Document:

Exhibit
4.1

 

 

 

SINCLAIR BROADCAST GROUP,
INC., as Issuer,

U.S. BANK NATIONAL
ASSOCIATION, as Trustee

SENIOR INDENTURE

Dated as of May 10, 2007

Providing for Issuance of

Senior Debt Securities in
Series

TABLE OF CONTENTS

	
  ARTICLE ONE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DEFINITIONS AND
  OTHER PROVISIONS OF GENERAL APPLICATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 101.

  	
   

  	
  Definitions.

  	
   

  	
  7

  
	
  Section 102.

  	
   

  	
  Other Definitions.

  	
   

  	
  17

  
	
  Section 103.

  	
   

  	
  Compliance Certificates and Opinions.

  	
   

  	
  18

  
	
  Section 104.

  	
   

  	
  Form of Documents Delivered to Trustee.

  	
   

  	
  18

  
	
  Section 105.

  	
   

  	
  Acts of Holders.

  	
   

  	
  19

  
	
  Section 106.

  	
   

  	
  Notices, etc., to Trustee, the Company and any
  Guarantor.

  	
   

  	
  20

  
	
  Section 107.

  	
   

  	
  Notice to Holders; Waiver.

  	
   

  	
  21

  
	
  Section 108.

  	
   

  	
  Conflict with Trust Indenture Act.

  	
   

  	
  21

  
	
  Section 109.

  	
   

  	
  Effect of Headings and Table of Contents.

  	
   

  	
  22

  
	
  Section 110.

  	
   

  	
  Successors and Assigns.

  	
   

  	
  22

  
	
  Section 111.

  	
   

  	
  Separability Clause.

  	
   

  	
  22

  
	
  Section 112.

  	
   

  	
  Benefits of Indenture.

  	
   

  	
  22

  
	
  Section 113.

  	
   

  	
  Governing Law.

  	
   

  	
  22

  
	
  Section 114.

  	
   

  	
  Legal Holidays.

  	
   

  	
  22

  
	
  Section 115.

  	
   

  	
  Schedules and Exhibits.

  	
   

  	
  22

  
	
  Section 116.

  	
   

  	
  Counterparts.

  	
   

  	
  23

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TWO

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SECURITY FORMS

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 201.

  	
   

  	
  Forms Generally.

  	
   

  	
  23

  
	
  Section 202.

  	
   

  	
  Form of and Provisions Required in Global Security.

  	
   

  	
  23

  
	
  Section 203.

  	
   

  	
  Form of Trustee’s Certificate of Authentication.

  	
   

  	
  24

  
	
  Section 204.

  	
   

  	
  Form of Guarantee of Each of the Guarantors.

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE THREE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE SECURITIES

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 301.

  	
   

  	
  Amount Unlimited; Issuable in Series.

  	
   

  	
  25

  
	
  Section 302.

  	
   

  	
  Denominations.

  	
   

  	
  29

  
	
  Section 303.

  	
   

  	
  Execution, Authentication, Delivery and Dating.

  	
   

  	
  30

  
	
  Section 304.

  	
   

  	
  Temporary Securities.

  	
   

  	
  31

  
	
  Section 305.

  	
   

  	
  Global Securities.

  	
   

  	
  31

  
	
  Section 306.

  	
   

  	
  Registration, Registration of Transfer and Exchange.

  	
   

  	
  33

  
	
  Section 307.

  	
   

  	
  Mutilated, Destroyed, Lost and Stolen Securities.

  	
   

  	
  34

  
	
  Section 308.

  	
   

  	
  [RESERVED]

  	
   

  	
  35

  
	
  Section 309.

  	
   

  	
  Payment of Interest; Interest Rights Preserved.

  	
   

  	
  35

  

 

 2
 

 

	
  Section 310.

  	
   

  	
  Persons Deemed Owners.

  	
   

  	
  36

  
	
  Section 311.

  	
   

  	
  Cancellation.

  	
   

  	
  37

  
	
  Section 312.

  	
   

  	
  Computation of Interest.

  	
   

  	
  37

  
	
  Section 313.

  	
   

  	
  CUSIP Numbers.

  	
   

  	
  38

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE FOUR

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DEFEASANCE AND
  COVENANT DEFEASANCE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 401.

  	
   

  	
  Company’s Option to Effect Defeasance or Covenant
  Defeasance.

  	
   

  	
  38

  
	
  Section 402.

  	
   

  	
  Defeasance and Discharge.

  	
   

  	
  38

  
	
  Section 403.

  	
   

  	
  Covenant Defeasance.

  	
   

  	
  39

  
	
  Section 404.

  	
   

  	
  Conditions to Defeasance or Covenant Defeasance.

  	
   

  	
  39

  
	
  Section 405.

  	
   

  	
  Deposited Money and U.S. Government Obligations to
  Be Held in Trust; Other Miscellaneous Provisions.

  	
   

  	
  42

  
	
  Section 406.

  	
   

  	
  Reinstatement.

  	
   

  	
  42

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE FIVE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  REMEDIES

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 501.

  	
   

  	
  Events of Default.

  	
   

  	
  43

  
	
  Section 502.

  	
   

  	
  Acceleration of Maturity; Rescission and Annulment.

  	
   

  	
  45

  
	
  Section 503.

  	
   

  	
  Collection of Indebtedness and Suits for Enforcement
  by Trustee.

  	
   

  	
  46

  
	
  Section 504.

  	
   

  	
  Trustee May File Proofs of Claim.

  	
   

  	
  47

  
	
  Section 505.

  	
   

  	
  Trustee May Enforce Claims without Possession of
  Securities.

  	
   

  	
  47

  
	
  Section 506.

  	
   

  	
  Application of Money Collected.

  	
   

  	
  48

  
	
  Section 507.

  	
   

  	
  Limitation on Suits.

  	
   

  	
  48

  
	
  Section 508.

  	
   

  	
  Unconditional Right of Holders to Receive Principal,
  Premium and Interest.

  	
   

  	
  49

  
	
  Section 509.

  	
   

  	
  Restoration of Rights and Remedies.

  	
   

  	
  49

  
	
  Section 510.

  	
   

  	
  Rights and Remedies Cumulative.

  	
   

  	
  49

  
	
  Section 511.

  	
   

  	
  Delay or Omission Not Waiver.

  	
   

  	
  49

  
	
  Section 512.

  	
   

  	
  Control by Holders.

  	
   

  	
  50

  
	
  Section 513.

  	
   

  	
  Waiver of Past Defaults.

  	
   

  	
  50

  
	
  Section 514.

  	
   

  	
  Undertaking for Costs.

  	
   

  	
  50

  
	
  Section 515.

  	
   

  	
  Waiver of Stay, Extension or Usury Laws.

  	
   

  	
  51

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE SIX

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE TRUSTEE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 601.

  	
   

  	
  Notice of Defaults.

  	
   

  	
  51

  
	
  Section 602.

  	
   

  	
  Certain Rights of Trustee.

  	
   

  	
  51

  
	
  Section 603.

  	
   

  	
  Trustee Not Responsible for Recitals, Dispositions
  of Securities or Application of Proceeds Thereof.

  	
   

  	
  53

  
	
  Section 604.

  	
   

  	
  Trustee and Agents May Hold Securities; Collections;
  etc.

  	
   

  	
  53

  
	
  Section 605.

  	
   

  	
  Money Held in Trust.

  	
   

  	
  53

  

 

 3
 

 

	
  Section 606.

  	
   

  	
  Compensation and Indemnification of Trustee and Its
  Prior Claim.

  	
   

  	
  53

  
	
  Section 607.

  	
   

  	
  Conflicting Interests.

  	
   

  	
  54

  
	
  Section 608.

  	
   

  	
  Corporate Trustee Required; Eligibility.

  	
   

  	
  54

  
	
  Section 609.

  	
   

  	
  Resignation and Removal; Appointment of Successor Trustee.

  	
   

  	
  55

  
	
  Section 610.

  	
   

  	
  Acceptance of Appointment by Successor.

  	
   

  	
  56

  
	
  Section 611.

  	
   

  	
  Merger, Conversion, Consolidation or Succession to
  Business.

  	
   

  	
  58

  
	
  Section 612.

  	
   

  	
  Preferential Collection of Claims Against Company.

  	
   

  	
  58

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE SEVEN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  HOLDERS’ LISTS
  AND REPORTS BY TRUSTEE AND COMPANY

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 701.

  	
   

  	
  Company to Furnish Trustee Names and Addresses of
  Holders.

  	
   

  	
  59

  
	
  Section 702.

  	
   

  	
  Disclosure of Names and Addresses of Holders.

  	
   

  	
  59

  
	
  Section 703.

  	
   

  	
  Reports by Trustee.

  	
   

  	
  59

  
	
  Section 704.

  	
   

  	
  Reports by Company and Guarantors.

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE EIGHT

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  CONSOLIDATION,
  MERGER, CONVEYANCE, TRANSFER OR LEASE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 801.

  	
   

  	
  Company or Any Guarantor May Consolidate, etc., Only
  on Certain Terms.

  	
   

  	
  60

  
	
  Section 802.

  	
   

  	
  Successor Substituted.

  	
   

  	
  62

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE NINE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SUPPLEMENTAL
  INDENTURES

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 901.

  	
   

  	
  Supplemental Indentures and Agreements without
  Consent of Holders.

  	
   

  	
  63

  
	
  Section 902.

  	
   

  	
  Supplemental Indentures and Agreements with Consent
  of Holders.

  	
   

  	
  64

  
	
  Section 903.

  	
   

  	
  Execution of Supplemental Indentures and Agreements.

  	
   

  	
  65

  
	
  Section 904.

  	
   

  	
  Effect of Supplemental Indentures.

  	
   

  	
  65

  
	
  Section 905.

  	
   

  	
  Conformity with Trust Indenture Act.

  	
   

  	
  66

  
	
  Section 906.

  	
   

  	
  Reference in Securities to Supplemental Indentures.

  	
   

  	
  66

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TEN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  COVENANTS

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1001.

  	
   

  	
  Payment of Principal, Premium and Interest.

  	
   

  	
  66

  
	
  Section 1002.

  	
   

  	
  Maintenance of Office or Agency.

  	
   

  	
  66

  
	
  Section 1003.

  	
   

  	
  Money for Security Payments to Be Held in Trust.

  	
   

  	
  67

  
	
  Section 1004.

  	
   

  	
  Corporate Existence.

  	
   

  	
  68

  
	
  Section 1005.

  	
   

  	
  Payment of Taxes and Other Claims.

  	
   

  	
  68

  
	
  Section 1006.

  	
   

  	
  Maintenance of Properties.

  	
   

  	
  69

  
	
  Section 1007.

  	
   

  	
  Insurance.

  	
   

  	
  69

  
	
  Section 1008.

  	
   

  	
  Statement by Officers as to Default.

  	
   

  	
  69

  
	
  Section 1009.

  	
   

  	
  Waiver of Certain Covenants.

  	
   

  	
  70

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

 4
 

 

	
  ARTICLE ELEVEN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  REDEMPTION OF
  SECURITIES

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1101.

  	
   

  	
  Rights of Redemption.

  	
   

  	
  70

  
	
  Section 1102.

  	
   

  	
  Applicability of Article.

  	
   

  	
  70

  
	
  Section 1103.

  	
   

  	
  Election to Redeem; Notice to Trustee.

  	
   

  	
  70

  
	
  Section 1104.

  	
   

  	
  Selection by Trustee of Securities to Be Redeemed.

  	
   

  	
  71

  
	
  Section 1105.

  	
   

  	
  Notice of Redemption.

  	
   

  	
  71

  
	
  Section 1106.

  	
   

  	
  Deposit of Redemption Price.

  	
   

  	
  72

  
	
  Section 1107.

  	
   

  	
  Securities Payable on Redemption Date.

  	
   

  	
  72

  
	
  Section 1108.

  	
   

  	
  Securities Redeemed or Purchased in Part.

  	
   

  	
  73

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TWELVE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SATISFACTION AND
  DISCHARGE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1201.

  	
   

  	
  Satisfaction and Discharge of Indenture.

  	
   

  	
  73

  
	
  Section 1202.

  	
   

  	
  Application of Trust Money.

  	
   

  	
  74

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE THIRTEEN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  GUARANTEE

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1301.

  	
   

  	
  Guarantors’ Guarantee.

  	
   

  	
  75

  
	
  Section 1302.

  	
   

  	
  Continuing Guarantee; No Right of Set-Off;
  Independent Obligation.

  	
   

  	
  75

  
	
  Section 1303.

  	
   

  	
  Guarantee Absolute.

  	
   

  	
  76

  
	
  Section 1304.

  	
   

  	
  Right to Demand Full Performance.

  	
   

  	
  78

  
	
  Section 1305.

  	
   

  	
  Waivers.

  	
   

  	
  78

  
	
  Section 1306.

  	
   

  	
  The Guarantors Remain Obligated in Event the Company
  Is No Longer Obligated to Discharge Indenture Obligations

  	
   

  	
  79

  
	
  Section 1307.

  	
   

  	
  Fraudulent Conveyance; Contribution Subrogation.

  	
   

  	
  79

  
	
  Section 1308.

  	
   

  	
  Guarantee Is in Addition to Other Security.

  	
   

  	
  80

  
	
  Section 1309.

  	
   

  	
  Release of Security Interests.

  	
   

  	
  80

  
	
  Section 1310.

  	
   

  	
  No Bar to Further Actions.

  	
   

  	
  80

  
	
  Section 1311.

  	
   

  	
  Failure to Exercise Rights Shall Not Operate as a
  Waiver; No Suspension of Remedies.

  	
   

  	
  81

  
	
  Section 1312.

  	
   

  	
  Trustee’s Duties; Notice to Trustee.

  	
   

  	
  81

  
	
  Section 1313.

  	
   

  	
  Successors and Assigns.

  	
   

  	
  81

  
	
  Section 1314.

  	
   

  	
  Release of Guarantee.

  	
   

  	
  81

  
	
  Section 1315.

  	
   

  	
  Execution of Guarantee.

  	
   

  	
  82

  

 

 5
 

 

Reconciliation and tie
between Trust Indenture Act of 1939, as amended,

and Indenture,
dated as of May 10, 2007

 

	
  Trust Indenture Act Section

  	
   

  	
  Indenture
  Section

  
	
   

  	
   

  	
   

  
	
  ss. 310 (a)(1)

  	
   

  	
  608 (a)(2)

  
	
  608 (b)

  	
   

  	
  607, 609 ss. 311
  (a)

  
	
  612 ss. 312 (a)

  	
   

  	
  701 (b)

  
	
  702 (c)

  	
   

  	
  702 ss. 313 (a)

  
	
  703 (c)

  	
   

  	
  703, 704 ss. 314
  (a)

  
	
  704 (a)(4)

  	
   

  	
  1008 (c)(1)

  
	
  103, 104, 404,
  1103 (c)(2)

  	
   

  	
  103, 104, 404,
  1103 (e)

  
	
  103 ss. 315 (a)

  	
   

  	
  602, 903 (b)

  
	
  601 (c)

  	
   

  	
  (602) (d)

  
	
  602 (e)

  	
   

  	
  514 ss. 316 (a)
  (last sentence)

  
	
  101
  (“Outstanding”) (a)(1)(A)

  	
   

  	
  502, 512
  (a)(1)(A)

  
	
  513 (a)(1)(B)

  	
   

  	
  513 (b)

  
	
  508 (c)

  	
   

  	
  105 ss. 317
  (a)(1)

  
	
  503 (a)(2)

  	
   

  	
  504 (b)

  
	
  1003 ss. 318 (a)

  	
   

  	
  108

  

 

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

 6

 

INDENTURE, dated as of 
May 10, 2007, between SINCLAIR BROADCAST GROUP, INC., a Maryland
corporation (the “Company”), and U.S. Bank National Association, a national
banking association organized under the laws of the United States of America,
as trustee (the “Trustee”).

RECITALS OF THE COMPANY

The Company has duly authorized the execution and
delivery of this Indenture to provide for the issuance from time to time of its
unsubordinated debentures, notes or other evidences of indebtedness (“Securities”)
to be issued in one or more series as herein provided.

This Indenture is subject to, and shall be governed
by, the provisions of the Trust Indenture Act that are required to be part of
and to govern indentures qualified under the Trust Indenture Act.

All acts and things necessary have been done to make
(i) the Securities of any series, when their terms have been determined in
accordance with this Indenture and when executed by the Company and
authenticated and delivered hereunder and duly issued by the Company, the valid
obligations of the Company, (ii) the Guarantees, if and when executed by each
of the Guarantors and delivered hereunder, the valid obligation of each of the
Guarantors and (iii) this Indenture a valid agreement of the Company and, if
applicable, each of the Guarantors in accordance with the terms of this
Indenture.

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

For and in consideration of the premises and the
purchase of the Securities by the Holders thereof, it is mutually covenanted
and agreed, for the equal and proportionate benefit of all Holders of the
Securities or of any series thereof, as follows:

ARTICLE ONE

DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

Section 101.           Definitions.

For all purposes of this Indenture, except as otherwise
expressly provided or as set forth pursuant to Section 301 or unless the
context otherwise requires:

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

(b)           all other terms used
herein which are defined in the Trust Indenture Act, either directly or by
reference therein, have the meanings assigned to them therein;

(c)           all accounting terms
not otherwise defined herein have the meanings assigned to them in accordance
with GAAP;

 7
 

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

(e)           all references to $,
US$, dollars or United States dollars shall refer to the lawful currency of the
United States of America.

“Affiliate” means, with respect to any specified
Person, (i) any other Person directly or indirectly controlling or controlled
by or under direct or indirect common control with such specified Person, (ii)
any other Person that owns, directly or indirectly, 5% or more of such Person’s
Equity Interest or any officer or director of any such Person or other Person
or, with respect to any natural Person, any Person having a relationship with
such Person or other Person by blood, marriage or adoption not more remote than
first cousin or (iii) any other Person 10% or more of the voting Equity
Interests of which are beneficially owned or held directly or indirectly by
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 ownership
of voting securities, by contract or otherwise; and the terms “controlling” and
“controlled” have meanings correlative to the foregoing.

“Bank Credit Agreement” means the Third Amended and
Restated Credit Agreement, dated as of December 21, 2006, between Sinclair
Television Group, Inc., the Company, the subsidiaries of Sinclair Television
Group, Inc. identified on the signature pages thereof under the caption “SUBSIDIARY
GUARANTORS,” the lenders named therein and JP Morgan Chase Bank, N.A., as
agent, as such agreement may be further amended, renewed, extended,
substituted, refinanced, restructured, replaced, supplemented or otherwise
modified from time to time (including, without limitation, any successive
renewals, extensions, substitutions, refinancings, restructurings,
replacements, supplementations or other modifications of the foregoing). For
all purposes under this Indenture, “Bank Credit Agreement” shall include any
amendments, renewals, extensions, substitutions, refinancings, restructurings,
replacements, supplements or any other modifications that increase the
principal amount of the Indebtedness or the commitments to lend thereunder.

“Bankruptcy Law” means Title 11, United States
Bankruptcy Code of 1978, as amended, or any similar United States federal or
state law relating to bankruptcy, insolvency, receivership, winding-up,
liquidation, reorganization or relief of debtors or any amendment to,
succession to or change in any such law.

“Bearer Security” means any Security issued hereunder
which is payable to bearer.

“Board of Directors” means the board of directors of
the Company or any Guarantor, as the case may be, or any duly authorized
committee of such board.

 8
 

“Board Resolution” means a copy of a resolution
certified by the Secretary or an Assistant Secretary of the Company or any
Guarantor, as the case may be, to have been duly adopted by the Board of
Directors of such entity and to be in full force and effect on the date of such
certification, and delivered to the Trustee.

“Business Day” means each Monday, Tuesday, Wednesday,
Thursday and Friday which is not a day on which banking institutions in The
City of New York, the State of Maryland or the city in which the Corporate
Trust Office is located are authorized or obligated by law or executive order
to close.

“Capital Lease Obligation” means any obligation of the
Company and its Restricted Subsidiaries on a Consolidated basis under any
capital lease of real or personal property which, in accordance with GAAP, has
been recorded as a capitalized lease obligation.

“Cash Equivalents” means, (i) any evidence of
Indebtedness with a maturity of one year or less from the date of acquisition
issued or directly and fully guaranteed or insured by the United States of
America or any agency or instrumentality thereof (provided that the full faith
and credit of the United States of America is pledged in support thereof); (ii)
certificates of deposit or acceptances with a maturity of one year or less from
the date of acquisition of any financial institution that is a member of the
Federal Reserve System having combined capital and surplus and undivided
profits of not less than $500,000,000; (iii) commercial paper with a maturity
of one year or less from the date of acquisition issued by a corporation that
is not an Affiliate of the Company organized under the laws of any state of the
United States or the District of Columbia and rated A-1 (or higher) according
to S&P or P-1 (or higher) according to Moody’s or at least an equivalent
rating category of another nationally recognized securities rating agency; (iv)
any money market deposit accounts issued or offered by a domestic commercial
bank having capital and surplus in excess of $500,000,000; and (v) repurchase
agreements and reverse repurchase agreements relating to marketable direct
obligations issued or unconditionally guaranteed by the government of the
United States of America or issued by any agency thereof and backed by the full
faith and credit of the United States of America, in each case maturing within
one year from the date of acquisition; provided that the terms of such
agreements comply with the guidelines set forth in the Federal Financial
Agreements of Depository Institutions With Securities Dealers and Others, as
adopted by the Comptroller of the Currency on October 31, 1985.

“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 Exchange Act,
or if at any time after the execution of this Indenture 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.

“Company” means Sinclair Broadcast Group, Inc., a
corporation incorporated under the laws of Maryland, until a successor Person
shall have become such pursuant to the applicable provisions of this Indenture,
and thereafter “Company” shall mean such successor Person.

 9
 

“Company Request” or “Company Order” means a written
request or order signed in the name of the Company by any one of its Chairman
of the Board, its Vice Chairman, its President or a Vice President (regardless
of vice presidential designation), and by any one of its Treasurer, an
Assistant Treasurer, its Secretary or an Assistant Secretary, and delivered to
the Trustee.

“Consolidated Net Worth” means the consolidated equity
of the holders of Equity Interests (excluding Disqualified Equity Interests) of
the Company and its Restricted Subsidiaries, as determined in accordance with
GAAP consistently applied.

“Corporate Trust Office” means the office of the
Trustee or an affiliate or agent thereof at which at any particular time the
corporate trust business for the purposes of this Indenture shall be
principally administered, which office at the date of execution of this
Indenture is located at 1051 East Cary Street, Suite 1150, Richmond, VA 23219.

“Default” means any event which is, or after notice or
passage of any time or both would be, an Event of Default.

“Depositary” means, with respect to the Securities
issued in the form of Global Securities, if any, The Depository Trust Company,
a New York limited purpose corporation, its nominees and successors, or any
other Person designated as the Depositary by the Company pursuant to Section
305(b), in each case registered as a “clearing agency” under the Exchange Act
and maintaining a book-entry system that qualifies for treatment as “registered
form” under Section 163(f) of the Code.

“Disqualified Equity Interests” means any Equity
Interests that, either by their terms or by the terms of any security into
which they are convertible or exchangeable or otherwise, are or upon the
happening of an event or passage of time would be required to be redeemed prior
to any Stated Maturity, (other than upon a change of control of or sale of
assets by the Company in circumstances where the holders of the Securities
would have similar rights), of the principal of the Securities or are
redeemable at the option of the holder thereof at any time prior to any such
Stated Maturity, or are convertible into or exchangeable for debt securities at
any time prior to any such Stated Maturity at the option of the holder thereof.

“Equity Interest” of any Person means any and all
shares, interests, rights to purchase, warrants, options, participations or
other equivalents of or interests in (however designated) corporate stock or
other equity participations, including partnership interests, whether general
or limited, of such Person, including any Preferred Equity Interests.

“Event of Default” has the meaning specified in
Article Five.

“Exchange Act” means the Securities Exchange Act of
1934, as amended.

 10
 

“Fair Market Value” means, with respect to any asset
or property, the sale value that would be obtained in an arm’s-length
transaction between an informed and willing seller under no compulsion to sell
and an informed and willing buyer under no compulsion to buy.

“Film Contract” means contracts with suppliers that
convey the right to broadcast specified films, videotape motion pictures,
syndicated television programs or sports or other programming.

“Generally Accepted Accounting Principles” or “GAAP”
means generally accepted accounting principles in the United States,
consistently applied, which are in effect on the date of this Indenture.

“Global Security” means a Security of any series in
book entry form evidencing all or part of the Securities of any series, issued
to the Depositary or its nominee and registered in the name of the Depositary
or such nominee.

“Guarantee” means, in respect of the Securities of any
series, the guarantee, if any, by any Guarantor, if any, of the Company’s
Indenture Obligations pursuant to a guarantee given in accordance with Section
301 of this Indenture, including, without limitation, the Guarantees by the
Guarantors, if any, included in Article Thirteen of this Indenture.

“Guaranteed Debt” of any Person means, without
duplication, all Indebtedness of any other Person referred to in the definition
of Indebtedness contained in this Section guaranteed directly or indirectly in
any manner by such Person, or in effect guaranteed directly or indirectly by
such Person through an agreement (i) to pay or purchase such Indebtedness or to
advance or supply funds for the payment or purchase of such Indebtedness, (ii)
to purchase, sell or lease (as lessee or lessor) property, or to purchase or
sell services, primarily for the purpose of enabling the debtor to make payment
of such Indebtedness or to assure the holder of such Indebtedness against loss,
(iii) to supply funds to, or in any other manner invest in, the debtor
(including any agreement to pay for property or services without requiring that
such property be received or such services be rendered), (iv) to maintain
working capital or equity capital of the debtor, or otherwise to maintain the
net worth, solvency or other financial condition of the debtor or (v) otherwise
to assure a creditor against loss; provided that the term “guarantee” shall not
include endorsements for collection or deposit, in either case in the ordinary
course of business.

“Guarantor,” as of any time, means, in respect of a
series of Securities, a Subsidiary which provides a Guarantee pursuant to
Section 301 of the Indenture or any other guarantor of the Indenture
Obligations. Guarantors, if any, will be listed as signatories to any
supplemental indenture of any series of Securities which provide for
Guarantees.

“Holder” means a Person in whose name a Security of
any series is registered in the Security Register.

 11
 

“Indebtedness” means, with respect to any Person,
without duplication, (i) all indebtedness of such Person for borrowed money or
for the deferred purchase price of property or services, excluding any trade
payables and other accrued current liabilities arising in the ordinary course
of business, but including, without limitation, all obligations, contingent or
otherwise, of such Person in connection with any letters of credit issued under
letter of credit facilities, acceptance facilities or other similar facilities
and in connection with any agreement to purchase, redeem, exchange, convert or
otherwise acquire for value any Equity Interests of such Person, or any
warrants, rights or options to acquire such Equity Interests, now or hereafter
outstanding, (ii) all obligations of such Person evidenced by bonds, notes, debentures
or other similar instruments, (iii) all indebtedness created or arising under
any conditional sale or other title retention agreement with respect to
property acquired by such Person (even if the rights and remedies of the seller
or lender under such agreement in the event of default are limited to
repossession or sale of such property), but excluding trade payables arising in
the ordinary course of business, (iv) all obligations under Interest Rate
Agreements of such Person, (v) all Capital Lease Obligations of such Person,
(vi) all Indebtedness referred to in clauses (i) through (v) above of other
Persons and all dividends of other Persons, the payment of which is secured by
(or for which the holder of such Indebtedness has an existing right, contingent
or otherwise, to be secured by) any Lien, upon or with respect to property
(including, without limitation, accounts and contract rights) owned by such
Person, even though such Person has not assumed or become liable for the
payment of such Indebtedness, (vii) all Guaranteed Debt of such Person, (viii)
all Disqualified Equity Interests valued at the greater of their voluntary or
involuntary maximum fixed repurchase price plus accrued and unpaid dividends,
and (ix) any amendment, supplement, modification, deferral, renewal, extension,
refunding or refinancing of any liability of the types referred to in clauses
(i) through (viii) above; provided, however, that the term Indebtedness shall
not include (1) any obligations of the Company and its Restricted Subsidiaries
with respect to Film Contracts entered into in the ordinary course of business
and (2) the $200 million aggregate liquidation value of the 115/8% High Yield
Trust Offered Preferred Securities of Sinclair Capital (the “HYTOPS”) and any
other similar instruments issued to replace or refinance the HYTOPS. The amount
of Indebtedness of any Person at any date shall be, without duplication, the
principal amount that would be shown on a balance sheet of such Person prepared
as of such date in accordance with GAAP and the maximum determinable liability
of any Guaranteed Debt referred to in clause (vii) above at such date. The
Indebtedness of the Company and its Restricted Subsidiaries shall not include
any Indebtedness of Unrestricted Subsidiaries so long as such Indebtedness is
non-recourse to the Company and the Restricted Subsidiaries. For purposes
hereof, the “maximum fixed repurchase price” of any Disqualified Equity
Interests which do not have a fixed repurchase price shall be calculated in
accordance with the terms of such Disqualified Equity Interests as if such
Disqualified Equity Interests were purchased on any date on which Indebtedness
shall be required to be determined pursuant to this Indenture, and if such
price is based upon, or measured by, the Fair Market Value of such Disqualified
Equity Interests, such Fair Market Value to be determined in good faith by the
Board of Directors of the issuer of such Disqualified Equity Interests.

 12
 

“Indenture” means this instrument as originally
executed and as it may from time to time be supplemented or amended by one or
more indentures supplemental hereto entered into pursuant to the applicable
provisions hereof, including, for all purposes of this instrument and any such
supplemental indenture, the provisions of the Trust Indenture Act that are
deemed to be a part of and govern this instrument and any such supplemental
indenture, respectively. The term “Indenture” shall also include the terms of
particular series of Securities established as contemplated by Section 301.

“Indenture Obligations” means the obligations of the
Company and any other obligor under this Indenture or under the Securities of
any series, including any Guarantor, to pay principal, premium, if any, and
interest when due and payable under the Securities of that series, and all
other amounts due or to become due under or in connection with this Indenture,
the Securities of that series, and the performance of all other obligations to
the Trustee and the Holders under this Indenture and the Securities of that
series, according to the terms hereof and thereof.

“Independent Director” means a director of the Company
other than a director (i) who (apart from being a director of the Company or
any Subsidiary) is an employee, insider, associate or Affiliate of the Company
or a Subsidiary or has held any such position during the previous five years or
(ii) who is a director, an employee, insider, associate or Affiliate of another
party to the transaction in question.

“Interest Payment Date” means the Stated Maturity of
an installment of interest on the Securities.

“Interest Rate Agreements” means one or more of the
following agreements which shall be entered into by one or more financial
institutions: interest rate protection agreements (including, without
limitation, interest rate swaps, caps, floors, collars and similar agreements)
and any obligations in respect of any Hedging Agreement, as defined in the Bank
Credit Agreement.

“Investments” means, with respect to any Person,
directly or indirectly, any advance, loan (including guarantees), or other
extension of credit or capital contribution to (by means of any transfer of
cash or other property to others or any payment for property or services for
the account or use of others), or any purchase, acquisition or ownership by
such Person of any Equity Interests, bonds, notes, debentures or other
securities or assets issued or owned by any other Person and all other items
that would be classified as investments on a balance sheet prepared in
accordance with GAAP.

“Lien” means any mortgage, charge, pledge, lien
(statutory or otherwise), privilege, security interest, hypothecation or other
encumbrance upon or with respect to any property of any kind (including any
conditional sale or other title retention agreement, any leases in the nature
thereof, and any agreement to give any security interest), real or personal,
movable or immovable, now owned or hereafter acquired.

 13
 

“Maturity” when used with respect to any Security
means the date on which the principal of such Security becomes due and payable
as therein provided or as provided in this Indenture, whether at Stated
Maturity, or the Redemption Date and whether by declaration of acceleration,
call for redemption or otherwise.

“Moody’s” means Moody’s Investors Service, Inc. or any
successor rating agency.

“Officers’ Certificate” means a certificate signed by
the Chairman of the Board, Vice Chairman, the President or a Vice President
(regardless of vice presidential designation), and by the Treasurer, an
Assistant Treasurer, the Secretary or an Assistant Secretary, of the Company or
any Guarantor, as the case may be, and delivered to the Trustee.

“Opinion of Counsel” means a written opinion of
counsel, who may be counsel for the Company, any of the Guarantors or the
Trustee, unless an Opinion of Independent Counsel is required pursuant to the
terms of this Indenture, and who shall be acceptable to the Trustee.

“Opinion of Independent Counsel” means a written
opinion of counsel issued by someone who is not an employee or consultant of
the Company or any Guarantor and who shall be acceptable to the Trustee.

“Original Issue Discount Security” means any Security
which provides for an amount less than the stated principal amount thereof to
be due and payable upon declaration of acceleration of the Maturity thereof
pursuant to Section 301.

“Outstanding” when used with respect to Securities of
any series means, unless otherwise provided pursuant to Section 301, as of the
date of determination, all Securities theretofore authenticated and delivered
under this Indenture, except:

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

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

(c)           Securities, except
to the extent provided in Sections 402 and 403, with respect to which the
Company has effected defeasance or covenant defeasance as provided in Article
Four; and

 14
 

(d)           Securities in
exchange for or in lieu of which other Securities have been authenticated and
delivered pursuant to this Indenture, other than any such Securities in respect
of which there shall have been presented to the Trustee proof reasonably
satisfactory to it that such Securities are held by a bona fide purchaser in
whose hands the Securities are valid obligations of the Company; provided,
however, that in determining whether the Holders of the requisite principal
amount of Outstanding Securities have given any request, demand, authorization,
direction, notice, consent or waiver hereunder, Securities owned by the
Company, any Guarantor, or any other obligor upon the Securities or any
Affiliate of the Company, any Guarantor, or such other obligor shall be
disregarded and deemed not to be Outstanding, except that, in determining
whether the Trustee shall be protected in relying upon any such request,
demand, authorization, direction, notice, consent or waiver, only Securities
which the Trustee knows to be so owned shall be so disregarded. Securities so
owned which have been pledged in good faith may be regarded as Outstanding if
the pledgee establishes to the reasonable satisfaction of the Trustee the
pledgee’s right so to act with respect to such Securities and that the pledgee
is not the Company, any Guarantor or any other obligor upon the Securities or any
Affiliate of the Company, any Guarantor or such other obligor.

“Paying Agent” means any Person authorized by the
Company to pay the principal of, premium, if any, or interest on any Securities
on behalf of the Company.

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

“Predecessor Security” of any particular Security
means every previous Security evidencing all or a portion of the same debt as
that evidenced by such particular Security; and, for the purposes of this
definition, any Security authenticated and delivered under Section 307 in
exchange for a mutilated Security or in lieu of a lost, destroyed or stolen
Security shall be deemed to evidence the same debt as the mutilated, lost,
destroyed or stolen Security.

“Preferred Equity Interest,” as applied to the Equity
Interest of any Person, means an Equity Interest of any class or classes
(however designated) which is preferred as to the payment of dividends or
distributions, or as to the distribution of assets upon any voluntary or
involuntary liquidation or dissolution of such person, over Equity Interests of
any other class of such Person.

“Qualified Equity Interests” of any Person means any
and all Equity Interests of such Person other than Disqualified Equity
Interests.

“Redemption Date” when used with respect to any
Security to be redeemed pursuant to any provision in this Indenture means the
date fixed for such redemption by or pursuant to this Indenture.

“Redemption Price” when used with respect to any
Security to be redeemed pursuant to any provision in this Indenture means the
price at which it is to be redeemed pursuant to this Indenture.

 15
 

“Regular Record Date” for the interest payable on any
Interest Payment Date means the 15th day (whether or not a Business Day) next
preceding such Interest Payment Date.

“Responsible Officer” when used with respect to the
Trustee means any officer assigned to the Corporate Trust Office or the agent
of the Trustee appointed hereunder, including any vice president, assistant
vice president, assistant secretary, or any other officer or assistant officer
of the Trustee or the agent of the Trustee appointed hereunder to whom any
corporate trust matter is referred because of his or her knowledge of and
familiarity with the particular subject.

“Restricted Subsidiary” means a Subsidiary subject to
the covenants or events of default under the agreements governing other
indebtedness of the Company.

“S&P” means Standard & Poor’s Ratings Service,
a division of the McGraw Hill Companies, or any successor rating agency.

“Securities” has the meaning specified in the
Recitals.

“Securities Act” means the Securities Act of 1933, as
amended.

“Security Register” and “Security Registrar” have the
respective meanings specified in Section 306.

“Special Record Date” for the payment of any Defaulted
Interest means a date fixed by the Trustee pursuant to Section 309.

“Stated Maturity” when used with respect to any
Indebtedness or any installment of interest thereon, means the date specified
in such Indebtedness as the fixed date on which the principal of such
Indebtedness or such installment of interest is due and payable.

“Subsidiary” means any Person a majority of the equity
ownership or the Voting Stock of which is at the time owned, directly or
indirectly, by the Company or by one or more other Subsidiaries, or by the
Company and one or more other Subsidiaries.

“Successor Security” of any particular Security means
every Security issued after, and evidencing all or a portion of the same debt
as that evidenced by, such particular Security. For the purposes of this
definition, any Security authenticated and delivered under Section 307 in
exchange for or in lieu of a mutilated, destroyed, lost or stolen Security
shall be deemed to evidence the same debt as the mutilated, destroyed, lost or
stolen Security.

 16
 

“Temporary Cash Investments” means (i) any evidence of
Indebtedness, maturing not more than one year after the date of acquisition,
issued by the United States of America, or an instrumentality or agency thereof
and guaranteed fully as to principal, premium, if any, and interest by the
United States of America, (ii) any certificate of deposit, maturing not more
than one year after the date of acquisition, issued by, or time deposit of, a
commercial banking institution (including the Trustee) that is a member of the
Federal Reserve System and that has combined capital and surplus and undivided
profits of not less than $500,000,000, whose debt has a rating, at the time as
of which any investment therein is made, of “P-1” (or higher) according to
Moody’s or “A-1” (or higher) according to S&P, (iii) commercial paper, maturing
not more than one year after the date of acquisition, issued by a corporation
(other than an Affiliate or Subsidiary of the Company) (including the Trustee)
organized and existing under the laws of the United States of America with a
rating, at the time as of which any investment therein is made, of “P-1” (or
higher) according to Moody’s or “A-1” (or higher) according to S&P and (iv)
any money market deposit accounts issued or offered by a domestic commercial
bank (including the Trustee) having capital and surplus in excess of
$500,000,000.

“Trust Indenture Act” means the Trust Indenture Act of
1939, as amended.

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

“Unrestricted Subsidiary,” with respect to any series
of Securities, shall have the meaning as set forth pursuant to Section 301.

“U.S. Person” means a citizen or resident of the
United States, a corporation, partnership or other entity created or organized
in or under the laws of the United States or any political subdivision thereof,
or an estate or trust, the income of which is subject to United States federal
income taxation regardless of its source.

“Voting Stock” means stock of the class or classes
pursuant to which the holders thereof have the general voting power under
ordinary circumstances to elect at least a majority of the board of directors,
managers or trustees of a corporation (irrespective of whether or not at the
time stock of any other class or classes shall have or might have voting power
by reason of the happening of any contingency).

Section 102.           Other
Definitions.

	
  Term

  	
   

  	
   

  	
   

  	
  Defined in Section

  	
   

  
	
  “Act”

  	
   

  	
  105

  	
   

  
	
  “Agent Members”

  	
   

  	
  305

  	
   

  
	
  “Bearer Global
  Security”

  	
   

  	
  305

  	
   

  
	
  “covenant
  defeasance”

  	
   

  	
  403

  	
   

  
	
  “Defaulted
  Interest”

  	
   

  	
  309

  	
   

  
	
  “defeasance”

  	
   

  	
  402

  	
   

  
	
  “Defeasance
  Redemption Date”

  	
   

  	
  404

  	
   

  
	
  “Defeased
  Securities”

  	
   

  	
  401

  	
   

  
	
  “Global
  Security”

  	
   

  	
  202

  	
   

  
	
  “Physical
  Securities”

  	
   

  	
  305

  	
   

  
	
  “Surviving
  Entity”

  	
   

  	
  801

  	
   

  
	
  “U.S. Government
  Obligations”

  	
   

  	
  404

  	
   

  

 

 17
 

Section 103.           Compliance
Certificates and Opinions.

Upon any application or request by the Company to the
Trustee to take any action under any provision of this Indenture, the Company,
any Guarantor and any other obligor on the Securities of any series shall
furnish to the Trustee an Officers’ Certificate stating that all conditions
precedent, if any, provided for in this Indenture (including any covenants
compliance with which constitutes a condition precedent) relating to the
proposed action have been complied with and an Opinion of Counsel stating that
in the opinion of such counsel all such conditions precedent, if any, have been
complied with, except that, in the case of any such application or request as to
which the furnishing of such documents, certificates and/or opinions is
specifically required by any provision of this Indenture relating to such
particular application or request, no additional certificate or opinion need be
furnished.

Every certificate or Opinion of Counsel with respect
to compliance with a condition or covenant provided for in this Indenture shall
include:

(a)           a statement that
each individual signing such certificate or opinion has read such covenant or
condition and the definitions herein relating thereto;

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

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

(d)           a statement as to
whether, in the opinion of each such individual, such condition or covenant has
been complied with.

Section 104.           Form of
Documents Delivered to Trustee.

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

 18
 

Any certificate or opinion of an officer of the
Company, any Guarantor or other obligor of the Securities of any series may be
based, insofar as it relates to legal matters, upon a certificate or opinion
of, or representations by, counsel, unless such officer knows that the
certificate or opinion or representations with respect to the matters upon
which his certificate or opinion is based are erroneous. Any such certificate
or opinion may be based, insofar as it relates to factual matters, upon a
certificate or opinion of, or representations by, an officer or officers of the
Company, any Guarantor or other obligor of the Securities of any series stating
that the information with respect to such factual matters is in the possession
of the Company, any Guarantor or other obligor of the Securities of that
series, unless such counsel knows that the certificate or opinion or
representations with respect to such matters are erroneous. Opinions of Counsel
required to be delivered to the Trustee may have qualifications customary for
opinions of the type required and counsel delivering such Opinions of Counsel
may rely on certificates of the Company or government or other officials
customary for opinions of the type required, including certificates certifying
as to matters of fact, including that various financial covenants have been
complied with.

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

Section 105.           Acts of
Holders.

(a)           Any request, demand,
authorization, direction, notice, consent, waiver or other action provided by
this Indenture to be given or taken by Holders may be embodied in and evidenced
by one or more instruments of substantially similar tenor signed by such
Holders in person or by an agent duly appointed in writing; and, except as
herein otherwise expressly provided, such action shall become effective when
such instrument or instruments are delivered to the Trustee and, where it is
hereby expressly required, to the Company. Procedures in connection to acts of
Holders with respect to Bearer Securities shall be as provided pursuant to
Section 301. Such instrument or instruments (and the action embodied therein
and evidenced thereby) are herein sometimes referred to as the “Act” of the
Holders 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 Indenture, if made in the manner provided in this Section.
The fact and date of the execution by any person of any such instrument or
writing or the authority of the person executing the same, may also be proved
in any other manner which the Trustee deems sufficient in accordance with such
reasonable rules as the Trustee may determine.

(b)           The ownership of
Securities of any series shall be proved by the Security Register.

(c)           Any request, demand,
authorization, direction, notice, consent, waiver or other action by the Holder
of any Security of any series shall bind every future Holder of the same Security
of that series or the Holder of every Security of that series issued upon the
transfer thereof or in exchange therefor or in lieu thereof, in respect of
anything done, suffered or omitted to be done by the Trustee, any Paying Agent
or the Company or any Guarantor in reliance thereon, whether or not notation of
such action is made upon such Security.

 19
 

(d)           If the Company shall
solicit from the Holders of Securities of one or more series any request,
demand, authorization, direction, notice, consent, waiver or other Act, the
Company may, at its option, by or pursuant to a Board Resolution, fix in
advance a record date for the determination of such Holders entitled to give
such request, demand, authorization, direction, notice, consent, waiver or other
Act, but the Company shall have no obligation to do so. Notwithstanding Trust
Indenture Act Section 316(c), any such record date shall be the record date
specified in or pursuant to such Board Resolution, which shall be a date not
more than 30 days prior to the first solicitation of Holders generally in
connection therewith and no later than the date such solicitation is completed.

In the absence of any such record date fixed by the
Company, regardless as to whether a solicitation of the Holders of Securities
of one or more series is occurring on behalf of the Company or any Holder, the
Trustee may, at its option, fix in advance a record date for the determination
of such Holders entitled to give such request, demand, authorization,
direction, notice, consent, waiver or other Act, but the Trustee shall have no
obligation to do so. Any such record date shall be a date not more than 30 days
prior to the first solicitation of Holders generally in connection therewith
and no later than a date such solicitation is completed.

If such a record date is fixed, such request, demand,
authorization, direction, notice, consent, waiver or other Act may be given
before or after such record date, but only the Holders of record at the close
of business on such record date shall be deemed to be Holders for purposes of
determining whether Holders of Securities of one or more series of the
requisite proportion of Securities then Outstanding have authorized or agreed
or consented to such request, demand, authorization, direction, notice,
consent, waiver or other Act, and for this purpose the Securities of any series
then Outstanding shall be computed as of such record date; provided that no
such request, demand, authorization, direction, notice, consent, waiver or
other Act by the Holders on such record date shall be deemed effective unless
it shall become effective pursuant to the provisions of this Indenture not
later than six months after the record date.

Section 106.           Notices,
etc., to Trustee, the Company and any Guarantor.

Any request, demand, authorization, direction, notice,
consent, waiver or Act of Holders or other document provided or permitted by
this Indenture to be made upon, given or furnished to, or filed with:

(a)           the Trustee by any
Holder or by the Company or any Guarantor or any other obligor of the
Securities shall be sufficient for every purpose hereunder if in writing and
mailed, first-class postage prepaid, or delivered by recognized overnight
courier, to or with the Trustee at the Corporate Trust Office, Attention:
Corporate Trust Division, or at any other address previously furnished in
writing to the Holders, the Company, any Guarantor or any other obligor of the
Securities by the Trustee; or

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(b)           the Company or any
Guarantor shall be sufficient for every purpose (except as provided in Section
501(c)) hereunder or pursuant to Section 301 if in writing and mailed,
first-class postage prepaid, or delivered by recognized overnight courier, to
the Company or such Guarantor addressed to it at Sinclair Broadcast Group,
Inc.,10706 Beaver Dam Road; Hunt Valley, Maryland 21030, Attention: President,
or at any other address previously furnished in writing to the Trustee by the
Company.

Section 107.           Notice
to Holders; Waiver.

Where this Indenture or the Securities of any series
provides for notice to Holders of the Securities of any series of any event,
such notice shall be sufficiently given (unless otherwise herein expressly
provided) if in writing and mailed, first-class postage prepaid, or delivered
by recognized overnight courier, to each Holder affected by such event, at his
address as it appears in the Security Register, not later than the latest date,
and not earlier than the earliest date, prescribed for the giving of such
notice. In any case where notice to Holders is given by mail, neither the
failure to mail such notice, nor any defect in any notice so mailed, to any
particular Holder shall affect the sufficiency of such notice with respect to
other Holders. Any notice when mailed to a Holder in the aforesaid manner shall
be conclusively deemed to have been received by such Holder whether or not
actually received by such Holder. Where this Indenture provides for notice in
any manner, such notice may be waived in writing by the Person entitled to
receive such notice, either before or after the event, and such waiver shall be
the equivalent of such notice. Waivers of notice by Holders shall be filed with
the Trustee, but such filing shall not be a condition precedent to the validity
of any action taken in reliance upon such waiver.

Notices to Holders of Bearer Securities shall be
provided as may be specified pursuant to Section 301.

In case by reason of the suspension of regular mail
service or by reason of any other cause, it shall be impracticable to mail
notice of any event as required by any provision of this Indenture, then any
method of giving such notice as shall be reasonably satisfactory to the Trustee
shall be deemed to be a sufficient giving of such notice.

Section 108.           Conflict
with Trust Indenture Act.

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

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Section 109.           Effect
of Headings and Table of Contents.

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

Section 110.           Successors
and Assigns.

All covenants and agreements in this Indenture by the
Company and the Guarantors shall bind their successors and assigns, whether so
expressed or not.

Section 111.           Separability
Clause.

In case any provision in this Indenture or in the
Securities of any series or in any Guarantees 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 112.           Benefits
of Indenture.

Nothing in this Indenture or in the Securities or the Guarantees,
express or implied, shall give to any Person (other than the parties hereto and
their successors hereunder, any Paying Agent or the Holders) any benefit or any
legal or equitable right, remedy or claim under this Indenture.

Section 113.           Governing
Law.

THIS INDENTURE AND THE SECURITIES OF ANY SERIES AND
ANY INTEREST COUPONS APPERTAINING THERETO AND ANY GUARANTEES SHALL BE GOVERNED
BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK
(WITHOUT GIVING EFFECT TO THE CONFLICT OF LAWS PRINCIPLES THEREOF).

Section 114.           Legal
Holidays.

In any case where any Interest Payment Date,
Redemption Date or Stated Maturity of any Security of any series shall not be a
Business Day, then (notwithstanding any other provision of this Indenture or of
the Securities) payment of interest or principal or premium, if any, need not
be made on such date, but may be made on the next succeeding Business Day with
the same force and effect as if made on the Interest Payment Date or Redemption
Date, or at the Stated Maturity and no interest shall accrue with respect to
such payment for the period from and after such Interest Payment Date,
Redemption Date or Stated Maturity, as the case may be, to the next succeeding
Business Day.

Section 115.           Schedules
and Exhibits.

All schedules and exhibits attached hereto are by this
reference made a part hereof with the same effect as if herein set forth in
full.

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Section 116.           Counterparts.

This Indenture may be executed in any number of
counterparts, each of which shall be an original; but such counterparts shall
together constitute but one and the same instrument.

ARTICLE TWO

SECURITY FORMS

Section 201.           Forms
Generally.

The Securities of each series and the Trustee’s
certificate of authentication and the interest coupons, if any, to be attached
thereto shall be in substantially such form as shall be established by or
pursuant to a Board Resolution or in one or more indentures supplemental
hereto, in each case with such appropriate insertions, omissions, substitutions
and other variations as are required or permitted by this Indenture, and may
have such letters, numbers or other marks of identification and such legends or
endorsements placed thereon as may be required to comply with the rules of any
applicable securities exchange, organizational document, governing instrument
or law or as may, consistently herewith, be determined by the officers
executing the Securities of that series and interest coupons, if any, to be
attached thereto, as evidenced by their execution of the Securities and
interest coupons, if any. If temporary Securities of any series are issued as
permitted by Section 304, the form thereof also shall be established as
provided in the preceding sentence. If the forms of Securities and interest
coupons, if any, of any series are established by, or by action taken pursuant
to, a Board Resolution, a copy of the Board Resolution together with an
appropriate record of any such action taken pursuant thereto, including a copy
of the approved form of Securities or interest coupons, if any, shall be
delivered to the Trustee at or prior to the delivery of the Company Order
contemplated by Section 303 for the authentication and delivery of such
Securities. Any portion of the text of any Security may be set forth on the reverse
thereof, with an appropriate reference thereto on the face of the Security.

Unless otherwise provided pursuant to Section 301,
Bearer Securities, if any, shall have interest coupons attached.

The definitive Securities of any series shall be
printed, lithographed or engraved or produced by any combination of these
methods or may be produced in any other manner permitted by the rules of any
securities exchange on which the Securities of that series may be listed, all
as determined by the officers executing such Securities, as evidenced by their
execution of such Securities.

Section 202.           Form of
and Provisions Required in Global Security.

If Securities of or within a series are issuable in
whole or in part in global form, such Global Securities will be subject to
Sections 301, 303, 304 (if applicable), 305 and 306.

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Unless otherwise provided pursuant to Section 301, any
Global Security issued hereunder shall bear a legend in substantially the
following form:

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING
OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A
DEPOSITARY OR A NOMINEE OF A DEPOSITARY. THIS SECURITY IS EXCHANGEABLE FOR
SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS
NOMINEE ONLY IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE AND MAY
NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE
DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER
NOMINEE OF THE DEPOSITARY, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE
INDENTURE. If The Depository Trust Company is acting as the Depositary, insert—UNLESS
THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT AND ANY SUCH CERTIFICATE ISSUED
IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

Section 203.           Form of
Trustee’s Certificate of Authentication.

Unless otherwise provided pursuant to Section 301, the
Trustee’s certificate of authentication shall be included on the Securities and
shall be substantially in the form as follows:

TRUSTEE’S CERTIFICATE OF
AUTHENTICATION.

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

	
  

  	
   

  	
   

  	
  ,

  
	
   

  	
   

  	
  As Trustee

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Authorized Signatory

  	
   

  	
   

  

 

Section 204.           Form of
Guarantee of Each of the Guarantors.

If a Guarantee is to be endorsed on a Security of any
series, the form of Guarantee shall be set forth on the Securities
substantially as follows:

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GUARANTEES

For value received, each of the undersigned hereby
unconditionally guarantees, jointly and severally, to the holder of this
Security the payment of principal of, premium, if any, and interest on this
Security in the amounts and at the time when due and interest on the overdue
principal and interest, if any, of this Security, if lawful, and the payment or
performance of all other obligations of the Company under the Indenture or the
Securities, to the holder of this Security and the Trustee, all in accordance
with and subject to the terms and limitations of this Security and Article
Thirteen of the Indenture. These Guarantees will not become effective until the
Trustee duly executes the certificate of authentication on this Security.

	
  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  [LIST OF GUARANTORS]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Attest

  	
   

  	
   

  	
   

  	
  By

  	
   

  	
   

  
	
   

  	
   

  	
  Name

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name

  
	
   

  	
   

  	
  Title

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title

  

 

 

ARTICLE THREE

THE SECURITIES

Section 301.           Amount
Unlimited; Issuable in Series.

(a)           The aggregate
principal amount of Securities which may be authenticated and delivered under
this Indenture is unlimited. The Securities may be issued from time to time in
one or more series.

(b)           The following
matters shall be established with respect to each series of Securities issued
hereunder (i) by a Board Resolution, (ii) by action taken pursuant to a Board
Resolution and (subject to Section 303) set forth, or determined in the manner
provided, in an Officers’ Certificate or (iii) in one or more indentures
supplemental hereto:

(1)           the title of the Securities of the
series (which title shall distinguish the Securities of the series from all
other series of Securities);

(2)           any limit upon the
aggregate principal amount of the Securities of the series which may be
authenticated and delivered under this Indenture (which limit shall not pertain
to Securities authenticated and delivered upon registration of transfer of, or
in exchange for, or in lieu of, other Securities of the series pursuant to
Section 304, 306, 307, 906 or 1108 or any Securities of the series that,
pursuant to Section 303, are deemed never to have been authenticated and
delivered hereunder);

 25
 

(3)           the date or dates on
which the principal of and premium, if any, on the Securities of the series
will mature or the method or methods of determining such date or dates;

(4)           the rate or rates
(which may be fixed or variable) at which the Securities of the series shall
bear interest, if any, or the method or methods of calculating such rate or
rates;

(5)           the date or dates
from which such interest, if any, shall accrue or the method or methods by
which such date or dates shall be 
determined;

(6)           the date or dates on
which interest, if any, shall be payable and the record date or dates therefor,
and the basis upon which interest shall be calculated if other than that of a
360-day year of twelve 30-day

(7)           the place or places
where the principal of, premium, if any, and interest, if any, on Securities of
the series shall be payable, or at which Securities of the series may be
surrendered for registration of transfer and exchange;

(8)           the period or
periods within which, the price or prices at which, the currency or currencies
if other than in United States dollars (including currency unit or units) in
which, and the other terms and conditions upon which, Securities of the series
may be redeemed, in whole or in part, at the option of the Company;

(9)           the obligation, if
any, of the Company to redeem or purchase Securities of the series pursuant to
any sinking fund or analogous provisions or upon the happening of a specified
event or at the option of a Holder thereof and the period or periods within
which, the price or prices at which, the currency or currencies (if other than
United States dollars) (including currency unit or units) in which, and the
other terms and conditions upon which, Securities of the series shall be
redeemed or purchased, in whole or in part, pursuant to such obligation;

(10)         the denominations in
which Securities of the series are authorized to be issued;

(11)         the currency or
currency unit in which such Securities may be denominated and/or the currency
or currencies (including currency unit or units) in which principal of,
premium, if any, and interest, if any, on such Securities will be payable and
whether the Company or the holders of any such Securities may elect to receive
payments in respect of such Securities in a currency or currency unit other than
that in which such Securities are stated to be payable;

 26
 

(12)         if the amount of
payments of principal of, premium, if any, and interest, if any, on the
Securities of the series may be determined with reference to an index, formula
or other method (which index, formula or method may be based, without
limitation, on a currency or currencies (including currency unit or units)
other than that in which the Securities of the series are denominated or
designated to be payable), the manner in which such amounts will be determined;

(13)         if other than the
entire principal amount thereof, the portion of the principal amount of such
Securities of the series which shall be payable upon declaration of
acceleration thereof pursuant to Section 502 or the method by which such
portion shall be determined;

(14)         provisions, if any,
granting special rights to the Holders of Securities of the series upon the
occurrence of such events as may be specified;

(15)         any addition to,
modifications of or deletion from the Events of Default set forth in Section
501 or covenants of the Company set forth in Article 9 pertaining to the
Securities of the series;

(16)         the circumstances, if
any, under which the Company will pay additional amounts on the Securities of
that series held by a Person who is not a U.S. Person (including any
modification of the definition of such term) in respect of taxes, assessments
or similar charges;

(17)         whether Securities of
the series shall be issuable in registered or bearer form (with or without
interest coupons), or both, and any restrictions applicable to the offering,
sale, transfer or delivery of Bearer Securities and, if other than as provided
in Section 306, the terms upon which Bearer Securities of a series may be
exchanged for Securities of the same series and vice versa;

(18)         the date as of which
any Bearer Securities of the series and any temporary Global Security
representing Outstanding Securities of the series shall be dated, if other than
the date of original issuance of the first Security of the series to be issued;

(19)         the forms of the
Securities and interest coupons, if any, of the series;

(20)         if other than the
Trustee, the identity of the Registrar and any Paying Agent;

(21)         the application, if
any, of such means of defeasance or covenant defeasance as may be specified for
such Securities of that series;

 27
 

(22)         whether such
Securities of the series are to be issued in whole or in part in the form of
one or more in temporary or permanent Global Securities, and, if so, the
identity of the Depositary or its nominee, if any, for such Global Securities,
and the circumstances under which the beneficial owners of interests in any
Securities of the series in global form may exchange such interests for
certificated Securities of that series, to be registered in the names of or to
be held by such beneficial owners or their nominees;

(23)         if the Securities of
the series may be issued or delivered, or any installment of principal or
interest is payable, only upon receipt of certain certificates or other documents
or satisfaction of other conditions in addition to those specified in this
Indenture, the form and terms of such certificates, documents or conditions;

(24)         if other than as
provided in Section 309, the Person to whom any interest on any Security of the
series shall be payable and the manner in which, or the Person to whom, any
interest on any Bearer Securities of the series shall be payable;

(25)         any definitions for
Securities of that series which are not to be as set forth in this Indenture,
including, without limitation, the definition of “Unrestricted Subsidiary” to
be used for that series;

(26)         whether such Debt
Securities are Guaranteed and, if so, the identity of the Guarantors and the
terms of such Guarantees (including 
whether and the extent to which the Guarantees are subordinated to the
other indebtedness of the Guarantors);

(27)         the terms, if any,
upon which the Company may be able to redeem such Debt Securities prior to
their maturity including the dates on which such redemptions may be made and
the price at which such redemptions may be

(28)         the terms, if any,
upon which such Securities of any series may be converted or exchanged into or
for Common Stock, Preferred Stock or other securities or property of the
Company;

(29)         any restrictions on
the registration, transfer or exchange of the Securities; and

(30)         any other terms not
inconsistent with the terms of the Indenture pertaining to the Securities which
may be required by or advisable under United States laws or regulations or
advisable (as determined by the Company) in connection with the marketing of
Securities of the series.

(c)           All
provisions set forth in this Indenture shall be applicable to each series of
Debt Securities issued hereunder unless otherwise specified in a supplemental
indenture entered into pursuant to this Section 301, in which case the
provisions of the supplemental indenture shall govern and references herein to “unless
otherwise provided pursuant to Section 301” are not intended to limit what
provisions may be amended pursuant to any supplemental indenture. Subject to
Sections 108, 113 and any controlling provision of the Trust Indenture Act, in
the event of any inconsistency between the terms of this Indenture and the
terms applicable to a series of Securities established in the manner permitted
by this Section 301, the (i) Board Resolution, (ii) Officers’ Certificate or
(iii) supplemental indenture setting forth such conflicting term shall prevail.

 28
 

(d)           All
Securities of any one series and interest coupons, if any, appertaining thereto
shall be substantially identical except as to denomination and except as may
otherwise be provided (i) by a Board Resolution, (ii) by action taken pursuant
to a Board Resolution and (subject to Section 303) set forth, or determined in the
manner provided, in the related Officers’ Certificate or (iii) in an indenture
supplemental hereto. All Securities of any one series need not be issued at the
same time and, unless otherwise provided, a series may be reopened, without the
consent of the Holders, for issuances of additional Securities of that series.

(e)           If
any of the terms of the Securities of any series are established by action
taken pursuant to a Board Resolution, a copy of such Board Resolution shall be
delivered to the Trustee at or prior to the delivery of the Officers’
Certificate setting forth, or providing the manner for determining, the terms
of the Securities of that series, and an appropriate record of any action taken
pursuant thereto in connection with the issuance of any Securities of that
series shall be delivered to the Trustee prior to the authentication and
delivery thereof.

(f)            Unless
otherwise provided pursuant to Section 301, payment of the principal of,
premium, if any, and interest on the Securities shall be made at the office or
agency of the Company maintained for that purpose as the Company may designate
pursuant to Section 301, in the United States, in such coin or currency of the
United States of America as at the time of payment is legal tender for payment
of public and private debts; provided, however, that at the option of the
Company payment of interest may be made (i) by check mailed to addresses of the
Persons entitled thereto as such addresses shall appear on the Security
Register or (ii) by wire transfer in immediately available funds to an account
specified (not later than one Business Day prior to the applicable Interest
Payment Date) by the Holder thereof. If any of the Securities are held by the
Depository, payments of interest may be made by wire transfer to the
Depository. Procedures with respect to payments in connection with Bearer
Securities shall be established pursuant to Section 301.

Section 302.           Denominations.

Unless otherwise provided pursuant to Section 301, the
Securities shall be issuable only in registered form without coupons and only
in denominations of $1,000 and any integral multiple of $1,000, and Bearer
Securities shall be issued in denominations of $5,000 or any integral multiple
of $5,000. Securities denominated in a foreign currency shall be issuable in
such denominations as are established with respect to such Securities in or
pursuant to this Indenture.

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Section 303.           Execution,
Authentication, Delivery and Dating.

Unless otherwise provided pursuant to Section 301, the
Securities of any series shall be executed on behalf of the Company by one of
its Chairman of the Board, its President or one of its Vice Presidents under
its corporate seal reproduced thereon attested by its Secretary or one of its
Assistant Secretaries.

Securities and interest coupons, if any, on Securities
bearing the manual or facsimile signatures of individuals who were at any time
the proper officers of the Company shall bind the Company, notwithstanding that
such individuals or any of them have ceased to hold such offices prior to the
authentication and delivery of such Securities or did not hold such offices on
the date of such Securities.

At any time and from time to time after the execution
and delivery of this Indenture, the Company may deliver Securities, together
with any interest coupons appertaining thereto, of any series executed by the
Company to the Trustee for authentication, together with a Company Order for
the authentication and delivery of such Securities; and the Trustee in
accordance with such Company Order shall authenticate and deliver such
Securities as provided in this Indenture and not otherwise.

Each Security shall be dated the date of its
authentication.

No Security of any series shall be entitled to any
benefit under this Indenture or be valid or obligatory for any purpose unless
there appears on such Security a certificate of authentication substantially in
the form provided for herein duly executed by the Trustee by manual signature
of an authorized officer, and such certificate upon any Security shall be
conclusive evidence, and the only evidence, that such Security has been duly
authenticated and delivered hereunder.

Unless otherwise provided pursuant to Section 301, in
case the Company or any Guarantor, pursuant to Article Eight, shall be
consolidated, merged with or into any other Person or shall sell, assign,
convey, transfer or lease substantially all of its properties and assets to any
Person, and the successor Person resulting from such consolidation, or
surviving such merger, or into which the Company or such Guarantor shall have
been merged, or the Person which shall have received a sale, assignment,
conveyance, transfer or lease as aforesaid, shall have executed an indenture
supplemental hereto with the Trustee pursuant to Article Eight, any of the
Securities authenticated or delivered prior to such consolidation, merger,
sale, assignment, conveyance, transfer or lease may, from time to time, at the
request of the successor Person, be exchanged for other Securities executed in
the name of the successor Person with such changes in phraseology and form as
may be appropriate, but otherwise in substance of like tenor as the Securities
surrendered for such exchange and of like principal amount; and the Trustee,
upon Company Request of the successor Person, shall authenticate and deliver
Securities as specified in such request for the purpose of such exchange. If
Securities shall at any time be authenticated and delivered in any new name of
a successor Person pursuant to this Section in exchange or substitution for or
upon registration of transfer of any Securities, such successor Person, at the
option of the Holders but without expense to them, shall provide for the
exchange of all Securities at the time Outstanding for Securities authenticated
and delivered in such new name.

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The Trustee may appoint an authenticating agent
acceptable to the Company to authenticate Securities on behalf of the Trustee.
Unless limited by the terms of such appointment, an authenticating agent may
authenticate Securities whenever the Trustee may do so. Each reference in this
Indenture to authentication by the Trustee includes authentication by such
agent. An authenticating agent has the same rights as any Security Registrar or
Paying Agent to deal with the Company and its Affiliates.

The Bearer Securities will be transferable by
delivery. Other terms, conditions and restrictions in connection with Bearer
Securities will be as provided pursuant to Section 301.

The specific terms of the depositary arrangement with
respect to any portion of a series of Securities to be represented by a Global
Security will be as provided pursuant to Section 301.

Section 304.           Temporary
Securities.

Unless otherwise provided pursuant to Section 301,
pending the preparation of definitive Securities of any series, the Company may
execute, and upon Company Order, the Trustee shall authenticate and deliver,
temporary Securities which are printed, lithographed, typewritten or otherwise
produced, in any authorized denomination, substantially of the tenor of the
definitive Securities of any series in lieu of which they are issued and with
such appropriate insertions, omissions, substitutions and other variations as
the officers executing such Securities may determine, as conclusively evidenced
by their execution of such Securities.

Unless otherwise provided pursuant to Section 301,
after the preparation of definitive Securities of any series, the temporary
Securities of any series shall be exchangeable for definitive Securities of
that series upon surrender of the temporary Securities of that series at the
office or agency of the Company designated for such purpose pursuant to Section
1002, without charge to the Holder. Upon surrender for cancellation of any one
or more temporary Securities the Company shall execute and the Trustee shall
authenticate and deliver in exchange therefor a like principal amount of
definitive Securities of authorized denominations. Until so exchanged the
temporary Securities of any series shall in all respects be entitled to the
same benefits under this Indenture as definitive Securities of that series.

Section 305.           Global
Securities.

(a)           Unless otherwise
provided pursuant to Section 301, any Global Security of any series shall, if
the Depositary permits, (i) be registered in the name of the Depositary for
such Global Security or the nominee of such Depositary, (ii) be deposited with,
or on behalf of, the Depositary and (iii) bear legends as set forth in Section
202; provided, that the Securities are eligible to be in the form of a Global
Security.

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Members of, or participants in, the Depositary (“Agent
Members”) shall have no rights under this Indenture with respect to any Global
Security held on their behalf by the Depositary, or the Trustee as its
custodian, or under the Global Security, and the Depositary may be treated by
the Company, the Trustee and any agent of the Company or the Trustee as the
absolute owner of such Global Security for all purposes whatsoever.
Notwithstanding the foregoing, nothing herein shall prevent the Company, the
Trustee or any agent of the Company from giving effect to any written
certification, proxy or other authorization furnished by the Depositary or
shall impair, as between the Depositary and its Agent Members, the operation of
customary practices governing the exercise of the rights of a holder of any
Security.

The Securities of any series may also be issued in
whole or in part in the form of one or more bearer global securities (a “Bearer
Global Security”) that will be deposited with a depositary, or with a nominee
for such a depositary, as provided pursuant to Section 301. Any Bearer Global
Security may be issued in temporary or permanent form. The specific terms and
procedures, including the specific terms of the depositary arrangement, with
respect to any portion of a series of Securities to be represented by one or
more Bearer Global Securities will be as provided pursuant to Section 301.

(b)           Unless otherwise
provided pursuant to Section 301, transfers of the Global Security of a series shall
be limited to transfers of such Global Security in whole, but not in part, to
the Depositary, its successors or their respective nominees. Interests of
beneficial owners in a Global Security may be transferred in accordance with
the rules and procedures of the Depositary. Under the circumstances described
in this clause (b) below, beneficial owners shall obtain physical securities in
the form provided pursuant to Section 301 (“Physical Securities”) in exchange
for their beneficial interests in a Global Security in accordance with the
Depositary’s and the Securities Registrar’s procedures. In connection with the
execution, authentication and delivery of such Physical Securities, the
Security Registrar shall reflect on its books and records a decrease in the
principal amount of the Global Security equal to the principal amount of such
Physical Securities and the Company shall execute and the Trustee shall
authenticate and deliver one or more Physical Securities having an equal
aggregate principal amount. Unless otherwise provided pursuant to Section 301,
the Securities will be delivered in certificated form if (i) the Depositary
ceases to be registered as a clearing agency under the Exchange Act or is not
willing or no longer willing or able to provide securities depository services
with respect to the Securities and a successor depositary is not appointed by
the Company within 90 days and (ii) the Company, in its sole discretion, so
determines or (iii) there shall have occurred an Event of Default or an event
which, with the giving of notice or lapse of time or both, would constitute an
Event of Default with respect to the Securities represented by such Global
Security and such Event of Default or event continues for a period of 90 days.

(c)           In connection with
any transfer of a portion of the beneficial interest in a Global Security to a
Physical Security pursuant to subsection (b) of this Section to beneficial
owners, the Security Registrar shall reflect on its books and records the date
and a decrease in the principal amount of a Global Security in an amount equal
to the principal amount of the beneficial interest in the Global Security to be
transferred, and the Company shall execute, and the Trustee shall authenticate
and deliver, one or more Physical Securities of like tenor and amount.

 32
 

(d)           In connection with
the transfer of the entire Global Security of any series to beneficial owners
pursuant to subsection (b) of this Section, a Global Security shall be deemed
to be surrendered to the Trustee for cancellation, and the Company shall
execute, and the Trustee shall authenticate and deliver, to each beneficial
owner identified by the Depositary in exchange for its beneficial interest in a
Global Security, an equal aggregate principal amount of Physical Securities of
authorized denominations.

(e)           The registered
holder of a Global Security may grant proxies and otherwise authorize any
person, including Agent Members and Persons that may hold interests through
Agent Members, to take any action which a Holder is entitled to take under this
Indenture or the Securities.

Section 306.           Registration,
Registration of Transfer and Exchange.

Unless otherwise provided pursuant to Section 301, the
Company shall cause to be kept at the Corporate Trust Office of the Trustee, or
such other office as the Trustee may designate, a register (the register
maintained in such office and in any other office or agency designated pursuant
to Section 1002 being herein sometimes referred to as the “Security Register”)
in which, subject to such reasonable regulations as the Security Registrar may
prescribe, the Company shall provide for the registration of Securities of any
series and of transfers of Securities of any series. The Trustee or an agent
thereof or of the Company shall initially be the “Security Registrar” for the
purpose of registering Securities of any series and transfers of Securities of
any series as herein provided.

Procedures with respect to the registration and
registration of transfer and exchange, and other matters related thereto, with
respect to Bearer Securities shall be provided pursuant to Section 301.

Unless otherwise provided pursuant to Section 301,
upon surrender for registration of transfer of any Security of any series at
the office or agency of the Company designated pursuant to Section 1002, the
Company shall execute, and the Trustee shall authenticate and deliver, in the
name of the designated transferee or transferees, one or more new Securities of
that series of any authorized denomination or denominations, of a like
aggregate principal amount.

Furthermore, any Holder of a Global Security shall, by
acceptance of such Global Security, agree that transfers of beneficial interest
in such Global Security may be effected only through a book-entry system
maintained by the Holder of such Global Security (or its agent), and that
ownership of a beneficial interest in the Securities shall be required to be
reflected in a book entry.

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Unless otherwise provided pursuant to Section 301, at
the option of the Holder, Securities of any series may be exchanged for other
Securities of that series of any authorized denomination or denominations, of a
like aggregate principal amount, upon surrender of the Securities of that
series to be exchanged at such office or agency. Whenever any Securities of any
series are so surrendered for exchange, the Company shall execute, and the
Trustee shall authenticate and deliver, the Securities of that series which the
Holder making the exchange is entitled to receive.

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

Unless otherwise provided pursuant to Section 301,
every Security presented or surrendered for registration of transfer, or for
exchange or redemption shall (if so required by the Company or the Trustee) be
duly endorsed, or be accompanied by a written instrument of transfer in form
satisfactory to the Company and the Security Registrar, duly executed by the
Holder thereof or his attorney duly authorized in writing.

No service charge shall be made to a Holder for any
registration of transfer or exchange or redemption of Securities of any series,
but the Company may require payment of a sum sufficient to pay all documentary,
stamp or similar issue or transfer taxes or other governmental charges that may
be imposed in connection with any registration of transfer or exchange of
Securities, other than exchanges pursuant to Sections 303, 304, 305, 306, 307
and 906, not involving any transfer.

Unless otherwise provided pursuant to Section 301, the
Company shall not be required (a) to issue, register the transfer of or
exchange any Security of any series during a period beginning at the opening of
business (i) 15 days before the date of selection of Securities of that series
for redemption under Section 1104 and ending at the close of business on the
day of such selection or (ii) 15 days before an Interest Payment Date and
ending on the close of business on the Interest Payment Date, or (b) to
register the transfer of or exchange any Security of that series so selected
for redemption in whole or in part, except the unredeemed portion of Securities
of that series being redeemed in part.

Except as otherwise permitted pursuant to Section 304,
any Security of a series authenticated and delivered upon registration of
transfer of, or in exchange for, or in lieu of, any Global Security, whether
pursuant to this Section, Sections 304, 307, 906 or 1108 or otherwise, shall
also be a Global Security and bear the legend specified in Section 202.

 34
 

Section 307.           Mutilated,
Destroyed, Lost and Stolen Securities.

If (a) any mutilated Security of any series is
surrendered to the Trustee, or (b) the Company and the Trustee receive evidence
to their satisfaction of the destruction, loss or theft of any Security of any
series, and there is delivered to the Company, each Guarantor and the Trustee,
such security or indemnity, in each case, as may be required by them to save
each of them harmless, then, in the absence of notice to the Company, any
Guarantor or the Trustee that such Security has been acquired by a bona fide
purchaser, the Company shall execute and upon its written request the Trustee
shall authenticate and deliver, in exchange for any such mutilated Security or
in lieu of any such destroyed, lost or stolen Security, a replacement Security
of that series of like tenor and principal amount, bearing a number not
contemporaneously outstanding.

In case any such mutilated, destroyed, lost or stolen
Security of any series has become or is about to become due and payable, the
Company in its discretion may, instead of issuing a replacement Security of
that series, pay such Security.

Upon the issuance of any replacement Securities of
that series under this Section, the Company may require the payment of a sum
sufficient to pay all documentary, stamp or similar issue or transfer taxes or
other governmental charges that may be imposed in relation thereto and any
other expenses (including the fees and expenses of the Trustee) connected
therewith.

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

Procedures relating to mutilated, destroyed, lost or
stolen Bearer Securities shall be provided pursuant to Section 301.

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

Section 308.           [RESERVED]

Section 309.           Payment
of Interest; Interest Rights Preserved.

Unless otherwise provided pursuant to Section 301,
interest on any Security of a series which is payable, and is punctually paid
or duly provided for, on any Interest Payment Date shall be paid to the Person
in whose name that Security of that series is registered at the close of
business on the Regular Record Date for such interest.

Unless otherwise provided pursuant to Section 301, any
interest on any Security of a series which is payable, but is not punctually
paid or duly provided for, on any Interest Payment Date and interest on such
defaulted interest at the then applicable interest rate borne by the Securities
of that series, to the extent lawful (such defaulted interest and interest
thereon herein collectively called “Defaulted Interest”) shall forthwith cease
to be payable to the Holder on the Regular Record Date; and such Defaulted
Interest may be paid by the Company, at its election in each case, as provided
in Subsection (a) or (b) below:

 35
 

(a)           The Company may
elect to make payment of any Defaulted Interest to the Persons in whose names
the Securities of that series are registered at the close of business on a
Special Record Date for the payment of such Defaulted Interest, which shall be
fixed in the following manner. The Company shall notify the Trustee in writing
of the amount of Defaulted Interest proposed to be paid on each Security of
that series and the date (not less than 30 days after such notice) of the
proposed payment, and at the same time the Company shall deposit with the
Trustee an amount of money equal to the aggregate amount proposed to be paid in
respect of such Defaulted Interest or shall make arrangements satisfactory to
the Trustee for such deposit prior to the date of the proposed payment, such
money when deposited to be held in trust for the benefit of the Persons
entitled to such Defaulted Interest as in this Subsection provided. Thereupon
the Trustee shall fix a Special Record Date for the payment of such Defaulted
Interest which shall be not more than 15 days and not less than 10 days prior
to the date of the proposed payment and not less than 10 days after the receipt
by the Trustee of the notice of the proposed payment. The Trustee shall
promptly notify the Company in writing of such Special Record Date. In the name
and at the expense of the Company, the Trustee shall cause notice of the
proposed payment of such Defaulted Interest and the Special Record Date
therefor to be mailed, first-class postage prepaid, to each Holder at his
address as it appears in the Security Register, not less than 10 days prior to
such Special Record Date. Notice of the proposed payment of such Defaulted
Interest and the Special Record Date therefor having been so mailed, such
Defaulted Interest shall be paid to the Persons in whose names the Securities
of that series are registered on such Special Record Date and shall no longer
be payable pursuant to the following Subsection (b).

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

Payment of interest and preservation of interest
rights of Bearer Securities shall be set forth pursuant to Section 301.

Subject to the foregoing provisions of this Section,
each Security of any series delivered under this Indenture upon registration of
transfer of or in exchange for or in lieu of any other Security of the same
series shall carry the rights to interest accrued and unpaid, and to accrue,
which were carried by such other Security of the same series.

Section 310.           Persons
Deemed Owners.

Unless otherwise provided pursuant to Section 301, the
Company, any Guarantor, the Trustee and any agent of the Company, any Guarantor
or the Trustee may treat the Person in whose name any Security of any series is
registered as the owner of such Security for the purpose of receiving payment
of principal of, premium, if any, and (subject to Section 309) interest on such
Security and for all other purposes whatsoever, whether or not such Security is
overdue, and neither the Company, any Guarantor, the Trustee nor any agent of
the Company, any Guarantor or the Trustee shall be affected by notice to the contrary.

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Unless otherwise provided as contemplated by Section
301, the Company, any Guarantor, the Trustee and any agent of the Company, any
Guarantor or the Trustee may treat the bearer of any Bearer Security of any
series and the bearer of any interest coupon as the absolute owner of such
Bearer Security or interest coupon for the purpose of receiving payment thereof
or on account thereof and for all other purposes whatsoever, whether or not
such Bearer Security or interest coupon be overdue, and neither the Company,
any Guarantor, the Trustee nor any agent of the Company, the Guarantor or the
Trustee shall be affected by notice to the contrary.

No holder of any beneficial interest in any Global
Security of any series held on its behalf by a Depositary of that series shall
have any rights under this Indenture with respect to such Global Security of
that series, and such Depositary may be treated by the Company, any Guarantor,
the Trustee and any agent of the Company, any Guarantor or the Trustee as the
owner of such Global Security for all purposes whatsoever. Notwithstanding the
foregoing, nothing herein shall prevent the Company, any Guarantor, the Trustee
or any agent of the Company, any Guarantor or the Trustee from giving effect to
any written certification, proxy or other authorization furnished by the
Depositary or impair, as between the Depositary and such holders of beneficial
interests, the operation of customary practices governing the exercise of the
rights of the Depositary (or its nominee) as Holder of any Security of any
series.

Section 311.           Cancellation.

All Securities of any series surrendered for payment,
purchase, redemption, registration of transfer or exchange shall be delivered
to the Trustee and, if not already cancelled, shall be promptly cancelled by
it. The Company and any Guarantor may at any time deliver to the Trustee for
cancellation any Securities of any series previously authenticated and
delivered hereunder which the Company or such Guarantor may have acquired in
any manner whatsoever, and all Securities of any series so delivered shall be
promptly cancelled by the Trustee. No Securities of any series shall be
authenticated in lieu of or in exchange for any Securities of that series
canceled as provided in this Section, except as expressly permitted by this
Indenture. All canceled Securities of any series held by the Trustee shall be
destroyed and certification of their destruction delivered to the Company
unless by a Company Order the Company shall direct that the canceled Securities
of that series be returned to it. The Trustee shall provide the Company a list
of all Securities of the series that have been canceled from time to time as
requested by the Company.

Section 312.           Computation
of Interest.

Except as otherwise provided pursuant to Section 301,
interest on the Securities of all series shall be computed on the basis of a
360-day year of twelve 30-day months.

 37

Section 313.           CUSIP
Numbers.

The Company in issuing the Securities of any series
may use “CUSIP” numbers (if then generally in use), and, if so, the Trustee
shall use “CUSIP” numbers in notices of redemption as a convenience to Holders;
provided that any such notice may state that no representation is made as to
the correctness of such numbers either as printed on the Securities of that
series or as contained in any notice of a redemption and that reliance may be
placed only on the other identification numbers printed on the Securities of
that series, and any such redemption shall not be affected by any defect in or
omission of such numbers.

ARTICLE FOUR

DEFEASANCE AND COVENANT DEFEASANCE

Unless otherwise provided pursuant to Section 301,
Securities of any series shall be subject to the following provisions:

Section 401.           Company’s
Option to Effect Defeasance or Covenant Defeasance.

Unless otherwise provided pursuant to Section 301, the
Company may, at its option by Board Resolution, at any time, with respect to
the Securities of any series, elect to have either Section 402 or

Section 403 be applied to all of the Outstanding
Securities of any series (the “Defeased Securities”), upon compliance with the
conditions set forth below in this Article Four.

Section 402.           Defeasance
and Discharge.

Unless otherwise provided pursuant to Section 301,
upon the Company’s exercise under Section 401 of the option applicable to this
Section 402, the Company, each of the Guarantors, if any, and any other obligor
upon the Securities of any series, if any, shall be deemed to have been
discharged from its obligations with respect to the Defeased Securities on the
date the conditions set forth below are satisfied (hereinafter, “defeasance”).
For this purpose, such defeasance means that the Company, each of the
Guarantors, if any, and any other obligor under the Indenture shall be deemed
to have paid and discharged the entire Indebtedness represented by the Defeased
Securities of that series, which shall thereafter be deemed to be “Outstanding”
only for the purposes of Section 405 and the other Sections of this Indenture
referred to in (a) and (b) below, and to have satisfied all its other
obligations under such Securities and this Indenture insofar as such Securities
are concerned (and the Trustee, at the expense of the Company, and, upon
written request, shall execute proper instruments acknowledging the same),
except for the following which shall survive until otherwise terminated or
discharged hereunder: (a) the rights of Holders of Defeased Securities to
receive, solely from the trust fund described in Section 404 and as more fully
set forth in such Section, payments in respect of the principal of, premium, if
any, and interest on such Securities when such payments 

 38
 

are due, (b) the Company’s obligations with respect to
such Defeased Securities under Sections 304, 305, 306, 1002 and 1003, (c) the
rights, powers, trusts, duties and immunities of the Trustee hereunder,
including, without limitation, the Trustee’s rights under Section 606, (d) this
Article Four and (e) if the Security is convertible, the right of the Holder to
convert the Security according to the terms set forth pursuant to Section 301.
Subject to compliance with this Article Four, the Company may exercise its
option under this Section 402 notwithstanding the prior exercise of its option
under Section 403 with respect to the Securities of that series.

Section 403.           Covenant
Defeasance.

Upon the Company’s exercise under Section 401 of the
option applicable to this Section 403, the Company and each Guarantor shall be
released from its obligations under any covenant or provision contained or
referred to in Article Ten (except Section 1002 and 1003) or otherwise set
forth in this Indenture and expressly made subject to this Section 403 pursuant
to Section 301, and the provisions of Article Thirteen, if applicable, shall
not apply, with respect to the Defeased Securities on and after the date the
conditions set forth below are satisfied (hereinafter, “covenant defeasance”),
and the Defeased Securities shall thereafter be deemed to be not “Outstanding”
for the purposes of any direction, waiver, consent or declaration or Act of
Holders (and the consequences of any thereof) in connection with such covenants
and the provisions of Article Thirteen, if applicable, but shall continue to be
deemed “Outstanding” for all other purposes hereunder. For this purpose, such
covenant defeasance means that, with respect to the Defeased Securities, the
Company and each Guarantor may omit to comply with and shall have no liability
in respect of any term, condition or limitation set forth in any such Section
or Article, whether directly or indirectly, by reason of any reference
elsewhere herein to any such Section or Article or by reason of any reference
in any such Section or Article to any other provision herein or in any other
document and such omission to comply shall not constitute a Default or an Event
of Default under Section 501(c), (d) or (g), but, except as specified above,
the remainder of this Indenture and such Defeased Securities shall be
unaffected thereby.

Section 404.           Conditions
to Defeasance or Covenant Defeasance.

Unless otherwise provided pursuant to Section 301, the
following shall be the conditions to application of either Section 402 or
Section 403 to the Defeased Securities:

(a)           The
Company shall irrevocably have deposited or caused to be deposited with the
Trustee (or another trustee satisfying the requirements of Section 608 who
shall agree to comply with the provisions of this Article Four applicable to
it) as trust funds in trust for the purpose of making the following payments,
specifically pledged as security for, and dedicated solely to, the benefit of
the Holders of such Securities, (a) United States dollars in an amount, or (b)
U.S. Government Obligations which through the scheduled payment of principal
and interest in respect thereof in accordance with their terms will provide,
not later than one day before the due date of any payment, money in an amount,
or (c) a combination thereof, sufficient, in the opinion 

 39
 

of a nationally recognized firm of independent public
accountants or a nationally recognized investment banking firm expressed in a
written certification thereof delivered to the Trustee, to pay and discharge
and which shall be applied by the Trustee (or other qualifying trustee) to pay
and discharge the principal of, premium, if any, and interest on the Defeased
Securities on the Stated Maturity of such principal or installment of principal
or interest (or on the “Defeasance Redemption Date” as defined pursuant to
Section 301), if when exercising under Section 401 either its option applicable
to Section 402 or its option applicable to Section 403, the Company shall have
delivered to the Trustee an irrevocable notice to redeem all of the Outstanding
Securities of the applicable series on the Defeasance Redemption Date);
provided that the Trustee shall have been irrevocably instructed to apply such
United States dollars or the proceeds of such U.S. Government Obligations to
said payments with respect to the Securities of that series. For this purpose, “U.S.
Government Obligations” means securities that are (i) direct obligations of the
United States of America for the timely payment of which its full faith and
credit is pledged or (ii) obligations of a Person controlled or supervised by
and acting as an agency or instrumentality of the United States of America the
timely payment of which is unconditionally guaranteed as a full faith and
credit obligation by the United States of America, which, in either case, are
not callable or redeemable at the option of the issuer thereof, and shall also
include a depository receipt issued by a bank (as defined in Section 3(a)(2) of
the Securities Act), as custodian with respect to any such U.S. Government
Obligation or a specific payment of principal of or interest on any such U.S.
Government Obligation held by such custodian for the account of the holder of
such depository receipt, provided that (except as required by law) such custodian
is not authorized to make any deduction from the amount payable to the holder
of such depository receipt from any amount received by the custodian in respect
of the U.S. Government Obligation or the specific payment of principal of or
interest on the U.S. Government Obligation evidenced by such depository
receipt.

(b)           In
the case of an election under Section 402, the Company shall have delivered to
the Trustee an Opinion of Independent Counsel in the United States stating that
(A) the Company has received from, or there has been published by, the Internal
Revenue Service a ruling or (B) since the date of this Indenture, there has
been a change in the applicable federal income tax law, in either case to the
effect that, and based thereon such Opinion of Independent Counsel in the
United States shall confirm that, the holders of the Outstanding Securities
will not recognize income, gain or loss for federal income tax purposes as a
result of such defeasance and will be subject to federal income tax on the same
amounts, in the same manner and at the same times as would have been the case
if such defeasance had not occurred.

(c)           In
the case of an election under Section 403, the Company shall have delivered to
the Trustee an Opinion of Independent Counsel in the United States to the
effect that the holders of the Outstanding Securities will not recognize
income, gain or loss for federal income tax purposes as a result of such
covenant defeasance and will be subject to federal income tax on the same
amounts, in the same manner and at the same times as would have been the case
if such covenant defeasance had not occurred.

 40
 

(d)           No
Default or Event of Default shall have occurred and be continuing on the date
of such deposit or insofar as subsections 501(h) and (i) are concerned, at any
time during the period ending on the 91st day after the date of deposit.

(e)           Such
defeasance or covenant defeasance shall not cause the Trustee for the
Securities of that series to have a conflicting interest with respect to any
securities of the Company or any Guarantor.

(f)            Such
defeasance or covenant defeasance shall not result in a breach or violation of,
or constitute a Default under, this Indenture or any other material agreement
or instrument to which the Company or any Guarantor is a party or by which it
is bound.

(g)           The
Company shall have delivered to the Trustee an Opinion of Independent Counsel
to the effect that (A) the trust funds will not be subject to any rights of
holders of senior Indebtedness or Guarantor Senior Indebtedness, including,
without limitation, those arising under this Indenture and (B) after the 91st
day following the deposit, the trust funds will not be subject to the effect of
any applicable bankruptcy, insolvency, reorganization or similar laws affecting
creditors’ rights generally.

(h)           The
Company shall have delivered to the Trustee an Officers’ Certificate stating
that the deposit was not made by the Company with the intent of preferring the
holders of the Securities of that series or any Guarantee over the other
creditors of the Company or any Guarantor with the intent of defeating,
hindering, delaying or defrauding creditors of the Company, any Guarantor or
others.

(i)            No
event or condition shall exist that would prevent the Company from making
payments of the principal of, premium, if any, and interest on the Securities
of that series on the date of such deposit or at any time ending on the 91st
day after the date of such deposit.

(j)            The
Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Independent Counsel, each stating that all conditions precedent
provided for relating to either the defeasance under Section 402 or the
covenant defeasance under Section 403 (as the case may be) have been complied
with as contemplated by this Section 404.

Opinions of Counsel or Opinions of Independent Counsel
required to be delivered under this Section may have qualifications customary
for opinions of the type required and counsel delivering such opinions may rely
on certificates of the Company or government or other officials customary for
opinions of the type required, including certificates certifying as to matters
of fact, including that various financial covenants have been complied with.

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Section 405.           Deposited
Money and U.S. Government Obligations to Be Held in Trust; Other Miscellaneous
Provisions.

Subject to the provisions of the last paragraph of
Section 1003, all United States dollars and U.S. Government Obligations
(including the proceeds thereof) deposited with the Trustee or other qualifying
trustee as permitted under Section 404 (collectively, for purposes of this
Section 405, the “Trustee”) pursuant to Section 404 in respect of the Defeased
Securities shall be held in trust and applied by the Trustee, in accordance
with the provisions of such Securities and this Indenture, to the payment,
either directly or through any Paying Agent (including the Company acting as
its own Paying Agent) as the Trustee may determine, to the Holders of such
Securities of all sums due and to become due thereon in respect of principal,
premium, if any, and interest, but such money need not be segregated from other
funds except to the extent required by law.

The Company shall pay and indemnify the Trustee
against any tax, fee or other charge imposed on or assessed against the U.S.
Government Obligations deposited pursuant to Section 404 or the principal and
interest received in respect thereof other than any such tax, fee or other
charge which by law is for the account of the Holders of the Defeased Securities.

Anything in this Article Four to the contrary
notwithstanding, the Trustee shall deliver or pay to the Company from time to
time upon Company Request any United States dollars or U.S. Government
Obligations held by it as provided in Section 404 which, in the opinion of a
nationally recognized firm of independent public accountants expressed in a
written certification thereof delivered to the Trustee, are in excess of the
amount thereof which would then be required to be deposited to effect defeasance
or covenant defeasance.

Section 406.           Reinstatement.

If the Trustee or Paying Agent is unable to apply any
United States dollars or U.S. Government Obligations in accordance with Section
402 or 403, as the case may be, by reason of any order or judgment of any court
or governmental authority enjoining, restraining or otherwise prohibiting such
application, then the Company’s and any Guarantor’s obligations under this
Indenture and the Securities of that series and the provisions of Article
Thirteen hereof shall be revived and reinstated as though no deposit had
occurred pursuant to Section 402 or 403, as the case may be, until such time as
the Trustee or Paying Agent is permitted to apply all such United States
dollars or U.S. Government Obligations in accordance with Section 402 or 403,
as the case may be; provided, however, that if the Company makes any payment to
the Trustee or Paying Agent of principal of, premium, if any, or interest on
any Security following the reinstatement of its obligations, the Trustee or
Paying Agent shall promptly pay any such amount to the Holders of the
Securities of that series and the Company shall be subrogated to the rights of
the Holders of such Securities of that series to receive such payment from the
money held by the Trustee or Paying Agent.

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ARTICLE
FIVE

REMEDIES

Section 501.           Events
of Default.

Unless otherwise provided pursuant to Section 301, “Event
of Default”, wherever used herein with respect to the Securities of any series,
means any one of the following events which has occurred and is continuing
(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):

(a)           there shall be a
default in the payment of any interest on any Security of that series when it
becomes due and payable, and such default shall continue for a period of 30
days;

(b)           there shall be a default
in the payment of the principal of (or premium, if any, on) any Security of
that series at its Maturity (upon acceleration, optional or mandatory
redemption, required repurchase or otherwise);

(c)           there shall be a
default in the performance, or breach, of any covenant or agreement of the
Company or any Guarantor under this Indenture (other than a default in the
performance or breach of a covenant or agreement which is specifically dealt
with in clause (a) or (b) or in clause (ii) of this clause (c)) and such
default or breach shall continue for a period of 30 days after written notice
has been given, by certified mail, (1) to the Company by the Trustee or (2) to
the Company and the Trustee by the Holders of at least 25% in aggregate
principal amount of the Outstanding Securities of the series; and (ii) there
shall be a default in the performance or breach of the provisions of Article
Eight;

(d)           one or more defaults
shall have occurred under any agreements, indentures or instruments under which
the Company, any Guarantor or any Restricted Subsidiary then has outstanding
Indebtedness in excess of $5,000,000 in the aggregate and, if not already
matured at its final maturity in accordance with its terms, such Indebtedness
shall have been accelerated;

(e)           any Guarantee shall
for any reason cease to be, or be asserted in writing by any Guarantor or the
Company not to be, in full force and effect, and enforceable in accordance with
its terms, except to the extent contemplated by this Indenture and any such Guarantee;

(f)            one or more
judgments, orders or decrees for the payment of money in excess of $5,000,000
either individually or in the aggregate (net of amounts covered by insurance,
bond, surety or similar instrument), shall be entered against the Company, any
Guarantor, or any Restricted Subsidiary or any of their respective properties
and shall not be discharged and either (a) any creditor shall have commenced an
enforcement proceeding upon such judgment, order or decree or (b) there shall
have been a period of 60 consecutive days during which a stay of enforcement of
such judgment or order, by reason of an appeal or otherwise, shall not be in
effect;

 43
 

(g)           any holder or
holders of at least $5,000,000 in aggregate principal amount of Indebtedness of
the Company, any Guarantor, or any Restricted Subsidiary after a default under
such Indebtedness shall notify the Trustee of the intended sale or disposition
of any assets of the Company, any Guarantor or any Restricted Subsidiary that
have been pledged to or for the benefit of such holder or holders to secure
such Indebtedness or shall commence proceedings, or take any action (including
by way of set-off), to retain in satisfaction of such Indebtedness or to
collect on, seize, dispose of or apply in satisfaction of Indebtedness, assets
of the Company or any Restricted Subsidiary (including funds on deposit or held
pursuant to lock-box and other similar arrangements);

(h)           there shall have
been the entry by a court of competent jurisdiction of (i) a decree or order
for relief in respect of the Company, any Guarantor or any Restricted
Subsidiary in an involuntary case or proceeding under any applicable Bankruptcy
Law or (ii) a decree or order adjudging the Company, any Guarantor or any
Restricted Subsidiary bankrupt or insolvent, or seeking reorganization,
arrangement, adjustment or composition of or in respect of the Company, any
Guarantor or any Restricted Subsidiary under any applicable federal or state
law, or appointing a custodian, receiver, liquidator, assignee, trustee,
sequestrator (or other similar official) of the Company, any Guarantor or any
Restricted Subsidiary or of any substantial part of their respective
properties, or ordering the winding up or liquidation of their affairs, and any
such decree or order for relief shall continue to be in effect, or any such
other decree or order shall be unstayed and in effect, for a period of 60
consecutive days; or

(i)            (i) the Company,
any Guarantor or any Restricted Subsidiary commences a voluntary case or
proceeding under any applicable Bankruptcy Law or any other case or proceeding
to be adjudicated bankrupt or insolvent, (ii) the Company, any Guarantor or any
Restricted Subsidiary consents to the entry of a decree or order for relief in
respect of the Company, any Guarantor or such Restricted Subsidiary in an
involuntary case or proceeding under any applicable Bankruptcy Law or to the
commencement of any bankruptcy or insolvency case or proceeding against it,
(iii) the Company, any Guarantor or any Restricted Subsidiary files a petition
or answer or consent seeking reorganization or relief under any applicable
federal or state law, (iv) the Company, any Guarantor or any Restricted
Subsidiary (1) consents to the filing of such petition or the appointment of,
or taking possession by, a custodian, receiver, liquidator, assignee, trustee,
sequestrator or other similar official of the Company, any Guarantor or such
Restricted Subsidiary or of any substantial part of its respective properties,
(2) makes an assignment for the benefit of creditors or (3) admits in writing
its inability to pay its debts generally as they become due, or (v) the
Company, any Guarantor or any Restricted Subsidiary takes any corporate action
authorizing any such actions in this paragraph (i).

Unless otherwise provided pursuant to Section 301, the
Company shall deliver to the Trustee within five days after the occurrence
thereof, written notice, in the form of an Officers’ Certificate, of any
Default, its status and what action the Company is taking or proposes to take
with respect thereto. Unless the Corporate Trust Office of the Trustee has
received written notice of an Event of Default of the nature described in this
Section, the Trustee shall not be deemed to have knowledge of such Event of
Default for the purposes of Article Five or for any other purpose.

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Section 502.           Acceleration
of Maturity; Rescission and Annulment.

Unless otherwise provided pursuant to Section 301, if
an Event of Default (other than an Event of Default specified in Sections 501(h)
and (i)) shall occur and be continuing, the Trustee or the Holders of not less
than 25% in aggregate principal amount of the Securities Outstanding of the
applicable series may, and the Trustee at the request of the Holders of not
less than 25% in aggregate principal amount of the Securities of the applicable
series Outstanding shall, declare all unpaid principal of, premium, if any, and
accrued interest on, all the Securities of that series to be due and payable
immediately, by a notice in writing to the Company (and to the Trustee if given
by the Holders of the Securities of that series). Thereupon the Trustee may, at
its discretion, proceed to protect and enforce the rights of the Holders of the
Securities of that series by appropriate judicial proceeding. If an Event of
Default specified in clause (h) or (i) of Section 501 occurs and is continuing,
then all the Securities shall ipso facto become and be immediately due and
payable, in an amount equal to the principal amount of the Securities of that
series, together with accrued and unpaid interest, if any, to the date the
Securities become due and payable, without any declaration or other act on the
part of the Trustee or any Holder.

Unless otherwise provided pursuant to Section 301, at
any time after such declaration of acceleration has been made but before a
judgment or decree for payment of the money due has been obtained by the
Trustee as hereinafter in this Article provided, the Holders of a majority in
aggregate principal amount of the Securities Outstanding of the applicable
series, by written notice to the Company and the Trustee, may rescind and annul
such declaration and its consequences if:

(a)           the Company has paid
or deposited with the Trustee a sum sufficient to pay

(1)           all sums paid or advanced by the
Trustee under this Indenture and the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel,

(2)           all overdue interest on all
Securities of any series,

(3)           the principal of and premium, if any,
on any Securities of any series which have become due otherwise than by such
declaration of acceleration and interest thereon at a rate borne by the
Securities, and

(4)           to the extent that payment of such
interest is lawful, interest upon overdue interest at the rate borne by the
Securities; and

 45
 

(b)           all Events of
Default, other than the non-payment of principal of the Securities of any
series which have become due solely by such declaration of acceleration, have
been cured or waived as provided in Section 513.

No such rescission shall affect any subsequent Default
or impair any right consequent thereon provided in Section 513. Provisions
relating to acceleration of the Maturity of a portion of the principal amount
of an Original Issue Discount Security upon the occurrence of an Event of
Default and the continuation thereof shall be provided pursuant to Section 301.

Section 503.           Collection
of Indebtedness and Suits for Enforcement by Trustee.

The Company, as to Securities of any series, and any
Guarantor, as to Securities of any series guaranteed by such Guarantor,
covenant that if

(a)           default is made in
the payment of any interest on any such Security when such interest becomes due
and payable and such default continues for a period of 30 days, or

(b)           default is made in
the payment of the principal of or premium, if any, on any such Security at the
Stated Maturity thereof, the Company and, if applicable, any such Guarantor
will, upon demand of the Trustee, pay to it, for the benefit of the Holders of
such Securities, subject to Article Thirteen, if applicable, the whole amount
then due and payable on such Securities for principal and premium, if any, and
interest, with interest upon the overdue principal and premium, if any, and, to
the extent that payment of such interest shall be legally enforceable, upon
overdue installments of interest, at the rate borne by the Securities of that
series; and, in addition thereto, such further amount as shall be sufficient to
cover the costs and expenses of collection, including the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel.

If the Company or, if applicable, any Guarantor fails
to pay such amounts forthwith upon such demand, the Trustee, in its own name
and as trustee of an express trust, may institute a judicial proceeding for the
collection of the sums so due and unpaid and may prosecute such proceeding to
judgment or final decree, and may enforce the same against the Company or, if
applicable, any Guarantor or any other obligor upon the Securities of any
series and collect the moneys adjudged or decreed to be payable in the manner
provided by law out of the property of the Company or, if applicable, any
Guarantor or any other obligor upon the Securities of that series, wherever
situated.

If an Event of Default occurs and is continuing, the
Trustee may in its discretion proceed to protect and enforce its rights and the
rights of the Holders under this Indenture or the Guarantees by such
appropriate private or judicial proceedings as the Trustee shall deem most
effectual to protect and enforce such rights, including, seeking recourse
against any Guarantor pursuant to the terms of any Guarantee, whether for the
specific enforcement of any covenant or agreement in this Indenture or in aid
of the exercise of any power granted herein or therein, or to enforce any other
proper remedy, including, without limitation, seeking recourse against any
Guarantor pursuant to the terms of a Guarantee, or to enforce any other proper
remedy, subject however to Section 512.

 46
 

Section 504.           Trustee
May File Proofs of Claim.

In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment,
composition or other judicial proceeding relative to the Company or any other
obligor, including each Guarantor, upon the Securities of any series or the
property of the Company or of such other obligor or their creditors, the
Trustee (irrespective of whether the principal of the Securities of that series
shall then be due and payable as therein expressed or by declaration or
otherwise and irrespective of whether the Trustee shall have made any demand on
the Company for the payment of overdue principal or interest) shall be entitled
and empowered, by intervention in such proceeding or otherwise,

(a)           to file and prove a
claim for the whole amount of principal, and premium, if any, and interest
owing and unpaid in respect of the Securities of that series and to file such
other papers or documents as may be necessary or advisable in order to have the
claims of the Trustee (including any claim for the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel)
and of the Holders allowed in such judicial proceeding, and

(b)           subject to Article
Thirteen, if applicable, to collect and receive any moneys, securities or other
property payable or deliverable upon any conversion or exchange of Securities
of that series or upon any such claims and to distribute the same; and any
custodian in any such judicial proceeding is hereby authorized by each Holder
to make such payments to the Trustee and, in the event that the Trustee shall
consent to the making of such payments directly to the Holders, to pay the
Trustee any amount due it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 606.

Nothing herein contained shall be deemed to authorize
the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition
affecting the Securities of any series or the rights of any Holder thereof, or
to authorize the Trustee to vote in respect of the claim of any Holder in any
such proceeding.

Section 505.           Trustee
May Enforce Claims without Possession of Securities.

All rights of action and claims under this Indenture
or the Securities of any series may be prosecuted and enforced by the Trustee
without the possession of any of the Securities of that series or the
production thereof in any proceeding relating thereto, and any such proceeding
instituted by the Trustee shall be brought in its own name and as trustee of an
express trust, and any recovery of judgment shall, after provision for the
payment of the reasonable compensation, expenses, disbursements and advances of
the Trustee, its agents and counsel, be for the ratable benefit of the Holders
of the Securities of that series in respect of which such judgment has been recovered.

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Section 506.           Application
of Money Collected.

Any money collected by the Trustee pursuant to this
Article or otherwise on behalf of the Holders or the Trustee pursuant to this
Article or through any proceeding or any arrangement or restructuring in
anticipation or in lieu of any proceeding contemplated by this Article shall be
applied, subject to applicable law, in the following order, at the date or
dates fixed by the Trustee and, in case of the distribution of such money on
account of principal, premium, if any, or interest, upon presentation of the
Securities of any series and the notation thereon of the payment if only
partially paid and upon surrender thereof if fully paid:

FIRST: To the payment of all amounts due the Trustee
under Section 606;

SECOND: Subject to Article Thirteen, if applicable, to
the payment of the amounts then due and unpaid upon the Securities of that
series for principal, premium, if any, and interest, in respect of which or for
the benefit of which such money has been collected, ratably, without preference
or priority of any kind, according to the amounts due and payable on such
Securities for principal, premium, if any, and interest; and

THIRD: Subject to Article Thirteen, if applicable, the
balance, if any, to the Person or Persons entitled thereto, including the
Company, provided that all sums due and owing to the Holders and the Trustee
have been paid in full as required by this Indenture.

Section 507.           Limitation
on Suits.

No Holder of any Securities of any series shall have
any right to institute any proceeding, judicial or otherwise, with respect to
this Indenture, or for the appointment of a receiver or trustee, or for any
other remedy hereunder, unless

(a)           such Holder has
previously given written notice to the Trustee of a continuing Event of
Default;

(b)           the Holders of not
less than 25% in principal amount of the Outstanding Securities of that series
shall have made written request to the Trustee to institute proceedings in
respect of such Event of Default in its own name as trustee hereunder;

(c)           such Holder or
Holders have offered to the Trustee an indemnity satisfactory to the Trustee
against the costs, expenses and liabilities to be incurred in compliance with
such request;

(d)           the Trustee for 60
days after its receipt of such notice, request and offer of indemnity has
failed to institute any such proceeding; and

 48
 

(e)           no direction
inconsistent with such written request has been given to the Trustee during
such 60-day period by the Holders of a majority in principal amount of the
Outstanding Securities of that series; it being understood and intended that no
one or more Holders shall have any right in any manner whatever by virtue of,
or by availing of, any provision of this Indenture or any Guarantee to affect,
disturb or prejudice the rights of any other Holders, or to obtain or to seek
to obtain priority or preference over any other Holders or to enforce any right
under this Indenture, except in the manner provided in this Indenture or any
Guarantee and for the equal and ratable benefit of all the Holders of
Securities of that series.

Section 508.           Unconditional
Right of Holders to Receive Principal, Premium and Interest.

Notwithstanding any other provision in this Indenture,
but subject to Article Thirteen, if applicable, the Holder of any Security of
any series shall have the right on the terms stated herein, which is absolute
and unconditional, to receive payment of the principal of, premium, if any, and
(subject to Section 309) interest on such Security on the respective Stated
Maturities expressed in such Security (or, in the case of redemption or
repurchase, on the Redemption Date or repurchase date) and to institute suit
for the enforcement of any such payment, and such rights shall not be impaired
without the consent of such Holder, subject to Article Thirteen, if applicable.

Section 509.           Restoration
of Rights and Remedies.

If the Trustee or any Holder has instituted any
proceeding to enforce any right or remedy under this Indenture or the
Guarantees and such proceeding has been discontinued or abandoned for any
reason, or has been determined adversely to the Trustee or to such Holder, then
and in every such case the Company, each of the Guarantors, the Trustee and the
Holders shall, subject to any determination in such proceeding, be restored
severally and respectively to their former positions hereunder, and thereafter
all rights and remedies of the Trustee and the Holders shall continue as though
no such proceeding had been instituted.

Section 510.           Rights
and Remedies Cumulative.

No right or remedy herein conferred upon or reserved
to the Trustee or to the Holders is intended to be exclusive of any other right
or remedy, and every right and remedy shall, to the extent permitted by law, be
cumulative and in addition to every other right and remedy given hereunder or
now or hereafter existing at law or in equity or otherwise. The assertion or
employment of any right or remedy hereunder, or otherwise, shall not prevent
the concurrent assertion or employment of any other appropriate right or
remedy.

Section 511.           Delay or
Omission Not Waiver.

No delay or omission of the Trustee or of any Holder
of any Security of any series to exercise any right or remedy accruing upon any
Event of Default shall impair any such right or remedy or constitute a waiver
of any such Event of Default or an acquiescence therein. Every right and remedy
given by this Article or by law to the Trustee or to the Holders may be
exercised from time to time, and as often as may be deemed expedient, by the
Trustee or by the Holders, as the case may be.

 49

Section 512.           Control
by Holders.

The Holders of not less than a majority in aggregate
principal amount of the Outstanding Securities of a series (or if more than one
series is affected thereby, of all series so affected, voting as a single
class) shall have the right to direct the time, method and place of conducting
any proceeding for any remedy available to the Trustee, or exercising any trust
or power conferred on the Trustee of that series, provided that

(a)           such direction shall
not be in conflict with any rule of law or with this Indenture or any Guarantee
or expose the Trustee to personal liability; and

(b)           the Trustee may take
any other action deemed proper by the Trustee which is not inconsistent with
such direction.

Section 513.           Waiver
of Past Defaults.

Unless otherwise provided pursuant to Section 301, the
Holders of not less than a majority in aggregate principal amount of the
Outstanding Securities of any series may on behalf of the Holders of all the
Securities of that series waive any past Default hereunder and its
consequences, except a Default

(a)           in the payment of
the principal of, premium, if any, or interest on any Security of any series;
or

(b)           in respect of a
covenant or a provision hereof which under Article Nine cannot be modified or
amended without the consent of a higher percentage of the principal amount of
the Outstanding Securities of that series.

Upon any such waiver, such Default shall cease to
exist, and any Event of Default arising therefrom shall be deemed to have been
cured, for every purpose of this Indenture; but no such waiver shall extend to
any subsequent or other Default or impair any right consequent thereon.

Section 514.           Undertaking
for Costs.

All parties to this Indenture agree, and each Holder
of any Security of any series by his acceptance thereof shall be deemed to have
agreed, that any court may in its discretion require, in any suit for the
enforcement of any right or remedy under this Indenture, or in any suit against
the Trustee of that series for any action taken, suffered or omitted by it as
Trustee of that series, the filing by any party litigant in such suit of an
undertaking to pay the costs of such suit, and that such court may in its
discretion assess reasonable costs, including reasonable attorneys’ fees, against
any party litigant in such suit, having due regard to the merits and good faith
of the claims or defenses made by such party litigant; but the provisions of
this Section shall not apply to any suit instituted 

 50
 

by the Trustee of that series, to any suit instituted
by any Holder, or group of Holders, of that series holding in the aggregate
more than 10% in principal amount of the Outstanding Securities of that series,
or to any suit instituted by any Holder for the enforcement of the payment of
the principal of, premium, if any, or interest on any Security of any series on
or after the respective Stated Maturities expressed in such Security (or, in
the case of redemption, on or after the Redemption Date).

Section 515.           Waiver
of Stay, Extension or Usury Laws.

Each of the Company and any Guarantor covenants (to
the extent that it may lawfully do so) that it will not at any time insist
upon, or plead, or in any manner whatsoever claim or take the benefit or
advantage of, any stay or extension law or any usury or other law wherever
enacted, now or at any time hereafter in force, which would prohibit or forgive
the Company or any Guarantor from paying all or any portion of the principal
of, premium, if any, or interest on the Securities of any series or which may
affect the covenants or the performance of this Indenture; and each of the
Company and any Guarantor (to the extent that it may lawfully do so) hereby
expressly waives all benefit or advantage of any such law, and covenants that
it will not hinder, delay or impede the execution of any power herein granted
to the Trustee of that series, but will suffer and permit the execution of
every such power as though no such law had been enacted.

ARTICLE SIX

THE TRUSTEE

Section 601.           Notice
of Defaults.

Within 30 days after the occurrence of any Default,
the Trustee shall transmit by mail to all Holders, as their names and addresses
appear in the Security Register, notice of such Default hereunder known to the
Trustee, unless such Default shall have been cured or waived; provided,
however, that, except in the case of a Default in the payment of the principal
of, premium, if any, or interest on any Security of any series, the Trustee
shall be protected in withholding such notice if and so long as a trust
committee of Responsible Officers of the Trustee in good faith determines that
the withholding of such notice is in the interest of the Holders.

Section 602.           Certain
Rights of Trustee.

Subject to the provisions of Trust Indenture Act
Sections 315(a) through 315(d):

(a)           the
Trustee may rely and shall be protected in acting or refraining from acting
upon any resolution, certificate, statement, instrument, opinion, report,
notice, request, direction, consent, order, 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;

 51
 

(b)           any
request or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order and any resolution of the Board
of Directors may be sufficiently evidenced by a Board Resolution;

(c)           the
Trustee may consult with counsel and any written advice of such counsel or any
Opinion of Counsel 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 in accordance with such advice or Opinion of Counsel;

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

(e)           the
Trustee shall not be liable for any action taken or omitted by it in good faith
and believed by it to be authorized or within the discretion, rights or powers
conferred upon it by this Indenture other than any liabilities arising out of
the negligence of the Trustee;

(f)            the
Trustee shall not be bound to make any investigation into the facts or matters
stated in any resolution, certificate, statement, instrument, opinion, report,
notice, request, direction, consent, order, approval, appraisal, bond,
debenture, note, coupon, security or other paper or document; provided, that
the Trustee in its discretion may make such further inquiry or investigation
into such facts or matters as it may deem fit, and, if the Trustee shall
determine to make such further inquiry or investigation, it shall be entitled
to examine the books, records and premises of the Company, personally or by
agent or attorney;

(g)           the
Trustee may execute any of the trusts or powers hereunder or perform any duties
hereunder either directly or by or through agents or attorneys and the 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;

(h)           no
provision of this Indenture shall require the Trustee to expend or risk its own
funds or otherwise incur any financial liability in the performance of any of
its duties hereunder, or in the exercise of any of its rights or powers;

(i)            the
Trustee shall not be liable for interest on any money received by it except as
the Trustee may agree in writing with the Company, except as otherwise provided
herein;

(j)            money
held in trust by the Trustee need not be segregated from other funds except to
the extent required by law, except as otherwise provided herein; and

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

 52
 

Section 603.           Trustee
Not Responsible for Recitals, Dispositions of Securities or Application of
Proceeds Thereof.

The recitals contained herein and in the Securities of
each series, except the Trustee’s certificates of authentication, shall be
taken as the statements of the Company, and the Trustee assumes no
responsibility for their correctness. The Trustee makes no representations as
to the validity or sufficiency of this Indenture or of the Securities of any
series, except that the Trustee represents that it is duly authorized to
execute and deliver this Indenture, authenticate the Securities of any securities
and perform its obligations hereunder and that the statements made by it in any
Statement of Eligibility and Qualification on Form T-1 supplied to the Company
are true and accurate subject to the qualifications set forth therein. The
Trustee shall not be accountable for the use or application by the Company of
Securities of any series or the proceeds thereof.

Section 604.           Trustee
and Agents May Hold Securities; Collections; etc.

The Trustee, any Paying Agent, Security Registrar or
any other agent of the Company, in its individual or any other capacity, may
become the owner or pledgee of Securities, with the same rights it would have
if it were not the Trustee, Paying Agent, Security Registrar or such other
agent and, subject to Trust Indenture Act Sections 310 and 311, may otherwise
deal with the Company and receive, collect, hold and retain collections from
the Company with the same rights it would have if it were not the Trustee,
Paying Agent, Security Registrar or such other agent.

Section 605.           Money
Held in Trust.

All moneys received by the Trustee shall, until used
or applied as herein provided, be held in trust for the purposes for which they
were received, but need not be segregated from other funds except to the extent
required by mandatory provisions of law. Except for funds or securities
deposited with the Trustee pursuant to Article Four, the Trustee may invest all
moneys received by the Trustee, until used or applied as herein provided, in
Temporary Cash Investments in accordance with the written directions of the
Company. The Trustee shall not be liable for any losses incurred in connection
with any investments made in accordance with this Section 605, unless the
Trustee acted with gross negligence or in bad faith. With respect to any losses
on investments made under this Section 605, the Company is liable for the full
extent of any such loss.

Section 606.           Compensation
and Indemnification of Trustee and Its Prior Claim.

The Company
covenants and agrees to pay to the Trustee from time to time, and the Trustee
shall be entitled to, such compensation for all services rendered by it
hereunder (which shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust) set forth in a letter agreement
executed by the Company and the Trustee, as such agreement may be amended or
supplemented, and 

 53
 

the Company covenants and agrees to pay or reimburse
the Trustee and each predecessor Trustee upon its request for all reasonable
expenses, disbursements and advances incurred or made by or on behalf of it in
accordance with any of the provisions of this Indenture (including the
reasonable compensation and the expenses and disbursements of its counsel and
of all agents and other persons not regularly in its employ) except any such
expense, disbursement or advance as may arise from its negligence or bad faith.
The Company also covenants to indemnify the Trustee and each predecessor
Trustee for, and to hold it harmless against, any loss, liability, tax,
assessment or other governmental charge (other than taxes applicable to the
Trustee’s compensation hereunder) or expense incurred without negligence or bad
faith on such Trustee’s part, arising out of or in connection with the
acceptance or administration of this Indenture or the trusts hereunder and such
Trustee’s duties hereunder, including enforcement of this Indenture and also
including any liability which the Trustee may incur as a result of failure to
withhold, pay or report any tax, assessment or other governmental charge, and
the costs and expenses of defending itself against or investigating any claim
of liability (whether asserted by any Holder, the Company or any other Person)
in connection with the exercise or performance of any of its powers or duties
under this Indenture. The obligations of the Company under this Section to
compensate and indemnify the Trustee and each predecessor Trustee and to pay or
reimburse the Trustee and each predecessor Trustee for expenses, disbursements
and advances shall constitute an additional obligation hereunder and shall
survive the satisfaction and discharge of this Indenture.

All payments and reimbursements pursuant to this
Section 606 shall be made with interest at the rate borne by the Securities.

As security for the performance of the obligations of
the Company under this Section 606, the Trustee shall have a Lien prior to the
Securities of any series upon all property and funds held or collected by the
Trustee, except funds held in trust for the payment of principal of (and
premium, if any) or interest on particular Securities. The Trustee’s right to
receive payment of any amounts due under this Section 606 shall not be
subordinate to any other liability or indebtedness of the Company (even though
the Securities of any series may be so subordinate), and the Securities of any
series shall be subordinate to the Trustee’s right to receive such payment.

Section 607.           Conflicting
Interests.

The Trustee shall comply with the provisions of
Section 310(b) of the Trust Indenture Act.

Section 608.           Corporate
Trustee Required; Eligibility.

There shall at all
times be a Trustee hereunder which shall be eligible to act as trustee under
Trust Indenture Act Section 310(a)(1) and which shall have a combined capital
and surplus of at least $250,000,000, to the extent there is an institution
eligible and willing to serve. The Trustee shall be a participant in the
Depository Trust Company and FAST distribution systems. If such corporation
publishes reports of condition at least annually, pursuant to law or to the
requirements of federal, state, 

 54
 

territorial or District of Columbia supervising or
examining authority, then for the purposes of this Section, the combined
capital and surplus of such corporation shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so
published. If at any time the Trustee shall cease to be eligible in accordance
with the provisions of this Section, the Trustee shall resign immediately in
the manner and with the effect hereinafter specified in this Article. The
Corporate Trust Office shall initially be located at

Section 609.           Resignation
and Removal; Appointment of Successor Trustee.

(a)           No
resignation or removal of the Trustee and no appointment of a successor trustee
pursuant to this Article shall become effective until the acceptance of
appointment by the successor trustee under Section 610.

(b)           The
Trustee, or any trustee or trustees hereafter appointed, may at any time resign
by giving written notice thereof to the Company. Upon receiving such notice of
resignation, the Company shall promptly appoint a successor trustee by written
instrument executed by authority of the Board of Directors of the Company, a
copy of which shall be delivered to the resigning Trustee and a copy to the
successor trustee. If an instrument of acceptance by a successor trustee shall
not have been delivered to the Trustee within 30 days after the giving of such
notice of resignation, the resigning Trustee may, or any Holder who has been a
bona fide Holder of a Security of the applicable series 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. Such
court may thereupon, after such notice, if any, as it may deem proper, appoint
a successor trustee.

(c)           The
Trustee may be removed at any time with respect to the Securities of any series
by an Act of the Holders of not less than a majority in aggregate principal
amount of the Outstanding Securities of that series, delivered to the Trustee
and to the Company.

(d)           If
at any time:

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

(2)           the Trustee shall
cease to be eligible under Section 608 and shall fail to resign after written
request therefor by the Company or by any Holder who has been a bona fide
Holder of a Security for at least six months, or

(3)           the Trustee shall
become incapable of acting or shall be adjudged a bankrupt or insolvent, or a
receiver of the Trustee or of its property shall be appointed or any public
officer shall take charge or control of the Trustee or of its property or
affairs for the purpose of rehabilitation, conservation or liquidation, then,
in any case, (i) the Company by a Board Resolution may remove the Trustee, or
(ii) subject to Section 514, the Holder of any Security who has been a bona
fide Holder of a Security for at least six months may, on behalf of himself and
all others similarly situated, petition any court of competent jurisdiction for
the removal of the Trustee and the appointment of a successor trustee. Such
court may thereupon, after such notice, if any, as it may deem proper and
prescribe, remove the Trustee and appoint a successor trustee.

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(e)           If
the Trustee shall be removed or become incapable of acting, or if a vacancy
shall occur in the office of Trustee for any cause, with respect to the
Securities of one or more series, the Company, by a Board Resolution, shall
promptly appoint a successor trustee with respect to the Securities of that or
those series (it being understood that any such successor Trustee may be
appointed with respect to the Securities of one or more or all series and that
at any time there shall be only one Trustee with respect to the Securities of
any particular series). If, within one year after such removal or incapability,
or the occurrence of such vacancy, a successor trustee with respect to the
Securities of any series shall be appointed by Act of the Holders of a majority
in principal amount of the Outstanding Securities of that series delivered to
the Company and the retiring Trustee, the successor trustee so appointed shall,
forthwith upon its acceptance of such appointment, become the successor Trustee
with respect to the Securities of that series and to that extent supersede the
successor trustee appointed by the Company. If no successor Trustee with
respect to the Securities of that series shall have been so appointed by the
Company or the Holders of the Securities of that series and accepted
appointment in the manner hereinafter provided, the Holder of any Security of
such series who has been a bona fide Holder for at least six months may,
subject to Section 514, on behalf of himself and all others similarly situated,
petition any court of competent jurisdiction for the appointment of a successor
Trustee with respect to the Securities of that series.

(f)            The
Company shall give notice of each resignation and each removal of the Trustee
and each appointment of a successor Trustee by mailing written notice of such
event by first-class mail, postage prepaid, to the Holders of Securities of the
affected series as their names and addresses appear in the Security Register.
Each notice shall include the name of the successor trustee and the address of
its Corporate Trust Office or agent hereunder.

Section 610.           Acceptance
of Appointment by Successor.

In case of the appointment hereunder of a successor
Trustee with respect to all Securities, such successor Trustee appointed
hereunder shall execute, acknowledge and deliver to the Company and to the
retiring Trustee an instrument accepting such appointment, and thereupon the
resignation or removal of the retiring Trustee shall become effective and 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
as if originally named as Trustee hereunder; but, nevertheless, on the written
request of the Company or the successor trustee, upon payment of its charges
then unpaid, such retiring Trustee shall, pay over to the successor trustee all
moneys at the time held by it hereunder and shall execute and deliver an
instrument transferring to such successor trustee all such rights, powers,
duties and obligations. Upon request of any such successor trustee, the Company
shall execute any and all instruments for more fully and certainly vesting in
and confirming to such successor trustee all such rights and powers. Any
Trustee ceasing to act shall, nevertheless, retain a prior claim upon all
property or funds held or collected by such Trustee or such successor trustee
to secure any amounts then due such Trustee pursuant to the provisions of
Section 606.

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In case of the appointment hereunder of a successor
Trustee with respect to the Securities of one or more (but not all) series, the
Company, the Guarantors, the retiring Trustee and each successor Trustee with
respect to the Securities of such one or more series shall execute and deliver
an indenture supplemental hereto wherein such successor Trustee shall accept
such appointment and which (1) shall contain such provisions as shall be
necessary or desirable to transfer and confirm to, and to vest in, such
successor Trustee all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series to which the
appointment of such successor Trustee relates, (2) if the retiring Trustee is
not retiring with respect to all Securities, shall contain such provisions as
shall be deemed necessary or desirable to confirm that all the rights, powers,
trusts and duties of the retiring Trustee with respect to the Securities of
that or those series as to which the retiring Trustee is not retiring shall
continue to be vested in the retiring Trustee, and (3) shall add to or change
any of the provisions of this Indenture 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 supplemental indenture shall
constitute such Trustees co-trustees 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 supplemental indenture 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 with respect to the Securities of that or those series
to which the appointment of such successor Trustee relates; but, on request of
the Company, any Guarantor or any successor Trustee, such retiring Trustee
shall duly assign, transfer and deliver to such successor Trustee all property
and money held by such retiring Trustee hereunder with respect to the
Securities of that or those series to which the appointment of such successor
Trustee relates.

Upon request of any such successor Trustee, the
Company and the Guarantors 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.

No successor Trustee with respect to the Securities of
any series shall accept appointment as provided in this Section 610 unless at
the time of such acceptance such successor trustee shall be eligible to act as
trustee under the provisions of Trust Indenture Act Section 310(a) and this
Article Sixth and shall have a combined capital and surplus of at least
$250,000,000 and have a Corporate Trust Office or an agent selected in
accordance with Section 608.

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Upon acceptance of appointment by any successor
Trustee with respect to the Securities of any particular series as provided in
this Section 610, the Company shall give notice thereof to the Holders of the
Securities of any series affected, by mailing such notice to such Holders at
their addresses as they shall appear on the Security Register. If the acceptance
of appointment is substantially contemporaneous with the resignation, then the
notice called for by the preceding sentence may be combined with the notice
called for by Section 609. If the Company fails to give such notice within 10
days after acceptance of appointment by the successor trustee, the successor
trustee shall cause such notice to be given at the expense of the Company.

Section 611.           Merger,
Conversion, Consolidation or Succession to Business.

Any corporation into which the Trustee may be merged
or converted or with which it may be consolidated, or any corporation resulting
from any merger, conversion or consolidation to which the Trustee shall be a
party, or any corporation succeeding to all or substantially all of the
corporate trust business of the Trustee, shall be the successor of the Trustee
hereunder, provided such corporation shall be eligible under Trust Indenture
Act Section 310(a) and this Article Sixth and shall have a combined capital and
surplus of at least $250,000,000 and have a Corporate Trust Office or an agent
selected in accordance with Section 608 without the execution or filing of any
paper or any further act on the part of any of the parties hereto.

In case at the time such successor to the Trustee
shall succeed to the trusts created by this Indenture any of the Securities of
any series shall have been authenticated but not delivered, any such successor
to the Trustee may adopt the certificate of authentication of any predecessor
Trustee and deliver such Securities so authenticated; and, in case at that time
any of the Securities of that series shall not have been authenticated, any
successor to the Trustee may authenticate such Securities either in the name of
any predecessor hereunder or in the name of the successor trustee; and in all
such cases such certificate shall have the full force which it is anywhere in
the Securities of any series or in this Indenture provided that the certificate
of the Trustee shall have; provided that the right to adopt the certificate of
authentication of any predecessor Trustee or to authenticate Securities of that
series in the name of any predecessor Trustee shall apply only to its successor
or successors by merger, conversion or consolidation.

Section 612.           Preferential
Collection of Claims Against Company.

If and when the Trustee shall be or become a creditor
of the Company (or other obligor under the Securities of any series), the
Trustee shall be subject to the provisions of the Trust Indenture Act regarding
the collection of claims against the Company (or any such other obligor). A
Trustee who has resigned or been removed shall be subject to the Trust
Indenture Act Section 311(a) to the extent indicated therein.

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ARTICLE
SEVEN

HOLDERS’ LISTS AND REPORTS BY TRUSTEE AND COMPANY

Section 701.           Company
to Furnish Trustee Names and Addresses of Holders.

The Company will furnish or cause to be furnished to
the Trustee

(a)           semiannually,
not more than 15 days after each Regular Record Date, a list, in such form as
the Trustee may reasonably require, of the names and addresses of the Holders
as of such Regular Record Date; and

(b)           at
such other times as the Trustee may request in writing, within 30 days after
receipt by the Company of any such request, a list of similar form and content
as of a date not more than 15 days prior to the time such list is furnished;
provided, however, that if and so long as the Trustee shall be the Security
Registrar, no such list need be furnished.

Section 702.           Disclosure
of Names and Addresses of Holders.

Holders may communicate pursuant to Trust Indenture
Act Section 312(b) with other Holders with respect to their rights under this
Indenture or the Securities, and the Trustee shall comply with Trust Indenture
Act Section 312(b). The Company, the Trustee, the Security Registrar and any
other Person shall have the protection of Trust Indenture Act Section 312(c).
Every Holder of Securities of any series, by receiving and holding the same,
agrees with the Company and the Trustee that neither the Company nor the Trustee
nor any agent of either of them shall be held accountable by reason of the
disclosure of any information as to the names and addresses of the Holders in
accordance with Trust Indenture Act Section 312, regardless of the source from
which such information was derived, and that the Trustee shall not be held
accountable by reason of mailing any material pursuant to a request made under
Trust Indenture Act Section 312.

Section 703.           Reports
by Trustee.

Within 60 days after May 15 of each year commencing
with the first May 15 after the first issuance of Securities of each series,
the Trustee shall transmit by mail to all Holders, as their names and addresses
appear in the Security Register, as provided in Trust Indenture Act Section
313(c), a brief report dated as of such May 15 in accordance with and to the
extent required by Trust Indenture Act Section 313(a).

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Section 704.           Reports
by Company and Guarantors.

The Company and any Guarantor shall:

(a)           file with the
Trustee, within 15 days after the Company or any Guarantor, as the case may be,
is required to file the same with the Commission, copies of the annual reports
and of the information, documents and other reports (or copies of such portions
of any of the foregoing as the Commission may from time to time by rules and
regulations prescribe) which the Company or any Guarantor may be required to
file with the Commission pursuant to Section 13 or Section 15(d) of the
Exchange Act; or, if the Company or any Guarantor, as the case may be, is not
required to file information, documents or reports pursuant to either of said
Sections, then it shall file with the Trustee and the Commission, in accordance
with rules and regulations prescribed from time to time by the Commission, such
of the supplementary and periodic information, documents and reports which may
be required pursuant to Section 13 of the Exchange Act in respect of a security
listed and registered on a national securities exchange as may be prescribed
from time to time in such rules and regulations;

(b)           file with the
Trustee and the Commission, in accordance with the rules and regulations
prescribed from time to time by the Commission, such additional information,
documents and reports with respect to compliance by the Company or any
Guarantor, as the case may be, with the conditions and covenants of this
Indenture as may be required from time to time by such rules and regulations;
and

(c)           transmit or cause to
be transmitted by mail to all Holders, as their names and addresses appear in
the Security Register, within 30 days after the filing thereof with the
Trustee, in the manner and to the extent provided in Trust Indenture Act
Section 313(c), such summaries of any information, documents and reports
required to by filed by the Company or any Guarantor, as the case may be,
pursuant to Subsections (a) and (b) of this Section as may be required by rules
and regulations prescribed from time to time by the Commission.

ARTICLE EIGHT

CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE

Section 801.           Company
or Any Guarantor May Consolidate, etc., Only on Certain Terms.

Unless otherwise provided pursuant to Section 301:

(a)           The Company shall
not, in a single transaction or through a series of related transactions,
consolidate with or merge with or into any other Person or sell, assign,
convey, transfer, lease or otherwise dispose of all or substantially all of its
properties and assets as an entirety to any Person or group of affiliated
Persons, or permit any of its Subsidiaries to enter into any such transaction
or transactions if such transaction or transactions, in the aggregate, would
result in a sale, assignment, conveyance, transfer, lease or disposal of all or
substantially all of the properties and assets of the Company and its
Subsidiaries on a consolidated basis to any other Person or group of affiliated
Persons, unless at the time and after giving effect thereto:

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(1)           either (1) the Company shall be the
continuing corporation, or (2) the Person (if other than the Company) formed by
such consolidation or into which the Company is merged or the Person which
acquires by sale, assignment, conveyance, transfer, lease or disposition of all
or substantially all of the properties and assets of the Company and its
Subsidiaries on a Consolidated basis (the “Surviving Entity”) shall be a
corporation duly organized and validly existing under the laws of the United
States of America, any state thereof or the District of Columbia and such
Person assumes, by a supplemental indenture in a form reasonably satisfactory
to the Trustee, all the obligations of the Company under the Securities and
this Indenture, and this Indenture shall remain in full force and effect;

(2)           immediately before and immediately
after giving effect to such transaction, no Default or Event of Default shall have
occurred and be continuing;

(3)           immediately after giving effect to
such transaction on a pro forma basis, the Consolidated Net Worth of the
Company (or the Surviving Entity if the Company is not the continuing obligor
under this Indenture) is equal to or greater than the Consolidated Net Worth of
the Company immediately prior to such transaction;

(4)           immediately before and immediately
after giving effect to such transaction on a pro forma basis (on the assumption
that the transaction occurred on the first day of the four-quarter period
immediately prior to the consummation of such transaction with the appropriate
adjustments with respect to the transaction being included in such pro forma
calculation), the Company (or the Surviving Entity if the Company is not the
continuing obligor under this Indenture) could incur $1.00 of additional
Indebtedness under any applicable provisions of the Indenture limiting
incurrence of indebtedness and established pursuant to Section 301;

(5)           each Guarantor, if any, unless it is
the other party to the transactions described above, shall have by supplemental
indenture confirmed that its Guarantee shall apply to such Person’s obligations
under this Indenture and the Securities;

(6)           if any of the property or assets of
the Company or any of its Subsidiaries would thereupon become subject to any
Lien, the provisions of the Indenture limiting Liens (established pursuant to
Section 301) are complied with; and

(7)           the Company or the Surviving Entity
shall have delivered, or caused to be delivered, to the Trustee, in form and
substance reasonably satisfactory to the Trustee, an Officers’ Certificate and
an Opinion of Counsel, each to the effect that such consolidation, merger,
transfer, sale, assignment, conveyance, lease or other transaction and the
supplemental indenture in respect thereto comply with this Indenture and that
all conditions precedent herein provided for relating to such transaction have
been complied with.

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(b)           If any Securities of
any series are guaranteed pursuant to Article Thirteen, each Guarantor, if any,
shall not, and the Company shall not permit a Guarantor to, in a single
transaction or through a series of related transactions merge or consolidate
with or into any other corporation (other than the Company or any other
Guarantor) or other entity, or sell, assign, convey, transfer, lease or
otherwise dispose of all or substantially all of its properties and assets on a
Consolidated basis to any entity (other than the Company or any other
Guarantor) unless at the time and after giving effect thereto:

(1)           either (1) such Guarantor shall be
the continuing corporation or (2) the entity (if other than such Guarantor)
formed by such consolidation or into which such Guarantor is merged or the
entity which acquires by sale, assignment, conveyance, transfer, lease or
disposition the properties and assets of such Guarantor shall be a corporation
duly organized and validly existing under the laws of the United States, any
state thereof or the District of Columbia and shall expressly assume by an
indenture supplemental hereto, executed and delivered to the Trustee, in a form
reasonably satisfactory to the Trustee, all the obligations of such Guarantor
under its Guarantees and this Indenture;

(2)           immediately before and immediately
after giving effect to such transaction, no Default or Event of Default shall
have occurred and be continuing; and

(3)           such Guarantor shall have delivered
to the Trustee, in form and substance reasonably satisfactory to the Trustee,
an Officers’ Certificate and an Opinion of Counsel, each stating that such
consolidation, merger, sale, assignment, conveyance, transfer, lease or
disposition and such supplemental indenture comply with this Indenture, and
thereafter all obligations of the predecessor shall terminate.

Section 802.           Successor
Substituted.

Upon any consolidation or merger, or any sale,
assignment, conveyance, transfer, lease or disposition of all or substantially
all of the properties and assets of the Company or any Guarantor in accordance
with Section 801, the successor Person formed by such consolidation or into
which the Company or such Guarantor, as the case may be, is merged or the
successor Person to which such sale, assignment, conveyance, transfer, lease or
disposition is made shall succeed to, and be substituted for, and may exercise
every right and power of, the Company or such Guarantor, as the case may be,
under this Indenture, the Securities of any series and/or such Guarantee, as
the case may be, with the same effect as if such successor had been named as
the Company or such Guarantor, as the case may be, herein, in the Securities of
that series and/or in such Guarantee, as the case may be. When a successor
assumes all the obligations of its predecessor under this Indenture, the Securities
of any series or a Guarantee, as the case may be, the predecessor shall be
released from those obligations; provided that in the case of a transfer by
lease, the predecessor shall not be released from the payment of principal and
interest on the Securities of any series or a Guarantee, as the case may be.

 

 62

ARTICLE NINE

SUPPLEMENTAL INDENTURES

Section 901.           Supplemental
Indentures and Agreements without Consent of Holders.

Unless otherwise provided for in Section 301, without
the consent of any Holders, the Company and the Guarantors, when authorized by
a Board Resolution, and the Trustee, at any time and from time to time, may
enter into one or more indentures supplemental hereto or agreements or other
instruments with respect to any Guarantee, in form and substance satisfactory
to the Trustee, for any of the following purposes:

(a)           cause the Indenture
to be qualified under the Trust Indenture Act (“TIA”) or to add provisions
expressly required under the TIA;

(b)           evidence the
succession of another Person to the Company, any Guarantor or other obligor
upon the Securities and the assumption by any such successor of the covenants
of the Company, any Guarantor or other obligor upon the Securities under the
Indenture and in the Securities of any series;

(c)           add to the covenants
of the Company, any Guarantor or other obligor upon the Securities for the
benefit of the Holders (and if such covenants are to be for the benefit of less
than all series of Securities, stating that such covenants are expressly being
included solely for the benefit of such series) or an additional Event of
Default to all or any series of Securities, or surrender any right or power
conferred upon the Company;

(d)           to secure the
Securities of any series thereof;

(e)           to add to or change
any provisions to such extent as necessary to facilitate the issuance or
administration of Securities in bearer form or to facilitate the issuance or
administration of Securities in global form;

(f)            to change or
eliminate any provision affecting only series of Securities not yet issued;

(g)           to establish the
form or terms of Securities and Guarantee, if any, of any series;

(h)           to evidence and
provide for successor Trustees or to add or change any provisions of such
Indenture to such extent as necessary to permit or facilitate the appointment
of a separate Trustee or Trustees for specific series of Securities;

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(i)            to permit payment
in respect of Securities in bearer form in the United States to the extent
allowed by law;

(j)            to make provision
with respect to any conversion or exchange rights of holders not adverse to the
holders of any Securities of any series then outstanding with such conversion
or exchange rights which provision directly effects any such series, including
providing for the conversion or exchange of Securities into Common Stock or
Preferred Stock;

(k)           cure any ambiguity,
correct or supplement any provision which may be defective or inconsistent with
any other provision, or make any other provisions with respect to matters or
questions arising under the Indenture which shall not be inconsistent with the provisions
of the Indenture; provided, however, that no such modifications or amendment
may adversely affect the interest of holders of Securities of any series then
outstanding in any material respect; or

(l)            to add a Guarantor
pursuant to the requirements of Article Thirteen.

Section 902.           Supplemental
Indentures and Agreements with Consent of Holders.

Unless otherwise provided pursuant to Section 301,
with the consent of the Holders of not less than a majority in aggregate
principal amount of the Outstanding Securities of all series affected, by Act
of said Holders delivered to the Company, each Guarantor, and the Trustee, the
Company and each Guarantor (if a party thereto), when authorized by a Board
Resolution, and the Trustee may enter into an indenture or indentures
supplemental hereto or agreements or other instruments with respect to any
Guarantee in form and substance satisfactory to the Trustee for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Indenture or of modifying in any manner the rights of the
Holders under this Indenture, the Securities or any Guarantee; provided,
however, that no such supplemental indenture, agreement or instrument shall,
without the consent of the Holder of each Outstanding Security of all series
affected thereby:

(a)           change the Stated
Maturity of the principal of, or any installment of interest on, any Security,
or reduce the principal amount thereof or the rate of interest thereon or any
premium payable upon the redemption thereof, or change the coin or currency in
which the principal of any Security or any premium or the interest thereon is
payable, or impair the right to institute suit for the enforcement of any such
payment after the Stated Maturity thereof (or, in the case of redemption, on or
after the Redemption Date);

(b)           reduce the
percentage in principal amount of the Outstanding Securities of a series, the
consent of whose Holders is required for any such supplemental indenture, or
the consent of whose Holders is required for any waiver or compliance with
certain provisions of this Indenture or certain defaults or with respect to any
Guarantee;

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(c)           modify any of the
provisions of this Section, Section 513 or Section 1009, except to increase the
percentage in principal amount of the Outstanding Securities, the consent of
whose Holders is required for any such actions or to provide that certain other
provisions of this Indenture cannot be modified or waived without the consent
of the Holder of each Security affected thereby;

(d)           except as otherwise
permitted under Article Eight, consent to the assignment or transfer by the
Company or any Guarantor of any of its rights and obligations under this
Indenture; or

(e)           modify the ranking
or priority of any Security or the Guarantee in respect thereof of any
Guarantor in any manner adverse to the Holders of the Securities.

Upon the written request of the Company and each
Guarantor, accompanied by a copy of a Board Resolution authorizing the
execution of any such supplemental indenture or Guarantee, and upon the filing
with the Trustee of evidence of the consent of Holders as aforesaid, the
Trustee shall, subject to Section 903, join with the Company and each Guarantor
in the execution of such supplemental indenture or Guarantee.

It shall not be necessary for any Act of Holders under
this Section to approve the particular form of any proposed supplemental
indenture or Guarantee or agreement or instrument relating to any Guarantee,
but it shall be sufficient if such Act shall approve the substance thereof.

Section 903.           Execution
of Supplemental Indentures and Agreements.

In executing, or accepting the additional trusts
created by, any supplemental indenture, agreement or instrument permitted by
this Article or the modifications thereby of the trusts created by this
Indenture, the Trustee shall be entitled to receive, and (subject to Trust
Indenture Act Section 315(a) through 315(d) and Section 602 hereof) shall be
fully protected in relying upon, an Opinion of Counsel and an Officers’
Certificate stating that the execution of such supplemental indenture,
agreement or instrument is authorized or permitted by this Indenture. The
Trustee may, but shall not be obligated to, enter into any such supplemental
indenture, agreement or instrument which affects the Trustee’s own rights,
duties or immunities under this Indenture, any Guarantee or otherwise.

Section 904.           Effect
of Supplemental Indentures.

Upon the execution of any supplemental indenture under
this Article, this Indenture shall be modified in accordance therewith, and
such supplemental indenture shall form a part of this Indenture for all
purposes; and every Holder of Securities of each series theretofore or
thereafter authenticated and delivered hereunder shall be bound thereby.

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Section 905.           Conformity
with Trust Indenture Act.

Every supplemental indenture executed pursuant to this
Article shall conform to the requirements of the Trust Indenture Act as then in
effect.

Section 906.           Reference
in Securities to Supplemental Indentures.

Securities of each series authenticated and delivered
after the execution of any supplemental indenture pursuant to this Article may,
and shall if required by the Trustee, bear a notation in form approved by the
Trustee as to any matter provided for in such supplemental indenture. If the
Company shall so determine, new Securities of each series so modified as to
conform, in the opinion of the Trustee and the Board of Directors, to any such
supplemental indenture may be prepared and executed by the Company and each
Guarantor and authenticated and delivered by the Trustee in exchange for
Outstanding Securities of that series.

ARTICLE TEN

COVENANTS

Section 1001.         Payment
of Principal, Premium and Interest.

Subject to the provisions of Article Thirteen, if
applicable, the Company will duly and punctually pay the principal of, premium,
if any, and interest on each series of the Securities in accordance with the
terms of the Securities of each series and this Indenture.

Section 1002.         Maintenance
of Office or Agency.

Unless otherwise provided pursuant to Section 301, the
Company will maintain an office or agency where Securities of each series may
be presented or surrendered for payment. The Company also will maintain an
office or agency where Securities of each series may be surrendered for
registration of transfer, redemption or exchange and where notices and demands
to or upon the Company in respect of the Securities of each series and this
Indenture may be served. The Company will give prompt written notice to the
Trustee of the location and any change in the location of any such offices or
agencies. If at any time the Company shall fail to maintain any such required
offices or agencies or shall fail to furnish the Trustee with the address
thereof, such presentations, surrenders, notices and demands may be made or
served at the office of the agent of the Trustee described above and the
Company hereby appoints such agent as its agent to receive all such
presentations, surrenders, notices and demands.

The Company may from time to time designate one or
more other offices or agencies where the Securities of each series may be
presented or surrendered for any or all such purposes, and may from time to
time rescind such designation. The Company will give prompt written notice to
the Trustee of any such designation or rescission and any change in the
location of any such office or agency.

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Procedures with respect to Bearer Securities in
connection with the matters addressed in this Section 1002 shall be set forth
pursuant to Section 301.

Unless otherwise provided pursuant to Section 301, the
Trustee shall initially serve as Paying Agent.

Section 1003.         Money for
Security Payments to Be Held in Trust.

If the Company shall at any time act as its own Paying
Agent, it will, on or before each due date of the principal of, premium, if
any, or interest on any of the Securities of any series, segregate and hold in
trust for the benefit of the Holders entitled thereto a sum sufficient to pay
the principal, premium, if any, or interest so becoming due until such sums
shall be paid to such Persons or otherwise disposed of as herein provided, and
will promptly notify the Trustee of its action or failure so to act.

If the Company is not acting as Paying Agent, the
Company will, before each due date of the principal of, premium, if any, or
interest on any Securities of any series, deposit with a Paying Agent or Paying
Agents, as the case may be, a sum in same day funds sufficient to pay the
principal, premium, if any, or interest so becoming due, such sum to be held in
trust for the benefit of the Persons entitled to such principal, premium or
interest, and (unless such Paying Agent is the Trustee) the Company will
promptly notify the Trustee of such action or any failure so to act.

If the Company is not acting as Paying Agent, the
Company will cause each Paying Agent other than the Trustee to execute and
deliver to the Trustee an instrument in which such Paying Agent shall agree
with the Trustee, subject to the provisions of this Section, that such Paying
Agent will:

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

(b)           give the Trustee
notice of any Default by the Company or any Guarantor (or any other obligor
upon the Securities of any series) in the making of any payment of principal,
premium, if any, or interest;

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

(d)           acknowledge, accept
and agree to comply in all aspects with the provisions of this Indenture
relating to the duties, rights and disabilities of such Paying Agent.

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The Company may at any time, for the purpose of
obtaining the satisfaction and discharge of this Indenture or for any other
purpose, pay, or by Company Order direct any Paying Agent to pay, to the
Trustee all sums held in trust by the Company or such Paying Agent, such sums
to be held by the Trustee upon the same trusts as those upon which such sums
were held by the Company or such Paying Agent; and, upon such payment by any
Paying Agent to the Trustee, such Paying Agent shall be released from all
further liability with respect to such money.

In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment, composition
or other judicial proceeding relative to the Company or any other obligor,
including each Guarantor, upon the Securities of any series or the property of
the Company or of such other obligor or their creditors, the Trustee shall
serve as the Paying Agent.

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

Section 1004.         Corporate
Existence.

Subject to Article Eight, the Company will do or cause
to be done all things necessary to preserve and keep in full force and effect
the corporate existence and related rights and franchises (charter and
statutory) of the Company and each Subsidiary; provided, however, that the
Company shall not be required to preserve any such right or franchise or the
corporate existence of any such Subsidiary if the Board of Directors of the
Company shall determine that the preservation thereof is no longer desirable in
the conduct of the business of the Company and its Subsidiaries as a whole and
that the loss thereof would not reasonably be expected to have a material
adverse effect on the ability of the Company to perform its obligations
hereunder; and provided, further, however, that the foregoing shall not
prohibit a sale, transfer or conveyance of a Subsidiary or any of its assets in
compliance with the terms of this Indenture.

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Section 1005.         Payment
of Taxes and Other Claims.

The Company will pay or discharge or cause to be paid
or discharged, on or before the date the same shall become due and payable, (a)
all taxes, assessments and governmental charges levied or imposed upon the
Company or any Subsidiary shown to be due on any return of the Company or any
Subsidiary or otherwise assessed or upon the income, profits or property of the
Company or any Subsidiary if failure to pay or discharge the same could
reasonably be expected to have a material adverse effect on the ability of the
Company or any Guarantor, if any, to perform its obligations hereunder and (b)
all lawful claims for labor, materials and supplies, which, if unpaid, would by
law become a Lien upon the property of the Company or any Subsidiary; provided,
however, that the Company shall not be required to pay or discharge or cause to
be paid or discharged any such tax, assessment, charge or claim whose amount,
applicability or validity is being contested in good faith by appropriate
proceedings properly instituted and diligently conducted and in respect of
which appropriate reserves (in the good faith judgment of management of the
Company) are being maintained in accordance with generally accepted accounting
principles consistently applied.

Section 1006.         Maintenance
of Properties.

The Company will cause all material properties owned
by the Company or any Subsidiary or used or held for use in the conduct of its
business or the business of any Subsidiary to be maintained and kept in good
condition, repair and working order (ordinary wear and tear excepted) and
supplied with all necessary equipment and will cause to be made all necessary
repairs, renewals, replacements, betterments and improvements thereof, all as
in the judgment of the Company may be consistent with sound business practice
and necessary so that the business carried on in connection therewith may be
properly and advantageously conducted at all times; provided, however, that
nothing in this Section shall prevent the Company from discontinuing the
maintenance of any of such properties if such discontinuance is, in the
judgment of the Company, desirable in the conduct of its business or the
business of any Subsidiary and not reasonably expected to have a material
adverse effect on the ability of the Company to perform its obligations
hereunder.

Section 1007.         Insurance.

The Company will at all times keep all of its and its
Subsidiaries’ ‘properties which are of an insurable nature insured with
insurers, believed by the Company to be responsible, against loss or damage to
the extent that property of similar character is usually so insured by
corporations similarly situated and owning like properties.

Section 1008.         Statement
by Officers as to Default.

(a)           The Company will
deliver to the Trustee, on or before a date not more than 60 days after the end
of each fiscal quarter and not more than 120 days after the end of each fiscal
year of the Company ending after the date hereof, a written statement signed by
two executive officers of the Company, one of whom shall be the principal
executive officer, principal financial officer or principal accounting officer
of the Company, stating whether or not, after a review of the activities of the
Company during such year or such quarter and of the Company’s performance under
this Indenture, to the best knowledge, based on such review, of the signers
thereof, the Company has fulfilled all its obligations and is in compliance
with all conditions and covenants under this Indenture throughout such year or
quarter, as the case may be, and, if there has been a Default specifying each
Default and the nature and status thereof.

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(b)           When any Default or
Event of Default has occurred and is continuing, or if the Trustee or any
Holder or the trustee for or the holder of any other evidence of Indebtedness
of the Company or any Subsidiary gives any notice or takes any other action
with respect to a claimed default (other than with respect to Indebtedness in
the principal amount of less than $5,000,000), the Company shall deliver to the
Trustee by registered or certified mail or by telegram, telex or facsimile
transmission followed by hard copy an Officers’ Certificate specifying such
Default, Event of Default, notice or other action within five Business Days of
its occurrence.

Section 1009.         Waiver of
Certain Covenants.

Unless otherwise provided pursuant to Section 301, the
Company or any Guarantor may, with respect to the Securities of any series,
omit in any particular instance to comply with any term, provision or condition
set forth in any covenant provided pursuant to Sections 301 or 901 for the
benefit of the Holders of any series, if, before or after the time for such
compliance, the Holders of not less than a majority in aggregate principal
amount of the Securities of that series at the time Outstanding shall, by Act
of such Holders, waive such compliance in such instance with such covenant, but
no such waiver shall extend to or affect such covenant except to the extent so
expressly waived, and, until such waiver shall become effective, the
obligations of the Company and the duties of the Trustee in respect of any such
covenant shall remain in full force and effect.

ARTICLE ELEVEN

REDEMPTION OF SECURITIES

Section 1101.         Rights of
Redemption.

Unless otherwise provided pursuant to Section 301, the
Securities of each series may be redeemed at the election of the Company, in
whole or in part, at any time as specified pursuant to Section 301, subject to
the conditions, and at the Redemption Price, specified in the form of Security
of each series (specified pursuant to Section 301), together with accrued and
unpaid interest, if any, to the Redemption Date.

Section 1102.         Applicability
of Article.

Redemption of Securities of each series at the
election of the Company or otherwise, as permitted or required by any provision
of this Indenture, shall be made in accordance with such provision and this
Article.

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Section 1103.         Election
to Redeem; Notice to Trustee.

The election of the Company to redeem any Securities
of any series pursuant to Section 1101 shall be evidenced by a Company Order
and an Officers’ Certificate. In case of any redemption at the election of the
Company, the Company shall, not less than 45 nor more than 60 days prior to the
Redemption Date fixed by the Company (unless a shorter notice period shall be
satisfactory to the Trustee), notify the Trustee in writing of such Redemption
Date and of the principal amount of Securities of that series to be redeemed.

Section 1104.         Selection
by Trustee of Securities to Be Redeemed.

If less than all the Securities of any series are to
be redeemed, the particular Securities of that series or portions thereof to be
redeemed shall be selected not more than 30 days prior to the Redemption Date
by the Trustee, from the Outstanding Securities not previously called for
redemption, pro rata, by lot or such other method as the Trustee shall deem
fair and reasonable, and the amounts to be redeemed may be equal to $1,000 or
any integral multiple thereof.

The Trustee shall promptly notify the Company and the
Security Registrar in writing of the Securities of each series selected for
redemption and, in the case of any Securities of that series selected for
partial redemption, the principal amount thereof to be redeemed.

For all purposes of this Indenture, unless the context
otherwise requires, all provisions relating to redemption of Securities of any
series (including interest coupons, if any) shall relate, in the case of any
Security of that series (including interest coupons, if any) redeemed or to be
redeemed only in part, to the portion of the principal amount of such Security
of that series (including interest coupons, if any) which has been or is to be
redeemed.

Section 1105.         Notice of
Redemption.

Notice of redemption shall be given 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 Securities of the affected series to be
redeemed, at his address appearing in the Security Register.

All notices of redemption shall state:

(a)           the Redemption Date;

(b)           the Redemption
Price;

(c)           if less than all
Outstanding Securities of any series are to be redeemed, the identification of
the particular Securities of that series to be redeemed;

(d)           in the case of a
Security of any series to be redeemed in part, the principal amount of such
Security to be redeemed and that after the Redemption Date upon surrender of
such Security of that series, new Security or Securities of that series in the
aggregate principal amount equal to the unredeemed portion thereof will be
issued;

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(e)           that Securities of
any series called for redemption must be surrendered to the Paying Agent to
collect the Redemption Price;

(f)            that on the
Redemption Date the Redemption Price will become due and payable upon each such
Security or portion thereof, and that (unless the Company shall default in
payment of the Redemption Price) interest thereon shall cease to accrue on and
after said date;

(g)           the place or places
where such Securities are to be surrendered for payment of the Redemption
Price; and

(h)           the CUSIP number, if
any, relating to such Securities.

Notice of redemption of Securities of any series to be
redeemed at the election of the Company shall be given by the Company or, at
the Company’s written request, by the Trustee in the name and at the expense of
the Company.

The notice if mailed in the manner herein provided
shall be conclusively presumed to have been given, whether or not the Holder
receives such notice. In any case, failure to give such notice to any Holder of
any Security of any series designated for redemption as a whole or in part, or
any defect in any such notice, shall not affect the validity of the proceedings
for the redemption of any other Security of any series.

Section 1106.         Deposit
of Redemption Price.

On or prior to any Redemption Date, the Company shall
deposit with the Trustee or with a Paying Agent (or, if the Company is acting
as its own Paying Agent, segregate and hold in trust as provided in Section
1003) an amount of money in same day funds sufficient to pay the Redemption
Price of and (except if the Redemption Date shall be an Interest Payment Date)
accrued interest on, all the Securities or portions thereof which are to be
redeemed on that date. When the Redemption Date falls on an Interest Payment
Date, payments of interest due on such date are to be paid as provided
hereunder as if no such redemption were occurring.

Section 1107.         Securities
Payable on Redemption Date.

Notice of redemption having been given as aforesaid,
the Securities of the series so to be redeemed shall, on the Redemption Date,
become due and payable at the Redemption Price therein specified and from and
after such date (unless the Company shall default in the payment of the
Redemption Price and accrued interest) such Securities shall cease to bear
interest. Upon surrender of any such Security for redemption in accordance with
said notice, such Security shall be paid by the Company at the Redemption Price
together with accrued interest to the Redemption Date; provided, however, that
installments of interest whose Stated Maturity is on or prior to the Redemption
Date shall be payable to the Holders of such Securities, or one or more
Predecessor Securities, registered as such on the relevant Regular Record Dates
according to the terms and the provisions of Section 309.

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If any Security of any series called for redemption
shall not be so paid upon surrender thereof for redemption, the principal and
premium, if any, shall, until paid, bear interest from the Redemption Date at
the rate borne by such Security.

Procedures regarding the treatment of Holders of
Bearer Securities with respect to the matters addressed in this Section 1107
shall be provided pursuant to Section 301.

Section 1108.         Securities
Redeemed or Purchased in Part.

Any Security of any series which is to be redeemed or
purchased only in part shall be surrendered to the Paying Agent at the office
or agency maintained for such purpose pursuant to Section 1002 (with, if the
Company, the Security Registrar or the Trustee so requires, due endorsement by,
or a written instrument of transfer in form satisfactory to the Company, the
Security Registrar or the Trustee duly executed by, the Holder thereof or such
Holder’s attorney duly authorized in writing), and the Company shall execute,
and the Trustee shall authenticate and deliver to the Holder of such Security
without service charge, a new Security or Securities of that series, of any
authorized denomination as requested by such Holder in aggregate principal
amount equal to, and in exchange for, the unredeemed portion of the principal
of the Security of that series so surrendered that is not redeemed or
purchased.

ARTICLE TWELVE

SATISFACTION AND DISCHARGE

Section 1201.         Satisfaction
and Discharge of Indenture.

Unless otherwise provided pursuant to Section 301,
this Indenture shall cease to be of further effect (except as to surviving
rights of registration of transfer or exchange of Securities herein, rights to
payment, rights to conversion, and rights to replacement of stolen, lost or
mutilated Securities expressly provided for) and the Trustee, on demand of and
at the expense of the Company, shall execute proper instruments acknowledging
satisfaction and discharge of this Indenture, when

(a)           either

(1)           all the Securities theretofore
authenticated and delivered (other than (i) Securities which have been
destroyed, lost or stolen and which have been replaced or paid as provided in
Section 308 or (ii) all Securities for whose payment United States dollars have
theretofore been deposited in trust or segregated and held in trust by the
Company and thereafter repaid to the Company or discharged from such trust, as
provided in Section 1003) have been delivered to the Trustee for cancellation;
or

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(2)           all such Securities not theretofore
delivered to the Trustee for cancellation (x) have become due and payable, (y)
will become due and payable at their Stated Maturity within one year, or (z)
are to be called for redemption within one year under arrangements satisfactory
to the Trustee for the giving of notice of redemption by the Trustee in the
name, and at the expense, of the Company, and the Company or any Guarantor, in
the case of (2)(x),(y) or (z) above, has irrevocably deposited or caused to be
deposited with the Trustee as trust funds in trust for the purpose an amount in
United States dollars sufficient to pay and discharge the entire  Indebtedness on the Securities not
theretofore delivered to the Trustee for cancellation, for the principal of,
premium, if any, and accrued interest at such Stated Maturity or Redemption
Date;

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

(c)           the Company has
delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel
stating that (i) all conditions precedent herein provided for relating to the
satisfaction and discharge of this Indenture have been complied with and (ii)
such satisfaction and discharge will not result in a breach or violation of or
constitute a default under, this Indenture or any other material agreement or
instrument to which the Company or any Guarantor is a party or by which the
Company or any Guarantor is bound.

Opinions of Counsel required to be delivered under
this Section may have qualifications customary for opinions of the type
required and counsel delivering such Opinions of Counsel may rely on
certificates of the Company or government or other officials customary for
opinions of the type required, including certificates certifying as to matters
of fact, including that various financial covenants have been complied with.

Notwithstanding the satisfaction and discharge of this
Indenture, the obligations of the Company to the Trustee under Section 606 and,
if United States dollars shall have been deposited with the Trustee pursuant to
subclause (2) of Subsection (a) of this Section, the obligations of the Trustee
under Section 1202 and the last paragraph of Section 1003 shall survive.

Section 1202.         Application
of Trust Money.

Subject to the provisions of the last paragraph of
Section 1003, all United States dollars deposited with the Trustee pursuant to
Section 1201 shall be held in trust and applied by it, in accordance with the
provisions of the Securities and this Indenture, to the payment, either
directly or through any Paying Agent (including the Company acting as its own
Paying Agent) as the Trustee may determine, to the Persons entitled thereto, of
the principal of, premium, if any, and interest on the Securities for whose
payment such United States dollars have been deposited with the Trustee.

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ARTICLE THIRTEEN

GUARANTEE

If, pursuant to Section 301, the Securities of any
series are to be guaranteed by any Guarantor, the following provisions, unless
otherwise provided pursuant to Section 301, shall apply. In this Article Thirteen,
unless the context otherwise requires, all references to Securities refers to
the series of Securities guaranteed by the Guarantors and all references to
Indenture Obligations refer to Indenture Obligations in respect of the series
of Securities so guaranteed. If no series of Securities are guaranteed, this
Article Thirteen and all references to Guarantees and Guarantors in this
Indenture shall have no force and effect.

Section 1301.         Guarantors’
Guarantee.

For value received, each of the Guarantors, in
accordance with this Article Thirteen, hereby absolutely, unconditionally and
irrevocably guarantees, jointly and severally, to the Trustee and the Holders,
as if the Guarantors were the principal debtor, the punctual payment and
performance when due of all Indenture Obligations (which for purposes of this
Guarantee shall also be deemed to include all commissions, fees, charges, costs
and other expenses (including reasonable legal fees and disbursements of one
counsel in connection with any one action or separate but similar or related
actions in the same jurisdiction arising out of the same general allegations or
circumstances) arising out of or incurred by the Trustee or the Holders in
connection with the enforcement of this Guarantee).

Section 1302.         Continuing
Guarantee; No Right of Set-Off; Independent Obligation.

(a)           This Guarantee shall
be a continuing guarantee of the payment and performance of all Indenture
Obligations and shall remain in full force and effect until the payment in full
of all of the Indenture Obligations and shall apply to and secure any ultimate
balance due or remaining unpaid to the Trustee or the Holders; and this
Guarantee shall not be considered as wholly or partially satisfied by the
payment or liquidation at any time or from time to time of any sum of money for
the time being due or remaining unpaid to the Trustee or the Holders. Each
Guarantor, jointly and severally, covenants and agrees to comply with all
obligations, covenants, agreements and provisions applicable to it in this
Indenture including those set forth in Article Eight. Without limiting the
generality of the foregoing, each of the Guarantors’ liability shall extend to
all amounts which constitute part of the Indenture Obligations and would be
owed by the Company under this Indenture and the Securities but for the fact
that they are unenforceable, reduced, limited, impaired, suspended or not
allowable due to the existence of a bankruptcy, reorganization or similar
proceeding involving the Company.

(b)           Each Guarantor,
jointly and severally, hereby guarantees that the Indenture Obligations will be
paid to the Trustee without set-off or counterclaim or other reduction
whatsoever (whether for taxes, withholding or otherwise) in lawful currency of
the United States of America.

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(c)           Each
Guarantor, jointly and severally, guarantees that the Indenture Obligations
shall be paid strictly in accordance with their terms regardless of any law,
regulation or order now or hereafter in effect in any jurisdiction affecting
any of such terms or the rights of the holders of the Securities.

(d)           Each
Guarantor’s liability under this Guarantee to pay or perform or cause the
performance of the Indenture Obligations shall arise forthwith after demand for
payment or performance by the Trustee has been given to the Guarantors in the
manner prescribed in Section 106 hereof.

(e)           Except
as provided herein, the provisions of this Article Thirteen cover all
agreements between the parties hereto relative to this Guarantee and none of
the parties shall be bound by any representation, warranty or promise made by
any Person relative thereto which is not embodied herein; and it is
specifically acknowledged and agreed that this Guarantee has been delivered by
each Guarantor free of any conditions whatsoever and that no representations,
warranties or promises have been made to any Guarantor affecting its
liabilities hereunder, and that the Trustee shall not be bound by any
representations, warranties or promises now or at any time hereafter made by
the Company to any Guarantor.

Section 1303.         Guarantee
Absolute.

The obligations of the Guarantors hereunder are
independent of the obligations of the Company under the Securities and this
Indenture and a separate action or actions may be brought and prosecuted
against any Guarantor whether or not an action or proceeding is brought against
the Company and whether or not the Company is joined in any such action or
proceeding. The liability of the Guarantors hereunder is irrevocable, absolute
and unconditional and (to the extent permitted by law) the liability and
obligations of the Guarantors hereunder shall not be released, discharged,
mitigated, waived, impaired or affected in whole or in part by:

(a)           any
defect or lack of validity or enforceability in respect of any Indebtedness or
other obligation of the Company or any other Person under this Indenture or the
Securities, or any agreement or instrument relating to any of the foregoing;

(b)           any
grants of time, renewals, extensions, indulgences, releases, discharges or
modifications which the Trustee or the Holders may extend to, or make with, the
Company, any Guarantor or any other Person, or any change in the time, manner
or place of payment of, or in any other term of, all or any of the Indenture
Obligations, or any other amendment or waiver of, or any consent to or
departure from, this Indenture or the Securities, including any increase or
decrease in the Indenture Obligations;

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(c)           the
taking of security from the Company, any Guarantor or any other Person, and the
release, discharge or alteration of, or other dealing with, such security;

(d)           the
occurrence of any change in the laws, rules, regulations or ordinances of any
jurisdiction by any present or future action of any governmental authority or
court amending, varying, reducing or otherwise affecting, or purporting to
amend, vary, reduce or otherwise affect, any of the Indenture Obligations and
the obligations of any Guarantor hereunder;

(e)           the
abstention from taking security from the Company, any Guarantor or any other
Person or from perfecting, continuing to keep perfected or taking advantage of
any security;

(f)            any
loss, diminution of value or lack of enforceability of any security received
from the Company, any Guarantor or any other Person, and including any other
guarantees received by the Trustee;

(g)           any
other dealings with the Company, any Guarantor or any other Person, or with any
security;

(h)           the
Trustee’s or the Holders’ acceptance of compositions from the Company or any
Guarantor;

(i)            the
application by the Holders or the Trustee of all moneys at any time and from
time to time received from the Company, any Guarantor or any other Person on
account of any indebtedness and liabilities owing by the Company or any
Guarantor to the Trustee or the Holders, in such manner as the Trustee or the
Holders deems best and the changing of such application in whole or in part and
at any time or from time to time, or any manner of application of collateral,
if any, or proceeds thereof, to all or any of the Indenture Obligations, or the
manner of sale of any such collateral;

(j)            the
release or discharge of the Company or any Guarantor of the Securities or of
any Person liable directly as surety or otherwise by operation of law or
otherwise for the Securities, other than an express release in writing given by
the Trustee, on behalf of the Holders, of the liability and obligations of any
Guarantor hereunder;

(k)           any
change in the name, business, capital structure or governing instrument of the
Company or any Guarantor or any refinancing or restructuring of any of the
Indenture Obligations;

(l)            the
sale of the Company’s or any Guarantor’s business or any part thereof;

(m)          subject
to Section 1314, any merger or consolidation, arrangement or reorganization of
the Company, any Guarantor, any Person resulting from the merger or
consolidation of the Company or any Guarantor with any other Person or any
other successor to such Person or merged or consolidated Person or any other
change in the corporate existence, structure or ownership of the Company or any
Guarantor;

 77
 

(n)           the
insolvency, bankruptcy, liquidation, winding-up, dissolution, receivership or
distribution of the assets of the Company or its assets or any resulting
discharge of any obligations of the Company (whether voluntary or involuntary) or
of any Guarantor or the loss of corporate existence;

(o)           subject
to Section 1314, any arrangement or plan of reorganization affecting the
Company or any Guarantor;

(p)           any
other circumstance (including any statute of limitations) that might otherwise
constitute a defense available to, or discharge of, the Company or any
Guarantor; or

(q)           any
modification, compromise, settlement or release by the Trustee, or by operation
of law or otherwise, of the Indenture Obligations or the liability of the
Company or any other obligor under the Securities, in whole or in part, and any
refusal of payment by the Trustee, in whole or in part, from any other obligor
or other guarantor in connection with any of the Indenture Obligations, whether
or not with notice to, or further assent by, or any reservation of rights
against, each of the Guarantors.

Section 1304.         Right
to Demand Full Performance.

In the event of any demand for payment or performance
by the Trustee from any Guarantor hereunder, the Trustee or the Holders shall
have the right to demand its full claim and to receive all dividends or other
payments in respect thereof until the Indenture Obligations have been paid in
full, and the Guarantors shall continue to be jointly and severally liable
hereunder for any balance which may be owing to the Trustee or the Holders by
the Company under this Indenture and the Securities. The retention by the
Trustee or the Holders of any security, prior to the realization by the Trustee
or the Holders of its rights to such security upon foreclosure thereon, shall
not, as between the Trustee and any Guarantor, be considered as a purchase of
such security, or as payment, satisfaction or reduction of the Indenture
Obligations due to the Trustee or the Holders by the Company or any part thereof.

Section 1305.         Waivers.

(a)           Each
Guarantor hereby expressly waives (to the extent permitted by law) notice of
the acceptance of this Guarantee and notice of the existence, renewal,
extension or the non-performance, non-payment, or non-observance on the part of
the Company of any of the terms, covenants, conditions and provisions of this
Indenture or the Securities or any other notice whatsoever to or upon the
Company or such Guarantor with respect to the Indenture Obligations. Each
Guarantor hereby acknowledges communication to it of the terms of this
Indenture and the Securities and all of the provisions therein contained and
consents to and approves the same. Each Guarantor hereby expressly waives (to
the extent permitted by law) diligence, presentment, protest and demand for
payment.

 78
 

(b)           Without
prejudice to any of the rights or recourses which the Trustee or the Holders
may have against the Company, each Guarantor hereby expressly waives (to the
extent permitted by law) any right to require the Trustee or the Holders to:

(1)           initiate or exhaust
any rights, remedies or recourse against the Company, any Guarantor or any
other Person;

(2)           value, realize upon,
or dispose of any security of the Company or any other Person held by the
Trustee or the Holders; or

(3)           initiate or exhaust
any other remedy which the Trustee or the Holders may have in law or equity;
before requiring or becoming entitled to demand payment from such Guarantor
under this Guarantee.

(c)           With
respect to this Section 1305, to the extent applicable to any Guarantor, each
Guarantor expressly waives application of Sections 26-7 through 26-9 of the
North Carolina General Statutes.

Section 1306.         The
Guarantors Remain Obligated in Event the Company Is No Longer Obligated to
Discharge Indenture Obligations.

It is the express intention of the Trustee and the
Guarantors that if for any reason the Company has no legal existence, is or
becomes under no legal obligation to discharge the Indenture Obligations owing
to the Trustee or the Holders by the Company or if any of the Indenture
Obligations owing by the Company to the Trustee or the Holders becomes
irrecoverable from the Company by operation of law or for any reason
whatsoever, this Guarantee and the covenants, agreements and obligations of the
Guarantors contained in this Article Thirteen shall nevertheless be binding
upon the Guarantors, as principal debtor, until such time as all such Indenture
Obligations have been paid in full to the Trustee and all such Indenture
Obligations owing to the Trustee or the Holders by the Company have been
discharged, or such earlier time as Section 402 shall apply to the Securities
and the Guarantors shall be responsible for the payment thereof to the Trustee
or the Holders upon demand.

Section 1307.         Fraudulent
Conveyance; Contribution Subrogation.

(a)           Each
Guarantor that is a Subsidiary of the Company, and by its acceptance hereof
each Holder, hereby confirms that it is the intention of all such parties that
the Guarantee by such Guarantor pursuant to its Guarantee not constitute a
fraudulent transfer or conveyance for purposes of the Bankruptcy

Law, the Uniform Fraudulent Conveyance Act, the
Uniform Fraudulent Transfer Act or any similar federal or state law. To
effectuate the foregoing intention, the Holders and such Guarantor hereby
irrevocably agree that the obligations of such Guarantor under its Guarantee
shall be limited to the maximum amount which, after giving effect to all other
contingent and fixed liabilities of such Guarantor, and after giving effect to
any collections from or payments made by or on behalf of any other Guarantor in
respect of the obligations of such other Guarantor under its Guarantee or
pursuant to its contribution obligations under this Indenture, will result in
the obligations of such Guarantor under its Guarantee not constituting such
fraudulent transfer or conveyance.

 79
 

(b)           Each
Guarantor that makes a payment or distribution under its Guarantee shall be
entitled to a contribution from each other Guarantor, if any, in a pro rata amount
based on the net assets of each Guarantor, determined in accordance with GAAP.

(c)           Each
Guarantor hereby waives all rights of subrogation or contribution, whether
arising by contract or operation of law (including, without limitation, any
such right arising under federal bankruptcy law) or otherwise by reason of any
payment by it pursuant to the provisions of this Article Thirteen.

Section 1308.         Guarantee
Is in Addition to Other Security.

This Guarantee shall be in addition to and not in
substitution for any other guarantees or other security which the Trustee may
now or hereafter hold in respect of the Indenture Obligations owing to the
Trustee or the Holders by the Company and (except as may be required by law)
the Trustee shall be under no obligation to marshal in favor of each of the
Guarantors any other guarantees or other security or any moneys or other assets
which the Trustee may be entitled to receive or upon which the Trustee or the
Holders may have a claim.

Section 1309.         Release
of Security Interests.

Without limiting the generality of the foregoing and
except as otherwise provided in this Indenture, each Guarantor hereby consents
and agrees, to the fullest extent permitted by applicable law, that the rights
of the Trustee hereunder, and the liability of the Guarantors hereunder, shall
not be affected by any and all releases for any purpose of any collateral, if
any, from the Liens and security interests created by any collateral document
and that this Guarantee shall continue to be effective or be reinstated, as the
case may be, if at any time any payment of any of the Indenture Obligations is
rescinded or must otherwise be returned by the Trustee upon the insolvency,
bankruptcy or reorganization of the Company or otherwise, all as though such
payment had not been made.

Section 1310.         No
Bar to Further Actions.

Except as provided by law, no action or proceeding
brought or instituted under Article Thirteen and this Guarantee and no recovery
or judgment in pursuance thereof shall be a bar or defense to any further
action or proceeding which may be brought under Article Thirteen and this
Guarantee by reason of any further default or defaults under Article Thirteen
and this Guarantee or in the payment of any of the Indenture Obligations owing
by the Company.

 80
 

Section 1311.         Failure
to Exercise Rights Shall Not Operate as a Waiver; No Suspension of Remedies.

(a)           No
failure to exercise and no delay in exercising, on the part of the Trustee or
the Holders, any right, power, privilege or remedy under this Article Thirteen
and this Guarantee shall operate as a waiver thereof, nor shall any single or
partial exercise of any rights, power, privilege or remedy preclude any other
or further exercise thereof, or the exercise of any other rights, powers,
privileges or remedies. The rights and remedies herein provided for are
cumulative and not exclusive of any rights or remedies provided in law or
equity.

(b)           Nothing
contained in this Article Thirteen shall limit the right of the Trustee or the
Holders to take any action to accelerate the maturity of the Securities
pursuant to Article Five or to pursue any rights or remedies hereunder or under
applicable law.

Section 1312.         Trustee’s
Duties; Notice to Trustee.

(a)           Any
provision in this Article Thirteen or elsewhere in this Indenture allowing the
Trustee to request any information or to take any action authorized by, or on
behalf of any Guarantor, shall be permissive and shall not be obligatory on the
Trustee except as the Holders may direct in accordance with the provisions of
this Indenture or where the failure of the Trustee to request any such
information or to take any such action arises from the Trustee’s negligence,
bad faith or willful misconduct.

(b)           The
Trustee shall not be required to inquire into the existence, powers or
capacities of the Company, any Guarantor or the officers, directors or agents
acting or purporting to act on their respective behalf.

Section 1313.         Successors
and Assigns.

All terms, agreements and conditions of this Article
Thirteen shall extend to and be binding upon each Guarantor and its successors
and permitted assigns and shall enure to the benefit of and may be enforced by
the Trustee and its successors and assigns; provided, however, that the
Guarantors may not assign any of their rights or obligations hereunder other
than in accordance with Article Eight.

Section 1314.         Release
of Guarantee.

Concurrently with the payment in full of all of the
Indenture Obligations, the Guarantors shall be released from and relieved of
their obligations under this Article Thirteen. Upon the delivery by the Company
to the Trustee of an Officer’s Certificate and, if requested by the Trustee, an
Opinion of Counsel to the effect that the transaction giving rise to the
release of this Guarantee was made by the Company in accordance with the
provisions of this Indenture and the Securities, the Trustee shall execute any
documents reasonably 

 81
 

required in order to evidence the release of the
Guarantors from their obligations under this Guarantee. If any of the Indenture
Obligations are revived and reinstated after the termination of this Guarantee,
then all of the obligations of the Guarantors under this Guarantee shall be
revived and reinstated as if this Guarantee had not been terminated until such
time as the Indenture Obligations are paid in full, and each Guarantor shall
enter into an amendment to this Guarantee, reasonably satisfactory to the
Trustee, evidencing such revival and reinstatement.

This Guarantee shall terminate with respect to each
Guarantor and shall be automatically and unconditionally released and
discharged under any circumstances set forth pursuant to Section 301.

Section 1315.         Execution
of Guarantee.

To evidence the Guarantee, each Guarantor hereby
agrees to execute the guarantee substantially in the form set forth in Section
204, to be endorsed on each Security authenticated and delivered by the Trustee
and that this Indenture shall be executed on behalf of each Guarantor by its
Chairman of the Board, its President, or one of its Vice Presidents and
attested by its Secretary or one of its Assistant Secretaries. The signature of
any of these officers on the Securities may be manual or facsimile.

 82

 

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

	
  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  SINCLAIR BROADCAST GROUP, INC.,

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  as Issuer

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Attest

  	
   

  	
  /s/ Lucy Rutishauser

  	
   

  	
  By:

  	
   

  	
  /s/ David B. Amy

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Lucy Rutishauser

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  David B. Amy

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Treasurer

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Chief Financial Officer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  TRUSTEE:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  U.S. Bank National Association, as Trustee

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Melody M. Scott

  	
  (SEAL)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  Melody M. Scott

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Trust Officer

  	
   

  	
   

  

 

 83
 

STATE OF MARYLAND

ss.:

COUNTY OF HARFORD

On the 10th day of May, 2007, before me personally
came David B. Amy, to me known, who, being by me duly sworn, did depose and say
that he resides at 2323 Willow Vale Drive, Falston, Maryland; that he is Chief
Financial Officer of Sinclair Broadcast Group, Inc. the corporation described
in and which executed the above instrument; that he knows the corporate seal of
such corporation; that the seal affixed to said instrument is such corporate
seal; that it was so affixed pursuant to authority of the Board of Directors of
such corporation; and that he signed his name thereto pursuant to like
authority.

	
  

  	
   

  	
   

  	
   

  	
  (NOTARIAL SEAL)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  /s/ Susan E. Domozych

  

 

 84Exhibit
4.2

SINCLAIR
BROADCAST GROUP, INC., AS ISSUER

AND

U.S.
BANK NATIONAL ASSOCIATION, AS TRUSTEE

FIRST
SUPPLEMENTAL INDENTURE,

DATED AS
OF MAY 10, 2007

TO THE
INDENTURE,

DATED AS
OF MAY 10, 2007,

AMONG
THE ISSUER AND TRUSTEE SET FORTH THEREIN.

 

3.00%
Convertible Senior Notes due May 15, 2027

 

TABLE OF CONTENTS

 

	
  

  	
   

  	
   

  	
   

  	
  Page

  
	
  ARTICLE ONE DEFINITIONS; ESTABLISHMENT OF NEW
  SERIES

  	
   

  	
  3

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SECTION 1.1.

  	
   

  	
  Certain Terms Defined in the Base Indenture;
  Establishment of New Series.

  	
   

  	
  3

  
	
  SECTION 1.2.

  	
   

  	
  Definitions.

  	
   

  	
  4

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TWO FORM AND TERMS OF THE NOTES

  	
   

  	
  8

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SECTION 2.1.

  	
   

  	
  Form of Note; Custodian and Book-Entry.

  	
   

  	
  8

  
	
  SECTION 2.2.

  	
   

  	
  Applicability of Certain Provisions in the Base
  Indenture.

  	
   

  	
  9

  
	
  SECTION 2.3.

  	
   

  	
  Payment of Interest, Contingent Cash Interest and
  Defaulted Interest.

  	
   

  	
  9

  
	
  SECTION 2.4.

  	
   

  	
  Events of Default.

  	
   

  	
  12

  
	
  SECTION 2.5.

  	
   

  	
  Acceleration of Maturity; Rescission and Annulment.

  	
   

  	
  14

  
	
  SECTION 2.6.

  	
   

  	
  Waiver of Past Defaults.

  	
   

  	
  15

  
	
  SECTION 2.7.

  	
   

  	
  Notice of Defaults.

  	
   

  	
  16

  
	
  SECTION 2.8.

  	
   

  	
  Reports by Company.

  	
   

  	
  16

  
	
  SECTION 2.9.

  	
   

  	
  Consolidation, Merger, Sale or Conveyance.

  	
   

  	
  16

  
	
  SECTION 2.10.

  	
   

  	
  Supplemental Indentures.

  	
   

  	
  18

  
	
  SECTION 2.11.

  	
   

  	
  Rights of Redemption.

  	
   

  	
  20

  
	
  SECTION 2.12.

  	
   

  	
  Conversion.

  	
   

  	
  21

  
	
  SECTION 2.13.

  	
   

  	
  Repurchases of Notes Upon a Fundamental Change.

  	
   

  	
  38

  
	
  SECTION 2.14.

  	
   

  	
  Repurchase of Notes.

  	
   

  	
  43

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE THREE MISCELLANEOUS

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SECTION 3.1.

  	
   

  	
  Purpose.

  	
   

  	
  45

  
	
  SECTION 3.2.

  	
   

  	
  Successors and Assigns.

  	
   

  	
  45

  
	
  SECTION 3.3.

  	
   

  	
  Separability Clause.

  	
   

  	
  46

  
	
  SECTION 3.4.

  	
   

  	
  Schedules and Exhibits.

  	
   

  	
  46

  
	
  SECTION 3.5.

  	
   

  	
  Benefits of First Supplemental Indenture.

  	
   

  	
  46

  
	
  SECTION 3.6.

  	
   

  	
  Counterparts.

  	
   

  	
  46

  
	
  SECTION 3.7.

  	
   

  	
  Ratification.

  	
   

  	
  46

  
	
  SECTION 3.8.

  	
   

  	
  Rights of Trustee.

  	
   

  	
  46

  
	
  SECTION 3.9.

  	
   

  	
  Construction.

  	
   

  	
  46

  
	
  SECTION 3.10.

  	
   

  	
  Effectiveness.

  	
   

  	
  47

  
	
  SECTION 3.11.

  	
   

  	
  Repurchase and Cancellation.

  	
   

  	
  47

  
	
  SECTION 3.12.

  	
   

  	
  Trust Indenture Act Controls.

  	
   

  	
  47

  
	
  SECTION 3.13.

  	
   

  	
  Governing Law.

  	
   

  	
  47

  
	
  SECTION 3.14.

  	
   

  	
  Tax Treatment of Notes.

  	
   

  	
  47

  

 

 i

FIRST SUPPLEMENTAL INDENTURE

SUPPLEMENTAL
INDENTURE (this “First Supplemental Indenture”), dated as of May 10, 2007
between SINCLAIR BROADCAST GROUP INC., a Maryland corporation (the “Company”),
and U.S. BANK NATIONAL ASSOCIATION, a national banking association organized
under the laws of the United States of America, as Trustee (the “Trustee”).

RECITALS OF THE COMPANY

WHEREAS, the Company and
the Trustee executed and delivered an Indenture, dated as of May 10, 2007 (the “Base
Indenture,” and as supplemented by this First Supplemental Indenture, the “Indenture”),
to provide for the issuance by the Company from time to time of Securities to
be issued in one or more series as provided in the Base Indenture;

WHEREAS, the issuance and
sale of up to $345,000,000 aggregate principal amount of a new series of the
Company’s 3.00% Convertible Senior Notes due May 15, 2027 (the “Notes”) has
been authorized by resolutions adopted by the Board of Directors and the
Pricing Committee of the Board of the Directors of the Company (each, a “Board
Resolution”) dated as of May 1, 2007 and May 2, 2007, respectively;

WHEREAS, the
Company desires to issue and sell up to $345,000,000 aggregate principal amount
of the Notes on the date hereof (including up to $45,000,000 of Notes, which
may be issued upon exercise of an over-allotment option);

WHEREAS,
Section 901 of the Base Indenture provides that without the consent of any
Holders, the Company, when authorized by a Board Resolution, and the Trustee,
at any time and from time to time, may enter into one or more indentures
supplemental to the Base Indenture to, among other things, (a) add to the
covenants of the Company for the benefit of the Holders of all or any series of
Securities, (b) to add additional Events of Default for the benefit of the
Holders of all or any series of Securities, (c) to establish the form or
terms of any series of Securities, and (d) to cure any ambiguity, to
correct or supplement any provision herein, which may be inconsistent with any
other provision in the Base Indenture;

WHEREAS, the
Company desires to (a) add covenants of the Company and additional Events
of Default for the benefit of the Holders of the Notes (except as may be
provided in a future supplemental indenture to the Indenture (a “Future Supplemental
Indenture”)), (b) establish the form and terms of the Notes and
(c) provide whether certain Articles of the Indenture will apply to the
Notes (except as may be provided in a Future Supplemental Indenture); and

WHEREAS, all
conditions and requirements necessary to make this First Supplemental Indenture
a valid supplement to the Base Indenture according to its terms and the terms
of the Base Indenture have been done;

 2
 

NOW, THEREFORE,
for and in consideration of the premises stated herein and the purchase of the
Notes by the Holders thereof, the parties hereto hereby enter into this First
Supplemental Indenture, for the equal and proportionate benefit of all Holders
of the Notes, as follows:

ARTICLE ONE

DEFINITIONS; ESTABLISHMENT OF NEW SERIES

SECTION 1.1. Certain Terms Defined in the Base Indenture;
Establishment of New Series.

Except as may be
provided in a Future Supplemental Indenture with respect to the Notes, all
capitalized terms used but not defined in this First Supplemental Indenture
shall have the meanings ascribed to such terms in the Base Indenture, as
amended hereby; provided, however, that
any term defined in the Base Indenture that is also defined in this First
Supplemental Indenture shall for all purposes of this First Supplemental Indenture
and all matters relating to the Notes, have the meaning set forth in this First
Supplemental Indenture.

This First
Supplemental Indenture constitutes an integral part of the Base Indenture but
is effective only with respect to the Notes issued under this First
Supplemental Indenture, as described below.

There
is hereby established, pursuant to the authority granted under the Base
Indenture, a series of Notes that shall be known and designated as the “3.00%
Convertible Senior Notes due 2027”, of the Company.  The Final Date of
Maturity of the Notes shall be May 15, 2027, and the Notes shall each bear
interest at the rate of 3.00% from November 15, 2007, or from the most recent
Interest Payment Date to which interest has been paid, as the case may be, payable
pursuant to Section 309.

The aggregate principal amount of Notes which may be authenticated and
delivered is limited to $345,000,000 in principal amount of Notes, which
includes the over-allotment option of $45,000,000, except for Notes
authenticated and delivered upon registration of transfer of, or in exchange
for, or in lieu of, other Notes pursuant to Section 303, 304, 305, 306, 307 of
the Base Indenture.

The principal of, premium, if any, and interest on the Notes shall be
payable at the office or agency of the Company maintained for such purpose; provided, however,
that at the option of the Company, interest may be paid by check mailed to
addresses of the Persons entitled thereto as such addresses shall appear on the
Note Register.  If any of the Notes are held by the Depositary, payments
of interest may be made by wire transfer to the Depositary.  The Trustee
is hereby initially designated as the Paying Agent under the Indenture.

 3
 

The Notes shall be redeemable as provided in Article Eleven of the Base
Indenture, as supplemented by this First Supplemental Indenture.  The
terms of redemption are set forth in Section 2.11 of this First Supplemental
Indenture.

The Notes shall be convertible into shares of the Company’s Class A
Common Stock as provided in Section 2.12 of this First Supplemental Indenture.

The Notes shall be
redeemable, at the option of the Holder, upon a Fundamental Change as provided
in Section 2.13 of this First Supplemental Indenture.

SECTION 1.2. Definitions.

(a) Except as may
be provided in a Future Supplemental Indenture with respect to the Notes,
Section 101 of the Indenture shall be amended solely for the purpose of
the Notes (i) by adding the following new definitions if such definitions
are not contained in the Base Indenture and (ii) if the terms set forth
below are found in the Base Indenture, by replacing the terms and their
meanings set forth in the Base Indenture with those set forth below:

“Act” means any
request, demand, authorization, direction, notice, consent, waiver or other
action provided by this First Supplemental Indenture to be given or taken by
Holders that may be embodied in and evidenced by one or more instruments of
substantially similar tenor signed by such Holders in person or by an agent
duly appointed in writing; and, except as herein otherwise expressly provided,
such action shall become effective when such instrument or instruments are
delivered to the Trustee and, where it is hereby expressly required, to the
Company. Such instrument or instruments (and the action embodied therein and
evidenced thereby) are herein sometimes referred to as the “Act” of the Holders
signing such instrument or instruments.

“Applicable Five Trading
Day Period” means the five Trading Days ending on the second Trading Day
immediately preceding the first day of the relevant six-month period.

“Applicable Procedures”
means, with respect to any transfer or exchange of beneficial ownership
interests in a Global Note, the rules and procedures of the Depositary, in
each case to the extent applicable to such transfer or exchange.

“Cash” or “cash” means
such coin or currency of the United States as at any time of payment is legal
tender for the payment of public and private debts.

“Class A Common Stock”
shall mean the Company’s class A common stock.

“Closing Sale Price” of
the Class A Common Stock means, as of any date of determination, the last
reported per share sale price (or, if no such closing sale price is reported on
such day, the average of the bid and ask prices or, if more than one in either
case, the average of the average bid and the average ask prices) at
4:00 p.m., New York City time, on such date as reported in composite
transactions for the principal U.S. national or regional securities exchange on
which the Common Stock is traded or, if the Common Stock is not listed on a
U.S. national or regional securities exchange, as reported by the National
Quotation Bureau Incorporated.

 4
 

“Company” means Sinclair
Broadcast Group, Inc., a corporation incorporated under the laws of Maryland,
until a successor Person shall have become such pursuant to the applicable
provisions of this First Supplemental Indenture and the Base Indenture, and
thereafter “Company” shall mean such successor Person.

“Conversion Agent” means
any Person (including the Company) authorized by the Company to receive Notes
(and related documentation) upon conversion thereof, and shall initially be the
Trustee.

“Conversion Rate” means,
as of any date of determination, an amount equal to $1,000 divided by the then
applicable Conversion Price on such date.  As of the date hereof and
subject to adjustment pursuant to Section 1406 of the Indenture, the Conversion
Rate with respect to the Notes is approximately 48.9476 shares of Class A
Common Stock for each $1,000 principal amount of the Notes.

“Defaulted Interest”
means any interest on any Note of a series which is payable, but is not
punctually paid or duly provided for, on any Interest Payment Date and interest
on such defaulted interest at the then applicable interest rate borne by the
Notes of that series, to the extent lawful.

“Final Maturity Date”
means the final date of maturity on May 15, 2027.

“Future Supplemental
Indenture” has the meaning assigned to it in the recitals.

“Global Note” means any
Note that evidences all or part of the Notes and bears the legend set forth in
Section 202 of the Base Indenture.

“Holder” means any Holder
of any Notes.

“Interest Payment Date”
means the Stated Maturity of an installment of interest on the Notes.

“Interest Record Date”
means May 1 and November 1 of each year.

“Issue Date” means the
date the Notes are first issued pursuant to this First Supplemental Indenture.

“Nasdaq” means The Nasdaq
Global Select Market or The Nasdaq Global Market.

 5
 

“Note Price” means, on
any date of determination, the average of the secondary market bid quotations
per Note obtained by us or the bid solicitation agent for $1,000,000 principal
amount of the Notes at maturity at approximately 3:30 p.m., New York City time,
on such determination date from three independent nationally recognized
securities dealers selected by the Company, provided that if at least three
such bids cannot reasonably be obtained by us, but two such bids are obtained,
then the average of the two bids shall be used, and if only one such bid can
reasonably be obtained by the Company, this one bid shall be used. If the
Company cannot reasonably obtain at least one bid for $1,000,000 principal
amount of the Notes at maturity from a nationally recognized securities dealer
or if, in the Company’s reasonable judgment, the bid quotations are not
indicative of the secondary market value of the Notes, then the Note price will
equal (a) the then-applicable Conversion Rate of the Notes multiplied by (b)
the sale price of Class A Common Stock on such determination date.

“Permitted Holders” means
as of any date of determination (i) any of David D. Smith, Frederick G. Smith,
J. Duncan Smith and Robert E. Smith; (ii) family members or the relatives of
the persons described in clause (i); (iii) any trusts created for the benefit
of the persons described in clause (i), (ii) or (iv) or any trust for the
benefit of any such trust; or (iv) in the event of the incompetence or death of
any of the persons described in clause (i) or (ii), such person’s estate, executor,
administrator, committee or other personal representative or beneficiaries, in
each case who at any particular date shall beneficially own or have the right
to acquire, directly or indirectly, equity interests of the Company.

“Record Date” shall mean,
with respect to any dividend, distribution or other transaction or event in
which the holders of the Class A Common Stock have the right to receive any
cash, securities or other property or in which the Class A Common Stock (or
other applicable security) is exchanged for or converted into any combination
of cash, securities or other property, the date fixed for determination of
stockholders entitled to receive such cash, securities or other property
(whether such date is fixed by the Board of Directors or by statute, contract
or otherwise).

“Repurchase Date” when
used with respect to any Note to be repurchased pursuant to any provision in
this First Supplemental Indenture means the date fixed for such repurchase by
or pursuant to the Indenture.

“Restricted Subsidiary”
means a Subsidiary subject to the covenants or events of default under any
agreement governing any other indebtedness of the Company.

“Significant Restricted
Subsidiary” means, at any date of determination:

(1)           any
Restricted Subsidiary that, together with its Subsidiaries that constitute
Restricted Subsidiaries (A) for the most recent fiscal year of the Company
accounted for more than 5.0% of the consolidated revenues of the Company and
the Restricted Subsidiaries or (B) as of the end of such fiscal year, owned
more than 5.0% of the consolidated assets of the Company and the Restricted
Subsidiaries, all as set forth on the consolidated financial statements of the
Company and the Restricted Subsidiaries for such year prepared in conformity
with GAAP, and

 6
 

(2)           any
Restricted Subsidiary which, when aggregated with all other Restricted
Subsidiaries that are not otherwise Significant Restricted Subsidiaries and as
to which any event described in clause (8) or (9) of “Events of Default” in
Section 501 has occurred, would constitute a Significant Restricted Subsidiary
under clause (1) of this definition.

“Stated Maturity Date”
means the date on which the principal of the Notes is due and payable.

“Trading Day” means a day
on which the Class A Common Stock (a) is not suspended from trading on any
national or regional securities exchange or association or over-the-counter
market as of the close of business, and (b) has traded at least once on the
national or regional securities exchange or association or over-the-counter
market that is the primary market for the trading of the Class A Common Stock.

“Trading Price” means, on
any date of determination, the average of the secondary bid quotations per Note
obtained by the Conversion Agent for $1,000,000 principal amount of the Notes
at approximately 3:30 p.m., New York City time, on such determination date from
three independent nationally recognized securities dealers selected by the
Company; provided that, if at least three such bids cannot reasonably be obtained,
but two such bids can reasonably be obtained, then the average of these two
bids shall be used; provided, further, that, if at least two such bids cannot
reasonably be obtained, but one such bid can reasonably be obtained, this one
bid shall be used.

(b) Other
definitions used and defined in this First Supplemental Indenture:

	
  Term 

  	
   

  	
   

  	
   

  	
  Defined in Section

  (of this First Supplemental 

  Indenture)

  
	
   

  	
   

  	
   

  
	
  “Base Indenture”

  	
   

  	
  Recitals

  
	
  “Bloomberg VWAP”

  	
   

  	
  2.12

  
	
  “Board Resolution”

  	
   

  	
  Recitals

  
	
  “Cash Percentage”

  	
   

  	
  2.12

  
	
  “Certificated Note”

  	
   

  	
  2.1

  
	
  “Closing Sale Price
  Condition”

  	
   

  	
  2.12

  
	
  “Contingent Cash
  Interest”

  	
   

  	
  2.3

  
	
  “Conversion Date”

  	
   

  	
  2.12

  
	
  “Conversion Price”

  	
   

  	
  2.12

  
	
  “Conversion Notice”

  	
   

  	
  Exhibit D

  
	
  “Conversion Obligation”

  	
   

  	
  2.12

  
	
  “Conversion Period”

  	
   

  	
  2.12

  
	
  “Conversion Rate”

  	
   

  	
  2.12

  
	
  “Current Dividend Rate”

  	
   

  	
  2.12

  
	
  “Current Market Price”

  	
   

  	
  2.12

  
	
  “Daily Conversation
  Value”

  	
   

  	
  2.12

  
	
  “Daily Net Share
  Settlement Value”

  	
   

  	
  2.12

  
	
  “Depository”

  	
   

  	
  2.1

  
	
  “Dividend Adjustment
  Amount”

  	
   

  	
  2.12

  

 7
 

 

	
  “DTC”

  	
   

  	
  2.1

  
	
  “effective date”

  	
   

  	
  2.12

  
	
  “Ex-Dividend Date”

  	
   

  	
  2.12

  
	
  “Expiration Date”

  	
   

  	
  2.12

  
	
  “Expiration Time”

  	
   

  	
  2.12

  
	
  “Fundamental Change”

  	
   

  	
  2.13

  
	
  “Fundamental Change in
  Control”

  	
   

  	
  2.12

  
	
  “Fundamental Change
  Repurchase Date”

  	
   

  	
  2.13

  
	
  “Fundamental Change
  Repurchase Price”

  	
   

  	
  2.13

  
	
  “Indirect Participants”

  	
   

  	
  2.1

  
	
  “Initial Dividend Rate”

  	
   

  	
  2.12

  
	
  “Last Reported Sale
  Price”

  	
   

  	
  2.12

  
	
  “Maximum Conversion
  Rate Adjustment”

  	
   

  	
  2.12

  
	
  “Notes”

  	
   

  	
  Recitals

  
	
  “Note Register”

  	
   

  	
  Annex A

  
	
  “Note Registrar”

  	
   

  	
  2.14

  
	
  “Notice of Occurrence
  of a Fundamental Change”

  	
   

  	
  Exhibit
  E

  
	
  “Option to Elect
  Repurchase Upon a Fundamental Change”

  	
   

  	
  Exhibit C

  
	
  “Participants”

  	
   

  	
  2.1

  
	
  “Quarter”

  	
   

  	
  2.12

  
	
  “Redemption Notice”

  	
   

  	
  Exhibit B

  
	
  “Repurchase Date”

  	
   

  	
  2.13

  
	
  “Repurchase Notice”

  	
   

  	
  Exhibit F

  
	
  “Repurchase Price”

  	
   

  	
  2.12

  
	
  “Required Filing Dates”

  	
   

  	
  2.8

  
	
  “Residual Amount”

  	
   

  	
  2.12

  
	
  “Stock Price”

  	
   

  	
  2.12

  
	
  “Surviving Entity”

  	
   

  	
  2.13

  
	
  “First Supplemental
  Indenture”

  	
   

  	
  Preamble

  
	
  “Transforming
  Transaction”

  	
   

  	
  2.12

  
	
  “Triggering
  Distribution”

  	
   

  	
  2.12

  
	
  “Trigger Event”

  	
   

  	
  2.12

  
	
  “Volume Weighted
  Average Price”

  	
   

  	
  2.12

  

 

ARTICLE TWO

FORM AND TERMS OF THE NOTES

SECTION 2.1.  Form of Note;
Custodian and Book-Entry.

Except as may be
provided in a Future Supplemental Indenture, with respect to the Notes and no
other class or series of Securities issued pursuant to the Indenture, a new
Section 205 shall be added to the Base Indenture as follows:

Section
205. Form of Note; Custodian and Book-Entry.

(a)
The Notes shall be substantially in the respective form set forth in Exhibit
A, which Exhibit is incorporated in and made part of this Indenture. The
maximum aggregate principal amount of the Notes, which may be issued is
$345,000,000, which includes $45,000,000 which may be issued upon exercise of
an over-allotment option. The Notes may have notations, legends or endorsements
required by law, stock exchange rule or usage. The Company shall provide any
such notations, legends or endorsements to the Trustee in writing.

 8
 

(b) The
Notes shall be issued in the form of one or more Global Notes,
substantially in the form of Exhibit A, which shall be deposited on
behalf of the acquirers of the Notes represented thereby with the Trustee, at
its Corporate Trust Office, as custodian for the depositary, The Depository
Trust Company (“DTC”) (such depositary, or any successor thereto, being
hereinafter referred to as the “Depositary”), and registered in the name of its
nominee, Cede & Co., duly executed by the Company and authenticated by
the Trustee as hereinafter provided.

(c) Pursuant to the
Applicable Procedures established by DTC, upon the deposit of the Global Note,
DTC will credit, on its book-entry registration and transfer system, the
principal amount of Notes represented by such Global Note to the accounts of
participants, (the “Participants”). The accounts to be credited shall be
designated by the underwriters. Ownership of beneficial interests in the Global
Note will be limited to Participants or Persons that may hold interests through
Participants. Access to DTC’s book-entry system is also available to others
such as banks, brokers, dealers and trust companies (the “Indirect Participants”)
that clear through or maintain a custodial relationship with a participant,
whether directly or indirectly. Ownership of beneficial interests in the Global
Note will be shown on, and the transfer of those ownership interests will be
effected only through, records maintained by DTC (with respect to Participants’
interests), the Participants and the Indirect Participants. The laws of some
jurisdictions may require that certain purchasers of securities take physical
delivery of such securities in definitive form. These limits and laws may
impair the ability to transfer or pledge beneficial interests in the Global
Note.

(d) The Company will make
payments of principal and interest (including Contingent Cash Interest) on the
Notes represented by the Global Note registered in the name of and held by DTC
or its nominee to DTC or its nominee, as the case may be, as the registered
owner and Holder of the Global Note.

SECTION 2.2. Applicability of Certain
Provisions in the Base Indenture.

Except as may be provided
in a Future Supplemental Indenture, the Notes shall not have any third party
guarantees, and therefore Section 204 and Article Thirteen of the Base
Indenture shall not apply until such time, if any, that the Notes are
guaranteed by a third party.

In addition, the
provisions of Article Four, Defeasance and Covenant Defeasance, of the Base
Indenture shall not apply.

 9
 

SECTION 2.3. Payment of Interest, Contingent Cash Interest
and Defaulted Interest.

Section 309 of the Base
Indenture shall be replaced in its entirety and restated as follows and will
only apply to the Notes issued under the Indenture:

Section 309.
Payment of Interest, Contingent Cash Interest and Defaulted Interest.

(a)           The Notes will bear cash interest at
an annual rate of 3.00% of the principal amount of the Notes from the Issue
Date, or from the most recent date to which interest has been paid or provided
for, through Maturity. The first such cash interest payment date will be
November 15, 2007. Cash interest will be payable semi-annually in arrears on
May 15 and November 15 of each year to Holders of record at the close of
business on the Interest Record Date immediately preceding such Interest
Payment Date. Each payment of cash interest on the Notes will include interest
accrued through the day before the applicable Interest Payment Date (or
purchase, redemption or, in certain circumstances, Conversion Date, as the case
may be).

If the Company redeems
the Notes, or if a Holder surrenders a Note for repurchase by the Company in
accordance with the terms of such Note, the Company will pay accrued and unpaid
interest to the Holder that surrenders such Note for redemption or repurchase,
as the case may be. However, if the Redemption Date or the Repurchase Date, as
the case may be, is after an Interest Record Date and on or prior to the
related Interest Payment Date, then accrued and unpaid interest to, but
excluding, the Redemption Date or the Repurchase Date shall be paid on such
Interest Payment Date to the record Holder of such Note at the close of business
on the related Interest Record Date.

Cash interest (including
Contingent Cash Interest) will cease to accrue on a Note upon its maturity,
conversion, or purchase by us at the option of a Holder or redemption. If a
payment date is not a Business Day, payment will be made on the next succeeding
day that is a Business Day.

Each Note delivered under
this Indenture upon registration of transfer of or in exchange for or in lieu
of any other Note of the same series shall carry the rights to interest accrued
and unpaid, and to accrue, which were carried by such other Note of the same
series.

(b)           Subject to the accrual and Interest
Record Date provisions described below, the Company will pay contingent cash
interest (“Contingent Cash Interest”) to the Holders of Notes during any
six-month period from May 15 to November 14 and from November 15 to May 14,
commencing with the period beginning May 20, 2010 (rather than May 15, 2010 for
the first period only), if the average Note Price for the Applicable Five Trading
Day Period equals 120% or more of the principal amount of such Notes. The
Company will pay Contingent Cash Interest only in cash.

The amount of Contingent
Cash Interest payable per Note in respect of any six-month period will equal
0.375% per annum of the average Note Price for the Applicable Five Trading Day
Period.

 10
 

Contingent Cash Interest,
if any, will accrue from May 15 or November 15, as applicable, and will be
payable on the next succeeding November 15 or May 15 Interest Payment Date, as
the case may be. Contingent Cash Interest will be paid to the person in whose
name a Note is registered at the close of business on May 1 or November 1, as
the case may be, immediately preceding the relevant Interest Payment Date on
which Contingent Cash Interest is payable.

The Company will appoint
a bid solicitation agent in accordance with this Indenture, which will be the
Trustee unless otherwise provided for. The Company may change the bid
solicitation agent, but the bid solicitation agent will not be an Affiliate of
the Company. The bid solicitation agent will solicit bids from securities
dealers that are believed by the Company to be willing to bid for the Notes.

(c)           Upon determination that Holders will
be entitled to receive Contingent Cash Interest during a relevant six-month
period, the Company will issue a press release and publish such information on
its website (or through another public medium the Company may use at that time)
as soon as practicable.

(d)           The Company may elect to make payment
of any Defaulted Interest to the Persons in whose names the Notes are
registered at the close of business on a Special Record Date for the payment of
such Defaulted Interest, which shall be fixed in the following manner. The
Company shall notify the Trustee in writing of the amount of Defaulted Interest
proposed to be paid on each Note and the date (not less than 30 calendar
days after such notice) of the proposed payment, and at the same time the
Company shall deposit with the Trustee an amount of money equal to the aggregate
amount proposed to be paid in respect of such Defaulted Interest or shall make
arrangements satisfactory to the Trustee for such deposit prior to the date of
the proposed payment, such money when deposited to be held in trust for the
benefit of the Persons entitled to such Defaulted Interest. Thereupon the
Trustee shall fix a Special Record Date for the payment of such Defaulted
Interest, which shall be not more than 15 calendar days and not less than
10 calendar days prior to the date of the proposed payment and not less
than 10 calendar days after the receipt by the Trustee of the notice of
the proposed payment. The Trustee shall promptly notify the Company in writing
of such Special Record Date. In the name and at the expense of the Company, the
Trustee shall cause notice of the proposed payment of such Defaulted Interest
and the Special Record Date therefor to be mailed, first-class postage prepaid,
to each Holder at his address as it appears in the Note Register, not less than
10 calendar days prior to such Special Record Date. Notice of the proposed
payment of such Defaulted Interest and the Special Record Date therefor having
been so mailed, such Defaulted Interest shall be paid to the Persons in whose
names the Notes of that series are registered on such Special Record Date and
shall no longer be payable pursuant to the following clause (e).

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

 11
 

SECTION 2.4. Events of Default.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, Section 501 of
the Base Indenture shall be replaced in its entirety with the following:

Section 501. Events
of Default.

“Event of Default,”
wherever used herein with respect to the Notes, means any one of the following
events which has occurred and is continuing (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):

(1)                                  there
shall be a default in the payment of any interest (including Contingent Cash
Interest) on any Note when it becomes due and payable, and such default shall
continue for a period of 30 calendar days;

(2)                                  there
shall be a default in the payment of the principal of any Note at its Maturity
(upon acceleration, optional or mandatory redemption, required repurchase or
otherwise);

(3)                                  (a)
there shall be a default in the performance, or breach, of any covenant or
agreement of the Company under this Indenture, including a failure to provide
timely written notice of a Fundamental Change, (other than a Default in the
performance, or breach, of a covenant or agreement which is specifically dealt
with in clause (1) or (2) or in clause (b) of this clause (3)) and such Default
or breach shall continue for a period of 30 calendar days after written notice
has been given (or 90 calendar days in the event of a breach of the covenant
described under Section 704 of this Indenture), by certified mail, (x) to the
Company by the Trustee or (y) to the Company and the Trustee by the Holders of
at least 25% in aggregate principal amount of the Outstanding Notes; or (b)
there shall be a Default in the performance or breach of the provisions
described in Article Eight;

(4)                                  one
or more defaults shall have occurred under any agreements, indentures or
instruments under which the Company or any subsidiary then has outstanding
indebtedness in excess of $25,000,000 in the aggregate and, if not already
matured at its final maturity in accordance with its terms, such indebtedness
shall have been accelerated;

 12
 

(5)                                  one
or more judgments, orders or decrees for the payment of money in excess of
$10,000,000, either individually or in the aggregate (net of amounts covered by
insurance, bond, surety or similar instrument) shall be entered against the
Company or any subsidiary or any of their respective properties and shall not
be discharged and either (a) any creditor shall have commenced an enforcement
proceeding upon such judgment, order or decree or (b) there shall have been a
period of 60 consecutive calendar days during which a stay of enforcement of
such judgment or order, by reason of an appeal or otherwise, shall not be in
effect;

(6)                                  any
Holder or Holders of at least $25,000,000 in aggregate principal amount of
indebtedness of the Company or any subsidiary after a default under such
indebtedness shall notify the Trustee of the intended sale or disposition of
any assets of the Company or any subsidiary that have been pledged to or for
the benefit of such Holder or Holders to secure such indebtedness or shall
commence proceedings, or take any action (including by way of set-off), to
retain in satisfaction of such indebtedness or to collect on, seize, dispose of
or apply in satisfaction of indebtedness, assets of the Company or any
subsidiary (including funds on deposit or held pursuant to lock-box and other
similar arrangements);

(7)                                  there
shall be a default in the Company’s obligation to deliver the settlement amount
upon conversion of the Notes, together with cash in respect of any fractional
shares, upon conversion of any Notes and such default continues for a period of
five calendar days or more;

(8)                                  there
shall have been the entry by a court of competent jurisdiction of (a) a decree
or order for relief in respect of the Company or any Significant Restricted
Subsidiary in an involuntary case or proceeding under any applicable Bankruptcy
Law or (b) a decree or order adjudging the Company or any Significant
Restricted Subsidiary bankrupt or insolvent, or seeking reorganization,
arrangement, adjustment or composition of or in respect of the Company or any
Significant Restricted Subsidiary under any applicable federal or state law, or
appointing a custodian, receiver, liquidator, assignee, trustee, sequestrator
(or other similar official) of the Company or any Significant Restricted
Subsidiary or of any substantial part of their respective properties, or
ordering the winding up or liquidation of their affairs, and any such decree or
order for relief shall continue to be in effect, or any such other decree or
order shall be unstayed and in effect, for a period of 60 consecutive calendar
days; or

(9)                                  (a)           The Company or any Significant
Restricted Subsidiary commences a voluntary case or proceeding under any
applicable Bankruptcy Law or any other case or proceeding to be adjudicated
bankrupt or insolvent;

(b)                                 The
Company or any Significant Restricted Subsidiary consents to the entry of a
decree or order for relief in respect of the Company or such Significant
Restricted Subsidiary in an involuntary case or proceeding under any applicable
Bankruptcy Law or to the commencement of any bankruptcy or insolvency case or
proceeding against it;

 13
 

(c)                                  The
Company or any Significant Restricted Subsidiary files a petition or answer or consent
seeking reorganization or relief under any applicable federal or state law;

(d)                                 The
Company or any Significant Restricted Subsidiary (x) consents to the filing of
such petition or the appointment of, or taking possession by, a custodian,
receiver, liquidator, assignee, trustee, sequestrator or other similar official
of the Company or such Significant Restricted Subsidiary or of any substantial
part of their respective property, (y) makes an assignment for the benefit of
creditors or (z) admits in writing its inability to pay its debts generally as
they become due; or

(e)                                  The
Company or any Significant Restricted Subsidiary takes any corporate action in
furtherance of any such actions in this paragraph (9).

Any breach under this
Indenture of the Company’s obligation to file periodic or other reports will be
solely a covenant default, and will not be able to be deemed an Event of
Default until 90 calendar days after receipt of notice from the Holder of the
Notes. Holders’ remedies under this Indenture against the Company for any such
covenant default will be limited to payment of additional interest as described
in the following sentence and Holders will not have any right under this
Indenture to accelerate the Maturity of the Notes as a result of any such
covenant default until the end of the 90 day period. If a breach of the Company’s
obligation under this Indenture to file periodic or other reports continues for
30 calendar days after notice thereof is given in accordance with this
Indenture, the Company will pay additional interest to all Holders of Notes at
a rate per annum equal to 0.50% of the Notes’ principal amount from the 30th
day following such notice until such breach is cured.

SECTION 2.5.  Acceleration of
Maturity; Rescission and Annulment.

Except as may be
provided in a Future Supplemental Indenture, with respect to the Notes and no
other class or series of Securities issued pursuant to the Indenture, Section
502 of the Base Indenture shall be replaced in its entirety with the following:

 14
 

Section 502.
Acceleration of Maturity; Rescission and Annulment.

If an Event of Default
(other than as specified in clauses (8) and (9) of Section 501) shall occur and
be continuing, the Trustee or the Holders of not less than 25% in aggregate
principal amount of the Outstanding Notes may, and the Trustee at the request
of such Holders shall, declare an amount equal to the aggregate principal
amount of the Notes and any accrued and unpaid cash interest (including
Contingent Cash Interest) on the Notes through the date of such declaration, to
be due and payable immediately by a notice in writing to the Company (and to
the Trustee if given by the Holders of the Notes). Thereupon the Trustee may,
at its discretion, proceed to protect and enforce the rights of the Holders of
Notes by appropriate judicial proceeding. If an Event of Default specified in
clause (8) or (9) of the prior paragraph occurs and is continuing, then an
amount equal to the aggregate principal amount of the Notes, together with any
accrued and unpaid cash interest (including Contingent Cash Interest) through
the occurrence of such event, shall ipso
facto become and be immediately due and payable, without any
declaration or other act on the part of the Trustee or any Holder.

After a
declaration of acceleration, but before a judgment or decree for payment of the
money due has been obtained by the Trustee, the Holders of a majority in
aggregate principal amount of Outstanding Notes, by written notice to the
Company and the Trustee, may rescind and annul such declaration if (a) the
Company has paid or deposited with the Trustee a sum sufficient to pay (1) all
sums paid or advanced by the Trustee under the Indenture and the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, (2) all overdue interest (including Contingent Cash Interest)
on all Notes, (3) the principal of and premium, if any, on any Notes which have
become due otherwise than by such declaration of acceleration and interest
thereon (including Contingent Cash Interest) at a rate borne by the Notes and
(4) to the extent that payment of such interest is lawful, interest upon
overdue interest (including Contingent Cash Interest) at the rate borne by the
Notes; and (b) all Events of Default, other than the non-payment of principal
of the Notes and any accrued and unpaid cash interest (including any accrued
and unpaid Contingent Cash Interest), which have become due solely by such
declaration of acceleration, have been cured or waived.

SECTION 2.6.  Waiver of Past
Defaults.

Except as may be
provided in a Future Supplemental Indenture, with respect to the Notes and no
other class or series of Securities issued pursuant to the Indenture, Section
513 of the Base Indenture shall be replaced in its entirety with the following:

Section 513. Waiver of
Past Defaults.

The Holders of not less
than a majority in aggregate principal amount at Maturity of the Outstanding
Notes may on behalf of the Holders of all the Notes waive any past Default
under this Indenture and its consequences, except a Default in the payment of
the principal of, or the Redemption Price, the purchase price or the
Fundamental Change Repurchase Price or accrued and unpaid interest (including
Contingent Cash Interest) on any Note due, or in respect of a failure to
convert any Note or to deliver the settlement amount upon conversion of the
Notes as required by this Indenture, or in respect of a covenant or provision
which under this Indenture cannot be modified or amended without the consent of
the Holder of each Outstanding Note. Upon any such waiver, such Default shall
cease to exist, and any Event of Default arising therefrom shall be deemed to
have been cured, for every purpose of this Indenture; but no such waiver shall
extend to any subsequent Event of Default or other Default or impair any right
consequent thereon.

 15
 

SECTION 2.7.  Notice of Defaults.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, the following
language shall be added to Section 601 of the Base Indenture:

Section 601. Notice of
Defaults.

The Company is required
to notify the Trustee within five Business Days of becoming aware of the
occurrence of any Default.

SECTION 2.8.  Reports by Company.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, Section 704 of
the Base Indenture shall be replaced in its entirety with the following:

Section 704. Reports by
the Company

The Company shall:

(a) file with the
Commission, whether or not the Company is subject to Section 13(a) or 15(d) of
the Exchange Act, to the extent permitted under the Exchange Act, the annual
reports, quarterly reports and other documents which the Company would have
been required to file with the Commission pursuant to such Section 13(a) or
15(d) if the Company was so subject, such documents to be filed with the
Commission on or prior to the respective dates (the “Required Filing Dates”) by
which the Company would have been required so to file such documents if the
Company was so subject; and

(b) file within 60 calendar days after the end of each
fiscal quarter, 120 calendar days after the end of each fiscal year and within
15 calendar days of each Required Filing Date with respect to any other
documents filed, with the Trustee copies of the annual reports, quarterly
reports and other documents required to be filed pursuant to this Indenture. Within
15 calendar days after filing thereof with the Trustee, the Company will
transmit by mail to all Holders, as their names and addresses appear in the
Note register, without cost to such Holders. If the Company’s filing such
documents with the Commission is not permitted under the Exchange Act, promptly
upon written request and payment of the reasonable cost of duplication and
delivery, the Company will supply copies of such documents to any prospective
Holder at the Company’s cost.

 16
 

SECTION 2.9.  Consolidation,
Merger, Sale or Conveyance.

Except as may be
provided in a Future Supplemental Indenture, with respect to the Notes and no
other class or series of Securities issued pursuant to the Indenture, Article
Eight of the Base Indenture shall be replaced in its entirety with the
following:

ARTICLE
EIGHT

CONSOLIDATION,
MERGER, CONVEYANCE, TRANSFER OR LEASE

Section 801. Company May
Consolidate, etc., Only on Certain Terms.

The Company shall
not, in a single transaction or through a series of related transactions,
consolidate with or merge with or into any other Person or sell, assign,
convey, transfer, lease or otherwise dispose of all or substantially all of its
properties and assets as an entirety to any Person or group of affiliated
Persons, or permit any of its Subsidiaries to enter into any such transaction
or transactions if such transaction or transactions, in the aggregate, would
result in a sale, assignment, conveyance, transfer, lease or disposal of all or
substantially all of the properties and assets of the Company and its
Subsidiaries on a consolidated basis to any other Person or group of affiliated
Persons, unless at the time and after giving effect thereto:

(1)                                  either
(a) the Company shall be the continuing corporation or (b) the Person (if other
than the Company) formed by such consolidation or into which the Company is
merged or the Person which acquires by sale, assignment, conveyance, transfer,
lease or disposition of all or substantially all of the properties and assets
of the Company and its subsidiaries on a consolidated basis (the “Surviving
Entity”) shall be a corporation, a limited liability company, limited
partnership, partnership, trust or other entity duly organized and validly
existing under the laws of the United States of America, any state thereof or
the District of Columbia and such Person assumes, by any supplemental indenture
in a form reasonably satisfactory to the Trustee, all the obligations of the
Company under the Notes and this Indenture, and this Indenture shall remain in
full force and effect;

(2)                                  immediately
before and immediately after giving effect to such transaction, no Default or
Event of Default shall have occurred and be continuing; and

(3)                                  the
Company or the Surviving Entity shall have delivered, or caused to be
delivered, to the Trustee, in form and substance reasonably satisfactory to the
Trustee, an Officers’ Certificate and an Opinion of Counsel, each to the effect
that such consolidation, merger, transfer, sale, assignment, lease or other
transaction and the supplemental indenture in respect thereof comply with the
provisions of this Indenture and that all conditions precedent provided for in
this Indenture relating to such transaction have been complied with.

 17

Section 802. Successor Substituted.

In the event of any transaction (other than a lease)
described in and complying with the conditions listed in the immediately
preceding paragraph in which the Company is not the continuing corporation, the
successor person formed or remaining shall succeed to, and be substituted for,
and may exercise every right and power of the Company and the Company would be
discharged from its obligations under this Indenture and the Notes.

Notwithstanding the foregoing in this Article Eight,
the Company may merge or consolidate with or into or sell, assign, transfer,
convey or otherwise dispose of all or substantially all of its assets to a
direct or indirect wholly owned subsidiary of the Company without complying
with the above provisions in a transaction or series of transactions in which
the Company remains the obligor on the Notes.

SECTION 2.10.  Supplemental
Indentures.

Except as may be
provided in a Future Supplemental Indenture, with respect to the Notes and no
other class or series of Securities issued pursuant to the Indenture, Sections
901 and 902 of the Base Indenture shall be replaced in their entirety with the
following:

Section 901. Supplemental
Indentures and Agreements without Consent of Holders.

Without the consent of any
Holders, the Company, when authorized by a Board Resolution, and the Trustee,
at any time and from time to time, may enter into one or more indentures
supplemental hereto or agreements, in form and substance satisfactory to the
Trustee, for any of the following purposes:

(1)                                  to
evidence the succession of another person to the Company or any other obligor
upon the Notes, and the assumption by any such successor of the covenants of
the Company or obligor under this Indenture and in the Notes, in each case in
compliance with the provisions of this Indenture;

(2)                                  to
add to the covenants of the Company or any other obligor upon the Notes for the
benefit of the Holders, or to add additional opportunities for optional
redemption at the option of the Holder, or to surrender any right or power
conferred in this Indenture upon the Company or any other obligor upon the
Notes, as applicable, in this Indenture or in the Notes;

(3)                                  to
cure any ambiguity, to correct or supplement any provision in this Indenture
which may be defective or inconsistent with any other provision in this
Indenture or to make any other provisions with respect to matters or questions
arising under this Indenture or the Notes; provided that, in each case, such
provisions shall not materially adversely affect the interests of the Holders;

 18
 

(4)                                  to
comply with the requirements of the Commission in order to effect or maintain
the qualification of this Indenture under the Trust Indenture Act, as
contemplated by this Indenture or otherwise;

(5)                                  to
add a guarantor;

(6)                                  to
evidence and provide the acceptance of the appointment of a successor Trustee
under the Indenture;

(7)                                  to
allow for additional dates on which Holders of Notes would have the right to
require the Company to repurchase such notes or to reduce the conversion price
in accordance with this Indenture; or

(8)                                  to
mortgage, pledge, hypothecate or grant a security interest in favor of the
Trustee for the benefit of the Holders as additional security for the payment
and performance of the Indenture obligations, in any property or assets,
including any which are required to be mortgaged, pledged or hypothecated, or
in which a security interest is required to be granted to the Trustee pursuant
to this Indenture or otherwise.

Section 902. Supplemental Indentures and Agreements with Consent of
Holders.

With the consent of the
Holders of not less than a majority in aggregate principal amount of the
Outstanding Notes of all series affected, by Act of said Holders delivered to
the Company, and the Trustee when authorized by a Board Resolution, the Company
and the Trustee may enter into an indenture or indentures supplemental hereto
or agreements, in form and substance satisfactory to the Trustee, for the
purpose of adding any provisions to or changing in any manner or eliminating
any of the provisions of this Indenture or of modifying in any manner the
rights of the Holders under this Indenture or the Notes; provided, however,
that no such supplemental indenture, agreement or instrument shall, without the
consent of each Holder of any Outstanding Notes of all series affected thereby:

(1)                                  change
the stated Maturity of the principal of, or any installment of interest
(including Contingent Cash Interest) on, any Note or reduce the principal
amount at Maturity thereof or the rate of interest (including Contingent Cash
Interest) thereon or any premium payable upon the redemption thereof, or change
the coin or currency in which the principal of any Note or any premium or the
interest thereon is payable, or impair the right to institute suit for the
enforcement of any such payment after the Stated Maturity thereof (or in the
case of redemption, on or after the Redemption Date) or with respect to the
conversion of Notes;

(2)                                  amend,
change or modify the obligation of the Company to repurchase all or any part of
the Notes in the event of a Fundamental Change in accordance with Article
Fifteen, including amending, changing or modifying any definitions with respect
thereto;

 19
 

(3)                                  reduce
the percentage in principal amount of Outstanding Notes, the consent of whose
Holders is required for any supplemental indenture, or the consent of whose
Holders is required for any waiver or compliance with certain provisions of
this Indenture or certain defaults;

(4)                                  modify
any of the provisions relating to supplemental indentures requiring the consent
of Holders or relating to the waiver of past defaults or relating to the waiver
of certain covenants, except to increase the percentage of Outstanding Notes
required for such actions or to provide that certain other provisions of this
Indenture relating to the Notes cannot be modified or waived without the
consent of the Holder of each Note affected thereby;

(5)                                  except
as otherwise permitted under Article Eight, consent to the assignment or
transfer by the Company of any of its rights and obligations under this
Indenture;

(6)                                  amend
or modify any of the provisions of the Note in any manner that would
subordinate the Note in right of payment to any other indebtedness of the
Company;

(7)                                  adversely
affect the right of Holders to convert Notes other than as provided in this
Indenture; or

(8)                                  reduce
the principal amount, the Redemption Price, the purchase price or the
Fundamental Change Repurchase Price of any Note, or amend or modify in any
manner adverse to the Holders of Notes the Company’s obligations to make such
payments, whether through an amendment or waiver of provisions in the
covenants, definitions or otherwise.

Upon the written request
of the Company, accompanied by a copy of a Board Resolution authorizing the
execution of any such supplemental indenture, and upon the filing with the
Trustee of evidence of the consent of Holders as aforesaid, the Trustee shall,
subject to Section 903, join with the Company in the execution of such
supplemental indenture.

It shall not be necessary
for any Act of Holders under this Section 902 to approve the particular form of
any proposed supplemental indenture, as it shall be sufficient if such Act
shall approve the substance thereof.

SECTION 2.11.  Rights of Redemption.

The Notes shall be
redeemable as provided in Article Eleven of the Base Indenture, except that
with respect to the Notes and no other class or series of Securities issued
pursuant to the Indenture, Section 1101 of the Base Indenture shall be replaced
in its entirety and Section 1108 shall include the additional provision as
follows:

 20
 

Section 1101.  Rights of Redemption.

The Company may redeem
the Notes in whole or from time to time in part on or after May 20, 2010 for
cash, on at least 30 calendar days’, and no more than 60 calendar days’ notice
(a “Redemption Notice,” attached hereto as Exhibit B) at a Redemption
Price equal to 100% of the principal amount of the Notes to be redeemed, plus
accrued and unpaid cash interest (including Contingent Cash Interest), if any,
on such Notes to, but excluding, the applicable Redemption Date.  If the Redemption Date is after the close of
business on the Interest Record Date for the payment of an installment of
interest and before the related Interest Payment Date, then the payment of
interest becoming due on that date will be payable to the Holder of record at
the close of business on the relevant Interest Record Date.  Therefore, the Redemption Price will include
only the principal amount of the Notes redeemed, and will not include any
accrued and unpaid interest unless the Holder of the Notes so redeemed was also
the Holder of the Record at the close of business on the immediately preceding
Interest Record Date.

If the Company calls any
Notes for redemption, a Holder may convert its Notes only until the close of
business on the second Business Day immediately preceding the Redemption Date,
unless the Company fails to pay the Redemption Price.

Section 1108. Notes
Redeemed or Purchased in Part.

In the event of any redemption
in part, the Company will not be required to (a) issue, register the transfer
of or exchange any Note during a period of 15 calendar days before the mailing
of the redemption notice; or (b) register the transfer of or exchange any Note
so selected for redemption, in whole or in part, except the unredeemed portion
of any Note being redeemed in part.

SECTION 2.12.  Conversion.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, a new Article
Fourteen shall be added to the Base Indenture as follows:

ARTICLE FOURTEEN

CONVERSION OF THE NOTES

Section 1401.
Conversion Privilege.

(a) Subject to the
further provisions of this Article Fourteen, a Holder of a Note may
convert the principal amount of such Note (or any portion thereof equal to
$1,000 or any integral multiple of $1,000 in excess thereof) into Cash and
Class A Common Stock, if any, at any time prior to the close of business on
November 15, 2026, at the Conversion Price then in effect, if, during any
calendar quarter (the “Quarter”) (and only during such Quarter) commencing
after the date of the initial issuance of Notes, the Closing Sale Price of the
Class A Common Stock for at least 20 Trading Days in the period of 30
consecutive Trading Days ending on the last Trading Day of the Quarter 

 21
 

preceding the Quarter in
which the conversion occurs is more than 130% of the Conversion Price of the
Notes in effect on that last Trading Day (the “Closing Sale Price Condition”),
subject to the exceptions provided in Section 1401(b); provided, however,
that if such Note is submitted for purchase pursuant to Article Fifteen,
such conversion right shall terminate at the close of business on the second Trading
Day immediately preceding the Fundamental Change Repurchase Date (as defined in
Section 1501 of this Indenture) for such Note or such earlier date as the
Holder presents such Note for purchase pursuant to Article Fifteen (unless the
Company shall Default in making the Fundamental Change Repurchase Price (as
defined in Section 1501) payment when due, in which case the conversion right
shall terminate at the close of business on the date such Default is cured and
such Note is purchased).

Provisions of this
Indenture that apply to conversion of all of the Notes also apply to conversion
of a portion of any Note.

A Note in respect of
which a Holder has delivered an Option to Elect Repurchase Upon a Fundamental
Change, the form of which is attached hereto as Exhibit C, pursuant to
Section 1501(c) exercising the option of such Holder to require the
Company to purchase such Note may be converted only if such Option to Elect
Repurchase Upon a Fundamental Change is withdrawn by a written notice of
withdrawal delivered to a Paying Agent prior to 5:00 p.m., New York City
time, on the second Trading Day immediately preceding the Fundamental Change
Repurchase Date in accordance with Section 1501.

A Holder of Notes is not
entitled to any rights of a Holder of Class A Common Stock until such Holder
has converted its Notes to Class A Common Stock and then only to the extent
such Notes are deemed to have been converted into Class A Common Stock pursuant
to this Article Fourteen.

(b) Even if the Closing
Sale Price Condition is not satisfied,

(i) if the Trading
Price for the Notes on each Trading Day during any five consecutive Trading Day
period was less than 95% of the Closing Sale Price of Class A Common Stock on
such date multiplied by the then current Conversion Rate, a Holder may
surrender Notes for conversion at any time during the following 10 Trading
Days.  For the avoidance of doubt, the
five dates of determination within any five consecutive Trading Day period
referred to above shall not include any day on which Nasdaq or, if the Class A
Common Stock is not listed on Nasdaq, the principal other U.S. national or
regional securities exchange on which the Class A Common Stock is then listed
is not open for trading;

(ii) in the event
that the Company declares

(A) a dividend or
distribution of any rights or warrants to all holders of Class A Common Stock
entitling them to subscribe for or purchase shares of Class A Common Stock at a
price per share less than the Current Market Price per share (as defined in
Section 1406(f)) on the Record Date for such dividend or distribution; or

 22
 

(B) a dividend or
distribution of Cash, debt securities (or other evidences of Indebtedness) or
other assets (excluding dividends or distributions for which a Conversion Price
adjustment is required to be made under Section 1406(a) or
1406(b) of this Indenture) where the fair market value of such dividend or
distribution per share of Class A Common Stock, as determined in this
Indenture, together with all other such dividends and distributions within the
preceding twelve months, exceeds 15% of the Current Market Price of the Class A
Common Stock as of the Trading Day immediately prior to the date of declaration
for such dividend or distribution;

then the Notes may be
surrendered for conversion beginning on the date the Company gives notice to
the Holders of such right, which shall not be less than 20 calendar days prior
to the Ex-Dividend Date (as defined in Section 1406) for such dividend or
distribution, until the earlier of the close of business on the Business Day
prior to the Ex-Dividend Date or until the Company announces that such dividend
or distribution will not take place;

(iii) upon the occurrence
of a Fundamental Change with respect to the Company, to the extent practicable,
the Company will give notice to holders of the anticipated effective date not
earlier than 70 calendar days nor later than 40 calendar days prior to such
anticipated effective time.  In order to
exercise the repurchase right, Holders must deliver, on or before the 30th business day after the date of such notice, a
Repurchase Notice, as described in Article Fifteen;

(iv) The Holder of
any Notes will have the right, at its option, to convert such Notes that the
Company calls for redemption at any time prior to the close of business on the
second Business Day immediately preceding the Redemption Date, even if the
Notes are not otherwise convertible at such time.  A Note for which a Holder has delivered a
Repurchase Notice or a Fundamental Change Notice, requiring us to purchase such
Note may be surrendered for conversion only if such notice is withdrawn in
accordance with this Indenture;

(v) if the Company
consolidates with or merges with or into another Person or is a party to a
binding share exchange or conveys, transfers, sells, leases or otherwise
disposes of all or substantially all of its properties and assets in each case
pursuant to which the Class A Common Stock would be converted into Cash,
securities and/or other property, the Notes may be surrendered for conversion
at any time from or after the date, which is 15 calendar days prior to the date
announced by the Company as the anticipated effective date of the transaction,
and until and including the date that is 15 calendar days after the date that
is the effective date of such transaction; provided
such transaction does not otherwise constitute a Fundamental Change (to which
the provisions of Sections 1401(b)(iii) and 1401(c) shall instead apply) (any
such transaction to which this Section 1401(b)(v) applies, a “Transforming
Transaction”); the Company shall notify Holders of Notes at least 20 calendar
days prior to the anticipated effective date of such Transforming Transaction
and the Board of Directors shall determine the anticipated effective date of
such Transforming Transaction, and such determination shall be conclusive and
binding on the Holders and shall be publicly announced by the Company and
posted on its website not later than two Business Days prior to such 15th day;
and

 23
 

(vi) at any time
after November 15, 2026 and prior to the close of business on the Business Day
immediately preceding the Stated Maturity Date, the Notes may be surrendered
for conversion regardless of whether any of the foregoing conditions has been
satisfied.

(c) Pursuant to Section
1401(b)(iii), if a Holder converts Notes at any time from or after the date
which is 40 calendar days prior to the anticipated effective time of any
Fundamental Change as announced by the Company until the close of business on
the second Trading Day immediately preceding the Fundamental Change Repurchase
Date, such Holder shall receive:

(i) if such Notes are
surrendered for conversion at any time beginning 25 Trading Days before the
date of payment of consideration in connection with a Fundamental Change in Control,
Cash and, with respect to the Daily Net Share Settlement Value (if any), the
kind of securities and other assets or property received by Holders of the
Class A Common Stock in such Fundamental Change transaction; or

(ii) in all other events,
Cash or a combination of Cash and Class A Common Stock, if any, in the same
manner as described in Section 1405 of this Indenture;

in each case, taking into
account any Additional Shares deliverable as a result of any Fundamental Change
in Control pursuant to Section 1411 of this Indenture.

(d) Upon request, the
Trustee, on behalf of the Company, will determine whether the Notes are
convertible pursuant to the first paragraph of Section 1401(a) and clause (i)
of Section 1401(b), and, if so, will notify the Trustee and the Company in
writing.

(e) The Trustee, acting
as Conversion Agent, shall have no obligation to determine the Trading Price of
the Notes unless the Company has requested such determination in writing, and
the Company shall have no obligation to make such request unless the Trustee,
acting at the request of one or more Holders holding, in the aggregate, at
least $5,000,000 in principal amount of Notes, provides the Company with
reasonable evidence that the Trading Price of the Notes on any Trading Day would
be less than 95% of the product of the then current Conversion Rate multiplied
by the Closing Sale Price of the Class A Common Stock on that date.  At
such time, the Company shall instruct the Trustee to determine the Trading
Price of the Notes beginning on such Trading Day and on each successive Trading
Day for four consecutive Trading Days.

 24
 

Section 1402.
Conversion Procedure.

The right to
convert any Note may be exercised, if such Note is represented by a Global
Note, by book-entry transfer to the Conversion Agent (which initially shall be
the Trustee) through the facilities of the Depositary in accordance with the
applicable procedures or, if such Note is represented by a certificated Note,
by delivery of such Note at the specified office of the Conversion Agent,
accompanied, in either case, by (a) a completed and duly signed Conversion
Notice, in the form attached hereto as Exhibit D, (a “Conversion
Notice”); (b) if the Note is represented by a certificated Note and such
certificated Note has been lost, stolen, destroyed or mutilated, a notice to
the Conversion Agent in accordance with Section 307 regarding the loss,
theft, destruction or mutilation of the Note; (c) appropriate endorsements
and transfer documents if required by the Conversion Agent; and
(d) payment of any tax or duty, in accordance with Section 1404,
which may be payable in respect of any transfer involving the issue or delivery
of the Class A Common Stock in the name of a Person other than the Holder of
the Note.  The “Conversion Date” shall be the Business Day on which the
Holder satisfies all of the requirements set forth in the immediately preceding
sentence, if all such requirements shall have been satisfied by
11:00 a.m., New York City time, on such day, and in all other cases, the
Conversion Date shall be the next succeeding Business Day; however, if a Holder
surrenders for conversion a Note at any time after the 25th scheduled Trading
Day prior to the Stated Maturity Date, the Conversion Date shall be deemed to
be the Business Day immediately preceding the Stated Maturity Date.  On
the third Business Day following the last day of the related Conversion Period,
subject to Section 1405, the Company shall deliver to the Holder through a
Conversion Agent a certificate for the number of whole shares of Class A Common
Stock (or the other form of consideration into which the Class A Common Stock
has been converted in connection with a Transforming Transaction), if any,
issuable upon the conversion and Cash (including Cash in lieu of any fractional
shares pursuant to Section 1403).

The person in whose name
the Class A Common Stock certificate is registered shall be deemed to be a
stockholder of record on the Conversion Date; provided,
however, that no surrender of a
Note on any date when the stock transfer books of the Company shall be closed
shall be effective to constitute the person or persons entitled to receive the
shares of Class A Common Stock upon such conversion as the record Holder or
Holders of such shares of Class A Common Stock on such date, but such surrender
shall be effective to constitute the person or persons entitled to receive such
shares of Class A Common Stock as the record Holder or Holders thereof for all
purposes at the close of business on the next succeeding day on which such
stock transfer books are open; provided,
further, that such conversion
shall be at the Conversion Price in effect for the 20 Trading Days beginning on
the third Trading Day immediately following the Conversion Date as if the stock
transfer books of the Company had not been closed.  Upon conversion of a
Note, such person shall no longer be a Holder of such Note.  No payment or
adjustment will be made for dividends or distributions on shares of Class A
Common Stock issued upon conversion of a Note. 
Upon surrender of a Note that is converted in part, the Company shall
execute, and the Trustee, upon receipt of an Officers’ Certificate and Opinion
of Counsel, shall authenticate and deliver to the Holder, a new Note equal in
principal amount to the unconverted portion of the Note surrendered.

 25
 

Section 1403.
Fractional Shares.

The Company will not
issue fractional shares of Class A Common Stock upon conversion of the
Notes.  In lieu thereof, the Company will deliver a number of shares of
Class A Common Stock equal to the aggregate of the fractional shares otherwise
deliverable for each Trading Day during the Conversion Period (rounding down to
the nearest whole number) and Cash equal to the remainder multiplied by the
Volume Weighted Average Price (as defined below) of the Class A Common Stock on
the last day of the Conversion Period.

Section 1404. Taxes on
Conversion.

If a Holder converts a
Note, the Company shall pay any documentary, stamp or similar issue or transfer
tax due on the issue of shares of Class A Common Stock upon such
conversion.  However, the Holder shall pay any such tax which is due
because the Holder requests the shares to be issued in a name other than the
Holder’s name.  The Conversion Agent may refuse to deliver the certificate
representing the Class A Common Stock being issued in a name other than the
Holder’s name until the Conversion Agent receives a sum sufficient to pay any
tax which will be due because the shares are to be issued in a name other than
the Holder’s name.  Nothing herein shall preclude any tax withholding
required by law or regulation.

Section 1405. Payment
Upon Conversion.

(a) Except as
otherwise provided in Section 1401(c) of this Indenture, in the event that the
Company receives a Holder’s valid Conversion Notice:

(i) For each $1,000
aggregate principal amount of Notes surrendered for conversion, the Company
shall be required to pay to such Holder the aggregate of the following (the “Conversion
Obligation”) for each of the twenty Trading Days beginning on the third Trading
Day following the Conversion Date (such twenty Trading Day period, a “Conversion
Period”):

(A) if the Daily
Conversion Value (as defined below) for such Trading Day for each $1,000
aggregate principal amount of Notes exceeds $50.00, (1) a Cash payment of
$50.00 and (2) the remaining Daily Conversion Value (the “Daily Net Share
Settlement Value”) in shares of Class A Common Stock (or the other form of
consideration into which the Class A Common Stock has been converted in
connection with a Transforming Transaction) subject to the right to deliver
Cash in lieu of all or a portion of the shares of Class A Common Stock; or

(B) if the Daily
Conversion Value for such Trading Day for each $1,000 aggregate principal
amount of Notes is less than or equal to $50.00, a Cash payment equal to the
Daily Conversion Value.

 26
 

(C)
Notwithstanding the foregoing, if a Holder surrenders for conversion a Note at
any time after the twenty-fifth scheduled Trading Day immediately preceding the
Stated Maturity Date and on or prior to the close of business on the Business
Day immediately preceding the Stated Maturity Date, (1) the Conversion
Date will be deemed to be the Business Day immediately preceding the Stated
Maturity Date, (2) the Conversion Period for such conversion will be the
twenty Trading Day period commencing on the Trading Day immediately following
the Stated Maturity Date, (3) in lieu of receiving any Cash payments as
set forth pursuant to clause (A) or (B) above, the Holder will
receive a Cash payment on the Stated Maturity Date of $1,000 per $1,000
aggregate principal amount of Notes surrendered and (4) on the third
Business Day following the last day of such Conversion Period, the Holder will
receive an amount of shares of Class A Common Stock, if any, equal to the
aggregate of, for each Trading Day during the Conversion Period, any Daily
Conversion Value in excess of $50.00, subject to the Company’s right to deliver
cash in lieu of all or a portion of such remaining shares as described pursuant
to clause (ii) below.

(ii) The amount to be
paid to a converting Holder shall be computed in accordance with the following:

(A) The “Daily
Conversion Value” for each Trading Day during the Conversion Period for each
$1,000 aggregate principal amount of Notes is equal to one-twentieth of the
product of the then applicable Conversion Rate multiplied by the Volume
Weighted Average Price of the Class A Common Stock (or such other form of
consideration into which the Class A Common Stock has been converted in
connection with a Fundamental Change) on such Trading Day.

(B) The number of
shares of Class A Common Stock to be delivered under
Section 1405(a)(i)(A)(2) or 1405(a)(i)(C)(4) (in either case,
the “Residual Amount”) shall be determined by dividing the Daily Net Share
Settlement Value by the Volume Weighted Average Price of the Class A Common
Stock (or such other form of consideration into which the Class A Common Stock
has been converted in connection with a Fundamental Change) for such Trading
Day, in each case subject to the Company’s right to deliver cash in lieu of all
or a portion of such remaining shares.

(C) On any day prior to the
first Trading Day of the applicable Conversion Period, the Company may specify
a percentage of the Residual Amount that will be settled in cash (the “Cash
Percentage”).  If the Company elects to
specify a Cash Percentage, the amount of Cash that the Company will deliver in
respect of each Trading Day in the applicable Conversion Period will equal the
product of:  (1) the Cash Percentage and (2)
the Residual Amount.  The number of
shares deliverable in respect of each Trading Day in the applicable Conversion
Period will be equal to the product of (i) 100% minus the Cash Percentage times
(ii) the Residual Amount for the Trading Day divided by the daily Volume
Weighted Average Price of Class A Common Stock on such Trading Day.  If the Company does not specify a Cash
Percentage by the start of the applicable Conversion Period, then the Company
must settle 100% of the Residual Amount for each Trading Day in the applicable
Conversion Period with shares of Class A Common Stock.  The Company will provide notice to all
Holders of the Notes and the Trustee of the chosen method of settlement on or
before the day immediately prior to the first Trading Day of the applicable
Conversion Period.  Simultaneously with
providing such notice, the Company will issue a press release containing the
relevant information and make this information available on its website.

 27
 

(D) For purposes
of this Section 1405, “Volume Weighted Average Price” per share of Class A
Common Stock (or any security into which the Class A Common Stock has been
converted in connection with a Fundamental Change) on any Trading Day means the
volume weighted average price on the principal exchange or over-the-counter
market on which the Class A Common Stock (or such other security) is then
listed or traded, from 9:30 a.m. to 4:00 p.m. (New York City time) on
that Trading Day as displayed under the heading “Bloomberg VWAP” on Bloomberg
Page SBGI Equity AQR (or the Bloomberg Page for any security into
which the Class A Common Stock has been converted in connection with a
Fundamental Change), or if such Volume Weighted Average Price is not available,
the Board of Directors’ reasonable, good faith estimate of the volume weighted
average price of the shares of Class A Common Stock (or other security) on such
Trading Day (whose determination shall be conclusive evidence of such Volume
Weighted Average Price and which shall be evidenced by an Officers’ Certificate
delivered to the Trustee and the Conversion Agent).

(b) The Company shall,
prior to the issuance of any Notes hereunder, and from time to time as may be
necessary, reserve at all times and keep available, free from preemptive
rights, out of its authorized but unissued Class A Common Stock, a sufficient
number of shares of Class A Common Stock deliverable upon conversion of all of
the Notes.

(c) All shares of Class A
Common Stock that may be issued upon conversion of the Notes shall be duly
authorized, validly issued, fully paid and nonassessable and shall be free of
any preemptive rights and free of any lien or adverse claim.

(d) The Company
shall endeavor to comply with all applicable securities laws regulating the
offer and delivery of any Class A Common Stock upon conversion of the Notes and
shall list or cause to have quoted such shares of Class A Common Stock on each
national or regional securities exchange or other over-the-counter market or
such other market on which the Class A Common Stock is then listed or quoted; provided, however,
that, if the rules of such automated quotation system or exchange permit
the Company to defer the listing of such Class A Common Stock until the first
conversion of the Notes into Class A Common Stock in accordance with the
provisions of this Indenture, the Company covenants to list such Class A Common
Stock issuable upon conversion of the Notes in accordance with the requirements
of such automated quotation system or exchange at such time.

(e) Notwithstanding anything
herein to the contrary, nothing herein shall give to any Holder any rights as a
creditor in respect of its right to conversion.

 28
 

Section 1406. Adjustment
of Conversion Price.

The Conversion Price
shall be adjusted from time to time by the Company as follows:

(a) In case the Company
shall (i) pay a dividend on its Class A Common Stock in shares of Class A
Common Stock, (ii) make a distribution on its Class A Common Stock in
shares of Class A Common Stock, (iii) subdivide its outstanding Class A
Common Stock into a greater number of shares, or (iv) combine its
outstanding Class A Common Stock into a smaller number of shares, the
Conversion Price in effect immediately prior thereto shall be adjusted so that
the Holder of any Note thereafter surrendered for conversion shall be entitled
to receive that number of shares of Class A Common Stock which it would have
owned had such Note been converted immediately prior to the Record Date of such
event or the happening of such event (assuming such Note were convertible
solely into shares of Class A Common Stock, based on the relevant Conversion
Price, rather than Cash or Cash and Class A Common Stock as set forth in
Section 1405).  An adjustment made pursuant to this
subsection (a) shall become effective immediately after the Record
Date in the case of a dividend or distribution and shall become effective
immediately after the effective date in the case of subdivision or combination.

(b) In case the Company
shall issue rights or warrants to all or substantially all holders of its Class
A Common Stock entitling them for a period of not more than 60 calendar days to
subscribe for or purchase shares of Class A Common Stock (or securities
convertible into Class A Common Stock) at a price per share (or having a
conversion price per share) less than the Current Market Price per share of
Class A Common Stock (as determined in accordance with
subsection (f) of this Section 1406) on the Record Date for the
determination of stockholders entitled to receive such rights or warrants, the
Conversion Price in effect immediately prior thereto shall be adjusted so that
the same shall equal the price determined by multiplying the Conversion Price
in effect immediately prior to such Record Date by a fraction of which the
numerator shall be the number of shares of Class A Common Stock outstanding on
such Record Date plus the number of shares which the aggregate offering price
of the total number of shares of Class A Common Stock so offered (or the
aggregate conversion price of the convertible securities so offered, which
shall be determined by multiplying the number of shares of Class A Common Stock
issuable upon conversion of such convertible securities by the conversion price
per share of Class A Common Stock pursuant to the terms of such convertible
securities) would purchase at the Current Market Price per share (as defined in
subsection (f) of this Section 1406) of Class A Common Stock on
such Record Date, and of which the denominator shall be the number of shares of
Class A Common Stock outstanding on such Record Date plus the number of
additional shares of Class A Common Stock offered (or into which the
convertible securities so offered are convertible).  Such adjustment shall
be made successively whenever any such rights or warrants are issued and shall
become effective immediately after such Record Date.  If at the end of the
period during which such rights or warrants are exercisable not all rights or
warrants shall have been exercised or distributed, the adjusted Conversion Price
shall be immediately readjusted to what it would have been based upon the
number of additional shares of Class A Common Stock actually issued (or the
number of shares of Class A Common Stock issuable upon conversion of
convertible securities actually issued).

 29

(c) In case the Company
shall distribute to all or substantially all holders of its Class A Common
Stock any shares of capital stock of the Company (other than Class A Common
Stock), evidences of Indebtedness or other non-Cash assets (including securities
of any Person other than the Company but excluding (1) dividends or
distributions paid exclusively in Cash referred to in subsection (e) of this
Section 1406 or (2) dividends or distributions referred to in
subsection (a) of this Section 1406), or shall distribute to all
or substantially all Holders of its Class A Common Stock rights or warrants to
subscribe for or purchase any of its securities (excluding those rights and
warrants referred to in subsection (b) of this Section 1406 and
also excluding the distribution of rights to all Holders of Class A Common
Stock pursuant to the adoption of a stockholder rights plan or the detachment
of such rights under the terms of such stockholder rights plan), then in each
such case the Conversion Price shall be adjusted so that the same shall equal
the price determined by multiplying the current Conversion Price by a fraction
of which the numerator shall be the Current Market Price per share (as defined
in subsection (f) of this Section 1406) of the Class A Common
Stock on the Record Date mentioned below less the fair market value on such
Record Date (as determined by the Board of Directors, whose determination shall
be conclusive evidence of such fair market value and which shall be evidenced
by an Officers’ Certificate delivered to the Trustee and the Conversion Agent)
of the portion of the capital stock, evidences of indebtedness or other
non-Cash assets so distributed or of such rights or warrants applicable to one
share of Class A Common Stock (determined on the basis of the number of shares
of Class A Common Stock outstanding on the Record Date), and of which the
denominator shall be the Current Market Price per share (as defined in
subsection (f) of this Section 1406) of the Class A Common Stock
on such Record Date.  Such adjustment shall be made successively whenever
any such distribution is made and shall become effective immediately after the
Record Date for the determination of shareholders entitled to receive such
distribution.

In the event the then
fair market value (as so determined) of the portion of the capital stock,
evidences of Indebtedness or other non-cash assets so distributed or of such
rights or warrants applicable to one share of Class A Common Stock is equal to
or greater than the Current Market Price per share of the Class A Common Stock
on such Record Date, in lieu of the foregoing adjustment, adequate provision
shall be made so that each Holder of a Note shall have the right to receive
upon conversion the amount of capital stock, evidences of Indebtedness or other
non-cash assets so distributed or of such rights or warrants such Holder would
have received had such Holder converted each Note on such Record Date.  In
the event that such dividend or distribution is not so paid or made, the Conversion
Price shall again be adjusted to be the Conversion Price, which would then be
in effect if such dividend or distribution had not been declared.  If the
Board of Directors determines the fair market value of any distribution for
purposes of this Section 1406(c) by reference to the actual or when
issued trading market for any securities, it must in doing so consider the
prices in such market over the same period used in computing the Current Market
Price of the Class A Common Stock.

 30
 

In the event that the Company
implements a stockholder rights plan (“Rights Plan”), upon conversion of the
Notes into Class A Common Stock, to the extent that the Rights Plan has been
implemented and is still in effect upon such conversion, the Holders of Notes
will receive, in addition to the Class A Common Stock, the rights described
therein (whether or not the rights have separated from the Class A Common Stock
at the time of conversion), subject to the limitations set forth in the Rights
Plan.  Any distribution of rights or warrants pursuant to a Rights Plan
complying with the requirements set forth in the immediately preceding sentence
of this paragraph shall not constitute a distribution of rights or warrants
pursuant to this Section 1406(c).

Rights or warrants
distributed by the Company to all Holders of Class A Common Stock entitling the
Holders thereof to subscribe for or purchase shares of the capital stock
(either initially or under certain circumstances), which rights or warrants,
until the occurrence of a specified event or events (“Trigger Event”): 
(i) are deemed to be transferred with such shares of Class A Common Stock;
(ii) are not exercisable; and (iii) are also issued in respect of
future issuances of Class A Common Stock, shall be deemed not to have been
distributed for purposes of this Section 1406 (and no adjustment to the
Conversion Price under this Section 1406 will be required) until the
occurrence of the earliest Trigger Event, whereupon such rights and warrants
shall be deemed to have been distributed and an appropriate adjustment (if any
is required) to the Conversion Price shall be made under this
Section 1406(c).  If any such right or warrant, including any such
existing rights or warrants distributed prior to the date of this Indenture,
are subject to events, upon the occurrence of which such rights or warrants
become exercisable to purchase different securities, evidences of Indebtedness
or other assets, then the date of the occurrence of any and each such event
shall be deemed to be the date of distribution and Record Date with respect to
new rights or warrants with such rights (and a termination or expiration of the
existing rights or warrants without exercise by any of the holders
thereof).  In addition, in the event of any distribution (or deemed distribution)
of rights or warrants, or any Trigger Event or other event (of the type
described in the preceding sentence) with respect thereto that was counted for
purposes of calculating a distribution amount for which an adjustment to the
Conversion Price under this Section 1406 was made, (1) in the case of
any such rights or warrants which shall all have been redeemed or repurchased
without exercise by any holders thereof, the Conversion Price shall be
readjusted upon such final redemption or repurchase to give effect to such
distribution or Trigger Event, as the case may be, as though it were a Cash
distribution, equal to the per share redemption or Repurchase Price received by
a holder or holders of Class A Common Stock with respect to such rights or warrants
(assuming such holder had retained such rights or warrants), made to all
holders of Class A Common Stock as of the date of such redemption or
repurchase, and (2) in the case of such rights or warrants which shall
have expired or been terminated without exercise by any holders thereof, the
Conversion Price shall be readjusted as if such rights and warrants had not
been issued.

 31
 

(d) (1) In case
any tender offer made by the Company or any of its Subsidiaries for Class A
Common Stock shall expire and such tender offer (as amended upon the expiration
thereof) shall involve the payment of aggregate consideration in an amount
(determined as the sum of the aggregate amount of Cash consideration and the
aggregate fair market value (as determined by the Board of Directors, whose
determination shall be conclusive evidence thereof and which shall be evidenced
by an Officers’ Certificate delivered to the Trustee and the Conversion Agent
thereof) of any other consideration) that exceeds an amount equal to the
Current Market Price per share of Class A Common Stock (as determined in
accordance with subsection (f) of this Section 1406) as of the
last date (the “Expiration Date”) tenders could have been made pursuant to such
tender offer (as it may be amended) (the last time at which such tenders could
have been made on the Expiration Date is hereinafter sometimes called the “Expiration
Time”), then, immediately prior to the opening of business on the day after the
Expiration Date, the Conversion Price shall be reduced so that the same shall
equal the price determined by multiplying the Conversion Price in effect
immediately prior to the close of business on the Expiration Date by a fraction
of which the numerator shall be the product of the number of shares of Class A
Common Stock outstanding (including tendered shares but excluding any shares
held in the treasury of the Company) at the Expiration Time multiplied by the
Current Market Price per share of the Class A Common Stock (as determined in
accordance with subsection (f) of this Section 1406) on the
Trading Day next succeeding the Expiration Date and the denominator shall be
the sum of (x) the aggregate consideration (determined as aforesaid) payable to
stockholders based on the acceptance (up to any maximum specified in the terms
of the tender offer) of all shares validly tendered and not withdrawn as of the
Expiration Time (the shares deemed so accepted, up to any such maximum, being
referred to as the “Purchased Shares”) and (y) the product of the number of
shares of Class A Common Stock outstanding (less any Purchased Shares and
excluding any shares held in the treasury of the Company) at the Expiration
Time and the Current Market Price per share of Class A Common Stock (as
determined in accordance with subsection (f) of this
Section 1406) on the Trading Day next succeeding the Expiration Date, such
reduction to become effective immediately prior to the opening of business on
the day following the Expiration Date.  In the event that the Company is
obligated to purchase shares pursuant to any such tender offer, but the Company
is permanently prevented by applicable law from effecting any or all such
purchases or any or all such purchases are rescinded, the Conversion Price
shall again be adjusted to be the Conversion Price which would have been in
effect based upon the number of shares actually purchased.  If the
application of this Section 1406(d)(2) to any tender offer would
result in an increase in the Conversion Price, no adjustment shall be made for
such tender offer under this Section 1406(d)(2).

(2) For purposes
of this Section 1406(d), the term “tender offer” shall mean and include
both tender offers and exchange offers, all references to “purchases” of shares
in tender offers (and all similar references) shall mean and include both the
purchase of shares in tender offers and the acquisition of shares pursuant to
exchange offers, and all references to “tendered shares” (and all similar
references) shall mean and include shares tendered in both tender offers and
exchange offers.

(e) In case the Company
shall make any cash dividend or distribution to all or substantially all
holders of the Class A Common Stock during any quarterly fiscal period in an
aggregate amount that, together with other cash dividends or distributions made
during such quarterly fiscal period (the “Current Dividend Rate”), exceeds
$0.15 per share (appropriately adjusted from time to time for any share
dividends on, or subdivisions of, common stock) (the “Initial Dividend Rate”),
the Conversion Rate shall be adjusted so that, if the Current Dividend Rate is
greater than the Initial Dividend Rate, then the Conversion Rate in effect
immediately after the Record Date for such 

 32
 

distribution shall
be equal to the Conversion Rate in effect immediately prior to the Record Date
for such distribution multiplied by a fraction of which the numerator shall be
the Last Reported Sale Price (as determined in accordance with
subsection (f) of this Section 1406) of the Class A Common Stock
on the Trading Day immediately preceding the Record Date for such distribution
(or, if earlier, the Ex-Dividend Date relating to such distribution) and the
denominator shall be the amount in Cash per share the Company distributes to
holders of Class A Common Stock in excess of $0.15 (appropriately adjusted from
time to time for any share dividends on, or subdivision of, the Class A Common
Stock) subtracted from such Last Reported Sale Price.

Such adjustment shall become effective immediately
after 5:00 p.m., New York City time, on the Record Date for such dividend or
distribution; provided that if such dividend or distribution is not so paid or
made, the Conversion Rate shall again be adjusted to be the Conversion Rate
that would then be in effect if such dividend or distribution had not been
declared.

(f) For the
purpose of any computation under this Section 1406, (i) the current market
price (the “Current Market Price”) shall mean, with respect to any date of
determination, the Closing Sale Price per share of Class A Common Stock on the
date of determination; (ii) “Dividend Adjustment Amount” means the full amount
of the dividend or distribution in excess of the Initial Dividend Rate to the
extent payable in Cash applicable to one common share; the term “Ex-Dividend
Date”, when used with respect to any dividend or distribution, means the first
date on which the Class A Common Stock trades, regular way, on the relevant
exchange or in the relevant market from which the Closing Sale Price was
obtained without the right to receive such dividend or distribution; and “Last
Reported Sale Price” means, with respect to the Class A Common Stock, the
Closing Sale Price per share (or, if no Closing Sale Price is reported, the
average of the bid and asked prices or, if more than one in either case, the
average of the average bid and the average asked prices) on such date as
reported for composite transactions by the Nasdaq Global Market or Nasdaq
Global Select Market or such other principal United States national or regional
securities exchange on which the Class A Common Stock is traded or, if the
Class A Common Stock is not listed on a United States national or regional
securities exchange, on the relevant date, the “Last Reported Sale Price” shall
be the last quoted bid price for the Class A Common Stock in the
over-the-counter market on the relevant date as reported by the National
Quotation Bureau or similar organization. If the Class A Common Stock is
not so quoted, the “Last Reported Sale Price” shall be the average of the
midpoint of the last bid and asked prices for the Class A Common Stock on
the relevant date from each of at least three independent nationally recognized
investment banking firms selected by the Company for this purpose.

(g) In any case in which
this Section 1406 shall require that an adjustment be made following a
Record Date or Expiration Date, as the case may be, established for purposes of
this Section 1406, the Company may elect to defer but only until five
Business Days following the filing by the Company with the Trustee of the
certificate described in Section 1411 issuing to the Holder of any Note
converted after such Record Date or Expiration Date the shares of Class A
Common Stock and other capital stock of 

 33
 

the Company
issuable upon such conversion over and above the shares of Class A Common Stock
and other capital stock of the Company issuable, or Cash payable, upon such
conversion only on the basis of the Conversion Price prior to adjustment; and,
in lieu of the shares the issuance of which, or Cash the payment of which, is
so deferred, the Company shall issue or cause its transfer agents to issue due
bills or other appropriate evidence prepared by the Company of the right to
receive such shares or Cash, as the case may be.  If any distribution in
respect of which an adjustment to the Conversion Price is required to be made
as of the Record Date or Expiration Date therefor is not thereafter made or
paid by the Company for any reason, the Conversion Price shall be readjusted to
the Conversion Price which would then be in effect if such Record Date had not
been fixed or such effective date or Expiration Date had not occurred.

Section 1407. No
Adjustment.

Notwithstanding
the provisions of Section 1406, no adjustment in the Conversion Rate shall be
required unless the adjustment would result in a change of at least 1% in the
Conversion Price as last adjusted; provided,
however, that any adjustments
which by reason of this Section 1407 are not required to be made shall be
carried forward and taken into account in any subsequent adjustment, regardless
of whether the aggregate adjustment is less than 1% within one year of the
first such adjustment carried forward upon required purchases of the Notes in
connection with a Fundamental Change and five Business Days prior to the Stated
Maturity Date.  All calculations under this Article Fourteen shall be
made to the nearest cent or to the nearest one-hundredth of a share, as the
case may be.

Except as
otherwise provided herein, no adjustment need be made for issuances of Class A
Common Stock pursuant to a Company plan for reinvestment of dividends or
interest or for a change in the par value or a change to no par value of the
Class A Common Stock.

To the extent that
the Notes become convertible into the right to receive Cash, no adjustment need
be made thereafter as to the Cash.  Interest will not accrue on the Cash.

No adjustment to
the Conversion Rate will be required in respect of any transaction that Holders
will participate in without conversion of the Notes.

Section 1408.
Adjustment for Tax Purposes.

Notwithstanding any other
provision in the Indenture, the Company shall without the consent of any Holder
be entitled to make such reductions in the Conversion Price, for the remaining
term of the Notes or any shorter term, in addition to those required by
Section 1406, as the Board of Directors shall determine to be advisable in
order to avoid or diminish any tax to any Holders of shares of Class A Common
Stock or rights to purchase Class A Common Stock resulting from any stock dividends,
subdivisions of shares, distributions of rights or warrants to purchase or
subscribe for stock or Securities, distributions of Securities convertible into
or exchangeable for stock hereafter made by the Company to its stockholders or
from any event treated as such for income tax purposes.

 34
 

Section
1409. Withholding Taxes Setoff.

The Company may, at its option, set-off withholding taxes due with
respect to Notes against payments of Cash and Class A Common Stock on the
Notes. In the case of any such set-off against Class A Common Stock delivered
upon conversion of the Notes, such Class A Common Stock shall be valued based
on the arithmetic average of the Volume Weighted Average Prices for each
Trading Day in the relevant Conversion Period.

Section 1410. Temporary
Reduction of Conversion Price.

Notwithstanding any other provision in this Indenture, the
Company is permitted, without the consent of any Holder and subject to
applicable Nasdaq rules (if the Company is then listed on Nasdaq or another
relevant stock exchange), to reduce the Conversion Price of the Notes by any
amount for a period of at least 20 Business Days if the Board of Directors
determines that such reduction would be in the Company’s best interest.  At least 15 calendar days’ prior notice of any
reduction in the Conversion Price will be given.

Section 1411. Notice of
Certain Transactions.

In the event that:

(1)                                  the
Company takes any action which would require an adjustment in the Conversion
Price;

(2)                                  the
Company consolidates or merges with, or transfers all or substantially all of
its property and assets to, another corporation and shareholders of the Company
must approve the transaction; or

(3)                                  there
is a dissolution or liquidation of the Company,

the Company shall mail to
Holders and file with the Trustee a notice stating the proposed Record Date and
mail the notice at least 10 calendar days before such date; provided, further, that upon occurrence of
an event referred to in clause (1) of this Section 1411, the Company shall file
with the Trustee an Officers’ Certificate briefly stating the facts requiring
the adjustment and the manner of computing it and promptly mail to Holders a
notice of the adjustment.  Failure to mail such notice or any defect
therein shall not affect the validity of any transaction referred to in clause
(1), (2) or (3) of this Section 1411; provided, however, that unless and until the Trustee shall
have received an Officers’ Certificate setting forth an adjustment of the
Conversion Price in connection with the event referred to in clause (1), the
Trustee may assume without inquiry that the Conversion Price has not been
adjusted and that the last Conversion Price of which it has knowledge remains
in effect.

 35
 

Section 1412. Additional
Shares.

(a) If a Holder elects to
convert its Notes pursuant to Section 1401(b)(iii) hereof in connection with a
Fundamental Change in Control (as defined below) that occurs prior to the
Stated Maturity Date, the Conversion Rate of the Notes being converted by such
Holder at that time shall be increased by an additional number of shares of
Class A Common Stock (the “Additional Shares”) determined by reference to the
table attached as Schedule I hereto.  For avoidance of doubt, the
adjustment provided for in this Section 1412 shall be made only with respect to
the Notes converted in connection with such Fundamental Change in Control and
shall not be effective as to any Note not so converted.

(b) A “Fundamental Change
in Control” is limited to the first, third or fifth clauses of the definition
of Fundamental Change (as defined in Section 1501), unless in the case of a
merger or consolidation, at least 90% of the consideration, excluding cash
payments for fractional shares in the merger or consolidation constituting the
Fundamental Change, consists of common stock traded on a United States national
securities exchange or quoted on Nasdaq (or which will be so traded or quoted
when listed or exchanged in connection with such Fundamental Change) and as a
result of such transaction or transactions the Notes become convertible solely
into such common stock.

(c) For purposes
of determining the applicable number of Additional Shares pursuant to Schedule
I:

(i) “Effective
Date”  shall mean the date the
Fundamental Change in Control occurs or becomes effective; and

(ii) “Stock Price”  shall mean: (x) in the case of a
Fundamental Change described in the third clause of the definition of
Fundamental Change, the price paid per share of Class A Common Stock in the
Fundamental Change in Control, unless the holders of Class A Common Stock
receive only Cash in such Fundamental Change in Control, in which event “Stock
Price” shall mean the Cash amount paid per share; (y) in the case of a
Fundamental Change described in the first clause of the definition of
Fundamental Change, the average of the last reported Closing Sale Prices of
Class A Common Stock over the five consecutive Trading Day period ending on the
Trading Day preceding the Effective Date of such Fundamental Change in Control;
and (z) in the case of a Fundamental Change described in the fifth clause of
the definition of Fundamental Change, (i) if as a result of a transaction that
causes the de-listing of Class A Common Stock, the price paid per share in
connection with such transaction, if such price exists, and (ii) if as a result
of any other event giving rise to a de-listing, the average of the last
reported Closing Sale Prices of Class A Common Stock over the five consecutive
Trading Day period ending on the Trading Day preceding the announcement of such
event.

 36
 

(d) If the Stock Price is
between two Stock Price amounts in the table attached as Schedule I hereto, the
number of Additional Shares shall be determined by a straight-line
interpolation between the number of Additional Shares set forth for the higher
and lower Stock Price amounts, based on a 365-day year.

(e) If the Effective Date
falls between two Effective Dates in the table attached as Schedule I hereto,
the number of Additional Shares shall be determined by a straight-line
interpolation between the number of Additional Shares set forth for the two
dates, based on a 365-day year.

(f) No increase in the
Conversion Rate shall be made pursuant to this Section 1411 if the Stock Price
(i) exceeds $35.00 per share (subject to adjustment) or (ii) is less than $15.33
per share (subject to adjustment).

(g) The Stock Price
figures set forth in the first row of the table (i.e., column headers) in
Schedule I hereto shall be adjusted as of any date on which the Conversion
Price of the Notes is adjusted pursuant to Section 1406.  The adjusted
Stock Price figures shall equal the Stock Price figures applicable immediately
prior to such adjustment, divided by a fraction, the numerator of which is the
Conversion Price immediately prior to the adjustment giving rise to the Stock
Price figure adjustment and the denominator of which is the Conversion Price as
so adjusted.  The number of Additional Shares indicated in the table shall
be adjusted in the same manner as the Conversion Rate that results from an
adjustment to the Conversion Price pursuant to Section 1406.

(h) In no event shall the
Conversion Rate be increased by more than 65.2315 shares per $1,000 principal
amount of Notes (the “Maximum Conversion Rate Adjustment”) pursuant to the
events described in this Section 1412.  The Maximum Conversion Rate
Adjustment shall be subject to adjustments in the same manner as the Conversion
Rate is adjusted as a result of adjustments to the Conversion Price pursuant to
Section 1406.

(i) The Company will
notify Holders of the anticipated Effective Date of a Fundamental Change in
Control and issue a press release as soon as practicable after the Company
first determines the anticipated Effective Date of such Fundamental Change in
Control.

Section 1413. Disclaimer.

Neither the Trustee nor
any Conversion Agent (other than the Company or an Affiliate of the Company)
shall have any duty to determine when an adjustment under this
Article Fourteen should be made, how it should be made or what such
adjustment should be, but may accept as conclusive evidence of that fact or the
correctness of any such adjustment, and shall be protected in relying upon, an
Officers’ Certificate, including the Officers’ Certificate with respect
thereto, which the Company is obligated to file with the Trustee (and to
deliver a copy thereof to the Conversion Agent) pursuant to
Section 1411.  Neither the Trustee nor any Conversion Agent (other
than the Company or an Affiliate of the Company) makes any representation as to
the validity or value of any Securities or assets issued upon conversion of
Notes, and neither shall be responsible for the Company’s failure to comply
with any provisions of this Article Fourteen.

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Section 1414. Limitation
on Adjustments.

(a) The Company shall not
take any action that would result in an adjustment pursuant to the foregoing
provisions in this Article Fourteen without complying with the Nasdaq’s
shareholder approval rules or such rules of another relevant stock exchange.

(b) The Company shall not
take any action that would result in an adjustment pursuant to the foregoing
provisions in this Article Fourteen if that adjustment would reduce the
Conversion Price below the then par value of the shares of Class A Common Stock
issuable upon conversion of the Notes.

SECTION 2.13.  Repurchases of
Notes Upon a Fundamental Change.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, a new Article
Fifteen shall be added to the Base Indenture as follows:

ARTICLE FIFTEEN

REPURCHASES OF NOTES UPON A FUNDAMENTAL
CHANGE

Section
1501. Repurchases of Notes at Option of the Holder Upon Fundamental Change.

(a) If at any time that
Notes remain outstanding there shall occur a Fundamental Change, Notes shall be
purchased by the Company at the option of the Holders, as of the date that is
30 Business Days after the Holder’s receipt of notice of the Fundamental Change
(the “Fundamental Change Repurchase Date” and such notice, the “Notice of
Occurrence of a Fundamental Change,” the form attached hereto as Exhibit E)
at a purchase price equal to 100% of the principal amount of the Notes,
together with any accrued and unpaid interest (including Contingent Cash
Interest) to, but excluding, the Fundamental Change Repurchase Date (the “Fundamental
Change Repurchase Price”), payable in Cash, subject to satisfaction by or on
behalf of any Holder of the requirements set forth in
subsection (c) of this Section 1501.  Notes submitted for repurchase must have a
principal amount of $1,000 or an integral multiple of $1,000.

A “Fundamental Change”
shall mean the occurrence of:

(1)                                  Any
“person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the
Securities Exchange Act of 1934), other than Permitted Holders, is or becomes
the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 of the Securities
Exchange Act of 1934, except that a Person shall be deemed to have beneficial
ownership of all shares that such person has the right to acquire, whether such
right is exercisable immediately or only after the passage of time), directly
or indirectly, of more than 40% of the total outstanding Voting Stock of the
Company, provided that the Permitted Holders “beneficially own” (as so defined)
a lesser percentage of such Voting Stock than such other person and do not have
the right or ability by voting power, contract or otherwise to elect or
designate for election a majority of the board of directors of the Company;

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(2)                                  During
any period of two consecutive years, individuals who at the beginning of such
period constituted the board of directors of the Company (together with any new
directors whose election to such board or whose nomination for election by the
shareholders of the Company, was approved by a vote of at least 662⁄3% of
the directors then still in office who were either directors at the beginning
of such period or whose election or nomination for election was previously so
approved) cease for any reason to constitute a majority of such board of
directors then in office;

(3)                                  The
Company consolidates with or merges with or into any person or conveys,
transfers or leases all or substantially all of its assets to any person, or
any corporation consolidates with or merges into or with the Company, in any
such event pursuant to a transaction in which the outstanding Voting Stock of
the Company is changed into or exchanged for cash, securities or other
property, other than any such transaction where the outstanding Voting Stock of
the Company is not changed or exchanged at all (except to the extent necessary
to reflect a change in the jurisdiction of incorporation of the Company), or
where (A) the outstanding Voting Stock of the Company is changed into or
exchanged for (x) Voting Stock of the surviving corporation which is not
Disqualified Equity Interests or (y) cash, securities and other property (other
than equity interests of the surviving corporation) and (B) no “person” or “group”
other than Permitted Holders owns immediately after such transaction, directly
or indirectly, more than the greater of (1) 40% of the total outstanding Voting
Stock of the surviving corporation and (2) the percentage of the outstanding
Voting Stock of the surviving corporation owned, directly or indirectly, by
Permitted Holders immediately after such transaction;

(4)                                  The
Company is liquidated or dissolved or adopts a plan of liquidation or
dissolution other than in a transaction which complies with the provisions in
Article Eight; or

(5)                                  Class
A Common Stock ceases to be listed on a national securities exchange or quoted
on the Nasdaq Global Select Market or Nasdaq Global Market or another
established automated over-the-counter trading market in the United States.

 

 39

For purposes of this
Section 1501, “Disqualified Equity Interests” means any Equity Interests that,
either by their terms or by the terms of any note into which they are
convertible or exchangeable or otherwise, are or upon the happening of an event
or passage of time would be required to be redeemed prior to the Final Date of
Maturity (other than upon a Fundamental Change in Control of the Company in
circumstances where the Holders of the Notes would have similar rights), of the
principal of the Notes or are redeemable at the option of the Holder thereof at
any time prior to any such Final Date of Maturity, or are convertible into or
exchangeable for debt securities at any time prior to any such Final Date of
Maturity at the option of the Holder thereof.

(b) To the extent
practicable, the Company will give notice to Holders of the anticipated
effective date for a Fundamental Change not more than 70 calendar days nor less
than 40 calendar days prior to the anticipated effective date.  The Company will provide to all Holders of
the Notes and the Trustee and Paying Agent a Notice of Occurrence of a
Fundamental Change and of the resulting repurchase right, which shall include
the form for the Option to Elect Repurchase Upon a Fundamental Change and a
Repurchase Notice to be completed by the Holder and shall state:

(i)            the date of such Fundamental Change
and, briefly, the events causing such Fundamental Change;

(ii)           the date by which the Option to Elect
Repurchase Upon a Fundamental Change pursuant to this Section 1501 must be
given;

(iii)          the Fundamental Change Repurchase
Date;

(iv)          the Fundamental Change Repurchase
Price (including the amount of additional shares of Class A Common Stock that
are deliverable, if any);

(v)           the Holder’s right to require the
Company to purchase the Notes;

(vi)          the procedures that
the Holder must follow to exercise rights under this Section 1501;

(vii)         the procedures for withdrawing the
Option to Elect Repurchase Upon a Fundamental Change, including a form of
notice of withdrawal; and

(vii)         that the Holder must satisfy the
requirements set forth in the Indenture and the Notes in order to convert the
Notes.

If any of the Notes is in
the form of a Global Note, then the Company shall modify such notice to the
extent necessary to accord with the procedures of the Depositary applicable to
the repurchase of Global Notes.

 40
 

Simultaneously with
providing such notice, the Company will publish a notice containing this
information in a newspaper of general circulation in the City of New York or
publish the information on the Company’s website or through such other public
medium as the Company may use at that time.

(c) To exercise the
repurchase right, the Holder must deliver, on or before the 30th Business Day after the date of the Company’s
notice of a Fundamental Change, subject to an extension that complies with
applicable law, the Notes to be repurchased, duly endorsed for transfer,
together with a written Repurchase Notice and the form entitled Option to Elect
Repurchase Upon a Fundamental Change on the reverse side of the Notes duly
completed, to the Paying Agent.  The
Holder’s Repurchase Notice shall state the following, in addition to the other
required information included on such Repurchase Notice:

(i) if
certificated, the certificate numbers of the Notes to be delivered for
repurchase;

(ii) the portion
of the principal amount of Notes to be repurchased, which must be $1,000 or an
integral multiple thereof; and

(iii) that the
Notes are to be repurchased by us pursuant to the applicable provisions of the
Notes and this Indenture.

Notwithstanding anything
herein to the contrary, any Holder delivering to a Paying Agent the Option to
Elect Repurchase Upon a Fundamental Change contemplated by this
subsection (c) shall have the right to withdraw such Option to Elect
Repurchase Upon a Fundamental Change in whole or in a portion thereof that is a
principal amount of $1,000 or in an integral multiple thereof by a written
notice of withdrawal delivered to the Paying Agent at any time prior to the
close of business on the Business Day prior to the Fundamental Change
Repurchase Date.  The notice of
withdrawal shall state:

(i) the principal
amount of the withdrawn Notes;

(ii) if
Certificated Notes have been issued, the certificate numbers of the withdrawn
Notes, or if not certificated, the Holder’s notice must comply with appropriate
DTC procedures; and

(iii) the
principal amount, if any, which remains subject to the Repurchase Notice.

Section
1502. Effect of the Option to Elect Repurchase Upon a Fundamental Change.

The Company will be
required to repurchase the Notes no later than 35 Business Days after the date
of the Company’s notice of the occurrence of the relevant Fundamental Change
subject to an extension that complies with applicable law.  The Holder will receive payment of the
Fundamental Change Repurchase Price promptly following the later of the
Fundamental Change Repurchase Date or the time of book-entry transfer or the
delivery of the Notes.  If the Paying
Agent holds cash sufficient to pay the Fundamental Change Repurchase Price of
the Notes on the Business Day following the Fundamental Change Repurchase Date,
then:

 41
 

(i)
the Notes will cease to be outstanding and interest, including any Contingent
Cash Interest and additional amounts, if any, will cease to accrue (whether or
not book-entry transfer of the Notes is made or whether or not the Note is
delivered to the Paying Agent); and

(ii)
all other rights of the Holder will terminate (other than the right to receive
the Fundamental Change Repurchase Price and any previously accrued and unpaid
interest (including any Contingent Cash Interest) and additional amounts upon
delivery or transfer of the Notes).

Section 1503. Deposit of
Fundamental Change Repurchase Price.

On or before
11:00 a.m., New York City time, on the Fundamental Change Repurchase Date,
the Company shall deposit with the Trustee or with a Paying Agent (other than
the Company or an Affiliate of the Company) an amount of money (in immediately
available funds if deposited on such Fundamental Change Repurchase Date)
sufficient to pay the aggregate Fundamental Change Repurchase Price of all the
Notes or portions thereof that are to be purchased as of such Fundamental
Change Repurchase Date.  The manner in which the deposit required by this
Section 1503 is made by the Company shall be at the option of the Company;
provided that such deposit shall
be made in a manner reasonably acceptable to the Trustee and the Paying Agent
such that the Trustee or a Paying Agent shall have immediately available funds
on the Fundamental Change Repurchase Date.

If a Paying Agent holds,
in accordance with the terms hereof, money sufficient to pay the Fundamental
Change Repurchase Price of any Note for which the Option to Elect Repurchase
Upon a Fundamental Change has been tendered and not withdrawn in accordance
with this Indenture, then, on the Fundamental Change Repurchase Date, such Note
will cease to be outstanding and the rights of the Holder in respect thereof
shall terminate (other than the right to receive the Fundamental Change
Repurchase Price as aforesaid).  The Company shall publicly announce the
principal amount of Notes purchased as a result of such Fundamental Change on
or as soon as practicable after the Fundamental Change Repurchase Date.

To the extent that the
aggregate amount of Cash deposited by the Company pursuant to this
Section 1503 exceeds the aggregate Fundamental Change Repurchase Price of
the Notes or portions thereof that the Company is obligated to purchase, then
promptly after the Fundamental Change Repurchase Date the Trustee or a Paying
Agent, as the case may be, shall return any such excess Cash to the Company.

Section
1504. Securities to be Purchased in Part.

Any Note that is to be
purchased only in part shall be surrendered at the office of a Paying Agent,
and promptly after the Fundamental Change Repurchase Date the Company shall
execute and the Trustee shall authenticate and deliver to the Holder of such
Note, without service charge, a new Note or Notes, of such authorized denomination
or denominations as may be requested by such Holder, in aggregate principal
amount equal to, and in exchange for, the portion of the principal amount of
the Note so surrendered that is not purchased.

 42
 

Section
1505. No Fundamental Change.

A Fundamental Change will
not be deemed to have occurred for purposes of determining whether the Holder
will have the right to require the Company to repurchase Notes upon a
Fundamental Change, pursuant to this Article Fifteen, if either:

(a) the last sale price
of the Class A Common Stock for any five Trading Days within:

(1)           the period of ten consecutive Trading
Days immediately after the later of the Fundamental Change or the public
announcement of the Fundamental Change, in the case of a Fundamental Change
resulting solely from the first Fundamental Change listed under the definition
of Fundamental Change, or

(2)           the period of ten consecutive Trading
Days immediately preceding the occurrence of a fundamental change, in the case
of the second, third and fourth clauses under the definition of Fundamental
Change, is at least equal to 105% of the quotient where the numerator is $1,000
and the denominator is the Conversion Rate in effect on such day; or

(b)
in the case of a merger or consolidation, at least 90% of the consideration,
excluding cash payments for fractional shares in the merger or consolidation
constituting the Fundamental Change, consists of common stock traded on a
United States national securities exchange or quoted on the Nasdaq Global
Select Market or Nasdaq Global Market (or which will be so traded or quoted
when issued or exchanged in connection with such fundamental change) and as a
result of such transaction or transactions the Notes become convertible solely
into such common stock.

Section
1506. Trustee’s Fundamental Change Repurchase Disclaimer.

The Trustee has no duty
to determine when a Fundamental Change has occurred, or when repurchases of
Notes upon a Fundamental Change under Article Fifteen should be made.  The
Trustee shall not be accountable for and makes no representation as to the
Fundamental Change Repurchase Price payable in respect of any Fundamental
Change.  The Trustee shall not be responsible for the Company’s failure to
comply with this Article Fifteen.

SECTION 2.14.  Repurchase of Notes.

Except as may be provided
in a Future Supplemental Indenture, with respect to the Notes and no other
class or series of Securities issued pursuant to the Indenture, a new Article
Sixteen shall be added to the Base Indenture as follows:

 43
 

ARTICLE
SIXTEEN

REPURCHASE OF NOTES AT THE OPTION OF THE HOLDER

Section 1601. Repurchase
of Notes at the Option of the Holder.

The Company will be
required to repurchase the Notes from any Holder for cash on May 15, 2010, May
15, 2017, and May 15, 2022.  The
Repurchase Price will be the aggregate principal amount of Notes repurchased
plus any accrued and unpaid interest (including Contingent Cash Interest)
through the purchase date and will be payable in Cash only.  The Company is permitted at its option to add
additional dates on which Holders would have the right to require the Company
to repurchase the Notes.  The Company
would be required to provide 15 calendar days advance notice to Holders of
its nonbinding intention to add additional dates.

The Company is prohibited
from repurchasing Notes for cash in connection with the Holders’ repurchase
right if any Event of Default under this Indenture has occurred and is
continuing, except a Default in the payment of the Repurchase Price with
respect to the Notes.

Section 1602. Notice of
Repurchase.

The Company shall give
notice on a date not less than 20 Business Days prior to each Repurchase Date
to all Holders at their addresses shown in the note register kept by the “Note
Registrar”, and to beneficial owners as required by applicable law, stating
among other things the procedures that Holders must follow to require the
Company to repurchase the Notes.  If the
Repurchase Notice, attached here to as Exhibit F, is given and withdrawn
during such period, the Company will not be obligated to repurchase the related
Notes.

Section 1603. Condition
to Repurchase.

The Company will be
required to repurchase any Outstanding Notes for which the Holder delivers a
written Repurchase Notice to the Paying Agent. The Repurchase Notice must
state:

(1)                                  if Certificated Notes
have been issued, the Note certificate numbers, or if not certificated, your
notice must comply with appropriate DTC procedures;

(2)                                  the portion of the
aggregate principal amount of the Notes to be repurchased, in multiples of $1,000;
and

(3)                                  that the Notes are to
be repurchased by the Company pursuant to the applicable provisions of this
Indenture.

 44
 

A Holder must either
effect book-entry transfer or deliver the Note, together with necessary
endorsements, to the office of the Paying Agent after delivery of the
Repurchase Notice to receive payment of the Repurchase Price.  If the Paying Agent holds money or securities
sufficient to pay the Repurchase Price of the Note on the Business Day following
the Repurchase Date, then: (i) the Note will cease to be Outstanding; (ii)
interest will cease to accrue; and (iii) all other rights of the holder will
terminate. This will be the case whether or not book-entry transfer of the Note
is made or whether or not the Note is delivered to the Paying Agent.

Section 1604. Withdraw of
Repurchase.

A Holder may withdraw any
Repurchase Notice by a written notice of withdrawal delivered to the Paying
Agent prior to the close of business on the Repurchase Date.  The notice of withdrawal must state:

(1)                                  the aggregate
principal amount of the withdrawn Notes;

(2)                                  if Certificated Notes
have been issued, the certificate numbers of the withdrawn Notes, or, if not
certificated, the notice must comply with appropriate DTC procedures; and

(3)                                  the aggregate
principal amount of the Notes, which remains subject to the Repurchase Notice.

Section 1605. Compliance with Securities Laws Upon Repurchase of Notes.

In connection with any offer to purchase or repurchase Notes under this
Indenture, the Company shall (a) comply with Rule 13e-4, Rule 14e-1 and any
other tender offer rules under the Exchange Act, (b) file the related Schedule
TO (or any successor or similar schedule, form or report), if required, under
the Exchange Act and (c) otherwise comply with all federal and state securities
laws in connection with such offer to purchase or repurchase Notes, all so as
to permit the rights of the Holders and obligations of the Company under this
Indenture to be exercised in the time and in the manner specified herein.

ARTICLE THREE

MISCELLANEOUS

SECTION 3.1. Purpose.

The purpose of this First
Supplemental Indenture is to effect the amendments set forth herein. The
Company represents and warrants that all the conditions and requirements
necessary to make this First Supplemental Indenture, when duly exercised and
delivered, a valid and binding agreement in accordance with its terms and for
the purposes herein expressed, have been performed and fulfilled.

 45
 

SECTION 3.2. Successors and Assigns.

All covenants and
agreements in this First Supplemental Indenture by the Company shall bind their
respective successors and assigns, whether or not so expressed.

SECTION 3.3. Separability Clause.

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

SECTION 3.4. Schedules and Exhibits.

All schedules and
exhibits attached hereto are by this reference made a part hereof with the same
effect as if herein set forth in full.

SECTION 3.5. Benefits of First Supplemental Indenture.

Nothing in this First
Supplemental Indenture or in the related Notes, express or implied, shall give
to any Person, other than the parties hereto and their successors hereunder,
any Paying Agent and the Holders of Notes of any series created on or after the
date hereof, any benefit or any legal or equitable right, remedy or claim under
this First Supplemental Indenture.

SECTION 3.6. Counterparts.

This First Supplemental
Indenture may be executed in any number of counterparts, each of which shall be
deemed an original; but all such counterparts shall together constitute but one
and the same instrument.

SECTION 3.7. Ratification.

The Base Indenture, as
supplemented and amended by this First Supplemental Indenture, is in all
respects ratified and confirmed, and the Base Indenture and this First
Supplemental Indenture shall be read, taken and construed as one and the same
instrument. All provisions included in this First Supplemental Indenture
supersede any conflicting provisions included in the Base Indenture unless not
permitted by law. The Trustee accepts the trusts created by the Base Indenture,
as supplemented by this First Supplemental Indenture, and agrees to perform the
same upon the terms and conditions of the Base Indenture, as supplemented by
this First Supplemental Indenture.

SECTION 3.8. Rights of Trustee.

The Trustee executes this
First Supplemental Indenture only on the condition that it shall have and enjoy
with respect thereto all of the rights, duties, and immunities as set forth in
the Base Indenture.

 46
 

SECTION 3.9. Construction.

As used in this First
Supplemental Indenture, unless otherwise stated or unless context otherwise
requires, the terms “herein,” “hereof,” “this Indenture” and “the Indenture”
when used to refer to a document reference are intended to refer to the Base
Indenture (as in effect after giving effect to this First Supplemental
Indenture) together with this First Supplemental Indenture.

SECTION 3.10. Effectiveness.

The provisions of this
First Supplemental Indenture shall become effective as of the date hereof.

SECTION 3.11. Repurchase and Cancellation.

All Notes surrendered for
payment, redemption, registration of transfer or exchange or conversion shall,
if surrendered to any person other than the Trustee, be delivered to the
Trustee.  All Notes delivered to the
Trustee shall be cancelled promptly by the Trustee.  No Notes shall be authenticated in exchange
for any Notes cancelled as provided in the Indenture.

The Company may, to the
extent permitted by law, repurchase Notes in the open market or by tender offer
at any price or by private agreement. 
Any Notes repurchased by us, to the extent permitted by law, may be reissued
or resold or may, at our option, be surrendered to the Trustee for
cancellation.  Any Notes surrendered for
cancellation may not be reissued or resold and will be promptly cancelled.

SECTION 3.12. Trust Indenture Act Controls.

If any provision
of the Indenture limits, qualifies or conflicts with the duties imposed by any
of Sections 310 to 317, inclusive, of the TIA through operation of
Section 318(c) thereof, such imposed duties shall control.

SECTION 3.13. Governing Law.

The Indenture and the
Notes shall be governed by, and construed in accordance with, the laws of the
State of New York without giving effect to applicable principles of conflicts
of law to the extent that the application of the laws of another jurisdiction
would be required thereby.

SECTION 3.14. Tax Treatment of Notes.

(a)           The parties hereto
hereby agree, and by the purchase or acceptance of a Note or a beneficial
interest in a Note, each Holder and each beneficial owner of a Note hereby
agrees, for all U.S. federal income tax purposes (in the absence of a change in
applicable law requiring a contrary treatment):

(1)                                  to
treat the Notes as indebtedness of the Company;

 47
 

(2)           to treat the Notes as indebtedness that is subject to U.S. Treasury Regulation
section 1.1275-4(b); and

(3)           to treat the fair market value of any Common Stock paid to and received by a
Holder or beneficial owner of a Note upon conversion of a Note or a beneficial
interest in a Note as a contingent payment under U.S. Treasury Regulation
section 1.1275-4(b) that will result in an adjustment under U.S. Treasury
Regulation section 1.1275-4(b)(3)(iv) and U.S. Treasury Regulation section
1.1275-4(b)(6).

(b)           Comparable Yield and Projected
Payment Schedule.  Solely for purposes of
applying U.S. Treasury Regulation section 1.1275-4 to the Notes:

(1)           The Company hereby agrees, and by the purchase or
acceptance of a Note or a beneficial interest in a Note, each Holder and each
beneficial owner of a Note hereby agrees, for United States federal income tax
purposes, to accrue interest with respect to outstanding Notes (in the case of
the Company) or with respect to its Note or beneficial interest in a Note (in
the case of a Holder or beneficial owner of a Note) as original issue discount
according to the “noncontingent bond method,” as set forth in U.S. Treasury
Regulation section 1.1275-4(b), using the comparable yield, as defined in U.S.
Treasury Regulation section 1.1275-4(b)(4)(i), for the Notes of 7.79%,
compounded semi-annually (the “Comparable Yield”) and the projected payment schedule
of this First Supplemental Indenture (the “Projected Payment Schedule,”
attached hereto as Annex B) (in the case of the Comparable Yield and the
Projected Payment Schedule, in the absence of an administrative determination
or judicial ruling to the contrary);

(2)           The Company hereby acknowledges and agrees, and by the
purchase or acceptance of a Note or a beneficial interest in a Note, each
Holder and each beneficial owner of a Note hereby acknowledges and agrees, that
(i) the Comparable Yield and the Projected Payment Schedule are not determined
for any purpose other than for the purpose of applying U.S. Treasury Regulation
section 1.1275-4(b) to the Notes and beneficial interests in the Notes and (ii)
the Comparable Yield and Projected Payment Schedule do not constitute a
projection or representation regarding the actual amount or timing of payments
on the Notes or the value at any time of any Common Stock that may be received
by a Holder or beneficial owner of a Note upon conversion of a Note or a beneficial
interest therein; and

(3)           The Company shall file with the Trustee promptly at the
end of each calendar year (i) a written notice specifying the amount of
original issue discount (including daily rates and accrual periods) accrued on
Outstanding Notes as of the end of such year and (ii) such other specific
information relating to such original issue discount as may then be relevant
under the Internal Revenue Code of 1986, as amended from time to time,
including the amount of any adjustment made under the “noncontingent bond
method,” as set forth in U.S. Treasury Regulation section 1.1275-4(b), to
account for the amount of any difference between the amount of an actual
payment and the amount of a projected payment.

 

 48

 

IN WITNESS
WHEREOF, the parties hereto have caused this First Supplemental Indenture to be
duly executed, all as of the day and year first above written.

	
  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  SINCLAIR BROADCAST GROUP, INC.,

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  as Issuer

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Attest

  	
   

  	
  /s/ Lucy Rutishauser

  	
   

  	
  By:

  	
   

  	
  /s/ David B. Amy

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Lucy Rutishauser

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  David B. Amy

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Treasurer

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Chief Financial Officer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  TRUSTEE:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  U.S. Bank National Association, as Trustee

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Melody M. Scott

  	
  (SEAL)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  Melody M. Scott

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Trust Officer

  	
   

  	
   

  

 

 

 49
 

 

STATE OF MARYLAND

ss.:

COUNTY OF HARFORD

        On the 10th day of May, 2007, before me
personally came David B. Amy, to me known, who, being by me duly sworn, did
depose and say that he resides at 2323 Willow Vale Drive, Falston, Maryland;
that he is Chief Financial Officer of Sinclair Broadcast Group, Inc., the
corporation described in and which executed the above instrument; that he knows
the corporate seal of such corporation; that the seal affixed to said
instrument is such corporate seal; that it was so affixed pursuant to authority
of the Board of Directors of such corporation; and that he signed his name
thereto pursuant to like authority.

	
  

  	
   

  	
   

  	
   

  	
  (NOTARIAL SEAL)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  /s/ Susan E. Domozych

  

 

 50

 

CITY OF RICHMOND

 ss.:

COMMONWEALTH OF VIRGINIA

        I HEREBY CERTIFY that on this 10th day of May, 2007, before me,
the subscriber, a Notary Public in and for the jurisdiction aforesaid,
personally appeared in said jurisdiction Melody M. Scott personally well known
to me (or satisfactorily proven) to be the Trust Officer of U.S. Bank National
Association, a national banking association, and personally well known to me
(or satisfactorily proven) to be the person who executed the foregoing
instrument; and acknowledged that, having authority so to do, she executed the
foregoing instrument as the act and deed of said bank for the purposes therein
contained, delivered the same as such.

WITNESS my hand
and Notarial Seal the year and day first above written.

	
   

  	
  /s/ Jeffrey Connelly

  	
   

  
	
   

  	
   

  	
   

  

(NOTARIAL SEAL)

 

 1

EXHIBIT A

The form of the
face of any Notes authenticated and delivered hereunder shall be substantially
as follows:

SINCLAIR BROADCAST GROUP, INC.

3.00%
CONVERTIBLE SENIOR NOTE DUE 2027

CUSIP NO. 829226AW9

	
  

  	
   

  	
   

  
	
  No. 1

  	
   

  	
  $300,000,000

  

 

Sinclair Broadcast
Group, Inc., a Maryland corporation (herein called the “Company,” which term
includes any successor Person under the Indenture hereinafter referred to), for
value received, hereby promises to pay to Cede & Co. or registered
assigns, the principal sum of $300,000,000 United States dollars, or such other
principal amount as may be set forth on the Note Register on Appendix A hereto
in accordance with the Indenture, due May 15, 2027, at the office or agency of
the Company referred to below.  The
maximum principal amount of the Notes which may be issued is $345,000,000 which
includes $45,000,000 which may be issued pursuant to exercise of an
over-allotment option.

Interest Payment Dates:
May 15 and November 15 of each year, commencing November 15, 2007.

Interest Record
Date: May 1 and November 1 of each year.

Reference is hereby made
to the further provisions of this Note set forth on the reverse hereof, which
further provisions shall for all purposes have the same effect as if set forth
at this place.

Unless the certificate of
authentication hereon has been duly executed by the Trustee referred to on the
reverse hereof or by the authenticating agent appointed as provided in the
Indenture by manual signature of an authorized signer, this Note shall not be
entitled to any benefit under the Indenture, or be valid or obligatory for any
purpose.

THE
NOTES WERE ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR U.S. FEDERAL INCOME TAX
PURPOSES, AND ARE SUBJECT TO THE CONTINGENT PAYMENT DEBT INSTRUMENT RULES OF
TREASURY REGULATION SECTION 1.1275-4 (THE “CONTINGENT PAYMENT REGULATIONS”).  THE ISSUE PRICE FOR EACH $1,000 PRINCIPAL
AMOUNT OF THE NOTES IS $1,000 AND THE ISSUE DATE FOR THE NOTES IS MAY 10, 2007.
THE ISSUER AGREES, AND BY ACCEPTING A BENEFICIAL OWNERSHIP INTEREST IN A NOTE
EACH HOLDER AND ANY BENEFICIAL OWNER OF A NOTE WILL BE DEEMED TO HAVE AGREED,
FOR UNITED STATES FEDERAL INCOME TAX PURPOSES, (1) TO TREAT THE NOTES AS DEBT
INSTRUMENTS THAT 

 A-1
 

ARE
SUBJECT TO THE CONTINGENT PAYMENT REGULATIONS, (2) TO TREAT THE FAIR MARKET
VALUE OF ANY COMMON STOCK RECEIVED UPON ANY CONVERSION OF THE NOTES AS A
CONTINGENT PAYMENT FOR PURPOSES OF THE CONTINGENT PAYMENT REGULATIONS, AND (3)
TO ACCRUE INTEREST WITH RESPECT TO THE NOTES AS ORIGINAL ISSUE DISCOUNT FOR
UNITED STATES FEDERAL INCOME TAX PURPOSES ACCORDING TO THE “NONCONTINGENT BOND
METHOD,” SET FORTH IN THE CONTINGENT PAYMENT REGULATIONS, AND TO BE BOUND BY
THE ISSUER’S DETERMINATION OF THE “COMPARABLE YIELD” AND “PROJECTED PAYMENT
SCHEDULE,” WITHIN THE MEANING OF THE CONTINGENT PAYMENT REGULATIONS, WITH
RESPECT TO THE NOTES.  THE COMPARABLE
YIELD FOR THE NOTES IS 7.79% PER ANNUM, COMPOUNDED SEMI-ANNUALLY (WHICH WILL BE TREATED AS THE YIELD
TO MATURITY FOR U.S. FEDERAL INCOME TAX PURPOSES).  THE PROJECTED PAYMENT SCHEDULE IS ATTACHED AS
ANNEX B TO THE FIRST SUPPLEMENTAL INDENTURE. 
INFORMATION REGARDING THE COMPARABLE YIELD OF THE NOTES, THE AMOUNT OF
ORIGINAL ISSUE DISCOUNT ON THE NOTES AND THE PROJECTED PAYMENT SCHEDULE FOR THE
NOTES MAY BE OBTAINED BY CONTACTING THE GENERAL COUNSEL OF SINCLAIR BROADCAST
GROUP, INC., 10706 BEAVER DAM ROAD, HUNT VALLEY, MD 21030.

 A-2
 

IN WITNESS WHEREOF, the
Company has caused this Note to be signed manually or by facsimile by its duly
authorized officers.

	
  

  	
   

  	
   

  	
   

  	
   

  	
  SINCLAIR BROADCAST GROUP, INC., 

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  a Maryland corporation

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Attest

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  	
   

  	
   

  	
  Title:

  

 

Date: May 10, 2007

 A-3
 

The form of the reverse
side of any Notes authenticated and delivered hereunder shall be substantially
as follows:

SINCLAIR BROADCAST GROUP, INC.

3.00% CONVERTIBLE SENIOR NOTE DUE 2027

This Note is one
of a duly authorized issue of Notes of the Company designated as its 3.00%
Convertible Senior Notes due 2027 (herein called the “Notes”), limited in
aggregate principal amount to up to $345,000,000, which includes $45,000,000
which may be issued pursuant to exercise of an over-allotment option, issued
under and subject to the terms of an indenture, dated as of May 10, 2007,
between the Company and U.S. Bank National Association, as Trustee (herein
called the “Trustee,” which term includes any successor Trustee under the
Indenture) (the “Base Indenture,” and as supplemented by a “First Supplemental
Indenture,” dated as of May 10, 2007 between the Company and the Trustee,
the “Indenture”), to which Indenture and all indentures supplemental thereto
relating to the Notes reference is hereby made for a statement of the
respective rights, limitations of rights, duties, obligations and immunities
thereunder of the Company, the Trustee and the Holders of the Notes, and of the
terms upon which the Notes are, and are to be, authenticated and delivered.
Capitalized terms used but not defined herein have the meanings assigned to
them in the Indenture unless otherwise indicated.

1.
Interest

The Notes will initially
bear interest on the principal amount thereof at a rate of 3.00% per year.
Interest shall be payable semiannually in arrears on May 15 and November 15 of
each year, commencing November 15, 2007. 
Each payment of cash interest on the Notes will include interest accrued
through the day before the applicable Interest Payment Date (or purchase,
redemption or, in certain circumstances, conversion date, as the case may be).

The Company will
also pay contingent cash interest on the Notes during any six-month period from
May 15 to November 14 and from November 15 to May 14, commencing with the
period beginning May 20, 2010 (rather than May 15, 2010 for the first period
only), in limited circumstances. The Company will pay Contingent Cash Interest
only in cash.

Interest shall be payable
on each Interest Payment Date to the person in whose name the Note is
registered at the close of business on the preceding Interest Record Date.
Interest shall be computed on the basis of a 360-day year comprised of twelve
30-day months.

The Company shall pay
Interest to the Holder of record on the Interest Record Date even if the
Company elects to redeem or Holders elect to require the Company to repurchase
the Notes on a date that is after an Interest Record Date, but on or prior to
the corresponding Interest Payment Date. In that instance, the Company shall
pay accrued and unpaid Interest on the Notes being redeemed to, but not
including, the Redemption Date, the Repurchase Date or the Fundamental Change
Repurchase Date, as the case may be, to the Holder of record on the Interest
Record Date.

 A-4
 

2.
Method of Payment

The Company shall
pay Interest on the Global Note to DTC, or its nominee, as the case may be, as
the registered owner thereof, in immediately available funds by wire transfer
if requested by the Holder of any such Note at least five Business Days prior
to the relevant Interest Payment Date.

On the final date of
maturity on May 15, 2027 (the “Final Maturity Date”), the Company shall pay Interest
on Certificated Notes, if applicable, at the Company’s office or agency
maintained for that purpose, which initially shall be the office of the Trustee
located in Richmond, Virginia.

Subject to the terms and
conditions of the Indenture, the Company shall make payments in cash in respect
of Redemption Prices, Repurchase Prices, Fundamental Change Repurchase Prices
and at the Final Maturity Date to Holders who surrender Notes to a Paying Agent
to collect such payments in respect of the Notes. The Company shall pay cash
amounts in money of the United States that at the time of payment is legal
tender for payment of public and private debts. However, the Company may make
such cash payments by check payable in such money.

3.
Redemption of Notes at the Option of the Company

No sinking fund is
provided for the Notes. The Notes are redeemable for cash at the option of the
Company, in whole or in part, at any time or from time to time on or after May
20, 2010 upon not less than 30 nor more than 60 calendar days’ notice by mail
for a redemption price (the “Redemption Price”) equal to 100% of the principal
amount of the Notes to be redeemed plus accrued and unpaid Interest on those
Notes up to, but excluding, the Redemption Date.

If less than all of the
Notes are to be redeemed, the Trustee shall select the Notes or portions
thereof to be redeemed by lot, on a pro rata basis or by another method the
Trustee considers fair and appropriate. If a portion of a Holder’s Notes is
selected for partial redemption and that Holder converts a portion of his
Notes, the converted portion will be deemed to be of the portion selected for
redemption.

In the event of redemption
of this Note in accordance with the Indenture in part only, the Company shall
not be required (a) to issue, register the transfer of or exchange any Note
during a period beginning at the opening of business (i) 15 calendar days
before the date of selection of Notes of that series for redemption under
Section 1104 and ending at the close of business on the day of such selection
or (ii) 15 calendar days before an Interest Payment Date and ending on the
close of business on the Interest Payment Date, or (b) to register the transfer
of or exchange any Note of that series so selected for redemption in whole or
in part, except the unredeemed portion of Notes of that series being redeemed
in part.

The Company may not
redeem the Notes if it has failed to pay any Interest on the Notes when due and
such failure to pay is continuing.

 A-5
 

4.
Repurchase by the Company at Option of the Holder

Subject to the terms and
conditions of the Indenture, the Company shall become obligated to repurchase,
at the option of the Holder, all or any portion of the Notes held by such
Holder on May 15, 2010, May 15, 2017, and May 15, 2022.  The Repurchase Price will be the aggregate
principal amount of Notes repurchased plus any accrued and unpaid interest
(including Contingent Cash Interest) through the purchase date and will be
payable in cash only.  The Company is
permitted at its option to add additional dates on which Holders would have the
right to require the Company to repurchase the Notes.  To exercise such right, a Holder shall
deliver to the Paying Agent a Repurchase Notice containing the information set
forth in the Indenture, at any time from the opening of business on the date
that is 20 Business Days prior to such Repurchase Date until the close of
business on the Repurchase Date, and shall deliver the Notes to the Paying
Agent as set forth in the Indenture.

At the option of the
Holder and subject to the terms and conditions of the Indenture, the Company
shall become obligated to repurchase the Notes held by such Holder after the
occurrence of a Fundamental Change for a Fundamental Change Repurchase Price as
described in the Indenture.

Holders have the right to
withdraw any Repurchase Notice or Option to Elect Repurchase Upon a Fundamental
Change, as the case may be, by delivering to the Paying Agent a written notice
of withdrawal in accordance with the provisions of the Indenture.

If cash sufficient to pay
the Repurchase Price or Fundamental Change Repurchase Price, as the case may
be, of all Notes or portions thereof to be purchased as of the Repurchase Date
or the Fundamental Change Repurchase Date, as the case may be, is deposited with
the Paying Agent, Interest shall cease to accrue on such Notes (or portions
thereof) on and following such Repurchase Date or Fundamental Change Repurchase
Date, and the Holder thereof shall have no other rights as such other than the
right to receive the Repurchase Price or Fundamental Change Repurchase Price
upon surrender of such Note.

5.
Conversion

A Holder of a Note may
convert the principal amount of such Note (or any portion thereof equal to
$1,000 or any integral multiple of $1,000 in excess thereof) into Cash and
Class A Common Stock, if any, at any time prior to the close of business on
November 15, 2026, subject to the conditions set forth in Section 1401 of the
Indenture; provided, however,
that, if the Security is submitted for purchase upon a Fundamental Change, the
conversion right shall terminate at the close of business on the second Trading
Day immediately preceding the Fundamental Change Repurchase Date for such Note
or such earlier date as the Holder presents such Note for purchase (unless the
Company shall Default in making the Fundamental Change Repurchase Price payment
when due, in which case the conversion right shall terminate at the close of
business on the date such Default is cured and such Note is purchased).

 A-6
 

The initial Conversion
Price is $20.43 per share, and the initial Conversion Rate is 48.9476 shares of
Class A Common Stock, in each case subject to adjustment under certain
circumstances as provided in the Indenture. 
No fractional shares will be issued upon conversion; in lieu thereof,
the Company shall deliver a number of shares of Class A Common Stock equal to
the aggregate of the fractional shares otherwise deliverable for each Trading
Day during the Conversion Period (rounding down to the nearest whole number)
and shall pay an amount in cash equal to the remainder multiplied by the Volume
Weighted Average Price of the Class A Common Stock on the last day of the
Conversion Period.

To convert a Note, a
Holder must (a) complete and duly sign the conversion notice set forth below
and deliver such notice to a Conversion Agent, (b) surrender the Note to a
Conversion Agent, if such Note is represented by a Global Note, by book-entry
transfer through the facilities of the Depositary in accordance with the
Applicable Procedures or, if such Note is represented by a Certificated Note,
by delivery of such Note at the specified office of the Conversion Agent, (c)
furnish appropriate endorsements and transfer documents if required by a
Conversion Agent and (d) pay any transfer or similar tax, if required.  A Holder may convert a portion of a Note
equal to $1,000 or any integral multiple thereof.

A Note in respect of
which a Holder had delivered a Fundamental Change Repurchase Notice exercising
the option of such Holder to require the Company to purchase such Note may be
converted only if the Fundamental Change Repurchase Notice is withdrawn in
accordance with the terms of the Indenture.

6.
Paying Agent, Conversion Agent and Registrar

Initially, the Trustee
shall act as Paying Agent, Conversion Agent and Registrar. The Company may
appoint and change any Paying Agent, Conversion Agent or Registrar without
notice, other than notice to the Trustee. The Company or any of its
Subsidiaries or any of their Affiliates may act as Paying Agent, Conversion
Agent or Registrar.

7. Form,
Exchange and Transfer

The Notes are in fully
registered form, without coupons, in denominations of $1,000 of principal
amount and integral multiples of $1,000. A Holder may transfer or exchange
Notes in accordance with the Indenture. The Note Registrar may require a
Holder, among other things, to furnish appropriate endorsements and transfer
documents and to pay any taxes and fees required by law or permitted by the
Indenture. The Note Registrar need not transfer or exchange any Notes selected
for redemption (except, in the case of a Note to be redeemed in part, the
portion of the Note not to be redeemed) for a period of 15 calendar days before
(a) the mailing of a notice of redemption of Notes to be redeemed or (b) an
Interest Payment Date (except, in the case of a Note to be purchased in part,
the portion of the Note not to be purchased).

8.
Persons Deemed Owners

The registered Holder of
this Note may be treated as the owner of this Note for all purposes.

 A-7
 

9.
Amendment; Waiver

Subject to certain
exceptions set forth in the Indenture, (i) the Indenture or the Notes may
be amended with the written consent of the Holders of at least a majority in
aggregate principal amount of the Outstanding Notes and (ii) certain Events
of Defaults may be waived with the written consent of the Holders of a majority
in aggregate principal amount of the Outstanding Notes. The Company and the
Trustee may also amend the Indenture or the Notes without the consent of any
Holder for certain items specified in the Indenture.

Notes in certificated
form are issuable only in registered form without coupons in denominations of
$1,000 and any integral multiple thereof. As provided in the Indenture and
subject to certain limitations therein set forth, the Notes are exchangeable
for a like aggregate principal amount of Notes of a differing authorized
denomination, as requested by the Holder surrendering the same.

No service charge shall
be made for any registration of transfer or exchange of Notes, but the Company
may require payment of a sum sufficient to cover any tax or other governmental
charge payable in connection therewith.

Prior to due presentment
of this Note for registration of transfer, the Company, the Trustee and any
agent of the Company or the Trustee may treat the Person in whose name this
Note is registered as the owner hereof for all purposes, whether or not this
Note is overdue, and neither the Company, the Trustee nor any such agent shall
be affected by notice to the contrary.

10.
Defaults and Remedies

If any Event of Default
with respect to the Notes shall occur and be continuing, the principal amount
of the Notes and any accrued and unpaid Interest, on all the Notes may be
declared due and payable in the manner and with the effect provided in the
Indenture.

11.
Trustee Dealings with the Company

Subject to certain
limitations imposed by the Trust Indenture Act, the Trustee under the
Indenture, in its individual or any other capacity, may become the owner or
ledge of the Notes and may otherwise deal with and collect obligations owed to
it by the Company or its Affiliates and may otherwise deal with the Company or
its Affiliates with the same rights it would have if it were not Trustee.

12.
Calculations in Respect of Notes

The Company or its agents
shall be responsible for making all calculations called for under the Notes
including, but not limited to, determinations of the market prices for the
Notes and of the Class A Common Stock and the amounts of Interest accrued on
the Notes. The Company shall make all calculations in good faith and using
commercially reasonable standards, and absent manifest error, such calculations
will be final and binding on Holders of the Notes. The Company or its agents
shall be required to deliver to the Trustee and the Conversion Agent a schedule
of its calculations and each of the Trustee and the Conversion Agent shall be
entitled to conclusively rely upon the accuracy of such calculations without
independent verification. The Trustee will forward such calculations to any
Holder upon the request of such Holder.

 A-8
 

13.
No Recourse Against Others

A director,
officer, employee or shareholder, as such, of the Company shall not have any
liability for any obligations of the Company under the Notes or the Indenture
or for any claim based on, in respect of or by reason of such obligations or
their creation. The Holder of this Note by accepting this Note waives and
releases all such liability.  The waiver
and release are part of the consideration for the issuance of this Note.

14.
Authentication

This Note shall not be
valid until an authorized signatory of the Trustee manually signs the Trustee’s
Certificate of Authentication on the other side of this Note.

15.  Indenture Controls

If any provision of the
Notes limits, qualifies or conflicts with any provision of the Indenture, as
supplemented by the First Supplemental Indenture, such Indenture shall control.

16.  Copy of
Indenture

The Company shall furnish
to any Holder upon written request and without charge a copy of the Indenture,
which has in it the text of this Note in larger type. Requests may be made to:

Sinclair Broadcast Group, Inc.

10706 Beaver Dam Road

Hunt Valley, Maryland 21030

Attn: Chief Financial Officer

 

THE LAWS OF THE STATE OF NEW YORK SHALL GOVERN THE INDENTURE
AND THIS NOTE.

 

 A-9

EXHIBIT B

SINCLAIR BROADCAST GROUP,
INC.

REDEMPTION NOTICE

[DATE]

Beneficial Owners of the 3.00% Convertible Senior Notes due 2027 (the “Notes”)
issued by Sinclair Broadcast Group, Inc.:

Sinclair
Broadcast Group, Inc. (the “Issuer”) by this written notice hereby
notifies you, pursuant to Section 1105 of that certain Indenture (the “Indenture”),
dated as of May 10, 2007, as supplemented by the First Supplemental Indenture
dated as of the same date, between the Issuer and U.S. Bank National
Association, that you may request the Issuer to repurchase your Notes by
delivery of a Redemption Notice. Included herewith is the form of Redemption
Notice to be completed by you if you wish to have your Notes repurchased by the
Issuer. All capitalized terms used herein and not otherwise defined herein
shall have the meanings assigned to such terms in the Indenture.

 

	
   

  	
  1.

  	
  Redemption Date:
  [            ]

   

  
	
   

  	
  2.

  	
  Redemption
  Price:
  [            ] 

  

 

	
   

  	
  3.

  	
  Paying
  Agent and Conversion Agent: [NAME] [ADDRESS] 

  

 

	
   

  	
  4.

  	
  If
  less than all of the Notes are to be redeemed, the identification of the
  particular Notes.

  

  

	
   

  	
  5.

  	
  If
  the Notes are to be redeemed in part, the principal amount of such Note to be
  redeemed and that after the Redemption Date upon surrender of such Note in
  the aggregate principal amount equal to the unredeemed portion thereof will
  be issued.

  

 

	
   

  	
  6.

  	
  The
  Notes as to which you have delivered a Redemption Notice must be surrendered
  by you (by effecting book-entry transfer of the Notes or delivering
  certificated Notes, together with necessary endorsements, as the case may be)
  to [Name of Paying Agent] at [insert address] in order for you to collect the
  Redemption Price. 

  

 

	
   

  	
  7.

  	
  Unless
  the Issuer Defaults in making the payment of the Redemption Price owed to
  you, Interest on your Notes as to which you have delivered a Redemption
  Notice shall cease to accrue on and after the Redemption Date, unless the
  Company shall Default in payment of the Redemption Price. 

  

 

	
   

  	
  8.

  	
  CUSIP
  Number: 829226AW9

  

 

 

 B-1

EXHIBIT C

OPTION TO ELECT REPURCHASE UPON A FUNDAMENTAL CHANGE

To Sinclair Broadcast Group, Inc.

The undersigned registered owner of this Note hereby irrevocably
acknowledges receipt of a notice from Sinclair Broadcast Group, Inc. (the “Company”)
as to the occurrence of a Fundamental Change with respect to the Company and
requests and instructs the Company to redeem the entire principal amount of
this Note, or the portion thereof (which is $1,000 or an integral multiple
thereof) below designated, in accordance with the terms of the Indenture
referred to in this Note at a purchase price equal to the Fundamental Change
Repurchase Price, payable in Cash.

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature(s) must be
  guaranteed by a qualified guarantor institution with membership in an
  approved signature guarantee program pursuant to Rule 17Ad-15 under the
  Securities Exchange Act of 1934.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature Guaranty

  
	
   

  	
   

  	
   

  
	
  Principal amount to be
  redeemed (in an integral multiple of $1,000, if less than all):

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  NOTICE: The signature to
  the foregoing Election must correspond to the Name as written upon the face
  of this Security in every particular, without alteration or any change
  whatsoever.

  

 

 

 C-1

EXHIBIT D

SINCLAIR BROADCAST GROUP,
INC.

CONVERSION NOTICE

To
convert this Note into Class A Class A Common Stock of the Company, check
the box:

[   ]

To
convert only part of this Note, state the principal amount to be converted
(which must be $1,000 or an integral multiple of $1,000):

$                    

If
you want the stock certificate made out in another person’s name, fill in the
form below:

(Insert
other person’s Soc. Sec. or Tax ID no.)

 

(Print or type other person’s name, address and zip code)

 

	
  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  	
  Your Signature:

  	
   

  	
   

  

 

(Sign exactly as your name appears on the other side of this Note)

 

 D-1

EXHIBIT E

SINCLAIR BROADCAST GROUP,
INC.

NOTICE OF OCCURRENCE OF A
FUNDAMENTAL CHANGE

[DATE]

To the Holders of the 3.00% Convertible Senior Notes Due 2027 (the “Notes”)
issued by Sinclair Broadcast Group, Inc.:

Sinclair
Broadcast Group, Inc. (the “Issuer”) by this written notice hereby
notifies you, pursuant to Section 1501 of that certain Indenture (the “Indenture”),
dated as of May 10, 2007, as supplemented by the First Supplemental Indenture
dated as of the same date, between the Issuer and U.S. Bank National
Association, that a Fundamental Change (as such term and other capitalized
terms used herein and not otherwise defined herein is defined in the Indenture)
as described below has occurred. Included herewith is the form of Option to
Elect Repurchase Upon a Fundamental Change and a Repurchase Notice to be
completed by you if you wish to have your Notes repurchased by the Issuer.

 

	
   

  	
  1.

  	
  Fundamental Change:
  [Insert brief description of the Fundamental Change and the date of the occurrence
  thereof]. 

  

 

	
   

  	
  2.

  	
  Date by which the Option
  to Elect Repurchase Upon a Fundamental Change and the Repurchase Notice must
  be delivered to Paying Agent in order to have the Notes repurchased: 

  

 

	
   

  	
  3.

  	
  Fundamental Change
  Repurchase Date: 

  

 

	
   

  	
  4.

  	
  Fundamental Change
  Repurchase Price (including the amount of additional shares of Class A Common
  Stock that are deliverable, if any): 

  

 

	
   

  	
  5.

  	
  CUSIP Number: 829226AW9

  

 

 

 E-1

EXHIBIT F

SINCLAIR BROADCAST GROUP,
INC.

REPURCHASE NOTICE

[DATE]

To the Beneficial Owners of the 3.00% Convertible Senior Notes Due 2027
(the “Notes”) issued by Sinclair Broadcast Group, Inc.:

Sinclair
Broadcast Group, Inc. (the “Issuer”) by this written notice hereby
notifies you, pursuant to Section 1109 of that certain Indenture (the “Indenture”),
dated as of dated as of May 10, 2007, as supplemented by the First Supplemental
Indenture dated as of the same date, between the Issuer and U.S. Bank National
Association, that you may request the Issuer to repurchase your Notes by
delivery of a Repurchase Notice. Included herewith is the form of Repurchase
Notice to be completed by you if you wish to have your Notes repurchased by the
Issuer. All capitalized terms used herein and not otherwise defined herein
shall have the meanings assigned to such terms in the Indenture.

 

	
   

  	
  1.

  	
  Repurchase Date:
  [            ] 

  

 

	
   

  	
  2.

  	
  Repurchase Price:
  [            ] 

  

 

	
   

  	
  3.

  	
  Conversion Rate: To the
  extent described in Item 5 below, each $1,000 principal amount of the
  Notes is convertible into [insert number of shares] shares of the Issuer’s
  common stock, no par value (the “Class A Common Stock”), subject to
  adjustment. 

  

 

	
   

  	
  4.

  	
  Paying Agent and
  Conversion Agent: [NAME] [ADDRESS] 

  

 

	
   

  	
  5.

  	
  The Notes as to which you
  have delivered a Repurchase Notice to the Paying Agent may be converted if
  they are otherwise convertible pursuant to Article Eleven and Article Fifteen
  of the Indenture and the terms of the Notes only if you withdraw such
  Repurchase Notice pursuant to the terms of the Indenture. You may be entitled
  to have your Notes converted into a combination of cash and shares of the
  Issuer’s Class A Common Stock pursuant to Article Fourteen.

  

 

	
   

  	
  6.

  	
  The Notes as to which you
  have delivered a Repurchase Notice must be surrendered by you (by effecting
  book-entry transfer of the Notes or delivering certificated Notes, together
  with necessary endorsements, as the case may be) to [Name of Paying Agent] at
  [insert address] in order for you to collect the Repurchase Price. 

  

 

	
   

  	
  7.

  	
  The Repurchase Price for
  the Notes as to which you have delivered a Repurchase Notice and not
  withdrawn such Repurchase Notice shall be paid promptly following the later
  of the Business Day immediately following such Repurchase Date and the date
  you deliver such Notes to [Name of Paying Agent]. 

  

 

	
   

  	
  8.

  	
  In order to exercise your
  option to have the Issuer repurchase your Notes, you must deliver the
  Repurchase Notice, duly completed by you with the information required by
  such Repurchase Notice (as specified in Section 1109 of the Indenture)
  and deliver such Repurchase Notice to the Paying Agent at any time from 9:00
  a.m. on [insert day that is 20 Business Days prior to Repurchase Date] until
  5:00 p.m. on the [insert day that is the Repurchase Date]. 

  

 

 F-1
 

 

	
   

  	
  9.

  	
  If certificated, indicate the certificate numbers of
  the Notes to be delivered for repurchase.

  

 

	
   

  	
  10.

  	
  In order to withdraw any
  Repurchase Notice previously delivered by you to the Paying Agent, you must
  deliver to the Paying Agent, by 5:00 p.m. on [insert day that is the
  Repurchase Date], a written notice of withdrawal specifying (i) the
  certificate number, if any, of the Notes in respect of which such notice of
  withdrawal is being submitted, (ii) the principal amount of the Notes in
  respect of which such notice of withdrawal is being submitted, and
  (iii) if you are not withdrawing your Repurchase Notice for all of your
  Notes, the principal amount of the Notes, which still remain subject to the
  original Repurchase Notice. 

  

 

	
   

  	
  10.

  	
  Unless the Issuer Defaults in making the payment of
  the Repurchase Price owed to you, Interest on your Notes as to which you have
  delivered a Repurchase Notice shall cease to accrue on and after the
  Repurchase Date. 

  

 

	
   

  	
  11.

  	
  CUSIP Number: 829226AW9

  

 

 

 F-2

SCHEDULE I

STOCK PRICE

 

	
   

  	
   

  	
   

  	
   

  	
  Share price

  	
   

  
	
  Effective Date

  	
   

  	
   

  	
   

  	
  $15.33

  	
   

  	
  $16.00

  	
   

  	
  $17.00

  	
   

  	
  $18.00

  	
   

  	
  $19.00

  	
   

  	
  $20.00

  	
   

  	
  $21.00

  	
   

  	
  $22.00

  	
   

  	
  $23.00

  	
   

  	
  $24.00

  	
   

  	
  $25.00

  	
   

  	
  $27.50

  	
   

  	
  $30.00

  	
   

  	
  $35.00

  	
   

  
	
  05/02/07

  	
   

  	
  16.28

  	
   

  	
  14.42

  	
   

  	
  12.04

  	
   

  	
  10.04

  	
   

  	
  8.35

  	
   

  	
  6.93

  	
   

  	
  5.72

  	
   

  	
  4.70

  	
   

  	
  3.83

  	
   

  	
  3.10

  	
   

  	
  2.48

  	
   

  	
  1.33

  	
   

  	
  0.60

  	
   

  	
  0.00

  	
   

  
	
  11/15/07

  	
   

  	
  16.27

  	
   

  	
  14.36

  	
   

  	
  11.91

  	
   

  	
  9.86

  	
   

  	
  8.14

  	
   

  	
  6.70

  	
   

  	
  5.48

  	
   

  	
  4.46

  	
   

  	
  3.60

  	
   

  	
  2.88

  	
   

  	
  2.28

  	
   

  	
  1.17

  	
   

  	
  0.48

  	
   

  	
  0.00

  	
   

  
	
  05/15/08

  	
   

  	
  16.20

  	
   

  	
  14.23

  	
   

  	
  11.71

  	
   

  	
  9.61

  	
   

  	
  7.85

  	
   

  	
  6.39

  	
   

  	
  5.17

  	
   

  	
  4.15

  	
   

  	
  3.30

  	
   

  	
  2.60

  	
   

  	
  2.01

  	
   

  	
  0.96

  	
   

  	
  0.35

  	
   

  	
  0.00

  	
   

  
	
  11/15/08

  	
   

  	
  16.05

  	
   

  	
  14.00

  	
   

  	
  11.37

  	
   

  	
  9.21

  	
   

  	
  7.41

  	
   

  	
  5.93

  	
   

  	
  4.70

  	
   

  	
  3.70

  	
   

  	
  2.87

  	
   

  	
  2.20

  	
   

  	
  1.65

  	
   

  	
  0.70

  	
   

  	
  0.19

  	
   

  	
  0.00

  	
   

  
	
  05/15/09

  	
   

  	
  15.84

  	
   

  	
  13.67

  	
   

  	
  10.89

  	
   

  	
  8.62

  	
   

  	
  6.77

  	
   

  	
  5.25

  	
   

  	
  4.03

  	
   

  	
  3.05

  	
   

  	
  2.26

  	
   

  	
  1.64

  	
   

  	
  1.15

  	
   

  	
  0.37

  	
   

  	
  0.04

  	
   

  	
  0.00

  	
   

  
	
  11/15/09

  	
   

  	
  15.74

  	
   

  	
  13.34

  	
   

  	
  10.26

  	
   

  	
  7.78

  	
   

  	
  5.78

  	
   

  	
  4.20

  	
   

  	
  2.98

  	
   

  	
  2.05

  	
   

  	
  1.35

  	
   

  	
  0.84

  	
   

  	
  0.49

  	
   

  	
  0.04

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  
	
  05/15/10

  	
   

  	
  16.28

  	
   

  	
  13.56

  	
   

  	
  9.88

  	
   

  	
  6.61

  	
   

  	
  3.70

  	
   

  	
  1.26

  	
   

  	
  0.15

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  	
  0.00

  	
   

  

 

 S-1

ANNEX A

NOTE REGISTER

 

 AX-1

ANNEX B

PROJECTED PAYMENT SCHEDULE

The Projected Payment
Schedule is not determined for any purpose other than for the purpose of
applying U.S. Treasury Regulation section 1.1275-4(b) to the Securities and
beneficial interests in the Securities and the Comparable Yield and Projected
Payment Schedule do not constitute a projection or representation regarding the
actual amount or timing of payments on the Securities or the value at any time
of any Class A Common Stock that may be received by a Holder or beneficial
owner of a Security upon conversion of a Security or a beneficial interest
therein.

	
   

  	
  Date of Projected Payment

  	
   

  	
   

  	
   

  	
  Amount of Projected Payment

  	
   

  
	
  11/15/07

  	
   

  	
  $15.42

  
	
  05/15/08

  	
   

  	
  $15.00

  
	
  11/15/08

  	
   

  	
  $15.00

  
	
  05/15/09

  	
   

  	
  $15.00

  
	
  11/15/09

  	
   

  	
  $15.00

  
	
  05/15/10

  	
   

  	
  $15.00

  
	
  11/15/10

  	
   

  	
  $15.00

  
	
  05/15/11

  	
   

  	
  $15.00

  
	
  11/15/11

  	
   

  	
  $15.00

  
	
  05/15/12

  	
   

  	
  $15.00

  
	
  11/15/12

  	
   

  	
  $15.00

  
	
  05/15/13

  	
   

  	
  $15.00

  
	
  11/15/13

  	
   

  	
  $15.00

  
	
  05/15/14

  	
   

  	
  $15.00

  
	
  11/15/14

  	
   

  	
  $17.31

  
	
  05/15/15

  	
   

  	
  $17.39

  
	
  11/15/15

  	
   

  	
  $17.48

  
	
  05/15/16

  	
   

  	
  $17.57

  
	
  11/15/16

  	
   

  	
  $17.66

  
	
  05/15/17

  	
   

  	
  $17.76

  
	
  11/15/17

  	
   

  	
  $17.86

  
	
  05/15/18

  	
   

  	
  $17.96

  
	
  11/15/18

  	
   

  	
  $18.07

  
	
  05/15/19

  	
   

  	
  $18.18

  
	
  11/15/19

  	
   

  	
  $18.29

  
	
  05/15/20

  	
   

  	
  $18.41

  
	
  11/15/20

  	
   

  	
  $18.53

  
	
  05/15/21

  	
   

  	
  $18.66

  
	
  11/15/21

  	
   

  	
  $18.79

  
	
  05/15/22

  	
   

  	
  $18.93

  
	
  11/15/22

  	
   

  	
  $19.07

  
	
  05/15/23

  	
   

  	
  $19.22

  
	
  11/15/23

  	
   

  	
  $19.37

  
	
  05/15/24

  	
   

  	
  $19.53

  
	
  11/15/24

  	
   

  	
  $19.69

  
	
  05/15/25

  	
   

  	
  $19.86

  
	
  11/15/25

  	
   

  	
  $20.03

  
	
  05/15/26

  	
   

  	
  $20.22

  
	
  11/15/26

  	
   

  	
  $20.40

  
	
  05/15/27

  	
   

  	
  $3,093.05

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}]]