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EXHIBIT 10.42    
  

        PORTIONS
OF THIS EXHIBIT MARKED WITH AN "***" HAVE BEEN DELETED PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT. 

  

	StarTek, Inc.

244 Dundee Avenue

Greeley, Colorado 80634

Attention: ***	 	AT&T Corp.

340 Mt. Kemble Avenue

Room G140

Morristown, NJ 07960

Attention: ***

Subject
to the terms and conditions stated in this Agreement, StarTek, Inc. ("Contractor") agrees to perform the telemarketing services described, hereinafter "Work", and AT&T Corp. ("Company")
agrees to pay the charges stated. Whenever the terms "you", "your", "Supplier", or "Contractor" are used in this Agreement, the same shall mean StarTek, Inc. 

STATEMENT OF WORK  

        Commencing on January 1, 2002 and ending on December 31, 2005, Contractor shall perform services, when requested by Company, including but not
necessarily limited to the following: 

	I.
	From
time to time hereafter, Company may authorize Contractor to render Work to Company specified in Order(s), herein after "Orders", issued hereunder. All Work performed by Contractor
in response to such Order(s) shall be considered Work under this Agreement, and the terms and conditions hereof shall govern. Contractor shall render all the Work specified in the Order(s) within the
time allowed therein and shall meet all interim deadlines as agreed by the parties. The Work shall be performed to the satisfaction of Company, and shall be performed in accordance with the standards
specifically set forth in the Order(s), and shall be in accordance with the highest professional standards commonly used in the telemarketing industry, and with such standards or restrictions as may
be lawfully imposed by governmental authority. Work not completed to Company's satisfaction shall be re-performed by Contractor at no cost to Company.

	II.
	All
requests for Work under this Agreement shall be specified in writing, shall contain the information set out below, and shall be executed by Company for itself or its affiliates.
All Orders shall contain:

	A.
	The
incorporation, by reference, of this Agreement.

	B.
	A
description of the Work to be performed by Contractor.

	C.
	A
description of the materials to be delivered by Contractor.

	D.
	Time
periods or other such schedules for the performance of the Work.

	E.
	***

	F.
	***

	G.
	The
invoice instructions.

	H.
	The
appropriate signature(s) of the authorized representative(s) of Company and Contractor. 

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        Order(s)
shall constitute the only authorization for Contractor to take any action or expend any money on behalf of Company. Contractor acknowledges and agrees that no Work shall begin
unless and until an Order(s) is properly executed by an authorized representative of each of the parties. The terms and conditions of this Agreement shall apply to such Order(s). Any terms and
conditions in such Order(s), other than information as described above, or such other matters including, but not limited to, *** in conflict with this Agreement will be resolved in favor of this
Order. 

        Except
as otherwise provided in an Order as described above, Contractor shall provide Work for Company in accordance with the "Quality Assurance Standards and Guidelines" set forth in
Exhibit A attached hereto. 

	III.
	If
deemed necessary by Company, Company will furnish Contractor with ***.

	IV.
	***.
Contractor shall not provide to Company any third party information which has been provided to Contractor under the terms of a written or oral non-disclosure
confidentiality agreement unless Contractor is able to provide such information without violating such agreement. Such information includes, but is not limited to, proprietary, confidential, or trade
secret information of a party that was obtained by Contractor during Contractor's prior employment by such party. In the performance of this Agreement, Contractor shall not at any time:
(1) misrepresent itself or its status to any third party; (2) provide a false or deliberately misleading reason for inquiries or the collection of information; (3) misstate the
nature of its relationship with Company; and/or (4) use any element of fraud, dishonesty or criminal conduct in connection with its performance under this Agreement.

	V.
	Contractor
agrees to comply with and abide by Company's telemarketing policies and will fully cooperate in enabling Company to place customers on Company's "do not call" list or "do
not mail" list.

	VI.
	***.
Contractor shall meet with Company, when requested by Company, to discuss planning and review progress of the Work described herein. 

ASSIGNMENT AND SUBCONTRACTING  

        Contractor shall not assign any right or interest under this Agreement (excepting monies due or to become due) or delegate or subcontract any Work or other
obligation to be performed or owed under this Agreement without the prior written consent of Company. Any assignment, delegation or subcontracting without such consent shall be void. Any assignment of
monies shall be void if (1) Contractor shall not have given Company at least thirty (30) days prior written notice of such assignment or (2) such assignment imposes upon Company
obligations to the assignee in addition to the payment of such monies, or precludes Company from dealing solely and directly with Contractor in all matters pertaining to this Agreement including
amendments or settlements of charges. All Work performed by Contractor's subcontractor(s) at any tier shall be deemed Work performed by Contractor. 

ASSIGNMENT BY COMPANY  

        Company shall have the right to assign this Agreement and to assign its rights and delegate its duties under this Agreement either in
whole or in part (an "Assignment"), including, but not limited to, software licenses and other grants of intellectual property rights, at any time and without Contractor's consent, to (i) any
present or future affiliate of Company (including any subsidiary or affiliated entity thereof); (ii) any unaffiliated new entities that may be formed by Company pursuant to a corporate
reorganization, including any subsidiary or affiliated entity thereof; or (iii) any third party which by purchase, lease, outsourcing agreement or otherwise, assumes the operation,
administration and/or management of any substantial portion of the business of Company affected by this Agreement. Company shall give Contractor written notice of any Assignment, including
(i) the effective date of the Assignment ("Effective Date"), and (ii) the  

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 entity or entities receiving rights and/or assuming obligations under this Agreement ("Entities"). Upon the Effective Date and to the extent of the Assignment, Company shall be released and
discharged from all further duties under this Agreement, as to materials, services, or intellectual property rights transferred to assignee, whether ordered from or provided by Contractor prior to, on
or after the Effective Date. Notwithstanding that an Assignment has been made, Company, at its sole option, shall continue to have the right to purchase, lease, or license material, software or
services under this Agreement as if an Assignment had not been made. In addition, Contractor agrees that this Agreement may be replicated for any entity referred to above, thus creating one or more
additional agreements, each between Contractor and the entity or entities requesting such replication and each identified by its own agreement number, but containing the terms and conditions of this
Agreement, including prices. Company shall give Contractor written notice of any intention to replicate, and copies of the replicated agreement(s) for execution by Contractor. If this Agreement
includes a commitment to purchase a stated or determinable quantity of goods, services or rights, or prices that vary based on the quantities purchased, the aggregate of purchases by the Entities
under this Agreement and the replicated agreements will be included in determining the quantity.

        ***

CHANGES  

        Company may at any time during the progress of the Work require additions, deletions or alterations (all hereinafter referred to as a "Change") to the Work.
Within *** after a request for a Change, Contractor shall submit a proposal to Company which includes any changes in Contractor's costs or in the delivery or Work schedule necessitated by the Change.
Company shall within *** of receipt of the proposal, either (i) accept the proposal with a written amendment directing Contractor to perform the Change or (ii) advise Contractor not to
perform the Change in which event Contractor shall proceed with the original Work. *** 

COMPENSATION  

        Upon submission of accurate invoices for Work performed by Contractor, pursuant to an Order(s) issued hereunder, Company, upon acceptance of the Work, shall pay
Contractor for the performance of the Work in accordance with the prices specifically set forth in the Order(s). Unless otherwise specifically provided in the applicable Order(s), the scheduled
payments include the cost of all labor, equipment, materials, work products and other disbursements required to complete the Work described in the applicable Order(s). 

COMPLIANCE WITH LAWS  

        Contractor and all persons furnished by Contractor shall comply at their own expense with all applicable federal, state, local and foreign laws, ordinances,
regulations and codes, including those relating to telemarketing activities, and including the identification and procurement of required permits, certificates, licenses, insurance, approvals and
inspections in performance of this Agreement. 

        In
addition to, and not in lieu of the foregoing, Contractor and all persons furnished by Contractor agree to comply, at their own expense with the Federal Trade Commission Telemarketing
Sales Rule, 16 CFR 310, including, but not limited to, their obligations (a) to refrain from abusive telemarketing practices and to make all required disclosures as set forth in 16 CFR 310.4,
and (b) to maintain accurate and complete records of their telemarketing activities relating to Company and otherwise, as set forth in 16 CFR 310.5. Upon Company's request and during normal
business hours, Contractor shall permit Company to examine all records of telemarketing activities relating to Company that Contractor maintains in accordance with the Telemarketing Sales Rule.
Contractor agrees to indemnify Company, its affiliates and each of their officers, directors, employees and its customers, and if requested by Company, defend Company, its affiliates and each of their
officers, directors, employees 

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and its customers, for any and all claims, actions, expenses (including, but not limited to, reasonable attorney fees), costs, penalties, fines, losses, and damages that may be sustained as a result
of any
failure by Contractor or any person furnished by Contractor to comply with any law, ordinance, regulation, rule, code or ordinance. 

COMPANY'S EQUIPMENT  

        Unless otherwise specifically provided in this Agreement, Contractor shall provide all labor and equipment for performance of this Agreement. Should Contractor
actually use any equipment owned or rented by Company or its customer, Contractor acknowledges that Contractor accepts the equipment "as is, where is," that neither Company nor its customer have any
responsibility for its condition or state of repair and that Contractor shall have risk of loss an damage to it. Contractor agrees not to remove the equipment from Company's or its customer's premises
and to return it to Company or its customer upon completion of use, or at such earlier time as Company or its customer may request, in the same condition as when received by Contractor, reasonable
wear and tear excepted. 

        *** 

ENTIRE AGREEMENT  

        This Agreement shall incorporate the typed or written provisions on Company's order issued pursuant to this Agreement and shall constitute the entire agreement
between the parties with respect to the subject matter of this Agreement and the order(s) and shall not be changed, modified or rescinded, except by a writing signed by Contractor and Company. Printed
provisions on the reverse side of Company's orders (except as specified otherwise in this Agreement) and all provisions on Contractor's forms shall be deemed deleted. Estimates or forecasts furnished
by Company shall not constitute commitments. The provisions of this Agreement supersede all contemporaneous oral agreements and all prior oral and written quotations, communications, agreements and
understandings of the parties with respect to the subject matter of this Agreement. The term "Work" as used in this Agreement may also be referred to as "Services." 

FORCE MAJEURE  

        Neither party shall be held responsible for any delay or failure in performance of any part of this Agreement to the extent such delay or failure is caused by
fire, flood, explosion, war, strike, embargo, government requirement, civil or military authority, act of God, or other similar causes beyond its control and without the fault or negligence of the
delayed or nonperforming party or its subcontractors ("force majeure conditions"). Notwithstanding the foregoing, Contractor's liability for loss or damage to Company's material in Contractor's
possession or control shall not be modified by this clause. If any force majeure condition occurs, the party delayed or unable to perform shall give immediate notice to the other party, stating the
nature of the force majeure condition and any action being taken to avoid or minimize its effect. The party affected by the other's delay or inability to perform may elect to:
(1) suspend this Agreement or an Order for the duration of the force majeure condition and (i) at its option buy, sell, obtain or furnish elsewhere material or services to be bought,
sold, obtained or furnished under this Agreement or an Order (unless such sale or furnishing is prohibited under this Agreement) and deduct from any commitment the quantity bought, sold, obtained or
furnished or for which commitments have been made elsewhere and (ii) once the force majeure condition ceases, resume performance under this Agreement or an Order with an option in the affected
party to extend the period of this Agreement or Order up to the length of time the force majeure condition endured and/or (2) when the delay or nonperformance continues for a period of at ***,
terminate, at no charge, this Agreement or an Order or the part of it relating to material not already shipped, or services not already performed. Unless written notice is given within *** after the
affected party is notified of the force majeure condition, (1) shall be deemed selected. 

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GOVERNMENT CONTRACT PROVISIONS  

        The following provisions regarding equal opportunity, and all applicable laws, rules, regulations and executive orders specifically related thereto, including
applicable provisions and clauses from the Federal Acquisition Regulation and all supplements thereto are incorporated in this Agreement as they apply to work performed under specific U.S. Government
contracts: 41 CFR Part 60-1, Obligations of Contractors and Subcontractors, Sections: 41 CFR 60-1.4, Equal Opportunity Clause; 41 CFR 60-1.7, Reports and
Other Required Information; 41 CFR 60-1.8, Segregated Facilities; 41 CFR Part 60-250, Affirmative Action and Nondiscrimination Obligations of Contractors and
Subcontractors Regarding Special Disabled Veterans and Veterans of the Vietnam Era, Section 41 CFR 60-250.4, Coverage and Waivers (for contracts and subcontracts of $10,000 or
more); and, from 41 CFR Part 60-741, Affirmative Action and Nondiscrimination Obligations of Contractors and Subcontractors Regarding Individuals with Disabilities,
Section 41 CFR 60-741.4, Coverage and Waivers (for contracts and subcontracts in excess of $10,000), wherein the terms "contractor" and "subcontractor" shall mean "Contractor". In
addition, orders placed under this Agreement containing a notation that the material or services are intended for use under Government contracts shall be subject to such other Government provisions
printed, typed or written thereon, or on the reverse side thereof, or in the attachments thereto. 

GOVERNING LAW  

        This Agreement shall be governed by the laws of the State of New Jersey, excluding application of its conflict of laws provisions. The parties agree that the
provisions of the New Jersey Uniform Commercial Code apply to this Agreement and all transactions under it, including agreements and transactions relating to the furnishing of services, the lease or
rental of equipment or material, and the license of software. Contractor agrees to submit to the jurisdiction of any court wherein an action is commenced against Company based on a claim for which
Contractor has agreed to indemnify Company under this Agreement. 

IDENTIFICATION  

        Contractor shall not without Company's prior written consent: (a) *** or (b) engage in any advertising, promotion or publicity related to this
Agreement; or (c) make public use of Company's, trade name, trademark, service mark, insignia, symbol, logo, or other designation of AT&T Corp., or its affiliates. 

IMPLEADER  

        Contractor shall not implead or bring an action against Company or its customers or the employees of either based on any claim by any person for personal injury
or death to an employee of Company or its customers occurring in the course or scope of employment and that arises out of material or services furnished under this Agreement. 

INDEMNITY  

        All persons furnished by Contractor shall be considered solely Contractor's employees or agents, and Contractor shall be responsible for payment of all
unemployment, social security and other payroll taxes, including contributions when required by law. *** 

INSPECTION  

        *** 

5

 

INSURANCE  

        Contractor shall maintain and cause Contractor's subcontractors to maintain during the term of this Agreement: (1) Workers' Compensation insurance as
prescribed by the law of the state or nation in which the Work is performed; (2) employer's liability insurance with limits of at least *** for each occurrence; (3) automobile liability
insurance if the use of motor vehicles is required, with limits of at least *** combined single limit for bodily injury and property damage per occurrence; (4) Commercial General Liability
("CGL") insurance, ISO 1988 or later occurrence form of insurance, including Blanket Contractual Liability and Broad Form Property Damage, with limits of at least *** combined
single limit for bodily injury and property damage per occurrence; and (5) if the furnishing to Company (by sale or otherwise) of products, material or construction, installation, maintenance
or repair services is involved, CGL insurance endorsed to include products liability and completed operations coverage in the amount of *** per occurrence, which shall be maintained for at least one
(1) year following the expiration or termination of this Agreement. All CGL and automobile liability insurance shall designate AT&T Corp., its affiliates, and each of their directors, officers
and employees (all referred to in this clause as "Company") as additional insureds. *** Contractor agrees that Contractor, Contractor's insurer(s) and anyone claiming by, through, under or in
Contractor's behalf shall have no claim, right of action or right of subrogation against Company and its customers based on any loss or liability insured against under the foregoing insurance.
Contractor and Contractor's subcontractors shall furnish prior to the start of Work certificates or adequate proof of the foregoing insurance including, if specifically requested by Company, copies of
the endorsements and policies. Company shall be notified in writing at least *** prior to cancellation of or any material change in the policy. *** 

INVOICING  

        Contractor agrees to submit invoices promptly upon receiving notice that the Work has been completed to Company's reasonable satisfaction. Invoices shall contain
such information as Company may reasonably request. Invoices shall be payable *** after receipt by Company unless this Agreement calls for payment at a later time. *** 

	I.
	Contractor shall provide a summary of all monthly invoices billed to Company by the *** following the end of the billing period. In addition Contractor's
individual invoices shall be rendered on a *** basis by the *** following the end of the billing period and shall be payable *** receipt by Company's Accounts Payable department. Contractor's invoices
shall indicate the Work performed in accordance with the clause COMPENSATION contained herein, shall reference the applicable Purchase Order Number, and shall be payable when the Work has been
performed ***

	II.
	Contractor
shall submit an original and duplicate invoice and any other substantiation of expenses as specified within the applicable Order(s).

	III.
	Contractor shall mail invoice(s) with copies of any supporting documentation as may be required, including but not necessarily limited to, Order detail, Order
Number, and Purchase Order Number to enable Company to readily verify that invoiced amounts reflect work performed against said Order, Order Number, and Purchase Order Number.
***

	IV.
	In
the event a portion of any invoice is disputed by Company, Company will so advise Contractor and Contractor shall re-invoice Company for the undisputed portion unless
the dispute is resolved immediately. An appropriate settlement will follow when Contractor submits satisfactory proof to Company to substantiate the amount in dispute. Contractor shall have ***, from
the date a payment is sent to the Contractor, to notify Company, in writing, of any inaccuracies in the payment. Information to be submitted in any such notification must include, but is not limited
to, the personnel charges or
non-sales costs in question and, with respect to any bonus amounts, the customer's name, service type, the date order was submitted and the billed telephone number. If 

6

 

Company
does not receive notification within such *** period, Contractor may not thereafter make any claim for a payment that was not identified. 

MARKET RIGHTS  

        It is expressly understood and agreed that this Agreement neither grants to Contractor an exclusive right or privilege to sell to Company any or all material or
services of the type described in this Agreement which Company may require, nor requires the purchase of any material or services from Contractor by Company. It is, therefore, understood that Company
may contract with other contractors for the procurement of comparable material or services. In addition, Company shall at its sole discretion, decide the extent to which Company will market,
advertise, promote, support, use the material or services, or otherwise assist in further offerings of the material or services. 

        *** 

        *** 

        ***

        ***

        Given
the highly proprietary and confidential nature of the business information, data, software, plans and other items critical to Company's overall marketing strategy, Contractor
acknowledges that monetary damages may not be a sufficient remedy if there occurs unauthorized disclosure of Company's proprietary information to any other local or long-distance carrier,
cable television service provider, internet service provider, DSL service provider, pager service provider, or cellular/wireless service provider. Contractor further acknowledges that in the event
Contractor breaches any provision contained herein, Company will be entitled, without waiving other rights, to immediately terminate this Agreement and to obtain all such remedies as injunctive or
equitable relief, as well as attorneys' fees, as may be deemed proper by a court of competent jurisdiction. 

        Notwithstanding
any of the above Company may at any time unilaterally waive any or all of the provision in this clause MARKET RIGHTS, on a project by project basis or in totem. 

MEDIATION  

        If a dispute arises out of or relates to this Agreement, or its breach, and the parties have not been successful in resolving such dispute through negotiation,
the parties agree to attempt to resolve the dispute through mediation by submitting the dispute to a sole mediator selected by the parties or, at any time at the option of a party, to mediation by the
American Arbitration Association ("AAA"). Each party shall bear its own expenses and an equal share of the expenses of the mediator and the fees of the AAA. The parties, their representatives, other
participants and the mediator shall hold the existence, content and result of the mediation in confidence. If such dispute is not revolved by such mediation, the parties shall have the right to resort
to any remedies permitted by law. All defenses based on passage of time shall be tolled pending the termination of the mediation. Nothing in this clause shall be construed to preclude any party from
seeking injunctive relief in order to protect its rights pending mediation. A request by a party to a court for such injunctive relief shall not be deemed a waiver of the obligation to mediate. 

7

   NOTICES  

        Any notice or demand which under the terms of this Agreement or under any statue must or may be given or made by Contractor or Company shall be in writing and
shall be given or made by telegram, confirmed facsimile, or similar communication or by certified or registered mail addressed to the respective parties as follows: 

	To Company:	 	***

AT&T Corp.

Room G140E

340 Mt. Kemble Avenue

Morristown, New Jersey 07960
	

To Contractor:	
 	

***

StarTek, Inc.

100 Garfield Street

Denver, Colorado 80206

        Such
notice or demand shall be deemed to have been given or made when sent by telegram, or facsimile, or other communication or when deposited, postage prepaid in the US mail. 

        The
above addresses may be changed at any time by giving prior written notice as above provided. 

ORDERLY TRANSITION  

        In the event of expiration or termination of this Agreement, in whole or in part, wherein all or some portion of the Work will be performed by Company itself or
elsewhere, Contractor agrees to provide its full cooperation in the orderly transition of the Work to Company or elsewhere, including, but not necessarily limited to packing and preparing for shipment
any materials or other inventory to be transferred, provision of reports, files and similar media necessary for continuation of the Work transferred, continuation of Work at reducing levels if
necessary during a transition period and at reduced levels if Work is transferred in part. Prices for additional Work such as packing and preparation for shipment, and revision of prices resulting
from revised volumes, if necessary, shall be proposed by Contractor and shall be mutually agreed upon by the parties. 

ORDERING COMPANIES  

        Any of the corporations listed below, or such additional associated corporations, partnerships, or ventures, both U.S. and foreign, as may be designated in
writing by AT&T Corp., may order under this Agreement: 

AT&T
Corp.

AT&T Solutions, Inc. 

        For
the purpose of this Agreement, the term "Company" shall mean the corporation or other entity which enters into or issues a contract or Order under this Agreement. An associated
corporation, partnership, or venture is an entity, ten percent (10%) of whose voting stock or ownership interest is owned directly or indirectly by AT&T Corp. Any contract or Order issued under this
Agreement will be a contractual relationship between the ordering Company and Contractor and Contractor shall look only to the ordering Company for performance of the Company's obligations under such
contract or Order. 

8

 

PAYMENT TERMS  

        Unless payment terms more favorable to Company appear on Contractor's invoice and Company elects to pay on such terms, invoices shall be paid in accordance with
the terms stated in this Agreement, and due dates for payment of invoices shall be computed from the date of receipt of invoice by Company's Accounts Payable Department. 

RELATIONSHIP  

        Contractor shall exercise full control and direction over the employees of Contractor performing the Work covered by this Agreement. Any changes in personnel that
may be reasonably requested by Company through its authorized representative shall be made as soon as possible. From time to time Company may request and receive the name(s) of said employee(s) for
the purpose of monitoring and auditing. 

        Neither
Contractor nor its employees or agents shall be deemed to be Company's employees or agents. Neither Contractor nor Contractor's employees shall represent themselves as Company's
employees or agents, or otherwise use any Company identification, as defined in the clause IDENTIFICATION of this Agreement, in any manner, at any time, without the written consent of Company. It is
understood that Contractor is an independent Contractor for all purposes and at all times. Contractor is wholly responsible for withholding and payment of all applicable federal, state and local
income and other payroll taxes with respect to its employees, including contributions from them as required by law. 

RELEASES VOID  

        Neither party shall require (i) waivers or releases of any personal rights or (ii) execution of documents which conflict with the terms of this
Agreement, from employees, representatives or customers of the other in connection with visits to its premises and both parties agree that no such releases, waivers or documents shall be pleaded by
them or third persons in any action or proceeding. 

REPRESENTATIVES  

        Company's Technical Representative shall be designed in an Order and Company's Agreement Representative is *** or such other persons as may be designated in
writing by Company from time to time. Contractor's Representative is *** or such other person as may be designated in writing by Contractor from time to time. Contractor shall provide a single point
of contact to resolve any billing disputes. 

RIGHT OF ENTRY AND PLANT RULES  

        Each party shall have the right to enter the premises of the other party during normal business hours with respect to the performance of this Agreement,
subject to all plant rules and regulations, security regulations and procedures and U.S. Government clearance requirements if applicable. Contractor shall
become acquainted with conditions governing the delivery, receipt and storage of materials at the site of the Work so that Contractor will not interfere with Company's operations. Storage space will
not necessarily be provided adjacent to the site of the Work. Therefore, Contractor shall be expected to select, uncrate, remove and transport materials from the storage areas provided. Company is not
responsible for the safekeeping of Contractor's property on Company premises. Contractor shall not stop, delay or interfere with Company's work schedule without the prior approval of Company's
Representative. Contractor shall provide and maintain sufficient covering and take any other precautions necessary to protect Company's stock, equipment and other property from damage due to
Contractor's performance of the Work. 

9

 

SEVERABILITY  

        If any of the provisions of this Agreement shall be invalid or unenforceable, such invalidity or unenforceability shall not invalidate or render unenforceable the
entire Agreement, but rather the entire Agreement shall be construed as if not containing that particular invalid or unenforceable provision or provisions, and the rights and obligations of Contractor
and Company shall be construed and enforced accordingly. 

SURVIVAL OF OBLIGATIONS  

        It is agreed that certain obligations of the parties under this Agreement, which, by their nature would continue beyond the termination, cancellation, or
expiration of this Agreement, shall survive termination, cancellation or expiration of this Agreement. Such obligations include, by way of illustration only and not limitation, those contained in the
COMPLIANCE WITH LAWS, IDENTIFICATION, INDEMNITY, INSURANCE, RELEASES VOID, USE OF INFORMATION and WARRANTY clauses. 

TAXES  

        Company shall reimburse Contractor only for the following tax payments with respect to transactions under this Agreement unless Company advises Contractor that an
exemption applies: state and local sales and use taxes, as applicable. Taxes payable by Company shall be billed as separate items on Contractor's invoices and shall not be included in Contractor's
prices. Company shall have the right to have Contractor contest any such taxes that Company deems improperly levied at Company's expense and subject to Company's direction and control. 

TERMINATION  

        Company may at any time terminate this Agreement or an order, in whole or in part, by written notice to Contractor. In such case, Company's liability shall be
limited to payment of the amount due for Work performed up to and including the date of termination (which amount shall be substantiated with proof satisfactory to Company and shall not exceed the
price of Work being terminated), and no further Work will be rendered by Contractor. Such payment shall constitute a full and complete discharge of Company's obligations. 

TITLE TO WORK PRODUCTS  

        All right, title and interest in and to all tangible and intangible Work and Work products developed or produced under this Agreement by or on behalf of
Contractor for Company, whether comprising or incorporated in specifications, drawings, sketches, models, samples, data, computer programs, reports, documentation or other technical or business
information, and all right, title and interest in and to patents, copyrights, trade secrets, trademarks and other intellectual property derived from such Work and Work products are hereby assigned by
Contractor to Company and are hereby agreed by Contractor to be transferred to Company or otherwise vested therein, effective when first capable of being so assigned, transferred or vested. Contractor
shall obligate its employees, subcontractors and others to provide, and shall supply to Company at no extra cost, all such assignments, rights and covenants as Company deems appropriate to assure and
perfect such transfer or other vesting. All Work and Work products shall be provided to Company as required herein or on termination or completion of this Agreement, whichever is earlier, unless
Contractor is requested in writing to do otherwise. All such Work and Work products shall be considered and arranged to be a "Work made for hire" to the extent allowed by law. 

        The
Work and Work products developed or produced under is Agreement shall be the original Work of Contractor, unless Company's Technical Representative has consented in writing to the 

10

 

inclusion of Work or Work products owned or copyrighted by others (hereafter "Included Works"). In requesting such consent, Contractor shall notify Company of the scope of the rights and permissions
Contractor intends to obtain for Company with respect to such included Works and modify the scope of same as requested by Company. Copies of all rights and permissions, clearly identifying the
Included Works to which they apply, shall be supplied to Company promptly after their acquisition. 

        Company
shall not acquire title hereunder to any intangible Work or Work products preexisting execution of this Agreement and not developed or produced in anticipation hereof. 

        Contractor
agrees, for itself and its affiliates, not to assert patents and copyrights owned or controlled by Contractor or any parent thereof or subsidiary of either against Company,
its affiliates, and its or
their direct or indirect customers, in connection with any Work product or other subject matter directly or indirectly derived from Work done hereunder. 

        During
the course of this Agreement, Contractor will receive information from Company and others, including lists of customers and potential customers for communications services. All
customer lists and all customer information derived by Contractor in connection with the performance of services are the property of Company, and shall, at the conclusion or other termination of this
Agreement, be returned to Company or, at Company's option, destroyed. At such time, any lists or information derived from lists which are contained in any databases in Contractor's possession shall be
scrubbed by Contractor, including deletion of names, addresses, telephone numbers and any telecommunications-related information. In order to protect Company information, Contractor agrees that after
the expiration or other termination of this Agreement, Contractor shall not use its database to provide services to any other local or long distance carrier, cable television service provider, pager
service provider, or cellular/wireless service provider for a period of ninety (90) days. During the first seven (7) days or sooner following expiration or other termination of this
Agreement, Contractor agrees that Company shall verify that the databases have been cleansed as directed above through an audit done by a Company designated individual. This audit will be performed
when Contractor indicates the databases have been thoroughly cleansed. Company also reserves the right to audit the databases twice within the ninety (90) days following for the same purpose.
Contractor agrees that any failure to comply with these obligations will cause irreparable injury to Company. 

        All
other materials provided by Company or prepared by the Contractor in connection with this Agreement, including, but not limited to, training materials, scripts, rebuttals, rate
charts, plans, methods and procedures, and promotional materials (e.g. banners) shall be returned to Company at the conclusion or other termination of this Agreement. 

USE OF INFORMATION  

        As a result of Contractor's anticipated or actual performance under this Agreement, Contractor may receive or become exposed to (a) Company's intangible
information expressed in the form of ideas, data, programs, technical, business or other types of intangible information, or (b) Company's documents, prints, tapes, discs, or other types of
tangible information (such tangible and intangible information hereinafter called "Information"). Contractor agrees to (1) keep all such Information confidential and use such Information only
for performing under this Agreement; (2) inform Contractor's employees, contractors and agents of their obligations to keep such Information confidential and require those employees contractors
and agents to honor such obligations; and (3) promptly surrender or destroy such Information, and any copies thereof, free-of-charge, when requested to do so by Company. 

UTILIZATION OF MINORITY AND WOMEN-OWNED BUSINESSES  

        It is Company's policy that minority and women-owned business enterprises (MWBEs) as defined in Attachment 1 shall have the maximum practicable opportunity to
participate in the performance of 

11

 

contracts. Contractor agrees to use its good faith efforts to award subcontracts and/or utilize MWBEs to carry out this policy to the fullest extent consistent with the efficient performance of this
Agreement and without compromise of quality and reliability expectations. 

        In
addition to these general conditions for MWBE support, Contractor agrees to (a) use its good faith efforts to utilize MWBEs in support of this Agreement and strive to increase
the percentage of total expenditures from MWBEs to fulfill Company's purchases each successive year of this Agreement; (b) support Company's state and regional goals for MWBE and
service-disabled veterans (SDVs) spending in California and other states/regions as may be defined in the future; and (c) work with Company to develop opportunities for the utilization of MWBEs
for first tier procurement by Company. 

        Contractor
shall submit to Company quarterly reports of work with known MWBEs in such manner and at such time as Company's representative may prescribe. Such quarterly reports shall
state separately for minority-owned business enterprises (MBEs), women-owned business enterprises (WBEs), and, for California, service-disabled veterans (SDVs), the third-party work which is
attributable to Company. In instances where direct correlation cannot be determined, such MWBE payments may be established by Contractor comparing Company's payments to Contractor, in that period, to
total payments to Contractor from all of its customers, in that period, and then arriving at Company's apportionment of such MWBE payments. Nothing in this clause shall affect or diminish Contractor's
obligations as set forth in the assignment and subcontracting provisions or any other provisions of this Agreement. If Contractor complies with the provisions of this clause, that will be a factor
Company will consider favorably in making procurement decisions about future business with Contractor. 

WAIVER  

        An effective waiver under this Agreement must be in writing and signed by the party waiving its right. A waiver by either party of any instance of the other
party's noncompliance with any obligation or responsibility under this Agreement will not be deemed a waiver of subsequent or other prior instances of non-compliance. 

WARRANTY  

        Contractor warrants to Company and its customers that material furnished will be *** 

WORK DONE BY OTHERS  

        If any of the Work is dependent on work done by others, Contractor shall inspect and promptly report to Company's Representative any defect that renders such
other work unsuitable for Contractor's proper performance. Contractor's silence shall constitute approval of such work as fit and suitable for Contractor's performance. 

THE FOLLOWING PROVISIONS APPLY TO E-COMMERCE TRANSACTIONS:  

e-COMMERCE TRANSACTIONS  

        Contractor and Company acknowledge that both want to automate certain operations for purchase and sale transactions ("Transactions"), by
transmitting and receiving, documents electronically (hereinafter called "Documents") in substitution for conventional paper-based documents. The following are examples of Documents which may be
transmitted under this Section: Catalogues; Purchase Orders; Acknowledgements; Modifications to Purchase Orders; Ship Notices; Invoices; Schedule Changes; Change Orders; Requests for Proposals; and
Proposals.

12

 

        Contractor
and Company also acknowledge that the electronic transmission of Documents can take place through the computer network of a Company-designated third party
e-Commerce provider ("Provider's Network"). 

        Contractor
and Company further acknowledge that they both want to assure that such Transactions are not rendered legally invalid or unenforceable solely by virtue of such transmission or
reception. 

THIRD-PARTY e-COMMERCE PROVIDER  

        Contractor understands that it must contract independently with the third party e-Commerce provider. Contractor further understands that it must
accept all data elements transmitted by Company through such third party's platform. Company may change the third-party e-Commerce provider upon thirty (30) days' prior written
notice to Contractor. Contractor further understands that, in such event, it may have to contract with such third party. Each party shall, at its own expense, provide and maintain the equipment,
software and services necessary to effectively and reliably transmit and receive Documents via the designated Provider's Network. In addition, Contractor shall be solely responsible for the cost of
storing its information or Documents on such Provider's Network, which information or Documents may be retrieved by Company at no additional charge to Company by Contractor. 

e-COMMERCE SIGNATURES  

        Each party will establish, through the Provider, a unique code that will act as an authenticating signature ("Signature"). Any Signature of such party affixed to
or contained in any transmitted Document is sufficient to verify that such Document originated with such party ("Signed Documents"). Neither party will disclose to any unauthorized person the
Signatures of the other party. 

        Any
Signed Document transmitted through e-Commerce shall constitute an "original" when printed from electronic files or records established and maintained in the normal
course of business. The parties further agree not to contest the validity or enforceability of Signed Documents under the provisions of any applicable law relating to whether certain agreements are to
be in writing and signed by the party to be bound thereby. 

e-COMMERCE TRANSMISSIONS  

        If a party receives any Document in an unintelligible or garbled form, or a Document that otherwise contains evidence of faulty transmission, the recipient must
promptly notify the originating party (if identifiable from the received Document) in a reasonable manner. 

WARRANTIES AND DATA INTEGRITY FOR e-COMMERCE TRANSACTIONS  

        Contractor represents and warrants that Documents and/or information either transmitted to Company by Contractor or stored on a Provider's
Network for access by Company *** In the event more favorable terms appear in a Document transmitted to Company by Contractor than appear in Contractor's current catalogue, Company will be entitled to
the more favorable terms contained in such Document.

LIMITATION OF LIABILITY FOR e-COMMERCE TRANSACTIONS  

        NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR THE ACTS OR OMISSIONS OF THE THIRD-PARTY E-COMMERCE PROVIDER WHEN SUCH ACTS OR OMISSIONS NEGATIVELY
IMPACT EITHER ONE OR MORE TRANSACTIONS, OR THE TRANSMISSION, RECEPTION, STORAGE OR HANDLING OF DOCUMENTS. 

        NEITHER
PARTY SHALL BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, PUNITIVE, OR EXEMPLARY DAMAGES, INCLUDING BUT NOT LIMITED TO, DAMAGES FOR LOSS OF PROFITS, REVENUE,
GOODWILL, USE, DATA, 

13

 

ELECTRONICALLY TRANSMITTED ORDERS, OR OTHER ECONOMIC ADVANTAGE (EVEN IF IT HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), HOWEVER CAUSED AND REGARDLESS OF THE THEORY OF LIABILITY, ARISING OUT
OF OR RELATED TO: (i) ANY DELAY, OMISSION OR ERROR IN THE ELECTRONIC TRANSMISSION OR RECEIPT OF ANY DOCUMENTS PURSUANT TO THIS AGREEMENT; OR (ii) UNAUTHORIZED ACCESS TO OR ALTERATION BY
A THIRD PARTY OF TRANSMITTED DATA. 

        IN
WITNESS WHEREOF, Contractor and Company have executed this Agreement in duplicate on the day and year below written. 

	
AGREED:	
 	

 	
 	

 
	
STARTEK, INC.	
 	

AT&T CORP.
	
By:	
 	

 (Signature)	
 	

By:	
 	

 (Signature)
	

 	
 	

 (Name—Type or Print)	
 	

 	
 	

 (Name—Type or Print)
	

 	
 	

 (Title)	
 	

 	
 	

Supplier Management Division
 (Title)
	

 	
 	

 (Date)	
 	

 	
 	

 (Date)

14

 
ATTACHMENT 1  

MINORITY AND WOMEN-OWNED BUSINESS ENTERPRISES DEFINITION  

Definition of MWBEs:  

        An MWBE is defined as a business which is owned, controlled and operated by minority or women group members. MWBE ownership exists in a business which is at least
51% owned by minority or women group members, or in the case of a publicly held company, a firm which at least 51% of the stock is owned by minority or women group members. MWBE companies must be
located within the United States, its territories or possessions; and the owners must be United States citizens. (In California only, legal aliens with permanent resident status in the United States
are also eligible.) 

Operate/Control:  

        Operate is defined as being actively involved in the day-to-day management.  Control is defined as exercising
the power to make policy decisions. 

Certification process:  

        AT&T utilizes a self-certification process in addition to recognizing certification of MWBEs by agencies such as: Regional affiliates of the National
Minority Supplier Development Council, Small Business Administration 8(a) certification, State government agencies, municipal government agencies, Women Business Owners Corporation, Women's
Business Enterprise National Council, and the California Clearinghouse. AT&T accepts certification only from those agencies who recognize MWBEs as defined in this document. 

Groups Considered Minorities:  

	•
	Native Americans: Persons having origins in any of the original peoples of North America or the Hawaiian
Islands, in particular, American Indians, Eskimos, Aleuts, and Native Hawaiians.

	•
	Asian Pacific Americans: Persons having origins in Asia including, but not limited to, Japan, China, Vietnam,
Korea, Samoa, Guam, the US Trust Territories of the Pacific, The Philippines, Northern Mariana Islands, Laos, Cambodia, Taiwan, Burma, Thailand, Malaysia, Indonesia, Singapore, Brunei, Republic of the
Marshall Islands, or the Federated States of Micronesia.

	•
	Asian Indian Americans: Persons having origins in the Indian subcontinent including, but not limited to
India, Pakistan, Bangladesh, Sri Lanka, Bhutan, or Nepal.

	•
	African Americans: Persons having origin in any Black racial groups of Africa.

	•
	Hispanic Americans: All persons of Mexican, Puerto Rican, Cuban, South or Central American, or other Spanish
culture or origin.

	•
	Non-Minority Women-Owned: All non-minority women not covered by the definition of
groups considered minorities above.

	•
	Disabled Veterans: (California only) A veteran of the military, naval, or air service of the United States
with a service-connected disability who is a resident of the State of California, and whose disabled veteran status has been certified by the State Treasurer (in the case of business enterprises
seeking contracts to supply utilities with professional bond services), or the Office of Small and Minority Business (OSMB) (in the case of business enterprises seeking contracts to supply utilities
with any other type of products or services). 

15

 

TELESERVICES

EXHIBIT A—QUALITY ASSURANCE STANDARDS & GUIDELINES  

*** 

Eleven
pages redacted 

16

QuickLinks

EXHIBIT 10.42QuickLinks
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Exhibit 10.1  

 
 

REGISTRATION RIGHTS AGREEMENT    
  

        THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement") is entered into as of
                        , 2002, by and among Univision Communications Inc., a Delaware corporation (the "Company"), and the Holders (as defined herein). 

 
 

RECITALS    
  

	A.
	To
induce the Holders to support the merger of Univision Acquisition Corporation, a Delaware corporation and wholly owned subsidiary of the Company, and Hispanic Broadcasting
Corporation, a Delaware corporation, the Company has agreed to enter this Agreement on the terms and conditions set forth below.

	B.
	The
Holders each desire to enter this Agreement on the terms and conditions set forth below. 

        NOW, THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 

 
 

AGREEMENT    
    
    Article 1. Certain Definitions    
  

        As used in this Agreement, unless the context otherwise requires: 

        "Affiliate" means any Person directly or indirectly controlling or controlled by or under direct or indirect common control with another
Person. 

        "Business Day" means any day on which banking institutions located in New York, New York are not authorized or required by law or other
governmental action to close. 

        "Clear Channel Group" means Clear Channel Communications, Inc. and its Permitted Transferees. 

        "Clear Channel Group Initiating Holders" means Holders of Clear Channel Group Registrable Securities who, in the aggregate, own at least
30% of Clear Channel Group Registrable Securities then held by all Holders of Clear Channel Group Registrable Securities and who have given a Demand Notice; provided
however that Clear Channel Group shall be deemed to be a Clear Channel Group Initiating Holder at all times until the first anniversary of the Effective Date regardless of the
amount of Clear Channel Group Registrable Securities held by Clear Channel Group. 

        "Clear Channel Group Registrable Securities" means Registrable Securities held by Clear Channel Group. 

        "Commission" means the Securities and Exchange Commission or any other similar or successor governmental body of the United States
government administering the Securities Act. 

        "Common Stock" means the Class A Common Stock, if applicable, the Class B Common Stock, the Class P Common Stock, the
Class T Common Stock and the Class V Common Stock of the Company, in each case par value $0.01 per share. 

        "Effective Date" means the date that a registration statement becomes effective under the Securities Act. 

        "Exchange Act" means the Securities Exchange Act of 1934, and any similar or successor federal statute, and the rules and regulations of
the Commission thereunder, as in effect at the time. 

        "Holder" or "Holders" means holders of Common Stock of the Company named on the signature
pages hereof, together with their Permitted Transferees. 

 

        "Initiating Holders" means those Holders who have given a Demand Notice pursuant to  Section 2.1. 

        "Offering" with respect to any of the Company's securities means the registration of such securities under the Securities Act, whether
underwritten or not, for sale to the public. 

        "Ordinary S-3 Registration Statement" means a Registration Statement on Form S-3 that includes only those
items and that information that is required to be included in Parts I and II of such Form, and does not include any additional or extraneous items or information (e.g., a lengthy description of the
Company or the Company's business) and includes the use of such form for offerings of Registrable Securities on a delayed or continuous basis pursuant to Rule 415 under the Securities Act. 

        "Permitted Transferee" means 

          (i)  any
entity substantially all of the equity (other than directors' qualifying shares) of which is directly or indirectly owned by the transferor or any entity that
controls or is under common control with the transferor; and 

        (ii)  in
the case of a transferor who is an individual, (a) such transferor's spouse and lineal descendants, (b) such transferor's successors, personal
representatives and heirs, (c) any trustee of any trust created primarily for the benefit of any, some or all of such spouse and lineal descendants (but which may include beneficiaries that are
charities) or of any revocable trust created by such transferor, (d) following the death of such transferor, all beneficiaries under any such trust, (e) the transferor, in the
case of a transfer from any Permitted Transferee back to its transferor and (f) any entity substantially all of the equity of which is directly or indirectly owned by any of the foregoing; and 

        (iii)  any
Person to whom a Holder transfers at least 10% of its Registrable Securities in a transaction registered under the Securities Act or exempt from the registration
requirements thereof. 

        "Person" means a corporation, a limited liability company, an association, a trust, a partnership, a joint venture, an organization, a
business, an individual, a government or political subdivision thereof or a governmental body. 

        "Prospectus" means the prospectus included in any Registration Statement, together with and including any amendment or supplement to such
prospectus, covering the Offering of any portion of the Registrable Securities, and all material incorporated by reference in such prospectus. 

        "P/T/V Holder" means each of the holders of registrable securities under the Registration Rights Agreement dated as of October 2,
1996, by and among the Company, A. Jerrold Perenchio, Venevision International, Limited, a British Virgin Islands corporation, Grupo Televisa, S.A., a Mexican corporation, and the other parties
thereto, as amended from time to time. 

        "Register," "registered" and
"registration" refer to a registration effected by preparing and filing a registration statement in compliance with the Securities Act and applicable
rules and regulations thereunder, and the declaration or ordering of the effectiveness of such registration statement. 

        "Registering Holders" means Holders who are participating in the particular Registration Statement under  Article 2 of this Agreement. 

        "Registrable Securities" means shares of the Class A Common Stock of the Company (or such shares of Class A Common Stock as
will be delivered upon any exchange or conversion of any shares of Common Stock) held by the Holders or otherwise acquired by the Holders (including by way of a conversion of any other class of Common
Stock) and any securities issued or issuable with respect to such Shares by way of a stock dividend or stock split or in connection with a combination of such Shares, recapitalization, merger,
consolidation, reclassification or other reorganization. A security will 

2

 

cease to be a Registrable Security at such time as it (i) has been effectively registered under the Securities Act and disposed of in accordance with the Registration Statement covering it,
(ii) is distributed to the public pursuant to Rule 144 (or any similar rule then in force) under the Securities Act, (iii) has otherwise been transferred in a transaction
registered under the Securities Act or exempt from the registration requirements thereof and a new certificate or other evidence of ownership for it
not required to bear a restrictive legend and not subject to any stop transfer order has been delivered by or on behalf of the Company and no other restriction on transfer exists, or (iv) has
ceased to be outstanding. For the purpose of determining a Person's right to any benefit afforded, or to exercise any rights granted, to a holder of Registrable Securities hereunder, including any
right to receive notice, to give notice, to vote or to make certain elections, any securities of the Company that are convertible into or exchangeable for Registrable Securities shall be deemed to be
that number of Registrable Securities into which such securities may be converted or for which such securities may be exchanged at any point in time. 

        "Registration Statement" means a registration statement filed by the Company with the Commission at the time such registration becomes
effective, as amended and supplemented by any post-effective amendment. 

        "Securities Act" means the Securities Act of 1933, as amended, or any similar federal statute, and the rules and regulations of the
Commission promulgated thereunder, as in effect at the time. 

        "Shares" means shares of Common Stock. 

        "Tichenor Group" means McHenry Tichenor, Jr., Warren W. Tichenor, William E. Tichenor, Jean T. Tichenor and U.S. Bank as trustee of the
David T. Tichenor Trust and their Permitted Transferees. 

        "Tichenor Group Initiating Holders" means Holders of Tichenor Group Registrable Securities who, in the aggregate, own at least $40,000,000
of such securities (based upon the reported trading price of such stock at the time of the Demand Notice) and who have given a Demand Notice. 

        "Tichenor Group Registrable Securities" means Registrable Securities held by the Tichenor Group. 

        Other Definitions.    The following terms have the meanings ascribed to them in the sections indicated below: 

	Definition
 
	 	Section or Subsection

	"Agreement"	 	Introduction
	"Company"	 	Introduction
	"Controlling Person"	 	5.1
	"Demand Notice"	 	2.1
	"Demand Registration Statement"	 	2.1
	"Holders"	 	Introduction
	"Indemnifying Holder"	 	5.3
	"Losses"	 	5.1
	"Other Holders"	 	2.1.1
	"Other Shares"	 	2.1.2
	"Piggyback Notice"	 	2.2.1
	"Piggyback Registration Statement"	 	2.2
	"Registration Expenses"	 	4.14
	"Third Party Holder"	 	2.1.2

 
 

Article 2. Registration Rights    
  

        2.1    Demand Registration.    The Clear Channel Group Initiating Holders or the Tichenor Group Initiating Holders
may, by written notice to the Company (the "Demand Notice"), demand that the 

3

 

Company file, and the Company shall file, a Registration Statement as soon as practicable but no later than 60 days following such demand, covering the Registrable Securities specified in the
Demand Notice on such form as is appropriate under the Securities Act (a "Demand Registration Statement"). The
Clear Channel Group Initiating Holders are entitled to demand that the Company file and cause to be declared effective such Demand Registration Statements on 3 separate occasions. The Tichenor Group
Initiating Holders are entitled to demand that the Company file and cause to be declared effective such Demand Registration Statements on 2 separate occasions. Notwithstanding anything to the contrary
in this Section 2.1, no demand shall be deemed to have been made pursuant to this  Section 2.1 unless and until a Demand Registration Statement in
respect of such demand shall have become effective and (x) such Demand
Registration Statement will not have become subject to a stop order, injunction or other order or requirement of the Commission or other governmental agency or court, (y) all of the conditions
to closing specified in the underwriting agreement or purchase agreement entered into in connection with such Demand Registration Statement will have been satisfied, other than the failure to so
satisfy as a result of some act or omission by the Initiating Holder of such demand registration, and (z) no more than 25% of the Registrable Securities requested to be registered pursuant to
the applicable Demand Notice are excluded from such Demand Registration Statement pursuant to Section 2.1.4. The Company shall use its best
efforts to cause the Demand Registration Statement to be declared effective on the date requested by the managing underwriter for the Offering, or, if such Offering is not underwritten, as soon as
practicable after the filing thereof with the Commission, and shall keep such Demand Registration Statement effective for so long as the Offering has not been completed (but in no event longer than
180 days from the Effective Date of such Demand Registration Statement). In addition to Demand Registration Statements, each Holder is entitled to demand that the Company file and cause to be
declared effective an unlimited number of Ordinary S-3 Registration Statements, which the Company will use its reasonable efforts to file and cause to be declared effective, and, if
declared effective, the Company will keep such Ordinary S-3 Registration Statement effective for so long as the Offering has not been completed (but in no event longer than 180 days
from the Effective Date of such Ordinary S-3 Registration Statement). 

        2.1.1    Notice of Demand.    Upon receipt of a Demand Notice, the Company shall provide written notice thereof to the
Holders other than the Initiating Holders within five (5) Business Days of the date the Demand Notice was given to the Company (the "Other
Holders"). The Other Holders will be permitted to register equity securities of the Company in any Demand Registration Statement or to participate in the Offering, but only as
provided in this Section, by requesting that any of their Registrable Securities be included in the Demand Registration Statement for sale in the Offering on the terms and conditions set forth in this
Section. Notwithstanding the participation by an Other Holder in the Offering, such participation shall not count against such Other Holder's right to provide a Demand Notice pursuant to  Section 2.1. 

        2.1.2    Notice of Election to Register.    In order to participate in such Offering, each Other Holder and each other
stockholder of the Company with registration rights with respect to Shares (each, a "Third Party Holder") must give written notice of an election to
register to the Initiating Holders (with a copy to the Company) within ten (10) Business Days of the date notice of the Demand Notice was given by the Company to the Other Holders and the Third
Party Holders, such notice to specify the number of Registrable Securities proposed to be sold by such Other Holder and Third Party Holder, if applicable, in the Offering (the
"Other Shares"). 

        2.1.3    Conditions.    As a condition to participation in a Demand Registration Statement, each such Other Holder
and/or each such Third Party Holder must agree to sell the Other Shares on the same basis provided in the underwriting arrangements approved by the Initiating Holders (including without limitation the
standard indemnification provisions contained therein) and to timely complete and
execute all customary questionnaires, powers of attorney, indemnifications, holdback agreements, underwriting agreements and other documents reasonably required under 

4

 

the terms of such underwriting arrangements or required by the Commission or by any state securities regulatory body; provided,  however, that no Holder
shall be required to make any representation or warranty in connection with any such Offering other than representations and
warranties as to (i) such Holder's ownership of his or its Registrable Securities to be sold or transferred free and clear of all liens and encumbrances, (ii) such Holder's power and
authority to effect such transfer, and (iii) such matters pertaining to compliance with securities laws and other applicable laws and governmental rules and regulations, if any, as may be
reasonably requested; provided further, that the obligation of such Holders to provide indemnification pursuant to such underwriting agreement shall be several, not joint and several, among all such
Persons selling Shares, and the liability of each such Holder will be in proportion to, and such liability will be limited to, the net amount received by such Holder from the sale of his or its
Registrable Shares pursuant to the Offering. If any Person requesting inclusion in a Demand Registration Statement does not agree to the conditions set forth in this subsection, such Person will be
excluded from the Offering by written notice from the Company, the underwriter or the Initiating Holders, and the securities so excluded will be withdrawn from registration. 

        2.1.4    Limitation on Amount.    If the managing underwriter of the Offering determines in good faith that marketing
factors (e.g., potential price of the Registrable Securities or success of the Offering) require a limitation of the number of Shares to be underwritten, the number of Shares that may be sold by the
Initiating Holders, the Other Holders, the Third Party Holders in the Offering will be limited to such number of Shares as the managing underwriter determines in good faith may be included therein. In
such event, the Company shall so advise the Other Holders and Third Party Holders who gave notice under Section 2.1.2, and the number of Shares
that may be sold in the Offering (including without limitation pursuant to any over allotment option) will be allocated, first, pro rata among the Initiating Holders and the Registering Holders that
hold the same category of Registrable Securities as those held by the Initiating Holders based on the respective number of Registrable Securities held by such Holders, second, to the P/T/V Holders
based upon the respective number of shares sought by each to be included in the Offering, third to the Other Holders based upon the respective number of shares sought by each to be included in the
Offering, and fourth to any other party having registration rights with respect to Shares. For purposes hereof, a Holder of Clear Channel Group Registrable Securities shall be deemed to hold the same
category of Registrable Securities as each other holder of Clear Channel Group Registrable Securities, and a Holder of Tichenor Group Registrable Securities shall be deemed to hold the same category
of Registrable Securities as each other holder of Tichenor Group Registrable Securities. 

        2.1.5    Withdrawal.    Any Other Holder and any Third Party Holder may withdraw its Other Shares from the Demand
Registration Statement at any time prior to the Effective Date thereof. If Shares are withdrawn from the Demand Registration Statement by any Person and if the number of Shares to be included in such
registration statement was previously reduced as a result of marketing factors pursuant to subsection 2.1.4, then the Persons included in such
registration statement who have not withdrawn their Shares have the right to include additional Shares in the Demand Registration Statement in an aggregate amount equal to the number of Shares so
withdrawn, with such Shares to be allocated among such Persons in accordance with subsection 2.1.4. 

        2.1.6    Conditions of Offering.    Notwithstanding the generality of the foregoing, the Holders will not be entitled
to request the Company to file and cause to be effective a Demand Registration Statement unless the proposed size of the Offering that relates to the Demand Notice is equal to or greater than
$40,000,000 (based upon the reported trading price of such stock at the time of the Demand Notice) and each Holder furnishes to the Company such information regarding itself, the Registrable
Securities held by it, and the intended method of disposition of 

5

 

such securities as shall be reasonably required to effect the registration of its Registrable Securities. 

        2.1.7    Delay.    Notwithstanding anything contained in this Agreement to the contrary, no Demand Registration made
by a Clear Channel Group Initiating Holder pursuant to a Demand Notice delivered to the Company prior to the first anniversary of the Effective Date may be delayed pursuant to this  Section 2.1.7.
Notwithstanding anything contained in this Section 2.1 to the contrary
(except the immediately foregoing sentence), the Company may delay the registration of the Registrable Securities to which a Demand Notice relates if upon receipt of such Demand Notice (i) the
Company notifies the Holders in writing that it is in good faith contemplating filing a registration statement within 60 days of such demand (which shall not affect the Holders' other rights
hereunder, including without limitation the Holders' rights under Section 2.2 below), (ii) the Company notifies the Holders that a
material event has occurred or is likely to occur that has not been publicly disclosed and if disclosed would have a material adverse effect on the Company and its ability to consummate the Offering
under the Demand Registration Statement or (iii) the Company notifies the Holders that it has determined in good faith that the registration and offering would interfere with any material
financing, acquisition, disposition, corporate reorganization or other material transaction involving the Company or its subsidiaries that the Company reasonably believes will be publicly announced or
consummated within 60 days of such demand and that such interference could be materially detrimental to the Company. In the case of clause (i) of this subsection, the Company shall use
its best efforts, as soon as practicable, upon the first to occur of the abandonment by the Company of its contemplated registration statement or the expiration of the 60-day period above
to register the Registrable Securities to which a Demand Notice relates, unless such Demand Notice is withdrawn by the Initiating Holders. In the case of clause (ii) or clause (iii) of
this subsection, the Company may not delay the filing of the Demand Registration Statement for more than 90 days from the date of the Demand Notice unless such Demand Notice is withdrawn by the
Initiating Holders. The Company cannot exercise the rights of postponement set forth above more than once in any 12-month period. If there is a postponement under either clause (i),
(ii) or (iii) above, the Demand Notice may be withdrawn by the Initiating Holders by notice to the Company. In such case, no demand shall have been made for the purposes of  Section 2.1.

        2.2    "Piggyback" Registration.    If at any time, or from time to time, the Company determines to file a
Registration Statement covering any Shares (other than a registration statement on Form S-4 or S-8, or any form substituted therefor) for its own account or for the
account of any stockholder other than a Holder (a "Piggyback Registration Statement"), the Holders will be entitled to include their Registrable
Securities in such registration on the terms and conditions set forth in this Section. 

        2.2.1    Piggyback Notice.    The Company shall promptly give written notice of the determination to file a
registration statement to the Holders (a "Piggyback Notice"), and each Holder will have the right to request, by written notice given to the Company
within ten (10) Business Days of the date the Piggyback Notice was given by the Company to such Holder, that a specific number of Registrable Securities held
by such Holder be included in the Piggyback Registration Statement and related underwritten Offering, if any. If the Piggyback Registration Statement relates to an underwritten Offering, the Piggyback
Notice will specify the name of the managing underwriter for such Offering. The Piggyback Notice will also specify the number of securities to be registered for the account of the Company or, if
applicable, for the account of any stockholder, and the intended method of disposition of such securities. 

        2.2.2    Conditions.    If the Piggyback Registration Statement relates to an underwritten Offering, as a condition to
participation in such Piggyback Registration Statement, each Holder must agree to sell such Holder's Registrable Securities on the same basis provided in the underwriting arrangements approved by the
Company (including without limitation the standard 

6

 

indemnification provisions contained therein) and to timely complete and execute all customary questionnaires, powers of attorney, indemnities, holdback agreements, underwriting agreements and other
documents reasonably required under the terms of such underwriting arrangements or required by the Commission or by any state securities regulatory body;  provided, however, that no Holder shall be required to make any representation or warranty in connection
with any such Offering other than representations and warranties as to (i) such Holder's ownership of his or its Registrable Securities to be sold or transferred free and clear of all liens and
encumbrances, (ii) such Holder's power and authority to effect such transfer, and (iii) such matters pertaining to compliance with securities laws and other applicable laws and
governmental rules and regulations, if any, as may be reasonably requested; provided further, that the obligation of such Holders to provide indemnification pursuant to such underwriting agreement
shall be several, not joint and several, among all such Persons selling Shares, and the liability of each such Holder will be in proportion to, and such liability will be limited to, the net amount
received by such Holder from the sale of his or its Registrable Shares pursuant to the Offering. If any Person requesting inclusion in a registration statement does not agree to the conditions set
forth in this subsection, such Person will be excluded from the Offering by written notice from the Company or the underwriter, and the securities so excluded will be withdrawn from registration. 

        2.2.3    Limitations on Amount.    The Company shall use its best efforts to include the Registrable Securities
requested to be registered in the Piggyback Registration Statement. However, if the managing underwriter for any underwritten Offering under the Piggyback Registration Statement determines in good
faith that marketing factors require a limitation on the number of Shares to be underwritten, the number of Shares that may be sold in such Offering will be limited to such number of Shares as the
managing underwriter determines in good faith may be included therein. In such event, the Company shall so advise the Holders seeking inclusion in such Offering, and the number of Shares that may be
sold in such Offering (including without limitation pursuant to any over allotment option) will be allocated, first, to the Company (or, if the Offering is being made principally for the account of
another Person, to such Person in accordance with the terms of their registration rights agreement), second, pro rata among the P/T/V Holders (other than those, if any, for whom the Offering is
principally being made), third, to the Holders based upon the respective number of Shares sought to be included in such Offering and, fourth, to the Third Party Holders based upon the respective
number of Shares sought to be included in such Offering. 

        2.2.4    Withdrawal.    Each Holder may withdraw such Holder's Registrable Securities from the Piggyback Registration
Statement at any time prior to the Effective Date thereof. If Shares are withdrawn from the Piggyback Registration Statement by any Person and if the number of Shares to be included in such
registration statement was previously reduced as a result of marketing factors pursuant to subsection 2.2.3, the Persons included in such registration
statement who have not withdrawn Shares have the right to include additional Shares in the Piggyback Registration Statement in an aggregate amount equal to the number of shares so withdrawn, with such
Shares to be allocated among such Persons in accordance with subsection 2.2.3. 

        The
Company will, on five (5) Business Days notice to the Holders, have the right to withdraw any Piggyback Registration Statement initiated by the Company that is filed pursuant
to this Section at any time prior to the Effective Date thereof. 

        2.3    Selection of Underwriters.    If an Initiating Holder so elects, the Offering of Registrable Shares pursuant to
a Demand Notice shall be in the form of a "firm commitment" underwritten offering. If the Registrable Securities covered by a Demand Registration Statement are to be sold in an underwritten Offering,
the Initiating Holder shall have the right to designate an underwriter as the lead bookrunning manager of such underwritten Offering who shall be reasonably acceptable to the 

7

 

Company, and the Company shall have the right to designate an underwriter as the joint bookrunning manager of such underwritten Offering who shall be reasonably acceptable to the Initiating Holder. 

 
 

Article 3. Holdback Agreements    
  

        3.1    Restrictions on Sale by the Company.    If requested by the managing underwriter of an underwritten Offering,
the Company agrees, and agrees to use its reasonable best efforts to cause its Affiliates to agree, not to effect any public or private sale or distribution (other than pursuant to an employee benefit
plan) of securities of the same class as the Registrable Securities, or securities convertible into or exchangeable or exercisable for securities of the same class as the Registrable Securities,
including a sale pursuant to Regulation D under the Securities Act, during the 10-day period prior to, and during the 90-day period (or shorter period requested by the
underwriter) beginning on the Effective Date of an Offering made pursuant to Article 2 herein. 

        3.2    Restrictions on Public Sale by the Holders.    The Holders agree, if requested by the managing underwriter of
an underwritten Offering, not to effect any public sale or distribution of securities of the same class (or securities exchangeable or exercisable for or convertible into securities of the same class)
as the securities included in the Offering, including, but not limited to, a sale pursuant to Rule 144 of the Securities Act (except as part of such underwritten Offering), during the
10-day period prior to, and during the 90-day period (or any shorter period to which officers and directors of the Company shall agree, or any shorter period requested by the
underwriter) beginning on the Effective Date of such Offering; provided that the provisions of this Section 3.2 will not prohibit a Holder from effecting any
sale or distribution of securities pursuant to binding arrangements entered into prior to the request of the managing underwriter. 

 
 

Article 4. Registration Procedures    
  

        The Company will use its best efforts to effect any registration under Article 2 in a manner that permits the sale of the Registrable Securities covered
thereby in accordance with the intended method or methods of disposition. The Company will, as promptly as practicable, perform the actions in this Article. 

        4.1    Copies; Review.    At least five (5) Business Days before filing a Registration Statement or Prospectus
or any amendments or supplements thereto, the Company will furnish to the Registering Holders and the underwriters, if any, copies of all such documents proposed to be filed. Such documents will be
subject to the review of the Registering Holders and the underwriters (and their respective counsel), and the Company will not file any Registration Statement or amendment thereto or any Prospectus or
any supplement thereto to which the Registering Holders or the underwriters, if any, reasonably object; except that if the Registration Statement is a Piggyback Registration Statement relating to an
underwritten Offering and the underwriters do not agree with such objection by the Registering Holders, the Company can file the Piggyback Registration Statement notwithstanding such objection by the
Registering Holders. 

        4.2    Amendments.    The Company will (a) prepare and file with the Commission such amendments and
post-effective amendments to the Registration Statement as may be necessary to keep the Registration Statement effective for the applicable time period required herein, (b) cause
the Prospectus to be supplemented by any required Prospectus supplement, and as so supplemented to be filed pursuant to Rule 424 under the Securities Act, and (c) comply with the
provisions of the Securities Act with respect to the disposition of all securities covered by such Registration Statement during the applicable period in accordance with the intended methods of
disposition by the Registering Holders set forth in such Registration Statement or Prospectus supplement. 

        4.3    Notification.    The Company will promptly notify the Registering Holders and the managing underwriters, and
(if requested by any such Person) confirm such advice in writing, (a) when the 

8

 

Prospectus or any Prospectus supplement or post-effective amendment has been filed, and, with respect to the Registration Statement or any post-effective amendment, when the
same has become effective, (b) of any request by the Commission for amendments or supplements to the Registration Statement or the Prospectus or for additional information, (c) of the
issuance by the Commission of any stop order suspending the effectiveness of the Registration Statement or the initiation of any proceedings for that purpose, (d) if at any time the
representations and warranties of the Company contemplated by Article 7 below cease to be true and correct; (e) of the receipt by the Company of any notification with respect to the
suspension of the qualification of the Registrable Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose, and (f) of the happening of any
event that
makes any material statement made in the Registration Statement, the Prospectus or any document incorporated therein by reference untrue or that requires the making of any changes in the Registration
Statement, the Prospectus or any document incorporated therein by reference in order to make the statements therein not misleading in any material respect. Upon the occurrence of any event
contemplated by clause (f) above, the Company will promptly prepare a supplement or post-effective amendment to the Registration Statement or the Prospectus or any document
incorporated therein by reference or file any other required document so that, as thereafter delivered to the purchasers of the Registrable Securities, the Prospectus will not contain an untrue
statement of a material fact or omit to state any material fact necessary to make the statements therein not misleading. The Registering Holders agree that, upon receipt of any notice from the Company
of the happening of any event of the kind described in clause (f), the Registering Holders will forthwith discontinue disposition of Registrable Securities under the Prospectus related to the
applicable Registration Statement until the Registering Holders' receipt of the copies of the supplemented or amended Prospectus contemplated by the previous sentence, or until it is advised in
writing by the Company that the use of the Prospectus may be resumed, and has received copies of any additional or supplemental filings that are incorporated by reference in the Prospectus. The period
during which distribution of the Registrable Securities is suspended pursuant to this subsection will not be counted toward completion of the required period of effectiveness for any Registration
Statement. 

        4.4    Stop Order.    The Company will make every reasonable effort to obtain the withdrawal of any order suspending
the effectiveness of the Registration Statement at the earliest possible moment. 

        4.5    Information Included.    If requested by the managing underwriters or the Registering Holders, the Company will
immediately incorporate in a Prospectus supplement or post-effective amendment such information as the managing underwriters and the Registering Holders agree should be included therein
relating to the sale of the Registrable Securities, including, without limitation, information with respect to the number of Registrable Securities being sold to such underwriters or other Persons,
the purchase price being paid therefor by such underwriters or other Persons and any other terms of the distribution of the Registrable Securities to be sold in such Offering including, if applicable,
any required disclosure of arrangements with underwriters. The Company will make all required filings of such Prospectus supplement or post-effective amendment as promptly as practicable
after being notified of the matters to be incorporated in such Prospectus supplement or post-effective amendment. 

        4.6    Copies of Registration Statement and Prospectus.    The Company will (a) promptly furnish to the
Registering Holders and each managing underwriter without charge, at least one signed copy of the Registration Statement and any amendment or supplement thereto, including financial statements and
schedules, all documents incorporated therein by reference and all exhibits (including those incorporated by reference), and (b) promptly deliver to the Registering Holders and the underwriters
without charge, as many copies of the Prospectus (including each preliminary Prospectus) and any amendment or supplement thereto as such Persons may reasonably request. The Company consents to the use
of the Prospectus or any amendment or supplement thereto by the Registering Holders and the underwriters in connection with the Offering and sale of the Registrable Securities covered by the
Prospectus or any amendment or supplement thereto. As promptly as practicable after filing with the 

9

 

Commission of any document which is incorporated by reference into a Registration Statement (in the form in which it was incorporated), the Company shall provide a copy of each such document to the
Registering Holders. 

        4.7    Blue Sky Registration.    Prior to any Offering of Registrable Securities covered by a Registration Statement
under Article 2, the Company will register or qualify or cooperate with the Registering Holders, the underwriters and their respective counsel in
connection with the registration or qualification of such Registrable Securities for offer and sale under the securities or blue sky laws of such jurisdictions as the Registering Holders or
underwriter reasonably request in writing and do any and all other acts or things necessary or advisable to enable the disposition in such jurisdictions of the Registrable Securities covered by the
Registration Statement, except that the Company will not be required to take any actions under this Section if such actions would require it to file therein any general consent to service of process. 

        4.8    Other Registrations.    The Company shall use its best efforts to cause the Registrable Securities covered by
the Registration Statement to be registered with or approved by such stock exchanges, inter-dealer quotation systems, governmental agencies or authorities other than the Commission and state
securities regulatory bodies as may be necessary to enable the Registering Holders or the underwriters to consummate the disposition of such Registrable Securities. 

        4.9    Certificates.    If the Offering involves certificated Shares, the Company will cooperate with the Registering
Holders and the managing underwriter to facilitate the timely preparation and delivery of certificates representing Registrable Securities to be sold that do not bear any restrictive legends. Such
certificates will be in such denominations and registered in such names as the managing underwriter may request at least two Business Days prior to any sale of Registrable Securities to the
underwriters. 

        4.10    Other Actions.    In addition, the Company will (a) make such representations and warranties to the
Registering Holders and the underwriters as are customarily made by issuers to underwriters in primary underwritten offerings (or as may be reasonably requested by the underwriters), (b) obtain
opinions of counsel to the Company and updates thereof (which counsel and opinions will be reasonably satisfactory to the Registering Holders), (c) obtain "cold comfort" letters and updates
thereof from the Company's independent certified public accountants addressed to the underwriters, such letters to be in customary form and covering matters of the type customarily requested in "cold
comfort" letters by underwriters in connection with primary underwritten offerings (or as may be reasonably requested by the underwriters) and to obtain such a letter for the Registering Holders or to
obtain a letter from such accountants authorizing the Registering Holders to rely on such "cold comfort" letter, (d) if an underwriting agreement is entered into, ensure that the same sets
forth in full the indemnification provisions and procedures of Article 5 with respect to the Company and the Registering Holders, and (e) deliver such documents and certificates as may
be requested by the Registering Holders and the managing underwriter to evidence compliance with clause (a) and with any customary conditions contained in the underwriting agreement or other
agreement entered into by the Company with the Registering Holders. The above will be done in connection with each closing under such underwriting or similar agreement or as and to the extent required
thereunder. 

        4.11    Due Diligence.    The Company will (a) make available for inspection by each Registering Holder, any
underwriter participating in any disposition pursuant to such Registration Statement, and any attorney or accountant retained by a Registering Holder or managing underwriter (or their respective
representatives), all financial and other records, pertinent corporate documents and properties of the Company, and (b) cause the Company's officers, directors and employees to be available to
discuss and to supply all information reasonably requested by any such Registering Holder, underwriter, attorney or accountant (or their respective representatives) in connection with the Registration
Statement. All such records, information or documents will be subject to standard confidentiality arrangements. 

10

 

        4.12    Best Efforts.    The Company will otherwise use its best efforts to comply with all applicable rules and
regulations of the Commission and state securities regulatory bodies. 

        4.13    Section 11(a) Notice.    The Company will make generally available to its stockholders earnings statements
satisfying the provisions of Section 11(a) of the Securities Act no later than 30 days after the end of any 12-month period (or 60 days, if such period is a fiscal
year) (a) commencing at the end of any fiscal quarter in which Registrable Securities are sold to underwriters in a firm or best efforts underwritten Offering, or (b) if not sold to
underwriters in such an Offering, beginning with the first month of the Company's first fiscal quarter commencing after the Effective Date of the Registration Statement, which statements will cover
such 12-month period. 

        4.14    Registration Expenses.    Except as provided in the next to last sentence of this Section, all expenses
incident to the Company's performance of or compliance with this Agreement, including without limitation all registration and filing fees, fees and expenses of compliance with securities or blue sky
laws, printing expenses, messenger expenses, telephone and delivery expenses, and fees and disbursements of Company counsel and of independent certified public accountants of the Company (including
the expenses of any special audit required by or incident to such performance), will be borne by the Company. The Company will also pay its internal expenses, the expense of any annual audit and the
fees and expenses of any Person retained by the Company. In addition, the Company will pay all reasonable fees and disbursements of one counsel (designated by the Initiating Holders, and if there are
no such Initiating Holders, by the Registering Holders holding a majority of the Registrable Securities included in the Offering) for the Holders unless the Offering is being made principally for the
account of a Third Party Holder. All such expenses are referred to herein as "Registration Expenses." Notwithstanding the foregoing, if a Holder demands that the Company file and cause to be declared
effective an Ordinary S-3 Registration Statement pursuant to Section 2.1, the Company will bear all Registration Expenses related to
the first three of such Ordinary S-3 Registration Statement and such Holder will bear all Registration Expenses related to all subsequent Ordinary S-3 Registration Statements
(other than the registration fees relating to the Registrable Securities to be registered by any Other Holders, which will be borne by such Other Holders). All underwriting fees and commissions with
respect to an underwritten Offering, and transfer taxes, if any, will be borne by the Company and each Holder in proportion to the number of Registrable Securities sold by the Company and such Holder. 

        4.15    NASD Matters.    The Company shall cooperate with each Registering Holder and underwriter participating in the
disposition of the Registrable Shares and their respective counsel in connection with any filings required to be made with the National Association of Securities Dealers, Inc. 

 
 

Article 5. Indemnification    
  

        5.1    Indemnification by the Company.    The Company will indemnify and hold harmless the Holders, their officers,
directors, agents (including without limitation counsel) and employees and each Person who controls the Holders (within the meaning of the Securities Act or the Exchange Act) (each, a
"Controlling Person") from and against any and all losses, claims, damages and liabilities ("Losses")
(including without limitation any investigation, legal or other expenses reasonably incurred in connection with, and any amount paid in settlement of, any action, suit or proceeding or any claim
asserted) to which the Holders may become subject under the Securities Act, the Exchange Act or other federal or state statutory law or regulation, at common law or otherwise, insofar as such Losses
arise out of, are based upon, relate to or result from (a) any untrue statement or alleged untrue statement of a material fact contained in any Registration Statement, Prospectus or preliminary
prospectus or any amendment or supplement thereto or the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not
misleading or (b) any violation by the Company of the Securities Act or the Exchange Act, or other 

11

 

federal or state law applicable to the Company and relating to any action or inaction required of the Company in connection with such registration. The Company shall reimburse the Holders or such
officer, director, agent (including without limitation counsel), employee or Controlling Person for any legal or other expenses incurred by such Person in connection with investigating or defending
any Losses as they are incurred; provided, however, that the Company will not be liable to a Holder for
any Losses if any such Losses arise out of or are based upon any alleged untrue statement or alleged omission made in such Registration Statement, preliminary Prospectus, Prospectus, or amendment or
supplement in reliance upon and in conformity with written information furnished to the Company by such Holder specifically for use therein. Such indemnity will remain in full force and effect
regardless of any investigation made by or on behalf of the Holders or such officer, director, agent (including without limitation counsel), employee or Controlling Person, and will survive the
transfer of such securities by the Holders. The Company will also indemnify underwriters, selling brokers, dealer managers and similar securities industry professionals participating in the
distribution, their officers and directors and each Person who controls such Persons (within the meaning of the Securities Act or the Exchange Act) to the same extent customarily requested by such
Persons in similar circumstances. Reimbursement will be made periodically during the course of investigation when bills are received or expenses incurred, subject to the Holders' obligation to
reimburse the Company pursuant to the Delaware General Corporation Law. 

        5.2    Indemnification by Holder of Registrable Securities.    If any Holder sells Registrable Securities under a
Prospectus that is part of a Registration Statement, then such Holder (the "Indemnifying Holder"), by exercising the Indemnifying Holder's registration
rights hereunder, agrees, severally, and not jointly and severally, to indemnify and hold harmless the Company, its directors and each officer who signed such
Registration Statement, each Person who controls the Company (within the meaning of the Securities Act and Exchange Act) under the same circumstances as the foregoing indemnity from the Company to the
Holders to the extent, but only to the extent, that such Losses arise out of or are based upon any untrue statement of a material fact or omission of a material fact that was made in the Prospectus,
the Registration Statement, or any amendment or supplement thereto, in reliance upon and in conformity with written information relating to the Indemnifying Holder furnished to the Company by the
Indemnifying Holder expressly for use therein. In no event will the aggregate liability of the Indemnifying Holder exceed the amount of the net proceeds received by the Indemnifying Holder upon the
sale of the Registrable Securities giving rise to such indemnification obligation. Such indemnity will remain in full force and effect regardless of any investigation made by or on behalf of the
Company or such officer, director, employee or Controlling Person, and will survive the transfer of such securities by the Indemnifying Holder. The Company and the Holders will be entitled to receive
indemnities from underwriters, selling brokers, dealer managers and similar securities industry professionals participating in the distribution, to the same extent as customarily furnished by such
Persons in similar circumstances. Notwithstanding anything contrary in this Article 5, no Holder selling Registrable Shares shall be liable for
any untrue statement or omission in any preliminary Prospectus or Registration Statement if prior to the registration becoming effective or prior to the filing of any amendment or supplement thereto,
such Holder has furnished information in writing to the Company expressly for use in such Registration Statement or Prospectus or any amendment thereof or supplement thereto correcting such untrue
statement or omission and such information is not contained in the Prospectus or such supplement or amendment. 

        5.3    Contribution.    If the indemnification provided for in Sections
5.1 or 5.2 is unavailable to an indemnified party or is insufficient to hold such indemnified party harmless for any Losses in
respect of which Section 5.1 or 5.2 would otherwise apply by its terms (other than by reason of
exceptions provided in Section 5.1 or 5.2), then each applicable indemnifying party, in lieu of
indemnifying such indemnified party, will have a several, and not joint and several, obligation to contribute to the amount paid or payable by such indemnified party as a result of such Losses, in
such proportion as is appropriate to reflect the relative fault of the indemnifying party, on the one hand, and such 

12

 

indemnified party, on the other hand, in connection with the actions, statements or omissions that resulted in such Losses as well as any other relevant equitable considerations. The relative fault
of such indemnifying party, on the one hand, and indemnified party, on the other hand, will be determined by reference to, among other things, whether any action in question, including without
limitation any untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact, has been taken or made by, or relates to information supplied by, such
indemnifying party or indemnified party, and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent any such action, statement or omission. The amount
paid or payable by a party as a result of any Losses will be deemed to include any legal or other fees or expenses incurred by such party in connection with any investigation or proceeding, to the
extent such party would have been indemnified for such expenses if the indemnification provided for in Section 5.1 or  5.2 was available to such party.
No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act)
shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. Notwithstanding the provisions of this  Section 5.3, no Holder shall be required to
contribute an amount greater than the dollar amount by which the proceeds received by such Holder
with respect to the sale of any Registrable Securities exceeds the amount of damages which such Holder has otherwise been required to pay by reason of any and all untrue or alleged untrue statements
of material fact or omissions or alleged omissions of material fact made in any Registration Statement, Prospectus or preliminary prospectus or any amendment thereof or supplement thereto related to
such sale of Registrable Securities. 

        5.4    Conduct of Indemnification Proceedings.    Any Person entitled to indemnification hereunder will
(a) give prompt notice to the indemnifying party of any claim with respect to which it seeks indemnification (provided that the failure to give such notice shall not limit the right of such
persons except to the extent that the indemnifying party is materially prejudiced thereby) and (b) permit such indemnifying party to assume the defense of such claim with counsel reasonably
satisfactory to the indemnified party; provided, however, that any Person entitled to indemnification
hereunder has the right to employ separate counsel and to participate in the defense of such claim, but the fees and expenses of such counsel will be at the expense of such Person and not of the
indemnifying party unless (i) the indemnifying party has agreed to pay such fees or expenses, (ii) the indemnifying party has failed to promptly assume the defense of such claim and
employ counsel reasonably satisfactory to such Person, or (iii) in the opinion of counsel of the Person to be indemnified, a conflict of interest may exist between such Person and the
indemnifying party with respect to such claims (in which case, if the Person notifies the indemnifying party in writing that such Person elects to employ separate counsel at the expense of the
indemnifying party, the indemnifying party will not have the right to assume the defense of such claim on behalf of such Person). If such defense is not assumed by the indemnifying party, the
indemnifying party will not be subject to any liability for any settlement made without its consent (but such consent will not be unreasonably withheld). Unless otherwise consented to by the
indemnified party, no indemnifying party will consent to entry of any judgment or enter into any settlement that does not include as an unconditional term thereof the giving to all such indemnified
parties of a release from all liability in respect to such claim or litigation. Any indemnifying party who is not entitled to, or elects not to, assume the defense of a claim will not be obligated to
pay the fees and expenses of more than one counsel for all parties indemnified by such indemnifying party with respect to such claim. As used in this Section, the terms "indemnifying party,"
"indemnified party" and other terms of similar import are intended to include only the Company (and its officers, directors, employees and each Control Person of the Company as set forth above) on the
one hand, and the Holders (and their officers, directors, agents (including without limitation counsel) employees and each Control Person of each Holder as set forth above) on the other hand, as
applicable. 

13

 

 
 

Article 6. Rule 144    
  

        The Company covenants that it will use its reasonable best efforts to file, on a timely basis, all reports required to be filed by it under the Securities Act and
the Exchange Act, and it will take such further action and provide such documents as any holder of Registrable Securities may request, all to the extent required from time to time to enable the
Holders to sell Registrable Securities without registration under the Securities Act within the limitation of the conditions provided by (a) Rule 144 under the Securities Act, as such
rules may be amended from time to time, or (b) any similar rule or regulation hereafter adopted by the Commission. Upon the request of the Holders, the Company will deliver to the Holders a
written statement verifying that it has complied with such information and requirements. The Company further covenants to use its reasonable best efforts to qualify for the use of
Form S-3 (or its successor form). 

 
 

Article 7. Representations and Warranties of the Company    
  

        The Company represents and warrants to and agrees with the Holders that this Agreement has been duly and validly executed and delivered by the Company and
constitutes a valid and binding agreement of the Company enforceable in accordance with its terms (except in each such case as enforceability may be limited by bankruptcy, insolvency, reorganization
and other similar laws now or hereafter in effect relating to or affecting creditors' rights generally and except that the remedy of specific performance and injunctive and other forms of equitable
relief are subject to certain equitable defenses and to the discretion of the court before which any proceeding therefor may be brought and except as rights to indemnity and contribution hereunder may
be limited by federal or state securities laws). 

 
 

Article 8. Miscellaneous    
  

        8.1    Specific Performance.    The Holders, in addition to being entitled to exercise all rights provided herein or
granted by law, including without limitation recovery of damages, will be entitled to specific performance of their rights under this Agreement. The Company agrees that monetary damages would not be
adequate compensation for any loss incurred by reasons of a breach by it of the provisions of this Agreement and hereby agrees to waive the defense in any action for specific performance that a remedy
at law would be adequate. 

        8.2    No Inconsistent Agreements.    The Company has not previously entered into, and will not on or after the date
of this Agreement enter into, any agreement with respect to its securities that is inconsistent with the terms of this Agreement, including without limitation any agreement that impairs or limits the
registration rights granted to the Holders or that otherwise conflicts with the provisions hereof or would preclude the Company from discharging its obligations hereunder. 

        8.3    Furnish Information.    The Company agrees that it will promptly deliver to the Holders copies of all financial
statements, reports and proxy statements that the Company is required to send to its stockholders generally. 

        8.4    Amendments; Waivers.    All amendments to this Agreement and any waivers of the terms of this Agreement must be
in writing and signed by the Company and, if such amendment or waiver affects the Clear Channel Group, the Holders of a majority of the then outstanding Clear Channel Group Registrable Securities,
and, if such amendment or waiver affects the Tichenor Group, the Holders of a majority of the then outstanding Tichenor Group Registrable Securities. 

        8.5    Notices.    Any notice, demand or delivery pursuant to the provisions of this Agreement will be sufficiently
delivered or made if and when delivered in person or by recognized overnight courier, addressed to each of the Holders at its last known address appearing on the books of the Company, or, except as
herein otherwise expressly provided, to the Company at its principal executive office, as set 

14

 

forth on the signature page hereto, or such other address as has been furnished to the party giving or making such notice, demand or delivery. 

        8.6    Assignment.    This Agreement is assignable by the parties hereto to (i) their respective Permitted
Transferees, and upon assignment such Permitted Transferees will become Holders under this Agreement, so long as such Permitted Transferees agree in writing to be bound by the terms of this Agreement
and (ii) to any lender in connection with a loan to a Holder that is secured by Registrable Securities, so long as such lender agrees in writing to be bound by the terms of this Agreement.
Other than as set forth above, this Agreement will not be assignable. 

        8.7    Multiple Counterparts.    This Agreement may be executed in two or more counterparts, each of which will be
deemed an original, but all of which constitute one and the same instrument. 

        8.8    References to this Agreement.    Numbered articles and sections herein contained refer to articles and sections
of this Agreement unless otherwise expressly stated. 

        8.9    Pronouns.    All pronouns and all variations thereof are deemed to refer to the masculine, feminine, or neuter,
singular or plural, as the context in which they are used may require. 

        8.10    Headings.    The headings in this Agreement are for convenience of reference only and do not limit or
otherwise affect the meaning of this Agreement. 

        8.11    Representation by Counsel; Interpretation.    Each party acknowledges that it has been represented by counsel
in connection with this Agreement. If any claim is made by a party relating to any conflict, omission or ambiguity in the provisions of this Agreement, no presumption or burden of proof or persuasion
will be implied because this Agreement was prepared by or at the request of any party or its counsel. The parties waive any statute or rule of law to the contrary. 

        8.12    Governing Law.    This Agreement and all amendments to it will be governed by the internal laws (and not the
laws relating to choice or conflict of laws) of the State of California. 

        8.13    Severability.    If any one or more of the provisions contained herein, or the application thereof in any
circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other and of the remaining provisions contained herein will not be
affected or impaired thereby. 

        8.14    Entire Agreement.    This Agreement is intended by the parties as a final expression of their agreement and is
intended to be a complete and exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained herein. There are no restrictions, promises,
warranties or undertakings, other than those set forth or referred to herein with respect to the Registrable Securities. This Agreement supersedes all prior agreements and understandings between the
parties with respect to such subject matter. 

        8.15    Expenses; Legal Fees.    Each party will pay its own expenses in the negotiation, preparation and performance
of this Agreement. In the event of any action, controversy, claim, counter claim, appeal, arbitration, mediation or dispute between the parties hereto arising out of or relating to this Agreement or
any of the documents provided for herein, or the breach thereof, the prevailing party will be entitled to recover from the other party reasonable attorneys' fees, expenses and costs incurred in
bringing and prosecuting such action and/or enforcing any judgment, order, ruling or award. In the event of any action, controversy, claim, counter claim, appeal, mediation or dispute between the
parties arising out of or relating to this Agreement or any of the documents provided for herein, or the breach thereof, the prevailing party will be entitled to recover from the other party
reasonable attorneys' fees, expenses and costs incurred in bringing and prosecuting such action and/or enforcing any judgment, order, ruling or award. 

15

 

        8.16    Additional Documents and Acts.    Each of the parties agrees to execute and deliver such additional reasonable
documents and instruments and to perform such reasonable additional acts as may be reasonably necessary or appropriate to effectuate, carry out and perform all of the terms, provisions, and conditions
of this Agreement and the transactions contemplated hereby. 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

16

 

        IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written. 

	 	 	"COMPANY"
	

 	
 	

UNIVISION COMMUNICATIONS INC.
	

 	
 	

	 	 	By:	 	 	 
	 	 	 	

	 	 	Its:	 	 	 
	 	 	 	

	 	 	Address:	 	 
	 	 	 	 	 	

	

 	
 	

	

 	
 	

	

 	
 	
"HOLDERS"
	

 	
 	
CLEAR CHANNEL COMMUNICATIONS, INC.
	

 	
 	

	 	 	By:	 	 	 
	 	 	 	

	 	 	Its:	 	 	 
	 	 	 	

	

 	
 	

 McHenry Tichenor, Jr.
	

 	
 	

 Warren W. Tichenor
	

 	
 	

 William E. Tichenor
	

 	
 	

 Jean T. Tichenor
	

 	
 	
U.S. BANK, TRUSTEE OF THE DAVID T. TICHENOR TRUST
	

 	
 	

	 	 	By:	 	 	 
	 	 	 	

	 	 	Its:	 	 	 
	 	 	 	

17

QuickLinks

REGISTRATION RIGHTS AGREEMENT

RECITALS

AGREEMENT Article 1. Certain Definitions

Article 2. Registration Rights

Article 3. Holdback Agreements

Article 4. Registration Procedures

Article 5. Indemnification

Article 6. Rule 144

Article 7. Representations and Warranties of the Company

Article 8. Miscellaneous

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