Document:

Contractor Services Agreement

 Exhibit 10.1 

 

 

 CONTRACTOR SERVICES AGREEMENT 
 This is a Contractor Services Agreement (“Agreement”) by and between Lighting Science Group Corporation, a Delaware corporation (“LSG”) and the Contractor identified in
Section 1 below (the “Contractor”). 
 WHEREAS, LSG designs, develops, manufactures and sells light emitting diode
(“LED”) lighting devices and desires to engage Contractor to perform certain services related to LEDs; and 
 WHEREAS,
Contractor desires to be so engaged to render services to LSG; 
 NOW THEREFORE, in consideration of the mutual promises and conditions
contained herein, LSG and Contractor agree as follows: 
 1. Basic Terms 

 

			
	Contractor	  	Charles Darnell LLC
	Contractor Address	  	607 Pinetree Drive, Decatur, GA 30030
	Effective Date	  	November 22, 2010
	Initial Term	  	Until November 22, 2011
	Services	  	To provide leadership and expertise relative to Information Services and Business Process Improvement
	Deliverables	  	Various, as requested by LSG
	Payment(s)	  	$160,000 Annually—$13,333.34 paid on the 30th of each month
	Expenses	  	Reimbursed by LSG according to Section 5
	LSG Project Manager	  	Zach Gibler

 2. Term. This Agreement shall begin on
the “Effective Date” specified in Section 1 (the “Effective Date”) and shall continue for the “Initial Term” specified in Section 1 (the “Initial Term”). 

3. Services. Contractor shall provide the Services specified in Section 1 above (the “Services”) in a timely, professional
and workmanlike manner and according to any statements of work referencing this Agreement (each, a “SOW”). Contractor shall provide LSG with the Deliverables specified in Section 1 above (the “Deliverables”) on
or before the dates specified by LSG or specified in a SOW. 
 4. Payment. LSG shall make the Payment(s) specified in Section 1
above (the “Payment(s)”) to Contractor within thirty days of LSG’s receipt of Independent Contractor’s invoice for the Services properly accompanied by a monthly record of time worked and Services provided, unless
otherwise specified in Section 1 above. 
 5. Expenses. In connection with the rendering of the Services pursuant to this Agreement,
LSG shall reimburse Contractor for reasonable actual expenses incurred as follows: 
  

	 	(a)	Expenses less than or equal to USD$500.00 require no special approval by LSG; expenses greater than USD$500.00 must be pre-approved by LSG in writing; and, expenses
involving sub-contractors must be pre-approved by LSG in writing. Expenses for regular communications (telephone, fax, e-mail, courier and the like), office supplies, and ordinary consumables used to provide the Services shall not be reimbursable.

  
 Page 1 of 7

  

	 	(b)	LSG shall reimburse Contractor for reasonable actual travel and lodging expenses actually incurred exclusively for the purposes of fulfilling Contractor’s
obligations under this Agreement when the expense is pre-approved by LSG in writing. Air travel shall be coach class for domestic and international travel. 

 

	 	(c)	Reimbursement hereunder shall be contingent upon approval as specified above and presentation by Contractor and verification by LSG of appropriate documentation
thereof. Contractor shall maintain invoices, receipts and supporting documentation for all reimbursable expenses and shall provide them to LSG upon request. No premium or other such charges added to actual expenses shall be reimbursable.

 6. Ownership of Deliverables 
  

	 	(a)	All tangible and intangible “Deliverables” specified in Section 1 (“Deliverables”) made, invented, created, originated, conceived,
developed, or reduced to practice by Contractor (whether alone or with others, whether or not during normal business hours, and whether or not on the premises of one of the parties), including its employees and sub-contractors, in connection with
performing the Services under this Agreement, shall be owned by LSG, and Contractor shall not retain any ownership or property interest in and to such Deliverables or the Intellectual Property Rights related thereto (the “Intellectual
Property Rights”). “Intellectual Property Rights” shall include, without limitation, inventions, trademarks, designs, ideas, developments, improvements, patents, copyrights, trade secrets and other similar rights.

  

	 	(b)	Contractor hereby assigns to LSG all right, title and interest in and to the Deliverables, including all related Intellectual Property Rights. Contractor shall not
retain any proprietary or other rights whatsoever in or to any Deliverables and shall not have any right to use any Deliverables for any purpose whatsoever other than in connection with the normal and proper course of performing pursuant to this
Agreement. All copyrightable works that Contractor creates pursuant to this Agreement shall be considered “works made for hire” as defined by the copyright laws of the United States. 

 

	 	(c)	Contractor shall not use any part of LSG’s names, brands or trademarks as part of Contractor’s own names, brands, trademarks, or domain names. Contractor
shall not attempt to register or seek legal protection for any of LSG’s names, brands or trademarks, or anything confusingly similar thereto. 

  

	 	(d)	Contractor shall at any time hereafter, at LSG’s request, execute all documents and instruments and perform all acts that may be necessary or desirable to give
effect to the assignment of the Deliverables to LSG, including, without limitation, those that may be required in connection with applications for United States and foreign patents, trademarks, copyrights, or other rights. Contractor shall otherwise
provide assistance to assign the Deliverables to LSG and to permit LSG to enforce any patents, trademarks, copyrights, or other rights in and to the Deliverables. Should Contractor fail, refuse, or be unable to execute and deliver at LSG’s
request any such document or instrument, or to perform any such act, to give effect to the assignment to LSG of the Deliverables, LSG shall have the right to execute or perform same in Contractor’s name as Contractor’s attorney-in-fact. In
the event of a cause of action arising out of the Deliverables, Contractor agrees to provide to LSG any required documentation within its custody and/or control. 

  
 Page 2 of 7

 7. Contractor Representations & Warranties 

 

	 	(a)	Contractor represents and warrants that Contractor is fully authorized and qualified to enter this Agreement and perform Contractor’s obligations hereunder and is
unencumbered by any obligations to any third party which would prevent Contractor from performing under this Agreement. 

  

	 	(b)	Contractor represents and warrants that to its knowledge at the time of delivery to LSG, all Deliverables provided by Contractor to LSG in connection with performing
the Services under this Agreement are, and shall be, free from any claims of infringement of any third party’s proprietary or other intellectual property rights (including, without limitation, trade secret, patent, copyright, and trademark
rights). 

  

	 	(c)	Contractor represents and warrants that to its knowledge at the time of delivery to LSG, all Deliverables provided by Contractor to LSG in connection with performing
the Services under this Agreement are, and shall be, original works as that term is defined under United States copyright law. 

  

	 	(d)	Contractor represents and warrants that the Deliverables shall be (i) free from defects in workmanship and materials, (ii) fit for the use intended, and
(iii) merchantable. 

 8. Exclusive Industry Consultation. Contractor agrees that during the term of this Agreement,
and for a period of three (3) months after completion or termination of this Agreement, Contractor shall not, without LSG’s prior written consent, provide services to or for any third party (a) that competes with LSG or (b) where
such services are the same or substantially similar to the Services. 
 9. Termination. Either party may terminate this Agreement
immediately for cause in the event the other party (i) ceases to function as a going concern or to conduct its operations in the normal course of business; or (ii) fails to perform any of its obligations under this Agreement so as to be in
default hereunder and fails to cure such default within thirty (30) days after written notice thereof. Termination for any reason will not release Contractor from any obligations that arise prior to the termination date. Sections 1, 6, 8-11,
and 14-27 shall survive any termination of this Agreement. 
 10. Certain Breaches Irreparable. Contractor acknowledges that if
Contractor breaches any provision of Sections 6-8 or 11 of this Agreement, the harm to LSG would be irreparable. Contractor therefore agrees that in the event of such a breach or threat of such a breach, LSG shall have, in addition to any other
remedies available to it, the right to obtain preliminary injunctive relief against any such breach or threat of such breach. 

  
 Page 3 of 7

 11. Confidentiality  
  

	 	(a)	In connection with the activities contemplated by this Agreement, Contractor acknowledges that it may learn of or be exposed to LSG’s confidential information
(“Confidential Information”). “Confidential Information” includes, but is not limited to, the terms of this Agreement, information relating to the intellectual property and business practices of LSG, whether or not reduced
to writing or other tangible medium of expression, whether or not patented, patentable, capable of trade secret protection, or protected as an unpublished or published work under the United States Copyright Act. 

 

	 	(b)	“Confidential Information” does not include information which (i) is or becomes generally available to the public other than as a result of a breach of
this Agreement, (ii) is already known to Contractor from a source other than LSG or one of its affiliates prior to the execution of this Agreement, (iii) is furnished by a third party who is lawfully in possession of such information and
who lawfully conveys that information to Contractor, or (iv) is subsequently developed by Contractor independently of the information received from LSG. 

 

	 	(c)	Contractor shall take steps to protect the Confidential Information and it shall not (i) use, (ii) disclose, (iii) copy or (iv) allow access to the
Confidential Information except in the normal and proper course of performing pursuant to this Agreement. Notwithstanding the foregoing, Contractor may disclose Confidential Information responsive to a request by a government agency in connection
with an investigation, in response to a litigation discovery request, and in response to a subpoena, subject to prompt notice to LSG and reasonable efforts and cooperation in making such disclosure subject to a protective order or on a confidential
basis. 

  

	 	(d)	All Confidential Information in tangible form and copies thereof shall be returned to LSG upon request. 

 

	 	(e)	Contractor agrees not to disclose to or use on behalf of LSG any confidential information belonging to a third party unless written authorization from the third party
is obtained in a form satisfactory to LSG. 

  

	 	(f)	Contractor may indicate that LSG is a client of Contractor. 

 12. Employees. Contractor shall require its employees to execute agreements with intellectual property ownership and confidentiality provisions in conformance with this Agreement. 

13. Subcontractors. Contractor shall not use subcontractors to provide any of the Services or fulfill any of its obligations under this Agreement
unless it obtains the express prior written approval of LSG. Contractor shall require any permitted subcontractors to execute agreements with intellectual property ownership and confidentiality provisions in conformance with this Agreement.

 14. Indemnification. Contractor agrees to indemnify, defend, and hold LSG, its officers, directors, shareholders, agents, affiliates,
and employees (collectively, the “Indemnified Parties”) harmless from, and reimburse the Indemnified Parties for, any and all claims, demands, obligations, losses, liabilities or damages, including interest, penalties, costs,
charges, expenses or and attorney’s fees, incurred by any Indemnified Party in connection with any claim by a third party arising from the breach by Contractor of this Agreement or the negligence or willful misconduct of Contractor, including
claims of infringement of any third party Intellectual Property Rights caused by a Deliverable. 

  
 Page 4 of 7

 15. Limitation of Liability 

 

	 	(a)	LSG’S MAXIMUM CUMULATIVE LIABILITY ARISING OUT OF OR RELATED TO THIS AGREEMENT SHALL IN NO EVENT EXCEED THE AMOUNTS PAID BY LSG TO CONTRACTOR OVER THE PREVIOUS
THREE (3) MONTHS IMMEDIATELY PRECEDING THE EVENT GIVING RISE OR ALLEGED TO GIVE RISE TO SUCH LIABILITY. 

  

	 	(b)	IN NO EVENT WILL ANY INDEMNIFIED PARTY BE LIABLE TO CONTRACTOR UNDER ANY CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY OR OTHER LEGAL OR EQUITABLE THEORY FOR ANY
CONSEQUENTIAL, INCIDENTAL, INDIRECT OR SPECIAL DAMAGES WHATSOEVER (INCLUDING DAMAGES FOR LOSS OF BUSINESS PROFITS, BUSINESS INTERRUPTION OR LOSS OF BUSINESS INFORMATION), WHETHER FORESEEABLE OR UNFORESEEABLE, ARISING UNDER THIS AGREEMENT, REGARDLESS
OF THE BASIS OF THE CLAIM AND EVEN IF LSG OR ITS REPRESENTATIVE HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGE. 

 16.
Independent Contractor. The parties are contracting with each other as independent contractors. The parties do not undertake by this Agreement, or otherwise, to perform any obligation of the other party. In no way is one party to be construed
as an agent, or acting as an agent of the other in any respect. 
 17. Taxes. Contractor shall be solely responsible for, and shall pay
or reimburse LSG for, all taxes, duties, assessments and other governmental charges, however designated, that are now or hereafter imposed under or by any governmental authority or agency that are (i) associated with the performance by
Contractor of its obligations hereunder, or (ii) associated with the payment of any amount by LSG to Contractor pursuant to this Agreement. Contractor shall not be responsible for income taxes imposed on LSG by any governmental authority.

 18. Performance Excused. Each party shall be excused from delays in performing or from any failure to perform hereunder to the extent
that such delay or failure results from causes such as war, terrorism, or natural disaster or strike which are beyond the reasonable control of such party. 
 19. Assignment & Transfer. LSG shall be free to assign this Agreement, subject to the assignee agreeing in writing to be bound by the terms and conditions of this Agreement and delivering
such writing to Contractor. Contractor shall not assign or transfer this Agreement without the express prior written consent of LSG. When assigned in accordance with this Section, this Agreement, and all rights, obligations and duties hereunder,
will inure to the benefit of and will be binding on the assignee of the assigning party. 
 20. Notice. All notices required or permitted
under this Agreement shall be in writing. Under this Agreement, if one party is required to deliver something to the other, or give notice, such delivery and such notice shall be made by an recognized next-day courier service addressed as specified
in the signature block below, or as a receiving party may notice a sending party in writing. Notice shall be deemed given on the day of delivery. 

  
 Page 5 of 7

 21. Entire Agreement. This Agreement and any attachments specifically referenced herein constitute
the entire agreement between the parties with respect to the subject matter hereof, and supersede all prior oral and written term sheets, understandings, or agreements between the parties relating to the subject matter hereof. In the event of any
conflict between the text of this Agreement and any SOW or other referenced attachment to this Agreement, this Agreement shall control. 
 22.
Amendment & Modification. This Agreement may not be amended or modified except in a writing signed by both an authorized representative of LSG and an authorized representative of Contractor referencing an intent to amend this
Agreement. 
 23. Severability. In the event any one or more of the provisions contained in this Agreement should for any reason be held
by a court of competent jurisdiction to be invalid, illegal, or unenforceable in any respect, the remaining provisions contained herein shall be enforced to the full extent permitted by law. 
 24. No Waiver. The failure of either party to enforce one or more of the provisions of this Agreement or to exercise any option or other rights hereunder or to require at any time performance of
any of the obligations hereof shall not be construed to be a waiver of such provisions by such party or to in any way affect the validity of this Agreement or such party’s right thereafter to enforce each and every provision of this Agreement,
nor to preclude such party from taking any other action at any time that it would legally be entitled to take. 
 25. No Representation
Concerning Results or Additional Agreements. Contractor acknowledges that it has not relied on any representation, promise, guarantee or statement as to the results Contractor may obtain pursuant to this Agreement other than as expressly
provided in this Agreement. Nothing in this Agreement or otherwise shall obligate either party to extend the Initial Term or any renewed term of this Agreement or enter into any other agreement with the other party. 

26. Prevailing Party. If any legal action, arbitration, or other proceeding is brought for a breach of this Agreement or any of the warranties
herein, the prevailing party shall be entitled to recover its reasonable attorneys’ fees and other costs incurred in bringing such action or proceeding, in addition to any other relief to which such party may be entitled.  

27. Governing Law and Jurisdiction. This Agreement shall be governed by and interpreted in accordance with the laws of the State of New York,
without regard to principles of conflict of laws, and the parties consent to the exclusive jurisdiction of the state and federal courts located in the State of New York for any dispute concerning this Agreement or a breach of this Agreement.

 (signature page follows) 

  
 Page 6 of 7

 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their duly authorized
representatives on the date(s) set forth below. 
  

					
	Contractor: Charles Darnell, LLC	  	Parties	 	    Lighting Science Group Corporation
			
	 /s/ Charles Darnell
	  	Signature	 	 /s/ Zach Gibler

	Charles Darnell	  	Printed Name	 	Zach Gibler
		  	Title	 	Chief Executive Officer
	12/1/10	  	Date	 	11/22/10
		  	Address	 	
		  	Telephone	 	

  
 Page 7 of 7Indenture

 Exhibit 4.1 
 EXECUTION COPY 
 AMERICAN WATER CAPITAL CORP. 

as Issuer 
 TO 
 WELLS FARGO BANK, NATIONAL ASSOCIATION 

as Trustee 
 Indenture 
 Dated as of December 4, 2009 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	PAGE	 
		
	 PARTIES
	  	 	1	  
		
	 RECITALS OF THE COMPANY
	  	 	15	  
	
	ARTICLE ONE	  
	
	DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION	  
			
	 SECTION 101.
	 	 Definitions
	  	 	15	  
		 	 Act
	  	 	16	  
		 	 Additional Securities
	  	 	16	  
		 	 Affiliate
	  	 	16	  
		 	 Agent Member
	  	 	16	  
		 	 Applicable Procedures
	  	 	16	  
		 	 Attributable Debt
	  	 	16	  
		 	 Authenticating Agent
	  	 	16	  
		 	 Below Investment Grade Rating Event
	  	 	16	  
		 	 Beneficial Owner
	  	 	17	  
		 	 Board of Directors
	  	 	17	  
		 	 Board Resolution
	  	 	17	  
		 	 Business Day
	  	 	17	  
		 	 Capital Lease
	  	 	17	  
		 	 Change of Control
	  	 	17	  
		 	 Change of Control Triggering Event
	  	 	17	  
		 	 Clearstream
	  	 	17	  
		 	 Commission
	  	 	17	  
		 	 Company
	  	 	17	  
		 	 Company Request; Company Order
	  	 	18	  
		 	 Comparable Treasury Issue
	  	 	18	  
		 	 Comparable Treasury Price
	  	 	18	  
		 	 Consolidated Tangible Total Assets
	  	 	18	  
		 	 Consolidated Total Assets
	  	 	18	  
		 	 Continuing Directors
	  	 	18	  
		 	 Corporate Trust Office
	  	 	18	  
		 	 corporation
	  	 	18	  
		 	 Covenant Defeasance
	  	 	18	  
		 	 Debt
	  	 	18	  
		 	 Defaulted Interest
	  	 	19	  
		 	 Defeasance
	  	 	19	  

 NOTE: This Table of
contents shall not, for any purpose, be deemed to be a part of the Indenture. 

  
 -2-

  

							
		 	 Depositary
	  	 	19	  
		 	 DTC
	  	 	19	  
		 	 Euroclear
	  	 	19	  
		 	 Event of Default
	  	 	19	  
		 	 Exchange Act
	  	 	19	  
		 	 Exchange Offer
	  	 	19	  
		 	 Exchange Registration Statement
	  	 	19	  
		 	 Exchange Security
	  	 	19	  
		 	 Expiration Date
	  	 	19	  
		 	 Global Security
	  	 	19	  
		 	 Governmental Authority
	  	 	20	  
		 	 Holder
	  	 	20	  
		 	 Indenture
	  	 	20	  
		 	 Independent Investment Banker
	  	 	20	  
		 	 Interest Payment Date
	  	 	20	  
		 	 Investment Company Act
	  	 	20	  
		 	 Investment Grade Rating
	  	 	20	  
		 	 Issue Date
	  	 	20	  
		 	 Lien
	  	 	20	  
		 	 Make-Whole Amount
	  	 	20	  
		 	 Maturity
	  	 	21	  
		 	 Moody’s
	  	 	21	  
		 	 National Securities Exchange
	  	 	21	  
		 	 Notice of Default
	  	 	21	  
		 	 Officers’ Certificate
	  	 	21	  
		 	 Opinion of Counsel
	  	 	21	  
		 	 Original Issue Discount Security
	  	 	21	  
		 	 Original Securities
	  	 	21	  
		 	 Outstanding
	  	 	21	  
		 	 Parent
	  	 	22	  
		 	 Paying Agent
	  	 	22	  
		 	 Permanent Regulation S Global Security
	  	 	22	  
		 	 Permitted Liens
	  	 	22	  
		 	 Person
	  	 	25	  
		 	 Place of Payment
	  	 	25	  
		 	 Predecessor Security
	  	 	25	  
		 	 property; properties
	  	 	25	  
		 	 Purchase Agreement
	  	 	25	  
		 	 Qualified Institutional Buyer
	  	 	25	  
		 	 Rating Agencies
	  	 	25	  
		 	 Redemption Date
	  	 	25	  
		 	 Redemption Price
	  	 	25	  
		 	 Reference Treasury Dealer
	  	 	25	  
		 	 Reference Treasury Dealer Quotation
	  	 	25	  
		 	 Registered Securities
	  	 	26	  
		 	 Registration Rights Agreement
	  	 	26	  
		 	 Regular Record Date
	  	 	26	  
		 	 Regulation S
	  	 	26	  

  
 -3-

  

							
		 	 Regulation S Legend
	  	 	26	  
		 	 Regulation S Securities
	  	 	26	  
		 	 Representative
	  	 	26	  
		 	 Responsible Officer
	  	 	26	  
		 	 Restricted Period
	  	 	26	  
		 	 Restricted Securities
	  	 	26	  
		 	 Restricted Securities Legend
	  	 	26	  
		 	 Rule 144A
	  	 	26	  
		 	 Rule 144A Global Security
	  	 	26	  
		 	 S&P
	  	 	27	  
		 	 Sale and Leaseback Transaction
	  	 	27	  
		 	 Securities
	  	 	27	  
		 	 Securities Act
	  	 	27	  
		 	 Securities Act Legend
	  	 	27	  
		 	 Security Register; Security Registrar
	  	 	27	  
		 	 Senior Financial Officer
	  	 	27	  
		 	 Shelf Registration Statement
	  	 	27	  
		 	 Special Interest
	  	 	27	  
		 	 Special Record Date
	  	 	27	  
		 	 Stated Maturity
	  	 	27	  
		 	 Subsidiary
	  	 	27	  
		 	 Successor Security
	  	 	27	  
		 	 Support Agreement
	  	 	28	  
		 	 Suspension Period
	  	 	28	  
		 	 Temporary Regulation S Global Security
	  	 	28	  
		 	 Treasury Rate
	  	 	28	  
		 	 Trust Indenture Act
	  	 	28	  
		 	 Trustee
	  	 	28	  
		 	 Unrestricted Securities Certificate
	  	 	28	  
		 	 U.S. Government Obligation
	  	 	28	  
		 	 Vice President
	  	 	28	  
	 SECTION 102.
	 	 Compliance Certificates and Opinions
	  	 	28	  
	 SECTION 103.
	 	 Form of Documents Delivered to Trustee
	  	 	29	  
	 SECTION 104.
	 	 Acts of Holders; Record Dates
	  	 	29	  
	 SECTION 105.
	 	 Notices, Etc., to Trustee and Company
	  	 	31	  
	 SECTION 106.
	 	 Notice to Holders; Waiver
	  	 	32	  
	 SECTION 107.
	 	 Conflict with Trust Indenture Act
	  	 	32	  
	 SECTION 108.
	 	 Effect of Headings and Table of Contents
	  	 	32	  
	 SECTION 109.
	 	 Successors and Assigns
	  	 	32	  
	 SECTION 110.
	 	 Separability Clause
	  	 	32	  
	 SECTION 111.
	 	 Benefits of Indenture
	  	 	32	  
	 SECTION 112.
	 	 Governing Law
	  	 	33	  
	 SECTION 113.
	 	 No Personal Liability
	  	 	33	  
	 SECTION 114.
	 	 Legal Holidays
	  	 	33	  
	 SECTION 115.
	 	 U.S.A. Patriot Act
	  	 	33	  

  
 -4-

  

							
	 ARTICLE TWO
  

SECURITY
  

FORMS
  
	   
 
   
 

  
 

	 SECTION 201.
	 	 Forms Generally
	  	 	33	  
	 SECTION 202.
	 	 Form of Face of Security
	  	 	36	  
	 SECTION 203.
	 	 Form of Reverse of Security
	  	 	38	  
	 SECTION 204.
	 	 Form of Legend for Securities
	  	 	45	  
	 SECTION 205.
	 	 Form of Trustee’s Certificate of Authentication
	  	 	46	  
	
	 ARTICLE THREE
  

THE SECURITIES
  
	   
 
   
 

	 SECTION 301.
	 	 Amount Unlimited; Issuable in Series
	  	 	47	  
	 SECTION 302.
	 	 Denominations
	  	 	49	  
	 SECTION 303.
	 	 Execution, Authentication, Delivery and Dating
	  	 	49	  
	 SECTION 304.
	 	 Temporary Securities
	  	 	51	  
	 SECTION 305.
	 	 Registration, Registration of Transfer and Exchange; Certain Transfers and Exchanges
	  	 	51	  
	 SECTION 306.
	 	 Mutilated, Destroyed, Lost and Stolen Securities
	  	 	58	  
	 SECTION 307.
	 	 Payment of Interest; Interest Rights Preserved
	  	 	59	  
	 SECTION 308.
	 	 Persons Deemed Owners
	  	 	60	  
	 SECTION 309.
	 	 Cancellation
	  	 	60	  
	 SECTION 310.
	 	 Computation of Interest
	  	 	60	  
	 SECTION 311.
	 	 CUSIP Numbers
	  	 	60	  
	
	ARTICLE FOUR	  
	
	 SATISFACTION AND DISCHARGE

 
	   
 

	 SECTION 401.
	 	 Satisfaction and Discharge of Indenture
	  	 	61	  
	 SECTION 402.
	 	 Application of Trust Money
	  	 	62	  
	
	 ARTICLE FIVE
  

REMEDIES
  
	   
 
   
 

	 SECTION 501.
	 	 Events of Default
	  	 	62	  
	 SECTION 502.
	 	 Acceleration of Maturity; Rescission and Annulment
	  	 	64	  
	 SECTION 503.
	 	 Collection of Indebtedness and Suits for Enforcement by Trustee
	  	 	65	  
	 SECTION 504.
	 	 Trustee May File Proofs of Claim
	  	 	65	  

  
 -5-

							
	SECTION 505.	  	Trustee May Enforce Claims Without Possession of Securities	  	 	66	  
	SECTION 506.	  	Application of Money Collected	  	 	66	  
	SECTION 507.	  	Limitation on Suits	  	 	66	  
	SECTION 508.	  	 Unconditional Right of Holders to Receive Principal, Premium and Interest
	  	 	67	  
	SECTION 509.	  	Restoration of Rights and Remedies	  	 	67	  

  
 -6-

							
	SECTION 510.	  	Rights and Remedies Cumulative	  	 	67	  
	SECTION 511.	  	Delay or Omission Not Waiver	  	 	67	  
	SECTION 512.	  	Control by Holders	  	 	68	  
	SECTION 513.	  	Waiver of Past Defaults	  	 	68	  
	SECTION 514.	  	Undertaking for Costs	  	 	68	  
	SECTION 515.	  	Waiver of Usury, Stay or Extension Laws	  	 	68	  
	  
 ARTICLE SIX

 
 THE TRUSTEE
	 
   

   

			
	SECTION 601.	  	Certain Duties and Responsibilities	  	 	69	  
	SECTION 602.	  	Notice of Defaults	  	 	69	  
	SECTION 603.	  	Certain Rights of Trustee	  	 	69	  
	SECTION 604.	  	Not Responsible for Recitals or Issuance of Securities	  	 	71	  
	SECTION 605.	  	May Hold Securities	  	 	71	  
	SECTION 606.	  	Money Held in Trust	  	 	71	  
	SECTION 607.	  	Compensation and Reimbursement	  	 	71	  
	SECTION 608.	  	Conflicting Interests	  	 	72	  
	SECTION 609.	  	Corporate Trustee Required; Eligibility	  	 	72	  
	SECTION 610.	  	Resignation and Removal; Appointment of Successor	  	 	72	  
	SECTION 611.	  	Acceptance of Appointment by Successor	  	 	74	  
	SECTION 612.	  	Merger, Conversion, Consolidation or Succession to Business	  	 	75	  
	SECTION 613.	  	Preferential Collection of Claims Against Company	  	 	75	  
	SECTION 614.	  	Appointment of Authenticating Agent	  	 	75	  
	
	ARTICLE SEVEN	  
	
	HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND COMPANY	  
			
	SECTION 701.	  	Company to Furnish Trustee Names and Addresses of Holders	  	 	77	  
	SECTION 702.	  	Preservation of Information; Communications to Holders	  	 	77	  
	SECTION 703.	  	Reports by Trustee	  	 	77	  
	SECTION 704.	  	Reports by Company	  	 	78	  
	
	ARTICLE EIGHT	  
	
	CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE	  
			
	SECTION 801.	  	Company and Parent May Consolidate, Etc., Only on Certain Terms	  	 	78	  
	SECTION 802.	  	Successor Substituted	  	 	79	  
	SECTION 803.	  	Assumption by Parent	  	 	79	  

  
 -7-

							
	 ARTICLE NINE
  

SUPPLEMENTAL
  

INDENTURES
  
	   
 
   
 

  
 

	SECTION 901.	  	Supplemental Indentures Without Consent of Holders	  	 	79	  

  
 -8-

							
	SECTION 902.	  	Supplemental Indentures With Consent of Holders	  	 	80	  
	SECTION 903.	  	Execution of Supplemental Indentures	  	 	81	  
	SECTION 904.	  	Effect of Supplemental Indentures	  	 	82	  
	SECTION 905.	  	Conformity with Trust Indenture Act	  	 	82	  
	SECTION 906.	  	Reference in Securities to Supplemental Indentures	  	 	82	  
	  
 ARTICLE

 
 TEN COVENANTS
	 
   

   

			
	SECTION 1001.	  	Payment of Principal, Premium and Interest	  	 	82	  
	SECTION 1002.	  	Maintenance of Office or Agency	  	 	82	  
	SECTION 1003.	  	Money for Securities Payments to Be Held in Trust	  	 	83	  
	SECTION 1004.	  	Statement by Officers as to Default	  	 	84	  
	SECTION 1005.	  	Existence	  	 	84	  
	SECTION 1006.	  	Maintenance of Properties	  	 	84	  
	SECTION 1007.	  	Payment of Taxes and Other Claims	  	 	84	  
	SECTION 1008.	  	Restrictions on Liens	  	 	85	  
	SECTION 1009.	  	Restrictions on Sales and Leasebacks	  	 	85	  
	SECTION 1010.	  	Support Agreement	  	 	85	  
	SECTION 1011.	  	Waiver of Certain Covenants	  	 	85	  
	  
 ARTICLE ELEVEN

 
 REDEMPTION OF SECURITIES
	 
   

   

			
	SECTION 1101.	  	Applicability of Article	  	 	86	  
	SECTION 1102.	  	Election to Redeem; Notice to Trustee	  	 	86	  
	SECTION 1103.	  	Selection by Trustee of Securities to Be Redeemed	  	 	86	  
	SECTION 1104.	  	Notice of Redemption	  	 	87	  
	SECTION 1105.	  	Deposit of Redemption Price	  	 	88	  
	SECTION 1106.	  	Securities Payable on Redemption Date	  	 	88	  
	SECTION 1107.	  	Securities Redeemed in Part	  	 	88	  
	SECTION 1108.	  	Redemption upon Death of a Beneficial Owner	  	 	88	  
	
	ARTICLE TWELVE	  
	
	SINKING FUNDS	  
			
	SECTION 1201.	  	Applicability of Article	  	 	90	  
	SECTION 1202.	  	Satisfaction of Sinking Fund Payments with Securities	  	 	90	  
	SECTION 1203.	  	Redemption of Securities for Sinking Fund	  	 	91	  

  
 -9-

 ARTICLE THIRTEEN 
 DEFEASANCE AND COVENANT DEFEASANCE 
  

							
	SECTION 1301.	  	Company’s Option to Effect Defeasance or Covenant Defeasance	  	 	91	  

  
 -10-

							
	SECTION 1302.	  	Defeasance and Discharge	  	 	91	  
	SECTION 1303.	  	Covenant Defeasance	  	 	92	  
	SECTION 1304.	  	Conditions to Defeasance or Covenant Defeasance	  	 	92	  
	SECTION 1305.	  	 Deposited Money and U.S. Government Obligations to Be Held in Trust; Miscellaneous Provisions
	  	 	94	  
	SECTION 1306.	  	Reinstatement	  	 	94	  

  
 -11-

  

					
			
	Annex A-1	    	-	    	Form of Transfer Certificate - Rule 144A Global Security to Temporary Regulation S Global Security
			
	Annex A-2	    	-	    	Form of Transfer Certificate - Rule 144A Global Security to Permanent Regulation S Global Security
			
	Annex B	    	-	    	Form of Transfer Certificate - Temporary Regulation S Global Security or Permanent Regulation S Global Security to Rule 144A Global Security
			
	Annex C-1	    	-	    	Form of Certification to be Given by Holders of Beneficial Interests in a Temporary Regulation S Global Security to Euroclear or Clearstream
			
	Annex C-2	    	-	    	Form of Certification to be Given by the Euroclear Operator or Clearstream
			
	Annex C-3	    	-	    	Form of Certification to be Given by Transferee of Beneficial Interest in a Temporary Regulation S Global Security After the Restricted Period
			
	Annex D-1	    	-	    	Form of Transfer Certificate - Non-Global Restricted Security to Rule 144A Global Security
			
	Annex D-2	    	-	    	Form of Certificate - Non-Global Restricted Security to Permanent Regulation S Global Security or Temporary Regulation S Global Security
			
	Annex E	    	-	    	Form of Instruction for Exchange
			
	Annex F	    	-	    	Form of Unrestricted Securities Certificate

  
 -12-

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

			
	 Trust Indenture

        Act Section
	  	    Indenture Section
		
	§ 310(a)(1)	  	609
	 (a)(2)   
	  	609
	 (a)(3)   
	  	Not Applicable
	 (a)(4)   
	  	Not Applicable
	 (a)(5)   
	  	609
	 (b)   
	  	608
	 (c)   
	  	Not Applicable
		  	610
	§ 311(a)	  	613
	 (b)   
	  	613
	 (c)   
	  	Not Applicable
	§ 312(a)	  	701
		  	702
	 (b)   
	  	702
	 (c)   
	  	702
	§ 313(a)	  	703
	 (b)   
	  	703
	 (c)   
	  	703
	 (d)   
	  	703
	§ 314(a)	  	704
	 (a)(4)   
	  	101
		  	1004
	 (b)   
	  	Not Applicable
	 (c)(1)   
	  	102
	 (c)(2)   
	  	102
	 (c)(3)   
	  	Not Applicable
	 (d)   
	  	Not Applicable
	 (e)   
	  	102
	 (f)   
	  	Not Applicable
	§ 315(a)	  	601
	  (b)   
	  	602
	  (c)   
	  	601
	  (d)   
	  	601
	 (e)   
	  	514
	 § 316(a)
	  	101
	  (a)(1)(A)   
	  	502
		  	512
	  (a)(1)(B)   
	  	513
	  (a)(2)   
	  	Not Applicable
	  (b)   
	  	508
	  (c)   
	  	104
	§ 317(a)(1)	  	503
	  (a)(2)   
	  	504
	  (b)   
	  	1003
	§ 318(a)	  	107

  

					
	                (b)	  		  	Not Applicable
	                (c)	  		  	107

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

 INDENTURE, dated as of December 4, 2009 between American Water Capital Corp., a
corporation duly organized and existing under the laws of the State of Delaware (herein called the “Company”), having its principal office at 1025 Laurel Oak Road, Voorhees, New Jersey 08043, and Wells Fargo Bank, National
Association, a national banking association, as trustee (herein called the “Trustee”). 

RECITALS OF THE COMPANY 

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

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

NOW, THEREFORE, THIS INDENTURE WITNESSETH: 

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

DEFINITIONS AND OTHER 
 PROVISIONS OF GENERAL 

APPLICATION 
 SECTION 101. Definitions. 
 For all purposes of this Indenture, except as
otherwise expressly provided or unless the context otherwise requires: 
 (1) the terms defined in this Article
have the meanings assigned to them in this Article and include the plural as well as the singular; 
 (2) all
other terms used herein which are defined in the Trust Indenture Act, either directly or by reference therein, have the meanings assigned to them therein; 
 (3) all accounting terms not otherwise defined herein have the meanings assigned to them in accordance with generally accepted accounting principles, and, except as otherwise herein expressly provided,
the term “generally accepted accounting principles” with respect to any computation required or permitted hereunder shall mean such accounting principles as are generally accepted at the date of such computation; 

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

 (5) the words “herein”, “hereof and
“hereunder” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision. 
 “Act”, when used with respect to any Holder, has the meaning specified in Section 104. 
 “Additional Securities” means, with respect to a series of Securities, further Securities of that series having the same terms and ranking equally and ratably with the Original Securities
in all respects, or in all respects except for (i) the payment of interest accruing prior to the Issue Date for such Additional Securities, (ii) the first payment of interest following the Issue Date of such Additional Securities and
(iii) the Issue Date; provided that, any Additional Securities will be consolidated and form a single series with the Original Securities of such series and shall have the same terms as to status, redemption or otherwise as the Original
Securities of such series; provided further that any Additional Securities may be issued pursuant to authorization provided by a Board Resolution, a Supplemental Indenture, or under an Officers’ Certificate pursuant to Section 301.

 “Affiliate” of any specified Person means any other Person directly or indirectly controlling or controlled
by or under direct or indirect common control with such specified Person. For the purposes of this definition, “control” when used with respect to any specified Person means the power to direct the management and policies of such
Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and the terms “controlling” and “controlled” have meanings correlative to the foregoing. 

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

“Applicable Procedures” means, with respect to any transfer or transaction involving a Global Security or beneficial
interest therein, the rules and procedures of the Depositary for such Security, Euroclear and Clearstream, in each case to the extent applicable to such transaction and as in effect from time to time. 

“Attributable Debt” means the lesser of (1) the fair market value of the asset subject to the Sale and Leaseback
Transaction and (2) the present value, determined in accordance with generally accepted accounting principles (discounted at a rate equal to the rate of interest implicit in such transaction) of the obligations of the lessee for the net rental
payments (excluding amounts on account of maintenance and repairs, insurance, taxes, assessments and similar charges and contingent rents) during the term of the lease. 
 “Authenticating Agent” means any Person authorized by the Trustee pursuant to Section 614 to act on behalf of the Trustee to authenticate Securities of one or more series.

 “Below Investment Grade Rating Event” means the Securities of a series are rated below an Investment Grade
Rating by each of the Rating Agencies (as defined below) on any date from the date of the public notice of an arrangement that could result in a Change of Control until the end of the 60-day period following public notice of the occurrence of the
Change of Control (which 60-day period shall be extended so long as the rating of the Securities of such series is under publicly announced consideration for possible downgrade by any of the Rating Agencies); provided that a Below Investment
Grade Rating Event with respect to such series otherwise arising by virtue of a particular reduction in rating shall not be deemed to have occurred in respect to a particular Change of Control (and thus shall not be deemed a Below Investment

  
 -16-

 
Grade Rating Event for purposes of the definition of Change of Control Triggering Event hereunder), if the Rating Agencies making the reduction in rating to which this definition would otherwise
apply do not announce or publicly confirm that the reduction was the result, in whole or in part, of any event or circumstance comprised of or arising as a result of, or in respect of, the applicable Change of Control (whether or not the applicable
Change of Control shall have occurred at the time of the Below Investment Grade Rating Event). 
 “Beneficial
Owner” has the meaning specified in Section 1108. 
 “Board of Directors” means either the board
of directors of the Company or any duly authorized committee of that board. 
 “Board Resolution” means a copy
of a resolution certified by the Secretary or an Assistant Secretary of the Company to have been duly adopted by the Board of Directors and to be in full force and effect on the date of such certification, and delivered to the Trustee. 

“Business Day”, when used with respect to the Place of Payment, means each Monday, Tuesday, Wednesday, Thursday and
Friday which is not a day on which banking institutions in the Place of Payment are authorized or obligated by law or executive order to close. 
 “Capital Lease” means, at any time, any lease that is required to be capitalized on a balance sheet of the lessee in accordance with generally accepted accounting principles. 

“Change of Control” means the occurrence of any of the following: (1) the direct or indirect sale, transfer,
conveyance or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of the properties or assets of Parent and its Subsidiaries, taken as a whole, to any Person or
group of related persons for purposes of Section 13(d) of the Exchange Act (a “Group”) other than Parent or a Subsidiary; (2) the approval by the holders of common stock of Parent of any plan or proposal for the
liquidation or dissolution of Parent (whether or not otherwise in compliance with the provisions of the Indenture); (3) the consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that
any Person or Group becomes the beneficial owner, directly or indirectly, of more than 50% of the voting power of the then outstanding voting stock of Parent; or (4) the first day on which a majority of the members of the board of directors of
Parent are not Continuing Directors. 
 “Change of Control Triggering Event” means the occurrence of both a
Change of Control and a Below Investment Grade Rating Event. 
 “Clearstream” means Clearstream Banking,
societe anonyme, Luxembourg (or any successor securities clearing agency). 
 “Commission” means the
Securities and Exchange Commission, from time to time constituted, created under the Exchange Act, or, if at any time after the execution of this instrument such Commission is not existing and performing the duties now assigned to it under the Trust
Indenture Act, then the body performing such duties at such time. 
 “Company” means the Person named as the
“Company” in the first paragraph of this instrument until a successor Person shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Company” shall mean such successor Person. 

  
 -17-

 “Company Request” or “Company Order” means a written
request or order signed in the name of the Company by its Chairman of the Board, its Vice Chairman of the Board, its President or a Vice President, and by its Treasurer, an Assistant Treasurer, its Secretary or an Assistant Secretary, and delivered
to the Trustee. 
 “Comparable Treasury Issue” means, with respect to a series of Securities, the U.S. Treasury
security selected by an Independent Investment Banker as having an actual or interpolated maturity comparable to the remaining term (“Remaining Life”) of such series of Securities that would be utilized, at the time of selection and
in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such Securities. 
 “Comparable Treasury Price” means, with respect to any Redemption Date, the average of the Reference Treasury Dealer Quotations for such Redemption Date. 

“Consolidated Tangible Total Assets” means, as at any applicable time of determination, Consolidated Total Assets
less, without duplication, all intangible assets such as goodwill, trademarks, trade names, patents and unamortized debt discount and expense carried as an asset, in each case as set forth in the most recently available consolidated balance
sheet of Parent and its Subsidiaries. 
 “Consolidated Total Assets” means, as at any applicable time of
determination, the total assets of Parent and its Subsidiaries as set forth in the most recently available consolidated financial statements of Parent and its Subsidiaries. 
 “Continuing Directors” means, as of any date of determination with respect to a series of Securities, any member of the board of directors of Parent who (1) was a member of
Parent’s board of directors on the date of the issuance of the Securities of such series; or (2) was nominated for election or elected to Parent’s board of directors with the approval of a majority of the continuing directors who were
members of Parent’s board of directors at the time of such nomination or election (either by a specific vote or by approval of Parent’s proxy statement in which such member was named as a nominee for election as a director, without
objection to such nomination). 
 “Corporate Trust Office” means the office of the Trustee at which the trust
created by this Indenture is administered, which office as of the date hereof is located at 45 Broadway, 14th Floor, New York, NY 10006, Attention: Corporate Trust Services. 
 “corporation” means a corporation, association, company, joint-stock company or business trust. 
 “Covenant Defeasance” has the meaning specified in Section 1303. 
 “Debt” means, for any Person (without duplication), all (i) indebtedness for borrowed money, (ii) obligations evidenced by bonds, debentures, notes or other similar instruments,
(iii) obligations to pay the deferred purchase price of property or service (other than trade payables not overdue by more than ninety (90) days incurred in the ordinary course of business and long term water purchase contracts),
(iv) obligations under Capital Leases, (v) indebtedness of the type referred to in clauses (i) through (iv) above secured by (or for which the holder of such indebtedness has an existing right, contingent or otherwise, to be
secured by) any Lien or 

  
 -18-

 
encumbrance on, or security interest in, property (including, without limitation, accounts and contract rights) owned by such Person, even though such Person has not assumed or become liable for
the payment of such indebtedness, and (vi) all obligations of such Person for indebtedness or obligations of others of the kinds referred to in clauses (i) through (iv) above under direct or indirect guarantees, excluding, in all
cases, (i) advances for construction as set forth on the consolidated balance sheet of Parent and its Subsidiaries, (ii) reimbursement obligations (contingent or otherwise) in respect of outstanding letters of credit and
(iii) attributable debt in respect of Sale and Leaseback Transactions. 
 “Defaulted Interest” has the
meaning specified in Section 307. 
 “Defeasance” has the meaning specified in Section 1302.

 “Depositary” means, with respect to Securities of any series issuable in whole or in part in the form of one
or more Global Securities, a clearing agency registered under the Exchange Act that is designated to act as Depositary for such Securities as contemplated by Section 301. 
 “DTC” means The Depository Trust Company. 

“Euroclear” means the Euroclear Bank S.A./N.V. as operator of the Euroclear System (or any successor securities clearing
agency). 
 “Event of Default” has the meaning specified in Section 501. 

“Exchange Act” means the Securities Exchange Act of 1934 and any statute successor thereto, in each case as amended from
time to time. 
 “Exchange Offer” has the meaning set forth in the form of the Securities contained in
Section 202. 
 “Exchange Registration Statement” has the meaning set forth in the form of the Securities
contained in Section 202. 
 “Exchange Security” means, with respect to a series of Securities, any
Security of such series issued in exchange for an Original Security or Original Securities (or an Additional Security or Additional Securities, as the case may be) of the same series pursuant to the Exchange Offer and registered under the Securities
Act, and any Security with respect to which the next preceding Predecessor Security of such Security was an Exchange Security, and the Original Securities and Additional Securities of a series and the related Exchange Securities shall constitute one
series for all purposes under this Indenture, including without limitation, amendments, waivers and redemptions. 

“Expiration Date” has the meaning specified in Section 104. 

“Global Security” means a Security that evidences all or part of the Securities of any series and bears the legend set
forth in Section 204 (or such legend as may be specified as contemplated by Section 301 for such Securities). 

  
 -19-

 “Governmental Authority” means 

(1) the government of 
 (A) the United States of America or any State or other political subdivision thereof, or 
 (B) any other jurisdiction in which Parent, the Company or any other Subsidiary conducts all or any part of its business, or which asserts jurisdiction over any properties of Parent, the Company or any
other Subsidiary, or 
 (2) any entity exercising executive, legislative, judicial, regulatory or administrative
functions of, or pertaining to, any such government. 
 “Holder” means a Person in whose name a Security is
registered in the Security Register. 
 “Indenture” means this instrument as originally executed and as it may
from time to time be supplemented or amended by one or more indentures supplemental hereto entered into pursuant to the applicable provisions hereof, including, for all purposes of this instrument and any such supplemental indenture, the provisions
of the Trust Indenture Act that are deemed to be a part of and govern this instrument and any such supplemental indenture, respectively. The term “Indenture” shall also include the terms of particular series of Securities established as
contemplated by Section 301. 
 “Independent Investment Banker” means one of the Reference Treasury
Dealers appointed by the Company. 
 “Interest Payment Date”, when used with respect to any Security, means the
Stated Maturity of an installment of interest on such Security. 
 “Investment Company Act” means the
Investment Company Act of 1940 and any statute successor thereto, in each case as amended from time to time. 

“Investment Grade Rating” means a rating equal to or higher than Baa3 (or the equivalent) by Moody’s and BBB- (or
the equivalent) by S&P, respectively. 
 “Issue Date” means, with respect to any series, the first date on
which the Securities of such series are initially issued. 
 “Lien” means, with respect to any Person, any
mortgage, lien, pledge, charge, security interest or other encumbrance, or any interest or title of any vendor, lessor, lender or other secured party to or of such Person under any conditional sale or other title retention agreement or Capital
Lease, upon or with respect to any property or asset of such Person. 
 “Make-Whole Amount” means, with respect
to a series of Securities, the sum of the present values of each remaining scheduled payment of principal and interest thereon (exclusive of interest accrued to the Redemption Date) discounted to the Redemption Date on a semiannual basis at the
Treasury Rate, plus the number of basis points specified in respect of such series as contemplated by Section 301. 

  
 -20-

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

“Moody’s” means Moody’s Investors Service, Inc. 

“National Securities Exchange” means any national securities exchange registered under the Exchange Act. 

“Notice of Default” means a written notice of the kind specified in Section 501(5). 

“Officers’ Certificate” means a certificate signed by the Chairman of the Board, a Vice Chairman of the Board, the
President or a Vice President, and by the Treasurer, an Assistant Treasurer, the Secretary or an Assistant Secretary, of the Company, and delivered to the Trustee. One of the officers signing an Officers’ Certificate given pursuant to
Section 1004 shall be the principal executive, financial or accounting officer of the Company. 
 “Opinion of
Counsel” means a written opinion of counsel, who may be counsel for the Company, and who shall be acceptable to the Trustee. 
 “Original Issue Discount Security” means any Security which provides for an amount less than the principal amount thereof to be due and payable upon a declaration of the Maturity thereof
pursuant to Section 502. 
 “Original Securities” means, with respect to a series of Securities, all
Securities of such series other than Additional Securities and Exchange Securities of such series. 

“Outstanding”, when used with respect to a series of Securities, means, as of the date of determination, all Securities
of such series theretofore authenticated and delivered under this Indenture, except: 
 (1) Securities of
such series theretofore cancelled by the Trustee or delivered to the Trustee for cancellation; 
 (2) Securities
of such series for whose payment or redemption money in the necessary amount has been theretofore deposited with the Trustee or any Paying Agent (other than the Company) in trust or set aside and segregated in trust by the Company (if the Company
shall act as its own Paying Agent) for the Holders of such Securities; provided that, if such Securities are to be redeemed, notice of such redemption has been duly given pursuant to this Indenture or provision therefor satisfactory to the
Trustee has been made; 
 (3) Securities of such series as to which Defeasance has been effected pursuant to
Section 1302; and 
 (4) Securities of such series which have been paid pursuant to Section 306 or in
exchange for or in lieu of which other Securities of such series have been authenticated and delivered pursuant to this Indenture, other than any such Securities in respect of which there shall have been presented to the Trustee proof satisfactory
to it that such 

  
 -21-

 
Securities are held by a bona fide purchaser in whose hands such Securities are valid obligations of the Company; 
 provided, however, that in determining whether the Holders of the requisite principal amount of the Outstanding Securities of a series have given, made or taken any request, demand, authorization,
direction, notice, consent, waiver or other action hereunder as of any date, (A) the principal amount of an Original Issue Discount Security which shall be deemed to be Outstanding shall be the amount of the principal thereof which would be due
and payable as of such date upon acceleration of the Maturity thereof to such date pursuant to Section 502, (B) if, as of such date, the principal amount payable at the Stated Maturity of a Security is not determinable, the principal
amount of such Security which shall be deemed to be Outstanding shall be the amount as specified or determined as contemplated by Section 301, and (C) Securities owned by the Company or any other obligor upon the Securities or any
Affiliate of the Company or of such other obligor shall be disregarded and deemed not to be Outstanding, except that, in determining whether the Trustee shall be protected in relying upon any such request, demand, authorization, direction,
notice, consent, waiver or other action, only Securities which the Trustee knows to be so owned shall be so disregarded. Securities so owned which have been pledged in good faith may be regarded as Outstanding if the pledgee establishes to the
satisfaction of the Trustee the pledgee’s right so to act with respect to such Securities and that the pledgee is not the Company or any other obligor upon the Securities or any Affiliate of the Company or of such other obligor. 

“Parent” means American Water Works Company, Inc., a Delaware corporation. 

“Participant” has the meaning specified in Section 1108. 

“Paying Agent” means any Person authorized by the Company to pay the principal of or any premium or interest on any
Securities on behalf of the Company. 
 “Permanent Regulation S Global Security” has the meaning specified in
Section 201. 
 “Permitted Liens” means: 

(1) Liens existing, or created pursuant to the terms of agreements existing, on the date of this Indenture; 

(2) Liens consisting of (A) pledges or deposits in the ordinary course of business to secure obligations under
workmen’s compensation laws or similar legislation, (B) deposits in the ordinary course of business to secure or in lieu of surety, appeal or customs bonds to which the Company, the Parent or any Subsidiary is a party, (C) Liens
created by or resulting from any litigation or legal proceeding which is currently being contested in good faith by appropriate proceedings diligently conducted, (D) pledges or deposits in the ordinary course of business to secure performance
in connection with bids, tenders or contracts (other than contracts for the payment of money) or (E) materialmen’s, mechanics’, carriers’, workmen’s, repairmen’s or other like Liens incurred in the ordinary course of
business for sums not yet due or currently being contested in good faith by appropriate proceedings diligently conducted; 
 (3) Liens created to secure tax-exempt debt, in connection with the financing or refinancing of the purchase, lease or construction of properties; 

  
 -22-

 (4) any Lien on any asset of any person existing at the time the person is
merged or consolidated with or into, or such asset is acquired by the Company, Parent or any Subsidiary and not created in contemplation of such event; 
 (5) Liens created to secure sales of accounts receivable and other receivables; 
 (6) licenses of intellectual property granted by the Company, Parent or any Subsidiary in the ordinary course of business and not interfering in any material respect with the ordinary conduct of business;

 (7) Liens of landlords arising under real property leases to the extent those Liens arise in the ordinary
course of business and do not secure any past due obligation for the payment of money; 
 (8) any interest or
title of a lessor or sublessor under any lease permitted by this Indenture; 
 (9) Liens securing Debt which has
neither been assumed by the Company, Parent or any such Subsidiary nor upon which the Company, Parent or any Subsidiary customarily pays interest charges, existing upon real property, or rights in or relating thereto, which real property or rights
were acquired for right-of-way purposes; 
 (10) zoning laws and ordinances; 

(11) any leases required to be capitalized on a balance sheet of the lessee in accordance with generally accepted
accounting principles; 
 (12) easements, rights-of-way, restrictions, conditions and other similar encumbrances,
minor defects or irregularities of title, and alleys, streets and highways, which in the aggregate do not materially impair the usefulness of the mortgaged property in the present business of the Company, Parent or any Subsidiary; 

(13) leases of the properties of the Company, Parent or any Subsidiary, in each case entered into in the ordinary course
of business and that do not, individually or in the aggregate, (A) interfere in any material respect with the ordinary course of business or (B) materially impair the value of the property subject thereto; 

(14) Liens arising out of conditional sale, title retention, consignment or similar arrangements for the sale of goods
entered into by the Company, Parent or any Subsidiary in the ordinary course of business in accordance with the past practices of the Company, Parent or such Subsidiary; 

(15) bankers’ Liens, right of setoff and other similar Liens (including deposits required by interest rate swap
agreements) existing solely with respect to cash and cash equivalents on deposit in one or more accounts maintained by the Company, Parent or any Subsidiary, in each case granted in the ordinary course of business in favor of the financial
institutions with which such accounts are maintained, securing amounts owing to such financial institutions with respect to cash management and operating account arrangements, including those involving pooled accounts and netting arrangements;

  
 -23-

 provided that, unless such Liens are non-consensual and arise by operation of law, in
no case shall any such Liens secure (either directly or indirectly) the repayment of any Debt; 
 (16) Liens for
taxes, assessments or governmental charges or levies not yet delinquent and which may subsequently be paid without interest or penalties and Liens for taxes, assessments or governmental charges or levies which are being contested in good faith by
appropriate proceedings for which reserves have been established to the extent required by generally accepted accounting principles; 
 (17) any Lien on any property of the Company, Parent or any Subsidiary securing obligations not exceeding in the aggregate $100,000,000 outstanding any time; 

(18) Liens on any property, acquired, constructed or improved by the Company, Parent or any Subsidiary after the date of
this Indenture, and any improvements thereon, accessions thereto or other property acquired or constructed for use in connection therewith or related thereto, which are created or assumed prior to or contemporaneously with, or within 180 days after,
such acquisition or completion of such construction or improvement, or within one year thereafter pursuant to a firm commitment for financing arranged with a lender or investor within such 180-day period, to secure or provide for the payment of all
or any part of the purchase price of such property or the cost of such construction or improvement incurred after the date of this Indenture or Liens on any property existing at the time of acquisition thereof; provided, that the Liens shall
not extend to any property theretofore owned by the Company, Parent or any Subsidiary other than, in the case of any such construction or improvement, (A) unimproved real property on which the property so constructed or the improvement is
located, (B) other property (or improvement thereon) which is an improvement to or is acquired or constructed for use in connection therewith or related thereto, (C) any right and interest under any agreement or other documents relating to
the property being so constructed or improved or such other property and (D) the stock of any Subsidiary created or maintained for the primary purpose of owning the property so constructed or improved; 

(19) Liens on property securing Debt if, prior to or concurrently with the issuance, assumption or guarantee of such Debt,
the Securities (together with, if the Company shall so determine, (A) any other Debt of or guaranteed by the Company ranking equally with the Securities or (B) any debt of Parent or any Subsidiary then existing or thereafter created) are
secured by such property equally and ratably with (or prior to) such Debt (for so long as such debt is secured by such Liens); 
 (20) Liens securing the Securities; 
 (21) Liens securing Debt owed
to the Company, Parent or any Subsidiary; and 
 (22) Liens created for the sole purpose of refinancing,
extending, renewing or replacing in whole or in part Debt or other obligations secured by any Lien referred to in the foregoing subsections (1) through (20); provided, however, that the principal amount of Debt or obligations secured
thereby shall not exceed the principal amount of Debt or obligations so secured at the time of such refinancing, extension, renewal or replacement plus the amount of any premiums required to be paid thereon and reasonable fees and

  
 -24-

 
expenses associated therewith and that such refinancing, extension, renewal or replacement, as the case may be, shall be limited to all or a part of the property that secured the Lien or mortgage
so refinanced, extended, renewed or replaced (and any improvements on such property). 
 “Person” means any
individual, partnership, corporation, limited liability company, association, trust, unincorporated organization, business entity or Governmental Authority and includes a “person” as such term is used in Section 13(d)(3) of the
Exchange Act. 
 “Place of Payment” means the Corporate Trust Office. 

“Predecessor Security” of any particular Security means every previous Security evidencing all or a portion of the same
indebtedness as that evidenced by such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 306 in exchange for or in lieu of a mutilated, destroyed, lost or stolen Security shall
be deemed to evidence the same indebtedness as the mutilated, destroyed, lost or stolen Security. 
 “property”
or “properties” means, unless otherwise specifically limited, real or personal property of any kind, tangible or intangible, choate or inchoate. 
 “Purchase Agreement” means an agreement between the Company, on the one hand, and the initial purchasers of the Securities of a series (other than a series initially issued as Registered
Securities) named therein as such, on the other hand, setting forth the terms and conditions for the initial offer and sale of such Securities. 
 “Qualified Institutional Buyer” means a “qualified institutional buyer” as defined in Rule 144A. 
 “Rating Agencies” means (1) each of Moody’s and S&P; and (2) if either of Moody’s or S&P ceases to rate the Securities of a series or fails to make a rating of
the Securities of such series publicly available for reasons outside of Parent’s control, a “nationally recognized statistical rating organization” within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act, selected by
Parent (as certified by a resolution of Parent’s board of directors) as a replacement agency for Moody’s or S&P, or both of them, as the case may be. 
 “Redemption Date”, when used with respect to any Security to be redeemed, means the date fixed for such redemption by or pursuant to this Indenture. 

“Redemption Price”, when used with respect to any Security to be redeemed, means the price at which it is to be redeemed
pursuant to this Indenture. 
 “Reference Treasury Dealer” means, in respect of any series of Securities, any
primary United States government securities dealers specified as such for purposes of such series as contemplated by Section 301 and their respective successors, provided, however, that if any such firm shall cease to be a primary United
States government securities dealer in New York City (a “Primary Treasury Dealer”), the Company will substitute another Primary Treasury Dealer. 
 “Reference Treasury Dealer Quotation” means, with respect to each Reference Treasury Dealer and any Redemption Date, the average, as determined by the Company, of the bid and asked prices
for the Comparable Treasury Issue (expressed in each case as a percentage of its 

  
 -25-

 
principal amount) quoted in writing to the Company at 3:30 p.m., New York City time, on the third Business Day preceding such Redemption Date. 

“Registered Securities” means any Exchange Securities and all other Securities sold or otherwise disposed of pursuant to
an effective registration statement under the Securities Act, together with their respective Successor Securities. 

“Registration Rights Agreement” means any agreement entered into in connection with the issuance of Securities of a
series issued in reliance on Rule 144A under the Securities Act or sold in offshore transactions to persons other than U.S. persons (as defined in Regulation S under the Securities Act) for the benefit of the holders from time to time of such
Securities, which shall provide, among other things, for (i) the exchange of such Securities for similar Securities that are not subject to transfer restrictions and/or (ii) the registration of such Securities under the Securities Act.

 “Regular Record Date” for the interest payable on any Interest Payment Date on the Securities of any series
means the date specified for that purpose as contemplated by Section 301. 
 “Regulation S” means
Regulation S under the Securities Act (or any successor provision), as it may be amended from time to time. 

“Regulation S Legend” means a legend substantially in the form set forth in Section 204 to be placed upon each
Regulation S Security. 
 “Regulation S Securities” means all Securities offered and sold pursuant to
Regulation S. Such term includes any Permanent Regulation S Global Security and any Temporary Regulation S Global Security. 

“Representative” has the meaning specified in Section 1108. 

“Responsible Officer” means the chief executive officer, chief operating officer, general counsel, any Senior Financial
Officer and any other officer of the Company with responsibility for the administration of this Indenture. 

“Restricted Period” for a series of Regulation S Securities means the period of 40 consecutive days beginning on and
including the later of (i) the day on which Securities of that series are first offered to persons other than distributors (as defined in Regulation S) in reliance on Regulation S and (ii) the original issuance date of the Securities of
that series. 
 “Restricted Securities” means all Securities offered and sold pursuant to Rule 144A in a
transaction that is not registered under the Securities Act. Such term includes any Rule 144A Global Security and any certificated Securities so offered and sold. 
 “Restricted Securities Legend” means, collectively, the legends substantially in the forms set forth in Section 204 to be placed upon each Restricted Security. 

“Rule 144A” means Rule 144A under the Securities Act (or any successor provision), as it may be amended from time to
time. 
 “Rule 144A Global Security” has the meaning specified in Section 201. 

  
 -26-

 “S&P” means Standard & Poor’s Ratings Services, a
division of The McGraw-Hill Companies, Inc. 
 “Sale and Leaseback Transaction” means an arrangement (including
any series of related arrangements) between the Company, Parent or any Subsidiary and a bank, insurance company or other lender or investor where the Company, Parent or any Subsidiary leases property for an initial term of three years or more that
was or will be sold by the Company, Parent or such subsidiary to that lender or investor for a sale price of U.S. $1,000,000 or its equivalent or more. 
 “Securities” has the meaning stated in the first recital of this Indenture and more particularly means any Securities authenticated and delivered under this Indenture. 

“Securities Act” means the Securities Act of 1933 and any statute successor thereto, in each case as amended from time
to time. 
 “Securities Act Legend” means a Restricted Securities Legend or a Regulation S Legend. 

“Security Register” and “Security Registrar” have the respective meanings specified in
Section 305. 
 “Senior Financial Officer” means the chief financial officer, principal accounting
officer, treasurer or controller of the Company. 
 “Shelf Registration Statement” means a shelf registration
statement providing for the registration of, and the sale on a continuous or delayed basis by the holders of Securities of a series, pursuant to Rule 415 or any similar rule that may be adopted by the Commission. 

“Special Interest”, when used with respect to a Security, means interest payable on such Security pursuant to a
Registration Rights Agreement entered into in connection with the issuance and sale of such Security in the event of a registration default as provided in such Registration Rights Agreement. 

“Special Record Date” for the payment of any Defaulted Interest means a date fixed by the Trustee pursuant to
Section 307. 
 “Stated Maturity”, when used with respect to any Security or any installment of principal
thereof or interest thereon, means the date specified in such Security as the fixed date on which the principal of such Security or such installment of principal or interest is due and payable. 

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

“Successor Security” of any particular Security means every Security issued after, and evidencing all or a portion of
the same indebtedness as that evidenced by, such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 306 in exchange for or in lieu of a mutilated, destroyed, lost or stolen
Security shall be deemed to evidence the same indebtedness as the mutilated, destroyed, lost or stolen Security. 

  
 -27-

 “Support Agreement” means the support agreement, dated June 22, 2000,
and amended on July 26, 2000, between the Company and Parent as such agreement may be hereafter amended, modified or supplemented from time to time in accordance with its terms and the terms of this Indenture, and collectively, the
“Support Agreement.” 
 “Suspension Period” means a period during which the Company has suspended the
use of (A) any Shelf Registration Statement or (B) any free writing prospectus (as defined in Rule 405 under the Securities Act) prepared by or on behalf of the Company or used or referred to by the Company in connection with the sale of
Securities of any series. 
 “Temporary Regulation S Global Security” has the meaning specified in
Section 201. 
 “Treasury Rate” means, with respect to any Redemption Date of Securities of a series, the
rate per annum equal to the semi-annual equivalent yield to maturity or interpolated maturity (on a day count basis) of the Comparable Treasury Issue for such series, calculated using a price for the Comparable Treasury Issue (expressed as a
percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 
 “Trust Indenture
Act” means the Trust Indenture Act of 1939 as in force at the date as of which this instrument was executed; provided, however, that in the event the Trust Indenture Act of 1939 is amended after such date, “Trust Indenture
Act” means, to the extent required by any such amendment, the Trust Indenture Act of 1939 as so amended. 

“Trustee” means the Person named as the “Trustee” in the first paragraph of this instrument until a successor
Trustee shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Trustee” shall mean or include each Person who is then a Trustee hereunder, and if at any time there is more than one such Person,
“Trustee” as used with respect to the Securities of any series shall mean the Trustee with respect to Securities of that series. 
 “Unrestricted Securities Certificate” means a certificate substantially in the form set forth in Annex F. 
 “U.S. Government Obligation” has the meaning specified in Section 1304. 
 “Vice President”, when used with respect to the Company or the Trustee, means any vice president, whether or not designated by a number or a word or words added before or after the title
“vice president”. 
 SECTION 102. Compliance Certificates and Opinions. 

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

  
 -28-

 Every certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture shall include, 
 (1) a statement that each individual signing such certificate or
opinion has read such covenant or condition and the definitions herein relating thereto; 
 (2) a brief statement
as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based; 
 (3) a statement that, in the opinion of each such individual, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant
or condition has been complied with; and 
 (4) a statement as to whether, in the opinion of each such
individual, such condition or covenant has been complied with. 
 SECTION 103. Form of Documents Delivered to Trustee.

 In any case where several matters are required to be certified by, or covered by an opinion of, any specified Person, it is
not necessary that all such matters be certified by, or covered by the opinion of, only one such Person, or that they be so certified or covered by only one document, but one such Person may certify or give an opinion with respect to some matters
and one or more other such Persons as to other matters, and any such Person may certify or give an opinion as to such matters in one or several documents. 
 Any certificate or opinion of an officer of the Company may be based, insofar as it relates to legal matters, upon a certificate or opinion of, or representations by, counsel, unless such officer knows,
or in the exercise of reasonable care should know, that the certificate or opinion or representations with respect to the matters upon which his certificate or opinion is based are erroneous. Any such certificate or opinion of counsel may be based,
insofar as it relates to factual matters, upon a certificate or opinion of, or representations by, an officer or officers of the Company stating that the information with respect to such factual matters is in the possession of the Company, unless
such counsel knows, or in the exercise of reasonable care should know, that the certificate or opinion or representations with respect to such matters are erroneous. 
 Where any Person is required to make, give or execute two or more applications, requests, consents, certificates, statements, opinions or other instruments under this Indenture, they may, but need not, be
consolidated and form one instrument. 
 SECTION 104. Acts of Holders; Record Dates. 

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

  
 -29-

 
of execution of any such instrument or of a writing appointing any such agent shall be sufficient for any purpose of this Indenture and (subject to Section 601) conclusive in favor of the
Trustee and the Company, if made in the manner provided in this Section. 
 The fact and date of the execution by any Person of
any such instrument or writing may be proved by the affidavit of a witness of such execution or by a certificate of a notary public or other officer authorized by law to take acknowledgments of deeds, certifying that the individual signing such
instrument or writing acknowledged to him the execution thereof. Where such execution is by a signer acting in a capacity other than his individual capacity, such certificate or affidavit shall also constitute sufficient proof of his authority. The
fact and date of the execution of any such instrument or writing, or the authority of the Person executing the same, may also be proved in any other manner which the Trustee deems sufficient. 

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

Any request, demand, authorization, direction, notice, consent, waiver or other Act of the Holder of any Security shall bind every future
Holder of the same Security and the Holder of every Security issued upon the registration of transfer thereof or in exchange therefor or in lieu thereof in respect of anything done, omitted or suffered to be done by the Trustee or the Company in
reliance thereon, whether or not notation of such action is made upon such Security. 
 The Company may set any day as a record
date for the purpose of determining the Holders of Outstanding Securities of any series entitled to give, make or take any request, demand, authorization, direction, notice, consent, waiver or other action provided or permitted by this Indenture to
be given, made or taken by Holders of Securities of such series, provided that the Company may not set a record date for, and the provisions of this paragraph shall not apply with respect to, the giving or making of any notice, declaration,
request or direction referred to in the next paragraph. If any record date is set pursuant to this paragraph, the Holders of Outstanding Securities of the relevant series on such record date, and no other Holders, shall be entitled to take the
relevant action, whether or not such Holders remain Holders after such record date; provided that no such action shall be effective hereunder unless taken on or prior to the applicable Expiration Date by Holders of the requisite principal
amount of Outstanding Securities of such series on such record date. Nothing in this paragraph shall be construed to prevent the Company from setting a new record date for any action for which a record date has previously been set pursuant to this
paragraph (whereupon the record date previously set shall automatically and with no action by any Person be cancelled and of no effect), and nothing in this paragraph shall be construed to render ineffective any action taken by Holders of the
requisite principal amount of Outstanding Securities of the relevant series on the date such action is taken. Promptly after any record date is set pursuant to this paragraph, the Company, at its own expense, shall cause notice of such record date,
the proposed action by Holders and the applicable Expiration Date to be given to the Trustee in writing and to each Holder of Securities of the relevant series in the manner set forth in Section 106. 

The Trustee may set any day as a record date for the purpose of determining the Holders of Outstanding Securities of any series entitled
to join in the giving or making of (i) any Notice of Default, (ii) any declaration of acceleration referred to in Section 502, (iii) any request to institute proceedings referred to in Section 507(2) or (iv) any
direction referred to in Section 512, in each case with respect to Securities of such series. If any record date is set pursuant to this paragraph, the Holders of Outstanding Securities of such series on such record date, and no other Holders,

  
 -30-

 
shall be entitled to join in such notice, declaration, request or direction, whether or not such Holders remain Holders after such record date; provided that no such action shall be
effective hereunder unless taken on or prior to the applicable Expiration Date by Holders of the requisite principal amount of Outstanding Securities of such series on such record date. Nothing in this paragraph shall be construed to prevent the
Trustee from setting a new record date for any action for which a record date has previously been set pursuant to this paragraph (whereupon the record date previously set shall automatically and with no action by any Person be cancelled and of no
effect), and nothing in this paragraph shall be construed to render ineffective any action taken by Holders of the requisite principal amount of Outstanding Securities of the relevant series on the date such action is taken. Promptly after any
record date is set pursuant to this paragraph, the Trustee, at the Company’s expense, shall cause notice of such record date, the proposed action by Holders and the applicable Expiration Date to be given to the Company in writing and to each
Holder of Securities of the relevant series in the manner set forth in Section 106. 
 With respect to any record date set
pursuant to this Section, the party hereto which sets such record dates may designate any day as the “Expiration Date” and from time to time may change the Expiration Date to any earlier or later day; provided that no such
change shall be effective unless notice of the proposed new Expiration Date is given to the other party hereto in writing, and to each Holder of Securities of the relevant series in the manner set forth in Section 106, on or prior to the
existing Expiration Date. If an Expiration Date is not designated with respect to any record date set pursuant to this Section, the party hereto which set such record date shall be deemed to have initially designated the 180th day after such record
date as the Expiration Date with respect thereto, subject to its right to change the Expiration Date as provided in this paragraph. Notwithstanding the foregoing, no Expiration Date shall be later than the 180th day after the applicable record date.

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

 SECTION 105. Notices, Etc., to Trustee and Company. 

Any request, demand, authorization, direction, notice, consent, waiver or Act of Holders or other document provided or permitted by this
Indenture to be made upon, given or furnished to, or filed with, 
 (1) the Trustee by any Holder or by the
Company shall be sufficient for every purpose hereunder if made, given, furnished or filed in writing (including telecopy) to or with the Trustee at its Corporate Trust Office, or 

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

  
 -31-

 SECTION 106. Notice to Holders; Waiver. 

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

In case by reason of the suspension of regular mail service or by reason of any other cause it shall be impracticable to give such notice
by mail, then such notification as shall be made with the approval of the Trustee shall constitute a sufficient notification for every purpose hereunder. 
 SECTION 107. Conflict with Trust Indenture Act. 
 If any provision hereof
limits, qualifies or conflicts with a provision of the Trust Indenture Act which is required under such Act to be a part of and govern this Indenture, the latter provision shall control. If any provision of this Indenture modifies or excludes any
provision of the Trust Indenture Act which may be so modified or excluded, the latter provision shall be deemed to apply to this Indenture as so modified or to be excluded, as the case may be. 

SECTION 108. Effect of Headings and Table of Contents. 
 The Article and Section headings herein and the Table of Contents are for convenience only and shall not affect the construction hereof. 

SECTION 109. Successors and Assigns. 
 All covenants and agreements in this Indenture by the Company shall bind its successors and assigns, whether so expressed or not. 
 SECTION 110. Separability Clause. 
 In case any provision in this Indenture
or in the Securities shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

SECTION 111. Benefits of Indenture. 
 Nothing in this Indenture or in the Securities, express or implied, shall give to any Person, other than the parties hereto and their successors hereunder and the Holders, any benefit or any legal or
equitable right, remedy or claim under this Indenture. 

  
 -32-

 SECTION 112. Governing Law. 

This Indenture and the Securities shall be governed by and construed in accordance with the laws of the State of New York, without regard
to conflicts of laws principles thereof. 
 SECTION 113. No Personal Liability 

No director, officer, employee, incorporator or stockholder of the Company or Parent will have any liability for any obligations of the
Company or Parent under the Securities, this Indenture or the Support Agreement, or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting a Security waives and releases all such
liability, and such waiver and release are part of the consideration for issuance of such Security. 
 SECTION 114. Legal
Holidays. 
 In any case where any Interest Payment Date, Redemption Date or Stated Maturity of any Security shall not be a
Business Day at the Place of Payment, then (notwithstanding any other provision of this Indenture or of the Securities (other than a provision of any Security which specifically states that such provision shall apply in lieu of this Section))
payment of interest or principal (and premium, if any) need not be made at the Place of Payment on such date, but may be made on the next succeeding Business Day at the Place of Payment with the same force and effect as if made on the Interest
Payment Date or Redemption Date, or at the Stated Maturity. 
 SECTION 115. U.S.A. Patriot Act. 

The parties hereto acknowledge that in accordance with Section 326 of the U.S.A. Patriot Act, the Trustee, like all financial
institutions and in order to help fight the funding of terrorism and money laundering, is required to obtain, verify, and record information that identifies each person or legal entity that establishes a relationship or opens an account with the
Trustee. The parties to this Indenture agree that they will provide the Trustee with such information as it may request in order for the Trustee to satisfy the requirements of the U.S.A. Patriot Act. 

ARTICLE TWO 

SECURITY FORMS 
 SECTION 201. Forms Generally. 
 (a) The Securities of each series shall be
in substantially the form set forth in this Article, or in such other form as shall be established by or pursuant to a Board Resolution or in one or more indentures supplemental hereto, in each case with such appropriate insertions, omissions,
substitutions and other variations as are required or permitted by this Indenture, and may have such letters, numbers or other marks of identification and such legends or endorsements placed thereon as may be required to comply with the rules of any
securities exchange or Depositary therefor or as may, consistently herewith, be determined by the officers executing such Securities, as evidenced by their execution thereof. If the form of Securities of any series is established by action taken
pursuant to a Board Resolution, a copy of an appropriate record of such action shall be certified by the Secretary or an Assistant Secretary of the Company and 

  
 -33-

 
delivered to the Trustee at or prior to the delivery of the Company Order contemplated by Section 303 for the authentication and delivery of such Securities. 

The definitive Securities shall be printed, lithographed or engraved on steel engraved borders or may be produced in any other manner,
all as determined by the officers executing such Securities, as evidenced by their execution of such Securities. 
 (b)
(i) Securities of a series offered and sold in their initial distribution in reliance on Regulation S shall be initially issued in the form of one or more temporary Global Securities, in fully registered form without interest coupons,
substantially in the form of Security set forth in Sections 202 and 203, with such applicable legends as are provided for in Sections 202 and 204. Such Global Securities shall be registered in the name of the Depositary or its nominee, and deposited
with the Trustee, at its New York offices, as custodian for the Depositary, duly executed by the Company and authenticated by the Trustee as hereinafter provided, for credit to the respective accounts at the Depositary of the depositories for
Euroclear Bank S.A./N.V., as operator of Euroclear and for Clearstream, for credit to the respective accounts of owners of beneficial interests in such Securities or to such other accounts as they may direct. Such temporary Global Securities shall
be referred to herein as “Temporary Regulation S Global Securities”. On or after the termination of the Restricted Period, interests in any Temporary Regulation S Global Security of a series shall be exchangeable for corresponding
interests in an unrestricted Permanent Regulation S Global Security of the same series (each a “Permanent Regulation S Global Security”) in fully registered form without interest coupons, substantially in the form set forth in
Sections 202 and 203, with such applicable legends as are provided for in Sections 202 and 204 and in accordance with the immediately following paragraph. 
 (ii) Interests in a Temporary Regulation S Global Security of a series may be exchanged for interests in a Permanent Regulation S Global Security of the same series only on or after the termination of the
Restricted Period with respect to such securities after delivery by a beneficial owner of an interest therein to Euroclear or Clearstream of a written certification (an “Owner Securities Certification”) substantially in the form of
Annex C-1 hereto, and upon delivery by Euroclear or Clearstream to the Trustee of a written certification (a “Depository Securities Certification”) substantially in the form attached hereto as Annex C-2. Upon receipt of such
certification, the Trustee shall exchange the portion of the Temporary Regulation S Global Security covered by such certification for interests in a Permanent Regulation S Global Security. 

Upon: 
  

	 	(A)	the expiration of the Restricted Period, 

  

	 	(B)	receipt by Euroclear or Clearstream, as the case may be, and the Paying Agent of the certificates described in the preceding paragraph, 

 

	 	(C)	receipt by the Depositary of 

  

	 	(a)	written instructions given in accordance with the Applicable Procedures from an Agent Member directing the Depositary to credit or cause to be credited to a specified
Agent Member’s account a beneficial interest in the Permanent Regulation S Global Security in a principal amount equal to that of the beneficial interest in the Temporary Regulation S Global Security for which the necessary certificates have
been delivered, and 

  
 -34-

  

	 	(b)	a written order given in accordance with the Applicable Procedures containing information regarding the account of the Agent Member, and the Euroclear or Clearstream
account for which such Agent Member’s account is held, to be credited with, and the account of the Agent Member to be debited for, such beneficial interest, and 

 

	 	(D)	receipt by the Trustee of notification from the Depositary of the transactions described in (C) above, 

the Trustee, as Security Registrar, shall instruct the Depositary to reduce the principal amount of the Temporary Regulation S Global Security and to
increase the principal amount of the Permanent Regulation S Global Security, by the principal amount of the beneficial interest in such Temporary Regulation S Global Security to be so transferred, and to credit or cause to be credited to the account
of the Person specified in such instructions a beneficial interest in the Permanent Regulation S Global Security having a principal amount equal to the amount by which the principal amount of the Temporary Regulation S Global Security was reduced
upon such transfer. The aggregate principal amount of a Permanent Regulation S Global Security of a series may be increased or decreased from time to time by adjustments made on the records of the Trustee, as custodian for the Depositary, in
connection with a corresponding decrease or increase in the aggregate principal amount, as hereinafter provided. 
 (iii) Until
such time as the Restricted Period shall have terminated, investors may hold interests in the Regulation S Temporary Global Security only through Euroclear and Clearstream, unless delivery of such beneficial interest upon transfer shall be made
through a Rule 144A Global Security in accordance with the certification requirements discussed below in Section 305(b)(v). 
 (c) Securities of a series offered and sold in their initial distribution in reliance on Rule 144A shall be issued in the form of one or more Global Securities (each, a “Rule 144A Global
Security”), in fully registered form without interest coupons, substantially in the form of Security set forth in Sections 202 and 203 with such applicable legends as are provided for in Sections 202 and 204, except as otherwise permitted
herein. Such Global Securities shall be registered in the name of the Depositary or its nominee and deposited with the Trustee, as custodian for the Depositary, duly executed by the Company and authenticated by the Trustee as hereinafter provided,
for credit to the respective accounts of owners of beneficial interests in such Securities or to such other accounts as they may direct. The aggregate principal amount of a Rule 144A Global Security of a series may be increased or decreased from
time to time by adjustments made on the records of the Trustee, as custodian for the Depositary, in connection with a corresponding decrease or increase in the aggregate principal amount, as hereinafter provided. 

(d) Registered Securities shall be issued in the form of one or more Global Securities, in fully registered form without interest
coupons, substantially in the form of Security set forth in Sections 202 and 203 with such applicable legends as are provided for in Sections 202 and 204, except as otherwise permitted herein. Such Global Securities shall be registered in the name
of the Depositary or its nominee and deposited with the Trustee, as custodian for the Depositary, duly executed by the Company and authenticated by the Trustee as hereinafter provided, for credit to the respective accounts of owners of beneficial
interests in such Securities or to such other accounts as they may direct. 

  
 -35-

 SECTION 202. Form of Face of Security. 

[Insert any legend required by the Internal Revenue Code and the regulations thereunder.] 

American Water Capital Corp. 
  

													
		 		 		  		  	 	CUSIP No	  	 	
		 		 		  		  	 	ISIN No	  	 	        
		 	 No         
	 	$	  	  

American Water Capital Corp., a corporation duly organized and existing under the laws of Delaware (herein called the
“Company”, which term includes any successor Person under the Indenture hereinafter referred to), for value received, hereby promises to pay to
                            , or registered assigns, the principal sum of
                             Dollars on
                            [, and to pay interest thereon from
                     or from the most recent Interest Payment Date to which interest has been paid or as duly provided for, [semi-annually on
             and              in each year, commencing
            ,] [monthly in arrears on the first day of each calendar month, commencing
                    , and on any earlier date of redemption,] at the rate of     % per annum, until the principal
hereof is paid or made available for payment. Interest on this Security shall be computed assuming a 360-day year consisting of twelve 30-day months. [If Original Securities are not also Registered Securities, then insert, as appropriate, -
provided, however, that if (i) the Company has not filed a registration statement (the “Exchange Registration Statement”) under the Securities Act of 1933, as amended (the “Securities Act”), to register a
security substantially identical to this Security (except that such Security shall not contain terms with respect to the Special Interest payments described below or transfer restrictions) pursuant to an exchange offer (the “Exchange
Offer”) no later than      days after the closing of the issuance of this Security, or (ii) the Exchange Registration Statement or Shelf Registration Statement has not become effective or been declared
effective by the Commission no later than days after the closing of the issuance of this Security (the “Effectiveness Target Date”), or (iii) the Exchange Offer has not been completed within 45 days after the Effectiveness
Target Date with respect to the Exchange Registration Statement (if such Exchange Offer is then required to be made) or (iv) any Exchange Registration Statement or Shelf Registration Statement required by the Registration Rights Agreement is
filed and declared effective but shall thereafter either be withdrawn by the Company or shall become subject to an effective stop order issued pursuant to Section 8(d) of the Securities Act suspending the effectiveness of such registration
statement (except as specifically permitted herein) without being succeeded immediately by an additional registration statement filed and declared effective or (v) any Suspension Period exceeds 45 days in any 90-day period or 90 days in the
aggregate during any consecutive 12-month period (each such event referred to in clauses (i) through (v), a “Registration Default” and each period during which a Registration Default occurred and is continuing, a
“Registration Default Period”), then Special Interest shall accrue (in addition to the stated interest on the Securities) at a per annum rate of     % for the first      days of
the Registration Default Period and at a per annum rate of     % thereafter for the remaining portion of the Registration Default Period. Interest accruing as a result of a Registration Default is referred to herein as
“Special Interest”. 
 Whenever in this Security or in the Indenture there is a reference, in any context, to
the payment of the principal of, or premium, if any, or interest on, any Security of this series, such 

  
 -36-

 
mention shall be deemed to include mention of the payment of Special Interest (if applicable) payable as described in the preceding paragraph to the extent that, in such context, Special Interest
is, was or would be payable in respect of such Security, and express mention of the payment of Special Interest (if applicable) in any provisions of this Security shall not be construed as excluding Special Interest in those provisions of this
Security where such express mention is not made.] 
 The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date shall, as provided in the Indenture, be paid to the Person in whose name this Security (or one or more Predecessor Securities) is registered at the close of business on the Regular Record Date for such interest, which shall be
the [     or         (whether or not a Business Day), as the case may be,] [close of business on the fifteenth day (whether or not a Business Day)] next preceding such
Interest Payment Date. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Regular Record Date and may either be paid to the Person in whose name this Security (or one or more
Predecessor Securities) is registered at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, notice whereof shall be given to Holders of Securities of this series not less than 10
days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of any securities exchange on which the Securities of this series may be listed, and upon such notice as may be required
by such exchange, all as more fully provided in said Indenture.] 
 [if applicable, insert — Any interest (including
Special Interest) that is accrued and unpaid on this Security upon the issuance of an Exchange Security (as defined in the Indenture) in exchange for this Security shall cease to be payable to the Holder hereof but such accrued and unpaid interest
(including Special Interest) shall be payable on the next Interest Payment Date for such Exchange Security to the Holder thereof on the related Regular Record Date.] 
 [If the Security is not to bear interest prior to Maturity, insert - The principal of this Security shall not bear interest except in the case of a default in payment of principal upon
acceleration, upon redemption or at Stated Maturity (as defined in the Indenture) and in such case the overdue principal and any overdue premium shall bear interest at the rate of     % per annum (to the extent that the
payment of such interest shall be legally enforceable), from the dates such amounts are due until they are paid or made available for payment. Interest on any overdue principal or premium shall be payable on demand.] 

Payment of the principal of (and premium, if any) and [if applicable, insert - any such] interest on this Security will be made in
such coin or currency of the United States of America as at the time of payment is legal tender for payment of public and private debts (i) with respect to any Global Security, by wire transfer of immediately available funds to the accounts
specified by the Holder of such Global Security or (ii) with respect to any certificated Security, by wire transfer of immediately available funds to the respective accounts specified by the Holders of such certificated Security or, if no such
account is specified, by check mailed to the address of the Person entitled thereto as such address shall appear in the Security Register. 
 Reference is hereby made to the further provisions of this Security set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place.

  
 -37-

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

 

			
	AMERICAN WATER CAPITAL CORP.
		
	By	 	  

 SECTION
203. Form of Reverse of Security. 
 This Security is one of a duly authorized issue of securities of the Company (herein
called the “Securities”), issued and to be issued in one or more series under an Indenture, dated as of December 4, 2009 (herein called the “Indenture”, which term shall have the meaning assigned to it in such
instrument), between the Company and Wells Fargo Bank, National Association, as Trustee (herein called the “Trustee”, which term includes any successor trustee under the Indenture), and reference is hereby made to the Indenture for
a statement of the respective rights, limitations of rights, duties and immunities thereunder of the Company, the Trustee and the Holders of the Securities and of the terms upon which the Securities are, and are to be, authenticated and delivered.
This Security is one of the series designated on the face hereof. 
 [The Company may from time to time, without the consent of
the Holders, create and issue Additional Securities [and Exchange Securities], so that each such further issue shall be consolidated and form a single series with the Outstanding Securities of this series.] 

[The Securities of this series are subject to redemption upon not less than 30 days’ but not more than 60 days’ notice by mail,
at any time, as a whole or in part, at the election of the Company, at a redemption price equal to the greater of (i) 100% of the principal amount of the Securities of this series to be redeemed, and (ii) the Make-Whole Amount, in each
case, together with accrued interest (including Special Interest) to the Redemption Date, if any, but interest installments whose Stated Maturity is on or prior to such Redemption Date shall be payable to the Holders of such Securities, or one or
more Predecessor Securities, of record at the close of business on the relevant Record Dates referred to on the face hereof, all as provided in the Indenture.] 
 [The Securities of this series are subject to redemption upon not less than 30 days’ but not more than 60 days’ notice by mail, at any time on or after
                    ,         , as a whole or in part, at the election of the Company, at a
Redemption Price equal to     % of the principal amount, together in the case of any such redemption with accrued and unpaid interest to the Redemption Date, but interest installments whose Stated Maturity is on or prior
to such Redemption Date will be payable to the Holders of such Securities, or one or more Predecessor Securities, of record at the close of business on the relevant Record Dates referred to on the face hereof, all as provided in the Indenture.]

 [The Redemption Price will be calculated assuming a 360-day year consisting of twelve 30-day months.] 

  
 -38-

 [ Subject to the conditions and restrictions set forth below, any Security of this series
may be redeemed at any time, in whole or in part, at the request of the Representative of a deceased 

  
 -39-

 Beneficial Owner of such Security pursuant to a Redemption Request in the form attached hereto as Annex A,
at a redemption price equal to 100% of the principal amount of the Security to be redeemed, together with accrued and unpaid interest to the Redemption Date, if any, but interest installments whose Stated Maturity is on or prior to such Redemption
Date shall be payable to the Holder of such Security, or one or more Predecessor Securities, of record at the close of business on the relevant Record Dates referred to on the face hereof, all as provided in the Indenture. 

Any such redemption by the Representative of a deceased Beneficial Owner will be subject to the limitations and conditions that the
Company will not be obligated to redeem, during the period from the Issue Date through and including             , 20     (the “Initial Period”),
and, during any twelve-month period that ends on and includes each                      thereafter (each such twelve-month period being
hereinafter referred to as a “Subsequent Period”), (i) Securities of this series with an aggregate principal amount in excess of $25,000 from the Representative of any deceased Beneficial Owner or (ii) Securities of this series
exceeding $         in aggregate principal amount from the Representatives of all deceased Beneficial Owners. 
 The Company may, at its option, redeem any deceased Beneficial Owner’s Securities in the Initial Period or any Subsequent Period in excess of $25,000. Any such redemption, to the extent that it
exceeds the $25,000 limitation for the Representative of any deceased Beneficial Owner, shall not be included in the computation of the $         limitation for the Representatives of all deceased
Beneficial Owners for the applicable period or for any succeeding Subsequent Period. The Company may, at its option, also redeem deceased Beneficial Owners’ Notes in the Initial Period or in any Subsequent Period in an aggregate principal
amount exceeding $         Any such redemption, to the extent it exceeds the $         limitation for the Representatives of all deceased Beneficial
Owners, shall not reduce the $         limitation for all such Representatives for the applicable period or any Subsequent Period. On any determination by the Company to redeem Securities of this series
in excess of the $25,000 limitation for the Representative of any deceased Beneficial Owner or the $         limitation for the Representatives of all deceased Beneficial Owners, Securities of this
series so redeemed shall be redeemed in the order of the receipt of Redemption Requests by the Trustee. 
 Subject to the
$25,000 individual limitation and the $         aggregate limitation, the Company will, after the death of any Beneficial Owner, redeem the Securities on the
                    ,
                    ,
                     or
                    (each, a “Quarterly Redemption Date”) occurring not less than 30 days following receipt by the Company of a
Redemption Request from the Trustee. If a Redemption Request exceeds the $25,000 individual limitation, or if all Redemption Requests exceed the $         aggregate limitation during the applicable
period, then the excess Redemption Requests will be applied in the order received by the Trustee to successive Subsequent Periods, regardless of the number of Subsequent Periods required to redeem the Securities to which such Redemption Requests
relate. The Company may, at any time, notify the Trustee that it will redeem, on the next Quarterly Redemption Date occurring not less than 30 days after that notice, all or any lesser amount of Securities for which Redemption Requests have been
received but which are not then eligible for redemption by reason of the $25,000 individual limitation or the $         aggregate limitation. Any Securities so redeemed shall be redeemed in the order of
receipt of Redemption Requests by the Trustee. 
 Subject to arrangements with the Depositary, payment for the Securities to be
redeemed on any date shall be made to the Depositary upon presentation of Securities to the Trustee for redemption in the aggregate principal amount specified in the Redemption Requests submitted to

  
 -40-

 
the Trustee by the Depositary which are to be fulfilled on that date. The principal amount of any Securities acquired or redeemed by the Company other than by redemption at the option of any
Representative of a deceased Beneficial Owner pursuant to the foregoing paragraphs shall not be included in the computation of either the $25,000 individual limitation or the $          aggregate
limitation for the Initial Period or for any Subsequent Period.] 
 [If a Change of Control Triggering Event occurs at any time,
unless the Company has exercised its right to redeem the Securities of this series, Holders of Securities of this series will have the right to require the Company to repurchase all or any part (equal to $1,000 or an integral multiple of $1,000 in
excess thereof) of their Securities of this series pursuant to the offer described below (the “Change of Control Offer”) on the terms set forth herein. In the Change of Control Offer, the Company will be required to offer payment in
cash equal to 101% of the aggregate principal amount of Securities of this series repurchased plus accrued and unpaid interest, if any, on the Securities of this series repurchased, to the date of purchase (the “Change of Control
Payment”). Within 30 days following any Change of Control Triggering Event, the Company will be required to mail a notice to Holders of Securities of this series describing the transaction or transactions that constitute the Change of
Control Triggering Event and offering to repurchase the Securities of this series on the date specified in the notice, which date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed (the “Change of
Control Payment Date”), pursuant to the procedures required herein and described in the notice. The Company must comply with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to
the extent those laws and regulations are applicable in connection with the repurchase of the Securities of this series as a result of a Change of Control Triggering Event. To the extent that the provisions of any securities laws or regulations
conflict with the Change of Control provisions of the Securities of this series, the Company will be required to comply with the applicable securities laws and regulations and will not be deemed to have breached its obligations under the Change of
Control provisions of the Securities of this series by virtue of such conflicts. 
 On the Change of Control Payment Date, the
Company will be required, to the extent lawful, to (i) accept for payment all Securities of this series or portions of Securities of this series properly tendered pursuant to the Change of Control Offer; (ii) deposit with the paying agent
an amount equal to the Change of Control Payment in respect of all Securities of this series or portions of Securities of this series properly tendered and (iii) deliver or cause to be delivered to the Trustee the Securities of this series
properly accepted together with an Officers’ Certificate stating the aggregate principal amount of Securities of this series or portions of Securities of this series being purchased. 

The paying agent will promptly pay to each holder of Securities of this series properly tendered the purchase price for the Securities of
this series, and the Trustee will promptly authenticate and mail (or cause to be transferred by book-entry) to each holder a new Security equal in principal amount to any unpurchased portion of any Securities of this series surrendered;
provided that each new Security will be in a principal amount of $1,000 or an integral multiple of $1,000 in excess thereof. 
 The Company will not be required to make an offer to repurchase the Securities of this series upon a Change of Control Triggering Event if a third party makes such an offer in the manner, at the times and
otherwise in compliance with the requirements for an offer made by the 

  
 -41-

 
Company and that third party purchases all Securities of this series properly tendered and not withdrawn under its offer.] 

[In the event of redemption of this Security in part only, a new Security or Securities of this series and of like tenor for the
unredeemed portion hereof will be issued in the name of the Holder hereof upon the cancellation hereof.] 
 The Indenture
contains provisions for defeasance at any time of the entire indebtedness of this Security or certain restrictive covenants and Events of Default with respect to this Security, in each case upon compliance with certain conditions set forth in the
Indenture. 
 If an Event of Default with respect to Securities of this series shall occur and be continuing, the principal of
the Securities of this series may be declared due and payable in the manner and with the effect provided in the Indenture. 

The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and
obligations of the Company and the rights of the Holders of the Securities of each series to be affected under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in principal amount of the
Securities at the time Outstanding of each series to be affected. The Indenture also contains provisions permitting the Holders of specified percentages in principal amount of the Securities of each series at the time Outstanding, on behalf of the
Holders of all Securities of such series, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Security
shall be conclusive and binding upon such Holder and upon all future Holders of this Security and of any Security issued upon the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or
waiver is made upon this Security. 
 As provided in and subject to the provisions of the Indenture, the Holder of this Security
shall not have the right to institute any proceeding with respect to the Indenture or for the appointment of a receiver or trustee or for any other remedy thereunder, unless such Holder shall have previously given the Trustee written notice of a
continuing Event of Default with respect to the Securities of this series, the Holders of not less than 25% in principal amount of the Securities of this series at the time Outstanding shall have made written request to the Trustee to institute
proceedings in respect of such Event of Default as Trustee and offered the Trustee reasonable indemnity, and the Trustee shall not have received from the Holders of a majority in principal amount of Securities of this series at the time Outstanding
a direction inconsistent with such request, and shall have failed to institute any such proceeding, for 60 days after receipt of such notice, request and offer of indemnity. The foregoing shall not apply to any suit instituted by the Holder of this
Security for the enforcement of any payment of principal hereof or any premium or interest hereon on or after the respective due dates expressed herein. 
 No reference herein to the Indenture and no provision of this Security or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of
and any premium and interest on this Security at the times, place and rate, and in the coin or currency, herein prescribed. 

As provided in the Indenture and subject to certain limitations therein set forth, the transfer of this Security is registrable in the
Security Register, upon surrender of this Security for 

  
 -42-

 
registration of transfer at the office or agency of the Company in any place where the principal of and any premium and interest on this Security are payable, duly endorsed by, or accompanied by
a written instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed by, the Holder hereof or his attorney duly authorized in writing, and thereupon one or more new Securities of this series and of like
tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 
 The Securities of this series are issuable only in registered form without coupons in denominations of $1,000 and integral multiples of $1,000. As provided in the Indenture and subject to certain
limitations therein set forth, Securities of this series are exchangeable for a like aggregate principal amount of Securities of this series and of like tenor of a different authorized denomination, as requested by the Holder surrendering the same.

 No service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a
sum sufficient to cover any tax or other governmental charge payable in connection therewith. 
 Prior to due presentment of
this Security for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Security is registered as the owner hereof for all purposes, whether or not this Security be
overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 
 All terms used
in this Security which are defined in the Indenture shall have the meanings assigned to them in the Indenture. 
 THIS
SECURITY SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES THEREOF. 

  
 -43-

 Annex A 
 [FORM OF REDEMPTION REQUEST 
 AMERICAN WATER CAPITAL CORP.

     %              DUE
20     
 (THE “SECURITIES”) 

CUSIP NO.                    
 
 The undersigned, [Name of Participant] (the “Participant”), does hereby certify, pursuant to the
provisions of that certain Indenture, dated as of December 4, 2009, as supplemented and amended (the “Indenture”), made by and between American Water Capital Corp. (the “Company”), and Wells Fargo Bank, National Association,
as Trustee (the “Trustee”), to The Depository Trust Company (the “Depositary”), the Company and the Trustee that: 
 1. [Name of deceased Beneficial Owner] is deceased. 
 2. [Name of deceased
Beneficial Owner] had a $[Principal amount of notes] beneficial ownership interest in the above referenced Securities. 
 3.
[Name of Representative] is [deceased Beneficial Owner’s personal representative/other person authorized to represent the estate of the Beneficial Owner/surviving joint tenant/surviving tenant by the entirety/trustee of a trust] of [Name of
deceased Beneficial Owner] and has delivered to the undersigned a request for redemption in form satisfactory to the Participant, requesting that $[Principal amount of notes] principal amount of said Securities be redeemed pursuant to said
Indenture. The documents accompanying such request, all of which are in proper form, are in all respects satisfactory to the Participant and [Name of Representative] is entitled to have the Securities to which this request (the “Request”)
relates redeemed. 
 4. The Participant holds the interest in the Securities with respect to which this Request is being made on
behalf of [Name of deceased Beneficial Owner]. 
 5. The Participant hereby certifies that it will indemnify and hold harmless
the Depositary, the Trustee and the Company (including their respective officers, directors, agents, attorneys and employees) against all damages, loss, cost, expense (including reasonable attorneys’ and accountants’ fees), obligations,
claims or liability (collectively, the “Damages”) incurred by the indemnified party or parties as a result of or in connection with the redemption of Securities to which this Request relates. The Participant will, at the request of the
Company, forward to the Company a copy of the documents submitted by [Name of Representative] in support of this Request. 
 IN
WITNESS WHEREOF, the undersigned has executed this Request as of [Date]. 
  

			
	[ Name of Participant]
		
	 By:
	 	
 

			
	 Name:
	 	[Name]

			
	 Title:
	 	[Title]

  
 -44-

 SECTION 204. Form of Legend for Securities. 

Unless otherwise specified as contemplated by Section 301 for the Securities evidenced thereby, every Security that is a Global
Security, a Restricted Security or a Regulation S Security authenticated and delivered hereunder shall bear one or more of the appropriate legends in substantially the following forms, as applicable: 

[If the Security is a Restricted Security or a Temporary Regulation S Security, then insert 

THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS
SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH
REGISTRATION. 
 THE HOLDER OF THIS SECURITY BY ITS ACCEPTANCE HEREOF AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR
ACCOUNT FOR WHICH IT HAS PURCHASED SECURITIES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”) THAT IS TWO YEARS AFTER THE LATER OF THE LAST DATE OF ISSUANCE OF ANY
SECURITY OF THIS SERIES AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR SECURITY), ONLY (1) (A) TO THE COMPANY, (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS
BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE 144A”), TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A
“QUALIFIED INSTITUTIONAL BUYER” WITHIN THE MEANING OF RULE 144A THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
(D) PURSUANT TO OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT, (E) TO AN “ACCREDITED INVESTOR” WITHIN THE MEANING OF RULE 501(A)(1), (2), (3) OR (7) OF
REGULATION D UNDER THE SECURITIES ACT IN A TRANSACTION EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OR (F) PURSUANT TO ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE
COMPANY’S AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF ANY OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM AND
(2) IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES AND OTHER JURISDICTIONS. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.] 

  
 -45-

 [Include if Security is a Temporary Regulation S Global Security - THIS SECURITY IS A
TEMPORARY REGULATION S GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE REFERRED TO HEREINAFTER. EXCEPT IN THE CIRCUMSTANCES DESCRIBED IN SECTION 305(b) OF THE INDENTURE, NO TRANSFER OR EXCHANGE OF AN INTEREST IN THIS TEMPORARY GLOBAL SECURITY
MAY BE MADE FOR AN INTEREST IN THE RULE 144A GLOBAL SECURITY. NO EXCHANGE OF AN INTEREST IN THIS TEMPORARY GLOBAL SECURITY MAY BE MADE FOR AN INTEREST IN THE PERMANENT REGULATION S GLOBAL SECURITY EXCEPT ON OR AFTER THE TERMINATION OF THE
DISTRIBUTION COMPLIANCE PERIOD AND UPON DELIVERY OF THE OWNER SECURITIES CERTIFICATION AND THE DEPOSITORY SECURITIES CERTIFICATION RELATING TO SUCH INTEREST IN ACCORDANCE WITH THE TERMS OF THE INDENTURE.] 

[If the Security is a Regulation S Security, then insert - THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE OFFERED, SOLD, OR DELIVERED IN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, ANY U.S. PERSON, UNLESS THIS SECURITY IS REGISTERED UNDER THE SECURITIES ACT OR AN
EXEMPTION FROM THE REGISTRATION REQUIREMENTS THEREOF IS AVAILABLE. 
 [If the Security is a Global Security, then insert
- THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS SECURITY MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED,
AND NO TRANSFER OF THIS SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A NOMINEE THEREOF, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.] 

[If the Security is a Global Security and DTC is to be the Depositary therefor, then insert - UNLESS THIS CERTIFICATE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE COMPANY 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.] 
 SECTION 205. Form of Trustee’s Certificate of Authentication. 
 The
Trustee’s certificates of authentication shall be in substantially the following form: 
 This is one of the Securities of
the series designated herein and referred to in the within-mentioned Indenture. 

  
 -46-

 WELLS FARGO BANK, NATIONAL ASSOCIATION, 

As Trustee 
  

			
	By	 	  

		 	Authorized Signatory
	
	 Dated:

 ARTICLE THREE 
 THE SECURITIES 

SECTION 301. Amount Unlimited; Issuable in Series. 
 The aggregate principal amount of Securities which may be authenticated and delivered under this Indenture is unlimited. 
 The Securities may be issued in one or more series. There shall be established in or pursuant to a Board Resolution and, subject to Section 303, set forth, or determined in the manner provided, in an
Officers’ Certificate, or established in one or more indentures supplemental hereto, prior to the issuance of Securities of any series, 
 (1) the title of the Securities of the series (which shall distinguish the Securities of that particular series from the Securities of any other series); 

(2) any limit upon the aggregate principal amount of the Securities of the series which may be authenticated and delivered
under this Indenture (except for Securities authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Securities of the series pursuant to Section 304, 305, 306, 906 or 1107 and except for any
Securities which, pursuant to Section 303, are deemed never to have been authenticated and delivered hereunder); 
 (3) the Person to whom any interest on a Security of the series shall be payable, if other than the Person in whose name that Security (or one or more Predecessor Securities) is registered at the close of
business on the Regular Record Date for such interest; 
 (4) the date or dates on which the principal and
premium of any Securities of the series are payable; 
 (5) the rate or rates (which may be fixed or variable) at
which any Securities of the series shall bear interest (if any), or the method of determining such rate or rates, the date or dates from which any such interest shall accrue, the Interest Payment Dates on which any such interest shall be payable,
and the Regular Record Date for any such interest payable on any Interest Payment Date; 
 (6) the period or
periods within which, the price or prices at which and the terms and conditions upon which any Securities of the series may be redeemed, in whole or in part, at the option of the Company (including without limitation the number of basis

  
 -47-

 
points specified for such series for purposes of determining any Make-Whole Amount in respect thereof, and any Reference Treasury Dealers for such series) and, if other than by a Board
Resolution, the manner in which any election by the Company to redeem the Securities shall be evidenced; 
 (7)
the obligation, if any, of the Company to redeem or purchase any Securities of the series at the option of the Holder thereof, or at the option of any other person, and the period or periods within which, the price or prices at which and the terms
and conditions upon which any Securities of the series shall be redeemed or purchased, in whole or in part, pursuant to such obligation; 
 (8) if other than the currency of the United States of America, the currency, currencies or currency units in which the principal of or any premium or interest on any Securities of the series shall be
payable and the manner of determining the equivalent thereof in the currency of the United States of America for any purpose, and such other or additional provisions (including, without limitation, in respect of defeasance and covenant defeasance)
as shall be necessary and desirable in connection therewith; 
 (9) if other than the entire principal amount
thereof, the portion of the principal amount of any Securities of the series which shall be payable upon declaration of acceleration of the Maturity thereof pursuant to Section 502; 

(10) if the principal amount payable at the Stated Maturity of any Securities of the series will not be determinable as of
any one or more dates prior to the Stated Maturity, the amount which shall be deemed to be the principal amount of such Securities as of any such date for any purpose thereunder or hereunder, including the principal amount thereof which shall be due
any payable upon any Maturity other than the Stated Maturity or which shall be deemed to be Outstanding as of any date prior to the Stated Maturity (or, in any such case, the manner in which such amount deemed to be the principal amount shall be
determined); 
 (11) if applicable, that any Securities of the series shall be issuable in whole or in part in
the form of one or more Global Securities and, in such case, the respective Depositaries for such Global Securities, which shall be DTC if no Depositary is specified, the form of any legend or legends which shall be borne by any such Global Security
in addition to or in lieu of that set forth in Section 204, whether such Global Securities shall be in the form of Registered Securities, Restricted Securities or Regulation S Securities and any circumstances in addition to or in lieu of those
set forth in Clause (2) of the last paragraph of Section 305(a) in which any such Global Security may be exchanged in whole or in part for Securities registered, and any transfer of such Global Security in whole or in part may be
registered, in the name or names of Persons other than the Depositary for such Global Security or a nominee thereof; 
 (12) the terms, if any, upon which the Securities of the series may be convertible into or exchanged for the Company’s other debt securities or other securities of any kind and the terms and
conditions upon which such conversion or exchange shall be effected, including the initial conversion or exchange price or rate, the conversion or exchange period and any other additional provisions; 

  
 -48-

 (13) if other than denominations of $1,000 and any integral multiple
thereof, the denominations in which the Securities of the series shall be issuable; 
 (14) if the amount of
principal, premium or interest with respect to the Securities of the series may be determined with reference to an index or pursuant to a formula, the manner in which such amounts will be determined; 

(15) any changes or additions to Article 13; 

(16) the terms, if any, of the transfer, mortgage, pledge or assignment as security for the Securities of the series of
any properties, assets, moneys, proceeds, securities or other collateral, including whether certain provisions of the Trust Indenture Act are applicable and any corresponding changes to provisions of this Indenture as then in effect; 

(17) any addition to or change in the Events of Default with respect to any Securities of the series and any change in the
right of the Trustee or the Holders of such series of Securities to declare the principal, premium and interest, if any, on such series of Securities due and payable pursuant to Section 502; 

(18) any Trustee, authenticating agent, Paying Agent, transfer agent or Registrar; 

(19) the applicability of, and any addition to or change in, the covenants and definitions set forth in Article 8 or 10
which applies to Securities of the series; 
 (20) the subordination, if any, of the Securities of the series
pursuant to this Indenture and any changes or additions to the provisions of this Indenture then in effect; 

(21) with regard to Securities of the series that do not bear interest, the dates for certain required reports to the
Trustee; and 
 (22) any other terms of the series (which terms shall not be inconsistent with the provisions of
this Indenture, except as permitted by Section 901(6)). 
 All Securities of any one series need not be issued at the same
time and may be issued from time to time, consistent with the terms of this Indenture, if so provided by or pursuant to the Board Resolution, supplemental indenture or Officers’ Certificate referred to above. 

SECTION 302. Denominations. 
 The Securities of each series shall be issuable only in registered form without coupons and only in denominations of $1,000 and integral multiples of $1,000. 

SECTION 303. Execution, Authentication, Delivery and Dating. 

The Securities shall be executed on behalf of the Company by its Chief Executive Officer, President, Chief Financial Officer or one of its
Vice Presidents. The signature of any of these officers on the Securities may be manual or facsimile. 

  
 -49-

 Securities bearing the manual or facsimile signatures of individuals who were at any time
the proper officers of the Company shall bind the Company, notwithstanding that such individuals or any of them have ceased to hold such offices prior to the authentication and delivery of such Securities or did not hold such offices at the date of
such Securities. 
 At any time and from time to time after the execution and delivery of this Indenture, the Company may
deliver Securities of any series executed by the Company to the Trustee for authentication, together with a Company Order for the authentication and delivery of such Securities, and the Trustee in accordance with the Company Order shall authenticate
and deliver such Securities. If the form or terms of the Securities of the series have been established by or pursuant to one or more Board Resolutions as permitted by Sections 201 and 301, in authenticating such Securities, and accepting the
additional responsibilities under this Indenture in relation to such Securities, the Trustee shall receive, and (subject to Section 601) shall be fully protected in relying upon, an Opinion of Counsel stating, 

(1) if the form of such Securities has been established by or pursuant to Board Resolution as permitted by
Section 201, that such form has been established in conformity with the provisions of this Indenture; 
 (2)
if the terms of such Securities have been established by or pursuant to Board Resolution as permitted by Section 301, that such terms have been established in conformity with the provisions of this Indenture; and 

(3) that such Securities, when authenticated and delivered by the Trustee and issued by the Company in the manner and
subject to any conditions specified in such Opinion of Counsel, will constitute valid and legally binding obligations of the Company enforceable in accordance with their terms, subject to bankruptcy, insolvency, fraudulent transfer, reorganization,
moratorium and similar laws of general applicability relating to or affecting creditors’ rights and to general equity principles. 
 If
such form or terms have been so established, the Trustee shall not be required to authenticate such Securities if the issue of such Securities pursuant to this Indenture will affect the Trustee’s own rights, duties or immunities under the
Securities and this Indenture or otherwise in a manner which is not reasonably acceptable to the Trustee. 
 Notwithstanding the
provisions of Section 301 and of the preceding paragraph, in the case of any Additional Securities or Exchange Securities of a series, it shall not be necessary to deliver the Officers’ Certificate otherwise required pursuant to
Section 301 or the Company Order and Opinion of Counsel otherwise required pursuant to such preceding paragraph at or prior to the authentication of each Additional Security or Exchange Security of such series if such documents are delivered at
or prior to the authentication upon original issuance of the first Original Security of such series to be issued. 
 Each
Security shall be dated the date of its authentication. 
 No Security shall be entitled to any benefit under this Indenture or
be valid or obligatory for any purpose unless there appears on such Security a certificate of authentication substantially in the form provided for herein executed by the Trustee by manual signature, and such certificate upon any Security shall be
conclusive evidence, and the only evidence, that such Security has been duly authenticated and delivered hereunder. Notwithstanding the foregoing, if any Security 

  
 -50-

 
shall have been authenticated and delivered hereunder but never issued and sold by the Company, and the Company shall deliver such Security to the Trustee for cancellation as provided in
Section 309, for all purposes of this Indenture such Security shall be deemed never to have been authenticated and delivered hereunder and shall never be entitled to the benefits of this Indenture. 

Holders of the Securities and the Trustee are entitled to the benefits of the Support Agreement available to Lenders (as defined in the
Support Agreement), it being understood and agreed that the Securities constitute Debt (as defined in the Support Agreement) for purposes of the Support Agreement. 
 SECTION 304. Temporary Securities. 
 Pending the preparation of definitive
Securities of any series, the Company may execute, and upon Company Order the Trustee shall authenticate and deliver, temporary Securities which are printed, lithographed, typewritten, mimeographed or otherwise produced, in any authorized
denomination, substantially of the tenor of the definitive Securities in lieu of which they are issued and with such appropriate insertions, omissions, substitutions and other variations as the officers executing such Securities may determine, as
evidenced by their execution of such Securities. 
 If temporary Securities of any series are issued, the Company will cause
definitive Securities of that series to be prepared without unreasonable delay. After the preparation of definitive Securities of such series, the temporary Securities of such series shall be exchangeable for definitive Securities of such series
upon surrender of the temporary Securities of such series at the office or agency of the Company in the Place of Payment for that series, without charge to the Holder. Upon surrender for cancellation of any one or more temporary Securities of any
series, the Company shall execute and the Trustee shall authenticate and deliver in exchange therefor one or more definitive Securities of the same series, of any authorized denominations and of like tenor and aggregate principal amount. Until so
exchanged, the temporary Securities of any series shall in all respects be entitled to the same benefits under this Indenture as definitive Securities of such series and tenor. 

SECTION 305. Registration, Registration of Transfer and Exchange; Certain Transfers and Exchanges. 

(a) Registration, Restriction of Transfer and Exchange, Generally. The Company shall cause to be kept at the Corporate Trust Office
of the Trustee a register (the register maintained in such office and in any other office or agency of the Company in the Place of Payment being herein sometimes collectively referred to as the “Security Register”) in which, subject
to such reasonable regulations as it may prescribe, the Company shall provide for the registration of Securities and of transfers of Securities. The Trustee is hereby appointed “Security Registrar” for the purpose of registering
Securities and transfers of Securities as herein provided. 
 Upon surrender for registration of transfer of any Security of a
series at the office or agency of the Company in the Place of Payment for that series, the Company shall execute, and the Trustee shall authenticate and deliver, in the name of the designated transferee or transferees, one or more new Securities of
the same series, of any authorized denominations and of like tenor and aggregate principal amount. 

  
 -51-

 Subject to this Section 305(a) and Section 305(b), at the option of the Holder,
Securities of any series may be exchanged for other Securities of the same series, of any authorized denominations and of like tenor and aggregate principal amount, upon surrender of the Securities to be exchanged at such office or agency. Whenever
any Securities are so surrendered for exchange, the Company shall execute, and the Trustee shall authenticate and deliver, the Securities which the Holder making the exchange is entitled to receive. 

All Securities issued upon any registration of transfer or exchange of Securities shall be the valid obligations of the Company,
evidencing the same debt, and entitled to the same benefits under this Indenture, as the Securities surrendered upon such registration of transfer or exchange. 
 Every Security presented or surrendered for registration of transfer or for exchange shall (if so required by the Company or the Trustee) be duly endorsed, or be accompanied by a written instrument of
transfer in form satisfactory to the Company and the Security Registrar duly executed, by the Holder thereof or his attorney duly authorized in writing. 
 Successive registrations and registrations of transfers and exchanges as aforesaid may be made from time to time as desired, and each such registration shall be noted on the Security Register. No service
charge shall be made for any registration of transfer or exchange of Securities, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any registration of
transfer or exchange of Securities, other than exchanges pursuant to Section 304, 906 or 1107 not involving any transfer. 

If the Securities of any series (or of any series and specified tenor) are to be redeemed in part, the Company shall not be required
(A) to issue, register the transfer of or exchange any Securities of that series (or of that series and specified tenor, as the case may be) during a period beginning at the opening of business 15 days before the day of the mailing of a notice
of redemption of any such Securities selected for redemption under Section 1103 and ending at the close of business on the day of such mailing, or (B) to register the transfer of or exchange any Security so selected for redemption in whole
or in part, except the unredeemed portion of any Security being redeemed in part. 
 The provisions of Clauses (1), (2), (3),
(4) and (5) below shall apply only to Global Securities: 
 (1) Each Global Security authenticated
under this Indenture shall be registered in the name of the Depositary designated for such Global Security or a nominee thereof and delivered to such Depositary or a nominee thereof or custodian therefor, and each such Global Security shall
constitute a single Security for all purposes of this Indenture. 
 (2) Notwithstanding any other provision in
this Indenture or the Securities, no Global Security of any series may be exchanged in whole or in part for Securities of that series registered, and no transfer of a Global Security of a series in whole or in part may be registered, in the name of
any Person other than the Depositary for such Global Security or a nominee thereof unless (A) such Depositary (i) has notified the Company that it is unwilling or unable to continue as Depositary for such Global Security or (ii) has
ceased to be a clearing agency registered under the Exchange Act, or in the case of a 

  
 -52-

 
Global note held for an account of Euroclear or Clearstream, as the case may be, Euroclear or Clearstream, as the case may be case may be, (y) is closed for business for a continuous period
of 14 days (other than by reason of statutory or other holidays) or (z) announces an intention permanently to cease business or does in fact do so, or (B) there shall have occurred and be continuing an Event of Default with respect to such
Global Security. 
 (3) Subject to Clause (2) above, any exchange of a Global Security of a series for other
Securities of that series may be made in whole or in part, and all Securities issued in exchange for a Global Security of a series or any portion thereof shall be registered in such names as the Depositary for such Global Security shall direct and
shall bear any legends required hereunder. 
 (4) Every Security authenticated and delivered upon registration of
transfer of, or in exchange for or in lieu of, a Global Security or any portion thereof, whether pursuant to this Section, Section 304, 306, 906 or 1107 or otherwise, shall be authenticated and delivered in the form of, and shall be, a Global
Security, unless such Security is registered in the name of a Person other than the Depositary for such Global Security or a nominee thereof. 
 (5) Subject to Section 1108, no Agent Members nor any other Persons on whose behalf Agent Members may act (including Euroclear and Clearstream and account holders and participants therein and any
holder or owner of any beneficial interest in any Global Security) shall have any rights under this Indenture with respect to any Global Security, or under any Global Security, and the Depositary or such nominee, as the case may be, may be treated
by the Company, the Trustee and any agent of the Company or the Trustee as the absolute owner and holder of such Global Security for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Company, the Trustee or any
agent of the Company or the Trustee from giving effect to any written certification, proxy or other authorization furnished by the Depositary or such nominee, as the case may be, or impair, as between the Depositary, its Agent Members and any other
person on whose behalf an Agent Member may act, the operation of customary practices of such Persons governing the exercise of the rights of a holder of any Security. Neither the Company, the Trustee nor the Securities Registrar shall have any
liability in respect of any transfers effected by the Depositary or by any Agent Member or any other Person that acquires a beneficial interest in a Security. Neither the Trustee nor the Depositary shall have any duty or obligation to monitor
compliance with any restrictions on transfer with respect to the transfer of any interest in the Securities (including transfers between Agent Members or any such other Persons that acquire a beneficial interest in a Security) other than to require
delivery of any documents or certificates specifically required by this Indenture. 
 (b) Certain Transfers and
Exchanges. Notwithstanding any other provision of this Indenture or the Securities, transfers and exchanges of Securities and beneficial interests in a Global Security of the kinds specified in this Section 305(b) shall be made only in
accordance with this Section 305(b). 
 (i) Limitation on Transfers of a Global Security. A Global Security of a
series may not be transferred, in whole or in part, to any Person other than DTC or a nominee thereof, and no 

  
 -53-

 
such transfer to any such other Person may be registered; provided that this clause (i) shall not prohibit any transfer of a Security of a series that is issued in exchange for a
Global Security of that series but is not itself a Global Security pursuant to Section 305(a). No transfer of a Security of a series to any Person shall be effective under this Indenture or the Securities unless and until such Security has been
registered in the name of such Person. Nothing in this Section 305(b)(i) shall prohibit or render ineffective any transfer of a beneficial interest in a Global Security effected in accordance with the other provisions of this
Section 305(b). 
 (ii) Temporary Regulation S Global Security. If the owner of a beneficial interest in a Temporary
Regulation S Global Security of a series wishes at any time to transfer such interest to a Person who wishes to take delivery thereof in the form of a beneficial interest in such Temporary Regulation S Global Security, such transfer may be effected,
subject to the rules and procedures of the Depositary, Euroclear and Clearstream, in each case to the extent applicable and as in effect from time to time (the “Applicable Procedures”), only in accordance with this
Section 305(b)(ii). Upon delivery (a) by a beneficial owner of an interest in a Temporary Regulation S Global Security to Euroclear or Clearstream, as the case may be, of an Owner Securities Certification substantially in the form of
Annex C-1 hereto, (b) by the transferee of such beneficial interest in the Temporary Regulation S Global Security to Euroclear or Clearstream, as the case may be, of a written certification (a “Transferee Securities
Certification”) substantially in the form of Annex C-3 hereto and (c) by Euroclear or Clearstream, as the case may be, to the Trustee, as Security Registrar, of a Depository Securities Certification substantially in the form of
Annex C-2 hereto, the Trustee may direct either Euroclear or Clearstream, as the case may be, to reflect on its records the transfer of a beneficial interest in the Temporary Regulation S Global Security from the beneficial owner providing
the Owner Securities Certification to the Person providing the Transferee Securities Certification. 
 (iii) Rule 144A Global
Security to Temporary Regulation S Global Security. If the holder of a beneficial interest in the Rule 144A Global Security wishes at any time to transfer such interest to a Person who wishes to take delivery thereof in the form of a beneficial
interest in the Temporary Regulation S Global Security, such transfer may be effected, subject to the Applicable Procedures, only in accordance with the provisions of this Section 305(b)(iii). Upon receipt by the Trustee, as Security Registrar,
of (A) written instructions given in accordance with the Applicable Procedures from a Agent Member directing the Trustee to credit or cause to be credited to a specified Agent Member’s account a beneficial interest in the Temporary
Regulation S Global Security in a principal amount equal to that of the beneficial interest in the Rule 144A Global Security to be so transferred, (B) a written order given in accordance with the Applicable Procedures containing information
regarding the account of the Agent Member (and the Euroclear or Clearstream account, as the case may be) to be credited with, and the account of the Agent Member to be debited for, such beneficial interest and (C) a certificate in substantially
the form set forth in Annex A-1 given by the holder of such beneficial interest, the Trustee, as Security Registrar, shall instruct the Depositary to reduce the principal amount of the applicable Rule 144A Global Security, and to increase the
principal amount of the Temporary Regulation S Global Security, by the principal amount of the beneficial interest in the Rule 144A Global Security to be so transferred, and to credit or cause to be credited to the account of the Person specified in
such instructions (which shall be the Agent Member for Euroclear or Clearstream or both, as the case may be) a beneficial interest in the Temporary Regulation S Global Security having a principal amount equal to the amount by which the principal
amount of the Rule 144A Global Security was reduced upon such transfer. 

  
 -54-

 (iv) Rule 144A Global Security to Permanent Regulation S Global Security. If the
holder of a beneficial interest in a Rule 144A Global Security wishes at any time to transfer such interest to a Person who wishes to take delivery thereof in the form of a beneficial interest in the Permanent Regulation S Global Security, such
transfer may be effected, subject to the Applicable Procedures, only in accordance with this Section 305(b)(iv). Upon receipt by the Trustee, as Security Registrar, of (A) written instructions given in accordance with the Applicable
Procedures from an Agent Member directing the Trustee to credit or cause to be credited to a specified Agent Member’s account a beneficial interest in a Permanent Regulation S Global Security in a principal amount equal to that of the
beneficial interest in the Rule 144A Global Security to be so transferred, (B) a written order given in accordance with the Applicable Procedures containing information regarding the account of the Agent Member (and, if applicable, the
Euroclear or Clearstream account, as the case may be) to be credited with, and the account of the Agent Member to be debited for, such beneficial interest and (C) a certificate in substantially the form set forth in Annex A-2 given by
the holder of such beneficial interest, the Trustee, as Security Registrar, shall instruct the Depositary to reduce the principal amount of the applicable Rule 144A Global Security, and to increase the principal amount of the Permanent Regulation S
Global Security, by the principal amount of the beneficial interest in the Rule 144A Global Security to be so transferred, and to credit or cause to be credited to the account of the Person specified in such instructions a beneficial interest in the
Permanent Regulation S Global Security having a principal amount equal to the amount by which the principal amount of the Rule 144A Global Security was reduced upon such transfer. 

(v) Temporary Regulation S Global Security or Permanent Regulation S Global Security to Rule 144A Global Security. If the holder
of a beneficial interest in a Temporary Regulation S Global Security or a Permanent Regulation S Global Security wishes at any time to transfer such interest to a Person who wishes to take delivery thereof in the form of a beneficial interest in the
Rule 144A Global Security, such transfer may be effected, subject to the Applicable Procedures, only in accordance with this Section 305(b)(v). Upon receipt by the Trustee, as Security Registrar, of (A) written instructions given in
accordance with the Applicable Procedures from an Agent Member directing the Trustee to credit or cause to be credited to a specified Agent Member’s account a beneficial interest in a Rule 144A Global Security in a principal amount equal to
that of the beneficial interest in the Temporary Regulation S Global Security or the Permanent Regulation S Global Security to be so transferred, (B) a written order given in accordance with the Applicable Procedures containing information
regarding the account of the Agent Member to be credited with, and the account of the Agent Member (and, if applicable, the Euroclear or Clearstream account, as the case may be) to be debited for, such beneficial interest and (C) a certificate
in substantially the form set forth in Annex B given by the owner of such beneficial interest, the Trustee, as Security Registrar, shall instruct the Depositary to reduce the principal amount of the applicable Temporary Regulation S Global
Security or the Permanent Regulation S Global Security, as the case may be, and to increase the principal amount of the Rule 144A Global Security, by the principal amount of the beneficial interest in the Temporary Regulation S Global Security or
the Permanent Regulation S Global Security to be so transferred, and to credit or cause to be credited to the account of the Person specified in such instructions a beneficial interest in the Rule 144A Global Security having a principal amount equal
to the amount by which the principal amount of the Temporary Regulation S Global Security or the Permanent Regulation S Global Security, as the case may be, was reduced upon such transfer. 

(vi) Non Global Restricted Security to Global Security. If the Holder of a Restricted Security (other than a Global Security)
wishes at any time to transfer all or a portion of such 

  
 -55-

 
Security to a Person who wishes to take delivery thereof in the form of a beneficial interest in the Rule 144A Global Security, the Temporary Regulation S Global Security or the Permanent
Regulation S Global Security, in each case, such transfer may be effected, subject to the Applicable Procedures, only in accordance with this Section 305(b)(vi). Upon receipt by (1) the Depositary of (A) written instructions given in
accordance with the Applicable Procedures from an Agent Member directing the Depositary to credit or cause to be credited to a specified Agent Member’s account a beneficial interest in the Rule 144A Global Security, the Temporary Regulation S
Global Security or the Permanent Regulation S Global Security, as the case may be, in a specified principal amount equal to the principal amount of the Restricted Security (or portion thereof) to be so transferred, (B) a written order given in
accordance with the Applicable Procedures containing information regarding the account of the Agent Member (and, in the case of any transfer pursuant to Regulation S, the Euroclear and Clearstream account for which such Agent Member’s account
is held, or if such account is held for Euroclear or Clearstream, the Euroclear or Clearstream account, as the case may be) to be credited with such beneficial interest, and (C) an appropriately completed certificate substantially in the form
set forth in Annex D-1 hereto, if the specified account is to be credited with a beneficial interest in a Rule 144A Global Security, or Annex D-2 hereto, if the specified account is to be credited with a beneficial interest in the
Temporary Regulation S Global Security or the Permanent Regulation S Global Security, given by the holder of such beneficial interest, and (2) the Trustee of (A) the Restricted Security to be so transferred, (B) the notification from
the Depositary of the transaction described in (1) above and (C) the certificate described in (1)(C) above, the Trustee, as Security Registrar, shall cancel such Restricted Security (and issue a new Security in respect of any
untransferred portion thereof) as provided in Section 305(a) and increase the principal amount of the Rule 144A Global Security, Temporary Regulation S Global Security or Permanent Regulation S Global Security, as the case may be, by the
specified principal amount as provided in Section 305(b)(iii). 
 The Trustee shall not be required to accept for such
registration of transfer or exchange any Restricted Security unless the Trustee and the Company are satisfied that such transfer or exchange is being effected in compliance with the restrictions on transfer as set forth in this Indenture and in such
Security. 
 (vii) Other Exchanges. (1) In the event that a Global Security or any portion thereof is exchanged for
Securities other than Global Securities, such other Securities may in turn be exchanged (on transfer or otherwise) for Securities that are not Global Securities or for beneficial interests in a Global Security (if any is then outstanding) only in
accordance with such procedures, which shall be substantially consistent with the provisions of clauses (i) through (vi) above and (viii) below (including the certification requirements intended to insure that transfers and exchanges
of beneficial interests in a Global Security comply with Rule 144A, Rule 144 (if available) or Regulation S, as the case may be) and any Applicable Procedures, as may be from time to time adopted by the Company and the Trustee; provided that
except as permitted in (3) hereof, no beneficial interest in a Temporary Regulation S Global Security shall be exchangeable for a definitive Security until the expiration of the Restricted Period and then only if the certifications described in
Section 201 shall have been provided in respect of such interest. 
 (2) Notwithstanding any other provision of this
Section 305, an initial purchaser named as such in the Purchase Agreement in respect of the Securities of a series may exchange beneficial interests in the Temporary Regulation S Global Securities of that series held by it for one or more
Restricted Securities of that series (including an interest in the Rule 144A Global Security of that series) upon delivery by such initial purchaser of instructions for such exchange 

  
 -56-

 
substantially in the form of Annex E. Upon receipt of the instruction described in the preceding sentence, the Trustee shall instruct the Depositary to reduce the principal amount of a
Temporary Regulation S Global Security by the principal amount of the beneficial interest in such Temporary Regulation S Global Security to be so transferred and either (A) the Trustee shall instruct the Depositary to increase the principal
amount of the Rule 144A Global Security and credit or cause to be credited to the account of such initial purchaser a beneficial interest in such Rule 144A Global Security having a principal amount equal to the amount by which the principal amount
of the Temporary Regulation S Global Security was reduced upon such transfer or (B) authenticate and deliver one or more Restricted Securities in definitive form and in the aggregate principal amount of the beneficial interest in the Temporary
Regulation S Global Security to be so transferred, pursuant to the instructions described in the first sentence of this paragraph. 
 (viii) Interests in Temporary Regulation S Global Security to be Held Through Euroclear or Clearstream. Until the termination of the Restricted Period, interests in the Temporary Regulation S
Global Securities may be held only through Agent Members acting for and on behalf of Euroclear and Clearstream, provided that this clause (viii) shall not prohibit any transfer in accordance with Section 305(b)(v) hereof.

 (ix) In addition to the foregoing, the Trustee, as Security Registrar, shall effect and register, upon receipt of a written
request from the Company to do so, a transfer not otherwise permitted by this Section 305(b), such registration to be done in accordance with the otherwise applicable provisions of this Section 305, upon the furnishing by the proposed
transferor or transferee of a written opinion of counsel (which opinion and counsel are satisfactory to the Company and the Trustee) to the effect that, and such other certifications or information as the Company or the Trustee may require to
confirm that, the proposed transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. The Company may require such transfer to be effected by the issuance of
certificated Securities. 
 (c) Securities Act Legends. Restricted Securities and their Successor Securities shall bear
the legends required by Sections 202 and 204, subject to the following: 
 (i) subject to the following Clauses of this
Section 305(c), a Security of a series or any portion thereof which is exchanged, upon transfer or otherwise, for a Global Security of that series or any portion thereof shall bear the Securities Act Legend borne by such Global Security while
represented thereby; 
 (ii) subject to the following Clauses of this Section 305(c), a new Security of a series which is
not a Global Security and is issued in exchange for another Security of that series (including a Global Security) or any portion thereof, upon transfer or otherwise, shall bear the Securities Act Legend borne by such other Security, provided
that, if such new Security is required pursuant to Section 305(b)(v) to be issued in the form of a Restricted Security, it shall bear a Restricted Securities Legend and, if such new Security is so required to be issued in the form of a
Regulation S Security, it shall bear a Regulation S Legend; 
 (iii) Registered Securities and Regulation S Securities that are
not Temporary Regulations S Securities shall not bear a Securities Act Legend; 

  
 -57-

 (iv) at any time after the Securities of a series may be freely transferred without
registration under the Securities Act or without being subject to transfer restrictions pursuant to the Securities Act, a new Security of that series which does not bear a Securities Act Legend may be issued in exchange for or in lieu of a Security
of that series (other than a Global Security) or any portion thereof which bears such a legend if the Trustee has received an Unrestricted Securities Certificate, satisfactory to the Trustee and duly executed by the Holder of such legended Security
or his attorney duly authorized in writing, and after such date and receipt of such certificate, the Trustee shall authenticate and deliver such a new Security in exchange for or in lieu of such other Security as provided in this Article Three;

 (v) a new Security of a series which does not bear a Securities Act Legend may be issued in exchange for or in lieu of a
Security of that series (other than a Global Security) or any portion thereof which bears such a legend if, in the Company’s judgment, placing such a legend upon such new Security is not necessary to ensure compliance with the registration
requirements of the Securities Act, and the Trustee, at the direction of the Company, shall authenticate and deliver such a new Security as provided in this Article Three; and 
 (vi) notwithstanding the foregoing provisions of this Section 305(c), a Successor Security of a Security of a series that does not bear a particular form of Securities Act Legend shall not bear such
form of legend unless the Company has reasonable cause to believe that such Successor Security is a “restricted security” within the meaning of Rule 144 under the Securities Act, in which case the Trustee, at the direction of the Company,
shall authenticate and deliver a new Security of that series bearing a Restricted Securities Legend in exchange for such Successor Security as provided in this Article Three. 
 SECTION 306. Mutilated, Destroyed, Lost and Stolen Securities. 
 If any
mutilated Security is surrendered to the Trustee, the Company shall execute and the Trustee shall authenticate and deliver in exchange therefor a new Security of the same series and of like tenor and principal amount and bearing a number not
contemporaneously outstanding. 
 If there shall be delivered to the Company and the Trustee (i) evidence to their
satisfaction of the destruction, loss or theft of any Security and (ii) such security or indemnity as may be required by them to save each of them and any agent of either of them harmless, then, in the absence of notice to the Company or the
Trustee that such Security has been acquired by a bona fide purchaser, the Company shall execute and the Trustee shall authenticate and deliver, in lieu of any such destroyed, lost or stolen Security, a new Security of the same series and of like
tenor and principal amount and bearing a number not contemporaneously outstanding. 
 In case any such mutilated, destroyed,
lost or stolen Security has become or is about to become due and payable, the Company in its discretion may, instead of issuing a new Security, pay such Security. 
 Upon the issuance of any new Security under this Section, the Company may require the payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and
any other expenses (including the fees and expenses of the Trustee) connected therewith. 
 Every new Security of any series
issued pursuant to this Section in lieu of any destroyed, lost or stolen Security shall constitute an original additional contractual obligation of the 

  
 -58-

 
Company, whether or not the destroyed, lost or stolen Security shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Securities of that series duly issued hereunder. 
 The provisions of this Section are exclusive and
shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement or payment of mutilated, destroyed, lost or stolen Securities. 
 SECTION 307. Payment of Interest; Interest Rights Preserved. 
 Interest on
any Security which is payable, and is punctually paid or duly provided for, on any Interest Payment Date shall be paid to the Person in whose name that Security (or one or more Predecessor Securities) is registered at the close of business on the
Regular Record Date for such interest. 
 Any interest on any Security of any series which is payable, but is not punctually
paid or duly provided for, on any Interest Payment Date (herein called “Defaulted Interest”) shall forthwith cease to be payable to the Holder on the relevant Regular Record Date by virtue of having been such Holder, and such
Defaulted Interest may be paid by the Company, at its election in each case, as provided in Clause (1) or (2) below: 
 (1) The Company may elect to make payment of any Defaulted Interest to the Persons in whose names the Securities of such series (or their respective Predecessor Securities) are registered at the close of
business on a Special Record Date for the payment of such Defaulted Interest, which shall be fixed in the following manner. The Company shall notify the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each Security of
such series and the date of the proposed payment, and at the same time the Company shall deposit with the Trustee an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements
satisfactory to the Trustee for such deposit prior to the date of the proposed payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this Clause provided. Thereupon the
Trustee shall fix a Special Record Date for the payment of such Defaulted Interest which shall be not more than 15 days and not less than 10 days prior to the date of the proposed payment and not less than 10 days after the receipt by the Trustee of
the notice of the proposed payment. The Trustee shall promptly notify the Company of such Special Record Date and, in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the Special
Record Date therefor to be given to each Holder of Securities of such series in the manner set forth in Section 106, not less than 10 days prior to such Special Record Date. Notice of the proposed payment of such Defaulted Interest and the
Special Record Date therefor having been so mailed, such Defaulted Interest shall be paid to the Persons in whose names the Securities of such series (or their respective Predecessor Securities) are registered at the close of business on such
Special Record Date and shall no longer be payable pursuant to the following Clause (2). 
 (2) The Company may
make payment of any Defaulted Interest on the Securities of any series in any other lawful manner not inconsistent with the requirements of any securities exchange on which such Securities may be listed, and upon such notice

  
 -59-

 
as may be required by such exchange, if, after notice given by the Company to the Trustee of the proposed payment pursuant to this Clause, such manner of payment shall be deemed practicable by
the Trustee. 
 Subject to the foregoing provisions of this Section, each Security delivered under this Indenture upon
registration of transfer of or in exchange for or in lieu of any other Security shall carry the rights to interest accrued and unpaid, and to accrue, which were carried by such other Security. 

SECTION 308. Persons Deemed Owners. 
 Prior to due presentment of a Security for registration of transfer, and subject to Section 1108, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose
name such Security is registered as the owner of such Security for the purpose of receiving payment of principal of and any premium and (subject to Section 307) any interest on such Security and for all other purposes whatsoever, whether or not
such Security be overdue, and neither the Company, the Trustee nor any agent of the Company or the Trustee shall be affected by notice to the contrary. 
 SECTION 309. Cancellation. 
 All Securities surrendered for payment,
redemption, registration of transfer or exchange or for credit against any sinking fund payment shall, if surrendered to any Person other than the Trustee, be delivered to the Trustee and shall be promptly cancelled by it. The Company may at any
time deliver to the Trustee for cancellation any Securities previously authenticated and delivered hereunder which the Company may have acquired in any manner whatsoever, and may deliver to the Trustee (or to any other Person for delivery to the
Trustee) for cancellation any Securities previously authenticated hereunder which the Company has not issued and sold, and all Securities so delivered shall be promptly cancelled by the Trustee. No Securities shall be authenticated in lieu of or in
exchange for any Securities cancelled as provided in this Section, except as expressly permitted by this Indenture. All cancelled Securities held by the Trustee shall be disposed of in accordance with the Trustee’s customary procedures.

 SECTION 310. Computation of Interest. 
 Interest on the Securities of each series shall be computed on the basis of a 360-day year of twelve 30-day months. 
 SECTION 311. CUSIP Numbers. 
 The Company in issuing the Securities may use
“CUSIP” numbers (if then generally in use), and, if so, the Trustee shall use “CUSIP” numbers in notices of redemption as a convenience to Holders; provided that any such notice may state that no representation is made as
to the correctness of such numbers either as printed on the Securities or as contained in any notice of a redemption and that reliance may be placed only on the other identification numbers printed on the Securities, and any such redemption shall
not be affected by any defect in or omission of such numbers. The Company will promptly notify the Trustee in writing of any change in the “CUSIP” numbers. 

  
 -60-

 ARTICLE FOUR 
 SATISFACTION AND DISCHARGE 
 SECTION
401. Satisfaction and Discharge of Indenture. 
 This Indenture shall upon Company Request cease to be of further effect
with respect to a series of Securities (except as to any surviving rights of registration of transfer or exchange of such Securities herein expressly provided for), and the Trustee, at the expense of the Company, shall execute proper instruments
acknowledging satisfaction and discharge of this Indenture with respect to such series, when 
 (1) either

 (A) all Securities of such series theretofore authenticated and delivered (other than (i) Securities
which have been destroyed, lost or stolen and which have been replaced or paid as provided in Section 306 and (ii) Securities for whose payment money has theretofore been deposited in trust or segregated and held in trust by the Company
and thereafter repaid to the Company or discharged from such trust, as provided in Section 1003) have been delivered to the Trustee for cancellation; or 
 (B) all such Securities of such series not theretofore delivered to the Trustee for cancellation 
 (i) have become due and payable, or 
 (ii) will become due and
payable at their Stated Maturity within one year, or 
 (iii) are to be called for redemption within one year
under arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the expense, of the Company, 
 and the Company, in the case of (i), (ii) or (iii) above, has deposited or caused to be deposited with the Trustee as trust funds in trust for the purpose money in an amount sufficient to pay
and discharge the entire indebtedness on such Securities not theretofore delivered to the Trustee for cancellation, for principal and any premium and interest to the date of such deposit (in the case of Securities which have become due and payable)
or to the Stated Maturity or Redemption Date, as the case may be; 
 (2) the Company has paid or caused to be
paid all other sums payable with respect to the Securities of such series hereunder by the Company; and 
 (3)
the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions precedent herein provided for relating 

  
 -61-

 
to the satisfaction and discharge of this Indenture with respect to the Securities of such series have been complied with. 

Notwithstanding the satisfaction and discharge of this Indenture with respect to the Securities of a series, the obligations of the
Company to the Trustee under Section 607 with respect to such Securities, the obligations of the Company to any Authenticating Agent under Section 614 with respect to such Securities and, if money shall have been deposited with the Trustee
pursuant to subclause (B) of Clause (1) of this Section, the obligations of the Trustee under Section 402 and the last paragraph of Section 1003 with respect to such Securities shall survive. 

SECTION 402. Application of Trust Money. 
 Subject to the provisions of the last paragraph of Section 1003, all money deposited with the Trustee pursuant to Section 401 shall be held in trust and applied by it, in accordance with the
provisions of the Securities and this Indenture, to the payment, either directly or through any Paying Agent (including the Company acting as its own Paying Agent) as the Trustee may determine, to the Persons entitled thereto, of the principal and
any premium and interest for whose payment such money has been deposited with the Trustee. 
 ARTICLE FIVE 

REMEDIES 
 SECTION 501. Events of Default. 
 “Event of Default”,
wherever used herein with respect to Securities of any series, means any one of the following events (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to
any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body): 
 (1) default in the payment of any interest upon any Security of that series when it becomes due and payable, and continuance of such default for a period of 30 days; or 

(2) default in the payment when due of the principal of or premium, if any, on any Security of that series; or 

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

 (4) default in the performance or breach of Section 801 of this Indenture; or 

(5) default in the performance, or breach, of any covenant or warranty of the Company (or Parent or any Subsidiary, as
applicable) in this Indenture or the Support Agreement with respect to Securities of such series (other than a default in the performance, or breach, of a covenant or warranty where such performance or breach is elsewhere in this Section
specifically dealt with or which has expressly been included in this Indenture solely for the benefit of series of Securities other than that series), and 

  
 -62-

 
continuance of such default or breach for a period of 60 days after there has been given, by registered or certified mail, to the Company and Parent by the Trustee or to the Company, Parent and
the Trustee by the Holders of at least 25% in principal amount of the Outstanding Securities of that series a written notice specifying such default or breach and requiring it to be remedied and stating that such notice is a “Notice of
Default” hereunder; provided, however, that except with respect to defaults under or breaches of Section 1008 of this Indenture, the Trustee, or the Trustee and the Holders of Securities will be deemed to have agreed to an
extension of such 60-day period to 120 days so long as corrective action is initiated by the Company or Parent within such 60-day period and such corrective action is being diligently pursued; or 

(6) default under any mortgage, indenture or instrument under which there may be issued or by which there may be secured
or evidenced any indebtedness for money borrowed by the Company or Parent (or the payment of which is guaranteed by the Company or Parent), if that default is caused by a failure to pay principal at its stated maturity after giving effect to any
applicable grace period, or results in the acceleration of such indebtedness prior to its stated maturity and, in each case, the principal amount of such indebtedness, together with the principal amount of any other indebtedness under which there
has been a payment default after stated maturity or the maturity of which has been so accelerated, aggregates $100,000,000 or more; or 
 (7) the Company or Parent (i) is generally not paying, or admits in writing its inability to pay, its debts as they become due, (ii) files, or consents by answer or otherwise to the filing
against it of, a petition for relief or reorganization or arrangement or any other petition in bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency, reorganization, moratorium or other similar law of any jurisdiction,
(iii) makes an assignment for the benefit of its creditors, (iv) consents to the appointment of a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property,
(v) is adjudicated as insolvent or to be liquidated, or (vi) takes corporate action for the purpose of any of the foregoing; or 
 (8) a court or Governmental Authority of competent jurisdiction enters an order appointing, without consent by the Company or Parent, as the case may be, a custodian, receiver, trustee or other officer
with similar powers with respect to it or with respect to any substantial part of its property, or constituting an order for relief or approving a petition for relief or reorganization or any other petition in bankruptcy or for liquidation or to
take advantage of any bankruptcy or insolvency law of any jurisdiction, or ordering the dissolution, winding-up or liquidation of the Company or Parent, as the case may be, or any such petition shall be filed against the Company or Parent, as the
case may be, and such petition shall not be dismissed within sixty (60) days; or 
 (9) a final judgment or
judgments for the payment of money in an aggregate amount (to the extent not paid or insured) in excess of $100,000,000 are rendered against the Company or Parent and which judgments are not, within sixty (60) days after entry thereof, bonded,
discharged or stayed pending appeal, or are not discharged within sixty (60) days after the expiration of such stay; or 

  
 -63-

 (10) except as permitted pursuant to the terms of this Indenture, any
provision of the Support Agreement shall cease for any reason to be in full force or effect, or Parent contests in any manner the validity or enforceability of any such provision or any Person acting on Parent’s behalf shall deny or disaffirm
Parent’s obligations under the Support Agreement. 
 SECTION 502. Acceleration of Maturity; Rescission and
Annulment. 
 If an Event of Default (other than an Event of Default specified in Section 501(7) or 501(8)) with respect
to Securities of any series at the time Outstanding occurs and is continuing, then in every such case the Trustee or the Holders of not less than 25% in principal amount of the Outstanding Securities of that series may declare the principal amount
of all the Securities of that series (or, if any Securities of that series are Original Issue Discount Securities, such portion of the principal amount of such Securities as may be specified by the terms thereof) to be due and payable immediately,
by a notice in writing to the Company (and to the Trustee if given by Holders), and upon any such declaration such principal amount (or specified amount) shall become immediately due and payable. If an Event of Default specified in
Section 501(7) or 501(8) with respect to Securities of any series at the time Outstanding occurs, the principal amount of all the Securities of that series (or, if any Securities of that series are Original Issue Discount Securities, such
portion of the principal amount of such Securities as may be specified by the terms thereof) shall automatically, and without any declaration or other action on the part of the Trustee or any Holder, become immediately due and payable. 

At any time after such a declaration of acceleration with respect to Securities of any series has been made and before a judgment or
decree for payment of the money due has been obtained by the Trustee as hereinafter in this Article provided, the Holders of a majority in principal amount of the Outstanding Securities of that series, by written notice to the Company, Parent and
the Trustee, may rescind and annul such declaration and its consequences if 
 (1) the Company or the Parent has
paid or deposited with the Trustee a sum sufficient to pay 
 (A) all overdue interest on all Securities of that
series, 
 (B) the principal of (and premium, if any, on) any Securities of that series which have become due
otherwise than by such declaration of acceleration and any interest thereon at the rate or rates prescribed therefor in such Securities, 
 (C) to the extent that payment of such interest is lawful, interest upon overdue interest at the rate or rates prescribed therefor in such Securities, and 

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

(2) all Events of Default with respect to Securities of that series, other than the non-payment of the principal of
Securities of that series which have become due 

  
 -64-

 
solely by such declaration of acceleration, have been cured or waived as provided in Section 513. 
 No such rescission shall affect any subsequent default or impair any right consequent thereon. 
 SECTION 503. Collection of Indebtedness and Suits for Enforcement by Trustee. The Company covenants that if 
 (1) default is made in the payment of any interest on any Security when such interest becomes due and payable and such default continues for a period of 30 days, or 

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

 the Company will, upon demand of the Trustee, pay to it, for the benefit of the Holders of such Securities, the whole amount then due and
payable on such Securities for principal and any premium and interest and, to the extent that payment of such interest shall be legally enforceable, interest on any overdue principal and premium and on any overdue interest, at the rate or rates
prescribed therefor in such Securities, and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Trustee,
its agents and counsel. 
 If an Event of Default with respect to Securities of any series occurs and is continuing, the Trustee
may in its discretion proceed to protect and enforce its rights and the rights of the Holders of Securities of such series by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect and enforce any such rights,
whether for the specific enforcement of any covenant or agreement in this Indenture or the Support Agreement or in aid of the exercise of any power granted herein, or to enforce any other proper remedy. 

SECTION 504. Trustee May File Proofs of Claim. 
 In case of any judicial proceeding relative to the Company or Parent (or any other obligor upon the Securities), the property or the creditors of the Company, Parent or such other obligor, the Trustee
shall be entitled and empowered, by intervention in such proceeding or otherwise, to take any and all actions authorized under the Trust Indenture Act in order to have claims of the Holders and the Trustee allowed in any such proceeding. In
particular, the Trustee shall be authorized to collect and receive any moneys or other property payable or deliverable on any such claims and to distribute the same; and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other
similar official in any such judicial proceeding is hereby authorized by each Holder to make such payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee
any amount due it for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under Section 607. 

No provision of this Indenture shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition affecting the Securities or the rights of any Holder thereof or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding;

  
 -65-

 
provided, however, that the Trustee may, on behalf of the Holders, vote for the election of a trustee in bankruptcy or similar official and be a member of a creditors’ or other
similar committee. 
 SECTION 505. Trustee May Enforce Claims Without Possession of Securities. 

All rights of action and claims under this Indenture, the Support Agreement or the Securities may be prosecuted and enforced by the
Trustee without the possession of any of the Securities or the production thereof in any proceeding relating thereto, and any such proceeding instituted by the Trustee shall be brought in its own name as trustee of an express trust, and any recovery
of judgment shall, after provision for the payment of the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, be for the ratable benefit of the Holders of the Securities in respect of which such
judgment has been recovered. 
 SECTION 506. Application of Money Collected. 

Any money collected by the Trustee pursuant to this Article shall be applied in the following order, at the date or dates fixed by the
Trustee and, in case of the distribution of such money on account of principal or any premium or interest, upon presentation of the Securities and the notation thereon of the payment if only partially paid and upon surrender thereof if fully paid:

 FIRST: To the payment of all amounts due the Trustee under Section 607; and 

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

 SECTION 507. Limitation on Suits. 
 No Holder of any Security of any series shall have any right to institute any proceeding, judicial or otherwise, with respect to this Indenture, or for the appointment of a receiver or trustee, or for any
other remedy hereunder, unless 
 (1) such Holder has previously given written notice to the Trustee of a
continuing Event of Default with respect to the Securities of that series; 
 (2) the Holders of not less than
25% in principal amount of the Outstanding Securities of that series shall have made written request to the Trustee to institute proceedings in respect of such Event of Default in its own name as Trustee hereunder; 

(3) such Holder or Holders have offered to the Trustee reasonable indemnity against the costs, expenses and liabilities to
be incurred in compliance with such request; 
 (4) the Trustee for 60 days after its receipt of such notice,
request and offer of indemnity has failed to institute any such proceeding; and 

  
 -66-

 (5) no direction inconsistent with such written request has been given to
the Trustee during such 60-day period by the Holders of a majority in principal amount of the Outstanding Securities of that series; 
 it being
understood and intended that no one or more of such Holders shall have any right in any manner whatever by virtue of, or by availing of, any provision of this Indenture or the Support Agreement to affect, disturb or prejudice the rights of any other
of such Holders, or to obtain or to seek to obtain priority or preference over any other of such Holders or to enforce any right under this Indenture or the Support Agreement, except in the manner herein provided and for the equal and ratable
benefit of all of such Holders. 
 SECTION 508. Unconditional Right of Holders to Receive Principal, Premium and
Interest. 
 Notwithstanding any other provision in this Indenture, (1) the Holder of any Security shall have the right,
which is absolute and unconditional, to receive payment of the principal of and any premium and (subject to Section 307) interest on such Security on the respective Stated Maturities expressed in such Security (or, in the case of redemption, on
the Redemption Date) and to institute suit for the enforcement of any such payment, and such rights shall not be impaired without the consent of such Holder; and (2) the Holder of any Security shall be considered a Lender (as defined in the
Support Agreement) and shall have all rights of a Lender set forth therein. 
 SECTION 509. Restoration of Rights and
Remedies. 
 If the Trustee or any Holder has instituted any proceeding to enforce any right or remedy under this Indenture
or the Support Agreement and such proceeding has been discontinued or abandoned for any reason, or has been determined adversely to the Trustee or to such Holder, then and in every such case, subject to any determination in such proceeding, the
Company, the Trustee and the Holders shall be restored severally and respectively to their former positions hereunder and thereafter all rights and remedies of the Trustee and the Holders shall continue as though no such proceeding had been
instituted. 
 SECTION 510. Rights and Remedies Cumulative. 

Except as otherwise provided with respect to the replacement or payment of mutilated, destroyed, lost or stolen Securities in the last
paragraph of Section 306, no right or remedy herein conferred upon or reserved to the Trustee or to the Holders is intended to be exclusive of any other right or remedy, and every right and remedy shall, to the extent permitted by law, be
cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent
assertion or employment of any other appropriate right or remedy. 
 SECTION 511. Delay or Omission Not Waiver.

 No delay or omission of the Trustee or of any Holder of any Securities to exercise any right or remedy accruing upon any Event
of Default shall impair any such right or remedy or constitute a waiver of any such Event of Default or an acquiescence therein. Every right and remedy given by this Article or by law to the Trustee or to the Holders may be exercised from

  
 -67-

 
time to time, and as often as may be deemed expedient, by the Trustee or by the Holders, as the case may be. 
 SECTION 512. Control by Holders. 
 The Holders of a majority in principal
amount of the Outstanding Securities of any series shall have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred on the Trustee, with
respect to the Securities of such series, provided that 
 (1) such direction shall not be in conflict
with any rule of law or with this Indenture, and 
 (2) the Trustee may take any other action deemed proper by
the Trustee which is not inconsistent with such direction. 
 SECTION 513. Waiver of Past Defaults. 

The Holders of not less than a majority in principal amount of the Outstanding Securities of any series may on behalf of the Holders of
all the Securities of such series waive any past default hereunder with respect to such series and its consequences, except a default 
 (1) in the payment of the principal of or any premium or interest on any Security of such series (other than the non-payment of principal or interest on such Securities that become due solely because of
the acceleration of such Securities), or 
 (2) in respect of a covenant or provision hereof which under Article
Nine cannot be modified or amended without the consent of the Holder of each Outstanding Security of such series affected. 

Upon any such waiver, such default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have been cured,
for every purpose of this Indenture; but no such waiver shall extend to any subsequent or other default or impair any right consequent thereon. 
 SECTION 514. Undertaking for Costs. 
 In any suit for the enforcement of any
right or remedy under this Indenture, or in any suit against the Trustee for any action taken, suffered or omitted by it as Trustee, a court may require any party litigant in such suit to file an undertaking to pay the costs of such suit, and may
assess costs against any such party litigant, in the manner and to the extent provided in the Trust Indenture Act; provided that neither this Section nor the Trust Indenture Act shall be deemed to authorize any court to require such an
undertaking or to make such an assessment in any suit instituted by the Trustee or the Company. 
 SECTION 515. Waiver of
Usury, Stay or Extension Laws. 
 The Company covenants (to the extent that it may lawfully do so) that it will not at any
time insist upon, or plead, or in any manner whatsoever claim or take the benefit or advantage of, any usury, stay or extension law wherever enacted, now or at any time hereafter in force, which may affect the covenants or the performance of this
Indenture; and the Company (to the extent 

  
 -68-

 
that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law and covenants that it will not hinder, delay or impede the execution of any power herein granted to
the Trustee, but will suffer and permit the execution of every such power as though no such law had been enacted. 
 ARTICLE SIX

 THE TRUSTEE 
 SECTION 601. Certain Duties and Responsibilities. 
 The duties and
responsibilities of the Trustee shall be as provided by the Trust Indenture Act. Notwithstanding the foregoing, no provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in
the performance of any of its duties hereunder, or in the exercise of any of its rights or powers, if it shall have reasonable grounds for believing that repayment of such funds or adequate indemnity against such risk or liability is not reasonably
assured to it. Whether or not therein expressly so provided, every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to the provisions of this Section.

 SECTION 602. Notice of Defaults. 
 If a default occurs hereunder with respect to Securities of any series, the Trustee shall give the Holders of Securities of such series notice of such default as and to the extent provided by the Trust
Indenture Act; provided, however, that in the case of any default of the character specified in Section 501(5) with respect to Securities of such series, no such notice to Holders shall be given until at least 30 days after the
occurrence thereof. Except in the case of a default in payment of the principal of or interest on any Security (including payments pursuant to a redemption or repurchase of the Securities pursuant to the provisions of this Indenture), the Trustee
may withhold the notice if and so long as the Trustee in good faith determines that withholding the notice is in the interests of Holders. For the purpose of this Section, the term “default” means any event which is, or after notice
or lapse of time or both would become, an Event of Default with respect to Securities of such series. 
 SECTION 603. Certain
Rights of Trustee. 
 Subject to the provisions of Section 601: 

(1) the Trustee may rely and shall be protected in acting or refraining from acting upon any resolution, certificate,
statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document believed by it to be genuine and to have been signed or presented by the proper
party or parties; 
 (2) any request or direction of the Company mentioned herein shall be sufficiently evidenced
by a Company Request or Company Order, and any resolution of the Board of Directors shall be sufficiently evidenced by a Board Resolution; 
 (3) whenever in the administration of this Indenture the Trustee shall deem it desirable that a matter be proved or established prior to taking, suffering or omitting any

  
 -69-

 
action hereunder, the Trustee (unless other evidence be herein specifically prescribed) may, in the absence of bad faith on its part, rely upon an Officers’ Certificate; 

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

(5) the Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the
request or direction of any of the Holders pursuant to this Indenture, unless such Holders shall have offered to the Trustee reasonable security or indemnity against the costs, expenses and liabilities which might be incurred by it in compliance
with such request or direction; 
 (6) the Trustee shall not be bound to make any investigation into the facts or
matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document, but the Trustee, in its discretion,
may make such further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the
Company, personally or by agent or attorney; 
 (7) the Trustee may execute any of the trusts or powers hereunder
or perform any duties hereunder either directly or by or through agents or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney appointed with due care by it hereunder; 

(8) the Trustee shall not be deemed to have notice of any default or Event of Default unless a responsible officer of the
Trustee has actual knowledge thereof or unless written notice of any event which is in fact such a default is received by the Trustee at the Corporate Trust Office of the Trustee, and such notice references the Securities and this Indenture;

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

(10) the Trustee may request that the Company deliver a certificate setting forth the names of individuals and/or titles
of officers authorized at such time to take specified actions pursuant to this Indenture. 
 For the purpose of this Section,
the term “default” means any event which is, or after notice or lapse of time or both would become, an Event of Default with respect to Securities of such series. 

  
 -70-

 SECTION 604. Not Responsible for Recitals or Issuance of Securities. 

The recitals contained herein and in the Securities, except the Trustee’s certificates of authentication, shall be taken as the
statements of the Company, and neither the Trustee nor any Authenticating Agent assumes any responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency of this Indenture, the Support Agreement or of
the Securities. Neither the Trustee nor any Authenticating Agent shall be accountable for the use or application by the Company of Securities or the proceeds thereof. 
 SECTION 605. May Hold Securities. 
 The Trustee, any Authenticating Agent,
any Paying Agent, any Security Registrar or any other agent of the Company, in its individual or any other capacity, may become the owner or pledgee of Securities and, subject to Sections 608 and 613, may otherwise deal with the Company with the
same rights it would have if it were not Trustee, Authenticating Agent, Paying Agent, Security Registrar or such other agent. 

SECTION 606. Money Held in Trust. 
 Money held by the Trustee in trust hereunder need not be segregated from other funds except to the extent required by law. The Trustee shall be under no liability for interest on any money received by it
hereunder except as otherwise agreed in writing with the Company. 
 SECTION 607. Compensation and Reimbursement.

 The Company agrees 
 (1) to pay to the Trustee from time to time such compensation for its acceptance of this Indenture and services hereunder as the parties shall agree in writing from time to time. The Trustee’s
compensation shall not be limited by any law on compensation of a trustee of an express trust; 
 (2) except as
otherwise expressly provided herein, to reimburse the Trustee promptly upon request for all reasonable disbursements, advances and expenses incurred or made by it in addition to the compensation for its services. Such expenses shall include the
reasonable compensation, disbursements and expenses of the Trustee’s agents and counsel; and 
 (3) to
indemnify the Trustee and its officers, directors, employees, agents and any predecessor trustee and its officers, directors, employees and agents for, and hold the Trustee harmless against, any and all loss, damage, claims, liability or expense
(including reasonable attorneys’ fees) incurred by it in connection with the acceptance or administration of this trust and the performance of its duties hereunder (including the costs and expenses of enforcing this Indenture against the
Company (including this Section 607) or defending itself against any claim whether asserted by any Holder or the Company, or liability in connection with the acceptance, exercise or performance of any of its powers or duties hereunder). The
Trustee shall notify the Company promptly of any claim for which it may seek indemnity. Failure by the Trustee to so notify the Company shall not relieve the Company of its obligations hereunder. The Company shall defend the claim and the Trustee
may have one separate counsel and the Company shall 

  
 -71-

 
pay the reasonable fees and expenses of such counsel. The Company need not reimburse any expense or indemnify against any loss, liability or expense incurred by the Trustee through the
Trustee’s own willful misconduct, negligence or bad faith. 
 The obligations of the Company under this Section 607
shall survive the satisfaction and discharge of this Indenture or the earlier resignation or removal of the Trustee. 
 To
secure the payment obligations of the Company in this Section 607, the Trustee shall have a Lien prior to the Securities on all money or property held or collected by the Trustee, except that held in trust to pay principal of and interest on
particular Securities. Such Lien shall survive the satisfaction and discharge of this Indenture. 
 When the Trustee incurs
expenses or renders services after an Event of Default specified in Section 501(7) or 501(8) hereof occurs, the expenses and the compensation for the services (including the fees and expenses of its agents and counsel) are intended to
constitute expenses of administration under bankruptcy or insolvency law of any jurisdiction. 
 SECTION 608. Conflicting
Interests. 
 If the Trustee has or shall acquire a conflicting interest within the meaning of the Trust Indenture Act, the
Trustee shall either eliminate such interest or resign, to the extent and in the manner provided by, and subject to the provisions of, the Trust Indenture Act and this Indenture. To the extent permitted by such Act, the Trustee shall not be deemed
to have a conflicting interest by virtue of being a trustee under this Indenture with respect to Securities of more than one series or trustee under the Indenture dated October 22, 2007 relating to the Company’s 6.085% Senior Notes due
2017 and 6.593% Senior Notes due 2037 or the Indenture dated November 26, 2008 relating to the Company’s 10% Senior Monthly Notes due 2038 and 8.25% Senior Monthly Notes due 2038. 

SECTION 609. Corporate Trustee Required; Eligibility. 
 There shall at all times be one (and only one) Trustee hereunder with respect to the Securities of each series, which may be Trustee hereunder for Securities of one or more other series. Each Trustee
shall be a Person that is eligible pursuant to the Trust Indenture Act to act as such and has a combined capital and surplus of at least $50,000,000. If any such Person publishes reports of condition at least annually, pursuant to law or to the
requirements of its supervising or examining authority, then for the purposes of this Section and to the extent permitted by the Trust Indenture Act, the combined capital and surplus of such Person shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. If at any time the Trustee with respect to the Securities of any series shall cease to be eligible in accordance with the provisions of this Section, it shall resign
immediately in the manner and with the effect hereinafter specified in this Article. 
 SECTION 610. Resignation and Removal;
Appointment of Successor. 
 No resignation or removal of the Trustee and no appointment of a successor Trustee pursuant to
this Article shall become effective until the acceptance of appointment by the successor Trustee in accordance with the applicable requirements of Section 611. 

  
 -72-

 The Trustee may resign at any time with respect to the Securities of one or more series by
giving written notice thereof to the Company. If the instrument of acceptance by a successor Trustee required by Section 611 shall not have been delivered to the Trustee within 30 days after the giving of such notice of resignation, the
resigning Trustee may petition any court of competent jurisdiction for the appointment of a successor Trustee with respect to the Securities of such series. 
 The Trustee may be removed at any time with respect to the Securities of any series by Act of the Holders of a majority in principal amount of the Outstanding Securities of such series, delivered to the
Trustee and to the Company. 
 If at any time: 

(1) the Trustee shall fail to comply with Section 608 after written request therefor by the Company or by any Holder
who has been a bona fide Holder of a Security for at least six months, or 
 (2) the Trustee shall cease to be
eligible under Section 609 and shall fail to resign after written request therefor by the Company or by any such Holder, or 
 (3) the Trustee shall become incapable of acting or shall be adjudged a bankrupt or insolvent or a receiver of the Trustee or of its property shall be appointed or any public officer shall take charge or
control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation, 
 then, in any such case,
(A) the Company by a Board Resolution may remove the Trustee with respect to all Securities, or (B) subject to Section 514, any Holder who has been a bona fide Holder of a Security for at least six months may, on behalf of himself and
all others similarly situated, petition any court of competent jurisdiction for the removal of the Trustee with respect to all Securities and the appointment of a successor Trustee or Trustees. 

If the Trustee shall resign, be removed or become incapable of acting, or if a vacancy shall occur in the office of Trustee for any
cause, with respect to the Securities of one or more series, the Company, by a Board Resolution, shall promptly appoint a successor Trustee or Trustees with respect to the Securities of that or those series (it being understood that any such
successor Trustee may be appointed with respect to the Securities of one or more or all of such series and that at any time there shall be only one Trustee with respect to the Securities of any particular series) and shall comply with the applicable
requirements of Section 611. If, within one year after such resignation, removal or incapability, or the occurrence of such vacancy, a successor Trustee with respect to the Securities of any series shall be appointed by Act of the Holders of a
majority in principal amount of the Outstanding Securities of such series delivered to the Company and the retiring Trustee, the successor Trustee so appointed shall, forthwith upon its acceptance of such appointment in accordance with the
applicable requirements of Section 611, become the successor Trustee with respect to the Securities of such series and to that extent supersede the successor Trustee appointed by the Company. If no successor Trustee with respect to the
Securities of any series shall have been so appointed by the Company or the Holders and accepted appointment in the manner required by Section 611, any Holder who has been a bona fide Holder of a Security of such series for at least six months
may, on behalf of himself and all 

  
 -73-

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

The Company shall give notice of each resignation and each removal of the Trustee with respect to the Securities of any series and each
appointment of a successor Trustee with respect to the Securities of any series to all Holders of Securities of such series in the manner provided in Section 106. Each notice shall include the name of the successor Trustee with respect to the
Securities of such series and the address of its Corporate Trust Office. 
 SECTION 611. Acceptance of Appointment by
Successor. 
 In case of the appointment hereunder of a successor Trustee with respect to all Securities, every such
successor Trustee so appointed shall execute, acknowledge and deliver to the Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or removal of the retiring Trustee shall become effective and
such successor Trustee, without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee; but, on the request of the Company or the successor Trustee, such retiring Trustee
shall, upon payment of its charges, execute and deliver an instrument transferring to such successor Trustee all the rights, powers, trusts and duties of the retiring Trustee and shall duly assign, transfer and deliver to such successor Trustee all
property and money held by such retiring Trustee hereunder. 
 In case of the appointment hereunder of a successor Trustee with
respect to the Securities of one or more (but not all) series, the Company, the retiring Trustee and each successor Trustee with respect to the Securities of one or more series shall execute and deliver an indenture supplemental hereto wherein each
successor Trustee shall accept such appointment and which (1) shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each successor Trustee all the rights, powers, trusts and duties of the
retiring Trustee with respect to the Securities of that or those series to which the appointment of such successor Trustee relates, (2) if the retiring Trustee is not retiring with respect to all Securities, shall contain such provisions as
shall be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series as to which the retiring Trustee is not retiring shall continue to be
vested in the retiring Trustee, and (3) shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, it being understood
that nothing herein or in such supplemental indenture shall constitute such Trustees co-trustees of the same trust and that each such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or trusts hereunder
administered by any other such Trustee; and upon the execution and delivery of such supplemental indenture the resignation or removal of the retiring Trustee shall become effective to the extent provided therein and each such successor Trustee,
without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which the appointment of such successor Trustee
relates; but, on request of the Company or any successor Trustee, such retiring Trustee shall duly assign, transfer and deliver to such successor Trustee all property and money held by such retiring Trustee hereunder with respect to the Securities
of that or those series to which the appointment of such successor Trustee relates. 

  
 -74-

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

No successor Trustee shall accept its appointment unless at the time of such acceptance such successor Trustee shall be qualified and
eligible under this Article. 
 SECTION 612. Merger, Conversion, Consolidation or Succession to Business. 

Any corporation into which the Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from
any merger, conversion or consolidation to which the Trustee shall be a party, or any corporation succeeding to all or substantially all the corporate trust business of the Trustee (including the trust created by this Indenture), shall be the
successor of the Trustee hereunder, provided such corporation shall be otherwise qualified and eligible under this Article, without the execution or filing of any paper or any further act on the part of any of the parties hereto. In case any
Securities shall have been authenticated, but not delivered, by the Trustee then in office, any successor by merger, conversion or consolidation to such authenticating Trustee may adopt such authentication and deliver the Securities so authenticated
with the same effect as if such successor Trustee had itself authenticated such Securities. 
 SECTION 613. Preferential
Collection of Claims Against Company. 
 If and when the Trustee shall be or become a creditor of the Company (or any other
obligor upon the Securities), the Trustee shall be subject to the provisions of the Trust Indenture Act regarding the collection of claims against the Company (or any such other obligor). A Trustee who has resigned or been removed shall be subject
to Section 311(a) of the Trust Indenture Act to the extent indicated therein. 
 SECTION 614. Appointment of
Authenticating Agent. 
 The Trustee may appoint an Authenticating Agent or Agents with respect to one or more series of
Securities which shall be authorized to act on behalf of the Trustee to authenticate Securities of such series issued upon original issue and upon exchange, registration of transfer or partial redemption thereof or pursuant to Section 306, and
Securities so authenticated shall be entitled to the benefits of this Indenture and shall be valid and obligatory for all purposes as if authenticated by the Trustee hereunder. Wherever reference is made in this Indenture to the authentication and
delivery of Securities by the Trustee or the Trustee’s certificate of authentication, such reference shall be deemed to include authentication and delivery on behalf of the Trustee by an Authenticating Agent and a certificate of authentication
executed on behalf of the Trustee by an Authenticating Agent. Each Authenticating Agent shall be acceptable to the Company and shall at all times be a corporation organized and doing business under the laws of the United States of America, any State
thereof or the District of Columbia, authorized under such laws to act as Authenticating Agent, having a combined capital and surplus of not less than $50,000,000 and subject to supervision or examination by Federal or State authority. If such
Authenticating Agent publishes reports of condition at least annually, pursuant to law or to the requirements of said supervising or examining authority, then for the purposes of this Section, the combined capital and surplus of such Authenticating
Agent shall be deemed to be its combined 

  
 -75-

 
capital and surplus as set forth in its most recent report of condition so published. If at any time an Authenticating Agent shall cease to be eligible in accordance with the provisions of this
Section, such Authenticating Agent shall resign immediately in the manner and with the effect specified in this Section. 
 Any
corporation into which an Authenticating Agent may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion or consolidation to which such Authenticating Agent shall be a party, or any
corporation succeeding to all or substantially all the corporate agency or corporate trust business of an Authenticating Agent (including the authenticating agency contemplated by this Indenture), shall continue to be an Authenticating Agent,
provided such corporation shall be otherwise eligible under this Section, without the execution or filing of any paper or any further act on the part of the Trustee or the Authenticating Agent. 

An Authenticating Agent may resign at any time by giving written notice thereof to the Trustee and to the Company. The Trustee may at any
time terminate the agency of an Authenticating Agent by giving written notice thereof to such Authenticating Agent and to the Company. Upon receiving such a notice of resignation or upon such a termination, or in case at any time such Authenticating
Agent shall cease to be eligible in accordance with the provisions of this Section, the Trustee may appoint a successor Authenticating Agent which shall be acceptable to the Company and shall give notice of such appointment in the manner provided in
Section 106 to all Holders of Securities of the series with respect to which such Authenticating Agent will serve. Any successor Authenticating Agent upon acceptance of its appointment hereunder shall become vested with all the rights, powers
and duties of its predecessor hereunder, with like effect as if originally named as an Authenticating Agent. No successor Authenticating Agent shall be appointed unless eligible under the provisions of this Section. 

The Company agrees to pay to each Authenticating Agent from time to time reasonable compensation for its services under this Section.

 If an appointment with respect to one or more series is made pursuant to this Section, the Securities of such series may have
endorsed thereon, in addition to the Trustee’s certificate of authentication, an alternative certificate of authentication in the following form: 
 This is one of the Securities of the series designated therein referred to in the within-mentioned Indenture. 

 

							
	 WELLS FARGO BANK, NATIONAL ASSOCIATION
	 	
		
		 	As Trustee
				
		 	By	 	
                    
                                         
                    
	 	,
		 	As Authenticating Agent
				
		 	By	 	
                    
                                         
                    
	 	
		 		 	Authorized Signatory	 	

  
 -76-

 ARTICLE SEVEN 
 HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND COMPANY 

SECTION 701. Company to Furnish Trustee Names and Addresses of Holders. The Company will furnish or cause to be furnished to the
Trustee 
 (1) semi-annually, not later than May 15 and November 15, in each year, a list, in such form
as the Trustee may reasonably require, of the names and addresses of the Holders of Securities of each series as of the preceding May 1 or November 1, as the case may be, and 

(2) at such other times as the Trustee may request in writing, within 30 days after the receipt by the Company of any such
request, a list of similar form and content as of a date not more than 15 days prior to the time such list is furnished; 
 excluding
from any such list names and addresses received by the Trustee in its capacity as Security Registrar. 
 SECTION 702.
Preservation of Information; Communications to Holders. 
 The Trustee shall preserve, in as current a form as is
reasonably practicable, the names and addresses of Holders contained in the most recent list furnished to the Trustee as provided in Section 701 and the names and addresses of Holders received by the Trustee in its capacity as Security
Registrar. The Trustee may destroy any list furnished to it as provided in Section 701 upon receipt of a new list so furnished. 
 The rights of Holders to communicate with other Holders with respect to their rights under this Indenture or under the Securities, and the corresponding rights and privileges of the Trustee, shall be as
provided by the Trust Indenture Act. 
 Every Holder of Securities, by receiving and holding the same, agrees with the Company
and the Trustee that neither the Company nor the Trustee nor any agent of either of them shall be held accountable by reason of any disclosure of information as to names and addresses of Holders made pursuant to the Trust Indenture Act. 

SECTION 703. Reports by Trustee. 
 Within 60 days after each May 15 beginning with the May 15 following the date of this Indenture, and for so long as the Securities remain outstanding, the Trustee shall mail to the Holders of
Securities a brief report dated as of such reporting date that complies with Section 313(a) of the Trust Indenture Act (but if no event described in Section 313(a) of the Trust Indenture Act has occurred within the twelve months preceding
the reporting date, no report need be transmitted). The Trustee also shall comply with Section 313(b)(2) of the Trust Indenture Act. The Trustee shall also transmit by mail all reports as required by Section 313(c) of the Trust Indenture
Act. 
 A copy of each such report shall, at the time of such transmission to Holders, be filed by the Trustee with each stock
exchange upon which any Securities are listed, with the Commission 

  
 -77-

 
and with the Company. The Company will notify the Trustee when any Securities are listed on any stock exchange. 
 SECTION 704. Reports by Company. 
 The Company shall file with the Trustee
and the Commission, and transmit to Holders, such information, documents and other reports, and such summaries thereof, as may be required pursuant to the Trust Indenture Act at the times and in the manner provided pursuant to such Act;
provided that any such information, documents or reports required to be filed with the Commission pursuant to Section 13 or 15(d) of the Exchange Act shall be filed with the Trustee within 15 days after the same is filed with the
Commission. 
 ARTICLE EIGHT 
 CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE 

SECTION 801. Company and Parent May Consolidate, Etc., Only on Certain Terms. 

Neither the Company nor Parent shall consolidate with or merge into any other Person or convey, transfer or lease its properties and
assets substantially as an entirety to any Person, unless: 
 (1) the successor formed by such consolidation or
the survivor of such merger or the Person that acquires by conveyance, transfer or lease all or substantially all of the assets of the Company or Parent as an entirety, as the case may be, is a Person organized and existing under the laws of the
United States or any State thereof (including the District of Columbia), and expressly assumes, in the case of the Company, by an indenture supplemental hereto, executed and delivered to the Trustee, in form satisfactory to the Trustee, the due and
punctual payment of the principal of and any premium and interest on all the Securities and the performance or observance of every covenant of this Indenture on the part of the Company to be performed or observed, and, in the case of Parent, all the
obligations under the Support Agreement to be performed or observed; 
 (2) immediately before and immediately
after giving effect to such transaction, no Event of Default, and no event which, after notice or lapse of time or both, would become an Event of Default, shall have happened and be continuing; and 

(3) the successor formed by such consolidation or the survivor of such merger or the Person that acquires by conveyance,
transfer or lease all or substantially all of the assets of the Company or Parent as an entirety, as the case may be, has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that such consolidation, merger,
conveyance, transfer or lease and, if a supplemental indenture is required in connection with such transaction, such supplemental indenture comply with this Article and that all conditions precedent herein provided for relating to such transaction
have been complied with. 

  
 -78-

 SECTION 802. Successor Substituted. 

Upon any consolidation by the Company or Parent with or merger by the Company or Parent into any other Person or any conveyance, transfer
or lease of either the Company’s or Parent’s properties and assets substantially as an entirety in accordance with Section 801, the successor Person formed by such consolidation or into which it is merged or to which such conveyance,
transfer or lease is made will succeed to, and be substituted for, and may exercise every right and power of, the Company or Parent, as applicable, under this Indenture and the Support Agreement with the same effect as if such successor person had
been named as the Company or Parent, as applicable, therein, and thereafter, except in the case of a lease, the predecessor person will be relieved of all obligations and covenants, in the case of the Company under this Indenture, the Securities
and, in the case of Parent, under the Support Agreement. 
 SECTION 803. Assumption by Parent 

Parent may directly assume, by an indenture supplemental hereto, executed and delivered to the Trustee, in form satisfactory to the
Trustee, the due and punctual payment of the principal of (premium, if any) and interest on all the Securities and the performance of every covenant of this Indenture on the part of the Company to be performed or observed. Upon any such assumption,
Parent shall succeed to and be substituted for and may exercise every right and power of the Company under this Indenture with the same effect as if Parent had been named as the Company herein and the Company shall be released from its liability as
obligor on the Securities. No such assumption shall be permitted unless Parent has delivered to the Trustee an Officers’ Certificate of Parent and an Opinion of Counsel for Parent, each stating that such assumption and supplemental indenture
comply with this Article and that all conditions precedent herein provided for relating to such transaction have been complied with. 
 ARTICLE NINE 
 SUPPLEMENTAL INDENTURES 

SECTION 901. Supplemental Indentures Without Consent of Holders. 

Without the consent of any Holders, the Company, when authorized by a Board Resolution, and the Trustee, at any time and from time to
time, may enter into one or more indentures supplemental hereto, in form satisfactory to the Trustee, for any of the following purposes: 
 (1) to evidence the succession of another Person to the Company and the assumption by any such successor of the covenants of the Company herein and in the Securities; or 

(2) to add to the covenants of the Company, Parent or a Subsidiary for the benefit of the Holders of all or any series of
Securities (and if such covenants are to be for the benefit of less than all series of Securities, stating that such covenants are expressly being included solely for the benefit of such series) or to surrender any right or power herein conferred
upon the Company, Parent or any Subsidiary; or 
 (3) to add to or change any of the provisions of this Indenture
to such extent as shall be necessary to permit or facilitate the issuance of Securities in bearer form, 

  
 -79-

 
registrable or not registrable as to principal, and with or without interest coupons, or to permit or facilitate the issuance of Securities in uncertificated form; provided that any
uncertificated Securities are issued in registered form for purposes of Section 163(f) of the Internal Revenue Code, or in a manner such that the uncertificated Securities are described in Section 163(f)(2)(B) of the Internal Revenue Code;
or 
 (4) to add to, change or eliminate any of the provisions of this Indenture in respect of one or more series
of Securities, provided that any such addition, change or elimination (A) shall neither (i) apply to any Security of any series created prior to the execution of such supplemental indenture and entitled to the benefit of such
provision nor (ii) modify the rights of the Holder of any such Security with respect to such provision or (B) shall become effective only when there is no such Security Outstanding; or 

(5) to secure the Securities or add any guarantee with respect to the Securities; or 

(6) to establish the form or terms of Securities of any series as permitted by Sections 201 and 301; or 

(7) to evidence and provide for the acceptance of appointment hereunder by a successor Trustee with respect to the
Securities of one or more series and to add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, pursuant to the requirements of
Section 611; or 
 (8) to cure any ambiguity, to correct or supplement any provision herein which may be
defective or inconsistent with any other provision herein, or to make any other change that does not adversely affect the Holders of the Securities; or 
 (9) to effect assumption by Parent pursuant to Section 803; or 

(10) to comply with the requirements of the Commission in order to effect or maintain the qualification of this Indenture
under the Trust Indenture Act; or 
 (11) to make any amendment to the provisions of this Indenture relating to
the transfer and legending of Securities of any series; provided, however, that (a) compliance with this Indenture as so amended would not result in Securities being transferred in violation of the Securities Act or any other applicable
securities law and (b) such amendment does not materially and adversely affect the rights of Holders to transfer Securities. 
 SECTION 902. Supplemental Indentures With Consent of Holders. 
 With the
consent of the Holders of not less than a majority in principal amount of the Outstanding Securities of each series affected by such supplemental indenture, by Act of said Holders delivered to the Company and the Trustee, the Company, when
authorized by a Board Resolution, and the Trustee may enter into an indenture or indentures supplemental hereto for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture relating to
such series or of modifying in any manner the rights of the Holders of Securities of such series under this Indenture; provided, however, that no such 

  
 -80-

 
supplemental indenture shall, without the consent of the Holder of each Outstanding Security affected thereby, 

(1) change the Stated Maturity of the principal of, or any installment of principal of or interest on, any Security, or
reduce the principal amount thereof or the rate of interest thereon or any premium payable upon the redemption thereof, or reduce the amount of the principal of any Security which would be due and payable upon a declaration of acceleration of the
Maturity thereof pursuant to Section 502, or change any Place of Payment where, or the coin or currency in which, any Security or any premium or interest thereon is payable, or impair the right to institute suit for the enforcement of any such
payment on or after the Stated Maturity thereof (or, in the case of redemption, on or after the Redemption Date), or 
 (2) reduce the percentage in principal amount of the Outstanding Securities of any series, the consent of whose Holders is required for any such supplemental indenture, or the consent of whose Holders is
required for any waiver (of compliance with certain provisions of this Indenture or certain defaults hereunder and their consequences) provided for in this Indenture, or 

(3) modify any of the provisions of this Section, Section 513 or Section 1011, except to increase any such
percentage or to provide that certain other provisions of this Indenture cannot be modified or waived without the consent of the Holder of each Outstanding Security affected thereby; provided, however, that this clause shall not be deemed to
require the consent of any Holder with respect to changes in the references to “the Trustee” and concomitant changes in this Section and Section 1011, or the deletion of this proviso, in accordance with the requirements of Sections
611 and 901(6). 
 A supplemental indenture which changes or eliminates any covenant or other provision of this Indenture which has expressly
been included solely for the benefit of one or more particular series of Securities, or which modifies the rights of the Holders of Securities of such series with respect to such covenant or other provision, shall be deemed not to affect the rights
under this Indenture of the Holders of Securities of any other series. 
 It shall not be necessary for any Act of Holders under
this Section to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if such Act shall approve the substance thereof. 
 SECTION 903. Execution of Supplemental Indentures. 
 In executing, or
accepting the additional trusts created by, any supplemental indenture permitted by this Article or the modifications thereby of the trusts created by this Indenture, the Trustee shall receive, and (subject to Section 601) shall be fully
protected in relying upon, an Opinion of Counsel stating that the execution of such supplemental indenture is authorized or permitted by this Indenture. The Trustee may, but shall not be obligated to, enter into any such supplemental indenture which
affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise. 

  
 -81-

 SECTION 904. Effect of Supplemental Indentures. 

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

SECTION 905. Conformity with Trust Indenture Act. 
 Every supplemental indenture executed pursuant to this Article shall conform to the requirements of the Trust Indenture Act. 
 SECTION 906. Reference in Securities to Supplemental Indentures. 

Securities of any series authenticated and delivered after the execution of any supplemental indenture pursuant to this Article may, and
shall if required by the Trustee, bear a notation in form approved by the Trustee as to any matter provided for in such supplemental indenture. If the Company shall so determine, new Securities of any series so modified as to conform, in the opinion
of the Trustee and the Company, to any such supplemental indenture may be prepared and executed by the Company and authenticated and delivered by the Trustee in exchange for Outstanding Securities of such series. 

ARTICLE TEN 

COVENANTS 
 SECTION 1001. Payment of Principal, Premium and Interest. 
 The Company
covenants and agrees for the benefit of each series of Securities that it will duly and punctually pay the principal of and any premium and interest on the Securities of that series in accordance with the terms of the Securities and this Indenture.

 SECTION 1002. Maintenance of Office or Agency. 

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

  
 -82-

 
Company will give prompt written notice to the Trustee of any such designation or rescission and of any change in the location of any such other office or agency. 

SECTION 1003. Money for Securities Payments to Be Held in Trust. 

If the Company shall at any time act as its own Paying Agent with respect to any series of Securities, it will, on or before each due date
of the principal of or any premium or interest on any of the Securities of that series, segregate and hold in trust for the benefit of the Persons entitled thereto a sum sufficient to pay the principal and any premium and interest so becoming due
until such sums shall be paid to such Persons or otherwise disposed of as herein provided and will promptly notify the Trustee of its action or failure so to act. 
 Whenever the Company shall have one or more Paying Agents for any series of Securities, it will, prior to each due date of the principal of or any premium or interest on any Securities of that series,
deposit with a Paying Agent a sum sufficient to pay such amount, such sum to be held as provided by the Trust Indenture Act, and (unless such Paying Agent is the Trustee) the Company will promptly notify the Trustee of its action or failure so to
act. 
 The Company will cause each Paying Agent for any series of Securities other than the Trustee to execute and deliver to
the Trustee an instrument in which such Paying Agent shall agree with the Trustee, subject to the provisions of this Section, that such Paying Agent will (1) comply with the provisions of the Trust Indenture Act applicable to it as a Paying Agent
and (2) during the continuance of any default by the Company (or any other obligor upon the Securities of that series) in the making of any payment in respect of the Securities of that series, upon the written request of the Trustee, forthwith pay
to the Trustee all sums held in trust by such Paying Agent for payment in respect of the Securities of that series. 
 The
Company may at any time, for the purpose of obtaining the satisfaction and discharge of this Indenture or for any other purpose, pay, or by Company Order direct any Paying Agent to pay, to the Trustee all sums held in trust by the Company or such
Paying Agent, such sums to be held by the Trustee upon the same trusts as those upon which such sums were held by the Company or such Paying Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying Agent shall be released from
all further liability with respect to such money. 
 Any money deposited with the Trustee or any Paying Agent, or then held by
the Company, in trust for the payment of the principal of or any premium or interest on any Security of any series and remaining unclaimed for two years after such principal, premium or interest has become due and payable shall be paid to the
Company on Company Request, or (if then held by the Company) shall be discharged from such trust; and the Holder of such Security shall thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all liability of
the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as trustee thereof, shall thereupon cease; provided, however, that the Trustee or such Paying Agent, before being required to make any such
repayment, may at the expense of the Company cause to be published once, in a newspaper published in the English language, customarily published on each Business Day and of general circulation in the City of New York, notice that such money remains
unclaimed and that, after a date specified therein, which shall not be less than 30 days from the date of such publication, any unclaimed balance of such money then remaining will be repaid to the Company. 

  
 -83-

 SECTION 1004. Statement by Officers as to Default. 

The Company will deliver to the Trustee, (i) within 90 days after the end of each fiscal year of the Company ending after the date
hereof an Officers’ Certificate, stating whether or not to the best knowledge of the signers thereof the Company is in default in the performance and observance of any of the terms, provisions and conditions of this Indenture (without regard to
any period of grace or requirement of notice provided hereunder) and (ii) promptly (and in any event within five Business Days) upon a Responsible Officer of the Company becoming aware of any default, written notice specifying all such defaults
and the nature and status thereof of which they may have knowledge. For the purpose of this Section, the term “default” means any event which is, or after notice or lapse of time or both would become, an Event of Default with
respect to Securities of such series. 
 SECTION 1005. Existence. 

Subject to Article Eight, the Company will do or cause to be done all things necessary to preserve and keep in full force and effect its
existence, rights (charter and statutory) and franchises; provided, however, that the Company shall not be required to preserve any such right or franchise if the Board of Directors shall determine that the preservation thereof is no longer
desirable in the conduct of the business of the Company and that the loss thereof is not disadvantageous in any material respect to the Holders. 
 SECTION 1006. Maintenance of Properties. 
 The Company will, and will cause
Parent and Parent’s other Subsidiaries to, maintain and keep, or cause to be maintained and kept, their respective properties in good repair, working order and condition (other than ordinary wear and tear), so that the business carried on in
connection therewith may be properly conducted at all times, provided, however, that nothing in this Section shall prevent the Company, Parent or any of Parent’s other Subsidiaries from discontinuing the operation or the maintenance of
any of its properties or disposing of them if such discontinuance is, in the judgment of the Company, desirable in the conduct of its business or the business of Parent or any Subsidiary and not disadvantageous in any material respect to the
Holders. 
 SECTION 1007. Payment of Taxes and Other Claims. 

The Company will, and will cause Parent and each other Subsidiary to, pay and discharge all taxes, assessments, governmental charges, or
levies imposed on them or any of their properties, assets, income or franchises, to the extent the same have become due and payable and before they have become delinquent and all claims for which sums have become due and payable that have or might
become a Lien on properties or assets of Parent, the Company or any other Subsidiary, provided, however, that neither Parent, nor the Company or any other Subsidiary need pay any such tax, assessment, charge, levy or claim if (i) the
amount, applicability or validity thereof is contested by Parent, the Company or such Subsidiary in good faith and in appropriate proceedings, and Parent, the Company or such other Subsidiary has established reserves therefor to the extent required
by generally accepted accounting principles on the books of Parent, the Company or such other Subsidiary or (ii) the nonpayment of all such taxes, assessments, charges, levies and claims in the aggregate is not likely to be disadvantageous in
any material respect to the Holders. 

  
 -84-

 SECTION 1008. Restrictions on Liens. 

The Company will not, and will not allow Parent or any Subsidiary to, create, incur, issue or assume any Liens on Parent’s or its
Subsidiaries’ respective property to secure Debt where the Debt secured by those Liens would exceed an amount equal to 15% of Consolidated Tangible Total Assets (calculated to exclude Debt secured by Permitted Liens); provided that the
foregoing restriction shall not apply to nor prevent the creation or existence of Permitted Liens. 
 SECTION 1009.
Restrictions on Sales and Leasebacks. 
 The Company will not, and will not allow Parent or any Subsidiary to, enter into
any Sale and Leaseback Transaction without effectively providing that the Securities will be secured equally and ratably with or prior to the Sale and Leaseback Transaction, unless: 

(1) the aggregate amount of the Attributable Debt of the Company, Parent and Subsidiaries in respect of Sale and Leaseback
Transactions then outstanding would not exceed an amount equal to 15% of Consolidated Tangible Total Assets, or 

(2) the Company, Parent or any Subsidiary, within 12 months of the Sale and Leaseback Transaction, retires an amount of
secured Debt which is not subordinate to the Securities in an amount equal to the greater of (A) the net proceeds of the sale or transfer of the property or other assets that are the subject of the Sale and Leaseback Transaction or (B) the
fair market value of the property leased. 
 SECTION 1010. Support Agreement. 

The Company covenants and agrees for the benefit of each series of Securities that it will not permit Parent to (a) cancel or
terminate the Support Agreement as in effect on the date of this Indenture or (b) amend or otherwise modify the terms of the Support Agreement, except in accordance with the terms of the Support Agreement in effect on the date of this
Indenture. 
 SECTION 1011. Waiver of Certain Covenants. 

The Company may, with respect to the Securities of any series, omit in any particular instance to comply with any term, provision or
condition set forth in any covenant provided pursuant to Section 901(2) or 901(6) for the benefit of the Holders of such series or in any of Sections 1008 to 1010, inclusive, if before the time for such compliance the Holders of at least a
majority in principal amount of the Outstanding Securities of such series shall, by Act of such Holders, either waive such compliance in such instance or generally waive compliance with such term, provision or condition, but no such waiver shall
extend to or affect such term, provision or condition except to the extent so expressly waived, and, until such waiver shall become effective, the obligations of the Company and the duties of the Trustee in respect of any such term, provision or
condition shall remain in full force and effect. 

  
 -85-

 ARTICLE ELEVEN 
 REDEMPTION OF SECURITIES 
 SECTION
1101. Applicability of Article. 
 Securities of any series which are redeemable before their Stated Maturity shall be
redeemable in accordance with their terms and (except as otherwise specified as contemplated by Section 301 for such Securities) in accordance with this Article. 
 SECTION 1102. Election to Redeem; Notice to Trustee. 
 The election of the
Company to redeem any Securities shall be evidenced by a Board Resolution or in another manner specified as contemplated by Section 301 for such Securities. In case of any redemption at the election of the Company of the Securities of any
series (including any such redemption affecting only a single Security), the Company shall, at least 37 days but not more than 60 days prior to the Redemption Date fixed by the Company (unless a shorter notice shall be satisfactory to the Trustee),
notify the Trustee of such Redemption Date, of the principal amount of Securities of such series to be redeemed and, if applicable, of the tenor of the Securities to be redeemed. In the case of any redemption of Securities prior to the expiration of
any restriction on such redemption provided in the terms of such Securities or elsewhere in this Indenture, the Company shall furnish the Trustee with an Officers’ Certificate evidencing compliance with such restriction. 

SECTION 1103. Selection by Trustee of Securities to Be Redeemed. 

If less than all the Securities of any series are to be redeemed (unless all the Securities of such series and of a specified tenor are to
be redeemed or unless such redemption affects only a single Security), the particular Securities to be redeemed shall be selected not more than 60 days prior to the Redemption Date by the Trustee, from the Outstanding Securities of such series not
previously called for redemption as follows: 
 (1) if the Securities of such series are listed on any National
Securities Exchange, in compliance with the requirements of the principal National Securities Exchange on which such Securities are listed; or 
 (2) if the Securities of such series are not listed on any National Securities Exchange, on a pro rata basis, by lot or by such method as the Trustee deems fair or appropriate; 

provided that the unredeemed portion of the principal amount of any Security shall be in a denomination of at least $1,000 or
integral multiples of $1,000 in excess thereof. If less than all the Securities of such series and of a specified tenor are to be redeemed (unless such redemption affects only a single Security), the particular Securities to be redeemed shall be
selected not more than 60 days prior to the Redemption Date by the Trustee, from the Outstanding Securities of such series and specified tenor not previously called for redemption in accordance with the preceding sentence. 

  
 -86-

 The Trustee shall promptly notify the Company in writing of the Securities selected for
redemption as aforesaid and, in case of any Securities selected for partial redemption as aforesaid, the principal amount thereof to be redeemed. 
 The provisions of the two preceding paragraphs shall not apply with respect to any redemption affecting only a single Security, whether such Security is to be redeemed in whole or in part. In the case of
any such redemption in part, the unredeemed portion of the principal amount of the Security shall be in an authorized denomination (which shall not be less than the minimum authorized denomination) for such Security. 

For all purposes of this Indenture, unless the context otherwise requires, all provisions relating to the redemption of Securities shall
relate, in the case of any Securities redeemed or to be redeemed only in part, to the portion of the principal amount of such Securities which has been or is to be redeemed. 
 SECTION 1104. Notice of Redemption. 
 Notice of redemption shall be given by
first-class mail, postage prepaid, mailed not less than 30 nor more than 60 days prior to the Redemption Date, to each Holder of Securities to be redeemed, at his address appearing in the Security Register, except that a notice of redemption may be
given more than 60 days prior to the Redemption Date if such notice is given in connection with a satisfaction and discharge as described in Article Four of this Indenture. Notices of redemption may not be conditional. 

All notices of redemption shall state: 
 (1) The Securities to be redeemed (including CuSIP numbers), 
 (2)
the Redemption Date, 
 (3) the Redemption Price, 

(4) if less than all the Outstanding Securities of any series consisting of more than a single Security are to be
redeemed, the identification (and, in the case of partial redemption of any such Securities, the principal amounts) of the particular Securities to be redeemed and, if less than all the Outstanding Securities of any series consisting of a single
Security are to be redeemed, the principal amount of the particular Security to be redeemed, 
 (5) that on the
Redemption Date the Redemption Price will become due and payable upon each such Security to be redeemed and, if applicable, that interest thereon will cease to accrue on and after said date, and 

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

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

  
 -87-

 SECTION 1105. Deposit of Redemption Price. 

Prior to any Redemption Date, the Company shall deposit with the Trustee or with a Paying Agent (or, if the Company is acting as its own
Paying Agent, segregate and hold in trust as provided in Section 1003) an amount of money sufficient to pay the Redemption Price of, and (except if the Redemption Date shall be an Interest Payment Date) accrued interest on, all the Securities
which are to be redeemed on that date. 
 SECTION 1106. Securities Payable on Redemption Date. 

Notice of redemption having been given as aforesaid, the Securities so to be redeemed shall, on the Redemption Date, become due and
payable at the Redemption Price therein specified, and from and after such date (unless the Company shall default in the payment of the Redemption Price and accrued interest) such Securities shall cease to bear interest. Upon surrender of any such
Security for redemption in accordance with said notice, such Security shall be paid by the Company at the Redemption Price, together with accrued interest to the Redemption Date; provided, however, that, unless otherwise specified as
contemplated by Section 301, installments of interest whose Stated Maturity is on or prior to the Redemption Date will be payable to the Holders of such Securities, or one or more Predecessor Securities, registered as such at the close of
business on the relevant Record Dates according to their terms and the provisions of Section 307. 
 If any Security called
for redemption shall not be so paid upon surrender thereof for redemption, the principal and any premium shall, until paid, bear interest from the Redemption Date at the rate prescribed therefor in the Security. 

SECTION 1107. Securities Redeemed in Part. 
 Any Security which is to be redeemed only in part shall be surrendered at a Place of Payment therefor (with, if the Company or the Trustee so requires, due endorsement by, or a written instrument of
transfer in form satisfactory to the Company and the Trustee duly executed by, the Holder thereof or his attorney duly authorized in writing), and the Company shall execute, and the Trustee shall authenticate and deliver to the Holder of such
Security without service charge, a new Security or Securities of the same series and of like tenor, of any authorized denomination as requested by such Holder, in aggregate principal amount equal to and in exchange for the unredeemed portion of the
principal of the Security so surrendered. 
 SECTION 1108. Redemption upon Death of a Beneficial Owner. 

Subject to any different or more specific terms provided as contemplated by Section 301, the following provisions shall apply to the
Securities of any series that are specified, as contemplated by Section 301, to be subject to redemption upon the death of the Beneficial Owner (as defined below) thereof at the request of a Representative (as defined below) thereof.

 For purpose of making a redemption request, the Representative of a deceased Beneficial Owner is any person who is the person
representative of, or is otherwise authorized to represent, the estate of such deceased Beneficial Owner or the surviving joint tenant or tenant(s) by the entirety or the trustee of a trust (each, a “Representative”). A Representative may
initiate a request for redemption at any time. The Representative shall deliver its request to the Participant (as hereinafter defined) through whom the deceased Beneficial Owner owned the Security to be

  
 -88-

 
redeemed, in form satisfactory to such Participant, together with evidence of the death of such Beneficial Owner, evidence of the authority of the Representative satisfactory to such Participant,
any waivers, notices or certificates as may be required under applicable State or Federal law and any such other evidence of the right to such redemption as such Participant may require. The request must specify the principal amount of the
Securities to be redeemed in denominations of $1,000 and integral multiples of $1,000 in excess thereof. Subject to the rules and arrangements applicable to the Depositary, the Participant will thereupon deliver to the Depositary a request for
redemption substantially in the form attached to the Securities of such series (a “Redemption Request”). The Depositary will, upon receipt of a Redemption Request, forward the same to the Trustee. The Trustee shall maintain records with
respect to Redemption Requests received by it, including the date of receipt, the name of the Participant filing the Redemption Request and the status of each Redemption Request with respect to any applicable limitations on individual or aggregate
redemptions. The Trustee will promptly file with the Company each Redemption Request it receives, together with the information regarding the eligibility of the Redemption Request with respect to any applicable limitations on individual or aggregate
redemptions. The Company, the Depositary and the Trustee may conclusively assume, without independent investigation or verification, that the statements contained in each Redemption Request are true and correct and shall have no responsibility
(a) for reviewing any documents submitted to the Participant by the Representative or (b) for determining whether the deceased person is in fact the Beneficial Owner of the Securities to be redeemed or is in fact deceased and whether the
Representative is duly authorized to request redemption on behalf of the applicable Beneficial Owner. 
 For purposes of this
section, a “Beneficial Owner” means the person who has the right to sell, transfer or otherwise dispose of a Security and the right to receive the proceeds from that sale, as well as the interest thereon and principal thereof. In
connection with any such redemption, determination of beneficial ownership in Securities will be subject to the rules, regulations and procedures governing the Depositary and institutions (“Participants”) that have accounts with the
Depositary. 
 For purposes of this section, a Security held in tenancy by the entirety, joint tenancy or by tenants in common
will be deemed to be held by a single Beneficial Owner, and the death of a tenant by the entirety, joint tenant or tenant in common will be deemed the death of the Beneficial Owner of such Security. The death of a person who, during his or her
lifetime, was entitled to substantially all of the rights of a Beneficial Owner of a Security will be deemed the death of the Beneficial Owner of such Security, regardless of the recordation of such ownership of such Security on the records of the
Participant, if such rights can be established to the satisfaction of the Participant and the Company. 
 In the case of a
Redemption Request that is presented on behalf of a deceased Beneficial Owner that has not been fulfilled at the time the Company gives notice of its election to redeem Securities of the same series pursuant to any provision for redemption at the
option of the Company, the Securities that are the subject of such pending Redemption Request shall be redeemed prior to any other Securities of such series to the extent the aggregate principal amount of such Securities does not exceed the
aggregate principal amount of Securities the Company has elected to redeem pursuant to such optional redemption. 
 The
Representative of a deceased Beneficial Owner of Securities may initiate the withdrawal of any Redemption Request by making a request therefor to the applicable Participant 

  
 -89-

 
and requesting the Participant to request that the Depositary make a similar request to the Trustee not less than 60 days prior to the Redemption Date on which such Notes are first eligible for
redemption. The Company may, at its option, purchase any Securities for which Redemption Requests have been received in lieu of redeeming such Securities. 
 During such time or times as the Securities are not represented by a Global Security and are issued in certificated form, all references herein to Participants and the Depositary, including the
Depositary’s governing rules, regulations and procedures, shall be deemed deleted, all determinations which under this Section the Participants are required to make shall be made by the Company (including, without limitation, determining
whether the applicable decedent is in fact the Beneficial Owner of a Security to be redeemed or is in fact deceased and whether the Representative is duly authorized to request redemption on behalf of the applicable Beneficial Owner), and all
Redemption Requests, to be effective, shall be delivered by the Representative to the Trustee, with a copy to the Company, and shall be in the form of a Redemption Request (with appropriate changes mutually agreed to by the Trustee and the Company
to reflect the fact that such Redemption Request is being executed by a Representative (including provision for signature guarantees)) and, in addition to all documents that are otherwise required to accompany a Redemption Request, shall be
accompanied by the Security that is the subject of such request and, if applicable, a properly executed assignment or endorsement. If the record ownership of a Security is held by a nominee of the deceased Beneficial Owner, a certificate or letter
from such nominee attesting to the deceased’s ownership of a beneficial interest in the Security must also be delivered. 

ARTICLE TWELVE 

SINKING FUNDS 
 SECTION 1201. Applicability of Article. 
 The provisions of this Article
shall be applicable to any sinking fund for the retirement of Securities of any series except as otherwise specified as contemplated by Section 301 for such Securities. 
 The minimum amount of any sinking fund payment provided for by the terms of any Securities is herein referred to as a “mandatory sinking fund payment”, and any payment in excess of such minimum
amount provided for by the terms of such Securities is herein referred to as an “optional sinking fund payment”. If provided for by the terms of any Securities, the cash amount of any sinking fund payment may be subject to reduction as
provided in Section 1202. Each sinking fund payment shall be applied to the redemption of Securities as provided for by the terms of such Securities. 
 SECTION 1202. Satisfaction of Sinking Fund Payments with Securities. 
 The
Company (1) may deliver Outstanding Securities of a series (other than any previously called for redemption) and (2) may apply as a credit Securities of a series which have been redeemed either at the election of the Company pursuant to
the terms of such Securities or through the application of permitted optional sinking fund payments pursuant to the terms of such Securities, in each case in satisfaction of all or any part of any sinking fund payment with respect to any Securities
of such series required to be made pursuant to the terms of such Securities as 

  
 -90-

 
and to the extent provided for by the terms of such Securities; provided that the Securities to be so credited have not been previously so credited. The Securities to be so credited shall
be received and credited for such purpose by the Trustee at the Redemption Price, as specified in the Securities so to be redeemed, for redemption through operation of the sinking fund and the amount of such sinking fund payment shall be reduced
accordingly. 
 SECTION 1203. Redemption of Securities for Sinking Fund. 

Not less than 45 days prior to each sinking fund payment date for any Securities, the Company will deliver to the Trustee an
Officers’ Certificate specifying the amount of the next ensuing sinking fund payment for such Securities pursuant to the terms of such Securities, the portion thereof, if any, which is to be satisfied by payment of cash and the portion thereof,
if any, which is to be satisfied by delivering and crediting Securities pursuant to Section 1202 and will also deliver to the Trustee any Securities to be so delivered. Not less than 30 days prior to each such sinking fund payment date, the
Trustee shall select the Securities to be redeemed upon such sinking fund payment date in the manner specified in Section 1103 and cause notice of the redemption thereof to be given in the name of and at the expense of the Company in the manner
provided in Section 1104. Such notice having been duly given, the redemption of such Securities shall be made upon the terms and in the manner stated in Sections 1106 and 1107. 

ARTICLE THIRTEEN 

DEFEASANCE AND COVENANT DEFEASANCE 

SECTION 1301. Company’s Option to Effect Defeasance or Covenant Defeasance. 

The Company may elect, at its option at any time, to have Section 1302 or Section 1303 applied to any Securities or any series
of Securities, as the case may be, upon compliance with the conditions set forth below in this Article. Any such election shall be evidenced by a Board Resolution. 
 SECTION 1302. Defeasance and Discharge. 
 Upon the Company’s exercise
of its option to have this Section applied to any Securities or any series of Securities, as the case may be, the Company shall be deemed to have been discharged from its obligations with respect to such Securities as provided in this Section on and
after the date the conditions set forth in Section 1304 are satisfied (hereinafter called “Defeasance”). For this purpose, such Defeasance means that the Company shall be deemed to have paid and discharged the entire
indebtedness represented by such Securities and to have satisfied all its other obligations under such Securities and this Indenture insofar as such Securities are concerned (and the Trustee, at the expense of the Company, shall execute proper
instruments acknowledging the same), subject to the following which shall survive until otherwise terminated or discharged hereunder: (1) the rights of Holders of such Securities to receive, solely from the trust fund described in
Section 1304 and as more fully set forth in such Section, payments in respect of the principal of and any premium and interest on such Securities when payments are due, (2) the Company’s obligations with respect to such Securities
under Sections 304, 305, 306, 1002 and 1003, (3) the rights, powers, trusts, duties and immunities of the Trustee hereunder and (4) this Article. Subject to compliance with this Article, the Company may

  
 -91-

 
exercise its option to have this Section applied to any Securities notwithstanding the prior exercise of its option to have Section 1303 applied to such Securities. 

SECTION 1303. Covenant Defeasance. 
 Upon the Company’s exercise of its option to have this Section applied to any Securities or any series of Securities, as the case may be, (1) the Company shall be released from its obligations
under Section 801 and Sections 1006 through 1010, inclusive, and any covenants provided pursuant to Section 301(12), Section 901(2), Section 901(4) or Section 901(6) for the benefit of the Holders of such Securities and
(2) the occurrence of any event specified in Section 501(4), Section 501(5) (with respect to any of Sections 1006 through 1010, inclusive, and any such covenants provided pursuant to Section 301(12), Section 901(2),
Section 901(4) or Section 901(6)) or Sections 501(6) through 501(10) shall be deemed not to be or result in an Event of Default, in each case with respect to such Securities as provided in this Section on and after the date the conditions
set forth in Section 1304 are satisfied (hereinafter called “Covenant Defeasance”). For this purpose, such Covenant Defeasance means that, with respect to such Securities, the Company may omit to comply with and shall have no
liability in respect of any term, condition or limitation set forth in any such specified Section (to the extent so specified in the case of Section 501(5)), whether directly or indirectly by reason of any reference elsewhere herein to any such
Section or by reason of any reference in any such Section to any other provision herein or in any other document, but the remainder of this Indenture and such Securities shall be unaffected thereby. 

SECTION 1304. Conditions to Defeasance or Covenant Defeasance. 

The following shall be the conditions to the application of Section 1302 or Section 1303 to any Securities or any series of
Securities, as the case may be: 
 (1) The Company shall irrevocably have deposited or caused to be deposited
with the Trustee (or another trustee which satisfies the requirements contemplated by Section 609 and agrees to comply with the provisions of this Article applicable to it) as trust funds in trust for the purpose of making the following
payments, specifically pledged as security for, and dedicated solely to, the benefits of the Holders of such Securities, (A) money in an amount, or (B) U.S. Government Obligations which through the scheduled payment of principal and
interest in respect thereof in accordance with their terms will provide, not later than one day before the due date of any payment, money in an amount, or (C) a combination thereof, in each case sufficient, in the opinion of a nationally
recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay and discharge, and which shall be applied by the Trustee (or any such other qualifying trustee) to pay and discharge, the
principal of and any premium and interest on such Securities on the respective Stated Maturities, in accordance with the terms of this Indenture and such Securities. As used herein, “U.S. Government Obligation” means (x) any
security which is (i) a direct obligation of the United States of America for the payment of which the full faith and credit of the United States of America is pledged or (ii) an obligation of a Person controlled or supervised by and
acting as an agency or instrumentality of the United States of America the payment of which is unconditionally guaranteed as a full faith and credit obligation by the United States of America, which, in either case (i) or (ii), is not callable
or redeemable at the option of the Company thereof, and (y) any depositary 

  
 -92-

 
receipt issued by a bank (as defined in Section 3(a)(2) of the Securities Act) as custodian with respect to any U.S. Government Obligation which is specified in Clause (x) above and
held by such bank for the account of the holder of such depositary receipt, or with respect to any specific payment of principal of or interest on any U.S. Government Obligation which is so specified and held, provided that (except as
required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such depositary receipt from any amount received by the custodian in respect of the U.S. Government Obligation or the specific payment
of principal or interest evidenced by such depositary receipt. 
 (2) In the event of an election to have
Section 1302 apply to any Securities or any series of Securities, as the case may be, the Company shall have delivered to the Trustee an Opinion of Counsel stating that (A) the Company has received from, or there has been published by, the
Internal Revenue Service a ruling or (B) since the date of this instrument, there has been a change in the applicable Federal income tax law, in either case (A) or (B) to the effect that, and based thereon such opinion shall confirm
that, the Holders of such Securities will not recognize gain or loss for Federal income tax purposes as a result of the deposit, Defeasance and discharge to be effected with respect to such Securities and will be subject to Federal income tax on the
same amount, in the same manner and at the same times as would be the case if such deposit, Defeasance and discharge were not to occur. 
 (3) In the event of an election to have Section 1303 apply to any Securities or any series of Securities, as the case may be, the Company shall have delivered to the Trustee an Opinion of Counsel to
the effect that the Holders of such Securities will not recognize gain or loss for Federal income tax purposes as a result of the deposit and Covenant Defeasance to be effected with respect to such Securities and will be subject to Federal income
tax on the same amount, in the same manner and at the same times as would be the case if such deposit and Covenant Defeasance were not to occur. 
 (4) The Company shall have delivered to the Trustee an Officers’ Certificate to the effect that neither such Securities nor any other Securities of the same series, if then listed on any securities
exchange, will be delisted as a result of such deposit. 
 (5) No Event of Default with respect to such
Securities or any other Securities shall have occurred and be continuing at the time of such deposit or, with regard to any such event specified in Sections 501(7) and (8), at any time on or prior to the 90th day after the date of such deposit (it
being understood that this condition shall not be deemed satisfied until after such 90th day). 
 (6) Such
Defeasance or Covenant Defeasance shall not cause the Trustee to have a conflicting interest within the meaning of the Trust Indenture Act (assuming all Securities are in default within the meaning of such Act). 

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

  
 -93-

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

(9) The Company shall have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating
that all conditions precedent with respect to such Defeasance or Covenant Defeasance have been complied with. 
 SECTION 1305.
Deposited Money and U.S. Government Obligations to Be Held in Trust; Miscellaneous Provisions. 
 Subject to the
provisions of the last paragraph of Section 1003, all money and U.S. Government Obligations (including the proceeds thereof) deposited with the Trustee or other qualifying trustee (solely for purposes of this Section and Section 1306, the
Trustee and any such other trustee are referred to collectively as the “Trustee”) pursuant to Section 1304 in respect of any Securities shall be held in trust and applied by the Trustee, in accordance with the provisions of
such Securities and this Indenture, to the payment, either directly or through any such Paying Agent (including the Company acting as its own Paying Agent) as the Trustee may determine, to the Holders of such Securities, of all sums due and to
become due thereon in respect of principal and any premium and interest, but money so held in trust need not be segregated from other funds except to the extent required by law. 

The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the U.S. Government
Obligations deposited pursuant to Section 1304 or the principal and interest received in respect thereof other than any such tax, fee or other charge which by law is for the account of the Holders of Outstanding Securities. 

Anything in this Article to the contrary notwithstanding, the Trustee shall deliver or pay to the Company from time to time upon Company
Request any money or U.S. Government Obligations held by it as provided in Section 1304 with respect to any Securities which, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification
thereof delivered to the Trustee, are in excess of the amount thereof which would then be required to be deposited to effect the Defeasance or Covenant Defeasance, as the case may be, with respect to such Securities. 

SECTION 1306. Reinstatement. 
 If the Trustee or the Paying Agent is unable to apply any money in accordance with this Article with respect to any Securities by reason of any order or judgment of any court or governmental authority
enjoining, restraining or otherwise prohibiting such application, then the obligations under this Indenture and such Securities from which the Company has been discharged or released pursuant to Section 1302 or 1303 shall be revived and
reinstated as though no deposit had occurred pursuant to this Article with respect to such Securities, until such time as the Trustee or Paying Agent is permitted to apply all money held in trust pursuant to Section 1305 with respect to such
Securities in accordance with this Article; provided, however, that if the Company makes any payment of principal of or any premium or interest on any such Security following such reinstatement of its obligations, the Company shall be
subrogated to the rights (if any) of the Holders of such Securities to receive such payment from the money so held in trust. 

  
 -94-

 This instrument may be executed in any number of counterparts, each of which so executed
shall be deemed to be an original, but all such counterparts shall together constitute but one and the same instrument. 

  
 -95-

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

			
	AMERICAN WATER CAPITAL CORP.
		
	By	 	 /s/ Ellen C. Wolf

		 	Name: Ellen C. Wolf
		 	Title:
	
	 WELLS FARGO BANK, NATIONAL
 ASSOCIATION, as Trustee

		
	By	 	 /s/ Raymond Delli Colli

		 	Name: Raymond Delli Colli
		 	Title: Vice President

  
 -96-

 ANNEX A-1 
 FORM OF TRANSFER CERTIFICATE-RULE 144A 
 GLOBAL SECURITY TO TEMPORARY REGULATION S

 GLOBAL SECURITY 
 TEMPORARY REGULATION S GLOBAL NOTE CERTIFICATE 
 (for transfers pursuant to Section

 305(b)(iii) of the Indenture) 
 WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 

MAC N9303-121 
 608 2nd Avenue South 

Minneapolis, MN 55479 
 Telephone No.:
(877) 872-4605 
 Fax No.: (866) 969-1290 
 Email: DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water
Capital Corp. (the “Securities”) 
 Reference is hereby made to the Indenture, dated as of December 4, 2009
(the “Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in
the Indenture. 
 This certificate relates to U.S.
$                     aggregate principal amount of Securities which are evidenced by the Rule 144A Global Security (CUSIP
No.            ) and held with the Depositary in the name of [insert name of transferor] (the “Transferor”). The Transferor has requested a transfer of such
beneficial interest in the Securities to a Person who will take delivery thereof in the form of an equal aggregate principal amount of Securities evidenced by the Temporary Regulation S Global Security (CUSIP
No.            ), which amount, immediately after such transfer, is to be held with the Depositary through Euroclear or Clearstream or both. 

In connection with such request and in respect of such Securities, the Transferor does hereby certify that such transfer has been
effected pursuant to and in accordance with Rule 903 or Rule 904 under the United States Securities Act of 1933, as amended (the “Securities Act”), and accordingly the Transferor does hereby further certify that: 

 

	 	(a)	the offer of the Securities was not made to a person in the United States; 

 

	 	(b)	either: 

  

	 	(i)	at the time the buy order was originated, the transferee was outside the United States or the Transferor and any person acting on its behalf reasonably believed that
the transferee was outside the United States, or 

  
 A-1-1

  

	 	(ii)	the transaction was executed in, on or through the facilities of a designated offshore securities market and neither the Transferor nor any person acting on its behalf
knows that the transaction was prearranged with a buyer in the United States; 

  

	 	(c)	no directed selling efforts have been made in contravention of the requirements of Rule 903(b) or 904(a) of Regulation S, as applicable; 

 

	 	(d)	the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act; and 

 

	 	(e)	upon completion of the transaction, the beneficial interest being transferred as described above will be held with the Depositary through Euroclear or Clearstream or
both. 

 We understand that this certificate is required in connection with certain securities laws of the United
States. In connection therewith, if administrative or legal proceedings are commenced or threatened in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any interested party
in such proceeding. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated
                     with the Company relating to the Securities. Terms used in this certificate and not otherwise defined in the Indenture
have the meanings set forth in Regulation S under the Securities Act. 
  

					
	Dated:	 	[Insert Name of Transferor]
			
		 	By:	 	  

		 		 	Name:
		 		 	Title:

 (If the Transferor is a
corporation, partnership or fiduciary, the title of the 
 Person signing on behalf of such registered owner must be stated.)

  
 A-1-2

 ANNEX A-2 
 FORM OF TRANSFER CERTIFICATE-RULE 144A 
 GLOBAL SECURITY TO PERMANENT REGULATION S

 GLOBAL SECURITY 
 PERMANENT REGULATION S GLOBAL NOTE CERTIFICATE 
 (for transfers pursuant to Section

 305(b)(iv) of the Indenture) 
 WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 

MAC N9303-121 
 608 2nd Avenue South 

Minneapolis, MN 55479 
 Telephone No.:
(877) 872-4605 
 Fax No.: (866) 969-1290 
 Email: DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water
Capital Corp. (the “Securities”) 
 Reference is hereby made to the Indenture, dated as of December 4, 2009
(the “Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in
the Indenture. 
 This certificate relates to U.S.
$                     aggregate principal amount of Securities which are evidenced by the Rule 144A Global Security (CUSIP
No.            ) and held with the Depositary in the name of [insert name of transferor] (the “Transferor”). The Transferor has requested a transfer of such beneficial
interest in the Securities to a Person who will take delivery thereof in the form of an equal aggregate principal amount of Securities evidenced by the Permanent Regulation S Global Security (CUSIP
No.            ). 
 In connection with such request and in
respect of such Securities, the Transferor does hereby certify that: 
  

	 	(a)	with respect to transfers made in reliance on Regulation S under the Securities Act of 1933, as amended (the “Securities Act”):

  

	 	(i)	the offer of the Securities was not made to a person in the United States; 

 

	 	(ii)	either: 

  

	 	1)	at the time the buy order was originated, the transferee was outside the United States or the Transferor and any person acting on its behalf reasonably believed that
the transferee was outside the United States, or 

  

	 	2)	 the transaction was executed in, on or through the facilities of a designated offshore securities market and neither the Transferor

  
 A-2-99

	 	 
nor any person acting on its behalf knows that the transaction was prearranged with a buyer in the United States; 

 

	 	(iii)	no directed selling efforts have been made in contravention of the requirements of Rule 903(b) or 904(a) of Regulation S, as applicable; and 

 

	 	(iv)	the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act; or 

 

	 	(b)	with respect to transfers made in reliance on Rule 144 under the Securities Act, the Securities are being transferred in a transaction permitted by Rule 144 under the
Securities Act. 

 We understand that this certificate is required in connection with certain securities laws of
the United States. In connection therewith, if administrative or legal proceedings are commenced or threatened in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any
interested party in such proceeding. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and Initial Purchasers of the Securities under the Purchase Agreement, dated
                     with the Company relating to the Securities. Terms used in this certificate and not otherwise defined in the Indenture
have the meanings set forth in Regulation S under the Securities Act. 
  

					
	Dated:	 	[Insert Name of Transferor]
			
		 	By:	 	  

		 		 	Name:
		 		 	Title:
			
		 		 	(If the Transferor is a corporation, partnership or fiduciary, the title of the Person signing on behalf of such registered owner must be stated.)

  
 A-2-100

 ANNEX B 
 FORM OF TRANSFER CERTIFICATE-TEMPORARY REGULATION S GLOBAL SECURITY 
 OR PERMANENT
REGULATION S GLOBAL SECURITY TO RESTRICTED RULE 144A 
 GLOBAL SECURITY 

RULE 144A GLOBAL NOTE CERTIFICATE 
 (for transfers pursuant to Section 
 305(b)(v) of the Indenture) 

WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 
 MAC N9303-121 

608 2nd Avenue South 
 Minneapolis, MN 55479

 Telephone No.: (877) 872-4605 

Fax No.: (866) 969-1290 
 Email:
DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water Capital Corp. (the “Securities”)

 Reference is hereby made to the Indenture, dated as of December 4, 2009 (the “Indenture”), between
American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture. 

This certificate relates to U.S.
$                     aggregate principal amount of Securities which are evidenced by the Temporary Regulation S Global Security or the
Permanent Regulation S Global Security (CUSIP No.             ) and held with the Depositary through Euroclear or Clearstream or both in the name of [insert name of transferor] (the
“Transferor”) during the Restricted Period. The Transferor has requested a transfer of such beneficial interest in the Securities to a Person that will take delivery thereof in the form of an equal principal amount of Securities
evidenced by the Rule 144A Global Security (CUSIP No.             ). 
 In connection with such request and in respect of such Securities, the Transferor does hereby certify that such transfer has been effected pursuant to and in accordance with Rule 144A under the United
States Securities Act of 1933, as amended, and accordingly the Transferor does hereby further certify that the Securities are being transferred to a person that the Transferor reasonably believes is purchasing the Securities for its own account, or
for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person and each such account is a “qualified institutional buyer” within the meaning of Rule 144A and the Securities have been
transferred in a transaction meeting the requirements of Rule 144A and in accordance with any applicable securities laws of any state of the United States. 

  
 B-101

 We understand that this certificate is required in connection with certain securities laws
of the United States. In connection therewith, if administrative or legal proceedings are commenced or threatened in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any
interested party in such proceeding. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated with
                     the Company relating to the Securities. 
  

							
	Dated:	 		 	[Insert Name of Transferor]
				
		 		 	By:	 	  

		 		 		 	Name:
		 		 		 	Title:
				
		 		 		 	(If the Transferor owner is a corporation, partnership or fiduciary, the title of the Person signing on behalf of such registered owner must be stated.)

  
 B-102

 ANNEX C-1 
 FORM OF CERTIFICATION TO BE GIVEN BY HOLDERS OF 
 BENEFICIAL INTEREST IN A TEMPORARY
REGULATION S GLOBAL 
 SECURITY TO EUROCLEAR OR CLEARSTREAM 

OWNER SECURITIES CERTIFICATION 

[EUROCLEAR BANC S.A./N.V., 
 as Operator of the
Euroclear 
 Clearance System] [or] CLEARSTREAM BANKING, 
 SOCIETE ANONYME, LUXEMBOURG] 
 Re: [title of series] of American Water Capital
Corp. (the “Securities”) 
 Reference is hereby made to the Indenture, dated as of December 4, 2009 (the
“Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in the
Indenture. 
 This certificate relates to U.S.
$                     aggregate principal amount of Securities which are evidenced by the Temporary Regulation S Global Security (CUSIP No.
            ) and held with the Depositary through Euroclear or Clearstream or both in the name of [insert name of holder] (the “Holder”). 

In respect of such Securities, the Holder does hereby certify that as of the date hereof, the above-captioned Securities are beneficially
owned by non-U.S. Persons and are not held for purposes of resale directly or indirectly to a U.S. Person or to a person within the United States or its possessions. 
 As used herein, “United States” means the United States of America, its territories and possessions, any state of the United States, and the District of Columbia. As used herein, U.S.
Person has the meaning assigned to it in Rule 902 under the Securities Act of 1933, as amended. 
 We undertake to advise you
immediately by tested telex on or prior to the date on which you intend to submit your certification relating to the Securities held by you for our account in accordance with your operating procedures if any applicable statement herein is not
correct on such date, and in the absence of any such notification it may be assumed that this certification applies as of such date. 

  
 C-1-1

 We understand that this certification is required in connection with certain securities
laws in the United States. If administrative or legal proceedings are commenced or threatened in connection with which this certification is or would be relevant, we irrevocably authorize you to produce this certification or a copy thereof to any
interested party in such proceedings. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated
                     with the Company relating to the Securities. 
 Date:                     ,     1 

[Name of Person Making Certification] 
  

 

	1	 To be dated no earlier than 15 days prior to the transfer or exchange date to which the certification relates. 

  
 C-104-2

 ANNEX C-2 
 FORM OF CERTIFICATION TO BE GIVEN BY THE 
 EUROCLEAR OPERATOR OR CLEARSTREAM,
SOCIETE 
 ANONYME 
 DEPOSITARY SECURITIES CERTIFICATION 
 WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee

 Wells Fargo Bank - DAPS Reorg. 
 MAC
N9303-121 
 608 2nd Avenue South 

Minneapolis, MN 55479 
 Telephone No.:
(877) 872-4605 
 Fax No.: (866) 969-1290 
 Email: DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water
Capital Corp. (the “Securities”) 
 Reference is hereby made to the Indenture, dated as of December 4, 2009
(the “Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in
the Indenture. 
 This is to certify that, based solely on certifications we have received in writing, by tested telex or by
electronic transmission from member organizations appearing in our records as persons being entitled to a portion of the principal amount set forth below (our “Member Organizations”) substantially to the effect set forth in the
Indenture, as of the date hereof, $                     aggregate principal amount of the above-captioned Securities are beneficially owned by
non-U.S. Persons and are not held for purposes of resale directly or indirectly to a U.S. Person or to a person within the United States or its possessions. 
 As used herein, “United States” means the United States of America, its territories and possessions, any state of the United States, and the District of Columbia. As used herein, U.S.
Person has the meaning assigned to it in Rule 902 under the Securities Act of 1933, as amended. 
 We further certify
(i) that we are not making available herewith for exchange any portion of the Temporary Regulation S Global Security excepted in such certifications and (ii) that as of the date hereof we have not received any notification from any of our
Member Organizations to the effect that the statements made by such Member Organizations with respect to any portion of the part submitted herewith for exchange are no longer true and cannot be relied upon as of the date hereof. 

  
 C-105-1

 We understand that this certification is required in connection with certain securities
laws of the United States. If administrative or legal proceedings are commenced or threatened in connection with which this certification is or would be relevant, we irrevocably authorize you to produce this certification or a copy thereof to any
interested party in such proceedings. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated
                     with the Company relating to the Securities. 
 Dated: 
  

			
	By:	 	  

		 	 [EUROCLEAR BANC SA/N.V., as Operator
 of the Euroclear Clearance System] [or]
 [CLEARSTREAM BANKING, SOCIETE

ANONYME LUXEMBOURG]

  
 C-2-106

 ANNEX C-3 
 FORM OF CERTIFICATION TO BE GIVEN BY 
 TRANSFEREE OF BENEFICIAL INTEREST IN A

 TEMPORARY REGULATION S GLOBAL SECURITY AFTER 
 THE RESTRICTED PERIOD 
 TRANSFEREE SECURITIES CERTIFICATION 

[EUROCLEAR BANC S.A./N.V., 
 as Operator of the
Euroclear 
 Clearance system] [or] [CLEARSTREAM BANKING, 
 SOCIETE ANONYME, LUXEMBOURG] 
 Re: [title of series] of American Water Capital
Corp. (the “Securities”) 
 Reference is hereby made to the Indenture, dated as of December 4, 2009 (the
“Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in the
Indenture. 
 For purposes of acquiring a beneficial interest in the Temporary Regulation S Global Security, the undersigned
certifies that it is not a U.S. Person as defined by Regulation S under the Securities Act of 1933, as amended. 
 We undertake
to advise you promptly by tested telex on or prior to the date on which you intend to submit your certification relating to the Securities held by you in which we intend to acquire a beneficial interest in accordance with your operating procedures
if any applicable statement herein is not correct on such date, and in the absence of any such notification it may be assumed that this certification applies as of such date. 
 We understand that this certificate is required in connection with certain securities laws of the United States. In connection therewith, if administrative or legal proceedings are commenced or threatened
in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any interested party in such proceeding. This certificate and the statements contained herein are made for your benefit
and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated                      with the
Company relating to the Securities. 
 Dated: 

 

			
	 By:
	 	  

		 	As, or as agent for, the beneficial acquiror of the Securities to which this certificate relates.

  
 C-107-1

 ANNEX D-1 
 FORM OF TRANSFER CERTIFICATE -NON- 
 GLOBAL RESTRICTED SECURITY TO RULE 

144A GLOBAL SECURITY 
 RULE 144A GLOBAL NOTE CERTIFICATE 
 (for transfers pursuant to Section

305(b)(vi) of the Indenture) 

WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 
 MAC N9303-121 

608 2nd Avenue South 
 Minneapolis, MN 55479

 Telephone No.: (877) 872-4605 

Fax No.: (866) 969-1290 
 Email:
DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water Capital Corp. (the “Securities”)

 Reference is hereby made to the Indenture, dated as of December 4, 2009 (the “Indenture”), between
American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture. 

This certificate relates to
$                     aggregate principal amount of Securities held in definitive form (CUSIP
No.            ) by [insert name of transferor] (the “Transferor”). The Transferor has requested a transfer of such Securities to a Person that will take delivery in
the form of an equal principal amount of Securities evidenced by the Rule 144A Global Security (CUSIP No.             ). 

In connection with such request and in respect of such Securities, the Transferor does hereby certify that such transfer has been
effected pursuant to and in accordance with Rule 144A under the United States Securities Act of 1933, as amended, and accordingly the Transferor does hereby further certify that the Securities are being transferred to a person that the Transferor
reasonably believes is purchasing the Securities for its own account, or for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person and each such account is a “qualified institutional
buyer” within the meaning of Rule 144A and the Securities have been transferred in a transaction meeting the requirements of Rule 144A and in accordance with any applicable securities laws of any state of the United States. 

  
 D-1-1

 We understand that this certificate is required in connection with certain securities laws
of the United States. In connection therewith, if administrative or legal proceedings are commenced or threatened in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any
interested party in such proceeding. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement, dated
                     with the Company relating to the Securities. 

 

							
	 Dated:
	 		 	[Insert Name of Transferor]
				
		 		 	By:	 	  

		 		 		 	Name:
		 		 		 	Title:

  
 D-1-2

 ANNEX D-2 
 FORM OF CERTIFICATE — NON-GLOBAL RESTRICTED SECURITY TO PERMANENT 
 REGULATION
S GLOBAL SECURITY OR TEMPORARY REGULATION S GLOBAL 
 SECURITY 

REGULATION S GLOBAL NOTE CERTIFICATE 
 (for transfers pursuant to Section
 305(b)(vi) of the Indenture) 

WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 
 MAC N9303-121 

608 2nd Avenue South 
 Minneapolis, MN 55479

 Telephone No.: (877) 872-4605 

Fax No.: (866) 969-1290 
 Email:
DAPSReorg@wellsfargo.com 
 Re: [title of series] of American Water Capital Corp. (the “Securities”)

 Reference is hereby made to the Indenture, dated as of December 4, 2009 (the “Indenture”), between
American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture. 

This certificate relates to $
                     aggregate principal amount of Securities held in definitive form (CUSIP No.
            ) by [insert name of transferor] (the “Transferor”). The Transferor has requested an exchange or transfer of such Securities to a Person that will take
delivery in the form of an equal principal amount of Securities evidenced by the Permanent Regulation S Global Security or the Temporary Regulation S Global Security (CUSIP No.
            ). 
 In connection with such request and in
respect of such Securities, the Transferor does hereby certify that such transfer has been effected pursuant to and in accordance with (a) Rule 903 or Rule 904 under the Securities Act of 1933, as amended (the “Act”), or
(b) Rule 144 under the Act, if available, and accordingly the Transferor does hereby further certify that: 
  

	 	(a)	if the transfer has been effected pursuant to Rule 903 or Rule 904: 

  

	 	(i)	if the offer of the Securities was not made to a person in the United States; 

 

	 	(ii)	either: 

  

	 	1)	at the time the buy order was originated, the transferee was outside the United States or the Transferor and any person acting on its behalf reasonably believed that
the transferee was outside the United States, or 

  
 D-2-1-

  

	 	2)	the transaction was executed in, on or through the facilities of a designated offshore securities market and neither the Transferor nor any person acting on its behalf
knows that the transaction was prearranged with a buyer in the United States; 

  
 D-2-111

  

	 	(iii)	no directed selling efforts have been made in contravention of the requirements of Rule 903(b) or 904(b) of Regulation S, as applicable; 

 

	 	(iv)	the transaction is not part of a plan or scheme to evade the registration requirements of the Act; and 

 

	 	(v)	if such transfer is to occur during the Restricted Period, upon completion of the transaction, the beneficial interest being transferred as described above was held
with the Depositary through [Euroclear] [Clearstream]; or 

  

	 	(b)	if the transfer has been effected pursuant to Rule 144: 

  

	 	(i)	more than two years has elapsed since the date of the closing of the initial placement of the Securities pursuant to the Purchase Agreement, dated
                    , between the Company and the representatives of the several purchasers named therein; and 

 

	 	(ii)	the Securities have been transferred in a transaction permitted by Rule 144 and made in accordance with any applicable securities laws of any state of the United
States. 

 We understand that this certificate is required in connection with certain securities laws of the
United States. In connection therewith, if administrative or legal proceedings are commenced or threatened in connection with which this certificate is or would be relevant, we irrevocably authorize you to produce this certificate to any interested
party in such proceeding. This certificate and the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers of the Securities under the Purchase Agreement,
                     dated with the Company relating to the Securities. 

 

			
	 Dated:
	  	[Insert Name of Transferor]

  
 D-2-112

 ANNEX E 
 FORM OF INSTRUCTION FOR EXCHANGE 
 (For use prior to the exchange of a Temporary
Regulation S Global Security for 
 one or more Restricted Securities.) 

EXCHANGE INSTRUCTIONS 
 AMERICAN WATER CAPITAL 
 CORP. [title of series] (the
“Securities”) 
 Pursuant to Section 305(b)(vii)(2) of the Indenture, dated as of December 4, 2009 (the
“Indenture”), between American Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee, [Name of Initial
                             Purchaser] hereby requests that U.S.$
                     aggregate principal amount of the above-captioned Securities held by you for our account in the Temporary Regulation S
Security (CUSIP No.             ) (as defined in the Indenture) be exchanged for one or more 
 Restricted [Global] Securities [(CUSIP No.             )] in the denominations and registered in the names of the holders requested as
set forth below: 
 Denominations
                     Registered Name 
 Dated:                               [Name of Initial
Purchaser] 
 By:
                             

  
 E-113

 ANNEX F 
 FORM OF UNRESTRICTED 
 SECURITIES 

CERTIFICATE 

UNRESTRICTED SECURITIES CERTIFICATE 
 (For removal of Securities Act Legends pursuant to § 305(c)) 
 WELLS FARGO BANK, NATIONAL
ASSOCIATION, as Trustee 
 Wells Fargo Bank - DAPS Reorg. 
 MAC N9303-121 
 608 2nd Avenue South 
 Minneapolis, MN 55479 
 Telephone No.: (877) 872-4605 

Fax No.: (866) 969-1290 
 Email:
DAPSReorg@wellsfargo.com 
 Attention:          Corporate Trust Trustee Administration

 Re:      [title of series] of American Water Capital Corp. (the “Securities”)

 Reference is made to the Indenture, dated as of December 4, 2009 (the “Indenture”), among American
Water Capital Corp. (the “Company”) and Wells Fargo Bank, National Association, as Trustee. Terms used herein and defined in the Indenture or in Regulation S or Rule 144 under the U.S. Securities Act of 1933, as amended (the
“Securities Act”) are used herein as so defined. 
 This certificate relates to U.S.
$                     principal amount of Securities, which are evidenced by the following certificate(s) (the “Specified
Securities”): 
 CUSIP No(s).
                                         
              
 CERTIFICATE No(s).
                                        

 The person in whose name this certificate is executed below (the “Undersigned”) hereby certifies that either
(i) it is the sole beneficial owner of the Specified Securities or (ii) it is acting on behalf of all the beneficial owners of the Specified Securities and is duly authorized by them to do so. Such beneficial owner or owners are referred
to herein collectively as the “Owner”. If the Specified Securities are represented by a Global Security, they are held through the Depositary or an Agent Member in the name of the Undersigned, as or on behalf of the Owner. If the
Specified Securities are not represented by a Global Security, they are registered in the name of the Undersigned, as or on behalf of the Owner. 

  
 F-114

 ANNEX F 

 

 The Owner has requested that the Specified Securities be exchanged for Securities
bearing no Securities Act Legend pursuant to Section 305(c) of the Indenture. In connection with such exchange, the Owner hereby certifies that the exchange is 

  
 F-115

 
occurring after a holding period of at least two years (computed in accordance with paragraph (d) of Rule 144) has elapsed since the Specified Securities were last acquired from the Company
or from an affiliate of the Company, whichever is later, and the Owner is not, and during the preceding three months has not been, an affiliate of the Company. The Owner also acknowledges that any future transfers of the Specified Securities must
comply with all applicable securities laws of the states of the United States and other jurisdictions. 
 This certificate and
the statements contained herein are made for your benefit and the benefit of the Company and the Initial Purchasers under the Purchase Agreement, dated
                     with the Company relating to the Securities. 

 

			
	Dated:	 	  

	
	 (Print the name of the Undersigned, as such term is defined in the second paragraph of this
certificate.)

  

			
	By:	 	  

		 	Name:
		 	Title:
	
	(If the Undersigned is a corporation, partnership or fiduciary, the title of the person signing on behalf of the Undersigned must be stated.)

  
 F-116

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00181-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00181-of-00352.parquet"}]]