Document:

Exhibit 4.3  

U.S.$500,000,000 

BUNGE
LIMITED FINANCE CORP. 

4.375%
Senior Notes Due 2008 

Fully
and Unconditionally Guaranteed by 

BUNGE
LIMITED 

Exchange And Registration Rights Agreement

        December
15, 2003 

	Citigroup Global Markets Inc.

J.P. Morgan Securities Inc.
	 	As Representatives of the
	 	Initial Purchasers as set forth in
	 	Schedule I to the Purchase Agreement (defined below)
	

c/o Citigroup Global Markets Inc.

388 Greenwich Street

New York, New York 10013
	

J.P. Morgan Securities Inc.

270 Park Avenue

New York, New York 10017

Ladies
and Gentlemen: 

        Bunge
Limited Finance Corp., a Delaware corporation (the "Company"), proposes to issue and sell to Citigroup Global Markets Inc. and J.P.
Morgan Securities Inc. (collectively, the "Initial Purchasers"), upon the terms and subject to the conditions set forth in a purchase agreement dated
December 10, 2003 (the "Purchase Agreement"), U.S.$500,000,000 aggregate principal amount of its 4.375% Senior Notes Due 2008 (the
"Notes") to be fully and unconditionally guaranteed by Bunge Limited, a Bermuda company (the
"Guarantor"). The Notes will be issued pursuant to an Indenture, dated as of December 15, 2003 (the
"Indenture") among the Company, the Guarantor and SunTrust Bank, as trustee (the "Trustee"). Capitalized
terms used but not defined herein shall have the meanings given to such terms in the Purchase Agreement. 

        As
an inducement to the Initial Purchasers to enter into the Purchase Agreement and in satisfaction of a condition to the obligations of the Initial Purchasers thereunder, the Company
and the Guarantor agree with the Initial Purchasers, for the benefit of the holders (including the Initial Purchasers) of the Notes and the Exchange Notes (as defined herein) (collectively, the
"Holders"), as follows: 

        1.    Registered Exchange Offer.    The Company and the Guarantor shall (i) prepare and, not later than 150 days
following the date of original issuance of the Notes (the "Issue Date"), file with the Commission a registration statement (the
"Exchange Offer Registration Statement") on an appropriate form under the Securities Act of 1933, as amended (the "Securities
Act") with respect to a proposed offer to the Holders of the Notes (the "Registered Exchange Offer") to issue and deliver to
such Holders, in exchange for the Notes, a like aggregate principal amount of debt securities of the Company (the "Exchange Notes") that are identical
in all material respects to the Notes, except for the transfer restrictions and registration rights relating to the Notes, (ii) use their reasonable best efforts to cause the Exchange Offer
Registration Statement to be declared effective under the Securities Act no later than 180 days after the Issue Date and the Registered Exchange Offer to be consummated no later than 210 days after
the Issue Date and (iii) keep the Exchange Offer Registration Statement effective until the closing of the Registered Exchange Offer. The Exchange Notes will be issued under the Indenture. 

 

        Upon
the effectiveness of the Exchange Offer Registration Statement, the Company and the Guarantor shall promptly commence the Registered Exchange Offer, it being the objective of such
Registered Exchange Offer to enable each Holder electing to exchange Notes for Exchange Notes (assuming that such Holder (a) is not an affiliate of the Company, the Guarantor or an Exchanging Dealer
(as defined herein) not complying with the requirements of the next sentence, (b) is not an Initial Purchaser holding Notes that have, or that are reasonably likely to have, the status of an unsold
allotment in an initial distribution, (c) acquires the Exchange Notes in the ordinary course of such Holder's business and (d) has no arrangements or understandings with any person to participate in
the distribution of the Exchange Notes) and to trade such Exchange Notes from and after their receipt without any limitations or restrictions under the Securities Act and without material restrictions
under the securities laws of the several states of the United States. The Company, the Guarantor, the Initial Purchasers and each Exchanging Dealer acknowledge that, pursuant to current
interpretations by the Commission's staff of Section 5 of the Securities Act, each Holder that is a broker-dealer electing to exchange Notes, acquired for its own account as a result of market-making
activities or other trading activities, for Exchange Notes (an "Exchanging Dealer") is required to deliver a prospectus meeting the requirements of the
Securities Act and the applicable interpretations of the staff of the Commission in connection with any resale of Exchange Notes. 

        In
connection with the Registered Exchange Offer, the Company and the Guarantor shall: 

        (a)   mail
to each Holder a copy of the prospectus forming part of the Exchange Offer Registration Statement, together with an appropriate letter of transmittal and related
documents; 

        (b)   keep
the Registered Exchange Offer open for not less than 20 business days (or longer, if required by applicable law) after the date on which notice of the Registered
Exchange Offer is transmitted to the Holders (such period being called the "Exchange Offer Registration Period"); 

        (c)   utilize
the services of a depositary for the Registered Exchange Offer with an address in the Borough of Manhattan, The City of New York; 

        (d)   permit
Holders to withdraw tendered Notes at any time prior to the close of business, New York City time, on the last business day on which the Registered Exchange Offer
shall remain open; and 

        (e)   otherwise
comply in all material respects with all laws that are applicable to the Registered Exchange Offer, including, without limitation, ensuring that the Exchange
Offer Registration Statement (as of the date of its effectiveness) and any prospectus forming part thereof (as of its date) and any amendments or supplements thereto comply in all material respects
with the Securities Act and the rules and regulations of the Commission thereunder and that such documents do not include any untrue statement of a material fact or omit to state a material fact
required to be stated therein or necessary in order to make the statements therein (in the case of any prospectus, in light of the circumstances under which they were made) not misleading. 

        As
soon as practicable after the close of the Registered Exchange Offer, the Company and the Guarantor shall: 

        (a)   accept
for exchange all Notes validly tendered and not validly withdrawn pursuant to the Registered Exchange Offer; 

        (b)   deliver,
or cause to be delivered, to the Trustee for cancellation all Notes so accepted for exchange by the Company and the Guarantor; and 

        (c)   cause
the Trustee promptly to authenticate and deliver to each Holder, Exchange Notes equal in principal amount to the Notes of such Holder so accepted for exchange. 

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        The
Company and the Guarantor shall use their reasonable best efforts to keep the Exchange Offer Registration Statement effective and to amend and supplement the prospectus contained
therein in order to permit such prospectus to be used by all persons subject to the prospectus delivery requirements of the Securities Act for such period of time as such persons must comply with such
requirements in order to resell the Exchange Notes; provided that (i) in the case where such prospectus and any amendment or supplement thereto are
required by law or applicable interpretations thereof by the staff of the Commission to be delivered by an Exchanging Dealer, such period shall be the lesser of 180 days and the date on which all
Exchanging Dealers have sold all Exchange Notes held by them and (ii) the Company shall make such prospectus and any amendment or supplement thereto available to any broker-dealer for use in
connection with any resale of any Exchange Notes for a period of not less than 180 days after the consummation of the Registered Exchange Offer. 

        Interest
on each Exchange Note issued pursuant to the Registered Exchange Offer will accrue from the last interest payment date on which interest was paid on the Notes surrendered in
exchange therefor or, if no interest has been paid on the Notes, from the Issue Date. The Registered Exchange Offer shall not be subject to any conditions, other than (i) that the Registered Exchange
Offer, or the making of any exchange by a Holder, does not violate applicable law or any applicable interpretation of the staff of the Commission, (ii) that no action or proceeding shall have been
instituted or threatened in any court or before any governmental agency with respect to the Registered Exchange Offer which, in the Company's or the Guarantor's reasonable judgment, would materially
impair the ability of the Company and the Guarantor to proceed with the Registered Exchange Offer, (iii) that no law, rule or regulation or applicable interpretations of the staff of the Commission
has been issued or promulgated which, in the reasonable judgment of the Company or the Guarantor, does not permit the Company and the Guarantor to effect the Registered Exchange Offer and (iv) that
the Holders tender the Notes to the Company in accordance with the Registered Exchange Offer. 

        Each
Holder participating in the Registered Exchange Offer shall be required to represent to the Company that at the time of the consummation of the Registered Exchange Offer (i) any
Exchange Notes received by such Holder will be acquired in the ordinary course of business, (ii) such Holder has no arrangements or understandings with any person to participate in the distribution of
the Notes or the Exchange Notes within the meaning of the Securities Act, (iii) such Holder is not acting on behalf of any Person who could not truthfully make the foregoing representation, (iv) such
Holder is not an affiliate of the Company or the Guarantor or, if it is such an affiliate, such Holder will comply with the registration and prospectus delivery requirements of the Securities Act to
the extent applicable, and (v) such Holder shall make such other representations as may be reasonably necessary under applicable Commission rules or regulations or interpretations of the staff of the
Commission to render the use of Form F-4 or another appropriate form under the Securities Act available or for the Exchange Offer Registration Statement to be declared effective. To the extent
permitted by law, the Company shall inform the Initial Purchasers of the names and addresses of the Holders to whom the Registered Exchange Offer is made, and the Initial Purchasers shall have the
right to contact such Holders and otherwise facilitate the tender of Notes in the Registered Exchange Offer. 

        Notwithstanding
any other provisions hereof, the Company and the Guarantor will ensure that (i) any Exchange Offer Registration Statement and any amendment thereto and any prospectus
forming part thereof and any supplement thereto complies in all material respects with the Securities Act and the rules and regulations thereunder, (ii) any Exchange Offer Registration Statement and
any amendment thereto does not, when it becomes effective, contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the
statements therein not misleading and (iii) any prospectus forming part of any Exchange Offer Registration Statement, and any supplement to such prospectus, does not include an untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made, not
misleading. 

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        2.    Shelf Registration.    If, and only if, (i) because of any change in law or applicable interpretations thereof
by the staff of the Commission the Company or the Guarantor are not permitted to effect the Registered Exchange Offer as contemplated by Section 1 hereof, or (ii) for any other reason the Registered
Exchange Offer is not consummated within 210 days after the Issue Date, or (iii) any Initial Purchaser so requests within 210 days after the consummation of the Registered Exchange Offer with respect
to Notes not eligible to be exchanged for Exchange Notes in the Registered Exchange Offer and held by it following the consummation of the Registered Exchange Offer, or (iv) any applicable law or
interpretations do not permit any Holder (other than an Initial Purchaser) to participate in the Registered Exchange Offer, or (v) any Holder (other than an Initial Purchaser) that participates in the
Registered Exchange Offer does not receive freely transferable Exchange Notes in exchange for tendered Notes (other than as a result of such Holder being an affiliate of the Company or the Guarantor),
then the following provisions shall apply: 

        (a)   The
Company and the Guarantor shall use their reasonable best efforts to file as promptly as practicable (but in no event more than 60 days after so required or
requested pursuant to this Section
2 and not earlier than 180 days after the Issue Date) with the Commission (the "Shelf Filing Date"), and thereafter shall use their reasonable best
efforts to cause to be declared effective, a shelf registration statement on an appropriate form under the Securities Act relating to the offer and sale of the Transfer Restricted Securities (as
defined below) by the Holders thereof from time to time in accordance with the methods of distribution set forth in such registration statement (a "Shelf Registration
Statement" and, together with any Exchange Offer Registration Statement, a "Registration Statement");  provided, however, that, with
respect to Exchange Notes received by the Initial Purchasers in exchange for Notes constituting any portion of an unsold
allotment and with respect to Notes or Exchange Notes held by an Exchanging Dealer, the Company and the Guarantor may, if permitted by current interpretations by the staff of the Commission, file a
post-effective amendment to the Exchange Offer Registration Statement containing the information required by Items 9.B and 9.D of Form 20-F, as applicable, in satisfaction of their obligations under
this subsection (a) with respect thereto, and any such Exchange Offer Registration Statement, as so amended, shall be referred to herein as, and governed by the provision herein applicable to, a Shelf
Registration Statement. 

        (b)   The
Company and the Guarantor shall use their reasonable best efforts to keep the Shelf Registration Statement continuously effective in order to permit the prospectus
forming part thereof to be used by Holders of Transfer Restricted Securities for a period ending on the earliest of (i) two years from the Issue Date, (ii) the date on which all the Transfer
Restricted Securities covered by the Shelf Registration Statement have been sold pursuant thereto and (iii) the date on which the Notes become eligible for resale without volume restrictions pursuant
to Rule 144 under the Securities Act (in any such case, such period being called the "Shelf Registration Period"). 

        (c)   Notwithstanding
any other provisions hereof, the Company and the Guarantor will ensure that (i) any Shelf Registration Statement and any amendment thereto when it
becomes effective, and any prospectus forming part thereof and any supplement thereto complies in all material respects with the Securities Act and the rules and regulations of the Commission
thereunder, (ii) any Shelf Registration Statement and any amendment thereto when it becomes effective (in either case, other than with respect to information included therein in reliance upon or in
conformity with written information furnished to the Company by or on behalf of any Holder specifically for use therein (the "Holders' Information"))
does not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading and (iii) any
prospectus forming part of any Shelf Registration Statement, and any supplement to such prospectus (in 

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either
case, other than with respect to Holders' Information), does not include an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading. 

        3.    Additional Interest.    (a) If (i) the Exchange Offer Registration Statement is not filed with the Commission
within 150 days after the Issue Date or the Shelf Registration Statement is not filed with the Commission on or before the Shelf Filing Date, (ii) the Exchange Offer Registration Statement is not
declared effective within 180 days after the Issue Date or the Shelf Registration Statement is not declared effective within 60 days of the Shelf Filing Date, (iii) the Registered Exchange Offer is
not
consummated within 210 days after the Issue Date and a Shelf Registration Statement has not been filed, or (iv) the Shelf Registration Statement is filed and declared effective within 60 days after
the Shelf Filing Date but shall thereafter cease to be effective (at any time that the Company and the Guarantor are obligated to maintain the effectiveness thereof) or use of the Shelf Registration
Statement or the related prospectus shall be suspended for one or more periods longer than permitted pursuant to Section 3(d) hereof (each such event referred to in clauses (i) through (iv), a
"Registration Default"), the Company and the Guarantor will be jointly and severally obligated to pay additional cash interest to each Holder of
Transfer Restricted Securities, during the period of one or more such Registration Defaults, in an amount equal to 0.25% per annum of the principal amount of Transfer Restricted Securities held by
such Holder during the first 90-day period following such Registration Default, increasing by an additional 0.25% per annum during each subsequent 90-day period up to a maximum of .50% per annum,
until each Registration Default has been cured. Such additional interest shall not be payable under more than one of clauses (i) through (iv) at any given time. Following the cure of all Registration
Defaults, the accrual of additional interest will cease. As used herein, the term "Transfer Restricted Securities" means each Note until the earliest to
occur of (i) the date on which such Note has been exchanged for a freely transferable Exchange Note in the Registered Exchange Offer, (ii) the date on which it has been effectively registered under
the Securities Act and disposed of in accordance with the Shelf Registration Statement or (iii) the date on which it is distributed to the public pursuant to Rule 144 under the Securities Act or is
saleable pursuant to Rule 144(k) under the Securities Act. Notwithstanding anything to the contrary in this Section 3(a), neither the Company nor the Guarantor shall be required to pay additional
interest to a particular Holder of Transfer Restricted Securities if such Holder failed to comply with its obligations to make the representations set forth in the second to last paragraph of Section
1 or failed to provide the information required to be provided by it, if any, pursuant to Section 4(n). 

        (b)   The
Company shall notify the Trustee and the Paying Agent under the Indenture promptly upon the happening of each and every Registration Default. The additional interest
due shall be payable on each interest payment date specified by the Indenture and the Notes in the manner specified in the Indenture. For the purposes described in this Section 3, neither the Company
nor the Guarantor may act as Paying Agent. Each obligation to pay additional interest shall be deemed to accrue from and including the date of the applicable Registration Default. 

        (c)   The
parties hereto agree that the additional interest provided for in this Section 3 constitutes a reasonable estimate of, and is intended to constitute all of, the
damages that will be suffered by Holders of Transfer Restricted Securities by reason of the failure of (i) the Shelf Registration Statement or the Exchange Offer Registration Statement to be filed,
(ii) the Shelf Registration Statement to remain effective or available for use or (iii) the Exchange Offer Registration Statement to be declared effective and the Registered Exchange Offer to be
consummated, in each case to the extent required by this Agreement. 

        (d)   The
Company and the Guarantor may, by notice to each Holder of Transfer Restricted Securities that are the subject of the Shelf Registration Statement at such time in
accordance with 

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Section
10(b) hereof, suspend the availability of a Shelf Registration Statement and the use of the related prospectus for up to four periods of up to 30 consecutive days during any 365-day period,
but for no more than 90 days in the aggregate during any 365-day period, if any event shall occur or be pending as a result of which it is necessary, in the reasonable judgment of the board of
directors of the Company or the Guarantor upon advice of counsel, to suspend the use of the Shelf Registration Statement pending public announcement of such event and, if necessary, to amend the Shelf
Registration Statement or amend or supplement any related prospectus or prospectus supplement in order that each such document not include any untrue statement of fact or omit to state a material fact
necessary to make the statements therein not misleading in light of the circumstances under which they were made, without incurring any obligation to pay additional interest pursuant to Section 3(a)
hereof. Any such period during which the Company and the Guarantor fail to keep the Shelf Registration Statement effective and usable for offers and sales of Transfer Restricted Securities is referred
to as a "Suspension Period." A Suspension Period shall commence on and include the date on which the Company or the Guarantor gives written notice to
each Holder of Transfer Restricted Securities that are the subject of the Shelf Registration Statement at such time of such suspension pursuant to this Section 3(d), and shall end when each such
Holder of Transfer Restricted Securities either receives copies of a supplemented or amended prospectus or is advised in writing by the Company or the Guarantor that use of the prospectus included in
the Shelf Registration Statement may be resumed. 

        4.    Registration Procedures.    In connection with any Registration Statement, the following provisions shall apply: 

        (a)   The
Company shall (i) furnish to each Initial Purchaser, prior to the filing thereof with the Commission, a copy of the Registration Statement and each amendment thereof
and each supplement, if any, to the prospectus included therein and shall use its reasonable best efforts to reflect in each such document, when so filed with the Commission, such comments as the
Initial Purchasers may reasonably propose; and (ii) if requested by any Initial Purchaser, include the information required by Items 9.B and 9.D of Form 20-F, as applicable, in the prospectus forming
a part of the Exchange Offer Registration Statement. 

        (b)   The
Company shall advise each Initial Purchaser, each Exchanging Dealer that has provided in writing to the Company a telephone number, facsimile number or address for
notices, and the Holders (if applicable) and, if requested by any such person, confirm such advice in writing (which advice pursuant to clauses (ii) through (v) of this Section 4(b) shall be
accompanied by an instruction to suspend the use of the prospectus until the requisite changes have been made): 

        (i)    when
any Registration Statement and any amendment thereto has been filed with the Commission and when such Registration Statement or any post-effective amendment thereto
has become effective; 

        (ii)   of
any request by the Commission for amendments or supplements to any Registration Statement or the prospectus included therein or for additional information; 

        (iii)  of
the issuance by the Commission of any stop order suspending the effectiveness of any Registration Statement or the initiation of any proceedings for that purpose; 

        (iv)  of
the receipt by the Company of any notification with respect to the suspension of the qualification of the Notes or the Exchange Notes for sale in any jurisdiction or
the initiation or threatening of any proceeding for such purpose; and 

        (v)   of
the happening of any event that requires the making of any changes in any Registration Statement or the prospectus included therein in order that the statements 

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therein
are not misleading and do not omit to state a material fact required to be stated therein or necessary to make the statements therein (in the case of the prospectus, in light of the
circumstances under which they were made) not misleading. 

        (c)   The
Company and the Guarantor will make every reasonable effort to obtain the withdrawal at the earliest possible time of any order suspending the effectiveness of any
Registration Statement. 

        (d)   The
Company will furnish (or otherwise make publicly available on the website of the Commission) to each Holder of Transfer Restricted Securities included within the
coverage of any Shelf Registration Statement, without charge, at least one conformed copy of such Shelf Registration Statement and any post-effective amendment thereto including, if any such Holder so
requests in writing, all exhibits thereto (including those, if any, incorporated by reference). 

        (e)   The
Company will, during the Shelf Registration Period, promptly deliver to each Holder of Transfer Restricted Securities included within the coverage of any Shelf
Registration Statement, without charge, as many copies of the prospectus (including each preliminary prospectus) included in such Shelf Registration Statement and any amendment or supplement thereto
as such Holder may reasonably request; and the Company and the Guarantor consent to the use of such prospectus or any amendment or supplement thereto by each of the selling Holders of Transfer
Restricted Securities in connection with the offer and sale of the Transfer Restricted Securities covered by such prospectus or any amendment or supplement thereto. 

        (f)    The
Company will furnish (or otherwise make publicly available on the website of the Commission) to each Initial Purchaser and each Exchanging Dealer, and to any other
Holder who so requests, without charge, at least one conformed copy of the Exchange Offer Registration Statement and any post-effective amendment thereto, including, if any Initial Purchaser or
Exchanging Dealer or any such Holder so requests in writing, all exhibits thereto (including those, if any, incorporated by reference). 

        (g)   The
Company will, during the Exchange Offer Registration Period or the Shelf Registration Period, as applicable, promptly deliver to each Initial Purchaser, each
Exchanging Dealer and such other persons that are required to deliver a prospectus following the Registered Exchange Offer, without charge, as many copies of the final prospectus included in the
Exchange Offer Registration Statement or the Shelf Registration Statement and any amendment or supplement thereto as such Initial Purchaser, Exchanging Dealer or other persons may reasonably request;
and the Company and the Guarantor consent to the use of such prospectus or any amendment or supplement thereto by any such Initial Purchaser, Exchanging Dealer or other persons, as applicable, as
aforesaid. 

        (h)   Prior
to the effective date of any Registration Statement, the Company and the Guarantor will use their reasonable best efforts to register or qualify, or cooperate with
the Holders of Notes or Exchange Notes included therein and their respective counsel in connection with the registration or qualification of, such Notes or Exchange Notes for offer and sale under the
securities or blue sky laws of such jurisdictions as any such Holder reasonably requests in writing and do any and all other acts or things necessary or advisable to enable the offer and sale in such
jurisdictions of the Notes or Exchange Notes covered by such Registration Statement; provided that the Company and the Guarantor will not be required to
qualify generally to do business in any jurisdiction where it is not then so qualified or to take any action which would subject it to general service of process or to taxation in any such
jurisdiction where it is not then so subject. 

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        (i)    The
Company and the Guarantor will cooperate with the Holders of Notes or Exchange Notes to facilitate the timely preparation and delivery of certificates representing
Notes or Exchange Notes to be sold pursuant to any Registration Statement free of any restrictive legends and in such denominations and registered in such names as the Holders thereof may request in
writing prior to sales of Notes or Exchange Notes pursuant to such Registration Statement. 

        (j)    If
any event contemplated by Section 4(b)(ii) through (v) occurs during the period for which the Company and the Guarantor are required to maintain an effective
Registration Statement, the Company and the Guarantor will promptly prepare and file with the Commission a post-effective amendment to the Registration Statement or a supplement to the related
prospectus or file any other required document so that, as thereafter delivered to purchasers of the Notes or Exchange Notes from a Holder, the prospectus will not include an untrue statement of a
material fact or omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. 

        (k)   The
Company will provide a CUSIP number for the Notes and the Exchange Notes, not later than the effective date of the applicable Registration Statement, and will
provide the Trustee with global certificates for the Notes or the Exchange Notes in a form eligible for deposit with The Depository Trust Company. 

        (l)    The
Company and the Guarantor will make generally available to its security holders promptly after the effective date of the applicable Registration Statement an earning
statement satisfying the provisions of Section 11(a) of the Securities Act. 

        (m)  The
Company and the Guarantor will cause the Indenture to be qualified under the Trust Indenture Act as required by applicable law in a timely manner. 

        (n)   The
Company may require each Holder of Transfer Restricted Securities to be registered pursuant to any Shelf Registration Statement to furnish to the Company or their
counsel such information concerning the Holder and the distribution of such Transfer Restricted Securities as the Company may from time to time reasonably require for inclusion in such Shelf
Registration Statement, and the Company may exclude from such registration the Transfer Restricted Securities of any Holder that fails to furnish such information within a reasonable time after
receiving such request. 

        (o)   In
the case of a Shelf Registration Statement, each Holder of Transfer Restricted Securities to be registered pursuant thereto agrees by acquisition of such Transfer
Restricted Securities that, upon receipt of any notice from the Company pursuant to Section 4(b)(ii) through (v), such Holder will discontinue disposition of such Transfer Restricted Securities until
such Holder's receipt of copies of the supplemental or amended prospectus contemplated by Section 4(j) or until advised in writing (the "Advice") by the
Company that the use of the applicable prospectus may be resumed. If the Company shall give any notice under Section 4(b)(ii) through (v) during the period that the Company is required to maintain an
effective Registration Statement (the "Effectiveness Period"), such Effectiveness Period shall be extended by the number of days during such period from
and including the date of the giving of such notice to and including the date when each seller of Transfer Restricted Securities covered by such Registration Statement shall have received (x) the
copies of the supplemental or amended prospectus contemplated by Section 4(j) (if an amended or supplemental prospectus is required) or (y) the Advice (if no amended or supplemental prospectus is
required). 

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        (p)   In
the case of a Shelf Registration Statement involving an underwritten offering, the Company and the Guarantor shall enter into such customary agreements (including, if
requested, an underwriting agreement in customary form) and take all such other action, if any, as Holders of a majority in aggregate principal amount of the Notes and Exchange Notes being sold or the
managing underwriters (if any) shall reasonably request in order to facilitate any disposition of Notes and Exchange Notes
pursuant to such Shelf Registration Statement, including, without limitation, (i) causing its counsel to deliver an opinion in customary form, (ii) causing its officers to execute and deliver all
customary documents and certificates and (iii) causing its independent public accountants to provide a comfort letter or letters in customary form. 

        (q)   In
the case of a Shelf Registration Statement involving an underwritten offering, the Guarantor shall (i) make reasonably available for inspection by a representative
of, and Special Counsel (as defined below) acting for, Holders of a majority in aggregate principal amount of the Notes and Exchange Notes being sold and any underwriter participating in any
disposition of Notes or Exchange Notes pursuant to such Shelf Registration Statement, all relevant financial and other records, pertinent corporate documents and properties of the Guarantor and its
material subsidiaries that are reasonably requested and (ii) use its reasonable best efforts to have its officers, directors, employees, accountants and counsel supply all relevant information
reasonably requested by such representative, Special Counsel or any such underwriter (an "Inspector") in connection with such Shelf Registration
Statement; provided that any such records, documents, properties and such information that is designated in writing by the Company and the Guarantor,
reasonably and in good faith, as confidential at the time of delivery of such records, documents, properties or information shall be kept confidential by any such representative, underwriter or
Special Counsel and shall be used only in connection with such Shelf Registration Statement, unless such information has become available (not in violation of this Agreement) to the public generally
or through a third party without an accompanying obligation of confidentiality, and except that such representative, underwriter or Special Counsel shall have no liability, and shall not be in breach
of this provision, if disclosure of such confidential information is made in connection with a court proceeding or required by applicable law. Each such person will be required to agree or acknowledge
that information obtained by it as a result of such inspections shall be deemed confidential and shall not be used by it as the basis for any market transactions in the securities of the Company or
the Guarantor unless and until such is made generally available to the public through no fault or action of such person not otherwise permitted under this Section 4(q). Each such Holder of Notes will
be required to further agree that it will, upon learning that disclosure of confidential information is necessary, give notice to the Company to allow the Company at its expense to undertake
appropriate action to prevent disclosure of such confidential information. Notwithstanding any provision of this Section 4(q) to the contrary, such representative, underwriter or Special Counsel shall
be entitled to use such confidential information, to the extent it deems necessary or appropriate, for purposes of establishing any due diligence or other defense under applicable law in connection
with any action or claim arising from or relating to any Registration Statement or related prospectus or this Agreement. 

        5.    Registration Expenses.    The Company and the Guarantor will bear all expenses incurred in connection with the
performance of their obligations under Sections 1, 2, 3 and 4 and the Company and the Guarantor will reimburse the Initial Purchasers and the Holders for the reasonable fees and disbursements of one
firm of attorneys (in addition to the reasonable fees and disbursements of counsel in connection with state or other securities or blue sky qualification of any of the Notes or Exchange Notes) chosen
by the Holders of a majority in aggregate principal amount of the Notes and the Exchange Notes to be sold pursuant to each Registration Statement (the "Special
Counsel") acting for the Initial Purchasers or Holders in connection therewith. Each Holder shall pay all underwriting discounts and commissions and transfer taxes, if any,
relating to the sale or disposition of such Holder's Notes pursuant to a Registration Statement. 

9

  

        6.    Indemnification.    (a) In the event of a Shelf Registration Statement or in connection with any prospectus
delivery pursuant to an Exchange Offer Registration Statement by an Initial Purchaser or Exchanging Dealer, as applicable, each of the Company and the Guarantor shall jointly and severally indemnify
and hold harmless each Holder (including, without limitation, any such Initial Purchaser or Exchanging Dealer), its affiliates, their respective officers, directors, employees, representatives and
agents, and each person, if any, who controls such Holder within the meaning of the Securities Act or the Exchange Act (collectively referred to for purposes of this Section 6 and Section 7 as a
Holder) from and against any loss, claim, damage or liability, joint or several, or any action in respect thereof (including, without limitation, any loss, claim, damage, liability or action relating
to purchases and sales of Notes or Exchange Notes), to which that Holder may become subject, whether commenced or threatened, under the Securities Act, the Exchange Act, any other federal or state
statutory law or regulation, at common law or otherwise, insofar as such loss, claim, damage, liability or action arises out of, or is based upon, (i) any untrue statement or alleged untrue statement
of a material fact contained in any such Registration Statement or any prospectus forming part thereof or in any amendment or supplement thereto or (ii) the omission or alleged omission to state
therein a material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, and shall
reimburse each Holder promptly upon demand for any legal or other expenses reasonably incurred by that Holder in connection with investigating or defending or preparing to defend against or appearing
as a third party witness in connection with any such loss, claim, damage, liability or action as such expenses are incurred; provided,  however, that the
Company and the Guarantor shall not be liable in any such case to the extent that any such loss, claim, damage, liability or action
arises out of, or is based upon, an untrue statement or alleged untrue statement in or omission or alleged omission from any Registration Statement or any prospectus forming a part thereof or any
amendment or supplement thereto in reliance upon and in conformity with any Holders' Information or information supplied by any Initial Purchasers or Exchanging Dealer expressly for inclusion therein;
and provided further, that with respect to any such untrue statement in or omission from any related preliminary prospectus, the indemnity agreement
contained in this Section 6(a) shall not inure to the benefit of any Holder from whom the person asserting any such loss, claim, damage, liability or action received Notes or Exchange Notes to the
extent that such loss, claim, damage, liability or action of or with respect to such Holder results from the fact that both (A) a copy of the final prospectus was not sent or given to such person at
or prior to the written confirmation of the sale of such Notes or Exchange Notes to such person and (B) the untrue statement in or omission from the related preliminary prospectus was corrected in the
final prospectus unless, in either case, such failure to deliver the final prospectus was a result of non-compliance by the Company with Section 4(d), 4(e), 4(f) or 4(g); and  provided, further, that the
indemnity agreement contained in this Section 6(a) shall not inure to the benefit of any Holder to the extent that any such
loss, claim, damage, liability or action results from the use by such Holder of a prospectus otherwise than in connection with an offer or sale of Notes or Exchange Notes. Each Holder acknowledges
that the indemnity agreement in this subsection (a) does not extend to any liability which such Holder might have under Section 5(b) of the Securities Act by reason of the fact that such Holder sold
Notes or Exchange Notes to a person to whom there was not sent or given, at or prior to written confirmation of such sale, a copy of the prospectus. 

        (b)   In
the event of a Shelf Registration Statement, each Holder shall indemnify and hold harmless the Company, the Guarantor and their respective affiliates, their
respective officers, directors, employees, representatives and agents, and each person, if any, who controls the Company or the Guarantor within the meaning of the Securities Act or the Exchange Act
(collectively referred to for purposes of this Section 6(b) and Section 7 as the Company), from and against any loss, claim, damage or liability, joint or several, or any action in respect thereof, to 

10

 

which
the Company may become subject, whether commenced or threatened, under the Securities Act, the Exchange Act, any other federal or state statutory law or regulation, at common law or otherwise,
insofar as such loss, claim, damage, liability or action arises out of, or is based upon, (i) any untrue statement or alleged untrue statement of a material fact contained in any such Registration
Statement or any prospectus forming part thereof or in any amendment or supplement thereto or (ii) the omission or alleged omission to state therein a material fact required to be stated therein or
necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, but in each case only to the extent that the untrue statement or
alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with any Holders' Information furnished to the Company by such Holder, and shall reimburse the
Company for any legal or other expenses reasonably incurred by the Company in connection with investigating or defending or preparing to defend against or appearing as a third party witness in
connection with any such loss, claim, damage, liability or action as such expenses are incurred. 

        (c)   Promptly
after receipt by an indemnified party under this Section 6 of notice of any claim or the commencement of any action, the indemnified party shall, if a claim in
respect thereof is to be made against the indemnifying party pursuant to Section 6(a) or 6(b), notify the indemnifying party in writing of the claim or the commencement of that action;  provided,
however, that the failure to notify the indemnifying party shall not relieve it from any
liability which it may have under this Section 6 except to the extent that it has been materially prejudiced (through the forfeiture of substantive rights or defenses) or harmed by such failure; and  provided
further, that the failure to notify the indemnifying party shall not relieve it from any liability which it may have to an indemnified party
otherwise than under this Section 6. If any such claim or action shall be brought against an indemnified party, and it shall notify the indemnifying party thereof, the indemnifying party shall be
entitled to participate therein and, to the extent that it wishes, jointly with any other similarly notified indemnifying party, to assume the defense thereof with counsel reasonably satisfactory to
the indemnified party. After notice from the indemnifying party to the indemnified party of its election to assume the defense of such claim or action, the indemnifying party shall not be liable to
the indemnified party under this Section 6 for any legal or other expenses subsequently incurred by the indemnified party in connection with the defense thereof other than the reasonable costs of
investigation; provided, however, that an indemnified party shall have the right to employ its own
counsel in any such action, but the fees, expenses and other charges of such counsel for the indemnified party will be at the expense of such indemnified party unless (1) the employment of counsel by
the indemnified party has been authorized in writing by the indemnifying party, (2) the indemnified party has reasonably concluded (based upon advice of counsel to the indemnified party) that there
may be legal defenses available to it or other indemnified parties that are different from or in addition to those available to the indemnifying party, (3) a conflict or potential conflict exists
(based upon advice of counsel to the indemnified party) between the indemnified party and the indemnifying party (in which case the indemnifying party will not have the right to direct the defense of
such action on behalf of the indemnified party) or (4) the indemnifying party has not in fact employed counsel reasonably satisfactory to the indemnified party to assume the defense of such action
within a reasonable time after receiving notice of the commencement of the action, in each of which cases the reasonable fees, disbursements and other charges of counsel will be at the expense of the
indemnifying party or parties. It is understood that the indemnifying party or parties shall not, in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the
reasonable fees, disbursements and other charges of more than one separate firm of attorneys (in addition to any local counsel) at any one time for all such indemnified party or parties. Each
indemnified party, as a condition of the indemnity agreements contained in Sections 6(a) and 6(b), shall use its reasonable best efforts to cooperate with the indemnifying party in the defense of any
such action 

11

 

or
claim. No indemnifying party shall be liable for any settlement of any such action effected without its written consent (which consent shall not be unreasonably withheld), but if settled with its
written consent or if there be a final judgment for the plaintiff in any such action, the indemnifying party agrees to indemnify and hold harmless any indemnified party from and against any loss or
liability by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an indemnified party shall have requested that an indemnifying party reimburse the
indemnified party for fees and expenses of counsel as contemplated by this Section 6(c), the indemnifying party shall be liable for any settlement of any proceeding effected without its written
consent if (i) such settlement is entered into more than 60 days after receipt by the indemnifying party of such request and (ii) the indemnifying party shall not have reimbursed the indemnified party
in accordance with such request prior to the date of such settlement; provided that an indemnifying party shall not be liable for any such settlement
effected without its consent if such indemnifying party (1) reimburses such indemnified party in accordance with such request to the extent it considers, in good faith, to be reasonable and (2)
provides written notice to the indemnified party substantiating the unpaid balance as unreasonable, in
each case prior to the date of settlement. No indemnifying party shall, without the written consent of the indemnified party, effect any settlement of any pending or threatened proceeding in respect
of which any indemnified party is or could have been a party and indemnification could have been sought hereunder by such indemnified party, unless such settlement (x) includes an unconditional
release of such indemnified party in form and substance reasonably satisfactory to such indemnified party from all liability on claims that are the subject matter of such proceeding and (y) does not
include any statement as to or any admission of fault, culpability or a failure to act by or on behalf of any indemnified party. 

        7.    Contribution.    If the indemnification provided for in Section 6 is unavailable or insufficient to hold
harmless an indemnified party under Section 6(a) or 6(b), then each indemnifying party shall, in lieu of indemnifying such indemnified party, contribute to the amount paid or payable by such
indemnified party as a result of such loss, claim, damage or liability, or action in respect thereof, (i) in such proportion as shall be appropriate to reflect the relative benefits received by the
Company and the Guarantor from the offering and sale of the Notes, on the one hand, and a Holder with respect to the sale by such Holder of Notes or Exchange Notes, on the other hand, or (ii) if the
allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the
relative fault of the Company and the Guarantor on the one hand and such Holder on the other hand with respect to the statements or omissions that resulted in such loss, claim, damage or liability, or
action in respect thereof, as well as any other relevant equitable considerations. The relative benefits received by the Company and the Guarantor on the one hand and a Holder on the other hand with
respect to such offering and such sale shall be deemed to be in the same proportion as the total net proceeds from the offering of the Notes (before deducting expenses) received by or on behalf of the
Company as set forth in the Offering Memorandum, on the one hand, and the total proceeds received by such Holder with respect to its sale of Notes or Exchange Notes, on the other hand, bear to the
total gross proceeds from the sale of the Notes or Exchange Notes. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a
material fact or the omission or alleged omission to state a material fact relates to the Company and the Guarantor or information supplied by the Company and the Guarantor on the one hand or to any
Holders' Information supplied by such Holder on the other, the intent of the parties and their relative knowledge, access to information and opportunity to correct or prevent such untrue statement or
omission. The parties hereto agree that it would not be just and equitable if contributions pursuant to this Section 7 were to be determined by pro rata
allocation or by any other method of allocation that does not take into account the equitable considerations referred to herein. The amount paid or payable by an indemnified party as a result of the
loss, claim, damage or liability, or action in 

12

 

respect
thereof, referred to above in this Section 7 shall be deemed to include, for purposes of this Section 7 and subject to the limitations described herein, any legal or other expenses reasonably
incurred by such indemnified party in connection with investigating or defending or preparing to defend any such action or claim. Notwithstanding the provisions of this Section 7, an indemnifying
party that is a Holder of Notes or Exchange Notes shall not be required to contribute any amount in excess of the amount by which the total price at which the Notes or Exchange Notes sold by such
indemnifying party to any purchaser exceeds the amount of any damages which such indemnifying party has otherwise paid or become liable to pay by reason of any untrue or alleged untrue statement or
omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not
guilty of such fraudulent misrepresentation. 

        8.    Rules 144 and 144A.    Each of the Company and the Guarantor shall use its reasonable best efforts to file the
reports required to be filed by it under the Securities Act and the Exchange Act in a timely manner so long as necessary to permit sales of such Holder's securities pursuant to Rules 144 and 144A. The
Company and the Guarantor covenant that they will take such further action as any Holder of Transfer Restricted Securities may reasonably request, all to the extent required from time to time to
enable such Holder to sell Transfer Restricted Securities without registration under the Securities Act within the limitation of the exemptions provided by Rules 144 and 144A (including, without
limitation, the requirements of Rule 144A(d)(4) in the event that the Company or the Guarantor ceases to be a company subject to or in compliance with Schedule 13 or 15(d) of the Exchange Act). Upon
the written request of any Holder of Transfer Restricted Securities, the Company and the Guarantor shall deliver to such Holder a written statement as to whether it has complied with such
requirements. Notwithstanding the foregoing, nothing in this Section 8 shall be deemed to require the Company to register any of its securities pursuant to the Exchange Act. 

        9.    Underwritten Registrations.    If any of the Transfer Restricted Securities covered by any Shelf Registration
Statement are to be sold in an underwritten offering, the investment banker or investment bankers and manager or managers that will administer the offering will be selected by the Holders of a
majority in aggregate principal amount of such Transfer Restricted Securities included in such offering, subject to the consent of the Company (which shall not be unreasonably withheld or delayed),
and such Holders shall be responsible for all underwriting commissions and discounts in connection therewith. 

        No
person may participate in any underwritten registration hereunder unless such person (i) agrees to sell such person's Transfer Restricted Securities on the basis reasonably provided
in any underwriting arrangements approved by the persons entitled hereunder to approve such arrangements and (ii) completes and executes all questionnaires, powers of attorney, indemnities,
underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements. 

        10.    Miscellaneous.    (a) Amendments and Waivers. The provisions of
this Agreement, including the provisions of this sentence, may not be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given, unless the
Company has obtained the written consent of Holders of a majority in aggregate principal amount of the Notes and the Exchange Notes, taken as a single class. Notwithstanding the foregoing, a waiver or
consent to depart from the provisions hereof with respect to a matter that relates exclusively to the rights of Holders whose Notes or Exchange Notes are being sold pursuant to a Registration
Statement and that does not directly or indirectly affect the rights of other Holders may be given by Holders of a majority in aggregate principal amount of the Notes and the Exchange Notes being sold
by such Holders pursuant to such Registration Statement. 

13

 

        (b)    Notices.    All notices and other communications provided for or permitted hereunder shall be made in writing
by hand-delivery, first-class mail, telecopier or air courier guaranteeing next-day delivery at the addresses set forth below (unless such party notifies the other parties hereto in writing of an
alternative address): 

        (i)    if
to a Holder, at the most current address given by such Holder to the Company in accordance with the provisions of this Section 10(b), which address initially is, with
respect to each Holder, the address of such Holder maintained by the Registrar under the Indenture, with a copy in like manner to the Initial Purchasers at the addresses set forth in the Purchase
Agreement; 

        (ii)   if
to an Initial Purchaser, at the addresses set forth in the Purchase Agreement; 

        (iii)  if
to the Company, at the address of the Company set forth in the Purchase Agreement; and 

        (iv)  if
to the Guarantor, at the address of the Guarantor set forth in the Purchase Agreement. 

        All
such notices and communications shall be deemed to have been duly given: when delivered by hand, if personally delivered; one business day after being delivered to a next-day air
courier; five business days after being deposited in the mail; and when receipt is acknowledged by the recipient's telecopier machine, if sent by telecopier. 

        (c)    Successors And Assigns.    This Agreement shall be binding upon the Company, the Guarantor and their respective
successors, assigns and transferees, including, without limitation and without the need for an express assignment, subsequent Holders; provided that
nothing herein shall be deemed to permit any assignment, transfer or other disposition of Exchange Notes in violation of the terms hereof or of the Purchase Agreement or the Indenture. If any
transferee of any Holder shall acquire Exchange Notes in any manner, whether by operation of law or otherwise, such Exchange Notes shall be held subject to all of the terms of this Agreement, and by
taking and holding such Exchange Notes, such person shall be deemed to have agreed to be bound by, and to perform its obligations under, this Agreement, including the restrictions on resale set forth
in this Agreement and, if applicable, the Purchase Agreement, and such person shall be entitled to receive the benefits hereof. 

        (d)    Counterparts.    This Agreement may be executed in any number of counterparts (which may be delivered in
original form or by telecopier) and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute
one and the same agreement. 

        (e)    Definition of Terms.    For purposes of this Agreement, (a) the term "business day" means any day on which the
New York Stock Exchange, Inc. is open for trading, and (b) except where otherwise expressly provided, the term "affiliate" has the meaning set forth in Rule 405 under the Securities Act. 

        (f)    Headings.    The headings in this Agreement are for convenience of reference only and shall not limit or
otherwise affect the meaning hereof. 

        (g)    Governing Law.    This Agreement shall be governed by and construed in accordance with the laws of the State of
New York. 

        (h)    Consent to Jurisdiction.    The Guarantor irrevocably submits to the jurisdiction of any New York state or U.S.
federal court sitting in the Borough of Manhattan, The City of New York, in any suit, action or proceeding relating to its obligations, liabilities or any other matter arising out of or in connection
with this Agreement. The Guarantor hereby irrevocably agrees that all 

14

 

claims
in respect of any such action or proceeding may be heard and determined in such New York state or U.S. federal court. The Guarantor also hereby irrevocably waives, to the fullest extent
permitted by law, any objection to venue or the defense of an inconvenient forum to the maintenance of any such action or proceeding in any such court. 

        (i)    Appointment of Agent for Service of Process.    The Guarantor hereby (i) irrevocably designates and appoints
its Chief Financial Officer (from time to time) located at its principal executive offices at 50 Main Street, White Plains, New York 10606 (together with any successor, the
"Authorized Agent"), as its agent upon which process may be served in any suit, action or proceeding described in the first sentence of Section 10(h)
hereof and represents and warrants that the Authorized Agent has accepted such designation and (ii) agrees that service of process upon the Authorized Agent and written notice of said service to the
Guarantor mailed or delivered to its Secretary at its registered office at 2 Church Street, Hamilton HM11, Bermuda, shall be deemed in every respect effective service of process upon the Guarantor in
any such suit or proceeding. The Guarantor further agrees to take any and all action, including the execution and filing of any and all such documents and instruments, as may be necessary to continue
such designation and appointment of the Authorized Agent in full force and effect so long as any of the Notes shall be outstanding. 

        (j)    Foreign Taxes.    All payments to be made by the Guarantor under this Agreement shall be paid free and clear of
and without deduction or withholding for or on account of, any present or future taxes, levies, imposts, duties, fees, assessments or other charges of whatever nature, imposed by Bermuda or any other
jurisdiction in which the Guarantor is located or by any political subdivision or taxing authority thereof or therein, and all interest, penalties or similar liabilities with respect thereto
(collectively, "Taxes"). If any Taxes are required by law to be deducted or withheld in connection with
such payments, the Guarantor will increase the amount paid so that the full amount of such payment is received by the Holders. 

        (k)    Judgment Currency.    If for the purposes of obtaining judgment in any court it is necessary to convert a sum
due hereunder into any currency other than U.S. dollars, the parties hereto agree, to the fullest extent permitted by law, that the rate of exchange used shall be the rate at which in accordance with
normal banking procedures a Holder could purchase U.S. dollars with such other currency in the City of New York on the business day preceding that on which final judgment is given. The obligation of
the Guarantor with respect to any sum due from it to any Holder shall, notwithstanding any judgment in a currency other than U.S. dollars, be discharged only if and to the extent that on the first
business day following receipt by such Holder of any sum adjudged to be so due in such other currency, such Holder may in accordance with normal banking procedures purchase U.S. dollars with such
other currency. If the U.S. dollars so purchased are less than the sum originally due to such Holder hereunder, the Guarantor agrees, as a separate obligation and notwithstanding any such judgment, to
indemnify such Holder against such loss. If the U.S. dollars so purchased are greater than the sum originally due to such Holder hereunder, such Holder agrees to pay to the Guarantor an amount equal
to the excess of the U.S. dollars so purchased over the sum originally due to such Holder hereunder. 

        (l)    Remedies.    In the event of a breach by the Company or the Guarantor or by any Holder of any of their
respective obligations under this Agreement, each Holder or the Company or the Guarantor, as the case may be, in addition to being entitled to exercise all rights granted by law, including recovery of
damages (other than the recovery of damages for a breach by the Company or the Guarantor of their obligations under Sections 1 or 2 hereof for which additional interest has been paid pursuant to
Section 3 hereof), will be entitled to specific performance of its rights under this Agreement. 

15

 

        (m)    No Inconsistent Agreements.    Each of the Company and the Guarantor represents, warrants and agrees that (i)
it has not entered into, shall not, on or after the date of this Agreement, enter into any agreement that is inconsistent with the rights granted to the Holders in this Agreement or otherwise
conflicts with the provisions hereof, (ii) it has not previously entered into any agreement which remains in effect granting any registration rights with respect to any of its debt securities to any
person and (iii) without limiting the generality of the foregoing, without the written consent of the Holders of a majority in aggregate principal amount of the then outstanding Transfer Restricted
Securities, it shall not grant to any person the right to request the Company to register any debt securities of the Company under the Securities Act unless the rights so granted are not in conflict
or inconsistent with the provisions of this Agreement. 

        (n)    No Piggyback on Registrations.    Neither the Company nor any of its security holders (other than the Holders
of Transfer Restricted Securities in such capacity) shall have the right to include any securities of the Company in any Registered Exchange Offer other than Transfer Restricted Securities. 

        (o)    Severability.    The remedies provided herein are cumulative and not exclusive of any remedies provided by law.
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions,
covenants and restrictions set forth herein shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their reasonable best
efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision, covenant or restriction. It is hereby stipulated and
declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared
invalid, illegal, void or unenforceable. 

        (p)    Securities Held by the Company.    Whenever the consent or approval of Holders of a specified percentage of
principal amount of Notes is required hereunder, Notes held by the Company, the Guarantor or their affiliates (other than subsequent Holders of Notes if such subsequent Holders are deemed to be
affiliates solely by reason of their holdings of such Notes) shall not be counted in determining whether such consent or approval was given by the Holders of such required percentage. 

        (q)    Third Party Beneficiaries.    The Holders shall be third party beneficiaries to the agreements made hereunder
between the Company and the Guarantor, on the one hand, and the Initial Purchasers, on the other hand, and shall have the right to enforce such agreements directly to the extent they may deem such
enforcement necessary or advisable to protect their rights or the rights of Holders hereunder. 

16

 

        Please
confirm that the foregoing correctly sets forth the agreement among the Company, the Guarantor and the Initial Purchasers. 

	 	 	Very truly yours,
	

 	
 	
BUNGE LIMITED FINANCE CORP.
	

 	
 	
By	

/s/  MORRIS KALEF      
	 	 	 	
 Name:  Morris Kalef

Title:    President
	

 	
 	
BUNGE LIMITED
	

 	
 	
By	

/s/  WILLIAM M. WELLS      
	 	 	 	
 Name:  William M. Wells

Title:    Chief Financial Officer
	

 	
 	

By	

/s/  MORRIS KALEF      
	 	 	 	
 Name:  Morris Kalef

Title:    Treasurer

Accepted
and Agreed: 

	

CITIGROUP GLOBAL MARKETS INC.	
 	

 
	J.P. MORGAN SECURITIES INC.

    As Representatives of the Initial Purchasers

    as listed on Schedule 1 to the Purchase Agreement	 	 
	

CITIGROUP GLOBAL MARKETS INC.	
 	

 
	

By	

/s/  JAIME ARRASTIA      
 Authorized Signatory

Vice President	
 	

 
	

J.P. MORGAN SECURITIES INC.	
 	

 
	

By	

/s/  MARIA SRAMEK      
 Authorized Signatory

Vice President	
 	

 

17EXHIBIT 10.16
                                                                   -------------

         *OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
          COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT.

                                LICENSE AGREEMENT
                                -----------------

            AGREEMENT made effective as of April 1, 1993, by and between KOBRA
INTERNATIONAL, LTD., T/A Nicole Miller, a New York corporation having its office
and principal place of business at 525 Seventh Avenue, New York, New York 10018
(hereinafter referred to as "Licensor"); and California Design Studio, Inc. a
California Corporation having its office and principal place of business at 5126
Clareton Drive, Suite 100, Agoura Hills, California 91301 (hereinafter referred
to as "Licensee").

                              W I T N E S S E T H:
                              - - - - - - - - - -

            WHEREAS, Licensor is the owner of all right, title and interest in
and to the trademark "Nicole Miller," and all decorative designs and displays
thereof (hereinafter collectively the "Licensed Mark"); and

            WHEREAS, the parties hereto wish to enter into an agreement for the
use of the Licensed Mark in accordance with the terms and conditions hereinafter
set forth:

            NOW, THEREFORE, in consideration of the mutual covenants and
undertakings hereinafter set forth, Licensor and Licensee do hereby respectively
grant, covenant, and agree as follows:

            1. Grant of License. Licensor hereby grants to Licensee, on the
terms and conditions hereinafter set forth, an exclusive license (the
"License"), the territory covered by this Agreement is world-wide, (hereinafter
collectively referred to as the "Territory"), to use the Licensed Mark solely in
connection with the manufacture, distribution, promotion and sale of eyewear,
both retail (Sunwear) and ophthalmic (Eyewear) (the "Licensed Products"). All
Licensed Products shall bear the Licensed Mark.

            2. Term. The term of this Agreement shall commence on the date first
set forth above, and shall expire three years (3) years thereafter (the "Initial
Term"). Subject to the terms set forth in Schedule A annexed hereto, this
Agreement may be renewed for two Renewal Terms, as defined and set forth
therein, ("First Renewal Term" - "Second Renewal Term") and the Initial Term and
each renewal term are collectively referred to herein as the Term of this
Agreement.

            3. Payment of Royalties.

                  (a) In consideration of the License granted and the services
to be performed by Licensor hereunder, Licensee shall pay to Licensor a royalty
(the "Royalty") based upon Net Sales of the Licensed Products during the Term
hereof and payable each calendar quarter. For purposes of this Agreement, "Net
Sales of the Licensed Products" shall mean the gross invoice price for all
Licensed Products invoiced during that period, less any normal trade discounts,
and less returns and all other credits, allowances, and chargebacks (said
returns, credits, allowances and chargebacks hereinafter collectively
"Deductions"). The parties hereto specifically agree that no offsets,
reductions, credits or adjustments to the gross invoice price of the Licensed
Products whatsoever shall be made in computing amounts due to Licensor under
this Agreement other than as set forth in this Section 3(a).

                  (b) The Royalty payable to Licensor for each calendar quarter
occurring in whole or in part within the Term of this Agreement shall be [ * ]%
of Net Sales of the Licensed Products.

                  (c) Notwithstanding anything to the contrary contained in this
Agreement, for each calendar year during the Term of this Agreement, Licensee
shall pay to Licensor a minimum royalty (the "Guaranteed Annual Minimum
Royalty"), without offset or deduction whatsoever. The Guaranteed Annual Minimum
Royalty for

                                        1
<PAGE>

the Initial Term shall be $[ * ]. For the three years of the Initial Terms the
Guaranteed Annual Minimum Royalty shall be paid as follows: Year One - $[ * ],
Year Two - $[ * ] and Year Three - $[ * ]. The Guaranteed Annual Minimum Royalty
Payment for the first Year shall be paid as follows: $[ * ] upon execution of
this Agreement and the balance of $[ * ] in twelve (12) equal monthly
installments of $[ * ] per month commencing on January 1, 1994. The Guaranteed
Annual Minimum Royalty Payments for year two shall be paid in $[ * ] monthly
installments commencing on January 1, 1995. The Guaranteed Annual Minimum
Royalty Payments for year three shall be in monthly installments of $[ * ] per
month commencing on January 1, 1996. Year One of this Agreement will run from
April 1, 1993 through and inclusive to December 31, 1994. Thereafter, each year
will be on a calendar year basis commencing on January 1st of said year.

                  (d) Within thirty (30) days after the end of each calendar
quarter during the Term of this Agreement, Licensee shall furnish to Licensor a
full and accurate statement showing the number, description and gross invoice
price of each article of Licensed Products sold, the returns actually received,
and the trade discounts, credits and allowances, and chargebacks actually
granted or taken during said calendar quarter. Said statements shall be subject
to verification as provided in Sections 13 and 14 below.

                  (e) In the event that, for any calendar quarter, the amount of
Royalty due under this Agreement exceeds the Guaranteed Annual Minimum Royalty
then, within thirty (30) days after the end of such calendar quarter, Licensee
shall pay to Licensor in addition to the Guaranteed Annual Minimum Royalty for
such quarter an amount equal to the excess of (i) the Royalty for said calendar
quarter over (ii) the Guaranteed Annual Minimum Royalty for said calendar
quarter. Any excess of Royalty over Guaranteed Annual Minimum Royalty for any
year of a Term not already so paid by the end of said year shall be paid to
Licensor within 30 days after the end of said year. Notwithstanding the
foregoing, once Licensee has made payments of Royalty and Guaranteed Annual
Minimum Royalty which equal or exceed the Guaranteed Annual Minimum Royalty for
a year, Licensee shall not be required to make further payment of Guaranteed
Annual Minimum Royalty for that year.

            4. Advertising.

                  (a) Licensee shall expend each year in the Territory for
advertising the Licensed Products in an amount equal to[ * ]% of the Net Selling
Price of the Licensed Products in said year. Monies expended by Licensee on
trade show fees, space, booths or set-ups, and on showrooms (including special
showrooms for the Licensed Products), co-op advertising, and promotional
give-aways, shall not be considered monies spent on advertising. Licensee shall
maintain records for advertising relating to the Licensed Products that are
totally separate and distinct from records for advertising other items sold in
its business. These records shall be available for Licensor's inspection at all
reasonable times on reasonable notice during business hours.

                  (b) No later than the last day of the calendar month following
the end of each Year, Licensee shall report to Licensor, in writing, the sum
actually spent on advertising during that Year, including proof of payment, and
shall permit Licensor to verify such sum in Licensee's and its advertising
agency's books and records.

            5. Renewal Options. Provided that Licensee is not in default
hereunder, Licensee shall have the option to renew this Agreement for the two
Renewal Terms upon written notice to Licensee not less than 90 days' prior to
the ending of the preceding Term.

            6. Required Markings. Before manufacturing or causing to be
manufactured any Licensed Products, Licensee shall submit to Licensor for its
approval, finished pre-production samples not less than 60 days in advance of
production to permit Licensor to correct, to the extent necessary, the legends,
markings and notices and the form and manner in which the Licensed Mark is to be
displayed. Licensee shall display the Licensed Mark only in such form and manner
as are specifically approved in writing from time to time by Licensor which
approval Licensor covenants it will not unreasonably withhold. Once approved,
said form and manner of display shall be deemed approved until Licensor notifies
Licensee otherwise in writing.

                                        2
<PAGE>

            7. Licensor's Right to Approve all Aspects of Production,
Distribution, and Sales.

                  (a) Licensee hereby grants to Licensor the right to approve
the designs, packaging, workmanship, and quality of all Licensed Products to
insure that all Licensed Products manufactured, sold, and distributed hereunder
are consistent with the high quality standards maintained by Licensor and other
licensees of Licensor in the production and sale of merchandise bearing the
Licensed Mark, which approval shall not be unreasonably withheld. In addition,
Licensee shall not market, sell, or distribute any Licensed Products to any
persons or entities, or utilize any channels or methods of distribution, which
are reasonably objected to by Licensor in a written notice delivered to
Licensees. To this end, Licensee shall regularly consult with Licensor regarding
all aspects of the production of the Licensed Products, as well as the markets
and marketing methods in which and by which the Licensed Products are sold.

                  (b) Licensor agrees during the Term hereof not to grant
licenses of the Licensed Mark to licensees who, in Licensor's reasonable
opinion, will diminish the reputation and value of the Licensed Mark.

                  (c) Unless otherwise agreed, Licensee will deliver to Licensor
at its offices in New York City then current samples of all Licensed Products
proposed to be sold so that Licensor may assure itself of the maintenance of the
quality standards required herein. The approval of Licensee shall not be
withheld unreasonably and any sample submitted to Licensor which has not been
disapproved in writing within twenty (20) business days after receipt by
Licensor shall be deemed to have been approved. Licensee agrees that all
Licensed Products will be at least equal in quality to the samples delivered or
made available to Licensor and approved by Licensor. Licensor and its duly
authorized representatives shall have the right from time to time to examine
Licensed Products in the process of being manufactured and to inspect all
facilities utilized by Licensee in connection with the manufacture of Licensed
Products.

            8. Copyright and Design Rights.

                  (a) In the event Licensor provides Licensee with any designs,
concepts, materials, sketches, colorations, fabrications, patterns, canvases or
samples, which are not in the public domain, Licensee shall use same solely in
connection with the manufacture, distribution, and sale of the Licensed Products
in the Territory pursuant to this Agreement. Licensee will not, at any time, do
or knowingly suffer to be done any act or thing which may adversely affect any
rights of Licensor in such designs, and the like and will, at Licensor's
request, do all things reasonably required by Licensor to preserve and protect
said rights.

            9. Samples, Production, Sales, Administration.

            Licensee will be solely obligated to perform all of the following
functions at its own cost and expense: (a) production of samples proposed by
Licensee to be manufactured and sold as Licensed Products; (b) production and
manufacture of Licensed Products; (c) promotion and sale of the Licensed
Products; (d) dealings with factories; and (e) administration of each of the
foregoing.

            10. Trademark Ownership. Licensee acknowledges Licensor's ownership
of all right, title and interest in and to the Licensed Mark, and agrees not to
challenge the validity and ownership thereof by Licensor. Licensee shall not at
any time attempt to register the Licensed Mark or any variant thereof in its own
name for its own benefit in any jurisdiction or in any place in the world.
Licensee agrees that it will not directly or indirectly infringe on the Licensed
Mark in its own name or for its own benefit anywhere at any time. Licensee shall
immediately notify Licensor of any facts or circumstances coming to Licensee's
attention regarding the possible infringement of the Licensed Mark, and Licensee
shall diligently cooperate with Licensor during and after the Term hereof in
prosecuting and defending any actions in connection therewith (at Licensor's
expense). Licensee shall have no right to take any action with respect to the
protection of the Licensed Mark without Licensor's prior written approval. Any
recovery gained against any third party infringer shall be first applied against
legal fees incurred in connection with such action and then allocated between
Licensor and Licensee in the proportion specified by the tribunal ordering said
recovery. All rights in the Licensed Mark other than those specifically granted
in this Agreement are reserved by Licensor for its own use and benefit. Licensee
shall cooperate with Licensor in the execution, filing and prosecution of any
trademark or copyright applications that Licensor may desire to file with
respect to proprietary rights of Licensor and for that purpose Licensee shall
supply to Licensor from time to time, such samples,

                                        3
<PAGE>

containers, labels and similar material as may be reasonably requested by
Licensor. Licensee recognizes the great value of the good will associated with
the Licensed Mark and that all rights to the Licensed Mark and its associated
good will belong exclusively to Licensor. Licensee also recognizes that the
Licensed Mark has acquired a secondary meaning to the public. Licensee agrees
not to use the Licensed Mark in any manner that would derogate or detract from
its reputation.

            11. Exclusivity of Right. Notwithstanding the License granted in
this Agreement, Licensor retains the right to use and to grant to others the
right to use the Licensed Mark for all purposes outside the Territory and, in
connection with all products not included in the Licensed Products, within the
Territory. Licensee realizes that it has been granted no rights to any other
trademark owned or used by the Licensor. Licensor reserves the right at its
option to enter into agreements with third parties prior to the termination of
this Agreement pursuant to which such third parties may distribute and sell
Licensed Products with the Licensed Mark thereon in the Territory after the end
of the Term hereof and prior to the final collection of receipts for Licensed
Products sold pursuant to this Agreement.

            12. Books and Records. Licensee shall maintain appropriate books of
account in which accurate entries shall be made concerning all transactions
within the scope of this Agreement, and Licensor shall have the right, through
any accountant or other authorized representative of its choice, on reasonable
advance notice to Licensee, to examine and copy all or part of these books of
account and all other records, documents and material in the possession or under
the control of Licensee with respect to the subject matter of this Agreement.
All books of account and records shall be kept available by Licensee for at
least three (3) years after the year to which they relate. Licensee shall also
provide, upon Licensor's request, a copy of any computerized tape or disk if its
sales records are maintained on magnetic media.

            13. Review and Adjustment. If, as a result of any examination of
Licensee's books and records, it is determined by Licensor that any payments due
to Licensor under this Agreement for any period were more than the amount
actually paid for such period, Licensee promptly shall reimburse Licensor upon
demand for said difference, and any dispute shall be subsequently settled by
arbitration hereunder. In the event that the difference, as finally determined,
is more than 25% of the amount actually due, then Licensee shall immediately
reimburse Licensor upon demand for the cost of such examination. If it is
determined by Licensee that any payments due to Licensor under this Agreement
for any period were less than the amount actually paid to Licensor for such
period, Licensee shall notify Licensor and Licensor shall immediately return the
undisputed portion of said amount.

            14. Indemnity. Licensee will indemnify Licensor, its officers,
directors, shareholders, employees and agents, and hold them harmless from and
against any claim, suit, loss, damage, or expense (including reasonable
attorneys' fees) arising out of any transactions contemplated hereby, including,
but not limited to, any alleged defect in any Licensed Products produced by
Licensee under this Agreement, and the manufacture, labelling, sale,
distribution or advertisement of any Licensed Products by Licensee in violation
of any national, state or local law or regulation except for those acts or
omissions of Licensee requested by Licensor in writing. Licensor will indemnify
Licensee, its officers, directors, shareholders, employees and agents, and hold
them harmless from and against any claim, suit, loss, damage, or expense
(including reasonable attorneys' fees) arising out of Licensor's breach of any
of its obligations, covenants, representations or warranties hereunder.

            15. Insurance. Licensee shall maintain at its own expense in full
force and effect at all times during the Term hereof for the benefit of Licensor
as its interests may appear, with a responsible insurance carrier acceptable to
Licensor, at least two million dollars ($2,000,000) of products liability
insurance with respect to the Licensed Products. Licensee shall give at least
sixty (60) days' prior written notice to Licensor of the cancellation of, or any
substantial modification in, such insurance policy. Said insurance may be
obtained for Licensor by Licensee in conjunction with a policy which covers
products other than the Licensed Products. Licensee shall furnish Licensor with
a with a copy of said policy and all renewals thereof, and shall deliver to
Licensor within thirty (30 ) days of each premium due date evidence of payment
thereof.

            16.   (a) Termination for Breach. If Licensee breaches any of its
obligations under this Agreement, which breach is not cured within ten (10) days
after written notice from Licensor to Licensee in the case of any

                                        4
<PAGE>

obligation to pay money, and after a reasonable opportunity to cure in all other
cases, Licensor shall have the right, without prejudice to any other rights
which Licensor may have, to immediately terminate this Agreement.

                  (b) Termination because of Licensee's Insolvency. If Licensee
is adjudicated a bankrupt, or if a petition in bankruptcy is filed against
Licensee which is not dismissed within 60 days after the filing thereof, or if
Licensee makes any assignment for the benefit of its creditors, or if Licensee
commits any act of bankruptcy or takes the benefit of any insolvency law, or if
Licensee defaults on any obligation which is secured in whole or part by a
security interest in the Licensed Products, or if a receiver is appointed for
Licensee or a substantial part of its business interests, this Agreement shall
automatically terminate as of the earliest date on which any of the above events
occurred without prejudice to any other rights which Licensor may have. The
invalidity or uneforecability of this subparagraph due to the effect of
bankruptcy laws shall not affect or render any other clause of this Agreement
invalid.

                  (c) Termination because of Licensor's Insolvency. If Licensor
is adjudicated a bankrupt, or if a petition in bankruptcy is filed against
Licensor which is not dismissed within 60 days after the filing thereof, or if
Licensor makes any assignment for the benefit of its creditors, or if Licensor
commits any act of bankruptcy or takes the benefit of any insolvency law; or if
Licensor defaults on any obligation which is secured in whole or part by a
security interest in the Licensed Products, or if a receiver is appointed for
Licensor or a substantial part of its business interests, this Agreement shall
automatically terminate as of the earliest date on which any of the above events
occurred without prejudice to any other rights which Licensee may have. The
invalidity or uneforecability of this subparagraph due to the effect of
bankruptcy laws shall not affect or render any other clause of this Agreement
invalid.

            17. Late Charges. Any payments which are not made when due shall
bear interest at the rate of 1% per calendar month (whole or any part) until
paid.

            18. Effect of Termination. Upon expiration or termination of this
Agreement for any reason whatsoever, all rights in the Licensed Mark shall
automatically revert to Licensor. Licensee shall cease all use of the Licensed
mark which have been embodied in Articles bearing the Licensed Mark, except if
termination is not pursuant to Section 15 (a), then Licensee shall then have six
(6) months from the date of termination to sell out its then existing inventory
of Licensed Products in accordance with the terms of this Agreement. Licensee
shall account for, and pay, all amounts due hereunder not later than thirty (30)
days after the close of said three (3) month period. Upon the date of
termination, Licensee will promptly compute and inform Licensor of the amount of
its then existing inventory of Licensed Products.

            19. (a) Representations and Warranty. The parties respectively
represent and warrant to each other that they are under no legal impediment
which would prevent their entering into this Agreement or consummating the
transactions contemplated hereby, and each has the full power and authority to
execute and perform this agreement.

            (a) (b) Relationship of Parties. Nothing contained in this Agreement
shall be construed to place the parties in the relationship of legal
representatives, partners, joint venturers, or agents, and Licensee shall have
no power to obligate or bind Licensor in any manner.

            20. Assignability. Neither party may assign or sublicense any or all
of its rights or delegate any of its duties under this Agreement without the
prior written consent of the other; except Licensee may sublease to After Six.
Any other attempted assignment or sublicense in violation of this provision
shall be void.

            21. Notices. Any notice or other communication under this Agreement
shall be in writing and shall be considered given when delivered personally or
by registered mail, return receipt requested, to the parties at the following
addresses:

                                        5
<PAGE>

            If to Licensor:                   Kobra International, Ltd
                                              525 Seventh Avenue
                                              New York, New York 10018
                                              Attn: Mr. B. Brand Konheim

            Attorney:                         Brett J. Meyer, Esq.
                                              Kreindler & Relkin, P.C.
                                              350 Fifth Avenue
                                              Suite 6500
                                              New York, New York 10118

            If to Licensee:                   California Design Studio

            with a copy to:

            22. Waiver. The failure of a party to insist upon strict adherence
to any term of this Agreement on any occasion shall not be considered a waiver
or deprive or limit that party of the right thereafter to insist upon strict
adherence to that term in the particular instance or any other term of this
Agreement in any instance. No modification or waiver of this Agreement shall be
effective unless it is in writing and signed by the parties hereto.

            23. Governing Law; Headings. This Agreement shall be governed by and
construed in accordance with the laws of the State of New York. The headings are
solely for convenience of reference and shall not affect its interpretation.

            24. Arbitration.

                  (a) Any controversy arising out of or relating to this
Agreement shall be resolved by arbitration in the City of New York pursuant to
the rules then obtaining of the American Arbitration Association. The panel of
Arbitrators appointed to settle any such controversy or claim shall consist of
three (3) Arbitrators.

                  (b) The Arbitrators sitting in any such controversy shall have
no power or jurisdiction to alter or modify any express provision of this
Agreement or to make any award which by its terms affects any such alteration or
modification.

                  (c) The parties consent to the jurisdiction of the Supreme
Court of the State of New York and further consent that any demand for
arbitration or any process or notice of motion or other application to the Court
or a Judge thereof, in connection with the same, may be served in or out of the
State of New York by registered mail or by personal service, provided a
reasonable time for appearance is allowed.

                  (d) The provision for arbitration herein shall not be deemed
any wavier of the rights of either party to any provisional remedy provided
under New York law. It is agreed that in the event of any violation hereof, the
other party hereto shall have the right to obtain a preliminary injunction
enjoining any further violation of this Agreement pending arbitration.

                  (e) In the event of arbitration or legal proceedings, Licensee
shall, in addition to all other damages, be liable for Kobra's reasonable
attorneys' fees in such amount as the arbitrators or court deems reasonable, and
the arbitrators in said arbitration, and the court in any legal proceeding, are
hereby authorized to direct payment of said attorneys' fees.

            25. Complete Agreement. This Agreement contains a complete statement
of all the arrangements among the parties with respect to its subject matter.

                                        6
<PAGE>

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

                                            KOBRA INTERNATIONAL, LTD

                                            By:  /s/
                                                 -----------------------
                                            Its   CEO

                                            CALIFORNIA DESIGN STUDIO, INC.

                                            By:  /s/
                                                 -----------------------
                                            Its   President

                                        7
<PAGE>

                                   SCHEDULE A
                                   ----------

     (a) Licensee shall have the option to renew this Agreement for an
additional term of three (3) years (the "First Renewal Term") only if:

                  (i) Licensee is in compliance with all of the terms and
conditions of this Agreement, both at the time the option is exercised and on
the last day of the Initial Term of this Agreement; and

                  (ii) the Guaranteed Minimum Royalty for the First Renewal Term
shall be $[ * ]. For the three years of the First Renewal Term the Guaranteed
Annual Minimum Royalty shall be paid as follows: Year Four - $[ * ], Year Five -
$[ * ], Year Six - $[ * ].

     (b) Licensee shall have the option to renew this Agreement for an
additional term of three (3) years (the "Second Renewal Term") only if:

                  (i) Licensee is in compliance with all of the terms and
conditions of this Agreement at the time the option is exercised and on the last
day of the First Renewal Term;

                  (ii) The Guaranteed Minimum Royalty for the First Renewal Term
has been paid to Licensor; and

                  (iii) The Guaranteed Minimum Royalty for the Second Renewal
Term shall be $[ * ]. For the three years of the Second Renewal Term the
Guaranteed Annual Minimum Royalty shall be paid as follows: Year Seven - $[ * ],
Year Eight - $[ * ], Year Nine - $[ * ].

                                        8
<PAGE>

June 4, 1999

California Design Studio, Inc.
31280 Oak Crest Drive
Westlake Village, CA 91361

Signature Eyewear, Inc.
498 North Oak St.
Inglewood, CA 90302

            Re: Consent to Assignment and Waiver

Ladies/Gentleman:

            Reference is made to that certain License Agreement (the "License
Agreement"), dated as of April 1, 1993, by and between Kobra International, Ltd.
d/b/a Nicole Miller, a New York corporation ("Licensor") and California Design
Studio, Inc. a California corporation ("Assignor"). We understand that pursuant
to the terms of an Asset Purchase Agreement (the "Purchase Agreement") currently
being negotiated by and among Signature Eyewear, Inc., a California corporation
("Assignee"), Assignor, certain subsidiaries of Assignor and Carlos Albert
Khantzis, the sole shareholder of Assignor, it has been proposed that, effective
upon the closing (the "Closing") of the transactions contemplated by the
Purchase Agreement, Assignee (i) acquire certain of the assets of the Assignor,
including, without limitation, the License Agreement and the rights of Assignor
thereunder, and (ii) assume certain liabilities of Assignor including, without
limitation, the liabilities and obligations of Assignor under the License
Agreement.

            Section 20 of the License Agreement prohibits Assignor from
assigning any of its rights or delegating any of its duties under the License
Agreement without prior written consent.

            Effective upon and following the execution and delivery of the
definitive Purchase Agreement by the parties thereto, and provided that Assignee
assumes Assignor's duties under the License Agreement at the Closing, we hereby
(i) consent to the assignment by Assignor of its rights, and the delegation by
Assignor of its duties, under the License Agreement to Assignee (the
"Assignment") in full satisfaction of Section 20 of the License Agreement, and
(ii) agree that Assignee shall be deemed the "Licensee" under the License
Agreement.

                                           Very truly yours,
                                           KOBRA INTERNATIONAL, LTD. D/B/A
                                           NICOLE MILLER, a New York Corporation

                                           By:  /s/
                                                -----------------------
                                           Its:  CEO
                                                -----------------------

<PAGE>

December 18, 2002

Kobra International, Ltd.
d/b/a Nicole Miller
Ms. Lisa Funk, Licensing Director 525 Seventh Ave.
New York, NY 10018

                              RE: LICENSE AGREEMENT

Dear Lisa:

            Reference is made to that certain License Agreement (the "License
Agreement") dated as of April 1, 1993 by and between Kobra International, Ltd.
d/b/a Nicole Miller, a New York corporation ("Licensor"), and Signature Eyewear,
Inc, a California corporation ("Licensee"), as successor to California Design
Studio Inc.

            We propose to delete Section 5 of the License Agreement and to amend
Section 2 of the Agreement in its entirety to read as follows:

            2. Term. The term of this Agreement shall commence on the date first
            set forth above and shall expire on March 31, 2006. Licensee shall
            have the option to renew this Agreement for an additional term of
            three (3) years if and only if: (i) Licensee is in compliance with
            all of the terms and conditions of this Agreement both at the time
            this option is exercised and on March 31, 2006; and (ii) Licensee
            shall pay the Guaranteed Minimum Royalty for the three years ended
            March 31, 2006, which shall be $[ * ] per year.

            Please confirm your agreement to the foregoing by executing the
enclosed copy of this letter and returning it to the undersigned.

Very truly yours,

SIGNATURE EYEWEAR, INC.

/s/ Michael Prince
--------------------------
Michael Prince
Chief Financial Officer

Accepted and agreed as of the date first above written.

KOBRA INTERNATIONAL, LTD.
D/B/A NICOLE MILLER

By:  /s/
    --------------------------

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