Document:

Exhibit 10.1

Exhibit 10.1

DIAMONDROCK HOSPITALITY COMPANY

$75,000,000 OF COMMON STOCK

CONTROLLED EQUITY OFFERINGSM

SALES AGREEMENT

July 27, 2009

CANTOR FITZGERALD & CO.

499 Park Avenue

New York, New York 10022

Ladies and Gentlemen:

DIAMONDROCK HOSPITALITY COMPANY, a Maryland corporation (the “Company”), and DIAMONDROCK
HOSPITALITY LIMITED PARTNERSHIP, a Delaware limited partnership (the “Partnership”), confirm their
respective agreements (this “Agreement”) with Cantor Fitzgerald & Co. (“CF&Co”), as follows:

1. Issuance and Sale of Shares. The Company agrees that, from time to
time during the term of this Agreement, on the terms and subject to the conditions set forth
herein, it may issue and sell through CF&Co, acting as agent and/or principal, (a) shares of the
Company’s common stock, par value $0.01 per share (the “Common Stock”), having an aggregate
offering price of up to $75,000,000 (the “Shares”). Notwithstanding anything to the contrary
contained herein, the parties hereto agree that compliance with the limitation set forth in this
Section 1 on the number of Shares issued and sold under this Agreement shall be the sole
responsibility of the Company, and CF&Co shall have no obligation in connection with such
compliance. The issuance and sale of Shares through CF&Co will be effected pursuant to the
Registration Statement (as defined below) filed by the Company and declared effective by the
Securities and Exchange Commission (the “Commission”), although nothing in this Agreement shall be
construed as requiring the Company to use the Registration Statement (as defined below) to issue
the Shares.

The Company has filed, in accordance with the provisions of the Securities Act of 1933, as
amended, and the rules and regulations thereunder (collectively, the “Securities Act”), with the
Commission a registration statement on Form S-3 (File No. 333-157753), including a base prospectus
dated March 6, 2009, relating to certain securities, including the Shares, to be issued from time
to time by the Company, and which incorporates by reference documents that the Company has filed or
will file in accordance with the provisions of the Securities Exchange Act of 1934, as amended, and
the rules and regulations thereunder (collectively, the “Exchange Act”). The Company has prepared a
prospectus supplement specifically relating to the Shares (the “Prospectus Supplement”) to the base
prospectus included as part of such registration statement. The Company has furnished to CF&Co,
for use by CF&Co, copies of the prospectus included as part of such registration statement, as
supplemented by the Prospectus Supplement, relating to the Shares. Except where the context
otherwise requires, such registration statement, on each date and time that such registration
statement and any post-effective amendment thereto became or becomes effective, including all
documents filed as part thereof or incorporated by reference therein, and including any information
contained in a Prospectus

 

 

 

(as defined below) subsequently filed with the Commission pursuant to Rule 424(b) under the Securities Act
deemed to be a part of such registration statement pursuant to Rule 430B or 462(b) of the
Securities Act, is herein called the “Registration Statement.” The base prospectus, including all
documents incorporated therein by reference, included in the Registration Statement, as it may be
supplemented by the Prospectus Supplement, in the form in which such prospectus and/or Prospectus
Supplement have most recently been filed by the Company with the Commission pursuant to Rule 424(b)
under the Securities Act, together with any “issuer free writing prospectus,” as defined in Rule
433 of the Securities Act Regulations (“Rule 433”), relating to the Shares that (i) is required to
be filed with the Commission by the Company or (ii) is exempt from filing pursuant to Rule
433(d)(5)(i), in each case in the form filed or required to be filed with the Commission or, if not
required to be filed, in the form retained in the Company’s records pursuant to Rule 433(g) (“Issue
Free Writing Prospectus”), is herein called the “Prospectus.” Any reference herein to the
Registration Statement, the Prospectus or any amendment or supplement thereto shall be deemed to
refer to and include the documents incorporated by reference therein, and any reference herein to
the terms “amend,” “amendment” or “supplement” with respect to the Registration Statement or the
Prospectus shall be deemed to refer to and include the filing after the execution hereof of any
document with the Commission deemed to be incorporated by reference therein. For purposes of this
Agreement, all references to the Registration Statement, the Prospectus or to any amendment or
supplement thereto shall be deemed to include any copy filed with the Commission pursuant to either
the Electronic Data Gathering Analysis and Retrieval System or Interactive Data Electronic
Applications (collectively “IDEA”).

The Company owns 100% of the partnership interests of the Partnership and is the sole general
partner of the Partnership. The Partnership directly or indirectly owns twenty (20) hotels as
described in the Prospectus (individually a “Hotel” and collectively, the “Hotels”). The
Partnership (or one of its subsidiaries) leases each of the Hotels to a wholly-owned subsidiary (a
“Lessee”), pursuant to a separate lease (collectively, the “Leases”). All of the Hotels are
operated and managed by a manager (the “Manager”) pursuant to separate management agreements
(collectively, the “Management Agreements”), each between a Lessee and the Manager, with the
exception of the Frenchman’s Reef & Morning Star Marriott Beach Resort property (which does not
operate under a lessee structure). The Leases and the Management Agreements are referred to
herein, collectively, as the “Hotel Agreements.”

2. Placements. Each time that the Company wishes to issue and sell the
Shares hereunder (each, a “Placement”), it will notify CF&Co by email notice (or other method
mutually agreed to in writing by the parties) (a “Placement Notice”) containing the parameters in
accordance with which it desires the Shares to be sold, which shall at a minimum include the number
of Shares to be issued (the “Placement Shares”), the time period during which sales are requested
to be made, any limitation on the number of Shares that may be sold in any one Trading Day (as
defined in Section 3) and any minimum price below which sales may not be made, a form of which
containing such minimum sales parameters necessary is attached hereto as Schedule 1. The
Placement Notice shall originate from any of the individuals from the Company set forth on
Schedule 2 (with a copy to each of the other individuals from the Company listed on such schedule),
and shall be addressed to each of the individuals from CF&Co set forth on Schedule 2, as such
Schedule 2 may be amended from time to time. The Placement Notice shall be effective upon receipt
by CF&Co unless and until (i) in accordance with the notice requirements set forth in Section 4,
CF&Co declines to accept the terms contained therein for any reason, in its sole discretion, (ii)
the entire amount of the Placement Shares have been sold, (iii) in accordance with the notice
requirements set forth in Section 4, the Company suspends or terminates the Placement Notice, (iv)
the Company issues a subsequent Placement Notice with parameters superseding those on the earlier
dated Placement Notice, or (v) the Agreement has been terminated under the provisions of Section
11. The amount of any discount, commission or other compensation to be paid by the Company to
CF&Co in connection with the sale of the Placement Shares shall be calculated in accordance with
the terms set forth in Schedule 3. It is expressly acknowledged and agreed that neither the
Company nor
CF&Co will have any obligation whatsoever with respect to a Placement or any Placement Shares
unless and until the Company delivers a Placement Notice to CF&Co and CF&Co does not decline such
Placement Notice pursuant to the terms set forth above, and then only upon the terms specified
therein and herein. In the event of a conflict between the terms of this Agreement and the terms
of a Placement Notice, the terms of the Placement Notice will control.

 

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3. Sale of Placement Shares by CF&Co. Subject to the terms and
conditions herein set forth, upon the Company’s issuance of a Placement Notice, and unless the sale
of the Placement Shares described therein has been declined, suspended, or otherwise terminated in
accordance with the terms of this Agreement, CF&Co., for the period specified in the Placement
Notice, will use its commercially reasonable efforts consistent with its normal trading and sales
practices and applicable state and federal laws, rules and regulations and the rules of the New
York Stock Exchange (the “NYSE”) to sell such Placement Shares up to the amount specified, and
otherwise in accordance with the terms of such Placement Notice. CF&Co will provide written
confirmation to the Company (including by email correspondence to each of the individuals of the
Company set forth on Schedule 2, if receipt of such correspondence is actually acknowledged by any
of the individuals to whom the notice is sent, other than via auto-reply) no later than the opening
of the Trading Day (as defined below) immediately following the Trading Day on which it has made
sales of Placement Shares hereunder setting forth the number of Placement Shares sold on such day,
the compensation payable by the Company to CF&Co pursuant to Section 2 with respect to such sales,
and the Net Proceeds (as defined below) payable to the Company, with an itemization of the
deductions made by CF&Co (as set forth in Section 5(a)) from the gross proceeds that it receives
from such sales. CF&Co may sell Placement Shares by any method permitted by law deemed to be an
“at the market” offering as defined in Rule 415 of the Securities Act, including without limitation
sales made directly on the NYSE, on any other existing trading market for the Common Stock or to or
through a market maker. After consultation with the Company, CF&Co may also sell Placement Shares
in privately negotiated transactions. The Company acknowledges and agrees that (i) there can be no
assurance that CF&Co will be successful in selling Placement Shares, and (ii) CF&Co will incur no
liability or obligation to the Company or any other person or entity if it does not sell Placement
Shares for any reason other than a failure by CF&Co to use its commercially reasonable efforts
consistent with its normal trading and sales practices to sell such Placement Shares as required
under this Section 3. For the purposes hereof, “Trading Day” means any day on which the Company’s
Common Stock is purchased and sold on the principal market on which the Common Stock is listed or
quoted.

4. Suspension of Sales. The Company or CF&Co may, upon notice to the
other party in writing (including by email correspondence to each of the individuals of the other
party set forth on Schedule 2, if receipt of such correspondence is actually acknowledged by any
of the individuals to whom the notice is sent, other than via auto-reply) or by telephone
(confirmed immediately by verifiable facsimile transmission or email correspondence to each of the
individuals of the other party set forth on Schedule 2), suspend any sale of Placement Shares;
provided, however, that such suspension shall not affect or impair either party’s obligations with
respect to any Placement Shares sold hereunder prior to the receipt of such notice. Each of the
Parties agrees that no such notice under this Section 4 shall be effective against the other unless
it is made to one of the individuals named on Schedule 2 hereto, as such schedule may be amended
from time to time.

5. Settlement.

(a) Settlement of Placement Shares. Unless otherwise specified in the
applicable Placement Notice, settlement for sales of Placement Shares will occur on the third (3rd)
Trading Day (or such earlier day as is industry practice for regular-way trading) following the
date on which such sales are made (each, a “Settlement Date”). The amount of proceeds to be
delivered to the Company on a Settlement Date against receipt of the Placement Shares sold (the
“Net Proceeds”) will be equal to the
aggregate sales price received by CF&Co at which such Placement Shares were sold, after
deduction for (i) CF&Co’s commission, discount or other compensation for such sales payable by the
Company pursuant to Section 2 hereof, (ii) any other amounts due and payable by the Company to
CF&Co hereunder pursuant to Section 7(g) hereof, and (iii) any transaction fees imposed by any
governmental or self-regulatory organization in respect of such sales.

 

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(b) Delivery of Placement Shares. On or before each Settlement Date, the
Company will, or will cause its transfer agent to, electronically transfer the Placement Shares
being sold by crediting CF&Co’s or its designee’s account (provided CF&Co shall have given the
Company written notice of such designee prior to the Settlement Date) at The Depository Trust
Company through its Deposit and Withdrawal at Custodian System or by such other means of delivery
as may be mutually agreed upon by the parties hereto which in all cases shall be freely tradeable,
transferable, registered shares in good deliverable form. On each Settlement Date, CF&Co will
deliver the related Net Proceeds in same day funds to an account designated by the Company on, or
prior to, the Settlement Date. The Company agrees that if the Company, or its transfer agent (if
applicable), defaults in its obligation to deliver Placement Shares on a Settlement Date, that in
addition to and in no way limiting the rights and obligations set forth in Section 9(a) hereto, it
will (i) hold CF&Co harmless against any loss, claim, damage, or expense (including reasonable
legal fees and expenses), as incurred, arising out of or in connection with such default by the
Company and (ii) pay to CF&Co any commission, discount, or other compensation to which it would
otherwise have been entitled absent such default.

6. Representations and Warranties of the Company and the
Partnership. The Company and the Partnership, jointly and severally, represent and warrant to,
and agree with, CF&Co that as of the date of this Agreement and as of each Representation Date (as
defined in Section 7(m) below) on which a certificate is required to be delivered pursuant to
Section 7(m) of this Agreement, as the case may be:

(a) Compliance with Registration Requirements. The Registration Statement
and any Rule 462(b) Registration Statement have been declared effective by the Commission under the
Securities Act. The Company has complied to the Commission’s satisfaction with all requests of the
Commission for additional or supplemental information.

(b) No Misstatement or Omission. The Prospectus when filed complied and,
as amended or supplemented, if applicable, will comply in all material respects with the Securities
Act. Each of the Registration Statement, any Rule 462(b) Registration Statement and any
post-effective amendment thereto, at the time it became effective, complied and, as of each of the
Settlement Dates, if any, will comply in all material respects with the Securities Act and did not
and, as of each of the Settlement Dates, if any, will not, contain any 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. The Prospectus, as amended or supplemented, as of its date,
did not and, as of each of the Settlement Dates, if any, will not contain any 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. The representations
and warranties set forth in the two immediately preceding sentences do not apply to statements in
or omissions from the Registration Statement, any Rule 462(b) Registration Statement, or any
post-effective amendment thereto, or the Prospectus, or any amendments or supplements thereto, made
in reliance upon and in conformity with information relating to CF&Co furnished to the Company in
writing by CF&Co expressly for use therein. There are no contracts or other documents required to
be described in the Prospectus or to be filed as exhibits to the Registration Statement which have
not been described or filed as required.

(c) Issuer Free Writing Prospectus. Each Issuer Free Writing Prospectus, as of its
issue date, did not, does not and will not include any information that conflicted, conflicts or
will conflict with the
information contained in the Registration Statement or the Prospectus, and any preliminary or
other prospectus deemed to be a part thereof that has not been superseded or modified.

 

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(d) Incorporated Documents. Each document incorporated or deemed to be incorporated
by reference in the Registration Statement and the Prospectus, at the time they were or hereafter
are filed with the Commission, complied and will comply when filed in all material respects with
the requirements of the Exchange Act and, when read together with the other information in the in
the Prospectus, at the date of the Prospectus and as of each Settlement Date, if any, did not and
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; and any further documents so filed and incorporated by reference in the
Registration Statement or the Prospectus, when such documents become effective or are filed with
the Commission, as the case may be, will conform to the requirements of the Exchange Act, in all
material respects, and will 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.

(e) Offering Materials Furnished to CF&Co. The Company has delivered to
CF&Co one complete copy of the Registration Statement and a copy of each consent and certificate of
experts filed as a part thereof, and conformed copies of the Registration Statement (without
exhibits) and the Prospectus, as amended or supplemented, in such quantities and at such places as
CF&Co has reasonably requested. The Prospectus delivered to CF&Co for use in connection with the
offering of the Shares was, and any amendment or supplement thereto will be, at the time of such
delivery, identical to the electronically transmitted copies thereof filed with the Commission
pursuant to IDEA, except to the extent permitted by Regulation S-T.

(f) Offering Materials. The Company has not distributed and will not distribute,
prior to the later of the final Settlement Date, if any, or the completion of CF&Co’s distribution
of the Shares, any offering material in connection with the offering and sale of the Shares other
than the Registration Statement and the Prospectus.

(g) No Stop Order. No stop order suspending the effectiveness of the Registration
Statement or any part thereof, or any Rule 462(b) Registration Statement, has been issued and no
proceeding for that purpose has been instituted or, to the knowledge of the Company, threatened or
contemplated by the Commission or by the state securities authority of any jurisdiction. No order
preventing or suspending the use of the Prospectus has been issued and no proceeding for that
purpose has been instituted or, to the knowledge of the Company, threatened or contemplated by the
Commission or by the state securities authority of any jurisdiction.

(h) Capitalization. The shares of Common Stock conform in all material respects to
the description thereof contained in the Registration Statement and the Prospectus; immediately
prior to the execution of this Agreement, 107,972,100 shares of Common Stock will be issued and
outstanding; all of the outstanding shares of Common Stock of the Company and the outstanding
shares of capital stock or equity interests of each subsidiary of the Company, all of which are
listed on Schedule 4 attached hereto (each, including the Partnership, except where noted, a
“Subsidiary”, and collectively, the “Subsidiaries”) have been duly and validly authorized and
issued are fully paid and nonassessable, and except as disclosed in the Registration Statement and
Prospectus, all of the outstanding shares of capital stock, partnership interests and limited
liability company membership interests, as applicable, of the Subsidiaries, including the
Partnership, are directly or indirectly owned of record and beneficially by the Company; except as
disclosed in the Registration Statement and Prospectus, there are no outstanding
(i) securities or obligations of the Company or any of the Subsidiaries convertible into or
exchangeable for any equity interests of the Company or any such Subsidiary, (ii) warrants, rights
or options to subscribe for or purchase from the Company or any such Subsidiary any such equity
interests or any such convertible or exchangeable securities or obligations or (iii) obligations of
the Company or any such Subsidiary to issue any equity interests, any such convertible or
exchangeable securities or obligation, or any such warrants, rights or options.

 

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(i) Good Standing of the Company. The Company has been duly incorporated and is
validly existing as a corporation under the laws of the State of Maryland and is in good standing
with the State Department of Assessments and Taxation of the State of Maryland, with all requisite
corporate power and authority to own, lease and operate its properties, and conduct its business as
described in the Registration Statement and the Prospectus, and is duly qualified or licensed to
transact business as a foreign entity and is in good standing in each jurisdiction in which the
nature or conduct of its business requires such qualification or license and in which the failure
to be so qualified or licensed, individually or in the aggregate, (i) would reasonably be expected
to have a material adverse effect on the performance of this Agreement or the consummation of any
transactions contemplated hereby or (ii) would reasonably be expected to have a material adverse
effect on, or result in a material adverse change in, the condition (financial or otherwise),
prospects, earnings, business or properties of the Company and the Subsidiaries taken as a whole,
whether or not arising from transactions in the ordinary course of business, except as set forth or
contemplated in the Registration Statement and the Prospectus (exclusive of any supplement thereto)
(any such effect or change described in clause (ii) hereof is hereinafter called a “Material
Adverse Effect”); except for pledges of limited liability company membership interests granted in
connection with the incurrence of debt as disclosed in the Registration Statement and the
Prospectus, all of the issued and outstanding shares of common stock, capital stock, limited
liability company membership interests or partnership interests, as applicable, of each Subsidiary
are owned by the Company directly or through its Subsidiaries, free and clear of any security
interest, mortgage, pledge, lien, encumbrance or claim; except for restrictions in loan documents
entered into in connection with indebtedness, which loan documents were provided to CF&Co or its
counsel, no Subsidiary is prohibited or restricted, directly or indirectly, from (A) paying
dividends to the Company, (B) making any other distribution with respect to such Subsidiary’s
capital stock, (C) repaying to the Company or any other Subsidiary any amounts which may from time
to time become due under any loans or advances to such Subsidiary from the Company or such other
Subsidiary, or (D) transferring any such Subsidiary’s property or assets to the Company or to any
other Subsidiary; other than the Subsidiaries, the Company does not, and upon completion of the
offering of the Shares will not, own, directly or indirectly, any capital stock or other equity
securities of any corporation or any ownership interest in any partnership, limited liability
company, joint venture or other entity other than the Subsidiaries.

(j) Ownership of the Partnership; Good Standing of the Subsidiaries. The Company is
the sole general partner of the Partnership and owns, directly or indirectly, 100% of the
partnership interests (“Units”) in the Partnership; the Subsidiaries have been duly incorporated,
formed or organized, as the case may be, and are validly existing as a corporation, limited
liability company, general partnership or limited partnership, as the case may be, in good standing
under the laws of their respective jurisdictions of incorporation, formation or organization, as
applicable, with all requisite power and authority to own, lease and operate their respective
properties and to conduct their respective business as described in the Registration Statement and
the Prospectus; each Subsidiary is duly qualified or licensed to transact business as a foreign
entity and is in good standing in each jurisdiction in which the nature or conduct of its business
requires such qualification or license, and in which the failure to be so qualified or licensed,
individually or in the aggregate, would reasonably be expected to have a Material Adverse Effect.

 

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(k) The Partnership Agreement. The Agreement of Limited Partnership of the
Partnership, as further amended and/or restated (the “Partnership Agreement”), has been duly and
validly authorized, executed and delivered by or on behalf of each of the partners of the
Partnership and constitutes a valid and binding agreement of the parties thereto, enforceable in
accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ rights generally or by general
principles of equity.

(l) Compliance with Laws. The Company, the Subsidiaries and the Hotels are in
compliance in all material respects with all applicable laws, rules, regulations, orders, decrees
and judgments, including those relating to transactions with affiliates, except where the failure
to be in compliance would not have a Material Adverse Effect.

(m) Absence of Breaches and Defaults. The Company is not in violation of its Articles
of Amendment and Restatement, as amended and/or restated (the “Articles”), or its bylaws, as
amended and/or restated (the “Bylaws”); the Partnership is not in violation of its Certificate of
Limited Partnership or the Partnership Agreement; no Subsidiary is in violation of its
organizational documents (including, without limitation, partnership and limited liability company
agreements), except for such violations that, individually or in the aggregate, would not
reasonably be expected to have a Material Adverse Effect; neither the Company nor any Subsidiary is
in breach of or default in, nor to the knowledge of the Company and the Partnership has any event
occurred which with notice, lapse of time, or both would constitute a breach of or default in, the
performance or observance by the Company or any Subsidiary, as the case may be, of any obligation,
agreement, contract, franchise, covenant or condition contained in any license, indenture,
mortgage, deed of trust, loan or credit agreement, lease or other agreement or instrument to which
the Company or any Subsidiary is a party or by which any of them or their respective properties is
bound, except for such breaches or defaults that, individually or in the aggregate, would not
reasonably be expected to have a Material Adverse Effect.

(n) Absence of Conflicts. The execution, delivery and performance of this Agreement
and the other agreements listed as exhibits to the Registration Statement by the Company and the
Partnership (to the extent a party thereto) and the issuance, sale and delivery by the Company of
the Shares and the consummation of the transactions contemplated herein do not and will not
(A) conflict with, or result in any breach or constitute a default (nor constitute any event which
with notice, lapse of time or both would constitute a breach or default) (i) by the Company of any
provisions of its Articles or Bylaws, by the Partnership of any provisions of its Certificate of
Limited Partnership or Partnership Agreement, by any Subsidiary (excluding the Partnership) of any
provision of its organizational documents, or (ii) by the Company or any Subsidiary of any
provision of any obligation, agreement, contract, franchise, license, indenture, mortgage, deed of
trust, loan or credit agreement, lease or other agreement or instrument to which the Company or any
Subsidiary is a party or by which any of them or their respective properties may be bound or
affected, or (iii) by the Company or any Subsidiary under any U.S. federal, state, local or foreign
law, regulation or rule or any decree, judgment or order applicable to the Company or any
Subsidiary, except in the use of clauses (A)(ii) and (A)(iii) above, for such conflicts, breaches
or defaults that, individually or in the aggregate, would not reasonably be expected to have a
Material Adverse Effect, or (B) result in the creation or imposition of any lien, charge, claim or
encumbrance upon any property or asset of the Company or any Subsidiary, except as disclosed in the
Registration Statement and the Prospectus.

 

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(o) Company Authorization of Agreement and Offering. The Company has the full
corporate power and authority to enter into this Agreement and to consummate the transactions
contemplated herein; the Company has the corporate power to issue, sell and deliver the Shares as
provided herein; this Agreement has been duly authorized, executed and delivered by the Company and
is a legal, valid and binding agreement of the Company enforceable against the Company in
accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ rights generally, and by general
equitable principles and except as rights to indemnity and contribution thereunder may be limited
by applicable law or policies underlying such law.

(p) Partnership Authorization of Agreement and Offering. The Partnership has the full
partnership power and authority to enter into this Agreement and to consummate the transactions
contemplated herein; this Agreement has been duly authorized, executed and delivered by the
Partnership and is a legal, valid and binding agreement of the Partnership enforceable against the
Partnership in accordance with its terms, except as enforceability may be limited by bankruptcy,
insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally, and
by general equitable principles and except as rights to indemnity and contribution thereunder may
be limited by applicable law or policies underlying such law.

(q) Absence of Further Requirements. No approval, authorization, consent or order of,
or registration or filing with, any U.S. federal, state or local governmental or regulatory
commission, board, body, authority or agency is required for the Company’s or the Partnership’s or
any Subsidiary’s execution, delivery and performance of this Agreement or the consummation of the
transactions contemplated herein or therein, including the sale and delivery of the Shares, other
than (A) such approvals as have been obtained, or will have been obtained before the Closing Time
or each Date of Delivery, as the case may be, under the Securities Act and the Exchange Act,
(B) such approvals as have been obtained in connection with the approval of the listing of the
Shares on the New York Stock Exchange, and (C) any necessary qualification under the securities or
blue sky laws of the various jurisdictions in which the Shares are being offered by CF&Co.

(r) Possession of Licenses and Permits. Each of the Company, the Subsidiaries, and,
to the knowledge of the Company, the Manager with respect to the Hotels, has all necessary
licenses, permits, authorizations, consents and approvals, possess valid and current certificates,
has made all necessary filings required under any federal, state or local law, regulation or rule,
and has obtained all necessary authorizations, consents and approvals from other persons, required
in order to conduct their respective businesses as described in the Registration Statement and the
Prospectus, except for such licenses, permits, authorizations, consents and other approvals the
absence of which, individually or in the aggregate, would not reasonably be expected to have a
Material Adverse Effect; neither the Company nor any of the Subsidiaries, nor any Hotel nor, to the
knowledge of the Company, the Manager with respect to the Hotels, is in violation of, in default
under, or has received any notice regarding a possible violation, default or revocation of any such
certificate, license, permit, authorization, consent or approval or any federal, state, local or
foreign law, regulation or rule or any decree, order or judgment applicable to the Company, any
Subsidiary or any Hotel the effect of which, individually or in the aggregate, would reasonably be
expected to result in a Material Adverse Effect.

 

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(s) Absence of Proceedings. Except as disclosed in the Registration Statement and the
Prospectus, there are no actions, suits, proceedings, inquiries or investigations pending or, to
the knowledge of the Company, threatened against or affecting the Company or any of its
Subsidiaries or any
Hotel or, to the knowledge of the Company, the Manager with respect to the Hotels, or which
has as the subject thereof any of the respective officers and directors of the Company or any
officers, directors, managers or partners of its Subsidiaries, or to which the properties, assets
or rights of any such entity are subject, at law or in equity, before or by any federal, state,
local or foreign governmental or regulatory commission, board, body, authority, arbitral panel or
agency, that (i) would reasonably be expected to have a material adverse effect on the performance
of this Agreement or the transactions contemplated hereby or (ii) would reasonably be expected to
have a Material Adverse Effect.

(t) Financial Statements. The consolidated financial statements of the Company and
the Subsidiaries, including the notes thereto, included or incorporated by reference in the
Registration Statement and the Prospectus present fairly the consolidated financial position of the
respective entities to which such financial statements relate (the “Covered Entities”) as of and at
the dates indicated and the consolidated results of operations and changes in financial position
and shareholders’ equity and cash flows of the Covered Entities for the periods specified; the
supporting schedules included or incorporated by reference in the Registration Statement, if any,
fairly present the information required to be stated therein; such financial statements and
supporting schedules have been prepared in conformity with generally accepted accounting principles
as applied in the United States (“GAAP”) and on a consistent basis during the periods involved
(except as may be expressly stated in the related notes thereto) and in accordance with Regulation
S-X promulgated by the Commission; the financial data set forth or incorporated by reference in the
Registration Statement and the Prospectus fairly present the information shown therein and has been
compiled on a basis consistent with the financial statements included in the Registration Statement
and the Prospectus; no other financial statements or supporting schedules are required to be
included in the Registration Statement; all disclosures contained in the Registration Statement or
the Prospectus regarding “non-GAAP financial measures” (as such term is defined by the rules and
regulations of the Commission) comply with Regulation G of the Exchange Act and Item 10 of
Regulation S-K of the Securities Act, to the extent applicable.

(u) Independent Accountants. KPMG LLP, who has audited the financial statements of
the Covered Entities and has expressed their opinion in a report with respect to the financial
statements of the Covered Entities included or incorporated by reference in the Registration
Statement and the Prospectus, is, and was during the periods covered by its report, an independent
registered public accounting firm with respect to the Covered Entities as required by the
Securities Act.

(v) No Material Adverse Change in Business. Subsequent to the respective dates as of
which information is given in the Registration Statement and the Prospectus, and except as may be
otherwise stated in the Registration Statement or the Prospectus, there has not been (A) any
Material Adverse Effect, whether or not arising in the ordinary course of business, (B) any
probable transaction or binding agreement that is material to the Company and the Subsidiaries
taken as a whole, entered into by the Company or any of the Subsidiaries, (C) any obligation,
contingent or otherwise, directly or indirectly incurred by the Company or any Subsidiary that
could reasonably be expected to result in a Material Adverse Effect or (D) any dividend or
distribution of any kind declared, paid or made by the Company on any class of its capital stock or
repurchase or redemption by the Company of any class of capital stock.

(w) Registration Rights. Except as disclosed in the Registration Statement and the
Prospectus, there are no persons with registration or other similar rights to have any equity or
debt securities, including securities which are convertible into or exchangeable for equity
securities, registered pursuant to the Registration Statement or otherwise registered by the
Company under the Securities Act;
and no person has a right of participation or first refusal with respect to the sale of the
Shares by the Company.

 

9

 

(x) Authorization of the Shares. The issuance and sale of the Shares to CF&Co
hereunder have been duly authorized by the Company, and when issued and duly delivered against
payment therefor as contemplated by this Agreement, the Shares will be validly issued, fully paid
and nonassessable, free and clear of any pledge, lien, encumbrance, security interest or other
claim created by or known to the Company, and the issuance and sale of the Shares by the Company is
not subject to preemptive or other similar rights arising by operation of law, under the
organizational documents of the Company or under any agreement to which the Company or any
Subsidiary is a party.

(y) Authorization of the Units. The issuance of the Units to the Company in exchange
for contribution of proceeds from the sale of the Shares described in the Registration Statement
and the Prospectus has been duly authorized by the Partnership, and when issued and duly delivered
against payment therefor, will be validly issued, fully paid and nonassessable, free and clear of
any pledge, lien, encumbrance, security interest or other claim created by or known to the Company
or the Partnership; and the issuance of Units by the Partnership is not subject to preemptive or
other similar rights arising by operation of law under the organizational documents of the
Partnership or under any agreement to which the Partnership is a party.

(z) Transfer Taxes. Except as disclosed in the Registration Statement and the
Prospectus, there are no transfer taxes or other similar fees or charges under Federal law or the
laws of any state or any political subdivision thereof, required to be paid in connection with the
execution and delivery of this Agreement or the issuance or sale by the Company of the Shares.

(aa) Listing on NYSE. The Shares have been or will be registered pursuant to
Section 12(b) of the Exchange Act and as of each Settlement Date, the Shares will be duly listed
and admitted and authorized for trading on the New York Stock Exchange, subject only to official
notice of issuance.

(bb) Absence of Manipulation. The Company has not taken, and will not take, directly
or indirectly, any action which is designed to or which has constituted or which might reasonably
be expected to cause or result in stabilization or manipulation of the price of any security of the
Company to facilitate the sale or resale of the Shares.

(cc) FINRA. Neither the Company nor any of its affiliates (i) is required to register
as a “broker” or “dealer” in accordance with the provisions of the Exchange Act, or (ii) directly,
or indirectly through one or more intermediaries, controls or has any other association with
(within the meaning of Article I of the By-laws of the Financial Industry Regulatory Authority,
Inc. (the “FINRA”)) any member firm of the FINRA.

(dd) Legal, Tax or Accounting Advice. Neither the Company nor the Partnership has
relied upon CF&Co or legal counsel for CF&Co for any legal, tax or accounting advice in connection
with the offering and sale of the Shares.

 

10

 

(ee) Form of Stock Certificate. The form of certificate used to evidence the Common
Stock complies in all material respects with all applicable statutory requirements, with any
applicable requirements of the Articles and Bylaws of the Company and the requirements of the New
York Stock Exchange.

(ff) Title to Property. (A) The Company and the Subsidiaries have good and marketable
title in fee simple to, or a valid leasehold interest in, all real property owned or leased by them
that are material to the business as described in the Registration Statement and the Prospectus,
and good title to all personal property owned by them, in each case free and clear of all liens,
security interests, pledges, charges, encumbrances, encroachments, restrictions, mortgages and
other defects, except such as are (i) disclosed in the Registration Statement and the Prospectus or
(ii) listed as an exception to the owner’s or leasehold title insurance policies furnished by the
Company to CF&Co or its counsel or (iii) would not reasonably be expected to have a material
adverse effect on the Company’s interest in the related property, the value of such property or the
business conducted thereon; (B) any real property, improvements, equipment and personal property
held under lease by the Company or any Subsidiary are held under valid, existing and enforceable
leases, in each case, with such exceptions as are not material and do not interfere with the use
made and proposed to be made of such property by the Company or any Subsidiary; and (C) except with
respect to the Company’s corporate headquarters at 6903 Rockledge Drive, Suite 800, Bethesda, MD
20817 (the “Headquarters”), the Company or a Subsidiary has an owner’s or leasehold title insurance
policy, from a title insurance company licensed to issue such policy, on each property described in
the Registration Statement and Prospectus as being owned or leased, as the case may be, by the
Company or a Subsidiary, that insures the Company’s or the Subsidiary’s fee simple or leasehold
interest, as the case may be, in such real property, which policies include only commercially
reasonable exceptions, and with coverages in amounts at least equal to amounts that are generally
deemed in the Company’s industry to be commercially reasonable in the markets where the Company’s
properties are located.

(gg) Condition of Property. To the knowledge of the Company, all real property owned
or leased by the Company or any Subsidiary (other than the Company’s corporate headquarters office
space), whether owned in fee simple or through a joint venture or other partnership, including the
Hotels (each, a “Property” and collectively, the “Properties”), is free of any material structural
defects and all building systems contained therein are in reasonable working order in all material
respects, subject to ordinary wear and tear or, in each instance, the Company or any Subsidiary, as
the case may be, has created an adequate reserve or capital budget to effect reasonably required
repairs, maintenance and capital expenditures; to the knowledge of the Company, water, storm water,
sanitary sewer, electricity and telephone service are all available at the property lines of such
property over duly dedicated streets or perpetual easements of record benefiting such property;
except as described in the Registration Statement and the Prospectus, to the knowledge of the
Company, there is no pending or threatened special assessment, tax reduction proceeding or other
action that could have a Material Adverse Effect.

(hh) Property Leases. Except with respect to the Headquarters, each of the properties
listed in the Registration Statement and the Prospectus as a property with respect to which the
Company or one of its Subsidiaries has a leasehold interest is the subject of a lease that (A) is
in the name of the relevant Subsidiary and has been duly and validly authorized, executed and
delivered by or on behalf of the relevant Subsidiary or (B) has been assigned to a Subsidiary
pursuant to an assignment of lease which has been duly and validly authorized, executed and
delivered by or on behalf of the relevant Subsidiary and to the knowledge of the Company, by each
of the other parties thereto and each such lease constitutes a valid and binding agreement of the
parties thereto, enforceable in accordance with its terms, except as
enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar
laws affecting creditors’ rights generally or by general principles of equity.

 

11

 

(ii) Disclosure of Legal Matters. The descriptions in the Registration Statement and
the Prospectus of the legal or governmental proceedings, contracts, leases and other legal
documents therein described present fairly in all material respects the information required to be
disclosed, and there are no legal or governmental proceedings, contracts, leases, or other
documents of a character required to be described in the Registration Statement or the Prospectus
or to be filed as exhibits to the Registration Statement which are not described or filed as
required; all agreements between the Company or any of the Subsidiaries and third parties expressly
referenced in the Registration Statement and the Prospectus are or will be legal, valid and binding
obligations of the Company or one or more of the Subsidiaries, enforceable in accordance with their
respective terms, except to the extent enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ rights generally and by general
equitable principles and except with respect to this Agreement to the extent that the
indemnification provisions hereof may be limited by federal or state securities laws and public
policy considerations in respect thereof; and to the best of the Company’s knowledge, no party
thereto is in, or with the passage of time or the giving of notice or both will be in, breach or
default under any of such agreements that would have a Material Adverse Effect.

(jj) Possession of Intellectual Property. The Company and each Subsidiary, and, to
the knowledge of the Company, the Manager with respect to the Hotels, owns or possesses adequate
and sufficient licenses or other rights to use all patents, trademarks, service marks, trade names,
copyrights, domain names, software and design licenses, approvals, trade secrets, manufacturing
processes, other intangible property rights and know-how (collectively “Intellectual Property
Rights”) necessary to entitle the Company and each Subsidiary to conduct its business as described
in the Registration Statement and Prospectus; neither the Company nor any Subsidiary has received
notice of infringement of or conflict with (and the Company knows of no such infringement of or
conflict with) asserted rights of others with respect to any Intellectual Property Rights which
would reasonably be expected to have a Material Adverse Effect; neither the Company nor any
Subsidiary is a party to or bound by any options, licenses or agreements with respect to the
Intellectual Property Rights of any other person or entity that are required to be set forth in the
Registration Statement and Prospectus and are not described as required.

(kk) Accounting and Disclosure Controls. The Company, each of the Subsidiaries and,
to the knowledge of the Company, the Manager with respect to the Hotels maintain a system of
internal accounting controls sufficient to provide reasonable assurance that (i) transactions are
executed in accordance with management’s general or specific authorizations; (ii) transactions are
recorded as necessary to permit preparation of financial statements in conformity with generally
accepted accounting principles as applied in the United States and to maintain accountability for
assets; (iii) access to assets is permitted only in accordance with management’s general or
specific authorization; (iv) the recorded accountability for assets is compared with the existing
assets at reasonable intervals and appropriate action is taken with respect to any differences;
(v) management is made aware of all material transactions concerning the Company or its properties;
and (vi) the Company qualifies as a REIT under the requirements of the Code. The Company, each of
the Subsidiaries and, to the knowledge of the Company, the Manager with respect to the Hotels
employ disclosure controls and procedures that are designed to ensure that information required to
be disclosed by the Company in reports that it files or submits under the Exchange Act is recorded,
processed, summarized and reported, within the time periods specified in the Commission’s rules and
forms, and is accumulated and communicated to the Company’s
management, including its principal executive officer and principal financial officer, as
appropriate, to allow timely decisions regarding disclosure.

 

12

 

(ll) Payment of Taxes. Each of the Company and the Subsidiaries has filed on a timely
basis (including in accordance with any applicable extensions) all necessary U.S. federal, state,
local and foreign income and franchise tax returns required to be filed through the date hereof or
have properly requested extensions thereof (except in any case in which the failure so to file
would not reasonably be expected to have a Material Adverse Effect), and have paid all taxes shown
as due thereon, and if due and payable, any related or similar assessment, fine or penalty levied
against the Company or any of the Subsidiaries; no tax deficiency has been asserted against any
such entity, nor does the Company or any of the Subsidiaries know of any tax deficiency which is
likely to be asserted against any such entity which, if determined adversely to any such entity,
would reasonably be expected to have a Material Adverse Effect; all such tax liabilities are
adequately provided for on the respective books of such entities.

(mm) Insurance. Each of the Company and the Subsidiaries maintains insurance (issued
by insurers of recognized financial responsibility) of the types and with policies in such amounts
and with such deductibles and covering such risks as are in the reasonable opinion of management
prudent for their respective businesses; all policies of insurance and fidelity or surety bonds
insuring the Company or any of its Subsidiaries or their respective businesses, assets, employees,
officers and directors are in full force and effect; the Company and its Subsidiaries are in
compliance with the terms of such policies and instruments in all material respects; and there are
no claims by the Company or any of its Subsidiaries under any such policy or instrument as to which
any insurance company is denying liability or defending under a reservation of rights clause; the
Company has no reason to believe that it or any Subsidiary will not be able (i) to renew its
existing insurance coverage as and when such policies expire or (ii) to obtain comparable coverage
from similar institutions as may be necessary or appropriate to conduct its business as now
conducted and at a cost that would not reasonably be expected to result in a Material Adverse
Effect.

(nn) Environmental Laws. The Company has obtained Phase I Environmental Audits with
respect to the Properties as described in the Registration Statement and the Prospectus and except
as otherwise disclosed in the Registration Statement and the Prospectus, (i) none of the Company,
the Partnership, any of the Subsidiaries nor, to the knowledge of the Company, any other owners of
the Properties, has used, handled, stored, treated, transported, manufactured, spilled, leaked,
released or discharged, dumped, transferred or otherwise disposed of or dealt with, Hazardous
Materials (as defined below) on, in, under or affecting any Property, except for the use, handling,
storage, and transportation of Hazardous Materials (a) necessary for the operation of the Hotels
and consistent with (1) the practice of comparable hotels in the industry and (2) the intended or
recommended use, handling, storage and transportation of such Hazardous Materials, and (b) in
compliance with applicable Environmental Statutes (as defined below); (ii) the Company, the
Partnership and the other Subsidiaries do not intend to use any Property or any subsequently
acquired properties for the purpose of using, handling, storing, treating, transporting,
manufacturing, spilling, leaking, discharging, dumping, transferring or otherwise disposing of or
dealing with Hazardous Materials, except for the use, handling, storage, and transportation of
Hazardous Materials (a) necessary for the operation of the Hotels and consistent with (1) the
practice of comparable hotels in the industry and (2) the intended or recommended use, handling,
storage and transportation of such Hazardous Materials, and (b) in compliance with applicable
Environmental Statutes; (iii) none of the Company, the Partnership, nor any of the other
Subsidiaries has received any notice of, or has any knowledge of, any occurrence or circumstance
which, with notice or passage of time or both, would give rise to a claim under or pursuant to

 

13

 

any
federal, state or local environmental statute or regulation or under common law, pertaining to Hazardous Materials on or originating from any
Property or any assets described in the Registration Statement and the Prospectus or any other real
property owned or occupied by any such party or arising out of the conduct of any such party or of
an agent of any such party, including without limitation a claim under or pursuant to any
Environmental Statute; (iv) no Property is included or proposed for inclusion on the National
Priorities List issued pursuant to CERCLA (as defined below) by the United States Environmental
Protection Agency (the “EPA”) or, to the knowledge of the Company, proposed for inclusion on any
similar list or inventory issued pursuant to any other Environmental Statute or issued by any other
Governmental Authority (as defined below).

As used herein, “Hazardous Material” shall include, without limitation, any
flammable explosive, radioactive material, hazardous substance, hazardous material,
hazardous waste, toxic substance, asbestos or related material, as defined by any
federal, state or local environmental law, ordinance, rule or regulation including
without limitation, the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980, as amended, 42 U.S.C. Sections 9601-9675 (“CERCLA”), the
Hazardous Materials Transportation Act, as amended, 49 U.S.C. Sections 1801-1819,
the Resource Conservation and Recovery Act (Solid Waste Disposal Act), as amended,
42 U.S.C. Sections 6901-6992k, the Emergency Planning and Community Right-to-Know
Act of 1986, 42 U.S.C. Sections 11001-11050, the Toxic Substances Control Act, as
amended, 15 U.S.C. Sections 2601-2692, the Federal Insecticide, Fungicide and
Rodenticide Act, as amended, 7 U.S.C. Sections 136-136y, the Clean Air Act, as
amended, 42 U.S.C. Sections 7401-7671q, the Clean Water Act (Federal Water Pollution
Control Act), as amended, 33 U.S.C. Sections 1251-1387, the Safe Drinking Water Act,
as amended, 42 U.S.C. Sections 300f-300j-26, and the Occupational Safety and Health
Act, as amended, 29 U.S.C. Sections 651-678, as any of the above statutes may be
amended from time to time, and in the regulations promulgated pursuant to each of
the foregoing (individually, an “Environmental Statute”) or by any federal, state or
local governmental authority having or claiming jurisdiction over the properties and
assets described in the General Disclosure Package and the Prospectus (a
“Governmental Authority”).

(oo) Environmental Liabilities. To the knowledge of the Company, there are no costs
or liabilities associated with the Properties pursuant to any Environmental Statute (including,
without limitation, any capital or operating expenditures required for clean-up, closure of
properties or compliance with any Environmental Statute or any permit, license or approval, any
related constraints on operating activities and any potential liabilities to third parties) which
would reasonably be expected to have a Material Adverse Effect.

(pp) Independent Appraisals and Environmental Reports. To the knowledge of the
Company, none of the entities that prepared appraisals of the Properties, nor the entities that
prepared Phase I or other environmental assessments with respect to any Property, was employed for
such purpose on a contingent basis or has any substantial interest in the Company or any of the
Subsidiaries, and none of their directors, officers or employees is connected with the Company or
any of the Subsidiaries as a promoter, selling agent, officer, director or employee.

(qq) Anti-Discrimination Laws. None of the Company, the Partnership or any Subsidiary
or, to the knowledge of the Company, the Manager, with respect to the Hotels, is in violation of or
has received notice of any violation with respect to any U.S. federal or state law relating to
discrimination in
the hiring, termination, promotion, terms or conditions of employment or pay of employees, nor
any applicable U.S. federal or state wages and hours law, the violation of any of which would
reasonably be expected to have a Material Adverse Effect.

 

14

 

(rr) ERISA. Any “employee benefit plan” (as defined under the Employee Retirement
Income Security Act of 1974, as amended, and the regulations and published interpretations
thereunder (collectively, “ERISA”)) established or maintained by the Company, the Subsidiaries or
their “ERISA Affiliates” (as defined below) or to which the Company, the Subsidiaries or their
ERISA Affiliates contribute or are required to contribute are in compliance in all material
respects with ERISA; “ERISA Affiliate” means any trade or business, whether or not incorporated,
which with the Company or a Subsidiary is treated as a single employer under Section 414(b), (c),
(m) or (o) of the Internal Revenue Code of 1986, as amended, and the rules and regulations
promulgated thereunder (the “Code”); no such employee benefit plan is subject to Section 412 of the
Code, Section 302 of ERISA or Title IV of ERISA; all contributions required to have been made under
each such employee benefit plan have been made on a timely basis; there has been no “prohibited
transaction” (as defined in Section 4975 of the Code or Section 406 or 407 of ERISA) for which the
Company, the Subsidiaries or their ERISA Affiliates have any material liability; and each such
employee benefit plan that is intended to be qualified under Section 401(a) of the Code is so
qualified and to the knowledge of the Company, nothing has occurred, whether by action or failure
to act, which would reasonably be expected to cause the loss of such qualification, in each case,
except as disclosed in the Registration Statement and the Prospectus.

(ss) Anti-Bribery Laws. Neither the Company nor any of the Subsidiaries nor, to the
knowledge of the Company any officer, director, manager or director purporting to act on behalf of
the Company or any of the Subsidiaries has at any time (i) made any contributions to any candidate
for political office, or failed to disclose fully any such contributions, in violation of law,
(ii) made any payment to any U.S. federal, state, local or foreign governmental officer or
official, or other person charged with similar public or quasi-public duties, other than payments
required or allowed by applicable law and the Company’s Code of Business Conduct provided to CF&Co
or its counsel, or (iii) engaged in any transactions, maintained any bank account or used any
corporate funds except for transactions, bank accounts and funds which have been and are reflected
in the normally maintained books and records of the Company and the Subsidiaries.

(tt) Loans to Certain Related Parties. Except as otherwise disclosed in the
Registration Statement and the Prospectus, there are no outstanding loans or advances or material
guarantees of indebtedness by the Company or any of the Subsidiaries to or for the benefit of any
of the officers, directors, managers or trustees of the Company or any of the Subsidiaries or any
of the members of the families of any of them.

(uu) Sarbanes-Oxley Act. There is and has been no failure on the part of the Company
or any of the Company’s directors or officers, in their capacities as such, to comply with any
provision of the Sarbanes-Oxley Act of 2002, as amended, and the rules and regulations promulgated
by the Commission thereunder (the “Sarbanes-Oxley Act”), including Section 402 related to loans and
Sections 302 and 906 related to certifications.

 

15

 

(vv) Money Laundering Laws. The operations of the Company and its Subsidiaries are
and have been conducted at all times in compliance with applicable financial recordkeeping and
reporting
requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, the
money laundering statutes of all jurisdictions, the rules and regulations thereunder and any
related or similar rules, regulations or guidelines, issued, administered or enforced by any
governmental agency (collectively, the “Money Laundering Laws”) and no action, suit or proceeding
by or before any court or governmental agency, authority or body or any arbitrator involving the
Company or any of its Subsidiaries with respect to the Money Laundering Laws is pending or, to the
knowledge of the Company, threatened.

(ww) Affiliations with CF&Co. Except as disclosed in the Prospectus, the Company
(i) does not have any material lending or other relationship with any bank or lending affiliate of
CF&Co and (ii) does not intend to use any of the proceeds from the sale of the Shares hereunder to
repay any outstanding debt owed to any affiliate of CF&Co.

(xx) Compliance with Securities Laws. All securities issued by the Company have been
issued and sold in compliance with (i) all applicable federal and state securities laws and (ii)
the requirements of the New York Stock Exchange. The Company is in compliance in all material
respects with the current listing standards of the New York Stock Exchange.

(yy) Rights and Actions Affecting Properties. To the knowledge of the Company, each
of the Properties complies with all applicable zoning laws, ordinances, regulations and deed
restrictions or other covenants in all material respects; if and to the extent there is a failure
to comply, such failure, individually or in the aggregate, could not reasonably be expected to have
a Material Adverse Effect and will not result in a forfeiture or reversion of title; to the
knowledge of the Company, there is no pending or threatened condemnation, zoning change, or other
similar proceeding or action that will in any material respect affect the size of use of,
improvements on, construction on or access to any of the Properties, except such zoning changes,
proceedings or actions that, individually or in the aggregate, would not have a Material Adverse
Effect; all liens, charges, encumbrances, claims, or restrictions on or affecting the properties
and assets (including the Properties) of the Partnership or any of the Subsidiaries that are
required to be described in the Registration Statement and the Prospectus are disclosed therein; to
the knowledge of the Company, no lessee, licensee, concessionaire or vendor of any portion of any
of the Properties is in default under any of the leases or licenses governing such properties and
there is no event which, but for the passage of time or the giving of notice or both could
constitute a default under any of such leases or licenses, except such defaults that would not
reasonably be expected to have a Material Adverse Effect; no person has an option or right of first
refusal to purchase all or any part of any Hotel, or any interest therein, which option or right is
required to be described in the Registration Statement or the Prospectus and which option or right
is not so described.

(zz) Convertible Property Interests. The mortgages and deeds of trust encumbering the
Hotels are not convertible into equity interests in the property, nor will the Company or the
Partnership hold a participating interest therein and such mortgages and deeds of trust are not
cross-defaulted or cross-collateralized to any property not to be owned directly or indirectly by
the Company or the Partnership.

(aaa) Finder’s Fees. The Company has not incurred any liability for any finder’s fees
or similar payments in connection with the transactions herein contemplated.

 

16

 

(bbb) Related Party Transactions. No relationship, direct or indirect, exists between
or among the Company or any of the Subsidiaries on the one hand, and the directors, officers,
trustees, managers, shareholders, partners, customers or suppliers of the Company or any of the
Subsidiaries on the other hand, which is required to be described in the Registration Statement and
the Prospectus and which is not so described.

(ccc) Investment Company Act. Neither the Company nor any of the Subsidiaries is, and
after giving effect to the offering and sale of the Shares and the use of the proceeds as described
under the caption “Use of Proceeds” in the Prospectus, will be an “investment company” or an entity
“controlled” by an “investment company”, as such terms are defined in the Investment Company Act of
1940, as amended (the “Investment Company Act”).

(ddd) Absence of Labor Disputes. There are no existing or, to the knowledge of the
Company, threatened labor disputes with the employees of the Company or any of the Subsidiaries or,
to the knowledge of the Company, the Manager with respect to the Hotels which would reasonably be
expected to have a Material Adverse Effect.

(eee) Statistical and Market Related Data. The industry, statistical and market
related data included in the Registration Statement and the Prospectus are based on or derived from
sources available that the Company believes are reliable and, to the knowledge of the Company, such
data are accurate.

(fff) Federal Tax Status. The Company elected to be taxed as a real estate investment
trust (a “REIT”) under the Code commencing with its taxable year ended December 31, 2005;
commencing with the Company’s taxable year ended December 31, 2005, the Company has been organized
and operated in conformity with the requirements for qualification and taxation as a REIT under the
Code, and its current and proposed ownership and operations will allow the Company to continue to
satisfy the requirements for qualification and taxation as a REIT under the Code for its taxable
year ending December 31, 2009 and in the future; as long as the Partnership has only one member for
federal income tax purposes, it will be disregarded as an entity separate from the Company and if
and when the Partnership has two or more members for federal income tax purposes, the Partnership
will be treated as a partnership within the meaning of Sections 7701(a)(2) and 761(a) of the Code
and will not be treated as a publicly traded partnership taxable as a corporation under Section
7704 of the Code; the Company intends to continue to qualify as a REIT under the Code for all
subsequent years; and the Company does not know of any event that would reasonably be expected to
cause the Company to fail to qualify as a real estate investment trust under the Code for the
taxable year ending December 31, 2009 or at any time thereafter.

(ggg) Tax Disclosures. The factual description of, and the assumptions and
representations regarding, the Company’s organization and current and proposed method of operation
set forth in the Prospectus under the headings “Federal Income Tax Considerations” and “Supplement
to Federal Income Tax Considerations” accurately and completely summarize the matters referred to
therein in all material respects.

 

17

 

(hhh) Absence of Business Interruption. Neither the Company, any of its Subsidiaries,
nor any Hotel has sustained, since June 19, 2009, any loss or interference with its business from
fire, explosion, flood, hurricane, accident or other calamity, whether or not covered by insurance,
or from any labor dispute or arbitrators’ or court or governmental action, order or decree that
would reasonably be expected to have a Material Adverse Effect, otherwise than as set forth in the
Prospectus.

(iii) CF&Co Purchases. The Company acknowledges and agrees that CF&Co has informed
the Company that CF&Co may, to the extent permitted under the Securities Act and the Exchange Act,
purchase and sell shares of Common Stock for its own account while this Agreement is in effect,
provided, that (i) no such purchase or sales shall take place while a Placement Notice is in effect
(except to the extent CF&Co may engage in sales of Placement Shares purchased or deemed purchased
from the Company as a “riskless principal” or in a similar capacity) and (ii) the Company shall not
be deemed to have authorized or consented to any such purchases or sales by CF&Co.

(jjj) Ineligible Issuer. At the time of filing the Registration Statement and any
post-effective amendments thereto, at the earliest time thereafter that the Company or another
offering participant made a bona fide offer (within the meaning of Rule 164(h)(2) of the Securities
Act) of the Shares and at the date hereof, the Company was not and is not an “ineligible issuer,”
as defined in Rule 405 of the Securities Act.

(kkk) Officer’s Certificates. Any certificate signed by any officer of the Company,
the Partnership, or any Subsidiary delivered to CF&Co or to counsel for CF&Co pursuant to or in
connection with this Agreement shall be deemed a representation and warranty by the Company and the
Partnership to CF&Co as to the matters covered thereby.

The Company acknowledges that CF&Co and, for purposes of the opinions to be delivered pursuant to
Section 7 hereof, counsel to the Company and counsel to CF&Co, will rely upon the accuracy and
truthfulness of the foregoing representations and hereby consents to such reliance.

7. Covenants of the Company and the Partnership. The Company and the
Partnership, jointly and severally, covenant and agree with CF&Co that:

(a) Registration Statement Amendments. After the date of this Agreement
and during any period in which a Prospectus relating to any Placement Shares is required to be
delivered by CF&Co under the Securities Act with respect to a pending sale of the Placement Shares
(including in circumstances where such requirement may be satisfied pursuant to Rule 172 under the
Securities Act), (i) the Company will notify CF&Co promptly, and confirm the notice in writing, of
the time when (A) any subsequent amendment to the Registration Statement, other than documents
incorporated by reference, has been filed with the Commission and/or has become effective or any
subsequent supplement to the Prospectus has been filed, (B) of the receipt of any comments from the
Commission, (C) of any request by the Commission for any amendment or supplement to the
Registration Statement, Prospectus or any document incorporated by reference therein or for
additional information and (D) the Company becomes the subject of a proceeding under Section 8A of
the Securities Act in connection with the offering of the Shares, (ii) the Company will prepare and
file with the Commission, promptly upon CF&Co’s request, any amendments or supplements to the
Registration Statement or Prospectus that, in CF&Co’s reasonable opinion, may be necessary or
advisable in connection with the distribution of the Placement Shares by CF&Co (provided, however,
that the failure of CF&Co to make such request shall not relieve the Company of any obligation or
liability hereunder, or affect CF&Co’s right to rely on the representations
and warranties made by the Company in this Agreement); (iii) the Company will not file any
amendment or supplement to the Registration Statement or Prospectus, other than documents
incorporated by reference, relating to the offering and sale of Placement Shares under this
Agreement unless a copy thereof has been submitted to CF&Co within a reasonable period of time
before the filing and CF&Co has not reasonably objected thereto (provided, however, that the
failure of CF&Co to make such objection shall not relieve the Company of any obligation or
liability hereunder, or affect CF&Co’s right to rely on the representations and warranties made by
the Company in this Agreement) and the Company will furnish to CF&Co at the time of filing thereof
a copy of any document that upon filing is deemed to be incorporated by reference into the
Registration Statement or Prospectus, except for those documents available via IDEA; and (iv) the
Company will effect the filings required under Rule 424(b) of the Securities Act, including any
amendments or supplements to the Prospectus, in the manner and within the time period required by
Rule 424(b) (without reliance on Rule 424(b)(8) of the Securities Act).

 

18

 

(b) Notice of Commission Stop Orders. The Company will advise CF&Co,
promptly after it receives notice or obtains knowledge thereof, of the issuance or threatened
issuance by the Commission of any stop order suspending the effectiveness of the Registration
Statement, of the suspension of the qualification of the Placement Shares for offering or sale in
any jurisdiction, or of the initiation or threatening of any proceeding for any such purpose; and
it will use its commercially reasonable efforts to prevent the issuance of any stop order or to
obtain the lifting thereof if such a stop order should be issued.

(c) Delivery of Prospectus; Subsequent Changes. During any period in which
a Prospectus relating to the Placement Shares is required to be delivered by CF&Co under the
Securities Act with respect to a pending sale of the Placement Shares, (including in circumstances
where such requirement may be satisfied pursuant to Rule 172 under the Securities Act), the Company
will comply with all requirements imposed upon it by the Securities Act, as from time to time in
force, and to file on or before their respective due dates all reports and any definitive proxy or
information statements required to be filed by the Company with the Commission pursuant to Sections
13(a), 13(c), 14, 15(d) or any other provision of or under the Exchange Act. If during such period
any event occurs as a result of which the Prospectus as then amended or supplemented would include
an untrue statement of a material fact or omit to state a material fact necessary to make the
statements therein, in the light of the circumstances then existing, not misleading, or if during
such period it is necessary to amend or supplement the Registration Statement or Prospectus to
comply with the Securities Act, the Company will promptly notify CF&Co, and confirm the notice in
writing, to suspend the offering of Placement Shares during such period and the Company will
promptly amend or supplement the Registration Statement or Prospectus (at the expense of the
Company) so as to correct such statement or omission or effect such compliance.

(d) Listing of Placement Shares. During any period in which the Prospectus
relating to the Placement Shares is required to be delivered by CF&Co under the Securities Act with
respect to a pending sale of the Placement Shares (including in circumstances where such
requirement may be satisfied pursuant to Rule 172 under the Securities Act), the Company will use
its commercially reasonable efforts to cause the Placement Shares to be listed on the Exchange and
to qualify the Placement Shares for sale under the securities laws of such jurisdictions as CF&Co
reasonably designates and to continue such qualifications in effect so long as required for the
distribution of the Placement Shares; provided, however, that the Company shall not be required in
connection therewith to qualify as a foreign corporation or dealer in securities or file a general
consent to service of process in any jurisdiction.

 

19

 

(e) Delivery of Registration Statement and Prospectus. The Company will
furnish to CF&Co and its counsel (at the expense of the Company) copies of the Registration
Statement, the Prospectus (including all documents incorporated by reference therein) and all
amendments and
supplements to the Registration Statement or Prospectus that are filed with the Commission
during any period in which a Prospectus relating to the Placement Shares is required to be
delivered under the Securities Act (including all documents filed with the Commission during such
period that are deemed to be incorporated by reference therein), in each case as soon as reasonably
practicable and in such quantities as CF&Co may from time to time reasonably request and, at
CF&Co’s request, will also furnish copies of the Prospectus to each exchange or market on which
sales of the Placement Shares may be made; provided, however, that the Company shall not be
required to furnish any document (other than the Prospectus) to CF&Co to the extent such document
is available on IDEA.

(f) Earnings Statement. The Company will timely file such reports
pursuant to the Exchange Act as are necessary in order to make generally available to its
securityholders as soon as practicable an earnings statement for the purposes of, and to provide to
CF&Co the benefits contemplated by, the last paragraph of Section 11(a) of the Securities Act.

(g) Expenses. The Company, whether or not the transactions contemplated
hereunder are consummated or this Agreement is terminated, in accordance with the provisions of
Section 11 hereunder, will pay the following expenses all incident to the performance of its
obligations hereunder, including, but not limited to, expenses relating to (i) the preparation,
printing, filing and delivery to CF&Co of the Registration Statement and each amendment and
supplement thereto, of each Prospectus and of each amendment and supplement thereto, and of this
Agreement and such other documents as may be required in connection with the offering, purchase,
sale, issuance or delivery of the Shares, (ii) the preparation, issuance and delivery of the
Placement Shares, including any stock or other transfer taxes and any stamp or other duties payable
upon the sale, issuance or delivery of the Shares to CF&Co, (iii) the qualification of the
Placement Shares under securities laws in accordance with the provisions of Section 7(d) of this
Agreement, including filing fees (provided, however, that any fees or disbursements of counsel for
CF&Co in connection therewith shall be paid by CF&Co), (iv) the printing and delivery to CF&Co of
copies of the Prospectus and any amendments or supplements thereto, and of this Agreement, (v) the
fees and expenses incurred in connection with the listing or qualification of the Placement Shares
for trading on the Exchange, (vi) the fees and expenses of any transfer agent or registrar for the
Shares, and (vii) filing fees incident to, and fees and expenses, if any, in connection with, the
review of the Commission or the FINRA.

(h) Use of Proceeds. The Company will apply the Net Proceeds in accordance
in all material respects with the statements under the caption “Use of Proceeds” in the Prospectus.

(i) Notice of Other Sales. During the pendency of any Placement Notice
given hereunder, the Company shall provide CF&Co notice, subject to CF&Co’s agreement to keep the
information in such notice confidential, as promptly as reasonably possible before it offers to
sell, contracts to sell, sells, grants any option to sell or otherwise disposes of any shares of
Common Stock (other than Placement Shares offered pursuant to the provisions of this Agreement) or
securities convertible into or exchangeable for Common Stock, warrants or any rights to purchase or
acquire Common Stock; provided, that such notice shall not be required in connection with the (i)
issuance, grant or sale of Common Stock, options to purchase shares of Common Stock or Common Stock
issuable upon the exercise of options or other equity awards pursuant to any stock option, stock
bonus or other stock plan or arrangement described in the Prospectus, (ii) the issuance of
securities, including Units, in connection with an acquisition, merger or sale or purchase of
assets or (iii) the issuance or sale of Common Stock pursuant to any dividend reinvestment plan
that the Company may adopt from time to time, provided the implementation of such is disclosed to
CF&Co in advance or (iv) any shares of common stock issuable upon the redemption of Units in the
Partnership.

 

20

 

(j) Change of Circumstances. The Company will, at any time during a
fiscal quarter in which the Company tenders a Placement Notice or sells Placement Shares, advise
CF&Co promptly after it shall have received notice or obtained knowledge thereof, of any
information or fact that would alter or affect in any material respect any opinion, certificate,
letter or other document provided to CF&Co pursuant to this Agreement.

(k) Due Diligence Cooperation. The Company will cooperate with any
reasonable due diligence review conducted by CF&Co or its agents in connection with the
transactions contemplated hereby, including, without limitation, providing information and making
available documents and senior corporate officers, during regular business hours and at the
Company’s principal offices, as CF&Co may reasonably request.

(l) Required Filings Relating to Placement of Placement Shares. The
Company agrees that it will (i) file and disclose in a prospectus supplement with the Commission
under the applicable paragraph of Rule 424(b) under the Securities Act (each and every filing under
Rule 424(b), a “Filing Date”) or (ii) disclose in its annual reports on Form 10-K and quarterly
reports on Form 10-Q, as applicable, the number of Shares sold through CF&Co under this Agreement,
the Net Proceeds to the Company and the compensation paid by the Company with respect to sales of
Shares pursuant to this Agreement during the relevant period; the Company agrees to deliver such
number of copies of each such prospectus supplement (if any) to each exchange or market on which
such sales were effected as may be required by the rules or regulations of such exchange or market.

(m) Representation Dates; Certificate. On or prior to the date that the
first Shares are sold pursuant to the terms of this Agreement and each time the Company (i) files
the Prospectus relating to the Placement Shares or amends or supplements the Registration Statement
or the Prospectus relating to the Placement Shares (other than a prospectus supplement filed in
accordance with Section 7(l) of this Agreement) by means of a post-effective amendment, sticker, or
supplement but not by means of incorporation of document(s) by reference to the Registration
Statement or the Prospectus relating to the Placement Shares; (ii) files an annual report on Form
10-K under the Exchange Act; (iii) files its quarterly reports on Form 10-Q under the Exchange Act;
or (iv) files a report on Form 8-K containing amended financial information (other than an earnings
release, to “furnish” information pursuant to Items 2.02 or 7.01 of Form 8-K or to provide
disclosure pursuant to Item 8.01 of Form 8-K relating to the reclassifications of certain
properties as discontinued operations in accordance with Statement of Financial Accounting
Standards No. 144) under the Exchange Act (each date of filing of one or more of the documents
referred to in clauses (i) through (iv) shall be a “Representation Date”); the Company shall
furnish CF&Co with a certificate, in the form attached hereto as Exhibit 7(m) within three
(3) Trading Days of any Representation Date if requested by CF&Co. The requirement to provide a
certificate under this Section 7(m) shall be waived for any Representation Date occurring at a time
at which no Placement Notice is pending, which waiver shall continue until the earlier to occur of
the date the Company delivers a Placement Notice hereunder (which for such calendar quarter shall
be considered a Representation Date) and the next occurring Representation Date. Notwithstanding
the foregoing, if the Company subsequently decides to sell Placement Shares following a
Representation Date when the Company relied on such waiver and did not provide CF&Co with a
certificate under this Section 7(m), then before the Company delivers the Placement Notice or CF&Co
sells any Placement Shares, the Company shall provide CF&Co with a certificate, in the form
attached hereto as Exhibit 7(m), dated the date of the Placement Notice.

 

21

 

(n) Legal Opinion. On or prior to the date that the first Shares are sold
pursuant to the terms of this Agreement and within three (3) Trading Days of each Representation
Date with respect to which the Company is obligated to deliver a certificate in the form attached
hereto as Exhibit 7(m) for which no waiver is applicable, the Company shall cause to be
furnished to CF&Co (i) the written
opinions of Goodwin Proctor LLP (“Company Counsel”), or other counsel satisfactory to CF&Co,
in form and substance satisfactory to CF&Co and its counsel, dated the date that the opinion is
required to be delivered, substantially similar to the form attached hereto as Exhibit
7(n)(i) and Exhibit 7(n)(ii), and (ii) a written opinion of Michael D. Schecter, Esq.,
General Counsel of the Company (“General Counsel”), in form and substance satisfactory to CF&Co and
its counsel, dated the date that the opinion is required to be delivered, substantially similar to
the form attached hereto as Exhibit 7(n)(iii), each such opinion modified, as necessary, to
relate to the Registration Statement and the Prospectus as then amended or supplemented; provided,
however, that in lieu of such opinions for subsequent Representation Dates, counsel may furnish
CF&Co with a letter (a “Reliance Letter”) to the effect that CF&Co may rely on a prior opinion
delivered under this Section 7(n) to the same extent as if it were dated the date of such letter
(except that statements in such prior opinion shall be deemed to relate to the Registration
Statement and the Prospectus as amended or supplemented at such Representation Date).

(o) Comfort Letter. On or prior to the date that the first Shares are sold
pursuant to the terms of this Agreement and within three (3) Trading Days of each Representation
Date with respect to which the Company is obligated to deliver a certificate in the form attached
hereto as Exhibit 7(m) for which no waiver is applicable, the Company shall cause its
independent accountants to furnish CF&Co letters (the “Comfort Letters”), dated the date the
Comfort Letter is delivered, in form and substance satisfactory to CF&Co, (i) confirming that they
are an independent registered public accounting firm within the meaning of the Securities Act and
the PCAOB, (ii) stating, as of such date, the conclusions and findings of such firm with respect to
the financial information and other matters ordinarily covered by accountants’ “comfort letters” to
CF&Co in connection with registered public offerings (the first such letter, the “Initial Comfort
Letter”) and (iii) updating the Initial Comfort Letter with any information that would have been
included in the Initial Comfort Letter had it been given on such date and modified as necessary to
relate to the Registration Statement and the Prospectus, as amended and supplemented to the date of
such letter.

(p) Market Activities. The Company will not, directly or indirectly, (i)
take any action designed to cause or result in, or that constitutes or might reasonably be expected
to constitute, the stabilization or manipulation of the price of any security of the Company to
facilitate the sale or resale of the Shares or (ii) sell, bid for, or purchase the Shares to be
issued and sold pursuant to this Agreement, or pay anyone any compensation for soliciting purchases
of the Shares other than CF&Co; provided, however, that the Company may bid for and purchase shares
of its common stock in accordance with Rule 10b-18 under the Exchange Act.

(q) Insurance. The Company and its Subsidiaries shall maintain, or caused
to be maintained, insurance of the types and with policies in such amounts and with such
deductibles and covering such risks as are in the reasonable opinion of management prudent for
their respective businesses.

(r) Compliance with Laws. The Company will comply in all material
respects with all applicable securities and other applicable laws, rules and regulations,
including, without limitation, the Sarbanes-Oxley Act, and use its commercially reasonable efforts
to cause the Company’s directors and officers, in their capacities as such, to comply in all
material respects with such laws, rules and regulations, including, without limitation, the
provisions of the Sarbanes-Oxley Act.

(s) REIT Qualification. The Company shall not take any action to revoke
or otherwise terminate the Company’s REIT election pursuant to Section 856(g) of the Code, except
as otherwise determined by the Board of Directors of the Company to be in the best interests of
stockholders.

 

22

 

(t) Investment Company Act. The Company shall not invest, or otherwise
use the proceeds received by the Company from its sale of the Shares in such a manner as would
require the Company or any of its Subsidiaries to register as an investment company under the
Investment Company Act.

(u) No Offer to Sell. Other than a free writing prospectus (as defined in
Rule 405 under the Act) approved in advance by the Company and CF&Co in its capacity as principal
or agent hereunder, neither CF&Co nor the Company or the Partnership (including its agents and
representatives, other than CF&Co in its capacity as such) will make, use, prepare, authorize,
approve or refer to any written communication (as defined in Rule 405 under the Act), required to
be filed with the Commission, that constitutes an offer to sell or solicitation of an offer to buy
the Shares as contemplated to be sold pursuant to this Agreement.

(v) Undertakings. The Company will comply with all of the provisions of
any undertakings in the Registration Statement.

8. Conditions to CF&Co’s Obligations. The obligations of CF&Co hereunder
with respect to a Placement will be subject to the continuing accuracy and completeness of the
representations and warranties made by the Company and the Partnership herein, to the due
performance by the Company and the Partnership of their obligations hereunder, to the completion by
CF&Co of a due diligence review satisfactory to CF&Co in its reasonable judgment, and to the
continuing satisfaction (or waiver by CF&Co in its sole discretion) of the following additional
conditions:

(a) Registration Statement Effective. The Registration Statement shall be
effective and shall be available for (i) all sales of Placement Shares issued pursuant to all prior
Placement Notices and (ii) the sale of all Placement Shares contemplated to be issued by any
Placement Notice.

(b) No Material Notices. None of the following events shall have occurred
and be continuing: (i) receipt by the Company or any of its Subsidiaries of any request for
additional information from the Commission or any other federal or state governmental authority
during the period of effectiveness of the Registration Statement, the response to which would
require any post-effective amendments or supplements to the Registration Statement or the
Prospectus; (ii) the issuance by the Commission or any other federal or state governmental
authority of any stop order suspending the effectiveness of the Registration Statement or the
initiation of any proceedings for that purpose; (iii) receipt by the Company of any notification
with respect to the suspension of the qualification or exemption from qualification of any of the
Placement Shares for sale in any jurisdiction or the initiation or threatening of any proceeding
for such purpose; (iv) the occurrence of any event that makes any material statement made in the
Registration Statement or the Prospectus or any material document incorporated or deemed to be
incorporated therein by reference untrue in any material respect or that requires the making of any
changes in the Registration Statement, related Prospectus or such documents so that, in the case of
the Registration Statement, it will not contain any materially untrue statement of a material fact
or omit to state any material fact required to be stated therein or necessary to make the
statements therein not misleading and, that in the case of the Prospectus, it will not contain any
materially untrue statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein, in the light of the circumstances under
which they were made, not misleading.

(c) No Misstatement or Material Omission. CF&Co shall not have advised the
Company that the Registration Statement or Prospectus, or any amendment or supplement thereto,
contains an untrue statement of fact that in CF&Co’s reasonable opinion is material, or omits to
state a fact that in
CF&Co’s opinion is material and is required to be stated therein or is necessary to make the
statements therein not misleading.

 

23

 

(d) Material Changes. Except as contemplated in the Prospectus, or
disclosed in the Company’s reports filed with the Commission and incorporated by reference in the
Prospectus, there shall not have been any material adverse change, on a consolidated basis, in the
authorized capital stock of the Company or any Material Adverse Effect or any development that
could reasonably be expected to result in a Material Adverse Effect, or any downgrading in or
withdrawal of the rating assigned to any of the Company’s securities (other than asset backed
securities) by any rating organization or a public announcement by any rating organization that it
has under surveillance or review its rating of any of the Company’s securities (other than asset
backed securities), the effect of which, in the case of any such action by a rating organization
described above, in the reasonable judgment of CF&Co (without relieving the Company of any
obligation or liability it may otherwise have), is so material as to make it impracticable or
inadvisable to proceed with the offering of the Placement Shares on the terms and in the manner
contemplated in the Prospectus.

(e) Legal Opinions. CF&Co shall have received the opinions of each of
Company Counsel and General Counsel required to be delivered pursuant Section 7(n) on or before the
date on which such delivery of such opinion is required pursuant to Section 7(n).

(f) Comfort Letter. CF&Co shall have received the Comfort Letter required
to be delivered pursuant Section 7(o) on or before the date on which such delivery of such letter
is required pursuant to Section 7(o).

(g) Representation Certificate. CF&Co shall have received the certificate
required to be delivered pursuant to Section 7(m) on or before the date on which delivery of such
certificate is required pursuant to Section 7(m) .

(h) No Suspension. Trading in the Shares shall not have been suspended on
the New York Stock Exchange.

(i) Other Materials. On each date on which the Company is required to
deliver a certificate pursuant to Section 7(m), the Company shall have furnished to CF&Co such
appropriate further information, certificates and documents as CF&Co may have reasonably requested.
All such opinions, certificates, letters and other documents shall have been in compliance with the
provisions hereof. The Company will furnish CF&Co with such conformed copies of such opinions,
certificates, letters and other documents as CF&Co shall have reasonably requested.

(j) Securities Act Filings Made. All filings with the Commission required
by Rule 424 under the Securities Act to have been filed prior to the issuance of any Placement
Notice hereunder shall have been made within the applicable time period prescribed for such filing
by Rule 424.

(k) Approval for Listing. The Placement Shares shall either have been (i)
approved for listing on the NYSE, subject only to notice of issuance, or (ii) the Company shall
have filed an application for listing of the Placement Shares on the NYSE at, or prior to, the
issuance of any Placement Notice.

(l) No Termination Event. There shall not have occurred any event that
would permit CF&Co to terminate this Agreement pursuant to Section 11(a).

 

24

 

9. Indemnification and Contribution.

(a) Company Indemnification. The Company and the Partnership, jointly and
severally, agree to indemnify and hold harmless CF&Co, the directors, officers, partners, employees
and agents of CF&Co and each person, if any, who (i) controls CF&Co within the meaning of Section
15 of the Securities Act or Section 20 of the Exchange Act, or (ii) is controlled by or is under
common control with CF&Co (a “CF&Co Affiliate”) from and against any and all losses, claims,
liabilities, expenses and damages (including, but not limited to, any and all reasonable
investigative, legal and other expenses incurred in connection with, and any and all amounts paid
in settlement (in accordance with Section 9(c) ) of, any action, suit or proceeding between any of
the indemnified parties and any indemnifying parties or between any indemnified party and any third
party, or otherwise, or any claim asserted), as and when incurred, to which CF&Co, or any such
person, may become subject under the Securities Act, the Exchange Act or other federal or state
statutory law or regulation, at common law or otherwise, insofar as such losses, claims,
liabilities, expenses or damages arise out of or are based, directly or indirectly, on (x) any
untrue statement or alleged untrue statement of a material fact contained in the Registration
Statement or the Prospectus or any amendment or supplement to the Registration Statement or the
Prospectus or in any free writing prospectus or in any application or other document executed by or
on behalf of the Company or based on written information furnished by or on behalf of the Company
filed in any jurisdiction in order to qualify the Shares under the securities laws thereof or filed
with the Commission, (y) the omission or alleged omission to state in any such document a material
fact required to be stated in it or necessary to make the statements in it not misleading or (z)
any breach by any of the indemnifying parties of any of their respective representations,
warranties and agreements contained in this Agreement; provided, however, that this indemnity
agreement shall not apply to the extent that such loss, claim, liability, expense or damage arises
from the sale of the Placement Shares pursuant to this Agreement and is caused directly or
indirectly by an untrue statement or omission made in reliance upon and in conformity with written
information relating to CF&Co and furnished to the Company by CF&Co expressly for inclusion in any
document as described in clause (x) of this Section 9(a). This indemnity agreement will be in
addition to any liability that the Company might otherwise have.

(b) CF&Co Indemnification. CF&Co agrees to indemnify and hold harmless the
Company, its directors, each officer of the Company that signed the Registration Statement, the
Partnership and each person, if any, who (i) controls the Company or the Partnership within the
meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act or (ii) is controlled
by or is under common control with the Company or the Partnership (a “Company Affiliate”) against
any and all loss, liability, claim, damage and expense described in the indemnity contained in
Section 9(a), as incurred, but only with respect to untrue statements or omissions, or alleged
untrue statements or omissions, made in the Registration Statement (or any amendments thereto) or
the Prospectus (or any amendment or supplement thereto) in reliance upon and in conformity with
written information relating to CF&Co and furnished to the Company by CF&Co expressly for inclusion
in any document as described in clause (x) of Section 9(a).

(c) Procedure. Any party that proposes to assert the right to be
indemnified under this Section 9 will, promptly after receipt of notice of commencement of any
action against such party in respect of which a claim is to be made against an indemnifying party
or parties under this Section 9, notify each such indemnifying party of the commencement of such
action, enclosing a copy of all papers served, but the omission so to notify such indemnifying
party will not relieve the indemnifying party from (i) any liability that it might have to any
indemnified party otherwise than under this Section 9 and (ii) any liability that it may have to
any indemnified party under the foregoing provision of this Section 9 unless, and only to the
extent that, such omission results in the forfeiture of substantive rights or defenses by the
indemnifying party. If any such action is brought against any indemnified party and it notifies the
indemnifying party of its commencement, the indemnifying party will be entitled to participate in
and, to

 

25

 

the extent that it elects by delivering written notice to the indemnified party promptly
after receiving notice of the commencement of the action from the indemnified party, jointly with any other
indemnifying party similarly notified, to assume the defense of the action, with counsel reasonably
satisfactory to the indemnified party, and after notice from the indemnifying party to the
indemnified party of its election to assume the defense, the indemnifying party will not be liable
to the indemnified party for any legal or other expenses except as provided below and except for
the reasonable costs of investigation subsequently incurred by the indemnified party in connection
with the defense. The indemnified party will have the right to employ its own counsel in any such
action, but the fees, expenses and other charges of such counsel 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 on
advice of counsel) 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 on 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 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 admitted to
practice in such jurisdiction at any one time for all such indemnified party or parties. All such
fees, disbursements and other charges will be reimbursed by the indemnifying party promptly as they
are incurred. An indemnifying party will not, in any event, be liable for any settlement of any
action or claim effected without its written consent. No indemnifying party shall, without the
prior written consent of each indemnified party, settle or compromise or consent to the entry of
any judgment in any pending or threatened claim, action or proceeding relating to the matters
contemplated by this Section 9 (whether or not any indemnified party is a party thereto), unless
such settlement, compromise or consent includes an unconditional release of each indemnified party
from all liability arising or that may arise out of such claim, action or proceeding.

(d) Contribution. In order to provide for just and equitable contribution
in circumstances in which the indemnification provided for in the foregoing paragraphs of this
Section 9 is applicable in accordance with its terms but for any reason is held to be unavailable
from the Company, the Partnership or CF&Co, the Company, the Partnership and CF&Co will contribute
to the total losses, claims, liabilities, expenses and damages (including any investigative, legal
and other expenses reasonably incurred in connection with, and any amount paid in settlement of,
any action, suit or proceeding or any claim asserted, but after deducting any contribution received
by the Company or the Partnership from persons other than CF&Co, such as persons who control the
Company within the meaning of the Securities Act, officers of the Company who signed the
Registration Statement and directors of the Company, who also may be liable for contribution) to
which the Company, the Partnership and CF&Co may be subject in such proportion as shall be
appropriate to reflect the relative benefits received by the Company and the Partnership on the one
hand and CF&Co on the other. The relative benefits received by the Company and the Partnership on
the one hand and CF&Co on the other hand shall be deemed to be in the same proportion as the total
Net Proceeds received by the Company from the sale of the Placement Shares (before deducting
expenses) bear to the total compensation received by CF&Co from the sale of Placement Shares on
behalf of the Company. If, but only if, the allocation provided by the foregoing sentence is not
permitted by applicable law, the allocation of contribution shall be made in such proportion as is
appropriate to reflect not only the relative benefits referred to in the foregoing sentence but
also the relative fault of the Company and the Partnership, on the one hand, and CF&Co, on the
other, with respect to the statements or omission that resulted in such loss, claim, liability,
expense

 

26

 

or damage, or action in respect thereof, as well as any other relevant equitable
considerations with respect to such offering. Such relative fault shall be determined by reference to, among other things, whether
the untrue or alleged untrue statement of a material fact or omission or alleged omission to state
a material fact relates to information supplied by the Company, the Partnership or CF&Co, the
intent of the parties and their relative knowledge, access to information and opportunity to
correct or prevent such statement or omission. The Company, the Partnership and CF&Co agree that it
would not be just and equitable if contributions pursuant to this Section 9(d) 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, liability, expense, or damage, or action in
respect thereof, referred to above in this Section 9(d) shall be deemed to include, for the purpose
of this Section 9(d) , any legal or other expenses reasonably incurred by such indemnified party
in connection with investigating or defending any such action or claim to the extent consistent
with Section 9(c) hereof. Notwithstanding the foregoing provisions of this Section 9(d), CF&Co
shall not be required to contribute any amount in excess of the commissions received by it under
this Agreement and no person found guilty of fraudulent misrepresentation (within the meaning of
Section 11(f) of the Securities Act) will be entitled to contribution from any person who was not
guilty of such fraudulent misrepresentation. For purposes of this Section 9(d), any person who
controls a party to this Agreement within the meaning of the Securities Act, and any officers,
directors, partners, employees or agents of CF&Co, will have the same rights to contribution as
that party, and each officer of the Company who signed the Registration Statement will have the
same rights to contribution as the Company, subject in each case to the provisions hereof. Any
party entitled to contribution, promptly after receipt of notice of commencement of any action
against such party in respect of which a claim for contribution may be made under this Section
9(d), will notify any such party or parties from whom contribution may be sought, but the omission
to so notify will not relieve that party or parties from whom contribution may be sought from any
other obligation it or they may have under this Section 9(d) except to the extent that the failure
to so notify such other party materially prejudiced the substantive rights or defenses of the party
from whom contribution is sought. Except for a settlement entered into pursuant to the last
sentence of Section 9(c) hereof, no party will be liable for contribution with respect to any
action or claim settled without its written consent if such consent is required pursuant to Section
9(c) hereof.

10. Representations and Agreements to Survive Delivery. The indemnity and
contribution agreements contained in Section 9 of this Agreement and all representations and
warranties of the Company herein or in certificates delivered pursuant hereto shall survive, as of
their respective dates, regardless of (i) any investigation made by or on behalf of CF&Co, any
controlling persons, or the Company (or any of their respective officers, directors or controlling
persons), (ii) delivery and acceptance of the Placement Shares and payment therefor or (iii) any
termination of this Agreement.

11. Termination.

(a) CF&Co shall have the right by giving notice as hereinafter specified at any
time to terminate this Agreement if (i) any Material Adverse Effect, or any development that has
actually occurred and that would reasonably be expected to result in a Material Adverse Effect has
occurred that, in the reasonable judgment of CF&Co, may materially impair the ability of CF&Co to
sell the Placement Shares hereunder, (ii) the Company shall have failed, refused or been unable to
perform any agreement on its part to be performed hereunder; provided, however, in the case of any
failure of the Company to deliver (or cause another person to deliver) any certification, opinion,
or letter required under Sections 7(m), 7(n), or 7(o), CF&Co’s right to terminate shall not arise
unless such failure to deliver (or cause to be delivered) continues for more than thirty (30) days
from the date such delivery was required; or (iii) any other condition of CF&Co’s obligations
hereunder is not fulfilled, or (iv), any suspension or limitation of trading in the Placement
Shares or in securities generally on the New York Stock Exchange shall have occurred. Any such
termination shall be without liability of any party to any other party except that the provisions
of Section 7(g), Section 9, Section 10, Section 16 and Section 17 hereof shall remain
in full force and effect notwithstanding such termination. If CF&Co elects to terminate this
Agreement as provided in this Section 11(a), CF&Co shall provide the required notice as specified
in Section 12.

 

27

 

(b) The Company shall have the right, by giving ten (10) days notice as hereinafter
specified to terminate this Agreement in its sole discretion at any time after the date of this
Agreement. Any such termination shall be without liability of any party to any other party except
that the provisions of Section 7(g), Section 9, Section 10, Section 16 and Section 17 hereof shall
remain in full force and effect notwithstanding such termination.

(c) CF&Co shall have the right, by giving ten (10) days notice as hereinafter
specified to terminate this Agreement in its sole discretion at any time after the date of this
Agreement. Any such termination shall be without liability of any party to any other party except
that the provisions of Section 7(g), Section 9, Section 10, Section 16 and Section 17 hereof shall
remain in full force and effect notwithstanding such termination.

(d) Unless earlier terminated pursuant to this Section 11, this Agreement shall
automatically terminate upon the issuance and sale of all of the Placement Shares through CF&Co on
the terms and subject to the conditions set forth herein; provided, that the provisions of Section
7(g), Section 9, Section 10, Section 16 and Section 17 hereof shall remain in full force and effect
notwithstanding such termination.

(e) This Agreement shall remain in full force and effect unless terminated pursuant
to Sections 11(a), (b), (c), or (d) above or otherwise by mutual agreement of the parties;
provided, however, that any such termination by mutual agreement shall in all cases be deemed to
provide that Section 7(g), Section 9, Section 10, Section 16 and Section 17 shall remain in full
force and effect.

(f) Any termination of this Agreement shall be effective on the date specified in
such notice of termination; provided, however, that such termination shall not be effective until
the close of business on the date of receipt of such notice by CF&Co or the Company, as the case
may be. If such termination shall occur prior to the Settlement Date for any sale of Placement
Shares, such termination shall not become effective until the close of business on such Settlement
Date, with Placement Shares settling in accordance with the provisions of this Agreement.

12. Notices. All notices or other communications required or permitted to
be given by any party to any other party pursuant to the terms of this Agreement shall be in
writing, unless otherwise specified in this Agreement, and if sent to CF&Co, shall be delivered to
CF&Co at Cantor Fitzgerald & Co., 499 Park Avenue, New York, New York 10022, fax no. (212)
308-3730, Attention: Capital Markets/Jeff Lumby, with copies to Stephen Merkel, General Counsel, at
the same address, and Hunton & Williams LLP, Riverfront Plaza, East Tower, 951 East Byrd Street,
Richmond Virginia 23219, fax no. (804) 788-8218, Attention: David C. Wright; or if sent to the
Company or the Partnership, shall be delivered to DiamondRock Hospitality Company, 6903 Rockledge
Drive, Suite 800, Bethesda, Maryland 20817, fax no. (301) 380-6727, attention: Michael D. Schecter,
with a copy to Goodwin Proctor LLP, Exchange Place, Boston, Massachusetts 02109, fax no. (617)
523-1231, attention: Suzanne Lecaroz. Each party to this Agreement may change such address for
notices by sending to the parties to this Agreement written notice of a new address for such
purpose. Each such notice or other communication shall be deemed given (i) when delivered
personally or by verifiable facsimile transmission (with an original to follow) on or before 4:30
p.m., New York City time, on a Business Day (as defined below), or, if such day is not a Business
Day on the next succeeding Business Day, (ii) on the next Business Day after timely delivery to a
nationally-recognized overnight courier and (iii) on the Business Day actually received if
deposited in the U.S. mail (certified or registered mail, return receipt requested, postage
prepaid). For
purposes of this Agreement, “Business Day” shall mean any day on which the NYSE and commercial
banks in the City of New York are open for business.

 

28

 

13. Successors and Assigns. This Agreement shall inure to the benefit of
and be binding upon the Company, the Partnership and CF&Co and their respective successors and the
affiliates, controlling persons, officers and directors referred to in Section 9 hereof.
References to any of the parties contained in this Agreement shall be deemed to include the
successors and permitted assigns of such party. Nothing in this Agreement, express or implied, is
intended to confer upon any party other than the parties hereto or their respective successors and
permitted assigns any rights, remedies, obligations or liabilities under or by reason of this
Agreement, except as expressly provided in this Agreement. Neither party may assign its rights or
obligations under this Agreement without the prior written consent of the other party; provided,
however, that CF&Co may assign its rights and obligations hereunder to an affiliate of CF&Co
without obtaining the Company’s consent.

14. Adjustments for Share Splits. The parties acknowledge and agree that
all share-related numbers contained in this Agreement shall be adjusted to take into account any
share split, share dividend or similar event effected with respect to the Shares.

15. Entire Agreement; Amendment; Severability. This Agreement (including
all schedules and exhibits attached hereto and Placement Notices issued pursuant hereto)
constitutes the entire agreement and supersedes all other prior and contemporaneous agreements and
undertakings, both written and oral, among the parties hereto with regard to the subject matter
hereof. Neither this Agreement nor any term hereof may be amended except pursuant to a written
instrument executed by the Company, the Partnership and CF&Co. In the event that any one or more
of the provisions contained herein, or the application thereof in any circumstance, is held
invalid, illegal or unenforceable as written by a court of competent jurisdiction, then such
provision shall be given full force and effect to the fullest possible extent that it is valid,
legal and enforceable, and the remainder of the terms and provisions herein shall be construed as
if such invalid, illegal or unenforceable term or provision was not contained herein, but only to
the extent that giving effect to such provision and the remainder of the terms and provisions
hereof shall be in accordance with the intent of the parties as reflected in this Agreement.

16. Applicable Law; Consent to Jurisdiction. This Agreement shall be
governed by, and construed in accordance with, the internal laws of the State of New York without
regard to the principles of conflicts of laws. Each party hereby irrevocably submits to the
non-exclusive jurisdiction of the state and federal courts sitting in the City of New York, borough
of Manhattan, for the adjudication of any dispute hereunder or in connection with any transaction
contemplated hereby, and hereby irrevocably waives, and agrees not to assert in any suit, action or
proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that
such suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit,
action or proceeding is improper. Each party hereby irrevocably waives personal service of process
and consents to process being served in any such suit, action or proceeding by mailing a copy
thereof (certified or registered mail, return receipt requested) to such party at the address in
effect for notices to it under this Agreement and agrees that such service shall constitute good
and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to
limit in any way any right to serve process in any manner permitted by law.

17. Waiver of Jury Trial. The Company, the Partnership and CF&Co each
hereby irrevocably waives any right it may have to a trial by jury in respect of any claim based
upon or arising out of this Agreement or any transaction contemplated hereby.

 

29

 

18. Absence of Fiduciary Relationship. The Company and the Partnership,
jointly and severally, acknowledge and agree that:

(a) CF&Co has been retained solely to act as underwriter in connection with the
sale of the Shares and that no fiduciary, advisory or agency relationship between the Company, the
Partnership and CF&Co has been created in respect of any of the transactions contemplated by this
Agreement, irrespective of whether CF&Co has advised or is advising the Company or the Partnership
on other matters;

(b) each of the Company and the Partnership is capable of evaluating and
understanding and understands and accepts the terms, risks and conditions of the transactions
contemplated by this Agreement;

(c) each of the Company and the Partnership has been advised that CF&Co and its
affiliates are engaged in a broad range of transactions which may involve interests that differ
from those of the Company or the Partnership and that CF&Co has no obligation to disclose such
interests and transactions to the Company or the Partnership by virtue of any fiduciary, advisory
or agency relationship; and

(d) each of the Company and the Partnership waives, to the fullest extent permitted
by law, any claims it may have against CF&Co, for breach of fiduciary duty or alleged breach of
fiduciary duty and agrees that CF&Co shall have no liability (whether direct or indirect) to the
Company or the Partnership in respect of such a fiduciary claim or to any person asserting a
fiduciary duty claim on behalf of or in right of the Company or the Partnership, including
stockholders, partners, employees or creditors of the Company or the Partnership.

19. Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which together shall constitute
one and the same instrument. Delivery of an executed Agreement by one party to the other may be
made by facsimile transmission.

[Remainder of Page Intentionally Blank]

 

30

 

If the foregoing correctly sets forth the understanding between the Company and CF&Co, please
so indicate in the space provided below for that purpose, whereupon this letter shall constitute a
binding agreement between the Company and CF&Co.

	 	 	 	 	 
	 	Very truly yours,

DIAMONDROCK HOSPITALITY COMPANY

 	 
	 	By:  	/s/ Michael D. Schecter
 	 
	 	 	Name:  	Michael D. Schecter 	 
	 	 	Title:  	Executive Vice President, General Counsel Corporate Secretary 	 
	 
	 	DIAMONDROCK HOSPITALITY LIMITED PARTNERSHIP

 	 
	 	By:  	DiamondRock Hospitality Company,
 	 
	 	 	its general partner 	 
	 	 	 	 
	 	By:  	/s/ Michael D. Schecter
 	 
	 	 	Name:  	Michael D. Schecter 	 
	 	 	Title:  	Executive Vice President, General Counsel Corporate Secretary 	 

 

31

 

	 	 	 	 	 
	 	ACCEPTED as of the date

first-above written:

CANTOR FITZGERALD & CO.

 	 
	 	By:  	/s/ Jeffrey Lumby
 	 
	 	 	Name:  	Jeffrey Lumby 	 
	 	 	Title:  	Managing Director 	 

 

32

 

SCHEDULE 1

FORM OF PLACEMENT NOTICE

	 	 	 
	From:

	 	[          ]
	 
	 	 
	Cc:

	 	[          ]
	 
	 	 
	To:

	 	[          ]
	 
	 	 
	Subject:

	 	Controlled Equity Offering—Placement Notice
	 
	 	 
	Gentlemen:
	 	 

Pursuant to the terms and subject to the conditions contained in the Controlled Equity
OfferingSM Sales Agreement between DiamondRock Hospitality Company (the “Company”), DiamondRock
Hospitality Limited Partnership, and Cantor Fitzgerald & Co. (“CF&Co”) dated July 27, 2009 (the
“Agreement”), I hereby request on behalf of the Company that CF&Co sell up to [        ] shares of the
Company’s common stock, par value $0.01 per share, at a minimum market price of $                     per share
until [date]*.

	 	 	 
	*	 	The Company shall add additional parameters, such as the bracketed text above regarding a
termination date, to the Placement Notice as it may deem necessary at any time.

 

SCHEDULE 1

 

SCHEDULE 2

	 	 	 
	CANTOR FITZGERALD & CO.
	 
	 	 
	Peter Dippolito

	 	pdippolito@cantor.com
	 
	 	 
	Joshua Feldman

	 	jfeldman@cantor.com
	 
	 	 
	Jeff Lumby

	 	jlumby@cantor.com
	 
	 	 
	DIAMONDROCK HOSPITALITY COMPANY
	 
	 	 
	Mark Brugger

	 	mark.brugger@drhc.com
	 
	 	 
	Sean Mahoney

	 	sean.mahoney@drhc.com
	 
	 	 
	Michael Schecter

	 	michael.schecter@drhc.com

 

SCHEDULE 2

 

SCHEDULE 3

Compensation

CF&Co shall be paid compensation equal to up to two percent (2%) of the gross proceeds from the
sales of Shares pursuant to the terms of this Agreement.

 

SCHEDULE 3

 

SCHEDULE 4

Subsidiaries

DiamondRock Hospitality Company

Subsidiaries

7/2009

	 	 	 	 	 
	 	 	 	 	JURISDICTION IN WHICH
	 	 	JURISDICTION OF	 	QUALIFIED TO DO
	SUBSIDIARY	 	ORGANIZATION	 	BUSINESS
	 
	 	 	 	 
	1 Bloodstone TRS, Inc.

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	2 DiamondRock Alpharetta Owner, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	3 DiamondRock Alpharetta Tenant, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	4 DiamondRock Atlanta Perimeter Owner, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	5 DiamondRock Atlanta Perimeter Tenant, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	6 DiamondRock Bethesda General, LLC

	 	Delaware
	 	Maryland
	 
	 	 	 	 
	7 DiamondRock Bethesda Limited, LLC

	 	Delaware
	 	Maryland
	 
	 	 	 	 
	8 DiamondRock Bethesda Owner Limited Partnership

	 	Maryland
	 	N/A
	 
	 	 	 	 
	9 DiamondRock Bethesda Tenant, LLC

	 	Delaware
	 	Maryland
	 
	 	 	 	 
	10 DiamondRock Boston Expansion Owner, LLC

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	11 DiamondRock Boston Owner, LLC

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	12 DiamondRock Boston Retail Owner, LLC

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	13 DiamondRock Boston Tenant, LLC

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	14 DiamondRock Buckhead Owner, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	15 DiamondRock Buckhead Tenant, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	16 DiamondRock Cayman Islands, Inc.

	 	Cayman Islands
	 	N/A
	 
	 	 	 	 
	17 DiamondRock Chicago Conrad Owner, LLC

	 	Delaware
	 	Illinois
	 
	 	 	 	 
	18 DiamondRock Chicago Conrad Tenant, LLC

	 	Delaware
	 	Illinois
	 
	 	 	 	 
	19 DiamondRock Chicago Owner, LLC

	 	Delaware
	 	Illinois

SCHEDULE 4

 

1

 

DiamondRock Hospitality Company

Subsidiaries

7/2009

	 	 	 	 	 
	 	 	 	 	JURISDICTION IN WHICH
	 	 	JURISDICTION OF	 	QUALIFIED TO DO
	SUBSIDIARY	 	ORGANIZATION	 	BUSINESS
	 
	 	 	 	 
	20 DiamondRock Chicago Tenant, LLC

	 	Delaware
	 	Illinois
	 
	 	 	 	 
	21 DiamondRock East 40th Street NYC Owner Holdings, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	22 DiamondRock East 40th Street NYC Owner, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	23 DiamondRock East 40th Street NYC Tenant, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	24 DiamondRock Frenchman’s Holdings, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	25 DiamondRock Frenchman’s Owner, Inc.

	 	U.S. Virgin Islands
	 	N/A
	 
	 	 	 	 
	26 DiamondRock Griffin Gate Owner, LLC

	 	Delaware
	 	Kentucky
	 
	 	 	 	 
	27 DiamondRock Griffin Gate Tenant, LLC

	 	Delaware
	 	Kentucky
	 
	 	 	 	 
	28 DiamondRock Hospitality Limited Partnership

	 	Delaware
	 	Massachusetts
	 
	 	 	 	 
	29 DiamondRock Hospitality, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	30 DiamondRock LAX Owner, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	31 DiamondRock LAX Tenant, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	32 DiamondRock Manhattan/Midtown East Owner, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	33 DiamondRock Manhattan/Midtown East Tenant Holdings, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	34 DiamondRock Manhattan/Midtown East Tenant, LLC

	 	Delaware
	 	New York
	 
	 	 	 	 
	35 DiamondRock Oak Brook Owner, LLC

	 	Delaware
	 	Illinois
	 
	 	 	 	 
	36 DiamondRock Oak Brook Tenant, LLC

	 	Delaware
	 	Illinois
	 
	 	 	 	 
	37 DiamondRock Orlando Airport Owner, LLC

	 	Delaware
	 	Florida
	 
	 	 	 	 
	38 DiamondRock Orlando Airport Tenant, LLC

	 	Delaware
	 	Florida
	 
	 	 	 	 
	39 DiamondRock Salt Lake Owner, LLC

	 	Delaware
	 	Utah
	 
	 	 	 	 
	40 DiamondRock Salt Lake Tenant, LLC

	 	Delaware
	 	Utah

SCHEDULE 4

 

2

 

DiamondRock Hospitality Company

Subsidiaries

 

7/2009

	 	 	 	 	 
	 	 	 	 	JURISDICTION IN WHICH
	 	 	JURISDICTION OF	 	QUALIFIED TO DO
	SUBSIDIARY	 	ORGANIZATION	 	BUSINESS
	 
	 	 	 	 
	41 DiamondRock Sonoma Owner, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	42 DiamondRock Sonoma Tenant, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	43 DiamondRock Torrance Owner, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	44 DiamondRock Torrance Tenant, LLC

	 	Delaware
	 	California
	 
	 	 	 	 
	45 DiamondRock Vail Owner, LLC

	 	Delaware
	 	Colorado
	 
	 	 	 	 
	46 DiamondRock Vail Tenant, LLC

	 	Delaware
	 	Colorado
	 
	 	 	 	 
	47 DiamondRock Waverly Owner, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	48 DiamondRock Waverly Tenant, LLC

	 	Delaware
	 	Georgia
	 
	 	 	 	 
	49 DRH Austin Owner General, LLC

	 	Delaware
	 	Texas
	 
	 	 	 	 
	50 DRH Austin Owner Limited, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	51 DRH Austin Owner Limited Partnership

	 	Delaware
	 	Texas
	 
	 	 	 	 
	52 DRH Austin Tenant General, LLC

	 	Delaware
	 	Texas
	 
	 	 	 	 
	53 DRH Austin Tenant Limited, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	54 DRH Austin Tenant Limited Partnership

	 	Delaware
	 	Texas
	 
	 	 	 	 
	55 DRH Worthington Owner General, LLC

	 	Delaware
	 	Texas
	 
	 	 	 	 
	56 DRH Worthington Owner Limited, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	57 DRH Worthington Owner Limited Partnership

	 	Delaware
	 	Texas
	 
	 	 	 	 
	58 DRH Worthington Tenant General, LLC

	 	Delaware
	 	Texas
	 
	 	 	 	 
	59 DRH Worthington Tenant Limited, LLC

	 	Delaware
	 	N/A
	 
	 	 	 	 
	60 DRH Worthington Tenant Limited Partnership

	 	Delaware
	 	Texas

SCHEDULE 4

 

3

 

Exhibit 7(n)(i)

MATTERS TO BE COVERED BY INITIAL OPINION OF

GOODWIN PROCTER LLP

1. The Company has been duly incorporated and is validly existing as a corporation in good
standing under the laws of the State of Maryland.

2. The Partnership has been duly formed and is validly existing as a partnership in good
standing under the laws of the State of Delaware.

3. Each of the Company and the Partnership has the corporate power or limited partnership
power to conduct its business and to own, lease and operate its respective properties as such
business and properties are described in the Registration Statement and the Prospectus and to
execute and to perform its obligations under the Agreement.

4. Each Subsidiary listed on Exhibit A is validly existing as a corporation or limited
liability company and in good standing under the law of its jurisdiction of organization as set
forth opposite its name on Exhibit A attached hereto.

5. Each of the Subsidiaries has the corporate power or limited liability company power, as the
case may be, to conduct its respective business and to own, lease and operate its respective
properties as such business and properties are described in the Registration Statement and the
Prospectus.

6. The Common Stock Certificate complies in all material respects with the applicable
requirements of the Maryland General Corporation Law (“MGCL”), the Articles of Amendment and
Restatement of the Company (the “Articles”) and the Second Amended and Restated Bylaws of the
Company (the “Bylaws”).

7. The capital stock of the Company conforms in all material respects to the description
thereof contained in the Registration Statement and the Prospectus under the captions “Description
of Capital Stock,” “Description of Common Stock,” Description of Preferred Stock,” and “Description
of Certain Material Provisions of Maryland Law, Our Charter and Our Bylaws.”

8. The Registration Statement has become effective under the Securities Act. Any required
filing of the Prospectus pursuant to Rule 424(b) has been made in the manner and within the time
period required by Rule 424(b). To our knowledge, (i) no stop order suspending the effectiveness
of the Registration Statement has been issued under the Securities Act and (ii) no proceedings for
that purpose have been instituted or are pending or threatened by the Commission.

9. The Agreement has been duly authorized, executed and delivered by the Company and the
Partnership.

10. The Shares have been duly authorized and, when issued in accordance with the Agreement
against payment of the consideration set forth therein, will be validly issued, fully paid and
non-assessable, and will not be subject to any preemptive right in the Articles or the Bylaws of
the Company or arising under the MGCL.

EXHIBIT 7(n)(i)

 

1

 

11. The execution, delivery and performance of the Agreement by the Company and the
Partnership and the issuance by the Company of the Shares in accordance therewith: (a) do not
require any consent, approval, authorization, license or exemption by, or order of or filing by the
Company or the Partnership with, any governmental authority, except such as has been made or
obtained under the Securities Act, and except as may be required under the securities or Blue Sky
laws of any foreign jurisdiction or of any state or other jurisdiction of the United States, as to
which we express no opinion, (b) will not violate (i) the provisions of the Articles or Bylaws of
the Company, (ii) the provisions of the certificate of limited partnership or the Partnership
Agreement of the Partnership or (iii) the provisions of the organizational documents of the
Subsidiaries, (c) will not violate any law or regulation of the United States, the MGCL, the
Revised Uniform Limited Partnership Act of the State of Delaware or the Limited Liability Company
Act of the State of Delaware applicable to the Company or the Partnership, or any order, judgment
or decree of any Maryland, Delaware, Massachusetts instrumentality or court, specifically naming
the Company or the Partnership of which we are aware and (d) will not result in a breach of, or
default under, any of the material contracts filed with or incorporated by reference into the
Registration Statement.

12. The Shares have been approved for listing, subject to notice of issuance, on the New York
Stock Exchange.

13. The statements set forth under the headings captioned “Description of Capital Stock,”
“Description of Certain Material Provisions of Maryland Law, Our Charter and Our Bylaws” and
“Description of The Partnership Agreement of Diamond Rock Hospitality Limited Partnership” in the
Registration Statement and the Prospectus, insofar as such statements contain description of laws,
rules or regulations, and insofar as they describe the terms of agreements or the Company’s
Articles or Bylaws have been reviewed by us and are correct in all material respects.

14. The Company is not, and after giving effect to the issuance of the Shares and the
application of the proceeds as described in the Prospectus, will not be, an “investment company,”
as that term is defined in the Investment Company Act of 1940, as amended.

We understand that Hunton & Williams LLP will rely upon paragraphs 1, 3, 6, 7, 10 and 11 of this
opinion only to the extent that such paragraphs relate to the MGCL in connection with the rendering
of its opinions of even date herewith to the addressees hereof.

This opinion letter is furnished by us as counsel for the Company to you and is solely for your
benefit as sales agent in connection with the issuance of the Shares, and, except as set forth in
the paragraph above, may not be relied on by you for any other purpose, or furnished to, quoted to,
or relied on by, in whole or in part, any other person, firm or corporation for any purpose,
without our prior written consent.

********************

Reference is made to the registration under the Securities Act of 1933, as amended (the “Securities
Act”) of                      shares of common stock, $0.01 par value per share (the “Shares”), of DiamondRock
Hospitality Company, a Maryland corporation (the “Company”), pursuant to a Registration Statement
on Form S-3 (No. 333-157753), together with all amendments thereto (the “Registration Statement),
all as filed prior to the date hereof with the Securities and Exchange Commission (the
“Commission”) under the Securities Act, and the form of prospectus supplement dated July 27, 2009,
relating to the Shares (the “Prospectus Supplement”). The Registration Statement was declared
effective by the Commission on March 23, 2009. The form of prospectus included in the Registration
Statement when the Registration Statement became effective, as supplemented by the Prospectus
Supplement and filed with the Commission on July 27, 2009 pursuant to Rule 424(b)(5) under the
Securities Act, is herein referred to as
the “Prospectus.” When the Registration Statement became effective, the form of prospectus
included in it omitted certain information in reliance upon Rule 430B under the Securities Act.
That information is contained in the Prospectus, which is deemed to be a part of the Registration
Statement as of the time specified in Rule 430B(f)(1). The Prospectus also updates or supplements
certain information contained in the Registration Statement.

EXHIBIT 7(n)(i)

 

2

 

This letter is being furnished to you at the request of the Company and pursuant to Section
7(n)(ii) of the Sales Agreement (the “Agreement”), dated as of July 27, 2009, among the Company,
DiamondRock Hospitality Limited Partnership, a Delaware limited partnership (the “Partnership”),
and you (the “CF&Co”).

As counsel to the Company, we reviewed the Registration Statement and the Prospectus, and
participated in discussions with your representatives, those of your counsel and those of the
Company and its independent registered public accounting firm, at which the contents of the
Registration Statement and the Prospectus were discussed.

The purpose of our engagement was not to establish or to confirm factual matters set forth in the
Registration Statement and the Prospectus, and we have not undertaken any obligation to verify
independently any of the factual matters set forth in the Registration Statement and the
Prospectus. Moreover, many of the determinations required to be made in the preparation of the
Registration Statement and the Prospectus involve matters of a non-legal nature.

Subject to the foregoing, we confirm to you that: (i) on the basis of the information that we
gained in the course of performing the services referred to above, nothing came to our attention
that caused us to believe that (a) the Registration Statement, at the date and time it became
effective, contained an untrue statement of a material fact or omitted to state any material fact
required to be stated therein or necessary to make the statements therein not misleading, and (b)
the Prospectus, as of its date and the date of the Agreement, contained or contains any untrue
statement of a material fact or omitted or omits to state any material fact necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not
misleading, and (ii) nothing further came to our attention in the course of the procedures
described in the second sentence of the third paragraph of this letter that caused us to believe
that the Prospectus, as of the date and time of delivery of this letter, contains an untrue
statement of a material fact or omits to state any material fact necessary in order to make the
statements therein, in the light of circumstances under which they were made, not misleading;
provided, however, except as set forth in paragraph 13 of our letter to you as of even date
herewith, we do not assume any responsibility for the accuracy, completeness or fairness of the
statements contained in the Registration Statement and the Prospectus and we do not express any
belief as to the financial statements and related notes, financial statement schedules or financial
or accounting data contained in the Registration Statement and the Prospectus. In the first
sentence of this paragraph, “attention” refers to the actual knowledge of each of the lawyers of
our firm who actively participated in the preparation of the Registration Statement and the
Prospectus after such inquiries as they deemed appropriate with other lawyers in our firm providing
substantive attention to other legal matters on behalf of the Company and the Partnership; and
“believe” refers to the good faith belief of each of those lawyers.

Based solely upon oral telephonic advice from one or more members of the Commission’s staff, we
inform you that no stop order suspending the effectiveness of the Registration Statement has been
issued under the Securities Act and no proceedings for that purpose have been instituted or are
pending or threatened by the Commission.

We are not representing the Company, the Partnership or any Subsidiary in any pending litigation in
which it is a named defendant that challenges the validity or enforceability of, or seeks to enjoin
the performance of, the Agreement.

EXHIBIT 7(n)(i)

 

3

 

Further, we confirm to you that the Registration Statement, as of its effective time and date, and
the Prospectus, as of the date of the Prospectus, appeared to us on their face to be responsive in
all material respects to the requirements of the form on which the Registration Statement was
filed, as well as the applicable requirements of Regulation C under the Securities Act, except that
the foregoing statement does not address any requirement relating to financial statements and
related notes, financial statement schedules or financial or accounting data contained in the
Registration Statement or the Prospectus.

This letter is furnished by us as counsel for the Company to you in connection with the Agreement
and is solely for your benefit in connection with the issuance to you of the Shares, and may not be
relied on for any other purpose by you or anyone else.

EXHIBIT 7(n)(i)

 

4

 

Exhibit 7(n)(ii)

FORM OF TAX OPINION OF GOODWIN PROCTER LLP

TO BE DELIVERED PURSUANT TO SECTION 7(n)(i)

Ladies and Gentlemen:

We have acted as counsel for DiamondRock Hospitality Company, a Maryland corporation (the
“Company”), in connection with the Company’s automatic shelf registration statement on Form S-3, as
amended by a post-effective amendment filed on March 9, 2009 (File No. 333-157753) filed with the
Securities and Exchange Commission under the Securities Act of 1933, as amended, on March 6, 2009,
as amended by the prospectus supplement dated July 27, 2009 (as so amended or supplanted, the
“Registration Statement”), and sale by the Company through Cantor Fitzgerald & Co (“CF&Co), in one
or more offerings, of up to $75,000,000 aggregate maximum offering price of shares of common stock,
$0.01 par value per share (the “Shares”), of the Company pursuant to the sales agreement dated July
27, 2009 (the “Sales Agreement”) among the Company, DiamondRock Hospitality Limited Partnership, a
Delaware limited partnership (the “Operating Partnership”), and CF&Co. This opinion letter
addresses the Company’s qualification as a real estate investment trust (a “REIT”) under the
Internal Revenue Code of 1986, as amended (the “Code”), the classification of the Operating
Partnership for federal income tax purposes, and the accuracy of certain matters discussed in the
Registration Statement under the heading “Federal Income Tax Considerations Related to our REIT
Election” and in the prospectus supplement under the heading “Supplement to Federal Income Tax
Considerations.”

The advice set forth herein is not intended for or written to be used, nor can it be used, by
any taxpayer for the purpose of avoiding United States tax penalties that may be imposed on the
taxpayer. The advice contained herein was written to support the issuance and sale of the Shares.
You should seek advice based on your particular circumstances from an independent tax advisor. The
foregoing language is intended to satisfy the requirements under the regulations in Section 10.35
of Treasury Department Circular 230.

In rendering the following opinions, we have reviewed and relied upon the Articles of
Amendment and Restatement of Articles of Incorporation dated as of June 25, 2004 and Second Amended
and Restated Bylaws of the Company dated as of April 20, 2005, each as amended from time to time
and as in effect as of the date of this opinion letter, the Limited Partnership Agreement of the
Operating Partnership dated as of June 4, 2004 and as in effect as of the date hereof, and such
other records, certificates, and documents as we have deemed necessary or appropriate for purposes
of rendering the opinions set forth herein, including the documents pertaining to the loan to
Palomar Holding Inc. made as of January 31, 2007. For purposes of this opinion letter, we have
assumed (i) the genuineness of all signatures on documents we have examined, (ii) the authenticity
of all documents submitted to us as originals, (iii) the conformity to the original documents of
all documents submitted to us as copies, (iv) the conformity, to the extent relevant to our
opinions, of final documents to all documents submitted to us as drafts, (v) the authority and
capacity of the individual or individuals who executed any such documents on behalf of any person,
(vi) due execution and delivery of all such documents by all the parties thereto, (vii) the
compliance of each party with all material provisions of such documents, and (viii) the accuracy
and completeness of all records made available to us.

EXHIBIT 7(n)(ii)

 

1

 

We also have reviewed and relied upon the representations, as to factual matters, and
covenants of the Company and the Operating Partnership contained in a letter that the Company
provided to us in connection with the preparation of this opinion letter (the “REIT Certificate”),
and that we have discussed with the Company’s representative, regarding the organization and
operations of the Company and the Operating Partnership and other matters affecting the Company’s
ability to qualify as a REIT. For
purposes of this opinion letter, we assume that each such representation and covenant has
been, is and will be true, correct and complete, that the Company, the Operating Partnership and
any subsidiaries have been, are and will be owned and operated in accordance with the REIT
Certificate and that all representations that speak to the best of the belief and/or knowledge of
any person(s) or party(ies), or are subject to similar qualification, have been, are and will
continue to be true, correct and complete as if made without such qualification. To the extent
such representations and covenants speak to the intended ownership or operations of the Company or
the Operating Partnership, we assume that each of the Company and the Operating Partnership will in
fact be owned and operated in accordance with such stated intent.

Based upon the foregoing and subject to the limitations set forth herein, we are of the
opinion that:

(i) commencing with the Company’s taxable year ended December 31, 2005, the Company has been
organized and operated in conformity with the requirements for qualification and taxation as a REIT
under the Code and its current and proposed ownership and operations will allow the Company to
continue to satisfy the requirements for qualification and taxation as a REIT under the Code for
subsequent taxable years;

(ii) as long as the Operating Partnership has only one partner for federal income tax
purposes, it will be disregarded as an entity separate from the Company and if and when the
Operating Partnership has two or more partners for federal income tax purposes, the Operating
Partnership will be treated as a partnership within the meaning of Code Sections 7701(a)(2) and
761(a) and will not be treated as a publicly traded partnership taxable as a corporation under the
rules of Code Section 7704; and

(iii) the statements set forth under the heading “Federal Income Tax Considerations Related to
our REIT Election” in the Registration Statement and under the heading “Supplement to Federal
Income Tax Considerations” in the prospectus supplement, insofar as such statements constitute
matters of law, summaries of legal matters, legal documents, contracts or legal proceedings, or
legal conclusions, are correct in all material respects and do not omit to state a matter of law
necessary to make the statements therein, in light of the circumstances under which they were made,
not misleading.

* * * * *

We express no opinion other than the opinions expressly set forth herein. Our opinions are
not binding on the Internal Revenue Service. The Internal Revenue Service may disagree with and
challenge our conclusions, and a court could sustain such a challenge. Our opinions are based upon
the Code, the Income Tax Regulations and Procedure and Administration Regulations promulgated
thereunder and existing administrative and judicial interpretations thereof, all as in effect as of
the date of this opinion letter. Changes in applicable law could cause the federal income tax
treatment of the Company or the Operating Partnership to differ materially and adversely from the
treatment described above and render the tax discussion in the Registration Statement incorrect or
incomplete.

We are rendering this opinion letter to you pursuant to Section 7(n)(i) of the Sales Agreement
in connection with the sale of Shares and this opinion letter may not be relied upon by any other
person or for any other purpose without our prior written consent. This opinion letter speaks only
as of the date hereof, and we undertake no obligation to update this opinion letter or to notify
any person of any changes in facts, circumstances or applicable law (including without limitation
any discovery of any facts that are inconsistent with the REIT Certificate).

Very truly yours

EXHIBIT 7(n)(ii)

 

2

 

Exhibit 7(n)(iii)

FORM OF OPINION OF MICHAEL D. SCHECTER, ESQ.,

TO BE DELIVERED PURSUANT TO SECTION 7(n)(ii)

I am the general counsel of DiamondRock Hospitality Company, a Maryland corporation (the
“Company”). I have represented the Company and DiamondRock Hospitality Limited Partnership, a
Delaware limited partnership (the “Partnership”), in connection with, among other things, the
execution and delivery of the Sales Agreement, dated as of July 27, 2009 (the “Agreement”), among
the Company, the Partnership and you (“CF&Co”).

I am furnishing this opinion letter pursuant to Section 7(n) of the Agreement. Capitalized terms
that are not defined herein but are defined in the Agreement shall have the meaning ascribed to
them in the Agreement.

In connection with the delivery of this opinion, I have examined such corporate or partnership
records, certificates and other documents or other agreements and such questions of law that I have
considered necessary or appropriate for the purposes of this opinion. Upon the basis of such
examination, I advise you that, in my opinion:

	 	1.	 	Except as disclosed in the Registration Statement and the Prospectus, there are
no outstanding (i) securities or obligations of the Company, the Partnership or any
Subsidiary convertible into or exchangeable for any capital stock of the Company, (ii)
warrants, rights or options to subscribe for or purchase from the Company, the
Partnership or any Subsidiary any such capital stock or any such convertible or
exchangeable securities or obligations or (iii) obligations of the Company, the
Partnership or any Subsidiary to issue or sell any shares of capital stock, partnership
interests or membership interests, as applicable, any such convertible or exchangeable
securities or obligation, or any such warrants, rights or options.

	 	2.	 	To my knowledge, no actions, suits, proceedings, investigations, legal or
governmental proceedings are pending or overtly threatened to which the Company or the
Partnership or any Subsidiary or any of their directors, officers or employees is a
party or to which the properties, assets or rights of the Company or the Partnership or
any Subsidiary is subject, at law or in equity, before any federal, state, local or
foreign governmental or regulatory commission, board, body, authority, arbitral panel
or agency that are required to be described in the Registration Statement or the
Prospectus.

	 	3.	 	Neither the Company nor the Partnership, nor, to my knowledge, any Subsidiary
is (i) in breach of, or in default under (nor has any event occurred which with notice,
lapse of time, or both would constitute a breach of, or default under), its charter,
bylaws, certificate of limited partnership, partnership agreement or other
organizational documents or (ii) in breach or default (nor has any event occurred which
with notice, lapse of time or both would constitute a breach or default) in the
performance or observance of any of its obligations, agreements, covenants or
conditions contained in any license, indenture, mortgage, deed of trust, bank loan or
credit agreement or other agreement or instrument known to me which the Company, the
Partnership or any Subsidiary is a party or by which it or its properties are bound or
affected, except for such breaches or defaults which would not individually or in the
aggregate, have a Material Adverse Effect.

EXHIBIT 7(n)(iii)

 

1

 

	 	4.	 	Each Subsidiary listed on Exhibit A (the “Designated Subsidiaries”) is
validly existing as a corporation, limited liability company, or limited partnership,
and in good standing under the law of its jurisdiction of organization. Each of the
Designated Subsidiaries is duly qualified
to do business and is in good standing as a foreign corporation in the jurisdictions set
forth opposite its name on Exhibit A hereto.

	 	5.	 	With the exception of its interests in the Designated Subsidiaries, the Company
does not own, directly or indirectly, capital stock or other equity interests in any
other corporation, limited liability company, partnership, joint venture, trust or
other entity.

	 	6.	 	The Shares, when issued in accordance with the Agreement against payment of the
consideration set forth therein, will be free and clear of any pledge, lien,
encumbrance, security interest or claim created by the Company.

	 	7.	 	The issued and outstanding shares of capital stock of the Company have been
duly authorized and validly issued, and are fully paid and non-assessable.

	 	8.	 	The issued and outstanding units of partnership interests or membership
interests of the Partnership and each Subsidiary have been duly authorized and validly
issued, are fully paid and non-assessable, and are owned of record directly or
indirectly by the Company.

	 	9.	 	To my knowledge, there are no contracts or documents of a character required to
be filed as exhibits to the Registration Statement or summarized in the Registration
Statement and the Prospectus that have not been so filed, summarized or described.

	 	10.	 	The execution, delivery and performance of the Agreement by the Company and the
Partnership and the issuance by the Company of the Shares in accordance therewith will
not, to my knowledge, result in a breach of, or default that would reasonably be
expected to have a Material Adverse Effect under any agreement, license, instrument,
indenture, mortgage or deed of trust known to me to which the Company, the Partnership
or any Subsidiary is a party or by which any of them or their respective properties may
be bound.

	 	11.	 	Except as described in the Registration Statement and the Prospectus, to my
knowledge, no agreement grants to any person the right to require the Company to file a
registration statement under the Securities Act with respect to any securities of the
Company owned or to be owned by such person or to require the Company to include such
securities in the securities registered pursuant to the Registration Statement or in
any securities being registered pursuant to any other registration statement filed by
the Company under the Securities Act, except for any such rights that have been waived.

The foregoing opinions are limited to the Federal laws of the United States and the laws of the
States of New York, Delaware (but only insofar as set forth in the Revised Uniform Limited
Partnership Act of the State of Delaware) and Maryland (but only insofar as set forth in the
Maryland General Corporation Law).

EXHIBIT 7(n)(iii)

 

2

 

I have relied as to certain matters on information obtained from public officials and other sources
believed by me to be responsible, and I have assumed that the original documents conformed to the
specimens examined by me and that the signatures on all documents examined by me are genuine,
assumptions which I have not independently verified but have no information to the contrary.

This opinion letter is furnished by me as counsel for the Company and the Partnership and may be
relied upon by you, your successors and assigns. I also consent to reliance on this opinion by
Goodwin Procter LLP (“Goodwin Procter”) and Hunton & Williams LLP (“Hunton & Williams”) in
connection with the rendering of their opinions of even date herewith to the addressees hereof.
Except as set forth above, this opinion letter may not be used or relied upon by you, Goodwin
Procter or Hunton & Williams, or quoted
by you, Goodwin Procter or Hunton & Williams, for any other purpose or by any other person, nor may
copies be delivered to any other person, without in each instance, my prior written consent.

This opinion letter is given as of the date hereof. I assume no obligation to update or supplement
this opinion letter to reflect any facts or circumstances which may hereafter come to my attention,
including any subsequent changes in law or regulation, or the interpretation thereof.

EXHIBIT 7(n)(iii)

 

3

 

Exhibit 7(m)

OFFICER CERTIFICATE

The undersigned, the duly qualified and elected [Chief Executive Officer, Chief Financial Officer,
or Executive Vice President and General Counsel], of DIAMONDROCK HOSPITALITY COMPANY (“Company”), a
Maryland corporation, does hereby certify in such capacity and on behalf of the Company, for itself
and as the general partner of DiambondRock Hospitality Limited Partnership, a Delaware limited
partnership (the “Partnership”) pursuant to Section 7(m) of the Sales Agreement dated July 27, 2009
(the “Sales Agreement”) between the Company, the Partnership and Cantor Fitzgerald & Co., that to
the best of the knowledge of the undersigned:

(i) The representations and warranties of the Company in Section 6 of the Sales
Agreement (A) to the extent such representations and warranties are subject to qualifications and
exceptions contained therein relating to materiality or Material Adverse Effect, are true and
correct on and as of the date hereof with the same force and effect as if expressly made on and as
of the date hereof, except for those representations and warranties that speak solely as of a
specific date and which were true and correct as of such date, and (B) to the extent such
representations and warranties are not subject to any qualifications or exceptions, are true and
correct in all material respects as of the date hereof as if made on and as of the date hereof with
the same force and effect as if expressly made on and as of the date hereof, except for those
representations and warranties that speak solely as of a specific date and which were true and
correct as of such date; and

(ii) The Company has complied with all agreements and satisfied all conditions on
its part to be performed or satisfied pursuant to the Sales Agreement at or prior to the date
hereof.

	 	 	 	 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

Date:                     , 2009

EXHIBIT 7(m)exv4w2

Exhibit 4.2

ALTRA HOLDINGS, INC.

INDENTURE

Dated as of

 

DEBT SECURITIES

[          ]

Trustee

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	ARTICLE I DEFINITIONS
	 	 	1	 
	Section 1.01 Definitions
	 	 	1	 
	ARTICLE II FORMS OF SECURITIES
	 	 	8	 
	Section 2.01 Terms of the Securities
	 	 	8	 
	Section 2.02 Form of Trustee’s Certificate of Authentication
	 	 	8	 
	Section 2.03 Form of Trustee’s Certificate of Authentication by an Authenticating Agent
	 	 	9	 
	ARTICLE III THE DEBT SECURITIES
	 	 	9	 
	Section 3.01 Amount Unlimited; Issuable in Series
	 	 	9	 
	Section 3.02 Denominations
	 	 	11	 
	Section 3.03 Execution, Authentication, Delivery and Dating
	 	 	11	 
	Section 3.04 Temporary Securities
	 	 	12	 
	Section 3.05 Registrar
	 	 	13	 
	Section 3.06 Transfer and Exchange
	 	 	13	 
	Section 3.07 Mutilated, Destroyed, Lost and Stolen Securities
	 	 	16	 
	Section 3.08 Payment of Interest; Interest Rights Preserved
	 	 	16	 
	Section 3.09 Cancellation
	 	 	17	 
	Section 3.10 Computation of Interest
	 	 	17	 
	Section 3.11 Currency of Payments in Respect of Securities
	 	 	17	 
	Section 3.12 Judgments
	 	 	18	 
	Section 3.13 CUSIP Numbers
	 	 	18	 
	ARTICLE IV REDEMPTION OF SECURITIES
	 	 	18	 
	Section 4.01 Applicability of Right of Redemption
	 	 	18	 
	Section 4.02 Selection of Securities to be Redeemed
	 	 	18	 
	Section 4.03 Notice of Redemption
	 	 	19	 
	Section 4.04 Deposit of Redemption Price
	 	 	19	 
	Section 4.05 Securities Payable on Redemption Date
	 	 	19	 
	Section 4.06 Securities Redeemed in Part
	 	 	19	 
	ARTICLE V SINKING FUNDS
	 	 	20	 
	Section 5.01 Applicability of Sinking Fund
	 	 	20	 
	Section 5.02 Mandatory Sinking Fund Obligation
	 	 	20	 
	Section 5.03 Optional Redemption at Sinking Fund Redemption Price
	 	 	20	 
	Section 5.04 Application of Sinking Fund Payment
	 	 	21	 
	ARTICLE VI PARTICULAR COVENANTS OF THE COMPANY
	 	 	21	 
	Section 6.01 Payments of Securities
	 	 	21	 
	Section 6.02 Paying Agent
	 	 	21	 
	Section 6.03 To Hold Payment in Trust
	 	 	22	 

i

 

	 	 	 	 	 
	Section 6.04 Merger, Consolidation and Sale of Assets
	 	 	23	 
	Section 6.05 Compliance Certificate
	 	 	23	 
	Section 6.06 Conditional Waiver by Holders of Securities
	 	 	23	 
	Section 6.07 Statement by Officers as to Default
	 	 	24	 
	ARTICLE VII REMEDIES OF TRUSTEE AND SECURITYHOLDERS
	 	 	24	 
	Section 7.01 Events of Default
	 	 	24	 
	Section 7.02 Acceleration; Rescission and Annulment
	 	 	25	 
	Section 7.03 Other Remedies
	 	 	26	 
	Section 7.04 Trustee as Attorney-in-Fact
	 	 	26	 
	Section 7.05 Priorities
	 	 	27	 
	Section 7.06 Control by Securityholders; Waiver of Past Defaults
	 	 	27	 
	Section 7.07 Limitation on Suits
	 	 	27	 
	Section 7.08 Undertaking for Costs
	 	 	28	 
	Section 7.09 Remedies Cumulative
	 	 	28	 
	ARTICLE VIII CONCERNING THE SECURITYHOLDERS
	 	 	28	 
	Section 8.01 Evidence of Action of Securityholders
	 	 	28	 
	Section 8.02 Proof of Execution or Holding of Securities
	 	 	29	 
	Section 8.03 Persons Deemed Owners
	 	 	29	 
	Section 8.04 Effect of Consents
	 	 	29	 
	ARTICLE IX SECURITYHOLDERS’ MEETINGS
	 	 	30	 
	Section 9.01 Purposes of Meetings
	 	 	30	 
	Section 9.02 Call of Meetings by Trustee
	 	 	30	 
	Section 9.03 Call of Meetings by Company or Securityholders
	 	 	30	 
	Section 9.04 Qualifications for Voting
	 	 	30	 
	Section 9.05 Regulation of Meetings
	 	 	30	 
	Section 9.06 Voting
	 	 	31	 
	Section 9.07 No Delay of Rights by Meeting
	 	 	31	 
	ARTICLE X REPORTS BY THE COMPANY AND THE TRUSTEE AND SECURITYHOLDERS’ LISTS
	 	 	31	 
	Section 10.01 Reports by Trustee
	 	 	31	 
	Section 10.02 Reports by the Company
	 	 	31	 
	Section 10.03 Securityholders’ Lists
	 	 	32	 
	ARTICLE XI CONCERNING THE TRUSTEE
	 	 	32	 
	Section 11.01 Rights of Trustees; Compensation and Indemnity
	 	 	32	 
	Section 11.02 Duties of Trustee
	 	 	34	 
	Section 11.03 Notice of Defaults
	 	 	35	 
	Section 11.04 Eligibility; Disqualification
	 	 	35	 
	Section 11.05 Registration and Notice; Removal
	 	 	35	 
	Section 11.06 Successor Trustee by Appointment
	 	 	36	 
	Section 11.07 Successor Trustee by Merger
	 	 	37	 
	Section 11.08 Right to Rely on Officer’s Certificate
	 	 	37	 
	Section 11.09 Appointment of Authenticating Agent
	 	 	37	 
	Section 11.10 Communications by Securityholders with Other Securityholders
	 	 	38	 

ii

 

	 	 	 	 	 
	ARTICLE XII SATISFACTION AND DISCHARGE; DEFEASANCE
	 	 	38	 
	Section 12.01 Applicability of Article
	 	 	38	 
	Section 12.02 Satisfaction and Discharge of Indenture
	 	 	38	 
	Section 12.03 Defeasance upon Deposit of Moneys or U.S. Government Obligations
	 	 	39	 
	Section 12.04 Repayment to Company
	 	 	40	 
	Section 12.05 Indemnity for U.S. Government Obligations
	 	 	40	 
	Section 12.06 Application of Trust Money
	 	 	40	 
	Section 12.07 Deposits of Non-U.S. Currencies
	 	 	40	 
	ARTICLE XIII IMMUNITY OF CERTAIN PERSONS
	 	 	40	 
	Section 13.01 No Personal Liability
	 	 	40	 
	ARTICLE XIV SUPPLEMENTAL INDENTURES
	 	 	41	 
	Section 14.01 Without Consent of Securityholders
	 	 	41	 
	Section 14.02 With Consent of Securityholders; Limitations
	 	 	42	 
	Section 14.03 Trustee Protected
	 	 	43	 
	Section 14.04 Effect of Execution of Supplemental Indenture
	 	 	43	 
	Section 14.05 Notation on or Exchange of Securities
	 	 	43	 
	Section 14.06 Conformity with TIA
	 	 	44	 
	ARTICLE XV SUBORDINATION OF SECURITIES
	 	 	44	 
	Section 15.01 Agreement to Subordinate
	 	 	44	 
	Section 15.02 Distribution on Dissolution, Liquidation and Reorganization; Subrogation of Securities
	 	 	44	 
	Section 15.03 No Payment on Securities in Event of Default on Senior Indebtedness
	 	 	45	 
	Section 15.04 Payments on Securities Permitted
	 	 	45	 
	Section 15.05 Authorization of Securityholders to Trustee to Effect Subordination
	 	 	45	 
	Section 15.06 Notices to Trustee
	 	 	45	 
	Section 15.07 Trustee as Holder of Senior Indebtedness
	 	 	46	 
	Section 15.08 Modifications of Terms of Senior Indebtedness
	 	 	46	 
	Section 15.09 Reliance on Judicial Order or Certificate of Liquidating Agent
	 	 	46	 
	Section 15.10 Satisfaction and Discharge; Defeasance and Covenant Defeasance
	 	 	46	 
	Section 15.11 Trustee Not Fiduciary for Holders of Senior Indebtedness
	 	 	46	 
	ARTICLE XVI GUARANTEES
	 	 	47	 
	Section 16.01 Guarantees
	 	 	47	 
	Section 16.02 Execution and Delivery of Guarantee
	 	 	48	 
	Section 16.03 Limitation on Guarantors’ Liability
	 	 	48	 
	Section 16.04 Release of Guarantors from Guarantee
	 	 	48	 
	Section 16.05 Guarantor Contribution
	 	 	49	 
	ARTICLE XVII MISCELLANEOUS PROVISIONS
	 	 	49	 
	Section 17.01 Certificates and Opinions as to Conditions Precedent
	 	 	49	 
	Section 17.02 Trust Indenture Act Controls
	 	 	50	 
	Section 17.03 Notices to the Company and Trustee
	 	 	50	 
	Section 17.04 Notices to Securityholders; Waiver
	 	 	50	 
	Section 17.05 Legal Holiday
	 	 	50	 
	Section 17.06 Effects of Headings and Table of Contents
	 	 	51	 

iii

 

	 	 	 	 	 
	Section 17.07 Successors and Assigns
	 	 	51	 
	Section 17.08 Separability Clause
	 	 	51	 
	Section 17.09 Benefits of Indenture
	 	 	51	 
	Section 17.10 Counterparts Originals
	 	 	51	 
	Section 17.11 Governing Law; Waiver of Trial by Jury
	 	 	51	 

iv

 

ALTRA HOLDINGS, INC.

Reconciliation and tie between Trust Indenture Act of 1939 and

Indenture, dated as of ______

	 	 	 
	§ 310(a)(1)

	 	11.04
	(a)(2)

	 	11.04
	(a)(3)

	 	Not applicable
	(a)(4)

	 	Not applicable
	(a)(5)

	 	11.04
	(b)

	 	11.03
	§ 311(a)

	 	11.02
	(b)

	 	11.02
	(c)

	 	Not applicable
	§ 312(a)

	 	10.03
	(b)

	 	11.10
	(c)

	 	11.10
	§ 313(a)

	 	10.01
	(b)(1)

	 	10.01
	(b)(2)

	 	10.01
	(c)(1)

	 	10.01
	(d)

	 	10.01
	§ 314(a)

	 	10.02, 6.05
	(b)

	 	Not applicable
	(c)(1)

	 	17.01
	(c)(2)

	 	17.01
	(c)(3)

	 	Not applicable
	(d)

	 	Not applicable
	(e)

	 	17.01
	(f)

	 	Not applicable
	§ 315(a)

	 	11.02
	(b)

	 	11.03
	(c)

	 	11.02
	(d)

	 	11.02
	(e)

	 	7.08
	§ 316(a)

	 	1.01
	(a)(1)(A)

	 	7.06
	(a)(1)(B)

	 	7.06
	(b)

	 	14.02
	(c)

	 	3.08
	§ 317(a)(1)

	 	7.04
	(a)(2)

	 	7.04
	(b)

	 	6.03
	§ 318(a)

	 	17.02

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

v

 

     INDENTURE dated as of                      ___, ___, among Altra Holdings, Inc., a Delaware corporation
(the “Company”), and                                         , a national banking association organized under the laws of
the United States, as trustee (the “Trustee”).

WITNESSETH:

     WHEREAS, the Company has duly authorized the execution and delivery of this Indenture to
provide for the issuance of debentures, notes, bonds or other evidences of indebtedness (the
“Securities”) in an unlimited aggregate principal amount to be issued from time to time in one or
more series as provided in this Indenture; and

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

     NOW, THEREFORE, THIS INDENTURE WITNESSETH: That, in consideration of the premises and the
purchase of the Securities by the Holders thereof for the equal and proportionate benefit of all of
the present and future Holders of the Securities, each party agrees and covenants as follows:

ARTICLE I

DEFINITIONS

     For all purposes of this Indenture, except as otherwise expressly provided or unless the
context otherwise requires:

     (a) the terms defined in this Article have the meanings assigned to them in this Article and
include the plural as well as the singular;

     (b) all terms used herein without definition which are defined in the Trust Indenture Act,
either directly or by reference therein, have the meanings assigned to them therein; and

     (c) the words “herein”, “hereof” and “hereunder” and other words of similar import refer to
this Indenture as a whole and not to any particular Article, Section or other subdivision.

     (d) References to “Article” or “Section” or other subdivision herein are references to an
Article, Section or other subdivision of the Indenture, unless the context otherwise requires.

     Section 1.01 Definitions.

     (a) Unless otherwise defined in this Indenture or the context otherwise requires, all terms
used herein shall have the meanings assigned to them in the Trust Indenture Act.

     (b) Unless the context otherwise requires, the terms defined in this Section 1.01(b) shall for
all purposes of this Indenture have the meanings hereinafter set forth, the following definitions
to be equally applicable to both the singular and the plural forms of any of the terms herein
defined:

     Affiliate:

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

     Authenticating Agent:

     The term “Authenticating Agent” shall have the meaning assigned to it in Section 11.09.

1

 

     Board of Directors:

     The term “Board of Directors” shall mean either the board of directors of the Company or the
executive or any other committee of that board duly authorized to act in respect hereof.

     Board Resolution:

     The term “Board Resolution” shall mean a copy of a resolution or resolutions certified by the
Secretary or an Assistant Secretary of the Company to have been duly adopted by the Board of
Directors (or by a committee of the Board of Directors to the extent that any such other committee
has been authorized by the Board of Directors to establish or approve the matters contemplated) and
to be in full force and effect on the date of such certification and delivered to the Trustee.

     Business Day:

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

     Capital Stock:

     The term “Capital Stock” shall mean:

     (a) in the case of a corporation, corporate stock;

     (b) in the case of an association or business entity, any and all shares, interests,
participations, rights or other equivalents (however designated) of corporate stock;

     (c) in the case of a partnership or limited liability company, partnership interests (whether
general or limited) or membership interests; and

     (d) any other interest or participation that confers on a Person the right to receive a share
of the profits and losses of, or distributions of assets of, the issuing Person, but excluding from
all of the foregoing any debt securities convertible into Capital Stock, whether or not such debt
securities include any right of participation with Capital Stock.

     Code:

     The term “Code” shall mean the Internal Revenue Code of 1986 as in effect on the date hereof.

     Company:

     The term “Company” shall mean the Person named as the “Company” in the first paragraph of this
Indenture until a successor Person shall have become such pursuant to the applicable provisions of
this Indenture, and thereafter “Company” shall mean such successor Person.

     Company Order:

     The term “Company Order” shall mean a written order signed in the name of the Company by the
Chairman, Chief Executive Officer, President, Chief Financial Officer, any Vice President,
Treasurer, any Assistant Treasurer, Secretary or any Assistant Secretary of the Company, and
delivered to the Trustee.

     Corporate Trust Office:

     The term “Corporate Trust Office,” or other similar term, shall mean the principal office of
the Trustee at which at any particular time its corporate trust business shall be administered,
which office at the date hereof is located at [                      ], or such other
address as the Trustee may designate from time to time by notice to the Holders and the Company, or
the principal corporate trust officer of any successor Trustee (or such other address as such
successor Trustee may designate from time to time by notice to the Holders and the Company).

2

 

     Currency:

     The term “Currency” shall mean U.S. Dollars or Foreign Currency.

     Default:

     The term “Default” shall have the meaning assigned to it in Section 11.03.

     Defaulted Interest:

     The term “Defaulted Interest” shall have the same meaning assigned to it in Section 3.08(b).

     Depositary:

     The term “Depositary” shall mean, with respect to the Securities of any series issuable in
whole or in part in the form of one or more Global Securities, the Person designated as Depositary
by the Company pursuant to Section 3.01 until a successor Depositary shall have become such
pursuant to the applicable provisions of this Indenture, and thereafter “Depositary” shall mean or
include each Person who is then a Depositary hereunder, and if at any time there is more than one
such Person, “Depositary” as used with respect to the Securities of any such series shall mean the
Depositary with respect to the Securities of that series.

     Designated Currency:

     The term “Designated Currency” shall have the same meaning assigned to it in Section 3.12.

     Discharged:

     The term “Discharged” shall have the meaning assigned to it in Section 12.03.

     Event of Default:

     The term “Event of Default” shall have the meaning specified in Section 7.01.

     Exchange Act:

     The term “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.

     Exchange Rate:

     The term “Exchange Rate” shall have the meaning assigned to it in Section 7.01.

     Floating Rate Security:

     The term “Floating Rate Security” shall mean a Security that provides for the payment of
interest at a variable rate determined periodically by reference to an interest rate index
specified pursuant to Section 3.01.

     Foreign Currency:

     The term “Foreign Currency” shall mean a currency issued by the government of any country
other than the United States or a composite currency, the value of which is determined by reference
to the values of the currencies of any group of countries.

     GAAP:

     The term “GAAP,” with respect to any computation required or permitted hereunder, shall mean
generally accepted accounting principles in effect in the United States as in effect from time to
time, including, without limitation, those set forth in the opinions and pronouncements of the
Accounting Principles Board of the American Institute of Certified Public Accountants and
statements and pronouncements of the Financial Accounting Standards Board or in such other
statements by such other entity as approved by a significant segment of the accounting profession.

3

 

     Global Security:

     The term “Global Security” shall mean any Security that evidences all or part of a series of
Securities, issued in fully-registered certificated form to the Depositary for such series in
accordance with Section 3.03 and bearing the legend prescribed in Section 3.03(g).

     Guarantor:

     The term “Guarantor” means any person that issues a guarantee of the Securities, either on the
issue date or after the issue date in accordance with the terms of this Indenture; provided, that
upon the release and discharge of such person from its guarantee in accordance with this Indenture,
such person shall cease to be a Guarantor.

     Holder; Holder of Securities:

     The terms “Holder” and “Holder of Securities” are defined under “Securityholder; Holder of
Securities; Holder.”

     Indebtedness:

     The term “Indebtedness” shall mean any and all obligations of a Person for money borrowed
which, in accordance with GAAP, would be reflected on the balance sheet of such Person as a
liability on the date as of which Indebtedness is to be determined.

     Indenture:

     The term “Indenture” or “this Indenture” shall mean this instrument and all indentures
supplemental hereto.

     Interest:

     The term “interest” shall mean, with respect to an Original Issue Discount Security that by
its terms bears interest only after Maturity, interest payable after Maturity.

     Interest Payment Date:

     The term “Interest Payment Date” shall mean, with respect to any Security, the Stated Maturity
of an installment of interest on such Security.

     Mandatory Sinking Fund Payment:

     The term “Mandatory Sinking Fund Payment” shall have the meaning assigned to it in Section
5.01.

     Maturity:

     The term “Maturity,” with respect to any Security, shall mean the date on which the principal
of such Security shall become due and payable as therein and herein provided, whether by
declaration, call for redemption or otherwise.

     Members:

     The term “Members” shall have the meaning assigned to it in Section 3.03(i).

     Officer’s Certificate:

     The term “Officer’s Certificate” shall mean a certificate signed by any of the Chairman of the
Board of Directors, Chief Executive Officer, President, Chief Financial Officer, any Vice
President, Treasurer, any Assistant Treasurer, Secretary or any Assistant Secretary of the Company
and delivered to the Trustee. Each such certificate shall include the statements provided for in
Section 17.01 if and to the extent required by the provisions of such Section.

4

 

     Opinion of Counsel:

     The term “Opinion of Counsel” shall mean an opinion in writing signed by legal counsel, who
may be an employee of or of counsel to the Company, or may be other counsel that meets the
requirements provided for in Section 17.01.

     Optional Sinking Fund Payment:

     The term “Optional Sinking Fund Payment” shall have the meaning assigned to it in Section
5.01.

     Original Issue Discount Security:

     The term “Original Issue Discount Security” shall mean any Security that is issued with
“original issue discount” within the meaning of Section 1273(a) of the Code and the regulations
thereunder and any other Security designated by the Company as issued with original issue discount
for United States federal income tax purposes.

     Outstanding:

     The term “Outstanding,” when used with respect to Securities means, as of the date of
determination, all Securities theretofore authenticated and delivered under this Indenture, except:

     (a) Securities theretofore canceled by the Trustee or delivered to the Trustee for
cancellation;

     (b) Securities or portions thereof for which payment or redemption money in the necessary
amount has been theretofore deposited with the Trustee or any Paying Agent (other than the Company)
in trust or set aside and segregated in trust by the Company (if the Company shall act as its own
Paying Agent) for the Holders of such Securities or Securities as to which the Company’s
obligations have been Discharged; provided, however, that if such Securities or portions thereof
are to be redeemed, notice of such redemption has been duly given pursuant to this Indenture or
provision therefor satisfactory to the Trustee has been made; and

     (c) Securities that have been paid pursuant to Section 3.07(b) or in exchange for or in lieu
of which other Securities have been authenticated and delivered pursuant to this Indenture, other
than any such Securities in respect of which there shall have been presented to a Responsible
Officer of the Trustee proof satisfactory to it that such Securities are held by a protected
purchaser in whose hands such Securities are valid obligations of the Company; provided, however,
that in determining whether the Holders of the requisite principal amount of Securities of a series
Outstanding have performed any action hereunder, Securities owned by the Company or any other
obligor upon the Securities of such series or any Affiliate of the Company or of such other obligor
shall be disregarded and deemed not to be Outstanding, except that, in determining whether the
Trustee shall be protected in relying upon any such action, only Securities of such series that a
Responsible Officer of the Trustee actually knows to be so owned shall be so disregarded.
Securities so owned that have been pledged in good faith may be regarded as Outstanding if the
pledgee establishes to the satisfaction of the Trustee the pledgee’s right to act with respect to
such Securities and that the pledgee is not the Company or any other obligor upon such Securities
or any Affiliate of the Company or of such other obligor. In determining whether the Holders of the
requisite principal amount of Outstanding Securities of a series have performed any action
hereunder, the principal amount of an Original Issue Discount Security that shall be deemed to be
Outstanding for such purpose shall be the amount of the principal thereof that would be due and
payable as of the date of such determination upon a declaration of acceleration of the Maturity
thereof pursuant to Section 7.02 and the principal amount of a Security denominated in a Foreign
Currency that shall be deemed to be Outstanding for such purpose shall be the amount calculated
pursuant to Section 3.11(b).

     Paying Agent:

     The term “Paying Agent” shall have the meaning assigned to it in Section 6.02(a).

     Person:

     The term “Person” shall mean an individual, a corporation, a limited liability company, a
partnership, an association, a joint stock company, a trust, an unincorporated organization or a
government or an agency or political subdivision thereof.

5

 

     Place of Payment:

     The term “Place of Payment” shall mean, when used with respect to the Securities of any
series, the place or places where the principal of and premium, if any, and interest on the
Securities of that series are payable as specified pursuant to Section 3.01.

     Predecessor Security:

     The term “Predecessor Security” shall mean, with respect to any Security, every previous
Security evidencing all or a portion of the same debt as that evidenced by such particular
Security, and, for the purposes of this definition, any Security authenticated and delivered under
Section 3.07 in lieu of a lost, destroyed or stolen Security shall be deemed to evidence the same
debt as the lost, destroyed or stolen Security.

     Record Date:

     The term “Record Date” shall mean, with respect to any interest payable on any Security on any
Interest Payment Date, the close of business on any date specified in such Security for the payment
of interest pursuant to Section 3.01.

     Redemption Date:

     The term “Redemption Date” shall mean, when used with respect to any Security to be redeemed,
in whole or in part, the date fixed for such redemption by or pursuant to this Indenture and the
terms of such Security, which, in the case of a Floating Rate Security, unless otherwise specified
pursuant to Section 3.01, shall be an Interest Payment Date only.

     Redemption Price:

     The term “Redemption Price,” when used with respect to any Security to be redeemed, in whole
or in part, shall mean the price at which it is to be redeemed pursuant to the terms of the
Security and this Indenture.

     Register:

     The term “Register” shall have the meaning assigned to it in Section 3.05(a).

     Registrar:

     The term “Registrar” shall have the meaning assigned to it in Section 3.05(a).

     Responsible Officers:

     The term “Responsible Officers” of the Trustee hereunder shall mean any vice president, any
assistant vice president, any trust officer, any assistant trust officer or any other officer
associated with the corporate trust department of the Trustee customarily performing functions
similar to those performed by any of the above designated officers, and also means, with respect to
a particular corporate trust matter, any other officer of the Trustee to whom such matter is
referred because of such person’s knowledge of and familiarity with the particular subject and who
shall have direct responsibility for the administration of this Indenture.

     SEC:

     The term “SEC” shall mean the U.S. Securities and Exchange Commission, as constituted from
time to time.

     Securities Act:

     The term “Securities Act” shall mean the Securities Act of 1933, as amended.

     Security:

     The term “Security” or “Securities” shall have the meaning stated in the recitals and shall
more particularly mean one or more of the Securities duly authenticated by the Trustee and
delivered pursuant to the provisions of this Indenture.

6

 

     Security Custodian:

     The term “Security Custodian” shall mean the custodian with respect to any Global Security
appointed by the Depositary, or any successor Person thereto, and shall initially be the Paying
Agent.

     Securityholder; Holder of Securities; Holder:

     The term “Securityholder” or “Holder of Securities” or “Holder,” shall mean the Person in
whose name Securities shall be registered in the Register kept for that purpose hereunder.

     Senior Indebtedness:

     The term “Senior Indebtedness” means the principal of (and premium, if any) and unpaid
interest on (x) Indebtedness of the Company, whether outstanding on the date hereof or thereafter
created, incurred, assumed or guaranteed, for money borrowed other than (a) any Indebtedness of the
Company which when incurred, and without respect to any election under Section 1111(b) of the
Federal Bankruptcy Code, was without recourse to the Company, (b) any Indebtedness of the Company
to any of its Subsidiaries, (c) Indebtedness to any employee of the Company, (d) any liability for
taxes, (e) Trade Payables and (f) any Indebtedness of the Company which is expressly subordinate in
right of payment to any other Indebtedness of the Company, and (y) renewals, extensions,
modifications and refundings of any such Indebtedness. For purposes of the foregoing and the
definition of “Senior Indebtedness,” the phrase “subordinated in right of payment” means debt
subordination only and not lien subordination, and accordingly, (i) unsecured indebtedness shall
not be deemed to be subordinated in right of payment to secured indebtedness merely by virtue of
the fact that it is unsecured, and (ii) junior liens, second liens and other contractual
arrangements that provide for priorities among Holders of the same or different issues of
indebtedness with respect to any collateral or the proceeds of collateral shall not constitute
subordination in right of payment. This definition may be modified or superseded by a supplemental
indenture.

     Special Record Date:

     The term “Special Record Date” shall have the meaning assigned to it in Section 3.08(b)(i).

     Stated Maturity:

     The term “Stated Maturity” when used with respect to any Security or any installment of
interest thereon, shall mean the date specified in such Security as the fixed date on which the
principal (or any portion thereof) of or premium, if any, on such Security or such installment of
interest is due and payable.

     Subsidiary:

     The term “Subsidiary,” when used with respect to any Person, shall mean:

     (a) any corporation, limited liability company, association or other business entity of which
more than 50% of the total voting power of shares of Capital Stock entitled (without regard to the
occurrence of any contingency and after giving effect to any voting agreement or stockholders’
agreement that effectively transfers voting power) to vote in the election of directors, managers
or trustees of the corporation, association or other business entity is at the time owned or
controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries of that
Person (or a combination thereof); and

     (b) any partnership (i) the sole general partner or the managing general partner of which is
such Person or a Subsidiary of such Person or (ii) the only general partners of which are that
Person or one or more Subsidiaries of that Person (or any combination thereof).

     Successor Company:

     The term “Successor Company” shall have the meaning assigned to it in Section 3.06(i).

     Trade Payables:

     The term “Trade Payables” means accounts payable or any other Indebtedness or monetary
obligations to trade creditors created or assumed by the Company or any Subsidiary of the Company
in the ordinary course of business (including guarantees thereof or instruments evidencing such
liabilities).

7

 

     Trust Indenture Act; TIA:

     The term “Trust Indenture Act” or “TIA” shall mean the Trust Indenture Act of 1939, as
amended.

     Trustee:

     The term “Trustee” shall mean the Person named as the “Trustee” in the first paragraph of this
Indenture until a successor Trustee shall have become such with respect to one or more series of
Securities pursuant to the applicable provisions of this Indenture, and thereafter “Trustee” shall
mean or include each Person who is then a Trustee hereunder, and if at any time there is more than
one such Person, “Trustee” as used with respect to the Securities of any series shall mean the
Trustee with respect to Securities of that series.

     U.S. Dollars:

     The term “U.S. Dollars” shall mean such currency of the United States as at the time of
payment shall be legal tender for the payment of public and private debts.

     U.S. Government Obligations:

     The term “U.S. Government Obligations” shall mean (i) direct non-callable obligations of, or
guaranteed by, the United States or (ii) obligations of a Person controlled or supervised by and
acting as an agency or instrumentality of the United States, in either case, for the payment of
which guarantee or obligation the full faith and credit of the United States is pledged.

     United States:

     The term “United States” shall mean the United States of America (including the States and the
District of Columbia), its territories and its possessions and other areas subject to its
jurisdiction.

ARTICLE II

FORMS OF SECURITIES

     Section 2.01 Terms of the Securities.

     (a) The Securities of each series shall be substantially in the form set forth in a Company
Order or in one or more indentures supplemental hereto, and shall have such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by this Indenture, and
may have such letters, numbers or other marks of identification or designation and such legends or
endorsements placed thereon as the Company may deem appropriate and as are not inconsistent with
the provisions of this Indenture, or as may be required to comply with any law or with any rule or
regulation made pursuant thereto or with any rule or regulation of any securities exchange on which
any series of the Securities may be listed or of any automated quotation system on which any such
series may be quoted, or to conform to usage, all as determined by the officers executing such
Securities as conclusively evidenced by their execution of such Securities.

     (b) The terms and provisions of the Securities shall constitute, and are hereby expressly
made, a part of this Indenture, and, to the extent applicable, the Company and the Trustee, by
their execution and delivery of this Indenture expressly agree to such terms and provisions and to
be bound thereby.

     Section 2.02 Form of Trustee’s Certificate of Authentication.

     (a) Only such of the Securities as shall bear thereon a certificate substantially in the form
of the Trustee’s certificate of authentication hereinafter recited, executed by the Trustee by
manual signature, shall be valid or become obligatory for any purpose or entitle the Holder thereof
to any right or benefit under this Indenture.

     (b) Each Security shall be dated the date of its authentication, except that any Global
Security shall be dated as of the date specified as contemplated in Section 3.01.

8

 

     (c) The form of the Trustee’s certificate of authentication to be borne by the Securities
shall be substantially as follows:

     TRUSTEE’S CERTIFICATE OF AUTHENTICATION

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

	 	 	 	 	 	 	 
	      Date of authentication:                     	 	[     ]., as Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Authorized Signatory	 	 

     Section 2.03 Form of Trustee’s Certificate of Authentication by an Authenticating
Agent. If at any time there shall be an Authenticating Agent appointed with respect to any
series of Securities, then the Trustee’s Certificate of Authentication by such Authenticating Agent
to be borne by Securities of each such series shall be substantially as follows:

     TRUSTEE’S CERTIFICATE OF AUTHENTICATION

     This is one of the Securities issued referred to in the within-mentioned Indenture.

	 	 	 	 	 	 	 
	      Date of authentication:                     	 	[     ], as Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	as Authenticating Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Authorized Signatory	 	 

ARTICLE III

THE DEBT SECURITIES

     Section 3.01 Amount Unlimited; Issuable in Series. The aggregate principal amount of
Securities that may be authenticated and delivered under this Indenture is unlimited. The
Securities may be issued in one or more series. There shall be set forth in a Company Order or in
one or more indentures supplemental hereto, prior to the issuance of Securities of any series:

     (a) the title of the Securities of the series (which shall distinguish the Securities of such
series from the Securities of all other series, except to the extent that additional Securities of
an existing series are being issued);

     (b) any limit upon the aggregate principal amount of the Securities of the series that may be
authenticated and delivered under this Indenture (except for Securities authenticated and delivered
upon transfer of, or in exchange for, or in lieu of, other Securities of such series pursuant to
Section 3.04, 3.06, 3.07, 4.06, or 14.05);

     (c) the dates on which or periods during which the Securities of the series may be issued, and
the dates on, or the range of dates within, which the principal of and premium, if any, on the
Securities of such series are or may be payable or the method by which such date or dates shall be
determined or extended;

     (d) the rate or rates at which the Securities of the series shall bear interest, if any, or
the method by which such rate or rates shall be determined, the date or dates from which such
interest shall accrue, or the method by which such date or dates shall be determined, the Interest
Payment Dates on which any such interest shall be payable, and the Record Dates for the
determination of Holders to whom interest is payable on such Interest Payment Dates or the method
by which such date or dates shall be determined, the right, if any, to extend or defer interest
payments and the duration of such extension or deferral;

9

 

     (e) if other than U.S. Dollars, the Currency in which Securities of the series shall be
denominated or in which payment of the principal of, premium, if any, or interest on the Securities
of the series shall be payable and any other terms concerning such payment;

     (f) if the amount of payment of principal of, premium, if any, or interest on the Securities
of the series may be determined with reference to an index, formula or other method including, but
not limited to, an index based on a Currency or Currencies other than that in which the Securities
are stated to be payable, the manner in which such amounts shall be determined;

     (g) if the principal of, premium, if any, or interest on Securities of the series are to be
payable, at the election of the Company or a Holder thereof, in a Currency other than that in which
the Securities are denominated or stated to be payable without such election, the period or periods
within which, and the terms and conditions upon which, such election may be made and the time and
the manner of determining the exchange rate between the Currency in which the Securities are
denominated or payable without such election and the Currency in which the Securities are to be
paid if such election is made;

     (h) the place or places, if any, in addition to or instead of the Corporate Trust Office of
the Trustee where the principal of, premium, if any, and interest on Securities of the series shall
be payable, and where Securities of any series may be presented for registration of transfer,
exchange or conversion, and the place or places where notices and demands to or upon the Company in
respect of the Securities of such series may be made;

     (i) the price or prices at which, the period or periods within which or the date or dates on
which, and the terms and conditions upon which Securities of the series may be redeemed, in whole
or in part, at the option of the Company, if the Company is to have that option;

     (j) the obligation or right, if any, of the Company to redeem, purchase or repay Securities of
the series pursuant to any sinking fund, amortization or analogous provisions or at the option of a
Holder thereof and the price or prices at which, the period or periods within which or the date or
dates on which, the Currency or Currencies in which and the terms and conditions upon which
Securities of the series shall be redeemed, purchased or repaid, in whole or in part, pursuant to
such obligation;

     (k) if other than denominations of $1,000 or any integral multiple thereof, the denominations
in which Securities of the series shall be issuable;

     (l) if other than the principal amount thereof, the portion of the principal amount of the
Securities of the series which shall be payable upon declaration of acceleration of the Maturity
thereof pursuant to Section 7.02;

     (m) whether the Securities of the series are to be issued as Original Issue Discount
Securities and the amount of discount with which such Securities may be issued;

     (n) provisions, if any, for the defeasance of Securities of the series in whole or in part and
any addition or change in the provisions related to satisfaction and discharge;

     (o) whether the Securities of the series are to be issued in whole or in part in the form of
one or more Global Securities and, in such case, the Depositary for such Global Security or
Securities and the terms and conditions, if any, upon which interests in such Global Security or
Securities may be exchanged in whole or in part for the individual Securities represented thereby;

     (p) the date as of which any Global Security of the series shall be dated if other than the
original issuance of the first Security of the series to be issued;

     (q) the form of the Securities of the series;

     (r) if the Securities of the series are to be convertible into or exchangeable for any
securities or property of any Person (including the Company), the terms and conditions upon which
such Securities will be so convertible or exchangeable, and any additions or changes, if any, to
permit or facilitate such conversion or exchange;

     (s) whether the Securities of such series are subject to subordination and the terms of such
subordination;

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     (t) any restriction or condition on the transferability of the Securities of such series;

     (u) any addition or change in the provisions related to compensation and reimbursement of the
Trustee which applies to Securities of such series;

     (v) any addition or change in the provisions related to supplemental indentures set forth in
Sections 14.04 and 14.02 which applies to Securities of such series;

     (w) provisions, if any, granting special rights to Holders upon the occurrence of specified
events;

     (x) any addition to or change in the Events of Default which applies to any Securities of the
series and any change in the right of the Trustee or the requisite Holders of such Securities to
declare the principal amount thereof due and payable pursuant to Section 7.02 and any addition or
change in the provisions set forth in Article VII which applies to Securities of the series;

     (y) any addition to or change in the covenants set forth in Article VI which applies to
Securities of the series;

     (z) the Guarantors, if any, of the Securities of the series, and the extent of the guarantees
(including provisions relating to seniority, subordination, and the release of the Guarantors), if
any, and any additions or changes to permit or facilitate guarantees of such Securities; and

     (aa) any other terms of the Securities of such series (which terms shall not be inconsistent
with the provisions of this Indenture, except as permitted by Section 14.01).

     All Securities of any one series shall be substantially identical, except as to denomination
and except as may otherwise be provided herein or set forth in a Company Order or in one or more
indentures supplemental hereto.

     Section 3.02 Denominations. In the absence of any specification pursuant to Section
3.01 with respect to Securities of any series, the Securities of such series shall be issuable only
as Securities in denominations of any integral multiple of $1,000, and shall be payable only in
U.S. Dollars.

     Section 3.03 Execution, Authentication, Delivery and Dating.

     (a) The Securities shall be executed in the name and on behalf of the Company by the manual or
facsimile signature of its Chairman of the Board of Directors, Chief Executive Officer, President,
Chief Operating Officer, Chief Financial Officer, one of its Vice Presidents or Treasurer. If the
Person whose signature is on a Security no longer holds that office at the time the Security is
authenticated and delivered, the Security shall nevertheless be valid.

     (b) At any time and from time to time after the execution and delivery of this Indenture, the
Company may deliver Securities of any series executed by the Company to the Trustee for
authentication, together with a Company Order for the authentication and delivery of such
Securities and, if required pursuant to Section 3.01, a supplemental indenture or Company Order
setting forth the terms of the Securities of a series. The Trustee shall thereupon authenticate and
deliver such Securities without any further action by the Company. The Company Order shall specify
the amount of Securities to be authenticated and the date on which the original issue of Securities
is to be authenticated.

     (c) In authenticating the first Securities of any series and accepting the additional
responsibilities under this Indenture in relation to such Securities the Trustee shall receive, and
(subject to Section 11.02) shall be fully protected in relying upon an Officer’s Certificate and an
Opinion of Counsel, each prepared in accordance with Section 17.01 stating that the conditions
precedent, if any, provided for in the Indenture have been complied with.

     (d) The Trustee shall have the right to decline to authenticate and deliver the Securities
under this Section 3.03 if the issue of the Securities pursuant to this Indenture will affect the
Trustee’s own rights, duties or immunities under the Securities and this Indenture or otherwise in
a manner which is not reasonably acceptable to the Trustee.

     (e) Each Security shall be dated the date of its authentication, except as otherwise provided
pursuant to Section 3.01 with respect to the Securities of such series.

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     (f) Notwithstanding the provisions of Section 3.01 and of this Section 3.03, if all of the
Securities of any series are not to be originally issued at the same time, then the documents
required to be delivered pursuant to this Section 3.03 must be delivered only once prior to the
authentication and delivery of the first Security of such series;

     (g) If the Company shall establish pursuant to Section 3.01 that the Securities of a series
are to be issued in whole or in part in the form of one or more Global Securities, then the Company
shall execute and the Trustee shall authenticate and deliver one or more Global Securities that (i)
shall represent an aggregate amount equal to the aggregate principal amount of the Outstanding
Securities of such series to be represented by such Global Securities, (ii) shall be registered, if
in registered form, in the name of the Depositary for such Global Security or Securities or the
nominee of such Depositary, (iii) shall be delivered by the Trustee to such Depositary or pursuant
to such Depositary’s instruction and (iv) shall bear a legend substantially to the following
effect:

     “Unless and until it is exchanged in whole or in part for the individual Securities
represented hereby, this Global Security may not be transferred except as a whole by the Depositary
to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another
nominee of the Depositary or by the Depositary or any such nominee to a successor Depositary or a
nominee of such successor Depositary.”

     The aggregate principal amount of each Global Security may from time to time be increased or
decreased by adjustments made on the records of the Security Custodian, as provided in this
Indenture.

     (h) Each Depositary designated pursuant to Section 3.01 for a Global Security in registered
form must, at the time of its designation and at all times while it serves as such Depositary, be a
clearing agency registered under the Exchange Act and any other applicable statute or regulation.

     (i) Members of, or participants in, the Depositary (“Members”) shall have no rights under this
Indenture with respect to any Global Security held on their behalf by the Depositary or by the
Security Custodian under such Global Security, and the Depositary may be treated by the Company,
the Guarantors, the Trustee, the Paying Agent and the Registrar and any of their agents as the
absolute owner of such Global Security for all purposes whatsoever. Notwithstanding the foregoing,
nothing herein shall prevent the Company, the Guarantors, the Trustee, the Paying Agent or the
Registrar or any of their agents from giving effect to any written certification, proxy or other
authorization furnished by the Depositary or impair, as between the Depositary and its Members, the
operation of customary practices of the Depositary governing the exercise of the rights of an owner
of a beneficial interest in any Global Security. The Holder of a Global Security may grant proxies
and otherwise authorize any Person, including Members and Persons that may hold interests through
Members, to take any action that a Holder is entitled to take under this Indenture or the
Securities.

     (j) No Security shall be entitled to any benefit under this Indenture or be valid or
obligatory for any purpose unless there appears on such Security a certificate of authentication
substantially in one of the forms provided for herein duly executed by the Trustee or by an
Authenticating Agent by manual or facsimile signature of an authorized signatory of the Trustee,
and such certificate upon any Security shall be conclusive evidence, and the only evidence, that
such Security has been duly authenticated and delivered hereunder and is entitled to the benefits
of this Indenture.

     Section 3.04 Temporary Securities.

     (a) Pending the preparation of definitive Securities of any series, the Company may execute,
and upon Company Order the Trustee shall authenticate and deliver, temporary Securities that are
printed, lithographed, typewritten, mimeographed or otherwise reproduced, in any authorized
denomination, substantially of the tenor of the definitive Securities in lieu of which they are
issued, in registered form and with such appropriate insertions, omissions, substitutions and other
variations as the officers executing such Securities may determine, as conclusively evidenced by
their execution of such Securities. Any such temporary Security may be in global form, representing
all or a portion of the Outstanding Securities of such series. Every such temporary Security shall
be executed by the Company and shall be authenticated and delivered by the Trustee upon the same
conditions and in substantially the same manner, and with the same effect, as the definitive
Security or Securities in lieu of which it is issued.

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     (b) If temporary Securities of any series are issued, the Company will cause definitive
Securities of such series to be prepared without unreasonable delay. After the preparation of
definitive Securities of such series, the temporary Securities of such series shall be exchangeable
for definitive Securities of such series upon surrender of such temporary Securities at the office
or agency of the Company in a Place of Payment for such series, without charge to the Holder. Upon
surrender for cancellation of any one or more temporary Securities of any series, the Company shall
execute and the Trustee shall authenticate and deliver in exchange therefor a like principal amount
of definitive Securities of the same series of authorized denominations and of like tenor. Until so
exchanged, the temporary Securities of any series shall in all respects be entitled to the same
benefits under this Indenture as definitive Securities of such series.

     (c) Upon any exchange of a portion of a temporary Global Security for a definitive Global
Security or for the individual Securities represented thereby pursuant to this Section 3.04 or
Section 3.06, the temporary Global Security shall be endorsed by the Trustee to reflect the
reduction of the principal amount evidenced thereby, whereupon the principal amount of such
temporary Global Security shall be reduced for all purposes by the amount so exchanged and
endorsed.

     Section 3.05 Registrar.

     (a) The Company will keep, at an office or agency to be maintained by it in a Place of Payment
where Securities may be presented for registration or presented and surrendered for registration of
transfer or of exchange, and where Securities of any series that are convertible or exchangeable
may be surrendered for conversion or exchange, as applicable (the “Registrar”), a security register
for the registration and the registration of transfer or of exchange of the Securities (the
registers maintained in such office and in any other office or agency of the Company in a Place of
Payment being herein sometimes collectively referred to as the “Register”), as in this Indenture
provided, which Register shall at all reasonable times be open for inspection by the Trustee. Such
Register shall be in written form or in any other form capable of being converted into written form
within a reasonable time. The Company may have one or more co-Registrars; the term “Registrar”
includes any co-registrar.

     (b) The Company shall enter into an appropriate agency agreement with any Registrar or
co-Registrar not a party to this Indenture. The agreement shall implement the provisions of this
Indenture that relate to such agent. The Company shall notify the Trustee of the name and address
of each such agent. If the Company fails to maintain a Registrar for any series, the Trustee shall
act as such and shall be entitled to appropriate compensation therefor pursuant to Section 11.01.
The Company or any Affiliate thereof may act as Registrar, co-Registrar or transfer agent.

     (c) The Company hereby appoints the Trustee at its Corporate Trust Office as Registrar in
connection with the Securities and this Indenture, until such time as another Person is appointed
as such.

     Section 3.06 Transfer and Exchange.

     (a) Transfer.

     (i) Upon surrender for registration of transfer of any Security of any series at the
Registrar the Company shall execute, and the Trustee or any Authenticating Agent shall
authenticate and deliver, in the name of the designated transferee, one or more new Securities
of the same series for like aggregate principal amount of any authorized denomination or
denominations. The transfer of any Security shall not be valid as against the Company or the
Trustee unless registered at the Registrar at the request of the Holder, or at the request of
his, her or its attorney duly authorized in writing.

     (ii) Notwithstanding any other provision of this Section, unless and until it is exchanged
in whole or in part for the individual Securities represented thereby, a Global Security
representing all or a portion of the Securities of a series may not be transferred except as a
whole by the Depositary for such series to a nominee of such Depositary or by a nominee of such
Depositary to such Depositary or another nominee of such Depositary or by such Depositary or
any such nominee to a successor Depositary for such series or a nominee of such successor
Depositary.

     (b) Exchange.

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     (i) At the option of the Holder, Securities of any series (other than a Global Security,
except as set forth below) may be exchanged for other Securities of the same series for like
aggregate principal amount of any authorized denomination or denominations, upon surrender of
the Securities to be exchanged at the Registrar.

     (ii) Whenever any Securities are so surrendered for exchange, the Company shall execute,
and the Trustee shall authenticate and deliver, the Securities that the Holder making the
exchange is entitled to receive.

     (c) Exchange of Global Securities for Individual Securities. Except as provided below, owners
of beneficial interests in Global Securities will not be entitled to receive individual Securities.

     (i) Individual Securities shall be issued to all owners of beneficial interests in a
Global Security in exchange for such interests if: (A) at any time the Depositary for the
Securities of a series notifies the Company that it is unwilling or unable to continue as
Depositary for the Securities of such series or if at any time the Depositary for the
Securities of such series shall no longer be eligible under Section 3.03(h) and, in each case,
a successor Depositary is not appointed by the Company within 90 days of such notice, or (B)
the Company executes and delivers to the Trustee and the Registrar an Officer’s Certificate
stating that such Global Security shall be so exchangeable.

     In connection with the exchange of an entire Global Security for individual Securities
pursuant to this subsection (c), such Global Security shall be deemed to be surrendered to the
Trustee for cancellation, and the Company shall execute, and the Trustee, upon receipt of a Company
Order for the authentication and delivery of individual Securities of such series, will
authenticate and deliver to each beneficial owner identified by the Depositary in exchange for its
beneficial interest in such Global Security, an equal aggregate principal amount of individual
Securities of authorized denominations.

     (ii) The owner of a beneficial interest in a Global Security will be entitled to receive
an individual Security in exchange for such interest if an Event of Default has occurred and is
continuing. Upon receipt by the Security Custodian and Registrar of instructions from the
Holder of a Global Security directing the Security Custodian and Registrar to (x) issue one or
more individual Securities in the amounts specified to the owner of a beneficial interest in
such Global Security and (y) debit or cause to be debited an equivalent amount of beneficial
interest in such Global Security, subject to the rules and regulations of the Depositary:

     (A) the Security Custodian and Registrar shall notify the Company and the Trustee of
such instructions, identifying the owner and amount of such beneficial interest in such
Global Security;

     (B) the Company shall promptly execute and the Trustee, upon receipt of a Company
Order for the authentication and delivery of individual Securities of such series, shall
authenticate and deliver to such beneficial owner individual Securities in an equivalent
amount to such beneficial interest in such Global Security; and

     (C) the Security Custodian and Registrar shall decrease such Global Security by such
amount in accordance with the foregoing. In the event that the individual Securities are
not issued to each such beneficial owner promptly after the Registrar has received a
request from the Holder of a Global Security to issue such individual Securities, the
Company expressly acknowledges, with respect to the right of any Holder to pursue a remedy
pursuant to Section 7.07 hereof, the right of any beneficial Holder of Securities to
pursue such remedy with respect to the portion of the Global Security that represents such
beneficial Holder’s Securities as if such individual Securities had been issued.

     (iii) If specified by the Company pursuant to Section 3.01 with respect to a series of
Securities, the Depositary for such series of Securities may surrender a Global Security for
such series of Securities in exchange in whole or in part for individual Securities of such
series on such terms as are acceptable to the Company and such Depositary. Thereupon, the
Company shall execute, and the Trustee shall authenticate and deliver, without service charge,

     (A) to each Person specified by such Depositary a new individual Security or
Securities of the same series, of any authorized denomination as requested by such Person
in aggregate principal amount equal to and in exchange for such Person’s beneficial
interest in the Global Security; and

14

 

     (B) to such Depositary a new Global Security in a denomination equal to the
difference, if any, between the principal amount of the surrendered Global Security and
the aggregate principal amount of individual Securities delivered to Holders thereof.

     (iv) In any exchange provided for in clauses (i) through (iii), the Company will execute
and the Trustee will authenticate and deliver individual Securities in registered form in
authorized denominations.

     (v) Upon the exchange in full of a Global Security for individual Securities, such Global
Security shall be canceled by the Trustee. Individual Securities issued in exchange for a
Global Security pursuant to this Section shall be registered in such names and in such
authorized denominations as the Depositary for such Global Security, pursuant to instructions
from its direct or indirect participants or otherwise, shall instruct the Trustee. The Trustee
shall deliver such Securities to the Persons in whose names such Securities are so registered.

     (d) All Securities issued upon any registration of transfer or exchange of Securities shall be
valid obligations of the Company evidencing the same debt, and entitled to the same benefits under
this Indenture, as the Securities surrendered for such registration of transfer or exchange.

     (e) Every Security presented or surrendered for registration of transfer, or for exchange or
payment shall (if so required by the Company, the Trustee or the Registrar) be duly endorsed, or be
accompanied by a written instrument or instruments of transfer in form satisfactory to the Company,
the Trustee and the Registrar, duly executed by the Holder thereof or by his, her or its attorney
duly authorized in writing.

     (f) No service charge will be made for any registration of transfer or exchange of Securities.
The Company may require payment of a sum sufficient to cover any tax, assessment or other
governmental charge that may be imposed in connection with any registration of transfer or exchange
of Securities, other than those expressly provided in this Indenture to be made at the Company’s
own expense or without expense or charge to the Holders.

     (g) The Company shall not be required to (i) register, transfer or exchange Securities of any
series during a period beginning at the opening of business 15 days before the day of the
transmission of a notice of redemption of Securities of such series selected for redemption under
Section 4.03 and ending at the close of business on the day of such transmission, or (ii) register,
transfer or exchange any Security so selected for redemption in whole or in part, except the
unredeemed portion of any Security being redeemed in part.

     (h) Prior to the due presentation for registration of transfer or exchange of any Security,
the Company, the Trustee, the Paying Agent, the Registrar, any co-Registrar or any of their agents
may deem and treat the Person in whose name a Security is registered as the absolute owner of such
Security (whether or not such Security shall be overdue and notwithstanding any notation of
ownership or other writing thereon) for all purposes whatsoever, and none of the Company, the
Trustee, the Paying Agent, the Registrar, any co-Registrar or any of their agents shall be affected
by any notice to the contrary.

     (i) In case a successor Company (“Successor Company”) has executed an indenture supplemental
hereto with the Trustee pursuant to Article XIV, any of the Securities authenticated or delivered
pursuant to such transaction may, from time to time, at the request of the Successor Company, be
exchanged for other Securities executed in the name of the Successor Company with such changes in
phraseology and form as may be appropriate, but otherwise identical to the Securities surrendered
for such exchange and of like principal amount; and the Trustee, upon Company Order of the
Successor Company, shall authenticate and deliver Securities as specified in such order for the
purpose of such exchange. If Securities shall at any time be authenticated and delivered in any new
name of a Successor Company pursuant to this Section 3.06 in exchange or substitution for or upon
registration of transfer of any Securities, such Successor Company, at the option of the Holders
but without expense to them, shall provide for the exchange of all Securities at the time
Outstanding for Securities authenticated and delivered in such new name.

     (j) Each Holder of a Security agrees to indemnify the Company and the Trustee against any
liability that may result from the transfer, exchange or assignment of such Holder’s Security in
violation of any provision of this Indenture and/or applicable United States federal or state
securities laws.

     (k) The Trustee shall have no obligation or duty to monitor, determine or inquire as to
compliance with any restrictions on transfer imposed under this Indenture or under applicable law
with respect to any transfer of any interest in any Security other than to require delivery of such
certificates and other documentation or evidence as are

15

 

expressly required by, and to do so if and when expressly required by the terms of, this
Indenture, and to examine the same to determine substantial compliance as to form with the express
requirements hereof.

     (l) Neither the Trustee nor any agent of the Trustee shall have any responsibility for any
actions taken or not taken by the Depositary.

     Section 3.07 Mutilated, Destroyed, Lost and Stolen Securities.

     (a) If (i) any mutilated Security is surrendered to the Trustee at its Corporate Trust Office
or (ii) the Company and the Trustee receive evidence to their satisfaction of the destruction, loss
or theft of any Security, and there is delivered to the Company and the Trustee security or
indemnity bond satisfactory to them to save each of them and any Paying Agent harmless, and neither
the Company nor the Trustee receives notice that such Security has been acquired by a protected
purchaser, then the Company shall execute and upon Company Order the Trustee shall authenticate and
deliver, in exchange for or in lieu of any such mutilated, destroyed, lost or stolen Security, a
new Security of the same series and of like tenor, form, terms and principal amount, bearing a
number not contemporaneously outstanding, that neither gain nor loss in interest shall result from
such exchange or substitution.

     (b) In case any such mutilated, destroyed, lost or stolen Security has become or is about to
become due and payable, the Company in its discretion may, instead of issuing a new Security, pay
the amount due on such Security in accordance with its terms.

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

     (d) Every new Security of any series issued pursuant to this Section shall constitute an
original additional contractual obligation of the Company, whether or not the destroyed, lost or
stolen Security shall be at any time enforceable by anyone, and shall be entitled to all the
benefits of this Indenture equally and proportionately with any and all other Securities of that
series duly issued hereunder.

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

     Section 3.08 Payment of Interest; Interest Rights Preserved.

     (a) Interest on any Security that is payable and is punctually paid or duly provided for on
any Interest Payment Date shall be paid to the Person in whose name such Security (or one or more
Predecessor Securities) is registered at the close of business on the Record Date for such interest
notwithstanding the cancellation of such Security upon any transfer or exchange subsequent to the
Record Date. Payment of interest on Securities shall be made at the Corporate Trust Office (except
as otherwise specified pursuant to Section 3.01) or, at the option of the Company, by check mailed
to the address of the Person entitled thereto as such address shall appear in the Register or, in
accordance with arrangements satisfactory to the Trustee, by wire transfer to an account designated
by the Holder.

     (b) Any interest on any Security that is payable but is not punctually paid or duly provided
for on any Interest Payment Date (herein called “Defaulted Interest”) shall forthwith cease to be
payable to the Holder on the relevant Record Date by virtue of his, her or its having been such a
Holder, and such Defaulted Interest may be paid by the Company, at its election in each case, as
provided in clause (i) or (ii) below:

     (i) The Company may elect to make payment of any Defaulted Interest to the Persons in
whose names such Securities (or their respective Predecessor Securities) are registered at the
close of business on a special record date for the payment of such Defaulted Interest (a
“Special Record Date”), which shall be fixed in the following manner. The Company shall notify
the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each such
Security and the date of the proposed payment, and at the same time the Company shall deposit
with the Trustee an amount of money equal to the aggregate amount proposed to be paid in
respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for
such deposit prior to the date of the proposed payment, such money when deposited to be held in
trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause
provided. Thereupon the Trustee
shall fix a Special Record Date for the payment of such Defaulted Interest which shall be
not more than 15

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calendar days and not less than 10 calendar days prior to the date of the
proposed payment and not less than 10 calendar days after the receipt by the Trustee of the
notice of the proposed payment. The Trustee shall promptly notify the Company of such Special
Record Date and, in the name and at the expense of the Company, shall cause notice of the
proposed payment of such Defaulted Interest and the Special Record Date therefor to be mailed,
first-class postage prepaid, to the Holders of such Securities at their addresses as they
appear in the Register, not less than 10 calendar days prior to such Special Record Date.
Notice of the proposed payment of such Defaulted Interest and the Special Record Date therefor
having been mailed as aforesaid, such Defaulted Interest shall be paid to the Persons in whose
names such Securities (or their respective Predecessor Securities) are registered at the close
of business on such Special Record Date and shall no longer be payable pursuant to the
following clause (ii).

     (ii) The Company may make payment of any Defaulted Interest on Securities in any other
lawful manner not inconsistent with the requirements of any securities exchange on which such
Securities may be listed, and upon such notice as may be required by such exchange, if, after
notice given by the Company to the Trustee of the proposed payment pursuant to this clause,
such manner of payment shall be deemed practicable by the Trustee.

     (c) Subject to the provisions set forth herein relating to Record Dates, each Security
delivered pursuant to any provision of this Indenture in exchange or substitution for, or upon
registration of transfer of, any other Security shall carry all the rights to interest accrued and
unpaid, and to accrue, which were carried by such other Security.

     Section 3.09 Cancellation. Unless otherwise specified pursuant to Section 3.01 for
Securities of any series, all Securities surrendered for payment, redemption, registration of
transfer or exchange or credit against any sinking fund or otherwise shall, if surrendered to any
Person other than the Trustee, be delivered to the Trustee for cancellation and shall be promptly
canceled by it and, if surrendered to the Trustee, shall be promptly canceled by it. The Company
may at any time deliver to the Trustee for cancellation any Securities previously authenticated and
delivered hereunder that the Company may have acquired in any manner whatsoever, and all Securities
so delivered shall be promptly canceled by the Trustee. No Securities shall be authenticated in
lieu of or in exchange for any Securities canceled as provided in this Section, except as expressly
permitted by this Indenture. The Trustee shall dispose of all canceled Securities held by it in
accordance with its then customary procedures and deliver a certificate of such disposal to the
Company upon its request therefor. The acquisition of any Securities by the Company shall not
operate as a redemption or satisfaction of the Indebtedness represented thereby unless and until
such Securities are surrendered to the Trustee for cancellation.

     Section 3.10 Computation of Interest. Except as otherwise specified pursuant to
Section 3.01 for Securities of any series, interest on the Securities of each series shall be
computed on the basis of a 360-day year of twelve 30-day months.

     Section 3.11 Currency of Payments in Respect of Securities.

     (a) Except as otherwise specified pursuant to Section 3.01 for Securities of any series,
payment of the principal of and premium, if any, and interest on Securities of such series will be
made in U.S. Dollars.

     (b) For purposes of any provision of the Indenture in which the Holders of Outstanding
Securities may perform an action that requires that a specified percentage of the Outstanding
Securities of all series perform such action and for purposes of any decision or determination by
the Trustee of amounts due and unpaid for the principal of and premium, if any, and interest on the
Securities of all series in respect of which moneys are to be disbursed ratably, the principal of
and premium, if any, and interest on the Outstanding Securities denominated in a Foreign Currency
will be the amount in U.S. Dollars based upon exchange rates, determined as specified pursuant to
Section 3.01 for Securities of such series, as of the date for determining whether the Holders
entitled to perform such action have performed it or as of the date of such decision or
determination by the Trustee, as the case may be.

     (c) Any decision or determination to be made regarding exchange rates shall be made by an
agent appointed by the Company; provided, that such agent shall accept such appointment in writing
and the terms of such appointment shall, in the opinion of the Company at the time of such
appointment, require such agent to make such determination by a method consistent with the method
provided pursuant to Section 3.01 for the making of such decision or determination. All decisions
and determinations of such agent regarding exchange rates shall, in the absence of

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manifest error, be conclusive for all purposes and irrevocably binding upon the Company, the
Trustee and all Holders of the Securities.

     Section 3.12 Judgments. The Company may provide pursuant to Section 3.01 for
Securities of any series that (a) the obligation, if any, of the Company to pay the principal of,
premium, if any, and interest on the Securities of any series in a Foreign Currency or U.S. Dollars
(the “Designated Currency”) as may be specified pursuant to Section 3.01 is of the essence and
agrees that, to the fullest extent possible under applicable law, judgments in respect of such
Securities shall be given in the Designated Currency; (b) the obligation of the Company to make
payments in the Designated Currency of the principal of and premium, if any, and interest on such
Securities shall, notwithstanding any payment in any other Currency (whether pursuant to a judgment
or otherwise), be discharged only to the extent of the amount in the Designated Currency that the
Holder receiving such payment may, in accordance with normal banking procedures, purchase with the
sum paid in such other Currency (after any premium and cost of exchange) on the business day in the
country of issue of the Designated Currency or in the international banking community (in the case
of a composite currency) immediately following the day on which such Holder receives such payment;
(c) if the amount in the Designated Currency that may be so purchased for any reason falls short of
the amount originally due, the Company shall pay such additional amounts as may be necessary to
compensate for such shortfall; and (d) any obligation of the Company not discharged by such payment
shall be due as a separate and independent obligation and, until discharged as provided herein,
shall continue in full force and effect.

     Section 3.13 CUSIP Numbers. The Company in issuing any Securities may use CUSIP, ISIN
or other similar numbers, if then generally in use, and thereafter with respect to such series, the
Trustee may use such numbers in any notice of redemption or exchange with respect to such series
provided that any such notice may state that no representation is made as to the correctness of
such numbers either as printed on the Securities or as contained in any notice of a redemption and
that reliance may be placed only on the other identification numbers printed on the Securities, and
any such redemption shall not be affected by any defect in or omission of such numbers. The Company
will promptly notify the Trustee in writing of any change in the CUSIP, ISIN or other similar
numbers.

ARTICLE IV

REDEMPTION OF SECURITIES

     Section 4.01 Applicability of Right of Redemption. Redemption of Securities (other
than pursuant to a sinking fund, amortization or analogous provision) permitted by the terms of any
series of Securities shall be made (except as otherwise specified pursuant to Section 3.01 for
Securities of any series) in accordance with this Article; provided, however, that if any such
terms of a series of Securities shall conflict with any provision of this Article, the terms of
such series shall govern.

     Section 4.02 Selection of Securities to be Redeemed.

     (a) If the Company shall at any time elect to redeem all or any portion of the Securities of a
series then Outstanding, it shall at least 30 days prior to the Redemption Date fixed by the
Company (unless a shorter period shall be satisfactory to the Trustee) notify the Trustee of such
Redemption Date and of the principal amount of Securities to be redeemed, and thereupon the Trustee
shall select, by lot or in such other manner as the Trustee shall deem appropriate and which may
provide for the selection for redemption of a portion of the principal amount of any Security of
such series; provided that the unredeemed portion of the principal amount of any Security shall be
in an authorized denomination (which shall not be less than the minimum authorized denomination)
for such Security. In any case where more than one Security of such series is registered in the
same name, the Trustee may treat the aggregate principal amount so registered as if it were
represented by one Security of such series. The Trustee shall, as soon as practicable, notify the
Company in writing of the Securities and portions of Securities so selected.

     (b) For all purposes of this Indenture, unless the context otherwise requires, all provisions
relating to the redemption of Securities shall relate, in the case of any Security redeemed or to
be redeemed only in part, to the portion of the principal amount of such Security that has been or
is to be redeemed. If the Company shall so direct, Securities registered in the name of the
Company, any Affiliate or any Subsidiary thereof shall not be included in the Securities selected
for redemption.

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     Section 4.03 Notice of Redemption.

     (a) Notice of redemption shall be given by the Company or, at the Company’s request, by the
Trustee in the name and at the expense of the Company; provided, however, that the Company makes
such request at least 3 days prior to the date by which such notice of redemption must be given to
Holders in accordance with this Section 4.03; provided further that, the text of such notice shall
be prepared by the Company, not less than 60 days before the Redemption Date unless the Trustee
consents to a shorter period, to the Holders of Securities of any series to be redeemed in whole or
in part pursuant to this Article, in the manner provided in Section 17.04. Any notice so given
shall be conclusively presumed to have been duly given, whether or not the Holder receives such
notice. Failure to give such notice, or any defect in such notice to the Holder of any Security of
a series designated for redemption, in whole or in part, shall not affect the sufficiency of any
notice of redemption with respect to the Holder of any other Security of such series.

     (b) All notices of redemption shall identify the Securities to be redeemed (including CUSIP,
ISIN or other similar numbers, if available) and shall state:

     (i) such election by the Company to redeem Securities of such series pursuant to
provisions contained in this Indenture or the terms of the Securities of such series or a
supplemental indenture establishing such series, if such be the case;

     (ii) the Redemption Date;

     (iii) the Redemption Price;

     (iv) if less than all Outstanding Securities of any series are to be redeemed, the
identification (and, in the case of partial redemption, the principal amounts) of the
Securities of such series to be redeemed;

     (v) that on the Redemption Date the Redemption Price will become due and payable upon each
such Security to be redeemed, and that, if applicable, interest thereon shall cease to accrue
on and after said date;

     (vi) the Place or Places of Payment where such Securities are to be surrendered for
payment of the Redemption Price;

     (vii) that the redemption is for a sinking fund, if such is the case; and

     (viii) that the Securities must be surrendered to the Paying Agent for payment of the
Redemption Price.

     Section 4.04 Deposit of Redemption Price. On or prior to 11:00 a.m., New York City
time, on the Redemption Date for any Securities, the Company shall deposit with the Trustee or with
a Paying Agent (or, if the Company is acting as its own Paying Agent, segregate and hold in trust
as provided in Section 6.03) an amount of money in the Currency in which such Securities are
denominated (except as provided pursuant to Section 3.01) sufficient to pay the Redemption Price of
such Securities or any portions thereof that are to be redeemed on that date.

     Section 4.05 Securities Payable on Redemption Date. Notice of redemption having been
given as aforesaid, any Securities so to be redeemed shall, on the Redemption Date, become due and
payable at the Redemption Price and from and after such date (unless the Company shall Default in
the payment of the Redemption Price) such Securities shall cease to bear interest. Upon surrender
of any such Security for redemption in accordance with said notice, such Security shall be paid by
the Company at the Redemption Price; provided, however, that (unless otherwise provided pursuant to
Section 3.01) installments of interest that have a Stated Maturity on or prior to the Redemption
Date for such Securities shall be payable according to the terms of such Securities and the
provisions of Section 3.08.

     If any Security called for redemption shall not be so paid upon surrender thereof for
redemption, the principal thereof and premium, if any, thereon shall, until paid, bear interest
from the Redemption Date at the rate prescribed therefor in the Security.

     Section 4.06 Securities Redeemed in Part. Any Security that is to be redeemed only in
part shall be surrendered at the Corporate Trust Office or such other office or agency of the
Company as is specified pursuant to Section 3.01 with, if the Company, the Registrar or the Trustee
so requires, due endorsement by, or a written instrument of transfer in form satisfactory to the
Company, the Registrar and the Trustee duly executed by the Holder thereof or his, her or its
attorney duly authorized in writing, and the Company shall execute, and the Trustee

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shall authenticate and deliver to the Holder of such Security without service charge, a new
Security or Securities of the same series, of like tenor and form, of any authorized denomination
as requested by such Holder in aggregate principal amount equal to and in exchange for the
unredeemed portion of the principal of the Security so surrendered; except that if a Global
Security is so surrendered, the Company shall execute, and the Trustee shall authenticate and
deliver to the Depositary for such Global Security, without service charge, a new Global Security
in a denomination equal to and in exchange for the unredeemed portion of the principal of the
Global Security so surrendered. In the case of a Security providing appropriate space for such
notation, at the option of the Holder thereof, the Trustee, in lieu of delivering a new Security or
Securities as aforesaid, may make a notation on such Security of the payment of the redeemed
portion thereof.

ARTICLE V

SINKING FUNDS

     Section 5.01 Applicability of Sinking Fund.

     (a) Redemption of Securities permitted or required pursuant to a sinking fund for the
retirement of Securities of a series by the terms of such series of Securities shall be made in
accordance with such terms of such series of Securities and this Article, except as otherwise
specified pursuant to Section 3.01 for Securities of such series, provided, however, that if any
such terms of a series of Securities shall conflict with any provision of this Article, the terms
of such series shall govern.

     (b) The minimum amount of any sinking fund payment provided for by the terms of Securities of
any series is herein referred to as a “Mandatory Sinking Fund Payment,” and any payment in excess
of such minimum amount provided for by the terms of Securities of any series is herein referred to
as an “Optional Sinking Fund Payment.” If provided for by the terms of Securities of any series,
the cash amount of any Mandatory Sinking Fund Payment may be subject to reduction as provided in
Section 5.02.

     Section 5.02 Mandatory Sinking Fund Obligation. The Company may, at its option,
satisfy any Mandatory Sinking Fund Payment obligation, in whole or in part, with respect to a
particular series of Securities by (a) delivering to the Trustee Securities of such series in
transferable form theretofore purchased or otherwise acquired by the Company or redeemed at the
election of the Company pursuant to Section 4.03 or (b) receiving credit for Securities of such
series (not previously so credited) acquired by the Company and theretofore delivered to the
Trustee. The Trustee shall credit such Mandatory Sinking Fund Payment obligation with an amount
equal to the Redemption Price specified in such Securities for redemption through operation of the
sinking fund and the amount of such Mandatory Sinking Fund Payment shall be reduced accordingly. If
the Company shall elect to so satisfy any Mandatory Sinking Fund Payment obligation, it shall
deliver to the Trustee not less than 45 days prior to the relevant sinking fund payment date a
written notice signed on behalf of the Company by its Chairman of the Board of Directors, Chief
Executive Officer, President, Chief Operating Officer, Chief Financial Officer, one of its Vice
Presidents, its Treasurer or one of its Assistant Treasurers, which shall designate the Securities
(and portions thereof, if any) so delivered or credited and which shall be accompanied by such
Securities (to the extent not theretofore delivered) in transferable form. In case of the failure
of the Company, at or before the time so required, to give such notice and deliver such Securities
the Mandatory Sinking Fund Payment obligation shall be paid entirely in moneys.

     Section 5.03 Optional Redemption at Sinking Fund Redemption Price. In addition to the
sinking fund requirements of Section 5.02, to the extent, if any, provided for by the terms of a
particular series of Securities, the Company may, at its option, make an Optional Sinking Fund
Payment with respect to such Securities. Unless otherwise provided by such terms, (a) to the extent
that the right of the Company to make such Optional Sinking Fund Payment shall not be exercised in
any year, it shall not be cumulative or carried forward to any subsequent year, and (b) such
optional payment shall operate to reduce the amount of any Mandatory Sinking Fund Payment
obligation as to Securities of the same series. If the Company intends to exercise its right to
make such optional payment in any year it shall deliver to the Trustee not less than 45 days prior
to the relevant sinking fund payment date a certificate signed by its Chairman of the Board of
Directors, Chief Executive Officer, President, Chief Operating Officer, Chief Financial Officer,
one of its Vice Presidents, Treasurer or one of its Assistant Treasurers stating that the Company
will exercise such optional right, and specifying the amount which the Company will pay

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on or before the next succeeding sinking fund payment date. Such certificate shall also state
that no Event of Default has occurred and is continuing.

     Section 5.04 Application of Sinking Fund Payment.

     (a) If the sinking fund payment or payments made in funds pursuant to either Section 5.02 or
5.03 with respect to a particular series of Securities plus any unused balance of any preceding
sinking fund payments made in funds with respect to such series shall exceed $50,000 (or a lesser
sum if the Company shall so request, or such equivalent sum for Securities denominated other than
in U.S. Dollars), it shall be applied by the Trustee on the sinking fund payment date next
following the date of such payment, unless the date of such payment shall be a sinking fund payment
date, in which case such payment shall be applied on such sinking fund payment date, to the
redemption of Securities of such series at the redemption price specified pursuant to
Section 4.03(b). The Trustee shall select, in the manner provided in Section 4.02, for redemption
on such sinking fund payment date, a sufficient principal amount of Securities of such series to
absorb said funds, as nearly as may be, and shall, at the expense and in the name of the Company,
thereupon cause notice of redemption of the Securities to be given in substantially the manner
provided in Section 4.03(a) for the redemption of Securities in part at the option of the Company,
except that the notice of redemption shall also state that the Securities are being redeemed for
the sinking fund. Any sinking fund moneys not so applied by the Trustee to the redemption of
Securities of such series shall be added to the next sinking fund payment received in funds by the
Trustee and, together with such payment, shall be applied in accordance with the provisions of this
Section 5.04. Any and all sinking fund moneys held by the Trustee on the last sinking fund payment
date with respect to Securities of such series, and not held for the payment or redemption of
particular Securities of such series, shall be applied by the Trustee to the payment of the
principal of the Securities of such series at Maturity.

     (b) On or prior to each sinking fund payment date, the Company shall pay to the Trustee a sum
equal to all interest accrued to but not including the date fixed for redemption on Securities to
be redeemed on such sinking fund payment date pursuant to this Section 5.04.

     (c) The Trustee shall not redeem any Securities of a series with sinking fund moneys or mail
any notice of redemption of Securities of such series by operation of the sinking fund during the
continuance of a Default in payment of interest on any Securities of such series or of any Event of
Default (other than an Event of Default occurring as a consequence of this paragraph) of which the
Trustee has actual knowledge, except that if the notice of redemption of any Securities of such
series shall theretofore have been mailed in accordance with the provisions hereof, the Trustee
shall redeem such Securities if funds sufficient for that purpose shall be deposited with the
Trustee in accordance with the terms of this Article. Except as aforesaid, any moneys in the
sinking fund at the time any such Default or Event of Default shall occur and any moneys thereafter
paid into the sinking fund shall, during the continuance of such Default or Event of Default, be
held as security for the payment of all the Securities of such series; provided, however, that in
case such Default or Event of Default shall have been cured or waived as provided herein, such
moneys shall thereafter be applied on the next sinking fund payment date on which such moneys are
required to be applied pursuant to the provisions of this Section 5.04.

ARTICLE VI

PARTICULAR COVENANTS OF THE COMPANY

     The Company hereby covenants and agrees as follows:

     Section 6.01 Payments of Securities. The Company will duly and punctually pay the
principal of and premium, if any, on each series of Securities, and the interest which shall have
accrued thereon, at the dates and place and in the manner provided in the Securities and in this
Indenture.

     Section 6.02 Paying Agent.

     (a) The Company will maintain in each Place of Payment for any series of Securities, if any,
an office or agency where Securities may be presented or surrendered for payment, where Securities
of such series may be surrendered for registration of transfer or exchange and where notices and
demands to or upon the Company in respect of the Securities and this Indenture may be served (the
“Paying Agent”). The Company will give prompt

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written notice to the Trustee of the location, and any change in the location, of such office
or agency. If at any time the Company shall fail to maintain any such required office or agency or
shall fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices
and demands may be made or served at the Corporate Trust Office of the Trustee, and the Company
hereby appoints the Trustee as Paying Agent to receive all presentations, surrenders, notices and
demands.

     (b) The Company may also from time to time designate different or additional offices or
agencies where the Securities of any series may be presented or surrendered for any or all such
purposes (in or outside of such Place of Payment), and may from time to time rescind any such
designations; provided, however, that no such designation or rescission shall in any manner relieve
the Company of its obligations described in the preceding paragraph. The Company will give prompt
written notice to the Trustee of any such additional designation or rescission of designation and
of any change in the location of any such different or additional office or agency. The Company
shall enter into an appropriate agency agreement with any Paying Agent not a party to this
Indenture. The agreement shall implement the provisions of this Indenture that relate to such
agent. The Company shall notify the Trustee of the name and address of each such agent. The Company
or any Affiliate thereof may act as Paying Agent.

     Section 6.03 To Hold Payment in Trust.

     (a) If the Company or an Affiliate thereof shall at any time act as Paying Agent with respect
to any series of Securities, then, on or before the date on which the principal of and premium, if
any, or interest on any of the Securities of that series by their terms or as a result of the
calling thereof for redemption shall become payable, the Company or such Affiliate will segregate
and hold in trust for the benefit of the Holders of such Securities or the Trustee a sum sufficient
to pay such principal and premium, if any, or interest which shall have so become payable until
such sums shall be paid to such Holders or otherwise disposed of as herein provided, and will
notify the Trustee of its action or failure to act in that regard. Upon any proceeding under any
federal bankruptcy laws with respect to the Company or any Affiliate thereof, if the Company or
such Affiliate is then acting as Paying Agent, the Trustee shall replace the Company or such
Affiliate as Paying Agent.

     (b) If the Company shall appoint, and at the time have, a Paying Agent for the payment of the
principal of and premium, if any, or interest on any series of Securities, then prior to 11:00
a.m., New York City time, on the date on which the principal of and premium, if any, or interest on
any of the Securities of that series shall become payable as aforesaid, whether by their terms or
as a result of the calling thereof for redemption, the Company will deposit with such Paying Agent
a sum sufficient to pay such principal and premium, if any, or interest, such sum to be held in
trust for the benefit of the Holders of such Securities or the Trustee, and (unless such Paying
Agent is the Trustee), the Company or any other obligor of such Securities will promptly notify the
Trustee of its payment or failure to make such payment.

     (c) If the Paying Agent shall be other than the Trustee, the Company will cause such Paying
Agent to execute and deliver to the Trustee an instrument in which such Paying Agent shall agree
with the Trustee, subject to the provisions of this Section 6.03, that such Paying Agent shall:

     (i) hold all moneys held by it for the payment of the principal of and premium, if any, or
interest on the Securities of that series in trust for the benefit of the Holders of such
Securities until such sums shall be paid to such Holders or otherwise disposed of as herein
provided;

     (ii) give to the Trustee notice of any Default by the Company or any other obligor upon
the Securities of that series in the making of any payment of the principal of and premium, if
any, or interest on the Securities of that series; and

     (iii) at any time during the continuance of any such Default, upon the written request of
the Trustee, pay to the Trustee all sums so held in trust by such Paying Agent.

     (d) Anything in this Section 6.03 to the contrary notwithstanding, the Company may at any
time, for the purpose of obtaining a release, satisfaction or discharge of this Indenture or for
any other reason, pay or cause to be paid to the Trustee all sums held in trust by the Company or
by any Paying Agent other than the Trustee as required by this Section 6.03, such sums to be held
by the Trustee upon the same trusts as those upon which such sums were held by the Company or such
Paying Agent.

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     (e) Subject to any applicable abandoned property law, any money deposited with the Trustee or
any Paying Agent, or then held by the Company, in trust for the payment of the principal of and
premium, if any, or interest on any Security of any series and remaining unclaimed for two years
after such principal and premium, if any, or interest has become due and payable shall be paid to
the Company upon Company Order or (if then held by the Company) shall be discharged from such
trust, and the Holder of such Security shall thereafter, as an unsecured general creditor, look
only to the Company for payment of such amounts without interest thereon, and all liability of the
Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as
trustee thereof, shall thereupon cease; provided, however, that the Trustee or such Paying Agent
before being required to make any such repayment, may at the expense of the Company cause to be
published once, in a newspaper published in the English language, customarily published on each
Business Day and of general circulation in The City of New York, notice that such money remains
unclaimed and that, after a date specified therein, which shall not be less than 30 days from the
date of such publication, any unclaimed balance of such money then remaining will be repaid to the
Company.

     Section 6.04 Merger, Consolidation and Sale of Assets. Except as otherwise provided as
contemplated by Section 3.01 with respect to any series of Securities:

     (a) The Company will not consolidate with any other entity or accept a merger of any other
entity into the Company or permit the Company to be merged into any other entity, or sell other
than for cash or lease all or substantially all its assets to another entity, or purchase all or
substantially all the assets of another entity, unless (i) either the Company shall be the
continuing entity, or the successor, transferee or lessee entity (if other than the Company) shall
expressly assume, by indenture supplemental hereto, executed and delivered by such entity prior to
or simultaneously with such consolidation, merger, sale or lease, the due and punctual payment of
the principal of and interest and premium, if any, on all the Securities, according to their tenor,
and the due and punctual performance and observance of all other obligations to the Holders and the
Trustee under this Indenture or under the Securities to be performed or observed by the Company;
and (ii) immediately after such consolidation, merger, sale, lease or purchase the Company or the
successor, transferee or lessee entity (if other than the Company) would not be in Default in the
performance of any covenant or condition of this Indenture. A purchase by a Subsidiary of all or
substantially all of the assets of another entity shall not be deemed to be a purchase of such
assets by the Company.

     (b) Upon any consolidation with or merger into any other entity, or any sale other than for
cash, or any conveyance or lease of all or substantially all of the assets of the Company in
accordance with this Section 6.04, the successor entity formed by such consolidation or into or
with which the Company is merged or to which the Company is sold or to which such conveyance,
transfer or lease is made shall succeed to, and be substituted for, and may exercise every right
and power of, the Company under this Indenture with the same effect as if such successor entity had
been named as the Company herein, and thereafter, except in the case of a lease, the predecessor
Company shall be relieved of all obligations and covenants under this Indenture and the Securities,
and from time to time such entity may exercise each and every right and power of the Company under
this Indenture, in the name of the Company, or in its own name; and any act or proceeding by any
provision of this Indenture required or permitted to be done by the Board of Directors or any
officer of the Company may be done with like force and effect by the like board or officer of any
entity that shall at the time be the successor of the Company hereunder. In the event of any such
sale or conveyance, but not any such lease, the Company (or any successor entity which shall
theretofore have become such in the manner described in this Section 6.04) shall be discharged from
all obligations and covenants under this Indenture and the Securities and may thereupon be
dissolved and liquidated.

     Section 6.05 Compliance Certificate. Except as otherwise provided as contemplated by
Section 3.01 with respect to any series of Securities, the Company and each Guarantor (to the
extent that such guarantor is so required under the Trust Indenture Act) shall furnish to the
Trustee annually, within 120 days after the end of each fiscal year, a brief certificate from the
chief executive officer, president, chief operating officer, principal financial officer, principal
accounting officer, any vice president or treasurer as to his or her knowledge of the Company’s
compliance with all conditions and covenants under this Indenture (which compliance shall be
determined without regard to any period of grace or requirement of notice provided under this
Indenture) and, in the event of any Default, specifying each such Default and the nature and status
thereof of which such person may have knowledge. Such certificates need not comply with
Section 17.01 of this Indenture.

     Section 6.06 Conditional Waiver by Holders of Securities. Anything in this Indenture
to the contrary notwithstanding, the Company may fail or omit in any particular instance to comply
with a covenant or condition set

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forth herein with respect to any series of Securities if the Company shall have obtained and
filed with the Trustee, prior to the time of such failure or omission, evidence (as provided in
Article VIII) of the consent of the Holders of a majority in aggregate principal amount of the
Securities of such series at the time Outstanding, either waiving such compliance in such instance
or generally waiving compliance with such covenant or condition, but no such waiver shall extend to
or affect such covenant or condition except to the extent so expressly waived, or impair any right
consequent thereon and, until such waiver shall have become effective, the obligations of the
Company and the duties of the Trustee in respect of any such covenant or condition shall remain in
full force and effect.

     Section 6.07 Statement by Officers as to Default. The Company shall deliver to the
Trustee as soon as possible and in any event within 30 days after the Company becomes aware of the
occurrence of any Event of Default or an event which, with the giving of notice or the lapse of
time or both, would constitute an Event of Default, an Officer’s Certificate setting forth the
details of such Event of Default or Default and the action which the Company proposes to take with
respect thereto.

ARTICLE VII

REMEDIES OF TRUSTEE AND SECURITYHOLDERS

     Section 7.01 Events of Default. Except where otherwise indicated by the context or
where the term is otherwise defined for a specific purpose, the term “Event of Default” as used in
this Indenture with respect to Securities of any series shall mean one of the following described
events unless it is either inapplicable to a particular series or it is specifically deleted or
modified in the manner contemplated in Section 3.01:

     (a) the failure of the Company to pay any installment of interest on any Security of such
series when and as the same shall become payable, which failure shall have continued unremedied for
a period of 30 days;

     (b) the failure of the Company to pay the principal of (and premium, if any, on) any Security
of such series, when and as the same shall become payable, whether at Maturity as therein
expressed, by call for redemption (otherwise than pursuant to a sinking fund), by declaration as
authorized by this Indenture or otherwise;

     (c) the failure of the Company to pay a sinking fund installment, if any, when and as the same
shall become payable by the terms of a Security of such series, which failure shall have continued
unremedied for a period of 30 days;

     (d) the failure of the Company, subject to the provisions of Section 6.06, to perform any
covenants or agreements contained in this Indenture (including any indenture supplemental hereto
pursuant to which the Securities of such series were issued as contemplated by Section 3.01) (other
than a covenant or agreement which has been expressly included in this Indenture solely for the
benefit of a series of Securities other than that series and other than a covenant or agreement a
default in the performance of which is elsewhere in this Section 7.01 specifically addressed),
which failure shall not have been remedied, or without provision deemed to be adequate for the
remedying thereof having been made, for a period of 90 days after written notice shall have been
given to the Company by the Trustee or shall have been given to the Company and the Trustee by
Holders of 25% or more in aggregate principal amount of the Securities of such series then
Outstanding, specifying such failure, requiring the Company to remedy the same and stating that
such notice is a “Notice of Default” hereunder;

     (e) the entry by a court having jurisdiction in the premises of a decree or order for relief
in respect of the Company in an involuntary case under the federal bankruptcy laws, as now or
hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or other
similar law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian,
trustee or sequestrator (or similar official) of the Company or of substantially all the property
of the Company or ordering the winding-up or liquidation of its affairs and such decree or order
shall remain unstayed and in effect for a period of 90 consecutive days;

     (f) the commencement by the Company of a voluntary case under the federal bankruptcy laws, as
now or hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or
other similar law now or hereafter in effect, or the consent by the Company to the entry of an
order for relief in an involuntary case under any such law, or the consent by the Company to the
appointment of or taking possession by a receiver, liquidator, assignee, trustee, custodian or
sequestrator (or similar official) of the Company or of substantially all the property of

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the Company or the making by it of an assignment for the benefit of creditors or the admission
by it in writing of its inability to pay its debts generally as they become due, or the taking of
corporate action by the Company in furtherance of any action; or

     (g) the occurrence of any other Event of Default with respect to Securities of such series as
provided in Section 3.01; provided, however, that no event described in clause (d) or (other than
with respect to a payment default) (f) above shall constitute an Event of Default hereunder until a
Responsible Officer assigned to and working in the Trustee’s corporate trust department has actual
knowledge thereof or until a written notice of any such event is received by the Trustee at the
Corporate Trust Office, and such notice refers to the facts underlying such event, the Securities
generally, the Company and the Indenture.

     Notwithstanding the foregoing provisions of this Section 7.01, if the principal or any premium
or interest on any Security is payable in a Currency other than the Currency of the United States
and such Currency is not available to the Company for making payment thereof due to the imposition
of exchange controls or other circumstances beyond the control of the Company, the Company will be
entitled to satisfy its obligations to Holders of the Securities by making such payment in the
Currency of the United States in an amount equal to the Currency of the United States equivalent of
the amount payable in such other Currency, as determined by the Company by reference to the noon
buying rate in The City of New York for cable transfers for such Currency (“Exchange Rate”), as
such Exchange Rate is reported or otherwise made available by the Federal Reserve Bank of New York
on the date of such payment, or, if such rate is not then available, on the basis of the most
recently available Exchange Rate. Notwithstanding the foregoing provisions of this Section 7.01,
any payment made under such circumstances in the Currency of the United States where the required
payment is in a Currency other than the Currency of the United States will not constitute an Event
of Default under this Indenture.

     Section 7.02 Acceleration; Rescission and Annulment.

     (a) Except as otherwise provided as contemplated by Section 3.01 with respect to any series of
Securities, if any one or more of the above-described Events of Default (other than an Event of
Default specified in Section 7.01(e) or 7.01(f)) shall happen with respect to Securities of any
series at the time Outstanding, then, and in each and every such case, during the continuance of
any such Event of Default, the Trustee or the Holders of 25% or more in principal amount of the
Securities of such series then Outstanding may declare the principal (or, if the Securities of that
series are Original Issue Discount Securities, such portion of the principal amount as may be
specified in the terms of that series) of and all accrued but unpaid interest on all the Securities
of such series then Outstanding to be due and payable immediately by a notice in writing to the
Company (and to the Trustee if given by Holders), and upon any such declaration such principal
amount (or specified amount) shall become immediately due and payable. If an Event of Default
specified in Section 7.01(e) or 7.01(f) occurs and is continuing, then in every such case, the
principal amount of all of the Securities of that series then Outstanding shall automatically, and
without any declaration or any other action on the part of the Trustee or any Holder, become due
and payable immediately. Upon payment of such amounts in the Currency in which such Securities are
denominated (subject to Section 7.01 and except as otherwise provided pursuant to Section 3.01),
all obligations of the Company in respect of the payment of principal of and interest on the
Securities of such series shall terminate.

     (b) The provisions of Section 7.02(a), however, are subject to the condition that, at any time
after the principal of all the Securities of such series, to which any one or more of the
above-described Events of Default is applicable, shall have been so declared to be due and payable,
and before a judgment or decree for payment of the money due has been obtained by the Trustee as
hereinafter provided in this Article, the Event of Default giving rise to such declaration of
acceleration shall, without further act, be deemed to have been waived, and such declaration and
its consequences shall, without further act, be deemed to have been rescinded and annulled, if:

     (i) the Company has paid or deposited with the Trustee or Paying Agent a sum in the
Currency in which such Securities are denominated (subject to Section 7.01 and except as
otherwise provided pursuant to Section 3.01) sufficient to pay

     (A) all amounts owing the Trustee and any predecessor trustee hereunder under
Section 11.01(a) (provided, however, that all sums payable under this clause (A) shall be
paid in U.S. Dollars);

     (B) all arrears of interest, if any, upon all the Securities of such series (with
interest, to the extent that interest thereon shall be legally enforceable, on any overdue
installment of interest at the rate borne by such Securities at the rate or rates
prescribed therefor in such Securities); and

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     (C) the principal of and premium, if any, on any Securities of such series that have
become due otherwise than by such declaration of acceleration and interest thereon;

     (ii) every other Default and Event of Default with respect to Securities of that series,
other than the non-payment of the principal of Securities of that series which have become due
solely by such declaration of acceleration, have been cured or waived as provided in
Section 7.06.

     (c) No such rescission shall affect any subsequent default or impair any right consequent
thereon.

     (d) For all purposes under this Indenture, if a portion of the principal of any Original Issue
Discount Securities shall have been accelerated and declared due and payable pursuant to the
provisions hereof, then, from and after such declaration, unless such declaration has been
rescinded and annulled, the principal amount of such Original Issue Discount Securities shall be
deemed, for all purposes hereunder, to be such portion of the principal thereof as shall be due and
payable as a result of such acceleration, and payment of such portion of the principal thereof as
shall be due and payable as a result of such acceleration, together with interest, if any, thereon
and all other amounts owing thereunder, shall constitute payment in full of such Original Issue
Discount Securities.

     Section 7.03 Other Remedies. If the Company shall fail for a period of 30 days to pay
any installment of interest on the Securities of any series or shall fail to pay the principal of
and premium, if any, on any of the Securities of such series when and as the same shall become due
and payable, whether at Maturity, or by call for redemption (other than pursuant to the sinking
fund), by declaration as authorized by this Indenture, or otherwise, or shall fail for a period of
30 days to make any required sinking fund payment as to a series of Securities, then, upon demand
of the Trustee, the Company will pay to the Paying Agent for the benefit of the Holders of
Securities of such series then Outstanding the whole amount which then shall have become due and
payable on all the Securities of such series, with interest on the overdue principal and premium,
if any, and (so far as the same may be legally enforceable) on the overdue installments of interest
at the rate borne by the Securities of such series, and all amounts owing the Trustee and any
predecessor trustee hereunder under Section 11.01(a).

     In case the Company shall fail forthwith to pay such amounts upon such demand, the Trustee, in
its own name and as trustee of an express trust, shall be entitled and empowered to institute any
action or proceeding at law or in equity for the collection of the sums so due and unpaid, and may
prosecute any such action or proceeding to judgment or final decree, and may enforce any such
judgment or final decree against the Company or any other obligor upon the Securities of such
series, and collect the moneys adjudged or decreed to be payable out of the property of the Company
or any other obligor upon the Securities of such series, wherever situated, in the manner provided
by law. Every recovery of judgment in any such action or other proceeding, subject to the payment
to the Trustee of all amounts owing the Trustee and any predecessor trustee hereunder under
Section 11.01(a), shall be for the ratable benefit of the Holders of such series of Securities
which shall be the subject of such action or proceeding. All rights of action upon or under any of
the Securities or this Indenture may be enforced by the Trustee without the possession of any of
the Securities and without the production of any thereof at any trial or any proceeding relative
thereto.

     Section 7.04 Trustee as Attorney-in-Fact. The Trustee is hereby appointed, and each
and every Holder of the Securities, by receiving and holding the same, shall be conclusively deemed
to have appointed the Trustee, the true and lawful attorney-in-fact of such Holder, with authority
to make or file (whether or not the Company shall be in Default in respect of the payment of the
principal of, or interest on, any of the Securities), in its own name and as trustee of an express
trust or otherwise as it shall deem advisable, in any receivership, insolvency, liquidation,
bankruptcy, reorganization or other judicial proceeding relative to the Company or any other
obligor upon the Securities or to their respective creditors or property, any and all claims,
proofs of claim, proofs of debt, petitions, consents, other papers and documents and amendments of
any thereof, as may be necessary or advisable in order to have the claims of the Trustee and any
predecessor trustee hereunder and of the Holders of the Securities allowed in any such proceeding
and to collect and receive any moneys or other property payable or deliverable on any such claim,
and to execute and deliver any and all other papers and documents and to do and perform any and all
other acts and things, as it may deem necessary or advisable in order to enforce in any such
proceeding any of the claims of the Trustee and any predecessor trustee hereunder and of any of
such Holders in respect of any of the Securities; and any receiver, assignee, trustee, custodian or
debtor in any such proceeding is hereby authorized, and each and every taker or Holder of the
Securities, by receiving and holding the same, shall be conclusively deemed to have authorized any
such receiver, assignee, trustee, custodian or debtor, to make any such payment or delivery only to
or

26

 

on the order of the Trustee, and to pay to the Trustee any amount due it and any predecessor
trustee hereunder under Section 11.01(a); provided, however, that nothing herein contained shall be
deemed to authorize or empower the Trustee to consent to or accept or adopt, on behalf of any
Holder of Securities, any plan of reorganization or readjustment affecting the Securities or the
rights of any Holder thereof, or to authorize or empower the Trustee to vote in respect of the
claim of any Holder of any Securities in any such proceeding.

     Section 7.05 Priorities. Any moneys or properties collected by the Trustee with
respect to a series of Securities under this Article VII shall be applied in the order following,
at the date or dates fixed by the Trustee for the distribution of such moneys or properties and, in
the case of the distribution of such moneys or properties on account of the Securities of any
series, upon presentation of the Securities of such series, and stamping thereon the payment, if
only partially paid, and upon surrender thereof, if fully paid:

     First: To the payment of all amounts due to the Trustee and any predecessor trustee hereunder
under Section 11.01(a).

     Second: In case the principal of the Outstanding Securities of such series shall not have
become due and be unpaid, to the payment of interest on the Securities of such series, in the
chronological order of the Maturity of the installments of such interest, with interest (to the
extent that such interest has been collected by the Trustee) upon the overdue installments of
interest at the rate borne by such Securities, such payments to be made ratably to the Persons
entitled thereto.

     Third: In case the principal of the Outstanding Securities of such series shall have become
due, by declaration or otherwise, to the payment of the whole amount then owing and unpaid upon the
Securities of such series for principal and premium, if any, and interest, with interest on the
overdue principal and premium, if any, and (to the extent that such interest has been collected by
the Trustee) upon overdue installments of interest at the rate borne by the Securities of such
series, and in case such moneys shall be insufficient to pay in full the whole amounts so due and
unpaid upon the Securities of such series, then to the payment of such principal and premium, if
any, and interest without preference or priority of principal and premium, if any, over interest,
or of interest over principal and premium, if any, or of any installment of interest over any other
installment of interest, or of any Security of such series over any other Security of such series,
ratably to the aggregate of such principal and premium, if any, and accrued and unpaid interest.

     Any surplus then remaining shall be paid to the Company or as directed by a court of competent
jurisdiction.

     Section 7.06 Control by Securityholders; Waiver of Past Defaults. The Holders of a
majority in principal amount of the Securities of any series at the time Outstanding may direct the
time, method and place of conducting any proceeding for any remedy available to the Trustee
hereunder, or of exercising any trust or power hereby conferred upon the Trustee with respect to
the Securities of such series, provided, however, that, subject to the provisions of Sections 11.01
and 11.02, the Trustee shall have the right to decline to follow any such direction if the Trustee
being advised by counsel determines that the action so directed may not lawfully be taken or would
be unduly prejudicial to Holders not joining in such direction or would involve the Trustee in
personal liability. Prior to any declaration accelerating the Maturity of the Securities of any
series, the Holders of a majority in aggregate principal amount of such series of Securities at the
time Outstanding may on behalf of the Holders of all of the Securities of such series waive any
past Default or Event of Default hereunder and its consequences except a Default in the payment of
interest or any premium on or the principal of the Securities of such series. Upon any such waiver
the Company, the Trustee and the Holders of the Securities of such series shall be restored to
their former positions and rights hereunder, respectively; but no such waiver shall extend to any
subsequent or other Default or Event of Default or impair any right consequent thereon. Whenever
any Default or Event of Default hereunder shall have been waived as permitted by this Section 7.06,
said Default or Event of Default shall for all purposes of the Securities of such series and this
Indenture be deemed to have been cured and to be not continuing.

     Section 7.07 Limitation on Suits. No Holder of any Security of any series shall have
any right to institute any action, suit or proceeding at law or in equity for the execution of any
trust hereunder or for the appointment of a receiver or for any other remedy hereunder, in each
case with respect to an Event of Default with respect to such series of Securities, unless such
Holder previously shall have given to the Trustee written notice of one or more of the Events of
Default herein specified with respect to such series of Securities, and unless also the Holders of
25% in principal amount of the Securities of such series then Outstanding shall have requested the
Trustee in writing to take

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action in respect of the matter complained of, and unless also there shall have been offered
to the Trustee security and indemnity satisfactory to it against the costs, expenses and
liabilities to be incurred therein or thereby, and the Trustee, for 60 days after receipt of such
notification, request and offer of indemnity, shall have neglected or refused to institute any such
action, suit or proceeding; and such notification, request and offer of indemnity are hereby
declared in every such case to be conditions precedent to any such action, suit or proceeding by
any Holder of any Security of such series; it being understood and intended that no one or more of
the Holders of Securities of such series shall have any right in any manner whatsoever by his, her,
its or their action to enforce any right hereunder, except in the manner herein provided, and that
every action, suit or proceeding at law or in equity shall be instituted, had and maintained in the
manner herein provided and for the equal benefit of all Holders of the Outstanding Securities of
such series; provided, however, that nothing in this Indenture or in the Securities of such series
shall affect or impair the obligation of the Company, which is absolute and unconditional, to pay
the principal of, premium, if any, and interest on the Securities of such series to the respective
Holders of such Securities at the respective due dates in such Securities stated, or affect or
impair the right, which is also absolute and unconditional, of such Holders to institute suit to
enforce the payment thereof.

     Section 7.08 Undertaking for Costs. All parties to this Indenture and each Holder of
any Security, by such Holder’s acceptance thereof, shall be deemed to have agreed that any court
may in its discretion require, in any action, suit or proceeding for the enforcement of any right
or remedy under this Indenture, or in any action, suit or proceeding against the Trustee for any
action taken or omitted by it as Trustee, the filing by any party litigant in such action, suit or
proceeding of an undertaking to pay the costs of such action, suit or proceeding, and that such
court may in its discretion assess reasonable costs, including reasonable attorneys’ fees and
expenses, against any party litigant in such action, suit or proceeding, having due regard to the
merits and good faith of the claims or defenses made by such party litigant; provided, however,
that the provisions of this Section 7.08 shall not apply to any action, suit or proceeding
instituted by the Trustee, to any action, suit or proceeding instituted by any one or more Holders
of Securities holding in the aggregate more than 10% in principal amount of the Securities of any
series Outstanding, or to any action, suit or proceeding instituted by any Holder of Securities of
any series for the enforcement of the payment of the principal of or premium, if any, or the
interest on, any of the Securities of such series, on or after the respective due dates expressed
in such Securities.

     Section 7.09 Remedies Cumulative. No remedy herein conferred upon or reserved to the
Trustee or to the Holders of Securities of any series is intended to be exclusive of any other
remedy or remedies, and each and every remedy shall be cumulative and shall be in addition to every
other remedy given hereunder or now or hereafter existing at law or in equity or by statute. No
delay or omission of the Trustee or of any Holder of the Securities of any series to exercise any
right or power accruing upon any Default or Event of Default shall impair any such right or power
or shall be construed to be a waiver of any such Default or Event of Default or an acquiescence
therein; and every power and remedy given by this Article VII to the Trustee and to the Holders of
Securities of any series, respectively, may be exercised from time to time and as often as may be
deemed expedient by the Trustee or by the Holders of Securities of such series, as the case may be.
In case the Trustee or any Holder of Securities of any series shall have proceeded to enforce any
right under this Indenture and the proceedings for the enforcement thereof shall have been
discontinued or abandoned because of waiver or for any other reason or shall have been adjudicated
adversely to the Trustee or to such Holder of Securities, then and in every such case the Company,
the Trustee and the Holders of the Securities of such series shall severally and respectively be
restored to their former positions and rights hereunder, and thereafter all rights, remedies and
powers of the Trustee and the Holders of the Securities of such series shall continue as though no
such proceedings had been taken, except as to any matters so waived or adjudicated.

ARTICLE VIII

CONCERNING THE SECURITYHOLDERS

     Section 8.01 Evidence of Action of Securityholders. Whenever in this Indenture it is
provided that the Holders of a specified percentage or a majority in aggregate principal amount of
the Securities or of any series of Securities may take any action (including the making of any
demand or request, the giving of any notice, consent or waiver or the taking of any other action),
the fact that at the time of taking any such action the Holders of such specified percentage or
majority have joined therein may be evidenced by (a) any instrument or any number of instruments of
similar tenor executed by Securityholders in person, by an agent or by a proxy appointed in
writing, including through an electronic system for tabulating consents operated by the Depositary
for such series or otherwise (such

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action becoming effective, except as herein otherwise expressly provided, when such
instruments or evidence of electronic consents are delivered to the Trustee and, where it is hereby
expressly required, to the Company), or (b) by the record of the Holders of Securities voting in
favor thereof at any meeting of Securityholders duly called and held in accordance with the
provisions of Article IX, or (c) by a combination of such instrument or instruments and any such
record of such a meeting of Securityholders.

     Section 8.02 Proof of Execution or Holding of Securities. Proof of the execution of
any instrument by a Securityholder or his, her or its agent or proxy and proof of the holding by
any Person of any of the Securities shall be sufficient if made in the following manner:

     (a) The fact and date of the execution by any Person of any such instrument may be proved
(i) by the certificate of any notary public or other officer in any jurisdiction who, by the laws
thereof, has power to take acknowledgments or proof of deeds to be recorded within such
jurisdiction, that the Person who signed such instrument did acknowledge before such notary public
or other officer the execution thereof, or (ii) by the affidavit of a witness of such execution
sworn to before any such notary or other officer. Where such execution is by a Person acting in
other than his or her individual capacity, such certificate or affidavit shall also constitute
sufficient proof of his or her authority.

     (b) The ownership of Securities of any series shall be proved by the Register of such
Securities or by a certificate of the Registrar for such series.

     (c) The record of any Holders’ meeting shall be proved in the manner provided in Section 9.06.

     (d) The Trustee may require such additional proof of any matter referred to in this
Section 8.02 as it shall deem appropriate or necessary, so long as the request is a reasonable one.

     (e) If the Company shall solicit from the Holders of Securities of any series any action, the
Company may, at its option fix in advance a record date for the determination of Holders of
Securities entitled to take such action, but the Company shall have no obligation to do so. Any
such record date shall be fixed at the Company’s discretion. If such a record date is fixed, such
action may be sought or given before or after the record date, but only the Holders of Securities
of record at the close of business on such record date shall be deemed to be Holders of Securities
for the purpose of determining whether Holders of the requisite proportion of Outstanding
Securities of such series have authorized or agreed or consented to such action, and for that
purpose the Outstanding Securities of such series shall be computed as of such record date.

     Section 8.03 Persons Deemed Owners.

     (a) The Company, the Trustee and any agent of the Company or the Trustee may treat the Person
in whose name any Security is registered as the owner of such Security for the purpose of receiving
payment of principal of and premium, if any, and (subject to Section 3.08) interest, if any, on,
such Security and for all other purposes whatsoever, whether or not such Security be overdue, and
neither the Company, the Trustee nor any agent of the Company or the Trustee shall be affected by
notice to the contrary. All payments made to any Holder, or upon his, her or its order, shall be
valid, and, to the extent of the sum or sums paid, effectual to satisfy and discharge the liability
for moneys payable upon such Security.

     (b) None of the Company, the Trustee, any Paying Agent or the Registrar will have any
responsibility or liability for any aspect of the records relating to or payments made on account
of beneficial ownership interests in a Global Security or for maintaining, supervising or reviewing
any records relating to such beneficial ownership interests.

     Section 8.04 Effect of Consents. After an amendment, supplement, waiver or other
action becomes effective as to any series of Securities, a consent to it by a Holder of such series
of Securities is a continuing consent conclusive and binding upon such Holder and every subsequent
Holder of the same Securities or portion thereof, and of any Security issued upon the transfer
thereof or in exchange therefor or in place thereof, even if notation of the consent is not made on
any such Security. An amendment, supplement or waiver becomes effective in accordance with its
terms and thereafter binds every Holder.

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ARTICLE IX

SECURITYHOLDERS’ MEETINGS

     Section 9.01 Purposes of Meetings. A meeting of Securityholders of any or all series
may be called at any time and from time to time pursuant to the provisions of this Article IX for
any of the following purposes:

     (a) to give any notice to the Company or to the Trustee, or to give any directions to the
Trustee, or to consent to the waiving of any Default or Event of Default hereunder and its
consequences, or to take any other action authorized to be taken by Securityholders pursuant to any
of the provisions of Article VIII;

     (b) to remove the Trustee and nominate a successor trustee pursuant to the provisions of
Article XI;

     (c) to consent to the execution of an Indenture or of indentures supplemental hereto pursuant
to the provisions of Section 14.02; or

     (d) to take any other action authorized to be taken by or on behalf of the Holders of any
specified aggregate principal amount of the Securities of any one or more or all series, as the
case may be, under any other provision of this Indenture or under applicable law.

     Section 9.02 Call of Meetings by Trustee. The Trustee may at any time call a meeting
of all Securityholders of all series that may be affected by the action proposed to be taken, to
take any action specified in Section 9.01, to be held at such time and at such place as the Trustee
shall determine. Notice of every meeting of the Securityholders of a series, setting forth the time
and the place of such meeting and in general terms the action proposed to be taken at such meeting,
shall be mailed to Holders of Securities of such series at their addresses as they shall appear on
the Register of the Company. Such notice shall be mailed not less than 20 nor more than 90 days
prior to the date fixed for the meeting.

     Section 9.03 Call of Meetings by Company or Securityholders. In case at any time the
Company or the Holders of at least 10% in aggregate principal amount of the Securities of a series
(or of all series, as the case may be) then Outstanding that may be affected by the action proposed
to be taken, shall have requested the Trustee to call a meeting of Securityholders of such series
(or of all series), by written request setting forth in reasonable detail the action proposed to be
taken at the meeting, and the Trustee shall not have mailed the notice of such meeting within 20
days after receipt of such request, then the Company or such Securityholders may determine the time
and the place for such meeting and may call such meeting to take any action authorized in
Section 9.01, by mailing notice thereof as provided in Section 9.02.

     Section 9.04 Qualifications for Voting. To be entitled to vote at any meeting of
Securityholders, a Person shall (a) be a Holder of one or more Securities affected by the action
proposed to be taken at the meeting or (b) be a Person appointed by an instrument in writing as
proxy by a Holder of one or more such Securities. The only Persons who shall be entitled to be
present or to speak at any meeting of Securityholders shall be the Persons entitled to vote at such
meeting and their counsel and any representatives of the Trustee and its counsel and any
representatives of the Company and its counsel.

     Section 9.05 Regulation of Meetings.

     (a) Notwithstanding any other provisions of this Indenture, the Trustee may make such
reasonable regulations as it may deem advisable for any meeting of Securityholders, in regard to
proof of the holding of Securities and of the appointment of proxies, and in regard to the
appointment and duties of inspectors of votes, the submission and examination of proxies,
certificates and other evidence of the right to vote, and such other matters concerning the conduct
of the meeting as it shall deem fit.

     (b) The Trustee shall, by an instrument in writing, appoint a temporary chairman of the
meeting, unless the meeting shall have been called by the Company or by Securityholders as provided
in Section 9.03, in which case the Company or the Securityholders calling the meeting, as the case
may be, shall in like manner appoint a temporary chair. A permanent chairman and a permanent
secretary of the meeting shall be elected by majority vote of the meeting.

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     (c) At any meeting of Securityholders of a series, each Securityholder of such series of such
Securityholder’s proxy shall be entitled to one vote for each $1,000 principal amount of Securities
of such series Outstanding held or represented by him; provided, however, that no vote shall be
cast or counted at any meeting in respect of any Security challenged as not Outstanding and ruled
by the chairman of the meeting to be not Outstanding. The chairman of the meeting shall have no
right to vote other than by virtue of Securities of such series held by him or her or instruments
in writing as aforesaid duly designating him or her as the Person to vote on behalf of other
Securityholders. At any meeting of the Securityholders duly called pursuant to the provisions of
Section 9.02 or 9.03 the presence of Persons holding or representing Securities in an aggregate
principal amount sufficient to take action upon the business for the transaction of which such
meeting was called shall be necessary to constitute a quorum, and any such meeting may be adjourned
from time to time by a majority of those present, whether or not constituting a quorum, and the
meeting may be held as so adjourned without further notice.

     Section 9.06 Voting. The vote upon any resolution submitted to any meeting of
Securityholders of a series shall be by written ballots on which shall be subscribed the signatures
of the Holders of Securities of such series or of their representatives by proxy and the principal
amounts of the Securities of such series held or represented by them. The permanent chairman of the
meeting shall appoint two inspectors of votes who shall count all votes cast at the meeting for or
against any resolution and who shall make and file with the secretary of the meeting their verified
written reports in duplicate of all votes cast at the meeting. A record in duplicate of the
proceedings of each meeting of Securityholders shall be prepared by the secretary of the meeting
and there shall be attached to said record the original reports of the inspectors of votes on any
vote by ballot taken thereat and affidavits by one or more Persons having knowledge of the facts
setting forth a copy of the notice of the meeting and showing that said notice was mailed as
provided in Section 9.02. The record shall show the principal amounts of the Securities voting in
favor of or against any resolution. The record shall be signed and verified by the affidavits of
the permanent chairman and secretary of the meeting and one of the duplicates shall be delivered to
the Company and the other to the Trustee to be preserved by the Trustee.

     Any record so signed and verified shall be conclusive evidence of the matters therein stated.

     Section 9.07 No Delay of Rights by Meeting. Nothing contained in this Article IX shall
be deemed or construed to authorize or permit, by reason of any call of a meeting of
Securityholders of any series or any rights expressly or impliedly conferred hereunder to make such
call, any hindrance or delay in the exercise of any right or rights conferred upon or reserved to
the Trustee or to the Securityholders of such series under any of the provisions of this Indenture
or of the Securities of such series.

ARTICLE X

REPORTS BY THE COMPANY AND THE TRUSTEE AND SECURITYHOLDERS’ LISTS

     Section 10.01 Reports by Trustee.

     (a) So long as any Securities are outstanding, the Trustee shall transmit to Holders such
reports concerning the Trustee and its actions under this Indenture as may be required pursuant to
the Trust Indenture Act at the times and in the manner provided therein. If required by
Section 313(a) of the Trust Indenture Act, the Trustee shall, within 60 days after each following
the date of this Indenture deliver to Holders a brief report which complies with the provisions of
such Section 313(a).

     (b) The Trustee shall, at the time of the transmission to the Holders of Securities of any
report pursuant to the provisions of this Section 10.01, file a copy of such report with each stock
exchange upon which the Securities are listed, if any, and also with the SEC in respect of a
Security listed and registered on a national securities exchange, if any. The Company agrees to
notify the Trustee when, as and if the Securities become listed on any stock exchange.

     The Company will reimburse the Trustee for all expenses incurred in the preparation and
transmission of any report pursuant to the provisions of this Section 10.01 and of Section 10.02.

     Section 10.02 Reports by the Company. The Company shall file with the Trustee and the
SEC, and transmit to Holders, such information, documents and other reports, and such summaries
thereof, as may be required pursuant to the Trust Indenture Act at the times and in the manner
provided in the Trust Indenture Act; provided that, unless available on EDGAR, any such
information, documents or reports required to be filed with the SEC pursuant to

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Section 13 or 15(d) of the Exchange Act shall be filed with the Trustee within 30 days after
the same is filed with the SEC; and provided further, that the filing of the reports specified in
Section 13 or 15(d) of the Exchange Act by an entity that is the direct or indirect parent of the
Company will satisfy the requirements of this Section 10.02 so long as such entity is an obligor or
guarantor on the Securities; and provided further that the reports of such entity will not be
required to include condensed consolidating financial information for the Company in a footnote to
the financial statements of such entity.

     Section 10.03 Securityholders’ Lists. The Company covenants and agrees that it will
furnish or cause to be furnished to the Trustee:

     (a) semi-annually, within 15 days after each Record Date, but in any event not less frequently
than semi-annually, a list in such form as the Trustee may reasonably require of the names and
addresses of the Holders of Securities to which such Record Date applies, as of such Record Date,
and

     (b) at such other times as the Trustee may request in writing, within 30 days after receipt by
the Company of any such request, a list of similar form and content as of a date not more than 15
days prior to the time such list is furnished; provided, however, that so long as the Trustee shall
be the Registrar, such lists shall not be required to be furnished.

ARTICLE XI

CONCERNING THE TRUSTEE

     Section 11.01 Rights of Trustees; Compensation and Indemnity. The Trustee accepts the
trusts created by this Indenture upon the terms and conditions hereof, including the following, to
all of which the parties hereto and the Holders from time to time of the Securities agree:

     (a) The Trustee shall be entitled to such compensation as the Company, each Guarantor and the
Trustee shall from time to time agree in writing for all services rendered by it hereunder
(including in any agent capacity in which it acts). The compensation of the Trustee shall not be
limited by any provision of law in regard to the compensation of a trustee of an express trust. The
Company shall reimburse the Trustee promptly upon its request for all reasonable out-of-pocket
expenses, disbursements and advances incurred or made by the Trustee (including the reasonable
expenses and disbursements of its agents and counsel), except any such expense, disbursement or
advance as may be attributable to its negligence, bad faith or willful misconduct.

     The Company and each Guarantor, if any, also agree to indemnify each of the Trustee and any
predecessor Trustee hereunder for, and to hold it harmless against, any and all loss, liability,
damage, claim, or expense incurred without its own negligence, bad faith or willful misconduct,
arising out of or in connection with the acceptance or administration of the trust or trusts
hereunder and the performance of its duties (including in any agent capacity in which it acts), as
well as the costs and expenses of defending itself against any claim or liability in connection
with the exercise or performance of any of its powers or duties hereunder, except those
attributable to its negligence, willful misconduct or bad faith. The Trustee shall notify the
Company promptly of any claim for which it may seek indemnity. The Company shall defend the claim
and the Trustee shall cooperate in the defense. The Trustee may have one separate counsel and the
Company shall pay the reasonable fees and expenses of such counsel. Neither the Company nor any
Guarantor need pay for any settlement made without its consent, which consent shall not be
unreasonably withheld.

     As security for the performance of the obligations of the Company and the Guarantors under
this Section 11.01(a), the Trustee shall have a lien upon all property and funds held or collected
by the Trustee as such, except funds held in trust by the Trustee to pay principal of and interest
on any Securities. Notwithstanding any provisions of this Indenture to the contrary, the
obligations of the Company and the Guarantors to compensate and indemnify the Trustee under this
Section 11.01(a) shall survive the resignation or removal of the Trustee and any satisfaction and
discharge under Article XII. When the Trustee incurs expenses or renders services after an Event of
Default specified in clause (e) or (f) of Section 7.01 occurs, the expenses and compensation for
the services are intended to constitute expenses of administration under any applicable federal or
state bankruptcy, insolvency or similar laws.

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

     (c) The Trustee shall not be responsible in any manner whatsoever for the correctness of the
recitals herein or in the Securities (except its certificates of authentication thereon) contained,
all of which are made solely by the Company; and the Trustee shall not be responsible or
accountable in any manner whatsoever for or with respect to the validity or execution or
sufficiency of this Indenture or of the Securities (except its certificates of authentication
thereon), and the Trustee makes no representation with respect thereto, except that the Trustee
represents that it is duly authorized to execute and deliver this Indenture, authenticate the
Securities and perform its obligations hereunder and that the statements made by it in a Statement
of Eligibility on Form T-1 supplied to the Company are true and accurate, subject to the
qualifications set forth therein. The Trustee shall not be accountable for the use or application
by the Company of any Securities, or the proceeds of any Securities, authenticated and delivered by
the Trustee in conformity with the provisions of this Indenture.

     (d) The Trustee may consult with counsel of its selection, and, to the extent permitted by
Section 11.02, any Opinion of Counsel shall be full and complete authorization and protection in
respect of any action taken or suffered by the Trustee hereunder in good faith and in accordance
with such Opinion of Counsel.

     (e) The Trustee, to the extent permitted by Section 11.02, may rely upon the certificate of
the Secretary or one of the Assistant Secretaries of the Company as to the adoption of any Board
Resolution or resolution of the stockholders of the Company, and any request, direction, order or
demand of the Company mentioned herein shall be sufficiently evidenced by, and whenever in the
administration of this Indenture the Trustee shall deem it desirable that a matter be proved or
established prior to taking, suffering or omitting any action hereunder, the Trustee may rely upon,
an Officer’s Certificate of the Company (unless other evidence in respect thereof be herein
specifically prescribed).

     (f) Subject to Section 11.04, the Trustee or any agent of the Trustee, in its individual or
any other capacity, may become the owner or pledgee of Securities and, subject to Sections 310(b)
and 311 of the Trust Indenture Act, may otherwise deal with the Company with the same rights it
would have had if it were not the Trustee or such agent.

     (g) Money held by the Trustee in trust hereunder need not be segregated from other funds
except to the extent required by law. The Trustee shall be under no liability for interest on any
money received by it hereunder except as otherwise agreed in writing with the Company.

     (h) Any action taken by the Trustee pursuant to any provision hereof at the request or with
the consent of any Person who at the time is the Holder of any Security shall be conclusive and
binding in respect of such Security upon all future Holders thereof or of any Security or
Securities which may be issued for or in lieu thereof in whole or in part, whether or not such
Security shall have noted thereon the fact that such request or consent had been made or given.

     (i) Subject to the provisions of Section 11.02, the Trustee may conclusively rely and shall be
protected in acting or refraining from acting upon any resolution, certificate, statement,
instrument, opinion, report, notice, request, consent, order, approval, bond, debenture or other
paper or document believed by it to be genuine and to have been signed or presented by the proper
party or parties.

     (j) Subject to the provisions of Section 11.02, the Trustee shall not be under any obligation
to exercise any of the rights or powers vested in it by this Indenture at the request, order or
direction of any of the Holders of the Securities, pursuant to any provision of this Indenture,
unless one or more of the Holders of the Securities shall have offered to the Trustee security or
indemnity satisfactory to it against the costs, expenses and liabilities which may be incurred by
it therein or thereby.

     (k) Subject to the provisions of Section 11.02, the Trustee shall not be liable for any action
taken or omitted by it in good faith and believed by it to be authorized or within its discretion
or within the rights or powers conferred upon it by this Indenture.

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     (l) Subject to the provisions of Section 11.02, the Trustee shall not be deemed to have
knowledge or notice of any Default or Event of Default unless a Responsible Officer of the Trustee
has actual knowledge thereof or unless the Holders of not less than 25% of the Outstanding
Securities notify the Trustee thereof.

     (m) Subject to the provisions of the first paragraph of Section 11.02, the Trustee shall not
be bound to make any investigation into the facts or matters stated in any resolution, certificate,
statement, instrument, opinion, report, notice, request, direction, consent, order, bond,
debenture, note, other evidence of Indebtedness or other paper or document, but the Trustee, may,
but shall not be required to, make further inquiry or investigation into such facts or matters as
it may see fit.

     (n) The rights, privileges, protections, immunities and benefits given to the Trustee,
including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder.

     Section 11.02 Duties of Trustee.

     (a) If one or more of the Events of Default specified in Section 7.01 with respect to the
Securities of any series shall have happened, then, during the continuance thereof, the Trustee
shall, with respect to such Securities, exercise such of the rights and powers vested in it by this
Indenture, and shall use the same degree of care and skill in their exercise, as a prudent person
would exercise or use under the circumstances in the conduct of such person’s own affairs.

     (b) None of the provisions of this Indenture shall be construed as relieving the Trustee from
liability for its own negligent action, negligent failure to act, or its own willful misconduct,
except that, anything in this Indenture contained to the contrary notwithstanding,

     (i) unless and until an Event of Default specified in Section 7.01 with respect to the
Securities of any series shall have happened which at the time is continuing,

     (A) the Trustee undertakes to perform such duties and only such duties with respect
to the Securities of that series as are specifically set out in this Indenture, and no
implied covenants or obligations shall be read into this Indenture against the Trustee,
whose duties and obligations shall be determined solely by the express provisions of this
Indenture; and

     (B) the Trustee may conclusively rely, as to the truth of the statements and the
correctness of the opinions expressed therein, in the absence of bad faith on the part of
the Trustee, upon certificates and opinions furnished to it pursuant to the express
provisions of this Indenture; but in the case of any such certificates or opinions which,
by the provisions of this Indenture, are specifically required to be furnished to the
Trustee, the Trustee shall be under a duty to examine the same to determine whether or not
they conform to the requirements of this Indenture (but need not confirm or investigate
the accuracy of mathematical calculations or other facts, statements, opinions or
conclusions stated therein);

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

     (iii) the Trustee shall not be liable to any Holder of Securities or to any other Person
with respect to any action taken or omitted to be taken by it in good faith, in accordance with
the direction of Securityholders given as provided in Section 7.06, relating to the time,
method and place of conducting any proceeding for any remedy available to it or exercising any
trust or power conferred upon it by this Indenture.

     (c) None of the provisions of this Indenture shall require the Trustee to expend or risk its
own funds or otherwise to incur any financial liability in the performance of any of its duties
hereunder, or in the exercise of any of its rights or powers, if it shall have reasonable grounds
for believing that repayment of such funds or adequate indemnity against such risk or liability is
not reasonably assured to it.

     (d) Whether or not therein expressly so provided, every provision of this Indenture relating
to the conduct or affecting the liability of or affording protection to the Trustee shall be
subject to the provisions of this Section 11.02.

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     (e) The Trustee is subject to Section 311(a) of the Trust Indenture Act, excluding any
creditor relationship listed in Section 311(b) thereof. A Trustee who has resigned or been removed
shall be subject to Section 311(a) of the Trust Indenture Act to the extent indicated.

     Section 11.03 Notice of Defaults. Within 90 days after the occurrence thereof, and if
known to the Trustee, the Trustee shall give to the Holders of the Securities of a series notice of
each Default or Event of Default with respect to the Securities of such series known to the
Trustee, by transmitting such notice to Holders at their addresses as the same shall then appear on
the Register of the Company, unless such Default shall have been cured or waived before the giving
of such notice (the term “Default” being hereby defined to be the events specified in Section 7.01,
which are, or after notice or lapse of time or both would become, Events of Default as defined in
said Section). Except in the case of a Default or Event of Default in payment of the principal of,
premium, if any, or interest on any of the Securities of such series when and as the same shall
become payable, or to make any sinking fund payment as to Securities of the same series, the
Trustee shall be protected in withholding such notice, if and so long as a Responsible Officer or
Responsible Officers of the Trustee in good faith determines that the withholding of such notice is
in the interests of the Holders of the Securities of such series.

     Section 11.04 Eligibility; Disqualification.

     (a) The Trustee shall at all times satisfy the requirements of TIA Section 310(a). The Trustee
shall have a combined capital and surplus of at least $50 million as set forth in its most recent
published annual report of condition, and shall have a Corporate Trust Office. If at any time the
Trustee shall cease to be eligible in accordance with the provisions of this Section 11.04, it
shall resign immediately in the manner and with the effect hereinafter specified in this Article.

     (b) The Trustee shall comply with TIA Section 310(b); provided, however, that there shall be
excluded from the operation of TIA Section 310(b)(i) any indenture or indentures under which other
securities or certificates of interest or participation in other securities of the Company are
outstanding if the requirements for such exclusion set forth in TIA Section 310(b)(i) are met. If
the Trustee has or shall acquire a conflicting interest within the meaning of Section 310(b) of the
Trust Indenture Act, the Trustee shall either eliminate such interest or resign, to the extent and
in the manner provided by, and subject to the provisions of, the Trust Indenture Act and this
Indenture. If Section 310(b) of the Trust Indenture Act is amended any time after the date of this
Indenture to change the circumstances under which a Trustee shall be deemed to have a conflicting
interest with respect to the Securities of any series or to change any of the definitions in
connection therewith, this Section 11.04 shall be automatically amended to incorporate such
changes.

     Section 11.05 Registration and Notice; Removal. The Trustee, or any successor to it
hereafter appointed, may at any time resign and be discharged of the trusts hereby created with
respect to any one or more or all series of Securities by giving to the Company notice in writing.
Such resignation shall take effect upon the appointment of a successor Trustee and the acceptance
of such appointment by such successor Trustee. Any Trustee hereunder may be removed with respect to
any series of Securities at any time by the filing with such Trustee and the delivery to the
Company of an instrument or instruments in writing signed by the Holders of a majority in principal
amount of the Securities of such series then Outstanding, specifying such removal and the date when
it shall become effective.

     If at any time:

     (1) the Trustee shall fail to comply with the provisions of TIA Section 310(b) after written
request therefor by the Company or by any Holder who has been a bona fide Holder of a Security for
at least six months, or

     (2) the Trustee shall cease to be eligible under Section 11.04 and shall fail to resign after
written request therefor by the Company or by any Holder who has been a bona fide Holder of a
Security for at least six months, or

     (3) the Trustee shall become incapable of acting or shall be adjudged a bankrupt or insolvent
or a receiver of the Trustee or of its property shall be appointed or any public officer shall take
charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation,
conservation or liquidation, then, in any such case, (i) the Company by written notice to the
Trustee may remove the Trustee and appoint a successor Trustee with respect to all Securities, or
(ii) subject to TIA Section 315(e), any Securityholder who has been a bona fide Holder of a
Security for at least six months may, on behalf of himself and all others similarly situated,
petition any court of

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competent jurisdiction for the removal of the Trustee with respect to all Securities and the
appointment of a successor Trustee or Trustees.

     Upon its resignation or removal, any Trustee shall be entitled to the payment of reasonable
compensation for the services rendered hereunder by such Trustee and to the payment of all
reasonable expenses incurred hereunder and all moneys then due to it hereunder. The Trustee’s
rights to indemnification provided in Section 11.01(a) shall survive its resignation or removal.

     Section 11.06 Successor Trustee by Appointment.

     (a) In case at any time the Trustee shall resign, or shall be removed (unless the Trustee
shall be removed as provided in Section 11.04(b), in which event the vacancy shall be filled as
provided in said subdivision), or shall become incapable of acting, or shall be adjudged bankrupt
or insolvent, or if a receiver of the Trustee or of its property shall be appointed, or if any
public officer shall take charge or control of the Trustee or of its property or affairs for the
purpose of rehabilitation, conservation or liquidation with respect to the Securities of one or
more series, a successor Trustee with respect to the Securities of that or those series (it being
understood that any such successor Trustee may be appointed with respect to the Securities of one
or more or all of such series and that at any time there shall be only one Trustee with respect to
the Securities of any series) may be appointed by the Holders of a majority in principal amount of
the Securities of that or those series then Outstanding, by an instrument or instruments in writing
signed in duplicate by such Holders and filed, one original thereof with the Company and the other
with the successor Trustee; but, until a successor Trustee shall have been so appointed by the
Holders of Securities of that or those series as herein authorized, the Company, or, in case all or
substantially all the assets of the Company shall be in the possession of one or more custodians or
receivers lawfully appointed, or of trustees in bankruptcy or reorganization proceedings (including
a trustee or trustees appointed under the provisions of the federal bankruptcy laws, as now or
hereafter constituted), or of assignees for the benefit of creditors, such receivers, custodians,
trustees or assignees, as the case may be, by an instrument in writing, shall appoint a successor
Trustee with respect to the Securities of such series. Subject to the provisions of Sections 11.04
and 11.05, upon the appointment as aforesaid of a successor Trustee with respect to the Securities
of any series, the Trustee with respect to the Securities of such series shall cease to be Trustee
hereunder. After any such appointment other than by the Holders of Securities of that or those
series, the Person making such appointment shall forthwith cause notice thereof to be mailed to the
Holders of Securities of such series at their addresses as the same shall then appear on the
Register of the Company but any successor Trustee with respect to the Securities of such series so
appointed shall, immediately and without further act, be superseded by a successor Trustee
appointed by the Holders of Securities of such series in the manner above prescribed, if such
appointment be made prior to the expiration of one year from the date of the mailing of such notice
by the Company, or by such receivers, trustees or assignees.

     (b) If any Trustee with respect to the Securities of one or more series shall resign or be
removed and a successor Trustee shall not have been appointed by the Company or by the Holders of
the Securities of such series or, if any successor Trustee so appointed shall not have accepted its
appointment within 30 days after such appointment shall have been made, the resigning Trustee at
the expense of the Company may apply to any court of competent jurisdiction for the appointment of
a successor Trustee. If in any other case a successor Trustee shall not be appointed pursuant to
the foregoing provisions of this Section 11.06 within three months after such appointment might
have been made hereunder, the Holder of any Security of the applicable series or any retiring
Trustee at the expense of the Company may apply to any court of competent jurisdiction to appoint a
successor Trustee. Such court may thereupon, in any such case, after such notice, if any, as such
court may deem proper and prescribe, appoint a successor Trustee.

     (c) Any successor Trustee appointed hereunder with respect to the Securities of one or more
series shall execute, acknowledge and deliver to its predecessor Trustee and to the Company, or to
the receivers, trustees, assignees or court appointing it, as the case may be, an instrument
accepting such appointment hereunder, and thereupon such successor Trustee, without any further
act, deed or conveyance, shall become vested with all the authority, rights, powers, trusts,
immunities, duties and obligations with respect to such series of such predecessor Trustee with
like effect as if originally named as Trustee hereunder, and such predecessor Trustee, upon payment
of its charges and disbursements then unpaid, shall thereupon become obligated to pay over, and
such successor Trustee shall be entitled to receive, all moneys and properties held by such
predecessor Trustee as Trustee hereunder, subject nevertheless to its lien provided for in
Section 11.01(a). Nevertheless, on the written request of

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the Company or of the successor Trustee or of the Holders of at least 10% in principal amount
of the Securities of such series then Outstanding, such predecessor Trustee, upon payment of its
said charges and disbursements, shall execute and deliver an instrument transferring to such
successor Trustee upon the trusts herein expressed all the rights, powers and trusts of such
predecessor Trustee and shall assign, transfer and deliver to the successor Trustee all moneys and
properties held by such predecessor Trustee, subject nevertheless to its lien provided for in
Section 11.01(a); and, upon request of any such successor Trustee and the Company shall make,
execute, acknowledge and deliver any and all instruments in writing for more fully and effectually
vesting in and confirming to such successor Trustee all such authority, rights, powers, trusts,
immunities, duties and obligations.

     Section 11.07 Successor Trustee by Merger. Any Person into which the Trustee or any
successor to it in the trusts created by this Indenture shall be merged or converted, or any Person
with which it or any successor to it shall be consolidated, or any Person resulting from any
merger, conversion or consolidation to which the Trustee or any such successor to it shall be a
party, or any Person to which the Trustee or any successor to it shall sell or otherwise transfer
all or substantially all of the corporate trust business of the Trustee, shall be the successor
Trustee under this Indenture without the execution or filing of any paper or any further act on the
part of any of the parties hereto; provided that such Person shall be otherwise qualified and
eligible under this Article. In case at the time such successor to the Trustee shall succeed to the
trusts created by this Indenture with respect to one or more series of Securities, any of such
Securities shall have been authenticated but not delivered by the Trustee then in office, any
successor to such Trustee may adopt the certificate of authentication of any predecessor Trustee,
and deliver such Securities so authenticated; and in case at that time any of the Securities shall
not have been authenticated, any successor to the Trustee may authenticate such Securities either
in the name of any predecessor hereunder or in the name of the successor Trustee; and in all such
cases such certificates shall have the full force which it is anywhere in the Securities or in this
Indenture provided that the certificate of the Trustee shall have; provided, however, that the
right to adopt the certificate of authentication of any predecessor Trustee or authenticate
Securities in the name of any predecessor Trustee shall apply only to its successor or successors
by merger, conversion or consolidation.

     Section 11.08 Right to Rely on Officer’s Certificate. Subject to Section 11.02, and
subject to the provisions of Section 17.01 with respect to the certificates required thereby,
whenever in the administration of the provisions of this Indenture the Trustee shall deem it
necessary or desirable that a matter be proved or established prior to taking or suffering any
action hereunder, such matter (unless other evidence in respect thereof be herein specifically
prescribed) may, in the absence of negligence, bad faith or willful misconduct on the part of the
Trustee, be deemed to be conclusively proved and established by an Officer’s Certificate with
respect thereto delivered to the Trustee, and such Officer’s Certificate, in the absence of
negligence, bad faith or willful misconduct on the part of the Trustee, shall be full warrant to
the Trustee for any action taken, suffered or omitted by it under the provisions of this Indenture
upon the faith thereof.

     Section 11.09 Appointment of Authenticating Agent. The Trustee may appoint an agent
(the “Authenticating Agent”) reasonably acceptable to the Company to authenticate the Securities,
and the Trustee shall give written notice of such appointment to all Holders of Securities of the
series with respect to which such Authenticating Agent will serve. Unless limited by the terms of
such appointment, any such Authenticating Agent may authenticate Securities whenever the Trustee
may do so. Each reference in this Indenture to authentication by the Trustee includes
authentication by the Authenticating Agent. Securities so authenticated shall be entitled to the
benefits of this Indenture and shall be valid and obligatory for all purposes as if authenticated
by the Trustee hereunder.

     Each Authenticating Agent shall at all times be a corporation organized and doing business and
in good standing under the laws of the United States, any State thereof or the District of
Columbia, authorized under such laws to act as Authenticating Agent, having a combined capital and
surplus of not less than $50,000,000 and subject to supervision or examination by Federal or State
authority. If such corporation publishes reports of condition at least annually, pursuant to law or
to the requirements of said supervising or examining authority, then for the purposes of this
Article XI, the combined capital and surplus of such corporation shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so published. If at any
time an Authenticating Agent shall cease to be eligible in accordance with the provisions of this
Article XI, it shall resign immediately in the manner and with the effect specified in this Article
XI.

     Any corporation into which an Authenticating Agent may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion or consolidation to
which such

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Authenticating Agent shall be a party, or any corporation succeeding to the corporate agency
or corporate trust business of an Authenticating Agent, shall continue to be an Authenticating
Agent, provided such corporation shall be otherwise eligible under this Article XI, without the
execution or filing of any paper or any further act on the part of the Trustee or the
Authenticating Agent.

     An Authenticating Agent may resign at any time by giving written notice thereof to the Trustee
and to the Company. The Trustee may at any time terminate the agency of an Authenticating Agent by
giving written notice thereof to such Authenticating Agent and to the Company. Upon receiving such
a notice of resignation or upon such a termination, or in case at any time such Authenticating
Agent shall cease to be eligible in accordance with the provisions of this Section 11.09, the
Trustee may appoint a successor Authenticating Agent which shall be acceptable to the Company and
shall give written notice of such appointment to all Holders of Securities of the series with
respect to which such Authenticating Agent will serve. Any successor Authenticating Agent upon
acceptance of its appointment hereunder shall become vested with all the rights, powers and duties
of its predecessor hereunder, with like effect as if originally named as an Authenticating Agent.
No successor Authenticating Agent shall be appointed unless eligible under the provisions of this
Section 11.09.

     The Trustee agrees to pay to each Authenticating Agent from time to time reasonable
compensation for its services under this Section 11.09, and the Trustee shall be entitled to be
reimbursed for such payments, subject to the provisions of Section 11.01.

     Section 11.10 Communications by Securityholders with Other Securityholders. Holders of
Securities may communicate pursuant to Section 312(b) of the Trust Indenture Act with other Holders
with respect to their rights under this Indenture or the Securities. The Company, the Trustee, the
Registrar and anyone else shall have the protection of Section 312(c) of the Trust Indenture Act
with respect to such communications.

ARTICLE XII

SATISFACTION AND DISCHARGE; DEFEASANCE

     Section 12.01 Applicability of Article. If, pursuant to Section 3.01, provision is
made for the defeasance of Securities of a series and if the Securities of such series are
denominated and payable only in U.S. Dollars (except as provided pursuant to Section 3.01), then
the provisions of this Article shall be applicable except as otherwise specified pursuant to
Section 3.01 for Securities of such series. Defeasance provisions, if any, for Securities
denominated in a Foreign Currency may be specified pursuant to Section 3.01.

     Section 12.02 Satisfaction and Discharge of Indenture. This Indenture, with respect to
the Securities of any series (if all series issued under this Indenture are not to be affected),
shall, upon Company Order, cease to be of further effect (except as to any surviving rights of
registration of transfer or exchange of such Securities herein expressly provided for and rights to
receive payments of principal of and premium, if any, and interest on such Securities) and the
Trustee, at the expense of the Company, shall execute proper instruments acknowledging satisfaction
and discharge of this Indenture, when,

     (a) either:

     (i) all Securities of such series theretofore authenticated and delivered (other than
(A) Securities that have been destroyed, lost or stolen and that have been replaced or paid as
provided in Section 3.07 and (B) Securities for whose payment money has theretofore been
deposited in trust or segregated and held in trust by the Company and thereafter repaid to the
Company or discharged from such trust, as provided in Section 6.03) have been delivered to the
Trustee for cancellation; or

     (ii) all Securities of such series not theretofore delivered to the Trustee for
cancellation,

     (A) have become due and payable, or

     (B) will become due and payable at their Stated Maturity within one year, or

     (C) are to be called for redemption within one year under arrangements satisfactory
to the Trustee for the giving of notice by the Trustee in the name, and at the expense, of
the Company, and the Company, and in the case of (A), (B) or (C) above, has deposited or
caused to be deposited with the Trustee or Paying Agent as trust funds in trust for the
purpose an amount in the Currency in which such

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Securities are denominated (except as otherwise provided pursuant to Section 3.01)
sufficient to pay and discharge the entire Indebtedness on such Securities for principal
and premium, if any, and interest to the date of such deposit (in the case of Securities
that have become due and payable) or to the Stated Maturity or Redemption Date, as the
case may be; provided, however, in the event a petition for relief under federal
bankruptcy laws, as now or hereafter constituted, or any other applicable federal or state
bankruptcy, insolvency or other similar law, is filed with respect to the Company within
91 days after the deposit and the Trustee is required to return the moneys then on deposit
with the Trustee to the Company, the obligations of the Company under this Indenture with
respect to such Securities shall not be deemed terminated or discharged;

     (b) the Company or any Guarantor has paid or caused to be paid all other sums payable
hereunder by the Company; and

     (c) the Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel each stating that all conditions precedent herein provided for relating to the satisfaction
and discharge of this Indenture with respect to such series have been complied with.
Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the Company to
the Trustee under Section 11.01 and, if money shall have been deposited with the Trustee pursuant
to subclause (B) of clause (a)(i) of this Section, the obligations of the Trustee under
Section 12.06 and the last paragraph of Section 6.03(e) shall survive.

     Section 12.03 Defeasance upon Deposit of Moneys or U.S. Government Obligations. At the
Company’s option, either (a) the Company and each Guarantor shall be deemed to have been Discharged
(as defined below) from its obligations (including the related guarantees, if any) with respect to
Securities of any series on the first day after the applicable conditions set forth below have been
satisfied or (b) the Company and each Guarantor shall cease to be under any obligation to comply
with any term, provision or condition set forth in Section 6.04 with respect to Securities of any
series (and, if so specified pursuant to Section 3.01, any other restrictive covenant added for the
benefit of such series pursuant to Section 3.01) at any time after the applicable conditions set
forth below have been satisfied:

     (a) The Company shall have deposited or caused to be deposited irrevocably with the Trustee as
trust funds in trust, specifically pledged as security for, and dedicated solely to, the benefit of
the Holders of the Securities of such series (i) money in an amount, or (ii) U.S. Government
Obligations (as defined below) that through the payment of interest and principal in respect
thereof in accordance with their terms will provide, not later than one day before the due date of
any payment, money in an amount, or (iii) a combination of (i) and (ii), sufficient to pay and
discharge each installment of principal (including any mandatory sinking fund payments) of and
premium, if any, and interest on, the Outstanding Securities of such series on the dates such
installments of interest or principal and premium are due;

     (b) No Default with respect to the Securities of such series shall have occurred and be
continuing on the date of such deposit (other than a Default resulting from the borrowing of funds
and the grant of any related liens to be applied to such deposit); and

     (c) The Company shall have delivered to the Trustee an Opinion of Counsel to the effect that
Holders of the Securities of such series will not recognize income, gain or loss for U.S. federal
income tax purposes as a result of the Company’s exercise of its option under this Section and will
be subject to federal income tax on the same amounts and in the same manner and at the same times
as would have been the case if such action had not been exercised and, in the case of the
Securities of such series being Discharged accompanied by a ruling to that effect received from or
published by the Internal Revenue Service.

     “Discharged” means that the Company and each Guarantor shall be deemed to have paid and
discharged the entire Indebtedness (including the related guarantees, if any), represented by, and
obligations under, the Securities of such series and to have satisfied all the obligations under
this Indenture relating to the Securities of such series (and the Trustee, at the expense of the
Company, shall execute proper instruments acknowledging the same), except (A) the rights of Holders
of Securities of such series to receive, from the trust fund described in clause (a) above, payment
of the principal of and premium, if any, and interest on such Securities when such payments are
due, (B) the Company’s obligations with respect to Securities of such series under Sections 3.04,
3.06, 3.07, 6.02 and 12.06 and (C) the rights, powers, trusts, duties and immunities of the Trustee
hereunder.

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     “U.S. Government Obligations” means securities that are (i) direct obligations of the United
States for the payment of which its full faith and credit is pledged or (ii) obligations of a
Person controlled or supervised by and acting as an agency or instrumentality of the United States
the timely of payment of which is unconditionally guaranteed as a full faith and credit obligation
by the United States, that, in either case under clauses (i) or (ii) are not callable or redeemable
at the action of the issuer thereof, and shall also include a depositary receipt issued by a bank
or trust company as custodian with respect to any such U.S. Government Obligation or a specific
payment of interest on or principal of any such U.S. Government Obligation held by such custodian
for the account of the holder of a depositary receipt; provided that (except as required by law)
such custodian is not authorized to make any deduction from the amount payable to the holder of
such depositary receipt from any amount received by the custodian in respect of the U.S. Government
Obligation or the specific payment of interest on or principal of the U.S. Government Obligation
evidenced by such depositary receipt.

     Section 12.04 Repayment to Company. The Trustee and any Paying Agent shall promptly
pay to the Company (or to its designee) upon Company Order any excess moneys or U.S. Government
Obligations held by them at any time. The provisions of the last paragraph of Section 6.03 shall
apply to any money held by the Trustee or any Paying Agent under this Article that remains
unclaimed for two years after the Maturity of any series of Securities for which money or U.S.
Government Obligations have been deposited pursuant to Section 12.03.

     Section 12.05 Indemnity for U.S. Government Obligations. The Company shall pay and
shall indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the
deposited U.S. Government Obligations or the principal or interest received on such U.S. Government
Obligations.

     Section 12.06 Application of Trust Money.

     (a) Subject to any applicable abandoned property law, neither the Trustee nor any other paying
agent shall be required to pay interest on any moneys deposited pursuant to the provisions of this
Indenture, except such as it shall agree with the Company in writing to pay thereon. Any moneys so
deposited for the payment of the principal of, or premium, if any, or interest on the Securities of
any series and remaining unclaimed for two years after the date of the maturity of the Securities
of such series or the date fixed for the redemption of all the Securities of such series at the
time outstanding, as the case may be, shall be repaid by the Trustee or such other paying agent to
the Company upon its written request and thereafter, anything in this Indenture to the contrary
notwithstanding, any rights of the Holders of Securities of such series in respect of which such
moneys shall have been deposited shall be enforceable only against the Company, and all liability
of the Trustee or such other paying agent with respect to such moneys shall thereafter cease.

     (b) Subject to the provisions of the foregoing paragraph, any moneys which at any time shall
be deposited by the Company or on its behalf with the Trustee or any other paying agent for the
purpose of paying the principal of, premium, if any, and interest on any of the Securities shall be
and are hereby assigned, transferred and set over to the Trustee or such other paying agent in
trust for the respective Holders of the Securities for the purpose for which such moneys shall have
been deposited; but such moneys need not be segregated from other funds except to the extent
required by law.

     Section 12.07 Deposits of Non-U.S. Currencies. Notwithstanding the foregoing
provisions of this Article, if the Securities of any series are payable in a Currency other than
U.S. Dollars, the Currency or the nature of the government obligations to be deposited with the
Trustee or paying agent under the foregoing provisions of this Article shall be as set forth in the
Officer’s Certificate or established in the supplemental indenture under which the Securities of
such series are issued.

ARTICLE XIII

IMMUNITY OF CERTAIN PERSONS

     Section 13.01 No Personal Liability. No recourse shall be had for the payment of the
principal of, or the premium, if any, or interest on, any Security or for any claim based thereon
or otherwise in respect thereof or of the Indebtedness represented thereby, or upon any obligation,
covenant or agreement of this Indenture, against any incorporator, stockholder, officer or
director, as such, past, present or future, of the Company or of any successor corporation, either
directly or through the Company or any successor corporation, whether by virtue of any

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constitutional provision, statute or rule of law, or by the enforcement of any assessment or
penalty or otherwise; it being expressly agreed and understood that this Indenture and the
Securities are solely corporate obligations, and that no personal liability whatsoever shall attach
to, or be incurred by, any incorporator, stockholder, officer or director, as such, past, present
or future, of the Company or of any successor corporation, either directly or through the Company
or any successor corporation, because of the incurring of the Indebtedness hereby authorized or
under or by reason of any of the obligations, covenants, promises or agreements contained in this
Indenture or in any of the Securities, or to be implied herefrom or therefrom, and that all
liability, if any, of that character against every such incorporator, stockholder, officer and
director is, by the acceptance of the Securities and as a condition of, and as part of the
consideration for, the execution of this Indenture and the issue of the Securities expressly waived
and released.

ARTICLE XIV

SUPPLEMENTAL INDENTURES

     Section 14.01 Without Consent of Securityholders. Except as otherwise provided as
contemplated by Section 3.01 with respect to any series of Securities, the Company and the Trustee,
at any time and from time to time, may enter into one or more indentures supplemental hereto, in
form satisfactory to the Trustee, for any one or more of or all the following purposes:

     (a) to add to the covenants and agreements of the Company, to be observed thereafter and
during the period, if any, in such supplemental indenture or indentures expressed, and to add
Events of Default, in each case for the protection or benefit of the Holders of all or any series
of the Securities (and if such covenants, agreements and Events of Default are to be for the
benefit of fewer than all series of Securities, stating that such covenants, agreements and Events
of Default are expressly being included for the benefit of such series as shall be identified
therein), or to surrender any right or power herein conferred upon the Company;

     (b) to delete or modify any Events of Default with respect to all or any series of the
Securities, the form and terms of which are being established pursuant to such supplemental
indenture as permitted in Section 3.01 (and, if any such Event of Default is applicable to fewer
than all such series of the Securities, specifying the series to which such Event of Default is
applicable), and to specify the rights and remedies of the Trustee and the Holders of such
Securities in connection therewith;

     (c) to add to or change any of the provisions of this Indenture to provide, change or
eliminate any restrictions on the payment of principal of or premium, if any, on Securities;
provided that any such action shall not adversely affect the interests of the Holders of Securities
of any series in any material respect;

     (d) to change or eliminate any of the provisions of this Indenture; provided that any such
change or elimination shall become effective only when there is no Outstanding Security of any
series created prior to the execution of such supplemental indenture that is entitled to the
benefit of such provision and as to which such supplemental indenture would apply;

     (e) to evidence the succession of another corporation to the Company, or successive
successions, and the assumption by such successor of the covenants and obligations of the Company
contained in the Securities of one or more series and in this Indenture or any supplemental
indenture;

     (f) to evidence and provide for the acceptance of appointment hereunder by a successor Trustee
with respect to one or more series of Securities and to add to or change any of the provisions of
this Indenture as shall be necessary for or facilitate the administration of the trusts hereunder
by more than one Trustee, pursuant to the requirements of Section 11.06(c);

     (g) to secure any series of Securities;

     (h) to evidence any changes to this Indenture pursuant to Sections 11.05, 11.06 or 11.07
hereof as permitted by the terms thereof;

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     (i) to cure or reform any ambiguity mistake, manifest error, omission, defect or
inconsistency, or to conform the text of any provision herein or in any indenture supplemental
hereto to any description thereof in the applicable section of a prospectus, prospectus supplement
or other offering document that was intended to be a verbatim recitation of a provision of this
Indenture of any indenture supplemental hereto;

     (j) to add to or change or eliminate any provision of this Indenture as shall be necessary or
desirable in accordance with any amendments to the Trust Indenture Act;

     (k) to add guarantors or co-obligors with respect to any series of Securities;

     (l) to make any change in any series of Securities that does not adversely affect in any
material respect the interests of the Holders of such Securities;

     (m) to provide for uncertificated securities in addition to certificated securities;

     (n) to supplement any of the provisions of this Indenture to such extent as shall be necessary
to permit or facilitate the defeasance and discharge of any series of Securities; provided that any
such action shall not adversely affect the interests of the Holders of Securities of such series or
any other series of Securities;

     (o) to prohibit the authentication and delivery of additional series of Securities; or

     (p) to establish the form and terms of Securities of any series as permitted in Section 3.01,
or to authorize the issuance of additional Securities of a series previously authorized or to add
to the conditions, limitations or restrictions on the authorized amount, terms or purposes of
issue, authentication or delivery of the Securities of any series, as herein set forth, or other
conditions, limitations or restrictions thereafter to be observed.

     Subject to the provisions of Section 14.03, the Trustee is authorized to join with the Company
in the execution of any such supplemental indenture, to make the further agreements and
stipulations which may be therein contained and to accept the conveyance, transfer, assignment,
mortgage or pledge of any property or assets thereunder.

     Any supplemental indenture authorized by the provisions of this Section 14.01 may be executed
by the Company and the Trustee without the consent of the Holders of any of the Securities at the
time Outstanding, notwithstanding any of the provisions of Section 14.02.

     Section 14.02 With Consent of Securityholders; Limitations.

     (a) With the consent of the Holders (evidenced as provided in Article VIII) of a majority in
aggregate principal amount of the Outstanding Securities of each series affected by such
supplemental indenture voting separately, the Company and the Trustee may, from time to time and at
any time, enter into an indenture or indentures supplemental hereto for the purpose of adding any
provisions to or changing in any manner or eliminating any provisions of this Indenture or of
modifying in any manner the rights of the Holders of the Securities of such series to be affected;
provided, however, that no such supplemental indenture shall, without the consent of the Holder of
each Outstanding Security of each such series affected thereby,

     (i) extend the Stated Maturity of the principal of, or any installment of interest on, any
Security, or reduce the principal amount thereof or the interest thereon or any premium payable
upon redemption thereof, or extend the Stated Maturity of, or change the Currency in which the
principal of and premium, if any, or interest on such Security is denominated or payable, or
reduce the amount of the principal of an Original Issue Discount Security that would be due and
payable upon a declaration of acceleration of the Maturity thereof pursuant to Section 7.02, or
impair the right to institute suit for the enforcement of any payment on or after the Stated
Maturity thereof (or, in the case of redemption, on or after the Redemption Date), or
materially adversely affect the economic terms of any right to convert or exchange any Security
as may be provided pursuant to Section 3.01; or

     (ii) reduce the percentage in principal amount of the Outstanding Securities of any
series, the consent of whose Holders is required for any supplemental indenture, or the consent
of whose Holders is required for any waiver of compliance with certain provisions of this
Indenture or certain Defaults hereunder and their consequences provided for in this Indenture;
or

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     (iii) modify any of the provisions of this Section, Section 7.06 or Section 6.06, except
to increase any such percentage or to provide that certain other provisions of this Indenture
cannot be modified or waived without the consent of the Holder of each Outstanding Security
affected thereby; provided, however, that this clause shall not be deemed to require the
consent of any Holder with respect to changes in the references to “the Trustee” and
concomitant changes in this Section and Section 6.06, or the deletion of this proviso, in
accordance with the requirements of Sections 11.06 and 14.01(f); or

     (iv) modify, without the written consent of the Trustee, the rights, duties or immunities
of the Trustee.

     (b) A supplemental indenture that changes or eliminates any provision of this Indenture which
has expressly been included solely for the benefit of one or more particular series of Securities
or which modifies the rights of the Holders of Securities of such series with respect to such
covenant or other provision, shall be deemed not to affect the rights under this Indenture of the
Holders of Securities of any other series.

     (c) It shall not be necessary for the consent of the Securityholders under this Section 14.02
to approve the particular form of any proposed supplemental indenture, but it shall be sufficient
if such consent shall approve the substance thereof.

     (d) The Company may set a record date for purposes of determining the identity of the Holders
of each series of Securities entitled to give a written consent or waive compliance by the Company
as authorized or permitted by this Section. Such record date shall not be more than 30 days prior
to the first solicitation of such consent or waiver or the date of the most recent list of Holders
furnished to the Trustee prior to such solicitation pursuant to Section 312 of the Trust Indenture
Act.

     (e) Promptly after the execution by the Company and the Trustee of any supplemental indenture
pursuant to the provisions of this Section 14.02, the Company shall mail a notice, setting forth in
general terms the substance of such supplemental indenture, to the Holders of Securities at their
addresses as the same shall then appear in the Register of the Company. Any failure of the Company
to mail such notice, or any defect therein, shall not, however, in any way impair or affect the
validity of any such supplemental indenture.

     Section 14.03 Trustee Protected. Upon the request of the Company, accompanied by the
Officer’s Certificate and Opinion of Counsel required by Section 17.01 stating that the execution
of such supplemental indenture is authorized or permitted by this Indenture, and evidence
reasonably satisfactory to the Trustee of consent of the Holders if the supplemental indenture is
to be executed pursuant to Section 14.02, the Trustee shall join with the Company in the execution
of said supplemental indenture unless said supplemental indenture affects the Trustee’s own rights,
duties or immunities under this Indenture or otherwise, in which case the Trustee may in its
discretion, but shall not be obligated to, enter into said supplemental indenture. The Trustee
shall be fully protected in relying upon such Officer’s Certificate and an Opinion of Counsel.

     Section 14.04 Effect of Execution of Supplemental Indenture. Upon the execution of any
supplemental indenture pursuant to the provisions of this Article XIV, this Indenture shall be
deemed to be modified and amended in accordance therewith and, except as herein otherwise expressly
provided, the respective rights, limitations of rights, obligations, duties and immunities under
this Indenture of the Trustee, the Company and the Holders of all of the Securities or of the
Securities of any series affected, as the case may be, shall thereafter be determined, exercised
and enforced hereunder subject in all respects to such modifications and amendments, and all the
terms and conditions of any such supplemental indenture shall be and be deemed to be part of the
terms and conditions of this Indenture for any and all purposes.

     Section 14.05 Notation on or Exchange of Securities. Securities of any series
authenticated and delivered after the execution of any supplemental indenture pursuant to the
provisions of this Article may bear a notation in the form approved by the Trustee as to any matter
provided for in such supplemental indenture. If the Company or the Trustee shall so determine, new
Securities so modified as to conform, in the opinion of the Trustee and the Board of Directors of
the Company, to any modification of this Indenture contained in any such supplemental indenture may
be prepared and executed by the Company and authenticated and delivered by the Trustee in exchange
for the Securities then Outstanding in equal aggregate principal amounts, and such exchange shall
be made without cost to the Holders of the Securities.

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     Section 14.06 Conformity with TIA. Every supplemental indenture executed pursuant to
the provisions of this Article shall conform to the requirements of the Trust Indenture Act as then
in effect.

ARTICLE XV

SUBORDINATION OF SECURITIES

     Section 15.01 Agreement to Subordinate. In the event a series of Securities is
designated as subordinated pursuant to Section 3.01, and except as otherwise provided in a Company
Order or in one or more indentures supplemental hereto, the Company, for itself, its successors and
assigns, covenants and agrees, and each Holder of Securities of such series by his, her or its
acceptance thereof, likewise covenants and agrees, that the payment of the principal of (and
premium, if any) and interest, if any, on each and all of the Securities of such series is hereby
expressly subordinated, to the extent and in the manner hereinafter set forth, in right of payment
to the prior payment in full of all Senior Indebtedness. In the event a series of Securities is not
designated as subordinated pursuant to Section 3.01(s), this Article XV shall have no
effect upon the Securities.

     Section 15.02 Distribution on Dissolution, Liquidation and Reorganization; Subrogation of
Securities. Subject to Section 15.01, upon any distribution of assets of the Company upon any
dissolution, winding up, liquidation or reorganization of the Company, whether in bankruptcy,
insolvency, reorganization or receivership proceedings or upon an assignment for the benefit of
creditors or any other marshalling of the assets and liabilities of the Company or otherwise
(subject to the power of a court of competent jurisdiction to make other equitable provision
reflecting the rights conferred in this Indenture upon the Senior Indebtedness and the holders
thereof with respect to the Securities and the holders thereof by a lawful plan of reorganization
under applicable bankruptcy law):

     (a) the holders of all Senior Indebtedness shall be entitled to receive payment in full of the
principal thereof (and premium, if any) and interest due thereon before the Holders of the
Securities are entitled to receive any payment upon the principal (or premium, if any) or interest,
if any, on Indebtedness evidenced by the Securities; and

     (b) any payment or distribution of assets of the Company of any kind or character, whether in
cash, property or securities, to which the Holders of the Securities or the Trustee would be
entitled except for the provisions of this Article XV shall be paid by the liquidation trustee or
agent or other Person making such payment or distribution, whether a trustee in bankruptcy, a
receiver or liquidating trustee or otherwise, directly to the holders of Senior Indebtedness or
their representative or representatives or to the trustee or trustees under any indenture under
which any instruments evidencing any of such Senior Indebtedness may have been issued, ratably
according to the aggregate amounts remaining unpaid on account of the principal of (and premium, if
any) and interest on the Senior Indebtedness held or represented by each, to
the extent necessary to make payment in full of all Senior Indebtedness remaining unpaid, after
giving effect to any concurrent payment or distribution to the holders of such Senior
Indebtedness; and

     (c) in the event that, notwithstanding the foregoing, any payment or distribution of assets of
the Company of any kind or character, whether in cash, property or securities prohibited by the
foregoing, shall be received by the Trustee or the Holders of the Securities before all Senior
Indebtedness is paid in full, such payment or distribution shall be paid over, upon written notice
to a Responsible Officer of the Trustee, to the holder of such Senior Indebtedness or his, her or
its representative or representatives or to the trustee or trustees under any indenture under which
any instrument evidencing any of such Senior Indebtedness may have been issued, ratably as
aforesaid, as calculated by the Company, for application to payment of all Senior Indebtedness
remaining unpaid until all such Senior Indebtedness shall have been paid in full, after giving
effect to any concurrent payment or distribution to the holders of such Senior Indebtedness.

     (d) Subject to the payment in full of all Senior Indebtedness, the Holders of the Securities
shall be subrogated to the rights of the holders of Senior Indebtedness (to the extent that
distributions otherwise payable to such holder have been applied to the payment of Senior
Indebtedness) to receive payments or distributions of cash, property or securities of the Company
applicable to Senior Indebtedness until the principal of (and premium, if any) and interest, if
any, on the Securities shall be paid in full and no such payments or distributions to the Holders
of the Securities of cash, property or securities otherwise distributable to the holders of Senior
Indebtedness shall, as between the Company, its creditors other than the holders of Senior
Indebtedness, and the Holders of the Securities be deemed to be a payment by the Company to or on
account of the Securities. It is understood that the provisions of this Article XV are and are
intended solely for the purpose of defining the relative rights of the Holders of the Securities,
on the one hand, and the holders of the Senior Indebtedness, on the other hand. Nothing contained
in this Article XV or elsewhere in this Indenture or in the Securities is intended to or shall
impair, as between the Company, its creditors other than the holders of Senior Indebtedness, and
the Holders of the Securities, the obligation of the Company, which is unconditional and absolute,
to pay to the Holders of the

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Securities the principal of (and premium, if any) and interest, if any, on the Securities as
and when the same shall become due and payable in accordance with their terms, or to affect the
relative rights of the Holders of the Securities and creditors of the Company other than the
holders of Senior Indebtedness, nor shall anything herein or in the Securities prevent the Trustee
or the Holder of any Security from exercising all remedies otherwise permitted by applicable law
upon default under this Indenture, subject to the rights, if any, under this Article XV of the
holders of Senior Indebtedness in respect of cash, property or securities of the Company received
upon the exercise of any such remedy.

     Upon any payment or distribution of assets of the Company referred to in this Article XV, the
Trustee, subject to the provisions of Section 15.05, shall be entitled to conclusively rely upon a
certificate of the liquidating trustee or agent or other person making any distribution to the
Trustee for the purpose of ascertaining the Persons entitled to participate in such distribution,
the holders of Senior Indebtedness and other indebtedness of the Company, the amount thereof or
payable thereon, the amount or amounts paid or distributed thereof and all other facts pertinent
thereto or to this Article XV.

     Section 15.03 No Payment on Securities in Event of Default on Senior Indebtedness.
Subject to Section 15.01, no payment by the Company on account of principal (or premium, if any),
sinking funds or interest, if any, on the Securities shall be made at anytime if: (i) a default on
Senior Indebtedness exists that permits the holders of such Senior Indebtedness to accelerate its
maturity and (ii) the default is the subject of judicial proceedings or the Company has received
notice of such default. The Company may resume payments on the Securities when full payment of
amounts then due for principal (premium, if any), sinking funds and interest on Senior Indebtedness
has been made or duly provided for in money or money’s worth.

     In the event that, notwithstanding the foregoing, any payment shall be received by the Trustee
when such payment is prohibited by the preceding paragraph of this Section 15.03, such payment
shall be held in trust for the benefit of, and shall be paid over or delivered to, the holders of
such Senior Indebtedness or their respective representatives, or to the trustee or trustees under
any indenture pursuant to which any of such Senior Indebtedness may have been issued, as their
respective interests may appear, as calculated by the Company, but only to the extent that the
holders of such Senior Indebtedness (or their representative or representatives or a trustee)
notify the Trustee in writing within 90 days of such payment of the amounts then due and owing on
such Senior Indebtedness and only the amounts specified in such
notice to the Trustee shall be paid to the holders of such Senior Indebtedness.

     Section 15.04 Payments on Securities Permitted. Subject to Section 15.01, nothing
contained in this Indenture or in any of the Securities shall (a) affect the obligation of the
Company to make, or prevent the Company from making, at any time except as provided in Sections
15.02 and 15.03, payments of principal of (or premium, if any) or interest, if any, on the
Securities or (b) prevent the application by the Trustee of any moneys or assets deposited with it
hereunder to the payment of or on account of the principal of (or premium, if any) or interest, if
any, on the Securities, unless a Responsible Officer of the Trustee shall have received at its
Corporate Trust Office written notice of any fact prohibiting the making of such payment from the
Company or from the holder of any Senior Indebtedness or from the trustee for any such holder,
together with proof satisfactory to the Trustee of such holding of Senior Indebtedness or of the
authority of such trustee more than two Business Days prior to the date fixed for such payment.

     Section 15.05 Authorization of Securityholders to Trustee to Effect Subordination.
Subject to Section 15.01, each Holder of Securities by his acceptance thereof authorizes and
directs the Trustee on his, her or its behalf to take such action as may be necessary or
appropriate to effectuate the subordination as provided in this Article XV and appoints the Trustee
his attorney-in-fact for any and all such purposes.

     Section 15.06 Notices to Trustee. The Company shall give prompt written notice to a
Responsible Officer of the Trustee of any fact known to the Company that would prohibit the making
of any payment of monies or assets to or by the Trustee in respect of the Securities of any series
pursuant to the provisions of this Article XV. Subject to Section 15.01, notwithstanding the
provisions of this Article XV or any other provisions of this Indenture, neither the Trustee nor
any Paying Agent (other than the Company) shall be charged with knowledge of the existence of any
Senior Indebtedness or of any fact which would prohibit the making of any payment of moneys or
assets to or by the Trustee or such Paying Agent, unless and until a Responsible Officer of the
Trustee or such Paying Agent shall have received (in the case of a
Responsible Officer of the Trustee, at the Corporate Trust Office of the Trustee) written notice
thereof from the Company or from the holder of any Senior Indebtedness or from the trustee for any
such holder, together with proof satisfactory to the Trustee of such holding of Senior Indebtedness
or of the authority of such trustee and, prior to the receipt of any such written notice, the
Trustee shall be entitled in all respects conclusively to presume that no such facts exist;
provided, however, that if at least two Business Days prior to the date upon which by the terms
hereof any such moneys or assets

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may become payable for any purpose (including, without limitation, the payment of either the
principal (or premium, if any) or interest, if any, on any Security) a Responsible Officer of the
Trustee shall not have received with respect to
such moneys or assets the notice provided for in this Section 15.06, then, anything herein
contained to the contrary notwithstanding, the Trustee shall have full power and authority to
receive such moneys or assets and to apply the same to the purpose for which they were received,
and shall not be affected by any notice to the contrary which may be received by it within two
Business Days prior to such date. The Trustee shall be entitled to rely on the delivery to it of a
written notice by a Person representing himself to be a holder of Senior Indebtedness (or a trustee
on behalf of such holder) to establish that such a notice has been given by a holder of Senior
Indebtedness or a trustee on behalf of any such holder. In the event that the Trustee determines in
good faith that further evidence is required with respect to the right of any Person as a holder of
Senior Indebtedness to participate in any payment or distribution pursuant to this Article XV, the
Trustee may request such Person to furnish evidence to the reasonable satisfaction of the Trustee
as to the amount of Senior Indebtedness held by such Person, the extent to which such Person is
entitled to participate in such payment or distribution and any other facts pertinent to the rights
of such Person under this Article XV and, if such evidence is not furnished, the Trustee may defer
any payment to such Person pending judicial determination as to the right of such Person to receive
such payment.

     Section 15.07 Trustee as Holder of Senior Indebtedness. Subject to Section 15.01, the
Trustee in its individual capacity shall be entitled to all the rights set forth in this Article XV
in respect of any Senior Indebtedness at any time held by it to the same extent as any other holder
of Senior Indebtedness and nothing in this Indenture shall be construed to deprive the Trustee of
any of its rights as such holder. Nothing in this Article XV shall apply to claims of, or payments
to, the Trustee under or pursuant to Sections 7.05 or 11.01.

     Section 15.08 Modifications of Terms of Senior Indebtedness. Subject to Section 15.01,
any renewal or extension of the time of payment of any Senior Indebtedness or the exercise by the
holders of Senior Indebtedness of any of their rights under any instrument creating or evidencing
Senior Indebtedness, including, without limitation, the waiver of default thereunder, may be made
or done all without notice to or assent from the Holders of the Securities or the Trustee. No
compromise, alteration, amendment, modification, extension, renewal or other change of, or waiver,
consent or other action in respect of, any liability or obligation under or in respect of, or of
any of the terms, covenants or conditions of any indenture or other instrument under which any
Senior Indebtedness is outstanding or of such Senior Indebtedness,
whether or not such release is in accordance with the provisions of any applicable document, shall
in any way alter or affect any of the provisions of this Article XV or of the Securities relating
to the subordination thereof.

     Section 15.09 Reliance on Judicial Order or Certificate of Liquidating Agent. Subject
to Section 15.01, upon any payment or distribution of assets of the Company referred to in this
Article XV, the Trustee and the Holders of the Securities shall be entitled to conclusively rely
upon any order or decree entered by any court of competent jurisdiction in which such insolvency,
bankruptcy, receivership, liquidation, reorganization, dissolution, winding up or similar case or
proceeding is pending, or a certificate of the trustee in bankruptcy, liquidating trustee,
custodian, receiver, assignee for the benefit of creditors, agent or other person making such
payment or distribution, delivered to the Trustee or to the Holders of Securities, for the purpose
of ascertaining the Persons entitled to participate in such payment or distribution, the
holders of Senior Indebtedness and other indebtedness of the Company, the amount thereof or payable
thereon, the amount or amounts paid or distributed thereon and all other facts pertinent thereto or
to this Article XV.

     Section 15.10 Satisfaction and Discharge; Defeasance and Covenant Defeasance. Subject
to Section 15.01, amounts and U.S. Government Obligations deposited in trust with the Trustee
pursuant to and in accordance with Article XII and not, at the time of such deposit, prohibited to
be deposited under Sections 15.02 or 15.03 shall not be subject to this Article XV.

     Section 15.11 Trustee Not Fiduciary for Holders of Senior Indebtedness. With respect
to the holders of Senior Indebtedness, the Trustee undertakes to perform or observe only such of
its covenants and obligations as are specifically set forth in this Article XV, and no implied
covenants or obligations with respect to the holders of Senior Indebtedness shall be read into this
Indenture against the Trustee. The Trustee shall not be deemed to owe any fiduciary duty to the
holders of Senior Indebtedness. The Trustee shall not be liable to any such holder if it shall pay
over or distribute to or on behalf of Holders of Securities or the Company, or any other Person,
moneys or assets to which any holder of Senior Indebtedness shall be entitled by virtue of this
Article XV or otherwise.

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ARTICLE XVI

GUARANTEES

     Section 16.01. Guarantees.

     (a) Any series of Securities may be guaranteed by one or more of the Guarantors. The terms
and the form of any such guarantee will be established in the manner contemplated by Section 3.01
for that particular series of Securities. Notwithstanding any provision of this Article to the
contrary, the provisions of this Article shall be applicable only to, and inure solely to the
benefit of, the Securities of any series designated, pursuant to Section 3.01, as entitled to the
benefits of the guarantee of each of the Guarantors.

     (b) For value received, each of the Guarantors hereby fully, unconditionally and absolutely
guarantees to the Holders and to the Trustee the due and punctual payment of the principal of, and
premium, if any, and interest on the Securities and all other amounts due and payable under this
Indenture and the Securities by the Company, when and as such principal, premium, if any, and
interest shall become due and payable, whether at the stated maturity or by declaration of
acceleration, call for redemption or otherwise, according to the terms of the Securities and this
Indenture, subject to the limitations set forth in Section 16.03.

     (c) Failing payment when due of any amount guaranteed pursuant to the guarantee, for whatever
reason, each of the Guarantors will be jointly and severally obligated to pay the same immediately.
The guarantee hereunder is intended to be a general, unsecured, senior obligation of each of the
Guarantors and will rank pari passu in right of payment with all debt of such Guarantor that is
not, by its terms, expressly subordinated in right of payment to the guarantee. Each of the
Guarantors hereby agrees that its obligations hereunder shall be full, unconditional and absolute,
irrespective of the validity, regularity or enforceability of the Securities, the guarantee
(including the guarantee of any other Guarantor) or this Indenture, the absence of any action to
enforce the same, any waiver or consent by any Holder of the Securities with respect to any
provisions hereof or thereof, the recovery of any judgment against the Company or any other
Guarantor, or any action to enforce the same or any other circumstances which might otherwise
constitute a legal or equitable discharge or defense of the Guarantors. Each of the Guarantors
hereby agrees that in the event of a default in payment of the principal of, or premium, if any, or
interest on the Securities, whether at the Stated Maturity or by declaration of acceleration, call
for redemption or otherwise, legal proceedings may be instituted by the Trustee on behalf of the
Holders or, subject to Section 7.07, by the Holders, on the terms and conditions set forth in this
Indenture, directly against such Guarantor to enforce the Guarantee without first proceeding
against the Company or any other Guarantor.

     (d) The obligations of each of the Guarantors under this Article shall be as aforesaid full,
unconditional and absolute and shall not be impaired, modified, released or limited by any
occurrence or condition whatsoever, including, without limitation, (A) any compromise, settlement,
release, waiver, renewal, extension, indulgence or modification of, or any change in, any of the
obligations and liabilities of the Company or any of the Guarantors contained in the Securities or
this Indenture, (B) any impairment, modification, release or limitation of the liability of the
Company, any of the Guarantors or either of their estates in bankruptcy, or any remedy for the
enforcement thereof, resulting from the operation of any present or future provision of any
applicable bankruptcy law, or other statute or from the decision of any court, (C) the assertion or
exercise by the Company, any of the Guarantors or the Trustee of any rights or remedies under the
Securities or this Indenture or their delay in or failure to assert or exercise any such rights or
remedies, (D) the assignment or the purported assignment of any property as security for the
Securities, including all or any part of the rights of the Company or any of the Guarantors under
this Indenture, (E) the extension of the time for payment by the Company or any of the Guarantors
of any payments or other sums or any part thereof owing or payable under any of the terms and
provisions of the Securities or this Indenture or of the time for performance by the Company or any
of the Guarantors of any other obligations under or arising out of any such terms and provisions or
the extension or the renewal of any thereof, (F) the modification or amendment (whether material or
otherwise) of any duty, agreement or obligation of the Company or any of the Guarantors set forth
in this Indenture, (G) the voluntary or involuntary liquidation, dissolution, sale or other
disposition of all or substantially all of the assets, marshaling of assets and liabilities,
receivership, insolvency, bankruptcy, assignment for the benefit of creditors, reorganization,
arrangement, composition or readjustment of, or other similar proceeding affecting, the Company or
any of the Guarantors or any of their respective assets, or the disaffirmance of the

47

 

Securities, the guarantee or this Indenture in any such proceeding, (H) the release or
discharge of the Company or any of the Guarantors from the performance or observance of any
agreement, covenant, term or condition contained in any of such instruments by operation of law,
(I) the unenforceability of the Securities, the guarantee or this Indenture or (J) any other
circumstances (other than payment in full or discharge of all amounts guaranteed pursuant to the
guarantee) which might otherwise constitute a legal or equitable discharge of a surety or
Guarantor.

     (e) Each of the Guarantors hereby (A) waives diligence, presentment, demand of payment,
filing of claims with a court in the event of the merger, insolvency or bankruptcy of the Company
or any of the Guarantors, and all demands whatsoever, (B) acknowledges that any agreement,
instrument or document evidencing the guarantee may be transferred and that the benefit of its
obligations hereunder shall extend to each holder of any agreement, instrument or document
evidencing the guarantee without notice to it and (C) covenants that the guarantee will not be
discharged except by complete performance of the guarantee. Each of the Guarantors further agrees
that if at any time all or any part of any payment theretofore applied by any Person to the
guarantee is, or must be, rescinded or returned for any reason whatsoever, including without
limitation, the insolvency, bankruptcy or reorganization of the Company or any of the Guarantors,
the guarantee shall, to the extent that such payment is or must be rescinded or returned, be deemed
to have continued in existence notwithstanding such application, and the guarantee shall continue
to be effective or be reinstated, as the case may be, as though such application had not been made.

     (f) Each of the Guarantors shall be subrogated to all rights of the Holders and the Trustee
against the Company in respect of any amounts paid by such Guarantor pursuant to the provisions of
this Indenture, provided, however, that such Guarantor, shall not be entitled to enforce or to
receive any payments arising out of, or based upon, such right of subrogation until all of the
Securities and the guarantee shall have been paid in full or discharged.

     Section 16.02. Execution and Delivery of Guarantee. To further evidence the guarantee
set forth in Section 16.01, each of the Guarantors hereby agrees that a notation relating to such
guarantee shall be endorsed on each Security entitled to the benefits of the guarantee
authenticated and delivered by the Trustee and executed by either manual or facsimile signature of
an officer of such Guarantor, or in the case of a Guarantor that is a limited partnership, an
officer of the general partner of each Guarantor. Each of the Guarantors hereby agrees that the
guarantee set forth in Section 16.01 shall remain in full force and effect notwithstanding any
failure to endorse on each Security a notation relating to the guarantee. If any officer of the
Guarantor, or in the case of a Guarantor that is a limited partnership, any officer of the general
partner of the Guarantor, whose signature is on this Indenture or a Security no longer holds that
office at the time the Trustee authenticates such Security or at any time thereafter, the guarantee
of such Security shall be valid nevertheless. The delivery of any Security by the Trustee, after
the authentication thereof hereunder, shall constitute due delivery of the guarantee set forth in
this Indenture on behalf of the Guarantors. The Trustee hereby accepts the trusts in this
Indenture upon the terms and conditions herein set forth.

     Section 16.03. Limitation on Guarantors’ Liability. Each Guarantor and by its
acceptance hereof each Holder of a Security entitled to the benefits of the guarantee hereby
confirm that it is the intention of all such parties that the guarantee by such Guarantor pursuant
to its guarantee not constitute a fraudulent transfer or conveyance for purposes of any Federal or
state law. To effectuate the foregoing intention, the Holders of a Security entitled to the
benefits of the guarantee and the Guarantors hereby irrevocably agree that the obligations of each
Guarantor under its guarantee shall be limited to the maximum amount as will, after giving effect
to all other contingent and fixed liabilities of such Guarantor and to any collections from or
payments made by or on behalf of any other Guarantor in respect of the obligations of such other
Guarantor under its guarantee, result in the obligations of such Guarantor under the guarantee not
constituting a fraudulent conveyance or fraudulent transfer under Federal or state law.

     Section 16.04. Release of Guarantors from Guarantee.

     (a) Notwithstanding any other provisions of this Indenture, the guarantee of any Guarantor
may be released upon the terms and subject to the conditions set forth in this Section 16.04.
Provided that no Default shall have occurred and shall be continuing under this Indenture, any
guarantee incurred by a Guarantor pursuant to this Article shall be unconditionally released and
discharged (i) automatically upon (A) any sale, exchange or transfer, whether by way of merger or
otherwise, to any Person that is not an Affiliate of the Company, of all of the Company’s direct

48

 

or indirect limited partnership or other equity interests in such Guarantor (provided such
sale, exchange or transfer is not prohibited by this Indenture) or (B) the merger of such Guarantor
into the Company or any other Guarantor or the liquidation and dissolution of such Guarantor (in
each case to the extent not prohibited by this Indenture) or (ii) following delivery of a written
notice of such release or discharge by the Company to the Trustee, upon the release or discharge of
all guarantees by such Guarantor of any debt of the Company other than obligations arising under
this Indenture and any Securities issued hereunder, except a discharge or release by or as a result
of payment under such guarantees.

     (b) The Trustee shall deliver an appropriate instrument evidencing any release of a Guarantor
from the guarantee upon receipt of a written request of the Company accompanied by an Officers’
Certificate and an Opinion of Counsel the Guarantor is entitled to such release in accordance with
the provisions of this Indenture. Any Guarantor not so released remains liable for the full amount
of principal of (and premium, if any, on) and interest on the Securities entitled to the benefits
of such guarantee as provided in this Indenture, subject to the limitations of Section 16.03.

     Section 16.05. Guarantor Contribution. In order to provide for just and equitable
contribution among the Guarantors, the Guarantors hereby agree, inter se, that in the event any
payment or distribution is made by any funding Guarantor under its guarantee, such Guarantor shall
be entitled to a contribution from each other Guarantor (if any) in a pro rata amount based on the
net assets of each Guarantor (including the funding Guarantor) for all payments, damages and
expenses incurred by that funding Guarantor in discharging the Company’s obligations with respect
to the Securities or any other Guarantor’s obligations with respect to its guarantee.

ARTICLE XVII

MISCELLANEOUS PROVISIONS

     Section 17.01 Certificates and Opinions as to Conditions Precedent.

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

     (b) Each certificate or opinion provided for in this Indenture and delivered to the Trustee
with respect to compliance with a condition or covenant provided for in this Indenture (other than
the certificates provided pursuant to Section 6.05 of this Indenture) shall include (i) a statement
that the Person giving such certificate or opinion has read such covenant or condition; (ii) a
brief statement as to the nature and scope of the examination or investigation upon which the
statements or opinions contained in such certificate or opinion are based; (iii) a statement that,
in the view or opinion of such Person, he or she has made such examination or investigation as is
necessary to enable such Person to express an informed view or opinion as to whether or not such
covenant or condition has been complied with; and (iv) a statement as to whether or not, in the
view or opinion of such Person, such condition or covenant has been complied with.

     (c) Any certificate, statement or opinion of an officer of the Company may be based, insofar
as it relates to legal matters, upon a certificate or opinion of, or representations by, counsel,
unless such officer knows, or in the exercise of reasonable care should know, that the certificate
or opinion or representations with respect to the matters upon which his or her certificate,
statement or opinion is based are erroneous. Any certificate, statement or opinion of counsel may
be based, insofar as it relates to factual matters, upon a certificate, statement or opinion of, or
representations by, an officer or officers of the Company stating that the information with respect
to such factual matters is in the possession of the Company, unless such counsel knows, or in the
exercise of reasonable care should know, that the certificate, statement or opinion or
representations with respect to such matters are erroneous.

     (d) Any certificate, statement or opinion of an officer of the Company or of counsel to the
Company may be based, insofar as it relates to accounting matters, upon a certificate or opinion
of, or representations by, an

49

 

accountant or firm of accountants, unless such officer or counsel, as the case may be, knows,
or in the exercise of reasonable care should know, that the certificate or opinion or
representations with respect to the accounting matters upon which his or her certificate, statement
or opinion may be based are erroneous. Any certificate or opinion of any firm of independent
registered public accountants filed with the Trustee shall contain a statement that such firm is
independent.

     (e) In any case where several matters are required to be certified by, or covered by an
opinion of, any specified Person, it is not necessary that all such matters be certified by, or
covered by the opinion of, only one such Person, or that they be so certified or covered by only
one document, but one such Person may certify or give an opinion with respect to some matters and
one or more other such Persons as to other matters, and any such Person may certify or give an
opinion as to such matters in one or several documents.

     (f) Where any Person is required to make, give or execute two or more applications, requests,
consents, certificates, statements, opinions or other instruments under this Indenture, they may,
but need not, be consolidated and form one instrument.

     Section 17.02 Trust Indenture Act Controls. If and to the extent that any provision of
this Indenture limits, qualifies or conflicts with the duties imposed by, or another provision
included in this Indenture which is required to be included in this Indenture by any of the
provisions of Sections 310 to 318, inclusive, of the Trust Indenture Act, such imposed duties or
incorporated provision shall control.

     Section 17.03 Notices to the Company and Trustee. Any notice or demand authorized by
this Indenture to be made upon, given or furnished to, or filed with, the Company or the Trustee
shall be sufficiently made, given, furnished or filed for all purposes if it shall be mailed,
delivered or telefaxed to:

     (a) the Company, at 300 Granite Street, Suite 201 Braintree, Massachusetts 02184, Attention:
Chief Financial Officer, Facsimile No.: (781) 843-0615, or at such other address or facsimile
number as may have been furnished in writing to the Trustee by the Company.

     (b) the Trustee, at the Corporate Trust Office of the Trustee, Attention: Trust Administrator.

     Any such notice, demand or other document shall be in the English language.

     Section 17.04 Notices to Securityholders; Waiver. Any notice required or permitted to
be given to Securityholders shall be sufficiently given (unless otherwise herein expressly
provided),

     (a) if to Holders, if given in writing by first class mail, postage prepaid, to such Holders
at their addresses as the same shall appear on the Register of the Company.

     (b) In the event of suspension of regular mail service or by reason of any other cause it
shall be impracticable to give notice by mail, then such notification as shall be given with the
approval of the Trustee shall constitute sufficient notice for every purpose hereunder.

     (c) Where this Indenture provides for notice in any manner, such notice may be waived in
writing by the Person entitled to receive such notice, either before or after the event, and such
waiver shall be the equivalent of such notice. Waivers of notice by Holders shall be filed with the
Trustee, but such filing shall not be a condition precedent to the validity of any action taken in
reliance on such waiver. In any case where notice to Holders is given by mail; neither the failure
to mail such notice nor any defect in any notice so mailed to any particular Holder shall affect
the sufficiency of such notice with respect to other Holders, and any notice that is mailed in the
manner herein provided shall be conclusively presumed to have been duly given. In any case where
notice to Holders is given by publication, any defect in any notice so published as to any
particular Holder shall not affect the sufficiency of such notice with respect to other Holders,
and any notice that is published in the manner herein provided shall be conclusively presumed to
have been duly given.

     Section 17.05 Legal Holiday. Unless otherwise specified pursuant to Section 3.01, in
any case where any Interest Payment Date, Redemption Date or Maturity of any Security of any series
shall not be a Business Day at any Place of Payment for the Securities of that series, then payment
of principal and premium, if any, or interest need not be made at such Place of Payment on such
date, but may be made on the next succeeding Business Day at

50

 

such Place of Payment with the same force and effect as if made on such Interest Payment Date,
Redemption Date or Maturity and no interest shall accrue on such payment for the period from and
after such Interest Payment Date, Redemption Date or Maturity, as the case may be, to such Business
Day if such payment is made or duly provided for on such Business Day.

     Section 17.06 Effects of Headings and Table of Contents. The Article and Section
headings herein and the Table of Contents are for convenience only and shall not affect the
construction hereof.

     Section 17.07 Successors and Assigns. All covenants and agreements in this Indenture
by the parties hereto shall bind their respective successors and assigns and inure to the benefit
of their permitted successors and assigns, whether so expressed or not.

     Section 17.08 Separability Clause. In case any provision in this Indenture or in the
Securities shall be invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions shall not in any way be affected or impaired thereby.

     Section 17.09 Benefits of Indenture. Nothing in this Indenture expressed and nothing
that may be implied from any of the provisions hereof is intended, or shall be construed, to confer
upon, or to give to, any Person or corporation other than the parties hereto and their successors
and the Holders of the Securities any benefit or any right, remedy or claim under or by reason of
this Indenture or any covenant, condition, stipulation, promise or agreement hereof, and all
covenants, conditions, stipulations, promises and agreements in this Indenture contained shall be
for the sole and exclusive benefit of the parties hereto and their successors and of the Holders of
the Securities.

     Section 17.10 Counterparts Originals. This Indenture may be executed in any number of
counterparts, each of which so executed shall be deemed to be an original, but all such
counterparts shall together constitute but one and the same instrument.

     Section 17.11 Governing Law; Waiver of Trial by Jury. This Indenture, the Securities
and any related guarantee shall be deemed to be contracts made under the law of the State of New
York, and for all purposes shall be governed by and construed in accordance with the law of said
State.

     EACH PARTY HERETO, AND EACH HOLDER OF A SECURITY BY ACCEPTANCE THEREOF, HEREBY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF
ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS INDENTURE.

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

	 	 	 	 	 
	 	ALTRA HOLDINGS, INC.

as Issuer

 	 
	 	By:  	 	 
	 	Name:  	 
	 	Title:  	 	 
	 

	 	 	 	 	 
	 	[                    ]

as Trustee

 	 
	 	By:  	 	 
	 	Name:  	 	 
	 	Title:  	 	 
	 

51

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