Document:

FLUSHING SAVINGS BANK, FSB

EMPLOYMENT AGREEMENT

 

This EMPLOYMENT AGREEMENT (“Agreement”) is made and entered into as of the 15th day of May 2006, by and between Flushing Savings Bank, FSB, a savings bank organized and existing under Federal law and having its executive offices at 1979 Marcus Avenue, Suite E140, Lake Success, New York 11042 (the “Bank”), and Maria A. Grasso residing at <address on file> (“Officer”).

W I T N E S S E T H:

WHEREAS, the Bank considers the availability of the Officer’s services to be important to the successful management and conduct of the Bank’s business and desires to secure for itself the availability of her services; and

WHEREAS, for purposes of securing for the Bank the Officer’s services, the Board of Directors of the Bank (“Board”) has authorized the proper officers of the Bank to enter into an employment agreement with the Officer on the terms and conditions set forth herein; and

WHEREAS, the Officer is willing to make her services available to the Bank on the terms and conditions set forth herein;

NOW, THEREFORE, in consideration of the premises and the mutual covenants and obligations hereinafter set forth, the Bank and the Officer hereby agree as follows:

	
             
 	
            Section 1.
 	
            Employment.
 

The Bank hereby agrees to employ the Officer, and the Officer hereby agrees to accept such employment, during the period and upon the terms and conditions set forth in this Agreement.

	
             
 	
            Section 2.
 	
            Employment Period.
 

(a)          Except as otherwise provided in this Agreement to the contrary, the terms and conditions of this Agreement shall be and remain in effect during the period of employment (“Employment Period”) established under this section 2.  The Employment Period under this Agreement shall be for a term commencing on May 15, 2006 and ending on November 21, 2008, plus such extensions as are provided pursuant to section 2(b) of this Agreement.

(b)          On or as of July 1, 2006 and on or as of each July 1 thereafter, the Employment Period shall be extended for one additional year if and only if the Board shall have authorized the extension of the Employment Period prior to July 1 of such year and the Officer shall not have notified the Bank prior to July 1 of such year that the Employment Period shall not be so extended.  If the Board shall not have authorized the extension of the Employment Period 

 

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prior to July 1 of any such year, or if the Officer shall have given notice of nonextension to the Bank prior to July 1 of such year, then the Employment Period shall not be extended pursuant to this section 2(b) at any time thereafter and shall end on the last day of its term as then in effect.

(c)          Upon the termination of the Officer’s employment with the Bank, the extensions provided pursuant to section 2(b) shall cease (if such extensions have not previously ceased).

	
             
 	
            Section 3.
 	
            Title and Duties.
 

On the date on which the Employment Period commences, the Officer shall hold the position of Executive Vice President/Chief Operating Officer of the Bank.  During the Employment Period, the Officer shall:  (a) devote her full business time and attention (other than during weekends, holidays, vacation periods and periods of illness or approved leaves of absence) to the business and affairs of the Bank and use her best efforts to advance the Bank’s interests, including reasonable periods of service as an officer and/or board member of trade associations, their related entities and charitable organizations; and (b) perform such reasonable additional duties as may be assigned to him by or under the authority of the Board.  The Officer shall have such authority as is necessary or appropriate to carry out her duties under this Agreement.

	
             
 	
            Section 4.
 	
            Compensation.
 

In consideration for services rendered by the Officer under this Agreement:

 (a)          The Bank shall pay to the Officer a salary at an annual rate equal to the greater of (i) $250,000 or (ii) such higher annual rate as may be prescribed by or under the authority of the Board (the “Current Salary”).  The Officer will undergo an annual salary and performance review on or about June 30 of each year commencing in 2006.  The Current Salary payable under this section 4 shall be paid in approximately equal installments in accordance with the Bank’s customary payroll practices.

(b)          The Officer shall be eligible to participate in any bonus plan maintained by the Bank for its officers and employees.

	
             
 	
            Section 5.
 	
            Employee Benefits and Other Compensation.
 

(a)          Except as otherwise provided in this Agreement, the Officer shall, during the Employment Period, be treated as an employee of the Bank and be entitled to participate in and receive benefits under the Bank’s employee benefit plans and programs, as well as such other compensation plans or programs (whether or not employee benefit plans or programs), as the Bank may maintain from time to time, in accordance with the terms and conditions of such employee benefit plans and programs and compensation plans and programs and with the Bank’s customary practices.

 

 

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(b)          The Bank shall provide the Officer with a suitable automobile for use in the performance of the Officer’s duties hereunder and shall reimburse the Officer for all expenses incurred in connection therewith.

(c)          The Officer shall be entitled, without loss of pay, to vacation time in accordance with the policies periodically established by the Board for senior management officials of the Bank, which shall in no event be less than four weeks in each calendar year.  Except as provided in section 7(b), the Officer shall not be entitled to receive any additional compensation from the Bank on account of her failure to take a vacation, nor shall she be entitled to accumulate unused vacation from one calendar year to the next except to the extent authorized by the Board for senior management officials of the Bank.

	
             
 	
            Section 6.
 	
            Working Facilities and Expenses.
 

The Officer’s principal place of employment shall be at the offices of the Bank in Nassau County, New York or at such other location upon which the Bank and the Officer may mutually agree.  The Bank shall provide the Officer, at her principal place of employment, with a private office, stenographic services and other support services and facilities consistent with her position with the Bank and necessary or appropriate in connection with the performance of her duties under this Agreement.  The Bank shall reimburse the Officer for her ordinary and necessary business expenses, including, without limitation, travel and entertainment expenses, incurred in connection with the performance of her duties under this Agreement, upon presentation to the Bank of an itemized account of such expenses in such form as the Bank may reasonably require.

	
             
 	
            Section 7.
 	
            Termination with Bank Liability.
 

(a)          In the event that the Officer’s employment with the Bank shall terminate during the Employment Period on account of:

(i)           the Officer’s voluntary resignation from employment with the Bank within one year following an event that constitutes “Good Reason,” which is defined as:

(A)         the failure of the Bank to elect or to reelect the Officer to serve as its Executive Vice President/Chief Operating Officer or such other position as the Officer consents to hold;

(B)         the failure of the Bank to cure a material adverse change made by the Bank in the Officer’s functions, duties, or responsibilities in her position with the Bank within sixty days following written notice thereof from the Officer;

(C)         the failure of the Bank to maintain the Officer’s principal place of employment at its offices in Nassau County, New York or at such other location upon which the Bank and the Officer may mutually agree;

 

 

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(D)         the failure of the Board to extend the Employment Period within the times provided in section 2(b); provided, however, that such failure shall not constitute Good Reason until the earlier of 30 days after any determination by the Board that the Employment Period shall not be so extended or August 1 of such year;

(E)         the failure of the Bank to cure a material breach of this Agreement by the Bank within sixty days following written notice thereof from the Officer; or

(F)          after a Change of Control (as defined in Section 10), the failure of any successor company to the Bank to assume this Agreement.

(ii)          the discharge of the Officer by the Bank for any reason other than (A) for “Cause” as defined in section 8(b) or (B) the Officer’s death or “Disability” as defined in section 9(a); or 

(iii)        the Officer’s voluntary resignation from employment with the Bank for any reason within the sixty-day period commencing six months following a Change of Control, as defined in section 10;

then the Bank shall provide the benefits and pay to the Officer as liquidated damages the amounts provided for under section 7(b).

(b)          Upon the termination of the Officer’s employment with the Bank under circumstances described in section 7(a), the Bank shall pay and provide to the Officer:

(i)           her earned but unpaid Current Salary as of the date of termination, plus an amount representing any accrued but unpaid vacation time and floating holidays;

(ii)          if the Officer’s termination of employment occurs after a Change of Control, a pro rata portion of her bonus for the year of termination, determined by multiplying the amount of the bonus earned by the Officer for the preceding calendar year by the number of full months of employment during the year of termination, and dividing by 12.  If the Officer’s termination of employment occurs prior to a Change of Control, the Compensation Committee of the Bank may, in its sole discretion, award the Officer a bonus for the year of termination, in an amount determined by such Committee either at the time of termination of employment or at the time bonuses to active employees are awarded, which the Bank shall pay to the
Officer promptly after it has been awarded;

(iii)        the benefits, if any, to which she is entitled as a former employee under the Bank’s employee benefit plans and programs and compensation plans and programs;

 

 

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(iv)         continued health and welfare benefits (including group life, disability, medical and dental benefits), in addition to that provided pursuant to section 7(b)(iii), to the extent necessary to provide coverage for the Officer for the Severance Period (as defined in section 7(c)).  Such benefits shall be provided through the purchase of insurance, and shall be equivalent to the health and welfare benefits (including cost-sharing percentages) provided to active employees of the Bank (or any successor thereof) as from time to time in effect during the Severance Period.  Where the amount of such benefits is based on salary, they shall be provided to the Officer based on the highest annual rate of Current Salary achieved by the Officer
during the Employment Period.  If the Officer had dependent coverage in effect at the time of her termination of employment, she shall have the right to elect to continue such dependent coverage for the Severance Period.  The benefits to be provided under this paragraph (iv) shall cease to the extent that substantially equivalent benefits are provided to the Officer (and/or her dependents) by a subsequent employer of the Officer;

(v)          if the Officer is age 55 or older at the end of the Severance Period, she shall be entitled to elect coverage for himself and her dependents under the Bank’s retiree medical and retiree life insurance programs.  Such coverage, if elected, shall commence upon the expiration of the Severance Period, without regard to whether the Officer commences her pension benefit at such time, and shall continue for the life of each of the Officer and her spouse and for so long as any of her other covered dependents remain eligible.  The coverage and cost-sharing percentage of the Officer and her dependents under such programs shall be those in effect under such programs on the date of the Officer’s termination of employment with the Bank, and shall not be adversely modified
without the Officer’s written consent; and

(vi)         within thirty days following her termination of employment with the Bank, a cash lump sum payment in an amount equal to the Current Salary and bonus that the Officer would have earned pursuant to sections 4(a) and 4(b), respectively, if she had continued working for the Bank for the Severance Period (basing such bonus on the highest bonus, if any, paid to the Officer by the Bank under section 4(b) within the three-year period prior to the date of termination).

The lump sum payable pursuant to clause (vi) of this section 7(b) is to be paid in lieu of all other payments of Current Salary and bonus provided for under this Agreement relating to the period following any such termination and shall be payable without proof of damages and without regard to the Officer’s efforts, if any, to mitigate damages.  The Bank and the Officer hereby stipulate that the damages which may be incurred by the Officer following any such termination of employment are not capable of accurate measurement as of the date first above written and that the payments and benefits provided under this section 7(b) are reasonable under the circumstances as a combination of liquidated damages and severance benefits.  The Officer shall not be entitled to any payment under this Agreement to make up for benefits that would have been earned under the Bank’s Retirement Plan,
401(k) Savings Plan, and Supplemental Savings 

 

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Incentive Plan (SSIP), and the Flushing Financial Corporation (“Holding Company”) Stock-Based Profit Sharing Plan had she continued working for the Bank for the Severance Period.

	
             
 	
            (c)
 	
            For purposes of section 7, the Severance Period means:
 

	
             
 	
            (i)
 	
            in the case of termination of employment prior to November 15, 2006, a period of 6 months;
 

	
             
 	
            (ii)
 	
            in the case of termination of employment on or after November 15, 2006,  but prior to the second anniversary of this Agreement, a period of 12 months;
 

	
             
 	
            (iii)
 	
            in the case of termination of employment on or after the second anniversary of this Agreement, a period of 24 months; and
 

	
             
 	
            (iv)
 	
            notwithstanding clauses (i), (ii) and (iii) of this section 7(c), in the case of termination of employment after a Change of Control, a period of 24 months, without regard to the date of such termination of employment.
 

 

(d)          Notwithstanding any contrary provision in this section 7 or in section 8 or 9, to the extent necessary in order to avoid penalties under Section 409A of the Internal Revenue Code of 1986, as amended, payments scheduled to be paid upon termination of employment shall instead be paid six (6) months after termination of employment.

	
             
 	
            Section 8.
 	
            Termination for Cause or Voluntary 

Resignation Without Good Reason.
 

(a)          In the event that the Officer’s employment with the Bank shall terminate during the Employment Period on account of:

	
             
 	
            (i)
 	
            the discharge of the Officer by the Bank for Cause; or
 

	
             
 	
            (ii)
 	
            the Officer’s voluntary resignation from employment with the Bank for reasons other than those constituting a Good Reason; 
 

then the Bank shall have no further obligations under this Agreement, other than (A) the payment to the Officer of her earned but unpaid Current Salary as of the date of the termination of her employment; and (B) the provision of such other benefits, if any, to which she is entitled as a former employee under the Bank’s employee benefit plans and programs and compensation plans and programs.

(b)          For purposes of this Agreement, the term “Cause” means the Officer’s personal dishonesty, incompetence, willful misconduct, breach of fiduciary duty involving personal profit, intentional failure to perform stated duties, willful violation of any law, rule, or regulation (other than traffic violations or similar offenses) or final cease-and-desist order, or material breach of any provision of this Agreement.  

 

 

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            Section 9.
 	
            Disability or Death.
 

(a)          The Officer’s employment with the Bank may be terminated for “Disability” if the Officer shall become disabled or incapacitated during the Employment Period to the extent that she has been unable to perform the essential functions of her employment for 270 consecutive days, subject to the Officer’s right to receive from the Bank following her termination due to Disability the following percentages of her Current Salary under section 4 of this Agreement:  100% for the first six months, 75% for the next six months and 60% thereafter for the remaining term of the Employment Period (less in each case any benefits which may be payable to the Officer under the provisions of disability insurance coverage in effect for Bank employees).  

(b)          In the event that the Officer’s employment with the Bank shall terminate during the Employment Period on account of death, the Bank shall promptly pay the Officer’s designated beneficiaries or, failing any designation, her estate a cash lump sum payment equal to her earned but unpaid Current Salary.

(c)          In the event of the Officer’s termination of employment on account of death or Disability prior to a Change of Control, the Compensation Committee of the Bank may, in its sole discretion, award the Officer a bonus for the year of termination, in an amount determined by such Committee either at the time of termination of employment or at the time bonuses to active employees are awarded, in which case the Bank shall pay such bonus to the Officer or, in the event of death, her designated beneficiaries or estate, as the case may be, promptly after it is awarded.  In the event of the Officer’s termination of employment on account of death or Disability after a Change of Control, the Bank shall promptly pay the Officer or, in the event of death, her designated beneficiaries or estate,
as the case may be, a pro rata portion of her bonus for the year of termination, determined by multiplying the amount of the bonus earned by the Officer for the preceding calendar year by the number of full months of employment during the year of termination, and dividing by 12.

	
             
 	
            Section 10.
 	
            Change of Control.
 

For purposes of this Agreement, the term “Change of Control” means:

(a)          the acquisition of all or substantially all of the assets of the Bank or Flushing Financial Corporation (“Holding Company”) by any person or entity, or by any persons or entities acting in concert;

(b)          the occurrence of any event if, immediately following such event, a majority of the members of the Board of Directors of the Bank or the Holding Company or of any successor corporation shall consist of persons other than Current Members (for these purposes, a “Current Member” shall mean any member of the Board of Directors of the Bank or the Holding Company as of July 18, 2000 and any successor of a Current Member whose nomination or election has been approved by a majority of the Current Members then on the Board of Directors);

 

 

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(c)          the acquisition of beneficial ownership, directly or indirectly (as provided in Rule 13d-3 of the Securities Exchange Act of 1934 (the “Act”), or any successor rule), of 25% or more of the total combined voting power of all classes of stock of the Bank or the Holding Company by any person or group deemed a person under Section 13(d)(3) of the Act; or

(d)          approval by the stockholders of the Bank or the Holding Company of an agreement providing for the merger or consolidation of the Bank or the Holding Company with another corporation where the stockholders of the Bank or the Holding Company, immediately prior to the merger or consolidation, would not beneficially own, directly or indirectly, immediately after the merger or consolidation, shares entitling such stockholders to 50% or more of the total combined voting power of all classes of stock of the surviving corporation.

	
             
 	
            Section 11.
 	
            No Effect on Employee Benefit
Plans or Compensation Programs.

Except as expressly provided in this Agreement, the termination of the Officer’s employment during the term of this Agreement or thereafter, whether by the Bank or by the Officer, shall have no effect on the rights and obligations of the parties hereto under the Bank’s employee benefit plans or programs or compensation plans or programs (whether or not employee benefit plans or programs) that the Bank may maintain from time to time.

	
             
 	
            Section 12.
 	
            Successors and Assigns.
 

This Agreement will inure to the benefit of and be binding upon the Officer, her legal representatives and estate or intestate distributees, and the Bank and its successors and assigns, including any successor by merger or consolidation or a statutory receiver or any other person or firm or corporation to which all or substantially all of the assets and business of the Bank may be sold or otherwise transferred.

	
             
 	
            Section 13.
 	
            Notices.
 

Any communication to a party required or permitted under this Agreement, including any notice, direction, designation, consent, instruction, objection or waiver, shall be in writing and shall be deemed to have been given at such time as it is delivered personally, or five days after mailing if mailed, postage prepaid, by registered or certified mail, return receipt requested, addressed to such party at the address listed below or at such other address as one such party may by written notice specify to the other party:

 

 

 

 

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If to the Officer:

Maria A. Grasso

<Address on file> 

If to the Bank:

Flushing Savings Bank, FSB

1979 Marcus Avenue  Suite E140

Lake Success, New York  11042

Attention:  Secretary of the Bank

	
             
 	
            Section 14.
 	
            Severability.
 

A determination that any provision of this Agreement is invalid or unenforceable shall not affect the validity or enforceability of any other provision hereof.

	
             
 	
            Section 15.
 	
            Waiver.
 

Failure to insist upon strict compliance with any of the terms, covenants or conditions hereof shall not be deemed a waiver of such term, covenant, or condition.  A waiver of any provision of this Agreement must be made in writing, designated as a waiver, and signed by the party against whom its enforcement is sought.  Any waiver or relinquishment of any right or power hereunder at any one or more times shall not be deemed a waiver or relinquishment of such right or power at any other time or times.

	
             
 	
            Section 16.
 	
            Counterparts.
 

This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, and all of which shall constitute one and the same Agreement.

	
             
 	
            Section 17.
 	
            Governing Law.
 

This Agreement shall be governed by and construed and enforced in accordance with (i) the laws of the State of New York, without reference to conflicts of law principles, and (ii) Federal law, to the extent such law preempts New York law.

	
             
 	
            Section 18.
 	
            Headings.
 

The headings of sections in this Agreement are for convenience of reference only and are not intended to qualify the meaning of any section.  Any reference to a section number shall refer to a section of this Agreement, unless otherwise stated.

	
             
 	
            Section 19.
 	
            Entire Agreement; Modifications.
 

This instrument contains the entire agreement of the parties relating to the subject matter hereof and supersedes in its entirety any and all prior agreements, understandings or 

 

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representations relating to the subject matter hereof.  No modifications of this Agreement shall be valid unless made in writing and signed by the parties hereto.

	
             
 	
            Section 20.
 	
            Funding.
 

The Bank may elect in its sole discretion to fund all or part of its obligations to the Officer under this Agreement; provided, however, that should it elect to do so, all assets acquired by the Bank to fund its obligations shall be part of the general assets of the Bank and shall be subject to all claims of the Bank’s creditors.

	
             
 	
            Section 21.
 	
            Regulatory Action.
 

(a)          Notwithstanding any other provision of this Agreement to the contrary, this Section 21 shall apply at all times during the Employment Period.

(b)          If the Officer is suspended and/or temporarily prohibited from participating in the conduct of the affairs of the Bank by a notice served under 12 U.S.C. 1818(e)(3) and (g)(1), the Bank’s obligations to the Officer under this Agreement shall be suspended as of the date of such service unless such service is stayed by appropriate proceedings.  If the charges in such notice are dismissed, the Bank shall (i) pay the Officer all of the compensation withheld while the Bank’s obligations under this Agreement were so suspended, and (ii) reinstate in whole any of its obligations to the Officer which were suspended.

(c)          If the Officer is removed and/or permanently prohibited from participating in the conduct of the Bank’s affairs by an order issued under 12 U.S.C. 1818(e)(4) or (g)(1), all obligations of the Bank to the Officer under this Agreement shall terminate as of the effective date of the order, other than vested rights of the parties accrued as of such effective date, which shall not be affected.

(d)          If the Bank is in default (as defined in section 3(x)(1) of the Federal Deposit Insurance Act), all obligations of the Bank under this Agreement shall terminate as of the date of such default, but this Section 21(d) shall not affect any vested rights of the Officer accrued as of such date of default.

(e)          All obligations of the Bank under this Agreement shall be terminated, except to the extent it is determined that continuation of the Agreement is necessary to the continued operation of the Bank, (i) by the Regional Director of the Office of Thrift Supervision or his or her designee (“Director”) at the time the Federal Deposit Insurance Corporation or Resolution Trust Corporation enters into an agreement to provide assistance to or on behalf of the Bank under the authority contained in Section 13(c) of the Federal Deposit Insurance Act; or (ii) by the Director at the time the Director approves a supervisory merger to resolve problems related to operation of the Bank or when the Bank is determined by the Director to be in an unsafe or unsound condition; provided, however,
that this Section 21(e) shall not affect any vested rights of the Officer accrued as of such date of termination.

 

 

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(f)           Any payments made to the Officer pursuant to this Agreement or otherwise are subject to and conditioned upon their compliance with 12 U.S.C. § 1828(k) and any regulations promulgated thereunder.

 

IN WITNESS WHEREOF, the parties have signed this Agreement as of the day and year first above written.

 

FLUSHING SAVINGS BANK, FSB

By:                                          
                      

Name:  John R. Buran

	
             
 	
            Title:  
 	
            President & C.E.O.
 

                                          
                            

Maria A. GrassoExhibit 4.3

THIS NOTE IS A GLOBAL  NOTE  WITHIN THE  MEANING OF THE  INDENTURE  (HEREINAFTER
DEFINED)  AND IS  REGISTERED  IN THE NAME OF A  DEPOSITARY  (AS  DEFINED  IN THE
INDENTURE) OR A NOMINEE OF A DEPOSITARY. THIS NOTE IS NOT EXCHANGEABLE FOR NOTES
REGISTERED  IN THE NAME OF A PERSON  OTHER THAN THE  DEPOSITARY  OR ITS  NOMINEE
EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE,  AND NO TRANSFER
OF THIS NOTE (OTHER THAN A TRANSFER OF THIS NOTE AS A WHOLE BY THE DEPOSITARY TO
A NOMINEE OF THE  DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY
OR ANOTHER NOMINEE OF THE  DEPOSITARY)  MAY BE REGISTERED  EXCEPT IN THE LIMITED
CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED  REPRESENTATIVE OF THE DEPOSITORY
TRUST  COMPANY,  A NEW  YORK  CORPORATION  ("DTC"),  TO THE  TRUST  (HEREINAFTER
DEFINED) OR ITS AGENT FOR  REGISTRATION  OF TRANSFER,  EXCHANGE OR PAYMENT,  AND
UNLESS ANY  CERTIFICATE  ISSUED IS  REGISTERED IN THE NAME OF CEDE & CO. OR SUCH
OTHER NAME AS REQUESTED BY AN AUTHORIZED  REPRESENTATIVE OF DTC (AND ANY PAYMENT
IS MADE TO CEDE & CO. OR SUCH  OTHER  ENTITY AS IS  REQUESTED  BY AN  AUTHORIZED
REPRESENTATIVE  OF DTC),  ANY TRANSFER,  PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE  BY OR TO ANY PERSON IS  WRONGFUL  INASMUCH  AS THE  REGISTERED  OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

  REGISTERED NO.: # 1 CUSIP NO.: 41659FHV9 PRINCIPAL AMOUNT: U.S. $2,970,000.00

                   HARTFORD LIFE GLOBAL FUNDING TRUST 2006-021

                                 IncomeNotes(sm)

<TABLE>
<S>                                                                        <C>
     Issuance Date:  March 2, 2006                                         Floating Rate Note: [ ] Yes [X] No.  If yes,
     Issue Price:  100%                                                       Regular Floating Rate Notes [  ]
     Stated Maturity Date:  March 15, 2010                                    Floating Rate/ Fixed Rate Notes: [  ]
     Settlement Date:  March 2, 2006                                                     Fixed Interest Rate:
     Securities Exchange Listing:  [ ] Yes [X] No.  If yes, indicate                     Fixed Rate Commencement Date:
              name(s) of Securities Exchange(s):                              Interest Rate Basis(es):
              __________________________________.                                 CD Rate [ ]
     Depositary:  The Depository Trust Company                                    CMT Rate [ ]
     Authorized Denominations:  $1,000 & integrals thereof                             Designated CMT Telerate Page:
     Collateral held in the Trust:  Hartford Life Insurance Company                       If Telerate Page 7052:
        Funding Agreement No. FA-406021, all proceeds of the Funding                          [ ] Weekly Average
        Agreement and all rights and books and records pertaining to the                      [ ] Monthly Average
        foregoing.                                                                     Designated CMT Maturity Index:
     Interest Rate or Formula:                                                    Commercial Paper Rate [ ]
     Fixed Rate Note: [X] Yes [ ] No.  If yes,                                    Federal Funds Rate [ ]
        Interest Rate:  5.00%                                                     LIBOR [ ]
        Interest Payment Dates: the 15th of each month.                                 [ ] LIBOR Reuters Page:
        Additional/Other Terms:  None.                                                  [ ] LIBOR Moneyline Telerate Page:
     Discount Note: [ ] Yes [X] No.  If yes,                                            LIBOR Currency:
        Total Amount of Discount:
</TABLE>

                                      1-1
<PAGE>

<TABLE>
<S>                                                                        <C>
                                                                                  Prime Rate [ ]
        Initial Accrual Period of Discount:                                       Treasury Rate [ ]
        Interest Payment Dates:                                            Index Maturity:
        Additional/Other Terms:                                            Spread and/or Spread Multiplier:
     Redemption Provisions: [X] Yes  [ ] No.                               Initial Interest Rate, if any:
      If yes,                                                              Initial Interest Reset Date:
        Initial Redemption Date:  March 15, 2008                           Interest Reset Dates:
        Initial Redemption Percentage:  100%                               Interest Determination Date(s):
        Annual Redemption Percentage Reduction,                            Interest Payment Dates:
        if any:   N/A                                                      Maximum Interest Rate, if any:
        Additional/Other Terms: None.                                      Minimum Interest Rate, if any:
     Regular Record Date(s):  15 days prior to each Interest Payment       Day Count Convention: 30/360
                                              Date.                        Calculation Agent:  N/A
     Sinking Fund:  None.                                                  Additional/Other Terms:  None.
     Survivor's Option: [X] Yes [ ] No.
         If yes, the attached Survivor's Option Rider is incorporated
         into this Note.
</TABLE>

The Hartford Life Global Funding Trust designated above (the "Trust"), for value
received,  hereby promises to pay to Cede & Co., or its registered assigns,  the
Principal  Amount  specified  above on the Stated  Maturity Date specified above
and, if so  specified  above,  to pay interest  thereon  from the Issuance  Date
specified above or from the most recent Interest Payment Date specified above to
which  interest  has  been  paid or duly  provided  for at the  rate  per  annum
determined  in  accordance  with the  provisions  on the  reverse  hereof and as
specified  above,  until  the  principal  hereof is paid or made  available  for
payment.  Payments of principal,  premium,  if any, and interest  hereon will be
made in the lawful  currency of the United States of America ("U.S.  Dollars" or
"United States dollars").  The "Principal Amount" of this Note at any time means
(1) if this Note is a Discount Note (as hereinafter defined), the Amortized Face
Amount (as hereinafter  defined) at such time (as defined in SECTION 3(C) on the
reverse  hereof)  and (2) in all  other  cases,  the  Principal  Amount  hereof.
Capitalized  terms not otherwise  defined  herein shall have their  meanings set
forth in the  Indenture,  dated as of March 2, 2006 (the  "Indenture"),  between
JPMorgan Chase Bank, N.A., as the indenture  trustee (the "Indenture  Trustee"),
and the Trust, or on the face hereof.

         This Note will mature on the Stated Maturity Date, unless its principal
(or any  installment  of its  principal)  becomes due and  payable  prior to the
Stated Maturity Date, whether, as applicable, by the declaration of acceleration
of maturity, notice of redemption by the Trust or otherwise (the Stated Maturity
Date or any date prior to the Stated  Maturity  Date on which this Note  becomes
due and payable, as the case may be, is referred to as the "Maturity Date").

         A "Discount Note" is any Note that has an Issue Price that is less than
100% of the  Principal  Amount  thereof by more than a  percentage  equal to the
product of 0.25% and the number of full years to the Stated Maturity Date.

                                      1-2
<PAGE>

         Unless otherwise specified above, the interest payable on each Interest
Payment  Date or the Maturity  Date will be the amount of interest  accrued from
and including the Issuance Date or from and including the last Interest  Payment
Date to which  interest has been paid or duly  provided for, as the case may be,
to, but excluding,  such Interest Payment Date or the Maturity Date, as the case
may be.

         Unless otherwise  specified above, the interest payable on any Interest
Payment  Date will be paid to the  Holder on the  Regular  Record  Date for such
Interest  Payment Date,  which Regular Record Date shall be the fifteenth (15th)
calendar day, whether or not a Business Day,  immediately  preceding the related
Interest  Payment  Date;  PROVIDED  that,  notwithstanding  any provision of the
Indenture  to the  contrary,  interest  payable  on any  Maturity  Date shall be
payable to the Person to whom principal shall be payable; and PROVIDED, FURTHER,
that unless  otherwise  specified  above, in the case of a Note initially issued
between a Regular  Record Date and the Interest  Payment  Date  relating to such
Regular Record Date,  interest for the period beginning on the Issuance Date and
ending on such Interest  Payment Date shall be paid on the Interest Payment Date
following  the next  succeeding  Regular  Record Date to the Holder on such next
succeeding Regular Record Date.

         Payments of principal  of, and premium,  if any, and interest and other
amounts due and owing, if any, will be made through the Indenture Trustee to the
account of DTC or its nominee  and will be made in  accordance  with  depositary
arrangements with DTC.

         Unless otherwise  specified on the face hereof,  the Holder hereof will
not be  obligated  to pay any  administrative  costs  imposed by banks in making
payments in immediately available funds by the Trust. Unless otherwise specified
on the face hereof,  any tax  assessment  or  governmental  charge  imposed upon
payments hereunder,  including, without limitation, any withholding tax, will be
borne by the Holder hereof.

         REFERENCE  IS HEREBY  MADE TO THE FURTHER  PROVISIONS  OF THIS NOTE SET
FORTH ON THE REVERSE HEREOF. SUCH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE
THE SAME EFFECT AS IF SET FORTH AT THIS PLACE.

         Unless  the  certificate  of  authentication  hereon  shall  have  been
executed by the Indenture Trustee pursuant to the Indenture, this Note shall not
be entitled to any benefit under the Indenture or be valid or obligatory for any
purpose.

                                      1-3
<PAGE>

         IN WITNESS  WHEREOF,  the Trust has caused this  instrument  to be duly
executed, by manual or facsimile signature.

                                 THE HARTFORD LIFE GLOBAL FUNDING TRUST 2006-021

Dated: March 2, 2006             By: Wilmington Trust Company, not in its
                                 individual capacity but solely as Delaware
                                 Trustee.

                                 By: /s/ Jeanne M. Oller
                                     -------------------------------------------
                                     Authorized Officer

                         CERTIFICATE OF AUTHENTICATION

         This is one of the Notes of the  Hartford  Life  Global  Funding  Trust
2006-021 referred to in the within-mentioned Indenture.

                                 JPMORGAN CHASE BANK, N.A.
                                 As Indenture Trustee

Dated: March 2, 2006             By: /s/ Albert P. Mari, Jr.
                                     -------------------------------------------
                                     authorized officer

                                      1-4
<PAGE>

                                [REVERSE OF NOTE]

SECTION 1. GENERAL.  This Note is one of a duly authorized issue of Notes of the
Trust. The Notes are issued pursuant to the Indenture.

SECTION 2.  CURRENCY.  This Note is  denominated  in, and payments of principal,
premium, if any, and/or interest, if any, will be made in U.S. Dollars.

SECTION 3. DETERMINATION OF INTEREST RATE AND CERTAIN OTHER TERMS.

     (a)    FIXED RATE NOTES.  If this Note is specified on the face hereof as a
            "Fixed Rate Note":

            (i) This Note will bear interest at the rate per annum  specified on
            the face hereof. Interest on this Note will be computed on the basis
            of a 360-day year of twelve 30-day months.

            (ii) Unless  otherwise  specified on the face  hereof,  the Interest
            Payment Dates for this Note will be as follows:

                 INTEREST PAYMENT FREQUENCY      INTEREST PAYMENT DATES
                 --------------------------      ----------------------

                 Monthly                         Fifteenth  day of each calendar
                                                 month,  beginning  in the first
                                                 calendar  month  following  the
                                                 month this Note was issued.

                 Quarterly                       Fifteenth  day of  every  third
                                                 calendar  month,  beginning  in
                                                 the   third    calendar   month
                                                 following  the month  this Note
                                                 was issued.

                 Semi-annual                     Fifteenth  day of  every  sixth
                                                 calendar  month,  beginning  in
                                                 the   sixth    calendar   month
                                                 following  the month  this Note
                                                 was issued.

                 Annual                          Fifteenth  day of every twelfth
                                                 calendar  month,  beginning  in
                                                 the  twelfth   calendar   month
                                                 following  the month  this Note
                                                 was issued.

            (iii) If any Interest Payment Date or the Maturity Date of this Note
            falls on a day that is not a Business  Day,  the Trust will make the
            required payment of principal,  premium,  if any, and/or interest or
            other amounts on the next succeeding Business Day, and no additional
            interest  will  accrue in respect of the  payment  made on that next
            succeeding Business Day.

     (b)    FLOATING RATE NOTES. If this Note is specified on the face hereof as
            a "Floating Rate Note":

                                      2-1
<PAGE>

            (i) INTEREST RATE BASIS. Interest on this Note will be determined by
            reference to the  applicable  Interest  Rate Basis or Interest  Rate
            Bases,  which may, as described below,  include the CD Rate, the CMT
            Rate, the Commercial Paper Rate, the Federal Funds Rate,  LIBOR, the
            Prime Rate or the  Treasury  Rate  (each as  defined  below) or such
            other rate, in accordance with a schedule attached hereto.

            (ii) EFFECTIVE  RATE. The rate derived from the applicable  Interest
            Rate  Basis  will be  determined  in  accordance  with  the  related
            provisions  below.  The interest  rate in effect on each day will be
            based  on:  (1) if that  day is an  Interest  Reset  Date,  the rate
            determined  as  of  the  Interest   Determination  Date  immediately
            preceding  that  Interest  Reset Date;  or (2) if that day is not an
            Interest  Reset  Date,  the  rate  determined  as  of  the  Interest
            Determination  Date  immediately  preceding the most recent Interest
            Reset Date.

            (iii) SPREAD; SPREAD MULTIPLIER; INDEX MATURITY. The "Spread" is the
            number of basis points (one  one-hundredth  of a  percentage  point)
            specified on the face hereof to be added to or  subtracted  from the
            related  Interest  Rate Basis or Interest  Rate Bases  applicable to
            this Note. The "Spread  Multiplier"  is the percentage  specified on
            the face hereof of the related  Interest Rate Basis or Interest Rate
            Bases  applicable  to this Note by which the Interest  Rate Basis or
            Interest Rate Bases will be  multiplied to determine the  applicable
            interest rate. The "Index Maturity" is the period to maturity of the
            instrument or obligation with respect to which the related  Interest
            Rate Basis or Interest Rate Bases will be calculated.

            (iv) REGULAR  FLOATING  RATE NOTE.  Unless this Note is specified on
            the face  hereof as a Floating  Rate/Fixed  Rate Note,  this Note (a
            "Regular  Floating  Rate  Note")  will  bear  interest  at the  rate
            determined  by reference to the  applicable  Interest  Rate Basis or
            Interest Rate Bases:  (1) plus or minus the  applicable  Spread,  if
            any; and/or (2) multiplied by the applicable Spread  Multiplier,  if
            any.  Commencing on the first Interest Reset Date, the rate at which
            interest on this Regular Floating Rate Note is payable will be reset
            as of each Interest Reset Date; PROVIDED, HOWEVER, that the interest
            rate in effect for the period, if any, from the Issuance Date to the
            first Interest Reset Date will be the Initial Interest Rate.

            (v) FLOATING RATE/FIXED RATE NOTES. If this Note is specified on the
            face hereof as a  "Floating  Rate/Fixed  Rate Note",  this Note will
            bear interest at the rate  determined by reference to the applicable
            Interest  Rate Basis or Interest  Rate Bases:  (1) plus or minus the
            applicable  Spread,  if any; and/or (2) multiplied by the applicable
            Spread  Multiplier,  if any.  Commencing on the first Interest Reset
            Date,  the rate at  which  this  Floating  Rate/Fixed  Rate  Note is
            payable  will be reset as of each  Interest  Reset  Date;  PROVIDED,
            HOWEVER,  that:  (A) the interest rate in effect for the period,  if
            any, from the Issuance Date to the first Interest Reset Date will be
            the Initial Interest Rate specified on the face hereof;  and (B) the
            interest rate in effect  commencing  on the Fixed Rate  Commencement
            Date will be the  Fixed  Interest  Rate,  if  specified  on the face
            hereof, or, if not so specified,  the interest rate in effect on the
            day immediately preceding the Fixed Rate Commencement Date.

                                      2-2
<PAGE>

            (vi) INTEREST RESET DATES.  The period between  Interest Reset Dates
            will be the "Interest Reset Period." Unless  otherwise  specified on
            the face hereof,  the  Interest  Reset Dates will be, in the case of
            this Floating Rate Note if by its terms it resets:  (1)  daily--each
            Business  Day;  (2)  weekly--the  Wednesday  of each week,  with the
            exception  of any weekly  reset  Floating  Rate Note as to which the
            Treasury Rate is an applicable Interest Rate Basis, which will reset
            the Tuesday of each week;  (3)  monthly--the  fifteenth  day of each
            calendar month;  (4)  quarterly--the  fifteenth day of March,  June,
            September  and  December  of  each  year;   (5)   semi-annually--the
            fifteenth  day of the two months of each year  specified on the face
            hereof;  and (6)  annually--the  fifteenth  day of the month of each
            year specified on the face hereof;  PROVIDED,  HOWEVER,  that,  with
            respect to a Floating  Rate/Fixed  Rate Note,  the rate of  interest
            thereon will not reset after the particular Fixed Rate  Commencement
            Date.  If any Interest  Reset Date for this Floating Rate Note would
            otherwise  be a day  that  is not a  Business  Day,  the  particular
            Interest  Reset  Date  will  be  postponed  to the  next  succeeding
            Business Day,  except that in the case of a Floating Rate Note as to
            which LIBOR is an  applicable  Interest Rate Basis and that Business
            Day falls in the next  succeeding  calendar  month,  the  particular
            Interest Reset Date will be the immediately preceding Business Day.

            (vii) INTEREST  DETERMINATION DATES. The interest rate applicable to
            a Floating Rate Note for an Interest Reset Period  commencing on the
            related  Interest  Reset Date will be determined by reference to the
            applicable  Interest  Rate  Basis  as of  the  particular  "Interest
            Determination  Date",  which  will  be:  (1)  with  respect  to  the
            Commercial  Paper Rate,  Federal Funds Rate and the Prime  Rate--the
            Business Day immediately  preceding the related Interest Reset Date;
            (2)  with  respect  to the CD  Rate  and the  CMT  Rate--the  second
            Business Day preceding  the related  Interest  Reset Date;  (3) with
            respect to  LIBOR--the  second  London  Banking  Day  preceding  the
            related  Interest  Reset Date;  and (4) with respect to the Treasury
            Rate--the day of the week in which the related  Interest  Reset Date
            falls on which day  Treasury  Bills (as defined  below) are normally
            auctioned  (i.e.,  Treasury  Bills are  normally  sold at auction on
            Monday of each week,  unless that day is a legal  holiday,  in which
            case the auction is normally held on the following  Tuesday,  except
            that the auction  may be held on the  preceding  Friday);  PROVIDED,
            HOWEVER,  that  if an  auction  is held on the  Friday  of the  week
            preceding   the   related   Interest   Reset  Date,   the   Interest
            Determination  Date  will  be the  preceding  Friday.  The  Interest
            Determination  Date pertaining to a Floating Rate Note, the interest
            rate of which is determined  with  reference to two or more Interest
            Rate Bases,  will be the latest  Business  Day which is at least two
            Business  Days  before  the  related  Interest  Reset  Date  for the
            applicable  Floating Rate Note on which each Interest Reset Basis is
            determinable.

            (viii)  CALCULATION  DATES.  The interest  rate  applicable  to each
            Interest Reset Period will be determined by the Calculation Agent on
            or prior to the  Calculation  Date (as defined  below),  except with
            respect  to  LIBOR,  which  will  be  determined  on the  particular
            Interest  Determination  Date.  Upon  request  of  the  Holder  of a
            Floating Rate Note, the Calculation Agent will disclose the interest
            rate then in effect and, if determined,  the interest rate that will
            become  effective as a result of a  determination  made for the next
            succeeding Interest Reset Date with respect to such Floating Rate

                                      2-3
<PAGE>

            Note.  The  "Calculation  Date",  if  applicable,  pertaining to any
            Interest  Determination  Date will be the  earlier of: (1) the tenth
            calendar day after the particular Interest Determination Date or, if
            such day is not a Business Day, the next succeeding Business Day; or
            (2) the Business Day immediately  preceding the applicable  Interest
            Payment Date or the Maturity Date, as the case may be.

            (ix)  MAXIMUM OR MINIMUM  INTEREST  RATE.  If  specified on the face
            hereof, this Note may have either or both of a Maximum Interest Rate
            or a  Minimum  Interest  Rate.  If a  Maximum  Interest  Rate  is so
            designated,  the interest  rate for a Floating Rate Note cannot ever
            exceed such Maximum Interest Rate and in the event that the interest
            rate on any Interest  Reset Date would exceed such Maximum  Interest
            Rate  (as if no  Maximum  Interest  Rate  were in  effect)  then the
            interest  rate on such  Interest  Reset  Date  shall be the  Maximum
            Interest  Rate.  If a Minimum  Interest Rate is so  designated,  the
            interest rate for a Floating Rate Note cannot ever be less than such
            Minimum Interest Rate and in the event that the interest rate on any
            Interest  Reset Date would be less than such Minimum  Interest  Rate
            (as if no Minimum  Interest  Rate were in effect)  then the interest
            rate on such Interest Reset Date shall be the Minimum Interest Rate.
            Notwithstanding  anything  to the  contrary  contained  herein,  the
            interest  rate on a Floating  Rate Note shall not exceed the maximum
            interest rate permitted by applicable law.

            (x)  INTEREST  PAYMENTS.  Unless  otherwise  specified  on the  face
            hereof,  the  Interest  Payment  Dates  will  be,  in the  case of a
            Floating Rate Note which resets:  (1) daily,  weekly or monthly--the
            fifteenth  day of each  calendar  month or on the  fifteenth  day of
            March,  June,  September  and December of each year, as specified on
            the face hereof;  (2)  quarterly--the  fifteenth day of March, June,
            September  and  December  of  each  year;   (3)   semi-annually--the
            fifteenth  day of the two months of each year  specified on the face
            hereof;  and (4)  annually--the  fifteenth  day of the month of each
            year as specified on the face hereof. In addition, the Maturity Date
            will also be an Interest  Payment Date. If any Interest Payment Date
            other  than the  Maturity  Date for this  Floating  Rate Note  would
            otherwise be a day that is not a Business Day, such Interest Payment
            Date will be postponed to the next  succeeding  Business Day, except
            that in the case of a  Floating  Rate  Note as to which  LIBOR is an
            applicable  Interest  Rate Basis and that  Business Day falls in the
            next succeeding calendar month, the particular Interest Payment Date
            will be the immediately preceding Business Day. If the Maturity Date
            of a Floating  Rate Note falls on a day that is not a Business  Day,
            the Trust will make the required payment of principal,  premium,  if
            any, and interest or other amounts on the next  succeeding  Business
            Day,  and no  additional  interest  will  accrue in  respect  of the
            payment made on that next succeeding Business Day.

            (xi) ROUNDING.  Unless otherwise  specified on the face hereof,  all
            percentages  resulting  from any  calculation  on this Floating Rate
            Note will be  rounded to the  nearest  one  hundred-thousandth  of a
            percentage  point,  with five  one-millionths  of a percentage point
            rounded  upwards.  All dollar  amounts used in or resulting from any
            calculation on this Floating Rate Note will be rounded,  in the case
            of U.S.  Dollars,  to the nearest  cent or, in the case of a Foreign
            Currency,  to the  nearest  unit (with  one-half  cent or unit being
            rounded upwards).

                                      2-4
<PAGE>

            (xii) INTEREST FACTOR. With respect to a Floating Rate Note, accrued
            interest is calculated by multiplying  the principal  amount of such
            Note by an accrued interest  factor.  The accrued interest factor is
            computed by adding the interest  factor  calculated  for each day in
            the particular  Interest Reset Period.  The interest factor for each
            day will be computed by dividing the  interest  rate  applicable  to
            such day by 360, in the case of a Floating Rate Note as to which the
            CD Rate, the Commercial Paper Rate, the Federal Funds Rate, LIBOR or
            the Prime  Rate is an  applicable  Interest  Rate  Basis,  or by the
            actual  number of days in the year,  in the case of a Floating  Rate
            Note as to which the CMT Rate or the Treasury  Rate is an applicable
            Interest Rate Basis. The interest factor for a Floating Rate Note as
            to which the interest  rate is calculated  with  reference to two or
            more  Interest  Rate Bases will be  calculated in each period in the
            same  manner as if only the  Interest  Rate  Basis  specified  under
            "Additional/Other Terms" applied.

            (xiii)  DETERMINATION OF INTEREST RATE BASIS. The Calculation  Agent
            shall  determine  the rate derived from each  Interest Rate Basis in
            accordance with the following provisions.

                 (A) CD RATE NOTES.  If the Interest  Rate Basis is the CD Rate,
                 this Note shall be deemed a "CD Rate  Note."  Unless  otherwise
                 specified  on the  face  hereof,  "CD  Rate"  means,  from  the
                 Issuance  Date to the first  Interest  Reset Date,  the Initial
                 Interest Rate, if any, and thereafter:

                       (1) the  rate on the  particular  Interest  Determination
                       Date for negotiable United States dollar  certificates of
                       deposit having the Index  Maturity  specified on the face
                       hereof as published in H.15(519) (as defined below) under
                       the caption "CDs (secondary market)"; or

                       (2) if  the  rate  referred  to in  clause  (1) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest  Determination Date for negotiable United States
                       dollar  certificates  of deposit of the particular  Index
                       Maturity as  published  in H.15 Daily  Update (as defined
                       below),  or other recognized  electronic  source used for
                       the purpose of displaying the applicable  rate, under the
                       caption "CDs (secondary market)"; or

                       (3) if  the  rate  referred  to in  clause  (2) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest Determination Date calculated by the Calculation
                       Agent  as the  arithmetic  mean of the  secondary  market
                       offered  rates as of 10:00 A.M.,  New York City time,  on
                       that  Interest   Determination  Date,  of  three  leading
                       non-bank  dealers  in  negotiable  United  States  dollar
                       certificates  of deposit  in The City of New York  (which
                       may  include  the  purchasing  agent  or its  affiliates)
                       selected by the Calculation  Agent for negotiable  United
                       States  dollar  certificates  of deposit of major  United
                       States money market banks for  negotiable  United  States
                       certificates of deposit with a remaining

                                      2-5
<PAGE>

                       maturity  closest to the particular  Index Maturity in an
                       amount that is representative for a single transaction in
                       that market at that time; or

                       (4) if the dealers so selected by the  Calculation  Agent
                       are not quoting as  mentioned  in clause (3), the CD Rate
                       in effect on the particular Interest Determination Date.

                 "H.15(519)" means the weekly statistical  release designated as
                 H.15(519), or any successor publication, published by the Board
                 of Governors of the Federal Reserve System.

                 "H.15  Daily  Update"  means  the daily  update  of  H.15(519),
                 available  through  the  world-wide-web  site of the  Board  of
                 Governors     of    the    Federal     Reserve     System    at
                 http//www.federalreserve.gov/releases/H15/update,     or    any
                 successor site or publication.

                 (B) CMT RATE NOTES. If the Interest Rate Basis is the CMT Rate,
                 this Note shall be deemed a "CMT Rate Note."  Unless  otherwise
                 specified  on the  face  hereof,  "CMT  Rate"  means,  from the
                 Issuance  Date to the first  Interest  Reset Date,  the Initial
                 Interest Rate, if any, and thereafter:

                       (1) if CMT  Moneyline  Telerate Page 7051 is specified on
                       the face hereof:

                            i.     the percentage  equal to the yield for United
                                   States   Treasury   securities  at  "constant
                                   maturity" having the Index Maturity specified
                                   on the face hereof as  published in H.15(519)
                                   under   the   caption   "Treasury    Constant
                                   Maturities",  as the  yield is  displayed  on
                                   Moneyline Telerate (or any successor service)
                                   on  page  7051  (or  any  other  page  as may
                                   replace the  specified  page on that service)
                                   ("Moneyline  Telerate  Page  7051"),  for the
                                   particular Interest Determination Date; or

                            ii.    if the rate  referred  to in clause  (i) does
                                   not so  appear  on  Moneyline  Telerate  Page
                                   7051, the  percentage  equal to the yield for
                                   United   States   Treasury    securities   at
                                   "constant  maturity"  having  the  particular
                                   Index   Maturity   and  for  the   particular
                                   Interest  Determination  Date as published in
                                   H.15(519)   under   the   caption   "Treasury
                                   Constant Maturities"; or

                            iii.   if the rate  referred  to in clause (ii) does
                                   not so appear in  H.15(519),  the rate on the
                                   particular  Interest  Determination  Date for
                                   the period of the  particular  Index Maturity
                                   as  may  then  be  published  by  either  the
                                   Federal  Reserve System Board of Governors or
                                   the United States  Department of the Treasury
                                   that the Calculation  Agent  determines to be
                                   comparable to the

                                      2-6
<PAGE>

                                   rate   which   would   otherwise   have  been
                                   published in H.15(519); or

                            iv.    if the rate  referred  to in clause  (iii) is
                                   not so published,  the rate on the particular
                                   Interest Determination Date calculated by the
                                   Calculation  Agent  as a  yield  to  maturity
                                   based on the arithmetic mean of the secondary
                                   market bid prices at approximately 3:30 P.M.,
                                   New  York  City   time,   on  that   Interest
                                   Determination  Date of three leading  primary
                                   United States government  securities  dealers
                                   in The City of New York  (which  may  include
                                   the  purchasing   agent  or  its  affiliates)
                                   (each, a "Reference  Dealer") selected by the
                                   Calculation Agent from five Reference Dealers
                                   selected   by  the   Calculation   Agent  and
                                   eliminating the highest quotation, or, in the
                                   event of equality,  one of the  highest,  and
                                   the  lowest  quotation  or,  in the  event of
                                   equality,  one  of  the  lowest,  for  United
                                   States  Treasury  securities with an original
                                   maturity  equal  to  the   particular   Index
                                   Maturity,  a  remaining  term to  maturity no
                                   more than one year  shorter  than that  Index
                                   Maturity  and in a  principal  amount that is
                                   representative  for a single  transaction  in
                                   the  securities  in that market at that time;
                                   or

                            v.     if fewer  than  five but more than two of the
                                   prices   referred   to  in  clause  (iv)  are
                                   provided  as  requested,   the  rate  on  the
                                   particular   Interest    Determination   Date
                                   calculated by the Calculation  Agent based on
                                   the   arithmetic   mean  of  the  bid  prices
                                   obtained  and  neither  the  highest  nor the
                                   lowest of the quotations shall be eliminated;
                                   or

                            vi.    if fewer than  three  prices  referred  to in
                                   clause (iv) are  provided as  requested,  the
                                   rate on the particular Interest Determination
                                   Date calculated by the Calculation Agent as a
                                   yield to  maturity  based  on the  arithmetic
                                   mean of the secondary market bid prices as of
                                   approximately  3:30 P.M., New York City time,
                                   on that Interest  Determination Date of three
                                   Reference Dealers selected by the Calculation
                                   Agent from five Reference Dealers selected by
                                   the  Calculation  Agent and  eliminating  the
                                   highest   quotation   or,  in  the  event  of
                                   equality,  one of the  highest and the lowest
                                   quotation  or, in the event of equality,  one
                                   of the  lowest,  for United  States  Treasury
                                   securities with an original  maturity greater
                                   than  the  particular   Index   Maturity,   a
                                   remaining  term to  maturity  closest to that
                                   Index Maturity and in a principal amount that
                                   is representative for a single transaction in
                                   the  securities  in that market at that time;
                                   or

                            vii.   if fewer  than five but more than two  prices
                                   referred  to in clause  (vi) are  provided as
                                   requested,   the   rate  on  the   particular
                                   Interest

                                      2-7
<PAGE>

                                   Determination    Date   calculated   by   the
                                   Calculation  Agent  based  on the  arithmetic
                                   mean of the bid prices  obtained  and neither
                                   the highest nor the lowest of the  quotations
                                   will be eliminated; or

                            viii.  if fewer than  three  prices  referred  to in
                                   clause (vi) are  provided as  requested,  the
                                   CMT Rate in effect on the particular Interest
                                   Determination Date; or

                       (2) if CMT  Moneyline  Telerate Page 7052 is specified on
                       the face hereof:

                            i.     the  percentage  equal  to  the  one-week  or
                                   one-month,  as  specified on the face hereof,
                                   average  yield  for  United  States  Treasury
                                   securities at "constant  maturity" having the
                                   Index  Maturity  specified on the face hereof
                                   as  published   in  H.15(519)   opposite  the
                                   caption "Treasury  Constant  Maturities",  as
                                   the yield is displayed on Moneyline  Telerate
                                   (or any  successor  service) (on page 7052 or
                                   any other page as may replace  the  specified
                                   page on that  service)  ("Moneyline  Telerate
                                   Page  7052"),  for  the  week  or  month,  as
                                   applicable,  ended immediately  preceding the
                                   week or month,  as  applicable,  in which the
                                   particular Interest Determination Date falls;
                                   or

                            ii.    if the rate  referred  to in clause  (i) does
                                   not so  appear  on  Moneyline  Telerate  Page
                                   7052, the percentage equal to the one-week or
                                   one-month,  as  specified on the face hereof,
                                   average  yield  for  United  States  Treasury
                                   securities at "constant  maturity" having the
                                   particular Index Maturity and for the week or
                                   month,    as   applicable,    preceding   the
                                   particular  Interest  Determination  Date  as
                                   published in  H.15(519)  opposite the caption
                                   "Treasury Constant Maturities"; or

                            iii.   if the rate  referred  to in clause (ii) does
                                   not so appear in  H.15(519),  the one-week or
                                   one-month,  as  specified on the face hereof,
                                   average  yield  for  United  States  Treasury
                                   securities at "constant  maturity" having the
                                   particular   Index   Maturity  as   otherwise
                                   announced by the Federal  Reserve Bank of New
                                   York for the week or  month,  as  applicable,
                                   ended  immediately   preceding  the  week  or
                                   month, as applicable, in which the particular
                                   Interest Determination Date falls; or

                            iv.    if the rate  referred  to in clause  (iii) is
                                   not so published,  the rate on the particular
                                   Interest Determination Date calculated by the
                                   Calculation  Agent  as a  yield  to  maturity
                                   based on the arithmetic mean of the secondary
                                   market bid prices at approximately 3:30 P.M.,
                                   New  York  City   time,   on  that   Interest
                                   Determination Date of three Reference Dealers
                                   selected by the

                                      2-8
<PAGE>

                                   Calculation Agent from five Reference Dealers
                                   selected   by  the   Calculation   Agent  and
                                   eliminating the highest quotation, or, in the
                                   event of equality,  one of the  highest,  and
                                   the  lowest  quotation  or,  in the  event of
                                   equality,  one  of  the  lowest,  for  United
                                   States  Treasury  securities with an original
                                   maturity  equal  to  the   particular   Index
                                   Maturity,  a  remaining  term to  maturity no
                                   more than one year  shorter  than that  Index
                                   Maturity  and in a  principal  amount that is
                                   representative  for a single  transaction  in
                                   the  securities  in that market at that time;
                                   or

                            v.     if fewer  than  five but more than two of the
                                   prices   referred   to  in  clause  (iv)  are
                                   provided  as  requested,   the  rate  on  the
                                   particular   Interest    Determination   Date
                                   calculated by the Calculation  Agent based on
                                   the   arithmetic   mean  of  the  bid  prices
                                   obtained  and  neither  the  highest  nor the
                                   lowest of the quotations shall be eliminated;
                                   or

                            vi.    if fewer than  three  prices  referred  to in
                                   clause (iv) are  provided as  requested,  the
                                   rate on the particular Interest Determination
                                   Date calculated by the Calculation Agent as a
                                   yield to  maturity  based  on the  arithmetic
                                   mean of the secondary market bid prices as of
                                   approximately  3:30 P.M., New York City time,
                                   on that Interest  Determination Date of three
                                   Reference Dealers selected by the Calculation
                                   Agent from five Reference Dealers selected by
                                   the  Calculation  Agent and  eliminating  the
                                   highest   quotation   or,  in  the  event  of
                                   equality,  one of the  highest and the lowest
                                   quotation  or, in the event of equality,  one
                                   of the  lowest,  for United  States  Treasury
                                   securities with an original  maturity greater
                                   than  the  particular   Index   Maturity,   a
                                   remaining  term to  maturity  closest to that
                                   Index Maturity and in a principal amount that
                                   is representative for a single transaction in
                                   the securities in that market at the time; or

                            vii.   if fewer  than five but more than two  prices
                                   referred  to in clause  (vi) are  provided as
                                   requested,   the   rate  on  the   particular
                                   Interest Determination Date calculated by the
                                   Calculation  Agent  based  on the  arithmetic
                                   mean of the bid prices  obtained  and neither
                                   the highest nor the lowest of the  quotations
                                   will be eliminated; or

                            viii.  if fewer than  three  prices  referred  to in
                                   clause (vi) are  provided as  requested,  the
                                   CMT   Rate  in   effect   on  that   Interest
                                   Determination Date.

                       If two United States Treasury securities with an original
                       maturity greater than the Index Maturity specified on the
                       face hereof have remaining terms

                                      2-9
<PAGE>

                       to  maturity   equally  close  to  the  particular  Index
                       Maturity,  the  quotes  for the  United  States  Treasury
                       security  with the  shorter  original  remaining  term to
                       maturity will be used.

                 (C) COMMERCIAL  PAPER RATE NOTES. If the Interest Rate Basis is
                 the  Commercial  Paper  Rate,  this  Note  shall  be  deemed  a
                 "Commercial Paper Rate Note." Unless otherwise specified on the
                 face hereof,  "Commercial  Paper Rate" means, from the Issuance
                 Date to the first  Interest  Reset Date,  the Initial  Interest
                 Rate, if any, and thereafter:

                       (1) the  Money  Market  Yield (as  defined  below) on the
                       particular  Interest  Determination  Date of the rate for
                       commercial  paper having the Index Maturity  specified on
                       the face  hereof  as  published  in  H.15(519)  under the
                       caption "Commercial Paper--Nonfinancial"; or

                       (2) if  the  rate  referred  to in  clause  (1) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date, the Money Market Yield of the
                       rate on the particular  Interest  Determination  Date for
                       commercial  paper having the particular Index Maturity as
                       published in H.15 Daily Update,  or such other recognized
                       electronic  source used for the purpose of displaying the
                       applicable   rate,   under   the   caption    "Commercial
                       Paper--Nonfinancial"; or

                       (3) if  the  rate  referred  to in  clause  (2) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest Determination Date calculated by the Calculation
                       Agent as the Money Market Yield of the arithmetic mean of
                       the offered rates at  approximately  11:00 A.M., New York
                       City time, on that Interest  Determination  Date of three
                       leading dealers of United States dollar  commercial paper
                       in The City of New York (which may include the purchasing
                       agent  or its  affiliates)  selected  by the  Calculation
                       Agent for commercial  paper having the  particular  Index
                       Maturity placed for industrial  issuers whose bond rating
                       is "Aa", or the equivalent,  from a nationally recognized
                       statistical rating organization; or

                       (4) if the dealers so selected by the  Calculation  Agent
                       are  not  quoting  as   mentioned   in  clause  (3),  the
                       Commercial   Paper  Rate  in  effect  on  the  particular
                       Interest Determination Date.

                 "Money Market Yield" means a yield  (expressed as a percentage)
                 calculated in accordance with the following formula:

                       Money Market Yield =     D x 360    x 100
                                             -------------
                                             360 - (D x M)

                  where  "D"  refers  to  the  applicable  per  annum  rate  for
                  commercial paper quoted on a bank discount basis and expressed
                  as a decimal,  and "M" refers to the actual  number of days in
                  the applicable Interest Reset Period.

                                      2-10
<PAGE>

                 (D) FEDERAL FUNDS RATE NOTES. If the Interest Rate Basis is the
                 Federal Funds Rate,  this Note shall be deemed a "Federal Funds
                 Rate Note."  Unless  otherwise  specified  on the face  hereof,
                 "Federal Funds Rate" means, from the Issuance Date to the first
                 Interest  Reset Date,  the Initial  Interest  Rate, if any, and
                 thereafter:

                       (1) the  rate on the  particular  Interest  Determination
                       Date for United States dollar  federal funds as published
                       in   H.15(519)   under   the   caption   "Federal   Funds
                       (Effective)" and displayed on Moneyline  Telerate (or any
                       successor  service) on page 120 (or any other page as may
                       replace the specified  page on that service)  ("Moneyline
                       Telerate Page 120"); or

                       (2) if the rate  referred  to in  clause  (1) does not so
                       appear  on  Moneyline  Telerate  Page  120  or is  not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest  Determination  Date for  United  States  dollar
                       federal funds as published in H.15 Daily Update,  or such
                       other recognized  electronic  source used for the purpose
                       of  displaying  the  applicable  rate,  under the caption
                       "Federal Funds (Effective)"; or

                       (3) if  the  rate  referred  to in  clause  (2) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest Determination Date calculated by the Calculation
                       Agent as the  arithmetic  mean of the  rates for the last
                       transaction  in overnight  United States  dollar  federal
                       funds arranged by three leading  brokers of United States
                       dollar federal funds transactions in The City of New York
                       (which  may   include   the   purchasing   agent  or  its
                       affiliates)  selected by the  Calculation  Agent prior to
                       9:00  A.M.,   New  York  City  time,   on  that  Interest
                       Determination Date; or

                       (4) if the brokers so selected by the  Calculation  Agent
                       are not quoting as  mentioned  in clause (3), the Federal
                       Funds   Rate  in  effect  on  the   particular   Interest
                       Determination Date.

                 (E) LIBOR NOTES. If the Interest Rate Basis is LIBOR, this Note
                 shall be deemed a "LIBOR Note." Unless  otherwise  specified on
                 the face hereof,  "LIBOR" means,  from the Issuance Date to the
                 first Interest  Reset Date, the Initial  Interest Rate, if any,
                 and thereafter:

                       (1) if "LIBOR  Moneyline  Telerate"  is  specified on the
                       face  hereof or if  neither  "LIBOR  Reuters"  nor "LIBOR
                       Moneyline  Telerate"  is  specified on the face hereof as
                       the method for calculating  LIBOR,  the rate for deposits
                       in the LIBOR Currency (as defined below) having the Index
                       Maturity specified on the face hereof,  commencing on the
                       related  Interest  Reset Date,  that appears on the LIBOR
                       Page (as defined below) as of 11:00 A.M., London time, on
                       the particular Interest Determination Date; or

                                      2-11
<PAGE>

                       (2) if "LIBOR  Reuters" is  specified on the face hereof,
                       the arithmetic  mean of the offered rates,  calculated by
                       the Calculation  Agent, or the offered rate, if the LIBOR
                       Page by its terms  provides  only for a single rate,  for
                       deposits  in the LIBOR  Currency  having  the  particular
                       Index Maturity,  commencing on the related Interest Reset
                       Date, that appear or appears,  as the case may be, on the
                       LIBOR  Page  as  of  11:00  A.M.,  London  time,  on  the
                       particular Interest Determination Date; or

                       (3) if fewer than two offered  rates  appear,  or no rate
                       appears,  as the case may be, on the particular  Interest
                       Determination  Date on the  LIBOR  Page as  specified  in
                       clause (1) or (2), as applicable,  the rate calculated by
                       the Calculation  Agent as the arithmetic mean of at least
                       two offered quotations  obtained by the Calculation Agent
                       after  requesting the principal London offices of each of
                       four major reference banks (which may include  affiliates
                       of the purchasing  agent) in the London  interbank market
                       to  provide  the  Calculation   Agent  with  its  offered
                       quotation  for  deposits  in the LIBOR  Currency  for the
                       period of the particular  Index  Maturity,  commencing on
                       the related  Interest  Reset Date,  to prime banks in the
                       London  interbank  market at  approximately  11:00  A.M.,
                       London time, on that Interest Determination Date and in a
                       principal  amount  that is  representative  for a  single
                       transaction  in the LIBOR Currency in that market at that
                       time; or

                       (4) if fewer than two offered  quotations  referred to in
                       clause (3) are provided as requested, the rate calculated
                       by the  Calculation  Agent as the arithmetic  mean of the
                       rates  quoted  at   approximately   11:00  A.M.,  in  the
                       applicable  Principal Financial Center, on the particular
                       Interest  Determination  Date by three major banks (which
                       may include  affiliates of the purchasing  agent) in that
                       Principal  Financial  Center  selected by the Calculation
                       Agent for loans in the LIBOR Currency to leading European
                       banks,  having the  particular  Index  Maturity  and in a
                       principal  amount  that is  representative  for a  single
                       transaction  in the LIBOR Currency in that market at that
                       time; or

                       (5) if the banks so selected by the Calculation Agent are
                       not quoting as mentioned  in clause (4),  LIBOR in effect
                       on the particular Interest Determination Date.

                 "LIBOR  Currency"  means  the  currency  specified  on the face
                 hereof as to which LIBOR shall be calculated or, if no currency
                 is specified on the face hereof, United States dollars.

                 "LIBOR Page" means either:  (1) if "LIBOR Reuters" is specified
                 on the face  hereof,  the display on the Reuter  Monitor  Money
                 Rates Service (or any successor  service) on the page specified
                 on the face hereof (or any other page as may replace  that page
                 on that  service)  for the  purpose  of  displaying  the London
                 interbank rates of major banks for the LIBOR  Currency;  or (2)
                 if "LIBOR  Moneyline  Telerate" is specified on the face hereof
                 or neither "LIBOR  Reuters"

                                      2-12
<PAGE>

                 nor "LIBOR Moneyline  Telerate" is specified on the face hereof
                 as the method for calculating  LIBOR,  the display on Moneyline
                 Telerate (or any  successor  service) on the page  specified on
                 the face hereof (or any other page as may replace  such page on
                 such  service),  or  if no  such  page  is  specified,  on  the
                 Moneyline  Telerate (or any successor  service) page  generally
                 used for the purpose of displaying the London  interbank  rates
                 of major banks for the LIBOR Currency.

                 (F) PRIME RATE NOTES.  If the Interest  Rate Basis is the Prime
                 Rate,  this Note shall be deemed a "Prime  Rate  Note."  Unless
                 otherwise  specified  on the face  hereof,  "Prime Rate" means,
                 from the Issuance Date to the first  Interest  Reset Date,  the
                 Initial Interest Rate, if any, and thereafter:

                       (1) the  rate on the  particular  Interest  Determination
                       Date as published in  H.15(519)  under the caption  "Bank
                       Prime Loan"; or

                       (2) if  the  rate  referred  to in  clause  (1) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest  Determination  Date as  published in H.15 Daily
                       Update,  or such other recognized  electronic source used
                       for the purpose of displaying the applicable  rate, under
                       the caption "Bank Prime Loan", or

                       (3) if  the  rate  referred  to in  clause  (2) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest Determination Date calculated by the Calculation
                       Agent as the  arithmetic  mean of the  rates of  interest
                       publicly  announced  by each  bank  that  appears  on the
                       Reuters  Screen US PRIME 1 Page (as defined below) as the
                       applicable  bank's  prime rate or base lending rate as of
                       11:00  A.M.,   New  York  City  time,  on  that  Interest
                       Determination Date; or

                       (4) if fewer  than four rates  referred  to in clause (3)
                       are so published by 3:00 p.m., New York City time, on the
                       related  Calculation  Date,  the rate  calculated  by the
                       Calculation    Agent   as   the    particular    Interest
                       Determination  Date as the  arithmetic  mean of the prime
                       rates or base  lending  rates  quoted on the basis of the
                       actual  number of days in the year  divided  by a 360-day
                       year  as of  the  close  of  business  on  that  Interest
                       Determination  Date  by  three  major  banks  (which  may
                       include  affiliates of the purchasing  agent) in The City
                       of New York selected by the Calculation Agent; or

                       (5) if the banks so selected by the Calculation Agent are
                       not quoting as mentioned in clause (4), the Prime Rate in
                       effect on the particular Interest Determination Date.

                 "Reuters  Screen  US PRIME 1 Page"  means  the  display  on the
                 Reuter  Monitor Money Rates Service (or any successor  service)
                 on the "US PRIME 1" page (or any other page as may replace that
                 page on that service) for the purpose of displaying prime rates
                 or base lending rates of major United States banks.

                                      2-13
<PAGE>

                 (G)  TREASURY  RATE NOTES.  If the  Interest  Rate Basis is the
                 Treasury  Rate,  this  Note  shall be deemed a  "Treasury  Rate
                 Note." Unless otherwise specified on the face hereof, "Treasury
                 Rate" means, from the Issuance Date to the first Interest Reset
                 Date, the Initial Interest Rate, if any, and thereafter:

                       (1) the  rate  from  the  auction  held  on the  Interest
                       Determination  Date (the "Auction") of direct obligations
                       of the United States ("Treasury  Bills") having the Index
                       Maturity  specified  on the face hereof under the caption
                       "INVESTMENT  RATE" on the display on  Moneyline  Telerate
                       (or any successor  service) on page 56 (or any other page
                       as may  replace  that page on that  service)  ("Moneyline
                       Telerate  Page 56") or page 57 (or any other  page as may
                       replace that page on that service)  ("Moneyline  Telerate
                       Page 57"); or

                       (2) if  the  rate  referred  to in  clause  (1) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date, the Bond Equivalent Yield (as
                       defined  below) of the rate for the  applicable  Treasury
                       Bills as  published  in H.15  Daily  Update,  or  another
                       recognized  electronic  source  used for the  purpose  of
                       displaying the applicable  rate,  under the caption "U.S.
                       Government Securities/Treasury Bills/Auction High"; or

                       (3) if  the  rate  referred  to in  clause  (2) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date, the Bond Equivalent  Yield of
                       the  auction  rate of the  applicable  Treasury  Bills as
                       announced  by  the  United   States   Department  of  the
                       Treasury; or

                       (4) if  the  rate  referred  to in  clause  (3) is not so
                       announced  by  the  United   States   Department  of  the
                       Treasury,  or if  the  Auction  is  not  held,  the  Bond
                       Equivalent  Yield of the rate on the particular  Interest
                       Determination  Date of the  applicable  Treasury Bills as
                       published in H.15(519) under the caption "U.S. Government
                       Securities/Treasury Bills/Secondary Market"; or

                       (5) if  the  rate  referred  to in  clause  (4) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest  Determination  Date of the applicable  Treasury
                       Bills as  published  in H.15  Daily  Update,  or  another
                       recognized  electronic  source  used for the  purpose  of
                       displaying the applicable  rate,  under the caption "U.S.
                       Government  Securities/Treasury  Bills/Secondary Market";
                       or

                       (6) if  the  rate  referred  to in  clause  (5) is not so
                       published  by 3:00  P.M.,  New  York  City  time,  on the
                       related  Calculation  Date,  the  rate on the  particular
                       Interest Determination Date calculated by the Calculation
                       Agent as the Bond Equivalent Yield of the arithmetic mean
                       of the secondary  market bid rates,  as of  approximately
                       3:30  P.M.,   New  York  City  time,   on  that  Interest
                       Determination   Date,  of  three  primary  United  States
                       government  securities  dealers  (which may  include  the
                       purchasing  agent  or  its  affiliates)  selected  by the
                       Calculation Agent, for the issue of Treasury

                                      2-14
<PAGE>

                       Bills  with a  remaining  maturity  closest  to the Index
                       Maturity specified on the face hereof; or

                       (7) if the dealers so selected by the  Calculation  Agent
                       are not quoting as  mentioned in clause (6), the Treasury
                       Rate in effect on the particular  Interest  Determination
                       Date.

                 "Bond   Equivalent   Yield"  means  a  yield  (expressed  as  a
                 percentage)   calculated  in  accordance   with  the  following
                 formula:

                         Bond Equivalent Yield =          D x N        x 100
                                                    ------------------
                                                      360 - (D x M)

                 where "D" refers to the  applicable per annum rate for Treasury
                 Bills  quoted  on a bank  discount  basis  and  expressed  as a
                 decimal,  "N" refers to 365 or 366, as the case may be, and "M"
                 refers to the actual number of days in the applicable  Interest
                 Reset Period.

     (c)    DISCOUNT  NOTES.  If this Note is  specified on the face hereof as a
            "Discount Note":

            (i) PRINCIPAL AND INTEREST. This Note will bear interest in the same
            manner as set forth in Section 3(a) above, and payments of principal
            and interest shall be made as set forth on the face hereof. Discount
            Notes may not bear any interest  currently or may bear interest at a
            rate  that is  below  market  rates  at the  time of  issuance.  The
            difference  between  the Issue  Price of a Discount  Note and par is
            referred to as the "Discount".

            (ii) REDEMPTION;  REPAYMENT;  ACCELERATION.  In the event a Discount
            Note is redeemed,  repaid or accelerated,  the amount payable to the
            Holder of such  Discount  Note will be equal to the sum of:  (A) the
            Issue Price  (increased  by any  accruals of  Discount)  and, in the
            event  of any  redemption  of such  Discount  Note,  if  applicable,
            multiplied by the Initial Redemption  Percentage (as adjusted by the
            Annual Redemption Percentage Reduction, if applicable);  and (B) any
            unpaid  interest  accrued on such Discount Note to the Maturity Date
            ("Amortized Face Amount").  Unless  otherwise  specified on the face
            hereof,  for purposes of determining the amount of Discount that has
            accrued  as  of  any  date  on  which  a  redemption,  repayment  or
            acceleration of maturity occurs for a Discount Note, a Discount will
            be accrued using a constant yield method. The constant yield will be
            calculated  using  a  30-day  month,  360-day  year  convention,   a
            compounding  period that,  except for the Initial Period (as defined
            below),  corresponds to the shortest period between Interest Payment
            Dates for the applicable Discount Note (with ratable accruals within
            a  compounding  period),  a coupon rate equal to the initial  coupon
            rate  applicable to the  applicable  Discount Note and an assumption
            that the maturity of such Discount Note will not be accelerated.  If
            the period from the date of issue to the first Interest Payment Date
            for a Discount  Note (the  "Initial  Period")  is  shorter  than the
            compounding period for such Discount Note, a proportionate amount of
            the yield for an entire compounding  period will be accrued.  If the
            Initial  Period  is longer  than the  compounding  period,  then the
            period will be divided into a regular compounding period and a short
            period with the short period being treated as provided above.

                                      2-15
<PAGE>

SECTION 4.  REDEMPTION.  If no redemption right is set forth on the face hereof,
this Note may not be redeemed prior to the Stated  Maturity Date,  except as set
forth in the Indenture.  If a redemption  right is set forth on the face of this
Note, the Trust shall redeem this Note on the Interest  Payment Date on or after
the  Initial  Redemption  Date set forth on the face hereof on which the Funding
Agreement  is to be  redeemed  in whole or in part by  Hartford  Life  Insurance
Company  ("Hartford Life") (each, a "Redemption  Date"), in which case this Note
must be redeemed on such  Redemption  Date in whole or in part,  as  applicable,
prior to the Stated  Maturity  Date, in  increments of $1,000 at the  applicable
Redemption  Price (as defined  below),  together with unpaid  interest,  if any,
accrued thereon to, but excluding,  the applicable Redemption Date.  "Redemption
Price"  shall mean an amount  equal to the  Initial  Redemption  Percentage  (as
adjusted  by  the  Annual  Redemption  Percentage   Reduction,   if  applicable)
multiplied by the unpaid Principal Amount of this Note to be redeemed (or in the
case of Discount Notes,  multiplied as set forth in Section 3(c)(ii) above). The
unpaid  Principal  Amount of this Note to be  redeemed  shall be  determined  by
multiplying  (1)  the  Outstanding  Principal  Amount  of  this  Note by (2) the
quotient derived by dividing (A) the outstanding principal amount of the Funding
Agreement  to be  redeemed  by Hartford  Life by (B) the  outstanding  principal
amount of the Funding  Agreement.  The Initial  Redemption  Percentage,  if any,
applicable  to this  Note  shall  decline  at each  anniversary  of the  Initial
Redemption  Date  by  an  amount  equal  to  the  applicable  Annual  Redemption
Percentage Reduction, if any, until the Redemption Price is equal to 100% of the
unpaid  amount  thereof  to be  redeemed.  Notice  must be given  not more  than
seventy-five  (75) nor less than thirty (30) calendar days prior to the proposed
Redemption  Date.  In the event of  redemption  of this Note in part only, a new
Note for the unredeemed portion hereof shall be issued in the name of the Holder
hereof upon the surrender hereof.

SECTION 5. SINKING FUNDS.  Unless  specified on the face hereof,  this Note will
not be subject to, or entitled to the benefit of, any sinking fund.

SECTION  6.  MODIFICATIONS  AND  WAIVERS.   The  Indenture  contains  provisions
permitting the Trust and the Indenture  Trustee (1) at any time and from time to
time without notice to, or the consent of, the Holders of any Notes issued under
the  Indenture  to enter into one or more  supplemental  indentures  for certain
enumerated  purposes  and (2) with the  consent of the  Holders of a majority in
aggregate  principal amount of the Outstanding Notes affected thereby,  to enter
into  one or  more  supplemental  indentures  for  the  purpose  of  adding  any
provisions  to, or changing in any manner or  eliminating  any of the provisions
of, the  Indenture  or of modifying in any manner the rights of Holders of Notes
under  the  Indenture;  PROVIDED,  that,  with  respect  to  certain  enumerated
provisions,  no such  supplemental  indenture  shall be entered into without the
consent of the Holder of each Note affected thereby.  Any such consent or waiver
by the Holder of this Note shall be conclusive  and binding upon such Holder and
upon  all  future  Holders  of  this  Note  and  of any  Note  issued  upon  the
registration of transfer hereof or in exchange hereof or in lieu hereof, whether
or not  notation of such  consent or waiver is made upon this Note or such other
Notes.

SECTION 7. OBLIGATIONS  UNCONDITIONAL.  No reference herein to the Indenture and
no provisions  of this Note or of the  Indenture  shall impair the right of each
Holder of any Note, which is absolute and  unconditional,  to receive payment of
the principal of, and any interest on, and premium, if any, on, such Note on the
respective Stated Maturity Date or redemption date thereof

                                      2-16
<PAGE>

and to institute suit for the  enforcement of any such payment,  and such rights
shall not be impaired without the consent of such Holder.

SECTION 8. EVENTS OF DEFAULT.  If an Event of Default  with respect to the Notes
shall occur and be continuing,  the principal of, and all other amounts  payable
on,  the  Notes  may be  declared  due  and  payable,  or  may be  automatically
accelerated,  as the case may be, in the manner and with the effect  provided in
the  Indenture.  In the event that this Note is a Discount  Note,  the amount of
principal of this Note that becomes due and payable upon such acceleration shall
be equal to the amount calculated as set forth in Section 3(c) hereof.

SECTION 9.  WITHHOLDING;  NO ADDITIONAL  AMOUNTS;  TAX EVENT. All amounts due in
respect of this Note will be made free and clear of any  applicable  withholding
or deduction for or on account of any present or future taxes,  duties,  levies,
assessments or other  governmental  charges of whatever nature imposed or levied
by or on  behalf of any  governmental  authority,  unless  such  withholding  or
deduction is required by law. The Trust will not pay any  additional  amounts to
the Holder of this Note in respect of any such  withholding  or  deduction,  any
such  withholding  or deduction will not give rise to an event of default or any
independent  right or  obligation  to redeem  this Note and the  Holder  will be
deemed for all purposes to have  received cash in an amount equal to the portion
of such withholding or deduction that is attributable to such Holder's  interest
in this Note as equitably determined by the Trust.

         If (1) a Tax Event (defined below) as to the relevant Funding Agreement
occurs and (2) Hartford Life elects to redeem the Funding  Agreement in whole or
in part, the Trust will redeem this Note, subject to the terms and conditions of
SECTION 2.04 of the Indenture, at the Tax Event Redemption Price (defined below)
together with unpaid interest accrued thereon to the applicable redemption date.
"Tax  Event"  means  that  Hartford  Life  shall  have  received  an  opinion of
independent  legal  counsel  stating  in  effect  that  as a  result  of (a) any
amendment to, or change  (including  any announced  prospective  change) in, the
laws (or any  regulations  thereunder)  of the  United  States or any  political
subdivision or taxing  authority  thereof or therein or (b) any amendment to, or
change in, an  interpretation  or application of any such laws or regulations by
any  governmental  authority in the United States,  which amendment or change is
enacted, promulgated,  issued or announced on or after the effective date of the
relevant Funding  Agreement,  there is more than an insubstantial  risk that (i)
the Trust is, or will be within ninety (90) days of the date thereof, subject to
U.S.  federal  income tax with  respect to  interest  accrued or received on the
relevant  Funding  Agreement or (ii) the Trust is, or will be within ninety (90)
days of the date  thereof,  subject to more than a de  minimis  amount of taxes,
duties or other  governmental  charges.  "Tax Event  Redemption  Price" means an
amount equal to the unpaid principal  amount of this Note to be redeemed,  which
shall be determined by multiplying (1) the Outstanding  Principal Amount of this
Note by (2) the  quotient  derived by  dividing  (A) the  outstanding  principal
amount to be  redeemed  by Hartford  Life of the  Funding  Agreement  by (B) the
outstanding principal amount of the Funding Agreement.

SECTION 10. LISTING.  Unless otherwise  specified on the face hereof,  this Note
will not be listed on any securities exchange.

SECTION  11.  COLLATERAL.  The  Collateral  for this Note  includes  the Funding
Agreement specified on the face hereof.

                                      2-17
<PAGE>

SECTION 12. NO RECOURSE  AGAINST CERTAIN  PERSONS.  No recourse shall be had for
the payment of any principal, interest or any other sums at any time owing under
the terms of this Note, or for any claim based  hereon,  or otherwise in respect
hereof, or based on or in respect of the Indenture or any indenture supplemental
thereto, against the Nonrecourse Parties, whether by virtue of any constitution,
statute or rule of law, or by the  enforcement  of any  assessment or penalty or
otherwise,  all such personal  liability being, by the acceptance  hereof and as
part of the consideration for issue hereof, expressly waived and released.

SECTION 13.    MISCELLANEOUS.

         (a) This Note is issuable only as a registered  Note without coupons in
denominations  of $1,000 and any integral  multiple of $1,000 in excess  thereof
unless otherwise specified on the face of this Note.

         (b) Prior to due presentment for registration of transfer of this Note,
the Trust, the Indenture  Trustee,  the Registrar,  the Paying Agent, any Agent,
and any other agent of the Trust or the  Indenture  Trustee may treat the Person
in whose name this Note is  registered  as the owner  hereof for the  purpose of
receiving payment as herein provided and for all other purposes,  whether or not
this Note shall be overdue,  and none of the Trust, the Indenture  Trustee,  the
Registrar,  the Paying Agent,  any Agent, or any other agent of the Trust or the
Indenture Trustee shall be affected by notice to the contrary.

         (c) The  Notes are being  issued by means of a  book-entry-only  system
with no physical  distribution  of certificates to be made except as provided in
the Indenture.  The book-entry system maintained by DTC will evidence  ownership
of the Notes, with transfers of ownership effected on the records of DTC and its
participants  pursuant  to  rules  and  procedures  established  by DTC  and its
participants.  The Trust and the Indenture Trustee will recognize Cede & Co., as
nominee of DTC, as the registered owner of the Notes, as the Holder of the Notes
for all purposes, including payment of principal, premium (if any) and interest,
notices and  voting.  Transfer of  principal,  premium (if any) and  interest to
participants  of  DTC  will  be the  responsibility  of  DTC,  and  transfer  of
principal,  premium (if any) and interest to beneficial  holders of the Notes by
participants of DTC will be the  responsibility  of such  participants and other
nominees of such  beneficial  holders.  So long as the  book-entry  system is in
effect,  the  selection of any Notes to be redeemed or repaid will be determined
by DTC pursuant to rules and procedures established by DTC and its participants.
Neither the Trust nor the Indenture  Trustee will not be  responsible  or liable
for such transfers or payments or for maintaining,  supervising or reviewing the
records  maintained  by DTC, its  participants  or persons  acting  through such
participants.

         (d) This Note or portion  hereof may not be  exchanged  for  Definitive
Notes, except in the limited  circumstances  provided for in the Indenture.  The
transfer or exchange  of  Definitive  Notes shall be subject to the terms of the
Indenture.  No service charge will be made for any  registration  of transfer or
exchange, but the Trust may require payment of a sum sufficient to cover any tax
or other governmental charge payable in connection therewith.

                                      2-18
<PAGE>

SECTION 14.  GOVERNING  LAW.  THIS NOTE SHALL BE GOVERNED  BY, AND  CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                      2-19
<PAGE>

                             SURVIVOR'S OPTION RIDER

         (a) Unless this Note,  on its face,  has been  declared due and payable
prior  to the  Maturity  Date by  reason  of any  Event  of  Default  under  the
Indenture,  or has been previously  redeemed or otherwise repaid, the authorized
Representative  (as defined  below) of a deceased  Beneficial  Owner (as defined
below) of this Note  shall have the  option to elect  repayment  by the Trust in
whole  or in  part  prior  to the  Maturity  Date  following  the  death  of the
Beneficial  Owner (a  "Survivor's  Option").  The  Survivor's  Option may not be
exercised  unless  this  Note  was  held by the  Beneficial  Owner  for a period
beginning at least 12 full months immediately prior to the date of such deceased
Beneficial  Owner's death.  "Beneficial Owner" as used in this Survivor's Option
Rider  means,  with  respect  to this  Note,  the  person  who  has  the  right,
immediately  prior to such  person's  death,  to receive the  proceeds  from the
disposition of this Note, as well as the right to receive payments on this Note.

         (b) Upon (1) the valid exercise of the Survivor's Option and the proper
tender of this Note by or on behalf  of a person  that has  authority  to act on
behalf  of the  deceased  Beneficial  Owner of this  Note  under the laws of the
appropriate   jurisdiction   (including,   without   limitation,   the  personal
representative  or executor of the deceased  Beneficial  Owner or the  surviving
joint owner of the deceased Beneficial Owner) (the "Representative") and (2) the
tender and  acceptance  of that  portion of the Funding  Agreement  equal to the
amount of the portion of this Note to be repaid, the Trust shall repay this Note
(or portion  thereof) at a price equal to 100% of the unpaid Principal Amount of
the deceased  Beneficial Owner's  beneficial  interest in this Note plus accrued
and unpaid interest to, but excluding, the date of such repayment.  However, the
Trust shall not be obligated to repay:

             (i) beneficial  ownership  interests in Notes exceeding the greater
             of  $1,000,000  or  1%  in  aggregate   principal  amount  for  all
             Outstanding  notes issued under the  Hartford  Life Global  Funding
             IncomeNotes(sm)  program to which the Survivor Option applies as of
             the  end  of  the  most  recent  calendar  year  (the  "Annual  Put
             Limitation")  or such greater  amounts as  determined in accordance
             with the Funding  Agreement(s)  securing the Notes of the Trust and
             set forth in the Pricing Supplement;

             (ii) on behalf  of a  deceased  Beneficial  Owner,  any  beneficial
             ownership interest in Hartford Life Global Funding  IncomeNotes(sm)
             that  exceeds  $250,000  in  aggregate  in any  calendar  year (the
             "Individual Put Limitation"),  or such greater amount as determined
             in accordance with such Funding  Agreement(s)  and set forth in the
             Pricing Supplement; or

             (iii)  beneficial   ownership  interests  in  Notes  of  the  Trust
             exceeding  the  Trust  Put  Limitation,  if any,  specified  in the
             Pricing Supplement (the "Trust Put Limitation").

         (c) The Trust shall not make principal  repayments pursuant to exercise
of the Survivor's Option in amounts that are less than $1,000, and, in the event
that the  limitations  described in the preceding  sentence  would result in the
partial repayment of this Note, the Principal Amount remaining Outstanding after
repayment must be at least $1,000 (the minimum  authorized  denomination  of the
Notes).

                                      2-20
<PAGE>

         (d) An otherwise  valid election to exercise the Survivor's  Option may
not be withdrawn.

         (e) Election to exercise the Survivor's  Option will be accepted in the
order that elections are received by the Indenture Trustee, except for any Notes
(or portion thereof) the acceptance of which would contravene (1) the Annual Put
Limitation,  (2) the Individual Put Limitation or (3) the Trust Put  Limitation.
Any Note (or portion thereof) accepted for repayment pursuant to exercise of the
Survivor's Option shall be repaid on the first Interest Payment Date that occurs
20 or more calendar days after the date of such  acceptance.  Any exercise(s) of
the Survivor's  Option with respect to Notes (or portions  thereof) not accepted
during any calendar year,  because such  acceptance  would have  contravened the
Annual  Put  Limitation,   the  Individual  Put  Limitation  or  the  Trust  Put
Limitation,  shall be deemed to be  tendered  on the first day of the  following
calendar year in the order all such Notes (or portions  thereof) were originally
tendered.  In the event  that this Note (or any  portion  hereof)  tendered  for
repayment pursuant to valid exercise of the Survivor's Option is not accepted or
if repayment is to be delayed,  the Indenture  Trustee shall deliver a notice by
first-class  mail to the presenting  direct  participant  that states the reason
such  Note  (or  portion  thereof)  has not been  accepted  for  payment  or why
repayment is to be delayed.

         (f) In order to obtain  repayment  through  exercise of the  Survivor's
Option with respect to this Note (or portion hereof),  the  Representative  must
provide the  following  items to the broker or other  entity  through  which the
beneficial interest in this Note is held by the deceased Beneficial Owner: (1) a
written  instruction  to such broker or other entity to notify the Depositary of
the  Representative's  desire to obtain  repayment  through the  exercise of the
Survivor's  Option;  (2)  appropriate  evidence  satisfactory  to the  Indenture
Trustee that (i) the deceased was the Beneficial  Owner of this Note at the time
of death and the  interest  in this Note was  owned by the  deceased  Beneficial
Owner for a period  beginning at least twelve (12) months  immediately  prior to
the date of such deceased Beneficial Owner's death, which evidence may be in the
form of a letter  from the  Representative,  (ii) the  death of such  Beneficial
Owner has occurred, and the date of such death, and (iii) the Representative has
authority to act on behalf of the deceased Beneficial Owner; (3) if the interest
in  this  Note  is  held  by a  nominee  of the  deceased  Beneficial  Owner,  a
certificate or letter  satisfactory  to the Indenture  Trustee from such nominee
attesting to the  deceased's  beneficial  ownership of this Note;  (4) a written
request  for  repayment  signed  by  the  Representative,   with  the  signature
guaranteed by a member firm of a registered  national  securities exchange or of
the National  Association of Securities  Dealers,  Inc. or a commercial  bank or
trust company having an office or  correspondent  in the United  States;  (5) if
applicable,  a properly executed assignment or endorsement;  (6) tax waivers and
such other  instruments  or  documents  that the  Indenture  Trustee  reasonably
requires in order to establish the validity of the beneficial  ownership of this
Note  and  the  claimant's  entitlement  to  payment;  and  (7)  any  additional
information the Indenture Trustee reasonably  requires to evidence  satisfaction
of any  conditions  to the  exercise  of such  Survivor's  Option or to document
beneficial  ownership  or  authority  to make  the  election  and to  cause  the
repayment  of this Note.  Such broker or other entity shall then deliver each of
these items to the direct participant of the Depositary, such direct participant
being the entity  that holds the  beneficial  interest in this Note on behalf of
the deceased  Beneficial  Owner,  together  with  evidence  satisfactory  to the
Indenture Trustee from the broker or other entity stating that it represents the
deceased  Beneficial  Owner.  Such  direct  participant  shall  then  execute an
election form in the form  attached  hereto as Annex A and deliver the originals
of such items to the Indenture Trustee and retain  photocopies  thereof.  If the

                                      2-21
<PAGE>

Indenture  Trustee  determines that it has received the requisite  documentation
and  information  and all  other  conditions  described  in this Note and in the
applicable  prospectus  supplement and pricing  supplement  are  satisfied,  the
Indenture  Trustee  shall make  payment of the  applicable  amount to the direct
participant through the Depositary. Such direct participant shall be responsible
for disbursing any payments it receives from the Depositary pursuant to exercise
of the Survivor's Option to the appropriate Representative. All questions, other
than with respect to the right to limit the aggregate  Principal Amount of Notes
as to which  exercises  of the  Survivor's  Option  shall be accepted in any one
calendar  year,  regarding  the  eligibility  or validity of any exercise of the
Survivor's  Option will be  determined  by the  Indenture  Trustee,  in its sole
discretion,  which  determination  shall be final and  binding  on all  parties,
provided  however,  that any such  determination  is subject to the right of the
issuer of the relevant Funding Agreement to require reasonable evidence that the
exercise of the  Survivor's  Option  satisfied  all of the terms and  conditions
described in this Note or the prospectus,  prospectus  supplement and/or pricing
supplement  applicable to this Note and any  restriction in the schedule to such
Funding Agreement.  The Indenture Trustee shall have no liability to any Person,
including without  limitation,  the Trust, the issuer of the Funding  Agreement,
any  Holder,  any  Beneficial  Owner or any  Representative,  arising out of any
determination made by it relating to the eligibility or validity of any exercise
of the Survivor's  Option,  unless  occasioned by the Indenture  Trustee's gross
negligence or willful misconduct.

         (g) The death of a person holding a beneficial interest in this Note as
a joint tenant or tenant by the entirety with another person,  or as a tenant in
common  with the  deceased  owner's  spouse,  will be  deemed  the  death of the
Beneficial  Owner of this Note, and the entire  Principal Amount of this Note so
held shall be subject to repayment by the Trust upon request in accordance  with
the terms  and  provisions  hereof.  However,  the  death of a person  holding a
beneficial  interest in this Note as tenant in common  with a person  other than
such deceased owner's spouse will be deemed the death of a Beneficial Owner only
with respect to such deceased person's ownership interest in this Note.

         (h) The death of a person  who was a  lifetime  beneficiary  of a trust
holding a  beneficial  interest in this Note will be treated as the death of the
Beneficial  Owner of this Note to the extent of that  person's  interest  in the
trust. The death of a person who was a tenant by the entirety or joint tenant in
a tenancy which is the  beneficiary of a trust holding a beneficial  interest in
this Note will be treated as the death of the Beneficial Owner of this Note. The
death of an  individual  who was a tenant in  common  in a tenancy  which is the
beneficiary  of a trust  holding  a  beneficial  interest  in this  Note will be
treated as the death of the  Beneficial  Owner of this Note only with respect to
the deceased  person's  beneficial  interest in this Note,  unless a husband and
wife are the  tenants  in  common,  in which  case the death of  either  will be
treated as the death of the owner of this Note.

         (i) The death of a person who, during his or her lifetime, was entitled
to substantially all of the beneficial  ownership interests in this Note will be
deemed  the  death of the  Beneficial  Owner of this  Note for  purposes  of the
Survivor's  Option,   regardless  of  whether  that  Beneficial  Owner  was  the
registered holder of this Note, if such beneficial ownership interest can be

                                      2-22
<PAGE>

established to the satisfaction of the Indenture Trustee. A beneficial ownership
interest will be deemed to exist in typical cases of nominee ownership,  such as
ownership under the Uniform Transfers of Gifts to Minors Act, community property
or other joint  ownership  arrangements  between a husband and wife and lifetime
custodial and trust arrangements.

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                                      2-23
<PAGE>

                                                                         ANNEX A

                             REPAYMENT ELECTION FORM

                         HARTFORD LIFE INSURANCE COMPANY

                       HARTFORD LIFE IncomeNotes(sm) PROGRAM

                              CUSIP NUMBER ________

         To:  [Name of Trust] (the "TRUST")

         The undersigned  financial  institution  (the "FINANCIAL  INSTITUTION")
represents the following:

         o        The Financial Institution has received a request for repayment
                  from the executor or other authorized representative (the
                  "AUTHORIZED REPRESENTATIVE ") of the deceased beneficial owner
                  listed below (the "DECEASED BENEFICIAL OWNER ") of the
                  Hartford Life IncomeNotes(sm) program note (CUSIP No.
                  ____________) (the "NOTES ").

         o        At the time of his or her death, the Deceased Beneficial Owner
                  owned Notes in the principal amount listed below.

         o        The Deceased Beneficial Owner acquired the Notes at least
                  twelve (12) months before the date on which the Deceased
                  Beneficial Owner died.

         o        The Financial Institution currently holds such notes as a
                  direct or indirect participant in The Depository Trust Company
                  (the "DEPOSITARY").

The Financial Institution agrees to the following terms:

         o        The Financial Institution shall follow the instructions (the
                  "INSTRUCTIONS") accompanying this Repayment Election Form
                  (this "FORM").

         o        The Financial Institution shall deliver to JPMorgan Chase
                  Bank, N.A. (the "INDENTURE TRUSTEE") the originals of all
                  records specified in the Instructions supporting the above
                  representations and all other related documents received from
                  the relevant broker or other entity, and shall retain
                  photocopies thereof, and shall make such photocopies available
                  to Wilmington Trust Company (the "TRUSTEE "), AMACAR Pacific
                  Corp. (the "ADMINISTRATOR") or [Name of Trust] (the "TRUST ")
                  for inspection and review within five business days of the
                  Trustee's, the Administrator's or the Trust's request.

         o        If the Financial Institution, the Indenture Trustee, the
                  Trustee, the Administrator or the Trust, in any such party's
                  reasonable discretion, deems any of the records specified in
                  the Instructions supporting the above representations or any
                  such

                                      2-24

<PAGE>

                  other related documents unsatisfactory to substantiate a claim
                  for repayment, the Financial Institution shall not be
                  obligated to submit this Form, and the Trustee, the Indenture
                  Trustee, the Administrator or Trust may deny repayment. If the
                  Financial Institution cannot substantiate a claim for
                  repayment, it shall notify the Indenture Trustee immediately.

         o        Survivor's Option Elections may not be withdrawn.

         o        The Financial Institution agrees to indemnify and hold
                  harmless the Trustee, the Indenture Trustee, the Administrator
                  and the Trust against and from any and all claims,
                  liabilities, costs, losses, expenses, suits and damages
                  resulting from the Financial Institution's above
                  representations and request for repayment on behalf of the
                  Authorized Representative.

         o        The Notes will be repaid on the first Interest Payment Date to
                  occur at least 20 calendar days after the date of acceptance
                  of the Notes for repayment, unless such date is not a business
                  day, in which case the date of repayment shall be the next
                  succeeding business day.

         o        Subject to the Trust's rights to limit the aggregate principal
                  amount of Notes as to which exercises of the Survivor's Option
                  shall be accepted in any one calendar year, all questions as
                  to the eligibility or validity of any exercise of the
                  Survivor's Option will be determined by the Indenture Trustee,
                  in its sole discretion, which determination shall be final and
                  binding on all parties.

                                      2-25

<PAGE>

                             REPAYMENT ELECTION FORM
(1)
 -------------------------------------------------------------------------------
                        Name of Deceased Beneficial Owner
(2)
 -------------------------------------------------------------------------------
                                  Date of Death
(3)
 -------------------------------------------------------------------------------
             Name of Authorized Representative Requesting Repayment
(4)
 -------------------------------------------------------------------------------
               Name of Financial Institution Requesting Repayment
(5)
 -------------------------------------------------------------------------------
         Signature of Authorized Representative of Financial Institution
                              Requesting Repayment
(6)
 -------------------------------------------------------------------------------
                     Principal Amount of Requested Repayment
(7)
 -------------------------------------------------------------------------------
                                Date of Election
(8) Financial Institution                   (9) Wire instructions for payment:
    Representative Name:                        Bank Name:
    Phone Number:                               ABA Number:
    Fax Number:                                 Account Name:
    Mailing Address (no P.O. Boxes):            Account Number:
                                                Reference (optional):

 -------------------------------------------------------------------------------
TO BE COMPLETED BY THE INDENTURE TRUSTEE:

(A) DELIVERY AND PAYMENT DATE:

(B) PRINCIPAL AMOUNT:

(C) ACCRUED INTEREST:

(D) DATE OF RECEIPT OF FORM BY THE INDENTURE TRUSTEE:

(E) DATE OF ACKNOWLEDGMENT BY THE INDENTURE TRUSTEE*:

*An acknowledgement, in the form of a copy of this document, will be returned to
the party and location designated in item (8) above.

                                      2-26

<PAGE>

       INSTRUCTIONS FOR COMPLETING REPAYMENT ELECTION FORM AND EXERCISING
                                REPAYMENT OPTION

         Capitalized terms used and not defined herein have the meanings defined
in the accompanying Repayment Election Form.

1.       Collect and retain for a period of at least three years photocopies of
         the following: (1) satisfactory evidence of the authority of the
         Authorized Representative, (2) satisfactory evidence of death of the
         Deceased Beneficial Owner, (3) satisfactory evidence that the Deceased
         Beneficial Owner beneficially owned, at the time of his or her death,
         the notes being submitted for repayment, which evidence may be in the
         form of a letter from the Representative, (4) satisfactory evidence
         that the notes being submitted for repayment were acquired by the
         Deceased Beneficial Owner at least twelve (12) months before the death
         of the Deceased Beneficial Owner, which evidence may be in the form of
         a letter from the Representative, and (5) any necessary tax waivers.
         For purposes of determining whether the notes will be deemed
         beneficially owned by an individual at any given time, the following
         rules shall apply:

         o        If a note (or a portion thereof) is beneficially owned by
                  tenants by the entirety or joint tenants, the note (or
                  relevant portion thereof) will be regarded as beneficially
                  owned by a single owner. Accordingly, the death of a tenant by
                  the entirety or joint tenant will be deemed the death of the
                  beneficial owner and the entire principal amount so owned will
                  become eligible for repayment.

         o        The death of a person beneficially owning a note (or a portion
                  thereof) by tenancy in common will be deemed the death of the
                  beneficial owner only with respect to the deceased owner's
                  interest in the note (or relevant portion thereof) so owned,
                  unless a husband and wife are the tenants in common, in which
                  case the death of either will be deemed the death of the
                  beneficial owner and the entire principal amount so owned will
                  be eligible for repayment.

         o        A note (or a portion thereof) beneficially owned by a trust
                  will be regarded as beneficially owned by each beneficiary of
                  the trust to the extent of that beneficiary's interest in the
                  trust (however, a trust's beneficiaries collectively cannot be
                  beneficial owners of more notes than are owned by the trust).
                  The death of a beneficiary of a trust will be deemed the death
                  of the beneficial owner of the notes (or relevant portion
                  thereof) beneficially owned by the trust to the extent of that
                  beneficiary's interest in the trust. The death of an
                  individual who was a tenant by the entirety or joint tenant in
                  a tenancy which is the beneficiary of a trust will be deemed
                  the death of the beneficiary of the trust. The death of an
                  individual who was a tenant in common in a tenancy which is
                  the beneficiary of a trust will be deemed the death of the
                  beneficiary of the trust only with respect to the deceased
                  holder's beneficial interest in the note, unless a husband and
                  wife are the tenants in common, in which case the death of
                  either will be deemed the death of the beneficiary of the
                  trust.

         o        The death of a person who, during his or her lifetime, was
                  entitled to substantially all of the beneficial interest in a
                  note (or a portion thereof) will be deemed the death of the
                  beneficial owner of that note (or relevant portion thereof),
                  regardless of the registration of ownership, if such
                  beneficial interest can be established to the satisfaction of
                  the Indenture Trustee. Such beneficial interest will exist in
                  many cases of street name or nominee ownership, custodial
                  arrangements, ownership by a trustee, ownership under the
                  Uniform Transfers of Gifts to Minors Act and community
                  property or other joint ownership arrangements between
                  spouses. Beneficial interest will be evidenced by such factors
                  as the power to sell or otherwise dispose of a note, the right
                  to receive the proceeds of sale or disposition and the right
                  to receive interest and principal payments on a note.

2.       Indicate the name of the Deceased Beneficial Owner on line (1).

3.       Indicate the date of death of the Deceased Beneficial Owner on line
         (2).

4.       Indicate the name of the Authorized Representative requesting repayment
         on line (3).

                                      2-27

<PAGE>

5.       Indicate the name of the Financial Institution requesting repayment on
         line (4).

6.       Affix the authorized signature of the Financial Institution's
         representative on line (5). THE SIGNATURE MUST BE MEDALLION SIGNATURE
         GUARANTEED.

7.       Indicate the principal amount of notes to be repaid on line (6).

8.       Indicate the date this Form was completed on line (7).

9.       Indicate the name, mailing address (no P.O. boxes, please), telephone
         number and facsimile-transmission number of the party to whom the
         acknowledgment of this election may be sent in item (8).

10.      Indicate the wire instruction for payment on line (9).

11.      Leave lines (A), (B), (C), (D) and (E) blank.

12.      Mail or otherwise deliver an original copy of the completed Form to:

                            JPMorgan Chase Bank, N.A.
                            Mortgage Custody Services
                     Attn: Shamika T. Smith/Yvonne Gholdston
                         1111 Fannin Street, 12th Floor
                              Houston, Texas 77002

13.      FACSIMILE TRANSMISSIONS OF THE REPAYMENT ELECTION FORM WILL NOT BE
         ACCEPTED.

14.      If the acknowledgement of the Indenture Trustee's receipt of this Form
         is not received within ten days of the date such information is sent to
         JPMorgan Chase Bank, N.A., contact JPMorgan Chase Bank, N.A. at the
         address set forth in item 12, telephone number: (713) 427-6481.

15.      For assistance with this Form or any questions relating thereto, please
         contact: JPMorgan Chase Bank, N.A., at the address set forth in item
         12, telephone number: (713) 427-6481, facsimile number: (713) 427-6488.

                                      2-28

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