Document:

Exhibit
4.1

O’REILLY AUTOMOTIVE, INC.

 

FOURTH SUPPLEMENTAL INDENTURE

 

Dated as of June 15, 2022

 

between

 

O’REILLY AUTOMOTIVE, INC.

 

as Issuer

 

and

 

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION

 

as Trustee

 

to the

 

INDENTURE

 

Dated as of May 20, 2019

 

between

 

O’REILLY AUTOMOTIVE, INC.

 

as Issuer

 

and

 

U.S. BANK NATIONAL ASSOCIATION

 

as Trustee

 

4.700% SENIOR NOTES DUE 2032

 

     

     

    

 

TABLE OF CONTENTS

 

	 	 	 	Page
	 	 	 	 
	 	 	ARTICLE I	 
	 	 	 	 
	 	 	DEFINITIONS	 
	 	 	 	 
	Section 1.01	 	Definitions	1
	 	 	 	 
	 	 	ARTICLE II	 
	 	 	 	 
	 	 	DESIGNATION AND TERMS OF THE SECURITIES	 
	 	 	 	 
	Section 2.01	 	Terms of the Notes	9
	Section 2.02	 	Issuance of Additional Notes	9
	 	 	 	 
	 	 	ARTICLE III	 
	 	 	 	 
	 	 	REDEMPTION	 
	 	 	 	 
	Section 3.01	 	Optional Redemption	10
	 	 	 	 
	 	 	ARTICLE IV	 
	 	 	 	 
	 	 	COVENANTS	 
	 	 	 	 
	Section 4.01	 	Limitations on Liens	11
	Section 4.02	 	Limitation on Sale and Leaseback Transactions	11
	Section 4.03	 	Future Guarantees	11
	Section 4.04	 	Change of Control	12
	 	 	 	 
	 	 	ARTICLE V	 
	 	 	 	 
	 	 	EVENTS OF DEFAULT	 
	 	 	 	 
	Section 5.01	 	Events of Default	14
	Section 5.02	 	Acceleration	14
	 	 	 	 
	 	 	ARTICLE VI	 
	 	 	 	 
	 	 	Defeasance	 
	 	 	 	 
	Section 6.01	 	Defeasance and Covenant Defeasance	15
	 	 	 	 
	 	 	ARTICLE VII	 
	 	 	 	 
	 	 	Miscellaneous	 
	 	 	 	 
	Section 7.01	 	Ratification of Base Indenture; Supplemental Indentures Part of Base Indenture	15
	Section 7.02	 	Multiple Originals	15
	Section 7.03	 	Governing Law	15
	 	 	 	 
	Exhibit A	 	Form of Note	 

 

    ii 

     

    

 

FOURTH SUPPLEMENTAL INDENTURE, dated as of June 15,
2022 (this “Fourth Supplemental Indenture”), between O’REILLY AUTOMOTIVE, INC., a Missouri corporation
(the “Company”), and U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION (f/k/a U.S. Bank National Association), a national
banking association, as trustee (the “Trustee”), to the Indenture, dated as of May 20, 2019 (the “Base
Indenture” and, together with this Fourth Supplemental Indenture, the “Indenture”), between the Company
and the Trustee. Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Base Indenture.

 

RECITALS

 

WHEREAS, the Company and the Trustee are parties
to the Base Indenture, which provides for the issuance from time to time by the Company of debt securities in one or more Series; and

 

WHEREAS, pursuant to Sections 2.01 and
2.02 of the Base Indenture, the Company desires to provide for the establishment of a Series of senior debt securities entitled
 “4.700% Senior Notes due 2032” (the “Notes”), the form and substance of which, and the terms, provisions
and conditions of which, to be set forth as provided in the Indenture.

 

NOW THEREFORE, each of the parties hereto covenants
and agrees, for the equal and ratable benefit of the Holders of the Notes, as follows:

 

ARTICLE I

 

DEFINITIONS

 

Section 1.01          Definitions.

 

The following definitions supplement and, to the
extent inconsistent with, replace the definitions in Section 1.01 of the Base Indenture:

 

“Additional
Notes” means any additional 4.700% Senior Notes due 2032 issued from time to time after the Issue Date under the terms
of the Indenture other than pursuant to 2.09, 2.10, 2.13, 3.06 or 9.05 of the Base Indenture.

 

“Attributable Debt” in respect
of a Sale and Leaseback Transaction means, at the time of determination, the present value discounted at the rate of interest implicit
in the terms of the lease (as determined in good faith by the Company) of the obligations of the lessee under such lease for net rental
payments during the remaining term of the lease (including any period for which such lease has been extended or may, at the Company’s
option, be extended).

 

“Capital Markets Debt” means
any debt for borrowed money that (i) is in the form of, or represented by, bonds, notes, debentures or other securities (other than
promissory notes or similar evidences of debt under a credit agreement) and (ii) has an aggregate principal amount outstanding of
(a) at least $25.0 million, at any time that any Existing Notes remain outstanding, or (b) at least $100.0 million at any time
that no Existing Notes remain outstanding.

 

     

     

    

 

“Change of Control” means the
occurrence of any one of the following:

 

(1)          the
direct or indirect sale, lease, 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 assets of the Company and its Subsidiaries taken as a whole to any
Person (including any “person” (as that term is used in Section 13(d)(3) of the Exchange Act)) other than the Company
or one of its Subsidiaries;

 

(2)          the
consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that any Person (including
any “person” or “group” (as those terms are used in Section 13(d)(3) of the Exchange Act)) becomes
the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of more
than 50% of the outstanding Voting Stock of the Company or any other Voting Stock into which the Voting Stock of the Company is reclassified,
consolidated, exchanged or changed, measured by voting power rather than number of shares;

 

(3)          the
Company consolidates with, or merges with or into, any Person, or any Person consolidates with, or merges with or into, the Company,
in any such event pursuant to a transaction in which any of the outstanding Voting Stock of the Company (or any other Voting Stock into
which the Voting Stock of the Company is reclassified, consolidated, exchanged or changed) is converted into or exchanged for cash, securities
or other property, other than any such transaction where the shares of the Voting Stock of the Company (or any other Voting Stock into
which the Voting Stock of the Company is reclassified, consolidated, exchanged or changed) outstanding immediately prior to such transaction
constitute, or are converted into or exchanged for, a majority of the Voting Stock of the surviving Person immediately after giving effect
to such transaction; or

 

(4)          the
adoption of a plan relating to the liquidation or dissolution of the Company.

 

Notwithstanding the foregoing, a transaction will
not be deemed to involve a Change of Control under clause (2) above if (i) the Company becomes a direct or indirect wholly
owned Subsidiary of a holding company and (ii)(A) the holders having ultimate beneficial ownership of the Voting Stock of such holding
company immediately following that transaction are substantially the same as the holders having beneficial ownership of the Company’s
Voting Stock immediately prior to that transaction or (B) immediately following that transaction no Person (other than a holding
company satisfying the requirements of this sentence) is the beneficial owner, directly or indirectly, of more than 50% of the Voting
Stock of such holding company.

 

“Change of Control Triggering Event”
means the occurrence of both a Change of Control and a Rating Event.

 

“Consolidated Net Tangible Assets”
means the aggregate amount of the Company’s assets (less applicable reserves and other properly deductible items) and the Company’s
consolidated Subsidiaries’ assets after deducting therefrom (a) all current liabilities (excluding the sum of any debt for
money borrowed having a maturity of less than twelve months from the date of the Company’s most recent consolidated balance sheet
but which by its terms is renewable or extendable beyond twelve months from such date at the option of the borrower and, without duplication,
any current installments thereof payable within such twelve month period) and (b) all goodwill, trade names, patents, unamortized
debt discount and expense and other like intangibles, all as set forth on the Company’s most recent consolidated balance sheet
and computed in accordance with United States generally accepted accounting principles (“GAAP”).

 

    2 

     

    

 

“Credit Facility Debt” means
any debt for borrowed money that (i) is incurred pursuant to a credit agreement, including pursuant to the Revolving Credit Facility,
or other agreement providing for revolving credit loans, term loans or other debt entered into between the Company or any Subsidiary
of the Company and any lender or group of lenders and (ii) has an aggregate principal amount outstanding or committed of (a) at
least $25.0 million, at any time that any Existing Notes remain outstanding, or (b) at least $100.0 million at any time that no
Existing Notes remain outstanding.

 

“Domestic Subsidiary” means any
Subsidiary of the Company that is organized under the laws of any political subdivision of the United States of America.

 

“Existing Notes” means the following
series of notes issued by the Company: 3.800% Senior Notes due 2022; 3.850% Senior Notes due 2023; 3.550% Senior Notes due 2026; 3.600%
Senior Notes due 2027; 4.350% Senior Notes due 2028; 3.900% Senior Notes due 2029; 4.200% Senior Notes due 2030; and 1.750% Senior Notes
due 2031.

 

“Foreign Currency” means any
currency or currency unit issued by a government other than the government of The United States of America.

 

“Foreign Subsidiary” means any
Subsidiary of the Company that is not a Domestic Subsidiary.

 

“Funded Debt” means debt which
matures more than one year from the date of creation, or which is extendable or renewable at the sole option of the obligor so that it
may become payable more than one year from such date or which is classified, in accordance with GAAP, as long-term debt on the consolidated
balance sheet for the most-recently ended fiscal quarter (or if incurred subsequent to the date of such balance sheet, would have been
so classified) of the Person for which the determination is being made. Funded Debt shall not include (1) obligations created pursuant
to leases, (2) any debt or portion thereof maturing by its terms within one year from the time of any computation of the amount
of outstanding Funded Debt unless such debt shall be extendable or renewable at the sole option of the obligor in such manner that it
may become payable more than one year from such time, or (3) any debt for which money in the amount necessary for the payment or
redemption of such debt is deposited in trust either at or before the maturity date thereof.

 

“Global Notes” means Notes in
the form of a global security as delivered to the Depositary.

 

“Guarantor” means any Subsidiary
of the Company that becomes a subsidiary guarantor of the Notes under the Indenture.

 

“Investment Grade” means a rating
of Baa3 or better by Moody’s (or its equivalent under any successor rating category of Moody’s), and a rating of BBB- or
better by S&P (or its equivalent under any successor rating category of S&P) and the equivalent investment grade rating from
any replacement Rating Agency or Rating Agencies appointed by the Company.

 

“Issue
Date” means June 15, 2022.

 

    3 

     

    

 

“Lien” means, with respect to
any Property, shares of stock or evidences of indebtedness, any mortgage or deed of trust, pledge, hypothecation, security interest,
lien, encumbrance or other security arrangement of any kind or nature on or with respect to such Property, shares of stock or evidences
of indebtedness.

 

“Moody’s” means Moody’s
Investors Service, Inc., a subsidiary of Moody’s Corporation, and its successors.

 

“Notes” has the meaning assigned
to it in the Recitals to this Fourth Supplemental Indenture.

 

“Permitted Liens” means:

 

(1)          Liens
(other than Liens created or imposed under the Employee Retirement Income Security Act of 1974, as amended (“ERISA”)), for
taxes, assessments or governmental charges or levies not yet subject to penalties for non-timely payment or Liens for taxes being contested
in good faith by appropriate proceedings for which adequate reserves determined in accordance with GAAP have been established (and as
to which the property or assets subject to any such Lien is not yet subject to foreclosure, sale or loss on account thereof);

 

(2)          statutory
Liens of landlords and Liens of mechanics, materialmen, warehousemen, carriers and suppliers and other Liens imposed by law or pursuant
to customary reservations or retentions of title arising in the ordinary course of business, provided that any such Liens which
are material secure only amounts not yet due and payable or, if due and payable, are unfiled and no other action has been taken to enforce
the same or are being contested in good faith by appropriate proceedings for which adequate reserves determined in accordance with GAAP
have been established (and as to which the property or assets subject to any such Lien is not yet subject to foreclosure, sale or loss
on account thereof);

 

(3)          Liens
(other than Liens created or imposed under ERISA) incurred or deposits made by the Company and Subsidiaries of the Company in the ordinary
course of business in connection with workers’ compensation, unemployment insurance and other types of social security, laws or
regulations, or to secure the performance of tenders, statutory obligations, bids, leases, trade or government contracts, surety, indemnification,
appeal, performance and return-of-money bonds, letters of credit, bankers acceptances and other similar obligations (exclusive of obligations
for the payment of borrowed money), or as security for customs or import duties and related amounts;

 

(4)          Liens
in connection with attachments or judgments (including judgment or appeal bonds), provided that the judgments secured shall, within
30 days after the entry thereof, have been discharged or execution thereof stayed pending appeal, or shall have been discharged within
30 days after the expiration of any such stay;

 

(5)          Liens
securing indebtedness (including capital leases) incurred to finance the purchase price or cost of construction of property or assets
(or additions, repairs, alterations or improvements thereto), provided that such Liens and the indebtedness secured thereby are
incurred within twelve months of the later of acquisition or completion of construction (or addition, repair, alteration or improvement)
and full operation thereof;

 

    4 

     

    

 

(6)          Liens
securing industrial revenue bonds, pollution control bonds or similar types of tax-exempt bonds;

 

(7)          Liens
arising from deposits with, or the giving of any form of security to, any governmental agency required as a condition to the transaction
of business or exercise of any privilege, franchise or license;

 

(8)          encumbrances,
covenants, conditions, restrictions, easements, reservations and rights of way or zoning, building code or other restrictions (including
defects or irregularities in title and similar encumbrances) as to the use of real property, or Liens incidental to conduct of the business
or to the ownership of properties of the Company or any Subsidiary of the Company not securing debt that do not in the aggregate materially
impair the use of said properties in the operation of the business of the Company, including its Subsidiaries, taken as a whole;

 

(9)          leases,
licenses, subleases or sublicenses granted to others not interfering in any material respect with the business of the Company, including
its Subsidiaries, taken as a whole;

 

(10)          Liens
on property or assets at the time such property or assets are acquired by the Company or any Subsidiary of the Company;

 

(11)          Liens
on property or assets of any Person at the time such Person becomes a Subsidiary of the Company;

 

(12)          Liens
on receivables from customers sold to third parties pursuant to credit arrangements in the ordinary course of business;

 

(13)          Liens
existing on June 6, 2022, or any extensions, amendments, renewals, refinancings, replacements or other modifications thereto;

 

(14)          Liens
on any property or assets created, assumed or otherwise brought into existence in contemplation of the sale or other disposition of the
underlying property or assets, whether directly or indirectly, by way of share disposition or otherwise;

 

(15)          Liens
securing debt of a Subsidiary owed to the Company or to another Subsidiary of the Company;

 

(16)          Liens
in favor of the United States of America or any State thereof, or any department, agency or instrumentality or political subdivision
thereof, to secure partial, progress, advance or other payments;

 

(17)          Liens
to secure debt of joint ventures in which the Company or any of its Subsidiaries have an interest, to the extent such Liens are on property
or assets of, or equity interests in, such joint ventures;

 

    5 

     

    

 

(18)          Liens
arising solely by virtue of any statutory or common law provisions relating to banker’s Liens, rights of set-off or similar rights
and remedies as to deposit accounts or other funds maintained with a depositary institution;

 

(19)          Liens
arising from financing statement filings regarding operating leases;

 

(20)          Liens
in favor of customs and revenue authorities to secure custom duties in connection with the importation of goods;

 

(21)          Liens
securing the financing of insurance premiums payable on insurance policies; provided, that such Liens shall only encumber unearned
premiums with respect to such insurance, interests in any state guarantee fund relating to such insurance and subject and subordinate
to the rights and interests of any loss payee, loss payments which shall reduce such unearned premiums;

 

(22)          Liens
securing cash management obligations (that do not constitute indebtedness), or arising out of conditional sale, title retention, consignment
or similar arrangements for sale of goods and contractual rights of set-off relating to purchase orders and other similar arrangements,
in each case in the ordinary course of business;

 

(23)          Liens
on any property or assets of Foreign Subsidiaries securing debt of such Foreign Subsidiaries (but not debt of the Company or any Guarantor);

 

(24)          Liens
securing debt in an aggregate principal amount at any time outstanding not exceeding $500.0 million in respect of any arrangement under
which the Company or any Guarantor transfers, once or on a revolving basis, without recourse (except for indemnities and representations
customary for securitization transactions and except for the retention of risk in an amount and form required by applicable laws and
regulations or as is customary for a similar type of transaction) involving one or more “true sale” transactions, accounts
receivable or interests therein and related assets customarily transferred in connection with securitization transactions (i) to
a trust, partnership, corporation, limited liability company or other entity, which transfer is funded in whole or in part, directly
or indirectly, by the incurrence or issuance by the transferee or successor transferee of indebtedness or other securities that are to
receive payments from, or that represent interests in, the cash flow derived from such accounts receivable or interests therein, or (ii) directly
to one or more investors or other purchasers; and

 

(25)          other
Liens on property or assets of the Company and the property or assets of its Subsidiaries securing debt in an aggregate principal amount
(together with the aggregate amount of all Attributable Debt in respect of Sale and Leaseback Transactions entered into in reliance on
this clause) not to exceed, as of any date of incurrence of such secured debt pursuant to this clause and after giving effect to such
incurrence and the application of the proceeds therefrom, the greater of (a) $500.0 million and (b) 15% of the Company’s
Consolidated Net Tangible Assets.

 

“Property” means any building,
structure or other facility, together with the land upon which it is erected and fixtures comprising a part thereof, used primarily for
selling automotive parts and accessories or the warehousing or distributing of such products, owned or leased by the Company or any of
the Company’s Significant Subsidiaries.

 

    6 

     

    

 

“Rating Agency” means each of
Moody’s and S&P; provided, that if either Moody’s or S&P ceases to provide rating services to issuers or investors,
the Company may appoint a replacement for such Rating Agency.

 

“Rating Event” means:

 

(1)          if
the Notes are rated Investment Grade by each of the Rating Agencies on the first day of the Trigger Period, the Notes cease to be rated
Investment Grade by each of the Rating Agencies on any date during the Trigger Period, or

 

(2)          if
the Notes are not rated Investment Grade by each of the Rating Agencies on the first day of the Trigger Period, the Notes are downgraded
by at least one rating category (e.g., from BB+ to BB or Ba1 to Ba2) from the applicable rating of the Notes on the first day of the
Trigger Period by each of the Rating Agencies on any date during the Trigger Period.

 

“Revolving Credit Facility” means
the Credit Agreement dated as of June 15, 2021, among the Company, the lenders from time to time party thereto and JPMorgan Chase
Bank, N.A., as administrative agent, as amended, amended and restated, extended, renewed, restated, supplemented or otherwise modified
(in whole or in part, and without limitation as to amount, terms, conditions, covenants and other provisions) from time to time.

 

“S&P” means Standard &
Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc., and its successors.

 

“Senior Funded Debt” means all
Funded Debt of the Company or its Subsidiaries (except Funded Debt, the payment of which is subordinated to the payment of the Notes).

 

“Significant Subsidiaries” means
any of our subsidiaries that is a “significant subsidiary” as defined in Rule 1-02 of Regulation S-X, promulgated pursuant
to the Securities Act.

 

“Treasury Rate” means, with respect
to any redemption date, the yield determined by the Company in accordance with the following two paragraphs.

 

The Treasury Rate shall be determined by the Company
as of 4:15 p.m., New York City time (or as of such time as yields on U.S. government securities are posted daily by the Board of Governors
of the Federal Reserve System), on the third business day preceding the redemption date based upon the yield or yields for the most recent
day that appear as of such time on such day in the most recent statistical release published by the Board of Governors of the Federal
Reserve System designated as “Selected Interest Rates (Daily) - H.15” (or any successor designation or publication) (“H.15”)
under the caption “U.S. government securities–Treasury constant maturities–Nominal” (or any successor caption
or heading) (“H.15 TCM”). In determining the Treasury Rate, the Company shall select, as applicable: (1) the yield for
the Treasury constant maturity on H.15 exactly equal to the period from the redemption date to the Par Call Date (the “Remaining
Life”); or (2) if there is no such Treasury constant maturity on H.15 exactly equal to the Remaining Life, the two yields
 – one yield corresponding to the Treasury constant maturity on H.15 immediately shorter than and one yield corresponding to the
Treasury constant maturity on H.15 immediately longer than the Remaining Life – and shall interpolate to the Par Call Date on a
straight-line basis (using the actual number of days) using such yields and rounding the result to three decimal places; or (3) if
there is no such Treasury constant maturity on H.15 shorter than or longer than the Remaining Life, the yield for the single Treasury
constant maturity on H.15 closest to the Remaining Life. For purposes of this paragraph, the applicable Treasury constant maturity or
maturities on H.15 shall be deemed to have a maturity date equal to the relevant number of months or years, as applicable, of such Treasury
constant maturity from the redemption date.

 

    7 

     

    

 

If on the third business day preceding the redemption
date H.15 TCM is no longer published, the Company shall calculate the Treasury Rate based on the rate per annum equal to the semi-annual
equivalent yield to maturity at 11:00 a.m., New York City time, on the second business day preceding such redemption date of the United
States Treasury security maturing on, or with a maturity that is closest to, the Par Call Date, as applicable. If there is no United
States Treasury security maturing on the Par Call Date but there are two or more United States Treasury securities with a maturity date
equally distant from the Par Call Date, one with a maturity date preceding the Par Call Date and one with a maturity date following the
Par Call Date, the Company shall select the United States Treasury security with a maturity date preceding the Par Call Date. If there
are two or more United States Treasury securities maturing on the Par Call Date or two or more United States Treasury securities meeting
the criteria of the preceding sentence, the Company shall select from among these two or more United States Treasury securities the United
States Treasury security that is trading closest to par based upon the average of the bid and asked prices for such United States Treasury
securities at 11:00 a.m., New York City time. In determining the Treasury Rate in accordance with the terms of this paragraph, the semi-annual
yield to maturity of the applicable United States Treasury security shall be based upon the average of the bid and asked prices (expressed
as a percentage of principal amount) at 11:00 a.m., New York City time, of such United States Treasury security, and rounded to three
decimal places.

 

“Trigger Period” means the period
commencing 60 days prior to the first public announcement by the Company of any Change of Control (or pending Change of Control) and
ending 60 days following consummation of such Change of Control (which Trigger Period will be extended following consummation of a Change
of Control for so long as either of the Rating Agencies has publicly announced that it is considering a possible ratings change).

 

“Voting Stock” of any specified
Person as of any date means the capital stock of such Person that is at the time entitled to vote generally in the election of the board
of directors of such Person.

 

Other Definitions:

 

	Term	 	Defined in Section
	“Change of Control Offer”	 	4.04(a)
	“Change of Control Payment”	 	4.04(a)
	“Change of Control Payment Date”	 	4.04(b)(ii)
	“Interest Payment Date”	 	2.01(c)
	“Par Call Date”	 	3.01
	“Regular Record Date”	 	2.01(c)
	“Sale and Leaseback Transaction”	 	4.02

 

    8 

     

    

 

ARTICLE II

 

DESIGNATION AND TERMS OF THE SECURITIES

 

Section 2.01          Terms
of the Notes. Pursuant to Sections 2.01 and 2.02 of the Base Indenture, the Notes shall have the following terms and
conditions, in addition to those set forth in the Base Indenture (as amended, supplemented and modified by this Fourth Supplemental Indenture):

 

(a)          Title
and Aggregate Principal Amount. The Notes shall be in registered form under the Indenture and shall be known as the Company’s
 “4.700% Senior Notes due 2032.”

 

(b)          Execution.
The Notes may forthwith be executed by the Company and delivered to the Trustee for authentication and delivery by the Trustee in accordance
with the provisions of Section 2.05 of the Base Indenture.

 

(c)          Interest
and Principal. The Notes will mature on June 15, 2032 and will bear interest at the rate of 4.700% per annum. The Company
will pay interest on the Notes on each June 15 and December 15 (each, an “Interest Payment Date”), beginning
on December 15, 2022, to the Holders of record on the immediately preceding June 1 or December 1 (each, a “Regular
Record Date”), respectively. Interest on the Notes shall accrue from the most recent date to which interest has been paid or,
if no interest has been paid, from the date of issuance. Payments of the principal of and interest on the Notes shall be made in Dollars,
and the Notes shall be denominated in Dollars.

 

(d)          Form.
The Notes shall have and be subject to such other terms as provided in the Base Indenture and this Fourth Supplemental Indenture. The
Notes shall be substantially in the form of Exhibit A hereto with such appropriate insertions, omissions, substitutions and
other variations as are required or permitted by the 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 as may, consistently
herewith, be determined by the Officer executing such Notes as evidenced by their execution of the Notes.

 

Section 2.02          Issuance
of Additional Notes. There is no limit upon the aggregate principal amount of Notes which may be authenticated. The Company shall
be entitled, from time to time, without notice to or the consent of Holders of the Notes, to increase the principal amount of Notes and
issue such increased principal amount (or any portion thereof), in which case any Additional Notes so issued will have the same form
and terms (other than the date of issuance, public offering price and, under certain circumstances, CUSIP/ISIN number, date from which
interest thereon will begin to accrue and the initial Interest Payment Date), and will carry the same right to receive accrued and unpaid
interest, as the initial Notes, and such Additional Notes will form a single Series with the initial Notes, including for voting
purposes.

 

With respect to any Additional Notes, the Company
shall set forth in a resolution of the Board of Directors and an Officers’ Certificate, a copy of each of which shall be delivered
to the Trustee, the following information:

 

(1)          the
aggregate principal amount of such Additional Notes to be authenticated and delivered; and

 

(2)          the
issue price, the issue date and the CUSIP numbers of such Additional Notes.

 

    9 

     

    

 

ARTICLE III

 

REDEMPTION

 

Section 3.01          Optional
Redemption. Prior to March 15, 2032 (the “Par Call Date”), the Notes will be redeemable, in whole, or in
part, at any time and from time to time, at the Company’s option, at a Redemption Price, (expressed as a percentage of principal
amount and rounded to three decimal places), equal to the greater of:

 

(a)          the
sum of the present values of the remaining scheduled payments of principal and interest thereon discounted to the redemption date (assuming
the Notes matured on the Par Call Date, on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the applicable
Treasury Rate plus 30 basis points less (b) interest accrued to the date of redemption, and

 

(b)          100%
of the principal amount of the Notes to be redeemed,

 

plus, in either case, accrued and unpaid interest thereon to, but
not including, the redemption date.

 

On
or after the Par Call Date, the Company may redeem the Notes, in whole or in part, at any time and from time to time, at a redemption
price equal to 100% of the principal amount of the Notes being redeemed plus accrued and unpaid interest thereon to, but not including,
the redemption date.

 

The Company’s actions and determinations
in determining the redemption price shall be conclusive and binding for all purposes, absent manifest error.

 

Notice of any redemption will be mailed or electronically
delivered (or otherwise transmitted in accordance with the Depositary’s procedures) at least 10 days but not more than 60 days
before the redemption date to each holder of Notes to be redeemed.

 

In the case of a partial redemption, selection
of the Notes for redemption will be made pro rata, by lot or by such other method as the Trustee in its sole discretion deems appropriate
and fair. No Notes of a principal amount of $2,000 or less will be redeemed in part. If any Note is to be redeemed in part only, the
notice of redemption that relates to the Note will state the portion of the principal amount of the Note to be redeemed. A new Note in
a principal amount equal to the unredeemed portion of the Note will be issued in the name of the Holder of the Note upon surrender for
cancellation of the original Note. For so long as the Notes are held by the Depositary (or another depositary), the redemption of the
Notes shall be done in accordance with the policies and procedures of the Depositary.

 

Unless the Company defaults in payment of the
redemption price, on and after the redemption date, interest will cease to accrue on the Notes or portions thereof called for redemption.

 

In addition, the Company may at any time purchase
Notes by tender, in the open market or by private agreement, subject to applicable law.

 

    10 

     

    

 

ARTICLE IV

 

COVENANTS

 

The following covenants, in addition to those
set forth in Article Four of the Base Indenture, shall apply to the Notes.

 

Section 4.01          Limitations
on Liens. The Company shall not, and shall not permit any of its Subsidiaries to, create, incur, issue, assume or guarantee any debt
secured by a Lien (other than Permitted Liens) upon any Property, or any shares of stock or evidences of indebtedness issued by any of
its Subsidiaries and owned by the Company or by any other of the Company’s Subsidiaries, owned on the Issue Date, without making
effective provision to secure all of the Notes, equally and ratably with any and all other debt secured thereby, so long as any of such
other debt shall be so secured.

 

Section 4.02          Limitation
on Sale and Leaseback Transactions. The Company shall not, and shall not permit any Subsidiary of the Company to, enter into any
arrangement with any Person providing for the leasing by the Company or any Subsidiary of the Company of any Property that has been or
is to be sold or transferred by the Company or such Subsidiary of the Company to such Person, with the intention of taking back a lease
of such Property (a “Sale and Leaseback Transaction”) unless either:

 

(a)          within
12 months after the receipt of the proceeds of the sale or transfer, the Company or any Subsidiary of the Company applies an amount equal
to the greater of the net proceeds of the sale or transfer or the fair value (as determined in good faith by the Company’s Board
of Directors) of such Property at the time of such sale or transfer to the prepayment or retirement (other than any mandatory prepayment
or retirement) of Senior Funded Debt; or

 

(b)          the
Company or such Subsidiary of the Company would be entitled, at the effective date of the sale or transfer, to incur debt secured by
a Lien on such Property in an amount at least equal to the Attributable Debt in respect of the Sale and Leaseback Transaction, without
equally and ratably securing the Notes pursuant to Section 4.01 hereof.

 

The foregoing restriction in the paragraph above
shall not apply to any Sale and Leaseback Transaction (i) for a term of not more than three years including renewals; (ii) between
the Company and a Subsidiary of the Company or between Subsidiaries of the Company, provided that the lessor is the Company or
a wholly owned Subsidiary of the Company; or (iii) entered into within 270 days after the later of the acquisition or completion
of construction of the subject Property.

 

Section 4.03          Future
Guarantees.

 

(a)          Upon
their initial issuance, the Notes will not be guaranteed by any of the Company’s Subsidiaries. If on or after the date of this
Fourth Supplemental Indenture, a Subsidiary of the Company incurs or guarantees obligations under the Revolving Credit Facility or incurs
or guarantees obligations under any other Credit Facility Debt or Capital Markets Debt of the Company or any future Guarantor, the Company
shall cause such Subsidiary, within 30 days to (a) execute and deliver to the Trustee a supplemental indenture pursuant to which
such Subsidiary shall unconditionally guarantee (subject to Section 10.04 of the Base Indenture and Section 4.03(b) hereof)
all of the Company’s obligations under the Indenture, including the prompt payment in full when due of the principal of, premium
on, if any, interest and, without duplication, defaulted interest, if any, on the Notes and all other amounts payable by the Company
thereunder and hereunder, subject to any applicable grace period, whether at maturity, by acceleration or otherwise, and interest on
any overdue principal and any overdue interest on the Notes and all other obligations of the Company to the Holders or the Trustee hereunder
or under the Notes on the terms set forth in this Section 4.03 and in Article Ten of the Base Indenture, and
(b) deliver to the Trustee an opinion of counsel to the effect that (i) such supplemental indenture and guarantee of the Notes
has been duly executed and authorized and (ii) such supplemental indenture and guarantee of the Notes constitutes a valid, binding
and enforceable obligation of such Subsidiary of the Company, except insofar as enforcement thereof may be limited by bankruptcy, insolvency
or similar laws and except insofar as enforcement thereof is subject to general principles of equity. Any such future Guarantee of the
Notes shall be equal or senior in right of payment with the guarantee or other obligation giving rise to the obligation to guarantee
the Notes.

 

    11 

     

    

 

(b)          In
addition to Section 10.04 of the Base Indenture, the following provisions will apply with respect to the release of Guarantees
of the Notes:

 

Any
future Guarantee shall be automatically and unconditionally released upon the release of the guarantee or the obligation that resulted
in Section 4.03(a) hereof becoming applicable (other than by reason of payment under such guarantee) without any action
required on the part of the Trustee or any Holder of the Notes upon such Guarantor ceasing to guarantee or be an obligor with respect
to the Revolving Credit Facility or a guarantor or obligor under any other Credit Facility Debt or Capital Markets Debt of the Company
or any future Guarantors. In addition, any future Guarantor shall be automatically and unconditionally released from its obligations
under its Guarantee upon: (i) upon the sale or other disposition (including by way of consolidation or merger), in one transaction
or a series of related transactions, of a majority of the total voting power of the capital stock or other interests of such future Guarantor
(other than to the Company or any Affiliate of the Company); or (ii) upon the sale or disposition of all or substantially all the
property of such Guarantor (other than to any Affiliate of the Company other than another Guarantor); provided, however,
that, in each case, after giving effect to such transaction, such Guarantor is no longer liable for any guarantee or other obligations
in respect of any Credit Facility Debt or Capital Markets Debt of the Company or any other Guarantor; provided further that this
sentence shall supersede and replace the first sentence of Section 10.04 of the Base Indenture solely for purposes of the
Notes.

 

Section 4.04          Change
of Control.

 

(a)          Upon
the occurrence of a Change of Control Triggering Event, unless the Company has exercised its right to redeem the Notes pursuant to Section 3.01
of this Fourth Supplemental Indenture, the Company will make an offer (a “Change of Control Offer”) to
each Holder to repurchase all or any part (in integral multiples of $1,000) of each Holder’s Notes at a repurchase price equal
to 101% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, on the Notes repurchased, to but not including
the date of repurchase, subject to the rights of Holders of Notes on the relevant Regular Record Date to receive interest due on the
relevant Interest Payment Date (the “Change of Control Payment”).

 

(b)          Within
30 days following any Change of Control Triggering Event, or at the Company’s option, prior to any Change of Control but after
the public announcement of the pending Change of Control, the Company shall, by first class mail, send a notice to Holders of the Notes
(or, in the case of Global Notes, electronically through the procedures of the Depositary), with a copy to the Trustee, describing the
transaction or transactions that constitute the Change of Control Triggering Event, stating:

 

(i)          that
the Change of Control Offer is being made pursuant to this Section 4.04 and that all Notes tendered will be accepted for
payment;

 

    12 

     

    

 

(ii)         the
repurchase price and the repurchase date, which shall be no earlier than 30 days and no later than 60 days from the date such notice
is sent (the “Change of Control Payment Date”);

 

(iii)        that
any Note not tendered will continue to accrue interest;

 

(iv)        that,
unless the Company defaults in the payment of the Change of Control Payment, all Notes accepted for payment pursuant to the Change of
Control Offer will cease to accrue interest on and after the Change of Control Payment Date;

 

(v)         that
Holders electing to have any Notes repurchased pursuant to a Change of Control Offer will be required to surrender the Notes, with the
form entitled “Option of Holder to Elect Repurchase” on the reverse of the Note completed, to the Paying Agent at
the address specified in the notice or transfer their Notes to the Paying Agent by book-entry transfer pursuant to the applicable procedures
of the Paying Agent, prior to the close of business on the third Business Day prior to the Change of Control Payment Date;

 

(vi)        that
Holders will be entitled to withdraw their election if the Paying Agent receives, no later than the close of business on the second Business
Day preceding the Change of Control Payment Date, a facsimile transmission or letter setting forth the name of the Holder, the principal
amount of the Notes delivered for repurchase, and a statement that such Holder is withdrawing his election to have the Notes repurchased;

 

(vii)       that
Holders whose Notes are being repurchased only in part will be issued new Notes equal in principal amount to the unpurchased portion
of the Notes surrendered, which unpurchased portion must be equal to $2,000 in principal amount or an integral multiple thereof; and

 

(viii)      if
such notice is sent prior to the date of consummation of the Change of Control, that the Change of Control Offer is conditioned on the
Change of Control being consummated on or prior to the Change of Control Payment Date.

 

(c)          The
Company will 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 Notes 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 provisions of this Section 4.04,
the Company will comply with the applicable securities laws and regulations and will not be deemed to have breached its obligations under
this Section 4.04 by virtue of such compliance.

 

    13 

     

    

 

(d)          On
the Change of Control Payment Date, the Company will, to the extent lawful,

 

(i)          accept
for payment all Notes or portions thereof properly tendered and not withdrawn 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 Notes or portions of Notes accepted for payment;
and

 

(iii)        deliver
or cause to be delivered to the Trustee the Notes properly accepted together with an Officers’ Certificate stating the aggregate
principal amount of Note or portions of Notes being repurchased by the Company.

 

(e)          The
Paying Agent will promptly send to each Holder of Notes accepted for payment the Change of Control Payment for such Notes deposited pursuant
to (d)(ii) above, and the Trustee will promptly authenticate and send (or cause to be transferred by book entry) to each Holder
a new Note equal in principal amount to any unpurchased portion of the Notes surrendered, if any; provided that each new Note
will be in a principal amount of $2,000 and or any integral multiple of $1,000. The Company will publicly announce the results of the
Change of Control Offer on or as soon as practicable after the Change of Control Payment Date. Except as described above with respect
to a Change of Control, the Indenture does not contain provisions that permit Holders of the Notes to require the Company to repurchase
or redeem the Notes in the event of a takeover, recapitalization or other similar transaction.

 

(f)          Notwithstanding
anything to the contrary in this Section 4.04, the Company shall not be required to make a Change of Control Offer upon a
Change of Control Triggering Event if (1) a third party makes the Change of Control Offer in the manner, at the times and otherwise
in compliance with the requirements set forth in this Section 4.04 and purchases all Notes properly tendered and not withdrawn
under the Change of Control Offer; or (2) notice of redemption has been given pursuant to Section 3.01 hereof, unless
and until there is a default in the payment of the applicable redemption price.

 

ARTICLE V

 

EVENTS
OF DEFAULT

 

Other than as set forth below, Article Six
of the Base Indenture shall be applicable to the Notes.

 

Section 5.01          Events
of Default. In addition to the events specified in Section 6.01 of the Base Indenture, solely for purposes of the Notes,
a default under any debt for money borrowed by the Company or any Guarantor that results in acceleration of the maturity of such Debt,
or failure to pay any such debt within any applicable grace period after final stated maturity, in an aggregate amount greater than (a) $25.0
million, at any time that any Existing Notes remain outstanding, or (b) $100.0 million at any time that no Existing Notes remain
outstanding, or in each case, its Foreign Currency equivalent, at the time without such debt having been discharged or acceleration having
been rescinded or annulled, shall constitute an “Event of Default” with respect to the Notes.

 

Section 5.02          Acceleration.
Notwithstanding Section 6.02 of the Base Indenture, in the event of a declaration of acceleration in respect of the Notes
because an Event of Default pursuant to Section 5.01 of this Fourth Supplemental Indenture shall have occurred and be continuing,
such declaration of acceleration shall be automatically annulled if (i) the default under the debt that is the subject of such Event
of Default has been cured by the Company or any Guarantor or has been waived by the holders thereof or (ii) the holders of such
debt that is the subject of such Event of Default have rescinded their declaration of acceleration in respect of such debt, and written
notice of such cure, waiver or rescission shall have been given to the Trustee by the Company and countersigned by the holders of such
debt or a trustee, fiduciary or agent for such holders, within 20 days after such declaration of acceleration in respect of the Notes
and if the annulment of the acceleration of the Notes would not conflict with any judgment or decree of a court of competent jurisdiction,
and no other Event of Default exists or has occurred during such 20-day period which has not been cured or waived during such period.

 

    14 

     

    

 

ARTICLE VI

 

Defeasance

 

Section 6.01          Defeasance
and Covenant Defeasance. Article Eight of the Base Indenture shall be applicable to the Notes. For purposes of Article Eight
of the Base Indenture, solely for purposes of the Notes, if the Company exercises its right of Covenant Defeasance pursuant to Sections
8.01 and 8.03 of the Base Indenture, in addition to being released from its obligations under the provisions of the Base Indenture
set forth in Section 8.03, the Company also shall be released from its obligations under Sections 4.01, 4.02,
4.03 and 4.04 of this Fourth Supplemental Indenture.

 

ARTICLE VII

 

Miscellaneous

 

Section 7.01          Ratification
of Base Indenture; Supplemental Indentures Part of Base Indenture. Except as expressly amended hereby, the Base Indenture is
in all respects ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This
Fourth Supplemental Indenture shall form a part of the Base Indenture for all purposes, and every Holder of the Notes heretofore or hereafter
authenticated and delivered shall be bound hereby.

 

Section 7.02          Multiple
Originals. The parties may sign any number of copies of this Fourth Supplemental Indenture. Each signed copy shall be an original,
but all of them together represent the same agreement. One signed copy of this Fourth Supplemental Indenture is enough to prove this
Fourth Supplemental Indenture. The exchange of copies of this Fourth Supplemental Indenture and of signature pages by facsimile
or PDF transmission shall constitute effective execution and delivery of this Fourth Supplemental Indenture as to the parties hereto
and may be used in lieu of the original Fourth Supplemental Indenture for all purposes. Signatures of the parties hereto transmitted
by facsimile or PDF shall be deemed to be their original signatures for all purposes.

 

Section 7.03          Governing
Law. THIS FOURTH SUPPLEMENTAL INDENTURE AND THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE
STATE OF NEW YORK. EACH OF THE COMPANY AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW,
ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS FOURTH SUPPLEMENTAL INDENTURE, THE NOTES
OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

[Signature Pages Follow]

 

    15 

     

    

 

IN WITNESS WHEREOF, the parties have caused this
Fourth Supplemental Indenture to be duly executed as of the date first written above.

 

	 	 	O’REILLY AUTOMOTIVE, INC.
	 	 	 
	 	 	By:	/s/ Jeremy Fletcher
	 	 	 	Name: 	Jeremy Fletcher
	 	 	 	Title: 	Executive Vice President and Chief Financial Officer

 

[Signature Page to Fourth Supplemental
Indenture]

 

     

     

    

 

	 	 	U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee
	 	 	 
	 	 	By: 	/s/ Joshua A. Hahn
	 	 	 	Name: 	Joshua A. Hahn
	 	 	 	Title: 	Vice President

 

[Signature Page to Fourth Supplemental
Indenture]

 

     

     

    

 

Exhibit A

 

     

     

    

 

[FORM OF FACE OF SECURITY]

 

[Global Notes Legend]

 

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE
MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
(“DTC”), NEW YORK, NEW YORK OR A NOMINEE OF DTC, WHICH MAY BE TREATED BY THE COMPANY, THE TRUSTEE AND ANY AGENT THEREOF
AS OWNER AND HOLDER OF THIS SECURITY FOR ALL PURPOSES.

 

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF 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 SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE
TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER
USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN
INTEREST HEREIN.

 

TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED
TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS
OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE
REFERRED TO ON THE REVERSE HEREOF.

 

     

     

    

 

4.700%
Senior Notes due 2032

 

CUSIP:
67103H AL1

ISIN: US67103HAL15

 

	No. R-[ ]	$[             ]

 

O’REILLY
AUTOMOTIVE, INC. promises to pay to CEDE & CO. or registered assigns, the principal sum: $[                    ] ([                    ] DOLLARS AND NO
CENTS), as such amount may be increased or decreased as set forth in the Schedule of Increase or Decrease in Principal Amount of Global
Note attached hereto, on June 15, 2032.

 

Interest
Payment Dates: June 15 and December 15, commencing on December 15, 2022.

 

Record
Dates: June 1 and December 1.

 

Additional provisions of this Note are set forth on the other side
of this Note.

 

[Signature Pages Follow]

 

     

     

    

 

IN WITNESS WHEREOF, the parties have caused this
instrument to be duly executed.

 

	 	O’REILLY AUTOMOTIVE, INC.
	 	 	 
	 	 	By
	 	 	 
	 	 	 	Name:	Jeremy Fletcher
	 	 	 	Title:	Executive Vice President and Chief Financial Officer

 

     

     

    

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

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

 

Date
of authentication: June 15, 2022

 

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee

 

	By	 	 	 
	 	Authorized Signatory	 	 

 

     

     

    

 

[FORM OF REVERSE SIDE OF NOTE]

 

O’REILLY AUTOMOTIVE, INC.

 

4.700%
Senior Notes due 2032

 

		1.	Indenture

 

This
Note is one of a duly authorized issue of Notes of the Company, designated as its 4.700% Senior Notes due 2032 (herein called
the “Notes,” which expression includes any Additional Notes issued pursuant to Section 2.02 of the Supplemental
Indenture (as hereinafter defined)), issued and to be issued under an indenture, dated as of May 20, 2019 (the “Base Indenture”),
between O’REILLY AUTOMOTIVE, INC., a Missouri corporation (such company, and its successors and assigns under the Indenture
hereinafter referred to, being herein called the “Company”) and U.S. Bank Trust Company, National Association (f/k/a U.S.
Bank National Association), as trustee (the “Trustee”), as supplemented by the Fourth Supplemental Indenture, dated as of
June 15, 2022 (the “Supplemental Indenture” and, together with the Base Indenture, the “Indenture”) between
the Company and the Trustee, to which the Indenture and all indentures supplemental thereto, Board Resolutions and Officers’ Certificates
relevant to the Notes reference is hereby made for a complete description of the rights, limitations of rights, obligations, duties and
immunities thereunder of the Trustee, the Company and the Holders of the Notes. Capitalized terms used but not defined in this Note shall
have the meanings ascribed to them in the Indenture.

 

The Indenture imposes certain limitations on the
ability of the Company and its Subsidiaries to create or incur Liens or engage in Sale and Leaseback Transactions, in each case, subject
to some exceptions as set forth in the Indenture. The Indenture also imposes certain limitations on the ability of the Company to merge,
consolidate or amalgamate with or into any other person or sell, transfer, assign, lease, convey or otherwise dispose of all or substantially
all of the property of the Company in any one transaction or series of related transactions, in each case, subject to some exceptions
as set forth in the Indenture.

 

Each Note is subject to, and qualified by, all
such terms as set forth in the Indenture, certain of which are summarized herein, and each Holder of a Note is referred to the corresponding
provisions of the Indenture for a complete statement of such terms. To the extent that there is any inconsistency between the summary
provisions set forth in the Notes and the Indenture, the provisions of the Indenture shall govern.

 

		2.	Interest

 

The
Company promises to pay interest on the principal amount of this Note at the rate per annum shown above. The Company will pay interest
semiannually on June 15 and December 15 of each year, commencing December 15, 2022. Interest on the Notes will
accrue from the most recent date to which interest has been paid or, if no interest has been paid, from June 15, 2022. Interest
shall be computed on the basis of a 360-day year comprised of twelve 30-day months.

 

		3.	Paying
                                            Agent, Registrar and Service Agent

 

Initially, the Trustee will act as Paying Agent,
registrar and service agent. The Company may appoint and change any Paying Agent, registrar or co-registrar and service agent without
notice. The Company or any of its Subsidiaries may act as Paying Agent, registrar, co-registrar or service agent.

 

     

     

    

 

		4.	Defaults
                                            and Remedies; Waiver

 

If
an Event of Default with respect to any Notes at the time outstanding (other than an Event of Default specified in Section 6.01(4) or
(5) of the Base Indenture with respect to the Company or any Guarantor) occurs and is continuing, the Trustee or the Holders
of not less than 25% in aggregate principal amount of the outstanding Notes by notice to the Company in writing (and to the Trustee,
if given by Holders of the Notes) specifying the Event of Default, may declare the principal amount of, premium, if any, and accrued
and unpaid interest to, but not including, the date of acceleration on all the Notes to be due and payable. Upon such a declaration,
such amounts shall be due and payable immediately. If an Event of Default specified in Section 6.01(4) or (5) of
the Base Indenture with respect to the Company or any Guarantor occurs, the principal amount of, premium, if any, and accrued and unpaid
interest to, but not including, the date of such Event of Default on all the Notes shall ipso facto become and be immediately
due and payable without any declaration or other act on the part of the Trustee or any Holder of the Notes.

 

At any time after the principal of the Notes shall
have been so declared due and payable (or shall have become immediately due and payable), and before any judgment or decree for the payment
of the moneys due shall have been obtained or entered as provided in the Indenture, the Holders of a majority in aggregate principal
amount of the Notes then outstanding, by written notice to the Company and the Trustee, may rescind and annul such declaration and its
consequences, and waive such Event of Default, if any and all Events of Default under the Indenture with respect to the Notes, other
than the nonpayment of accelerated principal, premium, if any, or interest, if any, on Notes that shall not have become due by their
terms, shall have been cured or waived as provided in Section 6.04 of the Base Indenture. No such rescission shall extend
to any subsequent Default or amend any contractual right consequent thereto.

 

The
Holders of a majority in principal amount of the Notes by written notice to the Trustee may waive an existing Default with respect to
the Notes and its consequences except a continuing Default in the payment of the principal amount of, premium, if any, and accrued and
unpaid interest on a Note. When a Default is waived, it is deemed cured, but no such waiver shall extend to any subsequent or other Default
or amend any contractual right consequent thereto. For the avoidance of doubt, subject to this paragraph and Section 6.02
of the Base Indenture, the Holders of a majority in aggregate principal amount of the then outstanding Notes may rescind an acceleration
and its consequences, including any related payment default that resulted from such acceleration, with respect to the Notes.

 

Holders
of Notes may not enforce the Indenture or the Notes except as provided in the Indenture. The Holders of a majority in aggregate principal
amount of the then outstanding Notes may direct the time, method and place of conducting any proceeding for any remedy available to the
Trustee or of exercising any trust or power conferred on the Trustee with respect to the Notes. However, the Trustee may refuse to follow
any direction that conflicts with law or the Indenture, or subject to Section 7.01 of the Base Indenture, that the
Trustee determines is unduly prejudicial to the rights of any other Holder of the Notes or that would subject the Trustee to personal
liability; provided, however, that the Trustee may take any other action deemed proper by the Trustee that is not inconsistent
with such direction. Prior to taking any action hereunder, the Trustee shall be entitled to indemnity reasonably satisfactory to it against
all losses and expenses caused by taking or not taking such action.

 

    2 

     

    

 

		5.	Amendment

 

The Indenture permits, with certain exceptions
as therein provided, the amendment of the Indenture or this Note and the modification of the rights and obligations of the Company or
any Guarantor, if any, and the rights of the Holders of the Notes under the Indenture at any time by the Company or any Guarantor, if
any, and the Trustee without notice to any Holder but with the written consent of the Holders of a majority in aggregate principal amount
of the Notes then outstanding (including consents obtained in connection with a tender offer or exchange offer for the Notes) affected
thereby. The Indenture also contains provisions permitting the Holders of a majority in aggregate principal amount of the Notes by written
notice to the Trustee to waive an existing Default with respect to the Notes and its consequences except a continuing Default in the
payment of the principal amount of, premium, if any, and accrued and unpaid interest on a Note. A consent to an amendment or a waiver
by a Holder of a Note shall bind the Holder and every subsequent Holder of that Note or portion of the Note that evidences the same debt
as the consenting Holder’s Note, even if notation of the consent or waiver is not made on the Note.

 

		6.	Obligations
                                            Absolute

 

No reference herein to the Indenture and no provision
of this Note or of the Indenture shall amend the contractual obligation of the Company, which is absolute and unconditional, to pay the
principal of, premium , if any, or interest on this Note at the place, at the respective times, at the rate and in the coin or currency
herein prescribed.

 

		7.	Redemption
                                            Upon a Change of Control Triggering Event

 

Upon a Change of Control Triggering Event, unless
the Company has exercised its right to redeem the Notes pursuant to Section 3.01 of the Supplemental Indenture, any Holder
of Notes shall have the right to cause the Company to repurchase all or any part of the Notes of such Holder at a repurchase price equal
to 101% of the aggregate principal amount of the Notes to be repurchased plus accrued interest, if any, to the date of repurchase (subject
to the right of holders of record on the relevant record date to receive interest due on the related Interest Payment Date (as defined
in the Indenture)) as provided in, and subject to the terms of, the Indenture.

 

		8.	Sinking
                                            Fund

 

The Notes will not have the benefit of any sinking
fund.

 

		9.	Denominations;
                                            Transfer; Exchange

 

The Notes are issuable in registered form without
coupons in minimum denominations of $2,000 principal amount and integral multiples of $1,000 in excess thereof. When Notes are presented
to the Registrar or a co-registrar with a request to register a transfer or to exchange them for an equal principal amount of Notes,
the Registrar shall register the transfer or make the exchange in the manner and subject to the limitations provided in the Indenture,
without payment of any service charge but with payment of a sum sufficient to cover any transfer tax or other governmental charge that
may be imposed in connection with any registration or exchange of Notes.

 

The Company and the Registrar shall not be required
(a) to issue, register the transfer of or exchange any Notes during a period beginning at the opening of business 15 days before
the day of the mailing of a notice of redemption of Notes selected for redemption and ending at the close of business on the day of such
mailing or (b) to register the transfer or exchange of Notes selected, called or being called for redemption as a whole or the portion
being redeemed of any such Notes selected, called or being called for redemption in part.

 

    3 

     

    

 

		10.	Further
                                            Issues

 

The Company may from time to time, without the
consent of the Holders of the Notes and in accordance with the Indenture, provide for the issuance of Additional Notes.

 

		11.	Optional
                                            Redemption

 

The Notes may be redeemed at the Company’s
option, upon notice as set forth in the Indenture, in whole or in part, at any time or from time to time, on the terms set forth in the
Indenture.

 

		12.	Persons
                                            Deemed Owners

 

The ownership of Notes shall be proved by the
register maintained by the Registrar.

 

		13.	No
                                            Recourse Against Others

 

No shareholder, partner, manager, member, director,
officer, employee, agent or incorporator, as such, of any Company or any Guarantor, if any, shall have any liability for any obligations
of the Company under the Notes or the Indenture or a Guarantor, if any, under its Guarantee or the Indenture or for any claim based on,
in respect of or by reason of such obligations or their creation. By accepting a Note, each Holder shall waive and release all such liability.
This waiver and release shall be part of the consideration for the issuance of the Notes.

 

		14.	Discharge
                                            and Defeasance

 

Subject to certain conditions set forth in the
Indenture, the Company at any time may terminate some or all of its obligations under the Notes and the Indenture with respect to the
Notes if the Company deposits with the Trustee money and/or U.S. Government Obligations for the payment of principal of, premium, if
any, and interest on the Notes to redemption or Maturity, as the case may be.

 

		15.	Unclaimed
                                            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, premium, if any, or interest on any Note and remaining
unclaimed for two years after such principal, and premium, if any, or interest has become due and payable shall be paid to the Company
on its request or, if then held by the Company, shall be discharged from such trust. Thereafter the Holder of such Note shall 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.

 

		16.	Future
                                            Guarantees

 

The payment by the Company of the principal of,
premium, if any, or interest on, the Notes will not initially be guaranteed by any Subsidiaries of the Company. However, if on or after
the date of the Supplemental Indenture, any of the Company’s Subsidiaries incurs or guarantees obligations under the Revolving
Credit Facility or incurs or guarantees obligations under any other Credit Facility Debt or Capital Markets Debt of the Company or any
future Guarantor, such Subsidiary would be required to guarantee the Notes on a senior unsecured basis.

 

    4 

     

    

 

		17.	Trustee
                                            Dealings with the Company

 

Subject to certain limitations imposed by the
Trust Indenture Act of 1939, the Trustee in its individual or any other capacity may become the owner or pledgee of Notes and may otherwise
deal with the Company or its Affiliates with the same rights it would have if it were not Trustee. Any Paying Agent, Registrar or co-Paying
Agent may do the same with like rights.

 

		18.	Abbreviations

 

Customary abbreviations may be used in the name
of a Holder or an assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the entireties), JT TEN (=joint tenants with rights
of survivorship and not as tenants in common), CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors Act).

 

		19.	CUSIP
                                            Numbers

 

Pursuant to a recommendation promulgated by the
Committee on Uniform Security Identification Procedures, the Company has caused CUSIP numbers to be printed on the Notes and has directed
the Trustee to use CUSIP numbers in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of
such numbers either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other
identification numbers placed thereon.

 

    5 

     

    

 

ASSIGNMENT FORM

 

For value received hereby sell(s), assign(s) and
transfer(s) unto (please insert social security or other identifying number of assignee) the within Note, and hereby irrevocably
constitutes and appoints attorney to transfer the said Note on the books of the Company, with full power of substitution in the premises.

 

	Dated:	 	 
	 	 
	 	                    
	 	 
	 	 
	Signature(s)	 

 

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

 

	 	 
	Signature Guarantee	 

 

     

     

    

 

OPTION OF HOLDER TO ELECT REPURCHASE

 

If
you want to elect to have this Note repurchased by the Company pursuant to Section 4.04 of the Supplemental Indenture, check
the box:  ̈

 

If you want to elect to have only part of this
Note repurchased by the Company pursuant to Section 4.04 of the Supplemental Indenture, state the amount you elect to have
repurchased:

 

$_______________

 

	Date: 	 	 	 

 

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

 

Tax Identification No.:                                                                                           

 

Signature Guarantee*: __________________________________

 

* Participant in a recognized Signature Guarantee Medallion Program
(or other signature guarantor acceptable to the Trustee).

 

     

     

    

 

INCREASES OR DECREASES IN PRINCIPAL

 

AMOUNT OF GLOBAL NOTE

 

The
initial principal amount of this Global Note is $[           ]. The following increases or decreases in this Global Note have been made:

 

	Date of Increase or Decrease	 	Amount of 
 Decrease in
 Principal 
 Amount of 
 this Global 
 Note	 	Amount of 
 Increase in
 Principal 
 Amount of
 this Global
 Note	 	Remaining 
 Principal 
 Amount of this 
 Global Note 
 Following such 
 Decrease or 
 Increase	 	Signature
 of
 Authorized
 Signatory
 of Trustee 
 or
 CustodianExhibit 4.2

 

FOURTH SUPPLEMENTAL INDENTURE

 

between

 

HORIZON TECHNOLOGY FINANCE CORPORATION

 

and

 

U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

 

as Trustee

 

Dated as of June 15, 2022

 

     

     

    

 

FOURTH SUPPLEMENTAL INDENTURE

 

THIS FOURTH SUPPLEMENTAL INDENTURE (this “Fourth
Supplemental Indenture”), dated as of June 15, 2022, is between Horizon Technology Finance Corporation, a Delaware corporation
(the “Company”), and U.S. Bank Trust Company, National Association, as trustee (the “Trustee”).
All capitalized terms used herein shall have the meaning set forth in the Base Indenture (as defined below).

 

RECITALS OF THE COMPANY

 

The Company and the Trustee executed and delivered
an Indenture, dated as of March 23, 2012 (the “Base Indenture” and, as supplemented by this Fourth Supplemental
Indenture, the “Indenture”), to provide for the issuance by the Company from time to time of the Company’s unsecured
debentures, notes or other evidences of indebtedness (the “Securities”), to be issued in one or more series as provided
in the Base Indenture.

 

The Company previously entered into the First Supplemental
Indenture, dated as of March 23, 2012 (the “First Supplemental Indenture”), the Second Supplemental Indenture,
dated as of September 29, 2017 (the “Second Supplemental Indenture”), and the Third Supplemental Indenture, dated as
of March 30, 2021 (the “Third Supplemental Indenture”), which each amended and supplemented the Base Indenture. None
of the First Supplemental Indenture, the Second Supplemental Indenture or Third Supplemental Indenture is applicable to the 2027 Notes
(as defined below).

 

The Company desires to initially issue and sell
up to $50,000,000 aggregate principal amount (or up to $57,500,000 aggregate principal amount if the underwriters’ overallotment
option to purchase additional 2027 Notes is exercised in full) of the Company’s 6.25% Notes due 2027 (the “2027 Notes”).

 

Sections 9.01(iv) and 9.01(vi) of the Base
Indenture provide that, without the consent of Holders of the Securities of any series issued under the Indenture, the Company, when authorized
by or pursuant to a Board Resolution, and the Trustee, at any time and from time to time, may enter into one or more indentures supplemental
to the Base Indenture to (i) change or eliminate any of the provisions of the Indenture when there is no Security Outstanding of
any series created prior to the execution of a supplemental indenture that is entitled to the benefit of such provision and (ii) establish
the form or terms of Securities of any series as permitted by Section 2.01 and Section 3.01 of the Base Indenture.

 

The Company desires to establish the form and terms
of the 2027 Notes and to modify, alter, supplement and change certain provisions of the Base Indenture for the benefit of the Holders
of the 2027 Notes (except as may be provided in a future supplemental indenture to the Indenture (“Future Supplemental Indenture”)).

 

The Company has duly authorized the execution
and delivery of this Fourth Supplemental Indenture to provide for the issuance of the 2027 Notes and all acts and things necessary
to make this Fourth Supplemental Indenture a valid, binding, and legal obligation of the Company and to constitute a valid agreement
of the Company, in accordance with its terms, have been done and performed.

 

     

     

    

 

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

 

For and in consideration of the premises and the
purchase of the 2027 Notes by the Holders thereof, it is mutually agreed, for the equal and proportionate benefit of all Holders of the
2027 Notes, as follows:

 

ARTICLE I

TERMS OF THE 2027 NOTES

 

Section 1.01. Terms of the 2027 Notes.
The following terms relating to the 2027 Notes are hereby established:

 

(a) The 2027 Notes shall constitute a series of
Securities having the title “6.25% Notes due 2027” and shall be designated as “Senior Securities” under the Indenture.
The 2027 Notes shall bear a CUSIP number of 44045A 508 and an ISIN number of US44045A5083.

 

(b) The aggregate principal amount of the 2027
Notes that may be initially authenticated and delivered under the Indenture (except for 2027 Notes authenticated and delivered upon registration
of, transfer of, or in exchange for, or in lieu of, other 2027 Notes pursuant to Sections 3.04, 3.05, 3.06, 9.06 or 11.07 of the
Base Indenture) shall be $50,000,000 aggregate principal amount (or up to $57,500,000 aggregate principal amount if the underwriters’
overallotment option to purchase additional 2027 Notes is exercised in full). Under a Board Resolution, Officers’ Certificate pursuant
to Board Resolutions or a Future Supplemental Indenture, the Company may from time to time, without the consent of the Holders of 2027
Notes, issue additional 2027 Notes (in any such case, “Additional Notes”) having the same ranking and the same interest
rate, maturity and other terms as the 2027 Notes initially issued. Any Additional Notes and the existing 2027 Notes shall constitute a
single series under the Indenture, and all references to the relevant 2027 Notes herein shall include the Additional Notes unless the
context otherwise requires.

 

(c) The entire outstanding principal of the 2027
Notes shall be payable on June 15, 2027 unless earlier redeemed or repurchased in accordance with the provisions of the Indenture.

 

(d) The rate at which the 2027 Notes shall bear
interest shall be 6.25% per annum. The date from which interest shall accrue on the 2027 Notes shall be June 15, 2022, or the most recent
Interest Payment Date to which interest has been paid or provided for; the Interest Payment Dates for the 2027 Notes shall be March 30,
June 30, September 30 and December 30 of each year, commencing September 30, 2022 (provided that, if an Interest Payment
Date falls on a day that is not a Business Day, then the applicable interest payment shall be made on the next succeeding Business Day,
and no additional interest shall accrue as a result of such delayed payment); the initial interest period shall be the period from and
including June 15, 2022 (or the most recent Interest Payment Date to which interest has been paid or provided for), to, but excluding,
the initial Interest Payment Date, and the subsequent interest periods shall be the periods from and including an Interest Payment Date
to, but excluding, the next Interest Payment Date or the Stated Maturity, as the case may be; the interest so payable, and punctually
paid or duly provided for, on any Interest Payment Date, shall be paid to the Person in whose name the 2027 Note (or one or more predecessor
2027 Notes) is registered at the close of business on the Regular Record Date for such interest, which shall be March 15, June 15,
September 15 or December 15 (whether or not a Business Day), as the case may be, next preceding such Interest Payment Date. Payment of
principal of (and premium, if any) and any such interest on the 2027 Notes shall be made at the Corporate Trust Office of the Trustee
in Hartford, Connecticut 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; provided, however, that, at the option of the Company payment of interest may be made by check
mailed to the address of the Person entitled thereto as such address shall appear in the Security Register. Interest on the 2027 Notes
shall be computed on the basis of a 360-day year of twelve 30-day months.

 

     

     

    

 

(e) The 2027 Notes shall be initially
issuable in global form (each such 2027 Note, a “Global Note”). The Global Notes and the Trustee’s
certificate of authentication thereon shall be substantially in the form of Exhibit A to this Fourth
Supplemental Indenture. Each Global Note shall represent the outstanding 2027 Notes as shall be specified therein and each shall
provide that it shall represent the aggregate amount of outstanding 2027 Notes from time to time endorsed thereon and that the
aggregate amount of outstanding 2027 Notes represented thereby may from time to time be reduced or increased, as appropriate, to
reflect exchanges and redemptions. Any endorsement of a Global Note to reflect the amount of any increase or decrease in the amount
of outstanding 2027 Notes represented thereby shall be made by the Trustee or the Security Registrar, in accordance with
Sections 2.03 and 3.05 of the Base Indenture.

 

(f) The depositary for such Global Notes (the “Depositary”)
shall be The Depository Trust Company, New York, New York. The Security Registrar with respect to the Global Notes shall be the Trustee.

 

(g) The 2027 Notes shall be defeasible pursuant
to Section 14.02 or Section 14.03 of the Base Indenture. Covenant defeasance contained in Section 14.03 of the Base Indenture
shall apply to the covenants contained in Sections 10.06, 10.08, 10.09 and 10.10 of the Indenture.

 

(h) The 2027 Notes shall be redeemable pursuant
to Section 11.01 of the Base Indenture and as follows:

 

(i) The 2027 Notes shall be redeemable
in whole or in part at any time or from time to time, at the option of the Company, on or after June 15, 2024, at a redemption price of
$25 per 2027 Note plus accrued and unpaid interest payments otherwise payable for the then-current quarterly interest period accrued to,
but excluding, the date fixed for redemption.

 

(ii) Notice of redemption shall be given
in writing and mailed, first-class postage prepaid or by overnight courier guaranteeing next-day delivery, to each Holder of the 2027
Notes to be redeemed, not less than thirty (30) nor more than sixty (60) days prior to the Redemption Date, at the Holder’s
address appearing in the Security Register. All notices of redemption shall contain the information set forth in Section 11.04 of
the Base Indenture.

 

(iii) Any exercise of the Company’s
option to redeem the 2027 Notes shall be done in compliance with the Investment Company Act.

 

(iv) If the Company elects to redeem
only a portion of the 2027 Notes, the Trustee shall determine the method for selecting the particular 2027 Notes to be redeemed, in accordance
with Section 11.03 of the Base Indenture and the Investment Company Act.

 

(v) Unless the Company defaults in payment
of the Redemption Price, on and after the Redemption Date, interest shall cease to accrue on the 2027 Notes called for redemption hereunder.

 

(i) The 2027 Notes shall not be subject to any
sinking fund pursuant to Section 12.01 of the Base Indenture.

 

(j) The 2027 Notes shall be issuable in denominations
of $25 and integral multiples of $25 in excess thereof.

 

(k) Holders of the 2027 Notes shall not have the
option to have the 2027 Notes repaid prior to the Stated Maturity.

 

ARTICLE II

DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

 

Section 2.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Article One of the Base Indenture shall be amended by adding or amending
and restating, as applicable, the following defined terms to Section 1.01 thereof in appropriate alphabetical sequence, as follows:

 

“‘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.”

 

     

     

    

 

“‘Business
Day’, when used with respect to any Place of Payment or any other particular location referred to in this Indenture or in the
Securities, means, each Monday, Tuesday, Wednesday, Thursday and Friday that is not a day on which banking institutions in New York City
and Chicago are authorized or obligated by law or executive order to close.”

 

“‘Code’
means the Internal Revenue Code of 1986, as amended.”

 

“Corporate
Trust Office” means the office of the Trustee at which, at any particular time, its corporate trust business shall be principally
administered, which office at the date hereof is located at 185 Asylum Street, 27th Floor Hartford, CT 06103;
Attn: Horizon Technology Finance Corporation; provided that for purposes of presentment or surrender of securities for
transfer or payment or exchange, such office is located at 60 Livingston Avenue, 1st Floor, St. Paul, MN 55107, Attn: Bondholder Services,
or such other address as the Trustee may designate from time to time by notice to the Holders and the Issuer, or the principal corporate
trust office of any successor Trustee (or such other address as such successor Trustee may designate from time to time by notice to the
Holders and the Company).

 

“‘Exchange
Act’ means the Securities Exchange Act of 1934, as amended, and any statute successor thereto.” 

 

“‘FATCA’ means sections
1471 through 1474 of the Code (or any amended or successor version) and any current or future regulations or official interpretations
thereof.”

 

“‘FATCA Withholding
Tax’ means any withholding or deduction pursuant to an agreement described in Section 1471(b) of the Code or otherwise imposed
pursuant to FATCA.”

 

“‘GAAP’ means generally
accepted accounting principles in the United States set forth in the opinions and pronouncements of the Accounting Principles Board of
the American Institute of Certified Public Accountants, the opinions and pronouncements of the Public Company Accounting Oversight Board
and the statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other entity as
have been approved by a significant segment of the accounting profession in the United States, which are in effect from time to time.”

 

“‘Investment Company Act’
means the Investment Company Act of 1940, as amended, and the rules, regulations and interpretations promulgated thereunder, to the extent
applicable, and any statute successor thereto.”

 

“‘Noteholder FATCA Information’
means, with respect to any Holder of a 2027 Note or Holder of an interest in a 2027 Note, information sufficient to eliminate the imposition
of, or determine the amount of, U.S. withholding tax under FATCA.”

 

“‘Noteholder Tax Identification
Information’ means properly completed and signed tax certifications (generally, in the case of U.S. federal income tax, IRS
Form W-9 (or applicable successor form) in the case of a person that is a “United States Person” within the meaning of Section
7701(a)(30) of the Code or the appropriate IRS Form W-8 (or applicable successor form) in the case of a person that is not a "United
States Person" within the meaning of Section 7701(a)(30) of the Code).”

 

“‘Significant Subsidiary’
means any direct or indirect Subsidiary of the Company that would be a “significant subsidiary” as defined in Article 1,
Rule 1-02 of Regulation S-X under the Exchange Act.”

 

     

     

    

 

ARTICLE III

THE SECURITIES

 

Section 3.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, the first paragraph of Section 3.03 of the Base Indenture shall be amended
and restated in with respect to the 2027 Notes as follows:

 

“The Securities shall be executed on behalf
of the Company by the Chairman of the Board, the Chief Executive Officer, the Chief Financial Officer or its President, and attested by
its Secretary. The signature of any of these officers on the Securities may be manual or facsimile, .pdf attachment or other electronically
transmitted signature (with an original manual signature to be sent to the Trustee via overnight mail immediately thereafter) of the present
or any future such authorized officer and may be imprinted or otherwise reproduced on the Securities.”

 

Section 3.02. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, the first sentence of the second paragraph of Section 3.03 of the Base
Indenture shall be amended with respect to the 2027 Notes by adding, after the word “facsimile” and before the word “signatures”,
the following:

 

“,.pdf attachment or other electronically
transmitted”

 

Section 3.03. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Article Three of the Base Indenture shall be amended with respect to the 2027
Notes by adding the following Section 3.15:

 

“Section 3.15. FATCA Withholding.
Each Holder of a 2027 Note or Holder of an interest in a 2027 Note shall provide to the Trustee, any Paying Agent or the Company, upon
its request, the Noteholder Tax Identification Information and, to the extent FATCA Withholding Tax is applicable, the Noteholder FATCA
Information. The Trustee has the right to withhold any amounts of interest (properly withholdable under law and without any corresponding
gross-up) payable to a Holder of a 2027 Note or a Holder of an interest in a 2027 Note that fails to comply with the requirements of the
preceding sentence.”

 

ARTICLE IV

SATISFACTIOIN AND DISCHARGE

 

Section 4.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 4.01 of the Base Indenture shall be amended by replacing clause (b)
thereof with the following:

 

“(b)
the Company has irrevocably paid or caused to be irrevocably paid all other sums payable hereunder by the Company, including sums payable
to the Trustee; and.”

 

ARTICLE V

REMEDIES

 

Section 5.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 5.01 of the Base Indenture shall be amended by replacing clause
(ii) thereof with the following:

 

“(ii) default in the payment of the principal
of (or premium, if any) any Note when it becomes due and payable at its Maturity; or”

 

     

     

    

 

Section 5.02. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 5.01 of the Base Indenture shall be amended by replacing clauses
(v) and (vi) thereof with the following:

 

“(v) the Company or any of its Significant
Subsidiaries or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary, pursuant to
or within the meaning of the Bankruptcy Law:

 

(1) commences a voluntary case or proceeding under any Bankruptcy
Law,  

 

(2) consents to the commencement of any bankruptcy or insolvency
case or proceeding against it, or files a petition or answer or consent seeking reorganization or relief against it,

 

(3) consents to the entry of a decree or order for relief against
it in an involuntary case or proceeding,

 

(4) consents to the filing of such petition or to the appointment
of or taking possession by a Custodian of it or for all or substantially all of its property, or

 

(5) makes an assignment for the benefit of creditors, or admits
in writing of its inability to pay its debts generally as they become due or takes any corporate action in furtherance of any such action;
or

 

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

 

(1) is for relief against the Company or any of its Significant
Subsidiaries or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary in an involuntary
case,

 

(2) adjudges the Company or any of its Significant Subsidiaries
or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary bankrupt or insolvent, or
approves as properly filed a petition seeking reorganization, arrangement, adjustment or composition of or in respect of the Company,
any of its Significant Subsidiaries or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary,

 

(3) appoints a Custodian of the Company or any of its Significant
Subsidiaries or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary or for all or
substantially all of the property of the Company or any of its Significant Subsidiaries or any group of Subsidiaries of the Company that,
taken together, would constitute a Significant Subsidiary, or

 

(4) orders the winding up or liquidation of the Company or
any of its Significant Subsidiaries or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary,

 

and the continuance of
any such decree or order for relief or any such other decree or order remains unstayed and in effect for a period of 60 calendar days;
or”

 

Section 5.03. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 5.01 of the Base Indenture shall be amended by adding the following
clauses (ix) and (x):

 

“(ix) acceleration of the Company’s
or any of its Subsidiaries’ indebtedness for money borrowed in aggregate principal amount of $10 million or more so that it becomes
due and payable, if such acceleration is not rescinded within 30 days after notice to the Company by the Trustee or to the Company
by holders of at least 25% of the principal amount of the 2027 Notes then outstanding; or

 

(x) failure by the Company or any of its Subsidiaries,
within 30 days, to pay, bond or otherwise discharge any final, non-appealable judgments or orders for the payment of money the total
uninsured amount of which for the Company or any of its Subsidiaries exceeds $10 million, which are not stayed on appeal.”

 

     

     

    

 

Section 5.04. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 5.02 of the Base Indenture shall be amended by replacing the first
paragraph thereof with the following:

 

“If an Event of Default (other than an Event
of Default under Section 5.01(v) or Section 5.01(vi), unless such default under Section 5.01(v) or Section 5.01(vi) relates solely to
a Significant Subsidiary or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary)
with respect to the 2027 Notes at the time Outstanding occurs and is continuing, then and in every such case the Trustee or the Holders
of not less than 25% in principal amount of the Outstanding 2027 Notes may (and the Trustee shall at the request of such Holders) declare
the principal of all the 2027 Notes to be due and payable immediately, by a notice in writing to the Company (and to the Trustee if given
by the Holders), and upon any such declaration such principal or specified portion thereof shall become immediately due and payable. If
an Event of Default under Section 5.01(v) or Section 5.01(vi) occurs with respect to the Company and not solely with respect to a Significant
Subsidiary or any group of Subsidiaries of the Company that, taken together, would constitute a Significant Subsidiary, the entire principal
amount of all the 2027 Notes shall automatically become due and immediately payable.”

 

ARTICLE VI

COVENANTS

 

Section 6.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Article Ten of the Base Indenture shall be amended by adding the following
new Sections 10.08, 10.09 and 10.10 thereto, each as set forth below:

 

“Section 10.08 Section 18(a)(1)(A) of
the Investment Company Act.

 

The Company hereby agrees that for the
period of time during which 2027 Notes are Outstanding, the Company will not violate, whether or not it is subject to, Section 18(a)(1)(A)
as modified by Section 61(a)(1) of the Investment Company Act or any successor provisions thereto of the Investment Company Act.”

 

“Section 10.09 Section 18(a)(1)(B) of
the Investment Company Act.

 

The Company hereby agrees that for the
period of time during which 2027 Notes are Outstanding, the Company will not violate Section 18(a)(1)(B) as modified by Section 61(a)(2)
and the definitional provisions of the Investment Company Act or any successor provisions thereto of the Investment Company Act, whether
or not the Company is subject to such provisions of the Investment Company Act, and after giving effect to any exemptive relief granted
to the Company by the Commission, except that the Company may declare a cash dividend or distribution, notwithstanding the prohibition
contained in Section 18(a)(1)(B) as modified by Section 61(a)(2) and the definitional provisions of the Investment Company Act, but only
up to such amount as is necessary in order for the Company to maintain its status as a regulated investment company under Subchapter M
of the Internal Revenue Code of 1986; provided, however, that the prohibition in this Section 10.09 shall not apply until such time as
the Company’s asset coverage has been below the minimum asset coverage required pursuant to Section 18(a)(1)(B) as modified by Section
61(a)(2) and the definitional provisions of the Investment Company Act or any successor provisions thereto of the Investment Company Act
(after giving effect to any exemptive relief granted to the Company by the Commission) for more than six (6) consecutive months.”

 

“Section 10.10 Commission Reports and Reports
to Holders.

 

If, at any time, the Company is not
subject to the reporting requirements of Sections 13 or 15(d) of the Exchange Act to file any periodic reports with the
Securities and Exchange Commission, the Company agrees to furnish to the Holders of 2027 Notes and the Trustee for the period of
time during which the 2027 Notes are Outstanding: (i) within 90 days after the end of the each fiscal year of the Company,
audited annual consolidated financial statements of the Company and (ii) within 45 days after the end of each fiscal
quarter of the Company (other than the Company’s fourth fiscal quarter), unaudited interim consolidated financial statements
of the Company. All such financial statements shall be prepared, in all material respects, in accordance with GAAP.”

 

     

     

    

 

ARTICLE VII

DEFEASANCE

 

Section 7.01. Except as may be provided
in a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base
Indenture, whether now or hereafter issued and Outstanding, Section 14.04 of the Base Indenture shall be amended by adding the following
clause (ix):

 

“(ix)
In the case of an election under Section 14.02, in addition to the amounts deposited for the benefit of the Holders pursuant
to clause (i) of this Section 14.04, the Company shall have irrevocably deposited or caused to be
irrevocably deposited with the Trustee all amounts then due to the Trustee under the Indenture.”

 

ARTICLE VIII

MEETINGS OF HOLDERS OF SECURITIES

 

Section 8.01 Except as may be provided in
a Future Supplemental Indenture, for the benefit of the Holders of the 2027 Notes but no other series of Securities under the Base Indenture,
whether now or hereafter issued and Outstanding, Section 15.05 of the Base Indenture shall be amended by replacing clause (c) thereof
with the following:

 

“(c) At any meeting of Holders,
each Holder of a 2027 Note or proxy shall be entitled to one vote for each $25.00 principal amount of the Outstanding Securities of such
series held or represented by such Holder; provided, however, that no vote shall be cast or counted at any meeting
in respect of any Security challenged as not Outstanding and ruled by the chairman of the meeting to be not Outstanding. The chairman
of the meeting shall have no right to vote, except as a Holder of a Security of such series or proxy.”

 

ARTICLE IX

MISCELLANEOUS

 

Section 9.01. This Fourth Supplemental
Indenture and the 2027 Notes shall be governed by and construed in accordance with the laws of the State of New York, without regard to
principles of conflicts of laws that would cause the application of laws of another jurisdiction. This Fourth Supplemental Indenture is
subject to the provisions of the Trust Indenture Act, that are required to be part of the Indenture and shall, to the extent applicable,
be governed by such provisions.

  

Section 9.02. Except as may be provided
in a Future Supplemental Indenture, Article Six of the Base Indenture shall be amended by adding the following Section 6.13:

 

“Section 6.13 Trustee’s
Cooperation.

 

So long as the outstanding 2027 Notes are
registered in the name of Cede & Co. or its registered assigns, the Trustee shall cooperate with Cede & Co., as sole registered
Owner, and its registered assigns in effecting payment of the principal of, Redemption Price and interest on the 2027 Notes by arranging
for payment in such manner that funds for such payments are properly identified and are made immediately available on the date they are
due. The Company acknowledges that in order for the Trustee to make funds for such payments immediately available to the Depository on
the date they are due, the Company shall ensure the funds for such payments are remitted and made immediately available to the Trustee,
no later than 10:00 a.m. Eastern Time on the date they are due to Cede & Co. in order for the Trustee to conform to the payment guidelines
of the Depository. Funds for such payments received by the Trustee after 10:00 a.m. Eastern Time on the date they are due to Cede &
Co. may not be assured of timely payment and detail payment notification to the Depository for subsequent allocation to the noteholders.”

 

     

     

    

 

Section 9.03. In case any provision
in this Fourth Supplemental Indenture or in the 2027 Notes 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 9.04. This Fourth Supplemental
Indenture may be executed in any number of counterparts, each of which shall be deemed to be an original, but all such counterparts shall
together constitute but one and the same Fourth Supplemental Indenture. The exchange of copies of this Fourth Supplemental Indenture and
of signature pages by facsimile, .pdf transmission, email or other electronic means shall constitute effective execution and delivery
of this Fourth Supplemental Indenture for all purposes. Signatures of the parties hereto transmitted by facsimile, .pdf transmission,
email or other electronic means shall be deemed to be their original signatures for all purposes. All notices, approvals, consents, requests
and any communications hereunder must be in writing (provided that any communication sent to the Trustee hereunder must be in the form
of a document that is signed manually or by way of a digital signature provided by <ADD Provider such as DocuSign > (or such other
digital signature provider as specified in writing to the Trustee by the authorized representative), in English.  The Company agrees
to assume all risks arising out of the use of using digital signatures and electronic methods to submit communications to the Trustee,
including without limitation the risk of the Trustee acting on unauthorized instructions, and the risk of interception and misuse by third
parties.  The Trustee shall have no liability for relying on such digital signatures or electronic methods.

 

Section 9.05. The Base Indenture, as
supplemented and amended by this Fourth Supplemental Indenture, is in all respects ratified and confirmed, and the Base Indenture and
this Fourth Supplemental Indenture shall be read, taken and construed as one and the same instrument with respect to the 2027 Notes. All
provisions included in this Fourth Supplemental Indenture supersede any conflicting provisions included in the Base Indenture with respect
to the 2027 Notes, unless not permitted by law. The Trustee accepts the trusts created by the Base Indenture, as supplemented by this
Fourth Supplemental Indenture, and agrees to perform the same upon the terms and conditions of the Base Indenture, as supplemented by
this Fourth Supplemental Indenture.

 

Section 9.06. The provisions of this
Fourth Supplemental Indenture shall become effective as of the date hereof.

 

Section 9.07. Notwithstanding anything
else to the contrary herein, the terms and provisions of this Fourth Supplemental Indenture shall apply only to the 2027 Notes and shall
not apply to any other series of Securities under the Base Indenture, and this Fourth Supplemental Indenture shall not and does not otherwise
affect, modify, alter, supplement or change the terms and provisions of any other series of Securities under the Base Indenture, whether
now or hereafter issued and Outstanding.

 

Section 9.08. The recitals contained
herein and in the 2027 Notes, except the Trustee’s certificate of authentication, shall be taken as the statements of the Company,
and the Trustee assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency
of this Fourth Supplemental Indenture, the 2027 Notes or any Additional Notes, except that the Trustee represents that it is duly authorized
to execute and deliver this Fourth Supplemental Indenture, authenticate the 2027 Notes and any Additional Notes and perform its obligations
hereunder. The Trustee shall not be accountable for the use or application by the Company of the 2027 Notes or any Additional Notes or
the proceeds thereof.

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto have caused
this Fourth Supplemental Indenture to be duly executed as of the date first above written.

 

	 	HORIZON TECHNOLOGY FINANCE CORPORATION
	 	 
	 	By: 	/s/Daniel R. Trolio
	 	Name: 	Daniel R. Trolio
	 	Title: 	Senior Vice President, Chief Financial Officer and Treasurer
	 	 
	 	U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, as Trustee
	 	 
	 	By: 	/s/Kathy Mitchell
	 	Name: 	Kathy Mitchell
	 	Title: 	Vice President

 

[Signature page to Fourth Supplemental Indenture]

 

     

     

    

 

Exhibit A — Form of Global Note

 

This Security is a Global Note within the meaning
of the Indenture hereinafter referred to and is registered in the name of The Depository Trust Company 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 The Depository Trust Company or a nominee thereof, except in the limited circumstances described
in the Indenture.

 

Unless this certificate is presented by an
authorized representative of The Depository Trust Company to the issuer or its agent for registration of transfer, exchange or payment
and such certificate issued in exchange for this certificate is registered in the name of Cede & Co., or such other name as requested
by an authorized representative of The Depository Trust Company, any transfer, pledge or other use hereof for value or otherwise by or
to any person is wrongful, as the registered owner hereof, Cede & Co., has an interest herein.

 

Horizon Technology Finance Corporation

 

	No.  	 	$
	 	 	Units
	 	 	CUSIP No. 44045A 508
	 	 	ISIN No. US44045A5033

 

6.25% Notes due 2027

 

Horizon Technology Finance Corporation, 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 Cede & Co., or registered assigns, the
principal sum of ____________________(U.S. $_______________; _______________Units) on June 15, 2027, and to pay interest thereon from
June 15, 2022 or from the most recent Interest Payment Date to which interest has been paid or duly provided for, quarterly on March 30,
June 30, September 30 and December 30 in each year, commencing September 30, 2022 (provided, that if an Interest
Payment Date falls on a day that is not a Business Day, then the applicable interest payment shall be made on the next succeeding Business
Day and no additional interest shall accrue as a result of such delayed payment), at the rate of 6.25% per annum, until the principal
hereof is paid or made available for payment. The interest so payable, and punctually paid or duly provided for, on any Interest Payment
Date shall, as provided in such Indenture, be paid to the Person in whose name this Security is registered at the close of business on
the Regular Record Date for such interest, which shall be March 15, June 15, September 15 or December 15 (whether or not a Business
Day), as the case may be, next preceding such Interest Payment Date. Any such interest not so punctually paid or duly provided for shall
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
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.
This Security may be issued as part of a series.

 

Payment of the principal of (and premium, if any)
and any such interest on this Security shall be made at the Corporate Trust Office of the Trustee in Chicago, Illinois 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; provided,
however, that at the option of the Company payment of interest may be made by check mailed to the address of the Person entitled
thereto as such address shall appear in the Security Register.

 

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

 

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

 

    A-1

     

    

 

In Witness
Whereof, the Company has caused this instrument to be duly executed.

 

Dated:

 

	 	HORIZON TECHNOLOGY FINANCE CORPORATION
	 	 	 
	 	By:	 
	 	 	 
	 	 	Name: 	Daniel R. Trolio
	 	 	Title:	Senior Vice President, Chief Financial Officer and Treasurer

 

	Attest	 
	 	 	 
	By:	            	 
	Name: John Bombara	 
	Title: Secretary, Horizon Technology Finance Corporation.	 

 

    A-2

     

    

 

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

 

Dated:

 

	 	U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION,

as Trustee
	 	 	 
	 	By:	 
	 	 	 
	 	 	Authorized Signatory

 

    A-3

     

    

 

Horizon Technology Finance Corporation

6.25% Notes due 2027

 

This Security is one of a duly authorized issue
of Senior Securities of the Company (herein called the “Securities”), issued and to be issued in one or more series under
an Indenture, dated as of March 23, 2012 (herein called the “Base Indenture”), between the Company and U.S. Bank Trust
Company, National Association, as Trustee (herein called the “Trustee”, which term includes any successor trustee under the
Base Indenture), and reference is hereby made to the Base 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, as supplemented by the Fourth Supplemental Indenture, dated as of June 15, 2022, by and between
the Company and the Trustee (herein called the “Fourth Supplemental Indenture”, the Fourth Supplemental Indenture and the
Base Indenture collectively are herein called the “Indenture”). In the event of any conflict between the Base Indenture and
the Fourth Supplemental Indenture, the Fourth Supplemental Indenture shall govern and control.

 

This Security is one of the series designated on
the face hereof, initially limited in aggregate principal amount to $50,000,000 (_______________Units). Under a Board Resolution, Officers’
Certificate pursuant to Board Resolutions or an indenture supplement, the Company may from time to time, without the consent of the Holders
of Securities, issue additional Securities of this series (in any such case “Additional Securities”) having the same ranking
and the same interest rate, maturity and other terms as the Securities. Any Additional Securities and the existing Securities will constitute
a single series under the Indenture and all references to the relevant Securities herein shall include the Additional Securities unless
the context otherwise requires. The aggregate amount of outstanding Securities represented hereby may from time to time be reduced or
increased, as appropriate, to reflect exchanges and redemptions.

 

The Securities of this series are subject to redemption
in whole or in part at any time or from time to time, at the option of the Company, on or after June 15, 2024, at a redemption price of
$25 per security plus accrued and unpaid interest payments otherwise payable for the then-current quarterly interest period accrued to,
but excluding, the date fixed for redemption.

 

Notice of redemption shall be given in writing
and mailed, first-class postage prepaid or by overnight courier guaranteeing next-day delivery, to each Holder of the Securities to be
redeemed, not less than thirty (30) nor more than sixty (60) days prior to the Redemption Date, at the Holder’s address
appearing in the Security Register. All notices of redemption shall contain the information set forth in Section 11.04 of the Base
Indenture.

 

Any exercise of the Company’s option to redeem
the Securities shall be done in compliance with the Investment Company Act, and the rules, regulations and interpretations promulgated
thereunder, to the extent applicable.

 

If the Company elects to redeem only a portion
of the Securities, the Trustee shall determine the method for selecting the particular Securities to be redeemed, in accordance with Section
11.03 of the Base Indenture and the Investment Company Act, and the rules and regulations promulgated thereunder, to the extent applicable.
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 shall be issued in the name of the Holder hereof upon the cancellation hereof.

 

Unless the Company defaults in payment of the Redemption
Price, on and after the Redemption Date, interest shall cease to accrue on the Securities called for redemption.

 

Holders of Securities do not have the option to
have the Securities repaid prior to June 15, 2027.

 

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.

 

    A-4

     

    

 

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 not less than 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, other than an Event of Default referred to in Section 5.01(v) or Section 5.01(vi) of
the Indenture with respect to the Company (but including an Event of Default referred to in that section solely with respect to a Significant
Subsidiary, or group of Subsidiaries that in the aggregate would constitute a Significant Subsidiary of the Company), 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 against the costs, expenses and liabilities to be incurred in compliance with such request, 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 sixty (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. If an Event
of Default referred to in Section 5.01(v) or Section 5.01(vi) of the Indenture with respect to the Company (and not solely with
respect to a Significant Subsidiary, or group of Subsidiaries that in the aggregate would constitute a Significant Subsidiary of the Company)
has occurred, the entire principal amount of all the Securities of this series shall automatically become due and immediately payable.

 

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 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 $25 and any integral multiples of $25 in excess thereof. As provided in
the Indenture and subject to certain limitations therein set forth, Securities of this series are exchangeable for a like aggregate
principal amount of Securities of this series and of like tenor of a different authorized denomination, as requested by the Holder
surrendering the same.

 

No service charge shall be made for any such registration
of transfer or exchange, but the Company or Trustee 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.

 

The Indenture and this Security shall be governed
by and construed in accordance with the laws of the State of New York, without regard to principles of conflicts of laws.

 

    A-5

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