs (a) – (k) shall apply to this Note, and by acquiring this Note, the Holder and each Beneficial Owner of this Note shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

	
  

	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Issuer from time to time, this Note may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of the principal amount, the interest amount, if any, or any other amount in respect of this Note;

 

	
  

	
(ii)

	
convert this Note into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of this Note to another entity,

 

  

21

  

	
  

	 	
(B) the amendment of the terms and conditions of this Note or (C) the cancellation of this Note;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment by the Issuer arising out of any such Resolution Measure will not constitute a failure by the Issuer under the terms of this Note or the Senior Indenture to make a payment of principal of, interest on, or other amounts owing under this Note. If this Note provides for delivery of any property, any reference in the Senior Indenture and in this Note to payment by the Issuer under this Note shall be deemed to include the delivery of such property.

 

	
  

	
(b)

	
By its acquisition of this Note, the Holder and each Beneficial Owner of this Note shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Issuer arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default or an Event of Default under the Senior Indenture or for the purpose of the Trust Indenture Act of 1939 (including, without limitation, Section 315(b) (Notice of Default) and Section 315(c) (Duties of the Trustee in Case of Default) of the Trust Indenture Act of 1939).

 

	
  

	
(c)

	
The terms and conditions of this Note shall continue to apply in relation to the residual principal amount of, or outstanding amount payable in respect of, this Note, subject to any modification of the amount of interest payable, if any, to reflect the reduction of the principal amount, and any further modification of the terms that the competent resolution authority may decide in accordance with applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

	
  

	
(d)

	
No repayment of any then-current principal amount of this Note or payment of interest or any other amount thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such repayment or payment would be permitted to be made by the Issuer under the laws and regulations of the Federal Republic of Germany then applicable to the Issuer.

 

  

22

  

 

	
  

	
(e)

	
By its acquisition of this Note, the Holder and each Beneficial Owner of this Note waives, to the fullest extent permitted by the Trust Indenture Act of 1939 and applicable law, any and all claims against the Trustee or the Paying Agent for, agrees not to initiate a suit against the Trustee or the Paying Agent in respect of, and agrees that the Trustee and the Paying Agent shall not be liable for, any action that the Trustee or the Paying Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to this Note.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to this Note, the Issuer shall provide a written notice directly to the Holder in accordance with Section 11.04 of the Senior Indenture as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying the Holder of such occurrence.  The Issuer shall also deliver a copy of such notice to the Trustee and the Paying Agent for information purposes, and the Trustee and the Paying Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Issuer to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on this Note.

 

	
  

	
(g)

	
If this Note is called or being called for redemption by the Issuer or submitted or being submitted by the Holder for repurchase by the Issuer pursuant to the Holder’s option to require the Issuer to repurchase this Note, but the competent resolution authority has imposed a Resolution Measure with respect to this Note prior to the payment of the redemption or repurchase amount, the relevant redemption or repurchase notice, if any, shall be automatically rescinded and shall be of no force and effect, and no payment of the redemption or repurchase amount will be due and payable.

 

	
  

	
(h)

	
Upon the imposition of any Resolution Measure by the competent resolution authority, the Trustee shall not be required to take any further directions from the Holders of the Notes under Section 5.09 of the Senior Indenture, which section authorizes Holders of a majority in aggregate principal amount of the Notes at the time Outstanding to direct certain actions relating to the Notes, and if

 

  

23

  

	
  

	 	
any such direction was previously given under Section 5.09 of the Senior Indenture to the Trustee by the Holders, it shall automatically cease to be effective, be null and void and have no further effect.  The Senior Indenture shall impose no duties, obligations or liabilities upon the Trustee or the Agents whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Trustee and the Agents shall be fully protected in acting or refraining from acting in accordance with a Resolution Measure. Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, this Note remains outstanding, then the Trustee’s and the Paying Agent’s duties under the Senior Indenture shall remain applicable with respect to this Note following such completion to the extent that the Issuer, the Trustee and the Agents agree pursuant to a supplemental indenture, unless the Issuer, the Trustee and the Agents agree that a supplemental indenture is not necessary.

 

	
  

	
(i)

	
By the acquisition of this Note, the Holder and each Beneficial Owner of this Note shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to this Note and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds this Note to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to this Note as it may be imposed, without any further action or direction on the part of the Holder of this Note, the Trustee or the Agents.

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding principal amount of the Notes, unless the Trustee or the Agents are otherwise instructed by the Issuer or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Notes pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Notes of any series.

 

	
  

	
(k)

	
The Issuer’s obligations to indemnify the Trustee and the Agents in accordance with Sections 6.02 and 6.06 of the Senior Indenture shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to this Note.

 

  

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The Senior Indenture provides that (a) if an Event of Default due to the default in payment of principal, premium, if any, or interest on any series of debt securities issued under the Senior Indenture, including the series of Senior Global Notes of which this Note forms a part, or due to the default in the performance or breach of any other covenant or warranty of the Issuer applicable to the debt securities of such series but not applicable to all outstanding debt securities issued under the Senior Indenture, shall have occurred and be continuing, either the Trustee or the Holders of not less than 331⁄3% in aggregate principal amount of the outstanding debt securities of each affected series, voting as one class, by notice in writing to the Issuer and to the Trustee, if given by the securityholders, may then declare the principal of all debt securities of all such series and interest accrued thereon to be due and payable immediately and (b) if an Event of Default due to a default in the performance of any other of the covenants or agreements in the Senior Indenture applicable to all outstanding debt securities issued thereunder, including this Note, or due to certain events of bankruptcy, insolvency or reorganization of the Issuer, shall have occurred and be continuing, either the Trustee or the Holders of not less than 331⁄3% in aggregate principal amount of all outstanding debt securities issued under the Senior Indenture voting as one class, by notice in writing to the Issuer and to the Trustee, if given by the securityholders, may declare the principal of all such debt securities and interest accrued thereon to be due and payable immediately, but upon certain conditions such declarations may be annulled and past defaults may be waived (except a continuing default in payment of principal, premium, if any, or interest on such debt securities) by the Holders of a majority in aggregate principal amount of the debt securities of all affected series then outstanding.

 

If the face hereof indicates that this Note is subject to “Modified Payment upon Acceleration or Redemption,” then (i) if the principal hereof is declared to be due and payable as described in the preceding paragraph, the amount of principal due and payable with respect to this Note shall be limited to the aggregate principal amount hereof multiplied by the sum of the Issue Price specified on the face hereof (expressed as a percentage of the aggregate principal amount) plus the original issue discount amortized from the Interest Accrual Date to the date of declaration, which amortization shall be calculated using the “interest method” (computed in accordance with generally accepted accounting principles in effect on the date of declaration), (ii) for the purpose of any vote of securityholders taken pursuant to the Senior Indenture prior to the acceleration of payment of this Note, the principal amount hereof shall equal the amount that would be due and payable hereon, calculated as set forth in clause (i) above, if this Note were declared to be due and payable on the date of any such vote and (iii) for the purpose of any vote of securityholders taken pursuant to the Senior Indenture following the acceleration of payment of this Note, the principal amount hereof shall equal the amount of principal due and payable with respect to this Note, calculated as set forth in clause (i) above.

 

  

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The Senior Indenture permits the Issuer and the Trustee, with the consent of the Holders of not less than a majority in aggregate principal amount of the debt securities of all series issued under the Senior Indenture then outstanding and affected (voting as one class), to execute supplemental indentures adding any provisions to or changing in any manner the rights of the Holders of each series so affected; provided that the Issuer and the Trustee may not, without the consent of the Holder of each outstanding debt security affected thereby, (a) extend the final maturity of any such debt security, or reduce the principal amount thereof, or reduce the rate or extend the time of payment of interest thereon, or reduce any amount payable on redemption thereof, or change the currency of payment thereof, or modify or amend the provisions for conversion of any currency into any other currency, or modify or amend the provisions for conversion or exchange of the debt security for securities of the Issuer or other entities or for other property or the cash value of the property (other than as provided in the antidilution provisions or other similar adjustment provisions of the debt securities or otherwise in accordance with the terms thereof), or impair or affect the rights of any Holder to institute suit for the payment thereof or (b) reduce the aforesaid percentage in principal amount of debt securities the consent of the Holders of which is required for any such supplemental indenture. The Issuer and the Trustee may, without the consent of the Holder of this Note, conform the terms of this Note to the description thereof in the prospectus and prospectus supplements relating to the offering and sale of this Note.

 

Except as set forth below, if the principal of, premium, if any, or interest on this Note is payable in a Specified Currency other than U.S. dollars and such Specified Currency is not available to the Issuer for making payments hereon due to the imposition of exchange controls or other circumstances beyond the control of the Issuer or is no longer used by the government of the country issuing such currency or for the settlement of transactions by public institutions within the international banking community, then the Issuer will be entitled to satisfy its obligations to the Holder of this Note by making such payments in U.S. dollars (the “Substitute Currency”). The Substitute Currency will become the currency of payment on each payment date occurring after the last date on which the Specified Currency was available (the  “Conversion Date”) but such Specified Currency will, at the Issuer’s election, resume being the currency of payment on the first such payment date preceded by 15 Business Days during which the circumstances which gave rise to the change of currency no longer prevail, in each case, as determined in good faith by the Issuer. The Substitute Currency amount to be paid by the Issuer to the Paying Agent and by the Paying Agent to the Holder of this Note with respect to such payment date will be the Currency Equivalent or Currency Unit Equivalent (each as defined below) of the Specified Currency as determined by the Exchange Rate Agent (as defined below), which such determination will be delivered in writing to the Paying Agent not later than the fifth Business Day prior to the applicable payment date, as of the Conversion Date, or, if later, the date most recently preceding the payment date in question on

 

  

26

  

which such determination is possible of performance, but not more than 15 Business Days before such payment date. Such Conversion Date or date preceding a payment date is referred to as the “Substitute Currency Valuation Date.” Any payment in a Substitute Currency under the circumstances described above will not constitute an Event of Default under this Note.

 

The “Currency Equivalent” will be determined by the Exchange Rate Agent as of each Substitute Currency Valuation Date and will be obtained by converting the Specified Currency (unless the Specified Currency is a currency unit) into the Substitute Currency at the Market Exchange Rate (as defined below) on the Substitute Currency Valuation Date.

 

The “Currency Unit Equivalent” will be determined by the Exchange Rate Agent as of each Substitute Currency Valuation Date and will be the sum obtained by adding together the results obtained by converting the Specified Amount of each initial Component Currency into the Substitute Currency at the Market Exchange Rate on the Substitute Currency Valuation Date for such Component Currency.

 

The “Component Currency” means any currency which, on the Conversion Date, was a component currency of the relevant currency unit.

 

The term “Market Exchange Rate” means, as of any date, for any Specified Currency (including any currency unit), the noon buying rate for such currency in New York City for cable transfers payable in foreign currencies, as reported by the Federal Reserve Bank of New York. If the Market Exchange Rate is not available for any reason with respect to one or more currencies or currency units for which an exchange rate is required, the Exchange Rate Agent will use, in its sole discretion and without liability on its part, such quotation of the Federal Reserve Bank of New York as of the most recent available date, or quotations from one or more major banks in New York City or in the country of issue of the currency or currency unit in question, or such other quotations as the Exchange Rate Agent shall deem appropriate. If there is more than one market for dealing in any currency or currency unit by reason of foreign exchange regulations or otherwise, the market to be used in respect of such currency or currency unit will be that upon which a non-resident issuer of securities designated in such currency or currency unit would, as determined in its sole discretion and without liability on the part of the exchange rate agent, purchase such currency or currency unit in order to make payments in respect of such securities.

 

The “Specified Amount” of a Component Currency means the number of units (including decimals) which such Component Currency represented in the relevant currency unit, on the Conversion Date or the Substitute Currency Valuation Date or the last date the currency unit was so used, whichever is later. If after such date the official unit of any Component Currency is altered by way of combination or subdivision, the Specified Amount of such Component Currency

 

  

27

  

will be divided or multiplied in the same proportion. If after such date two or more Component Currencies are consolidated into a single currency, the respective Specified Amounts of such Component Currencies will be replaced by an amount in such single currency equal to the sum of the respective Specified Amounts of such consolidated Component Currencies expressed in such single currency, and such amount will thereafter be a Specified Amount and such single currency will thereafter be a Component Currency. If after such date any Component Currency will be divided into two or more currencies, the Specified Amount of such Component Currency will be replaced by Specified Amounts of such two or more currencies, the sum of which, at the Market Exchange Rate of such two or more currencies on the date of such replacement, will be equal to the Specified Amount of such former Component Currency and such amounts will thereafter be Specified Amounts and such currencies will thereafter be Component Currencies.

 

The “Exchange Rate Agent” shall be Deutsche Bank AG, London Branch, unless otherwise indicated on the face hereof.

 

All determinations referred to above made by, or on behalf of, the Issuer or by, or on behalf of, the Exchange Rate Agent shall be at such entity’s sole discretion and shall, in the absence of manifest error, be conclusive for all purposes and binding on the Holder of this Note and coupons.

 

So long as this Note shall be outstanding, the Issuer will cause to be maintained an office or agency for the payment of the principal of and premium, if any, and interest on this Note as herein provided in the Borough of Manhattan, The City of New York, and an office or agency in said Borough of Manhattan for the registration, transfer and exchange as aforesaid of this Note. If this Note is listed on the London Stock Exchange plc and such exchange so requires, the Issuer shall maintain a Paying Agent in London.  If any European Union Directive on the taxation of savings comes into force, the Issuer will, to the extent possible as a matter of law, maintain a Paying Agent in a member state of the European Union that will not be obligated to withhold or deduct tax pursuant to any such Directive or any law implementing or complying with, or introduced in order to conform to, such Directive.  The Issuer may designate other agencies for the payment of said principal, premium and interest at such place or places outside the United States (subject to applicable laws and regulations) as the Issuer may decide. So long as there shall be such an agency, the Issuer shall keep the Trustee advised of the names and locations of such agencies, if any are so designated.

 

With respect to moneys paid by the Issuer and held by the Trustee or any Paying Agent for payment of the principal of or interest or premium, if any, on any Notes that remain unclaimed at the end of two years after such principal, interest or premium shall have become due and payable (whether at maturity or upon call for redemption or otherwise), (i) the Trustee or such Paying Agent shall notify the Holders of such Notes that such moneys shall be repaid to the Issuer

 

  

28

  

and any person claiming such moneys shall thereafter look only to the Issuer for payment thereof and (ii) such moneys shall be so repaid to the Issuer. Upon such repayment all liability of the Trustee or such Paying Agent with respect to such moneys shall thereupon cease, without, however, limiting in any way any obligation that the Issuer may have to pay the principal of or interest or premium, if any, on this Note as the same shall become due.

 

No provision of this Note or of the Senior Indenture shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the amount of cash, or other property, as determined in accordance with the provisions set forth on the face of this Note due with respect to the principal of, premium, if any, and interest on this Note at the time, place, and rate, and in the coin or currency, herein prescribed unless otherwise agreed between the Issuer and the registered Holder of this Note.

 

Prior to due presentment of this Note for registration of transfer, the Issuer, the Trustee and any agent of the Issuer or the Trustee may treat the Holder in whose name this Note is registered as the owner hereof for all purposes, whether or not this Note be overdue, and none of the Issuer, the Trustee or any such agent shall be affected by notice to the contrary.

 

No recourse shall be had for the payment of the principal of, premium, if any, or the interest on this Note, for any claim based hereon, or otherwise in respect hereof, or based on or in respect of the Senior Indenture or any indenture supplemental thereto, against any incorporator, shareholder, officer or director, as such, past, present or future, of the Issuer or of any successor corporation, either directly or through the Issuer 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, all such liability being, by the acceptance hereof and as part of the consideration for the issue hereof, expressly waived and released.

 

This Note shall for all purposes be governed by, and construed in accordance with, the laws of the State of New York.

 

As used herein:

 

	
  

	
(a)

	
the term “Beneficial Owner” shall mean the beneficial owners of this Note (and any interest therein);

 

	
  

	
(b)

	
the term “Business Day” means, unless otherwise provided on the face of this Note, any day other than a day that (i) is a Saturday or Sunday, (ii) is a day on which banking institutions generally in The City of New York or London, England are authorized or obligated by law, regulation or executive order to close or (iii) is a day on which transactions in U.S. dollars are not conducted in The City of New York or London, England; and, in addition, (x) for Notes having a Specified Currency other than U.S.

 

  

29

  

	
  

	 	
dollars only, other than Notes denominated in euros, any day that in the principal financial center of the country of the specified currency is not a day on which banking institutions generally are authorized or obligated by law, regulation or executive order to close; and (y) for notes denominated in euros, a day on which TARGET2 is operating;

 

	
  

	
(c)

	
the term “competent resolution authority” means any authority with the ability to exercise a Resolution Measure;

 

	
  

	
(d)

	
the term “Notices” refers to notices to the Holders of the Notes at each Holder’s address as that address appears in the register for the Notes by first class mail, postage prepaid, and to be given by publication in an authorized newspaper in the English language and of general circulation in the Borough of Manhattan, The City of New York, and London or, if publication in London is not practical, in an English language newspaper with general circulation in Western Europe; provided that notice may be made, at the option of the Issuer, through the customary notice provisions of the clearing system or systems through which beneficial interests in this Note are owned.  Such Notices will be deemed to have been given on the date of such publication (or other transmission, as applicable), or if published in such newspapers on different dates, on the date of the first such publication;

 

	
  

	
(e)

	
the term “TARGET2” means the Trans-European Automated Real-time Gross Settlement Express Transfer System; and

 

	
  

	
(f)

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

 

All other terms used in this Note which are defined in the Senior Indenture and not otherwise defined herein shall have the meanings assigned to them in the Senior Indenture.

 

  

30

  

 

ABBREVIATIONS

 

The following abbreviations, when used in the inscription on the face of this instrument, shall be construed as though they were written out in full according to applicable laws or regulations:

 

	 	
TEN COM

	–	
as tenants in common

	 	
TEN ENT

	–	
as tenants by the entireties

	 	
JT TEN

	–	
as joint tenants with right of survivorship and not as tenants in common

 

 

	 	
UNIF GIFT MIN ACT –

	  	
  Custodian

	 
	 	 	
(Minor)

	 	
(Cust)

	 	 	 	 	 

 

	 	
Under Uniform Gifts to Minors Act

	 	 	 
	 	 	
(State)

	 	 

 

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

 

	 	 	 

 

 

 

  

31

  

FOR VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s) unto

 

	
  

	 

[PLEASE INSERT SOCIAL SECURITY OR OTHER

IDENTIFYING NUMBER OF ASSIGNEE]

 

	 
	 
	 
	 
	 
	
[PLEASE PRINT OR TYPE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE]

 

 

the within Note and all rights thereunder, hereby irrevocably constituting and appointing such person attorney to transfer such Note on the books of the Issuer, with full power of substitution in the premises.

 

Dated:                                           

 

	
NOTICE:

	
The signature to this assignment must correspond with the name as written upon the face of the within Note in every particular without alteration or enlargement or any change whatsoever.

  

32

  

 

OPTION TO ELECT REPAYMENT

 

The undersigned hereby irrevocably requests and instructs the Issuer to repay the within Note (or portion thereof specified below) pursuant to its terms at a price equal to the principal amount thereof, together with interest to the Optional Repayment Date, to the undersigned at

 

	 
	 
	 
	 
	 
	
(Please print or typewrite name and address of the undersigned)

 

If less than the entire principal amount of the within Note is to be repaid, specify the portion thereof which the Holder elects to have repaid: _________; and specify the denomination or denominations (which shall not be less than the minimum authorized denomination) of the Notes to be issued to the Holder for the portion of the within Note not being repaid (in the absence of any such specification, one such Note will be issued for the portion not being repaid):  

 

 

	
Dated:  

	 

 

 

NOTICE:  The signature on this Option to Elect Repayment must correspond with the name as written upon the face of the within instrument in every particular without alteration or enlargement.

 

  

33

  

 

 

Schedule II

 

 

 

 

  

 

  

 

DEUTSCHE BANK AG

[INSERT BRANCH OFFICE THROUGH WHICH THE NOTE IS ISSUED, IF APPLICABLE]

 

 

[FORM OF FACE OF DEBT SECURITY]

FLOATING RATE SENIOR REGISTERED NOTE

	
REGISTERED

No. FLR

	
CUSIP:

[PRINCIPAL AMOUNT]

 

Unless this certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Issuer or its agent for registration of transfer, exchange, or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.

 

  

35

  

GLOBAL NOTES, SERIES A

Floating Rate Senior Registered Note

 

	
Original Issue Date

	
[  ]

	
Maturity Date

	
[  ]

	
Specified Currency

	
[  ]

	
If Specified Currency Other Than U.S. Dollars, Option to Elect Payment in U.S. Dollars

	
[N/A]

	
Principal Amount

	
[  ]

	
Aggregate Principal Amount

	
[  ]

	
Minimum Denominations

	
[  ]

	
Interest Accrual Date

	
[  ]

	
Base Rate

	
[  ]

	
Index Maturity

	
[  ]

	
Spread (plus or minus)

	
[  ]

	
Spread Multiplier

	
[  ]

	
Initial Interest Rate

	
[  ]

	
Initial Interest Reset Date

	
[  ]

	
Maximum Interest Rate

	
[  ]

	
Minimum Interest Rate

	
[  ]

	
Interest Payment Date(s)

	
[  ]

	
Interest Payment Period

	
[  ]

	
Interest Reset Period

	
[  ]

  

36

  

	
Interest Reset Date(s)

	
[  ]

	
Resolution Measures Provisions

	
[Applicable]1

	
Calculation Agent

	
[  ]

	
Initial Redemption Date

	
[  ]

	
Initial Redemption Percentage

	
[  ]

	
Index Currency

	
[  ]

	
Exchange Rate Agent

	
[  ]

	
Annual Redemption Percentage Reduction

	
[  ]

	
Optional Repayment Date(s)

	
[  ]

	
Redemption Notice Period

	
[  ]

	
Tax Redemption

	
[N/A]

	
Payment of Additional Tax Amounts

	
[N/A]

	
If yes, state Initial Offering Date

	
[N/A]

	
Designated CMT Telerate Page

	
[  ]

	
Designated CMT Maturity Index

	
[  ]

	
Other Provisions

	
[  ]

Deutsche Bank Aktiengesellschaft, a stock corporation (Aktiengesellschaft) organized under the laws of the Federal Republic of Germany, if so specified, acting through the office specified on the front page of this Note, (together with its successors and assigns, the “Issuer”), for value received, hereby promises to pay to Cede & Co., or registered assignees, the amount in cash, or other property, as determined in accordance with the provisions set forth above, due with respect to the principal sum specified above on the Maturity Date specified above (except to the extent previously redeemed or repaid) and to pay interest thereon from the Interest Accrual Date specified above at a rate per annum equal to the Initial Interest Rate specified above until the 

 

 

1 Resolution Measures Provisions do not apply to further issuances of Notes with the same terms as Notes issued prior to January 1, 2015.

  

37

  

 

 

Initial Interest Reset Date specified above, and thereafter at a rate per annum determined in accordance with the provisions specified on the reverse hereof until the principal hereof is paid or duly made available for payment.

 

The Issuer will pay interest in arrears weekly, monthly, quarterly, semi-annually or annually as specified above as the Interest Payment Period on each Interest Payment Date (as specified above), commencing on the first Interest Payment Date next succeeding the Interest Accrual Date specified above, and on the Maturity Date (or on any redemption or repayment date); provided, however, that if the Interest Accrual Date occurs between a Record Date, as defined below, and the next succeeding Interest Payment Date, interest payments will commence on the second Interest Payment Date succeeding the Interest Accrual Date to the registered Holder of this Note on the Record Date with respect to such second Interest Payment Date; and provided, further, that if an Interest Payment Date (other than the Maturity Date or a redemption or repayment date) would fall on a day that is not a Business Day, as defined on the reverse hereof, such Interest Payment Date shall be the following day that is a Business Day, except that if the Base Rate specified above is LIBOR or EURIBOR and such next Business Day falls in the next calendar month, such Interest Payment Date shall be the immediately preceding day that is a Business Day; and provided, further, that if the Maturity Date or redemption or repayment date would fall on a day that is not a Business Day, such payment shall be on the following day that is a Business Day and no interest shall accrue for the period from and after such Maturity Date or redemption or repayment date; and provided, further, that if an Interest Payment Date or the Maturity Date or redemption or repayment date would fall on a day that is not a Business Day, payment of interest, premium, if any, or principal otherwise payable on such date need not be made on such date, but may be made on the next succeeding Business Day with the same force and effect as if made on the Interest Payment Date or on the Maturity Date or redemption or repayment date.

 

Interest on this Note will accrue from and including the most recent Interest Payment Date to which interest has been paid or duly provided for, or, if no interest has been paid or duly provided for, from and including the Interest Accrual Date, until but excluding the date  the principal hereof has been paid or duly made available for payment (except as provided below). The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date will, subject to certain exceptions described herein, be paid to the person in whose name this Note (or one or more predecessor Notes) is registered at the close of business on the date 15 calendar days prior to such Interest Payment Date (whether or not a Business Day (as defined on the reverse of this Note)) (each such date a “Record Date”); provided, however, that interest payable at maturity (or on any redemption or repayment date) will be payable to the person to whom the principal hereof shall be payable.

 

 

 

  

38

  

 

Payment of the principal, premium, if any, and interest due at maturity (or on any redemption or repayment date) on this Note, unless this Note is denominated in a Specified Currency other than U.S. dollars and is to be paid in whole or in part in such Specified Currency, will be made in immediately available funds upon surrender of this Note at the office or agency of the Paying Agent, as defined on the reverse hereof, maintained for that purpose in the Borough of Manhattan, The City of New York, or at such other paying agency as the Issuer may determine, in U.S. dollars.  U.S. dollar payments of interest, other than interest due at maturity (or on any date of redemption or repayment), will be made by U.S. dollar check mailed to the address of the person entitled thereto as such address shall appear in the Note register.  A Holder of U.S. $10,000,000 (or the equivalent in a Specified Currency) or more in aggregate principal amount of Notes having the same Interest Payment Date, the interest on which is payable in U.S. dollars, will be entitled to receive payments of interest, other than interest due at maturity (or on any date of redemption or repayment), by wire transfer of immediately available funds if appropriate wire transfer instructions have been received by the Paying Agent in writing not less than 15 calendar days prior to the applicable Interest Payment Date.

 

If this Note is denominated in a Specified Currency other than U.S. dollars, and the Holder does not elect (in whole or in part) to receive payment in U.S. dollars pursuant to the next succeeding paragraph, payments of the principal, premium, if any, and interest with regard to this Note will be made by wire transfer of immediately available funds to an account maintained by the Holder hereof with a bank located outside the United States if appropriate wire transfer instructions have been received by the Paying Agent in writing not less than 15 calendar days prior to the applicable payment date; provided, that if such wire transfer instructions are not received, such payments will be made by check payable in such Specified Currency mailed to the address of the person entitled thereto as such address shall appear in the Note register; and provided further that payment of the principal of this Note, any premium and the interest due at maturity (or on any redemption or repayment date) will be made upon surrender of this Note at the office or agency referred to in the preceding paragraph.

 

If so indicated on the face hereof, the Holder of this Note, if denominated in a Specified Currency other than U.S. dollars, may elect to receive all or a portion of payments on this Note in U.S. dollars by transmitting a written request to the Paying Agent, on or prior to the fifth Business Day after such Record Date or at least ten Business Days prior to the Maturity Date or any redemption or repayment date, as the case may be. Such election shall remain in effect unless such request is revoked by written notice to the Paying Agent as to all or a portion of payments on this Note at least five Business Days prior to such Record Date, for payments of interest, or at least ten calendar days prior to the Maturity Date or any redemption or repayment date, for payments of the principal, as the case may be.

 

  

39

  

 

 

If the Holder elects to receive all or a portion of payments of the principal of, premium, if any, and interest on this Note, if denominated in a Specified Currency other than U.S. dollars, in U.S. dollars, the Exchange Rate Agent (as defined on the reverse hereof) will convert such payments into U.S. dollars. In the event of such an election, payment in respect of this Note will be based upon the exchange rate as determined by the Exchange Rate Agent based on the highest bid quotation in The City of New York received by such Exchange Rate Agent at approximately 11:00 a.m., New York City time, on the second Business Day preceding the applicable payment date from three recognized foreign exchange dealers (one of which may be the Exchange Rate Agent unless such Exchange Rate Agent is an affiliate of the Issuer) for the purchase by the quoting dealer of the Specified Currency for U.S. dollars for settlement on such payment date in the amount of the Specified Currency payable in the absence of such an election to such Holder and at which the applicable dealer commits to execute a contract. If such bid quotations are not available, such payment will be made in the Specified Currency. All currency exchange costs will be borne by the Holder of this Note by deductions from such payments.

 

Reference is hereby made to the further provisions of this Note 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 Authenticating Agent, acting on behalf of the Trustee, referred to on the reverse hereof by manual signature, this Note shall not be entitled to any benefit under the Senior Indenture, as defined on the reverse hereof, or be valid or obligatory for any purpose.

 

  

40

  

IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed.

 

	
DATED: [ ]

	 	

DEUTSCHE BANK AG [INSERT BRANCH OFFICE THROUGH WHICH THE NOTE IS ISSUED, IF APPLICABLE]

	 	 	 
	 	 	 	
By:

	 
	 	 	 	 	
Name:

	 
	 	 	 	 	
Title:

	 
	 	 	 	 	 	 
	 	 	 	
By:

	 	 
	 	 	 	 	
Name:

	 
	 	 	 	 	
Title:

	 

 

CERTIFICATE

	
  

	
OF AUTHENTICATION

This Note is one of the Notes referred

	
  

	
to in the within-mentioned

	
  

	
Senior Indenture.

	
DEUTSCHE BANK NATIONAL TRUST COMPANY on behalf of DEUTSCHE BANK TRUST COMPANY AMERICAS, as Authenticating Agent

 

	
By:

	  
	
Authorized Officer

  

41

  

[FORM OF REVERSE OF SECURITY]

 

This Note is one of a duly authorized issue of Global Notes, Series A of the Issuer (the “Notes”).  The Notes are issuable under a Senior Indenture, dated as of November 22, 2006, among the Issuer, Law Debenture Trust Company of New York, as trustee (the “Trustee,” which term includes any successor trustee under the Senior Indenture), and Deutsche Bank Trust Company Americas (“DBTCA”), as issuing agent, paying agent and registrar (as may be amended or supplemented from time to time, the “Senior Indenture”), to which Senior Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights, limitations of rights, duties and immunities of the Issuer, the Trustee and Holders of the Notes and the terms upon which the Notes are, and are to be, authenticated and delivered.  The Issuer has appointed DBTCA acting through its principal corporate trust office in the Borough of Manhattan, The City of New York, as its paying agent (the “Paying Agent,” which term includes any additional or successor Paying Agent appointed by the Issuer) with respect to the Notes. The Trustee has appointed DBTCA as its authenticating agent (the “Authenticating Agent,” which term includes any additional or successor Authenticating Agent appointed by the Trustee) with respect to the Notes. The terms of individual Notes may vary with respect to interest rates, interest rate formulas, issue dates, maturity dates, or otherwise, all as provided in the Senior Indenture.  To the extent not inconsistent herewith, the terms of the Senior Indenture are hereby incorporated by reference herein.

 

Unless otherwise indicated on the face hereof, this Note will not be subject to any sinking fund and, unless otherwise indicated on the face hereof in accordance with the provisions of the following three paragraphs and except as set forth below, will not be redeemable or subject to repayment at the option of the Holder prior to maturity.

 

If so indicated on the face hereof, this Note may be redeemed in whole or in part at the option of the Issuer on or after the Initial Redemption Date specified on the face hereof  or on the Redemption Dates specified on the face hereof on the terms set forth on the face hereof, together with interest accrued and unpaid hereon to the date of redemption (except as indicated below).

 

If this Note is subject to “Annual Redemption Percentage Reduction,” the Initial Redemption Percentage indicated on the face hereof will be reduced on each anniversary of the Initial Redemption Date by the Annual Redemption Percentage Reduction specified on the face hereof until the redemption price of this Note is 100% of the principal amount hereof, together with interest accrued and unpaid hereon to the date of redemption (except as provided below).  Notice of redemption shall be mailed to the registered Holders of the Notes designated for redemption at their addresses as the same shall appear on the Note register not less than 30 nor more than 60 calendar days prior to the date fixed for redemption or within the Redemption Notice Period specified on the face hereof, subject to all

 

  

42

  

the conditions and provisions of the Senior Indenture.  In the event of redemption of this Note in part only, a new Note or Notes for the amount of the unredeemed portion hereof shall be issued in the name of the Holder hereof upon the cancellation hereof.

 

If so indicated on the face of this Note, this Note will be subject to repayment at the option of the Holder on the Optional Repayment Date or Dates specified on the face hereof on the terms set forth herein. On any Optional Repayment Date, this Note will be repayable in whole or in part in increments of the Minimum Denomination specified on the face of this Note (provided that any remaining principal amount hereof shall not be less than the minimum authorized denomination hereof) at the option of the Holder hereof at a price equal to the amount to be repaid, calculated as set forth on the face of this Note, together with interest accrued and unpaid hereon to the date of repayment (except as provided below).  For this Note to be repaid at the option of the Holder hereof, the Paying Agent must receive at its corporate trust office in the Borough of Manhattan, The City of New York, at least 15 but not more than 30 calendar days prior to the date of repayment, (i) this Note with the form entitled “Option to Elect Repayment” below duly completed or (ii) a telegram, telex, facsimile transmission or a letter from a member of a national securities exchange or the Financial Industry Regulatory Authority, Inc. or a commercial bank or a trust company in the United States, setting forth the name of the Holder of this Note, the principal amount hereof, the certificate number of this Note or a description of this Note’s tenor and terms, the principal amount hereof to be repaid, a statement that the option to elect repayment is being exercised thereby and a guarantee that this Note, together with the form entitled “Option to Elect Repayment” duly completed, will be received by the Paying Agent not later than the fifth Business Day after the date of such telegram, telex, facsimile transmission or letter; provided, that such telegram, telex, facsimile transmission or letter shall only be effective if this Note and form duly completed are received by the Paying Agent by the fifth Business Day after the date of that telegram, telex, facsimile transmission or letter. Unless otherwise indicated on the face of this Note, exercise of such repayment option by the Holder hereof shall be irrevocable. In the event of repayment of this Note in part only, a new Note or Notes for the amount of the unpaid portion hereof shall be issued in the name of the Holder hereof upon the cancellation hereof.

 

This Note will bear interest at the rate determined in accordance with the applicable provisions below by reference to the Base Rate shown on the face hereof based on the Index Maturity, if any, shown on the face hereof (i) plus or minus the Spread, if any, and/or (ii) multiplied by the Spread Multiplier, if any, specified on the face hereof. Commencing with the Initial Interest Reset Date specified on the face hereof, the rate at which interest on this Note is payable shall be reset as of each Interest Reset Date specified on the face hereof (as used herein, the term “Interest Reset Date” shall include the Initial Interest Reset Date). The determination of the rate of interest at which this Note will be reset on any

 

  

43

  

Interest Reset Date shall be made on the Interest Determination Date (as defined below) pertaining to such Interest Reset Dates; provided, however, that the interest rate in effect for the period from the Interest Accrual Date to the Initial Interest Reset Date will be the Initial Interest Rate. If any Interest Reset Date would otherwise be a day that is not a Business Day, such Interest Reset Date shall be postponed to the next succeeding day that is a Business Day, except that if the Base Rate specified on the face hereof is LIBOR or EURIBOR and such Business Day is in the next succeeding calendar month, such Interest Reset Date shall be the immediately preceding Business Day.

 

As used herein:

 

	
  

	
(a)

	
“Business Day” means, unless otherwise provided on the face of this Note, any day other than a day that (i) is a Saturday or Sunday, (ii) is a day on which banking institutions generally, in The City of New York or London, England are authorized or obligated by law, regulation or executive order to close or (iii) is a day on which transactions in U.S. dollars are not conducted in The City of New York or London, England; and, in addition, (x) for LIBOR Notes only, a London Banking Day (as defined below), (y) for Notes having a Specified Currency other than U.S. dollars only, other than Notes denominated in euros, any day that in the principal financial center of the country of the specified currency is not a day on which banking institutions generally are authorized or obligated by law, regulation or executive order to close, and (z) for notes denominated in euros, a day on which TARGET2 (as defined below) is operating.

 

	
  

	
(b)

	
“TARGET2” means the Trans-European Automated Real-time Gross Settlement Express Transfer System.

 

The Interest Determination Date pertaining to an Interest Reset Date for Notes bearing interest calculated by reference to the CD Rate, Commercial Paper Rate, Federal Funds Rate, Prime Rate and CMT Rate (each as defined below) will be the second Business Day prior to such Interest Reset Date.  The Interest Determination Date pertaining to the Eleventh District Cost of Funds Rate will be the last working day of the month immediately preceding the applicable interest reset date on which the Federal Home Loan Bank of San Francisco (the “FHLB of San Francisco”) publishes the Eleventh District Index (as defined below).  The Interest Determination Date pertaining to an Interest Reset Date for Notes bearing interest calculated by reference to EURIBOR shall be the second TARGET Settlement Day prior to such Interest Reset Date.  The Interest Determination Date pertaining to an Interest Reset Date for Notes bearing interest calculated by reference to LIBOR shall be the second London Banking Day prior to such Interest Reset Date, except that the Interest Determination Date pertaining to an

 

  

44

  

Interest Reset Date for a LIBOR Note for which the Index Currency is pounds sterling will be such Interest Reset Date. As used herein, “London Banking Day” means any day on which dealings in deposits in the Index Currency (as defined herein) are transacted in the London interbank market. The Interest Determination Date pertaining to an Interest Reset Date for Notes bearing interest calculated by reference to the Treasury Rate shall be the day of the week in which such Interest Reset Date falls on which Treasury bills normally would be auctioned.  Treasury Bills are normally sold at auction on Monday of each week, unless that day is a legal holiday, in which case the auction is normally held on the following Tuesday, except that the auction may be held on the preceding Friday; provided, that if an auction is held on the Friday of the week preceding such Interest Reset Date, the Interest Determination Date shall be such preceding Friday; and provided, further, that if an auction shall fall on any Interest Reset Date, then the Interest Reset Date shall instead be the first Business Day following the date of such auction.  The Interest Determination Date pertaining to an Interest Reset Date for Notes bearing interest calculated by reference to two or more base rates will be the latest Business Day that is at least two Business Days before the Interest Reset Date for the applicable Note on which each base rate is determinable.

 

Unless otherwise specified on the face hereof, the “Calculation Date” pertaining to an Interest Determination Date will be the earlier of (i) the tenth calendar day after such Interest Determination Date or, if such day is not a Business Day, the next succeeding Business Day, or (ii) the Business Day immediately preceding the applicable Interest Payment Date or Maturity Date (or, with respect to any principal amount to be redeemed or repaid, any redemption or repayment date), as the case may be.

 

Determination of CD Rate.  If the Base Rate specified on the face hereof is the “CD Rate,” for any Interest Determination Date, the CD Rate with respect to this Note shall be the rate on that date for negotiable U.S. dollar certificates of deposit having the Index Maturity specified on the face hereof as published by the Board of Governors of the Federal Reserve System in “Statistical Release H.15(519), Selected Interest Rates,” or any successor publication of the Board of Governors of the Federal Reserve System (“H.15(519)”) under the heading “CDs (Secondary Market).”

 

The following procedures shall be followed if the CD Rate cannot be determined as described above:

 

(i)           If the above rate is not published in H.15(519) by 3:00 p.m., New York City time, on the Calculation Date, the CD Rate shall be the rate on that Interest Determination Date set forth in the daily update of H.15(519), available through the world wide website of the Board of Governors of the Federal Reserve System at http://www.federalreserve.gov/releases/h15/update/h15upd.htm, or any

 

  

45

  

successor site or publication (“H.15 Daily Update”) for the Interest Determination Date for certificates of deposit having the Index Maturity specified on the face hereof, under the caption “CDs (Secondary Market).”

 

(ii)           If the above rate is not yet published in either H.15(519) or the H.15 Daily Update by 3:00 p.m., New York City time, on the Calculation Date, the Calculation Agent shall determine the CD Rate to be the arithmetic mean of the secondary market offered rates as of 10:00 a.m., New York City time, on that Interest Determination Date of three leading nonbank dealers in negotiable U.S. dollar certificates of deposit in The City of New York, which may include the initial dealer and its affiliates, selected by the Calculation Agent (after consultation with the Issuer), for negotiable U.S. dollar certificates of deposit of major U.S. money center banks of the highest credit standing in the market for negotiable certificates of deposit with a remaining maturity closest to the Index Maturity specified on the face hereof in denominations of $5,000,000.

 

“Initial dealer” with respect to this Note means [either] [Name[s] of initial dealers][, as applicable].

 

(iii)           If the dealers selected by the Calculation Agent are not quoting as set forth above, the CD Rate for that Interest Determination Date shall remain the CD Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

Determination of Commercial Paper Rate.  If the Base Rate specified on the face hereof is the “Commercial Paper Rate,” for any Interest Determination Date, the Commercial Paper Rate with respect to this Note shall be the Money Market Yield (as defined herein), calculated as described below, of the rate on that date for commercial paper having the Index Maturity specified on the face hereof, as that rate is published in the H.15(519) Daily Update, under the heading “Commercial Paper — Nonfinancial.”

 

The following procedures shall be followed if the Commercial Paper Rate cannot be determined as described above:

 

(i)           If the above rate is not published in H.15(519) by 3:00 p.m., New York City time, on the Calculation Date, then the Commercial Paper Rate shall be the Money Market Yield of the rate on that Interest Determination Date for commercial paper of the Index Maturity specified on the face hereof as published in the H.15 Daily Update under the heading “Commercial Paper — Non-financial,” or other recognized electronic source used for the purpose of displaying the applicable rate.

 

(ii)           If by 3:00 p.m., New York City time, on that Calculation Date the rate is not yet published in either H.15(519) or the H.15 Daily Update, then the Calculation Agent shall determine the Commercial Paper Rate to be the Money

 

  

46

  

Market Yield of the arithmetic mean of the offered rates as of 11:00 a.m., New York City time, on that Interest Determination Date of three leading nonbank dealers of commercial paper in The City of New York, which may include the initial dealer and its affiliates, selected by the Calculation Agent (after consultation with the Issuer), for U.S. dollar commercial paper of the Index Maturity specified on the face hereof for a nonfinancial issuer whose bond rating is “AA,” or the equivalent, from a nationally recognized rating agency.

 

(iii)           If the dealers selected by the Calculation Agent are not quoting as set forth above, the Commercial Paper Rate for that Interest Determination Date shall remain the Commercial Paper Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

The “Money Market Yield” shall be a yield calculated in accordance with the following formula:

 

	
Money Market Yield =

	
  D x 360

	
    x 100

	
  360 – (D x M)

where “D” refers to the applicable per year rate for commercial paper quoted on a bank discount basis and expressed as a decimal and “M” refers to the actual number of days in the interest period for which interest is being calculated.

 

Determination of Eleventh District Cost of Funds Rate.  If the Base Rate specified on the face hereof is the “Eleventh district cost of funds rate notes,” for any Interest Determination Date, the Eleventh district costs of funds rate with respect to this Note will be based on the eleventh district cost of funds rate and any spread and/or spread multiplier and will be subject to the minimum interest rate and the maximum interest rate, if any.  The eleventh district cost of funds rate will be determined as of each interest determination date relating to an eleventh district cost of funds rate note and will be the rate equal to the monthly weighted average cost of funds for the calendar month immediately preceding the month in which such interest determination date falls as set forth under the caption “11th District” on the display on the Moneyline Telerate service (or any successor service) on page 7058 (or any other page as may replace such page on such service), which we refer to as “Telerate page 7058” as of 11:00 A.M., San Francisco time, on such interest determination date.

 

The following procedures shall be followed if the rate cannot be determined as described above:

 

(i)           If such rate does not appear on Telerate page 7058 on such interest determination date, then the eleventh district cost of funds rate on such interest determination date shall be the monthly weighted average cost of funds paid by

 

  

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member institutions of the Eleventh Federal Home Loan Bank District that was most recently announced (which we refer to as the “Eleventh District Index”) by the FHLB of San Francisco as such cost of funds for the calendar month immediately preceding such interest determination date.

 

(ii)           If the FHLB of San Francisco fails to announce the Eleventh District Index on or prior to such interest determination date for the calendar month immediately preceding such interest determination date, the eleventh district cost of funds rate will remain the eleventh district cost of funds rate for the immediately preceding interest reset period, or, if there was no interest reset period, the rate of interest payable will be the initial interest rate.

 

Determination of EURIBOR Notes.  If the Base Rate specified on the face hereof is “EURIBOR,” for any Interest Determination Date, EURIBOR with respect to this Note shall be the rate for deposits in euros as sponsored, calculated and published jointly by the European Banking Federation and ACI - The Financial Market Association, or any company established by the joint sponsors for purposes of compiling and publishing those rates, for the Index Maturity specified on the face hereof as that rate appears on the display on Moneyline Telerate, or any successor service, on page 248 or any other page as may replace page 248 on that service (“Telerate Page 248”) as of 11:00 a.m., Brussels time.

 

The following procedures shall be followed if the rate cannot be determined as described above:

 

(i)           If the above rate does not appear, or is not so published by 11:00 A.M., Brussels time, the Calculation Agent shall request the principal Euro-zone office of each of four major banks in the Euro-zone interbank market, as selected by the Calculation Agent (after consultation with the Issuer), to provide the Calculation Agent with its offered rate for deposits in euros, at approximately 11:00 a.m., Brussels time, on the Interest Determination Date, to prime banks in the Euro-zone interbank market for the Index Maturity specified on the face hereof commencing on the applicable Interest Reset Date, and in a principal amount not less than the equivalent of U.S.$1 million in euro that is representative of a single transaction in euro in that market at that time.  If at least two quotations are provided, EURIBOR shall be the arithmetic mean of those quotations.

 

(ii)           If fewer than two quotations are provided, EURIBOR shall be the arithmetic mean of the rates quoted by four major banks in the Euro-zone interbank market, as selected by the Calculation Agent (after consultation with the Issuer), at approximately 11:00 a.m., Brussels time, on the applicable Interest Reset Date for loans in euro to leading European banks for a period of time equivalent to the Index Maturity specified on the face hereof commencing on that Interest Reset Date in a principal amount not less than the equivalent of U.S.$1 million in euro that is representative of a single transaction in euro, in that market at that time.

 

  

48

  

 

(iii)           If the banks so selected by the Calculation Agent are not quoting as set forth above, the EURIBOR rate for that Interest Determination Date shall remain the EURIBOR for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

“Euro-zone” means the region comprised of member states of the European Union that adopt the single currency in accordance with the relevant treaty of the European Union, as amended.

 

Determination of the Federal Funds Rates. If the Base Rate specified on the face hereof is the “Federal Funds Rate,” for any Interest Determination Date, the Federal Funds Rate with respect to this Note shall be the rate on that date for federal funds as published in H.15(519) under the heading “Federal Funds  (Effective)” as displayed on Moneyline Telerate, or any successor service, on page 120 or any other page as may replace page 120 on that service (“Telerate Page 120”).

 

The following procedures shall be followed if the Federal Funds Rate cannot be determined as described above:

 

(i)           If the above rate does not appear, or is not published by 3:00 p.m., New York City time, on the Calculation Date, the Federal Funds Rate shall be the rate on that Interest Determination Date as published in the H.15 Daily Update, or other recognized electronic source used for the purpose of displaying the applicable rate, under the heading “Federal Funds  (Effective).”

 

(ii)           If the above rate is not yet published in either H.15(519) or the H.15 Daily Update by 3:00 p.m., New York City time, on the Calculation Date, the Calculation Agent shall determine the Federal Funds Rate to be the arithmetic mean of the rates for the last transaction in overnight U.S. dollar federal funds by each of three leading brokers of U.S. dollar federal funds transactions in The City of New York, which may include the initial dealer and its affiliates, selected by the Calculation Agent (after consultation with the Issuer), prior to 9:00 a.m., New York City time, on that Interest Determination Date.

 

(iii)           If the dealers selected by the Calculation Agent are not quoting as set forth in (ii) above, the Federal Funds Rate for that Interest Determination Date shall remain the Federal Funds Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

  

49

  

 

Determination of LIBOR.  If the Base Rate specified on the face hereof is “LIBOR,” LIBOR with respect to this Note shall be based on London Interbank Offered Rate. The Calculation Agent shall determine LIBOR for each Interest Determination Date as follows:

 

(i)           As of the Interest Determination Date, LIBOR shall be the arithmetic mean of the offered rates for deposits in the Index Currency having the Index Maturity designated on the face hereof, commencing on the applicable Interest Reset Date immediately following that Interest Determination Date, that appear on the Designated LIBOR Page, as defined below, as of 11:00 a.m., London time, on that Interest Determination Date, if at least two offered rates appear on the Designated LIBOR Page; except that if the Designated LIBOR Page, by its terms provides only for a single rate, that single rate shall be used.

 

(ii)           If (a) fewer than two offered rates appear, or (b) no rate appears and the Designated LIBOR Page by its terms provides only for a single rate, then the Calculation Agent shall request the principal London offices of each of four major reference banks in the London interbank market, as selected by the Calculation Agent (after consultation with the Issuer), to provide the Calculation Agent with its offered quotation for deposits in the Index Currency for the period of the Index Maturity specified on the face hereof commencing on the applicable Interest Reset Date immediately following the Interest Determination Date or, if pounds sterling is the Index Currency, commencing on that Interest Determination Date, to prime banks in the London interbank market at approximately 11:00 a.m., London time, on that Interest Determination Date and in a principal amount that is representative of a single transaction in that Index Currency in that market at that time.

 

(iii)           If at least two quotations are provided, LIBOR determined on that Interest Determination Date shall be the arithmetic mean of those quotations.  If fewer than two quotations are provided, LIBOR shall be determined for the applicable Interest Reset Date as the arithmetic mean of the rates quoted at approximately 11:00 a.m., London time, or some other time specified on the face hereof, in the applicable principal financial center for the country of the Index Currency on that Interest Reset Date, by three major banks in that principal financial center selected by the Calculation Agent (after consultation with the Issuer) for loans in the Index Currency to leading European banks, having the Index Maturity specified on the face hereof and in a principal amount that is representative of a single transaction in that Index Currency in that market at that time.

 

(iv)           If the banks so selected by the Calculation Agent are not quoting as set forth above, the LIBOR rate for that Interest Determination Date shall remain the LIBOR for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

  

50

  

 

The “Index Currency” means the currency specified on the face hereof as the currency for which LIBOR shall be calculated, or, if the euro is substituted for that currency, the Index Currency shall be the euro.  If that currency is not specified on the face hereof, the Index Currency shall be U.S. dollars.

 

“Designated LIBOR Page” means the display on the Reuters Monitor Money Rates Service for the purpose of displaying the London interbank rates of major banks for the applicable Index Currency or its designated successor, or any other page as may replace that page, for the purpose of displaying the London interbank rates of major banks for the applicable Index Currency.

 

Determination of Prime Rate.  If the Base Rate specified on the face hereof is “Prime Rate,” for any Interest Determination Date, the Prime Rate with respect to this Note shall be the rate on that date as published in H.15(519) under the heading “U.S. Bank Prime Rates” or in another recognized electronic source used for the purpose of displaying that rate.

 

The following procedures shall be followed if the Prime Rate cannot be determined as described above:

 

(i)           If the above rate is not published prior to 3:00 p.m., New York City time, on the Calculation Date, then the Prime Rate shall be the rate on that Interest Determination Date as published in the H.15 Daily Update under the heading “Bank Prime Loan.”

 

(ii)           If the above rate is not published in either H.15(519) or the H.15 Daily Update by 3:00 p.m., New York City time, on the Calculation Date, then the Calculation Agent shall determine the Prime Rate to be the arithmetic mean of the rates of interest publicly announced by each bank that appears on the Reuters Screen USPRIME 1 Page, as defined below, as that bank’s Prime Rate or base lending rate as in effect for that Interest Determination Date.

 

(iii)           If fewer than four rates appear on the Reuters Screen USPRIME 1 Page for that Interest Determination Date, the Calculation Agent shall determine the Prime Rate to be the arithmetic mean of the Prime Rates  or base lending rates quoted on the basis of the actual number of days in the year divided by 360 as of the close of business on that Interest Determination Date by four major money center banks in The City of New York, which may include affiliates of the initial dealer, selected by the Calculation Agent (after consultation with the Issuer).

 

(iv)           If fewer than four such quotations are so provided, the Calculation Agent shall determine the Prime Rate to be the arithmetic mean of four prime rates quoted on the basis of the actual number of days in the year divided by a

 

  

51

  

360-day year as of the close of business on that Interest Determination Date as furnished in The City of New York by the major money center banks, if any, that have provided such quotations and by a reasonable number of substitute banks or trust companies (which may include us or our affiliates), provided such substitute banks or trust companies are organized and doing business under the laws of the United States, or any State thereof, each having total equity capital of at least $500 million and being subject to supervision or examination by a Federal or state authority, selected by the Calculation Agent (after consultation with the Issuer) to provide such rate or rates.

 

(v)           If the banks selected by the Calculation Agent are not quoting as set forth above, the Prime Rate for that Interest Determination Date shall remain the Prime Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

“Reuters Screen USPRIME 1 Page” means the display designated as page “USPRIME 1” on the Reuters Monitor Money Rates Service, or any successor service, or any other page as may replace the USPRIME 1 Page on that service for the purpose of displaying prime rates or base lending rates of major U.S. banks.

 

Determination of Treasury Rate.  If the Base Rate specified on the face hereof is “Treasury Rate,” the Treasury Rate with respect to this Note shall be

 

(i)           the rate from the Auction held on the applicable Interest Determination Date (the “Auction”) of direct obligations of the United States (“Treasury Bills”) having the Index Maturity specified on the face hereof as that rate appears under the caption “INVESTMENT RATE” on the display on Moneyline Telerate, or any successor service, on page 56 or any other page as may replace page 56 on that service (“Telerate Page 56”) or page 57 or any other page as may replace page 57 on that service (“Telerate Page 57”); or

 

(ii)           if the rate described in (i) above is not published by 3:00 p.m., New York City time, on the Calculation Date, the Bond Equivalent Yield of the rate for the applicable Treasury Bills as published in the H.15 Daily Update, or other recognized electronic source used for the purpose of displaying the applicable rate, under the caption “U.S. Government Securities/Treasury Bills/Auction High”; or

 

(iii)           if the rate described in (ii) above is not published by 3:00 p.m., New York City time, on the related Calculation Date, the Bond Equivalent Yield of the Auction rate of the applicable Treasury Bills, announced by the United States Department of the Treasury; or

 

  

52

  

 

(iv)           in the event that the Auction rate of Treasury Bills having the index maturity specified on the face hereof is not so announced by the United States Department of the Treasury, or if no such Auction is held, then the Treasury rate will be calculated by the Calculation Agent and will be the bond equivalent yield of the arithmetic mean of the secondary market bid rates, as of approximately 3:30 P.M., New York City time, on such Interest Determination Date, of three primary United States government securities dealers (which may include us or our affiliates) selected by the Calculation Agent (after consultation with the Issuer), for the issue of Treasury Bills with a remaining maturity closest to the Index Maturity specified in the applicable pricing supplement; or

 

(v)           if the dealers selected by the Calculation Agent are not quoting as described in (iv), the Treasury Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

The “Bond Equivalent Yield” means a yield calculated in accordance with the following formula and expressed as a percentage:

 

	
Bond Equivalent Yield =

	
D x N

	
    x 100

	
360 – (D x M)

where “D” refers to the applicable per annum rate for Treasury Bills quoted on a bank discount basis, “N” refers to 365 or 366, as the case may be, and “M” refers to the actual number of days in the interest period for which interest is being calculated.

Determination of CMT Rate.  If the Base Rate specified on the face hereof is the “CMT Rate,” for any Interest Determination Date, the CMT Rate with respect to this Note shall be the rate displayed on the Designated CMT Telerate Page (as defined below) under the caption “...Constant Maturities Treasury ... Federal Reserve Board Release H.15... Mondays Approximately 3:45 p.m.,” under the column for the Designated CMT Maturity Index, as defined below, for:

 

(1)            the rate on that Interest Determination Date, if the Designated CMT Telerate Page is 7051; and

 

(2)           the weekly or monthly average, as specified on the face hereof, for the week or the month, as applicable, ended immediately preceding the week in which the related Interest Determination Date occurs, if the Designated CMT Telerate Page is 7052.

 

The following procedures shall be followed if the CMT Rate cannot be determined as described above:

 

  

53

  

 

(i)           If the above rate is no longer displayed on the relevant page, or if not displayed by 3:00 p.m., New York City time, on the related Calculation Date, then the CMT Rate shall be the Treasury Constant Maturity rate for the Designated CMT Maturity Index as published in the relevant H.15(519).

 

(ii)           If the above rate is no longer published, or if not published by 3:00 p.m., New York City time, on the related Calculation Date, then the CMT Rate shall be the Treasury Constant Maturity Rate for the Designated CMT Maturity Index or other U.S. Treasury rate for the Designated CMT Maturity Index on the Interest Determination Date as may then be published by either the Board of Governors of the Federal Reserve System or the United States Department of the Treasury that the Calculation Agent determines to be comparable to the rate formerly displayed on the Designated CMT Telerate Page and published in the relevant H.15(519).

 

(iii)           If the information set forth above is not provided by 3:00 p.m., New York City time, on the related Calculation Date, then the Calculation Agent shall determine the CMT Rate to be a yield to maturity, based on the arithmetic mean of the secondary market closing offer side prices as of approximately 3:30 p.m., New York City time, on the Interest Determination Date, reported, according to their written records, by three leading primary U.S. government securities dealers (“Reference Dealers”) in The City of New York, which may include the initial dealer or another affiliate, selected by the Calculation Agent as described in the following sentence.  The Calculation Agent shall select five reference dealers (after consultation with the Issuer) and shall eliminate the highest quotation or, in the event of equality, one of the highest, and the lowest quotation or, in the event of equality, one of the lowest, for the most recently issued direct noncallable fixed rate obligations of the United States (“Treasury Notes”) with an original maturity of approximately the Designated CMT Maturity Index, a remaining term to maturity of no more than 1 year shorter than that Designated CMT Maturity Index and in a principal amount that is representative for a single transaction in the securities in that market at that time.

 

(iv)           If the Calculation Agent cannot obtain three Treasury Notes quotations as described in (iii) above, the Calculation Agent shall determine the CMT Rate to be a yield to maturity based on the arithmetic mean of the secondary market offer side prices as of approximately 3:30 p.m., New York City time, on the Interest Determination Date of three reference dealers in The City of New York, selected using the same method described in (iii) above, for Treasury Notes with an original maturity of the number of years that is the next highest to the Designated CMT Maturity Index and a remaining term to maturity closest to the Designated CMT Maturity Index and in an amount of at least $100 million.  If two Treasury Notes with an original maturity as described above have remaining terms to maturity equally close to the Designated CMT Maturity Index, the quotes for the Treasury Note with the shorter remaining term to maturity shall be used.

 

  

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(v)           If three or four, and not five, of the reference dealers are quoting as described in (iv) above, then the CMT Rate for that Interest Determination Date shall be based on the arithmetic mean of the offer prices obtained and neither the highest nor the lowest of those quotes shall be eliminated.

 

(vi)           If fewer than three reference dealers selected by the Calculation Agent are quoting as described in (iv) above, the CMT Rate for that Interest Determination Date shall be the CMT Rate for the immediately preceding Interest Reset Period, or, if there was no Interest Reset Period, the rate of interest payable shall be the Initial Interest Rate.

 

“Designated CMT Telerate Page” means the display on Moneyline Telerate, or any successor service, on the page designated on the face hereof or any other page as may replace that page on that service for the purpose of displaying Treasury Constant Maturities as reported in H.15(519).  If no page is specified on the face hereof, the Designated CMT Telerate Page shall be 7052, for the most recent week.

 

“Designated CMT Maturity Index” means the original period to maturity of the U.S. Treasury securities, which is either 1, 2, 3, 5, 7, 10, 20 or 30 years, as specified in the applicable pricing supplement for which the CMT Rate shall be calculated.  If no maturity is specified on the face hereof, the Designated CMT Maturity Index shall be two years.

 

Notwithstanding the foregoing, the interest rate hereon shall not be greater than the Maximum Interest Rate, if any, or less than the Minimum Interest Rate, if any, specified on the face hereof. The Calculation Agent shall calculate the interest rate hereon in accordance with the foregoing on or before each Calculation Date. The interest rate on this Note will in no event be higher than the maximum rate permitted by New York law, as the same may be modified by United States Federal law of general application.

 

At the request of the Holder hereof, the Calculation Agent will provide to the Holder hereof the interest rate hereon then in effect and, if determined, the interest rate that will become effective as of the next Interest Reset Date.

 

Unless otherwise indicated on the face hereof, interest payments on this Note shall be the amount of interest accrued from and including the Interest Accrual Date or from and including the last date to which interest has been paid or duly provided for to but excluding the Interest Payment Dates or the Maturity Date (or any earlier redemption or repayment date), as the case may be. Accrued interest hereon shall be an amount calculated by multiplying the Principal Amount hereof by an accrued interest factor. Such accrued interest factor shall be computed by adding the interest factor calculated for each day in the period for which interest is being paid. The interest factor for each such date shall be

 

  

55

  

computed by dividing the interest rate applicable to such day (i) by 360 if the Base Rate is CD Rate, Commercial Paper Rate, EURIBOR, Federal Funds Rate, Prime Rate or LIBOR or (ii) by the actual number of days in the year if the Base Rate is the Treasury Rate or the CMT Rate. All percentages resulting from any calculation of the rate of interest on this Note will be rounded, if necessary, to the nearest one hundred-thousandth of a percentage point (with .000005% being rounded up to .00001%) and all dollar amounts used in or resulting from such calculation on this Note will be rounded to the nearest cent, with one-half cent rounded upward.  The interest rate in effect on any Interest Reset Date will be the applicable rate as reset on such date. The interest rate applicable to any other day is the interest rate from the immediately preceding Interest Reset Date (or, if none, the Initial Interest Rate).

 

This Note and all the obligations of the Issuer hereunder are direct, unsecured obligations of the Issuer and rank without preference or priority among themselves and pari passu with all other existing and future unsecured and unsubordinated indebtedness of the Issuer, except for debts required to be preferred by law.

 

This Note, and any Note or Notes issued upon transfer or exchange hereof, is issuable only in fully registered form, without coupons, and, if denominated in U.S. dollars, unless otherwise specified above, is issuable only in denominations of U.S. $1,000 and any integral multiple of U.S. $1,000 in excess thereof. If this Note is denominated in a Specified Currency other than U.S. dollars, then, unless otherwise specified above or unless a higher minimum denomination is required by applicable law, it is issuable only in denominations of the equivalent of U.S. $1,000 (rounded to an integral multiple of 1,000 units of such Specified Currency), or any amount in excess thereof which is an integral multiple of such number of units of such Specified Currency, as determined by reference to the noon dollar buying rate in The City of New York for cable transfers of such Specified Currency published by the Federal Reserve Bank of New York (the “Market Exchange Rate”) on the Business Day immediately preceding the date of issuance. If the Market Exchange Rate is not available for any reason with respect to one or more currencies or currency units for which an exchange rate is required, the Exchange Rate Agent will use, in its sole discretion and without liability on its part, such quotation of the Federal Reserve Bank of New York as of the most recent available date, or quotations from one or more major banks in New York City or in the country of issue of the currency or currency unit in question, or such other quotations as the Exchange Rate Agent shall deem appropriate. If there is more than one market for dealing in any currency or currency unit by reason of foreign exchange regulations or otherwise, the market to be used in respect of such currency or currency unit will be that upon which a non-resident issuer of securities designated in such currency or currency unit would, as determined in its sole discretion and without liability on the part of the exchange rate agent, purchase such currency or currency unit in order to make payments in respect of such securities.

 

  

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DBTCA has been appointed registrar for the Notes, and DBTCA will maintain at its office in The City of New York, a register for the registration and transfer of Notes. This Note may be transferred at either the aforesaid New York office of DBTCA by surrendering this Note for cancellation, accompanied by a written instrument of transfer in form satisfactory to the Issuer, the Trustee and the Authenticating Agent and duly executed by the registered Holder hereof in person or by the Holder’s attorney duly authorized in writing, and thereupon the Trustee or the Authenticating Agent shall authenticate and deliver in the name of the transferee or transferees, in exchange herefor, a new Note or Notes having identical terms and provisions and having a like aggregate principal amount in authorized denominations, subject to the terms and conditions set forth herein; provided, however, that neither the Trustee nor the Authenticating Agent will be required to (i) register the transfer of or exchange any Note that has been called for redemption in whole or in part, except the unredeemed portion of Notes being redeemed in part, (ii) register the transfer of or exchange any Note if the Holder thereof has exercised his right, if any, to require the Issuer to repurchase such Note in whole or in part, except the portion of such Note not required to be repurchased, or (iii) register the transfer of or exchange Notes to the extent and during the period so provided in the Senior Indenture with respect to the redemption of Notes.  Notes are exchangeable at said offices for other Notes of other authorized denominations of equal aggregate principal amount having identical terms and provisions. All such registrations, exchanges and transfers of Notes will be free of service charge, but the Issuer may require payment of a sum sufficient to cover any tax or other governmental charge in connection therewith. All Notes surrendered for exchange shall be accompanied by a written instrument of transfer in form satisfactory to the Issuer, the Trustee and the Authenticating Agent and executed by the registered Holder in person or by the Holder’s attorney duly authorized in writing. The date of registration of any Note delivered upon any exchange or transfer of Notes shall be such that no gain or loss of interest results from such exchange or transfer.

 

In case this Note shall at any time become mutilated, defaced or be destroyed, lost or stolen and this Note or evidence of the loss, theft or destruction thereof (together with the indemnity hereinafter referred to and such other documents or proof as may be required in the premises) shall be delivered to the Trustee and the Authenticating Agent, the Issuer in its discretion may execute a new Note of like tenor in exchange for this Note, but, in the case of any destroyed or lost or stolen Note, only upon receipt of evidence satisfactory to the Trustee, the Authenticating Agent and the Issuer that this Note was destroyed or lost or stolen and, if required, upon receipt also of indemnity satisfactory to each of them. All expenses and reasonable charges associated with procuring such indemnity and with the preparation, authentication and delivery of a new Note shall be borne by the owner of the Note mutilated, defaced, destroyed, lost or stolen.

 

  

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If the face hereof indicates that this Note is subject to “Tax Redemption,” this Note may be redeemed, as a whole, at the option of the Issuer at any time prior to maturity, upon the giving of a Notice of redemption as described below, at a redemption price equal to 100% of the principal amount hereof, together with accrued interest to the date fixed for redemption, if the Issuer determines that, as a result of any change in or amendment to the laws, or any regulations or rulings promulgated thereunder, of the Federal Republic of Germany, the United States, the jurisdiction of residence or incorporation of any successor corporation to the Issuer, or the jurisdiction of any issuing branch (each a “Relevant Jurisdiction”), or of any political subdivision or taxing authority thereof or therein affecting taxation, or any change in official position regarding the application or interpretation of such laws, regulations or rulings, which change or amendment becomes effective on or after the Trade Date hereof, the Issuer has or will become obligated to pay Additional Tax Amounts, as defined below, with respect to this Note as described below.  Prior to the giving of any Notice of redemption pursuant to this paragraph, the Issuer shall deliver to the Trustee (i) a certificate stating that the Issuer is entitled to effect such redemption and setting forth a statement of facts showing that the conditions precedent to the right of the Issuer to so redeem have occurred, and (ii) an opinion of independent legal counsel satisfactory to the Trustee to such effect based on such statement of facts; provided, that no such Notice of redemption shall be given earlier than 60 calendar days prior to the earliest date on which the Issuer would be obligated to pay such Additional Tax Amounts if a payment in respect of this Note were then due.

 

Notice of redemption will be given not less than 30 nor more than 60 calendar days prior to the date fixed for redemption or within the Redemption Notice Period specified on the face hereof, which date and the applicable redemption price will be specified in the Notice.

 

Every net payment of the principal of and interest on this Note and any other amounts payable on this Note will be made without any withholding or deduction for or on account of any present or future taxes, duties or governmental charges of any nature whatsoever imposed, levied or collected by or on behalf of the Relevant Jurisdiction, or by or on behalf of any political subdivision or authority therein or thereof having the power to tax (“withholding taxes”) unless such deduction or withholding is required by law.  In such event and if (but only if) the face hereof indicates that this Note is subject to “Payment of Additional Tax Amounts,” the Issuer will, subject to certain exceptions and limitations set forth below, pay such additional tax amounts (the “Additional Tax Amounts”) to the Holder of this Note as may be necessary in order that every net payment of the principal of and interest on this Note and any other amounts payable on this Note,

 

  

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after withholding or deduction for or on account of any present or future tax, assessment or governmental charge imposed upon or as a result of such payment by the Relevant Jurisdiction, or any political subdivision or taxing authority thereof or therein, will not be less than the amount provided for in this Note to be then due and payable. The Issuer will not, however, make any payment of Additional Tax Amounts to any such Holder for or on account of:

 

	
  

	
(a)

	
any present or future tax, assessment or other governmental charge that would not have been so imposed but for (i) the existence of any present or former connection between a Holder or Beneficial Owner of this Note and the Relevant Jurisdiction, other than the mere holding or beneficial ownership of this Note; (ii) the presentation by or on behalf of the Holder of this Note for payment on a date more than 15 calendar days after the date on which such payment became due and payable or the date on which payment thereof is duly provided for, whichever occurs later; or (iii) a failure by the Holder or Beneficial Owner of this Note (or any financial institution through which the Holder or Beneficial Owner holds this Note or through which payment on this Note is made) to enter into an agreement described in Section 1471(b)(1) of the U.S. Internal Revenue Code of 1986 (the “Code”) or otherwise comply with Sections 1471 through 1474 of the Code or any regulations promulgated thereunder;

 

	
  

	
(b)

	
any estate, inheritance, gift, sales, transfer, excise or personal property tax or any similar tax, assessment or governmental charge;

 

	
  

	
(c)

	
any tax, assessment or other governmental charge that is payable otherwise than by withholding or deduction from payments on or in respect of this Note;

 

	
  

	
(d)

	
any tax, assessment or other governmental charge required to be withheld by any Paying Agent from any payment of principal of, or interest on, this Note, if such payment can be made without such withholding by at least one other Paying Agent;

 

	
  

	
(e)

	
any tax, assessment or other governmental charge that would not have been imposed but for the failure of the Holder or Beneficial Owner of this Note to comply with certification, information or other reporting requirements concerning the nationality, residence or identity of the Holder or Beneficial Owner of this Note, if such

 

  

59

  

	
  

	
 compliance is required by statute or by regulation of the Relevant Jurisdiction or of any political subdivision or taxing authority thereof or therein as a precondition to relief or exemption from such tax, assessment or other governmental charge;

 

	
  

	
(f)

	
any combination of items listed above.

 

In addition, the Issuer shall not be required to make any payment of Additional Tax Amounts (i) with respect to any withholding taxes which are deducted or withheld pursuant to (A) European Council Directive 2003/48/EC or any other European Union Directive or Regulation implementing the conclusions of the ECOFIN Council meeting of 26-27 November 2000 on the taxation of savings income, or (B) any international treaty or understanding entered into for the purpose of facilitating cooperation in the reporting and collection of savings income and to which (x) the United States, and (y) the European Union or Germany is a party, or (C) any provision of law implementing, or complying with, or introduced to conform with, such Directive, Regulation, treaty or understanding; (ii) to the extent such deduction or withholding can be avoided or reduced if the Holder or Beneficial Owner of this Note makes a declaration of non-residence or other similar claim for exemption to the relevant tax authority or complies with any reasonable certification, documentation, information or other reporting requirement imposed by the relevant tax authority; provided, however, that the exclusion in this clause will not apply if the certification, information, documentation or other reporting requirement would be materially more onerous (in form, procedure or substance of information required to be disclosed) to the Holder or Beneficial Owner of this Note than comparable information or other reporting requirements imposed under U.S. tax law, regulation and administrative practice (such as IRS Forms W-8 and W-9); or (iii) by or on behalf of a Holder who would have been able to avoid such withholding or deduction by presenting this Note or the relevant coupon to another Paying Agent in a member state of the European Union. Nor shall the Issuer pay Additional Tax Amounts with respect to any payment on this Note to a Holder who is a fiduciary or partnership or other than the sole Beneficial Owner of such payment to the extent such payment would be required by the laws of the Relevant Jurisdiction (or any political subdivision thereof) to be included in the income, for tax purposes, of a beneficiary or settlor with respect to such fiduciary or a member of such partnership or a Beneficial Owner who would not have been entitled to the Additional Tax Amounts had such beneficiary, settlor, member or Beneficial Owner been the Holder of this Note.

 

Unless the face hereof indicates that this Note is not subject to the “Resolution Measures Provisions,” the terms and conditions set forth in the following paragraphs (a) – (k) shall apply to this Note, and by acquiring this Note, the Holder and each Beneficial Owner of this Note shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

  

60

  

 

	
  

	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Issuer from time to time, this Note may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of the principal amount, the interest amount, if any, or any other amount in respect of this Note;

 

	
  

	
(ii)

	
convert this Note into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of this Note to another entity, (B) the amendment of the terms and conditions of this Note or (C) the cancellation of this Note;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment by the Issuer arising out of any such Resolution Measure will not constitute a failure by the Issuer under the terms of this Note or the Senior Indenture to make a payment of principal of, interest on, or other amounts owing under this Note. If this Note provides for delivery of any property, any reference in the Senior Indenture and in this Note to payment by the Issuer under this Note shall be deemed to include the delivery of such property.

 

	
  

	
(b)

	
By its acquisition of this Note, the Holder and each Beneficial Owner of this Note shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Issuer arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default or an Event of Default under the Senior Indenture or for the purpose of the Trust Indenture Act of 1939 (including, without limitation, Section 315(b) (Notice of Default) and Section 315(c) (Duties of the Trustee in Case of Default) of the Trust Indenture Act of 1939).

 

  

61

  

 

	
  

	
(c)

	
The terms and conditions of this Note shall continue to apply in relation to the residual principal amount of, or outstanding amount payable in respect of, this Note, subject to any modification of the amount of interest payable, if any, to reflect the reduction of the principal amount, and any further modification of the terms that the competent resolution authority may decide in accordance with applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

	
  

	
(d)

	
No repayment of any then-current principal amount of this Note or payment of interest or any other amount thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such repayment or payment would be permitted to be made by the Issuer under the laws and regulations of the Federal Republic of Germany then applicable to the Issuer.

 

	
  

	
(e)

	
By its acquisition of this Note, the Holder and each Beneficial Owner of this Note waives, to the fullest extent permitted by the Trust Indenture Act of 1939 and applicable law, any and all claims against the Trustee or the Paying Agent for, agrees not to initiate a suit against the Trustee or the Paying Agent in respect of, and agrees that the Trustee and the Paying Agent shall not be liable for, any action that the Trustee or the Paying Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to this Note.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to this Note, the Issuer shall provide a written notice directly to the Holder in accordance with Section 11.04 of the Senior Indenture as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying the Holder of such occurrence.  The Issuer shall also deliver a copy of such notice to the Trustee and the Paying Agent for information purposes, and the Trustee and the Paying Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Issuer to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on this Note.

 

  

62

  

 

	
  

	
(g)

	
If this Note is called or being called for redemption by the Issuer or submitted or being submitted by the Holder for repurchase by the Issuer pursuant to the Holder’s option to require the Issuer to repurchase this Note, but the competent resolution authority has imposed a Resolution Measure with respect to this Note prior to the payment of the redemption or repurchase amount, the relevant redemption or repurchase notice, if any, shall be automatically rescinded and shall be of no force and effect, and no payment of the redemption or repurchase amount will be due and payable.

 

	
  

	
(h)

	
Upon the imposition of any Resolution Measure by the competent resolution authority, the Trustee shall not be required to take any further directions from the Holders of the Notes under Section 5.09 of the Senior Indenture, which section authorizes Holders of a majority in aggregate principal amount of the Notes at the time Outstanding to direct certain actions relating to the Notes, and if any such direction was previously given under Section 5.09 of the Senior Indenture to the Trustee by the Holders, it shall automatically cease to be effective, be null and void and have no further effect.  The Senior Indenture shall impose no duties, obligations or liabilities upon the Trustee or the Agents whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Trustee and the Agents shall be fully protected in acting or refraining from acting in accordance with a Resolution Measure.  Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, this Note remains outstanding, then the Trustee’s and the Paying Agent’s duties under the Senior Indenture shall remain applicable with respect to this Note following such completion to the extent that the Issuer, the Trustee and the Agents agree pursuant to a supplemental indenture, unless the Issuer, the Trustee and the Agents agree that a supplemental indenture is not necessary.

 

	
  

	
(i)

	
By the acquisition of this Note, the Holder and each Beneficial Owner of this Note shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to this Note and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds this Note to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to this Note as it may be imposed, without any further action or direction on the part of the Holder of this Note, the Trustee or the Agents.

  

63

  

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding principal amount of the Notes, unless the Trustee or the Agents are otherwise instructed by the Issuer or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Notes pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Notes of any series.

 

	
  

	
(k)

	
The Issuer’s obligations to indemnify the Trustee and the Agents in accordance with Sections 6.02 and 6.06 of the Senior Indenture shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to this Note.

 

The Senior Indenture provides that (a) if an Event of Default due to the default in payment of principal, premium, if any, or interest on any series of debt securities issued under the Senior Indenture, including the series of Senior Global Notes of which this Note forms a part, or due to the default in the performance or breach of any other covenant or warranty of the Issuer applicable to the debt securities of such series but not applicable to all outstanding debt securities issued under the Senior Indenture, shall have occurred and be continuing, either the Trustee or the Holders of not less than 331⁄3% in aggregate principal amount of the outstanding debt securities of each affected series, voting as one class, by notice in writing to the Issuer and to the Trustee, if given by the securityholders, may then declare the principal of all debt securities of all such series and interest accrued thereon to be due and payable immediately and (b) if an Event of Default due to a default in the performance of any other of the covenants or agreements in the Senior Indenture applicable to all outstanding debt securities issued thereunder, including this Note, or due to certain events of bankruptcy, insolvency or reorganization of the Issuer, shall have occurred and be continuing, either the Trustee or the Holders of not less than 331⁄3% in aggregate principal amount of all outstanding debt securities issued under the Senior Indenture voting as one class, by notice in writing to the Issuer and to the Trustee, if given by the securityholders, may declare the principal of all such debt securities and interest accrued thereon to be due and payable immediately, but upon certain conditions such declarations may be annulled and past defaults may be waived (except a continuing default in payment of principal, premium, if any, or interest on such debt securities) by the Holders of a majority in aggregate principal amount of the debt securities of all affected series then outstanding.

 

The Senior Indenture permits the Issuer and the Trustee, with the consent of the Holders of not less than a majority in aggregate principal amount of the debt securities of all series issued under the Senior Indenture then outstanding and

 

  

64

  

affected (voting as one class), to execute supplemental indentures adding any provisions to or changing in any manner the rights of the Holders of each series so affected; provided that the Issuer and the Trustee may not, without the consent of the Holder of each outstanding debt security affected thereby, (a) extend the final maturity of any such debt security, or reduce the principal amount thereof, or reduce the rate or extend the time of payment of interest thereon, or reduce any amount payable on redemption thereof, or change the currency of payment thereof, or modify or amend the provisions for conversion of any currency into any other currency, or modify or amend the provisions for conversion or exchange of the debt security for securities of the Issuer or other entities or for other property or the cash value of the property (other than as provided in the antidilution provisions or other similar adjustment provisions of the debt securities or otherwise in accordance with the terms thereof), or impair or affect the rights of any Holder to institute suit for the payment thereof or (b) reduce the aforesaid percentage in principal amount of debt securities the consent of the Holders of which is required for any such supplemental indenture. The Issuer and the Trustee may, without the consent of the Holder of this Note, conform the terms of this Note to the description thereof in the prospectus and prospectus supplements relating to the offering and sale of this Note.

 

Except as set forth below, if the principal of, premium, if any, or interest on this Note is payable in a Specified Currency other than U.S. dollars and such Specified Currency is not available to the Issuer for making payments hereon due to the imposition of exchange controls or other circumstances beyond the control of the Issuer or is no longer used by the government of the country issuing such currency or for the settlement of transactions by public institutions within the international banking community, then the Issuer will be entitled to satisfy its obligations to the Holder of this Note by making such payments in U.S. dollars (the “Substitute Currency”). The Substitute Currency will become the currency of payment on each payment date occurring after the last date on which the Specified Currency was available (the  “Conversion Date”) but such Specified Currency will, at the Issuer’s election, resume being the currency of payment on the first such payment date preceded by 15 Business Days during which the circumstances which gave rise to the change of currency no longer prevail, in each case, as determined in good faith by the Issuer. The Substitute Currency amount to be paid by the Issuer to the Paying Agent and by the Paying Agent to the Holder of this Note with respect to such payment date will be the Currency Equivalent or Currency Unit Equivalent (each as defined below) of the Specified Currency as determined by the Exchange Rate Agent (as defined below), which such determination will be delivered in writing to the Paying Agent not later than the fifth Business Day prior to the applicable payment date, as of the Conversion Date, or, if later, the date most recently preceding the payment date in question on which such determination is possible of performance, but not more than 15 Business Days before such payment date. Such Conversion Date or date preceding a payment date is referred to as the “Substitute Currency Valuation Date.” Any payment in a Substitute Currency under the circumstances described above will not constitute an Event of Default under this Note.

 

  

65

  

 

The “Currency Equivalent” will be determined by the Exchange Rate Agent as of each Substitute Currency Valuation Date and will be obtained by converting the Specified Currency (unless the Specified Currency is a currency unit) into the Substitute Currency at the Market Exchange Rate on the Substitute Currency Valuation Date.

 

The “Currency Unit Equivalent” will be determined by the Exchange Rate Agent as of each Substitute Currency Valuation Date and will be the sum obtained by adding together the results obtained by converting the Specified Amount of each initial Component Currency into the Substitute Currency at the Market Exchange Rate on the Substitute Currency Valuation Date for such Component Currency.

 

The “Component Currency” means any currency which, on the Conversion Date, was a component currency of the relevant currency unit.

 

The “Specified Amount” of a Component Currency means the number of units (including decimals) which such Component Currency represented in the relevant currency unit, on the Conversion Date or the Substitute Currency Valuation Date or the last date the currency unit was so used, whichever is later. If after such date the official unit of any Component Currency is altered by way of combination or subdivision, the Specified Amount of such Component Currency will be divided or multiplied in the same proportion. If after such date two or more Component Currencies are consolidated into a single currency, the respective Specified Amounts of such Component Currencies will be replaced by an amount in such single currency equal to the sum of the respective Specified Amounts of such consolidated Component Currencies expressed in such single currency, and such amount will thereafter be a Specified Amount and such single currency will thereafter be a Component Currency. If after such date any Component Currency will be divided into two or more currencies, the Specified Amount of such Component Currency will be replaced by Specified Amounts of such two or more currencies, the sum of which, at the Market Exchange Rate of such two or more currencies on the date of such replacement, will be equal to the Specified Amount of such former Component Currency and such amounts will thereafter be Specified Amounts and such currencies will thereafter be Component Currencies.

 

The “Exchange Rate Agent” shall be Deutsche Bank AG, London Branch, unless otherwise indicated on the face hereof.

 

All determinations referred to above made by, or on behalf of, the Issuer or by, or on behalf of, the Exchange Rate Agent shall be at such entity’s sole discretion and shall, in the absence of manifest error, be conclusive for all purposes and binding on the Holder of this Note and coupons.

 

  

66

  

 

So long as this Note shall be outstanding, the Issuer will cause to be maintained an office or agency for the payment of the principal of and premium, if any, and interest on this Note as herein provided in the Borough of Manhattan, The City of New York, and an office or agency in said Borough of Manhattan for the registration, transfer and exchange as aforesaid of this Note.  The Issuer may designate other agencies for the payment of said principal, premium and interest at such place or places (subject to applicable laws and regulations) as the Issuer may decide.  So long as there shall be such an agency, the Issuer shall keep the Trustee advised of the names and locations of such agencies, if any are so designated.  If any European Union Directive on the taxation of savings comes into force, the Issuer will, to the extent possible as a matter of law, maintain a Paying Agent in a member state of the European Union that will not be obligated to withhold or deduct tax pursuant to any such Directive or any law implementing or complying with, or introduced in order to conform to, such Directive.

 

With respect to moneys paid by the Issuer and held by the Trustee or any Paying Agent for payment of the principal of or interest or premium, if any, on any Notes that remain unclaimed at the end of two years after such principal, interest or premium shall have become due and payable (whether at maturity or upon call for redemption or otherwise), (i) the Trustee or such Paying Agent shall notify the Holders of such Notes that such moneys shall be repaid to the Issuer and any person claiming such moneys shall thereafter look only to the Issuer for payment thereof and (ii) such moneys shall be so repaid to the Issuer. Upon such repayment all liability of the Trustee or such Paying Agent with respect to such moneys shall thereupon cease, without, however, limiting in any way any obligation that the Issuer may have to pay the principal of or interest or premium, if any, on this Note as the same shall become due.

 

No provision of this Note or of the Senior Indenture shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the amount of cash, or other property, as determined in accordance with the provisions set forth on the face of this Note due with respect to the principal of, premium, if any, and interest on this Note at the time, place, and rate, and in the coin or currency, herein prescribed unless otherwise agreed between the Issuer and the registered Holder of this Note.

 

Prior to due presentment of this Note for registration of transfer, the Issuer, the Trustee and any agent of the Issuer or the Trustee may treat the Holder in whose name this Note is registered as the owner hereof for all purposes, whether or not this Note be overdue, and none of the Issuer, the Trustee or any such agent shall be affected by notice to the contrary.

 

No recourse shall be had for the payment of the principal of, premium, if any, or the interest on this Note, for any claim based hereon, or otherwise in respect hereof, or based on or in respect of the Senior Indenture or any indenture

 

  

67

  

supplemental thereto, against any incorporator, shareholder, officer or director, as such, past, present or future, of the Issuer or of any successor corporation, either directly or through the Issuer 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, all such liability being, by the acceptance hereof and as part of the consideration for the issue hereof, expressly waived and released.

 

This Note shall for all purposes be governed by, and construed in accordance with, the laws of the State of New York.

 

As used herein:

 

	
  

	
(a)

	
the term “Beneficial Owner” shall mean the beneficial owners of this Note (and any interest thereon);

 

	
  

	
(b)

	
the term “competent resolution authority” means any authority with the ability to exercise a Resolution Measure;

 

	
  

	
(c)

	
the term “Notices” refers to notices to the Holders of the Notes at each Holder’s address as that address appears in the register for the Notes by first class mail, postage prepaid, and to be given by publication in an authorized newspaper in the English language and of general circulation in the Borough of Manhattan, The City of New York, and London or, if publication in London is not practical, in an English language newspaper with general circulation in Western Europe; provided that notice may be made, at the option of the Issuer, through the customary notice provisions of the clearing system or systems through which beneficial interests in this Note are owned.  Such Notices will be deemed to have been given on the date of such publication (or other transmission, as applicable), or if published in such newspapers on different dates, on the date of the first such publication.

 

All other terms used in this Note which are defined in the Senior Indenture and not otherwise defined herein shall have the meanings assigned to them in the Senior Indenture.

 

 

  

68

  

ABBREVIATIONS

 

The following abbreviations, when used in the inscription on the face of this instrument, shall be construed as though they were written out in full according to applicable laws or regulations:

 

  

	 	
TEN COM

	–	
as tenants in common

	 	
TEN ENT

	–	
as tenants by the entireties

	 	
JT TEN

	–	
as joint tenants with right of survivorship and not as tenants in common

	 	 	 	 

    

	 	
UNIF GIFT MIN ACT –

	 	
   Custodian

	 
	 	 	
(Minor)

	 	
(Cust)

	 	 	 	 	 

  

	 	
Under Uniform Gifts to Minors Act

	 	 	 
	 	 	
(State)

	 	 
	 	 	 	 	 

  

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

  

	 	 	 

  

  

  

 

69

 

FOR VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s) unto

  

	
  

	 

[PLEASE INSERT SOCIAL SECURITY OR OTHER

IDENTIFYING NUMBER OF ASSIGNEE]

  

	 
	 
	 
	 
	 
	
[PLEASE PRINT OR TYPE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE]

	 

  

  

the within Note and all rights thereunder, hereby irrevocably constituting and appointing such person attorney to transfer such Note on the books of the Issuer, with full power of substitution in the premises.

  

Dated: _______________________

 

  

	
NOTICE:

	
The signature to this assignment must correspond with the name as written upon the face of the within Note in every particular without alteration or enlargement or any change whatsoever.

 

 

70

 

OPTION TO ELECT REPAYMENT

 

The undersigned hereby irrevocably requests and instructs the Issuer to repay the within Note (or portion thereof specified below) pursuant to its terms at a price equal to the principal amount thereof, together with interest to the Optional Repayment Date, to the undersigned at

 

	  
	 
	  
	 
	  
	
(Please print or typewrite name and address of the undersigned)

If less than the entire principal amount of the within Note is to be repaid, specify the portion thereof which the Holder elects to have repaid:  _______________; and specify the denomination or denominations (which shall not be less than the minimum authorized denomination) of the Notes to be issued to the Holder for the portion of the within Note not being repaid (in the absence of any such specification, one such Note will be issued for the portion not being repaid):  _______________.

 

	
Dated:

	  	  	  
	  	  	  	
NOTICE:  The signature on this Option to Elect Repayment must correspond with the name as written upon the face of the within instrument in every particular without alteration or enlargement.

 

 71Exhibit 4.25

 

 

 

FIRST AMENDMENT TO THE WARRANT AGREEMENT

BETWEEN

DEUTSCHE BANK AKTIENGESELLSCHAFT

and

DEUTSCHE BANK TRUST COMPANY AMERICAS, Warrant Agent

_______________________

Dated as of January 1, 2015

AMENDMENT TO WARRANT AGREEMENT

DATED AS OF NOVEMBER 15, 2007

 

 

  

  

 

  

THIS FIRST AMENDMENT TO THE WARRANT AGREEMENT, dated as of January 1, 2015, between DEUTSCHE BANK AKTIENGESELLSCHAFT, a stock corporation with limited liability incorporated in the Federal Republic of Germany, which may act through its London Branch (the “Bank”), and DEUTSCHE BANK TRUST COMPANY AMERICAS, a New York trust company (the “Warrant Agent”).

 

WITNESSETH:

 

WHEREAS, the Bank and the Warrant Agent are parties to that certain Warrant Agreement dated as of November 15, 2007 between the Bank and the Warrant Agent (the “Warrant Agreement”);

 

WHEREAS, Section 6.01(a)(iv) of the Warrant Agreement provides that, without the consent of the Warrantholders of any series of Warrants, the Bank and the Warrant Agent may amend the Warrant Agreement for the purpose of, among other things, making any provisions as the Bank may deem necessary or desirable and which will not materially and adversely affect the interests of the Warrantholders of such series;

 

WHEREAS, there are no Warrants outstanding of any series created prior to the execution of this First Amendment to the Warrant Agreement which are entitled to the benefit of the provisions set forth herein or would be materially and adversely affected by such provisions;

 

WHEREAS, the Bank and the Warrant Agent desire to amend the Warrant Agreement to provide that the Registered Holders (including the Beneficial Owners) of certain Warrants to be issued under the Warrant Agreement on or after the date of this First Amendment to the Warrant Agreement shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority;

 

WHEREAS, Section 6.01(a)(ii) of the Warrant Agreement provides that, without the consent of the Warrantholders of any series of Warrants, the Bank and the Warrant Agent may amend the Warrant Agreement for the purpose of, among other things, establishing the forms or terms of Warrant Certificates or Warrants of any series as permitted by Sections 1.02 and 1.03 of the Warrant Agreement;

 

WHEREAS, the parties hereto desire to establish the forms of Warrants of each series to be issued under the Warrant Agreement on or after the date of this First Amendment to the Warrant Agreement pursuant to Sections 1.02 and 1.03 of the Warrant Agreement;

 

WHEREAS, the entry into this First Amendment to the Warrant Agreement by the parties hereto is in all respects authorized by the provisions of the Warrant Agreement; and

 

 

  

  

  

 

WHEREAS, all things necessary to make this First Amendment to the Warrant Agreement a valid agreement according to its terms have been done;

 

NOW, THEREFORE:

 

In consideration of the premises, the Bank and the Warrant Agent mutually covenant and agree for the equal and proportionate benefit of the respective Warrantholders from time to time of the Warrants as follows:

 

ARTICLE 1

Forms of Warrants

 

Section 1.01 .  Forms of Warrants.  As applied to the Warrants to be issued under the Warrant Agreement on or after the date of this First Amendment to the Warrant Agreement, the forms of Warrants for each series shall be substantially in the forms of Exhibits I and II to this First Amendment to the Warrant Agreement and as may be determined from time to time pursuant to Officers’ Certificates pursuant to Section 1.03 of the Warrant Agreement.

 

ARTICLE 2

Additional Terms Applicable to the Warrants

 

Section 2.01 . Certain Terms Defined.  With respect to the Warrants to be issued under the Warrant Agreement on or after the date of this First Amendment to the Warrant Agreement, the Warrant Agreement is amended to include the following definitions:

 

“Beneficial Owner” shall mean (i) if any Warrants are in global form, the beneficial owners of such Warrants and (ii) if any Warrants are in definitive form, the holders in whose name such Warrants are registered in the Warrant register of the Bank and any beneficial owners holding an interest in such Warrants in definitive form.

 

“competent resolution authority” means any authority with the ability to exercise a Resolution Measure.

 

“Resolution Measure” has the meaning set forth in Section 2.02 of this First Amendment to the Warrant Agreement.

 

Section 2.02 .  Warrants Subject to Resolution Measures. The following provisions apply to the Warrants to be issued under the Warrant Agreement on or after the date of this First Amendment to the Warrant Agreement, unless the face of any such Warrant has specified that “Resolution Measures” are “not applicable”:

 

By acquiring the Warrants, the Registered Holders (including the Beneficial Owners) shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

 

  

2

  

 

 

	
  

	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Bank from time to time, the Warrants may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of any amount (or delivery of any property, if applicable) in respect of the Warrants;

 

	
  

	
(ii)

	
convert the Warrants into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of the Warrants to another entity, (B) the amendment of the terms and conditions of the Warrants or (C) the cancellation of the Warrants;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment or non-delivery by the Bank arising out of any such Resolution Measure will not constitute a failure by the Bank under the terms of the Warrants or the Warrant Agreement to make a payment or delivery owing under the Warrants.

 

	
  

	
(b)

	
By its acquisition of the Warrants, each Registered Holder (including each Beneficial Owner) shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Bank arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default under the Warrant Agreement.

 

	
  

	
(c)

	
The terms and conditions of the Warrants shall continue to apply in relation to the residual notional amount of, or the amount due but unpaid in respect of, the Warrants, subject to any modification of the amount payable, if any, to reflect the reduction of the notional amount  or amount due but unpaid in respect of the Warrants, and any further modification of the terms that the competent resolution authority may decide in accordance with applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

 

  

3

  

 

 

	
  

	
(d)

	
No payment of any amount (or delivery of any property, if applicable) thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such payment or delivery would be permitted to be made by the Bank under the laws and regulations of the Federal Republic of Germany then applicable to the Bank.

 

	
  

	
(e)

	
By its acquisition of the Warrants, each Registered Holder (including each Beneficial Owner) waives, to the fullest extent permitted by applicable law, any and all claims against the Warrant Agent for, agrees not to initiate a suit against the Warrant Agent in respect of, and agrees that the Warrant Agent shall not be liable for, any action that the Warrant Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants, the Bank shall provide a written notice directly to the Warrantholders in accordance with Section 6.04 of the Warrant Agreement as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying the Warrantholders of such occurrence.  The Bank shall also deliver a copy of such notice to the Warrant Agent for information purposes, and the Warrant Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Bank to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on the Warrants.

 

	
  

	
(g)

	
If the Warrantholders have elected to exercise the Warrants, but the competent resolution authority has imposed a Resolution Measure with respect to the Warrants prior to the payment or delivery of the cash settlement amount or Warrant Property for the Warrants, the exercise notice shall be automatically rescinded and shall be of no force and effect, and no payment or delivery of the cash settlement amount or Warranty Property for the Warrants will be due and payable or deliverable.

 

	
  

	
(h)

	
The Warrant Agreement shall impose no duties, obligations or liabilities upon the Warrant Agent whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Warrant Agent shall be fully protected in acting or

 

  

4

  

 refraining from acting in accordance with a Resolution Measure.  Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, the Warrants remain outstanding, then the Warrant Agent’s duties under the Warrant Agreement shall remain applicable with respect to the Warrants following such completion to the extent that the Bank and the Warrant Agent agree pursuant to an amendment to the Warrant Agreement, unless the Bank and the Warrant Agent agree that an amendment to the Warrant Agreement is not necessary.

 

	
  

	
(i)

	
By the acquisition of the Warrants, each Registered Holder (including each Beneficial Owner) shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to the Warrants and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds such Warrants to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to the Warrants as it may be imposed, without any further action or direction on the part of such Warrantholders of the Warrants or the Warrant Agent.

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding notional amount of the Warrants, unless the Warrant Agent is otherwise instructed by the Bank or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Warrants pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Warrants of any series.

 

	
  

	
(k)

	
The Bank’s obligations to indemnify the Warrant Agent in accordance with Section 5.02 of the Warrant Agreement shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants.

 

Section 2.03.   Amendment to the Warrant Agreement. (a) In addition to Section 6.01 of the Warrant Agreement, the Bank and the Warrant Agent may amend, modify or supplement the Warrant Agreement without the consent of any Warrantholder to give effect to any variation to the terms of the Warrants as a result of the imposition of any Resolution Measure.

 

 (b) In addition, for purposes of Section 6.01(a) of the Warrant Agreement, any amendment made solely to conform the provisions of this First Amendment to the Warrant Agreement to the description of the Warrants contained in the Bank’s prospectus addendum dated December 24, 2014 will not be deemed to materially or adversely affect the interests of the Warrantholders of the Warrants.

 

      

  

5

  

 

ARTICLE 3

Miscellaneous Provisions

 

Section 3.01.  Further Assurances.  The Bank will, upon request by the Warrant Agent, execute and deliver such further instruments and do such further acts as may reasonably be necessary or proper to carry out more effectively the purposes of this First Amendment to the Warrant Agreement.

 

Section 3.02. Other Terms of Warrant Agreement. Except insofar as herein otherwise expressly provided, all provisions, terms and conditions of the Warrant Agreement are in all respects ratified and confirmed and shall remain in full force and effect.

 

Section 3.03. Terms Defined. All terms defined elsewhere in the Warrant Agreement shall have the same meanings when used herein.

 

Section 3.04.  Governing Law. This First Amendment to the Warrant Agreement shall be deemed to be a contract under the laws of the State of New York, and for all purposes shall be construed in accordance with the laws of said State, excluding choice of law provisions.

 

Section 3.05. Counterparts. This First Amendment to the Warrant Agreement may be executed in any number of counterparts, each of which so executed shall be deemed to be an original; but such counterparts shall together constitute but one and the same instrument.

 

Section 3.06. Responsibility of the Warrant Agent. The recitals contained herein shall be taken as the statements of the Bank, and the Warrant Agent assumes no responsibility for the correctness of the same. The Warrant Agent makes no representations as to the validity or sufficiency of this First Amendment to the Warrant Agreement or the Warrants.

 

     

  

6

  

 

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to the Warrant Agreement to duly executed, all as of January 1, 2015.

 

 

	
DEUTSCHE BANK AKTIENGESELLSCHAFT

	 
	 
	
By:

	

/s/ Joseph Rice

	 	
Name:

	
Joseph Rice

	 	
Title:

	
Managing Director

	 	 	 
	 	 	 

	
By:

	

/s/ Anjali Thadani

	 	
Name:

	
Anjali Thadani

	 	
Title:

	
Director

	 	 	 
	 	 	 

	

DEUTSCHE BANK TRUST

COMPANY AMERICAS,

WARRANT AGENT

	 
	 
	
By:

	

/s/ Chris Niesz

	 	
Name:

	
Chris Niesz

	 	
Title:

	
Assistant Vice President

	 	 	 
	 	 	 

	
By:

	

/s/ Jeffery Schoenfeld

	 	
Name:

	
Jeffery Schoenfeld

	 	
Title:

	
Assistant Vice President

 

  

7

  

 

Exhibit I

 

 

  

 

  

[FORM OF FACE OF REGISTERED PUT WARRANT CERTIFICATE]

 

 

	No. _____ 	CUSIP No. __________

 

[Unless and until it is exchanged in whole for Warrants in definitive registered form, this Warrant Certificate and the Warrants evidenced hereby may not be transferred except as a whole by the Depositary to the nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary.

 

Unless this Warrant Certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Bank or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.]1

 

 DEUTSCHE BANK AKTIENGESELLSCHAFT

[Designation of Warrants]

NUMBER OF WARRANTS EVIDENCED BY THIS CERTIFICATE: [UP TO ____]1

 

CASH SETTLEMENT VALUE PER WARRANT (OR METHOD OF DETERMINING SAME):

 

[WARRANT PROPERTY:]2

 

[AMOUNT OF WARRANT PROPERTY

	
  

	
SALABLE PER WARRANT:]2

 

[PUT PRICE FOR SUCH SPECIFIED AMOUNT OF WARRANT PROPERTY PER WARRANT:]2

 

[METHOD OF DELIVERY OF ANY WARRANT PROPERTY TO BE DELIVERED FOR SALE UPON EXERCISE OF WARRANTS:]2

 

RESOLUTION MEASURES PROVISIONS: [APPLICABLE]

 

 

1 Applies to global warrant certificates.

 

2 Only if the terms of the Warrants contemplate that the holder may deliver Warrant Property to exercise the Warrants.

 

 

  

9

  

DATES OF EXERCISE:

 

OTHER TERMS:

 

This Warrant Certificate certifies that __________, or registered assigns, is the Registered Holder of the number of [Designation of Warrants] (the “Warrants”) [specified above]3 [specified on Schedule A hereto]4.  Upon receipt by the Warrant Agent of this Warrant Certificate, the exercise notice on the reverse hereof (or an exercise notice in substantially identical form delivered herewith)(the “Exercise Notice”), duly completed and executed, and the Amount of Warrant Property saleable per Warrant set forth above, adjusted, if applicable, as set forth above, for each Warrant to be exercised, delivered as set forth above at the Warrant Agent’s Window in Nashville, Tennessee, each Warrant evidenced hereby entitles the Registered Holder hereof to receive, subject to the terms and conditions set forth herein and in the Warrant Agreement (as defined below), from Deutsche Bank Aktiengesellschaft (the “Bank”) the [Cash Settlement Value] [Put Price]5 per Warrant specified above.

 

Unless otherwise indicated above, a Warrant will not require or entitle a Warrantholder to sell or deliver to the Bank, nor will the Bank be under any obligation to, nor will it, purchase or take delivery from any Warrantholder of, any Warrant Property, and upon exercise of a Warrant, the Bank will make only a cash payment in the amount of the Cash Settlement Value or Put Price per Warrant.  Warrantholders will not receive any interest on any Cash Settlement Value.

 

Reference is hereby made to the further provisions of this Warrant Certificate set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as though fully set forth in this place.

 

This Warrant Certificate shall not be valid unless countersigned by the Warrant Agent.

 

3 Applies to definitive warrant certificates.

4 Applies to global warrant certificates.

5 Only if the terms of the Warrants contemplate that the holder may deliver Warrant Property to exercise the Warrants.

 

 

  

10

  

IN WITNESS WHEREOF, Deutsche Bank Aktiengesellschaft has caused this Warrant Certificate to be duly executed.

 

Dated:______________________

 

	
DEUTSCHE BANK AKTIENGESELLSCHAFT

	 
	 
	
By:

	 
	 	
Name:

	 
	 	
Title:

	 

 

Attest:

By:_________________________

                      Secretary

 

Countersigned as of the date above written:

 

DEUTSCHE BANK TRUST COMPANY

	
  

	
AMERICAS, as Warrant Agent

 

By:_________________________

           Authorized Officer

 

  

11

  

[FORM OF REVERSE OF REGISTERED PUT WARRANT CERTIFICATE]

DEUTSCHE BANK AKTIENGESELLSCHAFT

 

 

The Warrants evidenced by this Warrant Certificate are part of a duly authorized issue of Warrants issued by the Bank pursuant to a warrant agreement, dated as of November 15, 2007 (as may be amended or supplemented from time to time, the “Warrant Agreement”), between the Bank and Deutsche Bank Trust Company Americas (the “Warrant Agent”) and are subject to the terms and provisions contained in the Warrant Agreement, to all of which terms and provisions each Warrantholder consents by acceptance of this Warrant Certificate or a beneficial interest therein and which Warrant Agreement is hereby incorporated by reference in and made a part of this Warrant Certificate.  Without limiting the foregoing, all capitalized terms used herein and not otherwise defined shall have the meanings set forth in the Warrant Agreement.  A copy of the Warrant Agreement is on file at the Warrant Agent’s Office.  The Warrants constitute a separate series of Warrants under the Warrant Agreement.

 

The Warrants are unsecured contractual obligations of the Bank and rank pari passu with the Bank’s other unsecured contractual obligations and with the Bank’s unsecured and unsubordinated debt, except for obligations required to be preferred by law.

 

Subject to the provisions hereof and the Warrant Agreement, each Warrant may be exercised during the dates of exercise set forth on the face hereof by delivering or causing to be delivered this Warrant Certificate, the Exercise Notice, duly completed and executed, and the Exercise Property for each such Warrant to the Warrant Agent’s Window, in Nashville, Tennessee, which is, on the date hereof:

 

	
By Mail

	
DB Services Tennessee, Inc.

Reorganization Unit

P.O. Box 292737

Nashville, TN 37229-2737

 

	
By Overnight Mail or Courier

	
DB Services Tennessee, Inc.

Trust and Securities Services

Reorganization Unit

648 Grassmere Park Road

Nashville, TN 37211

                                                    

or at such other address as the Warrant Agent may specify from time to time.

 

Each Warrant entitles the Warrantholder to receive, upon exercise, the [Cash Settlement Value] [Put Price]6 per Warrant set forth on the face hereof.

 

 

6 Only if the terms of the Warrants contemplate that the holder may deliver Warrant Property to exercise the Warrants.

 

 

  

12

  

Unless the face hereof indicates that the Warrants are not subject to the “Resolution Measures Provisions,” the terms and conditions set forth in the following paragraphs (a) – (k) shall apply to the Warrants, and by acquiring the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

	
  

	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Bank from time to time, the Warrants evidenced by this Warrant Certificate may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of any amount (or delivery of any property, if applicable) in respect of the Warrants;

 

	
  

	
(ii)

	
convert the Warrants into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of the Warrants to another entity, (B) the amendment of the terms and conditions of the Warrants or (C) the cancellation of the Warrants;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment or non-delivery by the Bank arising out of any such Resolution Measure will not constitute a failure by the Bank under the terms of this Warrant Certificate or the Warrant Agreement to make a payment or delivery owing under the Warrants.

 

	
  

	
(b)

	
By its acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Bank arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default under the Warrant Agreement.

 

	
  

	
(c)

	
The terms and conditions of this Warrant Certificate shall continue to apply in relation to the residual notional amount of, or the amount due but unpaid in respect of, the Warrants, subject to any modification of the amount payable, if any, to reflect the reduction of the notional amount  or amount due but unpaid in respect of the Warrants, and any further modification of the terms that the competent resolution authority may decide in accordance with

 

 

  

13

  

applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

	
  

	
(d)

	
No payment of any amount (or delivery of any property, if applicable) thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such payment or delivery would be permitted to be made by the Bank under the laws and regulations of the Federal Republic of Germany then applicable to the Bank.

 

	
  

	
(e)

	
By its acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants waives, to the fullest extent permitted by applicable law, any and all claims against the Warrant Agent for, agrees not to initiate a suit against the Warrant Agent in respect of, and agrees that the Warrant Agent shall not be liable for, any action that the Warrant Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants evidenced by this Warrant Certificate, the Bank shall provide a written notice directly to the Warrantholders in accordance with Section 6.04 of the Warrant Agreement as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying the Warrantholders of such occurrence.  The Bank shall also deliver a copy of such notice to the Warrant Agent for information purposes, and the Warrant Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Bank to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on the Warrants.

 

	
  

	
(g)

	
If the Warrantholders have elected to exercise the Warrants, but the competent resolution authority has imposed a Resolution Measure with respect to the Warrants represented by this Warrant Certificate prior to the payment or delivery of the cash settlement amount or Warrant Property for the Warrants, the exercise notice shall be automatically rescinded and shall be of no force and effect, and no payment or delivery of the cash settlement amount or Warrant Property for the Warrants will be due and payable or deliverable.

 

	
  

	
(h)

	
The Warrant Agreement shall impose no duties, obligations or liabilities upon the Warrant Agent whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Warrant Agent shall be fully protected in acting or

 

 

  

14

  

refraining from acting in accordance with a Resolution Measure.  Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, the Warrants evidenced by this Warrant Certificate remain outstanding, then the Warrant Agent’s duties under the Warrant Agreement shall remain applicable with respect to the Warrants following such completion to the extent that the Bank and the Warrant Agent agree pursuant to an amendment to the Warrant Agreement, unless the Bank and the Warrant Agent agree that an amendment to the Warrant Agreement is not necessary.

 

	
  

	
(i)

	
By the acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to the Warrants and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds the Warrants to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to the Warrants as it may be imposed, without any further action or direction on the part of such Warrantholders of the Warrants or the Warrant Agent.

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding notional amount of the Warrants, unless the Warrant Agent is otherwise instructed by the Bank or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Warrants pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Warrants of any series.

 

	
  

	
(k)

	
The Bank’s obligations to indemnify the Warrant Agent in accordance with Section 5.02 of the Warrant Agreement shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants evidenced by this Warrant Certificate.

 

The Warrant Agreement and the terms of the Warrants are subject to amendment as provided in the Warrant Agreement.

 

This Warrant Certificate shall be governed by, and interpreted in accordance with the laws of the State of New York, excluding choice of law provisions.

 

 

  

15

  

[Designation of Warrants]

Exercise Notice

 

[By Mail]

[DB Services Tennessee, Inc.

Reorganization Unit

P.O. Box 292737

Nashville, TN 37229-2737]

[By Overnight Mail or Courier]

[DB Services Tennessee, Inc.

Trust and Securities Services

Reorganization Unit

648 Grassmere Park Road

Nashville, TN 37211]

Attention:  Reorganization Unit

 

The undersigned (the “Registered Holder”) hereby irrevocably exercises __________ Warrants (the “Exercised Warrants”) and delivers to you herewith a Warrant Certificate or Certificates, registered in the Registered Holder’s name, representing a number of Warrants at least equal to the number of Exercised Warrants[, and the Warrant Property with respect thereto].7

 

The Registered Holder hereby directs the Warrant Agent (a) to deliver the [Cash Settlement Value][Put Price]7 per Warrant as follows:

 

 

 

and (b) if the number of Exercised Warrants is less than the number of Warrants represented by the enclosed Warrant Certificate, to deliver a Warrant Certificate representing the unexercised Warrants to:

 

 

7 Only if terms of the Warrants contemplate that the holder may deliver Warrant Property to exercise the Warrants.

 

  

16

  

 

	  	  	  	  
	
Dated:

	  	  	  
	  	  	  	
(Registered Holder)

	 	
By:

	  
	 	  	
Authorized Signature

	 	  	
Address:

	 	  	
Telephone:

 

  

17

  

[If Warrant is a Global Warrant, insert this Schedule A.]

 

SCHEDULE A

 

[Designation of Warrants]

 

GLOBAL

WARRANT

SCHEDULE OF EXCHANGES

The initial number of Warrants represented by this Global Warrant is __________. In accordance with the Warrant Agreement and the Unit Agreement dated as of [        ] among the Bank, [                     ] as Unit Agent, Deutsche Bank Trust Company Americas as Warrant Agent, [                     ] as Collateral Agent, and Law Debenture Trust Company of New York as Trustee under the Indenture referred to therein and the Holders from time to time of the Units described therein, the following (A) exchanges of [the number of Warrants indicated below for a like number of Warrants to be represented by a Global Warrant that has been separated from a Unit (a “Separated Warrant”)]8 [the number of Warrants that had been represented by a Global Warrant that is part of a Unit (an “Attached Unit Warrant”) for a like number of Warrants represented by this Global Warrant]9 or (B) reductions as a result of the exercise of the number of Warrants indicated below have been made:

 

	Date of Exchange or Exercise	 	

[Number Exchanged for Separated  Warrants]8

	 	

[Reduced Number Outstanding Following Such Exchange]8

	 	

[Number of Attached Unit Warrants Exchanged  for Warrants represented by this Separated Warrant]9

	 	

[Increased Number  Outstanding Following  Such  Exchange]9

	 	

Number of Warrants  Exercised

	 	

Reduced Number  Outstanding Following Such Exercise

	 	

Notation Made by or on Behalf of Warrant Agent

	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	  	 	  	 	  	 	  	 	  	 	  	 	  

 

8 Applies only if this Global Warrant is part of a Unit.

9 Applies only if this Global Warrant has been separated from a Unit.

 

 

  

18

  

 

Exhibit II

 

 

 

  

 

  

[FORM OF FACE OF REGISTERED CALL WARRANT CERTIFICATE]

 

 

	
No. _____ 

	
CUSIP No. __________

 

 

[Unless and until it is exchanged in whole for Warrants in definitive registered form, this Warrant Certificate and the Warrants evidenced hereby may not be transferred except as a whole by the Depositary to the nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary.

 

Unless this Warrant Certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Bank or its agent for registration of transfer, exchange, or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.]1

 

DEUTSCHE BANK AKTIENGESELLSCHAFT

[Designation of Warrants]

NUMBER OF WARRANTS EVIDENCED BY THIS CERTIFICATE: [UP TO _____]1

[CASH SETTLEMENT VALUE PER WARRANT (OR METHOD OF DETERMINING SAME):]

WARRANT PROPERTY:

 

AMOUNT OF WARRANT PROPERTY

	
  

	
PURCHASABLE PER WARRANT:

 

CALL PRICE PER WARRANT:

 

 

1 Applies to global warrant certificates.

 

 

  

20

  

 

 

RESOLUTION MEASURES PROVISIONS: [APPLICABLE]

 

FORM OF PAYMENT OF

	
  

	
CALL PRICE:

 

FORM OF SETTLEMENT:

 

DATES OF EXERCISE:

 

OTHER TERMS:

 

This Warrant Certificate certifies that __________, or registered assigns, is the Registered Holder of the number of [Designation of Warrants] (the “Warrants”) [specified above]2 [specified on Schedule A hereto]3.  Upon receipt by the Warrant Agent of this Warrant Certificate, the exercise notice on the reverse hereof (or an exercise notice in substantially identical form delivered herewith) (the “Exercise Notice”), duly completed and executed, and the Call Price per Warrant set forth above, in the form set forth above, for each Warrant to be exercised  (the “Exercise Property”) at the Warrant Agent’s Window in Nashville, Tennessee, each Warrant evidenced hereby entitles the Registered Holder hereof to receive, subject to the terms and conditions set forth herein and in the Warrant Agreement (as defined below), from Deutsche Bank Aktiengesellschaft (the “Bank”) the amount and form of property (the “Warrant Property”) specified above.  Warrants will not entitle the Warrantholder to any of the rights of the holders of any of the Warrant Property.

 

Reference is hereby made to the further provisions of this Warrant Certificate set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as though fully set forth in this place.

 

This Warrant Certificate shall not be valid unless countersigned by the Warrant Agent.

 

 

 

2 Applies to definitive warrant certificates.

3 Applies to global warrant certificates.

 

 

  

21

  

IN WITNESS WHEREOF, Deutsche Bank Aktiengesellschaft has caused this Warrant Certificate to be duly executed.

 

Dated:______________________

	
DEUTSCHE BANK AKTIENGESELLSCHAFT

	 
	
By:

	  
	 	
Name:

	 	
Title:

	  

Attest:

By:_________________________

                      Secretary

 

Countersigned as of the date above written:

 

DEUTSCHE BANK TRUST COMPANY

	
  

	
AMERICAS, as Warrant Agent

 

By:_________________________

           Authorized Officer

 

  

22

  

[FORM OF REVERSE OF REGISTERED CALL WARRANT CERTIFICATE]

DEUTSCHE BANK AKTIENGESELLSCHAFT

The Warrants evidenced by this Warrant Certificate are part of a duly authorized issue of Warrants issued by the Bank pursuant to a warrant agreement, dated as of November 15, 2007 (as may be amended or supplemented from time to time, the “Warrant Agreement”), between the Bank and Deutsche Bank Trust Company Americas (the “Warrant Agent”) and are subject to the terms and provisions contained in the Warrant Agreement, to all of which terms and provisions each Warrantholder consents by acceptance of this Warrant Certificate or a beneficial interest therein and which Warrant Agreement is hereby incorporated by reference in and made a part of this Warrant Certificate.  Without limiting the foregoing, all capitalized terms used herein and not otherwise defined shall have the meanings set forth in the Warrant Agreement.  A copy of the Warrant Agreement is on file at the Warrant Agent’s Office.  The Warrants constitute a separate series of Warrants under the Warrant Agreement.

 

The Warrants are unsecured contractual obligations of the Bank and rank pari passu with the Bank’s other unsecured contractual obligations and with the Bank’s unsecured and unsubordinated debt, except for obligations required to be preferred by law.

 

Subject to the provisions hereof and the Warrant Agreement, each Warrant may be exercised during the dates of exercise set forth on the face hereof by delivering or causing to be delivered this Warrant Certificate, the Exercise Notice, duly completed and executed, and the Exercise Property for each such Warrant to the Warrant Agent’s Window, in Nashville, Tennessee, which is, on the date hereof:

 

  

	
By Mail

	
DB Services Tennessee, Inc.

Reorganization Unit

P.O. Box 292737

Nashville, TN 37229-2737

 

	
By Overnight Mail or Courier

	
DB Services Tennessee, Inc.

Trust and Securities Services

Reorganization Unit

648 Grassmere Park Road

Nashville, TN 37211

 

or at such other address as the Warrant Agent may specify from time to time.

 

Each Warrant entitles the Warrantholder to receive, upon exercise, the Warrant Property set forth on the face hereof.

 

 

  

23

  

 

 

Unless the face hereof indicates that the Warrants are not subject to the “Resolution Measures Provisions,” the terms and conditions set forth in the following paragraphs (a) – (k) shall apply to the Warrants, and by acquiring the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be bound by and shall be deemed to consent to the imposition of any Resolution Measure by the competent resolution authority.

 

	 	
(a)

	
Under the relevant resolution laws and regulations as applicable to the Bank from time to time, the Warrants evidenced by this Warrant Certificate may be subject to the powers exercised by the competent resolution authority to:

 

	
  

	
(i)

	
write down, including write down to zero, the claims for payment of any amount (or delivery of any property, if applicable) in respect of the Warrants;

 

	
  

	
(ii)

	
convert the Warrants into ordinary shares or other instruments qualifying as core equity tier one capital; and/or

 

	
  

	
(iii)

	
apply any other resolution measure, including, but not limited to, (A) any transfer of the Warrants to another entity, (B) the amendment of the terms and conditions of the Warrants or (C) the cancellation of the Warrants;

 

	
  

	
(each, a “Resolution Measure”).

 

For the avoidance of doubt, any non-payment or non-delivery by the Bank arising out of any such Resolution Measure will not constitute a failure by the Bank under the terms of this Warrant Certificate or the Warrant Agreement to make a payment or delivery owing under the Warrants.

 

	 	
(b)

	
By its acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be deemed irrevocably to have agreed:

 

	
  

	
(i)

	
to be bound by any Resolution Measure;

 

	
  

	
(ii)

	
that it will have no claim or other right against the Bank arising out of any Resolution Measure; and

 

	
  

	
(iii)

	
that the imposition of any Resolution Measure will not constitute a default under the Warrant Agreement.

 

 

  

24

  

 

 

	
  

	
(c)

	
The terms and conditions of this Warrant Certificate shall continue to apply in relation to the residual notional amount of, or the amount due but unpaid in respect of, the Warrants, subject to any modification of the amount payable, if any, to reflect the reduction of the notional amount  or amount due but unpaid in respect of the Warrants, and any further modification of the terms that the competent resolution authority may decide in accordance with applicable laws and regulations relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated in the Federal Republic of Germany.

 

	
  

	
(d)

	
No payment of any amount (or delivery of any property, if applicable) thereon (to the extent of the portion thereof affected by the imposition of a Resolution Measure) shall become due and payable after the imposition of any Resolution Measure by the competent resolution authority, unless such payment or delivery would be permitted to be made by the Bank under the laws and regulations of the Federal Republic of Germany then applicable to the Bank.

 

	
  

	
(e)

	
By its acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants waives, to the fullest extent permitted by applicable law, any and all claims against the Warrant Agent for, agrees not to initiate a suit against the Warrant Agent in respect of, and agrees that the Warrant Agent shall not be liable for, any action that the Warrant Agent takes, or abstains from taking, in either case in accordance with the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants.

 

	
  

	
(f)

	
Upon the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants evidenced by this Warrant Certificate, the Bank shall provide a written notice directly to the Warrantholders in accordance with Section 6.04 of the Warrant Agreement as soon as practicable regarding such imposition of a Resolution Measure by a competent resolution authority for purposes of notifying the Warrantholders of such occurrence.  The Bank shall also deliver a copy of such notice to the Warrant Agent for information purposes, and the Warrant Agent shall be entitled to rely, and will not be liable for relying, on the competent resolution authority and the Resolution Measure identified in such notice.  Any delay or failure by the Bank to give notice shall not affect the validity or enforceability of any Resolution Measure nor the effects thereof on the Warrants.

 

 

  

25

  

 

 

 

	
  

	
(g)

	
If the Warrantholders have elected to exercise the Warrants, but the competent resolution authority has imposed a Resolution Measure with respect to the Warrants represented by this Warrant Certificate prior to the payment or delivery of the cash settlement amount or Warrant Property for the Warrants, the exercise notice shall be automatically rescinded and shall be of no force and effect, and no payment or delivery of the cash settlement amount or Warrant Property for the Warrants will be due and payable or deliverable.

 

	
  

	
(h)

	
The Warrant Agreement shall impose no duties, obligations or liabilities upon the Warrant Agent whatsoever with respect to the imposition of any Resolution Measure by the competent resolution authority. The Warrant Agent shall be fully protected in acting or refraining from acting in accordance with a Resolution Measure. Notwithstanding the foregoing, if, following completion of the imposition of a Resolution Measure by the competent resolution authority, the Warrants evidenced by this Warrant Certificate remain outstanding, then the Warrant Agent’s duties under the Warrant Agreement shall remain applicable with respect to the Warrants following such completion to the extent that the Bank and the Warrant Agent agree pursuant to an amendment to the Warrant Agreement, unless the Bank and the Warrant Agent agree that an amendment to the Warrant Agreement is not necessary.

 

	
  

	
(i)

	
By the acquisition of the Warrants evidenced by this Warrant Certificate, the Registered Holder and each Beneficial Owner of the Warrants shall be deemed irrevocably to have (i) consented to the imposition of any Resolution Measure as it may be imposed without any prior notice by the competent resolution authority of its decision to exercise such power with respect to the Warrants and (ii) authorized, directed and requested the Depositary and any direct participant in the Depositary or other intermediary through which it holds the Warrants to take any and all necessary action, if required, to implement the imposition of any Resolution Measure with respect to the Warrants as it may be imposed, without any further action or direction on the part of such Warrantholders of the Warrants or the Warrant Agent.

 

	
  

	
(j)

	
If the competent resolution authority imposes a Resolution Measure with respect to less than the total outstanding notional amount of the Warrants, unless the Warrant Agent is otherwise instructed by the Bank or the competent resolution authority, any cancellation, write-off or conversion into equity made in respect of the Warrants pursuant to the Resolution Measure will be made on a substantially pro rata basis among the Warrants of any series.

 

 

  

26

  

 

	
  

	
(k)

	
The Bank’s obligations to indemnify the Warrant Agent in accordance with Section 5.02 of the Warrant Agreement shall survive the imposition of a Resolution Measure by the competent resolution authority with respect to the Warrants evidenced by this Warrant Certificate.

 

The Warrant Agreement and the terms of the Warrants are subject to amendment as provided in the Warrant Agreement.

 

This Warrant Certificate shall be governed by, and interpreted in accordance with the laws of the State of New York, excluding choice of law provisions.

 

 

  

27

  

[Designation of Warrants]

 

Exercise Notice

[By Mail]

[DB Services Tennessee, Inc.

Reorganization Unit

P.O. Box 292737

Nashville, TN 37229-2737]

[By Overnight Mail or Courier]

[DB Services Tennessee, Inc.

Trust and Securities Services

Reorganization Unit

648 Grassmere Park Road

Nashville, TN 37211]

 

Attention:  Reorganization Unit

 

The undersigned (the “Registered Holder”) hereby irrevocably exercises __________ Warrants (the “Exercised Warrants”) and delivers to you herewith a Warrant Certificate or Certificates, registered in the Registered Holder’s name, representing a number of Warrants at least equal to the number of Exercised Warrants, and the Exercise Property with respect thereto.

 

The Registered Holder hereby directs the Warrant Agent (a) to deliver the Warrant Property as follows:

 

 

 

and (b) if the number of Exercised Warrants is less than the number of Warrants represented by the enclosed Warrant Certificate, to deliver a Warrant Certificate representing the unexercised Warrants to:

 

	  	  	  	  
	
Dated:

	  	  	  
	  	  	  	
(Registered Holder)

	
By:

	  
	  	
Authorized Signature

	  	
Address:

	  	
Telephone:

 

  

28

  

[If Warrant is a Global Warrant, insert this Schedule A.]

 

SCHEDULE A

 

[Designation of Warrants]

 

GLOBAL

WARRANT

SCHEDULE OF EXCHANGES

The initial number of Warrants represented by this Global Warrant is __________. In accordance with the Warrant Agreement and the Unit Agreement dated as of [              ] among the Bank, [                     ] as Unit Agent, Deutsche Bank Trust Company Americas as Warrant Agent, [                     ] as Collateral Agent, and Law Debenture Trust Company of New York as Trustee under the Indenture referred to therein and the Holders from time to time of the Units described therein, the following (A) exchanges of [the number of Warrants indicated below for a like number of Warrants to be represented by a Global Warrant that has been separated from a Unit (a “Separated Warrant”)]4 [the number of Warrants that had been represented by a Global Warrant that is part of a Unit (an “Attached Unit Warrant”) for a like number of Warrants represented by this Global Warrant]5 or (B) reductions as a result of the exercise of the number of Warrants indicated below have been made:

 

	Date of Exchange or Exercise	 	

[Number Exchanged for Separated Warrants]4

	 	

[Reduced Number Outstanding Following Such Exchange]4

	 	

[Number of Attached Unit Warrants Exchanged for Warrants represented by this Separated Warrant]5

	 	

[Increased Number Outstanding Following Such Exchange]5

	 	

Number of Warrants Exercised

	 	

Reduced Number Outstanding Following Such Exercise

	 	

Notation Made by or on Behalf of Warrant Agent

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

4 Applies only if this Global Warrant is part of a Unit.

5 Applies only if this Global Warrant has been separated from a Unit.

 

 

 

 I-1

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