Document:

TRUST
AGREEMENT

     

    This
TRUST AGREEMENT, dated as of July 29, 2010, by and between Redwood Trust Inc., a
Maryland corporation (the “Sponsor”), and Wells Fargo Delaware Trust Company,
N.A., a national banking association, as Delaware trustee (the “Delaware
Trustee”).

     

    The
Sponsor and the Delaware Trustee hereby agree as follows:

     

    1.           The
trust created hereby (the "Trust") shall be known as Redwood Capital Trust II,
in which name the Sponsor or the Delaware Trustee, to the extent provided
herein, may engage in the transactions contemplated hereby, make and execute
contracts, and sue and be sued.

     

    2.           The
Sponsor hereby assigns, transfers, conveys and sets over to the Delaware Trustee
the sum of One Dollar ($1.00).  The Delaware Trustee hereby
acknowledges receipt of such amount in trust from the Sponsor, which amount
shall constitute the initial trust estate.  The Delaware Trustee
hereby declares that they will hold the trust estate in trust for the
Sponsor.  It is the intention of the parties hereto that the Trust
created hereby constitutes a statutory trust under Chapter 38 of Title 12 of the
Delaware Code, 12 Del.
C. § 3801, et seq. (the "Statutory
Trust Act"), and that this document constitutes the governing instrument of the
Trust.  The Delaware Trustee is hereby authorized and directed to
execute and file a certificate of trust with the Delaware Secretary of State in
accordance with the provisions of the Statutory Trust Act.

     

    3.           The
Sponsor and the Delaware Trustee will enter into an Amended and Restated Trust
Agreement (herein the "Amended and Restated Trust Agreement"), satisfactory to
each such party, to provide for the contemplated operation of the Trust created
hereby and the issuance of capital securities of the Trust (the "Capital
Securities") and common securities of the Trust (the "Common
Securities").  Prior to the execution and delivery of such Amended and
Restated Trust Agreement, the Delaware Trustee shall not have any duty or
obligation hereunder or with respect to the trust estate, except as otherwise
required by this Trust Agreement, applicable law or as the Sponsor directs in
order to obtain, prior to such execution and delivery, any licenses, consents or
approvals required by applicable law or otherwise including, but not limited to,
the filing of the certificate of trust in accordance with Section 2
hereof.  Notwithstanding the foregoing, the Delaware Trustee may take
all actions deemed proper and necessary to effect the transactions contemplated
herein.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    4.           The
Sponsor is hereby authorized (i) to file with the Securities and Exchange
Commission (the "Commission") and execute, in each case on behalf of the Trust,
(a) the Registration Statement on Form S-3 (the "1933 Act Registration
Statement") (including any post-effective amendments to the 1933 Act
Registration Statement) relating to the registration under the Securities Act of
1933, as amended (the "1933 Act"), of the Capital Securities of the Trust and
certain other securities of the Sponsor; (b) any preliminary prospectus or
prospectus or supplement thereto relating to the Capital Securities required to
be filed pursuant to Rule 424 under the 1933 Act; and (c) to the extent deemed
advisable by the Sponsor, a Registration Statement on Form 8-A (the "1934 Act
Registration Statement") (including all pre-effective and post-effective
amendments thereto) relating to the registration of the Capital Securities of
the Trust under the Exchange Act of 1934, as amended; (ii) to the extent deemed
advisable by the Sponsor, to file with one or more national securities exchanges
(each, an "Exchange") or the Financial Industry Regulatory Authority ("FINRA")
and execute on behalf of the Trust a listing application or applications and all
other applications, statements, certificates, agreements and other instruments
as shall be necessary or desirable to cause the Capital Securities to be listed
on any such Exchange or the Nasdaq National Market ("NASDAQ"); (iii) to file and
execute on behalf of the Trust such applications, reports, surety bonds,
irrevocable consents, appointments of attorney for service of process and other
papers and documents as shall be necessary or desirable to register the Capital
Securities under the securities or blue sky laws of such jurisdictions as the
Sponsor, on behalf of the Trust, may deem necessary or desirable; and (iv) to
execute on behalf of the Trust any agreements relating to the issuance of the
Capital Securities.  In the event that any filing referred to in
clauses (i), (ii) and (iii) above is required by the rules and regulations of
the Commission, any Exchange, FINRA or state securities or blue sky laws to be
executed on behalf of the Trust by one or more trustees, the Sponsor shall
appoint an administrative trustee (the “Administrative Trustee”), and in its or
his capacity as a trustee of the Trust, any such Administrative Trustee is
hereby authorized and, to the extent so required, directed to join in any such
filing and to execute on behalf of the Trust any and all of the foregoing, it
being understood that the Delaware Trustee, in its capacity as a trustee of the
Trust, shall not be required to join in any such filing or execute on behalf of
the Trust any such document.  In connection with the filings referred
to above, the Sponsor and the Trust hereby constitute and appoint any such
Administrative Trustee as its and their true and lawful attorneys-in-fact and
agents, with full power of substitution and resubstitution, for the Sponsor or
Trust or in the Sponsor's or the Trust's name, place and stead, in any and all
capacities, to sign any and all amendments (including post-effective amendments)
to the 1933 Act Registration Statement and the 1934 Act Registration Statement
and to file the same, with all exhibits thereto, and other documents in
connection therewith, with the Commission, any Exchange, FINRA and
administrators of the State securities or blue sky laws, granting unto said
attorneys-in-fact and agents full power and authority to do and perform each and
every act and thing requisite and necessary to be done in connection therewith,
as fully to all intents and purposes as the Sponsor or the Trust might or could
do in person, hereby ratifying and confirming all that said attorneys-in-fact
and agents or any of them, or their respective substitute or substitutes, shall
do or cause to be done by virtue hereof.

     

    5.           The
number of trustees initially shall be one (1) and thereafter the number of
trustees shall be such number as shall be fixed from time to time by a written
instrument signed by the Sponsor, which may increase or decrease the number of
trustees; provided, however, that to the extent required by the Statutory Trust
Act, one of the trustees of the Trust shall either be a natural person who is a
resident of the State of Delaware or, if not a natural person, an entity which
has its principal place of business in the State of Delaware and otherwise meets
the requirements of applicable Delaware law. Subject to the foregoing, the
Sponsor is entitled to appoint or remove without cause any trustee at any
time.  The Delaware Trustee may resign upon thirty (30) days' prior
notice to the Sponsor.

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

    6.           (a)           The
Delaware Trustee and its officers, directors, agents and servants (collectively,
the "Fiduciary Indemnified Persons") shall not be liable, responsible or
accountable in damages or otherwise to the Trust, the Sponsor or any holder of
the Capital Securities (the Trust, the Sponsor and any holder of the Capital
Securities being a "Covered Person") for any loss, damage or claim incurred by
reason of any act or omission performed or omitted by the Fiduciary Indemnified
Persons in good faith on behalf of the Trust and in a manner the Fiduciary
Indemnified Persons reasonably believed to be within the scope of authority
conferred on the Fiduciary Indemnified Persons by this Trust Agreement or by
law, except that the Fiduciary Indemnified Persons shall be liable for any such
loss, damage or claim incurred by reason of the Fiduciary Indemnified Person's
gross negligence or willful misconduct with respect to such acts or
omissions.

     

    (b)           The
Fiduciary Indemnified Persons shall be fully protected in relying in good faith
upon the records of the Trust and upon such information, opinions, reports or
statements presented to the Trust by any person as to matters the Fiduciary
Indemnified Persons reasonably believes are within such other person's
professional or expert competence and who has been selected with reasonable care
by or on behalf of the Trust, including information, opinions, reports or
statements as to the value and amount of the assets, liabilities, profits,
losses, or any other facts pertinent to the existence and amount of assets from
which distributions to holders of Capital Securities might properly be
paid.

     

    (c)           The
Sponsor agrees, to the fullest extent permitted by applicable law, (i) to
indemnify and hold harmless each Fiduciary Indemnified Person from and against
any loss, damage, liability, tax, penalty, expense or claim of any kind or
nature whatsoever incurred by or asserted against the Fiduciary Indemnified
Persons by reason of the creation, operation or termination of the Trust or the
transactions contemplated by this Trust Agreement in a manner the Fiduciary
Indemnified Persons reasonably believe to be within the authority conferred on
the Fiduciary Indemnified Persons by this Trust Agreement or by law, except that
no Fiduciary Indemnified Person shall be entitled to be indemnified in respect
of any loss, damage or claim incurred by the Fiduciary Indemnified Persons by
reason of gross negligence or willful misconduct with respect to such acts or
omissions, (ii) to advance expenses (including legal fees) incurred by a
Fiduciary Indemnified Person in defending any claim, demand, action, suit or
proceeding, from time to time, prior to the final disposition of such claim,
demand, action, suit or proceeding, upon receipt by the Trust of an undertaking
by or on behalf of such Fiduciary Indemnified Persons to repay such amount if it
shall be determined that such Fiduciary Indemnified Person is not entitled to be
indemnified as authorized in the preceding subsection, and (iii) to reimburse
the Delaware Trustee for all other reasonable expenses (including reasonable
fees and expenses of counsel and other experts) incurred in connection with this
Trust Agreement and the Trust.

     

    (d)           The
provisions of this Section 6 shall survive the termination of this Trust
Agreement or the earlier resignation or removal of the Fiduciary Indemnified
Persons.

     

    7.           This
Trust Agreement shall be governed by, and construed in accordance with, the laws
of the State of Delaware (without regard to conflict of laws
principles).

     

    8.           This
Trust Agreement may be executed in one or more counterparts.

     

    9.           The
Trust may dissolve, wind-up and terminate at the election of the
Sponsor.

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

     

    [SIGNATURE
PAGE FOLLOWS]
 

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

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

     

    
      
        	
                REDWOOD
      TRUST INC., as Sponsor

              
	 
      	 
      
	
                By:

              	
                /s/
      Andrew P. Stone

              
	 
      	
                Name:
      Andrew
      P. Stone

              
	 
      	
                Title:  General
      Counsel & Secretary

              
	 
      
	
                WELLS
      FARGO DELAWARE TRUST

              
	
                COMPANY,
      N.A., as Delaware Trustee

              
	 
      	 
      
	
                By: 

              	
                /s/ Tracy
      M. McLamb

              
	 
      	
                Name:
      Tracy
      M. McLamb

              
	 
      	
                Title:  Vice
      President

              

      

    
 

    
      
         

      

      
        -5-Unassociated Document

    

      EXHIBIT
4.11

       

      Amended
and Restated

      Trust
Agreement for Redwood Capital Trust II

       

      among

       

      Redwood
Trust, Inc.

      (as
Sponsor)

       

      [__________]

      (as
Property Trustee)

       

      [__________]

      (as
Delaware Trustee)

       

      and

       

      THE
REGULAR TRUSTEES NAMED HEREIN

       

      and

       

      THE
SEVERAL HOLDERS AS DEFINED HEREIN

       

      Dated as
of

      _____________,
____

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Redwood
Capital Trust II

       

      Certain
Sections of this Trust Agreement relating to Sections 310 through
318

      of the
Trust Indenture Act of 1939

       

      
        
          	
                  Trust
      Indenture

                  Act
      Section

                	 
      	
                  Trust
      Agreement

                  Section

                
	
                  Section
      310(a)(1)

                	 
      	
                  7.07

                
	
                  (a)(2)

                	 
      	
                  7.07

                
	
                  (a)(3)

                	 
      	
                  7.09

                
	
                  (a)(4)

                	 
      	
                  2.07(a)(2)

                
	
                  (b)

                	 
      	
                  7.08

                
	
                  Section
      311 (a)

                	 
      	
                  7.13

                
	
                  (b)

                	 
      	
                  7.13

                
	
                  Section
      312(a)

                	 
      	
                  5.07

                
	
                  (b)

                	 
      	
                  5.07

                
	
                  (c)

                	 
      	
                  5.07

                
	
                  Section
      313(a)

                	 
      	
                  7.14

                
	
                  (b)

                	 
      	
                  7.14

                
	
                  (c)

                	 
      	
                  7.14

                
	
                  (d)

                	 
      	
                  7.14

                
	
                  Section
      314 (a)

                	 
      	
                  7.15

                
	
                  (b)

                	 
      	
                  Not
      Applicable

                
	
                  (c)(1)

                	 
      	
                  7.16,
      7.17

                
	
                  (c)(2)

                	 
      	
                  7.16,
      7.17

                
	
                  (c)(3)

                	 
      	
                  Not
      Applicable

                
	
                  (d)

                	 
      	
                  Not
      Applicable

                
	
                  (e)

                	 
      	
                  7.17

                
	
                  Section
      315(a)

                	 
      	
                  7.01(a),
      7.03(a)

                
	
                  (b)

                	 
      	
                  7.02,
      10.09

                
	
                  (c)

                	 
      	
                  7.01(a)

                
	
                  (d)

                	 
      	
                  7.01,
      7.03

                
	
                  (e)

                	 
      	
                  Not
      Applicable

                
	
                  Section
      316(a)

                	 
      	
                  Not
      Applicable

                
	
                  (a)(1)(A)

                	 
      	
                  Not
      Applicable

                
	
                  (a)(1)(B)

                	 
      	
                  Not
      Applicable

                
	
                  (a)(2)

                	 
      	
                  Not
      Applicable

                
	
                  (b)

                	 
      	
                  Not
      Applicable

                
	
                  (c)

                	 
      	
                  Not
      Applicable

                
	
                  Section
      317(a)(1)

                	 
      	
                  Not
      Applicable

                
	
                  (a)(2)

                	 
      	
                  Not
      Applicable

                
	
                  (b)

                	 
      	
                  5.09

                
	
                  Section
      318(a)

                	 
      	
                  10.10

                
	 
      
	
                  Note:  This
      reconciliation and tie sheet shall not, for any purpose, be deemed to
      be
      a part of the Trust
Agreement.

                

        

      

       

      
        
           

        

        
          
          

          
            

          

        

        
           

        

      
 

      TABLE
OF CONTENTS

       

      
        
          
            
              
                	
                        ARTICLE
      1 DEFINED TERMS

                      	
                        1

                      
	 
      	 
      
	
                        Section
      1.01

                      	
                        Definitions

                      	
                        1

                      
	 
      	 
      
	
                        ARTICLE
      2 CONTINUATION OF THE TRUST

                      	
                        10

                      
	 
      	 
      
	
                        Section
      2.01

                      	
                        Name

                      	
                        10

                      
	
                        Section
      2.02

                      	
                        Office
      of the Delaware Trustee; Principal Place of Business

                      	
                        10

                      
	
                        Section
      2.03

                      	
                        Initial
      Contribution of Trust Property; Expenses of the Trust

                      	
                        10

                      
	
                        Section
      2.04

                      	
                        Issuance
      of the Trust Securities

                      	
                        11

                      
	
                        Section
      2.05

                      	
                        Purchase
      of Debentures

                      	
                        12

                      
	
                        Section
      2.06

                      	
                        Trust
      Agreement

                      	
                        12

                      
	
                        Section
      2.07

                      	
                        Authorization
      to Enter into Certain Transactions

                      	
                        12

                      
	
                        Section
      2.08

                      	
                        Assets
      of Trust

                      	
                        17

                      
	
                        Section
      2.09

                      	
                        Title
      to Trust Property

                      	
                        17

                      
	 
      	
                         
      

                      
	
                        ARTICLE
      3 PAYMENT ACCOUNT

                      	
                        17

                      
	 
      	 
      
	
                        Section
      3.01

                      	
                        Payment
      Account

                      	
                        17

                      
	 
      	 
      
	
                        ARTICLE
      4 DISTRIBUTIONS; REDEMPTION

                      	
                        17

                      
	 
      	 
      
	
                        Section
      4.01

                      	
                        Distributions

                      	
                        17

                      
	
                        Section
      4.02

                      	
                        Redemption

                      	
                        18

                      
	
                        Section
      4.03

                      	
                        Subordination
      of Trust Common Securities

                      	
                        21

                      
	
                        Section
      4.04

                      	
                        Payment
      Procedures

                      	
                        21

                      
	
                        Section
      4.05

                      	
                        Tax
      Returns and Reports

                      	
                        22

                      
	
                        Section
      4.06

                      	
                        Payments
      under the Indenture

                      	
                        22

                      
	
                        Section
      4.07

                      	
                        Payments
      of Taxes, Duties, Etc. of the Trust

                      	
                        22

                      
	 
      	
                         
      

                      
	
                        ARTICLE
      5 TRUST SECURITIES CERTIFICATES

                      	
                        22

                      
	 
      	
                         
      

                      
	
                        Section
      5.01

                      	
                        Initial
      Ownership

                      	
                        22

                      
	
                        Section
      5.02

                      	
                        The
      Trust Securities Certificates

                      	
                        23

                      
	
                        Section
      5.03

                      	
                        Execution
      and Delivery of Trust Securities Certificates

                      	
                        23

                      
	
                        Section
      5.04

                      	
                        Registration
      of Transfer and Exchange of Trust Preferred Securities
      Certificates

                      	
                        23

                      
	
                        Section
      5.05

                      	
                        Mutilated,
      Destroyed, Lost or Stolen Trust Securities Certificates

                      	
                        24

                      
	
                        Section
      5.06

                      	
                        Persons
      Deemed Securityholders

                      	
                        24

                      
	
                        Section
      5.07

                      	
                        Access
      to List of Securityholders’ Names and Addresses

                      	
                        25

                      
	
                        Section
      5.08

                      	
                        Maintenance
      of Office or Agency

                      	
                        25

                      
	
                        Section
      5.09

                      	
                        Appointment
      of Paying Agent

                      	
                        25

                      

              

            

          

        

      

      
        
           

        

        
          i

          
            

          

        

        
           

        

      

      
 

      
        
          
            
              	
                      Section
      5.10

                    	
                      No
      Transfer of Trust Common Securities by Sponsor

                    	
                      26

                    
	
                      Section
      5.11

                    	
                      Book-Entry
      Trust Preferred Securities Certificates; Trust Common Securities
      Certificate

                    	
                      26

                    
	
                      Section
      5.12

                    	
                      Definitive
      Trust Preferred Securities Certificates

                    	
                      27

                    
	
                      Section
      5.13

                    	
                      Rights
      of Securityholders

                    	
                      27

                    
	 
      	
                       
      

                    
	
                      ARTICLE
      6 ACTS OF SECURITYHOLDERS; MEETINGS; VOTING

                    	
                      28

                    
	 
      	
                       
      

                    
	
                      Section
      6.01

                    	
                      Limitations
      on Voting Rights

                    	
                      28

                    
	
                      Section
      6.02

                    	
                      Notice
      of Meetings

                    	
                      29

                    
	
                      Section
      6.03

                    	
                      Meetings
      of Trust Preferred Security Holders

                    	
                      29

                    
	
                      Section
      6.04

                    	
                      Voting
      Rights

                    	
                      29

                    
	
                      Section
      6.05

                    	
                      Proxies,
      etc

                    	
                      29

                    
	
                      Section
      6.06

                    	
                      Securityholder
      Action by Written Consent

                    	
                      30

                    
	
                      Section
      6.07

                    	
                      Record
      Date for Voting and Other Purposes

                    	
                      30

                    
	
                      Section
      6.08

                    	
                      Acts
      of Securityholders

                    	
                      30

                    
	
                      Section
      6.09

                    	
                      Inspection
      of Records

                    	
                      31

                    
	 
      	
                       
      

                    
	
                      ARTICLE
      7 THE TRUSTEES

                    	
                      31

                    
	 
      	
                       
      

                    
	
                      Section
      7.01

                    	
                      Certain
      Duties and Responsibilities

                    	
                      31

                    
	
                      Section
      7.02

                    	
                      Notice
      of Defaults; Direct Action by Securityholders

                    	
                      32

                    
	
                      Section
      7.03

                    	
                      Certain
      Rights of Property Trustee

                    	
                      33

                    
	
                      Section
      7.04

                    	
                      Not
      Responsible for Recitals or Issuance of Securities

                    	
                      34

                    
	
                      Section
      7.05

                    	
                      May
      Hold Securities

                    	
                      34

                    
	
                      Section
      7.06

                    	
                      Compensation;
      Indemnity; Fees

                    	
                      34

                    
	
                      Section
      7.07

                    	
                      Certain
      Trustees Required; Eligibility of Trustees

                    	
                      35

                    
	
                      Section
      7.08

                    	
                      Conflicting
      Interests

                    	
                      35

                    
	
                      Section
      7.09

                    	
                      Co-Trustees
      and Separate Trustee

                    	
                      36

                    
	
                      Section
      7.10

                    	
                      Resignation
      and Removal; Appointment of Successor

                    	
                      37

                    
	
                      Section
      7.11

                    	
                      Acceptance
      of Appointment by Successor

                    	
                      38

                    
	
                      Section
      7.12

                    	
                      Merger,
      Conversion, Consolidation or Succession to Business

                    	
                      39

                    
	
                      Section
      7.13

                    	
                      Preferential
      Collection of Claims Against Sponsor or Trust

                    	
                      39

                    
	
                      Section
      7.14

                    	
                      Reports
      by Property Trustee

                    	
                      39

                    
	
                      Section
      7.15

                    	
                      Reports
      to the Property Trustee

                    	
                      39

                    
	
                      Section
      7.16

                    	
                      Evidence
      of Compliance with Conditions Precedent

                    	
                      40

                    
	
                      Section
      7.17

                    	
                      Statements
      Required in Officer’s Certificate and Opinion of Counsel

                    	
                      40

                    
	
                      Section
      7.18

                    	
                      Number
      of Regular Trustees

                    	
                      40

                    
	
                      Section
      7.19

                    	
                      Delegation
      of Power

                    	
                      41

                    
	
                      Section
      7.20

                    	
                      Voting

                    	
                      41

                    
	
                      Section
      7.21

                    	
                      Delaware
      Trustee

                    	
                      41

                    
	 
      	
                       
      

                    
	
                      ARTICLE
      8 DISSOLUTION AND LIQUIDATION

                    	
                      42

                    
	 
      	
                       
      

                    
	
                      Section
      8.01

                    	
                      Dissolution
      Upon Expiration Date

                    	
                      42

                    
	
                      Section
      8.02

                    	
                      Early
      Dissolution

                    	
                      42

                    

            

          

        

      

       

      
        
           

        

        
          ii

          
            

          

        

        
           

        

      

      
 

      
        
          
            
              	
                      Section
      8.03

                    	
                      Termination
      of Obligations

                    	
                      42

                    
	
                      Section
      8.04

                    	
                      Dissolution
      and Liquidation

                    	
                      42

                    
	 
      	
                       
      

                    
	
                      ARTICLE
      9 MERGERS, ETC.

                    	
                      43

                    
	 
      	
                       
      

                    
	
                      Section
      9.01

                    	
                      Mergers,
      Consolidations, Conversions, Amalgamations or Replacements of the
      Trust

                    	
                      43

                    
	 
      	
                       
      

                    
	
                      ARTICLE
      10 MISCELLANEOUS PROVISIONS

                    	
                      44

                    
	 
      	
                       
      

                    
	
                      Section
      10.01

                    	
                      Limitation
      of Rights of Securityholders

                    	
                      44

                    
	
                      Section
      10.02

                    	
                      Amendment

                    	
                      45

                    
	
                      Section
      10.03

                    	
                      Severability

                    	
                      46

                    
	
                      Section
      10.04

                    	
                      Governing
      Law

                    	
                      46

                    
	
                      Section
      10.05

                    	
                      Successors
      and Assigns

                    	
                      46

                    
	
                      Section
      10.06

                    	
                      Headings

                    	
                      46

                    
	
                      Section
      10.07

                    	
                      Reports,
      Notices and Demands

                    	
                      47

                    
	
                      Section
      10.08

                    	
                      Agreement
      Not to Petition

                    	
                      47

                    
	
                      Section
      10.09

                    	
                      Trust
      Indenture Act; Conflict with Trust Indenture Act

                    	
                      47

                    
	
                      Section
      10.10

                    	
                      Acceptance
      of Terms of Trust Agreement, Guarantees and the Indenture

                    	
                      48

                    

            

          

        

      

       

      
        
          	
                  EXHIBIT
      A

                	
                  A-1

                
	 
      	 
      
	
                  EXHIBIT
      B

                	
                  B-1

                
	 
      	 
      
	
                  EXHIBIT
      C

                	
                  C-1

                

        

      

       

      
        
           

        

        
          iii

          
            

          

        

        
           

        

      

       

      AMENDED
AND RESTATED TRUST AGREEMENT of Redwood Capital Trust II (the “Trust”), dated as
of ________, ____, among (i) Redwood Trust, Inc., a Maryland corporation (the
“Sponsor” or “Redwood”), (ii) [______], a national
banking association, as trustee (the “Property Trustee”), (iii) [______], a national
banking association, as Delaware trustee (the “Delaware Trustee”), (iv)
__________________________________, individuals whose address is c/o Redwood
Trust, Inc., One Belvedere Place, Suite 300, Mill Valley, California, 94941 (the
“Regular Trustees”) (the Property Trustee, the Delaware Trustee and the Regular
Trustees are referred to collectively as the “Trustees”), and (v) the several
Holders (as defined herein).

       

      WITNESSETH:

       

      WHEREAS,
the Sponsor has heretofore duly declared and established a statutory trust
pursuant to the Delaware Statutory Trust Act by entering into a Trust Agreement,
dated as of July 29, 2010 (the “Original Trust Agreement”), with the Delaware
Trustee, and by executing and filing with the Secretary of State of the State of
Delaware a Certificate of Trust on July 29, 2010, a copy of which is attached
hereto as Exhibit A; and

       

      WHEREAS,
the Sponsor and the Trustees desire to amend and restate the Original Trust
Agreement in its entirety as set forth herein to provide for, among other
things, (i) the issuance and sale by the Trust of the Trust Common Securities
(as defined herein) by the Trust to the Sponsor, (ii) the issuance and sale by
the Trust of the Trust Preferred Securities (as defined herein) by the Trust
pursuant to the Underwriting Agreement (as defined herein) and (iii) the
acquisition by the Trust from the Sponsor of the Debentures (as defined
herein).

       

      NOW,
THEREFORE, in consideration of the agreements and obligations set forth herein
and for other good and valuable consideration, the sufficiency of which is
hereby acknowledged, each party, for the benefit of the other parties and for
the benefit of the Securityholders (as defined herein) hereby amends and
restates the Original Trust Agreement in its entirety and agrees as
follows:

       

      ARTICLE
1

      DEFINED
TERMS

       

      Section
1.01          Definitions.

       

      (a)           For
all purposes of this Trust Agreement, except as otherwise expressly provided or
unless the context otherwise requires:

       

      (1)           each
capitalized term or phrase defined in this Article 1 has the meaning assigned to
it in this Article 1 and includes the plural as well as the
singular;

       

      (2)           each
of the other terms used herein that is defined in the Trust Indenture Act,
either directly or by reference therein, has the meaning assigned to it
therein;

       

      (3)           unless
the context otherwise requires, any reference to an “Article” or a
“Section” refers to an Article or a Section, as the case may be, of this
Trust Agreement; and

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

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

       

      (b)           As
used herein:

       

      “Act” has
the meaning specified in Section 6.08.

       

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

       

      “Bankruptcy
Event” means, with respect to any Person, the occurrence any of the following
events:

       

      (A)         Such
Person, pursuant to or within the meaning of any Bankruptcy Law:

       

      (i)        commences
a voluntary case or proceeding;

       

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

       

      (iii)      consents
to the appointment of a Custodian (as defined herein) of it or for all or
substantially all of its property, and such Custodian is not discharged within
60 days;

       

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

       

      (v)       admits
in writing its inability to pay its debts generally as they become due;
or

       

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

       

      (i)         is
for relief against such Person in an involuntary case or
proceeding;

       

      (ii)        appoints
a Custodian of such Person for all or substantially all of its properties;
or 

       

      (iii)       orders
the liquidation of such Person;

       

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

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

       

      “Bankruptcy
Laws” means Title 11 of the United States Code, or similar or state law for the
relief of debtors.

       

      “Board
Resolution” means (i) a copy of a resolution certified by the Secretary or an
Assistant Secretary of the Sponsor to have been duly adopted by the Sponsor’s
Board of Directors or a committee duly established thereby and to be in full
force and effect on the date of such certification or (ii) a certificate signed
by the authorized officer or officers of the Sponsor to whom the Sponsor’s Board
of Directors or a committee duly established thereby has delegated its
authority, and in each case, delivered to the Trustees.

       

      “Book-Entry
Trust Preferred Securities Certificates” means certificates representing Trust
Preferred Securities issued in global, fully registered form with a Depository
as described in Section 5.11.

       

      “Business
Day” means a day other than (a) a Saturday or Sunday, (b) a day on which banking
institutions in the City of New York are authorized or required by law or
executive order to remain closed or (c) a day on which the principal corporate
trust office of the Property Trustee or the Debenture Trustee is closed for
business.

       

      “Certificate
Depository Agreement” means the agreement among the Trust, the Property Trustee
and The Depository Trust Company, as the initial Depository, dated as of the
Closing Date, relating to the Book-Entry Trust Preferred Securities
Certificates, as the same may be amended and supplemented from time to
time.

       

      “Closing
Date” means the time and date of delivery of Book-Entry Trust Preferred
Securities Certificates and payment therefor pursuant to the Underwriting
Agreement.

       

      “Code”
means the Internal Revenue Code of 1986, as amended.

       

      “Commission”
means the Securities and Exchange Commission, as from time to time constituted,
created under the Securities Exchange Act of 1934, as amended, or, if at any
time after the execution of this Trust Agreement such Commission is not existing
and performing the duties now assigned to it under the Trust Indenture Act, then
the body performing such duties at such time.

       

      “Corporate
Trust Office” means the principal corporate trust office of the Property Trustee
located in the State of ____ which at the date hereof is
___________________________________.

       

      “Creditor”
has the meaning specified in Section 2.03.

       

      “Custodian”
means any receiver, trustee, assignee, liquidator, sequestrator, custodian or
similar official under any Bankruptcy Law.

       

      “Debenture
Event of Default” means an “Event of Default” as defined in the
Indenture.

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

       

      “Debenture
Redemption Date” means “Redemption Date” as defined in the Indenture or the
Debentures.

       

      “Debenture
Trustee” means [______], a national
banking association, in its capacity as trustee under the Indenture, or any
successor thereto appointed in accordance with the terms and provisions of the
Indenture.

       

      “Debentures”
means the [ ]% Junior Subordinated Debentures of the Sponsor issued pursuant to
the Indenture.

       

      “Definitive
Trust Preferred Securities Certificates” means certificates representing Trust
Preferred Securities issued in certificated, fully registered form as described
in Section 5.12.

       

      “Delaware
Statutory Trust Act” means Chapter 38 of Title 12 of the Delaware Code, 12 Del.
C. (S) 3801, et seq., as it may be amended from time to time.

       

      “Delaware
Trustee” means the entity identified as the “Delaware Trustee” in the preamble
to this Trust Agreement solely in its capacity as Delaware Trustee of the Trust
created and continued hereunder (and not in its individual capacity), or its
successor in interest in such capacity, or any successor trustee appointed as
herein provided.

       

      “Depository”
means an organization registered as a “clearing agency” pursuant to Section 17A
of the Securities Exchange Act of 1934, as amended, and the rules and
regulations promulgated thereunder.  The Depository Trust Company, New
York, New York, will be the initial Depository.

       

      “Depository
Participant” means a broker, lender, bank or other financial institution or
other Person for whom from time to time the Depository effects book-entry
transfers and pledges of interests in securities deposited with the
Depository.

       

      “Distributable
Debentures” means the Debentures to be distributed to Holders of the Trust
Securities pursuant to Section 8.04(a).

       

      “Distribution
Date” has the meaning specified in Section 4.01(a).

       

      “Distributions”
means amounts payable in respect of the Trust Securities as provided in Section
4.01.

       

      “Event of
Default” means with respect to the Trust Preferred Securities (whatever the
reason for such Event of Default and whether it shall be voluntary or
involuntary or be effected by operation of law or pursuant to any judgment,
decree or order of any court or any order, rule or regulation of any
administrative or governmental body), (i) the occurrence of a Debenture Event of
Default, (ii) default by the Property Trustee in the payment of any Distribution
when it becomes due and payable, and continuation of such default for a period
of 30 days, (iii) default by the Property Trustee in the payment of any
Redemption Price of any Trust Preferred Security or Trust Common Security when
it becomes due and payable, (iv) default in the performance, or breach, in any
material respect, of any covenant or warranty of the Trustees herein (other than
a covenant or warranty a default in the performance of which or the breach of
which is covered by clause (ii) or (iii) above), and continuation of such
default or breach for a period of 60 days after there has been given, by
registered or certified mail, to the defaulting Trustee or Trustees by the
Holders of at least [__]% in Liquidation
Preference of the Outstanding Trust Preferred Securities, a written notice
specifying such default or breach and requiring it to be remedied and stating
that such notice is a “Notice of Default” under this Trust Agreement, or (v) the
occurrence of a Bankruptcy Event with respect to the Property Trustee and the
failure by Redwood to appoint a successor Property Trustee within 60 days
thereof.

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

       

      “Expiration
Date” has the meaning specified in Section 8.01.

       

      “Extension
Period” means the period or periods in which pursuant to the Indenture payments
of interest on the Debentures are deferred by the Sponsor electing to extend the
interest payment periods thereof for a period (including any extensions thereof)
not exceeding 20 consecutive quarters with respect to each such deferral
period.

       

      “Holder”
or “Securityholder” means a Person in whose name a Trust Security or Securities
is registered in the Securities Register; any such Person is a beneficial owner
within the meaning of the Delaware Statutory Trust Act.

       

      “Indemnified
Person” means any of the Trustees, Affiliates of any Trustee, or any officers,
directors, shareholders, members, partners, employees, representatives or agents
of any Trustee, or any employee or agent of the Trust or its
Affiliates.

       

      “Indenture”
means the Junior Indenture, dated as of ____________, ____, between the Sponsor
and the Debenture Trustee, as trustee thereunder, as amended or supplemented
from time to time.

       

      “Investment
Company Event” means the receipt by the Trust or Redwood of an opinion of
counsel, rendered by a law firm having a recognized federal securities practice,
to the effect that, as a result of the occurrence of a change in law or
regulation or a change (including a prospective change) in interpretation or
application of law or regulation by any legislative body, court, governmental
agency or regulatory authority (a “Change in 1940 Act Law”), there is more than
an insubstantial risk that the Trust is or will be considered an “investment
company” that is required to be registered under the 1940 Act, which Change in
1940 Act Law becomes effective on or after the date of original issuance of the
Trust Preferred Securities.

       

      “Lien”
means any lien, pledge, charge, encumbrance, mortgage, deed of trust, adverse
ownership interest, hypothecation, assignment, security interest or preference,
priority or other security agreement or preferential arrangement of any kind or
nature whatsoever.

       

      “Like
Amount” means (i) with respect to a redemption of Trust Securities, Trust
Securities having an aggregate Liquidation Preference equal to the aggregate
principal amount of Debentures to be contemporaneously redeemed or repaid in
accordance with the Indenture and the proceeds of which will be used to pay the
Redemption Price of such Trust Securities and (ii) with respect to a
distribution of Distributable Debentures to Holders of Trust Securities in
connection with the dissolution and liquidation of the Trust, Distributable
Debentures having an aggregate principal amount equal to the aggregate
Liquidation Preference of the Trust Securities of the Holders to whom such
Distributable Debentures are distributed.

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

       

      “Liquidation
Date” means the date on which Distributable Debentures are to be distributed to
Holders of Trust Securities in connection with a dissolution and liquidation of
the Trust pursuant to Section 8.04(a).

       

      “Liquidation
Distribution” has the meaning specified in Section 8.04(d).

       

      “Liquidation
Preference” means the stated liquidation preference of $[__] per Trust
Security.

       

      “Majority
in Liquidation Preference” means, with respect to the Trust Securities, or
either class thereof, as the context may require, except as provided in the
terms of the Trust Preferred Securities or by the Trust Indenture Act, Holders
of Outstanding Trust Securities voting together as a single class or Holders of
Outstanding Trust Preferred Securities voting separately as a class, who are the
record owners of more than 50% of the aggregate Liquidation Preference
(including the stated amount that would be paid on redemption, liquidation or
otherwise, plus accumulated and unpaid Distributions to the date upon which the
voting percentages are determined) of all Outstanding Trust Securities or all
Outstanding Trust Preferred Securities, as the case may be.

       

      “Maturity
Date of the Debentures” means ________, ____, as such date may be shortened or
extended in accordance with the provisions of the Indenture.

       

      “1940
Act” means the Investment Company Act of 1940, as amended.

       

      “Officer’s
Certificate” means a certificate signed by any one of the Chairman, the
President, any Vice President, the Treasurer, any Assistant Treasurer or the
Secretary of the Sponsor.

       

      “Opinion
of Counsel” means a written opinion of counsel, who may be counsel for the
Trust, the Property Trustee or the Sponsor or an Affiliate of the Sponsor, but
not an employee of any thereof, and who shall be acceptable to the Property
Trustee.

       

      “Original
Trust Agreement” has the meaning specified in the recitals to this Trust
Agreement.

       

      “Outstanding”,
when used with respect to Trust Securities, means, as of the date of
determination, all Trust Securities theretofore issued under this Trust
Agreement, except:

       

      (A)           Trust
Securities theretofore cancelled by the Regular Trustees or delivered to the
Regular Trustees for cancellation;

       

      (B)           Trust
Securities for whose redemption money in the necessary amount has been
theretofore deposited with the Property Trustee or any Paying Agent for the
Holders of such Trust Securities; provided that, if such Trust Securities are to
be redeemed, either irrevocable notice of such redemption has been duly given
pursuant to this Trust Agreement or, if notice conditioned on the deposit of the
Redemption Price shall have been given, such condition shall have been
satisfied;

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

       

      (C)           Trust
Securities which have been paid or in exchange for or in lieu of which
other Trust Securities have been executed and delivered pursuant to Section
5.05, other than any such Trust Securities in respect of which there shall
have been presented to the Property Trustee proof satisfactory to it that
such Trust Securities are held by a bona fide purchaser; and

       

      (D)           as
provided in Section 8.04(c);

       

      provided,
however, that in determining whether the Holders of the requisite Liquidation
Preference of the Outstanding Trust Preferred Securities have given any request,
demand, authorization, direction, notice, consent or waiver hereunder, Trust
Preferred Securities owned by the Sponsor, any Trustee or any Affiliate of the
Sponsor or any Trustee shall be disregarded and deemed not to be Outstanding,
except that (a) in determining whether any Trustee shall be protected in relying
upon any such request, demand, authorization, direction, notice, consent or
waiver, only Trust Preferred Securities that such Trustee actually knows to be
so owned shall be so disregarded and (b) the foregoing shall not apply at any
time when all of the Outstanding Trust Preferred Securities are owned by the
Sponsor, one or more of the Trustees and/or any such Affiliate.  Trust
Preferred Securities so owned which have been pledged in good faith may be
regarded as Outstanding if the pledgee establishes to the satisfaction of the
Property Trustee and the Regular Trustees the pledgee’s right so to act with
respect to such Trust Preferred Securities and that the pledgee is not the
Sponsor or any Affiliate of the Sponsor.

       

      “Paying
Agent” means initially the Property Trustee and any co-paying agent appointed
pursuant to Section 5.09.

       

      “Payment
Account” means a segregated non-interest-bearing corporate trust account
maintained by the Property Trustee in its trust department for the benefit of
the Securityholders in which all amounts paid to the Property Trustee in respect
of the Debentures or the Trust Guarantee will be held and from which the
Property Trustee or such other Paying Agent shall make payments to the
Securityholders in accordance with Article 4.

       

      “Person”
means any individual, corporation, partnership, limited liability company, joint
venture, association, joint-stock company, trust, unincorporated organization,
government or any agency or political subdivision thereof or any other
entity.

       

      “Property
Trustee” means the commercial bank or trust company identified as the “Property
Trustee” in the preamble to this Trust Agreement solely in its capacity as
Property Trustee of the Trust heretofore created and continued hereunder (and
not in its individual capacity), or its successor in interest in such capacity,
or any successor property trustee appointed as herein provided.

       

      “Redemption
Date” means, with respect to any Trust Security to be redeemed, the date fixed
for such redemption by or pursuant to this Trust Agreement; provided that each
Debenture Redemption Date and the Maturity Date of the Debentures shall be a
Redemption Date for a Like Amount of Trust Securities.

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

       

      “Redemption
Price” means, with respect to any Trust Security, the Liquidation Preference of
such Trust Security, plus accumulated and unpaid Distributions thereon to the
Redemption Date.

       

      “Regular
Trustees” means the individuals identified as the “Regular Trustees” in the
preamble to this Trust Agreement, solely in their respective capacities as
Regular Trustees of the Trust created and continued hereunder and not their
individual capacities, or such Regular Trustees’ successors in interest in such
capacity, or any successor regular trustee appointed as herein
provided.

       

      “Representatives”
means ____________________________________, as representatives of the several
underwriters named in Schedule I to the Underwriting Agreement (the
“Underwriters”).

       

      “Securities
Register” and “Securities Registrar” have the respective meanings specified in
Section 5.04.

       

      “Securityholder”
or “Holder” means a Person in whose name a Trust Security or Securities is
registered in the Securities Register; any such Person is a beneficial owner
within the meaning of the Delaware Statutory Trust Act.

       

      “Special
Event” means a Tax Event or an Investment Company Event.

       

      “Sponsor”
has the meaning specified in the preamble to this Trust Agreement.

       

      “Successor
Securities” has the meaning specified in Section 9.01.

       

      “Tax
Action” means (a) any amendment to or change (including any announced
prospective change) in the laws (or any regulations thereunder) of the United
States, or of any State or the District of Columbia, or of any political
subdivision or taxing authority thereof or therein, (b) any judicial decision
interpreting, applying or clarifying such laws or regulations or (c) any
administrative pronouncement or action that represents an official position
(including a clarification of an official position) of the governmental
authority or regulatory body making such administrative pronouncement or taking
such action, in each such case that occurs on or after the date of original
issuance of the Trust Preferred Securities.

       

      “Tax
Event” means the receipt by Redwood or the Trust of an opinion of counsel (which
may be regular counsel to Redwood or an Affiliate, but not an employee thereof
and which must be acceptable to the Property Trustee), rendered by a law firm
having a recognized federal and state tax and securities practice, to the effect
that, as a result of a Tax Action, there is more than an insubstantial risk that
(i) the Trust is, or will be within 90 days of the date thereof, subject to
United States federal income tax with respect to income received or accrued on
the Debentures, (ii) interest payable by on the Debentures is not, or within 90
days of the date thereof will not be, deductible by the Sponsor, in whole or in
part, for United States federal income tax purposes, or (iii) the Trust is, or
will be within 90 days of the date thereof, subject to more than a de minimis
amount of other taxes, duties or other governmental charges.

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

       

      “Trust”
means the Delaware statutory trust created and continued hereby and identified
in the preamble to this Trust Agreement.

       

      “Trust
Agreement” means this Amended and Restated Trust Agreement, as the same may be
modified, amended or supplemented in accordance with the applicable provisions
hereof, including all exhibits hereto, including, for all purposes of this Trust
Agreement and any such modification, amendment or supplement, the provisions of
the Trust Indenture Act that are deemed to be a part of and govern this Trust
Agreement and any such modification, amendment or supplement,
respectively.

       

      “Trust
Common Security” means a [ ]% Trust Common Security (Liquidation Preference
$[__] per Trust
Common Security) issued by the Trust representing an undivided beneficial
interest in the assets of the Trust having a Liquidation Preference of $[__] and having the
rights provided therefor in this Trust Agreement, including the right to receive
Distributions and a Liquidation Distribution as provided herein.

       

      “Trust
Common Securities Certificate” means a certificate evidencing ownership of Trust
Common Securities, substantially in the form attached hereto as Exhibit
B.

       

      “Trust
Guarantee” means the Trust Guarantee Agreement executed and delivered by the
Sponsor to [______], a national
banking association, as trustee thereunder, contemporaneously with the execution
and delivery of this Trust Agreement, for the benefit of the Holders of the
Trust Preferred Securities, as amended from time to time.

       

      “Trust
Indenture Act” means the Trust Indenture Act of 1939 as in force at the date as
of which this Trust Agreement was executed; provided, however, that in the event
the Trust Indenture Act of 1939 is amended after such date, “Trust Indenture
Act” means, to the extent required by any such amendment, the Trust Indenture
Act of 1939 as so amended.

       

      “Trust
Preferred Security” means a [ ]% Preferred Security (Liquidation Preference $[ ]
per Trust Preferred Security) issued by the Trust representing an undivided
preferred beneficial interest in the assets of the Trust and having rights
provided therefor in this Trust Agreement, including the right to receive
Distributions and a Liquidation Distribution as provided herein.

       

      “Trust
Preferred Securities Beneficial Owner” means a Person who is the beneficial
owner of a book-entry interest, as reflected in the books of the Depository or
on the books of a Person maintaining an account with the Depository (directly as
a Depository Participant or as an indirect participant or otherwise, in each
case in accordance with the rules of the Depository).

       

      “Trust
Preferred Securities Certificate” means a certificate evidencing ownership of
Trust Preferred Securities, substantially in the form attached hereto as Exhibit
C.

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

       

      “Trust
Property” means (i) the Debentures, (ii) any cash on deposit in, or owing to,
the Payment Account and (iii) all proceeds and rights in respect of the
foregoing and any other property and assets for the time being held or deemed to
be held by the Property Trustee pursuant to the terms of this Trust
Agreement.

       

      “Trust
Security” means any one of the Trust Common Securities or the Trust Preferred
Securities.

       

      “Trust
Securities Certificate” means any one of the Trust Common Securities
Certificates or the Trust Preferred Securities Certificates.

       

      “[__]% in Liquidation
Preference” means with respect to the Trust Securities, or either class thereof,
as the context may require, except as provided in the terms of the Trust
Preferred Securities or by the Trust Indenture Act, Holders of Outstanding Trust
Securities voting together as a single class or Holders of Outstanding Trust
Preferred Securities voting separately as a class, who are the record owners of
[__]% of the
aggregate Liquidation Preference (including the stated amount that would be paid
on redemption, liquidation or otherwise, plus accumulated and unpaid
Distributions to the date upon which the voting percentages are determined) of
all Outstanding Trust Securities or all Outstanding Trust Preferred Securities,
as the case may be.

       

      “Underwriting
Agreement” means the Underwriting Agreement, dated ________, ____, among the
Trust, the Sponsor and the Representatives.

       

      ARTICLE
2

      CONTINUATION
OF THE TRUST

       

      Section
2.01         Name.

       

      The Trust
created and continued hereby shall be known as “Redwood Capital Trust II” as
such name may be modified from time to time by the Regular Trustees following
written notice to the Holders of Trust Securities and the other Trustees, in
which name the Trustees may conduct the business of the Trust, make and execute
contracts and other instruments on behalf of the Trust and sue and be
sued.

       

      Section
2.02         Office of the Delaware
Trustee; Principal Place of Business.

       

      The
address of the Delaware Trustee in the State of Delaware is [__________], or such
other address in the State of Delaware as the Delaware Trustee may designate by
written notice to the Property Trustee, Securityholders and the
Sponsor.  The principal place of business of the Trust is c/o Redwood
Trust, Inc., One Belvedere Place, Suite 300, Mill Valley, California,
94941.

       

      Section
2.03         Initial Contribution
of Trust Property; Expenses of the Trust.

       

      (a)          The
Property Trustee acknowledges receipt in trust from the Sponsor in
connection with the Original Trust Agreement of the sum of $[__],
which constituted the initial Trust Property.

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

       

      (b)           The
Sponsor shall be responsible for and shall pay for all obligations (other
than with respect to the Trust Securities) and all costs and expenses of
the Trust (including, but not limited to, costs and expenses relating to
the organization of the Trust, the issuance and sale of the Trust Preferred
Securities, the fees and expenses (including reasonable counsel fees and
expenses) of the Trustees as provided in Section 7.06, the costs
and expenses of accountants, attorneys, statistical or bookkeeping
services, expenses for printing and engraving and computing or accounting
equipment, Paying Agent(s), Securities Registrar, duplication, travel and
telephone and other telecommunications expenses and costs and expenses
incurred in connection with the disposition of Trust assets).

       

      (c)           The
Sponsor will pay any and all taxes (other than United States withholding
taxes attributable to the Trust or its assets) and all liabilities, costs
and expenses with respect to such taxes of the Trust.

       

      (d)           The
Sponsor’s obligations under this Section 2.03 shall be for the benefit of,
and shall be enforceable by, the Property Trustee and any Person to whom
any such obligations, costs, expenses and taxes are owed (a
“Creditor”) whether or not such Creditor has received notice
hereof.  The Property Trustee and any such Creditor may enforce
the Sponsor’s obligations under this Section 2.03 directly against the
Sponsor and the Sponsor irrevocably waives any right or remedy to require
that the Property Trustee or any such Creditor take any action against the
Trust or any other Person before proceeding against
the Sponsor.  The Sponsor agrees to execute such additional
agreements as may be necessary or desirable in order to give full effect to
the provisions of this Section 2.03.

       

      (e)           The
Sponsor shall make no claim upon the Trust Property for the payment of such
expenses.

       

      Section
2.04          Issuance of the Trust
Securities.

       

      The
Sponsor, on behalf of the Trust, executed and delivered the Underwriting
Agreement. Contemporaneously with the execution and delivery of this Trust
Agreement, not less than two Regular Trustees, on behalf of the Trust, shall
execute in accordance with Section 5.02 and cause the Property Trustee to
authenticate and deliver to the Representatives pursuant to Section [ ] of the
Underwriting Agreement a Book-Entry Trust Preferred Securities Certificate or
Certificates, registered in the name of the nominee of the Depository,
representing _____________ Trust Preferred Securities having an aggregate
Liquidation Preference of $____________, against payment by the Representatives,
on behalf of the Underwriters, and receipt by the Property Trustee of the
aggregate purchase price of such Trust Preferred Securities of $___________.
Contemporaneously therewith, not less than two Regular Trustees, on behalf of
the Trust, shall execute in accordance with Section 5.02 and deliver to the
Sponsor a Trust Common Securities Certificate, registered in the name of the
Sponsor, representing ________ Trust Common Securities having an aggregate
Liquidation Preference of $________, against payment by the Sponsor and receipt
by the Property Trustee of the purchase price of such Trust Common Sponsor of
$____________.

      
        
           

        

        
          11

          
            

          

        

        
           

        

      

       

      Section
2.05          Purchase of
Debentures.

       

      Contemporaneously
with the execution and delivery of this Trust Agreement, the Regular Trustees,
on behalf of the Trust, shall purchase $___________ aggregate principal amount
of Debentures from Redwood, $____________, which Debentures shall be registered
in the name of the Property Trustee on behalf of the Trust, and in satisfaction
of the purchase price for such Debentures, shall cause the Property Trustee, on
behalf of the Trust, to deliver the sum of $_______________ to the Sponsor,
representing the proceeds of the Trust Securities.

       

      Section
2.06          Trust
Agreement.

       

      The
exclusive purposes and functions of the Trust are (i) to issue and sell Trust
Securities and use the proceeds from such sale to acquire the Debentures, (ii)
to make Distributions and other payments on the Trust Securities, (iii) to
maintain the status of the Trust as a grantor trust for United States federal
income tax purposes, and (iv) except as otherwise limited herein, to engage in
only those other activities necessary, convenient or incidental
thereto.  The Sponsor hereby appoints the Trustees as trustees of the
Trust, to have all the rights, powers and duties to the extent set forth herein,
and the Trustees hereby accept such appointment.  The Property Trustee
hereby declares that it will hold the Trust Property in trust upon and subject
to the conditions set forth herein for the benefit of the
Securityholders.  The Regular Trustees shall have all rights, powers
and duties set forth herein.  The Delaware Trustee shall not be
entitled to exercise any powers, nor shall the Delaware Trustee have any of the
duties and responsibilities of the Property Trustee or the Regular Trustees set
forth herein.  The Delaware Trustee shall be one of the Trustees of
the Trust for the sole and limited purpose of fulfilling the requirements of
Section 3807 of the Delaware Statutory Trust Act.

       

      
        The powers and duties of the Delaware
Trustee shall be limited to (i) accepting legal process served on the Trust in
the State of Delaware and (ii) the execution of any certificates required to be
filed with the Delaware Secretary of State which the Delaware Trustee is
required to execute under Section 3811 of the Delaware Statutory Trust
Act.  To the extent that, at law or in equity, the Delaware Trustee
has duties (including fiduciary duties) and liabilities relating thereto to the
Trust or the Holders, it is hereby understood and agreed by the other parties
hereto that such duties and liabilities are replaced by the duties and
liabilities of the Delaware Trustee expressly set forth in this
Agreement.  The Delaware trustee shall have no liability for the acts
or omissions of the other Trustees.  The Delaware Trustee shall be
entitled to all of the same benefits, protections, indemnities and immunities
under this Agreement and with respect to the Trust as the other
Trustees.

         

      

      Section
2.07          Authorization to
Enter into Certain Transactions.

       

      (a)           The
Trustees shall conduct the affairs of the Trust in accordance with the
terms of this Trust Agreement.  Subject to the limitations
set forth in paragraph (b) of this Section 2.07 and Article VII, and in
accordance with the following provisions (1) and (2), the Trustees shall
have the authority to enter into all transactions and agreements determined
by the Trustees to be appropriate in exercising the authority, express or
implied, otherwise granted to the Trustees under this Trust Agreement, and
to perform all acts in furtherance thereof, including without limitation,
the following:

       

      (1)          As
among the Trustees, the Regular Trustees shall have the power and authority
to act on behalf of the Trust with respect to the following
matters:

       

      (A)       
issuing and selling the Trust Securities in accordance with this Trust
Agreement, and executing and delivering (after countersignature of the Trust
Preferred Securities by the Property Trustee) Trust Securities Certificates
representing the Trust Securities; provided, however, that the Trust may issue
no more than one series of Trust Preferred Securities and no more than one
series of Trust Common Securities, and, provided further, that there shall be no
interests in the Trust other than the Trust Securities, and the issuance of
Trust Securities shall be limited to a one-time, simultaneous issuance of both
Trust Preferred Securities and Trust Common Securities on the Closing
Date;
 

      
        
           

        

        
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      (B)         causing
the Trust to enter into, and executing, delivering and performing on behalf of
the Trust, the Expense Agreement, the Certificate Depository Agreement and such
other agreements as may be necessary or desirable in connection with the
purposes and function of the Trust, including the appointment of a successor
Depository;

       

      (C)         assisting
in registering the Trust Preferred Securities under the Securities Act of 1933,
as amended, and under state securities or blue sky laws, and qualifying this
Trust Agreement as a trust indenture under the Trust Indenture Act;

       

      (D)         assisting
in the listing of the Trust Preferred Securities upon such securities exchange
or exchanges as the Sponsor shall determine and the registration of the Trust
Preferred Securities under the Securities Exchange Act of 1934, as amended, and
the preparation and filing of all periodic and other reports and other documents
pursuant to the foregoing;

       

      (E)         acquiring
the Debentures with the proceeds of the sale of the Trust Securities and causing
the Property Trustee to deliver payment of the purchase price therefor;
provided, however, that the Regular Trustees shall cause legal title to the
Debentures to be held of record in the name of the Property Trustee for the
benefit of the Holders of the Trust Securities;

       

      (F)         bringing
or defending, paying, collecting, compromising, arbitrating, resorting to legal
action, or otherwise adjusting claims or demands of or against the Trust unless
the Property Trustee has the exclusive power to so act;

       

      (G)         employing
or otherwise engaging employees and agents (who may be designated as officers
with titles) and managers, contractors, advisors, and consultants and paying
reasonable compensation for such services;

       

      (H)         causing
the Trust to comply with the Trust’s obligations under the Trust Indenture
Act;

       

      (I)          giving
the certificate required by Section 314(a)(4) of the Trust Indenture Act to the
Property Trustee, which certificate may be executed by any Regular
Trustee;

       

      (J)          incurring
expenses that are necessary or incidental to carry out any of the purposes of
the Trust;

       

      (K)        appointing
a Person to act as Securities Registrar in accordance with this Trust Agreement
for the Trust Securities;

      
        
           

        

        
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      (L)         taking
all actions that may be necessary or appropriate for the preservation and the
continuation of the Trust’s valid existence, rights, franchises and privileges
as a statutory trust under the laws of the State of Delaware and of each other
jurisdiction in which such existence is necessary to protect the limited
liability of the Holders of the Trust Preferred Securities or to enable the
Trust to effect the purposes for which the Trust was created;

       

      (M)       to
the extent provided in this Trust Agreement, winding up the affairs of the Trust
and dissolving the Trust and preparing, executing and filing the certificate of
cancellation with the Secretary of State of the State of Delaware (provided
that 10 business days advance notice of the filing of any such certificate of
cancellation shall be provided to the Property Trustee and the Delaware
Trustee);

       

      (N)        establishing
a record date with respect to all actions to be taken hereunder that require a
record date be established, including and with respect to, for the purposes of
Section 316(c) of the Trust Indenture Act, Distributions, voting rights,
redemptions and exchanges;

       

      (O)        sending
notices (other than notices of default) or assisting the Property Trustee in
sending notices and other information regarding the Trust Securities and the
Debentures to Securityholders in accordance with this Trust
Agreement;

       

      (P)         qualifying
the Trust to do business in any jurisdiction as may be necessary or desirable;
provided, that no such qualification may be made in any jurisdiction if the
effect of such qualification may be to diminish the limited liability of the
Holders of Trust Preferred Securities as provided by this Trust Agreement and
the Delaware Statutory Trust Act;

       

      (Q)        registering
transfers of the Trust Securities in accordance with this Trust Agreement
if the Property Trustee is not the Securities Registrar; and

       

      (R)         executing
all documents or instruments, performing all duties and powers and taking any
actions incidental to the foregoing as the Regular Trustees may from time to
time determine are necessary or advisable pursuant to the terms of the Trust
Securities or to give effect to the terms of this Trust Agreement for the
benefit of the Securityholders (without consideration of the effect of any such
action on any particular Securityholder).

       

      (2)          As
among the Trustees, the Property Trustee shall have the power, duty and
authority to act on behalf of the Trust with respect to the following
matters:

       

      (A)        establishing
and maintaining the Payment Account and appointing Paying Agents (subject to
Section 5.09);

       

      (B)         receiving
payment of the purchase price of the Trust Securities;

       

      (C)         delivering
payment of the purchase price of the Debentures to Redwood, as applicable, and
receiving and holding the Debentures in its name for the benefit of the
Trust;

      
        
           

        

        
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      (D)        collecting
interest, principal and any other payments on the Debentures and depositing them
in the Payment Account;

       

      (E)         making
Distributions and other payments to the Securityholders in respect of the Trust
Securities, so long as the Property Trustee is acting as Paying Agent, whether
solely or with any co-paying agent;

       

      (F)         exercising
all of the rights, powers and privileges of a holder under each Indenture and,
if any Event of Default has occurred and is continuing, for the benefit of the
Holders of the Trust Securities, in its discretion protecting and enforcing its
rights as holder of the Debentures subject to the rights of the Holders pursuant
to the terms of this Trust Agreement;

       

      (G)         sending
notices of defaults, redemptions, Extension Periods, dissolutions, liquidations
and other information regarding the Trust Securities and the Debentures to the
Securityholders in accordance with this Trust Agreement;

       

      (H)        distributing
the Trust Property in accordance with the terms of this Trust
Agreement;

       

      (I)          taking
any ministerial action incidental to the foregoing as the Property Trustee
may from time to time determine is necessary or advisable to give effect to
the terms of this Trust Agreement and protect and conserve the Trust
Property for the benefit of the Securityholders (without consideration of
the effect of any such action on any particular Securityholder);
and 

       

      (J)          registering
transfers and exchanges of the Trust Preferred Securities in accordance with
this Trust Agreement (but only if at such time the Property Trustee shall be the
Securities Registrar).

       

      (b)          So
long as this Trust Agreement remains in effect, the Trust (or the Trustees
acting on behalf of the Trust) shall not undertake any business, activities
or transaction except as expressly provided herein or contemplated
hereby.  In particular, the Trustees acting on behalf of the
Trust shall not (i) acquire any assets or investments (other than the
Debentures), reinvest the proceeds derived from investments, possess any
power or otherwise act in such a way as to vary the Trust Property or
engage in any activities not authorized by this Trust Agreement, (ii) sell,
assign, transfer, exchange, mortgage, pledge, set-off or otherwise dispose
of any of the Trust Property or interests therein, including to
Securityholders, except as expressly provided herein, (iii) take any action
that would cause the Trust to fail or cease to qualify as a grantor trust
for United States federal income tax purposes, (iv) incur any indebtedness
for borrowed money or issue any other debt, (v) issue any securities or
other evidences of beneficial ownership of, or beneficial interests in, the
Trust other than the Trust Securities, or (vi) take or consent to any
action that would result in the placement of a Lien on any of the
Trust Property.  The Regular Trustees shall defend all claims and
demands of all Persons at any time claiming any Lien on any of the Trust
Property adverse to the interest of the Trust or the Securityholders in
their capacity as Securityholders.

      
        
           

        

        
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      (c)          In
connection with the issue and sale of the Trust Preferred Securities, the
Sponsor shall have the right and responsibility to assist the Trust with
respect to, or effect on behalf of the Trust, the following (and
any actions taken by the Sponsor in furtherance of the following prior to
the date of this Trust Agreement are hereby ratified and confirmed in all
respects):

       

      (1)       preparing
for filing with the Commission and executing on behalf of the Trust a
registration statement on Form S-3 in relation to the Trust Preferred
Securities, the Trust Guarantee and certain related obligations, including any
amendments thereto;

       

      (2)       determining
the States in which to take appropriate action to qualify or register for sale
all or part of the Trust Preferred Securities and doing any and all such acts,
other than actions which must be taken by or on behalf of the Trust, and
advising the Trustees of actions they must take on behalf of the Trust, and
preparing for execution and filing any documents to be executed and filed by the
Trust or on behalf of the Trust, as the Sponsor deems necessary or advisable in
order to comply with the applicable laws of any such States;

       

      (3)       preparing
for filing and executing on behalf of the Trust an application to the New York
Stock Exchange or any other national stock exchange or The Nasdaq National
Market for listing upon notice of issuance of any Trust Preferred
Securities;

       

      (4)       preparing
for filing with the Commission and executing on behalf of the Trust a
registration statement on Form 8-A relating to the registration of the Trust
Preferred Securities and the Trust Guarantee under Section 12(b) of the
Securities Exchange Act of 1934, as amended, including any amendments
thereto;

       

      (5)       negotiating
the terms of, and executing and delivering on behalf of the Trust, the
Underwriting Agreement providing for the sale of the Trust Preferred Securities
and such other agreements as may be necessary or desirable in connection with
the consummation thereof;

       

      (6)       using
reasonable efforts to obtain any necessary federal or state authorizations
or approvals; and

       

      (7)       executing
all documents or instruments, or performing all duties and powers, and doing all
things for or on behalf of the Trust in all matters necessary or incidental to
the foregoing.

       

      (d)          Notwithstanding
anything herein to the contrary, the Regular Trustees and the Sponsor are
authorized and directed to conduct the affairs of the Trust and to operate
the Trust so that (1) the Trust will not be deemed to be an “investment
company” required to be registered under the 1940 Act, or classified as an
association taxable as a corporation, a partnership or other than as a
grantor trust for United States federal income tax purposes and (ii) the
Debentures will be treated as indebtedness of the Sponsor for United
States federal income tax purposes.  In this connection, the
Regular Trustees and the Sponsor are authorized to take any action, not
inconsistent with applicable law, the certificate of trust filed with the
Secretary of State of the State of Delaware with respect to the Trust (as
amended or restated from time to time, the “Certificate of Trust”), or this
Trust Agreement, that the Regular Trustees and the Sponsor determine in
their discretion to be necessary or desirable for such
purposes.

      
        
           

        

        
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      Section
2.08         Assets of
Trust.

       

      The
assets of the Trust shall consist of the Trust Property.

       

      Section
2.09         Title to Trust
Property.

       

      Legal
title to all Trust Property shall be vested at all times in the Property Trustee
(in its capacity as such) and shall be held and administered by the Property
Trustee for the benefit of the Securityholders in accordance with this Trust
Agreement.

       

      ARTICLE
3

      PAYMENT
ACCOUNT

       

      Section
3.01         Payment
Account.

       

      (a)          On
or prior to the Closing Date, the Property Trustee shall establish the
Payment Account.  All monies and other property deposited or
held from time to time in the Payment Account shall be held by the Property
Trustee for the exclusive benefit of the Securityholders and for
distributions as provided herein, including (and subject to) any priority
of payments provided for herein.  The Property Trustee shall have
exclusive control of the Payment Account for the purpose of making deposits
in and withdrawals from the Payment Account in accordance with this Trust
Agreement; provided that any Paying Agent shall have the right of
withdrawal with respect to the Payment Account solely for the purpose of
making the payments contemplated under Article 4.

       

      (b)          The
Property Trustee shall deposit in the Payment Account, promptly upon
receipt, all payments of principal of or interest on, and any
other payments or proceeds with respect to, the Debentures and any amounts
paid to the Property Trustee pursuant to the Trust
Guarantee.  Amounts held in the Payment Account shall not be
invested by the Property Trustee pending distribution thereof.

       

      ARTICLE
4

      DISTRIBUTIONS;
REDEMPTION

       

      Section
4.01         Distributions.

       

      (a)          Distributions
on the Trust Securities shall be cumulative, and will accumulate whether or
not there are funds of the Trust available for the payment of
Distributions.  Distributions shall accumulate from _______, ____ and,
except during an Extension Period for the Debentures pursuant to the
applicable Indenture, shall be payable quarterly in arrears on March 31,
June 30, September 30 and December 31 of each year, commencing on ______,
____.  In the event that any date on which Distributions are
otherwise payable on the Trust Securities is not a Business Day, then
payment of such Distributions shall be made on the next succeeding day that
is a Business Day (and without any additional Distributions or other
payment in respect of any such delay), except that, if such Business Day is
in the next succeeding calendar year, payment of such Distributions
shall be made on the immediately preceding Business Day (without any
reduction in Distributions in respect of such early payment), in each case
with the same force and effect as if made on the date such payment was
originally payable (each date on which Distributions are payable in
accordance with this Section 4.01 (a) is referred to as a “Distribution
Date”).

      
        
           

        

        
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      (b)           Within
two Business Days after receipt by the Property Trustee of notice of an
Extension Period pursuant to Section ___ of any Indenture, the Property
Trustee shall give notice thereof to the Securityholders in the manner and
to the extent provided in Section 10.07.

       

      (c)           The
Trust Securities represent undivided beneficial interests in the Trust
Property, and, subject to Sections 4.03 and 4.06 hereof, all
Distributions will be made pro rata on each of the Trust
Securities.  Distributions on the Trust Securities shall be
payable at a rate of [ ]% per annum of the Liquidation Preference of the
Trust Securities.  The amount of Distributions payable for
any full quarterly period shall be computed on the basis of a 360-day year
of twelve 30-day months, except for any period shorter than a full calendar
month, in which case the amount shall be computed on the basis of the
actual number of days elapsed in such period.  During an
Extension Period for the Debentures, the rate per annum at which
Distributions on the Trust Securities accumulate shall be increased by an
amount such that the aggregate amount of Distributions that accumulate on
all Trust Securities during any such Extension Period is equal to the
aggregate amount of interest (including interest payable on unpaid
interest at the rate per annum set forth above, compounded quarterly) that
accrues during any such Extension Period on the Debentures.

       

      (d)           Distributions
on the Trust Securities shall be made from the Payment Account by the
Property Trustee or any Paying Agent and shall be payable on
each Distribution Date only to the extent that the Trust has funds then
available in the Payment Account for the payment of such
Distributions.

       

      (e)           Distributions
on the Trust Securities on each Distribution Date shall be payable to the
Holders thereof as they appear on the Securities Register for the Trust
Securities on the relevant record date, which, as long as the Trust
Preferred Securities are in book-entry-only form, shall be one Business Day
prior to such Distribution Date; provided, however, that in the event that
the Trust Preferred Securities are not in book-entry-only form,
the relevant record date shall be the day that is 15 days prior to the
relevant Distribution Date, whether or not a Business Day.

       

      (f)           If
Distributions are not paid when scheduled, such accumulated Distributions
shall be paid to the Holders of record of Trust Securities as they appear
on the books and records of the Trust on the record date as
determined under Section 4.01(e) above with respect to the actual payment
date for such accumulated Distributions.

       

      Section
4.02         Redemption.

       

      (a)          On
each Debenture Redemption Date and the Maturity Date of the Debentures, the
Property Trustee will be required to redeem a Like Amount of Trust
Securities at the Redemption Price.

      
        
           

        

        
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      (b)          Notice
of redemption shall be given by the Property Trustee by first-class mail,
postage prepaid, mailed not less than 30 nor more than 60 days prior to the
Redemption Date to each Holder of Trust Securities to be redeemed, at such
Holder’s address appearing in the Securities Register.  All notices
of redemption shall state:

       

      (1)           the
Redemption Date;

       

      (2)           the
Redemption Price;

       

      (3)           the
CUSIP number;

       

      (4)           the
place or places where Trust Securities Certificates are to be surrendered
for payment of the Redemption Price;

       

      (5)           that
on the Redemption Date the Redemption Price will become payable upon each
such Trust Security to be redeemed and that Distributions thereon will
cease to accumulate on and after such date; and

       

      (6)           if
less than all of the Outstanding Trust Securities are to be redeemed, the
identification and total Liquidation Preference of the particular Trust
Securities to be redeemed.

       

      (c)          Any
notice of redemption may state that such redemption shall be conditional
upon the receipt by the Property Trustee not later than the close
of business on the Business Day next preceding the Redemption Date of
moneys sufficient to pay in full the Redemption Price.  If the
redemption notice states that it is conditional and such moneys shall not
be so received by the close of business on the Business Day next preceding the
Redemption Date (i) such notice of redemption shall be of no force and effect,
(ii) the Property Trustee shall not redeem such Trust Securities, and (iii) the
Property Trustee shall give notice, in the manner in which the notice of
redemption was given, that such moneys were not so received and that such
redemption did not occur.  In such event, the Property Trustee shall
promptly return Trust Securities which it has received to the registered owners
thereof.

       

      (d)          The
Trust Securities redeemed on each Redemption Date shall be redeemed at the
Redemption Price with the proceeds from the contemporaneous redemption or
repayment on the Debenture Redemption Date or the Maturity Date of the
Debentures, as the case may be.  Redemptions of the Trust Securities
shall be made and the Redemption Price shall be payable on each Redemption
Date only to the extent that the Trust has funds then available in the
Payment Account for the payment of such Redemption Price.

      
        
           

        

        
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      (e)           If
the Trust, by action of the Property Trustee, gives a notice of redemption in
respect of any Trust Preferred Securities, then, by 12:00 noon, New York time,
on the Redemption Date, subject to Section 4.02(c), the Property Trustee will,
to the extent funds are available therefor, (1) so long as the Trust Preferred
Securities are in book-entry-only form, deposit irrevocably with the Depository
funds sufficient to pay the applicable Redemption Price and will give the
Depository irrevocable instructions and authority to pay the applicable
Redemption Price to the Holders thereof or (2) if the Trust Preferred Securities
are not in book-entry-only form, deposit irrevocably with the Paying Agent funds
sufficient to pay the applicable Redemption Price and will give the Paying Agent
irrevocable instructions and authority to pay the applicable Redemption Price to
the Holders thereof upon surrender of their Trust Preferred Securities
Certificates. Notwithstanding the foregoing, Distributions payable on or prior
to the Redemption Date for any Trust Securities called for redemption shall be
payable to the Holders of such Trust Securities as they appear on the Securities
Register for the Trust Securities on the relevant record dates for the related
Distribution Dates. If notice of redemption shall have been given and funds
irrevocably deposited as required, then upon the date of such deposit, all
rights of Securityholders holding Trust Securities so called for redemption will
cease, except the right of such Securityholders to receive the Redemption Price,
but without interest on such Redemption Price, and such Trust Securities will
cease to be Outstanding. In the event that any Redemption Date is not a Business
Day, then payment of the Redemption Price payable on such Redemption Date will
be made on the next succeeding day which is a Business Day (and without any
additional Distributions or other payment in respect of any such delay), except
that, if such Business Day is in the next succeeding calendar year, such payment
will be made on the immediately preceding Business Day (without any reduction in
Distributions in respect of such early payment), in each case with the same
force and effect as if made on such Redemption Date. In the event that payment
of the Redemption Price in respect of any Trust Securities called for redemption
is improperly withheld or refused, and not paid either by the Trust or by the
Sponsor pursuant to the Trust Guarantee, Distributions on such Trust Securities
will continue to accumulate, at the then applicable rate, from the Redemption
Date originally established by the Trust for such Trust Securities to the date
such Redemption Price is actually paid, in which case the actual payment date
will be the date fixed for redemption for purposes of calculating the Redemption

       

      (f)           Payment
of the Redemption Price on the Trust Securities shall be made to the
Holders thereof as they appear on the Securities Register for the Trust
Securities on the relevant record date, which as long as the
Trust Preferred Securities are in book-entry-only form, shall be one
Business Day prior to the Redemption Date; provided, however, that in the
event that the Trust Securities are not in book-entry-only form, the
relevant record date shall be the date that is 15 days prior to the
Redemption Date.

       

      (g)           If
less than all the Outstanding Trust Securities are to be redeemed on a
Redemption Date, then the aggregate Liquidation Preference of Trust Securities
to be redeemed shall be allocated on a pro rata basis (based on Liquidation
Preference) among the Trust Common Securities and the Trust Preferred
Securities. The particular Trust Preferred Securities to be redeemed shall be
selected not more than 60 days prior to the Redemption Date by the Property
Trustee from the Outstanding Trust Preferred Securities not previously called
for redemption, by lot or by such method as the Property Trustee shall deem fair
and appropriate and which may provide for the selection for redemption of
portions (equal to $[__] or an integral
multiple of $[__] in excess thereof)
of the Liquidation Preference of Trust Preferred Securities of a denomination
larger than $[__], provided that, in
respect of Trust Preferred Securities registered in the name of and held of
record by the Depository or its nominee (or any successor Depository or its
nominee), the distribution of the proceeds of such redemption will be made in
accordance with the procedures applied by such Depository or nominee. The Trust
may not redeem fewer than all of the Outstanding Trust Preferred Securities
unless all accumulated and unpaid Distributions have been paid on all Trust
Preferred Securities for all quarterly distribution periods terminating on or
prior to the Redemption Date. The Property Trustee shall promptly notify the
Securities Registrar in writing of the Trust Preferred Securities selected for
redemption and, in the case of any Trust Preferred Securities selected for
partial redemption, the Liquidation Preference thereof to be redeemed. If fewer
than all of the Trust Securities represented by a Trust Securities Certificate
are redeemed, not less than two Regular Trustees shall execute for the Holder a
new Trust Securities Certificate representing the unredeemed Trust Securities.
For all purposes of this Trust Agreement, unless the context otherwise requires,
all provisions relating to the redemption of Trust Preferred Securities shall
relate, in the case of any Trust Preferred Securities redeemed or to be redeemed
only in part, to the portion of the Liquidation Preference of Trust Preferred
Securities which has been or is to be redeemed.

      
        
           

        

        
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      Section
4.03         Subordination of Trust
Common Securities.

       

      (a)          Payment
of Distributions on, and the Redemption Price of, the Trust Securities, as
applicable, shall be made pro rata based on the Liquidation Preference of
the Trust Securities; provided, however, that if on any Distribution Date
or Redemption Date, a Debenture Event of Default shall have occurred and be
continuing, no payment of any Distribution on, or Redemption Price of, any
Trust Common Security, and no other payment on account of the redemption,
liquidation or other acquisition of Trust Common Securities, shall be made
unless payment in full in cash of all accumulated and unpaid Distributions
on all Outstanding Trust Preferred Securities for all distribution periods
terminating on or prior thereto, or in the case of payment of
the Redemption Price, the full amount of such Redemption Price on all
Outstanding Trust Preferred Securities then being redeemed, shall have been
made or provided for, and all funds immediately available to the Property
Trustee shall first be applied to the payment in full in cash of all
Distributions on, the Redemption Price of, Trust Preferred Securities then due
and payable.

       

      (b)          In
the case of any Event of Default under this Trust Agreement resulting from a
Debenture Event of Default, the Holder of Trust Common Securities will be
deemed to have waived any right to act with respect to any such Event of
Default until the effect of such Event of Default has been cured, waived or
otherwise eliminated.  Until any such Event of Default has been
so cured, waived or otherwise eliminated, the Property Trustee shall act
solely for the benefit of the Holders of the Trust Preferred Securities and
not the Holders of the Trust Common Securities, and only the Holders of the
Trust Preferred Securities will have the right to direct the Property
Trustee to act for their benefit.

       

      Section
4.04         Payment
Procedures.

       

      Payments
of Distributions pursuant to Section 4.01 in respect of the Trust Preferred
Securities shall be made by check mailed by the Paying Agent to the address of
the Holder thereof as such address shall appear on the Securities Register or,
if the Trust Preferred Securities are held by a Depository or its nominee, such
Distributions shall be made to the Depository by wire transfer in immediately
available funds.  Payment of the Redemption Price of or Liquidation
Distribution on the Trust Preferred Securities shall be made in immediately
available funds upon surrender of the Trust Preferred Securities Certificates
representing such Trust Preferred Securities at the Corporate Trust Office of
the Property Trustee or, if the Trust Preferred Securities are held by a
Depository or its nominee, such Redemption Price or Liquidation Distribution
shall be made to the Depository by wire transfer in immediately available
funds.   Payments of Distributions pursuant to Section 4.01 in
respect of the Trust Common Securities, and payment of the Redemption Price of
or Liquidation Payment on the Trust Common Securities, shall be made in such
manner as shall be mutually agreed between the Property Trustee and the Holder
of the Trust Common Securities.

      
        
           

        

        
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      Section
4.05         Tax Returns and
Reports.

       

      The
Regular Trustees shall prepare (or cause to be prepared), at the Sponsor’s
expense, and file all Federal, State and local tax and information returns and
reports required to be filed by or in respect of the Trust.  In this
regard, the Regular Trustees shall (i) prepare and file (or cause to be prepared
or filed) the appropriate Internal Revenue Service Form required to be filed in
respect of the Trust in each taxable year of the Trust and (ii) prepare and
furnish (or cause to be prepared and furnished) to each Securityholder the
applicable Internal Revenue Service Form 1099, or any successor form or the
information required to be provided on such form.  The Regular
Trustees shall provide the Sponsor and the Property Trustee with a copy of all
such returns, reports and schedules promptly after such filing or
furnishing.  The Trustees shall comply with United States Federal
withholding and backup withholding tax laws and information reporting
requirements with respect to any payments to Securityholders under the Trust
Securities.

       

      Section
4.06         Payments under the
Indenture.

       

      Any
amount payable hereunder to any Holder of Trust Preferred Securities shall be
reduced by the amount of any corresponding payment such Holder has directly
received pursuant to Section ___ of the Indenture or pursuant to the Trust
Guarantee.  Notwithstanding the provisions hereunder to the contrary,
Securityholders acknowledge that any Holder of Trust Preferred Securities that
receives payment under Section ___ of the Indenture may receive amounts greater
than the amount such Holder may be entitled to receive pursuant to the other
provisions of this Trust Agreement.

       

      Section
4.07         Payments of Taxes,
Duties, Etc. of the Trust.

       

      Upon
receipt under the Debentures of Additional Sums (as defined in the Indenture),
the Property Trustee at the direction of an Regular Trustee or the Sponsor shall
promptly pay any taxes, duties or governmental charges of whatsoever nature
(other than withholding taxes) imposed on the Trust by the United States or any
other taxing authority.

       

      ARTICLE
5

      TRUST
SECURITIES CERTIFICATES

       

      Section
5.01         Initial
Ownership.

       

      Upon the
creation of the Trust and the contribution by the Sponsor pursuant to Section
2.03 and until the issuance of the Trust Securities, and at any time during
which no Trust Securities are Outstanding, the Sponsor shall be the sole
beneficial owner of the Trust.
 

      
        
           

        

        
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      Section
5.02         The Trust Securities
Certificates.

       

      The Trust
Securities Certificates shall be issued in denominations of $[__] Liquidation
Preference and integral multiples thereof.  Trust Preferred Securities
Certificates representing fractional interests shall not be
issued.  Trust Common Securities Certificates shall be executed on
behalf of the Trust by manual or facsimile signatures of not less than two
Regular Trustees.  Trust Preferred Securities Certificates shall be
executed on behalf of the Trust by manual or facsimile signatures of not less
than two Regular Trustees and shall be authenticated by the countersignature of
the Property Trustee.  Trust Securities Certificates bearing the
manual or facsimile signatures of individuals who were, at the time when such
signatures shall have been affixed, authorized to sign on behalf of the Trust,
shall be validly issued and entitled to the benefits of this Trust Agreement,
notwithstanding that such individuals or any of them shall have ceased to be so
authorized prior to the delivery of such Trust Securities Certificates or did
not hold such offices at the date of delivery of such Trust Securities
Certificates.  A transferee of a Trust Securities Certificate shall
become a Securityholder, and shall be entitled to the rights and subject to the
obligations of a Securityholder hereunder, upon due registration of such Trust
Securities Certificate in such transferee’s name pursuant to Section
5.04.

       

      Section
5.03         Execution and Delivery
of Trust Securities Certificates.

       

      On the
Closing Date, the Regular Trustees shall cause Trust Securities Certificates, in
an aggregate Liquidation Preference as provided in Section 2.04, to be executed
on behalf of the Trust as provided in Section 5.02 and delivered in accordance
with the provisions of Section 2.04.

       

      Section
5.04         Registration of
Transfer and Exchange of Trust Preferred Securities Certificates.

       

      (a)          A
registrar appointed by the Regular Trustees (the “Securities Registrar”)
shall keep or cause to be kept, at the office or agency maintained pursuant
to Section 5.08, a register (the “Securities Register”) in which, subject
to such reasonable regulations as it may prescribe, the
Securities Registrar shall provide for the registration of Trust Securities
Certificates (subject to Section 5.10 in the case of the Trust Common
Securities Certificates) and registration of transfers and exchanges of
Trust Preferred Securities Certificates as herein provided.  The
Property Trustee shall be the initial Securities Registrar; any successor
Securities Registrar shall be appointed by the Regular
Trustees.

       

      (b)          Upon
surrender for registration of transfer of any Trust Preferred Securities
Certificate at the office or agency maintained pursuant to Section 5.08,
not less than two Regular Trustees shall execute and deliver, in the
name of the designated transferee or transferees, one or more new Trust
Preferred Securities Certificates representing the same number of Trust
Preferred Securities dated the date of execution by the Regular
Trustees.  At the option of a Holder, Trust Preferred Securities
Certificates may be exchanged for other Trust Preferred Securities
Certificates upon surrender of the Trust Preferred Securities Certificates
to be exchanged at the office or agency maintained pursuant to Section
5.08.  The Securities Registrar shall not be required to register
or cause to be registered the transfer of any Trust Preferred Securities
after such Trust Preferred Securities have been called for redemption,
during the period from 15 days before mailing of notice of redemption and
ending on such notice date or after the Liquidation Date.

      
        
           

        

        
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      (c)          Trust
Preferred Securities presented or surrendered for registration of transfer
or exchange shall be accompanied by a written instrument of transfer in
form satisfactory to the Regular Trustees and the Securities Registrar
duly executed by the Holder or such Holder’s attorney duly authorized in
writing.

       

      Each
Trust Preferred Securities Certificate surrendered for registration of transfer
or exchange shall be cancelled and subsequently disposed of by the Property
Trustee in accordance with its customary practice.

       

      (d)          No
service charge shall be made for any registration of transfer or exchange
of Trust Preferred Securities, but the Securities Registrar may
require payment of a sum sufficient to cover any tax or governmental charge
that may be imposed in connection with any transfer or exchange of Trust
Preferred Securities.

       

      Section
5.05         Mutilated, Destroyed,
Lost or Stolen Trust Securities Certificates.

       

      If (i)
any mutilated Trust Securities Certificate shall be surrendered to the
Securities Registrar, or if the Securities Registrar shall receive evidence to
its satisfaction of the destruction, loss or theft of any Trust Securities
Certificate, and (ii) there shall be delivered to the Securities Registrar and
the Regular Trustees such security or indemnity as may be required by them to
hold the Securities Registrar, the Trustees and the Trust harmless, then in the
absence of notice that such Trust Securities Certificate shall have been
acquired by a bona fide purchaser, not less than two of the Regular Trustees, on
behalf of the Trust shall execute and make available for delivery, in exchange
for or in lieu of any such mutilated, destroyed, lost or stolen Trust Securities
Certificate, a new Trust Securities Certificate of like tenor.  In
connection with the issuance of any new Trust Securities Certificate under this
Section 5.05, the Regular Trustees or the Securities Registrar may require the
payment of a sum sufficient to cover any tax or other governmental charge that
may be imposed in connection therewith.  Any duplicate Trust
Securities Certificate issued pursuant to this Section 5.05 shall constitute
conclusive evidence of an undivided beneficial interest in the assets of the
Trust, as if originally issued, whether or not the lost, stolen or destroyed
Trust Securities Certificate shall be found at any time.

       

      Section
5.06         Persons Deemed
Securityholders.

       

      Prior to
due presentation of a Trust Security Certificate for registration of transfer,
the Regular Trustees or the Securities Registrar shall treat the Person in whose
name any Trust Securities Certificate shall be registered in the Securities
Register as the owner and Holder of such Trust Securities Certificate for the
purpose of receiving Distributions and for all other purposes whatsoever, and
neither the Trustees nor the Securities Registrar shall be bound by any notice
to the contrary.
 

      
        
           

        

        
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      Section
5.07         Access to List of
Securityholders’ Names and Addresses.

       

      In the
event that the Property Trustee is no longer the Securities Registrar, the
Regular Trustees or the Sponsor shall furnish or cause to be furnished (i) to
the Property Trustee, quarterly not later than 10 days prior to a Distribution
Date, and (ii) to the Property Trustee, promptly after receipt by the Regular
Trustees or the Sponsor of a request therefor from the Property Trustee in order
to enable the Paying Agent to pay Distributions in accordance with Section 4.01
hereof, a list, in such form as the Property Trustee may reasonably require, of
the names and addresses of the Securityholders as of the most recent record
date, in each case to the extent such information is in the possession or
control of the Regular Trustees or the Sponsor and is not identical to a
previously supplied list or has not otherwise been received by the Property
Trustee.  The rights of Securityholders to communicate with other
Securityholders with respect to their rights under this Trust Agreement or under
the Trust Securities, and the corresponding rights of the Property Trustee,
shall be as provided in the Trust Indenture Act.  Each Holder, by
receiving and holding a Trust Securities Certificate, shall be deemed to have
agreed not to hold the Sponsor or the Trustees accountable by reason of the
disclosure of its name and address, regardless of the source from which such
information was derived.

       

      Section
5.08         Maintenance of Office
or Agency.

       

      The
Property Trustee shall maintain in [insert city and state], an office or offices
or agency or agencies where Trust Preferred Securities may be surrendered for
registration of transfer or exchange and where notices and demands to or upon
the Trustees in respect of the Trust Securities Certificates may be
served.  The Property Trustee shall give prompt written notice to the
Sponsor and to the Securityholders of any change in the location of the
Securities Register or any such office or agency, which shall initially be at
the Corporate Trust Office of the Property Trustee.

       

      Section
5.09         Appointment of Paying
Agent.

       

      The
Paying Agent shall make Distributions to Securityholders from the Payment
Account and shall report the amounts of such Distributions to the Property
Trustee and the Regular Trustees.  Any Paying Agent shall have the
revocable power to withdraw funds from the Payment Account for the purpose of
making Distributions.  The Regular Trustees may revoke such power and
remove the Paying Agent, provided that such revocation and removal with respect
to the sole Paying Agent shall not become effective until the appointment of a
successor.  The Paying Agent shall initially be the Property Trustee
and any co-paying agent chosen by the Property Trustee and approved by the
Regular Trustees and the Sponsor.  Any Person acting as Paying Agent
shall be permitted to resign as Paying Agent upon 30 days’ written notice to the
Regular Trustees and the Sponsor, and, if applicable, the Property Trustee,
provided that such resignation with respect to the sole Paying Agent shall not
become effective until the appointment of a successor.  In the event
that the Property Trustee shall no longer be the Paying Agent or a successor
Paying Agent shall resign or its authority to act be revoked, the Regular
Trustees shall appoint a successor that is acceptable to the Property Trustee
(in the case of any other Paying Agent) and the Sponsor to act as Paying Agent
(which shall be a bank or trust company and have a combined capital and surplus
of at least $50,000,000).  The Regular Trustees shall cause such
successor Paying Agent or any additional Paying Agent approved by the Regular
Trustees to execute and deliver to the Trustees an instrument in which such
successor Paying Agent or additional Paying Agent shall agree with the Trustees
that as Paying Agent, such successor Paying Agent or additional Paying Agent
will hold all sums, if any, held by it for payment to the Securityholders in
trust for the benefit of the Securityholders entitled thereto until such sums
shall be paid to such Securityholders.  The Paying Agent shall return
all of such sums remaining unclaimed to the Property Trustee and upon removal of
a Paying Agent such Paying Agent shall also return such sums in its possession
to the Property Trustee.  The provisions of Sections 7.01, 7.03 and
7.06 shall apply to the Property Trustee also in its role as Paying Agent, for
so long as the Property Trustee shall act as Paying Agent and, to the extent
applicable, to any other Paying Agent appointed hereunder.  Any
reference in this Trust Agreement to the Paying Agent shall include any
co-paying agent unless the context requires otherwise.

      
        
           

        

        
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      Section
5.10         No Transfer of Trust
Common Securities by Sponsor.

       

      To the
fullest extent permitted by law, any attempted transfer of the Trust Common
Securities shall be void, except for transfers permitted by Article __ of the
Indenture.  The Regular Trustees shall cause each Trust Common
Securities Certificate issued to the Sponsor to contain a legend stating “THIS
CERTIFICATE IS NOT TRANSFERABLE EXCEPT TO THE EXTENT PROVIDED IN THE TRUST
AGREEMENT (AS DEFINED BELOW)”.  By execution of this Trust Agreement,
the Sponsor agrees to the foregoing restrictions.

       

      Section
5.11         Book-Entry Trust
Preferred Securities Certificates; Trust Common Securities
Certificate.

       

      (a)          A
single Trust Common Securities Certificate representing the Trust Common
Securities shall be issued to the Sponsor in the form of a definitive Trust
Common Securities Certificate.

       

      (b)          The
Trust Preferred Securities, upon original issuance on the Closing Date,
will not be engraved but will be issued in the form of one printed or
typewritten Book-Entry Trust Preferred Securities Certificate, to
be delivered to The Depository Trust Company, the initial Depository, by,
or on behalf of, the Trust.  Such Book-Entry Trust Preferred
Securities Certificate shall initially be registered on the Securities
Register in the name of Cede & Co., the nominee of the initial
Depository.  No Trust Preferred Securities Beneficial Owner will
receive a Definitive Trust Preferred Securities Certificate representing
such Trust Preferred Securities Beneficial Owner’s interest in such
Book-Entry Trust Preferred Securities Certificate, except as provided in
Section 5.12.  Unless and until Definitive Trust Preferred
Securities Certificates have been issued to the Trust Preferred Securities
Beneficial Owners pursuant to Section 5.12:

       

      (1)           the
provisions of this Section 5.11(b) shall be in full force and
effect;

       

      (2)           the
Trust and the Trustees shall be entitled to deal with the Depository for all
purposes of this Trust Agreement (including the payment of Distributions on the
Trust Preferred Securities and receiving approvals, votes or consents hereunder)
as the sole Holder of the Trust Preferred Securities and shall have no
obligation to the Trust Preferred Securities Beneficial Owners;

       

      (3)           to
the extent that the provisions of this Section 5.11(b) conflict with any
other provisions of this Trust Agreement, the provisions of this Section
5.11(b) shall control; and

      
        
           

        

        
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      (4)           the
rights of the Trust Preferred Securities Beneficial Owners shall be exercised
only through the Depository and shall be limited to those established by law and
agreements between such Trust Preferred Securities Beneficial Owners and the
Depository and/or the Depository Participants and pursuant to the Certificate
Depository Agreement the Depository shall receive and transmit payments of
Distributions to such Depository Participants. The Depository will make
book-entry transfers among the Depository Participants; provided, that solely
for the purposes of determining whether the Holders of the requisite amount of
Trust Preferred Securities have voted on any matter provided for in this Trust
Agreement, so long as Definitive Trust Preferred Securities Certificates have
not been issued, the Trustees may conclusively rely on, and shall be fully
protected in relying on, any written instrument (including a proxy) delivered to
the Trustees by the Depository setting forth the Trust Preferred Securities
Beneficial Owners’ votes or assigning the right to vote on any matter to any
other Person either in whole or in part.

       

      Section
5.12         Definitive Trust
Preferred Securities Certificates.

       

      If (i)
the Sponsor advises the Trustees in writing that the Depository is no longer
willing or able to properly discharge its responsibilities with respect to the
Trust Preferred Securities Certificates or the Depository is no longer
registered or in good standing under the Securities Exchange Act of 1934, as
amended, or other applicable statute or regulation, and the Sponsor is unable to
locate a qualified successor within 90 days, (ii) the Sponsor at its option
advises the Trustees in writing that it elects to dissolve the book-entry system
through the Depository or (iii) an Event of Default occurs and is continuing and
the Holders of a Majority in Liquidation Preference of Trust Preferred
Securities determine to discontinue the system of book-entry transfers through
the Depository by so notifying the Property Trustee, then the Regular Trustees
shall issue Definitive Trust Preferred Securities Certificates.  Upon
surrender to the Regular Trustees of the Book-Entry Trust Preferred Securities
Certificates by the Depository, accompanied by registration instructions, the
Regular Trustees shall execute and deliver the Definitive Trust Preferred
Securities Certificates pursuant to this Trust Agreement in accordance with the
instructions of the Depository.  Neither the Securities Registrar nor
the Trustees shall be liable for any delay in delivery of such instructions and
may conclusively rely on, and shall be protected in relying on, such
instructions.  The Definitive Trust Preferred Securities Certificates
shall be printed, lithographed or engraved or may be produced in any other
manner as is reasonably acceptable to the Regular Trustees, as evidenced by the
execution thereof by not less than two Regular Trustees.

       

      Section
5.13         Rights of
Securityholders.

       

      The
Securityholders shall not have any right or title to the Trust Property other
than the undivided beneficial interest in the assets of the Trust conferred by
their Trust Securities and they shall have no right to call for any partition or
division of property, profits or rights of the Trust except as described
below.  The Trust Securities shall be personal property giving only
the rights specifically set forth therein and in this Trust
Agreement.  The Trust Preferred Securities shall have no preemptive or
similar rights and when issued and delivered to the Holders of the Trust
Preferred Securities against payment of the purchase price therefor will be
fully paid and nonassessable interests in the Trust.  The Holders of
the Trust Preferred Securities, in their capacities as such, shall be entitled
to the same limitation of personal liability extended to stockholders of private
corporations for profit organized under the General Corporation Law of the State
of Delaware.
 

      
        
           

        

        
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      ARTICLE
6

      ACTS OF
SECURITYHOLDERS; MEETINGS; VOTING

       

      Section
6.01          Limitations on Voting
Rights.

       

      (a)           Except
as provided herein, in the Trust Guarantee and in the Indenture and as
otherwise required by law, no Holder of Trust Securities shall have any
right to vote or in any manner otherwise control the
administration, operation and management of the Trust or the obligations of
the parties hereto, nor shall anything herein set forth, or contained in
the terms of the Trust Securities Certificates, be construed so as to
constitute the Securityholders from time to time as partners or members of
an association.

       

      (b)           So
long as any Debentures are held by the Property Trustee, the Trustees shall
not (i) direct the time, method and place of conducting any proceeding for
any remedy available to the Debenture Trustee or executing any trust or
power conferred on the Property Trustee with respect to the
Debentures, waive any past default which may be waived under Section ____
of the Indenture, (iii) exercise any right to rescind or annul a
declaration that the principal of the Debentures is due and payable or (iv)
consent to any amendment, modification or termination of any of the
Indenture, where such consent shall be required, without, in each case,
obtaining the prior consent of the Holders of at least a Majority in
Liquidation Preference of the Outstanding Trust Preferred Securities;
provided, however, that where such consent under the applicable Indenture would
require the consent of each holder of Debentures issued thereunder affected
thereby, no such consent shall be given by the Property Trustee without the
prior written consent of each Holder of Outstanding Trust Preferred
Securities.  The Trustees shall not revoke any action previously
authorized or approved by a vote of the Holders of Trust Preferred Securities,
except by a subsequent vote of the Holders of Trust Preferred
Securities.  The Property Trustee shall notify all Holders of the
Trust Preferred Securities of any notice received from the Debenture Trustee as
a result of the Trust being the holder of the Debentures.  In addition
to obtaining the consent of the Holders of the Trust Preferred Securities, prior
to taking any of the foregoing actions, the Trustees shall, at the expense of
the Sponsor, obtain an Opinion of Counsel experienced in such matters to the
effect that the Trust will not be classified as an association taxable as a
corporation or partnership for United States federal income tax purposes on
account of such action and will continue to be classified as a grantor trust for
United States federal income tax purposes.

       

      (c)           Subject
to Section 10.02(c) hereof, if any proposed amendment to the Trust
Agreement provides for, or the Trustees otherwise propose to effect, any
action that would adversely affect in any material respect the
powers, preferences or special rights of the Trust Preferred Securities,
whether by way of amendment to this Trust Agreement or otherwise, or (ii)
the dissolution or liquidation of the Trust, other than pursuant to the
terms of this Trust Agreement, then the Holders of Outstanding Trust
Preferred Securities will be entitled to vote on such amendment or proposal
and such amendment or proposal shall not be effective except with the
approval of the Holders of at least a Majority in Liquidation Preference of
the Outstanding Trust Preferred Securities.

      
        
           

        

        
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      Section
6.02          Notice of
Meetings.

       

      Notice of
all meetings of the Trust Preferred Security Holders, stating the time, place
and purpose of the meeting, shall be given by the Property Trustee pursuant to
Section 10.07 to each Trust Preferred Security Holder of record, at his/her
registered address, at least 15 days and not more than 90 days before the
meeting.  At any such meeting, any business properly before the
meeting may be so considered whether or not stated in the notice of the
meeting.   Any adjourned meeting may be held as adjourned without
further notice.

       

      Section
6.03          Meetings of Trust
Preferred Security Holders.

       

      (a)           No
annual meeting of Securityholders is required to be
held.  The Regular Trustees, however, shall call a meeting of
Securityholders to vote on any matter upon the written request of the
Holders of at least [__]%
in Liquidation Preference of the Outstanding Trust Preferred Securities and
the Regular Trustees or the Property Trustee may, at any time in their
discretion, call a meeting of Trust Preferred Security Holders to vote on
any matters as to which the Trust Preferred Security Holders are entitled
to vote.

       

      (b)           Holders
of at least a Majority in Liquidation Preference of the Outstanding Trust
Preferred Securities, present in person or by proxy, shall constitute a
quorum at any meeting of Securityholders.

       

      (c)           If
a quorum is present at a meeting, an affirmative vote of the Holders of at
least a Majority in Liquidation Preference of the Outstanding Trust
Preferred Securities present, either in person or by proxy, at such meeting
shall constitute the action of the Securityholders, unless this Trust
Agreement requires a greater number of affirmative votes.

       

      Section
6.04         Voting
Rights.

       

      A
Securityholder shall be entitled to one vote for each Trust Security in respect
of any matter as to which such Securityholder is entitled to vote.

       

      Section
6.05         Proxies,
etc.

       

      At any
meeting of Securityholders, any Securityholder entitled to vote thereat may vote
by proxy, provided that no proxy shall be voted at any meeting unless it shall
have been placed on file with the Regular Trustees, or with such other officer
or agent of the Trust as the Regular Trustees may direct, for verification prior
to the time at which such vote shall be taken.  Pursuant to a
resolution of the Property Trustee, proxies may be solicited in the name of the
Property Trustee or one or more officers of the Property
Trustee.  Only Securityholders of record shall be entitled to
vote.  When Trust Securities are held jointly by several Persons, any
one of them may vote at any meeting in person or by proxy in respect of such
Trust Securities, but if more than one of them shall be present at such meeting
in person or by proxy, and such joint owners or their proxies so present
disagree as to any vote to be cast, such vote shall not be received in respect
of such Trust Securities.  A proxy purporting to be executed by or on
behalf of a Securityholder shall be deemed valid unless challenged at or prior
to its exercise, and the burden of proving invalidity shall rest on the
challenger.  No proxy shall be valid more than three years after its
date of execution.

      
        
           

        

        
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      Section
6.06         Securityholder Action
by Written Consent.

       

      Any
action which may be taken by Securityholders at a meeting may be taken without
prior notice and a meeting if Holders of the proportion of the Outstanding Trust
Preferred Securities required to approve such action shall consent to the action
in writing.  Prompt notice of the taking of any action by written
consent shall be provided to the Holders who did not consent to the taking of
such action.

       

      Section
6.07         Record Date for Voting
and Other Purposes.

       

      For the
purposes of determining the Securityholders who are entitled to notice of and to
vote at any meeting or who are entitled to vote by written consent, or for the
purpose of any other action, the Regular Trustees may from time to time fix as a
record date for the determination of the identity of the Securityholders for
such purposes, (i) in the case of a meeting, a date not more than 90 days prior
to the date of the meeting of Securityholders, or (ii) in the case of a written
consent, a date that shall not precede the date upon which the action fixing the
record date is adopted by the Regular Trustees and which date shall not be more
than 10 days after the date upon which the action fixing the record date is
adopted by the Regular Trustees.

       

      Section
6.08         Acts of
Securityholders.

       

      (a)          Any
request, demand, authorization, direction, notice, consent, waiver or other
action provided or permitted by this Trust Agreement to be given, made or taken
by Securityholders may be embodied in and evidenced by one or more instruments
of substantially similar tenor signed by such Securityholders in person or by an
agent duly appointed in writing; and, except as otherwise expressly provided
herein, such action shall become effective when such instrument or instruments
are delivered to the Regular Trustees. Such instrument or instruments (and the
action embodied therein and evidenced thereby) are herein sometimes referred to
as the “Act” of the Securityholders signing such instrument or instruments.
Proof of execution of any such instrument or of a writing appointing any such
agent shall be sufficient for any purpose of this Trust Agreement and (subject
to Section 7.02) conclusive, if made in the manner provided in this Section
6.08.

       

      (b)          The
fact and date of the execution by any Person of any such instrument or
writing may be proved by the affidavit of a witness of such execution or by
a certificate of a notary public or other officer authorized by law to take
acknowledgments of deeds, certifying that the individual signing such
instrument or writing acknowledged to him/her the execution
thereof.  Where such execution is by a signer acting in a
capacity other than his/her individual capacity, such certificate or
affidavit shall also constitute sufficient proof of his/her
authority.  The fact and date of the execution of any such
instrument or writing, or the authority of the Person executing the same,
may also be proved in any other manner which any Trustee receiving the same
deems sufficient.

       

      (c)          The
ownership of Trust Preferred Securities shall be proved by the Securities
Register.

      
        
           

        

        
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      (d)           Any
request, demand, authorization, direction, notice, consent, waiver or other
act of the Securityholder of any Trust Security shall bind every future
Securityholder of the same Trust Security and the Securityholder of
every Trust Security issued upon the registration of transfer thereof or in
exchange therefor or in lieu thereof in respect of anything done, omitted
or suffered to be done by the Trustees or the Trust in reliance thereon,
whether or not notation of such action is made upon such Trust
Security.

       

      (e)           Without
limiting the foregoing, a Securityholder entitled hereunder to take any
action hereunder with regard to any particular Trust Security may do so
with regard to all or any part of the Liquidation Preference of such
Trust Security or by one or more duly appointed agents, each of which may
do so pursuant to such appointment with regard to all or any part of such
Liquidation Preference.

       

      (f)           If
any dispute shall arise between the Securityholders and the Regular
Trustees or among such Securityholders or Trustees with respect to
the authenticity, validity or binding nature of any request, demand,
authorization, direction, consent, waiver or other Act of such
Securityholder or Trustee under this Article 6, then the determination of
such matter by the Property Trustee shall be conclusive with respect to
such matter.

       

      Section
6.09         Inspection of
Records.

       

      Upon
reasonable notice to the Regular Trustees and the Property Trustee, the records
of the Trust shall be open to inspection by Securityholders during normal
business hours for any purpose reasonably related to such Securityholder’s
interest as a Securityholder.

       

      ARTICLE
7

      THE
TRUSTEES

       

      Section
7.01         Certain Duties and
Responsibilities.

       

      (a)          The
duties and responsibilities of the Trustees shall be as provided by this
Trust Agreement and, in the case of the Property Trustee, also by the Trust
Indenture Act.  The Property Trustee, other than during the
occurrence and continuance of an Event of Default, undertakes to perform
only such duties as are specifically set forth in this Trust Agreement and,
upon an Event of Default, must exercise the same degree of care and skill
as a prudent person would exercise or use in the conduct of his/her own
affairs.  The Trustees shall have all the privileges, rights and
immunities provided by the Delaware Statutory Trust Act.

      
        
           

        

        
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      Notwithstanding
the foregoing, no provision of this Trust Agreement shall require the Trustees
to expend or risk their own funds or otherwise incur any financial liability in
the performance of any of their duties hereunder, or in the exercise of any of
their rights or powers, if they shall have reasonable grounds for believing that
repayment of such funds or adequate indemnity against such risk or liability is
not reasonably assured to it.  Whether or not therein expressly so
provided, every provision of this Trust Agreement relating to the conduct or
affecting the liability of or affording protection to the Trustees shall be
subject to the provisions of this Section 7.01.  No Indemnified Person
shall be liable, responsible or accountable in damages or otherwise to the Trust
or any employee or agent of the Trust or its Affiliates for any loss, damage or
claim incurred by reason of any act or omission performed or omitted by such
Indemnified Person in good faith on behalf of the Trust and in a manner such
Indemnified Person reasonably believed to be within the scope of the authority
conferred on such Indemnified Person by this Trust Agreement or by law, except
that an Indemnified Person shall be liable for any such loss, damage or claim
incurred by reason of such Indemnified Person’s gross negligence (but, in the
case of the Property Trustee, nothing in this Trust Agreement shall be construed
to release the Property Trustee from liability for its own negligent action or
its own negligent failure to act) or willful misconduct with respect to such
acts or omissions.  To the extent that, at law or in equity, the
Regular Trustees have duties (including fiduciary duties) and liabilities
relating thereto to the Trust or to the Securityholders, the Regular Trustees
shall not be liable to the Trust or to any Securityholder for the Regular
Trustees’ good faith reliance on the provisions of this Trust
Agreement.  The provisions of this Trust Agreement, to the extent that
they restrict the duties and liabilities of the Regular Trustees otherwise
existing at law or in equity, are agreed by the Sponsoror and the
Securityholders to replace such other duties and liabilities of the Regular
Trustees.

       

      (b)           All
payments made by the Property Trustee or any other Paying Agent in respect
of the Trust Securities shall be made only from the income and proceeds
from the Trust Property.  Each Securityholder, by its acceptance of
a Trust Security, agrees that (i) it will look solely to the income and
proceeds from the Trust Property to the extent available for distribution to it
as herein provided and (ii) the Trustees are not personally liable to it for any
amount distributable in respect of any Trust Security or for any other liability
in respect of any Trust Security.  This Section 7.01(b) does not limit
the liability of the Trustees expressly set forth elsewhere in this Trust
Agreement or, in the case of the Property Trustee, in the Trust Indenture
Act.

       

      Section
7.02         Notice of Defaults;
Direct Action by Securityholders.

       

      Within 90
days after the occurrence of any Event of Default actually known to the Property
Trustee, the Property Trustee shall transmit, in the manner and to the extent
provided in Section 10.07, notice of such Event of Default to the
Securityholders, the Regular Trustees and the Sponsor, unless such Event of
Default shall have been cured or waived.  If the Property Trustee has
failed to enforce its rights under this Trust Agreement or the Indenture, any
Securityholder may to the fullest extent permitted by law and subject to the
terms of this Trust Agreement and the Indenture institute a legal proceeding
directly against any Person to enforce the Property Trustee’s rights under this
Trust Agreement or the applicable Indenture with respect to Debentures having a
principal amount equal to the aggregate Liquidation Preference of the Trust
Preferred Securities of such Securityholder without first instituting a legal
proceeding against the Property Trustee or any other Person.  To the
extent that any action under the Indenture is entitled to be taken by the
holders of at least a specified percentage of the principal amount of the
outstanding Debentures, Holders of at least the same percentage of the
Liquidation Preference of the Outstanding Trust Preferred Securities may, to the
fullest extent permitted by law, also take such action in the name of the Trust
if such action has not been taken by the Property
Trustee.  Notwithstanding the foregoing, if a Debenture Event of
Default relating to the Sponsor’s failure to pay the principal of or interest on
the Debentures has occurred and is continuing thereby resulting in an Event of
Default hereunder, then each Holder of Trust Preferred Securities may institute
a legal proceeding directly against the Sponsor for enforcement of payment to
such Holder of interest on or principal of the Debentures equal to the aggregate
Liquidation Preference of the Trust Preferred Securities of such Holder, as
provided in Section ___ of the Indenture.

      
        
           

        

        
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      Section
7.03          Certain Rights of
Property Trustee.

       

      Subject
to the provisions of Section 7.01:

       

      (a)           the
Property Trustee may rely and shall be protected in acting or refraining
from acting in good faith upon any resolution, Opinion of
Counsel, certificate, written representation of a Holder or transferee,
certificate of auditors or any other certificate, statement, instrument,
opinion, report, notice, request, consent, order, appraisal, bond,
debenture, note, other evidence of indebtedness or other paper or document
believed by it to be genuine and to have been signed or presented by the
proper party or parties;

       

      (b)           if,
other than during the occurrence and continuance of an Event of Default,
(i) in performing its duties under this Trust Agreement, the Property
Trustee is required to decide between alternative courses of action or (ii) in
construing any of the provisions in this Trust Agreement, the Property
Trustee finds the same ambiguous or inconsistent with any other provisions
contained herein or (iii) the Property Trustee is unsure of the application
of any provision of this Trust Agreement, then, except as to any matter as to
which the Trust Preferred Security Holders are entitled to vote under the terms
of this Trust Agreement, the Property Trustee shall deliver a notice to the
Sponsor requesting written instructions of the Sponsor as to the course of
action to be taken.  The Property Trustee shall take such action, or
refrain from taking such action, as the Property Trustee shall be instructed in
writing to take, or to refrain from taking, by the Sponsor; provided, however,
that if the Property Trustee does not receive such instructions of the Sponsor
within ten Business Days after it has delivered such notice, or such reasonably
shorter period of time set forth in such notice (which to the extent practicable
shall not be less than five Business Days), it may, but shall be under no duty
to, take or refrain from taking such action not inconsistent with this Trust
Agreement as it shall deem advisable and in the best interests of the
Securityholders, in which event the Property Trustee shall have no liability
except for its own negligent action, its own negligent failure to act or its own
willful misconduct;

       

      (c)           the
Property Trustee may consult with counsel or other experts of its selection
and the advice or opinion of such counsel or other experts with respect to
legal matters or advice within the scope of such experts’ area of expertise
shall be full and complete authorization and protection in respect of any
action taken, suffered or omitted by it hereunder in good faith and
in reliance thereon;

       

      (d)           the
Property Trustee shall be under no obligation to exercise any of the rights
or powers vested in it by this Trust Agreement at the request or direction
of any of the Securityholders pursuant to this Trust Agreement, unless such
Securityholders shall have offered to the Property Trustee reasonable
security or indemnity against the costs, expenses and liabilities which
might be incurred by it in compliance with such request or
direction;

       

      (e)           the
Property Trustee shall not be bound to make any investigation into the
facts or matters stated in any resolution, certificate,
statement, instrument, opinion, report, notice, request, direction,
consent, order, approval, bond, debenture, note or other evidence of
indebtedness or other paper or document, but the Property Trustee, in its
discretion, may make such further inquiry or investigation into such facts
or matters as it may see fit; and

      
        
           

        

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

       

      Section
7.04         Not Responsible for
Recitals or Issuance of Securities.

       

      The
recitals contained herein and in the Trust Securities Certificates shall be
taken as the statements of the Trust, and the Trustees do not assume any
responsibility for their correctness.  The Trustees shall not be
accountable for the use or application by the Sponsor of the proceeds of the
Debentures.

       

      Section
7.05         May Hold
Securities.

       

      Any
Trustee or any other agent of any Trustee or the Trust, in its individual or any
other capacity, may become the owner or pledgee of Trust Securities and, subject
to Sections 7.08 and 7.13 and, except as provided in the definition of the term
“Outstanding” in Article 1, may otherwise deal with the Trust with the same
rights it would have if it were not a Trustee or such other agent.

       

      Section
7.06         Compensation;
Indemnity; Fees.

       

      The
Sponsor agrees:

       

      (a)          to
pay to the Trustees from time to time such compensation as shall have been
agreed in writing with the Sponsor for all services rendered by them hereunder
(which compensation shall not be limited by any provision of law in regard to
the compensation of a trustee of an express trust);

       

      (b)          except
as otherwise expressly provided herein, to reimburse the Trustees upon request
for all reasonable expenses, disbursements and advances incurred or made by the
Trustees in accordance with any provision of this Trust Agreement (including the
reasonable compensation and the expenses and disbursements of its agents and
counsel), except any such expense, disbursement or advance as may be
attributable to its own grossly negligent action, its own grossly negligent
failure to act or its own willful misconduct (or, in the case of the Property
Trustee, any such expense, disbursement or advance as may be attributable its
own negligent action, its own negligent failure to act or its own willful
misconduct); and

      
        
           

        

        
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      (c)           to
the fullest extent permitted by applicable law, to indemnify and hold harmless
each Indemnified Person from and against any loss, damage or claim incurred by
such Indemnified Person by reason of any act or omission performed or omitted by
such Indemnified Person in good faith on behalf of the Trust and in a manner
such Indemnified Person reasonably believed to be within the scope of authority
conferred on such Indemnified Person by the Trust Agreement, except that no
Indemnified Person shall be entitled to be indemnified in respect of any loss,
damage or claim incurred by such Indemnified Person by reason of gross
negligence or willful misconduct (or, in the case of the Property Trustee,
negligence or willful misconduct) with respect to such acts or
omissions.  To the fullest extent permitted by applicable law, the
Trust shall advance, from time to time, expenses (including legal fees) incurred
by an Indemnified Person in defending any claim, demand, action, suit or
proceeding prior to the final disposition of such claim, demand, action, suit or
proceeding upon receipt by the Trust of an undertaking by or on behalf of the
Indemnified Person to repay such amount if it shall be determined that the
Indemnified Person is not entitled to be indemnified for the underlying cause of
action as authorized by this Trust Agreement.  No Trustee may claim
any Lien or charge on any Trust Property as a result of any amount due pursuant
to this Section 7.06.  The provisions of this Section 7.06 shall
survive the termination of this Trust Agreement.

       

      When the
Property Trustee incurs expenses or renders services in connection with a
Debenture Event of Default relating to certain bankruptcy events, the expenses
(including the reasonable charges and expenses of its counsel) and the
compensation for the services are intended to constitute expenses of
administration under any applicable federal or state bankruptcy, insolvency or
other similar law.

       

      Section
7.07          Certain Trustees
Required; Eligibility of Trustees.

       

      (a)           There
shall at all times be a Property Trustee hereunder.  The Property
Trustee shall be a Person that is eligible pursuant to the Trust Indenture Act
to act as such and has a combined capital and surplus of at least
$50,000,000.  If any such Person publishes reports of condition at
least annually, pursuant to law or to the requirements of its supervising or
examining authority, then for the purposes of this Section, the combined capital
and surplus of such Person shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so
published.  If at any time the Property Trustee with respect to the
Trust Securities shall cease to be eligible in accordance with the provisions of
this Section, it shall resign immediately in the manner and with the effect
hereinafter specified in this Article.

       

      (b)           There
shall at all times be two or more Regular Trustees hereunder.

       

      Each
Regular Trustee shall be either a natural person who is at least 21 years of age
or a legal entity that shall act through one or more persons authorized to bind
that entity.

       

      (c)           There
shall at all times be a Delaware Trustee.  The Delaware Trustee shall
either be (i) a natural person who is at least 21 years of age and a resident of
the State of Delaware or (ii) a legal entity with its principal place of
business in the State of Delaware and that otherwise meets the requirements of
applicable Delaware law that shall act through one or more persons authorized to
bind such entity.

       

      Section
7.08          Conflicting
Interests.

       

      If the
Property Trustee has or shall acquire a conflicting interest within the meaning
of the Trust Indenture Act, the Property Trustee shall either eliminate such
interest or resign, to the extent and in the manner provided by, and subject to
the provisions of, the Trust Indenture Act and this Trust
Agreement.
 

      
        
           

        

        
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      Section
7.09          Co-Trustees and
Separate Trustee.

       

      (a)           Unless
an Event of Default shall have occurred and be continuing, at any time or times,
for the purpose of meeting the legal requirements of the Trust Indenture Act or
of any jurisdiction in which any part of the Trust Property may at the time be
located, the Sponsor and the Regular Trustees shall have the power (i) to
appoint, and upon the written request of the Regular Trustees the Sponsor shall
for such purpose join with the Regular Trustees in the execution, delivery, and
performance of all instruments and agreements necessary or proper to appoint,
one or more Persons approved by the Property Trustee either to act as cotrustee,
jointly with the Property Trustee, of all or any part of such Trust Property, or
to the extent required by law to act as separate trustee of any such Trust
Property, in either case with such powers as may be provided in the instrument
of appointment, and (ii) to vest in such Person or Persons in the capacity
aforesaid, any property, title, right or power deemed necessary or desirable,
subject to the other provisions of this Section 7.09(a).  If the
Sponsor does not join in such appointment within 15 days after the receipt by it
of a request so to do, or in case a Debenture Event of Default has occurred and
is continuing, the Property Trustee alone shall have power to make such
appointment.  Any co-trustee or separate trustee appointed pursuant to
this Section shall either be (i) a natural person who is at least 21 years of
age and a resident of the United States or  (ii) a legal entity with its
principal place of business in the United States that shall act through one
or more persons authorized to bind such entity.

       

      (b)           Should
any written instrument from the Sponsor be required by any co-trustee or
separate trustee so appointed for more fully confirming to such co-trustee or
separate trustee such property, title, right, or power, any and all such
instruments shall, on request, be executed, acknowledged, and delivered by the
Sponsor.

       

      (c)           Every
co-trustee or separate trustee shall, to the extent permitted by law, but to
such extent only, be appointed subject to each of the following
terms:

       

      (1)           The
Trust Securities shall be executed and delivered and all rights, powers, duties,
and obligations hereunder in respect of the custody of securities, cash and
other personal property held by, or required to be deposited or pledged with,
the Trustees specified hereunder, shall be exercised solely by such Trustees and
not by such co-trustee or separate trustee.

       

      (2)           The
rights, powers, duties, and obligations hereby conferred or imposed upon the
Property Trustee in respect of any property covered by such appointment shall be
conferred or imposed upon and exercised or performed by the Property Trustee or
by the Property Trustee and such co-trustee or separate trustee jointly, as
shall be provided in the instrument appointing such co-trustee or separate
trustee, except to the extent that under any law of any jurisdiction in which
any particular act is to be performed, the Property Trustee shall be incompetent
or unqualified to perform such act, in which event such rights, powers, duties
and obligations shall be exercised and performed by such cotrustee or separate
trustee.

      
        
           

        

        
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      (3)           The
Property Trustee at any time, by an instrument in writing executed by it, with
the written concurrence of the Sponsor, may accept the resignation of or remove
any co-trustee or separate trustee appointed under this Section 7.09, and, in
case a Debenture Event of Default has occurred and is continuing, the Property
Trustee shall have power to accept the resignation of, or remove, any such
co-trustee or separate trustee without the concurrence of the
Sponsor.  Upon the written request of the Property Trustee, the
Sponsor shall join with the Property Trustee in the execution, delivery, and
performance of all instruments and agreements necessary or proper to effectuate
such resignation or removal.  A successor to any co-trustee or
separate trustee so resigned or removed may be appointed in the manner provided
in this Section 7.09.

       

      (4)           No
co-trustee or separate trustee hereunder shall be personally liable by reason of
any act or omission of the Property Trustee, or any other trustee
hereunder.

       

      (5)           The
Property Trustee shall not be liable by reason of any act of a co-trustee or
separate trustee.

       

      (6)           Any
Act of Holders delivered to the Property Trustee shall be deemed to have been
delivered to each such co-trustee and separate trustee.

       

      Section
7.10         Resignation and
Removal; Appointment of Successor.

       

      (a)          No
resignation or removal of any Trustee and no appointment of a successor Trustee
pursuant to this Article 7 shall become effective until the acceptance of
appointment by the successor Trustee in accordance with the applicable
requirements of Section 7.11.

       

      (b)          Subject
to the immediately preceding paragraph, any Trustee may resign at any time with
respect to the Trust Securities by giving written notice thereof to the
Securityholders.

       

      (c)          Unless
an Event of Default shall have occurred and be continuing, any Trustee may be
removed at any time by Act of the Holder of the Trust Common
Securities.  If an Event of Default shall have occurred and be
continuing, the Property Trustee or the Delaware Trustee, or both of them, may
be removed at such time only by Act of the Holders of at least a Majority in
Liquidation Preference of the Outstanding Trust Preferred Securities, delivered
to such Trustee (in its individual capacity and on behalf of the
Trust).  The Regular Trustees may only be removed by the Holder of
Trust Common Securities at any time.

       

      (d)          If
the instrument of acceptance by the successor Trustee required by Section 7.11
shall not have been delivered to the Trustee within 30 days after the giving of
such notice of resignation or removal, the Trustee may petition, at the expense
of the Sponsor, any court of competent jurisdiction for the appointment of a
successor Trustee.

       

      
        
           

        

        
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      (e)           If any Trustee shall resign, be removed
or become incapable of acting as Trustee, or if a vacancy shall occur in the
office of any Trustee for any cause, at a time when no Event of Default shall
have occurred and be continuing, the Holder of Trust Common Securities, by Act
of the Holder of Trust Common Securities delivered to the retiring Trustee,
shall promptly appoint a successor Trustee or Trustees and the Trust and the
retiring Trustee shall comply with the applicable requirements of Section
7.11.  If the Property Trustee or the Delaware
Trustee shall resign, be removed or become incapable of continuing to act as the
Property Trustee or the Delaware Trustee, as the case may be, at a time when an
Event of Default has occurred and is continuing, the Holders of Trust Preferred
Securities, by Act of the Securityholders of at least a Majority in Liquidation
Preference of the Outstanding Trust Preferred Securities delivered to the
retiring Trustee, shall promptly appoint a successor Trustee or Trustees, and
such successor Trustee shall comply with the applicable requirements of Section
7.11.  If any Regular Trustee shall resign, be
removed or become incapable of acting as an Regular Trustee at a time when an
Event of Default shall have occurred and be continuing, the Holder of Trust
Common Securities shall appoint a successor Regular Trustee.  If no successor Trustee shall have been
so appointed by the Holder of Trust Common Securities or the Holders of Trust
Preferred Securities and accepted appointment in the manner required by Section
7.11, any Securityholder who has been a Securityholder of Trust Securities for
at least six months may, on behalf of himself and all others similarly situated,
petition any court of competent jurisdiction for the appointment of a successor
Trustee.

       

      (f)           The Property Trustee shall give notice
of each resignation and each removal of a Trustee and each appointment of a
successor Trustee to all Securityholders in the manner provided in Section 10.07
and shall give notice to the Sponsor.  Each notice shall include the name of
the successor Trustee and the address of its Corporate Trust Office if it is the
Property Trustee.

       

      (g)           Notwithstanding the foregoing or any
other provision of this Trust Agreement, in the event any Regular Trustee or
Delaware Trustee who is a natural person dies or becomes, in the opinion of the
Sponsor, incompetent or incapacitated, the vacancy created by such death,
incompetence or incapacity may be filled by (i) the unanimous act of the
remaining Regular Trustees if there are at least two of them or (ii) otherwise
by the Sponsor (with the successor in each case being a Person who satisfies the
eligibility requirements for an Regular Trustee or for the Delaware Trustee, as
the case may be, set forth in Section 7.07).

       

      Section
7.11          Acceptance of Appointment by
Successor.

       

      (a)           In case of the appointment hereunder of
a successor Trustee, the retiring Trustee and each successor Trustee shall
execute and deliver to the Trust and the retiring Trustee an amendment hereto
wherein each successor Trustee shall accept such appointment and which (i) shall
contain such provisions as shall be necessary or desirable to transfer and
confirm to, and to vest in, each successor Trustee all the rights, powers,
trusts and duties of the retiring Trustee and (ii) shall add to or change any of
the provisions of this Trust Agreement as shall be necessary to provide for or
facilitate the administration of the trusts hereunder by more than one Trustee,
it being understood that nothing herein or in such amendment shall constitute
such Trustees as cotrustees of the same trust and that each such Trustee shall
be trustee of a trust or trusts hereunder separate and apart from any trust or
trusts hereunder administered by any other such Trustee and upon the execution
and delivery of such amendment the resignation or removal of the retiring
Trustee shall become effective to the extent provided therein and each such
successor Trustee, without any further act, deed or conveyance, shall become
vested with all the rights, powers, trusts and duties of the retiring Trustee
and the Trust; but, on request of the Trust or any successor Trustee, such
retiring Trustee shall, upon payment of its charges, duly assign, transfer and
deliver to such successor Trustee all Trust Property, all proceeds thereof and
money held by such retiring Trustee hereunder.

       

      
        
           

        

        
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      (b)           Upon request of any such successor
Trustee, the Trust shall execute any and all instruments for more fully and
certainly vesting in and confirming to such successor Trustee all such rights,
powers and trusts referred to in the first or second preceding paragraph, as the
case may be.

       

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

       

      Section
7.12          Merger, Conversion, Consolidation or
Succession to Business.

       

      Any
Person into which any of the Trustees that is not a natural person may be merged
or converted or with which it may be consolidated, or any Person resulting from
any merger, conversion or consolidation to which such Trustee shall be a party,
or any Person succeeding to all or substantially all the corporate trust
business of such Trustee, shall be the successor of such Trustee hereunder,
provided such Person shall be otherwise qualified and eligible under Article 7,
without the execution or filing of any paper or any further act on the part of
any of the parties hereto.

       

      Section
7.13          Preferential Collection of Claims
Against Sponsor or Trust.

       

      If and
when the Property Trustee or the Delaware Trustee shall be or become a creditor
(whether directly or indirectly, secured or unsecured) of the Sponsor or the
Trust (or any other obligor upon the Debentures or the Trust Securities),
including under the terms of Section 7.05 hereof, the Property Trustee or the
Delaware Trustee, as the case may be, shall be subject to and shall take all
actions necessary in order to comply with the provisions of the Trust Indenture
Act regarding the collection of claims against the Sponsor or Trust (or any such
other obligor).

       

      Section
7.14          Reports by Property
Trustee.

       

      (a)           The Property Trustee shall transmit to
Holders such reports concerning the Property Trustee and its actions under this
Trust Agreement
as may be required pursuant
to the Trust Indenture Act at the times and in the manner provided pursuant
thereto.  If required by Section 313(a) of the
Trust Indenture Act, the Property Trustee shall, within 60 days after each May
31 following the date of this Trust Agreement deliver to Holders a brief report, dated
as of such May 31, which complies with the provisions of such Section
313(a).

       

      (b)           A copy of each such report shall, at the
time of such transmission to Holders, be filed by the Property Trustee with each
stock exchange upon which any Trust Preferred Securities are then listed, with
the Commission and with the Trust.  The Trust will promptly notify the
Property Trustee when any Trust Preferred Securities are listed on any stock
exchange.

       

      Section
7.15          Reports to the Property
Trustee.

       

      The
Sponsor and the Regular Trustees on behalf of the Trust shall provide to the
Property Trustee such documents, reports and information as required by Section
314 of the Trust Indenture Act (if any) and the compliance certificate required
by Section 314(a) of the Trust Indenture Act in the form, in the manner and at
the times required by Section 314 of the Trust Indenture
Act.  Delivery of such reports, information and documents to the
Property Trustee is for informational purposes only and the Property Trustee’s
receipt of such shall not constitute constructive notice of any information
contained therein, including the Sponsor’s or the Trust’s compliance with any of
its covenants hereunder (as to which the Property Trustee is entitled to rely
exclusively on Officer’s Certificates).

       

      
        
           

        

        
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      Section
7.16          Evidence of Compliance with Conditions
Precedent.

       

      The
Sponsor and the Regular Trustees on behalf of the Trust shall provide to the
Property Trustee evidence of compliance with the conditions precedent, if any,
provided for in this Trust Agreement that relate to any of the matters set forth
in Section 314(c) of the Trust Indenture Act.

       

      Section
7.17          Statements Required in Officer’s
Certificate and Opinion of Counsel.

       

      Each
Officer’s Certificate and Opinion of Counsel with respect to compliance with a
covenant or condition provided for in this Trust Agreement shall
include:

       

      (a)           a statement that each Person making such
Officer’s Certificate or Opinion of Counsel has read such covenant or
condition;

       

      (b)           a brief statement as to the nature and
scope of the examination or investigation upon which the statements or opinions
contained in such Officer’s Certificate or Opinion of Counsel are
based;

       

      (c)           a statement that, in the opinion of each
such Person, such Person has made such examination or investigation as is
necessary to enable such Person to express an informed opinion as to whether or
not such covenant or condition has been complied with; and

       

      (d)           a statement that, in the opinion of such
Person, such covenant or condition has been complied with; provided, however,
that with respect to matters of fact not involving any legal conclusion, an
Opinion of Counsel may rely on an Officer’s Certificate or certificates of
public officials.

       

      Section
7.18          Number of Regular
Trustees.

       

      (a)           The initial number of Regular Trustees
shall be two, provided that the Holder of all of the Trust Common Securities by
written instrument may, subject to the requirements of Section 7.07(b), increase
and/or decrease the number of Regular Trustees.

       

      (b)           If an Regular Trustee ceases to hold
office for any reason and the number of Regular Trustees is not reduced pursuant
to Section 7.18(a), or if the number of Regular Trustees is increased pursuant
to Section 7.18(a), a vacancy shall occur.  The vacancy shall be filled with an
Regular Trustee appointed in accordance with Section 7.10.

       

      (c)           The death, resignation, retirement,
removal, bankruptcy, incompetence or incapacity to perform the duties of an
Regular Trustee shall not operate to annul, dissolve or terminate the
Trust.  Whenever a vacancy shall occur, until
such vacancy is filled by the appointment of an Regular Trustee in accordance
with Section 7.10, the Regular Trustee or Trustees in office, regardless of
their number (and notwithstanding any other provision of this Trust Agreement), shall have all the powers granted to
the Regular Trustees and shall discharge all the duties imposed upon the Regular
Trustees by this Trust
Agreement.

       

      
        
           

        

        
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      Section
7.19          Delegation of Power.

       

      (a)           Any Regular Trustee may, by power of
attorney consistent with applicable law, delegate to any natural person over the
age of 21 his/her power for the purpose of executing any documents contemplated
in Section 2.07(a), including any registration statement or amendment thereto
filed with the Commission, or making any other governmental
filing.

       

      (b)           The Regular Trustees shall have power to
delegate from time to time to such of their number, if there is more than one
Regular Trustee, or to the Sponsor the doing of such things and the execution of
such instruments either in the name of the Trust or the names of the Regular
Trustees or otherwise as the Regular Trustees may deem expedient, to the extent
such delegation is not prohibited by applicable law or contrary to the
provisions of the Trust, as set forth herein.

       

      Section
7.20          Voting.

       

      Except as
otherwise provided in this Trust Agreement, the consent or vote of the Regular
Trustees shall be approved by not less than a majority of the Regular
Trustees.

       

      
        Section
7.21          Delaware
Trustee

        

        (a)          The
Delaware Trustee shall not be personally liable under any circumstances, except
for its own willful misconduct, bad faith or gross negligence.  In
particular, but not by way of limitation:

        

        (i)         
  the Delaware Trustee shall not be personally liable for any error of
judgment made in good faith, except to the extent such error of judgment
constitutes gross negligence on its part;

        

        (ii)           no
provision of this Agreement shall require the Delaware Trustee to expend or risk
its personal funds or otherwise incur any financial liability in the performance
of its rights or powers hereunder, if the Delaware Trustee shall have reasonable
grounds for believing that the payment of such funds or adequate indemnity
against such risk or liability is not reasonably assured or provided to
it;

        

        (iii)          under
no circumstances shall the Delaware Trustee be personally liable for any
representation, warranty, covenant, agreement, or indebtedness of the Trust,
except for such representations, warranties, covenants or agreements made by it
in connection with performing the functions described herein

        

        (iv)          the
Delaware Trustee shall not be personally responsible for or in respect of the
validity or sufficiency of this Agreement or for the due execu­tion hereof
by the Custodial Trustee or the Investment Manager;

        

        (v)           the
Delaware Trustee shall incur no liability to anyone in acting upon any
signature, instrument, notice, resolution, request, consent, order, certificate,
report, opinion, bond or other document or paper reasonably believed by it to be
genuine and reasonably believed by it to be signed by the proper party or
parties.  The Delaware Trustee may accept a certified copy of a
resolution of the board of directors or other governing body of any corporate
party as conclusive evidence that such resolution has been duly adopted by such
body and that the same is in full force and effect.  As to any fact or
matter the manner of ascertain­ment of which is not specifically prescribed
herein, the Delaware Trustee may for all purposes hereof rely on a certificate,
signed by the Custodial Trustee, as to such fact or matter, and such certificate
shall constitute full protection to the Delaware Trustee for any action taken or
omitted to be taken by it in good faith in reliance thereon;

        

        (vi)          in
the exercise or administration of the trust hereunder, the Delaware Trustee (a)
may act directly or through agents or attorneys pursuant to agreements entered
into with any of them, and the Delaware Trustee shall not be liable for the
default or misconduct of such agents or attorneys if such agents or attorneys
shall have been selected by the Delaware Trustee in good faith and with due care
and (b) may consult with counsel, accountants and other skilled persons to be
selected by it in good faith and with due care and employed by it, and it shall
not be liable for anything done, suffered or omitted in good faith by it in
accordance with the advice or opinion of any such counsel, accountants or other
skilled persons; and

        

        (vii)         except
as expressly provided in this Section 7.21, in accepting and performing the
trust hereby created the Delaware Trustee acts solely as trustee hereunder and
not in its individual capacity, and all persons having any claim against the
Delaware Trustee by reason of the transactions contemplated by this Agreement or
the Trust Agreement shall look only to the Trust's property for payment or
satisfaction thereof.

        

        (b)           The
Delaware Trustee (or any successor Trustee) shall be entitled to receive
compensation from the Trust or from the Investment Manager for its services in
accordance with such schedules as shall have been separately agreed to from time
to time by the Delaware Trustee and the Investment Manager.  The
Delaware Trustee may consult with counsel (who may be counsel for the Investment
Manager or for the Delaware Trustee).  The reasonable legal fees
incurred in connection with such consultation shall be reimbursed to the
Delaware Trustee pursuant to this Section 7.21(b), provided that (i) the
Delaware Trustee shall have notified the Investment Manager in advance of
incurring such fees, of the name of counsel and the extent of its
representation, and (ii) no such fees shall be payable to the extent that they
are incurred as a result of the Delaware Trustee's gross negligence, bad faith
or willful misconduct.

        

        (c)           The
Delaware Trustee shall serve for the duration of the Trust and until the earlier
of (i) the effective date of the Delaware Trustee's resignation, or (ii) the
effective date of the removal of the Delaware Trustee.  The Delaware
Trustee may resign at any time by giving thirty (30) days written notice to the
Investment Manager; provided, however, said resignation shall not be effective
until such time as a successor Delaware Trustee has accepted such
appointment.  The Delaware Trustee may be removed at any time by the
Investment Manager by providing thirty (30) days written notice to the Delaware
Trustee; provided, however, such removal shall not be effective until such time
as a successor Delaware Trustee has accepted such appointment.  Upon
the resignation or removal of the Delaware Trustee, the Investment Manager or
the Custodial Trustee shall appoint a successor Delaware Trustee.  If
no successor Delaware Trustee shall have been appointed and shall have accepted
such appointment within forty-five (45) days after the giving of such notice of
resignation or removal, the Delaware Trustee may petition any court of competent
jurisdiction for the appointment of a successor Delaware Trustee.  Any
successor Delaware Trustee appointed in accordance with the terms hereof shall
be eligible to act in such capacity in accordance with this Agreement and,
following compliance with this Section, shall become fully vested with the
rights, powers, duties and obligations of its predecessor under this Agreement,
with like effect as if originally named as Delaware Trustee.

        
           

          
            
               

            

            
              41

              
                

              

            

            
               

            

          

        

         

        (d)           The
Delaware Trustee or any officer, affiliate, director, employee, or agent of the
Delaware Trustee each an "Indemnified Person") shall be entitled to
indemnification from the Investment Manager or the Trust, to the fullest extent
permitted by law, from and against any and all losses, claims, taxes, damages,
reasonable expenses, and liabilities (including liabilities under state or
federal securities laws) of any kind and nature whatsoever (collectively,
"Expenses"), to the extent that such Expenses arise out of or are imposed upon
or asserted against such Indemnified Persons with respect to the creation,
operation or termination of the Trust, the execution, delivery or performance of
this Agreement or the transactions contemplated hereby; provided, however, that the
Investment Manager and the Trust shall not be required to indemnify any
Indemnified Person for any Expenses which are a result of the willful
misconduct, bad faith or gross negligence of such Indemnified
Person.  The obligations of the Investment Manager and the Trust to
indemnify the Indemnified Persons as provided herein shall survive the
termination of this Agreement.

      

       

      ARTICLE 8

      DISSOLUTION AND
LIQUIDATION

       

      Section
8.01          Dissolution Upon Expiration
Date.

       

      Unless
earlier dissolved, the Trust shall automatically dissolve on December 31, ____
(the “Expiration Date”), following the distribution of the Trust Property in
accordance with Section 8.04.

       

      Section
8.02          Early Dissolution.

       

      The
earliest to occur of any of the following events is an “Early Dissolution
Event”:

       

      (a)           the occurrence of a Bankruptcy Event in
respect of, or the dissolution or liquidation of, the
Sponsor;

       

      (b)           upon 30 days’ prior written notice to
the Holders of the Trust Preferred Securities, the delivery of written direction
to the Property Trustee by the Sponsor (which direction is wholly optional and
within the discretion of the Sponsor) to dissolve the Trust and cause the
distribution of a Like Amount of Distributable Debentures to the Securityholders
in exchange for the Trust Preferred Securities in accordance with Section
8.04;

       

      (c)           the redemption of all of the Trust
Securities; and

       

      (d)           an order for dissolution or liquidation
of the Trust shall have been entered by a court of competent
jurisdiction.

       

      Section
8.03          Termination of
Obligations.

       

      The
respective obligations and responsibilities of the Trustees and the Trust
created and continued hereby shall terminate upon the latest to occur of the
following: (i) the distribution by the Property Trustee to Securityholders upon
the liquidation of the Trust pursuant to Section 8.04, or upon the redemption of
all of the Trust Securities pursuant to Section 4.02, of all amounts required to
be distributed hereunder upon the final payment of the Trust Securities; (ii)
the payment of any expenses owed by the Trust; and (iii) the discharge of all
administrative duties of the Regular Trustees, including the performance of any
tax reporting obligations with respect to the Trust or the
Securityholders.

       

      Section
8.04          Dissolution and
Liquidation.

       

      (a)           If an Early Dissolution Event specified
in clause (a), (b) or (d) of Section 8.02 occurs or upon the Expiration Date,
the Trust shall be liquidated by the Regular Trustees and the Property Trustee
as expeditiously as they determine to be possible by distributing, after
satisfaction of liabilities to creditors of the Trust as provided by applicable
law, to each Securityholder a Like Amount of Distributable Debentures, subject
to Sections 2.05(b) and 8.04(d).  Notice of liquidation shall be given by
the Property Trustee by first-class mail, postage prepaid, mailed not later than
30 nor more than 60 days prior to the Liquidation Date to each Holder of Trust
Securities at such Holder’s address appearing in the Securities
Register.  All notices of liquidation
shall:

       

      (1)           state the Liquidation
Date;

       

      (2)           state that from and after the
Liquidation Date, the Trust Securities will no longer be deemed to
be Outstanding and any Trust Securities Certificates not surrendered
for exchange will be deemed to represent the right to receive a Like
Amount of Distributable Debentures, as the case may be;
and

       

      (3)           provide such information with respect to
the mechanics by which Holders may exchange Trust Securities Certificates for
certificates evidencing Distributable Debentures, or, if Section 8.04(d)
applies, receive a Liquidation Distribution, as the Regular Trustees or the
Property Trustee shall deem appropriate.

       

      (b)           In order to effect the liquidation of
the Trust and distribution of the Distributable Debentures to Securityholders,
the Property Trustee shall establish a record date for such distribution (which
shall be one Business Day prior to the Liquidation Date; provided, however, that
in the event that the Trust Preferred Securities are not in book-entry-only
form, such record date shall be the date that is 15 days prior to the
Liquidation Date) and either itself acting as exchange agent or through the
appointment of a separate exchange agent, shall establish such procedures as it
shall deem appropriate to effect the distribution of such Debentures in exchange
for the Outstanding Trust Securities Certificates.

       

      
        
           

        

        
          42

          
            

          

        

        
           

        

      

      (c)           Except where Section 8.02(c) or 8.02(d)
applies, on or after the Liquidation Date (i) the Trust Securities will no
longer be deemed to be Outstanding, (ii) certificates representing a Like Amount
of the Distributable Debentures will be issued to Holders of Trust Securities
Certificates, upon surrender of such certificates to the Regular Trustees or
their agent for exchange, (iii) the Sponsor shall use its best efforts to have
the Distributable Debentures listed on the New York Stock Exchange or such other
exchange as the Trust Preferred Securities are then listed and shall take any
reasonable action necessary to effect the distribution of such Distributable
Debentures, (iv) any Trust Securities Certificates not so surrendered for
exchange will be deemed to represent a Like Amount of Distributable Debentures,
accruing interest at the rate provided for in the Distributable Debentures from
the last Distribution Date on which a Distribution was made on such Trust
Certificates until such certificates are so surrendered (and until such
certificates are so surrendered, no payments or interest or principal will be
made to Holders of Trust Securities Certificates with respect to such
Distributable Debentures) and (v) all rights of Securityholders holding Trust
Securities will cease, except the right of such Securityholders to receive
Distributable Debentures upon surrender of Trust Securities
Certificates.

       

      (d)           In the event that, notwithstanding the
other provisions of this Section 8.04, whether because of the occurrence of a
Bankruptcy Event in respect of the Sponsor, an order for termination entered by
a court of competent jurisdiction or otherwise, distribution of the
Distributable Debentures in the manner provided herein is determined by the
Property Trustee not to be practicable, the Trust Property shall be liquidated,
and the Trust shall be terminated, by the Property Trustee in such manner as the
Property Trustee determines.  In such event, on the date of the
dissolution of the Trust, Securityholders will be entitled to receive out of the
assets of the Trust available for distribution to Securityholders, after
satisfaction of liabilities to creditors of the Trust as provided by applicable
law, an amount equal to $[__] per Trust Security plus accumulated and
unpaid Distributions thereon to the date of payment (such amount being the
“Liquidation Distribution”).  If, upon any such termination, the
Liquidation Distribution can be paid only in part because the Trust has
insufficient assets available to pay in full the aggregate Liquidation
Distribution, then, subject to the next succeeding sentence, the amounts payable
by the Trust on the Trust Securities shall be paid on a pro rata basis (based
upon Liquidation Preferences).  The Holder of the Trust Common
Securities will be entitled to receive Liquidation Distributions upon any such
termination pro rata (determined as aforesaid) with Holders of Trust Preferred
Securities, except that, if a Debenture Event of Default has occurred and is
continuing, the Trust Preferred Securities shall have a priority over the Trust
Common Securities, and no Liquidation Distribution will be paid to the Holders
of the Trust Common Securities unless and until receipt by all Holders of the
Trust Preferred Securities of the entire Liquidation Distribution payable in
respect thereof.

       

      ARTICLE 9

      MERGERS, ETC.

       

      Section
9.01          Mergers, Consolidations, Conversions,
Amalgamations or Replacements of the Trust.

       

      
        
           

        

        
          43

          
            

          

        

        
           

        

      

      The Trust
may not merge with or into, consolidate, convert, amalgamate, or be replaced by,
or convey, transfer or lease its properties and assets as an entirety or
substantially as an entirety to any Person, except as described below or as
described in this Article 9.  The Trust may, at the request of the
Sponsor, with the consent of the Regular Trustees and without the consent of the
Holders of the Trust Preferred Securities, merge with or into, consolidate,
convert, amalgamate, be replaced by or convey, transfer or lease its properties
and assets as an entirety or substantially as an entirety to a trust organized
as such under the laws of any state; provided, that (i) such successor entity
either (a) expressly assumes all of the obligations of the Trust with respect to
the Trust Preferred Securities or (b) substitutes for the Trust Preferred
Securities other securities having substantially the same terms as the Trust
Preferred Securities (the “Successor Securities”) so long as the Successor
Securities rank the same as the Trust Preferred Securities rank with respect to
the payment of Distributions and payments upon liquidation, redemption and
otherwise, (ii) the Sponsor expressly appoints a trustee of such successor
entity possessing the same powers and duties as the Property Trustee as the
holder of the Debentures, the Successor Securities are listed, or any Successor
Securities will be listed upon notification of issuance, on any national
securities exchange or other organization on which the Trust Preferred
Securities are then listed, if any, (iv) such merger, consolidation, conversion,
amalgamation, replacement, conveyance, transfer or lease does not cause the
Trust Preferred Securities (including any Successor Securities) to be downgraded
by any nationally recognized statistical rating organization, (v) such merger,
consolidation, conversion, amalgamation, replacement, conveyance, transfer or
lease does not adversely affect the rights, preferences and privileges of the
Holders of the Trust Preferred Securities (including any Successor Securities)
in any material respect, (vi) such successor entity has a purpose substantially
similar to that of the Trust, (vii) prior to such merger, consolidation,
conversion, amalgamation, replacement, conveyance, transfer or lease, the
Sponsor has received an Opinion of Counsel to the effect that (a) such merger,
consolidation, conversion, amalgamation, replacement, conveyance, transfer or
lease does not adversely affect the rights, preferences and privileges of the
Holders of the Trust Preferred Securities (including any Successor Securities)
in any material respect, and (b) following such merger, consolidation,
conversion, amalgamation, replacement, conveyance transfer or lease, neither the
Trust nor such successor entity will be required to register as an investment
company under the 1940 Act and (viii) the Sponsor or any permitted successor or
assignee owns all of the common securities of such successor entity and
guarantees the obligations of such successor entity under the Successor
Securities at least to the extent provided by the Trust Guarantee and this Trust
Agreement.  Notwithstanding the foregoing, the Trust shall not, except
with the consent of all Holders of the Trust Preferred Securities, merge with or
into, consolidate, convert, amalgamate, be replaced by or convey, transfer or
lease its properties and assets as an entirety or substantially as an entirety
to, any other entity or permit any other entity to consolidate, amalgamate,
merge with or into, or replace it if such consolidation, conversion,
amalgamation, merger, replacement, conveyance, transfer or lease would cause the
Trust or the successor entity to be classified as other than a grantor trust for
United States federal income tax purposes.

       

      ARTICLE 10

      MISCELLANEOUS
PROVISIONS

       

      Section
10.01        Limitation of Rights of
Securityholders.

       

      The
death, incapacity, dissolution, termination, liquidation or bankruptcy of any
Person having an interest, beneficial or otherwise, in Trust Securities shall
not operate to annul, dissolve or terminate the Trust or this Trust Agreement,
nor entitle the legal representatives or heirs of such Person or any
Securityholder for such Person, to claim an accounting, take any action or bring
any proceeding in any court for a partition or winding-up of the arrangements
contemplated hereby, nor otherwise affect the rights, obligations and
liabilities of the parties hereto or any of them.

       

      
        
           

        

        
          44

          
            

          

        

        
           

        

      

      Section
10.02        Amendment.

       

      (a)           This Trust Agreement may be amended from time to time by the
Regular Trustees and the Sponsor, without the consent of any
Securityholders, to cure any ambiguity, to correct or
supplement any provisions in this Trust Agreement that may be inconsistent with any other
provision, or to include any other provisions with respect to matters or
questions arising under this Trust Agreement that shall not be inconsistent with the
other provisions of this Trust Agreement, or (ii) to modify, eliminate or add to
any provisions of this Trust Agreement to such extent as shall be necessary to
ensure that the Trust will be classified for United States federal income tax
purposes as a grantor trust at all times that any Trust Preferred Securities and
Trust Common Securities are Outstanding, to ensure that the Debentures will be
treated as indebtedness of the Companies or to ensure that the Trust will not be
required to register as an investment company under the 1940 Act; provided,
however, that in the case of clause (i) above, such action shall not adversely
affect in any respect the interests of any Holder of Trust Preferred Securities
or Trust Common Securities.  Any amendments of this Trust
Agreement pursuant to this Section 10.02(a) shall
become effective when notice thereof is given to the
Securityholders.

       

      (b)           Except as provided in Section 10.02(a)
and 10.02(c) hereof, any provision of this Trust Agreement may be amended by the Regular Trustees
and the Sponsor with the consent of Holders of at least a Majority in
Liquidation Preference of the Outstanding Trust Preferred
Securities.

       

      (c)           In addition to and notwithstanding any
other provision in this Trust Agreement, without the consent of each affected
Securityholder, this Trust Agreement may not be amended to (i) change the
amount, timing or currency of any Distribution or Liquidation Distribution on
the Trust Securities or otherwise adversely affect the method of payment of any
Distribution or Liquidation Distribution required to be made in respect of the
Trust Securities as of a specified date; (ii) change the redemption provisions
of the Trust Securities; (iii) restrict the right of a Securityholder to
institute suit for the enforcement of any such payment contemplated in (i) or
(ii) above on or after the related payment date; (iv) modify the first sentence
of Section 2.06 hereof, (v) authorize or issue any beneficial interest in the
Trust other than as contemplated by this Trust Agreement as of the date hereof; (vi) change the
conditions precedent for the Sponsor to elect to dissolve the Trust and
distribute the Distributable Debentures to Holders of Trust Preferred Securities
as set forth in Section 8.02; or (vii) affect the limited liability of any
Holder of Trust Preferred Securities, and, notwithstanding any other provision
herein, without the unanimous consent of the Securityholders, paragraphs (b)
and

       

      (d)           of this Section 10.02 may not be
amended.

       

      (e)           Notwithstanding any other provisions of
this Trust
Agreement, no amendment to
this Trust Agreement
shall be made without
receipt by the Trust of an Opinion of Counsel experienced in such matters to the
effect that such amendment or the exercise of any power granted to the Trustees
in accordance with such amendments will not affect the Trust’s status as a
grantor trust for United States federal income tax purposes or its exemption
from regulation as an “investment company” under the 1940
Act.

       

      
        
           

        

        
          45

          
            

          

        

        
           

        

      

      (f)     
      Notwithstanding anything in this Trust
Agreement to the contrary, without the consent of
the Sponsor, this Trust Agreement may not be amended in a manner which
imposes any additional obligation on the Sponsor.

       

      (g)           In the event that any amendment to this
Trust Agreement
is made, the Regular
Trustees shall promptly provide to the Sponsor a copy of such
amendment.

       

      (h)           In executing any amendment to the
Trust Agreement, the Property Trustee shall be entitled
to receive, and (subject to Section 7.01) shall be fully protected in relying
upon, an Officer’s Certificate and Opinion of Counsel stating that the execution
of such amendment is authorized or permitted by this Trust Agreement.  Except as contemplated by Section 7.11,
any Trustee may, but shall not be obligated to, enter into any amendment to this
Trust Agreement
which affects the Trustee’s
own rights, duties or immunities under this Trust Agreement or otherwise.

       

      Section
10.03         Severability.

       

      In case
any provision in this Trust Agreement or in the Trust Securities Certificates
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
10.04         Governing Law.

       

      THIS
TRUST AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF EACH OF THE SECURITYHOLDERS,
THE TRUST AND THE TRUSTEES WITH RESPECT TO THIS TRUST AGREEMENT AND THE TRUST
SECURITIES SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE
STATE OF DELAWARE, WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES.

       

      Section
10.05         Successors and
Assigns.

       

      This
Trust Agreement shall be binding upon and shall inure to the benefit of any
successor to the Trust or successor Trustee or both, including any successor by
operation of law.  Except in connection with a consolidation, merger,
conversion or sale involving the Sponsor that is permitted under Article __ of
the Indenture and pursuant to which the assignee agrees in writing to perform
the Sponsor’s obligations hereunder, the Sponsor shall not assign its
obligations hereunder.

       

      Section
10.06         Headings.

       

      The
Article and Section headings are for convenience only and shall not affect the
construction of this Trust Agreement .

       

      
        
           

        

        
          46

          
            

          

        

        
           

        

      

      Section
10.07        Reports, Notices and
Demands.

       

      (a)           Any report, notice, demand or other
communication which by any provision of this Trust Agreement is required or permitted to be given or
served to or upon any Securityholder or the Sponsor may be given or served in
writing by deposit thereof, first-class postage prepaid in the United States
mail, hand delivery or facsimile transmission, in each case, addressed, (i) in
the case of a Holder of a Trust Preferred Security, to such Holder of a Trust
Preferred Security as such Securityholder’s name and address may appear on the
Securities Register; and (ii) in the case of the Holder of a Common Security or
the Sponsor, to Redwood
Trust, Inc., One Belvedere Place, Suite 300, Mill
Valley, California, 94941,
Attention: _______, facsimile no.: ______.  Such notice, demand or other
communication to or upon a Securityholder shall be deemed to have been
sufficiently given or made, for all purposes, upon hand delivery, mailing or
transmission.

       

      (b)           Any notice, demand or other
communication which by any provision of this Trust Agreement is required or permitted to be given or
served to or upon the Trust, the Property Trustee or the Regular Trustees shall
be given in writing addressed (until another address is published by the Trust)
as follows: with respect to the Property Trustee to
[______], [_______________________________];
(ii) with respect to the Delaware Trustee, to [______], [______________ _________________]; and
(iii) with respect to the Regular Trustees, to the address above for notices to
the Sponsor, marked “Attention: Regular Trustees of Redwood Capital Trust II.” Such notice, demand or other
communication to or upon the Trust or the Property Trustee shall be deemed to
have been sufficiently given or made only upon actual receipt of the writing by
the Trust or the Property Trustee.

       

      Section
10.08         Agreement Not to
Petition.

       

      Each of
the Trustees and the Sponsor agree for the benefit of the Securityholders that,
until at least one year and one day after the Trust has been dissolved in
accordance with Article 8, they shall not file, or join in the filing of, a
petition against the Trust under any Bankruptcy Laws or otherwise join in the
commencement of any proceeding against the Trust under any Bankruptcy
Law.  In the event the Sponsor or any of the Trustees takes action in
violation of this Section 10.08, the Property Trustee agrees, for the benefit of
Securityholders, that at the expense of the Sponsor, it shall file an answer
with the bankruptcy court or otherwise properly contest the filing of such
petition by the Sponsor or any of the Trustees, as applicable, against the Trust
or the commencement of such action and raise the defense that the Sponsor has
agreed in writing not to take such action and should be estopped and precluded
therefrom and such other defenses, if any, as counsel for the Property Trustee
or the Trust may assert.  The provisions of this Section 10.08 shall
survive the dissolution of this Trust Agreement.

       

      Section
10.09        Trust Indenture Act; Conflict with Trust
Indenture Act.

       

      (a)           This Trust Agreement is subject to the provisions of the
Trust Indenture Act that are required to be
part of this Trust Agreement and shall, to the extent applicable, be governed by
such provisions.

       

      (b)           The Property Trustee shall be the only
Trustee which is a trustee for the purposes of the Trust Indenture
Act.

       

      
        
           

        

        
          47

          
            

          

        

        
           

        

      

      (c)           If any provision hereof limits,
qualifies or conflicts with another provision hereof which is required to be
included in this Trust
Agreement by any of the
provisions of the Trust Indenture Act, such required provision shall control.  If any provision of this Trust
Agreement modifies or excludes any provision of the Trust
Indenture Act which may be so modified or excluded, the latter provision shall be
deemed to apply to this Trust Agreement as so modified or excluded, as the case
may be.

       

      (d)           The application of the Trust Indenture
Act to this Trust Agreement
shall not affect the nature
of the Trust Securities as equity securities representing undivided beneficial
interests in the assets of the Trust.

       

      Section
10.10         Acceptance of Terms of Trust Agreement, Guarantees and the Indenture.

       

      THE
RECEIPT AND ACCEPTANCE OF A TRUST SECURITY OR ANY INTEREST THEREIN BY OR ON
BEHALF OF A SECURITYHOLDER OR ANY BENEFICIAL OWNER, WITHOUT ANY SIGNATURE OR
FURTHER MANIFESTATION OF ASSENT, SHALL CONSTITUTE THE UNCONDITIONAL ACCEPTANCE
BY THE SECURITYHOLDER AND ALL OTHERS HAVING A BENEFICIAL INTEREST IN SUCH TRUST
SECURITY OF ALL THE TERMS AND PROVISIONS OF THIS TRUST AGREEMENT AND AGREEMENT
TO THE SUBORDINATION PROVISIONS AND OTHER TERMS OF THE TRUST GUARANTEE, THE
INDENTURE AND THE SUBSIDIARY GUARANTEES, AND SHALL CONSTITUTE THE AGREEMENT OF
THE TRUST, SUCH SECURITYHOLDER AND SUCH OTHERS THAT THE TERMS AND PROVISIONS OF
THIS TRUST AGREEMENT SHALL BE BINDING, OPERATIVE AND EFFECTIVE AS BETWEEN THE
TRUST AND SUCH SECURITYHOLDER AND SUCH OTHERS.

       

      
        
           

        

        
          48

          
            

          

        

        
           

        

      

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

       

      
        
          	
                  REDWOOD
      TRUST, INC.,

                
	
                  as
      Sponsor

                
	 
      
	
                  By:

                	 
      
	 
      
	
                  By:

                	 
      
	 
      	 
      
	
                  [__________],

                
	
                  as
      Property Trustee

                
	 
      	 
      
	
                  By:

                	 
      
	 
      	
                    Name:

                
	 
      	
                    Title:

                
	 
      	 
      
	
                  [__________],

                
	
                  as
      Delaware Trustee

                
	 
      	 
      
	
                  By:

                	 
      
	 
      	
                    Name:

                
	 
      	
                    Title:

                
	 
      	 
      
	 
      	 
      
	
                  [                                           ]

                
	
                  as
      Regular Trustee

                
	 
      
	 
      	 
      
	
                  [                                           ]

                
	
                  as
      Regular Trustee

                

        

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      EXHIBIT
A

       

      
        Certificate
of Trust

        of

        Redwood
Capital Trust II

        

        This
Certificate of Trust of Redwood Capital Trust II (the “Trust”), is being duly
executed and filed by the undersigned, as trustee, to form a statutory trust
under the Delaware Statutory Trust Act (12 Del. Code, § 3801 et seq.) (the “Act”).

        

        
          	
                   
      

                	
                  1.

                	
                  Name.
      The name of the statutory trust formed hereby is Redwood Capital Trust
      II.

                

        

        

        
          	
                   
      

                	
                  2.

                	
                  Delaware
      Trustee. The name and business address of the trustee of the Trust having
      its principal place of business in the State of Delaware are Wells Fargo
      Delaware Trust Company, N.A., 919 North Market Street, Suite 1600,
      Wilmington, Delaware, 19801.

                

        

        

        
          	
                   
      

                	
                  3.

                	
                  Effective
      Date. This Certificate of Trust shall be effective upon its filing with
      the Secretary of State of the State of
Delaware.

                

        

        

        IN
WITNESS WHEREOF, the undersigned has executed this Certificate of Trust in
accordance with Section 3811(a)(1) of the Act.

        

        
          	 
      	
                  WELLS
      FARGO DELAWARE TRUST COMPANY, N.A.,

                
	 
      	
                  not
      in its individual capacity but solely as trustee

                
	 
      	 
      
	 
      	
                  By: /s/
      Tracy M.
      McLamb

                
	 
      	
                  Name: Tracy M.
      McLamb

                
	 
      	
                  Title:
      Vice President

                

        

         

      

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      EXHIBIT
B

       

      THIS
CERTIFICATE IS NOT TRANSFERABLE EXCEPT TO THE EXTENT PROVIDED IN THE TRUST
AGREEMENT (AS DEFINED BELOW)

       

      
        
          
            
              
                	 
      	 
      	
                        NO.
      OF TRUST

                      
	
                          CERTIFICATE
      NO.

                      	 
      	
                        COMMON
      SECURITIES

                      
	
                        TC-1

                      	 
      	
                        [               ]

                      

              

            

          

        

      

       

      CERTIFICATE
EVIDENCING TRUST COMMON SECURITIES

       

      OF

       

      REDWOOD
CAPITAL TRUST II

      [   ]%
TRUST COMMON SECURITIES

      (LIQUIDATION
PREFERENCE $[__]
PER COMMON SECURITY)

       

      Redwood
Capital Trust II, a statutory trust created under the laws of the State of
Delaware (the “Trust”), hereby certifies that Redwood Trust, Inc. (the “Holder”)
is the registered owner of
[             ]
common securities of the Trust representing undivided beneficial interests in
the assets of the Trust and designated as the [   ]% Trust Common
Securities (Liquidation Preference $[__] per Common
Security) (the “Trust Common Securities”). Except as provided in Section 5.10 of
the Trust Agreement (as defined below), the Trust Common Securities are not
transferable and any attempted transfer hereof shall be void. The designations,
rights, privileges, restrictions, preferences and other terms and provisions of
the Trust Common Securities are set forth in, and this certificate and the Trust
Common Securities represented hereby are issued and shall in all respects be
subject to the terms and provisions of, the Amended and Restated Trust Agreement
of the Trust dated as of ______, ____, as the same may be amended from time to
time (the “Trust Agreement”). The Trust will furnish a copy of the Trust
Agreement to the Holder without charge upon written request to the Trust at its
principal place of business or registered office.

       

      Upon
receipt of this certificate, the Holder is bound by the Trust Agreement and is
entitled to the benefits thereunder.

       

      IN
WITNESS WHEREOF, the undersigned Regular Trustees of the Trust have executed
this certificate
this [     ] day of [        ], [    ].

       

      
        
          	
                  REDWOOD
      CAPITAL TRUST II

                	 
      
	 
      	 
      
	
                  By:

                	 
      	
                    By:  

                	 
      
	 
      	
                    Name:

                	 
      	
                    Name:

                
	 
      	
                    Regular
      Trustee

                	 
      	
                    Regular
      Trustee

                

        

      

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      EXHIBIT
C

       

      This
Trust Preferred Security is a Book-Entry Trust Preferred Securities Certificate
within the meaning of the Trust Agreement hereinafter referred to and is
registered in the name of The Depository Trust Company (the “Depository”) or a
nominee of the Depository. This Trust Preferred Security is exchangeable for
Trust Preferred Securities registered in the name of a person other than the
Depository or its nominee only in the limited circumstances described in the
Trust Agreement referred to herein and no transfer of this Trust Preferred
Security (other than a transfer of this Trust Preferred Security as a whole by
the Depository to a nominee of the Depository or by a nominee of the Depository
to the Depository or another nominee of the Depository) may be registered except
in limited circumstances.

       

      Unless
this Trust Preferred Security is presented by an authorized representative of
The Depository Trust Company, a New York corporation (55 Water Street, New York)
to Redwood Capital Trust II or its agent for registration of transfer, exchange
or payment, and any Trust Preferred Security issued is registered in the name of
Cede & Co. or such other name as requested by an authorized representative
of The Depository Trust Company and any payment hereon is made to Cede & Co.
or to such other entity as is requested by an authorized representative of The
Depository Trust Company, ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner
hereof, Cede & Co., has an interest herein.

       

      THIS
CERTIFICATE IS NOT TRANSFERABLE EXCEPT TO THE EXTENT PROVIDED IN THE TRUST
AGREEMENT (AS DEFINED BELOW)

       

      
        
          
            
              
                
                  	 
      	 
      	
                          NO.
      OF TRUST

                        
	
                            CERTIFICATE
      NO.

                        	 
      	
                          COMMON
      SECURITIES

                        
	
                          TP-1

                        	 
      	
                          [               ]

                        
	 
      	 
      	 
      
	
                          CUSIP
      NO.

                        	 
      	
                          AGGREGATE

                          LIQUIDATION
      PREFERENCE

                        
	 
      	 
      	
                          $[                        ]

                        

                

              

            

          

        

      

       

      CERTIFICATE
EVIDENCING TRUST PREFERRED SECURITIES

       

      OF

       

      REDWOOD
CAPITAL TRUST II

       

      [  ]%
TRUST PREFERRED SECURITIES,

      (LIQUIDATION
PREFERENCE $[__]
PER PREFERRED SECURITY)

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Redwood
Capital Trust II, a statutory trust created under the laws of the State of
Delaware (the “Trust”), hereby certifies that Cede & Co. (the “Holder”) is
the registered owner of [ ] preferred securities of the Trust representing
undivided preferred beneficial interests in the assets of the Trust and
designated the Redwood Capital Trust II [ ]% Trust Preferred Securities
(Liquidation Preference $[__] per Preferred
Security) (the “Trust Preferred Securities”). Subject to the terms of Section
5.11 of the Trust Agreement (as defined herein), the Trust Preferred Securities
are freely transferable on the books and records of the Trust, in person or by a
duly authorized attorney, upon surrender of this certificate duly endorsed and
in proper form for transfer as provided in Section 5.04 of the Trust Agreement.
The designations, rights, privileges, restrictions, preferences and other terms
and provisions of the Trust Preferred Securities are set forth in, and this
certificate and the Trust Preferred Securities represented hereby are issued
under and shall in all respects be subject to the terms and provisions of, the
Amended and Restated Trust Agreement of the Trust dated as of ________, ____, as
the same may be amended from time to time (the “Trust Agreement”). The Holder is
entitled to the benefits of the Trust Guarantee Agreement entered into by
Redwood Trust, Inc., a Maryland corporation (“Redwood”), and [______], as trust
guarantee trustee, dated as of ________, ____ (the “Trust Guarantee”) to the
extent provided therein, together with the benefits resulting from the
obligations of Redwood under the Trust Agreement, its [ ]% Junior Subordinated
Debentures, (the “Debentures”) and the Indenture. The Property Trustee will
furnish a copy of the aforementioned agreements and instruments to the Holder
without charge upon written request to the Trust at its principal place of
business.

       

      Upon
receipt of this certificate, the Holder is bound by the Trust Agreement and is
entitled to the benefits thereunder.

       

      Holders
of Trust Preferred Securities shall be entitled to receive cumulative cash
distributions at a rate per annum of [ ]% of the stated liquidation preference
of $[__] per
Trust Preferred Security. Distributions on the Trust Preferred Securities shall,
from the date of original issue, accumulate and be cumulative and shall be
payable quarterly in arrears on March 31, June 30, September 30 and December 31
of each year, commencing on _______, ____.  Amounts available to the
Trust for distribution to the Holders of the Trust Preferred Securities will be
limited to payments received by the Trust on the Debentures. Distributions not
paid on the scheduled payment date will accumulate and compound quarterly (to
the extent permitted by applicable law) at the rate of [ ]% per
annum.

       

      The
amount of Distributions payable for any period will be computed for any full
quarterly Distribution period on the basis of a 360-day year of twelve 30-day
months, except for any period shorter than a full calendar month, in which case
the amount shall be computed on the basis of the actual number of days elapsed
in such period. If the Trust Preferred Securities are in book-entry only form,
Distributions will be payable to the holders of record of the Trust Preferred
Securities as they appear on the books and records of the Trust on the Business
Day prior to the relevant payment dates. If the Trust Preferred Securities are
not in book-entry only form, the relevant record date shall be the date which is
15 days prior to the relevant payment date, whether or not a Business Day. If
Distributions are not paid when scheduled, the accumulated Distributions shall
be paid to the holders of record of the Trust Preferred Securities as they
appear on the books and records of the Trust on the relevant record date as
determined under the Trust Agreement with respect to the actual payment date for
such Distributions. In the event that any date on which a Distribution is
payable is not a Business Day, payment of such Distribution shall be made on the
next succeeding day which is a Business Day (without any additional
Distributions or other payment in respect of any such delay) except that, if
such Business Day falls in the next succeeding calendar year, such payment shall
be made on the immediately preceding Business Day (without any reduction of
Distributions or other payments in respect of such early payment), in each case
with the same force and effect as if made on the date such payment was
originally payable.

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      The Trust
Preferred Securities shall be redeemable as provided in the Trust
Agreement.

       

      Unless
otherwise expressly provided or unless the context otherwise requires,
capitalized terms or phrases used herein and not otherwise defined herein shall
have the meaning or meanings assigned to such terms or phrases in the Trust
Agreement.

       

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

       

      IN
WITNESS WHEREOF, the undersigned Regular Trustees of the Trust have executed
this certificate
this [     ] day of [       ], [    ].

       

      
        
          	
                  REDWOOD
      CAPITAL TRUST II

                
	 
      
	
                  By:

                	 
      
	 
      	
                    Name:

                
	
                  Regular
      Trustee

                
	 
      
	
                  By:

                	 
      
	 
      	
                    Name:

                
	
                  Regular
      Trustee

                

        

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      CERTIFICATE
OF AUTHENTICATION

       

      This
Certificate is one of the issue of Trust Preferred Securities described in the
Trust Agreement.

       

      Date of
Authentication:      [                      ],
[    ].

       

      
        
          	
                  [__________],

                
	
                  as
      Property Trustee

                
	 
      
	
                  By:

                	 
      
	 
      	
                  Authorized
      Signatory

                

        

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ASSIGNMENT

       

      FOR VALUE
RECEIVED, the undersigned assigns and transfers to:

       

      
        
          
            	 
      
	 
      
	
                    (Insert
      assignee’s social security or tax identification
number)

                  
	 
      
	 
      
	
                    (Insert
      address and zip code of assignee)

                  
	 
      
	 
      	
                    Trust
      Preferred Securities represented by this Trust
Preferred

                  
	 
      	
                    Securities
      Certificates and irrevocably appoints

                  
	  
      
	  
      
	
                    agent
      to transfer said Trust Preferred Securities on the books of the
      Trust.  The agent
      may substitute another to act for him or
  her.

                  

          

        

      

      
        
          
            	 
      
	
                    Date:

                  	 
      

          

        

      

      
        
          
            
              
                	
                        Signature:

                      	 
      
	
                        (Sign
      exactly as your name appears in this Trust Preferred Securities
      Certificates)

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