Document:

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Exhibit 10.3

                                 LOAN AGREEMENT

         THIS LOAN AGREEMENT (this "AGREEMENT") is entered into as of December
29, 2000, by and among ZENGINE, INC., a Delaware corporation ("LENDER"), MCSi,
INC., a Maryland corporation ("BORROWER") and WEST LAKE ACQUISITION CORPORATION,
a Maryland corporation, AGOURA HILLS CORPORATION, a Maryland corporation and
MCSi-IG-PV, INC., a Texas corporation (together, the "SUBSIDIARIES").

                                    RECITALS

         A. On October 11, 2000, Intellisys Group, Inc. and certain of its
wholly-owned subsidiaries (collectively, "SELLERS") filed a voluntary petition
for relief under Chapter 11 of the United States Bankruptcy Code.

         B. Borrower entered into that certain Asset Purchase Agreement (the
"PURCHASE AGREEMENT") dated October 6, 2000 (and amended on November 13, 2000,
November 24, 2000 and December 29, 2000) between Borrower and the Sellers,
pursuant to which Sellers have agreed to sell to Borrower, and Borrower has
agreed to purchase from Sellers, the "Assets" as defined in the Purchase
Agreement. Borrower has executed an assignment of substantially all of its
rights and obligations under the Purchase Agreement to its three wholly-owned
subsidiaries, West Lake Acquisition Corporation, Agoura Hills Corporation and
MCSi-IG-PV, Inc.

         C. Borrower has requested that Lender provide it a term loan to
facilitate the acquisition of the Sellers' assets by the Subsidiaries (the
"Loan").

         D. Lender is willing to make the Loan to Borrower, and Borrower is
willing to accept and borrow the Loan from Lender, on the terms and subject to
the conditions contained in this Agreement.

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

         I. THE LOAN

         1.1 INCORPORATION OF RECITALS. The recitals at the beginning of this
Agreement are incorporated herein as matters agreed to by Lender and Borrower;
provided, however, that the incorporation herein of factual matters recited
above shall not imply that Lender has any independent knowledge of such matters
and shall not impair, qualify, or negate any representation, warranty, or
covenant of Borrower contained in the "LOAN DOCUMENTS" (as defined in SECTION
1.4).

         5.23 AGREEMENT TO BORROW AND LEND. In reliance on the representations
and warranties contained in this Agreement and the other Loan Documents and
subject to the terms and conditions of this Agreement, Lender agrees to accept
from the Borrower a promissory note executed by Borrower and payable to the
order of Lender in the stated maximum principal amount of $8,500,000.00 (the
"Original Principal Amount"), evidencing the Loan (the "TERM

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NOTE") and Borrower hereby agrees to issue the Term Note to Lender in form and
substance satisfactory to Lender. As used in this Agreement, the term "SECURED
OBLIGATIONS" shall mean all present and future loans, advances, debts,
liabilities, obligations, covenants, duties and indebtedness at any time owing
by Borrower to Lender under this Agreement, any note or other instrument or
document, whether arising therefrom, absolute or contingent, due or to become
due, including, without limitation, all interest, charges, expenses, fees,
attorney's fees, expert witness fees and any other sums chargeable to Borrower
hereunder.

         5.24 LOAN STRUCTURE. The Loan shall consist of a term loan in an
original principal amount equal to $8,500,000.00. Any sums borrowed under this
term loan facility, once repaid, may not be reborrowed.

         5.25 LOAN DOCUMENTS. The Loan and the related indebtedness, covenants,
representations, warranties and other liabilities and obligations of Borrower,
shall be evidenced, secured by, and otherwise set forth in, this Agreement and
certain additional instruments, security agreements, agreements, assignments,
guaranties, certificates, statements, and documents (collectively, the "LOAN
DOCUMENTS"), each of which shall be in form and content satisfactory to Lender
in its discretion reasonably exercised. In addition to this Agreement, the Loan
Documents include, but are not limited to, the following:

         (a) the Term Note;

         (b) a guaranty from each of the Subsidiaries (collectively, the
"GUARANTIES");

         (c) a security agreement encumbering all of each of the Subsidiaries'
personal property assets (the "SECURITY AGREEMENT") as security for the Secured
Obligations and such UCC-1 Financing Statements pertaining thereto as Lender
shall require; and

         (d) an intercreditor agreement between Lender and Fleet Business Credit
Corporation in form and substance satisfactory to Lender in its sole discretion.

         5.26 INTEREST RATE, PRINCIPAL REPAYMENT AND MATURITY. (a) As more fully
set forth in the Term Note, and without qualifying the provisions thereof: the
outstanding principal balance of the Loan shall bear interest, payable monthly
in arrears, at an annual rate equal to the Prime Rate (on the last day of each
calendar month for each month the Original Principal Amount (or any portion
thereof) remains outstanding as published in the "Money Rates" box in the WALL
STREET JOURNAL, or if that publication is not available, the prime rate as
quoted by PNC Bank, N.A. on such dates) with the full amount of all outstanding
accrued but unpaid interest for the Loan due and payable on the last day of the
Term (as defined in Section 1.7(a) hereof).

         (b) The rate of interest shall increase or decrease by an amount equal
to any increase or decrease in the Prime Rate, effective as of the opening of
business on the day that any such change in the Prime Rate occurs on the date
the Prime Rate is calculated, as set forth above.

         (c) Upon the occurrence of an Event of Default (as defined below) and
during the continuation thereof, the principal amount of the Loan shall bear
interest at a fluctuating rate per annum equal to 2.0% per annum in excess of
the otherwise applicable interest rate (as applicable, the "DEFAULT RATE").

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         (d) Interest hereunder shall be calculated daily and shall be computed
on the actual number of days elapsed over a year of 360 days. For the purpose of
computing interest hereunder, all items of payment received by Lender shall be
deemed applied by Lender on account of the Secured Obligations (subject to final
payment of such items) on the date of receipt by the Lender or one Business Day
after receipt by Lender of such items in Lender's account (if received after
2:00 p.m., Fremont, California time).

         (e) In no contingency or event whatsoever shall the rate or amount of
interest paid by Borrower under this Agreement, the Term Note or any of the
other Loan Documents exceed the maximum rate or amount permissible under any law
which a court of competent jurisdiction shall, in a final determination, deem
applicable hereto or thereto. If such a court determines that Lender has
received interest hereunder, under the Term Note or under any other Loan
Document in excess of the maximum amount permitted by such law, (i) Lender shall
apply such excess to any unpaid principal owed by Borrower to Lender or, if the
amount of such excess exceeds the unpaid balance of such principal, Lender shall
promptly refund such excess interest to Borrower and (ii) the provisions hereof
shall be deemed amended to provide for such permissible rate. All sums paid, or
agreed to be paid, by Borrower which are, or hereafter may be construed to be,
compensation for the use, forbearance or detention of money shall, to the extent
permitted by applicable law, be amortized, prorated, spread and allocated
throughout the full term of all such indebtedness until the indebtedness is paid
in full.

         (f) Borrower hereby irrevocably authorizes Lender, in Lender's sole
discretion, to advance to Borrower, and to charge to Borrower, a sum sufficient
to pay all interest accrued on the Secured Obligations during the immediately
preceding month and to pay all costs, fees and expenses at any time owed by
Borrower to Lender hereunder.

         5.27 PERSONAL PROPERTY SECURITY INTEREST. The Subsidiaries hereby grant
to Lender a security interest in all of the Subsidiaries' personal property of
every kind and nature, whether now existing or hereafter created, acquired or
arising and all products and proceeds thereof, all as more fully set forth in
the Security Agreement.

         5.28 TERM; TERMINATION.

         (a) TERM. The term of this Agreement shall be from the Effective Date
until March 30, 2001 (the "TERM"), unless earlier terminated as provided herein.

         (b) PAYMENT IN FULL. Upon the effective date of termination, the
Secured Obligations shall become immediately due and payable in full in cash.
Borrower may prepay, in part or in whole, from time to time during the Term, the
Secured Obligations without penalty.

         (c) PAYMENTS WITHOUT DEDUCTIONS. Borrower shall pay principal,
interest, and all other amounts payable hereunder, or under any related
agreement, without any deduction whatsoever, including, but not limited to, any
deduction for any setoff or counterclaim.

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   II.  CLOSING

         2.1 EFFECTIVE DATE. This Agreement shall be effective on the date above
written and each of the conditions set forth below in this SECTION 2.1 shall be
satisfied unless waived by Lender in writing (the "EFFECTIVE DATE").

         (a) LOAN DOCUMENTS. Each Loan Document shall have been executed (and,
in the case of each Loan Document to be recorded, acknowledged) by all parties
thereto other than Lender and delivered to Lender in form and substance approved
by Lender.

         (b) OTHER DOCUMENTS. Borrower shall have obtained and delivered to
Lender, and Lender shall have approved, all other instruments, agreements,
certificates and documents required by Lender in connection with the Loan,
including each of the following if required by Lender: (i) a complete and
correct copy of the Purchase Agreement and of each instrument, agreement, or
document to be delivered in connection with the Purchase Agreement; (ii) a copy
of each Borrower's Articles of Incorporation as filed with, and certified by,
the Secretary of State or equivalent of such Borrower's state of incorporation;
(iii) a certificate of each Borrower's good standing, issued by the Secretary of
State or equivalent of such Borrower's state of incorporation as of a date not
more than 30 days before the Effective Date; and (iv) any other organizational,
authorizing, or related documents of Borrower requested by Lender, with
certification as to the name, title, signature, incumbency and authority of each
agent (other than Lender) who is authorized to sign and deliver this Agreement
and the other Loan Documents.

         (c) PERSONAL PROPERTY SECURITY. The personal property security
interests granted to Lender in the Loan Documents shall have been or be capable
of being duly perfected in a first lien position on all of the Subsidiaries'
accounts receivable and a second lien on all other assets of the Subsidiaries
immediately after the Effective Date. The priority lien on the Subsidiaries'
accounts receivable by the Lender and the first lien on all other assets by
Fleet Business Credit Corporation ("Fleet") are more fully described in the
Intercreditor Agreement by and between Lender and Fleet. The lien obtained by
Fleet in the assets of the Subsidiaries shall be referred to as the "Fleet
Lien."

         (d) FINANCIAL INFORMATION. If requested by Lender, Borrower shall have
obtained and delivered to Lender, and Lender shall have approved, such financial
statements, income tax returns (including the related schedules and exhibits),
and other information concerning the financial condition, credit standing, and
business affairs of Borrower as Lender may reasonably require. Lender is
authorized to disclose such information and documents to Lender's attorneys,
accountants, auditors, examiners, and regulatory agencies. Lender also is
authorized to disclose such information and documents to any insurance company
or insurance agent in connection with any application for insurance or any claim
made under an insurance policy.

         (e) NO INSOLVENCY. Borrower shall not have (a) instituted any
proceedings under any chapter of the United States Bankruptcy Code or under any
other law relating to the estates of insolvents, (b) instituted any action or
proceeding for the purpose of determining obligations to its creditors or
procuring a settlement or distribution of any of its assets to creditors or
otherwise, (c) initiated any proceedings for its liquidation, reorganization or

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readjustment, (d) involuntarily become the subject of any of the foregoing
actions or proceedings or become obligated to do any of the foregoing if such
action or proceeding is not discharged or stayed within sixty (60) days, or (e)
become unable to pay its debts as they mature.

         (f) NO ILLEGALITY. There shall not be in effect any foreign, federal,
state or local law, statute, ordinance, regulation, order, rule or requirement
that would render the making of the Loan or the enforcement of any of its
provisions in accordance with the Loan Documents illegal or that would cause
Lender to be in violation of any regulatory requirement to which Lender is then
subject.

         (g) NO DEFAULT. No Event of Default (as defined in SECTION 4.1) shall
have occurred or be continuing, and no event shall have occurred which, with the
giving of notice, the passage of time, or both, would constitute an Event of
Default. If required by Lender, Borrower shall have provided Lender with
evidence satisfactory to Lender that Borrower's representations in this
Agreement are accurate.

         (h) PURCHASE AGREEMENT. Other than the payment of the Consideration,
the transactions under the Purchase Agreement to occur at or before the closing
thereof shall been completed in accordance with its terms and in accordance with
applicable law.

         2.2 WHEN LOAN PROCEEDS ARE DEEMED OUTSTANDING. The Loan shall be deemed
to be outstanding and shall commence earning interest on the Effective Date.

         2.3 WAIVER OF CONDITIONS. Any waiver by Lender of any condition
hereunder must be expressly made in writing.

   III.  ADDITIONAL COVENANTS AND REPRESENTATIONS

         3.1 TITLE TO THE ASSETS; LOCATION OF COLLATERAL. Borrower and each
Guarantor represents and warrants to Lender that the assets purchased from the
Sellers under the Purchase Agreement shall at all times be owned by Guarantors
except for inventory sold in the ordinary course of business and dispositions of
obsolete equipment. All Collateral (as defined in the Security Agreement) other
than inventory in transit, will at all times be kept by Guarantors at one or
more of the business locations set forth in EXHIBIT 3.1 hereto and shall not,
without the prior written approval of Lender, be moved therefrom except, prior
to an Event of Default and Lender's acceleration of the maturity of the Secured
Obligations in consequence thereof, for (i) sales of inventory in the ordinary
course of business; and (ii) movement of equipment and inventory from one
location of Guarantors that has been reported to Lender to another location of
Guarantors or Borrower that has been reported to Lender, and within a
jurisdiction in which Lender has taken all necessary action in order to protect
and perfect its security interest therein.

         3.2 INSURANCE OF COLLATERAL. Borrower or Guarantors shall maintain and
pay for insurance upon all Collateral wherever located and with respect to
Guarantors' business, covering casualty, hazard, public liability and such other
risks in such amounts and with such insurance companies as are reasonably
satisfactory to Lender. Guarantors shall deliver copies of such policies to
Lender with satisfactory lender's loss payable endorsements, naming Lender as

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sole loss payee, assignee or additional insured, as deemed appropriate by
Lender. Each policy of insurance or endorsement shall contain a clause requiring
the insurer to give not less than 30 days prior written notice to Lender in the
event of cancellation of the policy for any reason whatsoever and a BFU-438 or
similar endorsement specifying that the interest of Lender shall not be impaired
or invalidated by any act or neglect of Borrower or Guarantors or the owner of
the property or by the occupation of the premises for purposes more hazardous
than are permitted by said policy. If any Guarantor fails to provide and pay for
such insurance, Lender may, at its option, but shall not be required to, procure
the same and charge Borrower therefor. Each Guarantor agrees to deliver to
Lender, promptly as rendered, true copies of all reports made in any reporting
forms to insurance companies.

         3.3 FURTHER ENCUMBRANCES. Neither Borrower nor Guarantors shall,
without the prior consent of Lender, create, incur, assume or suffer to exist
any lien, security interest, encumbrance on the Collateral (as defined in the
Security Agreement) or any portion thereof, except in favor of Lender and the
Fleet Lien.

         3.4 BUSINESS LOCATIONS; AGENT FOR PROCESS. Each Guarantor's chief
executive office and other places of business are as listed on EXHIBIT 3.1
hereto. During the preceding one-year period, Guarantors have not had an office,
place of business or agent for service of process other than as listed on
EXHIBIT 3.1. Except as shown on EXHIBIT 3.1, no inventory is stored with a
bailee, warehouseman or similar party, nor is any inventory consigned to any
Person.

         3.5 TITLE TO PROPERTIES; PRIORITY OF LIENS. Upon the closing of the
Purchase Agreement, Guarantors will have all of Sellers' right, title and
interest in and to all of the Collateral as the same shall exist on the closing
of the Purchase Agreement free and clear of Encumbrances (as defined in the
Purchase Agreement) other than Permitted Encumbrances (as defined in the
Purchase Agreement) and the Fleet Lien. As to all of Guarantors' other assets
other than those described in the preceding sentence, Guarantors have good,
indefeasible and marketable title to all of the Collateral and all of its other
property, in each case, free and clear of all liens except the liens in favor of
Lender and the Fleet Lien. After the Effective Date, Guarantors will pay or
discharge all lawful claims arising after the Effective Date which, if unpaid,
might become a lien against any of the Guarantors' property. The liens granted
to Lender pursuant to the Security Agreement are first priority liens as to the
accounts receivable and second priority liens as to all other assets.

         3.6 REPORTS AND RECORDS. Borrower shall furnish Lender, upon written
request, such information and statements as Lender shall request from time to
time regarding Borrower's business affairs, financial condition and the results
of its operations. Lender shall maintain the confidentiality of all information
provided by Borrower or Guarantors, shall not disclose any such information to
any third Person (other than Lender's attorneys, accountants, auditors,
examiners, and regulatory agencies or as otherwise required by law) and shall
not use such information for any purpose other than the purposes set forth
herein. Without limiting the generality of the foregoing, upon written request,
Borrower will provide Lender with: (i) reviewed annual financial statements,
prepared in accordance with generally accepted accounting principles applied on
a consistent basis, as soon as available, and in any event within ninety (90)
days after the end of Borrower's fiscal years; (ii) a copy of Borrower's federal
income

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tax return with respect to the corresponding year on the date when such tax
return is due or, if earlier, on the date when available; (iii) on or before the
15th day of each month, monthly agings and reconciliations of accounts payable
by invoice date and outstanding or held check registers and (iv) such
certificates of Borrower's officers relating to the foregoing as Lender may
reasonably request. Borrower shall keep and maintain at its and the Guarantors'
principal offices, or at such other place as Lender may approve in its
discretion reasonably exercised, true and complete books and records of accounts
and shall keep such books and records open and available at all times for
examination, inspection and copying by Lender and its representatives. Borrower
and Guarantors shall furnish to Lender, upon written request, such other
information as Lender may from time to time reasonably request.

         3.7 PAYMENT OF EXPENSES. Borrower shall pay to Lender, or reimburse
Lender for having paid, any and all reasonable and documented out-of-pocket
costs and expenses incurred by Lender in connection with the exercise of any of
Lender's rights or remedies under this Agreement, including, without limitation,
filing fees and legal fees and disbursements. In addition, Borrower shall pay to
Lender an audit fee of $750 per person per day for all audits and inspections
conducted by Lender's employee or representatives subsequent to the Effective
Date. Lender shall have the right to conduct two audits at Borrower's expense
unless an Event of Default has occurred and is continuing. The provisions of
this Section shall survive the termination of this Agreement and the repayment
of the Loan for a period of one year provided that such one year limitation
shall not apply in the event Lender incurs out-of-pocket costs and expenses in
connection with any action or proceeding which has been commenced prior to the
end of such one year period and has continued beyond the end of such one year
period.

         3.8 SALE OF LOAN OR PARTICIPATIONS. Borrower acknowledges that Lender
may, in Lender's sole discretion, sell its entire interest or participating
interests in the Loan to any Person but in no event to a competitor of Borrower.
Borrower agrees to provide Lender with all documentation and information
reasonably required by Lender in connection with any such sale or participation.
Borrower further authorizes Lender to release to any potential buyers or
participants any information Lender has concerning the Loan, the Collateral,
Borrower, the Guarantors or their principals, provided that such potential
buyers or participants agree in writing to maintain the confidentiality of such
information as set forth in Section 3.6.

         3.9 FURTHER ASSURANCES. Borrower and Guarantors shall, at any time and
from time to time, on the written request of Lender, execute and deliver to
Lender such further documents and instruments and do such other acts and things
as Lender may reasonably request in order to effectuate fully the purpose and
intent of this Agreement. Without limiting the generality of the preceding
sentence, upon Lender's written request, Borrower and Guarantors shall execute
and deliver such further amendatory documents as may be required to correct
patent mistakes in the Loan Documents.

         3.10 LOST INSTRUMENTS. In the event that the original of any Loan
Document is destroyed, lost or mutilated, upon receipt of an affidavit of loss
signed by an authorized officer of the Lender, Borrower and/or Guarantors shall
execute another copy of such Loan Document identical in form and content to the
destroyed, lost or mutilated Loan Document as a replacement thereof, and such
replacement shall have the same force and effect as the original of such Loan

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Document. Lender indemnifies Borrower in the event any party other than Lender
attempts to enforce any purportedly destroyed, lost or mutilated Loan Document
which has been replaced pursuant to the preceding sentence.

         3.11 PERFORMANCE OF OBLIGATIONS TO THIRD PARTIES. Borrower and
Guarantors shall perform when and as required all of their respective material
contractual obligations to third parties, unless they contest such obligations
in good faith and have instituted appropriate proceedings in connection with
such dispute.

         3.12 ORGANIZATIONAL MATTERS. Borrower represents and warrants to Lender
that: (a) Borrower is a corporation duly formed and validly existing and in good
standing under the laws of the state of Maryland; (b) Borrower's execution and
delivery of the Loan Documents and Borrower's acceptance of the Loan and payment
and performance of the Secured Obligations have been authorized by all necessary
corporate actions duly and validly taken after any requisite notice and are in
compliance with all applicable laws and regulations affecting Borrower in effect
on the Effective Date; and (c) Borrower is the record owner of all of the issued
and outstanding capital stock of each Guarantor.

         3.13 CORPORATE POWER AND AUTHORITY. Borrower is duly authorized and
empowered to enter into, execute, deliver and perform this Agreement and each of
the other Loan Documents to which it is a party. The execution, delivery and
performance of this Agreement and each of the other Loan Documents have been
duly authorized by all necessary corporate action and do not and will not (i)
require any consent or approval of the shareholders of Borrower; (ii) contravene
Borrower's articles of incorporation or bylaws; (iii) violate, or cause Borrower
to be in default under, any provision of any law, rule, regulation, order, writ,
judgment, injunction, decree, determination or award in effect having
applicability to the Borrower; (iv) result in a breach of or constitute a
default under any indenture or loan or credit agreement or any other agreement,
lease or instrument to which Borrower is a party or by which it or its
Properties may be bound or affected; or (v) result in, or require, the creation
or imposition of any lien (other than the lien in favor of Lender and Fleet)
upon or with respect to any of the Properties now owned or hereafter acquired by
Guarantors.

         3.14 LEGALLY ENFORCEABLE AGREEMENT. This Agreement is, and each of the
other Loan Documents when delivered under this Agreement will be, a legal, valid
and binding obligation of Borrower and Guarantors, enforceable against them in
accordance with its respective terms, except to the extent enforceability may be
limited by bankruptcy, reorganization, insolvency or others laws affecting the
enforcement of creditor's rights generally or the availability of equitable
remedies subject to the discretion of the court.

         3.15 OTHER AFFIRMATIVE COVENANTS. During the term of this Agreement,
and thereafter for so long as there are any unpaid Secured Obligations to
Lender, Borrower and Guarantors covenant that, unless otherwise consented to by
Lender in writing, they shall:

              (a) VISITS AND INSPECTIONS. Permit representatives of Lender, from
time to time, as often as may be reasonably requested, but only during normal
business hours and upon at least 24 hours prior verbal notice (unless an Event
of Default exists), to visit and inspect

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the Properties of Borrower and/or Guarantors, inspect, audit and make extracts
from their books and records, and discuss with their officers and their
independent accountants, Borrower's or Guarantors' business, assets,
liabilities, financial condition, business prospects and results of operations.

              (b) NOTICES. Promptly notify Lender in writing of the occurrence
of any event or the existence of any fact which renders any representation or
warranty in this Agreement or any of the other Loan Documents inaccurate,
incomplete or misleading in any material respect.

              (c) LANDLORD AND STORAGE AGREEMENTS. If requested by Lender,
provide Lender with copies of all agreements between Guarantors and any landlord
or warehouseman which owns any premises at which any inventory may, from time to
time, be kept.

         3.18 OTHER NEGATIVE COVENANTS. During the term of this Agreement, and
thereafter for so long as there are any unpaid Secured Obligations to Lender,
Borrower and Guarantors covenant that, unless Lender has first consented thereto
in writing, they will not:

         (a) MERGERS; CONSOLIDATIONS; ACQUISITIONS. Merge or consolidate with
any Person; nor acquire all or any substantial part of the properties of any
Person.

         (b) LOANS. Make any loans or other advances of money (other than for
salary, travel advances, advances against commissions and other similar advances
in the ordinary course of business, consistent with the past practice of Parent)
to any Person.

         (c) TRANSFERS OF MONEY. Transfer any money or assets to Borrower,
subsidiaries or Affiliates of Borrower, and subsidiaries of Guarantors except as
permitted by Section 3.18(e).

         (d) TOTAL INDEBTEDNESS. Create, incur, assume, or suffer to exist any
indebtedness, except:

             (i) the Borrower's currently outstanding debt to PNC Bank, N.A. and
the loan syndicate thereto ("PNC");

             (ii) Secured Obligations owing to Lender;

             (iii) Guarantor's secured obligations owing to Fleet;

             (iv) accounts payable to trade creditors and current operating
expenses which are not aged more than 90 days from billing date or more than 30
days from the due date, in each case incurred in the ordinary course of business
and paid within such time period, unless the same are being actively contested
in good faith and by appropriate and lawful proceedings; and Borrower and
Guarantors shall have set aside such reserves, if any, with respect thereto as

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are required by GAAP and deemed adequate by Borrower and Guarantors and their
independent accountants;

             (v) contingent liabilities arising out of endorsements of checks
and other negotiable instruments for deposit or collection in the ordinary
course of business;

             (vi) wages, salaries, taxes, assessments and governmental charges
or levies which are not delinquent or which are being contested in good faith
and for which, in accordance with GAAP, adequate reserves have been set aside on
the books of Borrower and Guarantors.

         (e) AFFILIATE TRANSACTIONS. Enter into, or be a party to, any
transaction with any Affiliate, except in the ordinary course of and pursuant to
the reasonable requirements of Borrower's business and upon fair and reasonable
terms which are fully disclosed to Lender and are no less favorable to Borrower
than would obtain in a comparable arm's length transaction with a Person not the
Affiliate.

         (f) LIMITATION ON LIENS. Except for liens disclosed in the Purchase
Agreement, create or suffer to exist any lien upon any of their property, income
or profits, whether now owned or hereafter acquired, except:

                  (i) Liens in favor of PNC;

                  (ii) Liens at any time granted in favor of Lender;

                  (iii) The Fleet Lien;

                  (iv) Liens for taxes not yet due;

                  (v) Liens arising in the ordinary course of Borrower's
business by operation of law or regulation, but only if payment in respect of
any such lien is not at the time required and such Liens do not, in the
aggregate, materially detract from the value of the Property of Borrower or
materially impair the use thereof in the operation of Borrower's business; and

                  (vi) such other liens as Lender may hereafter approve in
writing.

             (g) DISTRIBUTIONS. Declare or make any Distribution. "DISTRIBUTION"
means (i) the payment of any dividends or other distributions on capital stock
of the corporation (except distributions in such stock) and (ii) the redemption
or acquisition of Securities (as defined in Section 2(1) of the Securities Act
of 1933, as amended) unless made contemporaneously from the net proceeds of the
sale of Securities or unless made for purposes of providing shares to an
employee benefit plan or pursuant to a repurchase resolution of the Board of
Directors.

             (h) DISPOSITION OF ASSETS. Sell, lease or otherwise transfer or
dispose of any of its property, including any disposition of property as part of
a sale and leaseback transaction,

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to or in favor of any Person, except (i) sales of inventory in the ordinary
course of business for so long as no Event of Default exists hereunder which by
reason thereof Lender has accelerated the Secured Obligations and (ii) other
dispositions expressly authorized by this Agreement.

    IV.  DEFAULT AND REMEDIES

         4.1 EVENTS OF DEFAULT. Any of the following shall constitute an "Event
of Default":

         (a) Borrower's failure to make or cause to be made any payment in
accordance with the terms of this Agreement or any other Loan Document when and
as required by the terms hereof or thereof; or

         (b) The failure of Borrower or Guarantors to take any other action or
fulfill any other requirement in any material respect set forth in this
Agreement or any other Loan Document when and as required by the terms hereof or
thereof; or

         (c) Any determination by Lender that any representation or warranty
made by Borrower or Guarantors in connection with the Loan or any information,
statement, or certificate at any time given in writing to Lender pursuant to or
in connection with the Loan or any Loan Document was untrue or misleading when
made in any material respect;

         (d) Any other act, event, omission or circumstance that constitutes an
Event of Default under the Term Note or the Security Agreement.

         4.2 REMEDIES. Upon the occurrence and during the continuance of any
Event of Default, Lender may exercise any default right or remedy which it has
under this Agreement, the Term Note, the Security Agreement or the Guaranties,
or otherwise available at law, in equity or by statute, and at its option and,
unless otherwise specified below, without notice to Borrower or Guarantors, may
do any one or more of the following:

         (a) Appoint a receiver in any action initiated by Lender pursuant to
this Agreement, Borrower hereby consenting to the jurisdiction and venue set
forth in SECTION 5.3, and waiving notice and posting of a bond in connection
therewith; or

         (b) Make disbursements to discharge liens on the Collateral, to pay
costs incurred for Borrower's account pursuant to any Loan Document, and to pay
any other amounts owed by Borrower to Lender or any third party pursuant to any
Loan Document and such disbursements shall be added to the Secured Obligations;
or

         (c) Declare all indebtedness secured by any of the Loan Documents
immediately due and payable and credit any sums theretofore or thereafter
received by Lender in connection herewith in such manner as Lender elects upon
such indebtedness; provided, however, that such application of sums so received
shall not serve to waive or cure any default existing under any of the Loan
Documents nor to invalidate any notice of default or any act done

                                       11

<PAGE>

pursuant to such notice and shall not prejudice any rights of Lender or any
trustee under the Loan Documents; or

         (d) Exercise any or all other default rights and remedies available
under any of the Loan Documents or by law, in such order and manner as Lender
may determine in its sole discretion.

         (e) POWER OF ATTORNEY. Effective upon the occurrence of an Event of
Default, Borrower appoints Lender and its designees as Borrower's attorney, with
the power to endorse the Borrower's name on any checks, notes, acceptances,
money orders or other forms of payment or security that come into Lender's
possession; to sign Borrower's name on any invoice or bill of lading relating to
any receivable of Borrower, on assignments of receivables of Borrower, on
notices of assignment, financing statements and other public records, on
verifications of accounts and on notices to customers or account debtors; to
notify the post office authorities to change the address for delivery of
Borrower's mail to an address designated by Lender and to open and dispose of
all mail addressed to Borrower; and to do all other things Lender deems
necessary or desirable to carry out the terms of this Agreement. Borrower hereby
ratifies and approves any and all acts of such attorney. Neither Lender nor any
of its designees will be liable for any acts or omissions nor for any error of
judgment or mistake of fact or law acting as Borrower's attorney unless such act
or omission arises out of Lender's gross negligence or willful misconduct. This
power, being coupled with an interest, is irrevocable until the Secured
Obligations have been fully satisfied.

         4.3 NON-WAIVER OF REMEDIES. No waiver of any breach of or default under
any provision of this Agreement shall constitute or be constructed as a waiver
by Lender of any subsequent breach of or default under that or any other
provision of this Agreement.

         4.4 REMEDIES NOT EXCLUSIVE. No remedy herein conferred upon Lender is
intended to be exclusive of any other remedy herein or in any other agreement
between the parties hereto or by law provided or permitted, but each shall be
cumulative and shall be in addition to every other remedy given hereunder or now
or hereafter existing at law, in equity or by statute.

         4.5 EFFECT OF TERMINATION. This Agreement may be terminated prior to
the end of the Term: (i) by Borrower by payment of the Secured Obligations; or
(ii) by Lender at any time after the occurrence of an Event of Default, without
notice, effective immediately. All of the Secured Obligations shall be
immediately due and payable on the earlier of (i) March 30, 2001 or (ii) the
date of any termination by Lender upon an Event of Default as indicated above.
All undertakings, agreements, covenants, warranties and representations of
Borrower and Guarantors contained in the Loan Documents shall survive any such
termination and Lender shall retain its liens in the Collateral and all of its
rights and remedies under the Loan Documents notwithstanding such termination
until the Secured Obligations then due have been paid (and provision has been
made for identified contingent obligations, if any, in form and substance
acceptable to Lender) to Lender, in full, in immediately available funds.
Notwithstanding the payment in full of the Secured Obligations then due (and the
provision for contingent obligations as provided above), Lender shall not be
required to terminate its security interests in the

                                       12

<PAGE>

Collateral unless, with respect to any loss or damage Lender may incur as a
result of dishonored checks or other items of payment received by Lender from
Borrower or any account debtor and applied to the Secured Obligations, Lender
shall, at its option, (i) have received a written agreement, executed by
Borrower and by any Person whose loans or other advances to Borrower are used in
whole or in part to satisfy the Secured Obligations, indemnifying Lender from
any such loss or damage; or (ii) have retained such monetary reserves and liens
on the Collateral for such period of time as Lender, in its reasonable
discretion, may deem necessary to protect Lender from any such loss or damage.
Subject to the foregoing, upon payment in full of the Secured Obligations then
due (and provision for identified contingent obligations, if any, in form and
substance acceptable to Lender) and termination of this Agreement, Lender shall
promptly cause to be assigned, transferred and delivered, against receipt but
without any recourse, warranty or representation whatsoever, any remaining
Collateral, to or on the order of Guarantors, and Lender shall execute and
deliver to Guarantors upon such termination such Uniform Commercial Code
termination statements and such other documentation as shall be reasonably
requested by Guarantors to effect the termination and release of the liens
granted by this Agreement and the Security Agreement on the Collateral, all at
the cost and expense of Borrower.

      V. MISCELLANEOUS PROVISIONS

         5.1 LEGAL PROCEEDINGS. Lender shall have the right, but not the
obligation, to commence, appear in, and defend any action or proceeding
purporting to affect the Collateral, the rights or duties of the parties
hereunder, or the payment of any funds, and in connection therewith to pay
necessary expenses, employ counsel and other advisors, and pay their reasonable
fees. Borrower shall, upon written demand, reimburse Lender for all such
reasonable and documented costs and expenses.

         5.2 SETOFF AND RELATED REMEDIES. Borrower agrees that all sums due to
Lender under the Loan Documents give rise to rights of counterclaim, setoff,
offset and banker's lien against any of Borrower's assets, now owned or
hereafter acquired, to reduce or discharge Borrower's obligations to Lender
under the Loan Documents.

         5.3 GOVERNING LAW; VENUE. THIS AGREEMENT HAS BEEN NEGOTIATED, EXECUTED
AND DELIVERED IN THE STATE OF CALIFORNIA AND SHALL BE INTERPRETED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF CALIFORNIA THAT GOVERN CONTRACTS TO BE PERFORMED
ENTIRELY WITHIN SUCH STATE. BORROWER AND GUARANTORS HEREBY AGREE TO THE
JURISDICTION OF ANY STATE OR FEDERAL COURT LOCATED WITHIN THE COUNTY OF ALAMOSA,
STATE OF CALIFORNIA, OR, AT THE SOLE OPTION OF LENDER, IN ANY OTHER JURISDICTION
IN WHICH LENDER SHALL INITIATE LEGAL OR EQUITABLE PROCEEDINGS AND IN WHICH
BORROWER OR ANY GUARANTOR HAS AN OFFICE OR WHERE ANY COLLATERAL IS LOCATED. THE
PARTIES HERETO WAIVE ANY OBJECTION OF FORUM NON CONVENIENS AND VENUE. THE
PARTIES HERETO FURTHER WAIVE PERSONAL SERVICE OF ANY AND ALL PROCESS UPON IT.

                                       13

<PAGE>

         5.4 WAIVER OF JURY TRIAL. BORROWER, GUARANTORS AND LENDER HEREBY
EXPRESSLY WAIVE ANY AND ALL RIGHTS, WHETHER ARISING UNDER THE CALIFORNIA
CONSTITUTION OR ANY APPLICABLE STATUTE OR COMMON LAW, TO DEMAND A TRIAL BY JURY
IN ANY ACTION, MATTER, CLAIM OR CAUSE OF ACTION WHATSOEVER ARISING OUT OF OR IN
ANY WAY RELATED TO THIS AGREEMENT OR ANY DOCUMENT OR TRANSACTION CONTEMPLATED
HEREBY, WHETHER WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS, OR OTHERWISE.

         5.5 COSTS OF LITIGATION. In the event of any litigation between
Borrower and/or Guarantors and Lender regarding the Loan or Loan Documents, the
prevailing party (meaning the party that obtains substantially the relief sought
by it) shall be entitled to payment by the other party of all costs and expenses
of the litigation, including attorneys' fees and witness fees, from the
commencement of the suit or action through the entry of judgment, as determined
by the court (including all attorneys' fees and other costs and expenses
incurred by Lender in connection with any insolvency, bankruptcy,
reorganization, arrangement or other similar proceedings involving Borrower or
Guarantors that in any way affect the exercise by Lender of the rights and
remedies of Lender hereunder).

         5.6 SEVERABILITY. In case any provision of the Loan Documents shall be
invalid, illegal or unenforceable, such provision shall be severable from the
rest of the Loan Documents and the validity, legality and enforceability of the
remaining provisions shall not in any way be affected or impaired thereby.

         5.7 NO BENEFIT TO THIRD PARTIES. This Agreement is made for the sole
protection of Borrower, Guarantors and Lender and their respective successors
and assigns. No other Person, firm or corporation shall have any right
hereunder.

         5.8 TIME OF THE ESSENCE. Time is strictly of the essence in the
performance of this Agreement and the other Loan Documents.

         5.9 SURVIVAL OF WARRANTIES. All covenants, representations and
warranties contained herein shall survive the execution and delivery of this
Agreement and the other Loan Documents, and the Effective Date but shall not
survive the repayment of the Loan (other than Borrower's obligations under
Section 5.16 and Lender's obligations of confidentiality under Section 3.6).

         5.10 ASSIGNABILITY. This Agreement shall be binding upon and inure to
the benefit of the parties hereto and their respective successors and assigns;
provided, however, that neither Borrower nor Guarantors may assign this
Agreement or any of their rights or obligations under this Agreement without the
prior written consent of Lender.

         5.11 ATTORNEYS' FEES. Borrower agrees to pay, on written demand, all
reasonable attorneys' fees and costs incurred in connection with the
negotiation, documentation, and execution of this Agreement and the other Loan
Documents.

                                       14

<PAGE>

         5.12 MODIFICATIONS. This Agreement cannot be changed, modified or
supplemented except in a writing signed by the party against whom enforcement of
such change, modification or supplement is sought.

         5.13 LENDER'S APPROVALS, CONSENTS AND WAIVERS. ANY APPROVAL, CONSENT OR
WAIVER BY LENDER MUST BE EXPRESSLY SET FORTH IN A WRITTEN INSTRUMENT SIGNED BY
AN AUTHORIZED OFFICER OF LENDER IN ORDER TO BE BINDING ON LENDER. NO SUCH
APPROVAL, CONSENT OR WAIVER SHALL BE INFERRED FROM LENDER'S CONDUCT OR COURSE OF
ACTION.

         5.14 NOTICES. All notices, requests, demands, and other communications
required or permitted under this Agreement shall be in writing (including telex,
telecopy and telegraphic communications) and shall be (as elected by the party
giving such notice) hand delivered by messenger or courier service,
telecommunicated with electronic confirmation or mailed by United States mail
(postage prepaid), registered or certified, return receipt requested, addressed
as follows:

  To Borrower or Guarantors: MCSi, Inc.
                             4750 Hempstead Station Drive
                             Dayton, Ohio  45429
                             Attn:  Ira Stanley
                             Telephone Number: 937-291-8282
                             Telecopier Number: 937-291-8298

With copies to:              Elias, Matz, Tiernan & Herrick, L.L.P
                             734 15th Street, N.W, 12th Floor
                             Washington, D.C.  20005
                             Attn:    Jeffrey A. Koeppel, Esq.
                             Telephone Number: 202-347-0300
                             Telecopier Number: 202-347-2172

         To Lender:          Zengine, Inc.
                             6100 Stewart Avenue
                             Fremont, California  95438
                             Attention:  Louis Lipinski, Chief Financial Officer
                             Telephone Number: 510-651-6400
                             Telecopier No.:  510-651-3200

         Each notice shall be deemed delivered (a) on the date delivered if by
personal delivery, (b) on the date of transmission with electronic confirmation
if by telecopier (so long as such transmission is received before 5:00 P.M.
local time on a Business Day; otherwise delivery shall be deemed to have
occurred on the next Business Day), or (c) on the date shown on the return
receipt as the date of delivery or first attempted delivery in the United States
mail (postage prepaid) by registered or certified mail. By giving to the other
parties at least 15 days' written notice, the parties to this Agreement and
their respective successors and assigns shall have the

                                       15

<PAGE>

right from time to time and at any time during the term of this Agreement to
change their respective addresses.

         5.15 RELATIONSHIP. Nothing contained in this Agreement shall in any
manner be construed as creating any relationship between Lender and Borrower and
Guarantors other than as creditor and debtor and guarantors, respectively.
Borrower agrees to indemnify Lender and hold Lender harmless from any loss,
liability or expense resulting from any other construction of this Agreement.

         5.16 INDEMNITY. Borrower shall indemnify Lender and hold Lender
harmless from and against any liability, loss, damage, suit, action or
proceeding ever suffered or incurred by Lender (including reasonable attorneys'
fees and legal expenses) as the result of Borrower's failure to observe, perform
or discharge Borrower's duties hereunder. In addition, Borrower shall defend
Lender against and save it harmless from all claims of any Person with respect
to the Collateral. Without limiting the generality of the foregoing, these
indemnities shall extend to any claims asserted against Lender by any Person
under any environmental laws or similar laws by reason of Guarantors' failure to
comply with laws applicable to solid or hazardous waste materials or other toxic
substances. Notwithstanding any contrary provision in this Agreement, the
obligation of Borrower under this Section 5.16 shall survive the payment in full
of the Secured Obligations and the termination of this Agreement. The indemnity
contained in this Section 5.16 shall not apply to the extent of any liability,
loss or damage is suffered as a result of Lender's gross negligence or willful
misconduct.

         5.17 INTEGRATION. This Agreement (including all exhibits hereto and all
other written agreements referred to herein) (a) is intended by the parties to
be the final expression of their agreement with respect to the subject matter
hereof and as the complete and exclusive statement of the terms of such
agreement, and (b) supercedes any and all other understandings between the
parties concerning the subject matter hereof.

         5.18 INCONSISTENCY BETWEEN LOAN DOCUMENTS. Any inconsistency or
conflict between the terms of one Loan Document and the terms of any other Loan
Document shall be governed by this Agreement.

         5.19 HEADINGS; SECTION REFERENCES; EXHIBITS. Headings of the articles
and sections of this Agreement are inserted for convenience only and shall not
be deemed to constitute a part hereof. Unless otherwise specifically provided,
references in this Agreement to articles, sections and exhibits shall be to
articles, sections and exhibits of or to this Agreement. All exhibits hereto are
incorporated herein by the references thereto in this Agreement.

         5.20 CONSTRUCTION OF AGREEMENT. This Agreement and the other Loan
Documents shall be construed as though drafted by both parties and shall not be
construed against or in favor of any party. Wherever used in this Agreement or
in any other Loan Document, the words "INCLUDE," "INCLUDES" and "INCLUDING"
shall be construed as if immediately followed by the words "without limitation"
and shall not limit the generality of any provision in which they are used. As
used in this Agreement, the term "DOLLARS" and the symbol "$" mean dollars in
lawful currency of the United States of America; the term "BUSINESS DAY" means
any

                                       16

<PAGE>

day on which Lender is open for business, and the term "day" means a calendar
day when not expressly stated to be a Business Day. If any period or deadline
specified in this Agreement ends or falls on a day that is not a Business Day,
such period or deadline shall be extended to end or fall on the next succeeding
Business Day. The term "PERSON" means an individual, partnership, corporation,
limited liability company, joint stock company, land trust, business trust,
unincorporated organization, government or agency or political subdivision
thereof, or any other entity. The term "AFFILIATE" means a Person: (i) which
directly or indirectly through one or more intermediaries controls, or is
controlled by, or is under common control with, a Person; (ii) which
beneficially owns or holds 20% or more of any class of the voting stock of a
Person (or in the case of a Person which is not a corporation, 20% or more of
the equity interest) or (iii) 20% or more of the voting stock (or in the case of
a Person which is not a corporation, 20% or more of the equity interest) of
which is beneficially owned or held by a Person or a subsidiary of a Person. All
times referred to in this Agreement are Fremont, California times.

         5.21 COUNTERPARTS. This Agreement may be executed in one or more
counterparts or duplicate originals, each of which shall be deemed an original,
but all of which together shall constitute but one and the same instrument.

         5.22 WHEN AGREEMENT BECOMES BINDING. This Agreement shall become
binding upon Borrower and Lender only upon Borrower's execution and Lender's
acceptance of this Agreement. Lender's acceptance of this Agreement shall be
effected by Lender's execution hereof and the delivery to Lender of the fully
executed Term Note.

                     [THIS SPACE INTENTIONALLY LEFT BLANK.]

                                       17

<PAGE>

IN WITNESS WHEREOF, Lender, Borrower and Guarantors have executed this Agreement
as of the date first above written.

                          LENDER:

                                   ZENGINE, INC.

                                   By:    /s/ JOSEPH M. SAVARINO
                                          -----------------------------------
                                   Name:  Joseph M. Savarino
                                   Title:   President

                          BORROWER:

                                   MCSi, INC.

                                   By:    /s/ MICHAEL E. PEPPEL
                                          -----------------------------------
                                   Name:    Michael E. Peppel
                                   Title:   President

                          GUARANTORS:

                                   WEST LAKE ACQUISITION CORPORATION

                                   By:    /s/ IRA H. STANLEY
                                          -----------------------------------
                                   Name:    Ira H. Stanley
                                   Title:   Vice President

                                   AGOURA HILLS CORPORATION

                                   By:    /s/  IRA H. STANLEY
                                          -----------------------------------
                                   Name:    Ira H. Stanley
                                   Title:   Vice President

                                   MCSi-IG-PV, INC.

                                   By:    /s/  IRA H. STANLEY
                                          -----------------------------------
                                   Name:    Ira H. Stanley
                                   Title:   Vice President

                                       18

<PAGE>

                                   EXHIBIT 3.1

                                    LOCATIONS

WEST LAKE ACQUISITION CORPORATION
---------------------------------

4750 Hempstead Station Drive
Dayton, Ohio  45429

3280  118th Avenue, S.E. #100
Bellevue, Washington  98102

10461 Old Placerville Road, #130
Sacramento, California  95827

373 Inverness Drive
Englewood, Colorado  80112

112 Krog Street, Suite 1
Atlanta, Georgia  30307

AGOURA HILLS CORPORATION
------------------------

11 Musick Street
Irvine, California  92618

MCSi-IG-PV, INC.
----------------

139688 Diplomat Drive, 180
Dallas, Texas  75234

2601 McHale Court, #140
Austin, Texas  78758

5200 N. Mesa, D-106&7
El Paso, Texas  79912

503 Bryan Avenue
Ft. Worth, Texas  76104

8801 Jameel, #180
Houston, Texas  77040

                                       19<PAGE>
                                   EXHIBIT 4.1

                          SPECTRUM BANCORPORATION, INC.

                                    AS ISSUER

                                       TO

                            WILMINGTON TRUST COMPANY,

                                   AS TRUSTEE

                             SUBORDINATED INDENTURE

                        DATED AS OF _______________, 2001

                      _____% Junior Subordinated Debentures

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>

                                                                                                               PAGE

<S>      <C>                                                                                                   <C>
ARTICLE I

         DEFINITIONS                                                                                           3

ARTICLE II

DESCRIPTION, TERMS, CONDITIONS, REGISTRATION AND EXCHANGE OF

THE JUNIOR SUBORDINATED DEBENTURES                                                                             11

         2.1      Designation and Principal Amount                                                             11

         2.2      Maturity                                                                                     11

         2.3      Form and Payment                                                                             11

         2.4      Global Subordinated Debenture                                                                12

         2.5      Interest                                                                                     13

         2.6      Execution, Authentication, Delivery and Dating                                               14

         2.7      Registration and Transfer                                                                    15

         2.8      Mutilated, Destroyed, Lost and Stolen Junior Subordinated Debentures                         16

ARTICLE III

REDEMPTION OF JUNIOR SUBORDINATED DEBENTURES                                                                   16

         3.1      Redemption                                                                                   17

         3.2      Special Event Redemption                                                                     17

         3.3      Optional Redemption by Company                                                               17
</TABLE>

                                       i

<PAGE>

<TABLE>
<S>      <C>                                                                                                   <C>

         3.4      Notice of Redemption                                                                         18

         3.5      Payment upon Redemption                                                                      19

         3.6      No Sinking Fund                                                                              20

ARTICLE IV

EXTENSION OF INTEREST PAYMENT PERIOD                                                                           20

         4.1      Extension of Interest Payment Period                                                         20

         4.2      Notice of Extension                                                                          20

         4.3      Limitation of Transactions During Extension                                                  21

ARTICLE V

PARTICULAR COVENANTS OF THE COMPANY                                                                            21

         5.1      Payment of Principal and Interest                                                            21

         5.2      Maintenance of Agency                                                                        21

         5.3      Paying Agents                                                                                22

         5.4      Appointment to Fill Vacancy in Office of Trustee                                             23

         5.5      Compliance with Consolidation Provisions                                                     23

         5.6      Restrictions on Certain Payments                                                             23

         5.7      Covenants as to the Trust                                                                    23

ARTICLE VI

SECURITYHOLDERS' LISTS AND REPORTS                                                                             24

         6.1      Company to Furnish Trustee Names and Addresses of Securityholders                            24

         6.2      Preservation of Information; Communications with Securityholders                             24

         6.3      Reports by the Company                                                                       25
</TABLE>

                                       ii

<PAGE>

<TABLE>
<S>      <C>                                                                                                   <C>
         6.4      Reports by the Trustee                                                                       25

ARTICLE VII

REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF
DEFAULT                                                                                                        26

         7.1      Events of Default                                                                            26

         7.2      Collection of Indebtedness and Suits for Enforcement by Trustee                              27

         7.3      Application of Moneys Collected                                                              29

         7.4      Limitation on Suits                                                                          29

         7.5      Rights and Remedies Cumulative; Delay or Omission Not Waiver                                 30

         7.6      Control by Securityholders                                                                   30

         7.7      Undertaking to Pay Costs                                                                     31

ARTICLE VIII

FORM OF JUNIOR SUBORDINATED DEBENTURE AND ORIGINAL ISSUE                                                       32

         8.1      Form of Junior Subordinated Debenture                                                        32

         8.2      Original Issue of Junior Subordinated Debentures                                             32

ARTICLE IX

CONCERNING THE TRUSTEE                                                                                         32

         9.1      Certain Duties and Responsibilities of the Trustee                                           32

         9.2      Certain Rights of Trustee                                                                    33

         9.3      Trustee Not Responsible for Recitals or Issuance of the Junior
                  Subordinated Debentures                                                                      34

         9.4      May Hold Junior Subordinated Debentures                                                      35
</TABLE>

                                      iii

<PAGE>

<TABLE>
<S>      <C>                                                                                                   <C>

         9.5      Moneys Held in Trust                                                                         35

         9.6      Compensation and Reimbursement                                                               35

         9.7      Reliance on Officers' Certificate                                                            35

         9.8      Disqualification;  Conflicting Interests                                                     36

         9.9      Corporate Trustee Required; Eligibility                                                      36

         9.10     Resignation and Removal; Appointment of Successor                                            36

         9.11     Acceptance of Appointment by Successor                                                       37

         9.12     Merger, Conversion, Consolidation or Succession to Business                                  38

         9.13     Preferential Collection of Claims Against the Company                                        38

         9.14     Appointment of Authenticating Agent                                                          38

ARTICLE X

CONCERNING THE SECURITYHOLDERS                                                                                 40

         10.1     Evidence of Action by Securityholders                                                        40

         10.2     Proof of Execution by Securityholders                                                        41

         10.3     Who May Be Deemed Owners                                                                     41

         10.4     Certain Junior Subordinated Debentures Owned by Company
                  Disregarded                                                                                  41

         10.5     Actions Binding on Future Securityholders                                                    42

ARTICLE XI

SUPPLEMENTAL INDENTURES                                                                                        42

         11.1     Supplemental Indentures Without the Consent of Securityholders                               42

         11.2     Supplemental Indentures with Consent of Securityholders                                      43

         11.3     Effect of Supplemental Indentures                                                            44
</TABLE>

                                       iv

<PAGE>

<TABLE>
<S>      <C>                                                                                                   <C>

         11.4     Junior Subordinated Debentures Affected by Supplemental Indentures                           44

         11.5     Execution of Supplemental Indentures                                                         44

ARTICLE XII

SUCCESSOR CORPORATION                                                                                          45

         12.1     Company May Consolidate, Etc.                                                                45

         12.2     Successor Substituted                                                                        45

         12.3     Evidence of Consolidation, Etc., to Trustee                                                  45

ARTICLE XIII

         SATISFACTION AND DISCHARGE                                                                            46

         13.1     Satisfaction and Discharge of Indenture                                                      46

         13.2     Discharge of Obligations                                                                     46

         13.3     Deposited Moneys to Be Held in Trust                                                         47

         13.4     Payment of Monies Held by Paying Agents                                                      47

         13.5     Repayment to Company                                                                         47

ARTICLE XIV

IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS                                                47

         14.1     No Recourse                                                                                  47

ARTICLE XV

MISCELLANEOUS PROVISIONS                                                                                       48

         15.1     Effect on Successors and Assigns                                                             48
</TABLE>

                                       v

<PAGE>

<TABLE>
<S>      <C>                                                                                                   <C>

         15.2     Actions by Successor                                                                         48

         15.3     Surrender of Company Powers                                                                  48

         15.4     Notices                                                                                      48

         15.5     Governing Law                                                                                49

         15.6     Treatment of Junior Subordinated Debentures as Debt                                          49

         15.7     Compliance Certificates and Opinions                                                         49

         15.8     Payments on Business Days                                                                    49

         15.9     Conflict with Trust Indenture Act                                                            49

         15.10    Counterparts                                                                                 50

         15.11    Separability                                                                                 50

         15.12    Assignment                                                                                   50

         15.13    Acknowledgment of Rights                                                                     50

ARTICLE XVI

         SUBORDINATION OF JUNIOR SUBORDINATED DEBENTURES                                                       51

         16.1     Agreement to Subordinate                                                                     51

         16.2     Default on Senior and Subordinated Debt                                                      51

         16.3     Liquidation; Dissolution; Bankruptcy                                                         51

         16.4     Subrogation                                                                                  53

         16.5     Trustee to Effectuate Subordination                                                          54

         16.6     Notice by the Company                                                                        54

         16.7     Rights of the Trustee; Holders of Senior and Subordinated Debt                               55

         16.8     Subordination May Not Be Impaired                                                            55
</TABLE>

                                       vi

<PAGE>

                          SPECTRUM BANCORPORATION, INC.

     RECONCILIATION AND TIE BETWEEN TRUST INDENTURE ACT OF 1939, AS AMENDED,

        AND SUBORDINATED INDENTURE, DATED AS OF ___________________, 2001

<TABLE>
<CAPTION>
Trust Indenture Act Section                       Subordinated Indenture Section
---------------------------                       -------------------------------
<S>                                               <C>
Section 310                                                           15.9

Section 310(b)                                                         9.8

Section 311                                                           15.9

Section 311(a)                                                        9.13

Section 311(b)                                                        9.13

Section 312                                                            5.9

Section 312(b)                                                         6.2

Section 313                                                           15.9

Section 313(a)                                                         6.4

Section 313(b)                                                         6.4

Section 313(c)                                                         6.4

Section 314                                                           15.9

Section 315                                                           15.9

Section 316                                                           15.9

Section 317                                                           15.9
</TABLE>

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

                                      vii

<PAGE>

         SUBORDINATED INDENTURE (the "Indenture"), dated as of
___________________, 2001, between Spectrum Bancorporation, Inc., an Iowa
corporation (the "Company") and Wilmington Trust Company, a Delaware banking
corporation, as trustee (the "Trustee");

         WHEREAS, for its lawful corporate purposes, the Company has duly
authorized the execution and delivery of this Indenture to provide for the
issuance of its securities to be known as its _____% Junior Subordinated
Debentures due _________________, 2031 (hereinafter referred to as the "Junior
Subordinated Debentures"), the form and substance of such Junior Subordinated
Debentures and the terms, provisions and conditions thereof to be set forth as
provided in this Indenture; and

         WHEREAS, Spectrum Capital Trust II, a Delaware statutory business trust
(the "Trust"), has offered to the public $________________, and a possible
additional amount of up to $____________ pursuant to the Underwriters'
Over-Allotment Option, for a total of up to $____________ aggregate liquidation
amount of its _____% Cumulative Preferred Securities (the "Preferred
Securities"), representing undivided beneficial interests in the assets of the
Trust and proposes to invest the proceeds from such offering, together with the
proceeds of the issuance and sale by the Trust to the Company of $____________,
and a possible additional amount of up to $____________ related to the
Underwriters' Over-Allotment Option with respect to the Preferred Securities,
for a total of up to $____________ aggregate liquidation amount of its _____%
Common Securities, for a total of up to $____________ aggregate principal amount
of the Junior Subordinated Debentures; and

<PAGE>

         WHEREAS, the Company has requested that the Trustee execute and deliver
this Indenture and all requirements necessary to make this Indenture a valid
instrument in accordance with its terms, and to make the Junior Subordinated
Debentures, when executed by the Company and authenticated and delivered by the
Trustee, the valid obligations of the Company; and

         WHEREAS, to provide the terms and conditions upon which the Junior
Subordinated Debentures are to be authenticated, issued and delivered, the
Company has duly authorized the execution and delivery of this Indenture; and

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

         NOW, THEREFORE, in consideration of the premises and the purchase of
the Junior Subordinated Debentures by the holders thereof, it is mutually
covenanted and agreed as follows for the equal and ratable benefit of the
holders of Junior Subordinated Debentures:

                                       2

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                                    ARTICLE I

                                   DEFINITIONS

         The terms defined in this Section (except as in this Indenture
otherwise expressly provided or unless the context otherwise requires) for all
purposes of this Indenture and of any indenture supplemental hereto shall have
the respective meanings specified in this Section and shall include the plural
as well as the singular. All other terms used in this Indenture that are defined
in the Trust Indenture Act of 1939, as amended, or that are by reference in said
Trust Indenture Act defined in the Securities Act of 1933, as amended (except as
herein otherwise expressly provided or unless the context otherwise requires),
shall have the meanings assigned to such terms in said Trust Indenture Act and
in said Securities Act as in force at the date of the execution of this
Indenture.

         "Accelerated Maturity Date" means, if the Company elects to accelerate
the Maturity Date in accordance with Section 2.2, the date selected by the
Company which is prior to the Scheduled Maturity Date, but is on or after
_____________, 2006.

         "Additional Sums" shall have the meaning set forth in Section 2.5(c).

         "Administrative Trustees" has the meaning set forth in the Trust
Agreement.

         "Affiliate" means, with respect to a specified Person, (a) any Person
directly or indirectly owning, controlling or holding with power to vote 10% or
more of the outstanding voting securities or other ownership interests of the
specified Person, (b) any Person 10% or more of whose outstanding voting
securities or other ownership interests are directly or indirectly owned,
controlled or held with power to vote by the specified Person, (c) any Person
directly or indirectly controlling, controlled by, or under common control with
the specified Person, (d) a partnership in which the specified Person is a
general partner, (e) any officer or director of the specified Person, (f) a
limited liability company in which the specified Person is a member and (g) if
the specified Person is an individual, any entity of which the specified Person
is an officer, director, member or general partner.

         "Authenticating Agent" means an authenticating agent with respect to
the Junior Subordinated Debentures appointed by the Trustee pursuant to Section
9.14.

         "Bankruptcy Law" means Title 11, U.S. Code, or any similar federal or
state law for the relief of debtors.

         "Board of Directors" means the Board of Directors of the Company or any
duly authorized committee of such Board.

                                       3

<PAGE>

         "Board Resolution" means a copy of a resolution certified by the
Secretary or an Assistant Secretary of the Company to have been duly adopted by
the Board of Directors and to be in full force and effect on the date of such
certification.

         "Business Day" means any day other than a day on which federal or state
banking institutions in the State of Iowa are authorized or obligated by law,
executive order or regulation to close or a day on which the Trustee is closed.

         "Capital Treatment Event" means the reasonable determination by the
Company that, as a result of any amendment to, or change (including any proposed
change) in, the laws (or any regulations thereunder) of the United States or any
political subdivision thereof or therein, or as a result of any official or
administrative pronouncement or action or judicial decision interpreting or
applying such laws or regulations, which amendment or change is effective or
such proposed change, pronouncement or decision is announced on or after the
date of issuance of the Preferred Securities under the Trust Agreement, there is
more than an insubstantial risk of impairment of the Company's ability to treat
the Preferred Securities (or any substantial portion thereof) as "Tier I
Capital" (or the then equivalent thereof) for purposes of the capital adequacy
guidelines of the Federal Reserve, as then in effect and applicable to the
Company.

         "Certificate" means a certificate signed by the principal executive
officer, the principal financial officer or the principal accounting officer of
the Company. The Certificate need not comply with the provisions of Section
15.7.

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

         "Common Securities" means undivided beneficial interests in the assets
of the Trust which rank pari passu with Preferred Securities issued by them
Trust; provided, however, that upon the occurrence of an Event of Default, the
rights of holders of Common Securities to payment in respect of Distributions
and payments upon liquidation, redemption and otherwise are subordinated to the
rights of holders of Preferred Securities.

         "Company" means Spectrum Bancorporation, Inc., a corporation duly
organized and existing under the laws of the State of Iowa, and, subject to, the
provisions of Article Twelve, shall also include its successors and assigns.

         "Compounded Interest" shall have the meaning set forth in Section 4.1.

         "Corporate Trust Office" means the office of the Trustee at which, at
any particular time, its corporate trust business shall be principally
administered, which

                                       4

<PAGE>

office at the date hereof is located at Rodney Square North, 1100 North
Market Street, Wilmington, Delaware 19890-0001, Attention: Corporate Trust
Administration.

         "Coupon Rate" shall have the meaning set forth in Section 2.5(a).

         "Custodian" means any receiver, trustee, assignee, liquidator, or
similar official under any Bankruptcy Law.

         "Debt" means with respect to any Person, whether recourse is to all or
a portion of the assets of such Person and whether or not contingent, (i) every
obligation of such Person for money borrowed; (ii) every obligation of such
Person evidenced by bonds, debentures, notes or other similar instruments,
including obligations incurred in connection with the acquisition of property,
assets or businesses; (iii) every reimbursement obligation of such Person with
respect to letters of credit, bankers' acceptances or similar facilities issued
for the account of such Person; (iv) every obligation of such Person issued or
assumed as the deferred purchase price of property or services (but excluding
trade accounts payable or accrued liabilities arising in the ordinary course of
business); (v) every capital lease obligation of such Person; and (vi) every
obligation of the type referred to in clauses (i) through (v) of another Person
and all dividends of another Person the payment of which, in either case, such
Person has guaranteed or for which such Person is responsible or liable,
directly or indirectly, as obligor or otherwise.

         "Default" means any event, act or condition that with notice or lapse
of time, or both, would constitute an Event of Default.

         "Deferred Interest" shall have the meaning set forth in Section 4.1.

         "Depositary" means, with respect to Junior Subordinated Debentures
issued as a Global Subordinated Debenture, The Depository Trust Company, New
York, New York, another clearing agency, or any successor registered as a
clearing agency under the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), or other applicable statute or regulation, which, in each case,
shall be designated by the Company pursuant to either Section 2.1 or 2.4.

         "Dissolution Event" means that as a result of the occurrence and
continuation of a Special Event, the Trust is to be dissolved in accordance with
the Trust Agreement and the Junior Subordinated Debentures held by the Property
Trustee are to be distributed to the holders of the Trust Securities issued by
the Trust pro rata in accordance with the Trust Agreement.

         "Distributions" shall have the meaning set forth in the Trust
Agreement.

         "Event of Default" means any event specified in Section 7.1, continued
for the period of time, if any, therein designated.

                                       5

<PAGE>

         "Exchange Act" means the Securities Exchange Act of 1934, as amended.

         "Extended Interest Payment Period" shall have the meaning set forth in
Section 4.1.

         "Federal Reserve" means the Board of Governors of the Federal Reserve
System.

         "Global Subordinated Debenture" means a Junior Subordinated Debenture
executed by the Company and delivered by the Trustee to the Depositary or
pursuant to the Depositary's instruction, all in accordance with this Indenture,
which shall be registered in the name of the Depositary or its nominee.

         "Governmental Obligations" means securities that are (i) direct
obligations of the United States of America for the payment of which its full
faith and credit is pledged or (ii) obligations of a Person controlled or
supervised by and acting as an agency or instrumentality of the United States of
America, the payment of which is unconditionally guaranteed as a full faith and
credit obligation by the United States of America that, in either case, are not
callable or redeemable at the option of the issuer thereof, and shall also
include a depositary receipt issued by a bank (as defined in Section 3(a)(2) of
the Securities Act of 1933, as amended) as custodian with respect to any such
Governmental Obligation or a specific payment of principal of or interest on any
such Governmental Obligation held by such custodian for the account of the
holder of such depositary receipt; provided, however, that (except as required
by law) such custodian is not authorized to make any deduction from the amount
payable to the holder of such depositary receipt from any amount received by the
custodian in respect of the Governmental Obligation or the specific payment of
principal of or interest on the Governmental Obligation evidenced by such
depositary receipt.

         "Herein," "hereof," and "hereunder," and other words of similar import,
refer to this Indenture as a whole and not to any particular Article, Section or
other subdivision.

         "Indenture" means this instrument as originally executed or as it may
from time to time be supplemented or amended by one or more indentures
supplemental hereto entered into in accordance with the terms hereof.

         "Interest Payment Date," when used with respect to any installment of
interest on the Junior Subordinated Debentures, means the date specified in the
Junior Subordinated Debenture as the fixed date on which an installment of
interest with respect to the Junior Subordinated Debentures is due and payable.

         "Investment Company Act" means the Investment Company Act of 1940, as
amended.

         "Investment Company Event" means the receipt by the Company and the
Trust of an Opinion of Counsel experienced in such matters to the effect that,
as a result of

                                       6

<PAGE>

the occurrence of a change in law or regulation or a change in interpretation or
application of law or regulation by any legislative body, court, governmental
agency or regulatory authority (a "Change in Investment Company Act Law"), the
Trust is or will be considered an "investment company" that is required to be
registered under the Investment Company Act, which Change in Investment Company
Act Law becomes effective on or after the date of original issuance of the
Preferred Securities under the Trust Agreement.

         "Junior Subordinated Debentures" means the _____% Junior Subordinated
Debentures due 2031 authenticated and delivered under this Indenture.

         "Liquidation Amount" means the stated amount of $10 per Trust Security.

         "Maturity Date" shall have the meaning set forth in Section 2.2.

         "Non Book-Entry Preferred Securities" shall have the meaning set forth
in Section 2.4(a).

         "Officers' Certificate" means a certificate signed by the Vice
Chairman, the President or a Vice President and by the Chief Accounting Officer
or the Controller or an Assistant Controller or the Secretary or an Assistant
Secretary of the Company that is delivered to the Trustee in accordance with the
terms hereof. Each such certificate shall include the statements provided for in
Section 15.7, if and to the extent required by the provisions thereof.

         "Opinion of Counsel" means an opinion in writing of legal counsel, who
may be an employee of or counsel for the Company, that is delivered to the
Trustee in accordance with the terms hereof. Each such opinion shall include the
statements provided for in Section 15.7, if and to the extent required by the
provisions thereof.

         "Outstanding," when used with reference to Junior Subordinated
Debentures means, subject to the provisions of Section 10.4, as of any
particular time, all Junior Subordinated Debentures theretofore authenticated
and delivered by the Trustee under this Indenture, except (a) Junior
Subordinated Debentures theretofore canceled by the Trustee or any paying agent,
or delivered to the Trustee or any paying agent for cancellation or that have
previously been canceled; (b) Junior Subordinated Debentures or portions thereof
for the payment or redemption of which moneys or Governmental Obligations in the
necessary amount shall have been deposited in trust with the Trustee or with any
paying agent (other than the Company) or shall have been set aside and
segregated in trust by the Company (if the Company shall act as its own paying
agent); provided, however, that if such Junior Subordinated Debentures or
portions of such Junior Subordinated Debentures are to be redeemed prior to the
maturity thereof, notice of such redemption shall have been given as provided in
Article Three, or provision satisfactory to the Trustee shall have been made for
giving such notice; and (c) Junior Subordinated Debentures in lieu of or in
substitution for which other Junior

                                       7

<PAGE>

Subordinated Debentures shall have been authenticated and delivered pursuant to
the terms of Section 2.8.

         "Person" means any individual, corporation, partnership, limited
liability company, joint venture, joint-stock company, unincorporated
organization or government or any agency or political subdivision thereof.

         "Predecessor Junior Subordinated Debenture" means every previous Junior
Subordinated Debenture evidencing all or a portion of the same debt as that
evidenced by such particular Junior Subordinated Debenture; and, for the
purposes of this definition, any Junior Subordinated Debenture authenticated and
delivered under Section 2.8 in lieu of a lost, destroyed or stolen Junior
Subordinated Debenture shall be deemed to evidence the same debt as the lost,
destroyed or stolen Junior Subordinated Debenture.

         "Preferred Securities" means undivided beneficial interests in the
assets of the Trust which rank pari passu with Common Securities issued by the
Trust; provided, however, that upon the occurrence of an Event of Default, the
rights of holders of Common Securities to payment in respect of Distributions
and payments upon liquidation, redemption and otherwise are subordinated to the
rights of holders of Preferred Securities.

         "Preferred Securities Certificate" has the meaning set forth in the
Trust Agreement.

         "Preferred Securities Guarantee" means any guarantee that the Company
may enter into with the Property Trustee or other Persons that operates directly
or indirectly for the benefit of holders of Preferred Securities of the Trust.

         "Property Trustee" has the meaning set forth in the Trust Agreement.

         "Redemption Price" means the amount equal to 100% of the principal
amount of Junior Subordinated Debentures to be redeemed plus any accrued and
unpaid interest thereon to the date of the redemption of such Junior
Subordinated Debentures.

         "Responsible Officer" when used with respect to the Trustee means the
Chairman of the Board of Directors, the President, any Vice President, the
Secretary, the Treasurer, any trust officer, any corporate trust officer or any
other officer or assistant officer of the Trustee customarily performing
functions similar to those performed by the Persons who at the time shall be
such officers, respectively, or to whom any corporate trust matter is referred
because of his or her knowledge of and familiarity with the particular subject.

         "Scheduled Maturity Date" means _______________, 2031.

                                       8

<PAGE>

         "Securities Register" and "Securities Registrar" have the respective
meanings specified in Section 2.7.

         "Securityholder," "Holder," "Registered Holder," or other similar term,
means the Person or Persons in whose name or names particular Junior
Subordinated Debentures shall be registered in the Securities Register.

         "Senior and Subordinated Debt" means the principal of (and premium, if
any) and interest, if any (including interest accruing on or after the filing of
any petition in bankruptcy or for reorganization relating to the Company whether
or not such claim for post-petition interest is allowed in such proceeding), on
Debt of the Company, whether incurred on or prior to the date of this Indenture
or thereafter incurred, unless, in the instrument creating or evidencing the
same or pursuant to which the same is outstanding, it is provided that such
obligations are not superior in right of payment to the Junior Subordinated
Debentures or to other Debt which is pari passu with, or subordinated to, the
Junior Subordinated Debentures; provided, however, that Senior and Subordinated
Debt shall not be deemed to include (i) any Debt of the Company which when
incurred and without respect to any election under section 1111(b) of the United
States Bankruptcy Code of 1978, as amended, was without recourse to the Company,
(ii) any Debt of the Company to any of its Subsidiaries, (iii) any Debt to any
employee of the Company, (iv) any Debt which by its terms is subordinated to any
trade accounts payable or accrued liabilities arising in the ordinary course of
business to the extent that payments made to the holders of such Debt by the
Holders of the Junior Subordinated Debentures as a result of the subordination
provisions of this Indenture would be greater than they otherwise would have
been as a result of any obligation of such holders to pay amounts over to the
obligees on such trade accounts payable or accrued liabilities arising in the
ordinary course of business as a result of subordination provisions to which
such Debt is subject, (v) the Preferred Securities Guarantee, and (vi) any other
debt securities issued pursuant to this Indenture.

         "Special Event" means a Tax Event, an Investment Company Event or a
Capital Treatment Event.

         "Subsidiary" means, with respect to any Person, (i) any corporation at
least a majority of whose outstanding Voting Stock shall at the time be owned,
directly or indirectly, by such Person, or by one or more of its Subsidiaries,
or by such Person and one or more of its Subsidiaries, (ii) any general
partnership, joint venture or similar entity, at least a majority of whose
outstanding partnership or similar interests shall at the time be owned by such
Person, or by one or more of its Subsidiaries, or by such Person and one or more
of its Subsidiaries, and (iii) any limited partnership of which such Person or
any of its Subsidiaries is a general partner.

         "Tax Event" means the receipt by the Company and the Trust of an
Opinion of Counsel experienced in such matters to the effect that, as a result
of any amendment to, or change (including any announced prospective change) in,
the laws (or any regulations thereunder) of the United States or any political
subdivision or taxing

                                       9

<PAGE>

authority thereof or therein, or as a result of any official administrative
pronouncement or judicial decision interpreting or applying such laws or
regulations, which amendment or change is effective or which pronouncement or
decision is announced on or after the date of issuance of the Junior
Subordinated Debentures there is more than an insubstantial risk that (i)
interest payable by the Company on the Junior Subordinated Debentures is not, or
within 90 days after the date of such Opinion of Counsel will not be, deductible
by the Company, in whole or in part, for United States federal income tax
purposes, (ii) the Trust is, or will be within 90 days after the date of such
Opinion of Counsel, subject to United States federal income tax with respect to
income received or accrued on the Junior Subordinated Debentures, or (iii) the
Trust is, or will be within 90 days after the date of such Opinion of Counsel,
subject to more than a de minimis amount of other taxes, duties, assessments or
other governmental charges.

         "Trust" means Spectrum Capital Trust II, a Delaware statutory business
trust created for the purpose of issuing Trust Securities in connection with the
issuance of Junior Subordinated Debentures under this Indenture.

         "Trust Agreement" means the Amended and Restated Trust Agreement, dated
as of ___________________, 2001, of the Trust.

         "Trustee" means Wilmington Trust Company and, subject to the provisions
of Article Nine, shall also include its successors and assigns, and, if at any
time there is more than one Person acting in such capacity hereunder, "Trustee"
shall mean each such Person.

         "Trust Indenture Act," means the Trust Indenture Act of 1939 as in
force at the date of execution of this Indenture; provided, however, that in the
event the Trust Indenture Act of 1939 is amended after such date, "Trust
Indenture Act" means, to the extent required by any such amendment, the Trust
Indenture Act of 1939 as so amended.

         "Trust Securities" means Common Securities and Preferred Securities of
the Trust.

         "Underwriters' Over-Allotment Option" means the option, exercisable
within 30 days after the date of the prospectus, granted to the underwriters in
the offering to the public of Preferred Securities, to purchase up to
$_______________ additional Preferred Securities at the same price per Preferred
Security as paid for the other Preferred Securities issued pursuant to the
prospectus.

         "Voting Stock," as applied to stock of any Person, means shares,
interests, participations or other equivalents in the equity interest (however
designated) in such Person having ordinary voting power for the election of a
majority of the directors (or the equivalent) of such Person, other than shares,
interests, participations or other equivalents having such power only by reason
of the occurrence of a contingency.

                                       10

<PAGE>

                                   ARTICLE II

                DESCRIPTION, TERMS, CONDITIONS, REGISTRATION AND
                 EXCHANGE OF THE JUNIOR SUBORDINATED DEBENTURES

         2.1 DESIGNATION AND PRINCIPAL AMOUNT. There is hereby authorized a
series of Securities designated the "_____% Junior Subordinated Debentures due
2031," limited in aggregate principal amount to $____________, and a possible
additional amount of up to $____________ related to the Underwriters'
Over-Allotment Option with respect to the Preferred Securities, for a total of
up to $____________ aggregate principal amount, which amount shall be as set
forth in any written order of the Company for the authentication and delivery of
Junior Subordinated Debentures pursuant to Section 8.2 of this Indenture.

         2.2  MATURITY.

         (a)  The Maturity Date will be either:

         (i)  the Scheduled Maturity Date; or

         (ii) if the Company elects to accelerate the Maturity Date to be a
              date prior to the Scheduled Maturity Date in accordance with
              Section 2.2(b), the Accelerated Maturity Date.

         (b) The Company may, at any time before the day which is 90 days before
the Scheduled Maturity Date, elect to shorten the Maturity Date only once to the
Accelerated Maturity Date, provided that the Company has received the prior
approval of the Federal Reserve if then required under applicable capital
guidelines or policies of the Federal Reserve.

         (c) If the Company elects to accelerate the Maturity Date in accordance
with Section 2.2(b), the Company shall give notice to the Registered Holders of
the Junior Subordinated Debentures, the Property Trustee and the Trustee of the
acceleration of the Maturity Date and the Accelerated Maturity Date at least 90
days before the Accelerated Maturity Date.

         2.3 FORM AND PAYMENT. Except as provided in Section 2.4, the Junior
Subordinated Debentures shall be issued in fully registered certificated form
without interest coupons. Principal and interest on the Junior Subordinated
Debentures issued in certificated form will be payable, the transfer of such
Junior Subordinated Debentures will be registrable and such Junior Subordinated
Debentures will be exchangeable for Junior Subordinated Debentures bearing
identical terms and provisions at the office or agency of the Trustee; provided,
however, that payment of interest may be made at the option of the Company by
check mailed to the Holder at such address as shall appear in the Securities
Register. Notwithstanding the foregoing, so long as the Holder of any Junior
Subordinated Debentures is the Property Trustee, the payment of the principal of

                                       11

<PAGE>

and interest (including Compounded Interest and Additional Sums, if any) on such
Junior Subordinated Debentures held by the Property Trustee will be made at such
place and to such account as may be designated by the Property Trustee.

         2.4 GLOBAL SUBORDINATED DEBENTURE.

         (a) In connection with a Dissolution Event,

         (i) the Junior Subordinated Debentures in certificated form may be
presented to the Trustee by the Property Trustee in exchange for a Global
Subordinated Debenture in an aggregate principal amount equal to the aggregate
principal amount of all outstanding Junior Subordinated Debentures (a "Global
Subordinated Debenture"), to be registered in the name of the Depositary, or its
nominee, and delivered by the Trustee to the Depositary for crediting to the
accounts of its participants pursuant to the instructions of the Administrative
Trustees. The Company upon any such presentation shall execute a Global
Subordinated Debenture in such aggregate principal amount and deliver the same
to the Trustee for authentication and delivery in accordance with this
Indenture. Payments on the Junior Subordinated Debentures issued as a Global
Subordinated Debenture will be made to the Depositary; and

         (ii) if any Preferred Securities are held in non book-entry
certificated form, the Junior Subordinated Debentures in certificated form may
be presented to the Trustee by the Property Trustee and any Preferred Securities
Certificate which represents Preferred Securities other than Preferred
Securities held by the Depositary or its nominee ("Non Book-Entry Preferred
Securities") will be deemed to represent beneficial interests in Junior
Subordinated Debentures presented to the Trustee by the Property Trustee having
an aggregate principal amount equal to the aggregate Liquidation Amount of the
Non Book-Entry Preferred Securities until such Preferred Securities Certificates
are presented to the Securities Registrar for transfer or reissuance at which
time such Preferred Securities Certificates will be canceled and a Junior
Subordinated Debenture, registered in the name of the holder of the Preferred
Securities Certificate or the transferee of the holder of such Preferred
Securities Certificate, as the case may be, with an aggregate principal amount
equal to the aggregate Liquidation Amount of the Preferred Securities
Certificate canceled, will be executed by the Company and delivered to the
Trustee for authentication and delivery in accordance with this Indenture. On
issue of such Junior Subordinated Debentures, Junior Subordinated Debentures
with an equivalent aggregate principal amount that were presented by the
Property Trustee to the Trustee will be deemed to have been canceled.

         (b) A Global Subordinated Debenture may be transferred, in whole but
not in part, only to another nominee of the Depositary, or to a successor
Depositary selected or approved by the Company or to a nominee of such successor
Depositary.

         (c) If at any time the Depositary notifies the Company that it is
unwilling or unable to continue as Depositary or if at any time the Depositary
for such series shall no longer be registered or in good standing under the
Exchange Act or other applicable

                                       12

<PAGE>

statute or regulation, and a successor Depositary for such series is not
appointed by the Company within 90 days after the Company receives such notice
or becomes aware of such condition, as the case may be, the Company will
execute, and the Trustee, upon written notice from the Company, will
authenticate and deliver the Junior Subordinated Debentures in definitive
registered form without coupons, in authorized denominations, and in an
aggregate principal amount equal to the principal amount of the Global
Subordinated Debenture in exchange for such Global Subordinated Debenture. In
addition, the Company may at any time determine that the Junior Subordinated
Debentures shall no longer be represented by a Global Subordinated Debenture. In
such event the Company will execute, and the Trustee, upon receipt of an
Officers' Certificate evidencing such determination by the Company, will
authenticate and deliver the Junior Subordinated Debentures in definitive
registered form without coupons, in authorized denominations, and in an
aggregate principal amount equal to the principal amount of the Global
Subordinated Debenture in exchange for such Global Subordinated Debenture. Upon
the exchange of the Global Subordinated Debenture for such Junior Subordinated
Debentures in definitive registered form without coupons, in authorized
denominations, the Global Subordinated Debenture shall be canceled by the
Trustee. Such Junior Subordinated Debentures in definitive registered form
issued in exchange for the Global Subordinated Debenture shall be registered in
such names and in such authorized denominations as the Depositary, pursuant to
instructions from its direct or indirect participants or otherwise, shall
instruct the Trustee . The Trustee shall deliver such Junior Subordinated
Debentures to the Depositary for delivery to the Persons in whose names such
Junior Subordinated Debentures are so registered.

         2.5 INTEREST.

         (a) Each Junior Subordinated Debenture will bear interest at the rate
of _____% per annum (the "Coupon Rate") from the original date of issuance until
the principal thereof becomes due and payable, and on any overdue principal and
(to the extent that payment of such interest is enforceable under applicable
law) on any overdue installment of interest at the Coupon Rate, compounded
quarterly, payable (subject to the provisions of Article Four) quarterly in
arrears on the last day of January, April, July and October in each year (each,
an "Interest Payment Date"), commencing on April 30, 2001, to the Person in
whose name such Junior Subordinated Debenture or any Predecessor Junior
Subordinated Debenture is registered at the close of business on the regular
record date for such interest installment, which, in respect of (i) Junior
Subordinated Debentures of which the Property Trustee is the Holder and the
Preferred Securities are in book-entry only form or (ii) a Global Subordinated
Debenture, shall be the close of business on the Business Day next preceding
that Interest Payment Date. Notwithstanding the foregoing sentence, if (i) the
Junior Subordinated Debentures are held by the Property Trustee and the
Preferred Securities are no longer in book-entry only form or (ii) the Junior
Subordinated Debentures are not represented by a Global Subordinated Debenture,
the record date for such interest installment shall be the first day of the
month in which such payment is to be made. The amount of each interest payment
due with respect to the Junior Subordinated Debentures will include amounts
accrued through the date the interest payment is due.

                                       13

<PAGE>

         (b) The amount of interest payable for any period will be computed on
the basis of a 360-day year of twelve 30-day months. Except as provided in the
following sentence, the amount of interest payable for any period shorter than a
full quarterly period for which interest is computed will be computed on the
basis of the actual number of days elapsed in such a quarterly period. In the
event that any date on which interest is payable on the Junior Subordinated
Debentures is not a Business Day, then payment of interest payable on such date
will be made on the next succeeding day which is a Business Day (and without any
interest or other payment in respect of any such delay), except that, if such
Business Day is in the next succeeding calendar year, such payment shall be made
on the immediately preceding Business Day, in each case with the same force and
effect as if made on such date.

         (c) If, at any time while the Property Trustee is the Holder of any
Junior Subordinated Debentures, the Trust or the Property Trustee is required to
pay any taxes, duties, assessments or governmental charges of whatever nature
(other than withholding taxes) imposed by the United States, or any other taxing
authority, then, in any case, the Company will pay as additional interest
("Additional Sums") on the Junior Subordinated Debentures held by the Property
Trustee such additional amounts as shall be required so that the net amounts
received and retained by the Trust and the Property Trustee after paying such
taxes, duties, assessments or other governmental charges will be equal to the
amounts the Trust and the Property Trustee would have received had no such
taxes, duties, assessments or other government charges been imposed.

         2.6 EXECUTION, AUTHENTICATION, DELIVERY AND DATING. The Junior
Subordinated Debentures shall be executed on behalf of the Company by its Vice
Chairman, its President or any Vice President and attested by its Secretary or
Assistant Secretary. The signature of any of these officers on the Junior
Subordinated Debentures may be manual or facsimile. Junior Subordinated
Debentures bearing the manual or facsimile signatures of individuals who were at
any time the proper officers of the Company shall bind the Company,
notwithstanding that such individuals or any of them have ceased to hold such
offices prior to the authentication and delivery of such Junior Subordinated
Debentures or did not hold such offices at the date of such Junior Subordinated
Debentures.

         At any time and from time to time after the execution and delivery of
this Indenture, the Company may deliver Junior Subordinated Debentures executed
by the Company to the Trustee for authentication, together with a Company order
for the authentication and delivery of such Junior Subordinated Debentures. The
Trustee in accordance with such Company order shall authenticate and deliver
such Junior Subordinated Debentures as in this Indenture provided and not
otherwise.

         Upon the initial issuance, each Junior Subordinated Debenture shall be
dated ___________________, 2001, and thereafter Junior Subordinated Debentures
issued hereunder shall be dated the date of their authentication.

                                       14

<PAGE>

         No Junior Subordinated Debenture shall be entitled to any benefit under
this Indenture or be valid or obligatory for any purpose unless there appears on
such Junior Subordinated Debenture a certificate of authentication substantially
in the form provided for herein executed by the Trustee by manual signature, and
such certificate upon any Junior Subordinated Debenture shall be conclusive
evidence, and the only evidence, that such Junior Subordinated Debenture has
been duly authenticated and delivered hereunder and is entitled to the benefits
of this Indenture.

         2.7 REGISTRATION AND TRANSFER. The Company shall cause to be kept at
the Corporate Trust Office of the Trustee a register (the register maintained in
such office or any other office or agency pursuant to Section 5.2 being herein
sometimes referred to as the "Securities Register") in which, subject to such
reasonable regulations as it may prescribe, the Company shall provide for the
registration of the Junior Subordinated Debentures and transfers of the Junior
Subordinated Debentures. The Trustee is hereby appointed "Securities Registrar"
for the purpose of registering the Junior Subordinated Debentures and transfers
of the Junior Subordinated Debentures as herein provided.

         Upon surrender for registration of transfer of any Junior Subordinated
Debenture at an office or agency of the Company designated pursuant to Section
5.2 for such purpose, the Company shall execute, and the Trustee shall
authenticate and deliver, in the name of the designated transferee or
transferees, a new Junior Subordinated Debenture of the authorized denomination.

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

         Every Junior Subordinated Debenture presented or surrendered for
registration of transfer shall be duly endorsed for transfer (if so required by
the Company or the Trustee), or shall be accompanied by a written instrument of
transfer in form satisfactory to the Company and the Securities Registrar duly
executed by the Holder thereof or such Holder's attorney duly authorized in
writing.

         No service charge shall be made for any registration of transfer of
Junior Subordinated Debentures, but the Company may require payment of a sum
sufficient to cover any tax or other governmental charge that may be imposed in
connection with any registration of transfer of Junior Subordinated Debentures.

         The Company shall not be required to issue or register the transfer of
any Junior Subordinated Debenture during a period beginning at the opening of
business 15 days before the day of the mailing of a notice of redemption of
Junior Subordinated Debentures selected for redemption pursuant to Article Three
and ending at the close of business on the day of such mailing.

                                       15

<PAGE>

         2.8 MUTILATED, DESTROYED, LOST AND STOLEN JUNIOR SUBORDINATED
DEBENTURES. If any mutilated Junior Subordinated Debenture is surrendered to the
Trustee, the Company shall execute and the Trustee shall authenticate and
deliver in exchange therefor a new Junior Subordinated Debenture of like tenor
and principal amount and bearing a number not contemporaneously outstanding.

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

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

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

         Every new Junior Subordinated Debenture issued pursuant to this Section
in lieu of any destroyed, lost or stolen Junior Subordinated Debenture shall
constitute an original additional contractual obligation of the Company, whether
or not the destroyed, lost or stolen Junior Subordinated Debenture shall be at
any time enforceable by anyone, and shall be entitled to all of the benefits of
this Indenture.

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

                                   ARTICLE III

                  REDEMPTION OF JUNIOR SUBORDINATED DEBENTURES

         3.1 REDEMPTION. Subject to the Company having received prior approval
of the Federal Reserve, if then required under the applicable capital guidelines
or policies of the Federal Reserve, the Company may redeem the Junior
Subordinated Debentures in accordance with this Article Three.

                                       16

<PAGE>

         3.2 SPECIAL EVENT REDEMPTION. Subject to the Company having received
the prior approval of the Federal Reserve, if then required under the applicable
capital guidelines or policies of the Federal Reserve, if a Special Event has
occurred and is continuing, then, notwithstanding Section 3.3, the Company shall
have the right upon not less than 30 days nor more than 60 days notice to the
Holders of the Junior Subordinated Debentures to redeem the Junior Subordinated
Debentures, in whole but not in part, for cash within 90 days following the
occurrence of such Special Event (the "90-Day Period") at the Redemption Price,
provided that if at the time there is available to the Company the opportunity
to eliminate, within the 90-Day Period, the Tax Event by taking some ministerial
action ("Ministerial Action"), such as filing a form or making an election, or
pursuing some other similar reasonable measure which has no adverse effect on
the Company, the Trust or the Holders of the Trust Securities issued by the
Trust, the Company shall pursue such Ministerial Action in lieu of redemption,
and, provided, further, that the Company shall have no right to redeem the
Junior Subordinated Debentures while the Trust is pursuing any Ministerial
Action to eliminate the Tax Event. The Redemption Price shall be paid prior to
2:00 p.m., Wilmington, Delaware time, on the date of such redemption or such
earlier time as the Company determines, provided that the Company shall deposit
with the Trustee an amount sufficient to pay the Redemption Price by 12:00 noon,
Wilmington, Delaware time, on the date such Redemption Price is to be paid.

         3.3 OPTIONAL REDEMPTION BY COMPANY.

         (a) Except as otherwise may be specified in this Indenture, the Company
shall have the right to redeem the Junior Subordinated Debentures, in whole or
in part, from time to time, on or after __________________, 2006, at the
Redemption Price. Any redemption pursuant to this Section 3.3 will be made upon
not less than 30 days nor more than 60 days notice to the Holders of the Junior
Subordinated Debentures, at the Redemption Price. If the Junior Subordinated
Debentures are only partially redeemed pursuant to this Section 3.3, the Junior
Subordinated Debentures will be redeemed pro rata or by lot or by any other
method utilized by the Trustee; provided, that if at the time of redemption the
Junior Subordinated Debentures are registered as a Global Subordinated
Debenture, the Depositary shall determine, in accordance with its procedures,
the principal amount of such Junior Subordinated Debentures held by each Holder
of Junior Subordinated Debentures to be redeemed. The Redemption Price shall be
paid prior to 2:00 p.m., Wilmington, Delaware time, on the date of such
redemption or at such earlier time as the Company determines provided that the
Company shall deposit with the Trustee an amount sufficient to pay the
Redemption Price by 12:00 noon, Wilmington, Delaware time, on the date such
Redemption Price is to be paid.

         (b) If a partial redemption of the Junior Subordinated Debentures would
result in the delisting of the Preferred Securities issued by the Trust from the
American Stock Exchange or any other national securities exchange, quotation
system or other organization on which the Preferred Securities may then be
listed, if any, the Company

                                       17

<PAGE>

shall not be permitted to effect such partial redemption and may only redeem the
Junior Subordinated Debentures in whole or in part to such extent as would not
cause such delisting.

         3.4 NOTICE OF REDEMPTION.

         (a) In case the Company shall desire to exercise such right to redeem
all or, as the case may be, a portion of the Junior Subordinated Debentures in
accordance with the right reserved so to do, the Company shall, or shall cause
the Trustee to, give notice of such redemption to Holders of the Junior
Subordinated Debentures to be redeemed by mailing, first class postage prepaid,
a notice of such redemption not less than 30 days and not more than 60 days
before the date fixed for redemption to such Holders at their last addresses as
they shall appear upon the Securities Register. Any notice that is mailed in the
manner herein provided shall be conclusively presumed to have been duly given,
whether or not the Registered Holder receives the notice. In any case, failure
duly to give such notice to the Holder of any Junior Subordinated Debenture
designated for redemption in whole or in part, or any defect in the notice,
shall not affect the validity of the proceedings for the redemption of any other
Junior Subordinated Debentures. In the case of any redemption of Junior
Subordinated Debentures prior to the expiration of any restriction on such
redemption provided elsewhere in this Indenture, the Company shall furnish the
Trustee with an Officers' Certificate evidencing compliance with any such
restriction.

         Each such notice of redemption shall specify the date fixed for
redemption and the Redemption Price, and shall state that payment of the
Redemption Price of such Junior Subordinated Debentures to be redeemed will be
made at the office or agency of the Company in Omaha, Nebraska, upon
presentation and surrender of such Junior Subordinated Debentures, that interest
accrued to the date fixed for redemption will be paid as specified in said
notice, that from and after said date interest will cease to accrue. If less
than all the Junior Subordinated Debentures are to be redeemed, the notice to
the Holders of Junior Subordinated Debentures to be redeemed in whole or in part
shall specify the particular Junior Subordinated Debentures to be so redeemed.
In case any Junior Subordinated Debenture is to be redeemed in part only, the
notice that relates to such Junior Subordinated Debenture shall state the
portion of the principal amount thereof to be redeemed, and shall state that on
and after the redemption date, upon surrender of such Junior Subordinated
Debenture, a new Junior Subordinated Debenture or Junior Subordinated Debentures
in principal amount equal to the unredeemed portion thereof shall be issued to
the Holder.

         (b) If less than all the Junior Subordinated Debentures are to be
redeemed, the Company shall give the Trustee at least 45 days' notice in advance
of the date fixed for redemption as to the aggregate principal amount of Junior
Subordinated Debentures to be redeemed, and thereupon the Trustee shall select,
by lot or in such other manner as it shall deem appropriate and fair in its
discretion and that may provide for the selection of a portion or portions
(equal to ten U.S. dollars ($10) or any integral multiple thereof), the Junior
Subordinated Debentures to be redeemed and shall thereafter

                                       18

<PAGE>

promptly notify the Company in writing of the numbers of the Junior Subordinated
Debentures to be redeemed, in whole or in part.

         The Company may, if and whenever it shall so elect, by delivery of
instructions signed on its behalf by its Chairman, its President or any Vice
President, instruct the Trustee or any paying agent to call all or any part of
the Junior Subordinated Debentures for redemption and to give notice of
redemption in the manner set forth in this Section, such notice to be in the
name of the Company or in the name of the Trustee or the paying agent, as the
Trustee or such paying agent may deem advisable. In any case in which notice of
redemption is to be given by the Trustee or any such paying agent, the Company
shall deliver or cause to be delivered to, or permit to remain with, the Trustee
or such paying agent, as the case may be, such Securities Register, transfer
books or other records, or suitable copies or extracts therefrom, sufficient to
enable the Trustee or such paying agent to give any notice by mail that may be
required under the provisions of this Section.

         3.5 PAYMENT UPON REDEMPTION.

         (a) If the giving of notice of redemption shall have been completed as
above provided, the Junior Subordinated Debentures or portions of Junior
Subordinated Debentures to be redeemed specified in such notice shall become due
and payable on the date and at the place stated in such notice at the Redemption
Price (which includes interest accrued to the date fixed for redemption) and
interest on such Junior Subordinated Debentures or portions of Junior
Subordinated Debentures shall cease to accrue on and after the date fixed for
redemption, unless the Company shall default in the payment of such Redemption
Price with respect to any such Junior Subordinated Debentures or portions
thereof. On presentation and surrender of such Junior Subordinated Debentures on
or after the date fixed for redemption at the place of payment specified in the
notice, such Junior Subordinated Debentures shall be paid and redeemed at the
Redemption Price (which includes the interest accrued thereon to the date fixed
for redemption) (but if the date fixed for redemption is an Interest Payment
Date, the interest installment payable on such date shall be payable to the
Registered Holder at the close of business on the applicable record date
pursuant to Section 2.5(a)).

         (b) Upon presentation of any Junior Subordinated Debenture that is to
be redeemed in part only, the Company shall execute and the Trustee shall
authenticate and the office or agency where the Junior Subordinated Debenture is
presented shall deliver to the Holder thereof, at the expense of the Company, a
new Junior Subordinated Debenture or Junior Subordinated Debentures of
authorized denominations in principal amount equal to the unredeemed portion of
the Junior Subordinated Debenture so presented.

         3.6 NO SINKING FUND. The Junior Subordinated Debentures are not
entitled to the benefit of any sinking fund.

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<PAGE>

                                   ARTICLE IV

                      EXTENSION OF INTEREST PAYMENT PERIOD

         4.1 EXTENSION OF INTEREST PAYMENT PERIOD. So long as no Event of
Default has occurred and is continuing, the Company shall have the right, at any
time and from time to time during the term of the Junior Subordinated
Debentures, to defer payments of interest by extending the interest payment
period of such Junior Subordinated Debentures for a period not exceeding 20
consecutive quarters (the "Extended Interest Payment Period"), during which
Extended Interest Payment Period no interest shall be due and payable; provided
that no Extended Interest Payment Period may extend beyond the Maturity Date. To
the extent permitted by applicable law, interest, the payment of which has been
deferred because of the extension of the interest payment period pursuant to
this Section 4.1, will bear interest thereon at the rate of _____% per year,
compounded quarterly for each quarter of the Extended Interest Payment Period
("Compounded Interest"). At the end of the Extended Interest Payment Period, the
Company shall pay all interest accrued and unpaid on the Junior Subordinated
Debentures, including any Additional Sums and Compounded Interest (together,
"Deferred Interest") that shall be payable to the Holders of the Junior
Subordinated Debentures in whose names the Junior Subordinated Debentures are
registered in the Securities Register on the record date for the Interest
Payment Date coinciding with the end of the Extended Interest Payment Period.
Before the termination of any Extended Interest Payment Period, the Company may
further extend such period, provided that such period together with all such
further extensions thereof shall not exceed 20 consecutive quarters, or extend
beyond the Maturity Date. Upon the termination of any Extended Interest Payment
Period and upon the payment of all Deferred Interest then due, the Company may
commence a new Extended Interest Payment Period, subject to the foregoing
requirements. No interest shall be due and payable during an Extended Interest
Payment Period, except at the end thereof, but the Company may prepay at any
time all or any portion of the interest accrued during an Extended Interest
Payment Period.

         4.2 NOTICE OF EXTENSION.

         (a) If the Property Trustee is the only Registered Holder of the Junior
Subordinated Debentures at the time the Company selects an Extended Interest
Payment Period, the Company shall give written notice to the Administrative
Trustees, the Property Trustee and the Trustee of its selection of such Extended
Interest Payment Period one Business Day before the earlier of (i) the date the
Distributions on the Preferred Securities would have been payable except for the
election to begin or extend the Extended Interest Payment Period, or (ii) the
date the Trust is required to give notice of the record date, or the date such
Distributions are payable, to the Preferred Securities holders or to the
American Stock Exchange or other applicable self regulatory organization, if
any, but in any event at least one Business Day before such record date.

                                       20

<PAGE>

         (b) If the Property Trustee is not the only Holder of the Junior
Subordinated Debentures at the time the Company selects an Extended Interest
Payment Period, the Company shall give the Holders of the Junior Subordinated
Debentures and the Trustee written notice of its selection of such Extended
Interest Payment Period at least one Business Day before the earlier of (i) the
next succeeding Interest Payment Date, or (ii) the date the Company is required
to give notice of the record or payment date of such interest payment to the
Holders of the Junior Subordinated Debentures or to the American Stock Exchange
or other applicable self regulatory organization, if any.

         (c) The quarter in which any notice is given pursuant to paragraph (a)
or paragraph (b) of this Section 4.2 shall be counted as one of the 20 quarters
permitted in the maximum Extended Interest Payment Period permitted under
Section 4.1.

         4.3 LIMITATION OF TRANSACTIONS DURING EXTENSION. If: (i) the Company
shall exercise its right to defer payment of interest as provided in Section
4.1; or (ii) there shall have occurred any Event of Default, then the Company
shall be subject to the restrictions on payments set forth under Section 5.6.

                                    ARTICLE V

                       PARTICULAR COVENANTS OF THE COMPANY

         5.1 PAYMENT OF PRINCIPAL AND INTEREST. The Company will duly and
punctually pay or cause to be paid the principal of and interest on the Junior
Subordinated Debentures at the time and place and in the manner provided herein
and established with respect to such Junior Subordinated Debentures.

         5.2 MAINTENANCE OF AGENCY. So long as any Junior Subordinated
Debentures remain Outstanding, the Company agrees to maintain an office or
agency in Omaha, Nebraska, or at such other location or locations as may be
designated as provided in this Section 5.2, where (i) Junior Subordinated
Debentures may be presented for payment, (ii) Junior Subordinated Debentures may
be presented as hereinabove authorized for registration of transfer and
exchange, and (iii) notices and demands to or upon the Company in respect of the
Junior Subordinated Debentures and this Indenture may be given or served, such
designation to continue with respect to such office or agency until the Company
shall, by written notice signed by its Chairman, its President or a Vice
President and delivered to the Trustee, designate some other office or agency
for such purposes or any of them. If at any time the Company shall fail to
maintain any such required office or agency or shall fail to furnish the Trustee
with the address thereof, such presentations, notices and demands may be made or
served at the Corporate Trust Office of the Trustee, and the Company hereby
appoints the Trustee as its agent to receive all such presentations, notices and
demands.

         5.3 PAYING AGENTS.

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<PAGE>

         (a) If the Company shall appoint one or more paying agents for the
Junior Subordinated Debentures, other than the Trustee, the Company will cause
each such paying agent to execute and deliver to the Trustee an instrument in
which such agent shall agree with the Trustee, subject to the provisions of this
Section:

         (i) that it will hold all sums held by it as such agent for the payment
of the principal of or interest on the Junior Subordinated Debentures (whether
such sums have been paid to it by the Company or by any other obligor) in trust
for the benefit of the Persons entitled thereto;

         (ii) that it will give the Trustee notice of any failure by the Company
(or by any other obligor) to make any payment of the principal of or interest on
the Junior Subordinated Debentures when the same shall be due and payable;

         (iii) that it will, at any time during the continuance of any failure
referred to in the preceding paragraph (a)(ii) above, upon the written request
of the Trustee, forthwith pay to the Trustee all sums so held in trust by such
paying agent; and

         (iv) that it will perform all other duties of paying agent as set forth
in this Indenture.

         (b) If the Company shall act as its own paying agent with respect to
the Junior Subordinated Debentures, it will on or before each due date of the
principal of or interest on Junior Subordinated Debentures, set aside, segregate
and hold in trust for the benefit of the Persons entitled thereto a sum
sufficient to pay such principal or interest so becoming due until such sums
shall be paid to such Persons or otherwise disposed of as herein provided and
will promptly notify the Trustee of such action, or any failure (by it or any
other obligor) to take such action. Whenever the Company shall have one or more
paying agents for the Junior Subordinated Debentures, it will, prior to each due
date of the principal of or interest on the Junior Subordinated Debentures,
deposit with the paying agent a sum sufficient to pay the principal or interest
so becoming due, such sum to be held in trust for the benefit of the Persons
entitled to such principal or interest, and (unless such paying agent is the
Trustee) the Company will promptly notify the Trustee of this action or failure
so to act.

         (c) Notwithstanding anything in this Section to the contrary, (i) the
agreement to hold sums in trust as provided in this Section is subject to the
provisions of Section 13.5, and (ii) the Company may at any time, for the
purpose of obtaining the satisfaction and discharge of this Indenture or for any
other purpose, pay, or direct any paying agent to pay, to the Trustee all sums
held in trust by the Company or such paying agent, such sums to be held by the
Trustee upon the same terms and conditions as those upon which such sums were
held by the Company or such paying agent; and, upon such payment by any paying
agent to the Trustee, such paying agent shall be released from all further
liability with respect to such money.

                                       22

<PAGE>

         5.4 APPOINTMENT TO FILL VACANCY IN OFFICE OF TRUSTEE. The Company,
whenever necessary to avoid or fill a vacancy in the office of Trustee, will
appoint, in the manner provided in Section 9.10, a Trustee, so that there shall
at all times be a Trustee hereunder.

         5.5 COMPLIANCE WITH CONSOLIDATION PROVISIONS. The Company will not,
while any of the Junior Subordinated Debentures remain Outstanding, consolidate
with, or merge into, or merge into itself, or sell or convey all or
substantially all of its property to any other company unless the provisions of
Article Twelve hereof are complied with.

         5.6 RESTRICTIONS ON CERTAIN PAYMENTS. If at any time (i) there shall
have occurred any event of which the Company has actual knowledge that (a) with
the giving of notice or the lapse of time, or both, would constitute an Event of
Default and (b) in respect to which the Company shall not have taken reasonable
steps to cure, or (ii) the Company shall have given notice of its election of an
Extended Interest Payment Period as provided herein with respect to the Junior
Subordinated Debentures and shall not have rescinded such notice, or such
Extended Interest Payment Period, or any extension thereof, shall be continuing;
or (iii) while the Junior Subordinated Debentures are held by the Trust, the
Company shall be in default with respect to its payment of any obligation under
the Preferred Securities Guarantee, then the Company will not (1) declare or pay
any dividends or distributions on, or redeem, purchase, acquire, or make a
liquidation payment with respect to, any of the Company's capital stock or (2)
make any payment of principal, interest or premium, if any, on or repay,
repurchase or redeem any debt securities of the Company (including the Junior
Subordinated Debentures) that rank pari passu with or junior in interest to the
Junior Subordinated Debentures or make any guarantee payments with respect to
any guarantee by the Company of the debt securities of any Subsidiary of the
Company if such guarantee ranks pari passu or junior in interest to the Junior
Subordinated Debentures (other than (a) dividends or distributions in common
stock, (b) any declaration of a dividend in connection with the implementation
of a shareholders' rights plan, or the issuance of stock under any such plan in
the future or the redemption or repurchase of any such rights pursuant thereto,
(c) payments under the Preferred Securities Guarantee and (d) purchases of
common stock related to the issuance of common stock or rights under any of the
Company's benefit plans for its directors, officers or employees).

         5.7 COVENANTS AS TO THE TRUST. For so long as the Trust Securities of
the Trust remain outstanding, the Company will (i) maintain 100% direct or
indirect ownership of the Common Securities of the Trust; provided, however,
that any permitted successor of the Company under this Indenture may succeed to
the Company's ownership of the Common Securities, (ii) use its reasonable
efforts to cause the Trust (a) to remain a business trust, except in connection
with a distribution of Junior Subordinated Debentures, the redemption of all of
the Trust Securities of the Trust or certain mergers, consolidations or
amalgamations, each as permitted by the Trust Agreement, and (b) to otherwise
continue not to be treated as an association taxable as a corporation or
partnership for United States federal income tax purposes, and (iii)

                                       23

<PAGE>

to use its reasonable efforts to cause each Holder of Trust Securities to be
treated as owning an individual beneficial interest in the Junior Subordinated
Debentures.

         If the Junior Subordinated Debentures are to be issued as a Global
Subordinated Debenture in connection with the distribution of the Junior
Subordinated Debentures to the holders of the Preferred Securities issued by the
Trust upon a Dissolution Event, the Company will use its best efforts to list
such Junior Subordinated Debentures on the American Stock Exchange or on such
other exchange or quotation system as the Preferred Securities may then be
listed.

                                   ARTICLE VI

                       SECURITYHOLDERS' LISTS AND REPORTS
                         BY THE COMPANY AND THE TRUSTEE

         6.1 COMPANY TO FURNISH TRUSTEE NAMES AND ADDRESSES OF SECURITYHOLDERS.
The Company will furnish or cause to be furnished to the Trustee (a) on each
regular record date (as defined in Section 2.5(a)) a list, in such form as the
Trustee may reasonably require, of the names and addresses of the Holders as of
such regular record date, provided that the Company shall not be obligated to
furnish or cause to furnish such list at any time that the list shall not differ
in any respect from the most recent list furnished to the Trustee by the Company
and (b) at such other times as the Trustee may request in writing within 30 days
after the receipt by the Company of any such request, a list of similar form and
content as of a date not more than 15 days prior to the time such list is
furnished; provided, however, that, in either case, no such list need be
furnished if the Trustee shall be the Securities Registrar.

         6.2 PRESERVATION OF INFORMATION; COMMUNICATIONS WITH SECURITYHOLDERS.

         (a) The Trustee shall preserve, in as current a form as is reasonably
practicable, all information as to the names and addresses of the Holders
contained in the most recent list furnished to it as provided in Section 6.1 and
as to the names and addresses of Holders received by the Trustee in its capacity
as Securities Registrar (if acting in such capacity).

         (b) The Trustee may destroy any list furnished to it as provided in
Section 6.1 upon receipt of a new list so furnished.

         (c) Securityholders may communicate as provided in Section 312(b) of
the Trust Indenture Act with other Securityholders with respect to their rights
under this Indenture or under the Junior Subordinated Debentures.

                                       24

<PAGE>

         6.3 REPORTS BY THE COMPANY.

         (a) The Company covenants and agrees to file with the Trustee, within
15 days after the Company is required to file the same with the Commission,
copies of the annual reports and of the information, documents and other reports
(or copies of such portions of any of the foregoing as the Commission may from
time to time by rules and regulations prescribe) that the Company may be
required to file with the Commission pursuant to Section 13 or Section 15(d) of
the Exchange Act; or, if the Company is not required to file information,
documents or reports pursuant to either of such sections, then to file with the
Trustee and the Commission, in accordance with the rules and regulations
prescribed from time to time by the Commission, such of the supplementary and
periodic information, documents and reports that may be required pursuant to any
applicable rules and regulations of the Commission.

         (b) The Company covenants and agrees to file with the Trustee and the
Commission, in accordance with the rules and regulations prescribed from to time
by the Commission, such additional information, documents and reports with
respect to compliance by the Company with the conditions and covenants provided
for in this Indenture as may be required from time to time by such rules and
regulations.

         (c) The Company covenants and agrees to transmit by mail, first-class
postage prepaid, or reputable over-night delivery service that provides for
evidence of receipt, to the Securityholders, as their names and addresses appear
upon the Securities Register, within 30 days after the filing thereof with the
Trustee, such summaries of any information, documents and reports required to be
filed by the Company pursuant to subsections (a) and (b) of this Section as may
be required by rules and regulations prescribed from time to time by the
Commission.

         6.4 REPORTS BY THE TRUSTEE.

         (a) Beginning January 31, 2002, on or before January 31 in each year in
which any of the Junior Subordinated Debentures are Outstanding, the Trustee
shall transmit by mail, first class postage prepaid, to the Securityholders, as
their names and addresses appear upon the Securities Register, a brief report
dated as of the preceding December 31, if and to the extent required under
Section 313(a) of the Trust Indenture Act.

         (b) The Trustee shall comply with Section 313(b) and 313(c) of the
Trust Indenture Act.

         (c) A copy of each such report shall, at the time of such transmission
to Securityholders, be filed by the Trustee with the Company, and also with the
Commission.

                                       25

<PAGE>

                                   ARTICLE VII

REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT

         7.1 EVENTS OF DEFAULT.

         (a) Whenever used herein, "Event of Default" means any one or more of
the following events that has occurred and is continuing: (i) the Company
defaults in the payment of any installment of interest upon any of the Junior
Subordinated Debentures, as and when the same shall become due and payable, and
continuance of such default for a period of 30 days; provided, however, that a
valid extension of an interest payment period by the Company in accordance with
the terms of this Indenture shall not constitute a default in the payment of
interest for this purpose; (ii) the Company defaults in the payment of the
principal of any of the Junior Subordinated Debentures as and when the same
shall become due and payable whether at maturity, upon redemption, by
declaration or otherwise; (iii) the Company fails to observe or perform any
other of its covenants or agreements hereunder with respect to the Junior
Subordinated Debentures for a period of 90 days after the date on which written
notice of such failure, requiring the same to be remedied and stating that such
notice is a "Notice of Default" hereunder, shall have been given to the Company
by the Trustee, by registered or certified mail, or to the Company and the
Trustee by the Holders of at least 25% in principal amount of the Junior
Subordinated Debentures at the time Outstanding; (iv) the Company pursuant to or
within the meaning of any Bankruptcy Law (1) commences a voluntary case, (2)
consents to the entry of an order for relief against it in an involuntary case,
(3) consents to the appointment of a custodian of it or for all or substantially
all of its property or (4) makes a general assignment for the benefit of its
creditors; (v) a court of competent jurisdiction enters an order under any
Bankruptcy Law that (1) is for relief against the Company in an involuntary
case, (2) appoints a custodian of the Company for all or substantially all of
its property, or (3) orders the liquidation of the Company, and the order or
decree remains unstayed and in effect for 90 days; or (vi) in the event Junior
Subordinated Debentures are issued to the Trust or a trustee of the Trust in
connection with the issuance of Trust Securities by the Trust, the Trust shall
have voluntarily or involuntarily dissolved, wound-up its business or otherwise
terminated its existence, except in connection with (1) the distribution of
Junior Subordinated Debentures to holders of Trust Securities in liquidation of
their interests in the Trust, (2) the redemption of all of the outstanding Trust
Securities of the Trust or (3) certain mergers, consolidations or amalgamations,
each as permitted by the Trust Agreement.

         (b) In each and every such case, unless the principal of all the Junior
Subordinated Debentures shall have already become due and payable, either the
Trustee or the Holders of not less than 25% in aggregate principal amount of the
Junior Subordinated Debentures then Outstanding hereunder, by notice in writing
to the Company (and to the Trustee if given by such Securityholders) may declare
the principal of all the Junior Subordinated Debentures to be due and payable
immediately, and upon any such declaration the same shall become and shall be
immediately due

                                       26

<PAGE>

and payable, notwithstanding anything contained in this Indenture or in the
Junior Subordinated Debentures to the contrary.

         (c) At any time after the principal of the Junior Subordinated
Debentures shall have been so declared due and payable, and before any judgment
or decree for the payment of the moneys due shall have been obtained or entered
as hereinafter provided, the Holders of a majority in aggregate principal amount
of the Junior Subordinated Debentures then Outstanding, by written notice to the
Company and the Trustee, may rescind and annul such declaration and its
consequences if: (i) the Company has paid or deposited with the Trustee a sum
sufficient to pay all matured installments of interest upon all the Junior
Subordinated Debentures and the principal of any and all Junior Subordinated
Debentures that shall have become due otherwise than by acceleration (with
interest upon such principal and, to the extent that such payment is enforceable
under applicable law, upon overdue installments of interest, at the rate per
annum expressed in the Junior Subordinated Debentures to the date of such
payment or deposit) and the amount payable to the Trustee under Section 9.6, and
(ii) any and all Events of Default under this Indenture, other than the
nonpayment of principal on Junior Subordinated Debentures that shall not have
become due by their terms, shall have been remedied or waived as provided in
Section 7.6. Should the Holders fail to annul such declaration and waive such
default, then the holders of a majority in aggregate Liquidation Amount of the
Preferred Securities shall have such right.

         No such rescission and annulment shall extend to or shall affect any
subsequent default or impair any right consequent thereon.

         (d) In case the Trustee shall have proceeded to enforce any right with
respect to Junior Subordinated Debentures under this Indenture and such
proceedings shall have been discontinued or abandoned because of such rescission
or annulment or for any other reason or shall have been determined adversely to
the Trustee, then and in every such case the Company and the Trustee shall be
restored respectively to their former positions and rights hereunder, and all
rights, remedies and powers of the Company and the Trustee shall continue as
though no such proceedings had been taken.

         7.2 COLLECTION OF INDEBTEDNESS AND SUITS FOR ENFORCEMENT BY TRUSTEE.

         (a) The Company covenants that (i) in case it shall default in the
payment of any installment of interest on any of the Junior Subordinated
Debentures as and when the same shall have become due and payable, and such
default shall have continued for a period of 90 Business Days, or (ii) in case
it shall default in the payment of the principal of any of the Junior
Subordinated Debentures when the same shall have become due and payable, whether
upon maturity of the Junior Subordinated Debentures or upon redemption or upon
declaration or otherwise, then, upon demand of the Trustee, the Company will pay
to the Trustee, for the benefit of the Holders of the

                                       27

<PAGE>

Junior Subordinated Debentures, the whole amount that then shall have become due
and payable on all such Junior Subordinated Debentures for principal or
interest, or both, as the case may be, with interest upon the overdue principal
and (to the extent that payment of such interest is enforceable under applicable
law and, if the Junior Subordinated Debentures are held by the Trust or a
trustee of the Trust, without duplication of any other amounts paid by the Trust
or trustee in respect thereof) upon overdue installments of interest at the rate
per annum expressed in the Junior Subordinated Debentures; and, in addition
thereto, such further amount as shall be sufficient to cover the costs and
expenses of collection, and the amount payable to the Trustee under Section 9.6.

         (b) If the Company shall fail to pay such amounts forthwith upon such
demand, the Trustee, in its own name and as trustee of an express trust, shall
be entitled and empowered to institute any action or proceedings at law or in
equity for the collection of the sums so due and unpaid, and may prosecute any
such action or proceeding to judgment or final decree, and may enforce any such
judgment or final decree against the Company or other obligor upon the Junior
Subordinated Debentures and collect the moneys adjudged or decreed to be payable
in the manner provided by law out of the property of the Company or other
obligor upon the Junior Subordinated Debentures, wherever situated.

         (c) In case of any receivership, insolvency, liquidation, bankruptcy,
reorganization, readjustment, arrangement, composition or judicial proceedings
affecting the Company or the creditors or property of either, the Trustee shall
have power to intervene in such proceedings and take any action therein that may
be permitted by the court and shall (except as may be otherwise provided by law)
be entitled to file such proofs of claim and other papers and documents as may
be necessary or advisable in order to have the claims of the Trustee and of the
Holders of Junior Subordinated Debentures allowed for the entire amount due and
payable by the Company under this Indenture at the date of institution of such
proceedings and for any additional amount that may become due and payable by the
Company after such date, and to collect and receive any moneys or other property
payable or deliverable on any such claim, and to distribute the same after the
deduction of the amount payable to the Trustee under Section 9.6; and any
receiver, assignee or trustee in bankruptcy or reorganization is hereby
authorized by each of the Holders to make such payments to the Trustee, and, in
the event that the Trustee shall consent to the making of such payments directly
to such Securityholders, to pay to the Trustee any amount due it under Section
9.6.

         (d) All rights of action and of asserting claims under this Indenture
may be enforced by the Trustee without the possession of any of the Junior
Subordinated Debentures, or the production thereof at any trial or other
proceeding relative thereto, and any such suit or proceeding instituted by the
Trustee shall be brought in its own name as trustee of an express trust, and any
recovery of judgment shall, after provision for payment to the Trustee of any
amounts due under Section 9.6, be for the ratable benefit of the Holders of the
Junior Subordinated Debentures.

                                       28

<PAGE>

         In case of an Event of Default hereunder, the Trustee may in its
discretion proceed to protect and enforce the rights vested in it by this
Indenture by such appropriate judicial proceedings as the Trustee shall deem
most effectual to protect and enforce any of such rights, either at law or
inequity or in bankruptcy or otherwise, whether for the specific enforcement of
any covenant or agreement contained in this Indenture or in aid of the exercise
of any power granted in this Indenture, or to enforce any other legal or
equitable right vested in the Trustee by this Indenture or by law.

         Nothing contained herein shall be deemed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any Securityholder any
plan of reorganization, arrangement, adjustment or composition affecting the
Junior Subordinated Debentures or the rights of any Holder thereof or to
authorize the Trustee to vote in respect of the claim of any Securityholder in
any such proceeding.

         7.3 APPLICATION OF MONEYS COLLECTED. Any moneys collected by the
Trustee pursuant to this Article with respect to the Junior Subordinated
Debentures shall be applied in the following order, at the date or dates fixed
by the Trustee and, in case of the distribution of such moneys on account of
principal or interest, upon presentation of the Junior Subordinated Debentures,
and notation thereon the payment, if only partially paid, and upon surrender
thereof if fully paid:

         FIRST: To the payment of costs and expenses of collection and of all
amounts payable to the Trustee under Section 9.6;

         SECOND: To the payment of all Senior and Subordinated Debt of the
Company if and to the extent required by Article Sixteen; and

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

         7.4 LIMITATION ON SUITS. No Holder shall have any right by virtue of or
by availing any provision of this Indenture to institute any suit, action or
proceeding in equity or at law upon or under or with respect to this Indenture
or for the appointment of a receiver or trustee, or for any other remedy
hereunder, unless (i) such Holder previously shall have given to the Trustee
written notice of an Event of Default and of the continuance thereof; (ii) the
Holders of not less than 25% in aggregate principal amount of the Junior
Subordinated Debentures then Outstanding shall have made written request upon
the Trustee to institute such action, suit or proceeding in its own name as
trustee hereunder; (iii) such Holder or Holders shall have offered to the
Trustee such reasonable indemnity as it may require against the costs, expenses
and liabilities to be incurred therein or thereby; and (iv) the Trustee for 60
days after its receipt of such notice, request and offer of indemnity shall have
failed to institute any

                                       29

<PAGE>

such action, suit or proceeding; and (v) during such 60 day period, the Holders
of a majority in principal amount of the Junior Subordinated Debentures do not
give the Trustee a direction inconsistent with the request.

         Notwithstanding any other provisions of this Indenture to the contrary,
the right of any Holder to receive payment of the principal of and interest on
the Junior Subordinated Debentures on or after the respective due dates (or in
the case of redemption, on the redemption date), or to institute suit for the
enforcement of any such payment on or after such respective dates or redemption
date, shall not be impaired or affected without the consent of such Holder; and
by accepting a Junior Subordinated Debenture hereunder it is expressly
understood, intended and covenanted by the Holder thereof with every other such
Holder and the Trustee, that no one or more Holders shall have any right in any
manner whatsoever by virtue of or by availing any provision of this Indenture to
affect, disturb or prejudice the rights of any other Holders, or to obtain or
seek to obtain priority over or preference to any such other Holders, or to
enforce any right under this Indenture, except in the manner herein provide and
for the equal, ratable and common benefit of all Holders of Junior Subordinated
Debentures. For the protection and enforcement of the provisions of this
Section, each and every Securityholder and the Trustee shall be entitled to such
relief as can be given either at law or in equity.

         7.5 RIGHTS AND REMEDIES CUMULATIVE; DELAY OR OMISSION NOT WAIVER.

         (a) Except as otherwise provided in Section 7.2, all powers and
remedies given by this Article to the Trustee or to the Securityholders shall,
to the extent permitted by law, be deemed cumulative and not exclusive of any
other powers and remedies available to the Trustee or the Holders of the Junior
Subordinated Debentures, by judicial proceedings or otherwise, to enforce the
performance or observance of the covenants and agreements contained in this
Indenture or otherwise established with respect to such Junior Subordinated
Debentures.

         (b) No delay or omission of the Trustee or of any Holder of any of the
Junior Subordinated Debentures to exercise any right or power accruing upon any
Event of Default occurring and continuing as aforesaid shall impair any such
right or power, or shall be construed to be a waiver of any such default or on
acquiescence therein; and, subject to the provisions of Section 7.4, every power
and remedy given by this Article or by law to the Trustee or the Securityholders
may be exercised from time to time, and as often as shall be deemed expedient,
by the Trustee or by the Securityholders.

         7.6 CONTROL BY SECURITYHOLDERS. The Holders of a majority in aggregate
principal amount of the Junior Subordinated Debentures at the time Outstanding,
determined in accordance with Section 10.4, shall have the right to direct the
time, method and place of conducting any proceeding for any remedy available to
the Trustee, or exercising any trust or power conferred on the Trustee;
provided, however, that such direction shall not be in conflict with any rule of
law or with this

                                       30

<PAGE>

Indenture. Subject to the provisions of Section 9.1, the Trustee shall have the
right to decline to follow any such direction if the Trustee in good faith
shall, by a Responsible Officer or Officers of the Trustee, determine that the
proceeding so directed would involve the Trustee in personal liability. The
Holders of a majority in aggregate principal amount of the Junior Subordinated
Debentures at the time Outstanding affected thereby, determined in accordance
with Section 10.4, may on behalf of the Holders of all of the Junior
Subordinated Debentures waive any past default in the performance of any of the
covenants contained herein and its consequences, except (i) a default in the
payment of the principal of or interest on any of the Junior Subordinated
Debentures as and when the same shall become due by its terms otherwise than by
acceleration (unless such default has been cured and a sum sufficient to pay all
matured installments of interest and principal has been deposited with the
Trustee in accordance with Section 7.1(c)), (ii) a default in the covenants
contained in Section 5.6 or (iii) in respect of a covenant or provision hereof
which under Article Eleven cannot be modified or amended without the consent of
the Holder of each Outstanding Junior Subordinated Debenture affected; provided,
however, that if the Junior Subordinated Debentures are held by the Trust or a
Trustee of the Trust, such waiver or modification to such waiver shall not be
effective until the Holders of a majority in Liquidation Amount of Trust
Securities of the Trust shall have consented to such waiver or modification to
such waiver; provided further, that if the consent of the Holder of each
Outstanding Junior Subordinated Debenture is required, such waiver shall not be
effective until each Holder of the Trust Securities of the Trust shall have
consented to such waiver. Upon any such waiver, the default covered thereby
shall be deemed to be cured for all purposes of this Indenture and the Company,
the Trustee and the Holders of the Junior Subordinated Debentures shall be
restored to their former positions and rights hereunder, respectively; but no
such waiver shall extend to any subsequent or other default or impair any right
consequent thereon.

         7.7 UNDERTAKING TO PAY COSTS. All parties to this Indenture agree, and
each Holder of any Junior Subordinated Debentures by such Holder's acceptance
thereof shall be deemed to have agreed, that any court may in its discretion
require, in any suit for the enforcement of any right or remedy under this
Indenture, or in any suit against the Trustee for any action taken or omitted by
it as Trustee, the filing by any party litigant in such suit of an undertaking
to pay the costs of such suit, and that such court may in its discretion assess
reasonable costs, including reasonable attorneys' fees, against any party
litigant in such suit, having due regard to the merits and good faith of the
claims or defenses made by such party litigant; but the provisions of this
Section shall not apply to any suit instituted by the Trustee, to any suit
instituted by any Securityholder, or group of Securityholders, holding more than
10% in aggregate principal amount of the Outstanding Junior Subordinated
Debentures, or to any suit instituted by any Securityholder for the enforcement
of the payment of the principal of or interest on the Junior Subordinated
Debentures on or after the due dates thereof.

                                       31

<PAGE>

                                  ARTICLE VIII

            FORM OF JUNIOR SUBORDINATED DEBENTURE AND ORIGINAL ISSUE

         8.1 FORM OF JUNIOR SUBORDINATED DEBENTURE. The Junior Subordinated
Debenture and the Trustee's Certificate of Authentication to be endorsed thereon
are to be substantially in the forms contained as Exhibit A to this Indenture,
attached hereto and incorporated herein by reference.

         8.2 ORIGINAL ISSUE OF JUNIOR SUBORDINATED DEBENTURES. Junior
Subordinated Debentures in the aggregate principal amount of $____________ may,
upon execution of this Indenture, and a possible additional amount of up to
$____________ related to the Underwriters' Over-Allotment Option with respect to
the Preferred Securities may, upon exercise of the Underwriters' Over-Allotment
Option, be executed by the Company and delivered to the Trustee for
authentication, and the Trustee shall thereupon authenticate and deliver the
Junior Subordinated Debentures to or upon the written order of the Company,
signed by its Chairman, its President or any Vice President, without any further
action by the Company.

                                   ARTICLE IX

                             CONCERNING THE TRUSTEE

         9.1 CERTAIN DUTIES AND RESPONSIBILITIES OF THE TRUSTEE.

         (a) The Trustee, prior to the occurrence of an Event of Default and
after the curing of all Events of Default that may have occurred, shall
undertake to perform with respect to the Junior Subordinated Debentures such
duties and only such duties as are specifically set forth in this Indenture, and
no implied covenants shall be read into this Indenture against the Trustee. In
case an Event of Default has occurred (that has not been cured or waived), the
Trustee shall exercise such of the rights and powers vested in it by this
Indenture, and use the same degree of care and skill in their exercise as a
prudent man would exercise or use under the circumstances in the conduct of his
own affairs.

         (b) No provision of this Indenture shall be construed to relieve the
Trustee from liability for its own negligent action, its own negligent failure
to act, or its own willful misconduct, except that:

         (i) prior to the occurrence of an Event of Default and after the curing
or waiving of all such Events of Default that may have occurred: (1) the duties
and obligations of the Trustee shall be determined solely by the express
provisions of this Indenture, and the Trustee shall not be liable except for the
performance of such duties and obligations as are specifically set forth in this
Indenture, and no implied covenants or obligations shall be read into this
Indenture against the Trustee; and (2) in the absence of bad faith on the part
of the Trustee, the Trustee may conclusively rely, as to

                                       32

<PAGE>

the truth of the statements and the correctness of the opinions expressed
therein, upon any certificates or opinions furnished to the Trustee and
conforming to the requirements of this Indenture; but in the case of any such
certificates or opinions that by any provision hereof are specifically required
to be furnished to the Trustee, the Trustee shall be under a duty to examine the
same to determine whether or not they conform to the requirement of this
Indenture;

         (ii) the Trustee shall not be liable for any error of judgment made in
good faith by a Responsible Officer or Responsible Officers of the Trustee,
unless it shall be proved that the Trustee was negligent in ascertaining the
pertinent facts;

         (iii) the Trustee shall not be liable with respect to any action taken
or omitted to be taken by it in good faith in accordance with the direction of
the Holders of not less than a majority in principal amount of the Junior
Subordinated Debentures at the time Outstanding relating to the time, method and
place of conducting any proceeding for any remedy available to the Trustee, or
exercising any trust or power conferred upon the Trustee under this Indenture;
and

         (iv) none of the provisions contained in this Indenture shall require
the Trustee to expend or risk its own funds or otherwise incur personal
financial liability in the performance of any of its duties or in the exercise
of any of its rights or powers, if there is reasonable ground for believing that
the repayment of such funds or liability is not reasonably assured to it under
the terms of this Indenture or adequate indemnity against such risk is not
reasonably assured to it.

         9.2 CERTAIN RIGHTS OF TRUSTEE. Except as otherwise provided in Section
9.1:

         (a) The Trustee may rely and shall be protected in acting or refraining
from acting upon any resolution, certificate, statement, instrument, opinion,
report, notice, request, consent, order, approval, bond, security or other paper
or document believed by it to be genuine and to have been signed or presented by
the proper party or parties;

         (b) Any request, direction, order or demand of the Company mentioned
herein shall be sufficiently evidenced by a Board Resolution or an instrument
signed in the name of the Company by the Chairman, the President or any Vice
President and by the Secretary or an Assistant Secretary or the Chief Financial
Officer thereof (unless other evidence in respect thereof is specifically
prescribed herein);

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

         (d) The Trustee shall be under no obligation to exercise any of the
rights or powers vested in it by this Indenture at the request, order or
direction of any of the

                                       33

<PAGE>

Securityholders, pursuant to the provisions of this Indenture, unless such
Securityholders shall have offered to the Trustee reasonable security or
indemnity against the costs, expenses and liabilities that may be incurred
therein or thereby; nothing contained herein shall, however, relieve the Trustee
of the obligation, upon the occurrence of an Event of Default (that has not been
cured or waived) to exercise such of the rights and powers vested in it by this
Indenture, and to use the same degree of care and skill in their exercise as a
prudent man would exercise or use under the circumstances in the conduct of his
own affairs;

         (e) The Trustee shall not be liable for any action taken or omitted to
be taken by it in good faith and believed by it to be authorized or within the
discretion or rights or powers conferred upon it by this Indenture;

         (f) The Trustee shall not be bound to make any investigation into the
facts or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, consent, order, approval, bond, security, or
other papers or documents, unless requested in writing so to do by the Holders
of not less than a majority in principal amount of the Outstanding Junior
Subordinated Debentures (determined as provided in Section 10.4); provided,
however, that if the payment within a reasonable time to the Trustee of the
costs, expenses or liabilities likely to be incurred by it in the making of such
investigation is, in the opinion of the Trustee, not reasonably assured to the
Trustee by the security afforded to it by the terms of this Indenture, the
Trustee may require reasonable indemnity against such costs, expenses or
liabilities as a condition to so proceeding. The reasonable expense of every
such examination shall be paid by the Company or, if paid by the Trustee, shall
be repaid by the Company upon demand; and

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

         9.3 TRUSTEE NOT RESPONSIBLE FOR RECITALS OR ISSUANCE OF THE JUNIOR
SUBORDINATED DEBENTURES.

         (a) The recitals contained herein and in the Junior Subordinated
Debentures shall be taken as the statements of the Company and the Trustee
assumes no responsibility for the correctness of the same.

         (b) The Trustee makes no representations as to the validity or
sufficiency of this Indenture or of the Junior Subordinated Debentures.

         (c) The Trustee shall not be accountable for the use or application by
the Company of any of the Junior Subordinated Debentures or of the proceeds of
such Junior Subordinated Debentures, or for the use or application of any moneys
paid over

                                       34

<PAGE>

by the Trustee in accordance with any provision of this Indenture, or for the
use or application of any moneys received by any paying agent other than the
Trustee.

         9.4 MAY HOLD JUNIOR SUBORDINATED DEBENTURES. The Trustee or any paying
agent or Securities Registrar, in its individual or any other capacity, may
become the owner or pledgee of Junior Subordinated Debentures with the same
rights it would have if it were not Trustee, paying agent or Securities
Registrar.

         9.5 MONEYS HELD IN TRUST. Subject to the provisions of Section 13.5,
all moneys received by the Trustee shall, until used or applied as herein
provided, be held in trust for the purposes for which they were received, but
need not be segregated from other funds except to the extent required by law.
The Trustee shall be under no liability for interest on any moneys received by
it hereunder except such as it may agree with the Company to pay thereon.

         9.6 COMPENSATION AND REIMBURSEMENT.

         (a) The Company covenants and agrees to pay to the Trustee, and the
Trustee shall be entitled to, such reasonable compensation (which shall not be
limited by any provision of law in regard to the compensation of a trustee of an
express trust), as the Company and the Trustee may from time to time agree in
writing, for all services rendered by it in the execution of the trusts hereby
created and in the exercise and performance of any of the powers and duties
hereunder of the Trustee, and, except as otherwise expressly provided herein,
the Company will pay or reimburse the Trustee upon its request for all
reasonable expenses, disbursements and advances incurred or made by the Trustee
in accordance with any of the provisions of this Indenture (including the
reasonable compensation and the expenses and disbursements of its counsel and of
all Persons not regularly in its employ) except any such expense, disbursement
or advance as may arise from its negligence or bad faith. The Company also
covenants to indemnify the Trustee (and its officers, agents, directors and
employees) for, and to hold it harmless against, any loss, liability or expense
incurred without negligence or bad faith on the part of the Trustee and arising
out of or in connection with the acceptance or administration of this trust,
including the costs and expenses of defending itself against any claim of
liability in the premises.

         (b) The obligations of the Company under this Section to compensate and
indemnify the Trustee and to pay or reimburse the Trustee for expenses,
disbursements and advances shall constitute additional indebtedness hereunder.
Such additional indebtedness shall be secured by a lien prior to that of the
Junior Subordinated Debentures upon all property and funds held or collected by
the Trustee as such, except funds held in trust for the benefit of the Holders
of the Junior Subordinated Debentures.

         9.7 RELIANCE ON OFFICERS' CERTIFICATE. Except as otherwise provided in
Section 9.1, whenever in the administration of the provisions of this Indenture
the Trustee shall deem it necessary or desirable that a matter be proved or

                                       35

<PAGE>

established prior to taking or suffering or omitting to take any action
hereunder, such matter (unless other evidence in respect thereof be herein
specifically prescribed) may, in the absence of negligence or bad faith on the
part of the Trustee, be deemed to be conclusively proved and established by an
Officers' Certificate delivered to the Trustee and such certificate, in the
absence of negligence or bad faith on the part of the Trustee, shall be full
warrant to the Trustee for any action taken, suffered or omitted to be taken by
it under the provisions of this Indenture upon the faith thereof.

         9.8 DISQUALIFICATION; CONFLICTING INTERESTS. If the Trustee has or
shall acquire any "conflicting interest" within the meaning of Section 310(b) of
the Trust Indenture Act, the Trustee and the Company shall in all respects
comply with the provisions of Section 310(b) of the Trust Indenture Act.

         9.9 CORPORATE TRUSTEE REQUIRED; ELIGIBILITY. There shall at all times
be a Trustee with respect to the Junior Subordinated Debentures issued hereunder
which shall at all times be a corporation organized and doing business under the
laws of the United States of America or any state or territory thereof or of the
District of Columbia, or a corporation or other Person permitted to act as
trustee by the Commission, authorized under such laws to exercise corporate
trust powers, having a combined capital and surplus of at least $50,000,000, and
subject to supervision or examination by federal, state, territorial, or
District of Columbia authority. If such corporation publishes reports of
condition at least annually, pursuant to law or to the requirements of the
aforesaid supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such corporation shall be deemed to
be its combined capital and surplus as set forth in its most recent report of
condition so published. The Company may not, nor may any Person directly or
indirectly controlling, controlled by, or under common control with the Company,
serve as Trustee. In case at any time the Trustee shall cease to be eligible in
accordance with the provisions of this Section, the Trustee shall resign
immediately in the manner and with the effect specified in Section 9.10.

         9.10 RESIGNATION AND REMOVAL; APPOINTMENT OF SUCCESSOR.

         (a) The Trustee, or any successor hereafter appointed, may at any time
resign by giving written notice thereof to the Company and by transmitting
notice of resignation by mail, first-class postage prepaid, to the
Securityholders, as their names and addresses appear upon the Securities
Register. Upon receiving such notice of resignation, the Company shall promptly
appoint a successor trustee by written instrument, in duplicate, executed by
order of the Board of Directors, one copy of which instrument shall be delivered
to the resigning Trustee and one copy to the successor trustee. If no successor
trustee shall have been so appointed and have accepted appointment within 30
days after the mailing of such notice of resignation, the resigning Trustee may
petition any court of competent jurisdiction for the appointment of a successor
trustee, or any Securityholder who has been a bona fide Holder of Junior
Subordinated Debentures for at least six months may, subject to the provisions
of Section 7.7, on behalf of such Securityholder and all other Holders, petition
any such

                                       36

<PAGE>

court for the appointment of a successor trustee. Such court may thereupon,
after such notice, if any, as it may deem proper and prescribe, appoint a
successor trustee.

         (b) In case at any time any one of the following shall occur: (i) the
Trustee shall fail to comply with the provisions of Section 9.8 after written
request therefor by the Company or by any Securityholder who has been a bona
fide Holder of Junior Subordinated Debentures for at least six months; or (ii)
the Trustee shall cease to be eligible in accordance with the provisions of
Section 9.9 and shall fail to resign after written request therefor by the
Company or by any such Securityholder; or (iii) the Trustee shall become
incapable of acting, or shall be adjudged a bankrupt or insolvent, or commence a
voluntary bankruptcy proceeding, or a receiver of the Trustee or of its property
shall be appointed or consented to, or any public officer shall take charge or
control of the Trustee or of its property or affairs for the purpose of
rehabilitation, conservation or liquidation, then, in any such case, the Company
may remove the Trustee and appoint a successor trustee by written instrument, in
duplicate, executed by order of the Board of Directors, one copy of which
instrument shall be delivered to the Trustee so removed and one copy to the
successor trustee, or, subject to the provisions of Section 7.7, unless the
Trustee's duty to resign is stayed as provided herein, any Securityholder who
has been a bona fide Holder of Junior Subordinated Debentures for at least six
months may, on behalf of that Holder and all other Holders, petition any court
of competent jurisdiction for the removal of the Trustee and the appointment of
a successor trustee. Such court may thereupon after such notice, if any, as it
may deem proper and prescribe, remove the Trustee and appoint a successor
trustee.

         (c) The Holders of a majority in aggregate principal amount of the
Junior Subordinated Debentures at the time Outstanding may at any time remove
the Trustee by so notifying the Trustee and the Company and may appoint a
successor Trustee with the consent of the Company.

         (d) Any resignation or removal of the Trustee and appointment of a
successor trustee pursuant to any of the provisions of this Section shall become
effective upon acceptance of appointment by the successor trustee as provided in
Section 9.11.

         9.11 ACCEPTANCE OF APPOINTMENT BY SUCCESSOR.

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

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<PAGE>

         (b) Upon request of any such successor trustee, the Company shall
execute any and all instruments for more fully and certainly vesting in and
confirming to such successor trustee all such rights, powers and trusts referred
to in paragraph (a) of this Section.

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

         (d) Upon acceptance of appointment by a successor trustee as provided
in this Section, the Company shall transmit notice of the succession of such
trustee hereunder by mail, first-class postage prepaid, to the Securityholders,
as their names and addresses appear upon the Securities Register. If the Company
fails to transmit such notice within ten days after acceptance of appointment by
the successor trustee, the successor trustee shall cause such notice to be
transmitted at the expense of the Company.

         9.12 MERGER, CONVERSION, CONSOLIDATION OR SUCCESSION TO BUSINESS. Any
corporation into which the Trustee may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion or
consolidation to which the Trustee shall be a party, or any corporation
succeeding to the corporate trust business of the Trustee, shall be the
successor of the Trustee hereunder, provided that such corporation shall be
qualified and eligible under the provisions of this Article Nine, without the
execution or filing of any paper or any further act on the part of any of the
parties hereto, anything herein to the contrary notwithstanding. In case any
Junior Subordinated Debentures shall have been authenticated, but not delivered,
by the Trustee then in office, any successor by merger, conversion or
consolidation to such authenticating Trustee may adopt such authentication and
deliver the Junior Subordinated Debentures so authenticated with the same effect
as if such successor Trustee had itself authenticated such Junior Subordinated
Debentures.

         9.13 PREFERENTIAL COLLECTION OF CLAIMS AGAINST THE COMPANY. The Trustee
shall comply with Section 311(a) of the Trust Indenture Act, excluding any
creditor relationship described in Section 311(b) of the Trust Indenture Act. A
Trustee who has resigned or been removed shall be subject to Section 311(a) of
the Trust Indenture Act to the extent included therein.

         9.14 APPOINTMENT OF AUTHENTICATING AGENT. At any time when any of the
Junior Subordinated Debentures remain Outstanding, the Trustee may appoint an
Authenticating Agent or Agents which shall be authorized to act on behalf of the
Trustee to authenticate Junior Subordinated Debentures issued upon original
issuance, exchange, registration of transfer or partial redemption thereof or
pursuant to Section 2.8, and Junior Subordinated Debentures so authenticated
shall be entitled to the benefits of this Indenture and shall be valid and
obligatory for all purposes as if

                                       38

<PAGE>

authenticated by the Trustee hereunder. Wherever reference is made in this
Indenture to the authentication and delivery of Junior Subordinated Debentures
by the Trustee or the Trustee's certificate of authentication, such reference
shall be deemed to include authentication and delivery on behalf of the Trustee
by an Authenticating Agent and a certificate of authentication executed on
behalf of the Trustee by an Authenticating Agent. Each Authenticating Agent
shall be acceptable to the Company and shall at all times be a corporation
organized and doing business under the laws of the United States of America, any
state thereof or the District of Columbia, authorized under such laws to act as
Authenticating Agent, having a combined capital and surplus of not less than
$10,000,000 and subject to supervision or examination by federal or state
authority. If such Authenticating Agent publishes reports of condition at least
annually, pursuant to law or to the requirements of such supervision or
examining authority, for the purposes of this Section, the combined capital and
surplus of such Authenticating Agent shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published. If
at any time an Authenticating Agent shall cease to be eligible in accordance
with the provisions of this Section, such Authenticating Agent shall resign
immediately in the manner and with the effect specified in this Section.

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

         An Authenticating Agent may resign at any time by giving written notice
thereof to the Trustee and to the Company. The Trustee may at any time terminate
the agency of an Authenticating Agent by giving written notice thereof to such
Authenticating Agent and to the Company. Upon receiving such notice of
resignation or upon such termination, or in case at any time such Authenticating
Agent shall cease to be eligible in accordance with the provisions of this
Section, the Trustee may appoint a successor Authenticating Agent which shall be
acceptable to the Company and shall mail written notice of such appointment by
first-class mail, postage prepaid, to all Securityholders as their names and
addresses appear in the Securities Register. Any successor Authenticating Agent
upon acceptance of its appointment hereunder shall become vested with all the
rights, powers and duties of its predecessor hereunder, with the like effect as
if originally named as an Authenticating Agent herein. No successor
Authenticating Agent shall be appointed unless eligible under the provisions of
this Section.

         The Trustee agrees to pay to each Authenticating Agent from time to
time reasonable compensation for its services under this Section, and the
Trustee shall be entitled to be reimbursed for such payments, subject to the
provisions of Section 9.6.

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<PAGE>

         If an appointment is made pursuant to this Section, the Junior
Subordinated Debentures may have endorsed thereon, in lieu of the form of
certificate of authentication set forth in Section 8.1, a certificate of
authentication in the following form:

"This is one of the Junior Subordinated Debentures described in the within
mentioned Indenture."

                             ___________________________________________
                                   As Trustee

                             By:

                             ___________________________________________
                             As Authenticating Agent

                             By:

                             ___________________________________________
                             Authorized Signature

                                    ARTICLE X

                         CONCERNING THE SECURITYHOLDERS

         10.1 EVIDENCE OF ACTION BY SECURITYHOLDERS. Whenever in this Indenture
it is provided that the Holders of a majority or specified percentage in
aggregate principal amount of the Junior Subordinated Debentures may take any
action (including the making of any demand or request, the giving of any notice,
consent or waiver or the taking of any other action), the fact that at the time
of taking any such action the Holders of such majority or specified percentage
have joined therein may be evidenced by any instrument or any number of
instruments of similar tenor executed by such Holders in Person or by agent or
proxy appointed in writing.

         If the Company shall solicit from the Securityholders any request,
demand, authorization, direction, notice, consent, waiver or other action, the
Company may, at its option, as evidenced by an Officers' Certificate, fix in
advance a record date for the determination of Securityholders entitled to give
such request, demand, authorization, direction, notice, consent, waiver or other
action, but the Company shall have no

                                       40

<PAGE>

obligation to do so. If such a record date is fixed, such request, demand,
authorization, direction, notice, consent, waiver or other action may be given
before or after the record date, but only the Securityholders of record at the
close of business on the record date shall be deemed to be Securityholders for
the purposes of determining whether Securityholders of the requisite proportion
of Outstanding Junior Subordinated Debentures have authorized or agreed or
consented to such request, demand, authorization, direction, notice, consent,
waiver or other action, and for that purpose the Outstanding Junior Subordinated
Debentures shall be computed as of the record date; provided, however, that no
such authorization, agreement or consent by such Securityholders on the record
date shall be deemed effective unless it shall become effective pursuant to the
provisions of this Indenture not later than six months after the record date.

         10.2 PROOF OF EXECUTION BY SECURITYHOLDERS. Subject to the provisions
of Section 6.1, proof of the execution of any instrument by a Securityholder
(such proof will not require notarization) or his agent or proxy and proof of
the holding by any Person of any of the Junior Subordinated Debentures shall be
sufficient if made in the following manner:

         (a) The fact and date of the execution by any such Person of any
instrument may be proved in any reasonable manner acceptable to the Trustee.

         (b) The ownership of Junior Subordinated Debentures shall be proved by
the Securities Register or by a certificate of the Securities Registrar thereof.

         (c) The Trustee may require such additional proof of any matter
referred to in this Section as it shall deem necessary.

         10.3 WHO MAY BE DEEMED OWNERS. Prior to the due presentment for
registration of transfer of any Junior Subordinated Debenture, the Company, the
Trustee, any paying agent and any Securities Registrar may deem and treat the
Person in whose name such Junior Subordinated Debenture shall be registered upon
the books of the Company as the absolute owner of such Junior Subordinated
Debenture (whether or not such Junior Subordinated Debenture shall be overdue
and notwithstanding any notice of ownership or writing thereon made by anyone
other than the Securities Registrar) for the purpose of receiving payment of or
on account of the principal of and (subject to Section 2.3) interest on such
Junior Subordinated Debenture and for all other purposes; and neither the
Company nor the Trustee nor any paying agent nor any Securities Registrar shall
be affected by any notice to the contrary.

         10.4 CERTAIN JUNIOR SUBORDINATED DEBENTURES OWNED BY COMPANY
DISREGARDED. In determining whether the Holders of the requisite aggregate
principal amount of Junior Subordinated Debentures have concurred in any
direction, consent or waiver under this Indenture, the Junior Subordinated
Debentures that are owned by the Company or any other obligor on the Junior
Subordinated Debentures or by any Person directly or indirectly controlling or
controlled by or under

                                       41

<PAGE>

common control with the Company or any other obligor on the Junior Subordinated
Debentures shall be disregarded and deemed not to be Outstanding for the purpose
of any such determination, except that for the purpose of determining whether
the Trustee shall be protected in relying on any such direction, consent or
waiver, only Junior Subordinated Debentures that the Trustee actually knows are
so owned shall be so disregarded. The Junior Subordinated Debentures so owned
that have been pledged in good faith may be regarded as Outstanding for the
purposes of this Section, if the pledgee shall establish to the satisfaction of
the Trustee the pledgee's right with respect to such Junior Subordinated
Debentures and that the pledgee is not a Person directly or indirectly
controlling or controlled by or under direct or indirect common control with the
Company or any such other obligor. In case of a dispute as to such right, any
decision by the Trustee taken upon the advice of counsel shall be full
protection to the Trustee.

         10.5 ACTIONS BINDING ON FUTURE SECURITYHOLDERS. At any time prior to
(but not after) the evidencing to the Trustee, as provided in Section 10.1, of
the taking of any action by the Holders of the majority or percentage in
aggregate principal amount of the Junior Subordinated Debentures specified in
this Indenture in connection with such action, any Holder who is shown by the
evidence to have consented to such action may, by filing written notice with the
Trustee, and upon proof of holding as provided in Section 10.2, revoke such
action so far as concerns such Holder's Junior Subordinated Debentures. Except
as aforesaid any such action taken by the Holder shall be conclusive and
Holder's Junior Subordinated Debentures, and of any Junior Subordinated
Debentures issued in exchange therefor, on registration of transfer thereof or
in place thereof, irrespective of whether or not any notation in regard thereto
is made upon such Junior Subordinated Debentures. Any action taken by the
Holders of the majority or percentage in aggregate principal amount of the
Junior Subordinated Debentures specified in this Indenture in connection with
such action shall be conclusively binding upon the Company, the Trustee and the
Holders of all the Junior Subordinated Debentures.

                                   ARTICLE XI

                             SUPPLEMENTAL INDENTURES

         11.1 SUPPLEMENTAL INDENTURES WITHOUT THE CONSENT OF SECURITYHOLDERS. In
addition to any supplemental indenture otherwise authorized by this Indenture,
the Company and the Trustee may from time to time and at any time enter into an
indenture or indentures supplemental hereto (which shall conform to the
provisions of the Trust Indenture Act as then in effect), without the consent of
the Securityholders, for one or more of the following purposes:

         (a) to cure any ambiguity, defect, or inconsistency herein, or in the
Junior Subordinated Debentures, provided that any such action does not
materially adversely affect the interests of the Holders or the holders of the
Preferred Securities so long as they remain outstanding;

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<PAGE>

         (b) to comply with Article Twelve;

         (c) to provide for uncertificated Junior Subordinated Debentures in
addition to or in place of certificated Junior Subordinated Debentures;

         (d) to add to the covenants of the Company for the benefit of the
Holders or to surrender any right or power herein conferred upon the Company;

         (e) to add to, delete from, or revise the conditions, limitations, and
restrictions on the authorized amount, terms, or purposes of issue,
authentication, and delivery of Junior Subordinated Debentures, as herein set
forth;

         (f) to make any change that does not adversely affect the rights of any
Securityholder in any material respect; or

         (g) to establish the form of any certifications required to be
furnished pursuant to the terms of this Indenture or to add to the rights of the
Holders.

         The Trustee is hereby authorized to join with the Company in the
execution of any such supplemental indenture, and to make any further
appropriate agreements and stipulations that may be therein contained, but the
Trustee shall not be obligated to enter into any such supplemental indenture
that affects the Trustee's own rights, duties or immunities under this Indenture
or otherwise.

         Any supplemental indenture authorized by the provisions of this Section
may be executed by the Company and the Trustee without the consent of the
Holders of any of the Junior Subordinated Debentures at the time Outstanding,
notwithstanding any of the provisions of Section 11.2.

         11.2 SUPPLEMENTAL INDENTURES WITH CONSENT OF SECURITYHOLDERS. With the
consent (evidenced as provided in Section 10.1) of the Holders of not less than
a majority in aggregate principal amount of the Junior Subordinated Debentures
at the time Outstanding, the Company, when authorized by Board Resolutions, and
the Trustee may from time to time and at any time enter into an indenture or
indentures supplemental hereto (which shall conform to the provisions of the
Trust Indenture Act as then in effect) for the purpose of adding any provisions
to or changing in any manner or eliminating any of the provisions of this
Indenture or of any supplemental indenture or of modifying in any manner not
covered by Section 11.1 the rights of the Holders of the Junior Subordinated
Debentures under this Indenture; provided, however, that no such supplemental
indenture shall without the consent of the Holders of each Junior Subordinated
Debenture then Outstanding, (i) change (except as expressly provided herein
pursuant to Section 2.2) the stated maturity of the Junior Subordinated
Debentures or reduce the principal amount thereof; or reduce the rate or extend
(except as expressly provided herein pursuant to Section 4.1) the time of
payment of interest thereon; or (ii) reduce the percentage of principal amount
of Junior Subordinated Debentures, the Holders of which are required to consent
to any such

                                       43

<PAGE>

supplemental indenture; provided, further, that if the Junior Subordinated
Debentures are held by the Trust or a trustee of the Trust, such supplemental
indenture shall not be effective until the holders of a majority in aggregate
Liquidation Amount of Preferred Securities shall have consented to such
supplemental indenture; provided further, that if the consent of the Holder of
each Outstanding Junior Subordinated Debenture is required, such supplemental
indenture shall not be effective until each Holder of the Trust Securities shall
have consented to such supplemental indenture.

         It shall not be necessary for the consent of the Securityholders to
approve the particular form of any proposed supplemental indenture, but it shall
be sufficient if such consent shall approve the substance thereof.

         11.3 EFFECT OF SUPPLEMENTAL INDENTURES. Upon the execution of any
supplemental indenture pursuant to the provisions of this Article or of Section
12.1, this Indenture shall be deemed to be modified and amended in accordance
therewith.

         11.4 JUNIOR SUBORDINATED DEBENTURES AFFECTED BY SUPPLEMENTAL
INDENTURES. Junior Subordinated Debentures, affected by a supplemental
indenture, authenticated and delivered after the execution of such supplemental
indenture pursuant to the provisions of this Article or of Section 12.1, may
bear a notation in form approved by the Company, as to any matter provided for
in such supplemental indenture. If the Company shall so determine, new Junior
Subordinated Debentures so modified as to conform, in the opinion of the Board
of Directors, to any modification of this Indenture contained in any such
supplemental indenture may be prepared by the Company, authenticated by the
Trustee and delivered in exchange for the Junior Subordinated Debentures then
Outstanding.

         11.5 EXECUTION OF SUPPLEMENTAL INDENTURES. Upon the request of the
Company, accompanied by Board Resolutions authorizing the execution of any such
supplemental indenture, and upon the filing with the Trustee of evidence of the
consent of Securityholders required to consent thereto as aforesaid, the Trustee
shall join with the Company in the execution of such supplemental indenture
unless such supplemental indenture affects the Trustee's own rights, duties or
immunities under this Indenture or otherwise, in which case the Trustee may in
its discretion but shall not be obligated to enter into such supplemental
indenture. The Trustee, subject to the provisions of Section 9.1, may receive an
Opinion of Counsel as conclusive evidence that any supplemental indenture
executed pursuant to this Article is authorized or permitted by, and conforms
to, the terms of this Article and that it is proper for the Trustee under the
provisions of this Article to join in the execution thereof.

         Promptly after the execution by the Company and the Trustee of any
supplemental indenture pursuant to the provisions of this Section, the Trustee
shall transmit by mail, first-class postage prepaid, a notice, setting forth in
general terms the substance of such supplemental indenture, to the
Securityholders as their names and addresses appear upon the Securities
Register. Any failure of the Trustee to mail such

                                       44

<PAGE>

notice, or any defect therein, shall not, however, in any way impair or affect
the validity of any such supplemental indenture.

                                   ARTICLE XII

                              SUCCESSOR CORPORATION

         12.1 COMPANY MAY CONSOLIDATE, ETC. The Company shall not consolidate
with or merge into any other Person or convey, transfer or lease its properties
and assets substantially as an entirety to any Person, and no Person shall
consolidate with or merge into the Company or convey, transfer or lease its
properties and assets substantially as an entirety to the Company, unless (i) in
case the Company consolidates with or merges into another Person or conveys or
transfers its properties and assets substantially as an entirety to any Person,
the successor Person is organized under the laws of the United States or any
state or the District of Columbia, and such successor Person expressly assumes
the Company's obligations on the Junior Subordinated Debentures issued under
this Indenture; (ii) immediately after giving effect thereto, no Event of
Default, and no event which, after notice or lapse of time or both, would become
an Event of Default, shall have occurred and be continuing; and (iii) such
successor Person expressly assumes the due and punctual performance and
observance of all the covenants and conditions of this Indenture to be kept and
performed by the Company by executing and delivering a supplemental indenture in
form and substance satisfactory to the Trustee.

         12.2 SUCCESSOR SUBSTITUTED.

         (a) In case of any such consolidation, merger, sale, conveyance,
transfer or other disposition and upon the assumption by the successor Person by
supplemental indenture, executed and delivered to the Trustee and satisfactory
in form to the Trustee, of the due and punctual payment of the principal of and
interest on all of the Junior Subordinated Debentures Outstanding and the due
and punctual performance of all of the covenants and conditions of this
Indenture to be performed by the Company, such successor Person shall succeed to
and be substituted for the Company, with the same effect as if it had been named
as the Company herein, and thereupon the predecessor corporation shall be
relieved of all obligations and covenants under this Indenture and the Junior
Subordinated Debentures.

         (b) In case of any such consolidation, merger, sale, conveyance,
transfer or other disposition such changes in phraseology and form (but not in
substance) may be made in the Junior Subordinated Debentures thereafter to be
issued as may be appropriate.

         12.3 EVIDENCE OF CONSOLIDATION, ETC., TO TRUSTEE. The Trustee, subject
to the provisions of Section 9.1, may receive an Opinion of Counsel as
conclusive evidence that any such consolidation, merger, sale, conveyance,
transfer or other disposition, and any such assumption, comply with the
provisions of this Article.

                                       45

<PAGE>

                                  ARTICLE XIII

                           SATISFACTION AND DISCHARGE

         13.1 SATISFACTION AND DISCHARGE OF INDENTURE. If at any time: (a) the
Company shall have delivered to the Trustee for cancellation all Junior
Subordinated Debentures theretofore authenticated (other than any Junior
Subordinated Debentures that shall have been destroyed, lost or stolen and that
shall have been replaced or paid as provided in Section 2.8) and Junior
Subordinated Debentures for whose payment money or Governmental Obligations have
theretofore been deposited in trust or segregated and held in trust by the
Company (and thereupon repaid to the Company or discharged from such trust, as
provided in Section 13.5); or (b) all such Junior Subordinated Debentures not
theretofore delivered to the Trustee for cancellation shall have become due and
payable, or are by their terms to become due and payable within one year or are
to be called for redemption within one year under arrangements satisfactory to
the Trustee for the giving of notice of redemption, and the Company shall
deposit or cause to be deposited with the Trustee as trust funds the entire
amount in moneys or Governmental Obligations sufficient or a combination thereof
sufficient, in the opinion of a nationally recognized firm of independent public
accountants expressed in a written certification thereof delivered to the
Trustee, to pay at maturity or upon redemption all Junior Subordinated
Debentures not theretofore delivered to the Trustee for cancellation, including
principal and interest due or to become due to such date of maturity or date
fixed for redemption, as the case may be, and if the Company shall also pay or
cause to be paid all other sums payable hereunder by the Company; then this
Indenture shall thereupon cease to be of further effect except for the
provisions of Sections 2.2, 2.3, 2.4, 2.5, 4.1, 4.2, 4.3 and 9.10, that shall
survive until the date of maturity or redemption date, as the case may be, and
Sections 9.6 and 13.5, that shall survive to such date and thereafter, and the
Trustee, on demand of the Company and at the cost and expense of the Company,
shall execute proper instruments acknowledging satisfaction of and discharging
this Indenture.

         13.2 DISCHARGE OF OBLIGATIONS. If at any time all such Junior
Subordinated Debentures not theretofore delivered to the Trustee for
cancellation or that have not become due and payable as described in Section
13.1 shall have been paid by the Company by depositing irrevocably with the
Trustee, as trust funds, moneys or an amount of Governmental Obligations
sufficient to pay at maturity or upon redemption all such Junior Subordinated
Debentures not theretofore delivered to the Trustee for cancellation, including
principal and interest due or to become due to such date of maturity or date
fixed for redemption, as the case may be, and if the Company shall also pay or
cause to be paid all other sums payable hereunder by the Company, then after the
date such moneys or Governmental Obligations, as the case may be, are deposited
with the Trustee the obligations of the Company under this Indenture shall cease
to be of further effect except for the provisions of Sections 2.2, 2.3, 2.4,
2.5, 4.1,

                                       46

<PAGE>

4.2, 4.3, 9.6, 9.10 and 13.5 hereof that shall survive until such Junior
Subordinated Debentures shall mature and be paid. Thereafter, Sections 9.6 and
13.5 shall survive.

         13.3 DEPOSITED MONEYS TO BE HELD IN TRUST. All monies or Governmental
Obligations deposited with the Trustee pursuant to Sections 13.1 or 13.2 shall
be held in trust and shall be available for payment as due, either directly or
through any paying agent (including the Company acting as its own paying agent),
to the Holders of the Junior Subordinated Debentures for the payment or
redemption of which such moneys or Governmental Obligations have been deposited
with the Trustee.

         13.4 PAYMENT OF MONIES HELD BY PAYING AGENTS. In connection with the
satisfaction and discharge of this Indenture all moneys or Governmental
Obligations then held by any paying agent under the provisions of this Indenture
shall, upon demand of the Company, be paid to the Trustee and thereupon such
paying agent shall be released from all further liability with respect to such
moneys or Governmental Obligations.

         13.5 REPAYMENT TO COMPANY. Any monies or Governmental Obligations
deposited with any paying agent or the Trustee, or then held by the Company in
trust for payment of principal of or interest on the Junior Subordinated
Debentures that are not applied but remain unclaimed by the Holders of such
Junior Subordinated Debentures for at least two years after the date upon which
the principal of or interest on such Junior Subordinated Debentures shall have
respectively become due and payable, shall be repaid to the Company on
__________________ of each year or (if then held by the Company) shall be
discharged from such trust; and thereupon the paying agent and the Trustee shall
be released from all further liability with respect to such moneys or
Governmental Obligations, and the Holder of any of the Junior Subordinated
Debentures entitled to receive such payment shall thereafter, as an unsecured
general creditor, look only to the Company for the payment thereof.

                                   ARTICLE XIV

                           IMMUNITY OF INCORPORATORS,
                      STOCKHOLDERS, OFFICERS AND DIRECTORS

         14.1 NO RECOURSE. No recourse under or upon any obligation, covenant or
agreement of this Indenture, or of any Junior Subordinated Debenture, or for any
claim based thereon or otherwise in respect thereof, shall be had against any
incorporator, stockholder, officer or director as such, past, present or future,
of the Company or of any predecessor or successor corporation, either directly
or through the Company or any such predecessor or successor corporation, whether
by virtue of any constitution, statute or rule of law, or by the enforcement of
any assessment or penalty or otherwise; it being expressly understood that this
Indenture and the obligations issued hereunder are solely corporate obligations,
and that no such personal liability whatever shall attach to, or is or shall be
incurred by, the incorporators, stockholders, officers or

                                       47

<PAGE>

directors as such, of the Company or of any predecessor or successor
corporation, or any of them, because of the creation of the indebtedness hereby
authorized, or under or by reason of the obligations, covenants or agreements
contained in this Indenture or in any of the Junior Subordinated Debentures or
implied therefrom; and that any and all such personal liability of every name
and nature, either at common law or in equity or by constitution or statute, of,
and any and all such rights and claims against, every such incorporator,
stockholder, officer or director as such, because of the creation of the
indebtedness hereby authorized, or under or by reason of the obligations,
covenants or agreements contained in this Indenture or in any of the Junior
Subordinated Debentures or implied therefrom, are hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this
Indenture and the issuance of such Junior Subordinated Debentures.

                                   ARTICLE XV

                            MISCELLANEOUS PROVISIONS

         15.1 EFFECT ON SUCCESSORS AND ASSIGNS. All the covenants, stipulations,
promises and agreements in this Indenture contained by or on behalf of the
Company or the Trustee shall bind their respective successors and assigns,
whether so expressed or not.

         15.2 ACTIONS BY SUCCESSOR. Any act or proceeding by any provision of
this Indenture authorized or required to be done or performed by any board,
committee or officer of the Company shall and may be done and performed with
like force and effect by the corresponding board, committee or officer of any
corporation that shall at the time be the lawful sole successor of the Company.

         15.3 SURRENDER OF COMPANY POWERS. The Company by instrument in writing
executed by authority of 2/3 (two-thirds) of its Board of Directors and
delivered to the Trustee may surrender any of the powers reserved to the
Company, and thereupon such power so surrendered shall terminate both as to the
Company and as to any successor corporation.

         15.4 NOTICES. Except as otherwise expressly provided herein any notice
or demand that by any provision of this Indenture is required or permitted to be
given or served by the Trustee or by the Holders of Junior Subordinated
Debentures to or on the Company may be given or served by being deposited
first-class postage prepaid in a post-office letterbox addressed (until another
address is filed in writing by the Company with the Trustee), as follows: c/o
Spectrum Bancorporation, Inc., 10834 Old Mill Road, Suite One, Omaha, Nebraska
68154-2648 Attention: President. Any notice, election, request or demand by the
Company or any Securityholder to or upon the Trustee shall be deemed to have
been sufficiently given or made, for all purposes, if given or made in writing
at the Corporate Trust Office of the Trustee.

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<PAGE>

         15.5 GOVERNING LAW. This Indenture and each Junior Subordinated
Debenture shall be deemed to be a contract made under the internal laws of the
State of Iowa and for all purposes shall be construed in accordance with the
laws of said state, provided that the immunities and the standard of care of the
Trustee shall be governed by Delaware law.

         15.6 TREATMENT OF JUNIOR SUBORDINATED DEBENTURES AS DEBT. It is
intended that the Junior Subordinated Debentures will be treated as indebtedness
and not as equity for federal income tax purposes. The provisions of this
Indenture shall be interpreted to further this intention.

         15.7 COMPLIANCE CERTIFICATES AND OPINIONS.

         (a) Upon any application or demand by the Company to the Trustee to
take any action under any of the provisions of this Indenture, the Company shall
furnish to the Trustee an Officers' Certificate stating that all conditions
precedent provided for in this Indenture relating to the proposed action have
been complied with and an Opinion of Counsel stating that in the opinion of such
counsel all such conditions precedent have been complied with, except that in
the case of any such application or demand as to which the furnishing of such
documents is specifically required by any provision of this Indenture relating
to such particular application or demand, no additional certificate or opinion
need be furnished.

         (b) Every certificate or opinion delivered to the Trustee with respect
to compliance with a condition or covenant in this Indenture shall include (1) a
statement that the Person making such certificate or opinion has read such
covenant or condition; (2) a brief statement as to the nature and scope of the
examination or investigation upon which the statements or opinions contained in
such certificate or opinion are based; (3) a statement that, in the opinion of
such Person, such Person has made such examination or investigation as is
necessary to enable such Person to express an informed opinion as to whether or
not such covenant or condition has been complied with; and (4) a statement as to
whether or not, in the opinion of such Person, such condition or covenant has
been complied with.

         15.8 PAYMENTS ON BUSINESS DAYS. In any case where the date of maturity
of interest or principal of the Junior Subordinated Debentures or the date of
redemption of the Junior Subordinated Debentures shall not be a Business Day,
then payment of interest or principal will be made on the next succeeding
Business Day (without any additional interest or other payment in respect of any
such delay), except that, if such Business Day is in the next succeeding
calendar year, such payment shall be made on the immediately preceding Business
Day, in each case with the same force and effect as if made on the date such
payment was originally payable.

         15.9 CONFLICT WITH TRUST INDENTURE ACT. If and to the extent that any
provision of this Indenture limits, qualifies or conflicts with the duties
imposed by

                                       49

<PAGE>

Sections 310 to 317, inclusive, of the Trust Indenture Act, such imposed duties
shall control.

         15.10 COUNTERPARTS. This Indenture may be executed in any number of
counterparts, each of which shall be an original, but such counterparts shall
together constitute but one and the same instrument.

         15.11 SEPARABILITY. In case any one or more of the provisions contained
in this Indenture or in the Junior Subordinated Debentures shall for any reason
be held to be invalid, illegal or unenforceable in any respect, such invalidity,
illegality or unenforceability shall not affect any other provisions of this
Indenture or of the Junior Subordinated Debentures, but this Indenture and the
Junior Subordinated Debentures shall be construed as if such invalid or illegal
or unenforceable provision had never been contained herein or therein.

         15.12 ASSIGNMENT. The Company will have the right at all times to
assign any of its respective rights or obligations under this Indenture to a
direct or indirect wholly-owned Subsidiary of the Company, provided that, in the
event of any such assignment, the Company will remain liable for all such
obligations. Subject to the foregoing, this Indenture is binding upon and inures
to the benefit of the parties thereto and their respective successors and
assigns. This Indenture may not otherwise be assigned by the parties hereto.

         15.13 ACKNOWLEDGMENT OF RIGHTS. The Company acknowledges that, with
respect to any Junior Subordinated Debentures held by the Trust or a trustee of
the Trust, if the Property Trustee of the Trust fails to enforce its rights
under this Indenture as the Holder of the Junior Subordinated Debentures held as
the assets of the Trust, any holder of Preferred Securities may institute legal
proceedings directly against the Company to enforce such Property Trustee's
rights under this Indenture without first instituting any legal proceedings
against such Property Trustee or any other Person or entity. Notwithstanding the
foregoing, if an Event of Default has occurred and is continuing and such event
is attributable to the failure of the Company to pay interest or principal on
the Junior Subordinated Debentures on the date such interest or principal is
otherwise payable (or in the case of redemption, on the redemption date), the
Company acknowledges that a holder of Preferred Securities may directly
institute a proceeding for enforcement of payment to such holder of the
principal of or interest on the Junior Subordinated Debentures having a
principal amount equal to the aggregate Liquidation Amount of the Preferred
Securities of such holder on or after the respective due date specified in the
Junior Subordinated Debentures. This Section 15.13 may not be amended without
the prior written consent of the holders of all of the Preferred Securities.

                                       50

<PAGE>

                                   ARTICLE XVI

                 SUBORDINATION OF JUNIOR SUBORDINATED DEBENTURES

         16.1 AGREEMENT TO SUBORDINATE. The Company covenants and agrees, and
each Holder of Junior Subordinated Debentures issued hereunder by such Holder's
acceptance thereof likewise covenants and agrees, that all Junior Subordinated
Debentures shall be issued subject to the provisions of this Article Sixteen;
and each Holder, whether upon original issue or upon transfer or assignment
thereof, accepts and agrees to be bound by such provisions.

         The payment by the Company of the principal of and interest on all
Junior Subordinated Debentures issued hereunder shall, to the extent and in the
manner hereinafter set forth, be subordinated and junior in right of payment to
the prior payment in full of all Senior and Subordinated Debt, whether
outstanding at the date of this Indenture or thereafter incurred.

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

         16.2 DEFAULT ON SENIOR AND SUBORDINATED DEBT. In the event and during
the continuation of any default by the Company in the payment of principal,
premium, interest or any other payment due on any Senior and Subordinated Debt
of the Company or in the event that the maturity of any Senior and Subordinated
Debt of the Company has been accelerated because of a default, then, in either
case, no payment shall be made by the Company with respect to the principal of
or interest on the Junior Subordinated Debentures.

         In the event that, notwithstanding the foregoing, any payment shall be
received by the Trustee when such payment is prohibited by the preceding
paragraph of this Section 16.2, such payment shall be held in trust for the
benefit of, and shall be paid over or delivered to, the holders of Senior and
Subordinated Debt or their respective representatives, or to the trustee or
trustees under any indenture pursuant to which any of such Senior and
Subordinated Debt may have been issued, as their respective interests may
appear, but only to the extent that the holders of the Senior and Subordinated
Debt (or their representative or representatives or a trustee) notify the
Trustee in writing within 90 days of such payment of the amounts then due and
owing on the Senior and Subordinated Debt and only the amounts specified in such
notice to the Trustee shall be paid to the holders of Senior and Subordinated
Debt.

         16.3 LIQUIDATION; DISSOLUTION; BANKRUPTCY. Upon any payment by the
Company or distribution of assets of the Company of any kind or character,
whether in cash, property or securities, to creditors upon any dissolution or
winding-up or liquidation or reorganization of the Company, whether voluntary or
involuntary or in bankruptcy, insolvency, receivership or other proceedings, all
amounts due upon all Senior and Subordinated Debt of the Company shall first be
paid in full, or payment

                                       51

<PAGE>

thereof provided for in money in accordance with its terms, before any payment
is made by the Company on account of the principal or interest on the Junior
Subordinated Debentures; and upon any such dissolution or winding-up or
liquidation or reorganization, any payment by the Company, or distribution of
assets of the Company of any kind or character, whether in cash, property or
securities, to which the Holders or the Trustee would be entitled to receive
from the Company, except for the provisions of this Article Sixteen, shall be
paid by the Company or by any receiver, trustee in bankruptcy, liquidating
trustee, agent or other Person making such payment or distribution, or by the
Holders or by the Trustee under the Indenture if received by them or it,
directly to the holders of Senior and Subordinated Debt of the Company (pro rata
to such holders on the basis of the respective amounts of Senior and
Subordinated Debt held by such holders, as calculated by the Company) or their
representative or representatives, or to the trustee or trustees under any
indenture pursuant to which any instruments evidencing such Senior and
Subordinated Debt may have been issued, as their respective interests may
appear, to the extent necessary to pay such Senior and Subordinated Debt in
full, in money or money's worth, after giving effect to any concurrent payment
or distribution to or for the holders of such Senior and Subordinated Debt,
before any payment or distribution is made to the Holders or to the Trustee.

         In the event that, notwithstanding the foregoing, any payment or
distribution of assets of the Company of any kind or character, whether in cash,
property or securities, prohibited by the foregoing, shall be received by the
Trustee before all Senior and Subordinated Debt of the Company is paid in full,
or provision is made for such payment in money in accordance with its terms,
such payment or distribution shall be held in trust for the benefit of and shall
be paid over or delivered to the holders of such Senior and Subordinated Debt or
their representative or representatives, or to the trustee or trustees under any
indenture pursuant to which any instruments evidencing such Senior and
Subordinated Debt may have been issued, and their respective interests may
appear, as calculated by the Company, for application to the payment of all
Senior and Subordinated Debt of the Company, as the case may be, remaining
unpaid to the extent necessary to pay such Senior and Subordinated Debt in full
in money in accordance with its terms, after giving effect to any concurrent
payment or distribution to or for the benefit of the holders of such Senior and
Subordinated Debt.

         For purposes of this Article Sixteen, the words "cash, property or
securities" shall not be deemed to include shares of stock of the Company as
reorganized or readjusted, or securities of the Company or any other corporation
provided for by a plan of reorganization or readjustment, the payment of which
is subordinated at least to the extent provided in this Article Sixteen with
respect to the Junior Subordinated Debentures to the payment of all Senior and
Subordinated Debt of the Company, as the case may be, that may at the time be
outstanding, provided that (i) such Senior and Subordinated Debt is assumed by
the new corporation, if any, resulting from any such reorganization or
readjustment, and (ii) the rights of the holders of such Senior and Subordinated
Debt are not, without the consent of such holders, altered by such
reorganization or readjustment. The consolidation of the Company with, or the
merger

                                       52

<PAGE>

of the Company into, another corporation or the liquidation or dissolution of
the Company following the conveyance or transfer of its property as an entirety,
or substantially as an entirety, to another corporation upon the terms and
conditions provided for in Article Twelve of this Indenture shall not be deemed
a dissolution, winding-up, liquidation or reorganization for the purposes of
this Section 16.3 if such other corporation shall, as a part of such
consolidation, merger, conveyance or transfer, comply with the conditions stated
in Article Twelve of this Indenture. Nothing in Section 16.2 or in this Section
16.3 shall apply to claims of, or payments to, the Trustee under or pursuant to
Section 9.6 of this Indenture.

         16.4 SUBROGATION. Subject to the payment in full of all Senior and
Subordinated Debt of the Company, the rights of the Holders of the Junior
Subordinated Debentures shall be subrogated to the rights of the holders of such
Senior and Subordinated Debt to receive payments or distributions of cash,
property or securities of the Company, as the case may be, applicable to such
Senior and Subordinated Debt until the principal of and interest on the Junior
Subordinated Debentures shall be paid in full; and, for the purposes of such
subrogation, no payments or distributions to the holders of such Senior and
Subordinated Debt of any cash, property or securities to which the Holders of
the Junior Subordinated Debentures or the Trustee would be entitled except for
the provisions of this Article Sixteen, and no payment over pursuant to the
provisions of this Article Sixteen to or for the benefit of the holders of such
Senior and Subordinated Debt by Holders of the Junior Subordinated Debentures or
the Trustee, shall, as between the Company, its creditors other than holders of
Senior and Subordinated Debt of the Company, and the Holders of the Junior
Subordinated Debentures, be deemed to be a payment by the Company to or on
account of such Senior and Subordinated Debt. It is understood that the
provisions of this Article Sixteen are and are intended solely for the purposes
of defining the relative rights of the Holders of the Junior Subordinated
Debentures, on the one hand, and the holders of such Senior and Subordinated
Debt on the other hand.

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

                                       53

<PAGE>

         Upon any payment or distribution of assets of the Company referred to
in this Article Sixteen, the Trustee, subject to the provisions of Section 9.1,
and the Holders of the Junior Subordinated Debentures shall be entitled to
conclusively rely upon any order or decree made by any court of competent
jurisdiction in which such dissolution, winding-up, liquidation or
reorganization proceedings are pending, or a certificate of the receiver,
trustee in bankruptcy, liquidation trustee, agent or other Person making such
payment or distribution, delivered to the Trustee or to the Holders of the
Junior Subordinated Debentures, for the purposes of ascertaining the Persons
entitled to participate in such distribution, the holders of Senior and
Subordinated Debt and other indebtedness of the Company, as the case may be, the
amount thereof or payable thereon, the amount or amounts paid or distributed
thereon and all other facts pertinent thereto or to this Article Sixteen.

         16.5 TRUSTEE TO EFFECTUATE SUBORDINATION. Each Holder of Junior
Subordinated Debentures by such Holder's acceptance thereof authorizes and
directs the Trustee on such Holder's behalf to take such action as may be
necessary or appropriate to effectuate the subordination provided in this
Article Sixteen and appoints the Trustee such Holder's attorney-in-fact for any
and all such purposes.

         16.6 NOTICE BY THE COMPANY. The Company shall give prompt written
notice to a Responsible Officer of the Trustee of any fact known to the Company
that would prohibit the making of any payment of monies to or by the Trustee in
respect of the Junior Subordinated Debentures pursuant to the provisions of this
Article Sixteen. Notwithstanding the provisions of this Article Sixteen or any
other provision of this Indenture, the Trustee shall not be charged with
knowledge of the existence of any facts that would prohibit the making of any
payment of monies to or by the Trustee in respect of the Junior Subordinated
Debentures pursuant to the provisions of this Article Sixteen, unless and until
a Responsible Officer of the Trustee shall have received written notice thereof
from the Company or a holder or holders of Senior and Subordinated Debt or from
any trustee therefor; and before the receipt of any such written notice, the
Trustee, subject to the provisions of Section 9.1, shall be entitled in all
respects to assume that no such facts exist; provided, however, that if the
Trustee shall not have received the notice provided for in this Section 16.6 at
least two Business Days prior to the date upon which by the terms hereof any
money may become payable for any purpose (including, without limitation, the
payment of the principal of or interest on any Junior Subordinated Debenture),
then, anything herein contained to the contrary notwithstanding, the Trustee
shall have full power and authority to receive such money and to apply the same
to the purposes for which they were received, and shall not be affected by any
notice to the contrary that may be received by it within two Business Days prior
to such date.

         The Trustee, subject to the provisions of Section 9.1, shall be
entitled to conclusively rely on the delivery to it of a written notice by a
Person representing himself to be a holder of Senior and Subordinated Debt of
the Company (or a trustee on behalf of such holder), to establish that such
notice has been given by a holder of such Senior and Subordinated Debt or a
trustee on behalf of any such holder or

                                       54

<PAGE>

holders. In the event that the Trustee determines in good faith that further
evidence is required with respect to the right of any Person as a holder of such
Senior and Subordinated Debt to participate in any payment or distribution
pursuant to this Article Sixteen, the Trustee may request such Person to furnish
evidence to the reasonable satisfaction of the Trustee as to the amount of such
Senior and Subordinated Debt held by such Person, the extent to which such
Person is entitled to participate in such payment or distribution and any other
facts pertinent to the rights of such Person under this Article Sixteen, and, if
such evidence is not furnished, the Trustee may defer any payment to such Person
pending judicial determination as to the right of such Person to receive such
payment.

         16.7 RIGHTS OF THE TRUSTEE; HOLDERS OF SENIOR AND SUBORDINATED DEBT.
The Trustee in its individual capacity shall be entitled to all the rights set
forth in this Article Sixteen in respect of any Senior and Subordinated Debt at
any time held by it, to the same extent as any other holder of Senior and
Subordinated Debt, and nothing in this Indenture shall deprive the Trustee of
any of its rights as such holder.

         With respect to the holders of Senior and Subordinated Debt of the
Company, the Trustee undertakes to perform or to observe only such of its
covenants and obligations as are specifically set forth in this Article Sixteen,
and no implied covenants or obligations with respect to the holders of such
Senior and Subordinated Debt shall be read into this Indenture against the
Trustee. The Trustee shall not be deemed to owe any fiduciary duty to the
holders of such Senior and Subordinated Debt and, subject to the provisions of
Section 9.1, the Trustee shall not be liable to any holder of such Senior and
Subordinated Debt if it shall pay over or deliver to Holders of Junior
Subordinated Debentures, the Company or any other Person money or assets to
which any holder of such Senior and Subordinated Debt shall be entitled by
virtue of this Article Sixteen or otherwise.

         16.8 SUBORDINATION MAY NOT BE IMPAIRED. No right of any present or
future holder of any Senior and Subordinated Debt of the Company to enforce
subordination as herein provided shall at any time in any way be prejudiced or
impaired by any act or failure to act on the part of the Company or by any act
or failure to act, in good faith, by any such holder, or by any noncompliance by
the Company with the terms, provisions and covenants of this Indenture,
regardless of any knowledge thereof that any such holder may have or otherwise
be charged with. Without in any way limiting the generality of the foregoing
paragraph, the holders of Senior and Subordinated Debt of the Company may, at
any time and from time to time, without the consent of or notice to the Trustee
or the Holders of the Junior Subordinated Debentures, without incurring
responsibility to the Holders of the Junior Subordinated Debentures and without
impairing or releasing the subordination provided in this Article Sixteen or the
obligations hereunder of the Holders of the Junior Subordinated Debentures to
the holders of such Senior and Subordinated Debt, do any one or more of the
following: (i) change the manner, place or terms of payment or extend the time
of payment of, or renew or alter, such Senior and Subordinated Debt, or
otherwise

                                       55

<PAGE>

amend or supplement in any manner such Senior and Subordinated Debt or any
instrument evidencing the same or any agreement under which such Senior and
Subordinated Debt is outstanding; (ii) sell, exchange, release or otherwise deal
with any property pledged, mortgaged or otherwise securing such Senior and
Subordinated Debt; (iii) release any Person liable in any manner for the
collection of such Senior and Subordinated Debt; and (iv) exercise or refrain
from exercising any rights against the Company and any other Person.

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

SPECTRUM BANCORPORATION, INC.

By:

____________________________________________________
Deryl F. Hamann, Chairman and Chief Executive Officer

WILMINGTON TRUST COMPANY, AS TRUSTEE

By:
____________________________________________________

Name:
         ____________________________________________________

Title:
         ____________________________________________________

                                       56

<PAGE>

STATE OF NEBRASKA )
                  ) ss
COUNTY OF DOUGLAS )

         On the _____ day of ___________________, 2001, before me personally
came Deryl F. Hamann, to me known, who, being by me duly sworn, did depose and
say that he is the Chairman and Chief Executive Officer of SPECTRUM
BANCORPORATION, INC., one of the corporations described in and which executed
the above instrument; and that he signed his name thereto on behalf of said
corporation by authority of the Board of Directors of said corporation.

Witness my hand and official seal:

__________________________________________
Notary Public

My Commission Expires:
__________________________________________

STATE OF DELAWARE          )
                           ) ss
COUNTY OF NEW CASTLE       )

         On the _______ day of ___________, 2001, before me personally came
______________________, to me known, who, being by me duly sworn, did depose and
say that he/she is the _______________________ of WILMINGTON TRUST COMPANY, one
of the corporations described in and which executed the above instrument; and
that he/she signed his/her name thereto on behalf of said corporation by
authority of the Board of Directors of said corporation.

Witness my hand and official seal:

__________________________________________
Notary Public

My Commission Expires:
__________________________________________

                                       57

<PAGE>

                                    EXHIBIT A

      CERTIFICATE NO.                          REGISTERED PRINCIPAL AMOUNT
       ******1*****                                  $____________

                             CUSIP NO. ____________

                          SPECTRUM BANCORPORATION, INC.

                      _____% JUNIOR SUBORDINATED DEBENTURE

                           DUE _________________, 2031

         This Junior Subordinated Debenture is a Global Subordinated Debenture
within the meaning of the Indenture hereinafter referred to and is registered in
the name of a Depositary or a nominee of a Depositary. This Junior Subordinated
Debenture is exchangeable for Junior Subordinated Debentures registered in the
name of a person other than the Depositary or its nominee only in the limited
circumstances described in the Indenture, and no transfer of this Junior
Subordinated Debenture (other than a transfer of this Junior Subordinated
Debenture as a whole by the Depositary to a nominee of the Depositary or by a
nominee of the Depositary to the Depositary or another nominee of the
Depositary) may be registered except in such limited circumstances.

         Unless this Junior Subordinated Debenture is presented by an authorized
representative of Wilmington Trust Company (Rodney Square North, 1100 North
Market Street, Wilmington, Delaware 19890-0001) to the issuer or its agent for
registration of transfer, exchange or payment, and any Junior Subordinated
Debenture issued is registered in the name of Cede & Co. or such other name as
requested by an authorized representative of Wilmington Trust Company (and any
payment hereon is made to Cede & Co. or to such other entity as is requested by
an authorized representative of Wilmington Trust Company), ANY TRANSFER, PLEDGE
OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL
inasmuch the registered owner hereof, Cede & Co., has an interest herein.

<PAGE>

         Spectrum Bancorporation, Inc., an Iowa corporation (the "Company",
which term includes any successor corporation under the Indenture hereinafter
referred to), for value received, hereby promises to pay to Wilmington Trust
Company or registered assigns, the principal sum of __________________________
Dollars ($____________) on ____________, 2031 (which date may be shortened as
provided in the Indenture, the "Stated Maturity"), and to pay interest on said
principal sum from ___________________, 2001, or from the most recent interest
payment date (each such date, an "Interest Payment Date") to which interest has
been paid or duly provided for, quarterly (subject to deferral as set forth
herein) in arrears on the last day of January, April, July and October in each
year commencing April 30, 2001, at the rate of _____% per annum until the
principal hereof shall have become due and payable, and on any overdue principal
and (without duplication and to the extent that payment of such interest is
enforceable under applicable law) on any overdue installment of interest at the
same rate per annum compounded quarterly. The amount of each interest payment
due with respect to the Junior Subordinated Debentures will include amounts
accrued through the date the interest payment is due. The amount of interest
payable on any Interest Payment Date shall be computed on the basis of a 360-day
year of twelve 30-day months. In the event that any date on which interest is
payable on this Junior Subordinated Debenture is not a Business Day (as defined
in the Indenture), then payment of interest payable on such date will be made on
the next succeeding day that is a Business Day (and without any interest or
other payment in respect of any such delay), except that, if such Business Day
is in the next succeeding calendar year, such payment shall be made on the
immediately preceding Business Day, in each case with the same force and effect
as if made on such date. The interest installment so payable, and punctually
paid or duly provided for, on any Interest Payment Date will, as provided in the
Indenture, be paid to the person in whose name this Junior Subordinated
Debenture (or one or more Predecessor Junior Subordinated Debentures, as defined
in the Indenture) is registered at the close of business on the regular record
date for such interest installment, which shall be the close of business on the
business day next preceding such Interest Payment Date unless otherwise provided
in the Indenture. The principal of and the interest on this Junior Subordinated
Debenture shall be payable at the office or agency of the Trustee (as defined in
the Indenture) maintained for that purpose in any coin or currency of the United
States of America that at the time of payment is legal tender for payment of
public and private debts; provided, however, that payment of interest may be
made at the option of the Company by check mailed to the Registered Holder (as
defined in the Indenture) at such address as shall appear in the Securities
Register (as defined in the Indenture). Notwithstanding the foregoing, so long
as the Holder of this Junior Subordinated Debenture is the Property Trustee (as
defined in the Indenture), the payment of the principal of and interest on this
Junior Subordinated Debenture will be made at such place and to such account as
may be designated by the Property Trustee.

<PAGE>

         The Stated Maturity may be shortened at any time by the Company to any
date not earlier than _________________, 2006, subject to the Company having
received prior approval of the Federal Reserve (as defined in the Indenture) if
then required under applicable capital guidelines or policies of the Federal
Reserve.

         The indebtedness evidenced by this Junior Subordinated Debenture is, to
the extent provided in the Indenture, subordinate and junior in right of payment
to the prior payment in full of all Senior and Subordinated Debt (as defined in
the Indenture), and this Junior Subordinated Debenture is issued subject to the
provisions of the Indenture with respect thereto. Each Holder of this Junior
Subordinated Debenture, by accepting the same, (a) agrees to and shall be bound
by such provisions, (b) authorizes and directs the Trustee on his or her behalf
to take such action as may be necessary or appropriate to acknowledge or
effectuate the subordination so provided and (c) appoints the Trustee his or her
attorney-in-fact for any and all such purposes. Each Holder hereof, by his or
her acceptance hereof, hereby waives all notice of the acceptance of the
subordination provisions contained herein and in the Indenture by each holder of
Senior and Subordinated Debt, whether now outstanding or hereafter incurred, and
waives reliance by each such holder upon said provisions.

         This Junior Subordinated Debenture shall not be entitled to any benefit
under the Indenture, be valid or become obligatory for any purpose until the
Certificate of Authentication hereon shall have been signed by or on behalf of
the Trustee.

         This Junior Subordinated Debenture is one of the junior subordinated
debentures of the Company (herein sometimes referred to as the "Junior
Subordinated Debentures"), specified in the Indenture, all issued under and
pursuant to a Subordinated Indenture dated as of ___________________, 2001 (the
"Indenture") duly executed and delivered between the Company and Wilmington
Trust Company, as Trustee (the "Trustee"), to which Indenture reference is
hereby made for a description of the rights, limitations of rights, obligations,
duties and immunities thereunder of the Trustee, the Company and the Holders of
the Junior Subordinated Debentures. The Junior Subordinated Debentures are
limited in aggregate principal amount as specified in the Indenture.

         Because of the occurrence and continuation of a Special Event (as
defined in the Indenture), in certain circumstances, this Junior Subordinated
Debenture may become due and payable at the option of the Company at the
principal amount together with any interest accrued thereon (the "Redemption
Price"). The Redemption Price shall be paid prior to 2:00 p.m., Wilmington,
Delaware time, on the date of such redemption or at such earlier time as the
Company determines.

         The Company shall have the right to redeem this Junior Subordinated
Debenture at the option of the Company, in whole or in part, from time to time,
on or after ____________, 2006, at a redemption price equal to 100% of the
principal amount to be redeemed plus any accrued but unpaid interest thereon to
the date of such redemption. Any redemption pursuant to this paragraph will be
made upon not

<PAGE>

less than 30 days nor more than 60 days notice. If the Junior Subordinated
Debentures are only partially redeemed by the Company pursuant to this
paragraph, the Junior Subordinated Debentures will be redeemed pro rata or by
lot or by any other method utilized by the Trustee; provided that if, at the
time of redemption, the Junior Subordinated Debentures are registered as a
Global Subordinated Debenture (as defined in the Indenture), the Depositary (as
defined in the Indenture) shall determine the principal amount of such Junior
Subordinated Debentures held by each Junior Subordinated Debenture Holder to be
redeemed in accordance with its procedures.

         In the event of redemption of this Junior Subordinated Debenture in
part only, a new Junior Subordinated Debenture for the unredeemed portion hereof
will be issued in the name of the Holder hereof upon the cancellation hereof.

         In case an Event of Default (as defined in the Indenture), shall have
occurred and be continuing, the principal of all of the Junior Subordinated
Debentures may be declared, and upon such declaration shall become, due and
payable, in the manner, with the effect and subject to the conditions provided
in the Indenture.

         The Indenture contains provisions permitting the Company and the
Trustee, with the consent of the Holders of not less than a majority in
aggregate principal amount of the Junior Subordinated Debentures at the time
Outstanding, as defined in the Indenture, to execute supplemental indentures for
the purpose of adding any provisions to or changing in any manner or eliminating
any of the provisions of the Indenture or of any supplemental indenture or of
modifying in any manner the rights of the Holders of the Junior Subordinated
Debentures; provided, however, that no such supplemental indenture shall (i)
change the stated maturity of the Junior Subordinated Debentures except as
provided in the Indenture, or reduce the principal amount thereof, or reduce the
rate or extend the time of payment of interest thereon, without the consent of
the Holder of each Junior Subordinated Debenture so affected, or (ii) reduce the
aforesaid percentage of Junior Subordinated Debentures, the Holders of which are
required to consent to any such supplemental indenture, without the consent of
the Holders of each Junior Subordinated Debenture then Outstanding and affected
thereby. The Indenture also contains provisions permitting the Holders of a
majority in aggregate principal amount of the Junior Subordinated Debentures at
the time Outstanding, on behalf of all of the Holders of the Junior Subordinated
Debentures, to waive any past default in the performance of any of the covenants
contained in the Indenture, or established pursuant to the Indenture, and its
consequences, except a default in the payment of the principal of or interest on
any of the Junior Subordinated Debentures. Any such consent or waiver by the
registered Holder of this Junior Subordinated Debenture (unless revoked as
provided in the Indenture) shall be conclusive and binding upon such Holder and
upon all future Holders and owners of this Junior Subordinated Debenture and of
any Junior Subordinated Debenture issued in exchange herefor or in place hereof
(whether by registration of transfer or otherwise), irrespective of whether or
not any notation of such consent or waiver is made upon this Junior Subordinated
Debenture.

<PAGE>

         No reference herein to the Indenture and no provision of this Junior
Subordinated Debenture or of the Indenture shall alter or impair the obligation
of the Company, which is absolute and unconditional, to pay the principal of and
interest on this Junior Subordinated Debenture at the time and place and at the
rate and in the money herein prescribed.

         The Company shall have the right at any time during the term of the
Junior Subordinated Debentures and from time to time to extend the interest
payment period of such Junior Subordinated Debentures for up to 20 consecutive
quarters (an "Extended Interest Payment Period"), at the end of which period the
Company shall pay all interest then accrued and unpaid (together with interest
thereon at the rate specified for the Junior Subordinated Debentures to the
extent that payment of such interest is enforceable under applicable law).
Before the termination of any such Extended Interest Payment Period, the Company
may further extend such Extended Interest Payment Period, provided that such
Extended Interest Payment Period together with all such further extensions
thereof shall not exceed 20 consecutive quarters or extend beyond the Stated
Maturity. At the termination of any such Extended Interest Payment Period and
upon the payment of all accrued and unpaid interest and any additional amounts
then due, the Company may commence a new Extended Interest Payment Period.

         The Company has agreed that if at any time (i) there shall have
occurred any event of which the Company has actual knowledge that (a) with the
giving of notice or the lapse of time, or both, would constitute an Event of
Default and (b) in respect to which the Company shall not have taken reasonable
steps to cure, or (ii) the Company shall have given notice of its election of an
Extended Interest Payment Period as provided herein and shall not have rescinded
such notice, or such Extended Interest Payment Period, or any extension thereof,
shall be continuing; or (iii) while the Junior Subordinated Debentures are held
by the Trust, the Company shall be in default with respect to its payment of any
obligation under the Preferred Securities Guarantee, then the Company will not
(1) declare or pay any dividends or distributions on, or redeem, purchase,
acquire, or make a liquidation payment with respect to, any of the Company's
capital stock or (2) make any payment of principal, interest or premium, if any,
on or repay, repurchase or redeem any debt securities of the Company (including
the Junior Subordinated Debentures) that rank pari passu with or junior in
interest to the Junior Subordinated Debentures or make any guarantee payments
with respect to any guarantee by the Company of the debt securities of any
subsidiary of the Company if such guarantee ranks pari passu or junior in
interest to the Junior Subordinated Debentures (other than (a) dividends or
distributions in common stock, (b) any declaration of a dividend in connection
with the implementation of a shareholders' rights plan, or the issuance of stock
under any such plan in the future or the redemption or repurchase of any such
rights pursuant thereto, (c) payments under the Preferred Securities Guarantee
and (d) purchases of common stock related to the issuance of common stock or
rights under any of the Company's benefit plans for its directors, officers or
employees).

<PAGE>

         As provided in the Indenture and subject to certain limitations therein
set forth, this Junior Subordinated Debenture is transferable by the registered
Holder hereof on the Securities Register of the Company, upon surrender of this
Junior Subordinated Debenture for registration of transfer at the office or
agency of the Trustee accompanied by a written instrument or instruments of
transfer in form satisfactory to the Company or the Trustee duly executed by the
registered Holder hereof or such Holder's attorney duly authorized in writing,
and thereupon one or more new Junior Subordinated Debentures of authorized
denominations and for the same aggregate principal amount will be issued to the
designated transferee or transferees. No service charge will be made for any
such transfer, but the Company may require payment of a sum sufficient to cover
any tax or other governmental charge payable in relation thereto.

         Prior to due presentment for registration of transfer of this Junior
Subordinated Debenture, the Company, the Trustee, any paying agent and the
Securities Registrar (as defined in the Indenture) may deem and treat the
Registered Holder hereof as the absolute owner hereof (whether or not this
Junior Subordinated Debenture shall be overdue and notwithstanding any notice of
ownership or writing hereon made by anyone other than the Securities Registrar)
for the purpose of receiving payment of or on account of the principal hereof
and interest due hereon and for all other purposes, and neither the Company nor
the Trustee nor any paying agent nor any Securities Registrar shall be affected
by any notice to the contrary.

         No recourse shall be had for the payment of the principal of or the
interest on this Junior Subordinated Debenture, or for any claim based hereon,
or otherwise in respect hereof, or based on or in respect of the Indenture,
against any incorporator, stockholder, officer or director, past, present or
future, as such, of the Company or of any predecessor or successor corporation,
whether by virtue of any constitution, statute or rule of law, or by the
enforcement of any assessment or penalty or otherwise, all such liability being,
by the acceptance hereof and as part of the consideration for the issuance
hereof, expressly waived and released.

         The Junior Subordinated Debentures are issuable only in registered form
without coupons in denominations of $10 and any integral multiple thereof. This
Global Subordinated Debenture is exchangeable for Junior Subordinated Debentures
in definitive form only under certain limited circumstances set forth in the
Indenture. Junior Subordinated Debentures so issued are issuable only in
registered form without coupons in denominations of $10 and any integral
multiple thereof.

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

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

Dated:                               SPECTRUM BANCORPORATION, INC.
___________________, 2001

<PAGE>

                            By:
                                     ___________________________________________
                                     Name:  Deryl F. Hamann
                                     Title: Chairman and Chief Executive Officer

ATTEST:

By:
         __________________________________________
         Name:    Daniel J. Brabec
         Title:   Secretary

                          CERTIFICATE OF AUTHENTICATION

         This is one of the Junior Subordinated Debentures described in the
within-mentioned Indenture.

Dated:                                WILMINGTON TRUST COMPANY, as Trustee

___________________, 2001

                             By:
                                      __________________________________________
                                      Authorized Signature

                FORM OF REVERSE OF JUNIOR SUBORDINATED DEBENTURE

                      _____% JUNIOR SUBORDINATED DEBENTURE

                                   (CONTINUED)

         This Junior Subordinated Debenture is one of the junior subordinated
debentures of the Company (herein sometimes referred to as the "Junior
Subordinated Debentures"), specified in the Indenture, all issued under and
pursuant to a Subordinated Indenture dated as of __________, 2001 (the
"Indenture") duly executed and delivered between the Company and Wilmington
Trust Company, as Trustee (the "Trustee"), to which Indenture reference is
hereby made for a description of the rights, limitations of rights, obligations,
duties and immunities thereunder of the Trustee, the Company and the Holders of
the Junior Subordinated Debentures. The Junior

<PAGE>

Subordinated Debentures are limited in aggregate principal amount as specified
in the Indenture.

         Because of the occurrence and continuation of a Special Event (as
defined in the Indenture), in certain circumstances, this Junior Subordinated
Debenture may become due and payable at the option of the Company at the
principal amount together with any interest accrued thereon (the "Redemption
Price"). The Redemption Price shall be paid prior to 2:00 p.m., Wilmington,
Delaware time, on the date of such redemption or at such earlier time as the
Company determines.

         The Company shall have the right to redeem this Junior Subordinated
Debenture at the option of the Company, in whole or in part, from time to time,
on or after __________, 2006, at a redemption price equal to 100% of the
principal amount to be redeemed plus any accrued but unpaid interest thereon to
the date of such redemption. Any redemption pursuant to this paragraph will be
made upon not less than 30 days nor more than 60 days notice. If the Junior
Subordinated Debentures are only partially redeemed by the Company pursuant to
this paragraph, the Junior Subordinated Debentures will be redeemed pro rata or
by lot or by any other method utilized by the Trustee; provided that if, at the
time of redemption, the Junior Subordinated Debentures are registered as a
Global Subordinated Debenture (as defined in the Indenture), the Depositary (as
defined in the Indenture) shall determine the principal amount of such Junior
Subordinated Debentures held by each Junior Subordinated Debenture Holder to be
redeemed in accordance with its procedures.

         In the event of redemption of this Junior Subordinated Debenture in
part only, a new Junior Subordinated Debenture for the unredeemed portion hereof
will be issued in the name of the Holder hereof upon the cancellation hereof.

         In case an Event of Default (as defined in the Indenture), shall have
occurred and be continuing, the principal of all of the Junior Subordinated
Debentures may be declared, and upon such declaration shall become, due and
payable, in the manner, with the effect and subject to the conditions provided
in the Indenture.

         The Indenture contains provisions permitting the Company and the
Trustee, with the consent of the Holders of not less than a majority in
aggregate principal amount of the Junior Subordinated Debentures at the time
Outstanding, as defined in the Indenture, to execute supplemental indentures for
the purpose of adding any provisions to or changing in any manner or eliminating
any of the provisions of the Indenture or of any supplemental indenture or of
modifying in any manner the rights of the Holders of the Junior Subordinated
Debentures; provided, however, that no such supplemental indenture shall (i)
change the stated maturity of the Junior Subordinated Debentures except as
provided in the Indenture, or reduce the principal amount thereof, or reduce the
rate or extend the time of payment of interest thereon, without the consent of
the Holder of each Junior Subordinated Debenture so affected, or (ii) reduce the
aforesaid percentage of Junior Subordinated Debentures, the Holders of which are
required to consent to any such supplemental indenture, without the consent of
the Holders of

<PAGE>

each Junior Subordinated Debenture then Outstanding and affected thereby. The
Indenture also contains provisions permitting the Holders of a majority in
aggregate principal amount of the Junior Subordinated Debentures at the time
Outstanding, on behalf of all of the Holders of the Junior Subordinated
Debentures, to waive any past default in the performance of any of the covenants
contained in the Indenture, or established pursuant to the Indenture, and its
consequences, except a default in the payment of the principal of or interest on
any of the Junior Subordinated Debentures. Any such consent or waiver by the
registered Holder of this Junior Subordinated Debenture (unless revoked as
provided in the Indenture) shall be conclusive and binding upon such Holder and
upon all future Holders and owners of this Junior Subordinated Debenture and of
any Junior Subordinated Debenture issued in exchange herefor or in place hereof
(whether by registration of transfer or otherwise), irrespective of whether or
not any notation of such consent or waiver is made upon this Junior Subordinated
Debenture.

         No reference herein to the Indenture and no provision of this Junior
Subordinated Debenture or of the Indenture shall alter or impair the obligation
of the Company, which is absolute and unconditional, to pay the principal of and
interest on this Junior Subordinated Debenture at the time and place and at the
rate and in the money herein prescribed.

         The Company shall have the right at any time during the term of the
Junior Subordinated Debentures and from time to time to extend the interest
payment period of such Junior Subordinated Debentures for up to 20 consecutive
quarters (an "Extended Interest Payment Period"), at the end of which period the
Company shall pay all interest then accrued and unpaid (together with interest
thereon at the rate specified for the Junior Subordinated Debentures to the
extent that payment of such interest is enforceable under applicable law).
Before the termination of any such Extended Interest Payment Period, the Company
may further extend such Extended Interest Payment Period, provided that such
Extended Interest Payment Period together with all such further extensions
thereof shall not exceed 20 consecutive quarters or extend beyond the Stated
Maturity. At the termination of any such Extended Interest Payment Period and
upon the payment of all accrued and unpaid interest and any additional amounts
then due, the Company may commence a new Extended Interest Payment Period.

         The Company has agreed that if at any time (i) there shall have
occurred any event of which the Company has actual knowledge that (a) with the
giving of notice or the lapse of time, or both, would constitute an Event of
Default and (b) in respect to which the Company shall not have taken reasonable
steps to cure, or (ii) the Company shall have given notice of its election of an
Extended Interest Payment Period as provided herein and shall not have rescinded
such notice, or such Extended Interest Payment Period, or any extension thereof,
shall be continuing; or (iii) while the Junior Subordinated Debentures are held
by the Trust, the Company shall be in default with respect to its payment of any
obligation under the Preferred Securities Guarantee, then the Company will not
(1) declare or pay any dividends or distributions on, or redeem,

<PAGE>

purchase, acquire, or make a liquidation payment with respect to, any of the
Company's capital stock or (2) make any payment of principal, interest or
premium, if any, on or repay, repurchase or redeem any debt securities of the
Company (including the Junior Subordinated Debentures) that rank pari passu with
or junior in interest to the Junior Subordinated Debentures or make any
guarantee payments with respect to any guarantee by the Company of the debt
securities of any subsidiary of the Company if such guarantee ranks pari passu
or junior in interest to the Junior Subordinated Debentures (other than (a)
dividends or distributions in common stock, (b) any declaration of a dividend in
connection with the implementation of a shareholders' rights plan, or the
issuance of stock under any such plan in the future or the redemption or
repurchase of any such rights pursuant thereto, (c) payments under the Preferred
Securities Guarantee and (d) purchases of common stock related to the issuance
of common stock or rights under any of the Company's benefit plans for its
directors, officers or employees).

         As provided in the Indenture and subject to certain limitations therein
set forth, this Junior Subordinated Debenture is transferable by the registered
Holder hereof on the Securities Register of the Company, upon surrender of this
Junior Subordinated Debenture for registration of transfer at the office or
agency of the Trustee accompanied by a written instrument or instruments of
transfer in form satisfactory to the Company or the Trustee duly executed by the
registered Holder hereof or such Holder's attorney duly authorized in writing,
and thereupon one or more new Junior Subordinated Debentures of authorized
denominations and for the same aggregate principal amount will be issued to the
designated transferee or transferees. No service charge will be made for any
such transfer, but the Company may require payment of a sum sufficient to cover
any tax or other governmental charge payable in relation thereto.

         Prior to due presentment for registration of transfer of this Junior
Subordinated Debenture, the Company, the Trustee, any paying agent and the
Securities Registrar (as defined in the Indenture) may deem and treat the
Registered Holder hereof as the absolute owner hereof (whether or not this
Junior Subordinated Debenture shall be overdue and notwithstanding any notice of
ownership or writing hereon made by anyone other than the Securities Registrar)
for the purpose of receiving payment of or on account of the principal hereof
and interest due hereon and for all other purposes, and neither the Company nor
the Trustee nor any paying agent nor any Securities Registrar shall be affected
by any notice to the contrary.

         No recourse shall be had for the payment of the principal of or the
interest on this Junior Subordinated Debenture, or for any claim based hereon,
or otherwise in respect hereof, or based on or in respect of the Indenture,
against any incorporator, stockholder, officer or director, past, present or
future, as such, of the Company or of any predecessor or successor corporation,
whether by virtue of any constitution, statute or rule of law, or by the
enforcement of any assessment or penalty or otherwise, all such liability being,
by the acceptance hereof and as part of the consideration for the issuance
hereof, expressly waived and released.

<PAGE>

         The Junior Subordinated Debentures are issuable only in registered form
without coupons in denominations of $10 and any integral multiple thereof. This
Global Subordinated Debenture is exchangeable for Junior Subordinated Debentures
in definitive form only under certain limited circumstances set forth in the
Indenture. Junior Subordinated Debentures so issued are issuable only in
registered form without coupons in denominations of $10 and any integral
multiple thereof.

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

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