Document:

<PAGE>   1
                                                                  Exhibit 10(c)
                                                                  ORDER 99-12-28

                            UNITED STATES OF AMERICA
                          DEPARTMENT OF TRANSPORTATION
                             OFFICE OF THE SECRETARY
                                WASHINGTON, D.C.

                   Issued by the Department of Transportation
                        on the 29th day OF DECEMBER, 1999

Essential Air Service at                                Served:  January 3, 2000

     EL DORADO/CAMDEN, ARKANSAS                          DOCKETS:  OST-1997-2935
     JONESBORO, ARKANSAS
     HARRISON, ARKANSAS
     HOT SPRINGS, ARKANSAS

     ENID, OKLAHOMA                                                OST-1997-2401
     PONCA CITY, OKLAHOMA

     BROWNWOOD, TEXAS                                              OST-1997-2402

     under 49 U.S.C. 41731 et seq.

                            ORDER RESELECTING CARRIER
                         AND ESTABLISHING SUBSIDY RATES

SUMMARY

By this order, the Department reselects Big Sky Transportation, d/b/a Big Sky
Airlines (Big Sky), to provide subsidized essential air service (EAS) at E1
Dorado/Camden, Jonesboro, Harrison, and Hot Springs, Arkansas, Enid and Ponca
City, Oklahoma, and Brownwood, Texas, for a new two-year rate term at a combined
subsidy rate of $6,712,448 annually effective December 1, 1999, through November
30, 2001. (See Appendix A for a map.)

BACKGROUND

Big Sky has provided EAS at these seven communities since late November 1998,
under Order 98-10-9, October 7, 1998, when it was selected to replace Aspen
Mountain Air (AMA), at all seven communities. AMA had experienced severe
financial problems and filed for protection under Chapter 11 of the bankruptcy
laws. AMA shortly thereafter informed the Department that because of its ongoing
financial situation it intended to suspend service at the seven communities as
soon as a replacement carrier could be found. Consequently, the Department
requested emergency replacement service and selected Big Sky to provide service
at the seven communities at the same service levels and subsidy rates as AMA's.
All service is provided with 19-seat Metro aircraft. Big Sky's current subsidy
rates and service levels for the seven communities expired November 30, 1999.

<PAGE>   2

                                        2

Under our normal procedures when nearing the end of a rate term, we contact the
incumbent carrier to determine whether it is interested in continuing service
and whether it will continue to require subsidy. If the carrier wishes to
continue service with subsidy, we usually negotiate a new subsidy rate with the
carrier, issue an order tentatively reselecting it for a new two-year rate term
at the agreed-to rate, and direct other parties to show cause why we should not
finalize our tentative decision. Other carriers are then invited to submit
competing proposals in response to the show-cause order, and if any such
proposals are received, we process them as a competitive case. Although Big Sky
had advised us that it was interested in continuing to provide subsidized
service at all seven points, in this case, two other carriers expressed an
interest in providing EAS at these communities--Merlin Express, located in San
Antonio, Texas, and Casino Airlines, in Shreveport, Louisiana. Under those
circumstances and our program policy, we issued an order requesting proposals
from all interested carriers to provide essential air service at the seven
communities.

PROPOSALS

We received a proposal from only one carrier, Big Sky Airlines. The carrier
proposes to provide EAS at all seven communities with 19~seat Metro aircraft at
the same service level it is currently providing and at the annual subsidy rates
as follows:

<TABLE>
<CAPTION>
                                                              ROUND TRIPS
                                                              EACH WEEKDAY
COMMUNITY                        HUB                          AND WEEKEND         ANNUAL SUBSIDY RATE
---------                       -----                         -----------         -------------------
<S>                         <C>                                  <C>              <C>
E1 Dorado                   Dallas (nonstop)                     Three            ELD and JBR
Jonesboro                   Dallas (via El Dorado)               Two              $1,651,137

Harrison                    St. Louis (via Mountain Home) &      Two
                            Dallas (via Hot Springs)             Two

Hot Springs                 St. Louis (via Mountain Home &       Two              Harrison and
                            Harrison)and                                           Hot Springs
                            Dallas (nonstop)                     Three            $2,251,181 (1)

Enid                        Dallas (via Ponca City)              Four             Enid and Ponca
Ponca City                  Dallas (via Enid)                    Four             City--$1,944,244

Brownwood                   Dallas (nonstop)                     Three            $865,886
</TABLE>

COMMUNITY COMMENTS

We have not received any formal comments from the communities; however, we have
informally discussed Big Sky's proposed service with civic officials from
Jonesboro, El Dorado, and Enid. Both Jonesboro and Enid were satisfied with Big
Sky's proposed service except that Jonesboro requested service to St. Louis in
addition to its subsidized Dallas service. During the past year,

(1) The St. Louis service is provided over the intermediate point Mountain Home.
Mountain Home is not an essential air service community.

<PAGE>   3

                                       3

Big Sky experimented with providing one round trip a day in the Jonesboro-St.
Louis market. That service proved to be unprofitable and has been suspended by
Big Sky.(2) El Dorado has complained that Big Sky's service has been unreliable
in that too many flights have been cancelled.

DECISION

We have reviewed Big Sky's proposal and find that the proposed service will meet
the essential air service requirements for the seven communities and that its
subsidy request is reasonable. Thus, we will reselect Big Sky to provide
essential air service at Brownwood, Enid, Ponca City, Harrison, Hot Spring,
Jonesboro and E1 Dorado for another two-year period through November 30, 2001,
at a combined annual subsidy rate of $6,712,448.(3)

The combined rate we are authorizing here is above the current rate by about
$380,000, principally because traffic in most markets has been depressed over
the past several years. While we are concerned about any increase in subsidy
rates, there are extenuating circumstances regarding these seven communities. In
late 1995, the Department implemented program-wide service cuts as a result of
Congressional reductions in fiscal year 1996 funding for the EAS program.(4)
Subsidy levels in all markets (except Alaska), including these seven communities
were cut to support only ten round trips a week in order to keep spending within
Congressional budget levels. Beginning in fiscal year 1998 (effective October 1,
1997), Congress authorized funds necessary to restore service compliance with
the statutory EAS requirements established in the Airport and Airway Safety and
Capacity Expansion Act of 1987.(5) Toward the end of 1997 and early 1998,
carriers began phasing in the required service upgrades. Not long after service
had been restored at these seven communities the incumbent carrier, Aspen
Mountain Air, began having financial troubles and its service became unreliable
and was finally terminated in November 1998. As we explained above, although Big
Sky was selected to provide replacement service, AMA's suspension occurred
before Big Sky was fully prepared to commence service and, consequently, Big Sky
was unable initially to implement a full service pattern. In a further
development, Big Sky, along with several other commuter carriers, suffered a
heavy loss of pilots to larger air carriers, which forced flight cancellations,
especially in mid-1999. Thus, in view of this succession of disruptive
developments, service at these communities has only recently become fully
reliable. For that reason, Big Sky has been understandably reluctant to project
much increase in traffic at the communities. In these circumstances, although we
are concerned that the subsidy rate in total is increasing, we find Big Sky's
revenue projections and subsidy-need estimate reasonable.

As a final matter, we have earmarked a specific dollar amount for local
advertising in Big Sky's subsidy rates and we fully expect the carrier to use
that amount as proposed to continue to promote its service at these essential
air service communities.

(2) Although St. Louis is not part of Jonesboro's EAS definition, Big Sky
offered the St. Louis service for about a six-month period between July and
December. In light of the fact that not many passengers used the St. Louis
service, at this time we are not prepared to expand Jonesboro's EAS definition.

(3) See Appendix B for details of Big Sky's subsidy calculation.

(4) See Orders 95-11-28, November 17, 1995, and 96-2-1, February 2, 1996.

(5) These funds are provided for by the Rural Air Service Survival Act, which
was part of the FAA reauthorization legislation, enacted in 1996.

<PAGE>   4

                                        4

CARRIER FITNESS

49 U.S.C. 41737(b) and 41738 require that we find an air carrier fit, willing
and able to provide reliable service before we compensate it for providing
essential air service. We last reviewed Big Sky's fitness by Order 98-9-12,
September 14, 1998, in connection with its selection at seven Montana points,
and Order 98-10-9, October 7, 1998, in connection with its selection at the
seven points in Arkansas, Oklahoma, and Texas. The Department routinely monitors
the carrier's continuing fitness, and no information has come to our attention
that would lead us to question their ability to operate in a reliable manner. We
contacted the FAA Flight Standards District Office in Montana that oversees Big
Sky's operations and they have advised us that Big Sky is conducting its
operations in accordance with its regulations, and that it knows of no reason
why we should not find that Big Sky Airlines remains fit. Based on our review of
its most recent submissions, we find that Big Sky Airlines continues to have
available adequate financial and managerial resources to maintain reliable
service at the seven communities in Arkansas, Oklahoma, and Texas, and that it
continues to possess a favorable compliance disposition.

This order is issued under authority delegated in 49 CFR 1.56a(f).

ACCORDINGLY,

1. The Department selects Big Sky Airlines to provide essential air service at
El Dorado/Camden, Jonesboro, Harrison, and Hot Springs, Arkansas; Enid and Ponca
City, Oklahoma; and Brownwood, Texas, at the service levels and subsidy rates
described in Appendix C, from December 1, 1999, through November 30, 2001;

3. The Department sets the final rates of compensation for Big Sky Airlines for
the provision of essential air service at E1 Dorado/Camden, Jonesboro, Harrison,
and Hot Springs, Arkansas; Enid and Ponca City, Oklahoma; and Brownwood, Texas,
as described in Appendix C, from December 1, 1999, through November 30, 2000,
payable as follows: for each calendar month during which essential air service
is provided, the amount of compensation shall be subject to the ceilings per
week set forth in Appendix C, and shall be determined by multiplying the
subsidy-eligible arrivals and departures flown during the month by the following
amounts;(6)

<TABLE>
<S>                                         <C>
Enid and Ponca City:                        $408.63
Brownwood:                                  $485.36
El Dorado and Jonesboro:                    $555.19
Hot Springs and Harrison:                   $420.62
</TABLE>

3. We find that Big Sky Airlines continues to be fit, willing, and able to
operate as a commuter air carrier and capable of providing reliable essential
air service at E1 Dorado/Camden, Jonesboro, Harrison, and Hot Springs, Arkansas;
Enid and Ponca City, Oklahoma; and Brownwood, Texas;

(6) See Appendix B for the calculation of these rates, which assumes the use of
the aircraft designated. If the carrier reports a significant number of aircraft
substitutions, a revision of these rates may be required.

<PAGE>   5

                                       5

4. We direct Big Sky Airlines to retain all books, records, and other source and
summary documentation to support claims for payment, and to preserve and
maintain such documentation in a manner that readily permits its audit and
examination by representatives of the Department. Such documentation shall be
retained for seven years or until the Department indicates that the records may
be destroyed. Copies of flight logs for aircraft sold or disposed of must be
retained. The carriers may forfeit their compensation for any claim that is not
supported under the terms of this order;

5. These dockets will remain open until further order of the Department; and

6. We will serve a copy of this order on the Mayors and airport managers of E1
Dorado, Camden, Jonesboro, Harrison, and Hot Springs, Arkansas, Enid and Ponca
City, Oklahoma, and Brownwood, Texas, the States' Departments of Transportation,
and Big Sky Airlines.

By:

(SEAL)

                                A. BRADLEY MIRES
                                Deputy Assistant Secretary for Aviation
                                and International Affairs

  An electronic version of this document is available on the world Wide Web at
                              http : //dms.dot.gov<PAGE>   1

                                                                     EXHIBIT 4.4

                                                                  EXECUTION COPY
================================================================================

                           O'SULLIVAN INDUSTRIES, INC.

                                     Issuer

                     O'SULLIVAN INDUSTRIES - VIRGINIA, INC.

                                    Guarantor

                   13-3/8% SENIOR SUBORDINATED NOTES DUE 2009

                                    INDENTURE

                          Dated as of November 30, 1999

                  Norwest Bank Minnesota, National Association

                                     Trustee

================================================================================

<PAGE>   2

                             CROSS-REFERENCE TABLE*

<TABLE>
<CAPTION>
Trust Indenture
Act Section                                                        Indenture Section
<S>                                                                <C>
310(a)(1)...........................................................     7.10
 (a)(2).............................................................     7.10
 (a)(3).............................................................     N.A.
 (a)(4).............................................................     N.A.
 (a)(5).............................................................     7.10
 (b)................................................................     7.10
 (c)................................................................     N.A.
311(a)..............................................................     7.11
 (b)................................................................     7.11
 (c)................................................................     N.A.
312(a)..............................................................     2.05
 (b)................................................................     13.03
 (c)................................................................     13.03
313(a)..............................................................     7.06
 (b)(1).............................................................     10.03
 (b)(2).............................................................     7.07
 (c)................................................................  7.06;13.02
 (d)................................................................     7.06
314(a)..............................................................  4.03;13.02
 (b)................................................................     10.02
 (c)(1).............................................................     13.04
 (c)(2).............................................................     13.04
 (c)(3).............................................................     N.A.
 (d)................................................................     N.A.
 (e)................................................................     13.05
 (f)................................................................     N.A.
315(a)..............................................................     7.01
 (b)................................................................  7.05,13.02
 (c)................................................................     7.01
 (d)................................................................     7.01
 (e)................................................................     6.11
316(a) (last sentence)..............................................     2.09
 (a)(1)(A)..........................................................     6.05
 (a)(1)(B)..........................................................     6.04
 (a)(2).............................................................     N.A.
 (b)................................................................     6.07
 (c)................................................................     2.12
317(a)(1)...........................................................     6.08
 (a)(2).............................................................     6.09
 (b)................................................................     2.04
318(a)..............................................................     13.01
 (b)................................................................     N.A.
 (c)................................................................     13.01
</TABLE>

N.A. means not applicable.
*  This Cross Reference Table is not part of the Indenture.

                                       F-2

<PAGE>   3

                                TABLE OF CONTENTS

                                                                            Page

                                   ARTICLE 1.
                          DEFINITIONS AND INCORPORATION
                                  BY REFERENCE

<TABLE>
<S>            <C>                                                              <C>
Section 1.01.  Definitions. . . . . . . . . . . . . . . . . . . . . . . . . .    1
Section 1.02.  Other Definitions. . . . . . . . . . . . . . . . . . . . . . .   20
Section 1.03.  Incorporation by Reference of Trust Indenture Act. . . . . . .   20
Section 1.04.  Rules of Construction. . . . . . . . . . . . . . . . . . . . .   21
</TABLE>

                                   ARTICLE 2.
                                    THE NOTES

<TABLE>
<S>            <C>                                                              <C>
Section 2.01.  Form and Dating. . . . . . . . . . . . . . . . . . . . . . . .   21
Section 2.02.  Execution and Authentication.. . . . . . . . . . . . . . . . .   22
Section 2.03.  Registrar and Paying Agent.. . . . . . . . . . . . . . . . . .   23
Section 2.04.  Paying Agent to Hold Money in Trust. . . . . . . . . . . . . .   23
Section 2.05.  Holder Lists.. . . . . . . . . . . . . . . . . . . . . . . . .   23
Section 2.06.  Transfer and Exchange. . . . . . . . . . . . . . . . . . . . .   24
Section 2.07.  Replacement Notes. . . . . . . . . . . . . . . . . . . . . . .   35
Section 2.08.  Outstanding Notes. . . . . . . . . . . . . . . . . . . . . . .   35
Section 2.09.  Treasury Notes.. . . . . . . . . . . . . . . . . . . . . . . .   35
Section 2.10.  Temporary Notes. . . . . . . . . . . . . . . . . . . . . . . .   36
Section 2.11.  Cancellation.. . . . . . . . . . . . . . . . . . . . . . . . .   36
Section 2.12.  Defaulted Interest . . . . . . . . . . . . . . . . . . . . . .   36
</TABLE>

                                   ARTICLE 3.
                            REDEMPTION AND PREPAYMENT

<TABLE>
<S>            <C>                                                              <C>
Section 3.01.  Notices to Trustee. . . . . . . . . . . . . . . . . . . . . . .  36
Section 3.02.  Selection of Notes to Be Redeemed.. . . . . . . . . . . . . . .  37
Section 3.03.  Notice of Redemption. . . . . . . . . . . . . . . . . . . . . .  37
Section 3.04.  Effect of Notice of Redemption. . . . . . . . . . . . . . . . .  38
Section 3.05.  Deposit of Redemption Price.. . . . . . . . . . . . . . . . . .  38
Section 3.06.  Notes Redeemed in Part. . . . . . . . . . . . . . . . . . . . .  38
Section 3.07.  Optional Redemption.. . . . . . . . . . . . . . . . . . . . . .  38
Section 3.08.  Mandatory Redemption. . . . . . . . . . . . . . . . . . . . . .  39
Section 3.09.  Offer to Purchase by Application of Excess Proceeds.. . . . . .  39
</TABLE>

                                   ARTICLE 4.
                                   COVENANTS

<TABLE>
<S>            <C>                                                              <C>
Section 4.01.  Payment of Notes.. . . . . . . . . . . . . . . . . . . . . . .   41
Section 4.02.  Maintenance of Office or Agency. . . . . . . . . . . . . . . .   41
Section 4.03.  Reports. . . . . . . . . . . . . . . . . . . . . . . . . . . .   41
Section 4.04.  Compliance Certificate.. . . . . . . . . . . . . . . . . . . .   42
Section 4.05.  Taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . .   42
Section 4.06.  Stay, Extension and Usury Laws.. . . . . . . . . . . . . . . .   43
Section 4.07.  Restricted Payments. . . . . . . . . . . . . . . . . . . . . .   43
Section 4.08.  Dividend and Other Payment Restrictions Affecting Restricted
               Subsidiaries.. . . . . . . . . . . . . . . . . . . . . . . . .   45
Section 4.09.  Incurrence of Indebtedness and Issuance of Preferred Stock.. .   46
</TABLE>

                                        i

<PAGE>   4

<TABLE>
<S>            <C>                                                              <C>
Section 4.10.  Asset Sales.................................................     48
Section 4.11.  Transactions with Affiliates................................     49
Section 4.12.  Liens.......................................................     50
Section 4.13.  Business Activities.........................................     50
Section 4.14.  Corporate Existence.........................................     50
Section 4.15.  Offer to Repurchase Upon Change of Control..................     50
Section 4.16.  Anti-Layering...............................................     51
Section 4.17.  Sale and Leaseback Transactions.............................     51
Section 4.18.  Additional Guarantees.......................................     52
Section 4.19.  Designation of Restricted and Unrestricted Subsidiaries.....     52
</TABLE>

                                   ARTICLE 5.
                                   SUCCESSORS

<TABLE>
<S>            <C>                                                              <C>
Section 5.01.  Merger, Consolidation, or Sale of Assets....................     52
Section 5.02.  Successor Corporation Substituted...........................     53
</TABLE>

                                   ARTICLE 6.
                              DEFAULTS AND REMEDIES

<TABLE>
<S>            <C>                                                              <C>
Section 6.01.  Events of Default..........................................      53
Section 6.02.  Acceleration...............................................      55
Section 6.03.  Other Remedies.............................................      55
Section 6.04.  Waiver of Past Defaults....................................      56
Section 6.05.  Control by Majority........................................      56
Section 6.06.  Limitation on Suits........................................      56
Section 6.07.  Rights of Holders of Notes to Receive Payment..............      56
Section 6.08.  Collection Suit by Trustee.................................      57
Section 6.09.  Trustee May File Proofs of Claim...........................      57
Section 6.10.  Priorities.................................................      57
Section 6.11.  Undertaking for Costs......................................      58
</TABLE>

                                   ARTICLE 7.
                                     TRUSTEE

<TABLE>
<S>            <C>                                                              <C>
Section 7.01.  Duties of Trustee..........................................      58
Section 7.02.  Rights of Trustee..........................................      59
Section 7.03.  Individual Rights of Trustee...............................      59
Section 7.04.  Trustee's Disclaimer.......................................      59
Section 7.05.  Notice of Defaults.........................................      60
Section 7.06.  Reports by Trustee to Holders of the Notes.................      60
Section 7.07.  Compensation and Indemnity.................................      60
Section 7.08.  Replacement of Trustee.....................................      61
Section 7.09.  Successor Trustee by Merger, etc...........................      62
Section 7.10.  Eligibility; Disqualification..............................      62
Section 7.11.  Preferential Collection of Claims Against Company..........      62
</TABLE>

                                   ARTICLE 8.
                    LEGAL DEFEASANCE AND COVENANT DEFEASANCE

<TABLE>
<S>            <C>                                                              <C>
Section 8.01.  Option to Effect Legal Defeasance or Covenant Defeasance...      62
Section 8.02.  Legal Defeasance and Discharge.............................      62
Section 8.03.  Covenant Defeasance........................................      63
Section 8.04.  Conditions to Legal or Covenant Defeasance.................      63
</TABLE>

                                       ii

<PAGE>   5

<TABLE>
<S>            <C>                                                              <C>
Section 8.05.  Deposited Money and Government Securities to be Held in Trust;
               Other Miscellaneous Provisions................................   64
Section 8.06.  Repayment to Company..........................................   65
Section 8.07.  Reinstatement.................................................   65
</TABLE>

                                   ARTICLE 9.
                        AMENDMENT, SUPPLEMENT AND WAIVER

<TABLE>
<S>            <C>                                                              <C>
Section 9.01.  Without Consent of Holders of Notes...........................   65
Section 9.02.  With Consent of Holders of Notes..............................   66
Section 9.03.  Compliance with Trust Indenture Act...........................   67
Section 9.04.  Revocation and Effect of Consents.............................   67
Section 9.05.  Notation on or Exchange of Notes..............................   68
Section 9.06.  Trustee to Sign Amendments, etc...............................   68
</TABLE>

                                   ARTICLE 10.
                                  SUBORDINATION

<TABLE>
<S>            <C>                                                              <C>
Section 10.01. Agreement to Subordinate......................................   68
Section 10.02. Liquidation; Dissolution; Bankruptcy..........................   68
Section 10.03. Default on Designated Senior Debt.............................   69
Section 10.04. Acceleration of Securities....................................   69
Section 10.05. When Distribution Must Be Paid Over...........................   69
Section 10.06. Notice by Company.............................................   70
Section 10.07. Subrogation...................................................   70
Section 10.08. Relative Rights...............................................   70
Section 10.09. Subordination May Not Be Impaired by Company..................   71
Section 10.10. Distribution or Notice to Representative......................   71
Section 10.11. Rights of Trustee and Paying Agent............................   71
Section 10.12. Authorization to Effect Subordination.........................   71
Section 10.13. Amendments....................................................   71
</TABLE>

                                   ARTICLE 11.
                              SUBSIDIARY GUARANTEES

<TABLE>
<S>            <C>                                                              <C>
Section 11.01. Guarantee.....................................................   72
Section 11.02. Subordination of Subsidiary Guarantee.........................   73
Section 11.03. Limitation on Guarantor Liability.............................   73
Section 11.04. Execution and Delivery of Subsidiary Guarantee................   73
Section 11.05. Guarantors May Consolidate, etc., on Certain Terms............   74
Section 11.06. Releases Following Sale of Assets.............................   74
</TABLE>

                                   ARTICLE 12.
                           SATISFACTION AND DISCHARGE

<TABLE>
<S>            <C>                                                              <C>
Section 12.01. Satisfaction and Discharge....................................   75
Section 12.02. Application of Trust Money....................................   75
</TABLE>

                                   ARTICLE 13.
                                  MISCELLANEOUS

<TABLE>
<S>            <C>                                                              <C>
Section 13.01. Trust Indenture Act Controls..................................   76
Section 13.02. Notices.......................................................   76
Section 13.03. Communication by Holders of Notes with Other Holders of Notes.   77
Section 13.04. Certificate and Opinion as to Conditions Precedent............   77
Section 13.05. Statements Required in Certificate or Opinion.................   78
</TABLE>

                                      iii

<PAGE>   6

<TABLE>
<S>            <C>                                                              <C>
Section 13.06. Rules by Trustee and Agents. . . . . . . . . . . . . . . . . .   78
Section 13.07. No Personal Liability of Directors, Officers, Employees and
               Stockholders.. . . . . . . . . . . . . . . . . . . . . . . . .   78
Section 13.08. Governing Law. . . . . . . . . . . . . . . . . . . . . . . . .   78
Section 13.09. No Adverse Interpretation of Other Agreements. . . . . . . . .   78
Section 13.10. Successors.. . . . . . . . . . . . . . . . . . . . . . . . . .   78
Section 13.11. Severability.. . . . . . . . . . . . . . . . . . . . . . . . .   79
Section 13.12. Counterpart Originals. . . . . . . . . . . . . . . . . . . . .   79
Section 13.13. Table of Contents, Headings, etc.. . . . . . . . . . . . . . .   79
</TABLE>

                                    EXHIBITS

<TABLE>
<S>            <C>                                                              <C>
Exhibit A1     FORM OF NOTE
Exhibit A2     FORM OF REGULATION S TEMPORARY GLOBAL NOTE
Exhibit B      FORM OF CERTIFICATE OF TRANSFER
Exhibit C      FORM OF CERTIFICATE OF EXCHANGE
Exhibit D      FORM OF CERTIFICATE OF ACQUIRING INSTITUTIONAL
               ACCREDITED INVESTOR
Exhibit E      FORM OF SUBSIDIARY GUARANTEE
Exhibit F      FORM OF SUPPLEMENTAL INDENTURE
</TABLE>

                                       iv

<PAGE>   7

     INDENTURE, dated as of November 30, 1999, among O'Sullivan Industries,
Inc., a Delaware corporation (the "Company"), O'Sullivan Industries -- Virginia,
Inc. (the "Guarantor") and Norwest Bank Minnesota, National Association, as
trustee (the "Trustee").

     The Company, the Guarantor and the Trustee agree as follows for the
benefit of each other and for the equal and ratable benefit of the Holders of
the 13 3/8% Senior Subordinated Notes due 2009 (the "Notes"):

                                   ARTICLE 1.
                         DEFINITIONS AND INCORPORATION
                                  BY REFERENCE

Section 1.01. Definitions.

     "144A Global Note" means a global note in the form of Exhibit A1 hereto
bearing the Global Note Legend and the Private Placement Legend and deposited
with or on behalf of, and registered in the name of, the Depositary or its
nominee that will be issued in a denomination equal to the outstanding
principal amount of Notes sold in reliance on Rule 144A.

     "Acquired Debt" means, with respect to any specified Person:

(1)  Indebtedness of any other Person existing at the time such other Person
     is merged with or into or became a Subsidiary of such specified Person,
     whether or not such Indebtedness is incurred in connection with, or in
     contemplation of, such other Person merging with or into, or becoming a
     Subsidiary of such specified Person, and

(2)  Indebtedness secured by a Lien encumbering any asset acquired by such
     specified Person.

     "Additional Notes" means up to $100 million in aggregate principal amount
of Notes (other than the Initial Notes) issued under this Indenture in
accordance with Sections 2.02 and 4.09 hereof, as part of the same series as
the Initial Notes.

     "Affiliate" of any specified Person means any other Person directly or
indirectly controlling or controlled by or under direct or indirect common
control with such specified Person. For purposes of this definition, "control,"
as used with respect to any Person, shall mean the possession, directly or
indirectly, of the power to direct or cause the direction of the management or
policies of such Person, whether through the ownership of voting securities, by
agreement or otherwise. For purposes of this definition, the terms
"controlling," "controlled by" and "under common control with" shall have
correlative meanings.

     "Agent" means any Registrar, Paying Agent or co-registrar.

     "Applicable Premium" means, with respect to any Note on any date (the
"Calculation Date"), the greater of:

(1)  1.0% of the principal amount of such Note; or

(2)  the excess of:

      (A)  the present value at such Calculation Date of:

                                       1

<PAGE>   8

            (1) the redemption price of such Note at October 15, 2004 (such
            redemption price being set forth in the table in Section 3.07
            hereof) plus

            (2) all required interest payments due on such Note through October
            15, 2004 (excluding accrued but unpaid interest)

      computed using a discount rate equal to the Treasury Rate plus 50 basis
      points over

      (B)  the principal amount of such Note, if greater.

     "Applicable Procedures" means, with respect to any transfer or exchange of
or for beneficial interests in any Global Note, the rules and procedures of the
Depositary, Euroclear and Cedelbank that apply to such transfer or exchange.

     "Asset Sale" means:

(1)  the sale, lease, conveyance or other disposition of any assets or rights
     (including, without limitation, by way of a sale and leaseback) (provided
     that the sale, lease, conveyance or other disposition of all or
     substantially all of the assets of the Company and its Restricted
     Subsidiaries taken as a whole will be governed by Section 4.15 and/or
     Section 5.01 hereof and not by Sections 3.09 and 4.10 hereof); and

(2)  the issue or sale by the Company or any of its Restricted Subsidiaries of
     Equity Interests of any of the Company's Restricted Subsidiaries, in the
     case of either clause (1) or (2), whether in a single transaction or a
     series of related transactions:

      (a)  that have a fair market value in excess of $5.0 million, or

      (b)  for net proceeds in excess of $5.0 million.

     Notwithstanding the preceding, the following items shall not be deemed to
be Asset Sales:

(1)  a disposition of assets by the Company to a Restricted Subsidiary or by a
     Restricted Subsidiary to the Company or to another Restricted Subsidiary;

(2)  an issuance of Equity Interests by a Restricted Subsidiary to the Company
     or to another Restricted Subsidiary;

(3)  a Restricted Payment that is permitted by Section 4.07 hereof;

(4)  a disposition in the ordinary course of business;

(5)  the sale and leaseback of any assets within 90 days of the acquisition
     thereof;

(6)  foreclosures on assets; and

(7)  the licensing of intellectual property.

     "Attributable Debt" in respect of a sale and leaseback transaction means,
at the time of determination, the present value of the obligation of the lessee
for net rental payments during the remaining term of the lease included in such
sale and leaseback transaction including any period for

                                       2

<PAGE>   9

which such lease has been extended or may, at the option of the lessor, be
extended. Such present value shall be calculated using a discount rate equal to
the rate of interest implicit in such transaction, determined in accordance
with GAAP.

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

     "Beneficial Owner" has the meaning assigned to such term in Rule 13d-3 and
Rule 13d-5 under the Exchange Act, except that in calculating the beneficial
ownership of any particular "person" (as that term is used in Section 13(d)(3)
of the Exchange Act), such "person" shall be deemed to have beneficial
ownership of all securities that such "person" has the right to acquire by
conversion or exercise of other securities, whether such right is currently
exercisable or is exercisable only upon the occurrence of a subsequent
condition. The terms "Beneficially Owns" and "Beneficially Owned" shall have a
corresponding meaning.

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

     "Broker-Dealer" means any broker or dealer registered under the Exchange
Act.

     "BRS" means Bruckmann, Rosser, Sherrill & Co., L.L.C., a Delaware limited
liability company.

     "Business Day" means any day other than a Legal Holiday.

     "Capital Lease Obligation" means, at the time any determination thereof is
to be made, the amount of the liability in respect of a capital lease that would
at such time be required to be capitalized on a balance sheet in accordance with
GAAP.

     "Capital Stock" means:

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

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

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

(4)  any other interest or participation that confers on a Person the right to
     receive a share of the profits and losses of, or distributions of assets
     of, the issuing Person.

     "Cash Equivalents" means:

(1)  United States dollars;

(2)  Government Securities having maturities of not more than six months from
     the date of acquisition;

(3)  certificates of deposit and eurodollar time deposits with maturities of
     six months or less from the date of acquisition, bankers' acceptances with
     maturities not exceeding six months and overnight bank deposits, in each
     case with any lender party to the Senior Credit Facilities or with any
     domestic commercial bank having capital and surplus in excess of $500
     million and a Thompson Bank Watch Rating of "B" or better;

                                       3

<PAGE>   10

(4)  repurchase obligations with a term of not more than seven days for
     underlying securities of the types described in clauses (2) and (3) above
     entered into with any financial institution meeting the qualifications
     specified in clause (3) above;

(5)  commercial paper having the rating of "P-2" (or higher) from Moody's
     Investors Service, Inc. or "A-3" (or higher) from Standard & Poor's
     Corporation and in each case maturing within six months after the date of
     acquisition; and

(6)  any fund investing exclusively in investments of which constitute Cash
     Equivalents of the kinds described in clauses (1) through (5) of this
     definition.

     "Cedelbank" means Cedelbank, a limited liability company (a societe
anonyme) organized under Luxembourg law.

     "Change of Control" means the occurrence of any of the following:

(1)  the sale, lease, transfer, conveyance or other disposition (other than by
     way of merger or consolidation), in one or a series of related
     transactions, of all or substantially all of the assets of the Company and
     its Subsidiaries taken as a whole to any "person" (as such term is used in
     Section 13(d)(3) of the Exchange Act) other than a Principal or a Related
     Party of a Principal;

(2)  the adoption of a plan relating to the liquidation or dissolution of the
     Company;

(3)  the consummation of any transaction the result of which is that any
     "person" (as such term is defined in Sections 13(d) and 14(d) of the
     Exchange Act), other than one or more Principals or their Related Parties
     or a Permitted Group becomes the Beneficial Owner, directly or indirectly,
     of more than 50% of the Voting Stock of O'Sullivan Holdings, provided that
     the Principals and Related Parties Beneficially Own, directly or
     indirectly, in the aggregate a lesser percentage of the total voting power
     of the Voting Stock of O'Sullivan Holdings than such other person and do
     not have the right or ability by voting power, contract or otherwise, to
     elect or designate for election a majority of the Board of Directors of
     O'Sullivan Holdings;

(4)  the first day on which a majority of the members of the Board of
     Directors of O'Sullivan Holdings are not Continuing Directors; or

(5)  the first day on which the Company ceases to be a Wholly Owned Restricted
     Subsidiary of O'Sullivan Holdings.

     "Company" means O'Sullivan Industries, Inc., and any and all successors
thereto.

     "Consolidated Cash Flow" means, with respect to any Person for any
period, the Consolidated Net Income of such Person for such period, plus:

(1)  an amount equal to any extraordinary loss plus any net loss realized in
     connection with an Asset Sale, to the extent such losses were deducted in
     computing such Consolidated Net Income; plus

(2)  provision for taxes based on income or profits of such Person and its
     Subsidiaries for such period, to the extent that such provision for taxes
     was deducted in computing such Consolidated Net Income; plus

                                       4

<PAGE>   11

(3)  consolidated interest expense of such Person and its Subsidiaries for
     such period, whether paid or accrued and whether or not capitalized
     (including, without limitation, amortization of debt issuance costs and
     original issue discount, non-cash interest payments, the interest
     component of any deferred payment obligations, the interest component of
     all payments associated with Capital Lease Obligations, commissions,
     discounts and other fees and charges incurred in respect of letter of
     credit or bankers' acceptance financings, and net payments, if any,
     pursuant to Hedging Obligations), to the extent that any such expense was
     deducted in computing such Consolidated Net Income; plus

(4)  depreciation, amortization (including amortization of goodwill and other
     intangibles but excluding amortization of prepaid cash expenses that were
     paid in a prior period) and other non-cash charges (excluding any such
     non-cash charge to the extent that it represents an accrual of or reserve
     for cash expenses in any future period or amortization of a prepaid cash
     expense that was paid in a prior period) of such Person and its
     Subsidiaries for such period to the extent that such depreciation,
     amortization and other non-cash expenses were deducted in computing such
     Consolidated Net Income; plus

(5)  expenses and charges of the Company related to the Recapitalization which
     are incurred within 90 days of the consummation of the Recapitalization,
     plus

(6)  any extraordinary charges, as defined by GAAP, for such period to the
     extent that such charges were deducted in computing such Consolidated Net
     Income, plus

(7)  amounts accrued pursuant to the Management Services Agreement to the
     extent such amounts were deducted in computing Consolidated Net Income but
     were not paid in cash, minus

(8)  the amount of any cash payments made pursuant to the Management Services
     Agreement whether or not such amount was deducted in computing
     Consolidated Net Income, minus

(9)  any tax payments to Tandy Corporation or any of its Affiliates in respect
     of such period to the extent such payments exceed the provision for taxes
     for such period.

      "Consolidated Interest Expense" means, with respect to any Person for any
period, the sum of, without duplication:

(1)  the interest expense of such Person and its Restricted Subsidiaries for
     such period, on a consolidated basis, determined in accordance with GAAP
     (including amortization of original issue discount, non-cash interest
     payments, the interest component of all payments associated with Capital
     Lease Obligations, imputed interest with respect to Attributable Debt,
     commissions, discounts and other fees and charges incurred in respect of
     letter of credit or bankers' acceptance financings, and net payments, if
     any, pursuant to Hedging Obligations; provided that in no event shall any
     amortization of deferred financing costs be included in Consolidated
     Interest Expense); plus

(2)  the consolidated capitalized interest of such Person and its Restricted
     Subsidiaries for such period, whether paid or accrued.

Notwithstanding the preceding, the Consolidated Interest Expense with respect
to any Restricted Subsidiary that is not a Wholly Owned Restricted Subsidiary
shall be included only to the extent (and in the same proportion) that the net
income of such Restricted Subsidiary was included in calculating Consolidated
Net Income.

                                       5

<PAGE>   12

     "Consolidated Net Income" means, with respect to any Person for any
period, the aggregate of the Net Income of such Person and its Restricted
Subsidiaries for such period, on a consolidated basis, determined in accordance
with GAAP; provided that

(1)  the Net Income (but not loss) of any Person that is not a Restricted
     Subsidiary or that is accounted for by the equity method of accounting
     shall be included only to the extent of the amount of dividends or
     distributions paid in cash to the referent Person or a Restricted
     Subsidiary thereof;

(2)  the Net Income of any Restricted Subsidiary shall be excluded to the
     extent that the declaration or payment of dividends or similar
     distributions by that Restricted Subsidiary of that Net Income is not at
     the date of determination permitted without any prior governmental
     approval (that has not been obtained) or, directly or indirectly, by
     operation of the terms of its charter or any agreement, instrument,
     judgment, decree, order, statute, rule or governmental regulation
     applicable to that Subsidiary or its stockholders;

(3)  the Net Income of any Person acquired in a pooling of interests
     transaction for any period prior to the date of such acquisition shall be
     excluded;

(4)  the cumulative effect of a change in accounting principles shall be
     excluded; and

(5)  the Net Income of any Unrestricted Subsidiary shall be excluded, whether
     or not distributed to the Company or one of its Restricted Subsidiaries,
     for purposes of Section 4.09 hereof and shall be included for purposes of
     Section 4.07 hereof only to the extent of the amount of dividends or
     distributions paid in cash to the Company or one of its Restricted
     Subsidiaries.

     "Continuing Directors" means, as of any date of determination, any member
of the Board of Directors of the Company who:

(1)  was a member of such Board of Directors on the date of this Indenture;

(2)  was nominated for election or elected to such Board of Directors with the
     approval of a majority of the Continuing Directors who were members of
     such Board at the time of such nomination or election; or

(3)  was nominated by the Principals pursuant to the Stockholders Agreement.

     "Corporate Trust Office of the Trustee" shall be at the address of the
Trustee specified in Section 13.02 hereof or such other address as to which the
Trustee may give notice to the Company.

     "Credit Agent" means Lehman Commercial Paper Inc., in its capacity as
Administrative Agent for the lenders party to the Senior Credit Facilities, or
any successor thereto or any Person otherwise appointed.

     "Credit Facilities" means, the Senior Credit Facilities and/or one or more
debt facilities or commercial paper facilities, in each case with banks or
other institutional lenders providing for revolving credit loans, term loans,
receivables financing (including through the sale of receivables to such
lenders or to special purpose entities formed to borrow from such lenders
against such receivables) or letters of credit, in each case, as amended,
restated, modified, renewed, refunded, replaced, restructured or refinanced in
whole or in part from time to time.

                                       6

<PAGE>   13

     "Custodian" means the Trustee, as custodian with respect to the Notes in
global form, or any successor entity thereto.

     "Default" means any event that is, or with the passage of time or the
giving of notice or both would be, an Event of Default.

     "Definitive Note" means a certificated Note registered in the name of the
Holder thereof and issued in accordance with Section 2.06 hereof, substantially
in the form of Exhibit A1 hereto except that such Note shall not bear the
Global Note Legend and shall not have the "Schedule of Exchanges of Interests
in the Global Note" attached thereto.

     "Depositary" means, with respect to the Notes issuable or issued in whole
or in part in global form, the Person specified in Section 2.03 hereof as the
Depositary with respect to the Notes, and any and all successors thereto
appointed as depositary hereunder and having become such pursuant to the
applicable provision of this Indenture.

     "Designated Senior Debt" means:

(1)  any Indebtedness outstanding under the Senior Credit Facilities; and

(2)  after payment in full of all Obligations under the Senior Credit
     Facilities, any other Senior Debt permitted under the indenture the
     principal amount of which is $25.0 million or more and that has been
     designated by the Company as "Designated Senior Debt."

     "Disqualified Stock" means any Capital Stock that, by its terms (or by the
terms of any security into which it is convertible or for which it is
exchangeable), or upon the happening of any event, matures or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable
at the option of the Holder thereof, in whole or in part, on or prior to the
date that is 91 days after the date on which the Notes mature. Notwithstanding
the preceding sentence, any Capital Stock that would not qualify as
Disqualified Stock but for change of control or asset sale provisions shall not
constitute Disqualified Stock if the provisions are not more favorable to the
Holders of such Capital Stock than the provisions described in Sections 3.09,
4.10 and 4.15 hereof.

     "Domestic Restricted Subsidiary" means, with respect to the Company, any
Wholly Owned Subsidiary of the Company that was formed under the laws of the
United States of America.

     "Equity Interests" means Capital Stock and all warrants, options or other
rights to acquire Capital Stock (but excluding any debt security that is
convertible into, or exchangeable for, Capital Stock).

     "Equity Offering" means an offering of the Equity Interests (other than
Disqualified Stock) of the Company or O'Sullivan Holdings that results in net
proceeds to the Company, or a contribution to the common equity capital of the
Company, of at least $25,000,000.

     "Euroclear" means Morgan Guaranty Trust Company of New York, Brussels
office, as operator of the Euroclear system.

     "Excess Tandy Payments" means the aggregate amount of all payments made to
Tandy Corporation after the date of this Indenture in excess of the amount that
would have been payable to Tandy Corporation had the increase in interest
expense resulting from the recapitalization and merger been taken into account
in determining the Company's annual payments to Tandy Corporation.

                                       7

<PAGE>   14

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

     "Exchange Offer" has the meaning set forth in the Registration Rights
Agreement.

     "Exchange Offer Registration Statement" has the meaning set forth in the
Registration Rights Agreement.

     "Existing Indebtedness" means Indebtedness of the Company and its
Subsidiaries (other than Indebtedness under the Senior Credit Facilities) in
existence on the date of this Indenture, until such amounts are repaid.

     "Fixed Charges" means, with respect to any Person for any period, the sum,
without duplication, of:

(1)  the Consolidated Interest Expense of such Person for such period;

(2)  any interest expense on Indebtedness of another Person that is Guaranteed
     by such Person or one of its Restricted Subsidiaries or secured by a Lien
     on assets of such Person or one of its Restricted Subsidiaries, whether or
     not such Guarantee or Lien is called upon;

(3)  the product of (a) all dividend payments, whether or not in cash, on any
     series of preferred stock of such Person or any of its Restricted
     Subsidiaries, other than dividend payments on Equity Interests payable
     solely in Equity Interests of the Company (other than Disqualified Stock)
     and other than accruals of dividends on Equity Interests that are not
     Disqualified Stock that are added to the liquidation preference of such
     Equity Interests and are not required to be paid in cash, times (b) a
     fraction, the numerator of which is one and the denominator of which is
     one minus the then current combined federal, state and local statutory tax
     rate of such Person, expressed as a decimal, in each case, on a
     consolidated basis and in accordance with GAAP.

     "Fixed Charge Coverage Ratio" means with respect to any Person for any
period, the ratio of the Consolidated Cash Flow of such Person for such period
to the Fixed Charges of such Person for such period. In the event that the
Company or any of its Restricted Subsidiaries incurs, assumes, Guarantees or
redeems any Indebtedness (other than revolving credit borrowings) or issues
preferred stock subsequent to the commencement of the period for which the
Fixed Charge Coverage Ratio is being calculated but prior to the date on which
the event for which the calculation of the Fixed Charge Coverage Ratio is made
(the "Calculation Date"), then the Fixed Charge Coverage Ratio shall be
calculated giving pro forma effect to such incurrence, assumption, Guarantee or
redemption of Indebtedness, or such issuance or redemption of preferred stock,
as if the same had occurred at the beginning of the applicable four-quarter
reference period.

     In addition, for purposes of calculating the Fixed Charge Coverage Ratio:

(1)  acquisitions that have been made by the Company or any of its Restricted
     Subsidiaries, including through mergers or consolidations and including
     any related financing transactions, during the four-quarter reference
     period or subsequent to such reference period and on or prior to the
     Calculation Date shall be calculated to include the Consolidated Cash Flow
     of the acquired entities on a pro forma basis (to be calculated in
     accordance with Article 11-02 of Regulation S-X, as in effect on the date
     of this Indenture) after giving effect to cost savings resulting from
     employee terminations, facilities consolidations and closings,
     standardization of employee benefits and compensation policies,
     consolidation of property, casualty and other insurance coverage and
     policies, standardization of sales and distribution methods, reductions in
     taxes other than income taxes and

                                       8

<PAGE>   15

     other cost savings reasonably expected to be realized from such
     acquisition, shall be deemed to have occurred on the first day of the
     four-quarter reference period and Consolidated Cash Flow for such
     reference period shall be calculated without giving effect to clause (3)
     of the proviso set forth in the definition of Consolidated Net Income;

(2)  the Consolidated Cash Flow attributable to discontinued operations, as
     determined in accordance with GAAP, and operations or businesses disposed
     of prior to the Calculation Date, shall be excluded; and

(3)  the Fixed Charges attributable to discontinued operations, as determined
     in accordance with GAAP, and operations or businesses disposed of prior to
     the Calculation Date, shall be excluded, but only to the extent that the
     obligations giving rise to such Fixed Charges will not be obligations of
     the specified Person or any of its Restricted Subsidiaries following the
     Calculation Date.

     "Foreign Subsidiary" means any Subsidiary of the Company that is not
organized under the laws of a state or territory of the United States or the
District of Columbia.

     "GAAP" means generally accepted accounting principles set forth in the
opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or in such other statements by such
other entity as have been approved by a significant segment of the accounting
profession, which are in effect on the date of this Indenture, except that
calculations made for purposes of determining compliance with the terms of the
covenants and with other provisions of this Indenture shall be made without
giving effect to depreciation, amortization or other expenses recorded as a
result of the application of purchase accounting in accordance with Accounting
Principles Board Opinion Nos. 16 and 17.

     "Global Note Legend" means the legend set forth in Section 2.06(g)(ii),
which is required to be placed on all Global Notes issued under this Indenture.

     "Global Notes" means, individually and collectively, each of the
Restricted Global Notes and the Unrestricted Global Notes in the form of
Exhibit A1 or A2 hereto, issued in accordance with Section 2.01, 2.06(b)(iv),
2.06(d)(ii) or 2.06(f) hereof.

     "Government Securities" means direct obligations of, or obligations
guaranteed by, the United States of America for the payment of which guarantee
or obligations the full faith and credit of the United States is pledged.

     "Guarantee" means a guarantee other than by endorsement of negotiable
instruments for collection in the ordinary course of business, direct or
indirect, in any manner including, without limitation, letters of credit and
reimbursement agreements in respect thereof, of all or any part of any
Indebtedness.

     "Guarantors" means each of:

(1)  O'Sullivan Industries - Virginia, Inc.; and

(2)  any other Subsidiary of the Company that executes a Subsidiary Guarantee
     in accordance with the provisions of this Indenture, and their respective
     successors and assigns.

                                       9

<PAGE>   16

     "Hedging Obligations" means, with respect to any Person, the obligations
of such Person under:

(1)  interest rate swap agreements, interest rate cap agreements and interest
     rate collar agreements; and

(2)  other agreements or arrangements designed to protect such Person against
     fluctuations in interest rates or currency exchange rates or commodity
     prices.

     "Holder" means a Person in whose name a Note is registered.

     "IAI Global Note" means the global Note in the form of Exhibit A1 hereto
bearing the Global Note Legend and the Private Placement Legend and deposited
with or on behalf of and registered in the name of the Depositary or its
nominee that will be issued in a denomination equal to the outstanding
principal amount of the Notes sold to Institutional Accredited Investors.

     "Indebtedness" means, with respect to any specified Person, any
indebtedness of such Person, in respect of:

(1)  borrowed money;

(2)  evidenced by bonds, notes, debentures or similar instruments or letters
     of credit (or reimbursement agreements in respect thereof);

(3)  bankers' acceptances;

(4)  representing Capital Lease Obligations; or

(5)  the balance deferred and unpaid of the purchase price of any property or
     representing any Hedging Obligations, except any such balance that
     constitutes an accrued expense or trade payable,

if and to the extent any of the preceding items (other than letters of credit
and Hedging Obligations) would appear as a liability upon a balance sheet of
the specified Person prepared in accordance with GAAP. In addition, the term
"Indebtedness" includes all Indebtedness of others secured by a Lien on any
asset of the specified Person (whether or not such Indebtedness is assumed by
the specified Person) and, to the extent not otherwise included, the Guarantee
by such Person of any indebtedness of any other Person; provided that
Indebtedness shall not include the pledge by the Company of the Capital Stock
of an Unrestricted Subsidiary of the Company to secure Non-Recourse Debt of
such Unrestricted Subsidiary.

     The amount of any Indebtedness outstanding as of any date shall be:

(1)  the accreted value thereof, in the case of any Indebtedness that does not
     require current payments of interest; and

(2)  the principal amount thereof, together with any interest thereon that is
     more than 30 days past due, in the case of any other Indebtedness.

     "Indenture" means this Indenture, as amended or supplemented from time to
time.

     "Indirect Participant" means a Person who holds a beneficial interest in a
Global Note through a Participant.

                                       10

<PAGE>   17

     "Initial Notes" means the first $100 million in aggregate principal amount
of Notes issued under this Indenture on the date hereof.

     "Institutional Accredited Investor" means an institution that is an
"accredited investor" as defined in Rule 501(a)(1), (2), (3) or (7) under the
Securities Act, who are not also QIBs.

     "Investments" means, with respect to any Person, all investments by such
Person in other Persons (including Affiliates) in the forms of direct or
indirect loans (including guarantees of Indebtedness or other obligations),
advances or capital contributions (excluding commission, travel and similar
advances to officers and employees made in the ordinary course of business),
purchases or other acquisitions for consideration of Indebtedness, Equity
Interests or other securities, together with all items that are or would be
classified as investments on a balance sheet prepared in accordance with GAAP.
If the Company or any Restricted Subsidiary of the Company sells or otherwise
disposes of any Equity Interests of any direct or indirect Restricted
Subsidiary of the Company such that, after giving effect to any such sale or
disposition, such Person is no longer a Restricted Subsidiary of the Company ,
the Company shall be deemed to have made an Investment on the date of any such
sale or disposition equal to the fair market value of the Equity Interests of
such Restricted Subsidiary not sold or disposed of in an amount determined as
provided in the final paragraph of Section 4.07 hereof.

     "Legal Holiday" means a Saturday, a Sunday or a day on which banking
institutions in the City of New York or at a place of payment are authorized by
law, regulation or executive order to remain closed.  If a payment date is a
Legal Holiday at a place of payment, payment may be made at that place on the
next succeeding day that is not a Legal Holiday, and no interest shall accrue
on such payment for the intervening period.

     "Letter of Transmittal" means the letter of transmittal to be prepared by
the Company and sent to all Holders of the Notes for use by such Holders in
connection with the Exchange Offer.

     "Lien" means, with respect to any asset, any mortgage, lien, pledge,
charge, security interest or encumbrance of any kind in respect of such asset,
whether or not filed, recorded or otherwise perfected under applicable law
including any conditional sale or other title retention agreement, any lease in
the nature thereof, any option or other agreement to sell or give a security
interest in and any filing of or agreement to give any financing statement
under the Uniform Commercial Code (or equivalent statutes) of any jurisdiction.

     "Liquidated Damages" means all liquidated damages then owing pursuant to
Section 5 of the Registration Rights Agreement.

     "Management Services Agreement" means the Management Services Agreement,
dated as of the date of this Indenture, between the Company and BRS as in
effect on the date of this Indenture.

     "Net Income" means, with respect to any Person, the net income (loss) of
such Person, determined in accordance with GAAP and before any reduction in
respect of preferred stock dividends, excluding, however:

(1)  any gain (but not loss), together with any related provision for taxes on
     such gain (but not loss), realized in connection with:

     (a)  any Asset Sale; or (b) the disposition of any securities by such
     Person or any of its Restricted Subsidiaries or the extinguishment of any
     Indebtedness of such Person or any of its Restricted Subsidiaries; and

                                       11

<PAGE>   18

(2)  any extraordinary or nonrecurring gain (but not loss), together with any
     related provision for taxes on such extraordinary or nonrecurring gain
     (but not loss).

     "Net Proceeds" means the aggregate cash proceeds received by the Company
or any of its Restricted Subsidiaries in respect of any Asset Sale (including,
without limitation, any cash received upon the sale or other disposition of any
non-cash consideration received in any Asset Sale), net of the direct costs
relating to such Asset Sale (including, without limitation, legal, accounting
and investment banking fees, and sales commissions) and any relocation expenses
incurred as a result thereof, taxes paid or payable as a result thereof (after
taking into account any available tax credits or deductions and any tax sharing
arrangements), the amounts required to be applied to the payment of
Indebtedness (other than Indebtedness incurred pursuant to the Senior Credit
Facilities) secured by a Lien on the asset or assets that were the subject of
the Asset Sale, and any reserve for adjustment in respect of the sale price of
such asset or assets established in accordance with GAAP.

     "New Notes" means the Notes issued in the Exchange Offer pursuant to
Section 2.06(f) hereof.

     "Non-Recourse Debt" means Indebtedness:

(1)  as to which neither the Company nor any of its Restricted Subsidiaries:

     (a)  provides credit support of any kind (including any undertaking,
     agreement or instrument that would constitute Indebtedness), (b) is
     directly or indirectly liable as a guarantor or otherwise, or (c)
     constitutes the lender;

(2)  no default with respect to which (including any rights that the Holders
     thereof may have to take enforcement action against an Unrestricted
     Subsidiary) would permit upon notice, lapse of time or both any Holder of
     any other Indebtedness (other than the Notes) of the Company or any of its
     Restricted Subsidiaries to declare a default on such other Indebtedness or
     cause the payment thereof to be accelerated or payable prior to its stated
     maturity; and

(3)  as to which the lenders have been notified in writing that they will not
     have any recourse to the stock (other than stock of an Unrestricted
     Subsidiary pledged by the Company to secure debt of such Unrestricted
     Subsidiary) or assets of the Company or any of its Restricted
     Subsidiaries.

     "Non-U.S. Person" means a Person who is not a U.S. Person.

     "Notes" has the meaning assigned to it in the preamble to this Indenture.
The Initial Notes and the Additional Notes shall be treated as a single class
for all purposes under this Indenture.

     "Obligations" means any principal, interest, penalties, fees,
indemnifications, reimbursements, damages and other liabilities and obligations
payable under the documentation governing any Indebtedness, including, without
limitation, interest after the commencement of any bankruptcy proceeding at the
rate specified in the applicable instrument governing or evidencing Senior
Debt.

     "Offering" means the offering of the Units by the Company.

     "Offering Memorandum" means the offering memorandum, dated November 23,
1999, relating to the Offering.

                                       12

<PAGE>   19

     "Officer" means, with respect to any Person, the Chairman of the Board,
the Chief Executive Officer, the President, the Chief Operating Officer, the
Chief Financial Officer, the Treasurer, any Assistant Treasurer, the
Controller, the Secretary or any Vice-President of such Person.

     "Officers' Certificate" means a certificate signed on behalf of the
Company by two Officers of the Company, one of whom must be the principal
executive officer, the principal financial officer, the treasurer or the
principal accounting officer of the Company, that meets the requirements of
Section 13.05 hereof.

     "Opinion of Counsel" means an opinion from legal counsel who is reasonably
acceptable to the Trustee, that meets the requirements of Section 13.05 hereof.
The counsel may be an employee of or counsel to the Company, any Subsidiary of
the Company or the Trustee.

     "O'Sullivan Holdings" means O'Sullivan Industries Holdings, Inc., the
Company's parent holding company.

     "Participant" means, with respect to the Depositary, Euroclear or
Cedelbank, a Person who has an account with the Depositary, Euroclear or
Cedelbank, respectively (and, with respect to DTC, shall include Euroclear and
Cedelbank).

     "Permitted Business" means any business in which the Company and its
Restricted Subsidiaries are engaged on the date of this Indenture or any
business reasonably related, incidental or ancillary thereto.

     "Permitted Group" means any group of investors that is deemed to be a
"person" (as that term is used in Section 13(d)(3) of the Exchange Act) at any
time prior to the Company's initial public offering of common stock, by virtue
of the Stockholders Agreement, as the same may be amended, modified or
supplemented from time to time, provided that no single Person (other than the
Principals and their Related Parties) Beneficially Owns (together with its
Affiliates) more of the Voting Stock of the Company that is Beneficially Owned
by such group of investors than is then collectively Beneficially Owned by the
Principals and their Related Parties in the aggregate.

     "Permitted Investments" means:

(1)  any Investment in the Company or in a Restricted Subsidiary of the
     Company;

(2)  any Investment in Cash Equivalents;

(3)  any Investment by the Company or any Restricted Subsidiary of the Company
     in a Person, if as a result of such Investment:

      (a)  such Person becomes a Restricted Subsidiary of the Company;
           or

      (b)  such Person is merged, consolidated or amalgamated with or
           into, or transfers or conveys substantially all of its assets to, or
           is liquidated into, the Company or a Restricted Subsidiary of the
           Company;

(4)  Hedging Obligations;

(5)  any Restricted Investment made as a result of the receipt of non-cash
     consideration from an Asset Sale that was made pursuant to and in
     compliance with Sections 3.09 and 4.10 hereof;

                                       13

<PAGE>   20

(6)  any acquisition of assets solely in exchange for the issuance of Equity
     Interests (other than Disqualified Stock) of the Company; and

(7)  other Investments made after the date of this Indenture in any Person
     engaged in a Permitted Business having an aggregate fair market value
     (measured on the date each such Investment was made and without giving
     effect to subsequent changes in value), when taken together with all other
     Investments made pursuant to this clause (7) since the date of this
     Indenture, not to exceed $7.5 million.

     "Permitted Junior Securities" means:

(1)  common Equity Interests in the Company or any Guarantor; or

(2)  debt or preferred equity securities of the Company or any Guarantor
     issued pursuant to a plan of reorganization consented to by each class of
     Senior Debt; provided that any such debt securities are subordinated to
     all Senior Debt and any debt securities issued in exchange for Senior Debt
     to substantially the same extent as, or to a greater extent than, the
     Notes and the Subsidiary Guarantees are subordinated to Senior Debt under
     this Indenture.

     "Permitted Liens" means:

(1)  Liens securing Senior Debt (including, without limitation, Indebtedness
     under the Senior Credit Facilities) permitted by the terms of this
     Indenture to be incurred under clause (i) of Section 4.09 hereof;

(2)  Liens in favor of the Company or any Restricted Subsidiary;

(3)  Liens to secure the performance of statutory obligations, surety or
     appeal bonds, performance bonds or other obligations of a like nature
     incurred in the ordinary course of business;

(4)  Liens existing on the date of this Indenture;

(5)  Liens to secure Indebtedness (including Capital Lease Obligations)
     permitted by clause (iv) of the second paragraph of Section 4.09 hereof;

(6)  Liens securing Permitted Refinancing Indebtedness where the Liens
     securing the Indebtedness being refinanced were permitted under the
     indenture;

(7)  Liens incurred in the ordinary course of business of the Company or any
     Restricted Subsidiary of the Company with respect to obligations that do
     not exceed $7.5 million at any one time outstanding and that: (a) are not
     incurred in connection with the borrowing of money or the obtaining of
     advances or credit (other than trade credit in the ordinary course of
     business) and (b) do not in the aggregate materially detract from the
     value of the property or materially impair the use thereof in the
     operation of business by the Company or such Restricted Subsidiary; and

(8)  Liens securing reimbursement obligations with respect to commercial
     letters of credit which encumber documents and other property relating to
     such letters of credit and products and proceeds thereof;

                                       14

<PAGE>   21

(9)  Liens on property of a Person existing at the time such Person is merged
     into or consolidated with the Company or any Restricted Subsidiary of the
     Company, provided that such Liens were not incurred in contemplation of
     such merger or consolidation and do not extend to any assets other than
     those of the Person merged into or consolidated with the Company or any
     Restricted Subsidiary;

(10) Liens on property existing at the time of acquisition thereof by the
     Company or any Restricted Subsidiary of the Company, provided such Liens
     were not incurred in contemplation of such acquisition; and

(11) Liens secured Hedging Obligations which Hedging Obligations relate to
     Indebtedness that is otherwise permitted under this Indenture.

     "Permitted Refinancing Indebtedness" means any Indebtedness of the Company
or any of its Restricted Subsidiaries issued in exchange for, or the net
proceeds of which are used to extend, refinance, renew, replace, defease or
refund other Indebtedness of the Company or any of its Restricted Subsidiaries;
provided that:

(1)  the principal amount (or accreted value, if applicable) of such Permitted
     Refinancing Indebtedness does not exceed the principal amount of (or
     accreted value, if applicable), plus accrued interest on, the Indebtedness
     so extended, refinanced, renewed, replaced, defeased or refunded (plus the
     amount of reasonable expenses incurred in connection therewith) except, in
     the case of the Senior Credit Facilities, the principal amount of such
     Permitted Refinancing Indebtedness does not exceed the greater of (i) the
     principal amount of Indebtedness permitted (whether or not borrowed) under
     clause (i) of the second paragraph of Section 4.09 hereof or (ii) the
     amount actually borrowed under the Senior Credit Facilities;

(2)  such Permitted Refinancing Indebtedness has a final maturity date no
     earlier than the final maturity date of, and has a Weighted Average Life
     to Maturity equal to or greater than the Weighted Average Life to Maturity
     of, the Indebtedness being extended, refinanced, renewed, replaced,
     defeased or refunded; and

(3)  if the Indebtedness being extended, refinanced, renewed, replaced,
     defeased or refunded is subordinated in right of payment to the Notes,
     such Permitted Refinancing Indebtedness has a final maturity date later
     than the final maturity date of, and is subordinated in right of payment
     to, the Notes on terms at least as favorable to the Holders of Notes as
     those contained in the documentation governing the Indebtedness being
     extended, refinanced, renewed, replaced, defeased or refunded.

     "Person" means any individual, corporation, partnership, joint venture,
association, joint-stock company, trust, unincorporated organization or
government or agency or political subdivision thereof (including any
subdivision or ongoing business of any such entity or substantially all of the
assets of any such entity, subdivision or business).

     "Principals" means BRS and its affiliates.

     "Private Placement Legend" means the legend set forth in Section
2.06(g)(i) to be placed on all Notes issued under this Indenture except where
otherwise permitted by the provisions of this Indenture.

     "QIB" means a "qualified institutional buyer" as defined in Rule 144A.

                                       15

<PAGE>   22

     "Recapitalization" means the transactions described in the Offering
Memorandum under the caption "The Recapitalization Transactions" or related
thereto.

     "Registration Rights Agreement" means the Registration Rights Agreement,
dated as of the date hereof, by and among the Company and the other parties
named on the signature pages thereof, as such agreement may be amended,
modified or supplemented from time to time and, with respect to any Additional
Notes, one or more registration rights agreements between the Company and the
other parties thereto, as such agreement(s) may be amended, modified or
supplemented from time to time, relating to rights given by the Company to the
purchasers of Additional Notes to register such Additional Notes under the
Securities Act.

     "Regulation S" means Regulation S promulgated under the Securities Act.

     "Regulation S Global Note" means a Regulation S Temporary Global Note or
Regulation S Permanent Global Note, as appropriate.

     "Regulation S Permanent Global Note" means a permanent global Note in the
form of Exhibit A1 hereto bearing the Global Note Legend and the Private
Placement Legend and deposited with or on behalf of and registered in the name
of the Depositary or its nominee, issued in a denomination equal to the
outstanding principal amount of the Regulation S Temporary Global Note upon
expiration of the Restricted Period.

     "Regulation S Temporary Global Note" means a temporary global Note in the
form of Exhibit A2 hereto bearing the Private Placement Legend and deposited
with or on behalf of and registered in the name of the Depositary or its
nominee, issued in a denomination equal to the outstanding principal amount of
the Notes initially sold in reliance on Rule 903 of Regulation S.

     "Related Party" with respect to any Principal means:

(1)  any controlling stockholder or partner, 80% (or more) owned Subsidiary,
     or spouse or immediate family member (in the case of an individual) of
     such Principal; or

(2)  any trust, corporation, partnership or other entity, the beneficiaries,
     stockholders, partners, owners or Persons beneficially holding a 51% or
     more controlling interest of which consist of such Principal and/or such
     other Persons referred to in the immediately preceding clause (1).

     "Representative" means the trustee, agent or representative for any Senior
Debt.

     "Responsible Officer" means, when used with respect to the Trustee, any
officer within the Corporate Trust Administration of the Trustee (or any
successor group of the Trustee) or any other officer of the Trustee customarily
performing functions similar to those performed by any of the above designated
officers and also means, with respect to a particular corporate trust matter,
any other officer to whom such matter is referred because of his knowledge of
and familiarity with the particular subject.

     "Restricted Definitive Note" means a Definitive Note bearing the Private
Placement Legend.

     "Restricted Global Note" means a Global Note bearing the Private Placement
Legend.

     "Restricted Investment" means an Investment other than a Permitted
Investment.

                                       16

<PAGE>   23

     "Restricted Subsidiary" of a Person means any Subsidiary of the referent
Person that is not an Unrestricted Subsidiary.

     "Restricted Period" means the 40-day restricted period as defined in
Regulation S.

     "Rule 144A" means Rule 144A promulgated under the Securities Act.

     "Rule 903" means Rule 903 promulgated under the Securities Act.

     "Rule 904" means Rule 904 promulgated the Securities Act.

     "SEC" means the Securities and Exchange Commission.

     "Securities Act" means the Securities Act of 1933, as amended.

     "Senior Credit Facilities" means the Credit Agreement dated as of or
around the date of the indenture among the Company, O'Sullivan Holdings, Lehman
Commercial Paper Inc., as Arranger, syndication agent and administrative agent,
and the other entities from time to time parties thereto providing for
revolving credit borrowings and term loans, including any related notes,
guarantees, collateral documents, instruments and agreements executed in
connection therewith, and in each case as amended, modified, renewed, refunded,
restructured, replaced or refinanced from time to time including increases in
principal amount (whether the same are provided by the original Credit Agent
and lenders under such Senior Credit Facilities or a successor agent or other
lenders).

     "Senior Debt" means:

(1)  all Indebtedness of the Company, O'Sullivan Holdings or any Guarantor
     outstanding under Credit Facilities and all Hedging Obligations with
     respect thereto;

(2)  any other Indebtedness of the Company or any Guarantor permitted to be
     incurred under the terms of the indenture, unless the instrument under
     which such Indebtedness is incurred expressly provides that it is on a
     parity with or subordinated in right of payment to the notes or any
     Subsidiary Guarantee; and

(3)  all Obligations with respect to the items listed in the preceding clauses
     (1) and (2).

     Notwithstanding anything to the contrary in the preceding, Senior Debt
will not include:

(1)  any liability for federal, state, local or other taxes owed or owing by
     the Company;

(2)  any Indebtedness of the Company to any of its Subsidiaries or other
     Affiliates;

(3)  any trade payables; or

(4)  the portion of any Indebtedness that is incurred in violation of this
     Indenture; provided that Indebtedness under a Credit Facility will not
     cease to be Senior Debt under this clause (4) if the lenders obtained a
     certificate from an executive officer of the Company as of the date of the
     incurrence of such Indebtedness to the effect that such Indebtedness was
     permitted to be incurred by this Indenture.

                                       17

<PAGE>   24

     "Shelf Registration Statement" means the Shelf Registration Statement as
defined in the Registration Rights Agreement.

     "Significant Subsidiary" means any Subsidiary that would be a "significant
subsidiary" as defined in Article 1, Rule 1-02 of Regulation S-X, promulgated
pursuant to the Securities Act, as such Regulation is in effect on the date
hereof.

     "Stated Maturity" means, with respect to any installment of interest or
principal on any series of Indebtedness, the date on which such payment of
interest or principal was scheduled to be paid in the original documentation
governing such Indebtedness, and shall not include any contingent obligations
to repay, redeem or repurchase any such interest or principal prior to the date
originally scheduled for the payment thereof.

     "Stockholders Agreement" means that certain Stockholders Agreement, dated
as of November 30, 1999, by and among O'Sullivan Holdings, BRS and the other
signatories party thereto, as in effect on the date of this Indenture.

     "Subsidiary" means, with respect to any Person:

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

(2)  any partnership or limited liability company (a) the sole general partner
     or the managing general partner or managing member of which is such Person
     or a Subsidiary of such Person or (b) the only general partners of which
     are such Person or one or more Subsidiaries of such Person (or any
     combination thereof).

     "Subsidiary Guarantee" means the Guarantee by each Guarantor of the
Company's payment obligations under this Indenture and on the Notes, executed
pursuant to the provisions of this Indenture.

     "Tax Sharing Agreement" means that certain Tax Sharing Agreement, dated as
of November 30, 1999, by and between the Company and O'Sullivan Holdings.

     "TIA" means the Trust Indenture Act of 1939 (15 U.S.C. Section S
77aaa-77bbbb) as in effect on the date on which this Indenture is qualified
under the TIA.

     "Total Assets" means the total consolidated assets of the Company and its
Restricted Subsidiaries, as set forth on the Company's most recent consolidated
balance sheet.

     "Treasury Rate" means, as of any calculation date, the yield to maturity
as of such calculation date of United States Treasury securities with a
constant maturity (as compiled and published in the most recent Federal Reserve
Statistical Release H.15 (519) that has become publicly available at least two
Business Days prior to the calculation date (or, if such Statistical Release is
no longer published, any publicly available source of similar market data))
most nearly equal to the period from the calculation date to October 15, 2004;
provided, however, that if the period from the calculation date to October 15,
2004 is less than one year, the weekly average yield on actually traded United
States Treasury securities adjusted to a constant maturity of one year shall be
used.

                                       18

<PAGE>   25

     "Trustee" means the party named as such above until a successor replaces
it in accordance with the applicable provisions of this Indenture and
thereafter means the successor serving hereunder.

     "Units" means the units, each consisting of $1,000 principal amount of
Notes, one warrant to purchase initially 0.9327 shares of O'Sullivan Holdings'
common stock and one warrant to purchase initially 0.3927 shares of O'Sullivan
Holdings' series B junior preferred stock, in each case, with a par value of
$0.01 per share.

     "Unrestricted Global Note" means a permanent global Note substantially in
the form of Exhibit A1 attached hereto that bears the Global Note Legend and
that has the "Schedule of Exchanges of Interests in the Global Note" attached
thereto, and that is deposited with or on behalf of and registered in the name
of the Depositary, representing a series of Notes that do not bear the Private
Placement Legend.

     "Unrestricted Definitive Note" means one or more Definitive Notes that do
not bear and are not required to bear the Private Placement Legend.

     "Unrestricted Subsidiary" means any Subsidiary that is designated by the
Board of Directors as an Unrestricted Subsidiary pursuant to a board
resolution, but only to the extent that such Subsidiary:

(1)  has no Indebtedness other than Non-Recourse Debt;

(2)  is not party to any agreement, contract, arrangement or understanding
     with the Company or any Restricted Subsidiary of the Company unless the
     terms of any such agreement, contract, arrangement or understanding are no
     less favorable to the Company or such Restricted Subsidiary than those
     that might be obtained at the time from Persons who are not Affiliates of
     the Company;

(3)  is a Person with respect to which neither the Company nor any of its
     Restricted Subsidiaries has any direct or indirect obligation (a) to
     subscribe for additional Equity Interests or (b) to maintain or preserve
     such Person's financial condition or to cause such Person to achieve any
     specified levels of operating results; and

(4)  has not guaranteed or otherwise directly or indirectly provided credit
     support for any Indebtedness of the Company or any of its Restricted
     Subsidiaries.

     Any designation of a Subsidiary of the Company as an Unrestricted
Subsidiary shall be evidenced to the Trustee by filing with the Trustee a
certified copy of the board resolution giving effect to such designation and an
Officers' Certificate certifying that such designation complied with the
preceding conditions and was permitted by Section 4.07 hereof.  If, at any
time, any Unrestricted Subsidiary would fail to meet the preceding requirements
as an Unrestricted Subsidiary, it shall thereafter cease to be an Unrestricted
Subsidiary for purposes of this Indenture and any Indebtedness of such
Subsidiary shall be deemed to be incurred by a Restricted Subsidiary of the
Company as of such date and, if such Indebtedness is not permitted to be
incurred as of such date under Section 4.09 hereof, the Company shall be in
default of such Section. The Board of Directors of the Company may at any time
designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided
that such designation shall be deemed to be an incurrence of Indebtedness by a
Restricted Subsidiary of the Company of any outstanding Indebtedness of such
Unrestricted Subsidiary and such designation shall be permitted only if: (1)
such Indebtedness is permitted under Section 4.09 hereof, and (2) no Default or
Event of Default would be in existence following such designation.

     "U.S. Person" means a U.S. person as defined in Rule 902(o) under the
Securities Act.

                                       19

<PAGE>   26

     "Voting Stock" of any Person as of any date means the Capital Stock of
such Person that is at the time entitled to vote in the election of the Board
of Directors of such Person.

     "Weighted Average Life to Maturity" means, when applied to any
Indebtedness at any date, the number of years obtained by dividing:

(1)  the sum of the products obtained by multiplying: (a) the amount of each
     then remaining installment, sinking fund, serial maturity or other
     required payments of principal, including payment at final maturity, in
     respect thereof, by (b) the number of years (calculated to the nearest
     one-twelfth) that will elapse between such date and the making of such
     payment, by

(2)  the then outstanding principal amount of such Indebtedness.

     "Wholly Owned Restricted Subsidiary" of any specified Person means any
Wholly Owned Subsidiary of such Person which at the time of determination is a
Restricted Subsidiary.

     "Wholly Owned Subsidiary" of any Person means a Subsidiary of such Person
all of the outstanding Capital Stock or other ownership interests of which
(other than directors' qualifying shares) shall at the time be owned by such
Person and/or by one or more Wholly Owned Subsidiaries of such Person.

Section 1.02. Other Definitions.

<TABLE>
<CAPTION>
                                  Defined in
Term                               Section
----                              ----------
<S>                               <C>
"Affiliate Transaction".........     4.11
"Asset Sale"....................     4.10
"Asset Sale Offer"..............     3.09
"Authentication Order"..........     2.02
"Change of Control Offer".......     4.15
"Change of Control Payment".....     4.15
"Change of Control Payment Date"     4.15
"Covenant Defeasance"...........     8.03
"Event of Default"..............     6.01
"Excess Proceeds"...............     4.10
"incur".........................     4.09
"Legal Defeasance"..............     8.02
"Offer Amount"..................     3.09
"Offer Period"..................     3.09
"Paying Agent"..................     2.03
"Payment Default"...............     6.01
"Permitted Debt"................     4.09
"Purchase Date".................     3.09
"Redemption Date"...............     3.07
"Registrar".....................     2.03
"Restricted Payments"...........     4.07
</TABLE>

                                       20

<PAGE>   27

Section 1.03. Incorporation by Reference of Trust Indenture Act.

     Whenever this Indenture refers to a provision of the TIA, the provision is
incorporated by reference in and made a part of this Indenture.

     The following TIA terms used in this Indenture have the following
meanings:

     "indenture securities" means the Notes;

     "indenture security Holder" means a Holder of a Note;

     "indenture to be qualified" means this Indenture;

     "indenture trustee" or "institutional trustee" means the Trustee; and

     "obligor" on the Notes and the Subsidiary Guarantees means the Company and
the Guarantors, respectively, and any successor obligor upon the Notes and the
Subsidiary Guarantees, respectively.

     All other terms used in this Indenture that are defined by the TIA,
defined by TIA reference to another statute or defined by SEC rule under the
TIA have the meanings so assigned to them.

Section 1.04. Rules of Construction.

     Unless the context otherwise requires:

     (a) a term has the meaning assigned to it;

     (b) an accounting term not otherwise defined has the meaning assigned to
it in accordance with GAAP;

     (c) "or" is not exclusive;

     (d) words in the singular include the plural, and in the plural include
the singular;

     (e) provisions apply to successive events and transactions; and

     (f) references to sections of or rules under the Securities Act shall be
deemed to include substitute, replacement of successor sections or rules
adopted by the SEC from time to time.

                                   ARTICLE 2.
                                   THE NOTES

Section 2.01. Form and Dating.

     (a) General.  The Notes and the Trustee's certificate of authentication
shall be substantially in the form of Exhibit A hereto.  The Notes may have
notations, legends or endorsements required by law, stock exchange rule or
usage.  Each Note shall be dated the date of its authentication.  The Notes
shall be in denominations of $1,000 and integral multiples thereof.

     The terms and provisions contained in the Notes shall constitute, and are
hereby expressly made, a part of this Indenture and the Company, the Guarantors
and the Trustee, by their execution and delivery

                                       21

<PAGE>   28

of this Indenture, expressly agree to such terms and provisions and to be bound
thereby.  However, to the extent any provision of any Note conflicts with the
express provisions of this Indenture, the provisions of this Indenture shall
govern and be controlling.

     (b) Global Notes.  Notes issued in global form shall be substantially in
the form of Exhibits A1 or A2 attached hereto (including the Global Note Legend
thereon and the "Schedule of Exchanges of Interests in the Global Note"
attached thereto).  Notes issued in definitive form shall be substantially in
the form of Exhibit A1 attached hereto (but without the Global Note Legend
thereon and without the "Schedule of Exchanges of Interests in the Global Note"
attached thereto).  Each Global Note shall represent such of the outstanding
Notes as shall be specified therein and each shall provide that it shall
represent the aggregate principal amount of outstanding Notes from time to time
endorsed thereon and that the aggregate principal amount of outstanding Notes
represented thereby may from time to time be reduced or increased, as
appropriate, to reflect exchanges and redemptions.  Any endorsement of a Global
Note to reflect the amount of any increase or decrease in the aggregate
principal amount of outstanding Notes represented thereby shall be made by the
Trustee or the Custodian, at the direction of the Trustee, in accordance with
instructions given by the Holder thereof as required by Section 2.06 hereof.

     (c) Temporary Global Notes.  Notes offered and sold in reliance on
Regulation S shall be issued initially in the form of the Regulation S
Temporary Global Note, which shall be deposited on behalf of the purchasers of
the Notes represented thereby with the Trustee, as custodian for the
Depositary, and registered in the name of the Depositary or the nominee of the
Depositary for the accounts of designated agents holding on behalf of Euroclear
or Cedelbank, duly executed by the Company and authenticated by the Trustee as
hereinafter provided.  The Restricted Period shall be terminated upon the
receipt by the Trustee of (i) a written certificate from the Depositary,
together with copies of certificates from Euroclear and Cedelbank certifying
that they have received certification of non-United States beneficial ownership
of 100% of the aggregate principal amount of the Regulation S Temporary Global
Note (except to the extent of any Beneficial Owners thereof who acquired an
interest therein during the Restricted Period pursuant to another exemption
from registration under the Securities Act and who will take delivery of a
beneficial ownership interest in a 144A Global Note or an IAI Global Note
bearing a Private Placement Legend, all as contemplated by Section 2.06(a)(ii)
hereof), and (ii) an Officers' Certificate from the Company.  Following the
termination of the Restricted Period, beneficial interests in the Regulation S
Temporary Global Note shall be exchanged for beneficial interests in Regulation
S Permanent Global Notes pursuant to the Applicable Procedures.  Simultaneously
with the authentication of Regulation S Permanent Global Notes, the Trustee
shall cancel the Regulation S Temporary Global Note.  The aggregate principal
amount of the Regulation S Temporary Global Note and the Regulation S Permanent
Global Notes may from time to time be increased or decreased by adjustments
made on the records of the Trustee and the Depositary or its nominee, as the
case may be, in connection with transfers of interest as hereinafter provided.

     (d) Euroclear and Cedelbank Procedures Applicable.  The provisions of the
"Operating Procedures of the Euroclear System" and "Terms and Conditions
Governing Use of Euroclear" and the "General Terms and Conditions of Cedelbank"
and "Customer Handbook" of Cedelbank shall be applicable to transfers of
beneficial interests in the Regulation S Temporary Global Note and the
Regulation S Permanent Global Notes that are held by Participants through
Euroclear or Cedelbank.

Section 2.02. Execution and Authentication.

     One Officer shall sign the Notes for the Company by manual or facsimile
signature.

     If an Officer whose signature is on a Note no longer holds that office at
the time a Note is authenticated, the Note shall nevertheless be valid.

                                       22

<PAGE>   29

     A Note shall not be valid until authenticated by the manual signature of
the Trustee.  The signature shall be conclusive evidence that the Note has been
authenticated under this Indenture.

     The Trustee shall, upon a written order of the Company signed by one
Officer (an "Authentication Order"), authenticate Notes for original issue up
to the aggregate principal amount stated in paragraph 4 of the Notes.  The
aggregate principal amount of Notes outstanding at any time may not exceed such
amount except as provided in Section 2.07 hereof.

     The Trustee may appoint an authenticating agent acceptable to the Company
to authenticate Notes.  An authenticating agent may authenticate Notes whenever
the Trustee may do so.  Each reference in this Indenture to authentication by
the Trustee includes authentication by such agent.  An authenticating agent has
the same rights as an Agent to deal with Holders or an Affiliate of the
Company.

Section 2.03. Registrar and Paying Agent.

     The Company shall maintain an office or agency where Notes may be
presented for registration of transfer or for exchange ("Registrar") and an
office or agency where Notes may be presented for payment ("Paying Agent").
The Registrar shall keep a register of the Notes and of their transfer and
exchange.  The Company may appoint one or more co-registrars and one or more
additional paying agents.  The term "Registrar" includes any co-registrar and
the term "Paying Agent" includes any additional paying agent.  The Company may
change any Paying Agent or Registrar without notice to any Holder.  The Company
shall notify the Trustee in writing of the name and address of any Agent not a
party to this Indenture.  If the Company fails to appoint or maintain another
entity as Registrar or Paying Agent, the Trustee shall act as such.  The
Company or any of its Subsidiaries may act as Paying Agent or Registrar.

     The Company initially appoints The Depository Trust Company ("DTC") to act
as Depositary with respect to the Global Notes.

     The Company initially appoints the Trustee to act as the Registrar and
Paying Agent and to act as Custodian with respect to the Global Notes.

Section 2.04. Paying Agent to Hold Money in Trust.

     The Company shall require each Paying Agent other than the Trustee to
agree in writing that the Paying Agent will hold in trust for the benefit of
Holders or the Trustee all money held by the Paying Agent for the payment of
principal, premium or Liquidated Damages, if any, or interest on the Notes, and
will notify the Trustee of any default by the Company in making any such
payment.  While any such default continues, the Trustee may require a Paying
Agent to pay all money held by it to the Trustee.  The Company at any time may
require a Paying Agent to pay all money held by it to the Trustee.  Upon
payment over to the Trustee, the Paying Agent (if other than the Company or a
Subsidiary) shall have no further liability for the money.  If the Company or a
Subsidiary acts as Paying Agent, it shall segregate and hold in a separate
trust fund for the benefit of the Holders all money held by it as Paying Agent.
Upon any bankruptcy or reorganization proceedings relating to the Company, the
Trustee shall serve as Paying Agent for the Notes.

Section 2.05. Holder Lists.

     The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of
all Holders and shall otherwise comply with TIA Section  312(a).  If the
Trustee is not the Registrar, the Company shall furnish to the Trustee at least
seven Business Days

                                       23

<PAGE>   30

before each interest payment date and at such other times as the Trustee may
request in writing, a list in such form and as of such date as the Trustee may
reasonably require of the names and addresses of the Holders of Notes and the
Company shall otherwise comply with TIA Section 312(a).

Section 2.06. Transfer and Exchange.

     (a) Transfer and Exchange of Global Notes.  A Global Note may not be
transferred as a whole except by the Depositary to a nominee of the Depositary,
by a nominee of the Depositary to the Depositary or to another nominee of the
Depositary, or by the Depositary or any such nominee to a successor Depositary
or a nominee of such successor Depositary.  All Global Notes shall be exchanged
by the Company for Definitive Notes if (i) the Company delivers to the Trustee
notice from the Depositary that it is unwilling or unable to continue to act as
Depositary or that it is no longer a clearing agency registered under the
Exchange Act and, in either case, a successor Depositary is not appointed by
the Company within 120 days after the date of such notice from the Depositary
or (ii) the Company in its sole discretion determines that the Global Notes (in
whole but not in part) should be exchanged for Definitive Notes and delivers a
written notice to such effect to the Trustee; provided that in no event shall
the Regulation S Temporary Global Note be exchanged by the Company for
Definitive Notes prior to (x) the expiration of the Restricted Period and (y)
the receipt by the Registrar of any certificates required pursuant to Rule
903(c)(3)(ii)(B) under the Securities Act.  Upon the occurrence of either of
the preceding events in (i) or (ii) above, Definitive Notes shall be issued in
such names as the Depositary shall instruct the Trustee.  Global Notes also may
be exchanged or replaced, in whole or in part, as provided in Sections 2.07 and
2.10 hereof.  Every Note authenticated and delivered in exchange for, or in
lieu of, a Global Note or any portion thereof, pursuant to this Section 2.06 or
Section 2.07 or 2.10 hereof, shall be authenticated and delivered in the form
of, and shall be, a Global Note.  A Global Note may not be exchanged for
another Note other than as provided in this Section 2.06(a), however,
beneficial interests in a Global Note may be transferred and exchanged as
provided in Section 2.06(b), (c) or (f) hereof.

     (b) Transfer and Exchange of Beneficial Interests in the Global Notes.
The transfer and exchange of beneficial interests in the Global Notes shall be
effected through the Depositary, in accordance with the provisions of this
Indenture and the Applicable Procedures.  Beneficial interests in the
Restricted Global Notes shall be subject to restrictions on transfer comparable
to those set forth herein to the extent required by the Securities Act.
Transfers of beneficial interests in the Global Notes also shall require
compliance with either subparagraph (i) or (ii) below, as applicable, as well
as one or more of the other following subparagraphs, as applicable:

           (i) Transfer of Beneficial Interests in the Same Global Note.
      Beneficial interests in any Restricted Global Note may be transferred to
      Persons who take delivery thereof in the form of a beneficial interest in
      the same Restricted Global Note in accordance with the transfer
      restrictions set forth in the Private Placement Legend; provided,
      however, that prior to the expiration of the Restricted Period, transfers
      of beneficial interests in the Temporary Regulation S Global Note may not
      be made to a U.S. Person or for the account or benefit of a U.S. Person
      (other than the Initial Purchaser).  Beneficial interests in any
      Unrestricted Global Note may be transferred to Persons who take delivery
      thereof in the form of a beneficial interest in an Unrestricted Global
      Note.  No written orders or instructions shall be required to be
      delivered to the Registrar to effect the transfers described in this
      Section 2.06(b)(i).

           (ii) All Other Transfers and Exchanges of Beneficial Interests in
      Global Notes.  In connection with all transfers and exchanges of
      beneficial interests that are not subject to Section 2.06(b)(i) above,
      the transferor of such beneficial interest must deliver to the Registrar
      either (A) (1) a written order from a Participant or an Indirect
      Participant given to the Depositary in accordance with the Applicable
      Procedures directing the Depositary to credit or cause to be

                                       24

<PAGE>   31

      credited a beneficial interest in another Global Note in an amount equal
      to the beneficial interest to be transferred or exchanged and (2)
      instructions given in accordance with the Applicable Procedures
      containing information regarding the Participant account to be credited
      with such increase or (B) (1) a written order from a Participant or an
      Indirect Participant given to the Depositary in accordance with the
      Applicable Procedures directing the Depositary to cause to be issued a
      Definitive Note in an amount equal to the beneficial interest to be
      transferred or exchanged and (2) instructions given by the Depositary to
      the Registrar containing information regarding the Person in whose name
      such Definitive Note shall be registered to effect the transfer or
      exchange referred to in (1) above; provided that in no event shall
      Definitive Notes be issued upon the transfer or exchange of beneficial
      interests in the Regulation S Temporary Global Note prior to (x) the
      expiration of the Restricted Period and (y) the receipt by the Registrar
      of any certificates required pursuant to Rule 903 under the Securities
      Act.  Upon consummation of an Exchange Offer by the Company in accordance
      with Section 2.06(f) hereof, the requirements of this Section 2.06(b)(ii)
      shall be deemed to have been satisfied upon receipt by the Registrar of
      the instructions contained in the Letter of Transmittal delivered by the
      Holder of such beneficial interests in the Restricted Global Notes.  Upon
      satisfaction of all of the requirements for transfer or exchange of
      beneficial interests in Global Notes contained in this Indenture and the
      Notes or otherwise applicable under the Securities Act, the Trustee shall
      adjust the principal amount of the relevant Global Note(s) pursuant to
      Section 2.06(h) hereof.

           (iii) Transfer of Beneficial Interests to Another Restricted Global
      Note.  A beneficial interest in any Restricted Global Note may be
      transferred to a Person who takes delivery thereof in the form of a
      beneficial interest in another Restricted Global Note if the transfer
      complies with the requirements of Section 2.06(b)(ii) above and the
      Registrar receives the following:

                 (A) if the transferee will take delivery in the form of a
            beneficial interest in the 144A Global Note, then the transferor
            must deliver a certificate in the form of Exhibit B hereto,
            including the certifications in item (1) thereof;

                 (B) if the transferee will take delivery in the form of a
            beneficial interest in the Regulation S Temporary Global Note or
            the Regulation S Global Note, then the transferor must deliver a
            certificate in the form of Exhibit B hereto, including the
            certifications in item (2) thereof; and

                 (C) if the transferee will take delivery in the form of a
            beneficial interest in the IAI Global Note, then the transferor
            must deliver a certificate in the form of Exhibit B hereto,
            including the certifications and certificates and Opinion of
            Counsel required by item (3) thereof, if applicable.

           (iv) Transfer and Exchange of Beneficial Interests in a Restricted
      Global Note for Beneficial Interests in the Unrestricted Global Note.  A
      beneficial interest in any Restricted Global Note may be exchanged by any
      holder thereof for a beneficial interest in an Unrestricted Global Note
      or transferred to a Person who takes delivery thereof in the form of a
      beneficial interest in an Unrestricted Global Note if the exchange or
      transfer complies with the requirements of Section 2.06(b)(ii) above and:

                 (A) such exchange or transfer is effected pursuant to the
            Exchange Offer in accordance with the Registration Rights Agreement
            and the holder of the beneficial interest to be transferred, in the
            case of an exchange, or the transferee, in the case of a transfer,
            certifies in the applicable Letter of Transmittal that it is not
            (1) a broker-dealer,

                                       25

<PAGE>   32

            (2) a Person participating in the distribution of the New Notes or
            (3) a Person who is an affiliate (as defined in Rule 144) of the
            Company;

                 (B) such transfer is effected pursuant to the Shelf
            Registration Statement in accordance with the Registration Rights
            Agreement;

                 (C) such transfer is effected by a Broker-Dealer pursuant to
            the Exchange Offer Registration Statement in accordance with the
            Registration Rights Agreement; or

                 (D) the Registrar receives the following:

                       (1) if the holder of such beneficial interest in a
                  Restricted Global Note proposes to exchange such beneficial
                  interest for a beneficial interest in an Unrestricted Global
                  Note, a certificate from such holder in the form of Exhibit C
                  hereto, including the certifications in item (1)(a) thereof;
                  or

                       (2) if the holder of such beneficial interest in a
                  Restricted Global Note proposes to transfer such beneficial
                  interest to a Person who shall take delivery thereof in the
                  form of a beneficial interest in an Unrestricted Global Note,
                  a certificate from such holder in the form of Exhibit B
                  hereto, including the certifications in item (4) thereof;

            and, in each such case set forth in this subparagraph (D), if the
            Registrar so requests or if the Applicable Procedures so require,
            an Opinion of Counsel in form reasonably acceptable to the
            Registrar to the effect that such exchange or transfer is in
            compliance with the Securities Act and that the restrictions on
            transfer contained herein and in the Private Placement Legend are
            no longer required in order to maintain compliance with the
            Securities Act.

     If any such transfer is effected pursuant to subparagraph (B) or (D) above
at a time when an Unrestricted Global Note has not yet been issued, the Company
shall issue and, upon receipt of an Authentication Order in accordance with
Section 2.02 hereof, the Trustee shall authenticate one or more Unrestricted
Global Notes in an aggregate principal amount equal to the aggregate principal
amount of beneficial interests transferred pursuant to subparagraph (B) or (D)
above.

     Beneficial interests in an Unrestricted Global Note cannot be exchanged
for, or transferred to Persons who take delivery thereof in the form of, a
beneficial interest in a Restricted Global Note.

     (c) Transfer or Exchange of Beneficial Interests for Definitive Notes.

           (i) Beneficial Interests in Restricted Global Notes to Restricted
      Definitive Notes.  If any holder of a beneficial interest in a Restricted
      Global Note proposes to exchange such beneficial interest for a
      Restricted Definitive Note or to transfer such beneficial interest to a
      Person who takes delivery thereof in the form of a Restricted Definitive
      Note, then, upon receipt by the Registrar of the following documentation:

                 (A) if the holder of such beneficial interest in a Restricted
            Global Note proposes to exchange such beneficial interest for a
            Restricted Definitive Note, a

                                       26

<PAGE>   33

            certificate from such holder in the form of Exhibit C hereto,
            including the certifications in item (2)(a) thereof;

                 (B) if such beneficial interest is being transferred to a QIB
            in accordance with Rule 144A under the Securities Act, a
            certificate to the effect set forth in Exhibit B hereto, including
            the certifications in item (1) thereof;

                 (C) if such beneficial interest is being transferred to a
            Non-U.S. Person in an offshore transaction in accordance with Rule
            903 or Rule 904 under the Securities Act, a certificate to the
            effect set forth in Exhibit B hereto, including the certifications
            in item (2) thereof;

                 (D) if such beneficial interest is being transferred pursuant
            to an exemption from the registration requirements of the
            Securities Act in accordance with Rule 144 under the Securities
            Act, a certificate to the effect set forth in Exhibit B hereto,
            including the certifications in item (3)(a) thereof;

                 (E) if such beneficial interest is being transferred to an
            Institutional Accredited Investor in reliance on an exemption from
            the registration requirements of the Securities Act other than
            those listed in subparagraphs (B) through (D) above, a certificate
            to the effect set forth in Exhibit B hereto, including the
            certifications, certificates and Opinion of Counsel required by
            item (3) thereof, if applicable;

                 (F) if such beneficial interest is being transferred to the
            Company or any of its Subsidiaries, a certificate to the effect set
            forth in Exhibit B hereto, including the certifications in item
            (3)(b) thereof; or

                 (G) if such beneficial interest is being transferred pursuant
            to an effective registration statement under the Securities Act, a
            certificate to the effect set forth in Exhibit B hereto, including
            the certifications in item (3)(c) thereof,

      the Trustee shall cause the aggregate principal amount of the applicable
      Global Note to be reduced accordingly pursuant to Section 2.06(h) hereof,
      and the Company shall execute and the Trustee shall authenticate and
      deliver to the Person designated in the instructions a Definitive Note in
      the appropriate principal amount.  Any Definitive Note issued in exchange
      for a beneficial interest in a Restricted Global Note pursuant to this
      Section 2.06(c) shall be registered in such name or names and in such
      authorized denomination or denominations as the holder of such beneficial
      interest shall instruct the Registrar through instructions from the
      Depositary and the Participant or Indirect Participant.  The Trustee
      shall deliver such Definitive Notes to the Persons in whose names such
      Notes are so registered.  Any Definitive Note issued in exchange for a
      beneficial interest in a Restricted Global Note pursuant to this Section
      2.06(c)(i) shall bear the Private Placement Legend and shall be subject
      to all restrictions on transfer contained therein.

           (ii) Beneficial Interests in Regulation S Temporary Global Note to
      Definitive Notes.  Notwithstanding Sections 2.06(c)(i)(A) and (C) hereof,
      a beneficial interest in the Regulation S Temporary Global Note may not
      be exchanged for a Definitive Note or transferred to a Person who takes
      delivery thereof in the form of a Definitive Note prior to (x) the
      expiration of the Restricted Period and (y) the receipt by the Registrar
      of any certificates required pursuant to Rule 903(c)(3)(ii)(B) under the
      Securities Act, except in the case of a transfer pursuant to an exemption
      from the registration requirements of the Securities Act other than Rule
      903 or Rule 904.

                                       27

<PAGE>   34

          (iii) Beneficial Interests in Restricted Global Notes to Unrestricted
      Definitive Notes.  A holder of a beneficial interest in a Restricted
      Global Note may exchange such beneficial interest for an Unrestricted
      Definitive Note or may transfer such beneficial interest to a Person who
      takes delivery thereof in the form of an Unrestricted Definitive Note
      only if:

                 (A) such exchange or transfer is effected pursuant to the
            Exchange Offer in accordance with the Registration Rights Agreement
            and the holder of such beneficial interest, in the case of an
            exchange, or the transferee, in the case of a transfer, certifies
            in the applicable Letter of Transmittal that it is not (1) a
            broker-dealer, (2) a Person participating in the distribution of
            the New Notes or (3) a Person who is an affiliate (as defined in
            Rule 144) of the Company;

                 (B) such transfer is effected pursuant to the Shelf
            Registration Statement in accordance with the Registration Rights
            Agreement;

                 (C) such transfer is effected by a Broker-Dealer pursuant to
            the Exchange Offer Registration Statement in accordance with the
            Registration Rights Agreement; or

                 (D) the Registrar receives the following:

                     (1) if the holder of such beneficial interest in a
                  Restricted Global Note proposes to exchange such beneficial
                  interest for a Definitive Note that does not bear the Private
                  Placement Legend, a certificate from such holder in the form
                  of Exhibit C hereto, including the certifications in item
                  (1)(b) thereof; or

                     (2) if the holder of such beneficial interest in a
                  Restricted Global Note proposes to transfer such beneficial
                  interest to a Person who shall take delivery thereof in the
                  form of a Definitive Note that does not bear the Private
                  Placement Legend, a certificate from such holder in the form
                  of Exhibit B hereto, including the certifications in item (4)
                  thereof;

            and, in each such case set forth in this subparagraph (D), if the
            Registrar so requests or if the Applicable Procedures so require,
            an Opinion of Counsel in form reasonably acceptable to the
            Registrar to the effect that such exchange or transfer is in
            compliance with the Securities Act and that the restrictions on
            transfer contained herein and in the Private Placement Legend are
            no longer required in order to maintain compliance with the
            Securities Act.

           (iv) Beneficial Interests in Unrestricted Global Notes to
      Unrestricted Definitive Notes.  If any holder of a beneficial interest in
      an Unrestricted Global Note proposes to exchange such beneficial interest
      for a Definitive Note or to transfer such beneficial interest to a Person
      who takes delivery thereof in the form of a Definitive Note, then, upon
      satisfaction of the conditions set forth in Section 2.06(b)(ii) hereof,
      the Trustee shall cause the aggregate principal amount of the applicable
      Global Note to be reduced accordingly pursuant to Section 2.06(h) hereof,
      and the Company shall execute and the Trustee shall authenticate and
      deliver to the Person designated in the instructions a Definitive Note in
      the appropriate principal amount.  Any Definitive Note issued in exchange
      for a beneficial interest pursuant to this Section 2.06(c)(iv) shall be
      registered in such name or names and in such authorized denomination or
      denominations as the holder of such beneficial interest shall instruct
      the Registrar through instructions from the Depositary and the
      Participant or Indirect Participant.  The Trustee shall deliver such
      Definitive Notes to the Persons in whose names such Notes are so
      registered.  Any Definitive Note issued in

                                       28

<PAGE>   35

      exchange for a beneficial interest pursuant to this Section 2.06(c)(iv)
      shall not bear the Private Placement Legend.

     (d) Transfer and Exchange of Definitive Notes for Beneficial Interests.

           (i) Restricted Definitive Notes to Beneficial Interests in
      Restricted Global Notes.  If any Holder of a Restricted Definitive Note
      proposes to exchange such Note for a beneficial interest in a Restricted
      Global Note or to transfer such Restricted Definitive Notes to a Person
      who takes delivery thereof in the form of a beneficial interest in a
      Restricted Global Note, then, upon receipt by the Registrar of the
      following documentation:

                 (A) if the Holder of such Restricted Definitive Note proposes
            to exchange such Note for a beneficial interest in a Restricted
            Global Note, a certificate from such Holder in the form of Exhibit
            C hereto, including the certifications in item (2)(b) thereof;

                 (B) if such Restricted Definitive Note is being transferred to
            a QIB in accordance with Rule 144A under the Securities Act, a
            certificate to the effect set forth in Exhibit B hereto, including
            the certifications in item (1) thereof;

                 (C) if such Restricted Definitive Note is being transferred to
            a Non-U.S. Person in an offshore transaction in accordance with
            Rule 903 or Rule 904 under the Securities Act, a certificate to the
            effect set forth in Exhibit B hereto, including the certifications
            in item (2) thereof;

                 (D) if such Restricted Definitive Note is being transferred
            pursuant to an exemption from the registration requirements of the
            Securities Act in accordance with Rule 144 under the Securities
            Act, a certificate to the effect set forth in Exhibit B hereto,
            including the certifications in item (3)(a) thereof;

                 (E) if such Restricted Definitive Note is being transferred to
            an Institutional Accredited Investor in reliance on an exemption
            from the registration requirements of the Securities Act other than
            those listed in subparagraphs (B) through (D) above, a certificate
            to the effect set forth in Exhibit B hereto, including the
            certifications, certificates and Opinion of Counsel required by
            item (3) thereof, if applicable;

                 (F) if such Restricted Definitive Note is being transferred to
            the Company or any of its Subsidiaries, a certificate to the effect
            set forth in Exhibit B hereto, including the certifications in item
            (3)(b) thereof; or

                 (G) if such Restricted Definitive Note is being transferred
            pursuant to an effective registration statement under the
            Securities Act, a certificate to the effect set forth in Exhibit B
            hereto, including the certifications in item (3)(c) thereof,

      the Trustee shall cancel the Restricted Definitive Note, increase or
      cause to be increased the aggregate principal amount of, in the case of
      clause (A) above, the appropriate Restricted Global Note, in the case of
      clause (B) above, the 144A Global Note, in the case of clause (C) above,
      the Regulation S Global Note, and in all other cases, the IAI Global
      Note.

           (ii) Restricted Definitive Notes to Beneficial Interests in
      Unrestricted Global Notes.  A Holder of a Restricted Definitive Note may
      exchange such Note for a beneficial interest in an

                                       29

<PAGE>   36

      Unrestricted Global Note or transfer such Restricted Definitive Note to a
      Person who takes delivery thereof in the form of a beneficial interest in
      an Unrestricted Global Note only if:

                 (A) such exchange or transfer is effected pursuant to the
            Exchange Offer in accordance with the Registration Rights Agreement
            and the Holder, in the case of an exchange, or the transferee, in
            the case of a transfer, certifies in the applicable Letter of
            Transmittal that it is not (1) a broker-dealer, (2) a Person
            participating in the distribution of the New Notes or (3) a Person
            who is an affiliate (as defined in Rule 144) of the Company;

                 (B) such transfer is effected pursuant to the Shelf
            Registration Statement in accordance with the Registration Rights
            Agreement;

                 (C) such transfer is effected by a Broker-Dealer pursuant to
            the Exchange Offer Registration Statement in accordance with the
            Registration Rights Agreement; or

                 (D) the Registrar receives the following:

                       (1) if the Holder of such Definitive Notes proposes to
                  exchange such Notes for a beneficial interest in the
                  Unrestricted Global Note, a certificate from such Holder in
                  the form of Exhibit C hereto, including the certifications in
                  item (1)(c) thereof; or

                       (2) if the Holder of such Definitive Notes proposes to
                  transfer such Notes to a Person who shall take delivery
                  thereof in the form of a beneficial interest in the
                  Unrestricted Global Note, a certificate from such Holder in
                  the form of Exhibit B hereto, including the certifications in
                  item (4) thereof;

            and, in each such case set forth in this subparagraph (D), if the
            Registrar so requests or if the Applicable Procedures so require,
            an Opinion of Counsel in form reasonably acceptable to the
            Registrar to the effect that such exchange or transfer is in
            compliance with the Securities Act and that the restrictions on
            transfer contained herein and in the Private Placement Legend are
            no longer required in order to maintain compliance with the
            Securities Act.

           Upon satisfaction of the conditions of any of the subparagraphs in
      this Section 2.06(d)(ii), the Trustee shall cancel the Definitive Notes
      and increase or cause to be increased the aggregate principal amount of
      the Unrestricted Global Note.

           (iii) Unrestricted Definitive Notes to Beneficial Interests in
      Unrestricted Global Notes.  A Holder of an Unrestricted Definitive Note
      may exchange such Note for a beneficial interest in an Unrestricted
      Global Note or transfer such Definitive Notes to a Person who takes
      delivery thereof in the form of a beneficial interest in an Unrestricted
      Global Note at any time.  Upon receipt of a request for such an exchange
      or transfer, the Trustee shall cancel the applicable Unrestricted
      Definitive Note and increase or cause to be increased the aggregate
      principal amount of one of the Unrestricted Global Notes.

           If any such exchange or transfer from a Definitive Note to a
      beneficial interest is effected pursuant to subparagraphs (ii)(B),
      (ii)(D) or (iii) above at a time when an Unrestricted Global Note has not
      yet been issued, the Company shall issue and, upon receipt of an
      Authentication Order in accordance with Section 2.02 hereof, the Trustee
      shall authenticate one or more

                                       30

<PAGE>   37

      Unrestricted Global Notes in an aggregate principal amount equal to the
      principal amount of Definitive Notes so transferred.

     (e) Transfer and Exchange of Definitive Notes for Definitive Notes.  Upon
request by a Holder of Definitive Notes and such Holder's compliance with the
provisions of this Section 2.06(e), the Registrar shall register the transfer
or exchange of Definitive Notes.  Prior to such registration of transfer or
exchange, the requesting Holder shall present or surrender to the Registrar the
Definitive Notes duly endorsed or accompanied by a written instruction of
transfer in form satisfactory to the Registrar duly executed by such Holder or
by its attorney, duly authorized in writing.  In addition, the requesting
Holder shall provide any additional certifications, documents and information,
as applicable, required pursuant to the following provisions of this Section
2.06(e).

           (i) Restricted Definitive Notes to Restricted Definitive Notes.  Any
      Restricted Definitive Note may be transferred to and registered in the
      name of Persons who take delivery thereof in the form of a Restricted
      Definitive Note if the Registrar receives the following:

                 (A) if the transfer will be made pursuant to Rule 144A under
            the Securities Act, then the transferor must deliver a certificate
            in the form of Exhibit B hereto, including the certifications in
            item (1) thereof;

                 (B) if the transfer will be made pursuant to Rule 903 or Rule
            904, then the transferor must deliver a certificate in the form of
            Exhibit B hereto, including the certifications in item (2) thereof;
            and

                 (C) if the transfer will be made pursuant to any other
            exemption from the registration requirements of the Securities Act,
            then the transferor must deliver a certificate in the form of
            Exhibit B hereto, including the certifications, certificates and
            Opinion of Counsel required by item (3) thereof, if applicable.

           (ii) Restricted Definitive Notes to Unrestricted Definitive Notes.
      Any Restricted Definitive Note may be exchanged by the Holder thereof for
      an Unrestricted Definitive Note or transferred to a Person or Persons who
      take delivery thereof in the form of an Unrestricted Definitive Note if:

                 (A) such exchange or transfer is effected pursuant to the
            Exchange Offer in accordance with the Registration Rights Agreement
            and the Holder, in the case of an exchange, or the transferee, in
            the case of a transfer, certifies in the applicable Letter of
            Transmittal that it is not (1) a broker-dealer, (2) a Person
            participating in the distribution of the New Notes or (3) a Person
            who is an affiliate (as defined in Rule 144) of the Company;

                 (B) any such transfer is effected pursuant to the Shelf
            Registration Statement in accordance with the Registration Rights
            Agreement;

                 (C) any such transfer is effected by a Broker-Dealer pursuant
            to the Exchange Offer Registration Statement in accordance with the
            Registration Rights Agreement; or

                 (D) the Registrar receives the following:

                                       31

<PAGE>   38

                       (1) if the Holder of such Restricted Definitive Notes
                  proposes to exchange such Notes for an Unrestricted Definitive
                  Note, a certificate from such Holder in the form of Exhibit C
                  hereto, including the certifications in item (1)(d) thereof;
                  or

                       (2) if the Holder of such Restricted Definitive Notes
                  proposes to transfer such Notes to a Person who shall take
                  delivery thereof in the form of an Unrestricted Definitive
                  Note, a certificate from such Holder in the form of Exhibit B
                  hereto, including the certifications in item (4) thereof;

            and, in each such case set forth in this subparagraph (D), if the
            Registrar so requests, an Opinion of Counsel in form reasonably
            acceptable to the Company to the effect that such exchange or
            transfer is in compliance with the Securities Act and that the
            restrictions on transfer contained herein and in the Private
            Placement Legend are no longer required in order to maintain
            compliance with the Securities Act.

           (iii) Unrestricted Definitive Notes to Unrestricted Definitive
      Notes.  A Holder of Unrestricted Definitive Notes may transfer such Notes
      to a Person who takes delivery thereof in the form of an Unrestricted
      Definitive Note.  Upon receipt of a request to register such a transfer,
      the Registrar shall register the Unrestricted Definitive Notes pursuant
      to the instructions from the Holder thereof.

     (f) Exchange Offer.  Upon the occurrence of the Exchange Offer in
accordance with the Registration Rights Agreement, the Company shall issue and,
upon receipt of an Authentication Order in accordance with Section 2.02, the
Trustee shall authenticate (i) one or more Unrestricted Global Notes in an
aggregate principal amount equal to the principal amount of the beneficial
interests in the Restricted Global Notes tendered for acceptance by Persons
that certify in the applicable Letters of Transmittal that (x) they are not
broker-dealers, (y) they are not participating in a distribution of the
Exchange Notes and (z) they are not affiliates (as defined in Rule 144) of the
Company, and accepted for exchange in the Exchange Offer and (ii) Definitive
Notes in an aggregate principal amount equal to the principal amount of the
Restricted Definitive Notes accepted for exchange in the Exchange Offer.
Concurrently with the issuance of such Notes, the Trustee shall cause the
aggregate principal amount of the applicable Restricted Global Notes to be
reduced accordingly, and the Company shall execute and the Trustee shall
authenticate and deliver to the Persons designated by the Holders of Definitive
Notes so accepted Definitive Notes in the appropriate principal amount.

     (g) Legends.  The following legends shall appear on the face of all Global
Notes and Definitive Notes issued under this Indenture unless specifically
stated otherwise in the applicable provisions of this Indenture.

           (i) Private Placement Legend.

                 (A) Except as permitted by subparagraph (B) below, each Global
            Note and each Definitive Note (and all Notes issued in exchange
            therefor or substitution thereof) shall bear the legend in
            substantially the following form:

"THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE
"SECURITIES ACT"), AND THIS SECURITY MAY NOT BE OFFERED, SOLD, PLEDGED OR
OTHERWISE TRANSFERRED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT OR
IN ACCORDANCE WITH AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS
OF THE SECURITIES ACT (SUBJECT TO THE DELIVERY OF

                                       32

<PAGE>   39

SUCH EVIDENCE, IF ANY REQUIRED UNDER [THE INDENTURE] [WARRANT AGREEMENT]
PURSUANT TO WHICH THIS SECURITY IS ISSUED) AND IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR ANY OTHER
JURISDICTION. EACH PURCHASER OF THE SECURITY EVIDENCED HEREBY IS HEREBY
NOTIFIED THAT THE SELLER MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF
SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER OR ANOTHER
EXEMPTION UNDER THE SECURITIES ACT. THE HOLDER OF THE SECURITY EVIDENCED HEREBY
AGREES FOR THE BENEFIT OF THE COMPANY THAT (A) SUCH SECURITY MAY BE RESOLD,
PLEDGED OR OTHERWISE TRANSFERRED ONLY (1)(A) TO A PERSON WHO THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE
144A, (B) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144 UNDER THE
SECURITIES ACT, (C) OUTSIDE THE UNITED STATES TO A FOREIGN PERSON IN A
TRANSACTION MEETING THE REQUIREMENTS OF RULE 904 UNDER THE SECURITIES ACT OR
(D) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT (AND BASED UPON AN OPINION OF COUNSEL IF THE COMPANY SO
REQUESTS), AS LONG AS THE REGISTRAR RECEIVES A CERTIFICATION OF THE TRANSFEROR
AND AN OPINION OF COUNSEL THAT SUCH TRANSFER IS IN COMPLIANCE WITH THE
SECURITIES ACT, (2) TO THE COMPANY OR (3) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT AND, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS
OF ANY STATE OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION AND (B)
THE HOLDER WILL AND EACH SUBSEQUENT HOLDER IS REQUIRED TO NOTIFY ANY PURCHASER
FROM IT OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTION SET FORTH IN
(A) ABOVE."

                 (B) Notwithstanding the foregoing, any Global Note or
            Definitive Note issued pursuant to subparagraphs (b)(iv), (c)(iii),
            (c)(iv), (d)(ii), (d)(iii), (e)(ii), (e)(iii) or (f) to this
            Section 2.06 (and all Notes issued in exchange therefor or
            substitution thereof) shall not bear the Private Placement Legend.

           (ii) Global Note Legend.  Each Global Note shall bear a legend in
      substantially the following form:

"THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE
GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE
BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON UNDER ANY
CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY
BE REQUIRED PURSUANT TO SECTION 2.07 OF THE INDENTURE, (II) THIS GLOBAL NOTE
MAY BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO SECTION 2.06(a) OF THE
INDENTURE, (III) THIS GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR
CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (IV) THIS GLOBAL
NOTE MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN
CONSENT OF THE COMPANY."

           (iii) Regulation S Temporary Global Note Legend.  The Regulation S
      Temporary Global Note shall bear a legend in substantially the following
      form:

"THE RIGHTS ATTACHING TO THIS REGULATION S TEMPORARY GLOBAL NOTE, AND THE
CONDITIONS AND PROCEDURES GOVERNING ITS EXCHANGE FOR CERTIFICATED NOTES, ARE AS
SPECIFIED IN THE INDENTURE (AS DEFINED HEREIN).  NEITHER THE HOLDER

                                       33

<PAGE>   40

NOR THE BENEFICIAL OWNERS OF THIS REGULATION S TEMPORARY GLOBAL NOTE SHALL BE
ENTITLED TO RECEIVE PAYMENT OF INTEREST HEREON."

           (iv) Original Issue Discount Legend.  Each Note shall bear a legend
      in substantially the following form:

"FOR THE PURPOSES OF SECTIONS 1272, 1273 AND 1275 OF THE INTERNAL REVENUE CODE
OF 1986, AS AMENDED, THIS SECURITY IS BEING ISSUED WITH ORIGINAL ISSUE
DISCOUNT; FOR EACH $1,000 PRINCIPAL AMOUNT OF THIS SECURITY, THE ISSUE PRICE
ALLOCATED TO THE NOTE IS $945.46, THE AMOUNT OF ORIGINAL ISSUE DISCOUNT IS
$54.54, THE ISSUE DATE IS NOVEMBER 30, 1999 AND THE YIELD TO MATURITY IS 14.42%
PER ANNUM."

     (h) Cancellation and/or Adjustment of Global Notes.  At such time as all
beneficial interests in a particular Global Note have been exchanged for
Definitive Notes or a particular Global Note has been redeemed, repurchased or
canceled in whole and not in part, each such Global Note shall be returned to
or retained and canceled by the Trustee in accordance with Section 2.11 hereof.
At any time prior to such cancellation, if any beneficial interest in a Global
Note is exchanged for or transferred to a Person who will take delivery thereof
in the form of a beneficial interest in another Global Note or for Definitive
Notes, the principal amount of Notes represented by such Global Note shall be
reduced accordingly and an endorsement shall be made on such Global Note by the
Trustee or by the Depositary at the direction of the Trustee to reflect such
reduction; and if the beneficial interest is being exchanged for or transferred
to a Person who will take delivery thereof in the form of a beneficial interest
in another Global Note, such other Global Note shall be increased accordingly
and an endorsement shall be made on such Global Note by the Trustee or by the
Depositary at the direction of the Trustee to reflect such increase.

     (i) General Provisions Relating to Transfers and Exchanges.

           (i) To permit registrations of transfers and exchanges, the Company
      shall execute and the Trustee shall authenticate Global Notes and
      Definitive Notes upon the Company's order or at the Registrar's request.

           (ii) No service charge shall be made to a holder of a beneficial
      interest in a Global Note or to a Holder of a Definitive Note for any
      registration of transfer or exchange, but the Company may require payment
      of a sum sufficient to cover any transfer tax or similar governmental
      charge payable in connection therewith (other than any such transfer
      taxes or similar governmental charge payable upon exchange or transfer
      pursuant to Sections 2.10, 3.06, 3.09, 4.10, 4.15 and 9.05 hereof).

           (iii) The Registrar shall not be required to register the transfer
      of or exchange any Note selected for redemption in whole or in part,
      except the unredeemed portion of any Note being redeemed in part.

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

           (v) The Company shall not be required (A) to issue, to register the
      transfer of or to exchange any Notes during a period beginning at the
      opening of business 15 days before the day of any selection of Notes for
      redemption under Section 3.02 hereof and ending at the close of

                                       34

<PAGE>   41

      business on the day of selection, (B) to register the transfer of or to
      exchange any Note so selected for redemption in whole or in part, except
      the unredeemed portion of any Note being redeemed in part or (C) to
      register the transfer of or to exchange a Note between a record date and
      the next succeeding Interest Payment Date.

           (vi) Prior to due presentment for the registration of a transfer of
      any Note, the Trustee, any Agent and the Company may deem and treat the
      Person in whose name any Note is registered as the absolute owner of such
      Note for the purpose of receiving payment of principal of and interest on
      such Notes and for all other purposes, and none of the Trustee, any Agent
      or the Company shall be affected by notice to the contrary.

           (vii) The Trustee shall authenticate Global Notes and Definitive
      Notes in accordance with the provisions of Section 2.02 hereof.

           (viii) All certifications, certificates and Opinions of Counsel
      required to be submitted to the Registrar pursuant to this Section 2.06
      to effect a registration of transfer or exchange may be submitted by
      facsimile.

Section 2.07. Replacement Notes.

     If any mutilated Note is surrendered to the Trustee or the Company and the
Trustee receives evidence to its satisfaction of the destruction, loss or theft
of any Note, the Company shall issue and the Trustee, upon receipt of an
Authentication Order, shall authenticate a replacement Note if the Trustee's
requirements are met.  If required by the Trustee or the Company, an indemnity
bond must be supplied by the Holder that is sufficient in the judgment of the
Trustee and the Company to protect the Company, the Trustee, any Agent and any
authenticating agent from any loss that any of them may suffer if a Note is
replaced.  The Company may charge for its expenses in replacing a Note.

     Every replacement Note is an additional obligation of the Company and
shall be entitled to all of the benefits of this Indenture equally and
proportionately with all other Notes duly issued hereunder.

Section 2.08. Outstanding Notes.

     The Notes outstanding at any time are all the Notes authenticated by the
Trustee except for those canceled by it, those delivered to it for
cancellation, those reductions in the interest in a Global Note effected by the
Trustee in accordance with the provisions hereof, and those described in this
Section as not outstanding.  Except as set forth in Section 2.09 hereof, a Note
does not cease to be outstanding because the Company or an Affiliate of the
Company holds the Note; however, Notes held by the Company or a Subsidiary of
the Company shall not be deemed to be outstanding for purposes of Section
3.07(b) hereof.

     If a Note is replaced pursuant to Section 2.07 hereof, it ceases to be
outstanding unless the Trustee receives proof satisfactory to it that the
replaced Note is held by a bona fide purchaser.

     If the principal amount of any Note is considered paid under Section 4.01
hereof, it ceases to be outstanding and interest on it ceases to accrue.

     If the Paying Agent (other than the Company, a Subsidiary or an Affiliate
of any thereof) holds, on a redemption date or maturity date, money sufficient
to pay Notes payable on that date, then on and after that date such Notes shall
be deemed to be no longer outstanding and shall cease to accrue interest.

                                       35

<PAGE>   42

Section 2.09. Treasury Notes.

     In determining whether the Holders of the required principal amount of
Notes have concurred in any direction, waiver or consent, Notes owned by the
Company, or by any Person directly or indirectly controlling or controlled by
or under direct or indirect common control with the Company, shall be
considered as though not outstanding, except that for the purposes of
determining whether the Trustee shall be protected in relying on any such
direction, waiver or consent, only Notes that the Trustee knows are so owned
shall be so disregarded.

Section 2.10. Temporary Notes.

     Until certificates representing Notes are ready for delivery, the Company
may prepare and the Trustee, upon receipt of an Authentication Order, shall
authenticate temporary Notes.  Temporary Notes shall be substantially in the
form of certificated Notes but may have variations that the Company considers
appropriate for temporary Notes and as shall be reasonably acceptable to the
Trustee.  Without unreasonable delay, the Company shall prepare and the Trustee
shall authenticate definitive Notes in exchange for temporary Notes.

     Holders of temporary Notes shall be entitled to all of the benefits of this
Indenture.

Section 2.11. Cancellation.

     The Company at any time may deliver Notes to the Trustee for cancellation.
The Registrar and Paying Agent shall forward to the Trustee any Notes
surrendered to them for registration of transfer, exchange or payment.  The
Trustee and no one else shall cancel all Notes surrendered for registration of
transfer, exchange, payment, replacement or cancellation and shall destroy
canceled Notes (subject to the record retention requirement of the Exchange
Act).  Certification of the destruction of all canceled Notes shall be
delivered to the Company.  The Company may not issue new Notes to replace Notes
that it has paid or that have been delivered to the Trustee for cancellation.

Section 2.12. Defaulted Interest.

     If the Company defaults in a payment of interest on the Notes, it shall
pay the defaulted interest in any lawful manner plus, to the extent lawful,
interest payable on the defaulted interest, to the Persons who are Holders on a
subsequent special record date, in each case at the rate provided in the Notes
and in Section 4.01 hereof.  The Company shall notify the Trustee in writing of
the amount of defaulted interest proposed to be paid on each Note and the date
of the proposed payment.  The Company  shall fix or cause to be fixed each such
special record date and payment date, provided that no such special record date
shall be less than 10 days prior to the related payment date for such defaulted
interest.  At least 15 days before the special record date, the Company (or,
upon the written request of the Company, the Trustee in the name and at the
expense of the Company) shall mail or cause to be mailed to Holders a notice
that states the special record date, the related payment date and the amount of
such interest to be paid.

                                   ARTICLE 3.
                            REDEMPTION AND PREPAYMENT

Section 3.01. Notices to Trustee.

     If the Company elects to redeem Notes pursuant to the optional redemption
provisions of Section 3.07 hereof, it shall furnish to the Trustee, at least 30
days but not more than 60 days before a redemption date, an Officers'
Certificate setting forth (i) the clause of this Indenture pursuant to which
the redemption

                                       36

<PAGE>   43

shall occur, (ii) the redemption date, (iii) the principal amount of Notes to
be redeemed and (iv) the redemption price.

Section 3.02. Selection of Notes to Be Redeemed.

     If less than all of the Notes are to be redeemed or purchased in an offer
to purchase at any time, the Trustee shall select the Notes to be redeemed or
purchased among the Holders of the Notes in compliance with the requirements of
the principal national securities exchange, if any, on which the Notes are
listed or, if the Notes are not so listed, on a pro rata basis, by lot or in
accordance with any other method the Trustee considers fair and appropriate.
In the event of partial redemption by lot, the particular Notes to be redeemed
shall be selected, unless otherwise provided herein, not less than 30 nor more
than 60 days prior to the redemption date by the Trustee from the outstanding
Notes not previously called for redemption.

     The Trustee shall promptly notify the Company in writing of the Notes
selected for redemption and, in the case of any Note selected for partial
redemption, the principal amount thereof to be redeemed.  Notes and portions of
Notes selected shall be in amounts of $1,000 or whole multiples of $1,000;
except that if all of the Notes of a Holder are to be redeemed, the entire
outstanding amount of Notes held by such Holder, even if not a multiple of
$1,000, shall be redeemed.  Except as provided in the preceding sentence,
provisions of this Indenture that apply to Notes called for redemption also
apply to portions of Notes called for redemption.

Section 3.03. Notice of Redemption.

     Subject to the provisions of Section 3.09 hereof, at least 30 days but not
more than 60 days before a redemption date, the Company shall mail or cause to
be mailed, by first class mail, a notice of redemption to each Holder whose
Notes are to be redeemed at its registered address.

     The notice shall identify the Notes to be redeemed and shall state:

     (a) the redemption date;

     (b) the redemption price;

     (c) if any Note is being redeemed in part, the portion of the principal
amount of such Note to be redeemed and that, after the redemption date upon
surrender of such Note, a new Note or Notes in principal amount equal to the
unredeemed portion shall be issued upon cancellation of the original Note;

     (d) the name and address of the Paying Agent;

     (e) that Notes called for redemption must be surrendered to the Paying
Agent to collect the redemption price;

     (f) that, unless the Company defaults in making such redemption payment,
interest on Notes called for redemption ceases to accrue on and after the
redemption date;

     (g) the paragraph of the Notes and/or Section of this Indenture pursuant
to which the Notes called for redemption are being redeemed; and

     (h) that no representation is made as to the correctness or accuracy of
the CUSIP number, if any, listed in such notice or printed on the Notes.

                                       37

<PAGE>   44

     At the Company's request, the Trustee shall give the notice of redemption
in the Company's name and at its expense; provided, however, that the Company
shall have delivered to the Trustee, at least 45 days prior to the redemption
date, an Officers' Certificate requesting that the Trustee give such notice and
setting forth the information to be stated in such notice as provided in the
preceding paragraph.

Section 3.04. Effect of Notice of Redemption.

     Once notice of redemption is mailed in accordance with Section 3.03
hereof, Notes called for redemption become irrevocably due and payable on the
redemption date at the redemption price.  A notice of redemption may not be
conditional.

Section 3.05. Deposit of Redemption Price.

     One Business Day prior to the redemption date, the Company shall deposit
with the Trustee or with the Paying Agent money sufficient to pay the
redemption price of and accrued interest on all Notes to be redeemed on that
date.  The Trustee or the Paying Agent shall promptly return to the Company any
money deposited with the Trustee or the Paying Agent by the Company in excess
of the amounts necessary to pay the redemption price of, and accrued interest
on, all Notes to be redeemed.

     If the Company complies with the provisions of the preceding paragraph, on
and after the redemption date, interest shall cease to accrue on the Notes or
the portions of Notes called for redemption.  If a Note is redeemed on or after
an interest record date but on or prior to the related interest payment date,
then any accrued and unpaid interest shall be paid to the Person in whose name
such Note was registered at the close of business on such record date.  If any
Note called for redemption shall not be so paid upon surrender for redemption
because of the failure of the Company to comply with the preceding paragraph,
interest shall be paid on the unpaid principal, from the redemption date until
such principal is paid, and to the extent lawful on any interest not paid on
such unpaid principal, in each case at the rate provided in the Notes and in
Section 4.01 hereof.

Section 3.06. Notes Redeemed in Part.

     Upon surrender of a Note that is redeemed in part, the Company shall issue
and, upon the Company's written request, the Trustee shall authenticate for the
Holder at the expense of the Company a new Note equal in principal amount to
the unredeemed portion of the Note surrendered.

Section 3.07. Optional Redemption.

     (a)  Except as set forth in clauses (b) and (c) of this Section 3.07, the
Company shall not have the option to redeem the Notes pursuant to this Section
3.07 prior to October 15, 2004.  On and after October 15, 2004, the Company may
redeem all or a part of the Notes, upon not less than 30 nor more than 60 days'
notice, at the redemption prices (expressed as percentages of principal amount)
set forth below plus accrued and unpaid interest and Liquidated Damages, if
any, thereon, to the applicable redemption date, if redeemed during the
twelve-month period beginning on October 15 of the years indicated below:

<TABLE>
<CAPTION>
Year                 Percentage
----                 ----------
<S>                  <C>
2004...............   106.6875%
2005...............   105.0156%
2006...............   103.3438%
2007...............   101.6719%
2008 and thereafter   100.0000%
</TABLE>

                                       38

<PAGE>   45

     (b) Notwithstanding the provisions of clause (a) of this Section 3.07, at
any time prior to October 15, 2002, the Company may on any one or more occasions
redeem up to 25% of the aggregate principal amount of Notes issued under this
Indenture at a redemption price of 113.375% of the principal amount thereof,
plus accrued and unpaid interest and Liquidated Damages, if any, to the
redemption date, with the net cash proceeds of one or more Equity Offerings by
the Company or a contribution to the common equity capital of the Company made
with the net cash proceeds of a concurrent Equity Offering by the Company's
direct parent; provided that at least $75.0 million in aggregate principal
amount of Notes issued under this Indenture remains outstanding immediately
after the occurrence of such redemption (excluding Notes held by the Company
and its Subsidiaries) and the redemption occurs within 90 days of the date of
the closing of such Equity Offering.

     (c) Notwithstanding the provisions of clause (a) of this Section 3.07, at
any time prior to October 15, 2004, the Company may also redeem all or a part
of the Notes upon the occurrence of a Change of Control, upon not less than 30
nor more than 60 days' prior notice (but in no event may any such redemption
occur more than 90 days after the occurrence of such Change of Control) mailed
by first-class mail to each Holder's registered address, at a redemption price
equal to 100% of the principal amount thereof plus the Applicable Premium as
of, and accrued and unpaid interest and Liquidated Damages, if any, to, the
date of redemption (the "Redemption Date").

     (d) Any redemption pursuant to this Section 3.07 shall be made pursuant to
the provisions of Section 3.01 through 3.06 hereof.

Section 3.08. Mandatory Redemption.

     The Company shall not be required to make mandatory redemption or sinking
fund payments with respect to the Notes.

Section 3.09. Offer to Purchase by Application of Excess Proceeds.

     In the event that, pursuant to Section 4.10 hereof, the Company shall be
required to commence an offer to all Holders to purchase Notes (an "Asset Sale
Offer"), it shall follow the procedures specified below.

     The Asset Sale Offer shall remain open for a period of 20 Business Days
following its commencement and no longer, except to the extent that a longer
period is required by applicable law (the "Offer Period").  No later than five
Business Days after the termination of the Offer Period (the "Purchase Date"),
the Company shall purchase the principal amount of Notes required to be
purchased pursuant to Section 4.10 hereof (the "Offer Amount") or, if less than
the Offer Amount has been tendered, all Notes tendered in response to the Asset
Sale Offer.  Payment for any Notes so purchased shall be made in the same
manner as interest payments are made.

     If the Purchase Date is on or after an interest record date and on or
before the related interest payment date, any accrued and unpaid interest shall
be paid to the Person in whose name a Note is registered at the close of
business on such record date, and no additional interest shall be payable to
Holders who tender Notes pursuant to the Asset Sale Offer.

     Upon the commencement of an Asset Sale Offer, the Company shall send, by
first class mail, a notice to the Trustee and each of the Holders, with a copy
to the Trustee.  The notice shall contain all instructions and materials
necessary to enable such Holders to tender Notes pursuant to the Asset Sale
Offer.  The Asset Sale Offer shall be made to all Holders.  The notice, which
shall govern the terms of the Asset Sale Offer, shall state:

                                       39

<PAGE>   46

     (a) that the Asset Sale Offer is being made pursuant to this Section 3.09
and Section 4.10 hereof and the length of time the Asset Sale Offer shall remain
open;

     (b) the Offer Amount, the purchase price and the Purchase Date;

     (c) that any Note not tendered or accepted for payment shall continue to
accrete or accrue interest;

     (d) that, unless the Company defaults in making such payment, any Note
accepted for payment pursuant to the Asset Sale Offer shall cease to accrete or
accrue interest after the Purchase Date;

     (e) that Holders electing to have a Note purchased pursuant to an Asset
Sale Offer may elect to have Notes purchased in integral multiples of $1,000
only;

     (f) that Holders electing to have a Note purchased pursuant to any Asset
Sale Offer shall be required to surrender the Note, with the form entitled
"Option of Holder to Elect Purchase" on the reverse of the Note completed, or
transfer by book-entry transfer, to the Company, a depositary, if appointed by
the Company, or a Paying Agent at the address specified in the notice at least
three days before the Purchase Date;

     (g) that Holders shall be entitled to withdraw their election if the
Company, the depositary or the Paying Agent, as the case may be, receives, not
later than the expiration of the Offer Period, a telegram, telex, facsimile
transmission or letter setting forth the name of the Holder, the principal
amount of the Note the Holder delivered for purchase and a statement that such
Holder is withdrawing his election to have such Note purchased;

     (h) that, if the aggregate principal amount of Notes surrendered by
Holders exceeds the Offer Amount, the Company shall select the Notes to be
purchased on a pro rata basis (with such adjustments as may be deemed
appropriate by the Company so that only Notes in denominations of $1,000, or
integral multiples thereof, shall be purchased); and

     (i) that Holders whose Notes were purchased only in part shall be issued
new Notes equal in principal amount to the unpurchased portion of the Notes
surrendered (or transferred by book-entry transfer).

     On or before the Purchase Date, the Company shall, to the extent lawful,
accept for payment, on a pro rata basis to the extent necessary, the Offer
Amount of Notes or portions thereof tendered pursuant to the Asset Sale Offer,
or if less than the Offer Amount has been tendered, all Notes tendered, and
shall deliver to the Trustee an Officers' Certificate stating that such Notes
or portions thereof were accepted for payment by the Company in accordance with
the terms of this Section 3.09.  The Company, the Depositary or the Paying
Agent, as the case may be, shall promptly (but in any case not later than five
days after the Purchase Date) mail or deliver to each tendering Holder an
amount equal to the purchase price of the Notes tendered by such Holder and
accepted by the Company for purchase, and the Company shall promptly issue a
new Note, and the Trustee, upon written request from the Company shall
authenticate and mail or deliver such new Note to such Holder, in a principal
amount equal to any unpurchased portion of the Note surrendered.  Any Note not
so accepted shall be promptly mailed or delivered by the Company to the Holder
thereof.  The Company shall publicly announce the results of the Asset Sale
Offer on the Purchase Date.

     Other than as specifically provided in this Section 3.09, any purchase
pursuant to this Section 3.09 shall be made pursuant to the provisions of
Sections 3.01 through 3.06 hereof.

                                       40

<PAGE>   47

                                   ARTICLE 4.
                                   COVENANTS

Section 4.01. Payment of Notes.

     The Company shall pay or cause to be paid the principal of, premium, if
any, and interest on the Notes on the dates and in the manner provided in the
Notes.  Principal, premium, if any, and interest shall be considered paid on
the date due if the Paying Agent, if other than the Company or a Subsidiary
thereof, holds as of 10:00 a.m. Eastern Time on the due date money deposited by
the Company in immediately available funds and designated for and sufficient to
pay all principal, premium, if any, and interest then due.  The Company shall
pay all Liquidated Damages, if any, in the same manner on the dates and in the
amounts set forth in the Registration Rights Agreement.

     The Company shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue principal at the rate equal to
1% per annum in excess of the then applicable interest rate on the Notes to the
extent lawful; it shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue installments of interest and
Liquidated Damages (without regard to any applicable grace period) at the same
rate to the extent lawful.

Section 4.02. Maintenance of Office or Agency.

     The Company shall maintain in the Borough of Manhattan, the City of New
York, an office or agency (which may be an office of the Trustee or an agent of
the Trustee or an affiliate or agent of the Trustee, Registrar or co-registrar)
where Notes may be surrendered for registration of transfer or for exchange and
where notices and demands to or upon the Company in respect of the Notes and
this Indenture may be served.  The Company shall give prompt written notice to
the Trustee of the location, and any change in the location, of such office or
agency.  If at any time the Company shall fail to maintain any such required
office or agency or shall fail to furnish the Trustee with the address thereof,
such presentations, surrenders, notices and demands may be made or served at
the Corporate Trust Office of the Trustee.

     The Company may also from time to time designate one or more other offices
or agencies where the Notes may be presented or surrendered for any or all such
purposes and may from time to time rescind such designations; provided,
however, that no such designation or rescission shall in any manner relieve the
Company of its obligation to maintain an office or agency in the Borough of
Manhattan, the City of New York for such purposes.  The Company shall give
prompt written notice to the Trustee of any such designation or rescission and
of any change in the location of any such other office or agency.

     The Company hereby designates the Corporate Trust Office of the Trustee as
one such office or agency of the Company in accordance with Section 2.03
hereof.

Section 4.03. Reports.

     (a) Whether or not required by the SEC, so long as any Notes are
outstanding, the Company shall furnish to the Holders of Notes (i) all
quarterly and annual financial information that would be required to be
contained in a filing with the SEC on Forms 10-Q and 10-K if the Company were
required to file such forms, including a "Management's Discussion and Analysis
of Financial Condition and Results of Operations" and, with respect to the
annual information only, a report on the annual financial statements by the
Company's certified independent accountants and (ii) all current reports that
would be required to be filed with the SEC on Form 8-K if the Company were
required to file such reports, in each case, within the time periods specified
in the SEC's rules and regulations.  In addition, following

                                       41

<PAGE>   48

consummation of the Exchange Offer, whether or not required by the SEC, the
Company shall file a copy of all the information and reports referred to in
clauses (i) and (ii) above with the SEC for public availability within the time
periods specified in the SEC's rules and regulations (unless the SEC will not
accept such a filing) and make such information available to securities
analysts and prospective investors upon request.  The Company shall at all
times comply with TIA Section 314(a).

     (b) For so long as any Notes remain outstanding, the Company shall furnish
to the Holders and to securities analysts and prospective investors, upon their
request, the information required to be delivered pursuant to Rule 144A(d)(4)
under the Securities Act.

Section 4.04. Compliance Certificate.

     (a) The Company and each Guarantor (to the extent that such Guarantor is
so required under the TIA) shall deliver to the Trustee, within 90 days after
the end of each fiscal year, an Officers' Certificate stating that a review of
the activities of the Company and its Subsidiaries during the preceding fiscal
year has been made under the supervision of the signing Officers with a view to
determining whether the Company has kept, observed, performed and fulfilled its
obligations under this Indenture, and further stating, as to each such Officer
signing such certificate, that to the best of his or her knowledge the Company
has kept, observed, performed and fulfilled each and every covenant contained
in this Indenture and is not in default in the performance or observance of any
of the terms, provisions and conditions of this Indenture (or, if a Default or
Event of Default shall have occurred, describing all such Defaults or Events of
Default of which he or she may have knowledge and what action the Company is
taking or proposes to take with respect thereto) and that to the best of his or
her knowledge no event has occurred and remains in existence by reason of which
payments on account of the principal of or interest, if any, on the Notes is
prohibited or if such event has occurred, a description of the event and what
action the Company is taking or proposes to take with respect thereto.

     (b) So long as not contrary to the then current recommendations of the
American Institute of Certified Public Accountants, the year-end financial
statements delivered pursuant to Section 4.03(a) above shall be accompanied by
a written statement of the Company's independent public accountants (who shall
be a firm of established national reputation) that in making the examination
necessary for certification of such financial statements, nothing has come to
their attention that would lead them to believe that the Company has violated
any provisions of Article 4 or Article 5 hereof or, if any such violation has
occurred, specifying the nature and period of existence thereof, it being
understood that such accountants shall not be liable directly or indirectly to
any Person for any failure to obtain knowledge of any such violation.

     (c) The Company shall, so long as any of the Notes are outstanding,
deliver to the Trustee, forthwith upon any Officer becoming aware of any
Default or Event of Default, an Officers' Certificate specifying such Default
or Event of Default and what action the Company is taking or proposes to take
with respect thereto.

Section 4.05. Taxes.

     The Company shall pay, and shall cause each of its Subsidiaries to pay,
prior to delinquency, all material taxes, assessments, and governmental levies
except such as are contested in good faith and by appropriate proceedings or
where the failure to effect such payment is not adverse in any material respect
to the Holders of the Notes.

                                       42

<PAGE>   49

Section 4.06. Stay, Extension and Usury Laws.

     The Company and each of the Guarantors covenants (to the extent that it
may lawfully do so) that it shall not at any time insist upon, plead, or in any
manner whatsoever claim or take the benefit or advantage of, any stay,
extension or usury law wherever enacted, now or at any time hereafter in force,
that may affect the covenants or the performance of this Indenture; and the
Company and each of the Guarantors (to the extent that it may lawfully do so)
hereby expressly waives all benefit or advantage of any such law, and covenants
that it shall not, by resort to any such law, hinder, delay or impede the
execution of any power herein granted to the Trustee, but shall suffer and
permit the execution of every such power as though no such law has been
enacted.

Section 4.07. Restricted Payments.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly:  (i) declare or pay any dividend or
make any other payment or distribution on account of the Company's or any of
its Restricted Subsidiaries' Equity Interests (including, without limitation,
any payment on such Equity Interests in connection with any merger or
consolidation involving the Company) or to the direct or indirect Holders of
the Company's or any of its Restricted Subsidiaries' Equity Interests in their
capacity as such (other than dividends or distributions payable in Equity
Interests (other than Disqualified Stock) of the Company); (ii) purchase,
redeem or otherwise acquire or retire for value (including, without limitation,
in connection with any merger or consolidation involving the Company) any
Equity Interests of the Company or any direct or indirect parent of the Company
(other than any such Equity Interests owned by the Company or any Restricted
Subsidiary of the Company); (iii) make any payment on or with respect to, or
purchase, redeem, defease or otherwise acquire or retire for value any
Indebtedness that is subordinated to the Notes or the Subsidiary Guarantees,
except for (A) scheduled payments of interest or principal at Stated Maturity
thereof or (B) in anticipation of satisfying a sinking fund obligation,
principal installment or final maturity, in each case due within one year of
the date of purchase, redemption, acquisition or retirement; or (iv) make any
Restricted Investment (all such payments and other actions set forth in clauses
(i) through (iv) above being collectively referred to as "Restricted
Payments"), unless, at the time of and after giving effect to such Restricted
Payment:

     (a) no Default or Event of Default shall have occurred and be continuing
or would occur as a consequence thereof;

     (b) the Company would, after giving pro forma effect thereto as if such
Restricted Payment had been made at the beginning of the applicable
four-quarter period, have been permitted to incur at least $1.00 of additional
Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in the
first paragraph of Section 4.09 hereof; and

     (c) such Restricted Payment, together with the aggregate amount of all
other Restricted Payments made by the Company and its Restricted Subsidiaries
after the date of this Indenture (excluding Restricted Payments permitted by
clauses (ii), (iii), (vi), (viii), (x) and (xi) of the next succeeding
paragraph and without duplication), is less than the sum, without duplication,
of (i) 50% of the Consolidated Net Income of the Company for the period (taken
as one accounting period) from the beginning of the first full fiscal quarter
commencing after the date of this Indenture to the end of the Company's most
recently ended fiscal quarter for which internal financial statements are
available to management at the time of such Restricted Payment (or, if such
Consolidated Net Income for such period is a deficit, less 100% of such
deficit), plus (ii) 100% of the aggregate net cash proceeds (plus the fair
market value of any Permitted Business contributed to the common or preferred
equity (other than Disqualified Stock) capital of the Company with such fair
market value being determined as described below) received by the Company as a
contribution to the Company's capital or received by the Company from the issue
or

                                       43

<PAGE>   50

sale since the date of this Indenture of Equity Interests of the Company (other
than Disqualified Stock) or of Disqualified Stock or debt securities of the
Company that have been converted into such Equity Interests (other than Equity
Interests (or Disqualified Stock or debt securities) sold to a Restricted
Subsidiary of the Company and other than Disqualified Stock or convertible debt
securities that have been converted into Disqualified Stock), provided that the
Company shall only be entitled to use up to one-third of the net cash proceeds
from any Equity Offering in any twelve-month period to make Restricted
Payments, plus (iii) to the extent that any Restricted Investment that was made
after the date of this Indenture is sold for cash or otherwise liquidated or
repaid for cash, the lesser of (A) the cash return of capital with respect to
such Restricted Investment (less the cost of disposition, if any) and (B) the
initial amount of such Restricted Investment, plus (iv) if any Unrestricted
Subsidiary (A) is properly redesignated as a Restricted Subsidiary, the fair
market value of such redesignated Subsidiary (as determined in good faith by
the Board of Directors) as of the date of its redesignation or (B) pays any
cash dividends or cash distributions to the Company or any of its Restricted
Subsidiaries, 100% of any such cash dividends or cash distributions made after
the date of this Indenture, minus (v) 100% of any Excess Tandy Payments.

     The preceding provisions shall not prohibit (i) the payment of any
dividend within 60 days after the date of declaration thereof, if at said date
of declaration such payment would have complied with the provisions of this
Indenture; (ii) the redemption, repurchase, retirement, defeasance or other
acquisition of any subordinated Indebtedness or Equity Interests of the Company
or any Restricted Subsidiary in exchange for, or out of the net cash proceeds
of the substantially concurrent sale or issuance (other than to a Restricted
Subsidiary of the Company) of, other Equity Interests of the Company (other
than Disqualified Stock); provided that the amount of any such net cash
proceeds that are utilized for any such redemption, repurchase, retirement,
defeasance or other acquisition shall be excluded from clause (c)(ii) of the
preceding paragraph; (iii) the defeasance, redemption, repurchase or other
acquisition of subordinated Indebtedness of the Company or any Restricted
Subsidiary with the net cash proceeds from an incurrence of Permitted
Refinancing Indebtedness; (iv) the payment of any dividend by a Restricted
Subsidiary of the Company to the holders of its Equity Interests on a pro rata
basis; (v) the payment of dividends by the Company to O'Sullivan Holdings for
the purpose of permitting the repurchase, redemption or other acquisition or
retirement for value of any Equity Interests of O'Sullivan Holdings held by any
member or former member of the Company's (or any of their Restricted
Subsidiaries') management pursuant to any management equity subscription
agreement, stockholders agreement or stock option agreement or other similar
agreements; provided that the aggregate price paid for all such repurchased,
redeemed, acquired or retired Equity Interests pursuant to this clause (v)
shall not exceed $2.5 million in any calendar year (with unused amounts in any
calendar year being carried over to succeeding calendar years subject to a
maximum (without giving effect to the following proviso) of $5.0 million in any
calendar year); provided further that such amount in any calendar year may be
increased by an amount not to exceed the aggregate cash proceeds received by
the Company from any issuance or reissuance of Equity Interests to members of
management of the Company and its Restricted Subsidiaries and the proceeds to
the Company of any "key man" life insurance policies; provided further that the
cancellation of Indebtedness owing to the Company from members of management of
the Company or any Restricted Subsidiary in connection with such repurchase of
Equity Interests will not be deemed to be a Restricted Payment; (vi) the
payment by the Company of dividends to O'Sullivan Holdings for the purpose of
(A) permitting O'Sullivan Holdings to satisfy tax obligations that are actually
due and owing, in accordance with the Tax Sharing Agreement as in effect on the
date of this Indenture; provided that such amounts do not exceed the amounts
that, without recognizing any tax loss carryforwards or carrybacks or other tax
attributes, such as alternative minimum tax carryforwards, would otherwise be
due and owing if the Company and its Restricted Subsidiaries were an
independent, individual taxpayer and (B) permitting O'Sullivan Holdings to pay
the necessary fees and expenses to maintain its corporate existence and good
standing and other general and administrative expenses (which amount shall not
exceed $500,000 per annum); (vii) so long as no Default or Event of Default
shall have occurred and be continuing, the declaration and payment of dividends
on Disqualified Stock, the incurrence of which satisfied Section 4.09 hereof;
(viii) repurchases of Equity Interests deemed to occur upon the exercise of
stock options if such

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<PAGE>   51

Equity Interests represent a portion of the exercise price thereof; (ix) cash
payments to O'Sullivan Holdings from and after the fifth anniversary of the
date of this Indenture to enable O'Sullivan Holdings to make interest payments
on the senior notes of O'Sullivan Holdings in amounts not to exceed 12% per
annum on the senior notes of O'Sullivan Holdings issued on the date of this
Indenture plus interest at the same rate on senior notes issued to pay interest
thereon; provided that, in each case, such cash payments are used within 30
days of such payment to make interest payments on such senior notes; provided
further that such payments will only be permitted if (A) no Default or Event of
Default shall have occurred and be continuing and (B) the Company would be
permitted to incur at least $1.00 of additional Indebtedness pursuant to the
Fixed Charge Coverage Ratio test set forth in the first paragraph of Section
4.09 hereof; (x) other Restricted Payments in an aggregate amount not to exceed
$2.5 million; and (xi) distributions to fund the Recapitalization.

     The amount of all Restricted Payments (other than cash) shall be the fair
market value on the date of the Restricted Payment of the asset(s) or
securities proposed to be transferred or issued by the Company or such
Subsidiary, as the case may be, pursuant to the Restricted Payment. The fair
market value of any non-cash Restricted Payment shall be determined in good
faith by the Board of Directors whose resolution with respect thereto shall be
delivered to the Trustee. The Board of Directors' determination shall be based
upon an opinion or appraisal issued by an accounting, appraisal or investment
banking firm of national standing if such fair market value exceeds $15.0
million. The fair market value of any Permitted Business contributed to the
common or preferred equity (other than Disqualified Stock) capital of the
Company shall be determined in good faith by the Board of Directors whose
resolution with respect thereto shall be delivered to the trustee if such fair
market value is in excess of $2.0 million; provided that such determination
shall be based upon an opinion or appraisal issued by an accounting, appraisal
or investment banking firm of national standing if such fair market value
exceeds $10.0 million.

Section 4.08. Dividend and Other Payment Restrictions Affecting Restricted
              Subsidiaries.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly, create or permit to exist or become
effective any encumbrance or restriction on the ability of any Restricted
Subsidiary to (a)(i) pay dividends or make any other distributions to the
Company or any of its Restricted Subsidiaries (A) on its Capital Stock or (B)
with respect to any other interest or participation in, or measured by, its
profits or (ii) pay any Indebtedness owed to the Company or any of its
Restricted Subsidiaries, (b) make loans or advances to the Company or any of
its Restricted Subsidiaries or (c) transfer any of its properties or assets to
the Company or any of its Restricted Subsidiaries, except for such encumbrances
or restrictions existing under or by reason of  (i) Existing Indebtedness as in
effect on the date of this Indenture, and any amendments, modifications,
restatements, renewals, increases, supplements, refundings, restructurings,
replacements or refinancings thereof, provided that such amendments,
modifications, restatements, renewals, increases, supplements, refundings,
restructurings, replacements or refinancings are no more restrictive, taken as
a whole (as determined in the good faith judgment of the Company 's Board of
Directors), with respect to such dividend and other payment restrictions than
those contained in such Existing Indebtedness as in effect on the date of this
Indenture, (ii) the Credit Facilities as in effect as of the date of this
Indenture, and any amendments, modifications, restatements, renewals,
increases, supplements, refundings, restructurings, replacements or
refinancings thereof, provided that such amendments, modifications,
restatements, renewals, increases, supplements, refundings, restructurings,
replacements or refinancings are no more restrictive, taken as a whole (as
determined in the good faith judgment of the Company's Board of Directors),
with respect to such dividend and other payment restrictions than those
contained in the Credit Facilities as in effect on the date of this Indenture,
(iii) this Indenture, the Notes and the Subsidiary Guarantees, (iv) any
applicable law, rule, regulation or order, (v) any instrument of a Person
acquired by the Company or any of its Restricted Subsidiaries as in effect at
the time of such acquisition (except to the extent incurred in connection with
or in contemplation of such

                                       45

<PAGE>   52

acquisition), which encumbrance or restriction is not applicable to any Person,
or the properties or assets of any Person, other than the Person, or the
property or assets of the Person, so acquired, provided that, in the case of
Indebtedness, such Indebtedness was permitted by the terms of this Indenture to
be incurred, (vi) customary non-assignment provisions in leases entered into in
the ordinary course of business and consistent with past practices; (vii)
purchase money obligations for property acquired in the ordinary course of
business that impose restrictions on the property so acquired of the nature
described in clause (c) above, (viii) Permitted Refinancing Indebtedness,
provided that the material restrictions contained in the agreements governing
such Permitted Refinancing Indebtedness are no more restrictive, in the good
faith judgment of the Company's Board of Directors, taken as a whole, to the
Holders of Notes than those contained in the agreements governing the
Indebtedness being refinanced; (ix) contracts for the sale of assets,
including, without limitation, customary restrictions with respect to a
Subsidiary pursuant to an agreement that has been entered into for the sale or
disposition of all or substantially all of the Capital Stock or assets of such
Subsidiary and (x) restrictions on cash or other deposits or net worth imposed
by customers under contracts entered into in the ordinary course of business.

Section 4.09. Incurrence of Indebtedness and Issuance of Preferred Stock.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly, create, incur, issue, assume,
guarantee or otherwise become directly or indirectly liable, contingently or
otherwise, with respect to (collectively, "incur") any Indebtedness (including
Acquired Debt) and the Company shall not issue any Disqualified Stock and shall
not permit any of its Restricted Subsidiaries to issue any shares of preferred
stock; provided, however, that the Company or any of the Guarantors may incur
Indebtedness (including Acquired Debt) or issue Disqualified Stock or preferred
stock if the Fixed Charge Coverage Ratio for the Company's most recently ended
four full fiscal quarters for which internal financial statements are available
to management immediately preceding the date on which such additional
Indebtedness is incurred or such Disqualified Stock or preferred stock is
issued would have been at least 2.0 to 1 if the incurrence or issuance occurs
on or before the second anniversary of the date of this Indenture and at least
2.25 to 1 if the incurrence or issuance occurs at any time thereafter, in each
case determined on a pro forma basis (including a pro forma application of the
net proceeds therefrom), as if the additional Indebtedness had been incurred,
or the Disqualified Stock had been issued, as the case may be, at the beginning
of such four-quarter period.

     The provisions of the first paragraph of this Section 4.09 shall not apply
to the incurrence of any of the following items of Indebtedness (collectively,
"Permitted Debt"):

           (i) the incurrence by the Company of Indebtedness and letters of
      credit pursuant to Credit Facilities; provided that the aggregate amount
      of all Indebtedness then classified as having been incurred in reliance
      upon this clause (i) that remains outstanding under Credit Facilities
      after giving effect to such incurrence does not exceed an amount equal to
      $175.0 million less the aggregate amount of all Net Proceeds of Asset
      Sales that have been applied by the Company or any of its Restricted
      Subsidiaries since the date of this Indenture to repay any Indebtedness
      under a Credit Facility (and to reduce commitments with respect thereto
      in the case of any such Indebtedness that is revolving credit
      Indebtedness) pursuant to Sections 3.09 and 4.10 hereof;

           (ii) the incurrence by the Company and its Restricted Subsidiaries
      of Existing Indebtedness;

           (iii) the incurrence by the Company and the Guarantors of
      Indebtedness represented by the Notes and the Subsidiary Guarantees to be
      issued on the date of this Indenture and the New Notes and the related
      Subsidiary Guarantees to be issued pursuant to the Registration Rights
      Agreement;

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<PAGE>   53

          (iv) the incurrence by the Company or any of its Restricted
      Subsidiaries of Indebtedness represented by Capital Lease Obligations,
      mortgage financings or purchase money obligations, in each case incurred
      for the purpose of financing all or any part of the purchase price or cost
      of construction or improvement of property, plant or equipment used in the
      business of the Company or such Restricted Subsidiary (whether through
      the direct purchase of assets or the Capital Stock of any Person owning
      such Assets), in an aggregate principal amount or accreted value, as
      applicable, including all Permitted Refinancing Indebtedness issued to
      refund, replace or refinance any Indebtedness incurred pursuant to this
      clause (iv), not to exceed 5.0% of the Company's Total Assets;

           (v) the incurrence by the Company or any of its Restricted
      Subsidiaries of Permitted Refinancing Indebtedness in exchange for, or
      the net proceeds of which are used to refund, refinance or replace
      Indebtedness that was permitted by this Indenture to be incurred under
      the first paragraph of this Section 4.09 or clauses (ii), (iii), (iv) and
      (xii) of this paragraph;

           (vi) the incurrence by the Company or any of its Restricted
      Subsidiaries of intercompany Indebtedness between or among the Company
      and any of its Restricted Subsidiaries; provided, however, that (A) if
      the Company or any Guarantor is the obligor on such Indebtedness, such
      Indebtedness is expressly subordinated to the prior payment in full in
      cash of all Obligations with respect to the Notes, in the case of the
      Company, or the Subsidiary Guarantee of such Guarantor, in the case of a
      Guarantor and (B)(1) any subsequent issuance or transfer of Equity
      Interests that results in any such Indebtedness being held by a Person
      other than the Company or a Restricted Subsidiary and (2) any sale or
      other transfer of any such Indebtedness to a Person that is not either
      the Company or a Restricted Subsidiary shall be deemed, in each case, to
      constitute an incurrence of such Indebtedness by the Company or such
      Restricted Subsidiary, as the case may be;

           (vii) the incurrence by the Company or its Restricted Subsidiaries
      of Hedging Obligations that are incurred for the purpose of fixing or
      hedging (A) interest rate risk with respect to any floating rate
      Indebtedness that is permitted by the terms of this Indenture to be
      outstanding, (B) commodities risk relating to commodities agreements,
      entered into in the ordinary course of business, for the purchase of raw
      material used by the Company and its Restricted Subsidiaries or (C)
      exchange rate risk with respect to any agreement or Indebtedness of such
      Person payable in a currency other than U.S. dollars;

           (viii) the Guarantee by the Company or any of its Restricted
      Subsidiaries of Indebtedness of the Company or a Restricted Subsidiary of
      the Company that was permitted to be incurred by another provision of
      this Section 4.09;

           (ix) the incurrence by the Company's Unrestricted Subsidiaries of
      Non-Recourse Debt; provided, however, that if any such Indebtedness
      ceases to be Non-Recourse Debt of an Unrestricted Subsidiary, such event
      shall be deemed to constitute an incurrence of Indebtedness by a
      Restricted Subsidiary of the Company;

           (x) Indebtedness incurred by the Company or any of its Restricted
      Subsidiaries constituting reimbursement obligations with respect to
      letters of credit issued in the ordinary course of business, including,
      without limitation, to letters of credit in respect to workers'
      compensation claims or self-insurance, or other Indebtedness with respect
      to reimbursement type obligations regarding workers' compensation claims;
      provided, however, that upon the drawing of such letters of credit or the
      incurrence of such Indebtedness, such obligations are reimbursed within
      30 days following such drawing or incurrence;

                                       47

<PAGE>   54

           (xi) obligations in respect of performance and surety bonds and
      completion guarantees provided by the Company or any Restricted Subsidiary
      in the ordinary course of business; and

           (xii) the incurrence by the Company or any of its Restricted
      Subsidiaries of additional Indebtedness, including all Permitted
      Refinancing Indebtedness incurred to refund, refinance or replace any
      other Indebtedness incurred pursuant to this clause (xii), not to exceed
      $25.0 million.

     For purposes of determining compliance with this Section 4.09, in the
event that an item of proposed Indebtedness meets the criteria of more than one
of the categories of Permitted Debt described in clauses (i) through (xii)
above or is entitled to be incurred pursuant to the first paragraph of this
Section 4.09, the Company shall be permitted to classify such item of
Indebtedness on the date of its incurrence in any manner that complies with
this Section 4.09. In addition, the Company may, at any time, change the
classification of an item of Indebtedness (or any portion thereof) to any other
clause or to the first paragraph of this Section 4.09 provided that the Company
would be permitted to incur such item of Indebtedness (or portion thereof)
pursuant to such other clause or the first paragraph of this Section 4.09, as
the case may be, at such time of reclassification. Accrual of interest,
accretion or amortization of original issue discount and the accretion of
accreted value shall not be deemed to be an incurrence of Indebtedness for
purposes of this Section 4.09.

Section 4.10. Asset Sales.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, consummate an Asset Sale unless (i) the Company (or the
Restricted Subsidiary, as the case may be) receives consideration at the time
of such Asset Sale at least equal to the fair market value of the assets or
Equity Interests issued or sold or otherwise disposed of, (ii) such fair market
value is determined by the Company's Board of Directors and evidenced by a
resolution of the Board of Directors set forth in an Officers' Certificate
delivered to the Trustee and (iii) at least 75% of the consideration therefor
received by the Company or such Restricted Subsidiary is in the form of cash or
Cash Equivalents; provided, however, that the amount of (A) any liabilities (as
shown on the Company's or the Restricted Subsidiary's most recent balance
sheet) of the Company or any Restricted Subsidiary that are assumed by the
transferee of any such assets pursuant to a customary novation agreement that
releases the Company or such Restricted Subsidiary from further liability
(except liabilities that are by their terms subordinated to the Notes), (B) any
securities, notes or other obligations received by the Company or any such
Restricted Subsidiary from such transferee that are converted by the Company or
such Restricted Subsidiary into cash or Cash Equivalents within 90 days after
the closing of such Asset Sale (to the extent of the cash or Cash Equivalents
received in that conversion) and (C) any long-term assets that are to be used
in a Permitted Business, shall be deemed to be cash for purposes of this
provision.

     The 75% limitation referred to in clause (iii) above shall not apply to
any Asset Sale in which the cash or Cash Equivalents portion of the
consideration received therefrom, determined in accordance with the preceding
proviso, is equal to or greater than what the after-tax proceeds would have
been had such Asset Sale complied with the aforementioned 75% limitation.

     Within 365 days after the receipt of any Net Proceeds from an Asset Sale,
the Company or any such Restricted Subsidiary may apply such Net Proceeds, at
its option, (a) to repay or repurchase Senior Debt of the Company or any
Restricted Subsidiary and to correspondingly permanently reduce the commitments
with respect thereto, (b) to acquire a controlling interest in another
Permitted Business, (c) to make capital expenditures in a Permitted Business or
(d) to acquire other long-term assets that are to be used in a Permitted
Business.  Pending the final application of any such Net Proceeds, the Company
may temporarily reduce revolving Indebtedness under Credit Facilities or
otherwise invest such Net Proceeds in

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<PAGE>   55

any manner that is not prohibited by this Indenture.  Any Net Proceeds from
such Asset Sale that are not applied or invested as provided in the first
sentence of this paragraph will be deemed to constitute "Excess Proceeds."
When the aggregate amount of Excess Proceeds exceeds $10.0 million, the Company
shall make an offer to all Holders of Notes and to all holders of other
Indebtedness that ranks equally with the Notes containing provisions similar to
those set forth in this Indenture with respect to offers to purchase or redeem
with the proceeds from sales of assets (an "Asset Sale Offer") to purchase the
maximum principal amount of Notes and such other pari passu Indebtedness that
may be purchased out of the Excess Proceeds at an offer price in an amount
equal to 100% of principal amount plus accrued and unpaid interest and
Liquidated Damages, if any, to the date of purchase, which shall be payable in
cash., in accordance with the procedures set forth in Section 3.09 hereof.  If
any Excess Proceeds remain after consummation of an Asset Sale Offer, the
Company may use such Excess Proceeds for general corporate purposes or any
other purpose not prohibited by this Indenture.  If the aggregate principal
amount of Notes and such other pari passu Indebtedness tendered into such Asset
Sale Offer exceeds the amount of Excess Proceeds, the Trustee shall select the
Notes and such other pari passu Indebtedness to be purchased on a pro rata
basis based on the principal amount of Notes and such other pari passu
Indebtedness tendered.  Upon completion of each Asset Sale Offer, the amount of
Excess Proceeds shall be reset at zero.

Section 4.11. Transactions with Affiliates.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, make any payment to, or sell, lease, transfer or otherwise
dispose of any of its properties or assets to, or purchase any property or
assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or guarantee with, or for the benefit
of, any Affiliate (each, an "Affiliate Transaction"), unless (a) such Affiliate
Transaction is on terms that are no less favorable to the Company or the
relevant Restricted Subsidiary than those that would have been obtained in a
comparable transaction by the Company or such Restricted Subsidiary with an
unrelated Person and (2) the Company delivers to the Trustee (i) with respect
to any Affiliate Transaction or series of related Affiliate Transactions
involving aggregate consideration in excess of $2.0 million, a resolution of
the Board of Directors set forth in an Officers' Certificate certifying that
such Affiliate Transaction complies with clause (a) above and that such
Affiliate Transaction has been approved by a majority of the disinterested
members of the Board of Directors and (ii) with respect to any Affiliate
Transaction or series of related Affiliate Transactions involving aggregate
consideration in excess of $10.0 million, an opinion as to the fairness to the
Holders of such Affiliate Transaction from a financial point of view issued by
an accounting, appraisal or investment banking firm of national standing;
provided, however, that (i) customary directors' fees, indemnification or
similar arrangements or any employment agreement or other compensation plan or
arrangement entered into by the Company or any of its Restricted Subsidiaries
in the ordinary course of business and consistent with the past practice of the
Company or such Restricted Subsidiary, (ii) transactions between or among the
Company and/or its Restricted Subsidiaries, (iii) Restricted Payments that are
permitted by Section 4.07 hereof, (iv) customary loans, advances, fees and
compensation paid to, and indemnity provided on behalf of, officers, directors,
employees or consultants of the Company or any of its Restricted Subsidiaries,
(v) transactions pursuant to any contract or agreement in effect on the date of
this Indenture as the same may be amended, modified or replaced from time to
time so long as any such amendment, modification or replacement is no less
favorable to the Company and its Restricted Subsidiaries than the contract or
agreement as in effect on the date of this Indenture, (vi) management or
similar fees payable to BRS or an Affiliate thereof pursuant to the Management
Services Agreement as in effect on the date of this Indenture, all as described
in the section of the Offering Memorandum entitled "Certain Relationships and
Related Transactions" and (vii) payments in connection with the
Recapitalization (including the payment of fees and expenses with respect
thereto), shall not be deemed Affiliate Transactions.

                                       49

<PAGE>   56

Section 4.12. Liens.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, create, incur, assume or otherwise cause or suffer to exist or
become effective any Lien of any kind securing trade payables or Indebtedness
that does not constitute Senior Debt (other than Permitted Liens) upon any of
their property or assets, now owned or hereafter acquired unless (a) in the
case of Liens securing Indebtedness that is expressly subordinated or junior in
right of payment to the Notes, the Notes are secured on a senior basis to the
obligations so secured until such time as such obligations are no longer
secured by a Lien and (b) in all other cases, the Notes are secured on an equal
and ratable basis with the obligations so secured until such time as such
obligations are no longer secured by a Lien.

Section 4.13. Business Activities.

     The Company shall not, and shall not permit any Restricted Subsidiary to,
engage in any business other than a Permitted Business, except to such extent
as would not be material to the Company and its Restricted Subsidiaries, taken
as a whole.

Section 4.14. Corporate Existence.

     Subject to Article 5 hereof, the Company shall do or cause to be done all
things necessary to preserve and keep in full force and effect (i) its
corporate existence, and the corporate, partnership or other existence of each
of its Subsidiaries, in accordance with the respective organizational documents
(as the same may be amended from time to time) of the Company or any such
Subsidiary and (ii) the rights (charter and statutory), licenses and franchises
of the Company and its Subsidiaries; provided, however, that the Company shall
not be required to preserve any such right, license or franchise, or the
corporate, partnership or other existence of any of its Subsidiaries, if the
Board of Directors shall determine that the preservation thereof is no longer
desirable in the conduct of the business of the Company and its Subsidiaries,
taken as a whole, and that the loss thereof is not adverse in any material
respect to the Holders of the Notes.

Section 4.15. Offer to Repurchase Upon Change of Control.

     (a) Upon the occurrence of a Change of Control, the Company shall make an
offer (a "Change of Control Offer") to each Holder to repurchase all or any
part (equal to $1,000 or an integral multiple thereof) of each Holder's Notes
at a purchase price equal to 101% of the aggregate principal amount of Notes
repurchased plus accrued and unpaid interest and Liquidated Damages, if any,
thereon, to the date of purchase (the "Change of Control Payment"). Within 60
days following any Change of Control, the Company shall mail a notice to each
Holder describing the transaction or transactions that constitute the Change of
Control and stating:  (1) that the Change of Control Offer is being made
pursuant to this Section 4.15 and that all Notes tendered will be accepted for
payment; (2) the purchase price and the purchase date, which shall be no
earlier than 30 days and no later than 60 days from the date such notice is
mailed (the "Change of Control Payment Date"); (3) that any Note not tendered
will continue to accrue interest; (4) that, unless the Company defaults in the
payment of the Change of Control Payment, all Notes accepted for payment
pursuant to the Change of Control Offer shall cease to accrue interest after
the Change of Control Payment Date; (5) that Holders electing to have any Notes
purchased pursuant to a Change of Control Offer will be required to surrender
the Notes, with the form entitled "Option of Holder to Elect Purchase" on the
reverse of the Notes completed, to the Paying Agent at the address specified in
the notice prior to the close of business on the third Business Day preceding
the Change of Control Payment Date; (6) that Holders will be entitled to
withdraw their election if the Paying Agent receives, not later than the close
of business on the second Business Day preceding the Change of Control Payment
Date, a telegram, telex, facsimile transmission or letter setting forth the
name of the Holder, the principal

                                       50

<PAGE>   57

amount of Notes delivered for purchase, and a statement that such Holder is
withdrawing his election to have the Notes purchased; and (7) that Holders
whose Notes are being purchased only in part will be issued new Notes equal in
principal amount to the unpurchased portion of the Notes surrendered, which
unpurchased portion must be equal to $1,000 in principal amount or an integral
multiple thereof.  The Company shall comply with the requirements of Rule 14e-1
under the Exchange Act and any other securities laws and regulations thereunder
to the extent such laws and regulations are applicable to the repurchase of
Notes as a result of a Change of Control.  To the extent that any securities
law or regulation conflicts with the provisions of this Indenture relating such
Change of Control Offer, the Company shall comply with the applicable
securities laws and regulations and shall not be deemed to have breached its
obligations under this Indenture by virtue thereof.

     (b) On the Change of Control Payment Date, the Company shall, to the
extent lawful, (1) accept for payment all Notes or portions thereof properly
tendered pursuant to the Change of Control Offer, (2) deposit with the Paying
Agent an amount equal to the Change of Control Payment in respect of all Notes
or portions thereof so tendered and (3) deliver or cause to be delivered to the
Trustee the Notes so accepted together with an Officers' Certificate stating
the aggregate principal amount of Notes or portions thereof being purchased by
the Company.  The Paying Agent shall promptly mail to each Holder of Notes so
tendered the Change of Control Payment for such Notes, and the Trustee shall
promptly authenticate and mail (or cause to be transferred by book entry) to
each Holder a new Note equal in principal amount to any unpurchased portion of
the Notes surrendered, if any; provided, that each such new Note shall be in a
principal amount of $1,000 or an integral multiple thereof.  The Company shall
publicly announce the results of the Change of Control Offer on or as soon as
practicable after the Change of Control Payment Date.

     (c) Notwithstanding anything to the contrary in this Section 4.15, the
Company shall not be required to make a Change of Control Offer upon a Change
of Control if a third party makes the Change of Control Offer in the manner, at
the times and otherwise in compliance with the requirements set forth in this
Section 4.15 and Section 3.09 hereof and all other provisions of this Indenture
applicable to a Change of Control Offer made by the Company and purchases all
Notes validly tendered and not withdrawn under such Change of Control Offer.

Section 4.16. Anti-Layering.

     Notwithstanding the provisions of Section 4.09 hereof, (i) the Company
shall not incur, create, issue, assume, guarantee or otherwise become liable
for any Indebtedness that is both subordinate or junior in right of payment to
any Senior Debt and senior in any respect in right of payment to the Notes, and
(ii) no Guarantor shall incur, create, issue, assume, guarantee or otherwise
become liable for any Indebtedness that is both subordinate or junior in right
of payment to any Senior Debt of such Guarantor and senior in any respect in
right of payment to the Subsidiary Guarantees.

Section 4.17. Sale and Leaseback Transactions.

     The Company shall not, and shall not permit any of its Restricted
Subsidiaries to, enter into any sale and leaseback transaction; provided that
the Company or any Restricted Subsidiary may enter into a sale and leaseback
transaction if (i) the Company or such Restricted Subsidiary could have (a)
incurred Indebtedness in an amount equal to the Attributable Debt relating to
such sale and leaseback transaction pursuant to Section 4.09 hereof and (b)
incurred a Lien to secure such Indebtedness pursuant to Section 4.12 hereof,
(ii) the gross cash proceeds of such sale and leaseback transaction are at
least equal to the fair market value (as determined in good faith by the Board
of Directors and set forth in an Officers' Certificate delivered to the
Trustee) of the property that is the subject of such sale and leaseback
transaction and (iii) the

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<PAGE>   58

transfer of assets in such sale and leaseback transaction is permitted by, and
the Company or such Restricted Subsidiary applies the proceeds of such
transaction in compliance with, Sections 3.09 and 4.10 hereof.

Section 4.18. Additional Guarantees.

     If the Company shall acquire or create a Domestic Restricted Subsidiary
after the date of this Indenture, or if any Subsidiary of the Company becomes a
Domestic Restricted Subsidiary of the Company after the date of this Indenture,
then such newly acquired or created Domestic Restricted Subsidiary shall become
a Guarantor and execute a supplemental indenture to this Indenture in form
attached as Exhibit F hereto and deliver an opinion of counsel, in accordance
with the terms of this Indenture.  Such newly acquired or created Domestic
Restricted Subsidiary shall also deliver a Guarantee, the form of which is
attached as Exhibit E hereto.

Section 4.19. Designation of Restricted and Unrestricted Subsidiaries.

     The Board of Directors may designate any Restricted Subsidiary that is not
a Significant Subsidiary to be an Unrestricted Subsidiary if that designation
would not cause a Default. If a Restricted Subsidiary is designated as an
Unrestricted Subsidiary, all outstanding Investments owned by the Company and
its Restricted Subsidiaries (except to the extent repaid in cash) in the
Subsidiary so designated shall be deemed to be Restricted Payments at the time
of such designation (to the extent not designated a Permitted Investment) and
shall reduce the amount available for Restricted Payments under the first
paragraph of Section 4.07 hereof.  All such outstanding Investments shall be
valued at their fair market value at the time of such designation, as
determined in good faith by the Board of Directors. That designation shall only
be permitted if such Restricted Payment would be permitted at that time and if
such Restricted Subsidiary otherwise meets the definition of an Unrestricted
Subsidiary.

                                   ARTICLE 5.
                                   SUCCESSORS

Section 5.01. Merger, Consolidation, or Sale of Assets.

     The Company shall not consolidate or merge with or into another Person
(whether or not the Company is the surviving corporation), or sell, assign,
transfer, convey or otherwise dispose of all or substantially all of its
properties or assets, in one or more related transactions, to another Person
unless (i) either (A) the Company is the surviving corporation or (B) the
Person formed by or surviving any such consolidation or merger (if other than
the Company) or to which such sale, assignment, transfer, conveyance or other
disposition shall have been made is a corporation organized or existing under
the laws of the United States, any state thereof or the District of Columbia,
(ii) the entity or Person formed by or surviving any such consolidation or
merger (if other than the Company) or the entity or Person to which such sale,
assignment, transfer, conveyance or other disposition shall have been made
assumes all the obligations of the Company under the Notes and this Indenture
pursuant to a supplemental indenture in a form reasonably satisfactory to the
Trustee, (iii) immediately after such transaction no Default or Event of
Default exists and (iv) except in the case of a merger entered into solely for
the purpose of reincorporating the Company in another jurisdiction, the Company
or the entity or Person formed by or surviving any such consolidation or merger
(if other than the Company), or to which such sale, assignment, transfer,
conveyance or other disposition shall have been made (A) shall, after giving
pro forma effect thereto as if such transaction had occurred at the beginning
of the applicable four-quarter period, be permitted to incur at least $1.00 of
additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set
forth in the first paragraph of Section 4.09 hereof or (B) would (together with
its Restricted Subsidiaries) have a higher Fixed Charge Coverage Ratio
immediately after such transaction (after giving pro forma effect thereto as if
such transaction had occurred at the beginning of the applicable four-quarter
period) than the Fixed Charge

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<PAGE>   59

Coverage Ratio of the Company and its subsidiaries immediately prior to the
transaction.  The preceding clause (iv) shall not prohibit a merger between the
Company and a Wholly Owned Subsidiary so long as the amount of Indebtedness of
the Company and its Restricted Subsidiaries is not increased thereby.

     In addition, the Company shall not, directly or indirectly, lease all or
substantially all of its properties or assets, in one or more related
transactions, to any other Person.  The provisions of this Section 5.01 shall
not be applicable to a sale, assignment, transfer, conveyance or other
disposition of assets between or among the Company and any of its Wholly Owned
Restricted Subsidiaries.

Section 5.02. Successor Corporation Substituted.

     Upon any consolidation or merger, or any sale, assignment, transfer,
lease, conveyance or other disposition of all or substantially all of the
assets of the Company in accordance with Section 5.01 hereof, the successor
corporation formed by such consolidation or into or with which the Company is
merged or to which such sale, assignment, transfer, lease, conveyance or other
disposition is made shall succeed to, and be substituted for (so that from and
after the date of such consolidation, merger, sale, lease, conveyance or other
disposition, the provisions of this Indenture referring to the "Company" shall
refer instead to the successor corporation and not to the Company), and may
exercise every right and power of the Company under this Indenture with the
same effect as if such successor Person had been named as the Company herein;
provided, however, that the predecessor Company shall not be relieved from the
obligation to pay the principal of and interest on the Notes except in the case
of a sale, assignment, transfer, conveyance or other disposition of all of the
Company's assets that meets the requirements of Section 5.01 hereof.

                                   ARTICLE 6.
                              DEFAULTS AND REMEDIES

Section 6.01. Events of Default.

     An "Event of Default" occurs if:

     (a) the Company defaults in the payment when due of interest on, or
Liquidated Damages with respect to, the Notes whether or not prohibited by the
subordination provisions of this Indenture and such default continues for a
period of 30 days;

     (b) the Company defaults in the payment when due of principal of or
premium, if any, on the Notes, whether or not prohibited by the subordination
provisions of this Indenture, when the same becomes due and payable at
maturity, upon redemption (including in connection with an offer to purchase)
or otherwise;

     (c) the Company fails to comply with any of the provisions of Section 4.15
or 5.01 hereof;

     (d) the Company fails to comply with Section 3.09, 4.07, 4.09 or 4.10
hereof or with any of its other agreements in this Indenture or the Notes for
60 days after notice to the Company by the Trustee or the Holders of at least
25% in aggregate principal amount of the Notes (including Additional Notes, if
any) then outstanding voting as a single class;

     (e) a default occurs under any mortgage, indenture or instrument under
which there may be issued or by which there may be secured or evidenced any
Indebtedness for money borrowed by the Company or any of its Restricted
Subsidiaries (or the payment of which is guaranteed by the Company or any of
its Restricted Subsidiaries), whether such Indebtedness or Guarantee now
exists, or is created after

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<PAGE>   60

the date of this Indenture, which default is caused by a failure to pay
principal on such Indebtedness at final maturity (a "Payment Default") or
results in the acceleration of such Indebtedness prior to its express maturity
and, in each case, the principal amount of such Indebtedness, together with the
principal amount of any other such Indebtedness under which there has been a
Payment Default or the maturity of which has been so accelerated, aggregates
$7.5 million or more;

     (f) a final judgment or final judgments for the payment of money are
entered by a court or courts of competent jurisdiction against the Company or
any of its Restricted Subsidiaries and such judgment or judgments remain
undischarged for a period (during which execution shall not be effectively
stayed) of 60 days, provided that the aggregate of all such undischarged
judgments exceeds $7.5 million;

     (g) except as permitted by this Indenture, any Subsidiary Guarantee shall
be held in any judicial proceeding to be unenforceable or invalid or shall
cease for any reason to be in full force and effect or any Guarantor shall deny
or disaffirm its obligations under its Subsidiary Guarantee;

     (h) the Company or any of its Restricted Subsidiaries that are Significant
Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole,
would constitute a Significant Subsidiary pursuant to or within the meaning of
Bankruptcy Law:

           (i) commences a voluntary case,

           (ii) consents to the entry of an order for relief against it in an
      involuntary case,

           (iii) consents to the appointment of a custodian of it or for all or
      substantially all of its property,

           (iv) makes a general assignment for the benefit of its creditors, or

           (v) generally is not paying its debts as they become due; or

     (i) a court of competent jurisdiction enters an order or decree under any
Bankruptcy Law that:

           (i) is for relief against the Company or any of its Restricted
      Subsidiaries that are Significant Subsidiaries or any group of Restricted
      Subsidiaries that, taken as a whole, would constitute a Significant
      Subsidiary in an involuntary case;

           (ii) appoints a custodian of the Company or any of its Restricted
      Subsidiaries that are Significant Subsidiaries or any group of Restricted
      Subsidiaries that, taken as a whole, would constitute a Significant
      Subsidiary or for all or substantially all of the property of the Company
      or any of its Restricted Subsidiaries that are Significant Subsidiaries
      or any group of Restricted Subsidiaries that, taken as a whole, would
      constitute a Significant Subsidiary; or

           (iii) orders the liquidation of the Company or any of its Restricted
      Subsidiaries that are Significant Subsidiaries or any group of Restricted
      Subsidiaries that, taken as a whole, would constitute a Significant
      Subsidiary;

and the order or decree remains unstayed and in effect for 60 consecutive days.

                                       55

<PAGE>   61

Section 6.02. Acceleration.

     If any Event of Default (other than an Event of Default specified in
clause (h) or (i) of Section 6.01 hereof with respect to the Company, any
Restricted Subsidiary that is a Significant Subsidiary or any group of
Restricted Subsidiaries that, taken as a whole, would constitute a Significant
Subsidiary) occurs and is continuing, the Trustee or the Holders of at least
25% in principal amount of the then outstanding Notes may declare all the Notes
to be due and payable immediately; provided, that so long as any Obligations
pursuant to the Senior Credit Facilities shall be outstanding or the
commitments thereunder shall not have expired or been terminated, such
acceleration shall not be effective until the earlier of (a) an acceleration
under any such other Indebtedness under the Senior Credit Facilities or (b)
five Business Days after receipt by the Company and the Credit Agent of written
notice of such acceleration.  Upon any such declaration, the Notes shall become
due and payable immediately.  Notwithstanding the foregoing, if an Event of
Default specified in clause (h) or (i) of Section 6.01 hereof occurs with
respect to the Company, any of its Restricted Subsidiaries that are Significant
Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole,
would constitute a Significant Subsidiary, all outstanding Notes shall be due
and payable immediately without further action or notice.  In the event of a
declaration of acceleration of the Notes because an Event of Default has
occurred and is continuing as a result of the acceleration of any Indebtedness
described in clause (e) of Section 6.01 hereof, the declaration of acceleration
of the Notes shall be automatically annulled if the holders of any Indebtedness
described in clause (e) of Section 6.01 hereof have rescinded the declaration
of acceleration in respect of such Indebtedness within 30 days of the date of
such declaration and if the annulment of the acceleration of Notes would not
conflict with any judgment or decree of a court of competent jurisdiction and
if all existing Events of Default (except nonpayment of principal or interest
or other amounts on the Notes that have become due solely because of the
acceleration of the Notes) have been cured or waived.  The Holders of a
majority in aggregate principal amount of the then outstanding Notes by written
notice to the Trustee may on behalf of all of the Holders rescind an
acceleration and its consequences if the rescission would not conflict with any
judgment or decree and if all existing Events of Default (except nonpayment of
principal, interest or premium or Liquidated Damages, if any, that has become
due solely because of the acceleration) have been cured or waived.

     If an Event of Default occurs on or after October 15, 2004 by reason of
any willful action (or inaction) taken (or not taken) by or on behalf of the
Company with the intention of avoiding payment of the premium that the Company
would have had to pay if the Company then had elected to redeem the Notes
pursuant to Section 3.07 hereof, then, upon acceleration of the Notes, an
equivalent premium shall also become and be immediately due and payable, to the
extent permitted by law, anything in this Indenture or in the Notes to the
contrary notwithstanding. If an Event of Default occurs prior to October 15,
2004 by reason of any willful action (or inaction) taken (or not taken) by or
on behalf of the Company with the intention of avoiding the prohibition on
redemption of the Notes prior to such date, then, upon acceleration of the
Notes, the Applicable Premium shall also become and be immediately due and
payable to the extent permitted by law.

Section 6.03. Other Remedies.

     If an Event of Default occurs and is continuing, the Trustee may pursue
any available remedy to collect the payment of principal, premium, if any, and
interest and Liquidated Damages, if any, on the Notes or to enforce the
performance of any provision of the Notes or this Indenture.

     The Trustee may maintain a proceeding even if it does not possess any of
the Notes or does not produce any of them in the proceeding.  A delay or
omission by the Trustee or any Holder of a Note in exercising any right or
remedy accruing upon an Event of Default shall not impair the right or remedy
or

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<PAGE>   62

constitute a waiver of or acquiescence in the Event of Default.  All remedies
are cumulative to the extent permitted by law.

Section 6.04. Waiver of Past Defaults.

     Holders of not less than a majority in aggregate principal amount of the
then outstanding Notes by notice to the Trustee may on behalf of the Holders of
all of the Notes waive any existing Default or Event of Default and its
consequences hereunder, except a continuing Default or Event of Default in the
payment of the principal of, premium and Liquidated Damages, if any, or
interest on, the Notes (including in connection with an offer to purchase)
(provided, however, that the Holders of a majority in aggregate principal
amount of the then outstanding Notes may rescind an acceleration and its
consequences, including any related payment default that resulted from such
acceleration).  Upon any such waiver, such Default shall cease to exist, and
any Event of Default arising therefrom shall be deemed to have been cured for
every purpose of this Indenture; but no such waiver shall extend to any
subsequent or other Default or impair any right consequent thereon.

Section 6.05. Control by Majority.

     Holders of a majority in principal amount of the then outstanding Notes
may direct the time, method and place of conducting any proceeding for
exercising any remedy available to the Trustee or exercising any trust or power
conferred on it.  However, the Trustee may refuse to follow any direction that
conflicts with law or this Indenture that the Trustee determines may be unduly
prejudicial to the rights of other Holders of Notes or that may involve the
Trustee in personal liability.

Section 6.06. Limitation on Suits.

     A Holder of a Note may pursue a remedy with respect to this Indenture or
the Notes only if:

     (a) the Holder of a Note gives to the Trustee written notice of a
continuing Event of Default;

     (b) the Holders of at least 25% in principal amount of the then
outstanding Notes make a written request to the Trustee to pursue the remedy;

     (c) such Holder of a Note or Holders of Notes offer and, if requested,
provide to the Trustee indemnity satisfactory to the Trustee against any loss,
liability or expense;

     (d) the Trustee does not comply with the request within 60 days after
receipt of the request and the offer and, if requested, the provision of
indemnity; and

     (e) during such 60-day period the Holders of a majority in principal
amount of the then outstanding Notes do not give the Trustee a direction
inconsistent with the request.

     A Holder of a Note may not use this Indenture to prejudice the rights of
another Holder of a Note or to obtain a preference or priority over another
Holder of a Note.

Section 6.07. Rights of Holders of Notes to Receive Payment.

     Notwithstanding any other provision of this Indenture, the right of any
Holder of a Note to receive payment of principal, premium and Liquidated
Damages, if any, and interest on the Note, on or after the respective due dates
expressed in the Note (including in connection with an offer to purchase), or

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to bring suit for the enforcement of any such payment on or after such
respective dates, shall not be impaired or affected without the consent of such
Holder.

Section 6.08. Collection Suit by Trustee.

     If an Event of Default specified in Section 6.01(a) or (b) hereof occurs
and is continuing, the Trustee is authorized to recover judgment in its own
name and as trustee of an express trust against the Company for the whole
amount of principal of, premium and Liquidated Damages, if any, and interest
remaining unpaid on the Notes and interest on overdue principal and, to the
extent lawful, interest and such further amount as shall be sufficient to cover
the costs and expenses of collection, including the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel.

Section 6.09. Trustee May File Proofs of Claim.

     The Trustee is authorized to file such proofs of claim and other papers or
documents as may be necessary or advisable in order to have the claims of the
Trustee (including any claim for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel) and the
Holders of the Notes allowed in any judicial proceedings relative to the
Company (or any other obligor upon the Notes), its creditors or its property
and shall be entitled and empowered to collect, receive and distribute any
money or other property payable or deliverable on any such claims and any
custodian in any such judicial proceeding is hereby authorized by each Holder
to make such payments to the Trustee, and in the event that the Trustee shall
consent to the making of such payments directly to the Holders, to pay to the
Trustee any amount due to it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 7.07 hereof.  To the extent that
the payment of any such compensation, expenses, disbursements and advances of
the Trustee, its agents and counsel, and any other amounts due the Trustee
under Section 7.07 hereof out of the estate in any such proceeding, shall be
denied for any reason, payment of the same shall be secured by a Lien on, and
shall be paid out of, any and all distributions, dividends, money, securities
and other properties that the Holders may be entitled to receive in such
proceeding whether in liquidation or under any plan of reorganization or
arrangement or otherwise.  Nothing herein contained shall be deemed to
authorize the Trustee to authorize or consent to or accept or adopt on behalf
of any Holder any plan of reorganization, arrangement, adjustment or
composition affecting the Notes or the rights of any Holder, or to authorize
the Trustee to vote in respect of the claim of any Holder in any such
proceeding.

Section 6.10. Priorities.

     If the Trustee collects any money pursuant to this Article 6, it shall pay
out the money in the following order:

           First: to the Trustee, its agents and attorneys for amounts due
      under Section 7.07 hereof, including payment of all compensation, expense
      and liabilities incurred, and all advances made, by the Trustee and the
      costs and expenses of collection;

           Second: to Holders of Notes for amounts due and unpaid on the Notes
      for principal, premium and Liquidated Damages, if any, and interest,
      ratably, without preference or priority of any kind, according to the
      amounts due and payable on the Notes for principal, premium and
      Liquidated Damages, if any and interest, respectively; and

           Third: to the Company or to such party as a court of competent
      jurisdiction shall direct.

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<PAGE>   64

     The Trustee may fix a record date and payment date for any payment to
Holders of Notes pursuant to this Section 6.10.

Section 6.11. Undertaking for Costs.

     In any suit for the enforcement of any right or remedy under this
Indenture or in any suit against the Trustee for any action taken or omitted by
it as a Trustee, a court in its discretion may require the filing by any party
litigant in the suit of an undertaking to pay the costs of the suit, and the
court in its discretion may assess reasonable costs, including reasonable
attorneys' fees, against any party litigant in the suit, having due regard to
the merits and good faith of the claims or defenses made by the party litigant.
This Section does not apply to a suit by the Trustee, a suit by a Holder of a
Note pursuant to Section 6.07 hereof, or a suit by Holders of more than 10% in
principal amount of the then outstanding Notes.

                                   ARTICLE 7.
                                    TRUSTEE

Section 7.01. Duties of Trustee.

     (a) If an Event of Default has occurred and is continuing, the Trustee
shall exercise such of the rights and powers vested in it by this Indenture,
and use the same degree of care and skill in its exercise, as a prudent person
would exercise or use under the circumstances in the conduct of such person's
own affairs.

     (b) Except during the continuance of an Event of Default:

           (i) the duties of the Trustee shall be determined solely by the
      express provisions of this Indenture and the Trustee need perform only
      those duties that are specifically set forth in this Indenture and no
      others, and no implied covenants or obligations shall be read into this
      Indenture against the Trustee; and

           (ii) in the absence of bad faith on its part, the Trustee may
      conclusively rely, as to the truth of the statements and the correctness
      of the opinions expressed therein, upon certificates or opinions
      furnished to the Trustee and conforming to the requirements of this
      Indenture.  However, the Trustee shall examine the certificates and
      opinions to determine whether or not they conform to the requirements of
      this Indenture.

     (c) The Trustee may not be relieved from liabilities for its own negligent
action, its own negligent failure to act, or its own willful misconduct, except
that:

           (i) this paragraph does not limit the effect of paragraph (b) of
      this Section 7.01;

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

           (iii) the Trustee shall not be liable with respect to any action it
      takes or omits to take in good faith in accordance with a direction
      received by it pursuant to Section 6.05 hereof.

     (d) Whether or not therein expressly so provided, every provision of this
Indenture that in any way relates to the Trustee is subject to paragraphs (a),
(b), and (c) of this Section 7.01.

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<PAGE>   65

     (e) No provision of this Indenture shall require the Trustee to expend or
risk its own funds or incur any liability.  The Trustee shall be under no
obligation to exercise any of its rights and powers under this Indenture at the
request of any Holders, unless such Holder shall have offered to the Trustee
security and indemnity satisfactory to it against any loss, liability or
expense.

     (f) The Trustee shall not be liable for interest on any money received by
it except as the Trustee may agree in writing with the Company.  Money held in
trust by the Trustee need not be segregated from other funds except to the
extent required by law.

Section 7.02. Rights of Trustee.

     (a) The Trustee may conclusively rely upon any document believed by it to
be genuine and to have been signed or presented by the proper Person.  The
Trustee need not investigate any fact or matter stated in the document.

     (b) Before the Trustee acts or refrains from acting, it may require an
Officers' Certificate or an Opinion of Counsel or both.  The Trustee shall not
be liable for any action it takes or omits to take in good faith in reliance on
such Officers' Certificate or Opinion of Counsel.  The Trustee may consult with
counsel and the written advice of such counsel or any Opinion of Counsel shall
be full and complete authorization and protection from liability in respect of
any action taken, suffered or omitted by it hereunder in good faith and in
reliance thereon.

     (c) The Trustee may act through its attorneys and agents and shall not be
responsible for the misconduct or negligence of any agent appointed with due
care.

     (d) The Trustee shall not be liable for any action it takes or omits to
take in good faith that it believes to be authorized or within the rights or
powers conferred upon it by this Indenture.

     (e) Unless otherwise specifically provided in this Indenture, any demand,
request, direction or notice from the Company shall be sufficient if signed by
an Officer of the Company.

     (f) The Trustee shall be under no obligation to exercise any of the rights
or powers vested in it by this Indenture at the request or direction of any of
the Holders unless such Holders shall have offered to the Trustee reasonable
security or indemnity against the costs, expenses and liabilities that might be
incurred by it in compliance with such request or direction.

Section 7.03. Individual Rights of Trustee.

     The Trustee in its individual or any other capacity may become the owner
or pledgee of Notes and may otherwise deal with the Company or any Affiliate of
the Company with the same rights it would have if it were not Trustee.
However, in the event that the Trustee acquires any conflicting interest it
must eliminate such conflict within 90 days, apply to the SEC for permission to
continue as trustee or resign.  Any Agent may do the same with like rights and
duties.  The Trustee is also subject to Sections 7.10 and 7.11 hereof.

Section 7.04. Trustee's Disclaimer.

     The Trustee shall not be responsible for and makes no representation as to
the validity or adequacy of this Indenture or the Notes, it shall not be
accountable for the Company's use of the proceeds from the Notes or any money
paid to the Company or upon the Company's direction under any provision of this
Indenture, it shall not be responsible for the use or application of any money
received by any

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<PAGE>   66

Paying Agent other than the Trustee, and it shall not be responsible for any
statement or recital herein or any statement in the Notes or any other document
in connection with the sale of the Notes or pursuant to this Indenture other
than its certificate of authentication.

Section 7.05. Notice of Defaults.

     If a Default or Event of Default occurs and is continuing and if it is
known to the Trustee, the Trustee shall mail to Holders of Notes a notice of
the Default or Event of Default within 90 days after it occurs.  Except in the
case of a Default or Event of Default in payment of principal of, premium, if
any, or interest or Liquidated Damages, if any, on any Note, the Trustee may
withhold the notice if and so long as a committee of its Responsible Officers
in good faith determines that withholding the notice is in the interests of the
Holders of the Notes.

Section 7.06. Reports by Trustee to Holders of the Notes.

     Within 60 days after each May 15 beginning with the May 15 following the
date of this Indenture, and for so long as Notes remain outstanding, the
Trustee shall mail to the Holders of the Notes a brief report dated as of such
reporting date that complies with TIA Section  313(a) (but if no event
described in TIA Section  313(a) has occurred within the twelve months
preceding the reporting date, no report need be transmitted).  The Trustee also
shall comply with TIA Section  313(b)(2).  The Trustee shall also transmit by
mail all reports as required by TIA Section  313(c).

     A copy of each report at the time of its mailing to the Holders of Notes
shall be mailed to the Company and filed with the SEC and each stock exchange
on which the Notes are listed in accordance with TIA Section  313(d).  The
Company shall promptly notify the Trustee when the Notes are listed on any
stock exchange.

Section 7.07. Compensation and Indemnity.

     The Company shall pay to the Trustee from time to time reasonable
compensation for its acceptance of this Indenture and services hereunder.  The
Trustee's compensation shall not be limited by any law on compensation of a
trustee of an express trust.  The Company shall reimburse the Trustee promptly
upon request for all reasonable disbursements, advances and expenses incurred
or made by it in addition to the compensation for its services.  Such expenses
shall include the reasonable compensation, disbursements and expenses of the
Trustee's agents and counsel.

     The Company shall indemnify the Trustee against any and all losses,
liabilities or expenses incurred by it arising out of or in connection with the
acceptance or administration of its duties under this Indenture, including the
costs and expenses of enforcing this Indenture against the Company (including
this Section 7.07) and defending itself against any claim (whether asserted by
the Company or any Holder or any other person) or liability in connection with
the exercise or performance of any of its powers or duties hereunder, except to
the extent any such loss, liability or expense may be attributable to its
negligence or bad faith.  The Trustee shall notify the Company promptly of any
claim for which it may seek indemnity.  Failure by the Trustee to so notify the
Company shall not relieve the Company of its obligations hereunder.  The
Company shall defend the claim and the Trustee shall cooperate in the defense.
The Trustee may have separate counsel and the Company shall pay the reasonable
fees and expenses of such counsel.  The Company need not pay for any settlement
made without its consent, which consent shall not be unreasonably withheld.

     The obligations of the Company under this Section 7.07 shall survive the
satisfaction and discharge of this Indenture.

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     To secure the Company's payment obligations in this Section 7.07, the
Trustee shall have a Lien prior to the Notes on all money or property held or
collected by the Trustee, except that held in trust to pay principal and
interest on particular Notes.  Such Lien shall survive the satisfaction and
discharge of this Indenture.

     When the Trustee incurs expenses or renders services after an Event of
Default specified in Section 6.01(g) or (h) hereof occurs, the expenses and the
compensation for the services (including the fees and expenses of its agents
and counsel) are intended to constitute expenses of administration under any
Bankruptcy Law.

     The Trustee shall comply with the provisions of TIA Section 313(b)(2) to
the extent applicable.

Section 7.08. Replacement of Trustee.

     A resignation or removal of the Trustee and appointment of a successor
Trustee shall become effective only upon the successor Trustee's acceptance of
appointment as provided in this Section 7.08.

     The Trustee may resign in writing at any time and be discharged from the
trust hereby created by so notifying the Company.  The Holders of a majority in
principal amount of the then outstanding Notes may remove the Trustee by so
notifying the Trustee and the Company in writing.  The Company may remove the
Trustee if:

     (a) the Trustee fails to comply with Section 7.10 hereof;

     (b) the Trustee is adjudged a bankrupt or an insolvent or an order for
relief is entered with respect to the Trustee under any Bankruptcy Law;

     (c) a custodian or public officer takes charge of the Trustee or its
property; or

     (d) the Trustee becomes incapable of acting.

     If the Trustee resigns or is removed or if a vacancy exists in the office
of Trustee for any reason, the Company shall promptly appoint a successor
Trustee.  Within one year after the successor Trustee takes office, the Holders
of a majority in principal amount of the then outstanding Notes may appoint a
successor Trustee to replace the successor Trustee appointed by the Company.

     If a successor Trustee does not take office within 60 days after the
retiring Trustee resigns or is removed, the retiring Trustee, the Company, or
the Holders of at least 10% in principal amount of the then outstanding Notes
may petition any court of competent jurisdiction for the appointment of a
successor Trustee.

     If the Trustee, after written request by any Holder who has been a Holder
for at least six months, fails to comply with Section 7.10 hereof, such Holder
may petition any court of competent jurisdiction for the removal of the Trustee
and the appointment of a successor Trustee.

     A successor Trustee shall deliver a written acceptance of its appointment
to the retiring Trustee and to the Company.  Thereupon, the resignation or
removal of the retiring Trustee shall become effective, and the successor
Trustee shall have all the rights, powers and duties of the Trustee under this
Indenture.  The successor Trustee shall mail a notice of its succession to
Holders.  The retiring Trustee shall promptly transfer all property held by it
as Trustee to the successor Trustee, provided all sums owing to the Trustee
hereunder have been paid and subject to the Lien provided for in Section 7.07
hereof.

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<PAGE>   68

Notwithstanding replacement of the Trustee pursuant to this Section 7.08, the
Company's obligations under Section 7.07 hereof shall continue for the benefit
of the retiring Trustee.

Section 7.09. Successor Trustee by Merger, etc.

     If the Trustee consolidates, merges or converts into, or transfers all or
substantially all of its corporate trust business to, another corporation, the
successor corporation without any further act shall be the successor Trustee.

Section 7.10. Eligibility; Disqualification.

     There shall at all times be a Trustee hereunder that is a corporation
organized and doing business under the laws of the United States of America or
of any state thereof that is authorized under such laws to exercise corporate
trustee power, that is subject to supervision or examination by federal or
state authorities and that has a combined capital and surplus of at least $100
million as set forth in its most recent published annual report of condition.

     This Indenture shall always have a Trustee who satisfies the requirements
of TIA Section  310(a)(1), (2) and (5).  The Trustee is subject to TIA Section
310(b).

Section 7.11. Preferential Collection of Claims Against Company.

     The Trustee is subject to TIA Section  311(a), excluding any creditor
relationship listed in TIA Section  311(b).  A Trustee who has resigned or been
removed shall be subject to TIA Section  311(a) to the extent indicated
therein.

                                   ARTICLE 8.
                    LEGAL DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01. Option to Effect Legal Defeasance or Covenant Defeasance.

     The Company may, at the option of its Board of Directors evidenced by a
resolution set forth in an Officers' Certificate, at any time, elect to have
either Section 8.02 or 8.03 hereof be applied to all outstanding Notes upon
compliance with the conditions set forth below in this Article 8.

Section 8.02. Legal Defeasance and Discharge.

     Upon the Company's exercise under Section 8.01 hereof of the option
applicable to this Section 8.02, , the Company and the Guarantors, if any,
shall, subject to the satisfaction of the conditions set forth in Section 8.04
hereof, be deemed to have been discharged from their respective obligations
with respect all Notes and Subsidiary Guarantees then outstanding on the date
the conditions set forth below are satisfied (hereinafter, "Legal Defeasance").
For this purpose, Legal Defeasance means that the Company and any Guarantor
shall be deemed to have paid and discharged the entire Indebtedness represented
by the outstanding Notes and Subsidiary Guarantees, which shall thereafter be
deemed to be "outstanding" only for the purposes of Section 8.05 hereof and the
other Sections of this Indenture referred to in (a) and (b) below, and to have
satisfied all its other obligations under such Notes, Subsidiary Guarantees and
this Indenture (and the Trustee, on demand of and at the expense of the
Company, shall execute proper instruments acknowledging the same), except for
the following provisions which shall survive until otherwise terminated or
discharged hereunder:  (a) the rights of Holders of outstanding Notes to
receive solely from the trust fund described in Section 8.04 hereof, and as
more fully set forth in such Section, payments in respect of the principal of,
premium and Liquidated Damages, if any, and interest on such

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<PAGE>   69

Notes when such payments are due, (b) the Company's obligations with respect to
such Notes under Article 2 and Section 4.02 hereof, (c) the rights, powers,
trusts, duties and immunities of the Trustee hereunder and the Company's
obligations in connection therewith and (d) this Article 8.  Subject to
compliance with this Article 8, the Company may exercise its option under this
Section 8.02 notwithstanding the prior exercise of its option under Section
8.03 hereof.

Section 8.03. Covenant Defeasance.

     Upon the Company's exercise under Section 8.01 hereof of the option
applicable to this Section 8.03, the Company and each Guarantor shall, subject
to the satisfaction of the conditions set forth in Section 8.04 hereof, be
released from their obligations under the covenants contained in Sections 4.07,
4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.15, 4.16, 4.17, 4.18 and 4.19 hereof and
clause (iv) of Section 5.01 hereof with respect to the outstanding Notes and
Subsidiary Guarantees on and after the date the conditions set forth in Section
8.04 hereof are satisfied (hereinafter, "Covenant Defeasance"), and the Notes
and the Subsidiary Guarantees, if any, shall thereafter be deemed not
"outstanding" for the purposes of any direction, waiver, consent or declaration
or act of Holders (and the consequences of any thereof) in connection with such
covenants, but shall continue to be deemed "outstanding" for all other purposes
hereunder (it being understood that such Notes and Subsidiary Guarantees, if
any, shall not be deemed outstanding for accounting purposes).  For this
purpose, Covenant Defeasance means that, with respect to the outstanding Notes
and Subsidiary Guarantees, if any, the Company and any Guarantor may omit to
comply with and shall have no liability in respect of any term, condition or
limitation set forth in any such covenant, whether directly or indirectly, by
reason of any reference elsewhere herein to any such covenant or by reason of
any reference in any such covenant to any other provision herein or in any
other document and such omission to comply shall not constitute a Default or an
Event of Default under Section 6.01 hereof, but, except as specified above, the
remainder of this Indenture and such Notes and Subsidiary Guarantees, if any,
shall be unaffected thereby.  In addition, upon the Company's exercise under
Section 8.01 hereof of the option applicable to this Section 8.03 hereof,
subject to the satisfaction of the conditions set forth in Section 8.04 hereof,
Sections 6.01(c) through 6.01(f) hereof shall not constitute Events of Default.

Section 8.04. Conditions to Legal or Covenant Defeasance.

     The following shall be the conditions to the application of either Section
8.02 or 8.03 hereof to the outstanding Notes:

     In order to exercise either Legal Defeasance or Covenant Defeasance:

     (a) the Company must irrevocably deposit with the Trustee, in trust, for
the benefit of the Holders of the Notes, cash in United States dollars,
non-callable Government Securities, or a combination thereof, in such amounts
as will be sufficient, in the opinion of a nationally recognized firm of
independent public accountants, to pay the principal of, premium and Liquidated
Damages, if any, and interest on the outstanding Notes on the stated maturity
or on the applicable redemption date, as the case may be, and the Company must
specify whether the Notes are being defeased to maturity or to a particular
redemption date;

     (b) in the case of an election under Section 8.02 hereof, the Company
shall have delivered to the Trustee an Opinion of Counsel in the United States
reasonably acceptable to the Trustee confirming that (A) the Company has
received from, or there has been published by, the Internal Revenue Service a
ruling or (B) since the date of this Indenture, there has been a change in the
applicable federal income tax law, in either case to the effect that, and based
thereon such Opinion of Counsel shall confirm that, subject to customary
assumptions and exclusions, the Holders of the outstanding Notes will not
recognize

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<PAGE>   70

income, gain or loss for federal income tax purposes as a result of such Legal
Defeasance and will be subject to federal income tax on the same amounts, in
the same manner and at the same times as would have been the case if such Legal
Defeasance had not occurred;

     (c) in the case of an election under Section 8.03 hereof, the Company
shall have delivered to the Trustee an Opinion of Counsel in the United States
reasonably acceptable to the Trustee confirming that, subject to customary
assumptions and exclusions, the Holders of the outstanding Notes will not
recognize income, gain or loss for federal income tax purposes as a result of
such Covenant Defeasance and will be subject to federal income tax on the same
amounts, in the same manner and at the same times as would have been the case
if such Covenant Defeasance had not occurred;

     (d) no Default or Event of Default shall have occurred and be continuing
on the date of such deposit (other than a Default or Event of Default resulting
from the borrowing of funds to be applied to such deposit);

     (e) such Legal Defeasance or Covenant Defeasance shall not result in a
breach or violation of, or constitute a default under, any material agreement
or instrument (other than this Indenture) to which the Company or any of its
Subsidiaries is a party or by which the Company or any of its Subsidiaries is
bound;

     (f) the Company shall have delivered to the Trustee an Officers'
Certificate stating that the deposit was not made by the Company with the
intent of preferring the Holders of Notes over the other creditors of the
Company with the intent of defeating, hindering, delaying or defrauding
creditors of the Company or others; and

     (g) the Company shall have delivered to the Trustee an Officers'
Certificate and an Opinion of Counsel, which opinion may be subject to
customary assumptions and exclusions, each stating that all conditions
precedent relating to the Legal Defeasance or the Covenant Defeasance have been
complied with.

Section 8.05. Deposited Money and Government Securities to be Held in Trust;
              Other Miscellaneous Provisions.

     Subject to Section 8.06 hereof, all money and non-callable Government
Securities (including the proceeds thereof) deposited with the Trustee (or
other qualifying trustee, collectively for purposes of this Section 8.05, the
"Trustee") pursuant to Section 8.04 hereof in respect of the outstanding Notes
shall be held in trust and applied by the Trustee, in accordance with the
provisions of such Notes and this Indenture, to the payment, either directly or
through any Paying Agent (including the Company acting as Paying Agent) as the
Trustee may determine, to the Holders of such Notes of all sums due and to
become due thereon in respect of principal, premium, if any, and interest and
Liquidated Damages, if any, but such money need not be segregated from other
funds except to the extent required by law.

     The Company shall pay and indemnify the Trustee against any tax, fee or
other charge imposed on or assessed against the cash or non-callable Government
Securities deposited pursuant to Section 8.04 hereof or the principal and
interest received in respect thereof other than any such tax, fee or other
charge which by law is for the account of the Holders of the outstanding Notes.

     Anything in this Article 8 to the contrary notwithstanding, the Trustee
shall deliver or pay to the Company from time to time upon the request of the
Company any money or non-callable Government Securities held by it as provided
in Section 8.04 hereof which, in the opinion of a nationally recognized firm of
independent public accountants expressed in a written certification thereof
delivered to the Trustee

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<PAGE>   71

(which may be the opinion delivered under Section 8.04(a) hereof), are in
excess of the amount thereof that would then be required to be deposited to
effect an equivalent Legal Defeasance or Covenant Defeasance.

Section 8.06. Repayment to Company.

     Any money deposited with the Trustee or any Paying Agent, or then held by
the Company, in trust for the payment of the principal of, premium or
Liquidated Damages, if any, or interest on any Note and remaining unclaimed for
two years after such principal, and premium or Liquidated Damages, if any, or
interest has become due and payable shall be paid to the Company on its request
or (if then held by the Company) shall be discharged from such trust; and the
Holder of such Note shall thereafter look only to the Company for payment
thereof, and all liability of the Trustee or such Paying Agent with respect to
such trust money, and all liability of the Company as trustee thereof, shall
thereupon cease; provided, however, that the Trustee or such Paying Agent,
before being required to make any such repayment, may at the expense of the
Company cause to be published once, in the New York Times and The Wall Street
Journal (national edition), notice that such money remains unclaimed and that,
after a date specified therein, which shall not be less than 30 days from the
date of such notification or publication, any unclaimed balance of such money
then remaining will be repaid to the Company.

Section 8.07. Reinstatement.

     If the Trustee or Paying Agent is unable to apply any United States
dollars or non-callable Government Securities in accordance with Section 8.02
or 8.03 hereof, as the case may be, by reason of any order or judgment of any
court or governmental authority enjoining, restraining or otherwise prohibiting
such application, then the Company's obligations under this Indenture and the
Notes shall be revived and reinstated as though no deposit had occurred
pursuant to Section 8.02 or 8.03 hereof until such time as the Trustee or
Paying Agent is permitted to apply all such money in accordance with Section
8.02 or 8.03 hereof, as the case may be; provided, however, that, if the
Company makes any payment of principal of, premium or Liquidated Damages, if
any, or interest on any Note following the reinstatement of its obligations,
the Company shall be subrogated to the rights of the Holders of such Notes to
receive such payment from the money held by the Trustee or Paying Agent.

                                   ARTICLE 9.
                        AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01. Without Consent of Holders of Notes.

     Notwithstanding Section 9.02 hereof, the Company, the Guarantors and the
Trustee may amend or supplement this Indenture, the Subsidiary Guarantees or
the Notes without the consent of any Holder of Notes:

     (a) to cure any ambiguity, defect or inconsistency;

     (b) to provide for uncertificated Notes in addition to or in place of
certificated Notes or to alter the provisions of Article 2 hereof (including
the related definitions) in a manner that does not materially adversely affect
any Holder;

     (c) to provide for the assumption of the Company's or a Guarantor's
obligations to the Holders of the Notes by a successor to the Company pursuant
to Article 5 or Article 10 hereof;

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<PAGE>   72

     (d) to make any change that would provide any additional rights or benefits
to the Holders of the Notes or that does not adversely affect the legal rights
hereunder of any Holder of the Note;

     (e) to comply with requirements of the SEC in order to effect or maintain
the qualification of this Indenture under the TIA;

     (f) to provide for the issuance of Additional Notes in accordance with the
limitations set forth in this Indenture as of the date hereof; or

     (g) to allow any Guarantor to execute a supplemental indenture and/or a
Subsidiary Guarantee with respect to the Notes.

     Upon the request of the Company accompanied by a resolution of its Board
of Directors authorizing the execution of any such amended or supplemental
Indenture, and upon receipt by the Trustee of the documents described in
Section 7.02 hereof, the Trustee shall join with the Company and the Guarantors
in the execution of any amended or supplemental Indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate
agreements and stipulations that may be therein contained, but the Trustee
shall not be obligated to enter into such amended or supplemental Indenture
that affects its own rights, duties or immunities under this Indenture or
otherwise.

Section 9.02. With Consent of Holders of Notes.

     Except as provided below in this Section 9.02, the Company and the Trustee
may amend or supplement this Indenture (including Sections 3.09, 4.10 and 4.15
hereof), the Subsidiary Guarantees and the Notes with the consent of the
Holders of at least a majority in principal amount of the Notes (including
Additional Notes, if any) then outstanding voting as a single class (including
consents obtained in connection with a tender offer or exchange offer for, or
purchase of, the Notes), and, subject to Sections 6.04 and 6.07 hereof, any
existing Default or Event of Default (other than a Default or Event of Default
in the payment of the principal of, premium, if any, or interest or Liquidated
Damages, if any, on the Notes, except a payment default resulting from an
acceleration that has been rescinded) or compliance with any provision of this
Indenture, the Subsidiary Guarantees or the Notes may be waived with the
consent of the Holders of a majority in principal amount of the then
outstanding Notes (including Additional Notes, if any) voting as a single class
(including consents obtained in connection with a tender offer or exchange
offer for, or purchase of, the Notes).

     Upon the request of the Company accompanied by a resolution of its Board
of Directors authorizing the execution of any such amended or supplemental
Indenture, and upon the filing with the Trustee of evidence satisfactory to the
Trustee of the consent of the Holders of Notes as aforesaid, and upon receipt
by the Trustee of the documents described in Section 7.02 hereof, the Trustee
shall join with the Company in the execution of such amended or supplemental
Indenture unless such amended or supplemental Indenture directly affects the
Trustee's own rights, duties or immunities under this Indenture or otherwise,
in which case the Trustee may in its discretion, but shall not be obligated to,
enter into such amended or supplemental Indenture.

     It shall not be necessary for the consent of the Holders of Notes under
this Section 9.02 to approve the particular form of any proposed amendment or
waiver, but it shall be sufficient if such consent approves the substance
thereof.

     After an amendment, supplement or waiver under this Section becomes
effective, the Company shall mail to the Holders of Notes affected thereby a
notice briefly describing the amendment, supplement or waiver.  Any failure of
the Company to mail such notice, or any defect therein, shall not, however, in

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any way impair or affect the validity of any such amended or supplemental
Indenture or waiver.  Subject to Sections 6.04 and 6.07 hereof, the Holders of
a majority in aggregate principal amount of the Notes (including Additional
Notes, if any) then outstanding voting as a single class may waive compliance
in a particular instance by the Company with any provision of this Indenture or
the Notes.  However, without the consent of each Holder affected, an amendment
or waiver under this Section 9.02 may not (with respect to any Notes held by a
non-consenting Holder):

     (a) reduce the principal amount of Notes whose Holders must consent to an
amendment, supplement or waiver;

     (b) reduce the principal of or change the fixed maturity of any Note or
alter or waive any of the provisions with respect to the redemption of the
Notes except as provided above with respect to Sections 3.09, 4.10 and 4.15
hereof;

     (c) reduce the rate of or change the time for payment of interest,
including default interest, on any Note;

     (d) waive a Default or Event of Default in the payment of principal of or
premium, if any, or interest on the Notes (except a rescission of acceleration
of the Notes by the Holders of at least a majority in aggregate principal
amount of the then outstanding Notes (including Additional Notes, if any) and a
waiver of the payment default that resulted from such acceleration);

     (e) make any Note payable in money other than that stated in the Notes;

     (f) make any change in the provisions of this Indenture relating to
waivers of past Defaults or the rights of Holders of Notes to receive payments
of principal of, or interest or premium, or Liquidated Damages, if any, on the
Notes;

     (g) waive a redemption payment with respect to any Note (other than a
payment required by one of the covenants described in Sections 3.09, 4.10 and
4.15 hereof);

     (h) make any change in Section 6.04 or 6.07 hereof or in the foregoing
amendment and waiver provisions; or

     (i) release any Guarantor from any of its obligations under its Subsidiary
Guarantee or this Indenture, except in accordance with the terms of this
Indenture.

Section 9.03. Compliance with Trust Indenture Act.

     Every amendment or supplement to this Indenture or the Notes shall be set
forth in a amended or supplemental Indenture that complies with the TIA as then
in effect.

Section 9.04. Revocation and Effect of Consents.

     Until an amendment, supplement or waiver becomes effective, a consent to
it by a Holder of a Note is a continuing consent by the Holder of a Note and
every subsequent Holder of a Note or portion of a Note that evidences the same
debt as the consenting Holder's Note, even if notation of the consent is not
made on any Note.  However, any such Holder of a Note or subsequent Holder of a
Note may revoke the consent as to its Note if the Trustee receives written
notice of revocation before the date the waiver, supplement or amendment
becomes effective.  An amendment, supplement or waiver becomes effective in
accordance with its terms and thereafter binds every Holder.

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Section 9.05. Notation on or Exchange of Notes.

     The Trustee may place an appropriate notation about an amendment,
supplement or waiver on any Note thereafter authenticated.  The Company in
exchange for all Notes may issue and the Trustee shall, upon receipt of an
Authentication Order, authenticate new Notes that reflect the amendment,
supplement or waiver.

     Failure to make the appropriate notation or issue a new Note shall not
affect the validity and effect of such amendment, supplement or waiver.

Section 9.06. Trustee to Sign Amendments, etc.

     The Trustee shall sign any amended or supplemental Indenture authorized
pursuant to this Article 9 if the amendment or supplement does not adversely
affect the rights, duties, liabilities or immunities of the Trustee.  The
Company may not sign an amendment or supplemental Indenture until the Board of
Directors approves it.  In executing any amended or supplemental indenture, the
Trustee shall be entitled to receive and (subject to Section 7.01 hereof) shall
be fully protected in relying upon, in addition to the documents required by
Section 13.04 hereof, an Officer's Certificate and an Opinion of Counsel
stating that the execution of such amended or supplemental indenture is
authorized or permitted by this Indenture.

                                   ARTICLE 10.
                                  SUBORDINATION

Section 10.01. Agreement to Subordinate.

     The Company agrees, and each Holder by accepting a Note agrees, that the
Indebtedness evidenced by the Notes is subordinated in right of payment, to the
extent and in the manner provided in this Article 10, to the prior payment in
full of all Senior Debt (whether outstanding on the date hereof or hereafter
created, incurred, assumed or guaranteed), and that the subordination is for
the benefit of the holders of Senior Debt.

Section 10.02. Liquidation; Dissolution; Bankruptcy.

     Upon any distribution to creditors of the Company in a liquidation or
dissolution of the Company or in a bankruptcy, reorganization, insolvency,
receivership or similar proceeding relating to the Company or its property, in
an assignment for the benefit of creditors or any marshaling of the Company's
assets and liabilities:

           (i) holders of Senior Debt shall be entitled to receive payment in
      full of all Obligations due in respect of such Senior Debt (including
      interest after the commencement of any such proceeding at the rate
      specified in the applicable Senior Debt) and all outstanding letters of
      credit under Credit Facilities shall have either been terminated or cash
      collateralized in accordance with the terms thereof before Holders of the
      Notes shall be entitled to receive any payment on, or distribution with
      respect to, the Notes (except that Holders may receive (A) Permitted
      Junior Securities and (B) payments and other distributions made from any
      defeasance trust created pursuant to Section 8.01 hereof); and

           (ii) until all Obligations with respect to Senior Debt (as provided
      in clause (i) above) are paid in full, any distribution to which Holders
      would be entitled but for this Article 10 shall be made to holders of
      Senior Debt (except that Holders of Notes may receive (A) Permitted
      Junior

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<PAGE>   75

      Securities and (B) payments and other distributions made from any
      defeasance trust created pursuant to Section 8.01 hereof), as their
      interests may appear.

Section 10.03. Default on Designated Senior Debt.

     (a) The Company may not make any payment or distribution to the Trustee or
any Holder in respect of Obligations with respect to the Notes and may not
acquire from the Trustee or any Holder any Notes for cash or property (other
than (A) Permitted Junior Securities and (B) payments and other distributions
made from any defeasance trust created pursuant to Section 8.01 hereof) until
all principal and other Obligations with respect to the Senior Debt have been
paid in full if:

           (i) a default in the payment of any principal or other Obligations
      with respect to Designated Senior Debt occurs and is continuing beyond
      any applicable grace period in the agreement, indenture or other document
      governing such Designated Senior Debt; or

           (ii) a default, other than a payment default, on Designated Senior
      Debt occurs and is continuing that then permits holders of the Designated
      Senior Debt to accelerate its maturity and the Trustee receives a notice
      of the default (a "Payment Blockage Notice") from a Person who may give
      it pursuant to Section 10.11 hereof.  If the Trustee receives any such
      Payment Blockage Notice, no subsequent Payment Blockage Notice shall be
      effective for purposes of this Section unless and until at least 360 days
      shall have elapsed since the effectiveness of the immediately prior
      Payment Blockage Notice. No nonpayment default that existed or was
      continuing on the date of delivery of any Payment Blockage Notice to the
      Trustee shall be, or be made, the basis for a subsequent Payment Blockage
      Notice unless such default shall have been cured or waived for a period
      of not less than 90 days.

     (b) The Company may and shall resume payments on and distributions in
respect of the Notes and may acquire them upon the earlier of:

           (i) the date upon which the default is cured or waived, or

           (ii) in the case of a default referred to in clause (ii) of Section
      10.03(a) hereof, 179 days pass after notice is received if the maturity
      of such Designated Senior Debt has not been accelerated,

if this Article 10 otherwise permits the payment, distribution or acquisition
at the time of such payment or acquisition.

Section 10.04. Acceleration of Securities.

     If payment of the Securities is accelerated because of an Event of
Default, the Company shall promptly notify holders of Senior Debt of the
acceleration.

Section 10.05. When Distribution Must Be Paid Over.

     In the event that the Trustee or any Holder receives any payment of any
Obligations with respect to the Notes at a time when the Trustee or such
Holder, as applicable, has actual knowledge that such payment is prohibited by
Section 10.03 hereof, such payment shall be held by the Trustee or such Holder,
in trust for the benefit of, and shall be paid forthwith over and delivered,
upon written request, to, the holders of Senior Debt as their interests may
appear or their Representative under the indenture or other agreement (if any)
pursuant to which Senior Debt may have been issued, as their respective
interests may

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<PAGE>   76

appear, for application to the payment of all Obligations with respect to
Senior Debt remaining unpaid to the extent necessary to pay such Obligations in
full in accordance with their terms, after giving effect to any concurrent
payment or distribution to or for the holders of Senior Debt.

     With respect to the holders of Senior Debt, the Trustee undertakes to
perform only such obligations on the part of the Trustee as are specifically
set forth in this Article 10, and no implied covenants or obligations with
respect to the holders of Senior Debt shall be read into this Indenture against
the Trustee.  The Trustee shall not be deemed to owe any fiduciary duty to the
holders of Senior Debt, and shall not be liable to any such holders if the
Trustee shall pay over or distribute to or on behalf of Holders or the Company
or any other Person money or assets to which any holders of Senior Debt shall
be entitled by virtue of this Article 10, except if such payment is made as a
result of the willful misconduct or gross negligence of the Trustee.

Section 10.06. Notice by Company.

     The Company shall promptly notify the Trustee and the Paying Agent of any
facts known to the Company that would cause a payment of any Obligations with
respect to the Notes to violate this Article 10, but failure to give such
notice shall not affect the subordination of the Notes to the Senior Debt as
provided in this Article 10.

Section 10.07. Subrogation.

     After all Senior Debt is paid in full and until the Notes are paid in
full, Holders of Notes shall be subrogated (equally and ratably with all other
Indebtedness pari passu with the Notes) to the rights of holders of Senior Debt
to receive distributions applicable to Senior Debt to the extent that
distributions otherwise payable to the Holders of Notes have been applied to
the payment of Senior Debt.  A distribution made under this Article 10 to
holders of Senior Debt that otherwise would have been made to Holders of Notes
is not, as between the Company and Holders, a payment by the Company on the
Notes.

Section 10.08. Relative Rights.

     This Article 10 defines the relative rights of Holders of Notes and
holders of Senior Debt.  Nothing in this Indenture shall:

           (i) impair, as between the Company and Holders of Notes, the
      obligation of the Company, which is absolute and unconditional, to pay
      principal of and interest on the Notes in accordance with their terms;

           (ii) affect the relative rights of Holders of Notes and creditors of
      the Company other than their rights in relation to holders of Senior
      Debt; or

           (iii) prevent the Trustee or any Holder of Notes from exercising its
      available remedies upon a Default or Event of Default, subject to the
      rights of holders and owners of Senior Debt to receive distributions and
      payments otherwise payable to Holders of Notes.

     If the Company fails because of this Article 10 to pay principal of or
interest on a Note on the due date, the failure is still a Default or Event of
Default.

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<PAGE>   77

Section 10.09. Subordination May Not Be Impaired by Company.

     No right of any holder of Senior Debt to enforce the subordination of the
Indebtedness evidenced by the Notes shall be impaired by any act or failure to
act by the Company or any Holder or by the failure of the Company or any Holder
to comply with this Indenture.

Section 10.10. Distribution or Notice to Representative.

     Whenever a distribution is to be made or a notice given to holders of
Senior Debt, the distribution may be made and the notice given to their
Representative.

     Upon any payment or distribution of assets of the Company referred to in
this Article 10, the Trustee and the Holders of Notes shall be entitled to rely
upon any order or decree made by any court of competent jurisdiction or upon
any certificate of such Representative or of the liquidating trustee or agent
or other Person making any distribution to the Trustee or to the Holders of
Notes for the purpose of ascertaining the Persons entitled to participate in
such distribution, the holders of the Senior Debt and other Indebtedness of the
Company, the amount thereof or payable thereon, the amount or amounts paid or
distributed thereon and all other facts pertinent thereto or to this Article
10.

Section 10.11. Rights of Trustee and Paying Agent.

     Notwithstanding the provisions of this Article 10 or any other provision
of this Indenture, the Trustee shall not be charged with knowledge of the
existence of any facts that would prohibit the making of any payment or
distribution by the Trustee, and the Trustee and the Paying Agent may continue
to make payments on the Notes, unless the Trustee shall have received at its
Corporate Trust Office at least five Business Days prior to the date of such
payment written notice of facts that would cause the payment of any Obligations
with respect to the Notes to violate this Article 10.  Only the Company or a
Credit Agent may give the notice.  Nothing in this Article 10 shall impair the
claims of, or payments to, the Trustee under or pursuant to Section 7.07
hereof.

     The Trustee in its individual or any other capacity may hold Senior Debt
with the same rights it would have if it were not Trustee.  Any Agent may do
the same with like rights.

Section 10.12. Authorization to Effect Subordination.

     Each Holder of Notes, by the Holder's acceptance thereof, authorizes and
directs the Trustee on such Holder's behalf to take such action as may be
necessary or appropriate to effectuate the subordination as provided in this
Article 10, and appoints the Trustee to act as such Holder's attorney-in-fact
for any and all such purposes.  If the Trustee does not file a proper proof of
claim or proof of debt in the form required in any proceeding referred to in
Section 6.09 hereof at least 30 days before the expiration of the time to file
such claim, the Credit Agents are hereby authorized to file an appropriate
claim for and on behalf of the Holders of the Notes.

Section 10.13. Amendments.

     The provisions of this Article 10 shall not be amended or modified without
the written consent of the holders of all Senior Debt.

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                                   ARTICLE 11.
                              SUBSIDIARY GUARANTEES

Section 11.01. Guarantee.

     Subject to this Article 11, each of the Guarantors hereby, jointly and
severally, unconditionally guarantees to each Holder of a Note authenticated
and delivered by the Trustee and to the Trustee and its successors and assigns,
irrespective of the validity and enforceability of this Indenture, the Notes or
the obligations of the Company hereunder or thereunder, that:  (a) the
principal of and interest on the Notes will be promptly paid in full when due,
whether at maturity, by acceleration, redemption or otherwise, and interest on
the overdue principal of and interest on the Notes, if any, if lawful, and all
other obligations of the Company to the Holders or the Trustee hereunder or
thereunder will be promptly paid in full or performed, all in accordance with
the terms hereof and thereof; and (b) in case of any extension of time of
payment or renewal of any Notes or any of such other obligations, that same
will be promptly paid in full when due or performed in accordance with the
terms of the extension or renewal, whether at stated maturity, by acceleration
or otherwise.  Failing payment when due of any amount so guaranteed or any
performance so guaranteed for whatever reason, the Guarantors shall be jointly
and severally obligated to pay the same immediately.  Each Guarantor agrees
that this is a guarantee of payment and not a guarantee of collection.

     The Guarantors hereby agree that their obligations hereunder shall be
unconditional, irrespective of the validity, regularity or enforceability of
the Notes or this Indenture, the absence of any action to enforce the same, any
waiver or consent by any Holder of the Notes with respect to any provisions
hereof or thereof, the recovery of any judgment against the Company, any action
to enforce the same or any other circumstance which might otherwise constitute
a legal or equitable discharge or defense of a guarantor.  Each Guarantor
hereby waives diligence, presentment, demand of payment, filing of claims with
a court in the event of insolvency or bankruptcy of the Company, any right to
require a proceeding first against the Company, protest, notice and all demands
whatsoever and covenant that this Subsidiary Guarantee shall not be discharged
except by complete performance of the obligations contained in the Notes and
this Indenture.

     If any Holder or the Trustee is required by any court or otherwise to
return to the Company, the Guarantors or any custodian, trustee, liquidator or
other similar official acting in relation to either the Company or the
Guarantors, any amount paid by either to the Trustee or such Holder, this
Subsidiary Guarantee, to the extent theretofore discharged, shall be reinstated
in full force and effect.

     Each Guarantor agrees that it shall not be entitled to any right of
subrogation in relation to the Holders in respect of any obligations guaranteed
hereby until payment in full of all obligations guaranteed hereby.  Each
Guarantor further agrees that, as between the Guarantors, on the one hand, and
the Holders and the Trustee, on the other hand, (x) the maturity of the
obligations guaranteed hereby may be accelerated as provided in Article 6
hereof for the purposes of this Subsidiary Guarantee, notwithstanding any stay,
injunction or other prohibition preventing such acceleration in respect of the
obligations guaranteed hereby, and (y) in the event of any declaration of
acceleration of such obligations as provided in Article 6 hereof, such
obligations (whether or not due and payable) shall forthwith become due and
payable by the Guarantors for the purpose of this Subsidiary Guarantee.  The
Guarantors shall have the right to seek contribution from any non-paying
Guarantor so long as the exercise of such right does not impair the rights of
the Holders under the Guarantee.

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<PAGE>   79

Section 11.02. Subordination of Subsidiary Guarantee.

     The Obligations of each Guarantor under its Subsidiary Guarantee pursuant
to this Article 11 shall be junior and subordinated to the Senior Debt of such
Guarantor on the same basis as the Notes are junior and subordinated to Senior
Debt of the Company.  For the purposes of the foregoing sentence, the Trustee
and the Holders shall have the right to receive and/or retain payments by any
of the Guarantors only at such times as they may receive and/or retain payments
in respect of the Notes pursuant to this Indenture, including Article 10
hereof.

Section 11.03. Limitation on Guarantor Liability.

     Each Guarantor, and by its acceptance of Notes, each Holder, hereby
confirms that it is the intention of all such parties that the Subsidiary
Guarantee of such Guarantor not constitute a fraudulent transfer or conveyance
for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the
Uniform Fraudulent Transfer Act or any similar federal or state law to the
extent applicable to any Subsidiary Guarantee.  To effectuate the foregoing
intention, the Trustee, the Holders and the Guarantors hereby irrevocably agree
that the obligations of such Guarantor will, after giving effect to such
maximum amount and all other contingent and fixed liabilities of such Guarantor
that are relevant under such laws, and after giving effect to any collections
from, rights to receive contribution from or payments made by or on behalf of
any other Guarantor in respect of the obligations of such other Guarantor under
this Article 11, result in the obligations of such Guarantor under its
Subsidiary Guarantee not constituting a fraudulent transfer or conveyance.

Section 11.04. Execution and Delivery of Subsidiary Guarantee.

     To evidence its Subsidiary Guarantee set forth in Section 11.01 hereof,
each Guarantor hereby agrees that a notation of such Subsidiary Guarantee
substantially in the form included in Exhibit E shall be endorsed by an Officer
of such Guarantor on each Note authenticated and delivered by the Trustee and
that this Indenture shall be executed on behalf of such Guarantor by its
President or one of its Vice Presidents.

     Each Guarantor hereby agrees that its Subsidiary Guarantee set forth in
Section 11.01 hereof shall remain in full force and effect notwithstanding any
failure to endorse on each Note a notation of such Subsidiary Guarantee.

     If an Officer whose signature is on this Indenture or on the Subsidiary
Guarantee no longer holds that office at the time the Trustee authenticates the
Note on which a Subsidiary Guarantee is endorsed, the Subsidiary Guarantee
shall be valid nevertheless.

     The delivery of any Note by the Trustee, after the authentication thereof
hereunder, shall constitute due delivery of the Subsidiary Guarantee set forth
in this Indenture on behalf of the Guarantors.

     In the event that the Company creates or acquires any new Subsidiaries
subsequent to the date of this Indenture, if required by Section 4.18 hereof,
the Company shall cause such Subsidiaries to execute supplemental indentures to
this Indenture and Subsidiary Guarantees in accordance with Section 4.18 hereof
and this Article 11, to the extent applicable.

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<PAGE>   80

Section 11.05. Guarantors May Consolidate, etc., on Certain Terms.

     Except as otherwise provided in Section 11.05 hereof, no Guarantor may
consolidate with or merge with or into (whether or not such Guarantor is the
surviving Person) another Person whether or not affiliated with such Guarantor
unless:

     (a) subject to Section 11.05 hereof, the Person formed by or surviving any
such consolidation or merger (if other than a Guarantor or the Company)
unconditionally assumes all the obligations of such Guarantor, pursuant to a
supplemental indenture in form and substance reasonably satisfactory to the
Trustee, under the Notes, the Indenture and the Subsidiary Guarantee on the
terms set forth herein or therein; and

     (b) immediately after giving effect to such transaction, no Default or
Event of Default exists.

     In case of any such consolidation, merger, sale or conveyance and upon the
assumption by the successor Person, by supplemental indenture, executed and
delivered to the Trustee and satisfactory in form to the Trustee, of the
Subsidiary Guarantee endorsed upon the Notes and the due and punctual
performance of all of the covenants and conditions of this Indenture to be
performed by the Guarantor, such successor Person shall succeed to and be
substituted for the Guarantor with the same effect as if it had been named
herein as a Guarantor.  Such successor Person thereupon may cause to be signed
any or all of the Subsidiary Guarantees to be endorsed upon all of the Notes
issuable hereunder which theretofore shall not have been signed by the Company
and delivered to the Trustee.  All the Subsidiary Guarantees so issued shall in
all respects have the same legal rank and benefit under this Indenture as the
Subsidiary Guarantees theretofore and thereafter issued in accordance with the
terms of this Indenture as though all of such Subsidiary Guarantees had been
issued at the date of the execution hereof.

     Except as set forth in Articles 4 and 5 hereof, and notwithstanding
clauses (a) and (b) above, nothing contained in this Indenture or in any of the
Notes shall prevent any consolidation or merger of a Guarantor with or into the
Company or another Guarantor, or shall prevent any sale or conveyance of the
property of a Guarantor as an entirety or substantially as an entirety to the
Company or another Guarantor.

Section 11.06. Releases Following Sale of Assets.

     In the event of a sale or other disposition of all or substantially all of
the assets of any Guarantor, by way of merger, consolidation or otherwise, or a
sale or other disposition of all of the capital stock of any Guarantor, in each
case to a Person that is not (either before or after giving effect to such
transactions) a Subsidiary of the Company, then such Guarantor (in the event of
a sale or other disposition, by way of merger, consolidation or otherwise, of
all of the capital stock of such Guarantor) or the corporation acquiring the
property (in the event of a sale or other disposition of all or substantially
all of the assets of such Guarantor) will be released and relieved of any
obligations under its Subsidiary Guarantee; provided that the Net Proceeds of
such sale or other disposition are applied in accordance with the applicable
provisions of this Indenture, including without limitation, Section 4.10
hereof.  Upon delivery by the Company to the Trustee of an Officers'
Certificate and an Opinion of Counsel to the effect that such sale or other
disposition was made by the Company in accordance with the provisions of this
Indenture, including, without limitation, Section 4.10 hereof, the Trustee
shall execute any documents reasonably required in order to evidence the
release of any Guarantor from its obligations under its Subsidiary Guarantee.

     Any Guarantor not released from its obligations under its Subsidiary
Guarantee shall remain liable for the full amount of principal of and interest
on the Notes and for the other obligations of any Guarantor under this
Indenture as provided in this Article 11.

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                                   ARTICLE 12.
                           SATISFACTION AND DISCHARGE

Section 12.01. Satisfaction and Discharge.

     This Indenture shall be discharged and shall cease to be of further effect
as to all Notes issued hereunder, when:

(1)  either:

      (a)  all Notes that have been authenticated (except lost, stolen
           or destroyed Notes that have been replaced or paid and Notes for
           whose payment money has theretofore been deposited in trust and
           thereafter repaid to the Company) have been delivered to the Trustee
           for cancellation; or

      (b)  all Notes that have not been delivered to the Trustee for
           cancellation have become due and payable by reason of the making of
           a notice of redemption or otherwise or will become due and payable
           within one year and the Company or any Guarantor has irrevocably
           deposited or caused to be deposited with the Trustee as trust funds
           in trust solely for the benefit of the Holders, cash in U.S.
           dollars, non-callable Government Securities, or a combination
           thereof, in such amounts as will be sufficient, in the opinion of a
           nationally recognized firm of independent accountants, without
           consideration of any reinvestment of interest, to pay and discharge
           the entire indebtedness on the Notes not delivered to the Trustee
           for cancellation for principal, premium and Liquidated Damages, if
           any, and accrued interest to the date of maturity or redemption;

(2)  no Default or Event of Default shall have occurred and be continuing on
     the date of such deposit or shall occur as a result of such deposit and
     such deposit will not result in a breach or violation of, or constitute a
     default under, any other instrument to which the Company or any Guarantor
     is a party or by which the Company or any Guarantor is bound;

(3)  the Company or any Guarantor has paid or caused to be paid all sums
     payable by it under this Indenture; and

(4)  the Company has delivered irrevocable instructions to the Trustee under
     this Indenture to apply the deposited money toward the payment of the
     Notes at maturity or the redemption date, as the case may be.

In addition, the Company must deliver an Officers' Certificate and an Opinion
of Counsel to the Trustee stating that all conditions precedent to satisfaction
and discharge have been satisfied.

     Notwithstanding the satisfaction and discharge of this Indenture, if money
shall have been deposited with the Trustee pursuant to subclause (b) of clause
(1) of this Section 12.01, the provisions of Section 12.02 and Section 8.06
hereof shall survive.

Section 12.02. Application of Trust Money.

     Subject to the provisions of Section 8.06 hereof, all money deposited with
the Trustee pursuant to Section 12.01 hereof shall be held in trust and applied
by it, in accordance with the provisions of the Notes and this Indenture, to
the payment, either directly or through any Paying Agent (including the Company
acting as its own Paying Agent) as the Trustee may determine, to the Persons
entitled thereto,

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of the principal (and premium, if any) and interest for whose payment such
money has been deposited with the Trustee; but such money need not be
segregated from other funds except to the extent required by law.

     If the Trustee or Paying Agent is unable to apply any money or Government
Securities in accordance with Section 12.01 hereof by reason of any legal
proceeding or by reason of any order or judgment of any court or governmental
authority enjoining, restraining or otherwise prohibiting such application, the
Company's and any Guarantor's obligations under this Indenture and the Notes
shall be revived and reinstated as though no deposit had occurred pursuant to
Section 12.01 hereof; provided that if the Company has made any payment of
principal of, premium or Liquidated Damages, if any, or interest on any Notes
because of the reinstatement of its obligations, the Company shall be
subrogated to the rights of the Holders of such Notes to receive such payment
from the money or Government Securities held by the Trustee or Paying Agent.

                                   ARTICLE 13.
                                  MISCELLANEOUS

Section 13.01. Trust Indenture Act Controls.

     If any provision of this Indenture limits, qualifies or conflicts with the
duties imposed by TIA Section 318(c), the imposed duties shall control.

Section 13.02. Notices.

     Any notice or communication by the Company, any Guarantor or the Trustee
to the others is duly given if in writing and delivered in Person or mailed by
first class mail (registered or certified, return receipt requested), telex,
telecopier or overnight air courier guaranteeing next day delivery, to the
others' address:

      If to the Company and/or any Guarantor:

      O'Sullivan Industries, Inc.
      1900 Gulf Street
      Lamar, Missouri 64759
      Telecopier No.:  (417) 682-8113
      Attention:  Rowland H. Geddie, III, Esq.

      With a copy to:
      Kirkland & Ellis
      International Financial Centre
      Old Broad Street
      London EC2N 1HQ, UK
      Telecopier No.:  44 171 816-8800
      Attention:  M. Gilbey Strub, Esq.

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<PAGE>   83

      If to the Trustee:
      Norwest Bank Minnesota, National Association
      N9303-120
      Sixth & Marquette
      Minneapolis, Minnesota
      Telecopier No.:  (612) 667-9825
      Attention:  Corporate Trust Services

     The Company, any Guarantor or the Trustee, by notice to the others may
designate additional or different addresses for subsequent notices or
communications.

     All notices and communications (other than those sent to Holders) shall be
deemed to have been duly given: at the time delivered by hand, if personally
delivered; five Business Days after being deposited in the mail, postage
prepaid, if mailed; when answered back, if telexed; when receipt acknowledged,
if telecopied; and the next Business Day after timely delivery to the courier,
if sent by overnight air courier guaranteeing next day delivery.

     Any notice or communication to a Holder shall be mailed by first class
mail, certified or registered, return receipt requested, or by overnight air
courier guaranteeing next day delivery to its address shown on the register
kept by the Registrar.  Any notice or communication shall also be so mailed to
any Person described in TIA Section  313(c), to the extent required by the TIA.
Failure to mail a notice or communication to a Holder or any defect in it
shall not affect its sufficiency with respect to other Holders.

     If a notice or communication is mailed in the manner provided above within
the time prescribed, it is duly given, whether or not the addressee receives
it.

     If the Company mails a notice or communication to Holders, it shall mail a
copy to the Trustee and each Agent at the same time.

Section 13.03. Communication by Holders of Notes with Other Holders of Notes.

     Holders may communicate pursuant to TIA Section  312(b) with other Holders
with respect to their rights under this Indenture or the Notes.  The Company,
the Trustee, the Registrar and anyone else shall have the protection of TIA
Section 312(c).

Section 13.04. Certificate and Opinion as to Conditions Precedent.

     Upon any request or application by the Company to the Trustee to take any
action under this Indenture, the Company shall furnish to the Trustee:

     (a) an Officers' Certificate in form and substance reasonably satisfactory
to the Trustee (which shall include the statements set forth in Section 13.05
hereof) stating that, in the opinion of the signers, all conditions precedent
and covenants, if any, provided for in this Indenture relating to the proposed
action have been satisfied; and

     (b) an Opinion of Counsel in form and substance reasonably satisfactory to
the Trustee (which shall include the statements set forth in Section 13.05
hereof) stating that, in the opinion of such counsel, all such conditions
precedent and covenants have been satisfied.

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<PAGE>   84

Section 13.05. Statements Required in Certificate or Opinion.

     Each certificate or opinion with respect to compliance with a condition or
covenant provided for in this Indenture (other than a certificate provided
pursuant to TIA Section  314(a)(4)) shall comply with the provisions of TIA
Section 314(e) and shall include:

     (c) a statement that the Person making such certificate or opinion has
read such covenant or condition;

     (d) a brief statement as to the nature and scope of the examination or
investigation upon which the statements or opinions contained in such
certificate or opinion are based;

     (e) a statement that, in the opinion of such Person, he or she has made
such examination or investigation as is necessary to enable him to express an
informed opinion as to whether or not such covenant or condition has been
satisfied; and

     (f) a statement as to whether or not, in the opinion of such Person, such
condition or covenant has been satisfied.

Section 13.06. Rules by Trustee and Agents.

     The Trustee may make reasonable rules for action by or at a meeting of
Holders.  The Registrar or Paying Agent may make reasonable rules and set
reasonable requirements for its functions.

Section 13.07. No Personal Liability of Directors, Officers, Employees and
               Stockholders.

     No past, present or future director, officer, employee, incorporator or
stockholder of the Company or any Guarantor, as such, shall have any liability
for any obligations of the Company or such Guarantor under the Notes, the
Subsidiary Guarantees or this Indenture or for any claim based on, in respect
of, or by reason of, such obligations or their creation.  Each Holder by
accepting a Note waives and releases all such liability.  The waiver and
release are part of the consideration for issuance of the Notes.

Section 13.08. Governing Law.

     THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO
CONSTRUE THIS INDENTURE, THE NOTES AND THE SUBSIDIARY GUARANTEES WITHOUT GIVING
EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE
APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

Section 13.09. No Adverse Interpretation of Other Agreements.

     This Indenture may not be used to interpret any other indenture, loan or
debt agreement of the Company or its Subsidiaries or of any other Person.  Any
such indenture, loan or debt agreement may not be used to interpret this
Indenture.

Section 13.10. Successors.

     All agreements of the Company in this Indenture and the Notes shall bind
its successors.  All agreements of the Trustee in this Indenture shall bind its
successors.  All agreements of each Guarantor in this Indenture shall bind its
successors, except as otherwise provided in Section 11.05 hereof.

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<PAGE>   85

Section 13.11. Severability.

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

Section 13.12. Counterpart Originals.

     The parties may sign any number of copies of this Indenture.  Each signed
copy shall be an original, but all of them together represent the same
agreement.

Section 13.13. Table of Contents, Headings, etc.

     The Table of Contents, Cross-Reference Table and Headings of the Articles
and Sections of this Indenture have been inserted for convenience of reference
only, are not to be considered a part of this Indenture and shall in no way
modify or restrict any of the terms or provisions hereof.

                         [Signatures on following page]

                                       79

<PAGE>   86

                                   SIGNATURES

Dated as of November 30, 1999

                            O'SULLIVAN INDUSTRIES, INC.

                            By:   /s/ Richard D. Davidson
                                  ----------------------------------------------
                                  Name:
                                  Title:

                            O'SULLIVAN INDUSTRIES - VIRGINIA, INC.

                            By:   /s/ Richard D. Davidson
                                  ----------------------------------------------
                                  Name:
                                  Title:

                            NORWEST BANK MINNESOTA, NATIONAL ASSOCIATION,
                            as Trustee

                            By:   /s/ Timothy P. Mowdy
                                  ----------------------------------------------
                                  Name:
                                  Title:

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