Document:

Exhibit 10.2

 

FORM OF INDEMNIFICATION AGREEMENT

 

THIS INDEMNIFICATION
AGREEMENT (this “Agreement”) is entered into, effective
as of March     , 2010, between Aventine Renewable
Energy Holdings, Inc., a Delaware corporation (the “Company”), and [NAME OF DIRECTOR] (“Indemnitee”).

 

WHEREAS, it is
essential to the Company to retain and attract as directors the most capable
persons available;

 

WHEREAS, Indemnitee is
a director of the Company;

 

WHEREAS, both the
Company and Indemnitee recognize the increased risk of litigation and other
claims currently being asserted against directors of corporations; and

 

WHEREAS, in recognition
of Indemnitee’s need for substantial protection against personal liability in
order to enhance Indemnitee’s continued and effective service to the Company,
and in order to induce Indemnitee to provide continued services to the Company
as a director, the Company wishes to provide in this Agreement for the
indemnification of and the advancement of expenses to Indemnitee to the fullest
extent (whether partial or complete) permitted by applicable law and as set
forth in this Agreement, for the coverage of Indemnitee under the Company’s
directors’ and officers’ liability insurance policies and to supplement and
further the Company’s Certificate of Incorporation, as amended and/or restated
from time to time (the “Certificate”), and the Company’s Bylaws, as
amended and/or restated from time to time, (the “Bylaws”).

 

NOW, THEREFORE, in
consideration of the above premises and of Indemnitee’s continuing to serve as
a director of the Company and intending to be legally bound hereby, the parties
hereto agree as follows:

 

1.             Certain
Definitions:

 

(a)           Board:  The Board of Directors of the Company.

 

(b)           Change in Control: A Change in
Control shall be deemed to occur if:

 

(i)            any
“person,” as such term is defined in Section 3(a)(9) of the
Securities Exchange Act of 1934 (the “Exchange Act”), as modified and
used in Section 13(d) and 14(d) thereof (but not including (a) the
Company or any of its subsidiaries, (b) a trustee or other fiduciary
holding securities under an employee benefit plan of the Company or any of its
subsidiaries, (c) an underwriter temporarily holding securities pursuant
to an offering of such securities, or (d) a company owned, directly or
indirectly, by the stockholders of the Company in substantially the same
proportions as their ownership of stock of the Company) (hereinafter a “Person”)
is or becomes the beneficial owner, as defined in Rule 13d-3 of the
Exchange Act, directly or indirectly, of securities of the Company (not
including in the securities beneficially owned by such Person any 

 

 

securities acquired directly from the Company or its affiliates,
excluding an acquisition resulting from the exercise of a conversion or
exchange privilege in respect of outstanding convertible or exchangeable
securities) representing more than 50% of the combined voting power of the
Company’s then outstanding securities; or

 

(ii)           during
any period of two consecutive years beginning on the date hereof, individuals
who at the beginning of such period constitute the Board, and any new director
(other than a director designated by a Person who has entered into any
agreement with the Company to effect a transaction described in Clause (i), (iii) or
(iv) of this Section) whose election by the Board or nomination for
election by the Company’s stockholders was approved by a vote of at least
two-thirds of the directors then still in office who either were directors at
the beginning of the period or whose election or nomination for election was
previously so approved (each such director, a “Continuing Director”),
cease for any reason to constitute a majority thereof; or

 

(iii)          the
consummation of a merger or consolidation of the Company with any other
company, other than (a) a merger or consolidation which would result in
the voting securities of the Company outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or by being converted
into voting securities of the surviving or acquiring entity), in combination
with the ownership of any trustee or other fiduciary holding securities under
an employee benefit plan of the Company, more than 50% of the combined voting
power of the voting securities of the Company or such surviving or acquiring
entity outstanding immediately after such merger or consolidation, or (b) a
merger or consolidation effected to implement a recapitalization of the Company
(or similar transaction) in which no Person acquires more than 50% of the
combined voting power of the Company’s then outstanding securities; or

 

(iv)          the
stockholders of the Company approve a plan of complete liquidation of the
Company or an agreement for the sale or disposition by the Company of all or
substantially all of the Company’s assets and all required governmental
approvals of such transaction have been obtained.

 

(c)           Disinterested Director:  A director of the Company who is not and was
not a party to the Proceeding in respect of which indemnification is sought by
Indemnitee.

 

(d)           Expenses:  Any direct or indirect expense, including
without limitation, attorneys’ fees, retainers, court costs, transcript costs,
judgments, fines, ERISA excise taxes or penalties and amounts paid in
settlement, fees and expenses of experts and/or consultants, including
accountants and other advisors, travel expenses, duplicating costs, postage,
delivery service fees, filing fees, and all other disbursements or expenses of
the types typically paid or incurred in connection with investigating, defending,
or participating (including on appeal and/or as a witness), or preparing for
any of the foregoing, in any Proceeding relating to any Indemnifiable Event,
and any expenses of establishing a right to indemnification under any of Sections
2, 4 or 5, the Certificate, the Bylaws or Section 145 of
the Delaware General Corporation Law (the “DGCL”), in each case, to the
extent actually and reasonably incurred.

 

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(e)           Indemnifiable Costs: Any and
all Expenses, liability or loss, judgments, fines and amounts paid in
settlement and any interest, assessments, or other charges imposed thereon, and
any federal, state, local, or foreign taxes imposed as a result of the actual
or deemed receipt of any payments under this Agreement that are eligible for
indemnification under applicable law.

 

(f)            Indemnifiable Event:  Any event or occurrence that takes place
either prior to or after the execution of this Agreement, related to the fact
that Indemnitee is or was a director of the Company or any subsidiary of the
Company, or while a director is or was serving at the request of the Company as
a director, officer, trustee, manager, employee or agent of another
corporation, partnership, company, limited liability company, joint venture,
trust, non-profit entity or other enterprise, including service with respect to
any employee benefit plan (collectively, “Official Capacity”), whether
the basis of such Proceeding is alleged action in an Official Capacity, and
whether the Indemnitee is a party to or a witness or other participant in such
Proceeding.

 

(g)           Independent Counsel:  means a law firm, or a member of a law firm,
that is experienced in matters of corporate law and neither presently is, nor
in the past three years has been, retained to represent: (i) the Company
or any of its subsidiaries or affiliates, (ii) the Indemnitee or (iii) any
other party to the Proceeding giving rise to a claim for indemnification or
Expense Advances hereunder, in any matter (other than with respect to matters
relating to indemnification and advancement of expenses).  No law firm or lawyer shall qualify to serve
as Independent Counsel if that person would, under the applicable standards of
professional conduct then prevailing, have a conflict of interest in
representing either the Company or Indemnitee in an action to determine
Indemnitee’s rights under this Agreement. 
The Company shall select a law firm or lawyer to serve as Independent
Counsel, subject to the consent of the Indemnitee, which consent shall not be
unreasonably withheld.

 

(h)           Proceeding:  Any threatened, pending or completed action,
suit or proceeding (including any arbitration or other alternate dispute
resolution mechanism or an inquiry, investigation or administrative hearing),
whether civil, criminal, administrative or investigative (including any appeal
therefrom), that relates to an Indemnifiable Event.

 

(i)            Reviewing Party:  Reviewing Party shall have the meaning
ascribed to such term in Section 3.

 

2.             Agreement
to Indemnify.

 

(a)           General Agreement Regarding
Indemnification.  In the event
Indemnitee was, is, or becomes a party to, is threatened to be made a party to
or witness or other participant in, a Proceeding by reason of (or arising in
part out of) an Indemnifiable Event, the Company shall indemnify Indemnitee
from and against Indemnifiable Costs to the fullest extent permitted by
applicable law (in addition to any indemnification rights provided in the
Certificate or Bylaws), as the same may exist or may hereafter be amended or interpreted
(but in the case of any such amendment or interpretation, only to the extent
that such amendment or interpretation permits the Company to provide broader
indemnification rights than were permitted prior thereto); provided that
the Company’s commitment set forth in this Section 2(a) to
indemnify the 

 

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Indemnitee shall be subject
to the limitations and procedural requirements set forth in this Agreement.

 

(b)           Partial Indemnification.  If Indemnitee is entitled under any provision
of this Agreement to indemnification by the Company for some or a portion of
Indemnifiable Costs, but not, however, for the total amount thereof, the
Company shall nevertheless indemnify Indemnitee for the portion thereof to
which Indemnitee is entitled.

 

(c)           Advancement of Expenses.  The Company shall advance to Indemnitee any
and all Expenses incurred by Indemnitee (an “Expense Advance”) within 5
calendar days after the receipt by the Company of a written request from Indemnitee
for an Expense Advance, whether prior to or after final disposition of any
Proceeding; provided, however, that, if and to the extent that the DGCL
requires, an advancement of Expenses incurred by the Indemnitee in his capacity
as a director of the Company shall be made only upon delivery of an undertaking
by or on behalf of the Indemnitee to repay all amounts so advanced if it
ultimately shall be determined by final judicial decision from which there is
no further right to appeal that the Indemnitee is not entitled to be
indemnified for such Expenses under this Agreement or otherwise.  Indemnitee shall, and hereby undertakes to,
repay to the Company any funds advanced to Indemnitee or paid on Indemnitee’s
behalf if it shall ultimately be determined that Indemnitee is not entitled to
indemnification.  Indemnitee shall make
any such repayment promptly following written notice of any such
determination.  Payment by the Company of
Indemnitee’s expenses in connection with any Proceeding in advance of the final
disposition thereof shall not be deemed an admission by the Company that it
shall ultimately be determined that Indemnitee is entitled to
indemnification.  Any request for an
Expense Advance shall be accompanied by an itemization of the Expenses for
which advancement is sought, and a reasonably detailed summary shall be
provided if the Company so requests. 
Expense Advances shall be made without regard to Indemnitee’s ability to
repay the Expenses.  If Indemnitee has
commenced legal proceedings in the Chancery Court of the State of Delaware to
secure a determination that Indemnitee should be indemnified under applicable
law, as provided in Section 4, any determination made by the
Reviewing Party that Indemnitee would not be permitted to be indemnified under
applicable law shall not be binding and Indemnitee shall not be required to
reimburse the Company for any Expense Advance until a final judicial
determination is made with respect thereto (as to which all rights of appeal
therefrom have been exhausted or have lapsed). 
Indemnitee’s obligation to reimburse the Company for Expense Advances
shall be unsecured and no interest shall be charged thereon.

 

(d)           Exception to Obligation to
Indemnify and Advance Expenses. 
Notwithstanding anything in this Agreement to the contrary, Indemnitee
shall not be entitled to indemnification or advancement pursuant to this
Agreement in connection with any Proceeding initiated by Indemnitee against the
Company or any director or officer of the Company unless (i) the Board or
the Disinterested Directors have authorized the initiation of such Proceeding
or (ii) the Proceeding is one to enforce indemnification rights under Section 5.

 

3.             Reviewing
Party.

 

(a)           Other than as contemplated by Section 3(b),
the person, persons or entity who shall determine whether Indemnitee is
entitled to indemnification in the first instance (the 

 

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“Reviewing Party”)
shall be (i) the Board acting by a majority vote of Disinterested
Directors or (ii) if there are no Disinterested Directors, or if the
Indemnitee so direct, by Independent Counsel in a written determination to the
Board, a copy of which written determination shall be delivered to
Indemnitee.  The persons chosen to make a
determination under this Agreement of the Indemnitee’s entitlement to
indemnification will act reasonably and in good faith in making such
determination.

 

(b)           After a Change in Control (other than
a Change in Control approved by a majority of the Continuing Directors), the
Reviewing Party shall be the Independent Counsel.  With respect to all matters arising from such
a Change in Control concerning the rights of Indemnitee to indemnity payments
and Expense Advances under this Agreement or any other agreement or under applicable
law or the Certificate or the Bylaws now or hereafter in effect relating to
indemnification for Indemnifiable Events, the Company shall seek legal advice
only from the Independent Counsel.   Such
counsel, among other things, shall render its written opinion to the Company
and Indemnitee as to whether and to what extent the Indemnitee should be
permitted to be indemnified under applicable law.  The Company agrees to pay the reasonable fees
of the Independent Counsel and to indemnify fully such counsel against any and
all expenses (including attorneys’ fees), claims, liabilities, loss, and
damages arising out of or relating to this Agreement or the engagement of
Independent Counsel pursuant hereto.

 

4.             Indemnification
Process and Appeal.

 

(a)           Indemnification Payment.

 

(i)            The
determination with respect to Indemnitee’s entitlement to indemnification
shall, to the extent practicable, be made by the Reviewing Party not later than
21 calendar days after receipt by the Company of a written demand on the Company
for indemnification (which written demand shall include such documentation and
information as is reasonably available to Indemnitee and is reasonably
necessary to determine whether and to what extent Indemnitee is entitled to
indemnification).  The Reviewing Party
making the determination with respect to Indemnitee’s entitlement to
indemnification shall notify Indemnitee of such written determination no later
than two business days thereafter.

 

(ii)           Unless
the Reviewing Party has provided a written determination to the Company that
Indemnitee is not entitled to indemnification under applicable law, Indemnitee
shall be entitled to indemnification of Indemnifiable Costs, and shall receive
payment thereof, from the Company in accordance with this Agreement within five
business days after the Reviewing Party has made its determination with respect
to Indemnitee’s entitlement to indemnification.

 

(b)           Suit to Enforce Rights.  If (i) no determination of entitlement
to indemnification shall have been made within the time limitation for such a
determination set forth in Section 4(a)(i), (ii) payment of
indemnification pursuant to Section 4(a)(ii) is not made
within the period permitted for such payment by such section, (iii) the
Reviewing Party determines pursuant to Section 4(a) that
Indemnitee is not entitled to indemnification under this Agreement or (iv) Indemnitee
has not received advancement of Expenses within the time period 

 

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permitted for such
advancement by Section 2(c), then Indemnitee shall have the right
to enforce the indemnification rights granted under this Agreement by
commencing litigation in the Chancery Court of the State of Delaware seeking a
determination by the court or challenging any determination by the Reviewing
Party or any aspect thereof.  The Company
hereby consents to service of process and to appear in any such proceeding and
waives any defense to venue or jurisdiction. 
Alternatively, Indemnitee, at Indemnitee’s option, may seek an adjudication
in arbitration with respect to the enforcement of Indemnitee’s rights under
this Section 4(b) conducted pursuant to the Commercial Arbitration Rules of
the American Arbitration Association. 
The provisions of Delaware law (without regard to its conflict of laws
rules) will apply to such arbitration. 
The Company will not oppose Indemnitee’s right to seek any such
adjudication in arbitration.  Any
determination by the Reviewing Party not challenged by the Indemnitee within 90
days of the date of the Reviewing Party’s determination shall be conclusively
binding on the Company and Indemnitee and shall not thereafter be subject to
challenge.  The parties agree that the
procedures set forth in this Section 4 shall constitute the sole
and exclusive method for resolving any dispute regarding, or determinations
made pursuant to, this Agreement, and that any litigation to enforce any rights
arising under this Agreement shall be filed solely in the Chancery Court of the
State of Delaware.  The remedy provided
for in this Section 4 shall be in addition to any other remedies
available to Indemnitee at law or in equity.

 

(c)           Defense to Indemnification, Burden
of Proof, and Presumptions.

 

(i)            To
the maximum extent permitted by applicable law in making a determination with
respect to entitlement to indemnification (or payment of Expense Advances)
hereunder, the Reviewing Party shall presume that an Indemnitee is entitled to
indemnification (or payment of Expense Advances) under this Agreement, and the
Company shall have the burden of proof to overcome that presumption in
connection with the making by the Reviewing Party of any determination contrary
to that presumption.

 

(ii)           It
shall be a defense to any action brought by Indemnitee against the Company to
enforce this Agreement that it is not permissible under applicable law for the
Company to indemnify Indemnitee for the amount claimed.

 

(iii)          For
purposes of this Agreement, the termination of any claim, action, suit, or
proceeding, by judgment, order, settlement (whether with or without court
approval), conviction, or upon a plea of nolo contendere, or its equivalent,
shall not create a presumption that Indemnitee did not meet any particular
standard of conduct or have any particular belief or that a court has determined
that indemnification is not permitted by applicable law.

 

5.             Indemnification
for Expenses Incurred in Enforcing Rights.  The Company shall indemnify Indemnitee
against any and all Expenses to the fullest extent permitted by law and, if
requested by Indemnitee pursuant to the procedures set forth in Section 2(c),
shall advance such Expenses to Indemnitee, that are incurred by Indemnitee in
connection with any claim asserted against or action brought by Indemnitee for:

 

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(a)           enforcement of this Agreement;

 

(b)           indemnification of Indemnifiable
Costs or Expense Advances by the Company under this Agreement or any other
agreement or under applicable law or the Certificate or Bylaws now or hereafter
in effect relating to indemnification for Indemnifiable Events; and/or

 

(c)           recovery under directors’ and
officers’ liability insurance policies maintained by the Company.

 

6.             Notification
and Defense of Proceeding.

 

(a)           Notice.  Promptly after receipt by Indemnitee of
notice of the commencement of any Proceeding, Indemnitee will, if a claim in
respect thereof is to be made against the Company under this Agreement, notify
the Company of the commencement thereof. 
The failure to notify or promptly notify the Company shall not relieve
the Company from any liability which it may have to the Indemnitee otherwise
than under this Agreement, and shall not relieve the Company from liability
hereunder except to the extent the Company has been prejudiced or as further
provided in Section 6(c).

 

(b)           Defense.  With respect to any Proceeding as to which
Indemnitee notifies the Company of the commencement thereof, the Company will
be entitled to participate in the Proceeding at its own expense.  If the Company has selected counsel to
represent Indemnitee and other current and former directors, officers or
employees of the Company in the defense of a Proceeding, and a majority of such
persons, including Indemnitee, reasonably object to such counsel selected by
the Company pursuant to the first sentence of this Section 6(b),
then such persons, including Indemnitee, shall be permitted to employ one
additional counsel of their choice and the reasonable fees and expenses of such
counsel shall be at the expense of the Company; provided, however,
that such counsel shall, if required by any company with which the Company
obtains or maintains insurance, be approved by such company or chosen from
amongst the list of counsel approved by such company.  In the event separate counsel is retained by a
group of persons including Indemnitee pursuant to this Section 6(b),
the Company shall cooperate with such counsel with respect to the defense of
the Proceeding, including making documents, witnesses and other reasonable
information related to the defense available to such separate counsel pursuant
to joint-defense agreements or confidentiality agreements, as appropriate.  The Company shall not be entitled to assume
the defense of any Proceeding brought by or on behalf of the Company or as to
which Indemnitee shall have made the determination provided for in clause (ii) above.

 

(c)           Settlement of Claims.  The Company shall
not be liable to indemnify Indemnitee under this Agreement or otherwise for any
amounts paid in settlement of any Proceeding effected without the Company’s
written consent.  The Company shall not
settle any Proceeding in any manner that would impose any penalty or limitation
on Indemnitee or include an admission of fault by Indemnitee, without
Indemnitee’s written consent.  Neither
the Company nor the Indemnitee will unreasonably withhold or delay their
consent to any proposed settlement.  The
Company shall not be liable to indemnify the Indemnitee under this Agreement
with regard to any judicial award if the Company was not given a reasonable and
timely opportunity, at its expense, to participate in the defense of such
action; the Company’s liability 

 

7

 

hereunder shall not be
excused if participation in the Proceeding by the Company was barred by this
Agreement.

 

7.             Non-Exclusivity.  The provisions for indemnification and
advancement of Expenses set forth in this Agreement shall not be deemed
exclusive of any other rights which the Indemnitee may have under any provision
of law, the Certificate or the Bylaws, a vote of the Company’s stockholders or
Disinterested Directors, any other agreement, or otherwise, both as to actions
in his Official Capacity and to actions in another capacity while occupying his
position as an agent of the Company, and the Indemnitee’s rights hereunder
shall continue after the Indemnitee has ceased acting as an agent of the
Company and shall inure to the benefit of the heirs, executors and
administrators of the Indemnitee.

 

8.             Liability
Insurance.  The Company
shall (a)  maintain in effect directors’ and officers’ insurance policies
and fiduciary liability insurance policies (collectively, “D&O Insurance
Policies”) with terms, conditions, retentions and limits of liability that
are at least as favorable as those contained in the Company’s D&O Insurance
Policies in effect as of the date hereof (D&O Insurance Policies containing
such terms, conditions, retentions and limits of liability, referred to herein
as “Comparable D&O Insurance Policies”), and, for so long as Indemnitee
serves as a director of the Company and for a period of six (6) years
thereafter, to cause Indemnitee to be covered under such Comparable D&O
Insurance Policies in accordance with their respective terms, and (b) for
a period of not less than six (6) years following the occurrence of (i) a
Change in Control or (ii) the Company ceasing to operate its business as a
going concern, to maintain in effect Comparable D&O Insurance Policies,
and, until the earlier of (x) such time as the Company is no longer required
to maintain such Comparable D&O Insurance Policies pursuant to this clause
(b) or (y) the sixth (6th) anniversary of Indemnitee ceasing to serve as a
director of the Company, to cause Indemnitee to be covered under such
Comparable D&O Insurance Policies in accordance with their respective
terms; provided, however, that in no event shall the Company be
required to expend in any one year an amount in excess of 200% of the annual
premiums currently paid by the Company for its D&O Insurance Policies; provided,
further, that if during the specified period the annual premiums for
Comparable D&O Insurance Policies exceed such amount, the Company shall
provide a D&O Insurance Policy which, in the reasonable judgment of the
Company, provides for the best coverage available for a cost not exceeding such
amount.

 

9.             Amendment
of this Agreement.  No
supplement, modification, or amendment of this Agreement shall be binding
unless executed in writing by both of the parties hereto (including for
clarification any successor to the Company’s obligations following a Change of
Control).  No waiver of any of the
provisions of this Agreement shall operate as a waiver of any other provisions
hereof (whether or not similar), nor shall such waiver constitute a continuing
waiver.  Except as specifically provided
herein, no failure to exercise or any delay in exercising any right or remedy
hereunder shall constitute a waiver thereof.

 

10.           Subrogation.  In the event of payment under this Agreement,
the Company shall be subrogated to the extent of such payment to all of the
rights of recovery of Indemnitee, who shall execute all papers required and
shall do everything that may be reasonably necessary to secure such rights,
including the execution of such documents reasonably necessary 

 

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to enable the Company
effectively to bring suit to enforce such rights, and all of Indemnitee’s
reasonable Expenses related thereto will be borne by the Company.

 

11.           No Duplication of Payments.  The Company shall not be liable under this
Agreement to make any payment in connection with any claim made against
Indemnitee (or pay or reimburse any Indemnifiable Costs or other expenses to
Indemnitee) to the extent Indemnitee has otherwise actually received payment
(under any insurance policy, other right of indemnity or agreement or
otherwise) of the amounts otherwise indemnifiable or payable hereunder.  The Company shall not be liable to indemnify
Indemnitee under this Agreement: (a) for any amounts paid in settlement of
any Proceeding effected without the Company’s written consent, which consent
shall not be unreasonably withheld or delayed, or (b) for any judicial
award if the Company was not given a reasonably timely opportunity to
participate, at its expense, in the defense of such action, but only to the
extent that the failure to be given such reasonably timely opportunity actually
and materially prejudiced the Company’s ability to defend such action.

 

12.           Binding Effect.  This Agreement shall be binding upon and
inure to the benefit of and be enforceable by the parties hereto and their
respective successors, assigns, including any direct or indirect successor by
purchase, merger, consolidation, or otherwise to all or substantially all of
the business and/or assets of the Company, spouses, heirs, and personal and
legal representatives.  The Company shall
require and cause any successor (whether direct or indirect by purchase,
merger, consolidation, or otherwise) to all, substantially all, or a substantial
part, of the business and/or assets of the Company, by written agreement in
form and substance satisfactory to Indemnitee, expressly to assume and agree to
perform this Agreement in the same manner and to the same extent that the
Company would be required to perform if no such succession had taken
place.  This Agreement shall continue in
effect regardless of whether Indemnitee continues to serve as a director of the
Company or of any other enterprise at the Company’s request.

 

13.           Severability.  If any provision (or portion thereof) of this
Agreement shall be held by a court of competent jurisdiction to be invalid,
void, or otherwise unenforceable, the remaining provisions shall remain
enforceable to the fullest extent permitted by law.  Furthermore, to the fullest extent possible,
the provisions of this Agreement (including, without limitation, each portion
of this Agreement containing any provision held to be invalid, void, or
otherwise unenforceable, that is not itself invalid, void, or unenforceable) shall
be construed so as to give effect to the intent manifested by the provision
held invalid, void, or unenforceable.

 

14.           Governing Law.  This Agreement shall be governed by and
construed and enforced in accordance with the laws of the State of Delaware applicable
to contracts made and to be performed in such State without giving effect to
the principles of conflicts of laws.

 

15.           Notices.  All notices, demands, and other
communications required or permitted hereunder shall be made in writing and
shall be deemed to have been duly given if delivered by hand, against receipt,
or mailed, postage prepaid, certified or registered mail, return receipt
requested, and addressed

 

If to the Company:

 

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Aventine Renewable Energy Holdings, Inc.

120 North Parkway

Pekin, IL 61555-1800

Fax: 
309-346-0742

 

If to Indemnitee at:

 

[INDEMNITEE]

[ADDRESS]

 

Notice
of change of address shall be effective only when done in accordance with this
Section.  All notices complying with this
Section shall be deemed to have been received on the date of delivery or
on the third business day after mailing.

 

16.           Primary
Obligor.  The Company
hereby acknowledges that Indemnitee has certain rights to indemnification,
advancement of expenses and/or insurance provided by Indemnitee’s employer(s) and/or
certain affiliates of Indemnitee (collectively, the “Third Party Indemnitors”).  Notwithstanding anything in this Agreement to
the contrary, the Company hereby agrees (i) that the Company is an indemnitor
of first resort (i.e., each of
its obligations to Indemnitee are primary and any obligation of the Third Party
Indemnitors to advance Expenses or to provide indemnification for the same
expenses or liabilities incurred by Indemnitee are secondary), (ii) that
the Company shall be required to advance the full amount of Expenses incurred
by Indemnitee and shall be liable for the full amount of all other payments to
Indemnitee to the extent legally permitted and as required by the terms of this
Agreement or any other agreement between the Company and Indemnitee, without
regard to any rights Indemnitee may have against the Third Party Indemnitors,
and (iii) that the Company irrevocably waives, relinquishes and releases
the Third Party Indemnitors from any and all claims against the Third Party
Indemnitors for contribution, subrogation or any other recovery of any kind in
respect thereof.  The Company further
agrees that no advancement or payment by the Third Party Indemnitors on behalf
of Indemnitee with respect to any claim for which Indemnitee has sought
indemnification from the Company shall affect the foregoing and the Third Party
Indemnitors shall have a right of contribution and/or to be subrogated to the
extent of such advancement or payment to all of the rights of recovery of
Indemnitee against the Company.  The
Company and Indemnitee agree that the Third Party Indemnitors are express third
party beneficiaries of the terms of this Section 16.

 

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IN WITNESS WHEREOF, the parties
hereto have duly executed and delivered this Agreement as of the day specified
above.

 

	
  COMPANY:

  	
  AVENTINE RENEWABLE ENERGY HOLDINGS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  INDEMNITEE:

  	
  [INDEMNITEE]

  
	
   

  	
   

  
	
   

  	
   

  

 

11Exhibit 4.1

 

Execution Version

 

SUPPLEMENTAL INDENTURE (this
“Supplemental Indenture”) dated as of March  19, 2010, among LEVEL 3
COMMUNICATIONS, LLC, a Delaware limited liability company (the “New Guarantor”),
a direct or indirect subsidiary of LEVEL 3 COMMUNICATIONS, INC. (or its
successor), a Delaware corporation (“Parent”), LEVEL 3 FINANCING, INC., a
Delaware corporation (the “Issuer”) on behalf of itself and the Guarantors (the
“Existing Guarantors”), if any, under the Indenture referred to below, and THE
BANK OF NEW YORK MELLON, a New York banking corporation, as trustee under the
indenture referred to below (the “Trustee”).

 

W I T N E S
S E T H :

 

WHEREAS the Issuer and Parent have heretofore
executed and delivered to the Trustee an Indenture dated as of January 20,
2010 (the “Indenture”; capitalized terms used but not defined herein having the
meanings assigned thereto in the Indenture), providing for the issuance of its
10% Senior Notes Due 2018;

 

WHEREAS the Indenture permits the New
Guarantor to execute and deliver to the Trustee a supplemental indenture
pursuant to which the New Guarantor shall unconditionally guarantee all the
Issuer’s obligations under the Securities pursuant to a Guarantee on the terms
and conditions set forth herein;

 

WHEREAS the Guarantee contained in this
Supplemental Indenture shall constitute a “Restricted Subsidiary Guarantee”,
and the New Guarantor shall constitute a “Guarantor”, for all purposes of the
Indenture; and

 

WHEREAS pursuant to Section 901 and Section 1307
of the Indenture, the Trustee and the Issuer are authorized to execute and
deliver this Supplemental Indenture;

 

NOW THEREFORE, in consideration of the
foregoing and for other good and valuable consideration, the receipt of which
is hereby acknowledged, the New Guarantor, the Issuer, the Existing Guarantors
and the Trustee mutually covenant and agree for the equal and ratable benefit
of the holders of the Securities as follows:

 

1.  Agreement
to Guaranty.  The New Guarantor
hereby agrees, jointly and severally with all the existing Guarantors, to
unconditionally guarantee the Issuer’s obligations under the Securities on the
terms and subject to the conditions set forth in Article 13 of the
Indenture and to be bound by all other applicable provisions of the Indenture
and the Securities.

 

2.  Successors
and Assigns.  This Supplemental
Indenture shall be binding upon the New Guarantor and its successors and
assigns and shall enure to the benefit of the successors and assigns of the
Trustee and the Holders and, in the event of any transfer or assignment of
rights by any Holder or the Trustee, the rights and privileges conferred upon
that party in the Indenture and in the Securities shall automatically extend to
and be vested in such transferee or assignee, all subject to the terms and
conditions of this Indenture.

 

1

 

3.  No
Waiver.  Neither a failure nor a
delay on the part of either the Trustee or the Holders in exercising any right,
power or privilege under this Supplemental Indenture, the Indenture or the
Securities shall operate as a waiver thereof, nor shall a single or partial
exercise thereof preclude any other or further exercise of any right, power or
privilege.  The rights, remedies and
benefits of the Trustee and the Holders herein and therein expressly specified
are cumulative and not exclusive of any other rights, remedies or benefits
which either may have under this Supplemental Indenture, the Indenture or the
Securities at law, in equity, by statute or otherwise.

 

4.  Modification.  No modification, amendment or waiver of any
provision of this Supplemental Indenture, nor the consent to any departure by
the New Guarantor therefrom, shall in any event be effective unless the same
shall be in writing and signed by the Trustee, and then such waiver or consent
shall be effective only in the specific instance and for the purpose for which
given.  No notice to or demand on the New
Guarantor in any case shall entitle the New Guarantor to any other or further
notice or demand in the same, similar or other circumstances.

 

5.  Opinion
of Counsel.  Concurrently with the
execution and delivery of this Supplemental Indenture, the Issuer shall deliver
to the Trustee an Opinion of Counsel to the effect that this Supplemental
Indenture has been duly authorized, executed and delivered by each of the New
Guarantor and the Issuer and that, subject to the application of bankruptcy,
insolvency, moratorium, fraudulent conveyance or transfer and other similar
laws relating to creditors’ rights generally and to the principles of equity,
whether considered in a proceeding at law or in equity, the Guarantee of the
New Guarantor is a legal, valid and binding obligation of the New Guarantor,
enforceable against the New Guarantor in accordance with its terms.

 

6.  Ratification of Indenture;
Supplemental Indentures Part of Indenture.  Except as expressly amended hereby, the
Indenture is in all respects ratified and confirmed and all the terms,
conditions and provisions thereof shall remain in full force and effect.  This Supplemental Indenture shall form a part
of the Indenture for all purposes, and every holder of Securities heretofore or
hereafter authenticated and delivered shall be bound hereby.

 

7.  Governing
Law.  THIS SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK BUT WITHOUT GIVING EFFECT TO
APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF
THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

 

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

 

9.  Effect
of Headings.  The Section headings
herein are for convenience only and shall not effect the construction thereof.

 

2

 

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

 

	
   

  	
  LEVEL
  3 COMMUNICATIONS, LLC

  
	
   

  	
   

  
	
   

  	
   

  	
  By

  
	
   

  	
   

  	
          /s/
  Sunit S. Patel

  
	
   

  	
   

  	
  Name:
  Sunit S. Patel

  
	
   

  	
   

  	
  Title
  Executive Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  LEVEL 3 FINANCING, INC.,
  on behalf of itself as the Issuer and the Existing Guarantors, if any,

  
	
   

  	
   

  
	
   

  	
   

  	
  By

  
	
   

  	
   

  	
          /s/
  Robin E. Grey

  
	
   

  	
   

  	
  Name: Robin E. Grey 

  
	
   

  	
   

  	
  Title Senior Vice
  President and

  Treasurer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE
  BANK OF NEW YORK MELLON, as Trustee,

  
	
   

  	
   

  
	
   

  	
   

  	
  By

  
	
   

  	
   

  	
          /s/
  Geovanni Barris

  
	
   

  	
   

  	
  Name:
  Geovanni Barris

  
	
   

  	
   

  	
  Title
  Vice President

  
				

 

3

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